this is the first new round since that trump/xi face-to-face late last month at the g20 eamon javersoining us from washington, d.c. on what or what not to expect. >> this is the 12th round of talks between the two sides. the first since the talks broke down in may. the south china post is calling preparations on the ground in shanghai low key they say the chinese government is keeping a tight lid on media coverage in china of anything going on related to the talks to keep expectations low. that matches what we're hearing from the white house mnuchin and lighthizer are in shanghai this week the white house views it as a success just to have the talks take place that's why the expectations for deal making this week are relatively low the president has suggested he thinks the chi knnese want to stallen untstal until after the election the president says a democrat will be an easier negotiator than he is we'll see if that's the case as the talks get under way today and tomorrow whether we get any local media coverage on any of this will be fascinating to watch >> what more will we learn

eamon javers is live in d.c. >> what's going on in shanghai right now?don't have a lot of detailed information from negotiators on the ground the treasury secretary and u.s. trade representative have traveled to shanghai to be part of these talks the white house tells me they're just optimistic at this point that these talks have begun. the first time since talks broke down back in may today, the president talked to reporters on the south lawn about his skepticism of the chinese side but he said two things at the same time. literally within the same minute, the president said first this about his take on the chinese leadership's incentive here to make a deal. here's what he said. >> well, i think the biggest problem to a trade deal is china would love to wait and just hope, they hope, it's not going to happen, i hope, but they would just love if i got defeated so they could deal with somebody like elizabeth warren or sleepy joe biden. i will tell you this china is dying to make a deal with me. but whether or not i'll do it, it's up to me. it's not up to

eamon javers in washington once upon a time this would have been a market-moving event i don't know withed tomorrow, with earnings here, we're in the thick of it is it? >> i don't think it is i think it is all about the fed right now. i think, you know, the relationships in asia are actually better understood and some of this, i think there's a not more attention on how much is showmanship and how much is real. >> all right back to earnings here. two big movers on our radar in after hours session, fireire and amd down big we have full coverage on both names. let's begin with rahel solomon and fireeyes big drop. >> reporter: the security firm getting pummelled in after hours, down 14%. but the results were mixed revenues were in line with expectations what we're seeing here though is investors react to guidance after the company lowered its third quarter and full-year projections, the company saying in part they were encouraged by billings in the second quarter, especially an increase in new sales and broeggrowth and managd services but they suffered greater than expected cost in expenses

let's bring in eamon javers at the white house. he ended on a busy note, eamon >> reporter: the president is talking about there the so-called jedi contract, it's about a $10 billion contract related to cloud computing for the pentagon amazon is seen as the front-runner for that contract it is a big, big number. here the president saying that other technology companies are complaining about the way it was handled. he'll take a look at it. he doesn't specify exactly what it is he's going to do about that contract or how it will be awarded but poses difficult business decisions for them. there will be a political overlay onto this as well, tiger. as you know the president is a robust critic of jeff bezos, irked by his ownership of "the washington post" which the president says he feels is unfair to him calling it the amazon/"washington post. this could be seen by the president's critics as an effort to get back at jeff bezos. we'll see where this all plays out. no guidance from the white house yet as to what steps the president will t

let's focus on the big stories the pharma deal, more fallout for boeing, and eamon javers. >> viagra, lipitor, xanax and the epipen, pfizer is going to spin off or divest its up patent business and combine with mylan, and the new company will do about $20 billion in annual sales. it will get a new name and be domicile in the united states, a fact that could be attributed to u.s. tax reform and an element we saw in the recent deal avi acquiring, allergan. >>> those talks moving in opposite directions. pfizer dragging, mylan getting a much needed boost. >> mylan has been challenged forever so they needed this deal they get a management shakeup. pfizer needs to create something other than what they already have this gives them a different pipeline, so to speak. so obviously you see the price action that's what you would expect off the headline pfizer is probably a buy. >> do you like the defensive tone on this >> the problem is yes to the dividend arm of it the problem is drug prices and this entire space is under fire from not just one party in washington but both, and this seems to be

developing story out of washington relating to the airlines ceo meeting yesterday at the white house eamon javers has the details on that for us. eamon. >> phil lebeau of cnbc and i have been trying to figure out since yesterday what exactly happened in that airlines ceo meeting with president trump at the white house yesterday. here is what we've been able to figure out so far, the first thing is that the u.s. carriers didn't get the outcome that they were looking for here with the president. that is, the president did not intervene on their side in a dispute with the qatari carrier, the president ultimately telling the u.s. side to work it out through the federal regulatory process. i'm told by a person familiar with the meeting that people on the u.s. side of this were shocked that the qatari airlines ceo was invited to the white house to participate in this meeting with the president but as senior white house official tells me nobody should have been shocked about that because everybody was informed the qataris came and the senior official tells me the real story here is that the delta ceo re

