Transcripts For CNBC Squawk Box 20161031

I didnt think about it with the tie. Do you have an orange tie . I do own an orange tie. But you never wear it. I never wear it. Are those pumpkins from last year . No. Those are not. Okay. Can you imagine we had things made exactly like us. I have pictures of those. Those arent actually us, are they, andrew . Remember in the past our face has been on them. Our face has been on them. But not these. I apologize, we are going to talk about the markets. We have breaking news the tell you about, we talked about it a little on friday, but now its official. General electric and baker hughes are merging their operations. Now there was a lot of conversation about whether ge was effectively going to be selling its business. We talked about whether this was all happening at the wrong time. This is now what is happening. They are merging the oil and gas operations into a new company that both companies will effectively own. They are looking to get 1. 6 billion in synergies annually out of this transaction. Its going to be a little tough for investors early on to try to appreciate the full valuation of this deal, in part because ges gas business has never been fully broken out. So you have to apply the value of ge this is sort of what happened with heinz kraft. You had to figure out what you thought the combined company would ultimately be worth. Baker hughes is giving all their stuff to this . Baker hughes is giving all their stuff. So whatever the new company is, baker hughes will be baker hughes and ge will go together. Do we know what it will be called . Ge is paying 7. 4 billion in addition baker hughes shareholders will get this as a dividend. Ge shareholders will own a huge portion of this company if not a majority of this company. Were looking through this so that is cash hes giving in addition to the oil and gas assets . They are doubling down. So they will own a majority of the company. How do the Companies Feel about regulatory issues . Because antitrust officials broke up the proposed deal between baker hughes that was supposed to be acquired by halliburton. I spent a long time over the phone to understand what the realities mean. When you think about the regulatory aspect, think about it like this. This company is now the second largest in the states ahead of halliburton. To some degree, you could argue it creates a third major competitor. There was anxiety as you said about baker hughes and halliburton together. But i think the argument is that now youll have three players in this meaningful way. And therefore unleash the view from both of these companies is that it will pass muster in washington. Obviously, we will see whether it does and see what the companies have to say over the next couple of hours and days. We should tell you a quick programming note, youre not going to want to miss this with the exclusive interview coming up with ges ceo jeff simonel Simonelli Jeff Immelt and Lorenzo Simonelli. We thought it was an outright deal and a part timer nership o. Its a new baker dude. We dont know the name. I do not know what the new name is. I would like to know what the new name is. It may just be baker hughes. Just to know what to call it. General baker hughes . Theres nothing out of the name stuff, its still baker hughes . You want it to be g. Baker hughes . Its a heavy week for both Economic Data and earnings reports. Today look for personal income and spending. And chicago pmi tomorrow. We get the ism Manufacturing Index as well as auto sales. And the fed kicks off that twoday november meeting. The decision is wednesday afternoon at 2 00 eastern time. But remember, theres no press conference this time, which is why a lot of people dont believe there will be a rate hike this time around in addition to other compounding factors. Also on wednesday, we get the monthly adp employment report. Thursday look for Fourth Quarter productivity along with the ism services. Its all topped off by the october jobs report on friday. Hard to believe were at another jobs report. Feels like it was just last month. This doesnt seem like a whole month. It feels like every couple of weeks. And speaking of coming fast and furious, more than 120 companies in the s p 500 report this week. Pfizer, kellogg, alibaba, facebook, starbucks and kraft heinz. I hope you get some sleep, thats a packed calendar there. And the election is coming. I heard. A week from tomorrow. Nothing happened over the weekend. You were working on this. You were working on this. But nothing else happened in politics. No, friday. Which would you rather them work on . Im so glad im sure he knows exactly what the line is on this other stuff. Im waiting to hear that. Youre not going to break ranks. This comey guy, he aught to be in jail. I dont have that view at all. Okay. Harry reid, you have to love harry. Harry lied he admitted now that he lied and said, we won anyway. But now its just funny. Im not going to weigh in on this. Im going back into think cocoon about stocks to watch. Youre doing the next two guests, too. Im sitting over here well see how long that lasts. You know what . Im exhausted. Its been this election sony is cutting i dream i have dreams and nightmares. It is not over until it is over. British kids are going to psychiatrists blaming it on trump. They are so worried about a anyway, sony is cutting the full yearend forecast related to the sale of the battery. Sony will post quarterly numbers tomorrow. And honda is looking for a stronger currency. Panasonic is lower their guidance for earnings over the strong yen. What are you looking at . I was looking at the correct production of salmonelli. Yesterday it was salmonelli. You made all the calls over the weekend. The nice thing about police pronouncing things on air is you get a pretty quick correction. Yeah, right. And if you do it with enough like youre sure, people at home go, oh, that sounds right. Salmonelli. I used to pronounce adage as adage until a viewer corrected me. None of my colleagues corrected me, but a viewer corrected me. When i was a little kid, i thought the hardy boys were the pinnecular ping. We have to get to ayman jivers. Prominent democrats are accusing the fbi director of trying to influence the election. And ayman javers, has more on this story from washington. Good morning. Reporter good morning. This is royaling the president ial campaign with just a week left here. A couple days until the election voting starts. He told the capitol hill and the public when the letter leaked on friday that the fbi had come across more emails on a laptop that was found in the Anthony Weiner investigation that may be relevant to the Hillary Clinton email investigation. That has thrown everything for a loop. And robby mook, the Campaign Manager for Hillary Clinton, was on meet the press yesterday expressing frustration that they dont know what to make of the latest development. Heres what he had to say. We dont know all the facts because the fbi has said basically nothing in this letter. Weapon dont know whos emails they are talking about, we dont know how many. And according to yahoo news, director comey doesnt know either. He hasnt seen the information. He decided to put out a letter to Congress Without any information whatsoever. And i think thats why criticism is coming in from democrats and republican officials. Harry reid, the democratic senator outraged and sent a letter to director comey in which he all but accuses director comey of breaking the law by releasing this information so close to election day. And we have a graphic here showing what harry reid said to director comey, he said, your actions in recent months have demonstrated a disturbing double standard for the treatment of Sensitive Information with what appears to be a political aid to one party over the other. Through your partisan action, you may have broken the law. Now the law hes talking about there is the hatch act, which prevents federal officials from engaging in partisan political activity. They are also guidelines inside the fbi to not put out information before election day that might royal any campaign in any given year. But director comey has taken a very different tact here. Thats been greeted with opened arms by republicans including donald trump over the weekend. But i can tell you, a couple of new items of news here, guys, in talking to sources over the weekend and talking to a source familiar with the investigation late last night, huma abedin has been in touch with the fbi. Theres been back and forth between the fbi and her team over the weekend. And huma abedin told the nib she did not know there were any emails on that laptop. Now that goes to an important question, which is, how did the emails get on the laptop . Were they emails that huma abedin had previously turned over to the fbi . She has said she did turn over all the emails to the fbi. So one of the questions investigators will be looking at as they go through this laptop is whether or not theres anything new among the emails. They dont know that as of yet. Im told they are using a Software Program right now that will separate out anything that the fbi has already seen and put any potentially new emails in a different bucket. That bucket will be analyzed by fbi agents in a variety of different areas. And they will go through them to see if anything is relevant to the Hillary Clinton classified information probe. But i can tell you also that investigators say they are in unchartered territory here in trying to figure this out. Its not clear what director comey will do before the election. Will he say anything about what they discovered or not . It is possible that he will, but that goes against sort of decades of fbi experience. They dont like to comment on the ongoing investigation. Thats not in the fbis dna. The fbi director james comey taking a very different approach because of the highprofile political nature of this political case, guys. Ayman, this is almost like a fog of war. Its so bizarre. You dont know what is true and what is not. Ive seen stuff that theres four investigations, theres an ongoing Clinton Foundation investigation going on. Are there four investigations going on . Well, there certainly appears to be an investigation into the classified email or potential abuse of classified email on Hillary Clintons personal server. There appears to be an investigation into some aspect of the Clinton Foundation. And then theres the Anthony Weiner investigation, which is separate and personal to Anthony Weiner but has gotten huma abedin looped into it because he was using the same laptop she was using. So that is three right there. Ive also been told theres a figure floating around out there that there were 650,000 emails on this laptop. I can tell you that that is a true figure, but that is all of the emails that are on the laptop, not necessarily the emails that are just relevant to this particular clinton email investigation. So theyll have to sort through and come up with a much smaller subset, the 650,000 set. Thats what they are going to be analyzing. Theres the question about whether the case was closed, whether congressman chaffitz tweeted the case was reopened, there was a lot of back and forth on whether that was accurate or not. And even though comey testified multiple times that the case had basically wrapped up, that was why he felt like he needed to send the letter. There was a lot of confusion as to whether it was actually closed and what the terminology is to be using about this is. What do you know about this . Right. And it is confusing and symantec in many ways. But what happened here is that comey said the investigation had been completed. But to close an investigation inside the fbi is illegal and a procedural matter. As an administrative matter, it was not formally closed yet. But it was on its way in that direction. Attorney general lynch said it is closed. We have her on video saying this is now closed. Yeah. What im told is that it was never administratively closed. I dont know. What im told is that it was never administratively closed and therefore you cant say its being reopened, but it was a dwindle investigation. Comey has said that it was complete. Right. So now they are going back at these emails to see if anything here is relevant to whether or not Hillary Clinton abused classified information. By using this independent private email server outside of government circles. So that is what is going on here. And ultimately huge, enormous pressure at james comey at the fbi to come up for an explanation for what he was doing here and whether he waited until right before the election is anyones guess at this point. Well bring in Anne Hayworth and linda holtsman is here. Thank you, both. Appropriate or inappropriate . If you were told, if you were comey and told