wilfred: good evening. charlie is away. i am wilfred frost.leaned again this evening -- we begin with foreign policy. president trump arrived in france for a visit with emmanuel macron. the two presidents held their first official bilateral meeting. today also marks the one-year anniversary of theresa may becoming britain's prime minister and the day the united states reached its refugee camp. -- cap. joining me is matthew barzun. he recently stepped down from his post as u.s. ambassador to the united kingdom, and david miliband, the former british foreign secretary. i'm pleased to welcome both to this table. president trump's visit to france. earlier today, he held a press conference with emmanuel macron. the tone compared to their initial meeting at the nato conference with the infamous strain handshake between the did two, point today to signs of improvement. how do you think the president is viewed in europe at the moment? >> you don't have to take it from me. you can look at the polls and they are pretty clear that president trump's posit

i'm sara eisen here with wilfred frost.for some top friending sto trending stories "dancing with the stars" wants to waltz with sean spicer. the dance show has reached out to spicer about joining. rick perry competed last year. he's the current energy secretary. he was voted off in the second week do you think he'll do it >> the bigger thing is the story reported that he had endless meetings with all the broadcaster s over the last several days >> that's different. that could be about being a contributorment. >> i'm surprised about that. for someone criticized for his role and had a short tenure, i'm amazed at the interest good for him i hope he makes the most of it, whether it's dancing or -- >> what about anthony scaramucci say when he left i hope he makes a lot of money. >>> canadian prime minister justin trudeau gracing the cover of "rolling stone" magazine. the feature discusses his relationship with trump as well as lighter subjects like his love of snowboarding he has a big fan base. "rolling stone" magazine part of

i'm wilfred frost along with courtney reagan.r must-read stories my pick is in the "wall street journal. is the republican congress hopeless karl rove writing as an optimist and only an optimist can view the situation this way, i'm hoping this plays out like a made for tv drama. the protagonist appears near certain death at the commercial break but it saved when everyone returns with popcorn after the final geico advert it's a good read he's critical of the republicans for not achieving much, but hopeful that it comes around and comes back together. made for tv drama. i suppose donald trump would hope this particular episode is not reality tv and will get to conclusi conclusion >> truth is stranger than fiction. you can't write this stuff miraculous time we're living through in washington. my pick is in the "wall street journal. a bad gop dream. it explains the ten state attorney generals have written to jeff sessions requesting an end to an obama program called deferred action for childhood arrivals, it allows children of illega

i'm wilfred frost along with seema mody let's look at the market action.he big story is the dollar moving lower on the back of that news that republicans in the senate had to drop the repeal and replace of obamacare the dollar is slipping 0.6% against the euro decent move there. also moving down about 0.3% against the yen. the biggest mover is the aussie dollar up 1.5% rba minutes came out this morning. the pound is softer. it was up about half percent it's down 0.2% because of soft cpi data out of the uk yuf sofft that move. futures are basically flat, up about 0.10% for the nasdaq coming off a day for flat moves yesterday. >> still ahead on the show, a round up of today's top stories including the big news that broke overnight on healthcare. we're live in d.c. >>> and unbreakable netflix. more on the monster quarter for e coanthmpy. "worldwide exchange" will be right back leadership is instinc. they're experts in things you haven't heard of - researchers of technologies that one day, you will. some call them the best of the best. some call them veterans.

i am courtney reagan with wilfred frost. look at u.s. we lost a little ground from the last half hour or so if the dow-jones opened, if would be five points higher, and nasdaq by four points. s&p 500 would slip ever so slightly if you look at what's going on with the dollar and other currency, beginning of the week as well on friday, we see here that the euro is around 114. it is now below what is key resistance level we will watch that fairly closely here and the pound is something to watch, especially after the action last week >> broader dollar index losing 0.9% last week >>> making headlines elan musk speaking out against artificial intelligence, addressing the national governors's association conference over the weekend. >> ai is a fundamental existential risk for human civilization i don't think people fully appreciate that. i have exposure to the very most cutting edge ai. and i think people should be really concerned about it. i keep sounding the alarm bell, but until people see like robots going down the street killing people, l

