>> or maybe not as far as mark carney is concerned. >> wow, very good question. what is he going to do today? >> he'll obviously say, look, the unemployment rate is no longer what we thought it was. he might focus on inflation. the simple message, interest rates are going to stay. don't worry -- >> exactly. >> no one cares about all the thresholds and complicated stuff. >> does he make it more complicated by introducing new thresholds and new things to focus on or does he do what the market is getting right now, anyway? draghi is also speaking. >> who is he speaking to? >> he's speaking at 3:00 p.m. today. and he's talking about policy post crisis or where we are as far as the crisis is concerned. what crisis? we've moved beyond in europe. now, on today's show, procter & gamble hits investors with a profit warning. we'll be taking a look at how the corporates are being hit in the developing economy. >>> flying high, kettle airways expects to receive the first deliver of new airbus fleet. the carrier's ceo is down at the singapore's air show. >>> and ferrari gears

the financial stability board which time was headed by mark carney and a committee set up by the bank for international settlements calculated in two thousand and eleven that shadow banking worldwide was sixty seven trillion dollars so i'm talking trillions dollars i think i said billion. so you add that into it's not today given the acceleration of shadow banking in china we're probably looking at about seventy five kryten now if you add up all these bits and pieces you've got us m three you've got global m three and then you go shadow banking the gearing is roughly forty times the monetary base in the united states but if you take it even further and you say what was it relative to monetary base before the lehman crisis you end up with about one hundred thirty to one hundred forty times this is some gearing and it's potentially very unstable ok mention a few things are so well touch i would want to get briefly then move on but the point being that pre world war one you had currencies that were trading off gold and the price of gold was known and the value was accepted the difference

their homes for david cameron's reelection help to buy ponzi housing bubble which is enabled by mark carney who just left canada after building an enormous housing bubble there that has just popped that's now collapsing in the wake of his financial tragedy of course if you look at that price to edge of fifteen thousand pounds across the u.k. right for the average house price that reached income here or something like twenty six thousand pounds so you do the math or the mouse if you're british now let's turn to the hunger pain part of these games david cameron defends moral benefit cuts says they bring hope david cameron has denied that benefit cuts are plunging people into poverty saying they actually give people hope the prime minister hit back at criticism from the head of the roman catholic church in england and wales insisting that they were part of his moral mission for the country well david cameron is a troll and what i mean by that is there is some study done research. to examine the psychological profile of a troll and they found that they are sadistic and croll yeah and david came

concept to understand you know i'm thinking about mainstream media here and will have sold like mark carney on but they were will never ask him this question why does he pursue policies that are causing wealth and income inequality what why the wiser he's talking about you know bank of england should be the bank of inequality should be its official and he thinks that this whole idea of low rates to stimulate doesn't stimulate the economy that's another that doesn't stimulate employment no it takes it a little profit thing else in this country the economy is driven two thirds of it driven by consumer spending well so from the majority you've taken money away and you wonder why they're not spending anything they want to see was a feeling at the bank of england that somehow if you cut interest rates people would spend because there'd be no point in saving but of course their mind theoretical column is they've never actually had to live in the real world they don't understand that if you all living on a fixed income and your income is going down you're going to husband your resources not simply

round trip in from china we don't know but what part of the growth from last year and you know mark carney and george osborne have been celebrating the fact that the u.k. economy is growing but i want to remind people that it's a lot of round tripping of our own cash that was stolen from us because this first headline is from august of two thousand and thirteen last year p.p.i. compensation spurs a car to me through spending booze banks have inadvertently provided to boost the economy through the vast compensation payments made to customers who are missile payment protection insurance so last year they gave ten billion pounds to the economy which was promptly spent because people felt it was free money hey you guys still one hundred billion for me and now you're giving me ten billion back i feel rich it's kind of like a casino model well right now today this headline from this week bank customers the missile duf package the calends winning thousands of pounds in compensation so account holders were paying up to three hundred pounds in bogus charges of various things they didn't even know t