that there were possibly these emails, do you think you have to make it public or not . We, first of all, the policy in the Justice Department is you dont interfere with the election. So you dont make it public. If you however feel that somehow you can do that, you have to do it in a way that doesnt cause this kind of confusion, misunderstanding and misinformation. We dont know if its a misunderstanding or misinformation. We do. Because mr. Comey said something in his letter inaccurate to begin with. He said the emails appear to be relevant, but he hasnt seen them and nobody in the fbi has seen them. Were only going to know if they are relevant after they have been looked at. When you suggest theres more to be done in the investigation let me just say, if we find out that there was if we indeed find out theres wrongdoing develop months from now, Hillary Clinton happens to already be in the white house, and we never heard of this, dont you believe that comey would be looked at as helping her . The issue isnt what happens to comey. The issue is what happens to the u. S. Election. What happens to our democracy. That is more important. He was putting his own reputation to congress you understand why he did what he did. I dont understand it because i think the policy is so strong. Plus hes a former prosecutor. I was a prosecutor in brooklyn for eight yearsment y. You dont announce the investigation because youre creating the implication of wrongdoing. And theres no indication at all in these emails because they have not even looked at them. That anybody engaged in wrongdoing. And the misrepresentation that people have on wrongdoing theres no evidence of that. With all due respect, im just an eye doctor, but as a member of the public, number one, the issue that is most crucial at hand in this election is indeed the fate of the election. Its indeed the fate of this country under the next leader, presumably one hopes of the free world. So Hillary Clinton is issue one, two and three in this ongoing saga. Number one, this is not a new investigation, in is an investigation that has already been going on. It is wellknown that secretary clinton has handled sensitive classified information in a way that was inconsistent with the state department which she signed. That is known. The fact that the investigation of Anthony Weiner reveals emails to fbi agents who identify these emails as possibly relevant. And that is all that director comey said. There is nothing inaccurate nor inappropriate. He didnt say possible. He said they appear to be relevant. Theres no basis for that. Thats an incorrect statement. This appears the same as rhetorically. No, its not. Hes suggesting theres a real relevancy here. Im not saying there couldnt be, but that is the misinformation out here. What he does is create an implication theres some wrongdoing and some are saying it is wrong going on. When we look at Hillary Clinton can we just fastforward, how should i know how both of you think about the exwilelection,w do you think it will impact this election if at all . Youre already seeing it move some polls. It is fresh evidence. But we dont have the evidence. To that point. Let me fin you are my phrase, it is fresh evidence that we need to question very seriously what we already know about Hillary Clintons lack of integrity, lack of care of her dishonesty about what she did as secretary of state. Those alone should disqualify her. Lets look back at her testimony. Lets look back at her interview with the fbi in which she says she couldnt recall events, actions. I mean, that alone, if shes that deficient in intellectual ability, she shouldnt even be considered for president. I have a question for you about huma. She said she had given everything she had over to the government. Clearly she hasnt. What kind of peril does that put her in, prosecutor . Listen, one can have a lot of emails in a lot of different places, so that is something for them to look at. Do you have any questions about either Hillary Clintons integrity or by the way her connection to huma and wiener, is it just the judgment issue . Or do you say its irrelevant and you dont like donald trump . I dont like donald trump. I think donald trump is a danger to america and to the whole world. And a lot of people think that way. But the problem i have here is that these emails dont even relate to Hillary Clinton as far as we know now. We dont know that theres a single email related to Hillary Clinton. Its a debate that clearly we wont be able to solve in our time on tv. Thank you. The support for Hillary Clinton is amazing given the blatant rules shes broken. We are ending this segment. Thank you. Appreciate it. Coming up, the markets react to the discovery of emails related to Hillary Clintons private server. The jobs report later this week, well talk Market Strategy up next. We are now joined this morning with brian. I have to apologize to you of your target of 2100. And you got nasty arguing that was the right target to have. And last month without me knowing it, you raised it to 2,250. Now we are heading to 2 2r,200. Because of me you were going to be right where you needed to be. Good morning, how are you . Nasty. By the way, why are we headed to 2,100 . Why right now . Compared to where you were holding on near 2,100, now were at 2,126. You could have been right if you would have hung in there. Tell me why you went to 2,200 . Because its year end target, number one. We are going to see the buying exhaustion after all this stupid election stuff. Because at the end of the day, what have markets done . What do we know about the markets . October has been a pretty flat or slightly negative month. We also know that markets have tightened the range over the last several weeks as investors that we talk to around the world have been sitting on their hands and not doing anything. So theres a lot of indecision. Theres a lot of nothing going on. We think markets go higher in november and december once we get through the election and once we get through the fed raising rates in december. And we move on to doing business again and stop talking about politics and stop worried about the fed. You had a big range before for the year. Do you have a big four to fivepoint range . Thats the best way to do it. What is your range . Do you like top and bottom . We have not changed our range. 1800 to 2250. We hit 1800, right . I didnt know it was going to hit the third week in january, but at the end of day, we have to prepare our clients for what we think is going to end up happening. And we do think that well see some kind of buying exhaustion. What does that mean, buying exhaustion going into the end of the year . People are not doing anything and sitting on their hands. Why would that move us up 131 points. Is it a buying exhaustion or they are running out of buy . I think thaw are going to be fine. At the end of the day the majority of investors are underperforming in the market because of getting the direction wrong. First they were into the brexit move. And they have been more neutral as that. We as a strategist are as open as we have been. We dont like this type of environment on nearterm basis. It is all on emotions and not fundamentals. They returned to the market in 1718. Once we know who the leader of the free world is. Once we know what the economy is going to look like, which is starting to improve, ultimately were heading back into the fun environment, joe, but not right now. I was watching and thinking about you, i didnt know you were at your target. And then you come in here and there i see it, you final ly threw in the towel and now we get to 2250. And i was thinking, he was going to be right. Thank you, joe. I appreciate that. But now youre not right. This is yearend. Im going to be watching, brian. You didnt call me to say you raised your target. But i do know where you live. I did the driveby. Well, that stopped him in his tracks. Come on over for kibbles and bits. And on friday night, the rooftop solar panels were released that look like regular rooftops. Take a look at s p 500s winners and losers. Its been over 100 years since the first stock index was created, as a benchmark for average. Yet a lot of people still build portfolios with strategies that just track the benchmarks. But investing isnt about achieving average. Its about achieving goals. And invesco believes doing that today requires the art and expertise of highconviction investing. Translation . Why invest in average . Now that fedex has helped us we could focus on bigger issues, like our passive aggressive environment. Were not passive aggressive. Hey, hey, hey, there are no bad suggestions here. No matter how lame they are. Well said, ann. Ive always admired how you just say whats in your head, without thinking. Very brave. Good point ted. Youre living proof that looks arent everything. Thank you. Welcome. So, fedex helped simplify our ecommerce business and this is not a passive aggressive environment. I just wanted to say, you guys are doing a great job. Whats that supposed to mean . Fedex. Helping Small Business simplify ecommerce. Welcome back to squawk box on cnbc. The u. S. Futures are up 35 points. Europe was pretty weak, but we do see some positive movement. And, you know, anyone that tells you they know which way this market is going to go depending on the peso and all these different things, they dont. When it was all said and done on friday, the market gave back 15 and closed up 8. So were really unchanged since all this came out. So either that means its not going to affect anything, or the whole consensus about a thousandpoint drop with the Trump Presidency well see. We may not get the counter factual, andrew. We may or may not be able to test that hypothesis. Thats why the brexit was so great. Recapping the deal of the morning, General Electric is combining oil and gas units with baker hughes. It will contribute 4. 7 billion in cash to fund the 17. 50 personal dividend for shareholders. When all is said and done, at tend of the day, ge will own 62. 5 of what is called the new Company Baker hughes. This is expected to be completed by mid2017. Dont miss the exclusive interview with jeff immelt and Lorenzo Simonelli and martin craighead. It will be called the new baker hughes. Before we go to phil, we got another deal announced this morning with century link. The stock was up in the premarket on this deal. Its a Purchase Price of 66. 50 per level three share based on a 28 share price of century link. 4 for lbrt. Earlier it was up more, but certainly a sizable deal that continues to add to the m a activity. People say going into the election things calm down. People wait to see what the next administration is doing, but now it doesnt matter. Can i ask you one of your questions . What is that . What do we decide now about this ge baker hughes deal . In other words, how are we supposed to think about this . In that are they offloading. They are going to get 62 but it is not on the basis of ge. Ge does not have the oil and gas cramer said it would be disappointing if they are selling a the low at the time. I would argue they are not selling. To some degree they are doubling down but in an efficient way. They are effectively paying 7. 