>> great to get your first reaction. >> to this print we got from nvidia. >> and when the ceos have a big announcement they come here first. >> what's your take on not just the quarter but how things look from. >> here helping you make the right moves. >> this has been a key number. the street was watching. >> a wild. >> hour of earnings. >> earnings season special coverage all this month on cnbc. it is 5 a.m. here at cnbc. >> global headquarters. >> welcome to. >> worldwide exchange. >> here is your. top five. at five. >> the hotter than expected. >> january cpi report. >> giving investors new reasons to worry despite assurances from. >> jay powell. >> we've had made great progress toward 2% last year, but we're not quite there yet, so we want to keep policy restrictive for now. >> and in. >> washington, president trump. >> doubling down on his global. >> tariff threat with new tariffs. >> possibly coming today. >> i may do it later on or i may. >> do it tomorrow. >> morning, but. >> we'll be signing. reciprocal tariffs. >> elon musk continues to push back against what he calls.

>> the. >> federal government. >> bureaucracy and. allegations of. >> conflicts of interest between. doge and his empire of companies. plus, a critical face to face in d.c. today could have investors looking overseas for opportunities. and later, jpmorgan's jamie dimon. he sounds off on return to work pushback from his own employees. >> who may. >> have dropped a few f. >> bombs in there. >> it's thursday, february the 13th, 2025. >> you're watching. >> worldwide exchange. >> right here. >> on cnbc. >> good morning. thanks so much for. >> being here with us. >> i am. frank collins. get you ready. >> for. >> the trading day ahead. >> we begin with the markets. >> the s&p and. >> the dow closing. >> lower yesterday. the nasdaq. basically flat. >> after a hotter than. >> expected cpi. read investors this. >> morning also digesting. >> the. >> president's threat. >> to place reciprocal tariffs on every nation that puts. tariffs on u.s. goods. taking a look at futures. >> right now. >> a bit of a muted start to the day. so you see the s&p and the. >> dow both.

>> of them down fractionally right now the nasdaq just a tick. >> above in. >> the positive right now up about 30 points. right now we want to take a look at the s&p 500 premarket laggards. >> we're going to begin with them. >> even though the s&p is basically flat right here at the top. >> of the. >> list. >> super micro. >> those shares down about 3.5% te connectivity. rollins cf industries and u.s. bank corp rounding. >> out. >> the bottom five. and then we're going to take a look at the top five. of course, the gainers on the s&p and the premarket. >> mgm resorts. >> those shares up over 8.5% cisco systems off earnings. >> those shares. >> up about 6%. >> right now. >> cbre caesars and also howmet aerospace. those round out the top five right now. >> all right. back to the white house. they say those. >> tariffs they. >> could come. >> before the president's meeting with indian prime minister. >> narendra modi. >> later today. i want to do a quick check of an indian etf that looks at indian. >> equities, along. >> with etfs for china, canada and mexico, other nations that are in tariff discussions with the president. right now, we're seeing the india. those shares. >> are. >> up of that etf about a half a percent different story for the rest of the group right here. the mchi down about 1.5%. the kweb also in the red along with

the mexico etf. the iww basically flat but fractionally lower, at least right now. all right. take a look at bond yields. they are moving higher after that hotter than expected read on cpi. taking a look. >> right now. >> we're seeing the benchmark at 4.61. moving up quite a few basis points from the levels that we saw yesterday. and we want to take a look at energy oil on pace for a losing week. but right now we're seeing or at least this morning, a new iea report released that shows global demand is expected to grow in 2025. we're going. >> to. >> continue to watch the oil market right now. right now though, wti down about one and a third percent. brant crude down about 1.25%. natural gas popping this morning up about 2.5%. okay. that's your set up. now we want to move to your big money movers. we're going to start off with shares of robinhood. they're surging after reporting a pop in q4. profit fueled in large part by stock and crypto trading in the wake of president trump's election win. the company says the platform fee revenue it soared 236% in the quarter. on the earnings call, ceo vlad tenev also highlighting opportunities and prediction markets and event based trading, including sports. shares of

robinhood, they're up about 15, almost 16% right now. we'll hear. much more from tenev when he joins squawk on the street later this morning. shares of cisco also higher after bumping up its full year sales forecast. the company also delivering stronger than expected results for its most recent quarter. shares of cisco up more than 6%. but shares of reddit they're sinking after reporting weaker than expected user numbers for the fourth quarter. the company says a new google search algorithm caused some, quote volatility in user growth, but has since recovered. shares of reddit right now down over 14%. all right, turning to washington now and president trump reminding investors from the oval office yesterday his global trade war is far from over. trump promising a move on new tariffs as soon as today. >> are you planning to. >> sign an executive order. >> on reciprocal tariffs, sir? >> yes. >> i am. in fact. >> i may do. >> it today. >> and if. >> i. >> do it today. >> i could. >> almost do it. >> right now. >> would you like me to talk about it? >> i don't want to. >> take. >> anything away from. >> this. >> young lady's. >> day.

>> because this. >> is her day. >> and i. >> may do. >> it later. >> on, or i may do. >> it tomorrow morning. >> but we'll. >> be signing. >> reciprocal tariffs. >> those potential new tariffs coming as elon musk and the department of government efficiency continue to embed itself in nearly every federal agency. democrats however, they're pushing back. nbc's alice barr joins me now from washington with much more on this story. alice. good morning. >> good morning. frank. yeah. >> we heard from democrats. >> at a subcommittee hearing. about the work of. >> elon musk's team. and they're complaining about, really the pace and the breadth of what they're doing, but also talking about potential conflicts. >> of interest. >> with elon musk's federal contracts through his businesses. he said. and that unorthodox oval office meeting with the president that he expects to be fully scrutinized. >> and i. >> follow the courts. >> i have to. >> follow the trump. >> administration scoring. >> a victory out of a litany of legal challenges. >> as a judge ruled, the federal. worker buyout program can. >> move forward. >> the white. >> house. >> saying roughly 75,000 federal employees took the offer to

resign and be paid through september, before the deadline closed. a key piece of the plans to dramatically downsize government. >> the spigot is getting ready. >> to be turned off. >> lawmakers sparring. >> in a fiery hearing about. >> the. >> work of elon. >> musk's department of. >> government efficiency. >> donald trump and elon. >> musk are. >> recklessly and. illegally dismantling. >> the federal government. >> shuttering federal. >> agencies. >> firing federal workers. >> we were given. >> a massive. >> mandate to. >> carry out what he's been doing. >> also on. >> capitol hill, senate democrats held the floor late into the night speaking against robert f kennedy. >> jr. >> whose confirmation vote for. secretary of health and human services is set for today. >> this body. >> is. being asked. >> to confirm. >> a. >> man who has dedicated the better part of his career to. attacking science. >> kennedy is on track for confirmation in. the republican controlled senate, despite concerns over controversial positions. >> including a refusal.

