that was a goal of james gorman.d it was a mistake 2009, and now he is atoning for het mistake because recognizes morgan stanley needed a bigger asset management business if it wanted to build a full suite of products that it could offer the affluent client. that is where morgan stanley is focusing its energies, unlike goldman sachs which is pursuing a more barbell strategy of going after institutional and ultrahigh net worth on the others and very plain-vanilla digital consumer on the other end. lisa: basically if you could say this in a nutshell, it is about cross-selling for morgan stanley? erik: that is a verboten word on wall street. the s&p does not want you to hear -- does not want you to say that world. --you fill the halo allowed around the brand. the customers more likely to buy more from morgan stanley then he is to go to jp morgan or wells fargo. tom: stop it. will james morgan -- will james gorman have them sell mutual funds in sears store. erik: i did not think we are going back to white sox and white s

james gorman has not voiced a desire to cut jobs.n stanley itself said this year they would not. again, this adds a significant headcount at a tumultuous time in the economy. word?e keep to his one of the things that makes it attractive is margins in this business have managed to stave off some of their reels -- real trimming down we have seen elsewhere. is it inevitable that margins narrow, to? sonali: this is asset management, where they had problem for a long time. ofll a fraction of the size blackrock, less than half the size of jp morgan asset management. so he has big competition ahead. that said, morgan stanley is focusing on higher fee businesses, a blend of passive strategies, and a push into sustainability in a much bigger way. it will also make morgan stanley compete on a more global scale. that is something for the big global banks to be watching. vonnie: any concern about how the two fit together culturally, if eaton vance will stay in boston? sonali: great question. in the past, this has been a problem for morgan stanle

what does james gorman want this back to look like? what is the ultimate goal here? by adding to this asset management business, they have created another significant leg. we know morgan stanley is a big institutional securities firm. i adding e*trade, they have added a big brokerage. now they have another big asset manager. they look more like goldman sachs than they did yesterday. and they said through e*trade they would be adding a digital bank, so morgan stanley is punching above its weight, trying to be a much bigger bank than it was, and remember, james gorman has almost jp morgan like returns on the horizon insight. over the next number of years, he is really betting, and hopefully we will ask him sometime very soon whether he can hold true to those return targets while he is spending so much money. jonathan: great to catch up. no doubt we will touch base again later in the day. morgan stanley stock down in the premarket by about 1.9%. tom: a little bit of a move here. i just can't say enough about the history here involved with morgan stanley and eaton vance.

sonali: james gorman is dropping the mic here.hey are the two biggest banking deals we have seen since the financial crisis. it will change morgan stanley. it does shine a light on his deputies. does this mean james gorman has to stay around longer to help with these integrations, or does it mean it is going to elevate very quickly people like who run thatquities business, or run a business twice the size as they were running before? the i will be on these deputies, including andy saperstein and shelley o'connor, and it will be a race. guy: certainly, thing up that race right now. thank, indeed, devin ryan of jmp securities, and bloomberg's sonali basak, our wall street reporter, for updating us on this. later today, james gorman, morgan stanley chairman and ceo, is going to join bloomberg television. that is at 3:30 p.m. in new york, 8:30 p.m. in london. we are getting headlines related to the virus. the united states is apparently readying a mass production of regeneron, the regeneron cocktail that was given to the president. wi

does morgan stanley need to be an international bank to keep the gorman plan going?n: i think they do, and they are, but the bigger story is the shift towards wealth and asset management. not dramatically bigger by the -- gotten dramatically bigger by thiswo deals announced year. what we are listening for today are what are the changes in the pro forma expectations now that e*trade has closed. they announced that deal in february before the pandemic really took hold, and since then, e*trade has done pretty well in terms of new accounts, client assets. very strong. so how does that change the outlook for the commodities business now that that deal has closed? lisa: after goldman sachs reported their earnings, they came out beating expectations significantly on the bond trading side. the rivalry that morgan stanley and goldman sachs has, who is going to win? what do you expect when we get these earnings from morgan stanley? alison: at the end of the day, they are both very strong inequities, so it really comes down a bit to bragging rights, but it is going to be close.

