financials, in the red we're doing it with the leadership of industrials. so we'll see if we can pull this going into the close are you looking for the bourbon? >> it is gone. >> there's no more bourbon here. time to go it's friday. thank you both for being here. thanks so much for watching "power lunch." "closing bell" starts right now. it is time for "the closing bell." big banks kicking off earnings today and the stocks are underperforming. we'll talk to the cfo of wells fargo in a first on cnbc interview. i'm michael santoli. at any time downgraded today i'm wilfred frost in london where it has been a roller coaster day for the president. he started by undermining his host the prime minister and then backtracked and promised her a free trade deal. onto tea with the queen all against the backdrop of record

protests against him a full summary coming up as "closing bell" starts right now. >> wilfred opening for the clash. >> welcome to "the closing bell." we'll get to all those stories in a moment but first a check on the markets. dow best in five s&p 500 breaking that 2800 mark. first time we've seen since march. a close above that would be significant. >> meanwhile let's begin today in washington and the sudden news of those indictments of those russian intelligence officers kayla with the details. >> it is the second round of

indictments related to criminal hack of democratic campaign servers during the 2016 election these officers allegedly sent malicious links to democratic employees and obtained passwords to user names to hank into clinton, dnc and congressional servers. they used aliases to up load and publish the documents they obtained and then they mined bit coin to pay for the operation. this was paid for by special counsel robert mueller and announced today. and brings the total number of russian nationals indicted to 25 the kremlin for its part says the two countries will discuss the facts of the election hacking if there are any at the meeting between the two leaders on monday. and democrats here in the u.s. say the meeting should be canceled altogether.

>> if he and his team are not willing to make the subject of this indictment of russian interference a top priority in the helsinki meeting then the meeting should be canceled >> president trump who was briefed on the charges earlier this week said today he discussed the election meddling firmly with vladimir putin >> i'll tell you what i'm going to do. i'm going to talk to him about that before you. and if something happens it'll be great and if it doesn't happen -- i'm not going in with high expectations but we may come out with some very surprising things >> the topic has come up it should be noted at multimeetings alvarious levels include the highest level in the past. vladimir putin has always denied it back to you. >> do we know, kayla, if the president was made aware of these indictments before this afternoon, before they hit the wires? >> we do the

the deputy toench rod rosenstein said he briefed the president earlier. and he wouldn't comment if he supported the doj's move, the special counsel's move of this indictment, only they would present the evidence of the case as it stands >> interesting timing. kayla, thank you very much >> the news of those indictments did come out at the same time president trump was meeting with the queen of england wilfred? >> reporter: hey, sara yes indeed it's been a roller coaster 24 hours for the president here in the u.k. particularly late last night when that bombshell interview he gave to the sun interview hit and lowered the tone between him and the prime minister particularly in the part where he apparently suggested he would rather have the former foreign secretary who resigned this week boris johnson as prime minister over theresa may

in a press conference at checkers alongside the prime minister he put that straight. >> they asked about boris johnson, i said, yeah, how would he be as a prime minister, he'll be nice a prime minister he's been great to me. and also said this incredible woman right here is doing a fantastic job, a great job and i mean that. and i must say that i have gotten to know theresa may much better over the last two days than i've known her over the last year. and i think she's a terrific woman. i think she's doing a terrific job. >> he went from checkers to have tea with her majesty the queen at windsor castle. now, the queen, of course has now hard power but what she has in abundance is wisdom is respect. she also has impartiality. the president became the 12th president to meet with the queen. five democrats, seven republicans. he doesn't take any sides.

and she will have tried to use that mixture of independence and respect to get a message across to the president that really resonated, a message no doubt given to her by her prime minister theresa may now, that positive improvement in the tone throughout the day was only half the story. the other half was protests. a record number of protesters, in fact, here in the u.k. for any visiting foreign leader. the protesters were addressed as well by the leader of the opposition labor party, jeremy corbin, who said he thanked them for their believes in hope, democracy and unity. guys >> wilfred, as far as big take-aways for investors i guess it's the fact that prime minister may and president trump really confirmed in their news conference that the elusive bilateral trade deal is back on after the president threw some

doubt over that in the interview. >> absolutely right. and we're going to take a bit more about that later in the show but that was a key issue for the prime minister coming into it. and of course that bombshell interview with the sun we mentioned earlier also poured doubt whether it was possible. the press conference seemingly recovered some hope that might happen but there are many, many ifs, many hurdles before that can be reached not least with the prime minister domestically in her own party in pushing through her vision for brexit. >> overall i thought it was pretty strong show of friendship, camaraderie, and almost overcompensating for those negative headlines and matching boots >> the press conference certainly went a lot better than perhaps it could have done relative to the tone of the sun

interview. but there was a lot of damage done with that sun interview and the reason why is prime minister may was not one of the protesters in nato prime minister may was relatively speaking one of president trump's biggest supporters compared to many of the other european leaders she laid out the red carpet and pulled out the stops to try and make him feel welcome, try and charm him. and just as she was vag dinner at the palace last night these headlines came out and it was certainly awkward. she is going to be very much under pressure monday morning as to whether she could claim this visit was a success. she invited him, she spent a fortune on it, and the opposition and the labor leader and the mayor of london have criticized it every step of the way. >> thanks for your work over there. we'll talk to you later in the hour and turning back to the markets, finances some of the

worst performers today this morning. >> we told you yesterday about the low bar that bank earnings needed to please investors and yet they still fell short. citi has taken the hardest hit today even though citi saw a big pick up from its equities part of the trade division. drag down results on citi attributed that weakness to secure ties products wells fargo earnings still under pressure from its sales practice scandal. both revenue and profit declined in the second quarter and it missed estimates mortgage revenue was also weak than other banks thanks to rising interest rates. jp morgan was pretty solid with net income and growth in nearly all the metrics. chairman and ceo jeremy dimon

saying there are very few potholes out there both jp morgan and citi addressed the trade war in their respective call saying the trade war has yet to really hurt them. but executives there at each of those banks are following the developments closely, guys >> yeah, leslie it's interesting. we did see wells fargo shares kind of firm up during the course of the day even though the company seems to still be in the penalty box. >> i think the sentiment surrounding wells fargo shares have been so negative that any kind of bright spot that investors can garner from those earnings, they're latching onto them and sending those shares higher as we've talked about time and time again the sector has really bip beaten down. overall the environment for banking is helped by the current

