Billion takeover. And a judge rules that uber drivers should be treated like employees for a moves that could have implications for the taxi apps Business Model and the sharing economy. In august, it could easily become a storm in september. That was a word from trading floors yesterday. A big sell off overnight on wall street but here on wednesday were looking at the wall street could see a rebound. The dow up 112 points. Has the tack up 38 in premarket and the s p 500 higher by 12. Lets just show you how markets performed on the first day of september. It was pretty much a blood bath. The dow jones losing 469 points. The worst start to the month of september since 2002. Being weighed down losing nearly 3 and the tech heavy nasdaq once again getting hit by shares of apple. Well below 5,000. Closing lower by 3 in yesterdays trade. Now here in europe it was that disappointing data out of china and the drop in Commodity Prices that sent period stocks lower in yesterdays trade as well we do have the Central Bank Meeting coming up tomorrow. A lot of discussion as to what mario draghi could say on the health of the european economy and the developments like the commodity picture as well as china. The xetra dax now below 10,000, town 24 points in todays trade. We did get a positive report from Morgan Stanley. Theyre expecting a rebound in european equities. That analyst joining us in 30 minutes time. French markets down 17 points and slightly higher on the day and being weighed down by the mining stocks down about 19 points. But dont let europe keep us apart. No, some might say its a goodbying opportunity at the moment although a lot of people are still nervous. Theyre sitting in cash. When it comes to the commodities, spot silver now going a bit negative. Gold right and 1140 still. Brent crude and wti both trading a little bit lower so continuing with that selling that we saw in yesterdays session we had a huge volatile session yesterday. We have risen heading into yesterday and we still continue to anticipate quite a bit of volatility in the oil markets. Thats what many are saying. The opec meeting coming up as well and before that the ecb set to decide on rates tomorrow. No change anticipated but well be looking at market volatility and the impact on inflation as well with the drops we continue to see in oil. The fx markets, the euro dollar one to watch out for heading into tomorrows session. Were currently a little bit lower in the euro against the green back. You have the dollar yen right around 120. Big swings there yesterday. The aussie dollar a bit lower against the green back as well. Very linked to whats going on in china and the pound against the dollar also just down by a tad. We have seen repositioning with buying across the board this morning pushing the yields just slightly lower across the board. Another very mixed morning on asian market with chinese indices opening sharply lower before and then reversing to finish almost flat. Fresh supportive measures from brokerages easing a crack down in beijing and within the last couple of hours the pboc outlined its going to be requiring reserves for all Foreign Exchange derivative purchases thats according to a document seen by reuters. Lets talk more about the asian markets and get the details on that with sri that joins us once again. Sri, if people are just joining us what do they need to know in order to continue their session . So overall its quite a subdued session. Lets start off on china because theyre getting very mixed signals in term of policy, intervention so on the one hand, though, these reports that the brokerages officially sanctioned are pledging fresh support, fresh buying in the stock market. On the other hand, were getting some reports of the official crack down on margin debt in the grey market especially. Illegal margin financing there. That continuing. So were flat at the close. 3,155. Remember the china markets, shanghai and the hang seng will be closed tomorrow. Shanghai will be closed on friday as well. So theres going to be thinly traded volumes for the remainder of the week seema and the big open ended question is whether this is going to really move volatility if we have lower volume trade or if its going to take a major pillar of volatility which has been the china market out of the system. Very quickly, nikkei 225 is really emotions b really to this point that theres screaming buys in the market so we saw bargain hunting for the index heavy weights and strong session earlier on in the day and those gains evaporated. 