European. The tenyear note yield continues to hover around even below that 2 mark. God, i i know. Shocking. Japanese negative to nine years out. Negative to nine years, youre paying them to take your money in japan. And the all important look at oil. Up on friday, down this morning, and we seem to be following on the equity averages. Lets get to our road map this morning. It starts with shares of chipotle are up this morning on some anticipated good news from the cdc. Perhaps a turning point for the company after that e. Coli outbreak . Plus what you need to know about the iowa caucuses. Well take you there live as the area prepares for snow. Shares of tesla falling after Morgan Stanley slashed the price target by 100. What has adam jonas concerned about it. And news on the activism front coming your way. Moments from now on alcoa. Lets get to the Broader Markets to start things off. Global growth concerns sends futures and oil prices lower. China manufacturing, pmi for january indicating a sixth consecutive month of contraction. It fell to august 2012 lows. Here in the u. S. , Consumer Spending came in flat for december, though incomes did rise 0. 3 . Year to date the nasdaq down almost 7. 9 . The dow a 5. 5 decline, the s p at a 5 decline. It was not in any way a good january if you were long in the market, jim it wasnt quite as bad as it appeared the last few days there gave a little help to those who own stocks. Here we are in february, talking about the same set of factors. The journal has a big take on it, everybody is short the yuan. Everyone believing the economy is in trouble, banks may be in trouble. You go on and on. You wonder if its become too con ksensu consensus. In our country that xhchina number would be in line. Alcoa deeply related to china you see a lot of countries, a lot of companies so behold deen china that you get the ripple effect. We are beholden to the futures. Futures say oil down, europe down, were down. We did have a very big run on friday. Some profit taking, maybe end of the month some aggressive buying. Its ugly again. Its ugly again. We should lets get to alcoa briefly here. You looked at the stock price, last November Elliott took a roughly a 6 stake in alcoa, jim. The company had already announced its intent to split. That said the news this morning is they have named rick schmit, john plant, and sean mahoney to serve on the board of directors. These are nominees they have gotten from elliott management. Elliott at a 7. 5 stake in alcoa. They have entered into an agreement that provides elliott will provide the slate of director nominees at the annual meaning. Mahoney will be included for election at 2016 annual meeting and will be added to the class of directors as terms expire in 16, and schmidt in 17 and 18 respectively. Klaus kleinfeld had been thinking about splitting the two companies up. Truly a way to play aerospace and outs to. Who do they add . Rick schmidt from spirit air ro systems. John plant from trw. Sean mahoney, not used to his work, but on the board of delphi. You have all the added parts of alcoa getting these three members. I assume they will be that part, just downstream. Elliott came to them with a plan. It was the same plan they were working on, from what i understand. That oftentimes. Many times you will see a company, often they think about almost everything that they can possibly do to enhance value, lets say. Doesnt mean theyre going to pursue those things, an activist shows up and will oftentimes propose many of the same things the company has thought about, perhaps push them towards it. We are in that time of year, jim, where the windows are starting to open up for nominating directors, and then obviously the possibility of a proxy fight looms. In this case, i dont want to guess too much here, but i would educate a guess that alcoa obviously stopped the possibility of a proxy fight by agreeing to this overall deal, if you will, with elliott where they support these additions to the board of directors. Had been going back and forth with alcoa suggesting they do this. Not that im some wizard. They kept buying companies that make it so theyre a bigger and bigger part of aerospace. Boeing did not have a great number. Honeywell had a great number. Airbus is agnostic. This is the kind of deal, where if you look at the ford f150, you look at aerospace, all the screws, couple million screws in a big plane, you know that part of alcoa is good. The part im worried about is the aluminum business. Why . It looks like freeport. It looks like bhp. When you go down and look at them, it has real demand. That lumping in is a false lump in but its what the street does. The stock has not done particularly well. No. And by the way, there was a 2. 7 million share block done earlier this morning that ive been trying to figure out why that happened. And no one seems to know yet. Maybe we can find out more. Right. Back to the Broader Market and our concerns here continuing about china and what exactly is going on in that economy. As i mentioned, george soros and many other people lining up against the yuan. Dont know if it becomes a Foreign Relations crisis for the state department when the chinese say what are all these speculators doing in our currency . How much do we play off china or is it still about oil . I think its more about oil. The futures were kind of just midly after the china news came out. Then the reversal of oil is what people continue to say is related to chinese demand even though we cannot pin that down one bit. Chinese demand year over year is strong. Oil goes down, inventories are still too large. I dont see demand at 34, 35 level. At the same time there was demand at 25, 26. The future curve shows you can get all the oil you want out eight, nine years for 45 bucks. I thought it was interesting that dominion did the deal that it did. Dominion sold 11 billion of oil and Deal Companies to tisch, lowes company, and now they bought questar. Questar maintain a small oil and gas operation in the rockies, but this is the kind of shuffling that the Smart Companies do. Ill have dominion tonight on mad money. Be aware that oil and natural gas are so low, no one is making money. We continue to think when will these companies