gorman's next depth? that's why i asked if you want to be everything to everyone and he says he was not trying to be the biggest, but he wants the highest return. so let's see if he can get jp morgan like returns at a smaller scale. that's his objective. in the asset management business, the fee pressure is something most people are worried about. you mentioned calvert. fixed income is a huge business here. and a lot of people on wall street are more excited about the prospect of being associated with this business. with e*trade you have another strategy and a different client base. the everyday person. when he purchased e*trade he said he saw a future when it came to digital banking. you have morgan stanley taking what they do, expanding their wings a little further, but not so far that they would take on credit suisse on a global scale, which you would think would maybe be their next natural move . he is staying in the u.s., getting a broader base of people, and trying to get as much profitability from

sonali basak with that important interview with james gorman.ok for that on bloomberg digital. futures -- i do not think it is a record peak, but right up on the day. up 25 points. bonds closed columbus day. full faith and credit shutdown. put it.7% and has really on over last three hours. dow futures up 62. a lesser percentage about -- amount, just .2%. nasdaq on fire, up 1.8%. we continue. stay with us on bloomberg radio and bloomberg television on a monday. david malpass coming up on "the open" to begin the world banks important week. this is bloomberg. good morning. ♪ jonathan: from new york and london for our audience worldwide, good morning, good morning. "the countdown to the open" starts right now. equities advance, up .7% on the s&p 500. we are higher 23 points and we begin with the bait issue. markets anticipating another stimulus package despite little progress on capitol hill. >> markets quite focused on stimulus. >> fiscal stimulus. >> more fiscal stimulus. >> another round of stimulus in the u.s. >> if we want the market to stay at

and with morgan stanley out this morning, what james gorman has done.nks so much for being with us. here is the symbol drill. morgan stanley, coming out of a horrific crisis, we know what the japanese did. up 8% per year. goldman sachs legs up 3% per year. -- lags up 3% per year. our goldman sachs and morgan stanley in a new regime where we can expect much better shareholder return? honestly, great questions, and i think both morgan stanley and goldman sachs companies that are changing faster than the broader financial system, so that puts them into a good place for the future. regulated somewhat slowly, so it will take used to play out, but morgan stanley is further along in the journey. if you look back at the last 10 years, they more recently brought trade, they are really shifting dramatically towards asset and wealth management, steady capital businesses away from the mixed toward the treating and capital markets. goldman is doing the same thing. they are doing it somewhat differently and they are in an earlier stage than that. tom: i saw james gor

and has gorman hinted at anymore deals? on the call today that this is it for a while, so they are basically going to take their time and digest these two larger transactions. the earlier deal, ameritrade added 30 basis points to their key capital ratio, so that was a positive. it is done, isr sort of pro forma estimated to take away 100 basis points of capital, but they are still 300 basis points above that core measure. for those not familiar with bank capital rules, that is a healthy cushion. they generally have had among the highest ratio across not just u.s. banks, but also there global peers. bloomberg intelligent senior banking analyst allison williams with the latest on morgan stanley's new acquisition. let's check business flash headlines. ibm is to spin off its legacy i.t. unit as it takes its future to the cloud. the new business is currently part of the ibm global tech services division and handles day-to-day operations such as managing client centers and additional i.t. support. and $16600 clients billion. waym

it is not a bank. >> that's what gorman wants many he to say. >> we should not include -- >> if gorman on the air where he should be, because he's not overexposed, if this is a great opportunity, he could have said we're no longer a bank. >> who do we compare it to ubs? black rock i don't know >> black rock. i like the black rock. now he doesn't run these index funds, but i like the black rock, black rock has a 20 multiple let's put them between black rock and bank of america >> okay. >> how about that? >> sounds good to me. >> like that >> sure. >> stock womill be much higher >> scharf is not that nice larry kudlow is nice i'm work on a nice per share index. i was nasty when i was at a hedge fund. >> yeah you were nice to me, though. >> i always liked you. >> yeah, you were okay. >> my dad liked you. >> never got too mad at me. >> no. >> guys, i want to talkative tiy >> going to talk peloton >> no, tiffany they gave us results why? they wanted a front run unvh, their would be buyer tiffany's results were for really where we stand right now for this period, right global net sales for t

. >> matt gorman, if i go to the control room, guys, i want graphic 10.his sthe comparison of the biden favorable and clinton favorable. this is what i think might be among the most important differences between 2020 and 2016. joe biden's net favorability rating in our poll is plus 1 in october of 2020. in october of 2016, even when we had hillary clinton ahead in the polls her net favorability was 10 points under water. as the president tries to re-create the 2016 campaign, this seems to me his biggest hurdle. joe biden is not hillary clinton. and that is something that he can't change. >> no. that is absolutely true. it goes back to the point referendum versus choice. one of the most interesting poll numbers i see is people who dislike both candidates. trump won that by double digits in 2016. he's losing by double digits this time around. right? and if you noticed bien's messaging goes in large part to the point where people feel good about their own station in life but not good about the country as a whole. it's different than clinton. if you elect him

