actually the. >> top. >> performing. >> or roughly on par. with the best american models. you can see the. deep sea. >> new model. >> it's super impressive. >> and it's super. >> compute efficient. >> we're not just. >> about managing information. >> we're about supplying digital workers. now we're making this transformation of digital labor. >> tragedy in. >> washington, dc. >> as an american airlines jet carrying. >> 64 people. collides with a black. >> hawk military military. >> helicopter just. >> outside ronald reagan national airport. around 301st responders on the ground searching through the. >> wreckage as the search. >> for survivors. >> it continues. >> good morning, i'm. >> frank holland. welcome to. >> worldwide exchange. >> thank you for being here with us. >> we are going to. >> get. >> to the markets. >> in just. >> a few moments. >> but first. >> we. >> begin with that breaking news, the latest on that mid-air collision between an american airlines regional jet and a u.s. army black hawk helicopter just outside reagan national airport in dc. our eamon javers is on

the scene just. off the coast. >> of. >> where that jet went down. our phil lebeau is in chicago. phil good morning. let's begin with you. yeah. frank, you set up the situation. well there in terms of what happened. >> and now the. >> question is what exactly happened? what caused this mid-air collision? we don't have very many answers. we have really more questions than answers at this point. it was a u.s. army black hawk helicopter. it was on a training flight. it collided with a commercial regional jet operated by the american airlines subsidiary, psa airlines, under the american eagle brand. that flight was on final approach to reagan national airport. the planes. >> i should. >> say, the plane and the helicopter both crashed into the potomac river. that american eagle flight. and this is security cam footage looking out towards the approach from across the airport late last night. and it's really hard to tell, but you will see a flash here. that

appears to be when the collision took place. unclear at this point exactly what caused the two to. >> come into the. >> same space and to collide mid-air, maybe only a few hundred feet above the surface. but that is what investigators are trying to figure out right now. 64 people were on board the american eagle flight. three u.s. army soldiers were on the helicopter. here is the american ceo, robert isom, talking about the incident late last night before flying into dc. >> we understand and appreciate the people are eager for information. please know that we'll continue to share accurate and timely information as soon as we can, but anything we must report must be accurate. >> and again, to cover exactly what we're looking at here. this was a regional airline flight operated by psa airlines and a subsidiary of american airlines. 60 passengers, four crew members on that plane. it was on

approach on a flight from wichita, kansas. again on final approach to reagan national. if you take a look at shares of american airlines, don't be surprised if you see a little bit of pressure on shares of american. but much like the colgan crash back in 2009 and the impact on united airlines, it's hard to know if there's going to be any long term impact here in terms of the stock and the shares. and again, as we go to eamon javers frank, what we're going to find out here is hopefully some answers fairly quickly, at least a basic understanding of what may have caused this midair collision. >> well, phil, please stay with us. >> certainly a developing story and. >> does the basic details right now. >> we do want to get to eamon javers on the scene for more on this story. eamon, you're there on the scene. what are you seeing? we were just showing some pictures. looks like flashing lights a search operation underway right now. >> that's right frank. the first emergency. >> alert. >> went out at 8:48. >> p.m. last night. >> crews arrived on site. >> by 8:58.

>> p.m. >> and they have been. >> here ever. since then. all through this long, dark, cold. >> night. >> working on rescue and recovery efforts. >> and you can. >> see just over my shoulder here, this is the potomac river, and you can see a locus of activity, search and rescue. >> going on. >> on the far side of the potomac. >> we're standing. >> in alexandria, virginia. >> right now. >> so the focus of the rescue effort right now is on the d.c. side of the potomac river. we can also see. >> a. >> second locus of activity just down the river, maybe a couple hundred yards or more. that may be a second locus of search and recovery efforts, but we're going to have to wait until we get daylight here to see exactly what we're looking at across the river. but i can tell you, frank, that the ronald reagan national airport is right on this side to my right, your left. and this approach over the potomac river, right through here is a very, very busy traffic corridor. and as somebody who flies out of this airport just about every week, it feels like sometimes you do see army blackhawk helicopters

every day here. this is a very common occurrence for these commuter jets, regional jets and blackhawk helicopters to be sharing this same airspace over the potomac river, coming in from the south and from the north along the river. all of this very close to the monumental core of washington, dc. you can see the monuments behind me as well. the pentagon just over here to my right as well. so a very heavily trafficked area, no indication yet of what exactly we're going to see here in the morning. but we do have reports that 12 bodies have been recovered, at least at this stage, frank, and no indication so far of any survivors. that's the tragedy of what we're looking at. early this morning, the secretary of transportation, sean duffy, was just sworn in yesterday. he talked to reporters last night. here's what he said. >> tonight. i spoke with president trump and his team in. >> the. >> situation room.

