tv Worldwide Exchange CNBC May 15, 2019 5:00am-6:00am EDT
zpleenchts it is 5:00 a.m. here on cnbc, and here's your top five at 5:00 breaking news. e.u. numbers are crossing right now. can europe finally start to grow again, or will brexit hold it back is the trade war working we've got new signs of a slowdown out of china overnight. we're going to take you live to beijing. that guy, former goldman sachs ceo lloyd blankfine. what he said about tariffs that is getting attention this morning. president trump expected to sign an executive order that would totally ban huawei products from china all across the united states and maybe this is a sign of the times in the high-end art world. a money yea just stoeld e sold
at auction last night for a jaw-dropping price we'll tell you what it was on this wednesday, may 15th, as worldwide exchange begins right now. stock futures flat, to, if anything, slightly hire. the market seems to have calmed down a bit at least for now this coming off of 1% gains on the s&p 500 blsh slightly more than that for the nasdaq yesterday. as always, more on the markets and your money coming up in moments. first, we have got breaking news economic numbers are crossing from the e.u let's see if their $19 trillion collective economy can get going and get growing again. let's get right now to jumana live in london wit broin yeah, you're right
we just got the gdp, the second flash estimate for the first quarter gdp coming in at 0.4% quarter-on-quarter that points to annual growth of 11.2%. year-on-year pretty much many line with the forecast thafls yes just leleased. this is again showing an upward trajectory in q4, the area grew at 2.2% germany is very, very exposed there. brexit uncertainty, another huge issue that's hanging not only on the u.k., but also over the rest of the euro zone as well and let's not forget the plekt developments we've got the big european elections coming up next week. lots of questions there about how the populists will do and the impact that it's going to have on some of the public finances particularly focused on italy. broadly speaking, the numbers have come pretty much in line with expectations and are
pointing to at least some positive germany if i look at shares of deutsche bank, or if i look at other economic data out of germany, one could make the argument that that economy for lack of a better term, is doomed, but we got new numbers out this morning that maybe says not yet. >> no, not yet they came out this morning slielgs higher than expectations actually for germany the gdp numbers there came in at 0.4% quarter-on-quarter. most people had been expecting 0.3% germany had stagnated in the fourth quarter it was actually slightly negative in the one before that, and the question is whether or not this can really continue going forward. again, same issues there we've got tariffs and questions about section 232 and whether or not autos are going to be impacted and a lot of automakers in germany as well we also had some positive seasonal effects the weather was slightly warmer than usual in germany for the
first quarter, which let's rebound in construction activity helped also boost domestic demand many analysts are there -- out there saying that even though we have a surprising uptick in the gdp number out of germany, it's probably not going to continue for the second and third quarters the german market, they're down just a bit we're not seeing the gdp numbers. the ftse 100 and u.k., the only market that is higher. are futures here, which we showed youty top, they are slightly higher. up 32 points now 44 a little bit of a gain there still, long way off of 600 point drop on monday now, in asia japan, who is in the middle of a seven-day losing streak on the nikkei 225 it finally broke that. the nikkei up by a half a percent. shanghai composite
plenty plenty of inventory bitcoin, it is down from its close. it's down right now about .7%. off of yesterday's levels of 83.85, but still bitcoin has more than doubled already this year well, it is only wednesday, and it's already felt look like an entire week for the markets, hasn't it? trade fights, trump tweets, we're down 600 and back up 200 is it really all about trade, or could this also be part of a good old-fashioned overvalued nervousness? joining us now is one of our favorite guests, matt, equity strategist at miller matt, is all this recent volatility 100% related to the trade fight? >> oh, definitely. the one thing we had even before this came out was a stock market
that had rallied 25% just in four months. on a technical basis, it was becoming overbought, and then, of course, that meant its valuations got a little stretched. i was already expecting a pullback of anywhere from 3% to 5%, which is very normal, very healthy, but we had a market that was kind of priced for perfection so that now that we have introduced some new news, it was on the negative side. >> the market will tairng. it will rally if they have a
deal i think the chances of them having a deal any time soon is very low one of the things that you listen to some of the people that keep saying, oh, jeez, it's really in their both -- both of our best interest to get a deal done that's fine, but in the real world if you look -- listen to the people, the leaders who have actually spent a lot of time in china who have done a lot of business in china, they've said all along that we -- that china was never going to agree to the way the administration wants them to. it's intellectual property especially on the side of compliance china, what they really want to do, they want to drag this out, so it moves into the 2020 election season, and it kiefr forces trump to do something i think oath we'll awhat they're hoping is that trump will ask for something small like nafta and then dough claire victory.
