hello. you're watching "worldwide exchange." i'm russ westgate. the headlines today. stocks in europe trying to stay in the green. a trade for a rally in asia. it's pushed the sx to a five-year height. asay abloy is unlocking value thanks to its cost cutting program. apple is due to report after the bell. investors pretty keen to find out if the tech retail giants'

low cost 5c iphone is selling. what's billed as the tabloid trial, rebekah brooks and andy coulson are on trial in london. >> announcer: you're watching "worldwide exchange" bringing you business news from around the globe. all right. a very good morning to you. thanks for joining us. we have a shortened "worldwide exchange" today. just an hour of the good stuff because the clocks have changed in europe. london is ahead of gmt but the u.s. hasn't changed. we'll go now and we'll squeeze inasmuch as we can. ftse 100 up 8 points. five year highs. xetra dax up. the cac quarante down 10%.

much stronger in asia hitting a fresh record high. the nikkei trying to recoup some losses from friday when it was down 2.8%. roo he bounding today, up 2%. some of the pressure off the end. we have the bank of japan's deputy governor coming out saying there's more stimulus if we need it. shanghai fairly flat. hang seng up .4%. the s&p/asx up 1%. take a look at u.s. futures following that record close again for the s&p. it's currently straytrading som three points above value. the fed this week as well can be a big focus for a lot of players. the nasdaq up about 6 points from fair value. the dow 30 points above value. here we go. yield not quite at the low

numbers we saw last week, just above 2.5%. yielding 2.52% gilt yield 2.62%. the dollar index down on those nine-month lows on friday. some reprieve for the dollar. sterling gold. dollar yen 97.59. we got down to a fresh two week low, 96.94. euro toll lar not quite on that two-year high that we hit on friday as well at 1.3833. the big focus is going to be the federal reserve's two-day meeting. this is after disappointing payrolls and consumer data. it's expected that the fed

officials will hold off on tapering. they released a statement on future policy action. joining me at the desk is kit deuce. nice to see you. how much pressure can we put on the dollar, do you think? >> part of the issue is we've made -- we have quite a quick move and we've reached the kind of levels you thought we might have got to, you know, probably five months before we get any tapering. so we've got three or four months where i don't think there will be any news that's particularly supported by the dollar. in terms of absolute levels, a lot of people might have hit their targets. we're in overshoot territory. the difficult thing is why you turn around and do anything different. >> on the flip side, is it hard to justify the euro heading towards 140?

we're starting to see question marks whether the upturn has peeked, the iphones, the pmis suggest that the recovery is weakening, inflation at 1.1%. >> yes. i don't think the euro's strength is every about european economy. it's more about the european similarity with japan. it's five times as big as chinas or japan's. . that's the driver. interest rates and market rates, yes, it's traded 120, 140 for a lot of the last few years. we're at the top end of that rate. >> is there a prospect that we've got -- i've seen this coming up, this q eternity. are we in the land of q eternity? >> it's a fear for a lot of people in the sense that the first attempt at unwinding any qe at all --

>> backed off. >> this is kind of, i don't know, the justification for never giving up, whether it's cigarettes, coffee, or alcohol or whatever it is people don't give up. i'm addicted to this and i'm going to have to keep on going. i think that would be a huge mistake. i think they should have tapered in september. maybe they knew what was going to happen to the politics. they should taper as soon as it's safe, but the only reason for q eternity is if the u.s. economy and the world economy is doomed to a horrible future. i refuse to give into that thought. >> treasury yields, there's a small minority, but some think treasury yields will fall down be to 2% and fall and they move up to 3% again. >> i think this side of christmas if you saw 2 or 3, it would be 2 not 3. neither seems at all likely right now. we've taken away all the things that would send treasury yields higher.

we've given the global investor community at the end of this year, if you want to earn money, if you think there's nothing to be gained from cash, you either need duration, go out and get yields, or credit risk or buy credit equities, find another thing, find some currency, buy some wine, do something. don't put your money in cash. there is a fourth quarter rush to do that right now. >> to carry bank? >> carry currencies had a good run from mid september until now. it's all happened quickly. carry for the next three or four months is back. >> it is worth pointing out today, we had a storm in the u.k. it is 84 years today since the original black monday, the start of the 1929 depression that followed all of that. are you in any sense worried about assets, not compared to them, but assets are over