i'm sara eisen here with wilfred frost.must-read stories catching our attention in the papers actually on projectsyndicate.com, titled "the new abnormal in monetary policy" by nouriel roubini, often known as dr. doom. it looked at the choices that the fed and other central bankers will have in the event of a downturn, or god forbid, another recession, given how extraordinary the policy is right now. yes, the fed is tightening, but only a little bit, and the ecb and the boe and the boj, they're still in super easy mode and so, what he concludes when he goes through the options is either raising the inflation target, pumping more qe, or going to negative interest rates. roubini says the choices they will make will depend on how they weigh the risks of bloating their balance sheets, imposing costs on banks and consumers, pursuing possibly unattainable inflation targets and hurting debtors and producers at home. i.e., there will be no good options and there will be costs and consequences to all of the options because of how far

i'm wilfred frost along with seema mody time for our must-reads. street journal. it's by the former undersecretary of commerce ind president clint under president clinton. neutrality for thee, but not for google, facebook andalson. america needs google, facebook and the like to prioritize, discriminate and mine users data at will threatens democracy and makes the internet neither op nor free it goes through the particular arguments of the eu fining google worth the read getting your head around the complicated issue on whether you repeal the net neutrality idea of 2015, obama's position on that and how it benefits people in the opposite direction. >> as you say, complicated topic. we have not seen a lot of progress on that front we'll see if washington can get to it. >>> my pick is in "the financial times. challenge is too easily ducked by today's workers the und he writes about the anniversary of the death of adam smith, reflecting on smith's warning about the deadening effect of repetitive work. he says being an e-mail ninja looks professional an

wilfred: good evening. charlie is away. i am wilfred frost.resident trump arrived in france for a visit with emmanuel macron. the two presidents held their first official bilateral meeting. today also marks the one-year anniversary of theresa may becoming britain's prime minister and the day the united states reached its refugee camp. -- cap. joining me is matthew barzun. he recently stepped down from his post as u.s. ambassador to

i'm courtney reagan in for sara eisen. >> i'm dominic chu in for wilfred frost. >> we have taylor swift to start us off >> you're along for the ride it will be a fantastic day let's check what's happening with the markets we are seeing at least a little bit of perhaps recovery maybe some stability there in some way. the s&p futures indicated to open up by two points. the dow jones average down by 1 point right now. the nasdaq again showing signs of gains we were working on eight straight days. we got that yesterday. so now we'll see if we can build on some of those record highs for the major indices. the ten-year, we are seeing movement there we have seen a little bit of a trend higher eventually. now you can see 2.27 the last trade there. that down trend in yields for the past week or two is now at least showing a little bit of stabilization. we'll see if that stays the case as well. also on the corporate side of things, shares of ibm under pressure the company reporting its 21st consecutive quarter of declining revenues the tech giant says revenues came in at 1

i'm sara eisen >> i'm dominic chu in for wilfred frost. >> welcome good to be here. >> he made it throughis bike ride >> he did. the pictures are on instagram. congratulations. >> success it looked really hard. >> it did. you have to be in shape to get through something like that. >> he trained a lot. hard core training of new jersey >> there you go. >> he made it to monaco. let's check in on the global markets. u.s. equity futures starting off after a holiday closed day yesterday and a half day of trading on monday. dow futures up about 15 points s&p futures down and nasdaq futures are under some selling pressure this morning, down 21 tech underperforming even though we got a big rally on monday during that half day of trading. we'll talk about that in a moment ten-year treasury note yield, higher higher yields last week. higher yields on monday. that's the dominated theme they're going higher again this morning. watch this carefully, the speed of the move is something that is catching people off guard. is it too fast is it what's disrupting the tech rally? 2.3 2.35 is what we're looking

