boeing is being valued off of operating cash. we had a step function change in that again this morning. that isoc why the working. we are delivering on the backlogs, the market is rewarding cash and boeing is right there pushing the metrics higher. >> there are some stocks, josh, i think o as must-owns, core holdings in any portfolioe i think ofg that way. am i right to? >> i think you are absolutely right you look across the industrial landscape, who has this kind of backlog? the orders are, tending. the air traffic g twths to be strong. the cycle has pointed to 5.5% growth over the last 20 years. we are getting closer to 7%. 8%.november, it was up the passenger traffic growth, which is the ultimate demand for aircra continues the elongate the cycle while boeing is already delivering on these record back logs. so the cash generation as they increase automation and their through putt is very impressive. then you have new types of aircraft coming on line and moving through the production cycles with better price points and better

boeing.> it is an amazing story. in part, because of what boeing has been able to do as a business. if you look at the dow, boeing has been the top-performing stock in the dow over the past year. carol: shareholders are happy. >> investors are ecstatic. how'd they do it? there is a lot of nuance to that. basically, everyone else in the world, except investors and employees, are, boeing is hurting us. julia: flexing some muscle. carol: let's go to the story. it is a story about the boeing ceo kind of driving everyone crazy except investors. >> we think we know boeing. they've been around for 100 years. in year 101, they've overtaken ge to become the largest and most powerful industrial company. they have really started to shake up the marketplace in ways that we are just now exploring, and whose effects we ultimately don't know. julia: the old slogan used to be " working together." how far does it apply to them today? in any speech that you hear a senior executive give the , phrase comes up "c

we are honing in on boeing, a huge industrial. >> it is an amazing story because of what boeing has beenble to do as a business. if you look at the dow, it has been the top performing stock in the dow in the past year. investors are ecstatic about this. how did they do it? that is what the story is about. there is a lot of nuance to that, because basically everyone else in the world other than investors and employees are like, boeing is hurting us. [laughter] julia: they are flexing some muscle. carol: on that note, let's go to this story about the boeing ceo. everybody is crazy except for investors. we get more from julie johnson. julie: we think we know boeing. they have overtaken -- they had been around for 100 years. they have overtaken ge to be the most powerful industrial company in the u.s. they have started to shake up the marketplace. in ways that we are just now exploring, and whose effects we do not know. julia: their old slogan used to be working together. how far does that slogan apply to them today? julie: boeing today is really in every speech you hear a senior executive g

in part, because of what boeing has been able to do as a business.f you look at the dow, boeing has been the top-performing stock in the dow over the past year. carol: shareholders are happy. >> investors are ecstatic. there is a lot of nuance to that . basically, everyone else in the world, except investors and employees, are, boeing is hurting us. julia: flexing some muscle. story --t's go to the the boeing ceo kind of driving everyone crazy except investors. boeing.ink we know they've been around for 100 years. in year 101, they've overtaken ge to become the largest and most powerful industrial company . they have really started to shake up the marketplace in ways ,hat we are just now exploring and whose effects we ultimately don't know. julia: the old slogan used to be "working together or code -- working together." julie: boeing today, in any speech you hear an executive give -- the phrase comes up compete to win." this is a company that seems unafraid to play hardball, to knock heads together. if people don't like the consequences, they don't s

we are honing in on boeing, a huge industrial. so, it is an amazing story, in part because of what boeing has been able to do as a business. and if you look at the dow, right, boeing has basically been the top performing stock in the dow in the past year. carol: shareholders are happy. joel: investors are ecstatic about this. how did they do it? and that is what the story is about. and there is a lot of nuance to that, because there's basically everyone else in the world, other than investors and probably employees, are like, boeing is hurting us. [laughter] julia: yes. they are flexing some muscle. joel: muscle is is an understatement. carol: on that note, let's go to this story about the boeing ceo. he is driving everybody crazy, except for investors. we got more from julie johnson. julie: we think we know boeing. they had been around for 100 years. but in year 101, they have overtaken g.e. to become the most powerful and largest industrial company, and they have really started to shake up the marketplace in ways that we are jus

