you can see on the screen absolutely nothing at the moment. it had a very good run. still being challenged by that 1.43. trading 142.32. in terms of the individual bosses, let's look at how the european bosses are faring. up 6.1%. the ftse in terms of percentage had its biggest gain. using 4600 as a flaw. the dax being the outperformer up 0.8%. cable trading 1.67.. let's move on and look at some of the asian stories with chloe. good morning do you have. >> good morning, steve. approximate we had a strong session for a monday.

a lot of optimism that the growth picture in asia is very much on the way, bolstered by the pmi numbers out of china. a lot of green, as you can see, with an exception of the nikkei. a tad lower, but hanging above that 10,000 level. the south korean kospi pulling ahead by half a percent, setting the tone for the rest of asia for the month of july. look at the numbers, actually down for the month, 20%. still better than expected. over in the greater china market, more news. the hang seng up by 1.1%. investors getting a lot of conviction over those pmi numbers. the bombay sansex also higher by half a percent. it will be about the job numbers we get out of the u.s. later

this week. nymex light sweet crude processed $70 per barrel. gaining ground by more than $70.54. brent up by nearly a dollar as well. let's head over to the u.s. with bertha coombs. how are you futures looking? >> happy monday to you. a huge week for data here in the u.s. we still have the earnings parade going on. three dow components reporting. proctor and gamble, chevron reported last week. kraft and cisco. dow futures up five points ahead of fair value. we had the dow up four out of the last five months. the nasdaq and the s&p both on a five-month winning streak with terrific performances in july. taking a look at bonds now. the bund yield in germany edging up at 3.32% despite the better

than expected news in the euro zone.. we did see german retail sales fall unexpectedly for the last month. the ten-year note, the big number this week of course is going to be the june employment number. surprise there in terms of higher unemployment will certainly cast a bit of cold water on the recovery outlook that people have. better than expected gdp number last friday. looking at gold, gold has been on a run as well, having put in a nice performance last friday. with the dollar continuing to be weaker, we are seeing gold up at 9.53. in the u.s., over the weekend, top members of the obama administration were talking up the prospect for an economic recovery.

top economist nouriel roubini sees a tough future, thinking we'll see a double-dip recession. >> the recession's going to continue through the end of the year. for advances economies especially the u.s. and japan, i see growth being below potential because of the financial imbalances. >> that was nouriel roubini speaking to cnbc from a mining conference in calgary earlier today. joining us now for some analysis is the executive director of helmsman global trading, live out of hong kong. good morning to you. i want to start off with the fact that we have a wonderful performance this july across the board in the markets.s. we've got lots of data across the board this week as well. what's in store for august here

after such a great performance and so much news coming out here in the first week of the month?? can we put it to bed after this week, or do you expect we'll continue to see gains? >> $64,000 question. one of the things i would look at is we've had stellar performances from the earnings firms in the u.s. one of the things i would look at and bear in mind, is that these earnings are coming not through growth market share through earnings profits from selling products but actually through from cost cutting. this is something i highlighted last time i was on the show. we talked about proctor and gamble, kraft and cisco due this week. keep an eye on the numbers. i expect the numbers to be better.. how have the numbers been arrived at? look at hsbc. how will the numbers be better? i'm sure they will be. but the reason why is to cut

costs rather than to see improved economic growth.. this is where people have to bear this in mind. why we've seen the china market be a real run because of a loose stimulus package fed through probably into the stock market and the property market pushing stock val yaulgzs beyond what they're genuinely worth. i tend to be more in the roubini camp, that we may get a double-dip on the recession and may see a little pullback. be careful. you've got the job numbers this weekend. again, this friday, sorry. looking at 9.6% probably. it will come in okay. but we are still seeing problems out there. i think we're going to start to move backwards a little bit. >> martin, i hear it a lot from people saying, it's all about cost cutting and not real

revenue growth. why should i care as long as they're making more money? surely that's the point, isn't if such? >> no, you shouldn't. but you keep buying long enough and you get caught cold and the market starts falling heavily. then why are you going to stand? you've got to be careful with your investments. you know what to invest and what to look for. look for growth and real quality investment. what is going to go forward and move that business forward? you shouldn't genuinely be buying into a company because of reasons of the bottom line. you should be looking for people that are expanding into new markets, into new economies, looking for growth. that's the things you should be looking for, rather than just throwing thrown at anything. >> martin, where would you stand on commodities? nouriel roubini telling us that the rally inned xhod icommoditi

can't be sustained in the second half? that china can't keep on buying? what are your thoughts? >> it depends on how much stimulus package they keep throwing at the market whether they can buy or not. one of the things with the rally if it can be sustained is inflation. if we see the macronumbers start to come back, we are talking second quarter 2010. if we see signs of inflation especially in areas such as india and china, if we start to see areas there, we'll see commodities sustained. i am against ru bin on this particular point.t. i think we will see a stronger move ahead. it's more inflation led. the cost of money being so low at the moment that's driving that price. if we start to see a tightening, then the commodity rally

westbound able to be sustained. >> martin, always a pleasure speaking to you. xw shares in barclays trading higher after a profit jumped 8% in the first half to just under $5 billion. the numbers were shy of forecast after impairment charges on corporate and consumer loans jumped 86%. the profit of the group's investment dropped from a year ago thanks to the acquisition of lehman brothers and commodity revenu revenues. speaking first, the president bob diamond, said the bank is getting conservative. >> it's getting easier and easier to see exactly how it's going to play out. we are expecting a difficult second half in the year in terms of provisioning. that's part of our plan. >> in china, more signs that the government is putting the lid on

extensive bank lending. according to dow jones news sources, china's bank regulator is considering restricting the use of bonds to boost banks. the regulator said 51% of suboredinated outdated bonds flowing into the sector. they say the acquisitions would help limit risk, responsible from the big lending spree from the first half of the year. >> the obama administration will be suspending the cash for clunkers program unless the senate approves the $2 billion approved by the house this week. the initial $1 billion program is coming close to running dry after just a few days of them recognizing some of the sales. transportation secretary ray la hood said right now there is only enough money to last through tomorrow.

that deadline coming very close. you can get more on the cash for clunkers program or this week's heavy calendar of economic data at cnbc.com. check out the blogs and commentary as well. definitely turn that into a tongue twister, cash for clunkers. coming up on "worldwide exchange," optimism from the former fed chief. alan greenspan said the u.s. is working its way out of recession. plus, nissan motors turns over a new leaf. we'll come from the chief executive. and under pressure, the four biggest banks post first half numbers this week. can they demonstrate lending has increased? we'll start after this short break. to redefine air travel for a new generation. to ensure our forces are safer and stronger.

