Good morning, happy monday and welcome to world wild exchange. Im sara eisen sitting alongside don chu in for wilfred frost. We have a big story today. Huge deal in media and telecom. At t buying time warner for 107. 50 a share. Half in cash, half in stock. The total price tag equals more than 85 billion. Well have a lot on this story all hour long. But first, well check in on the broader markets after you can see time warner shares up almost 3 . A big pop already coming on the back of reports that this deal was in the works. At t the acquired shares down about 3 at this early hour. You can probably imagine that this merger is probably given a little bit of fuel for the bullish side of the market. If you look at equity futures right now, you can kind of see that story playing out as well. If you look at the dow, we are going to be up by 80 83 points at this point, thats the indicated point for u. S. Futures. The s p up by ten points and the nasdaq up by 26. And a little of that probably has to do with the idea that the markets are optimistic given the fact that the merger environment is still healthy. Moving on to the bigger macro picture, check out the tenyear note yield. Were seeing movement there. 1. 72 to 1. 73 . The tenyear trade deal, as we talk about the set up for markets, we are still hovering near record highs for the overall stock market. Treasuries have moved higher in terms of year, lower in terms of prices over the past couple of weeks, but again, a big corporate story could be just the catalyst we need in this. Mega merger news coming out soon. Thats going to be the story. Coming off the stocks breaking a twoweek losing streak, even though the gains were marginal. Well check in on the early trade in europe right now. Also seeing positivity on the back of specific earnings movers. The earnings stoxx 600 is showing royal phillips urging. The german dax is up. 80 . As for another notable bright spot, spains stock market is up 1. 25. But strong on the screen. Look at how the major averages fared in asia. Real strength in the shanghai comp up 1. 2 on hopes of fiscal building and making a way for chatter in the markets sending stocks higher. In hong kong, stocks are finishing higher by 1 reopening after being closed early for the typhoon on friday. So that is good news there. And as for japan, stocks finishing higher by. 30 . Lets go to the broader macro picture. If you look at what is happening in the market, the wti crude is hovering above the 50 market. 50. 88 is the last trade there. Well see if theres movement today. Ice brent crude futures, the worldwide benchmark, 51. 90, up a quarter of 1 . As for the dollar, always playing the commodity story as well, we are seeing a little bit of a mixed picture here. A weakness against the euro, 1. 0892. The dollar yen, 103. 88. A little in Dollar Strength there. And dollar weakness against the pound, 1. 2240 it will cost you to buy a british pound. We talk about the dollar and oil, we have to talk about gold as well. Those prices are moving a bit here as well. Gold just about flat, 1267 an ounce in this particular market. Gained about a percent or so back last week. Now to todays top corporate story, at t buyer time warner for 107. 50 a share. It will make it the biggest deal this year. If approved, this would give the giant control of hbo, cnn, tnt, the Warner Brothers film studio and other assets. At t bought directv last year for 48. 5 billion. The new deal is widely expected to receive intense scrutiny by antitrust regulators. Joining me on the cnbc newsline is matthew zeitlin, Business Reporter from buzzfeed. Good morning. Good morning. With a number of lawmakers out over the weekend, including senator Bernie Sanders, questioning whether this deal should be allowed to go through, what do you see . I expect feedback from donald trump, Bernie Sanders and other senators looking at this deal closely. A lot of people in the regulatory and antitrust community feel like the approval is a close model to this, that was comcasts acquisition of Nbc Universal, and it was a failure on the antitrust side and want another swing at the bat out of trying to kind of force conditions or outright loss in the deal that at t is proposing. Matthew, we should point out that Nbc Universal is trying to consolidate and trying to put together many pieces. Is there a reason why there is a headwind for this particular deal on the antitrust side of things . That will be a big deal. This is distribution and content. Why the antitrust scrutiny . I think because there is some concern about whether or not comcast complies with all the conditions that the fcc and the department of justice put on it when it acquired Nbc Universal in 2011. Especially among politicians, there is more and more skepticism of large deals than there was five to six years ago. They instituted a monopoly and antitrust plank in the platform. This year for the First Time Since 1988, they have more people paying more and more close attention to deals like this. And seeing this blocking two big deals in the health care and oil services as well, this is a very large merger this year. So well get into the strategic analysis behind this deal. What is Randall Stevenson, the ceo of at t want with time warner . At t needs to grow to maintain revenue and add dividend. And a second thing is, while it probably wont be able to block other providers