Holding in europe. Yes they are the dax, chief amongst the leaders with quite a significant gain this morning. 10year note yield, been hanging around the 2. 4 level there we are, 2. 378. You can see wti up 32 cents. Lets get to our road map this morning. It does start with that market rally you just saw the futures are pointing to new records on growingconfidence that republicans in the senate and house are going to pass that historic tax cut plan this week. Plus, well have more on csx, investors are worried given the turnaround strategy may be in doubt after the sudden death of Hunter Harrison. Surging in the premarket after an upgrade from jp morgan. And weve got plenty of deals to talk about this morning. Geez, we sure do. Well get to those and talk p g. Lets get to stocks first. They are on track to open sharply higher, this on optimism on passage of the tax reform legislation. The house is slated to vote on the bill tomorrow followed by the senate with republicans hoping to get it to the president s desk by christmas. It is amazing how quickly things moved. I will be the first to say, i think that i did not expect this, given the reporting i was doing around it for so long. Jim, had many people believing they would not be able to get things done in this quick a fashion. Certainly it would have been a 2018 action. That is it not appear to be likely at this point this thing could be done for next week. Were going to be looking at the election last year, critical election the country is a bit of a revolution and the same country as it was before the election. And when you have 52 in the senate and you have that group in the house, they are coraled and this is a tax bill great for companies. We can debate how good it is for individuals depending on the states anim animal spirits like we havent seen in the 90s they are ringing the bell, 20th anniversary and i think they have a broad plethora. They are pretty much everywhere. The answer they would say, which is they rent equipment to you, boom its boom and its not like its right now right now and whats will the tax cuts help that or sustain it . Yes is what they are saying theres a lot of not a lot of people who are doubtful. Theres pretty much everybody. Some going to be used for buyback and dividend its going to be so large it literally those do not encompass theres everybody i talk to will be buying some equipment, putting people to work because the economy is so strong, you dont want to lose the opportunity and those who are not buying, well, they get bought. Whole industries today, you see companies that are not going to be able to grow that much. They are getting takeover bids so Industrial Renaissance takeovers in these areas that have been health care, food, entertainment last week. Its difficult to find a chink in this market you see this as a positive for stock valuations is what im hearing you say. Yes. And continuing to perform quite well the raising of numbers is something well be hearing im surprised there werent more raising of numbers today we didnt get that a couple of Companies Report this week and people are excited about it theres also companies that are regarded as shorts k kindread was a short and they got a takeover bid amplify, frankly, its just been miss, miss, miss, miss, you have companies, lance snyder didnt have Critical Mass people are doing deals for scale, disney or having higher than expected earnings so what you end up with, unless you have a particular case, talk about csx, theres a lot of lets just say its hard to get in you have to chase. And its been a long time since you had to chase the discipline seems to be to hold on to stock here before by year end. And there were a lot of analysts who came on and said, things cannot be so good in 2018, recession has to happen. Give us some evidence, other than a yield curve theres way too many people that come on our shows and very academic and focused on topdown they ought to focus on bottom up the bottom up is really hard to do because theres a thousand companies, its very easy to say inverted yield curve, recession. I need evidence. I dont have it. Well, well see whether in fact this tax bill does come anywhere near the levels of growth promised by the engineers behind it. Lets not forget it changed a great deal and happened so quickly, the immediacy of it is something that is really somewhat surprising at the given the years behind the last time we had tax reform of this kind that was bipartisan, but even this one when you think back to blue print and all of those things. Border adjustment tax, lack of deductibility for mortgage interest, capex spending, so many Different Things that were part of that, that arent part of this. We thought there was a disciplined group of republicans who would never go for what some people are saying is a budget bust and they folded like a cheap suit its rather amazing. Where are the people who say listen, we cant have a bigger budget, deficit . They were nowhere. They were nowhere. They are believing that the growth rate will be more significant. They better be right. Many of the economists who scored this thing. Lets get to the hits, runs and errors whats going on right now. Following that for us all along, brings us up to date. Reporter the fiscal hawks will be cheering a new estimate out this morning on the impact that the final version of this tax bill will have on growth the Tax Foundation, projects a 1. 7 boost to gdp over the long run. Wages, those would get a 1. 