break out your rally caps. the dow, nasdaq and s&p 500 are all sitting at record highs. we have your early market action straight ahead do you have a rally cap? i don't. >> wipe it out, that's what president trump says we should do with puerto rico's debt. and uber agreeing to big board changes as it looks in a mega -- locks in a mega investment from softbank it's wednesday, october 4, 2017 "worldwide exchange" begins right now. ♪ >> i think you have to go to the

new york stock exchange to get the official dow numbers has the. >> i thought they would say rally or -- we should have those daily. i remember the dow 20k hats. you did have one in your desk. >> i did remember it took a long time to get there? >> you have that and your cincinnati has the there both red >> red hats. welcome to "worldwide exchange" on cnbc. i'm sara eisen >> i'm wilfred frost i will get you an arsenal has the. that will be red, too. >> is it >> yeah. >> i'm such an arsenal fan >> we should move on >> i have blue hats at hem for chelsea. >> you don't really care about chelsea. >> no, happy to support arsenal. >> there we go >> after another record rally on wall street, rally cap or not, we saw record closes for the s&p, the dow, the nasdaq, the russell 2000, the dow transports all hitting fresh records. dow futures are higher, 24 points s&p futures flat

nasdaq futures down two. ten-year treasury note yield, we will get a bunch of economic data starting with adp today then durable goods later, jobs on friday. the question is how much will be impacted by hurricane harvey the weather affects may have impacted some of those jobs numbers. as for the yield, 2.31 backing that you 2.32 level. that's where we were last friday sort of hovering near recent highs. >> decent little pop for a couple markets like hong kong, australia down 0.9%. japan slightly higher. september services pmi, 51.0, expected to be 51.6. the lowest for 11 months still above 50 if we look at european trade, we just had eurozone august retail sales, 1.2% year-on-year growth.

consensus was 2.6. a significant miss for august retail sales markets just slightly lower for the most part. they were slightly higher yesterday. italy and spain down more meaningfully spain continuing its slide more conversations around catalonian independence and exactly what the catalonian government will or won't do. >> even though the king came out and reprimanded them >> people criticizing the king's speech saying he didn't say enough, he could have gone further. in essence, all he did was take the government's position, he didn't unite people. complicated stuff. >> as for the broader market picture, let's show you oil prices we will talk oil later some headlines out of russia today. wti firmly above $50 a barrel. it is down this morning. worth watching we are seeing more than a half percent decline. brent crude, 55.60, down almost

three quarters of a percent. as for the u.s. dollar, backing off some of its recent highs had a strong week last week. that strength continued into the earlier part of the week calm their morning down a quarter percent versus the yen. 112.55 also down against the euro by 0.10%. as for dollar when, looking dol looking at the highest level that's fueled the nikkei gold prices have been lower lately on the back of that firmer dollar. now that we got a bit of dollar weakness, gold is up 0.3%. look for the september adp employment report at 8:15 a.m. eastern followed by the ism services index at 10:00. we'll hear from janet yellen this afternoon, when she addresses a community bank conference in st. louis sfwlooch monsanto and pepsico report

before the open. and pepsico's cfo will be on "squawk on the street" this morning at 9:10. i can't believe bank earnings this week. >> banks have been strong lately trading at the highest level as a group since 2000 >> because yields increased more than anything else i think forecastst have cos havn a bit, but we've had some guidance >> we'll talk wells fargo. i know you're back from that hearing which turned out to be way more exciting than i thought it would be. >> i always knew it would be exciting we'll have highlights. >> senator warren delivering the highlights again. following a developing story out of puerto rico it's been two weeks since hurricane maria made landfall there. the governor of the island said the death toll doubled to 34 the news coming hours after president trump visited the island of puerto rico to survey the damage he made big headlines while

