an historic hurricane, irma turning deadly leaving a trail of destruction as the storm roars across the caribbean. dumped by trump? the president sours on choosing gary cohn for fed chair. the potential market implications coming up. and peltz versus procter & gamble it's thursday, september 7, 2017 and "worldwide exchange" begins right now.

good morning welcome to "worldwide exchange" on cnbc. i'm sara eisen >> i'm wilfred frost good morning to you from me as well >> we'll get to the markets and the agenda including an ecb meeting, but first the latest on hurricane irma the most powerful atlantic hurricane on record hammering a string of northeast caribbean islands with winds up to 180 miles per hour the category 5 storm has already killed at least eight people millions are without power in the caribbean. in the island of barbuda, 90% of the buildings have been destroyed. a full report coming up as florida, georgia and the carolinas brace for irma's arifl arrival. >> u.s. future force y >> u.s. future force y for you a day of gains a quarter percent move higher yesterday, that comes off a selloff on tuesday but that was the only negative

session in six for the dow and eight for the s&p and nine for the nasdaq, within all this talk of pullbacks and directions is well worth noting. so yesterday slight gains by a quarter percent. this morning in the futures market, slight declines by a similar percent. ten-year treasury yield jumped back up above 2.1% yesterday, but now back below the 2.1% level, 2.089% sfwloochlt asian equities overnight sort of mixed responding to a better day on wall street. the nikkei closed higher by 0.2% hong kong lower by a third of a percent. shanghai comp closed lower, a half percent the south korean kospi came back after rough day the day before

as for early action in europe. things look mostly positive ahead of the ecb decision and mario draghi news conference where most economists at this point do expect draghi to hold off and talking tapering and announcing his plans it was originally thought to be today when we get that this has been complicated by a much stronger euro, which gained 13% against the dollar so far this year and the fact he's missing the inflation target >> we just had eurozone q2 gdp, the final revision, 2.3% year on year decent reading, slightly ahead of expectation on the inflation point, i think as we go into the ecb decisions we overfocus on will he or won't he say anything about the euro the key thing to watch for him, what he says about inflation inflation had peaked in february, been coming down since which limited his ability to tighten. the last reading we got last week did see a fraction tick up

again in inflation well below the 2% target that's a slight offset >> also that strong euro doesn't help that makes things cheaper like oil in europe. that's the complicating factor whether he says something or not about the euro, the question is does the market respond and listen at this point what tools does he have besides just extending easing >> the issue will be how dovish does he speak? clearly he doesn't want the euro to keep going higher let's look at the broader markets. oil prices had another positive day yesterday, up about a percent or so. it was four positive sessions in a row. at the moment set for a fifth one, albeit with less strong gains. 49.24 for wti crude. dollar board for you. the dollar was flat yesterday. today slipping by -- well, more than 0.2%. the euro extended its gains.

0.4% now ahead of that >> testing mario draghi. >> testing mario draghi, yeah. the yen higher by a quarter percent. the pound higher by 0.2% so slight dollar weak day. gold preices have had a good run of late. back up today, 3 1,343. mitch mcconnell introducing a bill last night that would link $15 billion in disaster ai and relief with the deal struck by president trump and the democrats to raise the debt ceiling and keep the government open and funded until mid-december mcconnell announced his support for the plan following the surprise announcement by democrats that president trump backed their request that any deadline for extending the debt ceiling lineup with the short spending package republicans wanted a longer deal on the debt limit, 18 months through the midterm elections. the "washington post" says the senate is expected to vote on the bill tomorrow what comes out of this is a three-month punt

down the road which sets us up for pre-holiday politics where republicans who disagree with the strategy might say democrats have an upper hand when it comes to the political talks and getting some of their initiatives through in order to keep raising the debt ceiling and keep the government open past the holidays. >> also another way of looking at this. we saw very little market reaction the bond market flickered for a bit. we're back below 2.1%, which suggests that don't think the market is worried about this issue itself overall >> so little move in the short-term debt. so those yields that mature just after october came down sharply, but the ones that mature in december rose sharply. yes, nothing broader nothing wreaking panic or anything like that >> out of washington, president trump is reportedly not likely to nominate gary cohn as the next fed chair the "wall street journal" says the president's change in opinion comes mostly from cohn's criticism of trump's response to the violence in charlottesville.

