Speaker 1: Bloomberg Audio Studios, podcasts, radio news. The single best idea
Speaker 1: which is to avoid this historic storm, Rob Carroll, and
Speaker 1: it was fabulous today. He made very clear that the
Speaker 1: elements of the storm, the foundations of the storm, are
Speaker 1: all the way across the nation to Catalina Island in
Speaker 1: Los Angeles. I was stunned by that. But that's why
Speaker 1: you know he's so famous. Is the linkages here of
Speaker 1: how you get a polar vortex, or how the winds
Speaker 1: affect Abilene, Texas, and on and on. We thank Rob
Speaker 1: Carroll and for terrific coverage. You'll do much more here
Speaker 1: in the coming days as the storm evolves over six, seven,
Speaker 1: eight days, and then even after that some historic cold
Speaker 1: is well. Rebecca Patterson showed up with the counts on
Speaker 1: foreign relations her recent essay in the Financial Times, the
Speaker 1: senior Fellow from CFR, Rebecca Patterson on the dollar at
Speaker 1: this moment.
Speaker 2: I think the important thing about the dollar is timeframe
Speaker 2: and degree. You know, a lot of the media coverage
Speaker 2: this week with the threats of possible military intervention to
Speaker 2: acquire Greenland against its will and then the backing off it.
Speaker 2: You saw some market reaction, but it was really just
Speaker 2: a one day sell America and everyone saying, well, gosh,
Speaker 2: no one sold treasuries. Everything's fine, it's all hype like, No,
Speaker 2: it's not. It's time frame. What we're seeing is a
Speaker 2: slow erosion of confidence in dollar based assets. This is
Speaker 2: something that will play out over years, not a day
Speaker 2: or a week or a month. But it's happening.
Speaker 1: Just brilliant, and I want to frame there is. Rebecca
Speaker 1: Patterson correctly said the lot of the reporting was treasures
Speaker 1: didn't do much and the answers they did. A question
Speaker 1: is where in the curve short term market was very stable.
Speaker 1: That's q FED influence the economic data that Michael McKee's
Speaker 1: so good at. But farther out there was some movement
Speaker 1: in the thirty year bond. Some people would say it
Speaker 1: used to be the benchmark thirty year bond yield up,
Speaker 1: price down, began to approach five percent. Now it's turned
Speaker 1: around from that to a four point eighty six I'm
Speaker 1: guessing at right now. But out in the curve, even
Speaker 1: you know Japan, that's true, but even in the US,
Speaker 1: out in the curve, you can watch there as almost
Speaker 1: a litmus paper of what the bond vigilantes are thinking
Speaker 1: about Rebecca Patterson is thinking about tariffs. Martha Gimble just
Speaker 1: phenomenal at the Budget lab at yelled lots of good
Speaker 1: work on tariffs recently. What would be the shock from
Speaker 1: the Supreme Court the outcome for your favorite tariff.
Speaker 2: I always look at the intersection of geopolitics, the economy,
Speaker 2: and financial markets because they all influence each other. One
Speaker 2: of the things I'm looking at now ahead of the
Speaker 2: Supreme Court decision about US tariffs is if we reduce
Speaker 2: the tariffs, take them off, shift them around, how does
Speaker 2: that translate into the affordability narrative in the United States?
Speaker 2: If tariffs are removed, do we actually see any price
Speaker 2: change that benefits you as consumers? How does that play
Speaker 2: out in the midterm election. So again, as looking at
Speaker 2: all these connections.
Speaker 1: Rebecca Patterson, I really want to say some of that's
Speaker 1: the so called think tanks that I lean on every day.
Speaker 1: I mean, all of us are reading them voraciously here
Speaker 1: at Bloomberg. But I really want to do a shout
Speaker 1: at Adam Posen and the Peterson Institute just on fire
Speaker 1: at recently David Wessel writing up a storm at the
Speaker 1: Brookings Institute as well. In Rebecca Patterson providing leadership at
Speaker 1: the Council on Foreign Relations. Mister Frohman and company have
Speaker 1: just done an outstanding job staggering from story to story
Speaker 1: in our international relations. And again look to Bloomberg Opinion
Speaker 1: Lionel Laurent. I'll get that out on Twitter and LinkedIn.
Speaker 1: Laurent particularly good off the Paris desk today, on all
Speaker 1: that's going on on podcasts on Apple, on Spotify, and
Speaker 1: on YouTube podcasts. It's single best idea