Cloud revenue is pressuring the stock. Top gainer on the s p. It is the rise of generative ai. A wider than expected stop. Lets get to the tech giants in the battle over ai. Despite the top and bottom line, the low consensus, they are optimizing their spend. When i first got in the business, there were grants that i thought should be terrible. It never rained on the target site. David, they were not optimizing. Is because they are ai offerings. I want to make sure that i understand it as well. There are services that they want to spend more. Google and amazon are happy to say that the threeyear deal, paid over the 40s. It is bring the Growth Numbers on for me. There is some skepticism about the growth of azure. Azure is a great juggernaut of this moment. They are the called pilot of infinity. It is used to help you be more productive. You feel like you are firing people, it the opposite. It is more money being made so you can hire more people and be better. David, some of the worst shakespeare was demonstrated. They dont want to start quoting him now. Microsoft, it is way too early to have any conclusions. With generative ai will go with corporate customers and corporate application being submitted. Your point, jim, nobody has more information about their customers than google. How much they know about you. Right now, many expect that they will own the consumer when it comes to generative ai, they are not there. They certainly had the data that you would expect would help fuel a Consumer Product when they get to it. I was convinced that this would be the breakdown quarter. He is there, he is doing a great job, i did not expect authorization. David, to me, this was a make it or break it by microsoft. The x numbers for all these companies are astounding. Weve never seen anything like them. 40 billion per year being spent by microsoft and meda. We will get to that in terms of meda and amazon what services. The numbers are staggering. Microsoft is seen as being able to execute. One owner said that it is run like the academic institution. That is nasty. There is a huge chunk of time to vote. Ive got to tell you, a negative moment about the nfl sunday ticket. Its negative because there is a moment when Michael Nathan said and asked, how is it doing . The nfl likes it. If i pay you to billion year, i want exactly that. Hey, jim, i like that time. I approve, to billion dollars health, i approve. Will get more on what is coming up later on. Moving later on in the premarket. Offset by the revenue beat and kindness. Philip is at the headquarters this morning, good morning, phil. Good morning, ceo of boeing. He mentioned the guidance. Stock is up. Free cash flow guidance for this year and longerterm. A lot of people want to ask about the 737 max right off the bat. Bring down the delivery estimate, what happened where you cannot deliver as many as you expected . Its great to be with you this morning. We feel good about where we finish the quarter. There were a couple of nonconformances, couple of our suppliers, there was some speculation about how long it would take us to get our arms around them. We have our arms around it. We know the work that has to get done, we put the work into the scope of the factories. Many had surmised. We will get back to the end of the year. We will be running at the rates that people expect us to run. I know you do not want to talk about another publicly traded company. Spirit aerosystems. Hundred Million Dollars immediately into them. You are going to be working closely together with them. I have to tell you, when i bring up Spirit Aerosystems to people, what i hear, these are the guys that cannot shoot straight. They cannot deliver fuselages, one problem after another. You are working closely together with their new ceo that things will change and they will get their act together. I will start by necessity. We are working very closely. We have well over 100 people in the factories supporting their team. I will be the first to say that i love the appointment of pat. Pat knows exactly how the fuselage goes into the boning factories and exactly what we see, so far, the eports from my team are that he is on the floor every day. That is a great sign for all of us. He will incorporate everything that he knows that we need. A lot of confidence. They have work to do. We got it. We have competence. Structurally, the ingredient that we moved on. Breathing room. We understand it. The economics worm winwin for us. There is a little bit of cash going their way. Gives them breathing room that they need to meet the rate wire meant as we move up the growth curve. I know you have a question for dave. Dave, great to see you as always. Three things that i think are really good, the defense business, time to talk about it. Its indispensable. 787, your orders are there. The leverage will begin when you can Start Building again. Thank you. Its great to be with you. Im sorry about the phillies. Maybe you had to go there. The elephant in the room. Thumper, its bambi at this point. Let me comment on a couple of these things. You are right on the defense business on the military. Well continue to work through these fixedprice contracts. We will complete them. That will reduce the financial weakness of the business. In light of what is going on in the world on the supply chain rebuild that has to occur, these have to be replaced. They have to grow. The forecast for the weapons business, it may not sound like a lot, it is getting more robust every day. I ultimately realize those gains. Yes, it is looking better. The defense world in general has to connect to the rebuild. We will have that support through congress. If i could, you are right to point it out. Finished goods on the maxes that are on the tarmac when we certified at the end of 2020, we are steadily working through that inventory. We will be complete, if not totally complete by next year. The cost that it will take out of our business and the reapplication of that Skilled Labor for the rate increases inside the factory, it is just an enormous step change for us. We are looking forward to it. We make steady progress about that one. Customers cannot get enough of the 787. There was a spoof article in september, about where you work. If you are working away from home, i dont care where you are from. How do you feel about working from home versus working there . I want to make it clear, i dont work from home. I work for our factories and sites all around the world. And throughout this country. The signal that we spent in 2020 when i got started, everyone get out of headquarters and go to our factories. Listen to the ground troops. Yes. Yes, they like to fly. Its that simple. One of the questions i keep coming up, today or yesterday with ge. It is very clear that the supply chain remains an issue. As investors and the Investor Community to dial back expectation from manufacturers as we look over the next couple of years, it is clear, they are not getting the level of production increase from their suppliers that they would like. Is it time for investors to say, i know they say they will deliver x amount in 2024 and 2025, do i have confidence . I talked to larry more frequently than any other ceo in the aerospace space. I look at his rates i make sure i do not build rates that are higher than his. He has constraints. Pretty well tailored. I have said this many times. It is a supply increase with rate increases. If it was just a man, these rates would go up double and they would go up tomorrow. We are constrained, there is transparency between all the major players. At least for the most part, we will not increase the rates anymore than the supply constrained tells us. This is the world we live in right now. Im curious your thoughts about the uaw strikes right now. This comes up next fall. You know the labor environment that we are in. Are you confident that you can avoid a strike . I will not project that moment in time. We love our work force and we never had to go through the entrenchment that automotive had to in the years that they went through bankruptcy cycles. Our workers have kept up pretty well. I have told them and i will continue to tell them that they will not lose a penny to inflation. Thats not how works at boeing. I like our chances, we will work as closely as we can with them. We love the workforce. They have carried us through the return of the that is who carried us through. Enormous respect