Good thursday morning. Welcome to squawk alley. Im Carl Quintanilla with jon fortt, sarah eisen at post nine of the New York Stock Exchange joining us this morning Business Insider ceo henry joining us. We are awaiting President Trump expected to make comments on his new apprenticeship and workforce of tomorrow initiative that is rescheduled from yesterday. Also set to sign an executive order. Eamon javers with us from the white house. Do we know, eamon, whats inside this executive order what the president is set to say . Reporter yeah, we do, sarah. We dont know what the president is going to say here but this will be the first time to see him on camera today since he issued those tweets this morning about the reporting from the Washington Post that says he is under investigation for potential obstruction of justice by the special Counsel Robert Mueller. So well wait to see whether or not he addresses that. He was sarcastic and angry in his tone in the tweets this morning. Well see if we get some of that from the president today in terms of pushback or whether he sort of sticks to the knitting of this particular event in the white house. We expect that hes going to be signing this executive order let me give you a couple bullet points on what the order actually does. It allows companies, trade associations and unions to develop industry recognized apprenticeship guidelines. This idea of apprenticeship is one thats important to the president , important to the first daughter ivanka trump. Theyve been advocating for it with companies in meetings all year it directs the Labor Department to use the funding to promote apprenticeships, creates a task force to come up with ideas on apprenticeship and requires all federal agencies to review job Training Programs considering how to consolidate certain programs for increased accountability so theyre going to create a task force, theyre going to try to come up with some ideas and try to encourage companies to develop these Training Programs and apprenticeship programs. All part of work force week here at the white house those are the issues that this white house wants to focus on. But of course the mueller investigation, special counsel situation hanging very much over the head of this white house so well see if thats on the mind of the president here in a few moments, sara. Yeah, whether it overshadows Workforce Development week thanks, eamon. Henry, actually while the president did cancel his speech on this yesterday, the ceos did hold a working session with ivanka and reed. I got a chance to peek in on that a, who pays for it doesnt sound like they want to shell out additional federal money. So are Companies Going to adopt sort of german style pay for Vocational Training and hire workers directly after we only have about, what, half a million in this country so far well, this idea is a sound idea and certainly running a business very eager to hear what the president has to say, what the plan is, if there are tax breaks, if there are other incentives for putting together Training Programs where you do take folks and you retrain them or help train them in a particular field thats great we obviously do a lot of that. Most Major Companies do a lot of that but if we can increase that as a country, thats a great idea. Henry, there are some ideas that just need organization, just need somebody to say, okay, everybody get in a room and lets work out some standards and that makes things better there are some ideas that really need funding in order to work. What kind of an idea is apprenticeship is it simply a matter of getting everybody in the room to agree on certain standards or does the federal government need to kick in some money to really make this work . I think you could kick in money in the form of a tax break, ultimately. Just another incentive where you say, look, if you put this together, whatever the training is, if there are results ultimately we give you a tax break for that is probably a way to do it or you can pay directly. I think theres going to be much less eagerness for that. The white house pushes back against spending more money. They say the issue is not money, its accountability, carl. And really trying to streamline these programs and get companies onboard. Yeah. Look, we do part of the issue with the economy and the United States is our corporations are incredibly profitable relative to all history were not investing. And the reason were not investing is companies dont see the immediate return in part because so little money in the economy is going out in the form of wages the 90 of the country that actually spends the money. So anything you can do to encourage companies to invest in the future and training is one of those would be great. Its just, again, the devils in the details in terms of how they do it. With the longterm chart of labor share of gdp versus capital will prove that. This is something germany does extraordinarily well remains to be seen how much were willing to take lessons from trade partners where there are other political divisions between us. There are a lot of other things other countries do extraordinarily well that for whatever reason seem e nat ma seem to be a huge swau in the United States. So far seems incredibly tough to get it done here. And the economics i mean, you should look to germany on this one. We have 6 million job openings, the most ever since the data started tracking in 2001, eamon, and yet millions of people are dropping out of the labor force and that Participation Rate seems to go down germany has really done well with this when it comes to openings and keeping the rate high. Reporter its something that the