dom chu has more on this bounce. >> so the energy rebound is in play but like bob said, energy is onemost beaten up sectors and still the worst performing on a quarter to date base tois close out the year we'll see if that bidding continues for the beaten up oil stocks but there is a reason why. wti crude has lost a third of the value from the early part of october. we talk about the internals and why people are looking at value hunting situations every s&p 500 energy stock is now down 10% from the recent highs. that is 29 names in that sector. how many have pulled back by 20% or more? try 21 out of the 29 stocks and that means that dividend yields for many of these names have become very attractive take a look at this. dividend yield of 3% or month out of the 29 stocks 11 have dividend yields of 3% or more, more than the 10-year treasury note. i'll highlight two in particular the two names that have fallen the least from their recent highs. oil majors, exxon-mobil and chevron. chevron has a dividend yield the 3.9% and with exxon you are talking about 4.3% yield there so as we talk ab

back to you guys >> dom chu thank you. >>> let's get to sue herera for a news update. hey, sue. >> good morning, morgan. good morning, everyone here is what's happening at this hour president trump joining leaders of mexico and canada to sign a revised north american trade deal on the sidelines of the g20 summit the president praised the new pact >> this changes the trade landscape forever and this is an agreement that first and foremost benefits working people, something of great importance to all three of us here today >>> ukranian officials announcing a travel ban, and searching the home of an influential cleric of russian orthodox church. they say the cleric is suspected of inciting hatred. >>> in california, first the wildfires, now the flooding. evacuation orders issued for northern california region devastated by the camp fire. they fear it will loosen vegetation and cause mud slides. >> our hearts and thoughts out to those folks. >> absolutely. it is terrible >> thank you. >>> when we return, microsoft versus apple facebook buying opportunity and when to get in

dom chu here with what may be next for health care dom. >> as we talk about health care overall, briane on the idea of valuations for the entire market have resized given the moves lower that we've seen. one of the things that we've seen is the overall valuation from a price to earnings perspective for many of the sectors in the s&p 500 with health care standing up because if you look at the s&p 500's overall forward price to earnings ratio, that is to say how much you pay in stock price today for every dollar of anticipated earnings next year, we're trading just shy of around 16 times that mark again, a revaluation there the health care sectors forward price to earnings ratio, it's in line with the s&p 500 now. not as growthy as some parts of the market, but still trading a valuation that's in line with the market it's lower than it has been in the past one other way to look at it for comparison sake is to take a look at how it compares to, say, technology, consumer staples, some other ones. consumer staples has been a hot sector it trades at a premium 18 to 19% forward earnings let's

cnbc dom chu joins me now. after the president sent out the tweet threatening to cut their subsidies, we saw the stock go down. can the president literally do that? can he remove the subsidies on one specific company? >> i mean, so there's a question about whether what he can do with regard to anything in this environment right now, specifically with regard to his threat about gm, there's still a lack of clarity with regard to what subsidies he's referring to, are these the tax credits for individuals purchasing electric vehicles? if so, i mean, these are possibly things that need legislative approval to go through. so as analysts right now, not just in the auto sector, but also just with regard to legislative policy, start to take note of this, a lot of parsing of details will come out about what the possibilities are that trump could actually take action on this from a unilateral standpoint as the chief executive of this country. >> dom, let's say he had the ability to, he can't do it to just one company and

. >> i want to bring in dom chu. reporting that president trump is going to meet with his trade team today and he wants to talk tariffs on european automakers. we know the president is not happy with manual macron. he feels angry. he feels slighted. especially after macron's stark comments against nationalism, calling nationalism the opposite of patriotism. >> the idea right now is, you know, josh mentioned the idea that trade -- i mean the idea that earnings and the overall market environment is driven by those particular instances. earnings are the most important thing. the geopolitical thing is noise in the grander scheme of things. it is one of the things that's cited most often by people we speak to on our air. the idea that trade and tariffs could be one of the biggest overhangs out there. the issue could be whether there's some kind of room for a bipartisan approach to trade and tariffs if the president is able to do it with places like japan or south korea. the real sticking point is going to be china. probab

dom chu, you have a market flash for us >>> i do it's the currency markets, the british pound takingeg lower. this is comments from uk prime minister theresa may's cabinet according to reuters citing a source, a source saying may will not deliver a brexit statement to the media on this wednesday evening so the idea possibly that there may not be any new developments in this effort to sell the new brexit plan to members of their own government is what's taking those pounds lower, something we'll be watching shares of ewu moving to the lows of the day >> you see the chart interday that theresa day at 10 downing was going to make a favorable comment about the brexit negotiations and that's why the pound had been moving higher off of the proverbial cliff, if you will >> even yesterday that we would see a positive development this idea that we were going to wait to see if theresa may as prime minister could just get her own government, her own cabinet ministers to get and huddle around this potential deal if this were not to happen, the question whether or not it would be broader accepted

