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tv   Squawk Alley  CNBC  September 6, 2016 11:00am-12:01pm EDT

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♪ welcome to "squawk alley" for a tuesday. i hope you had a great summer and long weekend. i'm carl quintanilla along with kayla tausche and jon fortt. guys, good morning. apple is set to lift the curtain on its latest lineups. this as the company's reportedly boosting part orders for the newest iphone 7 in anticipation of higher than expected demand. jon, let's start with you on this one. can we read this tea leaf accurately? >> i think we can. i'm worried, carl. if the headphone port is removed as we expect, this is apple's most controversial design change ever, and i say that because yes, they have removed floppy drives. yes, they have removed optical,
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but did it from computers that had tiny market share. the iphone is the trail blazers in smartphones and touch screen devices. currently there are two ways to get information off this device, the screen and the headphone port. the lightning connector, too. you take one of those and you've dramatically reduced the number of ways you can interact with the device, a square reader, microphone, any number of devices. will they end up being right in the long term? maybe. but big deal. >> i just don't get it. this is a very evolutionary update. why do the phone port now? why not do it with a bigger revolutionary update when there's a clear quid pro for the consumer. i think in the long run they'll
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do fun. >> some of the product companies i would argue like it. square says it drives merchants to drive the higher-price new touchless reader. there are some companies, beats included, that might actually benefit from this. >> i'm sure there is an element of built-in object so lessens. remember the mac drive air, and it didn't have a c-rom drive, and everybody went crazy. it turns out they just ledded market. i think the phone may by too mainstream to lead the market by that much, like jon said. >> it's one thing to lead the market with one product. one thing laptop, but you have a new mac book prothat people can
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buy. you want a new iphone chances are you're going to have this one option. let me take the other side and say probably from one infinite loop in cupertino, they say sometimes the leader gets bogged down in legacy technology, they don't move forward, because they're worried about people who will feel left behind. let's not be like that. let's go boldly where no man has gone before. maybe they need to do this. and they're just willing to take their lumps this year. i don't know. >> we tend to give them hell either way, right? >> very true, but they're going to have to convince me. i like the auxiliary connector in the car. i don't know, you take that away from me? i don't know. the other big story 121st
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century fox settling with gretchen carl son, according to a -- the settlement is around $20 million as ailes himself is reportedly preparing to sue for defamation. the more interesting question is the future of fox as a cash machine for the murdoch empire. does it change anything? >> i don't know. they built a loyal and large audience, but let's face it, it's the wrong audience. if you look at the demo of fox news, the average age of the viewer is dead -- i'm sorry, it's 68, but it's aging. base so i don't know, that loyal audience sticks around, but it's clear you don't settle for $20 million if you're innocent. >> i also think this is a complete mess and has been, but
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they have handled it quite efficiently. they did it quickly, cleanly, even the settlement has come across quickly. so i obviously don't condone the actual allegations, i do think they handled it -- >> carlson said it in her statement, she was impressed how efficient they in attackings issue. having said that, $20 million for a lawsuit is quite a high price, and there are others who have come forward with wsh we don't know if there's similar allegations, but is there a chance that fox has too continue paying sums of this magnitude? >> i would not be surprised at all. if you read the carlson settlement ailes has to pay some of that. >> i think the bigger question is what happens, there are reports that greata van sustern
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is leaving fox, and there are other avenues that they have for exposure. it will be interesting to see how the deck chairs move. as you say about the wrong audience, i don't know is the right audience even on tv from a broader perspective? a lot of people may say that's money that a lot of networks would like. >> good point. if this ages right-wing audience is up for grabs, maybe post-election we will see trump tv. >> how would you handicap their chances? would think essentially be battles over the same audience? ostensibly so. >> it's hard to launch a network. fox is the only broadcast network that has launched successfully so it's hard to do. 1. >> we'll be talking about this
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in a bit with "vanity fair's" sarah ellison. she will join us at 11:40 eastern time to talk more about her piece. as tesla looks for another round of funding, elon musk asking employees to tighten their purse strings. an internal memo, musk tells employees, quote -- i'm confident we can rally hard and push the results into positive territory. it would be awesome to throw a pie in the face of all the nay sayers on wall street who keep insisting that tesla will always be a money loser. how dough handicap hi chances production-wise? >> this is a high beta stock. quite literally this defines the expression going for broke. he's already admitted they need more funding, which is why they want to curry favor and be
