Speaker 1: Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney, alongside
Speaker 1: my co host Matt Miller. Every business day we bring
Speaker 1: you interviews from CEOs, market pros, and Bloomberg experts, along
Speaker 1: with essential market moving news. Find the Bloomberg Markets Podcast
Speaker 1: on Apple Podcasts or wherever you listen to podcasts, and
Speaker 1: at Bloomberg dot com slash podcast. All right, it is
Speaker 1: FED Day. Bloomberg Radio TV will have complete coverage this afternoon,
Speaker 1: and it's uh, it's all about the tone of the
Speaker 1: interest rate environment going forward that we're gonna be looking
Speaker 1: for from this Fed Reserve Chairman. David Bianco, Chief Investment
Speaker 1: Officer d w S Group joins us. David, I guess
Speaker 1: you know the taperings is well I guess well discounted,
Speaker 1: well understood by the market. What are you looking for
Speaker 1: from Fed chairman Pal this afternoon? Good morning, thanks for
Speaker 1: having me. It's FED Day, which is definitely an exciting
Speaker 1: day here at THEWS and for all investment managers. What
Speaker 1: we're going to be listening to is just thoughts on
Speaker 1: on inflation, of course the transitory versus structural debate, but
Speaker 1: also importantly what's the FED going to do? About it.
Speaker 1: You know, our view is that inflation will decelerate over
Speaker 1: the coming year from what has been very high levels.
Speaker 1: But even though inflation is decelerating, it's still very likely
Speaker 1: going to be above the Fed's target, and therefore the
Speaker 1: FED needs to start continuing to remove accommodation. We're gonna
Speaker 1: hear about tapering today. Uh, the real question is what's
Speaker 1: going to happen to overnight rates. Our view is there
Speaker 1: still will not be a hike in overnight rates until
Speaker 1: the fourth quarter of next year. But let's hear. And
Speaker 1: by the way, this is uh, this is a moment
Speaker 1: where we're gonna get to hear from from the FED chair.
Speaker 1: And after this there's gonna be a lot more. It's
Speaker 1: gonna open the window to hearing whether we get the
Speaker 1: renomination from the President for j. Powell or not. So
Speaker 1: it's a it's when where we all want to hear
Speaker 1: the current chairs mind thoughts, and before we get into
Speaker 1: a little bit more of you know, political considerations about
Speaker 1: the future leadership of the FED. The FED has nothing
Speaker 1: to do with the supply chain crisis or really even
Speaker 1: shipping um issues. The costs that come from that aren't
Speaker 1: anything the FED can control, but it does have a
Speaker 1: mandate for the labor market, and the labor shortage seems
Speaker 1: to be one of the things that people are pointing
Speaker 1: to more and more often, even beyond the chips and
Speaker 1: ships issue. So what do we expect to hear from
Speaker 1: the FED on that? We expect the FED to talk
Speaker 1: about all of these issues, and the FED will rightly
Speaker 1: point out that there has been an inflationary shock from
Speaker 1: the supply side related to the pandemic supply chains, and
Speaker 1: also a little labor scarcity that is getting better but
Speaker 1: getting better slowly. At the same time, the FED should
Speaker 1: acknowledge that there's been monetary effects occurring here too. Cash
Speaker 1: in circulation has jumped tremendously since the pandemic, in part
Speaker 1: to fund the emergency fiscal policy response, and that was important,
Speaker 1: but cash in circulation and even household deposits up a
Speaker 1: lot since the pandemic started. The FED can't do anything
Speaker 1: and really shouldn't fight supply side inflation when it's you know,
Speaker 1: when it's not something structural, But they need to acknowledge
Speaker 1: that there is a demand side, and part of this
Speaker 1: demand side, whether it be government spending or even just
Speaker 1: households being flushed with cash. The Fed does have something
Speaker 1: to do with that now, to keep all this cash
Speaker 1: kind of on on ice and chilled rather than turning
Speaker 1: into hotter money. Well, this is why you see short
Speaker 1: term interest rates beginning to lift up. Where we've got
Speaker 1: the two year year old at about it's gotten close
Speaker 1: to fifty basis points, three year yields at seventy basis points.
