let me get to michael regan to explain this new bout of volatility this morning. to be down this morning? michael: once you have volatility, it is hard to put it back in a bottle. it is important to point out that futures can sometimes give you a false signal, a head fake. that said, when you look at a super cell like this, it is hard to imagine a cash open -- headlines,seball david einhorn having a struggling year and struggling month. how much of this is not what people want to do but they are forced to do? michael: i think there is a lot of that. portfolios target a certain amount of volatility, and when you see swings like this, they are trading off of signals that are not necessarily fundamental at all, rejiggering their portfolios. tom: the principal, former central banker, person-to-person, markets do not matter. janet yellen is in a tough position, isn't she? she has a public persona. there are things she is not a lot to say. or you ever worried about the markets as governor of the bank of israel? jacob: of course. worried in the sense of looking for infor

we have been doing this hourly with michael regan of bloomberg news.fferent yesterday. >> you cannot count on this v-shaped recovery we have had in the bull market. this is the most anomalous dip we have seen since 2011. the question to me is -- is that low we set going to hold? we are about 400 dow points above it now. the drop we saw last week -- if you look at the channel at the chart has been in, we really pierced below the bottom of the channel sharply. not just because of the drop last week but the flattening out of the market. it's a great cliche. i didn't mean to rhyme those. tom: he is talented. brendan: come what may. [laughter] when you look at futures looking at microsoft, apple and bank of america performing the best now. >> people are a little bit confident in the market today but this is not a real robust rally in futures. it doesn't appear to be a v-shaped recovery. it would not surprise me if we make another test at those lows. tom: thank you, so much. with us to provide perspective on wall street. ralph flaustein. not only the founder

i ran into michael regan and he was affusive. she thought this debate was terrific and thought lindsey graham was on fire and reforming to lindsey graham making laugh lines, particularly thurman having four kids and unless everyone wants to do that, time to get more legal immigration. everybody laughed here. this was a good one. the hall is smaller than the first debate. this is just 500 people. so it was quieter at first. people were very respectful for awhile, you could hear a pen drop but when candidates took to the podium, people loosened up, there was laughing and you know what was interesting, maybe i can show you, anderson, it's that, how close it is. how close the podiums are to the front row of where everyone was sitting. that made for a very, very intimate setting, as it will for the next debate, as well. i'll send it back to you guys right now. we'll be watching, wolf. >> alison, thanks very much. with us here inside this debate hall, our panel of cnn political commentators, the former obama advisor, van jones and poli

michael regan will join us more on the selloff when we come back.on't go away, this is "bloomberg market day." ♪ . . the only way to get better is to challenge yourself, and that's what we're doing at xfinity. we are challenging ourselves to improve every aspect of your experience. and this includes our commitment to being on time. every time. that's why if we're ever late for an appointment, we'll credit your account $20. it's our promise to you. we're doing everything we can to give you the best experience possible. because we should fit into your life. not the other way around. welcome back to the bloomberg market day. i am olivia sterns. we have a cell of once again -- we have a selloff once again. nasdaq and the officially in correction territory. that is to say they are off 10%. all 30 dow components are in the red, all 10 sectors in the s&p are lower. energy and financials bearing the brunt of the selling. the doubt is just off it session lows. some --quickly show you new coast guard icebreakers in the polar region. the president is on a thre

michael regan is here. can you predict the recession? mike: it's an interesting dynamic.you have a correction like this, a drop of more than 10%. highs.record it doesn't always mean we are headed for recession. of the 40 corrections we have had since the 1920's, 13 of them preceded a recession in the economy. if the drop gets worse and we enter a bear market of more than 20%, then the track record gets a lot better. it's 10 of 13 bear markets pray looting a recession. as of now, it's less than a 50-50 shot. explain this, for sure. bars are shaded recessions. are corrections in the market. it's showing basically that every correction does not foreshadow a recession in the next year. olivia: the s&p has predicted 20 of the last? mike: if you think about recessions and corrections. their markets are a little bit more accurate. 10 of 13. if we get to a 20% drop, that's going to be more scary for the prospects. it kind of makes sense. everybody talks are at the stock market looking forward rather than back. trying to look at actual in the books data is very poor. olivia: there