>> you roll back over for this move again, it's normal activity. people get caught up a little bit too much in the one or two-day moves and then try to extract it way too far based on fundamental issues markets sometimes move in very strange ways over the short-term >> do you think the market is still too complacent >> to a degree one of the things we have to look at is two things.
number one, the reaction of the bond market. yields have moved back down. they didn't bounce back much yesterday. they still believe there's some problems number two, my concern is on earnings earnings season was great. we beat expectations set for the first quarter. that happens every quarter the thipg is earnings guideants actually came down, and with this issue on the trade side, i don't think we're going to get the bounce back in erjz from the second half that people are looking for. i think the markets are still complacent, but, again, after a 25 periods rally over just four months, that's not the worst thing. >> okay. lastly, there's there thsh trade is everything i guess right now. brexit used to be everything now it's the trade fight there's something else that's big out there that a lot of people quietly are talking about, and that is the very high levels of corporate debt outstanding. do we need to watch the hyg, the high yield etf for any clues is that kind of the cousin oornd the corner that nobody is talking about, but he may be about ready to steal the scene >> very definitely could be the
issue. if things turn down. i mean, you have some of the -- jeff gundlach is talking about that, and we have so much debt that is right on the edge of being downgraded to junk we have this hyg, the high yield etf. we more corporate debt right now. investment grade that could easily move back down. the hyg isn't the -- the last two times the market corrected in 2018, it went down at the same time that the stock market went down. we got to keep an "on it, but it won't necessarily give us the good lead that it has in the past >> matt, miller -- >> thanks, broin >> there's the macro let's get down to the microand get up to speed on some of the morning's top individual stories that are out there
>> good morning. we're looking at hot -- looks like about 2% this morning there's a wider net loss this is an important quarter first full period since canada legalized marijuana for recreational use we expect supply issues for high grade pot to continue to be an issue for the next 18 to 24 months sticking with pot now. cannabis lower today lower looks like about 3%. almost 4%. that company reporting a wider than expected third quarter loss re new rose, how about this, four-fold from a year ago. it's still missed analyst estimates. and, lastly, shares of -- also down this morning. looks like they're down almost 10%. take a look at that. the maker of lab equipment and software were reporting disappointing second quarter results.
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welcome back check this out president trump downplaying trade tension with china he called them a "little squabble." in the meantime, we heard from china's president for the first time in a week now xi jing ping did not directly address the u.s. trade tensions, but he hopes that all countries should, quote, "adhere to open skpns smooth trade." former goldman sachs ceo weighing in saying tariffs might be an effective negotiating tool he compared the situation to a strike where both management and, whoers get hurt, but ultimately, he said that one side will come out ahead he tweeted about an hour later clarifying his comments, meaning by saying u.s. buyers may eventually switch their buying to domestic or non-chinese companies and may be a bit more
than now not great, but part of the process. to assert pressure, to level the playing field. joining us now to talk more about this and the entire market setup globally is john low, ahead of asian equities joining us from hong kong. john, a real pleasure. have you been surprised by the relative strength in the chinese equity markets given everything that we are going through this year >> well, first of all, thanks, brian, for having me on the show for the last two days the market really has stalkized particularly with the chinese market it's surprising a little bit, but not too much partially because the trump administration has been sending signals that a deal is closed, and also, the chinese negotiator, vice premier, also said that a deal is close and that the agreement close to the finish line is normal.
