from the time he was elected, president trump has watched the >> the problem that i have is with the fed, the fed is going wild. i mean, i don't know what their problem is, they are raising interest rates and it's ridiculous. lauren: fed under fire, the president blaming central bank for massive losses, dow futures are down 1.1%, 290 points on the dow, nasdaq down 62. cheryl: dow plunging yesterday worries about global growth and rising interest rates pressuring stocks. there are the closing numbers. pretty rough day for the market

wednesday. lauren: ftse is down 123 points, cac in paris down 72 and dax down 134. cheryl: stocks in asia, nikkei down nearly 4% overnight and shanghai composite down 5%. lauren: 3.1%. cheryl: oil prices also a concern. we crossed 75 bucks. that's down 1.10. lauren: not the only damage of the market. we are also tracking the damage from hurricane matthew. please stay with us because fbn:am starts right now. ♪ cheryl: 5:01 a.m. in new york, thursday, it's october 11th, good morning, i'm cheryl casone.

lauren: good morning, everybody, i'm lauren simonetti, what a day yesterday? the wheels came out of of the bus from no where. cheryl: people say we shouldn't be surprise, laura mentioned, the bleeding could continue into today. lauren: tracee carrasco joins with more on the selloff we saw yesterday and we are seeing this morning, tracee, what's going on? tracee: yes, good morning, it could be another day of big losses, taking a look at u.s. stock market futures, all firmly in the red right now. we are seeing dow futures down by 297 points, s&p down 27 and a half, nasdaq down by 67. can you believe it was just one week ago that dow hit all-time high coming within 50 points of 27,000. dow saw worst day since february 8th tumbling 831 points

losing 3.1%, losses across the board for all 30 dow components. 11 s&p 500 sectors saw losses and nasdaq fell 315 points. 4.1% biggest decline sign june 2016 with concerns of interest rates, tech stocks fell 4.8% to leave broader index lower, the sector's worst day of trading since 2011, industrial, consumer discretionary, big tech stocks suffering, amazon lost 2% of its value and has entered into correction territory. apple, google declines more than 4% while netflix dropped more than 8% and cboe volatility

index surge today highest levels since february. now at 24%, reminiscent of the selloff this year that sent major indexes to territory, while it feels like selloff doesn't make the best top 20. cheryl: almost 27,000 range, you to take it into context. lauren: we came within 50 points to 27,000 last week, tracee thank you very much. cheryl: president trump decide today slam the federal reserve for yesterday's selloff. we told you about that in an exclusive interview with fox news shannon bream. >> the dow today a lot of folks concerned about what they saw. i know that you've had theories on that, some critics say it's in part of trade war with china.

>> no, i don't think. we are taking billions of dollars in tariffs in china, chinese goods and hasn't hurt us at all. we are taking billions and billions of dollars, we will make product here that we are now buying in china. no, that wasn't it. the problem that i have is with the fed. the fed is going wild. i mean, i don't know what their problem is but they are raising interest rates and it's ridiculous because we are winning, i don't call them trade wars, i say we are doing, you know, a little bit of battle, not much but china, we put $250 billion worth of tariffs and potential tariffs at 25% and we have 267 billion more if i want to do it but they want to make a deal. cheryl: well, for weeks president trump has been critical of fed chair jarome powell's campaign to gradually raise interest rates, we will talk more about that interview a

little bit later on the show. lauren: let's do it right now. jimmy lee and gary smith, they join us now. gentlemen, good morning. gary, let's start with you, what happened between yesterday and the day before, why extreme selling yesterday? >> yeah, you know, it's funny, it looked like a one-off event and i looked back since 1988, 3% down day, we've had 77, 3% down days, i hate to minimize it but i think it's just normal selling, since the march lows, the market went straight up, almost 13%. it's still having a good year across board, stocks like amazon and netflix are still up by healthy percentages, i think that this was just a normal selling to get selling, people