17,714 was the six month low that we came close to testing once again today. That is a critical down side target for the nikkei. Seema, back to you. Thank you so much. Now speaking more about china, chinas Development Bank is planning on being less stringent when it comes to lending rules. They will not ask them to privatize loans like its rivals. They have come in for criticism in the past with some saying it imposes unreasonable conditions on some borrows. The aiib has not commented. The venezuelan president says beijing lent the nation 5 billion to boost its oil output. Any loan deal would demand Chinese Companies are hired in the extraction and refining procession. I cant get extraction right this morning. Heres another interesting story. The u. S. Is urging beijing to be more mindful on how it communicates policy changes amid the Global Market turmoil driven by fears over chinas slow down and doubts over its response. The Financial Times says the white house has been careful about criticizing chinas recent moves ahead of the state visit later this month but concerns over chinas economy and market volatility are expected to be top of agenda when jack lew and other g20 finance ministers meet in turkey on friday. Thats not the only meeting taking place this week, the imfact is one of the main talking points at the conference taking place in frankfurt. Carolyn joins us once again. Good to see you carolyn. Market volatility, china, it has to be top of the list in talking points. Absolutely. Its front and center here and many of the banking executives are still grappling with the implications of the china slow down and volatility weve seen in the stock markets. But what does it mean for the German Economy . The finance minister expects gdp growth of 1. 8 . Thats stellar if that actual happens but earlier this morning i spoke to the deputy finance minister of germany and he said, yes, were watching china but were not too worried. Germany someone of the biggest exporters in the world. When you talk to a member of the German Finance Ministry you also have to talk about greece. We know that negotiations surrounding the third bailout package have been incredibly smooth. Surprisingly smooth even but then it was thrown in the works by Alexis Tsipras that says im stepping down to hopefully for him gain a stronger mandate. Would that in anyway shape or form complicate the implication or implementation of the third bailout . Thats what he said. The biggest part has been done to help greece again. Secondly we have an agreement with the greek state. Not with a single party in greece and so we do expect that they will go on with the reforms and what has been negotiated still counts and it doesnt matter what comes out of these elections. We also talked about the involvement of the imf. The finance ministry in germany is very addiment about the imf being involved but the Sticking Point guys is will there be a nominal hair cut . He told me theres no way there will be a nominal hair cut in the euro zone. Back over to you. Carolyn, good to see you. Thank you very much. Now Morgan Stanley has given the green light for european stocks. What does it mean . The Investment Bank issued the first full house buy signal since january of 2009. Basically all five of the timing indicators hitting by territory. On average, equities rise 23 over the 12 months after you have a bottoming out. Stay tuned because well be speaking to the man behind that call, Morgan Stanleys chief European Equity strategist will be joining us . Just under 30 minutes time. So stay with us to hear more details on that call. Well see you just after this short break. Youre watching Worldwide Exchange. Why weigh yourself down . Try new aveeno® sheer hydration. Its active naturals® oat formula. Goes on feather light. Absorbs in seconds. Keeps skin healthy looking. And soft. Aveeno®. Naturally beautiful results. U. S. Futures indicating a triple move higher after the worst start to the month for stocks since 2009. European equities giving up gains this morning. They trade in the red after a choppy session seen in asia and oil still in retreat with brent below 50 per barrel. Wti and brent crude down over 15 for 2015. But what if the dow tracked oil . Robert has been crunching the numbers and this is how bad it would be. The index would be around 1,000 points below where it is now and between its lows and highs there would have been a range of nearly 8,000 points. The dows actual change this year is a little over 2,600 but the correlation between stocks and oil has been very interesting over the past couple of months. Whats also been a big part of the discussion is the factors impacting the price of oil. Not just the supply and demand equation but keeping into account the stronger dollar. When iranian oil will come back and the other big question is if saudi arabia will cut production. Thats resulting in a lot of uncertainty as to where Oil Prices Head from here. But also a lot of speculation as to whether opec members will be making deal with nonopec members which i dont know if youre a slight cynic you might think that were overblowing those comments and interpreting where we maybe shouldnt be interpreting as well. In terms of the difference of being a shortterm commodity trader and longterm valuation investor when looking at investing commodities versus the underlying stocks like the chevrons or exxon mobils theres a big difference. Big question is will they be able to pay out their dividend Going Forward if Oil Prices Reach below the 30 or at 25 at one analyst is promising today. Many are promising they will while some are saying think twice before you stop investing in everything but theres a difference between investing in oil services sector. Integrated oil companies. Exactly. But one Hedge Fund Manager is betting on the price of wti falling as low as 25 for at least a month this year. He predicted the 2008 oil crash and said theres signs of slowing u. S. Crude output. He says the market will remain oversupplied in 2016 and 2017 with wti trading at a range of 25 to 50 barrel. Were also getting flashes through the saudi market. Speaking of opec and speaking of oil t saudi stock index falling on crude on the pull back that we have seen and showing you here, the saudi market off by 2. 