tv Worldwide Exchange CNBC May 24, 2016 5:00am-6:01am EDT
good morning. the fed in focus. the markets try to make sense of june rate hike speculation. new this morning, snapchat is raising more money. and this financing round valued the company at $22 billion. facebook, new policies on trending politics. following advice from conservatives. it's tuesday, may 24th, 2016, and "worldwide exchange" begins right now. ♪ good morning, welcome to "worldwide exchange." on cnbc. i'm sara eisen.
>> and i'm wilfred frost. very good morning from me as well let's bring you up to speed on market action. it was basically flat today. not too much happening in terms of fundamental data either. markets really just looking at what the fed expectations are. at the moment, we're called slightly higher today. the dow by 35 points in the premarket. s&p by 4, nasdaq by 7.75. not just flat yesterday and broadly flat yesterday. mike santoli making the point that we've been in about a 4% raise in two months now. all of that volatility fluctuations that we're fearing hasn't really been seen. basically been flat for the last couple of months. let's look at the ten-year note. more movement in the bond and fed dollar. 1.835%. >> we saw what happened in asia, we saw almost a 1% decline on
the stock market. the nikkei. on the back of a stronger yen. and word from g7 officials over the weekend that japan is not on board if it has to with the yen spooking. gaves in hong kong barely. declines in shanghai. commodities weak overnight. the dollar was stronger. that played into the trade. chinese stock playing down 0.75%. and we saw better gdp number. final read out of germany, faster on investment growth. germ german dak is up 0.5%. an perhaps lending support to u.s. futures in early action. waiting on german gew sentiment for government business due out any minute. >> exactly. we'll bring you that when we debt it.
oil prices still pretty resilient. up near $50. but they are moving just south a little bit by 0.5%. 47.8. the dollar, of course, continues to be in focus. a little bit of divergence as to what it's doing, agency you cs . it was weaker against the yen earlier in trade. but that's flipped around in the last couple hours or so. 0.3% move higher. the pound showed strength again. 1.4540 at the moment. gold prices, less bring that up as well. currently down, 0.6% lower. fed speak, once again holding the market's attention. it was philadelphia patrick harker who joined the chorus. he argues that a june interest rate hike is appropriate until it starts to weaken. parker is not a voting member,
but his comments could echo what we've seen from recent other fed presidents. april home sales are due automatic 10:00 a.m. eastern time. those are expected to have risen about 2%. that follows a decline in march. auto zone and best buy reporting before the opening bell. after the close, we'll here from hp, enterprise and intuitt. >> do we think it's going to be another one. mr. harker saying it was possible in june? >> we think that they're preparing the markets. and they want to set expectation that the data has improved. they're meeting their mandate. and they do they hike in the summer don't be shocked. a lot of people on wall street anecdotally are talking more than july than june. and that adds an air of uncertainty to the union meeting
because they haven't telegraphed exactly in the language that they're ready to hike in june. as they prepare the markets july looks increasingly plausible. that's what you see in the fed fund bond market where they price in these things, july. even though july, we don't have a news conference at that meeting. perhaps, she'll call a special news conference. >> and i wonder as well, if the romaine camp continues on the brexit polls whether that puts june slightly more on the table. we will be speaking to one of the leading pollsters in the uk shortly about the latest polls what we need to know and what is pointing to that brexit. >> the key is janet yellen on friday. she's going to be speaking at harvard. we have not heard from here. they're preparing the markets. saying they're getting closer. we need to hear from the core, the fed chairman herself to see if he wants to telegraph the
policy. at the closing bell, saying maybe the minutes made a. take and maybe they didn't mean to set policy in tellers of reverse expectations for a hike. we'll see if janet yellen clears that up on friday. we're getting results from toll brothers, expected revenues of $1 billion. that comes in line with the forecast. and we'll keep an eye on that. >> and we have the german confidence data that we're waiting for coming at 6.4, versus 11.2 in the previous month. that's an economic sentiment gauge. following the current conditions 53.1 versus 47.7. the latest market moves, we were looking at european indices higher. >> economic risks includes possible brexit do not allow investor to have an optimistic outlook. let's move on.