>> i think so wilfred. we've seen this play before, right? the debates about a debt ceiling and the budget the atmosphere in washington today is so toxic, not a political statement, just an observatio observation, it's likely both political parties choose to make a football out of this to choose to make their point. that doesn't necessarily impair market values but does have a negative implication i think you could see more price volatility >> historically that's been buying opportunity -- >> historically it's been a buying opportunity and if the earnings growth is still in place it will be again this time around so there's two dynamics that we're watching not only the earnings strength in the third and fourth quarter of this year, but the possible impairment, sentiment that takes place because of debates in washington >> the long end of the curve rise being -- we talked now about flattening however, for the last week, it's actually been deepening, the sell-off in techs and some -- you know, anything with a very high multiple. do you believe

i'm wilfred frost.ara eisen will join us momentarily. we begin with the late breaking news out of washington senate republicans failing to repeal obamacare in a dramatic late-night vote on capitol hill. three republican senators broke ranks with the party and voted against the repeal the gop could only afford to lose two votes mitch mcconnell conceding defeat after the bill failed. >> so, yes, this is a disappointment a disappointment indeed. our friends over in the house, we thank them as well. i regret our efforts were simply not enough this time >> we also heard from president trump. he tweeted three republicans and 48 democrats let the american people down. as i said from the beginning, let obamacare implode then deal. watch. let's get reaction from cnbc's john harwood good morning to you. this happening hours ago gauge for us how big a surprise the defeat was give than this was such a reduced repeal bill >> very big surprise just a couple days ago, john mccain had returned from arizona where he had

i am wilfred frost with sara eisen. us, founder and head of research at clear nom imcompetents good morning to you. the story was pick up and yields come away from that a little today. either way yields are significantly higher what are you expecting from janet yellen's testimony, will that change that trend of the yield. >>. >> i think last week showed there is strength in the economy, its validation and not just strength of economy but corporate health and financial stability. we expect yields to continue to rise, if the fed continues to raise rates, expect the ten year to get above 3% in 12 months you may have quite a yield curve, you will see higher rates on that curve. this should be positive for equities across the board. this is val indicatiidation thag we have seen is real and should continue for some time. >> doesn't appear to be taken as positive for equities, in the last few weeks we have seen significant volatility for what weech opinion. >> the vix has kind of lost some of that luster you're seeing moves in

. >>> i'm sara eisen >> and i'm wilfred a warm welcome back to you >> it's good to be back. so what did i miss euro at a two year high. anthony scaramucci briefing the press, that was interesting. >> there has been so much. there was a time you used to think it could hit parity. 17% precisely. >> yeah, i thought that a little bit. >> bad timing for your trip. >> but earnings have been pretty strong and the stock market is yet again at a record high let's check in on global markets. equity futures following a worldwide rally on the back of strength in the u.s. strong commodities the move in copper yesterday pretty nice. dow futures up 21 points s&p futures up 2 and nasdaq futures up 5 oil moving higher. take a look at the price of crude. wti 48.30. brent crosses over 50. 50.52. and even nat gas >> asian equities mostly positive this morning as you can see. a little bit of red in south korea, but elsewhere a decent enough gains most of the markets. european trade up over half a percent yesterday and yet again today. you've got france up 0.6%, it has been a decent week for euro

>> well, wilfred, snap, for us, last year was about $100 million out of $400 million we invested withut $100 million. this year, we're forecasting about $200 million so if you -- if you project that for snap as a whole, their total advertising revenue should be around about a billion i think there's been some controversy as to whether that will -- it will reach a billion or not but when you compare that to google and facebook, facebook at around $40 billion, google at around $90 billion, our spending with facebook last year was about $1.7 billion this year probably well over $2 billion. google, under $5 billion last year, a little bit over say $5.5 billion, $6 billion this year. so what we will see is still significantly greater spending at google and acebook. facebook, it's almost 20 times what we've seen or google is 20 times what we've seen. >> with facebook and instagram successfully copying some of snap's most popular features do you think that snap has a chance to be a significant -- >> that's where the battleground is snap obviously has been copied, plagiarized you could say, b

greg: wilfred brinley. tyrus, everyone assumes that it's a dog to talk but if you have read the bible like i have it's going to be a snake and it will make you do some scary [bleep] [laughter] >> okay. do you want me to talk about the talking snake in my ear? greg: exactly. what you make of the stuff? >> it's a scam. i'm pretty sure your dog was late morning, tyrus, did you check your amazon yet? [laughter] what if it's not -- for me, personally, i talked to my dog. you have a whole different level of medication. get the ball. he brings the ball back or something close to it. that's about as deep as my dog conversation goes. greg: i have a theory before we go. there's only one thought that all domestic pets have. i am only showing you affection because i know that you can kill me. this is my survival mechanism. my big eyes and me licking. that's my survival mechanism. we are like the robots in westworld designed to please, not by choice. how do you know this is true? compare a domesticated pet to a wild ani

