this is -- tony james helped take the firm public in 2007. john gray is not taking over day-to-day responsibility and stepping into an executive vice chairman role. this is all breaking and we are digesting it as it is coming in. blackstone owns 5% of every company in the united states and it is only getting bigger. what significance is picking somebody who is a real estate expert for this role? is there any clue as to the direction blackstone might go in given john gray is now the person targeted to take over? equity is a misnomer when it comes to describing blackstone. real estate is its biggest business. john gray has been involved in a number of different parts of the firm for a few years now. yes, he leads this real estate division but he also has his hands a different aspects of the firm. real estate is going to continue to be a huge tenet of blackstone. that is going to continue for sure but john gray has been rumored as a potential successor for some time. i wouldn't necessarily say there is implications for a shift into real estate.

tony james will transition to another full-time role as executive vice chairman. >> this has been onerst kept secrets in the world of private equity. john gray has long and considered the likely successor to tony james, and the founder and ceo of blackstone. gray has distinguished himself as one of the world's leading real estate investors, so this completes the puzzle for the private equity business as an industry transitions to a new generation of leadership. >> barclays has said the serious fraud office has brought charges against its barclays bank operating unit in a case linked to a 2008 fundraising at the peak of the financial crisis. we thought barclays had faced charges on this. explain the second leg we are seeing here. >> in june, the serious fraud office in the u.k. charge the holding company and four of its top executives, including the former ceo, so what has come up now is that the operating company here is being charged as well. all banks receive their operating licenses based off the operating units, so that is why people really care about what is happening to the oper

coming up, blackstone coo tony james is going to join us on the set. making his way over. e you, tony. futures in the red we'll talk markets with him and so much more dow off about 300 at 65 points let's hope it doesn't go down to 600. back in a moment ♪ ♪ ♪ >>> maybe nobody can drag you down, but you ought to see the futures this morning stay tuned good morning, everybody. welcome back to "squawk box" here on cnbc i'm becky quick along with andrew ross sorkin joe is out today but sitting in with us for the morning is kevin o'leary. he's a shark tank investor and ctf investor 's he with us for the next three days >> great to be here. >> we'll show you the futures. the stories that are front and center one of very few number of stock winners swimming against the tide drug maker bristol-myers squibb beating estimates on the top and bottom lines with the latest earnings report. the company announcing that the fda approved a new use for its cancer drug optivo it's a lung cancer treatment that stock is up by 4.2% >>> on the economic numbers on today's agenda, the institute for s

extending this is from a dual to a treo, tony james is still involved with the firm and i will say johnle for managing day-to-day operations. i think the structure of the --m, i think a part of this the comments of real estate, john gray will retain his position as chairman of the investing committee for real estate, so you will keep his hands in that aspect of the business. this is certainly a huge promotion and certainly a new chapter for the world's largest private equity firm. scarlet: that makes the question, what do we know about john gray? he is 48 years old and he is been with blackstone since 1992. what is his track record and what does he bring to the table? >> we refer to him as mr. blackstone, he joined blackstone straight from college, and he joined their mergers and acquisitions group and send out to help their list eight efforts at the time, and yes built that business to blackstone's largest asset and manages 150 billion. deal is a $39 billion hilton that is one of the most successful from a return perspective from the firm, so yes had this hands not only building in thi

could be about to change we've got guests all morning we've got phil orlando and steven whiting and tony james's chief operating officer. we'll get you caught up on what their thinking and what's happening in the markets and just how worried you should be about all of this. >>> also, it's only been three weeks and here we are getting ready for a potential government shutdown this week coming up on thursday is the deadline things don't look like they've changed too much we've got jonathan swann from axios comes on what that might mean if you're trying to add up the risks for the market plus, we've got trade to talk about, nafta carlos gutierrez, the former commerce secretary will be joining us as you guys know, it's yellen's last day jay powell will be inducted today. >> and janet yellen, her last day, the dow down. >>> still ahead on "worldwide exchange," don't leave yet, we're counting you down to today's open dow tufures down nearly 200 points everything you need to be watching on the day ahead when we come back s stay confident for over 80 years. call us or your advisor. t. rowe price. inve

