♪ >> 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 andrew ross sorkin and yesterday the dow ended up 237 points. all of the major averages reversed course. the dow was up by almost 1%. the nasdaq up by 1.5%. this morning you can see green arrows once again. right now the dow indicated up by 117 points. s&p futures are up by 15 the nasdaq up by 53. look at what happened overnight

in asia. there was a huge reversal there. nikkei ended up by 1.5%. hang seng down by 2% the shanghai ending down in europe, the dax is the biggest advancer up by 1.8% the cac is up by 1.7%. the ftse in london up by 1.3%. treasury yields, that's something to watch yesterday we pushed back above 2.78% for the ten-year german chancellor merkel plans to visit president trump on april 27th. the meeting has not been confirmed yet by germany or america. the house of representatives drafting legislation to make individual tax cuts permanent.

the republican proposal also calls for a provision to allow businesses to fully deduct expenses immediately the goal there would be for the house to vote on the bill by april 17th you know it's the 17th, not the 15th this year >> yes 15th is sunday 16th is emancipation day >> you get two extra days, joseph >> you rented out the hall for the big celebration that you throw every year on tax day? you moved it to the 17th >> i moved it to florida >> right >> get your deposit back you had it on the 15th he has a big party every year. that's why i'm aware of the dates. >> he's celebrating how well he avoids taxes >> we celebrate together, because i'm a socialist from

euro >> take a shot of us am i the same height as you? thank god for these adjustable chairs he was up here when he sat down. >> that would be his normal height >> will you be at the party? >> at your tax party >> the good news is we have the post office there. you can put it in. >> the entity that amazon is raking over the coals. >> and the royal mail will be there if you need to pay tax back to the uk >> you guys still have that? >> it's privatized now >> you have gotten the invite yet? >> we're hosting together. >> the invite to the other thing -- >> the bigger party. >> oh. >> one track mind. >> i didn't even hear this, i know what he's talking about >> we all can guess. >> you and elton john are waiting. >> we're living vicariously through you. >> i won't be going. i can't. >> we should tell you, there's a

data breach. delta air lines and sears holdings saying customers payment information may have been exposed at one of their software security providers. sears saying less than 100,000 customers were affected. delta said the breach did not expose passports, golf i.d.s or sky miles information >> deal news, j.m. smucker striking a deal to buy ainsworth pet nutrition for $2 billion ainsworth is the company behind ra rachael ray's dog food brand,

nutrish. there was one blue -- >> blue something. >> it's hot. >> people are spending more money on their pets. >> they are. the 12th year in a row labs are the most popular dog >> pretty dogs >> yeah. >> friendly. >> they are. separately, smucker confirming reports that it's exploring a sale of its baking business. >> my goodness >> the doughboy. >> from ghost busters. >> no, that was the stay puff marshmallow. >> a rip off on the -- they couldn't use the -- >> pillsbury didn't give them the rights they kept blowing up at the end. jamie dimon releasing his annual letter today. wilfred frost has some of the highlights

this is a letter we all anticipate every year. he puts a lot into it. >> he does 47 pages this year in that letter jamie dimon struck a tone of support for president trump's attempts to reset the terms of trade saying we should acknowledge many of the legitimate complaints around trade. he said this was particularly the case when it came to china which he says has the second largest economy of the world and is home to 20% of fortune 500 companies yet it still considers itself a developing nation that should not be subject to the same wto standards as the united states and other developed countries. he noted that one of the administration's best arguments is that negotiation alone has not worked he favored listening closely to china and agreed with president trump elsewhere saying obamacare did little to fix our broken healthcare system and that it had torn up the body politic

over ten years dialen sa dimon said healthcare costs are twice the amount of other developed nations, and this is why jpmorgan chase is hoping to inform public policy on markets, he says there is the possibility of higher inflation and wages and underestimating the chance that the federal reserve may have to raise rates faster than we think >> that's something to pay attention to >> it is, except overall he's relaxed about markets and a little perplexed when people are surprised by large market moves. adding that while volatile markets can create market panic which could slow the growth of the real economy, i wouldn't give this thescenario high odds he is overall positive on the economy. on data privacy, he said jpmorgan spends an enormous

amount of resources to protect clients from fraud, sk cybersecurity risk, and that events of the past year y underscore the importance of security >> he says what he thinks about the company, buying back shares, and then gets on to bigger issues facing the nation >> absolutely right. there's lots of topics here -- >> do you remember last year, i was looking up last year in anticipation of this it was on april 4th last year as well he had a lot of criticism. wasn't bullish on trump's policies at all last year. and he got very -- the proof is in the pudding he got more bullish. >> i agree

i was surprised at the extent of the support of a lot of policies, whether it was tax cuts >> andrew, are you devastated he didn't machine shun gention gun? >> i'm not >> did you look through it to see if he mentioned guns >> no. jpmorgan is working on a policy now. >> they are. all right. >> we'll see whether they actually develop a policy or not. >> like glenn close, you will not be ignored you will pressure these companies. >> they may or may not come to a conclusion about how to deal with it. i don't know >> i looked for it i said that will put you in a bad mood >> i was fascinated he said -- i know we know this, but he specifically said it again, he will be there for five years, that that's what the board agreed with him on >> exactly right mentioned that and around five years he and the board agreed to -- >> you wrote that yourself, i saw. you misspelled favorable

and what in god's name is privacy. is that the word we use -- is that the same word we have here? >> i'm pretty sure you got what it meant i'll stick with it >> all right you know you're mispronouncing it. >> i'm not mispronouncing it i'm saying how i say it. if it's pronounced privacy and you say privacy -- >> it's pronounced privacy here. >> i say squawk now. in terms of the stock price and stuff, the other interesting thing is on capital return he made it clear that they have too much capital at the moment ideally they want to use that capital to grow. with the valuation which he stated, he has a strong confidence in the stock price that they'll grow into the valuation. >> he favors organic growth overall. if they can reinvest, if the policy allows it >> or the growth opportunities

are there. if there's no demand to use that capital, they'll buy back stocks there was a debate this year, will they return stock to shareholders or do dividends -- >> great piece in the "journal" from jamie dimon about the company's responsibility to educate the work force he didn't mention big gulps or 16 ounce drinks, sugar, climate change, but maybe it would be a good idea -- that's the kind of social responsibility that we could all get behind >> i'm all for rescaling workers. >> and taking care of retirement for workers. that's where you can make a difference just not sugar, red meat >> i don't know -- >> you like all this starbucks with the -- god knows. we're moving on from. >> the "wall street journal" version as well is not 46 pages. >> i don't think they mentioned privacy in the "journal. >> i don't know.

>> one question that jamie dimon always gets if all of us when we see him, you are going to run for president? >> yes >> when i was reading through this letter, i thought to myself this letter makes it harder not easier for him to run for president. >> really? that's your takeaway i was reading it and thinking this is so clear on so many topics -- >> the five-year part was one part it made me think could he run -- he would be difficult to run as a democrat it would be difficult to run as a democrat i always thought it would be difficult for him because he is socially liberal to run as a republican i thought this letter specifically, given the way he supported specific issues or specific points of view -- >> either that or he won't bend to change opinions >> on all sides, he's violated

all things, it's a great thing he would be in the middle. but in this crazy, polarizing environment i thought this would be complicated >> but he talks about all these social issues which perhaps he wint ne wouldn't need to do if he was only talking about his company >> potentially >> i agree, in terms of economic policies, this is as republican as you could get >> doesn't make him unique there's a lot of -- >> as you say, he always says five more years. we'll talk about this when we've been told he's not going to, but we still talk about it there's a 20% chance in all of our minds with no evidence or sourcing, but we think he's thinking being it in the back of his mind >> i'm glad you're at 20%. >> my view on this still is that he's got the most amazing job in the world in banking so it would be a massive risk and gamble for him to consider doing anything else. if all the stars were aligned, what's the one thing that will be better? are the stars going to be

aligned? probably not 20% chance they'll be aligned. there's a republican nominee who will get the nomination again. >> it's weird that the divides from the left and right, there's a lot of people like that. a lot of people that are -- >> centrists >> they're not really centrists on economic issues, but on social issues. what i consider a centrist you don't rely on one party's dogma or the other's you find your own issue. >> for me, it's all about free markets, prosperity, dignity of work >> the center in europe is the same, right? >> what is that? >> the center in europe is the same >> does anyone believe in the dignity of work in europe? anyone at all? >> he's here, it's 6:00 in the morning. >> there's dignity in a 30-hour

work week with three-hour lunches. we got it. >> we're only here 15 hours. >> i worked hard to get here presumably there was work earlier in my life >> you could do two weeks in one in the french market no >> no. we got to go we got to go i'll tell you off camera about this -- >> thanks. >> are you watching a documentary? >> have you seen this? he quit doing his first series, he went to the employment office, he said i'm looking for a new job. i'm looking for a half hour a week of work wow. we have a lot -- >> any way, chris whalen is digging through the jpmorgan letter he will join us at 8:00 a.m. with more reaction. if you were watching "squawk box" yesterday you may remember the dow futures were pointing to

a drop of as much as 600 points. it was so exciting then unfortunately everything turned around and fears over a trade war with china were weighing on the markets. that remained the case for most of the morning then the larry lift. our old colleague and now national economic council director larry kudlow came out somewhere on some network i'm not familiar with and calmed fears of a trade war that's when the markets staged a comeback eventually turning positive in all the dow finished the day higher by 230 points quite a turnaround that's continuing into today with futures up triple digits. you weren't here yesterday, becky, but andrew, remember we were talking about it was 23,500 on the dow jones that was the lows. on the s&p we talked about where

it bounced last time both of those numbers were hit yesterday on the open. and it immediately bounced i don't know if that puts in a better bottom or not it hit those numbers, tested those. maybe a bottom's in. maybe not. maybe these guys know. joining us now is jeff knight from columbia thread needle investments, and anthony chan, chief economist at chase anthony, you're more bullish than you've been in a while on the economy overall. 2.7 % to 3% >> i think it's moving in that direction. all the stars are aligning good employment growth good maylabor force growth in t past nine months 1.9 million.

