The nasdaq is on track for its best monthly gain since july of 2016 the s p 500 is at its biggest monthly gain since last february the s p and nasdaq have risen seven of the last eight trading days if you were waiting for things to slow down, you are still waiting. Triple digit gains for the dow already this morning overnight in asia there were gains this came after the strength yesterday with the dow up 200 points. The hang seng was up by 1 shanghai was up by 0. 1 . The nikkei did give back some ground in europe this morning, there are some green arrows across the board. Gains of a quarter percentage point for germany and the ftse in london. The cac in france is up by a third of a percentage point. If you want to look at treasury yields which have been picking up ground, you will see the treasury yield for the tenyear, sitting about the same, 2. 544 lawmakers in germany reached a break through in talks to form a new government the euro rising. You need a government. Euro rising to new highs on news that Angela Merkel recommended that conservatives enter formal talks with social democrats. This follows months of Political Uncertainty and deadlock in the largest economy in the eurozone. There are some stocks to watch this morning theres going to be more once we start seeing results Fiat Chrysler plans to shift production of its Ram Heavy Duty pickup trucks from mexico to michigan it will invest 1 billion in the u. S. Plant and add 2500 jobs, and add a bonus to some workers. Thats a move that was made possible by the pathetic new u. S. Tax law nancy pelosi pathetic amd is admitting the exposure to the spectre flaw is much larger than first thought last week amd said there was a near zero risk of its chips being susceptible to the flaw. And intel is asking customers to hold off on installing patches that address the spectre and meltdown flaws the patches have bugs whic could cause computers with older chips to reboot more often than normal facebook is unveiling its biggest changes to the news feed in years they will prioritize posts from friends and family over public content like viral videos and posts shared by businesses Mark Zuckerberg saying he is changing the goal i give our product teams from foe kcusing u find relevant content to helping you find more relevant interactions this could affect the social ned works metrics overall he says he expects engagement to drop but time spent on the site will be more valuable. But i expect the time you do spend on facebook to be more valuable and if we do things right well be good for our community and for facebook this is in the face of fake news, russian manipulation over the president ial election. Shares of facebook are up 44 in the last year. Almost an oxymoron. Whats that social contact on a screen. Not if youre in touch with family there are cousins i never get to talk to. This is social contact. Youre there im here yeah. Wouldnt you love a screen between us if youre looking at a little phone, by definition, its not social contact i was skeptical of it before i got on it, then you talk to people from high school, you talk to family i never get to see. If someone has a death in the family, thats usually the way i learn. Friends from long ago, people you have not talked to people you remember fondly i have to say, i think this is something that would make me appreciate it more i dont need it as a flu news f. I get plenty of news here. Too much lately, like a fire hose right blackrock out with Quarterly Earnings profit came to 6. 24 a share compared to the estimate of 6. 02 revenue Beat Estimates as well like a real number, up 12 year over year. Blackrock announced a 15 increase in its Quarterly Dividend now that would be 2. 88 a share Ceo Larry Fink will join us to discuss the quarter in just a couple of minutes. The political buzz, if you need one this morning, theres one. A profane comment coming from President Trump creating a stir inthe immigration debate eamon javers joins us with more. Before i get to that, let me bring you up to speed on some tweets from the president overnight. He made some rare late night tweets last night stirring the pot on a couple issues including immigration. Heres what the president tweeted last night on immigration. He said the democrats seem intent on having people and drugs pour into our country from the southern border risking thousands of lives in the process. Its my duty to protect the lives and safety of all americans. We must build a great wall, think merit and end lottery chain. Usa. So those are his thoughts on the negotiations going on on capitol hill he also tweeted last night about his decision to abandon his trip to london. He was invited last year by the queen through theresa may to visit london at some point they thought that would happen in 2018, but not so says the president. The president gave the reason as im not a big fan of the Obama Administration having sold perhaps the best located and finest embassy in london for peanuts. Only to build a new one in an off location for 1 1. 2 billion wanted me to cut ribbon, no. It was actually the Bush Administration that began the process on that. And theres some critics in london who say the president is canceling because he wont get a good reception politically not a lot of fans in london. So come questions there about what the president s motivation was. Lets go to this comment yesterday that everyone will be talking about today. The president was in a meeting with republicans and democrats on immigration in the oval office at the white house. He was briefed on efforts to include haitians and El Salvadoran immigrants. He said why are wehaving all these people from shithole countries come here. Thats a dramatic comment from a president of the United States got reaction from around the world. The interesting thing here is that the white house put out a statement after that, it was reported, this was not on camera, reported by the washington post. After that the white house put out a statement not denying