u.s. treasury market is way too important, don't ever dismiss it. however, when rates go down, people are always going to search for a better return. right now we're making so little in treasuries that you'd be nuts not to look for a better return away from the bond market. and to me, that's good news about some, not all, but some stocks in our market. and you know what? no, let's make that great news. because as interest rates decline, the dividend yields, i like, they get even juicier. if you can find stocks that are higher than the return you get from u.s. treasuries, stocks that aren't particularly economically sensitive, those stocks are getting more valuable by the day, not less valuable, as the treasury pays you less and less to own its bonds. not only that, but we have companies in this country with a much better balance than the u.s. treasury, far more credit-worthy. and that's what happened today. at one point midday the treasuries had a gigantic spike. almost by magic, we saw stocks with high yield snap right back. buyers swooped in to pic

u.s. treasuries and some degree u.s.ollars but again it's just shifting the problem to another area is that really a safe haven i think it looks like a safe haven right now but we all know the u.s. has its own problems mess of you know budget deficits as a matter of fact the budget deficit in the united states is probably not too dissimilar from that of greece right now and very very few convincing proposals to get that under control as i said before right now many u.s. treasury securities are not being placed with savers or you know the free capital markets they are being placed with with the own central bank or other frankly central banks so the whole thing is very very thin ice isn't that another kind of capital control and that the u.s. is not allowing for the free distribution of capital as a way to you know they think they challenge china as being a currency manipulator but the u.s. is a currency they're all part of manipulators limited as often as money right absolutely right out of the one of the reasons why over

u.s. treasury bonds finally tapped out and is a bull market that's been going on for thirty years and you know us treasury bonds finally run its course. and seemingly it just keeps on going and going and going your thoughts one of the charts say one of the fundamentals this is really this the biggest question of all i would think yeah it really is because as the dollar goes in as dollar instruments go. so goes the world's financial system. from a technical standpoint max i've been looking at a run up perhaps to about one seventy basis the keep on futures and that would mean that there is some room for yields on the thirty year to come down a bit there somewhere around two point five asian two and three quarters now but from a technical point of view with the keep on futures up around one seventy it puts yields down around i'm guessing two point two percent or so so there's probably some room to move for the bonds but i think that relative to the thirty year run up to thirty year bull market in bonds they're getting close to the limit on the low end for yields right now is the question abou

u.s. treasury bonds does that mean we are no longer worried about the u.s. debt and deficit. from michael on facebook he wrote in to say he can't understand why investors are buying treasuries he thinks the u.s. should matter a lot what do i say that should matter a lot in the long term but i hate people are putting money into treasuries because they're scared to death of the stock market and there's a parade of european equity markets reader sponsor paul coonan on you tube he said ten year bonds at record lows when the u.s. is pushing the longer term bonds which means the u.s. debt and deficit are worsening but he thinks we have to stimulate the economy spend more money. and we have to invest in our infrastructure and and debt is part of that deal so as long as we're going to close these economic doldrums we have no choice but to spend more money i disagree that it's worsening but i think it's at a standstill right now it's not going anywhere whether you're buying treasuries or bonds prefer bonds would be better for the long term treasuries or short term for the money manager

u.s. treasury. if these fees would cause the economic problems that are claimed by critics then our other major industrial countries would not have agreed to pay them. third, the seabed authority only has limited authority to address mining activities on the deep seabed beyond to jurisdiction of any country. it has no authority to regulate activities in the world's oceans are on the u.s. extended continental shelf. if critics are concerned about the potential actions of the i.s.a. then the most effect i have way to restrict its activities would be for the u.s. to become party for the convention and takes its permanent seat and effective veto power on the i.s.a. council. finally, joining the convention does not, in my view, subject the united states to significant new environmental litigation risks. in fact, the litigation risks to the u.s. and u.s. companies would be much greater if u.s. companies were to try to exploit the resources on the u.s. extended continental shelf or the deep seabed contrary

u.s. treasury debt, so we have interest rates on long-term debt flirting at or at, depending on the day you look, the hour you look, the lowest rates we've seen in 50 years. so we have those two effects as basically positive, oddly enough, effects for the u.s. economy in terms of growth. but we have europe, our second largest when you take europe in its entirety of the trading market in recession, and then of course you have all of the capital market uncertainties which are affecting u.s. financial institutions as well as their counterparties. >> what about the federal reserve, laura? i mean, we also have a softening economy here, putting europe aside. do you think that the fed takes any new action? we have the fed meeting this upcoming week. >> right. well, i think the fed throughout this whole period, this extraordinary period, has really been very, very clear that it's looking at two pieces of evidence, the unemployment rate and inflation, inflationary expectations, and it's trying to decide, given its tools, what it should do. i think with evidence of the softening of the labor market g

