morgan brennan takes a closer look now at this call and g.e.'s latest restructuring move. >> wall street's biggest bear called a bottom on g.e. shares. jp morgan analyst grading g.e. to neutral from underweight but keeping the $6 price target the same. upgrade is significant. since the analyst was the first to call g.e. into question. downgrading the name n may of 2016 when it was still a $30 stock. since then predictions proved largely right much to the chagrin of longtime shareholders. according to the analyst the key to the story in our view is the outcome of the knowns unkno in near term which are better understood and around which debate is more balanced. as opposed to to being overlooked by most bulls in the past. still, he does believe the beleaguers manufacturer may have to sell new shares to raise cash. even though new ceoarry kulp says last month that wouldn't be necessary given plans to sellf up to $20 billion in azbleets as jood won wooden be saidamsz basketball coach be quick but don't hurry. i think that's the minds have. we look a

here's morgan brennan with your 2019 defense playbook. >>> the 2018 year marked the start of the military'sebuilding as the d.o.d. dolled out big contracts, the space force shifted from sci-fi fantasy to on-paper proposal but 2019 may be tougher. peak defense dollars brace for a spending showdown as the pentagon proposes a bigger budget and some officials balk the wildcard president trump who wants a stronger military and more recently called for budget cuts. was should keep spending strong, a u.s. defense strategy focused on russia. a tight labor market a shift to the cloud and the air adoption of ai will fuel a race for more of the 2$250 billion government services market. expect continued m&a on government contractors looking for more for less and contribution from big tech as they seek out high-level high security work. and third, hyper sonic hype. russia has them, china has them and the u.s. is developing them as well. hypersonic missiles. the u.s. can't defend against them so attention will turn to r & d and to long discussed concepts to add sensors in space, something once farfetched

morgan brennan is. she's co-anchor of "squawk alley" on cnbc. you can't make this stuff up.at's going on now? we're obviously thrilled to see it back in positive territory, but it looked like a disaster not so long ago. >> strap on your seat belts. another wild ride today on wall street. the dow is up 176 points may not seem like a lot after that 1,000-point gain we saw in the dow yesterday. that said, at the lows of the session we were down more than 600 points, the equivalent of 2% losses again today for the dow and other major averages. to see the dow and s&p 500 in positive territory. the nasdaq near the flat line is an incredible comeback. there's not a lot that's changed in terms of headlines or fundamentals for this market. you still have the u.s./china trade risks, the fed and rising rates and worries about the global economy and whether you'll potentially see economic growth in the u.s. slow down. all of these are still swirling around. with the averages down 10% so far for december, perhaps not surprising you could even call it promising to see buyers coming back i

. ♪ ♪ >>> good morning i am carl quintanilla with morgan brennan and mike santoli. fortt is on assignment we begin with full team coverage of the selloff another 600 points after 800 tuesday. the arrest of wow way cfo as they weigh china trade tensions. dow is down 2% and ylan mui has more on trouble for tech as silicon valley ceos have a meeting today with the trump administration first, jackie deangeles with breaking data. >> interesting day for oil we await a final decision from vienna you can see the losses are paired, and that's because the eia was out with weekly inventory report, delayed because of the national day of mourning yesterday what the number signifies is that even if production in the united states and globally is at high levels, if demand is there to meet that production that the oil market could find balance. u.s. production numbers, 11.7 million barrels a day, that stayed stable. it hasn't risen in three, four weeks. that's something investors are watching still in the session, down more than 3%, closer to 4%. $50.93 back to you. >> thank you de

i am carl quintanilla with morgan brennan at post 9 of the new york stock exchange.in with the markets. we have weak china debt overnight, sending stocks down as retail sales, industrial output come in under expectations for the

morgan brennan let's check the markets.bouncing around near session lows for the past half hour or so the dow is down by 553 points. right now we have been lower by 611 points 2406 is a level down 2 .4 %. the nasdaq composite is down almost 3%. retail stocks low after a rally yesterday. it has been a rough day for the banks. regions financial wells fargo and citi group are the worst one of the etp, ibb down and on pace for the worst quarter since june of 2002 >> wow thank you. the oil market is also closing for the day. leslie picker has more >> a familiar sight these days for oil prices in the red falling yet again after yesterday's massive jump yesterday. the biggest gain in two years. you can see here wti down about 3.1% 4477 down almost 4 %. oil prices have been declining in tandem with stock markets which have been feeling pressure today. focus concerns about global growth when trading is thin like you see on this week of christmas, it doesn't really take a major headline to move the price of oil. >> all right leslie,

