Speaker 1: Bloomberg Audio Studios, podcasts, radio news.
Speaker 2: Single best idea, which is visit Houston.
Speaker 3: Just got back from a wonderful moment with the Houston
Speaker 3: CFA Society, their celebration their seventieth anniversary of Financial analysis,
Speaker 3: and of course all the bustling energy and medical businesses
Speaker 3: of Houston. A much much more extraordinary flying out of Iah,
Speaker 3: the Houston Airport, the Bush Airport, just you see the
Speaker 3: warehouse and distribution juggernaut that we in the East never see.
Speaker 3: Absolutely extraordinary. And that goes to what I'm really focused
Speaker 3: on now and in the coming weeks, which is the
Speaker 3: supply supply line study of our trade dynamics. Mister Besson
Speaker 3: and mister Kreer had a press conference today talk and
Speaker 3: alluding to that with China a bit, but I think
Speaker 3: going forward, supply line dynamics will be something really to
Speaker 3: talk about. Really interesting day on the show. Christopher Whalen
Speaker 3: joined us from whalan Global, and he's out with his
Speaker 3: second edition of his book, Inflated. It's a musty of
Speaker 3: sprawling history of the American financial system. Here's Chris Whalen
Speaker 3: on the moment at hand.
Speaker 1: It's almost like we're back to December twenty eighteen when
Speaker 1: Jerome Powell almost ran the ship aground. You recall they
Speaker 1: pivoted very quickly in January nineteen and started easing. That's
Speaker 1: when they went to this ample reserve policy that they've
Speaker 1: had since then. And I think that what we're worried
Speaker 1: about is that the model that the FED uses to
Speaker 1: judge whether liquidity is adequate or not is based on GDP,
Speaker 1: which has nothing to do with anything. Liquidity is highly compartmentalized,
Speaker 1: does not flow one way and another, so you really
Speaker 1: don't know until there's not enough. Chris, I think that's
Speaker 1: where we are today.
Speaker 3: Chris Whalen, we're gonna get him in the studio and
Speaker 3: celebration of his new book, Inflated as well. Stephen off
Speaker 3: with us today with Federated hermy as we talked to
Speaker 3: him about this market. All the bank results coming in
Speaker 3: so good. Allison Williams, thank you so much for careful
Speaker 3: analysis from Bloomberg Intelligence here of Federated on our bull market.
Speaker 4: It's just set up tom right now in a very
Speaker 4: attractive way these stocks. And we'd even lean into the
Speaker 4: regional regional banks because they have not fully participated yet
Speaker 4: and there's catch up trade there. But you know, you've
Speaker 4: got like a perfect world here. You know, the yeal
Speaker 4: curve is steepening. That's always good, particularly for the regional banks.
Speaker 4: The economy is reaccelerating. You got Scott Bessetting Company focused
Speaker 4: like laser beams on lowering the mortgage rate, which is
Speaker 4: artificially high relative to the tenure. They're going to do that.
Speaker 4: The housing sector takes off. That really helps the regional banks.
Speaker 4: So you've got loan growth improving. You've got all this
Speaker 4: inbound investment happening that requires financing.
Speaker 2: That's more loan.
Speaker 4: Growth, and the big banks, of course, as we're seeing,
Speaker 4: have m and a animal spirits picking up IPOs.
Speaker 1: It's just like.
Speaker 4: Everything at once against a backdrop where these stocks are.
Speaker 4: You know, you can make the case are cheaply valued.
Speaker 4: They're certainly cheaply valued versus the market, and even on
Speaker 4: a relative historical basis, that cheapness is still pretty reasonable.
Speaker 2: So it's a kind of perfect storm. Steve author Federated,
Speaker 2: I would point out that with his analysis, you don't
Speaker 2: get to participate unless you're in the market before the event.
Speaker 2: There's not enough discussion of that.
Speaker 3: Outh Chivarone and the team at Federated and said, you've
Speaker 3: got to play, you've got to be invested for moments
Speaker 3: like this. Got much more Coming up again tomorrow, the
Speaker 3: conversation with Governor Waller. That'll be in the nine o'clock
Speaker 3: hour Eastern time. On podcasts, We're on an Apple, on Spotify,
Speaker 3: on YouTube podcasts. It's single best idea