is the ghost of christmas present this is a disaster in the making today and of course you know mark carney over there bank of england says you know the economy's not recovering we need to keep interest rates low so there is a direct. contradiction to what cameron is saying is being repudiated by his own bank of england germany so those two guys are not on the same page there you come to me as being whack to death because interest rates are being kept artificially low that's the primary cause of the economic malaise is also the primary cause of this flooding. malinvestment over the last twenty years i've taken money out of stuff that could be useful like preventing floods and put it in the bank speculators you soon i'm saying it's a misallocation of money and i've engineer breaking garrisons clear and simple as the nose on your face is the stronger ball going into the hole giving rather you world championship the guys on fire who's going to get the crucible who's going to win again you heard it here i'm calling it six dogs world champion only boy and that other guy. and there was no other g

of flood of negative negative equity because that's the that's the legacy of mark carney he's a serial bubble blower and when he blows up this economy will go to some other first and country and ruin their economy these are he's a disaster one of the worst areas in terms of wages not keeping pace with the inflation of house prices is hackney hackney wages would need to be four times higher to keep pace with house price rises just over the past fifteen years so they are doing in hackney the equivalent of thirty one thousand three hundred four pounds but if they wanted to keep pace with house price inflation there the thirty one thousand pounds would need to be one hundred thirty one thousand pounds nine hundred twenty four per year again it's going to dismiss because here in the u.k. you had a strike from transportation workers and the grail system was shut down for a couple days and people are saying oh my god how could your victimizing us you're penalizing us we can't get to work or why should we pay you anything well without paying anybody anything you know i'm going to have the inco

by two thirds of the country and that one third of the country is essentially taking a gift from mark carney who because he claims there is deflation is giving them lots of free money to go speculate now and it's being subsidized by the other two thirds of the country he calls that the flow. asian but for some reason the fact that people are using home equity laws to extract wealth there are using their inflated house prices as collateral to do other other kinds of speculation that there is rampant inflation in house prices and anybody personal experience over the last few years would show them for the essential zx that they've actually got to cope with prices have been going up in this courtroom how to update a book recently that i wrote nothing to do with money at all but it was a little bit about money and it. came out in two thousand and five two thousand and six well only official figures alone were having to ramp everything up by a third so from then until now official inflation numbers show prices going up by a third we've talked about it before but there is an essential index these a

mark carney will present an updated version of his forward guidance policy.e will bring you the whole press conference live at 10:30 london time. >> the report follows janet yellen's testimony to keep rates near a record low. for more, joining us is the unicredit chief of -- janet yellen did a great job. and going to continue this reign by consensus. anything that lets you on easy or are you feeling more comfortable that this is a person that has the situation firmly in hand? >> it was a continuation of what they had. nobody thought that janet yellen was going to come out and change anything around really. she has a little bit more -- then ben that bernanke had because of the change. sam fisher coming in, a powerful man. a very got to drive careful road, but she is super competent. about isle ask me whether she is going to be as elegant and communication as we have had in the past. i think that is the big question. she has not said anything until now for about a year. we do not really know what she says or how she says it. >> you have always been fairly down

on the back of mark carney. his interview yesterday. urgere going to get the managers delighted. wants that. just marginally higher. -- we know that mario draghi wanted that. it is u.s. presidents' day. the futures are trading. board, the stoxx 600 as 2.5% in value. resorts and chemicals lose it in the markets. with had a nice bit of credit data in a japan. in china i am sorry. a transfer into the real economy. bit of ass, a little boost on some of the commodities stop things going well in china. copper, up. a one-week high rising for a second week. aboutn sachs is cautious copper. gold is rising by 0.25%. hedge funds are the most the bullish on gold in almost three months. crude oil, it will reopen tomorrow. 00.95 on crude. some of the companies. you have a right down. a french construction company. they own 29% of the train maker. bouygues taking it on the chin. will not impact their cash. they key concern is cash generation. put into things. a nice ripple effect and raising the stock to outperform. also bracing the stock price to its target price of 1900 from 1650. stocksre so

