it is 5:00 a.m. here on the east coast five things happening on the east coast global reaction pouring in following the airstrikes on syria. sir martin sorrell steps down following allegations of misconduct. three, calls to boycott starbucks after a viral video goes of two men -- black men being arrested inside a philadelphia location. four, qualcomm expected to be repetitioned the chinese government to clear up $44 billion takeover of nxt five, your results are not in.

it is monday, april 16th and world exchange begins right now. good morning or good afternoon and good evening from wherever in the world you may be watching thanks for joining us. i am brian sullivan. here's how the global markets are setting up the week. the stock markets indicating that the dow may rise. the early indication is that the syrian strikes were likely a one-off event. stock investors are comforted by that the ten year yield ticking up just slightly. the 2.85% inflation worries. still a likely bigger story than the sat strike for now vladimir putin is making more threats. let's get more on the political

side the white house thinking on those syrian strikes eamon javers live in washington with more. eamon. >> reporter: good morning, brian. he ulgssed the phrase, mission accomplished defending the use of that. sumpts -- they launched 00 50 times the amount of research they have a bunker, the u.s. military said it believed it had crippled syria's chemical weapons programs that it may syria may want to claim this secretary mattis said it was a limited military action on the part of the united states and

its allies here's what he said. >> right now this is a one-time shot and i believe that it's sent a very strong message to dissuade him to deter him from doing this again >> reporter: secretary of defense saying this was a one-time shot and the u.s. has the ability to do this again now we'll wait and see the response from russia and iran. it has been relatively madded or if this is enough to stop it >> from my political macro perspective, are they referencing syria or the james comey evening. the syria matter happened on friday and it was almost as if it had moved off the front pages

in terms of the mind set that's the inside the beltway bubble a lot of folks focused on the comey interview. this morning awaiting to see what the president's reaction to that was some harsh words for the former fbi director on abc news. >> calling him, quote, morally unfit to become president. >> you bet. >> let's bring in john reins head of political risk at ihs markets. right now the markets seem to perceive the syria strikes as a one-off event. do you >> yeah. i think for the most part it seems as though they are we certainly heard from the secretary of defense that this was a one-time affair. doesn't seem like we haven't heard any rhetoric the reply by the united states, france and the u.k. and it seems like it is a one-time affair.

>> what is russia's role in this vladimir putin calling iran and making another strike. is that putin simply saving face >> this will be met. russian air defenses will be deployed didn't see any of that transpire. there was some type of correlation and no expanded strikes by the allies. >> do you believe that there will be more expanded strikes or do you believe that this was the message sent and received? >> well, we can look and see what donald trump and his administration was saying weeks ago that they wanted to get out of syria it doesn't appear this will be a wholesale change in u.s. policy.

one type of chemical attacks, then the question would go back to the administration, do they wand up up the an tee here at this point it doesn't seem to be the case. the future, you never know. >> would you expect bashar assad's behavior to change because of this, john? >> certainly he's going to continue the attacks against si v siville yans we'veseen certain attacks. the airstrikes will continue the moves against the different areas in the northwest and south. >> john range, pleasure to have you on thank you. let's talk more about the markets and your money joining us, art hogan from b.

riley fbr. john, we're seeing the futures up he believed this is a one off event. would you agree? >> it feels like we have one of these situations, tried to get prices to the market and the event happens friday night doesn't appear as though there's any further ramifications. if we see this come and go, it will be a whole lot better off for the market. >> i guarantee you, art, you will be getting questions. we will be getting questions all day here on cnbc to the effect of we're bombing syria, james comey's book is coming out, an explosive interview last night why, happen? >> so in all of thinks things.

james comey has an interview out. that's not new information it's what becomes of this. what the market will be concerned about is if it becomes economic the mueller investigation has not become economic. what's economic? right now those situations not being economic, it should focus on what is >> we are so squarely and so much of america and the media is so squarely focused of everything that happens inside of the beltway, not just with this president but with the last

couple of presidents really yet america continues to grow on is there any concern that all of this is being impacted by the dplam? >> i think where that's going to show up, actually, when you think of the quarter oversee how good are the tax cuts for them we may see commentary that says i'm concerned about our trade policy i'm concerned about the direction of our trade policy. whereas after the first quarter we had very positive commentary, i think what may be coming out of washington does affect the market and economy that may well be voiced.