5 . It might also have to do with repositioning and overall market volatility. Europe has turned negative too and you saw a bad session in the u. S. Yesterday. So where do you think that the price of oil will be by the end of the year . Join the conversation here on Worldwide Exchange. Get in touch directly either on email worldwide cnbc. Com or you can find us on twitter. So youll just go online and you can find it all in there. Now david is the head of eemea and he joins us. Welcome, david. Hi. Lets talk about the price of oil while youre here. You tend to focus on emerging markets but whats your viewpoint on these Commodity Trades and the price of oil and whether or not well continue to go lower . Were bearish. We continue to think that brent will be at around 50, maximum 60. We think the whole debate about whether saudi, russia, venezuela made production is big about nothing. At the end of the day the whole situation has come out because of oversupply and at this stage, neither are willing to position to cut supply because they desperately need every single dollar so on top of that theres shale in the u. S. So we are still bearish on oil. In the shortterm markets might be oversold including emerging markets but the medium term is definitely negative. How long do you think that the oversupply issue can continue and especially heading into what is seen as cold winter season . You tend to see the supply story switch a bit. Can that make a difference this year . It can make a bit of a difference. But the medium term story is definitely still lower because you continue to see supply coming up around the world. The latest was this massive discovery in egypt and of course also in u. S. , the marginal cost of production of shale keeps going down because of technological change. How much is china changing the story as investors have to shift the growth and from the second Largest Consumer of oil in the world. Oil declined because of the story about oversupply last year but then the latest decline in oil prices is probably related to china. Our indicators for chinese growth right now are running at the lowest levels since the 09 recession so theres definitely something going on there. How bad it s well see. A lot of these growth indicators that markets focus on like energy and railways and so on, they tend to be focused on the side of the chinese economy that will weaken. It balances away from investment to consumption. Consumption is better than it seems but right now the market just needs some evidence of that and thats just not there. Chinese equities moving lower despite a series of steps being taken over the past couple of days to stimulate growth and injecting more liquidity into the banks. What else is left in their tool box . Seems like they leveraged all of their options at this point. First of all we need to be clear that chinese domestic equity market has not always been a very good indicator of the real economy and we think that chinese equities probably have still some downside. Theyre still too expensive. Now on the real side we dont think its as bad as it seems. There will be more rate cuts. But you dont expect an aggressive rate cut giving the rising cpi inflation picture. No, we dont see any aggressive rate cuts. We need to be clear also that of course to some extent the chinese authorities are con trained by how much they can stimulate on the monetary side. Super briefly all the buy signals are on for equities. Are they on for emerging Market Equities . Yes. We think markets are oversold. We think that em currencies are also oversold. We think that the ecb will be dovish tomorrow. We think that the fed will not be as bad as it seems but medium term fundamentals still remain poor. Thank you very much. Stick around. Cross atlantic dealing. Could ge be on the verge of ceiling its 14 billion tie up with alstom . Stay tuned to find out. Try the superior hold. Of fixodent plus adhesives. They help your denture hold strong more like natural teeth. And you can eat even tough food. Fixodent. Strong more like natural teeth. Fixodent and forget it. Stefen is in paris with more on this. So it looks like its going to go ahead stefen. Absolutely but for the time being alstom denies or declines to comment on the report and will still wait for the decision by the European Commission due by september 11th. Thats the deadline. According to the Financial Times theyre close to a deal with the European Commission and should get a green light very closely. Disapproval would come after they agreed to make some concessions. They didnt say precisely where these concessions but only indicated that they were addressing the concern of the commission while preserving the economic and Strategic Value of the deal. Alstom also made an effort and agreed to lower the amount it will receive from general electric, a discount of 300 Million Euros to reflect the concessions made by ge. General electric agreed to pay 12. 