good morning, welcome to "street signs. these are your headlines the hang sang closes sharply lower among escalating violence in the city after police opened fire on anti-government protests leaving one demonstrator in critical condition ali babi with seven hours to go and china's online star studded shopping event. china's fourth election in as many years again fails to

provide an outright majority but the party more than doubles its seats. the third largest in parliament. saudi announces it will sell up to 0.5% of shares to retail investors and stays mum on what could be the world's ever largest mistake. well, good morning and welcome to "street signs" a check on markets and how they are fairing this morning a wall of red for asia and nikkei down a quarter of a percentage point but a big move for the shanghai currencies. big mover in the hong kong index here this after hong kong police opened fire on protesters during today's morning commute, leaving one man in critical condition.

now, these latest demonstrations come after prodemocracy lawmakers were arrested on saturday it weighed on stocks in asia, as i have been recounting shanghai actually the lowest, the most it's dropped in the last four months for more inform oiation on whata been happening >> getting sold on rare week day violence as weekend unrest rolls over to the citywide protests on monday drops more than 3% with benchmark heavyweights 10 cent off more than 1% hong kong police opened fire this morning and protesters hitting at least one man the 21-year-old man is in hospital and in critical condition. protesters blocked major thorough fares resulting in disruptions. police fired tear gas in the central business district after

protesters gathered in front of a high-end luxury mall only a few blocks from the stock exchange stations were closed after protesters started a fire on a train and vandalism at numerous stations and objects thrown on the tracks tensions were inflamed this weekend following the death of a student last week after he fell in a car park during demonstrations ten university canceled class with several rounds of tear gas being fired in one of the wrunversities. back to you. with the tensions in hong kong, an impact not just on hong hong ecquuties and any banks in new york that have exposure to hong kong. here we're looking at some of the asian-focused bank standard down about 2% all the names that have exposure to that part of the world are struggling a little bit in trades also luxury stocks this is a theme that has come up

quite a lot in our chats over the last couple weeks. indeed, any company that has significant sales exposure to hong kong is coming under the radar today. down 2.4%. remember, we were talking about the disappointing earnings last week and double-digit declines in hong kong and that stock down about 2.4% burberry in the u.s. down a certain amount you are seeing luxury get hit with the unrest in hong kong the mood from asia and the handover was quite negative and we're seeing that transcribe and the ftse 100 down about 40 points 0.6% of a percentage point and this is after moody's changed the outlook from stable to negative on friday since a bit of a surprise to markets and seeing the repercussions of that

and the credit agency did cite at the brexit insecurity and the institutions and their ability to withstand the developments happening with discussion with brexit and it is having. this continues to have an impac on the index the 30-year commemoration of berlin wall falling and then the ftse trading on the back food today. what we're not showing is the spanish index also trading on the back we had spanish elections yesterday. in terms of sectors. any sector that has exposure to china and to asia is struggling today. we have down 1.6% and banks also down 0.6%. the names with asia exposure and household goods, luxury also

selling off. right at the top we have technology around flatline and health care relative defensive up 0.3% but not all about hong kong protests and china numbers we also had ali babi singles day and sales topped last year's record exceeding $30 billion with about 30 hours still left to run on the 24-hour chinese shopping event arjin, just looking at the sales figures, we spent the last year talking about the weakness of consumer spending and yet another record broken on sales day. what does this tell you about the health of the chinese consumer >> that's absolutely right the gross value merchandising continues and as you mentioned a lot of concern of the slow down of the chinese consumer, but if you looked over the past few

quarters over the likes of alibabi you see it continue to grow at a strong pace. it shows you that consumers are continuing to flock online and also these platforms are continuing to keep a lot of their users within the eco system they operate a number of sites here and these are also things like travel sites and payment's platform and continue to churn money out of users that's what you're seeing here one interesting point to make. not just about the bait is comig from the smaller provinces and cities alibaba made a push into the lower tier series because they see it as the next leg of growth and new battleground and a

