that's all for this edition of "dateline." i'm andrea canning. thank you for watching. [music playing] ♪ good morning and welcome to "street signs." i'm joumanna bercetche and these are your headlines. u.s. authorities investigate whether the cabin panel that blew off a boeing 737 max-9 plane was properly attached after a number of loose parts found. a and early markets gain with the nasdaq posting the best day since november.

the borne resignation. the french prime minister steps down as president macron looks to inject fresh impetus into the government. and samsung shares slide after the unexpected drop in the fourth quarter profit amid weak demand, but video pops after chinese trade restrictions. good morning. welcome tothe show. one of the major stories we have been following the last 24 hours is united airlines and alaska airlines say they have found loose bolts on a number of 737 max-9 aircraft. the fleets are grounded are undergoing inspections after the accident over the weekend which a side panel blew out. boeing is revising its gui

guidelines, but the faa needs to approve them before carriers can begin repairs. the aircraft manufacturer is in close contact with max-9 operators. this is a picture of how boeing is looking to open up today. moderately lower today. .10%. this is after yesterday's performance where boeing shares sank 8% as investors had the first chance to react to the developments. spirit aerosystems which makes the parts for the aircraft moved lower. alaska airlines and united fared much better. that is a complete picture. united airlines and alaska airlines down moderately. the biggest drop is boeing and spirit aerosystems. let's get to arabile who has

been monitoring the story. united airlines found loose bolts on door plugs is worrying. >> it is a flat stance on the trade yesterday. i wonder what happens today. you see the loose bolts or found in the airlines. it does give the suggestion it could be a bigger worry for the likes of united airlines and alaska airlines which has a large majority of the 737 max-9 planes. they may be looking at themselves asking how much more can we carry. that is bad news for boeing, which had its own issues. it is still waiting for the max-7 and max-10 to receive certification. the max-8 with the two flights that crashed and killed 346 people. all of this is not going to help the situation.

let's remind you what has happened over the last 24 hours. five things have come to play. the fridge-sized door panel or plug has been found and is being investigated. you have to get a sense of what caused the exact reason for the blowout. a cell phone was found on the ground linked to that plane actually as well. in pristine condition. >> that was one of the reasons apple stock was up yesterday. >> of course. it was interesting to have seen that. among that was a headrest. the cockpit voice recorder was overwritten. that specific plane, the 737 max-9 airline had three pressurization issues before the door blowout and prevented them

from flying over water. >> interesting to take a look at the airlines that constitute the largest customers. this chart from reuters yesterday is interesting. it showed united and alaska airlines are the biggest customers. you have a bunch of others like turkish one of the others, too. i wonder if this will have a bearing, this incident, in conjunction with the other safety incidents will have implications on future sales of this jet. >> it could. all five the those decided to halt any of those planes from flying across the weekend. including lyon air. that was the key reason from the crash we saw in 2018. it does matter because the deliveries have been the reason why airbus has been the leader

in deliveries or airlines and airplanes over the last fire ye five years. air bus is set to deliver its deliveries for 2023. it has a projection of 730 which would be an industry record. this certainly could impact airbus deliveries and so, too, boeing. >> arabile, thank you. boeing stock was down yesterday in trading. it does look to open up flat today. that set the tone for many of the companies within the airline industry. for markets as a whole, wall street managed to end up in positive territory. much better close. nasdaq up 2%. we had the likes of nvidia surge 6%. apple up 2.5%. it is a lot of focus on boeing, but more broadly speaking, the market continues to did well. the hand over from asia is

positive. nikkei is a new 33-year high. risk-on sentiment into the european session. the stoxx 600 is breaking away from the price action yesterday and is trading weaker. the stoxx 600 is down .20% today as we grapple with micro specific company stories today in these european boards. one thing i would mention is the macro. we are seeing the continuation of the fixed yields income higher in addition to the dollar today trading stronger. every single one of the indices is trading under ater. the ftse 100 is up a couple of basis points. basically flat today. we are keeping an eye on the retailers. marks & expspencer exhibited stg sales over christmas. that is giving a boost to that stock. gfk acquired an asthma

