>> artificial intelligence is going to create a productivity boom that we've only seen a few times in the last 75 years. >> i feel, yes, it's moving fast, but moving fast in the right direction where humans are more in control. >> we're doing everything we can to make sure we're ready for autonomous when it comes you may be surprised when it comes that it comes a little faster than you think. it's 5:00 a.m. here at cnbc headquarters and here's your "five@5. we begin with one week and one day with no deal in sight. the negotiators say they've hit yet another speed bump there are growing calls of a coming recession in the next 12 months goldman sachs david solomon weighs in. and a new warning from ceo of the most valuable chipmaker and their impact on the u.s. tech dominance, plus as

investors weigh the impact of the record-breaking $1.3 billion fine against meta platforms, we hear from the regulator leading the charge against big tech. and later, the culture wars hit retail target facing backlash it's may 24th, 2023. you're watching "worldwide exchange" right here on cnbc ♪ good morning and welcome to "worldwide exchange. i'm frank holland. thanks for waking up with us a very busy morning with two can't-miss interviews coming up in a few minutes first an interview with the world east largest pc maker, lenovo executives say there is light at the end of the tunnel. then at 5:30, a "worldwide exchange" exclusive with helen dixon, the dpc of ireland

commission the dow logged a third down day in a row and the nasdaq seeing the worst performance in a month. taking a look at the futures, we're seeing them mixed. it was fractionally lower. the dow jouns slightly in the re in the bond market, the yield sta staying. right now the 10-year benchmark at 3.69. the 2-year note still above 2.8% something we continue to watch there. we also watch energy, specifically oil oil ticking higher in the past 24 hours we're seeing wti crude, the u.s. benchmark at 74.25, almost up 2% brent crude just above 78 bucks. movement in natural gas up almost a percent

we're also looking overseas right now. we're seeing red arrows across the board with nearly every mam major index down chai firsthand hong kong seeing the worst selling of the bunch looking at hang seng, the worst hit, down 1.5%. turning to washington and the developing story, with just eight days to go until treasury's x date and the capitol unable to pay its bills. speaker mccarthy and congressman telling reporters there are no talks planned for today. they need to fundamentally change their positions for any hope of a deal that's a sentiment shared by democratic negotiators they told nbc news talks is reached a speed bump the standoff will not turn into

a full-blown crisis, but many believe a recession is on the rise there was a survey out earlier this week. roughly 60% say it ee likely the u.s. will enter a downturn in the next 12 months goldman sachs david solomon echoing that sentiment yesterday at the ceo council summit. >> i think there's a greater chance of a recession than not as we look at the end of the year into early 2024, but i'd say it's uncertain if there is a recession, it will be relatively shallow, but it's hard to tighten it and not ultimately have an impact on economic growth. some of this is a reblangs from the balances of the pandemic, but we'll see. it's unclear. let's bring in craig johnson. let's jump right into this

do you agree with david sl mon can you give us your s&p target for year snend. >> thanks, frank thanks for having me back. if we step back and look at all the negative news, frank, that has been laid into the market over the last several months, you'll see the stockmarket continues to tlad higher all this discussion of a hard landing or recession, you've seen the markets move appreciably off o of the october lows frank, you asked a question about a year end objective it's about another 11% higher. all these concerns are out there. stocks are telling us a different perspective from a technical per speng active, frank. >> a lot of people are telling us but you're probably one of the more optimistic people so one thing i want to talk to you about now is partneortfolio

protection are there things you're trying to trim. >> the best thing we see in the marketplace, it's coming from the industrials, it's coming from technology, and it's also coming from health care. so from a perspective of how to have a balanced portfolio out here, we think health care can be a little bit defensive, and yet technology and growth is where all the momentum has been at this time always be overweighted three sectors. always be ujds weighted three sectors, and that's how we try to balance out sort of the exposure at this point in time i've got to tell you, a lot of them, they're looking to play catch-up they've been behind the benchmark, they've come into the year defensively positioned, and at this point in time, they're behind the benchmark i think any little dip -- >> all right, craig, we're having a little technical