4 million to have a majority in an ownership twice as large. Thats pretty good for ge. On the ge side, its a clever transition to push them they did pay at the high for some of the gas assets, but this is a good way of making it a better situation. And as we mentioned earlier, when baker hughes was attempting to merge with halliburton, ge was going to buy about 7 billion in assets that would have been discarded as part of the deal. But for the same price, you effectively get a majority ownership of a much larger company. You benefit from all the inner jis. I had heard, by the way, when it was way back when it was worry over the halliburton deal. How are we supposed to think about it . That question worked. Sometimes. When you ask it it works. Thank you. Time now for the executive edge. I dont think i saw this video. Elon musk taking time off from electric cars and the mars car features solar roofs. Phil lebeau is joining us with details and hopefully a little video this morning. Phil . Reporter lets show the video, andrew. This is pretty cool shown friday night at universal studios. It took one of the houses that was on the desperate housewives set and show solar shingles. Those are solar shingles manufacture manufactured and unveiled on friday night. Why are they doing that . Remember, tesla is in the midst of trying to combine, and they believe it will go through in november, with sole power. They believe the solar panels that we have seen on houses all over the world, they believe these are 98 rate collecting power and solar panels. They are not angry and hideous like most we see. It depends on the size of the home. Other variables like incentives, tax rebates, et cetera, depending on the jurisdiction. The idea here is that the shingles store energy in the tesla power wall inside the home. So this is part of the threepart equation that tesla offers in the future. Heres elan musk. Its consistent of a solar roof. Then combine that with storage and with electric cars. Obviously we want it to look better, last better, provide information and cost less all Things Considered than a traditional roof. Thats elon musk and said these shingles will last two to times longer than conventional sandals. Also, if you factor in the cost of storing energy, not paying for energy, and november 17th is the date for the Tesla Solarcity merger vote. Well get an update on the companies tomorrow. And solar city, by the way, reports earnings later this week. The shingles are getting a lot of attention over the weekend. Who wouldnt do that . I officially said it looks great. If it takes me 20 years to break even on what they cost, then i dont want them. Correct. They believe that the cost over time will actually work out better than if you were to pay for a new roof. But i have to tell you, i just had a brook break into this solar interest deal. A, its hard to get accurate information. Its all all over the map. And that is part of the problem here. People look at solarcity and say on paper it makes sense. Can we actually see this market develop to the point where people think, boom, you have to do this. Elon musk says these are goodlooking shingles, so to speak, relative with what you have for single panels. He believes that california will be for it. You dont want your roof to start leaking. These are going to be stronger. They are . How much do they cost . We dont know. Its a strong glass. I was studying over the weekend. You live in an apartment. I find that fascinating. You get four of them. Coming up, we are celebrate ing with a jackolantern. Well speak to a tech entrepreneur. Heres a quick check on what is happening in the european markets. And they are down. Mary buys a little lamb. One of millions of orders on this companys servers. Accessible by thousands of suppliers and employees globally. But with Cyber Threats on the rise, marys data could be under attack. With the help of at t, and security that senses and mitigates Cyber Threats, their Critical Data is safer than ever. Giving them the agility to be open secure. Because no one knows like at t. Welcome back to squawk box. Our next guest is wrapping up shows in five states across the United States. Good morning to you. This is a big day for you. This is actually day one of the 2017 season. Last night was the last big day. So today is not a big day for you, then. Today is a relaxing day because the season ended last night. It just ended. Yep. So what is going on on halloween . Halloween is historically not a good day for a live event. Why is that . Because parents want to be home with their kids trick or treating. They dont want to be on the pumpkin show. So we end it sunday night. How big are the pumpkin shows . We have 5,000 jackolanterns. They take up a lot of space. And we get tens of thousands of visitors at each location. We started five years ago with one location. How long did it take to create this elaborate, amazing today is day one of the 2017 season, so we have a fulltime staff that have done such an amazing job this year. We are cleaning up today and well be back in our shop later this week to start planning for next year. You have an operating budget of 5 million . Thats right. What do you spend it on, all the pumpkins . The pumpkins are one part of it. Its labor, fulltime yearround staff, the health insurance, the whole nine yards. How long do the pumpkins stay fresh, if you will . Well, it depends on where you are. In new york, we can carve them on a wednesday, all 5,000 of them, and they are good through sunday. In los angeles, what we learned this year is we carved them on a wednesday and they last until friday. So we had to recarve them again before the end of the week. Do you spray them or anything . We dont because of the volume we have, we dont do that efficiently with all the pumpkins. You do a lot of advertising on social media. What works for you . We, thats a good question. It depends on the year. Because we are seasonal, we have to try things in one month or two months out of the year to see what works. It doesnt necessarily mean its going to work the next year. This year facebook was good for us. Groupon was big for us. And thats where we try to focus or energy. Your clients include disney and peanuts. Thats right. So what is your relationship . Disney called us to say they wanted some of their characters in our pumpkins because we have good visitor account and started carving pumpkins. And this year we did characters for movies in theaters and on dvd. Do they pay you for that . They pay us a sponsorship fee . Can you not carve characters without their consent . We looked into that. So technically we are not just copying some kind of i. P. From somebody, we are putting our own take on it. So because of that, its an artist rendition. Mike, thank you for coming in. Happy halloween. Happy day off. Thank you. You get from now until next october, not chill out because you have to prepare. Theres no chilling out. Theres a lot of data crunching. We actually sell all our own tickets on the website, so we have to crunch the data to sew what worked and what didnt. Will you go to more cities next year . Well see. Come back to tells. Thank you for having me. Coming up, stocks in the energy and Consumer Private sector. Saira malik joins us, next. And much more on the deal of the morning between ge and baker hughes. Squawk box will be right back. Time now for our whats working series. Lets get some ideas from the global head of Asset Management and we appreciate you getting up at the crack of dawn to be with us this morning. Good morning. Good morning and thank you for having me. Seems like a funny question to be asking with an election and two jobs reports from the december fed meeting and the november 30th output cut by owe peek, and how do you invest in the face of all of that . We think the strong gdp number we saw on friday gives the fed the green light for raising rates. Bank of america they have a strong net interest, and they are cutting cost and going after quality customers and this is a liquid stock that investors can own. But there has been a few false alarms for financials, and you believe if the fed raises the rates in december, it has not baked all the expectation into the price at this point with all of the speculation they will raise . We still see as financials as being under owned by investors, and as rates slowly go up because of the strong Economic Data we have been seeing, and this is strong for banks in the sector, specifically bank of america. Is the thought that these sectors are immune to political headwinds . Actually in energy we are seeing higher inflation. This is great for Energy Companies and we love the basin, and con cho is a Great Company to own there, and they can grow organically. We also like the consumer space. We know today is all about candy but we think people should still remember to eat their vegetables and this company is doing great acquisitions in terms of boulder, where they can cut more cost than expected, and they are coming out with cauliflower rice, and i loved it. Finally, you were looking at pinnacle and its up 17 in the last year, and if viewers dont have these names in their portfolio is it too late to add them or is it still a safe investment time . We still think a company like pinnacle can grow by using their own levellers to pull, and you can own a Stable Company like Pinnacle Foods and people are spending more time in the home eating frozen foods so they can do good in any environment. Thank you, and appreciate your time this morning. Thank you. Coming up, federal investigators secured a warrant to look at newly discovered emails concerning Hillary Clinton, and we will talk about that. Later, we will be joined by trump Campaign Manager, Kellyanne Conway. Squawk box returns in just a moment. Proud of you, son. Ge a manufacturer. Well thats why i dug this out for you. Its your grandpappys hammer and he would have wanted you to have it. It meant a lot to him. Yes, ge makes powerful machines. But ill be writing the code that will allow those machines to share information with each other. Ill be changing the way the world works. interrupting you cant pick it up, can you . Go ahead. He cant lift the hammer. Its okay though youre going to change the world. Hillary in the hot seat again. The Justice Department obtaining a warrant to review emails from top clinton aide, huma aub adean. Will investors be spooked by this weeks jobs report . What investors will need to watch this week as we head toward the number of the month. Plus the rise of the subscription economy. How companies and investors are turning to Customer Loyalty as a business model. Its halloween 2016. As the second hour of squawk box begins right now. Welcome to squawk box here on cnbc. Lets see how ghoulish they are, not really, up in the green, and s p 500 up. General electric is combining its oil and gas business with baker hues, and ge will contribute 7. 4 billion for baker hughes shareholders. Ge will own 62. 5 of the combined company, and dont miss an exclusive energy with two ceos, and thats today at 10 10 eastern. I am surprised the baker has not rose higher. You back out what you think ges oil and gas business would be, and i think that was not built into the ge share price earlier. They are hosting an investor meeting 29. 40 it was mid28s or low 28s last week. Centurylink buying level 3 communications per share value of the deal, about 66. 50 per level 3 share. Centurylink shareholders say the deal should close around the Third Quarter of 2017. We are less than 90 minutes away from the latest government report on personal income and Consumer Spending, and both expected to rise for september, and so certainly data that we are awaiting, but, joe, of course, the big story of the morning is in the political sphere. It is, and we have more on the email investigation. Good morning, joe. The big question is whether any of this will change anything. And heres what robin mook had to say. We had over 50,000 volunteers and we are seeing record early voting numbers in florida, and north carolina, and we are feeling good about the record turnout. Meanwhile democrats reacting with outrage to fbi director comeys revelation that they have come across more emails that could be relevant, and harry reid sending a letter, and he all but akaouss the fbi director of breaking the law, and he said your actions in the recent months have demonstrated a disturbing double standard. The law that he is talking about there is the hatch act that bars federal employees from getting involved, comey here has decided to go on the side of transparency and overly disclose in the view of somewhat he knows about the status of this investigation. A couple more points, guys, to bring you from sources i have been talking to last night and over the weekend, the clinton aide that was married to Anthony Weiner, she is telling the fbi she did not know there were any emails on the laptop and the fbi is using software to separate out anything that might be new to look at and they might be separating those into a separate bucket, and they will look at those to see if there was classified information or other data, and so a lot going on here. 650,000 is the total pool of emails they found on this laptop, and the subset is expected to be smaller that is relevant to this investigation, guys. Everybody is going back and looking at the original the july comey speech again, too, and mukasey, took me a while to read it but laying out interesting points about where the original mistake or original sin might have been with comey and not asking for a grand jury at the time, and if attorney general lynch wouldnt have done that there was precedence, remember, Elliott Richardson resigned or if they appointed a grand jury than all the evidence could have been looked at to see whether laws had been broken, because it seems pretty clear that maybe there was a misdemeanor in one case and maybe a felony in another case if you take the strict letter of the law in both cases, and for the fbi director, hes not in a position to say whether it should be prosecuted or not, and that was where he screwed up. Thats up to u. S. Attorneys generally all she had to do was defer, and the whole thing was so messed up, and the meeting yeah, hes get a doover it almost seems like. The reason or one of the reasons comey is in this position is Loretta Lynch had a meeting with bill clinton, and her