it's 5:00 a.m. and here is your five at 5:00. president trump rattling global markets after downplaying a potential china trade deal and casting doubt on a north korea summit congress voting to roll back some dodd-frank banking read lags regulations. barkleys may be eyeing a potential merger with standard charter bank. and las vegas casino workers okaying a strike. and lav haa from the mount

kilauea volcano nears a geothermal plant good morning i'm dominic chu. brian sullivan is on assignment. we'll hear from him later in the show futures are slated right now to point to a lower open. the dow off by 165 points. the s&p off by 16. the nasdaq down by 60 points, at least if things hold the way they are the treasury market side of things, you can suspect with the risk aversion theme there, a bid to treasury bonds. ten-year note yields at 3.01%. we'll keep an eye on that treasury complex on the oil side of things, we're seeing some moves there. wti crude currently $71.88 off by a half percent. brent crude futures, $79.06

the overall oil market showing some signs of a pullback for now. the global market picture, as we see with asia on that side of things, feeling some of those effects as president trump pulls some cold water on a china trade deal the hang seng is off by 2% and the shanghai composite off by 1.5%. the kospi in south korea gaining about a quarter of a percent the european side of things, we're seeing some negativity carry over germany, the dax off by 1.5% the ftse off by two-thirds of a percent. new developments in next month's planned meeting between the u.s. and north korea president trump casting doubt that the meeting will take place as scheduled, this after kim jong-un mret threatened to pullt of the talks president trump seemed to blame china for north korea's new

tone listen >> i think that president xi is a world-class poker player and i'm probably maybe doing the same thing that he would do. but i will say this, there was a somewhat different attitude after that meeting. and i'm a little surprised now, maybe nothing happened. i'm not blaming anybody, but i'm just saying, maybe nothing happened and maybe it did. but there was a different attitude by the north korean folks. >> we're now getting fresh reaction from china to those comments eunice yoon is live in beijing for us hi, eunice >> well, the chinese government refuted president trump's comments the foreign ministry today said the only effort china has made regarding this issue is to encourage both sides to make peace and to have talks. our influence is purely positive china has been trying to assure itself a role in the process

president xi met with kim jong-un twice in the past seven weeks. this comes amid uncertainty on whether the june summit will happen president trump suggested overnight that it's not a sure thing. and south korea says they believe the chances were 99.9% so quite optimistic. we are waiting to see whether or not north korea will push ahead and dismantle its nuclear test site over the next couple of days that step is really seen as a test to its commitment, guys, to whether or not it's going to continue to have talks on denuclearization over to you. >> thank you very much for that update we'll keep a close eye on north korea and the chinese trade side of things. joining us is patrick travanik thank you very much for joining us this morning. eunice broke down a lot of different nuances with regard t

the relationship president trump has with north korea and china the ripple effects in the market are noticeable should we make as much out of it, both the optimism and pessimism we saw yesterday in the markets now? are we playing this too dramatically >> i think that the concern about trade friction in particular has hung like a shadow over this market. it eclipsed the positive earnings season in the u.s and the re-emergence of those concerns, i think, definitely will have a market impact. the rally we saw monday was a sign that i don't think investors were necessarily convinced that a clear trade deal had been reached with china. but the news that the tariffs had been shelved for the moment,

the tariff threats from the united states and retaliation from china was taken with a lot of relief. that could have a -- a tariff war could have a negative impact on u.s. companies, certain u.s. sectors like agriculture and could contribute to inflationary pressure in the united states. we've already seen the steel tariffs, aluminum tariffs, lumber tariffs contribute to inflationary pressure. that was clear from several corporate earnings calls over the last couple of weeks i think markets breathed a sigh of relief that that pressure was off. now with the results of that meeting, the u.s./china meeting in question that calls into question whether, in fact, those tariffs might be back on the table. >> and it poses questions about this summit that is supposed to take place between president trump and north korea's leader, kim jong-un, just given how