drugmaker. cac 40 is down .20%. big political developments in france overnight with the prime minister deciding to step down or be pushed out. we will talk more on the show with charlotte in a few minutes. the potential reshuffling of the french cabinet could have an impact on the french index. one name we are watching in germany is bmw. the sales update on how sales transpired for 2023. they hit record sales and hit the target of 15% sales of electric vehicles. some positive news coming through to the automaker. you would not think it the way the dax is trading this morning. in terms of sector leadership, this is what we have at the top -- it will come up in a second. itis a more negative day. tech down .80%. in contrast to the strong

reaction to the stocks in the u.s. yesterday. basic resources down .60%. real estate down a similar amount. oil tends to be volatile and has been over the last week or so. today, it is trading higher in light of the oil prices we he are seeing and healthcare is up .30%. i mentioned the u.s. session. it was a better session for the u.s. indices. dow up .60% low her. the nasdaq is very strong day. the best day since november. really bucking some of the weakness we had in the first couple days of trading. up 2.2%. chipmakers making a comeback as well as amazon and apple. as for today, we look to open down in negative territory. dow down 100 points. this is a continuation of the

risk-off move from europe. this is the picked for fixed ha 2.18. u.s. treasuries with the two-year yield up 4.388. the ten-year note is 4%. i have to note we will talk about fixed income in a few moments. 4% is a good point of support for the ten-year note in the early days of trading for the year. fed governor michelle bowman believes inflation could decline further with the levels previously suggest that further tightening would likely be necessary. however, bowman warned upside risk remained and the fed is not at the point p to cut rates. last friday's hotter than expected payroll report has

investors reassessing how aggressive the fed and other central banks will be with the interest rate cuts this year. according to goldman sachs, the market is pricing in 140 basis points in cuts from the fed and 150 from the ecb and 126 from the bank of england. a lot of rate cuts expectations priced into the curves. let's bring in richard kelly, head of global strategy. richard, wonderful to have you on the show. let's talk about the 140 basis points priced in to the u.s. yield curve. what needs to happen for the rate cuts to start? >> i think we don't have enough priced in. there is still more to come. the issue is the fed is laser focused on the level of inflation. they need to see that decelerate. that is the gatekeeper to start to ease to start to lower. >> in the absence of the fed indicating they will commence with the rate cutting cycle, how much more will be priced in? it feels it is hovering between

1 140 and 160. >> you need the data. right now, you are in the bit of kumbaya moment. that supports equities and risks and takes rates lower. we don't have to feel all of the pain from that. that gets us there. you need the inflation data softer. then you need the activity data. you need the labor market to soften. that gets pace to pick up. >> you need the labor market to soften. the last couple payroll prints surprised to the upside. we had the surprise to the headline number. some are saying labor participation rate. we are seeing a small softening of the labor market. not to the length that would suggest that a recession is going to happen any time soon. the data actually doesn't validate the rate cut expectations. >> it doesn't yet. we will get there. >> where do you see it in the

data? >> if you look in the labor market, last week, the headline number is strong. you see the numbers close to 200,000. the low unemployment rate in the eurozone. that is consistent around the world. if you dig through the numbers, it is the non-cyclical areas. it is health care that is sustaining 100% of the job gains. rest of the economy is zero jobs. it is not as healthy as the headline. >> when do you think the data will turn? when will the activity levels become more apparent or weaker? >> i think the inflation numbers in the next three or four months will come in soft. i think the labor market is still going to be a grind lower. by the time you get to march to may, that is the part where you see manufacturing has stayed weak and higher costs of living has fed through to businesses and pushed up their costs. it is late spring where i think the activity data is soft

enough. >> interesting. i was just doing the recap of how markets have been faring. stock markets better yesterday. fixed income feels stuck at 4% on the ten-year note. we have been flipping around that level the last couple weeks. this comes back to what you were saying earlier . what needs to happen for that to br breakthrough? >> we had an overshoot at year end. no one is talking. that 4% to 4.25% range is where we are bouncing and stuck for the moment. you need a conviction one way or the other. either we are all wrong and inflation is picking up and rates push higher or the trend in the data slowly gets you there and enough central bankers and speakers shift and we see that get us through the 4% level. you still have another 100 basis points. >> you would be long treasuries? you would buy at 4%?

