breaking news. stocks comes off their worst week since the 2008 financial crisis gridlock in washington with key coronavirus funding bill stalling in the senate as investors and companies around the country hold their breath. carnival ceo on the defensive, calling out cruise industry critics over misinformation surrounding the covid-19 outbreak. blocking the buybacks. president trump in rare agreement with his democratic counterparts over any possible industry bailout and big auto stepping up to the fight. the medical equipment shortage

but how exactly can they get that done? we speak with former ge vice chairman bob lutz in a moment. it and cnbc's coverage of the coronavirus outbreak begins right now. good morning and welcome, i'm courtney reagan live in times square we begin with breaking news. stocks set to fall at the open at futures overnight hitting their limit down levels once again. we are well off the session lows at the moment. dow jones industrial average indicated lower to the tune of 1100 points, the nasdaq down by 213 points let's check in on the etfs that track the major averages remember, these are not subject to those limit downs the dow etf is indicating a drop of 3.75% the spy down by 3%

the qqq, that tracks the nasdaq, down by almost 3%. let's take a look at what's going on in the fixed income market and take a look at treasuries this is a closely watched barometer of everything going on with the economy and the markets. the yield on the ten-year note is sitting at 0.38%. a rough morning in energy. gasoline futures are sinking, trading near their lowest level on record rbob down 0.53 the dow is come off its worst weekly point loss. all three major averages are coming off the worst week since the 2008 financial crisis. all three more than 30% off record highs oil coming off its worst week

since 1991, on pace for its worst month in history let's go worldwide and get a check of what's going on around the world. in asia mostly red the japanese nikkei was higher by 2%. shanghai composite down by more than 3%. let's get a check of the early going in europe and things in the red. the german down 4% the ftse 100 down 4% as well as the france cac goldman sachs upgrading the stock from buy to neutral down 70% year to date the fear is priced in and the long-term secular growth remains intact price target remains at $173 a share. boeing is under $92 a share

right now, indicated lower by 3% to the coronavirus pandemic where the number of cases around the world has surged past 311,000, with at least 26,000 in the united states. this morning nearly one in three americans are on a strict stay at home order with ohio and louisiana the latest states to enact lockdowns. rahal solomon is back at hq including the latest on the virus relief bill being punted around the senate. good morning >> good morning, courtney. the senate last night failed to advance the massive coronavirus stimulus bill after democrats objected, denying their counterparts 60 votes needed to move forward the debate continues this morning, including the senate's possible phase three deal. speaking on fox news sunday, treasury secretary steven mnuchin said financing programs for businesses hurt by the coronavirus could amount to $4

trillion take a listen. >> if you're a small business, you'll get two weeks of cash flow to pay your workers you need to retain them. you'll also get some overhead. if you do that, those loans will be forgiven. that's about half of our workforce. that will allow small businesses to keep people and make sure when we open the economy, they're up and running >> carnival ceo going on the defensive last night over attacks on the cruise industry in the wake of the outbreak telling axios how the shutdown is putting jobs at stake adding cruises are not the source of the virus with very few ships actually being impacted. >> a cruise ship is not a riskier environment. people perceive it that way but it is not. >> shares of carnival are down a whopping almost 79% year to date down 9% premarket. courtney, back to you. >> those names have been in the crosshairs

thank you. we'll talk to you later. let's get back to the markets and see where futures are indicating at this point at least off the session lows, but we did hit those limit down numbers as the dow is indicated down by 700 points joining me now is ben am mondmos thank you for being here with us this morning another monday, another limit down investors trying to figure out what all of this means, how to trade or invest in the age of coronavirus. but we really don't have anything to compare this to. what are you seeing when it comes to the global macro picture? >> good morning. thank you for having us. well, that's a very dire picture, of course, as you outlined in the program, you see lockdowns everywhere you're getting this mark down period where markets will be negative because discounting that the economy will contract

by a significant percentage. how much, we don't know but it will be material nevertheless, what we also know is one central bank after the other has come out with an arsenal of tools to support markets. i do think at some point that the markets start to discount that the contraction is priced in and the stabilization happens because central banks have to come to the rescue, at least for the near term. >> you bring up a good point of course, central banks taking action all around the world. that's only one piece of this puzzle i know a lot of folks are looking to washington, looking to some of our lawmakers to come in with another kind of fiscal solution what do you think is necessary, if anything? and if we get some news, will that help assuage investors? >> i think what was important is when the clip from from mnuchin played, taehe was talking aboute idea we're going to help businesses get over this period, over this hump to get negative

