welcome to "street signs." these are your headlines at this hour the united nations condemns north korea's most recent missile test texas works to contain the aftermath of harvey as flooding continues. moscow rises to the rescue of private lender acredi in one

of the biggest russian bailouts. and shares of rtl group jump after compensation for declining ad revenues. hello. welcome to "street signs." let's look at the heat map of the european stocks. a lot of green with the europe 600 benchmark up a half spent this is rebounding or at least partially rebounding from the 1% drop we saw yesterday. its worst daily performance in a month. month to date this market is down 2% on pace for the third negotiate sieve mon negative month in a row. at least today we are rebounding somewhat let's look at the sectors and break it down for you. there we go the ftse 100 up 0.3% also rebounding there after it

fell about 1% yesterday. the xetra dax, the cac 40 and the ftse mib moving to the upside yesterday they were held back partly on north korean jitters, but also they had to contend with a strong euro that pushed 2 1/2 year highs against the 1.20 mark against the green back now we have the sectors. you have most of the sectors except for utilities moving to the upside you have, for example, industrials at the top of the leaderboard along with construction and materials you have utilities to the down side a bit of a defensive sector. as we aseem to have people move up the risk spectrum, they're shunning utilities at this stage of the game. travel and leisure is the next in line after utilities on the losing end as for north korean leader kim jong-un he called tuesday's missile test a "meaningful prelude "to containing the u.s.

territory of guam. the rocket which soared over northern japan was the first step of a military operation in the pacific. the comments come as the u.n. security council condemned the launch and called on pyongyang to halt its bliallistic missile program. chery kang has filed this report from south korea >> we did see anything that we have not seen before in terms of the u.n. security council's reaction to north korea's launch of a ballistic missile that flew over japan this week yes, it did condemn north korea's behavior as outrage use and called on north korea to dial things down, but no new sanctions this time around here is u.s. ambassador to the united nations nikki haley >> i think we have a lot to talk about today. with all of our partners, we hope china and russia continue to work with us like they have in the past on north korea

but i think enough is enough >> there seems to be a lack of united front especially among the five permanent members of the u.n. security council with veto powers. especially when china and russia are still taking an issue with washington's decision to deloi its anti-missile defense system in south korea in the meantime, north korea sounding as confident and defind as ever saying that it's necessary for the regime to keep testing more bliallistic missil targeting the pacific, but it did say it will watch what the u.s. does next in order to decide future actions. back to you. >> clearly this story is not over let's bring in caroline simmons with ubs wealth management thank you very much for your time how encouraged are you that

global markets have been able to take at least this time the north korean developments in their stride or do you feel they're underpricing the risk? >> yeah. it's interesting the selloff yesterday is unwinding today. i think what it reminds us is that it's the fundamentals driving the market, particularly over the medium term it's about global growth, about earnings growth, and these sort of political and geopolitical events causing short-term volatility but over the medium term it's the fundamentals driving. we're in a situation where we're trying to work out what would trigger a sizable correction, because we had a correction 7% to 10% every single year since 1995 this year has been relatively devoid of such corrections do you feel that it's going to come from north korea? is it coming from monetary policy is it coming from policy mistakes in the u.s. administration what do you think could be the

trigger here >> so, i mean, we're overweight on the equity market they are volatile, so you can get corrections. we think the direction is generally upwards. where we see risk, we're always monitoring, the biggest concern i could have against equities continuing to form would be if we saw global gdp growth slowing which is not something we're seeing at the moment if we were to see that, that would be my number one concern number two concern is monetary policy we are in an environment still of very large scale stimulus at a global level, despite the fact that the fed started to hike rates, we expect them to raise rates again in december and shrink the balance sheet iftoll policy tightening quicker that could cause destabilization. so far caution has been the watch word >> you said you expect another

rate hike from the fed in december you don't feel the odds have lowered in light of the fact that we've had this devastating impact in louisiana and texas from hurricane harvey, then maybe we'll get a bounce back don't line when the rebuilding begins might that be something that holds or stays the fed's hand and not to mention the fact we're convinced that we will get a form of tax progress either. >> we know the fed is being data dependent and cautious we had some slightly weaker inflation data before the hurricane. it is a possibility the impact it's had on the oil price is in a downward direction because of refineries coming off line if that were not to unwind, it makes a hike less likely than more likely. but, you know, as you said,

these things are often temporal. >> we will dig deeperro to the minute stay with us moving on, eu commission president jean-claude juncker ruled out trade negotiations with britain until the divorce bill is settled. he described the brexit policy papers as unsatisfactory speaking to cnbc, the vice president of the european commission, valdis dombrovskis says the clock is ticking in brexit negotiations. >> no deal is a scenario we're willing to award because there's many issues where we need to provide quality for our citizens, businesses, different stakeholders so certainly we are working towards reaching a deal.

