>> i mean the uk is a concern. eflected in the very poor performance of the sector and year to date. aviva has businesses and big business in france, italy, and spain. the concerns there are linked to the health of the banking sector and so you're offering guarantees and unfortunately with bond yields where they are in europe and you're offering a guarantee. it's very difficult to achieve investment returns above the guarantee. >> mark wilson was telling cnbc slugging off the impact of low interest rates saying they have built their business model to be resilient in this environment. given we are waiting on another boe decision. does this eventually hurt? >> well, it's a feature of the insurance sector that low interest rates are bad for insurance companying. they're bad for balance sheets and that's because liabilities are typically longer than assets. you get a hit there and bad for herniation as you explained when you are offering guarantees you can't achieve the investment return. knew insurance companies are im

in that sense the uk and the eu are stuck in a dilemma.e are reasons why each side might prefer to see the others think but the better outcome for both will occur if they cooperate. let's hope the eu leaders realize this and the uk leaders are tempted to ignore the realities on the ground. turned back to what the government must do to stop pulling on the strings of this not. the first thing domestically will be the repeal of the various acts of parliament that entrenched the treaties of the european union into british law. if that is really just the first street, not is made up of rules and regulations, primary and primary and secondary legislation that is being coded into british law with the eu directives. the trouble is that the entire lot, as desirable as that may sound is probably not as feasible nor desirable. plenty of it would have been in code anyway, perhaps in a different different form and some of it represents global standards. there have been the practice of goldplating regulations where eu regulations have been made more one

with the uk the u.s. shares a lot of information. they're trying to increase the amount they share with france and then other countries less so, partly because don't have the capability to exploit the technologies that the u.s. submarine force might use. very helpful. we're going to open it up for questions. i'm going to ask you to give your name an affiliation if you have one. there's a mike coming your way. >> thanks very much. great panel and any panel that talks a lot about submarines is okay in my book. two-part question. perhaps the former submariner in the room wants to address this. throughout the cold war we spent a lot of time doing anti-submarine warfare and pretty much everybody acknowledges we weren't as good as it as we wanted to be. you know, what are w doing to get further up the curve given that everybody is rusty in this skill set even though everybody is focusing more attention on it? from an under sea structure standpoint, the russian versions of nr 1 are particularly vexing from that standpoint and at this point

we're hearing stories about isis' plots to attack the uk. at do you know about the reports this morning? >> i'm told by a senior counterterrorism official that the intelligence obtained over the summer indicates that isis is stepping up its efforts to infiltrate operate operatives into the uk in order to launch taxi. they managed to do that in the past with continental europe. but it's become more difficult to get operatives across the english channel into the uk. the uk not part of the 26-nation bloc where they don't have internal borders in europe. it's been more difficult for isis to do this but they are ratcheting up efforts, according recent intelligence to get an attack through in the united kingdom. i'm also told by the same official that security agents have discovered more and more isis operatives on european soil. and they've been very frustrated in tracking these individuals because they're using inscription. mess messengering apps like telegram, meaning it's very hard to track officials. that official saying that security operatio

suppose the voters of the uk to decide to leave. what would be the implications are some of these domestic constitutional arrangements, we also have to change the cause of that boat? >> i think you raise a question which is on so many people's minds in the united kingdom and it's the topic of the day as we approach referendum, clearly there's a lot of discussion about the very question you ask. my prime minister's been very clear that we would be safer, stronger and better all than the european union. for so many reasons, not least to incorporate so closely on important security issues of the day like counterterrorism but also from a prosperity viewpoint because it means we have access to a single market of 500 million people which is an important thing for the uk in the same commerce. i think the phrase has been most commonly used by the government which i serve is to leave the eu would lead us in the dark so whatwould it mean for the way we govern ourselves, the way we interact with our european colleagues and partners ? these are

now a big story is that of the bank, as you saw yesterday. uk government bond yields continuing to fall after hitting record lows as the bank of england pulled the trigger on fresh monetary easing. first rate cut in seven years combined with the starting of guilt purchases and the buying of 10 billion pounds of corporate debt as well. now governor mark carney said the easing program was aimed at stimulating lending. >> the purchase of up to 10 billion of uk corporate bonds will support the real economy by directly affecting the financing conditioning for companies that make material contributions to uk economic activity. by supporting investment, this action should improve the monetary policy tradeoff with inflation. by acting in capital markets it will be complimentary to the enforce the bank lending channel. by lower credit premium bonds are a prosht mean of providing stimulus. >> governor also addressed how low rates would two and whether they would consider heading into negative rate territory. >> no on the negative rate scenario. if anyone

