breaking news at this hour catastrophic situation unfolding in texas in the wake of hurricane harvey houston is underwater. millions are stranded, more rain is expected. we are live on the ground with the latest on this quickly unfolding story. gasoline futures spike as harvey takes 15% of capacity off line the full market impact of this monster storm ahead. and in corporate news, uber has a new ceo. full details on the way. monday, august 28th, 2017. "worldwide exchange" begins right now.

good morning, and a warm welcome to "worldwide exchange" here on cnbc i am wilfred frost. >> seema mody. >> we saw the s&p 500, up 0.6. encouraging given a lot going on last week. this morning we are pointing a little low, the dow lower by 22 points, nasdaq by 12, s & p by two points gasoline futures sharply higher, harvey knocks 15% of capacity off line more on that in a moment we've got gas prices up around 4% this morning. the latest on the situation in texas following hurricane harvey these are pictures from the houston area, much of the fourth large city is underwater flood waters swallowing entire

neighborhoods as they race to help stranded residents. here's the latest. more than 20 inches has fallen in houston in the past 24 hours, more expected in the coming days two deaths blamed on hurricane harvey more than 218,000 people are without power. some 13 million from san antonio to lafayette, louisiana are under flood watch warning. the white house announcing that yesterday president trump will head to texas tomorrow to survey damage. we have full team coverage of this rapidly unfolding situation, contessa brewer is standing by in houston brian sullivan live on the gulf coast in galveston, texas, first, let's begin with nbc meteorologist angie last man and the latest forecast. >> a dire situation unfolding, continuing to unfold in texas, not changing any time soon notice as we track harvey, it is in the same spot we will watch it continue to meander, tries to make it into the gulf for awhile, making

landfall yet again, continuing to be a tropical storm as far as rainfall amounts go overnight tonight or overnight last night, we continued to see a feeder band moving into areas of beaumont, texas good news for houston. still plenty of flooding there, folks having trouble with this we're watching most heavy rain move into beaumont we see tornado warnings and watches continuing and flash flood watches and warnings will continue as well we take a look at where the current totals are as far as rainfall amounts, notice we continue to be watching for over 30 inches in houston, galveston is not far behind with 27 inches, and notice sugarland continuing with 27 inches. more to come by sunrise. >> thank you for that report let's head to houston, texas, rising flood waters force thousands from their homes, many ended up at the george r. brown convention center. contessa brewer is live with the

latest conte >> reporter: i am in the theater district, behind me hard rock cafe and buffalo bayou which has overblown its banks. you see this all throughout downtown houston, the center of the city is like a ghost town. to add to flooding woes, we had torrential rain overnight, flash flood warnings, and they released from two dams, they said it was better to do that than risk the dams breaching and overflowing, strange the system. we're getting strong wind now and more rain, all of this is adding to worries for people that had to evacuate homes we saw bus loads of families arriving at the convention center yesterday, parents holding their children, even some of them shirtless, one little girl holding, cradling her puppy.

the convention center said it can accommodate a thousand people, were expecting capacity, trying to ramp up to get ready for these pets to accommodate them as we know, many times shelters are not set up there are dozens of red cross shelters nearby, but they say they cannot accommodate pets at this point coming back to me live want to show you a little of the scene, too we're seeing this repeated throughout downtown. this is lancaster hotel over my shoulder when the crew got out here, a man in a tuxedo said he had been stuck here two days, hotel employee the hotel clearly closed, lights off, all guests evacuated, moved to other places, a guy who couldn't figure out how to get out of town. no wonder. the roads are closed all around downtown we spent two hours yesterday trying to get from new orleans, louisiana into houston on flooded streets, side roads. we got into downtown and had to

loop back around one more thing on our way, we had to get around a herd of cows being moved to higher ground. pastureland just so flooded. yus some of the scenes we're seeing we will be here all day. back to you guys. >> and quickly give us a gauge of what morale is like, what sentiment is like in terms of people you've been able to speak to in the last 24 hours, over weekend. >> reporter: there are people, last night there was a mcdonald's that was open the line of cars was so long i thought there was a traffic jam or flooding, turns out there were scores of cars waiting in line to go through a mcdonald's drive through because it was open so there are people going about their daily business if they can get to work, they are, they're serving up food. i would say now there's curiosity from people not flooded out, wanting to see how high the water is, it is coming up to interstates and over