smaller rival which has found a lot of success in the smaller tier cities and that's where you see the likes of alibaba going after. it's one reason had it success today on its singles managed to get sales from those consumers and also managed to get consumers to buy imported. a lot of talk given this u.s./china trade war turned off american goods and n an anti-u.s. sentiment. number two best-selling brands when it comes to where consumers are putting their money on alibaba. the iphone 11 and 11 promax are some of the best-selling and jewelry and apparel also doing very well. overall, it looks like a healthy chinese consumer and looks like a good story for alibaba analysts are estimating by midnight tonight, 37 billion u.s. dollars when it comes to

that final gmv figure. that is a slower growth rate for previous years because this is an event maturing and also perhaps because of that increasing competition, as well. nonetheless, some big numbers here on singles day. >> staggering figures. $37 billion in just 24 hours wow. as you mentioned the, second largest selling producer segment is actually coming out of u.s. products so, that's actually a boom for u.s. productmakers, as well. thank you for bringing us the latest out of china. speaking of china, producer prices have fallen by the steepest rate due to weakened manufacturi manufacturing sector and trade war with the united states cpi grows at the lowest rate and rise in pork prices as the concontinues to gamble state talks with china

on friday trump denies claims that washington and beijing had agreed in principal to roll back tariffs if a phase one deal is signed however, on saturday, he said negotiations are progressing >> they're moving along. they're moving along they moved slowly and much too slowly for me. but they want to make the deal much more than i do. but the trade talks with china are moving along, i think, very nicely we make the deal that we want, it will be a great deal. if it's not a great deal, i won't make it. but the trade deal is uv mooimog along and china wants to be there. >> before we talk about the trade deal moving along, i just want to ask you about, your assessment of the chinese economy because as we were just discussing with our correspondents in china, the narrative has been one of a very slow down in the chinese economy. but then you look at the numbers of the last week trade numbers seem to have bottomed moving in the right

direction, again clearly the consumer is still very powerful with alibabi ratcheting up $27 billion. it looks as though the chinese economy isn't as bad as some people have feared it may be >> i wouldn't generalize too much from the figures of singles day. that is a special phenomenon but it is certainly true that the chinese economy is not crashing and those who have been predicting a crash for the past five, six, seven years have been wrong consistently and they will continue to be wrong the economy has slowed down, as intended they didn't want to have the unbalanced growth that they had before and what they've tried to do to try the change the structure of growth has slowed it down for sure there are problems looking ahead. problems especially on the financial side because of accumulated debt in the problems in the shadow banking sector

problems in the indebtedness of nonfinancial corporations like the problems of nonfinancial corporations in the united states but china is not crashing. and the effects of the trade war on china are still relatively limited. >> let's talk about that then and talk about the actual trade war. moving towards the implementation of the trade deal with is the discussions they had at the beginning of the year do you think the market is placing too much emphasize on a phase one trade deal agreement >> who knows you have kudlow saying one day i think it was thursday. yes, we're going to have a phase one deal you have navarro saying on friday, no, we're not going to have a phase one deal. then you have trump himself saying, who knows. i'm sticking out for a perfect deal and i think the rhetoric is very

difficult to figure out. it depends a lot on trump and trump is totally, he goes from side to side he is a tariff man, as he says but on the other hand he realizes that people are telling him that this really isn't good for the united states. the story of collecting lots of revenue and tariffs. he is spending more on subssubse to farmers and being paid by u.s. producers who use chinese inputs and u.s. consumers who consume chinese goods. >> his focus has also been on stock markets recently potentially one catalyst for them to try to find some form of a deal that would just tackle the good side of things you know, the trade deficit. but what about the longerterm structural issues. this trade war has been going on for 18 months now. any progress on that front in

