it's now 5:00 a.m. at cnbc global headquaters here's your top 5 at 5 the bond market flashing the most clearing recession signal in more than a decade or is it is now the time to worry or is something else at play digging the dividend the 30 year bond yield doing something not done since the depths of the financial crisis it could mean good news for stocks we'll tell you what that is. the risk off rally the one investment outperformed nearly everything else and it may be the oldest investment class in the world hot home fitness maker peloton

looking to go public but don't expect profits any time soon let's forget the trade war, shall we we're going to tell you about it without trying to ruffle any feathers worldwide exchange starts now. ♪ >> your radio may be on. maybe you're driving to work welcome for wherefo ever in the world you're watching. futures right now are not giving us a lot of indication about which way this market is going to go in what has been a very volatile month for stocks. we are down exactly 0.9 right now but not to take anything away from this fine program, we'll see if that turns around

yesterday another rough day for stocks the dow falling 155 points right now. 0.4% and yes stocks getting the attention they deserve but bonds continue to be the bigger story. really the big money story the benchmark ten year note yielding 1.47% which is below this which means we continue our inversion. the difference between the twos and the tens by the way, now the largest in 12 years. it is not just the ten year. the yield on the 30 yearlong bond also hitting an all time record low and doing something else very rare we're going to tell you what that is coming up in your morning rbi. random but interesting around the world, the asian markets mirroring us nikkei up nothing and in the european markets a similar story here we are mixed with the ftse and the u.k. up .3%. here's a global look at commodities and currencies

oil up after rising more than 2% yesterday. we're up 1.5% to 55-72 you have inventories in the united states coming down again despite near record u.s. production particularly for the basin in texas gold, that's what we were talking about at the opening gold is the best performing major asset class this month gold is down a little bit now but gold is up 8% in the month of august. up 21% in just 90 days look at that run -- who would have thunk it? gold let us dive into more of the markets and what has been a very volatile month is there any place to keep your money from keeping you awake at night? rob morgan is the chief investment officer and joins us now. -- we get all the stories right? so the swings can be bigger.

this month feels a little bit different. maybe a little bit more serious than just the dog days of august if you will. where are you advising clients to put their money if anywhere besides under the mattress that can avoid or protect against some of this volatility? >> owe opened the show talking about the yield curve. the longer it stays that way, that's a troubling sign but one thing that we don't know this go around is what has been the impact of the global quantitative easing in i'm not yet ready to throw in the towel on stocks. >> other analysts are saying earnings growth will accelerate this year. it's been lowsy this year. i'll stick with an overweight on

stocks this year and we can get into the various sectors that i'd like here as well. >> the bond market as it pertains to stocks and i see all the headlines. i get it i'm a cnbc viewer as well as a cnbc host. you know in the bond market you can look at it two ways and say okay, wow, that inversion is predicting a recession, everything is doomed or like bonds have just gotten added and it makes a, stocks more attractive and b, possible for companies to refinance their debt and buy back more of their stocks and make a more optimistic case for the equity market >> absolutely. and i would add that on about quantitative easing. it's not a done deal that a recession is going to happen in 18 to 24 months like an inverted yield curve often projects and

it's not 100% accurate so you're certainlthat the equities coulde to do well in the foreseeable future. >> is big cap the biggest cap? the dividend players, the safest place to be? >> yes, here's why with the fed pivot that's happened over the last six months and obviously the fed taking a rates down approach, that's probably going to judge the dollar down going forward, not in a big way but we'll see a downward bias there and a dollar that's going down tends to put a boost into the big cap multinationals and also for u.s. investors overseas

this is a time to overweight that as well. >> why do you think that's a good deal especially given the low yields >> well, you pointed out the sector has been one of the real losers here in august and i think partly -- along with financials i like consumer staples and technology i think the selling has been overdone in financials i think there is some visible earnings growth. valuations are attractive with all the overselling going on eight financials here. >> recession in the next 12 ri chance the longer the inversion stays in place and the deeper it gets, that would go up in my mind but i'd say 20% chance right now. >> rob morgan. rob, we appreciate your views as always thank you very much. >> thanks a lot, brian. >> meantime, your top corporate story on this wednesday is an

