knows that if it needs to do anything, it will do it it broke the rules if they think they need the volcker rules to suspend it, they'll suspend it they will pull out the big guns to make sure this does not lead to some sort of collapse like we had in '08, '09. >> but those desks don't exist anymore to some extent those participants are gone. >> right >> but this is the side effect >> how do you expect, so the banking industry obviously at the heart of it's companies like united airlines and the cruise lines tapping their credit lines is that what you think the fed is ultimately trying to do here. also make sure that liquidity in the system in general is available. in other words, how would this go from helping the banks, per se, to helping oil and gas, travel industry, and so forth? or will it >> it's certainly not going to help the fundamentals. i think it tries to help confidence in that people want to believe that the system is not going to all of a sudden collapse under its own weight. i think in terms of the companies that are tapping these credit lines, it will be specifically those

>> yeah, so i don't think there's much left of the volcker rule, frankly. i don't think it provides much of a constraint at all given the significant loosening that's occurred over the last couple of years. so i do think there is a case to be made for letting banks dip into their capital and liquidity buffer so the rules as they're designed now is there's a minimum and a supplemental buffer you have and then there's something called the counter cyclical capital buffer that we never used in the u.s. to draw upon in situations like that, so the framework is already built in and i think it's appropriate for banks to be dipping into those duffebuffers. perhaps they shouldn't be doing dividends as well if they'll let those capital levels fall and become much more leveraged as they expand the balance sheet and they also should be doing everything they can to conserve capital including dividends and certainly executive bonuses, and i know that's not a happy thing for them to do, but we're in a difficult situation. a lot of people are losing their ons and we need t

the markets are open, liquidity is super thin liquidity is not only thin because of changes to the volckersome, for example, the options derivative exchange super thin now cboe closed doors effective last friday. there are may be a third of people on every trading floor, and, again, to point made earlier today there is no the principal risk that stepping into this market we are matching buyers and sellers even though the markets are open do i not want anyone to think they are function being as normally going to continue to feed into heightened volatility. dagen: i want to point out i wasn't suggesting you were asking about that closing markets a lot of individuals want to know, because their watching the market and it heightens anxiety a question raised with steve mnuchin i new that is not what you were asking stacey about. maria: i no -- i know. dagen: one thing giving investors more anxiety what has gone own in debt instrument they so the safe wake short term investment grade bond etfs in a matter of days, literally lost years worth of yield. now i looked at one short term etf investment

last three years with a volcker rule and those disciplines, collectively on the street, 25 billion. coming in this week, the balance was zero. they are not taking risks, so what they are serving it as is a very good counterpart to clear, the clearinghouse, as opposed to taking it to the book. that is causing a lot of this dislocation. it is not their fault, it is the rules placed on them. having said that, it is also the massive selling because the markets have gotten so big. when everyone goes to the exit at the same time, it becomes a bit daunting. in terms of liquidity and what happened this weekend. vonnie: there is something phenomenal in almost every single one of them we could sell, but at the end of everyone, talk to me a little bit more about what entities are now in deep trouble and what kind of prices you were getting. could you basically sort of just name your price for some of these products? we could. when you have a 10 point bid off spread, you do not want to be lifting offerings. we were getting hit, so lowering prices five points below where we think we would get hi

. >> stephen: even, like, volcker said, there is nothing to this.impugn his character to this. there is nothing to it. >> but it also speaks to the fact that they know they have to create this big distraction because there's a lot there that the american people is focusing on that tells us about the fact that we have a criminal living in the white house. ( cheers and applause ) >> stephen: your words, not mine, ma'am. ( laughter ) i'm still giving him a chance. >> i have no words. >> stephen: you said-- you said "leave joe alone." >> yeah. >> stephen: you did not leave him alone last night at the debate. there was a bit of a viral moment last night. everyone's talking about this moment with vice president biden. >> they know me. they know who i am. three former chairs of the black caucus, the only black-- african american woman ever elected to the united states senate, the whole range of people. >> no-- that's not true. >> my point is-- >> that's not true. that's not true. >> i said the first african american woman, the first. so my point is-- >> st

this is the volcker era. encouraged to bring down the great moderation.is the unusualness of the 30 year yield. stillamazing how it is castic. is this a new and different territory? jim: it is symptomatic. a significant downdraft in nominal yields. tom: exactly. jim: the inflation rate has been sticky. 10-year breakevens today are around the 1.5% mark. inflation expectations have not collapsed. nominal yields, u.s. treasury nominally, this is the hedging vehicle, the preferred global hedging vehicle. it has scope. it is a good hedge. tom: critical. if it is the vehicle, and we give way, is that a jump condition to huge instability? cameron: your chart looks at the current nominal 30 year versus trailing inflation. if we look ahead, the 30 year -- tom: we have to go, just because of the time. i cannot convey enough what you just heard from them, absolutely critical. general electric out. reaffirming later today. ge take a cost on the virus. much more on that as they reaffirm 2020. lawrence culp with us on bloomberg later. right now, new york, we want to do