i am carl quintanilla with morgan brennan and jon fortt major averages are falling deeper into correctionritory. dow session low was down 315 we paired a good chunk of those losses, helping fuel the reversal caterpillar, boeing bouncing off the lows apple gaining 1% after a rough few trading sessions off the highs of october joining us, jim suva and analyst andy hargraves good to see you both >> thanks. >> jim, watching apple with a lot of attention the downgrade of best buy, worries about concerns of apple products, 10% of their sales what's your thinking regarding them and all of the negative commentary how much does it match what we expect to see in '19 >> the rally is a past few challenging months for apple a lot of it has to do with trade wars and geopolitical environment. and apple is reaching now more of a cash returns in mature market for iphone. we layout a scenario, how low could apple stock trade, if everything gets really bad and china says no to the iphone. we don't think it will happen, but if that case plays out, we believe the stock could trade as low as 127 but we don't s

i am carl quintanilla with morgan brennan, mike santoli, post 9 of new york stock exchange jon forttoff today volatility is the understatement of the week. major averages look to claw back some of monday's losses. in one week, saw the worst christmas eve ever, biggers inter day dow point game and biggest internet come back in a decade nasdaq is the laggard of the group. it is volatility that's the main topic of conversation. >> you should be cautious on this market until it stabilizes. it is like an earthquake the initial one may be 7.8, but there are aftershocks, and it is better to wait and be cautious the aftershocks could still be disruptive >> the big aberration in markets isn't this year, it is last year, when everything went right for investors. they got great returns, virtually no volatility and every car relation book in their favor. now we're transitioning back to something more normal which by the way is better over the long term i think one thing we have to worry about is that retail investors are looking at the markets and saying i don't get this, maybe i shouldn't be in

i am carl quintanilla with morgan brennan and jon fortt we begin with apple.s are higher, despite the on-going batted he will with qualcomm the ft reports that qualcomm is filing suits to ban sales of iphone x s and xr in china that's after the court in china banned sales of older models apple wants to invest a billion dollars in austin, texas david wolf is with us, and larry haggerty good morning, guys we also have piper shaving price targets, day-in and day-out, 170. have we seen the last of these or close to it >> i hope so, one of our largest positions. think where we were a couple months ago in the narrative exchanges. we were talking about it deserves a consumer staple multiple 12 and a half times next year's earnings, 10 and a half x cash, we think it is overdone. >> larry, you agree? >> i would certainly concur. every morning, carl, apple's installed basic customers increases, and there's basically no way this doesn't happen each year the customers spend more money on stuff, and basically apple has a monopoly on services and accessories business you re

and "squawk alley" is live ♪ >>> good morning i am carl quintanilla with morgan brennan and jon forttull team market coverage today as "squawk alley" begins the major indexes rally back after the dow posted 2% losses s&p on pace for the worst december since the 1930s, while the nasdaq is looking to avoid the fourth negative session in a row. bob pisani, dom chu, seema mody are watching things for today's trade. josh lipton is about to speak with oracle ceo mark hurd in a few moments, following the company's earnings surge >>> first up, we start with the market rally i know you have been net constructive here. did the weakness monday and rally today, is it giving you any kind of all clear? >> i think that would come sometime in early 2019 the reason is we need resolution on both the rates front and trade front, and maybe the fed wants to soothe things down, but on the trade front there's no clarity. until we have that, the up trend in the market cannot be very sustainable. >> has the market graduated from trade political concerns to overall slowdown concerns? or would clarity on the tr

i am carl quintanilla with morgan brennan at post 9 of the new york stock exchange.ortt has the morning off. we begin with the markets. we have weak china debt overnight, sending stocks down as retail sales, industrial output come in under expectations for the world's second largest economy, as china suspends some tariffs, including those on u.s. auto imports uni >> reporter: china's finance minimum tree will suspend additional tariffs on u.s. made cars and parts 211 items will be effected, with china lifting a 25% tariff on most of those items. the decision takes effect january 1st and lasts three months the finance ministry posted an explanation on its website saying we hope the two sides, the u.s. and china, will intensify negotiations towards eliminating all tariff increases. the announcement came after the economy showed they slowed down further. retail sales, industrial output missed expectations. retail sales grew at the slowest pace since 2003. industrial output expanded the least in three years fixed asset investment jumped slightly, only because it was weak

