very warm welcome to "street signs. i'm steve sedgwick these are your headlines cooking up a treat electrolux shares soar as strong north american demand boosts the appliancemaker's earnings. we'll speak to jonas samuelson, the ceo, in ten minutes time volvo shares slip to a two-month low, as weak margins weigh on results this despite the truck maker raising its north american outlook. we'll speak to the ceo of that company as well, martin

lundstedt. pass the mustard mccormick buys reckitt benckiser's food business for $4.2 billion, adding french's mustard and frank's hot sauce to the company spice rack the ceo of akzonobel steps down citing health reasons as the dutch chemicals company continues to battle activist investor elliott management's attempts to oust its chairman. we've had so many numbers out of scandinavia the last couple of days and speaking to so many ceos out of that region. ericsson yesterday tough numbers there. great numbers today from scedbank we spoke to tele2 who are

weathering regulatory problems left, right and center and electrolux and volvo are moving in different directions on the market today, but electrolux upgraded its north american outlook after a stronger than expected rise in second quarter earnings. the swedish appliance maker upped air north american growth star get to 3% to 4% citing strengthening demand and a favorable macro environment. it's not the only firm today citing a pick up in north american demand. volvo, this is trucks. some of you get confused, i get confused as well this is volvo, listed company in sweden eyjafjovo volvo cars is china. these two companies are moving

in different directions. 4.2% higher for electrolux and volvo shares trading 3.7% lower. the electrolux ceo jonas samuelson will join us in under ten minutes time we will also speak to the ceo of volvo, martin lundstedt in about 40 minutes time. mccormick and company, we were talking about hormel and unilever earlier in the week, but mccormick and company will buy reckitt benckiser in a deal worth 4$4.2 billion the brands include french's mustard and frank's hot sauce. american seasoningmak ining mak the move will help the margins and adjusted earnings per share. mccormick added the 2017 pro forma net sales were expected to

amount to $5 billion reckitt benckiser will use the funds to pay down debt we spend a lot of time on cnbc talking about numbers, about bidding wars, about m&a, aggressive corporate activity. let us never forget, let's remind ourselves that sometimes there's a human cost to this it's human beings who are running these companies. we've seen tragic instances where people pushed themselves too far in the past. not this time, the ceo of akzo nobel, ton buchner stepped down with immediate effect. buchner led the dutch patieint maker since december of 2012 he is being replaced by thierry vanlancker who ran the specialty chemicals division the backdrop to this, i think there is some connection from what the conference calls have been saying, but it's not directly affecting i had health is health at the moment, but they have

faced pressure from elliott advisers to sell to ppg for a 7 $27 billion deal earlier i spoke to bob parker on "squawk box" to get his take on buchner's decision >> i'm sure he will re-emerge somewhere else but if he feels that way, one has to sprekt his decision it will be interesting to see what elliott has to say about this >> let's take a broader look at some of the markets. i'm delighted to welcome ursla marcioni from blackrock. good morning >> good morning. >> let's talk about some of the biggest issues here as well. i continue to hear commentator after commentator telling me how great european equities are, how they have a real kind of earnings and growth tailwind, how politics calmed down i have a head wind, that's the

strength of the euro that gentleman there, bob parker, he reckons it will get to1.20 will that make some of these exporters underperform or not? >> if you look at most recent exchange traded product flows, i think you get a bit of a pulse of the market and how investors are trying to answer the question that you're posing, which is very well founded what i would say is that couple of points. one, we're coming from a situation where in 2016 europe has been severely sold so if you look at exchange traded product flowsas an element, we've seen 34 billion going out of the markets 28 have come back this year. i think you can totally see that we are moving into a different phase of this growth and money situations so coming from an end of h2 -- sorry, h1, where we came from a

