♪ good monday morning from london. this is "street signs." i'm dan murphy. let's get to the headlines. first, signs of stabilization as u.s. stocks claw back losses. futures point to further gains ahead of the critical inflation

data. hannover jumps profits adding to positive reports this insurance season. and vice president kamala harris takes the lead in three key swing states according to a new poll as the battle against trump intensifies. harris telling supporters the work is just beginning. >> this will be a tight race until the very end. so let's not pay too much attention to the polls because we have some hard work ahead of us. but we like hard work. and ukrainian president volodymyr zelenskyy goes from defense to offense as ukrainian soldiers ignite into kursk with the biggest offensive since the war began.

good morning. welcome to the program. g get to have your company. we begin with the live look at the euro stoxx 600. more signs of stableation and relief coming through for the markets with the stoxx 600 currently up .41%. you can see now climbing back up above the key 500 level as well. we are seeing more positivity come through here. of course, this follows that strong session in the united states on friday as well with markets attempting to recoup some of the heavy losses last week and, of course, a positive session in asia as well. here is a look at the markets right here and right now. gains led by the ftse mib up by .8%. a decent performance. the ftse 100 in the uk .63% stronger and brouad positivity.

is this a sign we have seen sentiment and market direction fully recover from the volatility and the concerns of last week? we have to see how all of this shapes up through the course of the trading day. so far, the signs are all pointing in the right direction. here is a look at the sectors are moving right now and what is driving the market right here is the insurance space better than 1% at the moment. healthcare is lagging down .4%. i mentioned some of the gains we have seen in the united states as well. let's give you another look at how the u.s. closed the session. the dow up 1.3. the s&p up 1%. the nasdaq advancing 1% as well. we saw tech coming back to live after the week of heavy volatility. major averaging stopping short of the full recovery. in terms of the week ahead, a number of things to look out

for, including u.s. cpi due out on wednesday. the fed needs more ithings to look out for. also a busy week for earnings which is continuing to be a key fundamental driver. we get results from walmart and home depot. let me give you a check on the u.s. equity futures as well as when it comes to the resumption of trade stateside, markets are higher. the nasdaq up 64 points as it stands. that momentum expected to continue. of course, we continue to track reaction to the sell down and the market sentiment and positioning moving forward. the crossbridge capital ceo telling cnbc he doesn't see a problem. >> i see that there is earnings coming through.

you saw the u.s. gdp number at 2%. i think the fed is wrong to keep the rates high. if they move from 5.2% to 5% or 4.75%, the rates will still be high. federal funds rate over. i think the fed knows that rates are high and i think they are going to ease. i will be in the camp they will ease in the september meeting. >> bank of america ceo brian moynihan reiterated his bank 's view that the u.s. will avoid recession this year with the rate cuts in september and december. markets are currently going further pricing 75 basis points of easing and split on whether the fed will cut 50 in

september. michelle bowman has welcome progress on the rate of inflation. softening her hawkish tone. speaking at the kansas bankers association, bowman said if inflation continues the path down to 2%, it would be restrictive to monetary policy. we have our guest with us around the desk here in london. richard, thanks so much for being here. >> my pleasure. >> how is this recent market volatility impacted investor sentiment overall? >> i think there were nerves over the weekend. when you look at where we settled, it say is a reset. you see an easier ability for the market to price the fundamentals. i think it's gotten closer to pricing that on the fed and we have two weeks of the fundamental data coming through. august is a scary period.

so far, it has cleaned things out a little. >> where do we go from here and do you think markets have seen the high fs for the year? >> i think risk sentiment is difficult because there is a g g goldilocks pattern. the fed is able to start easing. that means you can get credit tightening and equities rallying and the rates with the mild ral rally. if the data were to deteriorate, you are in a situation where the fed is behind the curve and that is where risks get stretched. it comes down to what happens with the scare off payroll and the ism manufacturing. those are set up to rebound when we get to the data next month, buf but the markets are jittery. >> we are in line with the federal reserve saying it is looking at the upcoming numbers

as well. with regards to the market last week, one of the things you and your team have been looking at is the fact we saw rates and fx involved being subdued. can you help me understand? >> when you win into it, it was a one-sided trade. almost no volatility. you didn't have anything shaking it. you had the stresses on the fed and if they were behind the curve or ahead of the curve. i think a lot of that helps to lead the market balanced on the rate side that we weren't on fx. it meant pulling back the tech stocks and high yielding as assets. that naturally fed into that. if we saw the move into the equity volatility, you will have rates cam oftch up. between the two, it is fx that is still priced too low. that is the carry trade as