difficulties with your shot. i couldn't hear the last thing you said, but hopefully you're still there. we're going to take a look at the futures as we try to work out the technical difficulties nasdaq is moving to the upside, fractioning lower. right before the beginning of the show, the s&p and dow jones fractionally lower at this time. hopefully we have craig there. i know we're having technical difficulties craig, you there all right, i think we are having those issues right now craig johnson from piper sandler, great to see you. thank you for the insight. shares of hong kong-based chipmaker lenovo sinking down 24% from the same period a year earlier and marking the third consecutive quarter of year-on-year declines, citing a softness in the device market but seeing positive signs stabilizing with expectations of year-to-year growth in the second half of 2023.

emily tan joins u us now with a special guest in a first cnbc interview. emily. >> thanks a lot, frank we're here with the world's number within on the back of their earnings report card you already ran us through the numbers. the company says they're in a transformation from a hardware and deviation company to solutions and service. joining me now in a first cnbc interview to talk about the report card. it's good to see you we saw a sharp slowdown post-pandemic, and we're also dealing with inflation revenues from america were down 9%, chai narks almost 20%. are we at a turning point now? >> first you have to look at lenovo is not a peer pc company. over the years we organized ourselves, and pc today accounts for about 60% of our revenue

i think we're number one in the world with the pc market dropping 20% our equity on a full-year basis, the business is driving significant growth in particular the infrastructure and the margin have been mitigating or compensated by our significant group. >> geo politics impacting chinese companies like yours, we saw china announce a ban on micron chips as a customer, how are you going to be filling this gap if not, who? >> right well, i think the components issue, we're still finding more information how we're going to deal with it as a global company doing business in a different part of the world. we need to find a solution to address the problem.

i will say being the number one in the world, i think we believe that our diversified supply chain will be able to address, i think, the customers requirement to suze so that everybody will coincide. >> frank, come on in here. >> thank you very much hello, great to see you. i'm over at cnbc u.s thanks for joining us. you mentioned supply and source and components a second ago. i want to ask you about u.s. chips with china how does that impact your business, in particular, the ability to get the chips that you need >> so far we've complied with all the rules and regulations. there's no material impact to our business as i said, i think we're following the rules of companies.

i think in run as global business it's a challenge we need to do when you look at the lenovo profile, it's about 20%. the other part, asia america, apart from the decline in the market, the pc, which i think if you read it, about 20% or our other businesses in different -- in different part of the world continue to grow. so at the moment, i think we're dealing with the challenges because of the geopolitical issues. >> we continue to see big year-over-year declines. your forecast, however, is for an increase in the second half of theer yoo what are you searing that's giving you this kind of confidence because in 2020 and 2021, a lot of people bought the pcs. those pcs are relatively new. >> right i think the level of confidence

is obviously based on our -- i think, based on data i think you obviously look at the ibc forecast, which primarily measures shipment. but at the same time, we also have data, i think, measuring activation of the machine. when the machine is shipped to a distributor, sits with the distributor, the real demand is the end customer buying the pc and then activate. we see the activation rates, i think the decline is not as significant as the shipment, i think partly because there are a lot more shipment, i think, during the last one or two years because of covid-19, because of component shortage, and therefore it's been more stocking the products, i think, ready for shipment now, the underlying activision demand based on our own data, which is actually even higher than the precovid level, i think that's the reason for us to have

the confidence that over the next -- well, in fact, over the last, i would say few quarters, you can see the inventory coming down, really digesting the excess shipment that was shipped during the covid -- the beginning of the covid period. so we believe that the activation rate gives us a more realistic estimate of the likely demand the key that also helps us to have the confidence, i think, is the acceleration of the digitalization i think you heard a lot about chat bgt all of this requires devices with the conference right now, i think they aptly explained it. ai is not necessary. it's a specific demand in the infrastructure because you need a device to use the leverage of ai therefore, we also see this is positive news on the devices.