ipo watch. this as peloton the maker of the high end fitness equipment files for its offering and also reveals some staggering losses we're joined now with more. >> good morning. peloton is moving ahead with it's ipo plans and the investor's appetite for the high end fitness market they're seeking to raise a $500 million although the number is likely to change it's going to list on the nasdaq under the sticker symbol pton. the company will sell class a shares to the public which carry one vote each while holders of class b shares will have 20 each it was founded in 2012 and it's posted losses every year since then and the year ended in june, the company's losses more than quadruple to $200 million. revenue more than double to $915 million. sales of fitness equipment and digital subscriptions. it had more than 1.4 million

members as of june and 511,000 subscribers in fiscal 2019 shareholders include tiger global, fidelity and tcb it's value then of $4.1 billion. >> a few minutes we'll see you. we're getting started on a busy wednesday. when we come back, much more on why bonds are acting like high flying red hot tech stocks any buying opportunity, maybe short lived. more than 100 companies pressing the green light. we'll take you live to beijing next and later another scary storm heading to puerto rico can the island take another blast when it's not even fully recovered from last year's terrifying weather the latest on tropical storm dorian coming up

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welcome back there's new reports this morning that a growing number of american companies are pressing the commerce department for permission to do business with huawei huawei has been blacklisted by the trump administration but companies say they need to do business with the chinese giant. eunice has more on this story. >> thanks so much. well, 130.

that is the number of applications that reportedly went to the u.s. commerce department by american companies that are looking to continue to sell to huawei so reuters was told by sources that the trump administration is still unsure whether or not it's going to grant all of these licenses because of all the uncertainty around the trade deal and i was speaking to huawei a couple of minutes ago and they said that they have no comment on this report but except to say that the company hoped the u.s. would take it off the blacklist and end what huawei has described as unjust treatment. now meanwhile, beijing is indicating that it doesn't want to provoke the white house at least when it comes to currencies the central bank for the second day in a row set the value of the yuan stronger than what most people were expecting.

and going to stabilize the currency throughout the whole trade war process. >> eunice, chinese state media is also weighing in this morning and weighing in on the u.s.-china trade tensions. what are they saying now overseas >> well, you know, it's really interesting because we in the past couple of days have seen a very, very fascinating development on the political side that could have a baring on the trade front and that is that the state media the past couple of days have started to elevate the title of president xi jingping to something that we haven't seen in a very long time it actually suggests that he now has spiritual authority. so this term is like -- >> what? >> there's no direct translation -- exactly it's sort of like having the pope and presidentcy combined.

and other people have described it -- it's been a huge talker here i know you like to have a lot of cocktail chatter this has been the topic that people have been discussing because it's sort of like he's being bestowed the title or something like that and the way, the reason why it's relevant to the trade talks is that a lot of people are saying that if you have that elevated status now where you even have spiritual power and spiritual authority then how can you be seen as caving in to president trump and making any concessions. >> or i would imagine how could you be seen as being wrong on any topic? >> exactly. >> i don't want to put you on the spot but i know how smart you are. when is the last time that we saw that title do you know who the last chinese leader was that was granted i guess that higher authority, queue the organ music. >> well, there were actually two others

so chairman mao had a similar title and then there was another leader for a very short period that had something similar but it was like wise leader as well. so there were two others and then even with xi jingping he had the title and we saw it pop up in 2017 and it disappeared and came back in 2018 and disappeared again when there were rumors that people were questioning what he is doing it's created a lot of speculation about what all of this means how he's going to consolidate power especially with the october 1st holiday and the anniversary of the 70th anniversary of the communist party coming up soon. >> that's october 1st. a big day. watching hong kong as well really interesting stuff on many levels there eunice. thank you very much. on deck, yet another casualty of the u.s.-china trade war we're going to reveal the one stock that you may not want to be holding, coming up next and abandoning alaska.

