amazon amazes. the stock soaring to record highs following a monster earnings's beat. we're digging into the numbers. >> biggest healthcare deal ever. cvs to buy aetna for $66 billion. and trouble in toy land. shares of mattel are deep in the red after an earnings miss we'll tell you what happened there. it's friday, october 27, 2017. "worldwide exchange" begins right now. good friday morning.

welcome to "worldwide exchange." i'm wilfred frost. >> i'm seema mody. >> happy friday. happy to have you with us. the futures at this hour are pointing a little bit higher, up 42 points for the dow. 72 for the nasdaq. a a big jump in tech stocks. the s&p 500 up some 9 points for the week as a whole, the nasdaq is 1% the s&p is down 0.6% the dow is up 0.3% as we come into today it has been quite broad, if you look at some selling in the s&p. 9 out of 11 sectors are down week to date telcos very much at the bottom of the pack, down 3.3% a bunch of big tech companies moving higher. following earnings amazon, alphabet, microsoft and intel all firmly in the green, as you can see more on those numbers in just a moment that move in amazon, the stand

out, up 7 %. >> first big deal news hitting overnight. cvs is in talks to buy aetna for $66 billion, making it the biggest healthcare deal ever bertha coombs is here with more. what's behind this deal? this seems like the tail waging the dog, but the deal makes sense in an era where healthcare customers want seamless services that lower costs and provide better value service with a market cap of $7 billion looking to buy aetna this morning aetna has a market cap of $59 billion after it was reported they were talking for months this would value the deal at $66 billion, making this larger than anthem's failed $54 billion bid for cigna and

aetna's bid for humana merging the two companies would put the firm on closer footing with united health for cvs, it strengthens its fight against amazon getting into the business. the merger would also complicate cvs's new five-year deal with anthem announced last week to support its pbm. >> you mention they could have been talking for quite awhile in thinking what the catalyst is for them to move forward with the deal, you mentioned amazon potentially entering the pharmacy space is that a catalyst also the way president trump has piped up havenrecently about sln

drug companies is that it >> it's more than just the landscape of competition you have united health that has all these pieces together. they a formidable pbm that can offer you other things you have the competition between cvs and express scripts. there's more focus on the middle men and what they do with regard to costs whether they drive them down or up for the insurers, you can't be a stand-alone insurer anymore. you have to offer more services. because what people want is something where they say i know i'm getting a continuum of value. >> i was going to say, investors clearly like this deal what does it mean for consumers and us who buy drugs from cvs >> would mean potentially you would be able to get a situation where if you had a plan with

anthem, you with already under the cvs pharmacy benefit network and you could get services as well they could turn some of those stores if you look down the line, the front of store, where they're selling potato chips, things like that that are not doing as well, they could offer more services, more clinics, expand those clinics, have primary care really become more of an integrated health system >> thank you very much for that. >> aetna shares are flat today >> clariant and huntsman are calling off proposed $15 billio merger the two firms will not have to

pay break up fee in earnings news, big moves from the tech companies amazon shares hitting an all-time high after the company reported much better than expected earnings on a record 34% increase in revenues it's up 7% in the premarket. alphabet beating the street on the top and bottom line. the companygetting a boost fro mobile ad revenues that's up 3% the company offering upbeat guidance that's up 4% intel raising its full-year guidance on strong performance by its data center business. it's up 2% let's bring in lindsay bell, investment strategist. good morning to you. the pace of growth given the size, truly extraordinary.

>> it's very extraordinary when you exclude whole foods and other one-time items is impressive driven by the prime base you're seeing good results coming out of retail going into the fourth quarter holiday selling season aws up 42%, now 11% of revenues for the company. it's an impressive report, and guidance in line with expectation expectations >> expectations wi s had been h coming into the report these were the best performing stocks in 2017 is it time to allocate more int the sector >> i thought we would see a potential sell and news type of event. we saw that with the banks stocks ran into the earnings reports, they were good reports. and they sold off. i thought we might get the same effected from the tech stocks.

