u.s. treasury market from japan and you can see it in the data. a bigt there would flow from japan into the u.s. and europe and it did not happen. it went the other way because there is a big by of equities by foreigners. now you're seeing it. it's in the data each week and you can see there's a big influence of foreign securities. my point is the yen may move. it just moved about 5% in the last three months, moving down. all stuck in this range. 10-year treasury is still 2.8%. you would have lost 1.5%. >> thank you. >> more when you look at the european bond markets yet. global head of fixed income research at hsbc. ♪ >> welcome back to "countdown." . am mark barton > >> our guest is the head of fixed income research at hsbc. stanley fischer, people are suggesting he will be the number two out the fed. he is formerly the bank of israel governor. >> the reason it's interesting is because they are looking to see if the fed will become more act list. they would look at the personalities and the track record. i noticed in a september fomc iman taperi

u.s. treasury bonds what do you know what happens of course when you agree then too much air it comes out of hot air on the other end and that's what the bond market looks like to me this well there is the. law. a circus act in france one hundred years ago who could sing the national anthem from his botox after gulping copious quantities of air is covered in ricky jay's classic cars as weapons or was it the follow up i can't remember but look that up on line and you'll find that this is really an art form and janet yellen of course gives it a sexy angle when she's stripped naked and fly. she laid in her way to quantitative easing in twenty fourteen i can hardly wait well speaking of gas and oil that's the energy to the global economy that is actually the energy for the bond market and all industry that's in the news there's a lot of gulping air there and the f.t. reports that toil for oil industry songs do not add up so rising costs are being met only by an ever smaller increases in supply this is the w.e.o. the world energy outlook published by the international energy agency max and the

u.s. treasury? basically, the breakeven point of the u.s. treasury $43 a share. as of yesterday, it was at $41 a share. losteason the treasury money, they effectively sold early. >> and they left $10 billion on the table. decisionas a conscious by the government to get out. they were looking to get out as soon as possible is this stabilized. when you compare the loss on the investment versus the benefit to the industry and the economy as a whole, it ended up being a successful intervention. when you look across the landscape, i wonder if you see that competitive threshold remaining where it is with gm, as it competes with other carmakers around the world? is the competition really staying the same, or is that evolving? industry isl auto the most competitive it has been, probably in my lifetime. almost every major player producing tremendous products. were long time, the u.s. seen to produce inferior products, the europeans, mixed quality, but now you have every including hyundai, making great products and being a great competitor. >> it is amazing. ford will have

u.s. treasuries. while the five-year note crept up. joining us is zane brokewn, fix income strategist at zane abbott. we saw the yield hit 2.95% on the ten-year. that is the three-month peak. it's coming lower right now in european trade. are we at the top of a range or are we going to set a new range? >> that's more likely to happen three to six nine months from now when the tapering prospects expands. >> we're not far away from the levels where we were in may when everybody is getting panicked. >> we start in may at 1.4 and then we gradually went up to 3% in september and we backed off to this kind of 287 level and that's about where we were in september when we expected to taper. it's exactly where we were when the taper announcement came just the day before yesterday. so i think that, you know, it's pretty much discounted. we have another five basis points today. but i think one of the things we need to keep in mind is that tapering doesn't start until january and because the january meeting, the fed won't have an idea of what the

u.s. treasury. it made it government motors. it needs to be general motors again. it is a fascinating time and a catalytic time. i think it will release management to put into place demands and do something that is shareholder friendly. >> you do not think that up to 40% is a lofty goal? >> i think it is probable. i think that the first 25% is something that will happen in the near term. the rest will probably happen over the next year or two. >> are you going to take an active stake? >> as of right now, just passive. >> gm is up well ahead of market. we will hear more from mr. bass and the investment he is betting against. the former fed chief, alan greenspan, says he knows a bubble when he sees it. last night was the annual lighting of the rockefeller christmas tree. the tradition goes back to 1933. if you missed it, enjoy. ♪ >> on wall street, kyle bass made a half billion dollars. that was before the housing collapse. he is betting against a different sector. >> the european banks are good thing to bet against. they have not re-capped themselves. there are 3.5

