It was a big rally yesterday gave back many of the gains late in the session the dow did end up more than 100 points by the end of the session. Overnight in asia, a bit more muted today after the big gains yesterday in the markets the hang seng opening after being closed on monday for a holiday. Its the stock market trying to do some catch up it was up by 1. 2 . Shanghai was flat. Nikkei was up by a tenth of a percent. In europe, some early trading taking place a bit of a mixed picture there. Ftse up by a half percent. Modest declines for the cac and the dax. Stocks are higher in italy and weaker in spain. In the United States, if youre watching the threreasury market the tenyear is yielding 0. 15 lets talk trade President Trump saying trade talks have begun following his meeting with president xi jinping at the g20 speaking at the oval office yesterday, the president said the renewed talks are being held by phone any trade deals will have to lean in the u. S. s favor obserit has to be a deal tha somewhat tilted to our advantage. If were not going to do that, were taking in a fortune from tariffs. Unfortunately were hurting china by doing that. Many of their companies are leaving and going to a nontariff state trump and xi have agreed to hold off on imposing those new tariffs on u. S. And chinese imports. Trump said existing tariffs on 2 250 billion of chinese goods will remain in place chinas second in command has a message for the Global Economy premier li said china will ease ownership limits for its Financial Sector by 2020, thats a year earlier than scheduled. Other trade headlines, the u. S. Is stepping up pressure on the eu in a long running dispute over aircraft subsidies. The u. S. Trade reps office is proposing 4 billion in additional tariffs on european goods, that list includes olives, Italian Cheese and scott scotch whiskey the u. S. And the eu have been threatening to impose billions of dollars in a titfortat on planes and food in a 15year fight now. I dont know if that scotch and whiskey has an e on it we had one in there the United States would not ireland would. That was a misspelling there. Andrew rolled through it like a pro. Tim cook is firing back at wall street journal report on tensions between apple and jony ive. I have funny with the first name thats the jony version of Jonath Jonathan have you seen it like that a lot . No. The longtime design chief announced his departure last week the journal reports ive had been drifting away from apple in recent years but cook calls the story absurd, the conclusions in his words dont match with reality he said at a base level it shows a lack of understanding about how the Design Team Works and how apple works. It distorts relationships, decisions and events to the point that we just dont recognize the company it claims to describe. The response relatively rare for cook, who typically doesnt communicate directly with reporters over Something Like this normally companies dont push back unless they feel its totally an air. Reporter error or riling things up. You think hes lying . Not lying if you care about your company, you want to support your team, you put out a letter that says this theres no question theres parts of that story hes massaging. The prodd broader idea that y ive i cant fathom would be in dispute with anybody designing the phone, features of a phone or a watch or a mac, designing those features, then being developed with the design of the new headquarters, right then you knew its not the same thing really he sort of is in this role where maybe there wasnt as much to design because theres no new innovations really i think the larger issue with there were times that jony wanted to leave a couple times he tried to leave. He has been living in san francisco, living in england its hard to run a got a couple hundred Million Dollars. Its hard to run the design team from remotely and try to contend and argue to the public that somehow youre in there every day fighting the good fight. Im not saying wasnt fighting the good fight i think he was involved and engaged, but, you know, i think theres all shades of gray i think tim wrote a good note. Thats what it is. I dont think were the flip side is when you have factual problems with an article, you come out and say theres are the factual problems with the article. Its harder to just broadly brush and say the whole thing is crazy. You respond exactly what you can respond to without actually responding it sounded like he was responding to the idea that there are ten shup sions betweem and arguing back and forth couple hundred million. You still here youre saying if theres tensions between us . No im saying if you have a couple hundred million, are you still here mac, can you read a teleprompter trust me you still here . No, you want to buy me out . Feel free. You still here . I like this its crazy its crazy that i like this, but i do youre nuts viewers will be doomed to just andrew for three hours. Wh what are you doing so, so couple hundred million . I think less than 100 might do it. Maybe. I think so probably if youre in the fundraising business, yes. Gofundme. This could be considered a buyout you could say for me, do this if it works, i will be a much bigger jerk. Go ahead, buy me out all right. Nike is pulling a flagthemed sneaker from distribution days before the fourth of july. The shoe is the air max 1 usa, it was designed featuring a u. S. Flag called the betsy ross flag, it had 13 stars that was used during the American Revolution those sneakers were pulled after nike endorser Colin Kaepernick reached out to nike and expressed concern that the flag was used during an era of slavery and said it could be offensive to some americans. That