rally on stocks sore to record highs as investors cheer tax reform. and north korea test launches a new ballistic missile that it says can hit the u.s we're live on the korean peninsula with the latest. and the incredible run continues. bitcoin blasting through the $10,000 mark it's wednesday, november 29, 2017, "worldwide exchange" begins now ♪ good morning a warm welcome to "worldwide exchange" on cnbc.

i'm wilfred frost. >> i'm morgan brennan in for sara eisen >> good morning. let's get straight to the market picture. resounding performance yesterday. the dow and s&p up 1%. the nasdaq up by a half percent. banks really soaring, sort of perfect storm for them yesterday. the new fed chair talking about raising interest rates, also talking about not increasing bank regulation, reforming the volcker rule and progress on tax reform banks disproportionately pay full tax rates, that's why the russell soared 1.5%. >> transports, too >> transports as well. good day across the board for risk assets. it's good for the dow, good for the s&p, up 48 points or so on the dow. the nasdaq is just south of the flat line, down 6 points bitcoin surging to a new record high, above $10,000 over night it surged as much as 4.4% earlier, now 8%.

so it's 10,700 in asian trading hours. it's capped more than ten fold increase now this calendar year. extraordinary run continuing up 9% 10678 9%, 10,700 almost 11,000. >> i wonder how much you can buy with bitcoin when it's priced at $10,700. it's a have we miss the run type sentiment. >> we're following a developing story out of north korea that nation test launching a new intercontinental ballistic missile that it says is capable of hitting washington, d.c now, president trump condemning the launch yesterday afternoon afrn >> a missile was launched a little while ago from north korea. i will only tell you we'll take care of it we have general mattis in the room with us

we had a long discussion on it it is a situation that we will handle >> it is a situation with an altitude of 2800 miles, to put that in perspective, that's almost 11 times higher than the international space station. so this is quite a development so let's get more on this story. cnbc's chery kang is live in seoul with the latest. >> reporter: certainly north korea went for the global attention, in the only for the missile test, the missile that managed to fly higher and longer than any of its previous shots, but also making that important announce the going for the global attention and also certainly looking like it's going for that higher leverage in potential negotiates with the united states. i say that because it also managed to add that these weapons will be used for defending itself, and it also highlighted that it wants to be

recognized as a nuclear state. so i think putting two and two together, it certainly looks like it's going for the higher leverage and going for the prestige of being able to negotiate with the united states do note we're in a state where we need to further verify its nuclear and weapons capabilities there was that "washington post" piece citing a scientist from ucs saying that a fake warhead might have been mounted, a fake pay load might have been mounted on that missile in order to go lighter, so that it can go for a longer range here. at this point a lot of questions to be asked. but certainly north korea wants, again, to be recognized as a nuclear state, being able to negotiate with washington directly back to you. >> this is the 20th ballistic

missile test by north korea this year alone what is the sentiment on the ground how are south koreans reacting to this, if at all >> well, i've been saying this all year long. actually for many years since i've been covering the korean markets. south koreans are very much sanguine about the north korea story. yes, there are -- they're watching the news, they're talking about it, especially with the latest round of north korea tensions because what we get out of the u.s. administration was quite different. it was quiteuncharacteristic o washington's leadership. but certainly it looks like business as usual. i just landed here, but certainly people are just going about their business as usual at this point >> chery kang, thanks for joining us i think we'll speak to you later in the hour as well. you mentioned people going

about their business similar situation in asian markets today. >> indeed. not taking much of a decline a bit of a decline in australian markets. otherwise small gains for the likes of japan and south korea is fractionally lower. if we look at european markets a decent session apart from the ftse 100 where a stronger pound thanks to developments on the brexit negotiations has hurt the ftse's performance the ftse was up 1% yesterday the rest of the index higher and the pound stronger because of news that the uk and the eu may have reached an agreement in terms of the size of the divorce settlement and allowing negotiates to move forward for future trade arrangements. >> turning to broader markets, looking at the oil board, we are seeing red arrows there as well again today.