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viewed positively by wall street. we have never seen such dispersion in analyst expectations. you have a spread of 160 to $500 a share among different analysts. that tells you there's a wide variety of perspectives that this will make it or not. he's going for broke here. the whole merger with solar city. he has a miss and a goal here to do something much, much bigger. you know, that carries risk with it. >> jon, there's only so many times you can send that e-mail, right? after a while you can't breathe if the belt is tightened to a certain extent. that's sending some kind of signal to investors. >> let's tighten the belt for in quarter and hopefully show some profitable, but i -- i agree. 19 analysts surveyed, seven who
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said the hold, seven who said buy, five who said sell. on one hand you have productivity problems, $600 million of cash burned in the first six months. on the other side of ahn explosive, the best entrepreneur on planet earth and an incredible brand. >> better entrepreneur, bezos or musk? >> bezos so far. musk is a great visionnary. seeing him speak is like watching the fifth element or something like that, whereas bezos, he's more like us -- i'm still quite a ways, but more like us, just super, super smart. >> bezos is apple, musk is google, right? musk is talking about what might be and bezos is delivering? >> exactly. >> we can't late to hear from him and apple this week. thank you terry and jon.
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meanwhile, markets are mixed this hour. the dow down by 27 points. nasdaq has flip flopped between gains and losses, and it's very close to the flatline. we did get isn services this morning, the lowest reading in 6 1/2 years. wall street will be watching that after friday's jobs numbers. printing stocks jumping on nuts that ge is buying three small european firms, and you can see it's having a halo effect on the sector. check out airs of amazon.com, fresh all-time highs, the stock up better than -- currently setting at -- box making an announcement. and the rice and fall of elizabeth holm and theranos.
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and morgan freeman on the next episode of "binge." when "squawk alley" couple times back. there are many things you don't want in industrial strength- like cologne. morning! but there's one thing you do. (gags) it's called predix from ge. the cloud-based development platform that's industrial-strength strength!
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introducing wifi pro, wifi that helps grow your business. comcast business. built for business. box ceo aaron levy is in san francisco with our josh lipton. josh, over to you. >> thank you, kayla. aaron, thanks for joining us. we should mention you come
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bearing some props today. walk us through this hat. >> this is not a prop. it's a symbol of what we're trying to accomplish. we have our conference this week, and it's all about how do we dramatically improve the way that people get work done with all of their enterprise software and collaboration, so we definitely want to make software great again. >> this is not an endorsement of any political party. it's just about software. >> so aaron, one of your it things is the way you think work is done is broken. >> how will this fix that? >> we want to drab tickly range the way people work, collaborate, access their share. we have 66,000 customers, in 60% of the fortune 500. but there's so much more we can do. when you look at how -- in more
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collected, more data driven, we still see so much response. so we announced box relay jointly developed with ibm. it's about helping you streamline that routine daily work, whether it's processing invoices, sending out sales contracts, getting, you know, different kind of contracts reviewed, we want to help you automate that, so taking the best of box's simplicity with the robust workflow technology delivered as a new solution, so this dramatically expand, but allows you to make box be the place where all your work comes together. >> jon, you had a question for aaron? >> i do. thank for joins us. >> hey, jon. >> if i'm reading this correctly you had 4,000 new customers in your last quarter, up from 3,000 new customers in the year before. my question is, how much are you
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having to spend? what kind of incent i was are you giving to get the customers in the door now? and how does that compare to a year ago? >> when you look at the top-line numbers, there is a dramatic improvement in efficiency. as a persons of revenue. our revenue grew 30% year over year, billings grew 34% in the q2 we just announced. a lot of the volume is driven by more efficient sales channels, so bringses new customers on board by our online channels, where they don't have to talk to a sales rep. at the same time, we still dramatically grew the number of big deals that we sold into the enterprise, so 45 deals over $100,000 that were new subscriptions. so we are growing at all segmen segments, but doing so in a much more efficient manner. >> so talk about microsoft and
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drop box, what are you see when you look across that competitive last scape? >> we seep our customers bringing in to many solutions. file shares technology, with fog and the all-new approximate, we want you to buy one solution where all of that work can come together in one place. on the other hand, with a lot of these larger incumbent companies, we actually have great partnerships. we know the future will be about customers will use office 365, use salesforce, slack, docu-sign, ibm, we want box to be all the place where all that work comes together, so we are the place you can secure, manage, organize, and store all that data. but we know we're going to be partnering with a lot of other players to make that happen.
