Amy Morris

And Waller's comments have bond traders fully pricing in an interest rate hike this year, a sign in the market that incoming chair Warsh

will need to move quickly to combat inflation.

It is a complete turnaround from earlier this year when President Trump's selection of Warsh to lead the Fed inspired Wall Street to bet on several rate reductions this year, and that changed after the U.S.

and Israel attacked Iran in February.

Now, Secretary of State Marco Rubio says there was slight progress during talks with Iran amid the uncertainty about whether a deal will be reached or war will resume.

Rubio is in Sweden meeting with other NATO leaders where he told reporters there is more work ahead.

A senior UAE official tells Agence France-Presse they think there's a 50-50 chance there could be a deal to free up the Strait of Hormuz.

Hopes for a deal between the U.S.

and Iran continue to fuel Wall Street optimism.

We check the markets for you all day long here at Bloomberg.

The S&P 500 up 0.6%, NASDAQ up 0.6%, the Dow up 0.9%, the 10-year Treasury yield at 4.56% and the 2-year yield at 4.12%.

WTI crude now down to $96 a barrel and Brent crude just under $103 a barrel.

Consumer sentiment fell in May to a record low, 44.8, because of the war with Iran, weaker than all projections in a Bloomberg survey of economists.

The University of Michigan Consumer Sentiment Index shows cost of living also continues to be a concern, with 57 percent of consumers mentioning that high prices were eroding their personal finances.

Director of Consumer Surveys at the University of Michigan, Joanne Hsu.

Director of Surveys Joanne Hsu tells Bloomberg the last time they saw more than 50% of consumers worried that high prices were eating into their personal finances was during the Korean War.

The head of the World Health Organization says the Ebola outbreak in Congo is spreading rapidly, posing a very high risk at the national level.

The risk remains low at global levels.

Congo Country Director for the Danish Refugee Council, Caitlin Brady.

Caitlin Brady with the Danish Refugee Council on Bloomberg Daybreak Europe.