the wall street rally remains red hot as we kick off a new trading month. we're breaking out your august playbook >> another big white house shakeup after ten days in office, white house communications director anthony scaramucci is out. we're live in washington with the fallout. and brexit, banks and bre breadsticks. how the brexit is impacting everything from savings to cravings it's tuesday, august 1, 2017 "worldwide exchange" begins right now. ♪

>> good morning, welcome to "worldwide exchange" on cnbc i'm morgan brennan in for sara eisen. >> i'm dominic chu in for wilfred frost. let's look at what's happening for the markets. it's a new trading month, futures for now are showing signs of stability the s&p is now improving up by 10 points. it looks like we could start as long as futures trade where they are now going into the opening bell the dow jones up by 124 points the nasdaq up by 35 as well. as for what's happening with the broader markets, check out the oil trade. it's one we've been focusing on for a long time. wti crude above $50 per barrel $50.32 ice brent cruise, that world benchmark, $52.77, up by 0.1%. as for the currency side of things, that may be showing some signs of what's happening elsewhere. the you'euro now is falling aga

the dollar 1.182. dollar/yen 110.38. and pound dollar, 1.3237 for right now some higher oil prices despite we're seeing the stronger dollar against some of these currencies. >> looking at asian equities now. it was a mixed session -- excuse me, stock there's were higher. the japanese nikkei closing the day up 0.3%. the hang seng up 0.8%. trading near two-year highs. the shanghai composite up 0.6% we saw stronger manufacturing data signs of manufacturing growth i china overnight. mixed numbers there. turning to europe. we've got a mixed session in europe

though it looks like we've moved higher there as well the dax is up 0.4% the french cac up a half percent. the ftse up 0.8. now to this morning's top story. it's out of dc, and think scaramucci is out as white house communications director after ten days on the job. the departure is the latest in a series of shakeups out of that white house. tracie potts is live in washington with the details. >> reporter: good morning, everyone the president says that there is no chaos behind the scenes but he's had two national security advisers, two press secretaries and is looking for a third communications director with a new chief of staff. >> he will do a spectacular job. >> reporter: retired general john kelly now in charge at white house. >> general kelly has the full authority to operate within the white house and all staff will

worth to him. >> reporter: everyone including the president's chief strategy, steve bannon his son-in-law and adviser, jared kushner, even his daughter, ivanka and eventually a new communications director. anthony scaramucci pushed out after a profane tirade has the white house says the president found inappropriate. >> removing anthonyscaramucci demonstrates candidly an forcefully to everyone that the chief of staff means business. >> reporter: that business includes managing a response to russia kicking out hundreds of diplomatic staff, and north korea's long-range missile tests. >> we'll handle north korea. it will be handled >> reporter: the new chief of staff's job, managing crisis >> they have not really had to face a crisis like a hurricane katrina or a deep water horizon. >> reporter: north korea keeps

pushing, trump now has a new chief to help him push back. the white house press secretary says the rest of the president's senior staff plans to stay back to you. >> it's like "game of thrones" in washington, d.c., thank you very much. scaramucci's white house departure will have reportedly no impact on the scale of his sky bridge capital to ana. hna says the transaction remains on track and will close by the end of the summer. scaramucci sold back at end of january as he p january as he prepared to join the president trump team. >> in venezuela, two lawmakers have been reportedly taken from their homes, this after nicolas maduro claimed a dig victory in a highly contested election. the u.s. called the results a sham and slapped sanction sanct.