details behind bp's plan to ditch the klondike after 60 years. this is the big number of the day. 21.8%. that's the average tariff china would slap on u.s. goods if both sides decide to go through with their trade threats. they are set to take effect this sunday for context, the average chinese tariff on u.s. goods at the start of last year is just 8%. you see, we're always trying to make you a little bit smarter here on cnbc and we're back with more right after this. ♪ ♪ applebee's handcrafted burgers now starting at $7.99. now that's eatin' good in the neighborhood

shares are higher and posted better than expected second quarter results even as profit or revenue fell. hp also warning of softness in the computer and storage markets and trade tensions lead to uneven demand. stock is up nearly 6% by the way. hp ceo will be on squawk on the street on the flip side, shares of auto desk are tumbling. cutting it's outlook for the year and that stock ouch down 10% now. and these boots are made for walking right out of alaska and

bp is selling it's assets for under $6 billion exiting a region where it's operated since 1969 the deal includes interest on both sort -- there we go it's early bp has been reducing it's role in alaska for years now. where the oil production has been declining still to come, why democrats and congress appear to be one step closer to seeing president trump's finances plus wicked weather on deck. dorian set to strike puerto rico and it's becoming a increasing danger for florida worldwide exchange will be right back hey! i'm bill slowsky jr.,

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welcome back slow moving tropical storm dorian gaining strength as it bears down on puerto rico and other islands in the caribbean president trump approving an emergency declaration for the island he joins us now from new york city good morning, brian. tracking tropical storm dorian here as it makes it's way outside of dominica making its

close decent to puerto rico here flooding rain and still a tropical storm as it make its way across the island. still a hurricane watch. also tropical storm warnings out toward hispanola for at least the next 36 hours. this track starts to steer more toward the north here. calms down a little bit but makes it's way toward the bahamas by friday and we'll see sustained winds to 75 miles per hour that's a cat 1 so a lot of uncertainty with this storm season and going to be impacting florida and south carolina, georgia as well. heading into the weekend, we're possibly bracing for a hurricane. >> scary stuff there on a place that does not need it. let's get a check on the other hot headlines. including another step closer to seeing president trump's full tax returns.

phillip is in new york now for those stories and more phillip. >> good to see you good morning tropical storm dorian is about to battle puerto rico and the trump administration makes a surprising move pulling $271 million from disaster relief funds to pump up the southern border nancy pelosi calling the move a theft and chuck schumer tweeting that it's backwards and cruel. democrats in congress appear to be one step closer to seeing president trump's finances deutsche bank confirmed it has records on the trump family and their businesses but did not name whose return citing privacy rules. the president had soon to block house intelligence and financial services committee for getting ahold of the information snl star leslie jones will not be back for the upcoming 45th season after spending five years at 30

rock, jones is moving on to host the reboot of the show super market sweep among other projects back to you. >> do you remember super market sweep? i do i love that show >> what's better than running through super market aisle and grabbing stuff off the shelf at warp speed, spectacular. >> it's an amazing show. >> let's relive it you and i. >> thank you very much still to come, a fed fight, why the federal reserve is strongly rejecting comments from one of its former regional bank presidents in a very rare and a very big way then, first johnson & johnson, now purdue pharma. we'll dig into the future of corporate responsibility and vanity fair's own bill cohen next and later, headaches for netflix all ahead of the release of the highly anticipated robert deniro drama the irishman