4 billion euros to buy most of the units of alstom. The European Commission decided to launch a full scale investigation at the beginning of the year on concerns that the deal would reduce competition in the market which would eventually lead to higher prices and lower innovation. So basically we are expecting a decision by september 11 at the latest and according to the Financial Times its going to be a yes for the operation. Thank you. Lets take a look at futures here on wednesday, the 2nd day of september after what was a big sell off on wall street. Futures though point to a very different story here. The dow is up 105 points. Nasdaq seeing a gain of 35 points. S p 500 up about 11. The dow back in direction territory. Well see if that changes in todays trade. European stocks in the meantime we are relatively lower but were off session lows so thats Something Interesting to point out. This of course after asian stocks overnight closed in negative territory. We will be back in two minutes. Youre watching Worldwide Exchange. Can a business have a mind . A subconscious. A knack for predicting the future. Reflexes faster than the speed of thought. Can a business have a spirit . Can a business have a soul . Can a business be. Alive . Of fixodent plus adhesives. They help your denture hold strong more like natural teeth. And you can eat even tough food. Fixodent. Strong more like natural teeth. Fixodent and forget it. Youre watching Worldwide Exchange everyone. These are are your headlines from around the world. Shaping up for a rebound. U. S. Futures indicating a move higher for the dow after a sour start in september. Equities give up gains following a mixed session in asia. Another rise in us. Crude stocks says one bear calls for wti to hit 25 per barrel this year. Closing on a deal, reports suggest ge could be about to get the green light from eu regulators for its 14 billion take over. And a judge rules that uber drivers should be treated like employees in a move that could have huge implications in the taxi apps Business Model and the sharing economy. All right. It was the worst start to september in 13 years. The dow falling 400 points in yesterdays trade but the main fear is of an even broader slow down across emerging markets and further his honorty action from the peoples bank of china. Theyre pointing to a higher open ahead of the 9 30 a. M. Open on wall street. Here in europe disappointing pmi data in china. Falling Commodity Prices sending stocks lower on the first day of september. This after they lost on average about 10 in the month of august. We started the day higher but once asia closed lower stocks in europe followed in tandem. The xetra dax down 40 points and the french markets down about 18. Interestingly enough the Morgan Stanley note saying theyre positive on european equities. Theyre expecting a rebound in the near future and italy is their top pick. If you take a look right now, italy is the out performer. A quick look at bonds. We have been seeing some bond buying at 0. 77 . Ten year Treasury Holding on to 2. 15 . Thank you, seema a lot of people watching this morning. Don says hes watching from silicon valley. Nice place to be. Silicon valley. How do you make money in a market like this . This is what investors were telling us earlier. I like the ideaover equity markets selling off and yields increasing in the u. S. And now financing it by selling puts now is a good time to look the other way. Technically as well both the u. S. Ten year and the future are looking like were at potential selling off moments. Korea looks interesting at the moment the market is very cheap. Its always cheap but at the moment we see some interesting names in korea. We like Frontier Markets and weve seen a lot of them suffer in the sell off and one of the reasons is theyre relatively a liquid but we see, for instance, all of that has sold off. Doesnt matter if were a commodity importer or exporter they all sold off so these are the mispricings that we like to take advantage of. Now as we have been saying Morgan Stanley has given the green light for european stocks. The Investment Bank issued the first full house buy signal since january of 2009 and essentially all five indicators of its timing indicators hit by territory. On average, equities rise 23 over the 12 months following a bottoming out. Joining us is chief European Equity strategist at Morgan Stanley in charge of this note. Good to see you. So tell us a little bit more about why it is that these indicators, theyre showing you what theyre showing now and why that signals this buy signal across the board. So these indicators track fundamentals, valuation, risk and ka pitch ycapitulation. So ternin so the earnings trends are still quite solid. So the fundamental indicators are giving us the green light. The Technical Methods that you associate are also now in this good territory. So