facebook making some changes in chance to allegations by political bias. the social network will revamp its trendinging topics to minimize the effects of influence. in a probe they did not find evidence of that. this coming after the ceo met last week. in other big tech news, snapchat reportedly valued at more than $22 billion. techcrunch says the company is looking to raise about $200 million. the last fund-raising round you may remember in march valued snapchat at $16 billion. so that's a big jump ahead in the valuation. find us on snapchat, we're there behind the scenes, especially wilfred. i did as well. >> i'm being told. i'm criticized that it's too periodic. it goes through a 24-hour blitz
and loads of posts. it's hard to do it constantly. i don't think people want to watch it constantly. >> bottom line, snapchat is hot right now. you see that in the valuation. $22 billion. >> we'll continue to follow the redstone drama and viacom, the new york post may be targeting. they'll find out if the board was led after the ceo dumar. comments yesterday on the saga. >> i think it puts the control of this company very much in a question mark situation. and i think for viacom, a stock that trades at 7 rate p.e., 50% below the peers as a valued focused investor, you have to
think is there some potential, certainly in our control, that could potentially end up unlocking the real asset value here. which i think is meaningful and not very much recognized by the market. >> here's a look at shares of viacom. some other stocks to watch, video conference maker polycom it would be better than the current buyer from canada's mattel. the company's forecasts coming in short of investments shortly because they had to halt introduction of image sensors because of earthquake damage. those sensors are used in apple ioffense and a large part of sony business down. and "wall street journal" reporting a fight tour chico's.
moody's downgrades the deutsche bank agency. with spice flavors and seasoning business for $340 million. that move, part of firm's efforts to become leaner and focus on more profitable businesses in a challenging environment for food companies. warren buffett's berkshire buys $64 million of phillips 66. he's been loading occupy on that energy company. and corporate news, best buy reports first quarter results before the opening bell. landen dowdy joins us with three things to watch. >> the street is look you for shares of $18 billion. beyond the numbers here are three things to watch. first, expect weakness on tablet and softer consumer spending. a key issue of whether sales of consumer electronics will begin
to stabilize. second, guidance. watch to see if the retailer lowers for your guidance but it may not be enough to drive a rebound. we've seen profits in macy's and jcpenney. best buy has weathered the retail storm and shows more than 4% over the past three months. third thing is july. best buy is solid. thanks to reasonable attractive valuation. and in march announced the first repurchase program since 2012. back to you. >> landon, when it it comes to best buy, there are hints from the horizon. >> you've got launch of the iphone 7 coming out later this year. jim cramer noting recently if investors want to play apple, best buy might be the best play for that.
>> landon, thank you very much for that. i have to say, they've got good salespeople in best buy. i've got massively upsold. bigger tv. better speakers. of course, not necessary. but they're good at their job. still to come -- will the uk stay or will it go? the definitive british pollster joining us with his take. peter cal, this date in history. the first eurovision song contest was held. >> are you wear aware of that? >> sort of. it was out recently. is it like "american idol"? >> no, we've got "pop idol." no. it's got an audience of 600
president and leading expert. good morning. peter. >> good morning. >> let's dive into polls and what we expect to happen in this vote. there's been quite a bit of difference with the results of online polls which suggest that exit tending to be doing versus telephone polls which remain is more. >> i personally think telephone polls are more accurate. on this occasion, i'll tell you why, because online polls have panels, people who choose to join us. those panels. and they spend to be politically well more interested than a person who never join a panel. the and the people least interested in politics are the people more likely in the ends to vote for safety against risk. and in the case of the current
reference on the european union, the safe option is to carry on with what we have now, which is membership. and not to take the risk of departure. as we say, we talk about the risks of this economy, to inflation, to mortgage rights, to vacation costs and brexit. i think telephone polls are picking up those people more than online polls. they're looking at the latest polls. and i'm sure that the uk will vote to stay in the eu. and i think they'll win by sufficiently big margin for it to count as a clear clear victory for the prime minister. i think we're heading to a fairly decisive victory more the remaining camp. >> in the united states, we look at the polls with a grain of salt because a lot depends on the turnout, which is so hard to measure. how much of a factor is that for you, peter?
