Snoe. Good morning. Happy friday. Im sara eisen. It is you in the flesh. I could not miss new music friday on Worldwide Exchange. You missed throwback thursday. What was the theme . Country music. Glad i missed that. Im wilfred frost. Its new music friday. Starting off with maroon 5s latest song called cold. Im sorry, elton john doesnt have any new music for you. I think he does. Just plummeted straight away. Only loyal fans like me subscribe. Lets get to the Market Action. A check on Global Markets, after a pause in the trump rally, reflation rally yesterday. Just a minoral iso al iselloff. S p down about 5 points. Dow jones down about 50. Nasdaq down about 10. What we saw in fixed income and Foreign Exchange brought the tenyear yield down to 2. 42. Inching around 2. 50. Unclear why. We got better Economic Data. Feels like a pause in the action. In terms of those record highs, theres been so many of them during the course of the week, one gets that sense of euphoria from the headlines, yet for the week as a whole, the s p up 1. 3 . Those records, of course, that we will keep getting if we go higher, give than were at the peaks of markets, have been flattered by performance in certain sectors. Similar to the story since the trump election, and its banks up about 3. 5 this year. The broad index only up 3. 1 as a wh a whole. But its still amazingly resilient. When youre at a high, you only need a slight gain to hit another one. The other point to note is that this is classic trump rally correlations. The days that yields went up, people were selling bonds, buying equities, we saw the new highs. As you said, the tenyear has come back from the 2. 52 high we saw a couple days ago. And the rally in equities has paused for breath. Either way, utilities, the bond proxies have been the worst performers. We talk about u. S. Stocks, and were setting you up for the wall street trading day. Stocks around the world are joining this party. Exactly. Theres been strong correlation throughout the week. Europe was strong and asia the first half of the week and pulling back to end the week. Europe now, retail sales fell for the Third Straight month, down 0. 3 . Here is the price action in european markets. Started the week more strongly. France down 0. 8 . Germany and the uk just about flat. Asian trade also negative to end the week. That riskoff sentiment broad this morning having seen quite a lot of riskon for most of the week. Shanghai down about 1 ment. The nikkei did not like the stronger yen in the action. Lets show you whats happening with oil after a choppy session yesterday. Oil declining just slightly. Wpi, 53. 29. Brent crude, 55. 58. Nat gas barely positive. All the action has been in currencies. The dollar is in the lead. We saw a sharper selloff in the dollar yesterday. Almost a full percent. That was a signal that things would go the other way. Its weaker, so you saw a stronger yen again this morning. 0. 3 . That action could con. The euro is weaker against the dollar. 1. 0644. The pound is weaker. Retail sales not helping that currency. Dollar stronger today. But week to date the dollar index is down a quarter percent. Facing the fifth negative week in six. This comes in a week when weve seen expectations of a fed rate hike rise significantly, we were at 26 for march and over 40 for may. Which doesnt make sense. Right. So yields slipped yesterday, but were higher than a few weeks ago. Its not a big move, with todays moves now, the dollar is basically flat. In terms of the correlation, strong correlation between yields moving higher and stocks moving higher. They have been tight. For most of the trump rally, the dollar has been part of that. You know what that tells me, the dollar weakens, yields go lower in the face of rising expectations of fed rate hikes, the fed is no longer the driver of this Market Action after years of easy monetary stimulus fueled this rally, the focus now is on fiscal support. For equities, also also for the dollar. Yesterdays philly fed index was the strongest since 1984. The dollar sold off. Thats not usually what tens to happen. So the question is is there maybe reduced likelihood that well get some fiscal policies out of washington . Well wait and see. Its also a crowded trade, the strong dollar and its normal to have pauses for breath. Rounding things off. Quick look at gold prices which have had a good start to the year. For the week as a whole, off about a half percent. Adding four basis points this morning. Look at that. Six minutes into the show, all weve done is markets. So much to talk about because of a lot of action. Looks like were dressed for the boardroom apparently. Lets get to todays agenda. Light on data no Major Economic reports expected. There are those notable earnings before the bell. Well get results from campbells soup, deere, smuckers, vf corp and blommin bounds and bone fish grill. Ive never been to either. Are they good . Yes, you have to go more to the middle of the country. Cincinnati, hometown. Following a developing story out of washington. Trumps top pick to replace Michael Flynn as National Security adviser has turned down the post. Robert harward telling the associate the press that he wont take the job to enjoy some personal time. The president is searching for a replacement for flynn who abruptly resigned on monday at the request of the president. President trump heading to South Carolina today where he will be touring a boeing facility. This is on the heels of a lengthy News Conference he had yesterday at the white house. He even spoke about the record run in the stock market. The stock market has hit record numbers, as you know. And there has been a tremendous surge of optimism in the business world, which means Something Different than it