>> to acknowledge the. scientific consensus that vaccines do not. >> cause autism. >> i. >> another contentious pick. >> i. tulsi gabbard, do solemnly swear. >> tulsi gabbard. >> now sworn. >> in as director of national intelligence. >> only republican senator mitch mcconnell joined democrats in opposing her over concerns she made sympathetic comments about russia. president trump rounding out his cabinet as he presses ahead with his agenda. >> and at. >> gabbard's swearing in ceremony, president trump said he wants to see the education department closed immediately, calling it a, quote, con job. he has so far not offered evidence backing up his assertions of widespread government fraud and abuse. but he said he's going to offer details. during a news conference today. frank. >> so, alex, you mentioned conflicts of interest when it comes to elon musk and doge and the federal government. one story that a lot of people are talking about right now is the idea that tesla has a $400 million contract with the federal government defense, in

fact, for armored teslas. did the. president address that at all? >> yeah. >> he's pretty. >> much been trying to keep up some firewalls between this very close. >> ally of. >> his now and, and his administration. and he's basically saying that he believes that elon musk is doing everything above board. he has said repeatedly that he does not think that musk stands to gain anything out of what he's been doing. and he said in an interview on. fox news that he doesn't really see how musk has time to do what he's doing with everything else he has going on, but he has repeatedly said he trusts him, and he does not believe that he's gaining anything out of his position. >> all right, alice barr, live from d.c. alice, thank you very much. good to see you. thanks. well, the dc drama aside, investors are keeping their attention on january's hotter than expected inflation report and assurances by the fed. they are still in control. powell, speaking to house lawmakers yesterday after cpi. >> i would say we're we're close but not there on inflation. and you did see today's inflation

print which which says the same thing. i mean we're we've had made great progress toward 2% last year. inflation was 2.6%. so great progress. but we're not quite there yet. so we want to keep policy restrictive for now. >> all right. >> but some investors like dan niles, they're raising a red flag that the central bank may actually be behind the curve. now spoke with cnbc yesterday. >> all the four measures of inflation core pce you know, cpi, core cpi etc. all of that either bottomed in june or in the third quarter and has been going up. so i'm going to be very curious to see if powell makes the same mistake twice. i don't think he will. and i think one more print. you've got a problem. >> joining me now is lizzie evans, managing partner at evans may wealth, a forbes best in state wealth advisor with more than 1.3 billion under management. lizzie. good morning. good to see you. >> good morning frank. >> so when you're talking to clients, are they concerned. >> at all about. >> inflation or the fact that

these fed rate cuts aren't coming this year? >> i think a lot of. >> people assume that we would see one, maybe two cuts. that seems a lot more fuzzy now. >> yeah. >> i think especially. >> as you. >> mentioned after yesterday's. cpi report. really though, frank. >> the market i believe can continue to. >> perform well. >> in the face of higher rates. we you know, now. >> the. >> expectation is we. >> i think 95% probability. we won't. >> see a. >> rate cut and only. >> a 20%. >> probability that we'll. >> see a. >> rate cut in may. so you've seen some. >> of the big boys like bank of america remove. all rate cuts for 2025. so. >> long. >> as you have earnings. >> growth the market can. move higher. and even in the face. >> of higher interest rates. >> all right. so you're really focused on earnings growth. it sounds like you think that's going to be the dominant force in the market not the fed as we've seen before. i have to ask you when we see the idea of tariffs, reciprocal tariffs on just about every nation that tariffs the us. also the tariffs on china right now and the possibility of tariffs coming back to mexico and canada. we just don't know how that's going to resolve itself. does that

concern you about the earnings picture going forward. >> well tariffs certainly is the. number one headline. and what we're talking about every day in. >> the market. >> so goldman had. >> a very interesting. report that showed the. if the. >> effective tariff. >> rate is 5% and. >> it's very easy to get. >> to. >> 5%, if. >> you look at the various proposals. >> under. >> the trump. >> administration that. >> could hit that, that could increase inflation by 3 to 5. >> basis points. >> and hit earnings 1 to 2%. so it could be meaningful at the present time. the market. >> is really. >> shrugging that off. last week, we. had the. >> fastest trade war in. >> history. >> with mexico and canada quickly making concessions. so at the present time. >> the market really. >> doesn't believe that the tariffs. >> will move. >> forward as proposed and. believe it's. >> more of a negotiating tactic. >> but it's something. >> we're watching closely. >> okay. well, with that perspective in mind, where are you advising clients to put their money? we've seen some weakness in tech in the mag seven recently, mega-cap tech that used to be a safety play.

it seems like that narrative has changed when you're talking to clients that at least want to put new money to work, what area are you telling them to put it to work at? >> yeah, it's really interesting what's happening. >> within tech. you've had somewhat of a churning within. >> within that sector. >> and if you look at the earnings. >> growth gap. >> the earnings growth. gap between. >> the magnificent. >> seven and the other 493. >> names in the market continues to narrow. so at. >> q4 2023, that earnings growth gap. >> was 66%. >> fast forward a year later, it was 19%. >> so we think that gap continues. >> to narrow. >> but we are in a secular bull market. so for this secular bull market. >> to continue, tech needs to continue to be leadership. so i do think that there's some opportunities there. although with ai and the. >> ai. >> evolution, we've moved from a picks. and shovels. >> infrastructure story in 2024. >> to more of a. >> software story in 2025. and with that broadening. >> out. >> i do. >> think there's other areas. >> in the market to look. at that should. >> all ships should.