now the uk could actually attract many of those companies and mr. osborne has already lowered the tax rate. could be a lot more attractive too many of those tech firms. >> to london. >> to london. >> absolutely. i think you're totally right. this is london's prime opportunity to step in and say look, we're no longer -- we're looking to exit the eu, of course, and this could be an opportunity for us to welcome some of these companies. so definitely. i mean, britain could be set to benefit massively. kne neil wilson put out a note saying when the longer term, it's not just a kind of a toss between the european commission and u.s. companies, it's about the regulators and the regulatory environment. we were talking about this yesterday. the corporate environment could change a lot as well. and the tax environment. i mean, is this going to be precedent to what happens to google. we've been looking at google for a long time. >> facebook is another one. a lot of people wondering now if the europe commission is going to go after facebook. they have tax arran

you've got so manufacturing outputs here in the uk. june manufacturing output. e looking at the may manufacturing figure being revised to 0 .6% on the month. looking at the june industrial production as well just above the flat line. plus 1.6% on the year. couple of other revisions. to may the reduction being revised to minus. we're still seeing sterling right around 1.29. this comes after relatively big moves. dropping with more speculation that we could be looking at more bank of england stimulus. we heard that after one of the members writing an opinion piece for the times about how more easing might be necessary. more easing money might be necessary. that's what we're looking at in terms of the data hitting the wires. china sticking to the data. rising 1.8% in july. inline with expectations. ppi does down for the month. falling at the slowest pace in two years. cherry king is in hong kong giving us more on this front. >> good morning. both cpi and pp i we got out of this morning. sort of inline with the data i was talking about yesterday, july imports falling

we are getting into a long holiday here in the uk. expect the afternoon to be quiet. >> carnival if you're in london this weekend. be ready. >> luisa is excited. >> all around where i live. it's a particular twerking street where i live. >> you'll have to send us pictures. >> exactly. >> let's give you a shot of how u.s. markets are being called this morning. we've seen the slow and steady pace. people getting ready for the weekend. this is the view in the u.s. s&p called slightly higher. dow jones called higher 37 points skpchlt the nasdaq higher by 7 points. was a losing day for the nasdaq. in fact first two day losing streak in quite some time. >> thank you for being was. see your e-mails coming through on turk turkey. keep them coming in you want. for all of you out there have a fantastic weekend. more to come on cnbc. >>> good morning. fed in focus. wall street getting ready to par issue every single word out of janet yellen's mouth today. officials look for direction gathering in jackson hole. >>> i spy ha headache. >>> privilege

it was great to see the uk growing strongly even though it's a mature business. leader in car insurance. we put on 11% more karns customers in the last 12 months. that's rapid growth. we're getting more rapid growth from the developing markets for us, which are the european markets and the usa. where we increase the number of policies by 20%. so we've got value at diving great dividends from the skpuk growth coming from our international operations and particularly our price comparison operations. >> rwe has agreed to raise employee pay and talks with connect workers and minors unions. germany's second largest utility has reported to raise sallys in 2017. last we're rwe reported a slump in first halfrofit due to losses in the trading business. i'll give you a quick look at the shares today. this year as you can see, up more than 27%. slight down direction today. >>> indivior drug positive. it will british pharmaceutical company says it's on track to complete analysis of the drug's long-term safety and tollerability early next year. >>> bhp ended yesterday's sessio

we are not presently not concerned by the fund in the uk. it's a p p -- feeds to the need of most of individual customers because it provides a decent return and also quite a safety on the long-term on the value. >> do you think europe is going to outperform? are you seeing signs that we could be looking in medium term to longer term, is europe going to be the out-performer or are we still? a situation we're dealing with growth issues maybe in the u.s. and in asia? >> of course europe is facing many challenges. i will say that the main challenge of europe is called institutional. having that in mind that europe, especially -- is a very competitive area. the surplus of gdp of the eurozone is 4.6% of the gdp. i think that europe is a lot of competitive advantages. but yes to address the question of institutional and political situation. >> thank you for bringing us that perspective. that's the ceo at amundi. >>> hillary clinton has accused russian intelligence services of hacking into democratic computers. she drew a -- she said he's shown a tr

