A number of days of peaceful protests, and indeed, looting and riots as well. What we know for certain is last night was absolutely extraordinary in new york. , Governor Cuomo and mayor de blasio agreed to make the curfew sooner this evening. Jonathan which i think makes sense. I think is really sad is what is getting lost in all of the noise , the reason for the protests to begin with. The mission that has been a mission for a long time in this country for more social justice. Sharperhat becomes of vocus in the days to come and we get away from the noise surrounding the riots. Tom ian bremmer is scheduled to be with us. What i find extraordinary is what is the next step here. Theres all this reporting and the cable news frenzy and all of that, but we got to get to 11 00 a. M. This morning, where i believe the president will speak. Lisa people are wondering what if the local government cant get things under control. What we saw last night was not under control. Theres also a question of leadership. We will be hearing from former Vice President joe biden later today. What will the message b, and what will the Circuit Breaker be to stop the pattern of violence we are seeing in cities . Om an historic moment we are here on Bloomberg Television and radio for fridays jobs report, as well. Lew alexander with us a few moments ago with nomura. The background for this is an equity market that got a very much real risk on feel. Do we have a real why for that . Jonathan i dont have a why. There are many reasons i think, but i dont really have one at a moment like this why we shouldnt be higher. Equity futures up 0. 4 . Lets talk about the equity market. We can bring in the chief u. S. Equity strategist of goldman sachs, a good friend of the show, david kostin is with us now. Youve called this one unloved. I would call it hated. This move from the bottom all the way up through this morning. What is your take at the moment . David it is interesting, the definition between unloved and hated. Difference. Portfolio managers certainly welcome a higher market. Most Fund Managers are long bias come along tilted. So a rising market has certainly been welcome. You could argue it is hated because most Fund Managers havent been positioned to participate fully in this recovery. Awill certainly say as strategist, i have been surprised at the magnitude and persistence of the 35 move in the s p 500. Of course, as youve talked about and others, the rally has been so driven by a relatively narrow group of stocks, primarily in technology, that. As helped but the underlying stock hasnt participated as much as the headline index would show. Beenis an issue that has much discussion with clients and Portfolio Managers now because, does one continue to own the leaders of the market, the top five concentration . It has never been this concentrated in history, even back in the tech bubble of 2000. The top five stocks back then were 18 . Now we are talking 1 5 of the market represented by just five companies. We know the drivers diagnostically, and looking forward, the idea of the cyclical recovery, which has certainly been the focus in the last couple of weeks the last couple of days, frankly. But the persistence of that, i am less confident about that. I would focus more strategically on the market leaders, and whether there is more secular growth. Some of those characteristics in my view are more sustainable in terms of their drivers. Jonathan lets talk about that. The reopening rotation has taken place over the last couple of weeks. What is it about that rotation that you dont think is durable . What is it about that that you dont think its sustainable . Issue is rehiring rates in the United States. You have almost 40 Million People applying for initial unemployment over the last nine weeks, and how quickly hopefully quickly and what percentage of those individuals who have been laid off or furloughed will be rehired by their employers. The basic assumption, a lot of people have been making around 80 . That will drive the economic activity. As people leave shelterinplace economies, reopen does that lead to more sustainability . Where you have had a big move already and a lot of these companies, i would answer the question as follows. I prefer and recommend that you facing goodslly contracted with service providers. Company is classified as a goods or services provider. The restart of the economy has not the by industrials, consumer. So we want to own u. S. Companies that are more businesstobusiness goods producing. This would be a lot of companies in the chemical business, the machinery, aerospace. That would be your trade, your tactical trade, but strategically, still looking for stronger Balance Sheets in technology to be offering better returns over time. Tom what is interesting is small caps. Us at ash strategy strategas has an interesting note asking, can they even advance on a relative basis versus large caps . Do you have an affinity for small caps right now . David i do not. The reason for that is strictly on the Balance Sheet. We know the singular risk in this economic dislocation has been a collapse in revenues here in the second quarter, as much of the country was at home, and there wasnt a lot of activity. Therefore, liquidity and Balance Sheet strength were key. Fed came in with many programs in terms of the support in the commercial paper market or in the ig market. Liquidity and solvency are Critical Issues in the uncertain path of the recovery, and therefore, we would rather own companies with smaller Balance Sheets. Theres less flexibility on the financing side. Perhaps thelisa theme of the year is growing disparity, whether