discussing puerto rico's $70 billion debt load. here's what the president said on that. >> we have to look at their whole debt structure they owe a lot of money to your friends on wall street we'll have to wipe that out. that will have to be -- you can say good-bye to that i don't know if it's goldman sachs, whoever it is, wave good-bye to that >> the white house did not immediately return requests for further details or clarification on wiping out the debt of puerto rico >> it's been a long running issue, if this is the president endorsing the idea that they would let puerto rico go bust -- >> clean slate >> extraordinary development i don't think it is goldman sachs if we look at a report on cnbc.com, blue mountain capital is named, franklin templeton, oppenheimer funds, these are some of the companies that have exposure >> it's in peoples 401(k)s >> i don't think the president

is knowing what he's saying here is he saying we'll allow them to go bust or bail them out i think it's the former. >> unclear >> i think he's saying it in order to try to help puerto rico, maybe didn't understand fully the implications of allowing puerto rico to go bust. >> or raising the issue they have a massive debt problem, and they have a big economy problem as well. not just -- the latest hurricane maria adding insult to injury it was already a territory where the poverty rate was 45% the country has been in recession for at least a decade. there's clearly issues to deal with >> indeed. >> on some of those very serious topics in puerto rico, the president was there yesterday. today he's headed to las vegas where he'll meet with victims of sunday's mass shooting we're getting new details about the attack las vegas police clarifying overnight that 58 people were killed in the rampage. previous reports put the death toll at 59 but that included the

shooter. paddock's girlfriend arrived at los angeles international airport last night from the philippines and was escorted by fbi agents it's not immediately clear where she was taken. authorities have said she is a person of interest we have also learned that the shooter wired $100,000 to an account if his girlfriend's home country of the philippines a week before sunday's massacre. we'll have a live report coming up out of washington, house republicans are leaning towards a fourth bracket in their sweeping tax overhaul plan lawmakers originally wanted to consolidate the seven rates to three, 12%, 25%, 30% now the gop is considering a fourth bracket to ensure high income households do not receive the biggest benefits according to one source, the exact rate has not been derd but won determined but won't be higher than the current tax rate of

39.6%. they have been fighting this political narrative that this only benefits the rich this could ab way to gebe a way around that. big corporate news, uber reached a major agreement with softbank landon dowdy has all the details. good morning the battle in the boardroo may have hit a grand bargain and a big win for dara khosrowshahi. the board moved unanimously to approve an investment by softbank softbank will buy 1 billion to 1.25 billion uber shares at its current valuation of 69 billion dollars and will make a secondary purchase under the governance changes, uber's board will move from a super voting structure which gave early share holders more voting power to a one share one vote structure the board goes from 11 seats to

17, two of which will go to softbank as far as ceo travis kalanick, or former ceo travis kalanick, he will keep his seat but the power on the board is diluted. kalanick saying the board came together collaboratively and took a major step forward in uber's journey to becoming a world class public company under dara's leadership and with strong guidance from the board, we should expect great things ahead for uber not everyone is happy with the new changes. one board member said be careful what you wish for. they may think they won a battle today, rest assured they will lose the war we will not rest until the employees rights are vindicated. back over to you >> thank you very much for that. waymo's lawsuit against uber has been postponed until december they requested the delay after uber announced new documents

remember the massive data breach at yahoo! back in 2013? it was more extensive than previously disclosed verizon disclosing that all 3 billion yahoo! accounts were affected in the attack that's three times the original number of victims which already made it the largest incident in history. compromised information included user names, passwords, telephone numbers in some cases and dates of birth users won't need additional actions -- or to take additional action since yahoo! forced all account holders to reset passwords. shares of verizon down a third of a percent in light of the equifax breach, all of the social security numbers and credit numbers compromised, i feel like that is another level. >> it just -- >> all of it is terrible an invasion of privacy you have no idea what that information is -- where it is,

what's being done, where in the bark web and how it's being sold clearly companies need to have better defenses. >> they do indeed. stocks to watch today. bob iger says the company did consider buying twitter. speaking yesterday at a summit, iger said twitter had global reach and a compelling way to sell content directly to consumers, but disney decided to buy a majority tech in bam tech. disney's flat today. >> the espn brand will include in the first year 10,000 additional live supportiportingt th events that will give you the opportunity to see other sports not seen on the channels, as well as scores and highlights. and maybe become the espn service where it's got what is called the linear channel feeds as well as the add-ones. we'll see. we're not ready to say we're

