wall street pointing to a higher open address s investors key piece of inflation data. chipotle tapping taco bell for its next ceo those details coming up. and new numbers show how much money uber lost last year it's wednesday, february 14, 2018 happy valentine's day. "worldwide exchange" begins right now. good morning welcome to "worldwide exchange." you're watching cnbc

i'm seema mody >> i'm dominic chu we are seeing green this morning, a nice reversal from yesterday. the s&p is latslated to open 1 points to the upside the dow slated to open up about 130 points, the nasdaq by 35 also checking in on what's happening with the ten-year, 2.8 4% we see 2.835 the last trade of the ten-year a key piece of inflation data out today, the consumer price index could have an effect on that bond market >> let's check the temperature overseas in asia stocks are relatively higher with japan being once again the exception. that's on the back of a rising yen which is at a 15-month high against the u.s. dollar. we also got data out overnight

in japan, growing at a pace of 0.5% last quarter, that's slower than expected, but still its eighth consecutive quarter of growth hang seng, shanghai composite and kospi seeing gains of 1.2% the hang seng helped by tencent shares a lot of these tech names in asia that sold off last week did rebound overnight. eurozone gdp hitting the tape, up 0.6% quarter over quarter up 2.7 % year over year. basically in line with forecasts. markets like what they can see you can see green across the screen with the dax up 0.7%. the french equity index up 0.6%. checking in on commodities, we've been focusing on the oil trade, given the iea data as of late if you look at wti crude, $58.69

a barrel that's off by three quarters of a percent. ice brent crude, $62.35. off by a half percent. turning to gold prices, we had been talking about the idea that gold had not been seeing a real bid during the current market situation, up now a quarter of a percent. 1 1,332 is the last trade for goal let's look at how the dollar is trading against a basket of currencies yesterday it was weaker. that story continues weaker against the yen by 0.3% and gavagainst the euro, pretty much flat. a look at bitcoin, that's at about 8,000.

8,800 for bitcoin. >> let's get more on the early market action. joining us is christina hooper from invesco thank you very much for joining us this morning on "worldwide exchange." one of the big questions today is whether or not the markets rebounding off the recent lows they've had will be as focused on the stock side of things on that key piece of inflation data coming out today what's your take >> i think markets will absolutely be focused on cpi that is the biggest question facing the economy right now, are we going to see significant inflation. some signs point to yes. given that we have a lot of late cycle stimulus given the kind of antidotal information we've seen from the federal beige book and the blowout wage number we received in the january jobs report >> do you think the strong earnings story can offset any concerns around inflation?

can that be enough to continue to push stocks higher? >> i think the strong earnings story is priced into the stock market a more aggressive fed, higher rates may not necessarily be priced into the stock market that's what we have to worry about, the potential re-rating of stocks. >> one of the things we've been talking about and highlighting for the last couple of weeks is where some of these battlegrounds have taken place in terms of stocks where are people buying dips, selling the rallies. we saw a lot of buy the dip mentality coming into netflix, amazon, facebook where do you see the opportunities? where do you think the money should be going? what are you telling clients >> what we're telling clients is to have a much more long-term

viewpoint. this is short-term turbulence and something we should expect after ultra low abnormal volatility for years we should expect a pick up in volatility and it's not unlikely to have an extreme pick up in volatility given the uncertainty around fed policy, around inflation, where yields are going. having said all that, certainly opportunities are created in an environment like this. poe cu focusing on lower valuations makes sense, but there's certainly also opportunities to pick up some great secular growth stories >> with valuations stretched and worries around inflation persisting does it make sense to look at stocks that have on average lower labor costs? this is something goldman sachs wrote about on monday,

insulating against these inflationary fears >> absolutely. higher wage growth doesn't seem to have been priced into stocks, that could lower earnings depending upon how dependant companies are on labor so certainly focusing on those that have lower labor costs, less reliant on a large labor force could make sense >> a lot of stuff to talk about today with regard to markets and inflation. thank you very much for joining us chipotle shares are soaring after the company tapped taco bell's chief to be its new ceo kate rogers has the details. i love this story. >> well see what happens, for now chipotle's search is over with the burrito chain announcing late yesterday that brian nickel will take over for steve els on march 5th niccol has been with taco bell