yesterday stanley fischer announced he will resign in mid together for personal reasons. that brings the total number of vacancies to four on the board of seven chair yellen's term ends in early february lots of seats to fill now. nelson peltz unveiling his plan to shake up procter & gamble in a 94-page white paper, trian wants peltz on the p&g board the company has been pushing back hard. among the highlights, trian wants p&g to reorganize into three autonomous business units. right now the company has about four global business units peltz's firm argues that the compensation plan is tied to three-year goals set too low he wants the board to groom more outside leadership talent. peltz is offering to lead a board study on how p&g can improve innovation trian thinks the consumer giant

should focus acquisition strategy on buying and developing smaller and mid-sized brands in a statement p&g said it is executing a winning strategy david taylor, the ceo, will speak at a back to school conference facing investors after what was a real tour de force from trian with excellent charts that showed the declining market share and the total return below peers i thought trian looked at the total return under each of the independent board directors, and it's down versus its beers on all of them. the longer they have been on the board, jim mcnerny, the more they underperformed. >> these type of activists attacks on these companies continues. this is not really an activist attack he just wants the 12th board seat they have a 3$3.5 billion investment, he says he is

bringing some ideas on how to raise the bar when it comes -- doesn't want to break the kean or oust the ceo. >> decent enough stake to be demanding that back to the top story. following reports of extreme devastation in the caribbean in the wake of hurricane irma the storm is set to make landfall in the united states. kalee dionne joins us with more. >> reporter: after 33 hours with 1 a 185-mile-per-hour winds t has dropped to 180 miles per hour, still a power. and devastating hurricane moving to the west-northwest at 17 miles per hour this track will continue to be to the west-northwest for the next couple of days. through the day today and also through the day friday let's look at the track as it gets closer to florida where we will see it move in sunday afternoon and evening. that's when florida needs to be alert. prepare now on either side the track is still having it go

up the nose of florida more updates throughout the show >> we'll check in with you often. thank you. >> some of the reports of places like barbuda and anguila are saying total devastation we don't have the details yet. >> yeah. >> certainly thinking of people in those areas. in houston, the nation's energy center is recovering from hurricane harvey exxonmobil is restarting activity at the baytown refinery and pipelines are beginning to transport fuel the refinery in beaumont, texas remains shut due to flooding darren woods spoke to becky quick about the company's recovery efforts after harvey. that's on "squawk box" at 6:00 a.m. restoration hardware shares are soaring. landon dowdy has the details >> reporter: shares of restoration hardware are on the move after a blowout quarterly report last night and raising the full-year forecast the home decor retailer posting

estimates of 65 cents a share versus 47 cents the street anticipated. revenues at 6$615 million compared to estimates of 6$606 million. this proving that restoration's efforts to change its business model is paying off with things like subscription-based membership program and special financing through a credit card program. the ceo hinting at a way retailing could be immune to the amazon effect on the earnings call saying it's ability to integrate multiple businesses with a dynamic food and beverage experience is a revolutionary new retail model that cannot be replicated online. take a look at the stock shares of restoration hardware have been on a tear. up 118% year to date the stock this morning up 33% in early trading. >> always volatile amid earnings this is a big boost. royal caribbean's board has approved a 25% increase in the

company's quarterly dividend the payout, 60 cents a share and reflects the cruise operator's efforts to increase shareholder return. yext reporting a narrower second quarter loss. yext powers retail location search results is slightly raising its revenue guidance for the year verint systems posting a narrower second quarter loss revenue rising more than 4%. the softwaremaker says the ceo is taking on a chairman's role as the previous chairman died a week ago. deere is buying blue river technology for around 305 million dollars. deere looking to increase the ai capabilities of tractors and farm equipment no move in the share price this morning of deere. bristol myers says the fda placed a hold on a trial of

optivo in combination with other medicines to treat melanoma that was due to risks seen in a similar study by a rival drugmaker, merck. astrazeneca says a phase three trial showing one of its drug improves lung function in patients with copd the company plans to submit an application to the fda for approval of the drug early next year up 1 % in london trade. still to come on "worldwide exchange," president trump threatening to sanction countries that do business with north korea and no country has more at stake than china a live report from beijing coming up. and mark your calendars, cnbc's delivering alpha a week away from today a big lineup of newsmakers including steve mnuchin, jamie dimon, ray dalio and many more big names. it's happening september 12th. for more details go to deliveringi