>> i mean non-pc is becoming a larger part of your revenue, almost 40% now do you expect it to overtake your pc business eventually? >> i don't want to make that prediction, but i actually see that both businesses or both will continue to grow. now, at the moment, we are number one in pc clearly when the market returned back to more normal, i think we will definitely be growing but at the same time we have higher grouchlkt as to whether the infrastructure or surfaces, i think, eventually we'll have three major business group driving the revenue rather than what we had in the pc, using it as our primary driver. over time we'll have the business group. >> thank you very much for joining us today we've been speaking with wong wai ming. >> emily tan, thank you for

bridging that to us. a lot more to come on "worldwide exchange" including one word investors have to know. first, inflation among the country proves stickier. we'll have a live report coming up. regulators taking over an active collusion over baby formula in the u.s later a "worldwide exchange" exclusive with the eu's data protection commissioner, helen dixon off meta plat forms. we have a busy hour ahead when "worldwide exchange" returns the cloud makes it possible to expand your infrastructure. but to make it powerful enough to connect your data wherever it is, you need cdw and netapp. cdw experts will work with you to understand your needs, then customize a netapp cloud services solution to integrate data management for all your clouds,

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all right. welcome back to "worldwide exchange." we get a check on some of this morning's top stories. silvana henao has the stories. good morning to you. >> good morning, frank the federal government is launching an investigation into baby formula the federal trade commission is looking at whether manufacturers including abbott lab toyes colluded on bids for state contracts. the agency is also looking a weather the alleged coordination by the companies impacted sales on a broader level the probe into abbott is one of several the company is facing by the federal government after last year's plant closure that contributed to a nationwide formula shortage. target announcing it's removing certain lgbtq merchandise from its storrs as

it faced backlash over some of the items. some of its moves is tone sure the safety of its retail staff they have not said which items they're removing and it comes days before p.r.i.d.e. month. and pacwest, the embattled bank reaching a settlement it marks the latest move by pacwest to shore up confidence in the wake of the ongoing regional banking route, frank. >> we continue to see a lot of movement in the regional banks pacwest obviously up 6%. silvana, we'll see you later on in the show. to europe, the major averages under pressure following a hot inflation read our jeulianna tatelbaum joins us from our london office what do you see? >> it's a brutal trade to start in europe. here's the picture

we have a 2% loss in the italian market, 1.5 for the german market quite a weak start to today's trade. this follows the selloff on wall street and selling pressure overnight in asia. we got a downbeat economic survey in germany, not helping things, and uk inflation as you mentioned, we'll come onto that in just a second you can see where the bulk of the weakness is coming through that's real estate, travel and leisure, banks also underperforming. household goods which captures the luxury sector also underperforming. hitting a seven-week low a lot of concern building around the aspirational consumer in the u.s., so that's something to watch. but let's dive into real estate. it's the uk really names this as uk inflation surprise to the upside, easing less than expected last month with prices

rising 8.7% on the year. that's down from the 10.1% in march, but it's still higher than expected. core cpi rose unexpectively. the pressure is on for bank of england to do more. >> we're seeing antitrust rolling out of the uk, but this time it's not targeting big tech. >> no. this time it's in the financial space. let me detail for you what we've learned. five major banks broke the law exchanging sensitive guilt pricing information by boomberg terminal chats in a provisional decision, citi, hsbc, morgan stanley, and rbc could have denied the full benefit of competition to trading partners it may issue fines if it finds

two banks engaged in anti-competitive behavior. as you saurk it is a down day for europe overall. >> all righting our julianna tatelbaum live in our london newsroom great to see you as always. ahead on "worldwide exchange," retail stock pop and 'soual estate rebound story. it yr big money movers, a and they're coming up right after this

lomita feed is 101 years old. when covid hit, we had some challenges. i heard about the payroll tax refund that allowed us to keep the people that have been here taking care of us. learn more at getrefunds.com.

