here and you talked about that and a notion of what was going to happen with united technology of honeywell. there is an antitrust issue >> you guys remember it. the overlap in our aerospace, the commercial is tremendous small engines, we are looking at $8 billion to $10 billion. all the valuation from the merger evaporates. in this case you a, you are tal about 1% of our sales. let's call it 750 million insignificant. we'll find new owners for those businesses it will be competitive, they are not the antitrust risk that we have with honeywell. this is a deal that'll happen as oppose to the one that's not going to happen. >> this will be 45 international, tom >> 45% international and defense will be good >> i would say year to year that can change i would say -- 50% international and domestics and 50% commercial but the bottom line is the under line technology supports all of that structure that's where we'll be able to drive and leverage that technology and create the next franchise in the markets >> the atmospheriatmospheric, t that you are doing, these are things that make me feel comfor

ceo's including those from now and honeywell -- dow and honeywell are going to china to meet with thee premier. this comes right before president trump will be meeting with the g-20. trade talks broke down last may, as you remember, and several administration officials tamping down expectations for progress. it is hard not to believe that these companies worry about becoming collateral damage, so the meetings are somewhat understandable. again, definitely highlights what could potentially come up out of the trunk-xi -- the trump -xi meeting next month. tech companies are coming under increasing congressional scrutiny. this hearing will be about their ability to self moderate content, specifically terrorist content, but also mince information, but it is part of a broader pattern of congress scrutinizing techs companies over topics from content to their sheer size. tech giants have been trying to push back more on congress, so the hearing could be ground for some fireworks with watching. kathleen: always loved watching fireworks. thanks. facebook'se more on foray into cryptocurrency. sh

. >> honeywell is up year to date, what is your outlook for the second half of the year?> been a great stock. trades above a market multiple but sold some businesses this year and what remains is higher growth, better margin and if there is a trade resolution, it's good for honeywell. >> good stuff. >> nothing >> where is jonny o. when you need him, my man >> sometimes you have to give the opportunity to shine >> send in a bonus one >>> the crypto and seema has more >> continuing its climb closing in on 13,000 and now up more than 250%. this year our trader's today scott and jim. scott, i have to start with you. traders have been making sense of this data that shows investors have been building short positions and pairing back their bearish bets still, is that a concern >> oh, it's absolutely a concern. scott mentioned milestones price wise we're near a milestone when it comes to short interest, speculative short interest total open interest in bitcoin futures is not that big. you can move it around and i think that is what is going on with the shorts. this is not just a

it once outpaced all of its rivals like united technologies, 3m and honeywell but it has recently fallen low its major competitors. they are saying the key to turning ge around will be to sell off some of its unprofitable businesses and focus on a laser type strategy. we got more on ge from our reporter in chicago. job?y would he take the gm he was loaded up at the boston red sox. the greatest comeback, 108 years, no world championship. now, he is offered ge and he spoke about this in an article. my friends are telling me what are you doing? you have a great legacy. you made all of this money and have a great life. why will you step into this mess? and he said, that is exactly why i should do it. carol: wall street is not convinced that his set of skills is a great match for general electric. he acquired a lot of companies. ge is going to sell off businesses. general electric is a company you cite analysts in your story that say we do not deem these are the right skills for what ge needs right now. anyan: what he did at dinner iher is different in the short term than what he has to do at

as you can see, it once outpaced all of its rivals like united boeing, and, honeywell, but it has recentlylen below its major competitors. they are saying the key to turning around ge will be to sell off some of its unprofitable businesses and tightus on a laser strategy. we got more on ge from our reporter in chicago. >> why would theo epstein take the gm job at the chicago cubs? he was loaded up at the boston red sox. why? the greatest comeback, 108 years, no world championship. so now larry culp is offered ge and he spoke about this in an article with the harvard business school publication, where he said, my friends are telling me "what are you doing?" have a great legacy. you made all of this money and youyou made all of this money and have a great life. why would you step into this mess? and he said, that is exactly why i should do it. carol: this is what is interesting. wall street is not so convinced that his set of skills is a great match for general electric. he acquired a lot of companies. ge, he actually has to sell off businesses. you are also talking about general electric be