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red light or green light what the bond market may really be saying about stocks and the economy. the ipo rush pedals on and will it be more beyond meat or more uber and speaking of meat, it's a food fight. the chicken wars that are

heating up as pop eyes and chic-fil-a go toe to toe or beak to beak. you're watching worldwide exchange on cnbc love is a battlefield and chicken sandwiches are a battlefie battlefield. we're going to get to that story coming up in a few thanks for being with us on cnbc here's how your money and investments look right now we're not seeing much help with futures. stock futures a mildly calm morning this morning it's crazy with volatility and just up 9 points but it's early. bonds continue to be the big money story and 1.47% and if you're paying attention to that

inverted yield curve, we still have it. five basis points. it's only five basis points. not much it's the largest going all the way back to 2007 it's not just the ten year by the way. look at that, the yield on the 30 year bond also coming down by some measures the record low you can go back to 1795 and find it lower 1.92% and like the rest of the bond markets we have seen bonds get bought which means yields come down and the yield on the 30 year bond and the stock market are doing something that's very rare and it is random and hopefully interesting. let's get a check on the asian markets as well. kind of a trend this morning and it's not a clear indicator of which way the market wants to take this today. let's check europe if we can that's a special sound effect. there we go.

the ftse 100 the only major market up but you can see not big losses across the board. we're seeing a move in oil again. a 2% jump yesterday. inventories coming down. 1.5% move though gold not moving now. we're at 550 but gold by the way has been the best performing asset class in the month of august i'm sure that you can find something somewhere but the major markets, gold up 8% this month and up 21% in the last 90 days joining us now is the managing director and chief market strategist, matt, are you advising clients to just sell everything that they own and buy and bury them in the backyard? >> certainly not although gold has certainly made a significant change this summer and broken out to what i believe will be an extended bull market

and it's over by near term we're not going to get a big rally in my opinion to new highs until we resolve this trade war and i don't see that happening any time soon and we have a situation where the economy is slowing. even though it may not go to recession and earnings growth is grinding to a halt >> the bond market reminds me of your buddy tom brady because here's why all of this talk, tom brady and giselle are selling their house in boston. so they are like does that mean he's going to leave the patriots what does that mean? we don't know. the bond market seems similar and here's how there are recession warnings signs with this inverted yield curve and gold is up the bond market is reflecting europe's weakness where the only thing that's yielding anything and it has nothing to do with the recession.

>> well it could but the problem i'm finding here with this whole -- with people brushing off the inverted yield curve is first of all, it's historic value number one but number two, 1998, we only had a brief inversion and the market rallied, you know, a lot more. the year 2000. the problem is, during that in 1998, the stock market still went down 19% at one point so we got to be a little bit careful about brushing those things off and the whole thing, recent yields are so low a lot of people think they're already in recession it's much weaker than it had been and at some point it's going to spill over to our markets so even though it may be part of the reason why yields are lower, it's hard for europe to go into recession and keep us from slowing as well >> but the bond market someone suggested that you talk about gold being overbought, the bond

market might be the most overbought market in the history of the last decade and at some point people are going to sell bonds and realize that we have overdone it a little bit here and rotate into stocks that's the bull case for equities do you buy it? >> well it depends on why. what's the catalyst? there's no question at some point, sometime in the next year, you're going to get a major sell off in bonds which will of course cause a race to come off the problem was -- it will automatically shift into bonds, shift into stocks. why is it taking place is it taking place because there's a big blow up in the corporate bond sector that a lot of people are preparing to talk about. we'll have a situation where yields go up a more traditional situation than we have seen this summer where yields go up and stocks go down. >> i call them the west coast

bond mafia maybe it's the sunshine or salt air. do you think that if the west coast guys are going to be right here, is the bond market telling the story they're suggesting it is >> ignoring the bond market. ignoring the bond market is such over the long-term it's a disaster waiting to happen >> it's a disaster waiting to happen for the last three years. that's my only point >> so is the tech bubble do you think that it's similar that we're still just going to take longer to develop than maybe we think >> no one knows when things like this, what's going to finally burst the bubble i want to caution though

