jeff lucas joins us now from viacom and 2016 and works on building ties with advertisers, spending money on an app that messages it was here. causing shares to surge. it will not be working for a direct replacement for lucas. has launched national security review of chinese bid for the local construction company. based and the timeline of the proposed unit of china's communication construction company. it expects the deal to come through and close at 19 canadian dollars. , the daywest tries before the deal was announced. >> cutting down to the open in japan, back from holiday on twitter. ♪ 8:00 a.m. in hong kong. i am yvonne man. welcome to "daybreak asia." amid signs markets are beginning to stabilize after the biggest weekly route in two years. the volatility index fell as the s&p saw its best to day advance in months. ramy: from bloomberg global headquarters, i am ramy inocencio from new york. says the risks are rising. he expects a u.s. respects and -- u.s. recession sometimes in the next two years. president trump proposed spending and cuts. congress is expected to ignore his plan

in and viacom was split 2006. a similar push was abandoned last year. subband has ended but he may have to prove to client he still has it. 30% a year between 1992 and 2013 but the firm pleaded guilty to insider trading. he made a player running .72, a family office overseeing $11 million. that is the business update. >> the digital consumer marketplace continues to grow outside of the united states. one of the biggest stories in withl, the ceo sat down the credit squeeze investor summit. >> brazil is not for beginners. vis -- a wise piece of advice. you need to talk about specific business models. you have a huge customer market. many people online, they like to make a lot of changes a year. they like to shop. but there are bottlenecks. there he complex tax systems, a very reliable infrastructure. then you have high competition as well. the best way to tackle that is through the omni channel approach. that, so the way we is playing the dish environment for 17 years now. theys focus in providing experience to the consumer. that is the only way to make m

. >>> quietly, flicks is sitting pretty now worth $128 billion more than time warner, fox, and viacom in fact, only comcast and disney are bigger as the media wars heat up, should you just keep it simple and buy flits flicks >> my own would be yes guy adami also talked about this it's the growth skks the content. they continue to grow in the content space. in 2018 that's going to continue, it's going to be huge. the commitment of the $8 billion they have for content and everything but when you look at the international growth that is what is still -- it's remarkable, frank lesion prouch growth they are sbeting internationally. continuing in the u.s. it slows down, but sshlly it's 1% >> i think the revenue is stable and there is growth. look how it has traded we have had a tremendous run in this i think this. we are talking about higher interest rates this is one of those stocks that should suffer in any downturn that we have i would be concerned about the position of this and i would wait -- >> on a relative basis >> didn't sold that hard when we went on the selloff. >> but we are at

market volatility and whether it has effect on the real economy as for earnings, cvs health, twitter, viacom, kellogg and yum brands reporting before the open bell. aig, expedia, news corp. are out after the close. dow looks like it would open down about 147 points off. the nasdaq off by 23 points. s&p 500 if it opened now would be off by 15.5 points. >>> senate leaders reached a long-term spending deal with hours to go before another government shutdown. kayla tausche has the latest this morning >> reporter: the senate and house are expected to vote today on the budget deal that was reached last night it has bipartisan support. it lifts 2011 spending levels by 3$300 billion it raises the debt limit until march 2019 and includes add-on funding for disaster relief, community health centers and children's health insurance but does not include protection for dreamers, leading nancy pelosi to make an eight-hour speech on the floor to force a vote on that topic pelosi threatened to remove her party's support. those votes may be needed if conservatives continue to balk at the price tag president t

michael: is there any reason for cbs management and board to go with viacom? jason: not that i can think of. michael: why would they do it? even with advertising going down, business is pretty good. david: les moonves said he would not take questions on that question. showsl: the report today that's what you do. sherry redstone once it. jason: the shift is people who grew up in one world who are trying to grapple with the new rules that are being created. there's an incredible amount of creative destruction happening in the media world. i'm reminded of that general anecdote that if you don't like change are going to like irrelevance even less. those two worlds are colliding and there are going to be winners and losers. said something about how engaging the ads are and where they appear, adjacent to what kind of material. this is a quote from the chief marketing officer. people are becoming concerned about the impact of digital on well-being, democracy, truth itself. this cannot be brushed aside or ignored. consumers are demanding platforms and make a positive

viacom owns paramount pictures, nickelodeon, mtv. investors love this one. >>> tesla, more production troubles with model 3. we'll get into it a little bit later. the stock is down 2%. 338 on tesla. here is david dietze, chief investment strategist for point view wealth management. can we relax? is it over? the panic is gone and done? >> every time people tell me a little correction is healthy i am so skeptical. no one a longer term bull on the product activity of the american economy and what our country was going to do, any pullback is healthy was not enough to get rid of that speculative froth. some people went through the windshield. we know there is a lot of speculation out there. are we done with inflationary scares, are we done with higher interest rates? i don't think so. stuart: we're not done with some of the panic selling. we'll not go back to new highs, is that what you're saying? >> of course we'll go back to new highs. we'll have to retest the new lows. i want someone to say that was unhealthy correction. then i'm full