there is the tool to grow faster >> you mentioned the wage component is not there yet you bring up some interesting demographics a lot of hispanics and african-americans entering the work force, but you're not seeing wage gains in that group? >> there's a lot of re-entrants, new entrants, and they're getting training opportunities, which is great but they don't have as much wage pressure as people who are switching jobs >> that was your point >> as a result, wage pressures don't go up so much. >> that's one of the reasons you think that the mix of people being -- that are coming into the work force or reentering it, that's one reason wages are not going up >> if you're going into an opportunity to get trained, you will not demand a higher wage. it's great for the overall economy. the hurricane ironically that happened in puerto rico is bringing a lot of people from

puerto rico into the united states that's great opportunity for them to work but they're not going to have huge wage pressures because they're happy to have a job. i'm frankly very excited about that >> this sounds like good news and bad news we shouldn't be happy there's a wage disparity demographically >> these are the facts we want wages to go up the federal reserve wants them to go up between 3%, 4%. these are the facts. >> anthony is an economist you know what that means, right? you need to be the one who says whether the lows are in for the stock market it's all coming down to you. we're going back will we hit new lows or retest the lows are the lows in? >> i think what anthony says is very important in this economic context, when you have this much growth and you have unemployment continuing to fall, it would be unusual for an inflection point to hit the stock market usually bull markets don't end

until the yield curve inverts. we're not there. >> you want to talk stock markets or the economy the s&p 500 on a nine quarter winning streak you made that point. will it be -- is it going to resume that winning streak or not in. >> it did last time. i was flipping will you my screen saying when is the last time we had nine up quarters in a row. maybe four years ago or something. we had one blip down quarter, and off to the races again that's our view. our view is continued positive returns. i think we moved from a special environment where it was just low volatility, relentless upward trajectory to one that's more wobbly. >> so you don't like year-end targets, but you make them any way. >> i do the barron survey, i

have to throw a number >> they make you do it now i'm doing the same thing for the s&p, 100 points higher than now that's saying something. that means we're not going to go lower and stay lower then. >> one thing i do like about the year-end target. it's become an anchor for you. it felt like a dumb projection in january we were up 7% in the first few weeks. doesn't feel so dumb anymore it also reminds you there's upside even to what i thought was modest targets for the end of the year. >> if you get a 35% move since the election or whatever, if you just maintain that through the end of 2018, that's saying something, being up 2750 with additional gains, you're going out on a limb there. >> yeah. >> multiples contract and

earnings need to pick up the slack? >> that's right. and i think earnings will if for no other reason than the tax cut. >> globally european markets have flattened out are there potholes in that whole -- >> there are greater opportunities. >> any narrative that global growth is slowing right now? >> i think one thing that i look at is global exports global exports through december of 2017 were up more than 4%, close to 4.5%. that suggests to me that global economic growth is going to be strong for that reason we look for european equities to go up this year somewhere around 13%. we look for the s&p 500 to go up between 13% and 14% for this year again, earnings will be up double digits, probably 16%. the tax cuts played a big role in that. earnings are going up. these are not just my numbers, but the consensus agrees they will be strong

historically you get earnings and returns in the equity market that are closely aligned if you get those earnings numbers, despite all this noise, you can certainly justify the 13% to 14% rate of return on the u.s. s&p 500 and again in europe they still have quantitative easing they're buying 30 billion euros every month through september, and they won't raise rates until probably 2019. all that is supporting the labo? >> in europe >> here. >> absolutely. unlike europe where the unemployment rate is 8.5%, we got 4.1%, and i think tomorrow you can go down to 4%. >> that's scary with inflation then >> it's scary if you don't have people in reserve and the potential for the labor forces to continue to grow. this is the fastest growth in the labor force we've seen on a 12-month basis for the entire expansion. very encouraging for the labor

market >> so general mills bought blue buffalo. >> yes >> did you see kudlow and kayla, she walked by -- >> blew her a kiss >> the haters immediately come out. >> kayla had to come out and say, no, i appeared nightly on the kudlow report. >> don't be a hater. >> the better tweets were the images of scaramucci blowing a kiss and larry blowing the kiss and people writing who did it better >> oh, god >> that's not what it was. >> you're one of the haters. >> i'm telling you -- >> all the haters follow you they know you're aligned >> i'm not aligned in that way >> how did you see that? >> i retweeted kayla's >> you saw the scaramucci -- >> no, i saw kayla's >> you blocked them all. that's why you didn't see them >> i did i blocked 3500 people.

>> that's more people than you have no, it's not >> are you following 1 peop2 pee >> i'm keeping it under 100. coming up, peter navarro on "squawk on the street" at 10:30 a.m. stay tuned for that. okay coming up, mark zuckerberg issuing a warning to facebook users about data privacy on a conference call. julia boorstin was on that call, and what do you have coming up >> mark zuckerberg says security will always be an issue that facebook h taso grapple with we'll tell you what he has to do to fix the problem after the break. great, another dead end. sarge, i just got a tip that'll crack this case wide open! turns out the prints at the crime scene- awwwww...did mcgruffy wuffy get a tippy wippy?

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and these kids, and these guys, him, ah. oh hello. that lady, these houses! yes, yes and yes. and don't forget about them. uh huh, sure. still yes! xfinity delivers gig speed to more homes than anyone. now you can get it, too. welcome to the party. welcome back mark zuckerberg's congressional testimony will be a two-day event next tuesday and wednesday. zuckerberg held a conference call with reporters to discuss the data privacy controversy julia boorstin was on that call and has the details. >> facebook shares rose over the course of that mark zuckerberg call even after facebook admitted that cambridge analytica data had been accessed -- cambridge analytica had accessed data from up to 87 million facebook user accounts,

but zuckerberg said facebook is taking responsibility for more as they work to keep users safe and prevent systems from being used to undermine democracy. >> now we have to go through every part of our relationship with people and make sure we're taking a broad view about our responsibilities it's not enough to give people tools, we have to ensure all those developers protect peoples information. >> zuckerberg was asked repeatedly if he's the right person to run facebook he said yes. he said life is about learning from mistakes and figuring out what to do going forward and learning from it >> the reality of a lot of this is that when you're building something like facebook that is unprecedented in the world, there are going to be things that you mess up >> zuckerberg also said they have seen no impact of the scandal and fallout on ad revenue or on facebook usage yet. they do and were it's an issue

they need to tackle. >> from the pieces i heard from it, he did sound like he was not reading from a script. he was trying to maybe answer honestly maybe that's why the stock benefited. >> i think the fact he said we're taking responsibility. we understand we didn't understand the full scope of everything we were responsible for. we're making changes and the fact they have not seen an impact on usage or on ad revenue. that's meaningful. >> maybe unfair to ask you to speculate, usually when executives like this come before congress, they have some prepared testimony oftentimes they try to get ahead of some of this but saying they'll do something new or different. is there something new or different you can imagine that could be in the works between now and next tuesday >> they already announced a number of things yesterday his conference call came after facebook announced nine different ways they will not be giving out user data or giving

access to user data or sharing information. there's more transparency. there's a number of times where they announced changes yesterday was a bunch more things, including notifying all the people whose data may have been accessed by cambridge analytica. >> basically everybody >> so they got a lot of that stuff out there yesterday and hammering home more interviews and conversations over the next couple of days, how they're taking this seriously and making sure they're on top of the issue. >> we'll have more on this thanks for hanging out on the east coast good to see her live and in person >> you were here last week >> yesterday >> just yesterday. >> that's what -- i knew it was yesterday. kind of. scraped is a word now. >> scraped is that used in this context before >> scraping the data >> is it in the oxford dictionary in that use >> the urban dictionary. >> i won't let that -- how do

you know about that? >> the urban dictionary? you tell him >> thank you when we come back, president trump facing off with china over trade. we'll talk to the president of the u.s./china business council about the tariffs and what american companies and consumers should know. first a look at yesterday's s&p 500 winners and losers ♪ (daniel jacob) for every hour that you're idling in your car, you're sending about half a gallon