a repeat of 2008 by any stretch of the imagination because our banks are in much better shape it could cause a bare market and almost certainly will. at some point the patriots also rule the afc east but it's not happened since i was like four years old. great insight as always. >> thank you. >> a huge developing story purdue pharma, the company behind the opioid painkiller oxycontin is offering to settle 2,000 lawsuits for anywhere between 10 and $12 billion lawsuits brought on by states, cities and counts across america alleges sales were deceptive. >> it comes one day after an oklahoma judge ordering johnson & johnson pay $572 million for contributing to the state's opioid crisis. could this mean a new area in

the realm of corporate responsibility joining us now is vanity fair special correspondent and cnbc contributor. bill, good morning this is a huge story and obviously i mention purdue pharma good morning, by the way i didn't mention the family that was really the founding family of purdue. they're a new york institution they faced a huge backlash over the last year or so about their role in all of this. they of course have denied any role do you think that this is the -- that this reported settlement, and we don't know if it's going to happen, is in some way an attempt to buy corporate america's way out of responsibility >> well, i'm not sure if there's an ethical or moral underpinning to what they're trying to do i think, as a practical business matter, as a family, and as a company that's probably well advised by bankruptcy lawyers and legal counsel, it does seem

to be a wise thing to try to do. it's sort of like a little bit of a game of chicken that they're playing, brian when they lost the lawsuit, when they settled the lawsuit earlier this year in oklahoma for around $275 million, a lot of people who are families of the victims of opioid abuse were very upset that they settled instead of actually going through a trial yesterday we know that johnson & johnson lost their trial in oklahoma so it's not a surprise to me that as a result of that quickly the family quickly either leaked or the news broke about this potential 10 to $12 billion settlement with the family giving up their equity in purdue and it becoming a rest for the creditors. so i think as a legal move, as a bankruptcy move it makes a lot of sense as far as the ethics and morals of that move, that's something that we all need to think about very carefully. >> how would you think about it,

bill >> well, look, this crisis transcends purdue. it transcends, it's across a whole industry obviously we know the intensity with which these companies marketed their drugs to doctors who then prescribe them to patients knowing that there's probably an addiction element there and frankly, it's not right that this happens. settling lawsuits is not the same as justice. it just isn't. >> it's not because in many views justice is somebody or somebodies being held maybe even criminally responsible for this and to your point, i think at the top, there is a view that with these settlements and with this effective bankruptcy, if

you will, on that side of the coin, it makes it less likely that we will see anybody brought to justice from a criminal perspective. do you believe that will be the case >> absolutely. they file for bankruptcy and they quote unquote settle. they take this deal being offered 10 to $12 billion. that will effectively end i believe much of the lawsuit, to many of the lawsuits against the family i don't know if it will solve the criminal complaints. just like on wall street when jp morgan pays $138 billion to settle a mortgage related behavior during the financial crisis that was it. that was the end of it nobody is going to be held accountable further and the same thing, if this is taken and even if they file for bankruptcy it's going to be tough to get anybody

to be held personally accountable for what happens here. >> you go down the line. i said something about 12 years ago during the height of the financial crisis and i got so much blow back for it. do realtors bare any responsibility on the front lines of homes being sold 15 to 20 times income and if you read books, you realize that a lot of doctors are culpable here. they have gambling debts and expensive divorces and loans maybe they're addicts themselves is there any kind of front line responsibility as well, bill >> just like in the financial crisis, with traders and underwriters who provided these mortgage backed securities, co-opted the rating agencies to give them aaa rated to make them

aaa to when they knew that they weren't. do any of those people bea responsibility of course. but the way corporate law works is they were shielded by their corporate vail, by the corporate governance and by the corporate structure and that's the same thing that's going to happen here that's not the same as justice it just isn't. doctors, sales men, executives at purdue pharmaceutical and doesn't seem to happen anymore. >> bill, it's a big topic. i'm sure that we'll see you again on it. thank you very much. >> thank you, brian. >> on a lighter note, why chick-fil-a and popeyes suddenly have a big beef over chicken we'll tell you more about the chicken rshewodwe wa wn rlid exchange rolls on.

