Minutes. Got to talk to peltz, jim, about Procter Gamble yeah. Big tory. David and i have been spending time on it. Mr. Peltz had came on here and then mr. Taylor, the ceo of procter came on mad money with a series of what i say are just outright charges that vehemently disagree in what was once i thought going to be a more gentlemanly discussion with what mr. Peltz is saying and what mr. Peltz has done. Would you agree with that . Yeah. I dont think its interesting. The battle has been joined here. Both sides had hoped to keep it civil. Its not clear to me thats case civil like a civil war. Thats fine with us why do we come back to it . P g is one of the most Important Companies in the country this is the first time weve seen a proxy fight even for one board seat in a company this large. Did depends on who you talk to if its a company that needs fixing, and not something capable of the Current Management Team regardless because of all the different layers, the bureaucracy, the units where nobody can make a decision thats one view, the Current Management Team saying we are making a lot of progress this has been a nice put underneath the stock one thing thats interesting about it, weve been Getting Research on winwin, but i think whats important is that procter has begun to talk about whether nelson peltz did a good job in his previous iteration, whether its heinz, mondelez, at the same time nelson made it clear that the people at procter have not treated him with what he would have regarded as a degree of respect i thinkthats fair to say, given his white paper. The difficult thing for me, this is a Great American country, one of the greatest returns ever fabulous returns 61 . 61 years of increased dividends. Its been a stock that you have to recommend if simply just because it is so darn fabulous so, the question then is, well does it need even more help given how good it is comes on a day where theres a ton of Consumer Product and retail news. Downgrades of Athletic Apparel and footwear upgrades of gap, upgrades of kors the dichotomy between whats working and whats not, or what people believe will work and what wont is huge gap stores, this has been this is the second big upgrade, because we had matt boss upgrading it at jpmorgan its been doing better i went to the flagship store, spent 72, got several pa and gf pants. Thats hyperbole i did not get 72 pairs of pants. Nike is hostage to thi incredibly brutal world of competition. Kors is closing the jimmy choo, people like that not unlike how we got excited about coach and kate spade hasbro and mattel under pressure because of toys r us toys r us filing for chapter 11 bankruptcy protection 64,000 employees odd time. You would think they would wait until we got to in some ways dont you need to make sure you secure the funding, and in bankruptcy youre more likely to do so to build the inventories as you head into the big selling season you have to pay them now. September is when that stuff comes. So i think you make a good point. Keep that financing open weve seen sports authority, they didnt have it. All the suppliers got killed they went seven eventually. They liquidated. Thats a piece of wells today downgrading under armour to under perform part of the reason is customers have filled their closets with athletic equipment for six, seven years, but also disruptions in distribution. Its interesting that nike made such a push on direct to consumer if youre a foot locker, you dont want direct to consumer, but nike has been accelerating its able to make new iterations, adidas is powerful but one thing i think tells nike nike is another Great American company mark parker took on under armour, i think hes winning big. Now, baltimores war sf doing we w wharf is doing well. Where is kevin plank why isnt he on saying this is not right. You should buy his stock. We have to go we know where nelson peltz is right here. This is what p gs david taylor said to jim about peltz last week on mad money. Hes proposed some things that can be dangerous to the shortterm, which is reorganized company right now, and hes proposed something dangerous for the longterm future of this company, eliminating our corporate r d. Many of the inventions in the process improvements that serve many of these brands and underpin the tremendous performance in efficiency and value came out of corporate r d and into the businesses. Now its nelson peltzs term to respond. He will talk about his push for changes at the company and his seat on the companys board. More squawk on the street in a moment [pony neighing] what . Hey gary. Oh. Whats with the dogsized horse . Im crazy stressed trying to figure out this complex trade so i brought in my comfort pony, warren, to help me deal. Isnt that right warren . Well, you could get support from thinkorswims inapp chat. It lets you chat and share your screen directly with a live person right from the app, so you dont need a comfort pony. Oh, so what about my motivational meerkat . Inapp chat on thinkorswim. Only at td ameritrade. Engaged investor nelson peltz stepping up the pressure on Procter Gamble urging Share Holders to vote his way at the companys annual meeting in october. Hes wanting a seat on Procter Gambles board and Procter Gambles report today takes aim at nelsons record good morning, jim good morning. And carl and david. I forgot that i apologize. Okay so, when david taylor was on mad money, he said point blank that you are dangerous dangerous to the short and longterm. When he said it, i said to myself, we have to have nelson back on. Find out what he thinks about the charge that you would be dangerous to this company. You know, whats dangerous, jim, is the way theyre acting and the way theyre running this company today. Theyre overseeing a melting ice cube theyre losing market share consistently year in and year out for a decade it hasnt changed. Weve heard over and over again the next guy in, things will be great. The next guy in, things are not great. So whats dangerous is to continue the way theyre doing things today not me ill be one vote out of 12 how disruptive could i possibly be i think Procter Gamble will come back and say you can be very disruptive because you want reorganization of a company thats repeatedly reorganized and theyre finally on track i dont think theyre finally on track lets stop right there but i think a company that is constantly through reorganization is a very, very dangerous thing. You know, we have reorganized companies over the years snapple. American can, exst cetera the most important thing you can do in a reorganization is have a start time and a stop time Everybody Knows where they need to be, where they belong, what theyll be doing you have to get through it quickly. This company has gone through ten years of several reorganizations. My reorganization, i cant mandate, i can only ask the board to have a really honest and open discussion. One directed to the others about what our plan is you know, nelson, on that point, with all the back and forth in terms of whether or not you will go on the board, you make this point, im only going to be one voice of many. At the same time you seem to be making significant promises to shareholders that you will be an agent of change. I dont think ive done that. I didnt say that i was making promises im saying that im bringing in a point of view into the boardroom which merits real discussion and real study thats what im saying so, theres a possibility that even if you do get on the board, you wont be able to do anything theres a possibility, but my track record speaks for itself, that things have changed you know, that track record of course is now at issue with p g saying its not what it appears. They talk about things, for example, in past campaigns you had a pattern of increasing prices when you get on the boards, to the detriment of volumes where you have gotten on the board. What theyre talking about is talking about mondelez yes when cocoa prices go up, you better raise the price of your chocolate. Thats just the way it is. Everybodys cocoas prices went up at mondelez, when i got on the board, that was january 14, we had come off a year where margins were 10 adjusting for the coffee jv, theyre now at 16 . Irene has done a magnificent job in raising those margins the revenue gains at mondelez were driven by pricing no. They were driven by pricing and volume and margins and more advertising expense. Do you think thats sustainable. I know its sustainable i also know when youre trying to gain market share, you continue to increase your advertising, you increase your r d, and if you look at mondelez, advertising and r d went up as a percentage of sales. Look at what p g did last quarter, they dropped advertising 1 125 million to mae the quarter look good. When you are losing market share, its a cardinal sin to reduce marketing expense you dont think it was about lack of return in digital or anything they said about advertising on facebook or various platforms . I cant argue whether it was good or bad on digital digital is where its happening today. If you find a place where marketing is not doing well, which i assume theyre doing every day and every week, by roadside stands. Dont take the money and put it in your pocket i wanted to know again, because i want mr. Taylors charges refuted if thats the case he said to me, were