the july retail sales for the uk raising by more than expected. t spending. you're seeing a little bit of buying taking place there. sterling on the back offigures, 1.4 month to month. 5.9 upside year on year. looking for 0.2 growth month on month so the 1.4 a lot stronger than expected and we're looking at 4.2 year on year was the expected that came in at 5.9%. again retail sales data showing us the uk consumer is still out there buying. fuel month growth. 5 .4 year on year. that my friends is also a lot higher than expected. just glancing through some of these announcements. they're saying the good weather boosted clothing sales and the drop in the pound increased the buying scene from overseas visitors. after we had this eu referendum vote for brexit, people are coming to spend. uk shoppers defies the brexit shock as spending jumps in july reads the headline from reuters. that's what's going on and taking sterling higher by .70%. when it comes to what we can expect in the u.s., we're five hours away from the market open there. let's set ourselve

breitbart to go work for the uk independence party much like the breitbart chair in the u.s. go work for donald trump. editor and chief of uk breitbart went to work for the uk independence party and chief of staff as the uk independence party's leader. and you know what? there's no reason you should know that. most americans have not within sitting on the edge of their seat hanging on every twist and turn on the fashist and political movements. most americans don't have strong feelings about european politics of any kind or the constituent states of the european unions. it's not a pressing thing. one fringe element of the far right is obsessed with that. because they really want politics like that here. and those folks have now been elevated to the top of the republican party as unlikely as that might seem. that is how we ended up last night with donald trump standing in front of a basically mystified all white audience in mississippi introduced this british guy, the leader of the uk independence party to preach in mississippi about how politically inspirational it was when b

that is what we have so far on the uk construction front. oing, nothing right now. just glancing at the portuguese second quarter as well. plus 0.2% on the quarter. plus 0.8% on the year. looking again at the uk construction output, again, minus 0.9 month on month which is a little bit better than the reuters poll expectations. second quarter construction output minus 0.7% quarter on quarter. according to reuters. let's move on. >>> alan clark, head of fixed strate strategy. >> one of the plob sectors in the aftermath of brexit. we are seeing highing intentions being hit. the pmi had already dived leading up to the referendum. based on that survey, sector is shrinking 1.5 year over year. drag close to quarter to a half of over gdp. it's a small sector, but a troublemaker. >> 10% of the course of how long. >> you could see that coming out on the desks in the early months of next year. it probably help contribute to a negative gdp rating for q3. that comes out the end of october. the problem is with the hard data that figure was for june before

what happens if we get a chunky fiscal package from the uk government. do we see a rerising yield in the back of the uk curve. >> japan is less negative. is it back up or back down? i completely agree with you. what we can look at a curious curve bottom left top right we know the short end is going to be anchored to zero. a stimulus comes through follows we should get some sorts of yield to work into. we think an easy way would be life insurance. you can view them as one big pension deficit. you know liabilities are coming down in real term. that's an interesting way to play it. the banks won't get drawn up into it. it's our feeling if the short end is zero, you'll be better rewarded in life insurance. >> we are waiting for it to take effect, what do you think the impact will be. is there an investment opportunity given we seen moves on just the announcement. >> the ten-year gilt yield, the view is the reaction in europe where draghi is buying u.s. debt, uk debt. very bizarre. we will look from this package in time and go that was absolutely extraordinary

meanwhile, stocks closing in the uk and across europe, rising for a fifth consecutive session, drivinggames -- along with some upbeat earnings news, the german dax rallies into bull market territory, up officially more than 20% from its february lows. tice surging, and still down about 76% in the last year. and the british pound spending most of the day below 130 for the first time in a month, and in a times london op-ed ian miscalfty said easing would likely be required if the uk economy worsens. see the pound at 129 earlier this morning maid jim cramer say maybe now is finally the time to make that trip to london. >> yeah, wouldn't mind it. >>> up next, tech m & a is on fire. what could be the next deal? jason brings us five names. "squawk alley" will be right back. >>> good morning once again form texas health officials say the recent death of an infant in the houston area has been livened to the zika virus. the mother had been recently traveled to latin america when she was pregnant and the baby acquired the infection in the womb. >>> at least one civilian was killed in a suicide a