>> we are going to offer. >> full support. >> to those on the ground. >> to the mayor. >> but also to. the ntsb, who. >> is going to be conducting the investigation in. >> this matter. >> frank, the next briefing we're expecting from officials here on the ground is at 7:30 a.m, so we may get a little bit more effort, whether they've been able to recover any body from that wreckage and exactly what they know about what caused this awful tragedy today. >> frank. >> yeah. >> certainly a tragedy. >> eamon. first and foremost, our thoughts and prayers. >> go to. >> the people. impacted and. >> their families. >> phil, i want to come over to you. we just heard from the secretary of transportation. he mentioned the ntsb being involved. >> in this investigation. >> i want to talk to you. this is a commercial flight involved with a military flight in this collision. how does this process work when we're talking about this. >> investigation, does. >> the ntsb take the lead? does the military take the lead? have you ever seen any other. situations similar to this? i've not seen other situations where you've had a military aircraft

and a commercial aircraft here in the united states. the ntsb will take the lead in the investigation, but no doubt we'll be working with the us army in terms of probing exactly what happened during this training flight. is this a case where perhaps the route, you know, they expected it to be clear at that time, nobody knows for sure and nobody knows what ultimately will be designated as the root cause of this collision mid-air. but the ntsb will take the lead. the black box, the cockpit voice recorders for both aircraft. they're going to play a crucial role in figuring out the sequence of events that right before nine. 9 p.m. last night. i want to come back to you. you live there in d.c, and obviously you report there in d.c. you mentioned you've been to that airport many times. i'm sure you've been on a number of those regional jets as well, whether coming up to new york or going to other places. and you said you often see helicopters there in the area. and your experience, whether it's on the ground or in a plane, have you ever seen a helicopter so

directly within the airspace? again, we're seeing this from. >> a distance away on. >> a lot of. >> these. >> cameras. so we don't have a sense of the 3d relationship between these two objects. but have you have you ever seen a helicopter and a plane get that close? >> yeah. you do see it, frank. i mean, the airport is right here. so you've got planes on approach, planes on departure all the time. and this corridor of the potomac river here is heavily trafficked with black hawk helicopters. i see them every single day on my commute. if you're going down the george washington parkway, which runs adjacent to the river and right next to the airport, here you'll see blackhawk helicopters, you know, two 300 yards above you over the river going north and south. it's a very routine thing all day long, every day. as part of the military's activity throughout the region here. so that's not uncommon. what we have to figure out here is what went wrong to cause these two aircraft to crash and what they're doing now in terms of the recovery effort, frank, i can tell you that we've had a

very cold snap here in washington, d.c. the potomac river has been iced over to the point where you could almost walk across it. this is a very cold, icy, dark river tonight. and you know that those crews out there behind me have been doing their best for hours and hours. but as the hours go on, you know, it's hoping against hope here now that you might find some survivors. >> so i want to come back to you. you just referenced a short time ago, 2009 2009 is the last time we had a commercial plane crash here in the u.s. it happened in buffalo. that plane was also a u.s. airline, a us airline crash? >> yes. >> excuse me, a us airline plan. domestic crash that was also landing. it was going into buffalo. the fact that this plane was landing. does that play a factor is that often when we see crashes or these kind of these near misses and other things happen, is it generally on the approach into an airport? is that something that we see just generally just more potential for something like this to happen? well, your near

misses at airports generally are going to happen either taxiing or on takeoff and landing. those are the three areas where you see the most interaction of aircraft. now does that mean that it's more likely on a landing than on a takeoff there? i there's no way of knowing, frank, but we can tell you this what eamonn's talking about, how busy reagan national is and that airspace is there. there has been a tug of war, especially over the last 10 to 15 years between the airlines and the city of washington, d.c, and residents in that area, because there's so much demand to fly right in close to downtown d.c. that the airlines have been requesting. let's add more flights, let's add more flights. and i've been on a number of these flights. eamon flies out of there all the time. and you can bet that somewhere down the line, not today, not tomorrow. the focus today and tomorrow is on the incident and what happened here. but down the road there will be questions about

how much air traffic can go into or should go into and out of reagan national, because the airlines see the demand there. there are plenty of people. in this case, it was a flight from wichita, a direct flight, plenty of people who want to fly as close as possible to downtown dc. and that's why the airlines have been increasing flights. all right. our own eamon javers, thank you for your reporting. >> we really appreciate it. we'll see you. >> just a bit later on the show here on worldwide exchange. we'll continue to follow the. very latest developments. and coming up, we're going to speak with a former faa administrator about this crash. much more worldwide exchange coming up worldwide exchange coming up right after this break. ♪ empower ♪ hey, i got her a little something. a little something, dad? oh, umm. hi. walt rolled his 401k accounts into an empower ira and it's grown nicely. so i say, let a gramps be a gramps. okay, just promise me it doesn't make a lot of noise. (engine roars) (♪♪) go, baby! go! (♪♪)

