just look at these markets we've got rallies on the dax to record levels. rallies on the s&p the dow is doing the same trade. no one seems worried about trump, about rates, valuations, even tech is back, despite fact that oil is under pressure are we getting complacent? we'll discuss on "street signs." i'm steve sedgwick an early concession from britain as brexit negotiations kick off with london agreeing to

brusse brussels' demands on sequences of talks mark carney says the central bank will be ready to respond whatever the outcome of the talks. >> whatever happens, monetary p policy will be set to return inflation to target while supporting as best it can the adjustments in the economy >> the head of the european stability mechanism says britain will suffer the brunt of economic pain at the end of the negotiations >> i regret brexit, politically also it weakens the eu, but economically there's no comparison when you look at the trade flows and what happened to london i think the economic cost is mainly on the uk. orange turning sour on bt announcing it could more than halve its stake in the british rival and raise over $1 billion through the sale and the uk serious fraud office charges barclays over emergency fund-raising from

qatari fund raisers in 2008 after a five-year investigation into the bank's dealings with the country at the height of the financial crisis as i said, these markets go from strength to strength. it's not just the u.s. markets finding a great vein of form it's the european markets. xetra dax hitting early records in daily trading trading at a relatively tight range is the ftse mib, 0.2% higher the cac cac, 0.5% to the good. the dax, just a whisper away from 13,000. even the ftse 100, and sometimes it's getting support from weak currency, those dollar earners, sometimes it's not, regardless

of where the pound is going, the ftse is trying to hit new levels on a regular basis 7600 the next level in the sight for the markets. looking at the sectors, wasn't it two days ago we were worrying about the wobbles in the tech sector, boom, last night they come back in some strong fashion. 0.6% higher on that sector even in the banks, where you have all kinds of concerns, barclays floot as a pancaflat ak on the banks we can look at the oil and gas price. get straight to it the market used to look at it on a regular basis as well. where is the oil and gas price here we go bang we're up a bit in this session 44 handle on wti we have a 47 handle on brent as well as you can see, under huge amount of pressure there's a lack of demand out there. they can sort out as much as they can on the supply front people like libya, who don't

have constraints on them, pushing loads on to the market the demand side of the equation, india, japan, china, u.s. as well having less demand peaks than many thought they would have this time of year that's putting great pressure on the market the oil market utterly ignoring it interesting. so, formal brexit negotiations are now underway nearly a year after the uk voted to leave the eu. the chief european negotiator, michelle barnier, said the talks started on a good footing. he exchanged gifts with his counterpart, uk brexit secretary david davis. barney offered a walking stick to davis, davis gave a book about mountaineering how sweet. so, delivering his speech a week late, not bad for the uk these

days, philip hammond reiterated his push for a smooth brexit and the importance of maintaining global trade ties in order to avoid a damaging cliff edge. >> more trade, not less. maintaining our strong trade links with european markets after we leave the eu, as well as seeking out new opportunities for trade and investment with old friends and fast growing emerging economies alike >> speaking to geoff and karen earlier this morning, the head of the european stability class said brexit would have a bigger impact on the uk than on the eu. >> i regret the brexit politically it also weakens the eu economically i think there's no comparison when you look at the trade flows, and you look what will happen to london. i think the economic cost is mainly on the uk, yes. >> willem marx has been following this story from

brussels, luxembourg, just about everywhere how are you? >> good. >> keeping abreast with all these comments >> trying. >> it started finally. are we going to get it done in two years? >> i think that's a question i can't answer, but certainly something david davis would love to see happen. we heard a lot the last few weeks from the europeans that that will be a tight timetable the brits stepped up, they said we will start on the 19th. we heard some yesterday. >> i know you will get to some tape, but before that, something about me now thinks that theresa may's bloody nose in the election may be a good thing for getting more constructive talks. if she would have gotten this enormous mandate, maybe she would have gone for a harder brexit and that would have been harder, but maybe more pragmatic. >> heading up to the talks, we heard from david davis about the importance of getting the trade

