phil lebeau with the latest on fiat. >> willford is with us today. we expected good just given the environment and how it's improved. did we expect this good for jpmorgan? >> i think jpmorgan showed that they were very strong across the board. i mean, the real positive for all of the banks was a positive outlook for 2017 that we've still got the benefits for rates to come. jpmorgan said across the board perform maance as well. bank of america lagged and that wasn't the case for jpmorgan. they had a great quarter as well. stocks are up today for outlook for 2017. >> that was the most important thing we're looking for, right? not backward looking. give us your view. >> nobody cares what they reported. they're buying because regulations are coming off. interest rates are going up. and there is just a massive amount of money that's been underweight financials for years and years and years. that's not even market weight. it's not even close to market weight yet. this group has a lot of room to run. when you talk about derivative trades i would mention the

phil lebeau has our story. >> shares of fiat chrysler today after the environmental protection agency accused the auto maker that exceed regulations. it sounds very similar to what we saw with the epa and volkswagen but fiat chrysler says this is a far different situation. 104,000 vehicles are impacted. we're talking about 2014-2016 jeep grandpickups and the epa says the software in those vehicles allows access emissions. it also says it was unaware of that software. that is an allegation that fiat chrysler sergio marchionne denies. he says his vehicles are in compliance with regulations. >> we have been unnecessarily maligned with a desire or a wish or intent on our part to try and defraud anybody. we haven't. >> fiat chrysler and the epa have been negotiating this emissions issue since late 2015. however, again the epa says fiat chrysler did not disclose the emission software. late today new york attorney eric schneiderman says -- denies that it has installed software that is designed to get around emission laws here in the united states. nonetheless, chrysler executives will be in

as phil lebeau reports, 2017 may paint a bigger picture for both sectors. >> reporter: pardon the pun, but in 2017 airlines are trying to fly through the type of turbulence that could keep profits and airline stocks from flying higher. first, the battle of basic airfares raises the question of whether airlines can finally grow passenger revenue. in the fight to keep from losing passengers to low cost carriers, larger airlines like delta have rolled out basic fares. they may be filling seats, but those cheap seats and that competition is keeping airfares down. good for travelers. not for the bottom line of airlines. second, congestion at america's biggest airports is not going away. for all the talk about fixing america's airports, it's the air traffic control system that needs to be upgraded. the faa has made progress. still, at the largest airports, you can expect some rough days in the next year. the good news? the tsa security lines that we saw in 2016 are unlikely to return due to greater staffing by airlines and airports. finally, some fliers could be in store for a better experi

phil lebeau has more. >> reporter: admit it.ou don't like spending a lot of time at an airport, between long security lines and growing clouds. most of us just want to get on a plane and get out of town but a new survey shows people are actually happy with their airport experience. >> the airports are improving themselves. the improvements they had in hand and on the drawing boards before 9/11 back in 2001 were kind of put on hold because of a lot of security concerns and just other things at the airports were having to do to accommodate new security regulations, and so those plans are now being actually carried out. >> reporter: new restaurants, shops and spruced-up terminals are becoming more common at airports. according to j.d. pour, portland, taerka, orlando and miami have the heist satisfaction scores. by comparison, some of america's oldest airports are rated as the worst. that includes new york laguardia, new york liberty, philadelphia and chicago o'hare. those airports face greater congestion as they add flights and mil

phil lebeau. >>> up next we're "on the money." advice for women on careers, finances and why they have to do things differently than men do. >>> later, ikea is the definition of big-box store. is the world's largest furniture retailer moving away from brick and mortar? >>> right now a look at how the stock market ended the week. >>> ikea began in sweden 74 years ago. you have probably assembled something from a large flat box that came from a massive ikea store. today it's the world's largest furniture retailer. lars petersen is the u.s. president. thank you for joining us today. >> thank you, becky. >> who is the average customer right here in the united states? >> actually our mission is to create the better everyday life for many people, and we have seen that we have a very broad customer base. we are really obsessed by people's life at home, regardless of the size or the income of people living there. we see everything from people living on like small spaces in inner cities to the suburbs coming to >>> are you planning to expa