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welcome back to "worldwide exchange." one of the largest financials in europe reported its numbers. the pretax profit over at hsbc was 7.5 billion u.s. dollars. the earnings per share down 63% but coming in at .21 of $1. let's get straight out to becky, who will give us some analysis on this from a london perspective. >> we see how strong the stock

is reacting. hsbc higher by 2.78%. appears to be climbing as well. let's look at some of the comments coming out from this company too. steve gave us the headline figures. bad debt charges are a bit closer. bad debt charges ahead of where they were. the commentary they're giving us on the outlook, this company says they are strongly positioned for the upturn but it's a matter of when the upturn comes is a moot point. the economic outlook remains certain. let me tell you what they're saying about dividends. total dividends for the first half, 16 cents per ordinary shares. they also have been really making a big effort to cut back on costs. they've cut costs by 3% on an

underlining basis and reduced staff numbers by 5% and have shy of 300,000 members of staff. we turned on equity within the range of 15 to 19% remains realistic. really the stock extending those gains we saw at the very start, just when the earnings hit. as i just mentioned, when you look on that day basis, before the numbers we saw hsbc shares trading in negative territory. now they are trading higher 4%. a moment ago, higher by over than 4%. the stock does seem to be reacting very favorably to this is figures. interesting to compare hsbc figures with barclays. hsbc trading higher by 3.6%. let's look at the shares of barclays as well..

they came out with their figures too. actually came in shy of analyst expectations. yet the stock of barclays also performing very strongly today, 4.6% higher for that company. the headline figures did miss expectations. they had very strong investment banking expectations. barclays higher by 86%. overall, the markets are reacting favorably to this -- to these numbers that are coming out. also, having a positive impact on the ftse 100 overall. ftse is trading higher by 1%. the banking stocks getting a bank of extra strength as far as the markets are concerned. let's get out to patricia in frankfurt. >> we are at a high at the moment. up 3%. however, volumes are low on this monday morning. we are trading almost at the level of 5,400 points.

i have to say the financials are not reacting too much yet. so i would have expected deutsche bank to be up there with the gainers. it is not yet. lind outperforming everybody, slightly below expectations. the outlook with what the company had to say going forward is taken positively by the market. up 4%. daimler up 2%. on the down side, metro coming through with second quarter numbers. underperforming expectations as far as what they expect the second half of this year. underlying data for the economy for retail sales for the month of june. much worse than expected. the outlook not looking good. in terms of unemployment, that would lead to the conclusion that retail sales are not going to be the driving force when it comes to the economic recovery. out here in germany.

kns, down 2%. the tech stocks also down.. all in all, the momentum from july is bleeding through to the change in percentages, however, the volumes are definitely lagging. >> it's been a positive start of the week for the smi with a gain of 10%. on the up saturday as expected, ubs is the biggest gainer of the day. those shares adding more than 4%, after swiss weekend papers suggested ubs will not be paying the fine in connection with the settlement of the u.s. tax issue, but they would rather

hand over up to 5,000 client names to the u.s. authorities. if that was true, it would be extremely good news in terms of settlement fines. we've seen a lot of speculation. there has been speculation that the fine could be as high as 7 billion francs. that would be everywhere good news for ubs. nothing confirmed by the bank. we'll hopefully get all the missing details this coming friday when the presiding judge has scheduled another status call with the two parties and when we'll get all the missing details here. before that, we'll be watching ubs second quarter figures. analysts expecting a net loss of 1.3 billion francs. let's go over to singapore. >> thanks, carolyn. over all, it's a positive picture here in asia. the exception though was japan's nikkei, which hit a ten-month closing high yesterday.

slightly in the red today. a couple of bright spots. bank stocks doing well. the largest lender doing well after it it posted its first profit in three quarters. in terms of earnings, panasonic closed 0.1%. but after the market closed, posted a smaller than expected quarterly loss of $540 million. it drastically improved or cut operating loss forecast for the sixth month. reports suggest it could swing into better than expected earnings. we saw good gains in many of the gold stocks. talking about hsbc, that stock

up 0.8%. i'll send things over to bertha. >> in the u.s., we're kicking off a very big week with a lot of economic data. the big number is going to be the employment report on friday. today at 10:00 a.m. new york time, we'll get monthly construction spending data. also this morning, we'll hear about the july numbers. ford is expecting to see its first gain in two years thanks to the cash for clunkers program. earnings before the bell today, watching for insurance kucompan humana, marathon oil and tyson foods. after the close, pulte homes, chesapeake energy and petroleum. >> shares in barclays trading higher after the group saw a pretax profit jump 8%, just

under 5 billion u.s. dollars. consumer loans meant that the impairment loans jumped 86%. profit made up for it somewhat, doubling from a year ago, thanks to the acquisition of lehman brothers thanks to strong debt and currency and revenues. the president approximate of the group, bob diamond, said the group is cautiously optimistic. >> i think the headlines in our minds is over 16 billion pounds in revenue in the first half of this year. as a group, that's a stunning number. it's up 37% on the previous period. driven by a couple of businesses in particular, barclays capital. if you look at barclays capital, you see the kind of revenues we saw in the first quarter were sustained in the second quarter. a little bit ahead in the second

quarter versus the first. the te10.5 billion pounds clear impacted by the acquisition of the lehman brothers business in the u.s. and frankly the quick and successful integration of that business. >> right. i'm sorry for the little bit of delay there on the tape. we've got more flashes hitting the wires from hsbc as well, including the fact that the group is talking about personal financial services, pretax losses of $1.2 u.s. billion. remaining remarkably resilient. quite a few problems in the united states with household acquisitions. hsbc shares coming up 1.3%. >> steve, coming up next on

"worldwide exchange," electric dreams become reality. nissan unveils the first mass market leaf car. we'll hear from the ceo. >> plus, president obama's administration has been talking up the u.s. economy over the weekend. will today's data back them up? we'll look at what can be expected from the manufacturing and construction numbers. we'll be back after this break. undefeated professional boxer floyd "money" mayweather

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global bank hsbc posts pretax year profit of $7.5 billion. thinks it is strongly positioned for the upturn but the economic outlook is uncertain. >> in europe, investors slhrug off lower than expected earnings. >> in the u.s., the lawmakers okay $2 million for the cash for clunkers program by today, it could run out of money. >> the momentum remaining to the upside. the ftse global 300 index looks like this. up 0.8 of 1%.