wti crude down to 57.64 still near the two-year highs we hit at the end of last week. this ahead of the opec meeting today and tomorrow as we got a bigger than expected inventory build here in the u.s., ice brent also lower, 63.24. nat gas up to 3.19 as we go into what is expected to be a cold winter looking at currency, we have the dollar weaker against the euro also weaker against the yen. the pound has been the dbig stor within currency, going back to the latest in these brexit divorce negotiations >> moved about 70 basis points yesterday when the telegraph and the financial times reported that story at about lunch time here yesterday, adding another half percent decent.25% move over the last 24 hours. turning to politics, the senate

budget committee advancing the 1$1.5 trillion tax plan the stock market cheering the move good morning to you, jimmy interesting to see such resounding moves in stocks yesterday. banks, small caps all reacting strongly clearly this is a positive development we saw yesterday, but still plenty of senators opposed to it. >> there are senators opposed to it they're worried about the change in healthcare or worried about the deficit, but one can't think that they really want to get to yes, which is a different vibe than the healthcare bill. i think that's one thing markets are looking at they think the senators want to get this bill through, they want to get it passed certainly the momentum looks to be gaining in that direction >> does senator corker want to get it through or is he opposing the president for the sake of opposing him

>> i think he does want to get to yes on this he has some deficit concerns, which now they added a new wrinkle in which there might be a trig their if the bill doesn't generate the kind of revenue they think, there might be a tax increase it's exactly that kind of last-minute change, which is why it's not 100% this bill passes, because you added a new element. no one knows what this trigger looks like exactly, how it would work there's still some problems here, things that need to be ironed out again, it's more likely than not. i don't know if the odds are 80% like gx thinks, but more likely than not the bill gets passed. >> there's question marks around the trigger, what happens with the healthcare mandate, with the deductions on the state and local levels that are being discussed, that $10,000 deduction. what is the timeline here? i know the senate is looking to move this through by the end of the week could we have tax reform by

christmas? >> i think they would like to get done before christmas. they would like to take a vote as soon as possible. you also have this senate seat in alabama in play i feel there is -- the clock is ticking. they do not want to have conversations about the state and local tax deduction or triggers in the middle of january. so i think they certainly feel like there's -- like time is of the essence. that's why they're pushing this thing hard all the issues you just mentioned are things that could delay or derail this thing >> if it does get done, does the president himself then have the wind at his back how much of a boost would it give to him if he kicks off 2018 having this achieved? >> this is a big achievement we can debate how much growth

impact it will have, what the impact is on deficits down the road, but this is the first major legislative achievement of this presidency. it's a big one and obviously it's one republicans including the president think they need to have they view this as an existential issue, especially heading into the mid terms. it's a tremendous win. >> jimmy, thank you very much for joining us >> you bet at&t firing back at the justice department for blocking its proposed merger with time warner landon dowdy is joining us now with more. >> good morning. that's right at&t tearing about the justice department's arguments in a court filing the telecom giant saying it's proposed $85 billion bid for time warner is pro competitive and pro consumer it says an explosion in programming has created a golden age of television, and it's deal

would do no harm to that in a statement at&t says we offered the department of justice a variety of solutions which are consistent with decades of precedent and vertical mergers and we believe any divestiture of assets is not needed look at the stocks this morning. at&t down slightly timewarner up about 1% in earl trading. back over to you. cineworld is in talks to buy regal entertainment for about 3$3.6 billion that's $23 a share cineworld is europe's second largest theater owner. if they do that, i think they should keep u.s. popcorn but bring over british candy >> i would be down with that >> it would be the perfect move. >> the british cadbury >> but cineworld in particular

has a great candy section. >> okay. >> that's just my take on that particular deal. the market seems to like the regal side of it cineworld slipping quit somethiquite significantly in uk trade. marvell technologies latest results beat forecasts the company cites strong demand for its networking and connectivity chips. autodesk reporting a smaller than expected quarterly loss but also announced a restructures that will cut about 13% of the work force there's a trio of economic reports and lots of fed speak expected today the second estimate on q3 gdp is out at 8:30 a.m. eastern that's followed by pending home sales at 10:00, and the beige book at 2:00 janet yellen is testifying before the senate joint economic committee at 10:00 a.m., we'll hear from new york fed president

bill dudley and san francisco fed president john williams today. tiffany reports quarterly results before the opening bell. after the close, we'll hear from workday and box. getting to the end of earnings season here. haven't heard from fedex yet >> when do we hear from them >> in december that's the last big tee up ahead of the final weeks of the season >> they're late. they report late still ahead on "worldwide exchange," oil front and center as opec ministers gather in vienna we're headed to that meeting live for a preview and later, we're seeing jay powell facing his first big st we'll tell you how he did when "worldwide exchange" returns to? how about some of the lowest options fees? are you raising your hand? good then it's time for power e*trade

