i'll be breaking out some of the things later we have that and more here we have a nice cucumber vodka and a glass of wine. you're all welcomed to come over that is power lunch far friday thanks for watching. closing bell starts right now [ cheers and applause >> congratulations >> i have never got one of those balloons >> maybe you have to get past 0 20 of. >> welcome stocks giving back some early gains after the reports circulated that president trump does want to go ahead with

tariffs on $200 billion worth of dh chinese goods let's begin with breaking news >> the fed may mean you current executive vice president ma mary daly as new president it will replace john williams. she will vote in the upcoming september meeting. she focused on job loss, labor she was the executive vice president director in 2017, served on advisoryboards

they noted it is hard to find people to move the san francisco. daly will vote in the december meeting and not again because of the rotation until 2021. she joins a board full of newbies. it is worth noting we may want to watch her because well, one went on to be chair and other head of new york feds. we'll see what happens here with her. >> they have a good track record don't they >> yeah. >> don't they usually go --

>> yes it has ban dovish one. i do not have any but i can look at a person who has focused on labor and labor market outcomes along with life cycle. people think the fed ought to do more to put people back to work because their findings have no conclusion it is terrible for a person to be out of work even for a year in general those sorts of things, it was one of the things that animated januaet the feds should do all it could and far lot of reason tlas are embedded deeply. >> did you say $500,000 salary?

>> i would personally take the money. >> could you live in san francisco with half a million dollars salary >> lost 879,000 pounds >> so over a million bucks >> which is what you should pay a guy in charge of a 20 trillion economy. >> he is staying on longer steve, great stuff >> good to see more diversity on the fed. stocks dropping sharply earlier this afternoon president trump instructed aids to move forward on $200 billion worth of cl chinese goods

this is dna consistent i am not surprised at all. i would expect to chinese to retailuar re retaliate and to do some more. more and moreover those fall on consumer ko consumer goods >> the president is assuming the u.s. has the leverage because our markets are going up and their markets are going down is that right? >> in a sense that is right. let's talk about why their markets are going down during the period of zero u.s. interest rates immerging market companies borrowed a ton of dollar debt. it has a rising interest rate and rising dollar both killed those companies.

that's why this has been so widespread it's not over yet. inside china the pressure directly from the tariffs is very light which is why they government has been advertising no impact. it is very big financially they have been pushing so much liquidity. the economy is in some trouble >> so in that sense the president is right to say that kline that china is feeling that pressure more so it could work for president trump. >> yeah. but let's clarify that they are feeling the effect of the fed increasing interest rates. that's mostly what they are feeling. that's not the trade war so much trade wars are dumb. the fact is that the first round of tariffs that trump introduced, 90% was on industrial goods this 200 billion is 40% consumer

goods. the next round will be 80% consumer goods that means the prices directly at walmart go up the fact is that the current tariffs are already having a big impact on u.s. manufacturing and not a good one i was at a board meeting this last week in a factory where costs of inputs are going up at 6 or 7% a year now and they haven't figured out how to pass it along to their customers yet. so the fact that gdp inflation was at 3.2 in the last report and consumer price inflation was 2.1 mean it is difference is all in the industrial goods and all putting pressure not only on profits but financial. >> there is a thought the president is using these tariffs as a negotiating tactic to bring the clie thechinese to their the

do you buy that? >> the one thing you and i will never see in our lifetime is him on his knees i don't like the guy but the pressure is to not give into direct foreign pressure. they are not going to cave people think they will cave because they don't have so many u.s. goods to tax. that's crazy the fact is that -- >> no. people think it is okay because they don't have as many tools to keep their economy from getting -- from getting a lot of pain inflicted and to keep their currency from falling so hard. it is a message of the market at least if you look on a relative basis against the u.s. >> that's what is hitting the markets. that's liquidity i'm talking

about. you're looking at urban income increases. they have room there politically to be tough but the fact is that the real pressure they have on the u.s. isn't on exports at all. it's on u.s. companies working inside china u.s. companies now are a huge supplier to the growing middle class in china and they can put their thumb directly on the businesses i don't like that and i don't like when they move in the wrong way. we are not dealing with a weak guy here or a soft government. >> okay. thanks for joining us. let's continue the discussion on markets more broadly, david is here and janet and rick, are you there? yes. you are. rick, i'll start with you. we are seeing quite a lot of

movement on the dollar what's the driver on that today? break down what we saw in terms of july and august retail sales as well. >> you know, the retail sales number has to be viewed in a multi-month frame perspective. we had really nice revisions to july but we were disappointed with august. when you view them together it isn't so bad as far as what's going on with the dollar they are trying to raise rates. there are several more in the pipeline after the end of this month as we get into october you're actually going to make a difference it is going to begin to taper. i think all of that should reflect on higher rates and most likely a higher dollar if you take many of the issues

mr. rutledge discussed and look at how expensive it is to have a dollar and to hedge a dollar that ultimately is version here is what's going on with central banks dragging their feet may cause the dollar to be more on the soft side. finally with regard to kline th china the central banks are praying for inflation, the kind of inflation that could come out of tariffs as the wrong kind but the grand scheme of things i worry that it gets cheaper and the dollar gets stronger and that what we actually see is a lot more deflationary pressures. >> david, nice to have you here at the top of the hour >> nice to be here and nice to see you and nice to be with you, both of you. >> tell us how you're feeling about trade and are you surprised to see the major averages look to end the week up

