jonathan: bonnie.nie: i think the fed did a very good job in communicating a well thought out plan, and this increasing cap structure is one that gives a lot of credence to the market. it takes targets participants have been grappling with it and it puts it at ease. for example, treasury maturities being very lumpy in 2018. with this cap structure we know that will not be an issue. it also assures the market there will not be asset sales, so if there was a fixed amount they had to buy if there were not enough mortgages prepaying, would they be selling mortgages into the market? they will not do that. if there will be some episode where we have a flight to quality treasury rally we will see them having a bit of a countercyclical balance under the structure. jonathan: i sat down with mohamed el-erian a few years ago before they first hiked, and he said this will be the loosest tightening in history. i did not expect them to tighten. talk about balance sheet normalization, and yields still grind lower on

jonathan: bonnie?onnie: going back to the positioning in futures, the fact that it is cleaner makes these moves less so we may not see as much volatility because the positioning is cleaner. jonathan: do you agree with that, brian? and another question i will throw into the mix as well, we talk about the treasuries and the domestic u.s. economy but we have not talked about what the ecb might do on the back half of the year. how critical will that be to the treasury market and the anchor it is had in the last year? brian: in an average year, the 10 year treasury trades at about 120 basis point range. either the higher or lower are getting taken out some point this year. we will see which way it moves, but i do not think we will trade in between those levels for the rest of the year. in terms of your other question, yes, absolutely, international yields have been an anchor. no question about it. the ecb, i think they have learned a lesson from the taper tantrum in the u.s., so look for them to be very cau

jonathan: lisa.isa: i am struck by the optimism not reflected in some of the numbers from the first quarter. i am looking at the household debt numbers we saw yesterday, showing consumer debt has reached an all-time high, $12.7 trillion in this chart on the bloomberg. this is important at a time when we see the liquid sees and loss of increases -- liquid sees -- delinquincies. this will signal slower growth going for it. this should factor into expectations. jonathan: let's get to the president of the st. louis fed. the financial reading since march has moved in the opposite direction. is there something in that argument? i know a lot of viewers will be thinking he doesn't really have argumentut can that reached the fomc? the bond market is facing a gradual rate of rate hikes already. clearly, if the fed continues to hike rates at the pace medium anticipating, he might not be happy with that. jonathan: what is the message in the yield curve? we have broken 100 basis points. we are going down towards

jonathan: from new york city, i am jonathan ferro. with 30 minutes dedicated to the fixed income, this is "bloomberg real yield." ♪ jonathan: coming up, the biggest crisis of the trump presidency breaks the calm on wall street. investors ask, is the trump trade dead? treasury yields grind down. will the chaos in washington throw chair yellen of course? is it a wake-up call for em? we start with the big issue. a week of messy politics. it finally breaks the calm on wall street. >> ultimately, you want to have a functioning washington. we are still the most important government and economy in the world. if that all comes to a screeching halt because of these issues, that is not good for anyone. >> that is the thing we have to gauge. do people have confidence that this administration can not only get the big names out there, but deliver on them? >> if you want to keep everyone happy, including his base, he has to do real policy stuff and not just send out tweets. >> this trump trade that we have embraced and that has driven the market to

jonathan: from new york city, i am jonathan ferro. with 30 minutes dedicated to the fixed income. this is "bloomberg real yield." ♪ jonathan: coming up, valuations remain elevated, volatility sinks. the epicenter of the reflation trade comes unstuck and china's deleveraging campaign rocks commodities. where are the investors who turned bullish? we start with a big issue. is low volatility a sign of investor complacency? >> you see that in equities, in credit, in interest rates, really across the board, markets are looking past almost all risks out there. >> the vix is very low and you have got no real sense the markets are starting to crack. if the fed pushes their luck and hikes too much or tightens too fast, i think that will change. >> you are going to need to see clear evidence of inflation pressures building in order to quicken the pace of central banking tightening. i happen to believe that is a real possibility on the back end of this year. right now, i think the vix has it about right. >> are going to be that calm, if markets you need to leverage your positions. the more y

