oil prices a big factor there. that does it for this hour of "squawk on the street," let's send it downtown for the start of "squawk alley." >> thank you very much good morning it's 8:00 a.m. at amazon head quarters in seattle, 11:00 a.m. on wall street "squawk alley" is live ♪ ♪ good morning welcome to "squawk alley," and a busy day here. green arrows across the board. tech continues to gain ground

following yesterday's rout john ferroli and dan sculley join us. happy friday to you both a lot of debate this morning about the jobs number, and the degree to which it tilts the macro debate what's your take >> it's more of the same, which is strong job growth, low unemployment, but disappointing wage numbers which is the story we've seen a bunch of times over the last year or two i don't think this does much to resolve the debate growth looks good. the question is where inflation is going the wage numbers don't scream out that there's a whole lot of inflation worries for the nrt near-term. >> dan, do you agree how long can that dynamic last >> i would say we had solid news in particular in the manufacturing jobs sector this morning. we may continue to see that as we get infrastructure announcements into january

potentially some changes in capex trends as we have fiscal tax reform and tax changes the broader takeaway for our team is that we're seeing a rate of change inflection in job growth going back two years. we think the rate of change of jobs peaked in the spring of 2015 which helps us point our portfolios to later cycle sectors, such as industrials and materials, in particular stocks that have an idiosyncratic driver like a restructuring case in the case of dow dupont or a merger integration case like stanley black & decker >> the bond market seems comfortable in its view of what federal reserve might do and what it means for longer term interest rates will the nar sieve evolve next year will we be flirting with overheating indicators will we see anything that interrupts this idea of

quasi goldilocks environment if we continue with these types of jobs numbers, it's hard to see how the labor market doesn't frighten further that will put pressure on wages and prices eventually. goldilocks can't last forever. but for the fed, we'll get an interesting hint next week when everyone is expecting them to hike rates next wednesday. but what they signal about how fast they want to or they anticipate raising rates in 2018 we think there's a chance given the continued fall in the unemployment rate and the prospect of more fiscal stimulus next year, that the fed may see a need to hike faster than they projected three months ago >> as we look at yield curve, it is flattens. if you look at the overall trend, we saw a bit of a steepening yesterday, but since the beginning of the year we've seen that flatten further. we were at 130 basis points difference between the two and ten-year in january, now we're

at 55 or so. is that concerning at all to you? some folks point to that and say, hey, are we close to recession? even though i know december is historically a strong month. >> we don't see a recession near-term. we are paying close attention to central blanks globy globally. we could see a flattened curve by the third quarter according to our rate strategist in our view, that's more normal for the late cycle dynamics. we're focused however on the ecb. if the ecb were to come out more aggressively and talk about tapering their programs more aggressively, we think that could help maybe put a slow downin the flattening and steepen the curve. obviously people have been focused on global rates and how they anchored the long end of the u.s. curve

>> we checked in with gary cohn this morning on the jobs number and the tax bill in conference and the degree on which there may be movement in that salt deduction as they talk over the weekend. here's what he said. >> i've heard the salt, state and local tax deduction argument many, many times we are concerned about that. this morning we were talking about the s.a.l.t. issue, and what the potential s.a.l.t. fixes are. there are 70 members of the house from s.a.l.t. states they have to have a solution to allow residents to come away with this in a position that allows members to support this no one wants to see tax increases. that's not what we're trying to do we're trying to simplify the system and make the system fair for everyone >> michael, this is obviously part of a big economic and political debate the impact on income polarity, on migration, on dynamic cities and economies, how relevant is

it to you? >> so, i think the question here is, as you say, to what extent does this induce migration away from high tax states, which, you know, for some financially vulnerable municipalities that may be an issue if you drive away more of the high earners. from a macro perspective, if it's shifting around tax burdens in a fairly revenue neutral way, that wouldn't matter unless you start to do something that induces more fiscal strain. >> you have a final thought on that, dan? >> my broad comment would be it's an uneven economy where the 1% that done better. i agree with michael, i don't think we'll see a broad macro change from s.a.l.t. changes if you look at 45 of the biggest

