good morning. data, data and more data. disappointing august. news maker of the morning. eunice yoon sitting down with allibaba chairman. trump doubles down. if you thought the republican presidential hopeful was going to soften on immigration, think again. all the details of the speech yesterday coming up. it's thursday, september 1, 2016. "world wide exchange" begins right now. .

>> good morning, welcome to "world wide exchange." i'm sara eisen. >> i'm wilfred frost. good morning to you from me also. it's throw back thursday. throwing it back with summer theme classics. i don't know the difference of the tunes, but i like them. still upbeat. still warm here. september is raining in the uk. >> it's always raining in the uk, isn't it? >> often. before we get to the markets. if you missed donald trump's highly anticipated speech. let's catch you up on what happened. self declared softening on the immigration issue to where to be found. instead, trump, recommitted to hard line policy including mass deportation after repeating horrifies taels of murders and rains committed by undocumented immigrants. trump said anyone who leaves the

u.s. illegally would be subject to deportation. >> we are going to trip it will number of ice deportation offices. within ice, i am going to create a new special deportation task force focused on identifying and quickly removing the most dangerous criminal, illegal immigrants in america. >> trump again vowed mexico would pay for the construction of a border wall between the u.s. and mexico, but the speech came just hours after trump met are mexico's prosecute who said his country would not fund trump's wall. have more on last night's speech and political headlines when nbc tracie potts joins us in just a few moments. clearly immigration is a key important for business. let's check in on the markets this morning. as you can see, futures are

marging higher on this first day of the month of september. historically the worst month of the year. s&p up almost 6. nasdaq up 19. this after a selloff yesterday and comes on the better than expected chinese manufacturing data. treasury sold off in august with yielding ticking higher. up in 1.60. 1.59 on the ten-year. happy pmi die. >> we ended slightly negative. a lot of rotation amongst that. kind of flat performance hides the rotation we saw out of the safeties of utilities and telcos into the likes of industrials and financials. let's look at what's happening around the world this morning. european equities pretty strong as you can see. germany up. france is up 1%. we did have manufacturing data.

it eased a little bit. nothing major. it was expected to be 51.8. uk manufacturing pmi the one of note coming in strong. significantly so bouncing back from all soft performance in july. suggesting that was just one aberration, the disappointment post-brexit. like some of the other data we had, retail sales has been stronger suggesting that things might no be as bad as expected and uk pound has jumped on that news. let's have a look at asian trade. fastest pace in two years in august, the data coming in at 50.4 versus consensus for 49.9. don't take too much into that. this is pretty volatile, this reading and often more positive than the later reading. >> it is across kmods.

hong kong stocks at the highest level since august of 2015. they've been on a tear. the broader markets is having an impact on the commodity sector. commodities like copper and tin all rallying. wti coming up a bit here after a steep sell off yesterday. still a positive month for august. closed 7%. wti sitting below $45 a barrel though. watch the recent weakness. yesterday, brent, the international benchmark sits below $47 a barrel. 46.90. it is flat this morning. as for the u.s. dollar, see how we're starting the month after a strong month during the month of august. ahead of tomorrow's job report, the dollar yen stronger again. it's been stronger every single day lately. highest level since back in june. above 103. expectations that the fed may move to raise rates is giving the japanese some breathing room who have been worried about the

stronger yen. it's gone the other way lately with the dollar making a move higher. >> it's interesting the dollar strength against the pound. it didn't against the yen. facing the possibility the bank of japan and the fed going opposite directions in the same month. that's why in the last week or so the yen has really seen softness and continued softness. the notable one moving today is the pound after the better than expected manufacturing data for the month of august. >> we also got private sector jobs. could be a prove for tomorrow's job report. economists looking for a number around 185,000 jobs add instead august. give you gold. it is lower again this morning by 2.50. >> today's agenda is full of economic data. weekly jobless claims. along with labor coursts.

