Energy prices are likely to be a point discussed at todays fed meeting. The fomc is expected to turn off its massive Bond Buying Program while ensuring investors it will start ready to act should the economy be threatened. And we will have Steve Liesman joining us with the exclusives from the fe survey later this morning. The s p caseshiller index, consumer confidence, and Third Quarter housing data. As for earnings, among the names posting Quarterly Results before the bell, dupont just hitting the tape. Pfizer, auto nation, corning, when i will pool. Coming this up afternoon, facebook will be on Centers Stage after a market closes. We have the dow looking like it will open higher. Up about 11. 5 points. The nasdaq will open higher, as well, by approximately 24 points. Earnings per share, sales, 7. 5 billion. Revenue is 7. 87 billion. So its a different number. 7. 87 compared to 7. 95. So maybe just a little bit shy of expectations. But pretty close. And then for the year, the company says it is backing its 4 to 4. 10 number and the estimate for analysts is this 4. So analysts are backing 4 to 4. 120. In fact, the First Quarter for the Fourth Quarter of the company, above the year agos 359 cents. Right now weve got 70 cents is what the estimate is. 20 of 60. 59 and 12 is 71. So we do expect a hit in the faurth qua Fourth Quarter numbers, as well. The broader markets, the yield has been moving slightly higher, which some people would say is a positive begin that whether we were down below 2 that was when we were in the middle of all of the angst about whether we were in correction mode. And some of the market sector. Both of the guys we had on set said 9. 8 is no 10. 9. 8 . 9. 8 on the s p. I said it did because i wanted to get it out of the way. Im willing to round it up. Come on. Its pretty close. Yeah. The market is not that exciting. Lets look at the dollar quickly. Good time to go to europe. Might even to get you better. 126. 08. 200 bucks for that . I could almost hold my breath the. No, you couldnt. Currency is way overvalued. Take a quick look at gold, which at this point is isnt much to watch. 1227. At my gas station i was excited to see 2. 99. Its under three. I think premium was like 3. 17. But i was almost, and it filled up for 38. I paid 42. I wasnt completely empty. Youre carbon footprint. This is all greek to me. I know it is. You have no idea about driving. Youve never done it. Jeeves fills up the car. Youre basically a virgin in terms of driving a car, right . I can drive a car. I cant drive a stick. You Company Drive a sick. What is that second pedal for . Keep it in first gear. What was i going to say . Where was i going . Well, i oh, oh, your big carbon footprint. Global warming in hawaii, theres lava. Thats how hot it is. 15 feet an hour . I guarantee you anchors will be asking whether thats due to global warming. Dont you have three suvs . No. One is a minivan. Ill tell you about a number of the Early Morning stockholders. I love my minivan, thank you. Madison square garden is exploring a split into two companies. The entertainment business could be separated from the shorts business. Shares are rising on the news. John rogers is joining us in just a few minutes at 6 15 eastern time and well be talking to mario gaboelli this morning. Shares are tumbling that the Current Quarter is going to be weaker than expected. Investors are concerned about how many people are joining the social site and how often theyre beating. Its earnings were in line with estimates. Our q4 numbers, let me be specific, are a raise on the full year for us and a raise on the Third Quarter. I would say about our business specifically of 1 billion Digital Advertising businesses, we are of the lives i ing. Oh, what happens . Twitter. Whats going on . Those guys needs a quit. Huh . Chaps this quarter . At the end of the day, still a pretty big platform. Get me some doritos. Peter said they were all a bunch of stoners. You were surprised . Im disappointed that there is a lot of optimism coming out of the country. But at the end of the day, you have to have exposure in media. Tv, weakening, theres a lot of uncertainty about how digital expects that. Twitter is peter, so a point, you just take away the funny part of it was that the assets of this company are phenomenal. Phenomenal. And they can run this thing and then do well. But if they actually knew what they were doing, it would be doing so much better. Looking at that, thats the question. By the way, its not like this is a completely ridiculous visit. It wasnt the top or bottom line. It was the user growth that disappointed you. I think its expectations in the sense that they had more than what people were than what they did last quarter. I think its the commentary about how they get to next year. Pricing is generating a little bit. Users are decelerating a little bit. At the end of the day, its still at 50 . They claim that they would be profitable by a penny per quarter or this last quarter if it wasnt to accomplish it . Its a little agreeshus. Its incredibly high. So targets across the street have to take that into account. Actually, but thing i do want to come back to is when you get about the user growth, its about 1 to 2 million users, but they would have beaten by if not for a Software Issue that they had overseas. What do you mean . We had a glitch that made it more difficult to stay logged into twitter. They acknowledged they think that cost them about 2 million tweets. Here is the other suggestion. The suggestion is people are using twitter less, meaning theres more people using twitter, but the ones that are on it are tweeting less and does it really mean that theyre engaged . That becomes the question. That is another one of the disappointing parts. As you increase the quality of the site, usage would improve. It is, but just marginally. That affects the amount of inventory you have to sell. Still, you take a look the at ever at this, regardless of peoples attitudes and how theyre using twitter, why are you giving them to me . That was another surprise yesterday, how much mobile accelerated. Your price target on the stock . 