worried about china, people worried about interest rates, you know, maybe, maybe not. it's probably healthy for the market in the long term. lauren: including the losses that we are seeing today is down 6 days in a row, jimmy, what do you make of the timing and the sense that we have earnings, big banks start reporting big third numbers on friday, wells fargo, jpmorgan, citigroup, we are concerned about input costs going up, we are concerned about china, what do you make ahead of earnings? >> sure, i think you will hear a lot of the rhetoric, thank goodness it's going up, taking risks to taking profits at the moment, as your previous guest just mentioned, not that big of a deal, we've had two corrections, this is no time to panic. in my opinion there's probably buying opinion for the short term, good correction, we've had

clients sitting on cash and this is great opportunity for investors like that. lauren: you guys are very optimistic but there's a sea change going on in the market and that's the fact unusual move is happening between stocks and bonds, they are both selling off at the same time, does that signal to you, gary, more selling, more volatility is till to come? >> well, definitely any time you have 3% down day and we end near lows, that's signal that they'll be more volatility. people have been comfortable as jimmy alluded to putting cash back, first reaction, this morning when they see futures, call broker and say get me out of here and a lot of it just depends on people's time frames, a lot of people in this market have not experienced any correction of any note, they are in after 2008, so i think they'll be more volatility but, yeah, i agree i think they'll be more buying opportunity in the

days ahead. lauren: if you have the stomach for it this could be buying opportunity. jimmy, we have been saying the economy is strong, the only sector that seems to be lagging is the housing market, look, now we have the latest rate on 30-year fixed mortgage 5.05%, that's the magic number, 5%, do you think higher rates, higher mortgages are going to hurt a lot of americans out there in. >> well, it's definitely not a good thing but let's put it everything into perspective, 5% still is still low interest rate for 30-year loan in long-term perspective. investors need to relax a little bit. be calm and still, think about the long-term, think about your goals, make sure your portfolios are align today objectives, something like this is expected. i wouldn't be surprise if we go down further. don't panic, use it as opportunities to maybe get money

to work, buy quality, right now is a good time to buy quality and buy into names that, you know, if you think about technology, for example, lawsuit of the names have been hit are still up a ton, diversification is important as always. lauren: all i know that i pushed both of you, i tried to get you something negative about 188-point selloff and you guys are bull. thank you for the optimism as dow futures are down 323 points. [laughter] lauren: bye, guys. cheryl: before we do go to break, let's take a look at futures and show you where we are right now, the selling is escalating as we speak and we are watching the numbers go down, s&p is down 31 and a quarter, nasdaq down 78 but remember it's not where we open, it's where we close, we have a lot more coming up on your markets and also we haven't seen a booming economy and growing job market but is good news on the economy turning bo bad news

for stock investors, plus recovering tropical storm michael now a tropical storm, but michael has claimed at least 2 lives, trail of catastrophic trail up and down the florida coast. >> the wind was so strong and with the trees you could just hear about every tree cracking and breaking. trust me, this is snag you never wanting to through. cheryl: the threat isn't over, we will go to panamá beach, one of the hardest-hit areas by michael. you're watching fbn:am.

cheryl: after yesterday's 831 point drop on the dow jones industrial average, nasdaq and s&p in the red, the selling continuing this morning, right now dow is down 302, projected loss of more than 1%. s&p on 28, projected loss of 1%, nasdaq 68 to the red. lauren: the other big story is the hurricane michael now downgraded to tropical storm but did leave trail of catastrophic damage up and down coast, panaáa city are waking up to destroyed buildings, down trees and pretty heavy flooding. cheryl: jeff flock live in panamá beach, how are things looking this morning? >> well, cheryl, the towns of panamá city and panama city beach, the most popular areas hit by the storm yesterday but not a direct hit fortunately although i tell you, you can see the damage behind me as well as

in panamá city places there, for example, roof torn off of a high school, destroyed buildings knocked down, that sort of thing, fortunately i think the positive news is that the center of circulation, the very worst of the winds were just to the east of panamá city in the near town called mexico beach. that is a smaller town only about a thousand folks there and, of course, real trouble for all of those folks but that less populated area, there are literally tens of thousands of people in panamá city and panama city beach. the damage here i wouldn't call it devastation at all. certainly a lot of windows blown out, roofs damaged, that sort of thing and ruptured lines like i don't know if you're able to see behind me live there's a water line here, we tried to find a way to shut that off unfortunately not able to find a way. there's not a shut-off valve,

