stocks here in europe beginning a brand-new trading month hoping to shake off shock-tober. so far we have the stoxx 600 just opening up for the early part of the session. it's fairly flat inching ahead into the green there you go we switched. we're now tracking down. a lot of earnings due out today.

that's impacting some early signals. oil and gas at the bottom. we have a bit of a mixed market. the reds have it still, only at the margin oil and gas down a half percent. royal dutch shell, that stock moving north at the early part of the session autos are traveling down almost 0.4% off on the basket. financials, construction all trading weaker industrials down by a quarter percent. household goods, 0.2% down forever the basket banks, credit suisse reporting today. also gdansk adanske bank and in. ing with a bounce of 4%. both have been hit by money

laundering scandals. so we are seeing a lift and recovery on the back of earnings utilities a third of a percent higher basic resources strong telecoms at the top led by bt. that stock bouncing, 5% in the early part of the session. let's get into the indices the ftse 100 has a headwind. there's suggestions out there there may be a deal for financial services that's a headwind for the ftse this morning we're down 32 points the rest of the markets, you can see we're getting a red tone on the boards the xetra dax opened down about a tenth of a percent a bit more coming off france we are marginally lower on the periphery. the ibex and italian market are trading slightly softer. the smi down 0.2%. it's not a runaway start for

november putting green ink on the charts we're reversing at the start of the month. let's get into a couple of key stocks including shell a quarter percent higher a rise in crude prices helped improve the quarterly profit, but it still came in short of analysts forecasts the company reported almost a 0.4% increase. it also launched it's $25 billion share buyback program. and 6% recovery for bt they have edged the full-year outlook higher after posting rising core earnings for the first half of the year revenues are lower compared to the same period last year. the group also reduced its interim dividend bt's outgoing ceo, gavin

patterson, explained the need for a change at the top. >> the business is performing well we set out a new strategy in may. the first two quarters demonstrated we're on track or in some places ahead of the plan the numbers today i think demonstrate that we're very confident it's the right set of processes going forwards in terms of my own situation, i've been on the board for over 11 years. co for over five years sometimes it's just time for a change i recognize that i want to make sure the business is handed over in a positive way with a forward momentum. >> always an awkward set of results. you have a significant management change happening at bt the board looking for fresh eyes for the company at a time when the earnings have triggered a strong response.

positive for gavin patterson let's look at ing, it is minimizing some losses it weathered over the past through months this was a market darling, then negative allegations around money laundering impacting the bank the three-month view, the company down 16% they had third quarter profit ahead of expectations. 776 million euros, about half the figure reported last year. adjusted pretax profit of 2 billion euros also beat contest. this rocked a well performing bank the cfo departed on the back of those money laundering investigations credit suisse, another one we're tracking it's a negative reaction so this is quite the opposite from the positive gains we've seen in some big bank reporters. credit suisse third quarter net

profit missed forecast despite soaring 74%. the stock adding to three-month losses where the stock lost 20%. let's get out to geoff for more in zurich. plenty of questions given that share price here >> a couple of big ones in terms of the engines of growth for credit suisse and those that they have been looking for there is the investment banking side in asia and whilst the bank itself has pointed to an uptick in activity around m&a advisory fees, there are issues about the performance of the global markets business that will have raised a few concerns we know it's been a tough quarter. i guess we can give the bank

that but perhaps the investors who looked at these numbers this morning would have liked to have seen credit suisse more opportunistically perhaps benefit from some of the volatility in capital markets. of course the big issue has been the decline in fixed income activity by clients. client activity through the third quarter has been lower than they would have liked so what is happening for the markets going forward from here? let's listen to what was said in answer to that question. >> there's a disconnect between the condition of the economy, if you wish, and the psychology of mindset in markets people feel equity market federations are high so we're hesitant to come in they feel interest rates will go up fixed income feels risky

you see in a bear market is big volumes when the market goes down, and small volumes when the market goes up that's kind of what you're feeling now. that nervousness comes from the numbers. then the surprises on trade, that all creates a difficult climate. so we are cautious, which is why it goes back to the whole strategy, which has been to de-emphasize more parts of our activity in a quarter like this, the old credit suisse would have lost hundreds of millions today we're making a profit. that's because we derisk massively. we will give numbers this morning. but we cut inventories between 40% to 60% we derisk massively. we have less risk, stronger

