look at 3m and caterpillar. both companies today have some issues.k the economy is going fine and earnings will be strong. it's just going to be a lower return environment. >> george were looking at the russell right now. while everything is down either a full percentage point or more and i'm talking the major indices, look at the russell. it is down barely half a percent. you like that. you've been on the small cap train. why does it get hit less traumatically on a day like this. >> if you look at last year, the russell 2000 was up about 14%. that's a good year. the dow was up 28%. when you talk about caterpillar and lockheed and the other stock, they've had their day in the sun. now time for our stock to come in. we've had a great first quarter we think there's great opportunity. i'm the say the 3% yield on the treasury is actually good thing. it confirms the economy is strong and means stocks like banks and insurance companies will do pretty well here. if i can play that role. >> what would you pick in this atmosphere. >> a lot of value. nonlethal

these are the biggest losers, 3m leading way down almost 2%.at out with earnings on the call, maybe the first quarter may be the best quarter of the year. investors didn't like the sound of that because they're always looking for something better. we're off 6.7% on cat right now of the list goes on. financials, tech, seeing some downside. a lot of this is stemming from concerns that the economy is improving enough we'll see higher interest rates with 10-year spiking to 3%. if interest rates move higher you have to have an economy moving higher as well, right? you need to see enough economic growth to justify an increase in rates. my hunch we will. this is just the new normal where we'll all have to get used to paying a little more on interest rates but if you have an economy that is growing jobs and growing our overall output, gdp, that's okay. we can manage. but nonetheless a delicate balance, something the fed will be contending with, of course. >>> meanwhile getting back to the news of the day there at the white house, french president emann

at the very bottom, 3m and caterpillar, the two industrials that reported earnings earlier today andted wel rhtac 'lbeig b many small businesses, from kitchens to factories to contractors, rely on their equipment to serve customers every day. when equipment is broken, it means lost revenue. trusted choice independent insurance agents offer special protection that could help replace or repair damaged equipment and provide lost business income. they represent multiple insurance companies and customize coverage to help businesses get back to work. announcer: to find an agent, visit trustedchoice.com. play [music plays]his". when everything's connected, it's simple. easy. awesome. you know what's not awesome? gig-speed internet. when only certain people can get it. let's fix that. let's give this guy gig- really? and these kids, and these guys, him, ah. oh hello. that lady, these houses! yes, yes and yes. and don't forget about them. uh huh, sure. still yes! xfinity delivers gig speed to more homes than anyone. now you can get it, too. welcome to the party. >>> and it is a big selloff on

on top of that, and then heaven help you if you give guidance that is unexpected or disappointing. 3m lowered a little bit, lowers high end of the guidance that's not a typo, down 7% that, alone, is 100 points in the dow jones industrial average. then there's the rates issue i want to change that discussion a little bit, make it an inflation issue. company after company, this morning and the last few days, has mentioned higher input costs, so 3m, for example, talked about higher cost for transportation, kimberly-clark talked about margins impacted by commodity inflation. procter & gamble said higher commodity costs affects them caterpillar said field costs were higher. this is a theme now. it's going to be an issue going forward. finally, another big issue, consumer staple stocks every single day, we're seeing consumer staple stocks hit new lows, pepsi, procter & gamble, all of them down 20% this year of course, brand issues are out there, and, of course, inability to rise prices and commodities an issue for them. the good news, it's cheaper, s&p is at 16.5 multiple now, the lowest it

. >> we have to talk about alphabet we'll do 3m and alphabet. >> 3m has been saying from 250 we haveaw this almost like nobody heard it. they had a march flash that showed you it. it's not a shocker alphabet is terrific nobody cares. >> we're going to kind of watch pictures here of live video, of course, from the white house president trump and first lady awaiting the arrival of the french president emanuel macron and his wife, as well. having the state dinner tonight. the first one. and talking about things that are important such as the iran deal and trade, and many of the things we're talking about here. >> this is the problem i want to tell people, look, 3m is down so much. it's down 55 points from its high do we think they're that stupid? then you say, okay, what will come of this what will come of this factor with macron? maybe something negative >> or maybe something positive get the president to hold off on the iran deal. >> then the ten year goes to three and the market goes down i'm not talking about anything catastrophic i'm saying you're not getting traction in great quar

caterpillar and 3m. we are in the markets for you. also, talking about this. dallas police officers and a security guard are in critical condition after being shot train to reprimand the home depot. rolando boris eventually got away, but police caught him after leading police on a five hour manhunt that ended in a high-speed chase. all of the victims remained hospitalized this morning. republicans are defending a congressional special election. debbie lasko beating democrat mini me by five points for the seat up in the trent franks resigned in december amid sexual harassment allegations. still having to run for reelection in november. the consumer financial protection bureau mick mulvaney defending himself against "the new york times" article that says he told a group of bankers when he was in congress who would only speak to lobbyists trying to persuade lawmakers as part of the representative democracy. he also added he would talk to any constituent they showed up in his office. mulvaney didn't like the implication of the article and says i tell them to up th

