Skip to main content

tv   Worldwide Exchange  CNBC  September 15, 2016 5:00am-6:01am EDT

5:00 am
good morning. forget the fed. the bank of england is the focus. also new this morning apple says initial quantities of itself iphone 7 plus are already sold out. plus, twitter goes for a touchdown. the social media company will livestream an nfl game for if first time ever tonight. it's thursday, september 15th, 2015. "worldwide exchange" begins right now. good morning and welcome to worldwide skparj on cnbc.
5:01 am
i'm sara eisen. >> and a throwback. >> backstreet boys. >> i'm excited about the rest of the show. i wasn't beforehand but i really am now. >> let's get to the markets. >> there should be british boy bands in there as well. >> i don't think we know them as well. >> well, i do. >> we've got a positive tone to u.s. equity futures after another selloff yesterday on wall street wasn't as sharp and as extreme as we had been seeing but nonetheless, a weaker tone to the day. nasdaq futures up a little more than 9 points. we're seeing fractional gains in the premarket, flat sessions in europe. as for the treasury note yield which manns the center of action
5:02 am
lately, the ten-year hovering above. we've seen the backup in yields which is sort of sharp. we're going into a fed meeting next week tuesday and wednesday. we'll get the decision. the september odds, 20% that they raise interest rates. i wonder if that's low. we'll talk than throughout the hour. we've got a few guests on that. >> absolutely. we're moving toward a new higher range. >> is that going to be destabilizing? >> i think we're at the new rates. we're back at 7.1%. it's a significant step up but in historical terms still lower yields. we're flat to negative which has been really the same story for most of this week in europe. next, bang on flat as you look at things.
5:03 am
not 2%. >> we're back to nut? >> naught. >> it's trade i'm definitely willing to make. let's look ahead. career, china. one will close for the mid autumn festival. autumn is our way for fall. >> we use that word here too. >> not as often. >> not as often. >> let's look at the nikkei closing down at 1.25% even though bank of japan suggested it may have to move into further interest rate territory which, of course, would be easing. we have seen the yen strengthen today. that derails the markets. the focus now is on how much control does the bank of japan have rather than are they simply easing or tightening. when people say they might have to go further into negative rates, it reminds people a little of how much they have
5:04 am
left in their tool kit. >> we heard it from our deliver i alpha conferences, our central bankers are out of bullets and what they're doing, is it even working? that question of efficacy which is the word of the moment which has been for a long time now, that is the question and that could be what's getting investors a little jittery. >> i say. >> i take credit first that word. dropping below $44 a barrel yesterday closing in the 43 handle and look at that. the praise of oil continuing slide. 43.64 even with that surprise draw. brent hovers above $46 a barrel. a lot of focus on the demand side of this equation especially from asia after that warning this week that it was going to be lower than expected from the iea. >> and wti is down 5%. energy, the worst sector yesterday. >> as for the u.s. dollar, which usually moves in the opposite
5:05 am
direction of oil and other commodities, a little further this morning. the dollar flat against the yen. we'll see where that goes. that's always a good barometer and the british pound weakening a bit. we did get data out of the uk, didn't we, including retail sales. check out the rupee. we don't get action on this often. a report surfaced that the finance minister will propose a devaluation to promote dwindling exports. the finance ministry is denying that report. still, it had an impact. the u.s. dollar going up and the rupee, the indian rupee going down. worth watching, of course, especially as the fed is on the brink of a move, whether it's next week because emerging markets' currencies are ones that we learned last december got hit very hard on the prospect of having seen it.
5:06 am
>> gold prees anniversary quickly for you, we're looking at a slightly softer goal price, 13.64. today's an important days on the investor front. we're joined with what to watch next. >> that's right. on the agenda at 8:30, the price index weekly initial jobless claims and the philadelphia fed release its business outlook survey at 9. >> kenny: 15 eastern. here are the three main things to watch. retail sales take center stange. if not for strong autos, july would have been clearly negative. it will likely put a damper on today's report. forecast calls for my news 4.1%. august producers is key as the prices of goods and services are of concern. anything labor market relaces is key, so keep an eye on initial
5:07 am
claims which are expected to tick up slightly to $265,000 and that's up from $259,000 in the weekend, guys. back over to you. >> heavy day. landon, thank you for running through it with us. in political news republican presidential candidate donald trump will be addressing the economic club of new york today. that's at 11:00 a.m. eastern time. he's expected to offer more clarity on the economic policy and in other news, hillary clinton's campaign releasing a two-page note by the dock door saying she remains, quote, healthy, and, quote, fit to serve as president. meantime trump will reveal more about his health when he appears on dr. oz. both of them selectively releasing the information about their health and taxes which brings us to our question, which we think is the question du jour on facebook and twitter today. >> question du jour. >> it's the question of the moment. we try to capture the sentiment.