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treasury secretary steven mnuchin warning if the united nations doesn't put additional sanctions on north korea over nuclear tests, the u.s. could act on its own mnuchin says president trump has an executive order ready to sign that would impose sanctions on any country that trades with pyongyang. secretary mnuchin will be a guest at delivering alpha next tuesday. th if the fededextived executive o

signed, one country that has a lot to lose is china eunice yoon has more >> reporter: experts calculate that about 90% of north korean merchandise trade is with china last year total trade reached 5$5.6 billion, a slight increas from the previous year analysts say that this official number doesn't really accurately reflect the entire trade because there's still a lot of goods smuggled as well as a lack of clarity around the fuel data china said it is cracking down on some of that trade in line with u.n. resolutions. that's been reflected in some of the haven't darecent data out oe government top imports are no longer coal, but textiles, fish and steel top exports are machines as well as car and railroad components china said it will be curtailing trade further to abide by the

new tougher sanctions at the united nations, but there's still a limit as to just how far it's going to go as you guys know, the u.s. has been pushing the idea of an oil embargo. that's been backed by south korea and japan. and today, the commerce ministry responded to a question on whether or not china would consider taking part in an oil embargo. they said we will continue to deal with north korea trade issues in a manner that benefits the denuclearization of the korean peninsula and beneficial to peace and stability, so no change and reluctance to take part in any part that cuts off oil. >> is that the key point in terms of hitting them hard in the short-term, cutting off their energy supply? they have total energy dependency on others >> they have major energy

dependence on china. china said before that it doesn't believe that an oil embargo or cutting off the oil supply will ultimately achieve the goal of denuclearization on the korean peninsula we have seen that over and over again in the chinese state press, they say that if this were to happen, then there could be an even bigger confrontation between china and north korea that would, according to the global times, transcend a conflict between the u.s. and north korea. the state press has been saying over here that would not be within china's interests so doesn't really look like anything will change on that point. >> thank you very much for that. eunice yoon from beijing in other news, facebook says it has identified about 500 inauthentic accounts responsible for $100,000 worth of ad spending that it believes has ties to russia

the news follows a review of ad buying in concerns to russian activity during the 2016 presidential election. square wants to be your bank the digital entertainments company run by jack dorsey plans to submit an application to form a bank based in utah it would offer loans and deposit accounts to small businesses >> my must read is on this topic, on tech and cryptocurrencies it's a good one. >> good. still to come, it's electric, jaguar land rove ser going all in when it comes to electric options a preview of the new lineup of cars straight ahead. >> first a look at national forecast from bill karins. >> good morning. watching the latest with irma, still a powerful category 5

hurricane. the storm is expected to track dangerously close to south florida in about 60 hours from now. the big important thing with this whole forecast is where does this northwards turn take place. if it takes place later, the storm goes up through florida if it takes place earlier, it could move off the florida coastline with not a direct landfall that's the difference between billions of dollars of damage and possibly a glancing blow our computer models overnight, they take the storm down towards the florida straits and then northwa northwards you can see how close of a wall it will be for miami and west palm beach our friends in south carolina and north korcarolina wilha tl deal with this storm in a weaker state. more "worldwide exchange" when more "worldwide exchange" when we come back your finances, your future.

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welcome back to "worldwide exchange." among the top trending stories, apple has reportedly secured a deal for songs from warner music group. the pact would mark the tech giant's first agreement with a major label since introducing apple music two years ago. under the terms of the deal the company would pay warner a streaming rate apple wouldn't have exclusive deals with artists but ensure that artists like ed sheeran won't leave the service. ap haple has sony's catalog in sights jaguar/land rover is going

electric all of the cars will be available in electric or hybrid versions by 2020 >> what is that model on the right? >> something futuristic? the company's latest announcement comes as the industry trying to portray a green image following the volkswagen briti volkswag volkswagen scandal >> british cars. >> owned by an indian company. >> toyota and nissan can move uk production t won't matter post-brexit, jlr has to be british made >> that was one of the questions ahead of brexit. >> yeah. next trending story, even princes get first-day jitters. kensington palace releasing