70 cities in the country, they have not recovered their pre '07 price highs as far as tax prices >> we'll find out next week if they made progress and to what degree have a great weekend >> thank you we continue to watch the price action in bitcoin this morning as we get fresh comments from jamie dimon wilfred frost is back at hq with those remarks. >> so, remember back on the 12th of september when bitcoin was around 4,200, jamie dimon said it was a fraud and worse than tulip bulbs. a month later at 5,600 he reiterated his bearishness >> if you're stupid enough to buy it, you'll pay the price for it one day governments, this is technology statement, government also crush it. he remains skeptical of it

as i've said previously, i'm open minded to uses of cryptocurrencies if properly controlled and regulated on september 12th, dimon said he wouldn't short bitcoin because it could rise to as much as 100,000 before you feeyou -- he it which collapse. wildfires continued to burn across southern california aditi roy has the latest >> we've been in this neighborhood in ventura all morning long we've seen home after home razed. this car and truck gutted this is a garage door here. it's just warped back there, a washer and dryer charred almost beyond recognition. the numbers showing the destruction, they have

ballooned. let's look at those numbers now as you look at views of the thomas fire. that's the worst of these fires. there are six wildfires now burning throughout the state they have left 140,000 acres scorched 23,000 homes are now threatened. 190,000 people have been evacuated. 500 structures have been destroyed. that's up from 150 structures. so that number has spiked. we're seeing a ton of destruction in this area another place where a brand-new fire has sprung up is near north of san diego let's look at pictures from that blaze. this is the lilac fire, that caused the governor of the state to declare a stated of emergency in san diego county, adding on from los angeles and ventura counties this has been the costliest and deadliest wildfire season in california history 5700 firefighters are on the line attack these blazes

for many the fatigue of the work is setting in. >> i've been going from fire to fire to fire for the last six months we've been really busy it's unprecedented for us as firemen, how busy we are >> the state's insurance commissioner this week came out with new numbers on destruction as far as the napa and sonoma wildfires from a couple months ago. so far the claims that have come in have totalled 9$9.4 billion who knows what the figures will be in the latest set of wildfires in southern california back to you. >> we can only hope a number not that high. thank you. when we come back, we'll talk to the head of nintendo north america and get his thoughts on the switch. and silicon valley's holiday parties are getting more

questionable this year details on why. and why the president is asking whether or not amazon is a monopoly when "squawk alley" continues. at fidelity, trades are now just $4.95. we cut the price of trades to give investors even more value. and at $4.95, you can trade with a clear advantage. fidelity, where smarter investors will always be.

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shares of nintendo soaring this year following the release of the switch console. the stock in the u.s. up 90% in the last nine months for more on nintendo and the gaming business, let's send it out to julia boorstin with a special guest. >> thank you very much joined by the president and ceo of nintendo of america thank you very much for joining us >> absolutely. >> your busy holiday season. this is our busy holiday season. >> back in october you upped expectations from sales of switch from 10 million to 14 million. now that we had black friday, how are sales going so far >> sales are going fantastically well for us, our main focus has been making sure we have enough heart wear into the marketplace, we have great games that are helping drive our software, super mario odyssey, the legend of zelda, just called game of the year last night. we want to make sure the consumer who wants a nintendo

switch can get one we've been doing that. sales are robust >> sony just yesterday announced new sales numbers for ps4, 70.4 million worldwide. their strategy has been about being the entertainment hub for the living room. are you thinking about moving in the more general entertainment direction to compete with them >> no, for us. we are in a dif differentiated space. we have a different position in the marketplace. our focus is games we have other entertainment elements on it hulu is on the system in the americas, for us it's about having a great device with great games. >> you have been kind of critical of the vr space, you made these comments back in september. seeing the success the ps4 has had with vr, they sold 2 million units worldwide, does that make you change your tune

>> we said that nintendo looks at every type of technology. we want to make sure we're there when the market is ripe. vr is something we looked at for years. for us we wanted to make sure if this is something we'll enter, we'll do it in a differentiated way and something that's interesting and compelling for the consumer >> to no announcements in that . >> ea has been slammed for the way it's handling micro transactions how are you talking about ea and how they are changing consumers. you don't want to alien knit a whole generation of consumers. >> first, the way that individual companies look at this space, it's for them to decide how they want to go after it, how they want to lay a proposition that makes sense for the consumer from a nintendo perspective, we have downloadable content.