the white house says all options remain on the table. you can see kpi crude is higher this morning, trading above 50 bucks a barrel >> this will ab story on the oil front where we will be talking about this for quite some time, not just because of the concerns out of venezuela but how it fits into the dynamics out of the middle east, trade sanctions over there everything happening now could be constructive for oil if it stays that way so venezuela part of that story. we'll hit it all show with regard to what's happening out there. >> we will the other piece is we have u.s. refiners stepping away from processing that heavy crude that we import from venezuela, and that we're moving back to this light sweet crude that we frac in the u.s >> and we're a huge consumer of that venezuelan crude. some stocks to watch today

bp topping expectations despite a drop in second quarter profits. the company said oil and gas output increased nearly 10% as it started production in a large oil field in the north sea shares up 4% in uk trading. sony's operating profit dropped three fold on the back of image sensors sony shares up more than 35% this year, down about 2% in the trading in japan >> honda reporting a better than expected first quarter profit as strong sales in asia offset weakness in north america. the automaker is raising its full-year forecast of course autos will be a focus today with data coming out about last month's sales pandora reporting better than expected revenue in the second quarter the company says advertisers spent more on the music streaming service amid stiff competition. pandora is trimming its full-year revenue forecast

shares are down more than 1% texas road house says second quarter revenues and same-store sales topped analyst forecasts the chain expects the sales trend to continue in the third quarter. though the company knowed wa ene inflation could pressure margins. do you know where texas ro roadhouse is headquartered >> i'm guessing not texas. >> louisville, kentucky. and alison transmissions second quarter results beat wall street estimates they are also raising the 2017 sales targets. shares are up 7% in early trade right now. snap will ab focus again today after the s&p 500 decided to exclude the company from its index. landon dowdy is here to explain why. >> oh snap, another blow to the disappearing messaging app managers of the s&p 500 say

beginning today they will exclude companies that issue multiple share classes the move effectively bars snap from the s&p 500 after the company decided to offer stock with no voting rights. however the s&p says existing components like alphabet and berkshire hathaway with several share classes will not be affected in a statement the index provider said companies with multiple share class structures tend to have corporate governance structures that are different. snap's march ipo was the third largest ever for a tech company, but some investors were taken back by the unusual decision to offer investors a class of common stock with no voting rights shares of stap having busiest trading day yesterday. the stock falling 5.1% to a record low this morning the stock is up about 1% in early trading. >> i have a question for you

are you a snap user? >> who doesn't love a good princess crown filter. >> do more of your peers, you feel, use that versus instagram or what's their platform of choice >> that's a great question that's the big question here for the stock, too you know, instagram made instagram stories that made huge competition because you have it all the on one ap all on one app it's all in one place, makes ie. >> morgan what about you which is your preference >> i like instagram. i like the pictures. seems to be less trolling. i still go on facebook and twitter, but it's more of a work thing. instagram, i like to share the pictures >> my wife is definitely an instagram user. >> how about you >> i stick with twitter.

it's the journalist in me. i like to see what's going on in the world in 140 characters. as for the snap news, it's interesting there's a line being drawn in the sand. snap is the company where that line is happening. you do have other companies continue doing what they do. >> but they have publicly traded other share classes. >> that is the key point there. we get a trio of economic reports. june personal income and spending is out at 8:30 eastern. followed by the july ism manufacturing index and june construction spending, both out at 10:00 a.m as for earnings, look for results from adm, phillips 66, sprint, under armour and xerox before the bell. after the close, we will hear from apple still to come on the show, we're talking about brexit, banks and breadsticks. we're live in london that's straight ahead. as we head to break, look at the best performing s&p sectors

in july. telecom, tech and energy led the way. year-to-date, it's tech up 21% tou futures a s ♪ ♪ ♪ ♪

. welcome back to "worldwide exchange." i'm morgan brennan along with

dominic chu. let's get you up to speed on market action starting in the u.s. with equity futures as you can see we are indicated to hope popen positive this morg the dow jones is up 1 12 futures up 112 above fair value. s&p 500 up 8.5 nasdaq up nearly 30 points here with the futures above fair value. apple earnings after the bell and a see of other earnings this morning. all of this after the indexes closed higher for the month of july turning to oil, also green arrows wti crude is trading above $50 50.36 a barrel ice brent at 52.84 and rbog gas is trading higher >> a new report out overnight puts staggering new numbers on brexit's impact on the banks so the headline here, britain

