Needle for investors were going to talk about weworks embattled ipo plans and play the long game, thats the white houses message for wall street on china trade stocks pointed to a muted open today. Apple is set to unveil the latest new Iphone Models and other product updates today, features on the phones might include upgraded processors, new camera functionality, the event will take place at the headquarters in california, beginning at 1 00 p. M. Eastern time jim, talking about what else we might hear about, content, some shows rolling out in the coming days i think they have some exciting tv. I want to see trailers i think people are underestimating what they have been working on. I would love to hear more credit card i think that it is too early i do think anyone with the watch, the iterations are getting very exciting. The watch sales, youll hear incredible numbers, i believe. Service revenue very strong. Not sure exactly what to say about the 11, because they have been pretty closed mouthed about it those of us who have the eight and the 10, the 10 was stolen from me, by my daughter. Youre chalk full of things. We like to hear more about that. I think this is about accessories. And i think it is about content. And i like both of those thats where it is at right now. Unless they surprise us with some functionality on cameras, bunch of theorys going about rear facing cameras, some ways they could still surprise us on the phone itself. The thing i think people want more than anything is a chip that makes it so our phone has the same power as any single jpl unit we can put our phone in and the party, dont need to have bluetooth. They cant do that yet they got to figure it out so the sound ive been open, this is really a great feature but technologically theyre not there yet. There was a fellow on our air yesterday calling for the firing of tim cook. I thought that was who was it . I thought that was ill advised. You think there will be anything today that changes somebodys opinion one way or the other . Look, the stock has run ahead. I wish it hadnt i dont like that. I dont think any of the analysts will change i think you have to wait until Service Revenue and wearables cross more than 50 and i also think that we just endlessly have china nike said china sales are great. Canada goose said china sales are great. Starbucks, china sales are great. Chinese consumer. Very strong. Contrast to the broader economy, seems strong. Yes, i think that when i heard estee lauder having the blowout quarter, you know, with china, and then listen to Peter Navarro today. The seven deadly chinese sins that he likes to talk about. And i do think that anything china it could create a ripple, but i need tv. I would love to see some great trailers more channels dont have enough channels not enough streaming services for you at this point. Not enough shows to choose from. How can they make a mark here apple feels like they have to. They got some show with a bunch of actors from the 90s about tv thats their thing have you looked at the no, im not going to. I lived it youre going to subscribe because of it. It looks like the funniest thing ive seen in a long oh, god, just you know you got to admit the bar is high to break out in terms of content. Some pretty good talent in that good morning show okay. Jennifer aniston. I dont mean to discount apples ability to find good people and spend a lot of money and conceivably it appears theyre not going to buy their way into this by buying content company. Theyre going to build it. But you dont believe in content. I respect that i believe in it, i think to carls point, there is a lot of competition out there for people who have been doing it for a while now and know how to do it pretty well. Do you think the piece yesterday about how viacom, they do not want history repeat itself they do not want to miss the viacom run . Do you think malone is part of it they talk about discovery. I dont have any idea what youre asking me. There was a malone is part of what . Remember malone are you changing this from apple to viacom cbs. You make it so hard to praise yourself you broeb tke the story that mae liked discovery. Yeah. They wrote a piece yesterday saying that moses malone. It is coming up. Viacom, the piece yesterday was about how content could be very good by move ffett nathan n i watched a game last night on my handheld, it was a fantastic game, new orleans, the texans. I think if the as long as they dont have to pay for seven services, roku down yesterday. Im more bullish on services than most people i am until they get to the price. Well talk more this hour about the shift in momentum and what happened yesterday between growth and value it was crazy. I think that usually that is usually a precursor for the whole market. People are talking about that these internal factors in the market, what carl referenced three deviations, three deviations, i thought it was back in calculus class i shrewdly dropped for art well get to the Broader Market before we get it is a bad sign. It is a bad sign, okay. You see those stocks roll over, usually the stocks that theyre coming for, i had zoom video on last night, what an incredible story that stock cannot raise its head beyond meat. Recent ipos did want to get to wework this morning or the we company. How much does it cost we cop to call itself we company . I dont know how much it cost it well have an opportunity to discuss this in the future because as of now, everybody close to this situation indicates it is full speed ahead with the flplans for an ipo leslie picker has been reporting on the likelihood of this as well some press including the ft about softbanks potential resistance to an ipo we talked about that over the last week or so as the expected range of set ipo has come down and down and down. You wondered whether softbank has sit there and tried to protest and said please dont, youre going to force us to mark down our current investment, some 10 billion they put into the company at higher valuations