it is 5:00 a.m. in boston and here is the top "five@5. stocks looking to cap off a winning week as investor attention turns from inflation to earnings. on deck, bank of america and wells fargo and citigroup looking for estimates coming down in recent weeks. pay package price cut. tim cook responding to the operational issues at apple. now tesla slashing prices at home the demand for the company shares continues to wane

today may be known as the unlucky evideday of the year. somebody forgot to tell the stock market don't be scared of you know it is friday the 13th this is "worldwide exchange. well good morning, good afternoon or good evening and good friday. welcome from wherever in the world you are watching i've brian sullivan. it is friday the 13th. don't worry. you have a great guest lineup there morning. let's get to it. let's hit the markets and your money and it has been a fine run for stocks lately because we have been higher every day this week and all of the major averages up and more gains in the market on thursday here is how it looks right now dow futures up nasdaq futures down a bit. stocks are rising as bond yields have come down the 10-year treasury below 3.5%. right now, the 10-year treasury

at 3.43% in the meantime, the commodities. oil is back to $78 and change. and reuters reporting that the freeport lng facility may not restart until next month it was supposed to be back online a few months ago. freeport facility is 20% of all u.s. lng export. it matters, a lot, to europe and prices and the longer the facility is offline, the more gas inventory builds up and prices go down last, but not least, in cryptocurrency we are seeing bitcoin and ethereum lower, but overall, a great 2023 in fact, bitcoin above $19,000 on yesterday those two have been the top two assets each up more than 10%. down a little now, but overall, a great year that is what is happening here

of thhere let's get a check of the trade in europe with arabile gumede. arabile. good morning, brian. you are quite right. do not fear. the markets are going higher across the week. including today. if we kickoff the asian market front, you see positivity outside of the nikkei which dropped 1.25%. interesting to note hang seng going up 1%. it was down by tech giant of alibaba and tencent. the chinese government entities are looking to take so-called golden handshakes in units of alibaba and tencent. these two managing to go higher, but that just means chinese government will need to take a little more control of these companies even if they have grabbed around 1% of the stocks for now. that just means in future they

will be able to deal with just how things are done in the tech sector which has been very influential and incurring issues with the united states still sticking in asia ing ing -- south korea has raised interest rates by 25 points to fight inflation. 5% inflation is re relatively hh 5% in the month of december. 1.7% growth in 2023 is the growth picture for south korea on the european arket. we are seeing green across the board on this front. ftse 100 is .50% higher. ibex 35 is .80% stronger there interesting to note the gdp number in the uk came out for the month of december. we also saw november at 0.1%

month on month, but down 0.3% on the year on year basis when you compare the last three months. very interesting to note that figure does mean that recession may be delayed, but not necessarily avoided. brian. >> delayed, but not avoided. arabile gumede, thank you. let's get the top corporate stories stateside including the pay package cut for tim cook pippa stevens is here with that. >> reporter: good morning, brian. >> apple is cutting the pay package by 40% this year to $49 million in total compensation. the change comes after a request from tim cook following the shareholder vote on the pay package. apple reducing the number of restricted stock units that cook would receive should he retire before 2026.

cook made under t$83 million lat year first choina and now tesla cutting in the u.s by 20% here which would expand the carokcar lineup and would aw for a $7,500 discount. the cuts come from the model y crossover which will start at under $53,000 excluding certain fees and the model 3 starting at under $54,000. the model 3 and model y are the best selling vehicles. they represent the bulk of the output shares are down in the pre-market reports the federal aviation administration regulators and advocates have been warning for years of out ddated technology that brought the air travel to a

halt this week according to the budget request for the faa, the agency's notice to air mission alert system is failing vintage hardware that needs to be quickly replaced others say it may not be as glamorous as a new airport failing vintage hardware that is quite the charge >> the software is some 30 years old. they have been talking about replacing it for years it is hard to believe, but some of the air traffic controllers, pippa, and i don't want to scare anybody going to the airport they use paper strips in large cases to monitor air traffic >> brian, it is friday the 13th. we don't want to hear about the air traffic controllers. >> no. we love them they do a great job. we love them landing is a key to a successful fly. pippa, thank you