bridges. it is an incredible sight and also it can be terrifying when faced with the fact that the flood waters are rising and you don't know how to get around >> stay safe thank you for that report. we are seeing big moves in the energy market in the wake of hurricane harvey gasoline futures speak as much as 4% after the storm knocked nearly 15% of america's refining capacity off line. many of those refineries are in galveston area brian sullivan is there live for us this morning. what are you seeing? >> reporter: not a lot now, it is early morning i will add color to what she said we are in galveston on the gulf, it is the door to houston from a shipping channel perspective we tried and failed twice to get to houston because the main highway, interstate 45, a massive road, was simply flooded out. the reason i bring that up is what do you need to run a

refinery, you need oil and people a lot of the people are unable to get to where they need to go to get to their jobs there's a lot of not only refinery risk but energy risk as well as you point out, heavy refinery area half the nation's refining capacity is 100 to 150 mile radius of where we stand now about 15% of that is knocked off line how much longer it will be off line is the big question if you look at oil prices, one thing to ask is how long will refineries be shut down. in hurricane ike in 2008, bay town refinery, exxonmobile, 560,000 barrels a day, second biggest in america was shut down for a month. yesterday, bay town was shut down, and they have no idea how long how high is the water around the refinery, more rain is expected today, and to the earlier point, can you get people to the

refinery if you have a job and there's no road, you're worried about the house or family, probably can't get to work. there's more questions than answers. it is very early most refineries are indeed shut down there's a lot of oil in storage, not an oil issue a lot of oil in storage. but if this goes on for a couple days, couple weeks, could see dp gasoline issues. at the top, weather channel talked about rain in port arthur texas. it is home to four more refineries, including the biggest in the united states, a 600,000 barrel a day facility. need to watch rain and winds, 100 miles east of here as well. >> the storm continues to move east. what about the impact on jobs and work force, looking at bay town, that specific refinery employs 7,000 people

>> reporter: it does add 3,000 here, 4,000 there, these men and women, some of whom we met live 30 or 40 miles away, they want cheaper housing, but the roads are shut down. there's the risk keep in mind, houston, texas economy is 525 billion a year. it would be the 21st biggest economy in the world, bigger than sweden. fastest growing large metropolitan area economy in the world, and the united states, also the fastest growing in terms of gdp and population in the last 15 years. so it is not just the impact now, it is impact down the road. i wonder if this kind of thing is going to change the way people perceive the area in the future that's down the road now it is about the here and now more rain is expected, please go away, they don't need it here. to finalize, we will be back on in a few minutes, if you're watching us now and you're in

the area, be careful yesterday we were driving, all of a sudden there's four feet of water in the road. it happens quick people come down the wrong way because they can't turn around we're just getting started i fear. >> in terms of to clarify when that capacity can come back on, it is more based on when people can get back to work as opposed to damage to the refinery themselves are they quite well protected, the refineries >> reporter: good question, will, the answer is somewhere in the middle refineries, yes, are well protected, companies like exxon and shell, marathon petroleum, they have huge facilities right across the bay from where we stand. they spent a lot of money with levees and pretekting the refineries, do they have water in them. we don't know, can't get close enough some of them are protected like airports, 16 gates if i scale one, it is probably not good for my career or future

incarceration. we get as close as we can when the sun comes up. >> thank you for that report, brian. look forward to more throughout the day. let's continue the discussion on the storm impact on energy space. kyle cooper, iaf director of research good morning to you. thanks for joining us. first thing to clarify, explain the difference in movement we have seen in gasoline price at the pump versus wti oil price and if you expect that's likely to continue. >> yes absolutely as brian pointed out, the issue is getting to the refineries this is kind of a classic fundamental move, refineries are shut down, i.e., less crude, and that's why you're seeing strong moves. but it makes sense it is classic response

same time, there has been voluntary order from one of the chief hydrologists suggesting there's other areas or neighborhoods -- one of the k n commentators noticed, there will be release of some waters. >> kyle, fuel shortage doesn't seem to be an issue at this point. is that because there's enough refining capacity in other parts of the united states and canada to offset the shutdown we have seen in texas? >> yes and also we are well situate to deal with refinery disruption. last week, reported 230 million barrels of gasoline ready to go in storage tanks around the country. that's 3 million barrels in the last year.

