>> yeah. >> quid pro quo element. >> eli lilly. it was a good quarter.d this stock be up 20 cents? i don't know. i guess so. what i feel better about, if i own eli lilly's stock or pfizer, which missed, is that the president did not say, you know what, guys, this was not an al capo capone, baseball bat meeting. he said, make the prices lower, but he didn't ruin the margins. >> we'll see what happens. >> lockheed martin, the margins were not ruined by the $600 million saved. the margins were not ruined for boeing. the margins were -- you have one to two cents out of united technologies for the carrier plant. again, if you are a shareholder, which is what i care about, this was not the most jarring of meetings. okay? >> based on what we heard there. obviously, the meeting itself hasn't occurred yet, or is now in progress. >> he did not say, listen, i'm sorry, guys, but medicare is now going to tell you what price to pay, like they do overseas. >> no. >> did not say that. that's important. >> but there are a lot of promises made. tens of billions of dollars

eli lilly, exxonmobil, pfizer, mastercard and u.p.s. before the bell. after the bell, apple. >>> coming up, concerning apple, the three things to watch ahead of the company's quarterly report. the stock has done quite well since the election. as we head to break, january market returns as we wrap up the month. hard to believe last day of january. you're watching "worldwide exchange" on cnbc. stocks gaining for the month of january. >> another sign of rotation from late last year. the nasdaq leading the charge. you can't predict the market. but through good times and bad... ...at t. rowe price... ...we've helped our investors stay confident for over 75 years. call us or your advisor. t. rowe price. invest with confidence. >>> welcome back. futures looking a bit soft at the moment. the dow called lower by 47 points. the worst day of the year yesterday. only been 30 days of the year so far. down 0.6% for the dow. and 0.8% for the nasdaq. all three indices looking positive for the whole. >>> joining us on the cnbc news line with a preview of apple is the pr

ceo of eli lilly will be ahead with us, david ricks.arnl n a aentageat iicy unint earnl on 'ahli on a perfect car, then smash it into a tree. your insurance company raises your rates. maybe you should've done more research on them. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. and if you do have an accident, our claims centers are available to assist you 24/7. call for a free quote today. liberty stands with you™. liberty mutual insurance. >>> the dow backs farther away from that elusive 20,000 level after we got oh so close on friday. plenty of calls out of goldman sachs not helping a pair of dow blue chips this morning. the firm downgrading both coca-cola and p&g to sell saying it sees headwinds from a stronger u.s. dollar as well as sluggish and market demand. the common theme here, guys, actually it's not set to be a very good period for the staples. they pay high dividends and that's why they've been in vogue over the last few years. with interest rates rising with market p

the ruling says eli lilly may block one of the totp selling drugs for a certain type of lung cancer.ear-to-date down 4% over the last 12 months. more news coming up right after the break. keep it here on "halftime report." ♪wng in i. hi tffthreghuryo f y 't.r wi f e thd,sonsn ttto ymo. >>> welcome back. a rough month for the retail sector and now wells fargo thinks the pain is far from over. they say the sector is close to uninvestable in the near-term. lots bre in ike borachow. welcome. you say that at a conference this week, quote, investors' sentiment was as bad as we have seen since '08. >> yeah. it's a little disappointing. look, we came into 2016 with a great set justify for holiday. we had a disastrous '15. we had more favorable weather. inventories the best in four years. decent healthy consumer. and 25% have given us their holiday updates and 19 of them missed. so at the end of the day, you've got the backdrop of a really choppy fundamentals when they should be improving. and you layer on border tax questions and what's going to happen to these companies as they import all o

so eli lilly is a name i will stick with. >> to me ultimately, what's the valuation you think it should be trading at? you can make an argument that relative on its peers, there's not a ton of value and we're not in that age where yields are what it is all about. so again, can you defend it? >> with relative value trade here. we went back to, if you look at the way this set-up is. i talked about based on next year's earnings, a 14% discount. this is a relative value trade. you're looking at i straight on. just like we saw with a lot of the financials and the way it picked up. you're going to see this in health care. look at it as being a very safe name to own within pharma. and i look at it and say over the long term, it won't crush and it be outperformed. but this is going to be a consistent earner. he know 2.7% is not what you're looking for. >> he has a question, too. >> do i. let's address the big problem. the pricing issues and a problem with the trump tweet in these names. does that scare you? >> the pricing issues are a very important topic. it is topical from the perspective of

