And that because your point on bonds. Right now we have the 10 year yield backing up six basis points on the week, up 14 basis points. The worst week for bonds going back to august. Bonds selling off. That pushes yields higher on the idea there is some kind of recovery happening around the stimulus. It is going to be interesting to see whether or not the 10 year yield can break out of this range. David we will have to watch that carefully. We knew the job numbers would not reflect all of the covid surge, but we did not expect them to be showing downward trend before the covid came roaring back. To take us through what the numbers may indicate we welcome douglas holtzeakin, president of American Action forum. He earlier served as director of the Congressional Budget Office as well as chief economist under president george w. Bush. Great to have you back with us. Disappointing on the downside. How much should we read into that . Douglas the real significant piece is on the Household Surv
Whether or not at this point in the economic pandemic cycle they need to spend that bullet. They will be doing some things that are more accommodative. It will be difficult for them to reverse that policy somewhere down the road. Jonathan mike swell of Goldman Sachs is with us. On treasuries, on bad news being bad news, is that your view of things, how high can we take 10year yield . Mike great to be with you, jonathan. On the there is a cap treasury market, and its really the result of looking away from the slow term where there are certain instances where people think about growth postcovid. We see significant vaccine implementation. The jobs report, it will take a long time to get back to normal. The fed will be on hold for the foreseeable future. As a result, you will not see a 50 basis point increase in the 10year. People should sit tight and recognize that rates will stay low for the foreseeable future. Today proves that we will be in this odd situation where markets will look fo
Declining. We saw a constructive things. Waiting for the eighth or ninth year of expansion is not a perfect strategy. There is an issue of wanting to do as much as we can to avoid exacerbating the longstanding inferences and get back to a Strong Economy or we can start making progress again, which is what we were doing in february. Senator smith as the fed chair and at the fed you have the mission of low unemployment and managing inflation. And this need to spur job growth. We said there is not been a big worry about inflation. What if the fed were to lower its target for employment, even under 3 . What impact might that have on addressing longterm needs for addressing inequality. Changeowell we made a in our operating framework which addresses that directly. We will have an estimate of the natural rate of unemployment. We will not act on that, even if unemployment goes below that, unless we see inflation or some other problematic thing that seems to be late to where our rates are. We
You have run one of these. You know what a gargantuan task it is. How difficult is it because we have been delayed getting it started . Valerie needlessly hard. The president elects team has been assembled, they have been working diligently on policy and staffing recommendations for the president elect, both in the white house and in the cabinet. Withe midst of a pandemic, millions of americans losing their jobs, it is more important than ever the agencies be available to the Transition Team. I always say one of the things that surprised me with president obamas transition was the unbelievable degree of cooperation we received from president bush. We may not agree with him on but whathat what president bush believed is a smooth and orderly transition from power. When president obama was leaving, he did the same thing in his direction for President Trump. This is not about politics, is about keeping our country safe and healthy. There is about but a focused on the Daily Briefing the pre
Worse preventative measures. Has been the hardest hit of the region iran has been the hardest hit in the region. A postbrexit trade agreement were abruptly disrupted today when one European Union official involved in the talks tested positive for the coronavirus. Michelleief negotiator barnier said he would suspend talks with u. K. For a short period. The two sides are trying to reach an agreement by next week to allow time for a deal to be ratified before the end of the year. Global news 24 hours a day, onair, and on bloomberg quicktake, powered by more than 2700 journalists and analysts in over 120 countries. Im Mark Crumpton. This is bloomberg. Vonnie it is 1 00 p. M. In new york, 6 00 p. M. In london, and 2 00 a. M. In hong kong. Im vonnie quinn. Welcome to bloomberg markets. Here are the top stories we are following on the bloomberg and from around the world. Transition to the white house. Members of the president elects team are set to be contacting staff of the congressional app