it is always the landing nail the landing. today is friday the 13th superstitious day that might get many spooked it has a good rep on wall street get this, according to data from dow jones going back to the inception, the market, not friday the 13th, the s&p has risen on this day up an average of 0.01% that may not sound like a lot, but it is triple the average gain on the market on a regular day if it will there you go bad days, by the way, the worst one or worst friday the 13th, if you care, was october of 1989 when the s&p fell 4.6% there were good days with the best performance being the weird early covid lockdown bounce back in march of 2020 when the s&p

rows 4.3%. something to help wake you up on this friday. let's dig into it with eric marshall investment officer at hodges we will not worry about random days trade we threw it in as a bonus rbi. overall, let's talk macro markets. how are you feeling about markets and expectations right now? >> you know, our investment team is laser focused on the up coming earnings season the investment team at hodges talks to a lot of companies. what we think will happen here in the first quarter is you will start to see a lot of input costs for companies come down. a lot of the sell side estimates are probably a lot higher than the buy side this isn't true across all

sectors. we think there are area nos in e economy that will hold upper than others even in a slow economy. >> what will hold up >> we see a renaissance going on in manufacturing with onshoring back to north america. people try to tighten supply chains you heard about all of the semiconductor plants built here domestically we think a lot of the industrial side of the economy will hold up better in the slower economic environment. the consumer side of the economy may be hurt a little worse as people really work down their savings rates last year and you start to see things slow down a little bit we think you can have a bifurcated market. we like a lot of companies like material companies we still like energy and we're

finding out how to buy stocks with the multiple compression last year in light of higher interest rates >> i was looking at the top holdings in the small cap fund, eric you have housing plays in there. let's talk about the infrastructure names that is eegagle materials rocks on the ground type company. what do you like about exp >> this is a boring company that is one of the largest cement manufacturers in the united states they actually are seeing very good pricing power for cement. we haven't added any real cement capacity over the last 30 years in this country. as all the infrastructure gets under way this year for funding that occurred a year ago, you will really see, we think, take off for eagle and the company

trades close to what we see as the replacement value as the cement adds. >> lastly, a small cap semi conductor company. diodes >> this is the semiconductor company that will probably bottom out the middle of next year and this is one with upside leverage we would look at that space right now. we like diodes we own it in small cap funds >> diodes and eagle. thank you, eric. have a great weekend >> thank you when we come back on "worldwide exchange," we have helima croft with us she will talk about the wild card in the year ahead. and we have anton schutz as

well with his small bank stock picks next ry own. ♪ ♪ something you can have and hold. ♪ ♪ i'd build a road in gold just to have some dreaming, ♪ ♪ dreaming is free. ♪ accenture, let there be change.

i screwed up. mhm. i got us t-mobile home internet. now cell phone users have priority over us. and your marriage survived that? you can almost feel the drag when people walk by with their phones. oh i can't hear you... you're froze-- ladies, please! you put it on airplane mode when you pass our house. i was trying to work. we're workin' it too. yeah! work it girl! woo! i want to hear you say it out loud. well, i could switch us to xfinity. those smiles. that's why i do what i do. that and the paycheck.

welcome back oil prices are back on the rise and this week, they are on track for a gain of 6% brent crude in line for its best week since october overseas. the move comes as china demand starts to fire back up what is next what are the wild cards? let's talk about this and energy

with helima croft. global head of commodity strategy and cnbc contributor. she is joining us from abu dhabi. of course, helima. good to have you back on what are the oil market wild cards for 2023 >> brian, as you teed it up, it is not a wild card, but the story of china reopening what will it mean for demand does china say we will proceed with the complete reopening and do we have the surge in demand that propels oil prices higher that is the bull case for oil. i came back from saudi arabia and they are batchwatching thisr closely. someone highlighted to me watch the chinese new year will we see a rise of covid cases for the chinese new year that is the test of the government to seeing this through. if they proceed with the reopening, obviously that is the catalyst to move higher.