as you know and everybody was crowing about the numbers that mark carney included was crowing about the employment numbers and he's changed his strategy in terms of raising interest rates he said well that forward guidance is out the window so he's come up with a bunch of the other terms he has like escape velocity which is a meaningless term so if you look at the seven point one percent number in the u k . out of the jobs that were created in two thousand and thirteen in the first quarter one thirty three to thirty percent one third of them were created in the property markets and for the entire year i think one in five was created as a result of the property bubble markets so these are in real estate now i think there's over close to five hundred fifty thousand people employed in that sector so that has to spawn off some sort of revenues but we're not generating the type of growth of the quality type of jobs and part time jobs don't count to buy these massive million pound for all you've got to build a creation of thirty new jobs are in the real estate sector realtors selling properti

just as he wants to take them private. >> coming up on the program, mark carney presents the fourth quarterort this morning. we will have more on which part of it the markets will be watching. ." welcome back to "countdown i am mark orton. >> plenty of macro themes to be watching today. we will be watching the inflation reports out of the u.k.. >> they tied policy to an unemployment rate that has fallen much quicker than anticipated. i am not the only one giving them a hard time. they have not touched on this. maybe next week it could climb higher. maybe around 7.4%. we could move away from the threshold. from a1.1% away threshold that they did not expect to hit until 2016. >> those options are plentiful. >> you can cut the unemployment threshold. you can look at things like lack of growth. it is putting it out there for interest rates. >> you come out there and you are under pressure. >> especially when there is an election next year. it is a big issue on that side of things. old-school special banking. where do you see inflation being? >> that could be one of the inflation -- headlines, t

mark carney has been dovish. why? yellow is rpi..ed down we know there is no inflation every way. did you see sweden has negative inflation? look at this white graph. it's very unusual. >> that is inc. lending. the bank lending part. we have had this huge kiwi buying of bonds. the idea was surely it would .mprove bank of england it's quite hard to have inflation and have a very stern economy. >> you speak as if we want more inflation, alan. it's a bit goldilocks. >> it is a bit goldilocks at the moment. rates are not going anywhere. >> the next chart, expectations. >> responding to the strong , you can see the higher rate premium. forward guidance has not really worked in terms of the market. we would still go against those markets. we still think they are building too much and because of the underlying bank lending. we are a cheerleader for mr. carney, absolutely. instead of forward guidance, we are with him. >> hard squeeze them all in. coutts & co.from >> he will be back from our newspapers. what will this reveal about mark carne

faces big surprises and will make life harder for mark carney. the chief u.k.mist at goldman sachs and joins us now. some positive challenges i guess from the u.k. economy's point of view and some negative challenges. when i look at what's tipping the balance now in terms of the bank of england, is the underperforming underrepresented inflation number or the fact that we're getting growth elsewhere and there is a roaring housing market? >> since guidance six months ago, they have been surprising on every dimension. >> forecasting. >> most people have. it is not just them alone. growth has obviously been stronger than they expected. productivity has been weaker than expected. it is because of that weakness in productivity that the unemployment rate has fallen as quickly as it has. both of these argue for tightening policy. then you have signs of labor supplies much more abundant than they would have thought. as you say, another big surprise has been inflation. inflation is more than a percent less than forecast last february. .le lower than they forecast back in

mark carney is delivering a press conference.earll be interesting to what he has to say about forward guidance. how do you you've all that into something more sophisticated, given the events that have taken place. what kind ofout reception you will get. then, we will talk about this application. it is making a splash. it does something really amazing. i will show you that in a little bit. that is assuming i can make it work on time. >> i love it. do not miss this app. guy johnson is all over this. guy johnson has the polls. we have an exclusive for you now. joining us now with the details of his ministry. who are they talking to? the cbcderstand that and the carlyle group are going to use it. for the moment, there is a bloomberg exclusive in our print edition. if it comes to this, they will be the biggest since 2007. it is the size of the deal that could be the challenge. road that thee morrison family goes down. to get a private equity group to do this deal on their own could be a challenge. putting two together, we the cdc andh