u.s. treasury bonds, so economist navarro says they have us over a barrel.'t like our behavior, they can dump all their investments. it's known as the financial nuclear option. >> what would that do? that would cause interest rates to spike, mortgage rates to spike. inflation to spike, the dollar to go through the floor, the stock market to go into chaos. we would be in deep, deep, deep trouble. >> the nuclear option, financial nuclear option, is china's pulling all its money out of u.s. treasuries. >> philosophically, everything's possible in this world, but that's so unlikely that, you know, if we function on that thing, we just may as well go home and not doing anything. >> mr. gao isn't going home. since this story first aired, his fund has invested in real estate in the united states and in iconic american companies like coca-cola and apple. by the end of 2010, he was managing $300 billion invested around the world and then asked the chinese government for more. [ticking] when we return, the world's leaders come together in a very small village. >> ther

u.s. treasuries and. securities but the situation of the u.s. economy well it's been going up and we're happy about that but challenges let's look at the national debt that's a big issue. how will the main. currency behave we don't know that's where ukraine rating is not that high of cause . we believe in the fundamentals. you in terms of micro corner me and we believe in the economic advantages of ukraine. why. it's not simply our fraternal nation. we have a high level of cooperation. we. understand. our industries depend heavily on the situation in ukraine. so for us a political program matic a decision based on the economic factors well if you want to ask more questions i'll try to explain it in detail that's for. the investment of the funds. side of country side of russia i am really happy for like to thank you for this question i do appreciate that it's a fundamental question because one of the main topics maybe the main topic there was discussed the g. twenty was how can the global economy. if big kickstarter. get out of these dead end the

u.s. treasury out of billions of dollars in unpaid taxes. >> what do you think was most valuable thing that you gave to the u.s. government? >> the amount of clients and the amount of assets managed by ubs in the united states out of switzerland. >> and that was how much? >> that was 19,000 clients and around 20 billion swiss francs, which is about $19 billion. >> of the percentage of american accounts that you represented, how many would you say were trying to evade taxes? >> my own clients? >> mm-hmm. >> i would say about 90%. >> did people tell you this was their intention when they opened an account? >> it was the unwritten rule. you didn't have to discuss it. people wouldn't fly all the way to switzerland to open accounts just because they wanted to declare their money. >> and as a private banker for ubs, birkenfeld would help his clients invest, spend, and move their money. one example he told us about involved withdrawing cash from a customer's account, buying some diamonds in geneva, and then smuggling them into the u.s. for the client inside a toothpaste tube. birkenfeld claimed it

u.s. treasury sold its remaining shares and got out of the auto business. >> today's bad weather didn't prevent members from spreading holiday cheer. several visited young people fighting illnesses at georgetown university hospital. today, celebration was part of the national's week of giving, which runs through saturday. kids with cancer and other illnesses built a gingerbread baseball stadium and made ornaments and took pictures of the players. >> speaking of ergingbread houses, the white house pastry chef has created a 300 pound replica of 1600 pennsylvania avenue. the creation includes a miniature beau and sunny sitting on front step. they play a prominent role. it took more than 1200 cookies to put it together. apparently on display in the state dining room. >>> also watching, always tracking, wusa9's first alert weather. >> white house -- you got a contest, can you get us in? >> i'll do what i can do. >> get on it, top. >> by the way, great job for casting the weather, i think you really nailed it. >> 2 to 4 was not as good. we can't predict roads and bruce got some tweets about you askin

u.s. treasury for him to basically save him from the mess that he's in that day. every day there is something new. why not scrap the entire thing and start over again? >> there should be a fix when it's necessary. that's how effective governing works. if republicans would come to the table and say t's fix this instead of strapping it, that's what happened with social security and every major government program. >> quick thoughts? it's called prag ma tichl, anything goes, old laws, new laws, subsidies, more penalties, anything goes as long as you submit to obama care which is government force brought to health care. >> wayne, last thought. >> to answer the point, we have now an administrative government. it's not a government of checks and balances or somebody who represents the people. they represent politicians. it's all arranged by regulators and add minute straighters. the congress makes up the law as they go along and change it when it doesn't fit. >> unfortunately, we got to go, we ran out of time once again. we're going to get more time one of these day comi