second highest on record even though this is a serious issue, these problems from perspective of inventory are in good shape >> and you're in houston do you feel like the city is well prepared in dealing with this, are you concerned things get out of hand? >> no, actually this is a 100 year, plus 100 year type event i think the city is handling it well considering the circumstances. this is a catastrophic event it is unprecedented. considering the circumstances, i think the city has done well is it a bad situation, yeah, it is unfortunately the biggest issue now is where does harvey go from here a lot of models have it going back into the gulf, that means it would recharge itself a bit

from a moisture perspective, that's not what the area needs. >> kyle, thank you for joining us kyle cooper of iaf advisers. coming up, uber reportedly choosing a new ceo details on the dark horse picked next coming up. we head to break, another check of futures back in a couple of minutes. 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.

good morning welcome back to "worldwide exchange." i am wilfred frost with seema mody check in on global markets we are pointing to the dow lower by 15 points 1.6 points on the s & p, 10 on nasdaq a week of gains. 0.6 of gains to s & p and the dow, nasdaq up a little more fairly encouraging given lots of news out last week stats for august are relatively encouraging for what's been framed as a negative month, the s & p, nasdaq down over 1% not too severe at all. dow down a half percent for august look at energy prices across the focus in light of hurricane harvey gas prices are up 4% crude down, continuing a trend of the last couple days of last week gas prices up. crude prices down. ten year treasury note around 2.17% on friday's close. remains there at the moment. mixed trade in asia, all

eyes on the heng seng reaching 28,000, first time since 2015. you can see it is flat on the day, closing below 28,000. japanese nikkei flat, composite seeing a gain of 1%. this as the dollar hits a 15 month low. take a look at europe, too lot of talk on the euro, strength there on the back of comments from mario draghi, optimism on the global economy comments at jackson hole friday. german dax lower similar story in italy and spain as well. dollar board, euro moving nicely higher on friday, getting closer to 120 handle many say the next important piece of resistance is 124.0 we're at 119.3

saying more than yellen, neither talking about interest policy. got that bounce in the euro off the back of it dollar softly against the yen and pound. gold prices, up about 2.5% for august just gaining another third% at 1.30. today's top corporate story, uber choosing a new cheerleaders sources tell cnbc dara khosrowshahi has been selected, calling him the true choice by the uber board major investor benchmark is reportedly backing meg whitman for the job. meantime, former ge boss considered frontrunner dropped out of the race during the weekend. >> i love he decided not to pursue it, having gone to a board meeting and clearly told he is not going to get it. something important to put that

behind him interestingly in the last week, we saw fundamental earnings are going well either way. now they have a chance to clear up this pr issue that's dogged them awhile. "the wall street journal" agenda full of economic data tomorrow, look for case-schiller home price index, wednesday, adp report and q 2 gdp and topped off friday with august jobs report ism manufacturing index, consumer sentiment and auto sales. the list includes best buy, h and r block, and lululemon harvey, the first major hurricane to make landfall in the u.s. in more than a decade early estimates suggest damages could total tens of billions of dollars. focus on the economic impact to the insurance industry next. stay tuned, you're watching "worldwide exchange" on cnbc hey, how's it going?