july construction spending. the big auto maker release numbers. more on that? just a minute. cleveland fed president voting member is speaking this amp. as for earnings, campbells soup is before the bell. after the bell we hear from broad kom and lieu l lululemon. >> looks like some money may be headed home. in an interview with the irish broadcaster. apple ceo tim cook says the giant expects to repatriot billions of dollars back to the united states next year. he didn't say how much would be returned. apple does have $180 billion parked offshore. more than any u.s. company. that's clearly in focus this week after the eu ruling ordering apple to pay 14.5 in back taxes to the irish

government. weighing in with newspaper following news ireland will recover the money in unpaid taxes. cook strongly rejects the assertion by the european competition minister -- commissioner tham apples irish tax bill amounted to just a fraction of 1%. he says apple paid $400 million which made apple ireland's highest taxpayer. no one did anything wrong. island is being picked on. this is unacceptable. it is total political crap. you don't often hear executives say that. gives you a sense of how apple feels about that. >> i like we're able to say that word on air in the united states. >> it's a bad word in the uk. >> i like it. total political crap. he said the word crap. i'm using it now as a chance to say it. i'm not usually allowed to say the. >> go crazy. >> strong words.

good to see he's coming out. not just. >> now it's going to be a legal battle for potentially years. >> we'll wait and see. unfair to ireland more than apple. interesting he was saying as well clearly disagreeing with the verdict. let's move on to other stocks to watch today. sneak prove of what we're going to talk about. sales force.com reporting a rise in revenue. strength in cloud products. salesforce ceo addressing the issue with jim cramer on mad money last night. >> you saw the mna activity that we have done this quarter. that of course has weighted on our numbers and yet of course we are delivering these greater quarterly numbers. number two, we did have the foreign exchange situation that we just talked about and number three, we did see a bit of softness in the united states at the very end of the second

quarter. and these three things together is what is giving us an appropriate conservative view for the third and fourth quarter. >> down in the premarket. >> high expectations with this one. i mean, still it's a company posting more than 20% growth. that forecast at the low end of the range, 26% just wasn't good enough for investors and at least came on to explain some of the factors like 4 x and the u.s. weakness bind it. see how the shares trade today. they got punished after hours. >> they did, 6%. samsung hitting two-week lows. delays shipment for galaxy seven smartphone. batteries exploded while the phone was sharcharging. that would be a quality control worth working on. down 2% in korean trade. box reporting a quarterly loss. the loss was smaller than

analysts expected. revenue rose 30%. raising full year earnings and revenue outlook, but it's down 1.5% after decedent performance of the last three months. other earnings to watch. five below, raising full year outlook. however, projections for the third quarter which include that critical back to school shopping season and halloween, came in below analyst forecast. >> mcdonald's naming a new head for u.s. operations. current president is retiring after two years in the position. he did play key roll in the fast food chain makeover in the past year. being replaced by chris who joined mcdonald's last year from craft foods. mcdonald's shares unchanged. had a nice run up in the last year. back to the data calendar. number of economic reports out today, key indicator of consumer stregth. landon dowdy looking at three

things to watch in auto sales. >> good morning. bright spots in the u.s. economy. here are three things to watch in the today's report. first the numbers forecaster calling for annual sales rate of 17 million units in august. incentives growing slightly. this summer isn't delivering expo sieve sales like last year, industry is on pace to set a sales record. second the truck americans continue to flock to dealer showrooms to buy suvs and pickup trucks and auto makes are expected to report robust demand for bigger vehicles. chevy silverado. third thing to watch, sales events. labor day should boost sales. look to accelerate incentives such as cash back and low interest rate. a trend that should benefit the consumer. back to you. >> we will be watching. thank you. >> when we come back, today's

trade of the day. stocks that could rally in the new trading month. >> as we head to break, close out the month of august. breaking multi-month win streak. both falling fractionally. as the nasdaq on the other hand posting second positive month in a row. up just shy of 1%. lot more market analyst coming when "world wide exchange" returns. you get used to sweaty odors in your car, you think it smells fine but your passengers smell this... eliminate odors you've gone noseblind to for up to 30 days with the febreze car vent clip break out the febreze, and [inhale/exhale mnemonic] breathe happy. gilman: go get it, marcus. go get it. ...coach gilman used his cash rewards credit card from bank of america