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welcome back to "squawk box" live from the nasdaq market site in times square. welcome back we'll get weekly jobless claims and trade data at 8:30 a.m. eastern time the fed speakers include tar lly charlie evans and rafael bostic. markets closed up yesterday, and this morning things are in the green again. we're off the higher levels we saw earlier, but the dow indicated up by 91 points. s&p up by 13, the nasdaq up 47 fears of a

china sending a wave of volatility in the markets. wilbur ross talked about the issue. >> we have had a big problem with trade deficit for a long, long time. several presidents got us into this big deficit this is the president who is going to get us out of it. he is determined to go forward this response should not have surprised anyone >> our next guest says tariffs may do more harm than good in addressing intellectual property problems with china. so help us understand what was a volatile day yesterday, you heard what wilbur ross had to say on our air then larry kudlow again say this is really just part of a grand negotiation, we shouldn't -- i don't want to say we shouldn't take what has been said so far

too seriously, but there's a lot of room and things may change and evolve over the next several weeks. to the extent it can evolve, where do you see the fault lines? where is there an opportunity for this to be better or worse for us and for china >> i think what's been lost in the activity over the past couple of days is the underlying issue that is driving the release of the tariff list by the united states and china. there's a case filed by the u.s. trade representative last august that started all of this so it's been in the works for a while. nothing that happened over the past couple of days was a surprise that case is focusing on whether hin th china compels u.s. companies to transfer technology as the price of market access in china. it's a real problem. it does affect american companies in certain sectors it does need to be addressed that's the key issue what we have not seen the trump

administration articulate is what would success look like that would lead them to say we won't move ahead with tariffs. we feel like the problem will be sufficiently addressed the u.s./china business counsel has some ideas, getting china to stop certain ventures in certain sectors, but we have not really seen what administration goals or yuoutcomes are we have seen the tariffs lists the risk there is the collateral damage that can be done. the link between how you take that and get to addressing the issues related to technology transfer needs to be articulated. >> let's talk about the technology transfer and then riding china of this joint venture requirement. where is the leverage point that you think the trump administration has or doesn't have in that debate? >> i think you have to look at

how china has used licensing restrictions and used those joint venture requirements in key sectors. it's important to keep in mind that most american companies can invest in china and own 100% if the trump administration can use tariffs to get to the table and be able to get china to try to move forward with reforms, that's a good start. it can't be one that just ends up with no result and then you get into the trade skirmish with all this data. >> i get that completely what i don't understand is are you of the view that by imposing these tariffs they will get to that table to get to the points that you want? are you suggesting that you think this will be unsuccessful and you have other worries >> not noticed so far is the trump administration did file a case last week that looks at

five laws and regulations in china that deal with technology transfer that's a good way in resolving in issue in a forum that china agrees is acceptable for resolving disputes the tariff issue has too much risk in it i think china is willing to come to the table i was in china a couple weeks ago. we had meetings with senior cli these these -- high the these -- chinese officials. behind all of this is a loss of confidence about china's policy direction. they have not moved forward with economic reforms >> did you see feldstein's piece in the journal >> i have not? >> a mutual promise to abide by the wto's intellectual property rules would solve the problem.

neither side would lose face if you just said from here on out we'll abide by the wtos -- >> they would lose face by admitting we were cheating the whole time they wouldn't have to concede anything would that work? >> i think you need more specific focused outcomes that target getting rid of the joint venture requirements, the licensing requirements that force technology transfer. those are the outcomes that would matter to american business that's the kind of negotiation that needs to happen >> last question here relates to this jamie dimon out with his letter. he makes a similar argument around the wto in terms of china considering itself a developing country and how that needs to change is that something that you think could happen >> well, the multilateral system is one that has its merits

it's also in china's case not the answer to everything i think american business wants to make sure the u.s. continues to honor our obligations, but there's recognition that the wto has not been sufficient to address all the issues that china presents something more needs to be done to be more effective in getting china to adhere to global trade rules. >> john, we have to leave the conversation there appreciate your perspective. >> quick programming note. president trump's trade adviser, peter navarro, he will hang out with the "squawk on the street" gang at 10:30 a.m. eastern >> he was on with santelli last night. was he on with santelli again or on the show -- >> on with santelli. >> great last time he was on for, like, 15 minutes. >> my guess is they'll give him a significant chunk of time again today. >> i expect the market will be volatile around 10:30. >> we'll see coming up, linkedin editor and chief dan roth is here with a

snapshot of hiring trends over the last month the work force report is minutes away does he have a tie on do you think? guy doesn't wear a tie >> no, he didn't last time >> and he tweeted about it tweeted about what happened off camera. >> only we're allowed to do that. >> that's right. and spice up your morning. the ceo of mccormick will talk global trade and the economy and later teresa gouw. >> got it. >> that's your interview a venture investor with a track record of backing successful startups she'll tell us where she's putting money to work right now. stay tuned, you're watching "squawk box" on cnbc tomorrow, it's a day filled with promise and new beginnings, challenges and opportunities.

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time for the executive edge. we'll start with corporate news. carl icahn planning to nominate directors who will push for a sale of sand ridge energy. icahn says he may make an offer

himself. last year he fought to block sand ridge's deal to buy bonanza creek energy. the white house says president trump is not involved in deciding whether amazon wins a multibillion dollar pentagon contract press secretary sarah huckabee sanders said the president has not taken a role in choosing whether amazon will get a contract for cloud computing with the defense department. amazon is competing with oracle for the deal president trump criticized amazon for the use of the post office as a delivery boy do you think that's enough, the guy at the defense department is fully -- >> independent >> explain this -- >> if it were me, i might think microsoft was -- >> the president was having dinner with safra katz, co-president or president of

oracle, which is also bidding for this contract. >> your questions about bezos, "washington post," those are -- there's something to it. >> particularly when at&t/time warner is in front of court this week wondering the same thing about cnn. when we come back, it's jobs week in america. we'll bring you the first look at the linkedin work fceor report next on "squawk." at&t provides edge-to-edge intelligence, covering virtually every part of your manufacturing business. and so this won't happen. because you've made sure this sensor and this machine are integrated. ...& she can talk to him & yes... atta, boy. some people assign genders to machines. and you can be sure you won't have any problems... except for the daily theft of your danish. at&t provides edge to edge intelligence.

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>> all right, everybody, we are one day away from jobs friday. last day's employment report was a monster showing 300 jobs were added. to do that we are joined by dan ross, she a linkedin contributor. good to see you. what you see on the linkedin network, numbers are holding up the march. >> it's a 90% increase hiring year over year, this is now the seventh straight month of double digit hiring it started a few months after

election it hasn't slowed down. >> where in particular which areas? >> financial service, every month this has been true, aerospace, autos, manufacturing and construction >> wempb even with the concern of trade war, boeing is the stock that gets hit the hardest. >> this is last month. we will see if that starts playing into it. if you are a company worried about tariffs, a trade war a slowdown in trade, i assume that will have an impact to start filling. >> a positive reports, is there an area of concern as they say about young students with grades. >> i think there are two one is financial is professional service saw a pretty drastic slowdown so that's like accountants, lawyers, these kind of services around the edges, people you want to hire into your company

or just hire personally to do services around when the economy is good. that's really slowed down. the second is a massive. >> did you get nit. >> i don't know. it could be one that all these jobs are filled and everyone needs what they need they're not revenue-producing jobs but there could be something else going on. >> dan, one question, what are the blind spots of the linkedin report in terms of the overall jobs picture i would assume you have a huge number of white collar jobs offered there, maybe not as many blue collar jobs >> i think that there is much, many more white collar jobs and blue collar jobs and linkedin. on the two years we were doing this, one year we were tracking it and releasing it the numbers have matched less. so so far that kind of the we

look at if we are indexing it right. it's matching the government's numbers. >> it's not failing economy. >> right >> thank you >> coming up, when we return, stocks on the move again this morning, we will talk strategy after the break an later spice up your morning, a performance on set to talk about the trade war and the economy in just a moment it's going to get spicy. it's going to get spicy. [ music playing ]

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[ music playing >> the big bounce back why stocks continue to recover from yesterday's epic turn around, what you can expect if today's session straight ahead. >> the data scandal grows.

>> we were behind and we didn't invest enough up front >> how facebook plans to access user information and could twitter be next? >> plus, looking to spice up your portfolio the coo of international flavoring,ist spice company mccormick will join us to discuss the company's portfolio as the second hour of "squawk box" continues right now [ music playing >> announcer: live from the beating heart of business, new york, this is "squawk box" >> good morning, welcome back to "squawk box" right here on cnbc, time's square, we're all towing, becky is here, joe is here the markets with with us at least for now. take a look at futures at this hour the dow looks like it would

open 70 points higher. the nasdaq up 70 points higher s&p 500 up 12 points after a big up day yesterday of while we were on the air yesterday in the morning, it looked leak it was going to be a big down day data breaches are the beg news to tell you about. delta airs and sear's saying sol information may have been compromised due to a brief breach of a software provider for both of those companies outside that uses both of those companies, delta, however, says, here's the good news, no passport government idea or proof of flyer information was impacted cash is being pulled out of bill ackman hershey's square at a happened pace. most investors in pershing square have asked for their money after three years of subpar performance, it was eligible to be withdrawn at the end of last year was, in fact,

pulled out of that firm. he has a capital vehicle that he raids in europe you can't take out, it was raised there so it's not like -- there is no way to get it back >> that was the way he set it up as i'm talking the other money. >> the other money had been get aed to the extent there were certain dates you could take the money. now it appears they have taken it though the size of the fund will commit it. >> adt what's the late northwest. >> adp >> it's over and long gone, or off to the - >> the activists >> jc penney, herbalife. >> you are doing the myth list

>> the canadian railway was a good one for him >> nonetheless, we will keep an eye on billing ackman, we will t weekly jobless claims and if february trade deficit both will come at 8:30 in the morning, all those as a prelude to the jobs report >> let's talk about a few stocks on to move this morning. jm smucker is aiming to buy ainsworth pet nutrition, they're behind rave etch ray's new trish. they are reporting a baking business, pilsbury they say they are fought deciding on whether am gone whens a press contract sarah huckaby sanders says e

says they are not trying to choose a role. they a they competing with oracle and amazon for that deal >> he says who are you thinking about? >> what do you think, mr. president, what should i do? president trump goes, i don't know, what do you think? that's all >> this goes back to at&t deal or anything else right? >> how many times? >> i know what to do, microsoft is looking good. who was the other? oracle, great company, great product. >> a problem with things going p public >> shocks making a monster comeback they're up this morning. futures pointing to a higher opening. the strategy at ubs. be careful with my money

>> yeah, we will >> it goes back to kidder peabody, general elect trek. somehow ended up at ubf. you and us no, you and me anyway, and mark freeman, chief investment oemplts you have blind things i don't know what he is doing with it. senior portfolio manager west wings holdings group are the lows in after yesterday? >> i think the reaction yesterday showed quite a bit was priced in, in terms of trade tensions i think payrolls friday is important to keep the narrative that growth is solid inflation contained. we got that report next week so i think it's always tough to call bottoms but the move yesterday was very much indicative of a bottoming in stock >> you figure after last month, if that jobs number, can that

take center stage versus tariffs tomorrow >> we saw pretty good adp nvenl we got bad news on u.s. tariffs. and that was more than offset by i think pretty good news on the adp side so you know payrolls on friday should continue i think that narrative on the growth si side >> when we hear it's .3 of 1% s. is more? it's not just the end users? it's a much bigger number or is it not sore it men schedule? >> i this i the math is a $12.5 billion cost, which is a starting point for u.s. side 12.5 for china you compare that to what the fiscal stimulus is 280 billion it's 1-and-a-half plus gdp it's already passed.

