. a news alert to begin your day. the richest man in hong kong is calling it quits li ka-shing will reteire in may big changes at nike. reaction straight ahead. and a must-see video of a robot playing basketball that no doubt will have everybody buzzing today. today is friday, march 16, 2018. "worldwide exchange" begins

right now. ♪ there's a lot of news out on a friday good morning happy friday i'm brian sullivan we kick off with a developing story out of d.c. and the white house. the "washington post" reporting that president trump has decided to remove national security adviser h.r. mcmaster. let's get to nbc's tracie potts live in washington with more >> good morning. the quoted sources, there are five in the post, say that the decision is made it's a done deal mcmaster will go but not necessarily quickly. according to those sources the president is taking his time for a couple of reasons. first of all, reviewing people who might replace mcmaster, and they include former u.n. ambassador, john bolton. the current chief of staff of the national security council, looking at people who might be able to fill that spot, but also doing it in a way that doesn't

embarrass mcmaster or continue the narrative that people who leave the white house, their careers fall apart they're trying to do this in a way so he can go back to the military he is a three-star general, perhaps now is a four-star general and take over a new command. sarah huckabee sanders said in a tweet that the two have a good relationship and that there are no changes pending at the national security council despite these sources saying it's already a done deal he would be the latest of several people within the white house and within the president's cabinet to turn over, to leave a bit of turmoil going on there that the white house has said is norm normal, that there are people who want to stay and people who need to go >> to be clear, it sounds like the white house is disputing part of that "washington post" story, correct >> right the white house officially is

saying there are no changes pending. unofficially sources, five of them five separate sources who have been familiar with discussions going on between chief of staff john kelly and the defense secretary, jim mattis, trying to figure out where they'll place mcmaster and who will replace him. officially no one is leaving unofficially, discussions under way. from a potential shakeup at the white house to a shakeup at nike the company's number two in command. trevor edwards leaving his post effective immediately. the news came out in a memo that the nike ceo, mark parker, sent to employees that addressed inappropriate workplace behavior however parker did not specify the nature of the complaints or whether they involved edwards or other executives those two things just appeared in the same memo many considered edwards a potential successor to the nike

ceo. he will remain as an adviser to the company until august broadcom reported earnings that topped estimates, this comes days after president trump blocked the company's proposed 1$117 billion bit for qualcomm n national security concerns separately the financial times reporting that former qualcomm chairman, paul jacobs, is seeking money to try to take the company private. the ft says jacobs approached several brokers if this happened t would be one of the largest private equity buyouts of all time his grandfather started the company. shares are higher on the news. shares of overstock.com are tumbling in early trade. the company seeing a 13% drop in fourth quarter revenue overstock notching a big decline in online search. it is a busy friday.

adobe should get a nice pop today. revenues jumped 24% year over year slars of z s shares of zumz posted mixed results and ulta stock will fluctuate today after earnings missed by three pennies and corporate guidance came in light. wynn resorts, there are reports surfacing that steve wynn may sell his entire stake in the company contessa brewer joins us now what's the big news in. >> steve wynn and his ex-wife elaine wynn are throwing in their hands for to a business agreement that kept them bound after their divorce was granted. it kept them from selling their shares without permission of others

last week owe cad ka okada's coy settled with wynn resorts, and yesterday a judge ordered the deal dissolved between the two wynns they own roughly 21% stake in the company. a massive selloff could make the company a target for takeover. i sat down with matt maddux one week ago today for an interview. >> have other companies made offers to buy wynn resorts either in whole or in part >> we had no offers. >> would you entertain offers to buy wynn resorts >> i have a fiduciary duty to entertain nothing. burr we're not for sale. breaking up the company makes no sense. to pursue strategic alternatives when the narrative is not about the business is a mistake. >> when i asked when they might consider changing the name of wynn resorts he said no, the

emotions are running too high. steve wynn's separation agreement last month with the company prohibited him from selling more than a third of his shares in any quarter, but yesterday in the filing there was no mention of these restrictions i have a lot of feelers out here trying to get down to how much could he share, and what this means for the company. >> easy to forget that las vegas sa sands is exponentially larger than wynn, are they not? >> they have a lot of money on hand they have the cash on hand to buy wynn, but a company spokesperson told me they have no interest. they're operating in the same markets already. mgm has been mentioned address a possible buyer if they were to split up into parts there would be interest in the boston casino. >> has there been indication when you were on the ground there that wynn's core business has been hurt at all