and hopefully we will get to a good answer. Are you worried given the environment . I dont like what i see. Only because everybody gets hurt. I do not want the gm team to lose competitiveness and i do not want the orkforce to lose jobs. Nothing good comes in these moments. All of us try to avoid them with everything weve got. Real quick on defense funding. Given what you see on capitol hill and the level of dysfunction, how worried are you that the message will not get through to the lawmakers . Defense funding needs to get in place. If it doesnt, the longer you wait it will put a stress on the system. I am cautiously optimistic. There will be pretty widespread support for the bill that the president put forward to replenish all of these supply lines. These three major efforts. It needs to happen. We cannot replenish stores. At the extent that we need to. We cannot do it. Not like it needs to be done. They cannot put orders on us. That has to get freed up somehow someway. Im cautiously optimistic that it will. The ceo of boeing, as you mentioned, Free Cash Flow which is crucial. He has a diamondbacks jersey over here. Number three underneath it, do i bring it out . Dont forget, the birds play this weekend. Lets get that straight. A pretty good win over the weekend. Asked. He is my ceo of the general manager. Ceo of the world. Speaking of defense spending, lets go to the middle east. Widescale strikes in gaza against thomas strongholds. Once again live in tel aviv. Hello, carl, good morning. We see the crumbling of humanitarian aid inside of gaza. Today the primary u. N. Agencies supplying some of the aid support to the civilians trapped inside of gaza. They will have to shut things down and they can no longer operate because they are out of fuel and they expect to run out today. They are providing shelter for 600,000 people displaced in gaza. In 150 different facilities. They will have to shut those down and stop providing aid. U. S. Military aid advisers within the u. S. Military are urging israel to avoid an all out ground assault at this point. Telling them that they need to hold off to allow more aid to move in and allow movement of hostages. Israel continues as you talked about the aerial assault at a very intensified pace and they continue to say hat they will move in on their terms and on their time. They are preparing for that ground assault. We know that israel is now frustrated with the u. N. Yesterday after the secretary general called for a cease fire. There are clear violations of International Law occurring in gaza. They are blocking visas for any u. N. Officials that want to come into israel. There is a building frustration there as well as talking about the hostages as we wrap things up here. The talks are continuing. They are continuing at a very rapid pace. It builds confidence and they are hopeful for a breakthrough and release of a number of hostages there soon. Jay, as we appreciate it. Oil is below 84 today. That reflects what you were talking about. Still to come we will talk to microsoft. Hilton, we have gap, verizon, and more when we return. Nice footwork. Man, youre lucky, watching live sports never used to be this easy. Now you can stream all your games like its nothing. Yes [ cheers ] yeah woho running up and down that field looks tough. Its a pitch. Get way more into what youre into when you stream on the xfinity 10g network. Not every day you get microsoft and boeing at the top. In the case of microsoft, that will help out the doubt. Being offset by some other big names. More tonight. Cramers m dheconganass mi up after the break along with the dow in under 10 minutes. Opportunity is making the dream of Home Ownership a reality. And driving the world forward to a Greener Energy future. [applause] sometimes the only thing standing between you and opportunity is someone who can make the connection. At ice, we connect people to opportunity. In the u. S. We see millions of Cyber Threats each year. That rate is increasing as amore and more businessese who can make the connection. Move to the cloud. So, the question is. Cyber attack as cyber criminals expand their toolkit, we must expand as well. We need to rethink. Next level moments, need the next level network. [speaker continues in the background] the network with 24 7 builtin security. Chip . At t business. You got this. Lets go. Gobble gobble. Ive seen bigger legs on a turkey rude. Who are you . Im an investor in a fund that helps advance innovative sports tech like this Smart Fitness mirror. Im also mr. Leg day. 1989 anyone can become an agent of innovation with invesco qqq, a fund that gives you access to nasdaq100 innovations. I go through a lot of pants. Before investing carefully read and consider Fund Investment objectives, risks, charges, expenses and more in prospectus at invesco. Com. Welcome to the mad dash. We will continue to hit microsoft, alphabetic, amazon, snap, apple did not report. That is the subject of the mad dash. Less cowbell. Thats what i think. There is the bank east which is trading iphone. Why does this matter so much . This will be the beginning. There is no more growth. Only one week of growth for the iphone in this quarter. You go looking for a dollar 39. When i think about what could go wrong with this market. This was the key back down earlier. Look we will have mike joining us. Later on squawk on the street. He is saying, as he always does, positive things. There is not been as many people switching. You did what i was going to say. If you have tmobile saying that the man is off the charts, i will rip this out. If he says not a lot of switching. Is always a positive guy. You will not get anybody saying its bad. Ive seen yesterday. It does feel like it has been more muted, the response to the 15. Fair to say . Okay. All right. We have the opening bell and someone to talk about the stocks this morning. Stay with us, we are back after this. As an independent financial advisor, i stand by these promises. As a fiduciary, i promise to be the financial steward that you and your family need. I promise to put your longterm Financial Wellbeing above any short term transaction. Everyone has a big picture. My job is to help you invest in yours. Charles schwab is proud to support the independent Financial Advisors who are passionately dedicated to helping people achieve their financial goals. Visit findyourindependentadvisor. Com futures are mixed this morning as we wrap up the last few trading sessions of october. As we look towards the end of the year, 47 trading days left in the year. The set up is cleaner in november the yearend rally has not been canceled. I think throughout this period whether it is the budget deficit, we forget what the fed wanted to do. All we talk about, can we get the price of housing down . Can they get the price of automobiles down, used cars have come down dramatically. They are now betting on every inflation find except we have not seen rents go down because housing is so expensive people are staying. They are winning and we have to recognize that if we had these numbers two months ago, we will have some next year. The big thesis next year is that the pmi is still big. The Profit Margins are incredible. The industrial is just flying. I dont know a week industrial and then i look at the numbers north and southern. We do not see much alike. I come back. If youre worried about the working person, you should be less worried about inflation. First today, up in guidance. Lets get the opening bell here. These supplies. The industrial company. More uniforms and safety, i want to watch this. This has been a tremendous thing. More cowbell. I was thinking that hollywood have brought on these things that they wear on the ramp at the airport. Im i need to do that, actually. Ill work on that. Lets do that. I see your priorities. On the advertiser side and i honestly think advertising on alphabetic way good. Those who want to look at meadow possibly. It is 1 billion in had rev for the quarter. Those are the alphabets. Not benefiting from those add numbers from alphabet. There are some comments on the snap call as you see alphabet chairs going over a person. You look like a pretty good number from snap. Since the onset of the war they have had a number of brand oriented campaigns pause spending in the Early Campaign after the onset of the war. They have seen a number of the campaigns resume spending and they do not see you from the