>> rise. >> financials should also. >> do very well. >> all right. lizzie evans, i know you're cautiously optimistic about the year. we'll just have to wait and see and see how things turn out. lizzie evans, always good to see you. thank you very much. thank you. a lot more. >> to. >> come here on worldwide exchange, including a contrarian bet on energy stocks as oil turns negative on the year. but first, a high profile face to face in washington today that could open the door for u.s. investor opportunities overseas. we're going to talk a lot more about that, plus much more in the d.o.j. dc drama and what elon musk's efficiency efforts, what they may. >> really mean. >> for wall street. and later, a dark debt warning from bridgewater's ray dalio. his comments to cnbc and a very busy hour. still ahead on worldwide exchange returns. >> the number of public companies is shrinking. while the number of private companies is increasing. at franklin templeton, we are expanding access to the growing opportunity in private markets, offering the potential for greater diversification and enhanced returns through our world class specialist investment managers, we are

empowering advisors with solutions to build the portfolios of the future today. portfolios of the future today. alternatives by franklin 7 million us businesses rely on tiktok to compete. within a week of posting, i had over $25,000 in sales. i don't have a million dollars to put towards marketing and branding. tiktok was the way and it saved my company. we had a video do really good this week. sales were up 29%. about 80% of my business right now is from tiktok. small businesses thrive on tiktok. tiktok brings in so much foot traffic. i need tiktok to keep growing. we have so much more work to do.

>> resale shop, now with code. >> tr20 for 20%. >> off terms apply. >> welcome back to worldwide exchange. president trump will meet with indian prime minister narendra modi today, who is hoping to avoid the administration's incoming blanket reciprocal tariffs. president trump has also called india a tariff king. in response, india has cut tariffs on some u.s. goods from 50 to 40%. ahead of that face to face, india's nifty 50 index is down 2% this year, and etfs that track the market are off more than 5%. joining me now is malcolm dawson, head of emerging markets at global x etfs. malcolm good morning. good to see you. >> good morning frank. >> thanks for having me back. >> all right. so we just mentioned some of the declines when it comes to indian equities etfs. this meeting with modi and trump. how important is it when it comes to the investment thesis when it comes to india in your mind. >> i think. >> it's really important. >> and we've been. >> getting a.

>> lot of. >> attention around our. >> india product. >> this week. >> and investors are. >> just. >> keeping a really. >> close eye. >> on it, because we think. >> that. >> this event not. >> only represents. >> an. >> opportunity for modi. >> and trump to sort of cement the. >> legacy of their relationship, potentially improve. >> trade and. clarify that they're on the same team. >> but it's. >> also an opportunity. >> for modi to. >> continue courting foreign direct investment. from everyone. >> from the. >> likes of nvidia to microsoft. to boeing. and we've had a lot of other. things happen earlier this. >> year. >> which has kind of. >> kept markets. >> on edge. >> and now that. we've had the domestic. elections behind. >> us, the new. >> budget. >> the rbi. >> moving forward. >> with its first. >> rate cut. >> this seems like the last. >> remaining catalyst. >> before investors can jump back. >> into india's market. >> all right. one of the. >> concerns about investing in india is slowing growth there. let's just say hypothetically, if there isn't some type of deal to give exemptions on tariffs for india, what does that mean for these etfs. are there individual stocks perhaps that are more investable. are there parts of the indian market that become more investable despite

the tariffs? or does the complete thesis fall apart? >> no, i think. >> that the thesis is still. >> there because india. >> is. >> largely a. >> domestically driven. >> growth market. >> it hasn't. >> it's not unlike a. >> lot of countries in latin america or. >> other areas, and specifically out of china. it's not as dependent on exports as other. countries are. >> so india's thesis is really. >> based around very attractive demographics, strong governance. and in addition to that, really. >> benefiting from the. >> headwinds that are coming. >> into china as companies look for supply chain. diversification and moving into india. so i think there are. >> opportunities there. from a fundamental perspective. the market's been a. >> bit volatile. >> over the past quarter. >> i think. >> active. >> management is really helping. >> you know, we saw the broad fraud allegations. >> against adani. >> companies which. >> make up i think they're. >> about 5. >> to. >> 6 companies. >> in the index. >> with the active management, you're. >> able to kind of dodge some of. >> those bullets. and find opportunities. >> in the strong, you know. >> fundamentally driven stocks.

>> that have sold off. >> over the past quarters. >> so we. >> like names like. >> go, digit insurance. >> prestige estates. axis bank, and really heavily. >> more into financials. >> in. other sectors. >> at the moment. >> malcolm, i want to turn to china right now. this week we learned that david tepper's buy everything china bet just continues to pay off appaloosa boosting its holdings in. chinese stocks and etfs in the fourth quarter. and the company caught the deep sea bounce back in january. and a note this week, goldman sachs is adding that hedge funds they've been snapping up chinese stocks throughout the year making them. and this is a quote the most notionally net bought market. i want to get your take on this. what's your view? is this buy everything china strategy. is this a sustainable strategy? we've seen a lot of ups and downs when it comes to chinese equities over the years. >> yeah it's. >> a good question. we at global. >> x we highlighted. >> china as a top contrarian investment. >> for our. >> 2025 outlook. >> and that's really based. >> off of. >> low positioning. >> discounted valuations and incremental signs. >> of government support. >> really all. >> driving positive signals for

the market. but however when you think about it. i think. >> the buy everything. >> china strategy is more of a trade. and that. >> there are. >> other areas within china, specifically china consumer that's more focused approach to a long term opportunity. >> that benefits. >> from from clear. alignment with the ccp. broadly speaking, the other areas within china. >> i think you've. >> got a. >> shorter time. >> frame. >> and i think. >> you're probably going to see some. >> profit taking. >> based off of that. >> all right. so you call it a trade. you say it's not actually a sustainable investment. when do you get off of this trade. is there something coming up that you think might be an inflection point where if investors, they want to ride this david tepper bet that they might want to look to get out. is there an economic report or something else coming out? >> it's not. >> so much. >> about waiting for a specific catalyst. i think it's what what you're not seeing is more of the lack of certainty in china's market. we know short term that incremental stimulus is coming out. we know that valuations are still attractive, and we know that there's still a lack of positioning in the market. so as

we start seeing flows come, as we start seeing mean reversion in terms of multiples, then i think you're going to start seeing some profit taking coming into other countries, possibly india. if we look at it this week, but also within china, i think people are going to move more towards the consumer sector. and that's really because when you look towards what china's goals are and what the ccp wants to do, it's kind of now no longer be a factor to the world or manufacturing center for the rest of the world, but drive their economy based off of consumer driven domestic growth. so that's why we're really more focused on the consumer segment within china. if you look at a fund like kik, you're getting diversified. consumer exposure across big internet, autonomous driving, travel, education and gaming. and i think this shows really clear alignment with the ccp's goal to double the middle class by 2035. >> we're just looking at the a, c, h, i q just a second ago. the shares up just about 11% year to date. malcolm dawson, always good to see you. thank you very much. >> nice to see you frank. >> thank you.