used to. It used to mean, thats good. Now it means thats good for jobs. Very different. The president announced plans to issue a new immigration order but gave little detail on tax reform, something that wall street that been waiting for. Well have more on all of that coming up throughout the show. Before we get to the main part of this, i love him commending the stock market returns and how it means his presidency is going well. It wont last all four years. There will be some pullbacks. It was hard to you knew this press conference would get a lot of attention, not just on social media, on all the front pages this morning. I was eager to see how different papers were spinning it. The new york post, wildest show on earth. Ringmaster don whips media in rant. The Washington Post shows a picture of mr. Trump defending his month in office. Not as much poking fun. Trump denies chaos on the cover of usa today. Everyone has a different lead on this one. It had global viewing. Certainly in the uk you wouldnt expect people to be watching a press conference of a foreign leader. Everyone was tuned into this. Expressing shock and surprise. It was so different. The cover of the wall street journal, trump lets loose against critics. The president signed a new measure rolling back regulations on the coal mining industry. Those regulations put in place under the obama industry were aimed at stopping coal miners from dumping waste into nearby waterways. White house adviser, Jared Kushner met with a Senior Executive in time warner to complain about cnns coverage of the administration. The wall street journal says kushner told the executive Vice President of corporate marketing and communications that he feels cnns coverage is unfair and slanted against the president. The journal says kushner about not bring up time warners pending deal with at t which mr. Trump opposed on the campaign trail. Facebook has been on a mission to crack down on fake news in the wake of the election. Mark zuckerberg addressed those plans and a lot more in a lengthy manifesto published last night. Landon dowdy read all 6,000 words and has the highlights. Facebook Ceo Mark Zuckerberg writing a 6,000 word letter on how the social media giant can help save the world. Here are a couple takeaways. Zuckerberg never mentioned President Trump by name but much of the subject matter touches political discourse and globalism. He says that trump was not the inspiration writing in times like these the most important thing we at facebook can do is develop the social infrastructure to give people the power to build a Global Community that works for all of us. Zuckerberg laying out his longterm goals of using Artificial Intelligence to get rid of bad people from facebook who use the platform to recruit terrorists. Fake news has been a hot topic when it comes to facebook. He addressed the topic in his letter saying the goal must be to help people see a more complete picture, not just alternative perspectives. We must be careful how we do this. He wouldnt speculate about the president and his feelings regarding facebook and its mission he did say he doesnt plan to run for president of the United States himself. Back over to you. He was clear on that. That was asked in the bbc interview, he claims no intention to go into politics. But this kind of thing begs the question. And Karen Swisher of re code spoke to him. She will be joining squawk alley later this morning. Coming up, the top stories, including new details on the Corruption Scandal rocking samsung. Stay tuned, youre watching cnbc, first in business worldwide. Their experience is coveted. Their leadership is instinctive. Theyre experts in things you havent heard of researchers of technologies that one day, you will. Some call them the best of the best. Some call them veterans. We call them our team. Welcome back to Worldwide Exchange. Good morning. Lets get you up to speed on Market Action. The selling continues. Dow futures down about 52 points. S p down 5. 5. Nasdaq down almost 12 points. This after yesterday we saw a pause in the buying action. Just a little bit. The dow made new highs. S p closed lower by 0. 10 after five Straight Days of setting new highs. As for the currency action, the weaker dollar in yesterdays session signaled a reversal for all the big trump trades. Youre seeing it weaken against the japanese yen, which is a sign of risk aversion this morning. The dollar is stronger against the euro this morning, 1. 0639. As for the tenyear treasury note yield, seeing lower yield. Some buying of treasury, selling of the dollar, selling of the stocks. 2. 41. Well watch groups like banks and energy. Thank you very much for that. Lets switch back to the uk. Tony blair announced what he calls his mission to persuade the british people to rise up and change their minds on brexit. The former Prime Minister speaking to a proeuropean Campaign Group today. He said the public voted without knowing the true terms and the challenge now is to expose the cost. Blair says he accepts the referendum but recommends looking at brexit again when theres a clear sense of where the uk has headed. Downing street said it is committed to seeing through brexit. That speech is taking place at this moment. We have not had clear response both from the uk government or from various other political columnists. How much influence does he hold . Hes not a popular person individually. But i think hes looked at this, and he has a clear view. He doesnt see that theres anyone else out there at the moment, whether its from his Old Labor Party or the Center Ground of british politics to fly the flag into this point of view. It will be interesting to see how this goes down. He has the international credibility. He has the international credibility. But the iraq war still strongly divides opinion on him personally. Can he make it worse or square it . Samsung groups heir apparent has been takplaced und arrest. He is being held at the seoul detention center. Samsung stock still had a great year or so. Other stocks to watch. Allianz planning a 3 billion euro share buyback. The insurer seeing a 23 rise in q4 net profit. Shares up 2. 