and the drug maker ely lilly will take over for nearly $1 billion. it would add the migraine treatment. the shares are up 32% to 46.25. ely lily up a fraction. >>> general motors will pay $1 million to the securities and exchange commission to settle accounting charges related to a faulty ignition switch found in the vehicles. they said the decision in internal controls prevent it from properly determining the potential for a recall and estimating possible cost. shares rose 16 cents. and american airlines is the latest carrier to launch a basic economy fair that offers flyers a cheaper ticket price with less perks. customers cannot reserve seats or upgrade and can only bring a personal pimt fits tunneled seat. it is expected to launch next month on select routes. shares were up almost 2%. 47.64. canadian pacific railway said its profit rose in the latest quarter. while revenue slimmed. the railroad operator said he would step down immediately earlier than the departure state and the colonel president would tea that position. shares fell slightly and e

we will hear from the incoming ceo of eli lilly. .une in 10:00 a.m. eastern don't miss it.look at how the iphone became apple's most important product, and whether the company can re-create the success. ♪ ♪ >> today, apple is going to reinvent the phone. >> 10 years ago, steve jobs unveiled the iphone. at the time, it was the heir to the ipod, albee it an expensive one. since then, it has the smartphone market, destroying nokia and blackberry and inspiring a handful of new arrivals around the world. apple has sold over one billion iphones to date. they helped drive up apple's 2015.850% to its peak in in 2016, analytics reported smartphone operating profit hit $9.4 billion worldwide. apple alone made up 91% of that. with these numbers come high expectations. the iphone is now apple's most crucial private -- crucial product. investors,rried some because annual iphone sales fell for the first time last year. apple's operating system held onto just 12.5% of the global market, versus android costs nearly 87% in the third quarter. analysts remain bullish on apple. some believe th

johnson and johnson, merck, eli lilly and the former trade group were represented at that meeting.irman growth walden, chairman of the house committee on energy and commerce also participated. during the meeting the president commended their progress in lowering drug prices also reiterated his insistence that there is more work to be done. he promised to continue -- he was pleased to have the chairman discussed 1600 american jobs will be added by them. the ministration will continue to prioritize jobs and make it easier for businesses around the country to hire more americans. the president had lunch with mayor giuliani just a short time ago. who serves as the ceo of an international firm giuliani partners. he was asked to lend his expertise to the ministrations of cyber efforts. mayor giuliani was asked to initiate the process because of his long and very successful government career in law enforcement and his 15 years in private sector security providing solutions for the challenges we face in the cyber world.during the transition of president nancy intended to host a series of m

he didn't say that to the faces of these executive companies like eli lilly and johnson & johnson. but he did make clear that he is going to pressure them to take action to cut prices. he wants medicare and medicaid to be able to negotiate their prices. he said it was ridiculous that aspirin is cheaper at a drugstore than if you get it through medicare or medicaid. he also spent some time talking about the trade piece of this. that he is trying to make trade positions more favorable for the united states. and on top of that, that he take regulatory actions and tax actions that will encourage pharmaceutical companies that left the u.s. to return, in terms of this is operations and manufacturing. so this is all sort of what we have expected to hear from him but i think actually hearing it and hearing it to the faces of the pharmaceutical executives shows that he will not fully back down on this. vonnie: that was jennifer epstein at the white house. thank you. mark: let's bring in kevin cirilli. of the actingg attorney general make the confirmation of jeff sessions more troubling? kev

both pfizer and eli lilly reported earnings that partially missed estimates. the shares were initially lower and then moved higher as the meeting was going on. did issue some rhetoric on decreasing drug pricing. a quick check on commodities and once again-- is down as we get some rhetoric from the trump administration on the euro in particular and that it is undervalued. u.s. dollar index falling and we see some commodities bounceback. mark: the u.k. has some comments onbeginning the debate article 50 which would give prime minister theresa may the authority to trigger the brexit process. guest: this bill was designed to avoid as many to amendments as possible and make the process quicker for theresa may's government. firstoined by the former minister of scotland, also a u.k. lawmaker and one of the lawmakers that plans to vote against this bill. we understand it is unlikely parliament is going to block this bill, however the s&p has put forward 50 amendments. what are your priorities? to say weority is think a mistake has been made in terms of the u.k. moving

. >>> sanofi, nova nordisk and eli lilly are being sued by patients for price fixing for diabetes treatments. the lawsuit claims the drugmakers lifted the price of insulin by 150% in five years. uninsured patients are particularly vulnerable to the rising prices, according to the plaintiffs. however a sanofi spokesperson said the lawsuit has no merit. >>> unicredit says it expects to book a net loss of 11.8 billion euros for 2016. the italian lender said its ct 1 ratio would fall 8%. >>> and more spring cleaning coming from deutsche bank. the bank agreed to settle claims relating to its part in a russian money laundering scheme, they will pay $425 million fine. they were found to have moved money out of russia with a mirror trading scam. shares up by 1.7%. i guess any news that removes litigation is good news for deutsche bank share holders now. >>> the french presidential elections pose the "greatest existential risk" for europe. that's according to strategists at credit suisse. they said the victory of francois fillon would be a positive for the economy, and emanuel macron could also be co