dollar strength comes in, it is still too low. >> i look add the boa research note and the carry trade is basically complete. do you think there is a further unwind to come? >> i push back on the narrative. you don't have any real data to pressure carry trade. a lot of the markets are saying the carry trade is out. it is the returns that the investors have. it doesn't tell you the assets have been taken out of the market and the positions aren't there. it means the returns you had had been washed out. you will continue to see that move forward. i would be hesitant to say the carry trade is over. i think there is still a lot to unwind as you look at how under valued yen is. that will change valuations for the next one to two years to come. >> what do you say if that carry is not complete? >> if you look at our models,

similar to the sentiment in the market, they are telling you should be buy back into the carry trade and higher yielding assets. start shorting the funder currencies. the boj will still need to tighten. the yen is under valued. the fed is starting to ease which changes the interest rate differentials in the wrong direction. i would be looking to go long yen and still long dollar environment. i think that's the right trade, but it's structural rather than n near-term high frequency data. >> interesting. one of the things we flagged into the show is the cpi print to give us more clues of how the fed is thinking and how the market is going to react, too. are we in for a surprise on the upcoming cpi? >> if we are in for a surprise, it will be to the down side. both cpi and retail says there

is a rebound in gasoline sales and auto sales. it is telling you down side risk is accelerating. that is the side of the risk which is the gatekeeper to fed easing. this cpi print lets the fed breathe a sigh of relief. we focus on the activity data. >> was payrolls as weak as they looked? >> i don't think so. i think there was distortion as the bls pushed back on that. when you look at the numbers, it argues for a rebound next month. it was a significant overreaction in terms of how weak that was. i think the big bit when you look into the jobs numbers as a trend in recent months, you've been seeing less hiring and you have been seeing rising participation which is a good sign. what you haven't seen are layoffs. until then, it is hard to be bearish on the labor market. >> i appreciate you staying with us. we will come back to richard in

a moment. i want to update you on news. disney's unprecedented era of growth announcing the theme parks and cruise ships. the plan includes a new avatar and monsters s inc. attraction d how they will double the experiences over the next decade. it comes after the shares hit a nine-month low as theme park atte attendance spooked investors. cisco is set to cut jobs in a second round of layoffs this year. the cuts to affect 4,000 plus employees, similar to the layoffs announced in february. this comes as the tech giant is shifting focus toward cybersecurity and a.i. confirmation of the cuts could be announced as soon as wednesday. coming up on the show, all

eyes on u.s. cpi as we mentioned and as we gear up for a week ahead in the markets. we take a oklo at what to expect on the other side. stay with us. more live analysis in two minutes.

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welcome back to the program. okay, an interesting new report out showing the ceos of ftse 100 companies received median pay with salaries rising 2.2%. nine firms offered ceos packages worth 900 pounds. the pay coming in at 120 times higher than that of a full-time uk worker. moving on. india bharti is looking for a stake in the share from altice. and hannover re looking for

a income uncincrease for the fi half of the year. s&p 500 companies reported second quarter earnings that are 4.6% above expectations so far this earnings season according to data with eight in ten companies beating estimates. 59% of the companies in the index beat forecast. we're gearing up for another busy market week. tomorrow is fresh unemployment data and producer prices and the check on the u.s. consumer with the home depot numbers. wednesday delivers the biggest data point of the week with the u.s. cpi and inflation data in the uk and france and key earnings from ubs and kacarlsbe. data from the uk wraps up the week on friday. we're back now with richard kelly, head of global strategy

at td. when it comes to trading in the markets, what are you telling investors? we spoke about whether or not you felt we can rally through the volatility off the lows. where to from here? >> i think overall rates will be lower by the year end. u.s. treasuries sitting at 4% now. that's probably closer to 3.40% by the year end. i don't think you are necessarily buying in this second. are y you are looking for the opportunities. the curve is the steepening trade. are you are in the re ggime where t fed will ease. the risk in the u.s. is you go to the election and it is two paths diverging in the woods. i think there really is a trade

between now and november and january and the trade past that. you just have a real black box past january until you know who wins the election. that is the difficulty in trading. >> fascinating. what are the scenarios your team is working with rewith regard wh the trading with the market outlook presented by both candidates is very different. what is the scenario you are working with? >> you take a democratic victory as fairly status quo, fairly priced in. when you look at a republican platform, it is more strict on the immigration into the country. that potentially gives you a shock into the labor market that is inflationary in the near term and reduces the growth into 2026. there is a risk there of what that goes through. the side that gets overplayed is the debt. there is a sense that is