let get to the rest of it with phil lebeau live at the detroit international auto show with more. phil? >> brian, that tweet is dominating what a lot of people are talking about here on the show floor. they're talking about donald trump and what he might do to the future of the auto industry in terms of trade policy, in terms of corporate tax policy, how things might change. sheer the expansion that got a lot of attention early this morning. jeep investing $1 billion, announcing it's going to invest $1 billion as it expands the jeep line, adding 2,000 jobs in michigan and ohio. it will be building a jeep pickup. many had been expecting that to ultimately be announced, as well as bringing back the wagoneer and the grand wagoneer. as we speak this is a live picture of the ceo of fiat chrysler, holding a round table with reporters in cobalt hall. he said look, this country has been good with us. it's a smart thing to do to invest here. he was asked by a reporter from mexico any chance of further investment down there? he said it would be foolish for me to commit dollars down there, gi

wednesday we'll get phil lebeau all day, reporting on auto sales. supposed to be 17.7, down a little from the month prior. still a high level. thursday, mark this on the calendar. because of the holiday, adp is on thursday. we'll bet claims and ism services for the bigger part of the economy. then friday, the big jobs report. let's take a look at what's in the jobs report here that we have coming up. nonfarm payroll is expected to be 185,000. that's down from -- sorry, up a little bit from the 178. unemployment rate seen ticking up. most economists think we're around full employment. wages are believed to do better here. and there's the adp number we're expecting just for the private sector. again, we'll get that on thursday. overall, we're looking for about 2.4 million jobs to have been created last year. down a little from the 2.8 in the prior year. ultimately, we're running about 1.82%. you guys heard it this morning. he came in and said that we had reported this a couple weeks ago. looking for just 0.2. what you have is a difference of opinion a

phil lebeau following both these stories joins us now from chicago. phil? >> for months ford said no way, we're not going to stop our plans to build a plant in mexico where we will build small cars. today, they finally saw things the way the president-elect thinks they should see things, canceling plans for their new plant in mexico. they are still moving the ford focus production from michigan to an existing ford plant in mexico. meanwhile, the company is also investing $700 million, adding 700 jobs at its michigan plant. ford ceo mark fields talking about the reason it finally made this decision. >> we make business decisions best on what's best for ford, first and foremost. like every other business an annual process where we look at the business environment and what we've seen, phil, over the last couple of years, we've seen small cars markedly decline. every year, we're looking at our capacity. we're looking at our forecast for demand. and it became very can clear that we didn't need this plant and can utilize an existing facility in mexico. >> just a

phil lebeau is live in san francisco with all the numbers. hey, phil. >> melissa, this was a huge month when you look at december for auto industry and all of 2016. generally speaking as you look at the major automakers almost all of them reported better than expected sales in the month of december. general motors up 10%. look at nissan up 9.7%. by the way, nissan, honda, porsche, you're looking at automakers or brands that posted all-time records for 2016. when you look at the strong december, all of 2016 looks to be a new record high for u.s. auto sales. in 2015 it was 7.46 million. just fractionally higher but nonetheless higher than in 2015 and we'll get that official number coming up a little bit later this afternoon. you do not want to miss what we have in store for you next hour on power lunch. power lunch exclusive, sitting down with the chairman and ceo carlos gohn. we're going for a ride with him out here in sunnyvale where nissan is showing us the latest iteration of automomoautonomous >> where are you right now in sunnyvalle sunny

>> let's bring in phil lebeau. phil, your reflections as you listen to this tape here?i agree with jim. there's nothing that is going to change just from this meeting, aside from the fact that it is clear president trump wants more auto plants built here in the united states for vehicles that'll be sold here in the united states. and to wrap our heads around how many vehicles we're talking about that are imported just from the big three -- not talking about all auto makers -- just gm, ford and fiat chrysler. last year, they imported from mexico and canada, 2.256 million vehicles. if you want to bring that production back to the united states, you're talking about a huge capital investment in terms of new facilitiefacilities. on top of that, figuring out what to do with your plants that are building the vehicles in canada and in mexico. so it is clear, they're pushing in this direction. but you guys know, this is a capital intensive business. to make the investment of several billion dollars for just one auto plant, that's a huge decision. auto makers rarely make the dec

phil lebeau is on the ground with the details. >> reporter: the word of the day is trump.resident-elect was not here today but his presence was certainly felt. mainly because so many people are wondering how things might change under president-elect trump's administration, especially when it comes to manufacturing automobiles in mexico. two automakers today we got their perspective on announcements involving where they manufacture. fiat chrysler with an expansion of manufacturing in the u.s. and toyota which is not changing its plans to manufacture in mexico. >> the timing may have coincide with this emphasis that trump is making on sort of american made products and american production. but i think the substance of the announcement was inside the house for months. >> it would be difficult for us to do because this is just one piece of the puzzle is we are realigning all of our north american footprint. so to do that would impact our suv strategy and right now the market is red hot on suv. we have to continue that the strategy as well as additional pick up trucks. >> repor

