"worldwide exchange. "squawk box" picks up our coverage next. well, you see it there breang news. history in the making. president trump and north korean leader kim jong-un arrive in singapore for a first ever gathering. a live report from the ground is coming up. not the only thing though happening. trade fight. president trump is lashing out at canada and europe following the g7 summit. we'll bring you the 4r5i9est tweets the world we watching to. >> it's monday, june 11th, 20178, and "squawk box" begins right now. live from new york where business never sleeps, this is "squawk box. good morning, everyone welcome to "squawk box" here on cnbc we are live from the nasdaq

market site in times square. the world is watching singapore this week. president trump and north korea's kim jong-un set to meet face to face tomorrow morning at a lucxury hotel located on the resort eye land of sentosa mike pompeo just wrapping up briefing reporters we'll head live with a report from michelle caruso-cabrera first, a look at the markets. despite everything, markets relatively calm this morning going to see the dow futures indicated up by 30 points. this comes after a huge stock rally this week. s&p 500, the nasdaq also higher, at least they were for the course of last week. this morning s&p futures are flat the nasdaq is down by 5 points the nikkei closed higher up by

half a percentagpoint. hang seng also closed higher up by 1/3 of a percentage point. this morning in europe and some of the early trading despite again not just by what's happening in singapore but all of the concerns over the week in canada, you're going to see that there are green air roegs across the board. the dax up by half a percentage point. stocks in france up by a slight amnt then the ftse up by 3/4 of a percentage point we'll take a look at the u.s. treasury market this morning you'll see the ten-year note is yielding a higher number 2.9 2.964%. president trump arriving in singapore. he said he'll know in the first minute if the north korean leader is taking it seriously. from in president trump's words, quote, my touch, my feel eunice yoon is in beijing.

akiko fujita is in seoul and michelle caruso-cabrera. >> reporter: good morning. mike pompeo reiterated that the united states is committed to full denuclearization of north korea. there's been questions about just what the u.s. is willing to give and take when it comes to negotiations this caps off what has been a very busy 24 hours amidst heavy security, highly choreographed security kim jong-un arrived for what is one of the most highly anticipated summits in decades air force one touched down last night just after 8:00 p.m. at an air force base right nearby. this lo throng of reporters there to capture his arrival. kim jong-un's arrival still shaded in a bit of curiosity

equally curious he arrived in an air china boeing 747 400 with the famous hump on the back which is used for first class. he did not arrive in his personal plane a soviet era aircraft from the 1960s that has been become so well known it can't fly very far. it seemed to limit the locations. this loaner aircraft, china trying to maintain the influence with kim jong-un people lined the streets people are very, very seriour cs mike pompeo met with the prime minister of singapore. kim jong-un did that yesterday

the key question from cooper are they fully committed to denuclearization president trump has said he's heard is that from kim jong-un himself. the question is what does he have to be offered and does he really mean it >> michelle, that big question we just heard from pompeo saying we are not going to be offering up anything, any sort of economic incentives until after we see they are willing to do this i guess that's the huge talk what we think of denuclearization, what the process would be and what the north koreans is anticipating as well. >> yes, there's a big difference in the definition, becky, for sure for the united states you're going to hear secretary of state pompeo and numerous other officials use a well-worn ak crow nimp right now that's very common with arms control know gesh yators, cvid.

complete verifiable irreversible denuclearization before there's any kind of assurances or economic gratification, any kind of weakening of the sanctions the process at which north korea gets things in exchange for what they do is probably the heart and soul of what's happening within the negotiations. >> i like michelle's cheat sheet. i like how you describe why singapore. because their intelligence and security services are widely respected. that's a very high level of monitoring of everybody that lives there. you know who's widely respected here, facebook widely respected because they

highly monitor everything that -- i don't know whether singapore sells the information but thank you for that it's a long -- you did a lot of background research and it's helped me a lot and i'm going to quiz you on it. >> should we tell everybody what you're talking about >> a cheat sheet. >> a very long cheat sheet that i used to help me find -- >> i've got it printed out here. >> i have it printed out. >> yellow marker. >> lines and things that have gone through it. one of the things that caught my attention, michelle, is just the idea that we have had four attempts and four times where the north koreans have promised that they would denuclearize since 1992 they've all failed in the meantime as part of those incentives we've offered them $1.3 billion in food and fuel to get them to that point >> right. >> how is this going to be different? >> well, you should change the way you're negotiating so

there's going to be less front loaded they'll have to give more deliverables up front. there has to be a change in protocol before there's anything that's really -- what's very interesting is when you really start to read all the interviews that mike pompeo has given in the past couple of days, he spoke with korean media, he talks about north korea opening up as if there's -- it's hard to read between the lines i wish i was in the news conference does north korea want to change fundamentally? it's a socialist company, command and control ksz are they looking to incorporate more market forces. i find it hard to believe. if they're going to grow and improve in any way, they're going to have to do that. >> it's very odd to think of

what might motivate king jong-un. he would like a western type luxury hotel on the coast. i think he'd like to go there. i think he'd like to fly on something other than a russian era jet and i think he wants like a big mac these weird things that could end up being bargaining chips when you look -- not simple, and that may not do it, but i'll bet you can appeal to that to some extent you look at the way south korea's economy works and you look at the prosperity that really happened in 50 years or whatever and that may be part of what's -- what eventually gets a deal done, i think >> reporter: yeah, if you go back to the 1950s north korea was considered the better economy and south korea was

considered to this past. now it's a much wealthier, weather jie case, what are the hierarc hierarchy of regimes, it's routine. how does he achieve that is it with liberalization of the economy so he lives better or if people argued if that were to happen, if they were to open more, his people which are so isolated from the rest of the world. maybe they would be angry and maybe that, in fact, would be destabilizing to his regime. it's hard to know the way he thinks about it and how to best roll the dice foto survive. >> michelle, we appreciate all you've done. we'll check back with you frequently we have others we have reporters around the

world monitoring reaction to this week's historic summit. let's head to akiko fujita in seoul. akiko. >> reporter: good morning to you, joe we just heard michelle talking about the broken promises. those people in south korea have had to live with the broken promises 356789 miles the president saying this is the summit of the century. this is an historic milestone from war to peace. he says he expects a grand agreement that will lead to reduced hostility on the korean peninsula and eventual denuclearization he made sure to give credit to president trump as well as kim jong-un in getting this summit together saying that the strong determination and resolving

north korea's nuclear issue on both ends is what resulted and what will come down just less an 2s from now now moon jae-in going so far as to set realistic expectations saying that the south koreans needed to be more cautious and patient going into this. he said this is not an issue that will be resolved in one to two years but several years. now having said that, we should mention this has been a big boost to president moon jae-in he only came into power just about a year ago and he has gotten a big lift in approval rating of 70% now here on the ground keep in mind how this all began. it was at the beginning of the year when the president extended his hand to north korea calling for them to take part in the pyeongchang winter olympic the south koreans has already seen it.

they're meeting at the kaesong complex at the border last week talking about reestablishing a liaison office we've heard about south korean businesses looking to buy up property at the dmz in hopes of further economic engagement. folks, perhaps the most important player not in the room tomorrow is china. eunice eun joi us live with what the chinese counterparts have to say. >> reporter: well, becky, i think that even though china isn't actually present physically in the room, it definitely is making it -- its needs and its presence known we saw that in what michelle referenced the image of kim jong-un arriving in singapore on an air china plane on loan from

beijing. that was really the most obvious sign of the importance of the relationship between china and north korea. president xi jinping has ever reason to warrant this summit to go very well officially they've been encouraging dialogue and denuclearizati denuclearization they say the chinese want to see a positive result. the chinese and united states have both had plenty of issues on their plate recently including trade as well as north korea. so removing north korea and this issue of a regional security threat would be within the interest of president xi jinping. that said, there's probably some level of discomfort in the halls of power in beijing because in past years the united states has engaged in north korea with an entirely different framework called the six party talks where china has had a more direct broker role.

this time they're not going to see that happen. so they're probably feeling a little bit uncomfortable with so much uncertainty in this unfamiliar territory >> eunice, it looks like china must be playing some role in it. we just saw footage. it looked like the north korea er arrived in a chinese plane, china air >> reporter: yeah, absolutely. china does play a role there are actually two lines of thinking on this one is that president trump through unconventional methods was able to pressure china and get north korea to the negotiating table. the other story line that you hear a lot among china -- sorry, north korea watchers is that actually the north korean economy is doing a lot better than what the trump administration believes. that china has not put on as much pressure as people had thought and so the motivations

that are driving kim are to actually go to the summit and that he would be driving a hard bargain because of this idea that perhaps president trump doesn't actually know that he isn't as desperate as somepeopl >> eunice, thank you very much we will be coming to you often over the next 24 hours or so that is eunice yoon joining us from beijing joining us is harvard kennedy school's korcore rekorea's workl professor john park. the next 24 hours are going to be crucial what should we be watching to know if things are moving down the right path or if there are huge bumps that might be on the way? >> sure, becky e looking for rticular outcomes one is joint declaration of some kind by president trump and chairman kim that acts up we have senior u.s. and north korean officials continuing to meet on that front second thing is the official called a denuclearization be

method some reference to a process. as we've heard, this is a very complex process overall in terms denuclearization, who does what, where, when, how launching that is possibly critical because that will be the opening up of the gate in many respects to the other two critical mechanisms. that's the permanent peace and transportation infrastructure development mechanism. you can see how the pieces are interlinked here it all starts with the mechanism launch. >> john, obviously we are in a much better place than we had been when we were talking about the threats being raised so rapidly a year ago, even less than that. we were thinking that there could be missiles flying at any moment, but when you really start digging into what a complex situation this is, we're still talking about a kun tr country with capacity and how do we move towards normalization with the regime?