travelers and 3m among the names in the red this morning.he new york stock exchange jim cramer is hanging out trying to make some sense of these reports. what's the most interesting one on your list this morning? >> i think caterpillar is terrific it's firing on all cylinders and you've got oil and gas you have infrastructure. obviously, if there's any issues with china, you won't have these kinds of numbers i have to tell you, andrew, i'm not sure how sustainable everything is. you get the big jumps up and then people go upon further review i have the 10 year or president trump. people are tempering what would normally be huge upside surprise chasing. i think we have to be aware that the chasing has gone away in this market. and people would rather sell than buy. >> where do you land on alphabet given that the earnings were positive yet big costs. >> okay. i like alphabet very much. this is really an expectations they have to spend they got to catch up with amazon cloud. they don't have it when is the department of defense go with amazon th

in the case of 3m you have a forecast that is cut.iously that will have a drag but when you think about a caterpillar or boeing i think that is getting whacked on the macro. certainly all panic over hitting 3-year, with backdrop where yields could be going. fed is committed to two, if not three hikes again. they are unwinding a balance sheet of unprecedented size. we have a deficit we need to finance increased debt. put that against a backdrop of inflation, of global growth and all of those things are the kind of things that increase yields and speaking the stock market. connell: we saw, carol, very strong housing numbers, new home sales. case-shiller as well but the new home sales was blowout figure. it makes sense, people looking at environment, i better lock things in here before mortgage rates go up even more. do you think that is a mind-set, carol? >> i do think so. you have a tight housing market. you have the eye on the fact that rates will go up. potentially your deductions go away. all those things are factoring in. if i was

that was down 6%. 3m, down 6.8%. cut the guidance, travelers 3%, boeing 3%. when you put boeing and 3m and caterpillar together, that was 275 negative dow points at the lowest part of the day. did i not mention the 10-year yield, that huge. when the 10-year yield hits 3%, that weighs also. that starts to spook everybody as well. when that hit 3%, that was a big factor. we haven't seen that since 2014. i saw the tech titans slash. google came out with quarterly numbers after the bell. it was a beat but the costs are on the rise. alphabet is the proper name down 4.8%. facebook and google both negative for 2018. amazon, netflix, microsoft on the move and we'll watch for more earnings tomorrow. melissa: that's going to be big, the earnings tomorrow. thank you. phil, talk to me about oil and gold today. >> man, we had an incredible day today. at one point, melissa, crude oil futures above $69. the highest price in 3 1/2 years and changed later in the day. part of this is a sell-off in the stock market and the concerns by companies, the concerns about rising commod

with the stock sinking at 1.18 points before closing down 14 all of these, how march was weaker 3m is a company i follow closely and we were stunned at the reaction too given the company totally telegraphed this news just three weeks ago it produced the biggest decline in nine years. i think you are getting a chance to buy a great american manufacture at a discount. and i figure more selling tomorrow that is what happens when you open the flood gates they are going to reload tomorrow takes another day before it can be stent buying hand over fist. the best bull market out there, and there is always a bull market somewhere what is it it is defense. that's why it was so exciting to see a blowout number this morning from lockheed martin, the gigantic defense contractor. the numbers look stupendous. and this is a huge but, but lockheed market said its cash flow forecast wouldn't rise along with its earnings. the guide up this is one of those, you know what i felt like, i felt like skooby do. the company was simply trying to play it safe the stock got clobbered as if it were hit by a missil

a dow component 3m is in.and i'm the only expect a shame coming from travelers. we should see some real momentum in the marketplace here. any of these stocks get rewarded in your view? >> i believe we will see caterpillar most like we going up as well because they are pretty big in the emerging market and they essentially help emerging markets become bigger economies and there's a lot of buy-in in that particular sector. depending on how that sector does, we will get a lot of visibility into what we should ask is coming in the future in regards to global growth. gerri: that will be interesting. we will watch that in the caterpillar reports. thank you. >> thank you. cheryl: welcome your going to want to watch this. 50 points in one quarter. an nba playoff game. jared max has a lot of sports, not. and then, the european commission launching an investigation into apple's acquisition of shazam. who will go to london for the controversy on this deal. look at futures as we go to break right now. wow, the dow up 105

announcer: "george to the rescue" is sponsored in part by 3m. for more information, go to 3mdiy.com. with pg&e in the sierras. and i'm an arborist since the onset of the drought, more than 129 million trees have died in california. pg&e prunes and removes over a million trees every year to ensure that hazardous trees can't impact power lines. and since the onset of the drought we've doubled our efforts. i grew up in the forests out in this area and honestly it's heartbreaking to see all these trees dying. what guides me is ensuring that the public is going to be safer and that these forests can be sustained and enjoyed by the community in the future. [music playing] we've got ourselves a major electrical situation. thankfully, we got the guys from anco electrical here. as soon as we opened up the boxes and we seen the cloth wiring, i knew it was just going to be a struggle from there. we have wires that are live, that at any moment, could cause a spark and cause a fire. the scariest part here is this was closed up, so you would have never seen t