jonathan: i see something different.he signal from financial condition is things are getting easier. you look at the treasury curve that is flat. it is at 100 basis points. why? we talk a lot about global politics. people are suppressing the underlying trends. i have got more international stuff going on. germany, the u.s., unemployment falling dramatically, france and spain going down as well. this is global growth. this is not just about the u.s. that is what the fed needs to keep their eye on. they have to shift higher. they are much too low right now. priscilla: i think you cannot ignore the weight of cash in the market. central bank balance sheets are so high that it is hard for the long at to move up. you'll see more movement at the short end of the curve. luke: the polish -- case for bondssh is justified. it will be over at some point. it feels like musical chairs. you are sitting around earning one points -- 1% to 1.5%. i don't want to be the person yield when the5% music stops and there are no chairs left. jonat

jonathan: racist symbols on campus. now calls for change. alison: inside the mind of a fugitive. >> my guess would be not far away. alison: as he enters a fifth day on the run. >> now, abc 7 news at 11:00 am on your side. jonathan: we begin inside the storm watch weather center. a few storms out there, but nothing severe. alison: and this is making way for a great day tomorrow. steve: and windy. the watches and warnings are long gone, that is the good news. bigger changes are on the way tomorrow. lingering showers, not amounting to a whole lot more. if you find yourself under one of the showers, taking the dog out for a walk, not going to last very long. inside the cit will be gone in a matter of hours, replaced by sunshine early tomorrow morning. grab the sunglasses, it will be windy. daytime highs eventually into the middle 70's. the next best chance of showers around the dmv and a cooler weekend ahead, coming up. jonathan: this just in -- look at the weather they have been dealing with in the southern plains. toll, 18 people dead, being b

this is "bloomberg real yield." ♪ ♪ jonathan: from new york city, i am jonathan ferro.is "bloomberg real yield." i want to take you to the auction block where commentary caused unease in the treasu auctions. the $15 billion 30 year saw wall street data stuck with the largest share since september. while the $23 billion 10 year auction had dealers absorbing a larger than usual amount, it has been more than two years since they drew more than expected. -- herew the attention wrote "lousy 10-year treasury auction. where are all the investors that turned bullish in 2015 talking about 150?" let's bring in our roundtable. oksana, the twitter account raised a lot of eyebrows. i will not ask you to respond directly, but the story really is that the market has changed in terms of positioning. coming into the year, huge short and now a marginal long. what do you make of how the market is set up in treasuries? oksana: the market is still massively long, this kind of risk generally. long, traditional, interest rate driven. let's get that very clear. any amount of open short interes

jonathan: steve, see you then. we are putting you on a lookout for the guy that you see in this picture, a person of vandalism across the national mall. graffiti was found on the lincoln memorial and washington monument. if you know who this guy is, the police would like to hear from you. alison: if there are more victims after they arrested a man for soliciting a minor. derek lamarr jones of catonsville is accused of soliciting a young woman from ashburn. the police say that he uses social media and meets people at comic book conventions. if you have information, call the police. jonathan: the killer in a case that went cold has now confessed. and michigan prison inmate admitting he killed a person in leesburg back in 2009. the chilling reality, he had been the family's neighbor. alison: the man who confessed is serving life behind bars for a deadly stabbing. the family says they are relieved jamie is finally resting in peace. president trump and russian president vladimir putin agreed to a one-on-one meeting at t

jonathan: we were speaking to jonathan byner of goldman sachs asset management. had the rollover, and now we see the complacency, signs that inflation is concerned. do you share that? >> we think in general the market is cheap already. markets are cheap already for a baseline forecast. for cpi in general. moving a bit above 2%. so already, they are cheap and that provides some positive option alley on the potential for a strong move up from policy induced inflation. david: what are you anticipating? two more rises this year from the fed? >> two more this year. we think the fed may view the data we have had so far leading to june somewhat cautiously, given the slowdown we saw in q1 and the personal spending and activity data continuing to be week. they might want to think about taking a breather and ensuring the activity data is moving in the right direction. the economy is sufficiently strengthening to allow for further rate increases later this year. we also think that maybe we will see a bit of the stimulus come back on, perhaps a little bit of a re-engagement

