subadra: it's the global guilt grab, right? this is what central bankers want to come up they want you to go into the spectrum and take on more risk, it's become more duration risk as well as credit risk. if you look at the next year or so, we spoke earlier about corporate profit margins compression, that's to agree how a recession plays out. if we go into a recession by the middle of next year, which is our expectation, there is the potential for this to start widening out. given the amount of leverage in the system, it might turn ugly quickly. jonathan: in a short-term, do you like high-yield? why? greg: i do. t is all relative. the high-yield borrower has been different the cycle than previous cycles. all of the risk in leveraged inance has been pushing into the loan market. i dislike loans, but high-yield bonds i do like. that still is the case. the high-yield market looks much better today than it has in previous points of the cycle. i think it is ok. i feel more comfortable owning high-yield that i do investment grade bon

subadra: it has. good example is what happened of that is what happened when draghi spoke and said, we will do all it takes. the five-year break even in europe went up by 10 basis points. two weeks later it was back down. five-year inflation breakevens in europe have stayed between 120 and 130. the market is not actively pricing in the impact of easing coming from europe feeding into higher inflation expectations. i think it's a proved statement the qe doesn't work. the idea is to increase inflation and increase growth through consumer spending through indirect channels and so forth. so on and so forth. it hasn't worked. the reason the markets are pushing back on the notion of qa qe moving up yields is the market knows qe is not effective. jonathan: so the view for you, you would question the efficacy of central bank monetary policy. the more cuts you get, the more stimulus you get. you won't unlock high growth expectations and you won't unlock higher data. the markets right now, you would be fading i

subadra: yes. jonathan: does the ecb restart qe next week? greg: no. mike: yes. subadra: yes. do we get tearing with a rate cut next week? subadra: yes. mike: no. greg: no. jonathan: that's the important one next week. thank you very much. does it from new york city. we will see you same time and same place. this was bloomberg "real yield." ♪ we call it the mother standard of care. it's something we take personally, and believe in passionately. it's the idea that if our mothers were diagnosed with cancer, how would we want them to be treated? that's exactly how we care for you. with answers and actions. to hear your concerns, quiet your fears, lift your spirits. with teams of cancer experts and specialists, delivering advanced treatment options and compassionate support every step of the way. all here in one place, with one purpose. to fight your cancer, together. that's the mother standard of care. this is how we inspire hope. this is how we heal. cancer treatment centers of america. appointments available now. watching "best of bloomberg daybreak: middle east." opec crude pr

subadra: yes. jonathan: does the ecb restart qe next week? greg: no. subadra: yes. mike: yes.oes the governing council deliver tiering within any rate cut next week? subadra: yes. mike: no. greg: no. jonathan: that's the important one next week. thank you very much. that does it from new york city. we will see you same time and same place. this was bloomberg "real yield." this is bloomberg tv. ♪ - my family and i did a fundraiser walk in honor of my dad, willy davis, who has alzheimer's. i decided to make shirts for the walk with custom ink. the shirts were so easy to design on the site. the custom ink team was super helpful and they just came out perfect. seeing my family wearing my shirts was such an amazing reminder of all the love and support that everyone has for my dad. - [narrator] check out our huge selection of custom t-shirts and more, for teams, businesses, and every occasion. you'll even get free shipping. get started today at customink.com. haslinda: hello, i'm haslinda amin. she's the leading light in what has become a faded out position in the philipines. leni r