cry uncle. Exxon reports this week. Exxon not one of them that cries uncle. Were waiting for them were waiting for them to start rolling things up, doing some things. Theyre there are always more levers than you anticipate in terms of a companys ability to string their life along for a longer period than you might have thought. And rusty brazil, my expert from rbn saying its the year of capital. Year of capital. Year of capital. Those who have capital can swoop in. We all know the problem here is that they dont die. Theyre zombie companies. They dont die. They got the stuff people want. Dead man drilling as we like to say on squawk on the street. Exactly right. Lets move on to lets move on to chipotle. Why not. The cdc expected to declare an end to the chipotle e. Coli outbreak as early as today. Investigators have not been able to pinpoint the ingredient responsible for the contamination. More than 50 chipotle customers were sickened in nine different states last year. I think in part also people were concerned about their inability to trace it to its source, jim. But they get the cdc, it would seem, to give them a clean bill of health. How terrific a day ahead of their earnings. Remember, when i had the coceos on mad money, they emphasized that they changed radically the way they will distribute the vegetables. They will send them to chicago, vacuum pack them and send them to the store. Thats so it is uniform. The highest safety possible of any restaurant chain. David, thats going to cost a fortune. Lets get the charges in, and see what numbers are tomorrow. Maybe the comp stores start coming back. This quarter will be ugly. This should be an ugly quarter, my hope is they make it an ugly quarter. Ja they cant do the kitchen sink, but theres a tremendous amount of cost involved trying to get to that centralized veggie issue. Was it natural or organic that caused the problem . I dont think that was the case. People want to get ahead of this. The company was buying back hundreds of millions of dollars worth of stock during this period. It will be interesting to watch that earning report. A lot more coming after the bell tonight. Lets get to google or alphabet later. Lets get to politics. After months of polling and debates, iowa caucus day is finally here. Chief washington correspondent john harwood is in des moines. He gives us a preview this morning. Good morning, john. Reporter david, good morning. Ive been sprinting around iowa with candidates over the last several days. When you do that, you hear a lot of long policy speeches, you hear proposals on taxes, foreign policy. For voters it often comes down to simple gut level impressions. Take a listen to how a few of them described theirs. Okay. Voting for clinton, pragmatic, progressive. Marco rubio, because he can unite people. Ted cruz, constitutionalist. Bush and honesty. Carly, confident, strong, and she has a blueprint for america. Trump, wall. We love you, donald i love you, too. Yeah hilly, seniors. Bernie, approachable. Hillary im still undecided. Now, here are the key questions were looking for as they go to caucus in about ten hours from now. You have first of all the question of whether Bernie Sanders and donald trump can harvest all that energy, which you saw on that tape. We have seen it at wallace. Theyve had the biggest rallying, the most enthusiasm, and the second question, Hillary Clinton and ted cruz are believed to have the best organizations in their parties for targeting voters, figuring out who they are, who are the undecided voters and blanketing them were messages . Can they deliver. And marco rubio, the stealth candidate in this case, can he sneak up in the end and catch one of those two republican leaders, trump or cruz for second place . The Des Moines Register poll did not indicate he would do that. Some people thought he had a good debate last thursday night. Hes got a chance. If he can do that, if he can finish strong third or jump into second, hell have a slingshot heading into New Hampshire, thats february 9th. Yep, onward to New Hampshire. Well see you throughout the day and into the evening. John harwood from des moines, iowa. Coming up, more on todays deals as well as why tesla is falling this morning. Lets give you another look at futures. We are 17 minutes from the opening bell. A lot more squawk on the street. Were live from post nine when we come back. Abbott labs announcing it will buy a alere for shares and cash. About 51 to the Closing Price of the stock on friday. Jim. They make tests for the likes of whether its malaria, hiv, tuberculosis, dengue. Emerging markets. Abbott has been a disappointing stock. But a good company. If you look at abbott stock, they have not done anything but what they said they would. It has not been enough for wall street. I wonder if this is a recognition that we have to keep growing. This deal is involving that front part that people are very interested in, diagnostics. But abve and abbott were doing fabulously. Abve has the competition. Alere is not a name ive mentioned often. Interesting history here. A couple years ago its founder was pushed out. A guy named greg powers is the chairman. They did a nice job, it would seem, of righting the ship. Getting rid of some business thats founder was focused on. As for this deal itself, my understanding is, having to spoken people familiar with the situation, is that they were approached, that being alere. They did do a market check, where your bankers call around and say are you interested . May have gotten other interests, so you do get a price here that is quite a nice premium. To be fair, around the 52week high, the stock. They missed earnings two quarters in a row, i believe, jim. Somewhat typical of this m a environment. You see something, you go thats a big premium. Then you realize the company itself suffered a bit recently. It is nonetheless eye popping to watch it up 45 . Diagnostics. Its interesting. This quarter of medical device is regarded as growth. Diagnostics, i will mention a company often in the news, theranos. Theranos had various relationships, people thinking that would be the best way, point of sale diagnostics. Ran into trouble with fda. Difficult, private company. This is a hot