jonathan: why?the market and the way that it is played, the speculation involved, trading for currency positions. jonathan: by definition, the depth and breadth of the market should mean, it is less risky. john: you would think so, but it brings in huge players, and when bey make moves, they can pronounced. in 2013, considered the fed suggested they were thinking of tapering the monthly buying program. we went on the 10 year from 3.02 on may 2, 2013, to percent. interest rates not just go up because inflation is rising. they go up because it could be credit risks, less likely that, but most likely anticipation of inflation, timing, projecting the cost of the deficit, what the fed is doing with its balance sheet and that can create interim volatility that makes the u.s. bond market particularly treasuries less attractive to us. to 16%you said from 60% in equities. you like help care. why did you move toward health care? john: because it had been decidedly abused by the market last year on reasonable

jonathan: exactly. and opinion surveys is that the vast majority of the french people are pro-euro. i find it hard to believe that a would have enough seats in the national assembly to even get a referendum going to i believe it is the parliament that needs to actually put that fourth. then if you don't have the people on your side, it will not happen. my sense is if she does pull out a surprise win and the polls are proven incorrect, that the market obviously will trade lower, you will see more volatility, but i would probably be a buyer of that weakness because i do think, if she does not actually let france leave the euro, it will be a buying opportunity. that is minus five or minus 10 or 50, nobody knows. jonathan: jurrien timmer, thank you for joining us. be sure to stick with bloomberg. we will bring a special coverage of the french election on sunday. myself, tom keene, and francine lacqua. on monday, a full list of guests to react. david westin, you wonder how messy the politics will get in euro

a warm welcome to bloomberg "daybreak," i'm jonathan ferrell alongside jonathan ferro. alix steel is on assignment today. euro dollar grinding low for a second straight day. and crews finding a little bit of stability. 6 and 60 on w.t.i. david: fed president speaks at the minnesota high-tech conference and we will hear from dallas fed president. and then the jolts report may give us a sense of what was blind those disappointing numbers in march. and finally, 1:00 p.m. time, the u.s. treasury is set to auction $24 billion in three year notes. jonathan: thank you very much, david. and an uncomfortable market. the s&p 500 finished yesterday's session unchanged on a record close. joining us from hong kong is sean darby. and of course, allen russ kin of fx research. much has been made on the vix and the s&p s. give us your thoughts and your initial takeaway. >> we've got a period where real bond yields have been turning negative in most of the developing markets. that's been accompanied by a fall in the dollar and the background got a resurgencing global trade. so it's a pre

jonathan: a deadly amtrak derailment in pennsylvania. tonight, official word no criminal charges will be filed against the engineer of that train. the train was going more than double the speed limit and the engineer was distracted. prosecutors say there is no evidence of criminal intent or recklessness. a people were killed in the 2015 crash. alison: students in south carolina are safe tonight thanks to their school bus driver. look at this scene. the driver got everyone off the school bus before it erupted into flames this morning for stop nobody was hurt. exactly how this happened we still don't know. iss week, 7 on your side giving you an exclusive look at an elite rescue group. jonathan: they are called virginia task force one, made up of local volunteers to rush into danger all over the world. is flyingm barber with them out west for their intense week of training. >> purpose. helicopter in bus crashes make it look like a disaster zone, but that is the purpose. >> we want to make sure that it is fresh all the time. tim: he is part