welcome back time now for your big money movers we start with shares of palo alto networks, shares up more than 4.5% after it edged out profit expectations. improvement in margins driving better than expected earnings performances as they look to build a cloud-based security platform the ceo telling jim cramer last night, he's seen the beginning of platform utilization. >> we're seeing a big name honestly, it's very exciting to start a trend when you see an economically strained outlook out there. >> you look at shares up 12%

attributing it to a 57 increase in comparable retail sales, strong growth in retail brand and significant improvement. the toll brothers completing positive triple play shares up more than 3.5% after the company's earnings and revenues beat expectations due to increased home deliveries and unite prices compared to last year the increase in demand that started in january has continued into the start of its third quarter. as always, for a deeper dive, be sure to head over to cnbc.com and sign up for one of our news letter offerings. straight ahead, helen dixon on her record-breaking find against meta platforms and what she has planned for big tech. plus a warning from the chipmaker on the u.s./china tensions much more "worldwide exchange" after the break.

it is right around 5:30 a.m. here in the new york city area we're just getting started on "worldwide exchange. here's what's still on deck. markets overseas face losses as debt ceiling talks falter. the debt ceiling stalemate shows know signs of easing any time sooning with the clock ticking toward the estimated deadline when the government runs out of money. we're live in dc with the very latest. a "worldwide exchange"

exclusive, a worldwide regulator cracking down on tech. standing by with this week's record fine against meta we look at whether another shot against the sector may be coming on this wednesday, may 24th, right here on cnbc ♪ good morning welcome back to "worldwide exchange." i'm frank holland. thanks for joining us. stocks are under pressure with the nasdaq vacillating between very fractionally negative and very fractionally higher right now you can see it's in the green. the s&p and dow both fractionally lower we're looking at internal, specifically oil right now wti, the u.s. benchmark, basically up 2.5% bench crude up almost 2% we're also looking at the international markets right across the globe including in

asia markets in china and hong kong taking the hardest hit, the losses spilling over to europe we're taking a look at the early trade over in europe right now the contact the hardest hit, but a similar story when it comes to the dax and the ftse now to debt ceiling talks appearing to once again be in a bit of a standstill, speaker mccarthy saying talks with the white house have not yet results in a deal while other republican lawmakers have signaled there are no further talks between mccarthy and president biden scheduled at least not at this point. for much more on, this let's go to nbc's brie jackson for the latest live if there washington. what's the latest? >> we're learning democratic officials tell nbc news negotiations have hit a speed bump, claiming while president biden has negotiated with good faith on the buckets, kevin mccarthy has bowed to mega extremists who won't compromise. the top issues on the table

include spending cuts. republicans want larger nondefense spending cuts that democrats are not willing to accept at this point, and democrats have offered to keep spending levels flat, but the fw op has rejected that offer a source familiar with talks say once this issue gets resolved, it will, quote, help a lot things that are off the table include tax changes. the president would like to see tax reform, closing loopholes, and asking wealthy americans to pay more, but that's something republicans are opposed to and any changes to medicaid areoff limits. the president said he're not accept any changes with regard to work requirements we know the h president and speaker mccarthy sat down earlier this week both said they want to avoid a government default that is their objective and that they're moving closer to some type of a deal but with just over a week to go, the pressure is on for them to

come to some type of conclusion and do it soon all right. that's our brie jackson live in dc thank you very much. we now turn to europe and what regulators are calling illegal data transfers the issue bs the transfer of personal data from eu residents to u.s. servers. penalties have been leaveed it surpasses amazon for $806 million, however, it really could have been much higher as rules under the law allow for fines to total as much as 4% of a company's annual revenue in meta's case, that would be $4.7 billion meta says the decision is flawed joining me now for this and much more is helen dixon with the