it is high and low income households, the companies doing well on the stock market or not doing well, and then the latest from the u. S. Budget department showing that the economy is not going to recover in the United States for nearly a decade from the shocks it just experienced. How long can the u. S. Equity market as a collective remain divorced from this underlying economic reality as put out there by the United States . David as you said, it is the critical question for both society and for the Investor Community about what appears to be clear dislocation between the path of what the economy is going through and where the equity markets. Number one, the equity market is a discounting mechanism, so it looks into the future and brings this forward, though it is clearly anticipating a steady restart, basically implying that theres not a lot of dislocation, whether through the second viral wave, various others. It is a sickly going to be a steady renormalization of the process. Basically going to be a steady renormalization of the process. But you have to understand as well that the stock market is not a pure reflection of the economy. It is definitely much more skewed towards stronger Balance Sheet companies, for example. It is skewed towards businesses which have foreign technology, much less in the housing market. They are not purely representative of one or the other. Theres also, you mentioned the word divorce, some linkage between the earnings of a company and the overall size of the economy. The economy is basically driving revenues, and the expedition is business is getting better. You didnt quite get that in the commentary from Corporate Management in the First Quarter conference calls. They were generally more subdued. Me that thegest to s p 500 at these levels is playing at a trier of at a. Igher level if i think about the risks around this, youre looking at modest upside risk, maybe 5 opportunity, and 5 puts you at 3200. That is basically positioning neutral to light. Investors have not been super embracing a hated rally. They have not participated. On the other hand, you have concerns about the pace of the restart. Can you get all of these people back so that you have a sustainable recovery . At 2750. T puts that somewhat at the downside from a risk point of view. Jonathan i am happy to wrap up an interview when you borrow a phrase of mine. David kostin of goldman sachs, chief u. S. Equity strategist. We appreciate your time this morning. Much more here to come on bloomberg surveillance, live on bloomberg tv and Bloomberg Radio. Every time we have a conversation about the equity market, it seems so divorced from the destruction you see on the screen even here in new york city, up and down lexington and madison avenue. Much more to come on an important moment in the United States of america, and worldwide, for that matter. This is bloomberg. The first word news, im ritika gupta. President trump is threatening to use the u. S. Military to crush unrest. The president has called on governors and mayors to streets. The he is sending thousands of heavily armed military personnel into washington after days of violent protests. After speaking, the president walked from the white house to st. Johns church. There was tear gas in the air that had been used to clear away protesters. Meanwhile, more violence across the country. In new york, looters broke into macys flagship store. A number of other stores were also hit. Theres been a combination of violence and peaceful protests for about a week now, since a black man, george floyd, died in Police Custody in minneapolis. In the u. K. , Prime MinisterBoris Johnson will make a major speech at the end of june to prepare the country for a new reality after the coronavirus pandemic. Chancellor of the exchequer rishi sunak is drawing up options to bolster the economy. There could be an extra tax on sectors that have profited during the pandemic, such as supermarkets and tech companies. And russia and several other opec nations favor extending current production cuts by one month. Theres are set to be eased in july right now. It is not clear if saudi arabia is on board with the idea, but the saudis have been supporting an extra one to three months of cuts. Global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. Im ritika gupta. This is bloomberg. Anathan pres. Trump if city or state refuses to take the actions necessary to defend their property and lives of the residents, i will deploy the military and quickly solve the problem for them. Jonathan the president of the United States on law order. With tom keene, and Jonathan Ferro, alongside lisa abramowicz. We are live on bloomberg tv and radio, getting you set up for your market day. It feels so alien to talk about markets that are positive in a moment like this in the United States. Equity futures are positive 14 points on the s p 500. We talked so much about foreignexchange. Weaker dollar for a fourth straight session. In the bond market, heres the 10 year treasury for you, 0. 