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>> i'll bet there's a lot of investorses who say they want exposure to the cloud, so they buy amazon, salesforce. when you talk to the investors i own amazon, counter. rm, how do you convince them they should own box, too? >> i think we're in a different category. when you think about amazon, you're buying into infrastructure, which is an amazing opportunity. in fact we use amazon infrastructure for a lot of our operation. if our buys crm and believing in sales processes, marketing processes, all of that moving to the cloud. with box we're more about the end user product activity, so all of the daily collaboration, product development organization, so we're in a slightly different category, because we're about where everybody is collaborating to produce the final output that that organization is all about. so in life sciences, it's about creating new drug discoveries. in media, it's about creating a new blockbuster film. in manufacturing it's about
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shipping your new product. that's what people are collaborating on when they use box. so it's a very different category from both amazon and salesforce. >> kayla, you had a question? >> i do. we talk so off about companies being able to use the cloud, but there appears tore a land grab for government clients? i know the department of justice is a customer of yours, but in this election cycle where we're talking so much about the i.r.s., office of personnel management have been hacked, even national committees have been subject to hacks. what can box have done there? what could cloud companies have done differently that the federal government is not doing? >> yeah, it's a great point. when you cloud first started emerging in the mid 2000s, the initial fear was my gosh, i'll be losing control of my data, but what it turned out is as cloud companies invested in more and more modern and up-to-date security systems. we can patch our servers much
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faster than any on-premise environment can. we invest more deeply in security than the vast majority of enterprises are able to do. you end up getting much more modern security where you can govern, protect, control information. so we finally reached this point where the security you often get dramatically excites what you can -- all of those individual hacks, in general ute get a modern state of capabilities, maintains governacy u. your encryption keys, getting analytics and events. so that is why many of them are choosing box, because we can end up giving them the tools to help them stay protected better than what they could do in their own traditional environment. it's just comparing 10, 20, 30-year-old technology to
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technology that's incredibly up to date and adapting in real time. aaron, a great wide-ranging discussion, sir. thank you very much. >> thank you very much. take care. also josh lipton, thank you. are the media and silicon valley partly to blame for the rise and fall of theranos and its founder elizabeth holmes. and carl sits down with morgan freeman for the knicks emsolve of-- episode of "binge." >> do you care if you're seen on an ipad or 70-foot screen? >> i don't kay. yeah, just look at me.
