there are nine members of the monetary policy committee that sets interest rates, the bank's committeeise, saying the economy was too weak. you earlier today spoke to david blanchflower, a former member of the monetary policy committee, he said this wasn't the time to do it. he said the economy was too weak and real incomes are stagnant. i think the bank of england has acted today to put the country almost unnoticed, we will act if inflation, prices, are going up too quickly. but the big suggestion from the governor, who i spoke to today about this, is that this is slow and gradual. any increases in the future. i think many people will be surprised if there was more than one more rate rise next year, and possibly one more after that, before 2020 will stop that will get us to an interest rate at the heady height of i%, still a very historic low. the era of historically low interest rates is not coming to an end any time soon. kamal ahmed, our is not coming to an end any time soon. kamalahmed, our economic sedative, thank you. —— economics editor, thank you. president trump has nominated

monetary policy decisions are of committees consisting of nine members. rnor cannot decide monetary policy always. the majority desires the monetary policy. are a diversity of policymong monetary committee members, it is natural to not always have unanimous support made to a particular monetary policy decision. 8 versus 1 or 6 versus 3, and so on and so forth. and that, showing that, i don't thek would reduce effectiveness of the monetary policy. because it showed a diversity of views. and after extensive discussions on the economic outlook, financial decisions, and the monetary committee will reach the policy to be incremented. i think this is rather not a weakness but a strength of the monetary policy decision. showing the extensive devaluation on the economy and policy. so i do not think current is making any negative impact on the effectiveness of monetary policy. ok.ink it is basically [laughter] david: it reminds me of something that don gohn taught me. francine: janet yellen just a thatt ago saying communication has become a fully tool --monetary po

the bank's monetary policy committee says the rise, to 0.5%, is part of its fight against inflation, and there could be more to come. consistent with our mandate, and consistent with supporting the economy, that requires about two more interest rate increases over the next three years. while it's good news for savers, many homeowners with variable mortgages will face higher bills. any hike in interest or supermarket bills affects me instantly. i think they are so low at the moment, i'm not too worried about it. at the moment it's a case of getting a deposit, and with the deposit, interest rates are going to make that better. we'll be talking to a former member of the monetary committee who's been very critical of the today's rise. the other main stories on bbc news at 5: at westminster, the new defence secretary is gavin williamson, who used to be the conservative chief whip. some of his colleagues are not happy with the appointment. the ousted catalan leader, carles puigdemont, is facing a spanish arrest warrant as eight former colleagues are detained in the wake of the disputed ind

he says there is, although just within the last week or so, his monetary policy committee at the bankd deemed there was enough strength in the economy to raise interest rates. inflation were strong, economic growth, although not at the levels precrisis, it has been consistently growing one quarter after another. some will see him as the remainer in chief. if he scaremongering? scaremongering and talking to brexit when people to be making a success of it. we have a summit in a matter of it. we have a summit in a matter of weeks and we don't know where we will stand in terms of trade within the eu. it is causing huge amount of uncertainty. in my business, artificial intelligence and technology, we are not able to hire as well as we could before. there is as well as we could before. there is a lot of focus on this article that is right about the supply chain issues. there will be companies in the uk that are producing products that are part of a supply chain throughout europe. if we can't sort out these trade deals and figure out what the transition process is, that is gorging asthma cau

this time many members of the monetary policy committee and the monetary policy committee and the bank that the reaction would be subdued. this has been priced in. sterling has increased in some strength over the past few weeks because of this signalling from the bank. and the markets will probably say, well, this is what we expected, i imagine it won't be too volatile. ta nks it won't be too volatile. tanks very much. joining me now is the retail expert from savvy marketing. consumers are heavily indebted. although the bank of england might describe this interest rate rise as modest, what do you think the average consumer will make of it? i think they are feeling wobbly. we are fragile when it comes to consumer confidence. we are concerned about our household incomes. people will be concerned that this is the start of a number of rises. this is the first in ten yea rs. if of rises. this is the first in ten years. if you are 28 or under, you've never seen a years. if you are 28 or under, you've never seen a rise before. that's always concerned because you feel worried about what the fu

the bank's monetary policy committee says the rise — to 0.5% — is part of its fight against inflationur mandate and consistent with supporting the economy, that requires about two more interest rate increases over the next three years. and while it's good news for savers, many homeowners with variable mortgages will face higher bills. i'm hoping it'll go up a bit more as well to give us a bit more back. we'll just be tightening the belt fully and looking at ways to save, really. we'll be looking at the impact of the rise on millions of households, and how the high street banks have responded. also tonight. the new defence secretary is gavin williamson — who used to be the conservative chief whip. some of his colleagues are not happy with the appointment.