let's bring in phil lebeau for a closer look at that relationship. phil. >> bill, i think what eamon said is interesting. they've been given a homework assignment. in other words, let's continue talking about ways of increasing manufacturing here in the u.s. here's the important distinction between yesterday's meeting with manufacturers and today's meeting with just the ceos of the big three. if you take a look at the number of vehicles imported into the united states, this is what donald trump wants to gauge. 43% of the vehicles sold here in the u.s. are coming from plants outside of the u.s. if you're an automaker, especially the big three because they produce a number of vehicles, 2.2 million in canada and new mexico, the question is do you build a plant in the u.s. yes, mr. president, i'll do that immediately. we've been told people familiar at the meetings have characterized it saying trump didn't give the ceos a deadline. he didn't say come to me in six months and let me know where you're going to be able to build a plant and what you can do. he

phil lebeau, detroit. >>> all right. joining me now is anna marie budston, auto analyst, and we have nancy who has come into the studio. senior management at vw, they have authorized, we know that they authorized the hiding of this emission cheating device. at the same time vw plugging new vehicles as well. how does this balance up? how do you see what's happening with vw? >> it's interesting. if you look at their share price, it hasn't had much of a negative impact so far at all. i think actually seeing someone arrested and being held accountable, the fact they're still negotiations a settlement in the u.s., it almost feels like we're starting to see the beginning of a resolution. people are being held accountable and trying to make amends me amends and also lunching new models that could help their product mix. so far it's going quite positively. >> it is incredible that vw's former head of compliance in the u.s. apparently was in on this, knew about it. >> yeah. this is a big point, because initially when the news bro

tom, thank you for being here. >> thank you. >> tom michaud, ceo of kbw. >>> phil lebeau has been coveringn atlanta and we go to him now, i hope with some clarity on fiat. hey, good morning, phil. >> reporter: carl, we've been talking with some sources familiar with the situation involving fiat chrysler, about to be accused by the epa of having software in about 100,000 vehicles that allows greater than acceptable limits of diesel emissions. the people we're talking to familiar with fiat chrysler's response is that they plan to contest the allegations and also plans to point out that these vehicles do not have diesel emission defeat devices in them. that's a big difference from what we saw with volkswagen. they also believe that these vehicles do meet the epa emissions standards. and finally, perhaps most importantly, you can expect fiat chrysler at some point today to say that it plans to work with the epa team of the upcoming trump administration to prove their case. so that is a response to the epa. and again, we're going to be hearing from the epa and those allegations in about five mi

. >> we're going to phil lebeau. the stock way off its lows now. hey, phil. >> hey, scott.ust got off the conference call with sergio marshion. i have seen him when he's not happy. he is steaming mad. he was vehement in denying the allegations from the environmental protection agency. before we get into the accusations. we should point out a piece of news. sergio marque marquetion. this is not an epa accusation and investigation. the doj is likely working on a case, as well. as to these accusations from the environmental protection agency, comes down to this. 100,000 diesel vehicles that are being -- accused here of having incorrect emissions. 104,000, to be correct. 2014 to 2016 jeep grand cherokee pickups. essentially what the epa is saying, there is software in these vehicles that allows the emissions to be different from testing than in real-world conditions. similar, but not exactly the same as what we heard with the vw case. here is sergio marshion saying this is nothing like vw and saying the epa is way wrong on this case. >> there was never any intent and there has

i like phil lebeau's work.nd phil lebeau's work definitively showed that the money is going to autos. that's what makes me really negative about macy's. really negative about kohl's. people were buying. they're buying cars. and i don't want to see anymore articles that say that disagree with phil lebeau that those businesses were doing well. because it just doesn't make sense to go against the man. >> no. don't. >> it doesn't. it doesn't. >> i'm with you. >> because we're the paper of record -- >> phil lebeau all the way. >> exactly right. >> i love when you guys agree. there's no raised eyebrow. >> when we really agree it's like -- that's when my father said why does he hate you? >> we're saving that for later. we'll see. you've got a lot left for me. >> i'm just getting started, believe me. >> so are we. when we come back, we'll talk about apple's billion dollar bet on emerging tech. vanguard's founder jack bogle, we'll keep our eye on the armed services committee on the hill, check in with ces in las vegas l