was also echoed by some nike fans on social media. Stock is down by 8 cents. When we come back, red flalgs frflal s fr flags from corporations about their Second Quarter earnings. As we head to a break, heres a look at biggest premarket winners and losers in the dow. You can go to my gofundme page please. Please moving is hard. No kidding. But moving your internet and tv . Thats easy. Easy . easy . Easy. Because now xfinity lets you transfer your Service Online in just about a minute with a few simple steps. Really . Really. That was easy. Yup. Plus, with twohour appointment windows, its all on your schedule. Awesome. Now all you have to do is move. That thing. [ sigh ] introducing an easier way to move with xfinity. Its just another way were working to make your life simple, easy, awesome. Go to xfinity. Com moving to get started. Welcome back to squawk box. Believe it or not earnings season just right around the corner we have jobs around the corner this week with the first of the big banks reporting two weeks away from today. There are some storm clouds to report 77 of companies that have preannounced say their profit picture will be worse than wall street is expecting. Thats the second worst quarter for profit warnings on record going back to 2006 typically about 70 of preannouncements are negative earnings for the s p 500 are expected to climb 2. 6 from a year ago lets talk about this and what it means joining us to talk earnings expectations and predictions for fridays big jobs report, we have lindsay piega and liz young. Preannouncements are not typically a good thing but in some way maybe theyre already that means theyre baked into the cake and typically people throw everything into the kitchen sink and therefore the numbers actually look better than they otherwise would. Typically companies underpromise and overdeliver. The markets have also ignored earnings for the last couple of years. This year we expect Earnings Growth plflat for the First Quarter, we were up 19 by april. Not to say it doesnt matter, but the market is watching things like monetary policy, watching trade, watching those macro headlines much more than earnings historically, when people have preannounced on the flip side has the market been better three months later sort of after a quarter where people do these preannouncements, then outearn what they said he they would do, does the market move higher or youre saying theyre not even looking at earnings anymore . History, longterm history is not what weve experienced for the last couple of years in the last quarter the market has punished negative news more than rewarded positive news. Some of that positive surprise ends up being a lack of a negativ negative lindsay f shes righ, if she will we see on friday and how will it play out in the market i think the market will be watching this employment report. We are looking for nonfarm payroll reports to come in around 150, 160. Relative to last month, this would be a vast improvement. On a nominal basis thats hardly robust this sort of unevenness in the data will complicate the picture for the fed. Its very clear the economy is not falling off a cliff, nor is the labor market theres evidence of mounting weakness underneath the surface. When is the appropriate time for the fed to issue that first rate cut . This continued moderate level of strength in the data is not enough to convince the fed i think it we see that print, its not enough to we want the number to be terrible you want to tank the number so the fed moves . I dont think we want a terrible number a terrible number the market would also sell off it signals the fed missed their opportunity to give that insurance rate cut the market is looking for a tepid number its a fine line that were looking for in terms of the economic data. What do you think will happen . I think the best thing that could happen for the market is a benign response on friday. Everybody that was positive coming into the year, it was based on a strong labor market even if we do test appoint on friday, were starting from such a high spot, its not like we were teetering on the brink of disaster if we have some negative news, we have the room for that, but what does that mean the fed will do how much does the trade negotiations with china matter now . Before they were weighing on the fed and the market, now a bit less does that make it less likely that the fed moves in july i dont think the fed will be watching trade as closely to decide what to do in july. Theyre watching what they should be watching like employment, inflation, those numbers. Thank you, guys thank you when we return, well introduce you to a travel startup that focuses on activities and adventures. Its called peak it has some big backers from Silicon Valley and it has a new partnership with google that could make it the next big unicorn. The ceo will join us next. Welcome back the travel activities market may hit 1 120 billion this year, an some big investors are betting on it. One entrepreneur riding that wave is with us now, shes Ruzwana Bashir ce heo of peek, a travel website this is not just a travel website, it is about booking activities describe to us how you got into it peek. Com is a platform for booking great things to do whether going zip lining on holiday, or doing a great cooking class, you can find things to do with us we provide our peek Pro Technology to empower tour operators to come online for the first time only about 20 of businesses with online. So were helping them make that transition how much of this is millennials who want activities, experiences, this is a different thing . Theres a lot of talk about millennials wanting to buy experiences over products that