regardless who wins, the u.s. continues to increase deficits faster than it should. there isn't much push back from either parties. that is the real risk. it is a very marginal difference on issuance. regardless of that, the markets are taking the republicans and steepen the curve. i think that is the wrong trade. i don't know you can push back against sentiment. >> that's really interesting as well. okay, we have the election risk and weaker global growth from china and geopolitical uncertainty continuing to impact the overall sentiment with investors particularly with what is happening in the middle east. what is the biggest risk to the outlook in your view? >> it really is a lot of risk. this is the problem. on a very near term basis, we are waiting to see if there is retaliation in the middle east. so far, the markets haven't been

willing to price that into risk premium and oil. what is happens with the news reel doesn't impact supply. it has less impact and spillover. as things escalate, things change. on the near-term basis, you have that. i think it is more september when you get to the data. that is where we get the confirmation of how weak the u.s. is and what i would trade between now and january. that sets that up. if i had to pick the risk that i think markets are least pricing correctly, it would be the china slowdown. i think china is slowing down. we will have more data at end of the week with the production data and retail sales. so far, it looks china has injected less stimulus thanthey normally would. that tends to give us a four-to-six month lead to equity markets and global manufacturing

chains. i don't think the markets have priced in. they are pricing in the loftiness. the weary i have here is china is slowing down and that's going to drag the global manufacturing chain with it. >> absolutely fascinating. of course, what happens in china could impact the direction of travel for the world. watch that space. just before we let you go, your thoughts on the data points you will be watching in the months ahead? we mentioned cpi in the week. that's not the only game in town. what's most critical from your perspective right now? >> i think there is a fair bit of down side. u.s. data and uk data and retail sales. this is the reference week for u.s. payrolls. we will see the jobs numbers in the u.s. and how the rebound is shaping up. it is getting into the ism in the first week of september to look at what is going on in the

manufacturing rebound. i think that's the near term. next week is all show. you have jackson hole and the democratic convention. data for a week will disappear for us. >> the news flow doesn't slow down. >> nope. >> i really appreciate the conversation. richard, i appreciate it. richard kelly, the global head of strategy at td securities. paris has drawn the curtain on the summer games with a star-studded show and a golden fireworks display. as part of the handover saceremy to the next host city, los angeles, tom cruise assailed before carrying the olympic flag. the show included live performances from l.a.'s venice beach from billie eilish and red

hot chili peppers and snoop dogg. the france economy is expected to grow at 0.35% on the quarter on the back of the summer games. it says the boost in activity for hotels and restaurants and other businesses over the two weeks will add at least another quarter percentage in growth. nbc's keir simmons sat down with president emmanuel macron for an interview to mark the end of the games. >> reporter: at the close of the ceremony here at the stade de paris, i sat down with president macron and asked him for the reflections on these games. >> obviously, the opening ceremony was a great moment because we worked so hard and prepared it over years. i have to say the french team

won against fiji. because it had a lot of pressure and it was just present at the right moment for the team and the individual competition. it was a lot of emotion and a lot of -- yes, leon marchand. it was one of the, i think, the young talent emerging during the olympic games. >> reporter: i asked him, too, the advice for those organizing the 2028 olympics in los angeles. >> be yourself. deliver your own games. i think paris could be a reference, but los angeles is los angeles. you -- paris is already taken i would say.

deliver your games, but audacity is key. >> reporter: i asked him about november's elections in the u.s. how important are those elections to the rest of the world? >> when you vote in the u.s., obviously, you vote for your own leader, but you will frame a lot of very important things for the rest of the world in the month and the years to come. i don't want to increase your burden, but clearly have a special responsibility and i think that the message by the u.s. during the games is great. congratulations in terms of medals. it's great in terms of values as well. provided by your feats in terms of your curiosity with the rest of the world and generosity. i think everybody in this world is -- is always reassured.

>> reporter: his message that he hopes the people focus on fraternity and brotherhood? well, that is a message he very much hopes france has displayed through the olympics. dan. coming up on the show, the new polling shows improving trust in how kamala harris would handle the economy versus her rival. we look at the latest on the other side. stay with us.

