that's all for this edition of "dateline." i'm craig melvin. thank you for watching. ♪ good morning. welcome to "street signs." i'm julianna tatelbaum in london. joumanna is at the imf world forum in marrakech. here are your headlines. >> the imf warns of growth challenges projecting 90% of ada advanced economies will see slower growth this year and another slowdown in 2024. risk on sentiment returns to equity markets after fed vice chair phillip jefferson admits

the u.s. central bank doesn't want to risk overtightening and adding that the fed is at the end of the hiking cycle. the death toll from the israel-hamas war is claiming 1,500 lives as they prepare to mobilize 300,000 reservists. and countrygarden is warning it is unlikely the company will be able to pay the remaining debt obligations. after resilient start to 2023, global growth is expected to slow this year and next according to the latest projections by the imf.

the outlook released a moment ago, the fund says the united states is on track to exceed pre-pandemic growth with gdp expected to rise 2.5% this year and 1.5% next year. china is expected to lag behind. global headline inflation is set to decline from the peak from last year to 5.9% in the fourth quarter of this year and fall further below 5% in 2024. this world economic outlook came out a few moments ago . it is long. sylvia and i have had time to piece through it. i want to bring your attention to the title. navigating global divergence. that is the director kristalina

georgieva speaking out and drawing attention to the fact it is a multi-speed global economy. some economies are going better than others. the u.s. is on a much better trajectory than anyone thought it would be, including the imf back in april. we have seen a substantial upgrade in growth for the u.s. they talk about the resilience in consumption and tight labor markets boosting the u.s. china, of course, has been a point of focus for markets. recovery and resilience has not been what they thought it would be. actually one of the biggest downgrades to growth has been for china with the downgrades due to slowdown in the property market as we have been talking a lot as well as labor market uncertainty and high youth unemployment number which has been picked up on by the imf. china has seen a downgrade, but

sy sylvia, the eurozone as well. they are specifically picking on germany. >> exactly. it is not looking good for the eurozone. let me share figures. imf expects the area to grow by 0.1% this year and 1.2% next year. the fund is seeing divergence within the euro area. when it comes to germany, negative growth this year. this was expected ahead of the release of the world economic outlook. expecting gpd at 0.5% for germany. with italy, i expect to draw your attention to italy with growth expecting to stagnate at 0.7% this year and no change for 2024. of course, the dynamics of the economies are very important for the broader eurozone area. i would just like to draw your attention to inflation figures. here is where the imf sees the

eurozone doing better than expected. they point to inflation in the fourth quarter of 2023 at 3.3%. a significant decrease, joumanna, but still above the target. >> that gives me an opportunity to preview the interview with robert holzmann. that will be a big question for him. quickly on the uk as well as anyone who has been watching the uk will be interested to see the downgrade of the forecast for next year by 0.4%. they only see growth of 0.6%. a lot to take anway here. in context of the broader world economy, they have pointed out that emerging markets and developing markets are the countries that are struggling the most to get back to pre-pandemic trend levels. this is an important theme here on the sidelines of the imf

marrakech conference t. it is not just global growth, but the fact they are not growing fast enough. we had the opportunity to speak with axl about the challenges facing the low-income countries and what the imf can do to help. >> i don't know so. the organization has to go with the times. we have been in business over 75 years. the challenge of the institution is not to become stale and just bureaucratic. you need to change and almost f permanent change and think how you can do better. are you making contributions to the global challenges that are considered essential by the

international community like climate change? if you can do that, you have to scale up. you have to look and be very, very determined to do this and this reform process is looking to the outside world. can you make the dicecisions an move on? >> you launched the private investment lab earlier this year. what will you do to incentivize the private sector here? you mentioned that earlier as well. >> i think that is a good example. we need to get private sector involved and see and understand better their issues and how to get investment into the developing countries. there is a difference with middle income countries and low-income countries. we need the conversation to locate where de-risking is necessary and what we can do as

a world bank together. i think we have launched this process. what we need to see is more money and better partnerships and the private sector is key. >> to build on what sylvia p poke -- spoke about. the debt restructuring process for many countries with the bilateral loans withpliccomplic. >> what you will see when countriyies become richer, they extend to other countries and support loans and that is in the case of china what we have been seeing is that particularly vulnerable countries should be careful about the situation. that is what countries are finding out. it is not only about the leaple