situation where european equities were severely underearned, and we had the political risk you had the big wall of money coming back to a situation where the momentum will continue we remain positive on european equities european markets, japan remain our overweight for the third quarter. we believe there's more to go despite the concern that you have raised. yet the momentum, the pace of this trend is probably due to slow down. >> a bit of a slowdown what happens when the ecb, if the ecb says, we bought everything we can find we can't buy more. nothing else we've done our job deflation is defeated. vil what happens when the ecb stops buying >> that's the big question

if you look at the technicalities of the bond purchase program towards the end of the year we will have some serious questions. in a way or another this is something that will remain in focus. yet i think if you think about tomorrow, if you think about later, we have a bit of time it's totally a question for later on in q3, but we think that for now there's still room to go it's also relative discussion >> absolutely. equities versus bonds. here's my issue as well. the bond market has rallied way further than people thought it was going to do. the equity market has had a good run up as we discussed as well does the bond and equity market continue to move in tandem once we have had the end of ecb purchases? do we see yields picking up and equities coming off? you said you're constructive on european equities on a lower pace, but if they say we're done, spring next year, do equities have a wobble

>> good question i give you another element in terms of what i see investors coming to us being worried of. one question has been for the majority of h1 how do we think about a rising rates environment and how do we restrict sure our fixed income exposures if i look at the last two months, that question has somehow slowed down and subdued. so we get significantly less demand for testing and stress testing portfolios around these scenarios. i think we are in an interesting situation. at blackrock we believe curve also steepen in the long run, because markets will start to price higher risk for inflation. but aside from the last few days, it's undeniable that a flattening has occurred. i think investors remain in terms of q3 constructive on risky assets, on equities. this is what i hear from the 600 plus investors that we've helped build portfolios over the last

few years. >> the best performing stateside sector has been i.t. i mentioned on "squawk box" that i think it's 2 % higher. the nasdaq has had a stunning run up to the upside people bought that because they think the market has gone up they're not worried about the yield. i've been looking at your notes, the yield is a serious concern for many investors where are they finding yield bond market? corporate bonds? equity what kind of products are you putting together to find yield >> the longer for lower environment has been the big question that everybody is asking for and will continue to be in our view so certainly up to now emerging market debt and dividend growers in the equity space have been the choice going forward we like investment grade in the u.s. as obviously we're getting closer to an end

to cycle situation where high yields might be less ttractive >> all right talking about volatility in a bit of time. it's something that is a perplexing sum others are worried about it. we'll come back to that and see lou that is fitting into portfolios let me update you on the european equity markets. it's okay, unless you're in spain. by in large a mildly positive start to trading after what were mixed markets stateside overnight. let's look at the sectors. construction materials down 0.4% nothing really on real estate. i'll call that flat. technology, you saw this great move up on netflix moving 1.2% to the upside. ibm underwhelming overnight. household goods 1% higher. i think we can say that's electrolux i think that's down to electrolux in terms of electrolux, shares

seeing a boost after the appliance maker lifted its north american outlook the ceo. jonas samuelson will join us after the break. your brain is an amazing thing. but as you get older, it naturally begins to change, causing a lack of sharpness, or even trouble with recall. thankfully, the breakthrough in prevagen helps your brain and actually improves memory. the secret is an ingredient originally discovered... in jellyfish. in clinical trials, prevagen has been shown to improve short-term memory. prevagen. the name to remember.

just looking at shares in electrolux, 3.6% higher, 15% higher over the last three months hitting record highs after the company upgraded its north american market outlook, this as it reported a stronger than expected rise in second quarter earnings the appliance maker upped its north american growth target to between 3% and 4% citing strengthening demand and a favorability macro environmefav macro environment.