doing that for sure or say when we're doing it >> disney shares flat today. evan spiegel says he has few regrets about taking snap public the company's shares are down 13% from the ipo price of $17 in a rare public interview yesterday, he said he could have communicated better with investors. >> one thing i did underestimate is how much more important communication becomes what is interesting is that when you go public and you really need to explain to a huge new investor base, instead of having ten investors, you have 10,000 you have to explain how the business works, at the same time you need do that, there's all these new regulations about what you can, cannot say and how you communicate. one thing we've been going through this year is learning how to best communicate the snap story. >> spiegel also says the company saw more than 150,000 spectacle

sunglasses, more than the iphone sold in its corresponding early period >> i don't see that many spectacles on the street >> no. >> i guess in the first take up of the iphone, that was slow for that first six-month period. office depot is buying i.t. company compucom systems office depot citing the impact of the hurricanes and lower back to school sales. things got heated on the hill yesterday, as wells fargo and equifax faced separate fwr l grillings from lawmakers stay tuned you're watching cnbc

welcome back to "worldwide exchange." let's give you an update on the market picture yesterday about 0.4% of gapes for t gains for the dow. tell k we are mixed this morning premarket. the dow continuing its leadership for the day and a little red for the s&p and nasdaq >> former equifax ceo richard smith heading back to capitol hill today for a second day of congressional testimony. smith was grilled yesterday by the house committee on the company's massive breach did he can get clarification on

how this happened? >> this morning former equifax ceo richard smith heads to the senate for two hearings. we caught him yesterday, he walked past our cameras as he headed out of a house subcommittee hearing but he remained tight-lipped. he told the subcommittee it took the company 40 days to notify the public about the breach because it took weeks to understand the depth and breadth of the breach. he maintains the three executives who sold stock after the breach was discovered did not know about the hack when they sold shares this morning before the senate banking committee, among the lawmakers he'll face is elizabeth warren she released a set of questions she'll cover they include asking for the specifics on the numbers and types of data breach, and how the hackers accessed the equifax

network and security flaws on the network that helped hackers. it will be another busy day. >> do you hear anything about the current ceo that has stepped in to fill smith's place going to face lawmakers? jeff sononfeld said it's not helpful to have the former ceo, yes, it happened on his watch, but how has thechanged behaviors? >> a lot of questions were raised last week when smith retired a week before his testimony. he was asked about that on the hill yesterday he said again that because it happened under his watch, he kind of deflected that question as far as whether the current ceo will be testifying i also reached out to the

company and asked that, pressed them on that didn't get specific answers. those calls will continue because what people and what lawmakers are calling for more than anything else is that cultural change within the credit bureau industry that can't happen under someone who is not there anymore >> who is retired. thank you very much. speaking of cultural changes, also on capitol hill yesterday, wells fargo's ceo tim sloan defending the company in front of the senate banking committee. wilfred was there covering the he hearing, which heated up >> he apologized fairly convincingly he had a good grasp of stats and figures and highlighted the changes he made over the year since being ceo. all of that contrasts to the poor performance of john stumpf a year earlier most of the focus did happen to be on what he did and didn't know from 2010 to 2016 and his roles prior to being ceo

here's an example of senator warren trying to hold him to account for that >> now let's forward to 2016. >> two months before the fake account scandal became public. you were then the chief operating officer of wells fargo, an interviewer asked you whether you thought the bank pushed sales goals and cross-selling too far. your answer was "no. the fundamental strategy that we have is not going to change. that is july of 2016 just before this breaks open >> got quite a lot of grief for that sort of thing, the history of what he did and didn't know this is tim sloan summing up things on his way out. >> the focus on the hearing was wells fargo one-year later i don't understand why we spent as much time as we did talking about history. but we were able to get our issues out >> it was interesting to see the share price, down as much as a percent at the peak of those attacks. by the end of the day down less,