other stories to watch, the russians have made a lot of noise about cutting off consumers that pay at the price cap. russian cargos are going to countries with western services provided it looks like india is abiding by the price cap does russia make good on threats to cut these countries off what happens in february with the embargo on the russian products in europe do we see more dislocation in the market or is it smooth sailing? my final wild card bebe netanyahu is back in power in israel. do we see more tension with iran as we proceed with the nuclear program? >> let's dissect those one by one, helima. number one is china. imports fell last year obviously. i was looking at iaea numbers. if china fully goes up, it could swing global demanded by 2

million to 3 million barrels a day. that is all and maybe more of our excess capacity. there's a chart we're showing. we are over 13 million barrels a day before covid how much could china swing the whole thing? >> i mean, again, that's why we say this is the story. again, the question is does china continue with the policy there are serious challenges in the healthcare system. why people are saying watch the chinese new year there is an expectation of a rise of covid cases around the celebrations that is the test of the government's resolve to see this through. if they continue with the plan for the full reopening, that is obviously the big catalyst for oil prices moving higher what does the fed do that was something lighted on our trip to saudi arabia does this potentially mean you

will have more aggressive fed action will there be supply chain issues what does that do to oil prices? if you think about the few from riyadh, they are watching this closely. they are saying we are not out of the woods yet on china. opec is prepared, if there is some type of setback, they are prepared, i think, to say we are the stabilizing force in the oil market >> there is a lot of ways to make the bullish case on oil china, u.s. production not growing that much. by the way, the eia in the united states came out with the first 2024 not really forecast, but outlook, helima. they said they thought we could see demand globally tick up. if i had to say what's the biggest single argument for lower oil prices, what would it be what could be the negative for the market

>> global recession. again, speed bumps in the china reop reopening. the concerns we heard is china reopening and concerns with the fed and you have more aggressive rate hikes that is the concern that everybody is watching. if china does fully reopen and propels higher energy prices and supply chain issues and then does the fed come back with a more aggressive rate hiking schedule that is a concern from riyadh. everybody watching the china reopening story and they are saying you have to be cautious we are not sure of the direction yet. >> there we go there is the potential bear case china the bull case. we appreciate your global view helima croft in abu dhabi. see you soon safe travels still on deck here on this friday the big money movers and why

shares of that spac are surging ahead of the open. ady refor launch, anyone

welcome back are you ready for big money movers for friday? we are first up is two stocks alibaba and tencent. china moving to take shares of both p cocompanies. the move comes as beijing is

taking on the technology companies. wink-wink. next up is virgin galactic launching a commercial service in the second quarter of this year the stock up 25% this year third is hanes the company also rallying thursday in outlook and search for a new cfo. the company expects fourth quarter sales to be above revenue guidance hanes brands up in pre-market. the latest trader favorite bed bath & beyond in talks with lenders to finance the bankruptcy proceeding. the possible bid is discussed that could result in some or all of the company's assets bought shares up more than 300% this week as retail traders grab the

stock. be careful, folks. remember, bed bath & beyond is talking about bankruptcy possibly going away. no more company. meaning maybe no more stock. the stock is up 300% this week be careful, folks. let's step outside money and business and check on the other headlines with phillip mena in new york with those. phillip. >> good morning, brian an independent special counsel investigating the handling of classified documents as joe biden left the vice president spot a small number of documents were discovered in his home and personal library and garage. a report from the pentagon reports that theres were 60 reports of ufos. most from the navy and air force

as potential flight hazards. 26 were drones and 6 could be birds or plastic bags. that leaves 171 unexplained. music fans are mourning the loss of lisa marie presley she died at the age of 54. the only daughter of elvis was rushed to the hospital on thursday and suffering cardiac arrest her mother said the family is shocked and devastated by her death. finally today is friday the 13th it could be the lucky day on the calendar for the mega millions players. the second largest prize in mega millions history the powerball jackpot for tomorrow is $404 million brian, maybe today is their last day at work for somebody >> my mom other christmas gave

me a scratch off she can't read i took it to the store and scanned it because it was in my car. it was a $20 winner. i took the $20 and did something i never do i bought a mega millions ticket. phillip, if i win, i'm going to take you anywhere you want under $20 a person we're going out. chick-fil-a. whatever you want. >> i'll take you up on that, brian. for sure good luck to you especially everybody else who is playing. good luck. i'm rooting for you with extra sauce. extra dipping sauce. >> the polynesian dipping sauce from chicagok-fil-a. as we head to break, another domino falling in the ftx wake and crypto collapse.