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swranity fair's new issue has a deep dive on theranos. nick builten recounts the damage control that it went, including rushing into an interview with
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our ven own jim cramer. >> this is what happens when you work to change things and first they think you're crazy, then they fight you, and then all of a sudden you change the world. >> or not. nick billton joins us now. thanks for being with us. one of the things that struck me about this is her professors even early on are arguing against the efficacy of the method that she was trying to use to analyze blood, and she stiff is kind of hanging on to her story even now itches what did that tell you about her character, her special. >> interesting, when i first started reporting this piece, i thought it was being to be a lay of the land of what happened and how things erupted aft the "wall street journal" published a large piece on theranos not being what it said it was. the more i spoke to people, the
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more interviews i did, the more my mouth was agape at what i heard. i spoke to a professor who said early on they knew this technology wasn't possible. i spoke to the widow of the chief scientist and heard the way she was treated after her husband committed suicide, partially as a result of working at theranos. just a long list of things. i think that it kind of made my scratch my head over and over as what elizabeth holmes was doing while she was running that company. >> were you able to figure out what was it about elizabeth holmes that led the right people to believe in her, invest, despite some of the strange conditions she set forth around not being able to have a look at the basics of the technology if you are going to invest, the engineers and scientists at the company not being able to communicate with each other. >> you know, i think that what
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elizabeth holmes did, and look, this is just from my reporting and my viewpoint on this. i can't speak exactly for what the investors thought, but this is 9 way i perceived it. the valley is set up that a lot of people are there to make money. there's nothing wrong with that, but for so long they're going around saying they're trying to change the world, and most of them are not. they're just trying to get rich. along comes elizabeth holmes, a woman who runs a company, which is an an anomaly among these men running stormups, and people are like, this is perfect, this fits our narrative that we've been putting out there. she was able to came up further that. i think as a result everyone stood behind her. when someone said silicon valley, you're not changing the world, they would point to elizabeth holmes. the reality was the company
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wasn't what it said it was in any way, shape or form. >> nick, i have two questions, we talked about the makeup of the board. how did she attract those people? second if she knew her peer review was wobbly, why be so aggressive with her media strategy? >> it's interesting. i think as far as the board goes, it's -- you know, it was 12 men that were not -- should not have been overseeing a medical company. someone said to me at one point this was a better equipped to decide if america should invade iraq rather than overseeing this medical facility. i think her father who worked at enron and then went to work in the government, i think had a lot of connections. the booed itself made me scratch my head. why is it a the 2-year-old former secretary of state is running this board. i've spoken to certain people on the board that even said that.
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i think that, you know, this is just another example of this company that was working, you know, hiding things, no one knew what was going on, and the only person that knew all the secrets was elizabeth holmes. as you read through the story, you see it's one layer of an onion after another after another. >> nick, there does seems to be a continued founder -- and perhaps holmes personified that, but it's up to the board and other executives to provide checks and balances. obviously that didn't happen, but do you hear other stormups looking at this as a cautionary tale? >> i think other startups that probably blur the line of med and tech are looking at it as a cautionary tale. i can tell you from my reporting that the government is looking at it as a cautionary tale. one of the things i found out when i went to silicon valley to
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interview. there were certain peel that said two days earlier the fbi knocked on my door and they're doing an investigation. i think if it turns out that elizabeth holmes was being deceitful to investors and to patients, some of whom, you know, have said they've had heart attacks as a result of the faulty results of their testing there will be real repercussions, that will send some shockwaves through the valley. >> you say it's one thing to launch an app befori ready, but dealing with medical issues is something different. fascinating story. thank you, nick. >> thank you. let's get over to seema mody. >> carl, i want to draw your attention to the map here. we have seen an intraday reversal after the isn data here disappointed to the downside. there's more evidence of a slowdown? german manufacturing, the latest factory orders missing expectations. european central bang policy moo et is on this thursday, no
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action is expected, but once again verbal easing from draghi will likely be part of the discussion. one of the driving forces behind european stocks since the referendum voke in uk, gained 2%. home builders have been among the brexit winners. reporting a 23% rise in pretax profits, up more than 8%. despite these results, though, a major point of contention continues to be the uk's approach which was highlighted over the weekend and what was seen as a frosty reception to prime minister theresa may. the other big headline out of gg20, china's commitment to cut back on steel production. those comments, those bullish comments on commodities helping some of the miners outperform.