since 2011 and has been ceo since 2015 he launched the breakfast offering as well as mobile order and pay across taco bell in a statement chipotle said els expertise in digital technologies, restaurant operations and branding make him a perfect fit for chip chip as we seek to enchance customer experience, drive sales growth and make the brand more relative yum brands, the parent of taco bell, just invested in grubhub and chipotle hopes to make a greater push into the delivery space in 2018. chipotle is company owned and taco bells are majority franchised which could be a learning curve for niccol. others say ells role as founder could make it a challenge for him to step away as ceo and become executive chairman. chipotle got a pop of 12%

yesterday. they say store traffic will be slower the first half of the year >> you cover this space, with quick service restaurants, fast food what is your take on whether or not this has -- how much runway will niccol have at chipotle given the share slide we've seen with that stock >> every analyst i spoke to is really excited about this idea they said the lifestyle branding he did at taco bell, the live mas campaign, they even made a foray into clothing. >> it's the innovation that he could potentially bring to chip chip, that's why the stock is up stick around let's talk more about this story with stephen anderson what do you think niccol has to do to revitalize the reputation. >> i think this is a person who

checks all the boxes with brand leadership, menu innovation and technology one thing that should be mentioned is the international experience with the opportunities to franchise the brand. you mentioned chip dhchtionedol do franchising, but this is a way to get into the franchise endeavors. international locations account for 1% of chipotle's base. this is a way to ramp that up. mr. niccol already announced that the initiative to build 100 franchise taco locations every year, and i think if chipotle were to have a similar program, this could be a catalyst for this name. >> one thing that kate rogers just brought up was this idea that he was responsible for a lot of the innovation, lifestyle element of taco bell, the menu innovation

i am a taco bell fan, those of us watch cnbc know that courtney reagan and i go back and forth on this. we're both huge taco bell fans what lessons can he take to bring from taco bell to chipotle can we expect menu innovation from a company like chipotle which has made its name on a couple of key menu items >> chipotle has made its namelie is room for menu innovations they could have a new way to gain additional exposure to additional customers breakfast has been mentioned that's been touted as a possibility for chipotle i don't think that's an

immediate catalyst for them, but there are additional menu items, clearly nachos which is being tested, also frozen beverages. i think additional opportunities for afternoons and late nights, that's a probability for them to enterment. >> are you curious about ells ability to step around and let niccol run the company and turn this brand around. is that a concern for you? >> i think that's a concern for investors, but after 25 years, the fact that steve ells will be an executive chair position, i think it's an opportunity for someone else to try their hand at running the show. i think having the experience that mr. niccol has had, brand development and operations, it's a good opportunity for him to

try and see what a post-ells chipotle will look like. >> the stock is up 12% in the premarket. stephen anderson, thank you for your perspective kate, thank you as well. in other corporate news, new numbers on just how much money uber lost last year. let's get to landon dowdy who has all the details. >> uber saw its losses jump 61% to $4.5 billion, that's up from 2.8 billion in 2016. those losses narrowed in the fourth quarter as uber ceo dara khosrowshahi took the helm uber lost 1.1 billion in q4 versus 1.5 billion the previous quarter. uber ended the year with $6 billion in cash, 13% below last year's total since uber is still a private company, it is not required to report financial results but they have been disclosing some numbers lately as they work

towards a goal of going public next year. >> competitive space for sure. lyft is a big player in that space. other stocks to watch, credit suisse reporting its third straight annual loss on a writedown related to the u.s. tax law. that loss was smaller than expected there was strong revenue from the wealth management business credit suisse is upbeat about its future as it enters the third year of a restructuring plan baidu posting better than expected fourth quarter results from its strong search business and they confirmed plans to list its popular netflix like platform in the united states. metlife said internal failures that resulted in it not making payments to thousands of pension recipients goes back to 25 years that problem which was revealed