>> old tech and new tech is performing well. talk about the two of them and the perform plaance overnight intel doing well as well as the alphabets of the world >> i think intel, microsoft both did very well. intel, the chips they sell, they were actually flat people expected that to be down. that was a good number then we saw memory doing well. tech is able to hang >> looking at the four names reported overnight, is there one that looks underpriced despite the rally that we've seen? the valuation compared to some others is good the cloud business, azure, it's passing aws finally.

that run rate was a key number for them this is something you can get involved in. >> price to earnings, it looks okay >> yes yes. that's better than what you're seeing across the sector think about amazon >> spin us forward today and next week what are the key names you're looking at? >> today, chevron and exxon will be the key out of the energy sector growth is expected to be the highest for the sector but they're coming off weak results. 138% growth for the energy sector 50% of companies have reported so far beat on the bottom line that's enamic. the bar has been set higher for the companying going into today. we have seen earnings expectations go up great summary of the earnings news lindsay bell with cfra research. don't miss the intel cfo on "squawk alley" today at

11:20 a.m. eastern time. in other earnings news, shares of mattel are deep in the red following an earnings miss landon dowdy has more on that story. >> shares of mattel moving lower after the company posted disappointing third quarter results on trouble in toyland. mattel reporting earnings per share of 9 cents, well below the 57 cents the street expected the toymaker said they would sus te suspend the fourth quarter dividend mattel also pointing to weakness in its core brands american girl doll brand growth sales took 30% in q3 the mattel ceo saying the quarter was clearly disappointing led by slowing sales in north america and tighter retailer inven totory management shares falling about 25%

initially on the news. the stock is down about 18% in early trading. back over to you >> thank you very much for that. other stocks to watch, ubs shares are rising on a 14% increase in quarterly profits. the swiss bank saying it saw good results across its divisions with asia pac as an important driver as its growth shares jumping 1.5%. quite contrary to some of those european banks we saw yesterday, barclays and deutsche bank falling. rbs reporting better than expected results for the third quarter. the bank still sees an overall loss for the year resulting from a multibillion settlement with the justice department over mortgage backed securities volkswagen lifting its profit guidance this year. the firm benefiting from cost cuts in its core auto division up 1.6%. shares of dbaidu deep in th red after meeting expectations,

this is the google of china becaming lost e inine inine ini to the communist party conference. and expedia reporting losses due to the hurricanes and natural disasters. weather did have a big impact, and that stock down more than 13%. gilead reporting an earnings beat shares are lower after the drugmaker offered a light outlook for its hepatitis c franchise. still ahead, dialed in on apple. the company beginning to take preorders for the new iphone x we'll have more on apple's big day. and the u.s. government unsealing a small batch of never before seen documents on the assassination of president john f. kennedy we'll tell youhat ey wth show when "worldwide exchange" returns. for your heart...

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slight declines. france and germany up nicely and continuing to add to those gains. u.s. futures are positive. nicely positive for the nasdaq because of those tech earnings the dow is up 41 points. as we look at things for the week as a whole, we have red on the screens for the nasdaq and s&p. the dow holding on to a slight gain coming into today's session. we'll see if they can overturn those losses seem ma? >> a lot of stocks in focus today. look at wynn resorts posting a beat on the top and bottom line. the ceo addressing the mass shooting at his las vegas property saying it did not measurably hurt business. first solar beating the street two projects helped bolster the solar equipment company's

results. and deckers outdoors saw its earnings climb by 24% in its latest quarter the maker of boots pulling itself off the block after finding no suitors interested in buying the firm. some other stocks to watch, france's total reporting a 29% jump in net profits after strong output and cost savings. net profits came in at 2$2.7 billion, in line with expectations up 1.5%. exxon and chevron report today western digital shares were under pressure after the company took down estimates for the current quarter. the chipmaker posting better than that and beating expectations, down 2.6%. shares of apple. today is the day customers can preorder the iphone x. the newest model will be officially available on november 3rd. it's up 0.6% but don't forget, of course, the nasdaq is up nicely this morning. maybe it's in lieu of other tech

earnings this morning as opposed to hopes for the iphone x. still ahead, a new batch of documents on the jfk assassination were just released they're already causing controversy in washington. more on the unsealed records and what we've learned straight ahead. as we head to break, here's today's national weather forecast from bill karins. good friday morning to you all eyes on what happens in the caribbean over the next 24 hours, this is heading up the east coast this weekend. doesn't look like it will be become a hurricane or tropical storm. could be a tropical depression it will send moisture through cuba and into south florida by sat. we could have minor flooding, some downpours not expecting a lot of damage. then this cold front that reaches the east coast meets up with this and forms a strong storm this weekend, especially sunday looks like a big rain event for the mid-atlantic during the

afternoon, new england as we go through sunday evening. there could be strong winds with that we have to keep that in mind 3 to 5 inches of rain. a lot of leaves coming down and flooding issues on the smaller rivers the rest of the forecast, still watching that snow in minnesota wnhrghs the cold air funnel do tou the middle of the nation more "worldwide exchange" when we come back hi, i'm the internet! you know what's difficult?