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you are live on cnbc. dan murphy with you. let's get to the top stories. first up, stabilization. european equities moving higher to start the week as u.s. losses claw back. u.s. futures point to further gains ahead of the open ahead of the critical inflation data. plus, hannover re tops the dax as profits jump 20% as positive reports from the insurance sector. and vice president kamala

harris takes the lead in three key swing states according to a new poll as the battle against trump intensifies. harris telling supporters the hard work is just beginning. >> this will be a tight race until the very end. as lets not pay too much attention to the polls because we have some hard work ahead of us, but we like hard work. and ukrainian president volodymyr zelenskyy goes from defense to offense as ukrainian soldiers advance into kursk, the largest incursion into russian territory since the war began. ♪ things are looking much better across europe this hour and you can see for the major regional equity benchmarks, we are seeing green on screen. kicking off a fresh trading week with more positive momentum.

this comes after the decent lead from asia. japan closed for a holiday, perhaps that helped. the close of trade in the united states was positive on friday, too. we have seen two catalysts helping to support equity momentum across the continent. the ftse mib up 6.5% and we see london's ftse up .50%. following on from the gains we have seen from the course of the last few hours as well. positivity on the boards right now. let's get you a look at how forex is shaping up. when it comes to the currency trade, dollar-yen at 14147.42. wrapping up our con versation with our guest saying perhaps the genyen carry trade is over.

we have seeing movement in the currency space. here is how treasuries are shaping up. of course, this is going to be key to watch in the week ahead as we countdown to the u.s. cpi print and also a decent week on the data front as well. at the short end of the curve, let's give you a look at the yield. tracking at 4.06. the ten-year yield at 3.95. will we see movement across the curve if that data disappoints in the united states? that is going to be key to watch. my favorite oil surprices. brent is .62%. more positivity coming back into the market as we continue to track the geopolitical headlines in the middle east with israel also bracing for a possible iranian plus proxy retaliation. at the same time, the oil is seeing its fifth positive

session here. supply side issues helping to move this market heiigher. wti is stronger right now at $77.52 a barrel. nickel prices have fallen sharply as concerns grow with ev demand and potential oversupply. the ceo of canada nickel is here with more on what to expect in the critical mineral space. mark, welcome to the conversation. i have been looking forward to speaking with you because of who you are and what we have been seeing unfolding in your space the last couple of years. the fact that demand for clean and green nickel is growing. help me understand how you are scaling up production and what you are doing in the space in order to cater for the anticipated demand. good morning to you, sir. >> good morning. canada nickel is advancing the projects in timmons where we will be the world's largest

nickel sulfide region. the great thing about our nickel deposits as opposed to the blood nickel in indonesia, we will produce 50,000 tons of nickel and at the same time be able to store 1.5 million tons of co2 a year taking advantage of the natural rock ability to absorb c02. >> how do you see nickel rock advancing in the next few years? what do you csay is the key driver of demand? >> if you saw the headlines earlier this year, the death of evs and nickel is exaggerated. we have seen nickel demand growth over the last three years of over 10% per year. that is double or triple what you see in the other major base metals. on the ev front, despite the disappointing headlines, the

reality is ev demand growth has grown by more than 22% this year. yes, there is more of a shift to hybrids. those are up 44%. underlining electric vehicles and nickel demand support 17%. as you look forward, we need 3 million more tons of nickel by the end of the decade as which double where we are today. >> the regulatory risk is real here as we see this global competition with the u.s. and china continue to unfold. the u.s., of course, has been hiking tariffs to try to isolate china in the ev supply chain. what do you think that means for the critical mineral space and a company like yours? >> i think this is really a once in a generation opportunity for investors. you are seeing governments around the world in two ways.

we saw another round of tariff hikes from the biden administration. trump's complaint is they didn't put the tariffs up high enough. through the u.s. inflation reduction act and the canadian subsidies with a huge amount of potential government money come into the sector. from the investment case, if you look at oil back in the early 1970s, indonesia is now at the point where it controls two thirds of global supply which is more than opec at its peak. you want the government to basically get china and indonesia out of the supply chain. with those incentives that are in place, we only need to provide a small fraction of the capital required to build the projects, effectively getting free leverage from governments around the world and the price

protection from the tariffs walls going in one direction. we are in a great position being inside the wall in canada to take advantage of it. >> right. right now nickel supply is led by indonesia and philippines and chinese, is that correct? there is a lot of concern of the dependence on china. how do you fill that gap? >> what we're doing is basically lucky to find some very, very large nickel as yosulfide resou. 50 years ago, the world needed large scaleable resource. we are that. if you look at the back of the permian in the 22000s, what we have in nickel sulfide is scale. talking to the u.s. governments and canadian governments who are keen to see our company advance.