watch this >> they calm their minds and steel their nerves with the words stated since the romans. fortunes favor the brave >> confusing super bowl ads. crypto.com announcing it will cut head count by 20%. citing what else industry wide challenges layoffs is the firm's second in six months after the early round in july. just another footnote in the history of companies naming sports fields or arenas. crypto.com is on the stadium where the clippers play in los angeles. "worldwide exchange" is back right after this you know, it seems like hope and trust are in short supply. [clap] now, as businesses we can blame and shame. or... [whistles]

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your money looking to wrap up a winning week. tech could make the sixth straight day of gains. banks among the number of results for the week. and southwest airlines ceo saying all options are on the table when it comes to preventing a repeat of the holiday travel collapse. it is friday, january 13th this is "worldwide exchange" here on cnbc

welcome or welcome back. i'm brian sullivan good friday morning. after 5:30 a.m. on the east coast. it is certainly a fine run for stocks we have been up every day this week and all of the major averages are higher. more gains in the market yesterday. right now, no indication which way the markets will go. dow up by 15 nasdaq down 15 we'll call that unchanged on average. overall, it has been a very good start to the year for stocks coming up in the rbi, we have numbers on the hottest of the hot stocks out there and also one that is ice cold oil, not hot, but warming up continues to tick higher closing back in on $80 a barrel. crude oil here is $79. let's step outside of that and get a check on the top stories,

including the latest on the continued fallout over the travel meltdown from southwest over the holidays. pippa is back with that and more of the headlines on friday pippa. brian, we start in the energy space with conoco looking to get back into venezuelan oil. according to the wall street journal, the company is open to the deal to sell the oil in the u.s. the preliminary talks with conoco and national oil company pdbsa is a way for conoco to recover the money owed by kent venezuela. conoco abandoned after the deal melted down in 2007. and southwest is trying to prevent another meltdown southwest's board set up a new operations review committee to oversee management and adding

the airline hired consultants to investigate the disruption when asked about his job security, he said he was not focused on that and instead rebuilding trust with southwest employees and customers. google and nvidia are raising concerns with regulators about microsoft's $69 billion bid for activision-blizzard the deal could give microsoft the advantage in areas of mobile gaming and subscriptions and the cloud. the report adds that google the and nvidia gave information to support the case to block the deal brian. >> all right pippa, we appreciate it. have a great day thank you very much. for now, let's talk about money. specifically the earnings onslaught about to come from big ban banks. many bank stocks are hot

kb index up 5% this year some of the names you want to watch? no one knows like anton schutz thank you forg getting up early. you are well known for taking the banks out. do you have a view on the big banks right now? those are the earnings that we will talk about on cnbc. what are you expecting >> well, i'm expecting a mixed bag. there are some parts of the banking space doing well net interest income has been a big focus on investors with rates no longer as zero, banks benefit from the rates rising that may be close to the end deposit costs may be catching up clearly the lowlights are investment banking you have seen job cuts on the street activity is down

what we're looking for at the end of the day is not just the numbers because we talked about income at the end of the upward trajectory we are looking for the guidance and comments with credit quality and loan growth. really important factors with u.s. consumer will be big for a lot of the companies with big credit card divisions. if you think about what the companies have done with all reporting today and they made it harder to analnalyze at the end of the day, kmecommes from jamie dimon will be critical. >> you know we like to headlight the big banks. they are all the same and different in their own way is anybody better positioned in the next 12 to 24 months >> that's a great question on the big guys i like wells fargo

wells fargo has been in so much of the spotlight and made settlements and fines and cleaning up the company. they have the ability to grow capital. once they get out from the cap of being able to grow the balance sheet, they can increase earnings dramatically. they are most likely to buy back more stocks than other banks they are more likely to grow faster if they get let out from under that cap they have done a lot to get out from that and settled a lot of regulators clearly what they did was terrible this is a number of years. they brought in everybody new to clean this thing up. i think this has the best upside i think defensively from the buyback perspective, they have the ability to buyback stocks and others are more constrained. >> it does feel like wells fargo in many ways is a different bank than a couple of years ago let's talk about a name we don't talk about much if ever.