so the first step is, as it has been emphasized, to reach an agreement on the withdrawal on citizens rights, on financial settlement, on -- on the irish border so those are the first three topics which we should be reaching the agreement on. and indeed it has to be done already in the nearest time as the clock is ticking >> let's get back to caroline simmons. i see here over the next six-month time horizon you have an underweight for uk equities versus european equities why are you underweight uk versus europe when europe is facing the head wind of the strong euro. >> yes it's around the earnings momentum within the different regions. so the valuations are similar.

the uk earnings growth is probably going to be higher in terms of the growth rate we've seen those numbers being revised down through the course of this year for the uk. for the eurozone the numbers for earnings growth have been revised up admittedly they've taken a pause lately from the stronger euro. we don't expect the euro to strengthen at 1.20 euro/dollar, we closed our overweight for the euro we favor particular strategies within the eurozone with hich ae slightly less sensitive. >> let's explore the uk equity market in more detail then i know you're keen on dividend plays, because uk dividend yields is around the average of 4%, great protection against inflation so long as the dividend growth outpaces inflation. what's your outlook on both of those fronts >> that's right. inflation should probably peak this year. partly do with the currency

moves that we saw obviously year-on-year versus last year's depreciation we think the dividend yield will be staying above inflation it is, as you said, a 4% yield which looks attractive against other assets which is the fixed income market. we believe with the underlying earnings growth returning in the uk, it underpins the dividends and allows them to continue to be sustainable and grow. >> the search for dividends and let's be honest, it's a global search for yield you have to be careful about sector concentration, because if you talk about high dividend pay it tends to be largely concentrated in a few sectors. >> that's right. particularly for the uk market, energy, financials and consumer staples make up 60% of the uk dividend payment they do respond to changes in

the bond yields. we've seen a pick up in the volatility of bond yields. we recommend a diversified dividend strategy. >> caroline simmons, great to have you on the show thank you very much. make sure n tomorrow for our exclusive interview with the european parliament chief, that's from 7:00 a.m. cet. you can also e-mail us here. we love to hear from you, the viewer the address is streetsignseurope@cnbc.com you can also tweet us at streetsignseurope@cn streetsignseurope@cnbc coming up on the show, french president manuel macron looks to reveal updated labor reforms but still faces opposition from a hard-line europe wee veropa'rli fm ris after the break.

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theresa may has arrived in japan where she is set to meet with shinzo abe. the two will discuss a post-brexit free trade agreement. this as may looks to forge bilateral ties with japan after concerns with north korea. >> the prime minister kicks off her three-day visit to japan just about a half hour west of here in kyoto where she will be meeting with shinzo abe. the meet of this visit will come in tokyo where she will be meeting with japanese business leaders as well as security officials. on the economic front she's looking to accomplish two things here trying to quiet the concerns of japanese businesses who have a presence in the uk

they increasingly expressed frustrations around brexit negotiations theresa may looking to try to lay the ground work for a future uk/japan free trade deal one business leader meeting with her is the toyota chairman. this is a company that employs 3,000 people over in the uk. they manufacture 190,000 cars at two plants there they announced a 240 million pound investment to upgrade their plants, and toyota said, yes, they are committed to the uk market but stopped short of expressing a long-term commitment there i had a chance to sit down with the chairman for an exclusive interview at their global med quarter here's in toyota city where he talked about the concerns surrounding a post-brexit uk and he said he would be sensitive to signs of a reduction in competitive advantage for toyota

>> translator: with the uk on the path to leave the euf we're unable to have the free flow of trade and people across borders that will bring costs up and reduce competition we have made it clear to the government that we need to prevent that post brexit >> he wouldn't discuss specifics about assurances he's gotten from the uk government but made it clear that access to the single market would be key for toyota as it assesses its future over in the uk he also talked about the risk of parts suppliers moving out saying if they move, the supply chain for our assembly plants in the uk regardless of toyota's efforts will be hampered he says it is not just about the carmaker but the broader supply chain for the car industry, something he wants the uk government to consider as they move forward with brexit negotiations he'll have a chance to express those concerns when he meets with the prime minister tomorrow back to you.