we've taken an approach that we price it reasonably for the consumer, we let them know what's available, when, so there's no surprises >> you have a lot of these third party games on your systems. you need to have the ea games and the activision games to fill out the options for your consoles are you giving them advice about how to manage micro transactions >> we make sure we have a large base for them to sell their content to we make sure we're the ones getting the consumer to buy the hardware and bring it into the market plates, bring it into their homes. the conversation that needs to happen is internal with those companies and their developments to figure out what is the best way to bring this to the market. for us, we want all the best content in the system. >> do you think ea was smart to get rid of those micro transactions for now >> i won't comment on what my partner does, but we want to

make sure we're bringing great content to the consumer, they feel comfortable with how they're buying it and enjoying it >> for the first time you will make your games available outside of your console universe through your partnership with nvidia in china. how big of a deal is this in terms of changing precedent here is it about access to the chinese market >> when we entered the whoebl spa mobile space, that's the first time we made nintendo content available on someone else's machine and marketplace. it's important to have content available to consumers across the world. from that standpoint we think it's a great opportunity i wouldn't read into this that the nintendo strategy is changing it's not our strategy is about great ip across the world >> would you make a super mario

game or zelda game available for other consoles >> that's not in our future. we look at ways to make consumers smile with our ipt elect wall property, that's when we will look at apple, android and nvidia >> within the mobile space, there's so many competitors out there. mobile games are everywhere. l how do you make sure you continued to grow in a space that's crowded what we do so well, we have differentiated content we just launched animal crossing camp as long as we do that, the consumer are find our content and enjoy it. >> you're also working on a super mario game, i understand, with one of the comcast universal companies? >> not a game. we will bring it to universal studios. >> thank you very much appreciate it. back over to you >> great stuff thank you very much. when we come back, one

company's looking to disrupt what it calls an outdated college textbook industry with netflix style innovation. a wild week for bitcoin, why one peck ctechnical analyst saye merrency is more like a video ga than an investment.

college education in the u.s. is only starting to experience a digital disruption with the launch of a netflix style subscription service for college course material. they hope to take the fight to rivals and start offering its own digital courses. joining us now is michael hanson, ceo of sun gauge thank you for joining us what are the major problems you see in higher education that you feel you need to disrupt besides the cost of textbooks and courses? >> cost of education everybody is talking about cost of education materials is

an important factor. students pay over $500 a year for education materials. the experience is a miserable experience they have to look for rentals, postpone buying to keep the costs down if they want their materials day one in high quality, they would spend north of $1,000 per year >> you're having to work, i assume, with the faculty to make sure you can provide the materials that the faculties wanted it's not up to the students to choose which textbooks they're buying >> absolutely. this is the age-old model. we serve over 11 million students in the united states. we work with faculty to convince them what is the best technology and content is to teach the students then the students have to buy. the students get to the cashier, and they buy we want to make sha that experience more affordable >> are students wanting to read textbooks on ipads digitally do they want the copy they can

highlighted? in grad school many of us were resistant to that. we still wanted the papers >> students wanted a mix of things they want a mix of media they want the actual papers, but they also want the interactive experience they want simulations, they want ability to test and see the material do i understand the con september. we can taylor this to individual students needs >> we were showing the netflix like service, one price subscription that gives you access how often do you have to prefresh that? do you need a full institution to buy in? >> no, we don't need a full institution to buy in. the student can get everything they need in our content we have every course, about 675 courses available to the students and, you know, the refreshing of the content, we do this on a continuous basis because obviously there's always

news that breaks, new information that is out there. the idea is to do it on an ongoing basis. >> cheg is in the space as well, we talk to them sometimes. how crowded is the space >> it's interesting. many media industries have been disrupted by outside forces. we wanted to preempt this by disrupting our own industry through the model and the netflix like model the market is really dominated by three companies which is pearson, sun gauge and m mcgraw-hill. >> it looks like the house is working on legislation to change a number of things about how we view higher education, potentially looking at other options that are not four-year colleges, changing different loan agreements and terms. how would that impact your business how closely are you following what's going on? >> we are passionately focused on the student we want to make sure that as

many people as possible get access to affordable education we applaud anything that makes education more flexible and affordable so in that respect we're working with members of congress, with senators to form the legislation in a way that gives people more access and more affordable prices >> kkr owns you? >> yes >> any chance we'll see a sengauge ticker of its own >> there's always a chance, but for now we're focused on our business and the students, and making it a better experience. >> thank you very much, michael hansen >> thank you when we come back, we're on bitcoin bubble watch not sure if a watched bubble ever pops, but jamen di ejamie continues to sound the alarm over the currency. and now tech holiday parties are under scrutiny more when we come back