adorable pictures of prince george arriving for first day of school his mother has found herself bed bound due to morning sickness. the prince will be known address george cambridge to classmates what is that like going to school as a royal? >> i know you hold me in high regard, i'm not a royal prince myself >> how can that be normal? >> back at that age i was in the same school harry. >> long time ago i used to hate school at that age. enjoyed it as i got older. moving on to sports, there will not be a superstar match-u

in the semis >> i like that tank accessory that he's got. >> i think he should be wearing white. federer lost in the quarterfinals last night to del potro. del potro will face rafah in the semifinals over the weekend. madison keys got through to her quarter final match last night in straight sets there has not been four women in the u.s. open semis since 1981 from tennis to football, the nfl season kicks off tonight on nbc. the patriots host the chiefs you can catch that game starting tonight at 7:30 p.m. eastern time i'm off to the patriots game in a couple weeks >> that's exciting >> first time to a patriots game i've been to a couple nfl games.

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hurricane irma turning deadly as the storm roars across the caribbean. dumped by trump. the president reportedly souring on choosing gary cohn for fed

chair. the details and potential market implications coming up. and peltz versus procter & gamble the activist investor unveils his plan to shake up the dow component. it's thursday, september 7, 2017, you're watching "worldwide exchange" on cnbc. good morning welcome back to "worldwide exchange" on cnbc. i'm sara eisen >> i'm wilfred frost good morning to you from me as well >> let's check in on the global markets. after a mini rally yesterday, saw that quarter percentage point gain, a little bit of a lift after president trump signaled a deal to avert breaching the debt ceiling, keep the government open for three months he made that deal with the democrats. dow futures down 13 1/2 points nasdaq just going positive

s&p down 1 low yields remains the name of the game here. we are below the 2.10 on the ten-year we're at 2.08. so buying of treasury is pushing those yields down after a little bit the other way yesterday. >> the brief low on tuesday was 2.06 asian equities for you, korea having a nice bounce back today as korean tensions -- south korea bouncing back today as north korea tensions eased a bit. that's up a percent. pix e mixed picture for shanghai and hong kong. european trade, a mixed picture. germany up a half percent. france down a half spent the ftse down over 1 % for the week coming into today germany continuing its outperformance we had gdp data come in for the broader eurozone, 2.3% year on year this morning, 2.2% was the

expectation. as for the broader market picture, oil prices this morning, which are above $49 a barrel 49.25, up 0.2% brent getting a pop, 54.62 nat gas higher by almost a full spent taj point. euro strengthens into the mario draghi announcement. we have an ecb decision and then the draghi press conference. everyone wondering when le tahe talk about the tapering schedule euro/dollar this morning 1 19.71, up more than 13% for the year the dollar is weaker against the japanese yen, something potentially to watch in termsap. the pound is firm above 130. as for gold prices, they have been on a tear they sold off a bit yesterday on the buying of risk response to the deal that president trump made on the debt ceiling

but back on the rise this morning. up 0.4%. moving on north korea, moving on some political tensions. who knows. gold is certainly in demand. >> it is, indeed. moving on to politics. it looks like gary ghogn won'cob the next fed chair why did the president change his mind on that >> reporter: according to the "wall street journal" which broke this story, the reasoning for the change of heart or change of mind is based on gary cohn, the director of the national economic council's comments to the financial times a up wicouple weeks ago when he denounced the administration for not willing to distance itself from white supremacists after the sfleenevents in charlottesv. the president has now soured on picking cohn for the fed the "new york times" reported that cohn went so far as to

draft a resignation letter after the charlottesville issue came to a head a yfew weeks ago but never submitted it there are some large vacancies at the fed with stan fischer yesterday submitting a letter saying he would resign mid-october for personal reasons. his term was set to expire next june now there's four vacancies at the fed that the president needs to fill. if you look at where the betting markets are, the chances or the bets for cohn to take the position, according to predictit which is where people have been case xwla basically trying to play the political markets, that's down 64%. the odds for chair yellen to be reappointed for a new term, those were up about 25%. certainly those watching this situation feel that now this makes it more likely that chair