capital, stronger balance sheet. we got rid of our legacy, all those issues are done. we are coming into this environment with a clean balance sheet, solid capital, low risk and actually personally i don't mind i think those are positives. >> i think tidjane thiam will be frustrated with the performance of the share price he feels over his three years in the organization he's done more to make the bank more resilient and to improve the quality of the earnings profile as the market would see it by relying less on the investment bank and global markets revenue lines and focusing more on the consistent wealth management drivers of growth for the bank here which throws us neatly forward to the question of what they're going to announce on the capital markets day, the investor day that they will hold in early december i asked tidjane thiam a direct question about is it time to now

start giving some capital back to shareholders? is there a way they can boost capital returns to investors by announcing a modest share buyback program? what i guy was evasion and a no comment at this stage. so i think that throws us neatly forward in terms of what we might expect in terms of new targets coming out of this bank. back to you. >> very interesting, all of it all three of us are looking at these numbers. one thing that seems strange, when there's no volatility in the market, they moan these bankers. there's not activity to jep rgee from clients when there is volatility in the market, they moan. you are in the middle of zurich, you have to get out of there

alive, it's the mean street with bankers, but they hit both ways. >> absolutely. it's like you and i when we can remember british rail talking about the wrong type of snow, the wrong type of leaves on the track. you would get no trains then for the rest of the day because apparently there was something different about the leaves this ye year i think that's part of the story the bankers would turn around and say we want volatility, but this is the wrong kind of volatility for us to make money in i think the key issue has been the decrease in activity around fixed income i think that largely reflects where we are in the yield curves, what the cycle has done in terms of suppressing activity around the fixed income trade. it is clear that the bank is not hitting its own internal targets for its trading business

i don't know what to say, steve. must work harder must work better has to be the conclusion of the management team over at credit suisse as they focus on making sure their markets team delivers. clearly tidjane thiam did reflect that in that answer where i asked about markets. at the tail end of that, whilst expressing some frustration about the market psychology and how capital markets seem to be disconnected with a stronger economics, he did close out that sound bite by saying there is an opportunity here, a pick up in volatility does represent an opportunity. of course, you know, as we sit around the desk and focus on every day you have to make sure you pick the right asset class and the right time window to make sure you benefit from those gains. to be frank, staring around fund manager performance across the year, a lot of them have struggled, both through the february period and more

recently in this pick up in volatility that we've seen across markets so i think credit suisse alongside many other banks have struggled. >> after that criticism, just as well you have the physique of a swimmer because there's going to be one way out of the town for you, it's behind you, that big pool of water. you don't want to comment on that >> swimming is not really my forte. i would rather have a large cc motorcycle outside, i could dash for the border on. karen, i think these guys get it let's face it. this is not a bad set of numbers on the face of it given that we know it's been a difficult quarter around the market. i think perhaps what some investors who are selling down the stock today may be irritated about is that they didn't see more strength coming out of asia and while the swiss universal bank numbers have been good,

could they have been better? it is -- let's go back to the hit earlier on, just afterthe numbers were released. when you look at the deck they put out, one of the issues that they tried to highlight this time around is the differentiation between a swiss bank and an eu bank or a eurozone bank. clearly they want to demonstrate that they are mopping up business from some of these other european banks whilst they are struggling with their own domestic market issues interesting the messaging coming out of the bank here it's up to the investors to buy in at this point i'll come back to that other issue. we'll get a new set of targets next month will there be the promise of capital return in there in some form of buyback or additional dividend we'll have to wait and watch interesting that it was a no-comment, but not a no, it won't happen from tidjane thiam

when i asked the question. >> geoff, while there, we want to pivot over to the insurance industry swiss re posted a net profit of 1.1 billion swiss francs the share price spiking about 1% the insurer says they were impacted by claims of 1$1.6 billion from natural catastrophes and man mamade disasters. there was a comment in the report that did pose questions from making profits from that pnc, this is a general insurance part of the market that does respond to better economic cycles talk us through what you're seeing in the insurance business through the swiss re numbers >> yeah. these are fascinating figures. i will sit down with the cfo, we'll just get him to run through the important trends in the figures a couple things to highlighted. the pnc, the property and cash

tl divisi casualty division, there's been some claims through the quarter and through the nine-month number this a business with a combined ratio just below 100 for the quarter. for the nine-month period. so 99.5% is what they delivered. they can say look in a difficult environment we have made money in p and c the corporate solutions division is where they have taken the pain around the natural catastrophe costs. this year has been littered with tragic stories, the bridge collapse, the hurricanes, the incidents in japan

we have all seen the corporate story, that's why the combined ratio was 105%, which shows the challenge going forward. as we always point out whenever we talk about the reinsurance and the insurance sector, a difficult year gives the insurer an opportunity it lift premium to clients that's one question i'll focus on when i sit down with them, what is the opportunity to build upon the modest increase we've seen in premiums in a co competitive market and do they see a better profile in 2019 back to you. coming up on the program, novo nordisk's lars fruergaard

