Nuanced. Im not real happy with the Freedom Caucus. But i have empathy for their position. Did you see theres one guy who already resigned . I have empathy for their position. I think it would have been better to i think the perfect i think they cut off their nose to spite their face. I dont know if they thought about it, the trillion dollars now that they have. 24 Million People will have health care. There you go. Whatever you think. Whatever youre reading. Whatever youre reading, probably continue with happy to get maybe 1 growth for the next eight years but now, the president is supposedly saying, if they wont work with us, well have to find ways to work with democrats. Yeah. They seem very amenable to that. Well hear some comments from him saying theyll be willing to schumer, i saw the compromises. We can go single payer. We can do drug cap price. Nothing was compromise, just solely democratic position. President trump is the closer. He will be able to work with democrats to make this all happen. Thats what the script says. The democrats if he cant work with republicans but thats not a big shock either. Since he ran against right. There are a lot of things on his campaign that but theres no way as you know, theres no way the democrats are going to do anything its all politics. Theres no waysi theyd sidl up to donald trump. Lets get to the markets asser that reacting. Raising fears from future deals potentially getting done on capitol hill. Primarily taxes. Thats the big issue. That the markets would like to see resolve, be it taxes or infrastructure spending. The dow is down by triple digits. S p futures off by about 15. The nasdaq down by 30 points. And right now, the markets have been down for seven sessions in a row. If theyre down for another session today, that would be the longest decline that weve seen in quite a while, it goes all the way back to 2011 for that losing streak. A lot of those losses have been modest declines. This morning, well beginning to see if theres a decline of triple digits. Overnight in asia, the nikkei down 1. 4 . Hang seng down. And shanghai especially flat. In europe, red arrows as well. Looks like the dax in germany is off by 0. 8 . The fete se a dollar decline. The cac in france down. Crude oil down by 1. 34. And this morning, its down another 45 cents to 47. 52. Also, if you want to take a look at the tenyear note, the yield sitting at 2. 4 . This morning, dipping below that at 2. 6 i dont know what that tells you in terms of projections for breathe or whatever concern were seeing in the tenyear but well continue to watch that as well. Other big story, President Trump planning to announce a new White House Office in fixing the government with business ideas. The White House Office of American Innovation will be run by trumps soninlaw Jared Kushner. It will include elon musk, bill gates, and marc benioff. Expects to operate as a s. W. A. T. Team. Also the Judiciary Committee is scheduled to vote on the nominations of neil gorsuch, as Supreme Court justice. But this procedural stuff could take a while. Senator grassley said it could be held over a week as Committee Rules allow any member to push it back. Uber temporarily halting selfdriving car tests after that crash that happened in arizona late friday. It involved one of the vehicles in selfdriving mode. There wasnt a backseat passenger. Uber has been testing selfdriving with volvos. They moved to arizona. At least in this case, at least according to reports, twaebts the fault of the autonomous vehicle. But nonetheless, the whole situation im confused. Ive read some reports that said is there was a driver in the car. As all are. Yes, there was. There was an uber driver in the vehicle working for driver but there was thought a passenger. Having said that, we should note the autonomous speeches in these uber cars are not nearly as sophisticated as what were seeing in the google cars. For example,. 8 miles somebody has to take over the car as it workings. Whereas, a google vehicle, you can go i dont know, thousands of miles, hundreds of miles before technically people are taking over every time. Lets see things happening in as far as the Economic Indicators and things this week, full of economic data. The caseshiller, s p home price index is coming with consumer confidence, a speech by fed chair janet yellen. On wednesday, pending home sales. And friday, personal income, chicago pmi and consumer sentiment. The earnings calendar kind of in the middle of that lull between quarters. A little light this week. But we do have results on lululemon, dell, Dell Technologies and blackberry. The gops failed Health Care Bill has republicans and the white house moving on to the next big item on the agenda and that is tax reform. Kayla tausche joins us from washington with the latest. Good morning. Thats bhal we want to move on but the administration isnt talking tab yet. Theyre still in defensive mode following the failure of the American Health care act on friday. The Vice President on saturday in West Virginia said the white house is still committed to reforming health care. Even though congress isnt ready to do it yet, President Trump will not rest, will not relent until we repeal and replace obamacare. And yesterday, budget director Mick Mulvaney who is deeply involved in the health care process as well said theyre moving on. When it fails which it will, it may be may, the end of this year, folks will come back and say we can no longer a 100day priority . No, because weve moved on to other things. The president does have things he wants to accomplish. Hes not going to silt and wait for congress to do the right thing. Congress chair asked when realistically congress could take up the mantel of health care