0.3% i think investors are thinking did this have an impact on earnings and the company's multiple and image anymore in a way it didn't have last year that's why we saw the stock market price react during the day despite a test i wey momentr tim sloan. >> i don't know if you were following jim cramer's tweets out of this he's been vocal on the wells fargo bad behavior in the past he seemed to agree with senator warren that this was why -- i think jim's point was why wells had a higher multiple it was so good at cross-selling, better than everyone else when it came to light it was doing illegal activity, fraudulent, there was no real explanation. that sort of debunked the entire case for the stock >> absolutely. if you look at the stock price under-performance since this broke, it's about 30% relative to the index that's all in the multiple

it used to trade at a 13% premium to the index, it's now at a 20% discount to the banking index. that accounts for the 30% share price relative under-performance. do we see from here further impact of that multiple or is that priced in the e-part of things has not been affected. only the margin. it's not expected to be affected from here. it's all on the multiple do investors feel that impact has been priced. >> just bit of embarrassment he was the cfo at the time, coo, part of that culture 30-year veteran. >> lots of good ammunition in some of those points will this catch the same momentum as it did after the stumpf hearings that led to stumpf's rez vsignationresignatn we'll have to say. >> watch out snapchat. which feature on linkedin is

taking a page out of their playbook

linkedin taking a page out of snapchat's play block they are rolling out geo filter for events and conferences it's part of the new video creation feature that allows users to record and share videos directly from the app. not just facebook that's taking some of those features the playoffs began last night in major league baseball the yankees faced the minnesota

twins in the american league wildcard game. the yankees overcame an early deficit to beat the twins bay sco by a score of 8-4. the national league wildcard game is tonight between the rockies and diamondbacks >> you almost read that with as much authority as reading a soccer recap >> you don't know how much authority, enthusiasm and p pinache i would read a soccer score with. we have the latest details out of las vegas that's when "worldwide exchange" comes right back these birds once affected by oil

are heading back home. thanks to dawn, rescue workers only trust dawn, because it's tough on grease yet gentle. i am home, i am home, i am home ♪ can i kick it? ♪ yes you can ♪ can i kick it? ♪ yes you can ♪ can i kick it? ♪ yes you can ♪ well i'm gone

welcome back mark cuban might be considering a 2020 run here's what billionaire investor told cnbc about a potential race for the white house. ♪ >> 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 get to the markets this morning futures at this hour are mixed we have a little bit of green for the dow, a little red for the s&p and the nasdaq coming off a day of slight gains, albeit not particularly awe inspiring. 0.4% for the dow

the nasdaq up 0.2% ten-year treasury note enjoyed its decent rise in yields more last week than this week it's holding on to them. 2.32%. the fed debate is heating up this is something to watch in the markets. unclear how it's impacting stocks or bonds, but we're -- >> the dollar week >> a short list of names, and interviewees that the president and steven mnuchin have been talking to kevin powell and steve warsh >> that's my must read today >> good. asian equities overnight, some action out of japan. strong again didn't close up much, but that's a to-ye a two-year high for the nikkei hang seng closed up. australia was lower. europe did manage to close higher yesterday and it's mixed this morning.

the dax is stronger. but we're seai inseeing weakness the continent, particularly in spain as the political problem of catalonia heats up. they had that illegal referendum over the weekend, there was violence a crackdown from the government and thousa government and now they'll have to figure out what to do next. the catalonian leaders are plowing forward with this referendum >> their rhetoric yesterday more pronounced about pushing forward. we had softer eurozone retail sales this morning and headlines coming out which we'll come to the competition commission speaking about -- >> waiting on that amazon back tax. >> 250 million euros seems to be the headline also taking i'd to court over their small bill that they used to impose on apple those headlines in a moment. oil prices for you this morning,

which have seen a bit of softness as the dollar rebounded, down 0.6% still above 50 dollar for you, which is soft today. essentially flat yesterday but you're seeing a quarter percent slide in the dollar against all three main currency pairs. gold prices, 0.3% was the decline -- sorry, the gain earlier. it's still there >> continuing to follow a developing story out of puerto rico it's been two weeks since hurricane maria made landfall. the governor of the island says the death toll doubled to 34 people it remained at 16 for days that news coming hours after president trump visited puerto rico to survey the damage and made big headlines while discussing puerto rico's $70 billion debt load. here's what the president said on that. >> we have to look at their whole debt structure they owe a lot of money to your friends on wall street we'll have to wipe that out. that will have to be -- you can

