it was >> deblasio was originally against it because it hits everybody. you know otherwise -- >> i think it is aggressive though yes, $11.52 is more but also it is easier than subway. >> what are you going to pay for, the toll at the tunnel? >> you get the reimbursement but not the gw bridge, it sounds like a bit of a mess we'll be honest, we'll 199see. >> that's it for "squawk box." "squawk on the street" is next ♪ congratulations to the philadelphia eagles, the new england patriots both headed to the super bowl 52 after a great

championship on monday i am carl quintanilla with jim cramer and david faber earnings season kicks off. davos. we begin with shutdown day three. future points to a lower open. >> plus, as carl says, it is merger monday. drug maker sanefy has a great deal the eagles and tre set to face w england, patriots. destiny verses dynasty >> obviously, it was remarkable kind of karma game once again. you could not hear a thing in the stadium. i could not hear my wife next to

me a lot of that is the people are just nuts we are tired of it the town has always been an eagle town we are thrilled. the patriots have a lot of work the do they came back pretty well and don't want to dominate the discussion because i know we have a lot to talk about nick foles was our weakest and he was our strength. >> it is exciting to be a big fan. carl and i are jealous, he's been there recently as a denver fan and a near jets fan, not so much >> well, we never won. i think we won 1960 but that was presuper bowl. >> right >> we waited a while >> excited two weeks to go join every minute of the anticipation >> this says a lot i think the problem here is that we are tired of being who we are, right we are tired of it

>> yep >> we were disrespected in 30 secon seconds in line. i don't know if they care. they don't even care yesterday's line moved from 3 to 3.5. you know the nation just thinks we are a bunch of jokers at least when it cracks -- it is been kind of a downhill slide since that crack >> we got two weeks to prep, it is going to be a great super bowl >> of course, i will be going and i am going to have as much sleep as i did last time >> hopefully by then the government is open again, it is day three. the senate is scheduled to vote at noon. lets get straight to cayla tausche in washington. it also would come with a pledge

from senate majority mitch mcconnell to put up a vote for the next three weeks if there is not a bipartisan deal before then, mcconnell says he will make time for the schedule for immigration legislation. lyndsey graham is part of the leading talk called quote, "more than reasonable last night." the white house talks on those issues will not resume until the government reopens the democrats will be meeting separately to discuss their vote ahead of the vote. mcconnell is expected to elaborate his speech where he made the pledge. and what changes between now and february 8th their votes are make or break and they know that with senator mccain out and two republicans like lily no.

they only need two democrats there are other democrats taking part in a group of a couple of dozen senators trying to broke the immigration deal it depends on what folks signals this morning and whether they green light it coming in at 12 >> cayla, thank you for that a couple of things, lp point is out. the other is you are talking about 2 million federal workers in the economy with 150 million workers. >> i think it is a really different debate at this time. typically, how much it is going to hurt the market how many people are hurt by this it is almost uniformed not that washington has been out of touch before. this is where people worrying about getting their tax returns or children and the idea of government now, the government's gigantic,

what we find in our world is our world works -- our ceos work there is a consensus, they're going to davos there is a consensus that our ceos want america to be strong i think a lot of americans are saying what is this about other than hurting people and that's different from the dialogue before which is why is it such a bipartisan conflict. it is kind of a united, are you guys kidding me? just do what you have to do, get out of our faces >> sounds like you say the democrats are over playing their hands on illegal immigration >> bingo, i think america does not understand i think the arm forces are loved and the idea that they don't make a lot of money to begin with and sacrificing and congress and the president makes them sacrifice more. it makes no sense to people. >> when does the military not get paid, do we know

were they allowed those and do they get to watch the game. >> furloughed without pay and they'll be paid retroactively. >> they're defending us. this is gotten ridiculous and something we care about obviously and people who serve, they get hurt. i don't think anybody wins here. i think everyone is kind of saying wait a second, we have got to get the government to function and if you do another three weeks or five weeks, all they're going to do is get in the way of what we are trying to accomplish here which is hire a lot of people in the private sector and pay people who work for the government >> there seems to be a willingness on apart of the investors to move on nothing to see here. that's the case for a long time now. >> washington made it where it is a bit of a comedy >> other than the debt limit which is real. >> right >> we are not dealing with that,

lets not confuse with the two. >> we got downgraded and that was a hideous time in the market >> when the s & p. >> that was the end of the major ro rollover i am paying attention to it. it is earnings season but when this is done, we have to deal with the resolution. when you see things reported great number and it is immediately up it is not like people say um, wind is great. the country is not working the government is not. halliburton is great number and taking advantage of amazing resources that congress is not taking away. i think tlas senhat there is a e that the u.s. government is a second rate. >> all right, very true. >> lets get to a couple of deals this morning that we should. >> sure. >> we'll stick with the ones that's in the biotech industry two big deals, celgene is buying

june know. it is a little bit over $9 million and sanofi bying bioverativ, that's 11.6 billion in cash. lets start with celgene and going through some of the math for you. it is going to be diluted to ips in 2018 of 50 cents a share and expect for it to be additive and what they are calling incremental. there are reports of this. and friday's close despite there were plenty of reports out there. transaction of juno of someone saying 2.9 times peak sales number, otherwise 4.4.

it depends what uses your peak sales number we are talking about blood cancer that's been a focus for celgene and getting deals done of what it seems >> look, they're trying to avoid what i see happening in oregon which lost their key drugs oregon going from -- celgene is coming down. >> i know, we spent a lot of time talking about valiant for a good reason which started to see significant progress >> botox is not going to be for a while.

allergan is bouncing off no one wants to be allergan. sanofi does not want to be allealle allergan >> 105 as i told you, $11.6 billion. on this one, there was not any news out and, get this, it is about 8.4 times 2018 estimated revenue and put into perspective of what we just told you of peak revenues for the celgene deal, you see it much higher it is at least what they are saying of 2016 could close quickly, sanofi, they went after innovation, they failed there. >> they had decent franchise and orphan drugs and things of that nature the analysts that weighed in already, generally seemed positive and some questions of

evaluations. >> have anyone seen bioverativ products >> i have not. >> they have literally something so powerful. this is from biogene where people feel it is not enough they create avid lab i didn't think they worth that much given the fact that they are creatorcreators >> there >> and the aig deal, it is been the worst performing in major insurance company.