jonathan: happy mother's day. prodders, shuckersers, and sniffers, all giant produce is triple checked. we're focusing on fresh... ...so you don't have to guess. my giant. [doorbell] ♪ ♪ when you have doctors working as a team for your health, you get the care you need to help you thrive. ♪ visit kp.org to learn more. kaiser permanente. thrive. ♪ yeah. we love low prices. no bones about it. [ laughter ] great everyday prices and thousands of bonus buy savings. my giant. >> dicky: from hollywood, it's "jimmy kimmel live!" tonight, dr. mehmet oz, olympic gold medalist shaun white, and music from kings of leon. and now, thank goodness, here's jimmy kimmel! [ cheers and applause ] ♪ >> jimmy: thank you for watching. [ cheers and applause ] i appreciate that. welcome to the show. i have -- that's very nice. i have a story to tell about something that happened to our family last week. i'm sorr

jonathan: so sad. thank you. for the man charged in this murder, the police say sean urbanski was drunk when he killed collins in unprovoked attack. urbanski was member of a racist facebook group according to investigators that is fueling concerns it may have been a hate crime. so far the prosecutors are not making the claim in court of yet. michelle: must see video in the newsroom of a botched robbery where the victim fights back. two men try to force their way to a building in the takoma neighborhood. in an instant a victim draws a gun and the other draws his own and they both fire. the bull leapts ricochet off the ground. take a look here. the police aren't saying if the victim was hurt. if you recognize thieves call the police. jonathan: a bus no answers why. fire engulfed the buses friday night. the fire investigators don't think this is suspicious. but they also haven't figured out why a school was would catch fire. michelle: gray skies. rain greeted most of us. doug hill has when the rain will move out of

jonathan: robert, thanks. chaos on a crowded metro bus, pepper spray unleashed on passengers in silver spring. jay korff spoke with the man who apprehended the sprayer. metrohat the limb on this bus, tracking the police and first responders. >> some guy was looking come and i was like in my bothering you? jay: jones man near him that he thought was agitated. i got sprayed. jay: jones was with several friends, including his two children and their mother. >> my daughter is four years old and my son is 2. ran when the pepper sprayer off the bus, he chased him for several minutes. jones said the man eventually fell and jones turned the pepper spray on his owner, saying he felt like a lion protecting his cubs. >> i took care of them. real.t your cubs, for jay: back live at the bus stop in silver spring. the police declined to elaborate on what happened. they say they are still investigating but we know there have been no arrests and nobody was seriously hurt. jay korff, abc 7 news. nancy: the police say that it is

jonathan: thank you.n with erin hawksworth who is life at the verizon for game seven. clock is ticking for the caps-penguins. >> it got me thinking who is going to emerge as the biggest sports star tonight? will it be justin williams? the guy they call seven"? or alex ovechkin, the great eight. we have video of him arriving. we look ahead to game seven next. rrator: "the time is to do what is right. ralph northam. army doctor during the gulf war. volunteer director of a pediatric hospice. progressive democrat. in the senate, he passed the smoking ban in restaurants, stopped the transvaginal ultrasound anti-choice law, and stood up to the nra. as lieutenant governor, dr. northam is fighting to expand access to affordable healthcare. ralph northam believes in making progress every day. and he won't let donald trump stop us. erin: someone is going to emerge as the hero tonight. the easy obvious choice is the guy they call "mr. game se he is 7-0 in game seven and he has seven goals. when the caps signed him i

jonathan: thank you for watching. see you at 11:00. there are always new challenges and opportunities., at unitedhealth group, we're built to help with both. providing employers with data and insights to improve outcomes. ensuring seniors have stability and choice in their benefits. and working with governments to expand access, lower costs and improve quality. to all those with a passion to improve health care, our question is: health group. built for better health. >>> tonight, breaking news. for the first time, former acting a.g. sally yates revealing how she warned the white house about former national security adviser michael flynn, saying he'd been compromised, and that he could be blackmailed by the russians. tonight, how she describes her meetings inside the trump white house. >>> also breaking, police just holding a news conference in boston. two doctors engaged to be married, both found murdered. and new reporting tonight on what was found in their apartment. >>> the college student who fell down the stairs. why did no one ca