21st century fox's rupert murdoch pulled fox news from the sky platform in the uk the company said it was no longer commercially viable to provide fox news in britain where only a few thousand people watch. brit irk consuish consumerse higher prices and fewer choices unless a customs order is in place. in other news, shares of rtl are trading higher after the european broadcaster's first half revenue beat estimates this despite experiencing achalleng ing, tv market they confirmed the 2017 outlook. that's contributing to the

upward move in the share price you can see up 1.8%. tomorrow french president emanuel macron will reveal his updated proposals for reforming his country's labor market france's hard line union opposed attempts to rewrite the labor code let's get to gemma acton in paris. fill us in on this one >> good morning. so, we're looking really for the details of what's going to be in the labor reform proposals tomorrow these have been on the table for a couple months. negotiated at length between the government, the president macron, the unions and many other interested parties, including medif, the largest employer's federation in the country, whose conference i'm at today. the real argument is over whether these reforms are really going to do what they say on the tin and what the president says he wants to do which is ease the path for employees to negotiate

directly with trade unions without being ham strung with imposing regulations from the state. labor reform has been a big issue in france for the last couple of decades. very little progress has been made it's seen as a key problem to the fact that the unemployment rate remains suddenlyhigh. right now it's around 9.5%, which is much lower than it's been for a while still above the 9.1% for the eu in general far above germany, for example so, really looking at whether the labor reforms tomorrow are going to be something that's palatable to the trade unions and therefore something that the parlment pa parliament is willing go ahead and accept in about three weeks time remembering these reforms need to be accepted wholesale or rejected wholesale so no scope for further negotiation. i had a chance yesterday to catch up with the eu affairs minister for france, and i spoke to her about the fact that the eu has seen something of a rebound in popularity recently

among its citizens i asked her to what extent she thought it was attributable to the victory of president macron in the french presidential election in may given that he stood on such a pro european platform take a listen. >> i don't know whether it's a cause or a consequence president macron campaigned as a candidate being enthusiastic about europe, saying europe was not the problem but the solution probably if you would have asked geopolitical advisers whether it was wise to do so, each and every political adviser would have said no actually he was elected by people who do think that europe is the solution and not the problem. although an important part of the population still is skeptical about the status, the current status of the european union. people are sometimes not satisfied by the way the european functions

>> recently we have seen something of a slide in popularity for president macron. are you concerned that's going to have more of a follow-on effect for the eu and peoples sentiment towards it >> what's important is that we go through reform there's a are long overdue, reforms in terms of labor law and fully committed to have this reform implemented soon but question have to say we face a budgetary situation which was worse than what we anticipated we had to make difficult decisions in terms of public budget to make sure that we would abide to the rules that we decided on ourselves these are not rules of the european union these are not rules of brussels. these are the commitments that we took to together among iraqians we have to abide by these comments when you comment and say, well,

we have to spend less money and we have to balance our budget, this is not the most popular moment in your political mandate. but the sooner do you it, the better >> you heard the talk about some of the reasons to explain why president macron's popularity suffered a dip in the last couple of months she's making the point they had to push ahead with unpopular measu measures, it remains to be seen tomorrow whether these measures are further unpopular or not >> it's not unusual for a president's popularity to slide after the fact everyone has a honeymoon period and then sort of reality sets in people have been saying it's the precipitous fall in the approval ratings. i'm sure you're talking to a lot of people out there in france, people in the street, people there, behind you. what's the feeling does what they feel about president macron gel with the

approval ratings that we have seen in terms of the official surveys? >> i think the problem is that people are questioning whether the vote that was so strong for macron in may was actually really a positive vote for him and an affirmative vote for president macron or more an outright rejection of the populous candidates against whom he stood it's come into question whether he has that much popular support behind him there's ban feen a few moves hes made that were seen as a main measure, hitting the poorest also the amount of money he spent on his makeup, 23,000 euro in three months was seen as a complete waste of money. there's a couple of small things like that which are seen as signs that he favors the wealthy rather than the poor so there's a growing sentiment amongst some levels of the population that

they've been forgotten entirely and they can't resonate at all with president macron. that said, there's a lot of businesses who are enthusiastic about potential for real labor reform coming. so we'll see tomorrow whether wla com that will come out >> thank you very much the russian central bank has intervened to save otkrite from collapse it's one of the biggest rescues in russian history the russian central bank says it is preparing emergency liquidity for other lenders. we'll speak to one investor who believes portugal could be the next popular investment. stay tuned to find out why or your digestion...