morgan brennan has this report. >> reporter: it was a big day forever the space tourism company virgine company's rocketed powered vss unity space plane reached an altitude of 51 miles, touching the edge of space. traveling at mach 2.9 on the way up nearly three times the speed of sound technically they are the first to launch from american soil to space since the space shuttle program ended in 2011 and also the first astronauts to do so via a commercial company that is based on the altitude at which the government awards astronaut swings the more commonly accepted definition for space actually starts at about 62 miles nonetheless, it was a big feat and it put the company on pace to begin carrying paying passengers as soon as next year, something that sir richard branson outlined on cnbc on thursday if you push me t make a guess, i would hope that sometime in the middle of next year i'll be going up. and quite soon after that, the public will go up. and we're building here in mojave two new spaceships. so in the not too distant future, we'll have three spaceships operating from new mex

i am carl quintanilla, with morgan brennan, and contessa brewer the dow and the s&p on pace for the worst month. it follows the largest single point gain for the dow the roller coaster action is not isolated to equities oil is on a wild ride off the best day since 2016, down again close to 45. brian jack -- jacobson what constitutes decent follow through after today. >> listen, look, yesterday was unrealistic. we expect continued volatility moving to the new year, waiting for clarity, all the while nibbling at valuations we would continue to see thousand point and 800 point moves. through the end of the year, when liquidity returns, we'll see normalcy to trading. >> i would like to think a lot of it in the last couple of weeks is driven by algorithm trading. we have seen and this is reaffirmed by the investment company institute that with retail investors they began doing tax laws, harvesting the beginning of december, almost doing that type of harvesting mechanically, selling into a market that was already softening. we haven't seen the buyers stepping back into the market with any enthu

i am jon fortt, with me, morgan brennan, and david faber for now, let's start off with the market flashares of twitter taking a dramatic move lower. julia boorstin is out west julia? >> reporter: jon, shares down 9% the company's worst day since july when they released disappointing earnings the second worst performer today in the s&p today, pointing to an amnesty international report, saying the company will be forced to clean up the site, saying that will impact its monthly active users. amnesty international, publisher for tuesday, fighting extensive online abuse against women on twitter. even with today's decline, twitter shares are still up 25% year to date jon, back to you >> thanks. i'm surprised it takes amnesty international for people to be aware of that. watching the major averages, one day after jay powell signaled a hawkish tone than some expected, saying the central bank would continue to shake the balance sheet at the current pace, triggering more losses they're on track for the worst december since the great depression bob pisani is on the floor, watching it all. >> hell

"squawk alley" is live ♪ i am carl quintanilla with morgan brennan, jon fortt with us live from san franciscoajor averages giving back some of yesterday's ganins. new doubts over a permanent trade truce between the u.s. and china. we heard from the president this morning saying he is a tariff man, but negotiations have begun. commerce secretary ross on air telling "squawk box" saying they hope to pin down new principles. tech is lining the broader market an hsbc downgrade which we'll talk about in a minute good morning, guys this apple downgrade, 96 pages to tell us that the core growth of the hardware unit, biggest days of growth are over. >> i don't buy that. i had a couple of experiences the last couple of weeks, carl i am a believer like peter lynch in using your eyes i wanted to buy new apple product. two stores i wanted to buy them in were demolished they're building bigger stores to service more people and the reality is that continuing revenues of apple are going to be extraordinarily good biggest threat to the stock is the 30% fee on the app store it is clear that apple wants to spen

carl quintanilla with morgan brennan at post 9 of new york stock exchange jon fortt in san francisco at our bureau one market. we begin with the markets indeed, major indexes rallying to kickoff the month following the 90 day trade truce between the president and president xi at the g20 today's trade the start of a year end rally or will december be more of the same. well off session highs mike santoli is looking at some of the levels we're watching dow session high was plus 442. >> yeah. >> now some 200. >> above 500 in premarket. it was a bit of emotional response context matters. if we didn't have the news about u.s., china trade, i think we would have come into the week saying market was up 5%, that's a great snap back rally, maybe we're overbought, maybe time for a rest that's what we're i think sorting out is how defensive were people going into the weekend after a 5% run in the s&p. also the conclusion it doesn't change the overall picture, removes the potential immediate negative but leaves you with a sense of what are the credit markets telling us, how will growth shape up n