focused on one thing, that is to win the proxy contest. Knelt son pe nelson peltz said david, you have to give me something for my share owners i have no share owners. I have investors i manage money theres no shareholders. That quote is inaccurate totally inaccurate let me tell you what happened at that meeting it was at that meeting, midmay. I asked officially for a board seat now, i have done that in the past once or twice, asked for a board see t seat most often i got one i never got an answer at that meeting because i was only sitting with two directors normally they would say well poll the board, call a meeting the next meeting is in three weeks, well take it up then those two directors on their own said no. They didnt say lets go out of the room just no. I think thats bad governance in and of itself. Then what i did, i then offered to meet the entire board seven retirees said i would like to meet him in whole or in part. I would travel anywhere in the world to meet them i waited then i could show them my white paper. Thats what we do. We share our white paper typically with management and the board in session then they can make a determination. As you know, they complained that i waited until after labor day to put out my white paper. I offered to meet with the board the second half of may, all of june, all of july, all of august asked many times they gave me one new director, ken chenault, and i spoke to the head of governance on the phone. She said hello and goodbye. That was the extent of the dreshgts i met thats why we presented the white paper when we did. Mr. Taylor comes back and says there were 16 meetings between you and people at procter, which would indicate a lot of conversations beyond. 100 . It was with taylor, john muller, and some of his Global Leadership team. Absolutely but the only one in the room who could make a decision about my board seat was david taylor, he was one vote of 11 on this subject, about the timeline and the meetings, and on the not particularly important subject of how much money theyre spending in fees to defend themselves, there seems to be a difference of opinion to put it lightly. P g says youre making stuff up. When you say theyre spending 1 150 million on fees to defend themselves, as you did with sara and i last week or two weeks ago, thats not true they dont want somebody on the board who makes stuff up they make stuff up by telling you that everything is peachy cream and everything is moving in the right direction understand i like david taylor i look forward to working with david taylor im not asking for david taylor to step down i would ask david taylor to be forth right. They put out David Taylors record and say how wonderful things are earnings are down since 15. Sales, 3 growth cumulatively over his tenure. That d traditional peers, 6 double, 7 for the entire marketplace theyre losing market share in all five segments. They started to put out a slide. About your performance talking about your total shareholder return versus their own. I dont know if we have it available. I think some of it is there. What about that . I have never seen that slide. Youre down 5 , one week post theyre going after you to try to build up the shortterm performance of mr. Taylor, under his leadership at this point saying, you know what . You get a big pop when you get into one of these stocks, overtime their Analysis Shows that theres longterm underperformance of the companies youre involved with if you look at my white paper, my white paper has been lawyered to death. It says that every time i get on a board, and my average length of stay on a board is seven years and growing, so the shortterm nonsense doesnt hold the tsr and earnings outperform the s p annually by 8 those are the facts. I dont know what time frame theyre picking. David, you know what do you with numbers. What i just told you is hard fact thisprocter is giving me, it shows when youre on the board, its 4 . If true, its important. They picked a time frame of november 1st right 2015. Im on these boards an average of seven years the w the average of those seven years, they grow 8 above the s p annually and the earnings grow over 8 of the s p average. Thats average if i could get all those things quarter by quarter, i might not be sitting here. The fact is that is what happens. November 120, 2015, the year prr to david coming on board, the stock was down 31 versus peers. 31 . Thats happened. He came in at trough the stock then went up from then until now, up 24 . Peers went up 22 . He we captured 2 of the 31 half of the 24 is when we were buying the stock but overall market share down in all five segments. Earnings down from 2015 to june 2017 well, lets lets back up for a second there are charges back and forth now, nelson. Its no longer as it seemingly was at the beginning. Both sides saying they want to be civil they start out by saying we respect nelson we think hes a good guy thats not enough. Its not why, its that this is not the criteria about whether youre a good guy. I agree with you. I make i have crib notes here this is what they said about me. Im out of date, which is code for im old. Thats true. I cannot deny that but i have six millennials at home and two gen z s i will match those numbers with all of the p g board im dangerous, we discussed. Im disruptive jim, im not disruptive. I speak me mind. I dont think every single vote on a board needs to be unanimous. Thats what every board strives to do. If every decision is unanimous, they should fire 11 directors and save the directors fees. Do you have i didnt finish my list im sorry. I didnt say hello, you cut off the list what else is on that list they said no new ideas. What did i write that on i wrote all this down no new ideas which is like a new hurdle to get on a board then they said it was bad idea then they changed horses one more time and said theyre already doing it theyre already doing the bad idea thats it i still love david look forward to working with him. When this process began, did you expect it to be this heavy of lift or this personal i dont take this personally if i took this personally, i wouldnt have been able to work at heinz and work so well with that board i wouldnt have been able to work with ed breen ed breen was on the board of dupont, he and trian are so close. We have been under ca with dupont several times i lost a battle when we had a huge win i hope that doesnt happen here. I really want to work with david. I want david to make his numbers. Youre on four boards already. Yep you think you can add a fifth and be effective no, i say in my white paper i will get off at least one, maybe two if i win this proxy fight. I said that in writing nelson, will you stick around we want to take a quick break, pay a couple of bills. Hi, nelson, how is it going hey, jimmy. We will get the opening bell d reanmo with nelson peltz after a short break. Directv has been rated 1 in Customer Satisfaction over cable for 17 years running. But some people still like cable. Just like some people like banging their head on a low ceiling. Drinking spoiled milk. Camping in poison ivy. Getting a papercut. And having their arm trapped in a vending machine. But for everyone else, theres directv. For 1 rated Customer Satisfaction over cable switch to directv. Call 1800directv. For tech advice. Dell Small Business advisor with one phone call, i get products that suit my needs and i get back to business. Kevin, meet yourkeviner. Kevin Kevin Kevin KevinKevin Kevin Kevin kevin kevin trusted advice for life. Kevin, hows your mom . Life well planned. See what a Raymond JamesFinancial Advisor can do for you. Nelson peltz welcome back talking about the proxy fight with Procter Gamble. When i had mr. Taylor on, he point blank said to me that something you charge, which is that something you said which is that you spoke with 13 out of 13 of the important people, chairmen, directors, they had nothing but good things to say about you. He said he talked to board members, directors, ceos, and he felt point blank that they didnt have positive things to say about you. This is a direct contradiction i need to get a response for what mr. Taylor said okay. Were talking facts now, jim okay. Ive zeserved under 13 chairn and ceos some men and women had both titles some had split titles. 