The latest on all this. Reporter hey, carl. If a few hours ago, it was the calm before the storm, it now feels like the storm is approaching with members of the house scurrying back and forth, a flurry of activity as people are taking meetings and going back and forth from the floor as we build up to that vote this afternoon. Of course, this comes in the wake of what you mentioned, that ultimatum coming from the white house delivered by budget director mick mulvaney, although this morning on squawk box, he did now say its up to republicans to reach a consensus among their own party. Heres what he said. As to whether or not negotiations are ceased, i think we made it very clear last night that if the republicans need to work amongst themselves on the hill in order to tweak the bill a little bit here or there, in order to get the necessary votes to pass, thats fine with the president , as long as it doesnt change the underlying bill, and i doubt that it would at this point. Reporter there are some reports, though, that the white house has been holding Backchannel Communications with some members that they are still trying to sway, not the president himself, but some of his advisers. But senior gop aides say that, basically, all negotiations have ceased, that at this point, no substance of the bill can change but that there is still a question over where exactly the Freedom Caucus, that conservative wing of the Republican Party, stands at this hour. Perhaps thats why this morning we saw the president himself from the official potus account target the Freedom Caucus specifically, tweeting, the irony is that the Freedom Caucus, which is very prolife and against planned parenthood, allows the institution to continue if they stop this plan. So, interesting to see the president taking direct aim as he seeks to close this deal, despite the fact that negotiation with the white house is apparently over. Finally, there is this sense that the white house wants to move on to something else. But i talked to aides here who say thats a little bit premature for this reason in particular. Despite the fact that republicans generally espouse tax reform, its something that hasnt been done in several decades, and health care has been top of the agenda, to the point where house and Senate Leadership are actually relatively aligned on their health care plan. They havent been talking about tax reform and they dont have alignment there, and thats what aides are telling me here, that we cant get ahead of ourselves about tax reform because that hasnt been something thats been discussed at a granular level between leadership. Whats been discussed is this bill that we have hitting the floor today. Guys . That is a key point for stocks, kayla, no doubt about that. Thanks to you. Talk to you in a bit. Kayla tausche in washington. Its not Just Health Care regarding markets today, the president giving the green light to Keystone Pipeline this morning. Take a listen. Today im pleased to announce the official approval of the president ial permit for the keystone xl pipeline. Transcanada will finally be allowed to complete this longoverdue project with efficiency and with speed. Were working out the final details as we speak. Its going to be an incredible pipeline, greatest technology known to man or woman. And frankly, were very proud of it. To break down the Market Impact and how investors should be positioning today, lets bring in jeff sout with raymond james. Were seeing drama coming off the hill, but is passage of this Health Care Bill bullish or bearish . I think it would be bullish, at least in the near term. And i lived in d. C. For a long time. I still have a pretty good network on capitol hill. And typically, they dont bring a bill up for a vote unless theyre pretty sure that they can pass it but things are not typical in d. C. Anymore. All right, jeff, in the meantime, what about the keystone act and the fact that oil prices, which are now below 48 bucks, have been a risk for the market . Our last guest said it could go down to 43. Well, theres a meeting over the weekend among four big oil producers, including russia, i might add, and thats been kind of keeping oil under 50 a barrel. I think the Keystone Pipeline should have been built years ago. Its the best technology. And you know, theres already a bunch of pipelines that run over the aquifer, which is what a lot of the environmentalists are worried about. The Health Care Bill passing would be bullish, and it looks more uncertain than ever, but how do you read the markets and what theyre doing this morning . All the major indices look to me to be higher, but for all that we know, later this afternoon when this comes to a vote, theyre not going to get the result that they thought they were going to get yesterday. Does this not put the rest of trump and the gops agenda in jeopardy . I think it does. I think you have to solve the Health Care Issue first because theres a bunch of embedded taxes in that, before you can attack the Corporate Tax schedules. So i think its important that it gets passed today. You know its going to be completely rejiggered in the senate, but i think its important that it passes. And my contacts on the hill suggest to me that theyre still one or two votes short. And so, if it doesnt, what does that mean for next week . If it doesnt, i think the market takes a hit here. Youve already broken below the range its been in, between and moving day average which has acted as a buy spot. So youve broken down a lot of technical indicators here as of late tuesday. So youre not a buyer of the narrative that for the markets, at least, health care was like a vegetable a meal part of the meal they were not interested in. They really wanted the sweet stuff in taxes, and that setting it aside allows them to move on to just that . I think President Trump will