on this side of the pond, the views are quite similar. after all, the u.s. is up. big economy. it has a lot of capacity to -- some of the data that we have looked at from sci is when you look at the percentable of -- relative to the total import in the u.s., it's really small. it's something around 2% or so compared to, let's say, in the 1930s when the percent relative to total import is around 20%. even when we get higher tariff from china, i think the u.s. economy can quite easily absorb
that it's escalated the damage to the chinese economy could be quite high. i think all in all i think there was actually incentive for both sides to strike a deal, which is really what the market expects and hopes. >> hopes and expects it will see if it happens. john low of sci, a pleasure. >> all right another big strike in the trade war, and maybe another blow to china. president trump expected to completely ban american companies from buying telecom gear from companies that pose a national security risk reports say the order will not name specific companies or countries, but that order would be seen as a way to yacht law american companies from buying products from huawei huawei is the biggest telecom maker in chooirn
they believe that gear could be used for spying. on deck, can the white house also take on china and iran. we have an important update on what's happening from d.c. plus, do you think the roads are bad in your state? well, woef got the list of the five states with the worst roads in america we're going to call them the pothole awards, and they're coming up. heading into retirement you want to follow your passions rather than worry about how to pay for long-term care. brighthouse smartcare℠ is a hybrid life insurance and long-term care product. it protects your family while providing long-term care coverage, should you need it. so you can explore all the amazing things ahead. talk to your advisor about brighthouse smartcare. brighthouse financial. build for what's ahead℠
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skbro the bun about ready to rise over our nation's capital there's a live look of d.c that is where we begin this section. prurp gearing up for big battle on two major international fronts nbc's tracie potts is live in washington with more good morning, tracie >> hey, good morning, brian. there's china trade, but first, let's start with the growing tensions in iran. >> purchase says the new york times report that he is considering accepteding 120,000 troops to the middle east to
deal with iran is wrong. kwlo the u.s. is investigating attacks on four oil tankers. they may be planning attacks on the u.s. there >> we made clear to the iranians that the american interests our attack, we will most certainly respond in an appropriate fashion. >> a carrier group has been staged in the persian gulf in case there's a conflict. critics blame america's pull-out from the iran nuclear deal >> we also need to work with our allies in europe and to try and get iran back to the table.
>> tracie, you've been kept busy these days we appreciate it thank you very much. let's get a check on the morning's other top headlines outside of the world of money and business nbc's phillip mena has those stories. >> hey, brian, good morning. the alabama senate has approved a bill that essentially bans abortion in that state the legislation easily passing with a vote of 25-6. it now goes to the republican governor's desk. the lawmaker who sponsored the bill has been clear about its purpose saying it's designed to have roe v. wade turned oh and have the decision returned to the states critics have slammed the bill
calling it unconstitutional. tracist just mentioned the u.s. state department is ordering aall nonemergency government employees to leave iraq saying they're at high risk for violence and kidnapping. the department is advising citizens to leave commercial transportation and avoid u.s. facilities within the country and remain aware of their surroundings game of tloenz viewership has hit an all-time high the second to last episode titled the bells was watched by over 18.4 million viewers across all of hbo's platforms this is the best any hbo show has ever done, and the series finale on sunday is expected to do even better brian, back to you >> the number of viewers seems to exactly match the number of people killed in that episode by the way. i'm going to ask you, phillip, you're on the record right now global television. who wins the iron throne name names >> well, the psychopath ramsey once said if you think this has a happy ending, then you haven't been paying attention. >> he is the worst guy in the
world. he was eaten by his own dogs, thank goodness >> that fill "if i i this i will hold true, and i think somehow sansa will take it in the very end. >> you know vegas bets on this, and you know who is rocketing up the charts and literally there's -- you can bet on this brand. stark. john's brother >> just been sitting there lurking the whoelt time, right eyes rolled back >> ravenized see you soon thank you wrech. >> looking forward to it >> still ahead are, betting on a turnaround where you should be putting your money to work if you believe this market still has room to run on the up side if you think the art market was insane before, just wait until you hear the price of a painting that sold last night you're going to want to sit down for this
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♪ ♪ beyond technology... there is human ingenuity. every day, comcast business is helping businesses big and small go beyond the expected, to do the extraordinary. take your business beyond. >> trying to push higher futures mildly in the green, but can the tariff tantrum really turn in to a turnaround? a retail red flag. what the trade war is doing to one american retailer that will open the eyes of every ceo watching this show let's call this triple overtime. and even as the trade war brews, one big chinesecompany wants t take on starbucks and one of its fastest growing markets. grab another cup as worldwide exchange rolls on right now.
