treasury treasury . the photos news dot com websites is being blocked on us treasuries orders and emails sent to fall as news agency by the provider clearly stated that the treasury's office of foreign assets control as i did the agency to the sdn specially designated nationals list if you visit the website fars news dot com it is unavailable the web page does not load now it's important to note there is a website fars news dot i r that i are standing for islamic republic that has just been created fars news calls itself an independent news source generally it has been labelled by western media outlets as being a mouthpiece for the iranian government it's one of the primary sources for breaking news within the borders of the islamic republic the fact that it has been taken down and does not appear to have its website up and is blaming this on the us treasury seems to fit it on standing a long standing pattern for example earlier this month press t.v. the english language t.v. network based in the islamic republic of iran was removed from you tube however google backed down from that decision but regardle

treasury treasury department regulations will force companies that handle sensitive personal data likemedia and health care firms to go under increased vetting. the rules will take effect february 13. apple's main chipmaker is reporting quarterly sales well above analyst estimates. they also posted fourth-quarter earnings better than expected. taiwan's largest company investing in technology to make sure it maintains market lead over samsung and intel. the rollout of 5g phones this year is expected to lead to faster growth. for the first time in more than seven years, morgan stanley is recommending selling tesla shares. according to analysts, optimism around the electric carmaker's growth in china is now priced into the stock. tesla's stock price has more than doubled since the beginning of october. those are your top global tech stories we are watching today. >> sticking with electric cars, a company that assembles iphones is getting into the ev market. it is joining with fiat chrysler. it will be responsible for the design components and supply chain management. fiat will handle the

the secret service is part of the treasury department. treasuryteven mnuchkin agreed to the idea but wants to start it after the presidential election. democrats say the public has a right to know the price of mr. trump's frequent visits to his resorts in florida and new jersey. >>> "chicago tribune" reports an illinois judge ordered google to turn over a year's worth of act joor jussie smollett's priv data. the judge wants google to give information to a special prosecutor investigating why investigators abruptly dropped criminal charges against him. last year charges were dismissed against jussie smollett for staging a racist and homophobic attack in downtown chicago and then lying to police about it. >>> our partners at the bbc say prince harry and his wife meghan markle made a stunning announcement. the couple said they are stepping back as senior members of the royal family. they plan to become financial independent and raise their baby son in both the uk and north america. harry and meghan did not explain what they meant by financially indep

treasury department. treasury secretary steve mnuchin has reportedly agreed to the idea but wants to start it after the presidential election. >> trevor: oh, yeah, that's right, steve mnuchin, treasuryecretary and corporate kyler wren says he will disclose how much money the secret service spends on trump but only after the election. that can't be a good sign. why after the election, huh? that's like asking a hookup if they have been tested and they say, yeah, yeah, yeah, i was, and i'll tell you the results after we smash. ( laughter ) protecting a president has always cost money, let's be fair, but trump is a special case because this is the first time where the secret service also has to protect the president from himself. watch out, mr. president, the stove is hot. sir, what did i just say? stop that. you want to touch it? touch it, touch it! no, i learned my lesson! ( laughter ) just picturing him now. are you going to touch it? no, no, i'm not touching. ( laughter ) we already know that since he became president, trump's travel has cost taxpayers about $100 million. what i want to know is a breakdown. i want to see a breakdown of what they spend on each member of the trump fam

secretary of state mike brown pale and treasury sect treasury secretary given the new trend of unveiled new sanctions on a. on steel industry and on senior officials of the islamic republic the sanctions are the result of iran's missile attack on u.s. bases in iraq. coming up next on news asia the china question and its impact on taiwan's presidential election to be a visit to the taiwanese island that could offer some answers. he responded he has that coming right up on the news asia thanks for watching us to. come up. here i am taken. suquamish place to pay you listening. nice news and he can. i won't get our story. because a. mosque. is what starts january 27th on t w. every 2 seconds a person is forced to flee their home nearly 71000000 people have been forcibly displaced. the consequences have been disastrous our documentary series displaced depicts dramatic humanitarian crises around the world. forgetting like i didn't go to university to kill people that i don't want to have my boss come to me and tell me to kill someone living in many and if i don't they'll kill me. people feel