i just think -- >> 3m and caterpillar, was two names, though that really shaved expectations. >> this is why i love doing this show. we're all professional traders and i see both sides of this. the pushback is, do you feel like if there's the -- if it is a synchronized global economy, do you feel like global growth is still intact? that would be the number one question and you would say yes. >> i do. my biggest issue right now is equities have a much higher cost of equity in them. they're just not worth as much -- >> if you think that that global growth picture is still intact, i agree with karen. i don't think that much has changed. it said it in a blaz ai fashion. it's a cyclical business. you get that by its nature. i do think the market's took that lead today and -- to karen's point, rates are there, tech is there but people say, okay if i don't want to be in tech, what are alternatives do i have let's stay in the industrials. but it cat comes out and says that, you're forced to exit at least on a basis. >> i know that this is how we're essentially pacing this conversation, but it

stocks like 3m and caterpillar hit hard in yesterday's session.t is going to be interesting to see how your opens. at the moment it looks as europe is going to have a reasonable start, relative to that performance. let me show you what the features look like. it is a picture of negativity, but it is not down as much. we have priced some of it in already. it is going to be a negative start. we've got our own corporate earnings to that just as well. european banks remain a significant overweight position for global hedge fund managers. we are going to talk about whether or not those numbers are coming through. let's get a first word news update with juliette saly. .uliette: thank you emmanuel macron wants to negotiate a new agreement with iran that would curb its developer of ballistic missiles and contain its involvement in regional wars in addition to halting nuclear program. they came after trump earlier warned iran not to restart its nuclear program, even if the u.s. withdraws from the accord. >> i believe we can combine our common views and dif

3m, proctor and gamble kimberly clark then fang. why these? i think the facebook is a rapidly growing site where you provide the content and they provide the ads. amazon, there is a 4 trillion market for retail goods in the world and amazon has a small fraction of this netflix, intuitively recognizing what you want when you want it why do i like that alphabet? it dominates surge which happens to be the moment you buy something. there is people working to invent something new and these are just examples. i also think that given how poor income growth has been for people in the country, there is a saving side, there is no time like the present you know i believe that gold and silver are terrific insurance components a highly unusual yet totally blessed by me idea is to buy gold or silver coins for people. or pieces of gold or silver. i bought slivers of silver for my kids by a dealer, and i forgot about them. they may or may not increase in crazy times where inflation could come roaring back, there is nothing that holds up that scenario better t

have some of the industrial names they're all down the same way here look at this it's a 3% to 4% down 3m, was $359 in january. $210 that's close to 20% off. big names that did well, home improvement, home depot is down 3.6% it was $207 at the end of january. now $170 down 15% or so even financials have been weaker we noted that. not quite as bad as the rest of the market goldman, about 50 points on the dow. gold was $275 two weeks ago now $244 that's down 10%, 11% finally, energy is doing nothing even notice oil has been relatively high. energy has underperformed the whole year here's a 52-week low, exxonmobil, $72.44 what's going on besides the tech issue, valuations? the tariffs are really weighing. the ism services number was strong this morning but a bit below expectations and we saw comments from a number of participants here's one they don't put the names on them this is one of the participants. new tariffs are causing concern across the supply change full impact will take a few weeks to reveal itself that's the hard, quantifiable issues floating around in the market going from, oh

no such rosy forecast for 3m. that stock is the biggest loser of the dow 30. blowout ad sales, astronomical profit. the stock is down 2 1/2%. their margins are a little crimped. $1047 buys you one share of google. check the rest of the big techs. looks to me, well, big technology that is the story over the past two years surely. they don't have any rivals anywhere in the world, do they? scott shellady, tjm managing director. am i right, scott, the big story last two years is america's tech dominance and we have no rivals. what do you say? >> stuart, over here in socialist europe as you say the tech companies are america's darlings we are glad handing a little bit, and there is a lot of regulation that i think regulation that american companies suffer from eminating from europe. in the industrial revolution, workers rights, those type of things, the shine is coming off the tech sector in america because we're starting to see more and more regulation pop up elsewhere around the world. stuart: but they still dominate and the regulatory threat probably will not de

intel, cisco, 3m all ending the week fairly deeply in the read, lauren.auren: white house issuing more sanctions against russian oligarchs and officials and companies because rush show promoted their quote, maligned activities. here is sarah sanders defending the actions earlier. >> as the president has said he wants to have a good relationship with russia but that is going to depend on some of the actions by the russians. we would like to see totality of the russian behave changed. we would like to work forward building a better relationship. lauren: joining me lester munson, former staff director for the senate foreign relations committee. >> hi, lauren. lauren: can you tell me about the relationship. >> it has been strained. this is significant step. follow the trump administration throwing out five dozen russian diplomats and spies. they follow between even more steps and hostilities between american led coalition and russian mercenaries. lauren: the president received a lot of criticism is for not coming down on russia hard enough. >> right. lauren:

caterpillar and 3m, important dow components, their forecast for the rest of this year were weaker than expected. the construction equipment maker beats earnings and sales forecast for the past quarter but the implication was the rest of the year would not match. 3m's earnings met expectations but they lowered their full-year profit forecast. stock down more than 6%. in tact, the usually bright spot, stocks fell. alphabet google reported earnings exceeding estimates on sales but investors focus on the future with potential regulatory challenges. the entire tech group fell including facebook which reports tomorrow, and amazon which reports thursday. apple and netflix also lower today as well. one analyst told me that investors want to see earnings at season perfection since most marked or participates anticipate the fed raising interest rates. investors think input costs are going to go higher for more companies, especially if tariffs are imposed. bret, a lot of factors at play. it added up to a day of red. >> bret: thank you. to discuss all things happening here in washington with the a

honeywell is below 3m is below.nited tech is low i think that's just a preview of coming attractions >> i'm not even going to bother asking about ge, then. >> we got ge's trades at this. >> uyou have some big components of this that have been hard to hit. the structure of the trade makes perfect sense. >> when we talked about boeing, that's how we started this conversation jp morgan reversed 5% from its pre-market, they're going to hit their numbers in china this stock is going to be on its way back to the low end of the range and it's going to take the whole sector with it >> for other action check on our website. while you're there, check out our super cool newsletter. don't be the only one not reading it in the meantime, here's what else is coming up. >>> don't be such a square >> good advice, because square shares have been flattened but there's one event that could soon save it >>> plus, reach into your pocket, grab your phone and tweet us your question at optionsaction. if it's nice, we'll answer it on air whe

the rhetoric around trade tensions that's sending major stocks like united technologies, caterpillar, 3meing and ge lower today. ge is now in bear market territory. cat, 3m and boeing are all in correction territory from their recent highs >> thank you so much you have any interest in any of these industrial names >> yes, actually >> you think the xwhi's going to be great >> i actually think my company, these are where some very strong balance sheets, in some case, very good dividend yields. so yeah, this is an area i pick in ge is not investable right now. it should be a private equity deal it should be taken private and should be big spatula, new board, new everything. i think private equity guys would pay for that >> $8. >> i try to look at the number have you tried to read that balance sheet? >> i gave up >> so the point is, i don't think, my own personal speculation. i tried to understand, what's the free cash, 2018, 2019? they talked about a buck once. said it was 95 cents i think it's going to be 50 cents. this is a very expensive stock the fact they don't know what it is, is a ri

taking a look at the dow, 3m dragging about 100 points off abbey itself after earnings. "squawk alley" back after this stay with us play "do it like this". [music plays] [dog barks] [concert roaring] [music stops] dinner in 5. when everything's connected. it's simple. easy. awesome. let's go over to domenic chu at hq he's got the european clothes. dom. >> europeans are mixed you see the dax, german business sentiment declining in april a different check of a sixth consecutive day of gains and the recent pull back in the pound contributing to that particular move higher. shire also among the big gainers in the uk as you have been hearing from of course, you, david, takada pharmaceuticals taking a fifth takeover in the uk you move on to some of the tech side of things the company dragging down some fellow apple suppliers, they have a slowdown site citing key customer complaints a different story with sap >> that reporting quarterly results at b and it's gaining grounds on salesforce and oracle as well. you wrap up the earnings picture. volvo missed the swedish truck player

boeing, cat, chevron, exxon mobile, coke, 3m, travelers, at&t, verizon. take your bit. >> alphabet, facebook, amazon, microsoft. i think that's what's important. josh last week was talking about buybacks so far, $205 billion in buyback authorizations year to date. that's up around 48% of that, $95 billion is technology alone so i think you're in the sweet spot now of the earnings cycle you're going to hear from these large cap technology companies, and that's going to be so critical to where we're going. last point, listen, i'm going to emphasize this again i spoke about the dollar at the beginning of the show. the market can't have it both ways you can't have rates move higher and the dollar move lower, and if the dollar is going to move higher, you have to be a little bit uncomfortable with that. technology has been a tremendous sectoral benefit of a lower dollar >> the oil rally, we see the dollar move higher >> this is the week for tech alphabet today you have, as we have already said, you have facebook this week, amazon >> microsoft >> if you think t

, and they are concerned about google's privacy costs, and competition from amazon. 3m down, and youee, part of the reason why the dow is off this morning, and not a lot, about 30 points right now, to 24,419. the nasdaq and s&p 500 managing to gain. mostly the nasdaq, 7156, up a third of the a percent. >>> well, also new this morning, facebook now publishing the internal guidelines it uses to decide when to remove content on the website. the published community standards include detailed guidelines used by facebook's content reviewers when decided to allow or remove posts. the standards detail methods for determining if they should be considered hate speech, terrorism, or threats of violence, and facebook is also adding an appeals process for users who believe their content has been improperly removed. >>> the biggest airline to ever have headquarters in the bay area is flying its final flight tonight. alaskan airlines bought virgin america 2 years ago, and there's only going to be one reservation system, one app, and all will have the alaskan logo. the gates, ticket counters, and ti