inflated because of central bank action. >> some of them are. the cost of money is not rational. the cost of money is give or take zero. that means all sorts of misallocations of money can be seen. i was in the middle east last week. property prices are heading straight back up to where they were before dubai went wrong in 2010. and it's a direct response of them importing through fixed exchange rates u.s. rates. around the globe we are putting in place the conditions to create asset bubbles, even if you don't think we've done so yet. that's this addiction to concentrated easing and free money that we don't seem to be willing to get rid of. i'm optimistic that we will kick the habit before it's too late or hopeful or something. >> yes. the timing of that is very uncertain. you say the first attempt. we failed fairly miserably. we couldn't deal with the

implications because the markets are so volatile. they had a negative impact, the u.s. markets. the fed says, okay, let's get you used to the fact rates are going up and then we don't like the consequences of that. >> on a positive side, i wish they would have gone in september, money was misplaced. we were trading one year rates in five years time. they were pricing money five years out at over 2% in the beginning of may, up to 4% in september, we're at 3.5% today. we've only taken back a fraction of the move that we saw. in that sense we're in a better space than we were for june. we're not going to taper until march at the earliest. >> kip, good to see you. you've evaded the storm. >> no, i came back from the west country early yesterday. >> a storm in the west country.

thank you. every week cnbc is asking to you talk the trend by taking part in our online poll. this week we're asking with the green back slipping back, how are you trading the dollar index long, short. do you have a position? head to trader poll. you can also have your say on twitter using #trader poll. >> shares are trading higher despite the possibility of it having a drop in its third quarter profit. tnt's revenue just missed expectations. earlier the cfo for the firm said they were looking for further steps to restructure the business and is pretty cautious. >> we do see some signs of recovery but i would say it's fragile. it's a mix across the board with some countries doing a lot better. as i mentioned, u.k., the

northern european countries doing better. some countries are doing worse. it's mixed and fragile. >> stefan is still in madrid. he has more details. good morning, stefan. no storms down there, i hope. >> no storms. blue skies, sunny weather in madrid. a good set of results for bankis. 362 million euros is to compare with a huge loss of 7 billion euros loss last year. the bank set aside a huge amount of provisions to cover potential losses on its property. in terms of business condition, the weak spanish economy still having a negative impact on the recovery of the banking sector here. the net income which is basically the profit made from

loans dropped to 29% of the first nine months of the year. that was in line with expectations. the radio was at 13.6% at the end of september. it's higher than the average of the spanish banking sector. the trend since june is quite modest. not as much as we're seeing from bda. we're trying to see about the solvency ratio of the bank. we'll see about bankia tonight on the closing bell. >> the c of bankia, leo poll doe alvear a little bit later. a shaky start for chinese banks. it increased by a lower than expected 9.4%. its weakest growth in five years. gains in net interest income away by high provisions for bad

loans. margins have been under pressure for rising bad debt as well as beijing's press to normalize interest rates. the world's biggest airport has opened in dubai. it's got a site as big as hong kong eye land. is it a cates of build it and they will come. that's at 11:20 cet. can pending home sales in the u.s. rebound from the fall in july and august or is the housing sector due for a turn around? we'll preview today's release in half an hour. fourth quarter sales with two new iphone models help them breeze past the market in profits. all of that plus an atlantic storm barreled into brittain. gusts 1r50e67g 00 miles an our. jim acedo brings us the very latest.

>> announcer: you're watching world wide exchange. high winds across brittain have brought a crane crashing down in london. no jirgs hainjuries have been reported. extreme weather has wreaked havoc for many travelers.

rail service has been disrupted across the country. heathrow has confirmed 130 flights have been canceled. recent reports estimate 140,000 people in the southeast of the u.k. are without power. lines have been broken by winds and hundreds of falling trees. let's get more on how the storm has progressed. jim aceda is with us in the sea port of portsmouth. jim, it looks sunny at the moment where you are, but what's happened overnight? >> hi there, ross, it is sunny. you should come and join us on the coast. i'm in portsmouth. the good sign is that the ferries are out and running again after that storm that was just nicknamed stormageddon that hit around midnight and now it's moving. now it's moving northeast across

brittain. the torrential rains as you've noticed have died down and the skies are clearing. the winds are still strong. you mentioned gusts. they have clocked up to 99 miles an hour on the aisle ofman. so far one person is presumed dead, a teenage boy swept out to sea at the beach where he was unfortunately swimming at the time. the figures were 200,000 people who are reportedly without power. in broader terms, brittain does seem to have dodged a bullet. there have been major disruptions, you can imagine monday morning commuting through great brittain. trains have stopped service until later in the day. now we're understanding 130 flights have been canceled at heathrow and fallen trees have blocked an unprecedented number we're told of major highways. so far many brittains are