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welcome back to "worldwide exchange." we are continuing to follow the situation in texas following hurricane harvey as flood waters continue to rise, one insurance group putting a jaw dropping price tag on potential damage. could match katrina's $15 billion cost more on the insurance impact of

this massive storm morgan brennan live at the travelers insurance national catastrophe center in connecticut with more. morgan >> reporter: good morning, guys, it is too early to know what the damage and cost will be, probably still weeks away from final estimates, but early risk modeling estimates that were released before the hurricane made landfall as category four, already anticipating billions of dollars. some are saying this will be a top ten hurricane in terms of cost, tens of billions of dollars. to put it in perspective, costliest hurricane from insurance loss standpoint, katrina, 2005, almost $50 billion. followed by andrew, $24 billion, adjusted for inflation, superstorm sandy, $20 billion. texas specifically, this hurricane compared to 2008 ike and 2005 rita. in terms of property coverage in the state, this is according to

insurance information institute, names to look at all state, state farm, farmers among the biggest underwriters of homeowners, travelers and aig also have consumers, but some of the biggest underwriters of commercial, covering everything from office buildings and stores to refineries, pipelines, and also manufacturing facilities that are down there. i spoke to a number of the companies over the weekend they have crews, multiple claim centers. some cases, this will be interesting, they're staged in the region, claims are starting to come in going to be inside travelers catastrophe management center seeing it up close and personal. you mention flooding this storm is hovering, causing historic flooding. that's going to be the biggest issue here, thing to keep in mind with that, not private sector insurers that cover flood insurance and issue flood insurance, that's largely falling on fema and the federal government that's a program already deeply

in debt. >> morgan, when you consider the likes of katrina in the past, when in terms of company earnings did that storm take a hit, was it immediately after, a year after, and what about share price reaction after katrina >> reporter: great question. you saw companies commenting on that almost immediately, trickled out, was hitting books for quarters and in some cases years afterwards very similar story with superstorm sandy, but again it will be the federal government that's going to take some of the biggest losses because you are talking about flooding the federal program is $24.6 billion in debt, set to expire next month. the borrowing limit from the treasury is $30 billion. you're essentially at taxpayer bailout of fema. >> morgan brennan with the insurance angle, important for home buyers.

thank you so much. still ahead. a round up of today's top stories, including the energy impact of hurricane harvey live in the gulf coast when "worldwide exchange" returns

a developing story hurricane harvey slamming into the coast. houston underwater as it braces for more rain, thousands await rescue live on the ground with the latest. oil in focus how does the storm weigh on u.s.

refineries. and who the surprise new leader of uber is. monday, august 28th, 2017. "worldwide exchange" continues good morning warm welcome to "worldwide exchange." i am wilfred frost. >> i am seem aa mody the dow is off after last week being a positive week for the major indexes. lot of focus on the dollar that continues to weaken. we'll get to that in a second. energy, gasoline future the big focus today, sharply higher as hurricane harvey knocks 15% of america's refinery capacity off line more on that in a moment now to the latest on the unfolding situation in texas following hurricane harvey these are pictures where much of the fourth largest city is

underwater at least two deaths have been blamed on hurricane harvey more than 218,000 people are without power. some 30 million are under flood watch. white house announcing president trump will head to texas tomorrow to survey damage. >> we have full team coverage of this developing story in texas jackie deangelis is live in corpus christi, brian sullivan standing by in galveston first, let's get to nbc meteorologist angie lassman with the latest on the weather. the big question, whether flooding will persist. >> it will persist you see officials decided to open some of the dams, because we have so much more rain on the way. here's what's going on you look at the radar of harvey,

you can see most of the rain, heavy rain band, torrential rain moving into areas of beaumont, close to lake charles. houston getting a bit of a break. good news for houston. we're not done just yet. here's what we're looking at as far as the track of harvey you can see it tries to meander further south, into the gulf of mexico continues to move north and east through areas of lake charles, houston, beaumont, all continuing to see rainfall if you look at the flash flooding, warnings and watches, really this catastrophic life-threatening flooding is no ending soon. 15 to 20 more inches through the next couple days really, we have until friday we are watching for heavy amounts of rain. notice, we continue to see flash flood warning from bay city through houston, areas of galveston, stretching into portions of louisiana. we will be continuing to monitor this for days.