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ask how to get up to one thousand dollars off the new samsung galaxy s25 ultra with xfinity mobile. >> early. >> with no fees. >> now i can. >> make. every weekend gig. >> join me at charm comm. >> change. >> quick check on the markets after the major indices. they closed lower yesterday following the fed deciding to keep rates unchanged. jay powell also addressing the president's demands to cut rates. >> and those. >> questions about fed independence. >> the public should. >> be confident that we will continue to do our work, as. >> we. >> always have. >> focusing on using our tools to achieve. >> our goals. and really. >> keeping our heads down and doing our work. and that's how we best. serve the public. >> can you just comment on whether. he's physically. >> communicated his demand to you? >> i've had no contact. and right now taking a look at futures higher across the board. right now, the dow up about a third of a percent, about 192 points. the s&p up just under a half a percent 22 points or so. the nasdaq the best performer up over 100 points, up over a half

a percent. i want to take a look at the treasury market yields relatively unchanged. just kind of a slight move in the two year and a slight move in the ten year following the fed pausing. right now we're seeing the benchmark at 4.5%, the two year at 4.2. and we want to look at the energy markets as well. taking a look at oil and natural gas. actually just oil right now. oil pulling back right now wti trading at about 72 bucks and a few a few pennies above down about three quarters of 1%. brant crude trading a similar situation 76 and a few pennies above down about a half a percent as well. we also want to take a quick check on bitcoin still holding above the $100,000 a coin mark right now at 105 222, up just about 1% right now. all right. that is your set up. now we want to turn to tech. and a very busy morning that is shaping up. we want to start off with microsoft. take a look at shares. they're under some pressure down about 4% after issuing a weaker than expected forecast for its cloud business. the company saying it will be flat year over year. azure numbers for its most recent quarter, also coming in just a bit short of estimates. again, microsoft down just about 4%. on

the other side, shares of meta, they're moving higher on a top and bottom line q4 beat. but the current quarter sales outlook, it fell just a bit short. those shares up just about 2.5%. ceo mark zuckerberg on the call with analysts focused solely on artificial intelligence plans, saying this year, meta expects its ai assistant to top 1 billion users. he also defended the company's plan $65 billion in capex spending. continue to think that investing very heavily in capex and infra is going to be a strategic advantage over time. it's possible that we'll learn otherwise at some point. but but i just think it's way too early to call that. and at this point, i would bet that the ability to build out that kind of infrastructure is going to be a major advantage for both the quality of the service and being able to serve. the scale that we want to. >> and then there's tesla and what's been a volatile few hours of trading. right now. you can see shares are up just about 2%. this follows a q4 top and bottom

line miss reporting an 8% drop in automotive revenues. the company says despite a bit of a challenging 2024, it plans a, quote, return to growth this year. >> 2025 really is a pivotal. >> year. >> for tesla. >> and when. >> people. >> look back on 2025 and the launch of unsupervised full. >> self-driving. >> true real world ai. >> that. >> that actually works. >> i think. >> they may regard it as the biggest. >> year. >> in tesla. >> history. >> maybe even bigger than our first. >> car. >> the roadster or the model. >> s or. >> the model. >> three and model y. in fact, i think it probably will. >> be viewed. >> 25 as maybe. >> the most important year. >> in tesla's history. let's now bring in joel kalina, head of tech and media trading at wedbush. joel, good morning. good to see you, frank. >> good morning. >> all right. elon musk saying this might be the most important year in the history of tesla. but let's focus on these numbers at first. miss on revenue. miss on eps. miss even on margin. that's something that tesla

really kind of touts as having great auto margins. it seems like the stock is moving higher on this idea of full self-driving in austin by june, in california and other regions by the end of the year. did you see something else in this report that would make the stock move higher? >> no. >> i mean, you. >> pretty much hit. >> on it. and even that that. >> clip we just heard from elon, he sort of he played the hits. and i think what the. >> bulls are. >> the. bullish narrative right now. >> for tesla is that it's. >> just a. >> diversified play on ai and robotics. and it's sort of that simple. >> so he highlighted. >> full self-driving optimus. >> also how. >> ai is. >> going to play a big, big part in the company moving forward. and numbers are sort of, you know, just being. >> tossed to the side. >> and just more. >> evidence that the stock. >> does trade more on hype versus fundamentals. >> because as you said. >> you know. >> auto margins. >> x credits, i think they were the lowest since 2018. and so we'll see, you know right. that's sort of what musk's plan was saddling up next to trump. and let's pull out of the red tape and see what tesla can do in terms of. the fsd and rolling it out to different cities, and hence why you're also seeing

negative kind of ripple effect for uber and lyft this morning as well. >> all right. let's go to meta. another stock that's moving higher this morning. really strong quarter this quarter. but i had some questions about the guidance i mean the mid range of the current quarter guidance was below estimates. no full year guidance. should that be a concern if you're a meta investor. >> yeah i think to a degree. >> but i mean they're typically a little bit conservative on their guide as well. and i think more importantly the quarter itself was just fantastic. they're firing on all cylinders. you know, on the flip side, their operating margins i think were the highest in over five years and more, you know, and ad revenues accelerated versus tough comps. and zuckerberg you know, he's been doing it on his podcast circuit of late as well. he is just his message has been very straightforward. he's keeping it simple. i thought it was very savvy for him to de-risk the capex. you know, last friday when deep seek narrative was starting to develop, and he's making it pretty clear that. >> that, you know. >> the businesses are firing on all cylinders and ai is going to help them just kind of, you know, work the flywheel of the business and just continue to monetize it. and hence why it's

