high-yield is a different story, which makes toys "r" us interesting, because postcrisis you have thissix times that is containing the high-yield market making it a much more rational market. jonathan: you are sticking with us. greg peters of the gim, colin robertson of northern trust, and priya misra of td securities. we are taking a look at the treasury markets. yields are higher on two-year. the 10-year the same amount. the 30-year by three basis points. it is still a flatter curv e. still ahead, mario draghi, yelling, and carney next week. ♪ michael: that's -- jonathan: jonathan ferro. german election coming up this weekend. shinzo abe might call a snap election. we have mario draghi, janet yellen, and mark carney all speaking and a possible health care vote in washington, d.c. joining us is greg peters of pgim, colin robertson of northern trust, and priya misra td securities. banks given that central are driving prices, i think it is a good thing when you have to much, the confusion, i think there will be with the leadership at the fed. apart from janet yellen, there are 11 other

high-yield is a different story, which makes toys "r" us interesting, because postcrisis you have thiserage cap at six times that is containing the high-yield market making it a much more rational market. -- market today than what we have seen in the past. jonathan: you are sticking with us. greg peters of the gim, colin robertson of northern trust, and priya misra of td securities. before we go, let's get you an update on markets. the treasury market, two's, tens and 30's. yields are higher on two-year. the 10-year the same amount. the 30-year by three basis points. it is still a flatter yield curve. still ahead, the week featuring mario draghi, janet yellen and carney next week. ♪ this is bloomberg real yield. ♪ jonathan: i'm jonathan ferro. this is "bloomberg real yield." time for the final spread. coming up, and incredibly busy week. german election coming up this weekend. the prime minister of japan shinzo abe might call a snap , election. and then we have these big three. mario draghi, janet yellen, and mark carney all speaking and a possible health care vote in washington, d.c.

high-yield is a different story, which makes toys "r" us interesting, because postcrisis you have thiserage cap at six times that is containing the high-yield market making it a much more rational market. -- market today than what we have seen in the past. jonathan: you are sticking with us. greg peters of the gim, colin robertson of northern trust, and priya misra of td securities. before we go, let's get you an update on markets. the treasury market, two's, tens and 30's. yields are higher on two-year. the 10-year the same amount. the 30-year by three basis points. it is still a flatter yield curve. still ahead, the week featuring mario draghi, janet yellen and carney next week. ♪ this is bloomberg real yield. ♪ ferro.nathan this is "bloomberg real yield." coming up, and incredibly busy week. german election coming up this weekend. shinzo abe might call a snap election. and then we have these big three. mario draghi, janet yellen, and mark carney all speaking and a possible health care vote in washington, d.c. to throw in there as well. still with me is greg peters of pgim, colin rob

howard: i think we are still in the postcrisis phase.rmalized markets unless you would say negative interest rates are the new normal forever. i don't think i do believe that. we are in and the position where the central banks believe there is slack in the markets, inflationary pressure is weak, and the risk of a relapse into a recession in the postcrisis era is worse than the risk of inflationary boom. francine: there is a lot of talk about this report of the business spending practices of rbs. will you give the fda permission to publish it? howard: this report that people are talking about is not what is called a 166 report. regulators commission other people, mainly accounting firms but other consultancies as well, to provide input to them for their decision-making. this has happened hundreds of times a year across london and all kinds of firms. i don't think any of those reports has ever been published because they are an input to regulatory decision-making. usually the regulator does their own inquiries. 166 or more on things they w

we are now eight or nine years postcrisis and i think a four and a half trillion balance sheet is such that all the studies that i see suggest to me that we can phase down this balance sheet. not by insecurities but by not reinvesting securities when they mature. mortgage-backed securities in treasuries and i think we have a plan that we've announced to phase in gradually enough that we can roll off this balance sheet with, in my view, having much of the material affect on the mortgage-backed security measures than the security treasury markets. to reinforce that i think we can do this without a material disruptive effect, look with the ten year treasury has done since we know plan. the market basically thanks we will start this sometime this year and ten year treasury has basically drifted lower. not just because of the plants but because of other factors so i believe the country and the feds will be well served if we can work this balance sheet down because i do believe x number of years from now if we do have another recession we may well not have another dry powder in interest rate