but gorman can do it if anybody can.scaling of this company is going to be tremendous eaton vance is one of the view wealth managers that are seeing inflows because the performance is so good it is a tremendous asset and it doesn't change any of the capital ratios like this one. down % on the year changing their stripes i like this one a lot. >> steph, russ, and eugene, thank you all for joining us. >> thank you. >> thank you. >>> carnival cruises losing nearly $3 billion in the third quarter as the coronavirus forced the cancellation of most u.s. cruises through the end of the year up next, the ceo will join us and discuss how long it will take for the company to return to profitability andheer wth consumer demand will ever reach prepandemic levels again we are back in 90 seconds. don't go anywhere. >>> share of carnival corporation closing lower today despite reporting a narrower than expected quarterly loss carnival also reported it burned $770 million per month during the third quarter as cruise ships have been barre

matt gorman, thank you both.uch appreciated. >>> right now, this is a live look at warm springs, georgia. joe biden is set to speak shortly. that's, of course, where fdr famously would recuperate from his polio issues. so once he begins, we'll bring you joe biden's remarks live. >>> also ahead -- america is suffering through the worst of the coronavirus pandemic so far. period. not a first peak, second peak. worst yet. the new cases are rapidly rising. we'll talk with a top infectious disease expert next. try optum perks. it's a new way to save up to 80%. and everyone can do it. it's from optum, a health care company that's trusted by millions of people. you don't have to sign up for anything. just go to optumperks.com. and get a coupon to use at your pharmacy. that's it. i opted in. i opted in. you can, too. opt in and save big today. art class. it's abstract expressionism. when you start with a better hot dog from oscar mayer, you can do no wrong. it's all for the love of hot dogs. smells more amazing than ever

gorman realizes this thing is worth a lot within his company.hink that nelson, nelson is right to push these two invesco and janus to emerge. they have assets a lot of them are sticky assets. >> what about the bigger platforms? even if you're phi deafidelity, private, enormous, active management a key part of their business. >> what do you do? >> yeah. >> they do love being private. they're private people >> yes, they are >> very thoughtful, not seeking the limelight at all and maybe that's, you know, they just -- it is a family run business in the way -- >> there is a sea change going on in this business. not as though this started today, this has been going on for years. >> you saw lloyd blankfein on this morning. >> i didn't listen am i allowed to say that i keep the sound off >> okay. >> goes way back >> there is a fly in here. >> got it. you got to cut me short there, lloyd is a big thinker the think that trapped goldman, i believe, and trapped gorman, they aren't getting any credit for being transactional houses as opposed to house a huge

guy: that was morgan stanley ceo james gorman speaking to bloomberg. the u.s.rnings season kicking off next week. the first banks, jp morgan and citi tuesday. soon ali bencic and allison -- sonali basak and alison williams going us now. what do you expect? ofson: we are expecting more the same on the winning front. jp morgan has increasingly showed share gains, especially in their global investment bank, and at home and the deposit business, and we expect that that is going to continue. ,n fact, we think jp morgan goldman, and morgan stanley are all going to benefit from the standout ipo quarter, not just from a fee standpoint, but also related to trading. more broadly, it will be interesting to watch what happens with provisions. we are expecting a big decline after the huge build we saw in the first half, but as those provisions moderate perhaps more than expected, trading doing a little bit better than expected. net-net, doing ok compared to the prior quarter, and that is where we are going to focus. things are obviously still very weak versus a year ago. li

gorman did yesterday or others, but it is selling to or boards plural that we have to do this becauseo not do it the other guy will do it. is that game theory in play? colin: i see that and i hear that garrett the race for scale -- i see that and i fear that. the race for scale. tom: we have to leave it there. ,olin wittmer, busy week wonderful to finish strong with you. colin wittmer with pwc. we set up. futures continue to advance, up 15, now 22. dow futures up 59. lisa: the idea that is interesting to me is the data does not matter. even though we see the virus spreading in europe and frankly spreading in many places in the united states, people are mapping out a time beyond the pandemic. i'm struck by the fact, how do we do this when so much of people's reticence to go out depends on the virus, not any official policy. how do we look past this? tom: it is friday evening on the pacific rim if i get my time zones right, i have to think through that. the remember the breaching seven solidly. we have a 6.6997. 6.70 remember the. it is amazing to see the pacific rim strength that china