>> turnout to be a factor. there are signs the people who want to leave the eu will turn out in slightly bigger numbers than those who want to remain. there's a very good piece in "the new york times" about your own online versus telephone polls. and what they argued the online polls are overstating donald trump's support. where the telephone polls on average got the support about right. it seems to be the same sort of thing. the online panels are slightly more enthusiastic. slightly up for insurgency. slightly up more change. you'll have the same phenomenon in britain as you'll have in the primary season in the united states. >> peter, all the lessons to take from the scottish referendum a few years ago, even though the polls predominantly suggests that scotland would not vote to leave. we did see a little uncertainty in the week of the vote and the
pound sell off the market. do you think some of this could happen, even in the polls remain, as you say they are pointing quite clearly to a remain vote? >> well, what happened in scotland is that the polls narrowed about two weeks before the referendum. and in the fine ten days, again, the late deciders played safe. they said, let's stick with the united kingdom. let's not go for dependence. you ended up/50/, a fortnight before the referendum. to stay if the uk. and referendums around the world, you tends to get to a move to the status quo in the last one, two or three weeks. if remain is ahead right now six or ten points i would normally expect that to widen in four weeks' time. >> peter, thank you for joining us.
the former president. >> and that brings you to the facebook and twitter question of the day, will the brexit vote on june 23rd impact the fed's interest rate decision the week before? they've got a key meeting june 14th and 15th. we got three choices here. a little nuance. yes, it will impact them and they'll wait and see, no, it will not impact them and they'll go ahead and hike. or, yes, it will impact them and they'll go ahead and hike way. it's a nuance question but it's clearly playing into the debate because all of the regional presidents are talking about it. most of them are saying, yes, it will impact them. >> i like that you snuck in a third nuance option there. >> the question is do they move or not? it's two-part. >> i like that. >> thank you. coming up, the tsa replacing the head of security, this is a big deal as lines at airports
get longer ahead of the summer rush. stay tuned a political story ahead. you're watching cnbc, first in business worldwide. ding, flies, meow febreze air effects heavy duty has up to... ...two times the odor-eliminating power to... ...remove odors you've done noseblind to [inhales] mmm. use febreze air effects, till it's fresh and try febreze small spaces... ...to continuously eliminate up to two times the odors... ...for 30 days febreze small spaces and air effects, two more ways... [inhale + exhale mnemonic] to breathe happy.
now with lightweight spf 30. welcome back to "worldwide exchange." the tsa replacing its head of security, nbc's tracie potts joins us from washington with that story which is increasingly becoming a big deal for politicians on capitol hill, tracie. >> especially because the tsa is under fire of late, these long lines that we've seen at major airports. and now the house oversight
committee here is reporting that the head of security for the tsa has been removed. apparently, reassigned. reassigned to what, we don't know. but according to a memo from the tsa administrator who is now an acting replacement, someone who has a lot of experience at a couple of big airports, jfk, l.a.x., also new leadership at o'hare where we repeatedly saw the long lines and the incident command center. but back to kelly hogan for the moment, the security chief who has been replaced, hogan drew $90,000 in bonuses while the tsa was under fire for mismanagement for missing things like explosives and fire arms going through tests in the security check points. now, it looks like they're looking for someone knew to head up security for the agency that's supposed to keep us all safe as we get on the airplanes. >> what can you tell us about governor mcauliffe and his connection with the clintons. how serious is this?