>> we're at the appetizer portion. we haven't started to get into the entree here. how does it look so far? >> i will tell you this, this will be the best first -- i'm thinking it has to be average. we're going to be looking for 20% earnings how much is pliesed in necessarily to stocks? i would argue that in changing around in a way. >> how do we change our thinking how do we get consumed about the good things happening? if you read the paper, it doesn't seem like there's

anythinggood happening there are good things happening. how do we get focused on that? >> a modicum of success would show it. that would give us a hint that we're looking for china to come to the table success to nafta would lead to success with china put the trade concern behind us. there not going to get too aggressive the mexican peso seems to be indicating that a and a half na renegotiation is probably likely the mexican market is not indicating panic is my point maybe that's some comforting. >> the things we forget to check on i think that's true in all of the selloffs

we haven't seen it to save the dollar or yen. i think you bring up a very good point. 5:11 and i brought up a good point on monday. i should retire. >> thank you very much. your money news jest getting started. on deck. one of the longest serving, most honored ceos in the world is out following allegations of misconduct we're headed live to london with fallout. starbucks under fire calls to boycott the company after the video of an arrest of two african-american men goes viral. details when "worldwide exchange" continues. it can power your apps with public services without starting from scratch. it brings your business up to speed, doing more with systems you have in place. it can bring all your apps to life and run them within your data center. it is... the ibm cloud private.

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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. 5:15 in new york 10:15 in the u.k if you're just waking up in the northeast, go back to bed. it's 40 degrees and pouring rain let's just start the week tomorrow hi one of the world's longest and most well-known ceos is out. sir martin sorrell stepping down from wpp group following claims of misconduct. sorrell took the helm of the company back in 1986 and he turned it into the world's biggest advertising company from

literally and wire shopping cart company. major clients, p&g, shell. they're lower in london training joining us is matthew gareahan we very rarely hear of an executive quitting did he quit or was he pushed out? >> officially he quit. he resigned. he gets to keep his retirement package which is worth 20 million pounds sterling. he wouldn't have quit had it not been for this investigation into the conduct and the unspecified allegation that he did something wrong. we don't know what that is the company isn't saying what it is all sides have agreed not to

talk about what the allegation is or what it was. >> is it possible we'll never know >> i've got a feeling it will come out i'm not going to speculate he was alleged to have done something improper with the company fund and i think the specific language when they first mentioned this is we're looking into his personal conduct. that's a pretty broad spectrum humors are flying on what it may or may not be. it's hard to keepa lid on thes things. >> it sounds like, matt through, the thinking is that it's more

like it? >> a personal misconduct issue and issue involving company funds. regardless what it is or was, he's out he's resigned. he doesn't have a non-compete agreement with wpp he's free to do something else in the ad industry and he still owns 2%. >> it's big. >> pretty substantial stake. >> it is still very big. there's a number of things that are odd about the story. he was allowed to keep the shares it signed off with back to the future which might indicate he would go off to helm another company or start another company. >> yeah. back to the future he built wpp from scratch.

he went in as a minority investor and turned it into a goliath and he bought all of the names and made them and now they're all in the wpp umbrella. he's 21. he's not someone who's going to stop he's a perpetual motion machine, martin sorrell is. >> he will come back or go after the company in some way even as a competitor that stock was down 4% >> yeah, down substantially today. i think longer term there's a

lot of longer term value china communications it has a lot of these brands which will exist independently they effectively operate and it's an asset value of the company. i think in some way it's distanced above what the market cap is currently >> matthew garahan of "the financial times. i have a feeling you're right. thank you very much. still ahead here on "worldwide exchange," morally unfit. that is what former fbi director james comey calling the president in a new interview last night the very latest on this war of words coming up. allegiance, let's get a look

at today's national weather forecast with bill cairns. >> good monday morning to you, brian. what a crazy storm severe weather, tornadoes. two feet of snow in green bay from this storm. now we're waking up to an ice storm in new england that means a lot of airport delays today and a lot of cancellations. here's the timing of it, 7:00 a.m. rochester, buffalo, over top of new york city. the heavy rain threat will end by 1:00 or 2:00. windy and snow showery on the back side of this through today and tonight. by the time we get to tuesday evening we're completely done with this storm. the boston marathon today, 40 degrees. cold, rainy, too it will be windy miserable run for the people out there on the streets