monetary policy independence. >> the boe raised rates for the first time in a decade, yet expressed concern by indicating another increase is not imminent. monetary policy committeeed the ban benchmark rate. mark carney says the boe will do what is necessary. leading a global anticorruption drive to compel energy and mining companies to disclose the payments they make to government. washington says the campaign is not fit with u.s. law. former trump campaign chairman hall manafort and his longtime business associate rick gates have asked a federal judge to release them from home arrests as they await trial. ofy say they pose no risk fleeing abroad and should be allowed to travel while preparing defenses. they are accused of money laundering, lying to the fbi, and other financial charges. global news 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. rishaad: the republicans have rolled out first details of their much anticipated tax reform plan. it would see the corporate tax 30% to 20%.m the u.s. market is not seem to be impressed. another record, but only up .3%. has anything changed in asia this mor

meeting to discuss the future of monetary policy committee occasion. the officials an agreement and general on the use of forward guidance. formulated a framework where the various parts of this forward guidance, interest rates on one side, and the asset purchase on the other, would interact and a synergy. >> for us, almost all guidance should be conditional and related to the outlook for the economy. >> to a much richer instrument. >> expectations are formed, not only by forward-looking, but by backward looking way. --in the end, it is relative a rounding error -- relative to households to businesses and you have to get out. >> it is a matter of policy itself. mark: joining us run our frankfurt bureau is our western european central bank team leader from bloomberg news. why are central bankers getting so worked up about forward guidance? become aially, it has policy instrument which was stated by mario draghi. not that long ago, you can remember central bankers reduce an interest rate increase or cut out of nowhere. 20 years ago the bank of england wa

we are joined by the former member of the bank of england monetary policy committee david blanchflowerreate firepower? no. i don't normally disagree with my friend gillian, but i'm afraid this looks to be a big mistake to me. the way you create firepower is not to create a recession yourself. people want to raise rates so when a recession comes you can cut rates. this looks like an enormous mistake. there is nothing in the data whatsoever to sustain it. it looks to me like the rate rise which was done in july 2007 that i actually voted against. it was returned a few months later and then we went into recession. i think this is a huge mistake. the reality is there is absolutely no data that says you should do it now. with the uncertainty over brexit, the uncertainty over the fiscal position of the government this looks like a big mistake. not only do you have sterling on the floor, the uncertainty of brexit, in the states you have a president who says he's going to cut taxes and simplify taxes would perhaps leads to more optimism but you don't necessarily have that coming out of philip

more hawkish for the first time since the crisis as investors watch closely for how the monetary policy committee is split. ♪ >>> markets in europe have been hope for a half hour look at the stoxx 600, on a very busy day like today, it's not moving much. but that belies some bigger moves we're seeing in individual stocks on the back of earnings we'll get to those in a second what's keeping us busy from the macro side today is obviously the expected pick for the fed chair likely to be jay powell but also the boe rate hike decision, and we're waiting for more details when it comes to tax reform in the u.s. we have banks trading to the upside, credit suisse put in a good result. real estate also up by a half of a percent. travel and leisure off by 0.8% healthcare is off by a half of a percent. tech stocks also lower by 0.4% all eyes on those apple numbers later today. quick look at the biggest gainers and losers on the stoxx 600, much of this is driven by the earnings story like hugo boss up 6.4%, despite weakness in the u.s., we saw an uptick of sales in china and tenaris is up 6% and randgold down

the monetary policy committee is the problem of uncertainty over a deal on brexit. happened before, this overshadowing issue of monetary policy. how do they deal with that do you think? the minute say they work on an average of possible outcomes, that i am sure is what they've done. i would make the point even though brexit is a particular form would make the point even though brexit is a particularform of uncertainty, the outlook always seems uncertain. it's quite common for forecasters to say things are particularly uncertain. if you look at the inflation report it chose the famous fan chart, they give a good indication of the uncertainty at the bank sees. they are perhaps wiser than they would be in the absence of brexit but have always shown the committee doesn't make any claims to certainty. wages aren't going up, inflation is. families already struggling, this is going to be a ha rd blow struggling, this is going to be a hard blow when £30 a month makes a difference to your budget. obviously some people will be affected by it. to be frank, there would be no po