in part because of what boeing has been able to do as a business and if you look at the doubt, boeingas been the top-performing stock in the doubt over the past year. happy.lders are >> investors are ecstatic about this. how did they do it? that is with the story is about. there is a lot of nuance to that. basically everyone else in the world, investors and employees are saying that boeing is hurting us. flexing some muscle, muscle is an understatement. >> let's go to the story because it is about the boeing ceo driving everybody crazy except investors. we have more from julie johnson. >> we think we know boeing, they have been around for years. but they have overtaken ge to become the largest and most powerful u.s. industrial company and they have really started to shake up the marketplace. this is in ways that we are just now exploring whose effects we ultimately don't know. >> the old slogan used to be working together. applyr does that slogan to them today? -- ining today is really every speech you hear a senior executive give, the phrase comes up -- compete to win. this is a comp

those parts remain on boeing aircraft to this day. a spokesperson for the company he worked for, moog incorporated said the parts in question were later tested and determined to meet specifications, that there had been no reported issues with these parts and none are flight safety critical. the third party chinese vend they're supplied them no longer supplies boeing. >> i don't think anybody knows how serious the issue really is. >> reporter: former acting faa administrator joseph debalso and his administrator mike rio both say the faa is not doing everything it can to monitor, track, and keep unapproved parts out of the system. >> they need to treat an unapproved part no different they live than they do any other safety issue. >> i don't believe the faa has kept up. >> reporter: congressman peter defazio of oregon says right now the faa does not pay appropriate attention to about approved parts. >> one critical component that isn't up to manufacturing standards could take down a plane midair. >> reporter: that concern prompted him to

-- because of the hawkish boe.ake a look at yields here in the u.s., up slightly. we end up looking at potentially more supply coming on if we get a larger budget deficit from a budget deal. nymex seeing its biggest daily loss in more than two months. japan's softbank made by as much as one third of the world's largest reshore. swiss re. the deal could be valued at more than $10 billion. softbank's ceo has been looking to diversify his empire. blackrock wants to raise more than $10 billion to buy stakes in companies. the world's largest money manager was -- would make investments on things like the growing middle class. blackrock is seeking capital from other big investors. congress votes on a two-year spending plan that would avert a government shutdown at midnight. the senate proposal would provide over $300 billion in additional funding. that gives members of both parties something they wanted. that is your bloomberg business flash. alix: markets fluctuating following that budget news. treasury yields slightly h

we spoke exclusively with boeing ceo dennis muilenburg.t he told us about mergers and acquisitions, taxes, defense, and a lot more. and let's give you another look at stocks as we are about 37 minutes into trading this morning. you can see all the major averages higher. we're back right after this. obvious. sometimes, they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group - how the world advances. ♪ with its high-tech the cameras and radar, contemporary cockpit, 360 degree network of driver-assist technologies, and sporty performance, what's most impressive about the glc? all depends on your point of view. lease the glc300 for just $449 a month at your local mercedes-benz dealer. mercedes-benz. the best or nothing. >>> this is like at green show here shares of boeing continuing to soar coe dennis muilenburg joined us here this morning and talked about the company's growth the stock price has been remarkable and yes, th

boeing did 10% last year, they're guiding to 11 this year. they target 15 by the end of the decade, we think they can go to 16 or 17. >> how how is that growth sustainable >> really it comes down to a fundamental shift in the model, right? the way the airplane business is the way it works is you invest billions of dollars to lose billions of dollars in the hope you'll make billions of dollars and so for the last 30, 40 years you've had good programs and bad programs and they average out to a mediocre return but at the beginning part of this decade, boeing decided you know what we'll take our two cash cows, the 737 and the 777 and put new engines on them. we won't develop new clean sheet designs, we'll take the risk down, give our customers what they want and we'll go build new planes at higher prices on production lines that are already in place and a work force that's already capable of making those and so you're no longer averaging a good plane and a bad plane to get a mediocre margin, you're shipping everything out of production lines at a

even though, they allowed boeing to install the parts as is. >> those parts remain on boeing aircraft to this day. a spokesperson said the parts in question were later tested and determined on meet specific that's there had been no reported issues with these parts, and none are flight safety critical. the third party no longer supplies boeing. >> i don't think>4 anyone know. >> and he his business partner at jda solutions both say the ada is not doing everything it can to track and keep unapproved parts out of the system. >>> they need to treat an unapproved part no differently than any other safety issue. >> i don't believe the faa has kept up. >> the congressman said they have not paid enough attention on unapproved parts. >> one critical come component that isn't up to manufacturer's standards could take down a plane mid air. >> that prompted to have the inspector general weigh in. >> they have outsourced their heavy maintenance to overseas. >> one terrorist could put in a part that intentionally will fail. >> cite go recordkeeping weak knows, lack of management control, and inacc

