jonathan ferro looking to do this each and every week.ks to jim keenan, rachel golder, and mark kiesel. from new york, that does it for us. we will see you friday at 12:00 new york time. this is bloomberg real yield. ♪ >> announcer: the thrill of living well, is in the pursuit. the pursuit of the rarest experiences. the pursuit of the finest products. the pursuit of quality in everything you do. and in all of these pursuits, you need the best intelligence to make the best decisions. >> we know that she sells for a lot, but what makes her important? >> it isn't easy. it's difficult work. announcer: welcome to "bloomberg pursuits," where you find information that helps you follow your inspiration. in this edition, utility meets luxury in three new suv's. him and hannah: immediate power. immediate response. announcer: master the offbeat etiquette of eating ramen. ivan: it's totally cool to just pick up the bowl and drink from it.

tom: from new york city, i'm tom keene in for jonathan ferro. with 30 minutes dedicated to the fixed income markets this is , "bloomberg real yield." ♪ tom: coming up, will it be low rate kevin as the president meets the former fed governor? in this hour, will chairman wars keep the real yield lower for longer? yellen speaks, the nominal yield spikes higher, a little transitory september gives way to october and december. yield hog. we consider the frenzy over the loan market. we start with a big issue -- interest rate risk in the bond market. >> during the summer, it was almost as if bond investors were making another run at treasuries. they wanted to get the 10 year below 2% when wartime -- one more time and it is built on the base of market is never going to grow again, we will not see any fiscal policy, it and they had it completely wrong. >> the fed is moving towards beginning credibility with investors so we know what their plan is, we can make investments based on this and you will see people reacting. >> the fed has clearly said this is

♪ jonathan: from new york city, i am jonathan ferro with 30 minutes dedicated to fixed income. is is "bloomberg real yield." ♪ jonathan: the president is set to lean towards jane powell as the new head of the federal reserve. the best back-to-back quarterly growth since 2014. helps's stimulus plan insulate europe from political chaos in spain. we begin with the big issue. they can be the moment of truth for the bull market. of investmentrd strategist for the last two or three years. >> i think they have a right to be a bit cautious or unnerved at this point. it seems the bias for rates is upward. >> the bond market has been in a 30 year bull trend. yields keep going down and returns are good. >> i think he is maybe too pessimistic about where bonds are. we will be in a 2.4. to 2.7 range >> you will definitely see bond yields head back towards to 2.6 or 2.7 level. i am pessimistic about the probability we can get higher. >> we'll think it is going to happen externally fast. i don't think it is going to be are really distracted in that sense. jonathan: joining the around the , joe

♪ jonathan: from new york city, i am jonathan ferro with 30 minutes dedicated to fixed income. is is "bloomberg real yield." ♪ jonathan: coming up, the president is said to lean toward jay powell to be the next chairman of the federal reserve. the u.s. economy delivers its best back-to-back quarterly growth since 2014. and draghi's stimulus plan helps insulate europe from political chaos in spain. we begin with the big issue. it could be the moment of truth for the bond bull market. >> it has been the graveyard of investment strategists for the last two or three years. >> i certainly think they have a right to be a bit cautious or unnerved at this point. it certainly seems the bias for rates is upward. >> the bond market has been in a 30-year bull trend. that has bailed out a lot of bond investors. yields keep going down and returns are good. >> hate to argue with him, but i think he is maybe too pessimistic about where bonds are. we will be in a 2.4% to 2.7% sort of range. >> we are in an environment where you will definitely see those bond yields head back towards to 2.6% or 2