so the uk has to fund that just to stand still. been doing that is been through foreign investment and gilding. unfortunately tourist inflows are not going to be sufficient to fund that deficit let alone push it into positive territory. >> thank you very much for your time this morning. head of global fx strategy. keep your questions coming through, your comments coming through on twitter. e-mail "street signs" europe @cnbc.com. >> anyway, thank you very much. spain's rajoy is poised on confidence vote. pp party agreed to reform a pact with the party. spain has been without a functional government since december after no party won outright in elections back then. as both parties are still short of a majority, the socialist could throw in the works if their vote is a negative one. the german interior minister is due to issue an update on proposed security measures when he holds a news conference later on this morning. this kompls as leaders from german's 16 states met yesterday. speaking yesterday testimony chancellor, merkel reject

the crisis. >> divisions over brexit. uk chancellor at the heart of a disagreement about access to europe's single markets. >> the governor of the bank of japan says he will act without hesitation on negative rates if the economy continues to miss the 2% inflation target. >> shares on the right track this morning as the they win deals tore amtrak. welcome to the show. >> it's been six or seven months. >> unbelievable. >> gone very quickly. >> it feels like it's been a week, two weeks. how is it having a new little one? >> a bigger baby. beautiful, beautiful. best job in the world. one of the hardest jobs in the world. >> harder than this? >> beautiful. >>> business confidence index falling to 101. little bit lower than the consensus. the overall business confidence falling to 99.4 vgs 103 in july and that is actually one of the lowest in the recent years. we're still waiting for the spanish business confidence. we'll bring that to you as soon as we get it. it seems as though business confidence certainly has taken a bit of a

data out of the uk. higher inflation than expected which has offset the recent easing likely hoods that we've seen, but only slightly. european equities all down as you can see. we're now down about 1.5% for the week as a whole. last week was strong. the uk ten ten-year continues to hole near reported record lows. 0.58% for the ten-year in the uk. >> as for asia, we did see a gain in the nikkei. that was thanks to the fed comments. the nikkei closing higher about a percent. and shanghai comp flat. hong kong down.5%. it hassles be also been on a st run. >> the dollar dropping to lowest level since brexit. that's the broader index against euro and the yen hit the lowest level. the dollar has since recovered. hit the lows abo s at about lun yesterday. started to recover during the hawkish fed speak. two hikes this year was a possibility. nigh fed president suggested central bank could possibly raise rates as soon as next month. two key events to watch today with that in mind, james bull ard speaking at 1:00

the uk banks still on the downside and banco popular in spain as well. let's talk banks. portfolio manager and partner joins us now. great to have you on the show. let's talk about hsbc. you made an interesting point in the note saying whatever happens here, expectations are just too low. >> that's right. you're seeing that whether you beat on an adjusted number or they underperformed on a head line number. doesn't matter. profit are down. this bank is too big. this bank had three very good world class banks. uk and hong kong and a commercial bank with a strong focus towards asia. all of which if tin dependent would be worth a lot more than it is as a whole. as a whole it has to reduce the balance sheet. that i have have a massive risk asset. reduce it back to 130 billion and that's very expensive. profits are going down. >> what you're saying because of these three banks are effectively all in one they have to hold greater capital than they might have to. they have greater cost risk focus as well. how bad is that compared to the other banks. they have to hold 31% equity.

now moving over to the uk, where firefighters responded to this car fire. a few minutes before the firefighters arrived that vehicle is actually parked right in front of a bank. there are robbers inside that bank who have rammed through the doors trying to break all the way in. according to reports those robbers had chainsaws in hand but still weren't able to break nothing, couldn't get inside. >> empty handed they run back outside, one of the suspects is able to start a fire inside the car. the suspect immediately runs out of frame. you see that vehicle there? that's a range rover they're getaway car and they take off. >> there's a lot of cameras. a lot of people around. we've got a lot of angles, do the police have any idea? >> no idea yet who they are. will recognize something and leave them to find the suspects but they did find the getaway suv a few meters down also on fire. >> whoo. >> pokemon go is still going strong around the country around the world but the guys are really living up to their name today and it's going to bother everyone that place p