growth what matters, too, is the coordination between the governments and the central bank is really seamless i think if markets sense that, that will be very positive of course, each one of them does their own thing. i think the bill in congress and senate right now is not just dire element but also the effect that it actually can bridge this period that's ahead of us. we can say the next 6 0, 90 days that will be effective if not, we'll have to go back to the drawing board with more stimulus. >> when it mz koz to companies themselves attempting to operate or keep functions running behind the scenes, if truly their doors cannot be open, how do we need to be evaluating balance sheets and the liquidity for companies that are effectively closed for business for an undetermined period of time >> that will be a distinction between those companies, too some have maybe by accident a

lot of cash liquidity on hand and can be operational they may furlough employees or pay them, but not be affected by it but others have to step in and get either emergency effort or maybe even bailouts i think the latter, the bailout component, that will be important for markets, positive or negative. it requires companies to reduce their activity because of government regulation. i think the bailout discussion will come in the next period, which companies really need bailouts as it looks like right now, it's small business and leisure and hospitality that has the impact. that's where the bridge is necessary. >> it is a very hotly debated topic, bailout thank you for your time this morning. when we come back, picking through the retail rubble.

dana joins me next with her names to watch. former vice chairman bob lutz on how automakers worldwide are stepping up to fill the medical equipment shortage. first, take a look at the dow since president trump took office all gains and then some wiped out in a matter of days. cnbc is back after this. i know that every single time that i suit up, there is a chance that that's the last time. 300 miles an hour, thats where i feel normal. i might be crazy but i'm not stupid. having an annuity tells me that i'm protected.

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futures are indicated to a lower open here. dow jones industrial average is indicated lower by 700 points. s&p 500 down by 80 the nasdaq off by more than 207 points welcome back to cnbc the coronavirus outbreak is having a major impact on almost every industry in the u.s. near the top of that list, retail more than 155 retailers or brands have closed stores in the u.s. by my count that's 30,000 locations closed to shoppers during the coronavirus outbreak. and these numbers are likely conservative closed stores means a lot of planned revenue will disappear, even if some of these names do have e-commerce operations that are running. retailers still have to pay their bills, like paying store employees even while stores are closed that combined with the uncertainty of this pandemic is leading many retrailers to tap into revolving lines of credit

what is that it's effectively a loan from a financial institution that's available should it be needed. at least 14 retailers have decided to tap into these pre-existing credit lines. it isn't necessarily a sign that a retailer is in trouble, but like everything, it does depend on the individual circumstance of the company for some, it's a way to shore up balance sheets at a time when stores are closed and very little cash flow is coming in. kind of like padding, just in case best buy, tjx companies are likely in this camp. for others, getting these revolving lines of credit are critical because without it and without store revenue, there may not be enough cash on the balance sheet to pay bills j. jill would likely fall into this group it was already distressed before the outbreak began joining me now on the cnbc news line is dana telsey, ceo and chief research officer at telsey advisory group good morning to you. we just talked about the revolving lines of credits that retailers are tapping into

about 14, by my count. when you look at the list of the retailers that have tapped into this, is it concerning to you or does it make you feel good that they're adding cash to the balance sheet in a time of unprecedented uncertainty? >> i think they have to add cash to the balance sheet in this time of unprecedented uncertainty. we have times where kmz now have to manage the cash burn on zero revenue. so, those companies that have the ability to manage through this and get to the other side is key you mentioned other companies like tjx is doing this, best buy is doing this and some weak companies are doing it but this situation and this time frame is not for the faint of heart. when you have the retail industry, which overall directly supports one in four u.s. jobs, 52 million working americans, it's the largest private sector employer in the country, we need these retailers to get through the other side some won't make it >> that's a really good point,

dana, when you're talking about just how big the retail industry is of course, i've been talking to executives i'm sure you have as well. many are concerned about what happens when this eventually does pass. some have been using the "b" word not bankruptcy but bailout saying, look, retail needs a bailout. if our stores are closed, we cannot serve our customers what do you make of that do you think that could be necessary? >> it could be you have to combine the many different industries that combine retail you have the international council of shopping, the landlords that are out there we have a lot of constituencies that all blend into retail when you think about it, retail accounts for $2.6 trillion of annual gdp it's an important industry for the u.s. it's important industry for working americans. and we need all these retailers to be able to be healthy and strong because consumer