could lose up to 40,000 investment banking related jobs after brexit is said and done. let's bring in martin arnold, banking editor for "the financial times. the study puts a fine point and some serious numbers behind it how big of an impact could it be is it just the jobs or elsewhere in the financial markets >> it's really about the price of brexit for the banking system this is the most detailed study that we've seen to date, produced by oliver wyman, the consultant who have in-depth access to the bank's numbers they say not only 40,000 investment banking jobs could be lost in london, but they also put a figure on the cost for the banks. they say there's going to be an increase of 2% to had% in the annual costs at the banks in europe and extra capital requirements, extra $50 billion

of capital required for the banks in europe because of the extra duplication of activities and assets across the continent. >> martin, this is morgan brennan. do we expect the worst-case scenario to actually play out in terms of brexit and what would that mean for the banks in terms of exiting some of these markets if it gets too expensive >> the problems that banks have got is regulators are telling them they have to plan for the worst-case scenario. that's a hard brexit scenario in which access between the uk and european financial sectors is severed completely there's no ability to so-called passporting access for banks that currently operate across europe from their bases is london so they have to plan for that worst case scenario, even if it is not the final outcome of negotiations which will end in

march 2019 the problem is that this -- these moves take a long time they need to apply for licenses. they need to get new office space in european cities lined up they need to move people, families they need to hire new people there's an awful lot of work involved here. they can't wait until the last minute they have to assume the worst. they have to start preparing for that worst case scenario now, without knowing whether it will, in the end, be necessary >> you mentioned this idea of duplicating processes, getting a european headquarters and an eu nation is there any sense from your reporting or research out there which european cities may benefit the most we heard about dublin, ireland, places like germany. where do we think some of these headquarters will end up being in europe? >> that's a good question. there's been the most extraordinary scramble between the various alternative

financial centers in europe to win some of this business that is expected to be lost from london leading the pack has been frankfurt, i would say, particularly for investment banking jobs it looks like the business forced out of london because of brexit will be quite fragmented. we're already seeing some of it is going to dublin, particularly security services, global custody, also prime brokerage, also back office activities are going to dublin. more trading, securities trading going to frankfurt but just this week the ft reported that mufg, japan's biggest bank is likely to choose amsterdam for its eu hub of its investment bank. so you're seeing a fragmenting across various different european cities. hsbc is going to move as many as

1,000 people to its paris office, because they have a legacy operation there they bought a big french bank. so they have a large paris office it's fragmenting that's going to add to the costs for the banks, there's not going to be one single alternative hub. there's going to be a splintering of their activities across the rest of europe. that's going to be more inefficient for the banks. >> of course it's a story we'll be following quite a bit from the european side of things martin arnold, thank you very much >> we're hearing similar things from the insurers, aig, lloyds of london. sticking with the uk, jim cramer checking in with domino's pizza ceo last night on "mad money." domino shares took a hit last week affleck after lackluster sales.

>> it was a little bit weak. it was kind of flattish for the quarter. so there are things to work on it's still a terrific business they're building lots of stores. but we think the value equation there, there are a few things that were working on them. but we'll get it moving again. >> doyle said these are fixable problems and that the company knows how to get this done >> dominos pizza, up about 0.1%. coming up a big development for the world's tallest unoccupied building. today's top trending stories are ahead. first here's today's national weather forecast from bill karins. >> good tuesday morning to you tropical storm emily formed in a hurry yesterday and now is exiting. it weakened overnight to a tropical depression. we are just about done with it in florida we will see a few storms in south florida. that will be the worst of it otherwise just about done. the east coast won't see a lot of big waves from it, it's such

a weak system. it won't hurt beach plans. now the new story is what's happening in the pacific northwest on the west coast. it's already been a hot summer, but this will be an epic heat wave with a strong ridge in place. record highs in northern california going into wednesday and thursday, some areas have a chance for all-time record heat like salem, medford and portland not everybody there has air conditioners, and it could be dangerous for the elderly. that's your forecast more "worldwide exchange" when we come back this is the new guy? hello, my name is watson. you know wine, huh? i know that you should check vineyard block 12. block 12? my analysis of satellite imagery shows it would benefit from decreased irrigation. i was wondering about that. easy boy. nice doggy. what do you think? not bad. what do you think? you're in the match app. now tap on the new missed connections feature.