>> you are looking for the opportunities. if you are looking in the next couple weeks, you may get in at 4% or 4.25%. you need to get to that over the course of the year. >> do you see potential upside risk? one focus on the year is geopolitical events and the disturbances happening with the red sea and houthi rebels and questions in that leads to another back up in supply chains. do you think that potentially could pose an upside risk and upside surprise to inflation this year? >> i think what we have been through the last two years, you don't want to be too blaise. it can hit our energy prices at anytime. the corporate sector hasn't slowed down as fast as expected over the last 12 months. if the labor market doesn't soften, wages stay strong. that is a world where central bankers will not be happy. >> that explains why central

bankers are reluctant. let's switch and ask about the dollar here. do you expect 2024 to be the year where the dollar track what is rates do? if rates continue rallying, we will see moderation in terms of the dollar strength? >> i think it is a trend depreciation with the dollar. like the start of the year with the treasuries, there is dollar buying. we saw dollar buying last lyear. the u.s. is standing out and the european data is flat. the u.s. is strong and that makes it hard with the conviction to continue to sell the dopplerllars. that's where you need to pivot. >> if you had to pick, what is the better tool at expressing the u.s. data is likely to turn in spring? >> i think still fixed income has further to go and is a stronger conviction. that will be driven by central

bank and the fed with the reaction function. the effect still has a lot of things on both sides. >> you have to factor in the risk-off to quality if we get another geopolitical faring later in the year. richard, thank you for coming on. richard kelly from td securities. let's switch and talk about the healthcare market. gsk has entered agreement to buy respiratory medicine aiolos bio-for $1.4 billion. gsk will release the results at the end of the month. novartis is closing in on the deal to buy cytokinetics for $10 billion. reuters says the takeover deal could be announced as soon as this week. a small dip in the shares of novartis is down this morning.

and hays is missing the forecast for the year after the fees drop 10% at the start of the year. the recruitment firm saying it is too soon to say with the challenging conditions. hays is not in the ftse 100, it is in the ftse 250. that is dragging down the other recruiters. in auto space, bmw reported 10.3% growth in the quarter selling 2.56 million units in 2023. it hit the target of 15% share of battery electric vehicles and says it does not see any need to cut prices in line with some rivals. still a dip in terms of the shares this morning down .40%. elsewhere, volkswagen reported a 6.7% increase of

sales in 2023 with sales of electric vehicles jumping over 21%. we are waiting for trade from grifols after citi research accused it of manipulating the numbers and called it uninvestable. the spain stock investor is analyzing the report. we have gone through a lot at the top of the show. whether it is boeing or the price action in stock markets or fixed income views and the corporate stories driving the trading day today. if you want to get involved in the conversation, follow us at x or tweet me @joumanna.bercetche.

coming up on the show, france's prime minister steps down after less than two years following days of reshuffle speculation. we'll discuss coming up next. what is cirkul? cirkul is the fuel you need to take flight. cirkul is the energy that gets you to the next level. cirkul is what you hope for when life tosses lemons your way. cirkul, available at walmart and drinkcirkul.com. my name is ashley cortez and i'm the founder of the stay beautiful foundation when i started in 2016 i would go to the post office and literally fill out each person's name on a label and now with shipstation we are shipping 500 beauty boxes a month it takes less than 5 minutes for me to get all of my labels and get beauty in the hands of women who are battling cancer so much quicker shipstation the #1 choice of online sellers go to shipstation.com/tv and get 2 months free