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please, but only just the nasdaq ending the month up 1%. expected to open positively today. 0.2 or 0.3%. the dough called higher by 40 points. energy was a disappointing sector yesterday. oil slipped 3.5%. quite a big move. a bad week for oil, but for august as a whole, wti was up 7.5%. soft week, soft day yesterday. put that into perspective after strong recent gains basically flat. brent losing a little bit more than that at 46.8. sara. >> wilfred, time for trade of the day. today marks the first trading day of september. how can investors trade the start of the new month. data team at kencho looked at

numbers. last ten septembers which historically as we mentioned has been a tough market. in that tough month, the top performing are retail, regional banks, technology. just historical perspective on what tends to perform. brazil has been a top investment this year despite all the political turmoil there. a vote to impeach dilma rousseff sparking riots yesterday. hundreds of protesters smashing windows and fighting with police. the demonstration began peacefully, but turned violent after new president michelle tremer. tend of the impeachment process comes as they suffer a brutal economic crisis. senators voted 61-20 to convict first female president for illegally using money.

temer, her conservative suck seg or is is brazil's first -- former vice president. he's been running the government since rousseff was suspended in may. try to implement measures to heal those financial issues we previously mentioned. either way, as we said, shares have bounced back significantly this year after performed terribly the prior year. still to come, donald trump doubling down the immigration. details from highly anticipated speech in arizona coming up. stay tuned. you're watching cnbc, first in business, worldwide.

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it takes ingenuity to make it in the big city. welcome back to "world wide exchange." good morning. let's get you up to speed on the market action. looks like we're set to start september on a high note. dow futures up 50. they were up 60 half an hour ago. s&p up 4. nasdaq up 17 after a selloff yesterday that left the s&p and dow negative for the month of august. nasdaq finishing higher for the month. as for what happened overnight in asia, strength on the back of better chinese manufacturing data. the japanese nikkei jumped about a quarter of 1%. the shanghai comp closed lower. now at the highest level that stock market since august 2015. it is pny day. that means manufacturing numbers globally. better in china, better out of

the uk this morning. soft in europe. around 10:00 a.m. we will get the u.s. number. >> we will indeed. let's go to today's top political news. donald trump delivering a much anticipated speech last night in arizona. while there, was speculation that the presidential hopeful didn't back down from his hard line stance on immigration, despite meeting with the president of mexico yesterday. tracie potts joins us from washington with more. >> reporter: remember could be softenings in dealing with immigrants in this country. not what we heard from him last night. a hard line talking about mass deportations and a dispute this morning. the mexican government disputing what donald trump says happened during that meeting behind closed doors. >> donald trump in arizona last night. >> mexico will pay for the wall. 100%. >> reporter: trump hours earlier in the mexico with the countries

president. >> we didn't discuss who pays for the wall. we didn't discuss. they don't know it yet, but they're going to pay for the wall. >> reporter: the clinton campaign out with a new video saying the great negotiator choked and lied about it. the mexican government tweets we did discuss who pays for the wall. mexico won't do it and it's not negotiable. clinton claims trump failed first foreign policy test. >> certainly takes more than trying to make up for a year of insults and insinuations by dropping in on our neighbors for a few hours and then flying home fwen. that is not how it works. >> reporter: in the arizona speech, trump lays out immigration plan. immediately deporting two hl criminal immigrants. verifyi ining workers are illeg cracking down on those who overstay visas. >> no one will be immune or

exempt from enforcement. >> reporter: after hearing that, some of the surrogates latino spokes people who have been working with the trump campaign quit this morning. one was tweeting about it saying he felt that he was disappointed and felt he was misled by what trump had said previously in the speech last night. >> any indication about discussions between the mexican president and trump on nafda? trump said he wants to renegotiate it. did the mexican president seem to be on board with that idea. >> he seemed to think that some of trump's and he didn't specify this, but he seemed to think some of trump's plans were threatening to mexico. in this case, trump emphasized yesterday that nafda seemed to be working better for mexico than u.s. and wanted to try to rebalance things. >> for a newer economy. thank you tracie for the update. >> do you think hillary clinton was hoping to be able to

criticize trump for backtracking or doubling down. >> either. >> this was such a doubling down and had to change her tune accordingly. i imagine she was wanting to criticize him for backtracking. this is nothing new for her. >> the campaign set expectations. in fact he himself used the word softening in an interview with fox last week. it was unexpected, but especially after that. did you see the news conference in mexico. >> i heard it. very surprising turn about in terms of what we were lead to believe was going to happen. now to sports. could be the play of the night for major league baseball. we head over to chicago with the cubs facing te pittsburg pirate lift add ball down third base. shifted into a higher gear and ran it down making a great catch for the first out. ran more than 100 feet and