eamon javers following the story for us. >>> coming up, a special flashback friday edition of the tasting you should be mad at airports. excuse me, where is gate 87? you should be mad at non-seasoned travelers. and they took my toothpaste away. and you should be mad at people who take unnecessary risks. how dare you, he's my emotional support snake. but you're not mad, because you have e*trade, whose tech helps you understand the risk and reward potential on an options trade it's a paste. it's not liquid or a gel. and even explore what-if scenarios. where's gate 87? don't get mad. get e*trade and start trading today. people know aflac. aflac! but not when to use it. do i use aflac when the kids get slime in the plumbing? no. that's home owner's insurance. slime in my motorcycle. no. that's motorcycle insurance. slime everywhere? ughhh nooo, there's no insurance for that. do they help when i have bills health insurance doesn't cover? yeah! that's it! aflac! gross guys. get help with expenses health insurance doesn't cover. get to know us at aflac.com is it to carry cargo...he or to carry o

let's bring in eamon javers at the white house. he ended on a busy note, eamon >> reporter: the president is talking about there the so-called jedi contract, it's about

. >> eamon javers tweeted his kids are going for scholarships right now. >>> the s&p 500 and nasdaq, after coming off record highs friday are pulling back just a bit. fractionally, the nasdaq is off by .5 of 1% as well. if you're looking for a clear standoff, year to date, it's technology stocks, the sector has peaked in the green territory. but we're hovering around record highs for this s&p 500 sector and it's up about 6%, mtd, and then up 33% year to date so again a massive move for technology keep an eye on that sector. >>> if you're looking for the stock of the day, the big report after the bell, not because of anything else but the sheer real, just inquisitiveness people have, beyond me, near session lows by 6% after a massive surge last week. right now the options markets are implying what could be a 15% move in this stock up or down on the heels of that report so beyond me certainly gotten a lot of eyeballs today we'll see how that stock trades as we approach the closing bell. >> dom, thank you. welcome to "the exchange." key elements may be missing interest this climb to all

eamon javers has the headlines looking -- i have a monitor so big, eamon, that it almost -- you almost look so good that it's almost overwhelming >> terrifying. >> it is almost terrifying >> i don't want to intimidate anyone >> too late. what do you got? >> here's what's going on right now at the white house the president is holding a cabinet meeting. he invited reporters and cameras into the cabinet meeting unexpectedly they have been in there for about an hour and 20 minutes we don't have the video yet of the cabinet meeting, but we do have reports from reporters who are inside who are telling us what the president's been saying he's just starting taking q&a. one answer to a question that we should probably get to, the president saying that he would recommend that the attorney general and various agencies take a look at google's involvement in china to see if there's truth to allegations against google so the president here not saying that he has done that yet, but saying that he would recommend that the attorney general look into google and china. so there's maybe a little bit more

eamon javers at the white house for us. >> you bet >>> karen, i forget what company you were talking about being called to the white house and the hill and you say it is never a good thing. >> right. >> what do you make of this meeting? you're a shareholder in the airlines. >> right i would be perturbed if i were an airline executive to be sort of blindsided, one, but even if you weren't blindsided, two, this is the president who talks about america first, right you would think that that would be what they would hope to come out of a meeting like this. >> right. >> not after the qatar. >> right grasso. >> i don't know what the meeting is going to result in. there was a lot of he said, she said we don't know what was said there, so getting back to a trade, if you look at delta, let's tie it in with the boeing trade. if you look at delta -- >> no exposure to max. >> or limited exposure to the max, and then you get american airlines with exposure or united with some exposure but the stark difference in the year-to-date performance you cannot deny. >> delta airlines, quickly, i thought t

let's get to eamon javers at the white house. he took on questions on the debt ceiling. >> that's right. treasury secretary there suggesting that treasury's team has looked at the debt ceiling issue and they think it's going to come to a head possibly under one scenario by the end of september. that means they need a political deal with democrats. he said he's been talking to the speaker of the house, nancy pelosi, talking to his team internally, and he called those conversations productive but he also said they're not there yet. he says he thinks they're going to get a debt ceiling deal that would involve some compmize as well he would like to get it done as soon as possible he said the debt ceiling needs to be raised, but boy, did he get a reminder of the political context that this white house finds itself in today, when the president has held a press conference here at the white house angrily rebutting his critics who say his tweets over the weekend were flat out racist the treasury secretary was asked about that a number of

. >>> let's get to eamon javers with an alert from the white house. >> the president is going to be meetith airline ceos in the oval office at about 3:30 this afternoon. phil lebeau reporting among the topics to be discussed are subsidies from countries like qatar to their airlines and also the open skies agreement not clear who all is going to be in this meeting, but we're working on find out. the president clearly talking to a number of ceos around the country on a range of different topics today it's the airline ceos in the oval office. and we'll bring you more as we have it. >> thank you, eamo >>> jim, you own some airlines >> i own alaska airlines this is something where trump wants to help out the industry that's fine, although over the last 2 1/2 years i've grown tired of the executive action on industries the airlines are a competitive industry let them fight it out themselves >> i own united airlines this could be good and bad to every action there's a reaction so if -- so to me, i'd much rather be in domestic airlines which ual is primarily that. because foreign countries, the