13 in total. Within two, three days after they made that statement, we then called and wrote all 13, not 12 of 13, all 13 hoping they would say we said great things about you you know what they said . No one from p g contacted them at all thats what they said. And have they could they have spoke ton a specific director whose nose might have gotten out of joint possible but the chairman and the ceos at these companies are the people who count most of all, and all 13 of them have said they have not heard as of 24, 48 hours after that statement from anybody. So its not that their fear retributi retribution, its thatthey werent called they werent contacted. Its not like i said did you say anything bad about me . They said nobody contacted me. Now i want to correct this slide. Theyre already applauding me here early returns this is the opening bell thank you thank you. Really quick nelson at the big board down here, it is global citizen, a social action platform, seeking to end extreme poverty by 2030. And over at nasdaq, childrens place. Let me tell you how duplicitous this slide is. Okay this slide weights by market value these returns. So, mondelez let me show it. Im sorry i sprung it on you. Thats okay thats okay. Mondelez is weighted 30 times wendys for that time period okay 30 times from november 1st, picking a random date that happened to be when david took over when i bought mondelez, it was in the low 20s eps has gone up double digits, more than low double digits. Every single year. Advertising has gone up. R d has gone up. That slide is so misleading. Whatever consultant did that for p g, they ought to fire that consultant this idea of credibility is becoming more and more important in this debate between both sides. I shared their perspective earlier. Theyre coming back and saying your xhechbt comments about thel meetings, which i believe took place in march and after that, are not true that the idea you were summarily rejected by p g without the full board. They say mr. Taylor had conversations with the companys board regarding the meeting you had at your request between march 7, and march 17th. On march 17 th, you and ed garden called mr. Taylor, he said the board did not think adding mr. Peltz was right at this time. The first time i met any director other than david was jim mcnerny. We met midmay that was in kentucky, their choice, not mine and thats when they told me immediately there was no board seat for me. That was the first time i officially requested a board seat i then, to repeat myself, offered to meet the entire board separately or in its entirety for the next 3 1 2 months. I offered to meet in berlin, i offered to meet in london. I offered to meet them anywhere when i was in chicago. Everybodys dance card was full for the entire summer. Thats how interested they were in hearing our plan. Seems to be they say we talked to the board, you didnt, but they did, they brought it to the board, the board responded to mr. Taylor. I like to carry my own messages, number one number two, now they complain that they didnt get the white paper in time. Ive already explained that to you. We give the white paper at appropriate time when we meet the board. For viewers who are trying to catch up on the arguments you made in the past about p g, you talked about bloated brands that are not nimble enough as smaller brands have emotional connections to consumers is there one you hold up as a model. Yeah, one that sc johnson bought two days ago method soap. Of course my house, your house. My millennials they got them in their house. Why the last time i looked, p g is in the soap business, right . Yes i would buy method soap if i was in charge at p g but it doesnt work at p g you know why they are only about global brands, one size fits all. That was great in the 80s and 90s today, as you said, the world has changed. Millennials want these little brands, local brands that they have an emotional attachment to. That theres a value proposition. Its good for the environment. Good for their body because its natural. That makes it harder that means you have to step into this century and you have got to give the customers what they want, not what you want to give them what they did is they doubled down on global brands. They sold 100 brands 100 brands, small brands those brands, every one of them was bought for the future of p g. They sold them all because they couldnt manage them theyre talking about r d now you have said point blank you wont cut r d. Mr. Taylor says theres corporate r d at the top thats provided a lot of innovation and theyre number one in a lot of categories because of that corporate r d, and that you would eliminate that thats not true there might be upstream r d that continues to belong in corporate what we envision, jim, is three gbu, gobel blizzardnelobal busi ten of them. All the sales people report into those gbus, all the functions report into the gbus theres real accountability. The matrix is gone the synonym for may trecks is complexity complexity kills margins and sales growth i want to step back for a second this board is not a lightweight board. Could you agree . Very respectable. Mr. Blake from home depot unbelievable. So, why do you think that they have set criteria that they think, you know, frankly you dont fit given the fact that these are open minded people and we all think highly of them. I agree if you look at page nine in my big book, you will find a list of every director, his tenure and two columns. One column is peer tsr one column is p gtsr every single directors number is significantly negative versus the peer some go back 16 years. The only one who is positive is ms. Chang who just got on a few months ago every other director is negative nelson, to wrap up, if you do win this proxy contest, its going to be a tight one, i would think. A lot decided by retail audience one reason why its a good thing to come on cnbc. What do you put your chances of success at of working with this board to get done what youre talking about . Very high why ive done this so many times before i have not walked into these boardrooms where there was a popping of champagne corks but aftd t but at the end of the day some of my newest and closest friends were made in these boardrooms. When were all on a board together we understand were there to represented the shareholders, not management, not egos, but the shareholders, thats what were there to do. Thats my reminder when i come in the boardroom. Thank you, nelson appreciate your willingness to take a lot of time with us this morning. Vote white. Good bye, nelson good to be with you, jimmy. Im all wrapped here well get you untangled. The dow set a new record high, up 22, apple in the lead jim, we have to get through the twoday fed meeting and the president at the u. N. Later on today where there will be a balance between demonstrating his willingness to have america be a dominant force around the world, but not so hawkish that people get nervous about north korea. I think north korea has been the hot button to send the market down. I want to talk about the fed meeting for one second i cannot recall a fed meeting where either outcome is terrific they say they dont need the titan, thats great. Because houston and the flood. Because of florida they say they need the titan terrific, jpmorgan make aston of america. Bank of america make aston of america. I have never been in this dichotomy where youre afraid to short because everybody could win. This is amazing. Not supposed to be like that nodding. Im working on something. Im working on something, too. But i got to write it sorry. Sorry. Yeah. We have a lot of other things to get to. Im still here for you. I have to finish writing i think north korea is the one thing that is very underneath weve been talking about military options that was not the case three weeks ago. I always think that if you get off script, we will go there well see what the president says in about 20, 30 minutes the Business Roundtable releasing its ceo Economic Outlook survey for the third quarter. Tail ta Kayla Tausche has the results. Confidence among ceos held up in the quarter according to a survey conducted by biz ps roundtable the outlook edged up slightly but has remained roughly flat since the beginning of the Trump Administration this quarter more executives were optimistic about appointme employment increasing but showed a less rosy outlook for sales and spending sip since the election, optimism has been rooted in the prospects for tax reform in that end, jamey dimon said our ceos are committed and actively engaged in the effort to pass tax reform because they recognize that it will make us stronger as a country and create more opportunity for all americans. This quarter, the group was asked to rank the competitiveness of the u. S. Tax code, 87 of those respondents said the u. S. Tax code was a disadvantage or a serious dised a sant t dis advantage. Carl, back to you. Those are some compelling numbers, thank you very much Kayla Tausche in washington. Were getting some reports on some numbers of what Senate Republicans could try to write in terms of tax cuts over the next few years 1. 5 billion perhaps. Look, i know that survey. I saw that survey. I just wish that i had a single seat who comes on mad money and thinks about the stuff they dont think about it they dont want to talk about it. They dont want to give false hopes. You say i want to ask you about your tax rate next year versus this year, they say what does that have to do with the price of eggs . Deregulation, different story. Deregulation, whether its ferk, building type lines in and out i have to tell you a Hillary Clinton department of Justice Anthony trust would block one. The orbital, that would be blocked. Why . These are going to stifle innovation in the defense business and in the Aerospace Business i personally, having studied antitrust, that was my emphases, im with this administration but this administration is allowing companies to get together in a way that i never thought could happen i think thats important thats where the win is for business thats what they focus on when i talk to them at the top of the show we mentioned the split between kohls and kors leading the s p now. Best buy down almost 7 along with under armour, and kellogg and other consumer brands. Look, i am kind of im very enamored of kohls. Ive been saying that for some time not just because i like to shop there, which i do i was turned down for the credit card once, highly embarrassing. Thats okay. Kohls is a good place to shop why . Its considered to be a reliable place, but its in strip malls if you get together with amazon, its very easy to use kohls when i go to kohls, im always shock the at the pricing its so reasonable thats something that has been consistent i never understood why the stock traded where it did, with that Balance Sheet and buyback. They can pay that dividend Courtney Reagan talked to hubert jolie and auto zone, first revenue beat in eight quarters comps were a slight miss i liked auto zone over the longterm, because the buyback has been so aggressive, the top line being good was a lot more important than the bottom line which a lot of people feel has been tinkered with x with by these endless buybacks very positive beat even if incremental. We got 0. 