>> prioritization. those are important. president trump mentioned he will during this process mention human rights i think the idea of getting the poe lis call aspects lined up first. to have a robust process one part of president trump meeting with care man kim and looking across that table is to see if he has a partner with which he can weather these very difficult hurdles ahead. it's not smooth sale iiling and complex. that's a part of dealing with a lot of contentious issues. but the first piece of this is getting that kind of beginning point with the denuclearization. >> john, i wanted to get your thoughts on some of the commentary between trump and trudeau over the weekend and how that relates to north korea. the reason i even mention it is that larry kudlow was on the television and he said that the reason trump went on twitter and was so tough was because he

essentially said he, that is trump, is not going to show any weakness then basically criticized canada and trudeau saying they should have said, goded, you're negotiating with that crazy north korea and we are behind you. does that work ahead of a meeting like this? >> one thing you have to keep in mind is that the trump administration has been prioritizing this. this has happened behind the scenes certainly you're talking about folks walking about egg shells there are a lot of moving parts. you saw people nervous and on edge the key distinction is that was a multi-lateral setting. one of the things we've seen is the idea that he likes to be in a bilateral setting.

with respect to thmeeting, the key individual there is secretary of state pompeo. he's met with him. from those dynamics it's been teed up. i think the last final step in terms of the actual meeting, the focus is clear the idea that they're very intent on moving forward what was essentially broadly agreed to coming into the singapore summit. >> but do you think that the -- whatever happens vis-a-vis canada was going to be a show of weakness had the proesz not come out more strongly the way he did over the weekend >> i think this idea of coming out stront, certainly that plays to important constituencies. what's been happening in the dialogue channels between the united states and north korea, that's the focus and what the north koreans think about the overall atmosphere coming into this and what they think is an

array of u.s. officials that give a serious, you know, commitment to this process also we see on the north korean side pretty much the totality of enlisting leadership structure in singapore now the focus has definitely shifted on the bilateral setting. >> john, thank you very much for your time. we certainly appreciate it. >> thank you coming up in just a moment, "oceans 8" stealing the top spot at the box office. the big money behind it. plus, continuing coverage of this week's historic summit. it starts an hour early. 5:00 a.m. eastern time get up early and we will see you then get tuned. a lot more on "squawk" coming up in just a moment

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welcome back to "squawk box" this morning "ocean's 8" winning this weekend's box office the heist franchise brought in

$41.5 million in north america that topped "solo. "ocean's 8" was made for a lot less than "solo. >> it was a surprise after all of the other "star wars" reboots that they did. probably because they did it in such quick succession. >> is "ocean's 8" on your list >> i don't make it to the movies very much because of the kids factor but, yeah, i'd like to see it some day. >> don't ask me that. >> he's watching "beaches. >> yeah, when i get through "beaches" and "steel magnolias." >> you were there on premiere night? >> i was not. let's tell you about some sports news as well. raphael nadal beating dominic thiem. >> pretty amazing although it was on too early

right? >> it is in france >> this was to win a record ending 11th title at the french opendal is going to keep the top spot in the atp rankings ahead of roger federer. >> kind of cool because i think this was 11 or something they went back i did see a little bit of the coverage they did a quick show of every match he's won at the french open the picture of who he beat and they did it really quickly everybody who's any good he has beaten. >> decimated at the french open. >> in that 11 -- >> plays well on clay. in other news, i saw this, too. it was so boring because it was a walk in the cake for dustin johnson at the saint jude classic which is great it's very intimately involved with the medical center and the kids are there this is trying to finish up. he had a four shot lead. this is on 18 and decided, why not. >> my gosh. >> i want to get this over with and it was just so cool.

>> wonderful. >> he won the u.s. open a couple years ago. that's this week. >> wow. >> in south hampton and as a warmup to this week's u.s. open. >> that was a little bit of a strut. >> really cool seriously, he looked -- i don't want to say he looked bored. he was minus 19 at the end, i think, something like that anyway, there was a guy 14 under, i think, that played really well. the next closest was like 9 under. d.j.'s like three holes to play. then he hit a 9 iron into this hole and, boom, right in "squawk box" is episodic and it's reality it's a reality show. worked well for us you've all seen blake grow up and graduate from high school. >> congratulations. >> you know -- >> i've got some time. >> you will cry. you will cry when --

>> wow she looks gorgeous looks like she's miss america. that's gorgeous. >> do you remember -- you just remember. >> do you have the pictures of her with -- >> i didn't go back. you know, we just want to congratulate her we're proud. she's off to -- my god, she's close. off to penn. got her housing and she got just where she wanted to be down there. >> i have to say, we're proud of her too. we feel a little ownership of blake watching her over all of these years. we all feel like she's ours, too. she's a beautiful young woman. has more poise than any woman i've ever seen at that age she's unbelievable. >> she's great i don't know where it comes from we both look at each other -- it must be. she doesn't take credit either it's like i think it's recok recombinent genetics do you have any recollection --

>> my high school graduation >> i do. >> i'm getting old she remembers what shoes she was wearing. >> that i don't remember >> i don't remember anything. >> i don't remember the outfit i wore >> which is like if you grew up in the '70s and you remember it, you didn't really grow up in the '70s. >> now that i'm thinking about it, i do i remember the shoes and the pants and the whole thing. >> i don't remember. >> i do. >> i'm racking my -- >> i do. because in college we wore flip-flops but in high school i remember wearing gray pants with nice -- with black shoes i know you always tell me brown shoes. black shoes. >> it's a big deal it's all good. >> congratulations. >> now i'm worried i don't remember high school or college. >> you don't >> what i was wearing. >> yeah. but you remember -- >> i remember college the event. i don't even remember much about my high school all right. >> you know what i mostly remember, did they do this in some places they don't allow

you to throw the cap anymore. >> no caps. >> because you're going to poke somebody's eye out. >> yeah. >> high school we did, college we didn't. when we come back this morning, we're going to talk more about the trade fight that we've been mentioning this morning. president trump's tough talk for canada and europe after the g7 summit just one of many things on the global agenda this week. "squawk box" will be right back. i have access to the oil markets and gold markets. okay. i'm plugged into equities - trade confirmed - and i have global access 24/7. meaning i can do what i need to do, then i can focus on what i want to do. visit learnfuturestoday.com to see what adding futures can do for you. it can grow out of control,

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g7 summit. kayla tausche joins us from washington this morning with that story, and what a story it is kayla. >> reporter: good morning, andrew the outward appearance was ami ab amiable. afterwards justin trudeau said all seven signed on to a joint communique he called the comments insulting. that led president trump to withdraw from the pledge tweeting en route to and from the ground in singapore that, quote, we cannot let our friends or enemies take advantage of the u.s. and saying justin acts hurt when he's called out a spokesperson for trudeau tells cnbc the prime minister said nothing he hasn't said before both in public and in private conversation which is the president but on sunday nec director larry kudlow and peter navarro both defended the president at the g7 and slammed

prime minister trudeau and saying he slammed president trump in the back. mike pompeo briefing reporters on the kim jong-un summit was asked about the u.s. relationship with alliesnd offered a different view you wouldn't have even know. president trump has led a coalition with the same partners, g7 partners who have helped us get to this point. i have every expectation they will continue to do that there are always irritants in relationships. i'm very confident that relationships between our countries, the united states and those g7 countries will continue to move forward on a strong basis. >> here in washington republican lawmakers openly worried about relationships with allies slamming the president's about face as did those allies themselves who are planning to retaliate with new tariffs along

with canada beginning july 1st andrew >> thank you for that, kayla what was just the reaction in washington i know we were talking to a guest earlier about the impact this may or may not have on north korea. a lot of the speculation or comments that larry kudlow made was the reaction was really about trying to set up the negotiation with north korea did you buy that >> i'm not sure that those two really add up. in washington there's a lot of consternation about how the white house has been treating partners like europe and like canada the white house maintains that the end goal of its position is to bring tariff barriers down across the globe, across the board and that that is what they hoped to achieve that being said, europe and canada both plan to retaliate on july 1st the u.s. has already put these tariffs in place on june 1st it's not like they are dangling the prospect of tariffs.

these are bills being charged. so it will be interesting to see exactly how this plays outgoing forward and the president did not want the distraction of the g7 going into the singapore summit, but it seems that is what it has become it has become a distraction and a second lead story in addition to that major historic summit that he has on his plate in the next 24 hours. >> kayla, i saw mccain slam. were there others, other republicans that weighed in? i didn't see that. >> reporter: jeff flake additionally sent a similar tweet and a couple other republican lawmakers did as well. >> jeff flake. >> many retweeted the mccain tweet. >> yeah, jeff -- okay. all right. so it's not -- it doesn't sound really en masse. jeff flake and john mccain with some retweets

all right. thank you. coming up when we return, ie of the trade fight in this week's historic summit get advice from two market watchers going to do that next. 6:50 eastern time, it is the corporate story of the week. while all of that is happening over there, an expected media plus continuing summit between president trump and the north korean leader live from singapore. stay tuned, you're watching "squawk box" right here on cnbc.

welcome back to "squawk box. u.s. equity futures, red and green a little bit up about 50 on the dow earlier big week last week for the dow a couple of percentage points. the s&p unchanged basically. a little bit of green and the nasdaq after being the leading sector trading higher was weak at the end of last week and it's down today join us now sri kumar.

and rob martin, ubs u.s. economist. sri, probably talk fed with both of you gentlemen, but i want to just initially talk about emerging markets one of the big stories in the journal today, what's happening in turkey, italy is a concern. some people are derisking. we had a big jump in the ten year, no the in the yield, but in the bonds last week when that came about this would play into your long-standing narrative that perhaps we're not immediately headed to hire as far as interest rates go. it always seems to come back to partially your viewpoint. >> i think it does lead into that story, joe, in terms of what is happening with the emerging markets they all feasted when there was someone saying the interest rate was zero and you had a lot of money flowing. now that the reverse is starting to happen and the emerging

margins are feeling a backlash when you have that and i think it's the way to go if you believe that the fed is going to increase intt rates a few more times between now and the end of 2019, the emerging market collection also has at least a few more months to go. in turn, coming over to my story about the ten year yield the ten-year yield going down has just begun in terms of where the developments are and if the trade sanctions that we are talking about really end up in tariffs wlrks it be a july 1st or july 15th tariff involving the united states, canada, european union, then that also is going to be good for bond holders. >> you think about this country and our debt service with rates going up i hadn't even considered how much the emerging markets had gored on the market. think how much that happens when they go up that is worrisome. >> that's absolutely right.