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welcome back to "worldwide exchange." let's get you up to speed on the market action. as we've been telling you, we are seeing strength in the futures market we could see an s&p 500 that opens up by 9 points to 10 points if things stay the same now heading into opening brel be bell the dow jones could open up by as many as 117 points. and the nasdaq 32. interest rates in focus along seed currencies. >> 22,000 watch for the dow. time for our top trending stories. lyft and disney parks are teaming up to bring on-demand transportation they will use minivans trademarked in the red and white polka dots that will take visitors to any of the orlando

resorts. they look like giant moving lady bugs .com, you a dom, you and i both have daughters, what do you think >> what we're showing are pictures of these lyft vans, they are covered in polka dots they do look like lady bugs. i have a daughter, you have a daughter, i'm all for this fantastic story. it catches someone's attention if you're at a disney theme park and you see these things rolling around. could north korea's hotel of doom finally be opening its doors? pyongyang unveiling renovations around its biggest landmark, a futuristic pyramid-shaped 105-story hotel, the world's tallest unoccupied building the reveal coming after rumors that the structure may not even

be structurally sound. >> i'm not surprised this is the architecture in north korea. >> well, yes >> unoccupied. >> coming up, the latest from washington following another major shakeup at the white house. and we're drilling down on that big move in oil prices speaking of big moves, check out the futures. pointing to a strong open on wall street, putting dow 22,000 within striking distance stick around "worldwide exchange" will be right back then you have to try always discreet. i didn't think protection this thin could work. but the super absorbent core turns liquid to gel. for incredible protection... snap! so it's out of sight... ...and out of mind. always discreet. for bladder leaks. i've discovered incredible bladder leak underwear that hugs every curve. can't tell i'm wearing it, can you? always discreet underwear. for bladder leaks.

the record rally rolls on as we roll into a new trading month. futures up triple digits, putting dow 22,000 within striking distance. we have your trading day set up. and the mooch gets a smooch good-bye after ten days in office, white house communications director anthony scaramucci is out. and crude is crushing it it's up more than 9% in a month. we're drilling down on that big move in oil prices it's tuesday, august 1, 2017, you're watching "worldwide exchange" on cnbc. ♪ >> good morning. welcome to "worldwide exchange" on cnbc. i'm morgan brennan in for sara eisen. >> i'm dominic chu in for wilfred frost this morning >> let's get right to it

a check on global markets. we have strength in the u.s. futures, in the equities market. the dow jones is indicated to open up 117 points s&p 500 pointing to a 9 point higher open. and the nasdaq opening "up with steve kornack up nearly 30 points. this is the first time we may see 22,000 apple earnings after the bell. those will be in focus turning to the ten-year trshry no treasury note, the yield is slightly higher. 2.296% >> so, if we get 109 points, we will hit that 22,000 mark. if the gains hold right now, we should hit that 22,000 mark right around the opening bell.

closed at 21,891 yesterday these milestones, maybe they're important for some maybe not for others still an important number. it's a milestone it marks something >> it is if we get that today, it will kick off what will be a busy day in terms of data, earnings we get that inflation read today which the fed has been watching closely. a lot going on today >> it is the fed's preferred gauge of inflation as for what's happening with the asian equity markets it was green across the board for the major markets. the nikkei opening up and closing by a third of a percent. the hang seng in hong kong up 0.8% the shanghai composite and kospi in south korea moving higher as well as for the european side of things, we are seeing pretty much green across the board. dax in germany up by a third of a percent. cac in france, half a percent. ftse 1 00 in the uk up by a

half percent as for the broader markets, we have been seeing dollar strength today. the euro at 1.18 this morning. stronger versus the yen. the yen 110.39 it is weaker versus the pound, this despite the fact we've seen collar weakness overall. ma last month the dollar dropped dramatically, this brings us to what's going on in the commodities market we have cold unchanged 1,273.40 if we turn to oil, we see green arrows there wti crude is trading above 50, 50.38. ice brent crude is up 0.3% at 52.88. we're seeing this on the draw down numbers here in the u.s. ahead of that opec meeting in abu dhabi next week. >> let's talk about this energy