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against, a big rally shares up over 100% in to 16. lastly a big political development in europe. angela merkel defeated in her home state by an anti-immigrant pop you list party, highlighting the rising discontent of handling of refugees and broadered establishment view that continues to percolate in parts of europe. this does come ahead of germany's election that's due in, so still some time to go that we are working with. seema, thank you. coming up, what weights is looking for from apple's big reveal, and gretchen carl son for $20 million, but it may not end there for the media giant. the reporter who broke that store, "vanity fair's" sarah ellison is coming up. it's scary when the lights go out. people get anxious and my office gets flooded with calls.
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good morning, everyone. a car bomb exploded overnight in baghdad killing at least eight people, wounding 19 others according to police. footage showing extensive damage to shops in the area. rodrigo duterte is expressing regret over the
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comment. brock turner fulfilling one of the his probation requirements. he arrived at the green county sheriff's office in ohio, where he registered as a sex offender. the former stanford swimmer was released from a california jail last week after serving three months of a six-months sentence for sexually assaulting an unconscious woman. beyonce has postponed this concert, doctors ordering her to rest her voice. that concert has been scheduled for october 7th. we wish her the best. that's the news update this horrid u kayla, back to you. >> thank you so much, sue. we are awaiting apple's event tomorrow. joining us is lauren good, and mike culver. lauren, we'll start with you. so many companies that operate
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within the apple ecosystem have been talking about this potential move. it's been all but confirmed at this point, correct? >> we're fairly certainly at this point. it's one of the persistent rumors that. that has big implications both from a technical standpoint in terms of what it means for the audio quality, what it means for the design of the phone, but always as you mentioned that third-party ease osim of accessory makers. >> mike, you are one of those companies that makes products for the apple ecosystem. i'm wondering how much of a headache this caused for you to switch your strategy. >> actually we look as this as an opportunity. we've been studying and looking at the premium earbud market for a while, and you need power to be able to amplify the sound and also to provide noise
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cancellation to isolate your music from the background ambient noise. the lightning connector providing power in addition to transmitting music, unlike the 3 1/2 millimeter jack, so this was the perfect solution we needed to enable us to come out with a product that sounds great, but also doesn't require, in the past it's been the only way to implement a solution. >> mike, does this new earbud drain power? and what about people who would like to charge their phone at the same time as listening to something, or who are using portable chargers like a mophie. >> the first question is does it drain the battery life? apple is very protective of anything that plugs into the lightning connector, so we worked hard to make sure there's minimal impact. if you run music tingeousously and have an active noise cancellation you could run this
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for 25 hours with still enough battery at the end of the day. so that's not a probably. for most of our customers, when they're looking at music on the go, they're not looking at charging at the same time. so we don't anticipate that's an issue with these news products. it definitely will be an issue for me personally, by no means that means it's an issue for someone. try to isolate for investors what the possible impacts here given that usually when apple eliminates a port or drive, they do it on just one of multiple models say of the mac. here there's just one new iphone, and it might not have this headphone port. might it slow the upgrade cycle before upgrading to the new phone? what might this do, worst-case scenario with apple? >> i think for the industry. >> this one is for lauren. >> i'm sure everyone wants to hear what you have to say as well, mike. that's a good question.