u.s. treasury closed the book on the bail out, and both of these moves could fuel g.'s success moving forward. lauren the founder of automotive aspects and has studied the auto industry as a reporter and a road racer, your reaction to this news. >> the whole auto industry is excited to have the first female in charge of the a global auto manufacturer. she has literally broken the glass ceiling. surprisingly this has not happened in the past. we're excited to see what she can do with the corvette, impala and other products she has been involved in. i think g.m. will have great products coming down the road. >> lauren, what has been the success to g.m. in the last years? >> i think think the products. after they take the bailout a lot of people got discouraged in the brand, and now they're bringing those buyers back based on new designs, new technologies, making cars that people want to buy. and i think that's a big part of what g.m. has done especially with the cadillac and buick line up. >> a big part of what their experience is, to turn around g.m. i think their model

u.s. treasury has sold the last batch of shares for general motors, closing out the 2009 bailout. taxpayers lost money on the deal, the treasury invested almost $50 billion to rescue gm and got almost all but 12 billion of it back. >>> and the main competitor to u.s.-based boeing announced it is cutting 5800 jobs over the next two years, many from its defense and space division as it looks to reduce costs. >>> also making news, the merger of american airlines and u.s. airway has officially been completed, creating the world's largest carrier. shares of the new company rose nearly 3% in their first day of trading. now, the new airline will feature 6,700 daily flights and a global network to rival giants like united airlines and delta. but will it be a good things for travellers? >> reporter: in an industry where bigger is being touted as being better, the new american airlines is promising great service and competitive air fares now that it has merged with u.s. airways to form the world's largest airline. >> nothing about this transaction will affect the air prices, as we discussed

u.s. treasury. >> yes, u.s. treasury department and suspected it of being involved in some elicit trading with iran. but the idea, nobody i talked to thinks there is any substance to this. and yet erdogan threatens through the turkish media to have him declared persona nongrata and kick him out that has gone away. secretary kerry talked to the foreign minister. but it is a surprising development. at the beginning of this administration erdogan and president obama were on the phone all the time. the u.s. saw them as the stable ally in a volatile neighborhood. and now they've already been splits on some issues but it makes it harder to partner on syria or iran or israeli-palestinian issues. >> woodruff: so some of these people have been arrested. the investigations continue, what happens next? >> well, the real question that people are asking is, is erdogan in danger here. nobody i spoke with thinks there is any part that is arrival to the akp there are elections fix year t is still the most popular party, huge sup

u.s. treasuries is largely taken place. i don't see any reason why the u.s. easury yield should creep up. >> up near the year high, up nearly to 138 again and euro -- we'll see what that means from european equities, as well. >> he's telling his government ukraine would need the money if it was to sign a trade pact with the eu which is what it backed away from last month and it is causing all the process. still to come on today's show, italy anticipates prime minister gives up another vote of confidence after a sea of political change. we'll head had to rome to look at the outlook. >>> plus, is the euro the new thorn in the side of techs? we'll take a look. >>> it's a done deal in the u.s. as lawmakers agree on a budget, but this just progress in sheep's clothing? we'll take a look at what's been agreed in more depth. and we have our exclusive interview with meg whitman, ceo of hp. >> what a milestone, a first woman ceo of an automaker in the united states. frankly, i think it's a real milestone for women in business. >>> is miley cyrus really now a symbol of

u.s. treasury, and homebuilding stocks. all of them rallied quite significantly yesterday. > >oil is bouncing. does that mean the oil market is telling us that the economy is getting better and there will be more demand? or is it something else? > >i think that's part of the story.i think they are looking for the eia inventory report this week to have 2 consecutive drawdowns. that supercongestion issue in oklahoma is going away. pipelines are starting to move that oil. so the economy is getting better and it's being able to be refined. > >my colleague chuck coppola will be along in just a minute to talk about the volker rules. what do you see in the market? > >the funny thing with yesterday is that nobody's had a chance to dig through the whole document and really no one even knows what the implications are. however, financial stocks after getting hit pretty hard early actually responded quite well in the afternoon. > >larry, thank you. > >you're welcome. angie, with four banking regulators now approving the volcker rule, b