>> no. none their bookings have not declined they had high-profile groups withdraw from conferences. in fact reservations, they have been booked to capacity. they had some softness in las vegas revenue the first two months of the quarter, he came out and did an unusual mid quarter earnings call, but they're on track to make a lot of money macau earnings are just coming in stocks in hong kong were down 1% >> contessa brewer, thank you. another day, another has the trick of economic data many are talking about a housing shortage, so housing starts at 8:30 a.m. will be a key to that. housing stocks later at 10:00 a.m. we'll learn how you feel consumer sentiment for march will be released at that time. let's check on the markets and your money

futures indicating a slight drop at the open. the dow down 1.8% this week. so we're headed for one of the worst weeks in a while we'll see if the markets turn around the ten-year, not much of a move around that 2.8 level. bitcoin has been quietly on a slide the last couple of weeks up slightly, but still around the $8,000 mark. prices do vary on some of these cryptocurrencies depending on which exchange you're looking at >> and billionaire tycoon li ka-shing is retiring from the empire he built over the last 70 years. akiko fujita has the latest. >> this is not unexpected news that came out today because li ka-shing for years has been signaling about his need to retire by the time he turned 90. he's currently 89. he had tapped his oldest son,

victor lee, as the heir apparent back in 2012 i want to read this statement from li ka-shing himself saying he wants to express his heart felt appreciation to shareholders for their unfailing confidence and support in the past years he says i sincerely hope all shareholders would give the same full support to victor lee, as they have always given to me i'm confident in the prospects of this group. not unexpected but this does close a chapter on what has been an incredible run for li ka-shing in hong kong. a man born over in china, self-made billionaire who was forced to quit school at 12 years old. he fled here to hong kong. he started a plastic flower manufacturer and turned that into a global empire it goes without saying he's been a towering figure here in hong kong his self worth at 35 billion but his footprint has gone

global in recent years he's the largest foreign investor in the uk you look at c.k. hutchinson getting roughly 40% of earnings over from the uk's assets, including mobile network, water and electricity firms. in all, li ka-shing has 390,000 employees in more than 50 countries. that gives you a sense of how global his empire has become in the past he tried to reassure shareholders, investors that this will be a smooth transition victor lee coming from a different background he was raised here in hong kong, attended stanford. he has been involved in the deal making for some time, but moving forward there will be questioning about what this transition will look like. back to you. >> certainly will. akiko fujita in hong kong. li ka-shing, considered by many to be the warren buffett of

asia. in miami, a pedestrian bridge collapsing on to a busy highway late yesterday killing at least six people. wendy has more >> good morning to you ironically this bridge was built to make crossing this busy thoroughfare safer turns out it was anything but. rescue crews worked through the night searching the rubble of what's left of the 950-ton bridge the pedestrian walkway still under construction came crashing down on to a busy street thursday, crushing cars and people under massive concrete slabs. >> we're going to continue to search this pile until we're sure there's no other survivors. >> reporter: searchers are drilling holes and using dogs to find potential survivors at least eight cars are crushed under the bridge and it's believed people were working on it when it collapsed. >> i realize this is going to be

a long, long process >> reporter: the pedestrian bridge intended to make crossing the busy road below safer for students was set in place just five days ago. witnesses could not believe what they saw >> it was like an explosion. it was like a bomb it was right behind us it could have been us under that bridge >> reporter: the bridge was built using a method which was hailed as being faster, cheaper, safer. its builder says the company is cooperating with the investigation. >> there will be an exhaustive review that will give details on an engineering and scientific level. >> reporter: a team from the national transportation safety board is in miami to lead the federal government's investigation. again, the death toll has risen from 4 to 6 people, and authorities are now trying to identify those victims while investigators are trying to begin that painstaking process