aig had problems with care, too. i think ge have to do another downgraded ge. >> another 17 target >> they chose not to downgrade it yesterday with because of the nfl. >> the aig deal validus these deals can be quickly because they are not high ip deals. >> aig have to go back to be ensured. it stands for under performance. >> right >> it is been a hedge fund nightma nightmare. >> they should have been in travelers. >> look at the move in these stocks there is a reason why to wake up on monday with the deal that you own these names. >> what's with the weak up stuff. >> no, you spent the whole

night -- they used cisco >> that's a rarity >> it is a rarity. >> that's why in ci. >> there is no cisco >> i may have to do that >> you may need to do that by the way, vr's lead director is hank greenberg. >> is that true? >> that's been another real winner those of us knows okay, that's a premium. but, it reensures them well except for aig >> nice people some of the nicest people i have ever seen. as nice as the people that came in from minnesota last night to catch their team >> you don't need to rub it in >> now we have to watch them in their own town >> we invite them. >> they seem like a sweet guy. >> when we come back, no check out and no cash and no line.

amazon's new go store is opening. later on tim buckley's interview. you will want to get his insights in a moment of out performance. where a rising middle class powers a booming auto industry. a leap into the digital era draws youthful populations to mobile banking and e-commerce. trade and travel surge between emerging markets. everyday our 1,100 investment professionals around the world search out opportunities for alpha. partner with pgim, the global investment management businesses of prudential. [ click, keyboard clacking ] [ keyboard clacking ]

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amazon's check out free grocery stores opened to the public today it is known as amazon go customers are billed after leaving the store using credit card that's on file. the experience of shopping here, it feels like shoplifting that you are in there because you just walk out until you are notified of the payments moments later. >> i love the point in the article where the guy tried to steal and you could not. there is cameras it is not what i thought it would be >> it is cameras and not facial recognition. they took a lot longer than they thought. a lot of difficulty. the journal references being able to distinguish one type of

yogurt and another which may have different price points, for example, somebody's grabbing them and holding their hands much of the container, it is not easy >> it reminds me when we heard of autonomous cars, you have to do trillions of calculations in a second i have to believe it is not an economic way whole foods, a lot of this is a quarter pound of this and half pound of that, how does that work i don't know >> the executive from the company talked to the journal says they have not ruled this out using in whole foods one day. i think there is something to be said of whole foods and character of people that working there. >> you know a lot of people work in the grub hub kitchen but you don't know they're there grub hub is the biggest restaurant in the world. i do think this is once again,

you read that the checkers have jobs and that's the real issue i nakoknow davos is going to be devoted a lot on it, too and how many jobs are wiped out by technology people created the loop. it create a lot of jobs like over what? 100 years period >> there is gaps sometimes of that can be dislocations and of 30 years gaps where it is made up >> i think it is socio logical of what the story is the x revolution is the revolution that'll wipe out a lot of jobs. >> we'll get to cramer's mad dash and count down and take a look at the market on this monday, more "squawk on the street" straight ahead ♪

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lrall right, we got about seven minutes or so before we start on trading monday morning. >> you want to talk about snap >> yes engagement is strong and survey is still mixed it is just very few players. you know where is he going to go >> yes >> i want to point out that this is been such a disappointment and they use the $13 price tag and people keep on saying no matter what it is over value there is a scarcity of properties that you can advertise on we know there is facebook fatigue and did we hear anything from yahoo and verizon >> they call it oath

remember that's the name of the unit >> yes they have no momentum whatsoe r whatsoever it maybe change the way people view yahoo i am watching for that everyone wants to be constructive on snap they want to be but they don't have enough facts and that's right now of what i think of snap it is a holding pattern. >> i am looiking over your shoulders, what is that? >> those are wrestlers >> wwe >> tonight in brooklyn of the 25th anniversary >> it is a big deal, they have a great business model >> this that charlotte? >> yes, rick blair's daughter. don't mess with that >> how do you like that?

>> they were early in the ott product. >> yes >> yes, if that transition and now they are firing all cylinders tonight thinking people looking at that company as a new model entertainment >> all right, with e ge got a lf things to get to this morning. we'll take a look at mma story we'll take a look at mma story and we got xerox

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fidelity, where smarter investors will always be. you are watching cnbc "squawk on the street," live from the financial capital of the world. a busy monday as we watch the government shutdown for the third day. we'll be watching davos and earnings starting with netflix tonight which has beaten on the q 4 number -- the past five years. >> this is the first time the analysts have caught it. the question is, are they ahead of it? the upgrade is going require a statement by management -- look this cannot go on. we cannot add at this pace would

be the way i would do it you cannot put on what they have to do. the discussion of new content will be important because of the belief that's it is too expensive, that's not the case literally the sign ups are so great and the movies are so great that they can release them in movie theaters and make a lot of money just as an analogy and everyone felt like they did not have the balance sheet to do it they can do it without a problem. >> $8 billion this year, it is a number hard to get your mind around sometimes of what they'll spend on content >> well, they have to make content serves locally everywhere it is big >> it is really big. as long as subscribers keep ongoing up worldwide, it works >> the international story more

important once again is more than domestics >> right >> the utility that i have been watching that's really hot first energy looks like elliott is there today. he's been taking on companies that's been moving and not just when it comes up with a plan first energy can be like scam. >> there is the opening bell s & p at the bottom of your screen it is wwe there. you see charlotte there and the phantom of opera celebrating their broadway's longest show of all time >> it is incredible. both of these are successful,

long running plays >> wwe is often experience and its got a showmanship that people forget. i think they'll sell out tonight and it will be bill belichick. >> well, they smile more although he did put up his arms yesterday. >> well, coach pederson knows that it belongs to the team and not to him i liked that >> yeah, no one knows him, why he does not promote. he's not out there wearing the hoodies, he's out there getting a job done >> i would not say bill belichick promotes >> it is interesting of all those worries of the hand and the problems among the coaches, sometimes i wonder if it is all just a gigantic head kick just to get in the head of our teams. >> they did it

