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Speaker 2: This is the Bloomberg Surveillance Podcast. I'm Jonathan Ferrow, along
Speaker 2: with Lisa Bromwitz and Amrie Hordern. Join us each day
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Speaker 2: Rock writing this mid term volatility aside, this will create
Speaker 2: a fabulous opportunity for investors to move out from cash
Speaker 2: and lock in yield and the belly of the curve
Speaker 2: for equities. A brief pullback is likely, but eventually a
Speaker 2: rake Cunning cycle that ends without a recession tends to
Speaker 2: bode well for stocks. Gage joined us for more. Gargiy,
Speaker 2: Good monic, Good morning. Imagine you've had tons of cours.
Speaker 2: I'm sitting in cash, the cup fifty on where they're
Speaker 2: going again and again, again and again?
Speaker 3: What do I take? What do I take?
Speaker 4: You step out of cash? I think that the signs
Speaker 4: that this FED meeting showed us all beyond the twenty
Speaker 4: five to fifty debate hawkish not hawkish, et cetera. Once
Speaker 4: we go past all of that, I think one thing
Speaker 4: is clear. This is a FED that is going to
Speaker 4: that is willing to surprise the market, that is going
Speaker 4: to do what it thinks it needs to do to
Speaker 4: make sure that the labor market and the broader economy
Speaker 4: remains strong. And they will cut fifty basis points and
Speaker 4: maybe another fifty more or perhaps even more than that
Speaker 4: if they need to while growth remains solid. Right, while
Speaker 4: growth remains at two percent, And that is an amazing
Speaker 4: opportunity to own risk assets. So own risk assets in
Speaker 4: the fixingcume markets, own fixed assets or risk assets in
Speaker 4: the equity markets. I think seasonalities can get a little
Speaker 4: bit tough, but this is a great time to step
Speaker 4: out of cash.
Speaker 2: Let's break cut the asset classes. To start with bonds.
Speaker 2: We'll move to stocks in fixed income. When you say
Speaker 2: take risk in fixed in cup and bonds, what do
Speaker 2: you mean?
Speaker 4: So, first of all, I think making sure that you're
Speaker 4: very precise about where you want to target your interest
Speaker 4: rates sensitive at your duration risk. That's really important. We've
Speaker 4: been here before and talked about owning the belly of
Speaker 4: the curve. What we've meant by that is really looking
Speaker 4: at that three to seven year part of the curve
Speaker 4: and not just owning treasuries, but owning high yield, owning
Speaker 4: securitized assets, owning income, really taking this opportunity of still
Speaker 4: locking in yields, especially when cashields are dropping fast, and
Speaker 4: earning income in the fixed income markets. And there are
Speaker 4: products that allow you to do that in an active manner,
Speaker 4: in an index manner. But the time is here, the
Speaker 4: time has been here, but you're not too late.
Speaker 1: Let's have a therapy session because a lot of people
Speaker 1: are feeling like they missed it, and a lot of
Speaker 1: people feel like you know, they're watching as valuations get
Speaker 1: that much more expensive, in stocks, in bands and working
Speaker 1: right now, credit spreads tightening even more, and the heels
Speaker 1: of this decision, how do you convince people after discussions
Speaker 1: the things have gotten so frothy and so expensive that
Speaker 1: now as things are even more expensive, it's the right
Speaker 1: time to buy.
Speaker 4: So okay, separating out bonds and stocks again, I think
Speaker 4: for equity markets, this is a seasonally week period, we're
Speaker 4: going to have a couple of risk events. We're obviously
Speaker 4: going to have the election in a couple in six
Speaker 4: weeks or so, but more importantly before that, we're going
Speaker 4: to have earning season, and I think it could maybe
Speaker 4: make sense for equities to pull back just a little bit.
Speaker 4: I don't think you're supposed to step away. I think
Speaker 4: you're supposed to add downside protection with buffer strategies. That's
Speaker 4: what we're telling investors, or move a little bit further
Speaker 4: up in quality. We've sort of told investors to stay
Speaker 4: away from the small cap trade. Obviously that's doing very well.