plane was in the same airport at her plane, and that meeting which everybody was involved in it says publicly it was nothing but a friendly chat about grandchildren and other things, and that meeting and the appearance has caused real political difficulty for the fbi, and thats why james comey is take the lead on this and not the attorney general and thats why you have the fbi in the strange position here on commenting on an ongoing investigation, which they almost never do. But you do think, you wonder what is in there, and i think he almost felt for the nation, i dont want to find out about this after. For the nation and also for the fbi, right, because he doesnt want to be the fbi looking like he is hiding the ball if it comes out afterward, he knew they were still investigating, and then it would look like the fbi had a problem. If it comes out duplicates and nothing is there, thats tkpwoing to be bad, but if there is one of the 33,000, if theres a really good reason to do it and we see some of those and say, wow. But if there were emails that they thought they were deleted and they were not deleted, that could be big. And abedin, shes a close and trusted aide to Hillary Clinton, and now shes in a weird legal position because she told the fbi that she turned over everything, all the devices and emails and she said that publicly and so has the campaign and the question is whether or not that is true, and this is going to go to her intent if it is found there were emails that were not disclosed which has not been established yet, and if that is found they will have to look at whether she did not know there were emails on the laptop or an intent to mislead here, and what she said so far is she did not know, im told, there were emails on the laptop and she said she turned over everything to the fbi, and the Clinton Campaign thinks they will all be duplicates. We know the president was on the receiving end on some of the receiving ends from clinton, too, and that could put him in a different position. There appears to be different factions yeah, different views everywhere, and there are different factions here. Any Large Organization is going to have that. Yeah, and thank you. Joining us now, Florida Congress who serves on the House Oversight in government reform committee. Congressman, were we wrong or right . What is your take on all of this . I think you could hear everything we were talking about . I think you hit it on the head, the original problem in the investigation you never empaneled a grand jury and there was a lot of questionable investigative steps taken and because you didnt have the normal processes in place that a normal criminal investigation would and in this case they never would have ended up missing thousands and thousands of email relevant to the investigation, and this is big news and this was going to come out anyway, and there has been information leaked about the number two in the fbi and money his wife received from a Senate Campaign from a clinton ally, and none of this is happening by accident and there are deep divisions between the fbi and the fbi and the Justice Department in how to handle the clinton email investigation. First time around it seems like he made a great case for a prosecution, and he should be empaneling a grand jury, but first time around when he did it, it was at least explained that he was like Justice Roberts and he didnt want to get in the middle of the investigation, and now suddenly its like he looked back on that and said, wow, maybe that was the tame when we should have gotten it out on the table and to come in nine or ten days before it, that takes away the whole idea of not doing it the first time around and he gives the critics on the other side, and we just had a former democratic congressman that said it was comey breaking the law here, and we all know what we are talking about, the mishandling of classified information, and comey is not the guy on the hot seat here. And the fact of the matter its a career ender for somebody in the Intelligent Services or military, when i was active duty people would face courtmartial, and i wish comey would have simply referred it to the Justice Department not that i have confidence in Loretta Lynch, and even though he pweuplt a case that she was gross grossly negligent, and he said a prosecutor would not bring it, but that was not a profession congress ever enacted so he should have sent it to the Justice Department and he took it on himself to make that decision, and guys like me in the congress, we never expected lynch to ever bring a prosecution and thats why i think you should have had a special council a year ago and maybe it would have given the American People on both sides more confidence. And the department of justice is viewed as more political than the other, and when harry reid calls it a disturbing double standard and comey made two decisions that would seemingly favor each political party, and is that the double standard, waiving criminal charges for Hillary Clinton and now reexamining these emails is not that helps the righted, and is that the double standard . The election season has not been a great one but the good thing about it is harry reid will exit the stage at this, and i dont think he has any credibility but making wild accusations. Congressman, do you agree it would be nice for everybody to know more, meaning would there have been any benefit for comey to wait not necessarily to after the election, and i agree if something is happening you would want to know it in advance, but to the extent that there was no warrant and they have not looked through the emails yet, do you think theres any disservice that has been created . I am fine. I think they should provide more information, but i think the clinton folks know they are not going to be able for the election, and calling for transparen transparency, they had two weeks that elapsed at the wall street journal where nobody got a search warrant for this stuff and it was sitting out there, and i am in favor of that but be careful what you wish for because there was 30,000 emails deleted, and if some of the emails were on this laptop this could be a new development in the case. Congressman, thank you, you are in jacksonville. Who is going to win florida . I think its going to be close. I think trump is coming on good but hes not there yet. Okay. Thank you. We are getting a lot more on the clinton email story in a bit, including reaction directly from the trump Campaign Manager, Kellyanne Conway here at 7 30. Up next, tricks or treats for investors this week as we get ready for another jobs reports. Dow looks up, and s p 500 up about five points. The whats Critical Thinking like . A basketball costs 14. Whats team spirit worth . cheers whats it worth to talk to your mom . Whats the value of a walk in the woods . The value of capital is to create, not just wealth, but things that matter. Morgan stanley the final days in the race for the white house might present new head winds for the market, not to mention a new jobs report out at the end of this week. Joining us now chief economists, and welcome to both of you. Is it unproductive to discuss investing ahead of next tuesday . I dont think so. I think were moving to a period where the uncertainty will be period. Thats good. And i also think that what people are miss something Earnings Growth has turned around after six quarters of falling, and could be a double digit next year so i think its a good time to think about investing. If people have not changed their allocation recently and have been riding the market up this year, do you change it . I dont change it. I think its late in the game. I dont think the recovery has more years to run, and my goodness, you are predicting a nominal gdp growth, and you dont get 10 to 20 , and thats in line with Business Sales, perhaps no more than 4 . We think unit growth is understated, and all we focus on is Disruptive Innovation and we are seeing expediential growth curves out in the marketplace in a number of areas. You tell people in the auto industry, auto sales will be topping off and where is this this must be small and collected industries. Auto is one of the sectors being totally disrupted here. We think auto sales have peaked and they are going to come down. We think the shift from the eternal combustion is under way. Labor cost pressures are rising and thats one of the problems you are looking at now, and Business Sales growth maybe about 4 but you have upward pressure now in labor cost because of a tighter labor market. I could get a cup of coffee and leave you guys to it. And oddmation is going to, we think transform the labor sector, and we do think that the Oxford University study suggesting but for people that dont have a 10year time horizon, what are the near its happening now. How disruptive could the election be and how disruptive could the grid in congress be . Well, if the establishment, who they dont like ends up wins the election, and once he clarifies what his positions are Going Forward and he gets support from welltrusted figures. Not all of those ideas become policy. I would set aside the possibility of a severe kneejerk reaction in the event that trump gets elected and that perhaps will not persist. Obama had the same problem when he was elected, market selloffs and then recovered. We have to leave it there, but we appreciate both of your time this morning. And the cubs staying alive in the world series. Now they only have to win thats winning two games in a row, and thats easier, and you have to win them on the road. And i think both go back, right . And then Kellyanne Conway is our guest, the Campaign Manager for donald trump joins us and discusses the race for the white house and the latest on the Hillary Clinton email investigation, and thats up next on squawk box. The wolf was huffing and puffing. Like you do sometimes, grandpa . Well, when you have copd, it can be hard to breathe. It can be hard to get air out, which can make it hard to get air in. So i talked to my doctor. She said. Symbicort could help you breathe better, starting within 5 minutes. Symbicort doesnt replace a rescue inhaler for sudden symptoms. Symbicort helps provide significant improvement of your lung function. Symbicort is for copd, including chronic bronchitis and emphysema. It should not be taken more than twice a day. Symbicort contains formoterol. Medicines like formoterol increase the risk of death from asthma problems. Symbicort may increase your risk of lung infections, osteoporosis, and some eye problems. 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Our populations growing healthcare needs present growing opportunities for our clients to advance the future of medicine with digital, and improve the quality of lives. Chicago cubs staying alive against the cleveland indians. The fans at wrigley were electric all game for the game five showdown and the cubs held on to beat the indians 32. Cleveland leads the series 32. It was electric. Struck out the side, the cubs pitcher did, and i love seventh game. If theres a seventh game, i will have to stay up. They have to win this next one, obviously. They do. When we return, the fbi obtaining a warrant that could uncover more emails, and were going to talk to trump Campaign Manager, Kellyanne Conway, and she will be our guest after the break to talk about it. And the dow is opening up higher, and we are back in just a moment. Will your business be ready when growth presents itself . 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Ge combining its oil and gas business with baker hughes, and shareholders are going to get 17. 15 per share, and ge is going to own 62. 5 of the combined company paying 7. 4 billion in cash and investors bracing for two big events coming up this week. And policymakers are going to see changes, and the jobs october report out on friday, and they are looking for 173,000 new nonfarm jobs and a tick down in the Unemployment Rate to 4. 