>> the conspiracy theory continues. >> we got two more weeks of this >> i know, i know. >> it is earnings season and we got apple and these are all things that takes the president of what's going on in minneapolis. >> you mention -- bernstein lowering cost on activist appointments >> appointed three new board members last week. it does occur to be active already in getting -- who knew that machines can bring a company to its knees >> what's incredible is -- >> they have their computers up to do. >> when you are up against home depot of the best in terms of all different things silicon valley can bring to retailers and you hang in there like

lowe's, that's like picking on someone that's not as good as patriots home depot maybe the best run of costco or walmart in the world >> there was a period, brief period >> yeah. >> activism, we should mention xerox. i did bring it up last week and if i remember the conversation we had, i may have the story on friday darwin deason, remember the guy that started the company affiliated company service and sold to xerox and is now together with carl icahn he wrote one of his best letters that i have seen enough with this, don't do the fuji deal and get rid of the ceo

and now deason joined and they are now together, representing 15% or so, they have formed a group, selecting four new individuals to the board of directors so says the letter that's out this morning from these two gentlemen and they'll do that at xerox's annual meeting. they want jake jacobson out as ze ceo. >> they want the company to sell >> right, xerox have been so problematic for so long. a lot of time we talk about relevance. is xeroxrelevant very hard. i don't blame them but i don't think it is necessary of jacobson this is what we talk about when we talk about ibm. is it still relevant and they say we are muchin the mix?

is hpe still relevant? >> right >> there is just an ultimate belief that if you are not up there like a vm ware or like a cisco. what are you doing you got to be apart of the internet of things and cloud data center and nobody cares >> no, xerox at one point was at the forefront of research and development responsible for many key advancement and technology 50 years ago i guess >> yeah, they bought scientific system the first billionaire in the country and the first pc and destroyed it he created the pc. xerox was never able to capitalize it. amazing. >> one of the founders of intel. >> the flow of upgrades and some

downgrades continue today. upgrades, dunkin and slb is up over in atlantic >> slb is a good example stocks was down 2.5 when we went over it schlumberger is about weak and weak people who are trading when it was sell ng shoing and shortinge said that in the stock reverse i think we should wait to the q&a. big countries are going to have to start spending and venezuela is much more important in terms of what's going on >> they talk about latin america

being very good, argentina they talked about russia and saudis the saudi deal is something you have to get ahead of schlumb schlumberger >> do we know? i don't know where the latest talk in term of taking public as the country and as opposed to just business. >> where are some of the top people at what hotel >> they're at the ritz >> prince ali is still being held >> the rich is not necessarily the last place >> it is been a long time for those guys to be in the hotel. >> there is not a lot of due process in saudi arabia. >> no. >> i believe they are still being held at the same time i end up thiof

chairman whoo, what ever happened to him? >> the ritz. >> they own the wall door, remember >> maybe they moved him over here and keep them up there. >> maybe on the 13th floor >> there is something we still got going for us in this country, the rule of law >> it touches and goes these days, still some due process out there. >> some encouraging things >> and four seasons. >> what about the four seasons >> house arrest at the four seasons. >> sounds like you would not mind the arrest. >> can i get valet >> i like that shoe shine >> you got to be in your slippers all the time. >> i have not thought about it >> you will be in your robe. >> that one is good service. >> celgene is down >> why

>> because of this juno deal i guess. >> you don't think they paid a fortune after the stocks are up. >> i am seeing some analyst here from the people following seemingly low evaluations of the previous deal in the sector, jim. it was not 3.5% when i looked at it a moment ago. >> sanofi have also been down and engaging in a large deal this morning in the biotechnology of $105 share deal for them to acquire by bioverativ those two large deals. i have not seen aig. >> fairly down >> we have not mentioned twitter, and then id'ing thousands of accounts they say

were tied to russian propaganda after the 10-week election >> we have him on quite a bit. he will issue offline that are difficult. i do think -- this is a model that's all algorithmic you are a young person that has a lot of debt dbut got a good jb and can get a low. >> he was at the top of the world? >> they had these algorithms, they make the decision so quickly, and they take it seems longer than it actually takes so the person on the on the phone don't get freaked out. >> the default is very low >> i know he was at goldman sachs and he's well traveled west point >> he's well traveled. >> goldman's analyst and

goldman's investment banker. >> oh, of course, he was in the go g go-go days >> we used to call him anthony know dough >> it was don't know >> it was also don't know. >> it was unfair and i don't know who did that. >> which is why you mention them on television? >> we had fun with them back then >> anthony, it would be great to stabilize that company you merge it with goldman and goldman no longer that is to worry about being a trading firm >> hi lloyd. >> got it. >> what about the loss of

executive who pushed live videos in a big way >> that's a good point i think twitter is in a sweet spot and stocks had a big move and square >> congratulations that stocks ca stocks -- stock came together. it is a tough by i don't think sales will come back >> you don't think they'll come back to try to buy twitter >> no, i think it is the fabulous database. >> that was the belief at the time and if it had not become public, there is those believing that sales force may have done it >> the evaluations are not impacted by that and of his principle method of communication. >> ge is struggling. >> the dow is down 41.

>> lets get to seema mody this year >> earnings are anticipated to steal the spotlight over 75 s&p 500 and netflix is a big name. stock is up 60% over the past year thanks to an increase of subscribers. big pharma kicks off with j & j tomorrow and ahead of our report, ge shares is getting downgraded by bank of america, larry lynch. stock is down at 8%. celgene is showing out 9 billion to june know therapeutics. allowing celgene to stay at the

forefront at cellular therapy. check out the come back of online travelers after a disappointing third quarter season in case you were wondering, who owns bitcoin, according to this new global chain business count, shows it is millennial non white males own it because it is a growth investment and others say to avoid business -- keep an eye on central bank. bank of japan results out tomorrow ecp is on tap on thursday. >> see seema mody is on the floor lets get to rick santelli.

>> you see the chart hovering one base above of what had been a high yield for quite a while from last march. look at boone, getting close to 60 base point but not touching it last time the bund settles of 60 and ironically of just one session that was around mid july 2017 the difference between r 10s and european 10s is hovering a little over 2% looks like it wants to break out a little bit we are closest to the widest since april. why is it meaningful it spreads pretty and important and rates seem to move a highly correlated fashion as we get into what our close to the highest yields since may of