daily runway. The impact has reduced significantly because of that. That will be pressuring matt a little bit. The guidance we will get from anna. Very strong add numbers from alphabet. Someone who does reels and instagram. That is the lifeblood of your business. Im not sure about the impact on meta. I think they are a good company. Amazon web services. Amazon is doing quite well, advertising well, maybe im done with the mega caps. As david mentioned earlier, you think that the numbers are amazing. Tough night to miss on cloud. Right alongside microsoft. We love alphabet. The tone of he call was riddled with invasive commentary. There is a search for a new cfo. We want to bring in an executive that speaks the language of wall treet. I want to get to that. On the call itself, there was a key question from brian about cost and expenses. The response from the president and cfo as of now, it unsettled a couple of investors. He may have called around. Take a listen. This was the question that she was asked. Durably reengineering the crawlspace. We talked about how expenses can grow smaller than revenue. Is that the highlevel way to think about it . Is that changing as Investments Continue . The company is spending 40 billion on cap ex. Take a listen. That is true, looking to grow revenues that are faster and even expenses. That takes us to the work streams that i tried to take through again. Those are the driver. Those are the efforts that will enable us to keep Expense Growth as moderate as possible while supporting the investment growth that is so exciting in front of us particular around ai. A great executive, that was not one of her great moments there. I was not a great answer, that unsettled some people. It was not clear. It was not. Revenue growth is going to outpace Expense Growth. The headcount there. The person who took the stock down last time. Having too much bend. David, they are cutting. Companies are cutting expenses and exploring revenues. I would be studying this as a case study. Cutting back and having the revenues ramp. Copilot is already use. 350 bucks per year. It could be enormous. Could be enormous. It could replace somebody. Remember, it makes them more productive. Right. Does that mean that you can replace a certain percentage of the workforce . The productivity enhancement from the copilot . I dont know. You will save me all that money. For example, here is something you can do, you have a team meeting. It will summarize the whole meeting for you. Youre not using it . No. Will just do a quick summary. Give me the 10 most important points. This is your own teams meeting. This thing israel. I have to get this copilot just to be out. Every 25yearold will be better. I will not allow that to happen. They will lose their job because they are not needed anymore. Do you think we are worth a lot . We are history. We are at the end of our careers. You and i are. Its true. I was filled with positives about ai last night. Not negatives. The companies that they have. I come away from the Conference Call and i say, i remember when i first brought microsoft into Goldman Sachs as the ipl. My friend Steve Ballmer who was with me at school. It is a billiondollar company. You are right. We cannot say about the leadership that was shown year. Lets see since the modell out took over. It will be significant in terms of the appreciation of stock. Truly is the most competitive velvet clubs. What about from these quarters from amazon . All positive. They will go to the operating leverage which is what everything in amazon wants. A huge number of programs that have not been closed. I think that chassis wants to win unlike the team that he supports, the giants. They are not as inclined to win. He will not let up. He will listen 10 times to the microsoft call. We have more on the game. That is what will happen. He will not lose. Mehta, earnings wise, what about there . A lot of the bowls went with 100 billion or less. To be more than 100 billion . Will they ramp up meta spending on the metaverse . You are moving dangerously, he is talking about your efficiency. Mehta still has 17 multiples. Maybe a 20. Look. Maybe it worked the wilight. This percent of tiktok. Its finally happening. Were you unnerved about the dozens of states that filed that action yesterday about the impact on kids . I thought about that. Not when every state gains up on a company. If you take away tiktok, people will be angry, if you take away reels, that is not how you will win. It is that powerful. You have to do adds to know who is good. The ability to do ads and if you want to reach people, you have to do it through google. I would rather do it there instagram and reels. A better experience. Jim texan, this is a three year low. My blood is boiling, those guys work for the shareholders. Total contempt for all the analyst. When i listen, they are the develop humility. Only auto is good. There is been a lot of money. It is who they ere. That is the way. Inventories with the wrong direction. Recovery is not quite here yet. That was the worst Conference Call for tech that i have heard. Yeah. By far, this Conference Call that was very interesting. This is a company that feels like this company is making china a force or not. This is interesting. Not at this particular moment. The stock was up 20 earlier today. People are ordering Semi Conductor equipment. They are spending 5 billion. I fell for them. My god, they were asked repeatedly why things are not better, because its not better. Look, they were very unsatisfactory. People like you. He said mls. And then messy cups. This guy has the goods. He does it where he is wearing pink. Very nice. Yes, he also wears pink. I want to talk about something that i talked about in the past. Thermo fisher. Until about a couple of years ago this was one of the greatest performing stocks over a long period of time that is how we mentioned. Look what happened as of late. It is awful. That is why the stock is down. That was very small. The reason we did them is because when you see the market come back. It is golden, Morgan Stanley. We have a lot of biotech beanpot that no one is at the ipo. Until we get them, this is covid hangover. I cant believe that is one of the great executives. Clearly that we are having a little bit of a demand issue, right . There is a lot of equipment that you can use for bio simulators. Sometimes you by a value stock. You feel like youll be going back to a gross stock. I mortify myself when i tell the club, look, go with high quality and then it will work as it always has. This is the nature of this dog and disney, and other stock where im just like, gasp, and where it is. Disney . It is down 5 for the year. Hundred 50 market. Where was it marked it was a lot higher. The next order of business for disney will probably be the negotiation for comcast that will be the option that will be exercised by disney to acquire that 33 of hulu it does not already own. It will be exercised soon. There are a lot of notes being written this day about value but once disney exercises the option, they will pay the floor price, 9 billion, right away. That gets paid. Comcast will have 9 billion the next month or so. Then the appraisal period will begin on the incremental value beyond 9 billion and what that will be. Bernstein says it is more like 12. Right. Another 3 billion paid. Contract language, comcast will tell you it is favorable to them. It is assuming the real world and a world that does not exist for the purpose of the appraisal, it does. Everyone wants to own it. Everyone bids as if it is for sale. Gratuity needs comcast to provide a program. For the purposes of appraisal, it is. We will see. That will be next for them, jim. We are waiting for espn. Some kind of equity investments. We should point out. Im going back and forth with management. They have the alance sheets to be able to buy. They can do a loop. That is why i think this could be a catalyst for both stocks. Do you think that is possible . Two winners . It could be. Once it is dealt with. At least nine, maybe more, the question is, what do you do with it . It will help fund losses. When you look at verizon. Maybe thats a close shave. Tomorrow i wont be here. You are off tomorrow . Im done. We have not touched on visa. Some argue it is a little underwhelming. They did have a good hike, could not buy back. Not modeling any recession into the models. I love the quarter. That is all i