yellen will be reappointed though senior administration officials tell eamon javers they are still considering a whole host of other candidates >> let's get this straight december is setting up for the president to make his decision as he says by the end of the year for a fed chairman and another few vacancies. he will have to make another deal to extend the debt ceiling, keep the government open, right? in the meantime they're trying to usher through a major tax reform plan. this is all being punted to just before the holidays, is that correct? >> that's correct. yesterday on air force one the treasury secretary, as well as the white house head of legislative affairs, both said the reason why the president felt strongly about bumping the government spending and debt limit issues to december 15th is so that they can "clear the decks for the next 90 days for tax reform specifically. so clearly the administration feels it can get tax reform done

and across the finish line in the time they bought themselves. then they can worry about the other deadlines. though those deadlines have proven to be a bitter partisan battle in haven't memoven receny and gop aides have said the deck is stacked for december, where not only the democrats have leverage to withhold votes on critical funding issues of things like immigration, but also it sets up a dynamic where you can have multiple votes on the debt ceiling if the president keeps being willing to set up short-term stop gap measures in place. >> going back to gary cohn, there's not many options for president trump of someone who fits the bill of not being another typical appointment, not an academic, at least a pseudo ally of the president. do we think this is recoverable for gary cohn? what would he have to do to get the president back on side

if he can't cover, does gary cohn decide it's time for me to step down and resign >> it's a catch 22 for gary cohn if you're in this situation. some associates of his have said one of the strongest reasons to remain in the position after the charlottesville issue was because potentially he wanted that federal reserve job perhaps this is the president issuing a penalty for the comments where he spoke out against the administration unclear. but you have to admit that the resignation of stan fischer cam as a surprise yesterday, and perhaps that makes it an easier decision to appoint an academic and not an outsider if you don't want to upset the apple cart there. >> a lot of names being tossed around kevin warsh, maybe yellen's name again. it will be a good parlor game until we get a decision. maybe that will have an impact

on the markets >> with the odds raising of yellen, it went from close to zero to 30%, so it jumped a lot. >> just pointing that out t wasn't jumping to we think that will definitely happen >> hard to game that one out >> he will have -- the president will have an unbelievable influence on the shape of the fed. so many vacancies. we knew there would be quite a few, with the resignation of fischer -- >> i would say fischer's term as vice chair was up in june, so it is early and a surprise, but, yes, it creates another opportunity for this president to mark -- put his mark on the fed. hurricane irma following reports of extreme devastation in the caribbean and the storm is now set to make landfall in the united states. jackie deangelis made her way down to ft. lauderdale she has the latest good morning

>> good morning. all is calm here as residents and business owners are bracing for the storm. basically waiting at this point just to see what the exact path will be and how hard it will hit. behind me in the distance, not sure if you can see it, it's dark this morning, but the port everglades a very crucial port in florida thenumber one sea port in florida by revenue and the number two petroleum port as well petroleum will be very important. we saw gas stations selling out of gas yesterday, massive lines as people were trying to leave ft. lauderdale or potentially stock up if they were going to hunker down and stay here. gas buddy says that 30% of the gas stations in florida west palm and miami are already out of gas so we're watching this situation closely. monitoring the port to see if it will close and we'll have the latest the next hour back to you. >> i was going to ask, because

you were in corpus christi before hurricane harvey struck that area. the level of preparedness, people in florida versus what you witnessed in texas >> preparedness is equal in terms of both storms people are taking this seriously. but fear factor, i would say, is a little bit more severe on this storm. in corpus christi they were more measured and not as worried about the impact this could be a category 4 or 5 storm. that was a category 3. even locals here who have been through severe storms before say they think this will be the worst one they've seen yet >> jackie, thank you very much activist investor nelson peltz unveiling his plan to shake up procter & gamble in a 94-page white paper.

in a 94-page white paper, trian wants peltz on the p&g board the company has been pushing back hard. among the highlights, trian wants p&g to reorganize into three autonomous business units. right now the company has about four global business units peltz's firm argues that the compensation plan is tied to three-year goals set too low he wants the board to groom more outside leadership talent. peltz is offering to lead a board study on how p&g can improve innovation trian thinks the consumer giant should focus acquisition strategy on buying and developing smaller and local brands in a statement p&g said it is executing a winning strategy they point to the latest full-year results as proof peltz doesn't consider himself an activist investor in this case he says he put out the white payment now in this proxy battle because he tried to present it to the board several times earlier on in the processn he just wants a spot on the 11-person board. they say he doesn't come with ideas.