♪ jonathan: from new york for our viewers worldwide, i'm jonathan ferro. th 30 minutes dedicated to fixed income, this is "bloomberg real yield." ♪ jonathan: coming up, a weather-impaired jobs report shows payrolls fall and wage growth surge. the short list for the next fed chair reaches the president's desk. warsh, yellen, cohn, and powell are all in the running. and the divide between madrid and barcelona continues to grow, sending spanish funds lower and much lower. we begin with a big issue, wage growth surging. robert stan on the fed's next move. >> this is confirmation we are getting real wage growth. >> 2.9% wage growth is the headline. >> i think that is good for american workers. >> looking at the wage growth, and you are looking at the unemployment number, which is the bright news here. >> remember, janet yellen said in a healthy labor market wage growth is between 3% and 4%. so we are just about there. >> as long as wages begin to rise towards 3%, they certainly are. and i think the fed is a slamdunk in terms of raising rates in december. >> this

i am jonathan ferro. this is "bloomberg real yield."eaking news regarding fed chair janet yellen. back at the white house. said to be back at the white house according to a person familiar with the matter. this appearance following the day with her interview with the president of the united states. fed chair janet yellen is said to be back at the white house. this is according to a person familiar with the matter. by michael from j.p. morgan, marilyn watson from blackrock and michael collins from pgim. looking at the situation, we barely discussed fed chair janet yellen staying on his fed chair in the previous segment. why? bob: i think her time has come and gone. i think she did well in the aftermath of the financial crisis helping to continue bernanke's policies. i think the administration feels they need a breath of fresh air to come in particularly if they're trying to pull the republicans along with them and trying to bring the rest of congress with them. jonathan: i thought she signed a resignation letter off the back of the jacks

♪ lisa: from new york city, i'm lisa abramowicz, in for jonathan ferro.ith 30 minutes dedicated to fixed income, this is "bloomberg: real yield." ♪ lisa: coming up, what will be the pin that pops the bond market? perhaps it will be the central banks as ecb firms up its plans is to taper. leverage levels are creeping up all over as the imf focusing on the risk to financial stability. the largest u.s. banks report earnings and revealing a less creditworthy the american consumer. how big of a concern is that for debt markets? we start with a big issue, markets continue to shrug off risk. >> it's really surprising when you look at all the events that have gone on in the markets have become so jaded. they don't react like they used to. >> i don't know about you, but i'm nervous. and it seems like when investors are nervous they are prone to being spooked. and nothing seems to spook the market. >> central banks are keeping the pedal too much on the gas and we are sucking out volatility that is not conducive to long-term growth. >> in this case, i don't think it

i'm jonathan ferro. let's give you an update on next week.ver the next week, we wait to see what will happen in catalan with the parliament on monday. we will have minutes from the fomc. the imf bank earnings and u.s. economic data, including cpi and retail sales. plus, the president donald trump may give a speech regarding his decision on the iranian nuclear deal. the president of the united deal. the president of the united states, of course, made waves in the bond market when he said puerto rico's debt should be wiped out. i can put the general obligation bond of puerto rico on the screen and you can see the the damage those comments did to a bond, that has already been absolutely battered. we dropped into the low 30's, i believe we trade at about $.38 on the dollar. george, we are now having this ugly conversation about this debt for a while, the recovery rate. how do you look at a situation in puerto rico and work out the recovery rate of a bond like that? george: we don't really look at that side of things, other is -- but there is conc

jonathan ferro will be back in the seat.oomberg: real yield." ♪ ♪ announcer: the thrill of living well is in the pursuit. the pursuit of the rarest experiences. the pursuit of the finest products. the pursuit of quality in everything you do. and in all of these pursuits, you need the best intelligence to make the best decisions. >> we know that she sells for a lot, but what makes her important? >> it isn't easy. it's difficult work. announcer: welcome to "bloomberg pursuits," where you find information that helps you follow your inspiration.

jonathan ferro is next with bloomberg real yield. ♪ ♪ jonathan: from new york city, i am jonathan ferro dedicated to fixed income. this is "bloomberg real yield." ♪ jonathan: the president is set to lean towards jane powell as the new head of the federal reserve. the best back-to-back quarterly growth since 2014. helps's stimulus plan insulate europe from political chaos in spain. we begin with the big issue. they can be the moment of truth for the bull market. >> the graveyard

i am jonathan ferro. this is "bloomberg real yield."eaking news regarding fed chair janet yellen. back at the white house. said to be back at the white house according to a person familiar with the matter. this appearance following the day with her interview with the president of the united states. fed chair janet yellen is said to be back at the white house. this is according to a person familiar with the matter. morganael from j.p. marilyn watson from blackrock , and michael collins from pgim. situation, we barely discussed fed chair janet yellen staying on his fed chair in the previous segment. why? bob: i think her time has come and gone. i think she did well in the aftermath of the financial crisis helping to continue bernanke's policies. i think the administration feels they need a breath of fresh air to come in particularly if they're trying to pull the republicans along with them and trying to bring the rest of congress with them. jonathan: i thought she signed a resignation letter off the back of the jackson hole speech which s