>> angie, thank you very much for that. hurricane harvey is forcing refineries across the gulf coast to shut down energy prices are continuing a trend of late last week, wti falling down a percent, gas prices rising 4.5% brian sullivan live in galveston, texas with the details. brian, good morning again. >> reporter: good morning again, wilfred. gas prices, the key is this. how much gasoline is currently in storage how much oil is currently in storage. by some accounts, there's three weeks of gasoline supplies refineries coming off line, still a lot of gasoline out there in pipelines and storage tanks. risk to gas prices is going to be how long are these refineries you talked about off line, some inventories get drawn down you need a couple of things to refine gas, you need people which we talked about, can't get to work because roads are shut, but you need oil again, three weeks of oil in

storage. however, you need to constantly resupply the storage tanks port of houston the busiest in the united states by pure tonnage, a lot of oil comes in and out. port of houston's door, if you will, is about three miles that way. the ship channel of galveston, the busiest in the entire united states a relatively narrow strait you come in, you go into the bay, then up to houston. if you can't get here, you can't get to houston i don't know if you can see it, but in the distance there's a bunch of white dots. you think it looks like stars. those aren't stars, they're ships. they're all jammed up offshore because that door if you will to houston is closed. if you go to marinetraffic.com, do a filter, you can see the red dots, those are tankers, fluid tankers, most oil, some may be l and g or gasoline, they're getting jammed up and jammed up and jammed up. even when the ship channel opens up, and we don't know when it

will be, could be a couple of days, weeks or hours, it will take a long time to clear the backlog of ships we don't know the conditions of ports, we don't know the conditions of refineries, wilfred, your point earlier in the hour, there's a huge backlog. we're going to try to get information from the port commissioner to figure out when it can open. it is not just oil huge import area for cars, even cell phones, building supplies and everything now is sitting offshore, including by the way three cruise ships which are waiting to come in those people have been stuck a couple of days sitting offshore. >> brian, we heard from angie that things may ease a bit for houston itself and the storm is expected to push further east. are there more refineries in the path potentially if it moves east >> reporter: yes, there are. in fact, if you look on a map, port arthur, texas is 100 miles

east, i don't know exactly, it is close beaumont and port arthur are on the louisiana border there are four big refineries there, motiva, the ram co facility, single biggest refinery in the united states. we don't have an update on the condition, i hate to say this, not trying to say anything bad toward port arthur, this area doesn't need any more rain if it shifts, that's a welcome respite from galveston to houston. yeah, from a gasoline perspective, now we have to watch that east moving storm to port arthur. it is supposed to come this way to galveston the port, ships, they can't get a break. >> brian, thank you for that brian sullivan in galveston, texas. texas senator john cornyn joins governor abbott to be briefed on harvey and survey

storm damage jackie deangelis is live in corpus christi with more jackie, over to you. >> reporter: good morning to you, that's right. the governor is expected here later today to survey the damage the eye of the storm hit corpus christi very hard on friday night into saturday morning. many areas in the city are without power at this point and also three of five refineries we know are shut down, at this point citizens have been urged not to necessarily return to corpus and surrounding areas remember, you've got water boils in effect, potential sewage problems and power outages that may not be restored for quite some time. yesterday we traveled about 40 minutes north to rockport, texas. that community very hard hit population is about 10,000 that town looked like it was completely decimated you had downed power lines, businesses and houses with their roofs completely torn off.

people there devastated by the damage obviously there was no power there were no cell phone towers left and people that stayed that hadn't evacuated were just hunkering down the mayor issued a statement in rockport last night urging those that left not to come back and saying those outages could last another two to three weeks >> any commentary about international impact, "new york times" reports at least four marine terminals in corpus christi area which have remained closed due to the storm, that's also an export hub for big energy deliveries to latin america and asia as well >> reporter: you bring up a great point, it is not just what happens to the refineries here and whether they can produce, it is whether you can move product around port of corpus christi remains closed ports in houston are closed. also it spreads to pipelines and

pipelines can't move product a lot of issues, lot of moving parts. i will add this, just when you think it gets calmer, rain and winds kick up again. seems like corpus had gotten a little reprieve, and now we're facing the elements again. >> stepping away from the oil impact specifically, you have been there since thursday, friday what's morale like on the ground is it improving or getting worse? >> reporter: it's actually stayed the same. morale is very high. i'm very impressed by the texans i have spoken to, talking about banding together to work together, to get out of this being patient as the mayor of corpus christi urged regarding power outages, et cetera these people understanding the kind of devastation happening in houston now, saying that they're praying for people there, as much as they hope to get support in the community here. >> jackie, thank you for that report jackie deangelis for us. let's have a look at