terms of intellectual property and private ownership and unfair subsidies within china do you see any progress on that front? >> relatively little the chinese resistance is strong and, yes, our intellectual property they're willing to give greater protection on that sort of thing on the other hand, they're not willing to give up issues like hauwei, for example, and the overall state of their efforts to advance their own technology. i think that's a driving force that they have not concluded the united states is unreliable. whatever trade deal is reached and they have to accelerate their own efforts towards self-sufficien self-sufficiency especially in technology and, so, we will see that they are going to push very hard to

develop various sectors of high tech in the china 025 program. >> i thought that was all part of the china made in 2025 program. they're testing it now with their own operating system there. what does that mean for the global economy if china does become self-sufficient >> that is a very good question. i think for the global economy, it's probably a good thing the multimristicity of sources is a good thing. but the conmrikt between the united states and china could be exacerbated as china gets closer to the frontier. >> one last thing that is used as a potential weapon that people talk about is the currency we have it around 7 and comes back from the weaker levels that we were at at the peak of the rhetoric exchange between the two sides.

do you think they are using the currency as a weapon somewhat or at least a negotiating tool? >> absolutely not. no currency war from the chinese side they realize that a significant depreciation would be bad for china in several ways. bad structurally and bad, also, because it would encourage capital flight as in the last episode of significant depreciation 2015, 2016 where people saw, oh, the exchange rate is depreciating, i better get my money out of here. all the capital controls of the world can't stop substantial pressure for capital flight. and, so, the chinese do not want a significant depreciation and they won't allow it. >> so happy to keep it stable where it is roughly right now. >> yes >> what does all this mean for the outlook going into next year maybe think tanks are publishing

their outlook and others are beginning to say, look, maybe the worst is over. pmi like the fe is going to yield now. >> i think, still, the signs are not really good. the signs are not good because you do have financial weaks and you do have in europe a slow down it's not going to reverse in the near future. and in the united states, the sugar high from the tax cut is gone and it's hard to see what is replacing it you don't see a big push in capex. consumer expenditure, yes, holding up reasonably well and i think the drivers of the global economy have slowed down. and you have weaknesses in emerging markets we see those, which would be threatened if there is a rise, i think this

is key if there were a rise in u.s. interest rates, that would be really, very dangerous for the global economy so, the fed has clearly signaled it's going to pause in its cuts. i hope they don't start going the other direction, again >> all right with that ominous warning, i'll leave it there richard, thank you very much for joining me on "street signs. professor of economics from london business school. also coming up on "street signs" more uncertainty in spain as the latest election fails to provide any clarity as the far right continues to make big gains. we'll be right back. have purchased our democracy. here's the difference between me and the other candidates. i don't think we can fix our democracy from the inside. i don't believe washington politicians

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welcome back to the show spain's fourth election in four years has, again, failed to deliver a majority the socialist came out on top and the far right which doubled its seats to become the third largest party in parliament. let's look at how spanish stocks are reacting today

just in line with other equity and all of them are trading on the back some of the utilities were down o.6% minor losses for the spanish index possibly because the market did anticipate another hung parliament but live from madrid, he can give us more details. the result of the fourth election in four years and it seems as though the results point to a support to both the center right and the center left but the far right vox did make some major gains in yesterday's election what does this mean about the possible permeitations to get to a functioning government >> the center left lost a few seats. but the party did much better than it did in april as you mention eed took up 52

seats in the party behind me, a party that did not have a single seat sanchez facing a lot of criticism for calling this election because of the fragmentation it has now created because the possibility of a new government seems even more remote >> in the end the best generation is democracy. each time spaniards are voting they are left in high numbers. these needs to by highlighted. thanks to the millions of spaniards who voted for the socialist party. thank you and thank you with all my heart >> that is the caretaker prime minister defending holding an election and his critics saying to do so and double down and essentially try to test the waters where there was more support for social government has entirely failed.