Speaker 4: It's hard for me to imagine that does well sustainably
Speaker 4: for the next eight to twelve weeks. Having said that,
Speaker 4: in the FIXTIONCME market, Pleace, I hear you. Yes, spreads
Speaker 4: are very very tight, but I think what investors have
Speaker 4: gravitated towards. If we look at fixed and come flows
Speaker 4: this year, it is around yields that are available. So
Speaker 4: when we compare the yields today to what we were
Speaker 4: getting ten years ago, yes it's come down, but it's
Speaker 4: still very positive, and I think investors do want to
Speaker 4: lock that in, especially if we slow down even slightly
Speaker 4: from here.
Speaker 1: You talked about some risk events, including the politics, and
Speaker 1: I know Emory is going to go there a bit
Speaker 1: in a second. There is this issue that every candidate
Speaker 1: is going to promise more and more and more to
Speaker 1: increase the deficit more and more and more. Does this
Speaker 1: create something of a risk event that is longer term,
Speaker 1: particularly for the long end of.
Speaker 4: A I think it does. You've hit the nail right
Speaker 4: on the head. I think that's why being very precise
Speaker 4: about where you want to own duration is really important.
Speaker 4: So regardless of what happens in November, regardless of who's
Speaker 4: president in January, I think one thing that we can
Speaker 4: be sure of is that deficits aren't coming down in
Speaker 4: a rapid manner. And one of the ways in which
Speaker 4: that can play out in our markets, in the bond
Speaker 4: market is really in the very long end of the curve.
Speaker 4: So I was saying earlier to on about you know,
Speaker 4: owning duration in that three to seven year part of
Speaker 4: the curve. You kind of want to stay away from
Speaker 4: them a very long and for now you're not getting
Speaker 4: that additional pickup and yield, So stick in the value
Speaker 4: of the curve and harvest some of the income that
Speaker 4: you're getting, and frankly, that's where investors are moving to
Speaker 4: as well. I mean, when I have client conversations, people
Speaker 4: want to hear about the agg people want to hear
Speaker 4: about bank people want to hear about, you know, quality equities.
Speaker 4: That's what we're telling them to do because that's the
Speaker 4: regime for this.
Speaker 5: Henrietta was just talking about how investors she's talking to you,
Speaker 5: especially those in the fixed income space, we're or interested
Speaker 5: to see what happens in Washington based on the timeline.
Speaker 3: If you get some of these.
Speaker 5: Tax cuts three four years out or if they go
Speaker 5: for say ten years, do you think it makes a difference.
Speaker 4: For bond markets And I think it all makes a
Speaker 4: difference absolutely. I think we're in this period for the
Speaker 4: next six to eight weeks where we just won't know
Speaker 4: too much. We obviously won't know the outcome, and I
Speaker 4: think markets like certainty the most they want, which is
Speaker 4: why I feel like over the next couple of weeks,
Speaker 4: I think a little bit of a pullback despite this
Speaker 4: fifty basis point cut could come. And I think that's fine.
Speaker 4: You're supposed to stay invested, protect your downside. But I think,
Speaker 4: of course it matters in the long term. Will it
Speaker 4: matter whether we get something for four years or ten years. Absolutely,
Speaker 4: I think the market can only pay attention to recruitter
Speaker 4: who's you know, as you guys know likes to say this,
Speaker 4: markets pay attention to one thing at a time. Right now,
Speaker 4: we're paying attention to all of the amazing opportunities that
Speaker 4: the FED cut has brought you.
Speaker 5: Well, I know, but next we're going to be focused
Speaker 5: on the election and this idea of fiscal sustainability. Henriette
Speaker 5: also brought up the fact that maybe we'll see another
Speaker 5: Simpson Bowls commission. Does the market care about that or
Speaker 5: is that just all noise and talk for now?
Speaker 4: I think the market won't really focus too much on that.
Speaker 4: I think we're going to focus a little bit more on,
Speaker 4: you know, what is the data telling us. What are
Speaker 4: some of the policies that we're going to get. What
Speaker 4: are some of the ways in which the earning seasons
Speaker 4: go to play out. I think that's going to be
Speaker 4: something that we're not talking about yet. We did see earnings, okay,
Speaker 4: we didn't see you know, there were companies weren't doing
Speaker 4: as well on revenue. So I think we have to
Speaker 4: see where the companies can still find ways to cut expenses,
Speaker 4: and that's something we're going to be looking at. So
Speaker 4: for the near term, I think all of that is
Speaker 4: going to be much more important than if we get
Speaker 4: a commission, you know, twelve weeks down or twenty weeks
Speaker 4: down the lane.
Speaker 1: Can we say that for now more Strata's sake of
Speaker 1: talking of the FED.