u.s. treasury yield. what is important, obviously as interest rates rise, we could expect how much we pay for stocks which would also reflect higher yield expectations, what is interesting, we see this spread narrow significantly right in here. what is particularly noticeable in this situation. may, that carter highlighted is about the time we saw interest rates start to spike. we saw a very sharp rise in rates at that time. now talking about more taper. the safety trade is basically what is at risk. consistent with that theme, technically and also the notion that these are bond proxy, i'm going go along with carter's view. what i do is simple. staples stocks have low volatility. what i'll do is give myself time. i'm looking after march. i'll buy 41 and pay 80 cents for that. that's tight and you afford the possibility the fact the stock has low volatility. this say short directional bet. obviously we're not risking much at 80 cents. >> what do you think? mike's trade is a good idea? >> i love the trade.

u.s. treasury department officials say they completed the bailout for one of america's most iconic companies. they announced they sold the last of their shares in general motors. the automaker filed for bankruptcy in 2009. the government injected gm with a massive amount of government funds. they pumped about $50 billion of taxpayer money into the automaker, they recovered $39 billion through the self shares. gm will rebuilding its business as a fully private company. >>> that is going to do it for biz tonight. i'll leave you with the markets. >>> the head of the world's chemical weapons watch dog says he's confident of meeting an important deadline. he said workers are on track to destroy syria's stockpile by june, even if there are delays in moving it out of the country. >> there are very demanding timelines that we want to fulfill, and i'm confident that the deadline of next year, in fact, will be met end of june 2014. >> ozumchu spoke in oslo, norway. he's there to receive the nobel peace prize. the group wants to transport the most toxic weapons out of syria by the end of the year, but

u.s. treasury sold off its remaining shares of g.m. taxpayers lost $10 billion on that bailout. >>> soda sales are also losing their fizz. spending on soda drinks dropped more than 3s% over the last year according to nielson. the drop in diet drinks was even higher topping 7%. seems health conscious consumers are cutting back on sodas, especially diet sodas flavored with artificial sweeteners. industry watchers say this trend has been going on for ten years now but has been picking up steam the last five years. to offset sinking sales, soft drink makers offer their own brands of water. you're not big soda drinkers to begin with. >> no, not at all. that was my guess i bet they're all doing water now. >> my kids don't drink soda. >> i'm still a diet coke lover. yup. >> a couple in my family are like that, too. thanks, jess. >>> it is 4:42. if you want to be a dad sometime soon, what you eat right now could affect your future child. that's coming up in our health alert. >> it's going to be dry today. enjoy that. another threat weather wis

u.s. treasury department. britain was the most important trading country in the world.they let the value of sterling fall, say, relative to the dollar and the franc, it meant that britain would be exporting much more and importing much less. we would be losing exports to the british and we would be swamped by british goods. our farmers, who were already having great difficulty, suddenly were confronted with a big drop in the price of cotton, wheat, and other agricultural exports. this was a great blow to the united states. schoumacher: the loss in exports forced many manufacturing plants to close. thousands more jobs were lost, and america was driven deeper into the depression. we find some who are maintaining that the world has outgrown the use of gold as a basis of currency and of exchange. schoumacher: tied to doctrines and traditions from the past, the hoover administration staunchly defended the gold standard, hoping that stability, in the long run, would encourage recovery. but in the 1932 presidential race, franklin d. roosevelt questioned the wisdom of hoover's