of trying to figure out why the five-day-old bridge fayed. a tragic story out of miami more on "worldwide exchange" after this but i'm not standing still... and with godaddy, i've made my ideas real. ♪ i made my own way, now it's time to make yours. ♪ everything is working, just like it should ♪ - anncr: as you grow older, -your brain naturally begins to change which may cause trouble with recall. - learning from him is great... when i can keep up! - anncr: thankfully, prevagen helps your brain and improves memory. - dad's got all the answers. - anncr: prevagen is now the number-one-selling brain health supplement in drug stores nationwide.

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good morning stock futures showing a slight drop at the open again

futures now turning around a bit. it could be a volatile day because of so-called quadruple witching, the expiration of four different kinds of stocks and index futures and options. that tends to shake things up a bit. wti crude is up a bit to 61.35 a barrel since the white house blocked broadcom's 1$117 billion bid for qualcomm, nearly all eyes on technology have been on the semiconductor space, and for good reason. there's been chatter that intel may now be interested in making a bid for broadcom brian sat down with jim cramer last night on "mad money" and addressed the topic. >> i can't speak about rumors, i can tell you that we made two big acquisitions with ail tee an mobile mobileye they are growth engines for the

future >> joining us is dan ives. great interview by jim what did you make of what he had to say >> when the broadcom and qualcomm deal was shut down, i think there was champagne at intel headquarters that puts them in a position of strength that marriage would have been competitive. i think they'll be aggressive on m&a. i think they're digesting these deals now. i think as we go into the second half of the year, they are in pole position to look at aggressive acquisitions as they continue to be the top of the heap >> if they were to go shopping, where are the holes in their current portfolio that need to be filled? >> 5g technology is an area they'll build out. if you look to data center and iot, that continues to be -- >> internet of things.

>> yeah. iot, as well as the next gen data center, that's been their bread and butter you look at companies, there are some and broadcom said they will be aggressive on m&a. you will see this heat up with broadcom and qualcomm coming up, now you will see intel, amd and broadcom be aggressive fundamentally they've done a great job. security issues were a major headwind they had to deal with they navigated that storm well >> fund manager kim forest said she loves intel stock because it's a late cycle play when capital spending goes to huge projects, they benefit. do you agree >> i couldn't agree more i think that's one -- you looked at the f.a.n.g. names, you looked at apple. in terms of late cycle, intel is the name to play here.

they're really not just fundamentally from a multiple perspective you see numbers go higher especially with the qualcomm and broadcom situation, that puts them in a further position of strength >> dan ives, appreciate it still to come on "worldwide exchange." the big business of college hoops and the debate over paying college athletes we're diving in on the consequences. and the viral video of a robot playing basketball that will have the entire inter-web talking today. stick around, w.e.x. will be right back and serve with confidence that it's safe. this is a diamond you can follow from mine to finger, and trust it never fell into the wrong hands. this is a shipment transferred two hundred times, transparently tracked from port to port.

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march madness kicked off yesterday and the business of basketball is taking center court. college teams still deep in debate over whether or not to actually pay college players if they did that what would it look like? let's bring in eric chemi with more this hot debate is getting hotter, especially with the scandals and the fbi investigation. >> there are a lot of ways you could do it. one way is pay them a fair market price another is cap it at certain price. say it's a work study credit maybe it's for minimum wage, but for all the hours they work. another example is what if you say the schools will not pay you, but you can still be an amateur or participate in the college sports with side endorsements

if you want to get autograph deals, you want to get a shoe contract, you can get that money that way the colleges don't have to pay you this is one topic that gets discussed right away 47 nike teams, 10 under armour teams. you can see the changes from last year. 7 of those under armour and adidas teams went to nike this year the shoe companies run all these team teams. >> so the students would be winners, but if we had to pick out other winners or losers who would they be? >> the winners would be the shoe company. you can pay all this money without the fbi alleging what they did the losers are the colleges. now you don't control all aspects of the funding you're not keeping all the money for yourself but the losers might be students one thought out there is if we get paid for kids, why are we paying 18-year-olds straight out of high school, we can get

