good good morning. you're watching "worldwide exchange." these are your headlines from around the world. >> another day in the green. risk assets rising as investors hope for hints of more stimulus in ben bernanke's testimony on the till today. >> this as janet yellen lays out the case for more qe if down side risks to the economy materialize. >> spain will this morning of course be finding out if the market doors remain open when it tries to sell off of 2 billion euros of new bonds. >> plus chinese companies are still buying up overseas despite the slowdown in domestic growth.

>> good morning. glad to have you back with us. ross is still out on holiday, but he'll be back monday. >> he's sneaking around kind of everywhere. so i think it will be a super interesting day today. >> not a big auction, but it will be a telling one. and then we have a bank of england decision. >> loads to cover because a lot coming up. we'll continue our coverage of the spring conference in copenhagen. it's become an liability on president obama. more on that in 20 minutes. >> and we'll get the latest reading of uk services pmi. more grim evidence he ahead of the boe rate decision.

>> and the luxury sector with a sales trade out of hong kong. find out what companies are benefitting from asian sales. one of the stocks he's recommending comes with a lifetime warranty. >> and is the debt crisis making bad behavior worst? an author has fascinating observe observations about greece. >> and we'll get investment strategy from big joe clark. he says china is the problem child in a no one wants to pay attention to. all of that and plenty more. >> janet yellen says there are three conditions under which the ped might ease if they sdecide the recovery is too sluggish.

. >> there are a number of significant down side risks to the economic outlook. it may wel appropriate to ensure against shocks that could push the economy into territory where a self reinforcing downward spiral p economic weakness will be difficult to arrest. >> yellen of course is one of the more dovish members of the fed and it's likely her comments will be echoed by chairman bernanke as she's perceived being relatively close to the fed chairman. he'll be testifying later today. he goes before the joint economic committee at 10:00 a.m. andle followed by a q&a. fed watchers of course will be listening for any hint of further qe, but it's not really expected that he'll tip his hand in this setting. >> and >> and the boe latest rate

decision today amid a weak economic backdrop. interest rates are expected to stay on hold at this record row level that we've had of half a percent. >> and the evident cb left interest rates on hold yesterday, however mario draghi did admit that a pew members would have preferred a rate cut. the ecb president confirmed the three month ltro program would continue until the end of this this year, but he put the onus on governments to do more to stem the crisis. >> some of these problems in the euro area have nothing to do with monetary policy. i don't think it would be right for monetary policy to feel other institutions lack of action before a few members would have preferred to have a rate cut today. i would say not many. >> head of market economics for europe from the national

australia bank. so draghi yesterday leaving the door open if they need to step in, worst case scenario, but to be fair, they've already done quite a lot. >> still incredibly optimistic about the outlook for growth. they're still around minus 0.1%. they can point to stronger q1 growth, but in reality, we think it will contract about half a percent. it might not do that much for the economy, but at least it tells markets that the ecb is there. >> what's interesting is the response in markets. we've seen this real risk on mentality this week despite pot getting a lot of action from the ecb. is there a risk that this will rally peters out or have we put in the lows for the year?

>> i think we may have seen the lows. two weeks ago the world was falling in and central banks haven't overreacteded. we got a classic central bank governor's response. we won't tell you what the trigger is but we will step in if needed. which is precisely what we'll hear from bernanke. if things get worse, don't worry, we have am you munition, we will help you. and those are the comforting words that markets want to hear. >> why is it that they did didn't revise down the growth forecasts? >> if they did, then the rate for a rate cut becomes almost automatic. they're clearly nervous about q2. we're would told it will be negative. we're off to the greek elections, and then a view as to

where the eurozone will be. >> spain will be auctioning up to 2 billion euros of debt later today. it's a crucial test of its ability to access credit markets. analysts will be focussing on whether the country can hit the top end of that target and chief solid demand. >> resulting due just after 10:30. do you expect the demand for the auction to be strong? >> i think spanish banks might be buying most of. whether we'll see a technical failure, they will tell you we don't actually want to sell the bonds. i expect we could get a technical failure of the long dated. short dated stuff, the spanish banks will post it back on deposit with the ecb. >> there isn't an issue where investors didn't show up for an auction. but it seems we shouldn't overly focus on these auctions because it's really the underlying deterioration that is the main

problem or the main issue. >> we want to thouknow how much demand there is but the market is clearly rigged at the moment because of the ecb ltros. >> wondering about recapitalizing bankia. let's talk more about what's taking place else where. tom is here for the rest of the hour, but two separate private studies show china is on a spending sfrpree. >> good morning. the first study done by investment firm a capital shows china's outbound investments rose to $21.4 billion in the first quarter of 2012 after they had stalled last year.

