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Now. Good morning and welcome to World Wide Exchange on cnbc. Im sara eisen alongside don chew. Lets check on the Global Market this is morning. Breaking the nasdaq winning streak we saw some raem declines yesterday in u. S. Stocks and looks like the selling continues this morning sort of in a marginal way. Dow futures down 20, s p down 3. Nasdaq down nine. Wall street cover story leads with a earnings report. Big Companies Like mcdonalds and starbucks. Whats interesting again were talking about a market thats been down like you said seven straight days. We havent seen any pri siptous drop. Were not seeing any kind of panic. Slow and steady. Decline for stocks in the u. S. As for the 10year treasury note yield weve seenle it around the world starting in japan the last 24 hours or so continuing into the u. S. , 1. 53. Some selling pushing yields higher. See how we go. Big government jobs report on friday. Absolutely. At least with the european side of things, the germ dax off t. The cac in france off half a percent. The ftse 100. The ftse mib in italy up by a quarter of a percent. Little bit of strength in the banks kribtding to that. Ibex in spain off by about. 10 of a percent as well. As for whats happening in asia in overnight session you can see there. The nikkei in japan off by nearly 2 . The shen zen composite, Mainland China ones up fractionally in this trade. Japanese stock market you can explain with the move higher. Lets show you the broader markets asset check here. Oil has been a Pressure Point for the markets lately and there we are, below 40 a barrel on crude. Even though were higher this morning, were still stuck here at 39. 75. Remember yesterday when we talked about we saw strength in energy on this show yesterday morning and we saw it didnt last. Well see if it lasts today as well. People have been saying its because of the strong dollar. Dxy is a broader look at the dollar against Major Trading partners including the euro heavily in there. Its at a sixweek low. It has been declining. Theres the euro. Its strengthening a bit against the euro this morning. Strengthening against the yen this morning. Thats a little better field what we saw yesterday. The dollar is also strengthening against the british pound. Coming up, but off of low levels. Gold has been on the other side of the dollar trade. Higher in the last few sessions coming off by about two bucks. Breaking overnight, another executive joining the antitrump list, meg whitman throwing her support by Hillary Clinton. Whitman ran for governor of california in 2010 as a republican urging other republicans to reject trump who she says is, quote, unquote, reckless and uninformed on critical issues. She rals added trump has exploitexploit anger, grievance, xenophobia, including trump refusing to endorse paul ray yan in the gop primary and our own john harwood reporting on strange relations inside of the donald trump camp. That brings us to our twitter question of the day. We want to hear from you on this. Long time republican now backing clinton, so which candidate will be better for business, donald trump who is a businessman himself or Hillary Clinton . Weigh in and well bring you the results later in the show. Not to ruin things, but Hillary Clinton has a pretty sizable lead in the early going. Well say that so go in, go to facebook, go to twitter. Vote. Let us know what you think. Right now it seems as though donald trump is falling behind in the early parts of our very unscientific poll. The only thing i would point out on the meg whitman story, potentially not a surprise. She came out several months ago calling donald trump a demagogue. In the New York Times piece that says shes backing her, it does say clinton specifically courted her, went after her, made a phone call. You have to wonder who else Hillary Clinton is going after. Any prominent republicans using the trump opportunity that could be a story. Absolutely. How much times have we reported on this idea that Silicon Valley executives generally speaking many Silicon Valley execs comes out on the side of Hillary Clinton. Well see if anybody can sway that particular scale. Absolutely. On economic frontings news to tell you about here, atlanta fed president Dennis Lockhart saying he will not rule out an increase. Speaking exclusively with the closing bell. At this point, i dont rule out a rate increase at the next mee meeting or later in the year. Well have to wait and see how the data come in. The situation is maybe a little bit ambiguous, but i think i can imagine conditions in which we could have a rate hike. He added he would like to see Stronger Economic conditions. That would justify an increase. Hes not a Voting Member on the fed this year, but he is inside the meetings and inside the discussions. It gives you another sense and flavor that the fed is going data independent. You have at the new york fed saying things should be live going forward. You have lockhart saying the same kind of thing. Market doesnt believe them. Look at the dollar. You get the idea the policymakers are saying this to convey some resemblance of it. Keeps their option there. And then they can say you cant say we didnt warn you. It will be data. Well watch the jo cbs report. Speaking of those agenda type items lets move to todays wall street agenda. On the of earnings coming up here. The july report like sar have a said out. Forecast call for increase of 178,000 in private payrolls. 