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year allegiant experienced 100 serious mechanical incidents including engine failure >> all of us at allegiant is proud of our strong safety record let's get a check on some of the other stories outside of the world of business. we're in new york with more. >> reporter: good monday morning to you in an explosive interview with george stephanopoulos, james comey blasted president trump saying he's, quote, morally unfit to be president. he revealed he believes russia has information on the president to black mail the president. after a series of a number of

recent hospitalizations, barbara bush has decided, quote, not to seek additional medical treatment and will instead focus on comfort care. the 92-year-old is surrounded by a family she adores. uncontrollable wildfires are raging across hundreds of thousands of acres in oklahoma a state of emergency remains in effect through tuesday authorities say 2 people have been killed and 7 injured. briechb brian, back to you. >> phillip, thank you. pitch, almost perfect. the big story in the sports world has everybody talking this morning and is making us old guys feel a lot better. plus, the latest calls on boycotting starbucks after two african-american men were arrested in a philadelphia location full details when "squawk box" continues.

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crude alert. airstrikes over the week end calls to boycott starbucks police arrested two african-american men at a philadelphia location for a questionable reason. should we call it a crypto comeback we'll show you bitcoin's big recent bounce looks to continue on april 16th, 2018.

welcome back 5:29 40 degrees and pouring rain. happy monday morning halfway through the 5:00 a.m. hour stock prices open with the higher dow the airstrikes in syria on saturday morning likely as of right now a one-off event. fairly well telegraphed. the bond market going to be more blata blatant. benchmark ten year yield 2.85% it was a mixed trade earlier let's see how things are going in asia. we're not going to do that there we go. it is a mixed trade still. hang seng down 1.5%. shanghai down 1.5. what about over seas in europe the dax is up 1/10 of 1%

people thought oil would rally wti crude down likely what i said before, this is a one off event vladimir putin shaky. in the crypto world, bitcoin had been on a world in the last couple of days down 3% on the coin based exchange the others ripple. ether light coin down also let's take a look at how your money is setting up. steven englander looks like, steven, the syria event for now going to be a one off. what should be our viewers next primary focus for their money and investment >> you know, i think the market's det ingdeting -- getti.

i think the focus will be back look at how the economy is doing. people are looking at economic surprises. there are tentative signals of slowing for real >> in what way how much what's slowing and by how much >> i actually think the economy is fine. we had bad weather and some a no, ma'am ma louse gdp numbers the robustness will reappear people are looking at the simultaneous, that the almost or semiinversion of the yield curve

combined with the softness and saying the two must be related i think that's wrong i think there's a big segment of the market taking a turn >> do we have reason to be pessimistic? >> well, if we could do tax reform every quarter, that would be an issue. those are very anamolous i think that i'm pretty optimistic with some deregulation going on, we're going to have a robust economy. i think the economy is going to be fine, but, you know, i think there's a very fat tail of investors looking at the incoming data.

the fact is, if you take them in a literal sense, they're soft. >> if you just ask random people on the street that remotely follow the stock market, is the nasdaq higher or lower it's got to be down. nasdaq is up 3% this year, steven are you surprised? >> i'm not surprised i think the key issue at the end of the day is going to be whether the supply side of the u.s. economy is going to be better now than two or three years ago. we won't know until we see what happens in q 2, 3, 4 unless there's a trend towards better productivity growth. i think there's some tentative signs that that is the case. if that is the case the pessimism will rise.

ther there's very few signals that will show us that that's going to be better >> what's the next big thing on your radar, steven data point, news >> i think the syria thing may not be over. i think the pensions are emerging geo politically the markets become immune to saber-rattling i think syria is different than tariffs. you can raise them 10% today and 10% tomorrow you get into a military confrontation, that's very hard to roll back the relief that we're seeing may be a little bit premature right

now. i'm waiting for the economic data to reassert itself. >> we got real close real quick, and now we seem to have stalled at 2.85% on the ten year are you surprised the bond market has put a line in the sand, if you will, here? >> i'm not surprised i think it's wrong to see that 2.86 to look at the median investor that's reasonably close to the fed view long-term yields are going to keep rising. as i said, i think there's a very fat tail, maybe 30% of the market that thinks that everything the fed is doing is wrong.