talks underway at the same time they're discussing other issues. yesterday that hasn't happened it doesn't seem like he mutt up a ma put up a massive fight about it. it was all about the citizens rights, those about the european union in the uk and abroad >> ever since the referendum i've been clear my first priority is to provide certainty to european citizens living in the united kingdom and uk residents in the european union. i know michelle shares that aspiration, too. now that negotiations have started, we're determined to get on with the job and deliver that as soon as possible. >> all pleasant, friendly. essentially the brits accepted the fact -- >> that 1-0 to europe then >> that's a fair way of putting it barnier said it was more about the other issues >> we agreed about the importance of the timing for this first phase

our objective is to agree and the main principles on the key challenges for the uk's withdrawal as soon as possible this includes citizens rights, single financial settlement and questions of borders in particular in ireland. >> if you look at article 50, the next arrangement is part of that as well it's not just about closing off the ledger on the relationship with the european union. it's good. it's positive. they were chatting wh ing whachg what have they agreed on >> both sides, that's a big thing. that's what they'll be focusing on they have essentially broken off the working parties that will focus on different issues. >> so let's get that straight. this is important for people in the newsroom, in the city, for brits living in spain and elsewhere. citizens rights that should be a no-brainer let them stay, right >> yes, but they both agree it's technically complicated in terms of how you write the legislation

around that and how you write t their future down the line when it comes to kids they seem to get along well. they've known each other for 20-odd years >> they like each other? >> seems to be >> that's important. >> they both say -- >> if you can't stand the man on the other side of the desk, that's tough >> they say they want to put emotions aside, but these are emotional negotiations they talk about the timetable being achievable that's pressure for the uk and europe people are saying is that now possible, and with trade talks being suspended until later in the talks, that's tough. >> what does that mean, soft brexit a nonstarter? >> both said they will not have the uk in the single market and they will not maintain membership in the customs union. that's something we heard that might be a possibility >> but there might ab version

of >> certainly with northern ireland. >> what we've done here, if we walk slightly over here, we have the stuff that's contentious as well for me, one i would like to get sorted out as fast as possible, the northern ireland talks nobody in northern ireland wants a hard border. why is this so complex >> we heard from phillip hammond that he wants a frictionless border there it matters to the public and to northern ireland the unionists like dup do not want to see a change in their status we talked about a special status for northern ireland they do not want to see that they have more leverage with the potential deal >> let's pick one of these bullets. the spain story. i have to say, i spoke to the man in charge of gibraltar a few weeks ago on "squawk box." i know we have this british

attachment, the rock, all this world war ii, et cetera, how we kept it out of german hands, but this tax status of gibraltarians, they're having it easy >> where have david davis gone ton? today >> gibraltar >> madrid. >> they put into their negotiating principles the status of gibraltar had to be -- >> i will get strung up from the tower of london from what i'm about to say, gibraltar could not be the same without the border with london >> that could be true. >> excellent willem talking about the pros and cons of early negotiations. dhl says it has plans to increase its robotic technology network over the next year the company hopes that new automation will enable higher levels of productivity i'm delighted to talk to me

about this, paul dyer, uk ceo of dhl supply chain paul, you've been in the job six months >> that's correct. >> you left with a whole legacy of things to sort out or you're building on the strength of your predecessor? >> great business. lots to build on great challenges, lots to do, lots to fix and improve. >> frank aprey is very excited about these electric vehicles going around germany as i pointed out to frank, the fact is that the electric stuff hasn't got the bang for the buck, hasn't got the mileage what about on the automation front? have you got the kind of ai and robotics abilities and current technology to give you what you want >> yes, many warehouses do have automation deployed but they've not been deployed in highly single pick, highly complex pick and pack operations. the technology is now there.

it's almost a perfect storm because these complex single pick operations are becoming more privilege leevalent becausf digitalization and convenience >> you know what i'm going to say next it's the biggest worry for pretty much everyone i think out of ai and technology in the 21st century. where is the jobs going to be for my kids and your kids? >> i think the jobs are not going to change. we are mainly -- >> are they going to be there? >> they are. we're deploying these robots in highly competitive 24/7 type solutions. sometimes people don't want to do those tasks so the new jobs created are more in the design -- >> people would rather do it than be unemployed, wouldn't they they is all about costs for you guys as well, isn't it >> most would want supply chains to be faster, more efficient and we as an industry leader have to respond to those challenges >> will this strengthen the work