jonathan: sign me up.omorrow, council on foreign relations president will be joining this program. a big week for foreign affairs with the g7 and nato summit. from new york city, you're watching bloomberg. ♪ ♪ jonathan: opec looks to stabilize the oil markets lining up a nine-month exemption production cuts. chair yellen has a plan. anicymakers indicate approach unwinding a $4.5 trillion balance sheet and president trump calls on nato to step up the fight against terrorism. prime minister may has her own message. from new york city, good morning, good morning. you are watching "bloomberg westin." with david alix steel, what is coming up? alix: the big question is, what will put the brakes on shale? in houston, i don't have an answer yet. i will be digging deep over the next two hours. jpmorgan representative will break down that question. and -- will be joining me putting money into the -- david: i just want to see the cowboy boots. jonathan: one-way trip, no return flight. alix steel. across assets, futur

jonathan: thank you.also is sarah hunt sarah, how do you view the vix and volatility, a reflection of what is happening elsewhere, or an indicator of what is to come? sarah: there are a lot of competing theories, ideas about macro volatility. it is kind of hard to figure out whether or not that is telling you something. the problem is, the quiet belies underneath where there could be more issues going forward as we look at central banks pulling back. with the fed raising rates, the ecb talking about winding down their books, all of that will be more mean full for equities than what the vix is doing right now, so i'm not sure that is the best way to look at real volatility. the federal reserve is raising interest rates, as sarah points out. the ecb is getting ready to move on the margins. we will get that message may be near the end of the year. what is happening in the bond market is more interesting. also it's very resilient as well. why? julien: again, this psychology, after an extended run, the confide

jonathan: e-a. michelle: oh, my! doug! [laughter] jonathan: it's right above your head, doug. doug: you know i'm kidding. 64 in laurel. the heavy storm moved through the area. the hail moved by. and this is the back side as it is moving north east from baltimore. so catonsville looks to get hit in three minutes. western side of baltimore. pasadena, roseville and it's weakened a bit and it's no longer severe. there is another area of showers we are watching. they aren't severe. diminishing in intensity. farther south we have a one single cell that has lightning and heavy rain moving east 30 miles per hour. so that is headed at the bottom of the hour to la plata and hughesville. in charles county. maybe it's right in the end of st. mary's county. one of those. it's close. prince frederick and across the river across the bay. it's settling down across the area. the showers developed a few hours ago and briefly flared up to severe levels. now diminished. heavy rail in the part of the storms as well. later tonight another line to keep an eye on. this is with the cold front itself a

jonathan: steve, thanks. victims, most of the middle school students, remain hospitalized after a bus crash on interstate 95 on a school field trip. a car clip the bus while trying to pass. the bus driver lost control. alison: a search for a gun man who fired shots into a fairfax apartment complex. jonathan: this happened last night on john tyler court. as tim barber reports, the bullets flew right over a playground. tim: fairfax county police say that a person opened fire. this person just moved here with her two-month-old. >> it makes me feel unsafe in this apartment, and i had no idea. tim: 9:40 last night at this apartment building on john tyler court. bullets shattered an apartment window. this man asked us not to show his face because he heard the shots. >> this is happening. this will happen in the future. tim: investigator searched the area without luck. despite the damage, nobody was hurt, but the suspects are still on the run. >> i think it is not normal what they do. not normal. tim: tim barber, ab

jonathan: very exciting.omething just into the newsroom, we are hearing from the parents of murdered dnc worker seth ridge. fox news has retracted stories that he was convicted of leaking email to wikileaks. his parents said, there are people who were using beloved seth's memory for your political goals and using your outrage to perpetuate our nightmare. d.c. police say that rich was murdered during a robbery where nothing was taken. resist messages to president trump have shown up in public places. one of those places is on the side of a home in logan circle. and persistsist showed up one day. adding to the mystery, the townhouse itself is empty. >> it's a great way to say how you feel. that's what this country is about. sentimentat is a shared by many in d.c., where hillary clinton received more than 90% of the vote last year. resist messages showed about in a banner at the white house as well. jonathan: a 7 on your side exclusive. alison: you may never have heard of yellow, but your kidsik app is geared fo