10 00 a. M. Eastern we get the ism Services Index. As for the earnings things, time warner, color rocks. 21st century fox and square and tesla as well. What would you say is your read on earnings. Pmg came out with a better number. Still you dont get a picture of a robust economy, but the consumer is okay. The consumer is okay right now. The interesting part about the earnings picture is we are going to see. We will still see a decline. How much of that is energy. A huge mart is energy. Energy makes up only 7 of the s p 500, but when youve got declines of 70, 80, 90 on earnings for a year over year basis you have to wonder whether this is potentially the bottom. Oil prices have a lot to do with that story. Absolutely. Speaking of earnings, tesla has dealt with a number of bad headlines from an information into a fatal crash to criticism over the proposed merger this week with similar city. Will the firms after the bell release help stem the negative tift. Landon dowdy joins us with three thoings watch in tesla. Drive in results of 1. 6 billion in revenue and a loss of 52 cent as share. Beyond the numbers here are three thoings watings to watch. Musk has raised cash. Spent a lot of money on the factory that makes battery and auto maker continue to dip into reserves. Second the new deal tesla as you mentioned announcing plans to buy solar city. The benefits of the merger have been questioned by investors. Shares are down 5 this year. Investors are sure to ask more details on that. The third thing to watch, deliveries and orders. May update the reservations it has if for model three sedan. Also releent lowered the price to hike sales. Well see if that pays off. Master plan part two for elon musk. Are they going to talk about anything with regard to furthering that particular story line . We know the idea he wants to bring together solar city and tesla. Everything under one banner. We did see him pull back the curtain on that master plan. The key points hes not giving up on autonomous cars. He does see am future of owners lending the cars when theyre noot being used and new vehicle small suvs. Even a bus. He never fails to disappoint. One of the biggest personalities in the world of business. Thanks landon. Thats on tesla. Other stocks to watch today. We have kor vos First Quarter results. Qorvo. Fell short of expectations. Off 8 in early trading. Fitbit Second Quarter profit fell as well. Revenue surged. Beat forecast on demand, stronger demand for the wearable Device Market they have. Those products the alta and the blaze accounted for more than half the sales for fitbit. Shares up. Aig. The insurance policier also expanding the tok Buyback Program by another 3 billion. Aig peter han dock will be on squawk on the street. An interview you dont want to miss. More stocks to watch earnings related here. Electronic arts reporting a surprise First Quarter profit. However this companys revenue forecast is slightly below forecast and that weighed on the stock. Etsy reporting a wider Second Quarter loss due to currency headwinds, but revenue rose beating forecasts and the company raising the full year salesout look. Look at the chart after that big move earlier this week. Another 5 move on earnings. Haines brands Second Quarter results missing estimates for inner wear or underwear and active wear divisions. The company is cutting the full year outlook. Inner wear, thats the buzz these days. Hanesbrand. B b our own reporting that despite preliminary expressions of a deal, aller again is unlikely to pursue a deal for bio gen. Those sales off. That would be a big deal. Do we have any sense of how many billions . Again, this is a youre only talking about a company in the size of merck or aller again that can absorb a deal like that. Probably one of the biggest. Yes. A round up of three financial names, falling results overnight. Tell you the details next. Before taking his team to state for the first time. Gilman go get it, marcus. Go get it. Coach gilman used his cash rewards credit card from bank of america to earn 1 cash back everywhere, every time. At places like the batting cages. [ crowd cheers ] 2 back at Grocery Stores and now at wholesale clubs. And 3 back on gas. Which helped him give his players something extra. The cash rewards credit card from bank of america. More cash back for the things you buy most. The cash rewards credit card from bank of america. Your Business Needs Better Technology to drive better performance. So you need it to be reliable and fast. Really fast. Introducing the comcast business Summer Savings event. Fast Internet Speed to drive performance, plus cutting edge wifi for your employees and customers, and voice mobility so your calls find you wherever you are. Get some of our most advanced products at a great price with over 500 in savings. Call today and ask how to get these savings plus a 250 prepaid card. Comcast business. Built for business. U. S. Equity futures red across the board. Not by a lot. We do see dow futures off by a quarter of a percent. Indicated to open down 40 points. Is s p 5. 25 points. The nasdaq off a similar amount as well about 14 points for the nasdaq futures. Now on to oil, big topic of conversation these days. We are seeing a bit of strength. Wti crowd 39. Present crude 42. 