rbc says it could be the canary in the coal mine for the u.s. dollar goals which is within 6% this year after the worst .uarter in 19 minutes into the trading day in the u.s., how is it looking? >> it is negative but not by nearly as much as in europe. we've got a downdraft. the s&p is now 1/5 of 1%. we are seeing the pressure down on the nasdaq as well but not huge pressure. to come back to that volatility theme we came back to in the last hour we have talked about how correlations have been falling but there are different ways to measure volatility. one of them can be found at 5805. oe, we have talked about how the vix is really low. it is looking at the price buying protection for the dramatic move in stocks and that has continued to climb. that is just one underlying view of risk in the market. getting back to today's move, bucking the downtrend today with apple. those shares are a tense of 1% at their highest since july. apple has been trying to get further into india and appears to be trying to negotiate for more phones. they are talking a

and rbc says that was a bit better than his expected. he is moving into the right part of the business. they became a tech titan. the company now moves to the cloud and buys less hardware. cisco understands the trends which is why chuck robbins is focused on distributing software. for "nightly business report." i'm josh lipton in san francisco. >> coming up, can new technologies keep us safe when we get behind the wheel? >>> here is a jolting statistic. the number of people who died in a car accident in the u.s. has hit its highest level since 2007. blame it on factors such as high speed limits as well as texting and driving. a look at the numbers and whether some new technologies may keep us safer behind the wheel. >> driving in america has become deadlier. the national safety council estimates 40,000 people died in car accidents last year. the most since 2007. it cams the steepest two-year rise sense 1964. some of is it because drivers are going faster, as states raise speed limits. while distracted driving remains a huge problems. iro

rbc thinks it goes to 900. mizou pegs it at 905. it's trading down at 808 today. >> though the target is lowered, i would note a lot of the wall street forecasters and analysts did keep with the long term. >> cutting them some slack there. >>> otherwise a rally today. the dow up 178 points. here's the number. as long as it's up 156, it's still the best day of the year so far for the dow jones industrial average. >>> up next, snap chat's parent files to go public. we remember that last night. we'll discuss whether the messaging app's public offering is something you should think about getting in on when we come right back. onlyt&feouve cnn yr es ] ou eary e thlites oc raras of t a intoingle sce, n't juhain in, thnveses if t a yo wh. y gns were obvhen tre. arentry itntrader pou >>> you've probably heard by now, snap chat's parent company snap inc. filed for its ipo valuing at roughly $25 billion. snap is one of the first unicorns out of the gate for 2017. company planning to go public in march. here at the new york stock exchange with

also with us, peter schafrick rbc. whether donald trump will say i want to create jobs in the u.s. and any cost and that could imply a stronger do -- dollar border cost, or whether he rains it in next week. toastian: the single number focus on is this 3% or more growth target that the administration is not backing off. steve mnuchin i think reiterated it yesterday. you have got to remember that the fed's estimate of sustainable growth is 1.8. we are talking 66% higher is the minimum the administration was to expect. that is a train wreck. they will either overheat the economy, have a massive ledger deficit because they will presume the growth will be higher, and policy mistakes will flow out of the completely unrealistic target. francine: because you disagree so much, do you believe they understand your argument but decide to go the other way, or they do not have enough experts in the administration? sebastian: i think it is a case of not having very many experts. the only phd economist to my knowledge is peter navarro

joining us is tom porcelli at rbc. tom, how detailed will janet yellen get this week when it foreign talking about policy? tom: this is not something we will get a lot of detail. this will be more broad outlines. when it comes to actual conversation about the investment, we think that is something that is more for midyear. this go around, she will sort of outline some of the things they have already said. the conversation we are having is ongoing and we are doing studies on it now and we think that is the best you will get on the reinvestment part of it. i do think she will continue to push the narrative than most other fed officials have pushed seemsee heights realistic. you had charlie evans, one of the most significant doves, push that idea. that is almost a consensus within the fed. vonnie: you are calling it a humphrey hawkins testimony. how specific bushy be about her hawkishness? she -- how specific will she be -- about herucus -- hawkishness? it is been interesting to see her position. you can go back to this d