but les moonves has had and viacom has been on the downslope. so persuading les moonves there is something in it for him, so he is not getting something that is diluted for his shareholders. there are cable franchises that are somewhat in decline. nickelodeon, people like that. and i have a movie studio and les moonves always wanted a movie studio. if you are in hollywood, you are not the big kahuna unless you are producing movies. alix: so his role would continue under the merger? assumption.is the alix: because there is no real succession. david: there is not. and it has been so much a matter ut.les moonves' g he knows creative really well. alix: i can't wait to see how that unfolds. i have the media expert next to me at all times. up next, stephen schwarzman joining us on market volatility. what is next for him and blackstone? taking a look at the markets. equities, is stronger bonds selloffs. take a look at what is happening in the tenure market. put it up on the board. 2.93%. only wind up reaching that as the curve continues to flatten? and

what does it mean for other big media companies like cbs, viacom, discovery, as they see comcast and disney going this way? michael: all companies are trying to create a direct avenue to customers. we see the cbs service continuing to grow. discovery just merged with scripps, so they get important networks. each of these companies are coming at it in different ways. some are going deep on content, others are trying to build their own ability to get to consumers, get to those valuable viewers. david: how much is tied to valuation? i saw the valuation put right now on the comcast it was 13 times earnings for sky, as opposed to five times for dish. at the same time, netflix is off the charts in valuation. michael: they are not necessarily comparable. let's recognize this is a point in time. netflix has spent a lot of money, this year $7 billion on new content you just because they spent does that mean that they get viewers and ultimately subscribers. dish and sky are fundamentally different businesses. dish is a satellite business, sky is a multimedia property with tremendous content ow

les moonves is looking at whether the company should combine with viacom, pushed by redstone's national amusements, which owns both companies. sony has named a new chief executive officer. the finance chief will replace the ceo, who will become chairman. fors being rewarded improving the balance sheet as electronice iconic company. francine: the bank of japan has taken action to back its claim it is not following the fed and the european central bank. the central bank wrapped up bond buying and dampened investor usculation that -- joining -- nouriel roubini is still with us. how much more can the boj actually do? are they the only bank left with the fire power to continue descending what it a correct level for them? julia: the boj has gone from being the timid bank that never wanted to do enough, to the bank that is more willing than any other to put its money where its mouth is. how far can they go? they are sort of defying the trend and challenging the market. they are standing there ground. they seem to have quite a bit of resolve for now. francine: they certainly do. depending one w

. >> we see sides with viacom, cbs, we see all the old line companies, i mean, i wouldn't say that they're struggling to compete but they certainly are facing a daunting future with new media companies, which makes me think that unless all the people considering your deal are like -- if they're not living in the new world, they should probably understand that some of the -- you've got some nimble competitors that weren't around ten years ago that you need to factor into whether there's really antitrust concerns. >> that's one of the interesting parts about this whole debate, this swirling around our deal. there's this concern about vertical integration of having everything from content creation, content aggregation to content distribution for one entity, regardless whether it's at&t or not to have kind of the full ecosystem within their products and services is a problem. reality is, the biggest distributor of content out there is totally vertically integrated this happens to be something called netflix, but they create original content, they aggregate original content and they distribute

cvs, kellogg and viacom for the big one we watched this morning, twitter up 14 cents per share. we bring you those numbers as soon as they come and for the quarter of three quarters of 1%. europe this morning stocks are lower. down almost 1% as was the cac and the dax and germany done better than 1%. stocks mostly higher the exception of china. the nikkei average in japan of better than 1%. shanghai composite enjoyed that 1.5%. tesla earnings hitting the brakes with higher than expected loss. the company's road dirt into orbit sending the roadster they are why the production molds will not bring desperation down to earth. join me to talk about it, fox business that were dagen mcdowell. ryan knutson in iraq and afghanistan veteran fox news contributor pete hegseth. >> good. >> good to see you. >> good morning. dagen: i have a long list of things i know you're dying to talk about. maria: the budget deal we've been waiting on details there. dagen: is a bust. the president yesterday was tweeting i remember in the old days of the stock market would go up on good news. you know it is

into -- let's say the at&t time warner deal doesn't happen and they want to buy time warner or cbs and viacom ordisney, wou, wow, this is great, they have a whole new services arm, or would they say, my goodness, they're getting into a business they know nothing about i'm worried this will be a big mistake? >> that's a good question. i think investors would applaud content, but i don't think they need to buy a disney that's a transformative deal that changes the nature of the company. one thing tim cook will probably talk about is apple is laser focused on a few great products. if you move out towards the broader content universe, that diversifies them quite a bit >> so you would like to see come content -- >> something that would jump start content. >> what does that look like? >> i don't think they need to own tleem paheme parks or broad networks is that something that brings in a production staff some sort of studio capable? >> miramax what are you talking >> i'm not sure where that leads them >> or harvey weinstein >> or maybe pieces that could be carved out that are fit for apple. their

. >> stashed with -- biggest in the world we are bigger than denies newscorp viacom combined in terms of value now probably only people on plannest earth talking about yahoo! you can tell how far it has gone, the book story about missed opportunities, we are talking about google facebook imagine where they don't grays hoa turned down buying google for one million dollars, turned it down for buying it, for close to six billion turned down buying facebook for 1.1 billion two companies worth combined 1. 2 trillion dollars today control lives group aasserting google would not exist facebook a shelf yies had yahoo! not miscalculated. >> -- did happen quick i thought cool i had gmail address accepted out invites, back then a while ago makes you think i know what is next, in all this, if you are if you are the behemoth of a. >> be careful, because somebody else could come up and do the same to you i guess, right. >> we used to call in early days don't get netscape microsoft ate netscape, google ate microsoft microsoft come up back apple near bankrupt would have sold to anybody came back if y