for economic data today on home prices and consumer confidence and earnings from big companies like 3m, coca-cola and ver size zon. the nasdaq lost 17 yesterday. shares of google could be on the move, alphabet reported earnings last night that beat wall street's forecast. marketers and brands continue to snap up ads tied to google searches and the company made sizable profits from the debts on tech ventures like uber. google is spending at an incredible rate, spotify is hosting an event where it's expected to use the future streaming service. don't rule out a possible hardware announcement. the largest guess is for a speaker similar to google home. another possibility is a car focused for new type of headphones. spotify has 70 million subscribers worldwide and 40% of the u.s. streaming market. back to you, marcus and laura. >> coming up next on "today in the bay," a look at the tuesday forecast. >> it starts out nice, we had patches of fog this morning as we get a live look outside in fremont as you get ready to head out the door. a look at the temperature trend for much of the warming

that sector reported earnings, uniteo teches topped expectations and the company raised its outlook. 3m's earnings were in line, the outlook not so great. caterpillar really set the tone. when its stock fell more than 6% its worse decline sin 2016. dominic chu has more details. >> a lot of today's weakness is being pinned on one company in particular, and that'srp calar. things seemed to be humming along just fine with them posting solid gains early in the sessio after reporting better than expected results and boosting its full year financial forecast, then its earnings cala kicked off chief financial officer put a little fear back into investors. >> the first quarter got off to a slow start for project spend. we expect the target investments for future growth to be higher over the remaining three quarters. the outlook assumes that first quarter adjusted profit share will be the high water mark for the year. >> in other words,he profits posted by caterpillar this past quarter could very well be the best resultsor we'll see fhe remainder of the year. yes, the st is still bullish but the i

travelers, verizon, caterpillar and 3m reporting before the opening of trading. going to be a big day. that will weigh on markets or influence markets. right now a rally of 100. >> it's good to see the markets. these numbers have been extraordinary. talking of the decade since we have seen these numbers. and yet, markets have been back and forth. it's good to see them up 100 year because fundamentals underlying us is good. i think that is going to rattle investors a little bit because we don't know the alphabet question. what is happening in the future. >> among turnout they will come in and implement their protection rules and whether the u.s. regulator will do behind. >> google has said 18 months we've been ready. maria: the technology giant google is. alphabet be the numbers yesterday. reported earnings of $13.33 per share on revenue. here is what capital partners dan niles accurately predicted would be the big issue ahead of this report. listen to this. here is this week on friday. >> the problem with google is the exact opposite. facebook guided expenses of

the dow tumbled nearly 425 points led by caterpillar and 3m. tech stocks were also along for the dive with google parent company alphabet falling by nearly 5%. facebook, amazon and netflix were all off nearly 4%. the nasdaq was also down by triple digits today and the s&p 500 lost 35. overall the dow is down by nearly 3% year to date. >>> some angry protesters crashed a wells fargo shareholder meeting today in iowa demanding resignations for a series of company abuses. another person there calling for change, california state treasurer john chiang. our allen martin is in the newsroom right now with wells fargo's response to this. >> ken, they said we're sorry and we're fixing the problems. it is the message from the san francisco high pressure based company and its ceo tim sloan. that's not enough for the dozens of protesters who marched and chanted through the streets of downtown des moines, iowa today. at 1 point they forced their way inside the hotel where the shareholders were meeting. >> here today you have people from all over the country

mscky, they're names that you know, deere, 8% revenue exposure to china, caterpillar 9%, boeing 11%, 3m 13%, borg warner also 13% exposure, as well. if you look at some of the charts of some of those stocks, you see either market perform or underperform action in those names. many times it's because they're used as gauges of that trade deal or lack thereof with china. one other one to focus on is general electric this is a stock obviously that has had its own issues outside of chinese trade stocks. the stock is hovering near a -- a multiyear low. it's also a stock that gets about 8% of revenues from china. so its own secular issues and company specific wants to deal with as well as some of the ones with china and you have general electric shares taking a bigger than average hit today, as well. industrials overall certainly a huge point of contention and interest for traders in this marketplace specifically as an indicator for china and perhaps others back over to you guys. >> you have a great weekend. dom mentioned ge, the worst performing industrial name in 2018, down 25% more than 56%

boeing, 11%, 3m, 13% ford warner on the auto parts side 13% exposure as well. if you look at the charts of some of those stocks today you will see either market perform or market underperform action in those names. many time it's because they are used as gauges of the trade deal or lack thereof with china one other one i want to focus on is general electric. this is a stock obviously that has had its own issues outside of chinese trade talks and whatnot. the stock is hovering near a a 2 week mul year low. but it's also a stock that gets 8% of its revenues from china. its own secular issues its own company specific ones to deal with as well as some of the ones with china, and you have general electric shares also taking a bigger than average hit today as well so industrials overall certainly melissa lee, a huge point of contention and interest for traders in this marketplace specifically as an indicator for china and perhaps others >> thanks dom, have a great weekend. dom mentioned ge the worst performing industrial name in 2018, down 25% and more than 56% over