u.s. treasuries. what we're talking about, folks, fed, twist and everything really is going to impact that if they do something. right? go shorter, buy longer, try to push the long end down. ten-year yield 1.66%. bring in special gegs bill gross, founder of pimco, founder, chief investment officer still with us. mr. gross, bill i'm not going to call you contestant two. i will ask you this, ahead if the fed has to take some action today what will it do. >> well, monty, i mean brian -- steve, you're not a good contestant, you need a costume and something more lightening to bring you into the panel. you need to make a choice. i'll make a choice. door number twois t is the choi. kick the can for a month or two in terms of additional qe. wait to see what the eu will do in terms of fiscal policy to buy spanish and italians bonds and make a decision in august. so door number two. >> very good. made a selection. charles reinhard, do you think a, they will take action, and b, what? we think that lines up with

u.s. treasury notes, and the report shows inception to date expenditures and revenues. we had auditors and for the interim field work just a couple of weeks ago, and they noted no exceptions or findings. we were pleased with that, and i am happy to answer any questions. >> any questions from board members? >> we to provide quarterly updates with various projects. >> good morning, directors. we did have the second meeting of the pla last month, and the unions were present. the building trades council as well as the contractor and construction managers. in terms of labor, we have had no disruptions or work stoppages. all of our labor needs are being met. we have not had any shortages in labor. as you heard previously, we have had to reportable accidents this past month. one was at a prior meeting where a worker slipped and had a cut on his face in needed to get stitches and returned to work the next day. the second was a welder who had second-degree burns and has also been able to return to work. >> to of the contracts you will hear to date will be our first contracts awa

u.s. treasury bo bond, you worry about the power and decline and you wonder whether you will get 100 cents on the dollar back. the nknowledge running into the kind of window slamming shut crisis that europe has. but there is an argument to be made. it is the frog in the pot of water sort of argument. they will never wake up to the fact that they are doing tax and spending policies. >> when jimmy carter and ronald reagan opposed it. when mortgage rates were 11 and 12%, that was a period of us terity. the voe tters sent them there i 2010. they wanted austerity. i believe they wanted to shrink the size of the federal government. the public sector will be one that will feel the pain for quite a while. what scares me is that our politicians here share the ideas ofhe europeans. that congress isn't taking action to create jobs. the private sector creates jobs and the government has been a drag on job creation during this recession. i'm hopeful that will change regardless of whether there is a change on the administration or not. >> i would like to open the q and a session to our audience. if anyb

u.s. treasury and u.s. navy outweigh what may well be a fair concern to raise. >> appreciate your judgment in that regard. thank you. >> senator, as you're taking off or going home, article 297, ill direct you to take a moment to read that in your travels. >> i've read 297. >> paragraph c, which is pretty clear that the only way in which anything regarding the environment would apply to us is where it is applicable to us because we seened up to it or we're part of it. in fact, within the four corners of this agreement is a dispensation against any state, united states or anybody else that hasn't signed up. there's no standing. there's no exposure. >> i don't read it that way, but thank you. >> that's the language. >> the language is more than black white. >> if you only take one section, you can read it your way. if you apply the law, it's the same. >> i know you need to leave. i don't want that to be an argument between us. i think it's fair point reading that language and a fair question to ask. there's a

u.s. treasury? i don't think so. es, guilts, approaching a period of time in which yooelds don't move lower but simply stay where they are, ghi in to hibernation. >> i think what's interesting here is resounding silence in terms of what the u.s. would do in the scenario and just heard from a top treasury official to work closely with european counterparts to try to stabilize the markets and provide confidence. michael, i want to get to you with the possible three scenarios. detail what would happen to equities for our money and equities with the three scenarios. >> well, i agree with andy. the first scenario and the new portfolio and form a majority and probably get another wave of the risk-on rally. we had a little bit this week in the expectation that we'll see easier policy with a better political outcome and extend. getting syriza as the winner then what you get is what bill talked about, a period of uncertainty, increased market volatility and make for 'ventful monday. the last part of this is what if we get no c

u.s. treasuries? which has more value? which is better for you? i think the answer is actually clear. con ed gives you all the benefits of a good bond without any of the liabilities. treasuries, they remind me of a stock that can only go lower, pays you barely any dividend. yet if you like bonds, you'll love con ed. and if you hate bonds, then you'll love u.s. treasuries. enjoy the irony, but please, take the stock, not the bond. stick with cramer. >>> okay, listen. it's obviously going to be a tough weekend. we have got to hope, if you're a bull, that the leaders get together.

