svb, invested heavily in securities, long-term treasuries and mortgage bonds in december of last yearecurities accounted for more than half of all assets; compared to bank of america, this figure was less than thirty percent against the backdrop of record inflation for 40 years. efrs has already begun to become. monetary policy since march last year increased several times. because of this, the value of the bond began to fall sharply, in order to save the situation, svb announced the sale of the state book. on march 8, after the announcement of this news, svb clients began to withdraw funds from their accounts en masse; the next day, the bank announced a loss of almost $ 2 billion; shares collapsed by 60%, and the largest venture investment funds recommended withdrawing money from the bank. as a result, on march 10, the silicon valley bank declared bankruptcy and collapsed. st. bisa fell with the news of the voluntary liquidation of forces spins another california bank that worked in cryptocurrency and collaborated with the crypto exchanges baynos ucs and coinbase, but literally a day

on march 8, after the announcement of this news, svb clients began to withdraw funds from their accountsn masse; the next day, the bank announced a loss of almost $ 2 billion; shares collapsed by 60%, and the largest venture investment funds recommended withdrawing money from the bank to as a result, on march 10, the silicon valley bank declared bankruptcy. the collapse of sbb coincided with the news of the voluntary liquidation of another california bank that worked in cryptocurrency and collaborated with the crypto exchanges bayno sues and cohen base, but literally a day later, on march 15, on the swiss stock exchange, shares of the second largest swiss bank collapsed by more than 20%. jar. credit suis is noteworthy that its main shareholder national bank of saudi arabia with audi national bank refused to buy priceless paper. on the same day, trading in shares of the french société-general and the italian unicredit was suspended; after the close of trading, it became known that the swiss authorities were ready to provide liquidity to the credit suisse bank, which is exactly what they d

moreover, svb bank was consistently among the twenty best banks in america; its clients were companiescialists for silicon valley startups, believing that federal reserve rates would be stable svp, actively invested in securities, long treasuries, mortgage bonds in december last year , his investments. these securities accounted for more than half of all assets; compared to bank of america, this figure was less than thirty percent against the backdrop of record inflation for 40 years. the russian federation has already begun to become. monetary policy has raised the rate several times since march last year. because of which the price of the bond began to fall sharply in order to save the situation svb announced the sale, state book on march 8 after the announcement of this news, svb clients began to withdraw funds from their accounts en masse the next day the bank announced a loss of almost $ 2 billion, shares collapsed by 60%, and the largest venture investment funds recommended withdrawing money from the bank as a result of march 10, the silicon valley bank declared bankruptcy, the c

over the week and i think the most read story on the terminal was the saga with svb. i'm not going to try to pronounce the real name, we've gone through iterations of that. why do we care about sweden when it comes to the broader continent? valerie: if sweden is dealing with the housing market having issues with higher rates, maybe it's not long until we see a similar problem crop up in europe. most people have their eye on germany. we got some data from germany on friday that showed german housing prices are slumping the worst on record last month. many have their eye on a possible read across to germany with the situation with as -- svb. kriti: we talk about the housing market, and i think in you case, and then we talk about a different story for europe and asia. for the u.s., a lot of people are seeing their so much demand right now, specifically in the housing market. when do you see that pop? are we in a 2005, 2006 deja vu moment? and where does the fed stand on that? valerie: it doesn't help we had hawkish fed speak on friday, susan collins calling for further t

dani: one complaint we heard from jamie dimon post-svb is more regulation. you and your private capital appears will be dancing in the street. more lending will happen outside of banks and in capital markets. have banking regulations help to you? antoine: the framework is changing, especially after 2008. all these private capital firms were small, tiny firms. blackstone probably in 2009 there market cap was $5 billion, now it is more than $100 billion paid the world is changing especially in the financial area. there is more space for people like us. we discussed liquidity. there is more need for companies. for private capital players, there is a massive opportunity. regulators are trying to regulate more and more rate is it good, is it bad, it is happening. but the opportunity for private capital providers is gigantic. not only because of regulation but because the framework is changing. dani: on the liquidity point, we have gone 500 hikes from the fed, from the ecb we have gone from subzero to zero in we have gotten here. we have had svb that is a big, but