he suggested it will be a catastrophe on the uk economy. 've had to roll back, haven't they, but i think the government now is more focused on not hitting deficit or surplus targets here. they're going to provide more fisc fiscal stimulus. providing more stimulus here as well, but also dialing back a bit on the fear factor that was introduced ahead of that vote. we'll see what he comes up with today. >> all right. thank you so much for that. certainly a big market catalyst coming up. >>> coming up on our show, is it a business bogey. a big deal in the industry. you're watching cnbc first in business worldwide. what's it like to be in good hands? like finding new ways to be taken care of. home, car, life insurance obviously, ohhh... but with added touches you can't get everywhere else, like claim free rewards... or safe driving bonus checks. even a claim satisfaction guaranteeeeeeeeeee! in means protection plus unique extras only from an expert allstate agent. it's good to be in, good hands. welcome back to "world wide exchange." good morning

the gap between the yield of u.s. and uk your is around record lows hit yesterday a 16 year high in terms of the spread between the two. sara. >>> one big mover to watch at the open today is shake shack under pressure. premarket here same store sales at the burger chain grew less than wall street expected. did top estimates, but it was the come store tesales that wer so disappointing. analysts were looking for a number around 5% there. shake shack reported a number about 4.5% in terms of same store sales and hast the stock was hit 9%. this has been a roller coaster ride. it is way off the highs that it got to post ipo, but has shown strength. last quarter came in with much better than expected comp store sales number almost 10% higher. it was one priced for perfection. trades more than 100 times earnings. jack moore was on closing bell yesterday on this. he likes names like pa nora better. less risky. a lot of growth priced into shake shack. >> ahead of ipo so much excitement about it. i came to the u.s., i go to go into it

for migrants to be able to apply from france for asylum in the uk. ed to declare a complete nonstarter kpliet the brexit vote. reports indicate britain is willing to rip up wider security agreement with france if it does not get its way. this is exactly what people who, you know, who wanted to leave the eu, what they should have known they were voting for because essentially now you move the border from calais to dover. >>> moving on. ub ub ub uber suspends services. 50 uber and drivers were detained in the capital over the weekend. joining us now. what's this about. >> a lot of different layers. this coming off the last several months. you have kareem, the sort of arab based version of uber and big saudi investment into uber three and a half months ago. a lot of excitement around the ride sharing services. are the governments really prepared to deal with them. you're seeing that reaction coming from the abu dhabi regulator. who are the people driving cars, have they be vetted. background checked and a lot of concern about the possibility a lot of ran

the video shows several motorcyclists as they were riding on this road in the uk during the isle of manifest val >> the isle of man is like a huge, world famous for basically a couple of days, super bikes race completely around the island. >> as beverly is narrating this she's talking about how much he loves going to the races. >> -- get the best view. >> as we follow these motorcyclists, we see that there are cars and other motorcyclists coming on the other side. right about here we see one several bikes. and you see that there are several other riders doing the same thing. as they're nerving this curve right here that same motorcyclist who is in the black jacket decides to overtake another motorcycle. he doesn't see that there's another motorcyclist coming in his direction. >> didn't do anything wrong that day. he didn't deserve to die. -- direction overtook another bike, came on to my son's side of the road and crashed head-on into lewis. >> oh, my >> oh, my! >> my son never stood a chance. >> other riders stopped their bikes and try to render aid but at this point there is really nothing

in the uk, still issues. they are being seen much more in the currency and bond market than in the equity markets the uk 10-year falling to another record low as the pound fell below 1.30 gwen. it has recovered from that level. it was 2% at the start of the year. brexit having a big effect on the bond market. >>> let's have a look at asian trade as well. seen decedent performance there. for the most part, hong kong flat and shanghai and japan up 0.7%. >> the central bank decision of the morning takes us to i understood india. this was the governor's final review meeting. he kept interest rates unchanged. ra change ra january says it remains unaccommodated. back above $43 a barrel. wti is flat in morning. we'll see which way it decides to go. energy shares outperformed in the stock market yesterday. brent 45.34. we'll see what happens this morning. as for the 10-year treasury note yield. coming off the better jobs report, just below that this morning. some slight buying of treasuries in the early morning sessio