of cable and mobile providers from steaming hbo content, some people think this will give them the leg up to start producing new content for cell phones, that at t serves through its network, or to create more offers for streaming packages deal. Well leave it there. Matthew zeitlin of buzzfeed, thank you for talking us through the mega deal. Well have a lot more on this throughout the coming day. The ceos of time warner and at t will be joining squawk box live at 7 00 a. M. They will talk about how the deal came forward. A lot of stories are changing the angle this morning. What comes next and why they think it will pass regulatory monitoring. Just a mega deal of this size. You have to figure out why the deal came together and what the conversation was like between stephenson and bewkes. And to Donald Trumps point in gettysburg says this deal would destroy democracy. And his Campaign Later said a Trump Administration would break up and prevent such economic consolidation in the future. Interesting to hear trump talk about destroying democracy when a lot of people on the other side say his candidacy and his questions of rigged election and whether hell accept the results of it does the same. Well get more on this deal including the pro side for it and why it could boost competition. Well see if works out. And we have Rockwell Collins buying aircraft interior maker be aerospace. The price is 62 in cash and stock, about 6. 2 billion. Roughly a 20 premium to beat aerospaces Closing Price on friday. Those not trading just yet in the premarket session, but well expect action there on the prices there. And more deals, genworth is being bought by oceanwide for 2. 7 billion in cash. The chinese firm will be paying 5. 43 per share, its a 4 premium to genworths Closing Price on friday. The outbound levels has hit 180 billion this year as they look to acquire overseas assets as their own domestic economy slows down. And Td Ameritrade could buy scottrade. Td ameritrade would acquire the broker operations while scottrade could acquire the buying options. And now to this weeks agenda. It will be busy for earnings and economic data. Tomorrow look for caseshiller and consumer confidence. And on thursday, durable goods and pending home sales. Its the heaviest week of earnings season with the third of s p 500 reporting. Among the big names to watch, 3m, caterpillar, dupont, general motors, apple, boeing, cocacola, alphabet, ford, amazon, just to name a through. Tomorrow is apple, the worlds most valuable company. A lot of the biggies, amazon, some of the Top Market Companies will be reporting. So it could be moving the entire index. So far theres been a lot of beats. Our Parent Company comcast is there as well. And visa will point results after the close today. Landon dowdy is joining us with three things to watch in this report. Landon, over to you. Good monday morning to you. Visa reports Fourth Quarter results after the bell today. Heres the three things to watch, first the numbers. The street is looking for earnings of 73 cents a share on revenue of 4. 2 billion. And visa recently announcing it would increase the Quarterly Dividend by 18 signaling its in a solid financial condition. The second thing to watch, the new ceo, earlier this month, the current ceo charlie schwartz, said he would resign october 1st. They are naming the former president of American Express and current visa board member as ceo. So listen for information on the transition. And the third thing to watch, any commentary on europe. On the last earnings call, one of the highlights was the companys recent acquisition of visa europe that took place just days before the brexit vote. And now that the uk has been on trade negotiations, the investors want to see how visa plans to deal with european headwinds. And shares of visa are down 3 in the past three months. That surprise ceo transition certainly taking center stage. Landon, thank you. Coming up, hes made his investing reputation as dr. Doom. Were talking about mark faber making a bullish call on oil prices here on cnbc. Well tell you about it when we come back. Stay tuned, youre watching Worldwide Exchange on cnbc. This woman owns this house, with new cabinets from this shop, with handles designed here, made here, shipped from here, on this plane flown by this pilot, who owns stock in this company, that builds big things and provides benefits to this woman, with new cabinets. They all have insurance crafted personally for them. Not just coverage, craftsmanship. Not just insured. Chubb insured. Welcome back to Worldwide Exchange. If youre just waking up, well get you up to speed on the u. S. Market so far. It is green across the board right now. Dow futures indicate to open by 70 to 80 points at this point, a half percent. The s p futures up by ten points, the same amount on the percentage basis. And the nasdaq up by a half percent as well. A nice green start. Well see if that carries over. Oil as well in focus hovering near the 50 mark when it comes to wti crude. 50. 79 the last trade there. Just about flat. Ice brent crude futures up by a flat 53. 