>> i don't think -- i just want to throw that out there. welcome back thank you for being -- a little wham to get you going in the morning. what's next? aha. "take on me. that's not a bad song. let's get up up to speed on the top headlines. raquel solomon >> i like the way we started this block all right. let's move on then here's what's leading cnbc right now. >> it will offset disruption from iran and venezuela. that's according to the swernt energy agencies. monthly auto oil report. the iea reporting that the global market is, well, supplied despite a drop in april. now, let's take a look at oil prices this morning. it looks like wti crude down
.7%. brent crude down .3%, and natural gas up .04% this morning. social media, facebook rolling out restrictions to its live feature. this comes in the aftermath of that deadly shooting in new zealand that was, of course, live streamed on the site. the social media giant introducing a new one strike policy for facebook live this means that it will temporarily restrict access for people who have broken the rules anywhere on this site. now, facebook did not list what the eligible orchss are, but they did say that under these new rules, new zealand shooter would not have had access to facebook live, and, brian, as you know, a lot of people have been calling for increased restrictions to the social media site >> big story there an important one as well.
>> what they call the spring selling season which i'm told is pretty important in real estate. let's quickly check the asian markets, and apparently that chinese stimulus continues to work because the shanghai market rising nearly another 2% overnight. bitcoin, which is already doubled this year is down a little bit today to 83.85 yesterday. it's up right now to 7999. can we get a buyer to even 8,000? bitcoin has been really one of the hottest and most incredible turnaround stories so far this year joining us now is patrick paul, senior equity strategist at credit suisse who is saying sell every stock and put it into bitcoin. no, i'm kidding. where are there now into
equities any pockets of value, especially for our viewers, that maybe nervous and rightfully so about the ultimate outcome of this trade fight >> we think the trade fight is providing an opportunity for investors to get into the market on this short dip. is the discussion something worth fighting for if we are trying to safeguard the intellectual sprorpt, then absolutely yes that's a bye b part zblan issue. fits really just a matter of shifting global balanced payments, then i don't think it's really an outcome that's going to materially move the needle if we're safeguarding the property and from the u.s., then it's a great outcome it's going to be a great outcome. >> a great outcome for the market why is this going to be good are for the equity markets >> longer term the concern is whether or not china is going to continue to force us to transfer our profits to them from some of the investments that we make.
about 85% of the intrinsic value is an intangible assets. intellectual property. you think that this fight may ultimately play out well in equities because valuation can be protected is athat what i'm understanding? >> we don't think it's going to be extended at the moment. on what basis? >> i think oftentimes people look at a pe at a simple way of measuring value. it is an incomplete way. it's kind of like looking at a book and they say it must be a good book, but what we've seen over the past couple of years is companies have become more service-oriented, incredibly capital-light, and they have doubled the cash that they're generating it becomes so much more efficient. when you look at a more complete evaluation such as pry to free cash flow, you see something
that is roughly 20% to 40% undervalued snl. >> as warren buffett will say, cash flow is everything? cash flow is everything. on a price to cash flow basis, how are we looking valuation-wise we're around 20% undervalued it's really because over the past decade companies have become more efficient and investors haven't necessarily been paying attention to this. >> they look at the cover of the book >> yeah. i mean, that's -- >> by the way, a lot of people buy books based on the cover.
they really take advantage of this >> they're outsoring it to china, and that's the reason apple got whacked more than the markets on monday because people feared the act that if they can't get their products, they got to make them somewhere else for more it's going to compress those moments. >> they're taking that volatility off the business. they don't own the manufacturing component. it removes volatility that would have otherwise been there. they will continue to collect that fee the phones are going to be delivered. maybe they'llbe delivered a couple of weeks later. at the end of the day the consumers demanding that new phone, and the sale will be there. >> great stuff price to cash flow look at that not pe make a little too simple great stuff. see you soon thank you. >> coming up, the baby bust. what just happened in america that has not happened since ronald reagan was president. first, the big buzz over a coffee ipo one chinese start-up is looking to take on starbucks in a big
way. eunice yoon with more. eunice, will this be a lucky ipo? >> well, lucken wants to complete with starbucks. i'll have more on luinck's strategy right after the break a 10-k? what's an etf? an ipo? 401(k)? where do i start? empower yourself with the free tools and resources on investor.gov. before you invest, investor.gov.