5:08 am
>> why not stick a little bit of fren nch there. i like that. >> i speak other languages too. we want to know what you care about more when determining health records, tax record, neither or both. let us know what you think and we'll bring you that later. i think it's the question du jour. in corporate news, wells fargo fallout. the u.s. attorney's offices in manhattan and san francisco are reportedly conducting probes and have sent subpoenas seeking information flts wells fargo's share, of course, have been under pressure in recent days and warren buffett has suffer. buffett has fall on the the fourth richest person in the world. jeff bezos taking over third spot. the chap really there telling the whole story over the past
5:09 am
couple of days but we are fla in the premarket today. in other corporate moves working in the opposite direction apple says the new iphone 7 has sold out. it won't be releasing its first weekend sales of the iphone 7. we learned that last week which spooked the investors but perhaps they underestimated for this demand for this new 7. this has been a very bullish move to the outside on this new iphone 7. >> i wonder why apple decide not at to wree lease these figures in the first place, possibly because they were expecting it to be weaker and they didn't want to have to release a number so quickly and now they probably wish they had. >> the excuse they gave it was more of a indicator of supply than demand so they didn't think it useful. but clearly investors assume the
5:10 am
worst and that was wrong. >> again, i made that point a lot of times. the offset compared to samsung's release of the latest galaxy is absolutely stark. i wonder if it has to do with people not wanting an iphone that catches fire. the latest version has seen a huge number of updates. that's another factor that's fed into it. particularly yesterday that data coming out. interestingly i'd say the ios update's really down to how many times they annoy us whether to take the update or not. i'm not sure i commend it. >> it's very popular. everybody was trying to do their updates. second quarter earnings and revenue beating forecasts. and the company's raising its four-year outlook. it says it continues to see strong conditions in the nonal
5:11 am
construction market. >> its new drug to treat glau co-many met the late goal. this is all in an effort to cut koufts except in the case of preapproved production or critical work. boeing unchanged in the market. pfizer says they. the circled black box warning was imposed in 2009 because of potential mental health side effects including suicidal thoughts. no move in the share praise. mcdonald's receiving final bids from three groups. reuters says royal ter and
5:12 am
carlisle has teemed up for business which is worked up to $3 billion. disney cutting about 250 people from its consumer products and digital units which were recently combine. that represents about 5% of the business. the cuts include people who work on video games as disney has moved away from its own content versus licensing kaurng ters. >> mobile i has severed its relationship with tesla. telling reuters that tesla was, quote, pushing the envelope in terms of safety saying it's not possible to cover all crash situations in a safe manner. it was call into question after a fatal crash. there's more for the buffalo bills than wins and losses.
5:13 am
it's also a crucial test for twitter. this is the first of the games. o'jack dorsey has made ved owe central to the company's turn around. twitter shares rising after the company announced its app will be available on apple tv, xbox one where others will be able to watch it gaining 1.6% in the premarket. >> and well off the lows we saw steadily climbing back up. it's always the m and a chatter coming up. coming upton show, the central bank is in focus. will the fed and the bank of japan follow suit next week. expectations straight ahead. >> we'll need to read this tweet quietly so we can hear this boy band. not british. a look back at history in 2008. lehman brothers filed for the largest bankruptcy in u.s.
5:14 am
history followed by downgrades and credit ratings largely brought on by lehman brothers. a good reminder that that massive massive event for markets was on this day. we're back in a couple of days.
5:15 am
5:16 am
good morning. welcome back to "worldwide
5:17 am
exchange." let's get use up to speed on the market action. we're expecting a higher open today. as you can see, though, only a slight positive open, around one-tenth or two-tenths. we're flat despite the overall levels. pretty much flat. yesterday, pretty slight decline. let's have a look at oil prices because they have not been flat for the week. they're down about 5% for the week as a whole. they were down sharply. energy within the s&p has been the worst performing sector for the week. perhaps that sector can get some reprieve today because wti is up 0.6% having already declined 5% this week. sarahing. >> investors around the globe awaiting the decision on interest rates. there's more attention than usual on this announcement especially as u.s. investors await an interest rate decision from the fed next week.