joseph spak of rbc and dave which iston of morning star.o key numbers to watch in tonight's release? >> thanks for having me, brian, first of all. we think the expectations are elevated going into earnings tonight. we think there are a couple key things to focus on. one is going to be data points related to the model 3 launch. elon promised basically 100 to 200,000 units here in the back half. that's a serious ramp. i don't think there are many who expect that. w but we're looking for data points to show that can get started. >> what data points specifically. >> one of the potential roadblocks they mentioned is the stamping aspect of the facility for the model 3. want to get more data points as to how that installation and ramp-up is coming along. there were reports that they took some downtime here this month to sort of ready that plan for the model 3. so further indications that there is a beta vehicle out there i think are also important. brian, the other thing i want to mention -- i think you alluded to this earlier -- this is the first

. >> bill: wanted to get that on the table because rbc were debating the same issues here in the usa, both for coming here. "the factor," "tip of the day," work on springtime because of the vice president can but we'll see. directly ahead, talk about conservative politics in maryland, moments away. who always buckles up... comes to a complete stop... and looks both ways, no matter what. because esurance believes that's the kind of driver who deserves to save money on car insurance. in fact, safe drivers who switch from geico to esurance could save hundreds. so if you switch to esurance, saving is a pretty safe bet. auto and home insurance for the modern world. esurance. an allstate company. click or call. >> bill: as it may know, the big conservative conference is underway, you have to know that, you just watch at the beginning of the program near washington in maryland. we sent waters down there to sample where conservatives are at this very moment in history. ♪ >> is a surfer seatback? >> i'm so excited i'm full of energy. >> who was the conservative that you admire the most court t

rbc taxes will go hand-in-hand with that.ve got energy investment, trade deals being renegotiated. he's had all these roundtable discussions that everybody can see. a realpi impact. intel, $7 billion investment. that's my point, there are such great stories to tell, facts and figures to put out there. stories to tell that we just want to make sure are reaching people. i have a lot of faith in the wisdom of the american people,in they can pull the information themselves. so many people in the mainstream media don't like the president using twitter, too bad. he's cutting out the middleman. it's the democratization of information, every one can see at the same time with the president of the united states just said. >> sean: this is another example of fake news, i have an article put out by cnn, shocking. [boos]e kellyanne conway sidelined from tv after flynn debacle, how many dates have even booked on the show court to mark you are never sidelined. >> i'm not, somebody's trying td start trouble, about 5% of what what i'm asked t

joining us now, eric sheridan and mark mahaney with rbc. good morning to both of you. i'll start with you. this quarter, a lot of things not to like -- the domestic monthly active users flat, ad revenue down. it appears that the leaky bucket problem that twitter has had continues. anything positive that you see, maybe daily active user engagement? >> so, one positive, one negative. the positive is you see rising engagement levels. so, they say this was the third quarter in a row of accelerating daily average user growth, so at least the users they have, which are flatlining, at least seem to be becoming more engaged with the site. the real negative to point out and what they were up front about is they're seeing much more competitive pressure for video ad dollars, and they listed all of the other social media networks. that problem is probably going to intensify. we now know that twitter is growing ex-growth, i.e., their revenues are going to decline this year. whether they can get out of that spiral is an unknown. >> and eric, now they've got to worry about snap inc.

government rbc is a little bit more sensitive to leveraging people in russia and china, eastern europeut we do expect them to expand that scope over time. we think they will be comfortable with the idea of bringing more people outside the boundaries of the united states, starting with our five eyes allies nations, australia, canada and the u.k., and then hopefully expanding from there. caroline: we saw that graphic as how much cyber threats have increased, particularly within the first few weeks of donald trump's presidency. is it just the media has got excited about it? it has caught our attention? or indeed the 1512% growth in cyber threats in the last 10 years, have they got more real, more frequent and more damaging? , >> the threat is definitely increasing in velocity, but we are doing a better job of spotting the attacks, so the data is a little deceiving. we have better technology and better capability to figure out when our people actually attacking our critical networks, and because of that, the number looks like it has been increasing, but in reality we have been attacked by