probably the cleanest story within mega-cap at the moment. >> so i want to ask you about that capex spending stood firm on this one still 6065 billion. why isn't that an overhang after this deep seek development? i mean, isn't deep seek supposed to kind of reconfigure how we look at capex and how we look at this idea of using scaling capital to get an advantage in this ai race? >> i think. >> potentially. >> but i don't think i'm pretty sure, you know, nadella has been very vocal as capex as well over the past couple of weeks. you know, he was talking about $80 billion, you know, just 2 or 3 weeks ago. zuckerberg a week ago as well. i think clearly these tech leaders. are fully aware of deep seated and what's going on. and but i think the reports yesterday sort of are a reflection of why these guys aren't really kind of flinching because, you know, i heard there was reports that deep tech accuracy is only around 17%. most other models are north of 60 to 70%. so there's still some performance issues. i think that that are unclear at the moment. and for now, i think it's an easier to kind of walk it back

in the next quarter or two. but for now, just just stick to the playbook. and investors haven't been been punishing anyone for overspending in ai. >> all right. well, speaking of sticking to the playbook, satya nadella, microsoft sticking to their playbook, maintain their capex guidance. but the cloud business, i don't want to say it was under pressure but missed estimates for this quarter. guidance a bit under the estimates for next quarter. is that possibly concerning? i mean, weren't they supposed to have the lead when it came to generative ai? weren't people supposed to be flocking to azure to get access to open ai and things like that? why are we seeing this business actually miss estimates and even the forward guidance being, you know, less robust than people are expecting? >> yeah. >> i mean sadly, you know microsoft only trades on azure. that's what that's what investors are laser focused on. and they kind of called out, you know supply capacity constraints and issues on the non ai portion of their business as well. but it's just not what people were hoping for. and microsoft i think has been a stock that positioning drives a lot of it amongst institutional investors for most of 24 was the funding short. azure was just sort of

stuck in the mud, but it flipped. this positioning has flipped here, people. it was a consensus long in this print. now people are waiting for a re-acceleration of azure, but the timing is still very unknown. so i and with, you know, software becoming a bigger part of the ai narrative. and we're seeing that in 2025 with with the rise of agents and kind of lower inference cost. i think there's just a desire to be long, you know, names like salesforce and hubspot and atlassian. whereas again, you know, microsoft, you know, they're just not really sending the right message that is yours is accelerating. and copilot adoption has been disappointing as well. and whereas, you know, salesforce and their agent force had just kind of been sucking up all the air out of out of out of the room. >> right. obviously we had a big shakeup when it comes to tech on monday with deep sea and everything else. we got some big earnings today or yesterday, i should say. we're kind of digesting them today. we're looking at tech. you're just talking about software as well. what's your top pick when we're looking at this space are the best companies. are they in infrastructure. are they in

software? i mean you tell me after deep sea, it seems like we're just all trying to figure that out. >> yeah. i mean, there's still i mean, it's still deep sea. it was only four days ago. right. and so there's still a lot of people running around with their, their heads cut off, trying to figure out who the winners and losers are going to be. but i think software right now, it's pretty simple, like deep sea. even though like i highlighted earlier, maybe the accuracy and the performance isn't quite where it needs to be yet. but i think over time, you know, that's going to improve and bring costs down. and it's a deflationary development. and deflationary is typically very positive for software. in general as a whole and will lead to kind of increasing use cases and adoption, you know, across multiple end markets. and i think names like salesforce are set to benefit at the top. and then i kind of mentioned atlassian, hubspot, you know, guidewire below that and even take a look at some of the consumption names like, you know, snowflake, datadog, mongodb, you know, people that have been kind of a lot of. >> names there, joel, a lot of names. >> hey. >> always appreciate your time and your insight. great to see you as always. >> thank you.

>> all right. take care. frank. >> all right. still on deck here on worldwide exchange. much more on big tech's big move this morning. and what president trump said about jay powell after yesterday's policy pause. right now, though, we're going to take another look outside reagan national airport in dc, where first responders are still searching for survivors following that mid-air collision between an american airlines regional jet carrying 64 people and an army black hawk helicopter with three on board, officials are set to give another update in just about 90 minutes. much more worldwide exchange coming after this break. >> in a. >> world of. >> seismic change, will your business shape the future or be shaped by it? how will we capture the imagination of tomorrow's consumers? overcome operational constraints to focus on future growth and harness technology and ai to power entire industries? with the full spectrum of services across sectors, we're. all in to shape the future with confidence.

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good morning. >> good morning frank. sources tell cnbc that softbank is in talks to invest up to $25 billion in openai. the move, which has not been finalized, would make the japanese company the startup's top backer. >> as cnbc. >> reported in november, openai allowed employees. >> to sell about $1.5 billion. worth of shares in a tender offer to softbank. >> president trump signing a presidential memorandum ordering the pentagon and homeland. >> security to prepare. >> a detention facility. >> at guantanamo bay. >> to hold as many as 30,000 migrants. the us naval base at guantanamo already holds a migrant facility separate. >> from the high. >> security prison there. border czar tom homan says that.