crunching ] [ load crunching ] [ whispers ] this is the loudest snow ever. >>> time for our etf spotlight dom chuaking a look at stocks getting hit today with some exceptions, dom. >> you're right. that semi conductor industry continue to be a key focus for traders out there. they've arguably been one of the big drivers of the downside action in stocks a big part of that reason we're seeing underperformance in the technology sector overall even in today's session one of the big trader exchange funds is the semi conductor fund, sosx that fund hit a peak back on march 13th, fallen by around 20% since then it is coming down again to working on that three-day losing streak although we are, again, at the best levels of the day, indicating perhaps some deep value index or maybe short covering off these sharper downside moves nearly every stock in the fund has posted a loss since september. nvidia, advanced microdevices are the two biggest gainers over the last couple of years both now down between 40 and 50% on a quarter to date basis alone. micron technology also a hot spot today by analysts to under

dom chu is back in the newsroom to break down the moves. m >> well, melissa as the market tries to find some footing after a dismal month of october perhaps it's not a surprise that the bigger rebounds after the recent selloff have been the hardest hit sectors over the course of the past month the industrials and materials sectors have been underperforming the market but in this past week's trading they've been relative outperformers. materials is postsing a nice boundback among notable gainer you go dout dew point up 11% and mining company new mont gained 8% then the industrial side one traders have been watching on being on the front lines coming to stock market reaction to the china trade developments and tariffs and whatnot. after taking a hit in october it's a bounce a count bounce back for united rentals up 15% this woke backup construction equipment giant caterpillar with businesses in china up 10% and pen then fireman equipment maker deere up they are bouncing that's a step in the right direction can the bounces last is the question

dom chu is in the newsroom with more. >> there have been two and distinct chapter necessary the consumertory through 2018. in a little over the first half of the of the year the strength of consumer and rising consumer sentiment has played out in the retail landscape you just have to look at the chart of the spdr and equally weighted fund that deemphasizeds the the effects of massively weighted companies like amazon through the latter part of summer a rice, a in the last three months a topping out that got embroid broiled in the market turn overnp a the laggard is luxury. tiffany an example after earnings topped out. just like michael kors tap evidentiary and those shares topped out as well the story has been more mixed with athletic apparel where under armour has been trending higher the better pastor year albeit off to press levels nike and law lieu lemon have seen efforts efforts fade as market pull back but still talking about nike up 20fers year to date under armour up 65% opinion lulu up 69 to 70% year to date. a key will be lieuly earnings report after the "closing bell." options

it was a big week for material and industrials stocks both outperforming the broader markets and dom chus here to break it down. >> as the market looks to find some kind of footing after a dismal month of october, some of the hardest ones were the sectors. both the industrials and materials sectors have been underperforming in the market, but in this past week they have been relative outperformers. materials is posting a nice little bounce back you have chemical producer dow dupont up around 11% just this week alone then mining company new mont has gained around 8% one traders have been watching as being on the front lines when it comes to stock market reaction to the china trade developments and tariffs and whatnot. it's bouncing back as well among the big winners in the sector, a bounce back for united rentals up around 15% this week. construction equipment giant caterpillar which has a lot of business in china up around 10% for the week then you've got farm equipment maker deere up around 7% now, melissa, we have not reclaimed new highs. but they are bouncing and that's probably a ste

crunching ] [ whispers ] this is the loudest snow ever. >>> dow down 150 time for our etf spotlight where dom chuness in tech and where investors should be looking for value there, dom. >> it should be interesting because it's the worst performing sector so far this quarter. it's technology but at this point, given today's trading action, it's pretty much a three-horse race for which s&p 500 sector is the worse since just the end of september. you have tech, consumer discretionary and the collapse in energy-related stocks given crude oil's tumble you could argue that technology matters more than either of those other two since what w a near 21% weighting in the s&p 500 it has more influence on both discretionary and energy combined together, they're worth 15% to 16%. as of wednesday's close, 56 of the 67 stocks in the s&p tech sector have pulled back by at least 10% from their recent highs. 29 of those stocks have pulled back by 20% or more. in the etf world, that's taken a toll on the spdr tech sector which is the ticker xlk fallen by more than 15% from its 52-week highs. the qqq has fallen by a

