this is wednesday, march 25, 2020 on cnbc welcome back i'm courtney reagan. off this half hour with breaking news as the senate and white house strike a deal over an historic $2 trillion stimulus package that will send money directly to americans. >> after five days of arduous negotiations and sleepless nights, we have a bipartisan agreement on a rescue package. >> eamon has been following this since day one. i hope you were asleep when this came pass at a little after 1:30 this morning >> you are right i was asleep we are waking up to this news this morning off of capitol hill it is a massive news i know it seemed slow for a lot of observers, by senate time, this was extraordinarily fast. this is how mitch mcconnell announced the deal in the 1:00 a.m. hour. >> this is a wartime level investment into our nation i'm thrilled we are finally going to deliver into our country that has been waiting for us to step up. >> the main center pepiece this will be known for is direct checks to people for $1,200 for people make up to $75,000 and $2,400 for couples making u

. >> good morning, i'm courtney reagan live from the nasdaq marketsite in times square futures look to erase at least part of yesterday's very massive loss right now, futures are indicated higher by 443 points, s&p by 53 and nasdaq by 173 points it was a rocky session over the past 12 hours. the dow futures well off session lows indicated higher by 556 points the dow plunging more than 2,300 points down 10% the worst day since black monday of october 1987 when it fell the dow and s&p 500 are on track for the worse week since 2008. a sea of red in asia but now green across the board in europe the ftse 100 higher by 2%. mat taylor is live in singapore and steve sedgwick in london >> it was a rough session for the asian markets. they were well and truly off the lows a number of markets turning back bear market turn around in hong kong still around by about 1% trade was halted amid steep falls. up 3.4% for the week down some 13%. japan was the biggest decliner around about 10% at one point. no money going into the relative safety of the japanese yen we continue to see the yen weaken still

i'm frank holland along with courtney reagan. >> good morning to you, frank.heck on the markets and where things stand in the early going before those opening bell sounds the dow jones is indicated lower by almost 500 points, s&p off by 58 and nasdaq is lower by about 190 points looking at the bondmarket. right now, the 10-year yield is at 0.77% the yield on the 30-year is at 1.365% all of this after the rally we saw marking three straight gains. yesterday, the dow jumped 1,300 points the dow is up more than 17% this week on track to snap a two-week losing streak. back to you. >>> mostly green in asia overnight. we have team coverage around the world. matt taylor is in singapore. we'll toss to you first. >> it was a mostly positive session for the asia-pacific market seemingly shrugging off most of the futures in this session. japan heading up near 4% with the best weekly gain on record japan was up 17% this week despite the yen strengthening sitting at that 108 level. china markers were firmer despite weaker data. industrials falling by more than 40% in the f

this is cnbc welcome back, i'm courtney reagan live at the nasdaq market site in new york city.are set to surge at the open we are right now at limit up we cannot move any further this comes after a really rough day yesterday. the dow industrial average up about 5% is just about 929 points s&p is at 102 points and the nasdaq is higher by 331 points all of this after the federal reserve unveiled new tools yesterday to help stave off an almost certain u.s. recession. the fed announcing a virtual qe program for buying mortgage backed securities. it will now purchase important bonds and corporate bond etfs that track the investment grade corporate debt market. that means the fed is buying like i shares or vanguard long-term corporate etf. right now, moving in opposite directions the i share bond etfs are higher more than 2.5% despite the fed's announcement yesterday, ultimately, another rocky do you with the dow closing at its lowest level since 2016 on pace for its worse month since 1931 worldwide with plenty of positivity in europe and asia. matt taylor is in singapore and karen i

. >> courtney reagan explain more about what triggered this big sell-off. courtney? >>> good morning to you both. i think you mentioned it but it's worth repeating because this is a pretty historic move. we do have halted at the new york city stock exchange. this happened about 9:34 eastern time, about four minutes after stocks opened. there was a circuit breaker triggered. they were put into place in february of 2013 and this is the first time they have been used in this form. circuit breaker kicks in to keep the losses from accelerating. this is all happening as the narrative of the careful careful continues to evolve as the virus spreads around the world, here in the united states, there is major concern that this will put a big dampening effect on economic growth it people are sick or afraid they're going to get sick, they're not going to work, not going to school. some are asking people not to come to work from home, to do online learning. that could have a material impact in economic growth around the world. that was already dampening markets and things like oi