confidence is dependent to drive consumer spending. we're going to have significant falloff in consumer spending over the next couple of months given the focus is on essentials. >> i can imagine it must be very difficult when you're looking at your models and trying to figure out what some of these earnings projections might look like because this is something, frankly, we have never seen before i guess maybe the bigger question is as these municipalities and cities and households are under lockdown, sheltering in place, will retail ever be the same make it realize we actually need less stuff can any of this be recovered >> what always happens when you have shocks to the system like this, it can be recovered but it doesn't happen overnight given the consumer is focused on essentials and think about how we're changing our patterns, virtual connectivity all matter most we're having virtual meetings, talking in facetime, skype, google hangouts and zoom

are we going to travel the same way we used to travel? i think that consumers want to engage and have social interaction. cabin fever will set in upon us and we'll see the desire for engagement again you're going to see the desire to make purchases, but it's after you feel safe and secure and consumers have their jobs. >> i really hope we get there sooner rather than later thank you, dana telsey, for joining us this morning. still on deck, president trump striking rare harmony with his democratic counterparts over any industry bailout package when it comes to buybacks. reaction from washington when we return >> announcer: today's big number 17.3%. that's how much the dow tumbled last week. the index is now at its lowest level since decemb 26.er01

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doprevagen is the number oneild mempharmacist-recommendeding? memory support brand. you can find it in the vitamin aisle in stores everywhere. prevagen. healthier brain. better life. welcome back to "worldwide exchange." shell is reducing spending by $5 billion to $20 billion or below. it's also suspending the next round of its stock buy back program. checking in shares of london down more than 2% to 1,039 the virus outbreak in new york showing no signs of slowing with

more than 7,800 cases to date. nbc's phillip mena is in new york >> good morning. new york state will conduct trials for a new drug combination that could be used to treat the coronavirus governor cuomo says the state will receive 10,000 doses of the combo for the clinical trial the state has ramped up testing for the disease. as a result, the number of cases have skyrocketed new york accounts for more than half of the cases in the united states new york city mayor de blasio warns the hospitals are only ten days away from running out of life-saving equipment. they received a letter from the chief of surgery warning the alarming conditions stretching staff and supplies and the worst could be around the corner those same hospitals are banning partners from the delivery room. women who give birth at new york presbyterian have to do it

alone. they are looking for ways for families to participate virtually during childbirth. as we head to break, a look at some of the biggest sector laggards year to date. energy remains the biggest loser, down 57%. financials down 39%. cnbc's breaking market coverage continues after this the network has to be prepared to absorb whatever is going to come its way. we're always preparing. make sure that the network is working all the time. we are constantly looking at it, we're constantly monitoring. we take that responsibility very seriously. the most rewarding thing about the work we do is whenever we see a customer able to communicate back to their loved ones. that is why we do what we do. (vo) we're relentlessly committed to the network. so in times like this, we can all stay connected

to work, school, and most importantly, to each other. edward jones is it'swell aware of that.et. which is why we're ready to listen. and ready to help you find opportunity. so. let's talk. edward jones. it's time for investing to feel individual.

losses spilling over into another trading week with a steep loss on track. those losses after the senate fails to advance a coronavirus stimulus bill. the latest on whether lawmakers can strike a deal. president trump calls on u.s. automakers to make criti l critically needed medical equipment. former gm vice chairman bob lutz breaks down what it will take to make that pivot. it's monday, march 23, 2020 and this is cnbc welcome back i'm courtney reagan at the nasdaq market site in new york city's times square. stocks are set to fall overnight after they hit their limit down limits once again. dow jones indicated lower by 85 points let's check in on the etfs that

track the major averages remember, these are not subject to those same limit downs as the futures contracts. the dow etf is off by more than 3% 3.2% the s&p 500 etf, the spy, is down 3.4%. the qqq that tracks the nasdaq is off by more than 3% as well well, it's also a rough morning in energy. gasoline futures are sinking in fact, trading near their lowest level on record down more than 12% rbob gasoline april contract at 0.532. as it stands ahead of the trading day, the dow is coming off its worst weekly point loss ever, on pace for its worst month since 1931 all three major averages are coming off their worst weeks on a percentage basis since the 2008 financial crisis. all three more than 30% off record highs and oil coming off its worst week since 1991. on pace for its worst month in