5:18 am
our carolin roth joins us now with expectations and the economy, carolin continues to brush after the brexit effect. >> that's been quite a big surprise for everyone. no surprise from the boe today. they're widely expected to keep rates on hold. that's after they slashed its main rate at its last meeting in response to the brexit fall. it's surprising, again. the uk data has been a lost more robust than expected. that includes services, construction, and manufacturing pmis, retail sales for august this morning also beating expectations and some have argued that in light of the better data points they acted prematurely overestimating the negative effect. he's likely going to emphasize once again that the longer term impact of brexit in justifying his dovish stands. i want to show you what sterling is doing this morning.
5:19 am
unchanged. reuters pull out saying the uk economy will narrowly dodging a recessi recession. that's down from 35%. that's down 60% in the month of july and sterling once again seeing little bit of respite on the back of the august retail sales. >> we'll wait for that commentary than decision, carolyn, in a little less than two hours. carolin roth. a lot of it is being pinned on the weaker british pound. it's helping on the sales because the foreign tourists come in and buy more. it's helping with manufacturing. can that offset the very negative predictions about the economy or does it mean it gets pushed farther out? >> i think that's exactly right. if you look at the one laggard in the data over the last couple of months, it's been business
5:20 am
investment. we're going to see through next year. that's again why we don't expect easing today because the initial cut has helped. they're not going to want to keep ammunition. >> that's why i also think the criticism tore questions of mark carney and him going all in in terms of stimulating and easing may be too much. >> we'll have to see as time passes of course and when article 50 gets involved, the uncertainty will pick up again and the business, that will be an area to focus on. still to come, donald trump will address the cover of new york. the latest from the campaign trail coming next. >> first as we head to break here's today's national weather forecast from weather channel's jennifer car tag know. >> good thursday morning sara and willard. there won't be much except for
5:21 am
coastal impacts. time of high tide in the morning just after 7:00 a.m. could be some charleston issues and rain but mainly offshore actually it ooh is a tropical depression now. the big story will be the storms that will roll right across the midsection of the country. severe weather possible with damaging winds and hail and there's a 40% chance of tornados in this area. also later today another chance of storms across new mexico and west texas. new changes coming in after the front came through. brought thunderstorms and rainbows in new york city. big cooldown. temperatures only in the 70s with low humidity. that's your weather. meteorologist jen car fake noe with your weather. "worldwide exchange" continues after this. ♪ we're drowning in information.
5:22 am
where, in all of this, is the stuff that matters? the stakes are so high, your finances, your future. how do you solve this? you don't. you partner with a firm that advises governments and the fortune 500, and, can deliver insight person to person, on what matters to you. morgan stanley. it's scary when the lights go out. people get anxious and my office gets flooded with calls. so many things can go wrong. it's my worst nightmare. every second that power is out, my city's at risk. siemens digital grid manages and reroutes power, so service can be restored within seconds. priority number one is keeping those lights on. it takes ingenuity to defeat the monsters that live in the dark.
5:23 am
sometimes they just drop in. always obvious. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances.
5:24 am
welcome back to "worldwide exchange." to politics, it's an important day on the trail for both candidates. hillary clinton released her health. and we should get detail on trump's economic plan. tracie. >> hi, will ford. now with her doctor's okay and down five points in the latest bloomberg poll, she's back. the theme being the key part of her speech stronger together her campaign tells us that she'll focus on children and families.