68 . The focus right now for many people is not the election. It is social justice. But come november, this will become a bigger and bigger topic as we count down to that national vote. Had the polling yet. Anyone looking at the house come of the president ial race to november and the ability perhaps of the republicans to lose all three of those chambers. Cirilli, ourevin chief washington correspondent. It is remarkable to see any news feed and see the number of officers injured across this nation in the last 12 hours, maybe the last 18 hours as well. We know this president will come to the defense of those police officers, and for that matter, the Law Enforcement community. How will he do it in the 11 00 hour this morning . Kevin the president is anticipated to make remarks later this morning, and it comes following his remarks yesterday. The president and his Reelection Campaign are going to double down on this issue of law order. That is something the president campaigned on in 2016. It is something you are going to continue to see and talk about in the days and weeks ahead. The on that, former Vice President joe biden will be delivering an address from philadelphia later today. This is the first time that the former Vice President has ventured out publicly to deliver an address since the pandemic has started and restrictions were in place. Other things to be on the lookout for, especially as you mentioned how this could potentially change the dynamics of the midterm, social justice will most likely be included in the next round of stimulus. Tom we have a parsing of the national guard, and of course, those images of the army from 1968, and other riots as well. How do they do this in england . Jonathan if the government wants to pass policy, if they have a majority, they can do things quickly. Not quite the same way here, though i hope that on this issue, there is big bipartisan support. In november, i think this is going to be a huge issue for this market that we havent quite got our head around yet. There was one huge hedge for many on wall street, and that is that the senate would remain republican and that the democrats, if they get into the white house, if they keep the house, they would not be able to turn the senate and not be able to reverse some of the policies wall street has enjoyed over the last several years, including that Corporate Tax cut. The risk is that we start to see polling in the coming weeks and i am not suggesting this is suggestsnt that that is not the issue that some people thought would be there. That may be it is on the agenda in a way peopl didnt expect. Tom have we seen polling so far on the events of the last week . Kevin just before coming on air, i took a look at some of the clear politics averages, to jonathans point. The president s Approval Rating has hovered at about 40 , still in line with his base of support. However, his disapproval rate has increased. More of those undecided voters have been trending in the past week or so toward disapproving of how the president has handled this entire situation. , iterms of down ballot races think it is a bit too premature to predict whether the senate would be flipped back into democratic control. I would just note that there are incredibly conservative parts of this country that are in line with how the president has the issueis, with of law order. Now,am not sure that right today, it would be that we can declare that there would be a massive sweep come november. Lisa this is the tension underpinning former Vice President joe bidens talk that he will be giving on racial tensions later today. How does he play this . How does he cater to the law order narrative and agree with President Trump that looting and rioting is not ok, while also expressing compassion and support for the protesters who are out there peacefully . Task i think that is the that biden has been grappling with the entire past several days. In conversations with the campaign, i can tell you that that is something they are incredibly aware of. How do you get to this issue of social justice and criminal Justice Reform in this country while also immediately squashing the violence that has erupted in communities all over the country . I would note, yesterday when i spoke with senator gina smith, i democrats representing minnesota, she noted to outside factors who have been influencing some of the violent protests you have seen, and diluting and rioting in particular. And the looting and rioting in particular. You also heard that from susan rice and democrats. The majority of protests around the country have been peaceful, but the spasm of looting and unify soas sought to many. Yesterday, the d. C. Mayor niro ,owser mayor Muriel Bowser she was asked point blank about how she thought the president is handling this. She didnt use it as an opportunity to criticize the president. She has been very critical of the president , but in that moment, she said my interest is to protect the city, and that is where the president and i share interest. So i think it is an incredibly tense time for how lawmakers on both sides of the aisle are going to have to do this, but this is about if they are able to stop this violence. For biden, he has to hit this out of the park politically because if he doesnt come those independent voters, the president are going to pounce. So the stakes have really never been higher for the president and the 11 00 hour and joe biden later today as well. Jonathan really strong reporting, as always. We appreciate your time. I think kevin touched on something really important. Too often on programs like this, people forget. That speech yesterday from the president , as many people hated that address, many people loved it as well. Thats how divided this country is. Is a polarized nation. He saw that in the body language as the president walked over to st. Johns Episcopal Church yesterday. Jonathan equity futures, heres the story for you, up 14 on the 0. 