in december, has prompted some investigations and a $70 millio charge in the fourth quarter that charge along with the hit from the u.s. tax law changes dragged down metlife's fourth quarter earnings by more than a third. those shares are off by 1.5% >> twitter ceo jack dorsey is downplaying havenrecent speculan that the company could be a takeover target. dorsey says he sees value in twitter remaining ichb in. rumors about a potential deal were reignited after twitter reported its first ever quarterly profits. phillips 66 is buying back 35 million shares from berkshire hathaway warren buffett says the transaction was motivated by burke chir berkshi berkshire's desire to avoid regulatory requirements by owning more than 10% of a

company. fossil reported better than expected fourth quarter results. fossil had an increase in same-store sales during the holidays the company had a market cap of under 5$500 million at the clos yesterday, shares are up over 60%. >> big move higher >> who cares about the apple watch. traditional players are still doing fine still much more ahead on "worldwide exchange. coming up next, checking in on the hotels you have marriott, hilton, hyatt all reporting results today. >> also let's look at futures to see how wall street is set up to open we are higher across the board after a positive session yesterday. the dow up 140 points. orwi ehae"ill "wlddexcng wbe right back

welcome back to "worldwide exchange." let's get you up to speed on the market action. futures pointing to a higher open we've seen three consecutive sessions of gains for the dow jones. it's higher by 131 points in the futures market look at treasuries we'll be keeping a close eye on the ten-year yield ahead of this all-important inflation data that comes out this morning. the yield right now at 2.83% >> just this idea we could be watching these yields tick by tick is an indicator of how much

that shock and the recent pullback in stocks la been driven in large part by interest rates, fears of inflation, that sort of thing. something to watch there there's a trio of economic reports on today's wall street agenda you have that big january consumer price index number. the cpi. retail sales out at 8:30 a.m. eastern time followed up by december business inventories at 10:00 a.m. as for the earnings side, it's a big day for travel and leisure which is why i mentioned seema hilton, tripadvisor, marriott, hyatt also repol reporting resu today. you cover this beat, what are you watching today >> so 2017 was a strong year for the hotels, a lot having do with the uptick in the economy and an improvement in corporate travel as well. the big question is whether these companies can beat expectations given that analyst estimates have been moving higher and higher on the back of

this big run we saw in 2017. marriott, hilton, hyatt all report today we have tripadvisor and hyatt after the bell one part of the story is how they're countering the threat of airbnb hilton and marriott have been trying to unveil these new brands it seems to be working, but we want some further commentary or evidence of whether that continues to be the case the other topic is tax reform. we'll likely get comments from the companies on how much of a positive impact that lower tax rate will have >> it's crazy to talk about these types of things. you're talking about probably the most discretionary of discretionary spending people really go on vacations, go out to eat when they have that extra money in their pockets. maybe the tax thing becomes a big deal i remember a day when people would talk about time shares as supplanting hotels, then the

hotels bought the time share companies. airbnb is a disruptor there, but you wonder how long before it takes before that model gets integrated >> marriott spun off their marriott vacations time share business, same thing for hilton and wyndham worldwide. that's an interesting part of the travel story >> a big day for travel and leisure. still here on "worldwide exchange," taking on trade what president trump said about steel imports that got wall street's attention we're live in washington next with the latest, that's when "worldwide exchange" returns a basketball costs $14. what's team spirit worth? (cheers) what's it worth to talk to your mom? what's the value of a walk in the woods? the value of capital is to create,