lending, but sustainable lending and contributing to the countries. >> a fascinating discussion with the world bank and their self evaluation of the purpose and not just eradicating poverty, but having a mandate on sustainability as well with resources and raising enough financing for that which is a big theme here as we think of the world facing a multiple number of shocks and geopolitical shocks with the horrible news emanating from the middle east. >> of course, that is impacting the conversations happening here in marrakech. particularly the context of trying to understand what this could mean for the global economy. with that in mind, i had a chance to speak with the finance minister and i asked her how she is feeling about the latest escalation in terms of security across the world. she said this is adding another layer of uncertainty. let's take a look. >> it has been a while that we

are really living in a troubled world and a lot of headwinds. it represents another layer of uncertainty with inflation and oil prices, et cetera. how do we cope with this in morocco? light of the leadership of his majesty has chosen openness. cultural openness. with diversifying our economy and partners and our education and this is in our culture and roots to say we want to be a player in the global world and we understand other cultures. we can explain ours. i think it is the pro-chper cho. it is one solution that helped

us live in this difficult world of the latest years. >> from the financial point of view, because you are the finance minuter, i would like to understand what worries you the most given how troubling the geopolitical situation is. are you worried we will see higher oil prices and that will impact inflation in mock ror -- morocco? >> i know we don't have access to fuel, i would say, energy, and this is why we have been working for the mid and long term resources. what we do in morocco is long term with renewable competitive energy. we have ups and downs with this

t challenge and we know we need to sometimes pay higher prices for oil. it is difficult for us. it is a burden. >> all right. that was part of the interview with the finance minister of morocco. we are in marrakech. the annual meetings were postponed due to the pandemic. it is a big deal to be here to showcase the challenges that the re region is facing and, of course, gaza and israel is on top of everyone's mind. we have more to come. we will bring you key interviews in the next hour. to give you an idea, we spoke about the world economic outlook pub published, but we will speak with pierre-olivier gourinchas as well as robert holzmann.

it is interesting to see his views on the landscape from here. later on, we will speak to the director of the imf monetary and markets department which is tobias adrian and krishna srinivasan. julianna. >> fascinating stuff. i look forward to those interviews. meanwhile, a lot of action here in the markets. fed officials signaling the bond yields could allow the central bank to take a breather. we'll discuss more after the break. meet the portable blender we can barely keep in stock. blendjet 2 gives you ice-crushing, big blender power on-the-go. so you can blend up a mouthwatering smoothie, protein shake, or latte wherever you are! recharge quickly with any usb port. best of all,

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welcome back to the program. let's get a check on markets. they have been open for an hour in europe. we have a lot of action already as you see behind me with the sea of green. nearly every stock in the stoxx 600 is trading up this morning. this after a modest pull back yesterday. the main benchmark lost

yesterday. why the rally today? investors are pointing to two reasons. one, we have seen bond yields pull back as a result of the safe haven demand given the conflict in the middle east. and, then, two, the fed. two striking a dovish note suggesting we may be near the end of the fed hiking cycle. we may see them pause by the end of the year. that seems to be enough to get stocks going and the rally in sovereign bonds in the flight to quality trade. breaking it down by markets. this is what the different boards are doing. a widespread rally and broad based gains. ftse 100 is up 1.4%. ftse mib is up 1.5%. the swiss market support .90%. still higher. very strong buy signal coming from the equity market. from the sector perspective,

this is the most clear buy signal and this is all about a cyclical narrative. basic resources up 2.8%. autos up more than 2% this morning. real estate and travel on the downside with underperformance in oil and gas after yesterday with the strong outperformance in the energy stocks with the price of oil rallying 4%. let's break it down and look at the sectors that were in focus yesterday on the back of the violence in israel. you see how they are faring. oil majors this morning. mixed picture this morning. we did see the rally yesterday. european defense was a standout yesterday to the upside. this morning, we are seeing a continued bid for the names. safran up 2.1%. investors continue to put money

into the defense names. similar trade on wall street yesterday. airlines s airlines, in contrast, was a sector that suffered yesterday after the number of the airline cancelling flights in and out of israel. this morning, the cyclical fed narrative is trumping the gains. still a strong rally and air france and klm up 3%. let's get over to the u.s. and check out the futures. it looks like the rally in the u.s. is a little bit more muted than the gains here. that comes after we did see wall street ultimately rally in the close yesterday. all three majors are pointing to a strong start. treasuries here. interesting with the columbus day holiday yesterday. treasury markets were closed. catch up taking place this

morning. we had the rally in european bonds yesterday. a catch up now taking place here. yields are lower across the treasury curve. let's get to joumanna to detail what we heard from the fed officials. >> that's right, julianna. you wonder if it is catch up on risk off sentiment or some comments from fed officials which i'll bring to you now. some top fed officials signalled that rising bond yields could prevent the central bank from needing to tighten further. they were in a sensitive period. and then dallas fed president logan says this could leave the central bank less to do on the policy front. that is an interesting dynamic he evolvi evolving. let's bring in our first guest on the show.