heeding the warnings. they've stayed at homeworking from their laptops today. the bottom line, ross, the government, unlike the previous storms, especially in 1987, warned people days in advance. they had a contingency. thanks very much, indeed. jim doing well to hold on. still to come, problems at heathrow to a brand new airway. dubai is setting up to be a global super hub. we'll have more on the world's biggest airport in terms of concrete and runways after the break. farmers presents: fifteen seconds of smart. so you want to drive more safely? stop eating. take deep breaths. avoid bad weather. [ whispers ] get eight hours. ♪ [ shouts over music ] turn it down! and, of course, talk to farmers.

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british security firm says it's dismissed a 1.55 billion pound offer. they described the bid as highly opportunistic. late last week g 4 s's ceo resigned. that resignation was amidst allegations of charging government contracts. the other company involved in

that was serco. that ceo also resigned on friday. the stock is up slightly rebounding a little bit from the fall we saw earlier. meanwhile, s&p says it's not one of the potential bidders for struggling smartphone maker blackberry. the chief financial officer told the magazine that blackberry doesn't fit into our strategy. it's part of sap's core applications. here's a big question for monday morning. just how strongly do you feel about your preferred brand of ketchup? for all the heinz fans out there, you'll be surprised to find out mcdonald's is ending the partnership. the former head of burger king is now the head of heinz.

is that a reason to dump heinz t tomato ketchup. is ketchup a deal breaker for you on the big mac. e-mail us or tweet us or direct to me twast rosswestgate. is there any other ketchup other than heinz? the others don't taste the same. not the right mixture of salt, sugar, whatever else they put in there. the world's biggest airport has opened in dubai with ambitions to become a global super hub. yousuf is joining us. we're not talking about number of planes, we're talking presumably about the amount of concrete that they've pourtd into this place. is this a case of build it and they will come? >> there is a lot of building, yeah, going on. it's quite a drive as i was heading to the airport. about 20 miles of vast stretches

of desert gives you an idea of how big this project will eventually become. now it can handle 7 million passengers a year but compare that to 2030 when the airport will boast five runways and can handle 160 million passengers which would make it the largest airport in terms of capacity. now the current airport will not be replaced at this point. it will be somewhere down the line. emirates at this point is not moving either. they're staying with their current terminal. i spoke with the ceo of dubai airport, paul griffith, and asked him how quickly he expects to fill up the new airport? >> we think that the demand will grow and grow. we've already started on day one with three airlines and 14 services a week from which is air, daily service to bahrain

and our problem will be how can we keep the expansion to keep going to cope with demand. a nice problem to have. >> give us an idea of the numbers. what kind of momentum are you expecting for 2014? >> i think over the next few weeks we'll have more announcements for more carriers and some kbiquite surprising ne about who will be here. what we have to concentrate on is getting the expansion of the facility. currently we're 5 to 7 million passengers and we're starting to see the need to get in here and really start to expand the existing terminal probably to about 12 million and then significantly beyond as the demand continues to grow. >> you're not the only city expanding. you have abu dhabi and istanbul announcing equally big projects. are you building too fast too much? >> i think the thing is people

in europe and north america are looking at this thinking, how on earth is this possible? the answer is because we don't actually derive much of our market from the point-to-point market here. the population here is relatively low compared to the size of the airport. our secret here, of course, is we've grown a very high quality destination for tourism and commerce so we have huge numbers of visitors each year, but more importantly we're being seen as the international hub of choice joining cities on the planet. airports are compensating for lack of airport growth and development particularly in places like europe. where the growth has clearly got to come from somewhere because more and more people will continue to want to travel so that airport capacity has to be provided. i'm convinced that ourselves and all of the other airports in the region will be providing enough capacity for that growth and

more. >> just to build up on that last point, authorities forecast that the industry will contribute some 32% to gdp growth in dubai by 2020. the decisionen hosting the world's fair and expo 2020 in november, that could provide a substantial demand boost in several years to come. in any case, the authorities here at dubai airport are very bullish to have this place the world top spot. they expect that to happen towards the end of 2014. >> the hub, all of that asian traffic that comes to europe on the way to the u.s., north america, we'll see what happens. that's a lot of concrete. yousuf, great to see you. still to come on the show, could potentially bad apple ipad and macs spoil the bunch. the fourth quarter earnings

coming up on "worldwide exchange."