its telling us that if you can take your time horizon out a little more than a few weeks and go forward into the three to six month period the riskreward now given what weve seen over the last few months is much more attractive than it has been for a little while. How does china and the volatility seen spurred from china, how does that fit into these metrics of fundamentals, risk, and things like that in europe. Thats been the key catalyst to drive the market lower which gives us the positive signal on capitulation and the like. One of the more important things to note is if were on the verge of a large deterioration in the fundamental outlook so china causes severe economic problems elsewhere across dm then this indicator isnt going to work. The technical me tricks wont override the fundamental story if the fundamental story is going to deteriorate cig a significantly. But that isnt the case. So ultimately it gives you the green light. China in some respects from my perspective is the opportunity provided it doesnt cause too severe a damage to the european economy. Where should an investor put money to work here in europe where they are less vulnerable to the volatility and the weakness that were seeing in the chinese economy and the market . At the moment the safest place to look is for those areas of the market that are domestically exposed. So theres a large chunk, about 32 of European Company sales come from china and emerging markets. Mainly emerging markets more than china. That area is off limits at the moment until we see how that was down. For us and where weve been all year and where we continue to be is recommending buying into companies that generate the large majority of their sales and profits from within europe. The economic recovery in europe is still quite immature and we think its reasonably solid. So sectors and stocks that sell into europe we still like the banks. We liked them all year but theyre in europe, generally speaking domestic sector. The risk profile for investing in european banks has come down. They had a good earnings season and were getting Dividend Payments accelerating from banks so we think that sector looks good. At the country level we have been highlighting italy as our key pick for this year. The italian pmis are close to an all time high relative to the rest of the european pmis so a couple of years ago people were bullish on spain and it had its recovery italy is much further behind but if you like its where spain was a couple of years ago so the economic momentum is improving. Earnings revisions for the italian stock market are positive for the first time in five years and valuations are still attractive. Lets talk about central bank policy. The ecb meeting coming up tomorrow. What are you expecting from mario draghi. Some are saying more dovish commentary given developments like the volatility in china. What are you expecting from mr. Draghi and has that factored into your calling european stocks . I dont think its factored in at this point. In our opinion the ecb is in easing mode still and what we expect is to maintain a pretty dovish commentary. We dont think theyre that close to doing anything additional, extending the duration of qe or up sizing it. Theyll continue to just use verbal methods to continue to talk about what they could do if things get worse. So i dont see that as being a big driver of markets on the upside or the down side but its worth bearing in mind while everyone is worried about the fed moving to a rate hike this year that europe and japan are still easing quite aggressively and draghis qe is predicated on inflation. So the more the Commodity Prices fall the more it undershoots the target and the more scope there ultimately is for them to continue with qe. Can i just ask you about the differences seen in European Equity markets now . I look at the german market. Its had a very different performance since the beginning of this year. How do you differentiate between where to buy in europe at the moment. So from our perspective and view its the same as it has been for quite some months. Its the most interesting area for us at the moment. Thats where the most catch up is. They have been struggling over the last few years. Thats where the biggest changes in terms of the economic momentum. So thats where were most focused. Were actually fairly neutral and we have been underweight the euro out like switzerland and particularly the u. K. Where you have the commodity sectors getting dragged down at the moment. We looked into the u. K. And whether theres a con trarn tun opportunity to invest there and theres a distinct look at erngs trend. If you look at emu were seeing very strong positive earnings momentum building there however in the u. K. The earnings momentum is extremely negative. U. K. Earnings will be falling like 13 this year. So until that starts to fade we think its right to stay underweight the u. K. And focus on the euro zone and particularly those and the greater momentum in terms of recovery. Thank you for helping us get ready for the rest of the day today. Chief European Equity strategist at Morgan Stanley. Secretary of state john kerry will