history. a stock to watch this morning, boeing goldman sachs upgrading the stock to buy from neutral saying that these levels, down 70% year-to-date, the fear is priced in and the long-term secular growth remains intact. the price target remains at $173 a share. boeing down 3% in the early going at just over $92 a share we have global team coverage for you this morning matt taylor is in singapore with a look at asian markets. karen cho is in london following the early trade in europe and eamon javers is with the stimulus fight on capitol hill matt, we'll tart with you. >> we saw a weaker picture across the asian markets, rattled by the drop in futures a number of markets seeing circuit wraekers kick in india declining by 10% at one point, triggering a hold in south korea as well.

the japanese market managing to move higher. we had a gain for the nikkei 225 of around 2%, that market supported by the weakening japanese yen when sits around the 110 level. south korea trading limit down at one point, off by 8% at the lows of the day but ending down by 5%. things a little more contained when it came to the mainland china market shanghai down by 3%. hong kong down by 4% in the last little while it was announced hong kong will be banning all tourist arrivals into that city from wednesday and not serving alcohol in any bars new zealand, a sharp decline there. the prime minister announcing a total lockdown of nonessential services across new zealand in the next 48 hours. that market off 7% australia lower by 5% as well. the government announcing a raft of closures of businesses into effect like bars, clubs, gyms. these are indefinite closures

back to you. let's turn to karen cho with the early action in europe good morning >> good morning, courtney. u.s. futures not helping the markets in europe half an hour into the trading day volatility persists. you can see the index trading down 4%. individually by country levels uk falling aggressively, too we had new measures from the uk chancellor to help businesses keep paying wages but the market is trading down 4.3% germany setting itself up for more stimulus, record stimulus package today, down 3.6% italian stocks sliding 2.8%. now borders within the country, not just around the country to stop travelers i want to take you to the oil industry very important measures today. if you're watching these energy giants, shell cutting its 2020 spending program by $5 billion,

suspending its vast $25 billion share buyback plan total also cutting back on its capx and also sidelining its share buyback program. want to take you to boeing compared to airbus it reached for a new credit facility worth 15 billion euros and dropped guidance for this year the stock is down 5% a quick look at sectors. more pain in basic resources and also media stocks. travel and leisure at the bottom back to you. >> thank you very much. we'll move to washington where a version of the massive funding package to help fight the coronavirus stalled in the senate after failing to capture the 60 votes needed to move forward as white house officials say the phase three stimulus package could top $2 trillion or 10% of u.s. gdp. eamon javers joins us with more. good morning >> good morning, courtney.

that's 1.6 trillion to 2 trillion is the range here depending on how all this lands. ultimately last night on the senate floor the vote was 47-47. as you say, they needed 60 votes, the republicans did, to pass it. democrats successful in blocking the measure. republicans accusing democrats of playing with fire by blocking that measure before markets opened on monday the democrats, though, complained there were too many measures in the bill that were not worker-friendly and also complaining ultimately that the bill gave too much authority to the treasury secretary meanwhile, as that was happening, futures hit limit down as the president was giving a press conference at the white house. you have this moment last night where the president was at the white house addressing reporters. the senate was failing to get this bill done futures were hitting limit down. all of that happening around the same time. at that time the president, though, insisted he's optimistic about the economy.

here's what he said. >> this will help our economy and you will see our economy skyrocket once this is over. i think it's going to skyrocket. it's a pent-up demand, you have to say, who knows but it will be a tremendous day when we win this war, and we will win the war. courtney, negotiations continue now through the morning. the expectation is, the way they left it last night, is they will vote at noon today they'll try this again they'll continue to negotiate and hash things out. we'll see where that goes throughout the day of course, we'll see how many senators can show up because one of the problems both republicans and democrats are going to start to have here is that a number of senators are now either have tested positive for coronavirus or are in self-quarantine related to coronavirus so, that affects the overall number of senators who are eligible to vote here, court in i. >> that's right. rand paul one of those senators testing positive

eamon, president trump calling for new restrictions on companies looking to be bailed out by the federal government over the coronavirus specifically when it comes to stock buybacks take a listen to this one. >> i do not want stock buybacks. i don't want to give a bailout to a company and have someone go out and use that money to buy back stock and raise the price and get a bonus. >> how might that sentiment impact any potential bailout for the airline? that seems to be the big sector everyone is focusing on for a bailout. >> i think the airlines are going to get some money here no matter what. it's in the bill there's a big chunk of money for airlines and there's a lot of money in there for other distressed industries the question is, what kind of handcuffs are the companies going to have on them if they take the money ultimately, the companies will need to take this money and i think the democrats in particular are pushing to put more restrictions in there on what they can do with the money over the course of time.