forceaggressively? >> the main jobs have been temporary roles, those roles have been placed by different skills and different jobs. >> can i just reference to you, if i may, the conversation i had at the wall. i know that's something you can talk about as well this is stunningly uncertain for you and your boss about what happens next what is the biggest worry that you have at the moment about the process? >> we're working with the government, many industry bodies to evaluate what the potential changes are. in the short-term don't see any immediate changes for the next two years. we're going to work with our customers and try to find ways to minimize disruption to domestic and international trade. >> is it going to -- same question, will it stop you from putting investment into the united kingdom >> not currently, no >> if you have a new plant that you can put either in germany or in spain or czech republic or in the uk, is that going to make you say, why do i need this

hassle i'll put it in the eurozone? >> we constantly evaluate customers needs and make the right decisions for those customers on how we can make the supply chains as efficient as possible >> you are seeing ing ing a dimt of demand? >> no, not seeing that >> no sign at all? >> no disruption to existing business that we got with the customer base. >> that's good news. paul, thank you very much for joining us just one more. you are going to get these longer range vehicles? we talk about ev as well that's not quite what you're here about i want to see 200 miles, 300 miles, not 100 miles so you can put around the city. >> we are looking into that. >> if tesla can do that, why can't you guys >> we are putting money into that >> i will put yours and frank's feet to the fire coming up on the show, we will discuss why the telecoms giant

orange is looking to cut its stake in its uk rival. we'll be back after a short break on "street signs." whoooo.

you're searching for something. like the perfect deal... ...on the perfect hotel. so wouldn't it be perfect if there was a single site where you could find the right hotel for you at the best price? there is. because tripadvisor now compares prices from over 200 booking sites... ...to save you up to 30%... ...on the hotel you want. trust this bird's words. tripadvisor. the latest reviews. the lowest prices. live-streat the airport.e sport, binge dvr'd shows, while painting your toes. on demand laughs, during long bubble baths. tv on every screen is awesome. the all-new xfinity stream app. all your tv at home.

the most on demand, your entire dvr, top networks, and live sports on the go. included with xfinity tv. xfinity the future of awesome. welcome back to "street signs. orange says it is looking to reduce its share of uk rival bt. they could have done it at any stage since the end of january orange currently owned a 4% stake in bt. it is seeking to raise 900 million pounds by cutting its stake more than half this as the stock trades at multi-year lows at the wake of an accounting scandal. there are a whole host of issues gavin paterson came in, fantastic rally up, hitting a

peak in the shares of 497 pence was hit on the 26th of november. really big move there. the 52-week high is as high as 442 pence. and the low at 288 bt retracing a large amount of the good work done over that five-year period when gavin has been in charge what are the problems for gavin patterson who had a 4 handle on it compared to a 1 handle this time around. from 4 million down around to 1 million pounds this yeek year. a whole host of issues it's still worth 29d bi billion pounds trading on a ten times forward pe, a significant discount to the broader sector which trades at about 14, 14 1/2 times. you do get a great fat dividend of 4.3%. that's the good news

the dividend has been increased. that's something that when the company updated in may following that january profit warning was keen to say you have your divy that was safe. let's look at some headaches for gavin patterson. this was about the italian unit that many people didn't realize it had such a big i vtalian uni. this had a take an big hit on the accounting scandal this is enormous there are big pension deficch d out there. if you want to see the biggest global pension deficits in terms of assets versus liabilities, even they closed it off to new entrants in 2001, the tri annual review starts on the 30th of january. i want to get some facts to you,

you have to be aware that starts on the po30th of january. the biggest is the 14 billion pound deficit this time around here's the issue they have massive revenues 24.1 billion pounds last time around big revenues, but it was flat. so they're not seeing the growth and they have huge demands on what is a good cash flow ie, does some need to go more to the pension fund they have to buy into sky, which will fight you tooth and nail. cost acquisition rights is a big thing for this company plus you have others saying you have to open up to rivals, spend more yes, it's a good company, has great franchises, but my goodness there are a lot of problems for the management at bt japanese stocks have continued to climb with the nikkei index hitting the highest level in 22 months