jonathan: check outcome a short-lived celebration. he is so happy that he crosses the line -- i did it, yeah! he thinks that he won the race. he is celebrating. -- he: there is a problem had another lap to go. even the announcers are stunned, saying, no, no, no. in the other racers past him and he ultimately finished in 148th jonathan: i do, too. erin: and we are showing it all over the world. alison: he was so focused. jonathan: well, not that focused. erin: i don't know how it happens, but i guess it did. home court has been kind to the wizards so far. how they rrator: "the time is to do what is right. ralph northam. army doctor during the gulf war. volunteer director of a pediatric hospice. progressive democrat. in the senate, he passed the smoking ban in restaurants, stopped the transvaginal ultrasound anti-choice law, and stood up to the nra. as lieutenant governor, dr. northam is fighting to expand access to affordable healthcare. ralph northam believes in making progress every day. and he won't let donald trump stop us. >> and

jonathan: wow! coming up next here at 4:00 -- >> please talk to your kids about the dangers of the energy drinks. jonathan: this is tough to believe. a deadly dose of caffeine. up next, a family's sober message of how much is too much. nancy: also next, trees falling lake dominoes. see the split seconds that made the difference between life and death. >> simone and sasha. alison: did you s night. they were sent home. what the olympic star said moments after getting booted. fortunately there's a bedples dwhere you both get what yous? want every night. enter sleep number and the semi-annual sale going on now. sleepiq technology tells you how well you slept and what adjustments you can make. she likes the bed soft. he's more hardcore. so your sleep goes from good to great to wow! only at a sleep number store. oh, and right now it's our lowest price ever on our temperature balancing i8 bed. save $700. go to sleepnumber.com for a store near you. alison: a close call. nancy: take a look. dash cam video sh

jonathan: really bad or catastrophic. that is how fbi director james comey destroyed his -- described his choices when releasing the hillary clinton email probe days before the elections. >> concealing it would be catastrophic to the fbi and beyond. between really bad and catastrophic, i said we have to walk into the world of reall felt mildlysaid he nauseous to think that his decision impacted the race's outcome, but defended his decision is the right one. aide said that a clinton sent classified emails to her husband so she could print them out at home. her estranged husband is anthony weiner. investigators determined there was no intent to break the law. groups civil liberties are promising to fight the president's latest executive order that he is expected to sign tomorrow. a draft version would allow wide exemption for people and groups with religious objections. vice president mike pence signed a similar law while governor of indiana. an ohio family is near doubling in a matter of minutes because six siblings weren'

finally, jonathan wasthat hand buttal thetransplant.das your wedding day>> our weddingt. it was really noneventful, which is the way we wanted it to be. gas really a 30-second ceremony it was joyous and happy. we really didn't want anything to change. after we got married, we got something to eat like we always do. >> reporter: their honeymoon period involved waiting for the ideal donor. >> you need to match for size you need to match for color, you need to match for hair pattern. >> reporter: it took seven months to get the call. >> how are you feeling your hand transplant surgery? >> very peaceful. and hopeful that everything goes well. >> reporter: and then the complex suery. 24 attendants. countless nerve endings, veins arteries. microscopically stitched together. >> hand transplants are marathon surgeries because there's so many structures that need to be repaired. nerves are like coaxial cables. except t to red, ellow to yellow connection. you have to figure out how they fit within each other so that the parts of the nerve that are for sensation match up and the par