reached a top speed of 19 miles per hour on his dash. the cubs held on to win 6-5. >> great camp. round of applause for him. >> that's why we featured it. >> i understand. still to come, top stories in action. plus eunice yoon exclusively with alibaba founder. jack ma. stay tuned. "world wide exchange" is back in just a couple of minutes. download the new app? we're good. okay... what if a million people download the new app? we're good. five million? good. we scale on demand. hybrid infrastructure, boom. ok. what if 30 million people download the app? we're not good. we're total heroes. scale on demand with the number one company in cloud infrastructure. hewlett packard enterprise.

good morning. today's test for the markets. data, data and more data. all of the reads of the economy what was a disappointing august. the outspoken allibaba founder giving an exclusive interview. it's thursday september 1, 2016 and "world wide exchange" continues right now. >> good morning welcome back to "world wide exchange." i'm sara eisen. >> i'm yost. throwing it back with some summer classic to mark the end of what has been a delightful august. >> this one is appropriate. summertime sadness.

we mentioned jack ma. sat down with the alibaba founder and chairman earlier this morning. joins us now from china with more. what did he say, eunice. >> reporter: well, you know, jack ma really had a message for g20 leaders. we need more globalization, not less. the founder of alibaba sharing discussions here with hundreds of businesses around the g20 summit. the summit is going to be focusing on a whole host of issues. coming at a challenging time for the economy. one of the issues that's going to be in the jend is the run nig high trade sentiment. put forth a proposal the electronic world trade platform. an online exchange to help promote global trade especially for smaller companies. here's what he had to say. >> we have to improve the globalization.

now, this period is called the growing pain of globalization. the last 20 years, the globalization was helping big companies developed nations so if we can figure out a way to help a small business, help young people, help the young people to globalize, that's something we can up the ewtp. >> reporter: and ma is a major propoebt of free trade. says he's been promoting the idea to 30 countries. this g20 is going to be the start of it all. he's been speaking with the chinese government to make sure the chinese government is on board. as you know, we've been reporting this for quite some time. many companies within the community here in china have been complaining or concerned about what they see as rising tax by china. a push forth for local champions. jack ma said he wasn't too

concerned about the rhetoric around the u.s. campaign. >> i'm 52 years older now. i've seen a lot of american presidential elections and every time before the elections, they're always anti-china. many years ago anti-soviet union, now china. after election, people will calm down. trade is a trade. business is a business. i don't worry about it. i think after election, people back to their sense a. >> reporter: with that perception of a rise in protectionism within china has been a reason, guys, why china has become such a punching bag within the u.s. presidential election. >> yes, china sort of sharing that platform with other countries this year. eunice, this sounded like

statesman talking about g20, talking about big sort of issues. i'm just looking a the stock price of alibaba trading near highs. gotten some momentum lately on the back of good quarters. >> reporter: yeah, we did. we talked about the business. he was looking forward for alibaba saying i asked him about changes in the reporting. the company as you know has been moving away from relying on gross merchandise volume which is really a gauge for the health of an e-commerce business. towards reporting four different segments. he said the focus of the company going forward is cloud computing, entertainment, some of their more innovative initiatives as well. he said they made those changes so that investors in the united states would be able to better understand the company's business and where they are positioning themselves for the

future. >> eunice, thank you very much. great stuff. excellent interview for us in china. the g20 is fascinating. obama's last trip to asia as president. when he started labeling himself in 2009 as the first pacific president, you. >> the pivot. >> he would have been coming back with more and he's not. >> so much so that treasury secretary had to defend g20 and all the progress it's made. people in the market look at it as a photo on. >> absolutely. we'll be following the headlines out of that. jack ma clearly having a part as well. >> if you missed donald trump's speech on immigration, here's what happened. self declared softening on the immigration issue was nowhere to be found. instead trump recommitted to hard line policy, including mass the deportation after repeating horrifies taels of murders and rains documented by undocumented