that continues to run, not devastation here but close toa center circulation, that's where the 150-miles-per-hour winds were. we took quite a beating here, i get to be cliché about it but it certainly could have been worse but there are places that got the worst of it unfortunately fairly con fined, herl. lauren: posing a threat inland with rain and power outages. cheryl: fox news meteorologist janice dean is tracking the storm of the path and now here with the latest on where michael is at this hour, janice, good morning. janice: strongest hurricane to hit u.s. coastline since andrew in 1992. 155-miles-per-hour sustained winds goes down in history books

certainly, peak wind gusts, panamá city 80 miles per hour, tallahassee 71 miles per hour, the storm is a tropical storm, we got the 5:00 a.m. advisory, 5-miles-per-hour sustained winds. still going to see tropical storm wind gusts on the east side of this, tornado watch in effect for the next several hours, we could see weak tornadoes with structural damage and then the heavy rainfall ahead of it. here is the track, it will be done and out of here by tomorrow afternoon which is great news but, of course, in its path areas that were hard hit by florence, so several inches of rainfall in some cases 4 to 6, maybe 8-inches of rain on some of these saturated ground so we could see additional tree damage across the carolinas because of what happened with florence and friday out of here but man what a record-maker, incredible system that crushed florida panhandle, guillermo and carolinas, additional rainfall, 2 to 6, isolated 6 imps getting

up here to northeast on friday and the flood threat will be on going with flood warnings in effect for the carolinas that were hard hit by florence but what a storm, what a storm. lauren: a storm of a lifetime. janice: yes, absolutely. lauren: -- janice, thank you. cheryl: right now dow is down 288 in premarket, s&p down 26 and change, nasdaq is down 61 and 3 quarters. now president trump is not menacing words of who he think is responsible. >> i think the fed is making a mistake, i think the fed has gone crazy. cheryl: but is the fed really to blame and why some are now pointing the finger at former fed chair ben bernanke, you're

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lauren: 522 in the east, if you're just waking up you're looking for another day of pretty intense selling for the 401(k), major averages building 3 plus percent losses, futures all down about 1%, stocks are at lowest levels since february while the fear gauge at highest levels since february. cheryl: you know, president trump is blaming the federal reserve's interest rate hikes for yesterday's stock market plunge, the president did not menace words -- mince words. >> i think the fed is so tight, i think the fed has gone crazy, actually it's a correction that we have been waiting for for a long time.

cheryl: so is the fed crazy, let's bring in craig, chief economist, craig, is the fed to blame for what we are seeing here, do you agree with the president? >> well, hey, good morning, i don't know that i would say the fed is to blame per se, certainly rising interest rates or what is causing the volatile -- volatility in stocks, same thing happened in early february when treasury yields take higher and other asset valuations trying to adjust accordingly and that as president trump said we have been waiting for this certainly when asset values are propped up by low interest rates for so long, wind rates are to rise, you expect to see unwind of that, that's exactly what we are seeing right now, agree that this is being caused by higher interest rates but i don't think i would describe blame to the fed per se. cheryl: there's op-ed basically

where we have been frankly zero interest rates and they point to ben bernanke, during financial crisis and bank of japan we should also say european central bank that we don't know if this was really the right thing to do, now, our markets, our economy has recovered but they say, look, it's clear only at the end of the cycle when the fed has to unwind comoddations and interest rates rise which you can say was normal economy in an normal environment? >> yeah, look, i agree that you have to look at totality of policy psych toll determine exactly how successful it was. that's only one to have measures, the other did it prevent economy from going into deeper recession. very easy -- exactly. they have

limited policy tools to do that and they were fighting a counterregulatory regime during the time. you had weak growth. at no point during the cycle really only for a period of 3 to 4 months did we see inflation above 2% and quickly pulled back, that was 2012 when everybody said they should have hiked and they didn't. cheryl: there was a lot of criticism on the fed you're right, it wasn't bernanke that was slow to raise rates but janet yellen picked up where he left off and had the same philosophy, real quick, former head of penco had colorful things to say about selloff, the example i would use changing engines of a plane in mid flight, transitions from a market led by central banks led by fundamentals, do you agree? >> i agree. the problem with the analogy is