we're actually -- that the uk will attract more. the problem overall, problem will not alleviate the damage it has done when you look at it more globally and especially in europe. because, of course, for uk travelers, traveling abroad will be more expensive now. that will be an issue. >> uk travelers are expected to stay at home then? are they going to be spending more at home? could it benefit the uk travel sector itself in some funny way because we see more money staying here? >> the stay-cation will come back. the popularity will grow for that. for sure. things like air bnb, budget hotels will perform better as people look at wallets and say our travel budget may not reach as far as going abroad. if people do go abroad, they'll be more interested in paying before they go away. all clue sif holidays, cruises will become more popular amongst uk travelers. then they have a better insight on what they're going to be spending on in the future. >> we just heard that a quarter of all americans, they're considering canceling or rejigging

if you think 5% inflation in the uk, gilt yields fell and fell and fell. because you have the bank of england saying we are here. that's one side of it. now, for us what you've actually got, the statement and budget coming. if you're a chancellor and want to spend some money and have a very, very flat, borrow 100 year money. you will never have to worry about paying it back. spend it today. it's a vote winner. that for us is the political risk, if government starts to say a bit more expansionary and want to issue more debt, the long end of the curve, the biggest compression. >> a message in there for europe, isn't there, as well, with negative yields. borrow. >> yeah, exactly. >> christine, just on treasuries here, investors looking ahead to jackson hole, janet yellen's comments, is there anything you can say that will move markets in one direction or another, or leave investors as more confused? >> she would have to be quite hawkish, which nobody is expecting. it's not really in anybody's interest for her to go down that route at the moment. we will more i

yesterday's paper in the uk. was penned by nigel farage, the former leader of the independence party who spoke at a trump rally last week. it was very self-congratself-co. i wanted to pull out this line, sara. it draws parallels to what might happen here. trump was my -- this is the title. let's get on to the quote. farage said. he said i told them that brexit was the victory of the little people over the establishment. they went wild. he's speaking here of the people at the rally. i told them if you can motivate nonvoters to engage with the electoral process, anything was possible. he added, most of the crowd i met after the rally never voted in their lives. they're the same people who made brexit happen. they see washington just as aloof as many -- from brussels being distant. that's what i think is interesting here. it's wrong to draw parallels between the rise of trump and brexit. which farage is trying to jump on the back of that. it's fair to point out that aspect of galvanizing voters that have never voted

these new reports about isis stepping up its efforts to attack the uk, paul. re do we know about that? >> george, a senior counterterrorism official tells me that intelligence came in over the summer, indicating that isis is stepping up efforts to infiltrate operatives into the united lincoln kom to launch taxi. it's been more difficult for isis to do this than infiltrate in continental europe. because the uk is separated from the english channel. not part of the schengen zone. this intelligence really concerning authorities here. especially now in the wake of isis' calls for retaliation for the death of adnani. after all, these operatives have been dispatched back to europe, ultimately to abu mohammad al adnani. in the short term, his death may see a greater threat. >> authorities there in uk certainly on watch for this. paul cruickshank live for us in london. >>> the 911 calls from the pulse shooting in orlando have just been released from the orange county sheriff's office. 49 people were killed when a gunman opened fire inside the dance club. the frantic ca

your friend justin rose from the uk, winning his first gold. in golf by the way since 1904. beating henrik stenson. that's extraordinary. some people saying there may be an asterisk involved with this one because some of the best players have not come down to the olympics. rory mcilroy and jordan spieth saying they weren't coming down in part because of zika. i should say now having been here, i think the zika thing might be overdone and i say a couple of folks on the committee here saying it wasn't zika that kept them from coming. it was money. that's a continuing discussion down here. then finally, the women's u.s. swimming team just completely and utterly dominating. i talked to katie did ledecky. i talked to simone manuel. so many different things that have happened. pretty cool weekend all around. we're also, by the way, going to be talking about what happened with ryan lochte later this hour. as you know, held at gunpoint. there's a whole security concern down here as well. >> andrew, thank you very much. we look forward to "squawk box."

