In europe, also eagerly anticipating the jobs report fractional losses across the board with the dax down 0. 2 a check on treasury yields, we have yields, the tenyear specifically, the lowest level since november of 2016 1. 96 on the tenyear. The 30year at 2. 47. The countdown to the employment report is on. Forecasters polled say the u. S. Likely added 165,000 nonfarm jobs in june the Unemployment Rate is expected to hold steady at 3. 6 . If those predictions are right, it wont likely be enough to discourage the fed from cutting Interest Rates later this month. Well have a lot of predictions about all of this. A developing story off the coast of gibraltar British Royal marines interce interceptintercep intercepted a super tanker they believed the super tachktar was heading to a syrian oil rig. Iran has demanded the tankers release. U. S. National security adviser john bolton praised the move calling it excellent news. Wti is down a percent. And samsung saying its Second Quarter profit likely fell 56 from a year ago operating profit expected to be 5 5. 5 billion that includes a oneoff reimbursement from apple for missing a sales target final figures are due later this month. Lower prices and demand for semiconductors are the primary reason for the decline experts say lower prices have been driven byemiconductors and u. S. china trade war some predict the sector will not recover until the second half of 2020 a lot to watch there other south korean Tech Companies feeling the pressure look at whats going on. Lg down. Sk down also issuing profit warnings a lot going on there guess who our guest host is . Have you been properly introduced yet yes melissa did it do you listen to what i say do i listen everybody was taking different seats for being becky or joe thats a joe line. Do you listen to what i say. Does he im scared. The other piece of news that has been sort of rumbling around, david faber talked about it earlier this week, the big deal that may or may not get announced next week, which is sprint tmobile finally. Weve been waiting for weeks. The potential sale of assets to dish. Or not how will this work you tell us. Well, a lot of this has been reported the sum is the they need a doj approval the doj is holding back because they want a fourth carrier to exist even after this deal you wonder doesnt that defeat the purpose . They still want a fourth carrier. Along comes dish they own all the spectrum. They have not tapped into it theres a chance that sprint tmobile could sell a portion of their business to dish to create this fourth carrier. Theyre to the really selling part of their system theyre selling access to their system so that dish goes out there, they resell they end up reselling sprint tmobile system its a wholesale deal. The Sticking Point now is the doj wants dish to have access to their full system. If they sell however much of their service they can, you have to open it up to them. Sprint tmobile are like lets cap it keep it at 10 , 15 . That makes sense. You tell me. I dont know what you think the full weight of service would be on a tmobile prisprint networkf dish were to recreate that, they would be running 100 of the its a marketing thing. At that point are you marketing the Service Better than the Actual Service owners . Verizon has a big deal with comcast, the Parent Company of this company apparently its working well for them theyre just reselling Verizon Service under their own badge. Its the same quality, same thing. If thats happening there. Why want it happen with dish at the same time tmobile and sprint will reap the benefit of that longer term, because dish is sitting on so much spectrum, which is what you need, they will convert that to having the service go over their own systems. They still need to build that out. Thats an expensive thing to do. Its one thing to own spectrum you also have to own the infrastructure behind it is there a price cap associated with dish having access to their networks it is less advantageous for tmobile sprint theyre getting less margin so the synergies of the deal would be affected if they had full access. Natheyre trying to cap how much of their system theyre giving to dish the other thing is what would happen if dish turned around and decided they would sell the rights to whatever theyre doing to somebody else right there was conversation at one point that amazon wanted in. It could be interested if google decided they wanted to be a player im not sure if im tmobile or sprint that i would want that. Google could say i would offer free service over your network, well pay for it well subsidize it because well make the money somewhere else. Dish needs other investors to come in and build out this network. They could get an amazon or google or facebook to go in with them and become another reseller on top of what theyre doing across this system if youre tmobile or sprint, you dont want that. You can only sell so much. You can only bring in so many partners dish is led by charlie, hes a strong negotiator. And he walked before. Is there somebody behind him i think it hinges on him. Making sure the doj is cool with this. If they see this creates a legitimate fourth carrier. Youre combining these two but we need another one to support the system support the market around it do you think in this environment, this political environment that a google or an amazon would be ones to step in and make Major Investments i think theyre not allowed to i think its offlimits its not possible. Its offlimits with the regulatory yeah. We talk about privacy all the time most people dont care. The public doesnt care if google offered a subsidized service where your phone service is cheaper how much do you pay for Cell Phone Service . If that dropped by 50 if its cheaper people will go for it. Theyre willing to eat whatever privacy concerns there might be. We have a lot coming up with ed ill be here. Its the reason were all here today the june jobs report is due at 8 30 a. M. Eastern time, well have predictions and what the number could mean. Before we head to break, a look at the premarket winners and losers in the dow. Is where people first gathered to form the stock exchangeee, which brought people together to invest in all the things that move us forward. Every day, invesco combines ideas with technology, data with inspiration, investors with solutions. Because the possibilities of life and investing are greater when we come together. Or trips to mars. 4. 