immigrants. trump said anyone who enters illegally would be subject to deportation. >> to all the politicians, pol donors and special interests, hear these words from me and all of you today, there is only one core issue in the immigration debate and that issue is the well-being of the american people. >> trump again somehowed mention co-would pay for the wall. this came hours after trump met with mexico's president who said his country would not fund trump's wall. more on the speech and headlines on the rest of the day here on cnbc. let's give you a quick check on the negotiabglobal market. s&p and dow managed to finish

the month strong. dow futures losing a bit of air throughout the morning. still up 43 points. s&p up 4 and nasdaq up about 15. this ahead of some key data points. initial jobless claims on thursday. jobless reports manufacturing numbers and more. as for the early action in europe, you mentioned european soft, but strong in the uk. bouncing back post-brexit. i would just say the ftse 100 in the uk is flat. the rest of the embassies stronger. as for the action in asia overnight. hong kong shares are the stars lately. highest level since last year for that market. shanghai comp closing lower. nikkei bouncing off the weaker yen. we've seen in the last two se s sessions. finishing higher by .25%. second quarter productivity and

labor cost. at 10:00 a.m. look for august services index and july construction spending. big auto makers release sales and cleveland fed president speaking this afternoon. joins us now to discuss markets more detail, steven global investment strategist. good morning to you. >> good morning. >> we've seen an interesting move in terms of rate hike expectations since jackson hole last week. it seemed to soften yesterday. we saw the dollar retreat a bit and the pound jumping today. what's your latest expectations. >> for one thing, it seems it's pulling forward a modest amount of tightening. it's not changing the amount of tightening over the course of next year. not a powerful message being taken in the marketplace, at least. folks from vice chair stanley fischer raarguing this is more

conventional tightening. good deal of uncertainty right now. shame so much relies on friday's employment report. even if it was revised data, in august revisions have averaged 62,000. it wouldn't tell us about the future. it's amazing the wholeo outlook is going to depend on a single month employment data in the summer. >> what does that mean for if markets. >> certainly softened us up a bit. hurt the rotation within the marketplace. i think our story really here is that low return expectations, low yields everywhere, have made the value of stocks higher and their future returns lower. you see rotation away from things like utilities into financials. those that would move with some change in the rate outlook. >> as that got further to go, the rotation. big divergent still year to date. >> in terms of relative valuati valuations, yooults are trading

like growth stocks. this is about exceptionally low bond yields. difficult to go from there. whether or not we're going get a bit of relief depends on friday's number. as i told you, you really can't tell much about the future from a prerevised august data. >> big picture because it's on our minds relate to the idea of protectionism and putting up walls, physically or metaphorically between other countries and trade we saw trump in mexico. this idea of nafda. would investors be wise to listen to what jack ma said there, tune out the election noise. he was talking about the china bashing, but in general this idea that global trade could really slow down. >> investors have been calm about the selection. part of this issue of brexit of course was don't believe the polls. well, maybe you should believe the polls. i took a look before coming on, ten swing states in the last elections have voted for different parties not that i

know right now pointing to secretary clinton. there's much more to say about all of that. there are few places, mexican peso for example which has been exceptionally weak and parting ways with other currencies and parting ways with latin america shows impact. in reality, we have to think about that and whether there will be any real trade disruptions. unfortunately, fundamentally, trade has been slowing and deteriorating and underperforming global growth. that's a fascinating thing that has nothing to do with politics. >> quickly mentioning trade and stroker data out of the uk this morning. even brexit, seems like the uk is doing fine. that's a pretty stark example of the type of things we're fearing. >> there's a fascinating issue there too. on both sides of the debate,

there was challenge ratiexagger >> probably. >> there's not going to be an investment boom to add capacity to the uk. you would run factories hotter at the lower exchange rate to export to the rest of the european union. i think pretty clearly positive. you see it in the data. >> the jury is still out. it could be a slower moving train wreck than thought or could be absolutely totally overexaggerated. >> steven, great to have you with us this morning. city private bank. now to today's top trending stories. the black eyed peas reuniting to remake 2003 hit song where is the love. the song released in response to 9/11 is now calling for calm and aimed at ending gun violence. new rendition of the song will include the likes of jamie fox, justin timberlake, kendall

jenner. many others will appear in the music video. the song will be released later today. >> throw back and using it to make a point. >> does kendall jenner sing? >> i can't imagine she does. now instagramer rejoice. instagram rolling out pinch to zoom, awe lough you to zoom in. made available to ios users and hitting android. >> this is an upgrade i welcome. >> it's a big night for cnbc prime. coming up tonight an event you don't want to miss. ground zero rising. freedom versus fear. it's an original documentary hosted by mad money jim cramer and tells the story of the redevelopment of the 16 acre site at the world trade center.