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u.s. futures pointing to a strong session with the nasdaq in focus, up 73 points in premarket trade, helped by gains seen by alphabet, amazon and some other tech names that reported overnight looking at oil prices. which have really been trading in a narrow range. we're down by two cents. ice brent crude at $59.26s an update on those devastating california wildfires. the catastrophe modeling firm, air worldwide estimates insured losses will be between 2 billion and $3 billion the fires started earlier this month and consumed 170,000 acres of land and destroyed more than pa 3500 structures. and the national archives releasing 2500 records on the assassination of john f.

kennedy. let's bring in tracie potts from washington with more on this story. >> good morning. it's a lot of stuff to go through. some of it has been out there. just over 50 pains of w50 pages got overnight was new. one a memo written b fbi director j. edgar hoover, that memo written on the day lee harvey oswald was killed another concern was that the police did not protect warren. the warren commission did determine that oswald acted on his own. thousands of documents were dumped late last night our folks are still going through that information notably there are thousands of

pages that were delayed and have not been released for national security reasons the president is urging the fbi and cia to go through them in the next six months. the cia said there are names of agents, former agents, methods and partnerships still relevant today, and that's why they need to take more time to go through the information. >> given that at least part of this potential release could affect national security concerns and given the delays what is the view of the president's decision to release it either way? are people questioning whether it was the right move? was it short-sighted or are they welcoming it because it's in the interest of the public to know. >> it's in the interest of the public and also a half century of curiosity about what was going on with the warren commission, the fbi, the u.s. government a lot of this information was already out there but redacted

some of it blocked out that's why they're try going through it more carefully. there's there's frustration. critics have said the government had 25 years go through all of this stuff they should have redacted everything by now and got everything out on time looks like that won't happen it will take another six months. >> tracie potts, thank you very much for that update still to come, the top stories and round up of the global markets and a blockbuster bid. cvs in talks to buy aetna for $66 billion. more on that proposal when "worldwide exchange" returns i love you, couch.

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shares of amazon, alphabet, microsoft and intel surging after posting strong results blockbuster bid. cvs looking to buy aetna in what could be the largest healthcare deal ever. plus uber just made carpooling a little easier we'll tell you how it's friday, october 27, 2017, you're watching "worldwide exchange" on cnbc. ♪ good morning warm welcome to "worldwide exchange." i'm wilfred frost. >> i'm seema mody in for sara eisen. >> you think i'm too loud? >> no, i like it loud. i appreciate the energy and the passion.

it was just a surprise a good surprise. good morning again let's look at the global market picture. we are looking at declines week to date for the nasdaq and the s&p coming into today. down some 0.6% for the s&p, and 9 out of 11 sectors are lower there. the nasdaq down about 1% coming into today the dow is higher for the week as you look at things now, big gains for the nasdaq, some 74 points the dow and s&p also higher in the premarket. perhaps we can end the week on a positive note based on some of those moves. why is the nasdaq high a bunch of tech companies reported earnings. amazon, alphabet, microsoft and intel moving sharply higher. amazon up by 7.5%. we'll have more on those earnings in a moment ten-year treasury note for you also moved higher. that led to a decent move higher in the dollar. 2.45% as you can see continuing that trend over the last month of yields going

higher main reason for that was the house passing the budget vote and i guess with that increasing hopes of tax reform being possible a positive session overnight in asia with chinese stocks and hong kong stocks heading for the highest close in two years this comes a week after china wrapped up a major political event take note of the move in japan a fresh 21-year high for the nikkei, surfacing 22,000 ahead of an important bank of japan meeting next week. hang seng higher by 0.8% in europe, some economic data that traders are digesting. the french consumer confidence pulling back on uncertainty. president macron's reforms getting much more scrutiny overall, the dax has been the big outperformer over the past