, very rare that you get the us administration from the president, secretary of state, treasury security —— treasuryurity advisor saying don't do it and britain goes ahead and does it. yes, limitations, but i am not sure the americans are that interested in the new ones. let me give you a flavour of the rib —— responses. one prominent republican, london has freed itself from brussels to give up sovereignty to beijing. three members of the senate intelligence committee, really hit the raw nerves. we don't want to feed postbag brexit anxieties by threatening a potential us and uk trade —— free trade deal, nor would we wa nt trade —— free trade deal, nor would we want to limit uk and us intelligence sharing. but... 0k, thank you, jon sopel, at the white house. the foreign office has asked britons who want to leave wuhan — the chinese city at the centre of the coronavirus outbreak — to add their names to a list before tomorrow. today, germany and japan confirmed the first cases of people who haven't travelled to china, but who've contracted the virus. meanwhile, hong kong has announced stringent new mea

oil prices do that you see inflation-linked treasuri treasuries, flowing going in there, so it seemsbond market. >> alicia, do the yields continue up? >> yes, we see yields moving up this year. the interesting story we think for 2020 is inflation. no inflation >> it's interesting to hear you say that in terms of some of the monthly -- that's really interesting, if you look at the wage growth, as we have learned recently, and the bottom half of the labor market they folks have had a four-plus percent increase there will be inflation out of this you have a night and you have the fed willing to run it hot. and so you have arecipe for inflation to percolate through the system the fed positions is really important here it wants the company to run. >> alicia and bottom, thank you so much. up next, general wesley clark weighs in. we're back in son 90ecds s myww's been an amazing journey. ...it's almost like a challenge everyday to see how well i can eat and still enjoy myself all day long. i wake up every morning to see how much weight i've lost and how much better i look. myww join for fre

they have been using -- what will that mean for treasury yields? treasury yields will remain love this year. pretty similar to the current level. we have two fed rate cuts starting the middle of the year. june and september. as we highlighted the presidential election, november will be a huge driver of the economy and markets. with inflation in the u.s. below target range, the fed is going to ease policy. one of the things we saw in 2019 was a yield curve inversion. curve inversion taken a bit of a hit? it had a slightly inverted curve for a short. of time. recession potential we should say. we see the pace of u.s. economic growth moderating. not really at risk of a recession. part of the reason is the fed did so preemptively. they were easing interest rate in 2019. when the unemployment rate was generational low. the fed got ahead of the slowdown and done a good job in showing growth continues. >> you mentioned inflation of the u.s. being subdued. we have had a number of guessing inflation is on the risk watchlist. did you see that as being the case? >> it

say this, be prepared for massive volatility and the things are here that they buy gold, treasuries, treasuries sanders will spend into -- [laughter] neil: that's another show. all right, thank you, my friend. >> i never heard of process meats as a safe haven. neil: you're running too much. you run by the grocery store. >> who knows. neil: thank you, my friend, joe biden is facing backlash after lashing out yet again another voter, take a look. >> i like you and i'm going to support you if you win the nomination but what are you going to do about climate, you say you're against pipeline but you want to replace gas lines. >> no, no. >> we will stop building and -- >> i'm going to vote in the general. >> no, no. you're asking me and telling me you don't support me. in the general. i'm in the primary. >> i don't know if you're running for president and telling to go ask before. he has done that. i don't know if that's the strategy i'd be going for. >> if i was consulting on his campaign, one of the things i would tell him is, please, do not tell somebody, go vote for someone else because they will

treasury market should price in this risk. treasuries are pricing in a fed on hold. they are not really pricing all the risks. i would say business uncertainty. just a week ago we were dealing with u.s.-iran. the middle east is still pretty unstable. we have an impeachment, an election. i think treasuries have room to rally. i would say tens can get below 1.8%, can get below 2%. we have taken out the hiking scenario so there is a gap on the 10-year. if risks increase, it's an attractive risk hedge to any asset. jonathan: you also think the fed comes back in at some point this year? priya: we do. jonathan: how do they come back in this year? pretty much everyone thinks the fed is done. nothing brings them back in. priya: if you tell me growth is indeed 2% and there is no growth, i think the fed is on the sidelines. our view is a combination of slowing business investment in manufacturing is pretty weak. that does affect the consumer through the course of the year. plus, i'm concerned that when the fed stops buying treasuries, which i don't think is happening for the next six months, but at some point they will put enough reserves into the system and take a step back and you get a tightening in financial conditions and the market says qe help is behind us. the fed says we don't see infla

growth worries, driving treasury yields down to october lows, pushing investors pull cash from junk-bond funds. his back.nd bit >> the treasury market rallying. >> rally in treasuries. >> fixed income yields keep falling. >> we don't have any major inflation risks. >> what inflation? >> global growth will be relatively weak. >> the fed is on hold. >> the fed is ready to do what it has to do to keep things going. isthe coronavirus scare completely dominating the conversation. >> we can still go lower. >> the message for investors is to find yield. keep your yield. >> you cannot be scared away. once you give the yield away, it is hard to get back. around theoining me table is subadra rajappa, kathy jones, and rob waldner. kathy, when we start a week with sentiment like this, the next week things look the other way and we are vulnerable to a squeeze. are we vulnerable now? kathy: it doesn't feel like it. the squeeze was people were not prepared for this. anyone who was in heavily in leveraged fixed assets has been squeezed out. it doesn't feel like it because there is no magic wand here. and comeg has to peak back down. that is likely to take time. thethan: one person