picking those companies in position to take advantage of the subsidies. we will get almost 600 million u.s. from the canadian government which is 60% of the equity we need to build the project. this will generate over $500 million a year for 25 years. >> before i let you go, i want to get you an update on a couple of things. the crawford prongject in termsf financing. secondly, mark, what we have seen is the company doing a deal with anglo back in february. as i understand, you are a non-cash flow company right now. what are your thoughts on the potential for acquisition here? is that in the strategic mandate right now? is it in the back of your mind or are you all systems go with the commercializing and operating your source? >> we are rapidly advancing the project. we have great cornerstone

shareholders in addition to anglo american. samsung sdi, the largest battery producer. the fact you have asia battery producers investing in the project should make it clear they want to have clean and green sources of nickel available. in terms of advancing the project, we have a great team of advisers with deutsche bank helping put the financing package together next summer. we expect the permits to come next year and begin construction. >> fascinating. mark, we have to leave it there. thank you so much for the update on the company. that's mark selby of canada nickel. moving on to politics now. the trump campaign blames iran for the internal messages. iranian officials denied any

connection to the attack. meanwhile, vice president kamala harris is leading in three key swing states of wisconsin, pennsylvania and michigan according to the sienna college poll. those leads are within the margin of error for the poll, but it is shifting voter intention since biden's decision to drop out of the race. the polls quote dramatic i under stated his support. this comes as an the polling for the financial times more americans trust harris on the economy over trump. this is a seven percentage point improvement from the level recorded for president biden in july. her lead remained within the margin of error. chris pollone is joining us with more. chris, what can you tell us? >> reporter: dan, good morning to you.

the vice president is back in washington this morning after a whirlwind week that saw her rollout her campaign formally and also introduce her running mate tim walz, the governor of minnesota, of course. they hit several key battleground states including pennsylvania, wisconsin, michigan, arizona and nevada. over the weekend, the vice president appeared to endorse a policy proposal where she said she would like to see the minimum wage raised here in the united states and to eliminate taxes on tips for workers who do servers and things of that nature. domestic work. if that sounds familiar, it's because that was also proposed by former president president trump a month ago. if there is any agreement between the two campaigns, that might be it. getting rid of taxes on tips.

it sets up a very big week for the vice president. she'll be back in washington later this week and the democratic national convention begins next monday, a week from today in chicago. the vice president's campaign says that she raised $12 million as she capped off the week with a fund-raiser in her hometown of san francisco yesterday, dan. >> i really appreciate you joining us. chris pollone reporting live from washington, d.c. up next on the show, ukrainian troops continue their largest incursion into russian territory since the full-scale 'lha tgan. wel vehe latest on what it means up next. s the fuel you need to take flight. cirkul is your frosted treat with a sweet kick of confidence. cirkul is the energy that gets you to the next level. cirkul is what you hope for when life tosses lemons your way. cirkul is

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duckduckgo comes with a built-n engine, like google, but it's r and doesn't spy on your searchs and duckduckgo lets you browsel but it blocks cookies and creepy ads that follow youa and other companies. and there's no catch. it's fre. we make money from ads, but they don't follow you aroud join the millions of people taking back their privacy by downloading duckduckgo on all your devices today. ryan t. writes, "moving is stressful. jocan you help me take onee thing off of my to do list?” ugh, moving's the worst. with xfinity, you can transfer your internet in just a few taps. just a few easy moves. did somebody say “easy moves”? ♪ ♪ oh no. no, i was talking about moving your internet. this will move the internet. ♪ ♪ ooh, ooh. -let's keep it professional. professional dancers! -ok!

stay connected during your move with the best in home wifi. easily transfer your services in the xfinity app. bring on the good stuff. welcome back. uk government has been working with all parties to prevent escalation in the middle east calling on iran and its allies. along with the leaders of france and germany, the uk welcomed tireless work of negotiators of

a cease-fire saying the fighting must end and all remaining hostages must be released. meanwhile, israel ordered more evacuations in southern gaza following the deadly strike on the school turned shelter that killed 90 people. this is one of the largest sunsince the start of the war causing more ypalestinians to flee in darkness. the uk called for speeding up the "uss abraham lincoln" to the area. this comes after iran's revolutionary guard held drills near the border. and ukrainian president volodymyr zelenskyy announced the incursion into the russian