>> who will be named this year's top reign the start-up you got to find out 20 minutes time we're going to reveal that list. speaking of start-ups, one chinese coffee chain is making a big bet on the american market beijing-based luckin coffee is set to list on the nasdaq this friday it begs the question, who is luckin coffee? eunice is live inside of luckin for us lucky for us, eunice >> yes, it's very lucky. in fact, the chinese name means luck and fortune, and the company is only 18 months old brk ut it hops e hoerpz that it's going to have luck on its side because currently it has about 2 4rks00 stores, and it's hoping to expand that to 4,500 by the end of the year part of the money is going to be invested in places like this this is a pickup store necessitated of a relax store. it's a coffee counter instead of
a cafe luckin's founders believe that the founders believe they know the young chinese very, very well they have a technology background they're all from a car-hailing app, and they say that these days young chinese don't use cash they make almost all their payments using their mobile phone. if you look behind me, i don't know if you can see, but there is flo cashier instead, the wait that you would make a purchase here is that you would take your mobile phone, scan a qr code, and then download the arp and place all of your orders on the app.
there is now a secondary market on alibaba's e-commerceside site where you can pay one recommend mb about 15 cents to be able to get access to other people's coupons so you can always get a very good discount for your luckin coffee broen. >> starbucks better be primed and ready for the market >> yeah. that's right that's right not only that, but luckin says that it also knows that young chinese tastes better, too some of the concoctions that they have are an americano with
orange soda, because they say that chinese tastes are quickly evolving they're trying a whole bunch of new things they also have fruit tea with cream cheese, which, believe it or not, is incredibly popular right now in china it's a larger trend. then, finally, in terms of the food, they have been offering a lot of asian options starbucks has some asian-ish food, but not really where here -- whereas at luckin they offer chicken noodles as well as beijing duck wraps and other tastes oosh other meals which they think are going to go very, very well with their chinese tastes and chinese consumers >> yeah. we've got our disruptor 50 that's coming up from what i do understand, luckin was founded by a female entrepreneur probably on her way to being abouting a billion ar if these not sl already >> yes
tlrn very few people who are at the top when it comes to start-up oorz in business generally who are women, but, yeah, it is run by a woman, and she does have -- >> i was looking at the logo starbucks has the mermaid. is that a gazelle? mountain goat? what is that >> it's a deer that's indigenous to china it's a deer that's indigenous to china, and it's supposed to make a point that luckin is a chinese company and it's nothing else, right? that's the reason why they have the logo of the deer they're very fond of this dahher >> logo of the deer. i'm still diagnose -- younis yoon, thank you. if starbucks is in for a pricing war, there is good news.
skeef futures are not at five-year lows they're at 10 and 15 year lows adjusted for inflation in other words, the bag of a wholesale, you know, group of beans. time for the top trending stories. >> i like mountain lions, mountain goats. the biggest age in america is 26 >> you don't often hear people say get me some millenials >> even if birth rates remain
constant, there will be a who whole lot am people in america >> a sign of tiemds perhaps in the high-end art world a rare money yea painting from the series sold at auction yesterday for this $110.7 million that is the highest amount ever paid for a money yea or any impressionist painter for that matter according to sotheby's, this is just the second time this painting was sold. the last time was back in 1986 that's when it fetched just 2.5 million dollars. how about that? a nearly 2,000% gain over inflation. >> where would you do that >> somebody has got it >> somebody has got it the seller, by the way, is still unfn
>> yeah. >> and the buyer will probably put in storage lockers in switzerland, and no one will see it >> tired of chatty uber drivers. this might be me >> uber is offering an in app solution it's called quiet preferred. it's a setting that uber users can now select to alert your driver thatture not in the mood to talk. at least not right then and there. it's only available in uber black and uber black u.s. rides. the new setting will also allow you to set your temperature preference and request help with your luggage i think i'm a friendly person, but sometimes you get an ubish, and you just want to sleep >> i know, but i don't know. i can see this having a backlash because it's basically the shut-ut button it's like if you don't want to talk to, say, hey, you know what, man, or sir, that's -- >> that's more rude. people say you feel ride >> i think this is going to get -- i just have my spider sense tells me there will be a bit of a back. we'll do a twitter poll. we'll do a twitter poll. thank you very much. >> in the sports world, a big
surprise at last night's nba draft lotsry watch this >> number one pick in the 2019 nba draft goes to the new orleans pelicans >> so the new york knicks were kind of thought to maybe get it with a 14% chance, but no, it didn't go to new york brsh it didn't go to the laker it went to the new orleans pelg cans they had just a 6% chance, and they're good fortune means they're, of course, going to choose choose zion williamson in next month's nba draft we'll see if anthony davis rg pelican's only star who has been itching for a trade rescinds that trade request now that he knows that zion is likely to comment. >> coming up, one american retailer says it has a lot of work to do to prepare for higher tariffs. in fact, they're kind of working triple overtime. we'll explain why. and do you think the roads are bad in your state? we have a list of the five states with the worst roads in america. we're calling them the positive
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- checkmate! you wanna play again? - anncr: prevagen. healthier brain. better life. we are on retail watch we're about to get results out of macy aerkts and tomorrow you're going to hear from a start-up retailer called wal-mart thosz are going to be big nnds sticking with retailer, one american company says they're basically working triple-overtime to prepare for u.s. tariffs on china. joining us now stacy, president of sw retail advisors, cnbc contributor, and you sent out something on social media yesterday which really caught my eye, and that's why we asked you on from amsterdam where you are for a conference that's why is american eagle effect tily saying they've got to create three separate scenarios because they don't know how their business is going to go with the trade war >> hey, brian. good morning from amsterdam.