—— boeing. good morning, asia. hello, world.you could join us for this edition of asia business report. i am rico hizon. we start off with asian markets and they have opened higher after the mulch will stay on wall street, which saw the main us indices plunge for making record gains. here is where things stand right now. the nikkei is up by 3%, thatis right now. the nikkei is up by 3%, that is 660 points. the asx all 0rdinaries index is up by i.2%, and the hang seng index, according to the hang seng index, according to the futures markets, will be opening in positive territory. we will have the initial numbers for you in about five minutes‘s time. it is important to keep this wild ride in perspective over a longer period because the markets look very different. the nikkei has gained 14% over the last year. hong kong's main share index, the hang seng, is up by 31%. australia's all ordinaries index showed a 4% gain. however, there could be a lot more volatility in the markets, so is it a good market for retail investors? earlier,

re the order because the boeing planes were too expensive.out any return to a hard border between northern ireland after brexit. they comes northern ireland after brexit. they co m es after northern ireland after brexit. they comes after the leak of a letter from a fork —— foreign secretary, boris johnson‘s from a fork —— foreign secretary, borisjohnson‘s a or, in which he appears to contemplate the future of this possibility of future customs border check after the uk leads the eu. they‘re the cabinet‘s true believers. does you uk need a fairy godmother? no, senior managers agree that all of written and northern ireland will stick together and when, despite the obstacles and doubts. so today, the international trade secretary said critics were wrong to say britain should stay in a european customs union and give up the freedom to strike independent trade deals, notjust wrong... it would be a complete sell—out of written multinational interests, and a betrayal of the voters in a referendum. but even before that warning, the critics were joine

what stocks are on a mission right now to go higher let's start with boeing. this stock has been going up pretty much in a straight line ever since we had the ceo on the show in december, with he confirmed that business is stronger and that it's getting evening strong are when the quarter went on. it's incredible how much the stock wants to go buyer i think the stock of boeing which went out at $356 is headed for $400, where it might run out of steam because it will become the most expensive stock on the dow and how do you spot a stock that's on a mission like boeing? did you see how this thing traded today even though three separate research firms pushed it hard, boeing's stock traded done $2 at the beginning of the session because of a funky opening that had more to do with weakness in european than here but almost instantly boeing took flight mastercard is on a mission, too, a mission to $200. i've liked this name for ages as part of a fabulous secular theme, this switch from paper to plastic. mastercard reported yet another blowout quarter, which is amazin

boeing executive is going to take us inside the negotiations with potus and boeing coming up. the corner u janice is celebrating with mascot and she is having too good a time. even the mascots can't keep up with her. steve: she is our weather mascot ♪ everyone lives for the music go around ♪ bright lights and music r the p number spring clearance event' on the only bed that adjusts on both sides to your ideal comfort, your sleep number setting. does your bed do that? it's the last chance for clearance savings up to $600 on our most popular beds. ends soon. visit sleepnumber.com for a store near you. it's 6 am. 40 million americans are waking up to a gillette shave. and at our factory in boston, more than a thousand workers are starting their day building on over a hundred years of heritage, craftsmanship and innovation. today we're bringing you america's number one shave at lower prices every day. putting money back in the pockets of millions of americans. as one of those workers, i'm proud to bring you gillette quality for less, because nobody can beat the men and women of gi

think of a boeing.ny reasons the reason they led the rally is because of their identified cyclicality and boeing, it's all about free cash flow. >> what about cummins, which is their pick of the sector >> i think it's very interesting especially when you want exposure to ev engines and guys part of that process to me one of the best automative engineering companies out there, a company that's been through many cycles before, a company at times which has been thrown out with the bath water in the last couple of years but trading well. >> we've talked about alphabet, and lam. what about citigroup being one of the four names to ride out an aging bull >> because the financials at least have a valuation that are tolerable here, if not in many cases exciting they're financials that also probably in the next 12 months are going to be giving capital back raising their dividends, payout ratios will increase obviously, they are tied to interest rates and make no mistake, i mean, i think the things we're focused o

because there's nothing like boeing >> there is nothing like boeing. >> if you give me another boeingl give you a stock that goes higher even just a piece of boeing. when i look at what united technologies -- remember they bought goodrich? >> yes. >> paid for beach front property for rockwell. >> a big number for rockwell >> it was, it was. >> i felt that ge was going to buy. a good opportunity for ge. but it didn't come together. >> no. ge's obviously dealing with its own many issues. and of course, the potential break-up there is something we have talked about many times the board's looking carefully at that guys, did want to -- >> feisty. more feisty, the board chuck flannery is more feisty. >> langone lamenting the loss of talent and the degree of morale taking a hit. >> there is a perception in a lot of these companies that it's really kind of new ten-year in the making but maybe i don't want to work at a place that's not doing well opposed to a great storied company. but we don't have any numbers. mr. flannery can probably say that's counter to everything so -- but united techno