treasuries. only had that through the third quarter of 2019, of year bought 250u.s. banks 4 billion dollars of treasury's net. $254 billion of the treasury'set. the yield differential looks large. lisa: taking a step back here and rip up the script, given the fact that you are pointing to this shift from foreign demand to domestic demand, i do wonder how much the fed is fueling this with their repo facilities. they say that it does not count as quantitative easing, but how much of that is what is really going on? mark: the federal reserve has been concerned about the number of reserves in the system, and we have been good about keeping the target between one and three quarters. there was a big scare at the end of the year about the level of reserves and what we might to see rates do. we thought they did a good job of getting in front of that. we see them continuing to provide reserves whether that is through a continuation of buying bills are repose or some combination. do not think it has been driving a lot of inflows, but it is supportive of the treasury market. isa: do you agree that this supportive but not qe? sam: it is supportive and

money clinch: the treasury will -- mr. mnuchin: the treasury will work with anyone who will help facilitate the investigation. reporter: last time you joined us in the room, secretary mnuchin, at that point you said, i think we've done more sanctions on iran than anybody and it's absolutely working. since then we've seen an escalation in violence from iran, shooting down the drone, attacking the embassy, contractor who was killed, u.s. troops that were wounded. how are sanctions keeping the united states, economic sanctions, keeping the united states and united states interests more secure? mr. mnuchin: i think we have 100% confidence and we're consistent in our view that the economic sanctions are working. that if we didn't have these sanctions in place, literally iran would have tens of billions of dollars. they would be using that for terrorist activities throughout the region and to enable them to do more bad things and there's no question, by cutting off the economics to the regime , we are having an impact. as the president has said, the

treasury department, it's treasury that's been objecting to virtually any efforts to get tougher on china and north korea and iran. the other ones who seem to veto this new role that would change the amount of american technology where a foreign company could sell profit. >> this is quite something. this defense secretary, say what you will about nguyen, going on with this bunch of nonsense about orders of consequence, it must be contemplated about effective leaders. why is it being done out in public? doesn't somebody want to grab this guy by the ear and say wake up? >> if somebody has to do that, i volunteer here. up till now, i've only heard good things about secretary esper but now i have to seriously reassess. >> even his official statement makes no sense. this was a regulation that would have prevented u.s. companies put a limit on how much they sell over seas and the statement, it's about securing supply chains for u.s. companies. that's going backwards. they are selling, they are not trying to contain products. even a statement is absurd. >> chris is right. while way, the interest of china. which is strategic. >> why is there so much obvious conflicted thought here within the administration on whether huawei is in national security or not? if it is not, with any other country, treated as any other company. but it is a threat to our national security. this is not something for the compromise of the boardroom, this is something to bring a hammer down on. is it not? >> it is. the shocking thing is, it's like the world is turned upside down. usually it's the state department making ridiculous arguments saying yeah, they steal our secret and they are compromising all of our technologies and symptoms but really, we want to have good relations with china and we find a deal with them. it's the other part of the government, it's been completely turned around. there on board. pence is on board. with where the president wants to go. the pentagon, which should be the most, i think it's potentially against munition over treasury's like the world is upside down. >> the defense attorney for chief financial officer of huawei in vancouver and the proceedings for the united states, why should we extradite her? the secretary of defense says it's not a problem. to suffer company, whatever americans technology. this is a kind of nonsense, this is novel at least in american english. >> let me send a message to secretary esper. the president's advisory to national trade, the person negotiating with china and also matt, deputy national security advisor director for asia, all on the president side and you know who understands? donald jonathan trump. people need to get back -- >> jonathan or john? >> nevermind. >> i'm just going to go with donald trump. >> he is absolutely clear -- >> i don't think that's the problem. i think the problem is sitting over there in the defense department coming up with nonsensical announcements. thank you very much for being here. stay with us. ♪ top stories tonight, president trump commendi

thornberry, the shadow foreign secretary, ten nominations, clive lewis, the treasury, shadow treasury minister, hasjust four lewis, the treasury supporters which closes on second april, the winner announced a couple of days later. britain's biggest regional airline flybe has refused on comment on reports that it is in rescue talks to avoid collapse. ben's looking at this. i have spoken to flybe, the regional carrier, one of the biggest in europe, but they say they will not speculate on these reports. reports from sky news they are in last—ditch talks with the government to avoid a possible administration. and ey potentially being lined up as the administrators again refusing to comment. what is interesting is flybe was sold last year, put up for sale by its parent company, warning it was running out of cash, and bought by a consortium, including virgin atlantic. they were looking to use this given it has great regional connections across the uk and northern europe, to get people into the hubs for their virgin atla ntic into the hubs for their virgin atlantic flights. it is important for regional connectivity, one of the bigges

