yellin is on board with some reform of dodd/frank.lear she doesn't see the economic devastation that president trump does. and yellin isn't changing her forecast until she sees the whites of the trump policy's eyes, she warned about potential deficit impacts. >> some of the policies that are being discussed might well raise deficits and in that context, they may have impacts on economic growth and the economy's growth potential. it's not a simple matter to evaluate, but i do think it's worth pointing out that fiscal sustainability has been a longstanding problem. >> the market increased the chance of a rate hike by only a few percentage points. now stands below half. the economic data, beginning with inflation tomorrow and retail sales, through the february jobs board. could move those probabilities up, goldman sachs saying the data has to be better than expected. you know that day one has day two on it. if yellin feels like, she could do a redirect tomorrow if she feels the market didn't get her message. >> significant data out of ch

will janet yellin surprise the markets and hike rates? apple crushing earnings and powering the dow into the green. but that is old news by now. coming up, three staggering stats you need to know about america's biggest company by market value. and it is another busy day at the intersection of wall street and washington. we are headed live to the white house to talk trump-o-nomics and much more. "power lunch" starts right now. >>> welcome to "power lunch." i'm melissa lee. easy come, easy go. erasing a 10 -point gain, up by only 20 points. ibm having the biggest gain on the dow. triple its 30-day average today. nasdaq is higher up nearly 5% this year. brian? >> today's show is brought to you by the letters j, e and t. jet. get it? which is fueling the market? is it j, januaet yellin and the fed or is it earning and the economy, which would make it jeet or is it trump-o-nomics? eamon javers is at the white house for us. steve, i'm into the music. kick it off for us right now. >> maybe i would be amazed if the federal reserve would hike int

fed chair janet yellin will be on capitol hill for day two about the economy.hat were take aways. >> more interest rate hikes are coming this year according to janet yellin as long as economy and job growth stays strong. she said a interest rate hike in march is still on the table , most analyst expected the fed will wait until june meet to go raise rates, again, jim and rahel. >>> as if facebook isn't every where already i understand it is going to invade our living rooms. >> reporter: it the is true, so facebook is launching an app for tv's for apple tv's, foreign samsung tv and amazon tv, basically you'll be able to watch videos thaw would normally watch on facebook, on the the app, and on your tv, no timetable just yet, they think soon, is what they are saying. jim and rahel. >> well, it was bound to happen. >> yes. >> i mean, yes. >> they are taking over. >> yes, taking over the world. >> thanks, jill we will check in the next hour. >>> we have some incredible images from yesemite national park to share with you this morning. >> check this out it may look

we expect jannet yellin to say number one it is really hard to tell you what i see because we aren'tcause we don't know what donald trump is going to do. if he can put through fiscal stimulus and get the economy going that is one thing but if he doesn't that is another thing. potentially, she'll tell us she wants to keep her policy options open and not lean too heavily to increases or just two, slowing down. a look at the chart. she has said recently we're near the fed's goal, the duellman date. this is # 3476. the purple line. isn't it beautiful? unemployment falling. labor market getting tighter. the white line kind of flat the last couple years. core p.c.e. what are the key issues? here are three of them. two or three hikes this year. what kind of hint does she give? happy about the eek sni okay. ready to move quickly. for example. maybe not so worried about the economy over heating. balance sheet management. despite trillions of dollars by the fed, if they start hiking rates part of the policy path is you got to start selling off the bonds. they haven't talked about it yet, safe

lot of play for financials this week, including fed chair januarietjanet yellin.ike, great to have you with us. it feels like more of an advance that the banking sector has seen, batons passed. each incremental development, possible deregulation of the banking sector has been the next baton. at this point, what does the resignation of dan turullo mean for the sector? >> we had a love/hate relationship with turullo and dodd/frank. it's been a positive and a negative. positive side, i love where the regulation is that the u.s. banking industry has the most resilient balance sheet that it's had in a generation. in the past decade, banks have raised $700 billion of tangible equity, $1 trillion in cash and $3 trillion. they're strong enough to absorb not just one financial crisis but two financial crises. >> that's the love part. so the hate part? >> can i finish with the love for a second? >> yes. >> i think bank sectors should get dan tarullo a valentine as day card saying thank you for improving the resiliency. that might seem surprising. a decade ago, around the ti