94 pages suggests otherwise. the vote will be an interesting one. the biggest company to face a proxy battle like this. still to come, why central banks are considering the threat es.cryptocurrencyie thmust-reads are straight ahead. stay tuned, you're watching "worldwide exchange. you won't see these folks at the post office. they have businesses to run. they have passions to pursue. how do they avoid trips to the post office? stamps.com mail letters, ship packages, all the services of the post office right on your computer.

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welcome back to "worldwide exchange." time for our must-reads. my is in "the financial times.

the title central banks are just waking up to the threat of cryptocurrencies." it's broader than just cryptocurrencies, it looks at fintech's threat to banks, and asks whether banks will be am sonned so far the big winners have been clients. fintech innovators in banking appear to have been less disruptive than expected because they failed to change the bay signals f basis for competition. technology led to a marked improvement in customer service and a sharp fall in the cost of payments he does go through various ways where banks may be amazoned and says central banks are waking up to the threat of crypt to

tocryptocurrencies. >> i wonder what it means for bitcoin. when we come back a debt ceiling deal in washington, geopolitical concerns and an ecb meeting. the biggest things to drive today's trading session. and delivering alpha is a week away. for more details go to deliveringalpha.com. ♪ it's a champagne and models potpourri ♪ ♪ on my yacht made of cuban mahogany, ♪ ♪ gany, gany, gany, gany ♪ watch this don't get mad (bell mnemonic) get e*trade and get invested and i've never seen a better time to refinance your home, than this summer. why? because right now we're seeing our average customer

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and smooth removal for your lightest. tampax pearl. and pocket pearl, for on the go. ♪ ♪ keep your insights from prying eyes, so they won't be used by anyone but you. the ibm cloud. the cloud for enterprise. yours. welcome back to "worldwide exchange." the nasdaq has done positive, dow down 10.5, and s&p down over a point. joining us is mike holland an john manley. so much going on today, we needed both of you to talk about the trading session ahead. your level of fear as it relates to the markets around north korea? >> from the recent comments less

than it was a couple days ago. there's always the chance of a dumb thing happening i think right now it's a little better >> john, clearly the north korea issues is somewhat of a binary outcome, potentially binary outcome for the u.s. have we seen after tuesday's move that north korea, negative north korea news is a buying opportunity? as long as you don't think we'll get that dreadful eventuality? >> i think it is a little binary not entirely what happens is kim has the tiger by the tail. he has to be careful what he does to me the biggest thing is no major power, no major nuclear power said we're on his side this is not the cuban missile crisis this is not stopping russian ships in the caribbean i think eventually it will simmer down to what it's been since long before what it has been since i was born, unpleasantness >> putin's comment, invitation

to a cemetery, which is what north korea has in front of it, just a comment >> that was the old line when i was growing up, the idea was the cold war were two men standing in a pool of gasoline each holding a bic lighter looking at each other. >> if we don't seethis as a major market event, do the u.s. fiscal policy uncertainties and legislative agenda questions make more of an impact on the market does that not worry you either >> you saw that yesterday, when trump sits down and gets the democrats on his side and they come up with something, the currencies respond the markets respond. people like that so it would be a huge surprise, but a positive surprise. >> john, the only real significant market mover from washington would be if we got some serious movement on tax reform >> yes but also the economy is getting better we're returning to normal.

americans like to spend money. that's why we're americans i think what's happening is we're going back to normalcy as that happens, in and of itself you get an incline plain for stock prices it's showing up in profits the fed will raise rates i believe at some point in time. only to the degree it doesn't adversely affect the economy that's not a bad environment we're still in a good environment for stocks tomorrow may be different, today is fine. >> you do have less regulation, you feel business is feeling better about themselves, consumer sentiment is following professional sentiment so people are doing more things. the economy is doing better for a couple reasons >> a lot has to do with the interest rate picture and setup, doesn't it add an element of uncertainty that now gary cohn, his shot has gone down, becoming fed chairman and there are four cray sa vacancies in the federal vef >> i think some are looking at that as trump's opportunity.