the bank of england's monetary policy committee has risen the cost of borrowing from a quarter toa them a quarter to a half of percent. it means almost 4 million households will face higher mortgage payments after the rise, but long—awaited good news for savers who should get a modest lift their returns. it has been ten yea rs lift their returns. it has been ten years since the last rate rise, and we will look back at the fall it has taken. one of the first things you will notice about the iphone is it simple design. ican i canjust i can just about remember interest rate rises! with me is vicki price, and how do we seek the appointment ofjerome powell? he is himself in favour generally of a fairly easy monetary policy, perhaps not as easy as janet yellen, but certainly i think he would be listening a lot more to what donald trump wants to see happen. if it is a continuation, what is the point of changing? what he is obviously aiming to do is facilitate through the new appointment some of the deregulation that he wants to see into the banking system itself, which janet yellen didn't see

they discuss the future of monetary policy committee occasions. in general agreement on the use of forward guidance. >> we also formulated a framework where the various parts of this forward guidance, the interest rates on one side and the asset purchase on the other would interact in a synergy. >> for us, almost all guidance should be conditional and related to the outlook for the economy. >> to a much weaker instrument. formedre expectations not only by the forward-looking way, but also the backward looking way. >> but in the end, it is a bit of a round or relative. more than a bit of a round in error. you have to be able to get out. >> a matter of policy itself. scarlet: joining us now to discuss from washington, d.c., is bill lee. great to see you again. let's start off very basic first. define what forward guidance is. is a job opening, the use of certain words, or numbers, or both? >> credible guidance. allowse jawboning that us to know where the fed will be in the future. it is a very powerful tool mario draghi has been advocating. to go fr

that was slightly more conviction on the monetary policy committee than the consensus was thinking.nd sliding, gilt yields falling, repricing in terms of expectations for hikes further along the curve. the one key thing missed off the statement was something mark carney has said before, markets are underpricing the future rate hike part. that was not in the statement today. they highlighted the risks from brexit. although we got a hike today, it is quite firmly dovish. has the unreliable boyfriend regained his credibility? nejra: that is a great question. people are asking why the bank of england may have bothered to raise rates today as we got a more dovish outlook further along the rate hike path with mark carney saying the market's pricing it right at the moment, you could argue that hike today came largely to maintain credibility. markets had been fully pricing in this hike today given the forward guidance we had from the bank of england previous two -- fromat previous two the bank of england previous to today, the market now praising in a rate hike before the end of next year.

there are nine members of the monetary policy committee and some of them worked at the bank of englandy changes to monetary policy. but the bank of england governor, mark carney, has been signalling, and other members of the committee have been signalling that perhaps it is time to take the foot a little bit off the accelerator. they are not saying they are taking it up completely, butjust to put rates up a little bit. what do they ta ke rates up a little bit. what do they take into account before making their decision? what areas of the economy are they looking at? the main thing is they have a target for inflation, 2%. they have not met it. it was 1% a year ago and now it is up it was 1% a year ago and now it is up to 3% mostly because the pound has dropped and the goods we are importing like cheese or olives, i'm much more expensive. it has risen to 396 much more expensive. it has risen to 3% and it is still rising. but they look at the target over the longer term, so that is not the big issue. unemployment is at a 40 year low and they put in place an emergency rate cut of 0.25% jus

two members of the monetary policy committee thought it would be best of the bank of england held ratesis that the bank is not going to raise interest rates much further from now, going to raise interest rates much furtherfrom now, therefore they will get paid a higher dividend than they would by putting money into a savings account and that makes interesting look more attractive. sterling reversed some of those losses this morning when the pmi data came out, that strongly represented the service sectors, they did well. absolutely, the bank of england, the sterling rate, it‘s all mixed up on one thing we took from the decision today e—fit yesterday is that everything will be data — dependent. looking at the sterling and looking at the ftse it sounds obvious but good numbers will be good for sterling and bat numbers bad for sterling. in the short—term, maybe 80% of the uk economy, if that was good in october, the best that we have seen as an overall figure of six months but new orders, and most importantly probably unemployment still remains weak. businesses not willing to commit. they a

i reaffirm the remit that the monetary policy committee and its inflation target.british people, that deficit has been shrinking. next year, it will been shrinking. next year, it will be below 2%. our debt is still too high and we need to get it down. not for and ideological reason, but because successive debt undermines economic security leaving is vulnerable to shocks. it passes the burden unfairly to the next generation. and because it simply cannot be right to spend more on our debt interest than on police and armed forces combined. i am pleased to tell the house obr expects debt to tell the house obr expects debt to peak this year and then gradually fall as a share of gdp. they turning point in the recovery. mr deputy speaker, apparently, not everyone shares the view that falling debt is good news. i heard representations from the party opposite suggesting increasing the debt by £500 billion. taking us back to square one, wasting an extra £7 billion a year on debt interest. if they carry on like that, there will be plenty of others joining kezia like that, the