territory. ukrainian troops are up to 30 kilometers into russia. zelenskyy said every strike by russia deserves a fair response. >> translator: we document all locations from which the russian army launches strikes, including the kursk region and elsewhere. since the beginning of summer alone, almost 2,000 strikes have been made from the kursk region. we also document every missile trying and every one of the strikes deserves a fair response. >> for reaction and analysis, we turn to timothy. great to you have. just how significant is the ukrainian strike in kursk and what does it mean for the future of putin's war? >> it is a bold move by the

ukrainians. it has put putin off his step. huge embarrassment. today is the 20th anniversary of the loss of the kursk submarine. if you know last week, putin appeared with the military advisers, et cetera. he looked really spooked. he looked really downbeat for the ukrainians move. they were on the offensive and it makes a very long russian board vulnerable to the ukrainians. if they manage to keep the territory, it gives them a negotiating chip for peace talks. russia is at risk as the war continues. >> really fascinating here. you say this creates an opportunity to build leverage for the ukrainians. at the same time, what is interesting to me is the west has ultimately ticked off on

allows ukraine to use its weapons inside russia. how significant is that? >> well, you are right. last week, we saw the attack on the air base south of moscow. likely with long-range missiles. there was debate of western long-range equipment to the ukrainians and the ability to use those. clearly, the west is okay with it. they are okay with the war moving to russia because it is helping bring resolution more quickly. ukraine, actually now, the general support package approved by the u.s. congress, i think those munitions are arriving in the battlefield. the question is what does russia do now? what does putin do in response to this? >> indeed. what are the scenarios are you

working with, timothy? what is the ukrainian strategy? they're in russia now. what next? >> well, i don't think the ukrainians are going to drive to moscow. it's a long way. i think they're quite happy to take the bits of territory for leverage and negotiations and force russia to think about defending its long border with ukraine and forces redeployment in ukraine. putin, in the short-term, i think will be focused on trying to counter this counteroffensive and shore up those defenses in russia itself. he has limited options. i guess we may see more missile strikes, drone strikes in russia from ukraine proper. notable, we saw a fire at the nuclear power station. the west needs to be careful in

how it approaches support in ukraine and all this. earlier last year, there was a concern of russia using ba battlefield tactical nuclear weapons. that would annoy the chinese greatly. nato made it clear that russia would be vulnerable for attacks on the sites that actually launched those weapons. it would be a massive collection and it is a likely shot and putin would step up defenses in russia itself. ultimately, this likely pushes both sides to think about some peace process later this year. >> okay. if that peace process is the intended effect here, then how is it going to ultimately shape up as we come into the u.s. election in november? there is a real fear in kyiv that if trump returned to the

white house, support for the war would be pushed to one side. is that the view you share? >> trump, himself, was not a supporter of ukraine much with the missiles given under that presidency. i don't think it was trump hum s himself, but the people around him. trump was put in a position where he had to do that. the ukrainians, i think, recognize the dangerousness of the trump presidency. it is pushing the offensive because they think they will have to sit down in negotiations later in the year. i think the minimum ukrainians would demand was russia withdraws to its position in february before the invasion. out of the division and talks

about what happens in the long term. the ukraine security guarantee is important. nato membership is an issue. maybe that is too far for nato allies, but ukraine needs to ensure it can defend itself. whatever western support israel gets, ukraine wants similar. that has to be the basis of any peace deal from ukraine. >> watch that space. timothy, before i let you go as well, with the war between israel and hamas, we are looking at retaliation after the killing last week. what is your feeling about the cease-fire talks on thursday?

should we see any breakthrough given what we hear from israeli and hamas? >> i think israel's chief negotiator is suggests that netanyahu doesn't particularly want to agree to a cease-fire deal at this time. many countries around the region, the gulf states, the u.s., iran, itself, doesn't want escalation. israel or iran to drag into the u.s. the problem is the other player that escalation suits is netanyahu himself. his opinion polls have gone up. support has risen through the extent of the continuation of the war. he obviously has political problems at home. the problem for the u.s. is getting ahead of the table and getting him to agree to the cease-fire deals. the turks and gulf states have

pushed hamas into a position. although, hanyei's death makes it difficult. >> timothy, thank you so much. sovereign strategist at blubay asset management. the iran news agency reporting the prompt response against israel to ensure regional stability. no let up on the threat. we will give you a look at the equities. markets are higher. the dow down 20 points. stay with us. you are live on cnbc. "worldwide exchange" is up next.

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it is 5:00 a.m. here at cnbc global headquarters. i'm dominic chu in for frank holland and here's your "five@5." waiting on inflation. the key indicators for the month as the fed rate debate edges on. stocks coming off the longest losing streak as volatility