. welcome to "street signs." these are your headlines european stocks lack direction following a sell-off in asia after a 470 point drop on the dow as the threat of tariffs on china looms. siemens powers towards the top of the stock 600 after they beat expectations as the german industrial giant also reveals plans to spin off its gas and power unit

commerzbank trends higher as the german lender moves on from failed merger talks with rival deutsche bank. rome accuses brussels of prejudice calling the e.u.'s growth forecast for the italian economy bogus. the ceo of italy's biggest lender tells cnbc his country will benefit from the recovery in germany. the dow ending lower its worst day since the beginning of the year. that closed below the 50-day moving average volatility also spiked up with the vix above 21

the highest level since january. a lot of fear gripping u.s. markets yesterday. a bit of a delayed response given the outperformance u.s. equities had the day before. overnight asian equities also trading in the red, but that has yielded to a somewhat better session for europe overall you can see there is actually a lot of green on the board today for the europe heat map. about 60%. 40% in the red i would say today our focus is a little more on company earnings. that is the number one focus for markets this week, but we have a lot of earnings to look at stock europe 600, up one-tept of a percentage point the breakdown and you can see the picture is pretty green, actually, for european markets

at around 72.60. right at the top of there we have angela merkel, and that is up 1%. on the down side we've got tui under focus. we'll get to that itv also stock that's down 2% the journalan index up about half a percentage point. they now forecast growth of 0.5% in reaction to that, we did get a little bit of a market reaction yesterday, but today shrugging off the news, and driven by some better earnings there. siemens is one of the names pulling up to the up side.

right at the bottom real estate down half a percentage point travel and leisure also down half a percentage point. also dragging other names lower with it. right at the bottom of the german index as well up at the top we have industrials. siemens having a good day today. that's pulling off that basket, and then the tech sector, which is obviously a very big focus of the market this week the last couple of days, also having a good session today up half a percentage point. remember, yesterday i talked about the weakness in u.s. equities a lot of the weakness was in the tech sector pulled down by semiconductors better day for technology overall.

surprising that the dollar hasn't really done as much as you would anticipate in these moves. the reaction across the board today is -- well, the euro is trading stronger tells you the dollar is trading weaker on a day when obviously risk was very much in risk-off mode yesterday dollar hasn't caught a bid versus the euro. sterling pound sterling also trading on the back foot today we are right in the middle of brexit discussion week, and so the big question for markets is whether or not the cross-body talks will actually lead to positive results one of the main focuses of the markets today has also been on european banks one name in particular we're looking at is commerzbank. commerzbank has posted a 54%

fall in first quarter net profits on higher taxes. we caught up with the -- following the elgtsian bank agency earnings release posting a 16% drop in net profits. now, he told cnbc in an exclusive interview that the success of european banks hinges mainly on their business models. >> it is clear that if you are concentrated on a business model that is relying on what management protection on commissions on ability to leverage on wealth, it is much better than having a business model relying on corporate investment banking on level two, level three access, and the case

of -- is a typical case of well diversified company concentrated in a country, but leveraging on the parts of the country family's wealth, the related companies. we are in a unique position also compared with the german companies or other players in the market >> what are the differences, though, on npr we are looking at commerzbank today. barely to think about 1% mark roughly. if you look at yours, your gross npr ratio at -- you sort of get the impression once you shared all of the bad stuff from the books, then banks can continue to grow. if you get much further down the track, where is the growth coming from? >> 400 euros of loss if you compare the ratio it is

not a fair approach looking at the business model because we are relying on wealth management and not on loss. other players are relying mainly on loans and not on wealth management if you use the usual metrics to compare npr with loss, you have not a fair approach in the company that is a wealth management company, and if you look at the stress test scenario, so the results of the stress test, we are the winner, because we have the best business model and sustainability of results. a lot of wealthy families. you can have an amount of -- compared to other markets. >> that was the ceo there talking about the importance of the banking business model let's get more information on to how the banking sector as a whole is fairing out this