that the president made that comment. Here is the white house statement. Certain washington politicians choose to fight for foreign countries, but President Trump will always fight for the american people. So the white house not denying those comments mia love, a republican congressman from utah, she said these comments were unkind, divisive, elitist and fly in the face of our nations values. She said this behavior is unacceptable from the leader of our nation those comments last night, joe, will scramibble that immigration debate that the president was tweeting about well see where it all lands this morning a dramatic and profane remark from the president of the United States at the white house. Saw those mia love comments shes great. Unedifying, low brow, thats what they are calling it the journal combined his comments with Nancy Pelosis comments about im supposed to be negotiating with five white guys to do immigration what are they going to do, open a hamburger stand next steny hoyer calling this offensive. A mudslide not to compare it to the horrific events in santa barbara, but calling this a washington mudslide. Once you think you have gotten to the lowest point, you can get, theres a floor below you can go to the basement the president said he doesnt want immigrants from hate pi itr questions why they should be here, but he would prefer immigrants from norway the subtext of that is racially tinged hundreds of thousands of comments this has set off a debate around the country on whether or not the president is a racist, whether he said something racist or whether he in his heart of hearts is a racist he is not doing himself favors in the debate with comments like that. All right thank you. I dont know whether well see you again. If not, have a good weekend. We can always use weekends lately fridays thank you. When we come back, blackrock out with its Quarterly Results they beat the street we have the chairman and ceo, larry fink, hes here with us o set to talk about the numbers and what else he sees in the numbers and around the world squawk box will be right back with larry fink. Lets begin. Yes or no . Do you want the same tools and seamless experience across web and tablet . Do you want 4. 95 commissions for stocks, 0. 50 options contracts . 1. 50 futures contracts . What about a dedicated service team of trading specialists . Did you say yes . Good, then its time for power e trade. The platform, price and service that gives you the edge you need. Looks like we have a couple seconds left. Lets do some card twirling twirling cards e trade. The original place to invest online. Welcome back blackrock earnings are out this morning. That Company Coming in with earnings of 6. 24 a share versus 6. 02. R revenue up by 12 . Larry fink joins us. Blackrock has about 6 trillion a sets under management. Larry, thanks for joining us great to be here. Numbers are better than the street was expecting whats happening is this a continuation of etfs more money coming in what are you seeing . Over the course of the year, we added a trillion dollars. That gives you the extent of what market beta has done. We also grew across institutional, retail, cash. A couple of statistics i look at for the breadth of the type of demand we saw last year, we had 14 countries where we raised over 1 billion we had 67 individual differentiated products that grew by a billion. So the demand was global worldwide. You know, all different products i think the surprise for me, when you reflect on the year, we still saw about 1 190 billion o inflows and fixed income everybody is calling for a change in the regime of fixed income yet we saw huge flows in credit. Thats why credit is so tight. And many other different types of fixed income products about 150 billion of flows in equities, multi asset, cash and alternatives we are Warren Buffett on this morning. He talked about bonds. He said i told people for the last decade or so, they should be in equities, not bonds. Thats the right call. When you look out broadly, just because you mentioned those bond inflows what do you see as somebody who knows these markets so well . What we try to tell everybody is to be mostly in equities. Ive said this over the years. Be 100 in equities i said in 2012 i think people are not good at market timing. For those who are saving saving is not as much fun as consuming. If youre saving for the outcome of retirement, a 30year, 40year obligation, that thing should be in things that can compound over a long period of time equities is a far better asset class than fixed income. That being said, if youre a responsible pension plan that you have to navigate around, men and women in your pension plan who are 70 years old versus young people who are 30, you have to have a mix of bones, equities and alternatives. For the individual investor who is listening, they should be even at 50 years old, the majority of those assets should be in equities no question weve had a dramatic run up in equities yet over a 30 to 40year period of time, even at this entry level now, i believe youll do better in equities and in bonds. Lets talk more about your earnings touching on that point, thats a huge call to hear that from you this week, from Warren Buffett this week. Even with stocks at these levels, youre telling people that this is the time to be if your horizon is two weeks, thats not a good decision if youre 50 years old, youre telling them to do this sure. Lets talk more about earnings what else stands out to you. As i think you said earlier in the show, revenues are up 12 . By growth in base fees, performance fees and technology and risk management. Technology was up 14 were seeing more and more youd utilization of our aladdin system its our penetration with clients is deeper and broader. I think i said this over the years. If we can work with our clients on outcome investing, not momentary investing, if we can provide them a holistic review of what of all products, passive and active, were winning more and more clients, more of their wallet across the board, worldwide, were pretty humbled by this, but we have greater and greater confidence with clients and working along side Blackrock Etfs are 30 . They crossed 1 1. 