the country's unemployment has dropped to seven point one percent the bank of england governor mark carney has indicated the key interest rate will remain unchanged at a record low for the time being japan's trade data for january will be released on thursday the country's trade balance was kinda bad for eighteen straight months as of december. on the same day hsbc will release its latest survey on chinese manufacturing activity in january. the index stood at forty nine point five falling below the crucial level of fifty for the first time in six months. and the us consumer price index for january. also due out on thursday that december's cpi edged up one point five percent from the same month last year. and the silliness in business news for this hour i'll leave you with another tag on the markets it is. security authorities in each instance bank terrorists planted a bomb that ripped through a tourist bus explosion killed in the south koreans and their egyptian driver and wounded fifteen others. utilities to see the bus exploded near a checkpoint in the town and come up. egypt's border wi

of goldman sachs and there you have one after another who's the head of the bag of the english mark carney by the way is the abbreviation for carnival he's also former goldman sachs guy and it's not only goldman sachs it's all of the bags general i'm sorry to interrupt you but we're running out of time i'm getting yelled at to to go but you have to come back and we love hearing from you you're always entertaining and always insightful that was gerald celente author blogger and publisher of the trends journal time now for today's big deal. and harrison joins me now to talk to god he deals specifically mean a simple one now here's what's happening in these days now in detroit where we just recently saw the largest bankruptcy in u.s. history the federal government is going to buy land but not the u.s. federal government it's the canadian federal government that is doing all the buying and apparently the canadian government is going to start buying land and tried to make way for the u.s. side of a new bridge linking canada to the u.s. now the move is intended to circumvent opponents of the pro

round trip in from china we don't know but what part of the growth from last year and you know mark carney and george osborne have been celebrating the fact that the u.k. economy is growing but i want to remind people that it's a lot of round tripping of our own cash that was stolen from us because this first headline is from august of two thousand and thirteen last year p.p.i. compensation spurs a car to me through spending booze banks have inadvertently provided to boost the economy through the vast compensation payments made to customers who are missile payment protection insurance so last year they gave ten billion pounds to the economy.

this is what mark carney has to do. reflect the strength of the u.k.economy without suggesting that interest rates are about to go up. will he do that today? euro/dollar 1.3526. these are the top headlines. japan's prime minister abe is considering the biggest change to his country's military engagement rules since world war ii. he said japan needs to be able to come to the aid of its llies. u.s. law enforcement officials are warning russia-bound airlines to beware of bombs packed in toothpaste tubes. officials did not say what sparked the warning. security at sochi is tight in response to threats of terrorist strikes. rouha ninch accused iran tv of trying to plock his message to the nation. he said they were obstructing his discussion with the people. who ispute centered on would put countries to the president. we're watching the central bank policy decisions. we'll have announcements from the e.c.b. and the bank of england later this morning. joining us now to discuss this s the head of research and our own jonathan ferro. jon, let's kick off with yo

estate and billionaires row pays no maintenance at all and benefits from all the money printing of mark carney and a central banker friends and actually the guardian spoke to man who was walking down the sidewalk the pavement down there and he was an iranian guy he didn't say its name but he did say it was actually a horrible neighborhood to live in he lived there and he said because nobody's here so is deserted is the lap of dated all these homes i do lapid in there's a hope that the traffic on bishops avenue is really fast so he said it's not even worth living here but yet the property prices are so high because it's like a bully on fault and in fact the mayor boris johnson has defied downing street to call for taxes to be cranked up on the vacant properties he told city investors this month quote london homes aren't just blocks of bully on in the sky. right well that's exactly the point is that this is an asset that's not being used in a way that would be germ a into a functioning economy that's benefiting those who are contributing into the economy either through by paying for the roads pa

