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Single best idea. It was a really wonderful day. I didn't realize it was Wednesday until two thirds of the way. So the show is one of those summer work days where we just had, like whatever, We had ten twelve, fourteen wonderful conversations. All of them avail you, and it's really hard to pick two out here. We went with David Malpass, controversial, some really heated opinion there with his Republican politics, serving with President Trump as former head of
the World Bank. An eclectic discussion with David Malpass, and the major idea with David Malpass was the idea of the new globalization. He harkened back to Germany.
Globalization means getting parts from other countries in an efficient way, So that made sense in areas. But then was it sensible for Germany to get its energy from Russia? No, from the Soviet communist Soviet Union and they cut sweet ardeals to do it. That was a mistake. Same with China, that we just went too far and had no knowledge of what we were doing in terms of the dependence. So I think as we you know, people use words, so globalization is this word that we think we know
what it means. But I think we will stay in a market based global economy where you can outsource, but a lot of it is going to be made in the United States.
David MOUNTPESSI dodge the conversation on Chairman Powell in the future for the chair and also of course what mister Trump may do about fed independence booth. Thank him for coming in today. Amanda Linam made us start strowing. She's a black rock, amand Alnum. Here on the spread market, the difference in yield between full faith and credit government and the comparative IG investment grade or a high yield piece.
I think, just to go back to your point time on spreads, the tighter spreads just means a receptivity towards credit risk, right, more comfort towards credit risk. That's how we would think about it. Heading into earnings. One of the key things that we're watching is this feedback loop between corporate margins, the layoff rate, which is still low,
consumer spending, and overall economic activity. Right now, if you can see this on the Bloomberg terminal, average EBITDUM margins for IG are above twenty percent average EBITDUM margins for high yield are above thirty percent. So what we're watching is is there pressure on those margins because of higher input costs for example, and do corporates flex that layoff
tool more aggressively. But going back to the earlier discussion, actually, I think we've been pleasantly surprised that the multitude of levers that corporates can flex here, and so what we're really watching for is is there a middle ground between how these corporates navigate this, whether that's vendor relationships, inventory purchases. The list goes on to navigate these uncertainty Was.
There enough jargon there, Amandolin, I'm true pro. She really stops meetings with a pro look at Blackrock. Let me explain some of that. It's really important. Actually, EBITDA is eb it t DA. I'm not going to go into what the letters mean. All you got to know is it's halfway down the income statement. You've got revenue coming in, you take out this, you take out that above operating income is this thing called EBITDA, which also pulls in a little bit of the depreciation and amortization off the
balance sheet. So it's somewhat a huge debate within finance. Should you believe in Ebada? People look at it as a measure, and what Amandoline him is saying is they're watching carefully the resilience of the margins, the percent of sales of EBITDAC industry to industry, company to company. I just think, like the YouTube podcast just blew up there. I think her Apple podcast I should just stop too much discussion of. But we're out on YouTube podcasts, Apple
and Spotify as well. It's single best idea