treasury appraisal a lwa ys projects based on treasury appraisal always look like they're quite challenging to make them stack up. but when you add on the multiplier effect, the economic impact as i was greater than the treasury based on the treasury's own rules, this is a good project. it looks even more positive. thank you for your time this evening. emergency teams in turkey are continuing to search for survivors of friday's earthquake in which more than 35 people are known to have been killed. with the latest, here's richard galpin. she is just five years old, and covered in blood, but this girl is now safe. the rescue team pulling her out from under the smashed blocks of concrete and other debris brought down by the earthquake. for the rescue teams, speed is now essential to save lives in freezing temperatures. this emergency worker using a mobile phone to speak to a family trapped underneath the debris, telling them they must keep awake. in the light of morning, the extent of damage was revealed. this, just one of 30 buildings to have been brought down. and hundreds of aftershocks over the past 2a hours have added to the fear in this earthquake—prone region. this, just one of 30 buildings to have been b

hugh: the base case for this year for treasuries is that it is the confidence from the trade deal starts to feed through an economy, you can see treasurieske them because of their diversification fo role. i would expected to be offset by gains in risky assets. treasuryt calling for yields to go lower, but it is about being confident they would in a downside scenario. anna: thank you so much hugh gimber, global market strategist emea, jp morgan asset management . let's get the stock movers. the biggest movers in the stoxx 600 is christian hanson, the ingredients maker that deals with agricultural firms. they cut their organic revenue outlook. too that new outlook is ambitious for the company. they are facing headwinds, trading challenges, and they continue to do so. we see them trading at a november low. asm is the biggest gainer on the stoxx 600 trading at a record high. they gave an update for the fourth quarter sales, saying it will beat their expectations, euros,in at 370 million more than 20% where they sell their midpoint in their prior estimate. those shares are up more than 7%. one of the other big gainers, the retail operators se

about air passenger duty, it is a matter for the treasury and i won't change that now, so the treasury and i won't change that now, so no comment the treasuryhange that now, so no comment on—air the treasury and i won't change that now, so no comment on—air passenger now, so no comment on—air passenger duty. we have an uneven playing field, minister, around apd and other regulation around regional airlines and airports which has, without doubt, contributed to flybe's current predicament so longer term cani current predicament so longer term can i ask the minister whether there's any appetite within government to address this and the crippling impact it's having on the regional connectivity that he and the prime minister rightly referred to this morning. although i recognise what the honourable gentleman has to say, our regional airfields are crucial to our regional collectivity and i'm acutely conscious of that and we are looking at all policy options. does he realise that air passenger duty is a damaging tax to the economy, costs jobs and there have been reports given to the department of transport and the treasury that show abolishing pas

shery: when it comes to treasury issuance, what do you make of the twenty-year bonds that the treasury has announced? making -- treasuryaking advantage of the relatively low yields, it is good that they build that with a yield curve. the yield curve is also positive for market sentiment, but also for the banking sector. haidi: as -- does that mean the dollar continues to reign supreme this year? >> that is then interesting one to note. i think it is probably at the margin that i expect to be slightly weaker. the gap between u.s. growth and global growth has now narrowed, so that to me alongside the risk sentiment i think has dissipated . quite stable renminbi and a euro that is slightly stronger. haidi: always a pleasure thank you for joining us. ubs a straily ahead of fixed income. world economiche forum in davos including the imf manager. this is bloomberg. ♪ haidi: i'm haidi stroud-watts in sydney. shery: i'm sick -- shery ahn in new york. you're watching "bloomberg daybreak: australia." let's get a check of the business flash headlines. softbank says it still sees wework as a good business despite months of poor ea

treasury civil serva nts probably because treasury civil servants are concerned about where the money will come from to pay for it. it is felt over the past few weeks that politically it is impossible for boris johnson weeks that politically it is impossible for borisjohnson to do anything other than continue given he has made such a big show of levelling up the british economy and investing in infrastructure notjust in the north but to the north to cancel hs2 now despite the cost and uncertainty about it on the tory back benches would be a major breach of that first promise. not really any suppressant that sajid javid has got on board. katie, do you agree and is this both bits of h52 or is this london to birmingham? they're still waiting to get the exact detail again because there is no formal decision. i think that when it came to hsz if you look the government commission before the government commission before the government which was helpful to the government which was helpful to the government because they get to go into an election not sing either way what they would say doing each as to but singing was under review, discussing what could, for somebody thought that you should do part two before part one. london to birmingham is the first one but given that boris johnson birmingham is the first one but given that borisjohnson has birmingham is the first one but given that boris johnson has focused so given that boris johnson has focused so much on his level up agenda, the fa ct so much on his level up agenda, the fact that he wants to the midlands... you could prioritise the second part going into other parts on the north end up instead. i think that the sense of speaking to figures is that phase one will happen. london to birmingham is important andl happen. london to birmingham is important and i think if you look at the economic value that is coming from this, one of the things the treasurytruck by was terms of capacity in the first stage they think is crucial to the whole project. is it a shot that it looks like it is going ahead? number ten have been paving the groundwork for this for sometime. i think the fact that stephen the shadow—boxing secretary... and anthony which had been —— the shadow brexit secretary... they're not completely... it is not a shock that sajid javid has come around. he has been decisive, hasn't he? very decisive in these briefings. which we are also reading in the daily telegraph. excellent briefing from the treasury tonight, he such a job it since he took over has had to fight off these allegations that he is chancellor in name only and that he would do whatever he is told by the bosses at number ten and clearly from the ft and tow graph or be to believe, than it is the other way around. —— the telegraph to be believed. the telegraph puts up a story doing the rounds of seeming that sajid javid has written to cabinet ministers for every departm