5:25 am
hillary clinton is expected to attend a campaign this afternoon in north carolina, her first after collapsing on sunday. in a detailed letter, clinton's doctor adds that she's fit to serve and in excellent mental condition. >> the doctor's letter is actually fairly complete and shows that she's actually a very healthy person. >> do you think hillary would be able to stand up here for an hour and do this? ? i don't think so. i don't think so. >> donald trump gave tv host dr. oz his latest screenings, a bit overweight and on cholesterol meds but for the most part, healthy. >> he's good for a man of his age. >> i feel as good today as i did when i was 30. >> today trump is expected to detail his economic plan during a speech with mike pence in new york. >> we're going to cut the taxes for working class, small
5:26 am
businesses and farms. the russians have been thered in the politics. according to the homeland security chair on capitol hill, looks like they may be targeting republican operatives too. >> the colin powell e-mails were quite something to read. tracie, thank you. it brings us to our facebook and twitter question. keep your responses coming here. we wanted to know what you care about more when determining the next president. health records, tax records, neither or both all of which are an issue as we wish for answers from both candidates and so far it's all tied up. for a slight majority here for neither, 33%. >> another majority. we've gone through this before. >> you know it's a good question when it's about 20%, 28%. keep it coming. >> it's a good question du jour. >> thank you. still to come on "worldwide exchange," we'll ask what the numbers could mean for the big
5:27 am
fed meeting next week. stay tuned. you're watching cnbc first in business worldwide. ♪ before the band separated over unknown creative differences. [ crash ] and reunited three decades later for a tour that sold out in three minutes. and your cisco hybrid cloud handled millions of ticket orders without breaking a sweat. before all of this, [ crash ] the experts at cdw orchestrated a cisco hybrid cloud solution. scalability by cisco. orchestration by cdw.
5:28 am
5:29 am
[ clock titime. ] you only have so much. that's why we want to make sure you won't have to wait on hold. and you won't have to guess when we'll turn up. because after all we should fit into your life. not the other way around. good morning. sharpen your pencils. a flood of facts before next week's fed meeting. >> speaking out, why larry summers says new laws have not
5:30 am
made banks safer. a 12-year-old wins america's got talent. it's thursday, september 15th. you're watching "worldwide exchange" on cbc. good morning. i'm sara eisen. >> and i'm will ford frost. >> another selloff yesterday although those gains are slowly disappearing early this morning. dow futures are only up five. s&p futures are down less than half a point. nasdaq futures in search of direction down one point. maybe we'll get that. we get a deluge of economic data
5:31 am
as will said. flat to downward for the major averages over there. energy has been away. we saw that yesterday. a mixed session. asian markets were closed overnight. the nikkei found more than 1%. 1.26%. it's now at a multi-month low. stronger yen has been harmful as well as the volatility in the u.s. seg. australia was open and singapore slightly lowered. >> it's, in fact, slipped as the morning haas woken up over this side of the pacific. but let's come to oil prices first before we go to the dollar and we're seeing oil prices rebound a bit from yesterday's declines, about a third of 1% from wti. but oil is still down some 5% for the week.
5:32 am
the ten-year treasury note, we've seen it stop and rise. we still sit above 1.7%. as you can see, yields ticking up since the lows of the post brexit risk aversion and the question is will that continue and what will be the drivers. if it's rate hike, it's less worrying. if it's less confidence that the bond bubble can maintain, it's a little bit more worrying. most of the major currency pairs are flat. >> where you're seeing the worst action right now? >> globally. >> the mexican pay sow which is -- >> what time frame. >> one of the only markets that's responding tick for tick as trump gains momentum. you're seeing a direct hit. implications from mexico's economy. if he has to renegotiate nafta
5:33 am
and yu ladder some of the other. >> focus on the pound as we get that bank of england decision. we're not expecting action. if we did, it would move the market. a good look at the price. they are a fraksz low at the moment 136789.23. >> so we mentioned today is the busiest day of the week for economic data. we'll also get the bank of england announcing its latest policy decision at 7:00 a.m. eastern time. weekly jobless claims, it's thursday, 8:30 a.m. the user price index and the september philly fed index and look for august production. joining us is drew mattis, an economist with ubs. good morning. >> good morning. >> we get a lot of data, retail sales, production, both key parts of the economy. does the fed factor into this
5:34 am
data when it makes its decision next week? >> they seem to. . i think today's data is going to be a little weak and put the nail in the coffin. >> unless this was ground breakingly different from what people expect, everyone -- the hawks and the doves have made it up. >> the point is they're split. >> well, i mean they have been split, but you've seen some interesting developments recently. the most interesting in my mind has been boston fed president who's a dove and john williams from san francisco who's more of a centrist. both pretty much gave the same speech last week where they laid out their belief on how things work in the economy and why the fed does what they do. it was pretty much identical speeches. and what that told me is they're beginning to come around to kind of a new way of thinking about