another busy earnings week.

assa abloy banks. spanish banks are resolved by cleaned up balance sheets. apple is going to report after the bell. investors very keen to find out if the tech retail giants 5c iphone is actually selling. and what's billed as the tabloid trial of the century, former rupert mourdock accolade rebekah brooks on trial. >> announcer: you're watching "worldwide exchange" bringing you business news from around the globe. and if you've just joined us state side, welcome to the start of your global trading day. just an hour today. just so you know, we've changed our clocks. in the u.k. we've gone back. the time for a week and the u.s. is only four hours. for the rest of the continent

it's five hours. as opposed to five and six hours. on friday as far as futures are concerned, indicated up a little bit. cautious start. up three points above fair value. the nasdaq is some nine points above fair value. the dow after closing up 61 points is, what, another 33 points above fair value. fairly flat for european equity markets. ftse 100 had a storm blowing through brittain last night. the biggest since 1987 which pressures the black monday crash. things are more well prepared than they were last time. xetra dax up. cac quarante up. it is 84 years since the original black monday back in 1929. still, stocks up. what are investors to do in a big week that includes the fed meeting. guests we've already had on this week.

>> the q 4, chinese economy still with activity. i think that's helping. and also positioning. expectation in australia so it's short. it's weakening movement in og. >> precious metals are not reacting the way they used to as a vision hedge or even as a volatility edge. i would regard them as more risky and less connected with the global economy, but the rest of it, industrial metals, food stuff, i think they will do reasonably well over the next few years. >> the other thing that looks quite cheap to us at the moment is the dollar. related to the fed policy and related to people's positioning,

you know, where we've gone from quite bullish on the dollar and strategies that are quite bullish, the euro and sterling. i think that might be a good place also to hide in the short term where we see the dollar doing a bit better. the yen we think will weaken in due course. >> some of the thoughts we've already had. we're halfway through earnings season in the u.s. and big focus on apple after the close today. seema mody has more for us from cnbc hq this morning. seema, what are they going to say? >> hello, ross. apple is slated to report its earnings after the closing bell in the u.s. many analysts are expecting them to beat street guesses. last month the company updated its outlook to say it expects revenue and gross margins to be at the high end of its guidance

range. while that all sounds like good news, they are seeing the sales in iphones and macs down. the ipad air announced last week are important for forward guidance in holiday sales but will not play a big role in the earnings announced today. shares of apple while trading below its 2012 high of 705 has gained 20% in the past three months. it's trading at 525 a share. brian marshal who has a strong buy rating on the stock says catalysts include global rollout of iphone 5cs, 5ss. launch of a highly anticipated five inch iphone and new products like an iwatch or itv. all of these factors could help restore faith in apple's innovation and company's brand image. ross, back to you. >> it's a big day. the full year, it will be the

first time we'll have a full year profit, seema, since they launched the ipod in 2001. >> it could be. >> yeah. >> here's the thing. i like this. this is my favorite stat, seema, of the day. 65 million with the profits in 2002. over 40 billion last year. extraordinary story. seema, thanks for that. >> it is extraordinary. >> have a good day state side. plenty more to come. meanwhile, the trial of former news chief rebekah brooks begins. brooks who has arrived at the court is joined by seven other defendants facing charges linked to phone hacking at the now defunct "news of the world" newspaper. kathryn boyle joins us from outside the old bailey. kathryn, what's going to happen? >> well, ross, we've seen rebekah brooks and her husband charlie arrived in a black cab half an hour here. followed shortly by andy

coulson, exworld of the news reporter and exhead for david cameron. cameron used to employ coulson. he's friends with charlie brooks and rebekah brooks. he goes horse riding with them. it will cause potential interruptions at news corps. rebekah brooks is out on three different charges, charges related to phone hacking, also related to the coverup of phone hacking, and charges related to private and public officials because that's what could really get news corps in trouble in the u.s. on the foreign corrupt charges act. it's going to be months and months ahead of us, specifically today actually it might be anticlimatic because the jurors

are arriving, being sworn in. the prosecution may open their case but may not until tomorrow morning. i have no doubt i'll be back there tomorrow and bringing you more as the trial unfolds. >> that's the latest outside of the old bailey which houses the number one criminal court. is the housing market capturing a chill following falling home sales. we'll take the temperature of the home market and pending home sales. that's coming up. ♪ [ male announcer ] when we built the cadillac ats from the ground up to be the world's best sport sedan... ♪ ...people noticed. ♪ the cadillac ats -- 2013 north american car of the year. lease this cadillac ats for around $299 per month