. ♪ ♪ jonathan: on jonathan ferro. this is bloomberg "real yield."start with corporate and focus on a little bit more in energy. an offering from transocean energy. energy companies are returning to credit markets at the fastest pace in three years, with bankruptcies falling and companies facing more than $70 billion of debt maturing in 2019. salehabi's $10 billion following saudi arabia's $12.5 billion issue last week. it was a record $89 billion this year. the big headliner was in spain. a sale of 3.2 billion, up 53 basis points. for the double on last month's spanish sales of similar debt. sending it to the highest level of interest in this maturity for months. oksana aronoff and george kumquat us that luke hickmore joins us as well. european politics is reasserting itself. this time it is spain and madrid and a divide opening up. does that stay a spain story or does it cleans through the rest of the periphery? luke: i think it is a spain story. , greece, italy, and portugal. if catalonia continues to cause problems, we have an italian election ea

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jonathan ferro will be back in the seat.mberg real yield." ♪ who knew that phones would start doing everything? entertaining us, getting us back on track, and finding us dates. phones really have changed. so why hasn't the way we pay for them? introducing xfinity mobile. you only pay for data and can easily switch between pay per gig and unlimited. no one else lets you do that. see how much you can save. choose by the gig or unlimited. xfinity mobile. a new kind of network designed to save you money. call, visit or go to xfinitymobile.com. ♪ i am vonnie quinn. sheri: welcome to bloomberg markets. ♪ storieshere are the top around the world that we are following. we are just moments away from a major speech by president trump. the president expected to disavow the iran nuclear deal. not abandon it entirely. what it means for the level alliance ahead. -- global alliance ahead. president trump it's a bold move to cut up subsidies to ensure that insurers -- subsidies to insurers. third-quarter bank earnings continue to roll in. b

. ♪ ♪ jonathan: from new york for our viewers worldwide, i'm jonathan ferro. onathan: coming up, a weather-impaired jobs report shows payrolls fall and wage growth surge. the short list for the next fed chair reaches the president's desk. warsh, yellen, cohn, and powell are all in the running. and the divide between madrid and barcelona continues to grow, sending spanish funds lower and much lower. we begin with a big issue, wage growth surging. robert stan on the fed's next move. >> this is confirmation we are getting real wage growth.

. ♪ ♪ jonathan: from new york city, i am jonathan ferro with 30 minutes dedicated to fixed income. berg real yield." ♪ jonathan: coming up, the president is said to lean toward jay powell to be the next chairman of the federal reserve. the u.s. economy delivers its best back-to-back quarterly growth since 2014. and draghi's stimulus plan helps insulate europe from political chaos in spain. we begin with the big issue. it could be the moment of truth for the bond bull market. >> it has been the graveyard of investment strategists for the last two or three years.

. ♪ tom: from new york city, i'm tom keene in for jonathan ferro.arkets this is , "bloomberg real yield." ♪ tom: coming up, will it be low rate kevin as the president meets the former fed governor? in this hour, will chairman wars keep the real yield lower for longer? yellen speaks, the nominal yield spikes higher, a little transitory september gives way to october and december. and a real