michael regan also here. and from london, a special appearance, jonathan ferro, let's start with you. i look to the stoxx 600. what are people saying? jonathan: the only good news is we are on session we open much lower, down as much as 3% at one point. it is classic risk aversion to equities. yields go lower, the dollar yen goes below 120. for me, the big headline is china, china, china. nonmanufacturing pmi. the story we have been told over the past 12 months is short their manufacturing will weaken but services will improve. erik: i want to bring mike into this as well. is vicks is what everyone talking about. the volatility that comes as a result of the implied vote of futures. the best thing we have got going , this is the ball in european .tocks it is up 10% right now but that index, again, this is our best proxy until the vicks starts trading at 9:30. session lows. >> the caveat is european volatility has picked up at a time when actually u.s. volatility, the vicks, has stayed pretty much muted through

joining me for a preview, the chief economist at bloomberg intelligence and michael regan who has allock angle covered for us. what is most important in the jobs report tomorrow? >> normally we look at different components of the report. now we have to focus on the concurrent and leading indicators. things like the unemployment rate are very close. we're at the top end of the year and range. labor market participation certainly matters over the long run. not tomorrow. near-term activity is what will dictate if the inflation trends deviates in the direction the fed is hope -- hoping it will. we look at aggregate income growth, because that will tell us if the consumers have the wherewithal to keep up the pace of spending in the second half of the year. alix: we usually get this awesome note the day before that sense when a job number is above expectation, this is what jobs will do -- stocks will do. what kind of correlation between the jobs report and gold in on jobs>> last year employment data days, the stock markets rose 11 of 12 times. missed estimates, beat estimates, did not matte

regan thomas michael regan christian michael otto regenhard howard reich gregg reidy james brian reillyevin o. reilly timothy e. reilly joseph reina jr. thomas barnes reinig frank bennett reisman joshua scott reiss karen renda john armand reo richard c. rescorla john thomas resta david e. retik todd h. ruben. luis clodoaldo revilla eduvigis reyes jr. bruce albert reynolds john frederick rhodes francis saverio riccardelli rudolph n. riccio ann marie riccoboni david harlow rice. eileen mary rice kenneth frederick rice iii cecilia e richards. vernon allan richard >> and my brother, harry young, the unsung hero of my life. god bless the united states of america. >> and my father, frederick charles rimmele iii we all love and miss you like crazy. god bless you and god bless america. claude daniel richards gregory david richards michael richards venesha orintia richards jimmy riches. alan jay richman john m. rigo frederick charles rimmele iii rose mary riso moises n. rivas joseph rivelli carmen alicia rivera isaias rivera juan william rivera linda ivelisse rivera david e. rivers joseph r. riv

theing us now to discuss is bloomberg stocks editor at large, michael regan. doing research. we know that september is a weak month for equities. now that we have everyone back at business and at work and trading, it will feel like history would dictate that this would be a short-lived phenomenon. mike: september is generally the worst month. this is far from your average september after the august that we saw. china is the big news. it is interesting that everyone has come to the understanding china are rallies in the work of the government propping up the equity markets. people seem to not care too much as long as that market has stabilized they're happy to come in today. i do not think it is all china. predominately it is, but the mergers that are here today, techno energy getting a bit. it is merger tuesday. it is not monday. scarlet: one more day to make deals? mike: exactly. a lot of these deals have been in the works for more than this recent volatility that we have seen. it is confidence inspiring that people are not backing away from deals like that.

joining us with some insight on this is michael regan, editor at large for bloomberg news. good morning, michael. >> good morning. >> is wall street afraid they're going to raise rates? >> that's part of the story, absolutely. but there's a lot more going on. the way i look at it, we're sort of spoiled by the stockmarket for many years. it was a nice slow climb upward with not a lot of volatility, meaning not a lot of wild swings and prices. there's a certain amount of human emotion involved but there's computerized ail go rhythmic traiting. they're pulling back. you know, they were basing their trading on the idea that we would stay calm and all of a sudden we had a big wave hit the boat and so there's a lot of ripple effect to that. volatility is like a genie let out of a bottle. you kind of have to let it run its course. >> but as we learned, as soon as there are waves, people start getting nervous. what's the advice right now no? >> it's tough to'. if you're trader, u you love these markets. if you're in it, you try to catch the lows and assault the heise. my colleague a