morning before pulling back just a touch, two-year trading where it was just before the collapse of svb and the move higher hasn't seemed to stop the stock market and they're basically flat today and they're all still well in positive territory for the year. it's a phenomenon that has one wall street veteran scratching its head and michael kolanovic saying the move with stocks and rates is unsustainable and will this correct be corrected and does that moon a reckoning is coming for equities? we played this game often. >> did you show me the chart >> you jumped the gun! >> was that what you were going to say >> no. i was waiting for you to ask the question >> if i said the 10-year yield will get to the 15-year high. >> the october low and the equities are not trading well and the russell small-cap stocks are probably underperforming the market which is getting whacked and the vix is approaching. >> and what happened >> none of those thing are happening and how do you reconcile yourself one of two ways, obviously yields start to back up and equities continue to go higher and equities figu

in the aftermath of svb is the big are getting bigger.e to have more custodial assets as the market stabilizes and improves, and they make more money. >> all right. "final trades" is next. plus, fast-working crepe corrector diminishes wrinkled skin in just two days. gold bond. champion your skin. ♪ explore endless design possibilities. to find your personal style. endless hardie® siding colors. textures and styles. it's possible. with james hardie™. >>> we'll wrap up the week on "closing bell" at 3:00 eastern time and see what the stocks do here into the close over the final hour, with cameron dawson, edgar denny will join us, too. lots to talk about. we have a stabilization in the nasdaq. it was up a smidge on the week earlier, but you have some question marks with some of the other names within there. so i'll see all of you in a couple of hours. let's do "final trades," kevin. >> ups. a stock that's grossly oversold, plays over a 4% dividend, trades at a 16 multiple, and they have been growing that dividend at 13% per year for five year

the transaction will see svb adding a cash injection of $720 million it is unclear if it will help thelize its finances. to geopolitics now the european union's chief trade negotiator says the block is seeking a new strategy towards china calling the current relationship very unbalanced. -- wrapping up his trip to beijing tuesday so let's get over to our shanghai bureau chief for the latest. what did he say during the saturday speech and what was the main purpose of what they wanted to get out of this visit? charlie: right he was in shanghai this weekend and gave a speech at the annual summit on saturday and actually he did not say much about the china trade relationship during that speech. he said as you mentioned the china trade, china's trade with the eu is very imbalanced with the eu is not seeking to disengage from china or decouple from china. based on what we are hearing from people in the area in europe, he is here to tell beijing may be concrete measures are needed to reset the relationship between the two trade partners. the reality is china and the eu, the tension has risen

there was the svb collapse in uncertainties around inflation and what rate hikes would look like andtical risk and while some of those risks are still in the market, there is more certainty. the vix is trading at levels it hasn't been a since 2021. for companies that have their ducks in a roanne maybe they are profitable and growing at 30%+ and have key hires in place to successfully ipo, this market is probably a good time for them but you need to check all those boxes to enter the market now. jon: before we let you go, now that we have the arm and instacart offerings, it's still early days but there is this theory that that would potentially open the door to others going public. do you feel the market is strong enough or other names, particularly intact? >> i think it will and especially the fact that instacart is entering the market accepting a down round and seeing where it goes from here, that will encourage other companies to do the same and it makes it less taboo. when you think about the public markets, things trade up and down constantly and that's accepted but that's not th