and ge on the heels of this. >> right so, honeywell is now going to be one of the smaller aerospaceas one of the biggest ones so, it has an ample balance sheet, $18 billion potentially to deploy. you have textron as one of the only mid-caps left that l-3 and harris are combining, so there are very few left in this space. >> you're not going to be able to combine defense companies with each other anymore, correctly? that's what an analyst told us last hour, that if you want to do it, it will have to be a little outside -- the pentagon doesn't want anybody getting bigger and bigger. >> i think the major primes will have trouble consolidating from here, but suppliers could come together. >> that's what's interesting about this deal is raytheon's combining with not a prime, right? it's a large commercial aerospace company. >> right. >> and from a strategy point of view, if you think about what boeing did almost 15 years ago by buying mcdonnell douglas, over the last 15 years, half of the free cash flow of the boeing company has been generated by their defense business. >> i think that's

those companies are names like dow, upz, f.p.s., honeywell the mexican senate voted overwhelmingly toatify the u.s. mca, yesterday, the new nafta. justin trudeau isset to meet with trump and congressional leaders today to lobby for quick ratification our congress has not even yet set a date to vote on the deal >>> when we come back, much more on the attack on a u.s. military drone near iran. the news sending oil spiking a live report coming up. >>> and could the permian oil boom turn into a boost if the wells run dry? some in opec think so. we'll have comments from the ceo of a major u.s. oil company on that ahead. >>> and it's a term you'll hear a lot of today, direct listing what the heck does it mean get readfoy r a thursday picker upper as we lay that out in layman's terms higher expectations. the light beer you've been waiting for has arrived. corona premier. >>> futures up 220 points right now s&p and nasdaq green the yield on the benchmark ten-year note fell below 2% for the first time since november of 2016 get ready for mortgage rates to fall again >>> messaging service slack

we're looking at you, lockheed martin if you're general dynamics, honeywell, or even ge, what do youning? >> i don't know you need to do anything what's really interesting about this is this is really the first big crossover. over the last several years you've had a lot of big mergers in aerospace, you've had some m&a and this is one that creates a solid blend and a true a&d company, that's about 50/50 in terms of revenue boeing over the years has skewed one way. north tl northrop has skewed the other way. i'm not sure who does this. >> stocks are up and the stocks of utx and raytheon are up in the pre-market should investors be happy with this deal? >> yeah. look, the companies are going to talk later this morning about the merger synergies and the overall economic benefits of the deal you know, i think that's something folks will look at and digest as the day goes on but really more broadly it puts a diversified company together that has counter cyclical protection has some heft, a lot of international exposure as well you know, so really it should be able to compete strongly in tw

you saw honeywell, dover, itws starting to hold and those look like cycle lows and i'll take the other side of the argument. >> it's unusual to see two 10% corrections in a nine-month period and suppose lead it hasn't happened in five yea40 yd this probably isn't likely to be and then you have things like the ftc and the doj and mexico and you wonder whether do you throw out the technicals >> tons of headwinds for sure and you can see that reflected in the technical, but if you go back to the secular bull markets of the '50s and '60s and the '90s that's still what we're using and it worked too well in 2016 we think it's been front and loaded into the end of 18 and as brian mentioned we will chop around a little while, but i think be very careful getting too bullish and we think the cycle is longer for higher if you have monopoly powers, don't you feel some type of getting squeezed in everything i get is free. my google map is free and where is the monopoly power unless you're talking about competitors not customers, right i think we have a light touch and i know you guys don't talk fun

. >> joe, honeywell, all-time high >> can't find an alternative >> you're still in it?icrosoft everybody seems to be in that. doc? you in microsoft >> love it, yep. reoccurring revenue ever since they went that model with sacha nadella, they have trushed it and continue to do it. >> let's do final trades pete, start us off >> in the last two days, we have seen dell, which never hit that often in the past, but two days in a row, upside, so dell is my final trade. >> cloud communication, these guys are owning the space really twlo hitting a new 52-week high, i believe all-time high again today, judge absolutely on fire >> stephanie >> corteza, the ag pure play from the dupont spin if you think the a.g. cycle is turning and i think we're in the process of it turning, it's a really good 2020 story, this is the one you want to own. high quality, a multiple turn below fmc, which is one of the industry leaders >> joseph. >> finding opportunity in other technology names that are not the ones that we think of all the time, key sight technology >> up 13.5% since you bought it. st