you can't land the plane and change the engine and take back off. you have to do at mid-flight, it could be bumpy and we would see volatility, extension of the new normal, the new normal will be a lot more volatility every time interest rates inch higher you will see more volatility. cheryl: bond yields responding to faster growth, we've got an economy that's growing, we are 4%. so this shouldn't be a big shock, i think, to anybody, but seems to be, craig, thank you for being here, good to see you, sir. >> thank you, good morning. lauren: that's optimistic, stock index futures don't seem to like it or responding to in negative way. dow futures down 283, nasdaq down 58. still ahead, october typically thought to be the most volatile month for stocks, so did yesterday's selloff confirm what's been spooking investors for decades? are they feeling the october

effect? maybe everything is better next month in november. >> i'm going to lose everything. i don't want to cry on the camera, this is what we have to deal with.

>> the problem that i have is with the fed, the fed is going wild. i mean, i don't know what their problem is but they are raising interest rates and it's ridiculous. cheryl: fed under fire, the president blaming central bank for yesterday's massive selloff and the selling continues this morning. taking a look at futures right now. dow, well, that's yesterday's close excuse us. here futures, down 267, nasdaq is down 58 and a half. lauren: let's show you yesterday because this was bad damage, the dow was 831 points, s&p down 95,

nasdaq fell 315, we are worried about global growth slowing and interest rates rising. cheryl: damage spilling over into european stocks this morning, all of these markets in europe opening up sharply lower following on the heels of u.s. markets. lauren: much worse in asia, check out the nikkei and japan down almost 4%, the kospi down 4 and a half percent and the shanghai composite down 5 and a quarter. cheryl: we continue to watch yields on the 10-year treasury which some are blame forking the selloff. right now the yield at 3.16%, we are down 2 basis points this morning, again, yesterday that was a big story. lauren: yesterday we saw oil at $75 a barrel. almost 2% at 71.83. cheryl: we are tracking our other big story this morning, devastating damage in the wake of hurricane michael, we are going to have live report for

you from tallahassee, florida. fbn:am continues right now. ♪ ♪ cheryl: 5:32 a.m. in the morning, thursday october 11th, the morning after, good morning, i'm cheryl casone. lauren: good morning. i want to fast-forward to november, i'm lauren simonetti, the santa claus rally in november, bring it now. it was a brutal day for investors yesterday and as we have been telling you, the bleeding continues this morning, no relief at least not now. cheryl: tracee carrasco joins with more on the market selloff, good morning. tracee: good morning, another day of big losses, let's take a look at u.s. stock market futures all firmly in the red, duh futures down 264 points, can you believe it was just one week ago that the dow hit all-time high coming within 50 points of

27,000, with concerns over bond yeedz and rising interest rates, tech stocks fell 4.8% to lead the broad index lower, the sector's worst day of trading since 2011. energy, consumer discretionary, communications, big tech stock suffering, amazon lost 2.2% of its value, the stock entered into correction territory, apple, facebook and google reported declines of more than 4% on the day while netflix dropped more than 8% and the cbeo volatility index surge today highest level since february, now at 24%, reminiscent of the selloff earlier this year that sends major indexes into correction territory, while it feels like a bad selloff doesn't make top 80 market selloff. lauren: pretty good perspective, tracee, a lot of recalibration going on. tracee: definitely. lauren: tracee, thank you very

much. cheryl: let's break this down even more, folks, good morning. >> good morning. cheryl: should we be that surprise by yesterday's selloff, the fundamentals, the reasons we are seeing blame, treasury yields or the trade war, concerns over valuation and technology, dominic, were you surprised by the drop? >> no, and if you weren't surprised you really weren't paying attention. we have been talking about all of the issues both globally and here in the u.s. and the economic cycle we are in right now and saying, look, the potential out there for this thing to go bad and kind of everybody was ignoring those issues and just looking at the glass half full, now i think the exact opposite, people are looking at the glass half empty, neither scenario is correct, be patient right now. cheryl: one of the things also too we have imf report that came out earlier this week, talking about slowing global growth and