9 we got 1 for the samestore this is a revenue thats better, and Credit Suisse says it is better than fear thats good. We had peltz just now on p g. Tomorrow scott wapner has ackman theyre out in force that will be a tough one for bill last thing we reported on adp, his decision not to convert his derivative position entirely to an 8. 3 position in the common, still makes them a large holder, but only a 2 common holder. Can only vote that 2 . Hes got a tough battle ahead of him, mr. Ackman. Again, no surprise that he would want to try and put the pressure on to a certain extent very different in terms of much more general sherman march to the sea, rather than peltz. Even though the peltz procter has gotten to the point where its, lets just say, not convivial. Thats for sure lets get to bob pisani see whats moving on the floor another day, another new high the s p did go negative. Teches have come back. Its been a laggard, healthcare, energy is back, oil is over 50, banks are okay today also a leadership group. It pays to look at major indices. We have to remind ourselves we are remaining at new highs on the s p 500. The mid cap and the russell 2000, they are just slightly below their recent highs a lot of people watching that russell micro cap, the smallest 1,000 companies in the russell 2000 plus. Thats had a new high. Thats also investable Leadership Groups are intact energy with oil at 50 another play for investor appetite retail has been better gap, kohls, l brands. Semi strong. Materials on the upside. Retailers, we talked about kohls accepting amazons returns. Theyre deepening their relationship with amazon koe kors upgraded at oppenheimer nike downgraded. Important thing about that toys r us bankruptcy. We talked yesterday about the impact that has on mattel and hasbro they are more stable today than they were yesterday when both were down in the mid Single Digits slightly to the upside we talked yesterday about a potential, very big week for ipos it still is. One has had a hair cut the biggest one for the quarter. Best inc will try to price together, trade tomorrow at nyse theyre talking about roughly raising 4 472 million, thats te mid point. The prior mid toint wpoint was billion. From the investors point of view, good news. The deal was overpriced. Thats what investors are saying if you look at the ipo etf, its up 27 companies that have gone public have done well this year overall. We had a few disappointments including blue apron everyone mentions blue apron and snap, but look at some of these performers, square, ferrari, atlassian and first data, all strong roku pricing tonight oasis mid stream, one of the first Energy Companies pricing for a long time. Back to you. Bob, thank you very much. When we come back, the world is awaiting the president s address to the u. N. General assembly right now its the president of brazil the president is next. Well get you live coverage of that as we go to break a look at movement in treasuries, with the tenyear hovering around 222 [vo] quickbooks introduces jeanette and her new mobile wedding business. At first, getting paid was tough. Until she got quickbooks. Now she sends invoices, sees when theyve been viewed andtadahpaid twice as fast for free. Visit quickbooksdotcom. Its not just a car, its your daily treat. Go ahead, spoil yourself. The es and es hybrid. Experience amazing. It tmobile and sprint are in active merger talks both companies and their parents have been in frequent conversations about a stock for stock merger where deutsche dt l telekom would emerge as the owner of both. They believe the chances of reaching a deal are not assured. The two sides have not set an exchangetio for a deal but are prepared to hammer out a term sheet tmobile and sprint have had a seemingly endless valley since being taken over, the last time the two Companies Held meaningful talks earlier this year, softbanks mossasan offered to buy hold on one second the all stock nature of this deal at this point would allow softbank to emerge, of course, as one of the significant holders, however a minority holder as a large minority holder in any combination, while tmobiles ceo john ledger is expected to lead any maernlgeme massasan said he would want a say in how the company was run that adds another layer of complexity to an already difficult transaction. Tmobile has not begun Due Diligence on sprint. Finally there is the Biggest Issue of all, which is whether any merger between the number three and four wireless carriers in the nation would be blessed by antitrust regulators that will play an Important Role in the final decision made by both sides on whether they will proceed with the deal. Given softbanks high level of engagement in a tmobile deal, the buying of charter has been slowed and on hold that should calm the fierce of altice which has been mounting its own bid for charter. The last time he considered selling, this time its all stock for stock. Softbank would continue to hold a significant stake, and masa would want a significant stake these talks are at the meaty stage of engagement in terms of over exchange ratio. But given how often they have come together and blown apart, you never know i got to tell you, when you have the rockwell deal, rockwell collins, united technologies, when you have this orbital deal with northrup this is a different kind of antitrust edition. I think this goes through. You do . Yes just like time warner was supposed to be stopped by the president. Thats going through this goes through. This is not that kind of anti trust. That deal f it had gone to a court and judge, if they tried to stop it, it would be difficult for the department of justice to argue time warner and at t are anticompetitive. Not here a Million Companies can get in this phone business youre going go four to three. Thats problematic im telling you this antitrust department doesnt think like this. I think its a big question mark i know they believe its a question mark. Doesnt mean they wont get a real deal done theres also move to change the language between material and substantial effects on customers. You know what Preet Bharara is no longer in charge of the southern district, but its interesting to note there were 20,000 octoberer 67 1 2 tmobile calls bought yesterday morning. 20,000 you think that is just guessing . I dont know. Congratulations on a great story. Theyre at it once again. This time they seem to be making a great deal of progress theyre at an important point in their negotiations so, well see what comes out of it, well follow it closely. Dont see john ledger responding yet mr. Ledger declined to comment. Speaking of the administration, there is the president arriving at the 72nd General Assembly at the United Nations. He is up next on the list of speakers today we are paying a lot of attention to the vision he presents about the United Statesgaging with the world. Some saying he will advance an american first policy. The opposite of wilson and what our policy has been whats on madd tonight . We have santine, pit ney ney bowes, and we have warren, and whether wells fargo is a rogue bank. So lets listen to that. You said smoke was coming off of this show looks like smoke will come off of that one as well. Theres smoke coming off cnbc, which is the way it has to be. Jim, well see you tonight. 