Speaker 1: The bottom market seems to be very confident that the
Speaker 1: Fed is going to take actions to contain inflation um
Speaker 1: and and we believe that's gonna play out. Let's watch
Speaker 1: and see what the you know, what leadership the FIT
Speaker 1: is and what they say. Um. But there is still
Speaker 1: inflation risk out there, and we want to protect again
Speaker 1: those inflation risks. And our view is the best way
Speaker 1: to protect against inflation is simply to own the best
Speaker 1: businesses you can. Out of all these concerns about inflation.
Speaker 1: Year to date, after years of this trend being persistent,
Speaker 1: year to date, growth stocks are out performing in the
Speaker 1: SMP um and and and we believe that it's better
Speaker 1: to own businesses that are uh raising their productivity rather
Speaker 1: than raising their price. David, are you share the concern
Speaker 1: that is held by some that perhaps this FED reserve
Speaker 1: is falling behind that the markets getting ahead of them,
Speaker 1: and even some other central banks out there. Well not yet,
Speaker 1: you know, I mean tapering is probably gonna be announced today, um,
Speaker 1: and that is uh going to move out a little
Speaker 1: bit of a faster pace than most of us thought,
Speaker 1: say six months twelve months ago. The Fed we'll be
Speaker 1: talking about how they're thinking about raising interest rates you
Speaker 1: probably late next year, so you know, they're using their
Speaker 1: communication tools. Well, all the bond market, as I said,
Speaker 1: it's beginning to move and do some you know, it's
Speaker 1: a little bit of you know, pulling back accommodation and
Speaker 1: reason to cost the capital uhs. The bond market is
Speaker 1: doing some work for the FED right now. And yeah,
Speaker 1: this is a tough thing that the FED is trying
Speaker 1: to wrestle with. What parts of inflation are really transitory
Speaker 1: and supply side shocks that will fade. And they'd be
Speaker 1: wrong if they were aggressively going to fight versus other
Speaker 1: things that might be more structural, like you know a
Speaker 1: lot of people have gotten into retirement uh since the pandemic,
Speaker 1: and you know, there may be more labor um difficulties
Speaker 1: in the future, and you know, the trade activity, import activity,
Speaker 1: tariffs and so forth. These things are still you know,
Speaker 1: a challenge to uh TO to to keeping inflation low. Also,
Speaker 1: when there is an emergency and you've got low interest rates,
Speaker 1: one of the best things that they can do is
Speaker 1: to promise to keep interest rates low for a long time.
Speaker 1: So they don't want to lose credibility either on keeping
Speaker 1: rates low if they need to in an emergency. David,
Speaker 1: thanks so much for joining us. David Bianco there, chief
Speaker 1: investment officer at DWS Group. This is Bloomberg Now. I
Speaker 1: want to get out to Dr Mary. Dr Anne Marie
Speaker 1: sastry Um. She joins us on the phone from ann Arbor,
Speaker 1: Michigan School. There. I believe it's a place I love
Speaker 1: to go, especially around Thanksgiving to watch Ohio State the
Speaker 1: Buckeyes beat the Wolverines, although I have to say it's
Speaker 1: really depressing every time that happens. She's the CEO of
Speaker 1: am a site, and she's gonna talk to us about
Speaker 1: people getting back to work. I'm sure. First of all,
Speaker 1: I'm joking a little bit with you about Anne Arbor.
Speaker 1: It's gorgeous. I absolutely love it there. Um, I'm sure
Speaker 1: people want to go back to work. Uh. There, but
Speaker 1: it seems like here in New York and out in
Speaker 1: London and over in Berlin, nobody's coming back to work.
Speaker 1: What's happening. What's happening is that people are demanding greater flexibility.
Speaker 1: And again, Paul and Mats, great to be with you
Speaker 1: this morning in the stadium here in Anna is big
Speaker 1: enough to hold lovers and haters so that you guys
Speaker 1: can come and help economy. You can help the up economy. Uh. Yeah.
Speaker 1: That The reality is that people are demanding flexible work
Speaker 1: because a lot of the notions that we had about
Speaker 1: how work needs to be done have been upbended by
Speaker 1: the pandemic. That people realize that, yes, the conduct of
Speaker 1: business was possible online and that has led to greater
Speaker 1: degrees of digitalization, not only because it's more efficient for
Speaker 1: companies to deliver goods and services that way, but with
Speaker 1: much of the logistics and most of the engineering, design,
Speaker 1: etcetera going on online, but also that people appreciate it. Uh.