extends beyond millennials and families saying i want to spend more quality time with my kids, i want to take them on a new local adventure. So were seeing it extends beyond millennials you have a whole spectrum of people doing that. We have new businesses emerging in the sector. So you have attracted some interesting backers. We mentioned jack dorsey, a couple other people, eric schmit, its not just them, you raised 40 million so far whats your next step with this . What do you need to do with that 40 million . What we see is its about 1 150 billion market globally. But so little of it is online what were focused on is getting all these businesses online to help consumers book great things to do. Our job is to continue scaling that how much is this a pivot . When you started it was a consumer business. It started for the consumer. It feels like the biz as soon as mo business is moving towards a btob play. It was hard to book activities, because many of the businesses were not online we have focused on the business side so with our tours now, the average business is increasing bookings by 30 , 40 theyre improving Consumer Experience how much hardware or software do you have to provide the businesses when open stable firtable first, they were providing terminals to restaurants so they could accept the reservation. Often the businesses are buying their own hardware, ipads, things like that, but that Technology Layer is absolutely necessary in the space, because without it businesses would no operate. Where do you make more of your money, on the businesstobusiness or today were focused on the businesstobusiness thats driving our engine. Do you think that changes is there a place i could ask you where i want to go and you would say not yet . We are predominantly in the u. S. Dont want to zip line. You dont what do you want to do i can do some white water rafting. Delaware river. They have a package on the Delaware River yeah. Can you vouch for the zip line places . The biggest thing were doing with technology is were actually creating this layer of information. That means realtime availability and tons of reviews. 800,000 verified reviews on average we have 20 more reviews than the next platform so we are making sure you have real information and a 4. 8 star rating is extremely high on average. Do you feel like people are trying to game the ratings theyre all verified. Tripadvisor, everything else, you go on, youre not sure thats a great point. Every Single Person has to be verified how do you verify because we own the back end of the technology, we only poll consumers that definitely went on the tour. The one thing i hate about amazon, when people review the book, they cant verify they actually bought the book every review on peek. Com has been verified. Will you go worldwide eventually yes, absolutely you will. That would be expensive. The u. S. Market, its about 35 billion its a huge market but you have europe and other markets that are clearly there and important for consume efrs consumers and businesses there is already a business in asia, so will you go there or will you stay out of there because of competitors there are some Large Businesses in asia and europe, but with this Technology Layer theres not much out there i think well have an opportunity to go global, but a big focus for us is europe as the next big market, it is the largest market in the world. Thank you for coming in today. Thank you. Coming up, more on todays big corporate stories including an update on the grounded 737 max. Another day, another highprofile tla highprofile tesla departure. And a beer ipo could be the bigge efgest ipo offering. Before we go to break a look at yesterdays s p 500 winners and losers val, vern. Im off to college and im not gonna be around. Im worried about my parents retirement. Oh, dont worry. 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Dow futures are indicated down by 31 points the s p futures down by 2 points nasdaq down by 13. Both the dow and the nasdaq are less than 1 off their highs right now its time for the executive edge anheuserbusch Anheuserbusch Inbev said they want to raise 9. 9. 88 billion by offering their product in asia tesla is losing another top executive. Lucid motors hiring one of their top former vps of production in teslas who have you ever heard of him he was responsible for the model s and the model 3. A lot of attention on teslas delivery numbers investors have not seemed to blink when so many top executives have walked out the door at tesla. An update on the grounding of the boeing 737 Max Southwest Airlines gary kelly says he expects the 737 max planes wont return to the flying schedule until after the current projected reentry date of october 1st last week boeing said it would take until at least september to solve Software Issues for the ground eplane after regulate her uncovered a new problem. We expect to have more details on the financial cost of the grounding in the Second Quarter results. Coming up, Oil Rebounding 10 in the last 30 days. We have a live report from what is becoming a critical opec meeting in vienna. Kilduff is here. And later, how the trade truce impacts the National Security threat of huawei. Through the at t network, edgetoedge intelligence gives you the power to see every corner of your growing business. From managing inventory. To detecting and preventing threats. To scaling up your production. Giving you a nice big edge over your competition. Thats the power of edgetoedge intelligence. Welcome back u. S. Equity futures at this hour giving back a little of the gains we saw yesterday which was an interesting session cramer was tweeting about it we opened up 245 points higher, there was a sel