jonathan: that is bad! painful, too. mayo clinic researchers studying it for seven years and they found the abnormal motion affects the bones and could lead to more cases of earth rides in the thumb -- arthritis in the thumb. stop texting. they advise not overtexting and using other fingers or use the voice text on the smart phone. there is all kind of complications. it's not just this. other people have complained about the eye issues, too. the vision is earlier. they can't see distances. they c alison: neck issues, too, looking down all the time. nancy: technology. alison: you could have a conversation with someone. jonathan: wait a minute! revolutionary. nancy: texting is more fun. jonathan: in a moment we will open up the phone lines for the "7 on your side" phone bank. nancy: the topic is strokes. how to prevent them, how they are diagnosed and what you need to know to keep your family healthy. alison: that is right. kimberly suiters is in the phone bank. kimberly: it's american stroke month. the doctors and the nur

jonathan: a big-name fraternity with a deadly secret. alison: and he finished first. >> we will do a tasting, everybody. alison: what makes mark furstenberg the best baker in the u.s.? 7, mysterious graffiti spreading. jonathan: it started with writing on national monuments, and abc 7 found similar graffiti in merryfield. tom roussey is live with what could be an expanding investigation tonight. tom? road,e are along gallows where it goes over 66. employees was walking by recently and alerted us to this. he thought this graffiti looked familiar. in a moment, familiar it looked. did the same person write these? on the left, graffiti from the national mall in february. on the right, graffiti on gallows road. >> i was thinking, what if it is the same individual? tom: in february, somebody wrote graffiti with a conspiracy theory. similar graffiti was later found on the mount vernon trail. this week, u.s. park police put out these photos of a man they are looking for in the incident. among other things, the graffiti said "jackie shot jfk," ju

jonathan: paid as soon as they did the job. nancy: she really did not want her husband to get the cash. are you in need of a caffeine boost? we might be. having a bagel. this is the expresso buzz bagel. the first caffeinated bagel of its kind. it has 232 milligrams of caffeine, a third of the cough coffee. >> keep it away from nancy. nancy: can you imagine that? the bage and the coffee and you are ready to go for the rest of the day. alison: sounds good. >> this is yesterday. we showed you the incredit about of rain this week. almost 300 roads in the county were closed at one point. the rivers set to surpass the high water marks from 2013. jonathan: the only line of defense in the downtown area, you can see it. those are the sandbags stacked up high. now they are trying to keep the building safe and keep them dry. that is putting it all in perspective for us when we expect a soaking. >> the same system there, too. >> the storm system will north. doug: we are dry. but we think the rain will be spread out over a few hours. we can

jonathan: isn't the? to productivity wage growth i look at the productivity situation and wonder what chair yellen's role is in that. i don't think she has won it all. there are structural issues, cyclical issues. as far as the fed chairs concerned at this point? >> what has happened in productivity is the secular shift within the industries that are driving the economy. to economy driven primarily by health care. if you look at the employment numbers, you look at the spending numbers, it is all health-care related. health care has horrible productivity. you are seeing that reflected. >> that me jump in. manufacturing productivity is hero and an annual rate over the past five years. you canook at a chart, almost see why trump got elected, because of her since china joined the wto, capacity in the production areas has been flat, and that has coincided -- i think there is something to the idea that companies have not been spending on productivity at home. i agree with you. services economy has a productivit

jonathan: a lot going on.oug: a severe thunderstorm warning in montgomery county in effect until 7:00. lightning with the system and heavy rain moving east. steve rudin keeping an eye on that. we get updated on the cooler weekend forecast tonight at 11:00. michelle: thank you. "world news tonight" with david muir up next. jonathan: thank you for watching. see you at 11:00. rrator: "the time is to do what is right. ralph northam. army doctor during the gulf war. volunteer director of a pediatric hospice. progressive democrat. in the senate, stopped the transvaginal ultrasound anti-choice law, and stood up to the nra. as lieutenant governor, dr. northam is fighting to expand access to affordable healthcare. ralph northam believes in making progress every day. and he won't let donald trump stop us. >>> tonight, we have breaking news as we come on the air. reports of a man, a foreign national, trying to break into a cockpit on a flight that left from los angeles. reports he had a suspicious item. >>> also breaking