treasury markets of budget deficits over the last decade or so are not participating heavily. that is one reason why you see u.s. banks buying a huge amount of treasuries. we only have data through the third quarter of 2019, but the preceding year leading into that, u.s. banks, big banks in the u.s. bought $254 billion of treasurieset. they are funding one quarter of the u.s. budget deficit because foreigners are not buying. the yield differential looks large. once you take into account the foreign-exchange market, it is not. lisa: taking a step back, given that you are pointing to the shift from foreign demand to domestic demand, i wonder how much the fed is fueling this with their repo facilities. they say it doesn't count, it's quantitative easing. how much of that is really going on? mark: the federal reserve has been concerned about the reserves on the system. we think they have done a good job maintaining the fed funds level between 1.5 and 1.75. that is the stated target. we are not so concerned about them continuing to accomplish that. there was a big scare at the end of the year with the level of reserves, what we may see rates do over the term. we thought they did a good job getting in front of that. we see them continuing to provide reserves, whether that is a continuation of buying bills, repos, or so

treasury securities, the purchase of treasury securities -- which is the way, you know, part of the way the federal government is funding its operations -- the way those are financed. so these are largely treasury securities that have been purchased by dealers for distribution to, and buyers to a substantial extent. that's what's going on in the treasury repo market. so it's just financing for that. again, we don't -- that activity a market activity. we're not looking to eliminating volatility or protect anybody from volatility at all. what we care about is that roll tilt in the repo market can affect the transmission of our policy decisions to federal funds rate, and that really is important for the public. >> [inaudible] >> nancy -- sir is, with marketplace. chair powell, is the fed going to vote tomorrow on changes to the volcker rule restrictions op on banks investing in venture capital funds? what can you tell us about what the fed considering, and why make those changes? >> sure. so we will be looking tomorrow and voting on a new part of the existing volcker rule, and that is the covered fund provisions of the rule. and we'll be making a bunch of proposed revisions that we believe are fai

treasury. joining us is treasury secretary steven mnuchin. great to have you with us. congratulations on the extending package. secondly,usmca thirdly, and the china-u.s. phase one deal. it's been a busy week for you. but with your portfolio, i know you are not surprised what can be done in a week. great to have you with us. >> it's great to be with you. as you said it's been a great week for president trump's economic plan. we couldn't be happy were getting appropriations done. a big investment in our military. the president got the space force and a lot of wins for the president in this bill. >> and the american people. there is a sizable number of people, and even some of them trump supporters who are surprised in modern history to have a president now who actually does what he says he will do, who delivers on campaign promises. he said he was going to create prosperity forward america and paul americans, and by god he's done so. >> he's delivering on all his promises and he's building a great economy for american companies and american workers. lou: we are hearing

that's where treasury securities -- purchase of treasury securities, which is part of the way the federal government is funding its operations, the way they are financed. these are largely treasury securities that have been purchased by dealers for distribution to end buyers to a substantial extent that's what's going on in the treasury repo market. it's just financing for that. that activity is a market activity. we're not looking to eliminate volatility or protect anybody from volatility at all. what we care about is volatility in the repo market can affect the transmission of our policy decision to federal funds rate and that really is important to the public. >>> is a vote tomorrow on changes to the volcker rule restrictions on banks investing invent you're capital funds, what can you tell us about what the fed is considering and why make those changes? >> sure. we will be looking tomorrow and voting on new part of the existing volker rule. that is the covered fund provisions of the rule and making a bunch of proposed revisions we believe are faithful to the letter and spirit of the law. we'll put those out for public discussion and listen carefully as we always do to public

treasury has reached out? >> there is a treasury borrowing advisory committee. get some sortably of inclination on what they are thinking when we get the minutes from that. harriserg's alex keeping us up-to-date on the new bond issued by the treasuryng up, more cuts for deutsche bank. this is bloomberg. ♪ romaine: time now for a look at what stories are trending across the bloomberg universe. a hedge fund set up by a former investment manager which has more than quadrupled its assets , sandbarlast year asset management, which started trading in 2018, had about $130 million in assets a year ago, and surged. story on aom has a snow storm headed to the northeast. it will be the first time since december 2 that new york has gotten more than an inch of snow. it follows a weekend when temperatures reached into the 60's fahrenheit. this season, only 2.7 inches of snow has fallen on manhattan's central park. and bloomberg has reported that starbucks is planning to open more stores in lower income neighborhoods. there are plans for 85 stores by 2025 in these communities, bringing job opportunities, although many are concerned the prices will be too expensive for the residence to afford. you can follow all the stories on your terminal and o

