Room to run. Our special series continues with a closer look at one sector up more than 300 decade to date plus how the chicken wars are shapg up reaching new heights all of that as Worldwide Exchange begins right now tuesday september 17, 2019. Congratulations first off to the new Orleans Saints and their quarterback. He became the nfls alltime touch down kingwith 540 touch down passes. He threw four of them last night. More on that coming up first off, wall street tried to extend a win of its own stock futures pointing to major and minor losses the dow down by 13 points, nasdaq down about 11 looking at the bond market a slight tick lower. Yielding 1. 861 . Twoyear 1. 631 . Thats how the treasury shape is moving right now let us go worldwide. In asia, we did see a positivity trade there. In hong kong, up over 1 you can see there now in europe. That trade giving a little bit of it back remember, a huge move for many of the major forces out there. The german dax off and the ftse 100 about flat after big moves from that brexit vote last week. Lets look at some of the top stories with rahel starting with boeing they are suspending production of the 737 max in january. The biggest is assembly halt in more than 20 years they say they will not layoff any employees in seattle during the production freeze at least for now. Looking at boeing shares, they are edging lower this morning. Also down more than 13 since the grounding of the max back in march. This morning, the european suppliers that are feeling the burn the board ati fiat are discussig the 50 billion plan merger. They are looking to seal the deal by years end putting brands like fiat, jeep, dodge, ram and others under one roof. The british pound with losses this morning after reports that Boris Johnson will push through a revised brexit bill that will guarantee the country will fully exit the eu by the end of 2020 with or without a uk deal giving the uk about 11 months to broker a deal with brussels. Do you remember for a few months, every day, we were getting brexit headlines it is still happening not nearly with the frequency of that period that looks like it is coming back the whole idea that you could have a massive auto deal coming together one of the biggest hurdles there was the french government. Now they are saying this is a go ahead for these guys the pound is interesting here. A move lower is no small feet but there was a huge run up. The idea here is that there would have been an idea for a softer brexit, perhaps a negotiat negotiated brexit. Thank you for those. Back home, u. S. Stocks looking to extend their record run despite uncertainty about trade and brexit joining me now, president at patomac wed patomac wealth advisors. Brexit, mergers. There are many cross currents. Yet, the euro stoxx 600 hit a record high. Is this a situation where nothing can take down the markets . I think a lot of the worry from those factors never materialized the pro brexit party passed and won the election the london market responded favorably. If anything, the weaker pound will continue to boost that economy. A lot of the worries there appear to be for naught for now. The trade war turned out to be a double winner for usmca. At least a verb al agreement for phase one. The worries in the market dont materialize. Meanwhile, the u. S. Economy and strength continues to be strong. That is the real story thats what won out. The strong u. S. Economy and consumer looking to 2020 upward earnings and gdp perhaps on the rise as well stocks do not go up in a straight line. Not to say 2019 has been a straight line. After a really rough 2018 fourth quarter. You can see why the markets would recover the way they did we are reaching levels where valuations are a concern, are they not absolutely the case weve talked about valuations that matter. Wall street is not a oneway Street Investors are a little getting ahead of themselves for valuations over that point typically, the next few years arent as ripe as they occurred. The story of the underlying economics are too strong they need to be selective. The enter pri points could matter here. But, yes, i think investors need to temper their enthusiasm at these levels what are you selecting and what are you staying away from what we are looking at is what wasnt run up look in the small cap space, especially Small Cap Value youll see market multiples below historical averages. You can see some opportunity in the small cap space. Banks dominate theyve pulled back because of this flat yield curve and intense pressure, which is really positive pressure from internet banks you can see an m a rally that can drive that sector. You saw it in the larger cap sector with suntrust can you see it more in the space as well. There is a fierce competition. The best way for banks to deal with that is improving technology, gaining scale and forces to reboost their margins which have come under heavy pressure in this flat yield environment. Thank you for those thoughts. When we come back on the show, flushing out the phase one trade deal we are live in beijing and changes at the top for one major streaming player that has that stock lower. Later on, from impeachment to the budget investors getting ared fready f busy week. A busy hour ilstl ahead when Worldwide Exchange returns after this no matter what i wore, i worried someone might see my bladder leak underwear. So, i switched. To always discreet boutique. Its shapehugging threads smooth out the back. So it fits better than depend. And no one notices. Always discreet. Doprevagen is the number oneild mempharmacistrecommendeding . Memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. There it is, a shoft windy city it is cold over there. We hope the folks there are