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no! no! yes! yes, indeed. amazing speed, coverage and control. all with an xfi gateway. find your awesome, and change the way you wifi. good morning welcome back to "worldwide exchange." let's get you up to speed on the market action. a mixed picture, but a decent picture for the dow. the s&p is flat. the nasdaq slightly lower. yesterday we saw leadership from the dow and the s&p, both up about a percent. the nasdaq up about a half percent. the market cheering developments on tax reform, also some comments as well about possible deregulation or not increasing regulation from the new fed chair, jay powell. that allowed the banks to lead the market higher yesterday. oil prices did slip yesterday, 0.5% slipping again today, 0.8%,

still 57.5 for wti standing relative to where we were some months ago opec ministers kicking off a closely watched meeting in vienna steve sedgwick is there and has the latest >> good morning. yes, very interesting meeting as ever because if we take a step back they had a very, very good year. the policy which came in one year ago to the day has worked beautifully. they have the oil prices up significantly over 30% they have a six handle on the overall price of the worldwide market, which is brent and they're happy with things as they are but are storm clouds brewing because of dissension in the ranks between russia and opec? dissension on how to fight the threat of shale going forward? a couple weeks ago there were hopes that a done deal for the rest of 2018, the extension of the current cuts of 1.8 million

barrels a day were in the bag, just a bit of eroding if price because of concerns. i spoke yesterday to the uae's energy minister, i asked him what the plan was going forward and what we thought were the likely scenarios let's listen in. >> we are waiting for -- to meet with everyone. so, it's not practical to give you what is going to be discussed before the discussion. what we can tell you is we will discuss several scenarios. among them the extension for the whole of 2018. but that is not the only option that we will discuss we'll discuss as well other options. >> as you know, it's all about message management as well it's one thing to say we'll do x, but it's another thing convincing the market there's conviction behind it not only do they need to say we're there for the long term, we're there until we get this excess inventory, but we're not

seeing wavering in the ranks if the market doesn't get a strong message on the latter point, we could see a continuation of the selloff. there are some vested interests in some countries, including rosneft and lukoil who want to abandon this deal and go head to head with shale again. they see shale taking market share in key areas like china. china, no one in the u.s. was selling anything to china in 2016 this year they have grown the volume, they've grown it aggressively, now it's more than a minor irritant, it's become a threat to sales from russia and owe poke pec and china. it's a delicious mix, there's questions about demand growth for 2018 that you have to put into the equation. >> do the geopolitical developments across the middle east, particularly in saudi arabia, come into play at this

meeting or is it separate and the oil ministers are sitting down as opposed to the foreign ministers and country leaders and just sticking to the facts and their brief? >> that is an interesting question it's something i wrestled with isn't it amazing you can have dissension between iran and iraq or iran and saudi arabia that can be left at the doors of the secretary? i think that's the case at the moment yes, there's brewing tension between a more assertive saudi arabia and indeed what iran sees as its right to grow oil share i believe for the moment iran is on board with the current policy, because let's face it, it has boosted their revenues as well at a time when they desperately are trying to rebuild their economy and are concerned about brewing issues of sanctions i think it's quite amazing, y they can leave those rivalries behind another key rivalry between russia and saudi are on different sides of the syrian dispute. very interesting how they manage to do that

>> steve, great stuff. thank you very much for that i'll send you a video of matt dawson's greatest hits to prepare you for tomorrow morning. we look forward to the coverage. >> certainly that idea of a delicious mix that seems so be the focus, higher prices versus price stability in crude oil it will be interesting still to come, food for thought. dominos targeting pizza-loving parents, while googlegives the burger a big makeover. the top trending stories when "worldwide exchange" comes right back ♪ ♪ ♪