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welcome to "street signs." i'm mandy drury. thee are your headlines. the united nations condemns north korea's most recent missile test pyongyang says the launch is merely a first step. european markets follow asia and the u.s. by shrugging off geopolitical worries to open largely in the green texas works to contain the aftermath of harvey as flooding continues.

knocking out one-fifth of america's refineries moscow rises to the rescue of private lender okr ishiokridn one of the biggest russian bail outs in history. welcome back to "street signs. enough f thank you very much for staying with us. let's look at futures picture, this after a nice rebound in the u.s. markets in overnight trade. they started out on rocky ground with the dow falling 135 points, but closed near their session highs by the time they shrugged off geopolitical issues it looks like the implied open for u.s. markets will be positive again as for the european markets, positive is the name of the game after what was a sea of red yesterday in much higher than normal volume. the ftse 100 is up by 0.3%

the dax is above the 12,000 mark and higher by 0.6%, nearly a half percent gain for the cac 40 and the ftse mib is also higher. the euro tapered some of its gains from yesterday let's look at the euro in more detail we're currently sitting at 1.194 2. remember the big news yesterday? we pushed through 1.20 dollar/yen sitting below the 110 mark we're now in a more risk-on mood the pound at 1.2914. the u.s. dollar is flat against the swiss. president trump will lay out his plans for tax reform today the president's speech comes at a time when republican senators

are drawing battle lines in the fight over raising the nation's borrowing limits elan mui has more detail conservative republicans in congress are starting to lay out their demands for cooperation in raising the u.s. borrowing limit. representative mark walker is head of the powerful republican study committee. he told cnbc that ann crease in america's debt limit should be paired with reforms of medicaid. believes tightening the work requirements to enroll in medicaid could save 2$200 billin over the next decade >> we're just wanting something concrete as we go back to the people that we serve and say, yes, we raised the debt ceiling, but here's the good part of it, if you will. here's the things that you asked us to do as far as putting together some long-term reforms. >> reporter: republicans don't want to approve more borrowing without corresponding spending cuts that's very different from what the white house has been saying. treasury secretary steve mnuchin

has called for a clean bill with no strings attached. bill with no strings attached. any bill will need support from both republicans and democrats on capitol hill. senate minority leader chuck schumer has warned that gop efforts to push through a big tax cut that increases the deficit, that would make it tough for democrats to help them out on the debt ceiling. lawmakers have just one month to resolve this fight the treasury department says the united states will hit the debt ceiling on september 29th. after that the federal government won't be able to pay its bills. crude prices remain under pressure as flooding in the wake of hurricane harvey knocks out a fifth of refineries. >> rain continued to fall on tuesday in southeast texas in some cases like here in galveston much more rain in an area that does not need any more rain in fact tropical storm harvey

has not only broken every single region for the state or the region, but it has laid down more rain than any single storm in united states history it will ultimately deliver more than 50 inches of rain in a single storm citizens called the houston navy or the cajun navy coming from louisiana have gone out of their boats, jet skis, surfboards and rafts to rescue people listen to one good samaritan rescue one lady out with cancer. >> i banged on the door. no one answered. someone said to come in. i pushed in and that door there was water up to my knees basically. so i walked in there she was sitting down on the couch and she can't move i picked her up on my back and i got her out to the boat. >> reporter: and that gentleman certainly not the only one in fact, people came from all

over including 10 miles south. here in galveston, the chief of life guards and team of swimmers took their jet skis up there. they went house to house we spoke to him about the rescue effort >> as of the end of the day yesterday, we were up to about 160 jet ski rescues, and i think they said over 20 pets on top of that yeah, there was a bunch of them. all in dickinson, four jet ski teams up there the last few days they were going house to house. >> reporter: with all the rain on tuesday the flood waters may rise before they fall. what also has been rising is the estimated ultimate economic cost of all of this some estimates peg it as high as $50 billion when all is said and done it may knock a few tenths off the entire american gross domestic product in the third quarter. that will be down the road right now the focus is still local, saving lives, and making sure that the death toll does not go up. >> that was brian sullivan there covering all the developments there. lester holt has been with the rescuers