Speaker 1: The stats are are telling. Thirty four percent of employees
Speaker 1: say that they're more productive now than they were before
Speaker 1: the pandemic, and over half of executives say that average
Speaker 1: employee productivity has improved with online work, So so the
Speaker 1: numbers bear it out. The numbers bear it out. And
Speaker 1: you know, a lot of folks, as I'm sure you're
Speaker 1: where in rear, are concerned about inflation, concerned about wage inflation.
Speaker 1: But again a lot of folks economists will say, don't
Speaker 1: be so worried about it. Yes, Uh, nominal wages are
Speaker 1: going up, but people are becoming more productive and so
Speaker 1: it's less of an issue in this economy. Do you
Speaker 1: think that's a longer term issue? I do, UH. And
Speaker 1: when you look at the most valuable companies in the
Speaker 1: world and and what their models are, their models are
Speaker 1: fewer people with incredible productivity generating great high degrees of
Speaker 1: revenue per person um. If you look at the jobs available,
Speaker 1: the BLS we're of Labor Statistics found that UH may
Speaker 1: smashed every prior record. Nine point two million job openings
Speaker 1: are available in the country. But the economy hasn't ground
Speaker 1: to a halt. Instead, we have fewer people doing more
Speaker 1: of the work. And what that means is that a
Speaker 1: higher degree of training is required in order to allure
Speaker 1: people back to the workforce and get people back working.
Speaker 1: But also people are adapting to digitalization strategies, meaning that
Speaker 1: they are using skills that they've learning college and they
Speaker 1: need to be constantly upskilled. And when you look at
Speaker 1: the data there again they tell the story in a
Speaker 1: very clear way. The vast majority of employees demand flexibility
Speaker 1: their work. And what we see is that scent of
Speaker 1: workers thinks that they will have to up skill in
Speaker 1: order to stay economically viable. So these changes, these disruptions
Speaker 1: are changing the game for employers who find themselves needing
Speaker 1: to to conduct more business digitally and for workers who
Speaker 1: need more skills. So I you know what, I absolutely
Speaker 1: respect that workers want flexibility, um, and that remote work
Speaker 1: can be better for a lot of people. The problem
Speaker 1: is the technology just doesn't seem there yet for every company,
Speaker 1: right so UM this morning, for example, I was trying
Speaker 1: to get in touch with a bunch of economists and
Speaker 1: then with a bunch of tech people, and all over
Speaker 1: Europe they all seem to be out of the office.
Speaker 1: Then I had to try their cell phones try and
Speaker 1: figure out their home phone number. I'm wondering if they forwarded, um,
Speaker 1: you know, they're calls. It just doesn't seem like the
Speaker 1: infrastructure is ready. Sass growth has been enormous, as you know,
Speaker 1: and SAS companies have have kept the economy going. SASS
Speaker 1: being software is a service, correct, yes, and an AMA
Speaker 1: site my company is also a SAS business. We are
Speaker 1: in the in the training space and so we happen
Speaker 1: to know a little bit about this. We're Nasdaq a MST.
Speaker 1: What we've discovered is is a course that people don't
Speaker 1: want to fiddle or fool with three or four different
Speaker 1: platforms in order to engage. They want to be able
Speaker 1: to perform their work functions on one platform. They also
Speaker 1: want to be served materials uh smartly. And if you
Speaker 1: think about it for a second, if you think about
Speaker 1: Spotify or you think about Netflix, nobody has to come
Speaker 1: to your house to show you how to use those apps, right,
Speaker 1: and so business apps need to become more user friendly.
Speaker 1: The unit user experience needs to be streamlined. But in
Speaker 1: the interim, people will use the tools they have now.
Speaker 1: The companies that are going to be very successful are
Speaker 1: going to be the companies that provide those softwares of
Speaker 1: service tools that reduce the friction of business and the
Speaker 1: companies that adopt those tools quickly. Dr Henry Sastry, thank
Speaker 1: you so much for joining us to really appreciated. Uh
Speaker 1: Dr Henry sasstry CEO of emassites on the phone from
Speaker 1: an arbor, Michigan, Home of the Big House. UM, absolutely,
Speaker 1: absolutely love the Big House. It is a game this year.
Speaker 1: Wears it in an arbor, Columbus. I do not. I
Speaker 1: assume it's in an arbor, because otherwise I'm going home
Speaker 1: for thanks you. My brothers would have gotten me tickets
Speaker 1: at the Horseshoe. The Big House is loud and it's
Speaker 1: a lot of fun until, like I said, they lose.