wilfred frost is here with more. >> that's right, michelle. and here is the main part of that rant dimon referring to the excessive gridlock he sees in washington. >> since the great recession which is now eight years old we've been going at 1.5% to 2% inn spite of stupidity and political gridlock because the american business seconder is powerful and strong and is going to grow regardless i'm saying it would be much stronger growth had we made intelligent decisions. >> now, instead, we'll play the right bite which we have now here is the main part of that rant >> we have become one of the most bureaucratic confusing litigious societies on the planet it's almost an embarrassment being an american citizen traveling around the world and listening to the stupid [ bleep ] we have to deal with in this country. >> it's important to note that he was referring to the last decade broadly, not specifically washington today and his main point as we heard is that growth is resilient overall and has over the last decade grown despite gridlock but certainly

good morning welcome to "worldwide exchange" here on cnbc i'm sara eisen >> i'm mike santoli in for wilfredrost. >> let's check in on the global markets before we take you to europe show you what futures are doing in the wake of yesterday's session which really showed markets little changed the nasdaq did outperform. it broke its three-day losing streak plenty of moves to talk about. tesla down 7 costco reporting great same-store sales overnight we'll get to that. here's the future setup. nasdaq down 13 dow futures down 8 s&p down 3.5 the ten-year treasury note yield, took a step back after climbing pretty steadily over the last week or so. looking at the ten-year now, a little bit firmer, 2.34. kind of a mixed message from the big event yesterday which was the fed minutes from last meeting, not really a consensus on when to start shrinking the balance sheet or raising interest rates in a period of low inflation. the word is that that will proceed as planned dent give traders much to trade on in terms of new and different. there's the ten-year treasury yield. the top story the president kic

. >> i am in for wilfred frost let's get this party started if you will global check of the markets.utures indicate a lower open to start. s&p 500 indicated to open down by four points dow-jones is off by 40 points, nasdaq by 11 as well a little weakness to start see if that firms up throughout the course of the morning premarket trading, especially in futures market quick check on ten year treasury note yield we have been focusing on that more because of that near term downturn we have seen. seeing a little up tick, 2.3% the last trade for u.s. government debt. >>> look at what happened overnight in trading markets here are mixed, the chinese market actually higher japan nikkei down 0.6% overnight. asian markets tracking what's going on here in the united states in regards to equities, with action from friday, the dollar touching 13 month lows. getting queues from that however, main land chinese stocks are higher at least overnight. economic data from europe, the flash composite pmi coming in below expectations you can see european equities are trading lower. they were higher to sta

i'm dominic chu in for wilfred frost. >> i'm morgan brennan in for sara eisen it's new music friday,e're getting your weekend started with a brand-new song by zed and liam payne called get low. what do you think? >> i kind of like it it's firing me up for jobs friday also makes me feel like i'm in a club on a saturday night >> i hear get low, i'm thinking lil john >> and the east side boys for sure let's check the global markets there is some stuff going on ahead of this big jobs friday. if you look at the u.s. equities picture, it's generally flat, maybe to be expected after a down day yesterday things are holding steady ahead of that 8:30 a.m. eastern time jobs report. you can see the implied open for the dow, just about one point. the s&p about two points nasdaq up by about five. as we look at the ten-year treasury note yield, a key focus for traders and investors over the past week or two, given the bank stock run, global rates all over the place, right now a slight tick higher in yields 3.27%. following global rates higher, but there are some forces at play here elsewhere around