move on to that, if the Health Care Bill goes down, and the market was also looking for less regulation. I think theyve done a pretty good job on tweaking some of that stuff already. So, but i do think the vote today is very crucial in terms of the nearterm directionality of the s p. Jeff, meanwhile, technology has been one of the best performing sectors. I guess earlier suggested that as we kind of move through this political, you know, this series of political events, fundamental strength needs to come back to the floor. What would you be a buyer of here . I still like technology. Believe it or not, i like energy. I think oil prices are not going to stay down here forever. Our oil team in houston has done a very good job on calling the price of oil, both on the down side and the up side, and they think prices are going to firm from here. All right. Jeff, thank you for joining us this morning. Jeff saut there from raymond james. Always a pleasure. Sticking with the theme this morning, its health care, of course. Lets get out to the cme group where Rick Santelli has the Santelli Exchange and a special guest. Good morning, rick. Good morning, kelly. Indeed i do. Former president of lily usa, alex azar. Mr. Azar, thank you for taking the time this morning. Well, thanks. Im glad to be with you. All right, youve been listening to the ongoing conversations pretty much all coming to very similar conclusions. Its not exactly the perfect plan. If youre a pragmatist, you say, well, this is the best we can do for now. If youre a purist, you want to do more. How do you weigh in, just superficially, on the issue of passage of the bill . Well, i think thats really well said. Its important to remember, there has been such a vitriol, even within the Republican Party about this piece of legislation right now, but the amazing thing is the Freedom Caucus and house senate and white house leadership, theres really ideological agreement about the end outcome, which is obamacare made the hhs secretary and the National Government the insurance commissar for the United States, and they want to get rid of that. Its now a question of tactics. And the simple fact is republicans do not have 60 votes in the United States senate. When democrats passed obamacare, they had 60 votes. They could pass regular legislation regulating insurance. This legislation is whats called reconciliation. Its a budget vehicle to basically adjust taxes and adjust spending to hit budget targets. And if you throw something into that legislation in the senate thats just purely regulatory, you may get it kicked out and be subject to democratic filibuster. So, the fights really about tactics right now between the Freedom Caucus and leadership. The Freedom Caucus wants to try to gut a lot of those insurance commissar regulations from the center, but leadership is saying were going to send this over to mitch mcconnell, and hes going to have a problem, because this may subject this to democratic filibuster. So, its unfortunate its gotten so darn heated, because everybody pretty much agrees on where they want to get to. Its just about tactics. Well, now, lets dig into some of the changes that have been made to put this over the goal line. Now, some of the changes are to what they call the essential Health Benefits. That seems to be something that the Freedom Caucus wanted. You hit on it. More states the states now get to make more decisions, and more funding for the issues theyre in maternity, mental health, substance abuse. That will go into patient state and state stability fund, of billions more dollars. And of course, the cbo weighed in again. Theres less savings and theres subtle changes. Im paraphrasing, subtle changes in the numbers of uninsured. Finish us up with will those changes be enough, in your opinion . I think they will pass this, whether its today or over the weekend or early next week. I think theyre going to end up passing this, because they will have put the changes to essential Health Benefits that the Freedom Caucus wants into the legislative package. I think it will get across the goal line. I do have a lot of trouble imagining that after probably one of the clearest legislative mandates in election history to get rid of obamacare, members are going to go back this fall and say, yeah, we decided were going to keep obamacare forever because we couldnt get everything exactly the way we wanted in this legislative package. So, i think its going to get over in the house. Thats the easy part. Now the hard part begins is going to be in the United StatesSenate Getting to 50 votes, because youve got a more liberal caucus there, youve got cuts to medicaid that a lot of members are upset about. You have concerns about whether theres adequate substance tiesation for buying access for insurance for people. You have questions of whether the new penalty for staying enrolled in Health Insurance in order to avoid a preexisting conditions ban, if thats enough of a hammer there to keep people in. There are some really big issues coming in the senate now. Like i say, the house part, this is the easy part today. Well, mr. Azar, we appreciate your opinions. Everything you said seems logical, but the asterisk is, were talking about politics here. Logic sometimes dont figure in. Thank you for your time today. Carl, back to you, sir. Good interview, rick. Thank you very much. When we come back, twitter reportedly hatching this new plan to raise some revenue. Well talk about that. Let the bidding begin. The nfl selling streaming rights to next seasons thursday night football and at least four tech names you know are interested. And of course, all morning long we have our eye on washington as we await more details on the Health Care Vote and events at the white house, when squawk alley comes back. Post 9 is sponsored by fidelity investments. Innovative ideas for serious investors. We cut the price of trades to give investors even more value. And at 4. 