earnings season with the senior credit analyst it's great to have you on the show what is your overall interpretation of the earnings season so far? we've had a bunch of -- a number of banks come out with results varied, obviously, from bank to bank a few idiocincratic stories. what is your take-away of the earnings season so far >> yeah, good morning. i think it's a trend from -- coming from last year, and i would differentiate between the president and profit and loss. we're seeing margins, especially in one -- the mortgage because there is a lot of competition. we've seen that in the u.k. and scandinavian banks, and to some extent we see in other parts of europe on the balance sheet there is a continuation of a trend on the balance sheet. now i think there's the fundamental that's still solid in the u.s. banking sector of course, there is a wide

dispersion between the banks, and the rest of the economy. >> do you think that the market is distinguishing between those -- and this is something that mr. messino was talking about, those that have a strong wealth management business versus the ones that are more traditional lending or investment banking business, because it seemsz to me like the strength in a lot of the way businesses are structured now in europe is varying more and more between recurring fees >> they're trying to move the bank within the limits of the pass first from the net income interest to more fees and commission i think it's not for everybody for example, in italy in case i create a fair -- in the trend. the bairngs are the forces trying to catch up with, but it's very dill difficult belgium is very fair it's a very good insurance

operation. santander is trying to do the same in the u.k. i mean, it's been a top ek for a while, but, again, that's not for every bank >> another bank that reported today, commerzbank they posted a 54% drop in net profit for the first quarter just shy of 100 million euros. obviously, the talks between commerzbank and deutsche bank have now officially been suspended, but the ceo says that the strategy of the bank is on the right track. i mean, how do you see commerzbank's story playing out here, and do you think it will still be an eligible target for takeover >> yes if you commence, we remain a target for other european players, and i think it's important -- it would be important for commerzbank in order to deliver on the second phase. i think the first phase they clean up the balance sheet, and it's been -- that's versus what they have now.

it's a local series. what they say for the full year, 450 million of a provision, which is very -- the problem is for this bank it's growing revenue, which i think is a very difficult exercise, and i think it's probably beyond the management tool. i think it's probably something that's happening, and i can see quite a few players looking at it >> so you say one of the biggest challenges growing revenue yesterday the european commission cut their forecast for german growth to just 0.5% for this year. surely that's going to be even more problematic for the german banks with exposure to the germ ann economy. here i'm talking about the main two commerzbank and deutsche >> yeah, it is a challenge, but i think the challenge is more on the retail side. if you look at the -- i think they grow by 125k number of clients.

on the corporate side, i think there's still capacity to grow margin, even as compared to other countries. i think that's what the challenge is on the retail side. i think one of the leverage to be used is the cost cut. the old-fashion cost cutting >> ultimately, the costs are just too inflated. you look at the cost income ratios for all of the bairngs. they're very close to 80%. it has to come down. leave it there thank you very much for joining us on street signs it is philippe, senior credit analyst from hermes investment management a few more companies news for you. a few more company earnings. siemens posted a drop in second quarter profit, but still beat expectations profit from the industrial business rose 7% also beating estimates the company confirmed its full year outlook after revealing plans to spin off its gas and power business

ferrovial shares have dropped off the loss of 98 million euros. the spanish infrastructure company says it was on the impact of the division in the construction division without which it would have turned a profit berenberg has cut lufthansa. the stock is trading near the bottom of the stock 600. you can see the stock is down about 4% it was only yesterday that the ceo confirmed that they had made an offer for thomas cook's german airlines industry thomas cook reacted -- the stocks reacted on the news lufthanso down 4% today. later today annetta will be speaking to felix, the president of germany's financial markets watchdog bafin it's at 14:00 c.e.t., and iran has warned it may stop complying. we'll have more on that and what that might mean after this