stock shortage, boeing has been a voracious buyer of their own sales. boeing's business wasn't hurt by wage inflation, or some vix product. the stockgot slammed with everything else this month but the story remains in tact. i can only pray it goes lower after today's end of day give up i have been saying that the stock is headed to 400 then a stock you might be familiar with name of river, no, not denial, it is called amazon. some of you may know it as alexa. competitors may know it as the death star most popular cloud on earth. but if you are like me and tons of millions of others, you notice amazon prime which defines the way we shop. scratch that, it defines the way we live. all this means that the stock's rally was i think gettable maybe as gettable as they come identifying amazon hidden in plain sight. did you get washed out of amazon because you heard the fed chief may be worried that the economy is too hot if so, that is called a mistake. that is why you need conviction to stick to your guns. there is another stock that you may have felt compelle

boeing and cisco, as we've mentioned has been big performers so far this year. when we come back we'll hear from both ceos. >>> warren buffets is doubling down on his investment in apple. should you follow his lead we'll weigh in, still to come on closing bell where can investors seek predictable income in an uncertain world? pgim sees alpha in real assets. like agriculture to feed the world. and energy to fuel its growth. real estate such as e-commerce warehouses. and private debt to finance transportation and infrastructure. building blocks of strategies to pursue consistent returns over time from over one hundred fifty billion dollars in real assets. partner with pgim. the global investment management businesses of prudential. but prevagen helps your brain with an ingredient originally discovered... in jellyfish. in clinical trials, prevagen has been shown to improve short-term memory. prevagen. the name to remember. and the nx hybrid with a class beating 31 mpg combined estimate. lease the 2018 nx 300 for $339 a month for 36 months. experience amazing at you

they bring their latest jets plane like boeing and airbus.s are also a big chance for companies to announce deals that they have just signed and get some headlines, that means handshakes, smiles and normally a display of model planes. but airshows are not just about selling planes, they're for everyone in the industry and this company is touting a system that helps airlines personalise in—flight entertainment systems for individual passengers. but way more fun is showing off a virtual reality helicopter simulator. a fixture at every airshow, the world's military, they are the ones with the shiny shoes and the medals. defence is a huge part of any major airshow, it's where people come to show off their latest military hardware. the traditional flight display you get atan the traditional flight display you get at an airshow is a subtle or not so subtle way to show the world what you're capable of for the military, but for everyone else it's just a chance to see planes going very, very fast and doing some tricks. a bit too much me in this progra

excluding bonuses, the key measure the boe looks at. the pickup is still well below inflation.bank of england is looking at. they see wage rises picking up speed and the real income gap, cost of living below what you are in, is tightening -- below what you earn, is tightening. vonnie: for the u.s. viewers, what does it feel like on the street? do you know the brexit vote happened, is like continuing as normal? >> sun still rises, not true as it is winter. [laughter] what is amusing from the testimony, written testimony, the bank of england has it wrong. , retail sales are weaker at the moment but the of 2016is, since august economyy cut rates, the has gone along nicely. they are turning around to say we need to raise rates because the economy is so strong. you, marcus ashworth joining us. vonnie: time for the bloomberg business flash. lloyds will invest $4.2 billion in technology as part of a three-year strategic plan, the biggest mortgage lender will buy back up to $1.4 billion worth of its own shares as they reported fourth quarter profit was down 20% which missed estimates.

amongst to boeing, others. boeing head of sales in asia, she's told me that essentially even though jet fuel prices are double where they were two years ago when boeing first unveiled the plan, he does think the industry can withstand it. take a listen. >> they are doubled. they were at an all-time high in nd 2009. the industry has gone through that chart and this is still a comfortable region to be in. meeting the oil prices around $70 right now. we think the market will continue to bear it. keskar says heh believes $60 to $70 is the capital. he says the greatest risk here infrastructure, updating some of these airports. there is continue to demand from passengers around the world to matriculate here in asia. manus: everybody has got their headwinds. juliette saly there at the singapore airshow. coming up, getting sworn in. jerome powell is to take over as chairman of the federal reserve today, succeeding janet yellen. what will he inherit, and what way will he lead? this is bloomberg. ♪ anna: this is "bloombe