the hsbc numbers not deflecting from that momentum. let's look at the bosses. a banking bias. the ftse 100 pushing higher, up the best part of 1%, last month recording its best gain in terms of percentage since april 2003. we hit the bottom last time around. dax up 1.2%. and the smi, a little lag, up 0.38 of 1%. the euro-dollar, 1.42. sterling, currently trading 1.6825. the u.k.pmi rising from 58 in july. the highest figure since march

2008. u.k. manufacturing, new orders rising, the highest figure since last year. >> in fact, it was the pmi numbers from china above 50 that really propelled investors to snap up chinese equities. look at how the markets shape up today. we're looking at a lot of green across the board. certainly a momentum rally picking up pace over in the asian region. the country was the first to release trade figures for the month, setting the tone for what investors should expect. minus 20%. there seemed to be growing conviction that the recession bottomed out and china is on the path to the road to recovery. the hang seng up 1.1%.

the sensex higher by 0.7%. bertha? >> we'll get a read on pmi here as well today along with auto sales, that cash for clunker sales. ford expecting to post an increase in year over year sales as a result of that. we've got dow futures right now up 35 points or so above fair value. nasdaq futures pointing higher. s&p futures pointing higher as well. the longest winning streak in years. looking at the ten-year yield, a huge week for economic data. today we're going to get pmi. we close out the week with the jobless and unemployment report for june along with more news on just how much more issuance. no bond auctions this week, but the fed and the treasury will be

talking about how much more they'll issue in terms of three-year, five-year and ten-years. >> latest data out of europe. approximate pmis looking forward and economic data looking backwa backward? should we be buying on the strength of the latest numbers out of the europe and u.k.? >> this is the kind of market shares do quite well. the expectation is things will only get better. we don't have enough data to disappoint. i think the markets will continue to rally. we're seeing good earnings numbers. barclays a little bit below. but nonetheless they were okay. i think this is a good time to be in equities. >> what are your thoughts about

the asian markets? we have china up nearly 90% for the year to date. investors putting their money back on the table because of the pmi numbers and export data out of south korea. also fueling that conviction as well. >> yeah. the asian markets generally i think are going to lead the rest of the world, primarially because the economies are leading the rest of the world.. we saw -- you pointed out earlier, decent pmi numbers out of china. the market is rallying on what appears to be a fairly solid recovery.. i think we'll see better numbers coming out of that region, which will give a bit of a lift to markets. >> help us understand this dichotomy we're seeing. we had cpi numbers out of china at a nine-year lope. plenty of deflationary worries. what about japan posting a record fall? bonuses shrinks as well. how much is deflation going to put a damper on the rally we're

seeing?? >> i think we're looking at consumer price indices. i think from the cpi level, of course, deflation is not the issue to worry about. the numbers were slightly concerning, i guess. but the japanese economy unfortunately is finding its merchandising sector hollowed out. outsourcing on the part of japanese manufacturers themselves. that in turn is helping to depress wages in japan. of course, the economy continues to struggle. and it will be, of course, one of the lags in the asian success story. >> peter, here in the u.s., of course, the employment numbers loom large for friday. it seems as though the gdp numbers look good. earnings because of cost cutting looks good. that unemployment continues to be the factor that just doesn't change here and doesn't get

better. what's your outlook? when do you see employment peeking -- unemployment peaking? >> there's been an enormous collapse in employment. i think over the course of the next six months you'll start to see the rate of change of pay rolls regulating. i can't see that the employment numbers are stabilizing in 2010 given what's happening in the real economy and the labor department. bear in mind we haven't seen the change in gdp yet. it will take another nine months before that feeds into employment. quite a way to go on those numbers. >> but there are those who are concerned that with the consumers, 70% of the economy in the u.s., if we continue to see

this big lag in employment, it could really drag down the growth in the economy again. >> this goes to underlie the story many people have been telling. which is the recovery we're seeing will be a slow and protracted one. coming off the back of one of the biggest booms and busts in history. the damage that has caused to expectations, to consumer finances, bank's balance sheets is going to take a long time to recover. unfortunately, i think the recovery will be a slow haul, as major imbalances are rectified. >> is there any more clarity on whether it worked or led to prof profiteering. >> i don't think it's too early to say. i have to agree with the bank of england on that.

we'll judge more accurately toward the end of the year. we're start to see a narrow of interest rate spread. this is the by-product of the process. but in terms of stimulating lending, it hasn't had the desired effect yet. we should revisit the issue in three months' time. >> the senior economist at commerce bank there with us talking about the global economy. approximate. nissan motor unveiled its electric car, the leaf, over the weekend. the automaker has ambitious plans. it is hoping to be the first mass market electric vehicle. the leaf gallons on sell in the united states, japan and europe next year. it has a monthly charge for its battery. our bureau chief asked if the company might do better than it

initially thought after posting a small profit in the first quarter. >> you know, it's too early to say. i don't want to speculate into what's going to happen. it depends not only on our environments but how much the environment we're operating in will get better. we're optimistic little by little it's getting better. >> reporter: are you considering bringing back some of the workers you had to layoff earlier in the year. >> in our opinion, the european market is going to be one of the last markets to recovery. europe and japan will be the last to recovery. we'll have to wait to 2011. >> reporter: the first sales numbers for the u.s. market, below 5 million cars. do you think we'll hit the 10 million mark civil. >> we've seen a boost in the market. i don't think the u.s. is going to be an exception.

i think it's very popular. it's working well. we're seeing it from the results of the first weeks. and it's expected to continue. so this definitely is going to boost the market above 10 million.n. >> how much in dollar terms does the consumer need to get in terms of incentives for you to bring down the price of the electric car to an affordable price? >> what is very important to us is that the consumer considers buying an electric car is a good economic decision.. >> reporter: they won't be able to make that decision for several years. two or three years. in ta interim period, are you thinking of expanding your hybrid lineup? >> we continue to reinforce not only hybrids. we are reinforcing gasoline engine and diesel engine. because even in the hypothesis

where electric cars are very successful, we don't consider in 2020 it can represent only part of the market? >> reporter: will you continue to rely on borrowed technology? >> we used the technology where we partnered with others. in the second step, we'll be using our own technology. it's coming already on the market next year. >> reporter: interesting choice having a former prime minister come on board with you. do you envision any change in policy from the government here should the democrats win? >> the mayor and the prime minister all were on stage. they come from different parties. the change that may take place

will have little effect globally on nissan. >> that was the nissan president talking with our tokyo bureau chief. let's head over to mumbai and join in with ayesha faridi. looks like a pretty quiet session for monday. >> it is. the start was very flat and stayed within a tight, narrow range. it has picked up. the auto sector giving it that leg up. the auto numbers have started trickling in. tata motors and some of the other companies. 7% notch up. retail numbers come a close second. a little lackluster in trade

today. the trade deficit in economic news. it has narrowed this time around on a monthly basis. that shows some relief in the markets. that has lifted sentiment. the most bullish for the year. they see it up by 17,000.. while that is happening on one side, you have the petroleum minister, who has responded on the industries gas dispute. those stocks are resistant to the new growth we've seen. it's a good market for a monday morning. back do you have. >> thank you so much, ayesha, from mumbai. looking at other numbers. manufacturing activity is on a recovery mode in china.