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third quarter earnings call. the danish drugmaker lifted the lower end of full-year revenue guidance expecting 4% to 5% revenue growth in diabetes care. lars freurgaard joins us i want to go straight to the job cuts the 1300 reduction taking place. majority taking effect today, which is fairly immediate what does this mean it was explained as a restructuring initiative, but it does seem that if you read between the lines, there's a fair amount of competition taking place is this about cost reduction in the face of intense pressure >> it's important to say the majority of job cuts have been done by the end of the year we will have reduced our work force by 1,300 people the majority of those are already done we are doing it by growing our

strategic brands, innovative products, and we can set up to be stronger going forward. these are strategic measures where we invest in the business going forward. >> let me go straight to the competition pressure that you're facing in the states pricing pressure is how it's termed where is that coming from? do you see any hope that might abate at some point? >> i'm encouraged by what i see in the u.s we grew our u.s. business in the third quarter by 3%. we see strong growth our new product is taking 20% of new shares, and we are past what we guided in the beginning of the year, of getting to 1 billion danish krona, we have already got there, so we expect over 1.5 billion by the end of

the year we are increasing our market share overall in the u.s. by around 2 percentage points this year so i believe we're executing strongly in the u.s. and i'm pleased with that. >> larz, i think mas, i think me united states are watching the political commentary and the midterms we know the u.s. president has been direct about pricing of drugs. what do you think if the democrats got some of the balance of power would that change to a more favorable environment for pharma companies? >> it's hard to speculate on what will happen in the election i would like to say what the government is focusing on is medicare part "b." those are some of the specif

specificity pspecific ity specialty programs, and we have no exposure in medicare part b some of the talks that started last week are not exposing novo nordisk. so for now i don't see a big change for novo nordisk. >> always great speaking to you. what about the protection of the insulin product. looking through the margins, they are holding up quite well in many regions. for you, where is the priority going forward? expanding beyond insulin or protecting that strong franchise of yours >> if you look across the world, we have, you know, majority of our patients are on insulin. if you look outside the u.s. we have strong growth in the insulin business our international rate is growing by 8%. 8% in the third quarter.

8% second quarter. 8% in the first quarter. very, very strong franchise, that's largely an insulin based franchise. in the u.s. we have strong volume dynamics. still in the u.s. market there's a reference for innovative products overall insulin will stay important for novo nordisk you can say the share of our business that comes from the base of the category, the toughest price competition, is now down to 10% 11% of our overall business this is something we can manage. again, strong growth, still strong growth in the u.s. and exposure to a growth momentum growing more than 25% on a yearly basis >> any news on acquisitions or what the recent hiring means for your focus going forward

>> we announced a small acquisition yesterday, we're acquiring a product to be used for diagnosing growth hormone deficiency we are doing small build-ones. our bio pharm business is declining by a smitall amount we have a strong strategy in place so we'll start by executing on that and taking a look at what is believed should be done. i would say we have a plan >> great to see you. thank you very much. we never take it for granted that you can find the time to speak to us. lars freurgaard ceo of novo nordisk. let's pivot to commodities, materials. i don't have a pivot apart from the fact that they're both exposed to the global market in china. >> share buybacks, maybe

bhp announced a buyback program, it will be split between a buyback and a special dividend the stock price moving higher. and gdandanske cited a 1.5 billn krona donation to initiatives against financial crime. denmark's largest lender is involved in a money marketing scandal at its estonia outlook a lot of other metrics in the business look strong despite the extent of this scandal coming up, we llpe twi sako john dacey, that's next.