jonas samuelson is the ceo of electrolux and joins us now. thank you very much for joining us north america, fantastic high spot there what is driving the growth of business >> i think first of all we do see good construction environment. people moving and trading up and buying new appliances. that's supportive for demand our focus has been a lot on operational deficiency focusing more on the most competitive, most profitable product categories and working on our cost efficiencies that's fueling the earnings improvement. >> how do you grow the u.s. business going forward you try to buy that ge business. that went to the chinese in the end. so you saw the opportunity it could have been better for you stateside what is the next stage? in organic growth or do you buy more brands? >> i think it's organic growth we are focusing a lot on the

frigidaire brand it is a good brand with a lot of opportunities to grow. >> in terms of europe, the headline was western europe under pressure, but more specifically it's unite td kingo as well. you are one of the ceos i've spoken to who is seeing a brexit-type effect we are seeing two effects. one is the british pound being weaker since we import our goods into the uk that has a negative impact secondly the market is down and has been down for the last year in the second quarter down about 5%, more or less for the year to date period. >> so, are you particularly worried about what happens next with the uk, bearing in mind the pound remains under significant pressure is it a major area of concern for you going forward? >> is an important market in europe it's the second largest market in europe. so anything that happens in the uk is important to us.

and, you know, weak currency and weakening demand are, of course, unfavorable to us. so we're hoping that that whole brexit negotiations will become smoother and with better visibility for everybody involved >> how do you feel about the trump administration ands of white goods, manufacturers of all products they try to build products domestically. it's not cost effective. no matter who you are you outsourced your manufacturing to lower costs, in many cases emerging market regions. is the trump mantra of buying american, will that affect you in any way, shape or form? >> first, actually about 80% of what we sell in the u.s. is manufactured in the u.s. so we have less of that challenge. you know, we have a strong manufacturing footprint. we have a strong american brand

portfolio in frigidaire. i would say on balance that is not something that is having particular significant impact on us of course we're very much in favor of free trade and we do have a global supply chain specifically in north america we have a good and competitive local manufacturing base in the u.s. >> sure, your margins state side were impressive. 8.4% despite continued price pressure i can't see why would want to manufacture in the united states when you could manufacture not far away in lore cost mwer costs >> we're investing in our u.s. manufacturing footprint to further improve efficiency it's a balance between, of course, labor costs

logistics costs. being located in the u.s. has a significant advantage from a logistics cost perspective that tends to balance out. >> jonas, you only said very sensible and understandable answers so far today one thing i don't get from you is uber for laundry. this is an april fool's, yeah? >> we're working on a lot of exciting ideas around the smart home and around helping consumers get more out of products there's lots of interesting ideas floating around an interesting products coming to market so i'm not sure if uber for laundry is the magic bullet, but there's a lot of exciting developments going on there. >> i just will explain, this is where consumers would use their own washing machines to wash other peoples clothes. i can only imagine what happens next jonas, congratulations on the great performance. >> thank you

>> nobody wants my wash. i can assure you disappointing bank earnings drag the dow lower as weaker fixed income trading weighed on bank of america and goldman sachs second quarter numbers with that, let's get back to our guest, ursula marchionne do you have any in terms of the financial markets and as our previous guest said, i'm comparing apples and pears, but what have you got for us >> financials is an interesting sector we have seen flows from exchange traded product investors in addition to technology, those have been specifically for the u.s. two seinteresting sectors. they underpin the strong growth of momentum strategies within the factory investing space, which we were discussing earlier on it's a space to watch.

we continue to like momentum mostly technology focused but it has an exposure to financials which could buffer going forward in a rising rates environment any potential downturn in the tech sector. >> explain to me the rational for momentum trading there are those of white houus k buying on green and blue and selling on red where is the valuation argument in momentum trading? or is there one? >> i think you have long persistent drivers of returns in markets. first i would say you need to take a step back and expand your investment horizon as opposed to intraday trading perspective if you buy into that argument and if that's how you are constructing your portfolio, then certainly there are parts of the economic cycle where momentum is interesting and has