>> yes, this is interesting. virginia's governor is under investigation by the fbi according to sources confirming to nbc, they're looking into possible, possible, illegal campaign contributionings to the governor's 2013 campaign. his service said they have been been contacted by this. they're saying by any contributions there was nothing illegal done. if contacted the governor will cooperate. the crux of this seems to be a chinese business that contributed. and the law prevents foreigners from contributing to u.s. campaigns. but this person's spokesman says he's also a u.s. resident which would allow that, but that's the crux of the investigation. but the key here when it comes to politics, mcauliffe is a very close ally of hillary clinton. was on the board of the clinton
global initiative. they're looking at crossover in the campaign contributions. >> tracie, one other political source to focus on, donald trudtrump has picked up another big supporter, woody johnson. johnson has raised money for john mccain, mitt romney and george w. bush. trump and johnson had a contentious relationship. in january, trump mocked the team and on twitter he said if the finance chairman would have been with him he would have been some the playoffs at least. >> i think i'll be supporting the jets. >> the jets? >> i'll decide. the top three stories plus the three leading executives in europe, what they're saying about brexit. it's more than a network and the cloud.
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what's recommended for me. x1 makes it easy to find what you love. call or go online and switch to x1. only with xfinity. good morning. odds of a brexit. do financial firms think the uk will stay or go? and trying to make sense of a june rate hike speculation. and amazon drops all all of its price matching. we'll tell you why. it's tuesday, may 24th, 2016. you're watching "worldwide exchange" on cnbc. ♪ good morning. welcome back to "worldwide
exchange." on cnbc i'm sara eisen. >> i'm wilfred frost. good morning to you. >> let's bring you up to speed on the markets. wall street is set up looking similar to yesterday, in terms of modest gain for u.s. equity. dow futures up. nasdaq up 13. and the possibly new fed hike in july. new home sales. and note yield 180 level. 184 pretty much flat. keep an eye on that. with the data, if it's better, could be a signal for the fed. >> let's have a look at the market. asia seeing a stronger earlier in trade. the nikkei is now down. the nikkei closed down by 1%. hong kong eking out a slight
gain. if we look at european trade. the banks, insurance companies have led sectors higher. that's extended gains over the last hour or so. france at 1.4%. germany up 0.9%. announced in a survey, we saw current conditions increasing but expectations sliding. so a mixed bag of results there. and brexit was cited as one of the reasons why confidence is not as high as it might be. >> as for the broader market picture, the stronger dollar is really starting to show itself and become a key theme after four weeks of gains for the u.s. dollar strengthening again this morning. that the put something pressure on commodities. wfi crude off fractionally, down 3, it%. and brent the national mark sitting at $48 a barrel. it's down 0.5%. and nat gas is gaining.
stronger japanese dollar against the yen and the euro, the euro has been weakening a bit. the dollar has been strengthening. and that has spooked investors in stockings and in commodities lately. we'll see if those gains continue. and the magnitude of the gains which really seems to be a theme as well. usually, gold goes on the flip side of the u.s. dollar. it's been understand pressure lately as the fed bets ramp up for the summer. it continues to sell off this morning. down $8.60. fed speak once again holding the market's attention. latest, philadelphia's fed president patrick harker joins that june hike is appropriate until data weakens. harker is not a voting fmoc member this year. the focus will be on comments coming from janet yellen on friday. >> yes, at harvard. big banking conference underway. financial meeting in madrid. the brexit debate is certainly
front and center. our jeff cutmore joins us live from the gathering. good morning, geoff. >> good morning to you. low european growth and a fear of summer rate hike from the fed are not far away from every conversation taking place here. it is front and center, that near term risk of brexit that is focusing minds here at the financial forum. let's take a look at comments here. i'm going to start with the chairman of zurich insurance. this is what he had to say about the risks they are facing. >> it's very difficult to predict what's going to happen next year. the political and financial uncertainties at this point in time, especially the first three or four months of this year were indeed exceptionally high.