president trump is taking credit on this with boeing. the cost will be $3.9 billion for two planes from boeing. this is far less than the earlier estimate of $5 billion.>>> there will be a form tonight featuring four of the candidates of mayor for san francisco. these people on the screen will appear at the forearm. this will be at the irish cultural center in san francisco. a spokesman for this woman says she has no candidate being listed as the valid as president of the board of supervisors but that is up to the department of elections to make the change.>>> this maybe the wind is bigger storm of the season. >> we had a little taste of it. we had cool temperatures in some parts of the bay area. the storm could bring a lot of rain. that brings risks of flooding. >> in southern california, they are being asked to evacuate for the storm. santa barbara county sheriff's office is worried about the coming storm. they do not want to see a repeat of the montecito mudslide. they're asking people to evacuate their homes. the next step is a manda

. >> nobody sells boeing down $20 in a click in a matter of seconds. >> no human. no human. >> no human being does that and means to do it that did not happen -- >> although it was an 8% move that's moved 50% since june. >> no one is going to put that number >> the stock gets sold down 30, 40% and people got taken out who possibly either had a sell or a buy order. >> hold on >> that has to be what i think -- again, i'm going to ask dumb questions you can say it's a dumb question, good one, whatever there are a lot of people who are not normal "fast money" viewers. they see the dow down, what happened to the dow, let's tune in to cnbc you could have sold boeing not at an 8% drop is what you're saying. >> right. >> somebody was screwed up or screwed with the pricing mechanism. >> i've been in the marketplace since 1993 this marketplace has seen all sorts of markets you do not put in an electronic market exchange right now and just hit a button and press sell you don't do it. nobody around this desk does it. you can't do it because you wind up selling boeing down $20

neighborhooded him to compete to -- boeing to compete well against bombardier and airbus.mpetition and that is something obama emphasized over and over again, we have to have free and fair trade and obama favored it because he felt it put our economy at a disadvantage now suddenly if someone wants to say politically this is a mistake, this -- chuck schumer was in favor of it and obama was in favor of it i don't really get where anyone from any political spectrum would be against it. >> that's a negative action, i don't know, i'm befudled by it >> jim, last night, i don't know if you saw, providence is good, they beat -- >> i watched it. >> remember when '74-71 with seconds left and had visions of an upset. >> saturday will be great. >> saturday is everything. i think that villanova, i don't know what seed they are going to be if they don't beat xavier what seed? because providence love five games. >> blew them out in philly but we'll see what happens thanks, we'll see you in a couple of minutes. ha couple of big interviews that we just showed, thank you. we'll see you. exp

we were asking him about a lot of things, including elon musk and boeing's place in the growing space race here's what he told us >> elon and the spacex team, you know, they're adding energy to the space market, and we like the attention that that's generating i think it's good for the country. i prefer to put our focus on performing, operating, delivering for our customers, and we are building that full rocket to mars as i told you, it's about 36 stories tall it's being assembled -- >> 36 tories. >> we're going to test flight in 2019 and i firmly believe first person gets to mars is going to get there on a boeing rocket. >> we don't talk as often about boeing certainly as much as spacex. >> not at all. >> or even blue origin from jeff bezos when it comes to exploration, but they are obviously putting a lot towards it as well. >> it's amazing. the capitalist race to mars. i mean, you wouldn't have thought that was going to be a driver you wonder if it really will be a commercial opportunity it's kind of interesting how boeing with, you know, kind of works with this locked-up pipeline

jpmorgan, boeing, and nike.y the way, boeing announced a deal with president trump for new air force one planes, which will save the taxpayer $1.6 billion. is it 1.4 billion. $1.4 billion in savings. mark the likes it. >>> macy's posting better profits and better sales. more on that in a moment. stock is up 31 cents. >>> comcast making a 30 billion-dollar bid for sky. that is challenge for the parent of this network. more on that too. more on the markets, school shellady, tjm senior vice presidents. what are you wearing, for heaven's sake, where are you? >> back in london. here we are. stuart: you look like a canary in a coal mine. i won't say a word. are you still with me? >> all right. stuart: the market wants to go up. are you with me on this? >> well, we haven't changed any behavior, stuart. yeah, you're right. the behaviors should have changed but this selloff or slash collection or rebound will not scare anybody out of any bad positions unless those were in vix volatility selling positions. looks like we'r