. >>> good morning welcome, i'm courtney reagan in for brian sullivan what a day it is shaping up to be again today, but looking different than what we saw on monday we'll kick off this morning with a tuesday turnaround dow futures are pointing higher indicated higher by more than 900 points 920 points at this moment. the s&p 500 indicated higher by more than 104 points and the nasdaq up by 323 points. we have a lot of hours left until the opening bell sounds but this is come after the worst day for stocks with the dow falling more than 2,000 points in a single day. the sell-off triggering the first halt to u.s. trading in 20 years. as it stands right now, all the major averages are in correction the dow transports and the russell are in bear market territory down more than 20% from recent 52 week highs. same thing goes for energy financials, industrials, materials and tech all those sectors also in that same boat bonds are hovering off the low, ten year is back above energy pouncing back after the worst day since january of 1991. right now wti crude is higher sitting below $33 a par

. >>> good morning and welcome, i'm courtney reagan live in times square we begin with breaking news. stocks set to fall at the open at futures overnight hitting their limit down levels once again. we are well off the session lows at the moment. dow jones industrial average indicated lower to the tune of 1100 points, the nasdaq down by 213 points let's check in on the etfs that track the major averages remember, these are not subject to those limit downs the dow etf is indicating a drop of 3.75% the spy down by 3% the qqq, that tracks the nasdaq, down by almost 3%. let's take a look at what's going on in the fixed income market and take a look at treasuries this is a closely watched barometer of everything going on with the economy and the markets. the yield on the ten-year note is sitting at 0.38%. a rough morning in energy. gasoline futures are sinking, trading near their lowest level on record rbob down 0.53 the dow is come off its worst weekly point loss. all three major averages are coming off the worst week since the 2008 financial crisis. all three more than 30% off record high

. ♪ >>> good morning and welcome i'm courtney reagan in this morning for brian sullivan with me thisour aaron gibbs. we're going to kick off this morning with a wednesday whips off for wall street. stock futures look to erase the majority of yesterday's gains. right now we are indicated for a lower in the dow jones industrial average, futures pointing to lower open of 482 points, s&p500 down by 58 and nasdaq off by 161. let's check out the action in the bond market. this of course has been something that we've really been watching before we go there, we're going to watch the dow futures for you again, down 1.4% in the early going. in the bond market, the yield on the ten year is above 0.7%, 0.741% look at the 30 year, above 1, but still 1.2% those are levels we haven't seen in so, so long all of this comes after the dow saw its third single biggest point gain ever searching 1,100 points and in the close snapping a three-session losing streak. the major averages remain in correction territory that's down 10% or more from recent 52-week highs we are seeing right across the street overn

i'm frank holland with dominic chu and courtney reagan., over to you >>> we are looking at the futures market the dow down 360, the s&p 500 similar move, that's if these futures losses hold at the opening bell, 9:30 a.m. eastern time today also looking closer at the treasury markets 10-year yields drifting to the down side about .81% treasury yields to the two side of things. treasuries, stocks indicating what could be more of a risk aversion-type day. >>> turning over to overseas trading. red arrows overnight a bit of a mixed picture matt taylor is in singapore and julianna tatelbaum is with us for more >>> it was a mixed performance we did have australia and new zealand moving hire. when we did have the picture sinking after the confirmation the u.s. stimulus package has been passed in the united states, we did see a number dropping in asia japan is dropping there amid a tokyo lockdown that really rattled the sentiment in japan strengthening the yen. the japanese market coming off the best two-day gain since 2008 a lot of stimulus and si

. >> announcer: this is cnbc breaking news, market sell-off >> good morning, i'm courtney reagan live at the marketsite in times square this morning. stock futures set to extend the sell-off take a look at futures dow jones indicated lower by more than 1,100, s&p down 130 and nasdaq more than 82 points testing these limit down numbers where we have a mechanism in place to keep us from falling further. yesterday, the dow lost 1,400 points to close in bear market territory. down more than 20% the s&p 500 just above bear market levels. if the s&p hits 2,709, it will be the fastest drop on record. we are set to hit that level at the open the 10-year level trading below 1% at 0.39%. the 30-year at 1.2%. oil falling and hovering around $31 down almost 5% it is really not just red in the u.s., it is red across the board around the world asia and europe is lower you see the nikkei off by more than 1%. ftse 100 off by 5.5. and president trump announced he is suspending travel to europe in an attempt to stem the spread of the coronavirus to u.s. shores we have global team coverage matt taylor i