the government's official purchasing manager index rose slightly up from 53.2 in june. it rose to a 12-month high in july. up from 51.8 in june. that is the fourth consecutive month that pmi held above 50 after hovering below the key level for eight months. steve? >> thank you very much. ubs declined to comment on reports that it will not pay a fine as part of the settlement of its tax lawsuit with the u.s. government. and the swiss banking giants will instead hand over the names of 5,000 clients to the u.s. the bank on friday reached a deal with the u.s. department of justice to settle a dispute over tax evasion, which was asking ubs to disclose the names of as many as 52,000 american clients. 47,000 are breathing a sigh of relief this morning.

>> yeah. definitely. here in the u.s., two top white house officials making the rounds on the morning talk show sunday saying they can't guarantee taxes will not go up. president obama's chief economic adviser, lawrence summers, and timothy geithner both saying they would not dismiss raising taxes to fix the economic crisis. >> we'll stick with this until americans are more confident in their future, businesses have access to credit, and families can put their kids through college. and the policies the administration put in place working with the congress were designed to provide very substantial support to make sure we get through this. >> you can get more news, videos and blogs all on cnbc.com. >> still to come, alan greenspan said the u.s. economy could grow up to 2.5% this summer.

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ten minutes to the top of the hour. welcome back to "worldwide exchange." shares in barclays trading higher by the tune of 6% now after the group saw pretax profit jump 8% in the first half to under $5 billion. the numbers shy of some forecasts after impairment charges on corporate and consumer loans jumped 86%. but the profits in the groups' investment arm doubled from a year ago. speaking first on cnbc, president bob diamond said the bank is cautiously optimistic. >> i think the headlines in our minds is over 16 billion pounds in revenue in the first half of this year. as a group, that's a stunning number. it's up 37% on the previous period. driven by a couple of businesses in particular, barclays capital and bar clay card. i think if you look at the

barclays capital number, you you see the kind of revenues we saw in the first quarter were a little bit ahead. the 10.5 billion pounds in revenues for the first half of the year are larger than any full year in bar-cap history, clearly impacted by the lehman brothers in the u.s. >> how are you assessing market risk at the moment, bob? all the analysts are doing gap analysis and trying to work out whether if we get a further deterioration in capital market activity how that is going to affect your revenue into third and fourth and then into first 2010? >> one of the things that really pleased us in the second part of the first half and the second quarter was that our value at risk -- because we didn't see the same market opportunities was significantly lower than in

the first quarter. yet revenues were higher. one of the things we're seeing, which is terrific, is the client traction. on the first half of this year, those clients doing over a a million pounds of business with barclays capital increased by 67%. and that's the kind of impact we're seek from the focus on clients across europe for years but also the tremendous client franchise. the scale and depth of the u.s. client franchise that came to us with the lehman acquisition. the client flows are what really drove the first half but in particularly the second quarter. that gives us pretty good confidence going forward. we always see a bit of a seasonal factor in the second half of the year with you get a slowdown in the summer with all banks reporting in december. likely to get a slowdown in december. if you adjust for those things, we see business is sustainable in second half.

>> do you think the market is on the money in terms of its anticipated level of corporate default at this stage, bob? we're looking at improving forecasts on impairment numbers from most of the banks quite frankly who feel that we will see a peak on corporate loan loss going into 2010. no outliars here, no concerns that maybe there is some conservatism in the degree of just how bad things could get? >> i think there is bound to be conservatism for most of us. it's been a difficult two years with the economy and with the financial markets.s. our head of risk at the analyst presentation this afternoon is going to really confirm consensus around our provisioning with the analysts they're expecting for the full year. he probably falls in the same category. robert wouldn't say there was

green shoots ahead. but the way he would phrase it is it's getting easier to see how it plays out. we are expecting a difficult second half of the year in terms of provisions. that's part of our plan. >> let's focus on the currency markets now. the pound hitting multimonth highs last time i looked. the dollar maintaining more pressure. let's go to the ceo of currency figures. what should my biggest concern be about the recovery story? >> what is happening in the sterling market that we are hitting since march' new highs, we see better stock markets.

that drives the markets lower across the board. you can look against asian c currencie currencies. >> if the u.s. data is leading and the u.s. data is getting albeit ambiguously better across the board or declining at a lessening rate, when do we buy the dollar instead of selling the dollar on the recovery story? >> at the moment, if we look backward through the last 18 months, the stock market moved up, the dollar is moving down. if the stock market moves down, the dollar moves up. if that correlation continues forever, i don't know. but that is dominating the market. i believe in the next coming weeks, there is quite a big chance we will see the dollar

moving up and so the stock market has to go down. we see that because we see overstretched dollar shorts. if you look at dollar-canada, our sentiment shows us an overstretched situation. the same picture happening against want u.s. dollar. that shows us that we have a correction on these two pairs specifically. these two in all the majors. we have seen the upswing in the coming weeks or seeing the dollar move. >> we have the aussie-dollar hitting a ten-month high against the u.s. what about the sense of sentiment what's going on with regard to the treasury raising so much in terms of those bond sales? did that impact the dollar last

week? this week we don't have sales, but they're going to introduce no doubt a massive amount. >> we all have the same situation. we have a low interest rate in environment. that's all the central bank is doing is pricing. it should be something coming out different. that would surprise the market. we think it is at the moment everything in line. you can't take out the dollar and the stock market and the euro-dollar. they all go in the same banks. all having the same cycles. this correlation will remain. you will see a change of the aussie-dollar if the stock market has to change. the stock market will keep on going up, we think aussie dollar will remain in a trance and it will go up.

as i said before, we measure against u.s. dollar and oversentiment, which means the market is overly expanding and close to a reversal of the move. >> we'll have to leave it there for now. appreciate your coming in today. the ceo of acc currency partners talking us through some of the latest currency trades today. much more to come in the next hour of "worldwide exchange." what is the danger of coming late into a rally? our next guest host has interesting things to say about the sustainability of the rally. he is joining us after the break. we know why we're here. to design the future of flight, inside and out. to build tomorrow's technology in amazing ways. and reshape the science of aerospace... forever. around the globe, the people of boeing... are working together --