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welcome back to "worldwide exchange." i'm wilfred frost along with morgan brennan time for our top trending stories. stars are rallying together for a music festival bedstock kicked off yesterday. it's an online music festival where artists perform from their beds to show solidarity for kids with children. sounds like a fabulous idea. it was well executed >> i love everything about this. huge news for pizza loving parents. dominos is launching its own baby registry. growing families can sign up on the site and select their preferred gifts and share the list with their loved ones among the featured products are food packages called hormonal and hangry and newborn lockdown. the company is also selling

merchandise saying spapizza forw and slice slice baby >> there's some funny names there. ultimately, do you want to celebrate a wedding or a baby with pizza i love pizza but i hope on those special occasions -- >> i think this is click bait rather than a revenue generator. >> pizza is great, but not on those occasions. >> in the middle of the night nursing, a slice of pizza sounds really good. google is fixing its controversial burger emoji this started last month when someone tweeted a side by side screen grab between apple and google, pointing out that google had the cheese incorrectly placed now emojipedia has an updated version of the burger and

updated toppings essentially it was like an upside-down burger >> i'm glad we have our priorities in order as tax reform moves through the senate, north korea launches another icbm test. we're worried about the cheese on the emoji >> i'm worried more about this than the dominos wedding registry there we go. important food stories >> okay. still ahead on "worldwide exchange" -- >> back to the bigger stories. >> a round up of the top stories. we'll also have a check on global markets. and an update on tax reform. those helis,adne we'll have a pro's take on them

stocks soar to report highs as investors cheer tax reform. and north korea launching a new ballistic missile that it claims can hit the u.s. mainland we're live in the region ahead bitcoin breaking a major milestone. the cryptocurrency surging towards $11,000 overnight. it's wednesday, november 29, 2017, you're watching "worldwide exchange" on cnbc. ♪ good morning a warm welcome to "worldwide exchange" on cnbc. i'm wilfred frost. >> i'm morgan brennan in for sara eisen >> great to have you with us

>> great to be here on this wednesday. let's get to the markets let's look at u.s. equity futures this morning it has been a mixed picture. the s&p 500 is poised to open up about half a point the dow jones futures are up about 50 points. nasdaq is down about 5 points. this comes after record closing highs for all three indexes yesterday after they largely shrugged off that north korean missile launch and surged into the close as we see the tax reform bill move through the senate financials leaded way yesterday as well. if we turn to bitcoin, that's been the other big news. we are seeing bitcoin surge to a new record high. that's above $10,000 it's actually at more than $10,700. just the past couple of hours it's up almost 9%. >> i hate bitcoin now. i can't look at it

it's something we talked about for years and could potentially have exposed ourselves to, and we haven't >> yeah. it's interesting that you have bitcoin futures being explored the s.e.c. has been opposed to it >> that makes it more annoying >> but moving on from there, we'll look at another market that is much more verified, that is the bond market ten-year treasury note, yield is up to 2.34%. a lot of fed talk today. >> we will be joined by steve liesman in a moment toties dus that first let's get back to the developing story out of north korea. that nation test launching a new intercontinental ballistic missile that is capable, it says, of hitting washington, d.c. let's get back to cnbc's chery kang live in seoul with an updat update >> good morning. so certainly it looks like north

korea tried to hype up the story as much as it can, making an important announcement, that's what it called it, on the day of its latest missile test this morning. they said it was a success, it was an intercontinental ballistic missile, as you just pointed out. i think there are two takeaways in this latest development one, it's going for higher leverage, and potential negotiations with the united states, some say they wouldn't be surprised if there are already back door channels between the two countries at this point they did say, yes, we have the missiles, but we'll be using them for defending the regime. so basically the message is we will not preemptively strike but we want the recognition as a nuclear state. all this messages to the trump administration in washington i think the second takeaway is that it's about solidifying ki