annmarie: that was morgan stanley chairman and ceo, james gorman, speaking to bloomberg.s get to the first word news with laura wright. laura: stimulus talks are back on. in white house has reversed its dance with president donald trump is a conference of deal. it comes at the nancy pelosi pushed back on the idea of individual measures for different parts of the economy. she held a call with steven mnuchin yesterday. france has placed more cities on maximum alert as daily coronavirus cases topped 18,000 for a second straight day. restrictions are being added. bars and casinos will close and restaurants and cinemas faced stricter controls. italy and spain recorded the most daily cases since april. the u.k. surge in coronavirus cases is warning experts -- the government is preparing new restrictions for some of the country, potentially closing restaurants and bars, but there's growing backlash over the rules and anger over boris johnson's handling of the pandemic. global news, 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analy

joining to us talk about this, republican consultant matt gorman. matt, good morning.hanks for getting up with us. let's talk about the debate and what the stakes are. mike memoli alluded to this earlier when we were talking about this. the reality that both of these people are viewed very much as perhaps a not so distant future for their respective parties, especially with the president stick now with coronavirus. and the former vice president joe biden understanding that his candidacy -- he's described it in slightly different terms. and selecting kamala harris really put her on a potential path to be a part of the future of the party. what are you expecting from tonight's debate? what are the stakes? and what do you think each side needs to accomplish? >> well, thanks for having me. i think the goal for either side is to make as little news as possible, right? no one is voting in that space. but what i find is that when these two candidates when it comes to debating such a difference in styles, right? if mike pence were a boxer, he'd be somebody that gives a lot of

justin watkins and alfred gorman took this photo at a home where they believe a producer of a podcast, that podcaster did not live in that home. >>> when we come back here tonight the fbi warning hospitals here in the u.s. about imminent cyberattacks from russian hackers during this pandemic and the train >>> tonight the fbi is warning u.s. hospitals of an imminent cybercrime threat even as hospitals fight to save patients. hackers demanding money to release data. security experts saying it's the work of a russian speaking cybercriminal gang. they say a number of hospitals have already been hit just this week. authorities are now urging all health care providers to step up protections of their computer networks. >>> tonight that freight train derailment forcing evacuations in morrisville, texas. cell phone video showing them falling off the tracks. none of the cars were carrying hazardous material. two schools within a mile radius evacuated as a precaution. >>> when we come back here, a a fan-favorite venue ever since they got gig-speed internet. xfinity gives them the ultimate home f

gorman goes hunting. morgan stanley steals a $7 billion deal for the purchase of eaton vance. from our interview with the ceo itself. -- himself. let's look at what futures are doing. green arrows. see, they are incredibly slight. not even 0.1%. the percent missed price indicating a higher open then futures are showing you right now. u.s. futurest the after stimulus talk. it will more directly affect the u.s. economy. nasdaq, dow jones and futures up 0.4. >> breaking news coming through. let's get to that. first on the macro front. the u.k. economy, clocking in some growth figures looking to be much worse than the market anticipated. the u.k. economy grew at 2.1% in the month of august. the estimate was 4.6%. we were expecting that rate of growth compared to previous months to come down. a bounce in june, the expectation being for another bounce here. maybe the last. 4.6%. instead, we get 2.1%. is the conservative part of the economy that is running into trouble. services, index of rising 2.4%. the estimate was for something up five. services underperforming versus expectation

leg shot is defeated again thanks to their little gorman's lights and enters the international break at the top of the table to go. to 90 minutes long d w. n n gemini with w. at any time cuddling and he plays the news media in the bellows yeah i don't like the beatles catalog so missing along to you tube is the combo from super live. to. interactive exercises. everything is online and interactive learn german to free with d. w. . the odd. place . this is delia news a live from berlin and donald trump leaves hospital and u.s. president returns at to the white house after 3 days of treatment for coronavirus saying he'll soon be back on the campaign trail and get the latest from washington . also coming up eris orders its bars and cafes closed as europe and france a 2nd wave off the coronavirus the french capital and its surroundings are now on a maximum alert but there's growing criticism chilled. and 3 for all adjust.