we are working on precision health with 3m health. and we can take healthcare data to dramatically increase efficiency. and lower the cost of medicine. and decrease the evidence which we all know happens across to increase the safety and the liability. i went production and lower the cost of energy for consumers. it just starts like smart software. it scares some people. you can understand why. and the fact that you are ahead of this makes some people feel a little bit more comfortable. i think they are applying at six times the rate that united states companies are. these are very bright people and they are moving ahead very quickly. they basically promise the ability in predictive analytics. we can put prevents -- prevent it before it happens. for diabetes. do you fear anything and what you're doing. they have to shut down the division of its ai. they learn to communicate with each other that people in charge of the project cannot understand. like the information technology era as we go into this new field they're going to be issues

icw, honeywell, 3m, they can pull it off. ge has to simplify.an: you've got to look at lockheed martin, one of the most beautiful stocks for 25 years. they increase the dividend. people forget about that. they look at defense only. alix: brian is sticking with me. karen, thank you very much. this is bloomberg. ♪ retail. under pressure like never before. and it's connected technology that's moving companies forward fast. e-commerce. real time inventory. virtual changing rooms. that's why retailers rely on comcast business to deliver consistent network speed across multiple locations. every corporate office, warehouse and store near or far covered. leaving every competitor, threat and challenge outmaneuvered. comcast business outmaneuver. alix: this is bloomberg daybreak. : of nothing is happening in the market. dow jones futures are up by 11 points. everything else is flat, europe as well. sterling is weaker after esther carney -- mr. carney took a rate hike off the table. if the boe has the confidence of the hike in a couple of months, it's a st

on the flip side, we have 4.5%.et shares down by 3m shares are lower as well.estor expectations low going into the report. however, rising costs and weaker demand for automotive and dental products meant cuts to this year's sales and profit forecast. alphabet, this is looking at the capital expenditure as a percentage of sales. you were seeing a steady increase. now you are seeing more of a surge. that is a source of concern for investors. that will continue as it spends on cloud and consumer products to catch up with amazon and apple. economic forum is facing competition. the global meetings started in 2016. they bring is this leaders and academia and government trying to spar the future. frank ase yourself competition? frank: we are not benchmarking ourselves. the meeting is a seaside resort close to lisbon. we'll have the goal meeting in early may. 600 from around the world and key ministers to talk about the future. mark: you are talking about sustainable development, blockchain, digital future, embracing ai. amidst an interesting geopolitical backdrop. is

: a big day for earning dad is six dow components including united type, coca-cola, caterpillar and 3mock market futures now moving higher. the dow

and 3m is another story about concerns of the industrial and manufacturing center.all street census warning signs and the weaker forecast undiminished outlook adding to the pressure as you can see the stock plunge. texas instruments gave a rosy forecast and that sent shares moving higher. they make chips that helps most electronic devices, and forecast beat most estimates, diffusing concerns. that sets up for a tech positive going into the wednesday session. peoplend still plenty of in the metals market. aluminum with the biggest drop in decades. su: what is fascinating in terms that coming look at down, the biggest to date slump we have seen in 30 years for aluminum. the worst since 1988. -- the u.s. has softened its position, but take a look at how some of the aluminum companies have traded, particularly alcoa. -- can see those are down moving on the opposite direction under this concerns. but many on wall street say the sharp drop as this forgiveness of -- adds to the speculative nature. and oil was heading to the $70 mark and many on wall street are saying 80 co

thank you for your time. 3m, greatlyrpillar, hit by the trade tensions. their stock is reacting.t are they telling you about the impact on the business? >> the thing to keep in mind is the issues raised by the u.s. are legitimate ones the companies want to see addressed, intellectual property rights protection, technology transfer policies in china. we are hearing from companies the issuessue is -- needs to be addressed by the chinese government but they want the u.s. government to find a path forward to have a long-term solution to them, rather than imposing sanctions. shery: these issues have been ongoing for a while. within the pain right now be worth the game later long-term? >> you have to have a path forward, we are looking for details on that. not clear how a tariff gets you to a solution on a tech transfer issue or intellectual property rights. we need clarity and how that will solve the problems. david: do your members think the markets may be overreacting, at least initially, i talked to someone from the auto industry who said we make our cars in china. >> the thing to

we look at some of these companies like 3m. just to name it through. we have industrials like that. nobody is even as you said looking at treasuries and sayed let's spike the sealed. that find a interesting. when you have a day like this any happier in the marketplace you see a big jump. you see them bind them up like crazy. they're not doing that right now. and that's mainly because i think a lot of the players are playing the stock side. i don't see the fear of transfer into the other markets. and then i look at one of them with skepticism. this overdone selling on the headlines after the weekend. it seems to be just based on fear and not reality. when the foreign traders come back over night. if you start to see europe coming back into the market. i think if the wait at least a 24 hours to get a real feel for it. >> the british markets. they've just announced it's have its worst a quarter quarter since 2011 is it spreading. who knows. can we go back to ashley webster. the general consensus here is all of this has been over done today. there is a bit of a data gap right now. a tra

