the ccc, the civilian conservation corps had come along, and for people who didn't like to hoe corn,was an opportunity for them to get into an occupation where they could get insured monthly income, $21 a month, and a place to eat, clothing furnished, a warm place to sleep. so we had a lot of young fellows come in our communities, my brother was one of them, who joined the civilian conservation corps. when i got to be 17, you can go into the ccc at 17, when i got to be 17, i went in because i thought, since we had civilian conservation corps bases in our state, i would be sent to the same one my brother was. but that didn't happen. he was in the mountains of west virginia. they sent me to another city for a short period of time and then transferred me all the way to montana. as far as i was concerned, i was clear out of the world. [laughter] if i knew montana existed, i didn't know any thing about it. that's where i was on december 7. and the ccc made a provision that if you wanted to get out for the purpose of entering the regular armed forces, the ccc was a part of the army, we wor

the permanent personnel of the ccc's were army people. first sergeant, sergeant major, lieutenant that handled all the discipline and finances and that type of thing. i requested a discharge and asked to be discharged to go home and join the marine corps. i had not quite reached my 18th birthday yet. they gave me a discharge, and i went home. as soon as i passed my 18th birthday which was in october and in november i went to enlist. >> you never had a doubt you always wanted to join the corps? hershell: i wanted to join the corps. theoretically i guess that's all i knew. i was impressed by the actions and the appearance of these two marines who would come home on their furloughs. i guess i decided somewhere along the way if i ever become or go into the military, that's really what i want to be. i want to look like those guys. they were taller than me because you had a height requirement of 6'8" or better before you could even get in at one time several years before that. they had a height requirement of 5'11". you couldn't get in unless yo

they arrived here shortly after the creation of the ccc. it is one of the oldest parks in texas and across the nation. they got here in the summer of 1933 and set up their camp. one of the first projects they worked on was the road into the canyon. you cannot build the rest of the facilities until you have access. it is a reminder i give myself all the time when i come through as i'm driving down every day, that they built this road by hand basically for $1 a day. it changed their lives in that they were able to feed themselves, provide for their families, and they learned a lot that served them well later in life. it also provides for us today because we have so many amazing historic structures, the road into the canyon. without their work, we would not have everything we have today. >> being up here in the texas panhandle, there is not a lot of written history. there is not a lot of history you can go back to and look at. this is one of those places you can go back and look at some of the history of the mortar stones. there is a rock that

gon i got to be 17, you can into the ccc at 17, when i got to be 17, i went in because i thought, sincee had civilian conservation corps bases in our state, i would be sent to the same one my brother was. but that didn't happen. he was in the mountains of west virginia. to another city for short time and then transferred me all the way to montana. as far as i was concerned, i was clear out of the world. [laughter] --i knew montana exited existed, i didn't know any thing about it. that's where i was on december the seventh. and the ccc made a provision that if you wanted to get out for the purpose of entering the the cccarmed forces, was a part of the army, we wore army uniforms, eight army chow, had army doctors, that type of thing. the department of personnel for the ccc were army people, sergeant major, a lieutenant that handled all the discipline and finances and that type of thing. so i requested a discharge, asked to be discharged so i could go home and joined the marine corps. i had not quite reached my 18th birthday, but they gave me a discharge and i went home. and as soon as i

fbi special agent, the executive offer at west point, the ccc, as a consultant to the fbi's counter terrorism division and nsp. keeping up with the alphabet soup? please join me welcoming mr. clint watt. [ applause ] >> thanks to everybody for having me today. it is a pretty remarkable transition from what i talked about 2016, no one was too interested. not sure if you are aware of russia interfered in our elections. we have not talked about it much for the last four years. today i want to talk to you about something other than that. a good way to start it off and think about the dilemma that you all face out there in each of these states which has different interests and financial interests and different population that are looking now at different information sources. i think that's kind of where i would like to start. i was in new orleans earlier this week. so i told the story, july 4th weekend and i convinced audience that i was the stunt double because of the movie. had i done that five years later, somebody looked at the internet and told me it is impossible. we would have select it off

bernard from new york, the ccc is a mega church with more than 45,000 active members so what this gentleman me is like a poll because you have your pulse on this. it was in your church that michael bloomberg said that he regrets stop and frisk. >> that's correct. >> tell me about this. >> look. he called me and he's been working through a process deciding to do this. i know that the timing is suspect. but be that as it may, people will interpret it however they want but the reality is he reflected on his time in office. what he did right and wrong and stop and frisk has been something that has stuck with him. >> yeah. >> so he decided, you know what? i need to say i'm sorry. i need to apologize and what better place to do it than in a church? the place of redemption. so i gave him the platform and he shared and he said he was sorry. that's not enough. there has to be some action behind that. you know? repentance is a change in heart but it's reflected in the change in action. look. stop and frisk as a racial profiling did not begin with michael bloomberg. it is 120 years of explicitly racia

that, the high-yield market has a much higher quality than it historically has had, given the surge in bb, ccc's segmenting off into another part of the market. part of the new issue that's been more hairy has gone into the loan market. high yield is inflated and has a nice technical. peter: the high-yield people have to look at some of the bbb credits. bbb has been the weak end of investment-grade. you'll see a lot of investment-grade portfolio managers underweight bbb. bb have been squeezed a little bit. look for that. jonathan: coming up on the program, the auction block. the u.s. issuing 30-year bonds with the lowest subscription. this is bloomberg "real yield." ♪ ♪ jonathan: i'm jonathan ferro. this is bloomberg "real yield." i want to begin here in the united states, where the treasury's $19 billion offering of 30-year bonds to a record low of 2.06%. the highest bid to cover ratio since august 2014. a busy start to the year for junk issuance. selling bb rated debt at the lowest coupon since 2009. deutsche bank selling its first bond since 2014 with a reduced coupon. orders 11 times higher