he took questions from members of the senate banking committee about his overall philosophy on monetary policy and the role of the fed chair. >> and the committee will come to order for the hearing. ] avel pound >> this morning we will consider the nomination for the chairman system.ederal reserve governor powell, welcome and congratulations on your nomination. i see friends and emily behind you and i welcome them here as well. governor powell has had an accomplished public and private career in financial services. he served as an assistant secretary and undersecretary secretary of the treasury under george h.w. bush, where he was responsible for policy on financial institutions and the treasury debt market among other areas. first-hand experience in investment banking and was a partner of the carlyle group before being appointed to serve on the board of governors and 2012. during his years of service and government and in the private sector, governor powell has proven he is qualified to lead the fed.

monetary policy. with ongoing strengthening and labor market conditions and an outlook for inflation, to return to 2% over the next couple of years, the fomc has continued to gradually reduce policy accommodation. the committee raised the target range for the federal funds rate by a quarter percentage point at both its march and june meetings with a range now standing at one-1. 25%. in october the committee began its balance sheet notarization program which will gradually and predictably reduce our securities holdings. the committee set limits on the face of balance sheet reduction. those limits should guard against outsize move in interest rates another potential market strains. indeed, there has been little if any market effect associated with balance sheet runoff to date. we do not foresee a need to alter the balance sheet program, but as we said in june, we would be prepared to resume reinvestment if a material deterioration in economic outlook work toward the sizable reduction in the federal funds rate. changes to the target range for the federal funds rate will continue to be the committee's primary means of adjusting the stance of monetary policy. our beating earlier this month we decide to maintain t

who said he will do a big number on dodd-frank on monetary policy, powell looks set to generally follow the framework laid out by the existing committeehen it comes to gradual hikes if he has a different idea about monetary policy, he has not let it been known. he has broken with republican critics calling the fed's easing policy in the wake of the crisis a success. here is he from june the economy is now close to full employment and price accommodative policy helped restore full employment and return inflation closer to the 2% goal. he's a low-rate guy who favors some changes to dodd-frank that might help answer your question a bit in the sense that trump was never going to go just with janet yellen. he wants changes to regulation when it comes to the banks, and also probably wants a person sitting in that seat when it comes to congressional testimony when asked about tax cuts who will be at least somewhat more favorable to the idea of their impacted on growth than yellen might have been. >> steve, if it is jay powell, and if he is someone that turns out to be more of the same in terms of his own voting and his own intentions with cr

he serves on a independent panel known as a shadow -- open market committee that aims to have monetary policy. global news, 24 hours a day, powered by more than 2700 journalists and analysts in over 120 countries. i'm rosalind chin. this is bloomberg. korea raisednk of its interest rate for the first time in six or seven years. the quarter-point hike was back up to 1.5%. analysts.recasted by it is likely a turning point for a lot of central banks across the asia-pacific are we are joined with our correspondent. steve, as we have been talking about, this was well telegraphed what were the key takeaways from the press briefing that just finished? to parse are trying the words from governor lee and seeing any kind of guidance because they have done this tightening the first time since 2011. the quarter basis point. the majority baked into the expectations. the question is, what are in the cards for 2018? say ity two hikes, some could be a shorter tightening cycle than previous cycles, because there is a ceiling on the potential growth in the economy. benignon also pretty right now. it is inching

committee. janet yellen was a powerful vice chair who really came out and was a heavy hitter on monetary policy.sher wasn't in international space for the committee. you can have that role exert a different influence depending on the position. is interesting to have someone like him in the role because he has an intense history and is an economic heavyweight. he has gone to oxford and wrote about the about the fed and has that material behind his name. >> is that why we're hearing about this or are there other is it perhaps a not behind the scenes? a note of caution is it is a wall street journal based on source. i think it is good to take it with a grain of salt. if he seems to besource. i think it is a serious candidate for the position, you probably has a lot to do with the fact that he is a good communicator concerned with views. you want a fed chair and a vice chair who can work together and work toward one common goal. you can see him being a good fit for that. >> how long can the head go without a vice chair? >> probably for a while but the short on people right now. , wet yellen after fe