part of what will occupy schwarzman's time now that tony james is still around, john gray is in thisew expansion plans. i did ask about how that happens. they have made strategic acquisitions in the past. being the most notable, he tended to steer me toward building rather than buying. whereve to think about they may go and expand. we have talked a lot about the data they are compiling. he looked at all different sorts of ways to invest. part of it may be how they get bigger and bigger floods of money from their big investors. that has been a trend. is synonymous -- a potential thing. about gasolinenk and putting it on the fire. it is hard to have a stable policy. they clearly know they have had too much credit growth. they are tightening the financial conditions. >> mmi holdings. what do you have to say about that? he did talk about it being a very attractive place. we see the sort of pressure that some of the companies like hna are under to sell. the consumer market in china is still so attractive. china does seem to be giving a lot of indications that they are open for business an

we heard tony james on cnbc earlier this morning.s is the coo of blackstone who said the market could be in for a 10% to 20% drop. robert schiller had already said he's worried about the market, he's worried about asset valuations at this point. what can -- what can be done from a central bank perspective as we navigate this? because jerome powell is only getting sworn in today. >> difficult moment to take the helm. well, he's got some flexibility in how many times does he raise interest rates this year. people came into the year expecting four interest rate increases. they don't have to have four. and it's interesting to me that alan blinder, prominent economist, recommended that he expand the range of acceptable inflation for the fed. the inflation -- the fed's inflation target is 2%. alan blinder says make it 1.5 to 2.5, that gives you some flexibility in how you respond. >> john, good to see you. john harwood. i do want to point out this tweet that paul ryan deleted over the weekend. let's put that up. >> hold on just one second

earlier this morning on cnbc, tony james, the coo of blackstone, maybe one of the best investors on the planet is warning investors that would could see a market correction 10% to 20%. we've already heard from robert schiller who has been studying asse asset prices for decades. saying there is a disconnect. the price of u.s. stocks compared to the underlying value of corporate earnings does not align. >> yes, that's going to be one of those things that's been brought up over the course of last year, plus two years. stock market valuationings has doubt been going higher. the reason there's a concern among traders is we've seen such a long stretch without any kind of a pullback. we're working on 400-plus trading days where the s&p 500 hasn't fallen from its record highs. that's the longest streak ever of no downside real moves whatsoever. as people talk about a pullback, a larger-scale pullback coming, some would argue it's been a long time coming, that we haven't seen this kind of stretch historically without any kind of a down move so maybe no surprise for some of those out there who ar

one of the things tony james pointed out was they have gotten a the business of managing few tens ofof dollars of work. just a lot going on and a lot of money continuing to pour in. >> it is fascinating. not just in the united states but elsewhere. >> a freudian slip into the truth. this is a fascinating area. >> infrastructure has gotten headlines because last year he went to saudi arabia with the president and part of the big pop and circumstance there was announcing this deal with the saudi's to be the anchor investor for this infrastructure fund. couldllion they ultimately invest. one of the interesting things, we get a lot of color out of the call. on ais not reliant comprehensive infrastructure plan from the united states government which a lot of people have been hoping for. we have heard this from others as well that they think private capital has a lot of opportunities regardless. scarlet: they are ready to go it alone. the cfo is leaving airbnb. he was seen as someone who would take the company public. >> these are connected. he was the cfo of blackstone, he flirted with th

we've been very much involved -- when i say, it is a team effort in assistant deputy chief tony rivera, james tony reedy, and jeanine nicholson. i believe we've had four or five meetings regarding the auxiliarized water supply system, especially when it comes to establishing increased redone d redundancy for fire suppression in various districts. we have final sign off on anything related to fire suppression for the san francisco fire department, and i'd like to acknowledge director harland kelley and his staff for that healthy relationship and partnership. so we met with the public utilities commission on the 10th, and the past forward basically is that there had been some concern about not having adequate fire suppression out in the sunset richmond districts, and through our collective work, we -- there was a report that analyzed more than a do say options for improved or increased fire suppression for the sunset and richmond districts. it was analyzed both by puc engineers as well as deputy assistant chief rivera and captain reedy, and it was a side by side review. there was a third party

closely and they talked about the deep hedge, and to be clear, short man is not going anywhere and tony jamesing anywhere, he will remain an executive vice chairman. tony has been involved in the infrastructure projects and funds that blackstone has been talking about. schwartzman not going anywhere, he is taking on the role of global statesman and philanthropist. but john will be running the firm and it is a big move. david: without a doubt. bridgwater, we talked about this yesterday because they went short. now today we hear that they are going long. not a huge surprise, because last summer they said they wanted to go to 5% or 10% goal. >> i think i lost it a little bit. interesting to read it and be reminded, especially when he feathered in the comments for the past couple days, where he was talking about the likelihood of a recession. it is fascinating to get a peek inside people's books. alix: that would be talking your book. [laughter] john paulson going have a long gold, maybe those long positions, maybe a lot of it is hedging. that is why investors were expecting -- he eventually did