environment. so perhaps, you know, we could see things turn around over the next couple of months there. >> all right, leslie, yes, certainly seems they have the table set. coming up in just a few moments we will be joined by wells fargo's cfc. let's talk about this market today and for the week joining the closing bell exchange for this friday is rick riddell, keith bliss, and of course rick santelli at the cme group. keith, the negative reaction in financials to what was seen as better overall earnings especially a stock like jp morgan after what was a blow out almost 20% earnings across the metrics, what does that tell you? >> financials have been lagging in the market all year the kbw bank index has been --

the other thing that's really impacting where you see the financials being impacted just look at the small cap index. the biggest constituent group in the russell 2000 are financials. wells fargo as a big megacap bank would closely match the businesses of a lot of those financial companies in the russell 2000 that's why you're seeing that index lag. the russell 2000 i think holds the key to where we go from here if we can get back to the all-time high around 1706, 1708 on an intraday basis we can break through in this market but they hold the aggregate. >> what's keith's mentioning here about concern over the yield curve, the shape of the yield curve and the fact that banks are underperforming that normally in other market environments would have people wake up and say wait a second, are they trying to tell us that

the markets as a whole are on thin ice where do you come down >> i think that's right, michael. and i think if you look at the underlying drivers of the u.s. economy, the u.s. economy is in a very, very good place right now. certainly the yield curve is an area of concern for financials but you're looking at a second quarter gdp that's expected between 3.8, 3.9%. that's pretty phenomenal growth. and if you're looking at the earnings growth for the s&p 500 you're looking at high 20s i think it's a very conducive environment for the vast majority of sectors for the s&p 500. i think the financials have a particular problem associated with them, you know, associated with the yield curve particularly the larger cap financials if you look at some smaller cap financials that are more domestically focused they haven't had as much a tough a time with it over the course of the year i think we remain pretty bullish on ecties coming into the second

earnings season. i think investor sentiment has been a bit on the negative side and i think from a valuation standpoint if you look at where the s&p 500 trading about 1600 forward that's in line about the average and slightly below where we've been the past four years >> rick santelli, listen to jeremy dimon on the call saying that the economy is especially good in the u.s., and those trade fears are effecting psyches but not really the economics. >> i think the bond markets are telling us a mixed message i think the long end is telling us that global growth and the central bank subsidies, both of those have to be studied i think other economies like europe and dhichina are in the x

to some extent not only based on our fed, which is trying to normalize but based on the activity of other central banks and the fact they failed to normalize this week we're basically unchanged, up four bases point in twos, maybe the message of why some of the financials are weak generically i think your two-years are the best gauge to pay attention almost as an economic indicator if you over lay a two-year top over the s&p since june it leads me to my next point. i love weekly closes and today's weekly close in the s&p as long as it's above 2786, that was june high, to me it's break out country. i think the s&ps are going to lead the way to some extent next week we're now at the highest levels

on a closing basis since first of february, end of january. and when i look at the two-year notes and s&ps i think i'm certainly glad i'm not j. powell intraday everyone's looking at 2800 i like closes. closes really give it to you if you went with the break out when happened tuesday, weekly closes really should be prioritized. >> well, that's why we have a show called "the closing bell. and rick santelli, thank you and we are 44 minutes from the closing bell today we are clinging to those modest gains. 144 points on the dow. up next the bank's cfo joins us to discuss his plans for the turn around. and despite the just department filing an appeal at&t's ceo telling cnbc today he

is proceeding full speed ahead with integrating its acquisition. we'll have highlights of that interview and some analysis around the stock coming up are you ready to take your wifi to the next level?

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welcome pack to "the closing bell." about 40 minutes until the bell. you see the dow industrials up about 0.4% the s&p barely clinging to a gain above 2801. that would be the highest close since january 2006 shares of wells fargo are lower after the bank fell short of expectations on earnings. revenue in line with expectations, a few misses under the top line the 11% decline coming after the bank reported a $1.1 million charge related to regulatory matters and taxes. >> in a first cnbc interview we're joined by wells fargo's cfo and also member of the global cfo council and john, good to see you.

>> thank you thanks for having me >> so we're talking all day about the results and the market's reaction to them. you know, taking in aggregate, it's a picture of at least for this quarter a bank that was a bit in shrink mode obviously the deposits were down what's your message to wall street where that goes from here was that a result of the things like that on the regulatory front or other things going on >> there are a variety of deposits that roll down in the second quarter cyclicly. on the loan side we're growing in the areas where we want to be growing in business loans, first mortgage loans, credit card loans. there is some commercial real estate categories where we've been a little bit more cautious and that's slowed down auto is something we slowed down

a few quarters ago and we've got some legacies that unbalanced, shrunk the loan side a bit this quarter but there's loan growth where it could be and should be we've got plenty of capacity to grow more loans if the market gives us good risk reward. >> how much of it is, john, related to fall out from the fake account scandal a few years ago? whether it's reputational harm to the business or regulatory payments >> yeah, so there are some loan categories that were slower to recover over the last year or so because we weren't getting the type of referrals out of our branches that we historically would have whether it's first mortgage loans or other personal loans and lines and even credit cards those actually look pretty good year over year in terms of their growth rates so i wouldn't ascribe it to that some of its where we are in the

cycle for rising interest rates and both high net worth as well as corporate customers putting what would have been bank deposits in money market mutual funds or cash deposits or companies just spending some of their cash as they grow a bit in the first quarter in terms of how the balance sheet looks i don't want to ascribe much of it to the account problems of 2016 >> you mentioned where we are in the cycle as, you know, one input for how the quarter went i do wonder about how investors are viewing that for the banks rights now obviously the entire group has been an underperformer and it seems there's an overlay maybe this is as good as it gets for quarter losses and on the deposit side, having to compete a bit more for customer deposit so is that the case right now where things are going to get

tougher right now or we have a good runway? >> going into the end of the year most banks were priced in terms of tax performance i would say on loans credit has never been better. and see while it doesn't look like that's going to change in the very near term you know through the cycle in last periods they're probably likely to be higher for everyone than they are today on the deposit front, especially for big banks deposit costs have remained very low especially among core consumer deposit franchises versus where most people would have expected them to be at this point in the tightening cycle so there's been a relative outperformance on that front and while i don't see that abating or correcting anytime soon, that advantage is still there. if you're thinking about mean reversion or other long-term performance characteristics

you'd expect deposit costs to be higher so having said that, the transactional activity in our business, credit card activity, debit card activity, both of which are fee generating new account creation with people who call us their primary bank have been growing nicely, first mortgages growing nicely there are still a lot of strengths. but on loan growth i would say most kucustomers have remained bit wary of cash leverage and it doesn't feel at all like it did in 2006 and '7 >> what was the thinking there was it because you can't use your capital because of restrictions on the balance sheet growth >> yeah, so we had our capital plan unobjected to a couple of weeks ago and we're going to be

returning $24.5 billion through the next threw quarters. we earn and generate a lot of capital. so we've been accumulating excess capital for a long time our risk weighted assets haven't really changed much and won't change with or without the feds asset cap. and so we've managed risk weighted assets well we don't have very fast loan growth or other risk weighted asset growth just because of the risk reward of the environment we're in have a lot of excess capital and we'll be returning it over the next four quarters >> investors have certainly been looking for that among other things thank you very much. >> stocks are underperforming with bank of america which reports on monday. shares of citi group are also

under pressure today on the heels of its earnings. we'll get some reaction from the ceo mike corbat in a cnbc interview on monday on the closing bell right here merchandise. luxury car brand aston martin looking to add car models live report on that next thanks for the ride-along, captain! i've never been in one of these before, even though geico has been- ohhh.