we have an update from the uk. >> the weaker yen made investors hopeful of higher profits. investors seemed to be willing to take risks and snack pick up high-tech shares insurers were also up. the reason behind the buying spree is the earnings forecast which many japanese have reported for the current foyear whether those meet expectations rests on the u.s. economy. and takata plunged to a limit low for the second straight day after reports said the firm is likely to file for bankruptcy protection within the month. that's all from the nikkei, back to you >> makiko, thank you very much for that. investors await a decision on whether china's mainland

stocks will be included in the msci benchmark emerging markets index. this is the fourth year the company has decided on whether including the shares chery kang is more hopeful as she files this report. >> reporter: it seems to be getting harder for msci to say no to shine that's "a" shares. a couple factors why the odds are higher this year the significant reduction in the number of stocks under review that can potentially increase the chance of an inclusion this time around. only 169 "a" share stocks are being considered this will just have 0.5% weighting to the index two, the recently launched stock connect between shenzhen and hong kong could be helpful observers point out the lack of adjustments on repatriation rules for foreign investorsand daily quota for stock connects

among many others as potential stumbling blocks they add it may not mean much about chinese equity markets openness even if the country gets the nod back to you. >> that's enormous i will direct you to bob p pisani's piece on cnbc.com about this the kind of money we're talking about. msci more than $10 trillion of active and passive assets benchmarked against it emerging markets alone, 2 trillion u.s. dollars. a great piece by bob pisani. sterling, a look at cable. 1.2682 a bit of rebound off the lows. but it's been steady around the 1.27 mark. we're just below the mean of that i think 1.28 is the mean there

a longer term level on sterling, five-year high was 2014 where it hit 171. then, of course, before brexit vote, the brexit vote it was trading around 146, 145. but 127. very split opinions. everyone was bearish on sterling and where it goes over the longer term. now i'm hearing a few balls on "squawk box" yesterday, a couple analysts saying they think there could be sterling appreciation out there in the market. we'll take a short break check out world markets live, our blog which runs throughout the european trading day [vo] when it comes to investing, looking from a fresh perspective can make all the difference. it can provide what we call an unlock: a realization that often reveals a better path forward. at wells fargo, it's our expertise in finding this

kind of insight that has lead us to become one of the largest investment and wealth management firms in the country. discover how we can help find your unlock. a lower a1c is a lot witabout choices.tes but it can be hard sometimes, 'cause different sides of you struggle with which ones to make. well, what if you kept making good ones? then? you could love your numbers. discover once-daily invokana®, a pill used along with diet and exercise to significantly lower blood sugar in adults with type 2 diabetes. it's proven to lower a1c better than januvia®. invokana® works around the clock by sending some sugar out of your body through the process of urination. it's not for lowering systolic blood pressure or weight loss, but it may help with both. invokana® may cause dehydration,

which could make you feel dizzy or weak when you stand up, so be sure to drink enough water. important side effects to know may include kidney problems, genital yeast infections, changes in urination, or potentially serious urinary tract infections. as is risk of fracture, or increases in cholesterol or potassium. ketoacidosis is a serious condition, which can be life threatening. stop taking invokana® and call your doctor right away if you experience symptoms. or if you have an allergic reaction, with signs like rash, swelling, or difficulty breathing or swallowing. do not take if you have severe liver or kidney problems or are on dialysis. taking with a sulfonylurea or insulin may cause low blood sugar. the choice is yours. ♪ lower your blood sugar with invokana®. imagine loving your numbers. there's only one invokana®. ask your doctor about it by name.

30 minutes past the hour welcome to "street signs." i'm steve sedgwick sterling falling to a one week low as mark carney says now is not the time to raise rates as they suggested to readiness to respond to whatever outcome we get out of the brexit talks. >> whatever happens, monetary policy will be set to return to target an early brexit concession from britain as londzon agrees o brussels' demands on the

sequencing of talks. >> economically i think there's no comparison when you look at the trade flows, you look what will happen to london, i think the economic cost is mainly on the u.s. orange turning sour on bt announcing it could halve its stake in the brittic rival a ii raising over $1 billion in the sale. and uk serious fraud office charges barclays over emergency fund-raising from qatari fund raisers in 2008 after a five-year investigation into the bank's dealings with the country at the height of the financial crisis a bit of shyness coming out of the equity markets. ftse still up 0.3%, despite concerns about the brexit scenario which we talked about