getting the weather out now. The phase one trade deal with china. Top Economic Advisor saying the deal has been, quote, absolutely completed. Despite limited details and that it will not be signed until the new year getting to beijing for the latest developments there. Good morning or good evening to you. Reporter new reports have emerged that look like china is making it easier for more companies here to buy American Products and have beijing look good on its end of the bargain reportedly looking to grant more waivers right after the phase one trade agreement is implemented. Up until now, waivers have been granted to supplement strained supplies for example, u. S. Chicken is taxed 35 . The Trump Administration says china could potentially and is supposed to buy as much as 40, maybe 50 billion of Agricultural Products every year this move is seen as a way to make it easier for beijing to reach that goal. Is this a scenario where these could be foundational to what is happening with the phase two trade deal i mention only because there has been talk now about what is happening with phase two does this mean with all of these pieces, that next round of talks could continue and what could they possibly entail i think it is still very unclear. At this point, we dont know whether or not the phase one is going to be signed from what Robert Lighthizer has said he thinks this phase one deal should be signed by early january. At the end of the day, it would make it easier for china anyway to be able to reach some goals when it comes to agriculture ral purchases if it does allow for these. A lot left to be determined eunice yoon on trade shares of unilever sinking largely this morning why it is christmas coming early for mariah carey that is trending and coming up when Worldwide Exchange returns after this announcer todays big number, 29 thats how many record closes the s p 500 had this year. Stocks are on pace for the largest yelyaisie 13ar gn nc20 welcome back shares of roku are lower after they announce chief Financial Officer is stepping down he joined in 2015, he plans to help hire his replacement and assist with the transition the stock is up 300 but down 3 this morning unilever is cutting the sales growth for 2020. The Consumer Products giant reporting a slow down in south asia and weakness in north america. The growth has been a drag for several quarters where consumers are opting for fresher foods, Specialty Brands they make everything from dove soap to ben jerrys ice cream. Ending with pfizer, the fda approves the drug in the expanded use of hormone treatment. Reducing cancer deaths by more than 60 in men. Straight ahead on the show, bad blood between fedex and amazon putting investors on edge and on notice and new scrutiny for Purdue Pharma over transfers from the business to the Sackler Family those details when Worldwide Exchange returns after this we Keep Companies ready for whats next. man we weave security into their business. second man virtualize their operations. woman and build ai customer experiences. second woman we also keep them ready for the next big opportunity. Like 5g. Almost all of the fortune 500 partner with us. woman when it comes to digital transformation. Verizon keeps business ready. Thats a live shot of new york city right now. 5 5 21 am eastern time you can see the shot there of the ice rink well head right out to 30 rock to Frances Rivera with the latest it is a mess out there. Multiple tornadoes ripping across the deep south. Theyve been blamed for three deaths in louisiana and alabama. Fortunately, all of the students in this school were evacuated. The storm ripped down lines and trees. Winter blasts of snow and ice are making roads treacherous in louisiana a mother and son were killed when they are car spun into the path of a truck. The Campaign Manager for donald trump is due in court today. Rick gates pled guilty to cooperating with Robert Mueller in the russia probe. He was close to Paul Manafort who is serving seven and a half year sentence. They are not opposed to probation as opposed to jail time a group of friends dining in a ihop left their server a generous tip she thought it was a mistake and tried to give the money back but it is hers to keep everybody pitched in 100 bucks. I love these stories. Thank you for bitening up part of our day here. Thank you. How bowings First Assembly line freeze could send ripple effects across the entire u. S. Economy. Former ceo director set on what is to be aer vy busy week in washington, d. C. Flaush memory support brand. You can find it in the vitamin aisle in stores everywhere. Prevagen. Healthier brain. Better life. Stocks fighting for gains after new record highs fresh concerns giving investors pause. Suspending production of the 737 max jet. What it means for the future and room to run continues. Looking at the tech sectors decade of dominance and whether anything can slow it down. All of this as Worldwide Exchange rolls on welcome back to the show, welcome back to cnbc im dominic chu in for Brian Sullivan we are half way through the 5 00 eastern hour futures are looking at modest losses if these moves hold to the opening bell, the dow would open down by about 14 points, the s p would rise about two points and the nasdaq up about 10 points. The 10year benchmark currently 1. 866 the twoyear benchmark treasury note yield 1. 63 in asia, we are seeing green across the screen. Up over 1 looking at what is happening with early trade in europe we are seeing a bit of a pull back there right now, the dax off by 1. 