Speaker 3: I think so.
Speaker 4: I think I'm really excited that we can now focus
Speaker 4: on what's really important, which is the election. No, actually,
Speaker 4: because the opportunities that exist in the market for our
Speaker 4: investors to be invested and have a better financial outcome.
Speaker 3: Katie, thank you one of the best the US. Enjoy it.
Speaker 3: Kuki Chantry of blank.
Speaker 2: Rod, John Varlet now, John, it's going to see you,
Speaker 2: going to be here.
Speaker 3: Thanks for having me. What does that right cut today?
Speaker 3: For this mark it?
Speaker 6: I mean, I think look, rates are down ninety basis
Speaker 6: points from when Lennard last reported earnings in mid June.
Speaker 6: We know that demand has picked up. Toll Brothers reported
Speaker 6: in August that July was this is their may through
Speaker 6: a July quarter, that July was the strongest month, with
Speaker 6: strength continuing into August. Other builders have said the same
Speaker 6: our private builder channel checks have been very bullish. Demand
Speaker 6: is better than seasonal averages at this point.
Speaker 3: Things are moving in the right direction.
Speaker 6: So I think that you know that, coupled with think
Speaker 6: about new home sales in July up eleven percent month
Speaker 6: over month to seven hundred and thirty nine thousand single
Speaker 6: family starts yesterday nine hundred and ninety two thousand, up
Speaker 6: sixteen percent. Activity is picking up and that's a good thing.
Speaker 6: So I think demand is moving in the right direction.
Speaker 2: Tell Brothers is for the fancy payper.
Speaker 3: They don't need mortgages.
Speaker 2: That's so cash. Can we talk about who this already helps?
Speaker 2: Which build is does this ready help?
Speaker 3: I think it helps all.
Speaker 6: You're right now thirty percent of TOLD tolls buyers pay
Speaker 6: all cash, So you could argue perhaps a little bit
Speaker 6: less of stimulus there. The lower end probably benefits the most.
Speaker 6: Drhort in lenar companies that really focus on that probably
Speaker 6: dart in the most on that entry level first time,
Speaker 6: those buyers are going to have more dollars in their pocket.
Speaker 6: But keep in mind that the builders have been buying
Speaker 6: down mortgage rates all along, and so demand has been
Speaker 6: pretty good for the public builders all throughout this kind
Speaker 6: of interest rate volatility.
Speaker 1: That's where I wanted to go.
Speaker 3: Yeah, I don't get this market.
Speaker 1: Basically, you have high rates, and that's good for home
Speaker 1: builders because nobody can move, no one wants to sell,
Speaker 1: so you know, if anyone actually wants to buy a home,
Speaker 1: you have to build it from scratch. Lower rates help
Speaker 1: them too, because lower rates are better and people can
Speaker 1: borrow money.
Speaker 3: Which is it at what point is it just price
Speaker 3: go up period?
Speaker 6: Lower rates are good for housing lease of regardless. I
Speaker 6: mean I think that that's kind of where we sit now.
Speaker 6: Your point's well taken, though, right. I think the lock
Speaker 6: in effect that has kept people from moving in reduced
Speaker 6: existing home.
Speaker 3: Turnover has helped the builders, no question about it.
Speaker 6: Now, lower rates are going to bring some more inventory
Speaker 6: back to the market, but keep in mind eighty percent
Speaker 6: of mortgages are below five percent, sixty percent of below
Speaker 6: four so there is still a lock in effect.
Speaker 1: There's this question about if lower rates unlock a great
Speaker 1: deal of supply from existing homes but also from potentially
Speaker 1: home builders, won't that cause prices to potentially go down,
Speaker 1: not up, especially if mortgage rates are still well above
Speaker 1: the average that people are paying. Right now in their homes.
Speaker 6: I think it would take an economic shock to bring
Speaker 6: back a glutt of inventory. I think the inventory return
Speaker 6: is going to be more sort of orderly, if you will,
Speaker 6: just given that lock and effect that I talked about.
Speaker 6: Now there will be more existing home inventory. But you
Speaker 6: know what, that also opens the pool of potential buyers,
Speaker 6: and so we think the supply demand from that standpoint
Speaker 6: will still remain strong enough where prices are not going
Speaker 6: to drop dramatically.