5:35 am
the world which is actually very similar to the old way of thinking about the world and so maybe we're moving back into a period where we'll be able to predict with certainty. >> so the bond market predicts they actually raise rates next week? is that about right? >> that's about right. at some point they might surprise us. i don't think it's going to happen next week but i wouldn't take it to zero. we think they're going go and next year, we'll get a two. not enough to disrupt the apple cart. some rate hikes would be healthy, we think. >> let's talk about the uptick. that's 1.7. that's happened as wi discuss rate rise expectations haven't really moved. so what's driving that tick up in yields and is it suggesting that people have lost fate in the run-up of bonds and this could be quite a serious unwinding to come? >> i think the fed is becoming increasingly concerned with the amount of risk people are taking
5:36 am
in order to get the yield that they're taking and i think that's made some people nervous. i think other central banks have done it but they want to steepen their yield curve and the way most traders think now is if one central bank is sinking it it's going to permeate throughout the central banking community. these people all get together and talk or if they don't get together, they talk. and so those ideas will then go throughout. i think people are beginning to worry a little bit that if the boj wants a steeper yield curve. maybe everyone wants a steeper yield curve and so i think some of what you're seeing is a reaction to that. >> soo let's talk about retail sales which comes out this morning. >> your favorite topic. >> well, i'm trying to figure out. >> how much did you spend this month, sara. >> that will move the indicator? i was a away for a week. doing know. the data could be all skewed. i was in asia spending there. >> that's going to hurt our
5:37 am
domestic economy. >> i mean the time on dollar is very cheap, drew. it's like 32/1. >> i'm out of reach. >> yeah, exactly. >> what do you expect from the data? i'm just -- i've been looking at some of the consumer discretionary stocks and there's been a little bit of a turn. they're not so much in favor. >> the headline's going to be slightly negative. you strip out autos. the consumer is treading water. june started off relative -- july started off relative to june. they're look very healthy in gdp heroes. it's being led by consumers. >> looking ahead for the rest of the year, where does the dollar
5:38 am
go? imt's not really moving with much conviction. >> yeah. i don't think -- we're not looking for -- current levels, there eels always be because of the way things are moving around but i don't think you're going to see anything that's kind of disruptive relative -- >> what about the election? isn't there -- isn't the -- i mean the forex market is the only one paying attention to the election. i mentioned the mexican pay sow. there have been noted published around the dollar risk vournlding the trump -- >> i academy not going to comment on the election because that's a great way for an economist to lose his job. >> we don't want that but we want to know -- >> i think you can make great
5:39 am
cases for either candidate doing pretty much anything to everything and one of the interesting things about this election cycle is, you know, we're actually still in the early stages of it and i think that until you actually see some of the policy begin to formalize and actually be moved from being a white paper to a promise, you know, it's kind of hard to do an analysis on what we're hearing. >> drew, great stuff. thank you very much for joining us. a pleasure as all. drew matus from ubs. >> i think your job is safe. >> yeah. we'll see. >> moving on. an austrian teenager sugar her parent. she claims they posted 500 photoses of her as a child inclulding boog potty trained. she said her parents knew no shame and no limit to sharing per pictures online. her parents argue they have ownership of the images because
5:40 am
they took the photos. now time for top trending stories. "america's got talent" naming the official winner. grace vanderwaal. popular for her folksy sound and voice she attracts millions of views. >> i love when they unearth a young person or rough diamond like susan boyle of britain's got talent. >> yes, yes. that made it over here unlike your boy band. >> some made it over here. $55 million. >> let's break it down geographically. a musical classic is in the works. they shared short clips of jams on vocals on snapchat. it's unclear whether this will
5:41 am
be a coldplay collaboration or chris martin. >> another brit that made it over here. presidential candidate donald trump joins dr. oz today for his one-on-one exclusive. a release from the doctor shows that -- show says that the doc did a full systems review with trump like all physicians do when seeing a patient for the first time. they went down the list from family medical history to respiratory health. a trump aide said he declared a 236-pound trump as slightly overweight and some of the audience comments trickled throughout the day yesterday. apparently trump said that campaigning was a way of exercise and he has to move his hands a lot. >> and he says he feels as healthy and energetic as he did when he was 30. but that full interview comes out tonight. the world's oeftest man is celebrating his birthday today and he's planning a special event to mark the occasion.