authorities say justin watkins and alfred gorman took this photo at a home where they believe the producer of a podcast critical of their movement, posting it online and urging others to harass him. that podcaster did not live in that home. >>> when we come back here tonight, the fbi warning hospitals here in the u.s. about imminent cyberattacks from russian hackers during this pandemic. >>> and the train derailment tonight, schools and neighborhoods forced to evacuate. we can't always keep our distance. but we can still help protect each other this flu season by getting vaccinated. if you're 65 or older, get the superior flu protection of fluzone high-dose quadrivalent. it's the only 65+ flu vaccine with four times the standard dose. and it's free with medicare part b. fluzone high-dose quadrivalent isn't for people who've had a severe allergic reaction to any flu vaccine or vaccine component, including eggs or egg products. tell your health care professional if you've ever experienced severe muscle weakness after receiving a flu shot. people with weakened immune systems, including those

james gorman said asset management has been on song hero inside camp morgan stanley we felt it was in a position to do something and that this was a natural evolution the news comes one week after morgan stanley completed its $13000000000.00 acquisition of e. trade on thursday vance shares soared to 48 percent on the news while morgan stanley rose 1 point one percent the deal is expected to be completed and 2nd quarter of 2021. according to china of the corona virus has all but disappeared in that country however another issue that could lead to catastrophe has emerged food scarcity while china is trying to face the problem head on the danger. far beyond its borders the art. dorie it's a ritual that can be found most anywhere around the globe. family and friends sitting down to share a meal although corona virus may have cut down the social aspect of dinner in many parts of the world in china the middle itself has also been chopped beijing is in the midst of a clean plate campaign while people are being told to finish their dinners and not to waste any food some restaurants in china h

tom: that is james gorman.ignment is there amongst wall street banks and executives on this issue? do echo thosets of jamie dimon who had initially been the most vocal of all his peers and encouraging wall street workers to go back to work. there were a couple outbreaks on trading floors that created a setback. that has been an issue. if you look to citigroup and wells fargo, they said last week on their quarterly earnings call that workers will not be returning en masse anytime soon. firmly gorman saying he believes the opposite is important for mental and, development, and all that. and that they are going to allow for flexibility. you also have jamie dimon saying there are big benefits to having people back in the office. earlier this month, he conceded the path back to normal is going to be a very long path. back to you. tom: might be a slow grind. a quick check of your latest business flash headlines. south korea's two top carmakers are taking a combined hit of almost $3 billion due to costs related to las

but if you listen to what james gorman has said over the years -- -- quite frankly, he can tell the board, you need me to integrate this deal. i think karen is right, there will be a land grab. morgan stanley was first to the dance. i don't know you buy morgan stanley, but you look at some of these asset managers and you look at who is next. >> and they play it as which one is next. at this point in time would you buy a morgan stanley kind of business or morggoldman sachs kd of business? >> i would go with goldman sachs because of their investment strategy morgan stanley, you have seen a limited assault on some of the fee generation businesses there. so when you look back at bank earnings in the last two quarters and talk about training profitability, i think goldman sachs is better and that would be my preference for a business transitions into retail focus. >> tim >> i think this is a good move you want to own morgan over goldman. it has outperformed goldman sachs 15% on a two-year chart. it takes away regulatory pressure, takes away the balance sheet requirements this is around 4 1/2 t

it is the latest megadeal for ceo james gorman after the e*trade financial takeover.of theest large banks post-financial crisis. they say this latest deal makes complete sense. huge talent,s, perfectly complementary businesses. there will be very little dislocation. high-growth, great businesses. they have been growing very fast. the traditionalist management space, sustainability, so this was a no brain or. we paid full dollar for it. leigh-ann: and that is your bloomberg business flash. francine? francine: leigh-ann, thank you so much. tensions are rising in europe as many countries pose record increases of infections. surgerestrictions amid a of coronavirus cases across the region. joining us now with more is bloomberg's chad thomas. numbers are rising around the country. what can they do about it? chad: hi, francine. the numbers really are spiking around europe. you had both u.k. and france yesterday posting more than 18,000 new cases in each country, then you look at germany, spain, italy, they are all that highs that we have not -- that we last saw in april, and

i think james gorman has done a really good job changing the business mix in a very clever way, usings capital to really remix the business via e*trade and very recently eaton vance. fromt 2/3 will come ght businesses. so morgan stanley, thinking about the long-term strategic direction, is the stock we like the most. jonathan: just on the acquisition option, it is an option not available for many of the other big banks. it is option that could be available to goldman. why do you think goldman hasn't gone in that direction? stanleyn: again, morgan somewhat fares more strategically. your management team less in the way of x ability. so i do think they are somewhat behind strategically to morgan stanley. you need to know where you want to go first and be very clear of your direction before you go out and do deals. what i do think they will be in the conversation for acquisitions. they are beginning to build capital now, and they have always spoken to wealth management, asset management, and digital consumer banking as areas that would benefit from scale acquisitions, so i do think goldma