the real yields side and the nominal yields side -- side, since april we have drive tires since the svb situation has been resolved. 10 year yields have been hired so it has no impact longer-term in terms of the direction of yields and in your case, the direction would have been down. jon: i was talking to long time washington strategist -- he feels we will see the shutdown and it could last for a period of time and i guess the other factor that other people are watching, what does that mean for a central bank like the fed, in part because they are trying to figure out where the economy goes from there in their monetary policy actions not to mention the fact this will complicate the ability to have retired -- real-time data to make the assessments. ed: the last time he talk about is difficult with real-time data especially in regards to inflation, getting a handle on that and tips market in terms of understanding what kind of inflation data were looking at so that is difficult but' the feds --but the fed's hands are tied in terms of inflation, they don't know what number they will get t

probably isn't as contagious as people fear it, even though it has more than 30 mutations compared to svb's like 1.5. and the second thing is that it probably is not as fearful as we think it is because our antibodies to the vaccines that people have gotten already or exposure to natural infection would easily overcome these. this variant if it were to take off shop. >> all right. that is really good to hear the updated covid booster, of course, is supposed to come out, i think, as soon as, what, eight days from now. can you talk about who you think really should get it? and what if you just recently had covid? should you not get it? oh, yeah. >> so if you've recently had covid, you probably want to wait at least three months before getting another vaccine. and that's really to give you the best benefit of responding to a new signal because your body is just flooded with the antibodies based on the you know, what might have been circulating, but not to the new vaccine. the second thing is that, you know, so three months and then for those people who haven't gotten a booster recently and you

tightening capital requirements at the expense of lending will not prevent another svb-type failure. a comprehensive response from policymakers and regulators would address the glaring supervisory shortfalls that preceded silicon valley bangles collapse. mr. president, i yield the floor. test. [inaudible conversations] [inaudible conversations] >> you guys have seen the statement that i put out. if you have any questions i'm happy to respond to those. [inaudible] >> you know i considered my age and the fact at the end of the second term it be in my mid-80s and they think it's time for guys like me to get out of the way and have people at the next-generation step forward because they will be shaping the world they will be living in and over the last couple of decades people my age the boomers have done well for ourselves. we voted for all sorts of benefits and programs for us and we have to pay for them. i think some of the people that are coming along next want to have a say in how we leave the earth and how we prepare for the future we will live in. >> you feel like if you were on t

people need to buy food. >> bob, you keep mentioning svb.hen that happened, one thing we talked about on this broadcast what was going to happen to the regional banks and all the real estate, both mu multifamily and but more particularly, you know, corporate real estate office and the like and given that you're in the business of trying to buy things on the cheap. are you seeing or thinking -- i think at the time you thought, come the end of this year it's '24, '25 when things tart to roll there might be opportunity in your world. do you still see that being the case, because opportunity for you is, by the way, a problem for others? >> sure, i mean, we're in the business of putting private capital into financial services primarily and do see regional banks as a great opportunity over time. i think getting private capital in there but what i'd like to see a little bit of a higher deposit guarantee. i'd like to see it. i'm not sure it's coming soon but i do believe that one of the strengths of our economy is the depth of our financial markets.

alix: which goes to the point about svb not being a regional banking crisis. thank you.e you. rob holmes, texas capital bank ceo. we will have more on jeffries results and we will look how it will spell into earnings. this is bloomberg. ♪ alix: breaking news, epic games is laying off 16% of employees, this as the company is battling the apple apple app store and the willing about their policies as it relates to their apps. also time for wall street week and we take a look at what is buzzing in wall street. we were mentioning jeffries and let's get to it. sonali basak. if you look at the big u.s. banks, what did i learn from jeffries? sonali: you learned they are signaling there is a bottoming of dealmaking. this seems to be a stronger note and even though they missed estimates, certain investment banking figures, according to the differential between wall street estimates but they are rebounding in the market today up 1% coming off almost a eight date streak of the client so there were worries for the direction of travel, volatility has been quite muted in many markets.