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>> here are expectations for a rise imports jumped by 4% when the market was waiting for fail of 3.6% the talk is that weak orders to the u.s. and europe were behind the drop in exports. chiepz stimulus measures with a cut in v.a.t. boosted imports. chinese exporters are now concerned that trump's latest tariff threat could spike hopes for an export recovery in the second half of the year to survive many in the supply chain, both chinese and american, are now talking about a concept called china plus one. it's a strategy that has been

around for years mainly for bigger companies to diversify their production base. these days companies of all sizes are now reviewing this approach with the priority to find an alternative supplier for every single critical component. suppliers are not only worried about the u.s. tariffs, but they also feel that china won't significantly alter its economic agenda despite u.s. pressure they're now preparing for points of crisis for the next five to ten years. younis yoon, cnbc business news. u.s. secretary of state mike pompeo has made a visit to baghdad. he met with the iraqi prime minister to explain u.s. concerns over iranian activity and washington's decision to deploy a carrier and bomber task force for the region

>> first of all, we talked to them about the importance of iraqi maturing and then its able to adequately protect americans in their country they both provide assurances that they understood that was their responsibility we wanted them to know about the increased threat stream that we had seen >> and iran has warned it will stop complying with some elements of the 2015 nuclear deal in a speech on national tv, president rojani said they would resume high level enrichment of uranium if they did not keep their promises to protect raurnians from sanctions he said he sent letters to the leaders of the u.k., france, germany, china, and russia telling them they had 60 days to fulfill their commitments to the nuclear accord despite the unilateral withdrawal of the u.s. last year it's great to have you with us on the show. i just want to ask you, what is the significance of this

announcement out of iran in the last 24 hours? >> it is very significant because it is effectively giving europe an ultimate mate im it is saying you either side with, you or you side with the united states, and, of course, this puts europe in particular in a very difficult position because europe will not want to go against u.s. imposed sanctions, but at the same time european countries have been trying their best to keep the nuclear deal alive i personally think that this announcement by iran signals the beginning of an end for the deal as you say, from the very beginning, they've been trying to i understand foo ways to operate within the country, but at the end of the day, commercially iran is much less important to europe than the united states is, so would you say to recap this that this is really the beginning of a change of direction when it comes to how europeans have been approaching the iran situation

>> i suspect that iran knows that it is impossible for european countries to stick to the deal when iran has withdrawn from parts of it i think ultimately iran is doing this in order to preserve itself as not having been responsible for the failure of the deal. >> what type of -- isn't this a bit of a gamble on the raupian's part as well again, looking at iran economically, it's under dur es. the inflation is imploding the currency has been massively deappreciating i think for a lot of iranians -- the u.s. withdrawal was one factor, but even before that the economy in iran did not recover

to a high level because of the deal, and a lot of hardliners in iran basically want the deal to fail what we're seeing here is effectively empowering the hard liners in iran because then they will say we told you so, we told you that this deal was not a good idea, and it wasn't going to work. if anything, this involves their own position in iran yes, the economy is doing badly, but they invest their money abroad, and when the iranian currency goes down in value, they are not affected. if anything, they benefit from this ultimately this is playing right into the hands of hardliners in iran >> very negative geopolitical development there. lena, thank you very much for taking the time to chat to us. that was nina, the head of middle eastern north africa program from chatham house >> well, on to a slightly rosier

topic. liverpool produced one of the greatest comebacks in the history of the champions league. they've got a bit of a knack at doing that at anfield last night barcelona 4-0, and with in the semifinal second leg 4-3 on ag gat adam, tell us more what a night >> no team has gone through however you want to say it i've got about two and a half minutes, three minutes to give you context of why this was such a huge monumental achievement. take out the fact that liverpool started the night 3-0 down from barcelona. no luck they had in the new camp last week. lionel messi and all of that meant that they were coming into this game from an incredibly low edge the manager gave them no chance.