the mid major type banks well known on the east coast unknown outside of that. first republic ticker is frc. why is this on your radar, anton? >> first of all, i'm a customer. they are fantastic in customer service. incredibly responsive. second of all, they could benefit from rates going back down again you look at the chart. it looks terrible. all-time highs they are more interest sensitive. rates go down and they make more money. people are starting to look at this and companies that have more interest sensitivity if rates start to drop. this is the kind of name that could benefit from that. definitely one of the best customer service names out there. >> frc first republic bank. i know you will be super busy. you have the suit and the tie

on you are ready for the big bank fight. have a great weekend thank you. >> thank you be well. you're very welcome. thank you. following the bank results, a pair of interviews with larry fink on at 9:30 a.m. and then bank of america chairman brian moynahan on cnbc at 3:00 p.m. today. on deck, the morning rbi is going deep we are looking at some of the hottest and coldest stocks so far and what has been a pretty hot year for stocks. that's next when "wex" returns [office sounds] ♪upbeat music♪ ♪♪

♪when the day that lies ahead of me♪ ♪♪ ♪seems impossible to face♪ ♪a lovely day (lovely day)♪ ♪(lovely day) (lovely day)♪ ♪(lovely day)♪ a bank that knows your business grows your business. bmo.

try to fin kind of correlation there, i dare you. i couldn't gold, solar, china, whatever since it is not all wine and roses out there, can you name the worst performing s&p 500 stock so far this year probably not 1 in 500 chance. we can it is chicago based medical international baxter international. not a great start for investors this year. d down

overall, a good start to 2023 for many stocks and history says that means a good start to the year could be a good year for the markets. history says only time will tell hopefully it is a little random and little bit interesting. on deck, greg branch is here to layout the full case for the markets on this opportunity friday w when he says a rally could happen. a reminder, follow our podcast onllatforms. we a bk tethreacafr is questionsc all good, thanks maura! there you go, one new inhaler! nice did you get my refill too? maybe healthier isuto refills and delivery made easy. you're a lifesaver. have a nice day.

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welcome back time for the wrap up six stories you may have missed as we close in on the 6:00 a.m. hour tim cook getting a 40% pay cut this came from a request after the shareholder vote following his pay package. and crypto.com is reducing

the work force by 20%. the s.e.c. suing genesis and gemini yesterday both companies accused of failing to provide clients detail disclosures. tesla cutting prices on its cars again this time in the united states by as much as 20%. biggest cuts coming to the model y and model 3. boeing 373 max yet taking off in china today why do we note it? it is the first time it has happened since 2019. china was the first country to ground the 737 max and shar galactic popping after launching the commercial service in the second quarter this year that stock up 30% so far this year. let's gear you up for the

trading day ahead and next week and discussing earnings from the banks with bank of america and wells fargo and goldman sachs. earnings from delta airlines and we have neel kashkari speaking today and patrick harker as well let's bring in our friend greg branch and call it opportunity greg, good to have you back on we are talking earnings. it happens every three months. it seems to be important this time because everyone is negative what are you watching the most closely in the next few days and weeks? >> so, first, we get the banks the banks will give insight to what is going with consumers and businesses and how they are weathering the storm and prepare for the storm. i think the banks surprised

everyone the last couple quarters as they provision outlook on the economy and businesses and consumers were different from colleagues trying to build bull cases. that will give us the insight. i'm worried about the health of the consumer balance sheet as we noted before not only did credit card openings every quarter set a record, but savings rate dipped to 2.3%. i'm worried about the health of the consumer as we go through this as fed action aggressive. i see a terminal rate of 66% probably you mentioned neel kashkari who has been the dovish of the fed presidents he pencilled in 5.4% in that note i think the market is not prepared for that. i think the earnings, as we know, have come down dramatically estimates. >> you know, you just heard the stats, greg, that consumer

companies -- airlines and cruise lines are all up 20% clearly in the first few days of the year and i know it is a couple days, the market doesn't appear that worried about the consumer >> there's reasons to not be worried. obviously consumer confidence has come off a low when you see the surveys. the consumer has been spending consumer spending has not cratered as one would think in the midst of recession at the end of the day, we have a lot on leverage as the savings rate and credit card and that runs out at some point especially if the fed is driving to 5.4% unemployment that will come under pressure. the market forecast where the consumer will be and continue to spend may be off a bit >> yeah. we have the fed speakers as well the fed hopefully will be off the table with a slight rate hike at the february meeting that will probably be it