i am jon fortt with morgan brennan and andrew ross sorkin carl has the morning off, great to have youh us. stocks rallying this morning ahead of the fed decision on rates with the dow and s&p still on pace for their worst yearly performance since 2008 joining us now at post 9 is ceo john rogers. john, interesting setup to today. everybody pretty much expects a rate hike, but i guess it's some of the commentary around that that's going to have a lot of people's attention what do you think is most important? any adjustments to the fed's expectations around growth, language around future hikes what are you listening for >> i'm listening to their ideas about future rate hikes. i think it's really important they signal that they're not going to continue to raise rates at the pace they have been there's so much extraordinary volatility, there's so much risk out there. people are so fearful, i think the fed should now signal something that will show that we'll keep rates low and keep the economy chugging along. >> to the extent that the fed is having to react to the trump administration's tr

maintaining a $6 price target he says a material equity raise could be necessary that's a big call that morgan brennanan >> a couple different things going on with ge today the thing moving the stock up 10.5%, which is only a 70 cent move is this note from steven tusa they was original bear on the stock in may, 2016 and said there's issues with cash flow, earnings, things aren't as healthy as they seem everybody balked at that but they were accurate so with him to come out with this, upgrade to neutral is considered a really big deal the other thing is that this company announced plans for digital assets you remember the whole industrial internet of thing, jeff immelt saying they want ge to be one of the top ten software companies by 2020 things have changed on that front and this company looking to turn itself around. they'll create that stand-alone wholly owned independent company for ge digital assets and they'll sell the majority stake of service max to silver lake. so getting clarity on that as well. >> what does he say has changed the most f you had to summarize >> the line that styx out the mos

i am carl quintanilla with morgan brennan and jon fortt major averages are falling deeper into correction

i am carl quintanilla with morgan brennan, mike santoli, post 9 of new york stock exchange jon fortte understatement of the week. major averages look to claw back some of monday's losses. in one week, saw the worst christmas eve ever, biggers inter day do

morgan brennan joins us on set with details >> this is a big move.nth chart, fed sex the worst performer for that time period as well, down more than 25%. investors have been concerned about slowing economic growth and fedex confirmed the fears when ceo fred smith cited an international slowdown largely as a result of politics. >> most of the issues that we're dealing with today are induced by bad political choices i mean, making a bad decision about a new tax. creating tremendously difficult situation with brexit, the immigration crisis in germany, the mercantilism and state-owned enterprise initiatives in china, the tariffs the united states put in unilaterally. >> he said the list goes on but that the good news is that some reversals in some of those policies could actually mean growth also said that fundamentally the company still thinks trade will continue to grow overall the economic outlook according to fedex, which is seen as a bellwether, continue solid growth in the u.s. but saying internationally, quote, the peak for global economic growth

and "squawk alley" is live ♪ >>> good morning i am carl quintanilla with morgan brennan and jon fortty" begins the major indexes rally back after the dow posted 2% losses s&p on pace for the worst december since the 1930s, while

those pictures, welcome back to squawk on the street i'm carl quintanilla with david faber and morgan brennanon today, dow down 184 pressure on transports and industrials. the banks are down about 2%. one of those days here, david, where it's only health care and utilities that are in the green. >> and it's usually the banks in particular, given again that inverted yield curve we've been talking about for some time, getting hit. that kind of brings us to our next subject which, of course, is banks and wilfred frost is sitting down exclusively with the ceo of wells fargo, tim sloan. take it away. >> indeed, i am, david thank you very much. tim sloan is with me thank you for being with us. >> good to see you. >> taken a bearish tone in the last three to six months when you talk to your customers and look at all the data you get from them does that match up with that bearish tone >> it doesnot. i talk to our customers it's across the board, corporate, middle market, small business. commercial real estate they will say their biggest challenge is hiring enough people to continue to grow the busine

i am jon fortt, with me, morgan brennan, and david faber for now, let's start off with the market flashr taking a dramatic move

carl quintanilla with morgan brennan at post 9 of new york stock exchange jon fortt in san francisco market. we begin with the markets indeed, major indexe

morgan brennan is joining us the price target dropped and robby, great to have you with us. let's start with you you are saying that amazon is hurting these guys >> yeah, so for the last two or three years, we have seen amazon build their own intern am logistics network that is basically a global network from end to end we believe take thhat amazon har own trucks, planes, trains, their own face forwarding operations so essentially they are building an entire network and are focused on the air portion of that network which they kicked off in august of 2016. and we've seen that ramp up since then >> and morgan, you're watching this kind of fallout happen from robby's note play out elsewhere in the market as well. take us through what you are seeing right now with some of the industrial transportation specifically related stocks and how it plays into the broader market selloff story so far today. >> i think it is important to note that when you look at the dow jones transportation average, we haven't seen the same sort of rally over the past week before the move we saw today as