2014, it will be interesting if we drag european rates higher. the rest of the world is experiencing both growth and higher rates when we chart, looks pretty sideways, that's the good news the not good news, going all the way back to the end of 2014. carl, jim, and david back to you. a quick programming note as we go to break do not miss our special coverage of the world's ceos in davos guests including moynihan and dennis morrison and david

ruben rubensten and many, many more. >> we'll be back in a moment

. between the shutdown and merger on monday, earning season, davos, it is going to be a busy week and central banks as well the dow is down 20 and uptake for the s&p 500 and nasdaq putting them

three days and counting, thousands of employees furloughed this morning. the government shutdown entering a new day after failing negotiations but a deal to end it could be hours away we're going to be paying a lot of attention to the vote we expect in the senate around noontime >> it's only a weekend, obviously that's good news the longer it drags on, it will hit up the retailers who were hurt last time, or will be -- people think will be hurt, which is obviously dollar general and dollar tree. these are really unbelievable companies, so that historically -- the rich do not get hurt by this once again, it seems very wrong. but that'swhat happens let's get stock trading. what are you watching? >> i'm looking at a couple companies, we didn't talk about halliburton, but the drilling that is going on right now is

ferocious. and the u.s. is by far the low cost producer of natural gas in the world. and is approaching a level of oil production that, i think, no one would dream of happening and halliburton's technology is behind all of it halliburton's deeply involved in the actual permit and the stock is not good. by the way, it could be good for -- if you go look at the ge company, you can see there are parts that would be very, very -- let's say, delightful, for a company like halliburton. >> maybe we don't talk enough about it, but it is so important on the advances that have been made even again, we talk about fracking, they continue to make advancements in terms of getting the oil out in a more efficient way. and that is like our saudi arabia down there. >> it is why the rate count is

really kind of invested. they talked about the number of holes you can drill with current just make it so it doesn't matter they were sold out of horsepower in this country, but they have a million horsepower. >> they said on friday they would be the number one producer that's unthinkable >> there's a huge project happening in new mexico. remember, they keep going west new mexico, gigantic finds in oil. gigantic who would have thought >> so do we need to be going offshore as the administration wants to >> no, not at all. the administration really seems to be hell-bent on -- they are not in sync with what is going on i'm more celebratory with what is done than what is happening in santa barbara we are not going to do that.

>> what's on "mad" tonight >> well, little hope and grind and grind is the way the eagles have to play so let's talk about that with hip. i'm not talk about hotel california, by the way, because everybody else has said, when you read the media, we do play brady has to win the ring. he has to play they don't just -- they don't surrender. and that goes four quarters, too, which is really amazing that's why i have to point out that the national media just simply does not believe that we have -- that our defense isn't real, that coach peters is not real, coach schwartz is not real, all the people are very real and they're going to be there. >> we can't wait to watch. >> it is not really one team showing up and the other team wearing the red pennies. we are not the scalp team for brady and company. we are actually going to go. maybe it doesn't matter. >> i love how you are not

defensive about this at all. >> no, now igot to get into th ticket pool. which i'm not hearing anything good, nothing, in terms of the cost. >> we'll see you tonight, jim. congratulations again. "mad money" 6:00 p.m. eastern time when we return, the cost of the government shutdown. we'll talk to the former white house economic adviser, jason furman n'awdot ay don't go away. (daniel jacob) 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 to about 10 pounds of carbon dioxide every week. (malo hutson) 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.

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the global investment management businesses of prudential. good monday morning. welcome back to "squawk on the street." it is off the initial lows, dow is down 15 and the s&p and nasdaq putting together record highs as we watch the government shutdown plenty of earnings this week, davos and m&a. we begin with the shutdown and its impact on the market rolling into a third day will a deal come today >> it was a big deal last year for activists and investors. we'll find out what to expect this year. and a big lineup of guests this morning the ceo vanguard legendary

sports agent drew rosenhouse and a bitcoin celebrity all coming up this hour government shutdown continues. another senate vote expected in about two hours. our ayman jabbers is joining us from the white house with more after a long weekend good morning, ayman. >> reporter: good morning. we are in a bit of a waiting pattern waiting for the vote today at noon to reopen the government we'll see if they have the votes to do that there's cautious optimism at the white house. the president has a very light public schedule. we don't see him doing anything officially until an hour from now when he gets the intelligence briefing, but he's been active on twitter putting out this about democrats saying, democrats have shut down our government in the interests of their far left base. they don't want to do it but they are powerless so where is the president today? and how come we're not necessarily going to see him on camera during the course of the day. i asked that of mark short, the legislative director here a little while ago here's what he told me, he said, the president stands ready to help out in any way that he can, but let's keep in mind that this

is a manufactured crisis by the democrats. it is hard to negotiate with hostage takers so there is a sense here that there might be a little bit of pressure on some of the maryland and virginia-area democrats in the senate they have large federal workforce constituencies who might be frustrated with the stop in their paychecks. so we'll see if that is impacting this vote. meanwhile, they are saying the president's trip to davos this week is on hold, at least officially and even if they get a deal before he's scheduled to leave on wednesday, it might be difficult at this point for the president to go because so much of the logistics have to happen in advance and none of that is really able to happen right now. so it looks like that davos trip could be postponed, guys back over to you >> eamon, thank you for that for more on the shutdown and impact on markets, we are joined by terry haines, and barry banister happy monday, guys terry, you see 60% likelihood this ends tonight, what leads

you to that number >> well, cautiously optimistic they have the votes in the senate today but even if they don't, this ends within the next day or so the public mood will turn into an anti incumbent one. and neither of these parties want that. they are about to the point where they have made the political points that they needed to make for their base. and they're clearly moving toward that. >> so that takes us through february 8, you think? >> yeah, i think that is the way the deal is going to come down and the way the senate majority leader mcconnell described it, what he wanted to do last night, was use that three-week period, really to put pressure on negotiators to come up with a bipartisan deal. and the threat from mcconnell is, if you don't do it in the next three weeks, i'm going to put daca on the floor and put all the stuff on the floor and let the senate work its will in that case, some of the negotiators might well lose leverage they won't want to do that, so the idea is now coming to a

deal >> barry, how important is this government shutdown when it comes to the markets all evidence thus far indicates that it's not, seeing records of highs over and over again here what is the key for the markets in 2018 if it is not government action or inaction >> yeah, i don't think the shutdown is that material to the market, if anything, the only thing i would worry about is treasury technical default has occurred almost five years ago that kind of political discourse would be unproductive to the market now, as far as the market goes, the reason for the rally is that the earnings are here and now. the legislative tax cuts, but the interest rate increase as you discount the earnings by, those were seen as occurring later. so that disconnect in time is why the market rallied we're actually more positive on rates going up near-term and would expect a 5% pull-back in the near-term and more volatility in the market as it goes higher. >> i was going to say, your year-end target is 2750, do i

have that correct on the s&p 500? am i reading this correctly? 2750 >> yeah, about two months ago we based the target to 2750 it was the fourth increase in about a year we have been long a global rate trade of deflation for over a year since the election. and that has been our positioning all along. >> so you don't think the market is really going anywhere from here basically, we have the whole thing in the first few weeks of january >> yeah, i eluded to it in a note on january 5th. but i'll be publishing more on that but i would expect more of a mid-year peak for the market and the year to tail off as it goes through. >> that's because of interest rates? i'm pulling up the thread here, where are you going? what do you think? >> we think the ten-year treasury hits 296 in the next six weeks. we think that the baa yield is spread and bottoming