ooh ohh here we go, here we go. you got cut off there, what were you saying? oooo. oh no no. maybe that geico has been proudly serving the military for over 75 years? is that what you wanted to say? mhmmm. i have to say, you seemed a lot chattier on tv. geico. proudly serving the military for over 75 years. you ok back there, buddy?

shares of cisco dropping

this afternoon on a report amazon web services is developing its own network devices. let's bring in cnbc's john fort. >> the 4% plus drop is no joke and it comes at a time when amazon is increasingly moving into more mature enterprise technology market. so what is this really about data center switches well, it's a $14 billion market. these are hardware devices mostly used at the data center level to move data traffic between one destination and another. it could be used to move data between a customer data center and amazon's cloud now, there are already very cheap switches out there, what are called white box, no particular label on them they all often use broadcom chips. so it's an area that makes sense for amazon to move into

especially as they've been attacking oracle in the mine center, and in this case cisco makes some pretty nice margins off of network equipment however, we're likely to see counter moves from the network equipment makers trying to tie the switches into the broader ecosystem saying, look, this isn't adjust a one off piece of equipment. we have security and firewall capabilities built into these things but this also continues a trend with megascale providers also microsoft and also google and increasingly making hardware at first to make sure their data centers and clouds work as efficiently as possible. if we see them start to offer some of those products out to third parties we could end up with a whole different type of ecosystem war with those players that started off in software and

internet starting to compete more in technology >> it's interesting almost like amazon's -- >> amazon came out with amazon handmade about two, three years ago was supposed to take down etsy. that didn't really happen. they don't succeed at everything so everybody shouldn't assume everything jeff bazos touches turns to gold immediately. there are a number of companies including vmware, ibm that have at least managed to hold them at bay well >> very knowledgeable on all things servers and amazon. meantime luxury car maker aston martin could be gearing up

to go public soon and the new suv that will be hitting the roads next year. phil >> reporter: yeah, sara, can you hear that? oh, boy, if you love ultra luxury performance automobiles this is the place to be we are at the headquarters in england. sets you back a cool $273,000. despite the price tags which are up there sales have been robust for aston martin in fact, last year they had their best sales in a decade and revenues topping a billion dollars for the first time and thenbrings up the question should this company go public? and people point to one example why aston martin would do well if it went public and that example is ferrari up 50% in the last year when the rest of the auto sector has done

diddly-squat for the ceo he's doing very little to say whether or not the company will go public >> naturally you're seeing a significant increase in the basic value of the company, and obviously my shareholders are pretty pleased about that. >> andy palmer has got to weigh in whether or not aston martin should go public at a time when there's a lot of appetite out there for a luxury brand like aston martin guys, wave been here all day long, it's been wonderful. but i have to say the best part about this is driving these cars so with that i have to wish you a good weekend >> well-done >> aston martin pretty trusting. let a guy from chicago driving >> and doing a whole tv report in the process >> good for him. now time for a cnbc news update. here's what's happening at this hour, the u.s. army's new

headquarters will be located in austin, texas. department defense officials making the announcement at the pentagon saying the new headquarters will focus on how to modernize the military. >> the army will relocate army future headquarters in austin, texas. it not only possesses the talent and access to partners we are seeking but also because the quality of the life our people desire and the cost of living they can afford. an outbreak has the department of illinois public health investigating link to mcdonald's restaurants anyone who ate a salad from mcdonald's in midmay is being asked to watch the symptoms. mcdonald's has said they'll stop selling salads at restaurants until they can switch to another supplier leaving just one store open

in the u.s. and that store is in oregon which says it has no plans on closing anytime soon. that's the news update at this hour i'll send it back to you guys. >> who knew there was a blockbuster left 25 minutes to go here before the closing bell dow is up triple digits, 102 nasdaq after hitting an intraday record is around the flat line, so is the russell. >> at&t stock not really helping the overall market down nearly 2% today after the justi justice department once again tried to put the brakes on its acquisition of time warner two top analysts are going to weigh in on on the government's move coming up on "closing bell."

today has been president trump's second day in the u.k. he held a news conference with prime minister may this morning in the london area where trade was in focus he has arrived there in glasglow, scotland where he's going to be spending the night i believe before heading onto helsinki hey, wilf?

>> hey, mike, yes indeed the big topic of this summit coming into it was could theresa may get a u.k. trade deal. last night he seemed to suggest not. he even criticized prime minister may negotiation strategy with the eu then today he threw her a lifeline in an apparent change of tone, and she jumped on it. >> the only thing i ask of theresa is that we make sure we can trade, that we don't have any restrictions because we want to trade with the u.k. and the u.k. wants to trade with us we're by far their biggest trader partner and we have just a tremendous opportunity to double, triple, k quadruple that >> there'll be no limit on the trading we can do around the world once we leave the european

union. >> now, while they now apparently agree it remains to be seen whether tutheresa may can get the agreement of her own party. and already on that note the hard brexiteers in it have tabled her amendment on the brexit bill. there will be crucial votes on that next week servings a reminder the political tightrope she has to walk. >> the pound has barely moved this week. maybe there's nothing fundamentally different about her leadership and the brexit plan >> shares of at&t are lower today after the government says it will appeal its merger with time warner. an analyst's reaction how this could impact the stock, that's next and on wednesday cnbc will host its annual delivering alpha conference on the agea, svendte bannon.