almost 1% for the nasdaq given some of the uncertainties that lie ton trade front. >> great point i think the market has been able to shrug off four things the strong dollar, the average hourly earnings being up for the month and 2.9% over here the last time it happened in february it caused a big market sellout. the third thing the market has been able to shrug off is this waivering china and europe they are showing slower rates of growth lastly is the saga the lead editorial was about calling the herd they are just going over argentina and turkey those are the four things the market has been able to shrug

off. aside from a few tech stocks not really are evaluations excessive? the last are the small caps and transports underperforming the banks are underperforming a little bit finally it yields are tightening or narrowing they have not started to open up yet in a big way so far you don't have the ingredients there far bare market you do have ingredients there for a correction which is a 10% fall that's something that could be driven by tariffs. >> we have seen a big market rally over the last year or so when hovering around those

levels do you continue with what rotated the moment >> absolutely. you to continue with what's working. it's got to be a lot more fun to be optimistic and more profitable markets are going to react to the daily news by the way, it's no surprise the tariff news came together. probably a distraction from the manafort plea. i'm hopeful a deal may be negotiated no one really knows. so the best we can do is really identify what's working now which continues to be u.s. i guess europe had their first positive week this week in a long long time some small caps are coming up the ranks. yeah, we are absolutely staying with things like iwf, ijt is the holding and fdn, tech is still

strong of course there will be a correction it is a good time to derisk a little bit >> okay. thanks very much david, janet have great weekends >> a meaningful fast next week on wednesday take it from a graduate of christ the king grade school >> there we go thank you very much for that still to come, hurricane florence bearing down on the carolina coast causing flight cancellations. we'll head live to the center of the storm and look at the economic fallout jeff bezos speaking out at

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let's begin with a miles north of where jackie made land fall to you >> reporter: hurricane florence is showing no signs of letting up whatsoever. it seems like the winds are even getting stronger as the day progresses here even though this is a bad side of the eye

downed trees and flooded roadways we'll be hearing more stories like this. as the governor said there probably znt going to be a person in north carolina that isn't touched by this storm. this storm was downgraded from cat 4 to a cat 1 someone very experienced in storms said don't let that fool you.

90 miles per hour are very strong even though they could be worse. it is one of the storms they said could be a monster and experiencing it firsthand i can tell you it certainly feels that way. >> this looks brutal >> and don't under estimate and stay safe. it looks powerful. >> thank you for the update from car line fla beach let's go about 80 miles south. >> it has taken hours for the real effects of hurricane

florence to be felt here in myrtle beach after it first made land fall. things have really picked up now. i'm standing here now. look out at the ocean. you can see how the surf is just at this point. the wind is gusting at this point. we are not expecting that biggest part of the storm until 18 tonight expecting it to be a category 1 hurricane as it is so slow

moving rivering heading inland and how the storm surges crest there it is not expected to happen until tuesday. they are expecting them to crust between 18 and 24 feet it could reach i-95. we are just feeling the effects right now. it started about two hours ago it is pretty steady at this point. from what we can expect big issue for business we are joined now and provides prescri prescripti prescriptive analysis. who are you advising in the area and what are you telling them?

it ranges from transportation trucking brokerage and a lotover logistics company that serve various sectors here specifically within the transportationsector we were analyzing here approximately 25% of shipmented scheduled to go there are delayed to some extent and ultimately that accounts for approximately 2,500 truckloads with that it costs an average of

about 35,000. >> so how much are they at a standstill and how quickly can they get back online >> well, yeah. some of the incredible amounts of rain that we are seeing as well as the wind tht coastal area but the biggest concern is inlandflooding very little or

no transportation for things clearing and opening back up again. it is not likely until monday or even on into tuesday >> thank you for adding some color to the business impact here >> thank you for having me take a look at major averages. the dow has turned negative. pretty much flat

all three are higher for the week nasdaq doing the best. today it is the russell 2000 it is up a little more than half a percent. dominos has surged 50% this year they say there's one thing he is concerned about which could lead him to profits well tell you what it is straight ahead >> and the retailer is shutting down a unit that has been in business for more than 100 years. investors sharing that move. we'll explain after the break. ♪ a hotel can make or break a trip.