that's the discount rate we apply to earnings. we think that's going to cause a bit of a shock to the market that's the rate of change in rates. we saw this in 1997, 2013, the second half, it increases market volatility as the rates spike. if things are as good as we think, then what you are going to see is the rates reflect that very abruptly. >> hey, terry, what do policymakers, what would policymakers make of an environment like that? rising rates, more hints of inflation, how closely is the white house watching what the fed may do >> well, i think policymakers are monitoring all of that very closely. and i think they would not be surprised by many of it. i mean, our call has been that you get three or four rate hikes in 2018 from the fed regardless. i think that continues to happen to a couple bearish points, one is that he's absolutely right, this is not a market event in 2013, the white house council of economic advisers said there

would be a 25 -- it only lasted a couple days, so it was common existent but the second thing is, it is very unlikely we'll have some sort of debt ceiling crisis here it's important to remember that fundamentally what this shutdown is about is not about spending, they've been very close to a spending deal since november and could be doing it. this is about the daca d.r.e.a.m.ers, border security, but this is not fundamentally about some major rift in washington on spending >> as you're talking, terry, one last point where we see the leader on the left side of the screen there how do you expect immigration to be solved, let's say once we get a new, i don't know, spending visibility for the next year even >> i expect the daca issue to be solved i don't expect the fundamental immigration policy to be

overhauled most of -- most of immigration policy changes would be quite bipartisan and quite easy to fix. but fundamentally, the path to citizenship issue remains as much of a road block as it did in 2013. so i think you get a limited -- i think you get a limited solution on daca but not a broader one. >> all right terry, barry, thank you, guys. by the way, as the leader is speaking, leader mcconnell tweets today at noon every senator can vote to end this government shutdown we will vote to end this filibuster in advance instead a bipartisan bill that would put the whole mess behind us. >> it was interesting to hear from barry saying that he thought that rising interest rates were a threat to the market in 2018 and they say that because there are so few people i've asked who believe that i mean, it seems inevitable that rates are going to rise. and at some point, the ten-year starts to provide competition to stocks that have yields, right i mean -- >> two of the five already do.

>> right, exactly. so many people say, no, they are going to be slow about it. it's going to -- >> he doesn't seem concerned he said 296 within six weeks is what i heard him say that will be interesting if he proves it correct. >> yeah. >> that's a move that is a move. >> that would be quite a move. >> when we return, officially an epidemic, this year's flu season is the worst widespread outbreak across the united states in over a decade the ceo of doctors on demand is going to join us then later, the ceo of vanguard, his take on the record rally tax reform and even some bitcoin. stay with us 30,000 precision parts. nfn or it isn't. it's inspected by mercedes-benz factory-trained technicians. or it isn't. it's backed by an unlimited mileage warranty, or it isn't. for those who never settle, it's either mercedes-benz certified pre-owned, or it isn't. the mercedes-benz certified pre-owned sales event. now through february 28th. only at your authorized mercedes-benz dealer.

day three of the government shutdown comes in the middle of a nationwide flu epidemic. one of the agents impacted is the cdc. what does this mean for the state offensive health care? we have a guest here from doctors on demand. good morning, thank you for being here. >> good morning. thank you for having me. >> i signed up for your business this morning if i have a good internet connection, i can talk with a doctor via video camera on my computer and get a 15-minute session. if i pay cash, $75 if i have health insurance, there's the ko-pay, et cetera. tell us what you're seeing as a result of this flu epidemic? can you give us context? how much of an increased in demand are you seeing? >> absolutely. this is an unprecedented flu season in general. starting out heavy hard, hard-hit states of california and alabama.

right now one in five visits that we do every day is for the flu, compare that to last year where it was about 1 in 20 visits we are seeing unprecedented levels of the flu virus this year. >> any impact of the shutdown and the cdc when it comes to interactions with patients >> we might see a little bit in the slowdown of the data the cdc puts out, but we look at the realtime data from our own system we're actually processing thousands of doctor consultations every day. and we're able to quickly triang late where the cases are breaking out and communicate actively to our population through our blog and through our e-mail >> so tell me how the business works, how are you making the most money is it important to have lots of people with health insurance to sign up? or is it better if there are people just willing to pay cash and immediately within minutes be able to talk to a doctor for the 75 bucks >> yeah, that's a great

question the important thing is that we work with people, whether you have insurance or not. so we have started out really as a pure cash pay business and three years ago started partnering with large health insurance companies like united health care and humana as well as large employers like the parent company comcast as well as walmart, american airlines, many other large employers and they offer our service as a covered benefit as part of their health plan. so it doesn't matter if you have insurance or not, we can see you. our average wait time is about four minutes which compared to the up average wait time of 18 days across the country is a really big differentiation of our service particularly when thinking about the flu, it is critical that if you think you have the flu, that you get in front of a doctor within 48 hours because they can prescribe medicine that can really shorten the duration of the flu virus. >> like what >> like being able to see a doctor -- excuse me? >> like what can they prescribe you? >> medications like tamiflu and

antivirals that can slow the duration of the flu. but those are only effective if you see a doctor within 48 hours of the symptoms. and so being able to see a doctor 24 by 7, nights, weekends and holidays is an important differentiati differentiation, especially in the flu season. >> five years from now, what do you do are you absorbed on your own or by somebody else is somebody going to buy you or are you going to keep building this >> we are focused on building our business we want to be the front door to your health. so being able to put any patient in america in front of a doctor in four minutes, allowing them to treat 90% of the reasons why people go into the emergency room today, can really save the health care industry hundreds of millions of dollars a year and also provide better care for patients so we're just focused on continuing to build our capabilities we launched the first ever integrated lab testing

capability last year, building on that to treat more chronic diseases is a big priority of ours so we are just following where patients need us the most. >> well, good luck thank you. >> thank you, michelle >> we should note nbc is a client of doctor on demand it was pretty cool this morning, i could just log in right away and if you wanted to talk to somebody -- or if you're in a hurry. i went to the north american bitcoin conference in miami last week bitcoin is a craze making unlikely celebrities like this guy. when we followed around the founder of the conference, he's the one in the glasses, he was stalked continuously by fans dying to take selfies. levin is a true bitcoin believer he told me when a minister from a church in utah approached him about getting a discounted

ticket to the conference, he told him no because -- >> we don't do religion here bitcoin is the religion. >> bitcoin is the religion. >> bitcoin is the religion we remain agnostic for other things. >> is it really a religion are you being silly? >> there is some sort of religious and holiness to this thing. that's a little bit like the preachers and the temple of bitcoin. >> the temple of bitcoin, guys >> okay. what did you learn what was -- come on, give me the big takeaway >> the big takeaway is, i feel like we're at the pets.com stage. pets.com went bankrupt there are going to be wipeouts for sure there's mania here, it is just intense to see just -- like he said, it is like religion. you felt this been, you remember in 1999, right