95, you can trade with a clear advantage. Fidelity, where smarter investors will always be. On a perfect car, then smash it into a tree. Your Insurance Company raises your rates. Maybe you shouldve done more research on them. For drivers with accident forgiveness, Liberty Mutual wont raise your rates due to your first accident. And if you do have an accident, our claims centers are available to assist you 24 7. Call for a free quote today. Liberty stands with you™. Liberty mutual insurance. Welcome back. Twitter is considering a Premium Version of its tweet deck unit designed fof power users. Theyre conducting a survey about whether or not to collect subscription fees for the first time. The popular move away from ad dollars comes amongst online problems for ads. Jpmorgan spending running ads on youtube for fear of being associated with offensive or extremist videos. Business ceo Henry Blodget joins us at post 9. Good morning, henry. I want to tackle this youtube thing first. Why now . I mean, there have been crazy videos on youtube for a long time. Google has not exercised granular control over where things appear. This seems kind of coordinated. Yes. I know it started in europe, but have the ad agencies finally had enough . Sir Martin Sorrell has been speaking out on this over at wpp. Well, when you get called out by name on the front page of a newspaper with a massive headline saying, what a scandal, youre supporting extremist content, brands are going to say, hey, wait a minute, no way. So, this has been simmering for a long time, something that actually i dont think is that hard to deal with. In fact, its time that youtube and google dealt with this. Television forever has been very careful about promising advertisers the environment that they deserve. Wait, wait, wait, that hard to deal they are uploading 600,000 hours of video all they need to do is create different tiers and promise certain advertisers, you want safety . Great, youre going to pay more for it because we know its going to be safe, and we are also going to license content that is very appropriate, that youll be proud of supporting, and youll know that and it will cost more. What you cant have, and what everybody seems to want to have is we want to pay nothing for everything, and there are not too many areas of society when you can actually do that. So you dont think its colored by t and verizon getting into businesses that would compete more directly with things like youtube . I think that the whole industry is going from the wild west era where it was just huge tonnage, dogs on skateboards, anybody upload anything to getting more and more professionalized. And with the amount of money thats being spent on it by brands that justifiably care a great deal about their image and what theyre supporting, theyre now going to demand more. And googles in a great place to provide that as are lots of other premium publishers. Do advertisers want guarantees we wont be up against xyz . Absolutely, and they certainly deserve to have that. And advertisers always have again, going back to television, when you sell the super bowl, it is very clear what they are buying. And when you have scandals around that, theyre justifiably very angry. So, now google and facebook and others have to move into this world, and thats okay. Its just more professionalization. It will happen. Its not a mystery. Are we crossing into a new era . Tech has traditionally been allergic to paying for content. The whole idea behind usergenerated content was supposed to be, well, we wont have to pay for this. But then the buying stars and youtube stars eventually once they became stars want to get paid. I mean, now, is the whole ecosystem moving to a model where you dont get quality that you can run ads against and run a business against unless you pay for content . It turns out that producing compelling, great content is actually difficult. And some people are better at it than others, and they do need to eat. Well, thank you. Yes, exactly. Ultimately, folks deserve to be paid for that. And weve definitely been moving in that direction for a long time with netflix, and youtube has been buying a lot of time. This dovetails into twitter, the ultimate example of usergenerated content. Everybodys putting it out there and viewing it for free, but that may change if they charge a subscription model for some of the services. Will that work for twitter. Based on what im seeing, its just initial market research. People are like, hey, could we charge for this . Lets ask our folks and well see. I think what theyve described, charging news organizations for distribution or distribution power, its a pretty small opportunity, i would say. And i think they would have real trouble having normal people pay for news. Really . Oh, absolutely. Why is that . Why . Because you can get news everywhere. And twitter does have a very dedicated news addict community. Thats the strongest thing about it wait, wait, wait, we have an expert sitting right here, carl. If they charged you i had this debate with Darren Rovell on twitter all the time. Id pay a lot of money for tweet deck. Oh, its a lot of money. I dont know, 100 a month . You would pay 100 probably practice im paying for cable. The problem is thats amazing, first of all. That is a lot. But secondly, if had they charg 100 a month, all the people you like interacting with would disappear because most people wouldnt pay that, i dont think. I am not paying for any tool that only works on twitter. Ive got so many social networks to feed and Pay Attention to, its got to work across all of them. This nfl news about thursday night football with twitter possibly competing up against youtube, facebook and others for thursday night football, does that