flip it around, play out a thought experiment we had tony james on the show yesterday from blackstone, he said, look, we could see a correction of 10% to 20% so this could actually go much further and the question is -- >> we're already at 8% with yesterday. forget the losses today. you could be talking about 10% -- >> so my question is, is there anything underneath this either underneath us or psychologically that you think may be taking place where people say, i don't know. i don't know because there have been a lot of people who have been saying i don't know i don't know >> in the beginning of the show, there were a lot of great points mike was talking about it being a stock specific rally you wanted names on the orient express, it's sentiment. analyst sentiment had never been as positive in terms of revisions at any point in the last decade. last monday and tuesday consumer confidence, percentage of consumers were expecting record high stock prices. similar periods where you have seen it, in '87, '98, 2000, 2004 what's common about those periods? very big pick up in volatility goi

first of all, i want to thank you for having me here and i want to thank james bell and toni carter for their presentations. i jotted down a number of things that i'm thinking about as well that could help me in operating the jails. as sheriff, one of my main responsibilities is managing the county jails. now i'm not necessarily the person that puts people in jail, but when people get there, through arrests and stay in my jails, it's something that i'm concerned about and i want it ensure that we're doing what we can to help with the racial equity issue. what do we do? why do we collect data? to better understand who is in custody or sentenced in one of our out-of-custody, alternative programs. 85% of the people are pretrial. 15% or less, sentenced to county jail. most of the people are out on pretrial alternatives. we collect name, age, address, booking number, case number, sf number. we have our own jail management system that somewhat interacts with court management system and somewhat interacts with the other systems in criminal justice and i will echo what christine deberry said. o

tony you just mentioned. you just mentioned going to james here you remember when the quote unquote trump dossier russia ducey it came out how everybody wanted to shop it around after buzz feed let it go everybody wanted to shop and look at this look at that mazing amazing of course they were a bunch of fools they didn't even know what they were reading i read it and thought this is ridiculous from the get go but when it comes to a memo about information that the d.o.j. in the f.b.i. have cole aided and made available to these investigations these committees here liberal media doesn't want to say a word about it except for it will be a danger to national security you know what the liberal media is the danger to national security go ahead james that's right and that's why i'm reserving my let's say excitement and celebration over the release of this memo when it comes out it's going to be a silver bullet to shut this down yes i think some of the cancer may be cut out of .

tony. you just mentioned. you just mentioned going to james here remember when the quote unquote trump dot ca russia does ca came out how everybody wanted to shop it around after buzz feed let it go everybody wanted to shout but look at this look at that l mazing amazing of course they were a bunch of fools they didn't even know what they were reading i read it and thought this is ridiculous on the get go but when it comes to a memo about information that the d.o.j. in the f.b.i. have cole a did and made available to these investigations these committees here liberal media doesn't want to say a word about it except for it will be a danger to national security you know what the liberal media is a danger to national security go ahead james that's right and that's why i'm reserving my let's say excitement and celebration over the release of this memo when it comes out it's going to be a silver bullet to shut this down yes i think some of the cancer may be cut out of the bureaucracy and maybe some of it won't be my concern is that it is fundamental purpose to make sure there could be no rapprochement with moscow tha

as you know, so did tony podesta have foreign ties. that's not unusual. james carvelle has run campaigns in other countries. these washington wheeler dealers do that type thing. what's appalling to me is there was so much money -- i don't know why they didn't do it legally. if they -- you know, from what i understand, it was really -- >> right. >> i don't know why $75 million went through overseas accounts, why couldn't you pay the right people and make sure your books were clean? >> right. and victor, to your point, i think that gates could be a pandora's box for foreign relations, and not in a good way. that gates had two intimate, long-term relationships. one is with russia, via ukraine. the other is with paul manafort. and based upon that, i think there are a lot of open questions for me just from a national security perspective about whether russia was invited on to the campaign. did gates and manafort's, again, long-term relationships with russia in some way influence the way that they ran the campaign, the way that policy was done, meetings that were sch