10 the last trade there up. Gasoline off within the 25 of one . Action in stocks and europe. Hsbc profit sliding by nearly 30 in the first half. Hit by slowing growth in the home markets. Results matching expectations the Bank Announce plans to buyback 2. 5 billion in shares. That helped the stock jump. Speaking of european banks. Socgen again fitting from the sales in see have a europe. Still lower trading revenue. 25 on share. Its on the basis that we calculate the dividend for at least a significant thing positive thing behind us. Second half the environment might remain uncertain as we know, there are some particular areas. As identify said, i think it will be pursued. Im positive in the quality of our assets. The cost should remain low. All in all i remain positive for the second half. And investors are positive today. Shares up almost 4 . So some of those european banks getting a boost today. Lets stick on the banking theme in europe here. Ing net quarter profits soared. Able to keep margins relatively stable this despite record low Interest Rates, something the cfo discussed earlier this morning on cnbc. I think low rates is not stimulating demand and could well become counterprukive. The signs of that emerging of being a counter productive measure are growing. We can see shares trading higher up by about 1. 5 in early trading. Coming up on World Wide Exchange, donald trump is refusing to endorse House Speaker paul ryan and the rnc chairman. Interesting move here with donald trump and reince priebus. Good morning, weve got another busy weather day today with thunder storms a possible Severe Weather back in the mix. A potent system crossing here. Today it will be north dakota, overnight into minnesota and track it into wisconsin tomorrow. Thats going to bring the storms into the afternoon. All good feature really big rain. We saw that yesterday in marts of florida. Could again today. Saw it in phoenix arizona, interstate 17 flooded and shut down because of the big rain. That could happen again today with the potential for heavy rain. In the spots where the ground is saturated will will be concerned about flooding. We heat up in denver going to 95 and back to upper 80s in chicago. Really nice in the northeast. Thats the weather channel, World Wide Exchange continues after this. Welcome back to World Wide Exchange. The republican nominee donald trump is now saying he wont endorse House Speaker paul ryan or mccain. Tracie potts joins us with that story. This just highlights some of the fractures were seeing perhaps within the Republican Party, right. Reporter right. It comes just two weeks after republicans wrapped up a convention where they were all about unity. Right now we have Top Republicans not supporting each other and even money that traditionally went to republicans now going to the other side. I think you probably know me well enough. Hewlettpackard executive tells the New York Times shell give six figures to help Hillary Clinton. She calls donald trump a demagogue. Its a crooked system. Its a rigged system. Reporter trump is refusing to back House Speaker paul ryan for reelection. Exactly what ryan initially said about trump. But trump is not supporting john mccain either. He calls New Hampshire a weak leader. President obama calls trump unfit and challenging republicans to unendorse. If you are rel pepeatedly ha to say in very strong terms that what he has said is unsusceptible, why are you still endorsing him . Hes woefully unprepared to do this job. I think barack obama knows something about being woefully unprepared. Reporter analysts doubt people will walk away from trump. Florida is really, really important to us. Reporter tim kaine hit florida tuesday. Trump is there today. In another battleground state we have Hillary Clinton and mike pence doing different events obviously, but in the same city today. Both in denver. Another battleground state. Only about two miles apart. Tracie potts in washington. Thank you. Aside from trumps wobbly relationships, hes also have trobs within the campaign. Speaking to a long time ally of Paul Manafort has lost control over trump and no longer challenging him specifically. He wrote that mthe republican nominee criticizing the parents of a fallen soldier and has failed to endorse House Speaker paul ryan. So after harwood twreeted the results. A Campaign Spokesman fired back, Paul Manafort is erroneous. We just finished off strongest month of fund raising too date. On twitter quote, theres great unity in my campaign perhaps greater than ever before. I want to thank everyone for your tremendous support. Clearly this is a sensitive spot and theyre responding to harwo harwoods reporting they cant control their own candidate. The fact donald trump has now responded to this, this is just the latest i guess, you can put it, in a series of battle back type tweets or battle back type statements that donald trump has had given whats been happening since the Republican National convention, and, of course, what happened with the kahn statemenstatemen statements during the Democratic National convention. Whether we do sigh aee unified comie ing within the camp. Theyre all coming out and defending their campaign the question is what will the fundraising numbers look like in july. July