from google to netflix, there's a lot of stuff going on this morning and elizabeth is joining us with that let us start with peloton. they're publicly filing for an ipo. what can you tell us >> peloton made it's name selling at home fitness equipment. called itself technology and retail apparel and all of these types of companies among others so it's planning to trade under the nasdaq under simple pton expects this offering to be around $500 million and that's subject to change. showing the fiscal revenues hit $915 million that's about 110% growth year on year and it now has about 1.4 million global members. what is interesting about this filing is that peloton said it

might not achieve profitability in the future in this train of ipos is continuing on here brian. >> let's go to topic number two, google's job search tool is coming under scrutiny from the european union regulators. what can you tell us about google >> so the eu here has already fined google three separate big fines for anti-trust totaling about $9.5 billion so it's been in the cross hairs of this before we now know that there's a preliminary investigation into another google business, it's job search business. that could lead to a more formal probe. it might not google continues to be in the threat of regulators here in europe and we know that it's facing this broad anti-trust review already in the u.s. and this company is seemingly not so far effected by any of these signs but continuing to face the pressure in the eu and the u.s. as well. >> rounding out the hat trick here, netflix, they have a big

new movie, i think al pachino is in it but viewers in america may not be able to see it in a movie theater. what is going on >> yeah, this film is putting on display a clash between the old and the new guard in the movie industry it's called the irish man. it's a huge movie estimated to cost up to $200 million. netflix saying yesterday it will open in theaters november 1st and it will start streaming at the end of the month but reportedly many theaters like amc have shut out netflix on this because they want netflix to adhere to this traditional 90 day exclusivity window where they don't start streaming before that. this doesn't bode well for netflix who has 150 million global streaming users online. so they're sticking with the streaming platform here and facing a lot of competition. disney getting a lot of buzz lately.

>> netflix wants 30 days 90 is the tradition. you need to see a movie with th title the irishman. >> time for the top trending stories. >> the story everybody is talking about on social media, the chicken wars is raging on as p popeyes sold out of its new chicken sandwich in less than a month. one chick-fil-a restaurant saying fyi, we don't run out of chicken sandwiches and over at popeyes they retaliated with a sign saying fyi, people need to eat on sundays but there's another unexpected add to the chicken war. kfc sold out of its beyond fried chicken in five hours. kfc says it's considering a

broader test or national roll out. i'm all about that. >> yeah. one store sold out but it's very promising for beyond meat, is it not? >> it is. >> but my question is, chick-fil-a or popeyes for you. >> popeyes is harder to find up here so if i saw a popeyes i'd probably hit it because there's a chick-fil-a in manhattan. >> but not on sundays. >> is there a popeyes in manhattan? >> i don't know for sure but i've heard about it. >> road trip, we're going. you can get the rice and beans because you're a vegetarian. >> mashed potatoes. >> you're a vegetarian. >> i am. road trip to space it flew longer than ever before in a test overnight. the prototype is a key part of the goal to transport 100 people on space flights and the rocket is reusable and they can reuse it making it more like an airplane than a traditional rocket. >> kind of like the space

shuttle. remember that? thank you very much. up next, why one market expert says if you're trying to trade off the latest trade headlines the market is going to chew you up and spit you out. he's going to tell you what to do instead coming up ♪ ♪ applebee's handcrafted burgers now starting at $7.99. now that's eatin' good in the neighborhood now starting at $7.99. beauty editors have tried everything in search of a whiter smile. their choice? crest 3d whitestrips. our exclusive formulation whitens safely for a 100% noticeably whiter smile. guaranteed. trust america's #1 whitening brand, crest 3d whitestrips. mno kidding.rd. but moving your internet and tv? that's easy. easy?! easy? easy. because now xfinity lets you transfer your service online in just about a minute with a few simple steps. really? really. that was easy. yup. plus, with two-hour appointment windows,