56. Thank you for coming in. Novartis posted better than expected earnsings as well as revenues. Shares trading higher. Here to break down the results is joe jiminez, ceo of novartis. Im going to have a soft spot for you, joe. I think the last time i saw you it was at davos, actually. We are going back. Hopefully youll come on when were over there. It was in davos, thats exactly right. Hopefully youll come back this year because were having a meeting about it, right . Eight straight quarters is a pretty good growth, right . Right. Yes. Well, what were doing at novartis is we are focusing on the innovation and thats really driving a lot of our growth. So we were able to, in the Third Quarter, to grow sales 5 and cost and currency despite the fact that we had a significant patent exploration in one of hour biggest drugs. So im feeling good about the saying groels and the eps double digits growth thats coming with that. Its keep it simple stupid in the drug business. And you need to spend on r d and bring new products. Thats whats helping your quarter, too. Yeah. We have three drugs that in the third quartzer were up over 20 . Gileia, afintor and for sigma, these are delivered between had 00 million and 600 million and they grew over 20 . When that happened, youre able to more than compensate for any pat incident expiration that youre going through. From diavan, the Blood Pressure, i guess thats one of the things youre referring to there. We also had lily on last week. You were involved in that threeway deal with a switch of assets. Can you explain how that set you up for the future and what you did for people that dont remember . Yeah, yes. Back in april, we took a hard look at our portfolio. I believe in the next three years, were going to have to focus on businesses that have innovation power and global scale. Pharmaceuticals, generics, and eye care. These are three divisions that are over 10 billion. They have global scale, they have innovation power. But to do that, we had to optimize our portfolio. And i call this precision m a where we look at our portfolio, look at a partner where they could potentially benefit from some of our as aets. So eli lilly is acquirining our Animal Health business, with gsk, were acquiring their business. We say a powerful number two in oncology and gsk becomes the leading vaccines business. Together we form a joint venture on overthecounter drugs creating one of the biggest otc businesses globally. This is a transformation that is really opt miedzing the novartis portfolio. Many people in the industry said swaps dont work. And i think all three of us, lilly, gsk, and novartis proved them dead wrong. So what is you may be able to file fairley soon for this heart drug . I love the name. Do not change its name. Lcz696. I cant wait to see that on nightly news with Brian Williams as theyre talking about it. But do you really think its going to be a multi Million Dollar drug . What does it do . This is going to be a very important drug. They found lcz696 reduced death from cardiovascular means by 20 and it also reduced hospitalization costs by 20 . Now, there are over 25 Million People in the u. S. And europe with Heart Failure. And Heart Failure causes Health Systems over 100 billion every year. So if you have a drug that can reduce hopzation, thats going to have a bith impact. We have now filed. Were in a rolling submission with the fda. The fda and everyone Regulatory Authority is very excited about this drug. And were expecting to get approval. And to begin selling this drug in 2015. So were looking forward to that being a multi block burst for novartis. People dont realize, novartis is one of the biggest market caps, bigger than pfizer, bigger than merck. Youre coming to us from lon. People at home should try to do an interview with like an eightsecond delay. Its fun. They didnt move london to china, did they, do you know . In fact hes doing a good job. Im impressed because its hard to jump right on. John, if you could book our time, lel love to see you more. Maybe the lag will be less in china the. Good. Weve got some sports news force you. The Dallas Cowboys there in overtime. The redskins. I like the cowboys, the redskins, the patriots. I think you you kind of owe yeah. You have mentioned those. And the bengals beat the ravens. They dont want you back. I dont care. Theyre going to have to do a lot more. They dont want you back. You are like but after 25 years, they finally just after the colts game, i had it. But this was rg3. Is he coming back . Nope. This was dallass first loss since the opener. And they look good. Thats why it watts a good rivalry last night. Hopefully the bengals keep looking. Bengals. You sound like gym dmans. I dont, then. The last no, the first guess. Noise . Well start bashing some corporations next block. That is your you took my advice and wrote about that. Yep, your advice. You had no column yesterday. And i said, are you going to see that every week . I said why dont you write about hillary, businesses dont create jobs. Its true. And i you know what . Im not going to read your column. I hear them for three hours. Were going to talk about an product i care about after the break. What is that . Applepay. Tim cook firing back at cvc and rite said. It would be a planned for investors right here on squawk box when we come back. E financial noise financial noise financial noise financial noise welcome back to squawk box. Apple and alibaba could be teaming up. Alibaba founder jack ma said he was interested in a partnership between apple pay and alipay. Thats, of course, alibabas payment company. When tim cook was asked, he also hinted at a collaboration. Were going to talk about getting married later this week. So well see. Did jack leave . Oh, no, hes still here. And so i have the utmost