Speaker 1: Then everyone is super bummed out, which happens usually, which happens.
Speaker 1: All right, let's see if they can turn it around
Speaker 1: this year. Let's talk a little bit about what you
Speaker 1: can get from fixed income in the world of high yield.
Speaker 1: We have Brent Pink with US Global Co had of
Speaker 1: high yielded Aviva Investors and I guess, um, you know,
Speaker 1: the question is is the return worth the risk? Um?
Speaker 1: And and some people, a lot of people have been
Speaker 1: answering yes lately. What do you think you know? High
Speaker 1: yield at four percent in historical context does not seem
Speaker 1: like a lot. But we're also in an extremely low
Speaker 1: default environment. The support that the economy got from the
Speaker 1: Federal Reserve last year has really eliminated a lot of
Speaker 1: the downside to high yield. So while yields from a
Speaker 1: long term perspective look relatively low, there's also very few
Speaker 1: alternatives in other asset classes you can get that sort
Speaker 1: of income from. So we still think the asset classholds
Speaker 1: of value for investors that are are income focused or
Speaker 1: or looking for a steady stream of coupons going forward.
Speaker 1: All right, Brent, how far out on the risk curve
Speaker 1: are you guys going these days for returns? Because when
Speaker 1: I was in the market four percent, we would have
Speaker 1: kicked that down out of the room. Um, So if
Speaker 1: you're looking for a return, how far down on the
Speaker 1: curve are you guys going. Well, we play across the
Speaker 1: capital structure, so we will go from triple B even
Speaker 1: down to triple C. We think there's some pockets of
Speaker 1: value right now. One of the most popular trades in
Speaker 1: the market today are rising stars. So these are the
Speaker 1: companies rated double B currently but on their way back
Speaker 1: to triple B or investment grade rated. We think that
Speaker 1: this is a very popular trade. So some of the
Speaker 1: upside has been squeezed down already, but we do think
Speaker 1: that there's a lot of momentum behind these rising stars
Speaker 1: that will continue for the next two years. So we
Speaker 1: think that's the particularly of interest. We also are seen
Speaker 1: an increase in LBO activity that will bring a lot
Speaker 1: of triple C rated bonds to the market. We think
Speaker 1: you have to be very selective in this portion of
Speaker 1: the high yeld market, but we do think there are
Speaker 1: some interesting individual credit opportunities within that lower quality tire.
Speaker 1: Well kind of economic cycle assumptions do you have to make? Well,
Speaker 1: you know, right now you look at GDP consensus growth
Speaker 1: estimate at four percent, and that's actually a really healthy
Speaker 1: environment for high yield companies hw YOUELD bonds typically do
Speaker 1: well when the economy is growing in positive territory but
Speaker 1: not overly hot, and that's the environment where you really
Speaker 1: get that restrictive or tightening FED policy that can dampen
Speaker 1: down economic growth. So this is similar the sweet spot
Speaker 1: for high yield here, this low but positive growth environment.
Speaker 1: Brent in a new issue market, do you guys on
Speaker 1: the buy side have any leverage or these When I
Speaker 1: go to the covenant section of x y Z widget manufacturer,
Speaker 1: it's basically just a couple of pages. Yeah, kind of
Speaker 1: quality is certainly deteriorated over the years, and you're right,
Speaker 1: the power kind of went to the issuers. But we
Speaker 1: have seen some evidence of discipline from investors right now.
Speaker 1: There's a few uh new issues on the on the
Speaker 1: docket right now that that have struggled from a covenant standpoint,
Speaker 1: but price where the investors and the issuers have not
Speaker 1: come to terms. Um, maybe there's some creative structuring or
Speaker 1: covenant agreements that can be met, but we are seeing
Speaker 1: some signs of discipline from the market. It's not anything
Speaker 1: goes at this point. So when do we get back
Speaker 1: to a world where high yield is paying out seven
Speaker 1: or eight or ten or twelve percent? I mean, seeing
Speaker 1: three or four percent on high yield coupon is just nuts. Yeah,
Speaker 1: it's kind of a misnomer to call it high yield
Speaker 1: when it's only four percent. Really, I think the less
Speaker 1: inflations at five because then you're getting nine really right, Yeah, Well,
Speaker 1: you know, you could you could make the case the
Speaker 1: real yield on on high yield right now is negative.
