joining me is max wolf and our guest host for the hour, david kirkpatrick. happy for both of you. happy new year to both of you. what is going on with netflix and amazon? david: probably not a whole lot. so little that whatever happened in the stock market today for companies like that is probably very short, in my opinion. ok, max, wall street guy, what do you see as the connection? why were tech stocks hammered today? max: happy new year and thanks for having me. want to wear the moniker of tech guy, but my take is the following. three different streams collided today. when you cross the streams, as we learned from ghostbusters, not all together good things happen -- altogether good things happen. the high flyers of last year today.ld off you give yourself alone on the tax bill. anything that causes greater loss of confidence in chinese data sends shockwaves. we have seen the chinese market get propped up through various and sundry means. i think the market was a bit overbought. the reason i think it does is i think the pre-ipo tech names are affected because the multiples they h

david kirkpatrick is with us. you make of this flood of self driving car news over the last several weeks? david: elon musk, as great as he is, is way more optimistic about when we will have self driving cars than anyone else i've talked to, but i think the auto industry has gotten the memo that technology is transforming their industry. cars are becoming like basically an ultimate mobile device. software is becoming hugely important in how they operate. one of the things i picked up at ces about self driving cars is that these carmakers, particularly ford, don't think we are going to buy them ourselves. these are going to be fleet vehicles that are going to be used in circumscribed areas like emphasis or -- campuses or downtown areas. it is very expensive to it i don't think the ordinary american is going to be buying a tesla anytime soon. i do think that self driving cars are really a sleek problem, and they are going to be basically not the kind of technology transformation that we expect in the short-term. i th

david kirkpatrick brings us his update from davos. vid: there is a huge question that comes up time and time again about what technology is going to do two jobs. attending on was the travel industry, one of the travel industry ceos said he thought the biggest single issue they are going to have to deal with is what is going to happen once all the jobs in their industry start to go away? about what are the political ramifications and what does it mean for their role in the community. one of the people he has invoked who wrote to talk about this issue and it was a big defining issue last year as well. concern of tech's roll on job creation and job destruction is not going to go away. >> david kirkpatrick in devils. -- in davos. the nation's fourth-largest wireless carrier moved up the date it will report earnings. that reinsured investors about it turn around. sprint fell to multi-year lows earlier this week. the companies expected to report its first full year of subscribe -- of subscriber gains in eight years. after a four-day slump th

david kirkpatrick brings us his update from davos. d: there is a huge question that comes up time and time again about what technology is going to do to jobs. one session i was attending on the travel industry, one of the travel industry ceos said he thought the biggest single issue they are going to have to deal with is what is going to happen once all the jobs in their industry start to go away? he is thinking about what are the political ramifications and what does it mean for their role in the community. one of the people he has invoked most art -- who wrote to talk about this issue and it was a big defining issue last year as well. the concern of tech's roll on job creation and job destruction is not going to go away. and we are likely to be hearing about that for some years to come. emily david kirkpatrick in : davos. a stock we are watching -- shares of sprint climbing the most into an half years. the nation's fourth-largest wireless carrier moved up the date it will report earnings. that reassured investors about its turnaround

cory johnson and david kirkpatrick.: coming up, we will hear more from the apple cfo on his quote, saying he sees softness in china. we will be back. ♪ scarlet: apple just coming out with its earnings, the company forecasting a filter climb for this quarter for the first time in more than a decade. last quarter, profit beat estimates while sales missed. you want to check in with emily chang, who spoke with the cfo about the results. she joins us now from san francisco to give us a synopsis of what he said. emily: just got off the phone overall,cfo, and record epf, record sales, record iphone sales, record watch sales. those are numbers that any company would love, but there are some comments about china that may cause a little bit of concern. i want to read what he said. he also said that sales of the iphone in mainland china are better than ever, up 18%. he said specifically they continue to see strong business in china, very strong interest in our product, all-time records for iphones in the first weeks of january. ho

still with us, david kirkpatrick. i will start with you, david. does baidu have a chance? i think they have as good a chance as google. i think there are distinct differences in the chinese market that a chinese company will be better able to take advantage of. i also think that just as google has some logical positioning and self driving cars because the database aspect is so huge, running a gigantic software backend is going to be necessary to provide the guidance for these vehicles and the intelligence behind them. i think baidu is just as likely to do that well as google. emily: explain how f along they are when it comes to developing self driving cars? specifically compared to google. baidu has been very quiet about what it is doing with all driving cars. it is the largest search engine in china. it has also been investing a lot of money into artificial intelligence, also has a winning position in mapping technology within china. the argument that they would make is china's a market that is different from other markets, so that they feel like they have a home field ad

david kirkpatrick, thank you so much. cory johnson, bloomberg editor at large.lix: much more coming up on "what'd you miss?" to has the fed contributed this trend? ♪ the usc negative rates? the markets pricing and a 10% change that interest rates will sink below zero next year. explain. is here to there are a couple of metrics you can look at for this. one, the option on eurodollar futures. can you take us through that? >> we have a great function on a terminal for interest rate probability. you can go on that function and take a look at this. what it's showing is that there is this whole probability distribution implied by options on eurodollar features. starting toside is get better, so investors are assigning it a greater probability that interest rates go negative by the end of next year. the chart that we just showed was the explosion in open option contracts betting on that. protecting against that prospect. has it been done before, to go negative? what are the risks involved? matthew: it has not been done before, but we have seen it in europe. one of the

david kirkpatrick, thank you so much for joining us.o today,n of course the policy statement is due out at 2:00 p.m. i want to bring in brendan greeley who joins us now in washington just before the lockup. know just yesterday we talked about the careful word choices janet yellen will be working to today. what one we get from her? carl: it will be one of those meetings were in his wordsmithing supreme. what we don't get from them today we surely don't get a rate increase. i don't think we get any bold reassessment of the economy. the federal works and very fine and subtle measures. what they will do is attempt to drive distinction between their policy and what we heard from mario draghi last week. he said downside risk to the economy and more stimulus probably coming. the fed is going to say basically economic prospects have diminished, but the more stimulus is not coming because that would involve backtracking on the december lift off. they want to be very clear that no remorse over lift off and will try to lean into the markets that a

the hour, alsoor david kirkpatrick. we have to talk apple earnings.pective, apple.