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the u.s. justice department says it will appeal a u.s.

federal judge's approval of a the aquasition of time warner. >> we think the likelihood of this thing being reversed and overturned is really remote. it's a very narrow path that would have tee boo traveled to get this thing reversed in anyway the merger is closed we own time warner we feel really good about the assets we got, the great brands we got in terms of overhang of the stock and uncertainty, there's not much we can do about that except work it in the court. it's in the hands of the court now. >> speaking of a stock overhang earlier today roman james downgraded at&t to market perform from out perform frank louten the analyst behind that downgrade and jones us now and also with us is amy young. good to see you both thanks for being here. >> thank you >> frank, you're thinking essentially that even though it's unlikely, perhaps, that the

government is successful in overturning this merger at&t stock looks like dead money from here >> yeah, i agree we thought the government had a weak case to begin with. we were telling investors they would win and we were correct. still, the stock kind of trades flat and if you've got another sikts to eight months in this process maybe it's five months but either way that's a significantly long period of time for this stock to trade flat we think the deal is very positive for shareholders. but if you're looking at this through a time frame in the stock guidelines it's very difficult to recommend this as a stock. >> amy do you disagree >> i agree and disagree and believe it's an overhang for the next five to six months. i think it's cheap and obviously trading at less times pe with a 6% dividend yield or even higher and i think they have a good fundamental story they're able to tell with or without time

warner >> amy, you know, it's interesting. we asked randall stevenson, you know, with this appeal change the way you run the business in other words, might you be not so quick to raise prices or bundle time warner content with at&t data services and he said, no, we're going to run the business same. but do you think there's a risk for appearances sake they may change things in the next few months >> i think they've been forward with what their intentions with time warner have been and messaged very clearly to the investment community about a year ago you know, they raised energies already on time warner and thinking about increasing the profitability and access of even hoeb >> franjust the fact that the government is going to appeal this decision, how does it

change the trajectory for any other companies that are involved in bidding and deals? >> well, i think it's going to make it more challenging the fox board is probably going to have to give this some more thought if another potential suitor -- you really need to wait to see how this at&t deal turns out for them and of course that pushes it back i think comcast has the ability and will make another offer that's going to be higher somewhere in the mid40 range i definitely think they are going to put out another bid i think the market is expecting them now to maybe back away. i don't think that's the case. i think it makes a bit more challenging unless the bid is a lot more attractive than what it is now but they definitely can pay more than what disney has offered and they definitely will i think >> amy, do agree with that one of the inferences is perhaps

they might put down a deal that challenges down the road >> i think the other deal that investors are weighing and looking at carefully is t-mobile and sprint obviously >> do you think that's going to be a challenge >> i would say the stocks are probably pricing in a 50/50 chance this deal gets done, and with the surprise curve ball from the government last night the probability is probably a little bit lower nowch >> the rules seem to be rewritten as we speak here so thank you for your perspective on this. >> and by the way you can watch that full interview with at&t's randall stevenson online right now on cnbc.com. >> maybe in 11 minutes maybe not right now. >> oh, yes after the bell >> dow is still up about 91 points, s&p 500 sitting right at the 2800 mark it hasn't been at

since about mid-march. nasdaq and the russell 2000 just about flat johnson & johnson getting a hefty fine in the talc case. we're going to take a closer look when "closing bell" returns. commissions for stocks, $0.50 options contracts? $1.50 futures contracts? what about a dedicated service team of trading specialists? did you say yes? good, then it's time for power e*trade. the platform, price and service that gives you the edge you need. looks like we have a couple seconds left. let's do some card twirling twirling cards e*trade. the original place to invest online.

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welcome back we are here at post five posting up johnson & johnson usee the stock down only about 1.6% right now it was down a bit earlier after we got that news yesterday, sara, that a jury in missouri has awarded $4.7 billion to plaintiffs involving talcum powder a jury found that perhaps it did cause cancer in some women and there's thousands of cases like this. the company is essentially saying the science is wrong, which this decision was based. it's inconclusive and they're fighting it. but clearly the market for a $300 something billion company is wary. >> i think this was the biggest fine that was awarded. >> tremendous punitive damages of course juries can be

unpredictable. but it's something they have to on an ongoing basis challenge. >> they're saying they were deeply disappointed and it was an unfair process. >> it's going, i mean decades back some of these claims. we had one attorney saying look we really think this could be overturned once this kind of science get highlighted to their liking >> for j&j part off the low of the session. >> we're going to back to the closing count down after this. and then we're going to take you back to london and check in with wilfred as president trump touches down in scotland for the weekend. and also going to hear from the mayor of london. ♪

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and how it's performing. so you can spend more time floating about on your inflatable swan. [ding] welcome back three minutes until the "closing bell." for the day and the for the week the dow industrials up back over the 25,000 mark. the s&p 500 sitting on about a 1.5% gain for the week up just a few points today, just four pints it is now trading above this 2800 level the significance there is this is the fourth rally we've had since the correction since january and february when the s&p has made a run at this 2800 level, and it's never been able

to mount it or stay above it it would mean the highest weekly close for the broad index since january 26th which was the day the market the peaked. so it seems this correction process, at least we have a glimmer it could be rounding out to some kind of conclusion to the upside obviously you can't just put it in the back and we're going to get to the old highs >> speaking of the banks, that's what we're looking for and i think the response in the bank stocks today is not really good enough i think the loan growth in jp morgan was good. but elsewhere kind of disappointing. that's where i was looking for a surprise didn't really happen so we're going to have to live with that. we're up 1.5% for the week s&p, nice. best levels essentially since january. we saw the vix moving down here, essentially at the highs for the

s&p and the lows for the volatility index we saw the highs on the big faang names. that's what really powers you here you've got amazon, google, facebook sitting at new highs, in some cases historic highs. >> you mentioned the banks underperforming and some criticism that the markets seem uneven >> and this week we saw industrials moving forward, materials doing a bit better i'll tell you on monday what i want to see. i know you don't pay attention to jp hunt, it sounds boring but they move stuff around, and not in the united states they get about 65% of their revenues outside the united states if anyone will see any kind of global slow down because of trade wars that will be them

i was encouraged that they said right now there's no -- >> thank you very much have a good weekend ringing the closing bell here at the big board abb limited. and the second hour of "the closing bell" starts right now sara welcome to "the closing bell." i'm sara eisen in for kelly evans. let's take a look at how we're finishing up the day and week on wall street. the dow closing up almost 0.4% and nasdaq closing at a record high this is the s&p 500's best close since february 1st it's the dow's best close since june am, and this is the best week in over a month for the dow. president trump praising prime

minister theresa may today after criticizing her in that interview with the sun he had some harsh words for london's mayor and also an interview with him coming up and shares of netflix finished today but the prices doubled in 2018. let's talk about this market and rally we have to finish the week biggest winner in the dow this week was disney while cisco was the biggest loser. over in the s&p 500 ca technologies was the big winner of the week and broadcom the acquirer of ca technologies the biggest losers that was the story yesterday evan, the market climes the wall again with trade concerns and with a really strong week. >> the market right now there are two big questions will there

or won't there be a trade war and if so what magnitude and the second is why is the yield curve so flat. and the market, the equity market for whatever reason is seeing -- is finding answers to those questions that it's happy with it's basically saying there will be no trade war. and the fact that the yield curve is so flat is not an indicator of future economic troubles ahead and those two answers is the only reason why -- you know, if you answer either of those questions to the negative the market should not be over 2800 on the s&p 500 >> jeff, weigh in on that. we obviously have had some parts of this market that did get punished pretty harshly based on those fears of potentially an open ended trade war and the flattening yield curve has been kind of an overhang at least psychologically for a while but it hadn't necessarily been flashing red. do you think this move to the