canada of the entire country lives on big and hockey pucks this is you know you think of anyone else mark carney he's out there every morning at six thirty am with a plan a bacon canadian bacon a good chuckle horse. with me i didn't know that so let's talk about the course being crowd funded and you're going right to the audience not only are they giving up five pounds or ten pounds for participate in funding this and maybe getting a premium or a reward of some type great rewards by. any handbags or shoes not yet i'm hoping that's my reward. fair enough. they are also suggesting topics yes they want to cover so tell us what the public with their what their hankering for free to cover on your new show get real. ones i just mention we have no suggestions about chinese porcelain find point kind of tough because another. thing that i mean i think i may be doing if you let me drive on your car here that would be a perfect start to show i think driving across tower bridge there's a show that jerry seinfeld comedians in cars going to have coffee this could be part of the rewards to. we're in a car with

environmental disaster at the top of the page is the economic disaster at the bottom of the page where mark carney is saying that the interest rates are on hold at near zero percent because the recovery is unsustainable but let's talk about what despite this free you know this fragile recovery in the u.k. economy here we have david cameron saying u.k. floods david cameron pledges unlimited public funds prime minister seeks to assert his authority over natural disaster with the promise of wider army roll and more money a resolute david cameron vowed to marshal the forces of the state to tackle the flooding crisis pledging a wider role for the army and unlimited public funds to protect families but this is cognitive dissonance because the this disaster here on the climate side the flooding is a direct result of totally ignoring the realities of manmade global chaos so they totally ignore this for years and now suddenly it's caught up to them the economy is crashing because of interest rates being forced lower which is keeping the zombie banks alive and their cash cannibalizing and parasite ties ing

interest rate policies and in this country have got the monetary policy committee bank of england mark carney over there it's bank of england and they are they the vortex of the cheap money would it make sense for the green party to say look we want representation on the mount terry policy committee we want our say because in order to weed out the parasites you've got to make the environment inhospitable to parasites and that means raising interest rates even though the homeowners are going to block if you want to get rid of the parasites in the criminals in the city you've got to raise interest rates where were you on this idea well first of all this is way out of my depth because and this is this is something the green party does have policy on but of you i think generally is that you don't have to have a green that necessarily you have to or are you don't need the green party necessarily but you need somebody there who understands fest a about climate change and secondly about how society can sort of work when it's a more equal society because clearly the more unequal society the less happ

. -- mark carney. >> you also have the housing bubble. you are not sure what you are looking at. are neutral on u.k. equities. they have come a long way. the u.k. economy is looking good. pmi is in the right direction. lending whenip out it comes to housing. if you look across the rest of the u.k., prices are still below where they were. activity has plenty of room to go. we are nowhere near bubble territory yet. we are starting to get to the level where it makes you wonder if we are a long way off? the u.s. got into trouble with housing we long abe much of money who cannot afford -- when we loaned money to a bunch of people cannot afford it. and a london certainly. >> you said you are not too concerned. >> i heard a bubble that is defined that is overbought or overvalued.r it is certainly overvalued. it does not necessitate a bubble. that floor for demand for london or berlin state is hard to envision that going away. demand for london real estate is hard to envision that's going away. the bottom line is -- [no audio] george had 5 billion pounds on it. inguess is he will still b

there's no deterrent if there's no prosecution if there's no rule of law then there's no reason why mark carney should have baby the law and should engage in more massive fraud but he wasn't there i don't think when the when this thing happened but the thing is that there's a measured explanation it's not there mervyn king was there but he inherits mervyn king's mass did he come out and say the new governor of the bank of england by the way mervyn king committed fraud we want to clean up the fraud to do it iceland did get rid of the bankers that are committing fraud no and this is what i scotland should do with their independence. very haven't well we got to go thank so much. state over this i can have a whole lot more. join me. for in-depth impartial and financial commentary interviews and much much. only on going bust and. to see any sort of. preserving maybe even a charcoal. the islamic religion this is one very powerful force awards maintaining traditional marriages and values just as they become more western liberalism becomes powerful and we have through the sort of. civilization. a colli