. >> the weaker housing market feeding into the slower growth side of the argument dom, thank you dom chuk, health care in a post-election world. what the results in the split government means for the future of health care policy. >>> a quick programming note, don't miss our exclusive interview with p&g ceo david taylor we'll be live from cincinnati tomorrow his company's investor day is tonight. "squawk on the street" will be right back right baalpha seems more elusive today. is it because so many go after it the same way, chasing after short-term returns? instead if getting caught up with the crowd, the investment managers at pgim take a long term view. uncovering opportunities for alpha across public and private markets, while anticipating unforeseen risk, has powered our rise to a top ten global asset manager. partner with pgim. the global investment management businesses of prudential financial, inc. the global investment management businesses of [ready forngs ] christmas? no, it's way too early to be annoyed by christmas. you just need some holiday spirit! that's it! this feud just

dom chu is looking at individual winners and losers. >> david, beyond the bigger themes, we wanted toallot measures having key impacts on the markets. on the medical side of things we have shares of davita which are soaring. there was a ballot measure in california talking about capping the amount of money being spent on dialysis patients the ballot decision boosting shares of fresenius medical care meanwhile, colorado voters rejected a measure calling for bigger distances between oil and gas drilling operations and public spaces. that's a move some opponents have said would have limited the supply of new wells coming to market src energy up 16%, anadarko up 7%, noble 5%, dcp midstream up 10% as well. and we're talking about cannabis stocks those particular names are moving to the upside as well till ray, canopy growth, cronos group. 5% 2,% 3,% missouri provided a boost saying they were going to vote yes on medical marijuana, also names moving higher you can see those as well. a lot of sentiment building for state measures aimed at the marijuana industry. >> dom, thank you. >>> when w

. >> i'm watching dom chu. >> the bigger picture is the world economy which is the continuing tensionith china. 25% tariffs are going into effect. we'll see what happens. >> everyone is trying to get that. chuck robins spoke on mad money. every hedgefund has said late cycle which means you own nothing and should be short. i can tell everybody -- what value is that? everyone should be short. >> you are really casual today. >> robins talked to you about tariffs, something that wal-mart cfo has echoed. listen to what robins told jim last night on "mad money." >> we didn't see any difference in the momentum before we did that and the momentum after that in the quarter. obviously, we would prefer that the tariffs don't get increased to 25% january. my belief has been once we get through the mid terms that the administration would begin to focus on this. we are beginning to hear positive sound bytes around this. i'm optimistic that we will get to some resolution. >> some positive sound bytes. >> eight percent revenue is very strong. that was a reference. marlon brando said that. >> thank yo

>> we should point out energy stocks, oil prices plunging to the lowest level in more than a year dom chuin the middle of the action at the nyse, in the middle of the children and wilfred following -- >> so at the top, what is happening -- oil prices are down severely, we're seeing some of the biggest drags so far this year, post 8 over here with the group, just trying to find out what gtse is we're shaving more than 30 points off the dow so oil prices there having a huge impact. exxon mobil, you can see off by about 2.5 points, so call it about 16, 17 points, shifting over to what's happening here, goldman sachs, post 5, one of the biggest point drags as well. over a post 6, which is boeing, one of the biggest drags, those shares off by 4 1/2 points, again over by 30 points being shaved off we know there are still issues with regard to that air crash in indonesia, so those stocks are four of the biggest point drags. back over to you. >> oil is getting crushed again today. jackie deainge his has the details. >> a 7% slide to the down side hitting a one-year low this is the second part of

>>> and tech stocks are getting beat up with the nasdaq down more than 15% since the record high dom chus looking at today's recent drops, what it means for broader markets. >> jon, i want to highlight some conversations you have been having the past couple of hours about beaten up names on the momentum side of things. dick talked about amazon, one of the names catching a relative outperformance versus the rest of the market, down a lot as of late, but 42% of stocks in the s&p 500 that pulled back by 20% or more. so if you are wondering where the fundamental value deep buying will be or short covering, it could be in some names. 213 stocks in the s&p 500. this is a sampling to give you an idea of the momentum type sectors we are dealing with and still are dealing with today sales force.com. something you mentioned, cloud providers, workplace solution providers, fallen 24%. maybe this is on a shopping list netflix, no surprise online streaming company down 36% from its record highs. could it be on a shopping list as well, kind of like what's happening with facebook today. it is down 39% a

dom chu, thank you. >>> health care is the number one issue among american voters first time in ten years care spending among americans skyrocketed to more than 18% of gdp. joining us, john scully, chairman and cmo at cloud based pharmacy manager great to speak with you today. >> nice to be here. >> in light of election results, is obamacare here to stay? >> i think it is going to be repaired, not replaced health care was a high priority during the campaign and midterms that i believe the democrats are going to put a high priority continuing to not only repair obamacare but to expand health care alternatives, particularly government subsidized alternatives with the characteristics of medicare and medicaid not affordable to do medicare for all, but there are many things that can be done with innovation >> drug pricing, need to curb it seems to be one of the few bipartisan issues the congress could decide upon. what do you expect in terms of that, and why do you think health care stocks are rallying in light of that fact? >> i think health care stocks have been strong all the way back since