say good-bye to that i don't know if it's goldman sachs, whoever it is, wave good-bye to that >> whoever it is some big wall street firms >> the white house did not immediately return requests for further details on what he meant by wiping that out. >> i think it's important. the way he worded it, doesn't sound like a bailout, the private sector creditors, it's not goldman sachs, it's various other hedge funds. >> seemed to imply they'll take losses and it's not goldman, it's oppenheimer, big funs that own 401(k)s. >> the way he worded that, my reading of it, his implication is they'll let them go bankrupt, which the federal government has not wanted anyone to do. because it raises questions about the strength of the -- reminds you of germany trying to keep greece in the euro. you don't want to let them go bankrupt, that's not what the president's perspective is now

>> we'll see if we can get further clarification. the president, of course, was in puerto rico yesterday, today he heads to las vegas where he'll meet with victims of that mass shooting jane wells has the latest. good morning >> this is the concert venue behind me. people still have not been able to get in there. it's exactly like it was at sunday night at some point they hope people can retrieve their elongings we have some late video from overnight west coast time. stephen paddock's girlfriend returned from the philippines. she was met at l.a.x. by the fbi. perhaps she can help determine a motive police also released some of the 67 body cam videos they have from sunday night as they try to piece together the sequence of events

>> pretty incredible stuff authorities claim gunman stephen paddock had 23 weapons in his room attached devices to 12 of them to mimic semiautomatic he had cameras allowing him to see who was coming a lot of planning went into this putting together exactly what happened is taking time. >> the best of our estimates and video review, he continued to fire at a progressive successive rate for approximately nine minutes. we had individuals who were shot they continued to run away, then they passed away several blocks from the venue >> we are seeing security changes at the wynn. patrons were being wanded by medal detectors and bags checked. there's a much higher police presence the "new york times" is reporting that paddock put a do

notice dush si disturb sign on . we have learned the nypd is already training housekeeping staff to be aware. >> we give specialized training on recognition, recognition on explosive precursors, what do those look like. this week, we added to that recognition of what everybody knows what a rifle looks like, but what does a gun case look like as opposed to a golf bag or regular luggage? >> we also have an update from the corner there were 58 bodies, the 59th body was paddock's >> jane, thank you very much jane wells in las vegas. breaking news out of europe. just moments ago, as we

mentioned, the eu ordered amazon to pay back about 3$300 million 2$295 million in back taxes to luxembourg the european competition commissioner said the online retailer was given an unfair tax advantage from 2003. meantime the european commission announcing it's taking ireland to court for failing to collect 15 billion in back taxes from apple. you might remember europe ordered apple to pay unpaid taxes ruling the firm had received illegal state aid this time it's amazon and luxembourg, and a much smaller fine, or back packs payment of 3$300 million won't make a dent for amazon makes a statement from the european commission, especially out of this office she's the antitrust commissioner it's unusual to start going after these back taxes but she has claimed and will fight this apple case that they

got an unfair advantage. it's not fair to other firms when they went into the countries, they made deals with governments like ireland and luxembourg and were able to skirt the taxes. apple is challenging it. the u.s. government challenged it we'll see if they get behind amazon >> good luck in challenging it this is the way the eu is heading. if you look at president macron's speech, he said we have to change the way people are taxed based on value created here as opposed to final selling price. either way, the eu is heading down this path >> you just wonder if the u.s. will fight it, if this will build barriers or maybe fuel the argument for tax reform in the u.s. just collect it all here and not let them claim it in europe. uber locking in a billion dollar investment from softbank. in return uber will make returns to its board they will move from a super voting structure to a one share one vote structure

the board goes from 11 seats to 17, two of this go to softbank travis kalanick will remain on the board, but his powers will be diminished. the board passed a resolution for the company to go public by 2019 remember that massive data breach at yahoo! in 2013, it was far more extensive than previously disclosed verizon disclosing that all 3 billion yahoo! accounts were affected in the attack that's three times the original number of victims, which already made it the largest incident in history. compromised information including user names, passwords, telephone numbers, dates of birth. users don't need to take additional action since yahoo! made all account holders reset their passwords. shares of verizon down 0.3%. let's check on oil prices. down this morning. down a half percent. wti around 50. brent just below 56.