prove ton deln to deliver outpec versus the broad market. >> it kind of works until it doesn't. we are going up, going up, going up, we stop going up, then what do you do when you are stuck in an area where it's bobbing or going down do you have a short momentum product? >> we don't. but you can certainly short long to medium etfs you can take two perspectives. one is the more static one it's been proven buying diversifying you can outperform in the long-term the market. or you can trade in and out different factors as there is evidence that certain factors tend to perform better in given parts of the economic cycle. from what i hear from you, you're probably in the latter. >> i'm on the fence on everything i like to give the alternative

view >> vix has been under ten for a record number of days already this year. how are you offering products or what kind of products are you offering to trade volatility >> we have minimum volatility structures, which have been in the market for quite some time and very popular i guess on volatility i would point out there's a lot of nervousness in the market in terms of these levels are too low, this indicator will revert. we will see a spike in volatility, everybody gets worried. our view at blackrock is slightly different in terms of we don't believe volatility is a reverting indicator. it doesn't go back to a level. it tends to operate in regimes we've sondone a study from 1872 there's evidence that those types of periods remain for quite some time and the flip,

the button can only be switched if something significant happens. >> or the end of an ecb buying program. just tying the two together. when the biggest player in town is a long buyer trying to buy every single level, once that buyer disappears, is that the catalyst is that the regime change that will ruin the momentum trade and the mean reversion or get the mean reversion trade back on track? >> i agree the risk of ecb policy error is high and is one risk we need to look for equally i would point out to the other side of the argument which is it's equally very risky to remain under invested and underrun risky assets in an area where there is still room to grow >> despite those old-fashioned concerns about valuation ursula, thank you very much for joining us ursula marchionne from

blackrock. coming up on this show, solve the trade issues that's the message from top u.s. and chinese businesses to respective governments we'll have plenty more after this break and we have to take that quick break, but check out world markets live, our blog which runs throughout the european trading day.

very warm welcome to "street signs. i'm steve sedgwick these are your headlines volvo shares slip to a two-month low, as weak margins weigh on results this despite the truck maker raising its north american outlook. we'll speak to the ceo of that company, martin lundstedt in 15 minutes time cooking up a treat electrolux shares soar as strong north american demand boosts the appliancemaker's earnings. pass the mustard mccormick buys reckitt benckiser's food business for $4.2 billion, adding french's mustard and frank's hot sauce to the company spice rack the ceo of akzonobel steps down citing health reasons as the dutch chemicals company continues to battle activist investor elliott management's attempts to oust its chairman.

so a mixed session stateside yesterday. the nasdaq had another positive session. the dow underwhelming, goldman sachs and ibm two of the negative catalysts let's look at the european markets. i have to say, literally since the show came to air, the market has lost momentum. quite significantly. if you will recall, before the market opened we were calling 0.3, 0.4% higher for a couple of the european indices i will point to the fact, yes, things look okay economically here in europe at the moment political risk seems to have abated but with that comes the fact that the dollar losing ground on concern about events state side and the euro picking

up that hurts the exporters that is why we have seen an underwhelming performance from the xetra dax in the last couple of sessions. let's look at the foreign exchange markets as well i'll draw your attention to this one. look at that 1.15 is the handle there yes, losing ground in session, but 1.15 handled euro/dollar bob parker thinks we will go to 1.20 dollar/yen trading 112 the pound trading where it was after we had the inflation figures this time yesterday. as you will remember, one minute before the figures it was trading 1.31 top chinese and u.s. business leaders are urging governments to quickly solve bilateral trade issues this appeal comes during the u.s./china business leaders summit co-hosted by jack ma and stephen swartzman. the u.s. commerce secretary, wilbur ross responded by saying

the private sector is well placed to solve serious imbalances in trade between the two countries. let's look at the chinese perspective on this as well. you have got intellectual property rights one of the key issues investment restrictions key issues for the chinese looking to invest in the united states it follows the 100 day plan announcement mnuchin, ross, all attending will they make progress? there are broader issues between the u.s. and china despite a warmth overtly between president xi and trump will they make progress? are there barriers like north korea? are there yuch issues like chia disputes that will get in the way? >> reporter: bilateral trade talks kicking off between the u.s. and china the u.s./china