but 3m is underperforming them all regarding fears of what is next.e talking about notices with the likes of sness withr, -- nervou the likes of caterpillar, it is a double whammy. abigail: but then why is caterpillar warming around -- there was such an oblique statement in terms of q1 being the best and 3m saying 2018 could be weak. julia: when we got these forecast upgrades from noerpillar, they said potential geopolitical issues or trade concerns are factored in. there was this jarring reaction in light of this conference. thank you. julie: let's get a check on the markets as we had to break. we continue to monitor the selloff. turn was such a dramatic based on caterpillar in the middle of the day. i had to correct myself -- the 10 year yield touched 3%. i have some temporary amnesia. this is bloomberg. ♪ julie: this is "bloomberg markets." julia: take your pick of market drivers. this is what is going on as far as the dow. now..1% right we have talked about this threat the show. -- throughout the show. 6.6%, regarding the conference call we mentio

but there are some troubling trends we're seeing. 3m look at this down another 2% today.t's down about 9% this week they're close to a 52-week low slightly lower guidance on the top end. they got killed on it. they're giving no mercy to anybody. then the banks aren't rallying again. down another roughly 1%. goldman sachs down this week despite the 10-year being over 3% the question is the consumer staples. 52-week lows here's coca-cola down another 1.6% none of them have any pricing power. the value of the brand names are slowly eroding we've been talking about 52-week lows all week in this particular group. guys, back to you. >> thank you for that. >>> tech stocks in focus today after we await earnings from facebook after the bell. we have bertha coombs with a look atz what are the main moves today. >> the nasdaq trying to turn a positive here. it's been negative much of the day. still lagging. but we are seeing some of the sectors now moving a little bit better tech moving higher chips are still a bit under pressure, but it's some large chip names today that are showing

we had companies, massive companies like 3m, caterpillar and on a separate exchange even google's parent alphabet essentially warning about growth going forward and all of this is happening against a backdrop of potential higher borrowing costs for companies that will make it more expensive for them to operate. and we also have this huge question mark over trade and what happens with that. the u.s. and china are facing a deadline and there's a big question about whether those they're tariffs will go into effect. these companies didn't say their earnings were bad today. these are investors seeing slower growth and that is impacting the very dramatic market move. one observation i took away today is that this move looked even more dramatic than the actual result of the companies. so that just goes to show you how nervous investors really are, brooke. >> cristina, thank you so much. >> and more on george h.w. bush in the hospital. >> and the odd moment when president trump called out the french president's dandruff. hey ron! they're finally taking down that schwab billboard. oh, not so fast

goldman sachs, apple, 3m accounting for a large position. don't forget all the tex stocks.pple got crushed on friday. facebook up 1.6%. apple up more than 2% as is alphabet, google, microsoft and ibm. here is a look at financials. don't forget we're kicking off really the big earnings season friday. we get end of the week, jpmorgan, citigroup, wells fargo, these are the names we're watching. earnings season overall is supposed to be pretty darn good, 18.4% for s&p 500 companies year-over-year from last year. you can see up across the board, two and 3% gains. trish, a quick tidbit on monsanto. that is more than 60 billion-dollar deal with bayer. so the justice department moved forward with the megadeal with bayer. the stock reacting. it was halted. reopened up, up 6.6%, more than three-year high there. trish: nicole, thank you very much. with his reaction to all of this, former white house press secretary under president george w. bush, ari fleischer. good to have you here in the house. >> in the studio. trish: are investors overreacting? >> it is wise for investors to look

google tonight, alphabet, as jon reminds us, and tomorrow is going to be kind of insane between cat, 3m, lilley, lockheed, and more >> a lot of good numbers coming. >> yes, wapner at the conference let's get to the half. >>> the chimes are going off that means the sohn conference is ready to begin. welcome to a special edition of "the halftime report." i'm scott wapner we're live today from lincoln center at the sohn investment conference in new york city where some of the biggest money managers in theworld are pitching their best ideas all for a great cause, to try to end childhood cancers. we will be hearing from the bond king, jeffrey gund lock today, jamal is here, bill gurley in the house, larry robins, a whole lot more throughout the day. we'll bring you all of the headlines as

a host of companies report earnings, including many that say are vulnerable to a trade war. 3m and boeing and intel and chevron. a trade spat could affect their business. some tariffs will lead to job losses. the administration imposed tariffs on steel imports last month. the federal reserve bank of new york says those steel privileta are likely to cost more jobs than save. >> the tariffs always issue with macron and donald trump. >>> breaking overnight. the duchess of cambridge admitted to the hospital in labor with another royal baby on the way. we go live to london for the latest next. we have got a problem. a few problems actually. we've got aging roadways, aging power grids, ...aging everything. we also have the age-old problem of bias in the workplace. really... never heard of it. the question is... who's going to fix all of this? an actor? probably not. but you know who can solve it? business. because solving big problems is what business does best. so let's take on the wage gap, the opportunity gap, the achievement gap. whatever the problem, business can help. and i know who can h

