The cac and ftse are weaker. But spain has picked up, 1. 2 gains there after the catalonians did not go ahead and declare independence lets look at whats happening with crude oil prices. Yesterday another gain in crude oil prices this morning up 41 cents now talking about wti above 51, 51. 33. A couple other stories were watching china urging the United States to halt the threats of violence against north korea. Chinas communist party own newspaper saying the war on the Korean Peninsula would be craftic and dialogue remains the best option. Concluding trumps strategy could backfire bigley. They used bigley . They used bigley. Yesterday the u. S. Flew two bombers over the Korean Peninsula in a show of force fireeye reports that hackers linked to north korea north korea recently targeted electric Power Companies using fake invitations to a fundraiser to target victims on todays wall street agenda minutes from the fomc meeting come out at 2 00 p. M. Eastern time we will hear from charles evans, bill dudley and San Francisco fed president john williams. On the earnings front, blackrock and Delta Air Lines both report results before the open well bring you an exclusive interview with blackrocks ceo, larry fink at 6 30 eastern time. Deltas ceo, ed bastian will be at 7 00 p. M. Probably in english probably wrote an english version. I assume. You cant translate bigley. Would you want to do a translation . Back to chinese right i dont think theres a way that there could be its big league is what its really saying maybe its part of the lexicon. I bet they wrote it they had to write it in english otherwise theres no way to translate it nfl team owners will consider requiring players to stand for the National Anthem. Theyll discuss the issue at the fall meeting which begins next tuesday in new york. Yesterday on twitter President Trump questioned tax breaks for the nfl and Sarah Sanders clarified yesterday that federal tax doesnt apply as we talked about here, but said the nfl receives tax subsidies on a variety of different levels. I read i was reading in the journal, the actual story. Its on page a3. The way they said it i thought was interesting. The nfl goodell said he would like to see players stand. Its just the way they the decision to consider an adjustment reflects the mounting concerns among owners that the controversy could have longterm financial implications yes yes thats exactly thats the only thing these guys respond to high and mighty, this and that everything else. The minute they see the ratings, they see things drop, they see the fan backlash get us out of this. It was funny the way the journal put it that might be a factor were continuing to follow a developing story out of Northern California at least 17 people are dead, thousands of structures have been destroyed as fastmoving wildfires ripped through the heart of californias wine country. More than 20,000 people have fled their homes authorities hope for cooler weather and lighter winds that would help firefighters. We have a live report from napa later. The white house just releasing details about a speech President Trump will give tonight in harrisburg, pennsylvania the topic, taxes ylan mui has the details good morning President Trump will debut a new argument for tax reform during that speech in pennsylvania tonight he will say the typical American Household will get a 4,000 pay raise in f. F we move from a wod wild to a territorial tax system and repate yacht friate foreigns Kevin Hassett has already done a lot of work in this area and the Administration May release a report today the number gets to the heart of the administrations case for tax reform that cutting the rate will lead to more jobs and higher wages for middle class workers. President trump will speak in front of about 1,000 workers in pennsylvania today many will be truckers. If you remember, trump turned tow truckers for help with the healthcare bill back in march, thats when he climbed into a mac truck on the south lawn. This time he will be talking about trucking as the bellwether for the American Economy it seems like a strange audience for a pitch on the territorial tax system, but white house Officials Say this is the point. The new system will lead to investment which leads to more manufacturing, which they say means more goods tow truck across the country back over to you guys. A quick programming note, the chairman of President Trumps council of economic advisers, Kevin Hassett will join us at 7 40 a. M. Eastern time hes been with us for years from ai, now coming to us from the cea. We have to show him that the new picture yeah. Cea. Thats big look at that thats like marquee billing there. He will like that. He does already. He can see that. Hes smiling. Big smile lets talk about another issue weve been focused on. Thats the fourth round of nafta talks. They begin today in washington sources tell as soon as scnbc t. Will require stricter standards for goods to be called duty free, those include content of origin requirements as much as 785 auothe origins like mexico canada and the u. S the white house says that President Trump asked congress for a nearly 5 billion loan to try to help puerto rico in the aftermath of maria an Administration Official says the loan would include a 1 150 million advance to help with payrolls and pension payments. But this money would not pay down puerto ricos debt. The white house and congress have so far focused funding efforts on immediate Disaster Relief the house is expected to consider a request this week for an additional 13 billion in funds for victims in texas, florida and puerto rico. Alibaba making a 15 billio investment in research and investment the Company Plans to launch eight centers in china, israel, russia, singapore and the u. S. Researchers will work