jonathan: joining us is lisa abramowicz, rob waldner, and joining us in a moment is alan higgins fromdon. i want to begin with lisa. look at the chart we have been talking about from some weeks. pick your place on the curve. 60 basis points. how much signal is in that? lisa: a lot of people will say this time is different. this does not indicate a slowing of the economy but rather a fed that is saying this is typical. that said, bloomberg intelligence noted this is pricing in a policy error. right now this is saying a long-term economy is not accelerating. end of story. period. the more the fed hikes, the more it will slow down and you see the flattening continue. that is not a bullish sign for the economy long-term. jonathan: rob, do you agree with that statement? do you see something different? rob: we see a different situation when it comes to the yield curve. the front and of the yield curve is being driven by growth, and growth is superstrong. the new york fed shows growth for the fourth quarter likely around 3.8%. the long end of the curve is being driven by inflation. inflation

joining us is lisa abramowicz, rob waldner and alan higgins from london. g up with has been the biggest nonstory of the year, the concerns around the composition of the federal reserve. the chair pick is been quite consensus. very much in a similar vein. is it something you need to worry about going into 2018? alan: lori is pushing it -- worry is pushing it but i will think it will be more hawkish. i would add i would be interested to see if they continue to emphasize financial conditions. when you look at the fed tightening, is not about inflation as janet yellen said. it is a big puzzle. it is about growth. i think financial conditions, and bill dudley, knowing can you his goldman sachs past, have seen that mentioned in quite a few minutes or statements from people at the fed. i would be interested to see if that emphasis continues next year. if it does not, maybe we will not see as many rate increases as expected. i think they will. is not just bill dudley, they are focused on tight credit spreads, weak dollar, soaring equity markets. lisa: i think it sh

jonathan: joining me in new york city to discuss is bloomberg news and bloomberg radio's lisa abramowicz. coming to usm atlanta is rob waldner, chief strategist and head of multi-sector at investco fixed income. and joining us, alan higgins from london, of coutts and co. i want to begin with lisa. go to the chart we have been talking about for what i feel like is some weeks on weeks. twos versus tens. pick your place on the curve. south of 60 basis points. how much signal is in that? lisa: a lot of people will say this time is different. this does not indicate a slowing of the economy but rather a fed that is hiking, as cameron crise wassaying, this is typical. that said, as ira jersey of bloomberg intelligence noted, this is pricing in a policy error. right now this is saying the long-term economy is not accelerating. end of story. period. the more the fed hikes, the more it will slow that down and the more you will see that flattening continue. that is not a bullish sign for the economy long-term. jonathan: rob waldner, do you agree with that statement? is that what you see in 58 basis points on two

is the right time for tax reform. michael regan and lisa abramowicz still with us.egulation and confidence as two cheaper ways to achieve the same kind of growth. michael r.: i think we have already seen that effect so far. the shift in sentiment, the investor surveys are all through the roof. all of the small business surveys, everything like that. that has somewhat of a beneficial effect. you also see the valuations on the stock market really continuing to go higher when it was not clear that investors had highermach to push pe's before the election. there is an element of that in the market now. what is amazing to me is that it has not fallen out of the market. it continues to build, that momentum continues to build. people go, wait a minute. when you really do your tax return, when the average joe sixpack or middle-class guy like my class -- myself does is taxes , i want more of a three-pack. jonathan: i think it's really rude. [laughter] michael r.: i think when middle america does their taxes, that is when you know, wait a minute. the gop has taken a lot of ti