2800 s&p means we're just at the top of a trading range or we're going to build from here >> we called the bottom on february 9th that we think you're going to trade out to new all-time highs the major averages that kind of luld lu lulled investors to sleep. but if you look at the s&p, nasdaq, they've all traded to all-time highs there are stokz in our portfolios that are up 100% this year so it's been a stealth market and i think we're going up to all-time highs >> jeff, what do you make of the market and in particular to the reaction to what was again better earnings and better fundamentals including loan growth >> i think too many people were staring at the yield curve and worried until it steepens the financial are not a place to be. my dad used to me, however, the

good things happen to cheap stocks and the financials are cheaps and we have been big buyers >> the business model is just built for these times zbhch here's the thing, the xlf, to jeff's point, the xlf is down 10% from its highs i think it was somewhere around $30 and now down around $27, right? that should not be happening in a world of 3% plus gdp growth in the u.s. i'm not saying i have the answer for why that is happening. but those two things, if you had jeff on at the end of last year and the most of the relatively bullish market analysts on, they would have said to you how have you have to be in financials that is exactly the place to be, and they've been wrong i'm not saying that they won't be right in the future but it doesn't fit that the financials are doing this poorly. >> on the other hand, xlf 10% on

a one-year basis what do we have? a trade that got ahead of itself or do you think that weak banks, under performing banks have been something you should be concerned about? >> some of the small banks have done very well i will note there are financials and then there are financials. you can take brokery stocks like roman james that has done extensionally well over the past six months >> yeah, says the man standing in front of a ramon james -- >> to the point i talked about earlier, what you have i believe in financial services is what you're seeing across the board in a lot of industries i'm sure we'll get to talking about amazon cisco was down -- >> let's talk about it now >> my point is in certain industries you have waves of accomdization that set in.

i don't know whether or not they'll be able to compete in the feteworking side with the ciscos of the world. all the phone stocks, they all went down when amazon was going into phone hardware and that didn't pan out into anything either but in financials the business is becoming cumodatized. certainly on the brokerage side it won't be what it was. >> it's clustered around so few names concentrated, we've talked about it so many times lifting the market as a late cycle indicator. do you see it that way >> first of all, i don't think we're late cycle i think the downturnwise so severe and the recovery so lame that what you've done is i don't think we're in late cycle yet. i don't understand the valuation of the late stocks so i let him

invest in them for me. >> what does that say to you, the faang stocks are they safe havens in this kind of environment? >> i've had this discussion with mike you want to know what a safe haven is the safe haven is a money-market fund right now which is plus or minus what the dividend yield is on the s&p 500 that is not a bad place to be. mike has a different point of view which he's been busting me for the past six months. the point is if you believe the economy is going to be growing over 3% going forward and you believe there's not going to be a trade war, the bond yield curve should not look like the way it does. so if someone could explain to me why it looks like the way it does without taking these two things in account -- that's a different form of trade war if you're basically talking about currency evaluations to

basically keep markets afloat. >> this does nothing but separate the world into the disrupters or disrupted. then you have the banks kind of struggling a bit >> and the story of amazon and cisco. other big story we've got ahead today, major indictment being handed down over russian hacking ahead of the 2016 presidential election and ahead of president trump's visit with president putin. >> it lays out a case that 12 russian intelligence officers beginning in march of 2016 hacked into the computers of democratic party and campaign employees, stole tens of thousands of documents and staged their strategic releases. they allegedly used false identities, bitcoin, and computers located around the world to conseal their link to russia the u.s. now though has charged 28 persons or companies with election hacking

deputy attorney general rod rosenstein in announcing the charges said he briefed the president earlier this week but couldn't say whether the president supported the doj's action >> we'll let the president speak for himself. obviously it's important for the president to know what information we've uncovered because he's got to make important decisions for the country. so he needs to understand what evidence we have of foreign election interference. >> the white house responded in a statement that said in part, quote, today's charges include no allegations of knowing involvement by anyone on the campaign and no allegations thaalleged hacking affected the election results, end quote. president trump today before the charge said were unveiled said he would discuss the issue with vladimir putin >> i know you'll ask will we be talking about meddling, and i will absolutely bring that up. i don't think you'll have any, gee, i did it, i did it you got

me but i will absolutely firmly ask the question >> democrats are now calling on president trump to cancel the meeting. trump said he didn't have high expectations for it but said he could be surprised sara >> all right, major developments today. kayla, thank you the russian market took a bit of a dip on this headline clearly investors are watching what happens with this mueller investigation. what sort of headlines should we be looking for there or developments >> i don't think there's going to be much reaction to it at all. while it's a big deal in this country to indict 28 russians they're never really going to come to trial in this country so i think it's a nonevent. >> all right, and that's how the market reacted >> i guess we'll see down the road if this is one piece of in the mueller -- >> because we've seen the reaction when the president gets involved

>> meanwhile while we did have those indictments in d.c. the president was not there. he was arriving in scotland this evening as he continues his first trip to the united kingdom. wilfred frost in london with the latest details. >> reporter: it's been a busy visit for the president. the political highlight of the meeting was that meeting with prime minister theresa may at checkers we've touched on the trade aspects, kaylah has touched on the rhetoric and one where they surprisingly didn't disagree was iran they both spoke about it at some length, and may did not criticize the president for pulling out of that iran nuclear agreement. if we're honest probably part of the trip the president was looking forward to the most was meeting the queen. >> she is a tremendous woman i really look forward to meeting

her. i think she represents her country so well. if you think of it for so many years she's represented a country. she's really never made a mistake. you don't see like anything embarrassing you don't -- she's just an incredible woman my wife is a tremendous fan of hers she's got a great and beautiful grace about her. >> reporter: so many years, 66 years, in fact such that today the president would become the 12th president she had met during her reign she has met every president from truman now up to trump apart from lbj in fact, though, only three had visited her majesty the queen at windsor castle in the past reagan, bush 43 and reagan so he joined a relatively elite group there when he did indeed go to windsor castle this afternoon. but his visit to windsor castle