james gorman was rosy enough about the economy to make one of the biggest deals since the financial crisishen the fed is trying to constrain capital. i know you love debt underwriting, but equities underwriting also going through the roof here, and people going to public markets again with optimism in the markets, if not the economy. tom: you didn't answer my question, sonali. is this thing a bank? can you actually compare goldman sachs to jp morgan or bank of america? sonali: you certainly can't come about the same time, the consumer business is clocking in more than $1 billion, $1.5 billion in revenue. so they are getting deposits. people want to go digital. but if anybody has a market account, you know the interest rate is falling constantly. they are trying to appeal to consumers with this credit card. it is working on a much smaller scale than you see from the much bigger banks, and they have competition to contend with, too. jonathan: we are looking to have a lot of students that watch this program, and i think they have just learned that what defines banking is whether or not you re

coming up, james gorman at 3:30 in new york, 8:30 in london. this is bloomberg.heck in on the bloomberg first word news. i am ritika gupta. now there is a question of whether there will be a second presidential debate. president trump says he will not take part of the candidates are in separate locations. he told fox that is not what debating is about. earlier today the commission that runs the debate says the next week's event would be a virtual debate does prevent the spread of the coronavirus. the trump administration plans to impose more sanctions on iran's or -- on iran's financial sector. the goal is to further choke off its economy from the rest of the world. the u.s. good blacklist as many as 14 iranian banks that have escaped restrictions. the eu is ready to hit american goods with tariffs as punishment for what it calls a legal aid to beau biden. -- the legal aid to boeing. illegal aid to boeing. >> the negotiated settlement where the u.s. is withdrawing their tariffs then we will reduce our tariffs, and we would rather discuss how we deal with discipli

stanley that is days after morgan stanley completes the acquisition of e-trade we'll talk to james gormang up. we're back in a munn >>> ibm announcing today it will spin off its manager service company into a new company here's what he had to say about ibm's priority after that. >> we are maniacally focused on hyper cloud. we believe we can deliver strong growth with the company, with the financial flexibility we will create through this transaction for the company to be able to grow. that's what i'm committed to i'm committed to sustainable growth and accelerating growth over time on those opportunities. >>> our next guest is warning that a house subcommittee anti-trust report could have very dangerous implications for facebook, alphabet, apple and amazon tim is a cnbc tech council advisory board member. he submitted to congress's proceedings but was not involved directly in the creation of the anti-trust report. thank you so much for talking to us today now that you've had time to read through those 450-plus paeges, m first question to you is what do you expect to happen next? >> i thin

. >>> by the way, morgan stanley's ceo james gorman will appear on a first interview on "closing bell." let's get to sue herera for a cnbc news update. >>> very busy news day michigan's attorney general has charged seven men associated with the militia group for allegedly plotting to target law enforcement and attack the capitol building basically they are facing a number of key charges. they could face life in prison at this point. >>> the biden campaign is rejecting the trump campaign's proposal to hold a third debate on october 29th. one week later than originally scheduled. he says it is ready to debate on october 22nd, a date apparently also agreed to by the president's campaign no word yet from the debate commission on what it wants to do >>> in new jersey, new daily covid cases have more than doubled in 24 hours to more than 1,300. that is the most since may the governor says many positive tests are being traced back to reopen schools. >>> senate majority leader mitch mcconnell says he has not been to the white house since early august because its approach to preventing covid i

james gorman can multiple businesses.uestion is do they take as much share as goldman sachs in trading? the jump in fixed income and equities will be important tomorrow. guy: what about asset management? sonali: asset management, but they do not own eaton vance yet. goldman sachs, because they are making those equity investments -- those proprietary investments are proprietary to goldman sachs . morgan stanley does not have to lean on that in a big way. guy: in terms of what the long-term trajectory is -- one of the articles i read this morning talked about this is a time when we are working the bigs. a bunch of factors are coming together which means you should probably ignore what is happening, look ahead to next year. is that how analysts are looking at this? credit you know the losses will go well into next year. the uncertain economy is making everyone nervous. you see steep declines in the consumer business and even the strongest banks at j.p. morgan. citigroup also had a steep decline. we will see what is to come.