there's some news today out of russia when it comes to oil. do we expect to hear from vladimir putin. >> we have the king of saudi arabia making his first trip to russia we have announcements of new saudi/russian energy sfrux de infrastructure deals >> how significant is this development of a relationship between the saudis and russians in five years ago it was unheard of over the last year they buddied up a bit >> i think it's very significant. you had a situation in 2015 where the russians were like under no circumstances will we cooperate with opec. the russian energy minister said i question the relevance of this organization in the face of shale. now they are co-managing opec. you have a strong new economic partnership between saudi arabia and russia some are saying this is because

of the vacuum of u.s. leadership in the middle east does it encourage the u.s. on a medium term perspective to up exports to help europe not rely on some of these other regions >> that's the policy that the trump administration talks about, improving u.s. energy infrastructure to allow us to export more. going forward, if you have these two large sovereign producers cooperating on energy, that's a new world order. >> what is the impact for a u.s. producer watching these talks going on between saudi arabia and russia how does it influence the supply picture? what does it mean for production >> if you're a u.s. producer and you want higher prices to incentivize more production out of the bakken and eagle ford, if the saudis and russians are willing to coordinate more on willing to hold back production to boost prices, that's a good thing. they were worried about was russia going to pull out of the deal after march >> so what do we think for

prices now going into the rest of the year? clearly there was more of an issue on oil prices versus some other commodities through most of the summer. oil has recovered. >> oil has recovered the interesting question is do we see something this month that gets us out of this current range? watching a couple issues first, what happens with the iraq nuclear deal. does trump refuse to certify iran as compliant? do you have problems in venezuela? they have $3 billion in sovereign debt due, if they default, that's something to watch. oil is range bound, but you have these stories you need to watch. >> what about the story of what's happening in texas. status on all of those refineries that were shut down during hurricane harvey. how many are back online >> there was so much concern about the infrastructure damage. the imaging was so terrible. what we've learned is that these

companies, every hurricane proved to be a learning curve. they're getting up operations faster than we expected. >> industrial metals soared for part of the summer and then pulled back. where from here? >> we have to watch. we're watching the gold story as well we gold is coming back to more normalized levels >> what does that mean >> 1260 for levels >> we're at 1230. >> yeah. >> thank you mark cuban may be considering a 2020 run here's what billionaire investor told cnbc about a potential race for the white house. >> actively considering is an appropriate way to describe it i'm looking at it. i would say the odds are strongly against it because my wife would divorce me. it's more a family issue than any other issue.

90% it doesn't happen. because family first >> cuban has been a vocal opponent of president trump. 90% he said it doesn't happen. doesn't sound like 9 90%. >> i wonder how many people are considering -- >> all these big business leaders. >> is 2020 going to be the election of big business >> the election of nonpoliticians my reading of that is more like 60% it doesn't happen. he wouldn't be talking about it if it was 90%. when we come back, jeffrey gundlach making a gold call on who should be the next fed chair. this will worry the banks. it's not one we hear about in the top contenders list. we'll name names when we come back without refinancing or selling your home. with a home equity loan,

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welcome back to "worldwide exchange." breaking news, we have some on amazon check out shares of amazon in the premarket, down a third of a percent. the european union ordering the company to pay back about 3$300 million in back taxes to luxembourg the european competition commission says the retailer was given an unfair tax advantage from 2003. this is a drop in the bucket for amazon in terms of the amount, 294 million, but it does signal the eu is serious about going after big technology companies

for back taxes i think this whole idea of antitrust regulation, lawmakers shining a spotlight on the u.s. and in europe on these big tech companies that are -- >> good yes, sir >> that are monopolyish characters, they have become e huge, it's out there >> we'll watch amazon shares that could be part of the story. >> switching focus, must-read stories catching our attention mine is titled trump and the fed. the editorial board writing all of this, their discussion of it, it would make it a stun fer mr. trump bet on the yellen powell fed for the next four years. it would be comparable to promising a presidential