9 . Investors and companies are seeking everything has a Service Business model, and we talk more about the trend of subscription bundling taking place . I think everybody has amazon envy to some degree, and not just amazon prime but the web services business, and you dont have to go out and sell your licenses, and you bundle a lot of stuff into it. That seems to be great for amazon stock, and adobe systems, and since then in the last month, you actually have seen people suggesting at goldman sach, and disney should kind of put all of it stuff together and deliver itself, and everybody wants sticking it to the consumer and the recurring theme that wall street puts a higher valuation on these businesses, and nonvirtual businesses are being viewed by some investors as quazi subscription businesses. Its not necessarily the big stuff going on in the business but its fascinated everybody wants to look at the companies through the prism. Not everybody can do it. A few years ago, the two things people never feel ill about is their monthly charge for netflix and drop box, but when you have 20 monthly charges, you get fatigue. Without a doubt. For the disney thing it was pencilled in as maybe 50 a month, and same thing with apple prime, and you saw what appeared to netflix when theyent up a dollar, and going from zero to something, like people say twitter should do is very difficult. I feel like everybody is trying and few will make it and you have to be on alert for too many touting that this could happen that. And we want to bring in our guest. And its going to be a key driver of the success of new media, and heres my question about this everything is a subscription and its all on the consumer to pay and we used to live in a world where all of it was advertising, and at what point did you decide theres not enough poin the pockets of the consumer to pay for it all. We did research and it showed if netflix is your only service you will be willing to pay more and people are going to subscribe to more than one streaming service so for a lot of service when it comes to entertainment, the amount they are paying per month in terms of the amount they are getting, and i mean the average american is consuming 30 hours a week of television to pay 10 more a month is not that much. But if you think about it over time, right, people used to describe sadly to newspapers and hopefully they will continue to subscribe to those maybe not. Maybe not. You also have the cost of broadband and the cost of all of these services on top, and when you look at a chart in terms of how much people pay for services and dissupposable income, how much are switching. The packages that are costing 150 a month, they are the same across income levels. So this is a small piece of what they end up paying and its cheaper than going out to a movie or anything else, and we believe we are going to see a lot more spending on subscriptions, and at the same time the amount the companies are getting out of advertising is going down because theres been a deflation in the price of advertising. What should disney do . Should disney buy netflix . Well, they are also talking about apple buying netflix, and you have to expect every one of these companies will have some sort of direct to consumer service, and at t Just Announced its poe tensipotential directv, we have to expect every one of these companies, hulu, everybody is going to have one. As a former viacom man, do you think the at t and time warner is a good deal . It gives this ema chance to have a better connection to the consumer, and the bed on entertainment makes a huge amount of sense for them. Where does this leave your former employer being viacom whether the cbs viacom deal gets done and what happens to it . Are we living in a world where the independent Media Players are too independent . I think viacom is a fixerupper. They are not nearly in the great place that time warner is. I think each one of these other companies, we should expect moves from each of them in order to be able to strengthen their direct relationship with consumers. Everybody will ultimately have the direct relationship . I think cbs already has is building one, and i think fox is going to have one, maybe a fox sports relationship, but one thing or the other, the one thing missing historically was any sort of consumer data or direct relationship. How valuable do you think that relationship s. And thats what is driving it, its not that as he says, repeatedly, he is not trying to keep hbo from verizon or comcast, and theres so much value in the actual data, and is that true . I think a piece of it is to the value of the data, but basically he is take on the cable industry. Directv is the largest districter of pay tv, and he can take on everybody else, and a 35 package is reasonable. I am skeptical as to whether or not it stays at 35. If you look at what has happened with sling and sony play station view, those prices have gone way up because consumers dont want that skinny bundle, but still it gives him the ability to compete more broadly and consumer data is only a piece of it. Thank you. Good to be here. Coming up federal investigators secured a warrant to examine newly discovered emails to Hillary Clintons private servers, and Kellyanne Conway joins us to discuss that when squawk box returns. Donald trump wasting no time jumping on the news that the fbi would once again investigate Hillary Clintons emails, and trump saying this only reiterates for americans undecided that Hillary Clinton is not fit for office. And joining us is kelly an conway, and thank you for joining us. My pleasure. The Washington Post poll and people look at all different polls, and before comey, it narrowed from 12 to 2, and do you have any more current numbers that include the bombshell on friday . Well, some but particularly its reflected in the statewide polling which is what we look at, and the Trump Campaign dont do National Wide polling and we have seen the tightening for a while, and clinton was already having a bad week last week, and you see your obamacare premium risings and thats bad news that she owns or has to own or should be made to own in this election cycle, joe. We already saw tightening. In the abc news poll, and the horse race being a onepoint contest now. I said many times, and Hillary Clinton cannot get past 46 anywhere, and the latest news will not help her do that. This is somebody well under the margins that barack obama got in the swing states both times, so we feel bullish, and we are going to michigan today and in addition to the usual states, and we are expanding our maps, and i think the Washington Post poll, they have Hillary Clinton at 60 , the highest they recorded this year and as of yesterday onethird of likely voters said they would be 35 . Yeah a. High number. Hillary clinton is going to texas. 100,000. And now both campaigns are acting like they got the she never went to texas. Thats a big head fake. Every time their Campaign Says something people print it without verifying it, which is amazing. She spent a 100,000 ad, and your average senate race can cost you 70 or 80 million. I want to talk to the emails. Would you prefer that he that comey or the fbi release information as it goes in real time or i am assuming that you benefit to some degree by everybody not knowing what is in the emails but its possible when we find out the emails are going to be good or bad, what do you think the is right thing to happen . To us the right thing to do is whatever the fbi thinks the investigation is taking wherever the investigation is taking them. Its not for us to say speed it up because of the election or slow it down because of the election. I think had he sat on this information, they would have turned the outcome of the election, and i want them to take their time and release things as you think its pertinent but i think the clinton people are doing two sneaky things, and they are asking for information they know they are not going to get. Hillary clinton is holding all the cards here and she can call huma, and i can call huma, but i doubt she would take my car, and you can ask her or Anthony Weiner what is on there, and they are not trying to politicize the fbi. I saw Hillary Clinton encouraging the boos for jim comey, and its not only an aboutface, but its dangerous for somebody that wants to be president of the United States and the commanderinchief encouraging people to boo. Kellyanne, your candidate has called for her to go to jail and suggested and where are we now . She is going to be in her second fbi investigation. I think people are asking the right questions about the wrong candidate . Who is unfit to be president . Who has shown what they will do with National Security information . Its about her and her petty political self . No matter who wins, either will will deal with the email issue, or if donald trump is the president , he has the child rain case that is going to happen oh, come on. I cant believe you would analogize the two. I am give me a break. Next you are going to ask where his taxes are. We will have legal cases that is i have to jump in. Thats such a ridiculous to throw the rape word in there, based on an investigation of whom the pedophilia husband of huma abedin in there. One says there is significant risk of being misunderstood and examining the new emails and he sends the letter to congress because dammed if he does and dammed if he doesnt, and the people didnt know about this until congressman chaffetz meddling in the election . Should comey have expected that to be private . I think jim comey set a public standard in early july and on july 5th he came out and said here are all the things Hillary Clinton did wrong, but we are not going to prosecute her. Two days later swears under oath under the committee and tells us everything Hillary Clinton said was not true, undercuts her testimony and his own conclusion by saying, you are right, there was not one device and there were many devices, and he totally undercut his own conclusion, and prosecutors i talked to said why would you go out and do that, and you could tell us what your result was. Kellyanne, it came out where we had a congressman on earlier that said clinton should be careful what you wish for because there could be something in the emails. I agree. And they are looking at Anthony Weiner and some of the fbi agents all of a sudden see some of the other things. Do you think, is it just an innuendo that indicated these could have been part of the 33,000 that are gone, and they didnt get the warrant until yesterday or today to actually look at them. Do they have no idea what is there, or did some of these guys, in the sexing investigation, did they see things that is damming, do you know . I have no idea. I read that and a couple reports. You dont know . No, theres no reason for me to know. I am just a lowly Campaign Manager. 33,000 email deletions. If the Hillary Clinton people want to do this, they could say release the search warrant phreubgation and the affidavit that attended it so we can see what you thought was so evidentiary in the first place, but clearly somebody thought there was something there to pursue it. We are having this entire conversation, and lets go back to the beginning here, because Hillary Clinton always puts hillary first. She set up that home brewed private service to be sneaky, to keep things private, and shes going to bring the country through this again, and i am old enough to remember, all of the gates, filegate, and the Rose Law Firm billing records from arkansas mysteriously appear in the white house one friday afternoon, and it was part of a criminal investigation. This is a pattern of conducting from somebody, and i think this country should not vote for somebody who they already know is reckless and careless and selfish. And people say theres Something Else coming out about trump . The somebodys are the Clinton Campaign. Do you think they would have sat on this over the weekend . We are used to this. What i learned yesterday watching the shows yesterday, the clinton team is unseasoned in Crisis Management because they were sitting on a lead, and i was reading all of these ridiculous stories many written by the friends in the media, and shes going to be president , and look what happened to them. You are the best crisis manager in the business, and tom freeman said he would hire her in a heartbeat and i would do the same. Theres a piece in the new York Magazine this morning talking about the final days of this campaign and one of the suggestions he makes in it is that Jared Kushner and the campaign are trying to build a Media Company if donald trump were not to win, that he plans to try and make the 14 million email addresses and credit cards you received to use them to launch a new network, and i watched you on trump tv its called facebook live. Theres no trump tv. What can you say or not say about that potential . Is there any conversation about that internally . No, not with me. We are all just trying to win the election. If he doesnt get to the white house in february, if we had this conversation again in 2017, is it possible we would all be watching or subscribing to an ott version of trump tv . I would have to ask the people at nbc universal, and i would imagine its difficult to start a station. Its a hypothetical i dont need to answer only because we are going to win. I have never been part of a conversation about trump tv, not a single time. Tell me about advertising into the home stretch of the election, and there was a blitzing market trying to get 35 donations, and he wired 10 million of his own money to the campaign. How much is he putting