rally. joining us is john kildove, it's a great story and a lot of cross currents what is the most important thing impacting oil prices now, why have we seen this winning streak over the past month >> a couple things underlying everything is the dollar weakness. the fall in the dollar that been precipitous, steady, and just boiled up the prices to a degree the second big thing is a renewed commitment allegedly by saudi arabia to cut exports to the global market over the course of the next several weeks. we'll see if they do it or not we'll see if you could wait follows along. it's a new methodology or a new attempt to tinker with things. because we know production from the group keeps going up, not

down they're at the highest production levels for july the nigerian production that you hear so much about is blowing a hole in the side of their plans. that's why they're panicking, getting everybody together to forge a coming together to work on compliance, try to figure out something for nigeria and libya. go along here. the other cross current, we have a lot of things off in the wings that could blow a hole in the market you have tensions between saudi arabia and qatar, with rhetoric that is on fire. saudis accusing qatar with acts of war because they wanted the hajj sites to be internationally recognized the other thing is venezuela usually we have an oil company teetering on the brink of bankruptcy, they would use the bankruptcy laws to still operate.

this could be a case of insolvency, they don't have the money to pay and the wherewithal to operate we rely on venezuela for about 10% of our daily crude oil needs. crude that is important to refiners because of its chemistry, it's heavy, sour, laden with sulfur that a lot of refine er refiners were built to deal with. >> what happens if we put sanctions on venezuelan oil? >> that could be a killer for consumers here again, i'm not sure there's a bit of a debate as to when we could replace that oil if we were to embargo it or ban its importation. it would be a death nail for the state oil company. i'm not sure how they could

operate in a bankruptcy or solvency situation we are their lifeline. the united states market is the lifeline but also it is the lifeline for sit citgo. we would lose a lot of refining capacity >> it's something consumers in the u.s. will be watching. many people pull up to global stations and don't realize sometimes they use oil from certain parts of the world john kilduff, thank you very much to the top political story, another big shake up at the white house. president trump removing white house communications director anthony scaramucci after ten days on the job. now his swift exit was announced just hours after trump's new chief of staff, john kelly too scaramucci's white house

departure will have no impact on his sale of skybridge capital to hna. hna says the transaction remains on track and will close by the end of the summer. scaramucci sold back at end of january as he prepared to join the trump team and turning to today's wall street agenda, we get a trio of economic reports june personal income and spending is out at 8:30 eastern. followed by the july ism manufacturing index and june construction spending, both out at 10:00 a.m as for earnings, look for results from adm, phillips 66, sprint, under armour and xerox before the bell. after the close, we will hear from apple >> a lot of volatility in shares of pandora after the company reported results landon dowdy has more with that story. pandora's box, right, landon >> you're right. let's look at the stock.

shares of pandora continuing their slide after an up and down reaction to the company's results. the company posted a far rower than expected loss and revenue came in $9 million better than expected subscriber numbers were lighter than projected and listening metrics missed the mark. the music streaming company issuing disappointing guidance for the full year. that reflects adjustments related to the sale of the ticketing firm, ticket fly and the closure of australia and new zealand operations back in june. shares are down more than 1% in early trading. back to you. >> thank you very much we have bp topping expectations despite a drop in second quarter profits they say oil and gas outputs increased nearly 10% as a start up in a large oil field in the north sea. that stock up 3.5% sony's operating profit

dropped three fold in the first quarter on the strong sales of image sensors. that business recovering from earthquake damage is suffered a year ago sony shares up 35% this year, but they are lower today the s&p will start limiting companies that have multiple share classes. the move effectively bars snap from the s&p 500 after the company decided to offer stock with no voting rights. >> it's been snappy for snap general motors completed the sale of its opal and vox hall sale to peugeot. this marks the end of the90 yeas