>> the. >> administration would expand the existing facility. and bloomberg is reporting a group of american investors is looking to buy tiktok. >> and have. >> secured more than $20 billion for their bid. the report. says the group, which. features youtuber mrbeast and. has also recruited two additional tech ceos. >> as. >> investors. >> including roblox co-founder and ceo. no word of tiktok's parent company bytedance. >> whether it would. >> consider the apparent offer. frank. lots of names being floated. for that offer. >> you know, i mean, tiktok has 190 million people that engage with the platform every day, so i'm sure there's going to be even more bidders that might emerge before this is all said and done. bertha, thank you very much. we'll see you just a bit later in the show. all right. later in the show. all right. coming up. we have (grunting) at morgan stanley, old school hard work meets bold new thinking. ( ♪♪ ) partnering to unlock new ideas,

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formula from eli lilly. see if you qualify at irokotv. >> i know that flight. >> i've flown. >> it many times myself. that flight has been in existence about a year, and it is certainly true that in kansas. >> and in wichita in. >> particular, we're going to. >> know people who are on this flight, know their family members. know somebody. so this is a very personal circumstance. >> tragedy in washington, d.c, as an american airlines jet carrying 64 people collides with a black hawk military helicopter just outside ronald reagan national airport, 301st

responders there on the ground combing through the wreckage as they search for survivors continues. good morning, i'm frank holland. welcome to worldwide exchange. thank you for being here with us. we're going to get to the markets in just a few moments. but first, that breaking news and that midair collision between an american airlines jet carrying 64 people and a u.s. army black hawk helicopter just outside dc's reagan national airport, eamon javers is on the scene in virginia, just off the coast of where that jet went down. our phil lebeau is also standing by in chicago. phil, good morning. let's start with you. good morning. good morning frank. let me set the scene in terms of what we know. and there's not a whole lot that we know regarding this mid-air collision that happened just before 9 p.m. last night. as you mentioned, it was a u.s. army black hawk helicopter, as, of course, a helicopter colliding with a commercial regional jet operated by a subsidiary of american airlines. that jet was on final approach to reagan national to land at reagan national. the aircraft, airplane and the helicopter both crashed into the potomac river. we do have

security cam footage that shows the collision as it took place in the distance. there is a light that you see approaching the camera. that is, we believe, the american airlines flight, and then you see another light going into before we see an explosion or an apparent explosion that we believe is the sikorsky helicopter. exactly what caused this? who might have been, you know, in the wrong spot or why were they in the same airspace? we don't know that. that remains to be determined by investigators. as you take. a look at this situation, keep in mind that we're looking at line subsidiary psa airlines is the subsidiary 60 passengers, four crew members. it was on a direct flight from wichita, kansas. as you take a look at of shares of american airlines, this always comes up when there is a crash. will there be an impact on shares of the airline that's involved? yeah, there may be

some pressure this morning, but it's too early to know exactly what is at the root of this, frank. and frankly, that's really not the focus at this point in terms of investors and stock. but you will see a little bit of pressure on american airlines this morning. all right, phil, thank you very much. stick with us. we're going to continue this conversation in just a moment. but first we want to turn to our eamon javers live there on the scene eamon coming back to you. you said earlier there were some bodies that were recovered. any other new developments there on the scene? >> well frank, i can tell you that we hear the search and rescue helicopters overhead here just outside of ronald reagan national airport. as search and rescue activity continues behind me on the d.c. side of the river, we're in alexandria, virginia. what you see is some rescue activity in the water on the d.c. side. a very cold, dark, icy night overnight here. and nearly eight hours into this. now, frank, i can tell you that there is no word that any survivors have been found at this point. and i can also tell

you that we have a statement here from u.s. figure skating. u.s. figure skating, skating, saying that they can confirm that several members of our skating community were sadly aboard american airlines flight 5342. the statement goes on to say, these athletes, coaches and family members were returning home from the national development camp held in conjunction with u.s. figure skating championships in wichita, kansas. also, a statement here from the russian news agency tass, the russian news agency, saying that world champions in pair figure skating, members of the russian team evgenia shishkova and vadim naumov, were on board the plane that crashed in washington. no word on the fate of any of the figure skaters so far. search and rescue work does continue here on the potomac river, and i can tell you, frank, that the airport is entirely shut down, not expected to reopen until 11 a.m. this morning. and as we were coming into our live location here, frank, all of the

exits off the george washington parkway that enter into national airport, those are all closed as well. police blocking the roads on all the access points to the airport. so at this point, nobody is coming in and out of this airport for several more hours this morning. frank, back over to you. >> all right. our eamon javers live on the scene in alexandria, virginia. eamon, thank you very much for bringing us the very latest. for more, let's bring in dan elwell, former american airlines pilot, former acting faa administrator and former deputy administrator during the first trump administration. he also served as the senior advisor on aviation and transportation secretary elaine chao. phil lebeau also joining this conversation. dan, good morning. thank you for being here. >> good morning frank. >> good morning phil. >> thanks for. >> having me. so dan, let's start off with this. you were an american pilot. you've actually flown out of this airport before. i want to get your take on on the video that we've all seen. what do you make of what we saw here? well, it. >> appears it appears. >> as if. >> the american. >> airlines aircraft. >> was transitioning to.