6 . True car posting a narrower than expected loss for the fourth quarter. Shares of the automotive pricing website skyrocketing after hours yesterday in the news. Up 14 . Merck stopping the trial of a latestage alzheimers drug after it proved to be unsuccessf unsuccessful. The drugmaker saying they will continue another study with the drug. A if you other stocks to watch, chinas Juneyao Airlines finalizing a 132 billion order for boeing 737s for new routes in north america, europe and australia. The activist investor targeting csx said he will amend some demands if his ceo candidate is guaranteed for a fouryear contract. Paul hillau making that statement in a letter to the board of drengirectors. And yum brands making changes to its board of direc r directors. Still to come, trouble for theranos. First Reynolds Wolf with the weather. Chicago, 62 degrees, bismarck, sun and clouds, but out west, some 20 Million People will be in a flood watch. Oroville, where theyre keeping a sharp eye on the heavy rain t could be a rough situation, High Mountain passes could deal with snowfall. Denver 63 degrees. Mild conditions across much of the southern plains. 79 in miami, 75 in dallas, 60s on much of the front range. More coming up after this. Only at t offers you all your live channels and dvr on your devices. Datafree. Entertainment. Your way. Only from at t. Welcome back to Worldwide Exchange. Lets get you up to speed on the Market Action. The story is what happens in the bond market in terms of yields correlates with equities. We started on the tenyear late last friday, monday morning, 2. 40 . The yields rose significantly to 2. 52 on wednesday. And early in the week equities were much stronger. Yesterday paired back. And yields slipped. To that score lags hecorrelatio. 2. 42 . The fact that yields slipped over the last 24 hours has meant equities slipped, too. Lets look at the equity market which is still in positive territory for the week. Up about 1. 3 for the s p as a whole, but expected to see profit taking this friday by a third of a percent on the s p. The dow called lower by 56 points. Among the corporate headlines, new details surrounding troubles at theranos. The embattled blood Diagnostics Firm did not have material revenue in 2015 or 2016. Theranos telling investors last month it was down to its last 200 million in cash, a quarter of the money that the Company Raised since being founded in 2003. The journal reporting that theranos had no money set aside for legal liability. At t making changes to its unlimited data plan. The Company Offering unlimited data to customers without them requiring to have directv or uverse television service. At t matching verizons latest plan offering four lines for 180 with no Tv Subscription Service required. The plan goes live today. Apple is expected to begin manufacturing in india in the coming months with the focus on lowerpriced iphone se model. The taiwanese partner wistran is setting up a plant in bangalore. Apple is tenth in the Smartphone Market in india but leads the premium market with a 62 share. The company has been in talks with the government on issues like tax concessions. Tim cook has been very bullish on india. In all the conference calls, and as cramer mentioned setting india up to be the market to watch in 2017. Even talking about the demonetization there that hurt so many companies, saying ultimately it will shake out. Well have to wait and see. If china is anything to go by, it starts strongly and comes to issues at an earlier level of penetration than in developed markets. The big question is is the price point low enough for that marke market. Hence t what is your phone called again . The lumi for wilfi. A different story, a florida man has been arrested and charged with alleged by plotting to blow up several target stores on the east coast in a bizarre attempt to tank the companys stock. Authorities say mark barnett offered an unidentified person to put explosives disguised as food items placed on shelves in stores in new york, florida and virginia. That person turned him in. Sources say barnett believed the target stock could tank so he could buy it cheaply before it rebounded. The nba allstar game is this sunday in new orleans and there may be some tickets available. The cheapest ticket right now is 180. Thats down 75 from last year. The allstar game was originally supposed to be in charlotte, north carolina, but was moved because of the states controversial antilgbt law. This is the third time in ten years new orleans is the site of the game. Im getting into basketball. Went again last week. Good fun. You should go to new orleans. Going to london instead. Much better. Coming up, the top trending news, including a story on how democrats are using the hit show Stranger Things to go after President Trump. If you have seen stranger thin things youll like this story. I havent, so will i dislike the story . You should watch Stranger Things. Were drowning in information. Where, in all of this, is the stuff that matters . The stakes are so high, your finances, your future. How do you solve this . You dont. You partner with a firm that advises governments and the fortune 500, and, can deliver insight person to person, on what matters to you. Morgan stanley. Good morning. Markets now, the rally takes a pause, but the s p is on face for four straight