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welcome back to the show. let's move on to french politics. the prime minister, elisabeth borne is stepping down after two years amid the cabinet reshuffle from emmanuel macron as he looks to inject fresh impetus in the government. charlotte is following the story. charlotte, let me ask if she was resigned or pushed out? >> looking at the resignation letter, she was pushed out, from her words. she lasted 20 months, elisabeth borne. looking at 2023, it started with the pension reform. we know how difficult that was. it ended with the immigration law that also was controversial within the macron camp with the

voices against that law. there were rumors for a while there could be a reshuffle and new prime minister coming up next. in his new year's wishes from the president, he made it clear he was expecting to put a new team in place. that was last night when he was thanking borne for her work and now what now? she escaped the reshuffle in july, but did not last more than 20 months. who could be the new prime minister? we will see by the end of the morning with the new name. several names has been floating around. the defense minister and interior minister and one other name is the 34-year-old education minister which is a surprise. he is the very first early followers of macron. he has been the government spokesperson in the pandemic and budget spokesperson as other jobs in the past few years. it is a surprise. he is young at 34 years old. he is very popular.

in december, he came up as one of the most popular politician in france in the poll. it will be interesting to see how that works with macron. for some key challenges ahead for whoever the prime minister is coming next. >> legat me talk about the challenges. it would be a surprise if gabriel takes on the prime minister role. the parliamentary elections in summer of 2022 is when macron lost majority of the upper house. whoever takes on the prime minister role will have the same battle in getting laws pass anned. >> that doesn't go away. borne reached out enough to the center right and center left to get people behind the reforms. we have to wait and see if the new person can get more momentum behind the key reforms. i read in the good-bye letter, the reforms are needed to go ahead. that will not go away for

whoever is leading it. we have ahead european election in june. whoever will lead in france for that and the far right is in the lead at the moment. it is interesting to see the political dynamics in the country. the paris olympics this summer and the security with the topics and the key is who is the team around the new prime minister? the economy finance kminister could be on his way out. that is the first mandate of macron. we know the rating agencies are watching france closely. a change of name could be there. >> quick question before we round up. a lot of people are speculating, b bruno le marie has been around as well? >> who could be the heir of emmanuel macron who cannot run for another election and gabriel

helps him or burns him is a question. whether le marie is helpful? that is all in the background for the next three years. >> fascinating, charlotte. keep us up to date. that was charlotte with the latest from france. also coming up on "street signs," a.i. takes center stage at the consumer electronics show in vegas. we will have more coming up after the break. know that if she owns a life insurance policy of $100,000 or more she can sell all or part of it to coventry for cash. even a term policy. even a term policy? even a term policy! find out if you're sitting on a goldmine. call coventry direct today at the number on your screen, or

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welcome to "street signs." i'm joumanna bercetche and these are your headlines. investigators research in the boeing 737 max-9 plane parts were properly attached. and failing to track the bumper session on wall street from monday as tech stocks rally as nasdaq posts the best day since november.

the borne resignresignation. the prime minister steps down as emmanuel macron looks to inject fresh impetus into his government. and samsung slides after the slip in the fourth quarter property amid weak demand, but nvidia tops after the chinese trade restrictions. let's check on how the markets are faring. today, we will do the reverse order with u.s. futures. they are looking to open in negative territory after the bumper session yesterday with all of the majors ending in the green. the nasdaq was up 2% yesterday. its best day since november likes of nvidia up 6% and apple

up 2.5%. big day for tech yesterday despite the woes facing boeing. that stock was down 8%. european markets, however, in risk-off territory today. you see it is evenly distribute ed. even the swiss index is trading underwater. down .20%. dax is down .30%. sales numbers for volkswagen and bmw which are better than expected. cac 40 is down .20%. some political news to keep an eye on there. the reshuffling of the cabinet. the prime minister has stepped down. we should find out who the new prime minister is going to be. we expect an update from emmanuel macron throughout the day and tomorrow. keep an eye on that. the ftse 100 is trading around the flat line. we see a bounce in oil and gas today. for the most part, we are trading in the red. as for asian markets, this is

the hand overovernight. hang seng dipping .20% despite the up beat news from the tech sector in the u.s. yesterday. sang h shanghai rallying up 2%. the kospi is down .25% after the report from samsung. the nikkei is up 1.1%. it has hit a 33-year high today on the back of surging tech stops. nintendo may release a new console this year. nikkei is up 1.2%. a 33-year high. samsung electronics sees fourth quarter profit falling by 35%. that is more than expected. plunging memory chip prices hit the south korean giant hard.