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announcing a shutdown, a retailer company said the move will allow to focus more on larger businesses like victoria secret and is also limited and bath and body works. henry is henri bendel has a little more than 20 stores >> that's since 1895 >> yeah, more than 120 years old. >> it's up about 2% and of course we are making more video

content as well. >> especially with the announcement of matel. it is the value of their intellect chul property and how they will monotithrough -- >> i saw a picture of jenga but monopoly i think would be moving >> it is nostalgia sue has an update. >> here is what's happening at this hour everyone massachusetts governor charlie baker declaring a state of emergency following last night's natural gas disaster he and elizabeth warren touring the neighborhood where an 18-year-old was killed after a falling which i am any aft falling chimney. >> the media and enormous and

gigantic demonstration of the force of a gas explosion. >> man, that thing is huge it crumbled. >> bob evans farms is recalling one of the 46,000 pounds of pork sausage links. they might be contaminated with clear hard plastic all were produced on august 1st of this year no reports of injuries cameras outside the international space station capturing hurricane florence minutes after it made land fall. it is massive. that's the nudews update this hour i'll send it back to you. >> thanks very much. >> a rare chance to hear

from amazon's jeff bezos speaking last night. he gave his take on the amazon record breaking stock performance. >> when it is up don't feel 30% smarter because when stock is down 30% in a month it's not going feel so good to be to feel 30% dumber never spend time thinking about the daily stock price. i don't. >> the amazon ceo became the world's richest person on which he gave his take last night also >> it's the kind of an interesting curiosity. if they said investor jeff bezos or entrepreneur jeff bezos,

those things are much more meaningful to me it is an output measure. if you look at the financial success i own 16% of amazon. it is worth roughly a trillion dollars. what we have built over 20 years we have built $840 billion of wealth for other people. >> what was your take on some of those comments last night? did you get a lead on the stock price at all >> sure. those excellencomments are rema when you think about what it has resulted in for shareholders of

amazon >> as far as what you just talked about very amazing wealth creation >> our shareholder >> absolutely. >> how long? >> six years we have probably over $40 million worth of their stock. we are very very pleased with amazon i think it has great potential for the future >> i guess it doesn't seem to matter that jeff bezos never spends any time thinking about the daily stock price. how do you feel about that >> i like it he has a great ability to think about changing how we do things, how we buy things, what the american consumer wants. that where i want him to focus, where is the company not just next quarter but for the next

ten years. >> he made this commitment of $2 billion to go into fill an tlopic work. does it worry you? might he sort of step down from the executive position of the company? >> i think if he brings his talent to fill an tr-- i think will allow him to have another outlook for understanding how to get things done. >> talking about the sort of wealth creation and the amazon effect on workers and places, let's talk about hq2 what incite do you have into this >> sure. so ultimately i think it is about influence and how can amazon maximize its influence. if you look at the list of 20 finalists, washington d.c. and two neighboring locations are three of the 20 finalists.

i think ultimately washington, d.c. or a neighboring location will be the headquarters it will give the most influence being that close to the federal government >> so he made comments on journalism, the importance of it and some of rational for why he bought the washington post pushing back on president trump's attacks or excellentcom you think it's a risk regulation or actions from the president? >> so absolutely it is a risk. i would argue that most of president trump's tweets that are directed at amazon are because jeff bezos owns personally the washington post i would argue that washington needs amazon to continue to succeed. if you think about the second headquarters we are talking

about arguably one of the most powerful of and effective u.s. companies. i think president trump needs a strong amazon but he is clearly upset with jeff bezos who owns the washington post. >> whatever the reason is do you worry about the attacks from the president from the other side of the aisle as well with senator bernie sanders >> i think you have to separate being the owner of the newspaper versus running one of the most dynamic companies in the world i think as long as amazon is clanging how american consumer buy thinks i think it will continue to drive a lot of good things for the american economy and for consumers. so i think we have to separate policy and politicians and kind of -- i think you sort of almost ignore some of this. it's a lot of noise. >> okay. thank you both very much for joining us >> thank you we have 21 minutes left

before market is just below the flat line as we approach the close. we war little bit lower a couple of hours ago on some of the china trade headlines. we have recovered and are now flat we'll speak with the mayor about how his citizens are managing the storm and the damage still to come. major buzz kill today after they say border agents could crack down on canadian pot investors coming inttho e u.s. we'll talk to the reporter who wrote the story. when my hot water heater failed it rocked our world. we called usaa. and they greeted me as they always do. sergeant baker, how are you? they took care of everything a to z. having insurance is something everyone needs, but having usaa- now that's a privilege.

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for our farmers and their families. ♪ taking a look at stocks. it this turn around came lower when headlines crossed and president trump was telling aids to go forward with an extra round of tariffs on 200 billion worth of chinese imports >> we are back to flat up next we'll speak to the mayor to find out how much damage is being done by hurricane florence your muscles look good, but we should be seeing

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joining us by phone is the mayor of carolina beach. that is where jackie has been reporting all day long thank you for joufrp jumping on the line what can you tell us about the state of the island right now? >> we are actually in better shape than we thought we would be there has been some significant in places we are custom to seeing it. it runs up alongside the sound we have had a little bit of ponding in some of the roads away from the beach. sadly we have seen some ocean overwash onto lake park which is

the main road. however not too bad there. we are lucky to this point >> one of the latest expectations of how much longer it will go on in terms of the several rear levels of wind and rain >> yes we are looking at that it is the official forecast. what we are seeing right now on weather radar, another 7 to 8 hours of the strong winds and rain after which time we are hoping to be able to get our own emergency responders and town crews i believe you are not in car line f carolina beach following the evacuation order and whether any businesses are open.