let's have a listen to that as well by air and by boat, the rescuers continue to come harris county constable and his deputies are among many answering the urgent pleas of those waiting for aid. >> if you need evacuation, last call >> reporter: we joined them today as their fleet of high water rescue trucks rolled out looking for those in need and while the size of the trucks are impressive, they can only go so far. >> we did have one get stuck yesterday in some very high water, seven feet. we had to deploy a boat. >> reporter: rosen is relying on an unlikely source to direct his teams where to go. this is one of the biggest natural disasters of the social media age. how has that affected how you are dispatched >> social media has helped us message, find out where people need to be rescued people were on their roofs it helped us deploy assets. >> reporter: #sos harvey has been trending on twitter since the flooding began

users tweeting out addresses where people need to be evacuated. two adults, two children, water at waist level, 9015 sandpiper, #harvey sos. facebook has a safety check where users can alert family members to their whereabouts those still in need of help are urged to post their addresses and phone numbers and sit tight. help will come >> we're going to be okay, i think. >> still in the search-and-rescue mode we'll continue to focus on saving lives until the water recedes and everybody's safe to go home and clean up their lives. >> lester holt reporting there we'll have a live report out of galveston, texas very shortly from nbc to find out the latest switching gears now, berkshire hathaway has become bank of mesh's laramerica's lar shareholder. the new shares are worth 16$16.

billion, given warren buffett's backed conglomerate 5$5.5 billin in paper profit. brian moynihan welcomed the move saying he appreciated the continued support. goldman sachs will overhaul its bond trading unit next month. they have succumbed to pressure from investors who have given vague explanations for the trouble in the business. uber has said it is cooperating with a preliminary investigation into possible bribery law violations the company confirmed that the u.s. justice department started a probe into whether it's managers broke u.s. laws against bribing foreign officials. it is not known whether the dodge is focused on one or more countries where the ride service operates the news came before uber's

board announced the hire of dara khosrowshara. let's get more on the impact of hurricane harvey where houston, texas has imposed a kur vie from midnight to 5:00 a.m. for ann indefinite period to prevent robbery and looting. america's fourth largest city is bracing for more rainfall and water levels to rise after officials were forced to release water from two dams. president trump visited texas to survey the damage which is forecast to run into the tens of billions of dollars meeting with the governor, the president called the destruction historic he also praised the response so far but said there was still much to be done. >> this was of epic proportion nobody has seen anything like this i want to say working with the

governor and his entire team has been an honor for us governor, thank you very much and we won't say congratulations. don't want to do that. we don't want to congratulate. we'll congratulate each other when we're all finished. >> sarah dallof is in galveston, texas. we're watching this on our screens. it's horrific. i can only imagine it's about a tenth of what you're witnessing there on the ground. >> it's just unbelievable, the extent of the flooding, the damage and just the sheer number of rescues that have been performed. more than 13,000 that doesn't include the number of volunteers who were out with their own boats going door to door out of the kindness of their heart. the question is where do all these folks go now more than 17,000 checked into red cross shelters that's number we expect to continue to rise shelters overflowing, already

past capacity. the city of houston is looking at opening two or three more mega shelters, louisiana has also offered to take evacuees. now, day after day of historic rain here is really pushing infrastructure to the limit. two of the dams, the reservoirs that protect downtown houston have started to overflow and that is as they are continuing to release water from those dams at least nine people are confirmed dead that number includes a sheriff -- police sgtd who die died on his way to work. he drowned in his car. more people are missing. for now the efforts are focused on rescues but they will shift to recovery in days to come. >> thank you very much. do stay with us on "street signs. after the break, we'll discuss how houston will rebuild in the wake of harvey's destruction and get a broader view of the state of the u.s. housing market

this week we've been look closer at political and economic developments in europe and how they will affect your portfolio. portugal staged an impressive recovery since its financial bailout in 2011. our next guest argues it offers interesting investment opportunities. joining us is the ceo with optimize investment partners, diobo teixeira, thank you for joining us it looks like portugal is firing on all cylinders, higher exports, higher tourism. why do you only have two portuguese countries in your european basket?

>> portugal has ticked many of the boxes. you have a sustainable growth, the employment levels of return to pre-crisis levels budget deficits are under control. but the problems that the stock market is liquid many booming sectors i would love to have in my portfolio are not in the psi 20 index. the european sectors have attracted the growth in europe and in portugal mostly tourism, real estate, and manufacturing which are no or little represented in the stock index so we do have a lot of

investment in portugal, but they are mainly used by private equity funds or private investors that try to gain the share of the growth in the country. >> how does the average retail investor then get in on the opportunities? >> well, in fact, what they can try to use is the banking sector that is different from the overall growth prospects of the country, and also the prospect to return to an investment grade rating so the banking sector has been a good investment track throughout europe we also have a company that is specializing that has benefitted from the overall prospect of growth in the country and is a