and into august has started out with a series of scandal. Comie ing up this morning, a cnbc exclusive with j. P. Morgans consumer and Community Banking business. The company has more relationships with the u. S. Households than any other Financial Services provider. Its a big a interview. Stay tuned. Youre watching cnbc first in business worldwide. Thats also true of a good car company. People have always bought cars. But we saw an opportunity in sharing cars. So we moved fast and launched car2go in 29 cities, all around the world. Doing that required dozens of data centers, designed for speed and performance. We built our business on the ibm cloud. Because thats what the ibm cloud is built for. But the best place to start is in the forest. Kubo i spy something beginning with. S beetle snow. Kubo no. Beetle snow covered trees. Monkey nothing to do with snow. Narrator head outside to discover incredible animals and beautiful plants that come together to create an unforgettable adventure. Kubo wow narrator so grab your loved ones monkey dont even. Narrator and explore a world of possibilities. Kubo come on, this way. Narrator visit discovertheforest. Org to find the closest forest or park to you. Good morning. Markets now, futures under pressure following a sevenday losing streak for the dow. Snooeb exclusive. Speaks out the company has more relationships with u. S. Households than any other financial certifies provider. Big story there. Plus, bit coin in trouble. The currency plunging after hackers steel millions. Its wednesday august 3, 2016 and youre watching World Wide Exchange cnbc. Good morning and welcome back to World Wide Exchange. Im sara eisen. Lets get a look at whats happening. You have the futures here down across the posttraumatic stress disorder across the board. We do see futures down. S p off 2 points and the nasdaq off six to seven points thchlt is falling on the heels of the dow sevenday losing sfreek. Taking the qs from europe. Seeing a little bit of a mixed picture there modestly to the downside. The germ dax taking a small peek. The cac in france off by a quarter of 1 . The ftse 100 in the uk off by. 10. The ftse mib in italy up. 75 . As nor asia, we did see a mixed picture there. If you take a look at the Chinese Markets the shanghai composite up by quarter of 1 . As one the shang zen composite. However as you keep pointing out a yen a huge part of the story. The nikkei in japan that benchmark stock index off 2 . They hate the stronger yen surged 1. 5 . As for the broader markets you want to know why the mood has changed. Wti crude is back below 40 a barrel. Oil has been steadily falling. Stocks held up, now we break below 40 a barrel. It is stronger this morning. Still holding below 40. Brent the International Benchmark above 42. 06. 10year treasury note yield. Into heavy three days of data. Well get a read on services this morning. Also on the private Sector Employment ahead of the big jobs report on friday. The 10year treasury yield at 1. 53. Barely moving. The dollar a big story. A sixweek low. Its been losing ground. G jim cramer, writing in it is still plaguing corporate america. He was on the calls of Royal Caribbean which got hammered yesterday down 6 . P ng put out a pretty conservative outlook and disappointed a lot of people. Both dominant themes. The strong dlarp weve seen over the last year, two years. It hurts corporate america. This weaker dollar here. Procter and gamble among the slew of companies in the u. S. With a huge amount of business overseas that always mention the dollar in the earnings reports and about the headwinds they could see on the revenue side of things. So youre back to this place where weaker oil, stronger dollar, some of the Macro Economic concerns in the u. S. After that weaker gdp report. Its a familiar place weve been in the recovery, but potentially weighing on the market here. Right. Take a look at whats happening with the day ahead now. On todays agenda overall youve got the july employment report. Forecast called there for an increase in private payrolls at 10 00 a. M. Eastern. Were going to get the july Services Index a big read in the economy side of things as well. On the earnings calendar, time warner clorox reporting before the opening bell today. After the close we get 21 century fox, scare square, tesla, the big one to watch after the closing bell today. Some stocks to watch today. Hanesbrands under pressure as results miss the margin. Lowering full year earnings guidance. Shares down 5 after hours. Verisk an littics. Increasing stock Buyback Program by 3 billion. On that note, dont miss squawk on the street later this morning. That is just after the hoping bell. Peter hancock on squawk on the street. A must watch interview there. Some other stocks to watch, tableau falling short. Shares still down in extended hour trading. Off 1. 