when janet yellin tells us interest rates are going up, that will have an effect.est rates are low. we know they are going up. they are going to go up two tor three times this year. no one should be surprised when she says the economy is okay, we can raise interest rates. i'll give you a third, the trump effect. the s&p 500, what most invest in is up 25% over the last year. some of it is trump, about a third. >> consumer confidence is up. >> yeah. sure. >> remember, markets are liquid and can turn on a dime. ali, thanks. >>> i want to turn to the reporter that broke to story that may have led to mike flynn's resignation. 24 days into this, blackmail. plus, do the photos show the president dealing with north korean missile launch in full view of mar-a-lago wedding guests? when you find something worth waiting for, we'll help you invest to protect it for the future. financial guidance while you're mastering life. from chase, so you can. we danced in a german dance group. i wore lederhosen.man. when i first got on ancestry i was really surprised that i wasn't finding

. >>> in her testimony before the senate banking committee federal reserve board chair janet yellin said they might raise rates in the march meeting. before the committee today to present her semiannual monetary policy report. this is two and a half hours.

yellin did not rule out an interest rate hike at fed march meeting but most suspect natalie fed will in the raise rates until a heating in june. we will learn more about the economy to daze when the government releases retail sales data for january. >>> star bucks is shaking things up by testing, coffee and ice cream drinks. for now they are doing it just in california, those drinks will cost between five and six dollars, and they will include all the ra thick malt shakes, floats, and hot coffee poured over ice cream. i guess frappuccino's don't go far enough. >> i don't know if i approve of that. >> why not. >> you know what ice cream and hot chocolate is one thing but coffee, i don't know. >> are you serious. >> they are the best things in the world. >> i'll try it the but i'm not the so sure. >> coffee ape ice cream. >> i also like hot and cold. >> i don't have a problem with that but it is coffee element are the ice cream. i have had ice cream this hot cocoa and that is great. i'm reserving. >> you are talking to a man who eats frozen grapes at the same time every same time. >> f

fed chair janet yellin goes before the senate banking committee to talk about the economy in her firstk office. >>> a top apple executive says video will play a big role in expanding the company's streaming music service. apple music has more than 20 million users. one way of introducing video is reality show called planet of the apps. they will pitch to a panel of judges. winners get venture capital funding and their app is featured in the app store. >>> the rise of the machines of tesla and spacex ceo. they may need to merge to keep us from becoming irrelevant as computers communicate so much faster than we can. back to you. >> that would mean no feeling, no love, no romance, no valentine's day. >> thank you very much. >>> speaking of what it will cost you this valentine's day, plus, why the show stealing beagle is winning hearts at westminster and around the nation. per roll more "doing chores for dad" per roll more "earning something you love" per roll bounty is more absorbent, so the roll can last 50% longer than the leading ordinary brand. so you get more "life" per roll. bounty,

janet yellin appeared at capitol hill on thursday and reiterated the strength of the us economy.d point to retail sales, which again, were significantly higher, and showed a good deal of strength. what about the other pillar of the us economy? that is the housing market. with interest rates going up, and with signs that there might be more rent rises to come, what will it do to borrowing costs ? come, what will it do to borrowing costs? what is the knock—on effect for housing? economists will be looking at housing starts, as well as wielding permits forjanuary as an early indication. james, good to see you. thanks for coming in. we want to start on the us, the proposal, the border tax, andi us, the proposal, the border tax, and i believe all the us retailers met donald trump yesterday and said they didn't want it. it has not been reflected, the import tax could affect the bottom line. quite right. there has been a huge wave of infusing as in, looking at it this one it. they have welcomed the trump agenda. they have argued for a lengthy period of two challenges they face on taxati

they are looking for insight when fed could raise interest rates again, last week, fed chair janet yellin said a quicker pace then previously thought. >>> wells fargo fired four senior managers, connection to a that sales race scandal at the bank, none of the managers will get a bonus for 2016. wells fargo admitted its workers opened up to 2 million bank and credit card accounts, without customer permission, and bank already fired about 6300 lower level workers. >>> american airlines joined discount ticket battles, they are selling basic economy fares, they do come with restrictions, you cannot pick out a seat, last aboard and only carry small bags that fits under the seat. you can the in the use overhead compartment. delta, spirit and united offer no frills fairs, they will just shove you in the bag underneath a plane, jim and rahel. >> he yes, i was going to say. thanks, we will check with you tomorrow. >>> well, lieutenant governor jim guadagno is ready to scrap chris christie's projects. >> guadagno is propose to go shelf christie's 300 million-dollar plan to renovate new jersey state