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to grow your business with us in new york state visit esd.ny.gov. welcome back to "worldwide exchange." the search for fed vice chair is in full swing. cnbc confirming that loretta mester is in the running for the opening at the fed board sources told reuters that the team is considering nominees for the opening was impressed adding that there is no front-runner for the position >> in political news, president trump taking aim at steel and aluminum imports tracie potts live in washington with the latest. >> in a meeting with lawmakers, the president said he's considering all options including quotas and tariffs to

reverse what he calls an industry that's decimating u.s. steel. some lawmakers agreeing with the president. others concerned that it could cost the u.s. jobs because countries like china already said if the u.s. goes up on tariffs, so will they. they're concerned about the costs here in the united states. in fact, some motor and equipment manufacturers already telling the president go slow on this and look at specific exclusions for certain products and certain countries instead of a blankettariff on steel comin into this country. a tricky situation they're doing it in the name of national security, some recommendations that the president got from the commerce department he has until april to make these decisions on aluminum and steel. shares went up after the president's comments yesterday >> we'll be watching that closely. thank you very much, tracie potts. still ahead on "worldwide exchange," a round up of the

global market picture and all of today's top stories including the battle of the burritos chipotle taking a bite out of taco bell's business what the big ceo news could mean for both stocks. you're wchating "worldwide exchange" on cnbc. et, but through good times and bad at t. rowe price we've helped our investors stay confident for over 80 years. call us or your advisor. t. rowe price. invest with confidence.

pushing higher dow futures up triple digits as wall street awaits a key piece of inflation data.

chip chotle tapping taco bel for its next ceo. and a golden moment for america. the golden moment team usa just reached in pyeongchang it's wednesday, february 14, 2018, you're watching "worldwide exchange" on cnbc. good morning welcome to "worldwide exchange" on cnbc. i'm seema mody >> i'm dominic chu it's been a big day for markets so far it's not even 6:00 a.m >> the rebound has been notable. three-day winning streak if you look at futures, we're pointing to a higher open. the dow up triple digits, 149 points we gained a bit in the last half hour up 150 in the premarket. nasdaq higher by 35, s&p up by 11 the dow recovered 1200 points or

about 45% of the points that were lost at the bottom. let's look at the ten-year that will be in focus of the cpi report inflation top of mind. and the yield on the ten-year, 2.83%. we retraced, just a bit. >> let's get more on the early market action. joining me now is daryl cronk from wells fargo you always bring us great insights on what to watch in the marketplace. is it safe to get back in? >> thank you, dom. i think investors can use this as an opportunity to put cash to work so many investors have been sitting on the sidelines through the back half of 2017 waiting for just such an event here we are down still even on this morning's strength about 7% from the highs that's a good opportunity in a

macro environment that's improving nicely >> the worry is that inflation will raise at a pace that will cause the fed to raise rates more than expected here in 2018. if we do see a surprise to the upside in inflation, does the ten-year hit 3% today? >> yeah. great point. it is the story of the morning in some ways the inflation data has become the new jobs friday it is the key point that the markets will watch going forward. i think that you could see the inflation number come in this morning, the cpi number. consensus is 0.3 i wouldn't be surprised to see that there and core at 0.2 even if we get the consensus number, it puts the numbers at lease than 2%, 1.9 and 1.7 concurrently so you could have an environment where rates have overshot and you could have them come back down a bit to your point, there is still

upward pressure on rates given all the fiscal stimulus and some dynamics happening in the markets. >> is the upward pressure on rates due to good things, good drivers, say like healthy growth, economic growth, maybe appropriate levels of inflation, or is it driven more by things like fed normalization of its policy and balance sheet what's driving the action? should investors worry about it? >> i would say two-thirds of this latest rate movement where we started on the ten-year at 2.40 to begin the year and now are at 2.83, 2.84, is a move up in real yields so that has been a good sign to your point, is it a good move or a bad move i think we're resetting -- we're in an environment where all the narrative was around concerns about risks of deflation we're resetting now to a reflationary environment, that's a healthy thing for the economy.

