Im Courtney Reagan in for sara eisen its nice to be here even if its a Government Shutdown kind of monday. Its a shutdown kind of monday nonetheless we continue. Lets have a look at what the markets are doing this morning a decent look in the end were basically 1 down from the weekend. Volatility on the most of the banks, management alluded to during the course of their reporting season but were looking at a bit of a decline in the premarket down 64 points for the dow nasdaq 4 and the tenyear ended last week at 2. 66 having started the week at 2. 55. A big move, just below that. 2. 654. Weve seen a big move in the 12 year basically stayed flat at tenyear highs a steepening of the curve. What did it mean for the dollar. And its moving higher as well we did see a 30 of a percent decline for the dollar index the dollar index, the fifth negative week in a row for the dollar it starts weak again today down about 0. 24 and this week, we do have a ucb meeting and a bank of japan meeting as well. Well, lets get to washington where the shut down has entered its third day. Ka Kayla Tausche joins us the senate failing to reach a deal they had originally expected to reach a vote at 1 00 a. M. This morning. Now federal workers are waking up to a shutdown today a day that many of them were expecting them to go into work they were expecting them to have a vote at noon heres the new proposal that Senate Leaders were talking about. It would fund the government until february 8th but it would extend the built for Childrens Health insurance which ran out friday its beginning to fix the bill for children of undocumented immigrants and a host of other issues before that next deadline comes around on the senate floor last night, Senate Majority leader Mitch Mcconnell said he wants those agreements and hes committed to them take a listen. On the democratic filibuster, the Democrat Funding bill ends, when it comes to an end, the serious bipartisan negotiations that had been going on for months now, to resolve our unfinished business. Military spending. Disaster relief. Health care. Immigration. And Border Security will continue t would be my intention to resolve these issues as quickly as possible so that we can move on to other business thats important to our country so that is a long list of unfinished business. Dealmaking over the weekend, though, was largely carried out by a Bipartisan Group of nearly two dozen lawmakers shuffling between the two offices. Mcdonnell and schumer met sunday but did not broker a deal. Member of this dealmaking group say its still unclear what deal the president and his advisers would agree to but mark short at the capitol last night said the issues, the two are, quote, extraordinarily close. But the white house said the talks wont conclude until the government reopens well see if they can get that deal by noon today the last three shutdowns, november 95, december 95, five days, 21 days, 23 days and 16 days respectively. Do we expect that we will stay below those upper bounds in the wall street of 21 days the longest . Well, you do have a date on the calendar that republicans very much want to avoid. And that is the state of the union. It is already a bad look for them that the president s oneyear anniversary was marked by a Government Shutdown and they want that state of the Union Address on january 30th to be looking ahead about the broader republican agenda. And how much more theyre going to get done this year to build on last years momentum with tax reform if that is if theres a cloud of a Government Shutdown looming over that, you can imagine that messaging changes dramatically and they do not want that to happen so that is incentivizing republicans to come to the table. And it seems like there has been some movement but its about the individual vote at this point. Kayla is there a sign who takes the blame and has that changed as the length continues to draw out in the opinion polls seem to think that the president is taking the blame at the moment if that prolongs, is that going to start to shift to the lawmakers themselves i think it has shifted to the lawmakers themselves both the white house and congress on the other end of pennsylvania avenue are shouldering quite a bit of blame. But i think its more broadly, wilf, i think it will underscore the fact that congressional Approval Ratings are extremely low. People are frustrated with governments, stalemate and bureaucratic process and this will not help the overall look of washington at the time when the president said he wants to drain the swamp and do away with the old goings on in washington. This is very much showing you on display that these are very arcane processes and theyre not going away anytime soon very true, kayla. Theyre not making themselves look any better in the eyes of the American People by continuing with all of these partisan fights. Thank you very much for being here i appreciate it. Im sure youll be with us throughout the day on cnbc with updates. Lets look at other markets around the world asian equities, slight gains for japan. Hong kong and shanghai up 0. 5 between 2 and 3 japan under under 2 last week european trade, the dax was very strong 1. 