5 bump and they are predicting the economy will add 339,000 jobs. That all translates into a dynamic cost for the tax plan of 448 billion over the next decade now, this Tax Foundation tends to have a pretty optimistic growth estimate but the report is basically gravy for republicans as they do appear to have the votes they need to pass this bill. Even without the help of senator john mccain, hellen back in arizona after spending several days in the hospital for the side effects of cancer treatment. On a more positive note, thad cochran, his office tells us he is in washington and does plan to be here for the tax vote. There are also a few republican senators who have not taken an official position. Jeff flakes office said hes still undecided and mike lee, worked with marco rubio to expand the child tax credit. He tweeted that the increase was a big win but said hes still reading the final bill and will hopefully vote for it. Susan collins applauded several changes, as well as medical expenses and getting rid of the first in, first out provision in the Senate Version of the bill as well. They all sound supportive, guys, so barring any last minute changes here, republicans look like theyve got this one in the bag. Back over to you. So i want to lee, flake and collins, you gave a couple of reasons why all of them have some reservations. But what youre saying is they are going to vote in favor thats my expectation you never know until they cast that actual vote but theyve made supportive statements so far though they say they are still digging through the details. Got it. As is mr. Corker apparently as well. Thank you. Given there was a lot of uproar about the change having to do with investors in llcs and real estate, he being one of them benefitting, said in a letter that came out last night, he had no idea it was in the legislation until he reread it after he was called by reporters. Because corker of course also changing his vote originally being one of those few deficit hawks you just mentioned. Yes now, lets talk about the media for a second im going to Say Something that is i mean it neutrally but if it were another president who got this through, i think it would say, how about the power trump didnt get the democratic votes but did coral a lot of votes that we had thought wouldnt play ball but somebody wanted to get they wanted to get something done, david. I think they did not want to go into the next year election with a do Nothing Congress and President Trump did not need to go to capitol hill i think that they are all the republicans turned out to be remarkably pro growth and that is something that we had not expected and i think that both you and i felt there were so many people who would come on our air in the house, just saying, listen, we are not going to make it so our children and their children whatever happened to those argumentsand the answer is President Trump won big. Weve got to say it on air he won big lets get some other Corporate News this morning that were dealing with actually over the weekend. Csxceo Hunter Harrison passed away he do iied of severe complicati of a recent illness. Mr. Harrison was 73. You and i on mad dash on friday, were discussing this, of course yes, we did. Always difficult to know how bad his health was but this was a very interesting story from the beginning. Shareholders and mantle ridge, the activist fund that took a very significant stake that came up with this interesting plan to basically have him put in there and then csx some saying its board abandoning its role in making decisions about hiring and firing ceos came in and said well put it to shareholders, that was last february heres a statement from mantle ridge this morning we wanted to reach out to paul hillal and see what he had to say. It speaks for itself they say theyve been humbleded and honored to be his friend for shareholders, since thats what we deal with here, the question is what does it mean for the direction of this rail, jim. He made some serious changes and they are not undone by this mans death. Csx, which a lot of people under mike gore, before we just completely decide that he was nothing special, csx had been doing okay, challenged once before this man in the brief time he was there, created a i would say a culture of can do that does not go away i salute look, obviously, its a great tragedy, but the idea that they picked a guy who was ill and shouldnt have done that, that is very short sighted. I dont know about that we never had a full first of all he was 72 or 73 at the time we never fully understood and shareholders may not have understood the nature of his illness, didnt share a great deal about it. True. A lot of the old Management Team is now gone. Theres questions in terms of who is going to run the rail longer term here or do they need some of the people who recently left to help i dont know i mean, it was fascinating from the beginning that they through this at shareholders and said you decide, unanimously deciding lets get this guy he caused a remember, bill ackman, how much value he added there. It was a fascinating story in and of itself, but you could argue on the part of the board giving up ilgts own role here that may have been best served finding out more about his illness and whether or not he was at risk. Youre right, there was a lack of due diligence, but this is a man who got the trains to run on time. And i think that these this industry is about the ratio. The operating ratio. It is. And i dont think the operating ratio switches back, Norfolk Southern and Union Pacific were better run. Mr. Foot seems to have learned a lot. The interim. I dont know, it was worth the gamble is what im saying, it was worth of gamble. And there are some analysts who say investors now giving csx half the credit for the margeinj improvement. The one thing i would point out, where they are is where the action is in this country the everyone keeps thinking it would be a coal well go back to coal thats not going to happen but coal slowed in its decline a great breath of fresh air even though it caused black lung. Yes. I tried to work that in. I like that it could be anthracite. Pennsylvania. He even knows where it is well fill you in on the food deals and have to talk about p g and well talk a friend of mine rob kindleer