on ai, quantum computing and fintech. Shares of kobe steel falling again today. A unit of the company was found to be falsifying data. Kobe steel eventually admitted that it falsified records to show aluminum and Copper Products met customer specifications that stock is down more than 30 just this week alone down 17 , almost 18 in the premarket today. Shares of chinas great wall motor rising 15 in hong kong. Reuters reporting bmw is exploring a joint venture with the company and may open an Assembly Plant in eastern china. Lets get back to the broader markets. Joining us is jeff knight, global head of Investment Solutions and cohead of global Asset Allocation at columbia thread needle investment which has 4 473 billion under management and Chris Cordero from regent atlantic i see theres a lot of financial institutions, talking about in the media that need to churn out a lot of information the latest sti efest stuff is ts crazy. We have not seen a stock market run like this in years and years. Some of them say its overheated others seem to think that there are reasons that this is going to continue. Do you guys disagree on this will it continue or is it overheated history shows that periods like there tend to persist more than reverse and reveal a sort of strength and stability in the real world. Thats what i think we have here its 24 since the election every morning we come in here, you know there used to be days where the futures would be done 100. We know about september, one of the least volatile months in years. Is there a is there buying support underneath is it the fed . Is it really the notion that less regulation and some legislative changes are a positive if you think about bull markets, bull markets dont die of old age theres something that has to happen to them they die because Interest Rates are rising precipitously high. They die because of irrational exuberance the fact that were wondering about this, that means were not irrationally exuberant were looking at this, does the economics support it you have Economic Growth low inflation, low Interest Rates. If you looked at the numbers without looking at the past eight years you would say theres room for more. Do you see complacency at this point thats why you get a 5 correction people are too sure. We have not even needed that, because people have not been so sure that the market will continue theres been a skepticism all the way. We have not even needed a shakeout not the same kind of complacency in past highs. We are late in the game. If you think about bull markets, what tends to correlate with the lows and the highs, the bull market starts when things are terrible, unemployment is high, credit spreads are wide, valuation is cheap all of those things have traveled a long way. Were at close to the limits of how far those things can move. Its reasonable to con ttemplate the end game of the bull market. Nothing disrupts it as we sit here today if we had to guess on how this would how this would end, in terms of when and in terms of how, can you give me either i think when, when you start seeing corporate earnings declining. What would cause that the greater economy starting to decline i think youll see when consumers start to be spending less, when earnings start trailing off as we enter into this earnings season, all the expect takes are that well have another good quarter. Would inflation and if Profit Margins start to get squeezed from either input costs or wages, would that be the peak of profit nors sis for this cycle would be a classic. That the way it works thats the way it tends to work thats why the stock market wont go down. I think tends with a policy mistake. Whether thats Central Bank Policy mistake or too much of an urgency to normalize policy, when maybe normal is not the same bankers policy mistake, not some could come from anywhere. Lots of avenues for policy mistake. 50 50 that the central bank mistake would be tightening too quickly or staying easy for too long Interest Rates are a big part where else will you go you going to go to the tenyear treasury staying too long at zero and theyre already behind the curve . Or Krugman Krugman said he would not be raising rates. Many people are saying that mark grant a lot of people are saying that. Even some people who wanted to raise it two years ago are saying that. Depends on whether youre paying attention to output gaps or attention to losing my train of thought, paying attention to financial conditions if youre paying attention to output gaps, you think about tightening now what do you mean, n what do you mean output gaps . Unemployment is very low. So not being able to find people you say now we have to be careful because well get inflation for the reasons you suggested, wages will take a bigger share but what about the financial conditions th what is so frightening right now . The reason not to tight season if youre worried about debt and leverage and disrupting an equilibrium disrupting an equilibrium that you helped create as a central banker by pushing money into this. Right and the rest of the world is easing you will cause the dollar to strengthen we were the first ones to go into qe, which means we have to be the first ones to come out. Would expect we would be doing this while the rest of the world is behind. We can lead the way out if the rest of the world is still easing t will cause the dollar to get really strong, then we get completely unco uncompetiti uncompetitive. So we are stuck we cant get out of this you make it sound bad lets keep drifting along. We thought we would get out of there by letting the Balance Sheet roll off we have not done that rapidly. We dont have plans to do that rapidly. Theyre only talking about minor adjustments, then you have the whole issue of trying to get rates back to a normalization level. We dont even think normal is 5 , 6 anymore normal is 3 its a struggle to get there. When you look at how to end the bull market, theres nowhere else for investors to go with their money. Stle to sthey have to stay in s. What is it called theres an acronym t. I. N. A. , there is no alternative. Who made that up . Jason trennert. He said he inhavenvented thc salad. No, he does not. He said he used the mother of all as the he was the first person i heard use t. I. N. A. Really . Yes i think cramer was the first to say f. A. N. G maybe can you confirm that, sorkin . I think that may be true. I think that may be true. I dont know about trennert. Thank you. Thank you. Very quickly, just looking at blackrocks numbers crossing here it looks like they came in with earnings per share of 5. 