we are joined by yves bonzon, cio of julius baer. thank you for joining us. want to start with a message that we got from goldman sachs because let's me read it to you. they writes that powell will likely note that the fomc aims to move deliberately but more cautiously now that fund rates artisan and restrictive territory and that the full impact of the economy on the very large tightening and financial conditions to date is not clear. they wrap this up by saying that the peak will be higher at 5%. what do you make of that? will this be a slower but higher peak fed? yves: i think so, although i am not sure that this is a straightforward manner. the fed wants to tighten. they understand a lag between tightening of the transmission of the tightening to the system. so far the system has been resilient, far more than i ever expected in terms of absorbing such a rapid cost because of capital. i think the fed will deliver what the markets expect as it usually does. the question is what then? then the market is pricing a range of 5% for fund rates. this is a massive

the head of regional research at julius baer. mark matthews. .as lashed out at the u.s. and europe and reiterated support for china's claims to taiwan. he accused the u.s. and its allies of seeking global domination. the russian leader also denied intending to use nuclear weapons in ukraine. the pentagon's new national defense strategy has rejected some limits on using nuclear weapons. the document does not rule out their use in retaliation to a nonnuclear strategic threat to the u.s., and its allies were forces overseas, citing the rise of china and russia as strategic competitors and potential adversaries. president biden campaigned on only using nuclear weapons to deter or retaliate against a nuclear attack. the u.s. says it expects a deal soon with global allies to limit shipments of to china. making the u.s. controls is a work in progress. credit suisse's top two leaders described plans to remake the troubled bank as decisive, promising an end to have measures. the restructuring will see a $4 billion capital raise, thousands of job cuts, and

joining us is julius baer chief economist. it's kind of the same question to you. how long do you think the markets will give him to deliver and what you think we will see. >> i think the environmental -- the environment has improved. that market as a response to extension policy so when you compare that for example you mentioned in italy they have to expand the fiscal policy in the euro zone, germany and fiscal policy you've never seen really markets move that much so it was probably wrong from the ceo on expander -- it's miniature. it's not only depth per se that so high. with the new on the new focus on the fiscal policy side that markets won't digest that much better. guy: the bank of england meeting is going to be before this statement that we are going to -- how difficult is the bank of england's job as a result of the shift in time you think? >> it remains difficult. in the u.k. in particular between monetary policy on one hand side fiscal policy on the other side been pretty poor in the past and of course the timing now with the bank of england there with m