they're basically accelerating the end of the cycle what we're seeing is the standard view, the fed view. the business cycle is going to keep going it says the end of the cycle is he here i think eventually we will go above 3 and it takes the strong numbers and convinces the market that the q4 numbers were an aberration we won't get them today, tomorrow, neck week. >> steven englander says the serious stuff may not be over. steven, thank you. time now for this morning's top trending stories jackie d is here. >> beyonce taking the musical festival coachella by storm. to fans delight her performance lasted nearly two hours and included a destiny's child

reunion. and if all of that beyonce talk has a talk about putting a ring on it, costco store has your back they spotted a 6.5 diamond ring on sale for half a million australian dollars for u.s. customers that works out to about 388,000, just the kind of bargain that you look for at costco. new lines rampage just edged out paramount. rampage stars wayne. it's based on a video game of the same name from the '80s. the action film did better over seas than it did state side. 148.6 million. >> it's got me going through my

head i used to beg my parents for quarters for the games and how many can be made into a movie, pacman starring the rock >> thank you very much. time now to make the old guys out there feel good check it out 44-year-old bartolo colon achieved almost baseball immortality. the big righty, a big righty, took a perfect game into the eighth inning before he allowed a walk and then a double to the rifle astros if he had completed the perfect game it would not have been just the 24th in major league baseball history, but he would have become the oldest pitcher to pitch a perfect game by four years. big unit, randy johnson randy johnson was 40 when he did it. bartolo colon, 44, almost with

the perfect game. still to come here on "worldwide exchange," starbucks in hot water outrage and calls to boycott the company spreading after the arrest of two black men at a atiladelphia location. wh some consider questionable reasons. details after the break. stick around, "worldwide exchange" right back [phone ringing]

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raining, a good day for a mental health day. thanks for being with us i'm brian sullivan appreciate you joining us. we're indicated with a higher open dow up by 162 points gaining a little steam throughout the morning different story on the crypto side last week the cryptos all red hot. today cooling off a little bit bitcoin, ripple, ether, light coin down 3 and 4% respectively. meantime, starbucks coming under fire over the weekend. protests and calls to boycott the company coming up after what some are calling a questionable arrest two men from philadelphia. nbc's morgan radford has the latest

>> reporter: protesters calling for justice after the arrest of two black men at starbucks on thursday this video captured by witnesses cell phone shows police talking and handcuffing the men while they were waiting for a friend the men wanted to use the restroom but the manager said per store policy they couldn't since they didn't buy anything when they wound leave she called police. >> group of males refusing to leave. >> they were sitting there quietly on their phones chatting like everyone else philadelphia police commissioner says the officers didn't do anything wrong. >> they followed policy. they did what they were supposed to do. >> reporter: the men who don't want to be identified by name were held in custody for eight hours before they were released. prosecutors didn't file charges. their defense lawyer says this wasn't about the law, this is about bias. >> reporter: a lot of people are saying this issue is about race. do you think this would have

happened if your clients were not black. >> i would love to hear the 911 call hi, this is the starbucks at 18th and spruce. there are two white women sitting in here. one of them asked to use the bathroom and she didn't order a coffee come quick. >> reporter: starbucks in damage control. >> we need to do as leaders. we own this situation. we are responsible for this situation. and we'll take accountability for making the necessary changes. >> reporter: meanwhile, video has gone viral many calling it a clear-cut case of racism. >> we should not be going through this. >> reporter: one protesters say went too far. >> because you see it. >> we are here >> that was nbc's morgan radford. shares of starbucks, the stock is slightly lower, .4 down but a very, very early stock

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♪ everything is working, working just like it should ♪ the analyst community already busy credit suisse downgrading smucker. they're saying dynamic changes in consumer preference have commodified the legacy brands. apparently there's changes in jelly. credit suisse downgrading craft heinz. prioritizing growth rather than margins will not be easy $55.77 a share boston beer is upgraded to neutral. up to sampson 223. dean foods getting a downgrade to sell from neutral at goldman

as well. meantime, costco upgraded to outperform at wells fargo, the analysts citing factors the expectations a special did i have dend will be expected told you it was busy barclays upgraded to buy from hold at jeffries goldman sachs buying finance startup clarity money. it's a free app that helps you understand your money. clarity money ceo adam dell will join goldman as a partner. he's the brother of michael dell who makes computers. oil prices lower by mon than 2 sers sers. why is oil down when we did 75 missile strikes? >> we're down holding at $66 a