up in these final days, and how much are you guys planning and ready, willing and able to spend. Trump said he would be in 100 million all told, and wiring that money was a huge contribution on friday and it allows us to continue with the plan ontime and onbudget and its ad buys in these states, and so we also our ads are about donald trump and his vision, and they are less about Hillary Clinton by and large. Her entire campaign has been about donald trump. If its about Hillary Clinton, she loses, and now its again a referendum on Hillary Clinton. You are up in florida, and and ohio. We need north carolina, and then you add pennsylvania or nevada, new hampshire, and maine, too. Its not down by five. The nbc poll was the only one that said it was down by five. You need colorado or pennsylvania is just always a state that always feels like a donald trump state, and you go there and you look at the data, and we talked to the members of congress, and what they are seeing and hearing on the ground and we have a great team on the ground in pennsylvania, and its a place where donald trump and pence have spent a lot of time and we will be there tomorrow, and i will be there with Melania Trump on thursday, and she is giving a speech in philadelphia on thursday, and its a state where Donald Trumps message about negotiating bad trade deals and creating jobs and repealing obamacare, they are facing a 53 or so in their premiums. We will win. Thank you. I will come back after we win. Come back before then. And squawk box will be right back. Remember here at ally, nothing stops us from doing right by our customers. Whos with me . Im in. Im in. Im in. Im in. One, two, wait, wait. Wait wheres tina . Doing the hand thing . Yep we are all in for our customers. Ally. Do it right. Wwere drowning in information. Where, in all of this, is the stuff that matters . The stakes are so high, your finances, your future. How do you solve this . You dont. You partner with a firm that advises governments and the fortune 500, and, can deliver insight person to person, on what matters to you. Morgan stanley. Is it a professor who never stops being a student . Is it a caregiver determined to take care of her own . Or is it a lifetime of work that blazes the path to your passions . Your personal success takes a Financial Partner who values it as much as you do. Learn more at tiaa. Org a wrench thrown in the race for the white house. The latest on the investigation straight ahead. New this morning, ge strikes a multibillion dollar bill with baker hughes. One intrapreneur in scaring the masses. Squawk box begins right now. Announcer live from the most powerful city in the world, new york. This is squawk box. Welcome back to squawk box here on cnbc. I am joe koerner along with andrew. A key economic report coming this hour, september personal income and spending, Consumer Spending due at 8 30 eastern and both figures are forecast to have risen a. Deal news this morning. General election is merging its oil and gas business with baker hughes and the new entity will have a combined 32 billion, and ge will own 62. 5 . This morning, ceo of ge, and that happens at 10 10 eastern time. And centurylink is buying 3 communications, and its an equity value of 19. 4 billion, and 34 billion if you include debt. Level 3 Communications Stock is up 8 in the premarket. A couple other stocks to watch this morning. The analysts pointing at signs of improving demand and few in the industry a. Hotel operator hilton getting a bullish mention, and the shares could be worth 25 more than currently. The fbi getting a warrant for the newly discovered emails in the probe of Hillary Clintons private server. And we have the latest. We have been talking about this a lot this morning. Let me bring you up to speed as to what we know based on my conversation wz sources over the weekend. I am told that huma abedin, Hillary Clintons close and personal aide was in touch directly or through her lawyer with the fbi over the weekend and she told the fbi, i am told, she had no idea these emails were on this particular laptop, so thats one person threshold question that appears to have been answered right now. We are told the number of emails found on the laptop was 650,000, and the expectation here is that the overall number of emails related to the Clinton Probe will be much smaller, a subset of that. The fbi is now using specific software to go through the emails now that they got the warrant and they can go through and determine which ones are duplicates they have already seen, and ones they have not seen at all, and agents will review any of the emails that turn out to be new information. As to whether or not james comey, the fbi director, will tell us anything at all between now and election day, an official tells me we are in uncharted territory here. This never happened before at the fbi, and they try to not comment on ongoing investigations, and this time, however, comey committed to trance pa transparency, and s its not clear whether comey will say anything or when he will Say Something before election day, guys, and a lot hanging on this and comey getting incoming political fire from all directions today. All right, and we will switch gears entirely and its still related to the election. Tpp has been a key issue in the president ial debates and while both candidates both publicly said they are against the trade deal secretary clinton has supported it in the past, and joining me now the chair of the business Roundtables International engagement committee. This should be a positive for cummings or for the company . Tpp is a modern trade agreement and its for a modern u. S. , and it would be good for the workers and farmers. Obviously theres pop yao almost on the rise. Why are they wrong about what needs to be amended to make it more palatable . As a modern and comprehensive agreement, the tpp includes many firsts and it addresses concerns of both Political Parties, and it has sectors for Small Business, and sectors for labor and Environmental Standards and stronger investors settle dispute language so its good for all sectors of the economy, and addresses all the concerns that the Political Parties raised over the many years, so its agreement for today, and frankly, i dont understand why we dont want to pass it right now. The u. S. Economy needs a stimulant for growth, and this is something that business across the spectrum supports. Thats not obviously thats not what we hear. So specifically for example what does donald trump say is wrong with tpp because Hillary Clinton has different problems with it. Donald trump has generally criticized trade during his campaign, and what his reasons are, i dont know, but its just not looking at the facts. The facts is trade helped the u. S. Economy and helped us grow, and thats the history of all of our free trade agreements. We have 14 free trade agreements with 20 countries and in all the cases where we have free trade agreements we trade an average of 13 times, dollars per trade per capita with the countries we have free trading rent versus those we dont. If you dont know what donald trump doesnt like about it, what is Hillary Clintons problem with tpp now . What has she pointed to where she doesnt like it . Both have tried toe address the impact from globalization, and it has had some of that, and the view of businesses that i talked to large and small, its the view of farmers and workers that, at least the ones that i speak to, trade agreements can help, and we can win. How is business for cummings . We have had people say, the trucks horrible, pricing and a real slowdown recently. Are you seeing that . Theres a slowdown in the u. S. Truck market. Currently, thats as you said, used truck prices have fallen and definitely trucking has dipped some, but i would say as you look across cummings business locally we have grown in two major ways, and one is we expanded entinternationally, an our business is more than tpwhreu outside the United States, and we have technology for trucks and many other vehicles, and those two forces of growth are driven by trade, and cummings exports more than 3 billion today, and a lot of growth and our jobs at home has been because we have been able to trade with countries around the world. Thank you. Thank you very much. Another takeover deal Just Announced. And being bought by funds controlled by blackstone for 6. 1 billion there have been reports over the past few weeks the Management Company was in talks to be acquired both blackstone and team health are unchanged in premarket trading and we will see that that changes now that the deal was announced. And the fbi, as you know by now, is investigating recently uncovered emails related to clintons private server. We will talk to a famed criminal defense attorney about what is next for the investigation right after the break. Hey gary, whatd you got here . This bad boy is a mobile trading desk so that i can take my Trading Platform wherever i go. You know that thinkorswim seamlessly syncs across all your devices, right . Oh, so my custom studies will go with me . Anywhere you want to go the markets hot sync your platform on any device with thinkorswim. Only at Td Ameritrade want a great way to help our children thrive . Then be sure to vote yes on proposition 55. Prop 55 doesnt raise taxes on anyone. Instead, it simply maintains the current tax rate on the wealthiest californians to prevent education cuts that would hurt our kids. No wonder prop 55 is endorsed by the california pta, teachers and educators. Because all of us want to help our children thrive. Its time to vote yes on proposition 55. Welcome back to squawk box. Lets look at equity futures at this hour. In positive territory, and the s p opens up by 6, and the nasdaq by 22 points with just about an hour and 15 minutes before the opening trade. And look where oil is, the lowest level since october 3rd when it broke below 48 a barrel. Of course there are headlines about members of opec meeting over the weekend potentially hoping to draw some output, and oil will be in focus today. As are Hillary Clintons emails. Investigators hope to review emails of one of Hillary Clintons top aides and its unclear how much all of this will get done before election day, and joining us to talk brody more about this, and served as chief Minority Council during bill clintons impeachment. Good morning. Do you think it was aprepare rut for comey to send that letter on friday . There are two times in the last three months the director of the fbi has taken actions that were unprecedented in doj policy and unintel jawable, and its completely backwards. Its fire, aim, readready. Nobody is supposed to make announcements as to what an investigation is doing until they have reached a conclusion, and only then under doj policy do you announce you are taking an action or not, and when we get a blowbyblow let me take a different side, if something were to come of these emails, a month, two, three, six months from now and he didnt say anything publicly, what would the repercussions be . The repercussions would be thats why you are appointed to an important position, to take the criticism. The way it works is you dont make announcements about what is going on investigations until you have something to announce, and if you announce i am looking at something and i will let you know what it is in the future. Now if he was trying to satisfy congress or the public or the interest of people, those are not legitimate Law Enforcement interests. The bottom line is if in six or nine weeks there was something to do, thats when you do it. There are two Justice Department policies here and they both have been violated. The first is you dont comment on an investigation while its happening and you dont take actions that can influence an election. We have the head of the fbi violating two policies and investigating the secretary of state for an email server that doesnt violate any policy. What about july . If you have a problem with this, you must have had huge problems with what comey did in july . I think you referenced it. I did and i did say. There were two aspects of what the director did in july, he properly announced the investigation has evened and theres nothing to pursue. I thought that was a grand jurys determination. Since when does the fbi decide whether there is intent . To this day people say theres a clear misdemeanor there and there might be a felony there, and you, as the fbi director do all of the investigating and you give it over to the grand jury to see whether it should have been prosecuted. Not exactly. In america on any given week there are hundreds of investigations opened that never make it to a grand jury. So the possibility that one makes that threshold, sure, it could happen but i assure you the fbi does lots of cases