names that have momentum but you can also identify them as quality momentum mcdonald's, microsoft, honeywell, abbott, american express, pull up the charts of those five stocks. they mirror a lot of the momentum names but they have the quality, the fundamental characteristics that you're looking at. >> microsoft you get a dividend. you get a dividend from tech. >> don't you love that >> i'm so excited to be amongst these dividend lovers. where did you come can from? >> i will take the cash flow i will take the credit for that. cash flow. everybody loves that. >> at the same time you are selling some stocks out of your portfolio that maybe we're shorter-term trades or plays. >> twitter did not break out above $40 as i heard so many suggested it would i was positioned for that. it didn't work good-bye, good luck, have a nice day. >> it's all right. >> maybe pioneer and hess energy is so confusing and just not working i think every energy trade that i have put on in the last 12 months has been a loser. >> to that point, i was hosting this panel last night with two very well-known big investors,

you offer a great service, but we have seen companies like ge, honeywell tried to do this on their ownsuccess. we published a paper in 2015 where we cracked the code on how to make polymer products quickly out of finished goods. we have the first example last year with adidas, the largest single example of a finished product made in 3d printer history. we will do 10 times that volume this year, not just running shoes. biotech inducts in partnership with johnson & johnson, products implanted in the body and after several months go away without a trace. we have a new program with affordable care, making dentures. making dentures has not changed in 120 years. it is in our tees and will process. now we can go to digital scanning technologies. foran scan your mouth perfectly fitted dentures. them, you just order a full pack. you don't have to go back in that chair eight times. one lady threw them in a fireplace by mistake. she had them in the newspaper. printing,usly 3d people have been talking about it for a while. i first heard about it seven years ago. >> 30 years ago. thatwhat can you d

joe: in 2016, honeywell attempted to buy you tech but that was dismissed and seen as undervaluing thepany. harrison and l3 merger. that was have this deal -- half this deal. potentially it could trigger another wave of deals. we haven't heard anything on that but we think in europe, companies will look at how this will affect them. francine: are you expecting more deals or because this was such a big u.s. deal, it would stir europe? joe: the industry is so global, because of airbus and france and boeing in america. european companies will have to react to this, just as much as american companies are asian companies. francine: joe easton, our stocks reporter on this megadeal in the defense sector. coming up, germany's finance minister tells us he is backing bundesbank's chief to lead the ecb. our exclusive is coming up next. let's give you a good roundup of what is going on in your markets . happy monday, it is the start of a trading day. june is usually an audit month. -- an odd month. i am looking at stocks. they are up. u.s. equity futures are climbing. u.s. stocks taking heart that

new highs. 300 -- more than 300, the new york stock exchange, some big names, merck and visa and honeywelltraveler insurance stocks have been strong as well. just want to remind you what's gotten us here to the new highs, sector leaders that have been sitting at new highs so, real estate investment trusts, utilities, tech just shy of a new high, consumer staples have also been very strong, consumer discretionary also just shy of historic highs, let's not push it too much but there's a lot of laggards out there and i don't want to tell you everybody's doing great. we see the energy stocks, we're 20% below the old 52 week highs in energy, the russell 2,000 is also lagging and that's about 10% below its old highs. the dow transport similar situation, also about 10% below the highs. we've had some tough times for a number of sectors, metals and mining just got killed on the tariffs issue. they're still about 20% below. fa pharmaceuticals, they're lagging 15% or so. medicare for all, that's prevented them from really participating dramatically in the rally. retail stocks and other sector, about

. >> we're running out of time did you have anything to do with the united tech/honeywell, not letting? is that your -- >> no. what i did way back then, that wasn't an issue. it was, i created the policy or annunciated the policy -- >> so because that didn't go through. do you think this one -- i'm trying to get back to the united tech -- >> oh, you're not going -- >> you're not in a position again, you can say something. >> but i was the acquisition executive who wrote the -- >> so that's why you can't -- >> yeah, so i ought not do that. >> let me ask you about boeing do you feel the relationship between boeing and the faa was too close? >> well, i don't know if it was a close relationship, but the faa has weakened its own internal technical capacity to make certifications. and, so, it has ceded to the companies a lot of responsibility for doing that. now, when you do that, inevitably, some of the incentives of the company, rather than the incentives of the faa, kind of enter that process, and there's no question that's what we saw going on here so, i worry about the technical health