treasuries. again the rotation of treasuries or some people that want to think that they're trying to be safe we could talk about outflows but you're talking about closer mutual funds not that inflows from hedge funds and other things so again there's a real fine line that you can draw based on that at the end of the day there are less equities the buy there are still corporate buybacks the fed is still on the free money train and money is still overflowing into equities and of course you continue to hear the same rumor we've heard for is money yours is our markets have been or is mine in the sidelines while the fact is there's always money on the sidelines that go into a market and as long as the fed keeps this low policy you're going to continue to see buybacks come again because again if i can borrow the money at 3 percent or pay a 4 percent given what am i going to do i'm in a brahmin to buy my stock back and i think that's going to continue and when we talk about bonds we did have this announcement coming in last week when the treasury announced it will be issuing a 20 year bond for the 1st time in 34 years to help pay for the $1.00 trillion dollar budget deficit well now issued a total of 2.7 trillion in treasuries and 21000 is expected to do the same if not more here in 2020 so question time is who's buying these i mean china's appetite is obviously slow japan's appetite is slowed who is left to fund the u.s. . well again you know if you see there's always a little bit of money and of course words china going to go if they want to stockpile some care somewhere are they going to go where there's negative rights are they going to bring it here this is the whole argument again the bonds are in a bubble they've been in a bubble for a long time and you're starting to see it but again when you're borrowing money and people want a place to get some sort of yield they're going to chase after him i don't agree with it i don't think it's the right trade myself but again there's still money there that will come in and one of

growth worries, driving treasury yields down to october lows, pushing investors pull cash from junk-bond funds. his back.nd bit >> the treasury market rallying. >> rally in treasuriesncome yields keep falling. >> we don't have any major inflat

treasuries? we have seen the treasury market move substantially. chris: 10 year treasury down 1.6%.rket concern and angst is in there. remember last year it was all about the trade wars in asia, and we had a semiconductor cycle, and the dollar domesticed outperformance versus the rest of the world and the dollar was strong. the last two months after the trade war improved, but now we are edging back to where we were last summer. does slow andand it spreads to other asian economies, typically the states may be more insulated. with yields, the advantage of 1.5% will probably hold on. our opinion team wrote a story saying china is better prepared to fight financially a 2003 like this than in because the currency is more flexible. been pegged had for 10 years. what do you think we will see in a u.n. and what stimulus do you expect china to attempt to mitigate the problems that come with containing the virus? as chinese authorities, at soft capital controls to control the depreciation. as part of the phase one trade deal they have got a packed to avoid competitive devaluation. this is ma

treasury market where demand for the treasury's $16 billion, 30-year bond issue dispelled fears after wednesday's soft 10 year auction. what a week. wrapping up the biggest week ever with over $100 billion of new debt sales. underscoring its status as a major global funding vehicle. the window is wide open for risky energy companies in the u.s. to rush back in. seven companies offering high-yield debt this week alone. sticking with high-yield, invesco's tim horsker weighing in on the credit markets. tim: if anything will go, it is the lowest quality credit first. seeing the rally since october has been another good signal for us about the durability of the rally. jonathan: back with me, priya misra, gershon distenfeld, george rusnak. that last line, the lower quality credit starting to underscore the durability of the market and the rally. your thoughts? gershon: this is what we talked about last month, high-yield managers are in a quandary. last year was kind of free money. it was only the second time where high-yield did well and triple c did not lead. it was double b. you have to take risks to get return. now do the math and realize your double b's are yielding less than 4% today. that is not where you will get returns, the only way is the triple c's. however, a lot of the yield is in the energy space, where investors realize a lot of these companies, even in the best of times, don't generate a lot of free cash flow. however, since we don't know where the price of oil is going to go, or rational people don't, who knows? what if we go to $80? these companies will be ok for a while. they are chasing things. that is working so far. it is working the short-term. but the reality is a lot of these companies don't work in at $50 or $60 oil. you will see a lot of restructuring unless we see the price of commodities climb. jonathan: you seem quite skeptical of the rallies we have had. the parallels between now and then, was that a stronger set up, what does that look like compared to what we have right now? george: dispersal was a lot less. you could get the yield without taking on excessive risk. you had to take a lot of risks. if you're not willing to buy a lot of those emp companies from the other kinds of distress -- you could have gotten close to 5%. that is not the case today. george: the framework from the fixed income market is pretty strong from a technical perspective. you have roughly half a trillion dollars less in supply coming out this year. from a global markets perspective, specifically for high-yield, you are seeing a liquidity challenge. the liquidity challenge we had back in september with the repo market coincided exactly when triple c's started gapping out. now all of a sudden they are figuring that out and spreads are coming down. they moved from 8.5% up to 10% and now they are back to 8.5%. for us, it is not underling underlying fundamentals improving, it is technical factors. in the long haul, that will be tough for them to work through. priya: from a macro standpoint i would agree. fundamentals are telling you there should be more dispersion. i think we should be looking at the credit of these companies a lot more. but you look how tight the spreads are, it tells me the reach yield is dominating everything else. treasuryeople are looking for yield elsewhere, but i'm ready worrying for a sign of default or downgrades picking up. it is making certain sectors of the credit markets extremely the vulnerable. you have to be smart and get out early or hedge the situation. jonathan: this theme of not enough debt, does that carry over to some of the dynamics in europe at the moment? the belief it will be starved as the year grows older. is that the dynamic you are thinking of? priya: yes, it is. the ecb is doing qe. they are taking paper out of the market. on a net basis, the numbers are not that high. i think this global reach for safe bonds or not so safe but high positive yielding bonds is still out there. george: but it is the other side of the equation, too. it is not only the supply but the demand is up dramatically. the demand for corporate debt domestically. last year, the record year of inflows. you're seeing that across. that's the thing you will see right now play out as institutions start getting d