we have a breaking news alert we have to get to with phil lebeau. >> brian, remember last month when we were at the detroit -- earlier at the detroit auto show and toyota was making a $10 billion investment in the united states? within the hour, they announced adding 400 jobs at its final assembly plant in princeton, indiana, where they make suvs. this is what we're seeing from all the auto makers. what is interesting, brian, is toyota is trying to be as proactive as possible to send a message to the trump administration that it is investing in production and in jobs in the united states. because one way or the other, it is clear toy yota and the other auto makers, their production overseas could ultimately be targeted as part of the trump administration telling people, think again about where they manufacture. >> phil lebeau, more and more jobs coming to the indiana. thank you very much. >>> here's what's coming up on the "halftime report." >> biggest dow wave rowed in. dupont, verizon, travelers, 3m, johnson & johnson all reporting. what did the market learn about the rest of the s

let's get to phil lebeau with more news on fiat chrysler. phil?reporter: and carl, as expected, the environmental protection agency has formally filed charges against fiat chrysler, or is announcing that it will be accusing fiat chrysler of installing software on about 100,000 vehicles that allows those vehicles to allow excess diesel emissions, those vehicles being 2014 to 2015 jeep grand cherokees and dodge ram 1500 trucks. those are the models that have the 3.0-liter diesel engines. those are the ones sold in the united states. the epa momentarily will be outlining why it believes that these vehicles are in violation of the diesel emissions standards here in the united states. by the way, we have talked with sources familiar with fiat chrysler's response to this. it is likely to be that the company will, "a," deny the allegations, and "b," say that they're going to fight vigorously to prove that these vehicles are in compliance with diesel emissions standards. and most notably, the company plans to work with the epa team of the incoming trump a

phil lebeau has more. >> reporter: beyond the bright lights and big productions introducing new models, the biggest presence at the detroit auto show is president-elect donald trump. he's on the mind of everyone here, realizing trump wants more jobs created in the u.s., not overseas. president-elect trump tweeted saying "it's finally happening. fiat chrysler just announced plans to invest $1 billion in michigan and ohio plants adding 2,000 jobs." >> it's an incredible emphasis that trump is making so the american-made products and american production, but i think the substance of the announcement was inside the house for months. >> the move comes a week after ford scrapped plans to add a plant in mexico and favor expanding a current one in michigan, where it now says it will build a new version of the bronco suv. >> there's a lot of web out there. you go on lots of web sites and we're bringing that vehicle back in 2020. >> the fact is america's appetite for suvs and trucks has never been greater. they were the driving force behind record auto sales last year. consumers are more than wi

phil lebeau is in chicago with more. phil?> melissa, this is the second straight year that general motors has provided its guidance the day after the detroit auto show. for the second straight year, general motors is giving an optimistic outlook. a very bullish forecast for 2017, including authorizing an additional $5 billion for share repurchase. also it's up iping $6.5 billion through 2018. fwiedance in regard to revenue earnings and margin for next year has a lot of people excited. higher revenue. maintain or improve ebit or ebit margins. just from some point of reference, the guidance this morning, the consensus, if you will, out on the street was for gm to earn about $5.72 to $5.76 in 2017. much more bullish than what many analysts were expecting. take a look at shares over the last three years, just under $38 a share. point of reference in terms of reference for the high-water mark, mary barra shortly after she took over in january 2014 -- actually 2015, it hit $38 a share, $38.50 a share. we're not far from there. all-t

it's a busy morning in detroit, so we're going to send it over to phil lebeau, who's live from the detroito show with a "first on cnbc" interview. phil? >> reporter: thank you, john. i'm joined by the ceo of mercedes-benz usa. we'll talk about the coup that you first introduced. so many ceos are talking about donald trump's presence here at the show. i know you're not in charge of production, but mercedes is in the process of building this plant and expanding in mexico. do you think there's any chance that those plans are derailed, that donald trump says you can't bring these vehicles into the u.s., i'm going to slap a big tax on them? >> well, the plant in mexico is a plant for the world, you know. and they're building cars that go to all countries in the world and a small portion comes to the u.s. as you know, phil, in the u.s., we have a pretty big presence in alabama where we've invested over the years, a couple billion dollars in just a few months ago based on the huge success of our suvs. we started to invest, you know, another billion to increase the capacity for the production of g