Speaker 5: Jumpry, I was going to say, what do you make
Speaker 5: of all this being discussed on the campaign trail, potentially
Speaker 5: supply coming because of policy in Washington.
Speaker 3: It's an interesting question. I think.
Speaker 6: I think the Harris campaign's head is in the right
Speaker 6: spot that we need more supply, we need more housing.
Speaker 6: The actual execution of that is very challenging because it
Speaker 6: can't be done at the federal level. It's really the
Speaker 6: municipal and state and local you know kind of supply
Speaker 6: constraints in terms of land development, you know, entitlement, zoning, permitting,
Speaker 6: things of that nature that just can't be controlled at
Speaker 6: the federal level.
Speaker 3: That that's where the real problem is.
Speaker 6: And so you know, while they're you know, it's a
Speaker 6: good idea, very hard to execute a mole.
Speaker 2: So some of these incentives you hit on the campaign
Speaker 2: trail you just believe ultimately going to lead to hut prices.
Speaker 2: Is that fair?
Speaker 6: I mean, I think, you know, putting more money in
Speaker 6: people's pockets. So twenty five thousand dollars tax incentive, it
Speaker 6: will help demand, couldn't push up prices a bit? Perhaps
Speaker 6: I just don't see anything on the supply side really
Speaker 6: moving the needle.
Speaker 1: At this point. What are you looking for in terms
Speaker 1: of taxes as well? We talk about the salt tax
Speaker 1: and what that does to property buying in places in
Speaker 1: the Northeast. We saw people leave the Northeast in response
Speaker 1: to that. Do you get the sense that if that
Speaker 1: salt cap was removed that you'd actually get more buying
Speaker 1: in those regions?
Speaker 3: Yes, I think that that would certainly help.
Speaker 6: That said, the offset is that there's just an in
Speaker 6: migration trend in the US that's occurring because that's where
Speaker 6: job growth is happening.
Speaker 3: And think about the sun belop right, that's where the
Speaker 3: employment growth is.
Speaker 6: The weather's a little bit better, folks are moving in
Speaker 6: that direction anyway. I like seasons, but going so I
Speaker 6: think yes, it would certainly, it would certainly help, But
Speaker 6: I think that the trend is still well ingrained.
Speaker 5: So what's the number one market right now and to
Speaker 5: start building.
Speaker 6: It's you know, I think, look, there's great markets in Florida,
Speaker 6: the Carolinas are very strong. Texas, most parts of Texas
Speaker 6: are very good.
Speaker 3: So really the.
Speaker 6: Traditional kind of you know, golden horseshoe states are still
Speaker 6: really positive.
Speaker 7: Now.
Speaker 6: It is market by market within each of those states,
Speaker 6: but I would say generally speaking that hasn't changed. Where
Speaker 6: those are where you want to be, and that's where
Speaker 6: the public builders are.
Speaker 2: Just to wrap things up, the Voet's get a Mulke's
Speaker 2: right now thirty six around six percent effective mulke It's rights.
Speaker 2: So the average right on the which is out there
Speaker 2: right now, it's just short of four percent, still quite
Speaker 2: a big spread there of about two hundred basis points.
Speaker 2: How much of a difference does six make to the
Speaker 2: unlocking the lock in effect that we've seen grip this
Speaker 2: housing market over the last few years.
Speaker 3: I don't.
Speaker 6: I don't think it moves the needle all that much
Speaker 6: in the existing home side. It will help, for sure,
Speaker 6: but I think you know what the builders have talked
Speaker 6: about is five five and a half percent kind of
Speaker 6: being the sweet spot of where they're buying rates down to.
Speaker 6: So there's no magic number, but I think that that's
Speaker 6: probably a fairly good indication of where of where you
Speaker 6: have to be.
Speaker 2: Just quickly for people who an't formiliar when you say
Speaker 2: buying rates down to, what do you mean?
Speaker 3: What is that?
Speaker 6: So the public builders are actually going out into the
Speaker 6: mortgage market securing forward commitments to buy down mortgages are
Speaker 6: below mortgage or average rates, which is allowing buyers to
Speaker 6: step into homes at much more affordable levels.
Speaker 2: They've been working around this for the last couple of
Speaker 2: years then they've been very successful. Yeah, I know, John,
Speaker 2: Thank you, Seth. It's going to see you extra. I
Speaker 2: appreciate it. Johnavala, the of ubs On, relates to the
Speaker 2: housing market. Jot to us now to discuss this, Mark
Speaker 2: Sandy of Moody's Analytics Mark looking forward to getting into
Speaker 2: this with you.