yellin is going to give the same testimony to house of financial services committee.retail sales cpi, industrial production. come thursday, you've got to look for jobless claims, housing starts and philly fed survey. in addition to all of that, we have more than 50 companies in the s&p 500 reporting results this week. among them cisco, pepsico, craft, heinz, cvs, marriott and campbell's soup. >>> president trump hosting japanese prime minister shinzo abe in florida. with trump's move to withdraw u.s. from trans-pacific partnership agreement there could be new ideas object economic relationship between japan and the united states. joining us right now for more is michael froman, distinguished fellow council of foreign relations and most recent umbrellas trade representative under president obama. michael, thank you for being here today. >> good to be here. >> interesting to watch the relationship with shinzo abe this weekend after trump decided to withdraw from tpp where did that leave us and what kind of bead language did you read this weekend? >> there a lot going on

that is janet yellin saying you can put one, two, or three folks on the board, but it takes the full board to vote on the regulations. the vice chair has more authority, more things they can do to put things on the agenda, but that person alone is not enough to change. that someone thing that janet yellen was very strong about. >> we should mention financials leading whatever action there is in the dow. goldman is $2 away from the lifetime high set back in '07. >> i think it is important to under score that she said she agrees with the core principals of donald trump's executive order. you note those core principals were different from his rhetoric calling for drastic cuts, but she said she agrees with the core principals. that means a possibility that some reform of dodd frank could take place under janet yellen. >> we'll get back to senator menendez and the fed chair. >> not one of those 134 m presidents has been african-american or latino. that is outrageous. it is my hope that we begin to change the reality. these are two communities that have an enormous part of contributing to

room saw -- >> the advertisement that talked, that was right at the end of the campaign, it featured yellin and soros. and when it used those names, those folks, it had images of money and power, and the jews in the room saw it, and were struck and pained by it. the nonjewish students didn't even see it. >> my question is also, remember the holocaust remembrance statement that was put out last week, they didn't explicitly mention jewish people, do you think that was intentional? >> i think we know it was intentional. >> why so. >> we heard it was in the statement and then taken out of the statement. we also -- you know, people talk about messaging, we talk about messaging, the administration, this is deeper than messaging, this is something you can't sanitize by a simple swipe away, this is a deep seeded orientation that is repeatedly in subtle and overt ways making statements that are trying to erase our history. that was extremely bitterly painful, and i have to tell you, i want to a catholic girls school a few days later, and they did a holocaust remembrance ceremony, and they featured j

. >>> also big meeting today we will hear from janet yellin what are we expecting from that reserve chair>> it is always, the markets are always on pins and needles with this kind of thing. i think you have yellen and the administration kind of feeling one another out. fed chair and administrations don't often see eye to eye on things but we will see, is there also a new treasury secretary just sworn in last night. there is a lot going on now for markets to digest so it may be a volatile day depending on what yellen has to say. >> we will see what happens. doug lou said inner washington , good to see you. >>> legislation expanding steroids testing in new jersey high schools has been passed by state senate. measure heads to governor christie's desk for his consideration. bill widens state's existing random steroid testing ram beyond athletes who qualify for playoffs. >> it also gives them additional education about the dangers of steroids. >>> fate of philadelphia's soda tax still up in the air, the pennsylvania supreme court refuse aid request to make a final decision on the legality of t

>> reporter: you know what, janet yellin testified and she said every fed meeting is live what does that mean? it means hey at any heating they can raise interest rates. if we continue to see improvement with this data, we are likely to see the federate rates, faster, and more frequently then previously thought. now hey that is great news if you are a safer, i will get more in my accounts. bad news for borrowers. if you are a borrower you may want to get going on getting that loan, most investors say natalie odd of a federate hike in march is just about 20 percent, one in three in may, 50/50 for june. one last wrinkle the president actually has to fill three vacancies on the federal reserve board. is there only seven members. that could reshape monetary policy. for more on what could be trump's big shake up at the fed, get to jill on money.com. >> thank you, jill. >>> we appreciate it. >>> new modeling sensation is a face you may have seen before. >> yes, look at your screen. >> do you remember this guy? yes, his name is jeremy meets whose mug shot made him the hot felon. now the three t

will janet yellin surprise the markets and hike rates? apple crushing earnings and powering the dow into the green. but that is old news by now. coming up, three staggering stats you need to know about america's biggest company by market value. and it is another busy day at the intersection of wall street and washington. we are