phil lebeau has the story. very different from the last time she met with the president-elect, phil. >> very different, bill. in fact, let's start this by showing you the change in demeanor on the face of marilyn hughes compared to today which is on the right-hand side of this video you're about to see with her three weeks ago as she walked in to meet donald trump in mar-a-lago. the difference, very clear. she's walking out of mar-a-lago there. she didn't smile. she didn't talk to reporters three weeks ago. the message then was cut the cost of the f-35. they didn't say it then that they would agree to do that. oh, but it's a different tone today after meeting with donald trump. here is marilyn hewson about how they're close to cutting the costs on the f-35. >> we're going to increase our jobs by 1800 jobs. when you think about the supply chain, it's going to be thousands and thousands of jobs. i also had the opportunity to give him some ideas on things we think we can do to continue to drive the costs down on th

we want to get over to phil lebeau who has an exclusive interview for us. phil. >> thank you.rafcik, ceo of waymo. you talked yesterday in an important speech about how far waymo has come and how quickly we're seeing autonomous drive come together. put it in layman's term. how fast has it gone? >> waymo stands for a way forward in mobility. we've been working on this. before waymo we were self-driving car project. we have since the start of that project put 2.5 million autonomous miles on our cars which is pretty good. over the last 12 months along we have driven 12 million miles in simulation. we're getting better and better. we've been developing our own software, developing our own hardware, 360 degree sensors, radar, vision systems. when you put all these things together, we are getting to the point where we're quite confident we can put these vehicles on the road in the near future. >> test drives california, arizona later this month of the how far in the future is it that somebody living in phoenix or northern california will be in one of these vehicles. even though it's

phil lebeau has more. phil?lly, the numbers are in for fourth quarter and full year deliveries of tesla. these numbers are light for what many were expecting. tesla delivered 22,200 vehicles. many of the estimates i heard were expecting something closer to 26,000. and full year deliveries coming in at 76,230. remember, tesla's guidance throughout the year was delivery of at least 80,000 vehicles. so they fell, what, about 3800 short of making their guidance for full year deliveries. tesla says because of short-term production challenges starting at the end of october and then lasting all the way through the beginning of december in the transition to new auto pilot hardware, q4 vehicle production was weighted more heavily towards the end of the quarter than they originally planned. as a result, they fall a little bit short of what their guidance was which was for delivery of at least 80,000 vehicles. tesla for the full year delivering 76,230 vehicles. kelly, back to you. >> phil, thank you. >>> mike, the shares m

phil lebeau, thank you. much like the broader market right now, which is flat.tperformance from tech in the nasdaq. that's going to do it for us here on "squawk on the street." are have a great weekend. carl, to you for "squawk alley." >>> good morning. 8:00 a.m. at intel's headquarters in santa clara, california, 11:00 a.m. on wall street, and "squawk alley" is live. ♪ ♪ out here in the fields ♪ i fought for my meals ♪

phil lebeau is live in atlanta with the latest, phil?>> reporter: melissa, we talked with sergio in the last hour, and he's furious at the accusations. hear from him in a little. here are the accusations, allegations from the environmental protection agency, it says that there are 104,000 fiat chrysler models, we're talking about 2014-16 diesel versions, models we're talking about, the epa says the software in the vehicles allows excess emissions. essentially e mamissions regist in tested are lower than real world results. if that sounds like volkswagen, you understand why the ceo of fiat-chrysler is none too pleased with this. this is what he said in the last hour. >> it's a class of criminals, we're trying to do an honest job here, and those of you who know me realize i'm not looking for pity nor compassion, but the reality is that we're not trying to break the bloody law, and this there was a difference of opinion in a software collaboration, let's have a discussion to resolve it. >> reporter: again, fiat chrysler denying its vehicles

phil lebeau joins us with more. phil? >> and emphatically.s sending a response about an hour after donald trump's initial tweet regarding chevy cruze production. they wanted to clarify specifically where the cruze models sold in the u.s. come from. gm manufactures the cruze sedan in lordstown, ohio. all sold in the u.s. are build in gm's assembly plant in lordstown, ohio. gm builds the hatchback for global markets in moex c in mex small number sold in the u.s. how many from mexico in terms of the hatchbacks were sold in u.s. dealerships? according to general motors, it says 2.4% of the cruze models sold in the u.s. last year came from mexico. so you're talking about a very small percentage. they sold 190,000 cruzes of all. in terms of what general motors gets from mexico, approximately 400,000 vehicles sold last year in the u.s. came from mexico plants. this is one of them right here. we're talking about the chevy silverado, as well as a sierra. pickup trus are a large part of the production in mexico. overall, when you look at mexico auto pr