>> land on runway 33. >> and in. >> fact, the video. >> seems to. >> suggest they were. >> on the. >> final. approach off. >> off the shore. >> of the maryland side. joint base anacostia, when the helicopter intersected. or collided with the aircraft. and it's. >> hard to tell from the. >> video what their relative positions to each other were prior. >> to the impact, which, of. >> course. >> is important in the investigation, will determine. >> right. we were talking about that before. from this view, it's kind of a flat view. you don't really get a sense of the space in between them or, you know, some of the different approaches or angles or things that are happening there that i'm sure you're much well versed on. i do want to lean on your experience with the faa. phil told us earlier, the ntsb is going to take the lead in the investigation, but for the faa and other investigating agencies, where do you go from here? obviously, you know the search mission. that's priority. hopefully there are survivors. but where do you go after this point?

>> right. >> the search and. is paramount right now. >> but the faa. >> is going to dig into the tapes and. >> they. >> will provide. >> the. ntsb with everything that they can from their side of events. >> at. >> the airport. and the ntsb should be. >> imminently. >> if not already on scene and going. through their paces. >> but i like. >> i just like everyone. i think. >> this is just a. >> horrific event. and there's some amazingly grief stricken people right now. and my heart goes. >> out to all. >> of them. >> yes, certainly. we want to reiterate that our thoughts and prayers certainly go with the families of the people impacted, the people on that plane. phil, i do want to come over to you and talk to you about one other issue. you and ui and eamon were talking about this earlier, that there's been a push to get more flights going out of reagan. more people want to fly very close to dc this crash. what

does that mean for that debate and that push? well, it brings up the question of how much traffic can they handle at reagan national. now, there's no indication that there was too much traffic. and that is a root cause for this collision. but it does raise the question in terms of not just at reagan national, but a number of airports around this country where because there is so much demand, frank, the airports would like to add the airlines to would like to add more flights. all of this gets to the issue. and dan is very familiar with this from his days at the faa in terms of air traffic control, how many flights can they handle. and then you obviously have the residents in that area who in not just at reagan national, but other airports will push back in terms of noise congestion. we don't want as many flights that are coming in here, but this has been an issue that has been coming up frequently over the last 10 to 15 years. again,

because of the popularity of reagan national being so close to downtown dc, to all the government offices, representatives fly in and out of there, senators fly in and out of there all the time, and it's that access that they want. it's what everybody wants. who's flying into dc. that's not a knock on dulles, but that's the reality. and i think that ultimately will be a question for investigators in terms of looking long term at the airspace around reagan national. all right. so again, american airlines jet has collided in a crash with a army helicopter. the investigation still continues. the search still continues there on the potomac daniel. well philip both thank you both. good to see you. all right. here on worldwide exchange. we're going to continue to follow this tragic story. much more coming up right after this break. >> no city is. >> immune from. >> financial challenges. >> but with assured. >> guarantees. municipal bond.

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toughest. brands in the world rely on cerakote to finish strong. shouldn't you? circle the world's leader in thin film ceramic coatings? >> welcome back to worldwide exchange. taking a quick look at us stock futures higher across the board right now. pretty much same levels that we saw about a half an hour ago. the nasdaq the best performer up over a half a percent. the dow looks like it would open nearly 200 points higher. turning back to the fed, holding rates steady in its first meeting of the trump administration and his post-meeting press conference, chairman jay powell telling reporters the labor risk seen late last year, they've eased. however, inflation still remains above its target. and on the question of trump and tariffs, as you have heard us show you earlier, powell says he's had zero contact with the president, adding the fomc is in a wait and

see mode when it comes to tariffs. >> and the range of. >> possibilities is very. >> very wide. >> we don't know. >> what's going to be tariff. >> we don't know for. >> how long or how much what countries. >> we don't know. >> about retaliation. >> we don't. >> know how it's going. >> to transmit. >> through the. economy to consumers. >> that's that really. >> does remain to be seen. president trump, however, taking a less delicate tone in response, posting on his truth social platform that jay powell and the fed are partly to blame for creating inflation, adding if the fed spent, quote, less time on die gender ideology, green energy and fake climate change, inflation would have never been a problem. joining me now, veronica clark, economist at citigroup. veronica good morning. good to see you. >> good morning. thanks for having me. >> first i want to get your take on the pause here. was there a tone in your mind? was there a clear tone. was it hawkish. was it dovish. how did you translate. >> yeah i think. >> chair powell is objective of this. meeting was. >> to say. >> pretty much nothing. >> at all. >> you know. >> just be a very neutral. >> don't rock the boat.