4 up. The cac slightly higher. Ftse a slight lower. To this mornings top corporate stories, ubs is the latest bank to announce a shortterm hit over the tax overall. Switzerlands largest bank posting a loss for the fourth quarter. Among other headlines from ubs, its increasing its dividends a Share BuybackProgram Worth up to 2 billion sfraefranc. We got that basel 4 thing significant in the european banks moving forward its kind of like theyre turning the tide coming over, but later than the u. S. In tellers of when they can go to shareholders to announce a reinstatement of that policy even though the earning are down and kind of disappointing to the analysts, going back to the shareholders its a significant moment interesting with the global banks having to deal with regulations in europe and tax laws here changing. In other corporate news, carl iza icon has got a message for xerox. Theyre pushing carl icahn to explore options. Theyre calling on the company to explore alternatives which could include other transactions breaking up a straight venture with fuji film and firing Jeff Jacobsen effectively immediately. They have called on the company to break off or the joint venture to xerox saying its unfavorable to zeer roc xerox. Shares have lagged for years but rather decently. Back over to you landon, thank you very much for that courtney, as we were talking earlier, its funny that these guys are focused on quite old companies. Like xerox, p g. Not the new guard like netflix or amazon. Sat back and enjoyed that bit of money in the u. S. Banks and you wouldnt have to argue its old bank stock exactly again, just buy amazon. An awful lot of work well see if they get it some other stocks to watch, sanofi looking to buy bioverativ a premium for the friday closing price. Bioverativ makes drugs to treat hemophilia. Making a new offer until next month. Its said to be keeping its options open on its shares online lender so far has offered its ceo job to twitter according to sources, terms havent been solidified but announcement is likely in the next few days. Still ahead on Worldwide Exchange, is good luck good well talk about a statement in washington in terms what that could mean for your money on wall street. And the u. S. Equity futures right now are under a bit of pressure as we enter day three of the shutdown. Dow jones industrial average indicating they will open lower by 57 points stay tuned youre watching Worldwide Exchange right here on cnbc is the best way to get that fish to your plate safely. dane chauvel sometimes the product arrives, and the cold chain has been interrupted, and we need to be able to identify where in the cold chain that occurred. tom villa we took our world class network, and we developed devices to track environmental conditions. This device allows people to understand whats happening with the location, but also if its too hot, if its too cold, if its been dropped. Its completely unique. dennis woloshuck if you have a sensor that can keep track of your product, it keeps everybody kind of honest that way. Who knew a tiny sensor could help keep the food chain safe . Welcome back to Worldwide Exchange. Futures right now under a little bit of pressure as we enter day three of the Government Shutdown dow jones local average is indicating we will open lower by 69 points. If we were to open up the points nasdaq lower by 8. S p off by 4. 5 points. Joining us, jpmorgan assets management, nick, we have to start right there with the Government Shutdown. It doesnt seem like the market really pays too much attention to these things until it really has to and its forced to and we are day three, futures according to a lower open. What do you think the Government Shutdown means to the investor market and if youre an investor how closely should you follow the headlines . I think when you look at it, Economic Impact doesnt seem to be very large in terms of aggregate. When you think about political risks, the reality is markets get fairly decently tied to it. What are implications more broadly as to whether the president can deliver more initiatives like he did late last year with the tax bill . Well, i think when you take a step back and you look at the Economic Performance the reality is its pretty robust when you look forward whether thats in the u. S. And actually more broadly, so, the key, probably something that can be said. And when you look at the fed, the reality is the market is probably underpriced in terms of what we expect the fed to do this year. Our sense is well be looking at full rate hike and questioned by the market the dollar had its fifth negative weekend in a row last week we also have bank of japan and ecb meeting ahead. Is the risk set for the upside for the dollar this week, given five weeks of decline if we get suddenly something a little more than people expect could we see the dollar rally particularly with the four hikes this year . Maybe but when you think of the dollar theres a difference between the thought that it may consolidate here and the structural. And you look at the structural, at the end of the year, theres no reason that the euro dollar couldnt be 1. 30 or 1. 35 because over time the much, much bigger shift comes from the ecb. And its worth remembering that the hike for the ecb is not priced until 2019. That looks absurd given the expensive great in the eurozone. So this weeks ecb meeting will be very critical and they could well start to be a little more hawkish which could surprise the market and give that euro more sprengtreng. Speaking of the u. S. Again, we do have economic strengths and a number of growths, wage growths in which the u. S. Seems to be stagnant at what point does this become an hindrance in terms of Economic Growth in the jus. Well, lets see, this could be the year that wage growth comes back when you look at 2017, one of the key bits of data was the amount spent. And that rocketed higher in the u. S. Of course when you get spend, you get productivity growth then you can get wage growth so thats the Million Dollar question this year we could well see wage growth finally in the u. S Nick Gartside thank you for joining us