area, point of sale. Particularly in africa point of sale. Right. By the way, remember mosquitos have not been annihilated yet. We do not talk enough about that. Were familiar with that because of the rise of zika virus. Keep an eye on abbott laboratories. The price of the acquirers stock over recent weeks has not been performing well on the announcement of a deal. Even this one thats all cash. Each an eye on that. Thats a theme here. As it keeps happening it sends a signal to other ceos that may be considering a deal that the market may not like it much. Weve seen a pace in dealmaking so far in 2016. To be fair, a lot of it has to do with the sector. Dominion does a deal that seems brilliant to me. Get more pipe, up a couple bucks on that deal. A lot of these deals did you see the piece on Newell Rubbermaid jarden . I thought that deal made sense. Its been widely panned. For no reason that i can think of. Its a good deal. But, david, the zeitgeist of m a it can change. Like ipos. We dont talk enough about ipos . What ipos. None. Zero. We have so much more to talk about. Coming up next, cramers mad dash as we count down to the opening bell. Give you one more look at futures. A lot more squawk on the street. Ive been called a control freak. I like to think of myself as more of a control. Enthusiast. Mmm, a perfect 177degrees. And thats why this road warrior rents from national. I can bypass the counter and go straight to my car. And i dont have to talk to any humans, unless i want to. And i dont. And national lets me choose any car in the aisle. Control. Its so, whats the word . Sexy. Go national. Go like a pro. This just got interesting. Why pause to take a pill . Or stop to find a bathroom . Cialis for daily use is approved to treat both erectile dysfunction and the urinary symptoms of bph, like needing to go frequently, day or night. Tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex do not take cialis if you take nitrates for chest pain, or adempas for pulmonary hypertension, as it may cause an unsafe drop in blood pressure. Do not drink alcohol in excess. Side effects may include headache, upset stomach, delayed backache or muscle ache. To avoid longterm injury, get medical help right away for an erection lasting more than four hours. If you have any sudden decrease or loss in hearing or vision, or any symptoms of an allergic reaction, stop taking cialis and get medical help right away. Ask your doctor about cialis and a 200 savings card stop taking cialis and get medical help right away. At ally bank, no branches equals great rates. Its a fact. Kind of like social media equals antisocial. Hey guys, i want you to meet my fiancee, denise. Hey. Good to meet you dennis. Where selfproclaimed ofinancial superstars , pitch you investment opportunities. Ive got a fantastic deal for you gold with the right pool of investors, theres a lot of money to be made. But first, investors must ask the right questions and use the smartcheck challenge to make the right decisions. Youre not even registered; im done with you i can. I can. Savvy investors check their financial pros background by visiting smartcheck. Gov we have a mad dash. Disneys ringing the opening bell, i guess miss piggy is. On our mad dash you want to go to disney. Jeffries has a note today. We know a lot of the reasons why people have been fleeing disney have to deal with espn. This is a note about how theme parks may be maxing out occupancy approaching peak levels. The domestic parks they dont think can be the engine. Taking the price target from 112 down to 92. This is a new angle. I have to tell you, im a big believer in the theme parks. Theyre terrific. Are people getting too negative about this . When they report february 9th, will they be too negative . Weve seen that happen. Weve seen stocks get hit and hit and hit off of different news, then they report and people say, wow. This group has gotten cheap. Time warner i think is cheap. I dont want to bet against media here. Cbs, we have some numbers about super bowl. Pretty big. This is a piece that says, no, its not tv, its theme parks. Stock as we pointed out many times, its into the biggest movie perhaps that there will be of all time, stock has done nothing but go down once star wars came out. We had Electronics Art report out last week. It is funny, david, that you could have the biggest movie ever and its like, well, what you have done for me lately . This is like, okay, you won the super bowl, now its a new season. And i feel for iger from the sense of this, hes done a lot of things right. Theme parks have been absolutely stellar. So this idea that the peak level theme park i dont ever want to bet against theme parks. Theyve done a lot of technology, pull through in other merchandise. We have the downgraded numbers cut Morgan Stanley on tesla. Want to look at that. Some chatter around twitter that may move the stock and so much more. We have five minutes to the opening bell after this. Youre watching squawk on the street. The opening bell will be ringing in less than two minutes from now. That music is because miss piggie will officiate. Thats not her, thats just a picture of her. There she is. You cant quite see her. Stand up. Maybe she got older, shes been losing compressing the back or something. I know. Exactly. Kind of like you and i. Im already losing height. I dont have much height to lose. Put her on something. Abc, disney maybe we should ask her about that situation. David, i hate to continually go back to oil. You got to. What happens is we had if you go back and look at the industrial earnings last week, they were good. They were pretty good. They were good. Honeywell, that Conference Call was excellent. I read through that this weekend. You wouldnt knows there a slowdown. You get to the they have a refinery product, its a bit down verses what i expected. What can you do . You get to this dominion buy of questar, you say they want as much pipe as possible, natural gas is cheap, they can win. At the same time it goes to 30, we repeal our gain. Thats it, right . Wont have much there should be more to life, david. There is. Okay. Thankfully there is. Not for us between 9 00 and 10 00. There it is. Theres miss piggy at the big board. Celebrating the seas