svb has agreed to sell and further stake in a portfolio of school buildings to brookfield asset managementtruggling swedish landlord will sell off 1.6% holding in the education division to brookfield, making the investor the majority shareholder. we will see sbb get a catch injection of $720 million to stabilize its finances. we speak exclusively to the ubs group ceo about his outlook for the global economy. catch of that interview later today. haidi: the u.s. is said to establish diplomatic relations with the pacific nations of niue and the cook islands. this is a fascinating area to look up. >> there will be a formal announcement this week. there is a two day summit coming up between the u.s. and the leaders of 16 pacific island leaders at the moment. niue and the cook islands will receive diplomatic ties to the u.s. the cook islands, a population of just 18,000, but they are strategically important, and china has been making inroads in the pacific and courting the region for years, offering cheap loans and setting up security packs as well. the white house has this meeting and diplomati

it is at its highest level since the svb crisis, up about 2% on the year. the dollar hit its low in the middle of july. two weeks later the stock market peaked, at least for now for the year. ever since then a dollar rally and that doesn't work for stocks either. so now you have the dow down 4% from that moment, the s&p 500 down, qs at a 6% dip and the russell 2000 is in a literal correction, off 10% from that level. and it's not a coincidence. this has been an inverse correlation that we've been documenting all year, and it's just what it is. so i think now we're going to all furiously debate whether or not there's another quarter point basis rate hike. personally, i don't think it matters all that much. to the market, it clearly does. you're seeing reprising of risk. i think it's perfectly natural. the vix is now 16 or so. that's the highest level we've seen since august and, you know, that might not be done at 16. so i think we all have to just be okay with we had a great first half of the year, and this is a little bit of giveback. september is sloppy a

bruce: if you look at the report they did on svb failure they had a bunch of mras or recommendationsp promptly. and they will put more pressure on banks to tighten up how they run and get things done on time if things are outstanding. i think that is manageable so i do not think it affects necessarily how we run the bank, we have the strength and breadth of talent to apply what they are looking for. guy: does more regulation imply more consolidation? can i extrapolate one from the other? bruce: yeah i think there's a couple things that potentially drive more consolidation. that is one of them, the cost of operating the bank on a standalone basis, if it goes up in the new regulations really run right over tailoring which they used to be break points where the load was a little less the smaller you got which is now called into question by these new proposals. i think that could foster more consolidation. the other thing is the way the world is changing so fast and they have to invest in digital analytics and ai and cyber defenses. the smaller banks, really to afford all about investmen

there were fears post svb that we would see some type of credit crunch.? >> there's certainly not a credit crunch, but clearly as banks have to carry more capital and capital is more expensive, what you're going to see is banks >>> relationship client will always have a lot of access to capital but some of the people that have been borrowing that had nonrelationship borrowing only arrangements with banks, i think they will find it tougher going forward. >> on the profitability pride, what is happening with deposit costs. they have been rising as rates have risen and i know you had to lower your forecast down 13% in 2023. is that still on track? how does that look? >> yes, we are on track. we gave guidance at the end of the second quarter and we are on track and the third and fourth quarters of where we are and what we've seen, the dope positive date is our slowing and so we had a cumulative deposit data of 39% at the end of the second quarter and we have targeted a 50% cumulative deposit data and we are seeing a slowdown in the rate of deposit data increa

i'm not so sure that svb was the last one to havepoorly managed balance sheet. you can't invest for an event, but they're out there in the market and people should be aware of them. >> as people are celebrating the 25th anniversary of the capital management meltdown. emily, one of the points some of the economic optimists have been making is rates are higher because the economy seems like it's better, but the defensive sectors of that market have not really outperformed. the equity market itself is not necessarily hunkering down for bad times. what do you say to that? >> this is a bit of a 2022 flashback. we're seeing trade perking up a little bit. defensive showing some signs of life here after lagging materially so far this year. you're seeing some of the same macro factors. a stronger dollar, higher rates. we have housing affordability the lowest or the least it's been in u.s. history. auto loans at record highs. we think consumers will start to make tradeoffs. they'll do the math and they may not necessarily buy the stuff they want but they'll do the things