>> i'm familiar. how many people are we talking at this conference >> he had $44500 this year that's up from the year before. >> international or u.s. >> mostly u.s. there were people from venezuela where bitcoin is big a lot of people from southeast asia as well but just people just dying to be there so excited and listening in the big theater to the next big thing when it comes to this. >> did you shoot this prior to the recent pull-back >> no, i shot this on friday still hot. >> so questions or answers for it >> they think it is going back up >> the true believers. >> the true believers. yes. >> how much was it to attend this thing >> more than a thousand bucks. but it has gone up four or five-fold over the last couple of years and gets his glasses from a tiny place in germany, now the symbol of the conference. wherever you go, his glasses are -- >> they were a distinguishing mark for sure, the glasses

>> yes >> mo -- >> levin 29 years old, lives in amsterdam. runs bitcoin conferences all over the world the next stop is dubai. >> good for him. mo levin, remember that name coming up, activism in 2018. we'll have the founder and principal of 13d monitor and be sure to tune in for a special week of guests from davos. we'll have cisco's ceo, and so many, many more. tesqwkn e re" et afr this and the wolf huffed and puffed...

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a recent wave of activity could be nestle or today with news on xerox, here to shed

light on what is driving activism is a portfolio manager of the 13d activist fund last year you met the market, well done. up above the s&p's return. overall, ken, '18 going to be as busy as '17? >> '17 was a comeback year '15 was a great year '16 the pendulum swung back as it should have been. and '17 things normalized. >> why do you think that >> there's a lot of tail winds for activism one being esg, which we can talk about, which is the trend for social investing and environmental governance the tax plan is certainly going to give companies a lot more cash good for activism, probably more m&a good for activism

and money going into the passive indexes really helps activism. we keep seeing this. and the more money that goes into passive indexes, the more inefficient the market has gone and the more opportunities there are for valued investors. >> right and the investors become the key voting bloc when it comes to iss, well, when it just comes to a proxy by itself. >> right and those guys are starting to side with the activists more and more and certainly more than ten years ago when they wouldn't give them the time of day. >> it's funny, i have been following activism for a long period of time i rely on you, certainly sometimes to bring me up-to-date on certain situations, but it goes to situations i can't sit here and tell you, ken, and i would be cure you your thoughts whether activism always works or is a good thing, because clearly it's not, but there are certain times when it does appear over the long period of time to actually add value. >> it doesn't always work that's for sure everything else, there's good about vichl and bad activism

>> anything bill touches doesn't historically do well. >> historically it does. >> come on, historically you know all the guys, the best years were way back when most of the dollars invested are not making money. >> he's at a bad go of it. i think he's going to start turning it around. he's got a lot of that stuff behind him and will start getting back to his bread and butter, high-quality companies that activism can help. >> he lost the -- >> he lost the activist part, but i think he'll be fine on the returns part i think the company will do a little of what he says, and if not, he'll be back so yeah, but as to your point, activism doesn't always work and that is why you -- and they are very highly -- >> how do you pick and choose? when do you decide whether to invest in a particular situation becauseyou think it is right and clearly you did a good job with that last year. >> in 2016, the best situations comprise ten activists so we are analyzing what the catalyst is, which activists are

good in which sectors, which sectors, which activists are good with different strategies and what the shareholders are likely to support the activists. >> so who is the best in technology >> telly yoth. nobody is better than elliott. this is great for any amount of time, but two years is amazing we think that they are higher than banker to explore strategic opportunities. and there's nobody better in technology, strategic technology, than elliott. >> you mentioned environmental, social and governance investing. i reported last week that with this frankly kind of strange approach on apple, they certainly seem to be interested. larry fink's letter to ceos, is this a thing >> well, it's starting to become a thing in activism and as you

said with black rock the activism skillset translates from active activism to social activism he's trying to influence management but for social reasons, not economic reasons. that's what they have always done as far as influencing the magic. not only are they exploring a fund, but they hired an esg specialists to help them with the fund but also to help them with the master fund and talk to their partners who are on boards, as far as being very good in the g-part, but better in the e&s and creating value there. >> we heard from mike in a letter, but he's been quiet of s people is karl still a force in activism >> he has none the year before that's from a guy who normally had five or six d's a year never count carl out he did lose a lot of his staff

he's been focusing on other things for a little while, but this is kind of a reactive activism, the xeron situatix si. he's been in there for a long time we'll see if he's going to ramp it up. >> what is your favorite situation in terms of value yet to be created? >> believe it or not, my favorite situation is a stock that was up 50% since november melanox. starboard is great at semiconductor activism and 1113 d's there. their latest situation was up 182% and mellanox is just like novel. 40% of revenue in r&d. starboard is better than anyone coming into companies like this and really improving the bottom line and i -- we expect to see it there. >> mellanox.

your conference a few months from now, never too early to promote. >> jeff smith will be there and maybe he'll talk about mellanox, we'll see. >> thank you sue herrera has a quick update. >> here's what is happening at this hour. vice president pence kicking off his visit to israel with benjamin netanyahu saying it was an honor to be in israel capital, jerusalem later he addressed the parliament receiving a rousing ovation when he announced the plan for the embassy. >> in a few weeks, the united states will advance their plan to open the embassy in jerusalem. and that united states embassy will open before the end of next year >> meantime, palestinians in the west bank protesting pence's visit with pence go home posters. they burned and stomped the

posters on the vice president. the palestinian leaders are boycotting any meeting with pence. secretary of state rex tillerson becoming the highest-ranking u.s. official to visit the new american embassy in london. a building that president trump derided for its cost and location opening a week-long trip to europe, he went to the embassy to greet woody johnson you are up-to-date that's the news update this hour carl, back downtown to you >> thank you, sue herera when we come back, the government shutdown is continuing we'll talk to jason furman next w thdok about that with e w nopositive by 31 points. ech coms are reporting today. and, how's it looking? >>i don't know. there's so many opinions out there, it's hard to make sense of it all. well, victor, do you have something for him? >>check this out. td ameritrade aggregates thousands of earnings estimates into a single data point. that way you can keep your eyes on the big picture. >>huh. feel better? >>much better.