78 a share. Streets expectations was for 5. 58 depending on which source youre looking at, though 5. 56 is what thompson is quoting. In either case, its a big beat. The adjusted earnings are 5. 92 that is a bigger beat. They are coming in with revenue of 3. 23 billion versus 3 3. 1 billions that was expected in ref knrevenue numbers it looks like that stock is is trading up by 1. 51 already. We have larry fink joining us to be talking more about the results in just about 13 minutes time when we come back yeah. Yeah. Investment giant blackrock out with those earnings. We will talk to larry fink. We will talk to larry fink about those issues and more. Is he a soccer fan . Dont know. Well hear where he sees the markets moving. At 7 00, we expect results from Delta Ed Bastian will be joining us for an exclusive interview on squawk box. Stick around well be right back. Not rebalancing your portfolio. Focused on what you love, not how your money will last through retirement. We make it easier to plan for retirement with day one target date funds from prudential. Look forward to your 401k plan. Throughout history, the one meal when we come together, break bread, share our day and connect as a family. [ bloop, clicking ] and connect, as a family. Just, uh one second voice guy. [ bloop ] huh . Hey . I paused it. Bam, family time. So how is everyone . Find your awesome with xfinity xfi and change the way you wifi. Welcome back facebook dispatching coo Sheryl Sandberg to washington this week the social Media Network trying to contain the political fallout from news that russian agents used facebook to spread disinformation during the elections. Sandberg will reportedly meet with members of congress her visit comes weeks before the house and senate holds hearings with facebook and other Tech Companies about russias role in the 2016 election. Time magazine cutting circulation. The magazine industry has been struggling the company will reduce weekly circulation of the flagship magazine time by onethird to 2 Million Properties it will reduce print frequency of seven titles. Shares of time inc are down more than 27 yeartodate. Thats what they send out to be bought in stores . To be bought in stores . Or to subscriptions why you wont reduce subscriptions. If people subscribe, you send it out thats my question you wouldnt reduce that that might be the stuff youre not sure you will sell they will reduce its the number of issues theyre cutting the number of issues from 38 to 27 which is not just in store my understanding was that they were cutting the number of issues, but they were separately also cutting the physical number of copies they will be printing in that there are stores that are not selling enough copies. For Sports Illustrated in particular, theyre cutting the titles from 38 to 27 it will basically be a biweekly with one extra magazine that comes into the play. They were it was coming out 38 times a year okay. I did hear the number for Sports Illustrated. Time is weekly. Time with weekly. Do you ever see when they try to return the magazines . Thats the problem its effectively consignment business sometimes you see people, they rip the covers off, thats how they get the money back. They give that back to get the if they want the money back to say we didnt sell this. This is how we prove we have not sold this copy oftentimes now, ive seen, even the hudson news at the airport, youre seeing them put them back into boxes to get rid of them. Revenue down 9 from the beginning part of this year. I feel bad for the trees, too. That got killed for naught . No reason at all. Its true lets talk about some fake news right now dow jones sending readers haywire yesterday after the news wire falsely reported that google was going to buy apple for 9 billion that was followed up with more wires that read google says yea. Google gets 9 apple shares for each goggle share. Google will take over apples headquarters dow jones apologized saying the wires were sent out in a technical error. This doesnt make sense unless somebody was practicing with somebody on the news feed, so they came up with the most ridiculous having worked at dow jones, seeing how sausage gets made, when you play with some proto toptypeprototyps microsoft takes over the world, or in the old days, we were trying to put web stuff together same thing. When we started wsj. Com, you were playing around with these things assuming nobody would see them i would believe it if i saw amazon takes over the world. If that was the headline . Would you know thats not true the deal was going to close tomorrow then what . I would still want to check google says yea i was talking with a trader ai listens to our show, they take it and they people try to trade off of it. Alexa stop doing that thats scary. Because amazon takes over the world the opposite of what were recommending thats what im worried about. Mmh mmhmm. President trump is awake hes tweeting. Stock market has increased by 5 5. 2 trillion since th