i'm jonathan ferro alongside david westin. alix steel is off today.00. the dollar weaker against pre-much everything through the day. in the bond market a couple of things to watch. off by a single basis point. for anyone witnessing the route and puerto rican debt -- the debt --puerto rican puerto rico has to figure out how to solve its debt issue. good luck, puerto rico. that's the market action at this point. abigail: lots of high-profile movers this morning. nearly 2%ading lower after the beverage and snacks giant missed revenues for the third quarter ever so slightly. north american beverages down 3% on a year-over-year basis. this forces the company to rely more on its frito-lay snack business that wall street is not very impressed. bonnie herzog saying there is nothing to get excited over here. shares lower and lower on the week. taking a look at monsanto. companyd's largest seed put up a surprise profit. $.20 per share for their fiscal fourth-quarter versus the estimate of an anticipated loss of $.42. lots of demand for soybeans really helping

jonathan ferro will be back in the seat. this is "bloomberg: real yield." ♪ ♪ >> hello.re. they don't fly much higher than the cofounder of airbnb, nathan blecharcyzyk, today's highflyer. airbnb has listings in nearly every country on the planet, a trailblazer of the sharing economy.

i am jonathan ferro alongside david westin. this is bloomberg daybreak. let's begin by whipping through the market action. euro-dollar dead flat at 1.18. futures steady and stable after the biggest one-day drop on the s&p 500 in just under a month. ,reasuries find a bit of a bid yields come in by a single basis point on the u.s. 10 year at 2.42. it is a busy day in the united states so let's get things started. revenue- third-quarter -- they do see fourth-quarter dajusted ebit. at 200 -- ebit -- monthly users up about 4%. the stock up about 5% in the premarket. david: we have earnings at ford,, ford -- out of they are beating on revenue and earnings per share. gap actually reported by earnings per share of $.39 per share as opposed to a $.32 percent -- $.32 prediction. they controlled costs beautifully. they had record sales in the pacific in asia. the one thing that fell short, europe. why? brexit. bob shanks will be talking about this in about 20 minutes. jonathan: the ecb, 45 minutes away we get the decision. is it that begi

i am jonathan ferro alongside david westin.ollows, equities with tax reform headlines, down yesterday and positive if you are looking at futures today. the euro a little bit softer against the u.s. dollar after inflation comes in a little bit weaker in the eurozone. bouncingury yields back a little bit, we are up a basis points at 2.38 on a 10 year. david: and for more headlines, we turn to taylor. taylor: robert mueller appears to be building a

i'm jonathan ferro alongside david westin and alix steel.treak on the s&p 500, the longest since may of this year with a record high. futures are dead flat, 90 minutes away from the open. up a single point. price action in the treasury market, yields going nowhere. in the fx market, dollar strength starting to come through. euro-dollar now on the back foot by 2/10 of 1%. 1.1736 is where we are at. alix: you see the ibex up by bond1% as you saw a strong option. potential better news out of catalonia. a 10 year yield. by theg gets hit disastrous speech by theresa may. it gets funnier every time. gold pre-much flat on the day. david: time for the morning brief. we will eastern time get weekly initial jobless claims and trade balance data. at 10:00, we get august factory orders and durable goods data three we'll hear from several members of the fed starting with jerome powell. john williams come and phil duffy fed president patrick harker. in the afternoon it will be -- jonathan: president trump has sending puerto rico is the bond market into di

i am jonathan ferro, alongside david.ate side, driving futures higher. the story in the bond market is yields push higher on bunds after yesterday's bid. in fx market, gdp reaches adding more fuel to that long dollar trade. low 116lar back to the and let's -- 1.16. here is abigail doolittle. abigail: happy friday. on this friday, awful that up more than 4% -- alphabet up 4%, plus said to add to its market. we are up 47% and even the "best silo of revenue" grew 50%, so everything moving along for alphabet and investors awarding shares with an all-time high at the open. amazon up 9%. they put up another huge quarter, crushing it across the board. the cloud up 42%. prime subscription up 49%. " looking -- everyone looking for the whole foods contribution and we are back on the world's wealthiest person watch on the open, likely jeff bezos will overtake microsoft bill gates. we will watch that. though,el, down 14%, quite frankly, off the low. they put up a terrible quarter and missed earnings by 84%, sales fight 11%, and for t