>> some type of partnership is on the table >> it's looks like it could be done >> reporter: boeing'sup will give it a leading share into the 172 market it hopes to secure the competitive edge with airbus with bombardier on the controversial c-series last year it could face stiff opposition from the brazilian government which holds a so-called golden share in embaer, we'll have more details with aviation, aerospace and defense as our coverage of the 2018 singapore air show continues. i'm dan murphy, back to you. >>> ryan air shows opened higher, ryanair did see a jump in its third quarter net profits which rose 12% to 106 million euros. that was ahead of analyst forecasts and despite ongoing labor contracts, the carrier also updated its expectations for profits. we're talking to a senior analyst at burnstein research. with the pilots, i think they just said ryanair, their demands are laughable. they want to try and match some of the salaries that they're seeing at higher value carriers. and now difficult is this going to be as a challenge for the airline, they want to continue to expa

and i'll put this out there as well boeing, we talked about boeing for a long time on our show.'ll say one thing a few weeks ago, boeing was trading close to 30 times forward earnings they trided higher and it's still 25 times higher earnings which is not cheap for boeing, especially if interest rates start to rise. >> look at the quality of the earnings >> 100%. it matters at a certain point. >> you also have to think of the stability of the cash flows. that avionics business is a thing of beauty. i mean, it's an incredibly high margin business that's really giving you a lot of stability in those cash lows. >> stock up 70% since july good stuff for you, but at some point, you have to assess whether that is something that's in the price >> would you rather own the airlines or the guy who makes the bus? >> if we're talking about higher gdp, i think the airlines look very interesting, especially after a pullback >> mr. wonderful, congratulations. >> thank you i won't gloat. i won't gloat, and i'm still unhappy i'm not getting my dividen dividends. >> thank you thank you to you, to

very good business for boeing and airbus.ific will billion estimated passengers by 2026. boeing says the region will need at least 16,000 new planes to meet the demand. and south australia is to provide solar panels and tesla batteries to at least 50,000 homes to build what authorities say will be the world's biggest virtual powerplant. batteries will be installed free of charge. worldour, tesla built the largest lithium ion battery to support south australia's blackout prone grid. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. i am ramy inocencio. this is bloomberg. yvonne: thank you. we are counting down to major market opens in the asia-pacific. expecting lawson's -- losses to deepen. david ingles is here with the early look at the possible carnage we are expected to see. it's not just the weather we are worried about. now, in australia, 1.4%, have a look at my chart to give you a sense of how deep the losses are early in the market. biggest one-day drop for austr

you look at exactly what michael is talking about and boeing has a service, boeing commercial services where 24 hours the plane doesn't remain on the ground and they dispatch the parts, et cetera. i was saying why can't we take the mindset that we are buying readiness. i don't care, i don't actually want to own parts, i want to buy readiness. i am buying 99% up, how does supply chain get it there? that's the value they provide me and that's what we provide for. there was no way for us to validate what a true price was because of the way boeing handled it which was not their fault. that's the way the commercial world looks at it. so, to adopt some of these programs which are low hanging fruit, we really have to change the way we do business. >> michael, what you think some of the most exciting projects on the horizon? how does it get presented to the secretary? >> we have regular dialogue with the secretary and staff. we have invested in undersea vehicles, including much-needed propulsion that does not rely on lithium ion batteries which we've been very clear and we come up with somethi

thing in business is protecting the down side and the most important part of the negotiation with boeing was to persuade themg they actually agreed on that. they wanted to see a competitor. what was the price they got from british airways. airways. so they agreed.. that was 35 years ago. it's extraordinary. none easy business. for sure. and the fact that you havee made it work for such a long time. we set up three airlines. and they have all been very successful. they are usually successful because of the people. they only excel if they are given the tools to do a great job. so i think what was critical in those things is a every single little detail and the kids who traveled there would not they wanted to see those videos. we have standup bars for passengers. i'm sure a lot of romances. and we are not the kind of airline that we were a fun airline. do you want to change the brand. it's an interesting marriage of brands.>> ours could move in your direction a little bit. let's talk about the future and by the future i mean space travel. it is one of the greatest adventures of all time. yo