michael regan joins with more. breakdown the past couple of days and more a longer-term issue.o do it. obviously the volkswagen is having a big effect on auto stocks. one of the suppliers is down 8%. ford and general motors down 2%. volkswagen is looking at a huge multibillion dollar fine. that is the biggest drop among the main 24 industry groups. aside from that, by your talk -- biotech week for another day after hillary clinton said she will take a look at pricing in the industry. that is another short-term issue. then we have longer-term issues plaguing out. obviously, talking a lot about commodities. the contagion of getting to be pretty acute. glencore dropping very big today. dropping below 125 pence. that's will stick people out. they raised equity. all of a sudden the new shares are losing money quickly. that makes you wonder if there are other minors in trouble that may have a tough time selling equity to fix the balance sheet. that is a big issue. petrobras reaching a 12 year low. the brazilian real reaching a record low. obviously that is part commodities and part b

regan. thomas reagan. kristin michael. howard. james bryan riley. kevin o'reilly. timothy ryan a. ready.. john thomas. martha. david. todd rubin. john frederick. francis. david. 11. cecilia richards. and my brother, said the unsung hero of my life, god bless the united states of america. >> my father although i was only three months old never met you mom always tells me how i exactly like you and i am very proud to be your son i will follow in your footsteps i know you were all the watching over me. god bless america. ♪ >> gregory david richards. michael richards. jimmy richards. alan j. richmond. john. frederic charles. rosemary. joseph. carmen. isaiah. wind william rivera. linda. rivera. david rivers. joseph. paul. john frank. stephen roach. leo arthur roberts. michael roberts. michael edward roberts donald walter robinson, jr.. jeffrey robinson. michele. donald arthur. antonio. raymond james. laura rockefeller. john michael. antonio jose rodriguez. and danny rodriguez. carmen rodriguez. gregory rodriguez. marsha rodriguez. my rug rodriguez. richard rodriguez. dated rodriquez and. >> t

regan. thomas reagan. kristin michael. howard. james bryan riley. kevin o'reilly. timothy ryan a. ready.karen. john. john thomas. martha. david. todd rubin. john frederick. francis. david. 11. cecilia richards. and my brother, said the unsung hero of my life, god bless the united states of america. >> my father although i was only three months old never met you mom always tells me how i exactly like you and i am very proud to be your son i will follow in your footsteps i know you were all the watching over me. god bless america. ♪ >> gregory david richards. michael richards. jimmy richards. alan j. richmond. john. frederic charles. rosemary. joseph. carmen. isaiah. wind william rivera. linda. rivera. david rivers. joseph. paul. john frank. stephen roach. leo arthur roberts. michael roberts. michael edward roberts donald walter robinson, jr.. jeffrey robinson. michele. donald arthur. antonio. raymond james. laura rockefeller. john michael. antonio jose rodriguez. and danny rodriguez. carmen rodriguez. gregory rodriguez. marsha rodriguez. my rug rodriguez. richard rodriguez. dated rodrique

michael. something i only decide i would admit later. legs wobbly. looked to regan the pride. >> i love you, mom. >> i love you. i won't do this again next year. >> by accepting michael's challenge to take the drop. check out michael's feet going up kicking away like a kid waiting for dessert while i gave myself a pep talk. try to be cool. >> try to be cool. >> are you ready. >> oh. >> oh. >> i got to get my throat. wheres my throat? >> dedicating a life to pushing the limits of physics and engineering to deliver to you, a thrilling safe human experience. >> the best part of job is watching the peoplement? is so rewarding when you see somebody coming up screaming and yelling and giving high fives to etch a other. >> we can only imagine what he has got in store for the fex big canned. arthur chi'en, "fox 5 news." >> that is crazy stuff. see more upclose video of arthur riding the roller coaster as we put unedited version on the facebook page. >> today is the last day to enter the drawing for a chance to see pope francis when the procession travels to central park lat

regan" out in less than three weeks. >>> now the mail. asheville, north carolina, funny how president obama contacted michael brown's family but not the steinle'scord, mr. obama did not directly contact the brown family. les from arizona, suing san francisco is a good idea but the steinles are responsible for voting for the liberal politicians. you don't know know what you're talking about. the steinles don't live in san francisco. i cut you slack by not giving your last name but you need to wise i up. florida, i find it ridiculous how the sanctuary cities are designed to protect the illegal aliens but not people like kate steinle. perhaps we can organize a movement that says "innocent lives matter." achbt any from pensacola, three recent killing of police officers, you call it an epidem epidemic. five killings of african american men and you use statistics. 99.9% of all police interactions are peaceful. killing police officers is another matter. the recent rash of that must be reported in the context of civil unrest. my analysis is honest and fact based. mary ann, florida, a lot of floridians tonight. o'reilly i'm impressed that you know what