80 there. And gloom and doom publisher telling cnbc, the prices are set to finally head higher for oil. He cites two main reasons, the need for infrastructure in asia and the markets set to boost spending. Oil could easily test 70 a barrel. As for stocks, it depends on the market and the sector. I think the u. S. Market is highly prized. With few exceptions like the energy sector, its the price resource stocks, Mining Companies are priced, so we have to focus on individual securities, individual sectors. Faber is closely monitoring the u. S. Elections on the geopolitical scene and on the commodity markets. Back over to you. His comments always get so much attention. Some of the most widely read stories online. And u. S. Gasoline prices dropping for the first time in 1 weeks. 11 weeks. Industry analysts say a gallon of regular now averages 2. 20, down 4 cents over the past two weeks. In other macro market news, some fed speak to tell you about, they are out in force. Late friday San Francisco fed president John Williams told reporters this year would be a good time for a rate hike. But he wanted to see it take effect last month. Williams saying waiting too long to increase rates could fuel bubbles and force the fed to implement sharp hikes that could choke economic growth. Williams arguing the economy is essentially at full employment and inflation is close to the feds goal. Its interesting to hear the change in thinking. He is a longtime dub, wanting to wait on Interest Rates, and now all the dubs are concerned. Rosengren talking about financial stability. Blowing bubbles and having to backtrack later on, clearly the consensus is moving to a hike coming very soon. Or just the fact that normalization should be taking infant steps right now, getting back to at least a little bit of what it should be like given the economic picture. Nobody is saying the u. S. Economy is going full steam, just that things are in crisis mode. And the low Interest Rate world underpins, look at the deal were seeing. Some would argue a product of the low Interest Rate environment. It helps. In global news as well, well talk about britain. The aftereffects of the brexit as well. The sunday times reports the uk could slash the corporate rate to 10 if the European Union refuses to agree to a postbrexit trade deal. The tax exchanges could occur if the u. S. Banks are blocked from accessing the eus market. According to the sunday times, the idea of having the rate from 20 has been put forward by teresa mays advisor. So were talking about the macro fiscal picture in the uk as well. The European Union is giving belgiums federal government until late today to secure backing for the un trade deal. Donald tusk will be speaking to the Prime Minister today so the canadian Prime MinisterJustin Trudeau can decide whether to fly to brussels for the signing, which is set to take place on thursday. If belgium cant pledge support, the summit will then have to be postponed. A lot of european headlines. Fiscal, trade and everything else. Coming up here, only 15 days left until the election here in the u. S. Well bring you the latest poll results and tell you what the candidates are saying on the campaign trail. But first, heres the latest on the weather from jen carfagno. Good morning, sarah and dom. We kick off the beautiful week with nice weather very falllike. Temperatures are running above average across the south. Well see a lot of 80s. And big changes from morning to afternoon. You notice a lot of sunshine, right . So with that, dry air and clear conditioning, temperatures drop overnight, but they really warm up during the day. 80s in atlanta and miami. New york city could see a couple showers early on, but clearing out into the afternoon. The spot to watch for active weather all week long will be the west. Thats where we continue to see rain on the move in throughout the upcoming week, even down to southern california. And temperatures are running into the upper 70s in denver where they are hosting monday night football tonight. Thats your coast to coast forecast. Im jen carfagno for the weather channel. Worldwide exchange continues after this. Speed always wins. Especially in my business. With slow internet from the phone company, you cant keep up. Youre stuck, watching spinning wheels and progress bars until someone else scoops your story. Switch to comcast business. With highspeed internet up to 10 gigabits per second. You wouldnt pick a slow race car. Then why settle for slow internet . Comcast business. Built for speed. Built for business. 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. Welcome back to Worldwide Exchange. On the market action, were set to start the week on a high note in terms of futures and equities. Dow futures up 76. S p up 9. Nasdaq futures up 26. This after stocks did manage to break their losing streak, finishing just a little higher last week. As for the action in currencies right now, the dollar holds its strongest levels. Were talking levels back to march of this year. The euro is at 1. 0891. The dollar is stronger against the yen, 103. 88. The japanese stock rose overnight liking the weaker yen. And the pound gets a boost at 1. 224. After a price jump on friday, oil is sitting at 50. 82. Brent is also searching in direction of 51. 86. And then the big news, at t buying time warner for 107. 