one of the problems the democrats had with the bill last night is there was only a two-year limit on restriction on what companies could do. they want to make this permanent. if you don't pay the money back, you have to agree to our restrictions i think stock buybacks is only one of those that could impact companies. they have to learn the lesson of 2008 which they allowed companies to have large compensation and they want to stop that before this bill passes. >> there's a lot of moving parts. eamon, thank you for following it for us this morning. >> you bet. >> joining me on the cnbc business line is founder of blue line futures good morning to you. there's a lot of talk about what will happen eventually on the fiscal side. eamon ran us through some scenarios or where we stand right now. is all of this necessary, meaning, is the market counting on some kind much fiscal intervention to the tune of upwards of $2 trillion and

what's priced into the market right now as we indicate a lower open to the tune of 2 to 3%. >> i do believe the market is asking for this. there's no way to understand how the market will react but we can go back to see similar situations, what the market did in 2008. it did sell off pretty sharply into the rejection by the senate there's a little bit of relief rally. but then the selloff resumed once they passed the bill. markets like to price things in as quick as they can obviously, uncertainty drives fear and fear drives negative reaction in the market and i think we're starting to price things into the downside i think it's likely to get relief rally until we see the hard data come out weeks down the road, it's hard to say there's a bottom end. there's a lot of damage. last week i was telling people, too, look at the december 2018 low in the s&p

2300 we close below there, all bets are off. this thing could go down to 1550, 1700 i'm not calling for that in the s&p but i think you need to be prepared to see it. >> right now the s&p 500, as you mentioned, sitting just above 2,30 2,300. that's a key technical level for you. when we drop below that, you think there could be more fear below? >> actually, in the futures are down 2,200 right now i did see a weekly close on friday below 2,300 that, i think, is set in motion. that sets this week up i like to look at those weekly closes it sets this week up for additional negativity. obviously, weakness through the -- last night and the overnight. again, we could see a little relief rally here from a or into potential passing of the bill. this bill needs to get passed. also you're hearing some of the

outside numbers of goldman sachs talking about negative 24% gdp in quarter two, unemployment above 20%. you know, all of this is very likely these are going to be shock numbers. not only are they shock numbers, it really displays what's going on in the economy and how the economy has completely shut down so, different in the financial crisis we'll be able to restart this is going to be that band-aid over a massive wound to help get us closer to restarting, whether that be the end of quarter two or potentially start of quarter three. obviously, goldman sachs does expect a bounceback in quarter three and four i think we'll see the year smooth out much better than the scary numbers we see here. longer term, there is a lot of damage out there i guess the fear, too, for those out there with portfolios is are

we going to see a recovery like we did in january of 2019 after that 2018 fallout? it's hard to anticipate or plan for that to happen but i would suggest sticking with the names you like, names you know, things you use one of the stocks out there that i like a lot that i use, slack you see a lot of collaborative work spaces benefit as well. those are some things to keep an eye on. >> it's kind of the warren buffett method, use the stocks you know, things you feel have long-term fundamental stories. bill baruch, thank you for joining us this morning. coming up, a number of tech giants taking new steps to help in the fight against coronavirus. plus, more fed members speaking out on the tools left in the central bank's arsenal to fight an economic downturn their remarks when cnbc returns.