they're about to close in europe let's get to dom chu at hq with the european close. >> david, you cans are generally positive across the atlantic with fractional gains in major forces led by the daks, which is up over a percent in germany. european shares a bit of a rebound with apple suppliers in focus. among them ams which plunged yesterday on concerns of possibly slowing apple iphone demand iqe also in that apple supply chain, was higher earlier. shares of bayer, they had better than expected profits after sales of a cardiovascular drug weaker results in animal health unit and number of plaintiffs looking for damages from the roundup weed killer are dragging that down. and big part of the uk story is uncertainty over brexit. howard davies told cnbc tuesday that the uk risks a slow down to the economy if the uncertainty continues. british banks bounlsed today after being hit hard yesterday with global market selloff certainly banks to watch back to you. >> thanks, dom >>> straight ahead a relatively volatility session after yesterday's 600 point loss, boeing among the biggest dow la

today posting its biggest two-day loss, the company is, in five years for more on that lets get to dom chu headquarters hey, dom >> reporter: well, scott, it's still the biggest company out there, but it's gotten smaller, and it's worth less than $1 trillion at this point apple had been one of the standout outperformers in the recent market turmoil holding up relatively well compared to other tech and communications services stocks, but that narrative changed pretty quickly on the heels of its earnings report last week which was generally positive, but for concerns about its current quarter forecast and its big decision to stop quarterly update on units sales figures for the iphone, the ipad and mac computers. now the negative sentiment as of late has translated into a loss of roughly $122 billion in market value as the biggest pubically traded company out there. apple has a lot of influence over market-weighted cap indices like the s&p 500, nasdaq composite and, of course, the large-cap nasdaq 100 that means if you're invested in mutual funds or exchange-traded funds tied to those indices

stealing -- you guys are terrible -- from stealing the crown as the market's most valuable company dom chu is back in the newsroom to break it down. >> melissa it's about as heavy as heavyweight battles get the two biggest company battle attention for the marketplace supremacy. it's been apple for as many as remember but microsoft has won the last few rounds apple given the close worth $827 billion. microsoft given the fact that it had an up day is worth around $822billion. the crown for now still belongs to the iphone giant. but a few bucks here and there on stock price and we could swing the balance back towards microsoft. at each company's respective peak market value apple has the bragging rights having surpassed the $$1 trillion market mark and october 3rd it was $1.19 trillion that was the peak. >> microsoft hit a record high the same day is worth $892 billion at that point but apple's woes cost it a quarter of the market value since the highs while microsoft held up well, shedding only 8% of the value both companies are mature tech giants, trying to get investors to focus on faster

. >>> shares are up about 1.5% as you were talking let's get over to dom chu with a market flash on financials>> morgan, those financials, the s&p 500 financial sector moving lower, at the lowest levels of the day right now. not helping matters are comments coming from representative maxine waters, the democrat from california she is widely expected to take over the house financial services committee in the next congress she is saying that efforts to loosen banking regulations will not be tolerated should she take over control of that specific committee. waters made those statements ahead of remarks from federal reserve vice chair of supervision randall quarrels appearing before that same financial services committee as you're seeing live there we'll keep a close eye on the banks because that particular sector, in light of the democratic win for the house of representatives. back over to you, guys. >>> a big show still ahead here on "squawk alley." canopy growth down big this morning, down about 11% right now. the cannabis company posting a wider quarterly loss and revenue miss bruce linton si

>> why they're seeing buying opportunities based on what the options market is selling them first dom chu with what's coming up on "power lunch." >>> coming up, from italy to the dollar to trade issues, the wall of worry starting to build yet again for markets. what should investors be focused on and what should they ignore as noise why the latest numbers could spell big trouble for apple investors. and then utility names getting crushed as the deadly california fire continues to rage on. we're going to look at what's ahead for that sector and some oc specifically. "the halftime report" is back after this break what do you look for when you trade? i want free access to research. yep, td ameritrade's got that. free access to every platform. yeah, that too. i don't want any trade minimums. yeah, i totally agree, they don't have any of those. i want to know what i'm paying upfront. yes, absolutely. do you just say yes to everything? hm. well i say no to kale. mm. yeah, they say if you blanch it it's better, but that seems like a lot of work. no hidden fees. no platform fees. no trade minimum

from thank you, dom chu.k ahead to next week, let's bring in steve grasso, great to see you. >> see you you said we could be testing february lows in the s&p 500, 2532 is the level. how are you feeling after the rallies we've been able to string together? >> there's a couple tail winds you would expect trade, softer fed, and midterm election closure obviously we got the softer trade headlines. so we'll see where that leads us i would like to weave that test in the next couple of days i don't know if we'll get it, though. >> do you think mid-terms will be a catalyst for the stocks >> well, the closure will be so i don't know how -- let me tell you, if we keep or the republicans keep the house and the senate i think that's a major tail wind for the economy. >> and if consensus comes throughings whi through, democrats take the house and republicans keep the senate, then what? >> that's closure. either way we move higher. if the republicans keep the house i think we move higher aggressively if we can get a trade