let's pick pup on the price action on the bonds. i do understand that some of it is catch up from yesterday with the u.s. out for the day. do you think the bond rally has legs at this point? >> i don't think it has significant legs. i think we are probably right approaching a pause in interest rate hikes, but there are still cuts priced in for next year. those will need to come out of the price. i think it is less you will see movement in the two-year bond, but a bit of appreciapressure o ten-year bond. we have renewed pressure from the food prices coming in. you will probably not have inflation come back down to 1% to 2% for some time. if the economy is strong, there is no compelling reason to drop

rates significantly for central banks. >> what do you make of this evolving narrative? specifically the narrative that came out of the fed yesterday in that some of the movement higher in long-term yields takes the heavy lifting out of the fed? is there a delicate dance between the two or will the fed still be inclined to hike with the long-term bond yields? >> it is the market starting to rehe flect what the fed is sayi. mortgage rates and borrowing are priced off the market expectations rather than the fed dot plot or expectations. they are right. if what the market prices in conforms to what we are hearing from the fed about what will happen in the future, that will adjust up some of the borrowing costs and that will potentially take a bit of money out of

spending pockets and help reduce inflation which is the theory when we started this hiking cycle about a year and a half ago. >> let me take you to the big news over the weekend out of the middle east. the impact on markets of the bloodshed in israel and gaza has been contained to the parts of the market directly exposed to israel and the oil price. what would make the conflict more of a driver? >> for it to be a broad market driver, you have to have more countries become directly involved in it. iran's role is something that could lead to escalation if they were to become involved and potentially draw in other nations. right now, in the view across the market is it is fairly limited and it doesn't impact the wider markets. we haven't seen huge moves in

things like the oil price. longer term, if it did escalate, could you have constraints on tri shipping through the strait of hormuz or could we see more of a shift away from the middle east and places like latin america and india which are favored right now? everyone is sitting on the sidelines and waiting and seeing how it evolves. it is too early to take any big bets based on what has happened the last few days. >> you are not taking into consideration potential inflation impact given the potential for higher oil prices now and higher defense spending? >> i think oil prices with the saudi arabia cuts and oil prices nearly hit $100 a few weeks back. there is a bit pof a floor unde oil with the changes of iran coming off the market or saudi

arabia imposing more price cuts. that is not particularly new information and that is priced into markets. i think higher inflation not falling as quickly as we expect and not having the tailwind of commodities prices coming down is a risk for the future. >> i'm speaking to you on the sidelines of the imf meetings in marrakech. we are just going over the highlights of the world economic report. one of the themes is economic dive divergence. the imf is citing the u.s. and india as a bright spot. less for the eurozone and less for china and lower income in emerging markets facing their challenges. to your mind, do you think a more positive growth outlook necessarily relates with better financial asset performance? >> well, it tends to in the long

run at a global aggregate level. i think the issues we have with multinational companies operating within the world and tracing back with stock market the profits go to is not a simple task. you have huge con groglomerates the u.s. with huge issues around the world. i think particularly in fixed income, you are starting to see divergence with fixed income markets. i think that is going to be a continued trend where you really have to pick some of the winners within specific markets rather than simply being in the broad emerging markets index. india is benefitting a lot from negative sentiment around china. investors are looking for somewhere else to put their money that has high growth potential that they want. you will see india and potentially latin america looking for alternative places for people to put their money.

