sue noffke, uk equities fund manager at schroders is here.the buffers on the downward slope? we have entered correction territory. this is a correction. some might say it was overdue. seen, certainly, this 10% is normal for the markets. for the markets. levels of volatility and small levels of weekly or monthly moves. levels of weekly or monthly moves. is it normal within a week or a matter of days? absolutely. order of 3% and 5% in a day or in a week. week. what we have seen is down 10% in the us within five days. in the us within five days. and you think, what does this tell us about the us economy? us about the us economy? what will it tell us about the global economy? it tell us about the global economy? i'm not sure it tells us much about the global economy. the global economy. pricing in in terms of good news on the economy, which we know about. the economy, which we know about. here and appetite has increased and at an all—time high. at an all—time high. all of that was flashing dangerously. flashing dangerously. terms of reaction, how

jonathan: joining me around the table in new york is lisa, portfolio manager at schroders.ead of fixed income at raymond james. coming from boston is eric stein, codirector of global income. guys, it is great to have you with us on the program. kevin, let's begin with you. does it make sense for the treasury to be woken up to the world around us? nothing to me has fundamentally changed in the last couple of weeks. this story existed for months, yet suddenly the treasury woke up. why? kevin: we spent most of last year focused on inflation. treasuries are going to go on a higher yield if we see inflation. that changed after tax reform and a number of new factors came into the market that would create this new wall of worry. the dollar decline. the dollar decline is an issue. trade disputes. china is the biggest buyer, and now the deficits. if you are not taxing then you are spending and you are going to build deficit. those things have changed the dynamic of inflation and why yields have jumped up. jonathan: let's get that yield down, how much of the repricing have we seen so

joining us is sue noffke, uk equities fund manager at schroders. thank you for braving the snowy conditions out there. fera whether in the united states, we have been talking about this speech from jerome powell, first as chair of the fed, what did you make of it? markets have interpreted it as hawkish. he is more plain speaking than his predecessor, janet kelland, so he had laid things out. the economy is doing pretty well, pretty strongly. plus the fact that he was highlighting that for the future couple of years, he can see the economic growth remaining quite strong because of the tax cuts that have been announced. that's going to sustain growth. inflation has been muted and has not reached the 2% fat target, so without interest rate rises, we're going to overshoot. we're ina rises, we're going to overshoot. we're in a diverse situation where it's good news that leads to falls in an equity moment. as a change to bad news leading to rises in the equity market. that seems weird to many people. yes, it's all about what is priced in and where the ti