intertwined those two geopolitical stories are, u.s./china trade and the ongoing solution with north korea. is the market related only to u.s./china trade talks or whether the summit will happen between the u.s. president and the north korean leader in is that also a factor in today's move >> geopolitically they're connected because china plays a large role in any kind of negotiation with north korea greater trade frictions with china perhaps influence their willingness to cooperate so it's definitely geopolitically is a factor how much of a factor it is for the market, i'm not sure i don't think we saw much impact even when there were threats of a u.s. strike. i don't think really we saw investors factorin

headlines, but at the same time you saw the market go up, the market go down, didn't seem particularly related to north korea. right now, you know, it's not -- i think that the meeting probably will take place i think both sides, north korea and the united states are sort of pushing to see how much the other side really wants the meeting, what kind of concessions they're willing to make or commitments they're willing to make before the meeting to make it happen. this is -- even if the meeting was going to be a great success, i think we would see this pushing and shoving going on >> there's no don't tubt the ma have been range-bound. we'll see if there's a catalyst that gets it out of that range thank you so much for joining us. congress voting to roll back some dodd-frank banking regulati regulations. the legislation excepts

financial institutions with less than 2$250 billion in assets fro stress tests and living wills. it is the biggest rewrite in banking regulation since dodd-frank passed in 2010. the bill now heads to president trump's desk he is expected to sign this into law. the financial times reporting that barclays has been quietly exploring a possible merger with some rival banks including a big one, standard charter. joining us is patrick jenkins, the ft's financial editor. the question here is there's a lot of skepticism about any deal involving banks of this size in the uk what exactly was the level of discussion that happen and how likely is a deal hypothetically speaking >> i think you're right that there is a lot of skepticism about any big bank merger anywhere in the world. and maybe particularly in the uk

which was obviously so damaged by a massive merger between rbs and amro before the financial crisis i think, yeah, the wording we used in this story quietly exploring was key. it is a very low-level kind of conversation that has taken place. on the board, among some senior nonexecutive directors, we understand that there's been a private conversation between the director at barclays in this case and standard charter. it's gone no further than that no informal approach for a merger so it's kind of political thinking really at this stage. but interesting nonetheless that they are thinking about what they could do. of course, the background to this, one of the key elements to

this is that they have a large shareholder -- 5% shoulder from br -- share holding from bramson, which we think will amount to pressing for a return to capital for shareholders i think some senior nonexecutives are thinking what can we do to become more activists ourselves to fend off the pressure deal making may be one way to go about that >> let's talk about shareborn, they are a large activist presence with regard to barclays as we talk about the possible remedies they could look for, merger of this size is unlikely. what could we see from barclays with regard to future actions to appease some of that shareholder base >> as i say, we're speculating about what the activist may be

looking for. i think they've clearly done a lot of homework. they have an expert track record so i think we can expect them to come out with probably fairly credible demands whether those are anything that the board or the chief executive of barclays wants to comply with is another question. given these are 5% shareholders, we'll have to take them seriously. as i said, i think returning at least some of the capital they see as being bound up in parts of the investment bank that are capital intensive is probably one of the most likely areas you could imagine pressure to shrink the investment bank as we've seen so many european investment banks do in the light of global regulatory pressure that have made a lot of activities, particularly in the fixed income space that barclays

excels in, more capital intensive. if you shrink back those activities you make it a much more slimmed down corporate and investment bank type of operation there to service the corporate bank, then you potentially release a lot of capital. barclays is reasonably well capitalized these days so i think that's where an activist might see the scope m&a, i suspect that's not on the agenda of the activist but it may be a 3/4 titactic that the would like to pursue. we are just getting started on "worldwide exchange." up next, a sin city strike tens of thousands of vegas casino workers voting to walk off the job. details ahead. from sin city to the city of love, mark zuckerberg taking a stroll through paris ahead of a big meeting with the french president, emanuel macron. zuck posted this selfie on instagram last night

a big deal there >> karen tso has more on the big tech meeting hello, karen >> hello this is the fun part of mark zuckerberg's european trip the stop off in paris for lunch with the french president, emanuel macron, where he will tackle the french president's firm grip on tech after downsing around questions from european aks brussels last night. stay tuned to "worldwide exchange." we'll be right back. enjoy... to share. three times the harvest. one powerful guarantee. miracle-gro.