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hello there. i'm chloe cho. in asia, the global bank posting a profit of $500 million. >> in europe, investors shrugging off lower than expected earnings at barclays after bad debted nearly double.. >> i'm bertha coombs.. in the u.s., the white house not ruling out tax increases.

hello if you're just joining us in the u.s., welcome to the start of your global day with "worldwide exchange" brought to you live from the europe, asia and the u.s. a ton of economic data in the earnings parade continues with three dow components on tap. proctor and gamble and kraft and cisco.o. we had great data out of china and encouraging data out of the euro zone as well. dow futures are up about 73 points above fair value. nasdaq futures are well ahead, as are the s&p, the nasdaq and the s&p having put in a five-month winning streak. the dow up 4 of the last 5. disappointing retail sales out of germany. the euro zone, pmi and other data looking pretty good. we've got the ten-year bund yield ticking down to 3.32.

looking at the ten-ier in the united states, no bond sales this week. however, we will get news from the treasury on how big next week's sales of three-year, ten-year and 30-year notes will be. the big economic data is on friday with the july jobs reports. that's the one area that everyone keeps talking about that we're not seeing any improvement in here in the states.. >> isn't it amazing that all the economists tell us data is back. everyone in the market looks at it for direction. let's look at the european markets and how they are performing at the moment. looking pretty good last time i looked and are building on that momentum. the banking news out of the likes of hsbc and barclays has been ambiguous. on another day, people might have loan at the nonperforming

loans, but they looked at the net figure overall and said we were ready for a downtick in the former areas. a big gain for the european markets. the dollar as well.. it seems to be that risk on the table. you you sell the dollar. euro-dollar pair edging up marge name. sterling remains very strong, continue to rally. up 0.7%. >> asian markets had a strong monday. we had mixed economic data. it looks like investors seem to take their cues from the more bullish ones. the greater china markets, the hang seng and the sansex having gains. a lot of investors convinced. export numbers out of south korea fueling more momentum into this growth story. again, this cautious rally could

come to a halt, especially as we look out to that all-important jobs number in the u.s. let's look as the equity numbers took off. nymex crude across $70 a barrel. sitting above at 70.40. let's look how brent futures are trading up. even higher. up at $72.40, nearly 1%. over to steve in london. >> thank you very much indeed. there's a note across my debt saying exports looking overbout. you have similar thoughts. there are concerns about trading against this, in both the corporate and economic basis? >> absolutely. pure objective measures, such as

the strength indicator has been strong for a couple of weeks now. that could stay strong for quite some time. we're watching the deviation, which is a pretty basic way of measuring a trend. i would say that in the case like the s&p and some of the individual stocks, the banking sector, and the retail stocks and the property stocks, believe it or not, they're showing signs of getting a little bit stretched. nevertheless, you want to try to short this market. generally speaking, the overall view that we have fundamentally to a degree cent wise 100% and technically in the major down trend in the equity markets. >> the bear market is over is what you're saying? >> that's correct. >> if the bear market is over, richard, if you're a buyer into

the chinese markets given what we've been seeing?g? and how would you play the turnaround story in china? >> we've never specialized outside of western economies to be perfectly frank. however, what we've seen on the massive indices, i think you've seen the chinese market move way too fast, compared to the western numbers we've seen in the corporate and macroeconomic level, which makes it grayer for me to look at the chinese market to say that's a clear buy. buying into dips in a very simplified approach in most indises will be for the next six to nine markets. would i buy the chinese market here? no, because i don't understand enough about it anyway. but i don't think i would be buying at this stretch level.

>> richard, you think that the trend is your friend right now. a lot of folks are foreseeing some of the rally losing steam as we go into the beginning of next year. do you have a strategy in mind in terms of going with the trend?d? i know it's the perfect timing. if you could time it perfectly, how would you do it at this point? >> for seasonal factors, into august and the summer holiday season. volumes have been low even across july across the board. nevertheless, we're still up here. the operate action is the most important thing taken at the moment. if we are correct in our assumptions we're going through a trend reversal, like any major trend in the past 50, 60, 70 years, whether it be equities or commodities, those trends don't toned just reverse and never come back. the point is you're going to have a lot of process of price movement and people getting overstretched or overconfident..

maybe too much retail buying at the wrong time. maybe too much leveraging again. nrch nevertheless, you start looking at buying weakness in this market, things like moving averages and technical patterns, rsis, i can go on forever. but the point is they're not getting overly complex about it. you can use those instruments to your benefit but with the view overall you don't want to be shorting the market unless you get strong periods of outperformance where it's kind of unsustainable.. we might be getting close to it. but i think it's shorting the market. >> you're staying with us. plenty of time. richard cunningham. plus, as richard was saying, you've got to go with the trend and barclays a great case in point after it posted lower than

forecast. we'll assess why the shares jumped in london. eeeeeee♪

welcome back to "worldwide exchange." hsbc first half profits halved from a year ago, on the back of bad debt in the u.s., europe and

asia. the numbers boosting shares in london currently up is 6.5%. loan impairments and credit provisions rose to almost $14 billion. the group says it's strongly positioned for the upturn. barclays, shares also trading higher by 6.3% up. the pretax profit up 6%. that number shy of some forecasts on impairment. it's doubled from a year ago thanks to the acquisition of lehman brothers and commodities revenues. speaking first on cnbc, president of the bank of diamond, said the bank is being conservative. >> it's getting easier and easier to see exactly how it's going to play out. we are expecting a difficult second half of the year in terms of provisioning. you know, that's part of our plan. >> joining the team, richie cunningham, our guest host, tony

cray joining us more more on these results. you can very much easily look at the down side. you can say the impairments are enormous and getting bigger. that's more the inherited position. if you look at the current business both in retail and consumer and corporate and investment banking, they're making money hand over fist, aren't they, these banks? >> they are. but we're looking at two banks. hsbc and barclays. they always say you save the best to last. that is not going to be the best this time around. it's going worse as you go on. that's being too pessimistic. the banks are going to write-off 32 billion pounds sterling. we musn't lose sight of that. but they're not paying a dividend. those are the areas there are down sides in this. if you take barclays in isolation, up nearly 400% since

the 9th of march. that's an enormous amount. you wouldn't be faulted or criticized to take some of that profit out at these sort of levels. i think they'll go better. but a bird in the hand is worth two in the bush.. >> richie, what do you think? >> if you had that leverage, i would love it. look if they pay a dividend in the second half, but the first half dividend is not there. it's that sentiment as much as anything else. people are still buying the banks because they haven't been in it enough in the first half of the rally or the other way around. then again, if there's any sign of upward momentum, people are reaching for the sky. i think we'll get a retraction in the banking sector at some point. what are hsbs numbers going to be like?