jong-un's leadership within the regime do note that the north korean regime has been sanctioned left and right, especially this year, particularly with beijing's involvement in all of this so it really wants to boost morale for the military as well as its people. that's the assessment of the joint chiefs of staff in south korea. of course, how much of these claims are verifiable and how much it is doable for the trump administration to take in all this, that's very much in question >> back to you >> thanks for joining us stocks to watch on the heels of this, lockheed martin and raytheon, which surged after the headlines came out around those missile tests yesterday. if you look at asian equities, we've seen asian equities largely shrug off that missile

launch the nikkei is up a half percent today. the hang seng is down fractionally the shanghai is up fractionally. the kospi is lower 20th missile launch, it doesn't seem to be affecting the markets there. looking at europe, mixed pictu e picture. the dax is up 0.7% the cac is up a half percent the ftse is down about a half percent given the strength we've seen in the pound since yesterda yesterday. >> oil prices down about a half percent or so today. if we look at the currency board, the pound jumping both yesterday and today. half a percent today on the news

that the uk and eu are getting closer to that divorce settlement of around 45 billion to 55 billion euros which would allow them to move forward on to things like trade dissugsdiscus. stocks broadly yesterday soaring to record highs, coming as the senate takes a step towards passing a bill aimed at reforming the u.s. tax code. joining us is steve chaverone from federated let's talk about this tax development. big moves in things like the russell which benefits from tax reform, banks which have a high tax rate it suggests there's not much priced in in terms of tax reform arriving, and we could see a further bounce when and if it is passed >> we've contended that not nearly enough is priced in for tax reform when you look at baskets of stocks, they're trading at a discount -- the largest discount to the market they have all year so we think it's underpriced

and it's underpriced in areas like financials. and also small caps, where the effective tax rate is over 30% >> >> looks like tax reform is moving forward we've got high consumer confidence, we have stronger than expected regional manufacturing data, we have fed tightening cycle that the market seems to be on board with. this north korean missile launch being shrugged off what is the risk for the market? what would it take to derail what seems to be record close after record close >> when you think through it, maybe the greatest story not being told is the strengthof earnings growth. the market sees 10% plus earnings growth for each of the next few years if there's an armed conflict with south korea, that could derail it. but that's not what we think about happen

this is about a negotiating stance also how do you price in nuclear war before it happens. if tax reform were to fail that would be a risk. the bigger risk is if nick growth picks up too much and the fed has to engage too strongly, they could cut this thing off early. >> people have been positive on international equities for the course of this year. is it time to bring that money back and invest in the u.s.? >> there's opportunities in the u.s. and europe. we like the financials, industrials, materials, energy, we like internash fall develotid equities, particularly europe, and we like banks. >> thank you very much for joining us >> thank you we get the latest results today from tiffany, workdayand box

there's a trio of economic reports and lots of fed speak expected today the second estimate on q3 gdp is out at 8:30 a.m. eastern that's followed by pending home sales at 10:00, and the beige book at 2:00 janet yellen is testifying before the senate joint economic committee at 10:00 a.m., we'll hear from new york fed president bill dudley and san francisco fed president john williams today. president trump's pick for fed chair yesterday testified before the senate banking committee. so how did jay powell do steve liesman joins us with his take >> the stock market appeared to give the fed chair nominee two thumbs up, mostly rallying while jay powell talked, and a debate among economists about how dovish he really was powell passed his first test by successfully dancing around the political minefield of his views on the tax cut bill before congress >> don't you have a responsibility, in an ongoing way, to talk about the modeling you've done that what this will mean to the fiscal situation of our country in years ahead >> i think our responsibility is to carry out the mandate you've

given us which is to achieve stable prices and maximum employment and look after the financial stability. >> we rely on you for data all the time >> i respectfully don't think you rely on us to score fiscal proposals. that's not our role. >> score that one for powell he indicated he would continue the gradual policies of the janet yellen fed, both in rebucing the balance sheet and raising rates gradually. he even seemed dovish on employment, suggesting there was still slack in the labor market that would give the fed leeway >> what we can do is push harder on maximum employment. i think we're doing that we're looking at an economy that will go under 4% unemployment powell said he supported some easing of banking while holding on to core reform. you can see what happened to the regional bank index yesterday. straight up while he was talking. while he talked dovish, he did