>> plus currency exchanges the dollar is likely to get stronger -- yeah, the dollar is likely to get stronger as rates go up here that hurts their currency. they're gointo triple whammy you mentioned two of them. the third part is you are talking about a strong dollar anthey have to compete and it will suffer if you don't have support from global commodity. >> global synchronous growth was supposed to save them. >> i think that was an illusion. i thought because of monetary liquidity coming on and it was very little to do with fundamentally improving the global growth prospects. now you see the world bank imf pulling down the growth forecast they should never have been high to begin with. >> rob, is the fed going to think about these effects around the world and what happens, what we do here and how it affects everything else?

>> of course they're going to think about it. >> i might be a little bit light on the touch. >> so that's where it doesn't play in too much, right? unless emerging markets actually go into a sufficient amount of crisis that it starts weighing on u.s. growth, right? it starts weighing on the fed's objectives the fed pretty much looks through these things we saw this back in 2013 it was the fragile five. as long as it's just those economies, we're going to keep on with our policy doing what's right for the u.s. >> i think that disz counts what other central banks are going to be doing at this point how high can the fed go if the ec ecb. >> how do you do thatif everybody is down here >> from the if he had's perspective, they're hiking rates at half the pace of the slowest hiking cycle in history. four hikes per year doesn't seem extreme to them. it con strains them if the

dollar moves higher, that's going to affect prices it will affect activity, et cetera but right now the fed's facing an economy that's strengthening, inflation that's normalized and they juswant to normalize the policy a little bit. >> buy stocks? >> i had one very quick question i know we have ten seconds the up side after tomorrow versus the down side after tomorrow >> on -- >> just on the stock market. >> the stock market. >> just based on what's happening with singapore >> yeah, no, look, could you -- >> if something spectacular happened tomorrow, could the market go up a percent or two? if something happened terrible tomorrow, increased risk that's a risk problem. good things should be generally prostive good things just add on to that kind of growing u.s. growth story. >> andrew's question, i would say that risk is more on the down side because i think the positive side is all built in,

andrew what is a good thing that's going to come? you're not going to have a great concrete north korean agreement coming out at the start. no the trade tension is not going to go away either. the trade situation, don't turn out, you have it down south. >> we can't go to zero on subsidies? can we just wave a wand and have that happen? >> it's like after the los angeles riots, rodney king saying why can't we all be friends? i don't think it would be easy to do that. >> is that number true, 270% for dairy? >> some parts of -- >> why is that -- i don't understand why is that happening? why is it like that? >> lots of countries have high protectionist tariffs. the reason we have these unfair tariffs, unbalanced tariffs in

the rest of the world. it benefitted the u.s. and now maybe it's time to keep moving forward. >> joe, when you talk about tariffs you also have to take into account the subsidies to industries given at home and there are subsidies here in the united states for tobacco, sugar, cotton in different parts of the country and they work exactly like tariffs you're giving an unfair advantage to some people you're talking about a couple of centuries of these existing. they're not going to come off quickly. >> gentlemen, thank you. >> thank you >> here we go. coming up, court ruling tomorrow could change the media landscape it says here for generations the at&t/time warner trial will come to a close. we'll try to figure out what the judge's decision could be and what it might mean for the industry "squawk box" will be right back. . today, we produce nearly 20 million cases a year.

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welcome back to "squawk box. a judge is scheduled to announce his ruling on the at&t/time warner trial tomorrow. it could affect the entire industry, the whole m&a world could be up ended. joining us for a preview this is the media analyst. the expectation at this point is this deal is going to be approved however, there are multiple

outcomes that people are preparing themselves for what are you prepared for? >> i think myself like most people are thinking that the judge is going to have to side with at&t in this case then we'll see how the dominos fall there in terms of timing, how quickly the government appeals. can they close this on the 18th? if it does get extended, how much are they going to ask to extend the transaction they believe is on the 21st >> i think that's what most people are preparing for let's say he says go with god, do the deal, guys. it's all good. they can close the deal how quickly? >> the 18th. >> okay. and you say no matter what the zoj will appeal? >> i have no idea, but it seems like they're pretty determined to block this transaction. there might be an appeal i'm not sure whether that's going to delay the transaction or not >> okay. have there been examples of situations where a deal has closed and then they've gone back and appealed afterwards and

then lost? >> not that i'm aware of, but maybe you have -- >> no. i don't know of an example that's why i'm curious >> i don't know of an example. i don't know if there's an example of something like that >> and how quickly do you think comcast parent company of this network, if that deal moves, it closes, moves on fox >> i think rich greenfield has talked about this thinking it's going to come same day, day after. i mean, why not today? if the belief is that they're going to move forward whether there's an approval or not, you know, what are they waiting for. it's going to be a matter of days before that next move happens. >> is it, like, off to the races for m&a activity if this judge actually sides with at&t? >> we had this expectation there was an incentive auction where the broadcasters were selling spectrum and everyone was in a quiet period there was going to be an off to the races view then. then we had a president elected that was expected to be deal friendly that never really happened and then the court case started

to occur once again, there's a feeling that a lot of these companies are going to move forward. e herbal spli if one company buys one asset, then it takes everyone back to the board room saying where do we position ourselves in five years for these individual competitors we have, whether it's in the media or the big tech. so i think that is the expectation. >> what do you think the likelihood is the judge approves and puts conditions on this deal >> i don't think the conditions is something -- >> if he does, that sets up the anneal a much more significant way. >> then you have a timeline. back to at&t on what they're going to do. if time warner goes its own way -- >> is there any incentive for time warner to stretch this out in your mind >> only if they think there's a good shot at getting approval with at&t. if there's a pro, getting approval, it's probably time for time warner to move on

>> if they were to move on, do you think they'd get a higher price from somebody at this point? that's the billion-dollar question >> the chaos you'd have to operate under. >> a lot of people bring verizon into the mix i think a lot of people think that we don't want to go into media. you have to give some benefit of the doubt. just because he's a tech guy doesn't mean he can't take the company in the direction to diversify what verizon has >> thank you we will see what happens in 24 hours from now when we come back, we're going to head back to singapore where president trump and kim jong-un are set to meet for an historic summit. we'll look into it with kirk wagar. stay tuned you are watching "squawk box" righhe ocn polk county is one of the counties that you don't think about very much. it's really not very important. i was in the stone ages

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breaking news. secretary of state mike pompeo >>his is truly a mission of peace. >> as the clock ticks down to the historic meeting between president trump and kim jong-un. a live report from the ground coming up. trade tensions fle the fallout and what's next straight ahead plus markets on high alert ahead of a busy week including a big fed meeting. the second hour of "squawk box" begins right now live from the beating heart of business, new york, this is "squawk box. >> good morning, everybody welcome back 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. it is a big morning. the clock is ticking down to the face-to-face meeting with president trump and north korea's kim jong-un. we have a live report from singapore coming up in a momen first let's get a check on the markets this morning huge week last week for stocks the dow added more than 680 points to close back above 25,000 for the first time in months this morning it looks like we are relatively flat. dow futures indicated up by 8.5 points s&p futures down by half a point and the nasdaq down by close to five points. and we have reporters around the world to bring you special coverage of the historic summit. eamon javers is in washington. first, though, let's get back to michelle caruso-cabrera. she is in singapore. hello again, michelle. >> hello, joe. yes, today is the undercard for tomorrow's main event when president trump faces off with kim jong-un. it will be the first time a

standing u.s. president actually sits down with a leader of north korea. ahead of that main event, u.s. secretary of state mike pompeo briefed reporters a little more than an hour ago >> president trump is going to is mng with coence, a positive attitude, and eagerness for real progress. he has made it clear if kim jong-un denuclearizes, there is a brighter future for north korea. tomorrow we will get our clearest indication to date of whether chairman kim jong-un truly shares this visi >> also today, president trump met with the prime minister of singapore, the president said during that, quote, i think things could work out very nicely kim jong-un held a similar bilateral yesterday. he said it will cost roughly $15 million u.s. he says it's a cost singapore is willing to pay for regional stability. singapore was chosen for a number of reasons.

it has diplomatic relations with both countries it's close enough to north korea so kim jong-un's aircraft could make it here though to everyone's surprise, he arrived yesterday in a loaner 747 400 from air canada. security singapore is very good at it if you could use one word to describe this place, it would be orderly. remember, this is the place t t ththat caned a teenager for graffiti. they've done two summits for chinand taiwan they're very focused and spoke with the local reports here about how important it is to show parity between the two individuals. they made clear they were never going to show kim jong-un's plane arrival here in singapore because his plane was never going to be as nice as air force. then when there were suggestions it would be held here in this

marina bay sands they said no, precisely, they will own it because it is owned by sheldon adlison because he is friends with the president. they want the two individuals to feel they are equals as th sit down guys, back to you. >> great thank you, michelle. now let's get to eamon javers he is standing by in washington. good morning for the first time, eamon. what's up? >> good morning. >> weekend over. >> weekend is over and there's something of a stunned reaction here in official washington to the president's clash with american allies at the g7 in canada over the weekend. just before he left for singapore where you just saw michelle reporting the president refused to sign the group's communique and then after leaving said that canadian prime minister justin trudeau was, quote, dishonest and weak now, there are some republicans who supported the president, peter king of new york was one

of them saying the president operates on a high wire basis at all times but the results speak for themselves other republicans more skeptical. here's a tweet from john mccain over the weekend saying to our allies, bipartisan majorities of americans remain pro-free trade, pro-globalization, and supportive of alliances based on 70 years of shared values. americans stand with you even if our president doesn't. here's senator collins she said we've had differences with canada over the years, nonetheless, canada remains our close ally, good friend, and one of america's biggest trading partners then senator ben sasse putting out a statement saying the constant victim talk doesn't help anyone. it doesn't help trade negotiations and it doesn't help u.s. citizens understand the disruption in our economy that is coming from more technology and more automation. not from free trade agreements which have overwhelmingly benefitted american families

now as the summit begins in singapore and the dust sort of settles at the g7 in canada, there'll be some questions in washington about what the president accomplished over the weekend by refusing to sign that communique and whether his behavior toward america's allies will result in mfarable trade terms for american workers. we'll just have to wait and see on that one, guys. >> we've been having conversations off air with guests that have come through about this i've never seen a list of tariffs that exist right now between the united states and the eu or united states and canada or any of these places. overwhelmingly when it comes to goods, at least, our understanding is there are lots of countries that have much higher tariffs than us on items. american companies wanted to get into these other markets so they moved first on some of these issues but maybe there is time for a reset on some of these things. maybe this is time to take a new look at it and it's hard to kind of get a

feel for how this happens and how you really shake things up to get to that point understandably, if we go down to a trade war, that's not a good thing. maybe there is time to kind of reassess and say why are we at this point now >> the president has clearly decided this system is so entrenched and so antithetical that you need something dramatic to shake it up so calling the prime minister dishonest and weak is different. look, american presidents traditionally have looked at this as open markets, free markets around the globe are essentially beneficial to american companies and american workers over the long haul particularly because during the cold war we were focused on spreading free market capitalism and countering the rise of communism. so they were willing to accept some terms on trade that maybe american presidents today wouldn't accept. but they felt they were expanding the foot prind of capitalism around the world.