i don't know. clearly, there's a big plus that the other banks don't have. nevertheless, i think trying to short these banks would probably be a dangerous game to play. >> tony, it's bertha here in the u.s. >> good morning. >> talk about the regulatory environment. everyone was concerned about the regulatory environment both here in europe and the u.s. where lawmakers wanted to crack down on the banks. we're getting in addition from the asset sales that the fed was doing. it seems there is going to be a backlash about all that. >> i think you're absolutely right. take lloyds, for example, here at royal bank of scotland. they've raised their own cash and done it very well and very cleverley. there's no doubt about it. the regulatory position is one

that is to me causing great concern. i still don't believe they've got these banks under control. they look at these numbers and think, it's all over. it's in the past. go ahead as if there's no change. we're hearing about fancy bonuses. that's fine. providing they're being paid for results, positive results. in the case of barclays, i have no criticism at all. they did a great deal i thought with lehman brothers. we're already seeing it on the bottom line. good luck to bob diamond. he's integrated that business incredibly quickly. it's not an easy business to integrate but he does done it fantastically well. i do believe these guys should be paid and rewarded accordingly. i don't believe you should reward people for if you remember. that's happening it seems to me in the united states and the u.k. still. >> tony, good morning. this is chloe in asia. talk about hsbc. second quarter net loss, $5.95

billion u.s. far more than the previous quarter. a lot of people are saying hsbc, despite the strength and exposure in the key markets in india and china, it really depends on whether they've really crawled out of the doll drums, especially in the united states. do you think they've turned the corner? do you think that's why a lot of the investors are getting into the stocks now? >> we haven't mentioned charter bank of course. that's a bank i like big in your part of the world, chloe. i think their numbers this week will be phenomenally good. it will be interesting to compare numbers. where i've got a lot of time for hsbc, they were the first people -- it must be two years ago, they identified there were going to be seesrious problems coming up in the business worldwide. so there's no question about it. they seem to have their business

plan, if you look, in good order indeed. i know they've got a good deal of time for expanding their business. in the united states, they've had it badly wrong there.. >> quick disclosure. do you hold any of these banks? >> i do. >> which ones? >> i've got barclays, standard chartered and a couple of clients with royal bank of scotland but not on my advice. they're advisory clients. >> thank you very much indeed. tony cray, strategist in u.k. >> thanks very much. here in the u.s., two top white house officials making the rounds on the morning talk shows sunday say they can't guarantee taxes will not go up. president obama's chief economic adviser, lawrence summers and timothy geithner does think they would not dismiss raising taxes on americans to fix the american crisis. >> we're going to do what's necessary to bring growth back on track. we're going to stick with this

until americans are more confident in their future, businesses have access to credit. families will put their kids through college. that will be the ultimate test. and the policies that the administration put in place working with the congress were designed to provide very substantial support to make sure we get through this.. >> shares in metro proving it's not all bullish. the summer market in positive territory. it was a grim assessment, daimler, worst retail sales in june. average poll of plus .5%. >> steve, australia and new zealand reportedly buy most of the assets of british bank royal bank of scotland. a reuters source said the

transaction would cover six asian markets, excluding china and india, the $775 million would be the largest oversea transaction of anz. a very bullish day for the australian banks today. you can guilty more news, videos and blogs at cnbc.com. you can check us out as you can see right there. more to come on "worldwide exchange." it looks like ubs and the u.s. government are settle thanksgiving tax dispute. the swiss banking giant ready to provide as many as 5,000 names to the u.s. authorities. we'll have more details. at 155 miles per hour, andy roddick has the fastest serve in the history of professional tennis. so i've come to this court to challenge his speed. ...on the internet. i'll be using the 3g at&t laptopconnect card. he won't so i can book travel plans faster,

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let's get to the round-up of the global equity markets. let's start with becky in london. >> figures from barclays and hsbc. my job is made easier by the fact they're both graining strongly. barclays trading higher by 3.66%. shares of hsbc too. i'll tell you briefly what's going on. first half profits of barclays up, but missing expectations.

investment banking earnings are pretty strong. capital radio higher than expected too. hsbc came out with their figures in the past hour or so. the company telling us their first half profit at $5 billion, just ahead of analyst expectations. in terms of outlook, interesting comments from hsbc, saying the outlook is uncertain but fairly optimistic at the same time. cutting back on staff as well. anyway, the upshot of hsbc and barclays both very strong today. overall, we're up by 1.25%. having a tentative start to the session as far as the ftse is concerned. we are also sending plenty of basic resources stocks on the move as well. that's helping with the gains.

all the usual suspects in the ftse 100 rallying and sending the overall market higher. let's go to carolyn. >> thank you, becky. the smi trading around 0.5%. as far as the sectors go, they're pulling it lower. although we did have positive news out in that sector. the fda gave its approval to roche for testing for kid knney cancer. ubs may not have to pain a fine to the u.s. but rather hand over 5,000 client names to u.s. authorities. there has been a lot of speculation about any potential settlement. we've heard numbers of up to $10 billion u.s. and talk that ubs

would have to go back to shareholders and ask for more money to fund it. today there is a lot of relief in the market that such payment will not take place. that's it from zurich. let's go to singapore. >> positive picture in asia with the banking stocks and the auto plays leading the gains there. banks especially strong in japan. mitsubishi, the largest lender up 6%. and then mizuho financial. panasonic posted a smaller than expected quarterly loss, 560 million there. there are reports it could swing into an operating profit in the current quarter. as for south korea, decent days for hyundai.

kia sells up 20%. hyundai, 30% on the year. a cash-strapped automaker saying its shares really fell. >> thanks so much. we'll get auto numbers here. it will be a very big week for data with the monthly employment report due out on friday. a lot of folks watching the unemployment number on that. today at 10:00 a.m. new york time, construction data as well. auto sells probably start late in the morning. ford expected to its first gain in two years thanks to the cash for clunkers program which needs a senate vote to be extended. earnings before the bell, we'll be watching insurer lows on

consumer products maker clorox and tyson foods. after the close, numbers from pulte homes, chesapeake energy and andarko petroleum. coming up, as we mentioned, it's a very important week in terms of u.s. economic data. on friday, that jobs report for july is due out. before that, manufacturing data today. is the u.s. economy in recovery? announcer: some people buy a car based on the deal they get. others buy the car of their dreams. during the lexus golden opportunity sales event, you can do both. it's an opportunity today.