now alexa will be hitting the road, too. >> alexa. >> so much for the satellite. >> phil lebeau has theails. phil? >> kelly, this is an agreement between amazon and ford that was announced out at the consumer electronics show. you will have the alexa assistant, whatever term you want to use there. that software is going to be available through ford so that if you are a ford owner, you can now use alexa while you're driving the vehicle. in other words, you can say alexa play you-2. also offers connectivity to your home, whether it's opening the garage door, perhaps turning on some lights, the security system. you know, as you mentioned, the music collections. all of the things you can do with alexa you can do while you're driving a ford. this is not the first time that we've seen an automaker announce one of these connectivity deals. you have ford and amazon, daimler is working with google and the google home which is similar to the alexa system and you have gm and ibm watson. so as you take a look at ford, what i find most interesting, guys, is that you have all of this connectivity con

our phil lebeau is live with mark fields with a new at noon interview. >> scott, let's bring in marknow. ceo of ford motor company. mark, we're going to talk abo

. >> phil lebeau just spoke with fiat chrysler ceo and has the latest on how he's defending himself. phil. >> guys, the epa did not say fiat chrysler defeat devices in the diesel emissions software but it fell just short of that. basically saying, you know what, we weren't aware of what software was in these vehicles. as a result, it's too high. its a 104,000 vehicles that the epa says was impacted. 2004 to 2016 jeep grand cherokee and ram 1500 pickups. we're talking about the 3.0 liter diesel models. the software allows excess emissions. they say they did not know about the software in these vehicles. when we talked with sergio marchionne during power lunch today he made it clear there was no intent to deceive regulators. >> i think we have been unnecessarily maligned with a desire, a wish or an intent on our part to try and defraud anybody. we haven't. >> and, again, fiat chrysler says there are no defeat devices in these vehicles. it has been negotiating with the epa since late 2015. again, the epa says fiat chrysler did not disclose the emissions software. within the last hour we

phil lebeau, how did they look? >> bill, much better than expected. in fact, 2016, here is the big news. a record year for auto sales coming in at 17.55 million vehicles, compared with 2015 when it was 17.46 million. all of this is due to a huge december. most were expecting a sales pace of about 17.7 million vehicles. came in at 18.4 million vehicles. i haven't seen the raw numbers, and all of this is according to the research firm auto data. guys, if i look at the raw numbers, i believe december might have been the month with the greatest volume of sales of vehicles. i have to double-check, but it may have been the strongest of the year just in pure numbers in terms of vehicles being sold. >> pickup trucks for christmas. >> i was going to say, a lot of trucks under the tree this year, i guess, or something. >> look at the shares of gm and ford. >> absolutely. >> gm up nearly 6% today. this thing barely budged, even as the sales pace picked up. now that we talk about it peaking, all this interest. >>> 18 minutes left in the trading session. the dow,

for more, let's get straight to phil lebeau. >> this is clear. combined this with the gm tweet earlier from the president-elect. it's auto production in mexico for vehicles ultimately sold in the united states, and he's making it very clear he's going to put pressure on auto makers at a minimum not to add production to mexico, but for that production that's already there, and as we reported, more than 3 million vehicles that are built in mexico were sold in the united states last year. it's very clear. he's warning that there will be a border tax coming. now, how that will look, what it'll be, how it impacts the part suppliers as well as the auto makers remains to be seen, by it's clear. this is all now about nafta auto production and how that impacts auto makes and parts suppliers. interesting to see how this plays out in the years to come. >> a full assault on nafta or back door attack. either way, that's why plants were located in mexico. >> right. >> because of free trade. >> absolutely. it's lower cost, and from there, we've talked about thi

delta trades talking to cnbc phil lebeau earlier today. >> there was no question post the election that we saw an improvement in the consumer confidence that we've seen in our travel and you see it in the marketplace. you see it i think in some optimism with respect to starting to get things done in washington and we saw it in our result. >> shares of the stock are are up 15% since the election. >> when you look at the balance sheet, you look at what's going on in the airline row, the cash flows are incredible as well. those will start going away when we get to 2018. i like delta. i'm in a couple other different airlines right now. the run unless they can somehow breakout of the valuation levels, let's just call it a ten across the board, unless that gets restructured and people start saying they should trade at a 12 or 14, i think these are getting close to fully valued and better opportunities in the airline world than the big 3. >> the question is it probably deserves to but if you're looking for relative value in the space, delta's the one you stay in. passenger revenue which is wha