95. Delivery drones or the latest phones. 4. 95. No matter what you trade, at fidelity its just 4. 95 per online u. S. Equity trade. No matter what you trade, at fidelity mno kidding. Rd. But moving your internet and tv . Thats easy. Easy . easy . Easy. Because now xfinity lets you transfer your Service Online in just about a minute with a few simple steps. Really . Really. That was easy. Yup. Plus, with twohour appointment windows, its all on your schedule. Awesome. Now all you have to do is move. That thing. [ sigh ] introducing an easier way to move with xfinity. Its just another way were working to make your life simple, easy, awesome. Go to xfinity. Com moving to get started. June apparel data is due out in about two hours time. Joining us for that is Kevin Clemens and rob martin rob, first of all, predictions here so we think its going to be a decent report. We have 170,000 for this months report there are some risks that it could be on the soft side. The Payroll Survey week is when trade tensions were at peak. Mexican tariffs on the table well lock for average hourly wages. That will be key, correct . Yeah. Earnings we have 0. 3 on the month. No sign of major overheating there. We have had a bit more moderate pace eventually. Whats your total number . Total payrolls, 170,000 so youre the same on headline is the same. Yeah are we are soft of at a bottom will unemployment tick back up from here . I think the jgeneral consensu is for no change going into second half if job growth slows, as we suspect, gdp growth is moderating, quwe could see a ri. We think job Growth Continues in the 200,000 pace over the rest of this year. That will keep the Unemployment Rate moving down steadily. So you think it will go lower. Thats right. We think the fed cuts in july but stays on the fence for the rest of the year what do you see that most companies are not seeing a lot of boutique manufacturing. Manufacturers have opened up over the last couple of years. A lot of the weakness were seeing is still tariff related overmanufacturall manufactur not expecting a strong month not adding much to gdp growth or the top line payroll number we think were in for a period of moderation, closer to sub trend growth of 2 so you expect two cuts . Yes, july and september you are july and never happens again . Thats right. Why go in july . Because theyre locked in . Theyre still looking for this uncertainty shock to weigh on activity right now they think the economy is okay. Theyre worried about the second half so if you were on the fed, you would not be cutting thats right. We think the weakness is in the past the tariffs hit the economy hard i hope youre right, but me too. You are in the minority on this. 80 of s p 500 preannounced for the Second Quarter thats right. Thats not just a q1 q4 phenomenon theres weakness in q2 as well some larger corporations do get hit a little bit, theyre still feeling those effects. I think the uncertainty will loom for quite a bit theres a lot of wait and see. Weve seen a pullback in business investment. Its a misplaced complacency you think politics will play into this . I think in 2020 thats a possible head wind this uncertainty with regard to trade will linger. There will not be a major resolution eventually the slowing we have seen will creep over to the consumer side. Can i ask i want to understand your election prediction my view is unless you told me that Bernie Sanders or if you told me Bernie Sanders o Elizabeth Warren would make a serious run at the president for the second term, and it was going to be close, i would think uncertainty all over every ceo puts their hands under the table and says im doing nothing for the two years. I dont know whats happening to me im going into a bunker. If you dont see that, it looks like not necessarily the Anthony Scaramucci landslide, i assume things will keep going the way theyre going, either way. I know there are people out there who are going to be like what are you talking about thats not a political call its an economic call i would agree with that i think if there is uncertainty with regard to who wins the election and it seems like a much closer race, exactly that businesses and decisionmakers will sit on their hands and youll see a wait and see approach to hiring that will eventually spill over to the household demand. Well see weaker consumer numbers. Same question to you in terms of where the uncertainty is politically. For Political Uncertainty this happens every four years. We have a president ial election. This one feels different we dont have candidates calling for the breakup of Large Technology companies every four years. Thats a fact we dont have candidates calling for medicaid for all theres certain policy positions that a lot of democrats are taking or siding or leaning toward and there are people who say some of those policies longterm would lead to greater growth and greater strength in the economy. We wont debate that here. The issue is the uncertainty issue and the immediate term if you started talking about medicaid for all, Health Care Companies will feel that uncertainty pretty acutely outside of those companies, i dont think its something you want to sit on your hands for a long period of time. Okay. All right well leave it there thank you, guys coming up, took under fire. The company suffered a widespread