jonathan: we do.lle: reminder to watch "good morning washington" tomorrow morning for your chance to win a pair of tickets to see the wizards take on the celtics in game three of their playoff series. jonathan: get another look at the weather. doug? doug: a good short-term forecast here. looking forward to a clear and a cool night tonight. tomorrow sunshine and breezy. 68. clouds return thursday. 65 with showers at night. heavy rain overnight to friday with the showers and the thunderstorms. steve will talk about that and the much needed rain and cooler weekend tonight at 11:00. michelle: thank you. "world news tonight" with david muir up next. jonathan: sorry about the gremlins getting the best of us. hopefully better tonight. see you tonight at 11:00 to give the following ad for your viewing convenience. i finally switched to geico. oh yeah? ended up saving a ton of money on car insurance. i hear they have a really great mobile app. the interface is remarkably intuitive. that's so impo

jonathan? jonathan: thank you. coming up next at 4:00, making your home smart. everything can be connected. but is it too much? the privacy concerns and the solutions coming up next. ready or not, here i come.ek.) ♪ anyone can dream. making it a reality is the hard part. northrop grumman command and control systems always let you see the complete picture. and we're looking for a few dreamers to join us. of providing reliable energy and that'll never change. what is changing, is our name to dominion energy. it's a reflection of our commitment to energy innovation and renewable sources like solar, wind... and cleaner energy like natural gas. and we'll continue to innovate, upgrade technology, protect our environment and serve our communities. dominion energy. more than a new name, a new way of seeing energy. john: if you think amazon's alexa is amazing you haven't seen anything yet. it's one of the gadgets people in d.c. will be buying to make the homes in the smart homes. how you do this, how much pr

jonathan: watch the screen. the motorcycle rider, he didn't grab the bres couldn't have hurt in the worst spot. hit the truck in the gas tank. it explodes. people come running over to see what is going on as the man is rolling around on the ground to put himself out. they start dragging him away. then look what happens there. the truck explodes. we understand that the motorcyclist is okay. the driver got out the other side. he will be okay as well. >> close! now to this. a man seriously hurt when he tried to help a woman escaping an abduction tells his story tonight. this is as the man who severely beat the good samaritan is sent to prison. maryland bureau chief brad bell is the only reporter to talk one-on-one with the 80-year-old survivor who says he has no regrets. brad: bob feels he was lucky to survive what happened to him last september. he tried to help a domestic violence victim who was attacked by her enraged boyfriend. >> i don't even remember being hit. i was clearly hit multiple ear. my left jaw was

jonathan: thanks. developing out of texas now, two people are dead in what police call a murder-suicide but it took place on the community col video. you can see at one point students were dreaming out of the building. getting out of north lake college. police were swarming and moving in. originally the police sent out a warning about an active shooter situation. this is under control. in the meantime, in massachusetts, a deadly crash. horrible scene. a jeep plowing through a crowd of people during an auto auction. some wondered if it was intentional initially. michelle marsh at the "live desk" monitoring the situation with the latest. michelle: police north of boston answering that question. they say it was not on purpose. three people were killed. nine more injured. some of them seriously. there were more than a thousand people inside the building. vehicle going 25 miles per hour when it happened. it had eight lanes of the vehicles rolling through for the auction. the driver was alert and talking to

jonathan? jonathan: thank you for that. right now president trump is in brussels for a series of meetings with the nato leaders. he arrived there after meeting with pope francis in the vatican. they talked about terrorism, peace and climate change. the president visited the sistine chapel. nancy: the pope gave trump his copy of the climate change. >> if president trump reads the pope's writing i'm from the agreement. it would be a historic misstep that would massively disadvantage both america's businesses and diplomats and the environment. >> president trump already said he would put off his decision whether to pull out of terrorist agreement until after his trip. 40 senate democrats sent the president a letter today demanding the united states honor the commitment. jonathan: join me tonight on newschannel8. i'll host a town hall. we will call it the "wild, wild west wing." i with the chief political correspondent scott thuman will look at the hectics week for the president since he took office at 7:00 on newschannel8. mic