12 months. the ftse 100 up about 7% as for broader markets, oil prices are up about a percent yesterday, up about a percent and a half for the week. giving up 0.2% this morning. 52.5 for wti dollar board jumped a nice percent or so yesterday as yields rose. today, not much happening against the euro and the yen the pound slipping about a half percent. it had a decent couple of days after better than expected gdp there's been some negative forecasts on house prices today. perhaps that's playing into it the pound up 1.309 gold prices for you, pretty much flat for the day. down fractionally, 1268 for the week as a whole. cvs in talks to buy aetna for about $66 billion that would make it the biggest healthcare deal ever. the move comes as the drugstore looks to compete with amazon which has received approval for

wholesale pharmacy licenses in several states with aetna, cvs could lock in a huge number of members for its pharmacy benefits management arm as well as customers for its drugstore. both off slightly today, but big gains yesterday. >> amazon is an important part of the story given its venture into prescription drugs and drug distribution, but at a time when healthcare policy is still uncertain when looking at the recent developments out of washington and congress. . >> also just neating to co innee with the beast known as unite and cut costs. amazon saw its sales surge this summer. profits topping expectations the online retailer saying this is thanks to busy prime day promotions and the success of grocery sales at the newly

acquired whole foods alphabet reporting stronger than expected results the advertising sales and operating margins topped analyst forecasts that stock up 3% in early trade. intel beating the street the chip make ser raimaker is rs full-year profit and guidance. microsoft posting better than expected quarterly profits. among the reasons, high demand for its cloud computer service and the pc software business stabilizing. shares of mattel are down 13%. shares of baidu deep in the red after meeting expectations, this is the google of china becaming blaming lost ad sales to the communist party

congress it slipped 8.5%. we're following a developing story in spain the catalan parliament is expected to hold an independence vote today this as spain's prime minister asked congress for special powers to take control of the autonomous region. joining us on the news line from barcelona is michael stothard. update us on the latest developments on what has forced the catalans -- in their mind, forced the catalans to what they view as an illegal vote in parliament. >> it's extraordinary scenes in barcelona. on one hand we have the catalan parliament who are set to vote on a motion which just has been put forth to declare an independent sovereign state. declare the semiautonomous region an independent state. at the same time nn n in madrid

they are preparing to ratify and take almost total control of catalonia, over its police force and ministries and to depose the government it's a huge escalation in this simmering conflict and there are many scenarios about what will happen next. it's daggers drawn here. >> in the catalan parliament there is a majority of secessionist members so that vote is likely to go only one way do we have a latest view of if there was another referendum in catalonia and turnout was high, which way it would go given all of the conversations of the last couple of weeks, all the threats, the business. does the catalan parliament really represent the views of broader catalonia? >> the broader views of catalonia are roughfully split the independence question.

there is going to be another regional -- there's going to be another regional election within six months now and the latest polls say that despite all of the chaos of the last month or so, actually results will be very similar to what happened in 2015, which is a roughly 50/50 split of people who want independence, people who don't want independence handing a slim majority to the independence movement giving them a large number of ministers. this whole crisis will rumble on for years to come regardless of the measures over the next few months >> if this new referendum happens what will spain's response be? they said they will seek direct control. what is entailed in that move?

>> direct control means ousting the entire government, imposing ministers from madrid to run all the various departments. they'll send new people to run the police, to run the public tv channels just to be clear, this will happen regardless of whether the catalan parliament declare independence today what's in play in terms of the declarations today is symbolism. but also if they do go ahead, it means that they could be facing even more legal consequences so there's talk of puigdemont, the president of catalonia, being arrested immediately and sentenced to 30 years in jail. that's an immediate consequence if they do declare independence. >> just quickly, why aren't markets reacting more significantly? yes, spain's index is down 0.7% today. it's only down 0.9% over the

last month in fact, up a half percent over the last week. why are we not seeing a bigger reaction there's huge symbolic significance of this markets seem fairly relaxed about it >> the reality is that catalonia is not going to become an independent state. that would be the nuclear, chaotic scenario we're seeing a protracted period of mild unrest or potentially serious unrest which hurts tourism in the region. it's not cataclysmic, and catalonia is a fifth of the economy, and the businesses are incredibly diversified, only a few of them, namely the banks, have significant parts of their business in catalonia that's why

we have not seen a strong market reaction >> mike, thank you very much for that mike stothard of "the financial times. the crown has its new queen elizabeth. netflix casting olivia coleman to replace claire foy in the lead role for the next two as soon as. because the crown is meant to showcase the queen's entire life, netflix executives said they will cast new actors every few seasons to account for the years passing in the show. it hasn't been announced whether or not the next series has been commissioned but it leaked who the production company wants to hire in the lead role if it is commissioned. >> really enjoy claire foy's performance in season one. she received many awards, including a golden globe for outstanding performance. a gene actorscreen actor guild'd >> the second season in about a month, early december.