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a developing story out of las vegas, 50,000 casino workers could walk off the job after their union voted to authorize a strike contessa brewer has the details. >> we got the results of the vote in. they voted almost unanimously to authorize a strike this union is the backbone of las vegas tourism industry it's representing housekeepers, cocktail and food servers, bellmen, the list goes on and on 25,000 workers showed up in person at university of reno to vote 99% approved a strike if needed. they work at 34 las vegas casino resorts. the union is pushing for contract language that ends harassment in the workplace, increases pay and consideration of the increasing casino profits and the tax breaks they're getting since donald trump took

office and they want to ensure job security against increasing automation >> they know how hard we work. they know we've gobeen good employees, just do the right thing. sign the contract. we have grandkids, job security, pay raises we want to make sure we're guaranteed jobs. >> the union says a strike is the last resort but is urging visitors not to cross picket lines to stay at the hotels in the event of a strike. more than 3 million visitors head to las vegas each month a walkout would cause massive disruptions to the tourism industry our resort partners and their union representation have traditionally maintained a good working relationship we monitor the situation but we're not directly involved in the negotiations and are respectful of the bargaining process. las vegas has not seen a strike since 1984 it lasted 67 days and

the city lost an estimated $75 million in tourism revenue millions more were lost in gambling revenue in 1984 there were 13 million visitors to las vegas. last year there were 43 million visitors imagine the xheconomic impact. >> it's like the poster city for tourism. >> let me lay this out nobody wants a strike here it would not be good for the workers, would not be good for the companies. it's in everyone's best interest to get a deal done >> thank you very much for that update we want to switch gears to technology big tech ceos including mark zuckerberg at facebook are meeting with french president emanuel macron today karen tso has more details this is a love fest? what will happen with regard to the french president and all of these tech executives? >> emanuel macron will use the

velvet glove approach, a charm offensive, hosting lunch for about 40 plus industry executives, followed bay series of one-on-one meetings with a couple of key tech leaders mark zuckerberg will turn up here today he'll be quizzed in a one-on-one interview later on today, at about 5:30 emanuel macron won't let off on the american executives lightly. he's been lobbying for more tax and more know-how in closing the gap between european technology and american technology. he has gone after the likes of facebook, amazon, apple and google facebook has tried to correct some challenges by pledging more money into artificial intelligence and promising to increase the number of scientists to about 60, also providing money for scholarships at university. but that may not be enough emanuel macron may be seeking more money through taxation.

the best way do that is lobby for increased operations of those american companies on the ground here, because it's a direct way to tax those companies. the other avenue is to lobby through increased regulation in brussels the other issue we heard last night was the changes coming into force on friday around european data protection emanuel macron will quiz mark zuckerberg and other leaders including the heads of microsoft, ibm, uber about how the they're tackling this challenge. some of those answers yet to be given by tech leaders on whether they can close the gap on protections in europe and the united states. back to you. >> a big question is for mark zuckerberg to appease european lawmakers, he has to show he is willing to put money to work and invest not just france but other european countries as well >> indeed. he spoke about some of those initiatives. there's operations in dublin,

london and paris and a series of other projects around the northern european countries. he is spending money that's the good summit we're talking about, the job creation story. so you can imagine mark zuckerberg will talk about that. last night he was rehearsed on tech is a good theme he spoke about the ability of some politicians to speak directly to voters, job creation, investment and taxes paid he will be varied on message around those themes, but what's interesting is emanuel macron is a former investment banker very well rehearsed as well and good at direct one-on-one conversations. so he'll seek more than rehearsed answers from mark zuckerberg, which is where i think he will extract those concessions possibly on greater investment in france there's something in it for mark zuckerberg this country is going after greater ai, trying to create a start-up culture for