stocks moving based on results dom chu joins us from the cnbc newsroom with those. appy friday, joe, andrew, and becky. take a look at the earnings movers so far. new ones this morning, we'll take a look at shares of alibaba which are almost up about 4% in the extended trade so far. this after the chinese e-commerce that largely beat analyst expectations revenues came in below some analyst estimates. mixed result there, however, a lot of the trade tensions have put an end to these stocks if you look on a more year to date basis, still in a down trend along with many of its other chinese internet commerce brethren another one new to watch is newell brands. all of those brands, those shares up about 6% in the premarket trade as well. this after that company said that earnings came in better than expected. sales were slightly worse, but it did up its full year guidance if you take a look at newell shares over the course of that year to date, that's been on a near term down trend and of course we're watching those two big ones yesterday and that is, of course, apple and

dom chu has more on how historic, i guess, how it's behaved. what have you got, dom?n the premarket trade and they are weaker in chinese trading as well if you take a look at how many singles day events alibaba has had since it went public, back in 2014 we've had now four of them -- singles days b baba's on average down 2% on singles day. and they've traded negative all four times so maybe not the best way to go into it, although, again, small sample size. baba's also been negative 75% of the time singles day at least for now not the best place to go about putting money to work. although you can say maybe it goes on sale one other place to look in the context of chinese internet is how poorly they've done. we know the u.s. internet stocks have been hammered over the course of the past month or so take a look at the gap in difference and performance meanwhile, that gap is now widening again that's something to watch for remember that krane shares is down about 37% since its highs earlier this year. meanwhile, this down only about 12%. triple the losses from its highs.

dom chu has the market reaction covered.ertha coombs watching the impact of results on health care stocks steve liesman will tell us what last night means for the economy. and aditi roy will join us on the movement we're seeing today in pot stocks. but we'll kick things off with dom. >> some of the big movers we've been telling you about all the way up until the election last night the last couple of weeks have focused on things like health care, defense, consumer spending, that sort of thing let's take a look at what's happening with the ishares aerospace etf. this has been rallying the last week and a half or so off of some lows from the turmoil that we've seen over the course of the october month there. but all of a sudden we're seeing a little bit of a move to the downside here. the reason why, perhaps this idea that defense is still in play but we are hitting an area of resistance in the marketplace. $201.44 is the trade there that's the 200-day moving average for that stock it came up there and backed off sense. but de

take a look at shares of ut dmoerngutx this morning they are up on this news >>> let's get over to dom chumorning who joins us on what is moving markets this morning. >> good morning, andrew. we are keeping a close eye on some of those big sectors that bounced yesterday. we got a couple of names we're focusing on particularly with stocks and technology. that is apple and microsoft. because as things stand as of earlier this morning, we would have apple poised to fall to second place in terms of market cap to microsoft as of early this morning, apple was worth just around $819 billion in overall market cap. and microsoft was worth around $820 billion we'll see if that pre-market action holds, but you can see for right here apple shares from their peaks earlier this year have lost around 25% of their value. meanwhile, microsoft has only lost around 8% that's the reason why you're seeing that market cap dynamic play out right now other things to watch right now within technology. a key part in industry group here is the semiconductor stocks because those semiconductor stocks have been seen as

i don't know >> i think water's $20 in some places all right, dom chu. should be -- you know, tiger's back phil, didn't he win a tournament he did pretty well ryder cup was not great for phil. >> no. but he had the wgc in mexico and tiger won the championship >> all right, dom. you know, it's the friday after thanksgiving we're allowed to do this right? >> sure. >> thanks, dom >> i'm just a guest here >>> coming up, protecting yourself while online shopping this holiday season. the head of cisco's threat intelligence team joins us pen we'll hear from alan questrom "squawk box" rb light back and serve with confidence that it's safe. this is a diamond you can follow from mine to finger, and trust it never fell into the wrong hands. ♪ ♪ this is a shipment transferred two hundred times, transparently tracked from port to port. this is the ibm blockchain, built for smarter business. built to run on the ibm cloud. this is the ibm blockchain, built for smarter business. a moment of joy. a source of inspiration. an act of kindness. an old friend. a new beginning