25-year-olds who just fell slort of the pros, they're stronger, bigger, better if we're going to hire players, let's hire the best available players. >> that is one secondary side effect nothing is perfect even the best medications -- what is the next side effect, other things people are saying that could happen? >> the next side effect could be tv ratings what everyone likes about college basketball is that it's students, it's your school, you have this affinity to them >> pore than any pro team. you love your college. be true to your school >> exactly if it looks like college baseball or college hockey where there are these minor league options, the kids who go to school are not the best players, because the best players may already be in a professional minor league team. >> is a school of thought maybe do doaway with this fake amateu status and extend the g-league

or the d-league. like in europe, a lot of kids go to this man machester united school >> in these academies in europe, they don't have to stay in the same school, but you loved your college team more than any other pro team every fan likes their team and the system as it quooshg it wor moment >> my team lost last night, virginia tech. i still love them. i stayed up for them i'm hurting for them, but i still love them. >> let's get a check on what's happening outside of the world of business. frances rivera is in new york with the latest. we start with president trump who could propose the death penalty for drug

traffickers as part of a plan to combat the opioid crisis the president will roll out an opioid plan monday which focuses on tougher penalties along with changes in treatment and prevention programs. the announcement will take place in new hampshire the search continues this morning for a worker missing after an explosion and fire at a chemical plant in texas. it happened about 20 miles southwest of ft. worth the cause is being investigated. officials say that static electricity may have started it. a dozen people were working in the plant. at least two were injured. irgo, the german shepherd was reunited with his family in kansas on thursday he was mroen flown to japan afta mix-up by unite td airlines at least he's back in kansas and home >> it's good to have a lost dog story that has a happy ending on

an airline >> especially after this week, i would say so >> thank you very much still ahead on "worldwide exchange," a management shakeup at nike taking center stage in corporate news the number two is out. later on, bear stearns ten years on since the bailout we're looking back to see how far we have come and was could still happen

welcome back

it's 5:30. happy friday morning stocks are pushing higher. investors are gearing up for the final trading day of the week. we'll tell you everything you need to know in just 30 minutes straight ahead your top corporate story is nike, a big shakeup. the company's number two is out. the full fallout straight ahead. and hard to believe it's been ten years since bear stearns failed we'll look back at one of the most pivotal moments in wall street history it's friday, march 16th and you're watching "worldwide exchange" on cnbc. ♪ >> good morning. welcome to "worldwide exchange" on cnbc. i'm brian sullivan thanks for joining us. let's check on global markets. futures earlier were down. they have reversed the week not looking so good for

the dow. right now down about 1.8%. a lot of that is the hot stock of boeing. we'll find out what the markets can do today bonds have been the market story so far this year everyone is watching that 3% level. we're not getting closer to that the ten-year yield at 2.815% let's get more on your early market action and bring in the senior portfolio manager, chief equity strategist at nuveen and one of my neighbors. let's talk about the markets, bob. are you concerned about what we've seen weakness in tech and boeing? >> we haven't had it before is a surprise to me as you know, it's ban slopbeen week, but this is just a pause that's refreshing. i don't think we climb right up to new highs we're recovering from the whack

to the head we got with that 11.8% decline a month ago. what will be the key issue going forward? much has been made of d.c. drama and much has been made of the federal reserve and the 3% level on this ten-year yield is it one of those things or something else you're thinking about? >> it's pe times e equals p. >> that's the simple math? >> it's friday so we have a tailwind called earnings everybody knows earnings will be good the market has that impounded to some degree. the question is more on the pe side for six straight years pe ratios went up. the valuation of the market went up stocks went up more than earnings that probably won't be the case this year when you have interest rates and inflation creeping higher, that means valuations have pressure. that's the tug of war that we faced here that makes the

environment more difficult in the last few years >> are you surprised that the d.c. stuff, tillerson out, reports that mcmaster may be out. the mueller investigation, are you shocked none of that seems to have rattled investors at all? >> look, the president sits in his chair and if we couldn't create a lot of noise around losing gary cohn and we're all breathing a sigh of relief that it's larry kudlow rather than somebody against free trade, if you will, these things come and go i think the markets have gotten used to the fact that it's a revolving door still a lack of comfort for the market baecause the market love certainty. if it glrows -- i hate to talk politics when it comes to money, but it's out there every day do you have a little headline risk to your clients money on this >> sure.