but it does appear theyre fully poised for the ipo and if you know if it has to get done at 18 billion or 19 billion, it appears that at this point that the we company is fully ready to take that on perhaps you get down to that level, you find demand and can have a successful initial Public Offering. I think a lot of people out who are watching this are saying, how desperate what the heck do they need to do the deal for they need they need to raise the money, given how much theyre spending they have some debt, some could have covenance in their debt as well it is important to them without a doubt. The way the calendar is working it would appear that likely perhaps theyre going to start as soon as monday in terms of a road show. Typically they go two weeks. Not clear if they want to try to cut it short to get ahead of the jewish holiday, rosh thhoshana, the 30th, i think. Softbank may be looking at on paper at least if they do come at this kind of valuation a significant writedown or some analysts out with numbers today about bernstein look at what they have to take. Periodically people have to take losses. Periodically yeah. Part of the game. Yeah, it is part of the game. The question is how does it impact vision fund too we did speak to massa last march. A big fan of the we company. He wanted to buy more. He told us during the interview, mo massa, wanted to buy more but the saudis had veto power, so they did a deal for another few billion at the high valuation of 47 billion. Here is what massa had to say last march about his overall view of the Business Model. Theyre growing so quickly, and theyre investing into the capex. But it is recurring revenue, like a subscription. You know the subscription of magazines or newspaper and now netflix. Netflix is still losing money, but the value of the company is tremendous compared to other media companies. I do think that the one saving grace here is that when i check on weworks, a lot of them are filled it is not it is not like they have nothing it is just that if they hadnt played so high, i think cutting back to 18 billion, it is a model that works for small and medium size business when i met neuman before it went before he became almost like neuman from seinfeld, when i met neuman, they were just so so terrific. And the valuation was so low and i wanted to get an office to be able to have an office, have a place to camp out. Listen, the bulls will say to you, at some point, corporations are going to treat their facilities where they have their workers like they do the cloud it is going to be a subscription service. I have my cloud providers, i also have the wee company which takes care of all of my needs from my employees. I dont have to worry about it, dont have to buy the space, build the space, figure out, optimize, they do all of that. Thats the bullish case. All the wes within a mile of here are filled. Safe to say youre not a fan of the fts reporting today that says softbank is urging them to shelf the ipo. You know, those two things could still be the true they could be urging them, but the we company is not interested in shelving the ipo. It is interesting that 100 . 100 . This tape is if you have anything that is high multiple, crowd strike, it is like crowd strike is really good. Vm ware, i got them on tonight thats the point about the market the incredible turn in high momentum stocks because of perhaps some of the positive feelings about china trade and suddenly you have the value coming in, all the things that have been on the shorter side, right . Mnuchin speaking tomorrow on squawk, great get, squawk box. Hes going to be optimistic. One more reason to go buy a company levered to china and not okta okta, z scaler, it is incredibler. It is almost new york giantlike in its proportions of disaster maybe the dolphins steelers didnt look good either. Steelers choked sit and stand, youre sitting. Youre sitting all the momentum stocks great interception between wall street fans. And fantasy football. You do that better than anybody. Well, thank you i dont like what i see in terms of the tape. It is dreadful doesnt matter, by the way some companies actually make money. I am shocked ultrex, putting all of excel to shame. I had them on last night dean stoker, what a great company. There are going to be some buys here and were going to have to see, though they have to bottom first before you go buy them. No bottom yet. I look at my twitter i cant bare to look at my twitter feed all of it is how could you tell me you liked zendesk. The point is the sudden rally in the value and what was working, long secular growth, defensive, large cap was working, now it is not, that is a bad thing . Because of the violence of the move itself. Yes, the violence, yes, the collision course, the helmet to helmet, david. Yeah. Putting the helmet right into the shoulder thats true. I got a personal foul on some of the sellers cramers mad dash, count down to the opening bell in a moment. Downgrades today wendys, Dollar General, wells fargo, altria. More squawk on the street starts in a minute see thats funny, i thought you traded options. Im not really a wall street guy. Whats the hesitation . Eh, it just feels too complicated, you know . Well sure, at first, but jj can help you with that. Jj, will you break it down for this gentleman . Hey, ian. You know, at Td Ameritrade, we can walk you through your options trades step by step until youre comfortable. I could be up for that. Thats taking options trading from wall st. To main st. Hey guys, wanna play some pool . Eh, im not really a pool guy. Whats the hesitation . Its just complicated. Stepbystep options trading support from Td Ameritrade was in an accident. When i called usaa, it was that voice asking me, is your daughter ok . Thats where i felt relief. Were the rivera family and we plan to be with usaa for life. See how much you can save with usaa insurance. Welcome back time for mad dash. We get you ready for the opening bell here for tuesday on the nyse dupont. You rarely