50 per share. Biggest deal this year. Time warner up a percent. Dont let that fool you, it spiked last week on word and report that this deal was coming. The acquirer, at t shares, down a little less than 3 in the early action. Thats the markets for you. Now to politics for you. Edward lawrence is joining us from washington with the latest on the campaign trail. And that state of play. Edward, the latest poll out shows that donald trump is looking at a mountain to climb. Hes down by quite a few points here. Tell us about what is happening with those poll numbers. Reporter the latest poll out is an abc news poll that came out yesterday to show donald trump is down 12 points, which is the largest margin hes had between he and Hillary Clinton in this election cycle so far. So he does have a mountain to climb, as you say. He says its not over. And some democrats say that the election may actually be closer than the polls show. Hillary clinton at a North Carolina voter event staying on the message democrats want to use to sway undecided voters. This is not like anybody else who has ever run for president , who has demonstrated une quickively that he is unqualified and unfit to be president and commander in chief of the United States of america. Reporter president obama at an event in las vegas kept the same theme in his speech. The president saying donald trump does not have what it takes to do his job. Donald trumps already talking about how the game is rigged. I got to say, that means hes losing. Reporter trump didnt shy away or back down on his claims. In fact, he doubled down at a rally in naples, florida. They want me to take that back. Let me tell you, folks, its a rigged system. And we are going to drain the swamp of corruption in washington, d. C. Reporter that message resonates with his supporters in florida. I just think that its rigged as far as the media making people believe that shes already won. Reporter and now trump needs undecided voters to believe it and to believe he can be the one to make real change. And donald trump has two more events in florida later on today. Hillary clinton will be in New Hampshire at a rally there. Back to you. Thank you, edward lawrence. Now moving on to sports for an exercise in futility. Playing on the field last night, sunday night football on nbc, the Arizona Cardinals and seattle sea hawks were tied going into overtime. Both teams had a chance to win the game with short field goals. The cardinal kicker hit the goalpost while the seahawks kicker sent the ball wide. So the game ended in a 66 tie. Its the first tie in seahawks franchise history. Pete carroll, the head coach there, says he cant fathom the concept. We should say congratulations to jim cramer, the eagles had a good day. And when we come back, at t buying time warmer for 170. 50 per share. Well talk about that evaluation and more reaction from the street when we come right back. Good morning. Lets make a deal. At t agrees to buy time warner for 85. 4 billion. Investors, analysts and politicians all weighing in this morning. And ready or not, here come the corporate reports. A third of the s p 500 will roll out their results this week. Plus, political humor. Tom hanks returns to saturday night live. And social media is buzzing about his election impersonation. It is monday, october 24, 2016. And youre watching Worldwide Exchange on cnbc. Good morning, welcome back to Worldwide Exchange on cnbc. Im sara eisen along with domenique chu in for wilfred frost. The animal spirits is listed by the 90 billion deal in a so far better that expected earnings season. The s p is up 9. 24. And nasdaq futures are up 27. This comes after stocks squeezed out gains last week. We didnt see such big moves but they did finish in podstive territory breaking a twoweek early streak. Early action in europe is positive by earnings reports over there. The german dax is down. 75 . Euro stocks at a onemonth high. Spain is a particular bright spot at 1. 3 . They are going to get a government. They are going to get a government. The politics are cooperating this morning in europe. As for asia overnight, another strong session there as well, in particular, china. The shanghai comp jumping 1. 2 . This after the yuan is near a record low against the u. S. Dollar. Their outflows are coming out of china, and yet investors are not worried looking ahead to potential fiscal stimulus out of china to drive the action today. Hong kong closing up a percent. And japans nikkei finishing higher by. 30 . Thats the stock side of the equation. As for the broader picture, the macro markets, well find out what is happening with oil prices. Wti crude now unchanged for the day, 50. 85, the last trade there. Ice brent crude futures, 51. 87. Thats about. 20 to the up side as well. The tenyear note yield, were seeing a hair of movement. The yields at 1. 726 . Well call it between 1. 72 and 1. 73. A little bit of movement. A nice steady medium trend since earlier this summer with regards to yields on the up side. Well talk about the dollar on the mixed picture there. Some strength and weakness. We are seeing weakness against the euro, 1. 088 it will cost. Strength against the yep, 103. 89 moving to the 104 level. And the pound, 1. 223. It will cost you that to buy a british pound in this market. Gold prices, currency is also factoring into the trade, were seeing a little movement, 1267. 30. Theres so much to talk about in the top story. At t buying time warner for 107. 50 per share, about 85 billion making it the biggest deal this year. If approved, this could give at t control of time warmers property, hbo, cnn, tbs, tnt, the warner bros film studio and other media assets. At t bought directv last year for 48. 