a major move by sidelining 80,000 workers courtney reagan is here to take us inside that story courtney> reporter: hi, kelly of course when the outbreak started to take hold we saw many retailers close the doors. starting with two weeks and now for, well, who knows when? while the stores are closed the workers are getting furloughed as are many of the corporate workers because the majority of sales from physical locations. so some of the retailers that i have been counting, i have at least 24 here in the last couple of days. the department stores are names like that you mentioned. macy's, jp penny, neiman-marcus and spishlty retailers, gap, inc. including old navy, banana republic and ath leta. and ann taylor, loft, justice, katherine's. and then urban outfitters, free people, victoria's secret, bath & body works many boards foregoing pay in the period of time even if they are still working. some of the kroeceos that are tg no compensation is of macy's and canada goose separately we got some new safety protocol announcements from walmart because those stores are still open. the retailer

joining us is courtney reagan, hans nichols with the president. lean leanne caldwell and robert costa. courtney, let me start with you, this has been a very ugly start to the day. what have we seen play out here. >> absolutely. not only is it ugly, it's historic. something that we really haven't seen before in this forum. let's catch everybody up, what's happening here today. stocks on wall street are now trading again. but that's after they traded for four minutes, once the opening bell sounded, and then they were halted. they were halted because the s&p 500 dropped 7%. and that triggered a circuit breaker which basically said all trading has to stop now for 15 minutes. it allows cooler heads to prevail. it stops the losses from accelerating. and all of these stocks are falling because of the worries about the coronavirus. and the spreading of this illness around the world and in the united states because if this illness spreads, folks are staying home, they're not going to school, to work. it will crimp economic activity in a way that we can't me

courtney reagan joins us. such a good job of explaining something we had never seen before yesterday. what's your take on today's buybacks? >> today feels a little bit of a relief rally if we can call it. it was historic in the fact we saw these circuit breakers kick in at the new york city stock exchange yesterday within four minutes of trading because the selling was exacerbating to a level that was quite scary, frankly. the circuit breakers kicked in, halted trading, cooler heads prevailed. as the day went forward we stayed low to be sure but didn't accelerate too much further past that lower 7% that is where we ended. we are seeing a slight rebound of 2.5% or so. that's better than what we saw yesterday but we're already off some of the highs of the session and we're already off some of the hopeful levels the future market was indicating before the opening bell sounded. president trump suggested yesterday perhaps they were in the process of revealing details of a tax relief, a fiscal stimulus to help prop

for more on that we'll get to courtney reagan. >> good morning to you we actually have some new news and protocols out of walmart in order to help keep associates safe, so walmart has decided that they're going to start doing temperature checks for their associates first they'll start at the fulfillment centers and distribution centers then move to the hot spots, the areas of the country where we've seen the outbreak be the most intense they're asking associates to take their temperatures at home and following this 6, 20, 100 rule six feet of social distancing, 20-secondhand washing, and the temperature of 100 means you need to stay home. they expanded their protocols for what that means for sick leave and paid time off in order to keep their associates and the public safer they're installing plexiglass shields. they're looking at doing one-way aisles for customers to make that flow a bit easier as far as limiting the number of people in the stores, they say it's a delicate balance. we want to make sure individuals are able to get the food and essentials that they need. we have reduc

macy's to furlough the majority of the employees this week courtney reagan with the full story for us now >> hi there, kelly macy's is joining several other retailers furloughing the majority of its workforce amid the still widespread store closures because of the covid-19 outbreak so the employer sent a note to its employees today basically saying that while the e-commerce operations are open macy's lost a majority of the sales due to store closures. the department store says it's taken measures the shore up the financials like tapping into the $1.5 billion line of resolving credit, freezing hiring, canceling the orders the ceo is not taking a salary other salaries cut and not enough so that means now macy's, bloomingdales and bluemercury moving to an absolute minimum workforce needed the maintain basic operations meaning the majority furloughed this week. the digital business is open and some likely will be moved to a furlough situation health benefits will continue through at least may for those that have them and macy's picking up 100% of the premium. once things are back to norma