i want to end with in april, 2023 the report on svb. one of the lessons noted in the fed review said bank managers need to be more willing to adopt a precautionary perspective, and the fed must strengthen its supervision based on what we've learned. thinking about climate change, if we agree this is a forward risk, how do we get the fed the tools to apply a cautionary perspective? >> the gentleman can submit an answer for the record. >> in march, you confirmed that the federal reserve is a organization built on consensus before agreeing to any proposal. given the breadth and scope of potential changes to the capital frameworks that is under review right now, that consensus-driven approach seems to be all the more important. i am concerned that the vice chairman for supervision is seemingly -- has been given far too much latitude to act unilaterally. especially in light of section 1107a1 of the dodd frank act which provides supervisory authority only to develop recommendations for the board. and oversee supervision and regulation. can yo

balance sheet, real liquidity, remember there is all kinds of programs out there particularly since svbent bankrupt, there is a lot of money sloshing around. that is what is happening despite the fact has a run a trillion dollars off their balance sheet. of course there is another factor. i got to tell you for all of this sort of hand-wringing over the empittous retail investor, the dumb money, it is institutions that were flat. they had nothing when this market began. they were selling stocks and they're playing catch up rapidly. the retail investor rid something pretty. these smart folks are trying to catch up here. that means they have to be buyers. ubs private wealth managing director alli mccarthy. your thoughts why the market is not freaking out over the cpi number? >> the market seems whelmed over everything. the cpi came in hot but not a surprise. largely due to oil up 10% in a month. charles: i thought about that, but core month to month is a surprise and that is not even taking oil into effect, into account? >> i think there is sort of a game going on everybody is looking at i

. >> i think look at svb and liquidity issues and the lending metrics were a lot different obviously they would be in a bull run that we just knew -- had just started, for example. cheryl: rebecca, i want to hit on something that crossed the top of the hour, we got the 30 year fixed mortgage day da. it actually -- data. it actually fell, dropped to 7.21%. this is last week. these have been volatile lately. mortgage p applications fell 2.9%. so obviously the housing market is a big economic story and we are seeing pressure in housing. i had lauren zinon on last street on the wall street show, he said we're going to 8% on the 30 year mortgage rate. >> it would normally be a housing crisis, people do not expect to be paying 8%. the problem is, we have inventory problems. so zillow is basically saying we're still going to see rising home prices into 2024 because there's not enough inventory and right now there's enough of a bifurcation of the economy that there's enough haves that can afford an 8% mortgage even though they don't want to take it. that's what we're seeing. you know what? t

i mean, the fact that citi bank is through an svb low here, that's tough. >> for more, let's bring in new edge wealth head of fixed income ben ammons. >> hey, melissa. great to be back. >> are we going to look at this level of the ten-year yield and think this is pretty much the highs for the cycle? >> well, i think we still have some to go here. i was looking at technical levels here, if you take from the 2007 peak to the bottom in 2021 and back up, if you think of the retracement levels, we've really broken through all of them. so, technically speaking, you should make all the way back to the top now. there is some, i think some tactical opportunity here, i was looking at tlt and vglt, they are quite oversold now. they've drawn down almost like 13%, 14% from the peak in july, so, that may be a tactical opportunity, but i think we have to recon that a yield of 4.25% was not really reflective of the economy, as it may be of a yield of 5.25%. echoing tim and chris's points, this is a supply-driven rally, but also liquidity. last week, the bank of england increasing, so, there's global