hes going to come on. Onset. You lucky dog. Come on and talk about next year and what we can expect as this year koxz comes to a close we have the last not that many more trading days but this one looks like it will have a strong open to say the least a lot more when we come back well, its earnings season once again. Yeah. Lot of Tech Companies are reporting today. And, hows it looking . I dont know. Theres so many opinions out there, its hard to make sense of it all. Well, victor, do you have something for him . Check this out. Td ameritrade aggregates thousands of earnings estimates into a single data point. That way you can keep your eyes on the big picture. Huh. Feel better . Much better. Yeah, me too. Wow, you really did a number on this thing. Sorry about that. Thats alright. I got a box of em. Thousands of opinions. One estimate. The earnings tool from Td Ameritrade. Procter gamble has appointed activist investor nelson peltz to the board of directors following the proxy battle in which both sides claim victory. It decided to hold talks with pets about a board site or put him on because the election was so close and large number of shareholders about 50 of them wanted peltz on the board. When you get down to it, whichever side claims victory here, it was clear i guess that they said lets just make it happen what took them so long. Clearly they didnt want him and they had to have him i think it would have amped up more than it has david, you know that his view is afrn thet cal to this company xbr the strategy, the thing they agree on what hes not going to do. What time did that letter come out. What was that, like 5 30 on friday a lot of people were still at their desks. 5 30 friday people get that and say, wow, lets have tequila and tonic and look this over not. That was cheesy, i thought. To be fair it was 5 15. Oh, okay. I looked at my inbox, im what i saw it, in touch with trian and trian jubilant they favor a strategy that would upend but give greater accountabili accountability the board itself wanted young people and feels like that the restructuring mr. Taylor put in was really starting to go places i think the model would be much more Like Unilever nelson is if he had his way, david, i wonder how many people were he will take his seat in march but have another term. Because they are getting him so late here given the fight and Everything Else he will actually be on for a year and seven months opposed to a oneyear and they have joseph jimenez, former ceo of novartis. Good man. If you look at the Business Units nelson wants, another way to run the company hes always wanted the divisions to be more competitive against each other and i wanted the small scale they had gotten into and got out of, which is reminiscent of what unilever. Ed garden, when we talked about delivering alpha whos making decisions at this company . Tell me who is reporting to who and making decisions hes going to be pressuring them every single board meeting. It does seem like the Cincinnati Bengals was running back by committee. Rbc. You dont want that in fantasy and dont want it in reality. No. There it is. Quiet end to a very loud battle. Up next, weve got jims mad dash and count you down to the opening bell which looks like well have a strong open when you look where futures are this as a result it would seem the expectations. Were going to get a signed tax cut maybe by the end of the week. Holy cow. More squawk on the street squt straight ahead. [ keyboard clacking ] [ click ] [ keyboard clacking ] [ clacking continues ] good questions lead to good answers. Our advisors can help you find both. Talk to one today and see why were bullish on the future. Yours. Talk to one today and see why were bullish on the future. Its a like, a dagger . A worm a tiny sword . Bread. Breadstick . A matchstick a lamppost coin slot no . Uhhh. 10 seconds. A stick a Walking Stick eiffel tower, Mount Kilimanjaro ding time sorry, its a tandem bicycle. What . What . as long as sloths are slow, you can count on geico saving folks money. Fifteen minutes could save you fifteen percent or more on Car Insurance. Their leadership is instinctive. Theyre experts in things you havent heard of researchers of technologies that one day, you will. Some call them the best of the best. Some call them veterans. We call them our team. Six minutes before the opening bell twitter getting some love today from jp morgan they upgraded to overweight, 27 price target. Doug is a seasoned pro. Anthony nodo predicted to me, who is cfo, very powerful coo. They would have four straight quarters of daily digit average user growth and thats what they have whats happened is it was a takeover story a year ago. Its not a takeover story. Its now a story about momentum. There are very few players if we go back in time to how Many Companies survive the dot com period, there are only a handful. This is going to be, if you want social media, its facebook or this one of the things they did, correctly say that snap would not have the momentum that they have that was an interesting trade to go long twitter and short snap when they came that was something that a lot of people at twitter told me would happen. They say here that their product strength is led by video Live Streaming and changes to the ui, all of which drive continued double digit daily average user growth for 2018. One of the things that bothers me, nobody talks about the president and the dialogue, when you go to twitter, many politicians overseas use twitter as a way to community. I wish someone would talk about hue its become a methods of communication that this intermeadiates us just the media not the other word. No faking around here. We have a lot of things to cover. All of those food deals. Snyder lance whole aisles. And amplify hershey deal and penn gaming did a deal. Millennial motivated . 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