i'm wilfred frost. >> happy friday. and it's new music friday.re kicking things off with demi lovato's sorry not sorry this is a very common catch phrase for millennials >> a catch phrase from you to me as well. >> exactly >> let's check on the global markets. t s&p 500 saliying sorry not sorry as well. still in the red by two pintoin but up for the week. dow as well and tech the stretch best performing sector, telecom the worst. pretty much flat across the three this morning ten year treasury note ticked up fractionally again yesterday 2.34 level again this morning. >> hong kong stocks best weekly advance in a year. that has helped asian equities in general a positive session for the day and also for the week. japanese nikkei closing up above 20,000 shanghai composite and south korea equities seeing gains, as well the 100 day plan could be revealed as early as monday where we use see some progress made on trade. looking at european quit withity equities, two bright spots were italy and spain. and we're watching president trump as he continues hi

wilfred, asked about the volatilist of the business and how do dampen it, he said at a granular molecularevel, we're working on it. that's pretty little so much, he says, is blocking and tackling and looking to see where there are gaps in their client coverage and the ability to on board new clients and serve them they'll be pressed on this, i would expect. >> they are being pressed on it. most of the questions -- you mentioned that client coverage because a couple of analysts focused on that saying i know you're saying it's down to low volatility and commodities, in particular, of the fic & c but pushing on declined exposures and why are yours worse? he didn't have a clear answer for it yet i guess you've got to say, look, is this another one off or is it a bigger trend are they trying to take focus away from the trading business and put it into the lending business we've seen a bit of a trend there. they haven't given us an answer yet. >> goldman shares down about 5% this year and down a bit today wilfred frost, thank you. >> overall, too, when you look what's happening with yields toda

wilfred frost has more on bank of america earnings.promised you went through and looked at the most minute details of this. >> i have, indeed. a bigger bonus to come when meg comes on but let me go through some of the geeky numbers i love first of all as you already said in terms of eps, 46 cents a share. revenue 22.8 billion versus expectation of 21.8. the core part of the business, the consumer and business bank about 45% of their earnings. 8.5 billion versus expectations of 8.4 billion so pretty solid number that meant net income within that part of the business $2 billion. does show that they continue to keep costs under control there operating leverage, slowly coming through still for bank of america in terms of the rate hike cycle what does this all mean in terms of net interest income across the whole business up 9% at 11 billion. so you say that pretty solid, better real little than the jpmorgan number which was up 8.5% net but they don't have the guidance going forward for net interest income that jpmorgan had so in terms of t

i am wilfred frost. we begin with foreign policy. for a visit with emmanuel macron. the two presidents held their first official bilateral meeting. today also marks the one-year anniversary of theresa may becoming britain's prime minister and the day the united states reached its refugee camp. joining me is matthew barzun. he recently stepped down from his post as u.s. ambassador to the united kingdom and david

wilfred frost joins us with the details. andrew, yes, so yesterday we saw goldman sachs basically beat on every single line apart from mixed income commodities and currencies morgan stanley have managed a small beat on every single line. so eps has come in at 87 cents versus expectations of 86. revenue $9.5 billion versus expectation of $9.1. let's dive straight into that trading because it's the really juicy talking point in terms of the fixed income performance came in at $1.2 billion. estimate was $1.1. equity, $2.2 billion the estimate was $2 billion. the clear beat there coming on the fixed income line because others had done well on equity, they're really stand out on fixed income and really important, though, how they differentiate from goldman sachs. not just the others, because one of goldman sachs' excuses more last quarter than this quarter was that they had a different mix than the other universal morgan stanley and goldman sachs were pretty similar client mix but morgan stanley beating on fixed income where gold

the beat on the top and bottom line wilfred frost joins us now with more on these numbers. kelly, yeah, the beats very much coming more on the bottom line than top. revenue a bit of a beat $26.4 billion versus expectation of 25 but the eps, the leading part was $1.82 expected to be $1.58 here's the key line, they say it was primarily driven by the net impact of rising rates and loan growth partially offset by declines in markets. a growth in the net interest income because it's better net interest margin because of rising rates is the key reason for the beat but as we said there, slight disappointment in markets. so trading overruled, down 14% this was forecast, of course, about six weeks ago by all of the banks that trading would be down, and jpmorgan basically within the range of what was expected, fixed income very much leading those declines, down some 19% equities only down 1%. that's worth focusing on briefly, because that will bode well for morgan stanley. within capital markets, morgan stanley has 52% of its revenue from equities. jpmorgan 26% of the investment bank