a analysts say there is a pick up in demand. the stock is up 1.2%. here is the story. >> the miss in the q4 guidance. we had a market range in the lead up to the release with the tech demand. samsung delivered a guidance below the range. samsung said the profit fell to $2.13 billion when the estimate was looking for $2.8 billion. that is down 35% on the year. this is the smallest profit decline in five quarters, but the miss was big enough to erase the initial gains and weigh on the stock today. what happened when the market was primed for a memory chip cycle recovery? samsung is expected to improve in the memory business, but it is not a pure chip stock.

now the market belief is the foundry business and consumer electronics unit did not perform so well. that's a consumer demand story right there and lg electronics, a home appliance giant in south y f korea gave us the story yesterday. the call is happening on january 31st and investors will tune in for samsung's outlook for 2024 and as well as the plans on the device on artificial intelligence. i'm sheri kang, cnbc, hong kong. apple vision pro headsets will be available in the u.s. from february 2nd. shares are down 6% this year after two rating downgrades. the stock reported the first gain of the year on monday. speaking in the chip space,

nvidia has three new graphics chips as it looks to boost standing in the a.i. pc chip market. the chipmaker says the new chips would be compliant with export controls providing an alternative to the more powerful server gpu. a lot to unpack here. nvidia was among the first in the consumer electronic show where a.i. is set to take center stage. we have our analyst joining us now. let's talk about this upcoming ces. i'll say ces. it is easier. a.i., obviously, is a major theme. no surprise there. i guess the focus is going to be on how companies are showcasing how a.i. is going to be translated into the use case. what can we expect to see from the conference? >> i think we can expect to see from the consumer side is a.i. in every product you can think

of. smartphones and tvs and appliances. we will see more and more a.i. har hardware. 2023 is the year of a.i. e experiments. >> exciting. you write in your note, a report that you put out for 2024. i thought this was interesting. the main impact of a.i. is likely to be on politics. tell me more. you are thinking about further regulation or in terms of each countries industrial strategy? >> both. next year, we will have about 40% of the population going to the polls. the big one in the u.s. and then india and then taiwan next week. the use of generative a.i. toco.

it will cover $20 million and now a.i. will cost $1,000 to accomplish it. we have seen it in the uk before the labour conference. we had audio. that will help it more and more. regulation will happen more and more. we see the a.i. act. we will have full agreement in the eu. the u.s. is looking to do something. china as well. and in addition to policy, a.i. is in technology and it is a major strategy for every country. >> so fascinating and scary as you mentioned as we head into the big year for elections. let me switch gears and ask about semiconductors. all of us in 2023 is the year where we learned about chips. i started reading chris miller's book "chip wars." >> so did i.

>> i think it is interesting the last couple days to see the dispersion among the semi con discre ducters were saying. we heard about samsung and memory chips have been on the decline. sales numbers are not promising. we had disappointing numbers from one of the other semiconductors focused on memory chips. how as an investor should you distinguish between chips within the semiconductor space? where do you think the opportunities lie given how many is baked in to those already big in a.i.? >> generative a.i. is a big opportunity. you see with nvidia as it will continue. we will see more from amd and intel. on the manufacturing side with the gsmc and samsung, we are getting to where the market has

been declining the last couple years. it is plateauing. it is not declining like the last couple years. in manufacturing, you have the geopolitical issue with china and what china can do and compare to the u.s. and what i call better allies than china. when the u.s. can have with the japanese companies on its side with the exports. that's a help. we will not see much more -- it is taking a while for the chips to go away from asia to the rest of the world. we have seen the chips act. the chips act in the u.s. and the chips act in the eu. those facilities will not come online until 2026. the first in arizona has been delayed four years. it takes a lot of money and investment. >> what about semiconductors that sort the auto industry?