to see the queen was brief about half an hour in total. he didn't get the full state visit treatment. therefore no banquet at either windsor castle or buckingham palace why was that because of the level of protests against him. it was felt they couldn't quite go that far and afford him a full state visit and we will discuss those protestsplore coming up including comments from jeremy co corbin and -- >> wilfred, thank you. we'll see you in just a moment looking forward to hearing more from your interview with the mayor of london who was actually criticized by president trump in that sun interview >> that feeling is mutual, so we'll hear more about that exchange as well evan, an eventful week the president first at nato and then in the u.k lots of headlines, lots of intrigue i wonder if it changes the

impression, though >> the most amazing thing is that reagan used to refer to as the teflon president, and in a weird way trump can basically do whatever he wants and the market doesn't even -- >> i think the republicans in all these countries -- >> he has expectations for his behavior are kind of set already. so people get the trump that they're expecting, andi don't think there are any rude surprises on that front. i will say, though, it is amazing because these are such distinct breaks from previous history and protocol that people are numb to it it's pretty amazing, actually remarkable >> it's sort of hard to think about long-term implications for the market, for the economy. i mean even if there are some politically in terms of populism spreading. >> if you're kind of reversing globalization on some level. but it's so hard to make that call >> the weird thing is in weather in talking about the eu or nato

or the u.k., they've got their own problems and fish to fry so trump is really a distraction. the future of the eu won't rise or fall on donald trump. >> probably not. evan hang out here jeff, thank you for your time today. appreciate it. >> my pleasure coming up, much more from president trump's visit to the u.k. this week up next you will hear what london's mayor had to say about the trip plus we'll discuss whether president trump is putting our relationship with some key allies at risk plus netflix shares up more than 100% this year. coming up find out how you should be trading the ocstk ahead of its earnings report on monday

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as we've been covering london has been swarming with protesters over president trump's first visit to the u.k our wilfred frost is there >> reporter: yes indeed, sara. we've spoken about some of the progress made between president trump and theresa may particularly in the last 24 hours. but we cannot underestimate the level of protest against trump

throughout all this. it was in fact a record level of protesters when it comes to a foreign leader's world visit over 20,000 at least in london, and there were very high profile politicians addressing it also, including labor leader jeremy corbin, of course the sort of equivalent of chuck schumer or nancy pelosi turning out to a protest to speak against the arrival of a macron, a may ora merkel in the united states. jeremy corbin said the message that goes out today in london that the here and around the country we are united for hope, justice and not division we are united in our hope to end racism and misogyny. that was the tone of his speech to those protesters. one of the other senior politicians, of course, who has protested against president trump's visit was the london mayor sadiq khan and earlier today i caught up

with him and asked him whether he regretted the fact that he had made president trump feel unwelcome in london. >> it's not to up me comment on how president trump feels or if his feelings are hurt. what i would hope he would see if he's in london today or tomorrow that america is a country that we love and adore but the expectations from the president of america are here. the expectations from the prime minister and presidents of other countries are here and the same gose vice versa as well that means we stand with each other but we call each other where we're wrong, and i think we shouldn't be afraid of doing. so >> now, we talked about the prospect of a free trade deal after brexit from the eu, a free trade deal with the u.s. but there shows the polarized opinion of president trump's visit. and it remains to be seen whether domestically theresa may

can turn it into a small victory for her. >> how would she turn it into a victory? >> by suggesting that a free trade deal is coming here and at the same time the nato meeting led to higher defense spending and that she has a working relationship with the president. i think it's going to be tough, but she will certainly hang onto the positives from that press conference >> got it. wilfred, thank you see you soon >> all right, thank you, wilf. joining us now to talk more about this ivan from the independent institute and also the author of the end of europe. thank you both for being here. james, what have this week's events meant for your view potentially for the a rearrangement of all these relationships? >> well, it's not very nice to see an american president who's so loathed by european pundits

it makes it harder for the united states to accomplish goals overseas when european leaders and their nations have to answer to their publics donald trump's approval ratings are not very high across the rest of the continent. if he want our european allies to do things and spend more money on defense, which they should be doing, if he wants germany not to construct this pipeline for russia, which is good headline and russia should not be doing it, it makes it harder to achieve these goals when our president is so dislike. and it makes him harder to cooperate with other leaders in europe when they have to answer to his election trts who can't stand him. >> it seems he has made progress on boosting the defense from europe and now prime minister

may bringing to the table talking about the german pipeline >> he said that germany gives 70% of their energy from russia and it's about 9%, so i think he's overstating that. but i really think we have to, you know, decide what our goals are. and i'm not sure what trump is doing here i guess he's transactionally trying to get a better deal as he always does by getting the allies better defense spending it's been rising george w. bush laid the seeds for it and obama got them to start rising in 2011 so it's been already occurring of course, some of this is smoke and mirrors and a lot of times the europeans will say they'll do it and won't do it or whatever because you have free riding problems within the alliance the problem is if you're a top dog in the alliance which we seem to want to continue to be, you're going to see free riding by the allies. so trump is sort of -- other

presidents have tried this and they've been successful to some extent but they're not going to get 4% increase as he's been saying i mean we don't even spend 4% of gdp on defense >> let me ask you a question going back to what i would describe as your kind of negative or implication that the public in europe, that the pu politicians have to listen to the public they were not welcomed with open arms by the european public either i'm not suggesting that trump's got the same style as those two gentlemen, but truth is 20,000 people in a protest in london that's not that big a protest for london i lived in london for ten years and there were much bigger protest. so maybe trump is not necessarily having as negative an impact on the public's imagination as, you know, the media would like to suggest. >> well, you go back to germany in the early 1980s, there were

$400,000, 500,000 people protesting ronald reagan and protesting the deployment of missile to west germany at that time so this a long relationship and i do think a lot of people are exaggerating the cost of what president trump is doing but what i think is different about president trump and his predecessors is that there wasn't -- those presidents who were unpopular, they never really challenged the fundamental values of the western alliance at the end of the the day ronald reagan certainly and george w. bush, they understood the value of europe, of the transatlantic relationship, of the eu, of nato this is the first time we have an american president who's come into office who completely opposes these ins taugzs, who calls nato obsolete, who supports the dissolution of the european union and tries to encourage it whenever he has a chance who's openly pro-russian

so i agree there's been anti-americanism throughout. and i don't want to exaggerate the role of public opinion in foreign countries. but at the same time you need to understand that president trump really departs from the trudi s tradition of the american presidency >> final word, ivan. what should we expect between the meeting between trump and putin? >> well, i would hope he would bring up the election. he says he's going to, but i kind of doubt it and he really ought to bring it up and we ought to have more sanctions. i'm not a big fan of economic sanctions, but in this case when a foreign country meddles in your election that's going to the heart of democracy and i think we need to either attack them in the cyberspace in some way, i know that's a little dangerous, or put more sanctions on them. certainly we haven't put enough sanctions. we want to deter them from doing this again

and i think trump ought to mention this if he does it'll be the wink and the nod. but that's very key. i think the other things that russia has done, i'm not so worried about. i don't think they're a real big threat their gdp is the size of italy, and the european countries have a much larger gdp than russia and even spend much more on defense. and i think they can start doing more to defend themselves. i support trump in trying to get them to do that. >> all right well, certainly going to watching how this unfolds next week thank you very much for your time when we come back, will amazon's fourth prime day spark big sales for the internet giant? we'll have a preview and see how it'll compare in a moment.