. >> i'm courtney reagan in this morning. we begin with breaking news. a global market sell off under way. dow futures pointing to a drop of 1300 points at the open but futures have hit their daily limit down across the board. that means stocks could open much lower than what's indicated right now here on the screen you can see the s&p 500 is indicated lower by 151 points and the dow by 1300. bond spark is hitting again. the ten year yield is sitting above half a percent this new record lows we're hitting here nearly across the board this morning hovering maybe just above the record lows but look at the 30-year bond, under 1% that's happening for the first time ever. at 0.925%. now all of this is happening as theprice of crude oil has crashed. and that is not an ap exaggeration oil is hitting its lowest levels since 2014 as saudi arabia announces a massive production ramp up and price cut. crude is now on pace for its worst day since the start of the first gulf war back in 1991 when it lost 33% in a single session. and the iea just out with the latest re

courtney reagan at hq with more on their numbers. >> costco beating on prove it and revenue for the quarter. comparable sales up 9% including gasoline also above analyst estimates that's the quarter ending february 16path process kaskto gave full month sales. and they noted up tick for the last week of february associatewood the coronvirus and consumer purchasing. costco estimates that that added that surge in purchasing added 3 percentage points to make it 12.1% for the monthly comp growth for the full company for the full month of february now, cfo richard gallanty giving more detail moments ago on the earnings call. take a listen. >> we're getting deliveries daily. but still not enough given the increased levels of demand on certain key items. bits been a little crazy in terms of outsize shopping frequency and sales levels and not only in the united states. >> he went on to talk about how they are going to have to do some limits. but it's going to vary by store and region and giving shout out to the team members working through that because it's an evolving scenario. now they said the me

response to the growing virus outbreak ni nike, apple, underarmour, a number that are closing shot courtney reaganns us with the latest. >> so, it is the new normal in a country where officials are asking us to limit our gatherings and encouraging social distancing, imposing curfews. the list will continue to change but among the retailers that are closed, this is not an exclusive list, but most of these retailers are closed for at least two weeks. apple, nike, under armour, lululemon, abercrombie, urban outfitters and a number of smaller retailers, warby, away, glossier employees will continue to get paid while the stores are closed other retailers are shortening their hours. this is mainly grocery stores, stores that seles essential items. they're doing this in order to restock and clean their stores so they can continue to serve american consumers these include walmart, neighborhood markets as well as sam's clubs, public, wegmans, banana republic. they estimate mall traffic will, down 75% in the coming weeks some malls, like king of prussia, are closed entirely think of victoria's secret and th

on them for opening the stores for the most vulnerable among us, i know it's a difficult time courtney reagan, thank you for joining us by phone. maybe there's some very good long term opportunities out there. i know that it's not just about the equities it's about debt, i know you've been watching the debt of macy's and others what are you 150eing, the equities have been punched in the face >> and rightfully so, macy's has been punched in the face the closing of the stores and they still want to pay their employees, they're going to be bleeding cash. you have to look at the balance sheet. who can afford to bleed cash looking at macy's, now it's 22%. it seems insane that they would continue to pay that dividend and use that cash when they're going to need their cash not right away, but pretty darn soon they don't have any maturities coming up so quickly, they need to use their cash in a better way. we may have a chart of the debt that's been hanging in there it was hanging in there until recently, and then it got smoked it's down to the low 80s, if you were to buy it, there's only three years

back to you. >> cnbc's courtney reagan, thank you very much. joe, this is obviously a huge part of the story, watching how the markets respond to this. >> yeah. it is. you have to take care of first things first. the president was obsessed with the travel ban. that's fine but, again, the killer is already inside the house. you have to take care of what's inside the house. of course, keep others from coming in. you have the president obsessed with the financial crisis. his top officials are more obsessed with the financial crisis around him than they are the health care emergency that we have. because of that, the president can throw all the money at this he wants. the markets will continue collapsing until he takes care of the underlying problem. the underlying problem is a pandemic. not a financial problem. he needs to show the markets, the heaamericans, the rest of t world that he understands that and he has a plan to aggressively add taaggressive ly attack that pandemic. >> pandemic without an end in sight. the markets don't see the end eith

courtney reagan has a breakdown. >> this is a beat for the costco quarter. i think it's important for us to talk about this quarter ending february 16th. so for costco's quarter, earnings per share of 2.10, beat estimates of 2.06. revenue is 30.907 billion, stronger than the estimates. comp sales again for the quarter up 8.9%, including gas, stronger than the street's consensus at an increase of 6.6%. separately costco reported comps for the entire month of february by that, they were higher by 12%, and specifically calls out an up tick in the fourth week of february, citing the increased demand related to the coronavirus saying they believe it added about three percentages points to the 12% comp two different comp numbers, one for the full quarter ending february 16th, one for the entire month of february we've been all over the map as we have this name, and separately, if i could pivot quickly to gap, we have news, the company nowofficially naming a new kreismt off songia syngal has been with the company since 2004 she was slated to run old navy in the pre