governing body to uphold the rules set under gdp r. great to have you here. >> good morning, frank >> first off, as we just mentioned, the fines could have been much higher it was still substantial were you trying to send a message with this? >> so the fine could have been higher, but i don't actually think the fine is the most significant measure that we've imposed in this case, so as you summarized very clearly, it's a case of transfers of eu persons from the eu to the u.s so in addition to the fine, what we've done is imposed two orders one suspends the transfers of personal data from eu to the u.s., and that will take effect in five months' time, and the second order imposes a cessation on processing of personal data already transferred, including

cessation of storage of the data so it's actually those two measures i would argue over and above the fine that will really take effect because, of course, a lot of u.s. companies that have operations in europe routinely bring it back to the u.s. in order to have some process there to have it aggregated and have their experts analyze it, so this will have very significant effects. >> this is a very common practice where the data is sent back to the u.s. most of these are to the u.s. base we're talking amazon, microsoft, and google can i ask you, what solution would you like to see done, and why do this now? i fwleev july it could have also addressed this. >> so this has been a long-standing issue. under eu protection data law dating back to the dating direct

active, it's specifically prohibitive to transfer data to persons out of the eu unless it's to a herd country that ensures what is called an equivalent level of protection the issues have been running a long time. they came into sharp relief with the cles dysclose yours back in 2013 really since that time, income, my office has been investigating these issues there's been various pieces of litigation and legal proceedings that have happened in the intervenes period. but of real significant was a justice from the court, europe's highest court in july 2020 that struck down an agreement between the eu and u.s. calls the privacy shield which also really spelled out that any of the mechanisms, companies were routinely using incluesing

contracts that facebook was using that none of those were sufficient to compensate for deficits in u.s. laws and practices. in particular what's at issue is there's no system of redress for eu persons if there is a concern that their information has been unlawfully and disproportionately accessed. so really the solution is an agreement between the eu and u.s., and there has been substantial progress made on this you asked me why did we move now whelp there has been progress made and an agreement in principle. i suppose the point is it still hasn't come into effect. this new agreement called the data prifbscy framework, it's still pending. and at the time i concluded my investigation last summer, it still really wasn't on the horizon. so i have to enforce the law as it is at the time. >> we're talking eu regulations,

but individuals have been addressing this issue, specifically france and germany pushing for a sovereign cloud. would that solve a majority of the issues >> i think that's not really for me to say, and it's certainly not what we're seeking to push in regulating under it i mentioned the prohibition. so we're really enforcing the law as it is we're not suggesting that the solution has to be -- that data is only processed in europe. there are other ways in which essentially equivalent sessions can be achieved, and clearly they're trying to negotiate to deliver something like that it's one of the solutions but not necessarily what we're driving toward >> i want to talk about a part of the big tech landscape.

it will be required to allow companies like alphabet to use rules generated on their plat fom. out of that meeting a letter was written about the importance of responsible ai development how concerned are you about ai, what regulation is coming down the pike that you're looking at to regulate ai as well >> so in the eu there's a very big focus. recently they have adopted a position and will now going into what they callt tri-love negotiation. at some point relatively soon, we'll see a new law in the form of an ai act you referenced a digital services act that will provide

researchers with the data so they can look at the algorithms and what the impacts are and feed that information back into the system so there's a whole suite of regulation that's been implemented in the eu in addition to the markets act that will regulate gatekeepers at like google. so i think there's a lot of concern. i think it was never going to be the start and finish and neither were specific laws looking to target more specific risks like the risks that may arise in certain implementations of artificial intelligence. >> can i talk to you more broadly about regulation in general, do you believe the u.s. is doing enough it seems like they're on different pages when it comes to regulation would you like to see more of this regulation coming from the united states? >> there's certainly a very