u.s. treasury uses are fairly old. as of the imperfections that you see in the treasury note you don't see in the north korean no that's why it's called the super node. this is a part of the economy. so during the bush administration efforts were taken to try to stop this through a series of sanctions that were aimed at trying to target the accounts of companies that were known to be involved in illicit activities. i think the reason we don't hear more about it today is because these activities have been for the successful and that the north koreans probably can not feel that they can do the same sort of things they used to do when it comes to making money through this sort of activity. >> host: okay. so it is actually that the international community and the u.s. are getting better at eliminating those markets for those kinds of activities? >> guest: i think so. that's why we aren't hearing much more about it today. i also think that for many in the financial industry, they have just become much more wary of handling

u.s. treasuries doing well and stocks becoming very rocky. i think you have to wait for that policy response. given how risk averse everybody is. u.s. treasuries at 1.5 ten-year and that's a potential for quite a bounce if they can come up with a very strong policy response. but i think their backs are going to be to the wall here. and you really are going to need to see something. >> even when you look at the u.s., i don't know how much negativity is priced into this pricing. david, some people were very surprised at how weak be things became on the jobs front. if the data continues to decelerate and show a deceleration in the economy, is that priced into the market, or no? >> i think it's more than priced into the markets. the u.s. economy is not collapsing here. what we've seen is a cumulative overreaction to each data point. we're at one of the most ex be treem markets in terms of equities that we've seen in the last few years. this is not a great environment but i'm not going to say it's close to the worst in 50 years. not because of any

u.s. treasury did said the group agreed to monitor ahead of the g 20s meeting in mexico june 18. after greece's election a vote could help determine whether it stays in the eurozone. the congressional budget said the u.s. debt will exceed the but several tax cuts are due to expire at the end of next year. u.s. stocks rising and an investors took a wait and see attitude and the dow in duf was. the farm bill headed to the floor. the u.s. senate and could grow billions in savings for the american taxpayer. "nightly business report" is brought to you by: captioning sponsored by wpbt >> tom: the troubles in e5)pe certainly continue to be felt here in america. investors have piled into u.s. government bonds driving interest rates down to historic lows. it's made dividend stocks more attractive. as erike miller reports there's exposure. >> nearly half of the nation's using the euro are in recession. ireland, greece, spain, italy, cypress, the netherlands and portugal and threatens to hurt u.s. companies doing business there. roughly 1400 of s&p revenues come from europe. >> the most aff

u.s. treasuries which tells you, is it the case that if europe's unstable, asia and china seem to be trending downward. yes, it can drag the u.s. economy down, but any bright spot the fact that people want to throw their money, this is the safest place to be? >> well, i mean, that is a bright spot. i mean, we are a triple a credit. all the investors say that. this ask where you go when there is a problem and we have investors coming here when there is a problem anywhere on the planet. 1.5% for a ten-year treasury bond, that is just amazing and the flight to quality and the u.s. treasury is still quality. >> very quickly. what do you expect next month? snowball effect jobs wise? >> i hope not. this overstates the case. i really do think that underlying job growth is higher than this and we'll see that in the coming months. you know, hopefully, europe doesn't unravel. i don't think it will and hopefully we start addressing the fiscal issues that are coming very quickly with regard to the fiscal clip. we do that, i think we'll be okay. >> always good to have you on on jobs. >>> still ahead, we'r

u.s. treasury secretary geithner -- onus on the u.s. and other countries to do their part to boost global growth. plus output levels at the opec meeting in vienna. crude could slump to $50 a barrel. and another profit warning and round of job cuts from nokia, the ailing phonemakers forecast bigger than expected loss in its mobile business. once again, sending its shares sharply lower. >>> you're watching "worldwide exchange," bringing you business news from around the globe. >>> welcome to today's program. one hour until the trading day in europe. stocks on the downside, advances being weighed down by the decliners ratio a little bit more than 7-3. european stocks yesterday, it was a mixed session, the ftse 100 is down 18 points. we're pretty flat for the xetra dax, the cac current down a quarter. we'll come in to spain but that country's debt rating one notch above junk according to moody's. there are individual stocks worth pointing out. bskyb, down 7%, bt down nearly 3%. the total package for the premiere league 3 billion. bt spendin

u.s. treasury debt. so we have interest rates on long term debt flirting at or at, depending on the hour you look, the lowest rates we have seen in 50 years. we have those two effects as basically positive, oddly enough, effects for the u.s. economy for growth. but we have europe, our second largest when you take it in it's entirety in the trading market, and then of course you have all of the capital market uncertainties that are effecting u.s. financial institutions as well as their counter parties. >> what about the federal reserve. we have the softening economy here, putting europe aside. do you think the fed takes any new action? >> i think the fed, throughout this whole period, this extraordinary period, has been very, very clear that it's looking at two pieces of evidence. the unemployment rate and inflation, and inflationary expectations. and it's trying to decide what it should do. i think with evidence of the softening of the labor market growth, it's not that the labor market turned negative,