5500, advanced by percent. Still to come on the program, ian bremmer of Eurasia Group. Alongside tom keene, im Jonathan Ferro, together with lisa abramowicz. This is bloomberg surveillance. You doing okay . Yeah. This moving thing never gets any easier. Well, xfinity makes moving super easy. I can transfer my internet and tv service in about a minute. Wow, that is easy. Almost as easy as having those guys help you move. We are those guys. Thats you . The truck adds 10 pounds. In the arms. Okay. Transfer your Service Online in a few easy steps. Now thats simple, easy, awesome. Transfer your service in minutes, making moving with xfinity a breeze. Visit xfinity. Com moving today. Jonathan from new york city, this is bloomberg surveillance. We are live on bloomberg tv and Bloomberg Radio with tom keene alongside lisa abramowicz. Your equity market is up 13 point, positive. 4 . In the bond market, treasury yields are higher, up around a basis point for much of the session. Up two now on the 10 year. The dollar weaker for a fourth session. Eurodollar advancing. 25 . Can only imagine what it is like to sit at home and flip through the news channels. Look at a channel like this one or the other Business Networks and hear the equity markets are advancing. At the same time, you wake up to the scale of destruction across United States of america through Many American cities. The technological immediate see we have seen is remarkable and startlingly different from the riots of 1964 or the riots of 1968 as well. Onusually speak International Relations with ian bremmer, but today we speak about the international and domestic relations of a better america. All of us are in search of that. We need to fight our way through in the nights and days to find that better america. , you are out on the streets of manhattan as we were before the curfew. What is your reading of history, of how we somehow get beyond looting. Looting does not this did not start with trump. The reason we got trumps because so Many Americans felt like they do not have the opportunity, that the American Dream does not apply to them. Lessons were not learned about 2008, 2009, they were not learned with the occupy wall street movement. Now they have come back in march now theyrm because have come back and much more dramatic form. Unemployment,e of and in part because the least privileged, particularly africanamericans, have suffered the most dramatically on the back of this coronavirus. Ande things are cyclical geopolitics in the economic cycles are lining up in a very negative way. It will take a long time to pick up after this. Am give our younger viewers primer on what max booth alluded , whichhe Washington Post is the similarity of the president s tack to George Wallace in another time or place. How narrow is the president s perspective, or does he speak to a much greater part of america than governor wallace of alabama ever did . Ian i think President Trump speaks to a large percentage of disaffected americans. What is amazing, 25 of unemployment yet trumps Approval Rating landed at about 42 in the average bulls, exactly where he was one unemployment was at record lows and when we were expecting moderate growth in the United States. That tells you something about how much support trump has, how strong it is, and also how fundamentally divided the country is. If you look at trump and his electoral game plan for november like he isot look trying to win over black votes, he would like them to vote, but biden has that boat locked up. He has been trying to pick up voters in california. He will lose the popular vote, probably by several million, but he could win again. The way he wins again, which is ensuring that his base, which is narrower than biden but much more enthusiastic comes to the polls. That on the coronavirus side means do not worry about the virus, do not wear a mask if you do not feel like it, try hydroxychloroquine, maybe it will work, get back to normal. The other side of the equation, it is fear, panic, maybe they will not vote as much. You danger national security, the military on the streets, maybe he can make voting more challenging in places where he does not want to see turnout. That is what the fight will be about in november. You remember when you are at Eurasia Group at the beginning of the year, for the First Time Since i started at the firm in 1998, the top risk was the domestic u. S. Concern. We do not usually talk about the rest of the world because the pluggable risk environment usually comes from the rest of the world. There is the feeling the system is so badly reg against so badly rigged against africanamericans that is a real concern. Tom let me bring in my colleague Jonathan Ferro. Jonathan thanks for that, i appreciate that. Ian and i have spoken many times. Whether we are at an inflection point. Do you think we are . Will we look at this that this was just another moment in time . Ian i do not think we are on the brink of civil war the way some in the Mainstream Media were saying yesterday. We are about to become an authoritarian state. The United States is not hungry. Is not hungary. The level of political dysfunction in the United States is far deeper than any point in my lifetime. I was born in 1969. 