have yesterday we downgrades, whether it is moody's or s&p, somewhere in the neighborhood of 700 plusout a five times downgrade move just in a month. for us to answer your question directly, this is a great opportunity for folks like ourselves. if you do the math, the total size of the market is between a 200 billion dollar and a $300 billion opportunity today. it is the biggest downgrade move in leveraged debt in the history of leveraged credit. ourselves,pants like it gives us a great opportunity to look at the large universe and only pursue those companies where we stress our assumptions, both for business model and ultimate liquidity. , it poses a lot of opportunities, and we have looking been phasing in at the universe for many months, actually. given that, you have done a lot of calculus, can you explain your thoughts on what you think the riskiest part of the markets are now? are there certain industries you are looking at that are more concerning than others? james: we are. we have biases for sure. we are very much looking at the issues with brick-and-mortar retail as an examp

are the functional equivalent of a public ratings agency like an s&p or moody's. secretary, what is the possibility of opening up those facilities to companies that are selling those kind of loans with those kind of credit worthiness ratings? sec. mnuchin: i appreciate the opportunity that you brought this to our attention, and as i have suggested, i am working with the fed very closely to see if we can accommodate using and ifaic ratings, indeed there is some private ratings that can be done on a level that is not costly to the companies, we are committed to make sure that these companies can use the facilities as well. mr. chairman, can i get your perspective on the question? chair powell: if i understood, they sound more like main street companies then primary or secondary credit markets. those are for investment grade issuers who issue public bonds. if i mess and there stood, i am if i misunderstood, i am sorry. it would be similar to the main street lending facility. just echoll: i would what secretary mnuchin said. we are working on this problem. sen. cotton

facilities are available to companies that have [ inaudible ] from public rating agencies like s&p and moody's, as you know that can be an expensive process that come companies don't want to go through the of getting those writings these companies often tend to be privately owned, sometimes family owned they can have very large employee bases we have some in arkansas, an aggregate employing thousands of workers. i think probably all this centers on this committee or all 50 states have committees in this category. oftentimes they sell insurance directly rated by the national association of insurance commissioners, those ratings are high quality and they are the functional equivalent of a public ratings agency like an s&p or moody's secretary mnuchin, what is the possibility of opening up those facilities to companies that are selling those kind of loans with those credit worthiness ratings from the isc >> i appreciate the opportunity you brought this to our attention and as i've suggested i'm working with the fed very closely to see if we can accommodate using those naic ratings and if in need

s&p, moody's, they are doing a lot of bond issuance, lot of bond ratings.ke mastercard in a big run up. don't think of mastercard as a credit card but think of it for digital payments aspects. i like tech, i like information and i like the non-banking names like mastercard in this type of environment. cheryl: we have been tracking a lot of the food companies. there's so much talk about the supply chain. the supply chain that had been coming from china, whether it was pharmaceuticals, whether it was manufactured goods, that there's a big talk, a national conversation happening about having manufacturing happening in this country. we have had food shortages, that's been an issue on the domestic front, but what do you make of that? will we see a renewed american economy in a couple of years because of this pandemic and what we have been through? >> you know, really good point. what is it going to take for americans to say enough is enough and when are we going to be able to depend on ourselves for this type of infrastructure. i think the coronavirus has really

moody's. over 400 downgrade negative watch announcements from s&p. is many clo's will be unable to distribute cash flows to their equity or their mezzanine securities. those cash flows will be used to buy additional loans or to pay down the senior notes that are financing these structures. we have seen this all before. during the great financial crisis, at the peak, 72% of all structures were nonpaying to their equity, and ultimately recovered. the big question is how long will this recovery take? that if aidea is structure cuts off cash flow, that will hurt, but then they can turn it back on. what will it take for the cash flow to turn back on and help an investment profile? oliver: it will hurt the investors in the most risky part by effectivelye having to wait on those cash flows. those cash flows will resume once the economy comes out of recession. recession,we are in and we believe the v-shaped recovery is extremely unlikely at this point, just from the job losses we have seen. we are looking for structures that are going to be able to continue

they are the functional equivalent of a rating institute like in s&p or a moody's. secretary mnuchin, what is the possibility of opening up those facilities to companies that are selling those kind of loans with those kind of credit ratings -- credit-worthiness ratings from the naic? sec. mnuchin: i appreciate the opportunity that you brought this to our attention. as i've suggested, i'm working with the fed csely to see if we can accommodate using those naic ratings. if in need, there is some private rating that cacan be doe on a level that is not costly to the companies to make sure they , but we are committed can use these facilities as well. >> chairman powell, can i get your perspective on the question? chairman powell: if i understood your description of the company, it sounds more like main street companies than primary or secondary credit markets. those are for investment-grade issuers to issue public bonds. if i misunderstood, i'm sorry. >> on the main street facity, the limitation is the exceed the employee cap, which i understand to be 10,000. it would be

editor kate moody who is standing by kate the french government has already enacted an emergenency stimulus package worth one hundred and ten billion euros how much further could it go. r. and as s long as it takes at least that's what the finance and economy minister bruno le maire suggestedd this momorning c. d.. and tv. h he said that ththe governrnment's plalan to protect the economy has so far been fairly successful despite that contraction of five point 8% in the first quarter which is the worst performance since. world war two he says. these two will be according this is the sectors that aren't allowed to reopen yet especially touring tourism industrtry and strums ad take your that of course remain closed. phasese three will be a more wide ranging plan. to revive economic activity he says he tells expecected latee august early september a lobby of small andnd m medium size businesses here in france so that shohould in fact come up muchch sooner. but one of ththeg questionons now is gonna be how long the government will continue its massive partial unemployment or state spoponsord furlouough program. that's what supportingng stickcks in hand of private sector workers h her

s&p trading above 2950 right now. best gains of the month on a daily basis for all of the major averages travel stocks also seeing some big moves today and our seema moodyas the latest on that >> morgan, some big moves here the prospect of a vaccine hitting the market earlier than expected is lifting travel stocks the general consensus from analysts is that a vaccine will lift confidence in travelers, those in the baby boomer generation who may have preexisting conditions and don't feel comfortable challenging with just social distancing measures in place. they will want a vaccine before getting on say a cruise or staying at a hotel but it's important to note that the state of the economy will also have an impact on the travel industry according to experts i've spoken to royal caribbean, looking at that stock currently the best performing name on the s&p 500 up about 17% the online travel names booking holdings on pace for its largest percentage increase since august of 2010 and expedia is set to report results on wednesday. commentary from their new ceo peter kern will be in high interest given the news from moderna among others carl, for now, sending

s. force. in senior members also of our great united states military. it has never been stronger than it is right now. also, attorney general of florida, ashley moody chief financial officer of florida, jimmy petronas, and many other distinguished guests. thank you very much for being here. we appreciate it. [applause] i especially want to congratulate someone who truly embodies the american ethos of big thinking and risk-taking. after achieving success as an internet entrepreneur, he could have spent his fortune doing anything including yachting. lots of things. but in 2002, he began pouring tens of millions of dollars of his own money into research and development for a new rocket. he is a little different than a lot of people. he liked rockets. he assembled a crew of some of the greatest minds and talents in american aerospace. spacex hass since, become the first private company to develop and successfully launch it's own rocket into orbit. the first to launch and recover capsule. and moments ago, spacex became the first private company to put humans into orbit around the earth. elon musk, congratulations. congratulations, elon. [applause] [chee