right here on Worldwide Exchange, shutdown showdown were heading into day three with a big senate vote looming around lunchtime well have a report from washington straight ahead. As we head to break heres todays Weather Forecast from nbcs bill karins. Good monday morning to you, wilfred and courtney overnight, we saw Severe Weather including a possible tornado in southeast texas. And blizzard conditions develop f ing in nebraska. This will move towards sioux city and south of minneapolis. Blizzard warnings from Northern Michigan to the eastern portion of colorado. A pretty good snowfall for the Central Plains the highest snowfall, in the red, possibility of a foot of snow from mankato to washington and sioux city thats the worst there minneapolis in the south side of town will get hit harder than the north side 3 to 6 inches for downtown todays forecast still the mild air from florida to the east coast. Rainy weather in new york. And rain in new england is going to get messy thats your business because im retired now. So . Were voya. We stay with you to and through retirement. With solutions to help provide income throughout. So, youll still be here to help me make smart choices . Well, with your finances that is. We had nothing to do with that, uh, tie. Or the suit. Or the shirt. Voya. Helping you to and through retirement. Or one thats good for my teeth . That whitens my teeth i dont have to choose from crest 3d white comes new whitening therapy. Its our best whitening technology. Plus, it has a fortifying formula to protect your enamel. Crest. Healthy, beautiful smiles for life. In political news, germany is taking a big step towards forming a new government seasonal democratses have committed to forming talks with Angela Merkels conservativeship could move closer to a more stable government after months of deadlock. Merkel is adding she looks forward to the intensive talks so this was a big and crucial step albeit it was so close for the spd the social Democrat Party voting 362 it shows how much opposition out of the Second Biggest Party to continue the Coalition Talks it just means the Coalition Talks the spd will have more talks. It was a massive and crucial step forward but it was close. And its not a done deal yet again, its another factor that merkel herself will likely be weaker in the next decade than the last decade. Theyre not quite where we are. Exactly exactly. And compared to other countries, any is better. Exactly to political news, Vice President mike pence is meeting with israeli Prime MinisterBenjamin Netanyahu in israel the Vice President is receiving a warm welcome from the government which has praised the Trump Administration for recognizing jerusalem. The decision has upset israeli and palestinian allies back in washington, the Government Shutdown enters day three this morning john horovitz joins us from d. C. Good morning, john five days, 21 days, 16 days, respectively if we last as long as the latter two, 21 days and 16 days, take us through what we likely will see in the next few days and how it may affect the economy and the market well, i think what were likely to see, wilfred is repeated attempts by republicans to put pressure on democrats by forcing them to vote again to keep the government shut down. We have this vote at noon. Two republicans that have voted against the shortterm bill to keep the government open theyre now going to vote in favor of that. Its 53 compared to 57 how many more will they get . Somebody i talked to last night said they wont get seven today. But how long do people hold out . Peoples patience and fortitude gets weaker the longer this goes on well, how long does the incentive really work for a Government Shutdown to make somebody want to come to the table and negotiate . Its not the first time weve been here. The shutdown doesnt seem like its that bad with some of the things that the concessions that the country is making as far as keeping some of the parks open some of these government workers going in i mean, is there really incentive to compromise . At what point do you really have to come to the table there is. Eventually, the public gets so sick of whats going on in washington that that heat falls on the people who are running the government the incumbent members of the senate that can be bad for both parties. It usually is one party gets the bulk of the blame. But remember, these are also people who have run for office to affect the government they dont want to shut it down. They dont want to tear it down ultimately and so, you know, people, they have political interests, but they also have institutional interests. Especially among democrats this is a more progovernment party than republicans a lot of those people dont Like Services not being available people not getting paid. Troops not getting paid. All of that generates pressure john, how significant will it be, if republicans unite in the next vote and all 53 vote in the same direction, for starting to shift the sort of image of whos to blame for this . If its just the democrats that are holding out in the senate, does the blame start to move away from the president and republicans in terms of opinion polls and how it sits in peoples minds and start to focus on the democrats . Somewhat. The republican path gets easier if they unite their party. The underlying backdrop of this, though, is that President Trump is seen as the most powerful person in washington and so democrats are going to direct their fire on President Trump to try to get him to make a deal with them and also to influence not just the senate or the house. A lot of this is ultimately going to play out the things that the democrats wa