>> translator: sanchez has lost his referendum spaniards have made emotion. he has lost three seats in parliament why did he want to call elections if it was to give more power to the socialist party now much more difficult to form a government and made it harder for spaniards day to day >> a man who was much happier. we talked about it now 52 seats in this particulliamen. their party is seen as the third largest force in the parliament. >> translator: i think we can be very proud because it is facilitated in spain the establishment of constitutional ordering in catalonia with the ongoing application of the law

he said last night he would like to see generosity from opposition parties as they start these talks. the process could take weeks, if not month. we could not see a government into the new year and we could potentially see another election >> they have actually gone through a position where they could have joined the prior coalition with pedro sanchez they refused it at the time and now we have seen they dropped dramatically in the polls. are they paying for that decision earlier on in the year? >> certainly if you listen to what we just heard from the remember foer member former member of the party speaking a few minutes ago, absolutely they were seen as the pragmatist in the center who were making deals with the party on the left or the right and they didn't make that deal led by sanchez and now he'll face a huge amount of pressure within his party having seen his vote support drop very, very dramatically since april they're now down to

just a handful of seats in the parliament >> the expense of vox. thank you for the update from spain. now, switching to the uk moody's downgrades fresh uk gdp figures break right after the break. do not go anywhere robinhood believes now is the time to do money. without the commission fees and account minimums. so, you can start investing today, wherever you are even on the bus. ooh, like this guy. yeah, i bet he's investing right now. he's taking charge. he's grabbing the bull by the horns! and he - just missed his stop, yeah. it's time to do money, so what are you waiting for. download now and get your first stock on us. robinhood.

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welcome to "street signs" these are your headlines the heng sang closes lower after escalating violence in the city after police opened fire on anti-protest leaving one demonstrator in critical condition. alibabi smashes last year's singles day record with roughly seven hours to go on china's star studded shopping event. new york authorities open an investigation into goldman sachs amid allegations of sexism in

its applecart business the world's largest ever mistake. we're getting the release of the third-quarter numbers. they have come in at 3% quarter on quarter a fraction below the consensus of 4% and also pointing to 1% growth on the year year on year, again lower than the consensus of 1.1%. this is the lowest annual rate since 2010 let's talk about the break down, though business investment was flat for the quarter. 0% on the quarter. this is actually better than the consensus poll of a negative drop of 0.5%

on the year, it's also down 0.6% no surprise, really. we're talking about the lack of investment in the uk certainly coming up here but for the quarter coming in better than market expectations. in terms of the industrial output, that has come in at minus 1.4% year on year. little weaker than poll estimate and the construction output has come in at 1.2% year on year significantly higher than the estimates of 0.6%. it looks like some of the positive surprises here are coming from the construction segments and also investment not being as bad as people had feared i just want to look at these services number, as well, because that has been a bright spot in the uk economy the services number has come in at 1.3% on year and 0% month on month. for the quarter, just waiting for the final numbers there. broadly speaking, putting it

altogether that 0.3% is a smidge below expectations, but, remember, the last quarter the gdp contracted by 0.2% the uk has officially avoided a technical recession. i want to bring in russ walker the head of uk at market your take on the numbers today, perhaps not as good as some people had been anticipating, but, still, uk has reverted a recession. >> avoided a technical recession, at least for now. slightly disappointing numbers you know, we're running, as you say, a fall of 4.2% in the second quarter a bigger rebound to get things back to a more normal trajectory was suspeexpected and as you ru through the numbers there and flatten the month. we've seen some modest growth in retail sales and therefore maybe the consumer had expected to hold up a little bit better and these are, i think, overall

these are still a weak set of data underlying growth in the uk, to my mind, is clearly below trend. >> they don't have the full extent of the analysis to hand do you think some form of stockpiling ahead of that second brexit deadline that didn't happen >> a huge boost in the first quarter and that effect went into reverse in q2 and then support in the third quarter, as we ran up to the second brexit deadline of course, what you're trying to do as a forecaster is look through those swings and gauge the underlying growth in the economy. it looks a little tepid. >> looking at the underlining pace of the economy. even the bank of england said the trend growth is roughly half of it was and the quarter on quarter basis tracking around 2.2% and 0.5% just a year ago.