care about. Double digit gains. Visa direct is taking care. I did not expect that to happen. The stock could be up. The stock goes higher. Its the real thing. Whos phony and whos real . Besides back. Id rather b bs that, david, i dont know how you feel about square or block or rectangle or rhombus. What about the double downgrade on trans union . Square is down about 7 . Everything we should know, look, all of the new syntax are having that. It was withdrawal of the guidance. Withdrawal of the cranial power. It was very nasty. The target there gets slashed from the 90s. The second day that a guy hit. When you do this and it figures out what to do here. Until it is coming in. You cannot compete with it. U. S. Government cannot compete with them when they have their own automated tax filing thing . If you look at the Balance Sheets of alphabet and microsoft . They are a lot better than this country that has the 5 . Ill take that as nationstates any day. Would rather lend to the twitter lbo . No. I was with twitter this morning. It was celsius. I dont know. It has raised some time, dave. A lot of caffeine. It is better than dutch prose. They have the annihilator, and keeps you up for three days. If you have that, that it is a great combo. When the free market is expected to open year. Watch bond here today, kyle we will hear from him this afternoon. He is in a quiet period but not much that he will say of note. We will be right back. Meet gold bond daily healing. A powerhouse lotion that moisturizes, heals, and smooths dry skin. With 7 moisturizers 3 vitamins. And. New gold bond healing sensitive. Clinically shown to heal moisturize dry, sensitive skin. Gold bond. Hi, im stacey, and ive lost 60 pounds on golo. guitar music dry, sensitive skin. I was surprised with the golo plan, i was not hungry. Thanks to release, i dont feel the need to go for snacks or go back for seconds. Give golo a try. This plan works. Explore endless design possibilities. To find your personal style. Endless hardie® siding colors. Textures and styles. Its possible. With james hardie™. [ clock ticking ] were going to have iso much fun. Some calls we didnt get to today. Gap gets an update, price target 16. Says the price target has become compelling. But citi cuts etsy to neutral and ups chewy to neutral. But both of those names losing ground. Stop trading with jim is next. Every day, businesses everywhere are asking is it possible . With comcast business. It is. Is it possible to help keep our Online Platform safe from cyberthreats . Absolutely. Can we provide health care virtually anywhere . We can help with that. Is it possible to use predictive monitoring to address operations issues . We can help with that, too. With the advanced connectivity and intelligence of global secure networking from comcast business. Its not just possible. Its happening. Everything i do thats for my health is an accomplishment. Concerns of getting screened faded away to my astonishment. My doc gave me a script i got it done without a delay. I screened with cologuard and did it my way. Cologuard is a oneofakind way to screen for colon cancer thats effective and noninvasive. Its for people 45 plus at average risk, not high risk. False positive and negative results may occur. Ask your provider for cologuard. I did it my way its time for jim and stop trading. I want to dive into complexity here. We know that nvidia has been told you cant sell the chips to china. We talked about it yesterday. Whats interesting is where are the chips going . In where are the cars . In here. Who are they up against . Amd and intel, which are more powerful. Can nvidia charge a little more . Yes, its a negative for intel. Its a negative for amd. But people arent realizing nvidia got customers. I feel after last nights google, yes, even though theyre not doing that well. But certainly microsoft call, in fact, if you can get a card, let me know. Intel gets cut to 40. Thats right. Because nvidia is going to take whatever they have. Theyre going to eat their lunch. All that spending. 40 billion from this one, 40 billion from that one. A lot is going to these guys. I have to tell you, they have the inventory. When you hear that china they need at one point. When you hear about all of those orders that are not going everybody wants that property. Everybody wants their stuff. And you would gladly take their stuff over intels. Nice as intel is, jensen is nicer. You have meta to kick around tonight. What else . Waste management. I love a stock thats just up. Mattel, i dont know, it other than berken stock, whos the winner . I love that movie. This show is a referendum on every aspect of consumer and industrial. Were doing some cool stuff right now, arent we . I like that. And david, shes still the best, she had an off night. The best. I believe that. I like them. I know you do. Many, many years. Ever since she mortified me about Morgan Stanley is going to make it. When we come back we continue reaction to microsoft and alab. Phet and mike sievert of t mobile first on cnbc. Ah, these bills are crazy. She has no idea shes sitting on a goldmine. Well she doesnt know that if she owns a Life Insurance policy of 100,000 or more she can sell all or part of it to coventry for cash. Even a term policy. Even a term policy . Even a term policy find out if youre sitting on a goldmine. Call Coventry Direct today at the number on your screen, or visit coventrydirect. Com. Good wednesday morning welcome to another hour of squawk on the street im sara eisen with Carl Quintanilla and david faber live for you from post nine of the new york stock eccex exchange look at stocks early action, not a lot of green, energy is the only one higher. A lot of it is earnings driven. Health care also under pressure. Information technology is holding up better. Mixed picture. The nasdaq is down the worst, down 1. 5 right now. Thanks to earnings movers like alphabet weighing overall. Microsoft offsetting that a bit. Tesla is higher, t mobile is higher. Well talk to the ceo in a bit. 30 minutes here into the trading session. Here are other movers were watching. Boeing shares flying higher despite cutting the 737 delivery target. Ceo david cal hhoun speelaking us in the last hour. More on those numbers later. And t mobile is higher. Well speak to the ceo of t mobile and imax. And General Motors beating higher thanks to demand for armored vehicles. Lets get to diana olick. Good morning. New home sales in september took a much wider than expected jump, 759,000 annualized. The street was looking for 680. Thats up 12 month to month and up 33. 9 year over year. These numbers are based on signed contracts in september. Thats people out shopping during the month signing the contract. We did see Mortgage Rates drop a little bit in september, below 7. 5 . Its now theyve been climbing up in october towards 8 . So those people obviously taking advantage. We did hear yesterday from the ceo of poltie group theyre buying down. He said theyre giving people 5. 5 on the rate. This as the existing home supply, at the end of september, was at a record low according to realtors so builders are definitely profiting from that. The sale median price was 18,800. Thats down year over year. And people are buying on the lower end of the market. Interesting that the inventory, a 6. 9 month supply is down from last month. The builders are going through what they have, the back log, et cetera but a bigger than expected jump 759,000 so people are still out buying even though Interest Rates are high. One thing we heard is a lot more new home buyers are using cash. So not surprising. Back to you guys. I guess when you can, try to avoid the 8 or so mortgage. Diana olick, thank you. A lot of earnings to get through and some commentary as far as what they say about the environment. Ill start because diana just mentioned housing with taylor moirson. Heres the kmcomments from this one. We acknowledge that the rapid acceleration of Interest Rates in september has once again injected some hesitation into the market alongo side typical seasonal slowing. No surprise housing is an industry feeling the impact of the higher rates, perhaps more than any other industry. On the other side, the consumer. We heard from visa. Listen to what the cfo said about Consumer Spending on the call. Were not Economic Forecasters so were assuming no recession in our outlook. Were also not factoring in impacts from student loan repayments because as i mentioned before we have yet to see any meaningful impact. As the year progresses and we gather more information with regard to the assumptions we will continue to provide updates. Visa is not seeing a slow down. No. And not expecting recession. So it is a tale of Different Industries and economies. A broad economy that is so far managing to stick a soft landing whether that can continue with inflation coming down well know more at the pce numbers on friday, more tomorrow when we get the Third Quarter gdp how strong that is on the soft landing narrative. But the fed is getting what it wants, soft landing with lower inflation, and not a break in the job market. But it doesnt feel that great it feels lousy. Whats the it . The mood. The vibe. The scary geopolitical things happening. There are. And its hard to quantify those and hard to quantify the impacts as well on the capital markets. Especially when youre not seeing treasuries behaving as typical safe havens. Yield is up 4. 