u.s. treasuries and a rally in u.s. government bonds ensued in fact it yields on solver and security moved in the opposite direction from what rating suggested in more than half of the thirty two upgrades from last year. elsewhere existing home sales in the u.s. declined for a third straight month the national association of realtors the sales of previously owned homes dropped four point three percent in november to an annual rate of four point nine million units now this is the lowest pace of cells since december of two thousand and twelve and the existing home sales number was well below expectations a reuters poll forecasted a median sales pace of just over five million units this is the first time in twenty nine months that the year on year comparison is negative and they are economist and they are economists lawrence unit told reporters quote it is a clear loss in momentum from home sales interest rates on mortgages have risen sharply since may that's when the federal reserve first hinted it would wind down its bon

u.s. treasury bills and they got a nasty fright this year when you saw congress not really able until the very last minute to agree a budget package you also have to remember that some of the biggest sovereign wealth based in china and all the time you're seeing they're wanting to diversify their risk and they're also wanting to invest overseas. on r.t. dot com a truck hijack in mexico but it's got nothing to do with drugs or cash this time it's extremely radioactive material that has gone missing the head online to learn more about the story. while you were there discover montreal's face recognizing flying machines online we tell you why the canadian cities deploying unmanned drones instead of employing cops to cut crime. right from the scene. first struck. and i think you're. on our reporters'. instrument. at the moment many british banks which are wondering how they will stay warm this winter after being hit with massive energy price rises just as the cold begins to bite and that's on top of thousands of u.k. families trapped below the poverty line and unable to heat their homes even w

u.s. treasuries. >> we are recommending it to be short against european curves. the content is part of that is the federal reserve. if you look at the cross-section of interest rates, they are not where they should be, in relation to the macro factors. there is one part of the curve that is manipulated by the federal reserve. and ratesfinances from zero percent to three percent. they are flat. the reason that is the case is because they have told us that they will apply forward guidance and people have an expectation that forward guidance will be strengthened and that is our expectation. theeans setting rates and forwards. be points on the yield curve are distorted. -- relative to historical norms. that is the contentious part. will they let go of to mark that is the tug-of-war. >> talk about the united kingdom's economy. like they are firing on all cylinders. the markets are still concerned about a possible pullback and not going as strongly as we thought. >> i think the markets react to data and there is a economy that has thrown the kitchen sink at the roads a

u.s. treasuries. and issues arose particularly with regard to the impact that the rule would have on banks with relationship with other foreign nationals and their sovereign debt. i believe the way provisions were worked out provides guidelines, you know a path for sovereign debt to be treated appropriately. i am -- i think if you look at the structure of the resume it's clear there is accountability at the level of the ceo to come up with a plan for implementing these rules in a they is consistent with the statute and the risks that are being undertaken. so i don't think all of the details is necessarily reflected in the black letter law of the rule. there's going to be questions of interpretation who is deliberately left to be worked out by the regulators and the firms to reach a balance so we don't shut down a very important sovereign market including the market for u.s. treasuries. it's something we'll continue to work on with this committee and with the regulators. >> if i can say -- i have one o

u.s. treasury bills and they got a nasty fright this year when you saw congress not really able until the very last minute to agree a budget package you also have to remember that some of the biggest sovereign wealth fund based in china and all the time you're seeing they're wanting to diversify their risk they're also wanting to invest overseas. our team has lined up plenty of stories for you as well on our website including under the cover of the night find out what the pope is doing when darkness descends on vatican city log on to r.t. dot com to see for yourself plus the festive season underway spirits are high in the russian capital and in our in motion section there's a video from the heart of moscow where every dish will christmas fair and a huge ice rink have been opened for the public. right to see. first street. and i think. on our reporters. on. britain's energy supplies are under fire after the government pledged to cut bills but this comes as little comfort to the thousands of u.k. family stuck below the poverty line and still unable to heat their homes even with the promised

u.s. treasury secretary and the bomber regime was the scheme is to provide an a policy or. for the federal reserve to purchase more all of the facts so many more bombs that they're buying them at a premium over their face value now that would give you a negative interest rate so what would the people do they would take their money out of the banks. and do something else so the next part of the scheme is all well we don't let people have cashed in we'll only digital money and that way they can keep their money at home they can only keep it in the bank accounts and there we can print a last one for safety you see the change in economic policy that dominated the united states into the supply siders came along in the 1980's while said that there's a natural right. of interest and that natural rate is the rate that makes savings in investment equal act full employment and what summers is saying is that now the natural rate of your interest is negative. wow well if this is an argument for the federal reserve to buy more bombs and to be such a huge demand in the bond market they'd