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welcome back in about 60 seconds, let's go. if there was any deal to end the yearlong trade war between america and china. boeings ceo thinks the business will be part of that ultimate solution bp is selling out of alaska. selling it's assets for $5.6 billion exiting a state where it's operated since 1959

bp had been reducing it's role in alaska for years where oil production is declining. the federal reserve rejecting political situations played a role in policy maker this after dudley urged them to consider trump's re-election prospects in considering rates let's get back to the markets and relatively calm down now at least. we have seen markets swing wildly futures down about 9 points right now but mark says if you're trying to trade the trade war you're going to get punched in the face and there's a better way and smarter way to be smart about investing. he joins us now, he's founder, president and ceo of strategic wealth partners. give us some real world ideas. for example, you talked about fast money the other night, why

is sales force.com, crm, a safe place for our viewers money even in the face of a trade war >> yeah. so i mean, when it comes to our tech positioning we're definitely more defensive when it comes to our tech holdings. we prefer software companies over semis or hardware because within software you're getting higher margin, recurring r revenues and they offer a service that made businesses across the united states, across the world more efficient and more profitable. so there's been all of this talk, i guess, the case on sales force is if the economy starts to slow, are businesses going to cut this cost? and i would say absolutely not.

>> it's gruesome i guess i would imagine that surgery is recession proof as well. i assume that's one reason that you like isrg. >> so intuitive surgical, what you're seeing happening within surgery is robots are playing a bigger and bigger part because you can get a surgery done more efficiently with robotics. so intuitive surgical is one of the leaders in robotics. 70% of their revenue is occurring. so now it's time to begin upgrading these systems. so great playwright now. >> and one thing we might all do is drive our car longer. beat it into the ground rather than buy a new car and that's also part of your o'reilly auto parts thesis. >> love o'reilly as the economy slows and we're

not in the reception camp. we don't think a recession is going to hit us and we end up pulling through and the fed does what they need to do to save the day but as the economy slows, fewer and fewer people are buying new cars and they tend to opt to fix the current cars so o'reilly would be our play as far as that goes. >> i love it real world stocks for an interesting time thank you for joining us we'll see you soon. >> thank you. >> time now for your morning rbi and this is only kind of random but definitely interesting we talk about how the two year yield is above the ten year yield, that's called if you haven't heard it, the inverted yield curve but as the 30 year bond also gets bought it's yield is following as well not only below 2% for the first time in ten years but according to our good friends, the dividend yield on the s&p 500 is now more than the yield on the 30 year bonds. in other words if you just bought the s&p 500 or the 30 year bond and did nothing you'd

make more dividend income from stocks that's random but interesting because historically it almost never happens. the old proverb says may you live in interesting times. well, we live in interesting financial times. random but interesting we'll see you tomorrow squawk box begins right now. good morning, bond market flashing it's biggest recession warning signs since just before the financial crisis we'll show you the move that we saw in yields overnight. >> ipo alert, peloton looks to make its public market debut but new documents show it's losses have been getting worse. and i'm not talking about pounds either a potential settlement in the opioid crisis. purdue pharmaceutical offering 10 to $12 billion. we'll tell you what's behind the offer. it's wednesday, august 28th, 2019 and squawk box begins right now.

♪ >> live from new york where business never sleeps, this is squawk box good morning, everybody. welcome to squawk box here on cnbc we are live from the nasdaq market site in times square. i'm becky quick along with joe kernan andrew is off today. he is a cnbc contributor and it's great to have you here today joe. >> great to be here becky. >> check out the u.s. equity futures, they're in positive territory. dow futures up, nasdaq up by 7 this comes after a down day for the markets yesterday. the s&p has been down three of the last four sessions a lot of that has been because of concern not only about the trade war but what shaping in the treasury markets let's check out treasury