9. It feels that nobody wants to step out and buy treasuries unless we have more clarity that the fed is done or that the soft landing can you know, that were not seeing a bigger recession or bigger slow down. Feels like still unknowns on those facts and in the absence of that, yields tick higher. Jumping high other the back of those new home sales numbers. Best in several years. I dont know if you noticed, refies went up last week, 1. 8 . Even though Mortgage Rates are 7. 9 at this level. Somebody is refieing. Somebody is refieing and theres demand for housing even if if its cash deals people have more cash than they had in the past. That continues to filter through. Another strong data point. As far as the direction of treasuries, obviously next week is key when it comes to the fed. We have a fed meeting, bank of japan meeting, theres an antic anticipation. On wednesday morning is it f 1 . No. Thats the biggest event in the world. Fed and then f1. Exactly. All right. Theres a treasury refunding announcement. So the treasury comes out, quarterly, every three months the last one was july 31st, and says how much debt its going to issue over the next quarter . Over the next quarter. I think you pointed out, or somebody has, the last time theyve done that, the market is trending down with that you said or somebody did. Yes. T t tony dwyer. Thats next week . Its on wednesday morning. Its usually a nothing we dont care but we get the auction sizes so well see how treasury secretary yellen is planning to structure it last time they wanted to borrow a trillion dollars meantime we digest the earnings and try to make sense with demand i mentioned visa whats happening with the Luxury Consumer karen gave us a good snapshot. Cracks in that picture i would say. If you look at the commentary there. What we see so far north america not gucci specific is rather clearly traffic. Traffic has been weak and we dont see an Inflection Point on the traffic. Love that. The french honesty yeah. Theyre not the first. Weve seen a number of the highest end luxury start to talk not hermes. Hermes was good and then lvmh. The size of the business has tripled the last 30 years. So its impossible to keep growing. We knew china was weak but theyre pointing out the north american traffic here. The luxury sectors held up better than everybody else and theres the industrials and the movers and transports. We got a comment from Norfolk Southern on the Earnings Call. Heres what theyre saying about the environment. For the Fourth Quarter we expect to see slow volume recovery amid uncertain Economic Conditions september presented us with some encouraging data that the contraction in manufacturing is slowing and on shoring to the u. S. Is on the rise. However, we remain cautious in our optimism as uncertainty surrounding future fed actions strike outcomes and geopolitical tensions are pronounced. So everyone is cautious, on guard, they talk about the uncertainty. But nothing appears to be collapsing is how i would sum it up. Shares of alphabet dont appear to be collapsing but theyre not doing well, down over 8 . Its tale of two tech titans, microsofts Cloud Business accelerating but alphabet disappointing cloud results overshadowed what was an earnings beat. Strong numbers on the ad front, for example. Our next guest joined us a couple days ago and warned of a tension ahead in tech. Brent phil joins us now. Buy ratings on both. Good choice on microsoft as opposed to alphabet at least in terms of franchise pick. Lets start with alphabet, stocks down 8. 2 worries about a decline in the growth rate, a cloud that differed from azure, microsofts cloud unit what did they say on the call that got your attention and what does it say about the future google is losing share in the cloud. Their market share in the growth rate went from 20 to low 20 and theyre one third the size of microsoft theyre a lot smaller than microsoft and decelerating massively. Microsoft on the other hand accelerated and seeing a. I. Boost their stream of revenue, thats going to have a bigger impact the next couple of quarters so clear whats happening. Google is an Advertising Company they struggled from the outside for a while. This is really a two hope hicks horse race, its amazon and microsoft and the rest of the industry is looking in on those two. Google, oracle, theyre trying to battle to get in and get their hands on enterprise cloud. We think theyre doing a better job but they are not necessarily becoming the prime the prime is going to be microsoft and amazon and its i think its as simple as that the google advertising numbers were fine. They were good. They were strong. Phenomenally well. I dont want to get too off topic but i am curious as to the read through then in your opinion from microsofts cloud to aws is that a positive then as we hear from amazon later in the week i think its a positive in the sense that overall cloud demands coming back you have to move to the cloud to get ready for a. I. I believe that microsoft is in a stronger position in taking share against amazon remember amazon won round one of the cloud, 85 to 90 billion plus run rate in cloud but they have lost the a. I. Chatter initially. This is early. But microsoft jumped out, remember the beginning of the year, and was the lead horse in the a. I. Rhetoric. So we think amazon has a lot to prove on a. I were hearing good things about bed rock and some of their a. I. Services, starting to make their way back in. But they are the leader in cloud and we do believe they will be good things to say i dont think its going to be as positive as microsoft remember microsoft just has so many sources of revenue thats surrounding this a. I. Story, the application portfolio, the cloud, developer tools amazon has a subset of that business i dont think its as strong as microsoft but not as weak as google so put it in the middle of what google and microsoft say concern about googles spending do you share in that i played earlier a comment from ruth porat in answer to a question on the call, where people said it didnt give them reassurance that revenues are going to out pace spendings in terms of growth. Theyre behind in the enterprise a. I. Race in the cloud, so they have to spend more to catch up there thats pretty clear. We think, again, theyre more optimized. Theyre seeing better efficiency as it relates to some of the other advertisers. So we dont necessarily worry too much on the expense side on the advertising side, the cloud side they have to lean in hard r to catch up to microsoft and amazon so thats clear. I dont have a spending concern from google from what we can see at this point. Finally, read through to meta which is also going to be reporting soon on the ad side is it a positive or any takeaway from snaps comments that things may have slowed as a result of advertisers pulling back given the mideast war . Meta and google are taking market share yes, a pause no question so advertisers are going to take a break given whats gone on, that makes sense meta is in a great spot, considering with growth, advertisers saying theyre gaining share. Zuck has backed off the m meta metaverse. So we think theyve done the right thing, stock up this year. The biggest concern is the guide on expenses. As you know, they always come out conservative on the next year well get that guide and he may come out super aggressive on expenses we dont know. Thats the Biggest Issue nothing fundamentally we see right now is troubling what we see in our fundamental view and the stock is still cheap. Where are you for opex next year what numbers are you using i dont have it in front of me. The 100 billion is the key yes its the bar in terms of the bogey line so if they come in above that people are going to be concerned at this point. Brent, appreciate the incites and the update thank you. Thank you got news out of apple a few moments ago. Raising prices of the subscription bundles apple tv goes from 6. 