amazon's fourth annual prime day is set to kick off on monday courtney reagan previews whether this will be the biggest one yet. >> prime day has become a tradition since the first one four years ago amazon did say that sales were 60% higher last year than the year before on prime day and amazon's online sales marngt share rose to 70% compared to 0 40% on an average day. that's according to slice intelligence now a key goal is driving prime

membership since you have to be a member to participate, the retailer said more shoppers joined on prime day than any other day in its history. sales grow exponentially each year from less than a billion dollars in 2015 to a forecasted $3.4 billion this year according to core sight research traffic spikes during the event compared to a normal day for amazon two weeks prior in 2017 prime day sales were 92% higher. profit jumped 58%, and orders increased 66%. this is according to feed visor, a pricing intelligence firm for online sellers electronics grabbed more an a third of prime day sales expect amazon's own devices to again be top sellers last year the echo dot, the oak squefire hd tablet took three of the top five spots along with the instapot and the 23 and me

test >> i'm a very happy amazon customer i think it's a terrifically well run company. the only problem i've ever had is the price of the stock. do you think it actually creates incremental demand i don't know if there's an answer and if there is, i don't know amazon would ever tell us >> i do think it's interesting, though, if that's the purpose there's talk north america's almost fully penetrated with prime where so how much -- >> how much runway is there -- they've also created a holiday, a black friday in the middle of july we all talk about because it has such a big economic and sales impact >> i'm still waiting for the day when the numbers around amazon

make sense the stocks up 1% every day for no reason at all they announced they may get into networking with cisco, stocks up 1%, why? i don't know >> and potentially a new business for revenue stream ahead of prime day >> kind of amazing let's take a look how we finished the day up on wall street finished the week and the day higher with the dow surging 94 points. had its best week in the last five highest close since june s&p 500 saw its highest close since february 1st did close above that key 2800 level. nasdaq closed out a record high. the russell 2000 lagged but still managed to reach a high earlier this week. time now for a cnbc news update. >> hello, everyone here's what's happening at this hour secretary of state mike pompeo meeting with mexican president enrique pin neto. the u.s. delegation also

included jared kushner, steve munuchtion and kirsten nielsen the chicago woman seen in a viral video being berated for wearing a puerto rican flag shirt had harsh words for the officer who ignored her pleas for help while the officer who failed to intervene has since resigned >> i will never get to hear from this man, this protector his reasoning for why my safety, no, my life had such little value to him, why an american citizen could not reap the benefits of a police force when it was most needed a match at wimbledon and anderson advancing to his first final by beating isner 7-6, 6-7,

6-4. and he will now face the winner. >> both those guys incredibly tall amazingly tall people. that must be the tallest match in the history of tennis >> do you have to be tall to play tennis? >> no, but those guys are very tall >> this is actually anderson's second semifinal that went over 5 1/2 hours. the this one set a record obviously but he has enormous stamina. so we'll see >> sue, thank you. >> you got it. also happening monday, netflix set to report earnings after the bell while the stock took a dip today it is still up more than 100% so far this year. >> joining us to preview monday numbers, gentlemen good to see you, allen

a lot of gamesmanship always around netflix, but the long-term story is its up 100% year to date, 150% over the 12 months what are you looking for in the numbers that can either justify or question this value here? >> the key numbers for netflix are the subscribers. that's what everyone looks at. one, what will the subscribers be for the second quarter. there's not a controversy around that >> that's a million in the usa and 5 overseas >> correct but the bigger question will be what happens with their third quarter guidance the company did $5.3 million last year. the world cup may have a minor impact we're at $6.75 million and by the way, i'm neutral on the stock. but netflix, kooepd has beat guidance 15 of the last 18

quarters so they usually set a number that's beatable. >> and the other question that always comes up and relates to this question of subscriber growth is are they getting the bang for their buck in the $8 billion budget they're setting out this year. >> look, i think a notable thing yesterday the emmy noms came in. netflix beat hbo for the first time as the most nominated they're producing so many originals now for $8, $9, $10 you're getting a lot you can say that's good or bad if you're a creator. you're worried about getting lost in that shuffle but for the value that it provides i think if you're subscriber you're seeing this as every month i'm getting something new or multiple things that are new i agree with the earlier point the numbers to look out for, if the thesis on netflix for the

way it's trading is it's going to get to 300 million subs sometime soon it's mostly going to come from international if they can do that, they can continue that growth also the contribution margin i think last quarter something like 15 merse. if they can maintain that and keep that going that will be a sign the international business is also profitable >> some buare saying it's not t international cap globally >> when you go to 5g technology you can have an even greater total available market we have them hitting 300 million in about 2025. >> when does investor's perception and the business model shift? this game of subscriber numbers, they're great at that and they've been doing that for years and investors don't care about cash flow and profits and all that kind of stuff when -- is it a year from now,

two years from now when do we start going, jeez, there's a lot of content and some of it's not very good but it's costing a lot of money to develop? when does that model shift. >> as long as they're able to grow subscribers you can work out a model where i think they turn free cash flow deposit within three years i do recognize valuation counts. but the company has done an incredible job changing the whole media landscape. the disney-fox deal is because of netflix >> and the more things that they buy as well, i mean it's not like a spotify model, right? so all the intellectual property they own whether it's "stranger things," as often as you watch it doesn't cost you anymore.

where unlike spotify every time you listen to a track you have to pay for it. it's all new to them, right, so i think that's where the value is going to come from. >> been working for a while. valued at twice what at&t paid for time warner. you can say that ridiculous or you can say that's a pretty good deal thanks very much well, now more problems for papa johns coming up we'll tell you about the latest fall out in the racial slur controversy in the chain's founder. and if you think your cellphone bill is high already prepare for a sticker shk.oc wireless bills are on the rise and we'll have the latest for you on "the closing bell."