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good morning i'm sue herera, here is your cnbc news update rebels attacked a u.n. peace keeping base in the congo killing 14 and wounding 53 others in the deadliest assault against a u.n. mission in recent years that assault is blamed on a rebel group based on uganda. jordan's foreign minister warning that the u.s. decision to recognize jerusalem as israel's capital is dangerous.

he spoke in brussels alongside the european union's foreign policy chief >> jordan believes that this is a decision that goes against international legitimacy the united nations security resolutions, threatens to fuel tension and promote anger across the arab and muslim world. >> it appears to be doing just that, palestinians are demonstrating the jerusalem decision, clashing with israeli forces in the west bank. they torched tires and threw rocks at israeli forces who countered with tear gas and rubber bullets you're up to date. that's the news update this hour back downtown to "squawk alley." carl, back to you. >> sue, thank you. let's get the european close the final of the week. dom back at hq >> an upbeat session overall for european stocks. there's just one speck of red, that's portugal. this on a day in which the uk

and eu finally reached an agreement on brexit divorce terms after six months of discussions. that next mile mark there, the uk agreed to pay a divorce bill of 35 billion to 39 billion pounds both sides saying they will respect each other's citizens rights the uk prime minister, theresa may, addressed what has been one of the major sticking points, that ireland/northern ireland border >> in northern ireland, we will guarantee that there will be no hard border. we will uphold the belfast agreement. and in doing so, we will continued to preserve the constitutional and economic integrity of the united kingdom. >> despite that agreement, the uk pound is giving up some of those earlier gains with a look ahead to the second phase of those brexit talks which are expected to be much more challenging. trade will be among the issues there. banks are the biggest gainers,

rallying to a five-week high the new basel iii rules which are slated to go into effect by the start of 2027 may give some banks the ability to return more cash to shareholders the financials joining that railly include dutch bank, societe generale as well as deutsche bank. back over to you >> thank you very much no matter which exchange you're looking at, it's ban volatile week for bitcoin as the cboe prepares to unveil the first ever futures market for the cryptocurrency bob pisani is on the floor to tell us all about it >> it's a big, big moment. we've been waiting for this for many months. first, the cboe will introduce three monthly contracts. it will likely be january, february, and march. the initial price will -- for january will probably be close to the cash price right now. it will be cash settled. that's the most important aspect

of this whole thing. you don't need to own bitcoin to trade it it's cash settled, and you can short it that's in dollars. how about where is this all going? how will the s who will the sellers be? probably by the coin miners, maybe some institutional traders. who is the marketmakers? we don't know. they don't typically announce that, but several big ones will likely be participants how many firms will participate? we had some big firms like jpmorgan already announcing they won't allow their clients do it initially. schwab and ae mera ameritrade a waiting. and will it reduce or increase volatility we don't know. that's a big question we want to answer in the next few weeks

long-term, here's the questions. exactly who is regulating bitcoin? we all say, well, the cftc is regulating the bitcoin futures, but the rest of it we don't know bitcoin cash is unregulated. that's why the s.e.c. turned down bitcoin etfs this year saying we don't know who is regulating this market it's not clear just because we have features that are regulated that will be enough for the s.e.c there's the people who own the wallets, that's also a gray area this will have to be addressed remember, bitcoin, by definition is unregulated itself. so it's a bit of a conundrum on that on monday, i want to see what kind of liquidity they have, and i want to see how big the bid ask and the pricing moves on monday let's see what happens then. it will be a big day back to you. >> a lot to of questions, a lot