that never get that far. When you have compelling evidence, dont they . In your view, listening to the first 14 minutes of what he said . You are raise aggregate point that has gotten lost in the last 48 hours, which is what is underneath it might be on huma abedins lab top, and nothing changed from july. If she has 1,000 emails between her and secretary clinton people need to understand the law, because sometimes the law gets lost and the law says two things, one, those two could talk by email to each other as people within the official aspects of the state department, and two, if there was no physical removal of classified information it doesnt violate the law. So its not strange that comey said in july that there was no case, and the only strange thing is these public announcements then, which i was critical about when he said theres no violation of law but this is what i personally think about her behavior, and thats unprecedented. But with the disclosure and the proximity to the election this week, and we could argue about july and thats in in the past, but what we are focussing on now, how it impact the election and the focus, as you recognize is rare, and the fbi sent a letter because he wanted to be on the right side of the law with discloser to congress so do you blame him for disclosing it to congress or blame congress for public law adviso publicizing the letter . I say both. They know its going to take less than a second to get out and be posted as it did. You say he wanted to do this to be, quote, on the right side of the law, and he was on the wrong side of the doj policy, and if it was intentional, he has done something that is, itself, a wrong. Its not on the right side of the law to violate two doj policies, and he could explain why he did it. Look what it has done. It changed the debate to what should be the last week of policy differences into looking at his behavior, which is not supposed to be what influences an election, and thats what makes it so strange. It also shows why these two Justice Department policies are so important, because it would stop things like what you and i are now talking about. But meeting somebody on a plane and pleading the fifth on whether it was ransom money, none of these things seem like they are very good under the strictest rules under the department of justice, and we appreciate your time this morning. Thank you for coming. Thank you. Its the spookiest day of the year, and we will tell you about one intrapreneur where her business is scaring people. And then the big bucks as far as consumers, and expected to spend 2. 5 billion alone on candy this year. I love dots. I love the green ones. I like the cherry ones. To visit this company that makes smart phones, used by this Vice President , this little kid, oops, and this obstetrician, who works across the street from this man, who creates software. They all have insurance crafted personally for them. Not just coverage, craftsmanship. Not just insured. Chubb insured. What are you doing . Getting your quarter back. Fountains dont earn interest, david. You know i work at ally. I was being romantic. You know what i find romantic . A robust annual percentage yield thats what i find romantic. This is literally throwing your money away. I think its over there. That way . Yeah, a little further up. What year was that quarter . What year is that one . 98 thats the one. You got it nothing stops us from doing right by our customers. Ally. Do it right. Lets get out of that water. Welcome back to squawk box this morning. Its halloween and for one intrapreneur its the busiest time of the year, and kate rogers is with us with that story. Melissa quit her day job to make a fulltime career out of scaring people and its paying off big time. For some people being terrified is fun. And melissa is cashing in. Fear is americas favorite drug, like 100 . The founder of 1031 productions always loved halloween but it was not until she began decorating her own home in los angeles years ago it hit her, there might be a real business behind scaring people. I thought, theres something to this holiday. They were saving and plotting for an immersive hey ride, and the company has eight attractions from february through november in new york and california, raking in 3 million last year, and securing a 2 Million Investment from mark cuban on shark tank and another undisclosed investment from live nation on the way. I feel like we have pioneered a whole new industry. While she says she is basically unscarable at this point, the same cant be said for everybody. She just took the emergency exit. She sold about 3 million in tickets last year and is said to hit 5 million this year, and that hey ride makes up 85 of the sales. Its pretty amazing. The best holiday. I was terrified. I pitch the story and got there during the day, and i was like, why did i do that . I made all the actors show me before i went in and still was terrified. It sounds good in theory. I looked like a big whim that, but it was fun. Coming up, september personal income, and we will bring you the numbers. A quick check on currencies. 1 will get you 1890 pesos. All of my purchasing. And that unlimited 2 cash back from spark means thousands of dollars each year going back into my business. Which adds fuel to my bottom line. Whats in your wallet . Yeah. Well, we gotta hand it thto fedex. Glasses. Theyve helped make our ecommerce so easy, and now were getting all kinds of new customers. I know. Can you believe were getting orders from canada, ireland. This ones going to new zealand. New zealand . Psst. Ah, false alarm. Hey you guys are gonna scare away the deer idiots. Providing Global Access for Small Business. Fedex. A m activity front and center. General electric combining with baker hughes and the transaction expected to be completed by 2017. The ceos will be on along with the ceo of maker hughs and thats going to happen today at 10 10 on squawk on the street. Level 3 is one of the cable providers. And Team Health Holdings is being acquired by blackstone group, and that is showing a premium of about 18 over fridays price. We are moments away from the personal income and spending. Rick is standing by at the cme in chicago, and the futures up 25 before the numbers. Rick, you know, people wanted to call that just an incredible market crash on friday, remember that, it was up 50 and closed down 8, but we will see what happens today. I was around during memorable market crashes and i dont think friday added up. Threetenths is the number. The spending side is better than expected, up. 5. Up. 5 on spending and we did lose a tenth on last months read, the august read for spending, and lets go through the internals, shall we . If we look at real personal spending, it was up threetenths, and then last month revised from up one to up two. Twotenths expected and obtained last month. And then twotenths hotter, though it was expected. Lets get to the meat. And all this is the feds favorite because its the lowest. It was up onetenth month over month following last months twotenths, and that the last look was expected and we will continue to Pay Attention to this. If you look at other inflation metrics, inflation, protected securities, you get reads that we are continuing to move up a bit whether its here or overseas and we know what is going on with the uk and their dropping pound prices and what is going on with their import prices, so this is a global phenomenon to Pay Attention to, and long immaturities today, they are backed away a bit. They are hovering around onetenth or one bases point or so and its a long session, of course, as joe is pointing out, trying to get our gpss to what is moving equities and the backside of the earning season and what rates will affect whatever it garners to the upside. Back to you. Steve liesman is here with us. Steve,. 3 doesnt look that bad on the face of it. Not too bad, the spending number being up a bit. The street is going to call this a wash. The street knows this data going in, the overall quarterly data and its a matter of how it is parsed out. And i think what you see is relatively resilient households with what is going on in the economy right now, and inflation is out there, 1. 7 , and with the debate on wall street being, look, how much can you really steer an oil tanker through a 10yard wide opening when it comes to intphraoeugs. You are looking for two and you have 1. 7 encore, and you call it game over and a wash, and you have the other inflation index and what the fed is looking at on the backs of other components that are a little different and all of it sets up for a meeting this week where the street uniformly experts the fed not to hike, and were going to report on this tomorrow in the fed survey, and pretty uniformly expect the fed to hike in december, and they give the fed a wash, and they dont really hold them to the fire, and if you are going to if you are so sure you are going to hike, why dont you hike now, and everybody says its because of the election and they should not hike because of the president ial election. I am not sure why that is the case. In a purely nonpolitical b y body, i dont know. What they dont want to do is interfere either way. You think its okay . I am saying if they were purely nonpolitical they would hike. Well, they say theres no press conference and thats the opposite of what they were saying before. Good, we dont get to hear every waking thought of all 15 how many are there . 17. Great. Should be 19, there should be two more. You set yourself up for the jobs report, and you are looking at a tick down in the Unemployment Rate. I dont know if at this point Economic Data even matters. This was going to be a huge jobs report. I am not sure do you think it matters, will anybody be paying to jobs over emails . I dont think thats the case. I dont think so but you have another jobs report out before decembers fed meeting so if its all eyes out for december, you would think this one would get averaged in. This was championed by joe, which is the notion of opportunistic hiking and do it when you can because you dont know you will have the opportunity next time around. Its been true. You thought they should have gone in september. I thought september was a great time to go because it would have taken the pressure off the idea two years ago, at least this last month in november, and not very much excitement over the weekend about the gdp report on friday. This 2. 9 number we had, i didnt see anybody saying this shows the economy is on a new ba path. I did. You did . I saw it on twitter. Those are not necessarily people i follow in terms of economic analysis. It said how did that feel, trump, with the economy rip roaring. It was soybeans. People how many days in a row did we talk about soybeans . Three days in a row. It was up about a percentage point on higher experts, a chunk of which this timing was with soybeans, and people wrote to me and said why doesnt the Mainstream Media discuss soybeans, and we discussed it for three days in a row. The idea is most people think were still in a larry, were still in a 2 economy, and the 2 is more likely where we are, and we want to make sure people understood that. Maybe this market actually we look for markets moving in politics, and the mexican peso trading at a low, and the fbi looking at more Hillary Clinton emails perhaps. You have to look far and wide for something moving purely on the election, mark, and is that okay, is that real . You have ever traded, you yourself, every written a contract to buy or sell pesos . About two weeks ago after it looked like cole widened out in favor of clinton and we thought the trump affect unwound, and of course the news came out on friday, but already today the market is reacting to if maybe they overreacted to friday, and peso is one of the stronger currencies here today. Can a few people do this or is it a big market . The peso had been the worlds actively traded currency when china surpassed it, and mexico futures, and its the best time, of course, is when mexico is open and theres liquidity and a lot of people trade it. If i had to look for currency moves, i would think it has a lot more to do with every Economic Indicator that comes out and what the fed is going to do, do you think the dollar had its round if you think the fed does hike in a couple meetings . The fed, if they do not have rate hikes, i think this is why the euro is trading as low as it s. And i think the fed hike, the fed could disappoint the market once again and the dollar could pay the price for that. Theres a bunch of studies about the affects on the markets of a Trump Presidency, and i dont i think some of the event last friday showed they were true and all the followup shows they are not true. What do you expect to happen to the mexican peso and other emerging