20 points up, ftse 7546. the xetra dax record highs not just the states that are seeing record highs. good double digit move from the xetra dax so far in 2017 a lot of love for european stocks at the moment for those who say they like european stocks, they're in the consensus. all i hear is the fund flows from the states and european investors, they're looking for homes here and in the french market now, and they're looking for homes in the italian market despite the fact that there are nagging, clawing concerns that for many if the ecb does tighten or does start withdrawing, this could be the one that's exposed most for not having gone forward with the big reforms and let's face it, having an iffy banking sector we'll do more work on that around 15 minutes time we will talk about the italian banks. let's look at the 4x -- first

the aussie versus the u.s. dollar 0.76% of trading the aussie gaining despite commodities having a tough time out there. we talked about cable. 1.27 it's not that far away from the three-month average. yes, it's trading at the lower range. a bit of pressure. carney not in a hurry to raise rates, despite the fact it was a split vote last week dollar versus the japanese yen, one of the most volatile pairs, calming down, trading around the 111.58 mark. the euro/dollar again, a lot of excitement about, gosh, the euro has gone from 112, this is not volatile you have seen volatility and what sterling did on brexit. you saw the dollar/yen you saw what the swiss did against euro when they changed their intervention process, this doesn't look that volatile u.s. futures, we are at new record levels.

i think we had 8 out of 11 sectors rallying despite yesterday we saw a poor performance from oil once again. we don't look at oil anymore used to. you guys used to steady if unspectacular start to trading for the european indices. tragic story out of the states president trump has slammed north korea for the death of otto warmbier. he was held prisoner for 17 months by the isolationist regime for stealing a propaganda poster he died just days after he was flown back to the u.s. in a coma blayne alexander has more. >> reporter: hours after the death of american college student, otto warmbier, president trump lashed out at the north korea north korn regi held him captive it's a brutal regime.

>> reporter: when warmbier returned home last week, he was in a coma. >> a lot of bad things happened, at least we got him home to be with his parents >> reporter: this comes as president trump continues coface a potentially dangerous military escalation after u.s. backed forces shot down a syrian fighter jet. russia now vowing to concrete all u.s. planes in that part of syrian airspace as targets >> if you talk to foreign policy experts from across the spectrum, they say russia is not our friend. >> reporter: back in washington, the russia investigation remains in the spotlight as the president's legal team denies reports that he is personally under investigation today rare public remarks from presidential son-in-law and senior adviser jared kushner >> this is technology -- >> reporter: despite kushner being a central figure in the russian investigation his duties within the white house appear to be expanding president trump's personal attorney says the president may address questions about whether

he taped conversations with former fbi director james comey by the end of the week blaine alexander, nbc news, washington. president trump welcomed america's top tech executives to the white house in a bit to brainstorm ideas for improving the government's computer systems. ceo's attending the first meeting of the american technology council included amazon's jeff bezos and am's tim cook did you see the peopmeme going around about bezos he goes alexa, buy me something from whole foods alexa goes back, buying whole foods. i thought it was funny sign oth cybersecurity high on the agenda >> our goal is to lead a sweeping transformation of the federal government's technology that will deliver dramatically

better services for citizens, stronger protection from cyberattacks, which we were just discussing in the oval office with a bit smaller group that's a big problem we will work on it and solve the problem. and up to a trillion dollars in savings for tax payers over the next ten years over a trillion. we're embracing big change, bold thinking and outsider perspectives to transform government >> let's talk about the markets. patrick spencer is from baird europe and joins us now. nice to see you again. i started off the last half hour saying geopolitical concerns, brexit concerns, still european banking issues, though they're getting worked through mr. trump and his ajechgenda and ability to get that through, raising rates, why does the market say, that's all right i can buy. >> i think first of all earnings

are a very important driver of the market if you look at first quarter earnings in the u.s., they're up 14%. the highest it's been since 2011 markets usually react on earnings, not so much political events some of these events are quite tragic interest rates and earnings are the two drivers of the market. if you look at the earnings revisions for this year, they're going up if you looked in 2000, or if you look back in the -- the 2000 run in the market, i think the earnings -- the '90s run, if you look from 1990 and through to the end of the 2000, you have a 150% move in earnings, the market was up 400% the market through 2008 to the present day, earnings are up 120% and the market only 240%.