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it's just about half past the hour. here are the top business stories from around the world. in the u.s., the white house not ruling out tax hikes, as investors brace for a big week of economic data, including the all-important july jobs report. >> in europe, barclays numbers

topped the headlines after a stellar performance. >> and global bank hsbc posting half-year pretax prflt of $7.5 billion saying it is strongly positioned for the upturn but the economic outlook remains uncertain. >> welcome to "worldwide exchange." if you're just joining us in this half hour, welcome. futures have been pointing to a higher open, extending the gains we saw last week. mixed economic data coming out of europe. we'll be getting auto sales in the u.s. and pmi data due out mid-morning. dow futures about 73 points above valley. and s&p, five straight months of gain. looking at the ten-year note,

the treasury will be announcing how big next week's auctions will be of the three, ten-year and 30. we are coming off of the markets having digested a huge allotment much debt issuance from the u.s. yields at 3.54%. steve, of course, the big number here is going to be that jobs number on friday. that's likely going to really keep folks a little bit cautious. so far, it doesn't look like they are.. in europe this morning, those earnings coming out of banks. look pretty good. >> absolutely. the momentum is very much still to the upside as richie cunningham has been saying throughout the show. european bosses are building up ahead of steam. you can see very strong gains. day highs for the cac. the euro zone and u.k., big gains. u.k. manufacturing pmi orders

rise to 59.9. what has that meant for sterling? trading high against the dollar. and the euro-dollar pair gaining ground. plenty more markets. let's speak to chloe about some of those. >> certainly indeed. banks and autos lifting the asian markets higher. a lot of risk appetite. plenty of cautious sentiment out here as well, given the kind of expectations that people have about the jobs number out in the united states this friday. look at the final scores. we have the nikkei slightly pulling lower, albeit by four basis points. approximate still hanging above that 10,000 level. the kospi higher by half a percent. pmi numbers out of china up above 50, that threshold for 50. helping to lift those two markets, the shanghai compose it and hang seng.

the rally in equities propelling energy markets higher as well. nymex sweet crude futures across that $70 per barrel market. the asian market trading even higher, by adding on $1.06. let's check on brent crude futures. trading higher. still hanging on to the $72 level. it is over to bertha coombs in the u.s. >> thanks very much. joining us now for market strategy is the head for portfolio strategy at alliance global advisers. thomas, let's start with you. we have had an amazing run-up here in the states. the broader markets up five months in a row. folks are saying they expect third quarter to be the first month that we will see positive gdp.

have we priced in a lot of this good news already? or do you think this market is still moving to the upside? >> well, i think we've seen the past two weeks, which came to a lot of people as a surprise. this huge rally, like 12 days in a row. that big surprise is actually leading us to believe that the recession is over. to my own surprise, a lot of data out of the u.s., the data is confirming that. what we've seen from gdp and the pmis and smis of the world is all improving. the market only wants to see the positive news. it's ignoring, for example, that retail sales this morning from germany. so we are definitely in the mode that the recession is over. it's a relief, really. and i think that is still set to continue.

we've tested with critical levels of the market in my view for the next couple much weeks will slowly move upwards. >> thomas, you sound a little bit hesitant about the market moving in upwards. richie, you think the bear market is over, that the recession is over. are you as hesitant as thomas is? >> markets have always looked forward, nine months or further than that ahead. any data coming through showing a significant slowdown in data, maybe even up signs of growth, which is a financially important area globally will help equity prices move up. what i am saying is that i think the bear market is over. it doesn't mean we don't move down 8 or 9% in equities. any kind of weakness that you

might experience on a very broad-based approach, you use to buy rather than to sell. >> this is where we move into very difficult territory. a lot of people are saying the market is overbrought. when irrational exuberance takes hold, it can last many months and potential years as well. if you don't like the market on fundamentals but feel that the trend can continue, how do you get real money into this market from here? i think there are real reasons for the market to rise. it's actually a classical development. you can back-test that.. any time you are in a recession, you buy the market in the midst of a recession, like last april. a liquid-driven rally. low interest rates and huge amount of money being pumped in by the central bank, institutions. that's exactly what happened. we have now the indications, the recession, the worst is over. we are clearly in the

liquids-driven rally.y. there will be a transition period in the third and fourth quarter. we will switch from the liquidity-driven into getting some real hard confirmed economic activity that confirms the upswing. i think you need to be in a change of mind set and need to be positive-mindeded for the market and look for the opportunities. i think they are in the industrial sector -- they are in the emerging markets. but also what will happen over the next six months, you'll pay a premium for solid growth. you even have to look at some boring food and beverage companies. you need to make sicyclicals an food and beverage to survive the next six months. what i'm telling my people is we need a change of mind set. switch from bear market into positive or bull market environment and look for the

opportunities rather than having your feet on the brake. >> richie, i was told this was going to be a very slow recovery. that people have to look to the yield, 4 or 5% approximate high income these days. when you've got a market rally 20% it's just throwing that new mind set on its head almost straight away. >> i think we've learned lessons in the last year and a half about analysts saying what was wrong. this might contribute to the swiftness of the rallies we're seeing. this is a good point, trying to convey that message, which is more technically but also from a sentiment point of view the mind set has changed. my mind set has changed. it takes a while to get your head around a bear market. the change in the trend is always difficult to maneuver around. we're putting them back a few percent last month. that's how it is.

the most important thing is to look forward. that's the way shyou should be positioned rather than where you were. there will be periods of a trace. is today the right day to put your money in an equity market? probably not. you now play this on the long side. >> thomas, let me follow-up on what you were saying. isn't it a little bit dangerous to get too bullish? look at the data points here. it got u.s. foreclosures at all-time highs. 1.5 million for the first half. and credit card defaults at a 26-year high. unemployment rate on both sides of the pond at nearly 10%. >> it's true. some of the activities are -- data, especially in the housing sector, still looks terrible. i mean, basically what we've seen in the housing data last week has been some stabilizations.

we are really happy that things are stabilizing, not falling apart anymore at the same pace as they used to. it will be a critical part. we're going to get activity data that's not quite confirming what the leader indicators are saying. we will be unsure. we will not going into the safe side probably until the first quarter of 2010. tough times for the equity markets. they look for confirmation of what the leading indicators have been telling us. corporate earnings and activity data, the housing market, and the u.s. and consumer data will be probably sometimes on the critical or disappointing sides. i agree with the colleague that in most of the time, probably 7 to 10% correction. you'll work a tough way through here. also the recession, even if it ends, it will be subpar growth, slow growth, between 1.5 and 5