of ironies you have virtual currency priced in dollars, an unregulated market in a regulated form here with the futures we have to watch to see how that plays out. co coinbase is among the top iphone apps in the u.s. which means bitcoin to some degree has gone mainstream where can we go from here and will investors make money off the blockchain colin sebastian is senior research analyst at baird, and at post 9, walter zimmerman, technical analyst who has been tracking the bitcoin charts. walter, just get the state of play here. >> sure. >> no real fundamentals. it really has traded technically, i understand. >> absolutely. >> what is it telling you now? >> it's telling me that as long as it holds above 13,000, i'm using elliott wave analysis here, it's worked really well for the last few years, as long as is it holds 13,000 as a

floor, there could be a spike as high as 45,000 in 2018 >> i keep looking at the steepness of this chart, the recent run anybody challenging them to complete that chart. how does it get from there to more than double the 45,000 without some huge switch back in between? >> because it's not an investment people who come in here now, they're not investors. it's a video game. people coming now are gamers last night i heard zelda won game of the year i think bitcoin should have won game oof the year you can't look at it as an investment if you buy it here, it's disingenuous to say you're an investor it's literally the wild west >> but elliott wave still applies. >> that doesn't mean it's an investment medium. it means it's behaving technically, so the collective

swings in the market obey certain principles that doesn't preclude a bubble by any means >> the fact that it's now on so many smartphone apps supports this idea that it's being treated like a smartphone game >> yes >> i want to get to colin. one question i keep wanting to knit this back to, if you believe the price on some level at some point represents larger technological opportunity here for blockchain, who is being disrupted? what are the current functions and revenue streams wherever blockchain might apply that might be at risk and who might be the innovators who can take advantage of that? >> in many respects this reminds me of where artificial intelligence or machine learning were three, four years ago we've seen where that has become an investable event so with

blockchain specifically this is the technology that powers bitcoin, but that can be applied to other business models we looked at a lot of areas in media, internet and technology where it could be disruptive ridesharing apps are already emerging powered on blockchain that could be disruptive to apps like uber or the same within a bshb nb there are cybersecurity firms emerging given that blockchain are more secure than servers there's a whole host of others >> another point here, this reminds me of the old days, the bubbles in railroad stocks, when those bubbles burst, you still had a network of physical railroads in place in this case, you still have the blockchain the other thing i will look for on monday what will the margin be on the futures? could be the least futures

contract of all futures. >> not a ton of leverage >> exactly >> the margins should be sky high >> speaking of futures, we've been looking for precedence to this kind of activity regarding futures, you go back to a nymex contract that debuted in '98 is that right? >> that was electricity. you had partially deregulated energy market. you had synergy and energy launched with no natural sellers. we had a bunch of natural buyers, no natural sellers there was a god awful spike and the nynex was forced to delist because of no serls llers in th market >> i know you've written a lot about blockchain, beyond bitcoin f we're looking at investing in

blockchain or companies deploying blockchain, can you give us some of those investment ideas? >> for -- there's certainly truth in a lot of innovation is happening at private companies, but there are examples like overstock that is creating a trading platform for tokens or cryptocurrency there are public companies that have created a fund for blockchain technology you can look at chip stocks, chips that power the mining, the servers used, contributed across thousands of places around the world. that's one area of focus long-term we think that internet platforms, most of those smart ones will utilize blockchain and will be another wave of growth we would look to those platforms. >> yeah. all right. it's all around the edges for now. colin sebastian and walter

zimmermann, thanks a lot >> thank you when we come back, leon cooperman revealing the details of a conversation he had with the president this summer, specifically over concerns that amazon may be a monopoly "squawk alley" is back in a "squawk alley" is back in a moment (news anchor) downtown traffic is still bad. expect massive delays. (radio channel changing) (news anchor 2) all lanes on highway 50 remain closed at this hour. (news anchor 3) the stats are in and this city leads with some of the worst traffic, with the average driver sitting in gridlock the equivalent of three days a year. for every hour that you're idling in your car, you're sending about half a gallon of gasoline up in the air. that amounts, over the course of the week, to about 10 pounds of carbon dioxide. growth is good, but when it starts impacting our quality of air and quality of life,

that's a problem. so forward-thinking cities like sacramento are investing in streets that are smarter and greener. the solution was right under our feet. asphalt. or to be more precise, intelligent asphalt. by embedding sensors into the pavement, as well as installing cameras on traffic lights, we will be able to study and analyze the flow of traffic. then, we will take all of that data and we use it to optimize the timing of lights, so that traffic flows easier and travel times are shorter. and sacramento is just the beginning. with advances in cameras, sensors, and network speeds, we have the ability to make cities smarter, and happier. what excites me about this technology is that we're usin.some of the most cutting-edge machine-learning, and ai, to help solve the most fundamental challenges that cities face around the world. who knew asphalt could help save the environment?