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>> announcer: >> announcer: you're watching "worldwide exchange." the national security agency has denied that president barack obama was told that he was spying on the phone of angela merkel. they claim the president was informed by the nsa chief in 2010 that it had bugged the phone of the chancellor and he didn't stop the operation because he didn't trust her. trust her with what? annette has the information. i've always assumed, annette, that we're all spying on each other. we have this big listening post called gchq and what is it there for if not to listen to people. the mistake the u.s. made was

they wrote it on paper. once you have a record of it, you have to complain. >> that's true. the german constitution states that the u.s. secret service agencies are allowed to spy on german soil and they, as well, might be allowed to spy on angela merkel. so everybody who is now screaming that's against the law might not really be right. but let me reiterate what we are as well having in terms of reports coming out from the wall street journal. they are saying that president obama was informed about the spying on angela merkel from this summer and then he immediately stopped the spying on angela merkel among others. 35 international leading politicians. so that might actually be the case. that might actually be as well the opportunity of president

obama saving his face in front of angela merkel and as well perhaps being a little bit of a cure to the german/united states relation. one thing is clear, they have been spying on angela merkel's phone and as well the relations between germany and washington or the united states are seriously damaged, at least for now. with that, back to you. >> yes. got to run. for now. thanks, annette at that. that's the latest from the german point of view. meanwhile, more bad news. critical obama care websites crashed. the crashed data center determines eligibility for government subsidies. the company is working to resolve the issue as quickly as possible. michigan governor rick snyder is expected to testify in detroit's bankruptcy eligibility trial.

governor snyder orchestrated the state takeover. he was subpoenaed for his role in the filing. and if you've just joined us, a recap of the headlines today. stocks in europe open in the green. mildly trading high. trying to take their cue from another record close on wall street. apple hopes to follow suit with the fourth quarter fiscal figures today. the british phone hacking scandal resumes today with rebekah brooks set to appear. now to crest construction activity set to resume in september. the home sales are expected to rise 2.1% according to reuters poll. the national association of realtors says it should be close

to .3% for the month. cherry oliver is ceo of the carnegie group. nice to see you again. >> good morning. >> we saw in july and august -- >> thanks for having me. >> always nice to have you. we saw in july and august the rates going up and all of that taper talk. now that they're going down is that going to feed through to pending home sales or not? >> yeah. i think even more than that. folks are sort of getting used to the direction mortgage rates are going in and are afraid of where they may go in the future, but one thing that's going to really impact the pending home sales numbers this month and next month are the government shutdowns because anyone who was thinking about buying a home during that period, wii extends for two to three weeks, absolutely didn't move. a lot of folks are still hesitant to get off the fence at this point because we've only really extended the date into december and then another deadline in january and another deadline in february. a lot of folks when it comes to housing are skittish simply because they weren't able to get

loans approved. who wants to put themselves through that headache if they don't have to move. >> look. pending contracts it takes two months to close. so there will be a delay? >> yes. in the u.s. about two months but, you know, we had problems lower staffing at some of the government agencies so there were as few as 30 people, for example, at one point approving the fha mortgage. in addition to the actual government agencies that they're in housing, we rely on the social security administration to process it. it added three to four weeks to the process. it was unknown. there's no con contingency. it says if you don't have your loan approved, it's okay. we don't have a clause for government shutdown.

folks are sitting by. >> fair enough. in the northeast, there's an increase in home sales. i now accept the fact that this is another bit of data that we have to get through. what do you think is happening on a regional basis? >> well, another big influencer that we're seeing on a regional basis is inventory availability. inventory has been tight in the u.s. for quite a while on existing homes but also on new construction because of course new construction is down to less than half of what it historically is. i think that's probably one of the biggest influencers at this point. moving forward we have rising interest rates, as you mentioned. we've also got a series of really significant new rules that relate to housing that go into effect on january 10th, 2014, under the dod-frank act. that will have a huge impact. three in ten people who qualify for a loan today, today's standards are much tighter than before, will not qualify for a loan under the new rules. we need to wait and see what

will happen there. >> lots of things to clear up. thanks so much for joining us this morning. now an atlantic storm barreled into brittain overnight. gusts reaching over 100 miles per hour. pretty unusual for this island. we'll bring you the latest on the damage and disruption and look ahead to the u.s. trading day as well.