the macro picture is still strong you have to look at this as an opportunity to say rates normalize and equity markets can move higher throughout 2018. >> one eye on inflation, the other eye on this bukt dedget deficit. there's expected to be a $1 trillion increase to the deficit over the next decade >> it's an unusual period of time in the economic recovery, this late in the cycle to be expanding the deficit. typically you want deficits to be contracting late in the cycle. so it is concerning, i think when you take the triple element of strong fiscal tax reforms support, the budget deal from a week and a half ago, a sizable fiscal stimulus and congress talking about more fiscal stimulus in the form of infrastructure spend, that has the bond market concerned about

what that means for higher deficits, higher rates, higher inflation. >> certainly a story we'll be watching closely darrell cronk, have a great day. chipotle shares are soaring after the company tapped taco bell's chief to be the new ceo kate rogers has the details. >> chipotle's ceo search is over announcing that brian niccol will take over on march 5th. niccol has been taco bell's ceo since 2015 he launched the breakfast offerings and mobile order and pay. that's something chipotle is making a priority this year. ells said niccols expertise in digital technologies, brand iin

branding and restaurant operations make hi a perfect fit for chip chip as we seek to enchance customer experience, drive sales growth and make the brand more relative yum brands, the parent of taco bell, just invested in grubhub and chipotle hopes to make a greater push into the delivery space in 2018. chipotle is company owned and taco bells are majority franchised which could be a learning curve others say ells role as founder could make it a challenge for him to step away as ceo and becomes executive chairman shares of chipotle got a pop of more than 12% after hours. >> kate, you speak to a lot of analysts, you cover these stocks what is it that you hear from that community the experts who cover these types of companies, what are they saying needs to happen at chipotle what does niccol have to do to get this company back on track >> and is he the right guy taco bell is fast food, and chipotle is focusing on locally

sourced ingredients. >> chipotle needs to become more relevant they need foot traffic to increase again they said it will slow for the first half of the year they're going to prioritize mobile ordering, delivery and catering i think they're doing things to become more relevant taco bell has become a lifestyle brand. chip chip needs to take those lessons and apply them to their own branding and marketing >> will chipotle become more like taco bell if so, does it lose its customer base which is more health conscious? >> i don't think it wants to become taco bell a lot of analysts say they hope niccol applying his expertise and makes clip ch s chipotle mo relevant, but we don't want two in the same space. >> you have q dodoba out there,o much does chipotle have to worry about those competitive concern

when they're battling back >> there are two camps of people those who are totally turned off by food borne illnesses and those who are willing to overlook them, give chipotle a second chance and keep going back and patronizing they need to focus on branding their message and winning customers back >> i think expansion will also be a big thing taco bell has a big market everywhere >> chipotle is mainly focused on the u.s., and they have far fewer stores so he's taking that leadership and bringing it to a new company. >> big win for bill ackman, shareholder. >> kate rogers, thank you very much >> thank you guys. we're getting new numbers on just how much money uber lost last year. let's get to landon dowdy. she's got the numbers.

>> uber saw its losses jump 61% to $4.5 billion, that's up from 2.8 billion in 2016. those losses narrowed in the fourth quarter as uber ceo dara khosrowshahi took the helm uber lost 1.1 billion in q4 versus 1.5 billion the previous quarter. uber ended the year with $6 billion in cash, 13% below last year's total since uber is still a private company, it is not required to report financial results but they have been disclosing some numbers lately as they work towards a goal of going public next year. something we'll all look forward to seeing so we can see some stock reaction based on what's going on with it >> all right >> good point. >> landon dowdy, thank you very much for that. time for today's top trening stories. an upset last night at the westminster dog show i love this. flynn is a bichon frise, he took

home the best in show honors bichon frise and flynn there the crowd seemed stunned and surprised as he went from an underdog to top dog, beating out the giajingiant schnauzer. i have a tibetan terrier, and i was pulling for those dogs >> there's no way you're watching the dog show over the olympics, right? >> second screen >> keeping tab >> olympics, phone in the other hand >> while reading the news on chipotle >> too many things going on. here's what's trening todtrg today, "game of thrones" could be coming to your apple device, there's a partnership with the developers and apple to bring the series to life as a mobile game not many details yet, but this "game of thrones" will be free to play. sounds intriguing.