this president has a very different eyed feels like that was going to try to be shaken up. >> no one has ever said there's not a 270% tariff on dairy to canada keep asking, what's behind that? that seems like a large tariff on face value. you know, trudeau didn't come out and say no, there'snot a 270% tariff. so i don't know. it's just -- i don't know. it's difficult to understand plus wouldn't it be nice, no tariffs and no subsidies that would be the best way to do fair and free trade. >> although that seems -- >> i know. it's pie in the sky. >> the administration floated that idea, the sort of ideal end state to all that. >> that would be the ideal end >> these things are so kmply kated. there are thousands of these if you're going to go negotiate each individual one, it's going to take years town rav unravel that i think getting to a zero end

stage is unlikely. >> what about this idea that peter navarro is talking trudeau should go to hell. did you see that comment >> he said there's a special place in hell for people who negotiate in bad faith with the president of the united states and then stab him in the back t- >> the president clearly took offense to something that justin trudeau said in his press conference after the g7. after the president was already on air force one heading to singap that long flight, he saw something he didn't like. the white house hasn't really put out -- >> we don't know what thes >> -- what it is that trudeau said that set the president off so much. and that peter navarro is saying there's a special place in hell for this >> we don't know what was said in private and did come out and say it's disgusting and we're not going to be pushed around. i don't know what he said in private. he might have said -- i don't know who knows? >> yeah. he said publicly canada's not going to be pushed around. if that's what set off the

president, that's quite something. >> or tariffs are disgusting or something like that. i don't know >> how much of this now is going to become an ego battle between the president and trudeau? how do the canadians look at this >> i have no idea. right? >> we should also point out that between the united states and canada, we have a surplus when it comes to services it's the goods that we have -- that they have a surplus on. when you look at the whole thing including services, we have a trade surplus. >> right so who benefits from fracturing these alliances, right the western alliance of the g7, the relationships between canada, britain, france, and the united states, i mean, those are anchors of the western world the question is what good does it do the united states to shake the foundation of those relationships at a time when the united states has a lot of business around this world it wants to conduct and will need allies to do it. >> sometimes, eamon, it's all the usual suspects we get when

we mention which republicans seem to be -- and you thought they could be opposed to everything on shar trade they'll be on trump's side on some of that you would expect it. it's always the same ones. it's jeff flake, sasse, kasich but you don't see -- >> susan collins >> right but there's another how many that don't -- that probably would come to the administration's defense and we saw the numbers -- we saw the numbers last week, eamon, about how popular, you know, not with the democrats and not with the never trumpers but in his own party, trump enjoys a lot of support and a lot of popularity. >> but the problem is he's only got 52 senators. if you tick off five of them in a situation. >> november is coming. senate may be looking good might have more than two >> i mentioned one of them in my

hit. peter king of new york, the congressman said the president is on a high wire act to diplomacy but it's worked in the past it's a different approach. >> to say jeff flake counts at this point -- you know what i mean that's just -- anyway. sasse, he's -- we know it's the usual suspects every time that are the most outspoken typically. >> right but they're in the united states senate they're in his party >> okay. we will see you in a little bit, eamon. thank you very much. meantime, joining us right now as we count down to the historic face-to-face meeting between president trumand kim jong-un is kirk wagar. good morning to you. want to talk to you about this historic summit. i want you to weigh in on the conversation we were just having relating to trudeau and what took place over the weekend. because what we've heard from people like larry kudlow is part

of that conversation really wasn't about the g7 at all was about setting up a framework or show a tougher stance going into this meeting in singapore does that make senseo you? >> yes i think that -- first off, thanks for having me on. i think that trade is the overview of everything that happens in asia right now. the irony of this conversation, of course, is whether it be dairy or in our case sugar, all the things that have been complw and others was taken care of by the tpp which was negotiated with a lot of singapore's leadership, with 40% of the world's economy, and handled a lot of these issues and of course was walked away from in the new administration >> your sense about what could come out of this historic summit, how historic could it be on the upse?

>> well, listen. this is a very good thing. right? the issue is that north korea's stated goal for almost 30 years has been a one-on-oneting with the president of the united states to elevate their structure. every president over the last 30 years could have done this and usually had been in the context of what do we get back so i'm optimistic, extremely cautious that the conversation is going forward there are some very good peoplet ambassador sung kim, but before that was in charge of the account really for north korea is there randy shriver from the pentagon is there doing the pre-prep. they did that today. but i don't think you're going to see a momentous agreement today. or tomorrow, i guess

>> did i just catch you say you thought any president could have done this? >> could have had a meeting. >> could have had the meeting. so why -- then walk through why didn't they. ani think you're suggesting that president trump shouldn't get the credit he's getting for having the meeting >> well, i don't think this is about credit or not. this is foreign policy this is about stability in the region and preventing a country from becoming a more nuclear threat >> here we are heralding this meeting as historic. people talking about it if there is a good outcome, you know, nobel prize committees and such. and you're saying any president if they wanted to could have had this meeting and ty decided not to >> absolutely. i mean, i don't think that's an arguable fact, frankly the united states position was we will have six party talks that included japan, korea, china, united states, north korea, and i believe russia was the other one. and that's been the stated policy the same time, north korea has

said no, we will do one-to-one talks. >> ambassador, is this a situation of operating froa position of strength or weakness the economic sanctions have been crippling. >> i think that's the right question i ink it'sh. i think that the only thing that north korea cares about is regime protection. and given the fact that more information is coming from the outside world into their population, i think the worry of the regime will always be whether or not there's going to be an uprising that knocks them out of power the nuclear testing has got them to the point where they now get this meeting and i do believe that the white house is correct in saying this is a unique moment in history. but the concept that they've done one icbm test and that

shows that they have reached a level of proficiency, i think, misunderstands the science doesn't mean they're not dangerous. doesn't mean they aren't a long ways from where they were. but there are a lot of conflicting tensions going on within north korea which i think makes this a good opportunity to start the conversation >> ambassador wagar, downside? we talk about the upside is there a downside? >> i think you always have to worry about the reaction from this president if this is the start of a conversation that puts us on a diplomatic path, then it's a good thing and i think that the motivation of this president in the white house for a win increases the h i think is a very positiverd moment but if we think that this is going to be a moment where we sign either a peace agreement

ending the korean war when frankly the head of south korea is not even in singapore, so obviously can't sign it. or this is going to be a moment where we have a set schedule for dismantling the nuclear program they have, i think that's -- i don't think that's realistic >> okay. ambassador, we appreciate your time and of course your perspective this morning thank you. >> thank you >> and we should tell you tomorrow, we'll bring you a special coverage on "squawk box. the summit in singapore. we will be live starting at 5:00 a.m. eastern time tomorrow morning. when we come back this morning, rising trade tensions, a med meeting, and that historic face-to-face meeting between president trump and kim jong-un. we'll talk about what it means for market strategy right after this break right now futures indicating a flat open.

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♪ welcome back, everybody. in our headlines this morning, it is a big week for central bank meetings on top of everything else we're following. the federal reserve begins its two-day meeting tomorrow that's all happening while the european central bank meets on thursday and the bank of japan meets on friday. the fed here is widely expected

to raise interest rates this time around. more on that in a few minutes. gasoline prices continue to move higher at a slower pace than what we've seen the latest lundberg survey puts the average at $3.03 a gallon. all of this comes despite an overall drop in crude prices over that time and private equity firm kkr is buying envision health care in a deal worth $46 a share. that's an all cash transaction it became official just a few moments ago. also worth a total of $5.5 billion when assumed debt is excluded envision is a provider of physician services to hospitals and other health care facilities you can see envision shares up by 2.5% right now. also, look at the futures this morning. things are flat at this point. we came in and looked like the dow had been indicated up about 50 points. remember, this is coming after a big week last week right now it looks like the dow's up by 2.5 pots the s&p futures and the nasdaq

slightly weaker. joins us now is chief economist from stifel. also head of investment strategy at proshare advisers there is so much happening this week, it's hard to figure out what people might do probably doesn't make much -- come as much of a surprise as we're looking at futures flat right now. >> no. it's a confusing time. if you look at consensus estimates for fed funds going to the end of 2019, you have about 3% but the consensus for the 10-year is only 3.5% in that range. that's where the consensus is a little bit off >> do you think the fed is the biggest deal we have facing us this week? you've got the trade talks and everything happening with north korea. if you're somebody who is betting on markets right now, what would you do ahead of those historic situations? >> well, i think ahead of those the trade that's been working so far this year has been the small cap trade in the u.s. which is a little bit more insulated from some of the vagaries going around b the world

the reason i bring up the fed in that context is historically small caps have seen a head wind when short-term rates rise so there's a little bit of a head wind to that domestic trade. one way to address that is the small cap route but look to leverage names >> the dow was up 2.5% last week why? >> well, i think number one, there was relief rally from italy. there was a little bit hyperbole around italy everyone ran around saying italy is the third biggest bond market in the world okay but it's so distant from one and two -- >> we haven't even mentioned italy this morning the first hour and a half of the show, nobody has talked about italy. >> i'm sorry i brought it up they just said we're not leaving the euro so that passed so i think there's a part of that was a relieom some of the potential contagion fears. >> let's talk about the fed. the other central banks as well. what do you expect to come out of this? any surprises? we're anticipating a rate hike

here at least. >> absolutely. the market has priced in a rate hike for june with near 100% certainty as in september as well. the statement language is going to give a senz of whether the comfortable with that pace or is there language suggesting a faster pace of rate increases. that's really what i think investors are going to be looking for. we're also going to be looking for whether or not there's any dissense within the voting committee. most of that, again, is already priced into the market there would be some risk of language change. but we are not anticipating that the ecb is going to be stealing some of the fed's thunder. that's where the uncertainty comes in whether or not they're going to have that information about eventually winding down qe. >> what should we be loong for in the statement from the ecb? give aus little bit of a hint of what could have surprised the markets. >> well, i do think there's

going to be a conversation about qe but don't look for anything specific ithe statement as of yet. it's likely that's going to come maybe july or later as r now europe is still grappling. certainly beginning to climb to a higher level it's not at that target level yet. with the geopolitical uncertainty we've just begun to sidestep other issues that are still going on in europe, i don't think it's an appropriate time for the b to commit to any significant change in their policy >> lindsay, thank you very much. simeon, thanks for coming in >> appreciate it coming up, the story corporate america is still talking about. >> so we think it's a good thing to give people an umbrella to move away from hopefully companies drop it right away >> that's jamie dimon calling for the end of short-termism we'll talk to ey ceo mark weinberger