u.s. treasury market. the government has racked up trillions of dollars of debt, $5 trillion alone since president obama moved into the white house. we don't know how we're going to pay it back, and yet the world is willing to lend us long-term money at less than 2%. so why not give our kids a break by taking the deal and issuing 100-year bonds, locking in today's puny rates? corporations do it. disney issued "sleeping beauty" bonds and the market scooped them up. instead, recklessly, the treasury borrows short-term funds that must be rolled over. one of these days, when the government tries to roll over that paper, rates will have jumped much higher and the world's financial system will look at the u.s. taxpayer and announce: "game over, you lose." i'm todd buchholz. >> susie: whether or not golf is your game, a lot of business gets done on the golf course. a fifth of u.s. golfers are women, and more businesses are going after them on the links. rick horrow spoke with mike whan, commissioner of the ladies

u.s. treasuries? which has more value? which is better for you? now, i think the answer is actually clear. con ed gives you all the benefits of a good bond without any of the liabilities. treasuries, they remind me of a stock that can only go lower, pays you barely any dividend. yet if you like bonds, you'll love con ed. and if you hate bonds, then you'll love u.s. treasuries. enjoy the irony, but please, take the stock, not the bond. stick with cramer. ♪ [ male announcer ] to hold a patent that has changed the modern world... would define you as an innovator. to hold more than one patent of this caliber... would define you as a true leader. ♪ to hold over 80,000... well that would make you... the creators of the 2012 mercedes-benz e-class... quite possibly the most advanced luxury sedan ever. starting at $50,490. you do a lot of kayaking? no. look i'm going through the rapids. okay... i'll take it. sync your card with facebook, foursquare and twitter for savings. that's the membership effect of american express. in here, great food demands a great

u.s. treasuries? which has more value? which is better for you? i think the answer is actually clear. con ed gives you all the benefits of a good bond without any of the liabilities. treasuries, they remind me of a stock that can only go lower, pays you barely any dividend. yet if you like bonds, you'll love con ed. and if you hate bonds, then you'll love u.s. treasuries. enjoy the irony, but please, take the stock, not the bond. stick with cramer. hey, i'm joey aragon. see that film? people call me about this every day. my dishwasher must be broken. you know, it's not always the machine. it may be the detergent. add finish power up to boost your detergent and you'll see a huge difference. watch what it can do. look at that sparkle! now that's clean! cloudiness! spots! tough stains! even dishwasher build-up! gone! just like that! so don't give up. add finish power up. wow! see the difference! it's a must have! >>> okay, listen. it's obviously going to be a tough weekend. we have got to hope, if you're a bull, that the leaders get together. if they

u.s. treasuries. >> reporter: spain is under strong pressure from the united states and other countries to have a solution in place before june 17. that's when greece will hold parliamentary elections and it could determine whether the country stays in the eurozone. erika miller, n.b.r., new york. >> tom: still ahead, a bullish outlook on u.s. stocks in spite of all the trouble brewing in europe. that's the forecast from tonight's market monitor hank smith. "nightly business report" is brought to you by: captioning sponsored by wpbt >> tom: hopes over a spanish bank bailout helped stocks finish the day higher. the dow gained 93. u.s. sales to euro-zone countries fell almost 10%. european imports to the u.s. for the week, the dow is up the nasdaq gained 4% the s&p 500 up 3.7%. while stocks shook off the european worries this week, one place we can see the impact of europe is in u.s. trade numbers. the trade deficit narrowed in april, thanks to less trading with europe. u.s. sales to euro-zone countries fell almost 10%. european imports to the u.s. dropped by more than 11%. >> tom: the drop

u.s. treasury will lose hundreds and hundreds of billions of dollars. it is a simple balance. we get most of the money under that system. the treaty provides that certainty which will produce billions and billions of dollars of royalties going to the government, this treaty is not perfect, it will be changes like all treaties are and we better be sitting at the table. today the benefits far outweigh the costs and we must protect our benefits. the u.s. chamber urges the senate to give it's advice and consent to the law of the sea treaty. the treaty has the unth unenthusiastic backing of all of the in

u.s. treasury department said in a statement that the g7 nations discussed the global economy especially monetary and fiscal union in europe. the department said the members agreed to keep a close watch on the european debt crisis ahead of the g20 meeting this month. the dow jones industrial average snapped four days of losses. the service sector data helped ease some of the negative sentiment. the dow ended the day at 12,127. that is a gain of 1/5%. now we go to the tokyo stock exchange. some positive economic data but a ways to go to make up for recent losses. >> exactly. we did see a bit of a bounce in the dow but it was down around 6% in may. so still has some ways to go. but we saw the ism, nonmanufacturing or services data show an expansion and all be it a small one but nevertheless a positive trend for the job sector in the u.s. let's look at how things are hoping in tokyo. the nick kay and topix trading positive. we may see gains in the shares which had been oversold recently especially kia exporters which have been hit by the stronger yen recently. m nintendo has a new line-up of games c