. >> dave ricks, the new ceo of eli lilly. 140 years in indian ain indianapolis, and that's where we make a lot of our products. we're hiring manufacturing jobs as i speak. which is good news for people in indiana but also some of the policies you've come out and suggested, i think could help us do more. i'm looking forward to moving ahead and tax deregulation are things that could help us expand operations. >> thank you. >> our great vice president. >> -- a company that employs about 50,000 people. one of the largest investments in -- >> johnson & johnson, good company. >> i'm from novaris. spent about $3 billion in research and development. our global headquarters is up near boston. we have about 13 manufacturing sites here in the u.s. and employ about 20,000 people. >> are you going to expand within the united states? >> one of the things that can us is a lower tax rate. if you look globally, that's a massive help. >> yep, we'll get it. >> mr. president, steve with pharma. a pleasure to be here. on behalf of the whole industry, we employ 4.5 million americans directly or indirectl

now, when you have a company like merck or eli lilly that are coming out with drugs that are changing course of treating disease, it's justified charging their price, but when you have companies like epipen or mylan, today cvs came up with a generic epipen at one-sixth the price. i think there will have to be some constrain on drug prices. allergen says we're only increasing 10%. that's four or five times the rate of inflation. so, i think there will have to be constraint and i hope trump does it with the pharmaceutical industry because it's causing health care too much, and we know we're going to have to justify the cost of everything we do in health care. we can't just keep going up, up and away. so i think we need to parse this a little bit, look at the difference between a breakthrough drug and an older drug that they're just raising the prices on and reform those policies. >> exactly right about pricing and health care. we do have to address that. there's no question. i think in defense of everybody who works in the pharma industry, one would hope we would do it in a way just mor

vonnie: we will hear from the new ceo of eli lilly. has to say about research in alzheimer's, cancer, and diabetes, and immunology. this is bloomberg. ♪ planting a size-six, non-slip shoe into that door. on this side, i want my customers to relax and enjoy themselves. but these days it's phones before forks. they want wifi out here. but behind that door, i need a private connection for my business. wifi pro from comcast business. public wifi for your customers. private wifi for your business. strong and secure. good for a door. and a network. comcast business. built for security. built for business. hey, drop a beat.flix? ♪ show me orange is the new black ♪ ♪ wait, no, bloodline ♪ how about bojack, luke cage ♪ oh, dj tanner maybe show me lilyhammer ♪ ♪ stranger things, marseille, the fall ♪ ♪ in the same place as my basketball? ♪ ♪ narcos, fearless, cooked ♪ the crown, marco polo, lost and found ♪ ♪ grace and frankie, hemlock grove, season one of...! ♪ show me house of cards. finally, you can now find all of netflix in the same place a

. >> dave ricks, new ceo of eli lilly. 140 years we've been in indiana.g manufacturing jobs as i speak, which is good news for people in indiana but some of the policies you've suggested, i think it helped to us do more. tax deregulation, those are things that could really help us expand regulations. >> our great vice president. >> chair of the pharma association. >> big pharma meeting with president trump. a couple of things that i think are important that get to the heart of what the debate is. one he says you have to get prices down. when you talk to the leaders of the pharmaceutical companies, they talk about regulation and research and development and they'll tell you how many things that go through the process that never achieve efficacy. they need that money to get the drugs that work. he also talked about streamlining the process. people do like to use the example of you have someone who has four weeks to live, why can't they have a drug, make their own decision about whether or not they're willing to take that risk. the larger issue is about gett

johnson & johnson, eli lilly, the former trade group where recommended and represented at the meeting. the chairman of the house of energy and commerce also produce if he did. during the meeting, the president committed their progress in lowering drug prices, but also reiterated his insistence that there is more work to be done. he promised to continue reducing the burdensome regulation that raised the cost of doing business in america. he was pleased to hear the chairman robert discuss how 1600 american jobs will be added by his company. this administration will continue to prioritize jobs to make it easier for businesses around the country to hire more americans. the president had lunch with mayor rudy giuliani just a short time ago, who serves as the ceo of an international security firm and was tapped by the president to lend his expertise to the administrations cyber efforts. the mayor was asked to initiate this process because of his long and very successful government career in law enforcement and his 15 years in the private sector security providing solutions for the challenge