market currencies that may be affected by a different trump yield if theres a trump trade deal if theres a Trump Presidency . I have been telling our clients its better to think about the scenario if democrats get both houses than Donald Trumps presidency, and we saw where the dollar would suffer, and the dollar would try to rally, and i think we see the equities selling off and the treasury deals would ease. And i think the market is more or less comfortable right now with a Hillary Clinton victory in the white house, and democrats getting the senate, and the Republicans Holding on to the house, and barring that scenario, i think the markets have a much greater reaction if the events dont pan out like that. I am not sure what i dont know, its tough to tell. How about brexit . What is the pound going to do . Has the pound seen its lows or are we staring into an abyss . I think the key here, the big issue today is really where carney resigns as early as this week. I dont think so but there was a lot of talk and criticisms from the mps criticizing carney, and carney can decide by thursday whether he takes the full term, and i think brexit has not taken place yet, and i would side with what carney is saying, theres nothing good for the uk coming out of it, while imports might decline, the uk does need foreign workers. Okay. Thank you. Thank you. Coming up a little later, Donald Trumps greatest champion in Silicon Valley, and hes ready to explain. First, futures this morning. We are coming right back in just a moment. This just in. 50 million customers data was not compromised this morning in a Security Breach that didnt happen. Wall street, not rattled. At all no. Sir, sir. What went right . Everything. We have a brief statement on this nonbreach. Were happy to report theres nothing to report. My dads company wasnt hacked today. Cool. My dads company wasnt hacked today. Is happening before our eyes. Shift in Human History sixty to seventy Million People are moving to cities every year. At pgim we help investors see the implications of long term megatrends like the prime time of urban expansion, pinpointing opportunities to capture alpha in real estate, infrastructure and emerging markets. Partner with pgim the Global Investment management businesses of prudential. Welcome back to squawk box. Futures have picked up a little steam on the numbers, up 46 now on the dow, and the nasdaq up strong. With the banks having reported thirdquarter numbers the focus is on whether the rate hike will be delivered this week or in december. Joining us with more on how banks make money when rates rise is wilford frost, and do we have wilford back at headquarters. Good morning. I am here indeed. There are three main ways the banks make money as rates go up, and their loan book generate more income, and so fed funds rate hikes lead to higher Interest Payments from customers to the bank, and then the corresponding increase in interest paid by the bank to customers on deposits is smaller and delayed as banks pass on the full hike, and then initial rate hikes could be significant where investors reposition themselves, and a rate hike means most to the earnings of bank of america. This shows the numbers for 100 bases point parallel shift if all of the benefit drops to the bottom line. And its thus unsurprising to see a strong correlation with Bank Share Prices and yield expectations, which is why we have seen bank stocks start to perform already and in anticipation of what might come not this month but next month from the fed. Important to note that 100 bases point increase and we are not close to that but thats what we expect. Thank you. Now to the race for the white house. Silicon valley ontrau pwrau tphaour. I am going to take this off for the serious part so we can talk about it. There are College Campuses where its antiwicken i am sorry. I was insensitive. I am sure theres a gender this is not a space safe and you triggered the heck out of me right now, and what do the triggers do because i am triggered . This is the kind of issue that i think they will touch on, and at 11 00 they are speaking at the National Press club, and he is speaking about donald trump, and he didnt followup with any fund raising on trumps behalf that we know of or any direct donations and he had a spokesperson say he had no plans to give, but there has been a bit of an uproar in Silicon Valley for his support of trump, particularly in light of the access Hollywood Tapes where trump said comments that some say encourage sexual assault, and i think its interesting because i have had a chance to look at what he will say, and he will talk about the culture of Silicon Valley not being terribly tolerant, guys, when it comes to views that die verge from the progressive mainstream . Will it just be about trump . Is he going to talk about gawker . I think he will say why he is supporting trump, and he is not endorsing everything about trump, and he will sort of wave it away, and he will say, look, you are endorsing policy and things that you like about the candidate but not everything that they do, and i think in the q and a, he will talk about gawker. We have seen what certain people have written on blogs, and Mark Zuckerberg has come out and been supportive, but i wonder privately . Hes in the thick of it, so of course hes he should be in jail probably permanently just for the thoughts he has had. I have two thoughts. One is he is probably under some pressure, and on the other hand who can pressure peter thiel. He is so wealthy and established and hes almost beyond pressure, if he will. You wonder. He donated 1. 25 million, and hes worth close to 4 billion, and Kellyanne Conway was talking about the 25 million home stretch ad spend they were about to undertake, and i am wondering do you think he will announce a new donation and inject cash . I dont see the 1. 25 million represented yet, and andrew, you and i have talked about it, considering his net worth how little he has given so far, and he could probably do much more and i went back and looked at the transcript of the rnc speech, and it was tepid. At no point did he rouse people to get excited about trump specifically. At the very end he talked about a vote for trump, but it felt a little more idealogical. Will he be more about trump today . I think he has to. Theres not a hint of irony in any of this where you are not seeing supporters of clinton grilled on her ethics or the Clinton Foundation, or her husband and i know he is not running, but he was president and some of the women said it was rain, and itpe, and its sto me. That stuff has been discussed for decades. Dissected for decades. Whereas the access Hollywood Tape happened a few months ago. They havent been. Theyre still there. Go talk to any of them. They all have the same story. They havent been, necessarily, whatever that it was false accusations. Its just typical, but whatever. Well, i think theres been a longer time to air those than some of the more what was the conversation a year ago on a hot mike, the other one well, we know what it is. And its someone that took each case and probably impugned those women and didnt listen to them, didnt assume they were telling the truth right from the very start. I mean, without a hint of irony. I hear you. I think that will come up today. Good. Up next, were going to head down to the new york stock exchange. Jim cramers going to join us live. Well get his take on the days top stories. Stay tuned. Youre watching squawk box on cnbc. This is my retirement. Retiring retired tires. And i never get tired of it. Are you entirely prepared to retire . Plan your never tiring retiring retired tires retirement with e trade. Im in vests and as a vested investor in vests i invest with e trade, where investors can investigate and invest in vests. Or not in vests. Sign up at etrade. Com and get up to six hundred dollars. I was diagnosed with parin early 2013. Lly it took awhile to sink in. We had to think a little more seriously about saving money for the future and for the kids. The income of airbnb really helped to mitigate the stress. But we have that flexibility of knowing that if you know things get worse, we have this to help keep us afloat. So thats very, very important for us. Lets get down to the new york stock exchange. Jim cramer joins us now. And earlier when we were talking i was talking to andrew about how to actually used his terminology, how to think about this gebaker hughes deal. And i remember your thoughts last week. Now we know what the deal how its structured. Are they offloading it, or theyre still in it 100 and its good . Is it different than what you thought last week, jim . Yeah. I was afraid they were going to offload it to baker hughes. I think the call on the upside was good. Baker hughes obviously gets some nice cash and thats great. No, i thought they were selling no, i feared that they were selling at the low. There were so many different cross currents. The fact that ges up makes sense. I think what ge does is if oil goes down they get a look, they really they can winwin. I think this was a really smart deal. What i was so afraid of is they were basically saying, okay, look, this isnt going to work out, lets just give it to them. The combined entity has a fantastic base of both land and sea. I had always felt ge was too much sea. Now youve got a great if he n technological drilling company. Its a really good deal. Im very happy. Im appeased. I was so afraid, some of the stories out there on friday that made it seem like it was going to be a gecomcast deal where ge would be selling some and then ultimately ge would be selling all. Those were inaccurate. Those are the stories i most feared. Im happy with the deal. Thats what andrew said. Were in the same place, jim. Andrew, you get those stories and you say, oh, man, theyre getting rid of it at the bottom. We could be in a situation where if iran is tamed and there is a big resurgence in Worldwide Growth and Oil Goes Back to 60, 70, this is a fantastic deal for ge. Think about it its costing 7. 4 billion to effectively become the majority owner of a combined company whereas by the way had that other deal happened with halliburton they would have spent 7. 4 billion to buy some assets. Absolutely. Number two business arguably could be number one in land. I think this is terrific. I got to praise this side. This is the exact opposite of what i feared. Its a good deal. Okay. Its the date. Youre marking the date . What does that mean . You were right im right about something . Because jim is always right . No, he agreed what you said earlier. Youre right. 2016, mark it down. How long is the list of dates . Of dates . Six years, hasnt it . I havent been right for six years. This is my first time. No, this was a really good one though. Thanks. I cant give you a compliment . I appreciate it. Squawk box will be right back. Its been over 100 years since the first stock index was created, as a benchmark for average. Yet a lot of people still build portfolios with strategies that just track the benchmarks. But investing isnt about achieving average. Its about achieving goals. And invesco believes doing that today requires the art and expertise of highconviction investing. Translation . Why invest in average . As long as you love me, its alright. Shape the best sleep of your life. Sleep number beds with Sleepiq Technology adjust any way you want it. The bed that moves you. Only at a sleep number store. Mary buys a little lamb. One of millions of orders on this companys servers. Accessible by thousands of suppliers and employees globally. But with Cyber Threats on the rise, marys data could be under attack. With the help of at t, and security that senses and mitigates Cyber Threats, their Critical Data is safer than ever. Giving them the agility to be open secure. Because no one knows like at t. Welcome back to squawk box. In media news this morning, tom hanks latest movie fizzling at the box office. Inferno opened well below expectations. The third installment of the da vinci code. Inferno beaten out by boo tyler perrys, took in nearly 17 million. Boo. Happy halloween everybody. Yes. Happy halloween. Happy trick or treating tonight. Yes. What are you going as . Im getting a man bun, going as a millennial. Nice. Bring a picture. Bring a picture. Make sure you join us tomorrow. Have fun tonight on halloween. Squawk on the street begins right now. Good monday morning. Welcome to squawk on the street. Im Carl Quintanilla with jim cramer, david faber at the new york stock exchange. A big deal in energy, ge combining its oil and gas operations with baker hughes. Were going to talk to the ceos of both companies and the ceo of ge oil and gas this morning. Meanwhile, final day of the month, a week full of central bank meetings, jobs number, focus on the fbi, futur