he has four positions now he can fill in a minute he can do whatever he wants this is the most flexibility a u.s. president has had in decades what are market implications for that >> probably market friendly. >> because there is faith he will -- >> do things that help business and his agenda >> you agree with that >> yes if it's unfriendly, it's a minor unfriendly one of the great things about the situation today is you know you're wrong more quickly than ever before. i've been married for 35 years, i'm used to being wrong. the next best thing to always being right is finding out you're wrong as quickly as possible i do when something like that happens, i won't -- i couldn't put pinkie lee in, but someone who has brains and experience, which i think president trump will do, that will work out. >> expect takations for mario dh and the ecb meeting? >> my opinion is it's still pro

growth no matter what they do, the idea is to keep the economy growing the last thing they want to do is be premature in raising rates. they would much rather err on the side of angels, in my opinion. >> is europe a place you want to invest we were talk about how their growth prospects are good. >> quick answer, europe has done very well. we talked about it before. the quick answer is yes. i think -- >> relative to the u.s >> yeah. i think the u.s. is okay i think europe is better >> equity markets? >> the big players, the big companies over there are reasonably placed, particularly relative to the u.s., which i think is a stretch that we're okay here, but they look better in europe. >> how much are you concerning what the euro/dollar rate is doing? it will affect exporters in europe and your rate of return if we see the euro move in the opposite direction. >> continuing challenge, but

overall, over the next few years it will wash itself out as it usually does so investing in the big quality european companies trading at reasonable valuations relative to other asset prices, that is a good thing irrespective of the euro >> i'm going on record here, currencies go up, currencies go down i think that's exactly what happens. >> they don't go up 13% necessarily in a given -- >> no, that is a lot but it tells you about how little suspected of europe and how much was expected of the u.s. the u.s. did not suffer over that period of time either in terms of stock performance i think things are getting better when things get better or worse they tend to keep getting better or worse for a lot longer than people think they will the surprises are that europe finally recovers they still want ning things li do >> focusing back to u.s. equities sum up earnings season for us. are you content with the level of earnings growth

>> i think we'll be okay september is a bad -- tough month. september and october are notoriously bad months a lot has do with the fact that when the sell side analysts get a picture of what this year will look like and readjust next year from earnings power down to earnings that's usually a lower number. it's a bit seasonably weak for earnings, but on balance numbers have been getting better not worse. as we go forward in term, the numbers look higher and not lower. for the time being, we'll stick with that. >> want to ask about your financials, which, boy, duff ever think the ten-year yield would be at this point in the year back down. >> my financial stocks have done so badly >> the financial stocks have been pummelled >> as you would expect me to say, i actually believe t i think they're attractive on a relative basis >> you're buying more. >> yeah. chubb and jp -- absolutely lloyd blankfein yesterday gave some indication. there's plenty of reasons to be negative

i think they're well priced in >> he was speaking here to a european newspaper >> thanks, wilfred >> mike, john, good to have u yo both that's it for "worldwide exchange." "squawk box" is next cd's, baseball cards... your old magic set? and this wrestling ticket... which you still owe me for. seriously? $25? i didn't even want to go. ahhh, your diary. "mom says it's totally natural..." $25 is nothing. abracadabra, bro. the bank of america mobile banking app. the fast, secure and simple way to send money.

irma turning deadly leaving a trail of destruction as the storm roars across the caribbean and towards florida. job opening at the fed stanley fischer stepping down. the president reportedly has soured on choosing gary cohn for fed chair. the details and potential market implications coming up. and an interview with the ceo of exxonmobil. he has an update on the refineries in the gulf coast getting back to work after hurricane harvey it's thursday, september 7, 2017 "squawk box" begins now.

live from new york where business never sleeps, this is "squawk box. good morning, everybody. 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. let's look at the u.s. equity futures. markets moved higher yesterday on this thought that there will be a deal that gets cut. dow up by 55 points yesterday. this morning it looks like futures are slightly lower for the dow and s&p 500 with the dow futures indicated down by 8 1/2 points s&p down by 1 point. the nasdaq slightly positive up by 1.5. all of this happening as we are tracking hurricane irma as it approaches the united states let's look at asia the stock markets there starting with the nikkei, looking at those mark