>> reporter: well, ing has had a tough start to their year. this is one bank. a dutch bank, that had a very difficult financial crisis. and they've trumped through that and they are starting to show good growth. but the challenge near term, of course, is the brexit story. i just want to play you a little bite here from ralph cammers, he is the ceo of the business. >> so, what we are seeing in the first quarter, certainly, because of all of the uncertainties, that clients were a little cautious as to whether to go out and do their business. and hatch their business. although we have seen some of them coming back in march and april already. having said that, we have a brexit discussion coming up. and the relevant of europe as well. depending on where brexit is going actually the discussions around and the elections in some of the other countries as well. if brexit does not happen, the deal that the british have with
the eu may actually set a precedent for all of to us start negotiating. so it's here to stay for quite a while. also for the second quarter, i do expect uncertainty to continue. >> and part of the reason why there are very real challenges for many of these banks is that they have large operations based in london. and they've got to work out what to do with those operations in the event the uk votes to leave the eu. ubs has over 5,500 employees. when i spoke to the chairman of the board, that was one of my questions do they have a plan in place, come june 24th, if the uk decides to leave the eu. this is what he had to say. >> the real important thing for decisions in finance about how our presence in london will be is all about how will the negotiations, if this were to happen, what is going to be the
traction that the uk government is going to have with its european partners in largely preserving the status quo in market action and all of these things. >> reporter: this is already a sector in europe that is struggling. and without stronger growth camps in europe it's hard to see very much upside in the second half of the year for these businesses, particularly, as they feel that many clientses have put their investment decisions this year, at least in the first half of the year, on hold. as they wait to see how this brexit story shapes up. back to you, guys. >> geoff, thank you very much. ever great to see you. >> we asked on facebook and twitter will the brexit vote on june 23rd affect the rate hike decision. so far, the majority saying yes, it will impact and we'll wait and see.
but we did add other options like no, it won't impact and the fed goes. >> it's confusing. >> it's not confusing. people are into it. it's nuanced and it's accurate. i challenge you to a twitter question tomorrow. >> i'm going four-part. do continue to get involved on our twitter question. i apologize if it's a little confusing for everyone this morning. right. moving on, authorities in singapore are calling it the worst case of gross misconduct they've ever seen in the financial sector. they've ordered bsi, a swiss private bank to shut down operations for breaching money laund laundrying operations. the fund has been at the center of corruption scandal with charges that the prime minister personally gained from. murky transactions. several countries including the u.
u.s. are also investigating the matter. this is a big story another relations. in other related banking news, swift is trying to uninfluenciunplug gaps in its security. it will unveil new measures at a conference in brussels. those measures are expected to combrub. adele may have scored one of the biggest record deals ever. the singer reportedly signed $130 million deal with sony music giving them the rights to release her future album. the deal was apparently struck before christmas and they've kept it it quiet until now. >> and before that she was with an independent uk label for the past few albums. the previous women's record for an album, whitney houston, 100
million bucks, adele just beat it. >> do you think she'll stick with labeling albums? >> probably. >> how many years do we have to wait for the next one is the next one. i'm sure sony will be pushing her to get one out. amazon is quietly changing its policy earlier this month. amazon aloud customers to request a refund if the price of a purchased item dropped within seven days -- dropped within seven days. but under the new policy, amazon will issue a refund if it lowers the price of a tv within 30 days of a purchase. they're also matching prices of select competitors. the streaming wars continue. starting in september, netflix will be the exclusive u.s. paid tv home for all disney movies. this includes titles from marvel, pixar and lucas films. netflix blocks amazon and prime
and hulu from disney hits. i think it's pretty big. it's not original like "house of cards" that is the only place you can get them exclusive. that's a big coupe for netflix. >> absolutely. this gives viewers of netflix an early shot. x-men character investigation taken over snapchat. the site teamed up. with 20th century fox for the first complete takeover of up snapchat lenses to promote the studio's latest film x-men apocalypse which opens on friday. the puppy and the flower lenses will be gone, and they'll be replaced. the x-men buyup comes at no small cost for 20th century fox. sponsoring a lens can cost
anywhere from $450 million. to $750 million. >> are you into x-men? >> yeah. >> i'm not. but i will use the lens. >> a little bit of wilfreding. >> a previously halloween costume. yes. >> we're wishing happy birthday to patti labelle. she sold hits like "lady marmalade." we'll be back if two minutes. fallujah argonne khe sanh midway dak to normandy medina ridge the chosin reservoir these are places history will never forget but more important are the faces we will always remember.
