S p up by 3 and the nasdaq up by 13 in germany, they are closed for a National Holiday the ftse is down about a third of a percentage point. Youll see this morning, the 10year is yielding 1. 582 the twoyear down 1. 47 . Breaking news. Taking place overnight lamb indicating a new plan that will invoke a power law. The city will ban masks protesters have used to protect themselves from tear gas or to hide their identities. All of this happening within the last several hours pepsi co coming in better than expected. Revenue coming in up organic Revenue Growth and pepsico expects to meet or exceed Revenue Growth. It looks like better than expected across the board. Some of these have such nice multiples. They keep doing it in manufacturing and other areas. Dont want it to be like days of general electric. Remember when coke was 40 or 50 times . Pepsi is trading at 4. 85 times. Price to earnings ratio of four times. Thinking about your story there about the masks. Well have a guest on later who described a recent trip and how everything is so advanced. There are facial recognition cameras everywhere there are no criminals because they are all hiding. I used to worry with your license plate, police now can drive by and take a picture. They dont even have to take a picture. It goes off. It will go off if you have outstanding warrants is that the future with facial recognition . Yes the problem is not just for criminals but for any political statement you make i would never do that but it is a scarey future. Really interesting they have a depopulation they dont have enough workers thats what happens when you have a onechild policy. We are going to have a population soon. That is coming to a Movie Theater near you if you have kids, you know, all youll ever do is deal with your children. Buts that fine thats what we want it is great the trade war releasing a list of goods from the eu. Interesting that the wto gave the go ahead on this we have the cover there. President trump released a 7. 5 billion award saying weve been treated badly with trade a nice victory willem marx joins us now you going to stop these now that you are busted the wto arbitrators have said this is not allowed. The european commission, you may not be surprised to know not thrilled at the prospect a few months from now, there will be a wto victory against them and boeing. In terms of the european reaction, they say they will have no other option but to retaliate and move ahead they say the tariffs are counterproductive. French leader saying they would be an error. Because of the timing, they have talked about an idea to use all of these rulings before that boeing ruling which may no happen until the spring. They are not surprised by this u. S. Move but nonetheless disappointed thank you willem marx for us here, it means an escalation of what we were already dealing with in a market that was down a couple of days i believe Delta Airlines and jet blue came out and said they shouldnt be penalized for orders that have already been placed some u. S. Companies are complaining about this as well tesla delivered a record 97,000 cars in the Third Quarter but that missed analyst targets. About three quarters were model 3. Higher priced models s and x dropped. Tesla saids it exceeding deliveries it would need to deliver 105,000 vehicle in the Fourth Quarter to hit the target of the year you are talking pretty fine margins of things. I think it was 97,000 instead of 100,000 that was anticipated this stock is closely watched and monitored for any time they are going to miss numbers. Elon musk said they could come out on the higher end of things. I think in the email to staff. There is something to be said to underpromising and overdelivering you did see the stock down by more than 4 looking at highs not quite hitting 400. Recently was down under 200. Again, you are talking about 300 cars coming up, more on the market turmoil. Well talk the strategy that could move markets the next premarket winners and losers in the dow. Each day our planet awakens with signs of opportunity. But with opportunity comes risk. And to manage this risk, the world turns to cme group. We help farmers lock in future prices, banks manage Interest Rate changes and airlines hedge fuel costs. All so they can manage their risks and move forward. Its simply a matter of following the signs. They all lead here. Cme group how the world advances. That could allow hackers devices into your home. Ys and like all doors, theyre safer when locked. Thats why you need xfinity xfi. With the xfi gateway, devices connected to your homes wifi are protected. Which helps keep people outside from accessing your passwords, credit cards and cameras. And people inside from accidentally visiting sites that arent secure. And if someone trys well let you know. Xfi advanced security. If its connected, its protected. Call, click, or visit a store today. Wall street knocked about 800 points off in two trading days joining us to discuss the market now. Global marketi director and managing director. First question, you are referencing i said something yesterday. So you were watching and you thought that was a compelling question i asked about the secular bull market. You were watching . I was watching. Thats why you get the first question we may get to you . Is your answer yes . Yes, it is. If you look at the 200 week moving average, it is a good proxy. The market tends to skip off that longterm trend the market came down to 23. 