. ♪ ♪ >>> time for our etf spotlight dom chu looking at chip stocks getting slammed with the sector inrritory. john >> michael, stocks are lower on the day but we're trying to get up there we can see the s&p has moved off of its lows. the broader market put the dow up a little bit. you can make the argument that semiconductor stocks are the biggest driver of the negative sentiment today. now shares of nvidia and applied materials are two of the worst performers in the s&p 500 today after both companies issued disappointing forecasts. one of the biggest exchange traded funds that tracks the industry is the semiconductor fund that ticker smh which some traders use as a leading indicator for recent market volatility another semiconductor focused etf is the i shares semiconductor fund that ticker soxx as you can see there, still down 3.5% over the course of the year-to-date period. these are two of the larger ones broader tech etfs have exposure to many big chip names as well including the vanguard tech etf, that ticker vgt. also the spdr ticker slk, most broader chip stocks are one to wat

market cap lost on fang, dom chu said today, equal to about facebook at $600 billion in change. >> facebookproblematic when you see these daily average. there's a lot of slowdown. but i still think it's a small position nice game, but dom has been doing excellent work on it everyday he does great work. >> dow is down 160 we'll get stop trading in a minute ry difficult job. failure is not an option. more than half of employees across the country bring financial stress to work. if you're stressed out financially at home, you're going to be too worried to be able to do a good job. i want to be able to offer all of the benefits that keep them satisfied. it is the people that is really the only asset that you have. put your employees on a path to financial wellness with prudential. bring your challenges. when it might be time to buy or sell? with fidelity's real-time analytics, you'll get clear, actionable alerts about potential investment opportunities in real time. fidelity. open an account today. >>> let's get to jim in stop trading. >> i add hhad an interesting exchange ben said erts is take

oil prices getting a little pop here on this news of potential production cut dom chu is at the commodity desk >> after comments from saudi arabia that the kingdom and its opec and non opec partners are seeing some softening demands for oil and the cut in production are warned to keep the market relatively balanced and a little less volatile those comments are the latest evidence that major oil companies could work when they meet up together next month. you can see it has fallen by 20% or so since hitting highs for the year after being swept up in the broader market decline those provide some relief at the pump the average price for a gallon of unleaded gasoline in america is $2.69 cents now it was $2.90 cents a month ago >> thank you >> it is one of those days where verizon leads and apple lags ahead of its lowest levels since july 31st. i index is down. we'll be back in a minute. >>> apple is going to weigh on your monday morning here, down back below 200 as j.p. morgan trims its price target to 266, this time blaming iphone weakness and some negative comments out of suppliers we'll get

let's start with dom chu and the post-election market share in owes. >> as we talk about the likelihoodown or heard that the criminal of the house is likely to go to the democrats so as we take a look at the possible scenarios, a democratic house and democratic senate is the least likely scenario. the gop house and gop senate is somewhat likely but the most likely scenario is going to be a democratic controlled house and gop senate on the markets that predicted around a 61% odds. if you look at the sectors or industry groups, in the most likely scenario where the democrats controlled the house and the republicans controlled the senate with president trump as president, you could see sectors like defense do relatively well as the specter of uncertainty comes out of the marketplace. remember, the budget already in motion so that will be one to watch as well another scenario is where you see a gop control of both houses and that could impact higher regulatory industries like energy in particular so the energy spider xle could happen if you see the gop-controlled vote one last one in the le

we continue to watch these gains on oil, almost back to 52, dom chu. >> that's right. 3% gains for west0.65 so far in this early trade. of course, this all comes as bob mentions some of the deep value buys there crude oil for west texas have lost a third of its value. as these energy prices have fallen and energy stocks along with them, it has gotten attention of some investors or traders or strategists out there to key on this goldman sachs, they see a lot of buying opportunities and not just gold but oil prices as well as heading into the 2019 of these levels we see are attracted entry point to enter long positions. that's helping that's one of the reasons why you see oil prices up today. that deep value buy is a big part of it we have two big potential catalyst in the next few weeks here g-20 it could have a huge effect in the market and of course, what's happening in the opec meeting. trade is looking to see of any agreement on production cuts there. >> as we go to break, keep your eyes on the market and movement of treasuries today. dow 321 is the best gain in about three weeks. ba

dom chu's tracking the momentum names which are getting crushed. >> this market is all about momentumit comes down to is what goes up does come down. first off, you got chips. nvidia down more than 8% today following nearly 50% from its recent highs near the start of october. square, another major momentum name down more than 30% from its recent highs as well. you got adobe also, down more than 8% today after a run-up for much of this year's well and you've got sales force.com entering what some traders are calling bear market territory. that stock today hitting its lowest level since may also on pace right now for its worst day since february 2016, the falls have been even harder for some of the bigger momentum names. we'll take a look at those fang stocks later on this hour. >> thank you. >>> major averages extending their losses following new housing data. home builder confidence dropping sharply this month but shares of the big home builder moving higher in today's big selloff. diana olick here with some of the numbers. hi, di. >> reporter: builder sentiment had been the one posit