. >> the credit markets today are challenging. a great call on ccc's. think you have to be tactical around that. you get in, you have got to get out of it. because of liquidity in the high-yield market. liquidity down the credit spectrum is really tough. we are all in, we're all-out, and you cannot trade that much. jonathan: back with us, bob michele, matthew hornbach, and priya misra. bob michele is back here. -- back in. let's talk about the shift in high-yield. you are leaning into this? bob: yeah. i don't want to fight this. if you go back to the middle of last year, it looked like we were headed towards recession. the central banks eased en masse. we totaled 88 central bank rate cuts totaling 9000 basis points. you got compromise on trade. so what is there to fight? and i look at it from the perspective, you worry about high-yield. if you think you are going to lose money. to lose money, you need default rates to go up. default rates go up when you have a recession. if the probability of recession is reduced so dramatically, why do i want to fight t

the yield on that now is 480. 4.8%. on a ccc credit in the united states right now.hat has upgrade potential, i understand. there's a big equity at the moment. we have the cash flow story that has improved over that last few months. all those things in this credit's favor. are we saying that tesla 2025, around 4.8, is that when you can yield on five-year money from a ccc credit? bob: i think tesla is a phenomenal one-off story, where the stock quadrupled in price. so that is like looking at government debt to gdp at 100% and somehow gdp quadrupled. so the debt has not changed but now it is only 25%. i think that is some of the dynamic that is going on. it's an interesting company. there is a lot of moving belts. they have only got one outstanding fixed rate bond. if people want to buy, go ahead. jonathan: the majority of the debt profile has been the -- through the convertibles as well. it is all in its favor. the traditional metrics, if they do not matter anymore, how on earth do you assign a price a , valuation? bob: it is being overwhelmed by the liquidity. that i

higher quality leverage finance market absolutely performingvery strongly, but then you have the fringes, call it cccs, high-yield energy where it's taking a much longer time for that segment of the market to catch up so i think what it's telling you is that investors are very sensitive to the liquidity that several banks have injected into the market but they're still a little bit conscious on the longer term fundamental prospects, particularly with valuations as tight as they currently are. >> winnie, where do you see opportunity in credit? are there sectors where people can say, okay, energy, for example, the sell-off in oil has been shocking, given what has happened with concerns about china's growth is it overdone do you see opportunities there >> we're still fairly cautious on energy, particularly on the leverage finance side of things. i think in the pipelines, the higher quality parts of energy, there are some opportunities there, especially after this most recent sell-off however, in order for energy as a whole to move higher, you have to see some sort of sustainability, more headlines on the

mark: we will get in the weeds here on protection of stuff -- here on practitioner stuff. if a cccrent basis,b loan on a spread in the majority of risk schools, that is going to be the same thing. well, there's no difference here. i will just buy the one that has 10 basis points more yield. price of losing my money because it has been so long, what it really feels like. only people in the energy sector really know what that feels like. alix: and now they are all out of it. lale: that's true. i think people have also focused on these artificial differences between rating categories. one of the things goldman high-yieldghlighted, everyone says is distracted. energy contributions are at net --h yields and they are at when you subtract those 2, 80 points gone out of the index. reality 12.3, so the with high-yield is probably with mid-threes, which is ridiculous. alix: so what do you do? out?old and hide lale: i think gold is a good insurance policy. we always have gold as a percentage of the fund. think literally, cash is not trash. i think you look at trash as a temporary placeholder

it was a threshold issue that late last fall we were at ccc church when he admitted he made a mistake and didn't realize the having on black and brown communities, he apologize for it. it's important to roll the tape back on all the candidates on both sides of the aisle. we realize it's not making a mistake, it's acknowledging you made a mistake and deciding to move forward. that's a sign of humility and leadership. we need more of that in american politics. >> mayor bloomberg often says it's just about data. it's not about data, it's about humanity and the way people feel. we know two days ago your campaign was feeling good about the latest poll where mike is gaining support among african-american voters but when more people hear what he actually said, aren't you concerned this is going to eat into this report? >> we're excited. we're rolling out three endorsements this week. we have momentum. and we have momentum among -- people like to think the african-american voters are homo genius. it's a ettre genius group of voters who all want to win in november and send donald trump home and see mike bloomberg as

i did have the opportunity to be with mayor bloomberg late last year when we were at ccc church and hee stops did drop dramatically before he left office and i will say this, the practice of systemic bias in policing didn't start with michael bloomberg. there's a lot of work that needs to be done in america to deal with this issue. mike bloomberg made a mistake, and he's owned up to that mistake, and as we move forward, we've got to make sure we build a good strong public safety system based on people being public guardians, making sure the promise of america is real for all of us. i will say this, the challenge of gun violence in america, and there are thoughtful aggressive ways to deal with it, stop and frisk was never the answer. it was an issue, as i told you when we saw each other in philadelphia. when i first decided i was going to join the bloomberg campaign, the mayor indicated to me he made a mistake, and he was going to apologize for it, and we moved forward since then. that's the past. we're looking forward to the future. i will say this, this is an issue now because mike bl