i am jonathan ferro alongside david westin and alix steel. after eight days of gains and another record high at the close, futures go absolutely nowhere. in the fx market, more broadly the dollar strolling strength against the euro. the price action could be found in treasuries. 2.36% is your yield. alix: a lot of happening in spain. patient back -- cai should bank is down. will they moved their headquarters from catalonia? you are seeing the selloff continue on the periphery debt, 2%.ish yields up about sterling, this is one for you, year.he worst of the can headlines get any worse for theresa may? jonathan: i think that is theresa may's cross. david: if they can get worse for her, it will. it is jobs day and coming up at 8:30 a.m. we will get september data from u.s. nonfarm payrolls and labor force participation rate. we will hear from the fed presidents. we first want to focus on the jobs numbers and turn to julie hyman in washington, d.c. she will get the numbers before we do and she will come tell us at 8:30. what are you looking for? j

i am jonathan ferro alongside david westin and alix steel. once again, a fifth straight day of gains. we drive out another all-time high and futures are positive. it is all about the prospect of tax reform and that means a stronger dollar story across the g10 space, euro-dollar at 1.18. yields grind five basis points higher. dollar-yen, look at now below 114. you wind up seeing the spread when you talk about a possible dovish fed, the spread continues to steepen. that is more on tax reform, 78 basis points is the difference. the pound just turning positive. a macron-merkel-may lovefest over the past few days. i do want to bring in breaking news over the last half hour from ge, a huge mess on earnings at $.29 a share versus estimates that $.50 a share, and it cut its full-year forecast. the oil and gas environment remains challenging for its spinoff of the baker hughes ge business. what was the huge mess on earnings and revenue came in stronger -- miss on earnings one revenue came in stronger? typically on an earnings day it moves just about 2

i'm jonathan ferro alongside david westin and alix steel.ter closing short of an all-time high on tuesday. and the fx market, a four-day slide for the dollar takes the euro back up past 1.18. we are positive by 2/10 of 1% on the session so far. yields are up by just a basis point at 2.35 on the u.s. tenure. alix: markets are looking at spain and saying go buy it. money flowing into the market and yields move by three basis points. the nikkei closed at its highest level since 1996, and unbelievable move in equities. crude is softer on the day despite opec sounding optimistic about global demand. david: let's take a look at what is making headlines outside the business world. emma chandra is here with first word news. emma: prime minister mariano rajoy has started a process that may lead to suspending the catalan government. he may ask the catalan president whether he is actually declared independence. he stopped short of declaring independence, but he says he wants to start talks with the spanish government. the wildfires in northern californ

. ♪ jonathan: from new york city, i am jonathan ferro with 30 minutes dedicated to fixed income. omberg real yield." ♪ jonathan: coming up, the president is said to lean towards jerome powell as the new head of the federal reserve. the best back-to-back quarterly growth since 2014. draghi's stimulus plan helps insulate europe from political chaos in spain. we begin with the big issue. double lines -- good luck they can be the moment of truth for the bull market. >> the graveyard of investment strategists for the last two or three years. >> i think they have

tom: from new york city, i'm tom keene in for jonathan ferro. this is "bloomberg, real yield."vin as the president meets the former fed governor. in this hour, will chairman wars keep the real yield lower for longer? yellen speaks, the nominal yield spikes higher, a little transitory september gives way to a -- october and december. a real yield hogs, we consider

jonathan ferro will be back in the seat.oomberg real yield." ♪ ♪ haslinda: hello, i'm haslinda amman in singapore. they don't fly much higher than the founder of airbnb, nathan blecharcyzyk, today's highflyer. ♪ financially self sufficient at 14, nathan always knew he wanted to be an entrepreneur. the company he started in 2008 is now valued at more than $36 billion. achieve strategy officer at airbnb, from the company's san francisco headquarters, the company to which sharing economy could further shape our lives. ♪ nate, welcome to high flyers. good to have you with us today. nate: thanks. haslinda: airbnb, it was a model against everything your parents taught you. here you are, one of three cofounders. take us through the early days. nate: that's right. this doesn't start with business ambitions. we were solving our own problem, how to pay the rent. haslinda: broke. nate: we were roommates in san francisco. in the summer of 2007, the rent an apartment was raised 25%. i said i'm out of here, but the two other guys wanted t