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managing them, moving them, making them work. we oversee 20% of the world's financial assets. and that gives us scale and insight no one else has. investment management combined with investment servicing. bringing the power of investments to people's lives. invested in the world. bny mellon. . high winds across the u.k. have put a crane crashing down on top of cabinet offices in downing street in london. no injuries are reported. whitehall is still closed. this comes as extreme weather has wreaked havoc for many travelers in brittain. rail service disrupted. heathrow confirmed 130 flights

have been canceled. recent reports now estimate that now that 200,000 people are without power as lines have been broken by winds and hundreds of falling trees. here at cnbc we have personally been affected. the executive producer suffering a garage falling on his car. oh, dear, oh, dear. i have a chain saw. i'll be down there fairly shortly. i'm sure there's no chance of me scratching your car. what could possibly go wrong? meanwhile, a year after hurricane sandy left it underwater and destroyed, ellis island is reopening today with repairs to the historical landmark continuing through the spring of next year. enough progress has been made for the museum to reopen. more than 1 million artifacts and photographs will remain in

storage whilst the storm came through. european equities, we're up .1 for the xetra dax and ftse. it's up over 2% and ahead of the -- following the s&p record close as well on friday. meanwhile, on the agenda at the beginning of the week today in the states we'll get a check of the real estate market. as we said, we have the september pending home sales number. that's released at 10:00 eastern. we'll have a read on the fed. that will give a read on factory activity, business conditions and employment. we'll also get industrial figures. we're right in the midst of earnings season. we'll have a look at merck, apple, we'll see if they have a life after the close today. u.s. futures indicating a tick higher at the moment. the dow is, what, 38 points

above fair value. the nasdaq is 10 points above fair value. the s&p 500 is nearly 4 points above fair value. we have ticked higher. joining us with his thoughts, director of trading investments of swan wealth advisors. good morning to you. another record close on the s&p last week. what do you think? do you think with all of the data in the fed we can keep grinding higher? >> i absolutely think we could. i think economic data is really weird right now. normally we think really good data is good for the markets and bad data is bad for the market and wishy-washy stuff is what throws us off. we're in the opposite scenario now where mediocre kind of wishy washy poor data is going to drive the market higher as we get this idea of more and more qe coming to the markets. really bad data is going to be really bad. really good data, stuff that makes us think, h'm, i wonder if

the fed will have to push qe around, that's going to drive the market. all of these gains we're seeing in the s&p 500 are due to the yield chase. that's chaes driving markets higher and will likely push us higher. >> has everybody just decided, look, taper's off until march. i'm wondering if the fed comes out and actually says this week, hang on, guys, it could still go in december and sort of mean it, whether we'll have to recalibrate. >> yeah. i think you absolutely could. if the fed comes out and says that they need to -- they're still looking at a december or a january time frame for qe, that will cause the market to sell off. a march time frame is priced in. looking at the vix around 13. the s&p is not moving that slowly. at an all time high. portfolio insurers using s&p

options is looking good. full disclosure, we have those on. that makes sense to me. yeah, we're going to malaise higher. we take the stairs up, the elevator down absolutely looks like that's what's setting up here. >> look downside protection looks to be a good idea. meanwhile, the dollar index is down. a little bit of a reprieve during the asian session. do you think the dollar will get pushed weaker as well? >> in the near term it looks like it. at a certain point you have to think that a foreign country will start stepping in. there is no way that the european union is going to allow the dollar to trade this cheap against the euro for this long. same thing with japan, some of the other nations. so near term, yeah, i think that's the trade. long term, you know, three, four, five-month position i would probably be fading these levels. >> martin, have a good day. thanks for joining us. trader investments at swan robert advisors.

that's it for shortened "worldwide exchange." coming up, "squawk box" and the opening markets state side. have a wonderful day.

"squawk box" begins right now. >> let's get ready to rumble. >> good morning, everybody. welcome to "squawk box" here on cnbc. i'm becky quick along with jeff

kiernen and andrew ross sorkin. the dow futures look like they're up by 36 points above fair value. the s&p futures are up by 3.8 points. among the catalysts that we have for the rally, earnings reports. half of the s&p 500 earnings are posting higher. 68% of the firms beat expectations. 54% beat revenue estimates. if all of the companies remaining report in line with estimates, earnings will be up 3.4% from last year's third quarter. on today's earnings quarter, we have dow and merck. as for the economy, we'll be getting industrial production numbers. pending home sales. dallas fed manufacturing survey.