>> and i think. >> he did that. you know. >> there were initially. some changes in the policy. statement that were. maybe interpreted a bit hawkish. but i wouldn't read them that way. this is. a same message i think. >> that we. >> heard in december. >> all right. you also made a or gave a very clear message when it came to the president and the president's demands for race to be cut. he basically said, you know, we stay away from politics, and he hasn't had any contact with the president. do you think he achieved what seemed to be his goal of maintaining fed independence, or are there still some questions about whether the fed excuse me, the president can influence the fed? >> yeah. yeah. i mean, i. >> think powell you know, we've heard him. >> push. >> back on on this idea. >> that. >> you. >> know, there will. >> be any political. >> influence on, on the. >> fed before. >> and i and i think he's trying to maintain that now. >> i don't. >> expect that there will be political. >> influence on the fed. i think they will stay independent. >> and it is just a matter. >> of fact. >> that we, you know, there. >> are a. >> number of potential. >> policy changes and some could. >> you know. >> raise inflation. >> some could lower inflation. we really don't know what the net. impact will be. >> and until. >> the fed sees that and the data there, they're not going to. >> be reacting.

>> to policy necessarily. >> so veronica, i'm sure like you i you know, i listened to the whole press conference. i really wasn't that clear where the fed stood when it came to tariffs. do they they said, you know, we model we modeled this. but in your mind what did you take away from it. because again, it really did seem like jay powell wasn't trying to make a statement either way. but tariffs are really kind of a pressing question for the markets, especially when it comes to how the fed is going to respond and whether that march cut is still on the table. >> yeah, absolutely. >> you know, fed officials are watching all the headlines. >> just like we are. we do know that. >> back in. >> december when fed officials did a forecast update, some officials probably put tariff assumptions into their forecasts. we did see end of year. >> inflation forecast. come up. >> a little bit in december. >> we know some. >> included them, some didn't. i think for right. now they're they're just in this. >> wait and see. >> mode, just like just like we are. >> all right. powell also made it clear in his mind job market seems just a-okay. but inflation just just a tick higher. so does that place even more importance on upcoming inflation reports. or is the fed still taking a kind of a holistic approach, thinking about the possibility

of tariffs and trade policy, maybe even immigration policy and also weighing inflation? or is it really, in your mind, just that dual mandate? >> i think for right now, it really is about the labor. >> market and the inflation data. >> you know, we'll see how policy. >> impacts the. >> data, the economy later. >> in the year i think. >> but for right now, yeah, i think it's really about the next couple inflation readings. you know we're getting into the start of the year. we'll get a core pce. inflation reading tomorrow which i think should look pretty favorable, something close to. >> 2% on. >> an annualized basis. >> the monthly. >> reading that is. >> but as we get. >> into the start of. >> the. >> year, we know that there's some residual seasonality. there's been some strength in q one before. we'll see if that repeats. i think. >> if that doesn't. >> repeat. >> you know, that's a much more favorable picture of slowing. >> inflation than just. >> a couple. >> months ago. >> all right. one thing jay powell said rates are in a good place. you're someone with a very educated opinion. do you agree? do you believe that right here is a good place? or do you think that some of the things we're seeing in the job market, especially hiring, slowing down the idea that, you know, inflation is probably just a bit

more stickier than we all thought it was going to be. do you think there is a need for some type of an adjustment of philosophy for the fed? >> yeah, i think this is a it's a. >> tricky place for the fed. >> you know, of course we've had. >> you know, six. >> months or. >> so of. >> data that look like. >> the unemployment. >> rate moving sideways. but i do think rates are still restrictive. >> i think, you know. >> chair powell thinks that also we do see, you know, concerning signs in the labor. market data, you know low hiring low quits. this is not necessarily looking to me like a healthy labor market. like a you know we've had the stability but it doesn't necessarily look durable yet. so i would be more worried about some of those labor market risks. >> and maybe. >> that gets more prominent again. >> by. >> the time we get to the spring. that's usually when hiring would pick up. but i do think those risks are still there and maybe a bit underappreciated. >> right now. >> all right, veronica clark, great to see you as always. thank you very much. >> thank you. >> coming up here on worldwide exchange, we have the one word that every investor has to hear today in the stock pick that every investor needs to know. plus more on this morning's big money movers and a bit of a mixed bag for the first round of

mag seven earnings as we gear up for another member to report. we'll be right back after this break. taking a look microsoft shares down more than 3.5%. meta. up over 2.5%. tesla close to a 2% gain. stay with us. >> many of my clients ask. >> me, how. >> can i. >> afford. >> to buy. >> my next. >> home. >> but also. >> make sure my current home sells? >> that's why. >> who you. >> work with matters. together with homelight. >> we've helped. >> clients win the home of their dreams every time.