assetses in the resource sector were the most sought after. and it's seen as a way to tap into high quality assets that would otherwise not be for sale or out of reach for them. direct investment tripled to more than $10 billion. although total chinese outbound investment is still small compared to the size of its economy. most analysts believe the country is on a veshlg rge of a global shopping spree. beijing has encouraged chinese companies to make them more competitive globally, but that encouragement has triggered push back from overseas governments. they don't like how involved beijing is mr. these transactions and they've got a pretty good reason to be concerned. about 98% of all deal value

generated in the first quarter was done by china's mega billion dollar state opened enterprises. back to you. >> market check for you if you're just joining us. this is what we're looking at here in europe. of course we've just been trading for around, what, an hour's time or so. the stoxx 600 up by just around half a percentage point. we saw quite a bit of green on our screens yesterday. of course there was this notion that the ecb, they left the door open to step in and help the markets out if need be, but it does seem at this stage based on trichet's staunch during his press conference that he would like to see governments still stepping in and doing what they need to do in order to stabilize their various markets, issues as well. you've got the french market trading a bit higher and ibex 35 higher by just shy of 1% right now. a brief glance at the sectors.

telecom flat to a little lower. utilities you'll recall yesterday we were higher by around 4% on utilities heading towards the midday time yesterday. but banks leading the gainers. household goods also putting on some gains this morning, as well. the bond markets, that will be interesting. history tells us at least recent history, don't rush out and buy into the periphery bond markets right before they ask for a bailout. 6.1%. let me show you the forex markets, too. the euro rates, euro cross rates, the euro-dollar trading off by 0.2%. 1.2552. relatively stable trade in euro-dollar here within the past couple of sessions or so.

let's head back out, though, to asia once again for an asian markets update. >> investors are regained market appetite among chatters of qe-3 as well as a rate cut, but regionally the surprise australian employment number also helped lift sentiment. it shows the resource rich economy added 46,000 full-time jobs in may versus the market expectation of who job growth. the aussie market finished about 1.3% higher. the shanghai composite finished dragged down by housing shares. over in japan, nikkei had a strong day closing up about 1.25% on hopes for a spanish banking fix. elsewhere, the kospi also finished higher after coming

back from a national holiday yesterday as tech stocks and banking shares outperformed the broader market. and lastly just a quick check on sensex joining the rally, up more than 1.2% at the moment. kelly, back to you you. >> about you want to join the conversation here on "worldwide exchange," get in touch with us. do you think markets are too dependent on quantity taet difference ease something will the rally fade if about bernanke doesn't indicate more stimulus? e-mail or tweet ultimates s @cn. >> after the break, we're live in copenhagen where martin feldstein says the eu fiscal compact is an empty gesture and a political union will never be realized. realized. [ male announcer ] this... is the at&t network.

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yes, we are looking at what's taking place in copenhagen. the conference well under way. comments hitting the wires. the danish finance minister quoted as saying she doesn't believe in stand alone austerity

plan. this comes as no surprise really i would think because we do believe in a stand alone, there's not much hope for growth. i think you would have to mix it up as a finance minister. >> and sweden's finance minister talking about how the european central bank must be liquidity measureses in the medium term in place. this potentially suggesting that perhaps they should have done so yesterday or maybe just underscoring the need to keep them in place. he also says the eu must reduce uncertainty in the banking system and eu economies must open up for growth kind of keying off what we just heard the danish finance minister there and he says the recap of spanish banks must be tough on owners. we'll bring you more headlineses from that conference as we get them. the sminstitute of internationa finance represents private sector bond holderses and has criticized the ecb's role in the

deal. speaking in copenhagen, deputy managing director said a situation where they can claim preference over private bond holders is an unhappy one. joining us is martin feldstein, harvard university. marty, initially right off the bat here, can we get your thoughts on the european situation? was the euro project, mr. feldstein, a mistake. >> it was a mistake the way it was constructed at the beginning. but they're stuck with it now. the countries differ a lot.

greece is different than talking about italy and spain is different from either of them. so there is no single fix for all of them. frankly, i think greece is beyond repair. unless they will transfer money year after year indefinitely, the best situation is to leave the eurozone, devalue a new currency and be able therefore to grow again. italy on the other hand is in much better shape. italy doesn't need to leave the eurozone. italy has put in place policies both on pension reform and tax reform which will give it a palled budget gradually reducing

the debt to gdp ratio. so italy should continue to have relatively good access to the the bond markets. >> if you're saying it was a mistake to start with, the euro zone project, and if you're saying that we need to recognize that all economies are very different, why then are we working towards this banking unity right now. >> i don't think they really are working toward that. i think what we're going to to see now is a fix for the spanish banks, putting extra capital into the the spanish banks so they can go and were row and be able to deal with their underwater loans. but the big problem for spain is not a banking problem in the long run, it is that the individual regions of spain have

fiscal independence that has allowed them to create large budget deficits and that has to be controlled. >> do you think, martin -- or let me rephrase. which of these two scenarios would leave euro in the least pain, a coordinated eu banking regulation system that tries on to keep us all together and save i guess the unity that europe is now or would it be better just to let greece go, maybe let portugal and ireland go. >> i don't think those are alternatives.