it's certain it's making its way through the economy. we expect retail sales to pick up we had pretty good auto sales this past week >> i think when you look at the recent low, the most important thing is what was the standpoint i think that's ultimately the support for whether or not was that the low or not? also in terms of looking, what can replace these tariffs, i think the most important thing of all is earnings we start earnings next week. as that comes into focus that's ultimately -- >> is earnings season picking up in >> i wonder, if it is a low, when would we say it's more than a short term or an immediate term low is it going to be the low from here to eternity >> forever >> possible. >> i probably wouldn't go so far. we will have a bear market 25%

from 28,000. can you see it go below that eventually >> from the valuation, on the multiple side. you get the consideratitractiona decline in earnings. the market is going to track and follow ultimately earnings growth when you look at it, we're looking at 2018, probably 20% year over year, look, 2019, who knows what the number will be. if you look at the early consensus, that's also for another type of earnings growth. over time the market will follow the trajectory >> you need a you were at 666 s&p after it was so much higher than that. it's always possible. >> yeah, sure. >> if earnings flatten or go down, then the multiple can go to like 10 >> that's exactly right. >> a hideous recession low on the multiple. >> that's right. right now we're trading at 17

times. so 17 times for roughly 7% year over year earnings growth. okay that's not expensive if you are paying 17 times for 10% earnings growth the market will probably adjust to that >> are you earm innerunanimouyoh when the government starts noticing out profitable pseudoupon openlies are able to do is that what the banks are >> i think our view over the medium term we are positive on tech when you have a vix shot like in february who do investors do they buy things they like. they buy growth. that was the call. out performance was significant, much more than we had expected going that the crosshairs of regulatory concerns and trade concerns so we were advising to reduce an exposure tactically where at this point we're in the recovery on the mark you see value start to out perform. >> you are talking technology,

it can be despecified. >> i think fang is very much a big driver of the technology story. i think joe mentioned monopolies but these are self created you know entities with new yorkering effects with very strong pre-cash flow that they're plowing back in the business and growing. i think that is a longer-term story that if you rewind back to microsoft 2002, '3 and '4 where they hadding are latory concerns -- they had regulatory concerns. >> i think tech in general has two head winds, one is this is an extremely popular sector when advisors, it's probably the most over owned sector. if you take the s&p 500 it's now 25% of the index so obviously it's very popular there so i don't think it takes a whole lot for as you said to take some exposure or reduce that exposure there.

the other thing we are watching is ultimately what's on the horizon, which would be regulation and i think that is one of the things the mark is now trying to process in terms of thinking, what will that regulation potentially look like and what lit, how will it impact the ector? >> any - >> no. >> the eu competitions are in the journal. i mean >> they always are over the eu they hate us, they haven't developed new technology >> obviously, we have been looks. >> you have been doing this for years. >> an eu privacy sort of adoption here. >> that's what i mean i just know i like microsoft and oracle, amazon

>> yes, sir. >> marching orders >> i'm saying, there are prime pack onlys out the door. >> i worry i see them they come all the time i didn't efficient a thank you. >> mark. >> whoohoo. >> when we come back this morning, facebook upping the number of people likely impacted and the growing data scandal we have been talking about this, mark zuckerberg addressing the breach we have that later after the break. >> the ceo of mccormick joins us with 50% of sales outside the united states, stay tuned. you are tcng "ua bwahisqwkox" right here on cnbc

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>> stick around. >> stick around, twitter is under the microscope the cover story #hijacked interviews with 64 former twitter ployers.

one of the co-authors is here with more on the slippery slope a senior editor at fast company. we have been talking about the facebook situation now we are looking at the twitter situation. dare i ask which is worse? >> i think at this point twitter has not gotten away with scrutiny we spent time with senator mark warner who said it has been drafth off nationbook everything has been derivative. i think they've gotten away with how much pressure has been geared towards facebook. >> how much is twitter doing what facebook was doing to the extent, are there cambridge analytical scale i style situations that fit under the twitter rubrick as well? >> i think they're slightly different because they don't collect data in the same way as face boovj i would argue it has

been worse, the pattern of abuse, the played of radicalization issues the rise of the old ridghts /* rights an the lack of safety resources the company has put in it has been far worse. >> to put a fine point on it those are rejit mat and very important issues those are different issues than facebook is confronting today at least. obviously, there is questions about fake news, what is real. we saw all these types of content issues you are talking the content piece rather than the targeting piece, correct >> i think i'm targeting both. both fit into the bucke of how transparent about youtube, redit, content on users what

they will allow on their platforms and advertising could be targeting to individual users. they're all in the same bucket >> you screwed up the name redit. i thought of it as one of the more open platforms. that's sort of built into the brand. is that not the case >> in this case, that's another platform i don't want to conplate two issues and the more abuse issues on these platforms let's broadly say a lot are unsafe and redit had to deal with a lot of aggressive as twitter has had to be just as facebook once they become under the. >> i fool like we are talking fought past each other but there are so many different issues here i think one is this targeting issue, mark zuckerberg, a large part of the conversation will be how users are targeted what type of data is being used

the privacy, this idea, not that they're scraping data but that clients and customers areco mentionling it to retargeting, which is a big part of the business that's one piece of it the other piece fake news are people, there hate speech? is there other things? >> yeah. you can certainly weigh in on the twitter piece. i think there are a lot of different piece, twitter being an open platform is different than a closed platform there are many shared only with their friends being accessed more broadly on facebook. on twitter there are greater questions of abuse of the platform sort of manipulation with fake news and stuff like that am i correct >> you are totally correct i think a larger issue is

companies for so long made their impressions emtreatmently valuable when it comes to selling with procter & gamble. now, in these settings, they're not bad. they can't sway public opinion i think that's a lot of the testimony next week with mark and hopefully with someone like jack dorsey the ceo of twitter, it's valuable. >> final question, we were all talking about this not as if it's the end of the either but an important questioning issue i just wonder, i know what the pulse, i just wonder whetheryo think that there is an entire generation of people who are looking at us talking about this and say, actually, i don't care that much. i don't care i'm happy to use these services, maybe i'll switch. maybe i'll do the privacy settings a little differently. i don't mean to see we're over stating it or under stating it

i wonder what is happening here. >> i say talk to anyone abused or threatened on these platforms. i'm sure you, yourself, has had to deal with that harassment anyone who has had to see what's happened in the last years, not only the polarization of the eltiecon and issues around the alt right. >> thank you julia thank you. i appreciate it. we should also a say - ♪ ♪

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when we come back, the house making a big move to make your tax cut permanent. we have the details straight ahead. and later today, white house director office of trade and manufacturing policy, peter no var ro will join "squawk on the street". the dow futures indicated up by almost 100 points. s&p futures up by about 15 the nasdaq up by close to 70 it all comes after a wild spring for the marks yesterday. a swing of or ve730 points stick around we'll be right back. do you want the same tools and seamless experience across web and tablet? do you want $4.95 commissions for stocks, $0.50 options contracts? $1.50 futures contracts? what about a dedicated service team of trading specialists? did you say yes? good, then it's time for power e*trade. the platform, price and service that gives you the edge you need.

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>> good morning, welcome back to "squawk box" here on cnbc. we are live from the nasdaq markets in time's square let's talk about the stories front and center this morning.

nike is telling employees they have failed to gain traction according to an internal memo seen by the "wall street journal. in that memo, top resources say the workers are trying to create what they call a culture of true inclusion. saudi arabia's first movie theater in 35 years is set to open april 18ing in riyadh, that follows a deal to open up to 40 theaters a ban was lifted last year as a part of those sweeping economic and social reforms we have talked so much about general electric will be issuing restated financial results for 2016 and 2017 by the end of next week these restatements are being done to reflect revenue from long-term contracts. it's results from this year's first quarters will be reported april 20ing. in political news, the house of representatives is drafting legislation to make those individual tax cuts permanent.

the republican proposal also calls for a proceedings to allow businesses to fully deduction expenses immediately the goal would be for the house to vote on the bill by april 17th, which will be the dead lean for households to file their tax returns. is this the 2.o we have been talking about? this isn't the tax reform? >> this is a mini step 1.2 >> it's a big step there is a reason they didn't make the cuts permanent. doesn't this add to in. >> it's my worry stone where is your worry stone? i haven't needed it. >> mean is tranquility it's in the chinese symbol for tranquility. tom freeman comes on we will bring him in >> there's a lot of. i could bring it in every day. then i don't want to, you know,

i want it to be special when i bring it in. you know what i mean >> let's talk about the markets that may seem like comeback after the white house comes back on fears of a trade wars, good morning to you so it got talk -- tell me what really hammond did the markets get talked down and topped off, is that what happened here? >> maybe no one knows. we have increased volatility it's increasingly harder to figure out when swings like that occur, typically, it's better to do it less and a little more sitting and observing. think how easily you could have had your fingers chopped off and doesn't something only to see it rally. or the day before you could have gotten excited to watch it come apart. day to day, it's a little bit treacherous. you have to say. >> do you look at this and say this is a technical situation or do you look at this and say there is something >> a technician may say that

truly, it's not a dividend discount mile moving the market around its taxes are good trade wars are bad there is a lot of volatility after the period, it's sort of reciprocal. >> do you think we put in a bottom >> here's my thinking. it all started on not the peak of january 26th. it was a friday. on january 12ing. >> we were in davos, switzerland. >> these are big times back at the fort things were about to come apart. on june 12th been the peak a circumstance happened that has not only happened six times, seven times in history, there was a 2,000 base point spread between the industrials and it went back to the early 1920s every single time it's been resolved by theutility out performing and the dow under performing >> you are talking points. points around what they used to

be. >> percentage. >> 2,000 basis points of spread on a 40-day period, very quick, it was the peak. people are accelerating into industrial stocks and dumping yields and then what's happened since, two weeks later, we get a peak in the market i think it's only halfway through. i think you still want to favor things like utilities. another thing that's happening is staples are happening it's broadening out a bit. >> what part is the most important? the two-to-five went up. it continue to stuck. >> it's like watching paint. >> what's the most important for this what you are talking about? >> it's the back end >> it is >> yes, i'm in the camp that they're not going to really do the three and four. >> will we see two-and-a-half before we see three? >> that's my hunch >> really? >> i think back towards the 2, 6.