if the mueller probe begins to knock on the door of the white house, we have an issue, because then it stops the machinery that takes place in washington, d.c there are all kinds of rumors but we don't know anything yet >> globally all bond yields are moving up. could they move up for two more years and we're still okay or is this a monthly or quarterly thing? >> it's not only level, brian, as you know, it's pace also. that was part of the problem with the market earlier this year we were going up 10 basis points per month at the ten-year level. the stock market said that's too fast the market can handle higher rates, but at a pace so we have to have sort of two steps forward one step back. not three steps forward. >> bob dall, thank you very much >> all the best.

in corporate news, a shakeup over at nike the company's number two in command stepping down. courtney reagan has more on a story that is not entirely clear at this moment >> that's a very good point. so there are big changes in the executive ranks at nike what is important is that it does change what is considered to have been nike's succession plan so cnbc can confirm that nike's ceo, mark parker, sent a memo to employees stating inappropriate behavior has been reported in corporate weeks that did not fit their corporate plans of incl e inclusi inclusion. the plan also called for trevor

edwards to retire. edwards has not been linked to the inappropriate behavior, and mark parker thanks him for his contributions to nike. edwards has long been thought of as the successor to parker parker saying he will remain chairman and ceo beyond 2020 elliott hill will step up to fill part of edwards responsibilities, and then report directly to parker. >> a story like this, it's important to be crystal clear, for viewers at home, maybe as they're driving, a memo late last night said edwards was out. also in that memo were references to inappropriate behavior, but it did not link edwards to that behavior the first read says they are related but they may not be. >> exactly the first thing in the memo what

is addressed is inappropriate edwards, and then talking about edwar edwards. nike confirmed the details of the memo but did not provide anything further to explicitly link the two >> it was either poorly written because it was late or lawyered up a story we'll track all day. courtney, thank you very much. you have broadcom out there today, it's not about deals. they reported earnings last night that topped estimates. it does come days after the president blocked their 1$117 billion bid for qualcomm on national security concerns the financial times reporting that former qualcomm chairman and ceo paul jacobs is seeking money to buy the

chipmaker and take it private. jacob also a approached several global i venvestors shares of overstock.com tumbling after a 13% drop of fourth quarter revenue also noting a decline on online searc search >> adobe getting a nice pop, revenues jumped 24% year over year ulta beauty stock another one to watch today revenue falling in line, but revenues myself estimates by 3 cents. quarterly guidance was late. ulta stock is something to watch today. still ahead on "worldwide exchange," we'll do trending today and another snapchat takedown what rihanna said about snap that could weigh on the stock. and 7-eleven stepping up its

snack game the convenience store has a brand-new offering that has everyone buzzing as we head to break, here is the national weather forecast from bill karins. good friday morning to you as we head towards the weekend, pretty quiet weather out there we'll see showers and thunderstorms in missouri down to louisiana east coast is quiet. nice and easy for business travel out there as far as st. patrick's day goes, a weak storm system with light snow overnight in chicago bringing in a light wintry mix to the ohio valley not a huge ordeal. all the snowy weather will remain in the intermountain west by the time we get to sunday, chances for strong storms down from areas of louisiana down into arkansas, also some snow in the intermountain west a cold weekend in all areas of the northeast. at least it will be sunny. the mid-atlantic region won't be too bad. we have a chance by tuesday into wednesday of that storm system

affecting the mid-atlantic and e rtast. that's your business travel forecast more "worldwide exchange" when we come back you can't predict the market, 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.

but i'm not standing still... and with godaddy, i've made my ideas real. ♪ i made my own way, now it's time to make yours.