>> how likely are we at this point you think for another recession in the next year in the u.s.? >> i think it's certainly a possibility. maybe one chance in three that we will actually slip into negative territory. in the first quarter of the year, we had less than 2% growth. last year, we had 1.5% growth. but recently there was a sharp decline in the rate of increase of employment. so we could see significantly lower growth going forward. >> does that mean the federal reserve, because we'll hear from bernanke later came, does that mean that they should, they must act? >> i think the pefsh hfederal r helped the bond market, but the

more recent policies of buying long term bonds and mortgages really hasn't done anything it for the actual economy. it hasn't boosted boosted investment, hasn't boosted the housing construction. so i think that the fed's actions really cannot solve the more fundamental problems of the economy. >> but martin, we don't even know where the markets would be and where the economy would be about if the various central banks hasn't stepped into support the markets through their stimulus programs. we were some would argue falling off a cliff at one with regards to the market activity. how could you suggest now that we best see the central banks support the markets? >> i think that the actions of the federal reserve have certainly helped the stock market. i think what mario draghi did at the end of last year helped the bond markets in europe. but it's one thing to help will the stock market.

it's another thing to help the actual economy. to help employment. and we're seeing that once again in the united states, the employment situation is very, very weak. so the fed is not capable of fixing that and to the extent that they keep building up liquidity in the economy, they'll make more difficult to unwind that liquidity without inflation in the future. >> and you're there at the conference. the big question is what kind of regulations we'll get down the pike here in the u.s. to comply with bass i will 3. should tougher regulation right now be a way to piks the economy or are you worried it will undermine growth? >> i think there's a real risk that it will -- and even more so in europe than in the united states. it will make harder for the

companies to get credit. in the u.s., the nonbanks will begin to and already are filling in the gaps when banks are not there. but tighter backing regulation in the u.s. will make it particularly tough for small businesses, new businesses and i think that will certainly hurt the base of economic expansion. >> martin, it's been a pleasure hearing from you. thank you very much. enjoy my hometown copy hey again. i recommend maybe a little beer. martin, thank you. >> thanks very much. >> a spokesman of golden dawn attacked two fellow mps during a live television debate. the footage uploaded on to youtube shows the sposs man

first throwing a glass of water at the syriza deputy. now as you can see there, slapping the communist. the television station where this happened antenna tchl v called the police immediately after the incident it's indicated that charges could be fired against him regardless of the standing. still to come, we'll be getting the uk services pmi data straight after this very short break. break. [singing] hoveround takes me where i wanna go... where will it send me... one call to hoveround and you'll be singing too! pick up the phone and call hoveround, the premier power chair. hoveround makes it easier than any other power chair. hoveround is more maneuverable to get you through the tightest doors and hallways. more reliable. hoveround employees build your chair, deliver your chair, and will service your chair for as long as you own your chair. most importantly, 9 out of 10 people got their

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welcome back to "worldwide exchange". let me talk you through the uk pmi data just heading our screens. 53.3 in may. the forecast was for around 52.5. and it's also pretty much -- actually exactly the same level in april. the services pmi new business index rising to 54.8 in may. business sxeblgs tapgss, though, being hair lowest since what we've seen from december. so one would assume maybe tom that this firmer uk services pmi data may be raising doubts about quantitative easing? >> i think it does.

remember mpc telling us they were expecting contraction in the second quarter and so maybe q2 the output losseses from the diamond jubilee may not have been as bad as feared. the other problem of course we have qe, what can you do when bond yields are 150 year lows already. you won't add a lot of stimulus into the the economy. i think if they need to do something, perhaps it's the quantity and the availability of credit they need to start working about. globally central banks have the price of credit down. still nothing on the availability. >> we see sterling a bit higher after that number. market interpreting it stronger not surprise relative to expectations. what's your view for the recession in the uk? a lot has been made of the fact that the country is back in its second recession since 2008, but do you expect to be a shallow one? >> yes. clearly in the short term falling construction and falling manufacturing some of which is weather related. we'll burn out of that and the

jubilee will affect output. inflation will be much lower and that will -- >> without any action on the bank. >> without any action. it's the falloff of inflation. in 2013, even if we grow the same number as this year, we have output around 1% higher. >> let's get you up to speed with our headlines today. another day in the green. risk assets rising once again as be investors hope for hint wills of more stimulus. >> and fed vice chair janet yellen lays out the case it for more qe if down side risks to the economy materialize. >> i'm convinced the scope remains to provide further policy accommodation. >> and spain will find out if the market doors remain open when tries to sell up to 2 billion or rows of new bonds. results due in under ten minutes time. >> chinese companies meanwhile still buying up a storm overseas. this despite the slowdown in domestic growth.