session with major pharmaceutical company executives in the roosevelt room, merck, johnson & johnson, eli lilly, chairman of the house committee on energy and commerce participated. the president commanded progress in lowering drug prices but also reiterated his insistence there's more work to be done. he promised to continue reducing the burdensome regulations that raise the cost of doing business in america. he was pleased to hear that the chairman of amgen robert bradeway discussed how 1600 american jobs will be added. this administration will continue to prioritize jobs and make it easier for businesses around the country to hire more americans. the. the had lunch with mayor giuliani just a short time ago who serves as the ceo of an international security firm giuliani partners and was tapped by the president to lend his expertise to the administration's cyber efforts. mayor giuliani was asked to initiate the process because of his long and very successful government career in law enforcement in his 15 years in private sector security providing solutions for the challenges that we face in t

eli lilly's "illegal activity increased patient's costs, threatened their safety and negatively affected the delivery of health care services to over 9 million military members, retire years, and their families who rely on tricare." mr. president, very interestingly, and i'm sure that many of the members saw it, president-elect trump had a press conference this morning, and in his press conference he said -- and i quote -- "phrma is getting away with murder." end of quote. mr. trump, "phrma is getting away with murder." and you know what? mr. trump is exactly right. phrma is getting away with murder, phrma has gotten away with murder for many, many decades. and the interesting issue is, with a republican president-elect telling the truth that phrma is getting away with murder, will the republicans, will all the democrats have the guts finally to stand up to the pharmaceutical industry and their lobbyists and their campaign contributions and fight for the american consumer and end the disgrace of having our country pay by far the high of the prices in the world for prescription drugs? wel

. >> i'm the ceo of eli lilly. we've been in indianapolis for 45 years.s where we make a lot of our products. we're hiring manufacturing jobs as i speak, good news for people in indiana but also some of the policies you've come out and suggested i think have helped us do more. i'm looking forward to the meeting ahead and tax, deregulation, those are things that could really help us expand operations. >> thank you. >> our vice president. >> i'm the current chair of an association representing a company that employs 50,000 people in the u.s. and one of the largest investments. >> johnson and johnson, good company. >> we have about $3 billion in research and development. our global headquarters is near boston. we have 13 manufacturing sites in the u.s. and employ 20,000. we are looking at -- >> expanding in the united states? the rest i'm not interested in. >> one of the things that can help us is a lower tax rate. that would be a massive help. >> we'll get it. >> mr. president. ceo of pharma. on of the whole industry we employ 4 1/2 million americans direct

announced a deal with eli lilly to offer it to drugs at a 40% discount, which is something the ceo spokein, highly competitive. we are all about competition but we want to focus on filling the gaps in health care system, whether that is with insurance companies, or with this partnership that we announce this week, by offering directly to patients when they are in that high deductible code pay. today, blank is announcing that it will work with arbor pharmaceuticals as well as lily to offer up to 50% discount on certain medications. the blank ceo jeffrey chaikin joins me right now. it sounds almost too good to be true, saving 50% on for medication. how does that work? pharmaceutical supply chain is incredibly complicated, which is when you hear from industry participants. high retailese prices out there for both generic and branded medications. insurance companies are negotiating down the prices of medications for those who are insured. there are about 70 million americans who are either uninsured, 30 million of those, or underinsured, about 45 million. those patients either have high dedu

eli lilly. the iu. macy's. master association. black women.clap] texico [clap] university of phoenix [clap] we are done. thank you for coming out. >> i want to thank everyone for coming out today. as a coalition in this room i urge us to use an opportunity to strategize and mobilize for what is in front of us. thank you everyone for joining us this morning, now the day. your martinst of luther king day. > vice president-elect mike pence stopped by the memorial in washington dc. he was joined by his family and south carolina senator tim scott. the vice president-elect also posted a comment on twitter saying, america today honors the life and enduring legacy of dr. martin luther king jr. whose -- , vision made as a better nation. the meetingke about and was asked to comment on statements made by the resident elect about john lewis. mr. trump: let me briefly state we did have a constructive meeting. the modernl light of civil rights movement was the right to vote. it is very clear that the system is not working at its maximum.