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♪ good morning, everybody. welcome back to "squawk box" on cnbc we are live from the nasdaq market site in times square. let's talk about some of the stories front and center this morning. a south korean cryptocurrency exchange known as con rail said it was hacked over the weekend that news pushed bitcoin to a new two-month low. con rail says that the hack resulted in 30% of the coins traded on that exchange. and bitcoin right now trading at $6,776 facebook trustruck customiz data sharing deals that's according to "the wall street journal." what makes this notable is according to the newspaper, the deals occurred after the point in 2015 that facebook had said it no longer made that

information available. "ocean's 8" topping the rankings for the weekend taking in $41.5 million in weekend ticket sales that's the best for any in the "ocean" series women accounted for 69% of the audiences. the business round table announced their support of moving away from providing earnings guidance. >> we've been pushing on it. warren's been part of making it a real thing we think it's a good thing to give people an umbrella to move away and hoping companies drop it right away. >> warren, this is something you've been preaching about for a long time too. where's an example of where you've seen it gone wrong? >> well, when companies get where they're sort of living by so-called making the numbers, they do a lot of things that really are counter to the long-term interest of the business and i've never seen a company

whose performance has been improved by having some forecast out there by the ceo that we're going to earn "x." because it's sending -- it's not only sending the wrong message and delivering the wrong results to the company and to the country, it's also teaching the people that work under him or her that quarterly performances is the end game. >> quarterly guidance. joining us now mark weinberg he's also chairman of the business round table tax and fiscal policy committee. a lot of nuance to this, mark. i guess the guidance is one thing. transparency is something all shareholders would like, obviously. and someone's going to make forecasts or guidance whether it's the analyst community or i don't know where you're going to get it i'm not sure what the answer is on this.

both sides have a pretty good case and i certainly understand most ceos, they all wish they had private companies. never had to say a word. and all shareholders wish they had all the information. they wish they had daily guidance to makeck decisions. so they seem to be on different sides of this. i don't know who should win. >> well, joe, you know, it's not just the timeliness of the guidance it's the contend of the guidance there's been an order to push with 24-hour news cycles to manage that short-term number and nobody thinks that's the right answer their voices add to a group of individuals and groups looking at this issue and trying to figure out what is a better way to value a company for the long-term against risk and value creation than just historically quarterly short-term earnings that are really no longer reflective of the value of a company. as you know, the standards haven't changed since the 1970s.

back then, 85% of the value of a company was on its balance sheet. today it's less than 20% it's about 16% because of intangibles, brand, employee engagement and the like. there's a lot of groups looking saying it's not just how and when you report, but what should you be reporting on financially and non-financially? i think that's the real question i thinthey do a great job of saying let's not look at that. larry fink's letter last year with his focus on purpose. we have a group, joe, of 33 businesses $30 trillion in assets asset owners, managers, and corporates who have come together saying we really want to figure out what is a better way to measure value for the longer term for stake holders and other stake holders. they're working hard over 18 months to figure that out. if you can get corporates to report it but more importantly get them to focus on that, that will bring the discussion out. >> we've had this conversation many times i attended one of the events

that you guys were working on related to this. a distrust between botht trust sides. about the corporate side and the investor side. and whether they can trust each other to have that long-term relationship and so the question is, how do you get that and what kind of metric do you set up that sets that -- that sets up that relationship >> it's a really good point, andrew it is about trust. it's about reporting on the right things that create value and not just being able to manipulate quarter to quarter. in all honesty, it's about measuring and looking at the right things the amount of effort that goes into companies trying to make their guidance once they put it out there and get whatever they need to do to get there is not necessarily the best indicator of whether they're creating long-term shareholder value. and if you look at larry fink's letter he really points that out. jamie and warren have talked about moving away from the

quarter. but without something else to your point to create trust, if you look at the letter that jamie and warren did, they also talk about the importance of companies laying out a long-term plan and then coming up with kpis and plans that will be explicit that investors can look at opposed to just quarter to quarter. that's what this project we're doing and looking at that's what sclt which is another group led by sarah williamson looking towards a more realistic long-term measurement. so you've got a lot of effort going here by asset owner. they want better more realistic direction where the company is going. >> yeah. don't know what finally comes out of all that. i guess not much >> well, we hope so. because -- >> hard to put the genie back in

the bottle though. i want info. give me info and volatility might increase without -- you know, if you go this way, or some of the ceos are saying i want to put in a new computer system or if i want to do this, i don't want to say my earnings are going to get hit by a nickel a share based on some of the investments i'm making i'm not sure if you don't forecast that that there's less volatility if you find out later. i'm not sure how you minimize the volatility >> so joe, remember this only 28% of the s&p 500 do quarterly guidance today virtually zero in europe only less than 1% do quarterly guidance in europe slt has looked at companies that stopped issuing quarterly guidance, there's been no issue in volatility. it takes the interest away saying let's see your long-term game plan, understand what you're doing, what are your real strategic assets report that to us on a regular

basis so we can monitor whether you're trying to reach your goals. not just your short-term profitability. >> why not change the reporting to twice a year then just don't even -- i don't -- you know, i'd like to know as soon as possible if a retailer has totally screwed up what inventory they've got. >> well, you're -- >> that happens quarterly. i'd like to know monthly like we see with same store sales. i don't know what you're siayin. i'm not sure it makes sense. >> 75% of investors don't want to look at things monthly. they want longer term value. they want to understand where a company's going. externalities, increasing the accounting profits aren't reflective of value. >> i'm not sure you want to keep pitching the european way either i'm not sure that's the big bonus you're looking for that's the way they do things over in europe

i don't know that doesn't sell me >> 80% of the companies here do it >> when are they going to have a google or a facebook or an apple? i don't know anyway, we like -- we do pretty well here, i think, mark you don't want -- >> i agree that's why they're trying to do even better. i think warren's done pretty well jamie's done pretty well trying to wlook at the longer term value creation. there's no measurable standard right now. they've got to come up with something to offset just looking at that you're pointing out monthly, quarterly, profitability. need something else. >> they're on the reporting side of the ledger. they're not on the receiving of the information side of the ledger where a lot of people would, you know, everybody's got an ax to grind >> they're the asset owners. they're investors. they're investors. they are the massive portion of the companies we're looking at here we're not talking about doing away with quarterly reporting. it will be there it's just managing guidance to a

certain number that's the problem. >> let me know as soon as you know you're screwing up. >> i'll call you on a regular basis. >> all right tweet it if you just send it to me, we could get in trouble okay, mark thanks we'll see you later. when we come back, secretary of state mike pompeo addressing reporters this morning ahead of the big meeting. the latest from singapore. we will bring you that first, trade tensions rising a live report from washington this morning we'll do that next "squawk" returns in a moment let's begin.

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quick programming note a big interview on "squawk box" tomorrow paul tudor jones igoing tolive interview. that's tomorrow at 8:00 a.m. eastern time one of the great macro investors of our time commenting on all things in the news plus he has a new project that we're going to talk about. but up next, the tweet seen

around the world trade tensions rise after the g7 summit and a series of tweets fired off by the president we're going to talk about what's next in the trade battle with former u.s. ambassadorhayman back in a moment if you are looking for a house,