. >> harris: matt gorman, harold ford jr., let's pop our corn and get ready for the debate tomorrow nightsee you, thank you. hurricane laura updated to dangerous hurricane 4 storm. where and when he can make landfall on the gulf coast and no, you are not imagining it, yes, that is the second go around. hurricane delta, hurricane delta because our team had it wrong. hurricane delta, not laura. we will be right back. ♪ wow. that will save me lots of money. this game's boring. only pay for what you need. liberty. liberty. liberty. liberty. save thousands of dollars by helping trefinancing veterans at today's record low mortgage rates. with newday's va streamline refi, there's no appraisal, no income verification and no out of pocket costs. let newday help you use your va benefits to save $250 a month, that's $3000 a year. one call is all it takes. i'm voting 'yes' on prop 19. nineteen limits taxes on seniors. it limits property tax on people like me. nineteen limits taxes on wildfire victims. it says so right here. if 19 passes, seniors can move closer to family or medical care. i looked at

all right, matt gorman, chris hahn, thank you. coming up what this could all mean to voters.und weighs in. ok everyone, our mission is to provide complete, balanced nutrition for strength and energy. whoo-hoo! great tasting ensure with 9 grams of protein, 27 vitamins and minerals, and nutrients to support immune health. >> dana: president trump and the first lady testing positive for coronavirus. rich has been tracking what the rest of the world is saying about that. hey, rich. >> good afternoon, dana. the 2020 version of the geopolitical get well card. twitter well wishes and telegram. we'll get to the israeli prime minister, benjamin netanyahu, one of the strongest allies and supporters of the president. he tweeted like millions of israeli's, sarah and i think about donald trump and first lady melania trump and wish our friends a full and speedy recovery. uk prime minister boris johnson was hospitalized this spring with covid-19. he tweeted, quote, my best wishes to president trump and the first lady. hope they both have a speedy recover roy from coronavirus. two u.s. adver

on the other extreme, you have justice flintstone who was what they called, and his day, a gorman. he loved french cheese, he loved wine, and his way giant platters a french cheeses for his months. so justice ginsburg. i'm going to ask you first. where do you fall in that spectrum? (laughs). how do you sustain yourself during the day? >> for 56 years i was married to chef supreme, my husband was a great cook. we didn't mention -- we get that later ok. he was a big contributor to food at the court. he would make cakes for everybody's birthday, all the justices birthday. or my law clerks birthdays. in the days when we didn't have outside food for the state of the union. he cooperated with sometimes marry kennedy and making the pre-state of the union dinner for the court. >> for those of you who don't know. justice ginsburg was lucky enough to be married to martin ginsburg who was a brilliant professor tax law. and also remarkably talented chef. i'd like to maybe just get back to the question about what you eat for lunch. just a santa sonia. i know that you've been very open about man

mo elleithee and matt gorman, good to see you both. thank you, gentlemen. >> sandra: concerns about an october surprise coming from one of the most dangerous regimes on earth. this weekend marks the 75th anniversary of the founding of north korea's ruling party and now analysts are warning that kim jong-un use the occasion to unveal a new strategic weapon capable of reaching the u.s. correspondent greg palkot is following that story for us from london this morning. >> that's right. just a few weeks before our election, north korean leader kim jong-un could threaten us with something new. we were there for 10 years ago when a young kim made his first public appearance. he took over when his father died a year later. this year according to experts, the north korean leader could be rolling out, among other things, a new solid fuel, multi-stage, intercontinental ballistic missile with a range which could allow it to target mainland united states. it is said that chairman kim wants to unify a domestic audience who have endured this year typ

when we see morgan stanley, you know, james gorman will come on, i hope >> yeah. he might. >> i think we got a shot >> now i'm going publicly. >> he did come on last week. >> he's been on so much. he's overexposed. >> to your point, they have a very different complexion of morgan stanley and goldman sachs. goldman does versus wells fargo, yes, or bank of america. >> that's stagecoach needs a little work there. >> wells did not come in particularly well. >> the main thing i'm saying is that there is one day that we differentiation. now there isn't. citi was able to pull down everything the citi call was a not great call i don't know charlie sharp, media shy, what do you think will he be media shy if the senate goes democrat and elizabeth warren is head of the banking committee? what do you think he'll be like? >> i don't know. there he is. >> it will be awful. >> there is his -- >> it will be theater. >> a lot of interesting commentary on the trajectory of the race and how polling may or may not be right large or 30,000 feet, have we answered the question yet about