>>> welcome back let's get over to dom chu. >> keeping a close eye on defense etf, ita, that ticker on. united technologies, no surprise, leading that way to the downside take a look at other key defense names pushing that industry lower as well. northropgrumman. raytheon looking to snap two straight weeks of losses, very much a focus today. back over to you. >> absolutely, dom thank you. shares of gm giving back yesterday's gains. that company will unallocate plans, cease operations in two more, reducing its workforce, about 14,000 employees the president sounded off on that news. >> we don't like it. i believe they'll be opening up something else and i was very tough. i spoke with her when i heard they were closing. and i said, you know, this country has done a lot for general motors you better get back in there soon, that's ohio. and you better get back in there soon we have a lot of pressure on them, senators and a lot of people they say the chevy cruz is not selling well i said then get a car that is selling well. >> canada's prime minister trudeau weighed in on twitter, saying he

dom chu joins us with more on how the markets are reacting >> good morning.itioning in the market, we do know right now given the positive move to the markets in the broader spectrum, that we have certain parts of the market that were well positioned. not a lot of surprises, of course, there. as we talk about the election results with a divided congress, now the attention focuses on sectors that could become common ground for republicans and democrats. a couple of those to watch at least when trading starts to get going here in the u.s. and of course later on this week and into the next quarter are some of the pharmaceutical related stocks the reason i want to show this is we don't have a lot of active trading premarket for the big pharma companies like merck and pfizer here in the u.s but in european trading right now, you can see sharp moves lower here 1.2% for pfizer. then 2/3 to the downside as well the thinking there is if the republicans and democrats can come together on some kind of legislation to look at drug pricing, that could be something that dru

you, jason, of albion financial and chris zaccarrelli of the independence adviser alliance >> now dom churette maker juul >> juul, who is the pre-emptively largest e cigarette company in america has released a statement formally now outlining a plan that they're going to put in place to combat underage use of vaping products in a blog post on the company's website they are now saying that they are going to as of this morning stop accepting retail orders for certain flavored products including mango, fruit, creme and cucumber juul pods to over 90,000 retail stores that sell our product including traditional tobacco retailers like convenience stores and specialty vape shops they also say that in the future their plan, again, is to take a look at some of these things they will only start accepting orders for those flavored products from retail stores that can legally sell flavors and comply with the criteria of some of their new 21 and older distribution systems they have also outlined plans to take down presences on social media that could promote their products also listing out some of the

dom chu. >>> turning to retail, macy's shares falling despite a positive earnings report this morning posting a significant earnings compared to analyst expectations and, again, raising full-year earnings heading into the critical fourth quarter and crucial holiday season same store sales rose more than 3% 3.3% in the third quarter. that does mark four straight quarters of gains for the metric which started last holiday season let's bring in credit suisse analyst. what do you make of the stock's action with macy's does the street not believe they can hit the bullish forecast numbers? >> thanks for the question so i think let's give them credit where it's due. they're investing in their stores after a few years of investing in e-commerce and the stores are moving along and they are getting sequentially better as we go they're doing a nice job with that but the market is looking at this saying is this as good as it's going to get? last year we had a good holiday. the bar gets higher this year and the markets really are saying these are stocks that lost market share to other places for l

, chief executives, the most recent meeting of confidence in november -- if i knew i was introing dom chus no way i wouldn't let anyone else have this i definitely wanted to do this good morning >> thank you good morning i know that all three of you are there and so do our listeners and viewers as well. like you said joe, ceo confidence is down so the latest data coming out of chief executive group is for the month of november. they asked ceos all across the country -- now, the timing is important here this poll was taken during the midterm elections. keep that in mind during these results. according to this survey for conditions one year out is continuing to trend lower. it currently stands right now at just under 7%, 6.95% if you saw all the way towards the begin og the year around january, it was 7.62%. this gradual trend lower is something that many investors have been paying close attention to and certainly our own jim cramer about some of the ceos talking to him about what a slowing economy means for their businesses overall that is down on trend about 9% from the peak earlier this

. >>> and he's back, dom chu, this time, we don't want to hear what you said last time, dom.ow, right >> i do. >> i'm going to let you do it then this is about sectors. >> this is about sectors and industries that have been the hardest hit because as we look at the premarket action we could be setting up for the third straight day of gains. and the gains that we've seen over the last couple of days and into today as well have been in some of the hardest hit parts of markets. that could be a sign that shows that trade and perhaps winning bets against the market. three of the places, the hot spots that we're going to watch because they have been hot over the last couple of days, is the semiconductor space. computer chips over the course of the last month, the vaneck, one of the broader ways to invest down 12%. from its highs, this particular etf going all the way back over here is down about 18% in that time frame so, could that be a value trade there. also watching what's happening with another hot spot. this particular etf tracks what's happening with the housing market the d

dom chu joins us right now he's been following some of the potential market reactions we could see afterrning. >> good morning. we should preface this by saying after the 2016 elections, we know how much polling may be a little more suspect with regard to outcomes and whatnot. but we want to look at just some of the conventional wisdom about how things can shape up. according to predict it, right now the general consensus, it's just generally about a two-thirds probability, we'll call it, that the democratic control goes to the house and the gop retains control of the senate and right now the gop house and gop senate keeping both controlled is about a one-third, we'll call it. obviously those markets kind of move a bit as we get closer to the election if you look at some of the scenarios that could play out, if we do get a democratic controlled house and a democratic controlled senate, the general feeling is the overall market would be somewhat bearish on that particular outcome. again, we don't know exactly how that's going to play out given the fact that many people thought president t