few hours ago it will be temporarily closing stores nationwide because of the coronavirus and courtney reagan has the details for us. >> macy's just the latest in the ever-growing list of retailers closing stores, bloomingdale's blue mercury and more, all those macy's stores that are operated, about 775, will be closed through the end of the month by moi count over 80 brands announcing closures, big names like nike. those ones only have a handful of stores. specialty players still have big footprints 26 footlocker locations are closed, more than 1200 children's place by my count all together we've got more than 24,000 stores in the u.s. that are closed and i actually think that's a conservative number. there's more when you add in the stores that are being closed in canada and europe as well. so, we'll see what happens it does seem like the consumer is hunkering down and the stores are following suit by closing up back over to you. >> courtney, thank you very much for that nancy, you mentioned you bought some stocks today and late last week any retailers in there >> yes, actually, wilf we ini

courtney reagan is following that for us. >> so by my count, some 30,000 retail stores are closed that means no cash flow is coming in, but retailers still have to pay those bills. so you couple no cash flow with the uncertainty for how long is this going to go on and you've got almost 20 retailers tapping into revolving lines of credit in the last couple of days what does that mean? a rerovelling line of credit effectively is a loan that's available should it be needed from a financial institution so if a retailer taps into it, is that bad not necessarily, but like many things, it depends on the circumstance in some cases, it may be to add a cash pad tog a balance sheet that's stable. that would likely be the case with a best buy or tjx here but then there's other scenarios where without this line of credit, they wouldn't be able to pay the bills. names like j. jill a retailer that was already in disstress before the coronavirus outbreak >> courtney thanks so much for that i mean it's really fascinating story. there's been a lot of focus not just for companies like yours, but also for

shortened hours and store closures and also might push some names past the point of recovery courtney reagan has the latest on some of of the already struggling chains. >> retailers flashing warning signs for some time. now you add in the coronavirus pandemic, and these distressed retailers may not survive much longer as quarantines are issues, stores closed, consumers practice social distancing and more, sources i spoke to use various stress test measures, for lack of a better term, to evaluate whether a retailer has the ability to cover its fonl obligations over the next six months to two years. things like debt-to-ebitda ratio, interest coverage, cash flow, credit rating and exposured to the pressured mall are among the metrics used here are some retailers that could struggle operations in the future jcpenney, struggling under several different ceos, large debt payments loom, sales drop and many fear jcpenney is running out of time. j. jill, high execution risk for its languishing turn-around. s&p points to the broad-based restructuring in the next six months a spokesperson tells cnbc "ba

country announcing closures and shortening their store hours in the hopes of limiting the outbreak courtney reagan has the latest from the nasdaq. >> these lists are going to continue to change because it's really just become a new normal in this country where officials are asking us all to limit our gatherings and encouraging social distancing and posing curfews but this is where we are, tloat least now among the retailers that have closed most of these are at least two weeks, names like apple, nike, under armour, lululemon, columbia, abercrombie, levi strauss, plus you have smaller names closing up their stores like warby parker, glossier, and away the good news for employees is these companies are planning to pay employees during the time that the stores are closed and online operations are still up and running for the most part at least for now. now, there are other names that are shortening their hours these are mainly grocery stores, and they're doing so in order to have time to restock and clean the stores, so these names with shorter hours include walmart, and its neighborhood markets as w

. >>> nike and apple among the big names closing retail locations in the united states courtney reagan joins us she has more on this front right now. you think this is just a precursor of what's to come? >> i really do i feel like pretty soon we won't need these lists and we'll say everybody is closed. they'll continue to change these lists. at least this is what we have now when we're living in this new normal in a country where officials are asking us to limit our gatherings, encouraging social distancing and imposing curfews, and closing bars and restaurants. among the retailers we know right now are closed, mostly here for about two weeks, include names like apple, nike you mentioned, underarmour, lululemon, columbia, abercrombie & fitch and urban outfitters and warby parker, glossier, away, and that's not a completely exhaustive list. the good news is for most of these store employees, they will continue to be paid while the stores are closed. others are shortening hours. these are mainly grocery stores, which makes sense. they have to have time to restock their shelves and clean