. ♪ ♪ jonathan: on jonathan ferro. this is bloomberg "real yield."start with corporate and focus on a little bit more in energy. an offering from transocean energy. energy companies are returning to credit markets at the fastest pace in three years, with bankruptcies falling and companies facing more than $70 billion of debt maturing in 2019. abu dhabi's $10 billion sale following saudi arabia's $12.5 billion issue last week. it was a record $89 billion this year. the big headliner was in spain. a sale of 3.2 billion, up 53 basis points. for the double on last month's spanish sales of similar debt. sending it to the highest level of interest in this maturity for months. oksana aronoff and george kumquat us that luke hickmore joins us as well. european politics is reasserting itself. this time it is spain and madrid and a divide opening up. does that stay a spain story or does it cleans through the rest of the periphery? luke: i think it is a spain story. the other gips, greece, italy, and portugal. if catalonia continues to cause problems, we have an

. ♪ ♪ lisa: from new york city, i'm lisa abramowicz, in for jonathan ferro. to fixed income, this is "bloomberg: real yield." ♪ lisa: coming up, what will be the pin that pops the bond market? perhaps it will be the central banks as ecb firms up its plans is to taper. leverage levels are creeping up all over as the imf focusing on the risk to financial stability. the largest u.s. banks report earnings and revealing a less creditworthy the american consumer. how big of a concern is that for debt markets? we s

. ♪ ♪ jonathan: from new york city, i am jonathan ferro with 30 minutes dedicated to fixed income. eal yield." ♪ jonathan: coming up, the president is said to lean toward jay powell to be the next chairman of the federal reserve. the u.s. economy delivers its best back-to-back quarterly growth since 2014. and draghi's stimulus plan helps insulate europe from political chaos in spain. we begin with the big issue. it could be the moment of truth for the bond bull market. >> it has been the graveyard of investment strategists for the last two or three years.

. ♪ ♪ jonathan: from new york city, i am jonathan ferro with 30 minutes dedicated to fixed income. up, the president is said to lean toward jay powell to be the next chairman of the federal reserve. the best back-to-back quarterly growth since 2014. and draghi's stimulus plan helps insulate europe from political chaos in spain. we begin with the big issue. it could be the moment of truth for the bull market. >> it has been the graveyard of investment strategists for the

. ♪ ♪ bloomberg daybreak will be taking to the airwaves, jonathan ferro, david westin, alix steel.ngs? david: we certainly will. we will have an interview with carly fiorina. she was the ceo who ran for president. she was the one who did not get it. she was outspoken about donald trump on the campaign trail. we will talk to her about what he is getting right and wrong in washington. tom: thank you so much. we continue with a quick briefing on technology. paul sweeney joining us from bloomberg intelligence. down on the story for a bloomberg intelligence, everyone is looking at earnings in the single digits and high single digits, and then there are tech stocks. are your people modeling 20% plus tech growth forever? >> i'm not sure about forever, but they are seeing these kinds of numbers for the foreseeable future. everything that has consumer facing internet businesses, whether it is like facebook or google or an e-commerce company like amazon, they continue to put up extraordinary topline numbers. that is what investors are looking for now, topline growth profits will come wheneve

this is "bloomberg daybreak" along with jonathan ferro -- i'm jonathan ferro along with david westin.e high. futures just a little bit softer. we come down by about 0.1%. in europe, the main event, not the politics -- economic confidence in the eurozone at a 17-year high. we bounce back by 0.25%. treasuries were stable.

jonathan ferro is off. alix: futures relatively flat.or catching president trump saw it. check out what's happening with the bank stocks. morgan stanley getting a nice call. i fail to see what was wrong with this report.

jonathan: from new york for our viewers worldwide, i'm jonathan ferro. dicated to fixed income, this is "bloomberg real yield." ♪ jonathan: coming up, a weather-impaired jobs report shows payrolls fall and wage growth surge. the short list for the next fed chair reaches the president's desk. warsh, yellen, cohn, and powell are all in the running. and the divide between madrid and barcelona continues to grow, sending spanish funds lower and much lower. we begin with a big issue, wage growth surging. robert stan on the fed's next move. >> this is confirmation we are getting real wage growth.

