greg hayes will join us exclusively onset in a few moment >> apple among the names under pressure theresident is telling the journal that the u.s. could place tariffs on iphones and laptops depending on how this weekend proceeds >> i think it is important to distinguish between the transcripts and the headlines. there is this moment in the interview where the president seems to be caught up a little off gouuard, how about apple an tariffs? the stock is down. i have been waiting for the big wash out from apple. if things go well, that won't happen and if things go badly, it will. people are starting to presume the worse. we node eed to presume the worst of the white house these days if we get an end to this phase. >> he said maybe when asked about it iphones, people can stand another 10% easily do you think that's not true >> the answer is look you got to take numbers down. this is a take numbers down event. the price increase does not accrue to you. it is clearly a negative we'll be speaking to greg hayes soon he's going to tell you tariff is not good for business. i don't think it is

the expectation according to people like greg hayes who has -- >> i don't want him to run the fed. >> he is running his company they've raised prices three times. you can only raise them so much. >> i think it's going south here i think that's going to happen >> it may be more related to the plan they've come up with than the actual -- >> i think that hurts people that own that big, giant index because it was -- it still is a great company. you talk about the index of real estate all around the world. but now it has to be a separate company because people don't buy chillers, air conditioners >> what happens if tomorrow powell is stay the course? >> if he stays the course, the market keeps floundering around. we're having this debate >> you don't think the market will go down >> no. it's built in at 75% >> we have to get through this weekend. we have to get through ge and trump and the conversation they're going to be having to get through whatever this malaise we're having in the marketplace. if you look at what is working today, it's utilities and staples. but interestingly enough it

greg hayes will continuing to run the aerospace business, discussioned the decision today. >> we can look at any point in history and say t commercial businesses outperformed the aerobusiness. over time we always had balance works at utc. as i've spoken to investors over the last year there is almost unanimity that these busins perform better as separate businesses. >> the move was not unexpected. after the in-depth portfolio review and as the company closed on a $23illion rockwell purchase. but it doe continue a trend of industrial conglomerates breaking up, what some analysts call t t urge demerge. honey well-johnson controls, as investors favor pure play companies over the bigger manufacturers. the move comes as larger uncertainties loom, namely the trade relations. a topic affecting multinational manufacturers including united technologies. >> tariffs benefit no one. we are spending $150 million in the coming year to pay additional tariffs. ultimately tariffs are a tax on consumers. we raised prices three times in carrhir cover the tariff costs coming in. tariffs don't bring back

greg hayes says as stand alone companies, united technologies, otis, and carrier would be ready to solveustomers' biggest challenges, provide rewarding career opportunities, and contribute positively to communities around the world take a look at shares of ut dmoerngutx this morning they are up on this news >>> let's get over to dom chu this morning 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

the thing that i am concerned about is the layoffs it will comeas everybody in kn >> now, does greg hayes you raise rates, you create more engineers? >> he's not worried? he's worried of finding qualify people do we have the work force and retrain enough people to get these high quality jobs that we are talking about. you still think i am an idiot. >> no. >> if you go to marc benioff, i think greg just from ge attrition, he can get his engineers. one of the most exciting things i heard from benioff was against facebook >> he's mad, talking about being on a rampage in the big tobacco comparison >> you have cook and ramety taking shots >> lack of transparency fro from -- this is the iphones. this is the thing that will apple go down on that? i don't know there is a good look to tech today. we have cross currents everywhere >> did you hear about transports because we got boeing doing well for the dow. a lot of people are saying the wave transport has held in >> $5.5 yet. sphere was up big. >> why do we need one hike take it based on the things that had been thrown. and then we wait by the wa

united tech's ceo greg hayes says as stand-alone companies united technologies, otis and carrier wille ready to solve the biggest challenges and provide positively to communities around the world dan loeb pushed for united technologies to split in april after disclosing his hege fund built a significant stake in the company. at the time management disagreed but always said it was open to shareholder input. utx up a percent and a half in premarket trading. >>> watch tesla's shares today. shares fell in china 70% the passenger car association telling reuters tesla sold just 211 cars tesla which imports all the cars it sells in china said tariff hikes in auto imports were hammering sales. >>> we continue to monitor gm today. yesterday the automaker announced it will shut several plants in america and canada and cut about 14,000 salaried jobs president trump and several lawmakers are expressing displeasure over the move. gm's ceo mary barra met with larry kudlow yesterday afternoon. so farr no details have emerged on that discussion. >>> the fda approved a drug to treat a range of cancers

after the company announced they would split up businesses down almost 6% now chairman and ceo greg hayesdown with "squawk on the street" crew earlier to talk about the decision take a listen. >> because it is the right thing to do. look, i mean we can go back and look at any one point in history, say the commercial business outperformed aero business i would tell you, as i have spoken to all investors in the last year, there's almost unanimity that they would do better as separate businesses. >> we asked about trade rhetoric from the president and impact of tariffs on utx. >> tariffs benefit no one. we're going to spend $150 million in the coming year to pay for additional tariffs ultimately, tariffs become a tax on consumers we raised prices three times at carrier to cover tariff costs coming in. tariffs don't bring jobs back, tariffs don't accomplish what we are trying to accomplish >> i think it is probably why shares are trading down as much as they are, guys. first of all, laid out an 18 to 24 month time line in terms of the breakup, talking about 2020 to be finalized. when you look

blessed ceo greg hayes is better pressure from activist investors bill ackman and dan low.sident of politics and economics of the auto industry are crashing head-on, president trump says he's pressuring general motors to move production back into ohio, state that usually a critical battleground in presidential elections. gm plans to dismiss 14,000 workers and close seven factories. one of them is in lordstown, ohio, which makes the slow selling seven -- chevy cruz. in a very bad here is getting , after thehomas cook company reported annual profit below guidance that already been cut twice. decimateok says it ms. a three years to get things back to normal and the company failed to plan properly for the hottest european summers on record which led millions of potential customers to holiday at home. and that your bloomberg business flash. tensions between the u.s. and china are melting ahead of this would g20 summit and president trump saying yesterday if we'll make a deal that i'm going to put the $267 billion additional tariffs on. the only deal would be china has opened up

. >> as greg hayes said right here the number of planes bought by china. >> i disagree with greg on the there's companies that have a hard time finding workers. >>> let's get to "mad. >> we have sofi. i get 2% on that account anthony noto manny chirico's stock has been decimated. and the turn in dollar tree is so exciting to me. >> what a great show you have. and none of them are people that used to be my regulars >> david, you know what? we are friends i want people to know that my father used to say are you fighting with david again? i said pop, i love david and i've loved him for years but on air we have collegial sparring which is the way everybody should do it >> i'll see you later. >> all right, bud. >>> we got larry merlo from cbs coming up. t. 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 hi

hayes,: the ceo, greg who will remain at ceo and chairman of the technology -- of the company, which aerospace. m&a will be ahat big thing in the future. he noted that carrier what have a lot of follow on deals. the portfolio would continue to be looked at from here on out. vonnie: what analysts saying about this? could 2018 be seen as the low point for the company's margins? margrethe: i spoke -- natasha: i spoke with an analyst this morning and he said, besides that near-term pressure, the long-term is looking positive. this is following a lot of what the industrial sector is doing. honeywell just spun off two businesses and ge is sellingvely acquisitions. this is following what the industrial sector is doing. companies going to be spun off, is the leader in selling elevators. -- makeshich meets heating and cooling units, it is number one and number two in its market. it is looking positive for the two companies. why can i ask you about this is a surprise on the cash flow line for rockwell? have order books as long as the eye can see. we understand what the top line story will look