he took questions from members of the senate banking committee about his overall philosophy on monetary policy and the role of the fed chair. >> and the committee will come to order for the hearing. ] avel pound >> this morning we will consider the nomination for the chairman system.ederal reserve governor powell, welcome and congratulations on your nomination. i see friends and emily behind you and i welcome them here as well. governor powell has had an accomplished public and private career in financial services. he served as an assistant secretary and undersecretary secretary of the treasury under george h.w. bush, where he was responsible for policy on financial institutions and the treasury debt market among other areas. first-hand experience in investment banking and was a partner of the carlyle group before being appointed to serve on the board of governors and 2012. during his years of service and government and in the private sector, governor powell has proven he is qualified to lead the fed. if confirmed, he will plan a part role in striking the important balance the tweening need fo

is thatur traditions the fed chair has to give monetary policy testimony and send it to the senate banking committee house financial everyes committee february and every july. that is mandated by law. week, i was slated to go testify. it's a rigorous process of preparing that. we were at a point of having to ,ake some significant changes so i quickly started meeting with staff. one of the things i recall doing on the first day in the office was preparing a video message for our staff. when there is a change of leadership, i think it's important that people throughout the organization begin to feel connected and know what the values and priorities are of the person who is going to be at the helm now. it probably wasn't any great surprise to the staff. i've been in san francisco. inas a staff member earlier my career. nevertheless, i did prepare a video message in which i talked about the values of our organization. our commitment to professionalism, public service, acting with integrity in a nonpartisan way and commitment to a strong economy and financial system. >> first fomc meeting, what is the at

committee of janet yellen expanding. have we changed the way the fed is run and monetary policy is run from one man deciding what is goingppen to a real committee system? peter: this is one of the cycle and fed, a history that goes back and forth. you are right naming the strong fed chairs. each one you names, there are periods with a committee rose up and demanded more participation. what we see with bernanke as he starts with a committee and then in a crisis, he grabs reigns and starts take control. we are in a moment, and yellen has extended this, a committee-based governance. everything we know about jay powell, that is his way as well. i think that is a good thing. we should not have these empires and colts of personalities. i think this is a good thing we should expect to continue. tom: hugely valuable. think you so much. of course, -- thank you so much. of course, is important look ofe mnuchin operation the federal reserve system. the power of independence of the federal reserve. scarlet: your bedtime reading the last couple of months. tom: it has been. i got to jump to 10 and then went to the doctors-astros. earl

richmond fed, he served on an independent panel known as the shadow open market committee providing alternative views on monetary policyussia are ready to extend their oil production cuts until the end of next year to ensure global stockpiles keep falling and prices in 10 recent gains. according to delegates in vienna who attended all members and russia agreed the cuts should last until the end of next year. two delegates said a committee overture -- charged with overseeing the agreement recommended extending until the end of 2018. the u.s. has demanded china cut off all oil exports to north korea after the country's latest intercontinental ballistic missile test morning that washington will force action is -- if beijing ails to do so. speaking at a emergency session, nikki haley said donald trump had called china's president xi to discuss the matter. u.s. senate republicans have voted to begin debate on their sweeping tax overhaul bill that would cut rates were businesses and individuals touching off a process that could produce an up or down vote before the end of this week. if they can approve this week they will ha

the target range for the federal funds rate will continue to be the committee's primary means of adjusting the stamps of monetary policy. at our meeting earlier this month we decided to maintain the existing target range for it federal funds rate. we continue to expect the gradual increases to the federal funds rate will be aproep ret to sustain a a healthy labor market and around the 2% objective. that expectation is based on the view that the current level of the federal funds rate remains somewhat below its neutral level. that is the rate neither expansionary or contractionary and keeps the economy operating on an even keel. the neutral rate currently apeer ooze be quite low by historical standards, implying the federal funds rate would not have to rise much firther to get to a neutral policy stance. if the neutral level rises somewhat over time, as most fomc participants expect, additional gradual rate hikes would likely be appropriate over the next few years to sustain it economic expansion. of course policies not on a preset course. the appropriate path will depend on the economic outlook as informed by incoming

committee hearing live at 10:00 eastern. in the afternoon a house subcommittee on monetary policy and trade looks at the effectiveness of us sanctionsinst iran and north korea live at 2:00 pm, you can find both of those hearings on c-span3 come online on c-span.org and the free c-span radio apps. >> sunday night on afterwards, jeanette on her book man of the hour about her grandfather, the director of the manhattan project, she's interviewed by bruce darling of the national academy of sciences and natural research council. >> because of his entire wartime experience he became convinced the only way for democracy to survive, the best way to beat our enemies and be a strong country was to have a great school system where we showed that democracy was better than dictatorship and that we would have sufficiently brilliant people, talented people in government and science and the way to do that was to have the sat which he helped invent and implement in schools across the country to produce what he felt were the