you lose a key player in roberto. then you lose a player at halftime like andy robertson, who can account for 11 assists in the premier league this season you put 33-year-old james milner to left back so what does that all mean >> miracle >> a miracle needed to happen. absolutely right you start the night with a consult hero, shall we say, but not someone you can necessarily rely on for a goal six minutes in they get a goal here that's 1-0 they still needed to make sure that they -- that they could keep going he said he was angry at -- maybe a little tongue-in-cheek, but he came on two in two minutes, and then a bit of genius from trent alexander arnold with 14 minutes to go. it meant that liverpool beat barcelona. not just any side. barcelona 4-0, and they went into the second champions league final. >> this is the semifinal you don't want to count your

blessings too early. there's still the final to look forward to premier league, is there still hope >> they're doing things that no other side has done. there's every chance that this side can get 97 points if they win on sunday and finish the premier league season in second place. every other year of the premier league potentially this year and last year they would have won the premier league an unbelievable effort only one defeat that would mean this season by this team they've got the player of the year in virgin van dyke. they've got potentially their top two goal scorers in the league in mohammed sala and this is an incredible team. if we want to talk from a serious point of view here, liverpool are european royalty, shall we say five times european champions. a sleeping giant, has awoken here if we want to talk from a cnbc perspective and what this all means for investments and people's money, their kick deal is up at the end of next year

with new balance now, a huge potentially recordbreaking deal could be on offer there if one of the bigger brands other than new balance make one of the new players. >> are you saying winning is lucrative, adam? it could be lucrative for the -- it could be. >> very much so. >> we didn't talk about the third "never give up." >> maybe he knew something we didn't >> maybe he did. >> he should be back on sunday as well. >> i should start wearing never give up shirt to keep me going thanks for breaking it down for us also coming up on the show, nestle says it's on track to meet its 2020 targets. we've got the highlights from the swiss company's investor day. that's coming up next. at cdw we get that modernizing your it infrastructure requires deep thought. so quit staring out the window and give cdw a call. they'll assess your infrastructure needs. then design and implement a modernization solution using fast hpe gen10 service. with security features built into the hardware. and provide hewlett packard enterprise proactive care services.

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welcome back to street signs. these are your headlines european stocks reverse earlier losses following a sell-off in asia after a 470 point drop for the dow.

>> commerzbank trades higher after investors look past the more than 50% fall in first quarter net profit as the german lender moves on from failed merger talks with rival deutsche bank and rome accuses brussels of prejudice pulling the e.u.'s growth forecast for the italian economy bogus. the ceo of the biggest lender tells cnbc his country will benefit from the recovery in germany. >> italy has a strong correlation, and this possible recovery in germany is the area in which all companies in italy are now relying starting back to make investments >> dfs a heavy session for u.s. equities also asian equities overnight as well european markets fairing a little better this morning we have most of the majors trading up in the green.

italian growth at 0.1% for the year it sent shock waves through the italian banking sector ftse 1 00 is the only european index trading in the red today down .1% remember, u.k. still very much playing catchup. it was out on monday after that steep day of declines for european markets let's switch over and talk about foreign exchange pairs earlier on i was talking about the lack of a bid for u.s. dollar despite some of the down moves we had in u.s. equities, and also the bid for fixed income

we are seeing a safe haven bid foreign today. the yen is trading firmer versus the u.s. dollar to the tune of .1%. yesterday was a weak day to u.s. equities it was the worst day for the dow since the beginning of the year. let's take a look at how the picture is shaping up today. >> helped by stronger on-line sales in the netherlands that is roughly in line with expectations

they also confirmed its recently lowered outlook for the full year the company also reported double digit sales growth for its products adderall. sticking with the sector, nestle ceo has said the company is on track to meet its 2020 targets speaking at an investor update, mark schneider said 2019 is "shaping up to be a busy year for portfolio management." the swiss consumer goods giant is due to announce a decision on the future of its skin health unit by the end of the first half with colgate, palmolive and unilever among the bidders for the $10 billion unit i'm happy to bring in john cox, the head of jurp even consumer equities thank you very much for taking the time to chat to us