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army black hawk helicopter. the crash happened last night just outside dc's reagan national airport. first response crews. they've been on the ground all night searching through the wreckage. squawk box will have much more at the top of the hour. sources tell cnbc that softbank is in talks to invest up to $25 billion in openai. the apparent move, which has not been finalized, would make the japanese company the startup's top backer. show reporting a bigger than expected drop in full year profit due to lower oil prices despite that slump. the energy giant announcing a $3.5 billion share buyback and a 4% hike to its dividend. shares of levi's sliding despite a beat on the top and the bottom line with its latest results. the jeans maker saying it expects sales to slow next year due in part to a strong dollar. and shares of ibm jumping after earnings and revenue topped expectations. the company reporting a surge in its software business thanks to what else? artificial intelligence. shares of ibm up just about 8% right now. coming up here on worldwide exchange, we're digging under the market's hood and the space. our next guest is very bullish on her top pick. up 3% this year to help investors get in on the action we will

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>> any car, anywhere. >> the day's top stories. driving wall street brian. >> sullivan joins kelly evans. >> power lunch. >> weekdays two eastern. >> cnbc. >> let's talk ai. >> ai in china versus ai in the united states. deep sea, one of the companies within china. it's been reported at least that they have a cluster of 50,000 nvidia gpus. deep sea. their model is actually the top. >> performing, or roughly on par with the best american models to sea the deep sea new model. >> it's super impressive. >> and it's super compute efficient. >> we're not just. >> about managing information. >> we're about. >> supplying digital workers. now we're making this transformation to digital labor. >> and walk back to worldwide exchange. one more check on u.s. stock futures still in the green across the board. the s&p up about 19 points. the dow up about 183 points off of its

highs of earlier this morning. the nasdaq also off of its highs up just about 95 points right now. for more on the trading day ahead, let's bring in katrina dudley, investment strategist at franklin mutual advisors. katrina, good morning. good to see you. >> great. thanks for having me. >> katrina. we just had mega-cap tech earnings, three of the mag seven report yesterday. i want to focus on today though. what is your word of the day? >> my word of the. >> day is breadth. and the fact. >> is, is that we are expecting the returns. >> of the average stocks. >> so those 493. >> stocks that don't make up the s&p 500 to actually start. >> to work, and. that that view is. really driven. >> by the fact. >> is we look at two year forward earnings expectations across the market. we're looking at growth in all of the sectors on that two year basis. so we. >> think it's now time. for the rest. >> of the market to work. >> so you think the rest of the market is primed to start working. is this a valuation question. we've been talking a lot about valuation this week specifically because of deep seek. i'm looking at the forward p e on the mac seven. that's 31

times the 493. it's about 19 times. so is it simply a valuation situation or do you genuinely think that these other companies, the 433, as we keep calling them, they have better potential for earnings growth? >> you know, it's so funny. i do actually. >> have to make one small correction. the s&p at the moment actually has 503 stocks. so it's the 494. so there's an extra. >> few in there. but the fact is that let's talk about why you look at r1. and that's. >> obviously what's been the talk of the market over the past. trading days. >> and i look at the efficiency. >> gains that have been driven by. >> these changes. and those efficiency gains are going to mean that i can get spread out. >> across a broader part of the economy, so that we're going to actually see a. >> lot. >> better returns. >> from ai as it is. >> deployed a lot wider. >> and that's. >> also a part of the reason that we're positive on the rest of the market. i think in terms of. direct ai plays, you've obviously seen so much of the benefit go to the magnificent seven. the valuations do reflect it, and we think that there is a

combination of good earnings potential of good. >> valuations. >> as well. >> as some structural factors. >> that are going to make the rest of the market work during. >> the rest. >> of. >> the year. >> so, katrina, you have a pick for us today. what is your pick? why is this a good move for today? >> look, i. >> think that where we see some of the best opportunities are in the small and the mid-cap growth space, and so we're looking at a way to play that in a, in a focus. so we have a us mid-cap multifactor etf. and that is the type of product that. you want where you can invest in it. and you have the ability to benefit from the fact that the us is getting. back its animal spirits. if i take a look at the us, the consumer sentiment numbers have come in very strongly. those good sentiment numbers are going to drive us gdp growth because we're 70% driven by the consumer. if we have good gdp growth here in the united states, we're going to have better than expected earnings. and that will really support the fact that we think

that better earnings growth is going to translate into better stock performance. >> all right katrina your pick for us today the franklin midcap etf ticker f l qm. great to see you as always. thank you. thank you. that's going to do it for us here on worldwide exchange. thank you so much for watching. more on that breaking news out of dc. coming up on squawk box which starts right now. >> good morning. a massive search and rescue operation. it is now underway after an american airlines regional jet collided with an army blackhawk helicopter and crashing into the potomac river. we have the latest straight ahead. we also keep you up to date and up to speed on the markets futures. they are trading higher after some widely held tech names reported earnings, microsoft and tesla among them. plus reaction to yesterday's fed policy announcement and the path for interest rates. it is thursday, january 30th, 2025 and squawk box begins right now.

good thursday morning and welcome to squawk box right here on cnbc. we're live at the nasdaq market site in times square. i'm andrew ross sorkin along with leslie picker and mike santoli. joe and becky are both off today, but there is a lot, a lot going on both in the markets. and also we want to talk about what's happening in washington dc, which you're going to learn about. if you have not heard overnight, let's take a quick look at us equity futures before we get into all of that. the dow right now up about 173 points. the nasdaq up about 92 points. the s&p 500 up about 18 points. but right now we want to get to what we know about last night's mid-air collision that took place near washington dc. and american airlines regional passenger jet in an army blackhawk helicopter colliding near reagan national airport, crashing into