entrepreneurs, not just american founders, but french founders and founders from around the globe. there's a ton of tech leaders. it's not every day you see tech companies turn up in paris to talk about technology. 40 plus leaders. if you think about why they're here, i mentioned cisco before, this company is in a basket of etfs where the stock has been hit because investors have been selling off this bad tech theme as privacy issues broke in the united states. there's a lot to watch out for at the summit today. >> we know mark zuckerberg stuck to the talking points yesterday at his eu meetings, we'll see if the other ceos stick to their talking points much more ahead on "worldwide exchange" including clipped in california. two planes getting too close for comfort at the burbank airport last night interesting video. and hawaii still on high alert. the big island on edge as lava

nears a geothermal energy plant. "worldwide exchange" will return

let's check on the headlines outside the world of business. phillip mena has the latest. good morning lava continues to flow from mount kilauea volcano destroying everything in its path now authorities are rushing to

close off production wells at a nearby geothermal plant that provides much of the island's electricity. a scare at hollywood burbank airport overnight after two planes clipped wings on the tarmac the united and sky west planes came into contact while the sky west plane was taxiing damage to the airplane was minimal. no one was injured celebrated novelist phillip roth has died. he was one of the most decorated figures in american literature writing 25 books exploring themes of sex, assimilation and identity he was lauded for his controversial novels he was 85 years old. back to you. thank you very much, phillip. still ahead on "worldwide exchange," oil is in focus we want to know can the bakken keep on rocking?

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futures pointing a triple digit loss for the dow at the open casting doubt. president trump says his high-stakes sitdown with kim jong-un might not happen as planned. and can the bakken keep on rocking. we're live in the heart of america's big oil boom with that

answer it's wednesday, may 23, 2018, you're watching "worldwide exchange" on cnbc. welcome to "worldwide exchange." i'm seema mody >> i'm dominic chu brian sullivan is on assignment today. we'll hear from him in a moment. let's check out what's happening. tens of thousands of las vegas casino workers could walk off the job. they're union voting to authorize a strike that could happen as early as june 1st >> congress voting to roll back dodd-frank era banking regulations. the legislation eases restrictions on smaller and mid-sized banks. the bill heads to president trump's desk where he is expected to sign it into law. barclays has been quietly exploring a possible merger with rival banks including standard

chartered, as they face pressure from an activie ifist investor. 5:30 a.m. on the east coast. here's your market setup futures pointing to a lower open, the dow down 175 points. nasdaq lower by 60 s&p 500 down 18 the stocks did close yesterday as well breaking a two-day winning streak on fresh concerns around trade. >> in political news, let's talk about president trump. he says next month's high stakes sitdown with north korean president or leader kim jong-un may be delayed eamon javers has the latest. it did drive markets yesterday >> definitely did. the president saying this event could happen, could not happen it's something he's looking forward to but he's trying to lower expectations a bit he was appearing alongside president moon who was at the white house yesterday to bring the white house team up to speed

on what they know about north korea and its intentions north korea has been backing off of this proposed summit scheduled for june 12th. not clear whether it will happen the president yesterday seemed to blame the president of china, xi jinping, for getting involved in this suggesting in some way that he had influenced kim jong-un to back off on his commitments to the summit in order to pressure the united states for more concessions on trade. these two giant negotiations happening at the same time trade with china north korean nukes they're all interconnected the president expressed frustration about that yesterday talking about his peer in china, xi jinping here's what he said. >> i think that president xi is a world-class poker player and i'm probably maybe doing the same thing that he would do. but i will say this, there was a