a bad news alert on papa johns. >> the fallout continues for papa johns and its founder and ceo after he was caught using that racial slur on a conference call back in may so far today the company announced it's removing him from logos in the fear future and also sue louisville change its stadium name

and also baseball teams as well as the atlanta fal anyones all suspending relationships with the brand in their advertising camp pains the new ceo who took over back in january just put out a statement saying papa johns is not an individual but a pizza company with franchise partners around the world our employees represent all walks of life and we're committed to fostering an equitable workplace for all. no matter what the context it simply cannot be tolerated at any level of our company it will be conducting an audit of its outside practices it looks like they're kind of taking a page out of the starbucks book after what happened with their incident in philadelphia and what senior level management did there as you can see the stock was actually a bit higher today. it seemed to have reversed

coarse but yesterday it did close on the news he's resigned as the chairman of the board. >> kate, thank you very much up next, americans could soon be paying higher cellphone bills. we'll tell you w itoy'hyn das take away.

the digital divide is splitting this country. we have parents who are trying to get their kids

off of too much social media and computers, and then we have parents who would only hope their children have access. middle school is a really key transition point, right. the stakes start changing. students begin to really start thinking about their futures. what i like about verizon's approach is that it's not limited to just giving kids new tools, it's really about empowering educators to teach in different ways, and exposing kids to more active forms of learning. giving technology is not a total solution. teaching technology, now that is. turns out this summer mobile phone companies are cooling off their phone promotions and that's leading to a rise in

cellphone bills for the first time in nearly two years according to the consumer price data >> the market has kind of sniffed us out they thought maybe the competition was cooling off a bit. so verizon and such have done okay i wonder what it means for sprint and t-mobile. >> it's been just a bloodbath in promotions i wonder how all you can eat data -- basically they were just losing money to buy market share, which is not a good way to grow profits in a market that's basically for operators there's too many operators in the market >> here's a different story to get your take on, microsoft's president brad smith, calling on the federal government to regulate facial recognition technology even though his company has invested in that field. his concern here is that the government misuse of data and the government's ability to track people could be a problem. his theory is the best way to

manage inusage by the government is to have the government manage the use. evan, does that make sense >> i don't know. have you ever seen the minority report, tom cruz and the eyeballs and all that kind of stuff -- but this future, i don't -- so far when we've allowed technologies to develop and i don't think regulation has been that far behind in term of a lot of the new technologies. i'd let stuff develop, drones, let them develop a bit -- >> if you're brad smith down at microsoft you probably want to know the rules beforehand as opposed to let's go where the technology takes us and later on have the government come back -- >> he's a lawyer that's not the way technologies have traditionally developed in the u.s. is getting the government involved up front >> we'll see if his voice matters in that one.

and then there was one blockbuster shutdown most of its stores five years ago a few have remained open. blockbuster alaska for instance announced on facebook today it will be shutting down by august leaving one remaining store in bend, oregon >> that's the in bend, oregon i did not know that. >> that's the irony. where did they announce it they announced it on facebook that they were closing the last store. >> i want to see evan's blockbuster card right now >> i might have mine in my wallet still >> i did, but i only lived in this country for a brief period when blockbuster was really big. >> i love blockbuster. >> there's no -- >> they don't even have dvds anymore. >> they don't. everything's streamed and everything is going to the web >> not in oregon >> not in one town yeah >> the trump administration announcing another round of tariffs on chinese goods eliarer this week and the impact those could have on north america's

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the port of los angeles is home to north america's busiest container ports and president bush's proposed tariffs could make an impact on goods moving through there. our aditi roy has more >> the executive director of the port tells me that in the long run they expect to see 15% of the goods coming through here affected by the tariffs and also that will impact 240,000 jobs across the country that's the long-run impact and in the short term they're seeing the opposite effect. a new monthly global tracking report by the national retail federation and associates shows

imports at the nation's ports hitting a record high in june and it projects another record month in july. analysts say that increased traffic is a result of importers trying to beat the tariff clock. in the meantime the president of l.a.'s world trade center said half the imports coming through this port gets shipped to other parts of the country that means the impact of the tariffs extends beyond the local shipping industry. >> we're the number one manufacturing center in the united states with over 350,000 manufacturing jobs right here and these products get exported internationally. so when the tariffs are hitting and it's going to impact the way we're able to export and sell our products to the international market >> it's also a very busy time of year for retailers from target to walmart to costco they're ramping up and shipping a lot of goods through china for that busy, back to school shopping season and no doubt trying to get those early

shipments in now for the holiday season as they try to beat that tariff clock back to you, guys. >> absolutely aditi. >> absoluteltc♪diti. >> president trump has arrived in scotland where he'll spend the weekend and we'll wrap up his meeting with the queen and theresa may next add-on advantage. only when you book with expedia.

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let's bring in wilf back from london. we'll bring him back from london in a couple of days and let's bring him back from london for final thought on president trump's uk visit will >> hi, guys. for this final thought i'm going to start by going back to january 2017 who was the first foreign leader to visit president trump at the white house? it was, of course, theresa may and that visit went so well that trump and may held hands, and that got a lot of coverage, certainly here in the uk >> the question, would that repeat itself this time around the answer, yes. twice. both last night and at checkers today. is that a sign of the affection between these two leaders or is it, in fact, fairly awkward for everyone to look at? and i'd say it's definitely a bit of both and probably quite a

nice summary of two of the driving emotions that has dominated this two-day visit of course, it's not just with the prime minister theresa may that the president shows that physical sign of affection we've seen it before with the likes of macron with, moby, and with abe, and that's got me thinking and i wonder how not just the whole summit will go with putin, but that photo opportunity, too guys >> there's one in which it looks like he's holding her fingers and not her hands when they're on the steps of the palace super weird. >> we've got some video, and i don't know if they can bring it up that doesn't quite show the hand-holding is clearly, but those walks and it is very, very awkward, indeed and we watched all of it so closely the last couple of days and it does kind of summarize things and clearly, the press conference went better than that interview late last

night. overall, it was pretty awkward and embarrassing, and particularly those slight tones of undermining the prime minister, guys >> i think it's very strategic hand-holding >> wilfred, the highest level. >> the highest level of special hand-holding >> wilfred, great job. see you back in new york. >> see you, wolf. >> thank you, evan. >> have a good weekend. >> that does it for us here on "closing bell. "fast money" begins right now. ♪ ♪ >> one small step for one index and one giant leap for the market, we hope. after five months of gut-wrenching volatility, for the first time since february, the s&p 500 finally closed above the 2800 level and stocks had every reason not to rally today. the banks are selling off after earnings and the at&t time warner d