of gm in europe. and cognex is raising its third quarter sales outlook for its machine division systems. and shares of u.s. silica holdings are slumping. the supplier of silica sand to the oil and gas industry reported second quarter results that missed analysts forecasts shares down about 7.5 psh% so fr a lot of stories on the corporate side of things >> the sand miners have been hit really hard. we don't necessarily talk about them much. hit very hard the last couple of years. it's been hard in the middle of the country that the sand miners have become big parts of local economies for. >> frac sand a big story in those parts. the olympic torch is coming back to los angeles. the city reached a deal with the

international olympic committee to host the 2028 summer games. that clears the way for paris to be awarded the 2024 olympics as part of the deal the ioc will advance 1$1.8 billion to l.a. i recognition of the 11-year planning period and to increase youth sports programs. los angeles hosted the olympics two times before, in 1932 and 1984 coming up, washington's most dangerous man. we'll tell who one op-ed writer says poses the most significant risk in the near-term. and look how we're starting the trading month. pretty positive. if we open up here, we could see dow 22,000 right away. over the last 20 years, august is the weakest month for the s&p araonvege stick around, "worldwide exchange" will be right back

welcome back to "worldwide exchange." time for our morning must-reads. my pick is in the "washington post." it's titled "the most dangerous man in washington. who could it be? it's mick mulvaney, director of the office of management and budget in terms of both immensity and immediacy, the threat mulvaney prevesep presens

is far greater than any of the slow motion train wrecks happening elsewhere in the administration that's because he seems to be hell bent on wreaking a global crisis within the next two months that's when the government will run out of money to pay bills congress has already incurred. >> this could be one of the agenda items that trumps everything else that is going on the idea that we could have shutdowns -- >> rating downgrade. >> all of those things could be worse than some other things we're talking about in terms of healthcare reform stalling out or tax reform. >> it's one of the most pressing we're looking at the end of september. there's a lot of focus on tax reform, this will have to get done first this felt a little sensational

this article to me it's very serious situation, but we have these debt ceiling faceoffs very regularly these days, and we've been seeing that since the clinton administration i don't see it being -- mulvaney being the man who stands in the way. >> it is certainly an opinion piece. >> oh, yeah. >> definitely -- >> it's titillating. >> certainly a story to watch. >> my pick is in the "wall street journal." it is titled "government opioid abuse. plaintiffs are requesting billions in damages to cover the social and economic costs of opioid addiction and senators demanded upwards of $45 billion for treatment in return for their votes to repeal obamacare. yet the obamacare medicaid expansion may have inadvertently fueled the opioid epidemic by making pain killers more accessible a study estimateded that a

quarter of medicaid beneficiaries were prescribed opioids in 2015. this wasn't even the lead of this article to me it was towards the bottom, but that paragraph jumped out. in part because you're seeing this push by local government is, and some states to litigate and go after the actual manufacturers of these drugs, whereas a lot of issue and the fraud and criminal activity taking place is taking place within the delivery of these drugs. i think it's interesting that medicaid has played a big role in sort of the handing out of these types of pills this is near and dear topic to my heart i have a lot of experience, personal experience around this it's shocking when you realize this is the number one killer, drug overdoses of people under the age of 50 right now. >> there are certainly a lot of people out there who feel similarly about that >> this is also something that only is just getting recently talked about

janet yellen talked about this in front of congress, getting recently discussed as to why we're seeing historically low employment participation rates >> it's nearing the top of the hour, joe kernen is joining us you have to have a lot on your mind given what happened yesterday afternoon, and markets near 2g 2,0ing 22,000 >> that was interesting listening to mortgage there. that's not a story you will see a lot of places. hard to believe that the best-laid plans well intentioned plans could -- it happens all the time, doesn't it the unintended consequences of trying to do something positive, and you end up -- i have no doubt that's a factor. i wouldn't look for that in

mainstream media too much. yesterday morning, dom, i said here's another week what will happen this week i think it might be general relatively, last week was momentous. it didn't take long for monday to go down in the books as an interesting day. scaramucci didn't -- he was supposed to start august 15th. amazing, isn't it? he's already outokum, but he hat really started but what i'm interested in is 22,000, just like you said yesterday a lot of it was boeing it's been individual dow components i think it's august 1st which means we're almost finished with this latest earnings season. the quarter ends in june, right? they take a couple days to cook the -- not cook the books, to put all the numbers together >> yes >> and then they report in july.