is there any activity out there? >> no businesses open. no i followed the order that i gave on monday i left yesterday i would venture to say about 10 to 15% of the population decide today stay and hunker down it would be 650 people we have 6,300 permanent residents that live in carolina beach. >> i just want to bring a quick headline here that president trump said he will be visiting the carolinas next week. president trump has been tweeting for the last few days about how the federal government has been on top and ready for this storm and has deployed all of the resources so we know he will pay a visit next week. have you received the resources that your area needs to fight this storm and for damage control? >> we have been pledged that we

will and when we make an assessment and determine it is something that the town doesn't have we know that the state and if necessary the feds will step in just monday governor cooper came and visited us, spent an hour with us. i got to say his leadership has been exemplary he has done a good job he made a pledge to help i know he will if we need it we have that to look forward to as we call upon it >> okay. thanks very much for joining us. >> we should mention that was headline, the trump visiting next week. we'll wait for confirmation. we are essentially flat on this final dayover tradi of tra

the week we have a reporter who broke that story to explain it coming up . first, dominos opened a supply chainment we'll find out what the cpa'sewomny n ceo is saying about the impact of president trump's tar rifrs. -- tariffs

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stay with their families until their 40's. looking to end out the week on a positive note, one that has been strong. nasdaq up more than 1.5% energies and industrials doing well >> shares of domino pizza are lower today. stock is up nearly 50% kate rogers is in new jersey. >> they are planning to hire 150 poem to work out of this one they forsee about 8,000 stores across the u.s. in the next

decade with that being said they do have a really strong and large international presence we did have to ask how they are being impacted by the ongoing trade war. here is what he had to say here in the u.s. and most of the countries that we operate in across the world we source our food locally if we can do that we always try to match currencies and try to have the best cost position that wecan. >> steel, you see a lot of that in this building and to the extent that steel prices go up it will have a modest effect on us >> beyond trade we spoke about pizza hut, the nfl and of course

papa johns they said they are not looking to really capitalize on some of the weakness they are seeing. um next we'll be back with the closing count down >> and adam aron joining us to discuss the $600 million investment as china trims exposure big story today. we'll be right back.

there they are, your neighbors. you like them. they always remember everyone's names. your kids love swimming in their pool. you like them. if you forget your trunks, they'll loan you some. they have a section in their stock portfolio just for pool stuff. everyone likes them. you like them.

but you'd like them better if you made more money than they do. don't get mad at your well-liked neighbors. get e*trade. >> welcome back. the leg down was will they or won't they we have a selloff. if you see all four you can see all four as we approach the close in the green, which is very pleasing to see sectors today you'll see that we have lot the likes of financials struggling it is up half a percent. if we switch to see the s&p for

the week you'll see a nice return we'll move onto see sectors for the week as a whole. we have a minute left to trade >> here is the important thing we should have hit a historic high today number one the tariff story about the president maybe imposing new tariffs the other reason is the banks have done nothing today. banks should have gone up. historically they do go up it has not been working. look at this response with these banks beaten up. without financials it is very difficult for the markets. >> there has been some guidance.

>> 21 basis points that's the worst in 11 years they talked about not great loan growth so flat for the day but up for the week back to you. >> welcome to the closing bell let's talk about how we are finishing up the day and your week s and p barely in positive

territory. >> the dow, we are crossing the flat line into positive territory. data first popping on that news of the $600 million investment and then falling on a downgrade finishing the day lower. coming up we'll get into all of that we have an exclusive interview with adam aron.

the big loser was kroger after some disappointing sales numbers out yesterday. mike, we know you don't get aggravated about the trade headlines. mark market closed flat after president trump is proceeding with the tariffs on 200 billion. also got that manafort news. >> around the sametime it has been hovering around the

highs. offsetting forces. i think it's steady. i think it's not a bad thing to be half way through september and the market kind of holding gains. >> and it's clearly a big influence today. let's get the latest in washington who joining us now. >> we just got a statement in about trade. it suggested that he did want to proceed with the $200 billion in tariffs on china the president has been cleared that he will continue to take action to address klichina's unr trade practices. they not saying what that action

is or when the president might take it. let's review the bidding as to how we got here. they have already gone into place and then during the course of the summer they are working through this ustr to identify $200 billion more. the process is finished. at any point they could identify but for right now they are saying that the president will continue to take action. we don't know what or when we are left with a bit of a mystery here >> is is there anything in terms

of plans or discussions? >> white house officials have come close to confirms that but haven't explicitly confirmed that yesterday i believe it was in the driveway here telling a number of us, look, you know, we are in contact but saying that's as far as you want it to go in terms of that. he said he for one welcomes conversations. not confirms he was going to china or chinese was going here or confirming that report. there has ban leen a lot of dang around that all week it gives you a sense that the tariffs are coming others sending smoke signals suggesting maybe there's a delay. ultimately we began that we might see tariffs this week. here we are and we have no tariffs. we'll see how next week goes >> okay. great stuff.