team will and his all star team will take on lebron james' team sunday night.the giants have reportedly agreed to adding former dodgers reliever, tony bobby evans might not be done. a reunion lincecum could be a possibility. the giants were impressed the giants possibility. could be a lincecum with tim lincecum could be a possibility. the giants were impressed with his showcase in seattle thursday. they would be interested in adding the two-time cy young winner as a reliever.. according to reports... lincecum was throwing between 90 to 93 miles per hour in front of 20 teams. the former giants pitcher says he still wants to be a starting pitcher on a major league team. live look outside... golden gate bridge.. ( marty ) here's a live look at the bay bridge. ( marty ) dave spahr has your forecast... (dave) high pressure over the eastern pacific will hold on for one more day resulting in seasonably mild temperatures across the region. conditions will turn blustery and much colder on sunday as a strong cold front sweeps through the region. there are also chances of showers mainly across the central coast sunday night into monday with sn

her former nfl star come as super bowl champions of burgess owens is here along with tony winning actor and director james nottingham. a big program ahead. another shutdown. congress set to vote on a long-term spending bill hours ahead of the debt. senate leaders raising federal spending on military spending msas the next two years. the debt limit through march 1st, 29 team but its passage is not assured in the house for some fiscal could serve as they're going to vote no here. >> this spending bill is a dead junkie's dream. in all probability, he would embark america on a trillion dollars per year at deficit until such time as we suffer debilitating with all the solvency that would ensue. i'm only now, i'm no. maria: chris collins on new york dear congressman, good to see you. thanks for joining us. are you also a know on the spending bill? >> i'm actually a guess. the more moderate factions of the republicans, something we call the tuesday group. for us, we are typically the northern states new york, new jersey, ohio and pennsylvania. we realize we've got a divided government and in this case, my focus

the street to the wilma theater and joining me now, james, who is the managing director here and also the stage manager pat adam. so you guys have a tony award winning musical going on. what is that like for to you bring the first ever philly theater week here? >> we are thrilled being in pa part of theater week. great coming on the heals of the eagles big win, and the celebration that we have had, it is great now to celebrate arts and culture here in philadelphia to celebrate, and the theater community we have in philadelphia, the wilma theater has been in this community for more than 40 years. and here on the avenue of the arts more than 20 years, and to be part part of it. >> and i think with a w with the dis coin dollars price as lot of the audience, who may not be familiar with the scene , have a chance it view that. what do you hope to take away about the arts scene here in philly is. >> i certainly hope they take away arts in filicin yesterday bridge accessible, so much to experience, weaver rock musical playing, plenty of other things playing in our city. and i think if they just go to today tickets and find the experience that

. >> la rienda suelta de mi amor ya estÁ y tony no se va para ningÚn lado. >> vamos con el chef jamesengibre ahora muy fÁcil, vamos a tomar por acÁ pinzas con estas voy a tomar las alas y las voy a dejar que sencillamente se metan en este spa de sabor espectacular lo vamos a poner a nadar por entre dos a 6 horas. >> eso se mete en el congelador. >> pero estas acelerada con la receta. >> he aprendido de ti. >> veo que estas haciendo las tareas. >> vamos a dejar marinar como dos a 6 horas para llevarlas al horno, cÓmo las vamos a hornear, me gusta utilizar un recipiente en el cual vamos a ponerlas se van a empezar a dorar y lo mÁs importante que van a crear el pegado en el fondo de la piel con el vidrio que es realmente delicioso, asÍ como por arte de marÍa han pasado tres horas vamos a tomarlas de ahÍ y ellas ya tomaron un poco el sabor de la soya, del ajo y entonces conforme se empiecen a cocinar a fuego lento en el horno van a desarrollar el desgraciado espectacular que cuando salgan vamos a terminar con una sorpresa n vamos al horno 365 gradososamos a poner por prÓximamente 30 minut

have a companion guide written by tony morrow, landmark cases committed the book of state 95 plus shipping and handling. to get your copy go to c-span.org. >> to say james madison and air force general testify on the pentagon's national defense strategy and the 2018th review. five coverage at 9:30 a.m. eastern. you can follow on c-span.org for the free radio app. >> "washington journal", live every day with new some policy issues that impact you. tuesday morning don bacon discusses the house intelligence committee memo in this week's funding deadline. then jim heinz on the release of the committee memo on the latest on the investigation into russian interference in the 2016 campaign. watch "washington journal" on tuesday morning. join the discussion. >> monday afternoon members of the house intelligence committee for the to release a democratic memo on the russian investigation to the white house. the report challenges the member by noon is claiming inappropriate action by law enforcement agency. the university of texas at austin on that response to the memo. >> the first guest of the university of texas he's a law professor their covers national securi