WEBVTT - Single Best Idea with Tom Keene: Neil Dutta & Claudia Sahm

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<v Speaker 1>Bloomberg Audio Studios, podcasts, radio news.

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<v Speaker 2>The single best idea is that the team gets some sleep.

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<v Speaker 2>Starting at seven o'clock. Eight o'clock. Last night, our world

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<v Speaker 2>was blown up by the announcement by the President of

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<v Speaker 2>a selection as a nominee for Federal Reserve Chairman. This

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<v Speaker 2>is a big deal. I mean, you go back to

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<v Speaker 2>nineteen fifty one and President Truman and McChesney Martin. The

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<v Speaker 2>basic idea here is this is rareer than you think.

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<v Speaker 2>We don't see this every four years. We don't see

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<v Speaker 2>this every two years. We see this once in a

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<v Speaker 2>great while, like Alan Greenspan in nineteen eighty seven, and

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<v Speaker 2>here presumably with Kevin Warsh we'll see an announcement from

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<v Speaker 2>the President and then what seems to be a fractious

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<v Speaker 2>Senate Banking Committee process. We chose to get many different perspectives.

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<v Speaker 2>Our wonderful guests were a lead. Today. There were guests

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<v Speaker 2>that were canceled. We literally had one guest who couldn't

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<v Speaker 2>get to us because the trains were stuck under the

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<v Speaker 2>Hudson at River in this brutal cold. We reached out

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<v Speaker 2>to Neil Dudda of Renaissance Macro. We spoke to Neil

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<v Speaker 2>Dudda about this moment at hand. He is critical of

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<v Speaker 2>Kevin Walsh.

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<v Speaker 1>Was it something I said? I don't think I shuttered Rob.

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<v Speaker 1>You know, look, well he is everyone's least favorite candidate.

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<v Speaker 1>I mean, I mean, to me, look, the main criticism

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<v Speaker 1>I have of Kevin Walsh is lack of judgment, okay,

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<v Speaker 1>because the performance his performance during the financial crisis was

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<v Speaker 1>not a particularly good one, and I think you could

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<v Speaker 1>say arguably that it is disqualifying. I mean to be

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<v Speaker 1>that concerned about inflation at a time when the unemployment

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<v Speaker 1>rate was rising very rapidly, you know, kind of strange credulity,

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<v Speaker 1>and in the year since. Everyone makes bad calls, Okay,

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<v Speaker 1>I mean, I've been a market treat economists for a while.

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<v Speaker 1>I've made bad calls. Everyone makes bad calls. The issue

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<v Speaker 1>is when you make bad calls and you're always wrong

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<v Speaker 1>in the same direction that to me was open minded.

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<v Speaker 2>This Neil Duneer there with more of a long term perspective.

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<v Speaker 2>Claudia sam with us and all of our work for

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<v Speaker 2>us on jobs Day, she's with us at eight thirty,

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<v Speaker 2>right when those headlines come out. But she's far more

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<v Speaker 2>an esteemed person with FED experience, with a real understanding

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<v Speaker 2>of the challenges of success and failure at the FED.

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<v Speaker 2>And she was really humble today about the criticism mister

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<v Speaker 2>Worsh has had of her Federal Reserve system. Here is

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<v Speaker 2>Claudia Sam.

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<v Speaker 3>I was at the FED when Kevin Worsh was a governor.

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<v Speaker 3>I've watched him in action as a policymaker. I've certainly

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<v Speaker 3>followed his comments since then. I mean, there's a lot

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<v Speaker 3>about his track record and his recent comments about what

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<v Speaker 3>we see in the economy and what's appropriate for interest rates.

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<v Speaker 3>All that said, I think the conversation about Kevin Worsh,

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<v Speaker 3>and again today he got the nomination. He's not the

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<v Speaker 3>FED chair yet.

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<v Speaker 2>Claudia Sam looking forward to the Senate Banking Committee process

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<v Speaker 2>that we will see in the coming weeks. We're on

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<v Speaker 2>podcasts on Apple, on Spotify, on YouTube podcasts. A single

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<v Speaker 2>best idea