throughl sell shares credit suisse, goldman sachs, and rbc. with deutsche bank's chief security global strategist. on the s&p 500 to in the year at 2600. how will we get there? what will drive it? >> most of it is earnings growth, number one. there are five reasons to be constructive equities. v-shaped recovery in the s&p 500. growth has been taking place since q1, minus seven percent, -3%, plus 3%, plus 7%, and we should get up to plus 12 or plus 3%. argue two bank, i would we don't see equities on an absolute basis as particularly expensive. is highermultiple than the historical average, but if you look at the multiple in terms of historical drivers, it is in line with where it should be. the multiple does fluctuate over the cycle. the third point i would make is that equities on a relative basis are very, very cheap, so common measure is the equity risk premium. if you think where the equity risk premium is today and compare it to where the equity risk premium has been prior to the cycle. the last time we were at levels like this was back i

johnson & johnson, one of the company's executive vice president's, she spoke at an rbc capital conference, and she said they were looking for top and .eals around medical devices investors are liking the potential for m&a messages. another boost for the dow is verizon. this is an intraday chart, and we see the stock has gained steam all day. this could reflect the fact that the company has launched exponent, a new technology that could accelerate growth. it iss what is looking -- looking like at the markets. we have a great chart that may suggest puerto rico's finances are improving. we are looking at general obligation bonds. those are bonds that are backed by the tax and credit power of a sovereign entity, and we see they are well off the lows, perhaps suggesting positive things are ahead for puerto rico. joe: the thanks, abigail. we will be hearing from the puerto rican governor later this hour. right now, press secretary sean spicer giving his daily press briefing, which you can watch right now on tv on the bloomberg, spicer making some headlines. trump says he will be talking ab

rbc upgrading true car saying the stock has been in recovery mode after a steep decline because of execution issues and pricing which, by the way, is currently half of what it was at the peak. the price goes up 5 bucks. it's up 1% today. >> took a huge hit the last two years. >> ugly. very ugly. >> all right. smaller cap call of the day. probably a name you know. callaway golf, ely, from a buy to a neutral. casey alexander says it's over shot. guidance will be conservative and an ipo to top golf which callaway owns 15% of. not a lot of upside, 11% to 12%. top call is that place you go -- >> your swing and they diagnose. >> games because they have electronic -- who gets closest gets a point. they've got beer, food. they're trying to sex up the idea of a golf driving range. callaway owns 15%. kind of a fun place to go. >> sounds fun. >> i've never been. >> "power lunch" road trip it sounds. >> we should do a show about golf or cabo san lucas or paris. >> any of those. >> one of those three will work. tyler? >>> thank you very much. folks, corporate america decided to get a little political dur

cibc capital markets followed by credit suisse, goldman sachs and rbc capital markets. strategies they want to highlight. it's common for companies getting ready to do on ipo to show growth category. for them it's expanding brand recognition in the u.s. as well as finding suitable coats and so forth for spring and fall as opposed to the really intense winter coats that they're known for. i have been reaching out to lead underwriters on this deal to find out more information in terms of timing, and we are continuing to dig through this filing. we'll get back to you with what we learned. >> leslie, do you know the typical price for one of these canada goose jackets? >> i do, unfortunately. it's about $1,000! i have done research on this and they're known for being some of the warmest winter coats out there. i don't know if that's true, if that's the case, but i think that's why people are willing to put up the big bucks. >> leslie, thank you. mike, that brings us to our next question of how scaleable the canada goose -- >> just what the market is for it. is there a little

also, today, rbc capital markets have a new note saying highlighting the impact that trump could haves. oil investments. joining us now, our managing director and head of commodity strategy at the aforementioned markets who had, i tried to add in there and failed, iran reportedly backi ining militant yemen firing a missile at saudi arabia. things are heating up. what's the end game? >> it's not a black swan scenario. look at trump's statements on the campaign trail and flynn, there's a hawkish view of iran. if we have the tests continuing, if you have more problems in the straits of hormuz, confrontations between vessels like we've seen throughout the year, you could have a situation where there's sanctions. >> another way, why is oil only at $53? >> because people are not taking on fully what this looks like. some people say if u.s. sanctions snap back on, european countries do what they want, no countries stops importing. they are extraterritorial. people are not thinking about the clear risks of the sanctions coming back. >> border adjustment tax, a lot of the refiners are frighten

