outside the courthouse where the cfo is expected for her bail hearing morgan stanley chairman stephen roachonset and byron wien joins us at the top of the half hour if that weren't enough, another price target cut on apple, this time from morgan stanley, following ubs. "squawk alley" has the analysts behind that note first, markets are taking a blow dow down 180 bob pisani has more. >> this is what makes everybody nuts, discussions on trade talks. we move the markets with larry kudlow's discussion. look at what's happening you go into the markets. markets open you have positive momentum on the jobs report. the sentiment is with us here is larry, comes on with us here and says comments that larry kudlow was typically make. for example, progress, get a lot done in 90 days on trade talks he would consider extending that truce if good progress on tariff discussions. all positive we go up 15 points in the s&p, then drift around, then peter navarro on another network he says if progress is not made in 90 days, we will reinstate tariffs essentially. down, 15 this is what makes everybody crazy. it

. >> an expert on these matters joins us via the cnbc phone newsline, stephen roach, current yale universityen, thank you for joining us today what do you think of commerce secretary ross' comments is this 40,000 level or could we actually see a potential longer term deal be struck here >> i think he's right. i think the devil will be in the detail and by putting u.s. trade representative robert lighthizer in charge of the negotiations, i think we can look at the detail that was provided by him in this so-called section 301 report that was published last march, which goes into the allegations that are being made against china in great detail. and i've read the report very carefully and taught several classes about it in my course at yale i have to reluctantly say this report makes a very weak case in trying to justify tariffs and the risk of a trade war. >> why >> well, it breaks it down it breaks these charges down into four pieces the case for force technology transfer through joint ventures, which there certainly is a transfer but the idea that this is forced, there's no evidence whatsoev

. >>> when we come back, stephen roch roach. we'll get his perspective on this u.s.rade truce with the dow up 329 the meeting of the executive finance committee is now in session. and... adjourned. business loans for eligible card members up to fifty thousand dollars, decided in as little as 60 seconds. the powerful backing of american express. don't do business without it. you're in the business of helping people. we're in the business of helping you. business loans for eligible card members up to fifty thousand dollars, decided in as little as 60 seconds. the powerful backing of american express. don't do business without it. >>> good morning welcome back to "squawk on the street." i'm carl quintinilla with sara eisen and david faber of post 9 at the new york stock exchange the bulls have two big weights off their back with powell last week and the g20 over the weekend. now we have ism manufacturing. for that, we'll get to rick santelli rick, good morning. >> absolutely. construction spending coming up. this will be for the month of october. expecting the number ne

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