we were in the throes of a banking crisis that took down some very large banks, when you think about svbhey probably signify if the company does get a bit tougher, if consumer gets worse, if unemployment goes higher, that we are probably going to finally have that recession that a lot of these same investment banks, their strategists, their economists, are putting the odds of a recession at under 20%. goldman just put it at 15%. that's what they're telling me. >>> coming up, an apple a day givings qualcomm a big boost. inking a deal with the tech gi giant. >>> but it's not all green for ap apple. we have the details from shanghai when "fast money" returns. >>> missed a most of "fast?" catch us any time on the god. follow the "fast money" podcast. we're back right after this. let innovation refunds help with your erc tax refund so you can improve your business however you see fit. rosie used part of her refund to build an outdoor patio. clink! dr. marshall used part of his refund to give his practice a facelift. emily used part of her refund to buy... i run a wax museum. let innovation re

the regional banks, they are down over 20% since the collapse of svb.after it happened, we heard there's going to be a lot of bank consolidation, m and a deposits would move to bigger banks. you have your finger on the pulse, you provide software to do different types of transactions, what are you seeing and hearing? is there going to be m and a coming up that hasn't happened yet? what are you hearing? >> first off, not a big outflow of deposits from our customers into other institutions. that was certainly the concern when silicon valley bank failed and the other couple that happened after that. but that was not really a major impact to our customers. the impact was, as i mentioned earlier, more just kind of normal spending that was happening because people have this build up in cash. on the topic of bank m and a, however, there's definitely a lot of demand out there for m and a. a lot of bankers are looking to acquire. the challenge has been for those public institutions, their stock has been impacted and so they feel like they wouldn't get the valuat

i felt like the losses at at the svb and so forth, shut them down, felt like those were kind of one-offmaturities that they had and the fact they were a victim of their own success. they raised so much money because of the low interest rates and the money just poured in with the government money and they had to invest in zero yielding or one or 2% yielding government bonds. so i was suspicious that maybe we get another one but after about two months, the problem seemed to pretty much dissipate. i think it played out about what i thought. i did think that the fed was going to raise rates in the aftermath of the march meltdown in some regional banks and they have continued to do that. i believe that the fed should stop raising interest rates. i think really they shouldn't bother to raise interest rates last time. but that, sr. we with stand. this is very much a mirror image last year at least in risk assets. bonds started out to be a mirror image of 2022. that has changed again. we're back up near the highs in yields with many parts -- charles: i'm sorry, let me pick up on that, the thing

the fact that the s&p has traded through the 100-day for the first time -- if you take out svb, which, for that -- we're talking about the broader market, broader rates, dynamics that are not necessarily idiosyncratic around the banking sector fornow, and it'sal dramatic move. we haven't really seen a move since late last year we have some of the big cap tech stocks actually setting up to go lower, i think, you know, i think 4170, 4150, a really interesting level, is not going to be that difficult to get to, and it sets you up really nicely for two of the best seasonal months of the year the rates dynamic has to work itself through there's a lot of math that doesn't make sense, but look at the vix. the vix, for a long time, was trading at post-covid lows for, you know, really through some of the first phases of this move higher in rates and it's extraordinary. small cap stocks are basically on a relative five-year low to the s&p. and they really are one of your big prombarometers of growth and what not >> jamie's cautious right now, after everything we've been through and some of the

and so, one of the things that is clearly breaking, where we had svb, first republic, and now we're having corporate credit. the problem is, and karen and i spoke about this several months ago, it hasn't really permeated to the large cap companies yet. sends to be smaller or weaker companies, the bed bath & beyonds, the david's bridals and smaller companies from there. you have $3 trillion of floating rate debt. 13 years ago, that number was $500 billion, $400 billion, it was meaningless. floating rate debt means as rates go higher, you're resetting your coupon higher, and i'll tell you this much, coupon's gone up about three times. have earnings gone up three times since 2021? no, they have not. and that is a terrible recipe for much of the corporate bond market, private credit. as well as leverage loans. >> and companies that need to roll over debt, debt coming due in 2024, 2025, it's going to cost them a lot more to do that financing now than it would have -- >> absolutely. and that will permeate from the leverage loan space to the high yield bond space, which is where you tend to see t