credit swiss in the read after missing forecasts, despite jumping over 70% tidjane thiam saying the environment remains challenging. >> there is a disconnect between the condition of the economy, if you wish, and the psychology and

mindset in markets we see big volumes when the market goes down, small markets when the market goes up. bt edges its full-year outlook higher after the profit jumps 2% the outgoing ceo says while the turnaround plan was delivering, it was time for new leadership >> sometimes it's just time for a change i recognize that i want to make sure the business is handed over in a positive way with forward momentum. ig and danske bank rally towards the top of the stoxx 600 on positive third quarter earnings despite being burdened by fines related to money laundering scandals. and sterling on course for its biggest rise in two reports on reports that the eu has granted financial services access post brexit, but the uk backtracks on whether a brexit deal will be reached in three

weeks. ♪ swiss re is back in the black for the first nine months of the year posting a net profit of 1.1 billion swiss francs. the figures were impacted by expected claims of 1$1.6 billion from natural catastrophes and man made disaster. of course the company just about scraping a combined ratio, geoff, of p and c, do they believe there's going to be a pricing environment? a couple of questions in one for you. >> absolutely. you lead me neatly into our conversation with the cfo of the business, john dacey thank you very much for joining us on cnbc let me channel steve sedgwick. he's asking from the studio about the impact on these

catastrophes clearly we see what happened through the quarter. running forward here, can you still generate a profitable combined ratio running through the rest of the year >> i would say for the first nine months we have been at a profitable ratio we think the third quarter was a tough quarter. year to date this is not an exceptional year these losses are big we have great sympathy for the people who suffered directly from them. our job is to get the cash into the hands of the insurance clients so that they can disperse it into the field >> interesting that you point out that you think across the nine months this has not been exceptional for natural catastrophe, we looked at 2017, we saw 2018 as a year of recovery and recuperation in many senses for the reinsurers and the insurers

as you do a like for like comparison with last year, how would you describe what we've seen through 2018 and of course we're still not done here, maybe the worst of the hurricane season could be behind us. >> the worst of the hurricane season is behind us but many other catastrophes don't have the same seasonality i would say in 2017 the loss was large, but our scientists would not suggest this was a truly extraordinary event. this a one in ten-year set of losses in 2017 in 2018 what we've seen to date is not unusual for a full-year load for swiss re group at least. my guess is also for the industry the industry has to accept the fact these losses will continue to come at us, be sure that we get adequate pricing for the risk that we insure. >> so some in our audience will believe that there -- in terms

of the hurricanes and the typhoons and what nature delivers here, we are seeing a change up because of manmade client change. do you take a view on that >> swiss re has been pointing out the actual data-based effect of global warming. i think it's inevitable to conclude manmade sources have something to do with that. you can never track any specific storm to global warming. what you can suggest and what we have suggested is that the volatility of events and the likely futures will increase because of global warming. in the second case, the economic development around the world, especially in high-growth markets is putting more assets at risk. >> one of the consequences is that we see premiums rise whenever there's a high level of

payout around natural catastrophes and manmade like the bridge collapse. can you tell us what the trend is going to be in premium in terms of premium inflation rises running through the rest of the year >> unfortunately i don't have a crystal ball i can say that after 2017 losses we did see an inflection point both for property insurance and for casualty insurance where prices have gone up. not as far as we thought they would. probably not as far as analysts believe they should for the industry to get a decent return on capital directionally we had some important movements at the beginning of 2018. we expect the scope of losses that you see at the end of the third quarter of 2018 will continue that positioning and lead to stable if not slightly increasing rates for next year >> is the problem still too much competition at these near zero interest rates the hedge funds, the private

equity industry can nibble away at opportunities >> alternative capital is part of the players here, especially for the u.s. property market we also think there's opportunities for us to be more disciplined and more rational in the prices that are requested for what are, in fact, very large risks, including on the man made side. >> is that situation going to change if money is repriced here the market is in a bit of a funk about the direction of interest rates. this could be a positive story for you in terms of investment return what is this doing in terms of shifting the business model into 2019 >> so, we have been able to maintain a fairly stable investment return on our current interest income of about 2.9%. that's a mix across a global portfolio. rising interest rates will

assist us and making those returns which are adequate for our shareholders, but i still don't think that solves the problem of pricing for the underlying insurance risks >> just a last question. i want to wrap a few things together i don't want to prejudge a fourth quarter, but hurricane michael has not been factored in yet. can you give us guidance on that is the ipo still on for 2019 and will you buy some of anbang insurance? >> in order of questions, we can't give a particular guidance for the fourth quarter yet michael is an important storm. there was a lot of damage. we're trying to help companies that are insuring clients and customers get back on their feet as soon as possible. we'll tell you more about that later when we close the fourth quarter. in the second case, the ipo for reassure continues in terms of preparation of pace, there's nothing new there. but the work continues to be done the last piece with respect to

