mark connors is still with us.ou get better permits, tjx comes in solid, what is your consumer readthrough? mark: on our position to go back to what we see and positioning, still very defensive. we have seen short covering. if you want to talk about cyclical engagement like we did about commodities, that is why we do not think this is an engagement of the cycle. europe, we think it is a valuation play. u.s. banks are 18%. european banks not as much. all the positioning is in europe because of the evaluation. we think this is a rotation into that vacuum of positioning, seeing what is cheap. european banks with the negative rate environment, those are cheap. back to what earnings are going on, i would not look too much into bricks and mortar versus the secular low. i think that is still there from an investor standpoint. above 59th street. [laughter] fair, there's is a t.j. maxx at 60th street, if either of you are checking it out. let's go broader to what the mortgage bond market is saying about housing. a demand fo

here to talk about this is mark connors.u for joining when you look at some of the concerns that markets should be focusing on, the trade is epicenter. are you worried about the mechanism of the actual markets? >> yes. in september, we got a window on the declining efficacy of the market. one of our analysts wrote about this in august. he said there are 800 billion bills coming down to fund this deficit in the u.s.. it will not be a deficit -- just be a deficit issue. tax related declining chaos. they reduced liquidity. deficitsn and funding are declining and rates go higher. that is going to be a problem for the fed. it goes to how do you keep rates lower while keeping bond issuance up. francine: this is basically a plumbing problem. no one looks at this until it goes badly. pop could happen. you bring up a good point. is it going to be a problem? the answer is yes. if someone cannot fund at year end, they will have to sell. they basically may have to raise their hands and go to one of the central banks and say i need help.