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doprevagen is the number oneild mempharmacist-recommendeding? memory support brand. you can find it in the vitamin aisle in stores everywhere. prevagen. healthier brain. better life. welcome back ohio and louisiana have become the latest states to tell residents to stay home over the coronavirus outbreak the outbreak has forced states to one in three americans to stay home in a bid to reduce the spread of the virus. rahel solomon has the latest >> good morning. a number of tech companies are launching efforts to help in the

fight against coronavirus. cisco is committing $225 million in the fight against this outbreak with the money going to support local and global responses to the virus facebook says it's donating 720,000 medical masks and 1.5 million gloves to health care workers around the world the move comes as hospitals are forced to reuse masks because supplies are running out the ceos of apple, microsoft are speaking out on their fight, ranging from supplies for health care workers to changing priorities for warehouse and logistics operation. the central bank can and probably will do more to support financial markets in the economy, making those comments during an interview last night >> we're moving much faster than we moved in 2008 we're being more aggressive. is there more we can do?

yes. is there more we may do? yes. >> james bullard saying in an interview, quote, everything is on the table in terms of fed action, adding, there is much more that the central bank can do if needed and finally, google has officially launched its coronavirus website in the u.s., fear using itting information about guidance and testing earlier this month you may remember president trump touted the site, although he did mischaracterize its features back to you. as hospitals around the world face shrinking supplies of key items like masks, gloves and ventilators more companies outside the medical world are stepping up to fill the gap. over the weekend, germany asked its big three automakers to voluntarily start producing medical equipment to tackle the shortage this as president trump tweeted ford, gm and tesla are all being given the go ahead to make ventilators and more but what goes into retro fitting

factories designed tomake cars into making medical equipment? and how long will the transition take joining me now on the cnbc news line is former gm vice chairman bob lutz he's also spent time in the boardrooms of chrysler, ford and bmw. he's a cnbc contributor and lutz communication ceo. good morning to you. you have quite a history with the automakers unless i'm mistaken, i don't believe you worked at one that tried to retro fit a manufacturing facility to make medical equipment. i guess my first question upon hearing this is, can it be done? and how would it actually be done >> well, if the medical equipment were required in the same quantity as automobiles and were as complicated to make, then it would take a long time because you'd have to retool everything but what we're talking about here is by automotive standards

relatively low manufacturing we're talking neshlly maybe a couple hundred units a day not 14,000, 15,000 a day like the big automakers produce and all these automakers have conventional shops where they make their own tooling and they make prototype parts, which are kind of divorced from the big manufacturing plants those prototype shops are manned by highly skilled workers who can read drawings or computer printouts and make things. and the tooling for the type of thing we're talking about, like a ventilator, that doesn't have, like, 3,000 parts like an automobile does. it probably has a couple dozen and they're all relatively simple and i think -- and in the space of about ten days, these people can grasp the drawings, get the supplies and actually start producing. now -- and it will, of course,

not be produced in the automotive assembly plants these things will be produced in free space that's otherwise utilized it will be probably be produced inefficiently by highly skilled individuals. >> are these individuals that are literally practically putting together a ventilator based on drawings or are they building new assembly lines and automating the process >> no, it won't be automated certainly if you had to order the automation, that would take months if not a year so it will be a manual assembly line it will look a lot -- in terms of stations and human input, it will look like an automotive assembly line in the '20s or '30s it will be relatively primitive. it will be on reusable ee

request i want it will involve a lot of human labor. but the job will get done. >> wow that is really fascinating you think in maybe ten days is when this could get up and running? >> ten days -- i think in ten days, if the automobile industry puts their mind to it, and i know they will, a good automobile company can start producing that stuff in low volume, assuming it isn't too complicating and assuming they can get the parts, but this -- it should be producing in ten days to two weeks at the outside. >> wow fascinating. i hope, indeed, they can step up to the plate and help fill this shortage of very critical medical supplies bob lutz, thank you very much. >> you're quite welcome. bye-bye. >> good-bye. on deck, another difficult trading day is taking shape as futures point to more steep losses

steve seymour will break down the moves. as the global markets continue to face these wild swings, you can always watch or listen to us live on the go, on the cnbc app we're back in just a moment. can we go get some ice cream? alright, we gotta stop here first. ♪ ♪ from smarter atms, to after hours video tellers ♪ ♪ comcast business is connecting thousands of banks to technology that turns everyday transactions into extraordinary experiences. hi there. how are you? do you have any lollipops in there? (laughing) no, sorry. we're helping all kinds of businesses go beyond customer expectations. how can we help you?