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welcome back to "squawk box. president trump lashing out at canada and europe following the g7 summit. kayla tausche joins us now >> just hours after justin trudeau announced the communique which included language critical of north korea and russia and on trade the countries would strive to reduce tariff barriers. but in a press conference canada said they will not be pushed president trump decided not to sign the pledge. tweeting yesterday, we cannot let our friends or enemies take advantage of us suggesting trudeau made false statements. the decision came as a surprise to the white house and republican lawmakers who urged the president to repair relations and extend to allies

but on sunday larry kudlow and trade adviser and peter navarro both said trudeau stabbed trump in the back. a spokesperson for trudeau said it's nothing the prime minister said before both in public and in private conversations with the president. this morning secretary of state mike pompeo in singapore briefing reporters on the kim jong-un summit was optimistic on the relationship with allies >> we wouldn't be in this place, we wouldn't have the opportunity without the diplomatic work being done alongside of us president trump has led an enormous coalition including the same partners to which he refer which has helped us get to this point. have every expectation that they will continue to do that there are always irritants in relationships. i'm confident the relationships between our countries, the united states, and those g7 countries will continue toove forward on a strong basis. >> a senior administration

official says the goal is still for all countries to drop tariffs though europe and canada are still planning to retaliate with new tariffs on july 1st >> thank you for that, kayla i know we'll talk more about this throughout the day. meantime, joining us now is bruce heyman he was the ambassador to canada. >> good morning. >> help us understand what you think the implications are of the back and forth that took place over the weekend and how canada is thinking about this >> well, the setup going into g7 has led to something that we shouldn't be surprised at this the u.s. put steel and aluminum tariffs nine days ahead of the g7 meeting then the finance ministers had to come out with a statement to respond to that. then the president delays his arrival, announces he thinks russia should be a part of this which is just an unthinkable thing to do the morning of the conference doesn't show up to some of the meetings on time

leaves early and then drops these bombs i will tell you one of the things that he keeps leaning to as a sunset clause that he talked about in his conversation which i think is really indicative of bad news for nafta. i think that that is foreshadowing. i don't think they want nafta. and i think that we're going down a fairly bad path now with relations. >> so let me ask about that bad path in terms of the economic implication, how do you see it play out economically? we've talked about this trade balance or imbalance depending on how you count goods versus services >> right 90% of the trade the u.s. does with canada is tariff free so with the president focusing on dairy and the dairy fees that are there -- and by the way, i think that's something we can and should work on together. but dairy represents about 0.5% of the trade with canada plus the u.s. has a surplus of $333 million so it's a fake argument to

continue to lean in on this. but the problem is he is -- you know, he's stoking the fire with this >> ambassador, it may be a very small number, but americans can look at this and say, look that seems like an inequity. even though it may not be costing us overall, when you start looking at the list of tariffs that other countries place on our goods versus those that we put on theirs, that's where people have some sympathy with it. overall it may not be hurting the american economy if you're somebody who's working, you know, in aerospace versus boeing versus air bus these are things that built up over time. when you feel like workers got left behind in places that were hard hit >> i complety agree with you this is something i brought to the canadians' attention given the fact that the overall relationships in surplus, number one. and number two, canada is our

largest balance trading partner we have in the whole world to blow up the whole trading relationship based on this small amount is wrong. but there's one other point i'd like to raise while i have you here i think peter navarro's comments over the weekend were so appa appalling and so wrong, that i think he should apologize. not just to prime minister trudeau. but to the canadian people the language he used was so completely inappropriate that a member of the administration should never use that kind of language with regard to any world leader no less our best friend >> ambassador, you look at some of the papers this morning in canada that relate to this the editorials and some of the tweets and things and there seems to be two schools of thought. one is folks who take this genuinely on its face and are upset, frustrated, angry and others who look at trump in a way as dare i say a cartoon character that they don't need

to worry about >> well, look. i think you always have to worry that the president of the united states is doing the kinds of things he's doing on trade to your best friend and next door neighbor and so i wouldn't dismiss this i will say the president has become a consensus builder of sorts. the consensus is the conservatives and liberals in canada are now all working together and universally supportive of the prime minister >> okay. ambassador, we appreciate your time thank you, sir >> pleasure. >> all right we'll be right back.

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when we come back, the fed in focus with a big set of meetings ready to begin tomorrow a special hour with the man who was widely believed to be in the running for fed chair, john taylor he will jo us next right here on set first, check out the futures at this hour. things have been very flat for the last hour and a half or so no one wants to really make a move ahead of this historic meeting. dow futures down by 7.5 points s&p futures down by 1.5. the nasdaq off by 1.5. "squawk" will be right back. about their walk-in bath.

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get ready. we could be in for one of the most news making weeks in memory on deck, a historic summit between president trump and north korean leader kim jong-un. plus a court decision in the at&t/time warner case that could have huge implications for the media industry and if that's not enough to keep you entertained, there's a fed meeting and a cision in a news conference by jay powell. getting you ready for all of it as the final hour of "squawk box" begins right now.

live from the most powerful city in the world, new york, this is "squawk box. >> good morning and welcome to "squawk box" here in times square joinsing us now is john taylor professor of economics at stanford university. good to have you here. >> good to be here >> long-time friend of the show. we're going to get that taylor rule in there one of these days. it's coming. let's check out this futures right now. they've turned negative. implied open for the dow is now down 11.5 or so. s&p down 1.5, nasdaq indicated down 8 treasury yields still in the 2.95% to 3% area >> okay. let's get to the top story of the morning president trump and north korean leader kim jong-un arriving in

singapore for this summit. michelle caruso-cabrera is there live we go to her now good morning >> good morning, andrew. when kim jong-un sits down with president trump tomorrow, he sits down as the leader of a country with nuclear weapons after a successful missile test launch late last year, many experts out there believe he has intercontinental ballistic missiles that could hit the united states. so that's why we are here. president trump arrived last night around 8:00 p.m. he arrived immediately after departing from that fractious g7 conference when he refused to back a statement put out by the other countries. mike pompeo briefed reporters. he was asked how can you trust kim yong unand how can kim jong-un trust the u.s. after what happened at the g7? >> i think the hypothesis is ludicrous. the united states has been fooled before. there's no doubt about it. many presidents previously have

signed off on pieces of paper only to find that the north koreans either didn't promise what we thought they had or actually reneged on their promises the "v" matters. we are going to ensure that we set up a system sufficiently robust that we're able to verify these outcomes. >> the "v" matters what is he talking about there cvid this is arms control lingo started under george w. bush complete verifiable irreversible denuclearizaon this secretary of state had been in the verification process. pushing out the agency inspectors they've turned off the cameras, et cetera. he says in the future they're going to have to put up front much more deliverables what could they possibly get from the united states mike pompeo said the following

broad generalties. security assurances, warm ploil relationships, and also economic support. that's what's on the table we don't know quite how far the u.s. is willing to go when it comes to security assurances the north koreans have long wanted u.s. troops to disappear from the korean peninsula. mike pompeo was asked that directly today if that's something he was willing to do he declid to answer that question back to you. >> i also liked in all the info you sent us, michelle, it's not necessarily c -- what is it? cvid the other might work you know, the other one. and we don't know whether trump will push for that that's where everyone gets rid re are some people who want a nuclear weapons-free zone as well. all of these discussions, though, require some degree of the u.s. retrenching from vosou

korea. that's always been the rub do they remove their nuclear umbrella from uth korea which is if south korea is attacked, the u.s. would use its nuclear weapons to attack whoever attacked south korea would they remove their troops would they stop their joint military exercises those are all things -- and we just don't know what we're willing to do at this point. because mike pompeo secretary of state says he's not going to negotiate in public. >> not that that's a surprise, though, right? it'd be shocking if he did lay out all those terms 24 hours before they went into these. >> no. absolutely i mean, that's their prerogative, right when the two men who can absolutely make the choices that have to be made here sit down, that's when we're going to find out. and so we are now exactly 13 hours away from the beginning of that meeting by the way, there were reports

here in singapore that kim jong-un is scheduled to leave five hours after the meeting starts so that could be an indication -- >> what? >> yes those are unconfirmed by nbc but it's widely reported here. which may lead credence that we've heard from the leader of south korea that perhaps this is just a first step, a first meeting to eventually get to their goal of some kind of denuclearization of north korea. >> well, michelle. you know, you're over there. you know the time warner/at&t thing is tomorrow. you're going to be watching us for that >> for sure. >> so you handle this. and we'll try to handle -- on any given day, that would be a huge deal. it's amazing it's on the same deal somebody got the scheduling screwed up there that judge maybe doesn't want it covered as much anyway, thanks it was long-time scheduled for the same day but kind of weird

to us it's a big deal. >> it is it's not just that it's a big deal to the whole country. it is. >> nuclear armageddon, media it seems maybe that north korea is probably -- >> you think >> probably bigger >> but without the other deal, who's going to cover it? >> you're right. >> us. >> be like a tree with no one in the forest let's bring in our guest host. and then as if the fed's going to raise rates theoretically john taylor is from stanford university when it's all said and done, the fed has been behind the curve, ahead of the curve, or just right after all this >> they've been behind but they're getting back they're getting back on track. i think the progress is so far so good. they've got their balance sheet coming down in an orderly manner it's got the interest rates rising in a way. markets are responding well. if they continue with that, they'll be good.

>> it's scary to think of anyone in that position of power flying by the seat of their pants but in this case, did we have the right people who had some very good gut instincts about what to do >> yeah. i think jay is doing a great job. got some new people coming in. john williams coming in new york and randy quarles already is a vice chair they've been working on a long time >> has the global nature of everything, of all monetary policy, has it changed in the last ten years to the extent where you look at it and say it's really not us >> it's completely changed you know, the quantitative easing spread from the u.s. to japan to other countries the normalization that the fed is undertaking now is really a global thing they're talking about what's next at the ecb, the bank of

japan. and i think it's very important to get back to the kind of policies that worked well in the past i think that's what they're trying to do there's lots of good reporting at the fed about policy rules and jay has talked about it. so there's good progress >> you say that the fed was behind the curve but is now catching up. but the consensus on the street at this point is that after this hike, maybe one more the fed's very likely to slow down and wait and see what happens. >> the fed has indicated it's going to try to do more than that we'll see what happens we're always looking remember, they are behind compared to where they want to be they're talking about an interest rate around 3% coming down as long as they do it in a way that's understandable i think will be fine >> part of the problem is they may be behind where they'd like to be or where they plan to be but they are far ahead of the other central banks around the globe.

we're probably not going to hear much about the push which means that just from a market's perspective, when our interest rates are that much higher, more buyers flood in and that puts the 10-year yield under pressure >> the international side is so important. also exchange rate effects remember the fed began this with the qe then the japanese. so in a sense, it's like bringing it back is what they should be doing. >> that sounds like our hands will possibly be tied by what they do along the way. >> there's no question so we have to watch but i think u.s. at this point is at the lead recognizes that. our normalization will make it easier also the switzerland, mexico, have to do the psalm thing it is a global issue