2.5. nothing we're used to coming out of a classic recession. tlbl tough to work our way out of here, but it will end in a positive way. the more risk we see now, the higher the returns will be in equities over the third and fourth quarter. >> i certainly hope so, thomas. great to have you on the show. head of portfolio strategy private clients. we'd like to say goodbye to richard cunningham as well, thank you both for your comments today. we are going to cross over live to tokyo and check in on the trading day there from the nikkei. good evening. >> had willo, chloe. trading in the tokyo stock market was directionless today. the nikkei see-sawed within a tight range, ending just a fraction lower. boosted by better than expected corporate performance, the nikkei had been on a sharp upward trend since mid.

july, gaining over 14% in just three weeks. investors ware of an overheated market are waiting for more earnings results from major companies as well as cues from japanese and u.s. economic indicators scheduled this week. however, the topics gained 0.6%, the longest gain since 1998. carmakers among the major gainers. toyota gained 2.5%. they'll be announcing quarterly earnings tomorrow and having a car parts manufacturer and several companies within the group raise their profits through the year made the investors hopeful. nissan rose over 5%. all three makers hit their year-time high.

mitsubishi climbed 6%. that's all from nikkei business report. back to you, chloe. >> thank you very much. now we have the nikkei. bertha, over to you now. >> thanks very much. a lot more on the show. we'll talk about ford coming up. we expect to hear more upbeat prospects as we get auto sales later today. look at how the u.s. futures are shaping up with the great pmi data out of europe and china. welcome to the now network. right now five co-workers are working from the road using a mifi, a mobile hotspot that provides up to five shared wifi connections. two are downloading the final final revised final presentation. - one just got an e-mail. - what?! - huh? - it's being revised again. the co-pilot is on mapquest.

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welcome back to cnbc's "worldwide exchange." here are some of the stories we've been following from around the globe. ford in the u.s., here two top white house officials making the rounds on the morning talk shows, say they can't guarantee taxes will not go up. treasury secretary timothy geithner says he would not -- the administration would not dismiss raising taxes in order to try to address the growing deficit. and he and lawrence summers say the administration is focused on fixing the economy. >> we're going to do what's necessary to bring growth back

on track and stick with this until americans are more confident in their future, businesses have access to credit, families are going to be able to put their kids through college. that will be the ultimate test. and the policies of the administration put in place working with the congress were designed to provide very substantial support to make sure we get through this. >> ford is expected to post its first monthly sales increase in two years. the automaker's top sales analyst says demands is surging for that cash for clunkers program which the senate needs to approve. the senate has to approve it. it might run out as soon as tomorrow. the monthly auto sales report comes out later today. ford shares climbed 72% over the past year. it's up 8.85. >> more raises in the u.s. this afternoon for the u.s. viewers.

carl will join us to tell us what to expect. more for the upside? >> you got that right. a new month for the markets. we'll count down to the friday job numbers. our guest host today richard bernstein. plus, black box's rob dole. hotel operator lowe's. the cash for clunkers program may be about to stall unless the senate approves another $2 billion to keep the incentives going. that as auto makers get ready to roll out sales. we'll get expectations for the rest of the big three. senator bob corker of the banking committee on getting the fdic more power to unwind these bank holding companies. going to be a busy week. we'll start it off here. >> look forward to seeing it. >> we're not quite down yet.

we'll look at the trading day ahead on wall street when we come back after the break.

the head sales trader at world spreads, joining us for a look at trading ahead. today we'll get pmi. we're going to get auto sales. we've got great pmi out of china and out of the euro zone. we're seeing as a result ail heading to a new high, back above 70. are people a little too heady about the economic recovery here? >> yeah. there's a lot of optimistic, which i'm usually surprised at, certainly today. last month we saw strong gains. i've been very cautious about volumes have been so low. in july, i think any institutions watching the market for slightly higher get that opportunity in july. i've got it forecasted for august, 1.5 to 2% lower by the end of the month. oil going back up to the highs

of 75. squeeze potential to the up side of 75. no greater than that. there isn't any true fundamental reason why the construction and the rest of the economy is back on track to where it was say a year ago. >> is there that much money to come into this market? my understanding is that you missed it. you mentioned low volume. a lot of people have had money to put into the market. they want to put it in lower, perhaps in the last month or so. is the money on the sideline? >> if you look back at may/june, that was a big trading range, especially for the ftse. it's between 43 and 45. everyone was calling for a bit of a pullback. we have quotes of 4,100. no one was really overly bearish. people wanted to get in at the lower level. that's where they've got in at. at the moment, clients are short of the markets at the moment.

they have been for the last week. they are certainly getting squeezed for the moment. we think it's a matter of time in the next week or so where they'll get their wishes coming up. >> if one has missed out on the rally so far, do you think they should hold out, sit out the rally that we're seeing? >> i think they'll have some opportunities this month. i would be hugely surprised if at some point this month we weren't lower than levels at this point in time. strong gains in the month of july. i think we will have a bit of a pullback. certainly between 3 and 4% off this month. by the end of this month, 2% lower. they will have the opportunity this month. >> all right. thank you very much. we'll leave it on that note. >> thanks. >> that's why we have you here. these days, when you have to spend,

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good morning. cash for clunkers.s. sales for automakers. ford on track to post its first monthly increase in two years today. it's the economy, the white house taking the message to the air waves this weekend. all in a day's work. the anticipated monthly jobs report top this week's agenda as "squawk box" begins right now. ♪ come monday it'll be all right ♪ ♪ come monday i'll be holding you tight ♪ ♪ >> here we go, everybody. good morning. welcome to "squawk box" right here on cnbc. i'm becky quick along with joe

and carl quintanilla. the house approved a $2 billion extension of the clunkers program. the senate expected to act on the bill. the administration saying if the senate doesn't by tuesday, they're not going to honor the cars coming in. a report with phil lebeau coming up later on today. >> a number of auto sales. a number of key releases building on friday's big jobs numbers. that report on manufacturing tomorrow. pending home sales and wednesday, adp. challenger, factory orders and nonmanufacturing. thursday, we'll wind our way through jobless claims and decisions from the ecb and bank of england. friday, forecasters expect data to show the economy lost more

than 300,000 jobs last month. who knows, with cash for clunkers and auto production that number could come down. >> you're nudging me. you are. we're going to be in washington tomorrow. >> we are. >> going to be in the senate hearings. >> in the capitol building with a bunch of senators. six of them? >> uh-huh. >> going down for health care. but it will be in the middle of cash for clunkers.. after reading all -- >> wait, wait, wait. carl was gone on friday. let me set the scene for him. on friday, i was asking questions, do we really want cash for clunkers? >> i was taking both sides. maybe i didn't realize. i thought you got $4,500 off the price of the car. >> what's the difference if they give you cash? >> because you finance the car for three or four years. so you're paying 200 a month. and the gove