not do so in a way that convinced all analysts that the outlook for rate hikes next year would be different for powell than under janet yellen, that may be why the market rallied. there was no dovish trade in the bond market yesterday. wilf, you follow this stuff closely. did you hear anything from powell on banking regulation that wasn't clear was already coming >> i did. >> what did you hear >> i was going to ask you about this >> we should have done this offline before national television but go ahead >> the key thing clearly when pushed on a second question, he said i'm not outright saying deregulation, but there was a commitment not to have increasing regulation, which was a confirmation he did talk about the volcker rule in particular, which i do think is interesting that could be an area where net-net he's saying we won't deregulate and tear things up, the volcker rule is something they will address. that's one reason i think we saw the banks up 2.5% yesterday, and

the small caps 1.5%. the banks benefiting from tax reform news and jay powell >> i have the benefit of interviewing him twice on cnbc i don't know that other networks have had quite as much live jay powell as we have had. in the first interview i did with him, you got his early read that he would be one of the ones who would break with the consensus on the fed on things like the volcker rule. he sort of laid the ground work for that and was more rethinking dodd-frank it's also important when he says we will keep to the core reforms. so he does not agree with the president when president trump said there was a big number on dot frank. >> i do think that the market wasn't expecting to see a tear up of dodd-frank that's become clear already. just nice to get the confirmation yesterday >> i think that's right.

as you know having attended the speech by randy quarrels, these people are now appointed, in place, pending jay powell's senate approval and that allows them to get to work. and so much of this for banks can be done without the need for further bills in congress. it's an encouraging thing that he's pressing ahead on that track. >> the focus is on the smaller and regional banks the idea they'll have this 250 cut off, a bit easier on the stress test. this is something that should have been done a long time ago but democrats and republicans couldn't get together on the number i think 250 built illion comingm congress >> one thing i have not seen a lot of coverage on, he said cybersecurity could be one of the biggest risks to the banks and the economy. what's your take on that >> i think he's seeing the writing on the wall here the new york fed went through an

interesting moment when there was a breach in the bank of bangladesh that caused funds at the new york fed to be transferred. this cybersecurity issue is huge i don't think chair yellen glommed on to this or made it as big an issue as it should be the ability to hold funds in the federal reserve system, hold dollars, is a keystone of why the dollar is a global currency. if we don't make it safe, i think the dollar will be under threat as a global currency and it may be a reason why ning th like bitcoin is having success out there. >> this is interesting an even bigger story that may emerge coming up, the big facebook iss at th itoday's must reads ahead. stick with us. zar: one of our investors was in his late 50s

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designed for your data. ai ready. secure to the core. ♪ ♪ the ibm cloud is the cloud for business. yours. ♪ ♪ welcome back to "worldwide exchange." i'm wilfred frost along with morgan brennan time for our must reads. my pick is in "the financial times," facebook faces the tragedy of the commons when mark zuckerberg denounced the fake news actory, what the did is wrong and we're not going to stand for it is what zuckerberg said, he sounded like the police chief who seems to be shocked that gambling is going on in a casino the mission of bringing us

all together as a global community is laudable but it invites trouble. i think this is a good argument for why these tech platforms need to face much more significant regulation and rules around it. when you read this through, it's hard to argue with that. this is an evolving balance for these companies. i like the casablanca shout out, it's one of my favorite movies and just celebrated 75 years >> good knowledge. my pick is in the "new york times," is trump going to lie our way into war with iran the editorial board writing that trum staffp staffed his adminisn with hawks who believes the problems one through tehran. nikki haley has accused iran of trying to hold the world hostage to its bad behavior. james mattis once described the three biggest threats to american national security as

iran, iran, iran this talks about the debatable connection between iran and al qaeda and making the argument that there's rhetoric coming out of this administration to potentially go to war. not so differently than the bush administration's rhetoric and justifications for us going to war with iraq. i don't buy it i don't think this is an administration trying to go to war with iran. the idea that that country is not hugely influential and sort of expanding its scope in the middle east, it is the main reason i picked this article, is because we focus on north korea and all the ballistic missil technology coming out of there, but iran is also moving forward with its technology. >> depending on whose take you go with. a lot of other partners, whether it's britain or france, disagree