8 trillion t blackrock. So under 30 still growing rapidly. We had 2 245 billion of growth i etfs this year if you add up the growths of etfs at blackrock and our ishares products, the growth over the last two years is more than the entire pool of etfs that we bought in 2009 in 2009 when we bought bgi, ishares had 3 340 billion that was only in 2009, october of 2009 when we closed and now today its 1. 8 trillion. Lets talk about markets once again. You told us the last time you were on you were concerned about the fed po tententially raising rates too quickly. The economy is chugging along. Unemployment is continuing to fall to record low levels, 4 . What happens we dont see inflation yet we had numbers where inflation was more muted than we thought. However this is an unusual time. We have had a path by the Federal Reserve that is a tightening path. You rarely see fiscal policy stimulus when you have Monetary Policy tightening. You mean the tax plan that just passed. People will tell me, if you can get a tax plan, lower Corporate Tax, you do it any time im not trying to suggest timing, but its unfortunate when we have that stimulus and we believe that tax bill will create at least 1 added stimulus 1 gdp growth. So were more constructive on the competition of the tax ccomf the tax cut and what it will do to the economy at the same time theres going to ab certain point ificat be a where the tax cut is stimulating the economy but also slowing down tax cuts front end a lot of growth, the question is whether it will create permanent growth. Larry, two things when you go and davos man, when you go and have your 150 meetings over there, which you do, keep one thing in mind number one, certainly were going up in rates. But theyre so low historically, im not sure it means the same thing. Number two, if theres headwind from going up, you might think its a time where to offset some of the headwinds, and its not a bad time to have stimulus. I dont disagree. Factor that into your globalist thinking i appreciate you helping me out. By theres going to be a certain point where the tightening can pull down the economy. Youre right that may be the appropriate thing to do. If rates were coming down and we were at 4 and adding stimulus, i would be like, wow, were throwing gasoline on it. But we need to look at the composition of the yield curve if the short rates rise up much faster than the long rates, if we see incredible tightening, weve seen tightening on the tens tens the question will be could we see this will be linked to how the Federal Reserve unwinds qe, and begins selling could we see a point where i think i talked about this last time i was on the show, could we see a point in time where we have an inverted yield curve i dont believe those are good for anybody. So im not suggesting that, but i blooelieve theres a grear possibility we may see that. Do you use the long end of the european curve we already got one what does that mean . It means that theres more demand for intermediate investments than but how do we get is this time different because of Central Banks around the globe . 40 basis points in germany. I agree its weird. Im speaking about our yield curve, not the german yield curve. I think ours is because of that, right . We look so much more attractive. I think our flows at blackrock are evident of the type of demand were witnessing. Weve seen so many clients stand on the sidelines, despite the flows weve had, we still see most investors underinvested, we see most investors sitting with the duration of their liabilities longer than the duration of their assets so theres a lot of theres quite a bit of purchasing power even at these levels that keeps the markets stable. This is why were still quite bullish on equities at these levels this is why we think well see high Interest Rates, but not as high as people fear, and inflation is muted we dont see it this time inflation changing the two keys for inflation are dominated by are we at a point in time where wages now will start increasing dramatically . Were seeing that in the highend area, the programming, engineer types were seeing large wage growth were seeing this throughout the country. The key is paying attention to china. If china aggressively does reforms that they talk about, what the reforms mean to me, they will take out the excess capacity china has been an exporter of deflation. Could china become Something Different . That will change the metrics of global i flanflation your investors, because you have so much assets under management, youre investors are not just the rich effort aest a wealthiest, you have a democratic view of whats happening with investors right who are they . Somebody walking down the street right now theyre were the largest manager of pension assets in the world. Its a deep responsibility we are in charge of school teachers, police so what we see gives us an average feel of what the investor sees. The investors are looking to put money to work now. Theyre underinvested. This is why were not as frightened as some of the fear mongering going on related to rates and the market we believe the u. S. Economy and the synchronized global economies are Strong Enough to continue the upward bias on equities we believe the demand that we see in credit and other assets is going to keep a spike in Interest Rates to be more muted. We think Interest Rates will be higher, but were not frightened as joe was talking about we dont think this is necessarily bad. So your people my people called cnbc and said is rick going to be on and can larry come in . Im sure thats true. You heard a song, and you said thats the umineers so rick allen will be here the dead guy is steve with a c. Like an important guitar player he died early on rick allen lost his arm in 1984. Before hysteria. It was the