what do you point the trend in growth to? just a fraction of the external environment? >> i think it's primarily bre t brexit a global slow down and certainly the global manufacturing sector in terms of global trade and you've seen the detdeterrieratin in growth. a jump of imported inflation that hurt real household incomes and real consumption and subsequently for the last couple years we've seen quite significant falls in business investment although in today's numbers as you say, we saw cap x stagnating it is really not at all clear that we're going to see any material sustained bounce in business investment over the next year or so. it may stabilize, but i don't think this will drive a recovery >> what you just said was echoed by moody's with their latest credit outlook release down grading the outlook from stable to negative. did that come as a surprise to the markets, did you think

or was it largely factored in? >> i don't think any great surprise certainly the reasons that moody's were citing greater political risk and all of these things at the very forefront of market thinking and will remain with us. a burst of optimism with the uk and the u governments reaching a deal a month or so ago but we still have the future economic arrangements and negotiate the future trade deal. that will be difficult and protracted and i think against that backdrop for the next year or two, that will cap the extent to which we see business investment spending, hiring and so on. so, i think the economy is, the headwinds are going to remain quite prominent. >> russ, what was your take away from the bank of england discussion last week i was there. two decenters and probably not the decenters that the market indicated that they thought they were going to be do you think the bank may be

gearing up for interest rate cuts >> they are moving in a dovish direction. i think i would characterize last week as a broadly neutral one. i don't think they're yet singling an interest rate cut. our own forecast is for a quarter point cut in bank rates in the spring of next year so, and certainly, obviously, the two descenting votes was a surprise >> the thing about their assessment has always been based on the premise that a smooth transition will lead to some rebound in investment. obviously, we haven't gotten to the transition deal yet. there hasn't been a brexit deal yet but with continued uncertainty. it's stagnating, if not decline. we have been working on assumptions for years and why we

are forecasting something that hasn't happened, that gives them a justification for rate cuts. >> it does and, obviously, brexit is one of the factors that is prompting a rethink within the bank of england they also have a fiscal stimulus to factor in >> yeah. >> i mean, the spending review back in september, that alone is worth almost 0.5% of gdp and pretty much every day that goes by in this election campaign, there is another spending announcement so, you know, i'm skeptical that the uk can engineer, you know, a multi-year significant fiscal expansion. i just don't think the economy is going to be robust enough to allow those sort of spending outturns but we can run it for a year, maybe 18 months. >> you say you're skeptical that it can't be fully funded at that point. something has to give and it's the deficit and currently interest rates especially if you're looking at the labor spending plans that are put out

there. >> if you have seen in the past, we have gone very rapidly from broad, fiscal sustainability to significant deterrieration and before too long, the currency is the ultimate barrier to some of these fiscal expansioniary policies >> do you think the markets, for extreme spending risks, as well. that could happen in the deficit. >> that's really what markets are wrestling with at the moment because certain election outcomes would get you a particularly different radical policy however, the betting markets certainly shifting in favor of a majority and the polls have been that way for a while some fiscal expansion. as i think in practice, it will probably be more modest or drawn out perhaps than the impression that is given at the hoement >> the imminent hurdle we need

to get through is december 12th election and from there we can start making more informed opinions ross, thank you for joining me ross walker at net wes markets joining me on the show today a quick look at european markets as we have been talking about the handover from asia was negative with shanghai having its weakest session in over four months but european indices as you can see mostly trading in the red. the ftse moving down 0.4%. and spanish ibex down 0.3% and ftse 100 down 0.5% the uk was trading on the back foot after the moody's downgrade in outlook from friday that is the picture for european equities let's talk about foreign exchange and we have euro trading slightly firmers the dollar here and a tenth of a