(lani) and the possibilities are endless. coming up today on the half time report, upping the ante on stocks as one firm puts out the most bullish call for the market in 2018.

we'll debate whether that number is a real possible. the race to a trillion dollar force one na the race to a trillion dollar force one na for a name t thought of. and we'll find out where the cryptocurrency will go as futures trading begins this weekend. "half time report" is at noon eastern. see you in about 15. >> don't go too far, your show yesterday was amazing. so many headlines regarding your interview with omega's leon cooperman, especially the comments about the president asking him whether or not amazon is a monopoly. here's a sampling of what he said >> the major risk to amazon, i guess i can say this, ten other people at dinner, i was hosted by the president and the white house in mid-july, twice he asked me if i thought amazon was a monopoly >> the president asked you >> yes i said, no, i don't think it was. >> we talked with gary cohn about the president's interest

in amazon in the last hour here's what he told us we asked gary cohn about those comments earlier this morning. here's what he said about that >> i think the president's curious about lots of different businesses and what's going on economically and competitively in the united states the president is inquisitive about lots of different things he's always asking provocative questions. >> then this one is provocative, scott. far from a denial. >> yeah. look, i was surprised that lee cooperman brought it up. i was surprised that he said the president asked him not once but twice. if you remember on the campaign trail, it's not like president trump did not take multiple shots at jeff bezos on different occasion maybe it's not all that surprising i found it interesting that he brought it up in the forum of a dinner, seeking out the opinion of somebody like lee cooperman, who told us he quickly changed

the subject when the president was asking those questions but nonetheless, a group of ten folks around the dinner table being asked about -- at least cooperman was, about amazon. now you have people talking about what potential regulatory risks are out there for these big technology companies, whether it's facebook, amazon or others >> yeah. with that caveat, that the president knows this population of investors extremely well. he has known them virtually his entire life. so comfortable having a conversation like this >> couldn't have been just a top of mind business question, here's somebody who might have a view on this not clear to me what product category amazon had a monopoly in >> exactly what i was thinking retail category? >> scott, we can't wait. >> if nothing else, the fact he was asking those questions is interesting in and of itself >> yes we'll see you in a few moments good luck topping yesterday's

show let's get to the regulated group and the santelli exchange. >> good morning. thank you. like to welcome my guest, tim kaine from hoover institution. thanks for taking the time good to be here. >> let's start out with the obvious. it was jobs friday you had a chance to peruse the data, seasonally adjusted and than seasonally adjusted any observations >> this is as good as it gets. we have the lowest unemployment rate in 17 years, 4.1% normally we would say that is overheating, but there's no signs of recession or high inflation. i would point out it's holiday season, it seems like we're in the middle of a holiday party, everything is great, but who is paying for it? there's still a lot of deficit and federal reserve dstimulus making things look good. >> you wrote a commentary that i

enjoyed reading. redefining winners and losers on taxes. the one question that jumps into my mind, why does it need to be redefined as it currently sits >> there's a narrow view, every article you read says who wins from tax reform? who loses from tax reform. when you get the nonpartisan committee in congress that analyzes these things and said it will add a percentage point to growth every year for ten years, we should all be celebrating that the guy not working right now who will get a job and start paying taxes, he's a loser i think you and i would agree he's a winner. so when you employ more people, you are getting $4,000 per household more income, that's a pretty good bill >> come on, tim. isn't this just for the rich that's the big question. many of my friends are asking that if your friends ask you in a social setting, what would your answer be? >> i have a lot of friends where i grew up in columbus, ohio.