anbang, it's not surprising that our name comes up. we are a major franchise in china. we're the largest foreign reinsurer on the ground. we have other investments there. we've been successful. we work with the wcribc, but i cannot discuss anything about that >> thank you fascinating in terms of delivery running through the rest of the year here. i'll send it back to you >> fabulous. an e-mail from one of our favorite correspondents daniel, between all of us many swiss banks -- you can't defame the whole industry, can you? many insurers are gangsters. geoff is right to sit in a

glance palace and protect himself. one never knows. thank you very much, daniel. >> we have a much more normal market coming into play. before we opened up for trade it looked like we would see a bounce that didn't really happen. as we are 30 minutes into the trade, it's the ftse and a couple european markets that are in the red what we have across the rest of them, the dax, almost a third of a percent higher stronger on the italian market for some of these indices it's looking like a strong start to november that's helped the benchmark, which was slightly ahead than weaker at the start of the session. it's now the putting in a modest 0.4% let's look at the sectors. reds were slightly ahead at the start of the session now two patches are still showing some red ink that's oil and gas, food and beverages. most other sectors are trying to put in decent gains. particularly on the top line here more than 1% for travel and

leisure, telecoms, autos and basic resources. lelts g let's get into the earnings. asml, 14% higher, double digit increase big improvement in the stock price on a report that taiwan semiconductor manufacturing has ordered 1$155 million worth of machinery equipment. that's a positive. hexag hexagon, 8% north on the back of numbers. the swedish industrial technology company beat on the back of strong demand from china and western europe bt on earnings, 7.6% higher. we spoke to gavin patterson who wants to hand over the business with momentum. smith & nephew also reporting, the swiss medical company has reported numbers today for the third quarter, strong enough to lift the stock price 5.1%.

and danske on the back of the biggest money laundering scandal in this part of the world, 200 million euros worth of money laundered through the estonia division, you would expect a bad showing in the numbers, they didn't look as bad as they could have been. that's positive for the stock price. enough so that it moved towards the stop of the stoxx 600. >> i'm just pontificating as ever, thinking if the uk financial services companies have continued access to european markets after brexit and we can overcome the irish border issues, is that the end of this story about london job losses on the back of brexit >> oh -- >> i know that's a humge call if there is regulatory alignment which mrs. may has been after since chequers, uk financial

companies get access to the european markets, is that the end of this london city job loss i don't know i think it might be. >> it could be just think where we were at. there was no certainty coming at all. the banks were having to come up with the worst-case scenarios. so jobs were relocated elsewhere. it was an open conversation. >> was in the hundreds in total rather than the thousands. remember the tens of thousands figure i say this because sterling is on track for the biggest daily rise in two months after reports of a brexit deal has been reached for financial services according to "the times" and reuters, they cite government sources saying there is a tentative agreement that would allow british financial services

access to markets after brexit dominic raab rejected the suggestion saying a date was put forward to give evidence of brexit talks the bank of england is expected to vote unanimously to keep rates on hold today with threats of a no-deal brexit looming large, or less large now still looming. many believe the central bank will hold off on raising rates until britain leaves the eu next month. joumanna joins us from the city of london. >> thanks. yes, the rain has stopped in line with some of the price action we're seeing in the market this morning. we're seeing a bit of a bounce on expectations that we may be nearing a european withdrawal deal when it comes to that summit in just a couple of weeks time that's the big elephant in the room that's hanging over the meeting today. many analysts put out notes saying the bank of england are

in a suspended animation mode, which means they wanted to do something but can't quite do something unless we get more clarity on brexit. to sum up what the bank of england said all along is that they are expecting the uk to enter into a transition deal come march, and for that to last until 2020 they're working on that assumption after that they look at a variety of possible trading rel lagssh sh relationships that could be had with the eu. we'll see if their assessment of no-deal brexit has gone up recently or if things are unchanged. if for one second we can push aside brexit, the fundamentals are okay in the uk right now just looking at the q3 gdp tracking numbers, they're coming in at 0.5%, 0.6% quarter on quarter. that's in line with the bank of england's own estimates. if anything it's slightly higher

than where they see growth tracking at this point in time it will be interesting to see whether or not they're getting more nervous on forward looking indicators certainly the gdp numbers are coming in line inflation numbers are at 2.4%, 2.5% wage growth, we had the average wage growth, 3.1%. ticking a bit higher all of the ducks are in line for them to turn more hawkish. this is a bank that warned the market in the past they said in order to get to our 2% inflation goal by 2021 we will need to hike three times, around one hike a year for the next couple of years the market was skeptical of that if you look at where things were priced before the comments yesterday, we didn't have one price hiked in for all of 2019 now there's more optimism in the market, hopes of a withdrawal deal

those hikinging iin inin inin i are going up again this is their opportunity to sound a little bit more hawkish, and to reiterate that the market needs to be ready for a rate hiking cycle that's why you're seeing this bounce in sterling today and also the move in yields on the front end of the curve that tells you going into today the market is doing some tightening that carney wanted to do himself. >> thank you very much for that. you and willem will be co-anchoring decision time at 11:55g mt ahead of a decision at 12:00. coming up, apple brings up the rear on big tech earnings. a preview next

