WEBVTT - Single Best Idea with Tom Keene: Matt Hornbach & Wendy Schiller

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, Radio News.

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<v Speaker 2>Single best Idea and thank you for listening. I got

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<v Speaker 2>a bit of the plague here, so we're going to

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<v Speaker 2>keep this short again today, but it's improving. I'm improving

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<v Speaker 2>every day. Thank you to the good people. This podcast

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<v Speaker 2>brought to you by the medical people of Wild Cornell

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<v Speaker 2>here in New York City. Great show today. I just

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<v Speaker 2>want to point out Nancy Lazarre was on. She's a legend,

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<v Speaker 2>She's the Piper Sandler. Nancy Lazar helped invent modern market

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<v Speaker 2>economics at CJ. Lawrence years ago. And what's really nuanced.

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<v Speaker 2>We're not going to play it for you, but what's

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<v Speaker 2>really nuanced is ed Yard Denny is calling this maybe

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<v Speaker 2>a roaring twenties or things are pretty darn good, and

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<v Speaker 2>Nancy Lazar takes a very different tack. She agrees the

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<v Speaker 2>roaring part of it's still there, but it could turn

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<v Speaker 2>and even in the second half of this year, too

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<v Speaker 2>much more of a slowdown. That's the kind of tension.

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<v Speaker 2>We want to highlight the many different voices we speak

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<v Speaker 2>to on economics and the rest as well. It really

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<v Speaker 2>helps if we know the pedigree of our guests. Matt

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<v Speaker 2>Hornbach came out of Vasser Economics and was the chosen

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<v Speaker 2>one for Morgan Stanley to go to Japan and have

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<v Speaker 2>the privilege of working with the iconic Robert Feldman. Robbie Feldman,

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<v Speaker 2>who's been a wonderful supporter of this show, is the

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<v Speaker 2>English speaking voice of Japan. There's no other way to

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<v Speaker 2>put it. And Matt Hornbach had a privileged youth within

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<v Speaker 2>its broader interest rate strategy at Morgan Stanley of working

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<v Speaker 2>with Robbie Feldman. Here is Matt Hornbach on the choice

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<v Speaker 2>set of the Bank of Japan.

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<v Speaker 3>The Bank of Japan has been very influential, but it's

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<v Speaker 3>not just them, of course. The commercial banks in Japan

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<v Speaker 3>are hugely influential in that marketplace. And I can tell

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<v Speaker 3>you right now what they're hoping for is similar to

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<v Speaker 3>what other investors around the world are hoping for. They're

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<v Speaker 3>hoping for the Bank of Japan to raise rates. They're

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<v Speaker 3>looking to reinvest all of those deposits into higher yielding

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<v Speaker 3>jgb's and so everybody is on the same side of

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<v Speaker 3>that market. They want higher rates, and that ultimately is

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<v Speaker 3>something you need to be aware of.

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<v Speaker 2>Matt Hornback just love that listen to the replay of

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<v Speaker 2>the show today. There's some great conversations and that'll be

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<v Speaker 2>out in three four hours here to think twelve noon,

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<v Speaker 2>one pm today, two hours and fifty six minutes. It's

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<v Speaker 2>a podcast, but it's a whole replay unedited to the show,

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<v Speaker 2>and Hornback was just brilliant on Japan and the effect

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<v Speaker 2>across all of the Pacific rim. This is the second time,

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<v Speaker 2>and I believe three days I've heard somebody I really

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<v Speaker 2>really respect bring up nineteen sixty eight. No, not cream

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<v Speaker 2>and what Eric Clapton did with Disraeli Gears, but much

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<v Speaker 2>more the political tone that we could see this summer

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<v Speaker 2>in the two conventions in Chicago. Wendy Schiller is at

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<v Speaker 2>Brown University, and she made clear, like many others, given

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<v Speaker 2>the protests across America, could we see nineteen sixty eight

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<v Speaker 2>in Chicago again?

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<v Speaker 4>If most people could remember in nineteen sixty eight, which

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<v Speaker 4>most people can't now. I mean, that's the issue is

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<v Speaker 4>that we just don't know our history well enough. But

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<v Speaker 4>certainly the fact that the Democrat Party's convention is in Chicago,

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<v Speaker 4>there will be protests and there will be a police response,

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<v Speaker 4>no doubt, really gives people of a certain age, A

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<v Speaker 4>lot of shutters to think that this will give just

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<v Speaker 4>as it gave Richard Nixon the election in sixty eight,

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<v Speaker 4>that this will give Donald Trump the election. And I

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<v Speaker 4>don't discount that possibility. So they're trying to prepare for

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<v Speaker 4>that as best they can. Remember. You and I both

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<v Speaker 4>know people over the age of fifty five sixty they

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<v Speaker 4>vote the biggest numbers proportionally so that they remember sixty eight.

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<v Speaker 4>So this is a real challenge for the Democrat Party

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<v Speaker 4>coming this summer.

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<v Speaker 2>Some of the uncertainty they are set out by Professor

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<v Speaker 2>Schiller of Brown. Whatever your political persuasi, her grasp of

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<v Speaker 2>our history is just absolutely extraordinary. Our coverage of our

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<v Speaker 2>politics you'll see in many different formats, of course, Joe

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<v Speaker 2>Matthew and Kayley Lines leading balance of power, Amory Horden

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<v Speaker 2>doing a wonderful job with John and Lisa in the

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<v Speaker 2>Morning as well. I do want to point out the

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<v Speaker 2>big take and look for David Gera to ramp up

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<v Speaker 2>his political coverage with a big take as we move

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<v Speaker 2>to the conventions and onto the first Tuesday of November.

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