jonathan: still with me, diana amoa, scott thiel and colin robertson., i want to begin with you. the reserve moving that word, "accommodative." is is still in accommodative federal reserve? colin: yes, it is still in accommodative federal reserve. there are a number of important things going on here. removal of "accommodative" was them more of a position and that's what chairman powell wanted to send the message of, that the data is what is important. we know it is priced into the market and we know the expectations are for the fed numbers with respect to the dot plots. if you look at the dots, obviously there is a move priced in here in december and three more next year. that would put us at a position h, and end of 2019 at 3/8t that seems high to me for the 10-year treasuries. when you look further out where thedot plots are measured, expectation is we come to a terminal spot around 3%. varied. 2021 dots are when we see inflation stuck at low levels and moderate paces of growth, the likelihood of one move this year and three next year is really overbl

colin robertson, diana amoa and scott thiel.e markets this week, let's get a market check for you. tuesday, tends and 30's in the treasury market. they shape up as follows. you see the bid coming in on the back end of the 10's. and the 30. just a mild one as we get a rally through the back end of this week. still ahead, the final spread and the week ahead featuring comments from jay powell, and the u.s. jobs report. this is "bloomberg real yield." ♪ ♪ jonathan: i am jonathan ferro. this is "bloomberg real yield." it is time for the final spread. coming up in the next week, china's financial markets closed all week due to holidays. jay powell and theresa may speak. on friday, the jobs report just around the corner as we wrap up the end of september and the third quarter. still with me is diana amoa, scott thiel and colin robertson. let's start in london as we wrap up the quarter. this is a really interesting quarter for credit and an interesting year for credit in the united states. ig investment grade underperforming. high-yield

colin robertson from morgan trust diana amoa and scott , thiel.n the markets this week, let's get a market check for you. two's, tens, and 30's. in the treasury market, we shape up as follows on the two-year. you see the bid coming in on the back end of the tens and the 30's. just a marginal, mild as we get one a rally through the back end of this week. still ahead, the final spread and the week ahead featuring comments from the fed's jay powell. and we get the u.s. jobs report as well. this is "bloomberg real yield." ♪ jonathan: i am jonathan ferro. this is "bloomberg real yield." it is time now for the final spread. coming up over the next week, china's financial markets closed all week due to the holidays. plus, fed chair jay powell and u.k. prime minister theresa may -- u.k. prime minister minister theresa may speak. on friday, it is here already -- the jobs report just around the corner as we wrap up the end of september and the third quarter. still the three from -- still with me from jpmorgan asset management is diana amoa, scott thiel of b

scott thiel is still with us.s got, so we did see a bit of a rally in the euro following the decision. i want to take you to a chart to do with the output gap, because this is one of the key things that came out in the news conference. it is something notoriously hard to measure for the ecb. has the output gap closed already? scott: it is on its way to closing. there are other countries where more mark -- obvious. in the u.s., it seems to be more clear. what draghi is struggling with is inflation continues to be relatively subdued. basicallynflation is a target. the underlying core inflation is low. i think the euro yesterday was that hei don't know delivered anything unusual in the meeting. opennk they left the door to potentially not ending the program in december, but i think by most analysts, they would suggest they will end it. one of the opportunities we look at in europe is btp's. they have come back over the last two weeks or three weeks since the beginning of august, but if you take a step back and look a