>> would we be much higher than we are right now in fed funds? and would that have been a problem? a policy mistake >> we'd be a bit higher. depends on what peop think but i think more important if we had not got to those too low for too longates in '05, we would have avoided a lot of the problems that's where we may not have had the mess we had. >> can we close the door on that period in history? or do we still have reckoning to deal with? i'm looking at emerging markets. if rates go up more quickly than people think we don't know what the contagion is going to be there i'm just wondering do we know whether we're in the clear now from everything we did >> i think i've been in debate

with this -- >> if emerging markets have all levered up like crazy with the low interest rates, that is a problem. then you'll say no we didn't emerge >> i think most of them would like to give back -- many central bankers would welcome the opportunity to get back to business here. >> fiscal policy, the debt is exploding. the fiscal policy is another issue. >> if it was 6% rates, can -- >> well, i don't think there's anybody talking about that now >> but there is a number that would hurt >> absolutely. that's one of the concerns of this big debt. it's going to be hard to service and it's going to be a problem

that's why we should be looking at the debt and ways to keep it from growing so fast >> what's your answer there? what would you do? >> oh. well, the main thing is to slow the growth of spending the tax reform of last year doesn't really reduce revenues this year at all so the real question is what you do about spending growth overall. and right now it's up, up, up. economists are concerned about it but it's not enough -- >> so you think it's totally suspending issue you don't look at it as a revenue issue at all >> revenues are rising after this dip with the reform, no, i don't think -- if you look at the numbers, it's on the spending side. increasing just a little bit so it's really spending. i think it's been that way for awhile it's also good for reform. the economy will work better with a better systemf social

sety and medicare, medicaid. there's room for important reforms. i hope we get to it. >> have we been held artificially low because germany's at 40 basis points yes i think there's -- this isn't a long-term rate i think there's a global market for long-term securities in fact, one of the puzzles you've seen recently is the long rates did not move as much as the short rates. talking about it on this show a lot. and i think that's a global effect there is a global market and the fed has to be concerned about that but ultimately it's the fed and other central banks that are going to bring about a regular yield curve. >> okay. you're going to stick arou>> yes i'd be happy to. >> inflation, is that real >> don't see too much at this point. it's a reason to give back to normal >> we're working four hours tomorrow >> you're so productive. >> they're ramping up our

productivity 33% in one swoop tomorrow we're holding -- we're adding the gdp and holding down inflation right here we're doing our part >> i'm glad you raised productivity it's the most important thing moving forward it's how we're moving from the crappy 2% growth to 3% it's largely -- >> capital investment though >> capital investment very important. and it's happening >> we'll talk more about productivity in just a little bit with john taylor when we come back, bringing back the u.s. steel industry jackie de angeles joins us from a plant in illinois. >> good morning. while steel and aleuminum tarifs with -- it's putting americans back to work we'll tell you why the restart of this blast furnace is so e duryt rgto u.s. steel and also thinst alae. "squawk box" will be right back.

deangelde an welcome back to "squawk box" this morning dsw reportedly outbid by privately held authentic brands in the bidding for bankrupt shoe retailer nine west "wall street journal" reporting the winner offer worth about

$350 million envision agreeing to be bought by kkr the price tag there, $46 per share. about $5.5 billion that's excluding debt. price tag goes up even more with that from hold at jeffreys.uy the stock took a 22% hit in april after facebook announced it was a dating service. but jeffreys says its research indicates users of tinder -- others plan not to commingle dating services and social media. firing up a facility that has been closed since 2013 jackie deangelis joins us from granite city, illinois good morning >> good morning to you, becky. this is really a historic moment here as you mentioned, blast furnace behind me has been idle for three years. it is starting production today. now, the company made the decision to restart this

facility in march. it takes about 12 weeks to get a furnace like this back up and running. anticipated demand was part of that decision, but also president trump's section 232 policy certainly played a key role here what you're seeing represents part of the production process for manufacturing things in this country. appliances like washing maines, refrigerators, auto products, tubular pipes. this is part of a greater made in the usa story now, the company has certainly been bullish on president trump's policies to level the playing field for it and companies it. and to create jobs in the united states putting blast furnace b back online is not only going to spur rehires here, but it's going to create additional jobs we're talking 500 people being employed in october they said they'll get blast furnace a back online. that's going to add another 300

jobs the restart here, guys, really important. it sort of demonstrates action happening in real time we're seeing what the president's doing. we're seeing rehires and people getting back to work here. while trade wars certainly are a realistic fear and we've been talking about them on cnbc every day, right now at this facility sotomayor all about morale morale is through the roof >> jackie, how many jobs are we talking about? i think i read 500 jobs when that facility came back up and running. >> so 5 hurkds he00 here. another 300 when blast furnace a comes back online. i think this is important because we've visited aluminum plants as well this is going to be the start of a larger trend of bringing these

jobs back. >> if you were to have the most optimistic outlook, how many jobs could get created this way? >> thousands not tomorrow, but certainly in the process. >> thousands of tens of thousands? because thousands is -- i'm not -- i don't want to down play it -- >> really? are you sure >> i do. i'm trying to be realistic i want to be realistic about what's going on here >> okay. just wants to be realistic >> if you're creating 200,000 jobs a month and you create 500, it's -- you know >> okay. but don't discount those jobs. they're certainly important, guys i'm saying thousands of jobs to be conservative. usually typically a better is approach but it could be tens of thousands with some time obviously we're going to have to see how trade wars play out. how this policy works in action in terms of the dynamics of the

global market. so conservatively, thousands of jobs is certainly a start for the industry >> thank you i'm glad that we're getting that >> look, on a very individual basis -- >> i think it's nice thank you for bringing that story to us, jackie. sounds great >> if you're getting the jobs on an individual basis, it's good for you. if you do the math, it gets more complicated. >> all right, all right. coming up, bfoxconn investigation. we'll bring that next. tomorrow on "squawk box," a big interview you cannot afford to miss a conversation with paul tudor jones. that's tomorrow at 8:00 a.m. eastern time

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welcome back to "squawk box. making headlines, foxconn says it's investigating labor conditions at a chinese factory used to make devices for amazon. this comes after a u.s. watch dog group raised concerns about what it called harsh working conditions they're carrying out a full probe. meantime, amazon says it's going to monitor foxconn's response. voters in switzerland rejecting a campaign to radically alter the country's banking syst it would prohibit banks from lending out more money than they have in deposits would have made it the only source for new money when we come back, are we on

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all right. welcome back, everybody. our top story today, the historic meeting between president trump and the north korean leader. we are just hearing more from the white house on plans and timing for that meeting. in a news release, the press secretary's office says the discussions between the two are ongoing and have moved more quickly than had been anticipated. president trump will be meeting with kim jong-un tomorrow morning at 9:00 a.m. local time. that's 9:p.00 here in new york tonight. they're going to be in a one-on-one meeting with trns la - translators only president trump is expected to leave 8:00 a.m. washington, d.c. time mike pompeo spoke this morning

and outlined expectations. >> president trump is going into this meeting with confidence, a positive attitude, and eagerness for real progress. he has made it clear that if kim jong-un denuclearizes, there is a brighter fute for north korea. tomorrow we will get our clearest indication to date of whether chairman kim jong-un truly shares this vision >> again, we will have this complete coverage right here on "squawk box" tomorrow starting at 5:00 a.m. eastern time. be sure to tune in for that. the world keeps turning although slowly or more quickly. your husband's been right all along. days used to be 18 hours like a couple of million years ago. now they're 24 >> seems like they're getting faster to me. >> but they're still turning and stocks are still trading and we've got north korea,ti ti warner, the fed, leisman's here.

but sempra energy shares are up. partner blueskate resources sent a letter to sempra energy to say they see opportunities to move stocks up. >> my goodness >> the two jointly own 4.9% of sempra they want to form a strategic review community and rent-a-center ended a review of strategic options after failing to find a suitable buyer. now rent-a-center says it received an increase bid to buy from one who originally put forth a bid. and southwest sharon bids in an article over the weekend southwest has been one of the

hardest airlines in which an engine broke apart and a passenger died as a result but analysts say southwest could benefit from lower taxes >> i was thinking of jonathan bush and the fact they're going to go through your garbage >> yeah, yeah. >> if you're a ceo now and elliot is on the other side. >> they play rough. >> right some new data from the cnbc fed survey finding support on wall street for the president among big negatives for his trade agenda steve leisman joins us now with the -- we're calling it timely -- >> we usually do the survey on tuesday. ly i will tell you our meeting took place last thursday and friday we asked do you approve or disapprove of the president's handling of the economy. the president's numbers remain

strong here. down statistically insignificant numbers. 55% approving. 24% neutral. 22% disapprove but then we ask about do you approve how the president is handling trade policy, and the numbers are strongly negative. people making this distinction between overall handling economy. i find this in our overall polling when we do our national polls, people approve of his handling the economy more than they do his trade policies we asked how will recent tariffs announced by the trump administration threaten aealuation seen as a negative growth and also say it will increase job growth so this is not seen as a positive among this group for overall u.s. growth. >> who is this group again >> 38 economists, fund managers. this is compared to our national surv survey >> stay right here. >> there's a guy who knows about

this. >> let's bring him into this. >> former undersecretary for international affairs among other things >> that's right. our guest host this morning is john taylor who is also a senior fellow at hoover institution and stanford economics professor john, let's talk about this. traditionally if you look at the consensus of those on wall street, what steve is talking about is exactly how they're looking at this. they love the tax cuts that came into play. they appreciate the deregulation but they are nervous about what's happening with our relationship, with our trading partners, and how we're going after this diplomatically. >> the first two parts is exactly right. the tax reform is going to be a way to increase capital and productivity that's why they like it. i think that's also the regulatory attitude that changed quite a bit. so those are all positives certainly in my view, i think that's what you're seeing in the poll there's concerns about the trade, what's going to play out.

i think you're seeing some good things happening by saying let's reduce tariffs in the u.s. and in other countries so-called reciprocity that is mentioned. but it hasn't finished there's a concern about something that could be negative >> we've many a running conversation through the breaks all morning long going back and talking about these issues whether we're in a fair position or not steve made a good point in the last commercial break. pushes back on me on some of these issues just the idea that, look the tariffs have been moving in the right direction. they have been coming down around the globe maybe we feel it's not happening fast enough. but we're risking breaking that relationship is that a good thing or a bad thing? >> they have been coming down over a long period of time that's been good for the economy. we have many people coming out of poverty who have benefitted but it's not enough. and there's this reciprocity event that president trump keeps talking about. if you export a car to china,