>> forage of empires, these battle games they do drive traffic to these apps and smartphones >> i can imagine this one doing that as well >> i would give it a whirl i like "game of thrones. ryan murphy, the television producer, is inking a record setting deal with netflix. they continue this kind of binge of acquiring talent. he's known for series like nip tuck on fx, american horror story. he will produce series and films exclusively for net flick during the course of a five-year span which could net him 250 million to 350 million bucks glee, for those people who are glee fans -- >> huge fan actually >> ryan murphy behind that they're inking star power on the producers side and it gives you

an idea the money being deployed to watch netflix, hulu and online streaming sites >> if i can bring up the stock price chart, despite this selloff, netflix is up 34% year-to-date a nice rebound in the consumer discretionary tech names >> netflix is a stock that people, when they saw dips in it, they stepped up to buy there was a good amount of buying activity. it gives you a sense right now that on a shopping list people look for names like netflix to go on sale and then would step in to buy it that netflix stock chart is not nearly as deep as the pull back as the broader s&p 500 we'll see if netflix can keep that momentum up a name that many question the valuation, they say it's a momentum play. at least right now the netflix stock is one of the holding winners in this last few weeks.

we have a big show a golden moment for team usa at the olympic games. and another check of what's happening with the u.s. futures market 130-point rise in the dow if things stay the way they are you're watching "worldwide exchange" on cnbc. causing a lack of sharpness, or even trouble with recall. thankfully, the breakthrough in prevagen helps your brain and actually improves memory. the secret is an ingredient originally discovered... in jellyfish. in clinical trials, prevagen has been shown to improve short-term memory. prevagen. the name to remember.

welcome back to "worldwide exchange." if you're just waking up or heading into work, let's get you

up to speed on the market activity green arrows across the board to start the day in the stock market the s&p 500 will rise by 10 points if things hold the way they are now the dow jones opening up by 10 point 120 points and the nasdaq up 30. that's your set up for the stock side of things wti crude is now below $59 a bar rem. $58.85 ice brent, $62.53. that's off by one-third of one percent. time for our morning must-reads my pick is in the "usa today." it's called consumer protection bureau losing its teeth. this is the "usa today" editorial broad writing trump's new budget would slash its funding, curtail enforcement powers and turn power over future budgets to congress where

republican lawmakers can starve it, less money, less power and more humility sounds like the formula for an industry lap dog and not a watchdog i would say one reason why i like the "usa today," they have this feature, they put dueling op-eds so mick mulvaney, the budgeting director has an opposing op-ed in the same paper saying that the cfpb is one of the most powerful if not most powerful federal agencies. as director i have total access to unlimited funds in some cases i'm even judge, jury and executioner. i don't answer to congress the people i regulate or even to you. he's putting it back out there what's happening with this debate >> a good way to get both sides

of the argument. mine is in the "the financial times" times though more than willing to launch a proxy fight or file a lawsuit, many of the up-and-coming jen rag are stewing the public disputes and open confrontation that made their former bosses famous instead their style of investing is more data driven, eager to work with management behind the scenes and to hold positions for longer shows how activism has evolved. if this is the case, it will be a trend to watch >> absolutely. the activist investors maybe didn't get a good showing last year we'll see if that holds. a golden moment now for america in pyeongchang in the games as snow border shaun white reclaims his title as king of the halfpipe it was an emotional moment for white after winning gold for the third time in his career his win taking a special place

in u.s. olympic history. why? because it marks america's 100th gold medal in winter olympics history, such a big deal i'm very proud to be an american checking in on the latest medal count. norway, germany and the netherlands are in the lead. norway with 11 total medals, three gold team usa is in fifth place right now with a total of seven medals four of which are gold when it comes to corporate leaders, which ceos take the gold cnbc asked the athletes. ♪ >> i read a couple of bill gates books. so i would say he's got his mind and heart in the right place when it comes to ceo >> i like what elon musk does. i like how he patented the