one was industrial and financials should be owned they're not really working they're not the other thing is that rates have to go higher we are sitting here after three months of a lot of volatility. no real progress banks are not that badly constructed. >> back to equities. >> yeah. >> that 18 months was -- >> incredible. >> was big. >> oh, big, big go how long was it to digest that before you moved to a new -- a new high if you look at 10% plus draw downs we saw here. we had 11 point 84% sell-off you typically don't recoup that in one month not in two it's typically more like seven or eight months. >> that would get under the circumstances back to the highs by sort of late summer >> it's the duration >> better than going 25.

i'll give you seven or eight months >> i guess the real issue is maybe a goal past has been set >> that peak of friday the 26th. >> that plunged low of february 9th. the real job for all this is not to figure out the market we got to get the warts right. which part you stay with tech here? >> what do the technicals say? >> the techings argue the convergence, industrials, has a little bit more to go and there is not going to be a robust bounce in some of the foreman leaders. this is this it gets to a handful of stocks the russell 2000 the entire value is as the stocks it doesn't matter the big pension plans. >> they have to go. >> they can't play around. the issue is this, the top 50 stocks are half the weight it has to be. it gets down to the big names the fang, the home depos, as

that goes that will determine if we make new highs. as of now that peak -- >> three stocks in the s&p 500 -- >> oh i like small caps. if you are a small cap manager, okay but it has nothing to do with the market schit has nothing to do with the dow. yes. >> equities is an asset class as measured the russell 2,000. >> you will not see new highs. >> when kevin o'leary was here this weekend, he made the argument over and over again somehow the market doesn't appreciate the earnings power of these small companies and ha has massively -- that's where the -- >> it's good for them, few try to pick those stocks within the mid-cap look much better than the large cap. there's ways to play the game so to speak if you are mandated to do that if we're having a conversation about equity and asset class, it gets down to a few >> you know how we have katy stockton on, we get a lot out of

the technical stuff and this was good i think fundamental guys get nothing. >> i think they go hand-in-hand sometimes. >> i don't >> i thought we we were talking we are back on earnings. >> are you on loan,? are you allowed to come on does she know you are on right now? >> i think she is fond of me >> am i going to hear from her i don't want to hear from her. >> probably about 16 years of this, i suspect -- >> i just don't want to hear from her >> but you mentioned her, you have now marketed the program. >> yeah. >> you marked the network. >> yeah. >> it's all working. >> that's right. >> did i do good >> come back even if she has some -- okay all right. thank you. carter worth

>> carter wirth. >> carter high net wirth >> coming up, with spice things up with the ceo of mccormick we talk trade, nafta and the company's portfolio. we will head to augusta where the masters tournament tees off today. i love these legends, the first guys i miss arnie everybody gets teary eyed. anyway, dom is with the ceo of taylormade, it will be good. "squawk box" is right back helping keep shoppers safe. this is a financial transaction secure from hacks and threats others can't see. this is a skyscraper whose elevators use iot data and ai to help thousands get to work safely and efficiently. this is not the cloud you know. this is the ibm cloud. the ibm cloud is the cloud for smarter business. ♪ ♪

welcome back, everybody. mccormick is giving investors a lot of flavor, growing first quarter sales by about 19% they acquired brands like french's and fraveng's red hot sauce. mccormick up 7% over the year. >> thank you for having many e >> let's talk about what

happened with the acquisition of arby foods that was something that the market was set curiously, they were down 6% since then you have announced things expected better than normal >> mccormick is a global favor and our seasons is much more broad than that. this is a great flavor edition frank's and red hot, it was a fantastic brand. this was a business trapped in a non-food company we have a great opportunity to grow in a way the former owner couldn't before. different lines, also expanding it internationally we had the country to grow outside of the u.s most of our infrastructure is outside the u.s. we had an opportunity to take

this great brand number one in the u.s. >> what would i put it on? >> you can put that on everything that's the advertising line. >> what's the best thing >> oh, yeah. >> i might get on eggs myself, but i'm a big hot sauce user and always have been salsa, i find it goes on it's a great flavor. can you put it on. it's not just heat, it's delicious flavor last thanksgiving i deep fried and injected a turkey with it. from no way. that's interesting >> let's talk about 41% of your sales being international sales at this point. i think your fastest grower is chosen >> that helped a lot in the last quarter. what do you think about this trade talk and tariffs talk, does that concern you? >> mccormick is a global company. we have our brands in over 150 countries and territories in the world. so free and fair trade is very important to mccormick

when it comes to the talk about tariffs, specifically, china is a mark for us. we don't export or import much to or from chosen either way it's a large market for us we actually have manufacturing in china we make most of the products in china. our raw materials mostly come within a few degrees of the equator. china is not a big source. >> do you visit all those places >> i do. i take a personal interest in having a presence in all of the business units to get to know the management oh my gosh >> it's less about where the spices are grown and more about where we sell them and the customers are. but certainly china, india, most of the countries of europe, poland >> but you need to have a partner in chosen? >> in china, we actually don't it used to be you are acquired to have a partner. we have two businesses we own in china one of them the old one has a local partner only 10%

the other is wholly owned by us. >> let's talk about the flavor trends i know you came out with the hot new flavor trends, you mentioned the hot sauce being up at the top. what other trends are you seeing >> we have this annual flavor forecast that we put out that the whole industry looks to us for. we have an unusual insight into the industry because half of our businesses are consumer brands the other half we do the flavor systems for most of the brands you know in the store for the other manufacturers and for restaurants. so that gives us a lot of insight into flavors until we publish out an annual forecast some of the big hits we have, we talked about chipotle. another trend was pump pin i kin pie spice. they made it for decades we recognized it was catching on everything, exactly. and most recently, hot and piecy has been a trend that we called out and that really fits with our acquisition.

>> is it true? this is a random personal question, because my kids talk about this, is it true that the reason why kids don't leak spicy food or certain types of tastes and that over time we like spicier and spicier things is because our tastebuds become less and less powerful >> like a lot of things, is that true >> is it true? >> sit less effective? sort of wear out >> there's a little bit to this. but, frankly, if you look at younger people today, there's more and more interest in spicy flavorful foods from around the world. that's a big driver of our business >> i think it's just, you get grown-up tastes too. >> is it grown up tastes or are your tastebuds dull? >> or mexican food that's not spicy? >> yes, i like the mild i know, as much as you can handle it

>> why >> different taste buds in different parts of the world like different things. what is that about >> i think that is a lot of that is exposure and culture. there is nothing more central to your culture and family experiences than the foods you eat when you get together. i think the tastes remind me. >> in the womb >> and this idea of spicy food is not appealing i will use frank's as an example the younger you are, the more likely you are to be a frank's user >> what about texture? food texture >> i think kids go for different extremes on texture. you have to talk to somebody in the texture business we're a flavor company >> i want to thank you for coming in. it's been a pleasure. >> when we come back the masters tournament in full swing dom chu is there, he's got a

preview of what's coming dom. >> becky, let's talk about hot and spicy. that's the game of golf. one guy is back. he is commanding all the headlines. we will talk about tiger and more with the ceo of golf when "squawk box" comes back after this break

round one of the masters is set to tee off today and dom chu joins us from augusta. how'd you like that ride in?

isn't that unbelievable? magnolia drive, dom, you must have loved them? >> it is, i mean the idea that magnolia drive is as pretty as it is is one part of the overall scheme in santiagoa. even the drive, i drove from atlanta two here even that drive felt leak i got goose bumps about. that one guy that knows about that is the ceo of taylormade golf he joins us here from right now. thank you so much from being here on "squawk box." >> i have to correct you and joe. it's not magnolia driving, it's magnolia lane. >> it's beautiful out there right now. so let's talk about the game of golful it is an exciting hot and spicy spot right now for the game of golf tell us why. >> no doubt. i think the game of golf is in a better position than in many years. certainly, i remember last year at this time literally, 12 months ago, we were talking about the

incredibly young superu superstars, jon rahm, rory, mcrickie fowler, here tiger woods came back, a taylormade athlete and phil mickelson won a couple weeks ago we got these generations of golfers, world class players in the game right now the energy down here at augusta national isn't anything like i felt in my time in the business >> how important is it to have those young stable athletes on tour with a tiger woods? how exciting is the game of golf balls of tiger woods and all of those players alongside of him >> i think it's incredibly exciting every generation of athletes that comes to the pga tour and demonstrate the significant talent that they have and how they played and interact with the fan base and the media hype they create as a result of who they are and how they behave is fantastic. and this year, i think jim nantz said it best, the anticipation of the masters is higher than