>> all right. still on deck here on worldwide exchange. a look at another sector of the market that investors are pouring into outside of the us. we have the full details from worldwide exchange returns. stay with us. >> thank you for calling. >> please hold. >> when you. >> talk to your custodian. does it feel like you're not being heard? >> thank you for calling. >> please hold. >> now that's better. >> trey palmer doesn't have a massive. >> call center. >> instead, your. >> calls are answered by real people. >> who know you by name. >> and are empowered to help. >> like me. >> hey, chuck. >> how are you? what can i do. >> how are you? what can i do. >> for you? business. it's not a nine-to-five proposition. it's all day and into the night. it's all the things that keep this world turning. it's the go-tos that keep us going. the places we cheer. trust. hang out. and check in. they all choose the advanced network solutions and round the clock partnership from comcast business.

powering more businesses than anyone. powering possibilities. >> but you still. smell good. >> fall down a mountain. >> but you still smell good. >> late to. >> see some friends, but you still smell. >> good. >> did you. >> know some liquid laundry detergents are designed to leave chemical residue on your clothes? try earth breeze laundry. detergent sheets. unlike some liquid laundry detergents. >> earth breeze. >> delivers a powerful clean with less chemical residue and no optical brighteners. plus. >> each sheet.

>> is made of 100%. >> concentrated cleaning ingredients to fight tough stains. >> for a powerful. >> clean with. >> less chemical. >> residue. >> try earth breeze, available. >> at walmart. brand power helping you buy better. >> high point university. >> the premier life. >> skills university. is ranked the number one best run college in america by the princeton review. >> employers value. >> hpa's real world preparation. students love unprecedented access to global leaders on high points, inspiring campus, and parents appreciate hpa's god, family, and country values. choose to be extraordinary. >> at. >> high point university. >> and.

>> welcome back to worldwide exchange. it appears there's a china biotech gold rush. as u.s. investors and pharma giants, they look to the world's second largest economy and a new quest for new drugs and new remedies. our angelica peebles is taking a closer look. angelica. good morning. >> yeah. good morning. frank. everyone is talking about china right. >> now, and almost. >> 30% of big pharma deals with at least $50 million upfront came from china last year. that's up from. >> 20% the year before. >> and 0 in 2019. in the span. of just a few days in december, merck announced two licensing deals with chinese companies, and that really got people's attention. so what's going on? investors and industry insiders tell me that chinese companies are creating better molecules than ever before, and a whole lot more of them. plus, in china, you can test those compounds in humans faster and at a lower price than you can in the u.s. buyers have also figured out the business model. they essentially import the drugs they want through licensing deals versus acquiring

companies outright, which is a little bit harder. and investment in china has also dried up. so more companies there have to do deals. now, the big debate is what this all means for the u.s. biopharma industry. different people give you different answers. some people say this is actually a good thing because if. you can develop the drugs faster and at a lower cost, you could ultimately lower drug prices here in the u.s. and obviously there's appetite for that. but other people see this as a huge threat to the u.s. biotech industry, because if the merck's of the world can find better, less expensive drugs in china, they might not need to buy the american startups that are banking on being acquired. so this is a big trend that we're keeping an eye on. frank. >> yeah, some interesting dynamics here. so during the biden administration, they actually put export controls on biotech equipment to china. when we're looking at biotech, how does that compare to how at least this administration is expected to view tech? do we have any concerns that washington might intervene or intervene and kind of interrupt some of what we're seeing here? >> well, that's one thing that everyone i talked to has their

eye on, right? this question. they people compare this to almost the deep seek moment that we saw in ai, where you saw a company in china saying that it could do something just as good for a fraction of the price. and obviously, you've seen the reaction, you saw what happened to the stocks that day and all this talk about in washington about having these protectionist policies in terms of tech. and so there is a question, you know, this concern that maybe we might see that here. if you do continue to see more of these deals at this point, i haven't heard anything, but it's something that everyone is watching very closely. >> all right. angelica peebles, good to see you as always. thank you very much. as we head to break a check on two stocks that are on the move. first meta platforms adding to its record breaking win streak. it's now up 18 sessions in a row right now fractionally lower. but over that win streak you can see shares are up over 18%. also looking at intel this morning having a moment of its own coming off its best three day gain on a percentage basis in more than 20 years, according to dow jones. some traders are arguing the stock is part of a new trump trade, after comments from vice president jd vance on

tuesday highlighting us made ai chips. shares of intel right now they're up over a half a percent week to date, up over 18%. we'll be right back. >> welcome to. >> reinvented with accenture. >> today i'm here with margarita. >> del valle. ceo of vodafone. >> you were employee 25 in vodafone italy. today you're the ceo of vodafone. what is your strategy and vision for the future? >> we are. changing our. >> culture to really. >> focus on our customers. we need to acknowledge that change is hard, but if people understand it's for the right reason, then you get the power of the organization. >> with you. >> release the hounds, puppy. >> monkey. baby. we. >> got you on. >> the boys, okay? >> so you can take. >> it to.

>> the house. come on. >> i'm on a porch. >> the way we. >> take the house. >> groceries are here. >> thanks, babe. >> you get the milk. >> get down to. >> the house. >> to the house. >> we know he wants to hold. >> on to. >> the nba. how much. >> more will. >> we have. >> to pay? >> a lot of the revenue streams are guaranteed. >> the countdown is on. cnbc sport. official nba team valuations revealed. tomorrow in squawk box experience. >> the power. >> of cnbc pro track your portfolio from every angle on one optimized platform. become a smarter investor with the power of cnbc interest.