5 the cac in france off by about a third and off about a ten in the decline. Lets look at some other top stories we are following a federal judge in california has handed uber a legal victory refusing to force the company to classify drivers in that state as employees but the judge refused to throw out the case entirely potentially allowing them to fight this into the new year fedex is out with earnings after the closing bell today the numbers come after amazon revealed it is blocking Third Party Sellers on the platform from using fed exas Ground Delivery Service up in the premarket trade new documents reveal the owners of Purdue Pharmaceuticals began taking more money out of the company as scrutiny in its roll in the Opioid Crisis grew. And making 11 billion in payments between 2008 and 2017 benefitting members of the Sackler Family raising questions about how much the family should pay itself to resolve lawsuits in the Opioid Crisis lawmakers in the house are preparing for an historic vote joining us now from washington, can we layout what the next few days will look like on capitol hill the process of voting will begin today with the House Rules Committee meeting at 11 00 a. M we do expect to hear from the committee nadler and adam schiff during that meeting. Hell also have to answer questions from the members expect that debate to go on for many hours with he know the outcome is basically all but certain. President trump will likely be it impeached. Schumer is demanding to hear from witnesses including hearing from White House Acting chief of staff Mick Mulvaney and former National Security advisor john bolton in the coming weeks, senators, particularly republican senators, will have a choice do they want a fair honest trial or a trial that doesnt let the facts come out trials have witnesses. Thats what trials are all about. The schumer and majority leader mcconnell are to meet today to look over what that trial will look like the only real clue so far is that it will start in january around the College Football bowl games. Maybe you can read more into that your new Orleans Saints did a bang up job. Sticking to business one second. Impeachment is one of the major themes in washington we have a budget battle. A vote on usmca also how does that calendar play out this week . There are really a bunch of important votes happening this week the Impeachment Vote is book ended by two highly bipartisan votes on capitol hill. Well see lawmakers voting on two bills that would fund the government for the rest of the fiscal year. There is 49 billion in more spending set to be on deck for this fiscal year that is something that is really important. Lawmakers are able to come together and really do the basics of governing. No more stop gap measures or threat of show down. Once these bills pass, theyll be able to bill the government at the end of the week, we are expecting a vote on the usmca. One of the victories, really both parties want to be able to go home over the holiday recess and show that they can still get things done in washington, even among this partisan political divide thank you for all of those updates and what is happening. For what is set to be a high stakes week in washington, im joined by president and former cb director under george w. Bush, george, thank you for being with us this morning you heard the report this is a big week take us through what the ramifications are given the idea that there are funding issues up for debate can we count on that to keep everything going i think she laid out the time line pretty clearly. It begins today with a vote in the house on these two spending bills. I spent yesterday waiting for it to fall apart. We have seen this moving many times. You dont really have a deal until you have a bill to vote on they did that late last night. It has all sorts of things in it you have the spending, yes seven years of authorization terrorism Risk Insurance repeal of every tax in the sca, cadillac tax, medical device tax. The list goes on the good news scenario is, they take care of business, fund the government, gets to the senate, gets done on thursday probably and we dont see a shut down or any tremors that go through the market from things going on in washington the bad news is, people finally get a chance to read it. Something is in there you dont like and we see the push back. Weve seen those before. Im still watching this pretty carefully. Lets talk about usmca. We have details around it. We are in the red zone for this particular move here is this going to be something all of the members of this freetrade agreement fact can get behind will this be a boom if we can get nafta 2. 0 passed this looks like the phase deal with china which is addition with subtraction. Somehow the north america agreement gets divided you get usmca in place it has some sectors where they have clear benefits. Digital trade are quite strong other places people are quite happy. That is the nature of big deals. The issue with mexico is on the ininspecti inspection of labor commissions. Whether done by altering usmca or a side agreement, i dont know that is manageable it should go to the senate in early january. Maybe not as much to do with trade specifically but youve been following the developments with boeing and the 737 max jet. We are hearing some estimates floating around the street that the suspension of production of the 737 max jet will actually have a market effect on u. S. Growth gdp could take a hit take us through what that means and how that bares out for the fiscal situation in this country. Certainly, it has already had an impact on gdp growth. Weve seen the potential cut in growth youll see that in the First Quarter data it feeds to the pace of Income Growth and the household sector which has been the strength of the economy. Watching closely to see that feedback certainly, Everybody Needs to understand this impact and that it comes from a relative ano