going toanet yellen is keep her title, she will be once a year yellin.does that mean the fed is being politicized? is there pressure coming from the white house for the fed to stand pat and not do anything? >> i think the fed has always been a political organization. we've had time and time again when the fed chair has been fully by the president -- has been bullied by the president. it happens when brother burns became the chairman. it increased in 1971-72 to finance the vietnam war. we had g william miller, who was very much under president carter's thong. -- under president carter's thu mb. governor we had a fed who contributed to the hillary clinton campaign. so there's not too much evidence of political independence in the fed. alluded to it earlier, ,he dutch election coming up and the second round of france in may. how does this fit into the currency market and where could the euro go from here? >> the markets have fullback on this political uncertainty, which may be a mistake. france is looking more and more is going to win the whole thing. angel

yellin at the helm, and, you know, to be able to set monetary policy going forward? >> let me just comment. i'm really here today, again, to talk about the venezuelan situation, but let me just say that there is a tradition of the secretary of treasury having ongoing meetings with the head of the federal reserve, and i look forward to that now that i'm in office. thank you. it's a pleasure to be here on my first day. >> thanks. thank you. >> all right. let's get back to the fun. we've been reviewing, and i want to address the events much last night first and foremost. we've been reviewing and evaluating this issue with respect to general flynn on a daily basis for a few weeks trying to ascertain the truth. we got to a point not based on a legal issue, but based on a trust issue with a level of trust between the president and general flynn had eroded to the point where he felt he had to make a change. the president was very concerned that general flynn had misled the vice president and others. he was also concerned in light of sensitive subjects democratic with by tha

chair yellin, her term is up next year. fisher is up june of next year and tarullo stepping away from his role and two open governor seats. there's a lot of seats for trump to put in people who will be friendly toward, let's say, lighter touch on regulation. or deregulatory front. >> is that enough to get financials to move higher? now we're seeing a better path to less regulation. >> this is a clear boost for bank banks. >> you can imagine there's a clearer path for financials. >> if this is all about the fundamentals, you must think that stocks are going much higher from here if fundamentals are getting so good. >> i think they can go higher, when you have improve iing earnings, and you see the market as strong even with the political disruptions you have to think there's underlying strength there. the market has proved that. when we get good news or less uncertainty as we saw today, yeah, there's no limits ahead, potentially. >> let's get back to washington now where president trump wrapped up his news conference with pr

. >>> in her testimony before the senate banking committee federal reserve board chair janet yellin said they might raise rates in the march meeting. before the committee today to present her semiannual monetary policy report. this is two and a half hours. >> the committee will come to order. today we will receive testimony from the federal reserve chair regarding the semi annual report to congress on monetary policy and the state of the economy. it will come as no surprise to you that improving economic growth is a key priority for s congress this year.year. 2016 was the 11th consecutive year that the u.s. economy failed to grow by more than 3%. one way to improve the economic growth is to study and address areas where the regulations can be improved. since the financial crisis regulators imposed thousands of new pages of regulations. we all needed to better understand the combined impact of the rules on lending, liquidity, cost personal financial institutions and broa economic growth. it is time to reassess what is working and what is not. i am encouraged by the executive order on the

. >> stocks on track for another record close today, that's as fed chief janet yellin testifies on capitolsecretary makes a surprise appearance. i should say your new treasury secretary. more on what he said coming up. >> who said telecom stocks are boring. another shot fired. we'll have the details for you coming up. >> gm shares hoping they'll be able to sell their european business.

stanley fischer on the many responsibilities forward for chair yellin. bloomberg surveillance.eadquarters in new york. i'm tom keene. francie mccrory in london. we continue to churn for what seems to be a good three weeks. francine: we continue the churn. is a great story on the bloomberg saying that a lot of foreign creditors suddenly having second thoughts about financing the u.s. government. i don't know whether it has an impact on president trump's making or not something we need to keep an eye on. if you are justin trudeau, you show up in d.c. a little later. you want to ensure you're not treated like mexico. how do you make sure the president sticks to nafta? tom: our first word news. here's tether rigs. taylor: the united states occur to council holds emergency meeting on north korean security tests. the sea of landed in japan. japan is urging china to take action against north korea. one concern is that north korea will be able to develop missile technology enough to put a nuclear warhead on one of them. leastthern california at 180 8000 people have been urged to evacua