monetary policy. with ongoing strengthening in labor market conditions and an outlook for inflation to return to 2% over the next couple of years, the fomc has continued to gradually reduce policy accommodation. the committee raised the target range for the federal funds rate by a quarter percentage point at both our march and june meetings, with the range is standing at 1.25%. in october, the committee began its balance sheet normalization program in which will gradually unpredictably reduce -- gradually and predictably reduce our securities holdings. the committee set limits on the pace of balance-she reduction. those limits should guard against outside moves in interest rates and other potential market strains. indeed, there has been little if any market effect associated with the balance-sheet run off to date. need tot foresee a alter the balance sheet program, but we would be prepared to assume reinvestment if the material deterioration in the economic outlook were to warrant a sizable reduction in the federal funds rate. changes to the target range for the federal funds rate will continue to be the primary means of adjusting the stance of monetary policy. at our meeting earlier this month, we decided

capacities, including most recently as chairman of the board's committee on supervision and regulation my views on a wide range of monetary policy are on the public record, in speeches and testimonies during my service at the fed congress established the federal reserve more than a century ago to provide a safer and more flexible monetary and financial system in almost exactly four years ago, you assigned us the dual monetary policy goals of maximum employment, meaning that people who want work either have a job or are likely to find one fairly quickly. and price stability. meaning that inflation is low and stable enough tat it need not figure into households and businesses' economic decisions i have had the great privilege of serving under chairman bernanke and chair yellen, and like them, i will do everything in my power to achieve those goals while preserving the federal reserve's independent and nonpartisan status that is so vital to their pursuit. in our democracy, transparency and accountability must accompany that independence. we're transparent and accountable in many ways among them, we affirm our numerical inflation ob

they always have a vote when it comes to monetary policy, in addition, they serve as the vice chair of the federal market committeer thing is going to happen, the fed is going to unwhine it, a $4.5 trillion balance sheet which never been done exclusive knowledge. >> that would argument -- up that list, brian sack would know that plumbing as well as anyone. >> hi, joe, thank you, steve appreciate it. >> all right, 840 horsepower of pure muscle and also barely street legal it is street legal chrysler's new dodge, it is drawing critics. some peoplewanted nnbaed on th streets. you got to see this next on "power lunch." so what else is new? how's your mother? umm..she's doing good. she needs more care though. she wants to stay in her house. i don't know even where to start with that. first, let's take a look at your financial plan and see what we can do. ok, so we've got... we'll listen. we'll talk. we'll plan. baird. that's it. i'm calling kohler about their walk-in bath. nah. not gonna happen. my name is ken. how may i help you? hi, i'm calling about kohler's walk-in bath. excellent! happy to help. huh? hold one mome

monetary policy? the fact he hasn't dissented. how much does that really tell us? mark: it is difficult when you are in a large committeeike that to be too much of an oddball when you have other people that call you back into line. plus, there is so much scrutiny on fed members. it is not really a place for a maverick to stand out. if you look at the history of or 30d over the last 20 years, it has never really been a place where the chairman has ever done anything very unusual or dramatic. ifwould be very surprising mr. powell was to do anything like that, as well. get onea while, you do or two fed members lower down the chain may be a bit on the extreme, but for the chairman to be so is unlikely. guy: folk are raised interest rates to 15%. he was followed a few years ago by ben bernanke who did the opposite. monetaryaries of policy by those two gentleman got considered -- extended quite considerably. history will be the making of this. we don't know what history will throw up. market's collapse, how would he react to those kinds of things? mark: you make a good point there. the thing they have in common is they both i

this could be the fed chair's last or monetary policy could be changing, which could lead to uncertainty? dan: none whatsoever. it is distributed to the committeence, they discussed it, sign off on it. politics i cannot see coming into it, especially if no one really knows. janet yellen has two more meetings before the term ends. mark: ahead of the fed chair decision, if it is to come this .eek, we have the boe tomorrow a wonderful story on the bloomberg -- carney faces defining credibility test on brexit. this decision has almost become about carney's credibility after threatening many times over the years to raise rates and not following through. dan: that is really the key thing. you can talk about how the economy is giving mixed signals but if it is, do not keep walking up to the line and shying away. one of his opponents in the house of commons has likened him to an unreliable boyfriend. that might be a little bit unfair, but there is a perception there has been some flip-flopping so having said in september that a majority of the committee, not just him, a majority of the committee are inclined to go a certain way, to pull back now would