5 billion. This new deal is widely expected to receive intense scrutiny by ant antitrust regulators. Joining us is Ivan Feinseth on the phone from tigress financial partners. Hi, how are you . Rejecting news corps offer in 2014, taking this one up, why and what should investors think about the price . Well, i dont think the price is crazy. The evaluation that at t is offering is pretty fair. If you do the analysis of the cost to capital versus return, its even slightly cheap. However, history has shown that the mega mergers just dont work. They dont really create shareholder value. If you look at the first time that this company was taken over and merged with aol, that became the biggest disaster in history. It was lotted as the greatest deal in the history and became the worst deal. I vap, its domenick here, i want to hit on that point more because it seems like every ten to 15 years we go through cycles of empire building and breaking up for value sake. So what can we expect, i mean, is this something to see perhaps any glimmer of hope here . Is there a Positive Side to at t, a distributor owning the content it puts out there . Well, in theory, merging distribution and content make sense. But it doesnt really work in practice because the content is depending on the broad basic distribution. So if you narrow it to one distributor, it doesnt really work for the content. In theory it works for the distributor, but there are distributors that want to have access to this content who benefit from the content. The content producers benefit and the consumers benefit from broad distribution. In many ways, the deal conceptually doesnt make sense. What is your Reference Point here, ivan . A lot of people are looking at comcast buying Nbc Universal in the nottoodistant pass as a model, a template of how to be successful. There was value there, its our Parent Company, we should disclose, but both for the regulatory template and the Strategic Value that Randall Stephenson sees in time warner. In theory it makes sense. Well see how it works this practice. Because youll have a lot of distributors that want to have access to the content at the same level of everybody else. So i think the big regulatory hurdle will be some kind of mandate of open access. Ivan, one quick point here, i was speaking to a Senior Telecom exec, a former telecom exec i know very well, and he said the first thing he thought of was how much debt at t will have if the deal goes through. How should investors view this leverage by the likes of an at t . It is going to be a lot of debt. They have 120 billion and will add another 86 billion. So that is a lot of debt even though in theory the model has a lot of cash flow. It is a cause of concern as well. Debt is great when things go well. Its not great when things dont go well. Well see how it affects their borrowing, if at all. Ivan, what does it mean nor the media sector . Does this makecbs viacom deal likely . Well, the benefit shareholder is disney. They have not been valued on their content and they are the king of the content. So disney shareholders despite being a part of this happening will benefit the most. And more deals . Most likely. Because deals begin more deals in a specific sector. I think youll see more. The antitrust is a concern on the top of the mind. Ivan, thank you for jumping on the line with us from tigress financial partners. Its tough to predict as you have a new administration. And so far the Obama Administration has been not allowing many of these to happen. The ceos of at t and time warner, jeff bewkes and Randall Stephenson will be on squawk box at 7 00 a. M. Eastern time. Pay attention to that interview and see what they think of the possible regulatory scrutiny. And how it all came together. You wonder how this more than 80 billion deal to be a fly on that wall. In other business news, Rockwell Collins is buying aircraft interior maker be aerospace, and the price tag is 62 in share and stock or about 6. 2 billion. And u. S. Insurer Genworth Financial is about to be bought by China Oceanwide Holding group for 2. 7 billion in cash. They will pay 5. 43 per share, thats only a 4 premium to genworths Closing Price on friday. Now chinese m a hit a record 104 billion this year adds the Companies Look to acquire overseas assets as domestic economies for them slows. And tom hanks returned to host saturday night live for the ninth time and is getting lots of social media love for his impersonations, especially in the cold open when he played debate moderator chris wallace. Now lets welcome the candidates, donald j. Trump and secretary Hillary Clinton. His impersonation of a donald trump supporter is trending as well. If you take a look at that one, its pretty funny. Lets go to they out here saying for 8. The answer here, they out here saying that every vote counts. Oh, doug again. What is they already decided who wins even before it happens. Yes yes snl is killing it. I have to say, i thought the first two debates that they mocked were better, were funnier. And its like they ran out of jokes because what they ended up doing is repeating everything said in the debate, which is so outlandish. They can use real life these days. It is drakes 30th birthday today and the rapper is giving his fans a gift. The artist revealing hes about to drop a new project titled more life. Hes referring to more life as a