Trump Administration has really been willing to focus on. But i want to bring you another headline that weve just gotten while weve been talking here. Since last night weve been sourcing this the Washington Post report to the the Washington Post reporting but now nbc news has a new piece of information now. They are confirming the Washington Post report nbc news saying a former Senior Intelligence official with knowledge of the discussions confirms that special Counsel Robert Mueller has requested interviews with the director of National IntelligenceDaniel Coates and National Security advisor chief Admiral Mike Rogers about their conversations with the president in an effort to investigate possible obstruction of justice so further confirmation of that story. That is you see some of the white house staffers gathered there now, whether or not the president addresses this issue but further confirmation of the story breaking in the Washington Post now confirming by nbc. Eamon, thank you for that dont go too far away. Well bring you the president when he comes to the lectern meanwhile, watching markets, cutting their losses by about half dows down 46. Got some fallout from the fed yesterday. Got a downgrade this morning henry, google putting some pressure on f. A. N. G. Stocks. Theres some question whether or not investors are nervous about the Washington Post report and what that might mean for the development. As cashin said a moment ago, if it becomes a full blown d. C. Obsession, what happens to the agenda then . Is it postponed or done away with look, the market has been remarkably resilient through this whole thing its been getting worse and worse and worse in terms of around the Trump Administration and the plans seem to be getting delayed, moving out into the future, yet every day we seem to go higher and here we are its not like were aoff all that much. J. P. Morgan said 10 of trades in any given day are actually people based on picking stocks based on fundamentals how much do you think that dynamic, whether the number is 10 or something else, has to do with how the market has been behaving over the past several months say election day . I think in general as we talked about for many years and someone reminded me on twitter the other day said, hey, youve been negative or bearish since 1800, you must feel ridiculous yeah, i couldnt feel like more of a moron, but we are extremely extended on valuation. And folks post Interest Rates and low so you can have a higher valuation, assuming Interest Rates never go up, we are priced to have very crappy returns for a very long time does it have to happen suddenly . Who knows. But i think youre seeing a lot of investors saying, look, we have to buy something. And when this part of the market gets a little expensive, then well go here and now we have a situation where so much of the market is expensive. Whereas you go back to 2000 when we had that peak, that was very concentrated in technology and average stocks were not that expensive. So, yes, people are picking out fundamentals, but Fund Managers have to be invested have to do it on a relative basis they cant say im going to sit this one out for a couple years. If were in for the commerce secretary by the way walking into your room there on the right side of your screen. If were in for this decade long secular change, aging demographics, automation, suppressed inflation, that could go on for a long time. People cant afford to be in bonds. Be in bond proxies or growth of some kind. People will say that right up until the time the market drops 15 and suddenly theyll say, oh, im happy with bonds im not making much there but at least im not losing my shirt all the time that psychology will change fast. So bottom line, which makes you more nervous right now about the overall market, f. A. N. G. Or the fed . Interesting i think overall on a relative basis technologys actually okay everything is expensive. But when you have stocks trading at 25 times earnings, could they compress to 17 absolutely apple, huge company. We have this big iphone launch coming up. Could you see multiple expansion that drives it higher . I would think so on the other hand, you cant look at it and say, my goodness, its absurdly cheap. How about tim cooks comments in business week this morning on the cover of the magazine, talking about augmented reality, essentially saying we are in thein infancy of this Technology Ikea using it to show furniture is model t of what eventually will be the auto business. Weve been in the infancy for a very long time because it is simply not progressing into a huge commercial opportunity. That is a good example they showed off some very cool stuff at their conference recently be interesting to see what people could do with that. Does that translate quickly into revenue and Earnings Growth for apple . Not clear. This is driven by the iphone 8 or whatever it is going to be called thats what the stock is trading on. I got a closer look at the technology a couple days ago and my impression was if you want to use it for things like home renovation to see if a couch will fit in a particular room, it needs to be accurate at least down to the inch, halfinch, and right now its not quite there its a little bit too approximate. But the tools are on the table for developers to mess with it and go back to apple and say, heres what wed like and tweaks youd have to make and were probably a couple cycles ios cycles away from getting that level of precision baked into the operating system where, you know, ikea, house, using it to sell furniture at high end services. We continue to watch for the president. Obviously about ten minutes late