5 . Rio tin toe topping estimates. The rl global miner announcing a higher than expected dividend. Rio tin toe shares relatively flat. Fitbit topping demands for strong wearable devices they have. Sharing rising 7 . Relatively sharply in the news. They have seen their share of weakness. It has been a big mover in both directions. Now to financials. We have a cnbc exclusive this morning with j. P. Morgan consumer and Community Banking ceo. Heres wilfred with gordon smith. Reporter gordon, great to have you with us. Thank you. Lets get into your area of experti expertise. The last set of results blow out growth. Are you taking more risks than normal. Not really. Were operating completely within our prescribed credit range, but the economy, im just much more optimistic about the economy than some of the rhetoric you hear. Home values are progressively improving across the country which is really a positive for the consumer. As we look across the various income segments you see employments improving. Its a much more positive picture than you would typically get if you listened to the tv. To cnbc every day. If we look across the whole year, has that been true throughout because theres been big macro concerns. Has the consumer flickered in line with those or does it plow on regardless. Actually if we go back into the first half of last year, weve seen a very steady gradual improvement in the consumer. And yes the Events People are bay ware of them, but if youve got strong job growth and home values improving, that tends to be the biggest driver of Consumer Sentiment here. If we talk about low Interest Rates, we know low Interest Rates are not ideal for the banks bottom line if you outline its not in fact that bad because the volume shoots up even if the pricing doesnt. In a way we try to think about this is we cant impact rates. And almost everyone who trying to predict where rates are going has been wrong over the last number of years. I would say everyone. So what we tried to do is just really focus on the strategy of being the best bank for customers to do business with. Focus on the customer experience. And you can see that in all of our metrics. When we look at retention levels of customers, theyre the best weve ever seen since we began measuring them a decade and half ago. How many branches have you gotten today across the country. Today were about 5400, plus or minus, very hard to say where well be in ten years. Its something we monitor closely. We tell people we have 154 branches because its what our customers want. We have fabulous people. Youll meet some of them here over the course of the afternoon. Amazing people serving our customers. 98 of checking accounts are open in Bank Branches today. A bigger question about the way your part of the business fits in. Mr. Dimon is very clear about the benefits of being a big bank. I can see the links. Corporate clients. If necessary the consumer part of the business would operate fine on its own, would it not . The chase part particularly. We reconstructed the environment. If we look at where weve been over the last eight or ten years. The configuration we have served us extremely well during the worst economic downturn in three generations and here we are in a much better economy and the model we have is working extremely well. The relationships that we have with the Asset Management business and the commercial bank, all of which you see is is that his Harley Davidson i hear starting up behind me. If we look at the relationship of their customers and their transactions in the branches its a very powerful energy. Thank you for joining us. Shares of j. P. Morgan down 7 over the last year, but up 4 in the last month. Time for the top trending stories of the morning. Instagram now taking on snapchat. Did you see this . The social platform rolling out a stories feature like snapchat stories. Instagram stories will allow users to string together mul multiple videos. After 24 houshsz the story disappear sgls sounds so familiar. Wonder where that came from. Certainly a snapchat feature. Youre a snapper. Youre a snapchater. Im ls an instagramer. So instagram photos are ones that are meant to the last in time. Theyre great. You cant criticize them that much. You produce your instagram photos very well. Theyre always very well staged. Its for commentary. Snapchat is just whatever. It disappeared. So instagram is using did 100 of millions of users to try to tap into that. You are a social media queen. Im trying. Sticking on that theme, look at this one, italian prime Minster Matteo Renzi who julia just spoke to is taking to twitter against turkish parking light erdogan, coming after lashing out at the Justice System for targeting his son. Calling the italian judges to focus the attention on the mafia there instead. Erdogan saying the issue with his son could tarnish italy and turkeys relationship, but then renzi shooting back in twitter in italian saying in this country, judges respond to laws and the italian constitution, not to the turkish president. Its called the rule of law. So an interesting battle on social media over whats happening with italy and tuturk its not just leaders in this can country. Bit coin plunging after being hacked. Hackers stealing more than 119 bit coins. Thats worth 172 million doll s dollars. Announcing the breach and freezing all customers counts yesterday. Reacted and slid 26 thats a to month low for bit coin continues to get plagued by hacking its electronic digital currency. The backers would say is part of the growing pains. This is what happens. Its part of the deal when you move into something so transformation that will. Its a krip toe computerized currency. Obviously hacking is going be a part of the story. Coming up, todays must reads. First as we head to break, check out whats happening with european