i look forward to that >> i do, too. >> potentially more seasons. >> netflix is teaming up with snapchat to celebrate the season debut of "stranger things. the pair is running a first of its kind 3-d lens that is a portal into the living room from the show the lens is an artificial intelligence filter allowing users to walk around and explore different elements of the room this is seen as an innovative way to get more brands to sign up for snapchat and use it to advertise content. we'll see if it works. >> the lens filter thing is a new fad. i have not gotten into it myself >> sure. they roll out the full augmented reality effort in september. the most expensive rolex ever has fetched 17$17.8 millio, setting a new world record for a wristwatch sold at auction the rolex used to belong to actor paul newman. the buyer has not been identified the winning bid was placed by

phone. the auction house calls the piece the most iconic collector's wristwatch of the 20th century is the seller paul newman? >> no. that's how it started. we were always worried about the apple watch, the debut threatening -- the luxury watchmakers would be facing competitio competition. >> not for this anonymous buyer on the phone >> yes exactly. >> what's trending this morning, uber launching a new feature to make sharing a ride with friends easier the company adding a feature allowing riders to make up to three stops along their trip app users can tap where to and a plus sign to put in the addresses of their stops this update i do like. i've been in the car with a friend and you need two different locations it increases the level of interaction with the driver

i wonder if that's on purpose. >> i agree this is important if you try to divert the driver during it, they charge you full price new route adjustment this is something people will welcome. >> still to come, what amazon has in common with a famous '90s romantic comedy. today's must reads are ahead first, as we head to break, a look at where european equities are trading.

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welcome back to "worldwide exchange." i'm wilfred frost along with seema mody time for our must reads. my pick is in "the financial times. it's titled amazon sleepless in seattle. the take on amazon's earnings. lots of good stats and perspectives packed into it. this particular line jumped out. this quarter amazon's accelerated to 34% growth, and forecast 28% to 38% for the fourth quarter that's the fastest pace since 2011 amazon is now growing more quickly with 160 billion of sales than it was with 48 billion of sales extraordinary numbers last night. great stats in it from the column and their take. >> and driven by cloud that wasn't the case for just amazon, but for microsoft and google aws, that come component growing

year after year. that stock up now 40% so far this year. my pick is in the "washington post." it is titled we obsess over trump, china making history. this says xi's speech is important because this party congress is clear he's no ordinary leader. he went into a second term in office without naming successors, thus maintaining a grip on power far more secure than his immediate predecessors. this comes off of two weeks where there is a major political event for china. key selections were made that could have an implication for chinese economic policy. anti-corruption efforts, didn't receive as much attention as i would have expected. >> we were focused on it ourselves, but i agree, this is a huge aspect. it was the reconfirmation i suppose of what was expected that's, i guess, partly down to it couldn't agree more. this is the anointing of the

most powerful chinese leader since chairman mao it doesn't get the same level of focus stateside. >> setting the stage for president trump's trip to asia and his meeting with xi, where north korea and trade will be the big topics of discussion >> i think as things relate to the market, that this, even if you question president xi increasing his power without a vote, all of those arguments, for the market this is good news it allows them to continue on his economic reform path >> highest close in two years for the shanghai composite. still ahead, we're gearing up for the final trading day of the week with futures pointing to another high open stick around "worldwide exchange" will be "worldwide exchange" will be right back my ambition? and teaching my kids that no ambition's out of reach. ambitions live everywhere.

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joe joins us from new york with a look at what's coming up >> hey, wilf when we get a big business ned line like that, it's cool for us "wall street journal." this is a big deal interesting and, you know, i got to think about it. i have to read it, talk to people that follow the industry closely. we have anna gupta, senior healthcare analyst when amazon was about a month ago or six weeks ago we heard -- got wind of amazon think being pharmacy benefit type stuff. we started thinking what could that cause to happen with -- will amazon do it? what will it force other companies to do? amazing this is the -- >> it's huge >> partly because of amazon that cvs and aetna are looking at this it's interesting amazon, i was thinking, i don't know, you know how my mind works -- >> no one quite knows. >> 500,000 employees, 200,000 of

them were this year. that's a company we worry about, you know, technology replacing people, but i wonder if it's not the idea that maybe it takes three people to, like, maintain a robot. >> and over 50 cities pitching to be their backup office. >> maybe we're not all going to be put out of business i was thinking because of you, wilf, it might be great to be over here in this country where everything is happening. when is the last time that something -- where is the uk's amazon you have done anything in the last decade or -- >> i'm pretty sure arm holdings was taken out at a massive premium. >> there's one you got one. i went to the muse have you guys been to the royal muse you guys make those carriages