phil lebeau drawing a clear distinction between that case and this one, perhaps one reason why fiat isnding. >> he was very clear. he said our conscious is clear, sergio marchionne. and they are bring out these new accusations, the epa, the next administration will have to deal with them. it's all confusing. >> marchionne says bring on the trump administration. we'll talk to the trump administration. scott pruitt could lead a different government office. >> investors more relaxed today about this than about the volkswagen scandal 24 hours after that was announced. >>> still to come, the top washington stories, including the justice department's inspector general saying he will look at public disclosures by fbi director james comey. . >>> good morning. welcome back to "worldwide exchange." let's get you up to speed on the markets. a first look at europe which is rebounding today. germany yesterday was down 1%. the ftse 100 was up fractionally, eking out its 13th straight session of gains. looks like we'll hit another all-time close today. futures stateside looking good. yesterday down a

sources telling phil lebeau the investment had been in the works for some time now.esterday, president-elect threatened german carmakers with a 35% tax, a u.s. import tariff. he argues german automakers are better building u.s. auto factories if they want to sell to u.s. consumers. >> it will come with a press release these days. >> in other political news those days, president-elect trump is taking issue with one part of the house republican tax plan. in an interview with the "wall street journal," trump calls the border adjustment provision too complicated. the measure is designed to increase u.s. manufacturing by taxing imports. >>> a number of global leaders are responding to comments from president-elect trump. french president francois hollande says europe does not need to be told what to do by outsiders, this after president trump did that interview with the london times newspaper in which he described himself a big fan of britain, endorsing the brexit vote. but predicting more countries would seek to follow the uk's example. trump also critical of angela merk

our phil lebeau has the latest on these and other stories that must be ruling the detroit auto show. >> kelly, we're hearing a lot of people talking about donald trump and what the impact might be for the automakers. it's interesting that you mentioned those tweets in thank you to fiat chrysler for the announcement about investment here in the united states. we just talked with sergi sergio marchionne, the timing with the announcement, this is with president-elect trump. here's sergio with the impact which was none the trump administration had. >> the thinking was in place beforehand. >> very clearly the thinking was in place beforehand. we want to show you this in terms of the number of vehicles exported to the united states from a number of automakers. general motors being the one that brings in the most autos from mexico. the reason we're pointing this out is because you look at toyota, which was also the subject of a trump tweet regarding the corolla, when we talked to the head of toyota america, is there a possibility you're going to scrap your plant the way ford scrapped its pl

phil lebeau has all the details. >> here's the reason why. company getting the guidance for almost 2017. it's an improved profit outlook. primarily driven by the bank that's expecting higher revenue and maintain or improve its ebit and ebit margins. it confirms with the consensus of 572 to 575. general motors says when it looks at the rest of this year it expects strong sales in china and the u.s. those are the two largest markets in the world and two markets where they are number one in sales. gm emphasizing profit per vehicle. it's not market share, it's profit per vehicle. take a look at shares of general motors over last year, the stocks surging to a 52 week high. earlier today rurp on invested capital is going to be at least 25% for all of 2017 and this company has just announced it's authorized an additional $5 billion stock repurchase. those are the reasons this stock is having a move that we have not seen in a long time for gm shares. >> phil, stay right there. we want to talk about this. you know, as gm provides this update on its fi

for that we'll go to the very busy phil lebeau out west. hey, phil. >> hey, carl.eneral motors reporting december sales coming in stronger than expected. increase overall of 10%. the estimate from edmonds was increase of 3.1% retail sales that's what gm has been focusing on over the last few years up 3%. inventories and incentives, general motors reporting inventory level about 71 days, and particularly when you look at large suvs they're even leaner, some of the models down around 45 or 50 days. here's what's interesting, general motors is estimating that the industry sales rate for december will come in at 18.2 million, much more bullish than other people were predicting. if that's the case, guys, you can expect the full year sales to be a record of probably 17.5 million for the industry. still waiting on ford. oh, by the way, nissan coming in better than expected just a few seconds ago up 9.7%. people were expecting nissan to be down 3.5%. back to you. >> phil, we'll come back to you for ford as soon as we get those. jim, we spent -- peak auto has been talked ab

let's get to phil lebeau in detroit with the ceo of toyota north america jim lentz. ning, phil. >> thank you, carl. jim, it's been a busy show, we all know what everybody's talking about here, donald trump. you guys were on the target list last week. he targeted you for the production planned in mexico for the corolla. have you talked with donald trump or his administration, or has mr. toyota talked with donald trump? >> we have not. i mean, the reality is we're in the process of moving corolla from canada to a mexico location. that doesn't mean we've stopped our investment in the u.s. this year marks our 60th anniversary. we've already invested $22 billion in the u.s. and over the next five years we'll be investing an additional $10 billion in cap x right here in the u.s. >> ford ultimately said we're going to scrap our plans for mexico. any chance you do that as well? >> no. >> that the heat continues and at some point you say it's not worth it, we'll pull out of building this plant in mexico? >> it would be difficult for us to do because this is just one piece of t