your take? >> my take is that trump is doing a lousy job of negotiating with the clie these. the second he launches the 200 billion at which point larry and steve will get into the over office with trump and say we told you so. we told you so you can't mess around with this. what you have going on right now is trump is trying to be the bad cop here she trying to be the guy who is saying we are going to do something. if you noticed this where is the nafta agreeing with canada two weeks ago he gave is ultimatum, we have to get it done by friday it hasn't happened i think the chinese like the

canadians do not trust trump and their view is he is not giving us any incentive to come to the table with us. >> do you agree if the tariffs are announced on chinese imports the market will react negatively >> it is not clear to me that that would be an immediate desies ifr couple on the market. i think it's a negative. it is certainly a negative for directly impacted indexes. i think you to tell me what do the immerging stock markets do the whole thing is a disorderly hard landing in china's economy and to spill over into markets it's not about our exports it's not about trade flows being b interruptded >> it has been a strong dollar, weak immerging markets >> that's right.

the u.s. stocks in the global portfolio are quality at a full price and so when things get dicey elsewhere you pay up to be safer here >> on this issue many questions of whether they are brought forward their imports.

i don't know it's hard to figure out. it's high. >> by the way -- >> also small business confidence levels continue to be at historic highs. a consumer confidence continues to be at very elevated levels. >> do you think people in the white house will be happy if the dow drops 5% between now and the midterm elections? >> they won't be happy about it. >> what does it tell you >> it went down 12% in january or february. >> it wasn't as if the president sort of changed course >> all i'm saying to you is if you think that the impact of this 200 million plus the potential 267 on the market would be negligible you should be buying stocks right now you notice people are not.

there is no incentive for anybody to buy stocks. >> it is 8% this year. >> i'm not talking about this year i'm talking about in the last month or so. >> it is up. >> you tell people and they are telling you pile into stocks right now. >> yeah. let's give an update on the hurricane. hurricane florence did crash through the carolinas today. jackie has been on car liolina beach. we have the latest for you what the you tell us >> guys, hurricane florence was described as a storm that was going to come and impact north carolina like a monster. it has done just that. it has been very slow. it has come over the coast

there is a hover effect. the winds actually have gotten worse than they were when the storm made land fall this morning. the rain is still coming down very hard. flooding and accumulation still a problem. the governor saying florence and the effects of florence will be around for some time and that in some ways may be an under statement. the president saying he will come visit the devastated hurricane areas as long as it doesn't interfere with that. it would be some time next week. what we flow so far going fatalities, there have been three. this is a strong storm i am not going to be surprised to hear more sad stories like we talked about in the last hour as a result of these wind gusts, the flooding, downed trees and the inability for responders to be able to get to people who need the help in a timely fashion.

take a look at this photograph we were reporting at this gas station just a few days ago. people were filling up and making storm preparations. the gas station pretty much wiped out by the storm you'll see a lot of photographs like this of severe damage caused by the wind and by the wind and rain. standing here in the dunes the beach, it basically washed away for the moment these waves very strong and these winds even though category 1 and 90 miles per hour or 100 miles per hour still very severe even compared to the forecast of 130 to 40 for the category 4 storm. i'm 110 pounds and this wind is blowing me around. n a way that's really undescribable. the rain coming down with the force that it's coming down and the wind and sand blowing here

on the beach feels like a hailstorm at this point. this storm is not done yet there is a lot more to come with it we'll be bringing you the updates as frequently as we possibly can i will send it back to you >> outstandsing stuff. do stay safe >> she looks like she can barely stand. >> for safety reasons i'm 230 pounds they should send me they have done an outstandsing job. >> and she is quite tiny. all right. let's go back to the markets and have a look at financials. the only sector that would lower for the week if we start by looking at the bank index you can see that performance of the banks which was down for the week. now, part of this came from just broader interest rates but also because of the financials conference and headlines coming from that. i'll start with the best

performer. it ended up 1.3% it is largely because of comments the he said that their trading performance would be up. people have been expecting it to be flat. good news on cost cutting. we also heard from j.p. morgan ceo who said trading would in fact be down so that's slightly under well med. they are finishing up down they were up yesterday there was good news they improved guidance on fee income for the rest of the year wells fargo down some 4% for the week as a whole. john was fairly down on mortgages and consumer loans as we broaden out for all of the banks loan growth is one of them it wasn't upbeat the other area seems like

there's a lot of differentiation and deposit is rising. i think it rose a bit but it didn't steepen it. it flattened out >> in general a lack of reason to become incrimentally. i don't think you can look and say they are very cheap. on the other hand if you don't get worse news you'll get a couple more rate hikes i don't know how it plays into the equation when everybody was getting concerned people say well, for banks what really matters is federal funds raise to 2 it will start to tighten up if the fed goes so i think it's a matter of just kind of -- if the banks can kind of hold in here the rest of the market can do okay they can't start going south >> i don't think it's so much

whether they are cheap or not i think it's a market test these stocks are supposed to be doing better than they have been if you go back to what people were saying in december, january and february all of the most bullish people point today the financials as a sector that should be showing strength it hasn't been there all year. >> why not lack of positive market sentiment? >> i think it's a flat-year-old curve and i think there's not either the loan growth or mortgage generation. you know, it hasn't been booming and mortgage rates are going up. >> it seems no longer to be that stock where when the markets are healthy, when credit conditions are great, when trading should be firm that people flock to that stock anymore they changed the business enough that it doesn't seem levered to

that anymore the premium drained out of the stocks i do think good asset management which is now a bigger chunk of the company should support it. it is interesting how it has not been able to catch the tail wednesday of the broader markets. >> goldman sachs up a little bit compared to some of the other banks but not for the week new troubles at this border. this time to the north canada about to become the only industrialization to legalize retail marijuana they are facing new risks and it's impacting pot stocks today. we'll give you details next. the apple aftermath will take a look at how preorders for new iphones are shaping up we always want to hear from you. reach out to the show on twitter, facebook or send us an e-mail we are back after a quick break. oh, and there's the closing bell.