percentage point further we have cable up at around 128, a quarter of a percentage point and we actually saw a bit of a balance after those q3 gdp print data came out indicating that the uk did actually grow at 0.3% quarter on quarter and averted a technical recession. so, a bit of a balance and then we're also seeing a bid for some the yen and swiss frank overnight given the move in risky assets how are u.s. futures looking a record close for the three majors on friday but with sentiment turning south, looks like the three majors will open up in the red the dow is seen opening up 100 points lower not much in the way of data today, but tomorrow president trump will be giving a speech at the economic club in new york. you want to watch out for that and any sign on how trade discussions are going crucial for market direction from here. christine lagarde will face

calls on decisions are overhauled at the center bank. the "financial times" reports four officials from the national banks will propose that members have more input, including regular votes hp lagarde put forward ideas to smooth recent decisions. and germany else where, let's switch on to germany, which is marking the 30-year fall of the berlin wall and, obviously, a very important event marking the end of the cold war p annetta joins us live from berlin give us a snapshot for how the economy is fairing 30 years on from this momentous occasion that happened. >> well, first of all, it took a lot longer to actually see a conversion between the east and the west i mean, during the '90s, for

example, that was, of course, the first ten years of that reunification process. we had record-high unemployment here in the east and loads of companies going down that has changed by now. if you look at the unemployment rate, it is converge and it is still a tad higher in the east, but still standing at 6.8% and 4.8% it's not like sky rocketing. productivi productivity, it is lower here in the east and disposable income is lower, not a lot, a little lower in the western part of germany essentially, i guess, what is fair to argue that economic conversion is happening. what is not happening is political convergen or like the psychological conversion that people do have the sense that they are on the same level as in the west if you look at opinion polls, for example, if you asked the question whether you are at the

same level like the rest are and whether you have a feeling of falling behind in the east, then the majority of people would say, yes, they don't feel that they have the same prosperity as people in the west they don't feel that they have the same infrastructure like the people in the west so, i guess it's a psychological problem or mentality problem as of now and that actually is mirrored in the political and we have been reporting about the outcome of elections here in the eastern part of germany. here it is the populous party which is actually one of the strongest parties in the region. and that is because they do kind of cater to that appeal of not participating in the economic success story of germany and also the anti-immigration rhetoric is going down very well in huge parts of eastern germany. so, bottom line, after 30 years

of reunification, yes, the economic convergent is somewhat happening even though there is not a single dax company headquartered in the eastern part of the country, they do have production plans like volkswagen or bmw, as well, but not that the decisions are necessarily taken in the eastern part, but the political conve e conversion is still lagging far behind for that, back to you. >> excellent summary from that occasion 30 years on live from germany, thank you. nthe memo to staff seen by two news agencies is the first of khan's strategy amid a spying scandal that rocked corporate switzerland. khan told employees, quote, financing is a an area we can do more and a move that could spark

comparisons to his time arrival at credit suisse executive changes with david miller appointed of ceo of its investment banking and capital markets business miller will replace james who is taking on a new role as head of private credit opportunities and take a seat on suisse board. replacing herald vogel and the changes will take place with immediate effect now, goldman sachs has come under attack for its apple card business the new york department of financial services has opened an investigation into practices of the wall street giant credit card business after a well-known tech entrepreneur criticized the bank for discriminating against women. in a series of tweets, david hanson attacked goldman after

apple card had 20 times the amount his wife was awarded. the case has drawn a lot of attention on social mead i aand steve wozniak joined the criticism. he and his wife had a similar experience goldman did not respond to cnbc, but in a letter to reuters, decisions are based on factors like income and credit worthiness and not gender. now, switching to politics bolivian president morales has resigned after 14 years in power. morales won the election, but authorities found irregularities with the vote prompting protests on the streets called on the now former president to step down, but morales has described his resignation as a, quote, civic coup if you want to get involved in the conversation anything we discussed on the program so far,

gdp data you can get involved i'm @ cbnbc. the latest from aboona daby coming up in a few minutes plus, stay tuned for the chat with former u.s. secretary of state condoleezza rice. you can find it in the vitamin aisle in stores everywhere. prevagen. healthier brain. better life. rowithout the commission fees and account minimums. so, you can start investing wherever you are - even on the bus. download now and get your first stock on us. robinhood.