merck, johnson & johnson, amgen, eli lilly and the firmer trade group at the meeting. chairman greg walden, chairman of the house committee on energy and commerce also participated. during the meeting the president commended their progress in lowering drug prices, but also reiterated his insistence there's more work to be done. he promised to continue reducing burdens from regulation to raise the cost of doing business in america. he was pleased to hear the chairman of amgen robert freely discussed a 1600 american jobs will be added. this administration will continue to prioritize jobs and make it easier for businesses around the country to hire more americans that the president had lunch with mayor giuliani a short time ago who serves as ceo of international security firm, giuliani partners and would lend his expertise to the administration cyberefforts. they are giuliani was asked to initiate the process because of his long and successful government career in law enforcement in 15 years the private sector security providing solutions for challenges we face in the cyb

e've also been seeing from the drugmakers, merck and eli lilly, surrounding some positive news from oneysler, we've been talking about that company a lot, on the news that the company's software may have hidden some emissions. it and cummings are being defended by analysts. bank of america saying the fiat stock decline appears somewhat extreme, that it exaggerates the effect that this could have. cummins likewise, mar clays saying the talk today does not implicate the summings engine specifically. delta airlines fell after that company's commentary in its conference call. j.p. morgan said buy the company amidst confusion that people are misinterpreting comments made on that call. scarlet: let's get to bloomberg's first word news. taylor is in the news room. taylor: dr. ben carson wants to focus on learning what, quote, actually works, when it comes to housing and urban development. the senator banking committee is considering his nomination to be h.u.d. secretary. carson says his background makes him a strong candidate. >> some people say, but medicine, why would you go into something l

eli lilly. the iu. macy's. master association. black women.clap] texico [clap] university of phoenix [clap] we are done. thank you for coming out. >> i want to thank everyone for coming out today. as a coalition in this room i urge us to use an opportunity to strategize and mobilize for what is in front of us. thank you everyone for joining us this morning, now the day. your martinst of luther king day. c-span,r: here on washington journal is next. after a short health session, samantha power talks about foreign affairs in her last speech as u.n. ambassador rice then watch as the interior secretary and education secretary testify at the house hearings on the hill. cries on today's washington journal, we take a look at foreign policy under president obama and some of the challenges that remain as he prepares to leave office. by michaeljoined breen and jay carafano. and kept during his time in office. ♪ it is the washington journal for january 17, donald trump companies will face senate hearings today as choice for and hisn secretary choice for

the stock market has not been -- there you have, pfizer merck, eli lilly, johnson & johnson, not a hugeket has not been affected by what we heard about obamacare this morning. before we go to commercial break, show me that one again, judge. i want to read a tweet. this is from vice president-elect pence. i think this just about sums up the activity of the morning. here's the quote from mike pence. we're going to keep our promise to the american people, period. our first order of business will be to repeal and replace obamacare. that is what you have seen unfold this morning. we'll take a commercial break. got to make money here. we will be back. . . >> i'm nicole petallides with your fox business brief. president obama discussing how to salvage the affordable care act. we heard from democrats today, chuck schumer, bernie sanders, nancy pelosi, as they -- health insurers to the downside. aetna, cigna, humana, losing ground, all with down arrows as dems work to save this. last six years republicans made dozens attempts to change and repeal it. president-elect trump plans to do exactly tha

finally, we should tell you a mixed quarter for eli lilly.t but revenue topping estimates. the company is reiterating the full year guidance. >> final check on the markets. the futures are indicating lower after a weak session yesterday. weakest of the year, actually. indicated down about 52 points. hard to believe they're not going up a little on this. there is something about puppies, isn't there? >> the market should be going up a little. >> you're a dog person, not a cat person, right? >> i love dogs. sweet pea is trying to take my microphone. can you say good-bye to everybody? want to say good-bye? >> "squawk on the street" is next. >> join us tomorrow. bye, everybody. >> bye. ♪ everybody dance now ♪ everybody dance now >>> good tuesday morning. welcome to "squawk on the street." i'm carl with jim cramer and david faber at the stock exchange. whether it is high profile earnings misses, the turmoil at the department of justice over immigration, the start of a two-day fed meeting today, futures are lower. the euro is powering higher. we'll

. >> i'm the new ceo of eli lilly. 140 years in indiana and indianapolis and that's where we make a lotr products still, in fact, hiring manufacturing jobs as i speak. and which is good news for people in indiana, but also, some of the policies you've come out and suggested, i think, will help us do more so i'm looking forward to the meeting ahead. and tax, deregulation, things that will really help us. >> very good, thank you. >> our good vice-president. >> and current chair of the pharma association, representing the company that employs 50,000 people and most in manufacturing, and one of the largest investments. >> thank you. >> johnson & johnson. >> and novartis, ceo, spent about $3 billion in research and development our global headquarters is up near boston. we have about 13 manufacturing sites here in the u.s. and employ about 20,000 people. >> are you going to expand? >> within the united states? >> one of the things-- one of the things that can help us is lower tax rate. when we look globally, that's a massive help. >> yep, we'll get it. >> mr. president, steve with pharma, pre