46. As a definition of what trend is, the market is still in the up trend is that turning . I dont think it is. At this point, we are still in the bull market. You think those could be bottoming in this quarter . Yes, i do you look at financials and industrials. They are weak sharts theyve been side ways and down 8 to 12 months the longterm data is trending bottom i think we are coming into a zone where you have to be very careful being ex sensitively bearish. The shortterm data is getting deeply oversold here wildly bullish, i think there is a high chance the market deflects to the upside i didnt find much for you to like in this market. You think trade issues have been sort of underestimated and they are coming home to ruse now. Interest rates are low i wouldnt say im overly bearish. What are you . Where investors have gotten defensive and youve seen rates go down. Theyve declined i actually think we could head into a period of better clarity. I think the administration, you need to see improvements in sentiment and tone these leading indicators will start to pick up to the extent you are bullish or neutral is this a last gaps of air or do you think there is a lot of room to roll . To roll over . No. In a good way of this going on a lot longer, or like what happens at the tale end . Andrew, ive been saying this is going to be the longest on record we really havent gotten started yet. Value stocks are to bonds. Cumulative growth has not been huge there is no inflation. All of that is con deucive for access to go higher. This is the third time in the cycle we have had a marked slow down first was the debt crisis and the fed. This is the third one. This still doesnt feel like a huge slow down to me weve been rolling through. If you look back to wherewith where we were a year ago we had some turn down in may. Now we are dealing with it again. These are the declines this is not the end of the cycle. It is a pause amid you had a good nights sleep and it is thursday or something. If i read your notes, you were in such a bad mood yesterday as a result, the Global Economy has slowed u. S. Indicators are pointing slower bond market is viewing this as a mistake. Further deteriorates further activity and recession models are slowing growth. Not yet in that territory. I havent seen one positive i was responding to questions being asked were we talking you into negative comments . Far about it from the media to do that. The market is why does the market so bad. Dont tell me this. I apologize. It was on me where i need to push back and say yes, do that. You dont have to be a hostile witness. It is okay. I didnt want people to think i was accusing you of being negative i was like brian is not bullish. No. This cycle should go on long it doesnt have to be this way 2 growth, 2 inflation, all of that should be really good sentiments eroding, the administration could change that in an Election Year and i expect they will. Im really glad we had a moment lets clear this up. Can i go back to your question yes, please people talk about market cycles when we look at the market cycle and separate that, they do track, you look at the average move, you have the market cycle that goes up two years or three years. The minimum is around 62, 65 the 200week moving average is rising it could get worse or better. This doesnt feel like a big pull back to me. This makes fridays employment number even more critical. People are going to look at anything they can. Adding that employment numbers are down people react when they dont know what is going on. We sliced that two days ago when they went down hard. The short term indicators is starting to get buried i can understand your point but we are down less than 3 weve been treading water for a long time. The longterm trend i think we have a bounce before that when you look at the longterm trends, they tend to run in these 15, 17 cycles we have a small sample size. 50, 60, 70 thats your sample size they put people in jail for circumstantial evidence surely we can vest invest on that i like that youve got that ugly construction bolt. He found that on a construction site and it fit. So good it is an ora ring. He says it is just a delay. We may be bottoming. You are a technician but if you need a fundamental back drop, im giving that to you now. At the end of the day, you need to watch does value tend to bottom towards growth. Thats the 64,000 question. It is going to get interesting next timeyou come on, ill call you personally so we can talk thanks thank you for having us coming up, more on squawk box. Well tell you what is going on at our favorite place. Bed, bath and beyond we got to go. Stock is down and dipping further this morning joe and i have been doing a lot of window shopping this year, less buying. I just got a vaporizer no joke. And it is not for the kids. That store and more all part of todays big movers. At synchrony, were changing whats possible every single day. And if you run a business, that means a lot. We create Financing Options for your customers. To help them get the things they love instantly. Our data provides insights into what your shoppers have already bought. So you can offer them what they might consider buying next. Our technology and Financial Solutions are changing whats possible in all sorts of ways. So, how can we change whats possible for you . Welcome back to squawk box. Time now for the executive edge. Well start with some stocks to watch this morning bed bath beyond. Same store sales fell. Despite my humidifier. You bought it there yes on line. The company says it is making progress in a search for a new, my goodness, permanent ceo joe, this could be an opportunity for you. Id run this. What would you do start selling beds. Bed bath beyond. The bed business has not been good casper . Casper has been good. I know. They dont have a lot of creativity you know what they call the company, the Mattress Firm that is a play on firm words. They are firm shares of gopro primarily due to production delays for the latest hero 8 black cameras that is the highest end that gopro is offering. That has been a tough ride 600 million market cap and shares of clorox lowering estimates. Announced a new strategy aimed at increasing growth fast food wait times have gotten longer. Finding 20 seconds more time waiting for food compared to last year, which makes no sense. The chain with the fastest time Dunkin Donuts average wait time. Chickfila was the slowest with an average of 323 seconds. Not that your actual wait time, it is when you are in the line some of these places, i see what people order i get really annoyed when i see six different frapacinnos. At starbucks . Mcdonalds. Where is that happening mcdonalds out of my way they captured that right there. What year was that . So long ago that is like a 1200 hp horse power