welcome babblicome back. condoleezza rice is speaking at aabu dhabi let's listen >> violent conflict over resources and as a result, the people who after world war ii looked back on that period said it was also a period that had led to war and to a great depression and, so, this time they created a different kind of system, one based on free and open trade one in which there were great institutions like the world monetary fund like the world

bank and, of course, the general agreements on tariffs and trade. the idea to have countries trade freely that system also relied on u.s. leadership and it relied on u.s. military protection. the united states had already after world war ii realized that it had gone back into isolation and only because there had been another great war did the united states reenter the international system this time, the united states took a pledge to the europeans on attack upon one is an attack upon all it took a pledge to defend japan and it took a pledge to defend to allow freedom of commerce

that system of global economy that would be prosperous for all that would trade in freedom where there would not be violent conflict over resources, but rather instead where there would be a concept of resources that could be shared through the global trading system. that system worked exceedingly well it worked well enough that when the soviet union collapsed, the countries of the former soviet block would become a part of that system. so that today we can talk about investment in russia or in poland it's very interesting that we have just come to the 30th anniversary of the fall of the berlin wall. in a couple of years, we will come to the 30th anniversary of the fall of the soviet union, the end of the cold war. and i think expectations coming out of that, that the global

order would finally be completely fulfilled not just for that part of the world that was a part of the u.s. and european and western system, but for the entire world the system of free markets and a free economy and global trade worked exceedingly well, also, in that when ping decided to bring china out of isolation, china became a part of that internation international economy. and, so, free markets, global trade and economy that benefited all protected by american military power and american leadership, this was the idea of 1945 and its fulfillment some 30 years later in the end of the cold war well, i would suggest to you that now, now, that system is

under strain and under threat. and it's under strain from three important challenges the first important challenge is that the security environment has changed dramatically since 1945 i was the national security adviser on september 11th. if you were in a position of authority on september 11th every day after was like september 12th american security and american notion of her security changed dramatically and forever on that day. because it was not marching armies that caused the world trade center to come down. it was not marching armies that brought a hole into the middle of the pentagon. it was not marching armies that created the first attack on

american soil since the war of 1812 it was terrorists operating in the world's fifth poorest country, afghanistan that is what caused the attacks in the united states and, so for the first time, american security became about internal security and the threat of ungoverned spaces like afghanistan or today mali or libya or at one time that territory between iraq and syria. that would become the great threat much, much more difficult -- >> we're just listening to condoleezza rice and we're going to hear more from the former u.s. secretary of state at 11 5 11:05. that's when she is done with this speech. she will sit and have a fireside discussion can hadley. make sure you join us at 11:30

for another special panel which includes the bosses. before we head out, let's take a quick look at u.s. futures european equities trading with a handover from asia dow seen opening up about 120 points loeter this after another record close on friday that is it for our show today. "worldwide exchange" is coming up next. thanks for coming in. no problem. since one our laptops got hacked on a business trip everyone's been a little paranoid. at cdw we get there are threats wherever your people go. so we create a customized solution using the hp elite book with built in security features that will help

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it is 5:00 a.m. at cnbc global headquarters here is your five at five wall street's record run taking five this morning as futures point to some losses crisis in asia unrest in hong kong flaring up, again, as police and protesters clash after a weekend of unrest. goldman under fire the investment bank facing new investigations after allegations of bias in its new apple credit card approval process. and jamie diamon on the defense. speaking out with new comments