WEBVTT - Single Best Idea with Tom Keene: Dan Williams & Tiffany Wilding

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

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<v Speaker 2>The single best idea and the single best idea this

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<v Speaker 2>week came from Alexis Christopherus. What a great addition to

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<v Speaker 2>the show. Lisa Mateo's gone off to the weekends Bloomberg

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<v Speaker 2>this weekend with David Gerr and the team, and that

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<v Speaker 2>saw Lisa yesterday. She's doing great. Look for that on

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<v Speaker 2>the weekend, Saturday and Sunday, starting it I think seven

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<v Speaker 2>am in the morning. Alexis Christophus nailed it this week.

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<v Speaker 2>She said, it feels like two weeks and that's the

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<v Speaker 2>way it's been and the only thing that's kept the

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<v Speaker 2>four of us together, Michael Barr, Alexis, Paul Sweeney and

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<v Speaker 2>myself is just an incredible team. I mean, it's just

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<v Speaker 2>been overwhelming. And it's not just in New York. It's

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<v Speaker 2>not just a Broadway and excuse me at Lexington and

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<v Speaker 2>fifty ninth Street. It's worldwide. And the nexus of this

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<v Speaker 2>is Ethan Broader in Tel Aviv and Dan Williams in

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<v Speaker 2>Jerusalem with a summary into the weekend. A reporter Dan

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<v Speaker 2>Williams in Jerusalem.

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<v Speaker 1>Many Israelis who saw this war with Iran as effectively

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<v Speaker 1>the crescendo, the cresting of the more than two and

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<v Speaker 1>a half year war across the region, which began in

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<v Speaker 1>Gaza on October seventh, twenty twenty three, with that surprise

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<v Speaker 1>attack by Hamas, one of Iran's proxies in the region,

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<v Speaker 1>and then spilled over into several fronts, into smaller rounds

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<v Speaker 1>of direct engagement with Iran, and then into this almost

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<v Speaker 1>six week war with Iran supported by the United States,

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<v Speaker 1>waged in concert with the United States. Had hoped that

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<v Speaker 1>this would bring something conclusive, perhaps even a fall of

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<v Speaker 1>that regime. Of falling the regime or change in government

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<v Speaker 1>is really the only way to guarantee a long term

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<v Speaker 1>change in disposition of a country, of a people at

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<v Speaker 1>peace elements and that sort of thing.

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<v Speaker 2>Dan Williams more than anyone I know, he knows the

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<v Speaker 2>northern border of Israel has up to the Levant River

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<v Speaker 2>going from east to west into the Mediterranean, about twenty

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<v Speaker 2>miles north of the border. Dan was just incisive on

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<v Speaker 2>attention that we see into the weekend between Israel and

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<v Speaker 2>has thanks to Margaret Brennan of CBS Facination for her

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<v Speaker 2>comments there as well. She and her team have been

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<v Speaker 2>just brilliant on this of course, that's on Bloomberg Radio

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<v Speaker 2>Sunday afternoon at two pm for Washington, New York, and Boston.

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<v Speaker 2>What's the arch debate out there right now between the

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<v Speaker 2>guest amen, the rumors, the unknown, the uncertainty. There's a

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<v Speaker 2>school of thought that this will not whiplash, but this

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<v Speaker 2>will be cured, solve, tempered, and we will see price up,

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<v Speaker 2>yield down. The economist Tiffany Wilding of PIMCO.

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<v Speaker 3>We still think high quality bonds provide a lot of

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<v Speaker 3>value safe store of account here. And the reason is

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<v Speaker 3>because if this does turn into a more prolonged disruption,

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<v Speaker 3>the ceasefire doesn't hold. You know, we really think global

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<v Speaker 3>recessionary risks could increase there and the bond portfolio will

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<v Speaker 3>We'll probably do better in that scenario. At the same time,

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<v Speaker 3>if you do get a resolution, you get energy prices falling.

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<v Speaker 3>You know, under our core forecast, with energy prices falling,

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<v Speaker 3>you could see headline inflation moving below the Fed's two

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<v Speaker 3>percent target later this year, early twenty twenty seven. Really,

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<v Speaker 3>so that's the other thing that we have to keep

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<v Speaker 3>in mind here, you know, that will allow the Fed,

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<v Speaker 3>we think, to cut interest rates back towards neutral.

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<v Speaker 2>Yeah, my team hates it. When I stopped the show

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<v Speaker 2>when Tiffany Wilding said that folks yields back quote under

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<v Speaker 2>three percent, under two percent, we stopped the show. That's

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<v Speaker 2>a huge statement. I want to make clear what we

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<v Speaker 2>try to do. We don't give our opinion, but what

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<v Speaker 2>we're trying to do. Our single best idea is when

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<v Speaker 2>somebody says something really outlier, we got to sit on

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<v Speaker 2>it and talk about it. Continue that theme into next

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<v Speaker 2>week and of course earnings next week as well. Tiffany

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<v Speaker 2>Wilding there from PIMCO on podcasts, on Apple, on Spotify,

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<v Speaker 2>on YouTube podcasts. It's single best idea.