>> and my score is up 100 points. >> join me at. >> chime comm. >> i think we. >> do need to. delete entire agencies as opposed to leave. >> part of. >> them behind. because if you

leave. >> part of them. >> behind. >> it's easy. >> it's kind of like. >> leaving a weed. >> if you. >> don't remove the roots of the. >> weed. >> then it's easy for the weed to grow back. but if you remove the roots of the weed, it. doesn't stop. weeds from ever. >> growing back. >> but it makes it harder. so we have to really delete entire agencies. >> so that was elon musk speaking virtually overnight at a conference in dubai, calling for entire government agencies to be wiped away, musk and president trump scoring a legal victory in their bid to slash government spending as musk department on that matter continues to expand its reach. welcome back to worldwide exchange. i am frank collin. coming up this half an hour, raymond james is editor mills. he helps break down a whirlwind of headlines coming out of the white house and what it means for wall street. but first, we're going to get you ready for the trading day ahead. we begin this half an hour with a look at the markets, the s&p and the dow closing lower. the nasdaq basically flat after that hotter than expected cpi. read investors also digesting president trump's threat to place reciprocal tariffs on every nation that puts tariffs on u.s. goods. take a look at futures. right now. you can see

the s&p and the dow. they're both down fractionally. the nasdaq off of its highs of earlier but up fractionally right now up about 19 points. we want to take a look right now at the nasdaq premarket laggards. first we're gonna take a look at those first right here at the top list we see trade desk. those shares down almost 27% off earnings. globalfoundries, pdt holdings, analog devices and ansys rounding out the bottom five of the nasdaq 100. then the other side of the coin, the nasdaq 100 gainers. taking a look at 11 right here at the top of the list, shares up over 28%, followed by cisco systems moving more than 6% higher off earnings. datadog, tesla and astrazeneca rounding out the top five. back to the white house. they say those tariffs that we've been talking about could come before the president's meeting with indian prime minister narendra modi later today. right now, we're going to do a quick check of the india etf, along with some other etfs tied to china, canada and mexico, the nations that are in tariff discussions with the president. you see the india we're just talking about it a short time ago, up about a half a percent. the mcci the tracks china down over a percent. you see some other etfs in the red as well right here on the

screen. take a look at treasuries right now. bond yields moving higher after that. hotter than expected cpi report yesterday. initial claims and ppi out today. taking a look right now at the benchmark at 4.60. moving a few basis points higher. following again that hotter than expected cpi read. and this morning we're also watching some new comments from bridgewater's ray dalio speaking with cnbc earlier this morning, highlighting his concerns about signals in the public and the private debt markets. >> a debt death spiral. is that part. of the cycle. >> when you. >> when the debtor needs to. borrow money in order to pay debt service and it accelerates and then everybody sees that and they don't want to hold the debt. that's where we're approaching. >> all right. some serious concerns there from ray dalio. we also want to look at the energy markets taking a look at oil. oil on pace for a losing week right now. but there's a new iea report that was released this morning that shows that global demand is expected to grow in 2025. still we're looking at the oil markets right

now. wti crude the us benchmark down 1.5% actually hitting its lows this morning. brant crude down just about the same. natural gas however moving higher. that's up right now about three and a third percent. okay. that is your setup. now i want to turn our attention back to the markets and some of your big money movers. let's start off with shares of applovin taking off after reporting better than expected earnings and guidance. applovin says it expects to see more traction as it improves its ai advertising models. also announcing plans to sell its mobile gaming business for 900 million shares of applovin, up over 28%. very different story for trade desk. just showed you a short time ago. shares plunging after missing revenue expectations and posting a weaker revenue forecast for the current quarter. shares of trade desk down just about 27% right now. also looking at shares of unilever falling in european trading after fourth quarter sales missed estimates. the company also announcing it's spinning off its ben and jerry's and magnum ice cream unit through a demerger or demerger. excuse me? with listings in amsterdam, london and new york. shares of unilever down just

about 7%. turning back to washington, d.c, and the latest developments out of the trump administration, with president trump meeting with the indian prime minister later today. immigration, trade and tariffs likely the key topics of that conversation. ahead of that sit down, the president is expected to announce details of his reciprocal tariff plan, giving more color from the oval office yesterday. >> are you. >> planning to sign an executive. >> order. on reciprocal tariffs, sir? >> yes. >> i am. in fact, i may do. >> it today. >> and if i. >> do. >> it today. >> i could almost. >> do it right now. >> would you like to talk about it? >> i don't want. >> to take anything. >> away from this. young lady's. >> day. >> because this. >> is her day. >> and i. >> may. >> do. it later. >> on, or i may. >> do it tomorrow morning. but we'll. >> be signing. reciprocal tariffs. >> the president also revealing he has spoken with russian president vladimir putin, saying the two have agreed to begin negotiations on ending the war in ukraine following this week's prisoner swap between russia and the u.s. meanwhile, on the doge front, a federal judge is

clearing the way for tens of thousands of government workers to take a buyout from the trump administration after a brief pause. speaking virtually overnight at a summit in dubai, elon musk said he is tripling down on the white house push to radically cut government spending. >> reducing the size of. government and making the government much more accountable to the people. >> i think is going. >> to lead to a better outcome for the people we really have here. a rule of the bureaucracy as opposed to rule of the people. >> democracy. >> those comments from elon musk come as he and his team continue their federal agency crackdown, expanding to the department of education, cfpb and even nasa for much more. let's bring in ed mills, washington policy analyst at raymond james. ed, good morning. good to see you. >> good morning frank. >> all right. so let's start off with elon musk. if you don't mind, we just heard from him a second ago. we got him talking about deleting entire federal agencies. and at the same time, he's a big time government contractor expected to get a $400 million contract from

defense this year. if you look at some reports getting about $13 billion in federal contracts over the last five years, how concerning is this. if you're looking at the us government, either from the outside or even from the inside, about some of the self-dealing? should more people be raising some questions about exactly what elon musk is doing and his conflicts of interest? >> frank. that is a huge question. i think it's a huge issue. and i do think if you take a step back, one of the fundamental questions has been is if you delete a government employee, is that service deleted or does it shift over to a contractor? what we've seen for 30 plus years here in washington, dc is the size of the federal government workforce has actually been relatively flat. you've seen huge increases in state and local governments, but where you've seen the increase is over to government contractors. so when he's talking about deleting agencies or reducing the workforce, is it going to be a shift from civil