powered porsche. And botax saved me. I kind of look the same. Keep thinking that. We look awesome i saw someone yesterday on a different network. Did you see beto got his flu shot no. He did his whole flu shot. The person talking about it said i get needles all in my face every three months im 50 and im on tv i dont care who knows and i get needles in my face all the time. Go, girl. Whoever that was i was proud of her. I havent yet but only because im afraid you are 30 years old. Sorkin, you havent yet either not yet but you would i wonder if any of this smaks the podcast. Coming up, well take a closer look at the data. Well also talk about some of the biggest moving sectors this morning, a look at the futures but not by a lot bouncing back at all news on the potential public listing for air bnb that comes after this break lets look at yesterdays s p 500 winners and losers too, if we can find any through the at t network, edgetoedge intelligence gives you the power to see every corner of your growing business. From finding out whats selling best. To managing your fleet. To collaborating remotely with your teams. Giving you a nice big edge over your competition. Thats the power of edgetoedge intelligence. Announcer welcome back squawk box. Good morning. Markets in turmoil this morning. Bringing the october decline to 838 points do you 3. 1 this quarter up 11. 8 for the year. Remember that drop began tuesday after a key measure of u. S. Manufacturing saw the lowest reading in more than 10 years. Well get a read on the Services Sector the nonmanufacturing sector cover 80 of employment in the United States. U. S. Equity futures ahead of the open right now, the dow would open about 20 points higher, nasdaq about 11 points and s p 500 around 3 points. An update now on the investigation into the 737 max i u. S. Panel has asked boeing to make an engineer available for an interview after a worker filed an internal ethics report after that engineer said boeing rejected Safety Commission in order to minimize costs. Air bnb is set to hire jointly Goldman Sachs and Morgan Stanley leaning to a public listing thanner than an ipo. That the mood is that they stick it to the bankers, to do that. Look at direct listing with slack, that is not exactly an argument for something working out either a different example i think it is a profitable company, it is a digital company. So there is scale to it. There is not crazy costs it is a Global Business. All of these now are valuation story withes we can argue whether wework is a terrible business or others. Have the private markets outpaced the public . What are the latest numbers for air bnb . I think over 30 billion, 35 billion. The latest number now. Whethers that right or not is the question whether these venture capitalizes have marked these up is the issue the other piece, the Public Markets that have done it as well the people putting up the money are not sticking them up at gun point either. Are there still people willing to run it higher i dont blame those people i dont either. Tripping themselves to get into these things. 100 . Stayed in one i didnt do it. Good for you. Someone has one im not a germophobe, so ill be okay. What do you do over there . Organic hand sanitizer, essential oils we like this you are making me uncomfortable. You use it too. Im not pitching it my favorite is, i dont want to shake your hand the guests who come in, sometimes it is their first time on tv and their palms are a little sweaty. Coming up, new data come on new data on moods in americas work force showing cities are becoming more and more popular here to take trade and taxes you are watching squawk box on cnbc your brain is an amazing thing. But as you get older, it naturally begins to change, causing a lack of sharpness, or even trouble with recall. Thankfully, the breakthrough in prevagen helps your brain and actually improves memory. The secret is an ingredient originally discovered. In jellyfish. In clinical trials, prevagen has been shown to improve shortterm memory. Prevagen. Healthier brain. Better life. You get the freedom of what a 7day return policy. This isnt some dealership test drive around the block. Its better. This is seven days to put your carvana car to the test and see if it fits your life. Load it up with a weeks worth of groceries. Take the kiddos out for ice cream. Check that it has enough wiggle room in your garage. You get the time to make sure you love it. And on the 6th day, well reach out and make sure everythings amazing. If so. Excellent. If not, swap it out for another or return it for a refund. Its that simple. Because at carvana, your car happiness is what makes us happy. Servicenow put our this changes everything. Youre right sir. Everything. No not everything, i mean youre still blatantly sucking up to me gary. Brilliantly observed, sir. Always three steps ahead. Six steps ahead. Sixteen. So many steps. You done . A million steps ahead. Servicenow. Works for you. Welcome back, everybody americas work force is changing let me read. Not in size but where they live. More professionals are avoiding high cost cities as more affordable cities rise in popularity joining us now to look at the winners and losers chief at linkedin. The reason these cities have gone up is because more and more people want to be there. The question that comes up is what happens when salaries get too high, costs get too high we are seeing what p happens now. Finally a Tipping Point yes when housing prices exceed 30 you cant keep top talent. San francisco, 51 people are living. They are going to phoenix, minneapolis. These are the new places attracting people. Bad for the big cities good for the companies. Steve has been a lonely voice in this. Hes been right. What is interesting, they go to these bigger cities. Absorb what they need to on Companies Working there. San francisco is absorbing the tech scene and taking it to smaller cities for these companies located in these highcost cities, they are smart enough to think about the Flexible Work forces how do you make sure you can have people in these smaller cities and still work for you. Is this being led by comm