yeah, me too. wow, you really did a number on this thing. >>sorry about that. that's alright. i got a box of 'em. thousands of opinions. one estimate. the earnings tool from td ameritrade. nothey're not investing iney commoditiesies. or fixed income. what people are really putting their money into is what they hope to get out of life. but helping them get there requires a real refusal to settle for average. because when you approach investing with a tireless desire to beat the status quo, something wonderful can happen. those people might just get what they wanted out of life. or maybe even more.

a vote is expected around noontime to end the government shutdown morgan brennan is joining us with more on that. >> here's what is happening despite the shutdown

military operations around the globe, active forces staying put despite no pay until lawmakers actually strike a deal but the manufacturing and delivery of new equipment and weapons, that could be disrupted. so lockheed martin says this shutdown negatively impacts hundreds of ongoing government programs and thousands of our employees across the u.s the shutdown could result in a costly schedule delay and breaks in production that will increase overall program costs and interrupt the delivery of critical equipment to our u.s. government customers now back in 2013, during the last shutdown, lockheedand others like united tech furloughed thousands of workers as some production lines did grind to a halt. that racked up delays and costs. it could happen again here companies say right now they are implementing contingency plans similar story in the space sector as well as spacex says this shutdown impacts spacex's falcon heavy demonstration, and

they are scheduled to launch shortly from cape canaveral and vandenberg air force base. expect to hear more on this over the coming days with contractors like northrop grumman reporting this week. and u.s. aero and defense is down today back over to you >> for more on the impact of the shutdown, we are joined by jason furman from the kennedy school of government, the former chair of the economic advisers under president obama. jason, good to have you back >> good to be here. >> so we have disruptions in sectors like defense, but we have talked a lot about this desk, the negligible impact on stocks what do you make of the shutdown other than it is no way to run the country and is embarrassing? >> it is certainly no way to run

the country and certainly embarrassing frock the macroeconomic perspective, there's not a whole lot of impact. there might be some, but then you get it back when the government reopens so you get a shifting. it matters for certain sectors, we just heard that it matters for certain areas. d.c., maryland and virginia are affected a lot, places like minnesota and michigan much less so the impacts are uneven and will mostly wash out over time, but at the end of the day, it is just a really inefficient way to run the government >> so you say you're more interested in seeing how congress can work to avoid this in the future. how likely is that how could that happen? >> first of all, this is a dress-run for the debt limit that would be potentially catastrophic for our economy so to some degree, we're practicing here. we have to figure out how to get this right because that could be even harder. for now, there's a really simple

solution here as i understand it, and i'm not in the negotiations, but you do something on the d.r.e.a.m.ers, do something to fund government for the rest of the year that includes defense and non-defense. i would much rather congress being in a conversation about how to pay for the increases, but that conversation has been entirely upped >> on friday, nick mulvaney accused the obama white house for this shutdown. how fair is that you were there. >> completely unfair. there was a simple rule we followed on every one of the decisions. it's the lawyers and agencies that make the decision there was no central political process in the white house we didn't want to have to make those decisions. we didn't have the legal expertise to do that, which is why lawyers in the agencies made them and if you look at o&b's

guidance out on friday, it was word for word what obama's o&b put out in 2013. they are following the same exact laws we did. so i think that is just a nonsensical debate. >> it feels like implementation is different, right? some parks are staying open. a lot of things that shut down during the last shutdown aren't this time up around, right there's a lot of room for interpreting those rules >> certainly the rules aren't black and white. and that is why we didn't want to be making decisions in the white house. we wanted the lawyers and the agencies to be making them we had a less drastic shutdown in 2013 than the clinton administration presided over in 1995 and 1996. part of that is because some changes in the way of the law was done, some of it just depends on the agency having a little bit of an extra balance they can use or can't use. there's a lot of different circumstances and it varies agency to agency. >> and it depends on motivation,

right? i mean, it also depends on motivation and who you would like to blame. republicans are in charge, so they want to make it look like this is not a big deal and it was just the opposite looking back when you were in power, right >> we wanted to govern in a responsible manner consistent with the laws. congress passes the laws the executive branch then implements those laws. and in some sense, congress is passing an incoherent law here to tell the government to do certain things and then doesn't give the government the money to do the things. that puts the government in a really bad position. >> speaking of which, we have discussed this morning, 57% of irs workers are furloughed now today was the day where they were expected to start giving guidance to corporations regarding the repatriyrepatryya-

repratiation act >> it can take a year or more to write rules for this complicated rewrite of the tax legislation but certainly if the shutdown lasts, it will delay some of the implementation of the tax law and inject a little uncertainty that i don't know if it is a huge minus for the economy but it is not a plus. >> so at what point in day count would you start to get worried would it have to go on for a month? >> oh n a month i would definitely get very worried, because then you are starting to lose things younever get back. last time it was 16 days when we got the final jobs number for october, it was a pretty good month. for job growth i think a 16-day shutdown would be a really bad idea, but again, part of this is the taxpayers should get the most value for their dollars. and when you have this type of stop/start production, you're talking about it before in the

defense sector but it happens throughout the government. taxpayers are going to end up getting less output from their government for their tax dollars. so this is just a wasteful bad way to spend money because ultimately, the government will get funded we will spend that money we're just going to get less for it because we messed around in this manner. >> all right we're going to find out hopefully a few hours whether or not it can end today jason, thank you for insight good to see you. jason furman joining us. >> thank you for having me coming up, legendary sports agent drew rosenhaus is joining us as the eagles and patriots head to the super bowl first, the ceo of vanguard is joining us from the lgearst etf conference more "squawk on the street" next