with that either way, what's clear and definitive is that the president is making strong aleea allegiance with saudi arabia. it's approaching the top of the hour, so let's check in with becky. >> we talk about tax reform every day, it's important to wall street and the business community. we'll continue that today. we'll sit down with the ceo of snap-on tools. we'll get his thoughts on tax reform he la some concerns like senator ron johnson had, making sure smaller companies have some some of the benefits bigger corporations have. he is convinced this is important legislation. and it's the l.a. auto show right now. the ceo of volvo will be joining

us phil lebeau is there he will join us and talk about what he sees happening in the auto industry. >> bright and early from l.a >> plus i'm not sure if you mentioned this already on the show at&t filed its response last night to the department of justice. it is a very interesting read. the lawsuit -- their response to the lawsuit. talking about how american television has changed drastically over the last few years, how we watch television and who is involved in that process. i'm going to sit down with randall stevenson, the ceo of at&t later today at noon eastern time to talk with him in front of the new york economic club about all of these issues. it will be his first response about what's happening with all of this. >> great stuff we look forward to all of that on "squawk" and that interview at midday. >> thank you. still to come on "worldwide exchange," bitcoin's big breakout the cryptocurrency smashing

through a major milestone. how much higher can it climb we'll debate that when "worldwide exchange" returns ♪

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of audi sales event. welcome back to "worldwide exchange." i'm wilfred frost along with morgan brennan bitcoin is surging past not just 10,000 but pushing close to 1,00 11,000 let's bring in simon derrick from by melon. is it right we ask you about bitcoin and is it a currency >> i think that's a great point s it a currency? i think it is far closer to a commodity in that there's a finite supply of it. it is influenced by what's happening on the currency side of things. i don't know that i could wawou characterize it as a currency,

but the first thing we can say about it, it is perhaps a measure of quite what the central banks have done over the course of the last 10, 15 years. they're astonishingly easy monetary policy. we will to invent new things to buy, bitcoin and ethereum are some of those things secondly, i think it's commodity and behalves very much like a commodity. the third thing you can say, anybody who is a student of the price action in bubbles, going back to the bubble of old will recognize that what you see now in the price 5:sun looks like a bubble in fairness, if i look around, even the fact that you can go around the stations, the railroad stations in london and see advertisements for cryptocurrency trading, it kind of feels that once you get down to that retail level, it starts to feel very bubble-like that idea that we have these

greater things taking place. people are buying it not because it's a cryptocurrency, but they feel somebody will be a bigger fool and buy higher up >> piggybacking off of this idea that bitcoin is a result of this easing monetary policy we've seen in recent years, given that fed chair nominee powell indicated yesterday that a december rate hike is likely, sort of that given what we've seen in terms of economic growth in the u.s., that he's for steady, gradual increase in rates next year, why is the dollar index lower right now why isn't it stronger? >> well, it is quite astonishing. i think in fairness, if you look at what's happening to the key yield spreads, the thing the foreign exchange market looks like, we tend to be further out. it tends to be two-years, five-year, ten-year yield differentials. they have not moved a great deal over the last couple of days

>> simon, thank you very much. sorry for cutting it short there. simon derrick. that's it for "worldwide exchange." "squawk box" is coming up next we know life can be hectic.

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good morning stocks soaring to record highs as investors cheer a big step forward on tax reform. a live report from washington. and north korea test launches a new ballistic missile that it says can hit the u.s president trump's response is straight ahead. and bitcoin rocketing past $10,000 just days after it hit 9,000. it's wednesday, november 29. i believe there's only 30 days in november. so we're close to december "squawk box" begins right now.

♪ >> live from new york where business never sleeps, this is "squawk box. all right. good morning welcome to "squawk box" here 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. yesterday a big day for the markets. dow up by 2 55 points after the senate moved the tax bill through committee. you can see this morning the dow is indicated to open up by 55 points s&p indicated up by 2 points the nasdaq down about three. jp jpmorgan was the lead of the advancers yesterday. s&p was up yesterday by 1% financials up by 2.6% overall. and that was the best session for the sector since