. ♪ ♪ tom: from new york city, i'm tom keene in for jonathan ferro.icated to the fixed income markets, this is "bloomberg real yield." ♪ tom: coming up, will it be low rate kevin as the president meets the former fed governor? in this hour, will chairman wars keep the real yield lower for longer? yellen speaks, the nominal yield spikes higher, a little transitory september gives way to an inflated october

the gap between these two up, heardis says -- i jonathan ferro say the jon's.sts -- not mine, anna: thiss when you get the state-by-state breakdown on the payrolls, and that will allow economists to strip out what happens in houston, texas and florida. we will get information about the underlying state of the economy then. as we wait for the jobs report, the markets are on the move. the dollar index probably supported again. hawkish comments from fed officials. all of that leading to the sentiment that the u.s. economy has more to play after this increase in interest rates. we are in the highest in three months. manus: that was a strong 1% this month. they will talk about dollars and jobs. the dollar bulls are pawing the ground. we had a longest rally in the dollar this year. there is something about the data in japan. anna: when we talk about japan later on, we will talk about the policies of euronomics. she has diverse policies to talk about. the nikkei is higher. we have an absence in the markets in asia, so despite the fact asian markets are heading we their highest since july, are e

i am jonathan ferro with david is an and alix steel washington, d.c.h us later. the market action this tuesday, we snapped a winning streak in yesterday's session and pulled back from an all-time high. s&p 500 futures positive. president -- a decision from president draghi on thursday about the asset purchase program and treasury yields back to 2.40 on a 10 year for the first time since may of this year, going higher for basis points on treasuries. trump is expected to announce his pick for the fed chair any moment. uncertainty lingers on who will lead the federal reserve, one thing many investors are agreeing on, a flattening yield curve, whether the resident jesus taylor, yellen, others, or others more hawkish, strategist predict yield spreads will go fast -- joining us is markus schomer from pinebridge and terry simpson. is that your blue -- view at bloomberg "surveillanc -- >> spreads are tight and one of the reasons we think about credit spreads in the fixed income market where we try to say to clients to have cautions at these levels as it is tig

this is "bloomberg daybreak" along with jonathan ferro -- i'm jonathan ferro along with david westin. we come into another trading week at an all-time high. futures just a little bit softer. we come down by about 0.1%. in europe, the main event, not the politics -- economic confidence in the eurozone at a 17-year high. we bounce back by 0.25%. treasuries were stable. david. david: let's get an update on what is making headlines outside the business world. taylor: david, the first charges may be announced today in that investigation of russian involvement in last year's u.s. election. according to multiple reports, the grand jury associated with special counsel robert mueller as approved the first indictments. president trump called the investigation a witchhunt that is bad for the country. puerto rico plans to cancel a controversial $300 million contract to rebuild the island's power grid after it was devastated by the hurricane. the contract went to a tiny company based in whitefish, montana, the hometown of interior secretary ryan zinke. whitefish energy had two employees before win

i am jonathan ferro alongside david westin alix steel. i am going to borrow a line from kit juckes, it is the quiet before the quiet. stocks are positive about 1/10 of 1% on the s&p 500. treasury yields grind higher by three basis points on the u.s. 10 year, and the dollar bid is in the market for a fifth straight session stronger than everything in the g10 space. alix: welcome back. how was your jolly? jonathan: it was better with cable down and the euro at 1.17. alix: talking about cable, take a look at the gilt market. in the gilt market you are seeing yields up about four basis points. after thetively flat data out of the u.k. unemployment and wages. dollar-mex down slightly. aluminum missed, down 1%. david: it is time for your morning brief. we will start out here in from two fed presidents, bill dudley and robert kaplan in a discussion. u.s.nutes later we get housing starts and building permits for september, and the senate finance committee will meet with president trump. jonathan: china's president xi jinping laid out a roadmap to