. >>> when we come back, dom chu with a look at what's moving markets this morning we'll be talking mediaor plus facebook versus "the new york times." sheryl sandberg responding to a report that facebook ignored russian activity on its sight. full reaction straight ahead each day our planet awakens with signs of opportunity. but with opportunity comes risk. and to manage this risk, the world turns to cme group. we help farmers lock in future prices, banks manage interest rate changes and airlines hedge fuel costs. all so they can manage their risks and move forward. it's simply a matter of following the signs. they all lead here. cme group - how the world advances. >>> good morning welcome back to "squawk box" right here on cnbc i'm dominic chu. among the stories front and center today, t-moblie says it could close its acquisition of sprint as early as the first quarter. the company's cfo made the comments based on indications t-moblie is getting from regulators >>> european central bank president mario draghi says they plan to pull back at the end of the year he suggested inflation may r

dom chu joins us >> hello again, joe.t how we're away from the record highs, about 5% high away from the s&p 500 remember that we talk about the s&p 500, 2833, a little bit right over there 2833 is important because that represents a 50-day moving average for the s&p. we breezed through that 200. we've gotten back half of the losses that we got during that selloff we saw in october with that turmoil that's something to keep an eye on as we talk about the reasons why some people are feeling a little more bullish on the situation given the fact we've come well off our lows the number of stocks trading above the 200-day moving average in the s&p 500 turns out a little more than half around 52% of stocks within the s&p 500 of now above their own respective long-term trading averages that's perhaps a bullish sign. something that we've seen constructive moves off the bottoms there. how many stocks off 5% of their 52-week high around 110 of them that's not bad either. meaning there's only ten stocks within 5% of their 52-week lo

dom chu joining us now >> we have individual stock movers to talk about now first look at shares of goldmanwer this morning after an analyst downgrade this morning those analysts citing the idea we could see this tied to the scandal over there as we look at other stocks on the move swooes as well, look at general electric deutsche bank lowering the price on the stock down to 7 bucks a share. they're citing concerns over free cash flow on the industrial side of the business as well also we got a report from "the wall street journal" earlier this morning talking about the s.e.c. looking into potential employees who have knowledge of some of the insurance risks that may have been ignored at some of the legacy parts of ge's business so those shares down by about 2% right now in trading then let's finish it up with wells fargo doing a bit of a nice upgrade at under armour they also cite some issues with regard to their inventory levels getting a little bit more clearclear ed up. back over to you >> okay. thank you for that, dom. >>> when we come back, some stocks to watch. at the top of the hour

right now and you'll see that oil is up wti up by just over 1.1% but still sitting at $50.99 a barrel dom chuis has been a big slide we've been watching rapidly. >> it's a big slide and many dynamics over the last couple of months the idea you could have market catalyst to the downside and oil could be one of them this morning two of the biggest moves to the upside, probably the idea you have european banks up on this idea that italy could be getting some kind of a deal done for its budget that could be palatable to the populist government there as well as what's happening with the european union it's why european bids are higher also that buying the dip of oil. it's not happening pervasively right now, but there is a sense out there some investors are trying to find some deep value there's a reason why if you take a look at the crude oil sector, every stock within the s&p 500 energy sector was lower last week. it makes sense the market was lower all of last week as well but every stock in the sector now is pulled back by at least 10% from its recent highs which has put every stock into some

two of my favors, dominic chu and politico's chief economic correspondent and cnbc contributor, ben white. domstart with you, down 400, what is going on? >> you hit the nail on the head. the idea that there's leadership in the marketplace and it's because of technology and communication services. you mentioned all those fang-type stocks, facebook, amazon, and google's parent company alphabet. they're down 20% or more from their recent record highs. at this stage, through yesterday's close, those five stocks alone have shaved off close to is trillion worth of market value lost. so this is a real change in sentiment. it's going to be an issue of something bigger and broader. right now, just saying maybe more to come here. >> walk me through exactly why, ben, yes, we know facebook, to say they're under pressure is an understatement. a bit of a disastrous situation in terms of headlines. but their user base is growing. is it actually a big deal? >> it's a big deal. facebook faces regulatory problems. there's risks now that they're under scrutiny on many different levels. then you look at the econo