u.s. treasury secretary and the bomber regime was the scheme is to provide an a policy or even for the federal reserve to purchase more all its facts somebody melbourne's that they're buying them at a premium over their face value now that would give you a negative interest rate so what would the people do they would take their money out of the banks and. and do something else so the next part of the scheme is all well we don't let people have cashed in will there's only digital money and that way they can keep their money at home they can only keep it in bank accounts and they are we can pin the last one for safety you see the change in economic policy that dominated the united states into the supply siders came along in the 1980's while said that there's a natural right. of interest and that natural rate is the rate that makes savings in investment equal at full employment and what summers is saying is that now the natural rate of interest is negative. wow well if this is an argument for the federal reserve to buy more bombs and to be such a huge demand in the bond market they'd pay premiums

u.s. treasury making government motors and it will be general motors again. the back of the treasury's final sale, i think it will release management to be able to put in place plans and do something that is shareholder friendly. >> going from government motors to general motors, but he is not the only big-name name guy in this trade right now. you have berkshire hathaway. it is a long list. buybacks and dividends. that is what they want to see. investors want to see the cash flow coming back to them and they will probably get it because you have been talking to reporters that say gm is releasing their biggest product launch in a generation. >> listening to matt miller a little bit too much every time that video comes on. >> when you talk about a company like gm, it comes down to product. it is a pretty compelling story. think you for joining me, christina. from private equity to hedge funds, we bring in a tech expert that is one of the most active m&a lawyers in new york. andhe last two years, he his team have closed more than 800 venture and growth deals. o

u.s. treasury bills and they got a nasty fright this year when you saw congress not really able until the very last minute to agree a budget package and what you're seeing here in london for example is the chinese investing and a lot of property commercial property very bought for example the lloyd's building here in london and they're beginning to acquire an awful lot of. major brands such as volvo and even m.g. rover the iconic car company here in britain so do you think we can expect the un to get even more popular then what sort of growth could we expect in the future. and yet. you also have to remember that some of the biggest sovereign wealth fund based in china and all the time you're seeing there wanting to diversify their risk and they're also wanting to invest overseas china for example now has a twenty percent stake in standard bank which is the largest bank in africa and there's a huge wave of investment going into africa particularly in terms of oil gas and minerals so china all the time is looking around the world to really sort of die or invest in more and more assets and w

u.s. treasury bonds and we entered into the petrodollar era saudi america america reciprocal result lation ship will buy or oil you buy or about bonds but now is that era over there i think so i think my take is we're going to move from the year of the dollar economy and dollar politics to energy economics and energy corp we're hearing this from zangana from iran he talks about energy diplomacy amounts he means it you know he certainly means it and there's one thing that's neutral i mean if you look back through the go through the cold war the russians were reliably pumping oil and gas into the west never stopped ok through also if you look back at the early days of hominy for fourteen years what did they do they sell the oil to israel far more reach it. only once the private sector got involved . with things called the difficult what's the difference of opinion oil and natural dollar and you're saying energy oil back currency was a different sound of the same thing. well no the actual currency itself would instead of a piece of paper that's redeemable against another piece of paper you mi

u.s. treasury can lend you a hand. it is printing lucky money to mark the chinese year of the horse.lated one dollar bills will have a serial number beginning with 8888. in chinese culture, the number eight is considered auspicious as it sounds like the word that means a wealth. the lucky dollar bill is on sale , 595 each. speaking of lucky, here is a lucky shot. the harlem growth -- harlem globe trotter broke the record for the longest basketball shot. he threw the ball across the court and sunk it in the opposite basket. ok. you cannot make that up. get the latest headlines at the top of the hour and streaming on your tablet and on bloomberg.com. that does it for this edition. i am mark crumpton. see you tomorrow night. ♪