are you expecting to hear anything when it comes to the skin care business >> i think they've made clear that the skin care business is almost certainly going to be disposed, and that will happen before the end of the first half you know, i presume in the next couple of weeks we'll get an announcement on that initially people were saying maybe they could raise $7 billion fraungs from that, but, now more recent media reports are suggesting that they could even raise $10 billion and above. it could be an interesting piece of business for them before the end of the first half. >> you know, but, john, looking at the earnings season so far for some of the key names, nestle, unilever, they, in fact, posted decent results relative to expectations. expectations were quite low, but still exhibiting organic growth north of about 3% now. do you think this industry has turned a corner and they understand better what they need to do to stay abreast of changing client tastes, changing consumer tastes, as well as some of the challenges that they have faced over the last couple of

years? >> definitely. i think these guys are really the empires striking back. i think for a couple of years they were losing market share to innovative start-ups maybe a tin ear when it came to new things like consumers wanted in terms of food and drinks, and also into home and personal care they understand they need to innovate faster and they are starting to deliver. sales growth across the board was probably a bit better in the first quarter. we probably reached a bottom in terms of organic sales growth. we remain in the deflationary environment, so i was key to ino vat to have some sort of pricing

power, and i think these guys are suddenly got it, and you're going to see organic sales growth at nestle at least continue to accelerate and obviously their target is next year to be at mid single digit levels, somewhere they haven't been for four or five years. >> you raise a couple of interesting points there one of them i want to pick up on is that of pricing power again, one thing that emerged from this earnings season is companies are being able to pass on higher prices to consumers now. europe remains pretty difficult. if you look at ag cultural commodities, they remain very, very depressed.

>> at the end of the day it's all about innovation to be able to drive price increases >> that brings you to my second point about innovation, which is something that you have said multiple times over the last few minutes. innovation, how easy is it for these companies, traditional companies, to keep up with the pace of innovation when you look at things like, you know, beyond needs. ipos recently, showing a demand for meat replacement products. consumer tastes are evolving isn't it expensive for these traditional companies to try to compete with those smaller start-ups, and if that is the

case, isn't the easier way just to try to acquire and go down the -- >> yeah. i think what's happened in the last couple of years is some of the big companies have had to kick in the pants regarding innovation and taking their cue from some of the smaller companies out there. you know, a few yoerz ago all the big companies are saying, look, we need fewer innovations. it's a big, big bang we do one or two a year. we spend years actually planning for the event and then we give it our all that way. it's totally changed now, you talk to any of the kidnaps. they're saying multiple launches all of the way through the year, and then continue to innovate even if you have a new product 1.0, 2.0, 3.0. that's the way it's gone consumer tastes just change so rapidly in an era when everybody knows what's happening in any part of the world very, very quickly. some of these trends like

organic, you know, plant-based protein. you mentioned beyond meat. actually, nestle has its own vegetarian burger or vegan burger that is something they wouldn't have had a couple of years ago they're actually at the forefront of that. other companies like -- with plant-based milk and yogurt businesses i think a lot of them are just realizing you need to really move much quicker. you need to basically compress the innovation cycle it's no good looking at the drawing board today and then you don't launch for two years by that time you could have missed everything.

>> i think some people are concerned about eating meat and also environmental i think people are willing to eat vegetables and vegetarian dishes maybe on top of still eating meat dishes on other days of the week coming to beyond meat, it's almost $4 billion, and it had $100 million of revenue even below that level. >> we've had movement somewhere. the reserve bank of new zealand has cut rates to record low 1.5%

in the face of economic and trade uncertainty. governor a.j. moore said they had been surprised by the downturn in business sentiment and consumer spending, and that the u.s.-china trade war was one of the bank's major concerns striking a different tone from what we heard out of the rba yesterday who, of course, did not cut rates.