that there was concerns that, again in this zero interest -- policy environment that we've had over the last decade, of course, that's changing now, whether it's bank of japan or ecb, or the european central bank, excuse me, this is a normal fundamental base market and that we are going to have some pain along the way. >> absolutely, even if growth slows, the concern with interest rates is the fed has been slow and steady and on the way up investors say that's fine, we know they are not going make drastic moves and kill the economy, the issue is when the economy starts to slow is the fed pushing interest rates, that will inflict pain. cheryl: talk about biggest losers, nike, microsoft, visa, boeing, apple, those were the biggest percentage losers but really technology was in focus, a lot of the big-name technology companies, look what happened with netflix yesterday, this is some would say, hey, this is a

buying opportunity but if you are going to make a move into technology you have to time it correctly, right? >> two things, if you look at the largest growth mutual funds, largest funds epa they own the five stocks, forces those stocks to get beat up way more than the rest of the s&p 500. having said that, i do think that you will have some good buying opportunities in here. i think you need to be slow and steady but these companies have not changed the dynamics that got them to all-time highs just a month ago, so the earnings are going to be there, the top line sales are going to be there, i think this will and ultimately be buying opportunity. cheryl: joe, what do you say of the same question, highing flying stocks went out of favor and some of the biggest that would call losers, sorry, general electric became one of the better stocks to own last week, what do you make of the switch-off, if you will? >> that's typically what

happened, bargain hunters come in for stocks that haven't done well, you saw statements do well, tech kind of took it in the shorts, that will happen as the market corrects. cheryl: dominic, the wall street journal made point, when it comes to selloff that we've had, they weren't talking about blaming ben bernanke, maybe the verdict is still out whether policies were the right move at the time. if the democrats win the house in november or the trade war escalates, that means that you're going to continue to have market under prediction, what do you say to that politics and trade war? >> this is basically what we are talking about, underlying issues that could potentially add to economic growth. the potential exists for a

negative outcome to this. certainly the net -- negative outcome for the year, once we see earnings and see what the companies do in the fourth quarter i think we will be fine. cheryl: joe, same question f we have any more major events whether it's politics and escalation in particular with china, do you think that takes the rails, we kind of continue to go off the rails like we are this morning 831 point loss that we had yesterday? >> i think volatility stays high here into the midterm elections, the potential for reversal of policy if the democrats take the house and senate is going to be a big risk for the economy because it was those policies that got us up near all-time highs to begin with. cheryl: if you're ben bernanke and seeing criticism about your former performances afed chairman that might be ruining his breakfast, i don't know. dominic, joe, great to have you on the show. >> thank you. lauren: coming up we will have

more on market selloff, global equities are responding and so u.s. futures, 67 looking at nasdaq, residents in florida also waking up this morning to devastating damage from hurricane michael. >> it came flying through the roof, all the trees snapping, sounded like a tornado. lauren: we are live in tallahassee right after this.

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lauren: we are looking at another selloff this morning, folks, dow futures down 266 points, we were down more than 300 a couple moments ago. nasdaq down 56. cheryl: we continue to watch your markets and continue to watch what's been happening in florida, florida's capital tallahassee hit hard by michael's winds and knocking power over a thousand homes. lauren: griff jenkins is live there this morning, what does it look like this morning. griff: good morning, i'm in tallahassee, we got out of the southern part of alligator point yesterday and made all the way the tallahassee, tree town usa, look at the tree behind me, it's just one of hundreds all over the city that is devastated homes but the officials here in leon county says he fell like he was really spared because of the

track of michael it could have been much worse, now, this morning you've got some hundred thousand plus without power, we have seen the emergency power crews getting around but we have also seen a lot of transformers down and a lot of power lines down, but, you know, officials felt they got lucky they got spared, they have 1300 people in roughly 7 shelters in leon county, i spoke a little, guys with the fema officials based out of tallahassee, they said they are ready to get going in predawn to start working south, the president, by the way, speaking at raleigh talked about unthinkable damage, here is what president trump said. >> so to a certain extent we don't know because it's so dark and all the electric is out but we hear there's a lot of damage and it's tremendous wind damage, tremendous, a lot of things are blown over, hopefully not houses with people in them.