he's seen in his 30 years in broadcasting the master's golf tournament so we feel that more importantly fans and golfers around the world feel that and they check with these athletes. we're in a very aspirational sport. athletes want to check with athletes >> is tiger woods' success on tour in the industry >> it is tiger's presence in everything is undeniable the energy he brings to the sport the awareness, the attention he brings to this sport is simply incredible right? we've talked about that at length specifically forte lormade, he epps us quite a bit. he is a part of the story. tiger plays our products we are proud he chose our products he had the chance to choose them we are working on a new iron for him. teaker is playing terrific right now. our story is bigger than tyinger. we have world number one dustin johnson, we have world number 3 and jon rahm

head to toe taylormade and rory mcilroy, taylormade athlete. the leaks of jason day and justin rose, one of the fates as well we have a stable of athletes with m3 and m4, rivals none. we are excited about that. >> it seems like taylor made is in a whole spot. because of the whole game of golf being in a much better spot all week, it will be a filled drama-filled weekend here with tiger woods and everybody else playing. we have a lot of fun out here covering what is the first major for golf >> can you ask your guests i can't find the right setting none of them work. i keep using that wrench, twisting it all around i don't think there is a setting on there, is it me, do you think? is that possible maybe, no, anyway. hey, so, dom, a couple of things this is exciting fred ridley, this will be the

first time we see him presiding over the legends teeing off. what time is that? >> we got it later on here, earlier this morning we will have all that happening. we will talk to gary player after he hits that ceremonial tee shot so stay tuned later on, on cnbc today. we have the guy that kicks things off with us later this morning. >> it taxi a rare course it's brigg enou it's big enough and great enough that's aus, at wugtath'shy we are so excited thank you, we always have to go, but thank you, have fun.

the markets future, the dow recovering after a more than 500 point drop this morning, stocks are in the 14 again the world according to jamie dimon, what he said about the economy the marks and president trump coming up. plus, mark zuckerberg playing defence. >> i think life is about learning from the mistakes and figuring out what you need to do to move forward. >> the facebook ceo feels questions, less than one week before he heads to washington. we'll tell you what he said as the final hour of "squawk box" begins right now

[ music playing >> announcer: live from the most powerful city in the world, new york this is "squawk box. >> good morning. you are welcome. oh, welcome back to "squawk box" here live on cnbc from the nasdaq market site in "squawk" square i'm joe concern kernen the markets moved below that, 9970 on the dow up 15 on the s&p and the nasdaq. very strong. up 61 points after snap back wednesday. is there something with a w? >> whack ki wednesday. >> wild wednesday. >> those are all good. >> federations all right, we'll show you what else is happening at this hour

cash is being pulled out at a rapid pace the "wall street journal" reports most investors at pershing square asked for their money back about two-thirds of the cash eligible to be withdrawn at the end of last year was, in fact, pulled out youtube is increasing security at its offices world wide. this move comes after a shooting at the company's headquarters on tuesday, when a woman shot two people before sill i killing herself. shelves mad at the company and claimed her videos on youtube were censored. one big mover is caught. shares of the home goods retailer dropping sharply after reporting quarterly results and earnings that came in above expectations it was the revenue line, though, that fell short of forecasts comp store sales were down 8%. conn's receives more as a result that stock is off over 16% >> a couple stocks

ge said it would restate results. it will happen next week the restated results will reflect a new accounting standard for revenues and lodge-term contracts that have been scrutinized by the fcc. nike says the company has quote failed to gain traction in hiring women and minorities according to a memo seen last month. you might remember, ceo mark parker launched a review of leadership teams after receiving comments of inappropriate behavior >> check out the shares of merck, if you will shares are higher after an upgrade to overweight at equal kwath i weight at berkeleys the if i recall is uping its price target from $2 to $64. all this from prospects of merck's experimental lung index, andrew >> citi and wells fargo getting

upgraded to buy from neutral citi says the company will benefit from strength in global consumer banking wells says the standard under performance creates a buying opportunity. the group says it is encouraged in an app download share kind of interesting take on that company. in the meantime, j.p. morgan ceo jamie dimon releasing hess own letter will >> yes, so dimon has a positive outlook for the economy for the next year or so when there was a support for a number of reports of president trump's policy, including the terms of trade particularly within it came to chosen he described tax reform as correct, al saying recent changes in the u.s. tax system have many of the key ingredients to fuel economic expansion on the marks, he fears many people underestimate the possibly of higher inflation and wages, which means they might be underestimating the chance the federal reserve may have to raise rates faster than we all

think. adding that while quote volatile markets can create market panic, which could start to slow the growth of the real economy, i wouldn't give this scenario very high odds. dimon assesses how well markets are for a surprise compared to during the last crisis for the negative changes since the last crisis, he says there is far more money managed passively in index funds and etfs number two, pro si-cyclicality however, we should stress that overall he is upbeat and not concerned, listing more positive differences since the crisis, including one far more capital and i will quiddity and less leverage in the banking system and more clath collateral markets and healthier consumers. and less leveraged lending >> i want to focus on you have

been reading it, more of it. >> yes >> saying that any political as separations that after this letter might be more difficult what is the key thing you see might ruffle the featherers? >> first of all what i admire about jamie. >> he's outspoken. >> a, he is outspoken and say what he thinks >> what did he say that ruffled your feathers? >> they're for people that won't vote for him, what did he say? >> no, no, no, what i admire is how independent he s. i think in this polarized political environment, it's very hard to go from at points seeming to be on one side of trump and then to -- >> supporting trump along some of the economic arguments. >> how can you possibly be more outspoken than the last guy that was president? how can he possibly ruffle more feathers or do you attribute that to russian hacking? is that how it happened it

wasn't a real election in it was all hacked >> how could you be more -- >> i think there was an element to that is there that's why i said it. you can he be more out there than trump >> all i'm suggesting in this very polarized world >> he seems more reasonable than trump, doesn't he? >> in my world, she a very reasonable pempbl i'm suggesting in a world i don't think as reasonable >> specifically can you give me anything that he said? >> andrew makes a great point. it looks like the republican nomination is locked up. >> he is saying a couple thegsant trump >> this is a very republican economic sort of set of policies and pro trump. so now i think andrew -- >> a liberal social policies >> the republican economic policies or ones that work effective policys? >> by the way, i thought the same thing >> it's hard to see if he was going to go to politics which way he'd go now. >> he always said he was a

democrat >> he's barely a democrat. he said that, five years ago, six years ago because of social policy >> but he's always been. >> i agree but that makes his position a true, i'd like to think independent or a person in the center and in this world, environment we live in, unfortunately, maybe oom wrong my point is he couldn't possibly if donald trump could get elected, jamie dimon can get elected, in terms of ruffleing feathers or trump or >> now i understand, if jamie is disturbing your sensibles, no wonder, no wonder donald trump disturbs your sensibilitys so much >> he's not disturbing my sensibles at all i happen to agree with much of what he is saying. >> we should say in terms of the market's performance over the last week or two, a lot is linked to trade policies and retaliation from china he is very much in support he said he would have liked to have approached the allies more, like planned out tlan than you

know instinct driven ultimately renegotiating terms of trade with chosen is something he supports. the markets are very spooked by it >> >> it doesn't relate it doesn't specifically state things that have happened in the last week, i agree, clearly, he's with that in mind >> well, don't go anywhere if russia wants jamie dimon, he can get elected. >> you said it, i didn't >> we can talk about jamie's presidential potential in the future your read on the letter and what it means specifically to j.p. morgan, the bank and the banking industry for now >> well the letter doesn't talk very much about the bank i wish he would spend more time on the business and less time on

public policy. i'd love to see jamie run for president. i said that before >> it's 44 pages, chris. >> i'm not sure which party. >> the letter is milk toast. >> to the whole topic is about the bank with 44 pages, it's much longer than they write about for their annual letter. >> yes, it is, i would be more interested in hearing him talk about the environment and particularly the unwind of the fed's market manipulation is going to affect banks. you guys know, i have been concerned that the good times are behind us in terms of the subsidy that the fed has provided to the industry and now i think as deposit rates go up, as bond yields go up, and that subsidy ebbs, it's going to be much harder for banks to maintain profits much less grow them the industry -- >> on the other side of that i thought he said this unwind was working. no >> i think that's as good as it

could surprise people. >> everybody is saying that. they don't want to acknowledge how unusual and how extraordinary this period was. i mean, even last quarter, all u.s. banks, $17 trillion paid bond holders normally that number would be close to 66 billion. and by the way that encompasses all of the industry's earnings so it's funding these banks. it accounts for almost the industry's operating income. i think over time as that normalizes, will you see a much more different picture than you see today. the industry in 2015, they paid $11 become for all of the funding that they took that's extraordinary. >> chris two sort of numbers-based questions that came up. one he seems if there is excess capital pretty committed to doing buy backs despite the share of dividends what is your view on that? secondly there is an interesting

segment he brought up as well about hoy forward guidance and potentially wanttology do away with having to give detailed forecasts each quarter what do you think the community would say to that in a scrap back kind of thing >> i have never been a big fan of guidance. i'd rather focus on actual results. i think guidance is what it is it's speculation in terms of the capital, obviously, u.s. banks are over capitalized. they are making less money on more assets and more capital than they were ten years ago and i think over time we have to look at this, because we do want them to take risks they're not doing that right now the risk is in the non-bank sector, which is funded by the banks, but the banks, themselves, are not stepping out of that safe box the regulators have told them no headline risk, no credit risk >> that itself policy they're polling. >> at two times put value at the moment, if he is committed to buying back the shares as

opposed to the dividend. is that a bullish signal at least in the chairman and ceo's eyes >> they're closer to 1.6 after the sell-off in february, they were close to two. they have to buy back shares, that is the quid pro quo the street has predicated their support for these large cap stocks in all industries on share repurchases. so i think that's going to continue but they're buying it at a very dear valuation i think that's your point. the priceing is choppy it will remain that way because investors don't have many choices. they focus on large caps for liquidity the top ten names and financials are all you guys ever focus on you don't talk about smaller names, which is where the value is >> right now clearly at the top of the heat. is there any bank i see on the horizon that you think of as a true competitor to what they're doing?