electric car, the engine, then released it for everybody to use. that's the one-world type of ideas. >> i think steve jobs, he did incredible, and i love apple products >> steve jobs is great >> my dad. he has his own landscaping business for 20 years, so i look up to him in that aspect on a larger scale, steve jobs. >> elon musk comes to mind >> barack obama, he was poised didn't shoot off the cuff like the current president. >> leader, my mom runs her own immigration company. i respect my mom so much >> cook. apple. i don't know his name. >> elon musk hands down especially -- he's moving everyone towards space, the progress they've made with electric cars and everything it's one of those things, when

you talk about titans of industry, this is the future of our planet >> that's a lot of steve jobs and elon musks the olympic action continues tonight on cnbc. catch curling right here on cnbc 5:00 p.m. eastern. still ahead on "worldwide exchange," stocks are on a three-day winning streak, but can the bulls comeback continue. >> as we head to break, let's check in on what u.s. equity futures are doing. 130 points to the upside for the dow if things hold 11 points for the s&p 500 and the nasdaq 33 points to the upside you're watching "worldwide exchange" on cnbc.

welcome back to "worldwide exchange." let's look at dow and how we're setting up in premarket trade. higher by 140 points nasdaq higher by 34 after a three-day winning streak

let's bring in tully ledger. good to see you. we have a stronger growth picture, tighter labor market and now we're looking at inflation on whether consumer prices are accelerating at a faster than expected pace. what do you expect from today's report >> i wouldn't be surprised to see a continued deceleration in headline inflation given the declines in oil prices excluding oil, i think the trend of stable to no move in core inflation is the central case here >> inflation disappoints or is lower than we're expecting, how should markets expect? >> i think bond yields should ease somewhat. and stock prices should get a bit of a boost here from that. >> stock prices getting a boost is a relative way of looking at things certain parts of the stock market have been held up better than others during the current selloff. small cap stocks, maybe taking

move more of a hit. as we look across the spectrum here in the u.s., where is the opportunity. is it more -- do we look more towards the dow-type stocks or more towards those russell 2000 stocks >> i think that if you believe the thesis we're in this fertile landscape for flair ups and volatility as central banks remove themselves trs central m from central markets, they show the large caps continue to outperform the small caps so you want to favor those more ma choour highture stable quali than the riskier, less liquid stocks >> any names you are keeping an

eye on >> i think that because the cyclicals got hammered so badly, if you're looking for more alternative sources of growth, there are sectors out there like materials and industrials offering good growth >> what exactly should we be watching for in terms of warning signs? what's most important in your mind for whether we see another risk-off situation >> it's inflation, keep an eye out for those reports this week. what that means for likely fed policy and we have to keep our eye on the fed. if they get aggressive that's the cycle killer >> all right we'll leave the conversation there. thank you. >> have a wonderful day. that does it for us on "worldwide exchange. let's look at how futures are positioning themselves higher by 130 points 2.84% for the u.s. ten-year note

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good morning green arrows today dow futures pointing to a triple digit jump at the open. yesterday we were sharply lower in the morning we ended up closing higher synchronize your watches an inflation report at 8:30 a.m. eastern could be a game changer today. we'll tell you why plus there's a new burrito boss, chipotle poaches the top executive from taco bell and investors are loving the news is today valentine's day this is a total coincidence.

no we knew. these clothes were laid out for me it's valentine's day, february 14, 2018 "squawk box" begins now. ♪ >> live from new york where business never sleeps, this is "squawk box. >> good morning. welcome to "squawk box" on cnbc. we are live from the nasdaq market site in times square. i'm becky quick along with joe kernen and andrew ross sorkin. let's look at the u.s. equity futures. we see some green arrows today >> love. love of stocks the color of red would be -- >> that's true >> but green arrows today. dow futures indicated up by 121 points the markets have been up for three days in a row now. gains on friday, monday and