the dow jones industrial average is down 601 points boeing weighing heavily on the index. onere is a lot more to do another crazy market day for your money we're back right after this. ronoh really?g's going on at schwab. thank you clients? well jd power did just rank them highest in investor satisfaction with full service brokerage firms... again. and online equity trades are only $4.95... i mean you can't have low cost and be full service. it's impossible. it's like having your cake and eating it too. ask your broker if they offer award-winning full service and low costs. how am i going to explain this? if you don't like their answer, ask again at schwab. schwab, a modern approach to wealth management. >>> that's about a 150-point turnaround in just the past few minutes for the dow. but the dow still now down about 515 points that is a better than 2% slide twitter shares rallying today after the company reports its first ever, first ever net profit the stock higher, up more than 60% in the past year who'd have thunk maybe julia boorstin did julia joins us now with more j

they're involved with both airbus and boeing. so they're essentially bidding on their capacity, but get squeezed >> ge is going to be gunning for that business. that's a crown jewel of ge, which is a different subject but if you want to instill some of the real core attributes, jet engines is at the top. >> it's one of the less risky stocks right now >> by announcing this and potentially breaking it up, you put a floor to the stock because now, people look at each part, some of the parts. when you have employees at unit ued technologies, they're not going to leave because they know their stock is bid up. you're doing acouple of things at the same time keeping leadership in there so when you split up, they're not going anywhere >> liesman, you might as well have some food >> i was talking to a guy in this space who said that utx may be better broken up. actually not too long ago. and my question to these guys is is this sort of a post conglomerate world i see utx trading at a discount to its competitors ge didn't work out too good

boeing was up again this week. boeing, i think, is up around 500% over the last five years.he last two years. it's kind of gone parabolic in the last year. and the ceo was on cnbc this week and he makes a very compelling case about trying to get 21 times next year's earnings, that doesn't seem -- >> he also said this is not cyclical anymore >> yeah. and that was the part that caught my eye because when people start going, we have a different business now that's the one where you always stand back and go, really? really, is it that different >> that's a really cyclical business airbus is doing well, the airlines are doing well. we also know there are times the airlines don't do well when you're in the airplane business, those orders can go so quickly, so fast especially if you're depending on emerging markets, which these guys are. >> it's a fair point we talked about how strong boeing has been. we want to get you information on the russian indictments affecting markets this afternoon with eamon javers. >> reporter: we have a statement officially from the president of the uni

jillian: a new deal with boeing. >> how it will save us some big bucks. >> $3.9 billion deal with boeingr force one planes, saving $1.4 billion there. the original estimate was pretty high. the new airport comes with communication sweet, large galleys and other features, this would replace the aging reagan era airplanes they have. jillian: self delivery. >> forward may be driving pizza trucks. these would be in miami and you would order pizza from domino's. the self driving car would pick up pizza from domino's, load it all up and drive to your house, self driving. this is a few years off but it's would be available in miami. that could be pretty cool. rob: miami drivers are bad enough without automated cars driving around. thanks so much. jillian: in coming the tweets. >> massive immigration sweep, ice rounding up dozens of illegal immigrants despite democratic mayors heads up warning. >> i do not regret sharing this information but i felt it was my duty to share the information i had. >> an exclusive ride with federal immigration agents trying to enforce the law. jillian: the newest mi

the falcon heavy launch by elon musk the boeing ceo says the work of musk and others is competition >they are adding energy to the space market we like the attention that that is generating. it is good for the country i prefer to put our focus on performing, operating, delivering for our customers we are building that first rocket to mars it is about 36 stories tall. we are going to the first test flight in 2019 the first person that gets to mars is going to get there on a boeing rocket. >> for more to find out what elon musk thinks about boeing's contribution to the space race, head to cn to cnbc.com >>> to the olympics, germany has won yet another gold medal in the luge this time in the team relay event. natalie guisenberger and johannes ludwig. germany has won three of the four luge competitions at pyeongchang. whoever thought the germans would be so good at luge germany is now leading the way the dutch have fallen into third followed by the u.s. and canada. >>> the dollar index has hit a three-year note as the green back continues its dissent the dollar fell against the yen for th

just like in one thousand nine hundred three the malaysian boeing crash was leveraged against the enemy. a new wave of sanctions hit russia mediately after the tragedy. the united states is imposing new sanctions in key sectors of the russian economy almost a year and three months later the dutch safety board published a report that is itself a flight m.h. seventy crashed because often. i have three well for and or i have the today just outside of the arrow playing the best the left side of the cockpit the report didn't blame any specific group or person and estimated a very wide area of three hundred twenty kilometers as a zone from which the missiles fired at the same time the russian producer of boog missiles day conducted its own independent investigation. that they speeded me up the fullest. loue of the delicate got me shots if you like yet the nist is up a school during the experiment they blew up a retired airliner with a bouquet missile and came to the conclusion that the malaysian plane was brought down by the older type of missiles not used by russia anymore but still in the p