see this research. This is a citi piece talking about potential portfolio breakup option we are going to make sales they can do that now as you notice, this has not been a good stock in dow chemical has been bad they shrunk and it didnt grow divided a bunch of companies the idea was to grow. It took forever it seemed to break into three companies it all happened and no value created. None. Ed green is with this one. He was wearing a jaworski throw back jersey, good guy, he went to counsel rocil rock in the end, these are cyclical companies. Dow cyclical you need a magician to make things work. Ed green say magician. I believe the city piece will be right. More asset sales . They have a Nutrition Business they can break up my travel trust owns it. It has been a bad performer. I would say it has, yeah. I dont need you to double down on me im telling you are you giving me the business going down there this is a piece that says that dont give up hope and i think that it is reas reasonable because the stock is not expensive n this environment, where they dont like the zscalers, i know zscalers, personal favorite of yours and okta, someone called it opta, no crowd favorite cyberplays, this is an inexpensive stock. If you believe it is going to morph into a good trading partner, which i dont think it is possible, you want to own this. Okay. Well keep an eye on dupont. Would you do that i will. Bunch of other things too, uber and lyft, and attorneys general, north carolina, minnesota, lots at stake. 50 of those guys, know . Geez. Story that said 50 state ags representing almost all the states what am i missing . Is that the 600 stocks of the s p 500 . Double . Do they have double ags from some states . Anyhow, california is not part of it. Okay 48 okay. Hawaii and alaska havent been admitted yet. Were going to keep an eye on the story. Another look at futures as well this morning we have an opening bell, ten minutes from now at verizon, were building the most powerful 5g experience for america. Thats why the nfl chose verizon. Because they need the massive capacity of 5g with ultra wideband, so more screaming, streaming, posting fans. Can experience 5g all at once. This is happening in 13 stadiums all across the country. Now if verizon 5g can do this for the nfl. Imagine what it can do for you. Thats where i feel normal. Having an annuity tells me my retirement is protected. Learn more at retire your risk dot org. We had four Straight Days on the dow. S p hasnt moved last couple of days futures weak here. 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I think there is aside from the fact that the high multiple buzzing about this ford moodys rating change, taking it to junk ford has been doing a lot of stuff to try to make it so it is not as dangerous i know they think that the moodys is disappointing i look at this and at t and i think there are a lot of people who want very much to be at high yielding stocks and they recognize there are counterveiling forces in the bond market. Before the at t, you know were worried about the big debt load, ford has been trying very hard, they went underlying issues that i think are really helping, but this is going to cause a shutter from our viewers who have been actually saying, you know what, i cant make any money in the bond market. So im going to build a portfolio of ford, dow. After the incredible success we had in corporate issuance couple of weeks ago. Yes so i actually believe that ford is making a lot of right moves they also point out, and i know well talk about lyft and uber, but the millennials dont they just dont seem to be buying cars and, remember, cars are lasting much longer. And the millennials like to buy a carvana. Doing quite well i went by a vending machine for cars, on i95, that i know. I have to see one. You do. A vending machine for cars millennials dont like to talk to anybody they like to text. And they like the car delivered in minutes by the way, just so we know, tesla bears, i dont know if you got email, a few minutes ago, tesla select from our available inventory, updated inventory available in two minutes elon is no longer allowed to tweet. This is an interesting thing Automotive News here has a piece about why these European Companies are rushing to electric it is because these eu emissions targets are going to require them to triple sales in the next couple of years. So porsche is in, vw is in. I saw one reason why theyre supportive of californias efforts, very similar to what is worthy of the obama regs rolled back by the Trump Administration, leading to the big fight. They have the doj. You were correct. Investigating investigating. Very direct last week from to larry kudlow about how businesses actually fighting this idea you can have one set of standards and california is not california won fifth in the country it costing an outfit like ford, costing billions. Fascinating story always worth pointing out, ford didnt declare bankruptcy. Only u. S. Automaker. They were left with more debt. They never crunched the debt. Dont actually crunch the debt you still have the debt. Well done, avoiding bankruptcy people dont remember that stuff now. The f150 is a great seller. As someone pointed out, worth more than the ev of the whole company. They spent they put claus klinefeld was running alcoa. I have theyre really talk about america. The president doesnt seem to care as much about wants to roll back a lot of regulations, but in this case, there are state regulations that are very specifically not under his control. And he cant preempt he doesnt believe that that is why they are trying to revoke the waiver that california has that enables them to have mileage standards. And why hes just going after them in all sorts of different ways including some say the doj to actually investigate collusion, which seems very House Democrats are going to investigate the investigation as were in that cycle now. Were going to our probe will probe your probe. Also that nasty thing, the supreme court. Yeah. They s