once the fed is finally out of the picture, which it will be, greg, hopefully sooner rather than later, what then? we have been addicted to the fed for so long. what becomes the focus of the macro market long term >> i think we get back to the valuation. i think the fed will remain in the picture longer than you are intimating, brian. i think there is another 200 basis points to go once we get past that headwind and past that trying to figure out what the fed will do and reading into every data point and predict actions -- which we will get past in the second quarter, we turn to valuation providing the estimates are reason able. i think that happens by the second quarter as well now we will tell if things are cheap or expensive just because it is crushed doesn't mean it is cheap we have no real numbers unless

the estimate is reliable. >> if you are right and we get another 2%, aka, 2 basis points. i have to pay myself money i said i would not say that anymore. what happens to rvaluations go p and what happens when we bring the estimates down if we go up another 2% are we fairly valvalued for the macro market you have to go stock by stock. >> these things are connected. if you go up another 2%, that has to be taken into account for those third and fourth quarter estimates. they need to come down they are too high. high single digits that is rather unlikely. once they do come down, now we can at least determine what a reliable multiple is if you are using estimates 10% to 20% too high, it is hard to rely on the multiple to say something is cheap

once we re-base and determine the estimates, and once the fed is oustt of the way, we can perform the exercise of the valuation. >> we have the banks earnings out. let's say they come in great i'm on the optimistic. the guidance is better does the market takeoff or does the run we had for the s&p and nasdaq and that is the expectation of decent numbers from the banks because the banks have the power to move the market, greg >> there will be two things we need to look at with the banks the net interest margin environment has become more positive for the banks that's where they make the lion's share of the profit that can remain in tact and that can remain something that is progressing. at the same time, we have to look at the provision.

the loan book and how it sees losses they are preparing for will give us a good view into what and how the consumer and businesses will be affected. the banks can do well. we have to look at the provision numbers because that will tell us what is happening mid to end year >> well, okay. we meet up this time on december 31st or whatever the last trading day of the market. where do we see the market higher or lower from here? >> i think higher. i think we're probably range bound for the first half i think it is volatile the estimates need to come down. we need to agree what the fed will do. the fed is telling us one thing. fed futures is indicating a terminal rate below 5% i think the market will probably be surprised by the actions they take that they told us they will take we are range bound once the estimates come down, rally in the fourth quarter. >> i like it

optimistic on opportunity friday greg, thank you. earnings alert from united health bertha coombs is here. >> brian, united health sets the tone for the rest of the hlt care sector. fourth quarter results beating expectations for earnings and revenue. $5.34 a share. 17 cents above estimates on revenue of $82.8 billion in the insurance unit, united healthcare area posting revenue of $63 billion higher than expected beating operating income as well coming in at $2.9 billion. despite the surge of flu, rsv and covid during the quarter, medical costs were in line at 82.8% of premiums. that is positive for the health care sector today. membership grew by 1.2 million for the full year of 2022.

over on the opt tside, topped operating income at $4 billion which was better than the street over to you. >> all right first earnings of the day. bertha, thank you. thanks to greg branch and thanks to you for tuning in "squawk box" is next have a great day i screwed up. mhm. i got us t-mobile home internet. now cell phone users have priority over us.

and your marriage survived that? you can almost feel the drag when people walk by with their phones. oh i can't hear you... you're froze-- ladies, please! you put it on airplane mode when you pass our house. i was trying to work. we're workin' it too. yeah! work it girl! woo! i want to hear you say it out loud. well, i could switch us to xfinity. those smiles. that's why i do what i do. that and the paycheck.

good morning welcome to earnings season which is starting this year on friday the 13th it could be good the next twho hours we hear from united health and delta airlines and four of the world's biggest

banks. jpmorgan chase and goldman sachs and bank of america and wells fargo. tesla slashing prices for its cars in the u.s. making them available for a federal tax credit. and apple tceo tim cook telling the board to cut his pay after shareho hs dipped it is friday the 13th. "squawk box" begins right now. good morning welcome to "squawk box" here on cnbc we are live from the nasdaq market site in times square. i'm rebecca quick along with kejo kernen and andrew ross sorkin. it is friday we are awaiting