barrel traders said this is a classic case of buy the rumor sell the fact and that's indeed what happened last week you saw an 8 or 9% about we could. he was trying to distract the market and confuse them regarding the timing of this markets were nervous now we have the attack it seems to be an isolated incident and seems to be contained. the prices are coming off. holding over 66 it's significant. the market is saying we're going to take a little bit of a pause and a wait and see approach. if it all stays in place, you can see prices in this range if russia responds in some way -- >> making some comments. >> making some comments. if you do it again, we're going to be really, really upset there's the question jackie, thank you very much.

>> great to see you. stick around joining us is andy critchlo. andy, that is the question is s&p global considering this a one off situation? >> well, yeah, that is the million dollar question at the moment, is it a one off situation? it's very difficult to answer that i think if you look at the overall strategic geopolitical picture at the moment, it is very unpredictable this is not just about the missile strikes in syria we're looking potentially at the escalation in yemen. remember, a week before we have the missile strikes in syria we have houthi attacks on a vlcc tank tanker in the red sea carrying

$2 million on its way to port. that tanker, although the attack was unsuccessful, the tanker had to turn around it just shows you how vul flenel it is. >> if you had to gain it, if you had to give a percentage chances on whether you think there will be an escalation or not, what would you say? >> again, a very good question i was 20 years in the middle east reporting on the region i covered the war in iraq in 2000 that all kind of rise and spike in oil that came from that geopolitical risk caused by that i've seen the two and four,

people i talked to, very concerned about the he escalatin where that heads, a key choke point, you have 17.5 million barrels of crude flowing through there. on the other side you have the red sea. 5 million barrels a day flowing into that choke point. for us we're looking at the issues and choke points and underlying this, you have robust demand demand 100 million barrels a day in crude >> right. >> this is -- we need the oil. we can't afford to have -- >> well, we do we have one game changer here, that's the u.s. production 10.5 million barrels a day does that change the landscape in terms of what we've seen in the past we have something to fall back

on >> it does and it doesn't. i think the big question about u.s. production and where we go with that story, it is a great story and it's changed the oil market fundamentally is infrastructure there's no doubt that the u.s. now has the oil in the ground. what happens if you get serious disruption to crude supply coming out of venezuela. where did they all come from a lot of the questions around u.s. oil is how much shale oil can get caught on a train and go to market. so i think that in a way the risks in the u.s. are different. they're around infrastructure. in the middle east, it's

political. >> it's not that profitable. it's lower prices. not good to have a pipeline put in there permian worth 10.5 million the u.s. has done a great job which has been a rolling disaster. >> why all of that would be better. but i think your point now about the profitability of some of the increased production is a good one. people are invested. again, you know, oil markets and predicting oil markets and predicting demand is imprecise in some ways very difficult to make these calculations and i think it's getting harder is the fairest thing we can say

to make these in production. investors will look closer when we get past the 10.5 in the rips we're already assigning a seat you look at some of the iks more rags people are searching for more oil. >> s&p over in london. i have a feeling we're going to see you again. a lot going on thank you very much. all right. finally this morning, we usually do your morning rbi at this time, right? random but interesting thing not today. we say let's remember. 11 years ago today, 32 students and professors lost their lives at virginia tech you know the story no need to tell and the six that

were in -- go hokies "squawk box" coming up you know what's awesome? gig-speed internet.

you know what's not awesome? 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.

good morning new reaction from the u.s.-led strikes in syria. former fbi director james comey blasting president trump calling him unfit to be president. live report from washington straight ahead sir martin sorrell stepping down it's in full swing we'll get results from bank of america. it's monday, april 18th, 2016, and "squawk box" begins right now.

>> this is "squawk box." good morning, everybody. welcome to "squawk box" here on cnbc andrew is off for the week you're going to see that right now it looks like things are very sharply positive. 162 points after that lower market on friday up market for the week you can see the s&p 500 up and the nasdaq opening up by 50 points take a look at what happened overnight in asia. the nikkei was up by a quarter of a percentage point. then in europe where you are already seeing some of the early trading activity taking