by the time you're at august 1st you have stragglers and retailers with different fiscal years. but we're through it look at the market the market has spoken about what kind of earnings season it was 22,000 looks like the next stop on this train a train that most people don't believe and think it was a disconnect between what's happening on wall street and maybe what's happening in d.c. it's rolling along >> fundamentals matter, morgan i wouldn't say train, i would say plane because of boeing. >> thank you very much, joe. >> we are on dow 22,000 watch. if we opened right now we'd hit it we'd be opening at another record we're all over this big premarket move as we get ready to kick off the first trading day of august, check out where the major averages closed out the month of july like joe said, dow at a record

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welcome back to "worldwide exchange." looking at futures now, if we open up 115 points for the dow, it would be a record let's discuss the markets further with art hogan always great to have you in the early morning with us. joe kernen mentioned fundamentals are okay. economy is decent. are we justified to be at record highs for the dow? >> i think we are. obviously multiples are higher than what we would like to see back-to-back quarters of double digit earnings growth on revenues that have increased quarter over quarter, the revenue growth in the s&p 500 looks to be 7% we didn't go through that sort of springtime slowdown we didn't hit the soft patch this year. that's good. we have an economy that's becoming self fulfilling in

terms of momentum. that's driving earnings growth to the extent we continue to have a continuation of the data we see today in the personal income and spending and the ism manufacturing numbers a good report from apple tonight with view towards what that iphone rollout looks like, we can continue this momentum here. >> dow industrials at record highs, near record highs the dow transports have tanked in the last couple of weeks. we're seeing it across the board in the transports, everything from railroads to airlines tow truckers how worried should we be about what the transporting are signaling? >> that's a great question with the month we had, dow up.5%, transports off 4 %. that may be telling us a message, it's difficult to high mick activity from the transports the transports are telling us the story that the broader market is not talking about. whether it's in the rails and a lot of that has to do with auto, energy, and in the airlines and

air traffic, it is concerning. you look at the transports, the transports have historically told us a message. the message is not clear now >> art, are your qulint clientd about the fed? >> you know, the fed has a tricky job we won't know until we know. understanding that unwinding this balance sheet has never happened before and the process will probably start in september. every month somewhere between 20 billion and 40 billion of assets in the balance sheet roll off. the process will gradually start letting them roll off and mature and not reinvesting those. that probably starts in september. but i think there's going to be a lot of messaging and it will be gradual i don't think the fed will trip us up in the unwind, it will take a while >> art hogan with us that's it for "worldwide exchange." check out what's happening with

the futures now. we are positive. could be a record for the dowment. >> we'll watch that clelosy. "squawk box" is next eart... your joints... or your digestion... so why wouldn't you take something for the most important part of you... your brain. with an ingredient originally found in jellyfish, prevagen is now the number one selling brain health supplement in drug stores nationwide. prevagen. the name to remember.

good morning the rally rolling on major indexes posting their best monthly performance since february futures indicating strong gains to kick off the month of august. 22,000 is within sight pfizer set to report this hour we'll bring you the nuns ambers reaction from wall street. >> and it was a short tour of duty for anthony scaramucci. he was pre-fired he wasn't supposed to start until august 15th. the efficiency of the

administration why not do it if you know it what will happen later and t "squawk box" begins right now. >> life from new york where business never sleeps, this is "squawk box. good morning welcome to "squawk box" on cnbc. we are live from the nasdaq market site in times square. i'm becky quick, along with joe kernen and andrew ross sorkin. the dow finished july with a record close look at that, up 2.54% the dow posted eight record closes in the month of july. year to date it's had 30 record closes the dow, s&p and nasdaq have their best monthly perform man since february the nasdaq up by 3.3%. the u.s. equity futures at this hour, you will see this morning things are indicated up again. the dow is indicat