committee on supervision and regulation. my views on a wide range of monetary policy and regulatory issues are on the public record in speeches and testimonies during my service at the fed. congress established the federal reserve more than a century ago to provide a safer and more flexible monetary and financial system. and almost exactly 40 years ago, the dualned us monetary policy goals of maximum employment meaning people who , want to work either have a job or are likely to find one fairly quickly and price stability, , meaning inflation is low and stable enough that it need not figure into households' and businesses' economic decisions. i have had the great privilege of serving under chairman bernanke and chair yellen and like them, i will do everything in my power to achieve those goals while preserving the federal reserve's independent and nonpartisan status that is so vital to their pursuit. in our democracy, transparency and accountability must accompany that independence. we are transparent and accountable in many ways. among them, we affirm our numerical inflation objective annually and we publish our economic and

monetary policy set up by janet yellen. the comments came in a statement to the senate taking committee ahead of his confirmation hearing today mellon from burnbrae group. what does the world need in central banks today? jim: we need higher interest rates to normalize economies and we are getting that. goldman sachs is there will be four in the united states next year and i concur with that. i think we will get rate rises in the u.k. we need them in the european context, and the germans will push for that. there will be further tapering in the european union. francine: this is what the world needs. jim: the world once more of the same, chief money. the party is coming to an end. the u.s. dollar has been under pressure lately, it will turn asked year and go up because there will be a shortage of dollars. i would be a buyer of the u.s. dollar. in particularly against the euro. the tightening effect will be, you will have less dollars around. it's the most important currency in the world. i have a feeling we are going to have a resurgence in the dollar. now is the time to sell the japanese yen and to sell the euro and so forth.

monetary policy and you can't. to get we therefore need away from academics totally on that committee.usiness people in, real banking people, people who understand exactly how the markets work and don't solve problems like academics. >> you are right, plenty of blame to pass around for the crisis. this probably needs to be a mix of academics, business people and more people on the consumer side. one member of the fed has to be someone from community banking. you haveke that where a lot of voices on the table would be a positive thing. david: bloomberg surveillance allbe heard in new york across united states on sirius xm radio. live from new york, this is bloomberg. ♪ >> coming up in the next hour, formal federal -- former federal election -- officials. this is bloomberg. now to your bloomberg business flash. shares of sony haven't been this high since 2008. the japanese electronics company rose 11% after posting record profit last quarter. they also boosted the forecast, demand for high and tv's offset slower growth in the playstation business. teslant of truth for reporting earnings

capacities including most recently as chairman of the board's committee on super vision and regulation. my views on a wide range of monetary policy and regulatory issues are on the public record in speeches and testimonies during my service at the fed. congress established the federal reserve more than a century ago to provide a saferer and more flexible monetary and financial system. in almost exactly 40 years ago you assigned us the dual monetary policy goals of maximum employment. meaning that people who want work either have a job or likely to find one fairly quickly. and price stability, meaning inflation is low and stable enough it need not figure into household and businesses economic decisions. i've had the great privilege to serve under chairman yellin. in our democracy transparency and accountability must accompany that independence. we are transparent and accountable in many ways. among them we affirm our objective annually and affirm our projections quarterly. since 2011 the chairman has conducted regular news conference to explain the thinking. additionally we're accountable to the peoples rechtatives through twice a

committee on supervision and regulation. my views on a wide range of monetary policy and regulatory issues are on the public record in speechesnies during my service at the fed. congress established the federal reserve more than a century ago to provide a safer and more flexible, monetary financial system. almost exactly 40 years ago you assigned us the dual monetary policy goals of maximum employment, meaning people that want work either have a job or likely to find one fairly quickly and price stability, meaning that inflation is low and stable enough it need nod figure into households and businesses economic decisions. i've had the great privilege of serving under chairman bernanke and chair yellen and like them i will do everything in my power to achieve those goals while preserving the federal reserve's independent and non-partisan status that is so vital to their pursuit. in our democracy transparency and accountability must accompany that independence. we are transparent and accountable in many ways. among them we affirm our numerical inflation objective annually and we publish our economic and interest rate projection