playlist project, not an official album. Drake unveiled four of the new songs on apple music radio show yesterday. I would listen to drake. I know you would listen to a drake playlist. I think a lot of people would listen to anything drake puts out. Hes a very talented artist, theres no doubt. I was not doing anything close to what he was doing at that age in my working life. We are watching him on saturday night live. We are 15 days away from the election. If you are still undecided and want to check the facts of the candidates, youll be able to do so with the amazon echo, believe it or not. Theres a skill for echo that allows it to search the Washington Post and other sites to see if what the candidates are saying is actually true. I will say this, ive been toying with the idea of getting an echo. I havent pulled the trigger just yet, but its doing more and more. I want to know how much the echo is listening to your conversations when youre not talking just to the echo. Im a little scared of any web cam up in my house as well. I guess if everybody is on factchecking duty, including the echo. Coming up, the must read stories and dont miss the ceos of both companies in the news, at t ceo Randall Stevenson stephenson and jeff bewkes from time warner to talk about this merger deal. Stay tuned, youre watching cnbc. Welcome back to our must read stories catching our attention in the paper today. In the usa today, taking up marijuana on the ballot. It will be voted on arizona, california, massachusetts, maine and nevada concerning recreational use. And they rurnling people to refrain until more science is out. Science suggests that developing brains are more sensitive to changes associated with marijuana use. Many questions remain, how much is too much . At what age is it most harmful . Do genetic factors matter . These issues get less attention than they deserve in the debate over legalization saying clearly we have to wait. Its only been passed in certain states just a few years ago. We dont have the longterm research, which would give people enough evidence it should be pass in a broader recreational use. What is surprising to me is maybe five years ago when we were kind of talking about the infant stanlges of legalizationf marijuana, you never thought it would work its way into this many channels in this short amount of time. My pick is in the Washington Post. To bring this nasty and Bizarre Campaign to a meaningful conclusion, what this country needs is an outburst of ticket splitting. Republicans should vote for Hillary Clinton and and democrats should back Republican House and senate candidates. Nobody has thought about ticket splitting in years now. But then that happens, its a status quo. I guess it is checks and balances. But if you dont want any laws to be passed, maybe it will come to fruition. I wonder how many people will be doing that. We are approaching the top of the hour. That means the team is getting ready for squawk box. Joe kernan is joining us. We are talking a lot about your big interview with the ceos of the morning of the big merger deal. I dont know if i need to promo the deal. I think it speaks for itself who will be on. Its an extended interview with the two gentlemen right there, which we have been in political season, it was kind of a nice respite over the weekend, because this is all i thought about and read about. Its true. But again, the political backdrop is evident in talking about this today. And the journal has a great piece on all the different moving parts about what this means. You dont have to look any further than a donald trump rally where they talk about cnn quite a bit. They have chants about cnn. Well talk to mr. Bewkes and the new boss Randall Stephenson. And we are going to have a call in from mario abelli as well. The future is daunting. And im starting to figure it out. The other political backdrop is the fcc and the whole notion to have an 80yearold law satisfied with the Way Technology is moving. Maybe this will illustrate to regulators that law probably wasnt necessary and the future is moving so quickly, just let it happen. Well see. It should be a great show. I think it is interesting that you have Bernie Sanders tweet i tweeting to break up this deal, dont let it go through. And donald trump is saying this is a threat to our democracy. Completely different sides of the aisle. A clinton spokesperson says its going to be considered. A republican from utah, there are a whole bunch of people weighing in on this. This is like trade, everybody is against it. Well, for now, Hillary Clinton is supposedly up 12. Ill talk to rap dndall. One check of the cdi and this is done. No problemo. Yes, that will certainly be something to watch. Of course, the guest list on squawk is a huge one. Joe, thank you so much. Well all be watching squawk box coming up in the 7 00 hour. Coming up, a third of the s p will roll out results this week. Well get insights on the market, the economy and the fed when we are joined by Lindsey Piegza over at stifel fixed income. Youre watching Worldwide Exchange on cnbc. These goofy glasses. Yeah. Well, we gotta hand it to fedex. 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. 