different approach, and, of course, it's long been the subject of comment that there's still no federal baseline comprehensive u.s. privacy law so i think many people would like to see that it would at least offer a filter before the kind of big platforms and services are exported out of the u.s. to jurisdictions like the eu currently really what we're seeing with these global platforms is at least in the past and pregdp, they were simply designed in a certain way without fundamental rights of europeans being taken into account, and then there was retrofitting and retro engineers to try and make them compliant with european union laws so i think it would be better if we had convergence in standards and laws globally so at least there's a baseline before these

were realized. >> commissioner helen dixon. thank you for your time and insight. hoping to have you back on again. >> great thank you very much. coming up on "worldwide exchange," nvidia on deck, it gears up for results the key questions our xtne guest has, whether the stocks can roll on much more on "worldwide exchange" in a moment. let newage products transform your garage into an area of your home you can be proud of. modular steel cabinets let you pick and choose the storage solutions to keep your garage organized, with overhead racks and shelving, slat wall, workstations and flooring that let you create a showroom garage to call your own. designed for diy installation. all you need is one weekend to take your garage from unusable

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all right. welcome back to "worldwide exchange." in individual f nvidia prepared to report. they're at risk of, quote, enormous damage over the escalating battle over chips between washington and beijing speaking to the "financial times," he sad u.s. tolls have left nvidia unable to sell advanced chips in one of the biggest markets and in its place, china will start to build chips of its own they've rallied up nearly 100% year to date let's talk with mac of wedbush securities you're saying gaming is coming in better. data center is coming in better than you i thought and ai chips t price target is

290. that's well below where stock prices are right now, so explain. >> i base my price target on where nvidia traded lack 12, 36 months ago when they were showing strong growth. that's where my price target's based. that's really the only negative on nvidia right now. it's really excess ifb there's nothing wrong fundamentally. in particular, they're the leader in ai, and it's very clear that the companies are investing very heavily in ai, not just right now but through 2024. >> you're making a really important point. according to your p estiestimat, nvidia has 8% of the markets

clearly the market lead e. do you have any concerns with capitalizing that could hurt nvidia basically on the back end? >> i think right now you are seeing some of that. not so much with nvidia, but it's hurting a lot of its peers. i think the large hyper-scalers are looking at their budgets and in part figuring out what they can do to trim spending in savings to investigate i look at it in the other way in a sense that when we get to 2024, 2025, you start to see that spending come back. and yet you still see increased investment in ai and so for it all, it becomes so.

>> we're going to get technical. ai is trying to get into cpus. are they generally a rising competitor >> i think what nvidia would tell you is that they really are trying to fundamentally improve the performance of their ai. you're going to see a lot of their chips go into the system that also post their gpus. so for them it's all about creating a better experience for their customers around ai right now as opposed to really trying to push amd or others out of th market. >> you mentioned others like amazon making their own chips. the one word every investor needs to know today marking flashing symbols and turn license, david katz lays out the stocks he's putting to work in

follow our podcast check us out on ape,pl spotify, or other podcast apps. "worldwide exchange" will be back in just a minute. ♪ ♪ the biggest ideas inspire new ones. 30 years ago, state street created an etf that inspired the world to invest differently. it still does. what can you do with spy? ♪ ♪

welcome back to "worldwide exchange." we have our w.e.x. wrap-up uk inflation falls to 8.7% they'll continue increasing interest rates >> the federal reserve has developed a real-time tool to look at financial sentiment. the index uses natural language processing and can help forecast changes in monetary policy stance and even help predict next day stockmarket returns. the house of representatives committee on china urging the commerce department to put trade curbs on memory technologies following beijing's ban of the sale of some chips by micron.

