we'll ask eric rosengren next. >>> why are investors believing in bksan we'll explore much more on today's selloff. don't go anywhere. >>> welcome back to "the exchange." as you heard, the u.s. economy adding 1.4 million jobs last month, but payrolls are still about 11 million below where we were pre-pandemic. believe it or not, these job gains we've seen so far don't even take us four years back in terms of the labor and recovery market in terms of the fed's new path, i'm joined by fred rosengren and brian sullivan brian? >> let me start with what kelly was talking about, the jobs number coming in better than expectations does this change your outlook on the economy? >> so i think the employment report, as you just highlighted, was a pretty strong report and a little bit stronger than i was expecting. getting the unemployment rate down to 8.4% from 10.2% is certainly a significant improvement. i would highlight that a lot of the job gains were in retail trade and leisure and hospit hospitality, so i think a lot of this is people that were on temporary layoff that have come back to work i

i saw what president rosengren said. i can't really comment directly on that. i just would say that, you know, this is 13-3, if you look at the law under 13-3 it's very clear that we are to make loans only to solvent borrowers and the cares act is quite specific in keeping all of the terms of section 13-3 in effect, including the requirement that we gather good evidence that the borrower is solvent. this law was amended in, you know, under -- in dodd-frank. the idea was to make it challenging and put hurdles in place before making loans to the thinking was at the time to two banks. now we are using that same law for smaller business borrowers and it's not a perfect fit. i would also just say for many borrowers, they are in a situation where their business is still relatively shut down and they won't be able to service a loan, so they may need more fiscal support. having said that, we are continuing to work to improve main street, to make it more broadly available. make it available to pretty much any company that needs it and they can service a loan. >> can you

actually president rosengren today expressed a degree of frustration that the big banks have not signedp for the fed main street lending facility which could get at a broader range of sectors. up withe seen only pick some of the smaller regional banks and very moderate pickup overall. they seem to be signally that if the economy actually does assemble, that facility is well-positioned to help the sectors who experience renewed distress. vonnie: thank you for that. much appreciated. julia coronado, macropolicy perspectives president and founder. coming up, we hear from hillary clinton at the bloomberg equality summit. what a rushed seat could mean for the economy. this is bloomberg. ♪ mark: i am mark crumpton bloomberg's first word news. a grand jury in kentucky has indicted one police officer on charges related to the death of breonna taylor, a black emergency medical worker who was shot multiple officers entered her home using a no-knock warrant on march 13. powell wasn jerome on capitol hill today answering questions from lawmakers over how the fed helped americans versus the markets

you might have heard boston fed president eric rosengren speak last week saying how some of the lendingrograms for small businesses have not had as big a take-up as some might have thought. there is a lot of stress in the system. you hear that from the voters and in some of the protest on both sides of the aisle. there is a lot of anxiety especially with the october 1 rule of support. we have heard the airline companies speak locally about their need for additional fiscal support from washington. the same is true for small business. lisa: a lot of people agree it will be a rocky period going forward. stanley,bull in morgan coming out over the weekend saying he expects the selloff to continue. where do you get defensive and how? do you just go to cash or do you depend on the 10 year treasury to do more than just flatline? mark: well, the 10 year has been boring lately. there hasn't been a lot of money going into that. people want octomom liquidity. that is a good question, april . that is a good question. they are year was made in march and april. they've made a lot of money stepping int

federal reserve members including boston fed's eric rosengren frantically pleading for some kind of fiscaloining the chorus, they quarter gdp forecast for america by half, based on the no stimulus scenario, saying this will lead to a pull-back in household spending. if that is the case, we thought let's bring in our floor show traders. what are the no stimulus stock plays that you should be considering if congress can't get their act together? phil flynn? >> i'm telling you, i'm going to sit home and drink. i don't know about everybody else. i'm telling you, we are getting into the fall season, you know, you're not going to have a lot of money to spend. the only fun you are going to have is sitting at home watching tv. go out and buy some beer. i like boston beer which has been a great stock. looks like it's bottomed out, looks like it's coming up. sam, you got to love sam, it's a symbol and -- but also, too, if you want bigger picture stuff, things that are not going to be impacted as much are things like insurance and pharma. they will continue to do very very well during this slowdown p

worried the fed can't deliver, period, paul, even on what it cants to accomplish here's the fed's rosengren earlier today, he said it would be a matter of luck for the central bank to reach their 2% inflation goal within 4 years. he added, this is kind of about your point to the need for fiscal, said quantitative easing on the fed side, rates are already low. again, that's the central can. the fed's own projections don't show them getting over 2% inflation in the window that goes, stretches out several years. >> and i think that's a fair critique they can't get there by themselves with any confidence whether or not it takes luck or not, i don't know. but the bottom line is the fed can't do this by itself. and that's not saying anything negative about the fed whatsoever it's just the mosaic of macro conditions that we have right now require congress to increase spending in order to maintain aggregate demand in the absence of that i think it's quite reasonable to assume the fed won't hit its objectives policy, i think you have more than a sporting chance i think you have a damn good chance of