markets. futures are slightly down 13 points or so for the dow comes off a week of gains, up 0.6% and the dow last week up a little bit more. for the month of august, yes, looking at declines, only a half percent for the dow, over a percent for s & p. not bad. checking the mood in asia, mixed day of trade for stocks in asia overnight main land china had a strong session with shanghai composite up nearly 1% on the back of better than expected chinese corporate earnings south korean kospi down. global investors keep an eye on the u.s. dollar trading on a 15 month low. look at europe, big story there is strength of the euro building

off comments from mario draghi, the euro at a two and a half year high. seeps to in early trade monday, dax down, similar session in france, italy, spain. uk closed for bank holiday, up 1% because of the opposite effect of weaker pound let's look at the boards in terms of currency. you can see a little dollar weakness this morning, about a ten tenth percent. very much in focus with a big move up friday 119.32 gold prices, quick look at them, did strengthen a half percent last week. just gaining a third percent this morning. big corporate story, uber reportedly ending its contentious ceo search, landon dowdy joins us with more on that story. >> that's right.

sources telling cnn that uber board has chosen dara khosrowshahi, he was an unknown candidate until now. comes after meg whitman and former general electric ceo took themselves out of the running for position of ceo. khosrowshahi considered to be the choice for the board in what has been a bitter battle between travis kalanick and one of uber's biggest investors, benchmark capital. uber has been looking for a new ceo since june when kalanick was ousted it is unclear what his role is going forward. back to you. >> thanks. lot of people say he seems like an unlikely choice if they're looking for diversity, he is an iranian immigrant, fled at the age of ten to america he has been helping expedia

expand, one of the big strategies they have been using. you tend to not think of them as a tech player, but if you look at back in the early 2000s, expedia went public in 1999, one of the first segments to go online, before books and retail, travel went to the online space. >> and expedia performed well in the face of threats in recent years. maybe not a pure tech company like uber, more of one than ge was. >> he has been a colorful ceo, pushed back against the travel ban, one of the first ceos to be outspoken about the travel ban >> the fundamentals in the earnings are still going well. >> exactly. coming up on "worldwide exchange." hurricane harvey bringing catastrophic floods to houston we have the latest on the storm, including its impact on u.s. refineries. as we head to break, some i

am ajs from texas stay tuned "worldwide exchange" is back in a couple of minutes.

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thousand rescues in the wake of the storm. about 250 roads and highways have been closed, while harvey has been downgraded to a tropical storm, still remains a danger causing devastating floods and gas prices are up by 4%, wti crude prices down by 1%. to talk more about the economic impact of hurricane harvey, bring in michael brown, economist at wells fargo securities michael, good morning to you about 17% of crude production i believe comes from this gulf region help us understand how this storm will impact not just oil prices but also the refinery situation as well. >> well, you know, the big challenge is when you take a step back and look at the inflation that's created by some of the refining capacity coming off line the potential and question is how long will this refinery capacity be down

inflation effects if they are persistent could certainly have an adverse impact on things like consumer spending, while we start seeing gas prices at the pump rise. >> michael, what about lessons from past tragedies of similar size and scale, whether katrina or others in terms of impact on the consumer in the local area and how long that has a lasting impact on the local economy. >> you're right. if we go back, look atti katrin initial adverse shock of not just consumer spending but all of the infrastructure and business infrastructure in and around new orleans at the time, certainly saw an adverse effect. then you go through the rebuilding and recovery phase, then you start seeing home construction and these sorts of factors pick up. but it is a very long lag time between the initial impact of a storm such as this and the actual economic benefits that you see down the road. >> michael, step away from the

storm itself there's a lot of data coming out this week. what are you expecting, what's the latest conviction in terms of strength of the economy, what it means for rate hikes? >> sure. our team expects the u.s. economy to grow somewhere between two and a half and three percent third quarter, expecting a sizable judgment in the 180,000 range, and the employment rate staying relatively stable. overall, economic fundamentals look good, the big question is as we march into fall, going into september, there's a lot on the legislative calendar coming up we think that could be somewhat of a risk to growth in fourth quarter. >> saw a big jump in euro friday, given both speeches, how important that they have a jewel mandate, could be closer to rate hike in the ecb, is that back to being overlooked, given that