welcome back the new york stoxx stock exchange is going to have a new start today, get ready for its firster all-electronic day the s.e.c. publishing rule changes saying normal market hours will apply today most trading firms are following their employees to conduct business at home let's go to dom chu for what key cfos are saying as virus hold may take. good morning. >> good morning. global cfos are taking a much more pessimistic outlook on what's not just happening with the u.s. economy but the global economy as well. according to the latest global

cfo survey, there's an expectation for many that we could see a move lower the interesting part about this is the outlook has been downgraded in about every region of the world and 5 of 11 sectors around the word are in declining mode if you're talking about what areas have not seen as much of a decline in terms of expectations, we're talking about the u.s. and canada. let's take you through some of the numbers we're talking about. global cfos in this past quarter, this quarter, have now said they -- 40% say they expect a recession to come in the united states. that's up from 20% just last quarter. as opposed to the 70% of people who thought no recession was going to happen last quarter, that has now been more than halved to 35%. the interesting point about this whole discussion right now is all of these survey results, as dire as they seem, were taken in the period between march 4th and march 16th that was the survey result period if you look at what's happened in just the last week and a half, things have obviously

accelerated to the downside. it could be that those cfos are even more pessimistic if you were to ask them today >> thank you so much i have to say, i am surprised it's not more pessimistic, but good to see. joining us now, tim seymour, chief investment officer at seymour assets you just heard from dom about what the cfos' outlooks are. we're seeing a lot of worrying signs in the credit market what's your read on everything put together. >> unfortunately, the bond market and credit markets are always ahead of the equity markets. what we see in terms of the credit deterioration over the last four, five days, even over the weekend, a couple new funds have come forward and dumped a lot of liquid securities on the market without getting too deep into the world of asset-backed

securities, mortgage-backed securities and the entire credit curve, what we've seen is a need for liquidity. what we've seen and even a request to the fed, to the market participants to bring more liquidity credit plans set the stage for potential more deterioration, but at a minimum, trying to understand where the credit damage is, which is difficult at this point, is part of what an equity investor needs to do. and certainly as we saw the futures at their worst last night, a lot of this was feeding through out of credit anxiety. >> when i was looking just at the retailers and seeing at least 14 by my count in the last couple of days drawing down on their revolving lines of credit to shore up their balance sheets, many are doing it as padding. their stores are closed, they

don't have revenue coming in it's like a blanket on a cold night. if i'm an investor how do i evaluate between the two, between what's padding and what's absolutely necessary or else >> yeah, look, this is -- and this is beyond a cold night. if you think about the impact on free cash flow and impact on balance sheets right now, they should be reeling in whatever they have available to them. if you look at equity markets and how companies have to address the business cycle right now, it's really unforeseen territory where effectively you've frozen in many cases the revenue stream the good news for equities at some point, though, as we look at market dynamics is this has been as aggressive and extreme

of a selloff as we've seen, arguably, even back through 1987 the crisis in aggregate terms was bigger but it took over the course of nine months. the extreme was the fall in 2008 right now equities -- equity exposure is 2.5 standard deviations below average simply put, people have deleveraged. market participants across the board from hedge funds, we've seen a massive selloff here. >> thank you very much for joining us i know it's going to be a very busy day for all of us the markets are indicated lower to the tune of 3% at this point. dow futures have been down at those limit down levels. however, off session lows. dow jones down 540 points.

cnbc's bakreing market coverage continues right after this

breaking news -- stocks coming off their worst week since the to 08 financial crisis as futures point to more losses at the open but we're not lockdown limit gridlock in washington with the key coronavirus funding bill stalling in the senate no one remembers t.a.r.p., i guess. rand paul has tested positive for the virus. and the trading floor of the new york stock exchange will be closed today as the big board goes all digital it's monday, march 23, 2020. "squawk box" begins right now. good morning, everybody.

welcome to cnbc's breaking coverage of the coronavirus. what's happening around the world, what's happening in the markets, too i'm becky quick along with joe cornyn and andrew ross sorkin and joe is at the market site in times square we've been watching equity futures at this hour and we're not limit down peter and i were going back this morning. that's kind of our version of a rally. we're only down about 3% across the board. if you were watching last night as the news first came in about the bill not passing in the senate, that's when we saw futures limit down to put this in context, you were coming off a very rough month. we're on track for the second worst month of percentage losses that we've seen in history that's second only to september of 1931. last week was the biggest weekly tumble we've seen for the markets across the board since 2008 this morning the dow futures indicated down by about 598,