they're not upset about it when they hear about the s.a.l.t., the state and local tax deduction where they have to pay liar taxes to subsidize the wealthy people of new york and california, that's going to disappear now, socalifornia, and that's going to disappear now so there's going to be fairness in the tax code, i think that's pretty popular in the midwest. >> all right finally, you know, i know the president is prone to hyperbole, we get that. >> no. >> but he's talked about growth rates, could be 3%, 4%, i think i heard him yesterday say 5% in the final half-minute we have left, how do you think it really pans out and keep it right down the middle of the fairway for me. >> we don't know but, look, 5% is not fictional we've had in this country 5 -- remember, we had 6% growth rates back when ronald reagan was growth rates and they had tax reform that kicked it up in 1981 -- >> but i also remember in ronald reagan's time, tim, democrats and republicans didn't hate each other. >> yes, i remember

i wish we had those. and i wish both teams could play together but unfortunately, honestly, i think since obamacare one team just has not been willing to work with the other. so that's frustrating. >> i got ya. i think guilt goes both ways, but i understand your point. tim kane, thank you. back to you. >> thank you very much, rick very much appreciate it. tim kane, thank you for you as well still to come, lavish holiday parties under fire following allegations of sexual harassment across the tech industry details when "squawk alley" returns. ♪ feel that? that's the beat of global markets,

the rhythm of the world. but to us, it's the pace of tomorrow. with ingenuity, technologies, and markets expertise we create the possible. and when you do that, you don't chase the pace of tomorrow. you set it. nasdaq. rewrite tomorrow.

silicon valley making some questionable additions to some holiday parties. our josh lipton joins us with some details hey, josh. >> carl, it's that time of year here in silicon valley tech companies are throwing their annual holiday parties now, in addition to executives, engineers, programmers, there could also be other guests there too this year, models. a new report from bloomberg reveals that some tech companies are working with local modeling agencies like models in tech to staff their parties with attractive men and women, the same tech companies are reportedly paying up to $200 an hour for each model, sometimes a couple dozen models will come to the party where hired to mix and mingle with party goers. agencies are said to place restrictions on these models, for example, rejecting requests for revealing clothing but apparently a record number

of tech companies are now paying for this service of course lavish parties nothing new here in tech capital yahoo remember was under fire for its lavish parties ceo marissa mayer took a lot of heat for the great gatsby theme. we also know shervin pishever showed up with -- a year marred by so many allegations of sexual harassment across all industries and especially here in the valley revel those years of binary capital and high level start-ups and vcs like shervin pishever. >> some of us are old enough to remember the party seen by some as a sign of a top of the dot com boom there's always going to be something that people try to use as a touchstone. >> yeah. pretty telling that both the yahoo party and the other one

themed, that's obviously when you had a needlessness about it. but obviously it just sort of represents too or at least brings to mind the lobsided, you know, gender situation in tech that they actually have to do this. >> that's exactly what i was thinking why do we have to bring in models female mostly, some male, i understand as well, but just being so silly just talk amongst yourselves, have a good time for goodness sakes is that so hard? >> josh, thanks for that dow's up 78 points "squawk alley" is back after this ♪

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on twitter a few moments ago the president said just signed house joint resolution 123, the short term cr that provides fiscal 18 appropriations to fund the federal government through friday december 22nd so shutdown averted for now. some big question marks remain though, the democrats obviously want a daca extension, the republicans want some wall funding. there's a debate over parody between domestic spending and military spending, all of those are going to have to be sorted out in the next couple of weeks. >> some members wanted this pushed out to beyond christmas, right? so i guess this is going to kind of rebuild suspense. >> yeah, december 22nd, i mean,

right before christmas. >> although markets famously are beyond it. >> looking right beyond it, yeah they've been on kind of a need to worry basis with all this stuff. right now this doesn't necessarily rise to the threshold. >> right so buckle up for next week as we watch the launch of bitcoin futures. of course the fed meeting will be buried in there somewhere have a good weekend. let's get to the judge and "the half." and welcome to "halftime report." i'm scott wapner the rally and your money and big time target. why s&p 3000 is possible with us for the hour, jim, steve, let's begin with the market, stocks are higher today after that solid jobs report and now a new view from oppenheimer that the s&p 500 will hit 3,000 next year. it's the highest target on the street ou