servants over to government it, government contractors, folks like elon musk that will get the direct dollars versus having a group of civil servants. that's a political decision to be made, but it's also a congressional decision to be made. the only person that has authority or the agencies that have authority is congress working with the president to decide which agencies actually exist. i think donald trump is going to push as much as he can to see whether or not he can do more deletion in the executive branch than was previously possible. but the elon musk question huge question, frank, and it's a question i'm getting a lot here at raymond james. >> i mean, clearly a very big question. i'm not surprised you're getting a lot of incoming questions about it. another question. we're talking about the indian prime minister coming to dc today. one of the people he's going to meet with is elon musk. if you're a foreign government, a foreign leader or a foreign business, some of this idea that elon musk has so much power over the federal government, someone who is not an elected official, you see agencies being deleted. you see a lot of this unrest. does that

change at least the idea of foreign governments and companies? does it change the view of the us when it comes to investability and maybe even stability in a corporate sense? >> i don't think it is just yet, frank. i think that what you would see is any prime minister coming to the united states, a head of state usually is meeting with the president and really kind of important business leaders of the country. the elevation of elon musk is in an unusual situation here in the united states. i do think that there's a lot of business interest that musk has in india. we're going to see kind of also conversations with other business leaders. what is the opportunity for kind of the united states to deal with a free trade agreement ultimately with india? is that an opportunity for tim cook and apple and other tech companies? when i've talked to folks in and around the trump administration, they say we hate india because of how high their tariffs are, but. >> we. >> also love india because of how high their tariffs are,

because that's an opportunity for president trump to cut a deal, potentially with him and open up the kind of indian market, a billion plus individuals, consumers to us goods. they view that as a huge opportunity. >> so i want to talk to you also about treasury offering ukraine and president zelenskyy an economic partnership deal. that's what they're calling it. but at the same time, kind of eyeing the nation's natural resources. we also know that the president and the russian president, vladimir putin, are discussing trying to end the war. i just want to get your take on this idea that, you know, the us is offering a partnership and an economic partnership deal, but they want something back in return. just your view on that. >> yeah. trump is transactional. we have seen kind of from day one on the energy executive order. frank. that energy includes rare earth minerals, critical minerals. we've seen the administration identify different portions of critical minerals and rare earth minerals that are necessary for our national security and for our

supply chains. this was first started by president biden. and so when you look at kind of the rare earth minerals that exist in ukraine, donald trump says, hey, that could. solve one of our national security problems. there is a linked interest here. the conversations about greenland, a lot of that is about rare earth minerals, the debates that are going to go on with the united states and canada. a lot of that is going to be about rare earth minerals. so it's not a topic that we talk about every single day. but in my mind, kind of making sure the united states changes its supply chains de-risks from china is going to be a critical part of what donald trump wants to do now for negotiations with ukraine. it does look, after a 90 minute phone call between trump and putin. they're going to want to meet. is zelensky a part of that? and what the outcome of those deals? unanswered questions at this point, frank. >> and just a number of questions that i'm sure you're going to be getting a lot more questions today at mills. thank you very much. great to see you as always. >> thank you.

>> sticking with washington, house republicans are releasing their budget plan that looks to push many of president trump's top domestic priorities forward. that includes providing for up to $4.5 trillion in tax cuts and a $4 trillion increase in the debt limit. the house budget committee is expected to hold votes on the plan later today. all right. coming up here on worldwide exchange, the ongoing saga between sam altman and elon musk over openai taking a brand new twist. we're back with that new twist. we're back with that story and much mor at morgan stanley, old school hard work meets bold new thinking. to help you see untapped possibilities and relentlessly work with you to make them real. number one best run college in america by the princeton review. employers value hpa's real world preparation. students love unprecedented access to global leaders on high point's

inspiring campus, and parents appreciate hpa's god, family, and country values. choose to be extraordinary. >> at high point university. >> sure, vistaprint prints business. >> cards. >> but we also print. these and those and engrave that. we print your brand on everything so customers. >> can notice you. >> remember you. >> and fall in love with you if you need it. we print it with 25% off for. new customers. >> at vistaprint. com. >> use every man, jack. >> so you still. >> smell good. ride your mountain bike. >> but you still. smell good. >> fall down a mountain. >> but you still smell good. >> late to. >> see some friends, but you still smell good. >> 16 million americans suffer from chronic. >> back pain. >> the six most costly. >> health condition in the us. >> meet creative. >> medical technology. stock symbol sells on the nasdaq. >> creators of. >> stem spine. >> a regenerative medicine using stem. >> cells to help fix the multibillion dollar chronic

back. >> pain problem. stem spine was shown to be. >> 87% effective. >> at improving mobility and reducing. >> chronic back pain, and that could. >> be. >> worth a fortune. >> creative medical. technology stock symbol sells. >> you know the timber tech products compared to wood, it's really the only product that i've personally found that has that look and feel of wood. it's the closest thing to. it in the world of composites. >> you just really need to. >> look at it. they've nailed. >> the. >> colors on this. >> there's a. >> great range. >> of color in there. >> the grain. >> pattern. >> the comb look to it is fantastic. it doesn't have. >> that like weird. plasticky look. it just looks. >> like it's supposed to be there. >> it looks like what you. want it to look like. it looks. >> like your. investment made sense. >> buying a car is kind of a big deal. you need to see. >> all the options. see. she knows. cargurus gives you the most. >> new and. >> used cars. >> right in your hand, so you know your big deal is the best deal. cargurus the number one most. >> visited car shopping site.

>> welcome back. >> to worldwide exchange. let's get a check on some of this morning's top corporate stories, including the latest in the war of words between elon musk and sam altman. our silvana henao is here with that story and much more. savannah. good morning. >> hey. >> frank. >> good morning to you. well, reuters reporting. >> lawyers for. >> elon musk. >> say their client is. >> willing to withdraw. >> his nearly. >> $100 billion bid. >> for openai's. >> nonprofit arm. >> if the. >> ai startups board. >> agrees to keep the. >> nonprofit's mission. >> in place. >> in a new filing, openai. >> argues musk's bid contradicts his own legal. >> claims. >> suggesting he would. >> seek to. >> transfer all. >> of openai's assets to. himself and his private investors. >> the fcc, announcing. >> plans to open an. >> investigation into this. >> network's parent. >> company, comcast. >> the agency says it. >> will. >> specifically look. >> at. >> comcast's dei initiatives. >> and whether they violate. fcc rules. >> now, in a statement, comcast saying. >> in part. >> the. >> company has. >> been built.

