stephen gallo calling yen, saint it will be stronger -- saying it will be stronger.n strengthening and the dollar dropping, despite the higher readings coming through on the cpi. good markets, good data, delivering positive stock markets. mr. kuroda said it is not time to get involved in the yen market. he is giving latitude to the yen bulls to push, and push, and push. where is the red line for kuroda? 10 year government bond yields rising again 2.9%. i mentioned cpi, the core number came in at 0.33%. the market is reprising. -- repricing. the bond traders are really beginning to swarm around 2019. you got the curve flattening. the markets are pricing in moves of 25 basis points. next year they are ahead of themselves, they are pricing in 2019.s by you're looking at nearly five hikes by the end of 2020. where do you go on yield? equities are higher, bonds are lower. that is the stay up late on the bond market -- that is the state of play on the bond market. juliette saly has your first word news. juliette: jacob zuma has resigned as president of south africa. it was

stephen gallo, too short a visit and we look forward to your views on the yen.r those keeping score at home. certainly not the turmoil we saw yesterday but nevertheless, a most interesting day in the markets. for your morning brief, very important here. bob moon, karen moskow, coast-to-coast and on digital world wide. your morning brief on bloomberg daybreak. bloomberg radio, check that out. this is bloomberg. ♪ tom: futures -23 with dow futures down 200 points. francine lacqua in london and i'm tom keene in new york. it's one of the great debates with the gyrations in the fix. is it just about the short vix trade or more going on? one of the great debates on the buy side and investment management is the dynamic of everybody in the passive trade . there is passive investment and active investment. has that calculus changed the volatility of the market when we come under crisis? richard: some of the volatility we have seen in the last couple of days has been driven by some of these levered products and some of these inverse products in the etp market, but the vas