1968 in terms of social dissent was nearly as bad. Now you also have the United States entering into an economic depression, and you have a pandemic we are still fighting through. All of these people out on the streets, many of whom were wearing masks, many of whom are not, not engaging in social distancing in new york. Other places where we are seeing theemonstrations pandemic is still expanding, not under control. Thissaid, i do not think is the beginning of the end of the United States domestically. In many ways we will come out of this crisis stronger than our allies because we have the robust tech companies, because of the export boom within energy. Lead this world with soft power, to lead by example, which has been eroding for decades, certainly post the collapse of the soviet union in 1991, that is at the lowest point today in our lifetimes. That will have longstanding and structural effects on what the world looks like the ability of the americans to shape it. Lisa just tying this together, how vulnerable is the u. S. To some sort of international infiltration, be it a cyberattack or disinformation that can affect the election and disrupt the social unrest even more . Ian of course it does not help. At the margins i think the russians and perhaps the iranians and chinese will engage in more propaganda. Remember black lives matter in Group Largest faith the largest Facebook Group was actually a russian site. The damage being done by ourselves. We are the ones who are so divided. We are the ones easy to take advantage of because we do not have our house in order. Tried with aians german election they got nowhere. Ian,han en, always always great to get your thoughts. Ian bremmer of Eurasia Group. Ian touches on something important. Sonts of last week or diminish the u. S. Moral authority on the stage. You saw this with carrie lam and hong kong in last 24 hours. A little jab at the United States about how things are playing out domestically and what United States has said about how things are playing out in hong kong. Tom absolutely. Underscored with his new book. It is not the little things. You see it with the g7 uproar, where Angela Merkel said im not coming in now the president wants Vladimir Putin to, but mr. To go is saying no but trudeau says no. Jonathan that may change into the g8, the g9, the t11, the g 12. What is the goal, is it to bring more people in or is it to bring russia in undercover . Tom i think it is a president with a unique relationship with mr. Putin. He put the dime in the payphone to call mr. Putin on that. Jonathan im not sure that is quite how it works at the white house with the diamond a payphone. Dime in a payphone. Is there a payphone there . Lisa i would argue there is probably not a payphone president has to Vladimir Putin. It is interesting Angela Merkel said she was not going to come to the g7 meeting. It was supposed to be an event showcasing how the world was reopening. It was going to be clouded by ongoing pandemic. There is some sense moving it , especially given the increasingly tense relationship the u. S. Has with rest of the world. Jonathan a sensible answer. Tom . Tom dear point, she is in chart she is in charge of sensible. Point, theserful discussions seem almost esoteric when we are looking at what dr. Bremmer described on the island of manhattan. Jonathan cannot agree more. Smashed windows through many of the big cities. Then you look at the screen in the equity market and it feels like another planet. A momentous moment for the United States of america and yet here we are looking at equity market up by 14 points on the s p 500. We advance. 5 this morning. From new york alongside tom keene, im Jonathan Ferro together with lisa abramowicz. We are live on bloomberg tv and Bloomberg Radio. This is bloomberg surveillance. Ritika with your first word news, i am ritika gupta. President trump has made it clear he is running out of patience over several days of protests. The president called on governors and mayors to dominate the streets, and if they do not do the job he is threatening to deploy the u. S. Military. After speaking at the white house, the president walked across the street to st. Johns church which has minor damage. The leader of hong kong blasted the u. S. For double standards in the way it is dealing with protests. Rie lam pointed out violent demonstrators in hong kong. The government is facing renewed antigovernment protest aimed at Pass Security legislation over the city. The government watchdog warns in inspector generals report found the top 880 thousand hiring people to not file returns from 2014 to 2016. That cost the country in taxes. Recession will be worse than anticipated. The finance minister says the economy will shrink 11 this year. Continue to support probusiness and no tax height to choke off growth. Global news 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. I am ritika gupta. Bloomberg. We spend all this time locked down, socially distance, and then you turn on the tv and you see these Mass Gatherings that could potentially be infecting hundreds and hundreds of people. The people who are exploiting the situation, the looting, that is not protesting. That is not righteous indignation. That is criminality. New York Governor Andrew Cuomo echoing some of the sentiment of the president of the United States on the rising of the looting we have seen across cities, prop america. The situation in the equity market not reflecting that at all. Equity market down nine, we call 10 points up 10 points rather on the s p 500. Bit. De a little alongside tom keene im Jonathan Ferro together with lisa abramowicz. This is bloomberg surveillance. As always i will step away and get ready for the tv program as i counter audience through to the opening bell. In focus, the reopening rotation , the words of lisa shalett of Morgan Stanley. Morgan stanley has been constructive on the bottom. That will be the focus of this conversation as we get people set up for the opening bell later this morning. Tom i think it is amazing what Morgan Stanley has done. They were cautious into the pool down and then mike wilson and his team climbed on board. That will be important to see. Jonathan ferro, 9 00 on Bloomberg Television worldwide. There is a photograph and the failure of lehman brothers. As the camera looks through the windows, there on the computer screen of gentlemen seeing their careers