i'm also a founding director of the volcker alliance to enhance and improve the training and professionalism of government. and now i think this is underscoring we need good people, conscientiously fulfilling their roles to implement these programs and get the money out the door especially to small businesses suffering a lot from this. >> sheila, we have seen businesses shut and shutter because of this. have we seen the worst of that? we have not seen while people are hoarding toilet paper and disinfectant, they haven't been hoarding money just yet. we haven't had a run on a bank. >> right. right. well, it's a good question. a lot of these small businesses are tapping into their savings or using all available to stay operational, try to keep their people employed but that will run out at some point which is why the assistance needs to get back to the door. i don't think we've seen any runs on banks yet. i think people have a lot of confidence in the fdic. my former agency. there is some authority for the fdic to provide insurance coverage above the $250,000 insured deposit limit if necessary

think that the person that we see right now is volcker who feel he is and that's the the state premier of they say of has a while now is located in western germany. for the names of the victims very very prominent during this memorial service and being referred to repeat it way during the president's address. face. to. face. to face to face. during in this terrain for. him stark 000 also accompanying family members he's a junior a minister.

the years with bill gross and should use it with steven major. 1950's up to the the moment of paul volcker the great disinflation. way -- so true along the and credit suisse always had the best idea -- rates will go up. rates will go up. rates will go up. you get the theme. we are down at an imaginable low interest rate, something steven major has nailed like no other strategist. we are thrilled he could join us. the cry is out, rates will go up. why aren't they? steven: we can't afford them to go up and parts of the explanation for low yields over the years is the excessive debt. it is a question of servicing costs. the public and private sector combined cannot afford to have higher rates. in the form ofk accelerated and inevitable shift toward andening economy deceleration. rates are stuck to zero bound in the u.s. and negative elsewhere. we are looking for the central banks responding or reacting. the interest rates are an outcome from what has come before. tom: within that will be the new disinflation. people are writing about the supply and demand shock and aggregate disinflation. wil

release on february 3rd, 2020, really blasted the fdic and occ's plans to weaken components of the volcker rule. in the press releases i read it made clear they held these accountability groups, fdic, occ, responsible for doing the wishes of the trump administration. they blamed the administration for decisions by the occ. i bring that up because when i look at this report, page 23, committee staff findings, it says before the 2016-2018 consent orders, financial regulators knew about serious enterprisewide deficiencies at wells fargo for years without alerting the public. the president was elected in 2016. when i read these deficiencies and regulatory efforts, april 19th, 2017, a report by the occ office of enterprise, government and ombudsman, sales practices, concluded that the occ did not take timely and effective supervisory action, they failed to conduct comprehensive reviews and testing of monitoring and control of sales practices between 2011-2014. that is right in the middle of the obama administration. i can't imagine how this would read of republicans were in the white house duri

interactions of some of the liquidity and capital requirements and some of the restrictions from the volcker rule on making markets have made this a little bit more fragile than a little more deep. i think we'll be able to draw some lessons on reforming those regulations down the line. right now we have to get the liquidity into the markets and the fed is doing its darnedest. >> they have to pair this with something else this is a place to bring your good paper >> yes you have paper, that's right that's why this is -- what the fed can do is necessary but not sufficient as a number of you said before. in 2008 and 2009, there was a scramble for dollar liquidity. the main problems were in the financial markets and the financial institutions themselves here, and so -- there the fed had the tools to directly address that here, it's related to the virus so it's related to brokenly. >> chains. it's related to restrictions that make people unable to either get out to buy things or to get out to work there's no fed policy that can possibly direct the address back that's where the health authorities a

. >> we have talked about volcker rule some other rules could be loosened in face of this crisis, are regulations, that you want to mention, today, that perhaps could be tweaked should be looked at, on an sec level, to unable that what you are talking about in terms of the resiliency of the market. >> i got to do things on back of some we have had notably 9/11 a credit crisis i do think sec as well as the fed has put into place some very helpful rules, after 9/11 was very clear the markets needed to become more interconnected more electronic, more resilient as a result of that we now are an interconnected system of markets, every market is electronic, and as you can see from the decides to close the floor, new york is fully electronic market as are we, we can trade each other's stocks manage we can manage each other's markets, if we need to but the fact is that the system is resilient on the back of that we have done i don't see any significant need for change in the rules right now, whether it is sec or fed i think we are trying to make sure, that people have access to capital liquid