committee eats membership wouldn't ask a prospective fed chair questions in a confirmation hearing >> i look forward to the questions of certain senators because i know they know a lot about monetary policy. corker is one of them and always asked good questions surprised to hear he wasn't there and didn't ask questions hide ca hidekamp he'll get a few questions he can get in writing and those are due i guess by this friday and then they will take a vote and then they will put in place the most powerful person in the financial world right this. >> well, the president is going to be on the hill later on meeting with the gop caucus in the senate so maybe the senators among others were preparing for that hearing. >> perhaps. >> steve, as always, thanks. >> the stock market clearly liked what it heard today. at the highs of the day and here at the desk on "halftime report" to discuss all of that is joe terranova, joe lebenthal and courtney wilson is with us. >> great to be back. >> and josh brown as well. >> markets clearly liking what it heard today let the melt up begin until the next year. >> we always talk about the meltup and we'll continue to see that until the end of the year i think t

monetary policy views, carl. >> steve, we're going to rely on you to keep us honest on what she says this morning in front of the joint economic committee thanks very much. >>> when we come back, a deep dive into the state of media the president and ceo of viacom, robert bakish, is with us. later on "squawk alley," we'll hear from 21st century fox executive chairman lachlan murdoch. you don't want to miss that. watching the markets carefully as the dow is up 82. and the s&p roughly flat "squawk on the street" will contin aerhiquk eaueft ts icbrk. not rebalancing your portfolio. focused on what you love, not how your money will last through retirement. we make it easier to plan for retirement with day one target date funds from prudential. look forward to your 401k plan. >>> here's a question. what tech stock is on pace for its best year ever adgniocnveal the name at trinatn.bc.com more "squawk on the street" coming up. >>> let's get over to julia at business insiders initiative conference with robert bakish. hey, julia >> good morning to you, carl and bob bakish, ceo of viacom, thank you for joining us fresh offstage bob, it's been such

, the committee will monitor closely the incoming evidence on the economic outlook , including the impact of today's increase in bank rate. to be clear, even after today's increase, monetary policysupport to jobs in activity. the mpc continues to expect that any future increases in bank rate would be at a gradual pace and to a limited extent. current market yields which are used to condition our forecast, pointorate two basis -- two 25 basis point hikes over the next few years. +++ affect the outlook for inflation and activity, and in this regard, brexit remains the biggest determinant of that outlook. the decision to leave the european union is having a noticeable impact. the overshoot of inflation throughout the forecast dominantly reflects the effect on import prices of the referendum related fall in sterling. uncertainty associated with brexit is weighing on domestic activity, which has slowed even as global growth has risen significantly. brexit related constraints appear to be reinforcing the march slowdown -- market slowdown which has been evident in recent years and the rate at which the economy can grow without generating inflationary pressures. the impact of brexit on

monetary policy. he never dissented in any of janet yellen decision she led. we can expect him to fall pretty closely to forecast the staff puts forward in the consensus that the overall committee. >> democrats voted almost unanimously when he was nominated by barack obama. the president in 2012 and 2014. again this issue going to be on the other foot now that the democrats hammer him during his confirmation process to make a show because he's been nominated by trump would they decide. >> we're certainly going to see some of them. maria: they get involved in every meaning of everything. look at the consumer financial protection for your end the fight that's taking place there. >> they can't stop him in this place because of the 50 vote margin. maria: i think they can put her finger on the right to unionize this balance sheet. this is a completely different scenario. they may make noise about that. dagen: we've had discussions about this. i do think it at the federal reserve can say with 100% certainty they know what the impact of you with all financial markets as they begin to unwind. unprecedented measures means an unprecedented rewind -- unwind rather. >> is started in record

committee there was a brexit deal sort of. there was also a engineer opjer showing markets that he is the fed chair. continuing on the current track of monetary policyegulation in the banks >> honestly i can't really think of a place where we are lacking an important rule. i think we filled out the rules that we need, and it's a question now of dealing with things from a supervisory standpoint >> so of all the rules the fed has issued during your time here, you've been here for five years, on capital and leverage, on liquidity, on the stress tests, you don't think a single one should be made tougher >> honestly, senator, i think they're tough enough >> well, okay. got to say this worries me >> didn't worry stocks they were higher especially regional bank stocks. they took off as powell indicated support for lifting regulations. especially on small and medium size banks powell sounded a bit dovish on monetary policy, suggesting policy more slack in the job market than appears from the low unemployment rate. ultimately, he supported the current path of gradual -- >> we have low unemployment. 4.1% unemployment. we have strong growth. the very low setti