disappear is a letter. , and yes we can talk about gold, but maybe we should talk about the politics of the moment that make up so much of this letter, particularly in the back third. Dennis gartman comes to us from where there is supposed to be no protest, it is not the big city. Dennis, and your neck of the virginia woods, there is protest, isnt there . Dennis it has happened in virginia beach, it is happened in richmond, there been marches in norfolk and hampton. Portsmouth has not had anything thus far, and suffolk has had a peaceful march. All around us, my daughter is in the News Business in raleigh and raleigh has been on fire for the last couple of days. This is frightening and disconcerting and it plays into the hands of the chinese, it plays into the hands of the russians. The chinese will look at this and say if United States of america calls and troops to quell the violence, why cant we do the same thing in hong kong . That is something people have to start paying attention to. Tom dennis, anyone who knows you are one of the first and harshest critics of this president. How does the Republican Party regroup with a one term trap or even a two term trump . Dennis is a serious question, isnt it . With the poll numbers showing a marked decline for the popularity of the president and the possibility of endemic president and even worse a democratic senate, how they will resolve this is beyond me. Thank goodness i do not have to make that decision. It does appear we will have a president who will call in the troops and take a substantive law and order perspective. That will have some support among his 33 holdouts. Well see how that prevails with the other 67 of the population. Im glad i do not have to be the. Ne to make the decision g lisa you would think that given the fact that military troops entering American Cities might be concerning to equity investors, the terrorists are increasing and being added to each day, and yet we are seeing futures higher. This is been a consistent theme. A lot of people point to Federal Reserve action, in particular the increase of the fiscal deficit. How does this play out in markets . Stimulusnd fiscal offset all of the rising tail risks and make you bullish on certain risk assets . The only place i can be bullish modestly as i think the yield curve the short end rates will go lower and that will be beneficial to the banking industry. Other than that, i am hardpressed to come up with a bullish rationale. As teens said the market as keenes said, the market can remain irrational longer than you and i can remain solvent. Monetary policies by the Federal Reserve and other banks i guess were not supposed to fade the fed, but i find it difficult to remain bullish. I applaud those who have done it, but i find no sense in it whatsoever. Lisa dear point, we are seeing the u. S. Yield curve widened betweenially, the gap 30 year and five year treasury yields. Does this indicate some sort of inflation on preterm . Dennis i think it does. That is what the market is beginning to understand. Thus far the monetary expansion policies around the g7, g8, g9, whatever you want to call it, have not been inflationary, but eventually they shall be. I think that is what will happen. The gray market does not hit new lows. The brain market does the grain market does not hit new lows. We are starting to see pressure as far as labor is concerned. I think the yield curve gets more positively sloped. The back end of the curve, i think rates will go above 2 without any difficulty. It is hard for me to understand how weve been under 2 . When i first started trading in the 1970s, the long bond had a 13. 25 coupon. We will go back about 2 or 3 at the short end of the curve. Funds will likely remain close to zero, so the yield curve gets demonstrably positively sloped. Tom dennis gartman, too many themes to talk about. We will get him back on in the coming days to speak to us about the shift in his gold call. He has been hugely successful with gold and yen and gold and euro. An important seachange. We will get him on in the coming days. With this news flow, too hard to get to that call. Dennis gartman, thank you so much. Lisa, what are you looking for as you move through the day . I think the focus very much is on what President Trump says today at 11 20. What joe biden is going to say later. What can be the Circuit Breaker for the violence and how does this bleed through into sentiment for the economic recovery at a time we have very little clarity on the trajectory of the economy going forward. Be interesting to see. Our Washington Team working fulltime on the morning in washington. All that culminating on what are believed to be comments by the president in the 11 00 hour. On the data front, i want to make clear two things. Oil appears to be breaking out. A 40 brent almost within sight, and the other is the dominance of the euro. Euroyen is extraordinary. A 1. 07 asie with well. Stay with us on this simulcast. This is bloomberg. Jonathan from new york city per audience worldwide, good morning, good morning. The content of the open starts right now. Equity futures up 10 on the s p 500. We advance. 33 . On the bond market, in the treasury market, treasury yields creeping higher. Up water two basis points to. 67 . Advances by. 20 5 . A little bit more on that a little bit later. That is the price action. Here is top story. The big issue, and equity market that keeps rally. The market focused on sequential improvement fueled by loser Monetary Policy than we might get from the likes of the ecb. Squeezing positions offsides. The headwinds, there are many. Trade issues, fading fiscal effort in washington,