>> it will take place early june, and we will look not only at the nominal figure 2.5% must be over 3% for next year, but also at the structural figures we have started discussing that with the italian authorities, and we will see what should be done at this moment. >> definitely an ongoing story there. ceo carlos mess evena told cnbc earlier today that despite complaints from brussels, italy's economy is actually morrow bust than many of its european neighbors >> italy, it is not close to any kind of crisis because if you look at italy, you have such an amount of wealth in compare ton to -- that is uncomparable with

the level three asset, level two access, derivatives that are in countries that are much stronger than italy in the perception of the investment they are much more without the price there is no response my position is that italy is a strong country, and also, the banking system looking at nonconforming loans. >> i know we have to move on, but this is a fascinating point. when mr. salvini criticizes mr. draghi for his -- his to the italian banking sector, you are actually more on mr. salvini's point of view than you are on mr. draghi's point of view >> i'm mr. messina my personal position is that -- >> i didn't want to pigeon hole you, but i just kind of think that it seemds you're making the same criticism against mr

mr. draghi >> i'm just a real and strong supporter of italy that's my position because my perception and what we have in reality, we have the perception of the strength of the country because we have 25% market share. we have 10 billion euros of transaction, and our figures and our accounts each day for the italians, so we are really -- the payment system of italy. i can tell you what is reality in our accounting. reality is that italy is a strong country with some problem in public debt, but it is a strong country, and the nonperforming loans is a problem. it's under management. it is not comparable with the amount of the derivatives, level two and level three asset that you can find in other countries. >> we've talked about italian growth and italian banks, about nestle, about consumer goods, and about meat plenty of topics for you to engage us with you can follow us on twitter at street signs.cnbc or tweet me

directly at cnbc also, coming up later on the show, stay with us uber issues. find out why drivers across the u.s. and u.k. are trying to gridlock the app ahead of its mega ipo - i love my grandma. - anncr: as you grow older, your brain naturally begins to change which may cause trouble with recall. - learning from him is great... when i can keep up! - anncr: thankfully, prevagen helps your brain and improves memory. - dad's got all the answers. - anncr: prevagen is now the number-one-selling brain health supplement in drug stores nationwide. - she outsmarts me every single time. - checkmate! you wanna play again? - anncr: prevagen. healthier brain. better life. (danny)'s voice) of course you don'te because you didn't!? your job isn't doing hard work... ...it's making them do hard work... ...and getting paid for it. (vo) snap and sort your expenses to save over $4,600 at tax time. quickbooks. backing you.

welcome back to "street signs. google has announced new privacy measures at its annual developers conference. the announcements include incognito mode for google maps and a new website for privacy disclosures for home-based devices for speakers the giant has -- for video, audio, and sensor readings for those devices that personalize advertising. meanwhile, facebook's chief operating officer sheryl sandberg has met with u.s. lawmakers to discuss on-line privacy as well.

>> croatia is due to appear in a vancouver court later today as part of the case into her extradition to the u.s however, a final decision on her future could still take several months argen filed this report. >> huawei ceo was arrested in canada in december on behalf of the u.s. authorities who have accused her of bank fraud in relation to skirting u.s. sanctions on her run she appears in a vancouver court on wednesday as part of the extradition hearings, and her lawyers are likely to argue a little bit more about the next steps, the timetabling, and they're likely to ask the prosecution for some documents and further evidence of some of those allegations. this is one small step in what could be a very long and drawn out process. of course, it happens against the back drop of the u.s.-china trade war, and one very notable thing about this case is how heavily politicized is it. president trump in the past has said he could intervene in this