99 a month to 9. 99 those are the first price increases since 2019 for apple tv the second in a couple of years. Thats a 43 bump in the monthly on apple tv. It is netflix, obviously, has been raising price. Cracking down on password sharing and still had enormous subgrowth. Separating itself from everyone else in the way its considered to be the new tv i always come back to the fact that shows that existed on other platforms for years suddenly become most viewed on netflix. But back to apple, they continue to, you know they continue to go for the high end, carl and spend money. They got messi. And scorseses movie. That doesnt come cheap. No. Nice open but not enough to compete with tay tay. No. If you can get taylor swift you can charge whatever you want. Thats right. The rest of the world. We obviously continue to monitor for you the israel hamas war jay gray is live, as he always has been in tel aviv with the latest jay . The. Reporter yeah, lets talk about the politics surrounding all of this. 12 of the 15 members of the, you know, Security Council voted yesterday in favor of a limited ceasefire, a humanitarian pause they would call it, to deliver aid to that area desperately needed aid there was one lone dissenting vote and that was the u. S. Saying it didnt vote for the measure because it didnt include language outlining israels right to selfdefense so there is a real back and forth that is growing in in the Global Community about what to do with regards to the humanitarian aid on a day when the u. N. Group that provides the most aid in the that area, in the gaza strip has said its going to have to close things down, they can no longer provide any support for those who are trapped in the fighting there theres 600,000 displaced people in gaza receiving aid from urwna that organization in 150 of their facilities and today they are saying they have simply run out of resources there and we do know that another group of trucks has moved through the Border Crossing at rafah today, bringing in more water, more food, more medicine. The problem is, theres not going to be hospitals to use those medical supplies to administer that medicine because they dont have the fuel to keep those hospitals open right now the hostages, more than 200, remain in gaza many of them as we heard from the four women released in some of those underground tunnels that one of them described as spider webs running underneath the city qatar working as a middleman in negotiations for release of the hostages and say the talks are continuing and theyve continued at an accelerated pace right now. They do have hope there could be a significant agreement to release a number of the hostages at some point soon of course all that going on through back door channels and lets talk a little bit about concerns of the expansion. We discussed it in the past. You continue to see the fighting back and forth between Israeli Defense forces and hezbollah fight eers on the lebanon side. And syria today, eight killed in a skirmish and we know the u. S. Continues to move assets into the area as a deterrent. To this point it has not slowed down the back and forth and the concern. Remember, israel is a nation surrounded by adversaries. And this is a very tense situation across the board, sara thank you very much for the update, jay gray a lot of moving parts in tel aviv today as we head to break, heres a road map for the rest of the hour t mobile dialing up a profit beat the telecom ceo join us on cnbc next. Imax is on the move, record revenue jumped more than 50 from a year ago. Ceo rich gelfan joins us in an exclusive you dont want to you miss. And transports, are they at a Tipping Point of what itig mht signal about the health of the economy in a moment. Welcome back to squawk on the street. T mobile posting mixed results the wireless carrier raising its Free Cash Flow forecast after subscriber additions did top estimates. Joining us is mike sievert nice to see you. Great to be here. Revenue was good if you look at services revenue, which is what matters what is driving growth in this industry another quarter showing our strategy, which is so consistent of delivering the best network and value is delivering reliable consistent growth at the top and bottom line. Service revenue consolidated, leading the industries again postpaid 6. 4 one and a half times peers so thats great to see, translating into double digit ebitda growth. Cash flow up 94 year over year with room to run as we talked about. Were in a great spot where what we have to offer is unique and translating to results for our customers and investors. Theres excitement around verizon and at t that maybe pricing is moving up, theres pricing power. You shot down a report on the Conference Call this morning that you are looking at a price increase. Well, average revenue per account is rising this quarter up 1 versus a year ago. Customers are selfselecting up our rate plans because they want more of t mobile were delivering a fantastic experience in our go 5g rate plans which happen to be our most popular so revenues per accounts rising so we may not have the same needs othering might with slamming customers with surprise pricing. Youre not looking at ways to raise your prices. We have lots of old legacy rate plans we may look into weather we can simplify, if customers with appreciate and accept new plans were finding our most popular plan is go 5g plus and better. Thats amazing were attracting some of the best customers in the industry now with payment rates better than our peers and prime credit customers at all time highs for t mobile. A look at the i15 launch on the call you said you feel fantastic about it but you did admit looking at upgrades it was lower, 2. 7 rate is a little bit lower. Whats going on . Why do you feel fantastic if things are not coming in where they have in the past. If you can have low upgrades and low churn at the same time, thats the trifecta. Upgrades cost a lot of money in this industry because of the competitive intensity we subsidize phones to a great degree t mobile provides upgrades for the customers who want them most remember, daytoday, t mobile customers are having a faster 5g experience, twice the speeds twice the speeds of our competitors on 5g. So they dont have the same impetus to upgrade as fast i guess in part our audience cares about apple for obvious reasons. How old you character rise the launch of the 15 it was a success in it did drive switching for us this new iphone unlocks advanced Network Technologies that only t mobile has im going to geek out on you we have four way carrier aggregation. The phone can talk to four bands of our network at the same time. Its a break through for an iphone and we are the only ones that have it thats going to feed for t mobile customers which might mean the upgrade rates for us have some durability into the future. Is growth analysts had questions about taking share in rural markets versus urban can you talk about the difference between the two First Quarter ever we were the switching leader in rural markets. This is an area we started to focus on two years ago we were never big players in rural. This is not tiny towns, 40 of the country im talking, everywhere except the top 100 markets we were dead last. We said wed get to 20 by next year and be the leading share taker. This quarter, t mobile was the leading share taker across the entire 40 of the country, while also being the leading share taker across the top 100 as usual. What about the cable computation. Theyre taking wireless market share. You can eve youve called it calorie but at what point does it threaten you and the industry. Cable has been remarkably consistent over the past year. There was a step up a year ago but its been remarkably consistent since then and youve seen the best performance ever in our history q2 best quarter ever q3 best q3 ever in terms of churn in the face of that very competition