♪ everything is working, just like it should ♪ futures turned around. they were down when we woke up it is a quadruple witching day, which mean there's are four type of index and futures and options that will be expiring today. so it could be more volatile than normal. still the dow indicating a

slight pop, very slight pop at the open bitcoin has been a story it's been trending its way lower all week watching bitcoin on the exchanges ow, down about 1.25% prices vary depending on the exchange time for the friday top trending stories. >> rihanna is like shut up and drive. she blast eed snapchat yesterda for running an ad that asked would you rather slap rihanna or punch chris brown. they scoldedscolded -- snapchat apologized and pulled the ad, but the stock price still fell on the news. >> is there any check there? is there any check and balance anybody at snapchat at home?

>> there's nothing funny there >> no. >> 7 slsh -eleven stores will n offer a tater tot bar. now you can satisfy your tater tot cravings, being the resourceful reporter that i am please show me right now it is 5:45 in the morning. i brought tater tots for you here's my question when they are out of the fryer, why would want to ruin them with soggy condiments, they're perfect like they are. >> when you have a fried breaded potato at 5:45 in the morning on a friday -- >> delicious your next valentine's day might be less sweet as the maker of those iconic conversation hearts you know the ones. it's in danger of going out of business

necco candy could shut down and lay off nearly 400 workers if it can't find a buyer by may. so if you really count on those hearts around valentine's day, which is when they matter. they make them for easter and other occasions. this is a one time a year product. >> kind of is. if you want to save them, maybe you need to pony up the cash and buy necco. >> when you were a kid, when you go to class, you had to give everybody in the class a valentine, did you look at what you were putting in each -- >> i did. >> you wanted to make sure what you put in somebody's envelope was the message you intended to send >> no. >> yes >> no. >> yes contessa brewer, thank you for the tater tots >> i'm not leaving them. >> bye, contessa. still to come on "worldwide exchange," fire up the time machine. we'll take you back ten years. it's been a decade since

jpmorgan's buyout of bear stearns. we'll look back and forward coming up. and a surprising stat about your money in march. you have to hear this. stick around this is your new name. this is your new house. and a perfectly inconspicuous suv. you must become invisible. [hero] i'll take my chances.

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welcome back to "worldwide exchange." hard to believe we're approaching the top of the hour, that means that the team is getting ready for "squawk box. amazing how at 6:00 a.m. every day you guys come on tv. almost like it's scheduled i like it. >> believe me, i'm well aware of that because of the 3:50 a.m. alarm clock. >> sleeping in >> i don't know about you. i try not to drink in the morning. >> drink what? >> alcohol we have an irish whiskey -- a person who is a great distiller of that coming on. i may not be able to avoid it. your name is sullivan, you avoid

it, too, right it's irish whiskey, we still try to wait until noon >> it's 6:00 somewhere >> we also have dr. scott gottlieb coming up part of the administration, but a welcomed fda commissioner given all the daunting things that we're facing in healthcare. he is highly praised by just about everyone always good when we have him on. other than that, we do have obviously tariff talk. we'll talk to former treasury secretary jack liu, see what his thinking is. there's some people that like tariffs. usually from states where they have aluminum or steel >> i told you buffalo would rwi? >> i think you did say the bulls not the bills. >> and you said you and

secretary liu's political beliefs align so much, that i think the interview will be -- >> sometimes i just let him go it's funny because even though you have been in an administration and you think you're no longer in it anymore, and you just can talk things over rationally, that doesn't happen a lot of times. they still have an axe to grind. >> do you remember where you were the morning when bear stearns -- i'll say it, failed >> yeah. i was same place i am every morning. >> do you remember how it was hair on fire time at that point. that was the beginning when -- there's no way bear stearns -- all of a sudden, what? >> i remember that can't be a real price on the stock. what occurred to me when i heard it was ten years, that was that it's been ten ten-year periods, ten decades since world war i. this one went like that. it makes me think how quickly