[laughter] but the next morning i called up boeing and said can i talk to your sales department? >> i'd like to buy a 737. >> i was put through to a lovely man named rj wilson and he took the phone call and i said you have any secondhand 740 sevens for sale? he said yes we do. tell me who you are. i said i am richard branson i have a record company named virgin who is janet jackson and the rolling stones. he said what do you want a 7474? i said it isn't that one long -- that will run we could start an airline to give british airways a run for the money. there was a long pause. [laughter] and then i am very lucky it was him on the other end later i realize how lucky i was he said richard, you said your name is richard? i will come and see you but obviously you're going to have to change the name of your company because nobody would expect an airline named virgin to go all the way. [laughter] >> that is good. i bet you've used up before. >> so he came and we got off on the 747 and that was useful business advice. [laughter] to you can imagine the people running the record company g

boeing signed one billion dollars worth of services orders,

you say the subsidies of airbus, what about subsidies of boeing.we know we both got our cases, right, they are too subsidized their companies because frankly you actually can't build big aircraft without some form of a state subsidy and boeing is no exception. don't do that was to the detriment of other players and i think, i'm not going to comment on specific cases because they don't necessarily have the facts at my disposal but i think american companies do invest in europe, do purchase companies in europe and there are takeovers so i think it's something of a myth to say it's no problem for the europeans have to take over european companies but it's very difficult for european companies to take over american companies but i just don't think that's true, objectively. >> i would just add, if i could, also respectfully that if there are bad policies around the world as the u.s., i don't want to emulate them. so setting aside whether something is true or not, if another country is putting up barriers, that is not something we want to emulate. i just

but global growth, boeing saw severe action yesterday, 25% in the downside, boeing just announced a billionarly a billion dollars worth of work and services orders in asia from airlines in asia, so you look at the price action on boeing yesterday and where it's at, where it's trading now, it is carrying the dow higher. >> boeing is now down 4 bucks. >> it was down four bucks but -- stuart: boeing is up 250, 281. [laughter] stuart: let me sum this up, you say don't buy anything yet, it's got a couple of thousand points to go south. >> correct. stuart: mike murphy says get in there and buy. you sticking with facebook. [laughter] >> i will call you. stuart: all right. let me see, again, the action for a couple of years has been in the big technology stocks so i have to go back to them. they took a big hit yesterday and some of them are bouncing back today except microsoft, it's still down 25 cents, 87.75. remember, microsoft was at 95. i think it hit that level. now at 87. i'm not crying about this, i'm still way up, i'm seeing whop ping great big gain. >> it would create a bubble and that wou

based boeing which has outperformed air bus by twenty percent this year alone until thursday airbus also confirmed that they will increase production of their popular a three twenty plane used in commercial air travel by seventeen percent to seventy planes each month there's been no announcement as if as if air bus will increase production of the a three fifty wide body jet in response to boeing's large seven eighty seven dreamliner. a canadian bank is hoping to become the fort knox of digital assets verse of bank is on its way to setting up a block chain based digital safety box a digital safety box which will amongst other things protect those who invest in crypto currencies r.t.s. alex mahela vich has the latest from toronto. a small bank in london ontario it's a city about two hours outside of toronto well they're tackling what the big banks don't want to do and that's crypto currencies it's an industry that a lot of banks just simply don't want to touch now we're talking about verse a bank verse a break is thinking a little bit outside of the box the process basically is instead of

stocks like boeing, we have said this some time this stock should not move 3.5 day in and day out andaterpillar, after they reported a great number, great number, lousy price action to a large extent boeing had similar. all beats. it moved up. but the stock moved off of its highs as well. good news, bad price action, that you haven't seen in a very long time. >> for me it's different dip buyers and/or a different mindset. before when you were buying the dip, it wasn't going to be that great. now, you are going to have to say to yourself -- >> are you buying the dip. >> i'm going to look for exactly what he said a day where you open up down 200. reverse and close on the highs that's the day that i buy. >> you said the backdrop was different this time. it was if you look at the s&p we were 7% above the 50 day, or 9% above the 100. and 8 or 9% above the 200. that was extended. now we are around 178 or 2%. now it's back sort -- >> you could have had emerging markets that were as overbought as they were in 2004 i probably said that the problem right now is there is not an asset class that