youre speaking about. Were performing through it beautifully. It may not be affecting you be its affecting the broader industry. Were growing in prepaid, 79,000 net ads this quarter but others lost big time i think some went to cable and growing partly from switching to others and the other part is the low calorie ads we talked about. For the first time i was asked to ask you about m a im c im curious, is it something that youre looking at we never dont look we love the strategy we have now. The bar is high. The business is firing on all cylinders in the middle of a fantastic Shareholder Return Program mining years and years of investments and creating this pure play Wireless Company that delivers value the bar would be high but we are interested in fiber and broadband. So far we said were interested in doing it through partnerships, collaborations, investments, low capital off Balance Sheet approaches so maybe we can have it both ways bring our brand to this space and make money and deliver something great for customers but not change who we are from a capital structure standpoint. You talk about broadband. You seem fixated on the Growth Opportunity here and the potential conconvergence. Six quarters in a row we have been the broadband leader. Wiersless yes broadband overall. What we offer is fixed wireless. Great too see you thank you. Mike sievert still to come about 60 of the stocks in the down transport report earnings today and tomorrow so well look at what those companies could be signaling about a recession and whether the stocks may be worth a look right now. Dont go anywhere. Welcome back im leslie picker with your cnbc news update. Michael cohen is back on the witness stand in his 250 million civil fraud trial this morning in his first day on the stand tuesday he claimed trump directed him and the former cfo of the Trump Organization to inflate his assets. An australian judge ruled carnival was neglect when it didnt cancel a trip from sidney, 650 people fell ill one day before carnival began offering refunds for canceled cruises. And Richard Roundtree who played shaft has died he was 81 years old. Were going to get some of the more important reads on the economy in the next 24 hours roughly 50 of the transports report today and tomorrow morning. Our Frank Holland is watching some of this as the index, at least, frank has not been pretty lately. Right not at all, carl weve seen some big downturns coming from the transports transports are off the highs of this year, unperforming the s p 500 and the nasdaq transports are seen as a recession indicator if we see a sustained downturn trend or the index turn negative. So the next 24 hours could be a major Inflection Point we had earnings from old do dom dominion, those shares lower Norfolk Southern also lower. Ups reporting tomorrow heres what we know, rail volumes down 4 year to date a modest upswing nearing the Holiday Season but rates are more than 20 lower for trucking year to date. The bankruptcy of yellow averting rates thats the strike averting the price action thats why its rethink how he look at the transports billie bill lee says. If you can isolate the Company Specific events. Heres a look at where the dow transports stand you can see theyre up 3 almost 4 yeartodate. Yesterday up 6 year to date interesting 24 hours if you believe the transports can give us an indication of the upcoming recession. Back to you. Frank holland, thank you. Up next apollos chief economist. Rey rates could end higher from he, at least according to one measure. Dont go anywhere. Every day, businesses everywhere are asking is it possible . With comcast business. It is. Is it possible to help keep our Online Platform safe from cyberthreats . Absolutely. Can we provide health care virtually anywhere . We can help with that. Is it possible to use predictive monitoring to address operations issues . We can help with that, too. With the advanced connectivity and intelligence of global secure networking from comcast business. Its not just possible. Its happening. Our next guest says discussions of how restrictive Monetary Policy is should not only look at the level of the fed funds rate but also include Forward Guidance and Balance Sheet policies torston what do you mean, are things tighter than we think they are thats an important question, sarah. The fed has the calculation they say its not only about the fed fund rate but the other tools they have in the tool box, most importantly Balance Sheet policy and Forward Guidance those are the tools they introduced after the financial crisis of 2008 we never had Forward Guidance playing the role it does today and running down the Balance Sheet as theyre doing at the moment they find in their own calculations that the fund rate is 5. 5 but actually 7. In other words policy is tighter than what they and we think because of the other tools they have are also helping in putting downward pressure on the economy. And yet the economy is hanging in there quite nicely. Thats right. Thats right. And a lot of data has recently come in better. Even though powell was neutral when he spoke last week he said theres evidence it might not be tight enough. Its incredible how resilient the u. S. Economy is. There are signs for the consumer we are seeing delinquency rates going up on credit cards and car loans. And for banks were seeing bank lending in the weekly data slowing down so consumers, banks and firms are seeing more and more impact of the fed hiking rates. But it still has to fight harder and harder on those three different fronts including the data we got this morning on new home sales ips surprising how resilient the Housing Market is because were still having a headwind when we talk about the rates being high so we have to wait a little while longer but it will happen we begin to see a slow down, thats what the fed needs to get the rate down. Core cpi is 4. 1 so were still not there before the fed can take it easy they still need to be hawkish. I think the other Silver Lining to all of this is that if we do go into recession or face more increasing economic pain, they have tools. We have Interest Rates that are not zero anymore we have a Balance Sheet thats strong more than a trillion dollars. They have levers to pull where they havent the last ten years or so. Thats an important point for markets. Think about this recession, and that is in my view coming on the horizon. This is the slow down were talking about here is engineered by the fed this is manufactured by the fed. The fed is trying to slow the economy down to slow inflation down this is not like the previous recession, the pandemic that came out of the blue not like in 2008 there was a huge imbalance in the Housing Market it took time to clean up after those imbalances like wise if you go back to the previous recession, the tech bubble, it also took time to clean up after the tech bubble here today this is engineered by the fed, the slow down if things start to slow, they will begin to turn around and therefore the slow down is probably going to be milder than weve seen in previous recessions good to talk to you good to get a read of what youre thinking about. Getting breaking news on the ftx trial. Lets get to kate rooney with that reporter so Sam Bankmanfried the defendant in this case does plan to testify in his defense his lawyers just got off the phone call with the judge saying theyre going to present three witnesses and their client, Sam Bankmanfried. It speaks to his risk appetite, guys this is not expected in these high profile criminal trials most often the defendant does not testify. Its seen as a hail mary here. But he had three top executives testify against him. The evidence is mounting its being described by legal experts as a hail mary here but e expect to hear from Sam Bankmanfried on the stand in the coming weeks. The question is if this would have happened if ellisons testimony hadnt been so damning in the eyes of some. Thats what were interpreting this as, carl a lot of legal experts are saying between his three not only top executives but his former girlfriend and two best friends, the evidence is really massive at this point. And they have three firsthand eyewitness accounts of his closest confidants he wants to get up and tell his side of the story. But a big risk hes subject to cross examination by the governments side here. So well see but very much a hail mary here. Thank you, kate rooney. When