send a letter to congress outlining u. S. Security commitments to israel and gulf arab states in the wake of the iran nuclear deal. The letter comes as kerry is set to give a major policy speech in philadelphia today focussing on how the deal makes the u. S. And its allies safer. Puerto ricos Power Authority reaches an agreement on the frame work of a Restructuring Plan for its 9 billion in debt. The two sides faced the midnight tuesday deadline to come to terms. Theyre part of the efforts to restructure the 72 billion worth of debt the government said is unpayable. Stick around. Uber is on the firing line. They face another legal set back and new competition from london and new york city cab drivers. Stay tuned for that full story. Im watson. And today hundreds of companies are putting me to work. Im teaching watson to help your vet speak dog. Youre a dog, right . Im teaching watson to help you make healthy choices. Im teaching watson to help design a vacation around your personality. Dont judge. Im teaching watson to answer endless questions. How big is infinity . Where do babies come from . Why cant i have chocolate for breakfast . Im watson and im ready to work with you. Uber says it has more than a billion drivers working for the company around the world. But theyll have to start paying them more if they lose a major u. S. Lawsuit. A federal judge is granting class action status to a lawsuit filed in california against uber over how its drivers are paid. The ruling increases the number of potential plaintiffs in the suit which claims drivers are incorrectly classified as independent contractors instead of employees. This could put uber on the hunt for more damages if it loses the case. It was seeking class certification on behalf of the 160,000 or so drivers that worked for the company in california since 2009. They say they have been shortchanged on expenses and tips. In a statement to cnbc uber is not surprised by the courts ruling but it is pleased the judge only certified a small portion of the class and one in three people will qualify. Uber says it will almost certainly appeal the decision. And uber is getting new competition. Black cabs are offering up to 60 on rides through the get app which is also used by black car services in new york. 7,000 new york city cabs are testing a new ride hailing app called arrow which is officially launching later this month. It doesnt have search pricing meaning you pay whatever is on the meter. It also partnered with Creative Mobile Technologies which controls the Video Technology and payment systems. Back over to you. Thank you so much. Have a great day. Now the Video Streaming Service netflix launches in japan today marking the first step into its expansion into asia. Theyre working with tv broadcasters to produce original local content. Netflix is planning to launch in every significant Global Market including china and india by the end of next year. Amazon is trying to one up netflix. Theyre downloading select tv shows to their ipads and Android Devices to watch off line whenever they want. Titles include hunger games catching fire and original shows such as transparent. Cbs will be Live Streaming some regular seasons of nfl games for the first time. Thats fantastic news. The action start with the october 4th match up between the new york jets and the Miami Dolphins in london. The afternoon thanksgiving game between the Carolina Panthers and the Dallas Cowboys will also be streamed. Cbs in trade slightly lower. Lets stick with sports. The new England Patriots met with delighted fans at their premiere party in foxboro last night and tom brady was there straight from his Court Appearance on monday. When asked how hes been since winning the super bowl brady responded sarcastically saying its been such an enjoyable off season. He played worse with the deflating balls, i think. I dont know. More is better. I think, yeah. Some of the male guests that have been in here talked about it. So controversial. Before we head into break, these are the headlines. U. S. Futures indicate a triple move higher for the dow after the worst start for stocks since 2009. European equities you would have seen giving up early gains. They traded in the red after a choppy session in asia and oil still trading below 50 per barrel. Youre watching Worldwide Exchange. Well be right back. Welcome back. It was another mixed morning for markets. 3,155. Lets get the full story from sri that joins us live from singapo singapore. Another volatile but quite subdued session for equities in our region. Let me just highlight the action in china markets. Shanghai composite came off the worst levels off the day. Flat at the close. 3,155 but again you had the opposing forces. You have the reports that the brokerages continued to put some fresh capital and fresh buying and support officially sanctioned into the market and that was continuing. So very very mixed signals regards to beijings response to the capital markets. Nikkei 225, bargain hunting. The index heavyweights were in demand but we settled lower at the close. It will be interesting to see whether that closes volatility or takes a major pillar out of the market. Here in europe, our European Equity markets were flat. We reversed the slight gains to trade negative and now were just a little bit bright again. Now were a little bit in positive territory again. Apple had the biggest impact on the nasdaqs drop in yesterdays session followed by microsoft, amazon, google, the iphone maker slumping 4. 