treasury. >> secretary of the treasury, steve mnuchin. >> he's big, too. >> yeah, right and then the ceos of paypal and chevron and chevron guys over here in disguise he came walking upholding his head up in davos at this point with all that dirty energy u.s. equity futures at this -- right, sir huh? world economic forum. >> just keep going >> it's punchdrunk time here it's been -- >> that's why we have our coats off because of the chevron guy it's hot here. >> dow jones indicated down 56 points -- god, sullivan is leaving. stay. >> stay. nothing could go wrong stay nothing could go wrong. >> i haven't said anything. >> i already introduced you. >> you can go through the time. >> treasury 175. >> all right, here are some of the stories that investors are going to be talking about today. we should tell you about comcast beating analyst expectations for the latest quarter on the top and bottom line. parent said its cable division saw record quartly rate. we asked about peacock, the company's newly-revealed streaming platform. >> wehope in the next four, five years to be able to get to the kind of advertising revenue per customer and therefore the value per customer would come from that. that some other platforms are getting today. so i think we have given ourselves a long runway to scale up, take back some of the content on other platforms, make some original content, engage with consumers but as we talked about, peacock will be very different >> along with earnings this morning, comcast also announced a 10% increase in its dividend earnings also out this morning from dow component procter & gamble the consumer products giant beat street expectations coming to the bottom

flipping the board, we will get treasury cash trading with japanese futures off-line. treasury futures -- we saw treasuriesd the yen, softer by a touch. the worst week of the currency since october while gold is losing ground areas the stock price is off a quarter of 1% after a volatile week for fully and. some analysts are saying it could be time to buy the dip. haidi: one of president trump's top economic advisers is striking an optimistic tone for the strength of the u.s. economy. he said the jobs data is still very strong despite missing estimates. said expectations, measuring against this and that market forecast. but 145,000 jobs is a great number. thether point is unemployment rate is 3.5% and remains at a 51 year low. that is a remarkable number with no inflation. when you look at unemployment, you got to look at the household survey which very few people do. gain in the7,000 household survey which skews to the smaller, younger businesses to show the vitality of the economy. i think it is a strong report. one last point, you were talking about the stock market and mohamed el-erian is a bright fello

treasury now the website seems to be down and we don't have an official statement from the u.s. department of treasury however this is what fars news said on twitter the photos news dot com websites is being blocked on u.s. treasuries orders and emails sent to followers newsagency by the provider clearly stated that the treasury's office of foreign assets control as i did the agency to the sdn specially designated nationals list. now if you go on to the internet and type in fars news dot com nothing will come up the website appears to have been removed and now it is important to note that there is now a web site that has been launched with fars news dot i r for islamic republic and that can be freely accessed but that website is only available in farsi in the iranian language and the agency's twitter feed is still active we do see that now fars news is a news agency in iran describes itself as an independent news agency it is frequently accused by western countries and western media of being a government mouthpiece and it is one of the most up to date sources for breaking news taking place within the islamic republic of iran now the trend of you know removing outlets from iran from the internet and from social medi

this was a route that the treasury was quite relu cta nt to route that the treasury was quite reluctantn, people will say that other companies have been ina similar say that other companies have been in a similar position and why would they not out? the key thing here as they not out? the key thing here as the government was like a big ma nifesto the government was like a big manifesto pledge has trumped all other concerns, but a lot of people here left with smiles on their faces. passengers, staff and the local areas which rely very heavily dealt mark —— heavily, as northampton and others, lots of local councils and businesses will be delighted that a solution has been fined for flybe. there will be a lot of questions asked on this for the government. the uk space agency is offering young people the chance to win a share of £50,000 to develop ideas for using satallites to improve life on earth. the satel life competition is open until the 3rd of march to anyone between the ages of 11 and 22. let's speak to uk space agency's head of applications strategy emily gravestock and 17—year—old