shares tumbled 6%, 3m fell 7% after reporting it won't make as much money this year as thought. google parent alphabet racked up lots of expenses in the first quarter. that sent shares 5% lower, dragging down the entire tech successtor. another threat -- sector. another threat, the most widely watched bond rate, ten-year u.s. treasury, hit 3%. the first time in four years. for everyday americans, higher rates mean more expensive auto loans and mortgages. for investors, it could eat into corporate profits and signal more inflation. we're also watching, dave, what's happening to the yield curve. and you've got the yield curve starting to flatten, and the people who watch the markets get concerned about what's happening in the yield curve because it's doing something that usually happens before you have the recession. >> by most metrics, the economy's extraordinarily healthy. >> absolutely. even in the case of caterpillar and elsewhere, you're hearing that the threat of tariffs and some of these trade moves are putting a cap on things for them. >>> ahead, a windchill wind 24 hours

we've got earnings from 3m, caterpillar and coke and ver rise zon, could ends the losing streak dragged down by tech stocks. we're looking at an open of 150 in about an hour from now, that's better than the dow yesterday falling 14, the nasdaq lost 17 yesterday. other economic data, home prices and consumer confidence. shares of google could be on the move. alphabet reported earnings last night that beat wall street's forecast. marketers and brands continue to snap up ads tied to google searches and the company made sizable profits from the tech measures like uber. google is spending an incredible rate paying partners to steer more smartphone users to its search results. >> target plans to ad charging stations to electric cars. 20 states over the next two years, that equal to 600 parking spaces. the project has the backing of several partners including tesla and voekz wagen. target cited a lack of available charging stations as a reason for why electric cars aren't as popular as they think they should be. back to you. >> thanks, eric. >> so if you fear snakes, turn away. still listen. s

steel prices are up since the trump administration slapped tariffs last month. 3m won't make as muchr as they thought. and alphabet 5% lower. that bad tone spreading around the world overnight to asian and european markets. u.s. stock futures are down too. in breaking corporate news, just a few moments ago we learned comcast is going head-to-head with fox in a bid for sky. that tops an existing offer with 20th century fox. watch the media space, chris. >> thank you very much, christine. we appreciate it. we'll all be watching. >>> dr. ronny jackson facing trouble. does he have the support of our nation's heroes? remember, this is about the veterans. we keep failing them in health care and support services they get. one of the largest veteran groups is the iava, their leader joins us next. it took guts to start my business. but as it grew bigger and bigger, it took a whole lot more. that's why i switched to the spark cash card from capital one. with it, i earn unlimited 2% cash back on everything i buy. everything. and that 2% cash back adds up to thousands of dollars each year... so

now earnings season began with huge profits for the nation's big banks and caterpillar and 3m reportedlooks, apple and tesla and watch snap. it's the parent company of snapchat, the stock tanked last week after it launched a redesign of the redesign of its app. its still trading below its ipo price. investors worry snap will not be profitable enough to live up to the hype. we'll get a good read on the strength of the economy this week. reports on consumer spending, trade, construction and manufacturing and the monthly jobs report on friday. if that all weren't enough the federal reserve starts a two-day policy meeting on tuesday. now don't expect a rate hike. investors think the next one will come after the june meeting, but any hint from the fed about the future pace of interest rate hikes could move the stock market. christine roman, cnn, new york. let's begin. yes or no? do you want the same tools and seamless experience across web and tablet? do you want $4.95 commissions for stocks, $0.50 options contracts? $1.50 futures contracts? what about a dedicated service team of trading sp

. >> earnings next week. 3m, caterpillar, coke, lock heed, boeing, comcast, twitter, and a lot more let'scome to "the halftime report." i'm melissa lee in for scott wapner two big movers we're focusing in on general electric and apple ge surging, but off today's highs. the stock is now negative for the year with us for the hour today, steve, josh, john, and surratt we'll get your take on both in a minute, but let's get to morgan brennan with the details on ge he's live at the nyse. >> that's right, so we had a

cat shares down 6%. 3m, down 7%. reported it won't make as much money this year as it thought. alphabet racked up lots of expenses in the first quarter. that sent shares 5% lower, dragging down the whole tech sector. another threat to the bull -- the most widely watched bond ra rate, the ten-year treasury note yield, hit 3%. the first time in four years. for every day americans, higher rates mean more expensive auto loans and mortgages. for investors, it could eat into corporate profit and signal inflation. the bond yield, this is getting a lot of attention. 3%, it isn't 1981, by the way, when rates were higher than this. but still, after these years of low, low interest rates, those rising interest rates and a flattening yield curve, not to get too technical, are sending some signals that they're spooking wall street. >> the volatile market continues. >>> speaking of volt tilt, a whirl -- volatility, a whirlwind 24 hours for rapper meek mill, freed from prison after his controversial sentencing nearly five months ago. this extraordinary story next. ♪ over... hey, want to try i