>> on a foundation of integrity. >> and respect for its employees and customers. >> and jpmorgan ceo jamie dimon, jamie dimon slamming calls from some employees calling on the bank to ease its five day in-office work policy. multiple reports, citing a recording. >> of a recent jp. >> morgan town hall, says diamond. told workers not to waste time on a petition while demanding more efficiency. diamond also stressing employees have a choice whether. >> to work at. >> jp morgan or not. >> frank. >> there are a couple other words in there. savannah. i read the reports. there were a few others, very choice. >> words about that. >> petition in particular. >> right. >> jamie dimon saying, you got to get in here five days a week. he's following the lead of a lot of other ceos, to be fair, but other companies have more flexible policies. so postpandemic doesn't seem like we really resolved. >> it yet. we'll see. >> all right. coming up here, savannah. thank you. all right. coming up here on worldwide exchange, sap ceo christian klein on a new partnership as the european tech giant makes a new big bet around artificial intelligence. that coming up to

cnbc exclusive next. >> nothing stands still. not technology, not the market, and not franklin templeton. we've been a firm in motion for over 75 years, always innovating. today, we're a leader in public and private markets, digital assets and custom tax management, empowering advisors with solutions to build the portfolios of the future today. franklin templeton, your trusted partner for what's ahead? >> what if you could tackle your dog's itching, paw licking, soft stools and low energy with a simple three minute change to their diet? millions of pet parents are raving about doctor marty nature's blend, the anti kibble breakthrough that's helping dogs act like puppies. again. such a huge difference in your health. >> more energy, more playful. >> no more pooping issues. he's healthier. he looks better. >> this is my way. >> more energetic dog. >> i'm doctor marty. >> i've been a veterinarian. >> for more than 50 years. the dangerous ingredients added to many pet foods could be

impacting your dog's lifespan. that's why. >> i formulated. >> nature's blend. >> now you can feed your dog wholesome cuts of real meat, vegetables and fruit with no artificial preservatives or fillers. unlike fresh food, nature's blend is gently freeze dried. this means extraordinary health benefits, but with zero prep, zero fridge and zero mess. i just feed her. >> right. out of the bag. she's obsessed. with this food. thank you, doctor marty. >> and for a. >> limited time. >> get up to 54%. >> off with our special. >> tv offer. >> call or. >> go to doctor. marty pets.com. >> forward slash tv. >> high point university, the. >> premier life. >> skills university, is ranked the number one best run college in america by the princeton review. employers value hpa's real world preparation. students

love unprecedented access to global leaders on high points, inspiring campus, and parents appreciate hpa's god, family, and country values. choose to be extraordinary at high. point university. >> selling a car. >> is a big deal. >> you've had. >> some big moments, okay? and some wrong turns. >> but when. you're ready to sell, car gurus is a. >> big help. get multiple offers instantly. >> so you choose the best deal. car gurus the number one most visited. >> car shopping site. >> welcome back to worldwide exchange. new. this morning, european tech giant sap is announcing a partnership with data analytics startup databricks that will be called business data cloud. s&p will embed databricks tech into its leading enterprise resource planning software that handles financials, human resources, supply chain, and more. sap's copilot, joe, will then work with ai agents across those different functions. i sat down with databricks ceo ali ghodsi and sap ceo christian klein, who

spoke exclusively with cnbc about the partnership and much more. >> what we are doing is. >> we are building the industry. >> led tech platform for. >> data. >> and so we are opening up. data to match sap. >> and non-sap data. >> so that companies have a 100% accurate. >> view on their consumers. >> on their suppliers. >> on. >> their total workforce, on. >> their balance sheet. >> on their financials. and with that, when you have high quality. >> data. >> ai can unfold enormous value. >> how does this partnership, how does it separate itself from the rest of the pack? what makes it different specifically for your customers? >> yeah, yeah. happy to. >> share with you, frank. look, i mean. ai has enormous value, as i said, but what every company is. >> really. >> struggling with. >> is bad. >> data quality and with having bad data quality. ai has only little value. and now what. >> we. >> are doing. >> sap sits on a big treasure. we are actually having access. >> to. >> the world's. most mission critical business data. now we are saying we are opening up the

business data of. sap and we are matching non-sap data to it with databricks so companies can build one harmonized data layer for. >> their. >> end to end value chain. >> i think for us. >> this is game changing. we've been working. >> on it. >> one year. with christian klein. >> the ceo of sap. >> and this. >> is. >> sort of an. >> oem or white label as it's called, which is the whole product. >> appears inside sap. >> so all of databricks. so the way i think about it is the. >> most important. >> enterprise data on the planet. >> today is actually. >> sap data. >> it's sitting. >> in these. enterprise resource planning. >> systems. >> and now. >> you're marrying it with. >> the best data. >> platform in the market. >> in addition to their partnership, i spoke with the databricks ceo about the impact of deep sea and the sapko, about what customers are doing in response to tariffs and potential tariffs in europe and other regions. >> when i'm talking. >> to other ceos these. >> days, clearly a big topic. >> is around the. >> fragmentation of supply chains. >> and you. >> localize more and more to supply.

>> chains to have not. >> the risk of, you know, tariffs. >> or actually. >> getting hit by by other regulations. you know, across the world is an amazing company. >> they have a head start. and i'm saying i'm not saying. >> you don't need their chips. >> i'm saying that you need. >> different types of chips. you need those that are used for inference. >> so it's. >> just. >> the needs are changing quickly. >> also this belief that we need to. >> have one. >> gigantic cluster with all. the gpus very close to each other. >> on a fast network. >> that's also changing. >> with this paradigm they can be distributed. >> so i do. >> think if, you know, if you go in and make huge investments in one particular setting of data centers. >> this shows that, hey, maybe that was not the best way to set. >> up that infrastructure. >> and if you want to see my full interviews with both ceos, that's available right now on cnbc.com. all right. coming up here on worldwide exchange where our next guest is betting on energy despite oil being in the red to start the year. we'll be red to start the year. we'll be right back a (vo) sail through the heart of historic cities and unforgettable scenery with viking.