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Partner with pgim, the Global Investment management businesses of prudential. Good Tuesday Morning welcome back to squawk on the street. S the president is set to address the u. N. General assembly in a few moments. Were looking at the president of brazil. The president is next on the docket the dow is up 21 points. Well get Oil Inventories in about 30 minutes Michelle Carusocabrera is at the United Nations this morning. Can help us set the table of what we expect the president to say. Good morning good morning. I think no matter what kind of President Trump we get, whether its smooth teleprompter trump or off the cuff, no matter what, its going to be a culture clash at the United Nations. We get that from the first three speakers that have already occurred, antonio gutierrez, the individual who introduced, and michel temer, all of them embracing immigration, diversity, going contrary to the tonality that we have heard out of the white house thus far under President Trumps white house. It will be interesting to see. We heard he will be a nationalist. He will talk about north korea he will talk about iran. He will talk about venezuela, three key problem spots in the world. He is also going to talk about the issues of whether or not the United States bears too much of the burden when it comes to trying to deal with world crisis i see him approaching the stage. Well get an introduction . Im struggling to see the screen here let me know when he actually comes up definitely a highly anticipated speech all the members here wanting to see the president of the United States for the first time here at u. N. General assembly michelle, the president now approaching the lectern. We expect to hear from him in a few minutes. The white house said monday that the president spoke with the president of china about north korea and maintaining pressure on that rogue nation at the same time we have the u. S. Trade rep calling china an unprecedented threat tothe World Trading system thats going to be an interesting balance. Lets listen to the president of the United States. Mr. Secretarygeneral, mr. President , World Leaders and distinguished delegates, welcome to new york. It is a profound honor to stand here in my home city as a representative of the American People to address the people of the world. As millions of our citizens continue to suffer the effects of the kev stadevastating hurris that have struck our country, i want to express my appreciation to every leader in this room who has offered assistance and aid the American People are strong and rezil yenresilient and will emerge from these hardships. Fortunately the United States has done very well since election day last november 8th the stock market is at an alltime high, a record. Unemployment is at its lowest level in 16 years, because of our regulatory and other reforms we have more people working in the United States today than ever before. Companies are moving back, creating job growth, the likes of which our country has not seen in a very long time it has just been announced that we will be spending almost 7 700 billion on our military and defense. Our military will soon be the strongest it has ever been for more than 70 years in times of war and peace, the leaders of nations, movements, religions have stood before this assembly, like them i intend to address some of the serious threats before us today, but also the enormous potential waiting to be unleashed. We live in a time of extraordinary opportunity. Breakthroughs in science, technology, medicine are curing illnesses and solving problems that prior generations thought impossible to solve. But each day also brings news of growing dangers that threaten everything we cherish and value. Terrorists and extremists have gathered strength and spread to every region of the planet rogue regimes represented in this body, not only support terrorists, but threaten other nations and their own people with the most destructive weapons known to humanity. Authoritarian powers seek to collapse the values, the systems and alliances that prevented conflict and tilted the world towards freedom since World War Ii International criminal Networks Traffic drugs, weapons, people, force dislocation and mass migration, threaten our borders and new forms of aggression exploit technology to menace our citizens to put it simply, we meet at a time of both immense promise and great peril. It is entirely up to us whether we lift the world to new heights or let it fall into a valley of disrepair. We have it in our power, should we so choose to lift millions from poverty, to help our citizens realize their dreams, and to ensure that new generations of children are raised free from violence, hatred and fear. This institution was founded in the aftermath of two world wars, to help shape this Better Future it was based on the vision that diverse nations could cooperate to protect their sovereignty, spref the preserve their security and promote prosperity it was in the same period exactly 70 years ago that the United States developed the Marshall Plan to help restore europe those three beautiful pillars, pillars of peace, sovereignty, security and prosperity. The Marshall Plan was built on the noble idea that the whole world is safer when nations are strong, independent, and free. As president truman said in his message to congress at that time, our support of european recovery is in full accord with our support of the United Nations. The success of the United Nations depends on the independent strength of its members. To overcome the perils of the strength and to achieve the promise of the future we must begin with the wisdom of the past our success depends on a coalition of strong and independent nations that embrace their sovereignty to promote security, prosperity and peace for themselves and for the world. We do not expect diverse countries to share the same cultures, traditions, or even systems of government, but we do expect all nations to uphold these two core sovereign duties, to respect the interests of their own people, and the rights of every other sovereign nation. This is the beautiful vision of this institution and this is the foundation for cooperation and success. Strong, sovereign nations let diverse countries with different values, different cultures, and different dreams not just coexist, but work side by side on the basis of Mutual Respect strong, sovereign nations let their people take ownership of the future and control their on destiny. Strong sovereign nations allow individuals to flourish in the fullness of the Life Intended by god. In america we do not seek to impose our way of life on anyone, but rather to let it shine as an example for everyone to watch this week gives our country a special reason to take pride in that example we are celebrating the 230 tth anniversary of our beloved constitution the oldest constitution still in use in the world today this timeless document has been the foundation of peace, prosperity and freedom for the americans and for countless millions around the globe whose own countries have found inspiration in its respect for human nature, Human Dignity and rule of law. The greatest in the United States constitution is its first three beautiful words. They are we the people generations of americans have sacrificed to maintain the promise of those words the promise of our country and of our great history in america the people govern the people rule. The people are sovereign i was elected not to take power, but to give power to the American People where it belongs. In Foreign Affairs we are renews this founding principle of sovereignty. Our governments first duty is to its people, to our citizens to serve their needs, to ensure their safety, to sprpreserve thr rights and defend their values as president of the United States, i will always put america first. Just like you as the leaders of your countries will always and should always put your countries first. All responsible leaders have an obligation to serve their own citizens and the nation state remains the best vehicle for elevating the human condition. But making a better life for our people also requires us to Work Together in close harmony and unity to create a more safe and peaceful future for all people the United States will forever be a great friend to the world, and especially to its allies but we can no longer be taken advantage of or enter into a onesided deal where the United States gets nothing in return. As long as i hold this office, i will defend americas interests above all else but in fulfilling our obligations to our own nations, we also realize that its in everyones interest to seek a future where all nations can be sovereign, prosperous and secure america does more than speak for the values expressed in the United Nations charter our citizens have paid the ultimate price to defend our freedom and the many nations represented in this great hall americas devotion is measured on the battlefields where our young men and women have fought and second fised aloacrificed a allies from the beaches of europe to the deserts of the middle east to the jungles of asia, its an eternal credit to the american character their even after we and our allies emerge victorious from the bloodiest war in history, we did not see territorial expansion or attempt to oppose and impose our way of life on others instead we helped build institutions such as this one to defend the sovereignty, security and prosperity for all for the diverse nations of the world, this is our hope. We wanted harmony and friendship, not conflict and strife we are guided by outcomes, not ideology we have a policy of principled realism, rooted in shared goals, interests and values that realism forces us to confront a question facing every leader and nation in this room it is a question we cannot escape or avoid. We will slide down the path of complacency numb to the challenges, threats and wars that we face, or do we have enough strength and pride to confront those dangers today so that our citizens can enjoy peace and prosperity tomorrow . If we desire to lift up our citizens, if we aspire to the approval of history, then we must fulfill our sovereign duties to the people we faithfully represent we must protect our nations, their interests and their futures. We must reject threats to sovereignty from the ukraine to the south china sea. We must uphold respect for law, respect for