somewhat different attitude after that meeting and i'm a little surprised now, maybe nothing happened. i'm not blaming anybody, but i'm just saying, maybe nothing happened and maybe it did. but there was a different attitude by the north korean folks. >> so the president there saying he's not blaming anybody, but he certainly walked up to the edge of blaming xi jinping for getting the north koreans to take a tougher line in their negotiations we'll see how that unfolds during the course of the day today. the other thing the president suggested the other day is that he's willing to have a phased rollback of the north korean nuclear program. he was asked if he wanted it all at once to be removed or if he could take something in stages the president said he didn't want to commit himself he said all at once would be better but he wouldn't commit to the idea that it had to be all at once for there to be a denuclearization deal on the korean peninsula >> i love how he said poker player takes one to know one. >> that's right. there's a lot of bluster going

on this is what we used to call gorilla dust big gorillas stomping, stirring up dust, both sides posturing trying to get the best deal for their side you can expect a few more hiccups, couple more threats to walk away from the table before we get to june 12th. >> eamon javers, thank you joining us is jurrien timmer from fidelity investments. eamon brings up a point with regard to the gorilla dust, if you wanted to put it that way, with the bluster happening between north korea, china and president trump. is this the biggest thing that's overhanging the market are we making too much out of these particular trade talks and north korea's summit situation >> they're very important. the markets tend to tune out

noise, but things that relate to the economy, taxes, trade, geopolitics are important. i suspect this will drag on for some time. there will be summits, victories to be declared, setbacks i think especially the whole trade issue with china will be a long slog. and as the u.s. tries to slow down this very strongly rising star i think this will be with us for some time and the markets will get used to it the other story here is economically the cycle seems to have peaked globally if you look at earnings growth x the u.s., it's starting to come down at a time when financial conditions or liquidity conditions are tightening. that's getting us into more of a late cycle type of environment the global cycle seems to be

desynchronizing. from early '16 to about last january the global markets were really resynchronized after a period of not being synchronized now with the tax cuts boosting earnings in a big way in the u.s., q1 earnings growth 21%, and expectations for 20% for the rest of this year, the global picture is starting to fragment falling froth, rising inflation, that's a classic pe compression environment, that's why the market is unable to get out of this range >> does the stronger dollar complicate the global market picture? that's what we're seeing this market, gaining strength against a basket of currencies, specifically the turkish lira up 3% now >> yes the stronger dollar is part of it financial conditions as they are commonly defined by wall street are driven by stock prices, short rates, long rates, credit

spreads and the dollar you will remember in early '16 the dollar got strong because we had this policy divergence between the fed, which was starting to tighten and the rest of the world which was easing. that pushed the dollar up. it tightened liquidity conditions and ended up the fed had to lower guidance. we're seeing a mini version of that the dollar is strengthening again. the spread between two-year bunds and treasuries is at the widest ever. that's pushing currency higher you can see this play out in realtime in emerging markets the emerging markets index is breaking down here it's very much an issue for the markets. and it really is a question of will the fed blink and backtrack or will the ecb be forced to accelerate its tightening in order to bring that spread differential down. i don't think either of those is likely to happen >> can i bring you back down to

what you said about emerging markets? i heard arguments on both sides. some say these are idiosyncratic issues, that there's a limited spillover effect, others say this could turn into a contagion effect is there an opportunity within emerging markets now, either individual market wise or on the broad basket etf basis is this something investors have to hit the pause button on and wait and see what happens? >> i still like emerging markets and non-u.s. developmented markma -- developed markets over the longer term. if the u.s. didn't have this earnings boom, the global market picture would be similar and all the markets would be performing more in line global growth ex-u.s. is slowing, u.s. earnings growth is accelerating you can see that impacting the

non-u.s. versus u.s. returns as an asset class, i still like it until we see this rate differential start to break, which would happen if the fed starts to slow down its tightening or if the ecb starts to speed up its exit so we may have to be patient on that front i don't think it's on the order of magnitude of what we saw in the financial crisis or 2016 the dollar is not really that far off of its lows. generally speaking, em is the ground zero, if you will, for whenever the dollar goes up and rates go up, em is where it's felt usually the first we're seeing that play out >> we'll see if fed chair jay powell speaks to this topic on friday whcen he talks. thank you. time for top trending stories. we have to begin with florida. a power outage in lake worth