there was just a report yesterday in the commercial banking business, that may very well be. it may take some time to get to a place -- >> goldman is so small, they are taking baby sense in that direction, which i think is a good idea for them they do need to grow their bank. they need to grow their funding banks, which is very small it's annual 180 billion. it's a small bank. so they would be better off flying a bank than trying to grow it, honestly. >> becky was just asking briefly about bank of america. >> look. great story last year. but i think again, where is the juice going to come in at stock? more cost savings? not going to see a lot of revenue growth it was a cost cutting story last year the stock led the way. it was up mid-double digits for the year and most of these stocks are still up look at jp they haven't given up that much ground they were up 30% back in

february, year over year, so to me, it's not leak these stocks are going to plummet no that itself not the case. but i think the valuations we saw back in fetch were not supported by the fundament also. >> tant you got to give a round of applause to money hasn't and banc of america as well, 300 billion mark cap to j.p. morgan's 400 or so in the lead n. general the u.s. banks are the goliaths versus the rest of the world. >> it's 30% below where they were a daek cade ago that's it. >> chris, we have to leave the conversation there we appreciate it it looks like you are having better weather there enjoy the warmth >> thank you >> thank you, guys. facebook ceo mark zuckerberg set to appear before congress next week. ahead of that, he is setting the data controversy julia boorstin was on that call. good to see you. >> facebook shares rising on the good news from mark zucker

boring the company has not seen a meaningful impact on ads or usage from this cam bridge analytica scandal. as many as 87 million facebook users have their data improperly shared with cambridge analytica. that's far more than the 50 million originally reported and facebook's 2 billion plus users should assume their public profiles have been scraped and while facebook is big in protecting its users zuckerberg warned the problem is not going away >> it's an arms race you know, i think in retrospect, we were behind and we didn't invest enough up front we had thousands of people work on security, nowhere near the 20,000 we will have by the end of this year so i am confident we are making progress against these adversaries. but they're very sophisticated >> zuckerberg was pressed repeatedly on whether he is

still the right person to run the company. he said, yes, now he says his job is to learn from his mistakes >> getting to a idea that this is a security problem. they're losing the arms race i don't buy that you allow these people to come in but for whatever purpose they were using it or scraping it, you kind of knew what was happening. you used to have more lack situations even the facebook executive himself or herself the one who originally said this wasn't a hack >> that this was a misappropriation >> you can't even figure out what happened. >> it seems like there is a sort of question about how you will describe this. facebook says that data properly collected was improperly sold the violation is in the sale of the data i this city real question is how much facebook was responsible for. what was interesting yesterday is hearing mark zuckerberg say, we thought we were doing everything right as long as we made people agree and sign off saying they agree to follow our policies now we realize we need to do more than that we need to actually make >> it's a wrong way a lot of

them need to cover before they go before congress that will be the issue as a user, i still don't understand what you are checking from me, what you are giving to the certain parties what advertisers have access to or anything else along the way, you better come up with all of those answers and make it much more transparent. >> he will have a lot to answer on tuesday and wednesday before he goes to camille. >> thank you coming up, next up on the trade agenda after that whipsaw wednesday. >> good, whipsaw, i saw that on twitter. that was not an original idea? >> no. >> talk to it. >> no, it was not. nafta is next up the trump administration wants to ink a deal by next week >> yep on it. a live reporfr whitot omasngn coming up. >> intellectual property theft >> intellectual property theft >> they tuned. it's okay. this is what we've been planning for.

knowing what's important to you is why 7 million investors work with edward jones.

you know what's not awesome? gig-speed internet. when only certain people can get it. let's fix that. let's give this guy gig- really? and these kids, and these guys, him, ah. oh hello. that lady, these houses! yes, yes and yes. and don't forget about them. uh huh, sure. still yes! xfinity delivers gig speed to more homes than anyone. now you can get it, too. welcome to the party. >> with weeks before the next deadlines on trade with china, the white house focus turns to nafta where the trump administration is hoping to make significant headway on those negotiations next week let's get to kayla in

washington, we were talking about you earlier, kayla, i miss you. i proceed kisses to you. but that doesn't mean anything it means we're all friends, colleagues, you are fought around anymore. >> reporter: my view is if i'm not aumptded, it was a great to see you a part of a wave, jess cure, i feel like it shouldn't even bear explanation at this point. >> thank you for saying that yesterday, because people tried to turn it into. >> the twitter thing, i'm close, almost to kelly evan i'm right here i may just say, but it's a news feed, but i just hate it it's a cesspool. >> reporter: maybe you can pull the jim comey and go incognito and have a secret account you only use for news. >> good segue. he was in frisco he's 6'8," he can't sneak

around we digress >> we often do >> our viewers should know the next round and the three negotiators from mexico and canada are all in washington this week. they will be meeting the at the u.s. trade representative's office the u.s. wants to reach a deal in principle by next friday according to sources that's when the summit begins and the u.s. wants to announce something. there are some reports of new u.s. flexible on these more contentious issues people briefed on these talks that i spoke with say they are still more contentious and the approach is not well received by either side. we should note this urgency to get a deal is unique to the u.s., first, even once a high level deal is reached, the procedural hurdles to get it passed by congress will span several months second, mexico holds its

presidential election on july 1st the leftist anti-american candidate is leading that's as of a reuters poll on monday sentiment on trump's agenda could change after u.s. mid-terms in november. yesterday exec adviser larry kudlow, we were talking about sounded optimistic when talking to reporters he said, don't hold me to timing but i think you are going to see more news on nafta and retaining and reforming faust. i think the stockmarket will love that of course he is a free trader he has been defending this deal. that is one of the agenda items he has been wanting to champion in the white house him we will see if they get a deal or talks this week will lead to that break through where they haven't in the past. thank you. >> thank you, we have been talking about you all morning. thanks, for being here we will see you soon. >> reporter: see you soon. >> when cweome back, a victim

of facebook's privacy issues te tinder tinder we will explain. because when it comes to your finances, if you focus on today, tomorrow has a way of working itself out.

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welcome back to "squawk box. breaking news, yes, we have the current week for initial claims jumping up 24,000, from 218,000 up to 242,000 so we still remain in the 70s, just not as far back in the 70s >> that is a bit of reversal

we were expecting something around 225 of course, we had a holiday. i'm sure there is distortions there, continuing claims 1.808 million. our february read on trade balance. which is a deficit which is in the news move wider again, more red ink, whopping 67.6 billionful bigger than we were expecting by almost 2 billion. that follows a rather large 56.7 that had a very subtle revision. 281, yes and ten year note yieldsle after we won 22 session closing in the 2 '80s let me think, let me look back here. we've retaken the 2 '80s, i wonder why think tomorrow, employment report, we have a den didn'tcy

to creep up. fed meetings and retail sales they've taken that added significance of giving us a wider view they may be going underneath the hood with respect to that economic engine. >> we have all been towing a long time. >> 19 years for me. >> steve leishman is here. i already cleared this with him. >> ken years >> after listening to rick there. i'm allowed to do this he cleared this with me. hearing rick talk. did he say anything overtly stupid or was that all? >> joe >> you said i could do that. >> i didn't say i was going to respond, though. >> talk about -- >> navarro. >> that's what i want to talk about. >> rick, talk to steve ability navarro coming on later today. you had a great interview with him. what was that three weeks ago i

thought? it was pretty substantive. it made people really mad that don't like him what is going to be the gist of the interview today, do you think? >>. >> reporter: well in my opinion it's the rollout versus the policy there is two issues here i think many would agree in the economic and kind of elite communities there is a general unfair nchltz growing pains needs to be adjusted on the other hand the way we get into it. the way it was wrapped up. they used metrics like trade deficits to be their mane way into this issue i think that's where the problems lie with the pack annualing more than where it ended up to me that's actually good news. i think there is a place we can all agree on that is a better negotiate arrangement we have now. >> that was steve's point

yesterday, was that trade deficits aren't necessarily. >> aren't bad. by the way, joe, if you don't mind, there is nothing different about my point of view that isn't written every day in the op ed page of the "wall street journal" >> i love you said that. it was at the bottom of my bird cage >> the op ed page of the "wall street journal". >> things change >> that's right. that's the real thing for people you can't be a binary human anymore. things change. >> that's where i am, rick with the republican party believed for 30 years that taxes are bad. when you put taxes on this let me say one more thing and i will let do you your own thing. >> reporter: we are already taxed by the other side. >> that itself the point >> everybody taxes more. they will tax them >> they will use that to g make the argument, where is it better >> we both agree we need to

address the issue with china and that the chinese have unfair advantages we need to address. it's a question of how do you address it and what the actual goal is, because let's look at the data today what's the economy been doing? it's been stronger what happened to capital goods imports. they went up as we get richer, we import more stuff. we get more stuff from them. we when. >> it's been really good i get that. >> we win. i want you to ask peter. >> cooking grease, buying things at a rot on the negotiate package doesn't mean we can't continue to buy things and a better negotiated path our import pressures are strong. >> we sold 270 billion automobiles over in china. we didn't used to sell any over there. we sell cars in korea, jets and automobiles and nice and fun stuff. we provide them with services. look rec, i have one idea for

you, first of all, would you ask peter why is it imports goes up every time growth goes up? two, i have this question, are we confusing the inequality can trade issue. incomes haven't moved. is it because of tried or some other problems we have in this country? that's my concern we're blaming trade for inequality when it's not the thing that's at fault and i'm done. >> reporter: so i guess a lot of these american businesses that left, would have just left anyway i understand constructive destruction, steve i get that what i don't understand is this notion, they soy beans okay it's all about soy beans now here's what i see with soy beans. an argentinian drought not enough supply in the entire world to match global needs. i do understand that this is maybe going to get rearranged to the downside of the negotiations have a bigger presence at the