candidate nominating antonin scalia to the supreme court and then nominating a younger version of ruth bader ginsburg so going through a discussion of who the possible candidates could be, and saying if he goes for a loose policy person, it's against what he promised on the campaign trail just to switch focus on that, interesting who jeff gundlach speaking yesterday came up with. it could fit that outsider cob collusi conclusion that the "wall street journal" was touting >> i have a nonconsensus point of view again. i think it will be neel kashkari who is kind of a -- not a trained ph.d. economist, but the most easy money guy in the federal reserve system today,

neel kashkari. that's why i think he might win. >> he also happens to be tough on the idea of bank regulations. that's a huge negative for them. we had not heard that name bantered around. >> cash cakashkari is the indias fed president. he is new. made some political runs his two issues are banks and he's been super easy that's the gundlach point, that trump needs someone in there that wants a weaker dollar and lower interest rates, that's a dovish policy and not the typical kevin warsh policy i'm not sure what insight gundlach has >> maybe he likes the loose policy foe was appointed, he has said in the past banks should not have regulations eased, they should double the amount of capital they should have >> kashkari, yeah. >> that's a terrible position for the banks. >> and against the

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welcome back to "worldwide exchange." the u.s. dollar is coming off of some recent highs. it's been firmer lately in the trade. today off about 0.3% versus the yen. 0.10 verse the euro. the weak dollar has been such a tailwind for u.s. multinational companies that have been hurting off of that stronger dollar over the last few years i'll be watching the impact on pepsico in about five minutes. is the tide turning? >> i don't think the tide is turning. this is, i believe, a correction to what we believe is going to be a much longer term down trend. overall we think the dollar keeps going down into next year and beyond >> it's been rising against the

euro of late, which has pulled back from its highs above 120. we get some more data on that this week, minutes from the ecb. what do you expect >> that will be interesting. we're keeping an open mind we'll watch for how close they are to the quantitative exit the other thing we want to see is how concerned or unconcerned they are about the euro. i think from the policy announcement in september they didn't seem overly concerned. i think all goes well for the fact that we might get an announcement in october, that could see the euro resume the upfriend upfrien uptrend? >> why do you see a weaker

dollar >> the u.s. has been leading the growth in the monetary policy cycle. the thing in 2017 has been that some of the other countries and central banks have come off the sideline, notably canada and then europe and also the bank of england. so there's movement happening here in the u.s., but just as much and maybe even more movement happening overseas. that's why we think the dollar can go down in the context of a gradually and steadily tightening fed policy. what about the yen >> probably going to lag behind. the bank of japan is not making much waves in terms of its policy the only topic discussed is pegging its yield at zero. all the moves shorter along the curve to the five-year maybe steady to slightly stronger against the dollar, but that's an underwhelming performance given how the dollar will be down against most currencies >> nick, thank you for joining us that's it. ten seconds left

pepsi coming up? >> pepsi at the top of the hour. adp report on jobs we'll see if there's a hurricane imctn atpa oth one >> that's it for "worldwide exchange." "squawk box" is coming up nexte, 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.

the rally rolling on the dow, s&p and nasdaq hitting new highs. we'll get you ready for the jobs data president trump sounding off on puerto rico's debt saying wipe it out. we'll show you what he said. and uber paving the way for a huge investment from softbank and pledging to go public by 2019 it's already october 4th, and today is a wednesday "squawk box" begins right now.

♪ live from new york where business never sleeps, this is "squawk box. good morning, everybody. welcome to "squawk box" on cnbc. we're live from the nasdaq market site in times square. i'm becky quick along with joe kernen and melissa lee our guest host this morning is steve grasso from stuart frankel, also a cnbc market analyst. joe is clapping. >> how do we get you >> happy to be here. >> ask nicely. >> so nice i responded nicely, too. >> familiar setting for me here. usually i'm on the other side. >> normally we have to settle for adami. >> come on, we love guy, too he brought you epsom salts when you needed it. >> i like to stir things up.