unpack once, and get closer to iconic landmarks, local life, and cultural treasures. because when you experience europe on a viking longship, you'll spend less time getting there and more time being there. viking. exploring the world in comfort. nerves. the pain can be excruciating, and there. >> is. >> no fda approved. treatment for this disease. now, okiyo pharma is racing to become the first. >> biotech ever. with a. drug to. treat ncp. >> okiyo the. first to initiate a phase two clinical trial for. >> this disease. lead clinical site is tufts medical center. okiyo pharma's drug. >> if approved by. >> the fda, would be the first ever craig here pays too much for business wireless. so he sublet half his real estate office... to a pet shop.

there's a smarter way to save. comcast business mobile. you could save up to an incredible 70% on your wireless bill. so you don't have to compromise. powering smarter savings. powering possibilities. switch to comcast business internet and mobile and find out how to get the new samsung galaxy s25+ on us with a qualifying trade in. don't wait, call, click or visit an xfinity store today. [dramatic music] [engine starting] ♪ [car crashing] improve your skin at omni luxe ledcom. >> we know he wants to hold on

to the nba. how much more will he have. >> to pay? >> a lot of the revenue streams are guaranteed. >> the countdown is on. cnbc sport official nba team valuations revealed tomorrow in squawk box. the day's top. >> stories. >> driving wall street brian. >> sullivan joins. >> kelly evans power lunch, weekdays. >> two eastern. >> cnbc. >> every day. >> i'm reading extensively. i'm checking the markets throughout the trading session, working the phones. >> talking to sources. >> and doing my own. reporting to share. >> insights. >> information and all of. >> the details. >> that you need to be. >> able to make money. >> all right. welcome back to worldwide exchange. stocks are coming off a bit of a mixed session following that hotter than expected cpi report, which is pushing investors to further scale back hopes for rate cuts this year. they're now pricing in a move of 28 basis points, which is equivalent to just one cut. take a look at futures now in the green across the board we saw the s&p and the dow fractionally lower. all three

are in the green right now. the dow looks like it would open up just fractionally higher. let's bring in mark smith, senior vp and portfolio manager at wells fargo advisors. mark good morning. always good to see you. >> hey frank. >> thanks again for having me on the early risers club. >> always good to have you. mark what's your word of the day. how do you see today shaping up. >> over concentration. when i talk to my. >> clients. >> i see that. >> a lot. >> of them are over concentrated in. >> a number. >> of sectors. tech. >> being probably the biggest of. >> everyone, looks at. >> their. portfolio that's watching. >> now. they'll see. that tech is kind of. >> propelled their portfolio, and. >> it's obviously. >> done great over the last. >> two years. >> but if you get over. >> concentrated. >> you could you could. >> possibly give up a lot of your returns that you've had over the last. >> couple of years. >> so that's my word of the day. >> all right. you got a couple of contrarian opinions right now. i want to get to one of your first ones i think is just a bit moving differently in the rest of the market is what's your pick for today and why? >> well, i like energy. >> i like momentum. energy is up 6.4% year to date. and last year, if you. >> remember, it was one of the

worst. >> performing sectors in. >> the s&p 500. so given. >> the geopolitical risk that's coming out of the middle east, we're talking about saturday being a noon deadline. >> out of. >> the white house for potential more unrest in the region. >> i like. >> the space not. only because. >> of last year. >> but. >> because of. the possible geopolitical risks. >> all right. but on the same i guess on the other side of that coin, aren't tariffs potentially going to weaken economic growth around the world? and wouldn't that dampen oil demand? a big part of that energy picture. >> it could. >> but i do think that going forward, you. might see. >> because of the easing that's coming out of china, you might see that one of the. world's largest economy pick up steam. >> and if. >> that happens, you're going. >> to see a huge demand for energy. i think you're also. >> going to see. >> out of. the energy companies in the us. >> that. >> you know, given all the ai infrastructure and the drive for demand for power to fuel all this stuff, i. >> think that could. >> be another catalyst. >> all right. also coming off jay powell on capitol hill for two days, you actually believe

that a hike might be more more likely than an actual cut. we were just talking about just one cut being priced in. do you think there's potential for a hike to come up this year? >> yeah. >> i mean, listen. >> when i was on cnbc. last year. >> i was shocked that they even did. >> they lowered rates. so given what's. >> going on, right, right now with the last cpi report and what's. >> going coming out of the white. >> house. >> everything. >> all. the policies with trade is very inflationary. >> and when. >> you think about. >> inflation, it's the price of goods going up. i don't i haven't heard of one company saying they're going to keep prices the same, given what's going on with trade wars coming out of. >> the white house. >> and so. >> that is an inflationary policy. so if we follow chairman powell's words of 2.2% being the goal here. i have to think that the only weapon they have at the fed is to raise rates if these policies continue. >> all right. mark smith from wells fargo advisors, your pick for us today. the xle putting a bet on energy this morning. great to see you as always. thank you very much.

>> thanks, rick. >> all right one more quick look at futures. as we just mentioned. we just saw the s&p and the dow just turn into the green just a short time ago. the s&p up fractionally dow similar story. looks like the dow would open up just about 16 points higher. the nasdaq still up about 30 points. we continue to see that move higher throughout the morning. that's going to do it for us here on worldwide exchange. coming up we've got squawk box. you have a great day. >> good morning. lawyers for elon musk says he will drop his bid to buy openai if the company abandons its plans to convert to a for profit company. overnight, alibaba's chairman confirming a partnership to bring its ai softwareo apple's iphones in china. china. jamie dimon sounding off on workers who have signed a public petition now to reverse seeking to reverse the bank's in office policy. he. yeah, he used some words we can't repeat onv, but we

might. anyway. it's thursday, february 13th, 2025. squawk box begins right now. >> good morning, everybody, and welcome to squawk box right here on cnbc. we're live from the nasdaq market site in times square. i'm becky quick along with joe kernan and andrew ross sorkin. >> we're here. made it to thursday. >> we did. >> market survived yesterday. >> and actually. >> did better. >> than we saw. >> at 830. >> when those numbers came out. >> we did. >> see both the s&p and the dow down for. >> the third. >> session in. >> a row. >> but look. >> it was not the declines that we had seen right at 830. but guess what. we get to do it today again. >> with. >> the ppe. at 830 with the ppi numbers. >> those are words we can't use ppe. >> no, i don't. >> think that's what. >> you said. >> because