>> i was just going to come to india because i know it is an region you like. how much further do you think that market has to run begin the optimism seems to be priced in now? >> india is expensive relative to the benchmark. part of that is the sector makeup and growth profile. if you look at company margins in india, they are not particularly stretched. we have the hiccup with adami which the hit on the market this year. we he are seeing a lot of investment and it is riding the out outsources trend. that can carry on in the near future. >> thank you so much for having you on the show. the cio of m & g wealth.

stay with us. when we come back, we will talking about the situation in the middle east. israel orders a complete siege of the hamas-controlled dpagaza strip as the death toll from the war continues to cmb.li we will have more in a few moments. r of the stay beautiful foundation when i started in 2016 i would go to the post office and literally fill out each person's name on a label and now with shipstation we are shipping 500 beauty boxes a month it takes less than 5 minutes for me to get all of my labels and get beauty in the hands of women who are battling cancer so much quicker shipstation the #1 choice of online sellers go to shipstation.com/tv and get 2 months free ah, these bills are crazy. she has no idea she's sitting on a goldmine. well she doesn't know that if she owns a life insurance policy of $100,000

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welcome back to "street signs." i'm julianna tatelbaum in london and joumanna bercetche is in the world imf forum in marrakech. these are the headlines. >> risk on sentiment returns after the u.s. central bank does not want to run the risk of over-tightening adding that the fed is at the end of its hiking cycl cycle. the imf projects 90% of advanced economies will see lower dprgrowth this year and another slowdown in 2024. we will hear from pierre-olivier

gourinchas at 11:00 cet. israel claim it is secured the border region with gaza and prepares to mobilize 300,000 reservists. and mark carney gives endorsement to rachel reaves as she vows to bring the conference into economic stability as the party's forum gets under way. >> working people rightly expect nothing less. thing death toll from the isr israel-hamas conflict has risen over 1,500 people as the war

draws international cond condemnation. the palestinian ministry of health confirmed 687 people have been killed. hamas is believed to be holding over 100 israelis hostage and the group saying they will execute one hostage for every time they target civilian homes without warning. israel's government ordered a siege of the hamas-controlled gaza strip. electricity, food and fuel will be cut off from gasza. this is raising concerns it will launch the first ground offensive in gaza since 2014. there is a lot going on. it is quite difficult to keep track of what is happening. i want to reference we have a

cnbc.com blog up on the web site if you want to keep up to date with the developments. let's get out to dan murphy who is in the middle east right now. dan, give us a sense of what the reaction has been from the region. >> reporter: joumanna, we are seeing reaction coming in thick and fast. saudi arabia and the uae this week have condemned this violence and called to halt the escalation in gaza. the arab states are expressing a lot of concern about the plight of the palestinians and potential for this conflict to spillover into the region which could cause oil price volatility or big risk asset volatility as well. we also know that saudi arabia's crown prince has been hitting the phones and holding calls with regional leaders including jordan and yegypt and palestinin leader. he stands with the palestinians,

not hamas. that is critical as president biden seeks to find a way forward on the normalization agreement. the holy grail of the middle east peace deals. saudi arabia wants isringhausen r -- wants israeli concessions. we know saudi arabia would not, perhaps, be willing to normalize ties with israel unless it saw significant status. that is on the back burner as these talks look to be basically halted as a result of what is unfolding in the middle east. of course, as you mentioned prime minister benjamin netanyahu ordered the full siege of gaza. perhaps maybe a ground operation in gaza. that remains to be seen. we know troops have been

mobilizing with the call on reservists to prepare for that if necessary. he has vowed to take revenge against hamas for the attack. he says retaliation is just getting started. back over to you. >> dan, thank you so much for outlining all of the different angles around the conflict. dr. hasan for the middle east policy from iass joins us to discuss further. thank you for being with us this morning. let me pick up with my colleague left off. that is with saudi arabia and its relationship with israel moving forward. what is going on, do you think, within the kingdom right now? what is factored into the saudi calculus with determining the next move with regards to israel and the normalization of the relationship? >> thank you very much for having me. i think saudi arabia's immediate priority is to seek the

deescalation. saudi arabia is, obviously, very much concerned that the conflict, currently between israel and hamas, could reach into a broader war. if we see escalation of the northern border with hezbollah and the u.s. being dragged into the conflict, then there is a likelihood that other iranian an aligned groups in the region with threats from groups based in iraq or iran itself, could seek to target u.s. interest in the gulf. the gulf region normally hosts 35,000 u.s. troops. you have the u.s. fleet in bahrain and the u.s. central command headquarters in qatar. i think the immediate priority for saudi arabia and gulf states is to deescalate and prevent the conflict from essentially

becoming a region wide war. that said, i think as far as saudi-israeli normalization is concerned, i think that is very much off the table for now. saudi arabia realizes that arab public opinion is behind the palestinians and the political price they would pay for normalization and the ongoing conflict, especially given the uncertainty around israel response as we heard benjamin netanyahu say clearly that israel was out for vengeance. the toll for the response is going to maybe it more difficult for saudi arabia to pursue normalization. >> dr. hasan, it feels as they the big question now lies in whether we see other nations drawn in like you just outlined.