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welcome back to "worldwide exchange." to today's "must reads." the stories catching our attention. "the new york times" an interesting take on john kerry, john mccain and bob cane. we're talking about the secretary of state, and john mccain, and bob kerrey, looking back on vietnam. here's say quote for you a few lessons from the vietnam war. a fourth and final lesson of the vietnam conflict is playing out before our eyes that with sufficient effort and will seemingly unbridgeable
differences can be reconciled. the fact that mr. obama is the third consecutive american president to visit vietnam is proof that old enemies can become new partners." just an historic look on the progress we've made as the president continues the trip with the arms embargo and various gestures. >> perhaps the greatest example will be partners. >> i thought you said about going to vietnam on my honeymoon next week. >> that, too. on the note of europe, my "must read" is in the telegraph. former british secretary william hague writing in relation to in part the upcoming brexit. but on a topic that's very relevant here in the u.s. he says trade deals are the world's best hope of avoiding the new recession. he said when americans, british, germans start opposing it, free trade is in real trouble. trade is becoming the scapegoat
for all businesses, economies, blamed for poor business practices. he mentions ttp. and highlights the original arguments for free trade in a very clear way. and i sometimes pause to think when we look at the election here it's not highlighted more often. an amazing amount of traction. that sanders and trump get in terms of attacking trade. you never see a clear argument from the benefits of it. >> it's sort of strange that president obama is in asia promoting ttp, transpacific partnership when none of the presidential candidates including hillary clinton are backing it. and members of his own party, democrats have come out against it. manufacturing has hit particularly hard in this country. we're approaching the top of the hour. that means the team is getting
ready for "squawk box." joe kernin joins us. good morning. >> kudos to sara, you mentioned trump and sanders not being for free trade. and hillary clinton is against ttp now. >> yeah. >> she used to be for it. and that is -- the poor president is almost alone. he doesn't have -- if there's any chance for ttp, it's not coming from his party. might be abe to corral enough support on the republican side of things to do it. it's certainly not coming from his party from either sanders or hillary clinton. >> but it's become just a populist issue. >> yes. i hear afraid of trump, he's against free trade. it's hello -- you know, the other -- you don't have a candidate. you don't have a free trade candidate. >> i'm not afraid of anybody, joe. >> i'm afraid of everything. >> i do believe in the arguments that adam smith makes in the wealth of nations and free trade is definitely a good thing.
>> it is, near term, there's dislocation, but it's easy to say it's going to be, you know, to people that are displaced and lose their jobs, it's like, you know, take one for the gipper, sooner or later it's going to be good for everyone else. just suck it up. that starts to ring hallow, pal. you can understand the sentiment. but when labor costs $2 an hour in some places and it cost what is it's going to cost in this country now, it's just hard. and maybe there are better negotiating tactics to use. >> no, i agree. listen, i think long-term arguments are clear. i can see the sentiment. what's upsetting where because it becomes a populist issue, politicians change their tune for the rhetoric because it's simply something they wouldn't vote on.