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according to a senior

official overseaing u.s. border operations pot stocks dipped earlier today. most did rebound >> if i have been a huge winner. >> hundreds of percent >> right >>. >> what kpangtly did you learn about the policy here at the border >> yeah. so i spoke with the top official overseaing border operations -- overseeing border operations. he said it will be applied at the u.s. border in a way that does not allow anyone who works in the marijuana industry who has used marijuana or who invests in it to enter the united states. there are laws about who is and isn't admissible into the united

states they made that clear to me if they ask you what you do for a living or some how it comes up in conversation they apply these laws by heard evidence of people who try today come in and have been told at the border, you can't come in. we are keeping a record of you and you are facing a lifetime ban. >> i think the u.s. federal rules are the u.s. rules it is more a case of needing to

update the rules >> u.s. customs and border protection emphasized it is not a new rule being brought in. it is existing immigration law but it's really up to them how they apply it. this official was laying out for me how they will be applying this they are taking a pretty strict interpretation they are not saying it is legal there so they are not facilitating any illegal drug activity if it's illegal in the united states that's enough for them. i asked specifically, what if you just have some stocks? is there a minimum threshold the answer is as long as you're doing something to facilitate then you may -- it may effect

your admissibility to the unite states it's a wide range and they have a lot of rights at the border whether it's to look at your phone, ask you questions so that's something that investors and workers and users of marijuana should know. i think people have wondered crossing into canada where marijuana is legal, can you bring there a joint? you can't. if you're caught with marijuana at the border you face criminal prosecution. they will impose a fine that will range 500 to $5,000 >> thank you >> we should note that recreational use is legalized in canada october 17th

>> it's taken over and you can't -- i think it's a phenomenon these happen every bit coin in the last year was a phenomenon and then they will burst at some point down the road and you'll forget there was a phenomenon.

>> why do you say they will burst? >> it ultimately is a commodity. >> it is up in three months. >> it is quite a run >> it is quite a run all right. coming up updates on apple iphones, we'll see if the new iphones are getting the same kind of attention yef jeff is speaking about his schedule. we'll tell you how much he sleeps coming up

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home depot working around the clock to support the areas effected it is disaster response command center how does it look >> it is crunch time for home depot and other home improvement retailers to get all of their important products like generators and battery to their stores in the impacted regions transportation will become a challenge. trucks cannot be ton the highway if the winds succeed or surpass 40 miles per hour. the other is sherry. good to see you. how many employees do you have across the region? >> we have 3,000 and we have another 500 outside of the area

ready to deploy post storm we have transportation and housing. >> currently home depot 13 stores are closed. >> anticipate some to be open tomorrow depending on local conditions. >> thank you of course this is one of many command centers spanning many different industries from telecom, royal caribbean all using command centers to bring in resources from supply chain and merchandising to come up with these plans as hurricane florence hits ground back to you. >> thank you very much forthat

>> the primary concern has been the water, inland flooding so far you're seeing some of that devastating flooding coming in right now with that storm surge. right now we are looking at the flooding not too far from where we sit right now all of these folks back here are focused on what's flexion and from our perspective it will be the inland flooding >> so dan, do you a sense of how many people or what percentage of people in the areas have flood insurance? >> unfortunately too few people have flood insurance in america. it is a difference between what is insurable and what's insured. it's something we want to clac e over time. unfortunately too few people have flood insurance in this area >> and talk us through what you

expect in the next 24 hours and the key factors to watch in terms of the severity of damage that might be done >> we expect this storm to move down the shore and inland. once it moves inland it will be moving slow. it will be dumping just torrential downpours in these areas. we'll be measuring water and rain not in inches but in feet eventually it will hook north. even as it moves north we are concerned. we are not out of the woods by any means. once it moves north we'll be looking at west virginia and virginia and making sure we are providing the appropriate resources as the storm continues to move this weekend and even into next week >> and you said too few people have flood insurance what would your advice be to people who don't and who have flood damage to their homes? >> well, first fema does have assistance programs for everyone if you don't have flood insurance we will be there to

help however those with flood insurance will recover faster and more fully than those without. let me give you an example a lot of people comparing this storm to hurricane harvey. the average disaster survivor vor received $4,000 from fema. that policyholder who had flood insurance got on average not 4,000 but $110,000 i would encourage any of those individuals who are seeing this flooding and saying do i need flood insurance? the answer is yes and you should check out how to get flood insurance in your area >> okay. thanks so much for joining us again. >> thank you hey josh >> are you excited about getting apple's new high-end iphone?