borders, and respect for culture and the peaceful engagement these allow just as the founders of this body intended, we must Work Together and confront together those who threaten us with chaos, turmoil and terror. The scourge of our planet today is a small group of rogue regimes that violate every principle on which the United Nations is based they respect neither their own citizens, nor the sovereign rights of their countries. If the righteous many do not confront the wicked few, then evil will triumph. When decent people in nations become bystanders to history, the forces of destruction only gather power and strength. No one has shown more contempt for other nations and for the wellbeing of their own people than the depraved regime in north korea. It is responsible for the starvation deaths of millions of north korean north koreans and for the imprisonment, torture, killing and oppression of countless more we were witness to the regimes deadly abuse when an innocent American College student, otto wa warmburer was returned to america only to die a few days later. We saw it in the assassination of the dictators brother using banned nerve ajgents in an international airport. We know it kidnapped sweet 13yearold japanese girl from a beach in her own country to enslave her as a language tutor for north koreas spies. If this is not twisted enough, now north koreas reckless pursuit of Nuclear Weapons and Ballistic Missiles threatens the entire world with unthinkable loss of human life it is an outrage that some nations would not only trade with such a regime, but would arm, supply and financially support a country that imperils the world with nuclear conflict. No nation on effort has an interest in seeing this band of criminals arm itself with Nuclear Weapons and missiles the United States has great strength and patience. If it is forced to defend itself for its allies, we will have no choice but to totally destroy north korea. Rocket man is on a Suicide Mission for himself and for his regime the United States is ready, willing and able, but hopefully this will not be necessary thats why the United Nations is all about, thats what the United Nations is for. Lets see how they do. It is time for north korea to realize that the denuclearization is its only acceptable future. The United NationsSecurity Council recently held two unanimous 150 votes adopting hardhitting resolutions against north korea and i want to thank china and russia for joining the vote to impose sanctions along with all of the other members of the Security Council thank you to all involved. But we must do much more it is time for all nations to isolate the kim regime until it ceases its hostile behavior. We face this decision not only in north korea, but it is far past time for the nations of the world to confront another reckless regime, one that speaks openly of mass murder, vowing death to america, destruction to israel, and ruin for many leaders and nations in this room the iranian government masks a corrupt dictatorship behind the false guise of a democracy it has turned a wealthy country with a rich history in culture into an economically depleted rogue state whose chief exports are violence, bloodshed and chaos. The longest suffering victims of irans leaders are, in fact, its own people rather than use resources to improve iranian lives, its oil profits fund hezbollah and other terrorists that kill innocent muslims and attack their peaceful arab and israeli neighbors. This wealth which rightly belongs to irans people also goes to shore up Bashar Al Assads dictatorship, fuel yemens civil war and undermine peace throughout the entire middle east. We cannot let a murderous regime continue these destabilizing activities while building dangerous missiles and we cannot abide by an agreement if it provides cover for the eventual construction of a nuclear program. The iran deal was one of the worst and more onesided transactions the United States has ever entered into. Frankly that deal is an embarrassment to the United States and i dont think you have heard the last of it. Believe me it is time for the entire world to join us in demanding that irans government end its pursuit of death and destruction. Its time for the regime to free all americans and citizens of other nations that they have unjustly detained. Above all, irans government must stop supporting terrorists. Begin serving its oe ining itsd respect the sovereign rights of its neighbors. The entire world understands the good people of iran want change. And other than the vast military power of the United States, that irans people are what their leaders fear the most. This is what causes the regime to restrict internet access, tear down satellite dishes, shoot unarmed student protesters and imprison political reformists oppressive regimes cannot endure forever, the day will come when the people will face a choice. Will they continue down the path of poverty, blood shet and terror, or will the iranian people return to the nations proud roots as a center of civilization, sculpt chore and wealth, where their people can be happy and prosperous once again. The Iranian Regime support for terror is in stark contrast to the recent commitments of many of its neighbors to fight terrorism and halt its financing. In saudi arabia early last year i was greatly honored to address the leaders of more than 50 arab and muslim nations we agreed that all responsible nations must Work Together to confront terrorists and the islamic extremism that inspires them we will stop radical islamic terrorism because we cannot allow it to tear up our nation and indeed to tear up the entire world. We must deny the terrorists safe haven, transit, funding and any form for their vile and sinister ideology we must drive them out of our nations. Its time to expose and hold responsible those countries whose support and finance terror groups like al qaeda, hezbollah, the taliban, others that slaughter innocent people. The United States and our allies are working together throughout the middle east to crush the loser terrorists and stop the re rereeamerican jens of safe havens last month i announced a new strategy for victory in the fight against this evil in afghanistan. From now on our security interests will dictate the length and scope of military operations, not arbitrary benchmarks and timetables set up by politicians i have also totally changed the rules of engagement in our fight against the taliban and other terrorist groups in syria and iraq, we have made big gains towards lasting defeat of isis. In fact, our country achieved more against isis in the last eight months than it has in many, many years combined. We seek the deescalation of the syrian conflict. And a political solution that honors the will of the Syrian People the actions of the criminal regime of Bashar Al Assad including the use of chemical weapons against his own citizens, even innocent children shock the conscience of every decent person. No society can be safe if banned chemical weapons are allowed to spread that is why the United States carried out a missile strike on the air bass that launched the attack we appreciate the efforts of the United Nations agencies that are providing vital humanitarian assistance in areas liberated from isis and we especially thank jordan, turkey and lebanon for their role in hosting refugees from the syrian conflict the United States is a compassionate nation it has spent billions and billions of dollars in helping to support this effort we seek an approach to Refugee Resettlement that is designed to help these horribly treated people and which enables their eventual return to their home countries to be part of the rebuilding process for the cost of resettling one refugee in the United States, we can assist more than 10 in their home region. Out of the goodness of our hearts we offer Financial Assistance to hosting countries in the region. We support arecent agreements of the g20 nations that will seek to host refugees as cloegs to their home countries as possible this is the safe, responsible and humanitarian approach. For decades the United States has dealt with migration challenges here in the western hemisphere weve learned over the longterm uncontrolled migration is deeply unfair to both the sending and the receiving countries. For the sending countries, it reduces domestic pressure to pursue needed political and economic reform and draining them of the Human Capital necessary to motivate and implement those reforms. For the receiving countries the substantial cost of uncontrolled migration are borne overwhelming by low inkorm sit zeps whose concerns are often ignored by media and government i wanted to salute the work of the United States in seek doiino address the problems causing people to flee from their homes. The United Nations and African Union led peacekeeping missions to have invaluable contributions in stabilizing conflicts in africa the United States continues to lead the world in humanitarian assistance including famine prevention and relief in suda sudan, somalia, north nigeria and yemen. We have invested all over the world through programs like pepfar, which funds aids relief. The president s Malaria Initiative the gobel Health Security agenda the global fund to end modern slavery, and the woman entrepreneurs finance initiative, part of our