>> geez. just watching a lot of things in politics, as we're finding out now, it's something to behold. it's definitely something to behold. we have sam zell on again. the bulls again had trouble maintaining that market, four or five weeks of negative activity. i think we'll wait forever. everybody is worried about a quarter point increase. sam zell will be here today. he's not a person that thinks the that the stock market is cheap by any stretch. payoff, he's been great at selling. usually real cars. i can remember putting my clients in investments when i was a stock broker in 1984 when he was big in itel railcars. we'll have him for two hours to talk about all kinds of different assets. but the stock market is not one of his favorites right now. >> joe great stuff. we look forward to that, "squawk
welcome back to "worldwide exchange." joining us to talk about the wall street setup, boris schlossberg managing director and cnbc contributor. boris, glad to have you. the dollar is the story for stocks, bonds, commodity its, is that right right, is the dollar leading the charge right now? >> dollar is leading the charge. if mc sentiment communicated very hard that the fed wants to move in june. all of that has been corroborated not just by the minutes bus that they want to move towards normalization in june. the shift in the dollar has been
pretty significant. it's going to have fallout effects in my opinion. >> boris, why hasn't been more fallout effect information europe? or is it responding to data? >> you know, it's interesting, the euro has gotten weaker in the currency market division but there's a response the euro below 112 as we speak. so there has been an impact there. as far as equities they're celebrating because going to make them more competitive because the re-evaluation of the dollar is going to make the european stocks more valuable. >> to me, it doesn't seem that stocks can make up their mind do they want a strong dollar because it means the u.s. economy is recovering and things are better and the fed is hiking rest rates as they should in a recovery? or is it bad because profits are slashed? >> yeah, let's get this straight.
the u.s. economy is not better. the fed is hiking rates because they need to save face. they have pretty much lost as much credibility as possible. they need to move now ahead of the general election cycle as you guys were talking about earlier. they don't want to move at labor day which is the kickoff for the general election. if they're going to move it anymore this year, it's june or july. but the rate is decelerating. there's a tremendous amount of accelerating growth in the u.s. economy. i think all of these factors, yes, are going to create a bump in the road for equities. i think equities are very vulnerable to a selloff in the summertime. i do think every rally is pretty much an opportunity to get short rather than buy the momentum. >> boris do you pay the defensive sectors like utilities which have done well. and on the face of it should do badly if rates are going up. if you've got a negative year in the company economy that have
you should be? >> i actually thing probably the better trades right now would be simply going to cash. you're not assuming any risk in the equity market. i do think we're overstretched very high in valuations. profits are hit peak profit about a year ago. and higher rates are going to make it a little more difficult. all of these factors are aligning against equities at this point and i think the sale is the right trade. >> another central bank that findings itself in a difficult position is the bank of japan. >> the bank of japan is the prime example why the fed is eager to move rates up. the bank of japan has sort of lost all credibility. they wept to negative ratings and they got the opposite impact. it tends to be in a complete morass, i think the yen has weakened. we've seen the end of the yen
strength. >> we've got to leave there, boris. for some opinions on central bank. >> that's it for "worldwide exchange." "squawk box" is next. by dentis, with a round brush head. go pro with oral-b. oral-b's rounded brush head cups your teeth to break up plaque and rotates to sweep it away. and oral-b delivers a clinically proven superior clean versus sonicare diamondclean. my mouth feels super clean! oral-b. know you're getting a superior clean. i'm never going back to a manual brush.
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good morning. markets gaining ground today, again, did that yesterday. but one of these disappointing selloffs into the close. almost closing basically. and this morning, u.s. trading higher. crude coming awe the lows of the session. we'll talk strategy straight ahead. new this morning, snapchat is raising more money. values the company at more than $22 billion. and the zika threat is rising as mosquito season approaches. we'll tell you which insect repellents are top rated for deeping away that virus.
and spreading those pests all around. it's tuesday, may 24th, 2016, and "squawk box" begins right now. ♪ hot town summer if the city back of knew neck getting dirt and gritty doesn't seem to be a shadow in the city ♪ >> announcer: live from new york where business never sleeps this is "squawk box." good morning, welcome to "squawk box" here on cnbc. i'm becky quick along with joe kernin and andrew ross sorkin. we did see a selloff and things ended relatively flat. this is slight declines for averages. the futures are indicated higher with dow futures up by 58 points. s&p up by 7, nasdaq up by 14. overnight in asia, you'll see that the nikkei was down by almost 1%. that was a decline of 155 points. hang seng was slightly positive. theng