Speaker 3: So let's get to it.
Speaker 2: How strong is this job's market still even with that
Speaker 2: rate cup?
Speaker 3: Was it even needed? Oh?
Speaker 8: Yeah, no, it was needed. I mean the job market's good,
Speaker 8: no doubt about it.
Speaker 7: Recruiting well, a lot of jobs unemployment is very low,
Speaker 7: but all the trend lines were showing softness. I mean
Speaker 7: hiring us off, hours worked are down, tempt jobs are down.
Speaker 7: You know, the only thing that's really kept the job
Speaker 7: market together is those lay low layoffs. As you point out,
Speaker 7: the UI claim suggests that continue. So that's good news,
Speaker 7: but the trend lines here we are still a bit disconcerting.
Speaker 7: So I think, you know, every sense in the world
Speaker 7: for the Fed to start cutting interest rates now, I
Speaker 7: mean more fundamentally, the Fed did what it needed to do.
Speaker 7: It got us back to full employment with inflation effectively
Speaker 7: at target. So if that they've hit their mandate, then
Speaker 7: why a five and a half percent fund rate target?
Speaker 7: I mean, I think everyone can agree. You know, a
Speaker 7: lot of debate, reasonable debate about you know, what is
Speaker 7: the so called neutral rate, that rate where policies neither
Speaker 7: restraining or supporting growth.
Speaker 8: But it's not five and a half percent.
Speaker 7: So time to get that down and get that normalized
Speaker 7: as fast as possible, because you know, if you keep
Speaker 7: it there, something could break, and when something breaks, very
Speaker 7: difficult to get that back together.
Speaker 1: And this is the reason why recalibrate, recalibrating and recalibrated
Speaker 1: were the words of the day yesterday when we heard j.
Speaker 1: Powell take the stand. A real question when you say,
Speaker 1: concerning trend lines in the labor market, do they fly
Speaker 1: on the face those trends of some of the enthusiasm
Speaker 1: that you're seeing in certain risk markets. Is people project
Speaker 1: this strength to the future, regardless of some of the
Speaker 1: clouds that maybe the FED is responding to.
Speaker 7: Well, the markets investors are doing what they do. They forecast,
Speaker 7: they're forecasting, and they're saying, hey, look, you know, before
Speaker 7: the FED started cutting.
Speaker 8: Rates, before the Jackson Hole speech and j Pell telling.
Speaker 7: Us that he was going to cut rates, it felt disconcerting,
Speaker 7: and the forecast wasn't quite as good as it is today.
Speaker 8: Today forecast is much better. You know, We've got fifty
Speaker 8: base point.
Speaker 7: Rate cut behind us, and clearly a string of rate
Speaker 7: cuts ahead of us.
Speaker 8: So you do the forecast, it feels like a soft landing.
Speaker 7: Therefore, I'm going to go buy stocks and going to
Speaker 7: buy bond So, you know, I think it's a rational response.
Speaker 8: I mean, at the end of the.
Speaker 7: Day, just think about this for a second. The economy
Speaker 7: is really fundamentally in a pretty good spot, and therefore,
Speaker 7: the stock market should be in a pretty good spot.
Speaker 7: So it's not surprising where a record highs and moving higher.
Speaker 7: So I think they're consistent. I don't think they're inconsistent.
Speaker 1: The one note of concern, perhaps you could argue in
Speaker 1: markets right now is this idea that maybe we are
Speaker 1: underpricing or under considering inflation. When you take a look
Speaker 1: at gold prices just hovering near those all time highs,
Speaker 1: and you take a look at the long end of
Speaker 1: the yield curve continuing to increase, particularly in the thirty
Speaker 1: year sector this morning, this idea that maybe we are
Speaker 1: going to see some uptick in inflation. Mark, are there
Speaker 1: signs to you, and I'm looking at housing in particular
Speaker 1: as well as potentially other sectors, are there signs to
Speaker 1: you where you could start to see that inflation start
Speaker 1: to tick up?
Speaker 7: No gold, Lisa, Gold, Really, that's that's what your pointing
Speaker 7: to do.
Speaker 8: Come on, No inflation is back in the bottle.
Speaker 3: I mean.