>> goodness me only 240%. p >> despite a host of economic and geopolitical news, your words, investor complacency remains deep seated and widespread complacency. >> that's sort of on the vix but that's more a reflection of the liquidity issue. them trying to find homes. the big issue is bonds versus equities given where bonds trades, talking about potentially higher rates this year. do you wanted to be in a bond giving you a negative yield? the earnings yield on equities is still 5%, 6% as opposed to ten-year yields now just over 2% i know i'm an equities guy but i know where i would put my money. >> you talk to fixed income

guys, they say i can't talk equities really that's goat t to be a reason for buying talk about the u.s. and the fed and what that means for rates. if the fed is right, we're talking -- someone will correct me if i'm rochg, seven rate hikes before 2018, three next year, three 2019, another one piped in for this year, the market is not pricing half of that in. who is wrong here, the fed or the market if the market is wrong, do we wobble >> you say that, the financial stocks are up 20% since the election they have not done that well this year. they're all a precursor of interest rates they went to a new short-term high yesterday so the market, the interest rate sensitive stocks are telling you that interest rates are going higher the reason they go higher is because they're normalizing. that's healthy and the economy is strong. my -- my persuasion would be to

certainly go with the financial stocks and actually trust them and see that obviously we will see slightly higher rates. but that will be beneficial but the economy is doing well. >> i'm told that's all the time we have. it's been a real pleasure speaking to you and touching base again thank you very much for your time patrick spencer vice chairman of equities at baird europe staying with washington, tune in for 13:30 cet with cnbc's interview with steven mnuchin. and house speaker paul ryan also talking to our colleagues stateside. that's later at 19:30 central european time. that wasn't paul ryan. that's angela merkel, a lady who seems to be a shoe-in for the chancellory again this year. she says they need to make progress to reduce global

overcapacities close to a trade agreement with japan what else will they discuss? trade, trade discussed in hamburg. we'll try to reach broad agreement on open markets at the g20. not easy with new administration but we will try. they will focus on free, fair, sustainable and inclusive trade. back to the uk, i'm sure they wanted free, fair, sustainable and inclusive trade as well. the germans will be under pressure at g20. very often the communiques, it's been talking about the nations who don't spend enough who has the massive current account surpluses, massive trade surpluses and not always pointing the finger just at the chinese. just beware. that will be an interesting conversation given what's happened with mr. trump and what he's trying to achieve as well coming up on this show -- not this show, cnbc will sit down with goldman sachs ceo

lloyd blankfein to get his take on the u.s. economy.

goldman sachs ce or lloyd branch fine says he is optimistic about the future of the u.s. economy, citing low employment numbers, energy prices and growth. blankfein said he didn't fully agree with all of president trump's policy bus that soiessoe aspects of his policy look good. >> you know, i can't say i'm on all fours in line with the administration across the board. but as far as the economy is going, as far as markets are going, they recommended stimulus in the form of lower taxes, spending on infrastructure, taking away maybe some of the layers and layers of redundant regulation

that's certainly good for the market but generally i think good for the economy. >> taking away some of the layers and layers and layers and layers of regulation good okay the uk serious fraud office charged barclay for fund raising from 2008. they were raising charging four individuals, including the former chief executive john varley this surrounding undisclosed investments in the country barclays said it was considering its position over the fraud charges. a quick look at credit suisse it's been such a tough time for the ceo, questions about a man who came from such a brilliant reputation from his work at

prudenti prudential questions about his ability to hone the activities of credit suisse into a neatly packaged forward thinking revenue growing company as well. based around asia growth strategies, wealth strategies and a mod riicum of banking. what about the italian banks? questions about whether support packages that have come in for bmps, support packages that have come in for spain need to be tweaked or need to be give an little bit more breath on the the italian banks. talking about questions over 2000 many say it has done its finance raising and what happens about previously troubled areas in the banking sectors.