how is that outlook? >> cars are computers are wheels. we are seeing more getting into that. companies are focusing on this. they tend not to be the most advanced. you need more and more. i think there is a good opportunity for companies because we will see more vehicles and more personalization and more a.i. into cars which will be announced at ces. not so much on the cutting edge, but mid-tier companies. >> we spent most of the conversation talking about a.i. that is the reflection of the environment we're in. if we were sitting here two or three years ago, we would have talked about the metaverse and all that. i think it is interesting that apple is set to launch their vision pro googgles. how pivotal is the launch of the

gadget? >> it is spatial computing. mixed use. >> they don't say gadget? >> the space computing. we have seen the other devices have been on the market for a few minutes. it is a big announcement for apple for ces coming up. it will be interesting. apple is under a bit of pressure in terms of legacy product not doing as well. it will be an expensive product. as with apple, when it puts something to the market, it has an impact. >> since i have you here, what do you make of the ratings downgrade with barclays and piper sandler warning about the

iphone sales and anti-trust in the u.s.? how much of a headwind is that for apple? >> regulation is an issue not just for apple. we have seen it in the eu and we are seeing in the u.s. with the case against google and apple as well. the smartphone market is slowing. what is coming stronger is the premium smartphone market. they will be doing quite well. i think they might benefit at the end of the year. they have been struggling most of 2023. by the end of 2024, they should do better than what they have done in the last part of 2023. it is slowing. china is another issue. especially the u.s. and china tech war. that tends not to be too worried about apple. they will still make $19 billion in revenue in quarter. they are still doing pretty

well. i would like to be in the position. >> they will be okay. okay. dexter, thank you so much for coming on. the lead technology analyst at eiu. we were waiting for trade at the spanish giant grifols. we have confirmation it has opened up down 42%. 42.3% lower after the citi research accused it of manipulating its numbers and called the stock uninvestable. it is down 36% now. the supervisor in spain says it is reviewing the report that was put out and grifols issued a statement denying and rejecting wrongful accounting or reporting practices. take a look at the shares. opening up 35% just in the first

couple minutes of trading. shares in hp are down sharply in pre-market over it being in advanced talks to buy juniper networks. a deal could be announced this week. juniper specializes in network auto technology using a.i. which aligned with hp server operations. and morgan stanley is giving a food delivery company over 70% upside. find out which names they are tipping through our subscription service cnbc pro. scan the qr code on the screen to find out more. also on pro, raymond james' matt orton says investors should buy the dip on the tech stock and naming his a.i. play for

2024. to see what it is, get on cnbc pro. and coming up on the show, secretary antony blinken arrives in israel. we will have more after this eak. e started our business we were paying an arm and a leg for postage. i remember setting up shipstation. one or two clicks and everything was up and running. i was printing out labels and saving money. shipstation saves us so much time. it makes it really easy and seamless. pick an order, print everything you need, slap the label onto the box, and it's ready to go. our costs for shipping were cut in half. just like that. shipstation. the #1 choice of online sellers. go to shipstation.com/tv and get 2 months free. shopify's point of sale system helps you sell at every stage of your business. need a fast and secure way to take payments? we've got you covered. how about card readers that you can rely on? yep, that too. want