Speaker 1: I think for yields to go back to seven, we're
Speaker 1: really going to need to see an economic cycle were
Speaker 1: significantly higher interest rates. Right now, spreads are credit spread
Speaker 1: as about three hundred basis points above treasury, So if
Speaker 1: you did see a meaningful increase in interest rates, you
Speaker 1: would see that carry through to credit as well. Now,
Speaker 1: for investors that are concerned about interstrate risk, high yield
Speaker 1: historically has had a negative correlation to interst rate, So
Speaker 1: it is one asset class within fixed income that historically
Speaker 1: has been able to weather a rising rate environment. Bright
Speaker 1: what's the sector you guys like the most right now? Well,
Speaker 1: if you look at the pace of fundamental improvement, energy
Speaker 1: is growing the fastest. We've had a significant recovery. We've
Speaker 1: also cleansed a lot of the worst players in the
Speaker 1: high yeld market through two thousand and fifteen, and early
Speaker 1: during the pandemic we saw a lot of defaults within
Speaker 1: the energy sector. So I think the credit quality there
Speaker 1: is better than it was historically. It still offers a
Speaker 1: premium to the overall market, and given the pace of
Speaker 1: fundamental improvement, we do think that that is one sector
Speaker 1: that we'll see uh a large amount of rising stars
Speaker 1: over the next two years. So that's one particular area
Speaker 1: of the market we find attractive today. All right, Brent,
Speaker 1: thank you so much for joining us. We appreciate, always
Speaker 1: love getting your perspective on the high old market as
Speaker 1: high as it can possibly be. I guess at this
Speaker 1: point it four percent again, like Matt say, not kind
Speaker 1: of the old days. Seven eight nine, All right, Brent
Speaker 1: fit Global, cohead of the high led biz at Aviva Investors,
Speaker 1: joining us on the phone from New York, and again,
Speaker 1: Um still thinks he sees some opportunity out there in
Speaker 1: a high yield space. Credit spreads remain pretty tight, but
Speaker 1: credit quality is surprisingly good given all the liquidity we've
Speaker 1: gotten from the Federal Reserve and from fiscal stimulus, So
Speaker 1: the credit quality has been pretty solid. They're good. Getting
Speaker 1: his perspective on the high old market a little more
Speaker 1: coming up, This is Bloomberg. Well these fed days. I
Speaker 1: always need to know what am I supposed to look
Speaker 1: out for in the release, what am I supposed to
Speaker 1: focus in on the press conference? I'm not sure because
Speaker 1: it kind of changes kind of period to period. But
Speaker 1: Danielle de Martino booth absolutely on top of that, and
Speaker 1: we're glad to have her here. Danielle de Martino both
Speaker 1: CEO and chief strategist for quill Intelligence. Danielle, thanks so
Speaker 1: much for taking a time on what I know is
Speaker 1: a busy day for you. What should I be looking
Speaker 1: out for from uh FEDS released today in the commentary? Well, um,
Speaker 1: you know you're seeing, first of all, you're seeing rents
Speaker 1: rise at the fastest pace since two thousand one in
Speaker 1: the CPI. So we're no longer waiting to see the
Speaker 1: whites of the eyes of housing inflation manifest in the
Speaker 1: inflation data. It has past tense. That's a sticky form
Speaker 1: of inflation. And we're obviously seeing that the port situation,
Speaker 1: shipping freight, all of this is not going away anytime soon.
Speaker 1: Unraveling this supply chain disaster is going to take time.
Speaker 1: So I think investors are going to want to know,
Speaker 1: how are you planning if inflation continues to accelerate from here,
Speaker 1: How are you planning to do a hurry up taper?
Speaker 1: What does your what? What? What? What? What does your
Speaker 1: plan be on the taper such that you're going to
Speaker 1: be able to get to raising interest rates more quickly?
Speaker 1: And I think that that that is rightly the first
Speaker 1: question that should be on investors mind. You know, the
Speaker 1: labor issue seems to be even a bigger deal for
Speaker 1: a lot of companies than UM Shipping and Supplies. We
Speaker 1: had a story on Dear that even after UM the
Speaker 1: company came back with bonuses a ten percent raised now
Speaker 1: five percent and three years five percent in five years.
Speaker 1: Even then the workers still said, no, we want more UM.
Speaker 1: Is this at some point going to become a concern
Speaker 1: for Jerome Powell? You know? This is Uh, this is
Speaker 1: a huge issue and worker empowerment is a big deal
Speaker 1: right now. Uh what is what? What's problematic for j.