yes, i think the topic here at the world retail congress is very much about tariffs and obviously the cost pressure and the unknowns that come with it you know, american eagle talked yesterday and kind of tongue-in-cheek said, hey, we've got three scenarios here you know, we've got kind of the base case. we've got the who knows case, and we've got the, you know, i'm paraphrasing, the off the ralds case with tariffs here it's incredibly hard for these retailers and brands to plan, particularly in a twiem when everybody is focussing on sustainability and that is typically doesn't come cheap here >> yeah. i mean, really amazing i think of all the retailers, we have to have all these different scenarios. game plan a and game plan b and game plan c for tafr as well what's the take-away what's -- are they still optimistic, or terrified
>>. >> breck it. you know, nobody really knows what is going to happen with that is there no deal? is there a deal? is there another referendum? you have two major parts of the world satisfying we just don't know how to plan our business, so everything is in a bit of gridlock. skpoo if the tariffs kick in, and maybe the second round,
which is the third round, however you want to frame it, don't expect prices to go up overnight, about ut if you do expect it to go up, it could be a great third quarter, buta ba fourth quarter >> yes i think you can see some of the sales pull forward again, watch out because in q3 prices won't be able to go up as quick enough as the cost of goods coming in. you might see some margen pressure this year i mean, i think on the positive side, you know, you still see stories like wal-mart and target where they're growing traffic. i mean, those are such rare stories that you're not getting a comp from increased prices or less promotions. you're actually getting it from traffic. i think targets have an underdog right now, and one you want to look at with the private label business and how they're really attacking the specialty retail segments inside the box.
>> stacy in amsterdam. we appreciate it really interesting stuff about how hard these retailered have to work to plan for all the stufr. i don't know how they do it. better you than me thank you very much. have a go ahead time in amsterd amsterdam. how could you not? stock futures higher we're coming off a 617 point drop to the dow on money time for your morning rbi. since its infrastructure week, apparently, let's focus on a list you do not want to be on. states with the worst roads in america. california was next at 28% big pot polls e holes apparently, and worst roads in earning many with the percent arch of bad shape roads. texas. 43%. needs some kind of fixing as they say lots of big trucks and long empty spaces before a bad combo. if you don't live in one of
those five states, you're doing okay congratulations on the other 45. fix the roads, nnl new jersey. random but interesting "squawk box" is next but is that enough? i need tech that understands my business. i need tech that works at scale. dear tech, dear tech, dear tech, we're using ibm blockchain to help make sure food stays fresh. we're exploring quantum to develop next generation energy. we're using ai to help create more accessible health care. we're using iot to create new kinds of digital wallets. let's see some more headlines about that. let's expect more from technology. let's put smart to work.
good morning trade war fall-out china posting weak retail sales data overnight we're going to get a live report from beijing on the health of the consumer new scrutiny now on boeing more new scrutiny. like every day lawmakers probe the path to approval for the 737 max we'll bring you new details from a november meeting between pilots and boeing execs. disruptor day at cnbc. we're going to reveal our new ranking of the top 50 companies shaking up multi-billion dollar industries it's wednesday, may 15th
2019 "squawk box" begins right now. ♪ >> let's get a check on how we're setting up for this morning's session. after yesterday's attempted rally, we did close off the highs of the session we are looking at a slightly lower open s&p 500 looking to lose about four at the open dow looking to be down 21. nasdaq going to be off by about four and a half points overnight in asia, we did see a gain we did have some weak data when it comes to retail sales as well as industrial production for the months of april in china we have an up day. hang seng finished higher by half a percent