i thought we would get you to the wall, make a change, freshen the legs up. a lot of issues in the banking sector are you one of these gentlemen out there among the analyst community who say we are further down the road that many people think and these banks are clean now and we should get excited about them >> definitely. when you think about the large caps and the shares and access to the markets, when it comes to capital, like credit suisse, other large caps in europe, it's a good moment to look at those >> but in terms of credit suisse, looking at share here's, it's had a tough time. interestingly because many people didn't think brady dugen left the bank in a bad state clearly there are issues how near to working through those issues, not only on the capitol front but on the revenue growth model are they? >> we had a capital raise last

month for about 4 billion swiss franc. the management put it out and managed to successfully rate this money around strategy for the bank growth, wealth management and much reduced investment bank but some concerns remain when it comes to the legacy assets that are to be disposed they will be back in the different divisions over the next two years there still remains some long dated assets with potentially sensitivity to risk. >> everybody wants the same pie, they've wanted wealth management, asset management, used to be called that before

wealth management, the asian customer, the change in demographic. everybody wants the same piece of the pie when you have a china where people are concerned about the debt levels, what the government and president xi will do to rein in spending, will that pie be big enough for credit suisse and everyone else? >> definitely there's competitiveness out there. we heard this morning the chairman reiterating his willingness to invest and expand significantly in wealth management and asset management. so credit suisse is catching up in terms of market share, business and capital levels when it comes to the ratio with its archival >> walk with me. let's look at the italian banks. don't do much of this on squawk squawk these na

box i won't even talk about sa sao paolo. do these other three have enough to talk about? especially the one on the left >> they raised 3 billion jean paul is at the helm he's trying to make work things with others, and fortress pulled out from the process from mon monte pasci. so we continue to like the name. it's a strong strength story with a strong franchise as well in the continental europe and some exposure. >> i have ten seconds left

best stock in europe in the banking sector and the worst in the banking sector best name? >> bnp >> and worst name? >> maybe bvna. >> do you hold bnp paribas >> yes, we do. >> gildes, thank you very much after eurozone governments agreed to a credit lifeline for greece last week, creditors are looking to the next round of talks. earlier we talk to md of the european stability mechanism who gave us an update on the debt relief negotiations. >> i would not belittle what the euro group decided last week it was an important step we will very likely make a disbursement of 8.5 billion euro in early july. we now have to go through the procedures

but the areas ro groeuro group level. this is very much part of the program. so it's not a surprise it was a bit delayed but it is part of our 86 billion euro support package for greece that started in the autumn of 2015 so we are a little bit more than halfway through. we have a bit more than one year to go. and the finance ministers have also made it very clear already last year how they intend to deal with the debt issue there's a disagreement with the imf. they would like to see decisions earlier. but the euro area finance ministers who have to pay for it or take the risk, they made it clear a year ago what to do. at the end of the program, in august 2018, they will take a look, we will provide debt sustainability analysis, the imf will provide debt sustainability

analysis at that point, and we will know better how much additional help greece needs one should not forget that greece in the past already got a lot of debt relief, private creditors in 2012 had to accept the biggest hair cut in history. the official sector, as is often done in the paris club when the private sector gives a hair cut agreed to give more money, fresh money, that's the 86 billion euro package that we are going through now. and they provided better terms to greece. all this means that right now greece has very little debt servicing problems there's no debt overhang in greece for the next five years >> let's bring you up to speed with the top stories trending across the web cnbc's social team scoured facebook and twitter to aggregate the top stories shoe know about

top of that list, surprise, mr. president. the ukrainian president is set to drop in on president trump during his visit to washington today. trump was reportedly reluctant to meet with his counterpart details of the meeting were not confirmed until hours before the ukrainian leader's arrival. and job hunters can ask robots for help. google is rolling out an ai job portal it lets users search jobs across every online job board wow. that's it for "street signs. up next is "worldwide exchange." i'm steve sedgwick we'll be back same time tomorrow the future isn't silver suits and houses on mars,

it's right now. think about it. we can push buttons and make cars appear out of thin air. find love anywhere. he's cute. and buy things from, well, everywhere. how? because our phones have evolved. so isn't it time our networks did too? introducing america's largest, most reliable 4g lte combined with the most wifi hotspots. it's a new kind of network. xfinity mobile.

good morning tech on a tear the nasdaq posts the best day of the year. markets now, sterling slipping on comments from mark carney, why he says now is not the time to raise rates. and tax reform timetable how speaker paul ryan vows to change the code this year a live report from washington ahead it's tuesday, june 20, 2017, "worldwide exchange" begins right now. ♪ >> good morning. very warm welcome to