you might have to wait a bit longer preorders started just after midnight today availability for that new iphone xs max has been pushed out one to two weeks it goes for the new iphone 10s with the 5.8 inch display. they say this year's lead times are generally shorter based on his research you're not having to wait as long for these new models. shorter lead times could indicate demand. it is not an exact science either because we don't know how many phones apple is actually producing right now. still the lead times are consistent with his general expectations he tells me that the 10s won't be the relatively big sellers. he is betting that the most

popular will be the new 10r which goes on sale next month. the new watch also available for preorder today that device starts at $399 back to you. >> josh, my friend, thank you very much for that guys, apple ending the week up 1.1% or so so a decent week given that it would run up pretty well into this announcement. >> yeah. up 30% this year adding to those uncertainties how many have they already produced what is the volume of orders what is apple's incentive to make them immediately available? they don't necessarily want to make it seem like you can have one any time you want. >> it takes a lot to impress you but maybe the new watch. >> no. >> by the way, i have an apple phone. i brought the old one. >> what watch do you on there? >> i have a timex there.

>> so you're not spending $600 >> no. not an apple watch kind of guy >> it's funny, i just upgraded this is the upgrade that i got >> i think they gave you the iphone 3 >> i because big fan of the 6 until they kind of made my software stop working properly you know, to me i think the pop in the stock comes from the products or anything it's basically warren buffet. he came out and said i'm going all in on apple i think -- >> he also said the iphone is too cheap at a thousand dollars. >> coming from a guy that probably never bought an iphone. >> he has -- >> motorolla flip phone which is about as advanced as your iphone 2.3. wall street essentially flat it is up 3 basis points and down

five basis points for nasdaq this is in terms of sector performance. this is the worst and financials was the best bouncing back from a poor week. let's go to sue now for cnbc news update. >> hi everyone here is what's happening at this hour secretaryover state pompeo says john kerry has been undermining u.s. policy on iran. late yesterday president trump accused kerry of holding illegal meetings with the iranian government typhoon slams into the philippines northeastern coast they say the winds and blinding rain ripped off tin roofs and flocked down power lines more than 5 million people are

at risk from that storm. the bus was carrying 33 passengers as it fell some 3,300 feet and the air to fiat's founding family who died in july the memorial service taking place. the cathedral was packed and you can see they were in assembly line jump suits in honor of him. that's the news update at this hour i'll send it back to you have a great weekend >> you too thank you very much. as always, sue back at hq. ss> spacex has its first private paenger. details later on the closing bell s pregnant, in-laws were coming,

a little bit of water, it really- it rocked our world. i had no idea the amount of damage that water could do. we called usaa. and they greeted me as they always do. sergeant baker, how are you? they were on it. it was unbelievable. having insurance is something everyone needs, but having usaa- now that's a privilege. we're the baker's and we're usaa members for life. usaa. get your insurance quote today.

>> we'll discuss an exclusive comes right up on the closing bell packaging for restaurants. and we've grown substantially. so i switched to the spark cash card from capital one. i earn unlimited 2% cash back on everything i buy. and last year, i earned $36,000 in cash back. that's right, $36,000. which i used to offer health insurance to my employees. my unlimited 2% cash back is more than just a perk, it's our healthcare. can i say it? what's in your wallet?

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my mood is better, all of these things my kind of puttering time is very important to me that's why i set my first meeting for 10:00. i like to do my high iq meetings before lunch, like anything that will be really mentally challenging that's a 10:00 meeting. by 5:00 p.m. i'm like i can't think about that today let's try this again tomorrow at 10:00 a.m >> he's worth 160 billion. it's not even 9:00 to 5:00 it's a 10:00 to 5:00. you can't argue with the richest man in the world >> you can't i can argue with you though and you don't need that much sleep that's mental. >> you have the naps in the car as well. >> it's called laziness. >> when he began getting the eight hours of sleep from 1999 to 2002 when stock was down -- >> it was out in the garage. >> he doesn't think about the

tok day today. >> yeah. >> we also learned that today. >>yes. now that perspective on sleep and rest compare today tesla who sleeps four hours a night. so bezos, they are all backing -- >> she runs a company -- >> i know. >> to which musk tweeted ford and tesla are the only two american car companies to avoid bankrupt sit i just got home from the fact

rhode island y factory. you think it's an option it's not >> these people that go at 100 miles per hour to all of the time to now you the hefing ton and bezos, now you're bragging if you get eight hours sleep >> i'm not trying to brag. >> churchhill, tlacher, they both got four to five hours a sleep. >> churchhill at nighttime but he always had a nap after a bottle of champagne at lunch >> who has time for naps >> winston churchhill. spacex has signed the first private passenger to fly around the moon they will reveal who the person is on monday do we think it is a celebrity or well trained astronaut pilot or someone that won or lost a at

loather ri >> my thought it is one that want tod wanted to do this. >> things were quiet >> he did tweet something about wait models. >> ate ll less drama we'll see who that person is next week. shares at amc finishing lower after a $600 million investment which helped the stock. up next amc ceo will join us to discuss the group we are back there a couple of minutes.