case if it helps resolve the u.s.-china trade dispute, and from the chiends side, they've carried out some supposedly retaliatory measures arresting canadian citizens in china and accusing them of espionage and even sentencing one canadian citizen to death on allegations of drug trafficking. this is a very notable case, which could go on for many, many months, potentially even years with many different parts of the trial. it will be very closely watched. not only because huawei is one of the largest technology companies in the world, but also for the implications on canada and the eventual results of the u.s.-china trade deal. cnbc business news >> well, for the comprehensive guide on the huawei extradition case head to cnbc.com for more reporting from our own argen lyft has posted a $1.1 billion quarterly loss, in its first report as a public company. the ride hailing app beats revenue expectations, but this was offset by higher costs related to its investments in self-driving cars as well as

scooters and bikes lyft said 2019 would mark "peak losses" for the group, but shares still lost ground the stock is now down over 20% since going public at the end of march. now, lyft's results come days before its rival uber's ipo. deirdre takes a look at what the companies have in common lived and uber are battling each other for market share >> it's very much a land grab here in the united states where lyft operates right now. you know, we think that only 2% of all passenger miles are currently being traveled on the share transportation networks like lyft, and we think that's going to go a lot higher >> when it comes to the longer term, they look like very different companies. lyft operates only in north america while uber's footprint is global, stretching from north america to latin america, europe, australia, and the middle east. lyft is focused on ride sharing.

uber's portfolio spans ride sharing, food delivery, trubing, and even flying cars both have a few very important things in common one of them, huge losses >> they don't even have fidelity around the idea of profits, and they're not -- i don't want to say -- i do want to say. they're arrogant about it. hey, we never have to be profitable, so you got to look long run, but if these guys don't have any fidelity to basic things like earning profits 20 years from now, we got a problem. >> and it's not clear which business model or any will lead either company to profitability. both companies are also making big bets on self-driving cars which they see as the future snoo speaking of uber and lyft, the drivers today will both be on strike. both sides of the atlantic to protest poor wages and work

conditions drivers will turn off their apps in at least eight cities in the u.s. while their colleagues in the u.k. will also stage demonstrations as well the strike comes just days ahead of uber's listing in new york. let's get out to elizabeth who joins us live in london for more now, elizabeth, i was just looking at some numbers here i don't think people realize how many drivers are technically under contract with uber 3.9 million drivers globally what are they demanding today? >> at the core much the debate here is what you just mentioned. uber drivers are classified as contractors versus employees, which is meaning they've been exempt from many of the benefits traditional employees receive like social security or holiday pay. drivers here in london are saying we need to be classified as workers and that's one of the

key points that they're expected to protest today both in person and on the app. we have seen surge pricing so far, but we don't know if that's drive or just the general rainy conditions here today. what we do know is that generally there has been some support for this movement. we saw labor leader jeremy corbin tweet out that he is encouraging riders not to use the apps today in solidarity with these workers uber has said it will appeal that decision all the way to the supreme court. this comes ahead of that expected ipo on friday on the new york stock exchange that values uber at up to 90 billion dollars. workers here are saying it's unfair that the executives are making money from this ipo while the drivers themselves are under paid according to their own calculations uber responding and saying it values its drivers and puts them at the heart of its business

we'll continue to give them benefits and work with its drivers in any way possible. this driver debate certainly doesn't seem to be going away ahead of uber's ipo at the end of the week. back to you. >> absolutely not. also, it's slated to be the biggest tech ipo for this year thanks for breaking it down for us it was a torrid session. today things are looking a little bit more positive we've got all three majors seen opening up in the green. all eyes on how those trade discussions go that is it for the show today. i'm jumana worldwide exchange coming up next

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it is 5:00 a.m. at cnbc. all markets. global trade and rising tensions globally what should you be doing with your money following yesterday's massive sell-off we're going to find out. china tumbling overnight on new data showing a big slowdown in exports. one technology company recordly planning massive layoffs in china as that trade war heats up oil prices, they are moving higher iran says it may pull out of key parts of the nuclear deal. lyft posting a massive loss in its first ever quarterly numbers. more on all these major stories ahead on this wednesday, may 8th as worldwide exchang