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welcome back to the show. taiwan's ruling party candidate says he the will maintain the status quo if elected. chinese authorities have denounced him as a separatist. lai says it would be like hong kong fake peace. the saturday elections have been cast by beijing as a choice between war and peace. u.s. secretary of state antony blinken touched down in tel aviv last night. the seventh stop on the tour of the middle east as the u.s. top diplomat is trying to prevent the gaza conflict from

expanding. the leader from hezbollah accused it killed one of the top leaders in lebanon. >> it is clearly not in the interest of anyone. israel, lebanon, hezbollah, for that matter to see this escalate and to see an actual conflict. the israelis have been clear with us they want to find a d diplomatic way forward to allow israelis to return home. >> let's bring in the analyst. good morning. thank you for joining us on the show today. it feels like regional pressure has actually increased in the last week. we had the drone strikes that killed the deputy hamas leader in beirut. we had one of the commanders of hezbollah killed yesterday. a step- up of attacks on the

iran-related targets within syria. there are more attacks taking place outside of gaza. to your mind, how big is the risk of a full-blownes es calat right now? >> that is the question we are seeing with the blinken visit in the region so far and arrive from the gulf. he has been using the word escalation a lot. in terms of the agenda, one of the issues at the top of the agenda is to try to steer the conflict to some kind of resolution over to another state in the conflict which is in an intense state, especially in southern gaza. from the u.s. perspective, that is not just about the humanitarian cost of the conflict, but we heard it is about the risk of escalation that could draw in hezbollah or

the united states. so, for biden and the u.s., the concern is that the longer the conflict in gaza continues, the greater the risk of furthest can legis -- further escalation. there is an issue with iraq and syria. all of this is a headache for the united states. the margin is small with so many moving parts. >> for sure. let me ask you what does a resolution look like at this point. is a return sufficient or are there other conditions attached to it? >> i think the hostages will be aing big part of any resolution. we heard from the united states and they are concerned about the drawn out conflict. a conflict that continues toward

the end of the year. in terms of what israel is looking for, they have the hostages and security concerns and there is talk of a buffer zone and from the palestinian point of view of what comes next and ending the conflict and moving toward reconstruction. these are all extremely complicated questions. you know, as with seen with biden visiting recently, looking toward that next phase with reconstruction is one of the areas where the gulf states will play a central part. we have seen qatar play an important part when it comes with hostages and mediation. the question is what comes next and until that is clear, it is difficult for the u.s. to try to tie all of the different parties together and move toward some resolution. that question of what comes next

is still very much up in the air. >> there is an appeal to arab states to help with the reconstruction states once this is resolved. they said they will not get involved until they see lasting peace. a lot of questions of what comes next. there have been several trips from senior white house officials to the region. this is antony blinken's third or fourth trip as well. how much influence are these officials actually exerting on israel behind the scenes, if at all? >> absolutely. of course, this is within a span of three months. an intense schedule of the visits to the region. obviously, the u.s. and israel are close allies. in terms of being able to put pressure on israel, the u.s. is in a unique position. israel has made it clear they are working on their own schedule and they have their own concerns. even with working with the other countries in the region, it is a

tricky balances act. especially because we're now in this tense moment in the region. if you go back to march of last year, we were starting to move toward more constructed diplomacy throughout the region. we had a diplomatic agreement with iran and saudi arabia. then, of course, the conflict very much fractured all that. we are now in a more complicated regional environment with the red sea security is one of many symptoms. a lot to untangle and a lot of different parties trying to involve in the process. the conditions for the diplomacy are more difficult now than last year. >> of course, the u.s. elections coming up and they will not get easier. that is all the time we have. wonderful to chat with you. thank you for coming on ""stree signs" today. we will round up the show with the markets.

we had a stronger day for u.s. equities. all three majors in the green. we keep a close eye on what is happening with boeing and the fallout from the door falling off one of the flights. of course, yesterday, not helping that united airlines found some of the bolts on the doors were actually loose. big question as we head into the u.s. session today. you can see all three majors are opening up in negative territory. that is it for today's show. i'm joumanna bercetche. "worldwide exchange" is coming up next.

it is 5:00 a.m. here at cnbc global headquarters and here is your "five@5." we start with stocks coming off the best day in months as the tech traded rallies back to life, but futures are making it look like just a one-day bounce. in portland, investigators recover the blown out door panel. now the focus is on the ground issues with the 737 max-9 jets. what is shaping up to be a very bus