commitment to empowering women all across the globe we also thank we also thank the secretarygeneral for recognizing that the United Nations must reform if it is to be an effective partner in confronting threats to sovereignty, security and prosperity too often the focus of this organization has not been on results, but on bureaucracy and process. In some cases states that seek to subvert there institutions noble aims have hijacked the very systems that are supposed to advance them. For example, it is a massive source of embarrassment to the United Nations that some governments with egregious human rights records sit on the u. N. Human Rights Council the United States is one out of 193 countries in the United Nations. Yet we pay 22 of the entire budget and more. In fact, we pay far more than anybody realizes the United States bears an unfair cost burden, but too be fair, if it could actually accomplish all of the stated goals, especially the goal of peace, this investment would easily be well worth it. Major portions of the world are in conflict and some, in fact, are going to hell. But the powerful people in this room under the guidance and auspices of the United Nations can solve many of these vicious and complex problems the American People hope one day soon the United Nations can be a much more accountable and effective advocate for Human Dignity and freedom around the world. In the meantime, we believe that no nation should have to bear a disproportionate share of the burden, militarily or financially. Anything that nations of the world must take a greater role in promoting a secure and Prosperous Society in their own region thats why in the western hemisphere the United States has stood against the corrupt destabilizing regime in cuba and embraced the enduring dream of the cuban people to live in freedom. My administration recently announced that we will not lift sanctions on the cuban government until it makes fundamental reforms. We have also imposed tough calibrated sanctions on the socialist maduro regime in venezuela which has brought a once thriving nation to the brink of total collapse. The socialist dictatorship of Nicolas Maduro has inflicted terrible pain and suffering on the good people of that country. This corrupt regime destroyed a prosperous nation by imposing a failed ideology that has produced poverty and misery everywhere it has been tried to make matters worse, maduro has defied his own people, stealing power from their elected representatives to preserve his disastrous rule the venezuelan people are starving their country is collapsing. Their Democratic Institutions are being destroyed. The situation is completely unacceptable and we cannot stand by and watch as a responsible neighbor and friend, we and all others have a goal that goal is to help them regain their freedom, recover their country, and restore their democracy. I would like to thank leaders in this room for condemning the regime and providing vital support to the venezuelan people the United States has taken important steps it hold the regime accountable we are prepared to take further action if the government of venezuela persists on its path to impose authoritarian rule on the venezuelan people. We are fortunate to have incredibly strong and healthy trade relationships with many of the latin american countries gathered here today. Our economic bond forms a Critical Foundation for advancing peace and prosperity for all of our people and all of our neighbors. I ask every country represented here today to be prepared to do more to address this very real crisis we call for the full restoration of democracy and Political Freedoms in venezuela. The problem in venezuela is not that socialism has been poorly implemented, but that socialism has been faithfully implemented. From the soviet union to cuba to venezuela, wherever true socialism or communism has been adopted t has delivered anguish and devastation and failure. Those who preach the tenets of these december credited ideologies only contribute to the continuing suffering of the people who live under these cruel systems. America stands with every person living under a brutal regime respect for sovereignty is also a call for action. All people deserve a government that cares for their safety, their interests, and their wellbeing including their prosperity in america we seek stronger ties of business and trade with all nations of good will, but this trade must be fair and it must be reciprocal. For too long the American People were told that mammoth multinational trade deals unaccountable international tribunaled a es and powerful gl brur ro bur rock kacy c kracys were the success. Others gamed the system and broke the rules. Our great middle class, once the bedrock of american prosperity, was forgotten and left behind. But they are forgotten no more and they will never be forgotten again. While america will pursue cooperation and commerce with other nations, we are renewing our commitment to the first duty of every government, the duty of our citizens this bond is the source of americas strength, and that of every responsible nation represented here today if this organization is to have any open of successfully confronting the challenges before us, it will depend as president truman said some 70 years ago, on the independent strength of its members if we are to embrace the opportunities of the future, overcome the present dangers together there can be no substitute for strong sovereign and independent nations. Nations that are rooted in their histories and invested in their destinies. Nations that seek allies to befriend, not enemies to conquer. And most important of all, nations that are home to patr t patriots, men and women willing to sacrifice for their countries, fellow citizens and for all that is best in the human spirit in remembering the great victory that led to this bodys founding, we must never forget that those heroes who forgot against evil also fought for the nations that they loved. Patriotism led the poles to die to save poland the french to fight for a free france, and the britts to stand strong for britain today, if we do not invest ourselves, our hearts, our minds in our nations, if we will not build strong families, safe communities, and healthy societies for ourselves, no one can do it for us we cannot wait for someone else. For far away countries or far off bureaucracies. We cant do it we must solve our problems to build our prosperities to secure our future or we will build vulnerable to decay, domination and defeat the true question for the United Nations today and people all over the world who hope for better lives for themselves and their children is a basic one, are we still patriots . Do we love our anything that out protect their sovereignty and do we revere them enough to defend their interests, preserve their cultures, and ensure a Peaceful World for their citizens one of the greatest american patriots, john adams, wrote that the American Revolution was affected before the war commenced. The revolution was in the minds and hearts of the people that was the moment when america awoke. When we looked around and understood that we were a nation we realized who we were, what we valued, and what we would give our lives to defend. From its very first moments, the american story is the story of what is possible when people take ownership of their future the United States of america has been among the greatest forces for good in the history of the world. The greatest defenders of sovereignty, security and prosperity for all now we are calling for a great reawakening of nations for the revival of their spirits, their pride, their people, and their patriotism history is asking us whether we are up to the task our answer will be a renewal of will, a rediscovery of resolve, and a rebirth of devotion. We need to defeat the enemies of humanity and unlock the potential of life itself our hope is a world of proud, independent nations that embrace their duties, seek friendship, respect others, and make common cause in the greatest shared interest of all, a future of dignity and peace for the people of this wonderful earth. This is the true vision of the United Nations the ancient wish of every people, and the deepest yearning that lives inside every sacred soul let this be our mission. Let this be our message to the world. We will fight together, sacrifice together, and stand together for peace, for freedom, for justice, for family, for humanity, and for the almighty god who made us all. Thank you. God bless you. God bless the nations of the world, and god bless the United States of america. Thank you very much. On behalf of the General Assembly that is the president with a fiery speech at u. N. General assembly with sovereignty as a central theme, talking about the u. S. Commitment to the u. N. , to Global Engagement but focusing primarily on north korea, iran and venezuela. Calling iran an economically depleted rogue state the u. S. Is ready, willing and able, and that the u. S. Is forced to if the u. S. Is forced to defend itself or its allies, we will have no choice but to totally destroy north korea. Michelle carusocabrera is at the u. N. Listening to that speech your thoughts . Those are the key highlights, absolutely tho th that reference to kim jongun as rocket man stands out for the harsh tone of this