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i wouldn't be surprised if apple did everything it could to sort of ease the transition, whether that's including a pair of lightning headphones in the box, whether it's selling some type of adapter. one potential market this would be a boon for would be wireless headphone makers. i spoke with one leading wireless headphone maker, and just based on the rumors alone their sales have already accelerated, some are saying i don't want to buy news new headphones, i want to invest in a good pair of bluetooth. i want to sort of be in place for that, i want the right technology for that. i think there will be a hump, people -- eventually we'll probably adjust. >> apple, of course, owns the company that makes wireless headphones, so we'll get some answers tomorrow to see how this
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pans out. lauren goode, mike culver, our thanks to both. >> thank you. wireless headphones are another option for people who don't want to deal with another cord, but eric is here to see how realistic that is. >> i've gotten some wireless headphone. we put them to the test, so check out this. >> this experience is really annoys. >> if the rumors are true, actual put an end to that mess. >> about four pairs from an apple store and put them through a very unscientific test. first the connection test, how long did it takes to get your phone to tall to your new headphones. >> oh, if i hid this button, a bunch of lights lie up, oh, it's
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back again, it's doing circle thing. guy at the conducted. >> the least expensive punk its only too 40 seconds, the powerbeats took twice as long to connect. >> i might as well get some distance out of these things. here, hold this. >> yeah, it's really choppy. what a -- you don't want to do that to a catty perry song. >> it let me go eight full car lengths, but for business i've got to make phone calls. i'm expecting a few right now. can you hear me? it says it's on the beats. because i here you in here. what if i start talking like this? >> they were backwards. it makes a dimples. for phone calls, they got the highest gra i had while the
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pump2s barely passed. >> the fitness test, let's do this. >> the beats pass, it's going to fall off, theres. >> the bose not so much. both in-ears seemed to hold up. so in summary apple may be getting rid of tangled cords, but you'll have to charge the headsets every day and you'll run them down faster. and you'll still need that traditional headphone jack, so they might be creating even more. >> maybe you're just working on the too hard. >> you were jumping -- >> the in-ear ones work. just the over -- these actually held on. >> it sounds ike negative if it happens. >> i'm a traditional guy. i think people will be concerned about this. >> you've been waring bluetoos headphones for a while. when you first connect them, the music gets choppy, sometimes they drop out. >> and choppy phone calls. the phone calls was never as good. >> were you surprised how long
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it took to hook up the beats headphones? >> i was very surprised. it just wouldn't pair. it would say unsuccessful, unsuccessful many times. and then it would just magically connect, but it never said we had connected. >> but i will say apple has an opportunity here. they control the stack in the phone from the chips all the way through the software this could improve bluetooth on both the headphone and -- >> the big phrase in the industry is bluetooth will be good next year. >> that's definitely true. nice stuff. i liked it. eric joins you here at post 9. 21 century fox settling with gretchen carlson, but the network is not out of the woods yesterday. and morgan freeman joins us for the next episode of "binge." his take on one particular silicon valley executive, in a moment.
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carlson, according to sources. fox say we sincerely regret and apologize for the fact that gretchen was not treated with the respect and dignity shah she and all of our colleagues deserve. "vanity fair" contributor sarah ellison broke that store. she joins us on the phone. good morning to you. >> good morning. >> i'm hoping you can explain to viewers carlson's suit was against ailes. why is fox signing a check? >> well, from the beginning ailes was an officer of the company when all of this happened. under delaware law the company has to indemnify their top officers, so they were always going to be on the hook. that means they were involved in the settlement discussions whether they wanted to be or not. >> how much do we know about what amount, if any, ailes himself will be personally responsible for? >> well, we don't know that yet.
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we know he'll be responsible for a portion of it. the negotiation between the company and ailes were quite tense throughout the settlement discussions. you know, one of the things i reported earlier was gretchen carlson had recorded conversations with -- anytime a woman has taped a conversation that appear to be inappropriate, that has a much greater leverage point. at this stage for the company, this settlement is clearly a moment where -- this is supposed to draw a line until this sort of ugly chapter, and they want to move on. their interests from ailes have completely diverged, ailes is leading his own second chapter where he's actually going after a journalist who has reported on the settlement, but for 21st century fox, they're trying to move on. interestingly for your new viewers, greta van susteren just announced she was leaving, so the waters are not yet calm at fox news.