leader in the sector worldwide that has been a very strong performer this year. there are a few opportunities in the index that could be used to benefit the growth prospects of the country. there are still too few in my view to put the index in the areas of most of european investors. >> certainly sounds like too few. there are a few other vulnerabilities to the argument for investing in portugal. very high public debt. very reliant on external financing. are these issues you expect to come to the fore or just below the surface? >> well, any shock in the interest rates could injury the recovery of the country. the overall government debt is about 130%, which is the third largest in terms of gdp just

below italy and greece and the banking sector is still burdened by a lot of nonperforming loans. so, if we think that track followed by the european rates will be a smooth recovery in the next few years, probably portugal won't have problems to go through that. if we have a spike it can be a problem. we still have strong burden of debt in the country. we have seen the last couple years a return to complacency and the return to the bad habits that put it in the trouble it went through in 2011 so if the private and public sector, if nothing changes, we

may have in the -- at the end of the road in 10, 20 years again another crisis in portugal my fear is on the changing habits rather than the data that we can see right now >> thank you very much, diogo. fema, the united states federal emergency management agency has said the recovery after hurricane harvey will be among the largest in u.s. history. >> the focus in houston is still getting residents out of their flood stricken homes and transferring them somewhere to safety but soon that somewhere will become a much bigger problem as thousands of homes may be uninhabitable for weeks orb months fema director brock long put it simplest -- >> housing is going to be

frustrating in texas. >> reporter: lennar has a big footprint in the houston area. the bulk of their communities are not in the hardest hit parts, but the ceo says the biggest problems will be the coming weeks with the lack of labor to build and rebiluild housing stock in houston is tight for affordable homes there are 47,000 vacant apartments in houston as construction there has been aggressive lately. camden property trust, one of the nation's largest apartment landlords, is based in houston and they say all their properties are operational so they may be able to assist airbnb is waiving fees and eliciting support from renters. >> if we can't put you back in your home because it's destroyed or the flood waters are there or they're going to be there for a while. we want to get you out of the long term sheltering rent 'em if you've got 'em is what we want to say.

>> reporter: rehab countries are already moving into the region ready to dry out and restore homes, but that can only happen once the water recedes >> the rain hasn't stopped the flooding hasn't receded. there's a big difference in the cost of recovery whether there's two feet of water in the home or 8 feet of water in the home, whether it's sat for two days or two weeks. costs are really unknown >> reporter: fema may end up bringing in manufactured homes and trailers, but director long said that would only be a last resort and he added no one should expect to see those on or around their properties any time soon >> chris bertelsen joins us now. in terms of the reconstruction that is inevitably going to take place in the area that's been damaged, what are the investment trades here? >> i think that, you know, the

opportunity is just beyond home building itself. it's every industry related. wall board, copper, cement, timber my three points about the whole home construction, the first thing, particularly important in the u.s., there's a massive political build for this construction, it's a mega employment boom not only for semi-skilled workers but also for hirer end planners and whatever there will be no gridlock in texas. it's going to be a texas-sized response that will benefit everybody. secondly, the opportunity is wide you talk about individual homes, but it's scale and scope, and you'll see things like benefits to home depot, lowe's, and the flooring corporations. manufacturers located outside of

houston will benefit we have seen this move before when we saw the results from katrina and sandy. >> people talk about the refinery play, but waiting for the insurance companies to get beat up, but the third thing about actual home building which is mentioned, the mobile home and trailermakers are already talking about overtime do it certainly lennar but also toll brothers the home builders are not also cheap but in the houston area. i think we're looking at winners two or three quarters out. you mentioned a number of names there, toll brothers, dr horton on the house building side of things, also home depot which is for home improvement mobile home and trailer makers, engineering and construction,

why wouldn't you just buy like an etf that covers a basket of things do with that particular area fhb is terrific, you look at all the construction materials so that's an easy way for the consume tore play it the individual investor says i am unsure about who to pick, home depot or lowe's, pick hsb >> chris bertelsen, thank you. we hope everyone gets the help they need. that's it for today's show "worldwide exchange" is coming up next.

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houston braces for more rain as harvey regroups and moves back onshore we have the latest from the ground. energy is in focus gasoline futures surging to a two-year high as harvey takes more refiners offline. we are drilling down on the market impact. and talking taxes. president trump expected to make a major speech on reform today it's wednesday, august 30, 2017, "worldwide exchange" begins right now. ♪ good morning welcome to