25%. car coming into the u.s. from china, 2.5%. how are you going to get that down to try to get tariffs down all the time over the weekend, there was talk about even kind of a zero for zero type of thing >> when you were at the g7, this 270% dairy tariff existed. why didn't you escalate it to the point of the most important thing in the relationship? >> well, it's a good question. i'd say there were other things on our minds but you can do better. that's one of the things they're trying to do now how do you deal with a world where tariffs for u.s. exports are higher than into the u.s.? >> what if the dollar situation is that we export five times more dairy to canada than they import here? is that an unfair relationship >> well, they're different sized countries. all sorts of reasons for that. the main thing is this is an effort, i hope, to get towards a better, more free trade thing.

there are free traders out there trying to get there. and so that's what you want. >> i disagreed -- >> do you advocate the approach though >> no. i don't. we'll see what happens there's a lot of things about how you get there that you can question i've been doing this a long time the goal is to get a better economy, stronger economy, faster growth. how you go about it. it's all different strategies. you've got to keep to that >> what about the issue just about the relationship itself? >> it's worrisome. worriso worrisome. all the g7 meetings i've been to, you want to make sure diplomacy is working right you're thinking positive things. so the strong by the negative side does not seem helpful to me >> is it potentially we're in a position of being able to have the luxury of focusing on these things because if you look back historically at these trade negotiations, they've also included things like trying to protect national defense or other things we've been

concerned about doing. maybe we have the luxury of being able to focus on the economy. that could potentially change at any point. >> the tie from nationalsecurit important. one of the reasons you're seeing progress in korea -- that's one of the reasons you're seeing progress the fact that we may help and other countries might help north korea if they make some changes in economic help >> trudeau has made the point of tying this back to when canadian forces went into afghanistan is he right to do that >> no, there's so many relationships. i think canada is an important ally in many dimensions and you don't want to forget that. and i think there's things that blow up. i'm unhappy with the way it happened, but what went on inside the room? what discussions were there going on about maybe we can all go to lower tariffs. >> the trouble with that is there's no support for it.

economically maybe it's not moving fast enough, but politically it's moved too fast. one of the great failures of the economics profession at least when it comes to their political ear which is a little bit made of tin is that they have not either registered or otherwise thought i think hard enough about the economic fallout from some of the trade openings that have happened. i just think there's no political support at this point. and i think one of donald trump's great things he did was to hear that sort of cry from the public about the impact of trade. and i think in another case, wrongly blamed the problems on trade. i don't think they stem from there. >> generally speaking, economists talk about gdp growth -- >> right >> there are people hurting in the central valley california, ohio, kentucky, all sorts. so faster growth is huge

trade is huge. let's not gerforget where you started your survey. i hope it delivers faster growth we'll be set if we get the trade set. >> he's gointo be with ue rest of the hour thank you. >> that was a nice ending, john. made me feel happy in the midst of all this. comie ining up, leslie pick with a conversation about the pay gap, gender harassment we'll sit down with the woman suing one of the largest hedge ndcongp ghafr e break. if you are looking for a house,

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welcome back to "squawk box. german -- germany -- german buildings maker has decided to buy ususg. warren buffett's berkshire hathaway owns 30% of usg and supports the transacon >> is that stock still trading if they've agreed to the deal, management's agreeto the deal, buffett's voting his one-third of the shares, $44, stock still only at $42.82 >> do you know if it's knauf >> i'll leave the "k." if they leave it there, i'm going to keep it

lauren bonner has been dubbed the face of me too on wall street after suing steve cohen for gender discrimination. our leslie picker sat down with her for her first tv interview >> that's right. what makes this case unique is bonner's role with the information she says she has at her fingertips she runs point72's analytics saying she has much information about the employees. >> so i see all the relevant talent data about investment professionals. which means i see things like female candidates coming out of college have to have gpas and s.a.t.s that are 20% to 25% higher than their male peers to get the exact same job i see all kinds of data at really every stage

>> what was the final straw for you that caused you a file >> it was hearing other women's stories. but it was also being there and knowing that these other men who have less and worse objectively experience getting paid double and triple what i'm making and then seeing these other women who are -- have great talent contributing significantly to the firm, getting passed over, getting sidelined, getting demeaned it just really hit my limit. >> i think a lot of people in your position would have just quit what was it that made you say, no, i want to see this through, i want to go find a conclusion here >> i tried to make change internally i just couldn't let it go. i couldn't walk away from the

problem. it's too important it's been going on for way too long and i just couldn't help but fight it >> c you describe for me how you define the culture at point72 and ways in which you are uncomfortable as you laid out in the lawsuit >> i think it's important to share so pow there's a purely data driven case. i also thought it was important to bring other stories that bring color to the environment 37 -- so people know what it's like to go near the president's office with the word "pussy"

written on the white board above his head i think it's something to know when a male colleague offers up his assistant for sex to another male colleague i think people need to understand what that feels like and how absolutely degrading it is to try and feel like you have a professional presence when this is clearly how women are viewed >> bonner says that sexual harassment and the wage gap are a form of gender discrimination because they make women want to leave the workforce. in a statement to cnbc, a spokesperson for point72 says contrary to ms. bonner's assertions, this lawsuit is replete with allegations that are false or based on unsubstantiated hearsay and that she never brought to the attention of firm management point72 goes on to say that the firm was already addressing the underrepresentation of women and minorities with a series of initiatives designed to recruit

and support them before ms. bonner was hired but instead of working with us constructively to advance our goals of diversity and inclusion, ms. bonner demanded $13 million and sued when that demand was rejected. >> we were just talking about this normally when you have a whistle-blower like this, it is somebody who is either fired or who leaves the company she is stillpoint72? >> she has been at point72 in the 120 days since she falled this lawsuit from my understanding, she went into work this morning >> couple of other questions they're saying that she asked for $13 million and didn't get it what does she say about that >> her attorney declined to comment on that figure >> is this considered a class action behalf of all women at the firm or is this considered a specific -- >> it's a specific case. yes, filed in federal court. the other thing we got into -- >> how much did she say she's seeking? >> they don't disclose any damages that she's seeking in the case.

>> do we know how much she was being paid or is being paid? >> i believe about $450,000. in 2017. that was compensation and bonus. it's expected to be higher this year >> i mean, every firm has somebody who knows what every other person in the firm is makingshe s that point person t? >> exactly every firm probably has multiple people with access to this data. only if you sit in a seat where you can have that kind of broader purview of what's going on can you even try to make a case like this now, it'll be interesting to see what exactly is born out in the evidence point72 is trying to force this to go into arbitration so far a judge hasn't ruled on as to whether this case will continue to be in the public eye or whether it wille in arbitration. if it is in the public eye, we'll have a much better sense of exactly what kind of evidence each side is able to compile here >> leslie, thank you okay when we return, we're going to go down and talk to our friend jim cramer at the new york stock exchange tomorrow on "squawk box," you

don't want to miss this. a big interview you can't afford to miss. a rare conversation with legendary investor paul tudor jones. he will be with us at 8:00 a.m. tomorrow exclusively we'll be right back. dor jones. he'll be with us at 8:00 a.m. tomorrow exclusively

we'll get down to the new york stock exchange jim cramer joins us now. the world continues to turn. even though north korea is on, you know, everyone's mind and we're looking forward to the at&t/time warner decision tomorrow, as well. what in the micro world, what have you seen today that strikes your fancy >> well, i think that there are a bunch of just pure reiterations that are driving the market i saw a reiteration from dart. and then we got the envision health care bid. what happens is we're getting bids we're getting people talking about stocks being too cheap stocks continue to go up sonic overrun the piece target match has overrun people's price target what happened is we struggle to try to figure out how to

integrate north korea into the stock market say that have very little to do with each other. north korea is a political sorry. we would love to make it into a stock story. we struggle to do this but they just don't mesh because they're important but they don't up to a higher or lower stock market. >> jim, i want to ask you about emerging markets it's starting to feel kind of interesting. what is going on there we'll see if it continues to be a story. we'll see you in a couple of minutes. >> thank you and tomorrow "squawk box" will be live one hour earlier. the full coverage of the historic meeting between president trump and kim jong-un. i'm looking forward to getting off at 8:00 a.m. tomorrow! tomorrow starting at 5:00 a.m. or are we working until 9:00 >> maybe 11:00

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♪ tech jumped over 5% in the month of may after similar gains, the sector tends to cool the following month. dropping over 2% ihop has a new name, at least for the being. the international house of pancakes will be known as ihob i thought it was for breakfast house of breakfast it's for burgers and it's betting on breakfast

and dinner with a new line of steak burgers. >> we've got them here. >> we do. >> need to be tried. at least a bite. >> you going for one >> at 9:00 a.m. >> are you cool with the new name >> ugh, i don't know i'm cool with this in about two seconds. >> i don't know. >> you like pancake. >> it's hard to change an iconic name. >> yeah. >> pancakes and burgers maybe but i don't know you mentioned block chain. john taylor senior fellow and professor of economics at stanford university. we haven't talked about block chain and bitcoin. >> i think it can be promising to stabilize the prize that's what i think.

trying to see if they can find a way to do it but i think it's a promising thing in the future. we're not there yet. >> a lot of folks in the valley are excited about bitcoin and the theory is there a particular currency you have a take on >> basis is theway it's been going to go. the main thing to find a way to keep the price from being so volatile. >> what about the regulatory aspect in washington there's a different take. >> of course this is the centralized thing. one of the things that is interesting about this you mentioned silicon valley, it's a thing that is more decentralized compared to artificial intelligence i think it's quite exciting. if we can find a better way to organize. >> you don't think that whatever the currencies has to be regulated by the fed >> let's see what happens. at this point, the hope would be you do have an exchange which would require much less regulation that's the goal. and that's the hope. wel see what happens

it's not there yet. >> okay. great to see you thank you for hanging out with us. >> thank you for being with us today. remember join us tomorrow at 5:00 a.m. when we start our coverage of this historic meeting coming up. thank you very much for being with us today. tomorrow the north korea summit. again, that's it for "squawk box" today joe is about to take a bite. quick, take a picture! right now it's time for "squawk on the street." >> good morning welcome to squawk on the street carl quintanilla with jim cramer david is off today busy week ahead with the fed, the ecb, the boj, and the u.s./north korea summit. europe up on reassuring comments from