and it wasn't just banks that got beat up in the wake of the svb collapse.took a hit, and our next guest sees a big chill coming. that's when "fast money" returns.partneri because this game is for everyone. ♪ explore endless design possibilities. to find your personal style. endless hardie® siding colors. textures and styles. it's possible. with james hardie™. ♪ ♪ this is rochelle, who gives you a shot. ♪ ♪ rebecca is there when you feel not so hot. ♪ ♪ this is larissa, who's feeling glown up. ♪ ♪ and this here is winnie, who zhuzhed up their cup. ♪ ♪ this is victoria, helping women stay healthy. ♪ ♪ these are your kids, snacking snacks ♪ ♪ made with veggies. ♪ ♪ and matty can help ♪ ♪ you find your new favorite color. ♪ ♪ and kyle helps find meds for under 10 dollars. ♪ whoever you are, wherever, whenever, at cvs, healthier happens together. >>> welcome back to "fast money." regional banks rebounding today. the kre reracing yesterday's lo losses. the heads of global regional banks meet at the global financials conference to discuss the future of the industr

we had serious could it get again, you know, i the virus that's circulating now is the ag five and svband an xp variants. who most of the people who have gotten infected or have gotten vaccinated and boost it have a degree of immunity that they very well may get infected with the new withd with the with the virs that's circulating. >> in case you want to write this dowt ton, this isn't deltar macron. we've now gone from five xwb variant. >> i don't know what thaom means. and new york city's prepared though. n. preparenew york city's depat public health told everyone weard. health told everyone so if the media believes the pandemic made us behave like animalsehav and they admitt the pandemic protocols were anic overreaction. why is the media hyping a barely noticeable new pandemic wave? wave? >> fox news medical contributor wh fox news medical contributor >> so why? marty well, i wish we saw this outrage against other medical illnesses whermedical e is the l against rhinovirus or cox tackyt virus or melanoma? the other viruses that cause common cause ? this is a seasonal, phenomenal. so

equity market as well last week since we saw one of the worst weeks since march since the svb collapse happened. our equity investors starting to price in finally a recession? you see that with the small caps, this divergence with the large, and that is showing how fragile the market is right now. david: the s&p 500 to get its 100 moving day average last week. rishaad: you alluded to the hang seng, and it is a critical part in terms of critical's because -- technicals because the low point of friday before things went well, better off to the downside, but certainly if we are heading towards 18,500 or something like that, it could mean we have some legs. david: that is right. we did hold the floor on friday. we quickly reversed that today. we are back to that support level which is just under 18,700 right now. 18,000, we have taken that out again. 1.3% to the downside. the property story in china, which we will talk more about in a few minutes with evergrande and aiyuan resuming trade today, we are down 5%, 5.4% on our gauge of the property index. so the market remains quite wild. and i

>> the engagement that they had with svb was during -- >> i'm talking right now.because recently, some of your agents have come to the joint meeting and they were bragging how they were working with -- did you change processes? >> i'm not sure what processes are talking about. >> what is happening? >> again, during the period at the beginning of the invasion -- >> i am talking right now. do you that information you get from agencies like svm? i don't know if you are being stupid. i understand, are we being infiltrated by russians? i do understand why we don't have that information of such a really challenging agency. are you changing anything about that? i would like to have a briefing or something on this. if you're not looking at that, i have a huge problem with that. >> i have to try to see if we can get a better briefing on the subject. >> this is a serious national security issue. i yield back. >> the gentle lady yields back. the gentleman from south carolina. i'm sorry, the young lady from texas is recognized. >> thank you so, much mister chairman. thanks fo