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>> and we know that gretchen carlson's lawsuit had a waterfall effect, in that it did bring former employees or reports of ailes out of the wood work to does you their situations with the and is ther sense how many of these are still within a statute of limitations and may themselves result in settlements? >> yes. i mean, we have, i reported this morning that there are two other women who have been settled with. they were only -- according to my reporting, only three women whose complaints against ailes fell within the three-year statute of limitations for sexual harassment in new york state. gretchen carlson settled two other settlements with two other women and i don't have the details on who those women were or what the settlement numbers are but they are both still at fox news. >> so the fact that -- that it's coming out that the number is 20 million that they've released this apology, do you think that indicates they think the potential furter fallout is limited? that perhaps it is limited to
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these two women you just mentioned? who might also have issues that could be settled at this point? >> i think that for sure what they're trying to do with the $20 million settlement to gretchen carlson and apology, highly unusual in a settlement. there's a settlement and there's no apology with this kind of a thing. i think that what, what they hope for sure is that this is -- this is it for the ailes scandal, and i think that, i think by doing an -- you know, an investigation, aggressive think early and quickly and kind of for james and lachlan murdoch, the two people running the company, their father founded it but the ones in charge are trial to herald this is going to be a culture change. at the same time this is a huge revenue generator for them. brings in $1 billion in profits every year and they need to make
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sure they're not going to totally upset this very well-oiled machine. and at the same time don't want a continued liability risk. two real issues they are trying to manage. >> sarah, appreciate your reporting, and for coming to the phone. it's go to talk to you again. thank you. >> sure. thank you. >> sarah ellison, of course, contributing editor at "vanity fair." our new episode of "binge" is out today. stars and create ecks what you love to watch. this one with morgan freeman and longtime producing partner lauren mccreary. take a listen. favorite stock pick. >> is it true that on chutes you sometimes are checking your phone to see what the stock market's doing? >> yeah. >> any stocks in particular? >> i own tesla. >> tesla. >> yeah. >> i'm a huge fan of elon musk i think he's got the most
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incredibly forward thinking ideas about where we can go technologically. he's -- you know -- what he's done is nobody else, nobody else has ever done. he's land add rocketship so it's reusable. what a feat that is. now taking off, going to go to mars delivering stuff who are going to settle there just like they settled in the old west. and bring in those ships and landing them and reloading them. >> interesting to hear a man with plenty of resources to trade. picked that name as one he likes the best. >> yeah. valuation, though, i don't know. i mean, how much of that on wonders is built in? we'll see. we talked about elon belt tightening at tesla. sometimes reality hits as well. >> i don't think necessarily he's depending on it for retirement income. >> no, no. settled for now. binge season two is streaming now.
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cnbc.com/binge. also on apple tv, youtube and hulu. we will be right back. but i can't imagine doing anything else. now that the train makes it easier to get here, the neighborhood is really changing. i'm always hopping on the train, running all over portland. i have to go wherever the work is. trains with innovative siemens technology help keep cities moving, so neighborhoods and businesses can prosper. i can book 3 or 4 gigs on a good weekend. i'm booked solid for weeks. it takes ingenuity to make it in the big city.
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i'm booked solid for weeks. keeping the power lines clear,my job to protect public safety, while also protecting the environment. the natural world is a beautiful thing, the work that we do helps us protect it. public education is definitely a big part of our job, to teach our customers about the best type of trees to plant around the power lines. we want to keep the power on for our customers. we want to keep our community safe. this is our community, this is where we live. we need to make sure that we have a beautiful place for our children to live. together, we're building a better california. let's get to the cme group and "the santelli exchange." >> hi, carl. a good insight today in the markets. the growth and lack of policy conviction through the plichl of ism. look at the following charts.
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two year and ten year. the minute he saw the ism, weakest since february 2010, under 50 in january of 2010, hit the button to buy twos. dropped to ten-year yields not only the effects of policy and organization by the fed at the september meeting and beyond it's also a growth issue and it doesn't end there. the entire globe has radicalism with regard to policy by central banks and definitely crushes the years of capitalism. it's all about the ism. boon deals fell. so did the s&p 500. so did the dax and the cap. all did. . calling for recession. not sure. if the economy it's a plane, the belly's been scraping the runway for a while. carl, back to you. >> what a day. thank you, rick. the "half" starts after this break. that does it for "squawk alley." ♪
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welcome to the "halftime report." i'm scott wapner. top trade today, the september playbook with yet noeanother disappointing read on the economy, and janet

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