positive comments from rbc capital markets. all right. street talk is done for the day.et a market flash. >> posivity, but look at technology stocks, guys, because the sector is on pace now to turn the first negative day in 16 days. that's a record setting wind streak so far. today includes micron, so chips are a factor here. the sosx holders index, both down by a percent or so so far, but, still, tyler, it's been a good run for tech this year's best performing s&p 500. back over to you. >> thank you very much. >> why you drowning in e-mails is good news. we'll explain straight ahead. i'm ricardo, a sales and service consultant here at the xfinity store in bellevue, washington. here at the store, we offer internet, tv, phone, customer service, home security. every situation is a little different. it could be about billing, simple questions like changing the phone number. sometimes, they want to upgrade, downgrade, but at the end of the day, you want to take care of the customer. one of the great things about comcast, there's always room to move up. of course, it depends

. >> yeah, on that front, rbc put out a note saying especially if you're able to deduct cap x we couldng at a 35% to 40% bump in your earnings. is that realistic? we don't see that in the stock price. >> well, we're spending somewhere between 200 and 225 million a year in cap x. we're continuing to grow make major investments. so to the degree that's true, that's a benefit to panera. and we will take advantage of it. having said that, i think that the folks that are seen as benefitting the greatest from what could be the trump policies are operators like us that are almost entirely domestic, that don't have dollars abroad. and then secondly, folks that run company operations, which we have about 45% of the system. so i think compared to other restaurant companies all else being -- we're seeing benefitting to a greater degree than many other companies. again, as i said to you, sara, we'll all see. you tell me what washington's going to do next week and i'll tell you what we're going to do. >> yeah, we're all working on that over here too, ron, that's for sure. one question on the menu,

we have to frame the moment with investment and finance, and do that with jonathan golub of rbc.arnings-based, company-base, looking at strategy in the market. , in the market this morning? -- am i in the market this morning? economy the underlying and earnings driving this market higher, and all this trump talk is a smokescreen on a backdrop that is getting better and better. the level of us bullishness wrapped around the day-to-day news flow of the president, whether someone is for or against president trump, what is the enthusiasm today? clients are big institutions, hedge funds, pension fund managers -- they are incredibly reluctant to get in because of the lack of specificity. they see a market that has become more expensive, and i think that will be a big mistake for many folks. those who haven't willing to get in with less information, with less specificity, have and rewarded handsomely. give me a sense of what happens if we don't have enough details or if the equity market doesn't like the plan for the tax reform the president tells the congress tomorrow, a big correction

rbc capital of course. plus, the fed's testimony from janet yellen.awkish. we will be keeping an eye on the prime minister two meeting with president donald trump it alix: looking forward to that. thank you so much. as he go to break, if you have a bloomberg terminal tv -- you can click on our charts and graphics talk to us directly. it we capture the moment we had more record highs. this is bloomberg. ♪ ♪ alix: welcome to "bloomberg daybreak." i'm alix steel. another record day for the s&p, nasdaq, and dow -- all three indices grinding higher to record highs falling from the rally. in s&p, we have financials and tech grinding higher. it makes it interesting for janet yellen tomorrow. deal with that, janet. she will give her testimony before congress. it is two days of testimony and there is lots of anticipation whether the fed will hike rates when they meet in march. mike mckee -- there is a debate within my bloomberg. she will really surprised the hawkish side. another person is saying, no way. mike: the authority she will not say much. she wou