again, he said, goshg, i dont know. The trump telling Washington Post setting up the new government of American Innovation its going to be led by his soninlaw Jared Kushner as you guys just mentioned. Its a staff of Business Executives and other meetings that have taken place with ceos and its led to al gore reinventing government or Ronald Reagans kitchen cabinet. Its reportedly already been meeting twice a week. Its supposedly focusing on targeting infrastructure with a beachhead into that new trillion dollar program. And also technology and data. The white house, we should note has yet to appoint a chief technology officer. But it is interesting to see the white house making this announcement. And getting behind another Business Initiative which is familiar territory for the president , as weve seen that the legislative agenda is potentially getting log jammed. We may have another administrative presidency, kayla. Well see. But thats how we finished the last six years with all sort of executive action. You know, its commentary on washington, on both parties, i guess, although this is intraparty. Its Pretty Amazing are you saying guys like boehner, right, he finally said im going to play golf or smoke or whatever the hell he does. You know, the same guys, these are the same guys. Where are they they feel good. They got their twoyear things. And theyre powerful. But i just i just wonder. Right. And they did exercise their veto power. But the question on tax reform is first, the administration said about a month ago that details of a white house tax reform plan should be coming out. At that point, they said two weeks. And we havent seen anything from the white house. And we know that the plan that congress is working with is part of the speakers better way plan which is really the beachhead for health care. So does congress feel like it can actually get behind another paul ryan plan after the Health Care Plan saw the fate that we saw on friday . And what does the white house feel it needs to put in a plan . Will it actually now put a draft forward and how much longer will that take if theres less around seen kayla, before the trillion dollars is now not possible to offset, do you know how many sacred cows there are . Youve seen herds of cows. Youve driven around. Theres cows everywhere. In tax reform, there there were sacred cows. I mean, where are they going to find a trillion dollars if they dont do voodoo economics with the scoring . I think so this will make Health Care Look easy trying to do tax reform. Hes going to have to do some executive action for the next 3 1 2 years. Well, trillion dollars, joe, what they say as gathered revenue. Theres a question whether that is now actually a viable alternative because thats a real source of meaningful revenue for the government. Even if you do get to the house, the senate is the problem. Im saving the tape of voodoo economics tom cotton, kayla, tom cotton is in walmart, now, need it more likely to get the border tax to get the trillion dollars. Did he connect all the dots and say im going to speak out about this Obamacare Repeal to get the border tax because hes going to screw walmart anyway . Its hard to find a specific cause and effect without having to get inside his brain or have him say that on the record. Certainly, the border adjustment tax does seem like the biggest source of revenue. Andrew, the commerce secretary didnt necessarily espouse the border adjustment tax. But he did refer to this trillion dollar hole and say well have to fill up some way or another. Kayla, what do you think, will the white house be the one thats going to try to push this now that they realize that the house has its own problems . And within the white house, if thats the case, who doesnt, which to say, i saw a number of commentaries over the weekend, it seems like the nyes were out for gary cohen. Theres a specific defeat from the New York Times who did mention that. It does seem like the economic wires are getting crossed especially now that Jared Kushner is spearheading this initiative because thats a big part of the agenda. I feel for Business Leaders they felt like gary cohen was their point person within the white house on economic policy. But if in fact hes becoming less popular within the four walls, its unclear exactly who will be leading it. There are a lot of people who want ideas. Want them to be heard. Implement policy. And really depends on who the president decides to tap for that power at the end of the day. Although some Business Leaders say they go straight to them. Thats right. Then theres we saw bannon tell those guys, hey, no debate here. One guy said no one said that to me. And it was he said his father. He didnt list ton hien to his. There was one other time i was channeling democratic influence, saying trump and kim jongun, and i got tons people thought you were going to call the dynamic scoring. And it will not make up for the loss. Assuming you dont get border adjustment thats why my whole you should not be floating on air. This is not good for anyone. Youre going to get your Market Correction that youve wanted for so long pipe don. I dont know if it gets us back below 20,000. Im not floating. You just said, im so happy with 24 you just you are floating. You didnt need a plane to get back from utah. Thank you, kayla. Its not really kaylas fault. Shes just shes just the messenger. Who arrived in washington no, it was not. This morning, this morning, we get a full day of Market Reaction with the gop pulling the Health Care Bill. Joining us partner at trading analysis. Com and cnbc contributor and jim kearney, chief executive officer of concentrated u. S. Growth at ab. Were going to have katie later to look at the technical side