from the nasdaq marketsite in times square i'm michelle caruso-cabrera along with joe kernen, and wilfredrost has just joined us in studio sharing his thoughts, jim paulsen, chief investment strategist futures at this hour are suggesting a positive open let's show you what going on there. dow would open up 48 points, the s&p 500 by 6 and the nasdaq by roughly 27 headlines, janet yellen heading for the hill today the fed chair will testify before the house financial services committee this morning with another appearance tomorrow before the senate. we'll have more on this, and the potential impact on the markets in just a few minutes. we're going to be interview be jeb hensarling, chair of that committee. another fed related event will occur shortly after yellen concludes her testimony. central bank releases its so-called beige book not very exciting but sometimes the market reaction is that is the region by region assessment of the u.s. economy that's at 2:00 p.m. eastern time smack dab in the middle of power lunch so make sure you watch and we may have another stock sector to follow inde

i'm melissa lee along with joe kern an and wilfred frost.ike we'll have a positive open. the dow extending its record-high close. looking at 22 points at the open the nasdaq on the longest winning streak since may, looking at about 22, s&p up 3.5 this morning shares of target are higher. the company says second quarter earnings will come in at the higher end of its prior guidance and comp store sales will be positive customers are responding positively to changes that target has implemented those shares are up by about 4.3% another premarket winner yandex. it will be combining its ride-sharing services with those of uber in russia and surrounding countries. it also specializes in mapping, search and navigation technology those shares popping 15%. >>> investors will look at two key economic reports weekly initial jobless claims as well as june producer price index. claims are expected to be down slight slee while the ppi is expected to be unchanged for the month. >>> delta airlines releasing quarterly results and this must be important becaus

wilfred frost has been digging through the numbers listening to the conference call and joining us with more the last of the big banks to report looks good. >> very good indeed david. so james gorman said he was pleased the firm delivered respectful numbers despite obvious head winds and singled out three tail winds that could improve from here. capital tax reform and interest rates. here are his comments on taxes. >> u.s. corporate taxes are too high if the administration and congress can achieve a sensible realignment of tax rates with other major developed economies that would be a clear positive for our business and corporate america in general. >> worth noting that morgan stanley's tax rate was 32% ie very high that's the positive view while the ceo said the current uncertainty of taxes regulatory reformand broader political landscape will likely weigh on activi activity despite that investment banking performance was upbeat wealth management also strong with margins hitting the top end of the target range of 25% but it is trading that delivered the beat relative to pooers. equitie

goldman sachs the biggest loser after its earnings report out this morning wilfred frost is here to break that down for us. >> goldman sachs failed to navigate the market as they aspired following another good quarter in the markets and currencies business. here's their show martin chavez. >> the primary driver for the declines sequentially are year on year. was lower client activity with all the drivers that we -- that we discussed, lower volatility, less dispersion, less opportunity. commodities is a story of challenges on all fronts, and there was lower client activity and also a difficult market-making environment. >> this was the worst ever quarter for commodities since the company went public. it's also the second quarter in a row of significantly worse trading than peers and equity markets have been slipping since 2009 it, therefore, dominated the earnings call but ceo martin chavez did not settle analyst minds. the result being investors are unsure whether this is cyclical or structural regardless of small beats in other business lines. bank of america delivered solid numbers. the

the picture there is true wilfred —— jo—wilfried tsonga, trying to keep his cool amidst all the flying wimbledon. not a pleasant condition. i think we will see some of those shots surely when we go down to wimbledon. the daily mail also enjoying the british successor wimbledon. four british people in the third round, first time for decades. also, the change in engines for volvo cars. lots of wimbledon stories on the front page. especially with those flying ants. there they are. there were some an amazing slow motion shots. you could see them zipping around as the players were playing and then with the amazing cameras they have now... they are causing a few problems. people having to brush them off, use special lotion... some players said they had swallowed them. one day of they had swallowed them. one day of the year, they all come out. sally is that wimbledon for us this morning. do not mess with sally. if you are an ant, you don‘t have a chance. they are absolutely everywhere. good morning, both of you. we really struggled with the flying ants yesterday. it was like being in some kin