what would draw the likes of lebanon or iran into the conflict at this stage? >> so i think there have been indications that if israel were to embark on the ground in invasion, that hezbollah might be drawn in to play a direct role. we have seen hezbollah send a message to israel that they were serious through low-level hostilities along the border. if we do see hezbollah play a more direct role, this is a bigger chance the u.s. will get involved and if the u.s. gets involved, then all bets are off because iran and iranian-backed groups of the region are likely to escalator retaliate not only on the israeli-palestinian issue, but target u.s.

interests, especially military interests more widely in the region. that is going to include the gulf region where there is a significant amount of u.s. troops and capabilities stationed. >> dr. hasan, let me ask you if you see in the near term any possibility for a truce? there was a suggestion that hamas was up for it as some were saying that is just posturing. is there a possibility of a cease-fire or dees calation in the coming days? >> the ball at the moment is in israel's court and it depends how israel chooses to respond. if the israeli response is to attempt to eradicate hamas infrastructure within hezbollah and launch a ground invasion, we are likely to see a protracted

conflict. if israel backs down and decides to pursue a less escalator yy, e margin remains higher. we are likely to see the likes of saudi arabia which has cautiously reengaged with hamas early they are year, attempt to pursue and attempt to support efforts toward deescalation. that is explaining the flurry of activity around and including leaders of egypt and jordan and other leaders and states that are able to exercise some influence over hamas. >> we're going to leave the conversation there. tho thank you for joining us, dr. hasan at iiss. for all of latest news and devel

developments, you can follow our live blog on cnbc.com. ukrainian president volodymyr zelenskyy accused russia of trying to exploit the tensions in the middle east. in a speech, volodymyr zelenskyy claimed the kremlin was trying to get involved in israel with the help of the ally iran. >> translator: there is a fundamental importance for us for ukraine and europe as a whole. according to the available information, a very clear piece of information, russia is interested in triggering a war in the middle east so it is a new source of pain and suffering can undermine world unity and help russia destroy freedom. we see moscow's friend openly supporting those who attacked israel. this is a greater threat the world currently perceives. the world wars of the past started with local aggression.

>> financial support for ukraine and building efforts are front and center here in marrakech. i spoke to the deputy governor of the national bank of ukraine and asked what he thought about the u.s. move to strip ukraine funding from the short-term funding bill. >> still support, but that is a short-term delay in the financing for ukraine. they are still relying on the support of the american state. we are very glad to hear this assurance that the u.s. is ready to support ukraine as long as needed. definitely that is an important point for both financial stability in ukraine and resilience and the ability to withstand the challenges caused

by the war. >> one thing i think is important to note here is that ukraine only recently moved away from the pegged exchange rate which was in at the beginning of the war to a more flexible rate. that was significant for markets. the message was that financial stabilities is at the highest level since the beginning of the war and the motive for the central bank to release that peg p and begin the motions of the lifting capital controls. a big story for ukraine. another major story and l long-term goal for ukraine is to join the european union. here, i put the question to the deputy governor and what it would mean for ukraine. . >> that is our way to strengthen

the ukrainian economy and to make the needed structure reforms and for us, definitely, it is important to see the way here from both sides. we are ready to do the difficult reforms even during the war time, but we like to see the clear way how we may become a member of the european union and how we strengthen our economy the while at the same time we look at the benefits of the membership of the eu which is security and food security and many other factors. still ahead on "street

signs," uk opposition party wells for restraint if it is in por. we have more from liverpool after this break. i'm hungry, i'm in a hurry, i don't have time to make anything healthy. you could if you had a blendjet. blendjet? it's the portable blender that makes the healthy choice the most convenient choice. i don't know. it seems like a hassle. hahaha! wrong. just pour in some milk, add some frozen fruit, and bam! you've got a nutritious and delicious smoothie. mmm! that is good. you're welcome, sad office guy. get yours today at blendjet.com are we in in an ad? we sure are.