of things. Shes looked ted vix. This is the beginning of something that at least rings of a little speculation on the market, or not . Yeah. Actually, the last time around, dale from u. S. Investment, remember that, we were talking about that are you asking me whether i remember what she said yeah. Yeah, i do remember no i dont. Anyway, tell us what you said and he said. Well, we were both saying that the market is getting a little overdone here. Did we have anybody on who didnt say that . Well, a lot could go wrong in the first 100 days. And this is whats happening now. For the first time actually on march 21st, i went out of all equity markets. So, im out of all trades. I want to shore up the market, i think were in for a 5 correction. Just to put it in context, what exactly nobody is talking about the technology, the nasdaq 100, on a technical point of view to give you the context of how big this reversal was. The high of the march 21st bar and the low of the march 21st bar, that day encompassed the last 24 trading day. I think everybody felt the market was just going to go up indefinitely. I think we saw that in the last three or four months. Now, were going to see a little more chopiness. The question is where can we pivot and i think there are opportunities out there. You mean domestically, europe, where . I think domestically, even health care. Health care has been unlugged for 15 months. How do you play it though, not knowing where this is going to play out as joey just said, or the president , its going to explode and well be back in this again. Heres what we know, 2017 is in the bag. All of the premiums are written. 2018 it will be around. Were really talking about fixing 2019 at this point. Insurance companies are standing by figuring nobody is going to get pushed out . I wouldnt go to the Insurance Companies, id go to the providers or hospitals. Glover is going to be on saying that these guys now the need to stand up for their principles have been satisfied. How do you sound like youre principled and then turned around and then how do you get the moderates in the Republican Party . And the total moderates in the senate . You know, listening to people, as you said, its nuanced, andrew. Seven years ago, it was different. We didnt know whether we wanted Something Like universal health care. We didnt know that everyones birth right was necessarily insured. We put something in like this we know about entitlements. You cannot take back an entitlement. That was crafty and swift the way it was done. Thats what the ryan plan sort of admitted to. That youre not going to pull the rug outside. If youre going to do this, its a different world that were living in right now. Lets fix what we can about the things that are most advantageous about health care. But try to cover it. Have it in the end as the goal to do. The Freedom Caucus, those guys just went right back to no entitlement whatsoever. No entitlement. Well, the language they were describing, the biggest republican Health Care Bill. And the worst bill ive ever seen. The language was so fiery. And you read again, the things that were in there that would have been beneficial to the Freedom Caucus, you read all of the different things. President trump tweeting about it himself this weekend. Right. I dont know if you agree or disagree with the president on it of who owns it now . Oh, no i i think its much harder to just say the democrats own it. I dont think so at all. Are you supposed to fix what you did seven years ago . Yeah. He spent the past two years saying he was going to get rid of it and he gets there and he cant. Do any problems that happen under the nation become your problem, whether he created it or not. Thats another slick way. You put it in. You let it blow up in 2017 and then you blame the next guy. Right. Any problems under your watch, youre going to be the democrats always have to bolster their case. So that helps, too. Its hard to do anything. What about financials from a monetary and regulatory . Hes lost a lot of capital. They could weigh on this market as well. Thank you. When we come back, what should be done with obamacare now that the gop bill has failed to take off. A critic of the Affordable Care act but first look at this day in history. Its been over 100 years since the first stock index was created, as a benchmark for average. Yet a lot of people still build portfolios with strategies that just track the benchmarks. But investing isnt about achieving average. Its about achieving goals. And invesco believes doing that today requires the art and expertise of highconviction investing. Translation . Why invest in average . Welcome back to squawk box. Futures under pressure this week. Triple digit its on the dow, 102, the nasdaq indicated almost 30 points. The nasdaq down 15 right now on the s p. Okay, lets turn to the future of Health Care Act and the plan that failed on capitol hill. Lets bring in the president of the foundation for research on equal opportunity. Former Health Care Policy adviser in mitt romneys president ial campaign. And author of how medicaid fails the poor. Thank you for joining us this morning. Help us understand where you think this all goes now . Yeah, obviously agency youve been reporting, talking about, health care is not going to be a 100day priority but to say that health care is over, as paul ryan said that obamacare is the law of the land for the foreseeable future, i think a lot of conservatives dont see it that way. Theres going to be another opportunity to hit health care later in the year, early 2018, and that will be better because this process was really rushed. You had a bill dropped on a monday night. 16 days later republicans were supposed to vote on it onesixth of