or so. Expected to give some remarks on the apprenticeship, a word which the other day he said he appreciates and we all know why. Thats no accident. And the workforce of tomorrow initiatives sign an executive order later on today well go to the Investiture Ceremony for Neil Gorsuch Spicer seemed to suggest he would love to go to the congressional baseball game, but getting security pinned down for that event on this time tabtabl little tight. Yeah, he also mentioned scalise at the hospital last night. So clearly that remains a focus and i think a lot of people will be covering the game tonight as we wait to hear the comments on apprenticeship and the workforce, which is an important issue for our economy, henry, one question i had as it relates to this water discussion here is can it work for technology when i think apprenticeships, i think manufacturing, construction, those are the two big sort of heavy industries where we have seen it work in this country but marc benioff has been a leader, hes been at a lot of these meetings in washington about this issue from salesforce can these Tech Companies, can silicon valley, the job creators where people actually want to be pick this up absolutely. Again, this comes down to what sort of incentives you put in place for that, but there is a real shortage of engineers who are skilled in the kind of programming and development that these Companies Need and a lot of universities are churning out folks that have different skill sets, so to have the companies themselves say, look, we will put together a training program, we have the best folks in the world, we will teach you to do what we need u you to do, that would be incredibly valuable, not just for the companies themselves but for the country and training people. Yep well take a quick break here. Come back to the roosevelt room. E thpridt lesenwel sehim on the other side. Dows down 50. Dont go away. Anything. Even a coupe soup. [woman] so beautiful. [man] beautiful just like you. [woman] oh, why thank you. [burke] and we covered it, november sixth, twothousandnine. Talk to farmers. We know a thing or two because weve seen a thing or two. We are farmers. Bumpadum, bumbumbumbum live shot of the roosevelt room in washington, d. C. At the white house. The president expected to give some remarks this morning on the workforce of tomorrow initiatives, sign an executive order. Of course when he comes to the lectern well take you there live in the meantime a cnbc exclusive. Apple working to turn iphones into a onestop shop for all of your medical information Christina Farr had the scoop shes at one market this morning. Christina, this goes way beyond tracking your heart rate and your steps. Youre absolutely right imagine having everything you could possibly want, your labs, your detailed prescription information on your iphone and being able to share it with any doctor, caregiver, Family Member that you want. Thats the vision that apples been laying out very quietly of course in the recent months. Christina, it seems that the line that apple has to walk here is how much of this data do they actually want to store themselves versus how much data they want to just live on the iphone and give people the ability to share it. Because they run into some regulatory challenges if theyre keeping our health data in their cloud, do they not youre absolutely right about that, carl and i think where were going to see apple going is really making steps towards privacy and security theyve talked about health data in the past. My i suspect that were looking at health data exclusively on the device. Christina, we have to cut you off because we are seeing President Trump take the podium. Lets listen hello everybody thank you. Good morning thank you for all being here before beginning today, id like to take a moment to again send our thoughts and prayers to my friend and the friend of most of us in this room, Steve Scalise and his great family as he continues his very brave fight its been much more difficult than people even thought at the time hes in some trouble hes a great fighter and hes going to be okay we hope i visited steve and his family at the hospital last night, and i reassured them that the entire country is pulling for them, praying for them and that we are here for them every single step of the way americas hearts, and we mean this in the truest sense, sends its love a lot of hearts in this country, great hearts, and theyre all sending their love and support to the scalise family. And steve in his own way may have brought some unity to our longdivided country weve had a very divided country for many years and i have a feeling that steve has made a great sacrifice, but there could be some unity being brought to our country lets hope so. While at the hospital, i also visited with special agent crystal griner terrific young woman, of the Capitol Police, and her family crystal is one of the two Capitol Police officers who saved so many lives through her heroism along with special agent david bailey they ran right into the fire they ran right into those guns and the bullets. And they saved a lot of lives. America salutes both of their courage. They have great, great courage we all salute them we also salute the men and women of the Alexandria Police fire and rescue, and all of the First Responders the timing and the speed and the professionalism was incredible they performed with bravery and with skill finally, our heartfelt prayers go out to matt mika, who was badly wounded in the assault to matts family, anything you need, we are here for you. Hopefully matt will be okay. And these difficult hours its more important than ever to help e