griff: and as far as wind damage came here, even though officials say they felt spared they did get sustained winds of 74 miles an hour and some gusts that exceeded 90 miles an hour, guys. lauren: that's incredible winds, griff jenkins, thank you very much. cheryl: once again, we we wanted to talk to you about top story and that's what's happening in markets, futures are down again substantially, triple-digit losses predicted. dow is down 254 in premarket, nasdaq down 51. we shall see how we open and more importantly how we close today. when we come back, we will take a look at the global reaction to the selloff in the united states. sea of red around the world, you're watching fbn:am.

cheryl: looks like the selloff in u.s. markets is going to continue this morning, here is how we are set to open, again, prediction, but futures now dow futures down 235, we were done more than 300 at the beginning of the show so we are coming back a little bit here, s&p is down 21 and a half, nasdaq is down 47 and a quarter. lauren: there's a chance we end positive with a volatility that we have seen especially in the month of october, volatile month. let's dig in further with all of this, see how global markets are responding to selloff in the u.s. yesterday, we bring if fox business contributor and in london scott shellady, yes, good morning. >> good morning. lauren: china and japan down 4%, more than that kospi is at 18-month loan, what do you make of all that, jonas? >> rates were low particularly

low abroked -- abroad. nobody knows how consumers will react no terms of leasing things, buying planes, home prices are still baked in low mortgage rate, it's not that they are high, the speed they are going up and the fear that they might go to 5% on the 10-year here. lauren: flog quickly, jonas, is the fed to blame? >> it's reality with gone crazy, the bottom line is we might not need 5% rates, that's a fantasy of old people in the fed from what the history was, the new normal might be 3% rates, we shouldn't go a lot higher and if it happens quickly they will engineer a recession and that's legitimate risk. trump is hedging, blame on this, there's truth on that that we don't deserve or need significantly higher rates to

stop inflation. lauren: the markets, scott, seem to be unhedging themselves, what do you make of that? >> that was really what got people nervous yesterday but i like the two-thirds of the previous guest used speed and pace, i like to use velocity, the velocity of interest rates going higher and the velocity of the stock market going lower, those are going to be key things. at tend of the day, you know what, it's okay for the stock market to go lower, it's allowed to do that, we all act shocked when it finally does, however, 4.2% growth, 3.7% unemployment rate, there's still good reasons out there to think that the u.s. economy is just taking stock, no punt intended and taking a breather before you can get feet underneath us. i'm worry about the stock market going up for no good reason than selling off for a couple of good reasons that we are all going to talk about today, at tend of the day, the u.s. economy is still pretty healthy. lauren: dominic, gary earlier,

jimmy and joe, everybody positive on the selloff, are you jonas? >> i'm not as positive on the selloff. i wish we could be. lauren: me neither, by the way. >> the economy looked good in 2000, 2007, you don't know what causes the next crisis, it could be the valuations, i'm suspicious of how engineer we are to interest rates, i don't think we fully squeezed that out from '07 crash, there's still questionable debt in places like italy and we don't really know, if it levels out at these levels the market will come back and everything will be fine, you have the overhang and the tech overindulgence and scares me. lauren: you can pick your poison with tech, trade, tariffs with china, could be regulation that people fear is coming, it could be your privacy at risk, what do

you make of the recalibration, rotation out of the high flying sector this year, scott? >> everything you just mentioned have all been very well known and talked about already, a lot of the mentality, the market was up 44% since donald trump was elected, if we take 5, 7, 8% out of it, that's understandable and that's okay, like i said, i'm more nervous about the market going up for no reason than taking a little off the top here and the people who are going to be hurt retirees and those looking forward retiring soon, but it's not calamities in my mind. it's going to be okay. look, again, we are going -- today will be a day about excuses and i don't like that and we are going in earnings, they are going to be good. at the end to have day, the reason the market is selling off is good reasons and ultimately when we catch our breath, there's a lot of money that