beautiful. intrica intricate, inlaid gold >> the royal muse? what is the muse >> it's these beautiful -- go all the way back centuries, all the way -- >> i know what a muse is what is the royal muse >> that's where they're all at it's a museum in the center of london >> i know what a museum is >> that's -- >> i thought you meant a cobbled street >> that's where i had to go back to to figure out where you were really -- what else is going on over there anything >> i think we'll be just fine, joe. we'll be just fine >> i think it's really good you came over here >> i agree with that i don't quite agree with your reasoning. >> aren't you where the action is now am i lying about that? you're where the action is >> i think america is always where there will be a lot of action, but great britain will remain the greatest country in the world. america, close second. i'm delighted to be here we'll have to leave it there i'm imagine people are bored of

this conversation. >> bored or insuggelinsulted >> today's wall street agenda, we will get our first look at third quarter gdp at 8:30 a.m. eastern, followed by consumer sentiment at 10:00 a.m on the earnings front, chevron, exxon, merck, abbvie and colgate. let's talk about the trading day ahead. steven whiting joins us from citi private bank. let's kick off with the tech earnings were you pleasantly surprised? were you pricing this in already? >> let's remember one thing, every single quarter since 3q 2009, earnings have beat estimates. it's amazing to see stories that analysts expect a slow quarter or a drop. it's every quarter we get massive beats the tech sector is growing rapidly. the good news we're seeing here out of the i.t. sector, this is the area where you see the strongest earnings, strongest returns. this is not a market place where

companies who don't make profits for year after year, those that are failing are still doing well this is a rational market. i.t. is leading. it's not just here think about china and some names that are catching up in terms of market cap globally i.t. is doing well. >> still too late to be a buyer of technology given the rise in the stocks >> i think the near-term, we're getting some interest rate pressure, getting some rebound in the u.s. dollar so cyclical value stocks might outperform for a short period of time, but the general regime we're in, where companies can come to dominate their industry, transform industries, there's losers on the other side of that we had amazon overnight. think about the department store retailers. maybe they bounce back they filled the 2010 levels this year what we find is this can persist for many years the incumbents don't give up they stay there for many years >> good numbers from total this

morning over in europe what do you expect from chevron and exxon? >> the energy space is in a cyclical rebound we shouldn't confuse that with long-term growth we're probably going to be in a volatile trading range for years on end as shale oil supplies still affect the global marketplace. we're optimistic for the coming year, very different from long-term growth >> global markets, though, resilient. just looking at the japanese nikkei, fresh 21-year high chinese stocks doing well. does that indicate investors are trying to look abroad for more opportuni opportunity? >> that's the story of the year. were you think we've seen the strongest returns, up 30% in emerging markets that's coming from way behind. in terms of the performance of the last few years that's where we will be much more excited emerging market stocks trading below long-term valuation. everyone looks at u.s. stocks i

credibly high. but this near-term period, where we underestimated the fed, underestimated the possibility of tax cuts, we still have this uncertainty about whether we're going to take a new path in terms of monetary policy with the fed chairman choice, those three things are key issues that end up powering the u.s. dollar. >> key issue for investing overseas is what the u.s. dollar is doing yesterday a decent jump, about a percent or so off the back of the house voting through the budget does that give you confidence that tax reform will be delivered on? they managed to get the budget done >> i think the markets underrated the probability that the left common denominator, that some tax cut package can pass markets are depending more on it you can see what's happening to domestic small cap stocks over the last month now it's more of a requirement to deliver on them >> great to see you as always. steven whiting of city private bank that's it for "worldwide exchange" what are you watching today? >> chevron, exxon.

the big tech names >> energy names what will the nasdaq do? down a percent week to date. can it end on a positive note? that's it for "worldwide exchange." witness katy perry.

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a blockbuster deal in the works. cvs in talks to buy aetna for 6 $66 billion. dramatic stock moves amazon, maybe we'll see that about 100 times today t factosh factors into the big cvs deal, aim s alphabet up in a big way, but

mat te mattel plummeting. and we have a couple of earnings reports, merck is the first one up it's friday, october 27, 2017, "squawk box" begins right now. ♪ >> live from new york where business never sleeps this is "squawk box." good morning. welcome to "squawk box" on cnbc. we are live from the nasdaq market site in times square. so happy today >> that is for us. >> i think they thought andrew was here i do it's not andrew. it's ed. that's when they play three's company. >> they play happy together again. i'm becky quick. joe kernen is here andrew is not here he'll be back on monday. he's on assignment today joining us is ed lee, managing editor at recode good thing you're here we have lots of technolo