comprehensive dialogue is being rebranded this way this year these are annual talks, for this time around it's an important time period because we are coming off the back of the 100-day period, a plan that presidents trump and xi agreed to to tackle the trade imbalance between the two countries. the u.s. to see a 3$300 billion trade deficit with china, that's something trump said he wanted to tackle. halfway through that 100-day period there were early successes, one that u.s. government officials continually touted which is american beef exports, lifting a 14-year ban to allow the u.s. to send beef to china giving american businesses access to china's 5 $2.5 billion beef market but the u.s. still wants more in advance of the talks government officials on the u.s. side said continually that they want greater market access for american firms and a more transparent regulatory environment. experts at brookings are saying

these talks might be more process than progress. it's possible now because there has been so much talk of those successes on the u.s. side that china is now a little bit less pressured to concede to what the u.s. wants on the other side of that, for the u.s., they're not likely to be labeling china a market economy any time soon. definitely anticipation as both sides come to the table. for china, they are look at this through the lens of stability. with dealing with slowing economic growth at home and this leadership shuffle in the fall, what they want to dois maintai the calm but that doesn't mean china will give up any opportunity to crow at america what it thinks is a complete mess if you're looking at an op-ed out today from the peoples daily a communist party mouthpiece, it says not only hat country been thrust into political chaos, but the nation is more divided than ever. it goes on to say that the new government just can't get anything meaningful done and

indeed america is making china great again. so certainly sharp rhetoric in advance of these talks getting underway clearly a lot of eyeballs here on what kinds of agreements the two countries make come to back to you. >> let it fail, that was u.s. president trump's message about obamacare as he laid the blame for the collapse of the healthcare bill at the feet of the democrats. he said he was disappointed with how the attempts to repeal and replace the affordable care act played out president trump added he would move on with his other legislative plans such as infrastructure chris pollone joins us from washington i know you've been waiting, thank you very much for that who is to blame for this republicans? democrats? the president? what's going on? >> well, steve, if you look at congress, republicans have majorities in both houses.

senate majority leader mitch mcconnell could afford to lose two of his republican senators but not three or four, which he did lose could have possibly lost more if this debate had gone on further. the two senators coming out monday night saying they were opposed to it essentially killed this so as much as president trump says it is democrats fault for not working with the republicans and for being obstructionists, the reality is mitch mcconnell could have gotten this done on his own if he had the votes within his own party it's not surprising that democrats, who under president obama, the obamacare act was his signature healthcare act so it's not really surprising that democrats did not want to work towards repealing it. >> in terms of what happens next, the president says he will push on. he will get other stuff done he needs a big win can he push on there's a lot of people

questioning whether he will get the kind of support for other measures he wants, and for instance if he will get the budget in order for other measures he wants without having done something on healthcare can he push on with his agenda how will republicans react i know it's a long way off, we're already looking to midterms >> right it's obvious he will try to push on you have to remember they're going to have to do something about healthcare at some point mitch mcconnell said he will still have a vote to try to repeal obamacare without replacing it that's already doomed to frail you're at this point with three republican senators saying that theywill not move forward. mcconnell said there would be a two-year phase out of obama care, but a lot of senators are not willing to take that risk that they could just repeal this and then have nothing in place there are 12 million americans who buy health insurance on those obama care exchanges so president trump, you played

the sound, let it fail, if it fails there's an awful lot of americans who could be in healthcare limbo if that happens. something has to happen with healthcare, but no doubt the president meeting with republicans today for lunch will try to press on with other issues you have budget issues coming up so they will try to work on that but something still has to be done on healthcare >> chris, in terms of democratic strategy going forward those of us look at politics around the world and the disdain we have about polarized politics what is the democratic strategy? is it to oppose the president or do they have something else which is more proactive? >> they've had a lot of criticism of not being a party that stands for something among critics simply with the investigations that are going on of the trump administration, with this healthcare issue it does look like they are standing up to the president or resisting is the term we often