we come back, imax with the biggest grossing quarter ever when we come back, what the production delays might mean for 24, though. Were back in a minute what do you see on the horizon . Uncertainty . Or opportunity. Whatever you see, at pgim we can help you rise to the challenges of today, when active investing and disciplined Risk Management are needed most. Drawing on deep expertise across the worlds public and private markets in pursuit of longterm returns. Pgim. Our investments shape tomorrow today. Gains after a q3 beat. They recorded the second highest quarter at the box office. The ceo joins us to talk about the quarter. Great to see you this morning. Great to see you too carl. Revenue up 51 thats big how much was oppenheimer well, oppenheimer certainly helped the quarter were over 180 million in that. But a lot of things happened i know theres a lot of issues in china but we had a big Summer Box Office there, a film called creation of the gods did over 30 million. We have a very diversified content slate. Recently as you know, taylor swift. You guys have talked about that a lot. For apple, killers of the flower moon did well this past weekend. Were firing on all cylinders carl its not just oppenheimer its a lot of things. I know you were asked about the movement in the 24 slate getting pushed back. Your argument is it opens windows for other things is that right . It turns out one lucky thing for us is that dune 2 moved out of november. What that enabled us to do was to play the marvels and to play hunger games and then to play napoleon from apple longer as a result dune 2 is an anchor for our 2024 slate. It comes out in march. So it actually opened opportunities. Again, since we only show one movie at a time, were not an k exhibiter so we dont need to fill a 20 plex and theres just lots of opportunities out there. Rich, its david. What about those who do need to fill i dont know if they have 20 plexes but who need to fill these whats the sense in terms of the vacuum and how big it gets before the actor strike gets resolved it all depends on when it gets resolved, david the first half of the year theres a lot of content thats pretty much locked its the second half things that need to be reshot and obviously you need the actors for promotion. So i think, if it settles in the next month or so, itll be okay. There will be a little bit of a negative fill for exhibiters but i think if it drags on till the beginning of the year then its a more serious issue for them again, for us, most of our year is locked becaus for us, most of our year is locked, because we play one blockbuster at a time. And i think its likely to settle in the near term, rather than the longer term, but ting exhibiters have an issue if it drags on in the meantime, you have taylor swift and you mentioned what a bonanza that has been. Is this a new model, the concert films, or something that only she can do a little bit boeft both were doing beyonce also thats coming in early december, but i think there are a few global artists that can really, with limited marketing afford to film it themselves. You know, pull off that kind of a global event however, it does open the door to a lot of what i would call local events theres music stars in south america. You can do an event there. Theres big music stars in europe we did an event in france about a year ago, and it was enormously successful. So i think the model works, but probably not on the global scale that taylor swift did. Rich, good to have a chance to talk about the quarter. Certainly, its going to be an interesting 24. Well talk a lot more between now and then thanks good to see you. Thanks, carl. It doesnt get better than this. Thanks, carl thats depressing me now, rich by the way, in the list of my priorities, when she mentions fed, f1, taylor swift. All at the top coming up at 11 00, cme group terry duffy, fresh off the Earnings Call despite a profit beat hell join us to break down what theyre seeing across the rks atre traded at the cme group in chicago dont go anywhere. All right. Weve got stocks down, nasdaq in particular, as we close out this hour lets go over to dom chu certainly a lot of names today that reported earnings, dom. Some of which we have hit. Im here to help. Ill see if we can get through these in the time that we have left well start with shares of Norfolk Southern, which are lower right now after the rail giants earnings missed analyst expectations the company, by the way, also took 163 million charge related to that eastern ohio Freight Train derailment that happened earlier this year. Those shares down 3 medical equipment manufacturer, thermofisher, the company saw lower demand for its therapeutics and Vaccine Services thats overshadowing a beat on the profit for the quarter here. Those shares down 7 turning now to penske automotive, which posted a beat on revenues, but a miss on profits. The truck rental and Transportation Services firm saw lower earnings from its uk unit, alongside higher interest expenses those are overshadowing results from its north America Automotive and trucking operations penske down 2 shares of Exchange Operator cme group lower so far the companys Third Quarter profits did grow the derivatives giant also noted Strong Performance in this bondrelated products and growth in agricultural, energy, and options products cme group about flat on the session. By the way, dont miss ceo terry duffy coming up in the next hour on squawk on the street. And well cap things off with Texas Instruments under pressure, as revenues came in lower than analysts had expected the chipmakers forecast is disappointing due in part to weakness in the Financial Market one bright spot was in the automotive segment with executives telling analysts that they do not expect demand trends to change. Texas instruments down roughly 4 back over to you dom, great job there. Thank you for hitting all of those. Ill come back to the one we lead the show with or the nine with, which is alphabet. Having the most pressure on the nasdaq overall with that stock down some 8. 5 also shares of apple that are not performing well, despite that we have yet to hear earnings from apple. But you heard our conversation with mike seifert earlier from tmobile some questions about demand for the iphone 15, certainly seem to be out there, not to mention always questions about china and so many other things involving what is still by far the Largest Market Cap Company at 2. 7 trillion that does it for this hour of squawk on the street. Another big hour coming your way right after this your record label is taking off. But so is your sound engineer. You need to hire. I need indeed. Indeed you do. Indeed instant match instantly delivers quality candidates matching your job description. Visit indeed. Com hire im going to sell my Life Insurance cuz i dont need it anymore. My kids are grown, my wife is great, lets settle up the score. Its time to travel to paree, spend retirement happy. Call 877selleasy. 877selleasy. 877selleasy, and sell your policy. You can sell all or part, live your life and play it smart. 877selleasy, and sell your policy. If youve had a change in health, or youre over 65, and paying for 100,000 or more in a Life Insurance policy you dont need, get paid for it instead. Then take the money that you get, go to live it up, you bet. Call 877selleasy. 877selleasy. 877selleasy, and sell your policy. The first time you connected your godaddy website and your store was also the first time you realized. Well, we can do anything. Cheesecake cookies . The chookie manage all your sales from one place with a partner that always puts you first. we did it start today at godaddy. Com [ heavy breathing ] [ lights buzzing ] [ music builds ] [ screaming ] good wednesday morning im Carl Quintanilla with sara eisen. Cme ceo terry duffy is with us this hour. A breakdown of earnings, trading activity and the impact of high rates across the markets speaking of higher rates, dismal comments from housing ceos on the calls today. Why theyre calling this Property Market the worst in decades. Later on, what can the fed do about the deficit . Absolutely nothing, according to the journals greg ip. Hell join us this hour. Lets kick it off with the market there are some pockets of green that have emerged in the last few minutes, in defensive groups like staples and utilities everyone else is red Communication Services at the bottom of the market today