dow now up 53 points after quantitative easing, if you will, in the uk. back in a moment. >>> welcome back to "squawk box." among the stories front and center, the biggest story of the hour, the bank of england cutting its key interest rate by 25 basis points. it's the first cut in seven years. also stimulus measures including a corporate bond buying program and the stock market is up as a result across the board. >>> back here in the u.s., we're going to be getting weekly jobless numbers in about an hour. economists expecting 260,000 claims for the last week. virtually unchanged from the week before. >>> and finally, the donald trump campaign having a negative effect. visits to trump named hotels, casinos, golf courses apparently down 10% compared to a year ago. the hardest hit properties, new york's trump soho hotel and the trump taj mahal in atlantic city. that casino now owned by carl icahn who announced it will be closing in september. brian? >>> breaking news on the state of unemployment in america. according to the latest report by challenger gray a

that's a summit not including the uk. news that might be the first kind of signals to where is that whole saga going. we have this weird can. it probably won't last. it's traded within a 1% range for 32 sessions now at the all-time high. that's a big yelled play, but ultimately. that market can't go much higher, but we need a trigger point to start coming down. >> perhaps that market can, but ores say look where europe is relatively speaking. do you think it's time to get into europe or was it the share uncertainty you were hitting on. >> i think buying equities at this levelins anywhere is expensive. if you're going to buy equities, sure europe is better from a valuation perspective. we've got a slightly better improving picture. the pmis that were announced yesterday were pretty solid. on a relative basis, europe is better. the emerging market space has had a big rally over the last few weeks as well. that's looking pretty expensive. i'm afraid from an equity point of view it's not looking interesting. >> all right. pier

the uk sends more overseas visitors to the u.s. than any other country. last year the commerce department says brits spent more than $4.5 billion in the u.s. now with brexit looming and the sterling weakening against the dollar, some are worried that the u.s. may be too pricey for uk tourists, but in the travel industry opinions seem to be mixed. in its earnings call today trip adviser is saying brexit is partly responsible for softness in june and into july. but intercontinental hotels says it expects currency fluctuations to have only a small impact on its results and last week american airlines told analysts on itsl that while they haven't seen any short-term impact of brexit on the company's revenue they expect currency changes to have a negative effect on the airlines, adding that down the road it's the business traveler that they will be watching more closely. looking forward the travel transindex which gathers data from airlines, hotels and travel sites says international travel will be slightly lower in the next six months. the u.s. travel associa

some of the big uk names that do business overseas. sitive session for other european indexes as well. france and germany up more than half a percent. the big move, though, in the pound. mark carney putting pressure on the british currency, seeing its sharpest decline since the brexit vote. traders saying there were a lot of short positions being built ahead of the bank of england's announcement. jp asset management seize esees pound falling even further. weaker currency widely seen as good news for those uk companies that do business internationally. that's one of the reasons uk stocks have been outperforming their european peers. since brexit, the uk's ftse 100 up 6%, while germany and france are still down. germany down about half a percent and france down 3% since that uk referendum vote. the big question, investors and economists are now facing is whether the central bank stimulus will actually generate economic growth. some skeptics say the policies in europe and japan have yet to yield real results. >> thank you very much. >> don

the uk is going after them, what do you think of this report? >> to be fair this is the pot calling the kettle black. if anyone is to blame it is western government, the uk parliament deferring blame to social media, no one has been more critical of social media but the report doesn't even mention the word islam. it is not looking at root causes. social media has had its problems and the report does appropriately say they should hire more but they didn't acknowledge what they have done. they have hired hundreds of folks to look at this radical site and in the past few months finally started to shut down twitter accounts related to isis and the report talks about amplifying moderate voices but it is nowhere close to the report we should have which is to amplify anti-islamists and reformers, it doesn't tell social media to continue in the arab awakening, the root cause, dictators putting in prison reformists on social media. you have to have these prongs. trish: incredibly challenging to take down isis right now. i am bothered by the fact these guy

did you ever go to the uk? there are dj's on pizza places. it is part of the deal. >> it is a very special thing. that does it for me. i'm tom shillue. see you next time. so you never miss an episode of "the five." that's it for us. "special report" is next. >>> this is a fox news alert. we're getting reports right now out of rio de janeiro that american swimmers ryan lochte and james feigen have been indicted for falsely claiming they were robbed at gunpoint over the weekend. steve harrigan is live in rio. good evening, steve. >> reporter: shannon, keep in mind that the six-time gold medal winner ryan lochte is already in the u.s. that's not the case for the other three swimmers, including james feigen. he's still here in brazil. his passport has been seized, and now he faces possible charges on filing an illegal police report, a false report. such a charge could carry three years in prison.