a bunch of guys, rbc and keybanc say you have to buy broadcom ahead of the quarter, but this has been there other than the defense stocks. >> right. but the call is essentially saying it's the pullback you've been waiting for. >> yes. it's interesting to overlay everything on what buffett says. buffett would never buy a stock like nvidia, very highly valued. but he says, listen, periodically you get these chances and goldman is saying that, again, i don't want to conflate, but they're saying, look, it hasn't come down for a long time, now it comes down everybody hates it. that's wrong. and i like the piece. i thought it was very smart. >> yeah. you mentioned buffett, he did say bezos probably the best manager he's ever seen. >> wasn't that something? >> that he never understood the model. missed it big time in his words. >> whoever says that? that was one of those moments said, hey, i missed it. but did say he talked about walmart being everybody's challenged by amazon. [ bell ringing ] everybody in their sights is in trouble. >> there's the opening bell. s&p at the bottom of your scr

an executive vice president for conferencean rbc saying they are looking for talk in deals. the minutes showed many fed officials saw an increase in rates fairly soon. they did express concern over headwinds from dollar strength and uncertainty for fiscal stimulus. pimco portfolio manager tony crescenzi joins us in studio. dovish termsish, being thrown around. we were talking about a hawkish statement and suddenly, the minutes, and i'm seeing a lot of notes with the word "dovish" in them. tony: the bond market views the fed as dovish for the medium to longer term. as is quite apparent in the way in bond market has priced -- arerast to how the stocks behaving. the dow moving to 21,000 since the election. but optimism is not shared in terms of what the bond market believes the economic outlook is over this medium to longer term. price ismarket's between .5 and .75% to just around 2%. looking 10 years outcome of the market is only price for about a 2.5% funds rate. put it as high as 5.25% in 2006, 6.5% in 2000 and 6% in 1995. this is the bond market saying there will be a trump

it's a ninth trait loss for rbc. the c.e.o. expects to report the first profit in a decade. to our viewers worldwide, i'm jonathan fero alongside david wes continue and alix. 10 straight records on the dow. the futures are a soft session emerging looking at global equities. down by four points, one full percentage points on the stocks. treasuries coming in today well bid, 236 on the 10-year. alix: the two-year bid with a record low. citi says 100 basis points could be a reality for the german two year. and the bit coin and crude a little softer on the day. jonathan: president trump has the market on the brick of history. the dow closed in record highs in 10 straight sessions, the longest streak in 30 years and two more days of gains would tie it for the longest ever. the treasury secretary took some of the wind out of the sails, sending yields and the dollar lower and this comes ahead of the president's speech with a conserve pitch political action conference today at 10: 20 p.m. eastern and address the congress on tuesday. to discuss it, the head of strategy and then the he

rbc capital markets analyst mark mahaney with what's working. >>> and here are the futures.sessions for the dow, you're going to see futures are under some pressure. "squawk box" will be right back. >>> trump heads down south. the president visiting a boeing plant to talk jobs and manufacturing. a live report from south carolina is straight ahead. >>> the tech sector is on a tear. snapchat prepares for its wall street debut. three portfolio picks that could make you money right now. >>> plus, coal country applauding president trump. >> i am continuing to keep my promise to the american people to get rid of wasteful regulations that do nothing, absolutely nothing, but slow down the economy. >> we'll talk to a ceo who was in the room for the president's rollback of coal regulations. the final hour of "squawk box" begins right now. >>> live from the most powerful city in the world, new york, this is "squawk box." >>> good morning and welcome back to "squawk box" here on cnbc live from the nasdaq market site in times square. i'm joe kernen with becky quick and melissa lee. this

. >> for more on disney, let's welcome steven cahill, media and entertainment senior analyst with rbcapital markets. good morning. >> thank you. >> should we be worried about espn? >> the question here is one of stability versus instability. our view and based on what the company has talked about the last couple quarters is we're seeing more stability than what shares had been pricing? the important thing to remember is if espn is stable, not losing subscribers at an accelerating rate, cash flow is there. this is a dynamic portfolio where parks are growing, studios are growing and you get cash flow out of espn. stability is enough for rerating. >> rerating would land you where? >> our target price is $130. it's certainly been near those highs before. when we saw it come down in the summer of 2015, it was all about espn. what we think is getting better with espn is the new virtual cable distribution platforms. hulu set to launch soon, and bob iger saying they will be on google as well as others. that unlocks the stock. >> there's the subscriber story and then the advertising story. whi