5 . All of those stocks called to open higher in premarket trade today. So reversal. Andrew is the managing director and head of institutional portfolio strategy and he joins us. Good to have you with us and thanks for getting up early. What type of a session reanare anticipating and to we buy back into the sold offs from yesterday. Were in this bottoming process after the big sell off about a week ago thats going to take time. Thats probably measured in the 3 to 6 week territory but well see them bounce back and forth. Were going to get the beige book. We had a little bit of a slowing yesterday and we want to see if thats an underlying trend. But we know in the month of august data in september it tends to be seasonably weaker and revised higher eventually. You have to take that with a grain of salt but overall i continue to expent the markets are grind their way higher but still on a volatile session and the Tech Leadership stocks we like those areas. Leading before the big decline a week or two ago will be your leadership coming out of this as well. Whats the impact on corporate earnings . Could we see this market turbulence Impact Business sentiment and Capital Expenditure . Yeah, i think thats what well see in the feds beige book today is the signs of the slow down the markets are starting to hit some of the business side of things. The export orders arent too slow which arent too surprising but we think the economic momentum still looks solid in here but that would be the knock on effect is if we start to see that drag. But in terms of earnings revisions we continue to grind lower. Were still away from earnings season which wont kick off another four or five weeks but thats where were seeing the earnings estimates come down. Lets get to some of your calls as well. What are you looking at at the moment . Our three favorite sectors would be health care by far. We consider that to be a growth area. Theres not too much growth out there so earnings are still healthy in Health Care Consumer discretionary is another area that we like. Generally help consumers overall and financials are the other big sector that we like. Rates will be moving lowly overtime and its a good underlining signs. So Companies Like bank of america we just saw, apple for example, some of the companies that you mentioned . Yeah, some of the large cap names. So you want to be more large cap over small cap to mitigate some of the volatility and generally were looking for more doestic exposure too when were looking at sector preferences. Lastly, lower oil prices, a bearish indicator for u. S. Stocks . I dont think so. Over longer periods of time delining commodities are pretty good for u. S. Stocks so in the shortterm thats a risk on risk off indicator but longer term its actually more of a positive and i think thats because its more of a consumer economy in the u. S. Were looking at Oil Prices Lower right now. Thank you for joining us here on Worldwide Exchange. And that does it for us here on Worldwide Exchange. Thank you for joining us on this big market day. Im seema mody. Im louisa. Well be back tomorrow with more. Tune into closing bell later on this evening and this afternoon. Squawk box is next. See you soon. See you tomorrow. No students ever been the king of the campus on day one. But youre armed with a roomy new jansport backpack, a powerful new dell 2in1 laptop, and durable new stellar notebooks, so youre walking the halls with varsity level swagger. Thats what we call that new gear feeling. You left this on the bus. Get it at the place with the experts to get you the right gear. Office depot officemax. Gear up for school. Good morning, u. S. Futures rebounding after yesterday 469 point drop on the dow and europe is in the red. Crudes trip to nowhere after mondays surge, giving it all back. The price of barrel is falling again and are you ready for Live Streaming football . Cbs opens up the nfl play book with big new plans. It is wednesday, september 2nd, 2015 and squawk box begins right now. Live from new york where business never sleeps, this is squawk box. Good morning, everybody. Welcome to squawk box here on cnbc. Im becky quick. Joe and andrew are off today. We start things off with the turbulent markets. Lets get right to the u. S. Futures this morning. Yesterday you had the decline of 470 points. You can see this morning theres a rebound when looking at the futures but not enough to make up what we saw yesterday on the downside. S p futures look like they would open up by about 17 points here and the nasdaq up by close to 45. The dow and s p 500 had their worst first day of trading of the month since march of 2009. That 470 point drop was the third worst decline of the year for the dow. The others took place in the last 8 session ifs that tells you about the volatility. On august 21st