treasury for terry said issues -- treasury secretary said it could trim half a point from gdp but expect growth of 2.5%. that is more upbeat than many observers who say the stimulus from the tax cut is starting to fade. economists said 1.8%. global news 24 hours a day on air and at quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. i am su keenan. this is bloomberg. shery: australia opens at the top of the hour. sophie: on the futures are hinting at -- aussie futures are hinting at losses after the best week for the benchmark which saw it close above 6900 points. despite the ongoing bushfires which westpac says lead to $5 billion australian in losses. gold miners over the course of the week given the retreat in gold, the rally faltering. evolution was among the most -- the worst laggards. keeping resolution after its output updates. the minor reported lower than forecast reduction for fiscal 2019. for 2020 the is looking at 500,000 ounces. acquiree has agreed to a majority stake in data center operator air trunk which values the company at $2.1 billion. look at what else we should be watching. the markets treasuryins us live from singapore. from last week's market volatility, what is the takeaway from investors, the ones back from holiday? even the tokyo holiday which will keep things subdued, people should be encouraged by the fact even though it was a volatile week, there are a lot of scares, geopolitical in particular. investors will be looking at the general weakness of the u.s. dollar. the asian index, it had a very good week. good start to the year. that is good news for the sentiment across asian markets, when people see asian currencies on the front foot, it is a good indicator money is coming in. asian investors, when they take a step back, they will say we had a bumpy start to the year, but overall things are positive. markets managed to have an up week even though we had the disruptions related to iran. we still made for the indices and asia is taking heart from that. they are looking at the overall performance and currencies and looking ahead to the data coming out later in the week

treasury with a higher returning and higher yielding and risk-seeking profile within the liquid credit piece. with this for backgrounds, our key initiatives over the past couple years have been first transitioning the treasury allocation to a diversified passive portfolio that is structured to return closely aligned with the newly established benchmark for treasury which is the benchmark. we've also considerably reduced our allocation to liquid credit and terminate, reduce allocations across the board within liquid credit and terminated the allocation to one manager there. and this was to bring the treasury allocation with a six-person target and approach the 3% target that we have for liquid credit. so with these changes, liquid credit was reduced from 3.1 billion at the end of 2017 to about 1.2 billion at the end of the third quarter. and treasuries with increased from about 800 million at the time we revised our asset allocation to about 1.4 billion. as we reduce liquid credit we've repositioned the portfolio in keeping with the barbell strategy that i described. since late 2017, for example, lower yielding core strategies have been reduced from 69% of liquid credit to about 38%. high yield bank loans have increased from about 31% of liquid credit to 62% and over all these changes have contributed to a yield advantage over the benchmark of ab

treasury with a higher returning and higher yielding and risk-seeking profile within the liquid credit piece. with this for backgrounds, our key initiatives over the past couple years have been first transitioning the treasury allocation to a diversified passive portfolio that is structured to return closely aligned with the newly established benchmark for treasury which is the benchmark. we've also considerably reduced our allocation to liquid credit and terminate, reduce allocations across the board within liquid credit and terminated the allocation to one manager there. and this was to bring the treasury allocation with a six-person target and approach the 3% target that we have for liquid credit. so with these changes, liquid credit was reduced from 3.1 billion at the end of 2017 to about 1.2 billion at the end of the third quarter. and treasuries with increased from about 800 million at the time we revised our asset allocation to about 1.4 billion. as we reduce liquid credit we've repositioned the portfolio in keeping with the barbell strategy that i described. since late 2017, for example, lower yielding core strategies have been reduced from 69% of liquid credit to about 38%. high yield bank loans have increased from about 31% of liquid credit to 62% and over all these changes have contributed to a yield advantage over the benchmark of ab

to sayare going treasuries, do you think treasuries are set for a better year compared to last year?ast year was already a pretty good year for them up until the end of the year when we had that sudden reversal. we think 20/20 is going to be another excellent year for 2020. we think the fed is going to be completely wrong and will be cutting rates aggressively in the second half of the year. yvonne: you are still thinking the fed could cut this year? are people starting to price out the possibility that the fed could actually hike next year? i am wondering, how many cuts are we talking about? we have seen three we were not expecting last year. how much more room is there? let me just qualify, we think we are going all the way back to zero. happy new year, everybody. we think rates are going all the way back down to zero in the u.s.. that is going to be a necessary step for the fed to take. they are wrong in thinking otherwise at the moment. i don't think iran is going to be the trigger. would youy quickly, be willing to shave until the fed cuts to zero? michael: i will take you up on