outage on wednesday i was on instagram, these images were not coming up was it upsetting . Was upsetting frustrating. Its like your cable went out. What will i do with myself thats what it was like. Who are you theres a new crackdown in france on hate speech on its platform. As we head to break, here is President Trumps july 4th celebration featuring a display of military might and a speech at the lincoln memorial. My experience with usaa has been excellent. They really appreciate the military family and it really shows. With all that usaa offers why go with anybody else . We know their rates are good, we know that theyre always going to take care of us. It was an instant savings and i should have changed a long time ago. It was funny because when we would call another Insurance Company, hey would say oh we cant beat usaa were the webber family. Were the tenneys were the hayles, and were usaa members for life. Get your usaa Auto Insurance quote today. Lower carbs. Lower calories. Higher expectations. The light beer youve been waiting for has arrived. Corona premier. Has arrived. Thats what happens in golf nothiand in life. Ily. Im very fortunate i can lean on people, and that for me is what teamwork is all about. You cant do everything yourself. You need someone to guide you and help you make those tough decisions, thats Morgan Stanley. Theyre industry leaders, but the most important thing is they want to do it the right way. Im really excited to be part of the Morgan Stanley team. Im justin rose. We are Morgan Stanley. Welcome back in tech news, the apple icloud experienced an extended outage there was problems with calendars, contacts, reminders i dont use the reminder feature, thats a popular one. Some customers noted the outage impacted services at physical Apple Retail Stores. People were going to Apple Retail Stores yesterday . Were they even open . It was the second widespread outage for apple apple was not the only company dealing with trouble facebook users were locked out of applications for facebook, instagram, that happened on wednesday. The issues were resolved by wednesday evening. I was sitting on instagram, having some fomo, and images were not coming up im thinking whats going on i thought maybe my wifi was out. Im looking to do it on the telephone. What did you do instead of being on instagram for that allotted time . I spent time with my family. My children. You probably went to twitter. You know what i did i went to twitter, and typed in instagram, and there were instagramdown. Interestingly, instagram was kind enough to put out a little notice saying instagram down with their own instagramdown on twitter. Which i thought was sort of when twitter goes down, people go to facebook or instagram to figure out whats going on or go to the open web. The open web as opposed to the dark web but thats how we live now. We live on the internet. Its not just a source of information or commerce, its entertainment. Can we get scary for a second think about if somebody really went down. Facebook going down for an hour is not terrible. But if gmail goes down, the banks good down if the banks go down, thats a bigger problem if gmail or cookal seriously went down, like all of it for a couple of days, think about or even a few hours or aws goes down, thats a meaningful problem all of a sudden if aws goes down its a meaningful problem because its a major contractor for the governmen government a big portion of the internet in terms of what runs on it. Icloud, i use it for the calendar system. He didnt know what to do you had no idea what appointments you had no. On a holiday it doesnt matter, but if the calendar goes down, you have a problem dont you have in your head basically what you need to do every day . I wish i could tell you there are some days where im like wait, what am i doing thats right this is happening in ten minutes. That went down i dont know people would be missing appointments chaos chaos ensues i think its legit. Its a big deal and a real economic issue its sort of like a black swan issue for basically every business in the world right now. Thats why most of the banks fear cyberattacks. Thats representative of what it could be. What could happen more regulation could be coming for facebook. This time from france. French lawmakers approved a measure that would fine Tech Companies including facebook and google if they fail to remove hate speech within 24 hours. The bill still needs to pass the french senate, but president Emmanuel Macron is in favor of the measure. This could mean a lot of types hate speech, how are they defining that exactly . Is it facebooks standard for what that is, that keeps changing and adjusting is it the eu standard or is it country by country standard. Facebook says they will operate within the laws of the country theyre in if enough countries do it, does it come here . How do you do it theyre designing the more stringent requirement is what facebook ultimately has to adhere to. They build it once gdpr happened, theyre saying were using that everywhere. If thats the standard, what does that standard look like these are all the right questions to ask thats where you get in trouble with regulating speech across social platforms is there an economic emplycation to whemmr implication . The gdpr, theres more i accept i accept the cookie ill eat the cookie. Okay this would require humans to go through and take down speech. Thats where theres a bigger infrastructure problem with all these networks. They say they couple algorithms with humans to vet things. It doesnt always work thats where they run into problems if youre on a 24hour time clock, in terms of the economics and business, they may sort of ban whole swaths of things to make sure theyre covered. I need to get this done in the next day or less that could hurt things later this hour well talk more about how social Media Companies are preparing for