complete with memorial pools, new park, transportation hub and new office tours. that's ground zero rising. freedom haves fear. >> i can't wait for this. i won't be watching it life. i've set the recorder. >> dvr it. >> exactly. it does look really awesome. that's tonight. still to come on "world wide exchange," today's must reads. as we head to break, here's how all of the sectors did not month of august. the best performer, financials. closing with 3.5 gain. worst performer, telcos. that rotation we were just hearing about. more to come. back in a couple of minutes.

sit time for must reads. my pick in the "washington post" titled congress is showing how not to fight the zika virus. it is notable because it comes from the directors of disease control and prevention and the national institutes of health. they write that this is a major issue and the money so far that has gone to fighting zika and to trying to find a some sort of solution here is being drawn from other places, and this is going to run out in september they say without additional funds. the path forward is unclear. the progress against zika will slow considerably. the cdc will have to reduce

emergency response staff. nih has to delay or halt work on vaccine. pretty dire warning. goes through the numbers here. i highly suggest you read. more people than i thought confirmed 1595 pregnant women have been infected with the virus here. 17 babies born in the u.s. with birth defects related to zika. major outbreak in puerto rico. two demean communities in miami. there needs to be money to fight it. >> certainly sort of dragged on the issue. >> where's the money. >> the immediate huge response. >> a call to congress who comes from vacation. >> my must read, picked notable comment this is morning that apple ceo tim cook has made in interviews with the irish papers. the tech giant expects to pay billions of dollars. this in comments with an irish

radio station, but moving on, the main comments he was making this morning interestingly in an irish newspaper very much about what he called the response from the european commission, total political crap. that's an irish newspaper this morning. >> here's the quote. >> the irish independent newspaper, in fact, well worth reading this interview. no one did anything wrong. ireland is being picked on and it's unacceptable and its total political crap. >> gets your attention. we're keeping an eye on global stocks right now. u.s. futures pointing to a higher start in what is traditionally the worst month of the year. the month of september. will it be a volatile one. we're going to talk when we come back the depo my economist. ahead of the next 48 hours. you're watching cnbc. first in business.

worldwide. r the first time... gilman: go get it, marcus. go get it. ...coach gilman used his cash rewards credit card from bank of america to earn 1% cash back everywhere, every time. at places like the batting cages. ♪ [ crowd cheers ] 2% back at grocery stores and now at wholesale clubs. and 3% back on gas. which helped him give his players something extra. the cash rewards credit card from bank of america. more cash back for the things you buy most.

welcome pack to "world wide exchange." let's have a look at the futures right now. called higher after small declines yesterday. up 36 points for the dow. s&p called higher by 2.5. the nasdaq by about 14 points. it comes after slight declines yesterday that put the s&p and the dow in negative territory for the month of august. the nasdaq closing at 1% higher for the month. let's get to becky quick with a prove of what's coming up on "squawk box." >> good morning. we have a lot of things happening this morning. first trading day of the new month. september 1. people are going to be looking for a bit of action potentially. you're looking for moves of over 4%. that's been the average

firefighter the monfor the mont september. going to check stuff out. a lot of stuff happening. one of the issues is immigration. donald trump going to mexico yesterday and giving the speech last night and a number of people joining us to go over it. starting with judd greg, joining us in 8 minutes time. we'll be talking about that. focusing on what's been happening with jobless claims. yesterday got the adp number. that number was in line with expectations. today is the final number that we get as we head into the big government jobs report for tomorrow that so many people think is so key to what the fed decides to do. whether too raise rates or not. i believe it when i see it. we'll be talking about all those issues coming up, and, of course, the big tease is wilfred is joining us. see you in about an hour's time. >> you will indeed. look forward to it. including a interview with buzz ald rin. second man on the moon. >> did you ever see buzz when he