end of the rainbow i also look at it this way they need to feed their pigs they don't go anywhere near enough buying it from others who the others would sell it to, this is all a really crazy reason not to do a better job. >> the yain anypharmacy, hefara pharmacy, this is my concern, china remaining solvent. >> reporter: there isn't enough in the whole world that's my question >> raising a soy bean farm on a tight margin. >> reporter: no, no, answer my question we have an x need globally for beans and we only have 85% of that >> rick, the indiana farmer said. >> reporter: it's not a disruption, every time somebody changes. >> are you talking about some of trump supporters bearing the brunt of all this. you got to. >> reporter: somebody has to bear the brunt >> that dollar we want to get

back - >> it's our job to focus on the people who get left behind with some of that stuff, too. >> reporter: isn't it better to focus on making things better than, yes, you can't make things better without breaking a few eggs for a better omelet i get it >> the democrats messed up and didn't pay attention to those people is why trump came into power. they didn't pay enough attention to those folks for a while >> leishman said it best >> let's bring in our guest. >> can you ask rick if you can be on with navarro >> that's okay rick does a great job. i just react >> we can throw in a couple, we can throw you a bone >> it's not the way i enjoy it i enjoy rick's style i think he's in his own way he will get a lot out of pe tore navarro, it will be a newsy interview. i will be around to rheath. >> reporter: rec, you have a grand way of making things small. i really love you.

>> let's bring in portfolio manager -- i will put a bunch of dollous furniture around here so i look bigger. >> you do a nice job if your own way. >> you guys are great. we cover a lot of substances, sorry, chris, are you great, too. we cover a lot of substantive stuff when you and rick are on >> rick and i represent interesting ideas. >> you do. you heard all that what's it mean for the markets >> well, for me, we invest in technology, so one thing that borrows us is stolen technology. i think that may be something that cams out. >> this isn't the worst thing in the world for you? >> no, not at ul when i graduated college 25 years ago, nafta was coming into the market these things do need to be re-adjusted. i don't think things that were decided in the '90s should continue few need to adjust it, it's a good thing, clearly the chinese and other nations over there, you know, have been stealing technology >> how would you do, how would

you respond to intellectual property theft >> so i would do it in a way that would pick a count for the world trade system that america created. i'd do more than go to the wto i would rally my allies. >> you think it should be done >> absolutely. i'd bring the republican party with me. i talked to so many republicans. >> why would you want to do that >> that are opposed to the way that the president is approaching this trade stuff in ways that could possibly damage their electorate, their constituency i would do it in a way that i had cent ris republicans with me >> hopefully it comes to the near term and doesn'tdrag out too long the longer this occurs, yes, there will be economic damage. >> what about the regulatory and facebook issues and amson. there is a lot -- onlyson and there is a lot -- owe amazon and

there is a lot >> we would correct this year the money would roll into private technology >> but at face, just on the tech stuff, take the straid trade stuff out for a second are you a believer that the business model of facebook, of amazon, of google is going to somehow fundamentally change in the next 12 months as a function of all this or is this all hot air? >> i think it all depends on how they do pr it hasn't been good recently from that perspective the headline risk is there longer term, is there a technological mote there yes. i think long term they swiempbl look at the ha ee oe /* /- -- survive. >> they're an advertising business and i think that it's going to continue to grow. that's where companies want to put their dollars. that's going to continue going there. >> chris, thank you. we have the perfect person to continue this investigation. up next, we will talk to an investor we'll be right back.

>> facebook might be under the microskoechlt what does it mean for the rest of the technology world? joining us is a co-partner and on the forbes mids a list and it is the seventh time earning that spot in those rankings teresa, thank you for being here today. >> thank you for having me. >> i know you were an early

investor what does this mean for silicon valley for the whole, as bank stocks as a whole? >> well we think there is clearly a ton of volatility going on, the cambridge situation is not just about privacy as mark said it's really about security so i think if they think about it as a security problem i think that is a way forward. there have been many instances for people to suffer impact to their brands and stocks and redoubledests in that area and absolutely in terms of cyber security a large and growing area of tech investments, so there are people that can be a part of the solution, eventually >> a lot of different people

have come with it's hard to stay facebook itself said this was data not intended to be used. i think there is a much bigger issue to find out what information social networks should be checking and whether or not regulators will step into the fray for what is allowed into the european union. >> i think whether you think of it as a misappropriation or breach, with key talk about the semantics are there. i do think that clearly with regards to people's personal information the european regulators have been far more stringent in their regulation. it will be interesting to see how that play out. it's actually challenging set of standards that you can be

complied with. a lot is by european and international companies and it appears the u.s. pay follow suit with something along those lines. >> does that change your investors? would you hold off investing in a company where it's based around this collection of data would that keep you with an early stage company investing at this point >> i think that it's less impactful on them for good or for bad, generally speakingful regulators go after the larger companies with the larger pools of data. so i think there will be time for early stage companies in the data analysis business to see how it plays out but in terms of investing impact, i think it absolutely has impacted not only me and my firm asset ventures, where we

have over a third of our portfolio invested in cyber security over the last four years. so long before this recent set of discussions but also the venture industry in general. in fact, last year the amount of venture capital invested into private cyber security companies increased almost twofold from about two years ago. i think this is something people have seen on the horizon for good or for bad as companies start to collect more information on their users >> that creates a big giant prize for whether you want to call it a data breach or misappropriation so people are investing heavily to protect those resources >> fact you have been forced out, went public last year in october and had over a billion dollars in market capitalization what does that company in particular do? >> forced out is a leader for internet of things an any other internet connected devices, they seen a huge boom growing three

or fourfold over the last five years. so they are an enterprise leader in protecting those data assets. >> is there another company in this same sort of arena that maybe we haven't heard of yet? >> yes, i have invested in other cyber security companies one x beam which is a leader in a data analytics, soda that analytics for goods for cyber security purposes, helping enterprises figure out who is accessing what, where and how, the amount of information that has been checkled as i was saying before has grown orders of magnitude over the last five, ten years. x beam applied filtered learning to identify their top most critical potential areas of risk or breach. >> i want to thank you very much for your time today, teresa, we'd love to have you back again. >> thanks for having many e. >> when we return, we will talk to jim cramer. he is back he will be joining us live from

the new york stock exchange. as we head to a break, a quick programing note tomorrow, we get the march jobs report. we're going to have full coverage of those numbers and a big market lineup. you don't want to mess it. withr in a moment. ♪

♪ >> let's get down to the new york stock exchange. jim cramer joins us now. do you think we should be confronting china on intellectual property theft? if so, is this the right way or is there a different way you think would be better? >> i think we have to because i think they steal too much. i'm not so sure that this is necessarily the way, because the first issue was the steel issue, we'll go over that but if you look at the stock of apple apple has been going up since we realized they weren't on the target list. to go after them on intellectual property is to risk the greatest company on earth's numbers which is apple it's very difficult for them i think that should be the thing

in the room where they say guys, we can't let this happen anymore, we're going to boost our dweefense budget really big they have to take a very hard line and take to the pentagon. the theft is ridiculous and it is military and the theft is military and i think that that's the real focus. >> do you think, jim, that the lows are in on the correction? >> well, i think that if -- not if the president just says we're done with nafta. i've heard a lot of people say the risk is interest rates on great strength i don't think so i think it is nafta and how unfair it is i think that that is the thing that i'm most concerned about. nafta is very complicated. i know we've been absolutely hurt because this 18-1 versus four something has to be done the military is on the border. this is the biggest worry out there is nafta and people are

ignoring it. >> how's your partner, former partner, will he be successful in swaying president trump and bringing him to his side of things do you think? and would you like -- i'd like to be in the room listening to some of the conversations too. larry wants to do nafta, doesn't he he'll try to talk trump into doing something good with nafta. >> i think that the president will listen to larry i think the president is really hard line on industrial america. i think that the president is not as nuanced as larry on nafta. larry will be a force. we have to save it and make it better not scrap it. i think that's really important. i think larry is a voice of moderation on how to do things but not on doing things. that's a very -- that's good for the stock market >> it's fascinating to watch because we've known him for so long and he's been practicing for that job for about 20 years

here. >> who's better? >> really good on tv, you know what i mean? >> tomorrow a strong employment number, he'll be able to say this is good by the way, i forgot to tell you, nova nation -- not bad. >> i know, i know. >> not bad. >> was i right about the red head >> you were. >> he's unbelievable he killed xavier twice and so, you know, he's great. >> 31 points. >> he's amazing. >> i've ssmied you >> all right thanks, jim. we'll be right back. [phone ringing]

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welcome back, we've been talking about dating apps this week. >> i wasn't there for that. >> we have a tinder story but we had the ashley madison story. >> is that dating? >> what do you think that is >> ashley madison is like cheating. >> dating by cheating. >> that company -- they really are in business to do that >> that's the business. >> it's the end of the world. >> you know, there's a lot of other apps that would get you there faster i think -- >> really? >> do tell. >> popular dating app tinder briefly broken yesterday for those of you trying it, that was due to changes in facebook's privacy settings, facebook said it would no longer aloud third

party apps to request dating that disrupted the log-in process, after getting user approval, tinder pulls names and ages and photos and interests and more from their facebook profile. the problem was resolved after several hours -- >> how did they resolve? >> give them an exemption. >> i -- >> i'm married, i don't know these things. >> where was ashley madison when i was younger, god almighty. >> good-bye, everybody ♪ >> good thursday morning, welcome to "squawk on the street." jim cramer is back at the stom change the impressive bounce is holding and futures are up and europe is up