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the etf industry has grown to a $3.5 trillion market. bob is joining us with one of the industry's biggest leaders >> hi there. tim buckley, only the fourth ceo ever i didn't realize, congratulations. this is your first television interview. >> thank you, bob. >> before we get to the investing business, we're looking at the government shutdown how does this infect vanguard investors? >> well, vanguard investors, our clients are not concerned with it right now the markets aren't really -- they are looking past it i think we look at a much more -- what does it foreshadow for the debt ceiling in march? that's a much more serious affair and so we want to see, we would love to see resolution, but

especially we'll look at the signals for how march will be handled. >> you talked about the concept that we may or may not be in a bubble are we in a bubble and what kind of turns are you telling vanguard return holders they will see? >> evaluations are stretched, so people should be conservative around their return assumptions. when we model it out, we see a balance portfolio over the next few years. it doesn't mean we are going to retreat backwards, but it means your return is going to be lower. you can control how much you pay for that return and how much you personally save. the biggest leverage you have in a low return environment is to save more. put more away and make that work for you. because you can't count on returns being exceptional in the years to come. >> so you're talking about 4.5%, i think you used that number in the next several years >> yes, and people are typically

used to 8%. >> let me move on to talk about indexing versus active managers. we have active managers on all the time to say, this is the year for active management it's finally going to happen you have done both but made your fame on indexing is it too dangerous for the market >> indexing is low cost but it isn't big enough the reason activism is underperforming is fees are too high it's a competitive business. it's tough to find excess return with some gain you have the lower fee so more people have the chance of performing right now with active management, it gets consumed by higher costs so indexing does well. if fees come down overall, active management will come back and it will balance the equation again. but right now, we see indexing with a lot of growth ahead it's a great way to make sure you have the market turn and you get to keep it. >> the s&p index, vanguard's s&p index is three basis points right now. that's $3 per 10,000

where is the fee war going to go people are flocking to you because they want those low cost index etfs is there a point -- are you going to be a zero basis point etf one day? >> we are built to be low-cross across the board we're built to be close to zero. because we are owned by our clients, when we do well, we share our would-be rofits, our earnings, with them in the form of lower costs so we share that, the economy scales and the good investments with our clients we should be acetonic to zero. >> that means close, folks expect zero coming larry fink, your competitor, sent a note last week to say they need to be more socially responsible. does vanguard feel that way? and how? >> we have an obligation to our clients to maximize their return we talk to companies about being

aware of the social implications of what you do the extent to it affecting your marketplace. be aware of the risks of the environmental impact, around the governance, we'll have a loud voice on how this is happening so these affect your business and you should be aware of it because it will affect your total return for your shareholders. >> before i let you go, i have to ask you about bitcoin the fcc sent a letter out to everyone last week essentially saying, they didn't say no, but the barrier for the entry etf is so high that it is almost no what is vanguard's view of the etf? will you set up a sunday in. >> we love the underlying block technology behind bitcoin. the digital distributor ledger but for other reasons. bitcoin, you will never see a fund from vanguard on bitcoin. we tend to stay away from assets that don't have underlying economic value that don't generate earnings or cash flows. we don't have a gold fund

either so the bitcoin, its value is based off scarcity and it is real tough to imagine where the long-term return comes from other than speculation. >> tim buckley, this is your first tv interview as the ceo of vanguard congratulations. you have been there a long time and nice to see you at the top $5 trillion in assets, $1 billion a day you take in. that's a remarkable number. >> incredible trust put in us by our clients. >> thank you, sir, for being here have a good afternoon. we'll be here for the next two days talking to 2500 investment professionals. we'll have all sorts of people on, including discussions about bitcoin coming up with the man who has the bitcoin etf. he'll tell us where he thinks it's going next. >> two more days of watching you in that sunshine, two more days. man, that's a nice view. thanks to bob. now over to john ford here i love the cold these days up here in the northeast. yeah, not that cold here at

least. coming up on "squawk alley," we're continuing to track the government shutdown and efforts to end it. but meanwhile, we've got the founder and ceo of duck duck go talking internet privacy and why google and facebook, he says, d tt bangain on the wro enofhadete that's coming up

after a blowout win last night, the philadelphia eagles are super bowl bound they'll face the defending chapel ammon new england patriots in two weeks. joining us on the phone this morning, nfl super agent drew rosenhaus. represents at least five super bowl bound players including gronkowski who took that shot to the head last flight drew, good to have you how is gronk >> well, you know, i take concussions very seriously it's a very tough injury to have for an nfl player. so it's hard for me to give you much information on this it does take multiple days after the injury to see what the post

injury symptoms are. so really the next several days will be very critical for us to see what we're dealing with in terms of the duration of the injury the nfl takes concussions at an all time high level now. there's a concussion protocol which means that a player can't even practice much less play until they're symptom free so this will be something that we'll have to monitor over the next couple of days. >> yeah. obviously tough to watch he really slow to get up it was hard hit. drew, eagles open up now as the biggest super bowl underdog since '09, 5 1/2 points. are we still discounting them too much >> absolutely. i think the eagles are getting

underrated because they have a back of quarterbacks in nick foles. but there was a time in nick foles' career where he was a pro bowl mvp so nick foles who is playing back to the height of his career and i think he's being underestimated the eagles have a tremendous offensive line they have a terrific group of skill position players and they right now in my opinion, they have as good a defense as any in the national football league. maybe the best defense in the nfl belongs to the philadelphia eagles and they've got two big running backs in lagarrette blount and jay. so the eagles have a very good recipe they're big underdogs because of tom brady and bill belichick you know, this is doug pee peterson's first super bowl as a head coach bill belichick is in his eighth.

so that takes a lot into account. and obviously tom brady is the greatest quarterback in the history of the nfl and let's face it, brady and belichick are going to be favored no matter who they play against these days >> yeah. >> hey, drew, tom versus time. this documentary that is going to be -- or the series that's going to be on facebook about tom brady. what do you think are the economics there? i see he is part co-oern wner o this film company. >> well, i think tom brady has got to be one of the most remarkable athletes of our time. for a guy to be 40 years old and be the nfl's most valuable player and to fight through injuries and to play as well as he ever has is absolutely freakish he is unprecedented player and

athlete. i'm fascinated to learn as an agent the different things that tom brady's doing so that our clients can incorporate that i mean, brady is an absolute anomaly to play at this level at his age is absolutely unheard of >> as the cover of "the new york post" says, not again. that says it all, drew that's how long he's been around doing this and doing it well drew, thank you. we have to run top of the hour. drew rosenhaus joining us this morning. "squawk alley" starts in a moment of seats.extra third row they think it's theirs. look at them, they have no idea! it's not theirs. it's mine. mine. mine. mine. the new lexus rx 350l with three rows for seven passengers. are you excited about your baby sister coming? experience space for the unexpected with the rx l,

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talk to one today and see why we're bullish on the future. yours. good morning, it is 11:00 a.m. on the senate floor where a vote that could end the government shutdown is an hour away it's 11:00 a.m. on wall street "squawk alley" is live ♪