wove got a news alert now on the storm. nbc meteorologist katlyn mcgrath with the latest. katlyn. >> hey there, sara florence is now tropical storm florence with maximum sustained winds at 70-mile-per-hour moving slowly west at 3-mile-per-hour you can see the track bring going into south carolina as we head through the evening tonight into the weekend we will see the slow movement as we head through the next 24 to 48 hours before florence will move to the north. we are still talking about life threatening flooding and catastrophic storm surges through the evening tonight. wilfred and sarah, back to you. >> great, thank you very much for that now shares of amc entertainment finishing low are after popping 2% on the news private equity firm silverlake will investment $6007 million. >> amc also bought back 24 million shares from the

company's largest sharmd the group of china the cutting the ownership from 60% to 50% and joining us now in the cnbc exclusive to discuss more on the slfrmg investment is adam aron subpoena ceo of amc entertainment. welcome back. >> always good to be here especially on a day like this. with the sole exception that we have 16 theaters right in -- being gunned down by hurricane florence with that aside, today is the fabulous day for amc. >> yeah, and we wish that they open up very quickly after the storm passes, adam i want to talk to you about silverlake interesting. you know they are such a tech-focus the firm. they have investments in dell, tesla, alibaba for them to come to amc, how did they come about. >> we sought them out he sought us out we found they were interested in our company.

silverlake is a private quiet firm with more than $40 billion of capital under management or committed capital. their reputation is just spectacular. these are very smart people. they have added a lot of value wherever they've been. they have a terrific knowledge in tech and media. our company is a tech enabled business you can't do anything at amc without computers doing it our whole loading program, our web platform, mobile platform, our pricing platforms are digital projection we are a computerized company. there was a natural fit between silverlake and us. but we are so excited they see the investment opportunity, the high financials return they are used to getting they can get here at amc. >> it's exiting about them what about wonder? why are they selling and only selling 10% of a 60% stake what's that mean about board

presence and who guidesing you more, silverlake or their advice. >> there is now a partnership between silverlake, amc and wand appear p wanda has been the majority controlling shareholder since 2012 they have been terrific. he they let us grow. we tripled them to the theaters a few years ago. let us reinvest half a billion a year back in the network to make the movie going experience at amc nothing short of spectacular but it's no secret, the chinese government asked chinese companies to invest more at home than abroad. and this is something the market has known really since june of 2017 what we are excited about today is that wanda was able to get some liquidity but do it in such a neat orderly manner. it didn't cause any disruption in our stock they didn't dump shares on the market we were able to source a wonderful new shareholdering in

amc by a firm as prestigious as silverlake now on the numbers themselves, actually wanda moved fully a third of shares in amc today the reason they move a third of the shares only going from 60% to 50% is because they didn't sell the shares to another third party. the shares came back to the company's treasury but they moved a lot of shares, 24 million out of 75 million. >> adam, great stuff i'm afraid we are out of time thank you for joining us, a pleasure adam aron, the amc entertainment ceo. now china inviting executives from top wall street firms to beijing for a meeting this weekend on sunday to be precise. whatilbe wl discussed who is attending we discuss that coming up. we're the most isolated population on the planet. ♪ hawaii is the first state in the u.s. to have 100%

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helps cover these costs. trusted choice independent insurance agents represent multiple insurance companies and customize coverage to help protect you and your business. announcer: to find an agent, visit trustedchoice.com next week it's going to be another busy one china inviting executives from wall street firms to a meeting in beijing on sunday to discuss ways to improve ties with the u.s there are also some major names reporting earnings next week mike what are you watching. >> i have to say this whole idea of a meeting, reported on earlier this week with the wall street executives and ceos is fascinating for the message it sends about china wanting to

maintain. >> wanting to improve relations is the title misleading? or is this still a secretary are where there is progress being made because if you look at the last 12 months net there has been progress made but small progress in terms of financial "access hollywood. the other thing that's interesting is who is going to this and my sources confirm it's none of the big ceos. the most senior is john waldeck dren, the newly appointed president and c.o.o. of golden but usually it's the head of the investment banks so not sending top people. >> evan does this give you hope about china. >> i don't think -- in the white house this at the know that wall street does not want a trade war. and they know ceos don't want a trade war. at this stage it's all, you know whatever is going on in donald trump's head in a given day. >> maybe what it did is it softens the fear that china was going to retaliate against u.s. companies in other ways. >> and the service sector is something that gets bandied around. >> here is the thing i want to

know, which is what incentive to the chinese have to come to the table? and i don't see that yet i don't. >> a weakening currency. >> my point is they don't truss trump. >> no impact on the market today. but we rallied into the finish slightly higher for the day up about a% for the week. >> i leonard you weigh 230 pounds. >> 226 that does it for "closing bell." enough on that "fast money" begins next. "fast money" starts right now. live from the nasdaq market sight overlook times square. scott woman ner traders on the desk pete narjen guy adami. nathan and tom. the new crop of iphones off the charts why are shares of apple falling? we slain plus what's wrong with the banks? it should be nirvana out there but the stocks are in the mud. the chart master tell us why there could be more pain ahead first we start with the big story of the day the trade war rearing its ugly head again let's go to amon javers in