prompting city officials to send out this mobile alert. power outage and zombie alert for resident of lake worth, there are far less than 7,380 customers involved due to extreme zombie activity. restoration time is uncertain. the public information officer apologizing for the alert saying lake worth does not have any zombie activity currently. >> i gave my brother a gift, a zombie apocalypse survival kit, had canned goods, water, maybe they need it there brandi chastain inducted into the bay area hall of fame, but her bronze plaque was less than hall of fame worthy if you look at that the likeness was so bad. it really is bad it spawned comparisons to mickey rooney, gary busey, maybe even

jimmy carter brandi chastain looks nothing like those people. the hall of fame says it will have the plaque redone for those people listening on sirius xm radio, go and google brandi chastain bronze image it's terrible. nfl owners are reportedly working on ways to address the ongoing national anthem demonstrations at a private meeting yesterday the owners floated a few ideas, including a possible 15-yard penalty for players who take a knee during the anthem also home teams can decide whether or not to let the visiting team on the field during the anthem. so the nfl is taking this seriously. >> as a big football fan, i want to see whether this season plays out like it did last season. will there be as much interest or as much focus on whether or not players are standing or sitting? >> maybe that was a last year

thing. >> maybe it changes. it will be something to watch amidst some of the controversy about viewership and whether numbers are declining because of things like that. in the nba, the houston rockets rebounded -- pun intended -- against the golden state warriors last night in game four of the western conference finals after a humiliating defeat sunday in game three houston rallied from a ten-point deficit in the fourth quarter to beat golden stated by a score of 95-92. that ties this series at two games apiece james harden having a big part in that game last night. >> stating the obvious, nba playoffs take so long compared to the ncaa. we're still talking about the western conference finals. >> are you a basketball fan? >> i am. i played freshman year of high school i pivoted to tennis quickly. >> do you feel some of these games have been too much of a

blowout? >> no, i just want to get to the finals now i'm sick of it coming up, can the bakken keep on rocking? we're headed to the front lines of the oil boom. and why housing, ednufacturing and the fed ne to be on your radar today. stick around, "worldwide exchange" will be right back m. re-align yourself, with align.

welcome back to "worldwide exchange." i'm dominic chu along sometisida

mody brian sullivan is in north dakota talking the bakken boom he had a huge lineup of guests today. a lot of big guests talking about oil, infrastructure and everything else out there in the shale region brian joins us on the phone now. how are things in the dakotas? >> very dark i will say that. it's very early here good morning happy dark and early from bismarck, north dakota it was the bakken boom, it was the bakken semi-bust and now the bakken coming back the reason we have come back here is to figure out if they'll build a sustainable model. it was crazy for a long time, $100 oil, everybody making $30 an hour, then everything shut down production kept going. a lot of people left

we want to find out if they can build a sustainable model for the future it will be a cool day today. great lineup here. a couple of oil ceos harold hamm of continental we also have the governor of north dakota, and the interior secretary of the united states, ryan zinke yesterday we were out on a continental resources drilling rig, a town of 750 people, out in the middle of the state getting an idea to what the price point is, how they'll make money, if they can make money, where the growth will come from. we did that tour we also got to ask a few questions. these guests will also be on tv today. but yesterday on the drilling rig i asked the interior secretary, secretary zinke about infrastructure generally and whether or not we'll get something done in the united

state states >> we're behind in this country on infrastructure, bridges, highways this piece moves the economy forward of looking at our long-term infrastructure plan. >> the cnbc audience is keenly invested on infrastructure of all kinds, do you think we'll get something done on infrastructure as a nation this year or maybe early 2019 it seems like we're close but it's been frustrating for a lot of business leaders we talk to >> if the president keeps his campaign promises, i have every confidence we'll get infrastructure the president is a builder he loves building. he gets passionate about something, he gets really passionate about building. we might get something focusing on critical components, but we'll get infrastructure done.