voted with their hearts and not their minds and missed the last 40% and they will want to get in and they will be on sale. lauren: luxury stocks, tiffany, michael kors, lbmh, chinese consumer and might get pinched, what do you make of the luxury sector, jonas? >> merging markets are down a lot. there's a serious problem going on with the chinese stock market and wealthy people have assets in those things abroad and there's a tint, russian buyers, chinese buyers are weak, those drive sales at international luxury brands, not so much domestic one, the buyer is questionable. also in real estate, high-end real estate, countries that were putting money to protect themselves into currencies declining, the buyer is leaving and you have potentially 7% mortgage rate ifs rates keep going up at this velocity to use the other guest's term, a lot of risks going on in this certain

market, high end which has been strongest part of economy, i think that's where you'll see problems. lauren: all right, i have learned you are watching the velocity and might be in new normal, scott, jonas, love you both. >> thanks. cheryl: fundamentals, we heard that from several guests this morning, fundamentals. futures are down again this morning but we are coming back from earlier session lows, we were down 310 earlier on the dow jones industrial, now we are only down 221 so we shall see how the market opens today. s&p down 19 and 3 quarters and nasdaq is down 38 and 3 quarters, stay with us, we will be right back. the same old way. you need a partner that is willing to break free from conventional thinking. we are a different kind of financial company. we are athene, and we are driven to do more.

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cheryl: well, the selling, looks like it's going to continue today, dow futures down 222 points but we were down 310, the context here, we are coming back a little bit in futures market, nasdaq down 44 points. lauren: global investors waking up this morning and looking at our ugly close from yesterday when the dow closed more than 800. look at this, ftse in london down 1 and two-thirds percent. the dax down 1 and a quarter percent. cheryl: stocks in asia sea of red overnight, here is how markets closed, nikkei in japan down nearly 4%, hang seng 3 and

a half, change high 5% loss. lauren: lots of reasons for selloff, it is not rising this morning but well above 3%, we could be in new normal environment as many of our guest say, hey, higher rates are here to stay. cheryl: yeah, well, of course fox business will continue to cover yesterday's market selloff and futures markets looking under pressure today. we now send it over to our colleague, one of our favorite people really maria bartiromo. maria: right back at you, cheryl, thank you so much, good morning, girls, we will see you in a few minutes, good morning, thanks for joining, i'm maria bartiromo, happy thursday, thursday october 11th, top stories before 6:00 a.m. on the east coast. we jump right into futures where we are seeing heavy of selling continue this morning, down 250 points as we speak, we are expecting another rough day at the office. big selloff yesterday, of course, technology stocks

leading the charge sending nasdaq better than 4% at the close, dow industrials also very weak yesterday, down all day at the close, we saw these markets close at their lows of the day at the close, down 831 points at the close for dow jones industrials, down 3%, s&p 500 also weaker by 3 and a quarter percent. i europe this morning similar story, take a look. ft worst performers, that's 122 points, the cac quarante in paris down 1 and a third percent and dax in germany down one and a quarter percent. nikkei average in japan, down almost 4%, hong kong down 3 and a half percent, china hit hard, down better than 5% overnight on the shanghai composite. the kospi index in korea down 4 and a half percent. all of that coming up this morning, the best analysis on markets right here with our own dagen mcdowell, along with the wall street journal assistant editorial page editor james freeman and cfra strategists

lindsey bell. good to see you. >> good morning. maria: tough day, suggesting that we would see further selloff today and that's what we are seeing, james. >> yeah, when interest rates come up it's normal that case for stocks getting harder but i would also say looking on the positive side very good economic news, st. louis fed and atlanta fed both predicting 4.2% growth on the third quarter which is outstanding. maria: absolutely right, the backdrop is pretty strong, lindsey, the valuations particularly in technology had been getting stretched. that was the word getting into the selloff yesterday, there's that as well. >> i think the market is adjust to go higher rates and when you have higher rates valuations have to come down, a combination of things, you also have announcement that is were pretty negative, inflationary