speech. I can assure you that a speech like this has not been heard from a u. S. President by the u. N. General assembly before you could see some of the reaction at some points. Benjamin netanyahu nodding his head, the leader of israel in agreement with the comments about iran but irans stony faced look into the camera as the president said that when you saw north korea responding by only taking notes. The idea of sovereignty, if there were a word count on this sovereignty, it would be the word that comes up the most. Towards the end, if Foreign Policymakers look at the speech and think theres a trump doktd ri doctrine, i think the great revival of nations, which speaks to this idea that we have seen growing in the world of more multilateralism, of institutions like the european union, trying to bring europe together as a national country, so to speak, and perhaps the critics would say to the suppression of individual countries within, he clearly stood against that kind of movement that we have seen in the world. Also specifically highlighting issues related to trade. We got cut aways of china, the chinese delegation as he talked about countries willing to trade with north korea a speech like members of the u. N. Have probably never heard from a u. S. President. Carl indeed, phrases like loser terrorists, michelle, and this line about some parts of the worl world, he said, in fact going to hell joining us to talk more about the speech, former deputy second secretary of the state, mike fukes and former deputy secretary of the state George Bloomfield when have you heard a speech at United Nations talking about destroying another country in attendance i havent heard one its understandable that you would look at the Current Events and crisis that were facing President Trump seems to have expressed a centrist corrective. He put in some red meat from the campaign, but that was on the periphery. He also pulled back from the republican excesses of nation building and overcommitting forces, and expressed sort of a set of principles which i think centrists, if they could overlook politics and personalities would find reflects the views of general mcmaster and his able team this is a strategic concept that he laid out underneath the harsh rhetoric on north korea. Is that referring Foreign Policy and military responses or to trade both basically he discredited leftist ideologies, but he said this business about having the primary duty to the people, we the people, and he was basically saying was were going to respect each others sovereignty. Remember, theres nonstate actors run amok right now. You have militarily armed militias like hezbollah and hamas and others running wild, so its about time nations of the world say, no, were the ones who control the destiny of security in the world. You have bitcoin and about 100 nonsovereign currencies springing up this is starting to get out of hand, so hes trying to tell the countries of the world, get a grip, but at the same time i think he was reflecting the idea of a social contract, that well let you have your culture, values, traditions, history, and all of that, but you owe it to your people to treat them right. And thats the way they will be judged so its a very interesting approach he talked about liberty, freedom, those are words that we havent heard from President Trump before we heard it a little bit from the Vice President , from nikki haley, tillerson, but now the president has made it his policy, so i think its a very interesting move to a solid, strategic center, which will be which will be seen by many Foreign Policy experts that way. Just to extrapolate what the ambassador just said, mike, this address was really looked to as sort of giving the world clues as to what trump exactly means by americas first policy. We got this rhetoric of a coalition of strong, independent nations. Was he walking a fine line and trying to say americas first, but every country should be sovereign, every country should be looking out for itself and from that well derive strength as a body . Well, i think that this was clearly an attempt at a teleprompter version of his Campaign America first speeches, but i think that it was very clear that what the rest of the world likely heard was President Trump talking about the United States attempting to go it alone instead. From issue to issue, the president s words today and, frankly, his actions in office to date showed that he does not really care about the interests or, frankly, the opinions, i think, of most of the rest of the countries in the world he spent quite a bit of time today criticizing iran and talking about what a terrible deal we have made with iran to stop its nuclear program, but hes at the same time trying to get other countries onboard to support a diplomatic and pressure approach when it comes to north korea, but i dont think anyone is going to frankly believe him on north korea if hes looking to rip up a deal thats working from getting iran getting a Nuclear Weapon similarly he talked about the importance of migration and whats right now one of the greatest humanitarian catastrophics since world war ii in terms of internationally displaced people, yet at the same time the president is trying to bar refugees from coming to the United States and slashing the u. S. Budget and the u. N. Budget to deal with these issues then finally, he didnt even touch on what is probably the most existential threat the United States and the world is facing right now, which is Climate Change unfortunately, i think the president very much undercut American Leadership in his speech here today. Ambassador bloomfield, whats going to be the reaction from the important players here im thinking about russia and china, for starters. They will notice that President Trump laid down a fairly explicit marker when he said respecting sovereignty means taking and paying close attention to violations of sovereignty in ukraine and the south china sea. Whats he going to do about those violations is unclear. But i have to say there will be a diversity of opinions about President Trumps intent and the messaging and how it was received, but i think if you thought he was really going to go it alone, he could have gone up there and said were going to defund the United Nations, take our ball and go home i thought it was a surprising embrace of the United Nations. He was very positive in terms of trying to have the u. N. Go back to its roots and founding in the 1940s and fulfill its mission and the u. S. Would be at the forefront of leadership if everyone sort of got onboard with that agenda mike, one last on that very point. Bringing in the comments he made yesterday about the noble goals on which the u. N. Was founded, and this line about, yeah, we may pay the most, but if it results in peace, its a Worthy Investment the ambassador is trying to argue this was more within the lane than expectations hinted going into it. I think thats an absolutely fair characterization of the speech i still would argue that it sent the very wrong message to the rest of the world about the u. S. Going it alone in a variety of different issues and i think, frankly, more importantly actions speak louder than words and the messages that President Trumps actions from day one in office have been sending to the rest of the world, whether its on slashing funding for the u. N. , which is already, of course, and still in the president s proposed budget, withdrawing from the paris climate agreement or any other variety of global issues are sending a very disturbing message to the world so again, while he definitely read out a few nice talking points today, the messages that his actions are sending are very loud and clear mike fuchs, gentlemen, thank you for helping us assess the speech markets unmoved by the speech, dow at 32 points more on squawk on the street when we come back after this break. Listen up, heart disease. 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Hey, court hey there, carl yeah, so this afternoon when best buy meets with analysts, its going to be a totally different tone and theme than when they spoke to them last time five years ago. Then he was five new, he was presenting his Transformation Plan at a time when many were wondering if best buy would even survive in an amazon world well, it worked. He fixed what was wrong and now hes focused on growth this is an opportunityrich environment in which we have a unique set of assets that can help us bring Great Solutions to people people are looking for more than a product and transaction. They are looking to solutions to their needs, they are looking for a relationship joly is going to present a number of new initiatives and programs, line inhome advisers that will come to your home for free, as well as testing out total tech support, thats going to be for membership he also gave a threeyear plan its a little conservative by investors standpoint the stock is down about 3. 5 right now. Back to you. Thank you so much good morning, its 8 00 a. M. At apple headquarters in cupertino, california, 8 00 a. M. On wall street, and squawk alley is live good Tuesday Morning, welcome to squawk alley, im Carl Quintanilla here at post 9 of the new york stock exchange. Sara eisen is off today. Our top story, of course, is the president wrapping up his address to the united nation