hear, but there are legislative priorities that democrats want to get done. it will be interesting to see that now, especially on healthcare f republic healthcare, if republicans say let's start over, let's have hearings, let's do this the way things used to be done in history, it will be interesting to see if they go to work together >> fabulous getting your insight. we did a whole interview and didn't mention russia. chris pollone from nbc there the u.s. is imposing new sanctions on iran for its ballistic missile program. it's a way for the trump administration to pressure iran but ithout scrapping the nuclear deal the american state department says iranian activity across the middle east is undermining regional security. washington has a sanctions package ready for venezuela if president maduro rewrites the

country's constitution to increase his power the trump administration says the move would create a full dictatorship maduro hit back saying donald trump is not the boss of venezuela. big test for mr. macron on this side of the atlantic. a lot to of us are look at france now from in the country and outside and saying can macron bring the country economicry in rally into the 21t century? that's what he has sold to the french people. he has to stand by his guns. talking of guns, the boss of the french armed forces has he resigned, interesting insight from one of our key editors saying historically the army is called the great mute, because they're basically showing great discretion and don't normally get involved in politics of course what macron has asked for is cuts across the huge public services in france.

i think we're talking 54% of the french state is public service -- is serviced by the state rather than the private sector so they need to get that down to below 50%. he has a big cost-cutting and personal-cutting across the whole of the french political establishment. now the army would have to pay its role within that and make some cuts and have budget freezes. now the army making its stance in the form of this resignation. macron, very important for him to win this battle as well very interesting that perhaps the first bit of dissent we've seen after the holiday a fantastic display. there you can see pictures from the event, which was attended by not only mr. macron but the u.s. president, mr. trump which was also the anniversary of 1 00 years since u.s.s for t forces

the first world war. volvo shares drive lower, i it a product that's come a long way? we'll find out what the ceo of volvo thinks after this short break.

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welcome back european chipmakers getting a boost after asml beat second quarter sales estimates. we looked at these numbers a couple hours ago they looked great. the dutch semiconductor firm said it was on track to report sales growth for 25% for the year elsewhere shares in ubisoft are trading higher after the video games maker reported a 45% sales increase in the first quarter. the french company also confirmed its guidance for the full year.

it's forecasting strong sales in the second quarter shares in ibm coming under pressure in after hours trade after the tech company posted its 21st straight quarter of revenue declines growth in its new and higher profit units such as cloud and ai failing to offset a slide in legacy businesses such as hardware and software. however ibm's earnings for the second quarter were higher than expected >> reporter: the big take away from ibm is the count continues to struggle to patransform itsef big blue has seen five years of growth under ginni rometty they are trying to grow the higher margin next gen tech. these businesses make up 43% of

ibm's total revenue though growth is slowing. one of the biggest bets is watson it's ai platform ibm does not break out numbers relating watson and some questioned its impact on the bottom line. the ceo was on cnbc after the numbers crossed, he was asked to respond to some who called watson a joke. >> if you were dismissive of us, you wouldn't bring us up we are maybe getting to his clients already, or getting to a place in the market where people with see how effective this can be >> additionally it's not just some skepticism about watson's capabilities a recent notes from jeffries puts watsonand associated revenue at 3% of

ibm's projected 2019 earnings. barclays said the narrative has become tedious as the company invests big in next genentech with little revenue impact others say when you are rearchitecting or transforming a company the size of bishibm, itl take a while the question is do people have the patience. johnson & johnson expects the sales growth to pick up in the second half of the year. the sales in pharmaceutical products fell marginally the company says there's strong demand for newer, pricier treatments and it is banking on those to counter slowing demand for some older products. shares in volvo extended losses touching a two-month low after second quarter truck margins came in 10% under expectations delight to the welcome martin

lundstedt, ceo of volvo. i looked at some numbers today, i thought they looked impressive truck order intake up 22%, verses a forecast of 12% what do you think the market doesn't like today >> i think one of the reactions as you mentioned was a little bit lower margins on the truck side 9.6% in relation to expectati expectations the main explanation is a stretched supply chain at end of the quarter that affected the margins. generally it's a solid report. we are increasing margins for the whole group. construction equipment is doing well both intake on trucks and construction equipment so generally speaking it's a good report. >> it's a nice problem to have at least you have customers desperate for the product.