inflation in europe softened since february >> it has. we take a step back, really the whole framework has been when to remove stimulus perhaps in europe i think the big question here at least as we go forward is really what is the relative monetary policy play around the world you see the federal reserve hiking rates if we start seeing less stimulus or a rate hike later next year out of ecb, certainly we enter a period of what we call less divergent monetary policy. that could be an interesting fundamental as we march forward into next year. >> michael, thank you for joining us michael brown of wells fargo coming up on the show. a big week on wall street, capped off by friday's jobs report we get you ready for the trading ta day when "worldwide exchange" returns. where, in all of this,

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welcome back to "worldwide

exchange." u.s. futures at this hour point slightly lower, coming off a week of gains. oil prices for you quickly continue the recent trend the last couple days, given the impact of hurricane harvey of gas prices going up 4% to crude prices down 1% joining us, senior market strategy we talked widely about the impact of hurricane harvey let's focus more broadly on the markets. are you encouraged that last week given a lot of negative political noise that we did see markets gaining? >> absolutely. there's been a lot of negative political headlines, but the market has been adept being able to brush that off. the second quarter earnings season was a blow out. we had double digit earnings increases. third quarter looks like it is solid too.

remember, coming off a higher bar for third quarter, but i think we're going to continue to see earnings grow. that's great news for the market the market has been able to brush off the negative headlines. >> do you expect the hurricane we mentioned in future earnings reports, not just by oil and gas players, but consumer discretionary players that rely on the consumer. >> i think it will have a ding in some of the earnings, especially since houston is a huge port. so responsible for a lot of commerce that we see so i think there will be some mention of it, but overall, i think impact will be a little limited. so i think in sectors like tech, consumer discretionary materials, industrials, they'll still look strong for third quarter. >> lot of people think we're getting to the end of what's been a decade long bull market what's your view in terms of that particular perspective of time frame >> well, the bull market is

getting a little long in the tooth, but remember, we're looking at policy changes that could turn this into a double header even though we may be in late innings, we could be looking at a double header, if we see real good tax reform, some policy changes, some real fiscal spending we have been anticipating for awhile now. >> does your positive view on the market require those policies to come through or can you be constructive even if they don't? >> i am still constructive even if they don't. we know in this business environment we're not getting an increase in taxes or regulations, so even if we don't see anything in washington, businesses know that things aren't going to get worse. that's been helping boost confidence and we've seen capital expenditures start to increase after some declines that's good news. >> thank you for joining us. pleasure to see you. from voyeur investment management. quick look at futures and

oil prices as we leave futures point lower, only slightly oil prices show gas prices up 4% that's it r fo"worldwide exchange." "squawk box" is up next. retirement rabbit, from voya.ey riiight. and that means...? i'm the money you save for retirement. i help you get organized so your money could multiply. see? got it. who's he? he's green money for spending today. you know, paying bills, maybe a little online shopping... makes it easy to tell you apart. that, and i am better looking. i heard that. when it's time to get organized for retirement, it's time to get voya.

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good morning breaking news at this hour, catastrophic situation unfolding in texas in the wake of harvey houston is underwater. millions are stranded, more rain is expected. we bring you live reports from hardest-hit areas. gasoline futures are spiking as harvey takes out 15% of america's refinery capacity. up to speed on reaction in the energy market. in corporate news, uber has chosen its next ceo. full details coming up it is monday, august 28, 2017.

"squawk box" begins right now. good morning welcome to "squawk box" here on cnbc we are live from the nasdaq market site in times square. kelly evans with joe kerr anyone, becky and andrew are off. joining us, charles campbell, we appreciate you joining us to talk through a lot of impact from hurricane harvey this morning. let's check in on u.s. equity futures. off a mixed session in overseas markets. open lower by 2.5 points it was choppy, s&p 500 trying to edge higher. let's look at the overnight session in asia. there's japan's nikkei, barely lower. hang seng is a l