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something about america that she didn't know. >> and she's american. >> look at me. it wasn't about work u.s. president trump is on a campaign blitz in the final days before the midterm elections he's hoping to tip momentum towards republicans. hallie jackson has the story >> reporter: the president is pulling a page fro his 2016 playbook, working to energize his base on immigration. now threatening to triple the number of troops he's sending to the border >> our military is out we have about 5,000, we'll go up to 10 or 15,000, military personnel on top of border patrol, i.c.e., and everybody else at the border nobody's coming in >> reporter: that would be more troops than the u.s. has in afghanistan, and a little more than two u.s. service members for every migrant or refugee in

the caravan, still some 900 miles from the u.s. border just six days from the midterms, the president zeroing in on an issue that fires up his supporters as he fires away at a fellow republican, paul ryan, who is not even on the ballot. the president is tweeting the house speaker should focus on holding the majority rather giving his opinions on birthright citizenship, something he knows nothing about. why are you attacking paul ryan? >> birthright citizenship is a very, very important subject, in my opinion it's much less complex than people think. >> reporter: that comes after ryan correctly pointed out the president can't just override the constitution with an executive order to prevent babies born in the u.s. to undocumented parents from becoming citizens. >> well, you obviously cannot do that you cannot end birthright citizenship with an executive order. >> reporter: even with pushback from his party, the president is not backing off, betting his base will turn out if he keeps the border battle front and center >> that was hallie jackson apple is reporting after the bell today with double digit earnings growth and revenue of $61 billion expected elizabeth has been looking forward to the day ahead what worries me about apple,

this is meant to be a strong report, there's noise around the products the iphones, the macs, a lot of updates have come through the system is that a distraction technique? >> there's a lot of updates but that doesn't seem to be deterring people from buying into the new products being released we're keeping a close eye on iphone sales today today's report will give the first look at sales of the iphone xs and x max. and the guidance given on those products will be crucial for the holiday season we're looking for 48 million new iphone sales $2.78 earnings wer shar s per s. revenue expected to come in at 61.6 billion it's likely to be a quarter where we see an increase in the average selling price of iphones, that's because those premium phones went on sale this

quarter. the average price is going as high as $800 >> we know some of the higher priced ones, they had high input costs. but if prices are high and import costs go lower, that's got to be positive for margins >> it is the other high margin business for apple that's highlighted in the event this week in brooklyn and over all in the past year is the services business. >> oh. sorry. i was going to ask you about that >> were you going ask about that >> i was well done. i'm obsessed by the hardware we're always obsessed by the iphones. so tell me about services. >> internet services, the app store, apple pay, these are high margin businesses for apple that are not as effected by costs specifically when we talk about tariffs or some external factors with production.

apple's trying to really focus on being that ecosystem. it's not the only tech company trying to do that. if there's a slowdown in services this quarter, that could be a concern >> it's funny how we all pay for extra cloud support or cloud storage. >> it's a lot, isn't it? >> it's not a lot. if you convince all the users to pay for extra storage, you sort of add that to the services revenue. there's huge expectations. one research was looking for contribution to be about 40% of earnings by fiscal 2020. that's a huge waite of money co weight of money. >> there is concern over whether the loyalty to apple services is as high as it is to am hardwappe hardware 79% people of loyal to the iphone regardless of what other new phone products are coming

out. it's unclear if that's the same for apple ipay >> well done i do want to very briefly -- we have a couple seconds left. a very heavy day today i think this is the key number productivity and labor costs, job claims are out there, market manufacturing pmis, construction and i pointed out like vehicle sales. a host of data up next is the aforementioned "worldwide exchange. have a good day in the markets place, the xfinity xfi gateway.

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it's 5:00 a.m. here are your top five at 5:00 a big turnaround stocks surging to cap off a wild october what could be in store for markets as we kick off a new month? a brexit break through the uk and the eu reportedly agreeing on a tentative deal for financial services. david einhorn seeing modest returns amid all the market madness. a worldwide