Speaker 7: The thing that I think the most important to look
Speaker 7: at inflation expectations, and there's lots of different ways of
Speaker 7: looking at that. You can look at the bond market
Speaker 7: and what the implied expectations are go look at the
Speaker 7: surveys that are being done by the New York Fed,
Speaker 7: the Conference Board, inflation.
Speaker 8: Expectations are all the way back in.
Speaker 7: So, you know, as long as that remains the case,
Speaker 7: and I don't see the reason why that's going to change.
Speaker 7: I'm not worried about inflation and housing, absolutely not. You know,
Speaker 7: I don't think that's going to be the issue here
Speaker 7: going forward. I mean, if anything, in the next twelve
Speaker 7: eighteen months, we should see further acceleration and the growth
Speaker 7: of the cost of housing services because there's such a
Speaker 7: long lag between what's going on in the rental markets
Speaker 7: and when that actually shows up in the inflation measures.
Speaker 7: So the next six twelve eighteen months, I think we're
Speaker 7: going to see, you know, further deceleration. And you know,
Speaker 7: in terms of setting monetary policy and interest rates, I
Speaker 7: think you shouldn't even be focused on particularly owner's equivalent rent.
Speaker 7: That's the cost, the policy cost of home ownership. Lots
Speaker 7: of good research coming out of the FED saying that's,
Speaker 7: you know, probably something you shouldn't be focused on when
Speaker 7: trying to set policy, and I totally agree with that.
Speaker 8: So set that aside.
Speaker 7: You know, what inflation is CPI Core Inflation PCEE Cusumer
Speaker 7: Exponditi of inflation. It's it's well below too. It's kind
Speaker 7: of like one and a half to one point six
Speaker 7: one point seven percent, and it's been that way for
Speaker 7: more than a year. So that feels like to me
Speaker 7: the more salient, you know, measure of inflation, and that
Speaker 7: says not only are we you know, at target, where
Speaker 7: we could be beyond target.
Speaker 8: So no, I'm not worried about mark.
Speaker 5: Inflation back in the bottle. As you say, mission accomplished
Speaker 5: basically is what Jerome Powell didn't say, but basically alluded
Speaker 5: to yesterday. The President's going to come out and speak
Speaker 5: tonight at the Economic.
Speaker 3: Club in Washington, d C.
Speaker 5: He can't say that the real economy people are not
Speaker 5: feeling the inflation that you're talking about.
Speaker 8: Yeah, no, absolutely.
Speaker 7: I mean, you know, people are still still remember the
Speaker 7: run up in price back in second half of twenty
Speaker 7: twenty one, twenty two into twenty three.
Speaker 8: I feel like for for staples.
Speaker 7: You know, for for groceries, for ranness, you know, for
Speaker 7: for gasoline prices, and it's very hard to get buy
Speaker 7: that psychologically. In fact, it's very interesting you talk to
Speaker 7: folks and you say, you know, how you feel about
Speaker 7: the economy, seeing not so good? You go, why, It's
Speaker 7: almost like everyone has this one food item that they
Speaker 7: buy on a regular basis that's the litmus test for everything.
Speaker 7: So I was talking to one the social worker, my
Speaker 7: niece the other day, and she's not feeling good about
Speaker 7: the connie Go. Why she's paying a lot more for
Speaker 7: kubacha tea. I think it's called kubatcha tea, so you know,
Speaker 7: or you know it's but yeah, sorry about that.
Speaker 3: I knew I got that.
Speaker 7: Obviously I don't drink it, but you know, it's talking
Speaker 7: about words I teach, of course in classic Wharton and
Speaker 7: talking to this young man and he's saying rom and
Speaker 7: noodle prices. So it's it's like everyone's got this thing
Speaker 7: and I get it. I get it, and so you
Speaker 7: have to be sensitive to that. You can't deny that.
Speaker 7: But I think the way to respond to that is say, hey, look,
Speaker 7: I hear you, and these are the kinds of things
Speaker 7: that we're doing to address, you know, to try to
Speaker 7: get the you know, the.
Speaker 8: Cost of living down for you.
Speaker 7: And I think that's what the president has to do,
Speaker 7: and that's what you know, the candidates have to do.
Speaker 2: Max Sante, thank you, sir, with an old time clip
Speaker 2: that I'll be replying repeatedly over the next several years
Speaker 2: at LISTA.
Speaker 3: Gould really really.
Speaker 2: Max Sandy Mark appreciate it, buddy, Thank you very much.
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