. >>> eamon javers has details. >> reporter: the president is not pleased.e tweet, saying what the market wanted to hear from jay powell and the federal reserve is this was the beginning of a lengthy and aggressive rate cycle which would keep pace with other countries around the world as usual, powell let us down but at least he's ending quantitative tightening which shouldn't have started in the first place. we winning anyway, but i'm certainly not getting help i've been test iing the official tested me two words -- not enough this is the president who feels that the federal reserve is moving too slowly and not going far enough the president expressing frustration here on twitter in the past couple seconds, the question whether his ongoing campaign against the fed for rate cuts will continue. we saul all that activity in the run-up to today's rate cut will he tun to criticize jay powell and push for even more. there's an election in 2020. this president feels like he's being put in a bad position in terms of the economy, because rates are too high >> i thin

let's get to eamon javers for the latest. >> reporter: we're expecting ceos at the white house for a meeting with the president of the united states. we'll see familiar faces from united, american, big-named airlines who will be here. atlas, a cargo carrier, qatar airlines, fred smith from fedex. this is over a dispute about open skies agreement that allows carriers to fly. there's a concern about the middle eastern airlines, qatar in particular. u.s. carriers are arguing they're unfairly subsidized and with these artificial subsidies are playing into the american market it appears that will be aired in full inside the oval office in a minute we'll try to speak to these airline ceos and bring you their comments and let you know where, if anywhere, the president comes down on this debate. we expect that later this hour. >> eamon, thank you. we'll continue to monitor that. >>> joining us for the full hour is mark eversole down to these relatively dovish. >> investor sentiment. nobody is expecting the market to go up a ton or expecting it to go down trump probably getting re-elected if

here's what president trump said when our eamon javers asked whether a court appointed basis cut by the fed is enough. >> and also higher interest rates simultaneously, i think was a big mistake. i also think that had they not done it, as good as we've done, we've set a record as you will tell -- as you will say in the stock market, we have the all time high of the history of the stock market i think i would have been 10,000 points higher, and i think we would have been in the fours with gdp. >> for more let's bring in chief u.s. economist at jpmorgan mike, what's your take for tomorrow, 25 basis point cut >> yeah, i think 25 basis points has been pretty well signaled by the fed. what's more interesting is what powell says in the press conference afterwards and whether, you know, he confirms the market's expectations that there's a lot more to come or whether he kind of says they're going to be a little more data dependent. our expectation is that powell signals that from here on out. they're going to be watching the data prac data perhaps a little more than they did in june and july wh

ceiling debate let's begin with treasury secretary steven mnuchin's comments on crypto moments ago eamon javers has that. >> the rarely used white house press briefing room these days, put a marker down on skepticism about this idea of cryptocurrency, and specifically about facebook's plan for its own cryptocurrency i asked the treasury secretary about where things stand on the regulatory side with the fed, and then also whether or not he ultimately wants facebook to be in this business at all. here's what he said. >> j. powell and i meet weekly and we talked about this extensively. there are these discussions going on they will continue to go on. again, to the extent that facebook can do this correctly and can have a payment system, you know, correctly with proper aml, that's fine they've got a lot of work to do to convince us to get to that place. >> so, more gone, the treasury secretary there saying facebook has a lot of work to do. the bar here in terms of regulation is very high. there's been a lot of speculation the past hour. why was treasury secretary mnuchin doing this today what it wa

today, want to get to washington for an update on where things stand and where things are going eamon javersoins us now. >> the south china morning post is saying that the preparations in shanghai are being kept low key. you can see some things moving on the ground, but it's a low key set of negotiations taking place in shanghai as the chinese government and u.s. negotiators keep the details under wraps we know that steven mnuchin and robert lighthizer is there we don't know what they'll be talking about during the course of the negotiations. this is the first time they met face-to-face with the chinese side since talks broke down in may. there is optimism at the white house just that the talks are taking place they see that at the white house as a sign of things moving along well but the president expressed some skepticism that the chinese want to get to a deal at all suggesting they might want to wait until after the 2020 election and deal with a democrat who might win who the president says would be easier for the chinese side to negotiate with the other question here, we might get some i

eamon javers joins us now with more on that good morning. >> good morning.e yesterday and continuing with that withering criticism of the fed. here is what he said last night. >> the fed knew what it was doing, they would lower rates and they would stop quantitative tightening if you look at europe what they're doing is they're pumping money in and they're having rates lower. remember, the european union was set up in order to compete with the united states. and if you look at what they have done, i mean, they have been somewhat competitive. >> so a little hard to hear there over the jet noise and the helicopter noise, but the president in effect suggesting that the fed doesn't know what it's doing here. take a look at the bottom part of this tweet from friday. this came out late friday. this is the president continuing to bash the fed, suggesting ultimately our most difficult problem is not our competitors, it is the federal reserve. that is tough stuff for the fed from the president of the united states now the question here, guys, is what is the president