. >> morgan stanley chairman and ceo james gorman.'s get a quick check of the latest business flash headlines. ibm is to spin off its legacy i.t. unit as it pegs its future to the cloud. the new business as part of the global tech services division and handles day-to-day operations such as managing client data centers and traditional i.t. support. it has 4600 clients in an order book of -- and a hybrid cloud and ai unit. ready to openis its driverless ridehailing service to the general public in arizona after more than a year of test runs. the alphabet unit began varying so-called early riders around suburban phoenix in the middle of 2019 and based on their feedback is making autonomous vans available to users in the city. the ceo says it is a really big deal for waymo and the world. instacart is cashing in on appetite for e-commerce during the pandemic with the latest funding round seeing its valuation rise to almost $18 billion. the grocery delivery startup doubled in value since the march outbreak and is weighing a possible ipo. in

gorman has been talking about not being able to to buybacks.y and he is transitioning them for the future. >>> morgan stanley having a good session. banks improved a lot today with rates rising two minutes left, mike, what's standing out to you. >> internally, the market looks pretty firm, certainly relative to the indexes we opened up the day, the volume split was 80, 90% to the downside that is totally turned aren't, almost not quite two to one to the positive side. it is reflected in the call smap indexes. the equal weighted s&p as well the dollar index on a year to date basis it is up another half a percent today. the low on that chart as august 31st that was basicallythe high in stocks the high after that point was september 25th this was the low in stocks you see this inverse toggle with equities and the dollar. it won't last forever, but that's what has been happening we are in the middle right now the vix, well bid. mid to high 20s. this is the story. there is a massive play on to bet on lower vix huge amount of vix play out there. >> w

story here is that advertisers are embracing snap chat and i think the team that's been hired, jeremy gorman have done an amazing job of showcasing to advertisers the power of the snap chat audience. this is a very tough audience to reach on linear television it's hard to reach this group. they've done a great job showcasing that. they said they had a record number of new advertisers come on board there's still a fraction of facebook i'd say the trend here this is not just snap chat this is helping facebook, helping pinterest, helping twitter. there's something going on fundamentally where advertisers because of covid i think are shifting faster away from traditional evening television and looking for how can they reach this audience, especially a younger audience, more and more content on places like snap chat obviously there's a lot of up side as you think about growth they talked about 50% growth in q4 which i think you mentioned was their guidance commentary. they exited the quarter growing in the 60s if not mid 60s. feels pretty conservative especially if we're going to be locked -- not

national organizers of the women's march and matt gorman joins us.n, the president are going to change strategies this time around and perhaps let joe biden speak more on that debate stage? >> looking at it broadly this is one of the last chances to change the trajectory of the campaign. it might be too late. early voting has started in most states. florida started today. but i think trump looked back at his last debate in 2016 with hillary and saw that he let her talk, let her hurt herself and chime in when appropriate and compared to this last debate i think jason was alluding to it. the interruptions were not only offputting but saved biden in a lot of aspects where he was losing his train of thought. being pressed by chris wallace say on court packing or antifa. trump would jump in and change the topic or change the tenor. trump saved him. i think they will adjust now when it comes on thursday night. >> sandra: why do you think the trump campaign decided it's a better idea if the president lets joe biden speak more on that stage? >> because it's

now is mike mayo, senior analyst at wells fargo, and mike, what do you think of this news >> james gorman morgan stanley's business mix, more than any other bank ceo last decade. kudos to what he did last decade, but it's tricky to transition from restructuring to growth, and when his or hmorgany bought e trade, it was more on the strategic risk side, we thought he paid a high price, and now they're pursuing an acquisition. i have to look at the details of this deal, but what is consistent with their theme that organic growth like in wealth management wasn't going as well. the low hanging fruit of restructuring is done, and now they need alternative ways to grow, and with that comes additional risk. we said the jury is out on its e trade acquisition, and we think the jury is out on its ability to grow as opposed to simply restructure. >> you thought they paid too much for e grade, obviously you don't have all the details on eaton vance yet, but it's a 38% premium. what do you think of that price? >> inning i'm goi'm going to ha the details here like i say, when you start growing by acquis

and it is just -- it is very unnerving to watch all the changes that gorman put through and solomon putns nothing these are value ridiculous they're ridiculously valued. goldman should not be -- i'm saying, you got to buy this stock. goldman and morgan stanley, they are not the same companies that they were three years ago. >> jim, thank you. >> absolutely. great to talk to you >> see you in a few minutes. >> thank you. >> you too when we come back, the "squawk box" exclusive with united airlines ceo scott --kirby. don't go initiate. we'll be right back. hey, dad! hey, son! no dad, it's a video call. you got to move the phone in front of you like... like it's a mirror, dad. you know? alright, okay. how's that? is that how you hold a mirror? [ding] power e*trade gives you an award-winning mobile app with powerful, easy-to-use tools and interactive charts to give you an edge, 24/7 support when you need it the most plus $0 commissions for online u.s. listed stocks. don't get mad. get e*trade and start trading today. to a world that must keep turning. the world can't stop, so neither can we