you are going to sort this out in the next quarter? >> we are working on that. the vacation period is coming in hand, and we are also using part of that so reset the buffers together with our suppliers. so far we have been able to -- we have been able to deliver to customers in a good way. but it has been coming with somewhat higher costs than we reported also during the conference call. >> so, they were worried about the truck margins. the overall margin was up from 7.8% to 9.8% can you tell viewers and investors that you can get to those 9.7% numbers for the truck unit and go further from that? at your time in the company you have been shaking things up since 2015 are those margins moving in the right direction? >> i think if you look at the -- over the last quarters, we have

been improving the prof profitabilities in different divisions. we have clear centralized p&l responsibility and that is paying off in the trk muck margins, i thinw are seeing those improvements are coming through in the company. as you correctly said, we are also pleased to see that all business areas, including construction equipment, buses and engines are following the same way and financial services are doing a solid quarter. i was talking about you off the record to a swedish industrialist, he says you have shaken things up at volvo and ruffled the feathers have you done everything you have got to do to get this company to the 21st century? >> when it comes to -- when it comes to our type of product and services, i think mobility is

more needed than ever. i think the most important thing that we have done is decentralized p&l for our different brands clear accountability and the strength of the group where it matters such as power train, new technologies, connectivity and automation we are having good balance you will see continuous improvements we aring look forward to the future >> that's the technologyside o things in terms of demographics, america we talked about, great china on the way back. europe, people talk positively about it which region are you most excited about? >> i think we have a very strong level in europe and that we think we will continue also on the back of the economic activity but also you mentioned china,

that's back on good levels also america is coming back after the correction in the market in 2016 that will have a strong american base supply chain that is standing ready for picking up. we are also excited because we launched a new product for volvo trucks north america on the regional side and long haul side as we speak. north america is looking interesting for the coming months >> do you have any faith in mr. trump to come up with infrastructure speeding th ispe will benefit you and other markets as a catalyst in the states >> everything that is linked e infrastructure and transport activities will be beneficial. having said realistically,

the economic activity is on a good level orders are coming back there will be a pick up in north america to 30% for trucks. and we see some improvements on the construction equipment side. if that comes through that will have another positive effect on the market demand. let's see. we are prepared for that as well if that's coming >> thanks for your time. i know you're a busy man especially today martin lundstedt ceo of volvo. a look at european markets interesting. can go either way on this one. we are flat as a pancake apart from the french market which is up 0 f.2%. we have 115 on the euro/dollar baiting a little bit with the highs we saw previously. you want to look at sectors? who's down construction materials i guess volvo story. but volvo had a 22% increase in

truck orders just heard the ceo saying we're working to sort out that margin. an issue that may upset people technology, 1% higher. probably hard to see it going anywhere else after the netflix blowaway numbers household goods, higher. look to scandinavia and electrolux for that one. a look at u.s. futures nasdaq higher again. oscillation on the dow and the s&p. that's it for today. i'm steve sedgwick this was "street signs." up next is "worldwide exchange." join us tomorrow for european programming on "squawk box" from 7:00 central european time these days families want to be connected 24/7.

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good morning, a f.a.n.g. tastic rally, the nasdaq rallies as tech roars back to life big blue is seeing red today. we'll tell you what's driving ibm lower. plus breaking deal news. discovery communications reportedly in merger talks with scripps networks we have instant analysis right up it's wednesday july 19, 2017 "worldwide exchange" begins right now.