u.s. treasury said that it has divested its gm shares.y, so we bring you "encore," a look back at the most notable newsmakers of this "bottom line." >> can congress passed a resolution if the run sheets or does not agree to the deal? then sanctions might be put in place. right now it does not look like congress will have the time to put together comprehensive sanctions. the rule allows institutions to engage in mainstream lending that they have always engaged in. it prohibits the proprietary trading which is short-term speculation. much of the activities around main street they can still do. >> we see for example, that men can be promoted based on their potential. women have to prove themselves based on their performance. there are a number of factors from women being excluded in import networks where they can build relationships to not having access to what we would call beehive potential critical jobs that are so important to advancement. >> one of the advantages for the real business is that there is no substitute for motion. you can s

u.s. treasury secretary jack lew is warning congress that the u.s. -- is urging lawmakers to raise the federalebt limit weeks before then. attention target shoppers, your credit or debit card information may have been stolen by cyber thieves. according to target, data from 40 million cards may have been compromised. shopping between november 27 and december 15. target is working with law enforcement officials to find those responsible. joining me to tell me more about this from washington is alex senior researcher for immunity inc.. good to have you with us. explain what happened. you have to tell us about the register, the actual card reader and something called track eight up. explain. therack data is essentially information encoded on the back of your credit card on the little black strip. that authenticates your credit card in order to make purchases to your account. so what hackers have done is they have compromised the small computer you slide your credit card through and they have been able to collect this data across target stores across the united states. as a result, target is report

u.s. treasuries, we did get a move higher yesterday. we've got gilt closer to that 3% mark after we saw the autumn statement yesterday. so we're closing the gap, about 9 basis points off that 3% mark. i want to move on to foreign exchange rates we are seeing across on this curve. euro, fairly steady after a change in this rate. mario draghi suggested that policy tools are still up in the air. he didn't sound overly dovish about launching further stimulus programs. that has been supportive for the trade. dollar/yen rates, 102 handle is what we're looking at today. australian dollar below 109. let's check in with li sish juan out of singapore. >> thank you, karen. asian markets wrapped up the week on u.s. jobs numbers and that could provide a tipping point for the fed trigger. the nikkei 225 stabilized, rebounding 0.8% after the 0.6% drop over the past two sessions. the abe government unveiled the $54 billion stimulus package that's aimed at offsetting the sales tax in april. and the shanghai composite pulled further ahead. meanwhile, the

u.s. treasury fining royal bank of scotland $33 million for violations of u.s. sanctions. they violated sanction programs in relation to iran, cuba and sudan. we are watching for that and in addition royal bank of scotland has their finance chief stepping down. the stock is down 4% at the moment. adam: we are also watching shares of mastercard. at stock soaring to an all-time high making some moves better for shareholders. the company announced a stock split with an increase the dividend and a new buyback program. the move takes mastercard out of the running to be $8,000 stock. it is the third most expensive stock on the s&p 500 behind price line and google. lori: the markets during the 4 initial public offering, hilton hotel after the close, companies reporting $2 billion in the deal making it one of the largest ipos this year even bigger than twitter. shares trade tomorrow on the stock exchange under the ticker symbol is shelled the. neil: free oil prices near the lows of the day after a bigger than expected drawdown. crude supplies dropped 10.6 million barrels last week

u.s. treasury as fully priced for lasting recovery. why not? >> our view is that the recovery in the u.s. may be underestimated. between the energy revolution in the united states, having gone through four or five crises and the last year, the last of which being the budget crises, we think the u.s. is poised for good growth. we are advising our clients to hedge interest-rate exposure. the 10 year could end up that 350 or 375 next year. those are our basic views. >> the dow, s&p and nasdaq are all up an average of 25%. if this is due to the fed's stimulus, what happens now that they are taking some of that away? yesterday the fed announcing that tapering will begin in earnest in january. >> we don't think the result in terms of the stock price appreciation is due to the fed alone. easy money was part of it. if you look at earnings today compared to what they were in 2007, we are not active the price earning ratio we had pre- crisis. we are pricing stocks significantly less than we were at that time and we think there is considerable upside. we