time goes and how recent a lot of things are when you think of it that way. it was only ten years -- ten decades -- think of what happens from 1918 until today. just think of that the civil war was not that long ago. >> do you know john tyler, the tenth president of the united states still has two living grandchildren? not great grandchildren, grandchildren. that's your friday wow stat of the day. check it out google it i promise. >> paul mccartney's grandson is apparently a hot ticket. we have a bit of everything. >> looking forward to the whiskey. >> people should tune in just to see this >> and the whiskey >> and the whiskey if you don't remember bear stearns, we do look at this. >> if you have not heard it yet, jpmorgan chase is buying bear

stearns at a rock bottom price, $2 a share >> a crisis in confidence that continued to build as the week went on and ultimately crescendos late yesterday. essentially it lost its ability to finance itself. when you're an investment bank and levered significantly you need to finance yourself these things can happen like that. >> the federal reserve stepped in, opened up the window for investment banks, treating them like commercial banks. investment banking will never be the same >> let's bring in ben white, he covered the downfall of bear at the "new york times" in 2008, now at politico and cnbc contributor. it's hard to overstate the magnitude of what happened then. >> yeah. i'm getting anxiety just watching those clips from that period of time it did shock all of us that bear, we thought no way this place goes down. they have hedge fund problems, the mortgage market is looking

shaky, but the rate at which the funding dried up and the necessity of jpmorgan coming to the rescue was terrifying and led to morte temult >> i know it's early, that was the oh you know what moment so far. there was other stuff to come. but that was the wow, this is a historic moment. >> yeah. a historic moment and a crisis that will metastasize across the industry places like lehman, that funding could dry up and these places had borrowed so much money they could collapse on their own you saw it circle out to the rest of the financial industry and required an enormous federal government response. >> the weirdest thing -- help me explain. even then i was in the thick of it as well, i still don't have my head around it.

the buyout offer was $2. the next one, 10 bucks how did it go from $2 to $10 not $2 to $3, $2 to $10. >> i think it would have panicked markets more if it was that low i think the federal government went to jpmorgan, the treasury department went to jpmorgan and said we need to up this offer. >> that was a gun to head moment that's not jamie dimon saying i'll take it to ten. that was you're taking it to ten. >> yeah. that was we need to make this look better and not have shareholders take as much of a bath they took a huge bath, but slightly less so that was the first step of trying to contain the crisis, turns out they couldn't. but behind closed doors, federal government officials saying you have the power to do this. you have to do it. what is the most interesting or shocking thing that sticks out

to you from that time? >> i was at the "new york times," getting a call from goldman sachs on deadline, 7:00, 8:00 at night saying warren buffett is coming in to bail this place out this goldman, you thought they're beyond this crisis they're in good shape. it's the gold plated firm on wall street. they can't be in trouble but they still required buffett to come in and help them out they didn't collapse, they took bailout money, survived. but that buffett moment scared me >> times many will never forget. thanks for joining us. >> thank you we'll leave you with something that will make you look like the smartest person in the office today our random but interesting the s&p 500 has seen gains in the second half of march 9 out of the last 10 years the second half of march tends to be good i think that's 90% of the time, if my math is right. wanted to leave with you good

news here. i'm off all next week. why not. thanks for watching "worldwide exchange." whiskey and the former fda commissioner on "squawk box" next have an amazing weekend.

good morning what is going on at nike the company is investigating some workplace behavior complaints and the second in command announced his retirement a trio of chip stocks to watch following earnings and deal rumors. and where were you ten years ago today? that's when bear stearns and that bailout was announced we have a look at the lessons learned from the financial crisis it's friday, march 16, 2018, "squawk box" begins right now.

♪ live from new york where business never sleeps, this is "squawk box. good morning welcome to "squawk box" on cnbc. we're live from the nasdaq market site in times square. i'm becky quick along with joe kernen and andrew ross sorkin. u.s. equity futures at this hour, right now green arrows across the board with the dow futures indicated up by 18 the dow finished up finally after several down days by 115 points yesterday but the s&p 500 yesterday and the nasdaq were both down slightly this morning you can see the s&p is up by 5.5 points. nasdaq up by 14. overnight in asia, you can see that the nikkei closed down by 0.6% shanghai was down by a similar amount stocks in hong kong, the hang seng off slightly, just down by