5:42 am
he's turning 113 and he'll finally have a bar mitzvah 100 years later than planned. at the time he was 13 world war i was devastating his poland and then he was running a candy business. he became the oldest man in january now lives in israel. about a hundred of his family members will be there today to help him celebrate. a very happy birthday. >> wow. through both world wars. that is amazing. coming up on the show, today's must-read stories including why larry summer says new laws have not made big banks safer. but first as we head to break check out the european stocks right now. the ftse 100 in the uk is a bright spot. better retail sales for august continuing shake off the brexit. stay tuned. you're watching cnbc, first in business worldwide. the launch window. we have to be very precise. if we're not ready when the planets are perfectly aligned,
5:43 am
that's it. we need really tight temperature controls. engineering, aerodynamics- a split second too long could mean scrapping it all and starting over. propulsion, structural analysis- maple bourbon caramel. that's what we're working on right now. from design through production, siemens technology helps manufacturers meet critical deadlines. i think this'll be our biggest flavor yet. when you only have one shot, you need a whole lot of ingenuity. so i thought it thanks might be times, dad. to talk about a financial strategy. you mean pay him back? so let's start talking about your long term goals. knowing your future is about more than just you. it's how edward jones makes sense of investing.
5:44 am
what if 30,000 people download the new app? we're good. okay... what if a million people download the new app? we're good. five million? good. we scale on demand. hybrid infrastructure, boom. ok. what if 30 million people download the app? we're not good. we're total heroes. scale on demand with the number one company in cloud infrastructure. hewlett packard enterprise.
5:45 am
welcome back to "worldwide exchange." the must-read stories catching our attention. my pick from "the wall street journal" from karl rove. the republican senate isn't a lost cause. i picked it because if you've been distracted by the general election following every single move of trump and clinton, this is worth a read because it goes through some of the key states that are still up for grabs when it comes to the other contests happening in november and that is the battle for the u.s.
5:46 am
senate. rover writing the gop is blessed with excellent candidates who are running strong campaigns ahead of mr. trump. if they keep this up, they'll hold a senate. it will probably come down to a few thousand votes and a handful of states and decided very late on election night. it gives you a sense of how close they are. it runs through without much commentary like that. what's going on in each state. ohio's been a fascinating one to watch. of course, my home state because rob courtman, a republican charged ahead. the democratic challenger. he's largely stayed away from donald trump, not mentioning it at all. it's an interesting strategy that seems to be serving him well in ohio, but some of the other tough races, pennsylvania. it's worth a read it's also interesting to see how much traction the local affairs are getting and the individual candidates are getting and they're getting some kind of response. it's not just oh, you are a proxy for trump. >> right. >> which i this i is an interesting take. a lot of people were fearing
5:47 am
that wasn't going to be the case six months ago. >> different issues. some of them on veterans. you're right. more local elections, local-type issues. >> my picks from "the wall street journal" is titled new laws haven't made big banks paper. this is a summary by the "wall street journal" of a new paper that larry summer has been a part of. he's going to be presenting it today. the article saying with a lower level of equity relative to assets it's not surprising that volatility has gone up or risking that the bank has decreased. the equity to total assets sufficient to cause the bank to fail have caused it to decrease. despite all the development, we've got tons and tons of capital, the argument is that his valuations are quite low, because equity market valuations
5:48 am
are quite low it doesn't have the same effect it could have had reffive to total assets and to highlight this point i bring up deutsche bank. when you're bringing it up and your asset base is still absolutely huge, it is a fair point. you don't have the flexibility in the short term. if they need to raise more capital again nr any short term again, it's very excessive and costly to do so. it's interesting. >> an interesting point and one to wear in mind despite the fact that everybody is saying they're racing capital and they are. there are other areas that they have to consider. >> on the anniversary of the crisis on lehman. we're approaching the top of the hour. that means the team is getting ready for "squawk box." joe kernen joins us this morning from new york with what's coming
5:49 am
up and what is on joe's mind this morning. >> we are a team. i don't think of it that way all the time but we are a team throughout the day. i'm thinking about actually this morning the overall stockmarket, the vix moving a little bit and some triple-digit moves and i worry about september. sometimes it's a cruel month. not as cruel as april, i guess. i don't know why april is cruel. it's spring. but a lot of times the reason you have october lows and again and again we talk about those in previous years, but stocks are low. we're trying to make it. that's an interesting inflection point. so there's something going on, some undercurrent there that bears paying attention to which
5:50 am
maybe we haven't had so much throughout the three months in the summer and then one other thing i was thinking about. i love, you know, media matters, i read it to get a laugh. it's kind of the p.r. arm of hillary clinton. they've got the eight things you don't know about dr. oz and i have a ninth thing. you know, they're obviously trying to undercut dr. oz. my ninth thing is that our great friend roger altman who's a great guy and a gentleman and he's on quite frequently, when he needed a new heart and a heart transplant he specifically asked dr. oz if he would do the procedure which he did and roger is grateful to this day for -- >> it was a long time ago. >> it was. but it was dr. oz that actually performed the transplant. so read what you will with media matters. i read the eight things and i was looking for number nine.