>> there you heard it. a little off-topic for what we were there for yesterday, but when you get a chance to speak to the interior secretary of the united states, you'll ask him as many questions as you can. he'll be back with us today. you saw the guest lineup hopefully we'll get some answers on whether this can continue >> brian, do you think optimism has already built on the ground with oil back near $80 >> it is i made the mistake last night at dinner, i was talking to locals, i said we had the bust they said there was no bust. they were keen to correct me and say there was no bust. they were right in the sense that there was not a drop in production, but when you have so many people leave, you have the camps close down, companies closing up shop. these are wonderful people but it's 20 degrees below zero in the wintertime. the rest of the american economy is doing well. you had a place up here where people could get a job, a great

job with a high school diploma and make a lot of money. now they can make a lot of money in the permian or new mexico, parts of colorado, marcellus of pennsylvania you have to get people to come up here and stay and we'll find out today if that will happen. >> it's an important story we'll tune in all day for your coverage thank you very much. we hope you have fun out there while it's still dark and we'll see you when the sun comes up. >> thank you take care. we're approaching the top of the hour the team at "squawk box" is getting ready. joe kernen is live in new york with what's coming up. >> good morning. we're strapped in. >> seat belt on? >> i watched it unfold yesterday. we're importing trouble. this is part of our trade problems all the trouble we have today is from the other side of the world. two pronged. one is that the president is not satisfied with the supposedly great deal we got with china in

terms of them buying more of our stuff. and finally conceding at best 50/50 whether we have a meeting between the president and kim jong-un of north korea that double whammy of geopolitical krishs is what is hitting the market we have big corporate news from yesterday. lowe's finally admitted we like how home depot runs things, so they got a guy from home depot starting over there. we'll see what results indicate about how badly they needed this management change. >> lowe's earnings coming out this morning big show coming up you have the lowe's earnings, i know thank you very much for joining us with that "squawk box" look on deck, a data triple play. the three big things you need to

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welcome back new home sales, manufacturing pmi and fed minutes coming out today. we have danielle dimartino booth. what do you think? >> i think we'll see some pain coming out of the new home sector i'm waiting for mortgage applications we've seen a string of bad ap y application data we're seen a decline in capital expenditure expectations all eyes on the fed today at 2:00 >> ten-year note yields in the u.s. back down close to 3% is there a fear of inflation right now? does the fed fear inflation? doesn't seem like anyone is

wanting to identify the idea that inflation is out there. >> the minutes will bring in that symmetrical idea and inflation targeting inside of a range instead of that 2% hard target i think there will be more that comes out. the last minutes were the first ones since they started taking track of all fomc members votes that did not showdownside risk for inflation. this is the second minutes in a row that reveals the upside. i was inside the fed for almost a decade i've never seen this much of a blanket propaganda campaign to come out and explain a new way of looking at inflation and hiking rates but if you noticed they all started to take december off the table. >> that's a good point burning question we have to leave the conversation there thank you very much. >> thank you that does it for "worldwide exchange." "squawk box" is coming up next

rngsday for a lot of data and eain reports lowe's coming up in the next hour for their earnings report

we're importing market trouble from the other side of the world after president trump downplayed that potential china trade deal said he didn't really like it. then cast doubt on the north korean summit and dow futures are indicating a drop of 150 points at the open we have retailers reporting. quarterly results from lowe's who is getting a new ceo, target and tiffany in the next hour tens of thousands of las vegas ga seen casino workers could walk off the job next week.

it's wednesday, may 23, 2018 we're praying for 7:00 a.m. when the sun comes up "squawk box" begins now. ♪ live from new york where business never sleeps, this is "squawk box. good morning, everybody. welcome to "squawk box" here on cnbc we are live from the nasdaq market site in times square. i'm becky quick along with joe kernen and andrew ross sorkin. let's look at u.s. equity futures. yesterday was a down day, down about 178 points for the dow the futures this morning indicated down by a similar amount another 176 points indicated down right now s&p looks like they would be down by 17 points. the nasdaq off by 62 all of the things that buoyed stocks earlier this week that the trade war with china was on hold, that got