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 this man creates software, to protect this customer, who lives here and flies to hong kong, 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. Welcome back. Fuches a futures are in rally mode. Nasdaq futures are up 27. And joining us to talk about the wall street trading day and week ahead from minneapolis, Lindsey Piegza, chief economist at stifel fixed income. We are looking at the Third Quarter capped off gdp, what are we looking for . This is going to set the tone of whether we see the expected rebound in the second half of the year. We are coming off very sluggish growth. An average of 1 across the First Six Months of the year. We are looking for a sizable rebound relative to that weakness. Were looking for around 2. 5 . But putting that in perspective, that still is likely to leave the annual rate of growth for this year well below even the feds new reduced target of 1. 8 . So its going to be better than the first half, but still a disappointment on the longer term. Lindsey, its domenick here. As we talk about the busiest week of earnings we have seen so far, a lot of Companies Reporting this time around. What can the Corporate Health story tell you about whether the economy really can gain any kind of really escape velocity from this doldrum we have been in . Thats a really important question because the missing component of the recovery in our opinion is the lack of Corporate Investment. Businesses still a wash in cash at this point remain very hesitant to invest in everything from structures to equipment to fulltime high wage employees. And what were seeing is businesses remain on the side line with Corporate Investment going negative or at zero for 20 consecutive months. Thats nearly two years of businesses pulling out of the marketplace. Without that type of innovation, growth, investment, we really cant expect to maintain even this modest 2 pace on the economy and certainly cant expect to maintain the moderate pace of hiring. So i think the markets really going to be looking for our corporations doing better. Are they loosening the Purse Strings . And can we expect more from the u. S. Economy Going Forward . Well, some arent sitting still. We have the 85 billion deal to talk about with at t and time warner this morning. Its actually not the only one. The tobacco space heating up last week and others in aer ostspaos ost aerospace. Is this a sign of slow growth or confidence in the future . We are seeing pockets of activity, absolutely. We are still seeing deals on the table, some m a going on. But the vast majority of corporate america, theres a lack of investment going on. As i mentioned, three consecutive quarters now of negative business investment. This is not up digtive of what is happening in the rest of the economy. So i think at this point we do expect a continued slow bleed of momentum unless we see this extend to a broader range of activity coming to the marketplace. So still looking for very stagnant activity over the next, well, certainly waiting for Third Quarter gdp in the final three months of the year. Lindsey, the investment picture overall on the property plant equipment and hiring side not there, but it certainly is on the deal side. How much of that is because the current Interest Rate environment . Well, i think right now corporations are looking for opportunities. Certainly Interest Rates, the intention is the fed draws down Interest Rates to get small businesses, big businesses, individuals, to take out a new amount of debt and expand and grow. But at this point if there is still that lingering uncertainty, whether it be regulation, tax uncertainty, Rising Health care costs, theres less of an incentive to grow and renovate innovate as it is to look for the deals on the marketplace. So to buy up something on the cheap. So it is very indicative of the very unstable and still very fragile economic environment that were seeing. Well see what the numbers show this week. Thank you for joining us on a monday morning, Lindsey Piegza of stifel. Well highlight a few things we are watching today. Of course the media space. We know the stock moved for at t and time warner both. Like netflix or disney, watch comcast. Also watch, for the political fallout, everybody and their mother is tweeting against this. You like the emoji. That does it for us on Worldwide Exchange. Stay tuned to squawk box with both ceos, next. He ran that company. I get it. But you know i think you own too much. Gotta manage your risk. And youve gotta switch to decaf. An honest opinion, even if you disagree. With 13,000 financial advisors, good morning. Get ready for the mega media merger. At ts bid to buy time warner is sparking backlash in washington. We have at t ceo and the time warner ceo joining us at 7 00 a. M. And a third of the s p 500 set to report between now and friday. Well talk strategy straight ahead. And the cubs advancing to their first world series since 1945. But tickets for the fall classic now approaching super bowl levels. The ceo of stubhub will tell us how much it will cost to get in. Its monday, october 24th, already, 2016. Squawk box begins right now. Live from new york where business never sleeps, this is squawk box. Good morning, welcome to squawk box on cnbc. Im Andrew Ross Sorkin along with joe kernan. The nasdaq is up about 29 points and the s p is looking to open 10 points higher. So many deals as people tap dance to work this morning. In asia, heres what is going on. Green arrows across the board as well. And then well show you what is going