5:51 am
did the heart transplant procedure. because i wouldn't attempt that myself. and i just thought that was interesting. >> it's probably for the best. >> we look forward to the full interview tonight because we've only sign little snippets, of course, and releases from the clinton campaign. joe, thank you very much. >> you're welcome. >> looking forward to "squawk box" in a few moments. he's got a bit of a cold. maybe he should see dr. oz. >> joe? >> yeah. sounds like it. today's data dump could mean another bumpy ride ahead. david joy, chief market strategist at ameriprise financial will weigh in next. you're watching cnbc, first in business worldwide. dry brush over here. we should probably move the bonfire over there.
5:52 am
[smokey whistling a tune] i'm guessing smokey liked that idea. what's critical thinking like? a basketball costs $14. what's team spirit worth? (cheers) what's it worth to talk to your mom?
5:53 am
what's the value of a walk in the woods? the value of capital is to create, not just wealth, but things that matter. morgan stanley welcome back to "worldwide
5:54 am
exchange". have we been overreacting to the spike in volatility or yeels going higher or is something more of concern happening? >> well, i think we're probably overreacting, but, i mean i attribute most of this uncertainty about the path forward for central banks. i through all of a sudden some nervousness has crept into the markets that they're backing away from their support. if you look at the bank of japan, for example, when they instituted rates, it was a fashional disaster for them. you can't blame them for wanting to step back and take their time on what the next move is. the next move does involve additional stimulus and the situation is the same in europe. the ecb knows that it's going to somehow adjust its program
5:55 am
because it's running out of time and bonds to buy, but they don't have to do that until december so that, you know, gives them time to make it politically pal itable to the rest of the governing council. that's causing some near term volatility. i think it's going to go away, quite frankly, because stimulus is here to stay. >> what do you make of the one-year and how does it drive your investment decisions based on where it goes next? >> i think a couple of things. one is if you do believe that central banks are pulling back, it means that there's going to be less buying demand at the long end of the yield curve and that will spill over into the u.s., but i would also point out that we're just back to where the ten year yield was before the brexit vote. we're exactly at the same level. so, you know, i wouldn't read too much into it at this point. if you lap to be long, however, obviously, it's been painful. but i think beginning next week, you know, with the boj's meeting
5:56 am
and then following on later in the quarter with the ecb's meeting, i think we'll get greater clarity and i think yields are going to come back down and i think the fed's meeting is the looft important of all three of those upcoming meetings and i don't expect them to raise thome. >> a quick comment on the election if we can. we're expecting this to be a risk because people don't know what the outcome's going to be. but both are quite committed to infrastructure spend. are we going to get a fiscal stimulus that could be good for markets? >> i'm hopeful that we do. a lot depends on the nature of the control of congress but there seems to be some unanimity. the question or stumbling block is how do you find there? there seems to be no appetite for raising the gasoline price.
5:57 am
one of the ways to fix that -- >> we're going to have to leave that there. apologies for cutting you off. that's it for us. "squawk box" is next.
5:58 am
5:59 am
a flood of economic data. we'll tell you what to expect. apple says the initial quantities of itself iphone 7 plus have already sold out. the stock selling at the highest and warren buffett flying lower on the list of the richest. we'll tell you whoo i and who took the top spot in the top three. it wasn't anyone around here. it's thursday, september 15th. and "squawk box" begins right now. ♪
6:00 am
live from new york where business never sleeps, this is "squawk box." >> hi, everybody. i'm beck request quick along with joe kernen and. larry bossidy is here with us. again, we saw the dow and the s&p down yesterday. they were down marginally. this morning you can see things around the flat line. s&p is up by 1.5. nasdaq by 3 points, the dow, 24 points above fair value. overnight in asia, we're going the check out the nikkei today. the nikkei closed down by 1.25%.

46 Views

info Stream Only

Uploaded by TV Archive on