citizens bank has been fined $9 billion for mismanaging fraud disputes shares of intuit falling after beat estimates it was lower than what analysts had inspected. the european commission has been seeking information related to its probe in their facebook's data and online marketplace. as we gear up for the trading day ahead, turbulence coming from investors. new data showing investment flows into u.s. markets have been weaker than the u.s. returns in the past two months suggesting a headwind for stocks in the coming weeks. the goldman team says it sees roughly an 18% chance that the s&p trades down more than 5% over the next month. for much more on, there let's bring in david katz, chief

investment officer great to see you. >> good morning. >> so worried about the direction of the market at all we're citing data from goldman sachs that pointed to possible turbulence. >> short term there's going to be a lot of volatility there's significant volatility we think in -- and in terms of the fed. we think the best thing for investors to do is take a six- to 12-month time frame. we think the market's going to be higher and we do think the rally, which has been very narrow is going to broaden out the rest of the market. >> all right so with that optimism, david katz, what is your w.e.x. word of the day >> anything can set this market off based upon one or two data points anything in terms of the debt ceiling makes the market. >> you're saying it's an unhappy market give us a sense of portfolio

protection and the potential for not only a debt limit default for possibly another rate hike by the fed >> we think the best thing to do is to take that by really good businesses at reasonable valuations in light of the volatility over the last year and in terms of the earnings season, you have a lot of great businesses that are at 10 times to 12 times the earnings we think you're going to do very well we would focus on that rather than focus on the noise of the day. the noise is pretty significant and scary, but if you look at fundamentals, that's going to be the best way. >> very interesting. i want to touch on some of your stock picks right now. one thing i thought was interesting is general dynamics. it's an industrial name. why are you so bullish on that. >> we look at the theme of the day. this is really interesting we're seeing the most insider bond than we've seen in the last

decade it's spread out. companies that have done well after a good earnings season we're seeing like a million, $2.5 million a buy one of the directors just bought a million-plus dollars it's a good long-term prospect we think it's down over short-term concerns. also problems in the consumer area we think it's a really good business the world is not a safe place. >> i want to turn our attention back to tech we had a great "worldwide exchange" exclusive. i want to bounce this off of you. we spoke with helen dixon. here's her take on meta platform, the fine, and even regulation that could be coming down the pike. >> there's actually will awhole suite of regulation that's been implemented in the eu in addition to the markets last that will regulate gatekeepers

like google. i think there's a lot of kerp that it was going to be the start and finish and noocter are more specific laws looking to target more specific risks like the risks that may arise in certain implementation of artificial intelligence. >> we talk about the breadth of the market it's linked to ai. is regulation a headwind that you're very concerned about? does that change your investment thesis at all? >> you have a very adversarial regulatory environmental companies have generally learned to live with that in terms of it it will give them guidance and reflection

ai is a good thing the other regulation is worrisome. the companies have learned to navigate through that. our concern that the mega tech is going to slow down, it's not so much about the regulation, but they melted up and got to significant excess valuations and a lot of other areas are attractive. >> we've got to leash it there that does it for us on "worldwide exchange. "squawk box" coming up next. ent. when covid hit, we had some challenges like a lot of businesses did. i heard about the payroll tax refund, it allowed us to keep the amount of people that we needed and the people that have been here taking care of us. see if your business may qualify. go to getrefunds.com. ♪ ♪ every day, businesses everywhere are asking. is it possible? with comcast business...it is. is it possible to use predictive monitoring

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good morning still no deal on the debt ceiling as the tenlts active deadline of june 1st approaches. we'll take you to washington for the latest on the negotiations >> florida governor ron desantis planning to announce his prettial run on twitter and a conversation with elon musk. and netflix is beginning its password-sharing crackdown in the united states. we'll show you what the streamer

is telling customers, and how it's being received. probably not well. it is wednesday, may 24th, 2023, and "squawk box" begins right now. ♪ good morning, everybody. welcome to "squawk box" right here on cnbc we are live from the nasdaq market site in time square i'm becky quick along with melissa lee and robert frank joe and andrew are off this morning. we're keeping an eye on what's happening in the market this morning. under just a little bit of pressure today after being down yesterday. this was a day that was down because of what was happening in washington right now you see the dow futures down by 71 s&p futures off by 8.5