. >> reporter: the deputy ambassador to the uk defecting and reaching safety in south korea. st year, the ambassador appeared loyal. >> if you read our papers and the magazines and the photos, you can see how socialism is carried on and put into practice. >> reporter: a south korean government spokesman says the ambassador wanted out. >> translator: i am aware that he defected due to his yearning for liberal democracy. >> reporter: it comes as u.s. officials tell cnn that intelligence agencies are watching significant, new north korean military steps increase the threat to the u.s. and allies. >> they have been exceedingly active in demonstrating capability. >> reporter: the latest intelligence analysis concludes north korea is now aggressively testing medium and long-range missiles, warheads, and nuclear devices. and it no longer care it is the world sees its test failures. >> when you have this many tests, you're eventually going to get it right. >> kim jong-un is trying to demonstrate he has capability, both in terms of the nuclear tests, as well as ballistic missile. >> re

here in the uk it was quite uk centric. a maze in which you played games, little mini games to win crystals and at the end you i understood ended up in a it was a famous tv show that we've now recreated so you can play it for yourself every day of the week. >> so this is kind of a theater experience almost or is it a gaming experience, but where you are the figure. >> this is it. i think the interesting thing about hour show and all shows in this industry whatever you want to call it, is it straddles quite a few genres. it's a theater show. it's a live theme park. it's sports. it's live entertainment. it's a lot of things in where you know and i think that makes it really interesting because it brings new audiences and new people to it, not just people who would go to traditional theater for example. >> felix, explain what you do with punch drunk love. >> ours has the roots in theater, take over big empty spaces and rather put action on stage we scatter it across the building itself. sometimes it's 100 plus rooms with full

every officer in the uk retrained to rigorous standards that apply in every region of the country.trict rules were put in place for suspect interviews. all interviews in serious cases. video recorded. >> there were two cameras up there. one gives a head and shoulders shot of the interviewee and a clear picture of you. the other is a global view of the room. everyone who's in the room is shown in the picture. that's about showing exactly what happened. >> and this was key. no more lying. in america, it's legal for cops to lie to suspects. not here. >> could you, for example, go into this interview and say, i have a certain specific piece of evidence that tells me you're guilty if you don't have that evidence? >> absolutely not. >> can you talk to a suspect as long as you want to? >> two hours at a time and you should take recognized breaks and meal times, prayer times, and nighttime. >> someone challenged like robert? >> they're entitled under the law to what's called appropriate and that might be a parent, might be a social worker but they're entitled to that as well as their legal

brexit, a key figure in the uk's vote to leave the eu.he republican nominee in mississippi on the campaign trail. >>> it was 100 years ago today the national park service was created. managing about 59 national parks as well many national monuments. including the statue of liberty. the national park service is waving entrance fees at all parks through the weekend. so go out and see your local national park. before we head to break, here's national weather forecast from the weather channel general carfagno. >> good thursday morning. we've got a business day ahead. thunderstorms on the move. yesterday's severe outbreak of tornados in indiana, we could see thunderstorms again. there's an isolated risk right up here into ohio and also back across portions of kansas. same front is making a lot of progress. it will bring thunderstorms into the thort east today. look at seattle heading back up 90 degrees. san francisco is yet to hit 70 this entire month of august. that trend continues today as well. in the middle of the country we have temperatu

the uk is really rocking out.hut has presented, teamed up with many d.j.s and created this pizza box that can actually play music. >> how does it. >> it's only in the uk. it's a new promotion. >> does it come with pizza? otherwise i'm not interested. >> i don't think so. >>> this morning on "world news now," the raging wildfire in southern california still burning, leaving a path of destruction and expanding overnight. >>> and members of the usa swim team pulled from a plane. see the video prompting authorities to question their account about an alleged robbery. >>> and record breaking daredevil learning a valuable lesson. he made the world's highest bungee jump. he forgot to empty his pockets. what he dropped that's going to cost him. >>> and adele is issuing an apology. she posted a late night video. see the emotional message to her fans and why she's saying she's sorry in the skinny on this august 17th.