we've seen it in so many other areas, whether it is the svb losing deposits in four hours, whether it'sf online opposition to some of their policies. >> by the way, ken griffin is played by an actor in this film. >> nick opperman. >> i asked him about it and his perception. there's some reports that he's unhappy with the portrayal. ec get to the bottom on that spial on monday night. >> that was an opportunity to market the film because he's not portrayed that badly. at least that's my opinion. >>> "squawk on the street" comes back after this. power e*trade's easy-to-use tools, like dynamic charting and risk-reward analysis help make trading feel effortless. and its customizable scans with social sentiment help you find and unlock opportunities in the market. e*trade from morgan stanley. with powerful, easy-to-use tools, power e*trade makes complex trading easier. react to fast-moving markets with dynamic charting and a futures ladder that lets you place, flatten, or reverse orders so you won't miss an opportunity. e*trade from morgan stanley (mom) bringing in a new roommate to save mone

minus 3 1/4% now some things people are focused on is you did have this up trend since march, since the svbd maybe lost some momentum on that front. folks would look for something along the 430 level to say this was more than a standard, seasonal pullback. that would be just under where we bottom in august. other things we're watching, all the talk a oil general commodities, the move has been hired in the index, heavily influenced by energy we're not toward the 2022 high an aggressive move at the high tend end of the arrange, such as treasury yields, ous prices, up. they're really focused on poor non-housing services inflation to see if that's going to continue to come down and help out their cause. now, the two-yield, that's where they get priced. this shows you the story in the economy for this year. remember the hot january economic data? everyone said, oh, no, the fed has to come a long farther about 5:60 in yield and. >> we've rebuilt expectations. >>> we'll see today how they adjust that outlook and maybe how many cuts they still project by the end of next year, assuming there still a

someone -- >> the rapidity and a group of people and how quickly things can move, that was true of svbf people could move their money, nobody thought this could happen with such speed. >> there are times that a short seller comes along and identifies enron, which was a complete fraud. and that's something we have to be grateful to them for but this is a way to make sure that short sellers aren't able to just push their advantage and -- >> i'm not a fan -- i have to be honest with you and i know i get yelled at by people in finance, but i think there's something repugnant about short selling. >> i would agree with that aspect of short selling but when it identifies fraud. >> a good answer came out of a bad action. that's like the end justifies the means. you're still doing wrong betting against the company. if you think there's something wrong with a company, publicize it. you doesn't have to make money on someone else's failure. e everyone's looking for another way to look money. >> the money aspect is the only thing that identifies the fraud. >> it's a sad state of affairs if the only

tom: there is an >> -- svb there is an >> -- >> there is an apple part of the story as well.iting from the cyclical upside. i would squarely look to the ai beneficiary basket and we could find both of those. lisa: does this sort of decoupling and shift towards certain industries at the expense of others mean we are going to have higher inflation or lower inflation? does this boost some of these talks are will be stocks grow -- does this boost some of these stocks or will be stocks -- the stocks -- anastasia: if we are to solve that challenge, the great thing to do is to invest in artificial intelligence and that has the potential to boost productivity. as more cfos, ceos and chief technology officer's are racing to boost their investments in artificial intelligence because they are trying to preserve their bottom line, that will provide a big boost for ai companies because there is a bit of promo going on right now -- a bit of foam oh going on right now. lisa: i am trying to wrap my head around what the implications on the broader level are with companies investing in ai and

secretary yelling in consultation with the president welcomed invoking the systemic risk exception for svb and then decided to provide blanket insurance even on uninsured balances, did the fed or any others, to your knowledge, perform any conflict of interest due diligence? >> know. we were in an emergency situation. on monday morning there was going to be, and there was a run on banks, so we carried out our duties. on actually pretty sure we did the right thing. >> and you don't think there was any conflict of interest, even looking back. >> i have absolutely no knowledge on that. payment thank you. thanks for being here. >> yields back to the gentleman from texas, mr. gonzalez is recognized. >> thank you chairman for being here with us this morning. the june federal open market committee indicates inflation in the u.s. and abroad continued to ease, but remain elevated. in response to that vote, the proposed interest rate increases up to june 14th, the recommendation is to pause interest rate hikes for the first time this year. research has shown that the effects of monetary policy decisi