trading. Thats the picture you can see right there. We are seeing a little bit of red across the board in europe. Well see if it stays that way. Stay tuned, youre watching cnbc first in business worldwide. You wont see these folks at the post office. They have businesses to run. They have passions to pursue. How do they avoid trips to the post office . Stamps. Com mail letters, ship packages, all the services of the post office right on your computer. Get a 4 week trial, plus 100 in extras including postage and a digital scale. Go to stamps. Com tv and never go to the post office again. Welcome back to World Wide Exchange. Now to this mornings must read stories. My pick in the wall street journal. Too many politicians tried to hide the problem. Writing, incredibly neertd candidate from the major parties is addressing the nations staggering debt. The looming crisis hangs over my evaluation of every other problem america must confront. Thought it was interesting he took to the journal to write this. He didnt endorse any candidate. Didnt propose any solution. I think it speaks to the larger problem in the Republican Party right now is a lot of their traditional adeals and debt is among them. The conservative principles they stand for is getting lost. Economic conservatism is something we havent heard a lot about. Theyre so busy trying to fight with each other on hot bottomen issues that perhaps one of the issues you dont talk about is the economy. Its interesting. Debt is not os terrety is not in right now. Its all infrastructure. They just passed it in japan. Look what happened in japan. I was going to say. Its a huge deal. Economic story we may see play out more as the president ial debate starts to kick off this fall. Huge one to watch. Speaking about that political side of the equation, i went to facebook, yes, facebook for my must read. It comes from hewlettpackard ceo megawit man who is throwing her support behind Hillary Clinton. Ran for governor of california in 2010 as a republican is urging other republicans to reject donald trump. Meg whitman writing here on facebook to vote republican out of Party Loyalty alone would be to endorse a candidacy i believe has exploited anger, grievance, sen phobia, racial division. This has always been a point of contention for many moderate republicans, sara, about whether or not they want to support either candidate. We know the coke brothers are not supporting either candidate. That i have said so during their big retreat the past week. Again the political story in the economic one is going to intertwine a lot more i think as we approach those debates in the fall. Its good you picked that specifically after the johnson one because a lot of these republican lawmakers are not going as far as meg whitman to back Hillary Clinton for that line because they just want to go for the Republican Party and they want anyone except for Hillary Clinton. It will be interesting to see if any of the lay mawmakers start follow Hillary Clinton. He called on republicans not to endorse trump if theyre going to call him out for certain behaviors. What i find intriguing is the idea when we talk about business people. Many people who appear on our air, billionaire business people, were talking like the karl icons of the world. They are backing donald trump. Yes. So as much as we talk about this idea that Business Leaders like meg whitman are supporting Hillary Clinton, there are those out there, Business Leaders, people who have made a lot of money and built up a lot of businesses who said donald trump is the right person for the job. Peter thiel smoke. Correct. Harold ham, continental resources. He does have business members on his side. Thats going to be a huge point that plays out as we again talk about this idea that polling is going to get contested as we approach what happens in septd when the election debates kick off. With them oneonone with each other. Then you start to see whether we have Business Leaders or economic thought leaders. We need a debate on the economy. We do. Absolutely right. That brings us to our twitter and facebook question. Which candidate is better for business. Weigh in and well bring you the results later in the show. When we come back t dow and ts dropping to lows. First as we head to break, check out the price of oil this morning. This has been a pain point and while wti is higher this morning and almost 1 higher, its still trading below 40 a barrel. Stay tuned youre watching cnbc first in business worldwide. And 3 back on gas. Which helped him give his players something extra. The cash rewards credit card from bank of america. More cash back for the things you buy most. The cash rewards credit card from bank of america. Hey, honey . Yes, dear . Youre washing that bakedon alfredo by hand, right . loudly yes, dear. Dish issues . Cascade platinum powers through. Your toughest stuckon food. So let your dishwasher be the dishwasher. This turned out great. Cascade. Welcome back to World Wide Exchange. The dow now down for seven straight days. The longest losing streak in a year and extending those losses in the premarket action. It is worth noting the index is down 1. 