new auto sales also hit a record high in 2016, phil lebeau has the details. >> reporter: for the first time since the early 1920s, auto sales in the u.s. were up for a seventh straight year. 2016 sales came in just above the total we saw in 2015. basically at 17.5 million vehicles. that's due to stronger than expected sales last month. holiday and year-end promotions, especially with the luxury brands, typically make december one of the busiest months at dealerships and last month was no exception. almost every major automaker did better than expected in december. leading the pack, general motors up 10%. gm like other automakers focused on keeping inventory lean which is helping the company sell vehicles at higher prices, including the latest models by cadillac. >> we've seen a 14% rise in average transaction prices over the last two years. this is unprecedented and unequalled in the industry. >> with prices up, so are monthly loan payments and that has some wonder figure auto sales will pull back in 2017. keep in mind one of the most important factors driving auto sales, strong consum

shifting some small car focus production to another plant in mexico and ford's ceo mark fields telling phil lebeau yesterday this move was more driven by the market than had anything to do with talks with donald trump. >> that, i don't believe. i don't believe that. there are a couple things that worry me. first, the fact that ford expects incentives from the state of michigan for its plant there. so, basically every company that keeps jobs in the u.s. and any federal state will expect incentives from that state so it goes from the federal level to the state level. what sort of business environment does this create for u.s. corporates who are trying to maximize shareholder and stakeholder value and through that, of course, they'll have to relocate some jobs. >> also trying to stay competitive against the likes of the japanese automakers who face lower costs at home. gm was quick to come out and say if you're going to intimidate us on twitter, get the facts straight. most of these cars are produced in the u.s. just 4,000 hatchback models come from mexico. in the scheme of things, not a big bulk. >>

thanks so much, phil lebeau. >> interesting how it's mexico being targeted not canada.because of nafta. >> where's labor cheaper? let's face it. >> right, right. it's mexico that's getting all the heat. >> there's more production going to mexico for obvious reasons. labor costs in canada are pretty stiff. there's a lot of taxes and a lot of things that go on up there. toyota's move today just know that the yen was off -- rallied almost 2% today. it's an export company and that is a big deal with what's going on here. if you think about production for this company, about at least one-third or more of that production is actually headed right back to japan and i think it's something people need to think about. this is a company that said hold on a second. i think we're doing things just fine. i don't think he should be reacting to every tweet is my point also. i think this move was rational. >> auto sales look to be peeking, incentives are rising as well as we headed into the end of the year and then you put on top of that the potential of some sort of border tax which we

phil lebeau, thank you. much like the broader market right now, which is flat. continued outperformance from tech in the nasdaq. that's going to do it for us here on "squawk on the street." are have a great weekend. carl, to you for "squawk alley." >>> good morning. 8:00 a.m. at intel's headquarters in santa clara, california, 11:00 a.m. on wall street, and "squawk alley" is live. ♪ ♪ out here in the fields ♪ i fought for my meals ♪ i get my back into my living ♪ >> good morning, welcome to "squawk alley." mike santelli is here with me, jon fortt's at ces. kayla will join us in a moment. here, brooklyn dwyer and wells fargo investment institute's head of global asset allocation strategy, tracy mcmillan. good morning to all of you. before we get started, in about ten minutes, a first on cnbc interview with intel's brian krzanich live from ces. you do not want to miss that. >>> first up, our top story, donald trump expected to meet with some top intelligence officials at trump tower today in a little less than 90 minutes. it comes after a series of tweets from the

our phil lebeau is live with mark fields with a new at noon interview. >> scott, let's bring in markields right now. ceo of ford motor company. mark, we're going to talk about the reasons behind this decision in a little bit but tell me first about the conversation you had this morning with president-elect donald trump when you informed him that you would no longer be building that plant in mexico. >> well, we informed president-elect trump and also vice president-elect pence this morning that we were going to be investing $700 million here in our plant in flat rock, michigan, adding 700 jobs on top of the 28,000 jobs that we've created over the past five years. and at the same time, told them we were going to be canceling our plant in mexico and the reason for that is that plant was -- we were going to produce the focus. we've seen a market decline in demand for small vehicles. so we're now going to produce the focus in an existing facility in mexico. >> mark, what did the president-elect say to you when you told him this? >> well, over all both the president-elect and vice presiden