respect for jack and we would love to partner with people that are wicked smart, that have flexible pain, that are productbased. And that push us. And we like to push them. And so those partners we work the best with. And i think jack has the company thats exactly like that. And i love what hes done. I think hes a briltant guy. I think he has brilliant people in the company. And so if we can find some areas of common space, i love it. I love partnering with people like that. And later this morning, were going to be hearing what tim cook had to say to other retailers, including rite aid, that have cut off apple pay. What do you think of the move to by those retailers . I cant figure out what im i cant figure out what happened. I dont understand how they why they signed up originally. If they planned to cut someone made a better deal with this merchant consortium then why did they sign up . They only had it going for a week and then they stopped it . And they were going to do to use this to publicly zie . Sgln. If you decide apple is it what bothers me about mcs, a bunch of merchants that get together and pool, they share the information so they have a better idea of who is shopping across a lot of Different Things. Thats a privacy issue. Im mott sury as a consumer would want to give information away. Im told that they can have loyalty systems. But they are looking at invading your privacy. If youre willing to give that up because you get Something Back in return, thats one thing. What do you do with your plus things . Still got it. How long do you have . Not many more days. I kind of like it now. You do . I think im a you know, its such a big screen that im starting to i was playing with im getting nervous. What were you playing with . A big screen. I was about to say i do we need that music . I know the word youre going to say today. Do we need the music . I was going to have i would a smaller one. But nonetheless hard to imagine. You look at the screen, you look at the screen and you think to yourself, can you really go back . I dont know. Thats the thing, i think it would she addicted to go to a bigger screen. I have offered you a merse. Mario gabelli joe will die for this. I will tell you about earnings this morning, etna posted better than expected results, raised the forecast membership and it rose for a tenth straight quarter. Etnas government business now makes up more than 40 of health premiums. I dont know if you saw yesterday, just totally by coincidence, the New York Times did a big look back on obamacare. I know its only and it hs nothing to do with this article they wrote yesterday, but they found that for people that get government sushsydys to buy health care, it has helped those people. They were able to find that it did what it was is that a factually accurate article . It is. It did what it was intended to do and people that have been given the money to buy insurance, some of them have actually bought insurance and theyre using it now. Now, addition tearing down walls. Exactly. You normally love that im talking about democrats. Not one word about whether job creation could be growing. All it was was for people who get the entitlement, theyre better off. Thats like saying in europe, the people that get all the theyre doing better than if they werent getting but that was the entire thrust of this huge threepage piece, fourpage pieces, exactly a week before theyre trying to just salvage this you know, bruised and battered are you ready for this on sus . I think so. Over the weekend, they had a tie that was so it wasnt tie spry . All right, tie spry. Neck wear, neck wear. Thats a good idea. Anyway, lets talk about another story that weve mention dollars this morning. Madison square garden is talking about spinning off its Live Entertainment business. Nominating nelson pells Scott Sterling to the board of directors. John rogers joins us on the squawk news line. Msg was one of his original picks and the squawk box flattened portfolio. Aerial owns nearly 2 misdemeanor shares of msg. I dont think of this . It would be terrific and the right thing for shareholders. Is it right right now because of what you see in terms of sports, the huge valuation, they own both the knicks and the rangers and this would give them an opportunity to get valuation for that. I think they went to los angeles and made a difference. They value sports teams more than ever. The knicks are really well positioned this year with putting together a great News Organization to mix into the world championship. Is that a suggestion that this to grow . I think they need to grow because Live Television is so important these days. And, you know, people run the pace so much of these properties, because of it. John, do you have any concern . We were talking about amc in the segment yesterday. Amc was white hot. That was a spinoff of the dolan spun off. It was white hot. Just a year ago, we thought that was going to it felt like that between mad men and the walking dead and breaking dead. And now that stock has taken a stumble because think think its a different issue. I think its different with sports franchises that seems to add value year ar yeefr and generation to generation. So if they do, in fact, spin off the sports interests, you would hold your shares . Sure. Madison square garden has such a large moat around it. There is no implication for Madison Squared garden. Thank you for calling in this morning. Still to come, crude oil is hovering around 81 a barrel. Right now, down close to 25 from its june high. At what price will american dealers start tapping their wells . Are we close to having that happen . Stick around to find out. Plus, a new survey of ceos, a survey on hiring for the next year. Squawk box will be right back. An Unprecedented Program arting busithat partners businesses with universities across the state. For better access to talent, cutting edge research, and state of the art facilities. And you pay no taxes for t