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warm welcome back to "street signs." let's get a check on wall street and how u.s. futures are shaping up. all three majors are green. more gains on the dow. that momentum has been increasing over the course of the program. the nasdaq is bouncing after u.s. equities rallied into the close after the choppy session energy. aerospace aggan gain -- gained yesterday. back to the trade around the world. asian markets overnight offered a mixed picture. nikkei 225 rallying 2.4%. hang seng is up 0.4%. one name stood out in overnight

trade. that was country garden. chinese property giant country garden missed the international debt payment. the developer was unable to pay the $60 million loan this morning. the firm does not expect to meter offshore debt obligations when they come due or within the grace periods. country garden is down 10% overnight. back to the current action. european markets remain firmly higher. very strong rally to start out the session today. largely on the back of the dovish comments from a number of fed officials yesterday and a retreat in bond yields driven by the safe haven demand with the conflict in the middle east. 1.6% higher for the dax. ftse 100 and spanish market up this morning.

back here in the uk, shadow chancellor ree reeves is pledgi growth ahead of the general election likely next year. reeves received endorsement from mark carney. he described her as a serious economist who with understands the economics of workplace and family. reeves said the party cannot tax and spend it'ss way to growth. >> it does not give us the freedom to push through the tax on the economic reality or take for granted the people we seek to represent. change will only be achieved on the basis of iron discipline. working people rightly expect nothing less because when you play fast and loose with the public finances, you put up this family finances. when the prices of food and energy and housing soar, it is working people that pay that

price. >> from marrakech to liverpool, arabile is joining us from the conference. arabile, apart from the fact that many people who were disturbed to see the former bank of governor weigh into the narrative. >> reporter: it is a bit of a difficult one to get your head around. perhaps he is wearing his bank of england hat that he formerly stood for. now it puts things into question. one thing for sure is rachel reeves put out a message of financial stability and frugality with the local economy purse strings. she was saying that the uk consumer can trust them. the labour party with the

economy with fiscal discipline. one local labour member said we will fight the next election on the economy. i guess it is the economy, stupid, as they say, as the primary cause of concern. so are the taxing with the labour party is keen on lower taxes, but cannot promise that considering the state of affairs that the uk economy sits in currently. they will look at other ways. i've gotten to speak to the shadow secretary for business who was speaking about hs2. the conservative party has done away with it and they are looking for other ways to spend that money. i asked jonathon reynolds what he would have done with the 36 billion pounds that the conservative party decided to

take away from hs2 and other infrastructure around rail. this is what he had to say regarding that. >> we know it is not 36 billion pounds. the area where i live with the project put forward which was finished in 2014. other schemes have been announced. the idea this is going to northern and midland transport projects across the uk. i'm afraid this is not the case. this is spending in future parliaments as well. this is an absolute indictment of the government. if the costs went up, they were in charge of the costs. the idea we cannot build a modern piece of infrastructure when other countries can -- we will appoint a commission to see how they got it badly wrong. we will make sure we don't make these mistakes in future. >> reporter: he managed to speak about the energy sector.

he said if labour was in government, they would abandon the diesel. speaking about the growth plan and how they move the economy forward. let's not forget the speaker in a couple of hours time here at the labour party conference in live liverpool. the last time he puts his front foot forward suggesting he should be the leader of the labour party, but of the uk and weigh in on international factors. we will watch out for that. julianna. >> arabile, thank you so much for keeping us up to speed. i loved your coverage from the conference last week and now the labour party conference this week. let's get back to markets. anticipation as treasury markets reopen after the columbus day holiday yesterday. it feels the rally in bond

markets is driving the gains we're seeing in equity markets. you see the treasury curve moving lower across the board. the ten-year note down 13 basis points on the day. 4.64% is the current level. the 30-year is moving at 4.8% after dovish comments from the fed yesterday driving expectations of rates lower. investors dialing back what they expect from the fed. big driver of market action. that is what is expected today. that is it for "street signs." thank you for joining me in studio and julianna in mar marrakech. we will head back to marrakech for a series of interviews shortly.

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it is 5:00 a.m. here at cnbc global headquarters. here is your "five@5." we begin with wall street continuing to price in the new war risk premium as the fighting in israel and gaza heads into the fourth day. and glrowing conflict with saudi arabia and china and what it means for the market. and flight for safety under way as investors around the world push into u.s. treasuries sending yields to the lowest levels in weeks. we will speak with a major israeli employer about what they are tellin