got really frustrated with a conspiracy theorist that came up and harassing him and harassing him and saying you didn't walk on the moon. finally got frustrated with the guy after he called him a liar, he punched him right in the face. this guy is awesome. >> makes me even more excited. becky, can't wait for that. "squawk box" starts in seven minutes. here for the rest of "world wide exchange," let's drive boo the markets. joining us onset is drew matus. deputy chief at ubs. greet to hagreat to have you wi this morning. will this continue if we get a rate hike earlier than expected. >> probably. i think we have to be careful because last year we were expecting a rate hike in september. everything leading up to it. got it in december instead. i feel like the markets are a bit like charlie brown and janet yellen is like lucy.

she's going to pull the football back before the september meeting. our call still remains december hike. >> what do you see coming in the data in the next 48 hours and months ahead. >> has nothing to do with the data. just has to do with people getter in versus when they are about to take another step. she's going to walk to the edge, look down and say that's a pretty big jump. >> more market dependent than data dependent. >> she's been going to the edge of the board a lot. she doesn't have the confidence. >> doesn't seem like it. yet everything is going her way. unemployment is very low. participation rate is where it should be. wages look like they are picking up. now would be the time to hike rates before something happens she can't control, but every time we've gotten to this point, she steps back. >> we've seen dollar strength pouzed a bit over the last couple of days, but still seeing dollar strength against the yen.

are we possibly approaching a continuation of that? is the recent trend about to be broken. risk complications around the world. >> depends on what the fed does. i think there is this idea out there that the fed can't hike rates because every other str central bank is low. everyone else is so low because the fed is so low askand offsid there's going to be a much more aggressive market response if the fed goes in september than if they waited for december. >> are you seeing an impact on the economy from the election uncertainty here? >> we haven't yet i don't think. i think when i'm talking to complaints what i hear is that pretty much everyone assumed the selection a done deal. they're kind of trying to figure out you know whether it will be a split government or not. they're not really paying as close attention to who is going to win the top of the ticket.

>> so even those congressional elections are fairly uncertainty and raisings all sorts of questions about infrastructure spending and fed policy and immigration. these are issues that would matter to the market. >> i think the expectation is the next four years is going to look like the last four years. there's still going to be, quote, unquote, dysfunction in washington. >> which is good for the markets. >> well, if nothing gets done, if nothing is getting pushed one direction or the other, people can deal with that. it's something people become accustom too. we talk about uncertainty. if we live in a period of uncertainty over a long enough period of time, that becomes the norm. >> true. thank you so much for joining us. >> your favorite indicator out today. if claims are okay. >> as long as i'm not part of them. >> yes, drew matus of ubs. >> about 20 second toss go. key things to watch. >> data on manufacturing after

better chinese manufacturing, better uk as well. >> indeed, that's it for "world wide exchange," "squawk box" kicks off in a few minutes time. you get used to sweaty odors in your car, you think it smells fine but your passengers smell this... eliminate odors you've gone noseblind to for up to 30 days with the febreze car vent clip break out the febreze, and [inhale/exhale mnemonic] breathe happy.

good morning. september rebound. finish august on a weaker not. tomorrow's job report could be a game changer. tim cook firing back at the eu's ruling that apple owes more than $14 billion in back taxes. calling it -- i like to be able to say this and it's written. total political crap. donald trump taking a hard line on illegal immigration. hours after his meeting with the president of mexico highlights from his speech straight ahead. it's thursday, september 1,

2016. it's still summer, as far as i'm concerned. actually, it is still summer, isn't it. "squawk box" beginning right now. >> good morning, everybody. welcome to "squawk box" on cnbc. welcome to september. i'm becky quick along with joe kernen. andrew is off today. august is officially in the books at this point. here's hour the markets closed out. check it out for the month. dow and s&p 500 breaking multi-month win streak because of the losses they saw yesterday. they weren't major. looking at possible advances until we saw yesterday's close. both of them actually fell fractionally for the month. see the dow was done less than .20%. s&p down just over .10%. the nasdaq posted though its second positive month in a row. up nearly .