4 during that 7 day period thachlt is the smallest decline in 75 years. Joining frus boston is director of global macro infidelity investments. How do you explain this losing streak . Its not major in terms of the selloff, but it is lasting a long time. Seven days may be a long time for a trader, but the typical investors, seven days is not a long time. The market broke out so right after brexit, the market fell. It fell less than people thought and then it turned around which nobody really expected and then before we knew it. We were at finally at new alltime highs above that 31. 20 level on the s p. We went all it will way to 21. 75 which is a 40 point rally thachlt was a stealthy rally as well. Now were giving some back. Typically when a market breaks out, it will retest the breakout point which will be 21. 30. It doesnt surprise me that were kind of giving back some here. I think the true test will be what happens when we get back down, if we get back down towards that 21, 30, 35 area. Cross asset price moves are something you watch constantly. Sara and i kind of tagged and really hit the idea we are seeing weakness both in stocks and in bonds at the same time rising treasury yielding, falling stock prices, but none of it is out there in a panictype situation. How do you read that . What is to say about kbloebl marke markets . Is this a repricing . Well, thats a great question. Thats really the thing that sort of im looking at right now in that when the stock market broke out, it was on falling yields, the 10year treasury went to 1. 32 or so. Those types of extremes creates a rating in equities. If you look at valuationuati, t earnings side is important of that. Interest rate side, if Interest Rates gone down to these types of levels, it is sort of no alternative scenario and so equities were pushed higher on lower rates and now theyre coming down on slightly higher rates, although again i should emphasis a move in the 10year treasury from 1. 3 to 1. 5 after an enormous decline maybe no more than just trading notice. Can you add in whats going on with oil and the dollar to some of those cross asset moves and the breakdown of correlations here now with oil back below 40 a barrel and the dollar index as a sixweek low. So the move in oil is very interesting. I think its mostly technical, but oil has gone down from 51 to briefly 39 yesterday. And without any confirmation from, lets say, credit spreads in energy highyield bonds or even the Energy Equities or Oil Volatility or the oil forward strip so it is kind of an odd duck here and as we know, the Oil Producers in the u. S. Need about 50 a barrel to break even and so we briefly went to 50 and now were at 40. Below 35 and im thinking were going there, but below 35 i think fears of credit events start to reemerge so the move down in oil is scaring a few people, but so nar it seems to be more technical than anything. Just a couple of seconds left here. In your opinion, whats the biggest factor affecting markets right now. Just a couple of seconds here. The key thing is the Second Derivative or rate of change in Earnings Growth seems to be bottoming. So q the is becoming a pivotal earnings season. The rate of growth against q1 is higher. Were starting to make higher lows. The growth rate for q2 has just flipped positive as of last week so plus 1 . So theres a green statuchute hn the earnings side. Thank you so much for joining us this morning. Always good to see you from position with on the this morning. Now to the results of facebook and twitter question. So far 61 of you say Hillary Clinton. Interesting. Well see how the votes play out. Thats it for World Wide Exchange. Squawk box is coming up next. Keep it right here on cnbc. Thank you randall. Every stitch and seam of your Home Insurance, tailored to fit you and your budget. With unique features, like claim free rewards. Ohh customized Home Protection extra features all at an affordable price im going to live in this. In means getting more from your Home Insurance with an expert allstate agent. Its good to be in, good hands. Your Business Needs Better Technology to drive better performance. So you need it to be reliable and fast. Really fast. Introducing the comcast business Summer Savings event. Fast Internet Speed to drive performance, plus cutting edge wifi for your employees and customers, and voice mobility so your calls find you wherever you are. Get some of our most advanced products at a great price with over 500 in savings. Call today and ask how to get these savings plus a 250 prepaid card. Comcast business. Built for business. Wti at 40 per barrel and the dough on a losing streak. They may be connected, but the report may be a game changer. Well see. Bit coin heist. The price of bit coin plummeting after hackers stole the currency. High profile republican Business Leader ejecting donald trump and backing Hillary Clinton. Its wednesday, august 3, 2016. Squawk box begins right now. Good morning everybody. Welcome to squawk box right here on cnbc. Im becky along with andrew or is ksocceren and scott. Down to about their threeweek lows. The dow was down for a seventh day in a row and that is the longest losing streak in a year, but to keep things in perspective, it was down 1. 4 over that period of time. Thats the smallest decline in a losing streak. The red arrows are modest declines. Down less than 13 points. S p down by dtwo. The nikkei was down 1. 8 and the hang sang was down 1. 25. Shanghai managed to close

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