Speaker 1: Powell is that even though we saw a nice dead
Speaker 1: cat bounce in auto sales yesterday, for the month of October,
Speaker 1: they're down from eighteen point five million, eighteen point three
Speaker 1: million in April to thirteen million in October. That's a
Speaker 1: quick slowdown. We're seeing with this Zello business that all
Speaker 1: of a sudden, you know that that homes are not
Speaker 1: flying off shelves for any price. We're seeing the ability
Speaker 1: for you know, to buy big ticket items. They're really
Speaker 1: pushing back, and it's being led. If you look inside
Speaker 1: the University of Michigan data, it's being led by the
Speaker 1: highest income earners. Those who are account for sixty percent
Speaker 1: of car sales just to give you one example. So
Speaker 1: he Powell knows he's tightening into a slowing economy, and
Speaker 1: he's probably betting that this worker empowerment movement is going
Speaker 1: to subside at some point as the economy slows, and
Speaker 1: it will. But at the moment, as you say, it
Speaker 1: is very, very difficult for to be companies hiring or
Speaker 1: dealing with union negotiations. Like howing me imagine what the
Speaker 1: long long shore uh renegotiations is going to be on
Speaker 1: in Long Beach End in Los Angeles come the end
Speaker 1: of June. That could make things even I mean, it
Speaker 1: could be a biblical union strike. Um. Well, I wondered,
Speaker 1: how do they measure full employment? Because if we're not
Speaker 1: there now, um, with the worker shortages that we're seeing,
Speaker 1: with these huge wage increases that um the unions are
Speaker 1: allowed to demand, then what is full employment gonna look like?
Speaker 1: It's really hard to say. I think that there is
Speaker 1: a lack of appreciation for the simple amount of money
Speaker 1: that companies have thrown into I T. Spending, and that
Speaker 1: means that the automation that we always knew was going
Speaker 1: to arrive has been accelerated. So there's a good chance
Speaker 1: that that we are already at full employment today, and
Speaker 1: that there's going to be four million or some odds,
Speaker 1: so four and a half million, four million jobs that
Speaker 1: just don't come back. They've been automated out of existence.
Speaker 1: We could be at full employment. We had millions retire
Speaker 1: early as well. So it starts to become very problematic,
Speaker 1: very fast. Danielle m about third thirty seconds. What's the
Speaker 1: risk that federal the feder Reserve just is too late,
Speaker 1: It just gets passed by either by the market or
Speaker 1: by other central banks. I think that the FED is
Speaker 1: already so far behind the curve it's not even a
Speaker 1: discussion that could be had. I think most beneficials know it,
Speaker 1: and that's why we haven't heard boo out of rich
Speaker 1: clarative for so long. Interesting, all right, Daniel D. Martino
Speaker 1: bou thank you so much for joining us. We always
Speaker 1: appreciate its specially on FED day. Daniel D. Martino Boots,
Speaker 1: CEO and chief Strategies at Quill Intelligence, former advisor at
Speaker 1: the Dallas feder Reserve, which again is another great reason
Speaker 1: why I we love to talk to her specifically on
Speaker 1: these FED days. And she's also a Bluemerk opinion contributor.
Speaker 1: So very very busy down there and so at it
Speaker 1: again today. I guess is if Danielle is suggesting um inflation, inflation,
Speaker 1: inflation is something that you know, I think investors are
Speaker 1: gonna want to hear the Chairman's view on inflation and
Speaker 1: how the FED is going to react. Yeah. Absolutely, Um,
Speaker 1: it will be interesting to see, especially what the FED
Speaker 1: can do if we are headed into a slowing economy,
Speaker 1: you know, because um, the kind of inflation that we're seeing,
Speaker 1: it doesn't look like monetary policy is going to be
Speaker 1: able to to stop it. It's a different there are
Speaker 1: different issues that are the roots. So uh, what can
Speaker 1: Pale do other than keep um financial conditions? Yeah, uh
Speaker 1: lacks for longer. Thanks for listening to the Bloomberg Markets podcast.
Speaker 1: You can subscribe and listen to interviews with Apple Podcasts
Speaker 1: or whatever podcast platform you prefer. I'm Matt Miller. I'm
Speaker 1: on Twitter at Matt Miller put on Falsewheney. I'm on
Speaker 1: Twitter at pt Sweeney. Before the podcast, you can always
Speaker 1: catch us worldwide at Bloomberg Radio. M