>> all our european markets higher by around half a percentage points or so. >> bond market, ten year ger machine bund at 1.37%. again, we were down below 1.2% just in the last week or so. spain and italy in in, as well. spab down to 6.16%. italy about 5.6. markable. and gilts in the uk after that somewhat stronger than expected service sector data are up to 1.67% there. >> peripheral yields have been

easing. we're looking at a euro-dollar level of 1.25. relatively unmoved by the rate decision later on. >> interesting that the euro-dollar weaker but supporting the risk on move. spain looking to sell up to 2 billion euros in a crucial test of ability to access credit markets. borrowing costs expected to stay near highs. focusing on whether the country can hit the top end of its target and receive solid demand. an investigation into bankia which was nationalized of course last month. in an interview with efe, the state prosecutor said he'll be probing the legality of the seven way merger that created bankia in 2011.

it's lost more than half of its value. >> a completely different story now. the hong kong listed italian fashion house prada expected to show a nice boost thanks in part to its growing asian sales. analysts say it's a sign of hong kong's high end retail sector. still a big draw for investors december sbit the global slowdown. others haven't been quite as lucky. let's start with the overall picture. is the luxury market holding up relatively well compared to the weak nest we're seeing elsewhere?

>> i think the rich in china do like to buy brand names and the rich suffer less in he's economic hand times than many the rest of us do. so that's one of the bill draws. we still have a lot of rich people here and they're still spending money. >> what type of luxury is it that they're buying? is it super high end, medium to slightly high end? you can see where the majority of money is flow something. >> it's difficult to quantity pie it that way. i think the good brand names and the well-known global brand names are the ones that they prefer. the rich like to show that they have got rich. and, therefore, the high end names, the prada, the hermes, those are the ones that hold the cache amongst them going forwards. >> winnow there's concern about the strength of the chinese

economy, about investment demand going forward and all of that, but what are your favorite picks to take advantage of some of the consumer strength you're talking about? >> i think very much the like of those good global brand names that we've seen. prada is one of our top picks. we also like samsonite. it's a well-known global name again. and footwear market has a high end meecniche. and i think those are solid performers going forward. if you're going to treat yourself, you'll treat yourself on something nice and it would be in that sort of brand names. >> andrew, the spending patterns or the spending habits of the chinese, can you just talk a little bit about that? because you tend to see that the spending habits are slightly different than europe or the

u.s. >> the chinese, it's a very competitive market. obviously to get their money. and the high end names do go out of their way to make it a whole luxury shopping experience for them. and it's quite interesting that obviously with the strength of the yuan and with the lifting of raffle restrictions, we've also seen that a lot of those purchases done by the mainland chinese aren't necessarily done in china but done when they go on holiday to any of the major cities in the world. but they like interestingly must have know to make sure that they're not getting fake goods. having exclusivity. >> what's it going to take given what you're talking about, some of the fundamental demand being there, and yet we've seen high proceed pile ipos pull their

listings. what's going to take to turn that around? >> i think you have to remember that either's more of an art than a science. when graff first announced their ipo, the hong kong market was trading 21,000 sort of level. by the time they finished the marketing, the global markets had come off anywhere between 8% and 10% and honk congreg kong d. it will be difficult to persuade investors to part with their money in a new enterprise. so it comes back to having that global confidence in stocks again. confidence that the companies have got a future going forward, that the global economy won't fall off the edge of a cliff. and while we have the hangover of greece bearing over people and the uncertainty over the rest of europe, i don't think we'll see that confidence coming back. but all that said, it really comes down it on pricing at the

end of the day. if people are prepared to cut their price, then there's a level at which investors become interested. >> already are andrew, thanks. >> samsung has a new ceo. they've promoted the head of its components business to be it new company cheap. meanwhile the patent tent war between apple and samsung got more heated. here's a report from seoul. >> apple is filing a new u.s. lawsuit that will try to slap a sales ban on the galaxy s-3. it's accusing of infringes its u.s. patent, but samsung says it will vigorously oppose apple's move. in the meantime, the korean electronics giant says it will forge ahead with the planned launch of the gallon sex and i three and the u.s. on june 21st.

the latest dispute comes just weeks after the ceos met to try to work out their differences. samsung and apple can currently fighting 30 legal disputes and with the new lawsuit, it appear there is is no end in sight to the war. back to you. >> meantime taiwan's h chlt c is in trouble. the world's fifth largest smart phone maker shares dropped to a two year low.the world's fifth phone maker shares dropped to a two year low.in trouble. the world's fifth largest smart phone maker shares dropped to a two year low.trouble. the world's fifth largest smart phone maker shares dropped to a two year low. htc is also fending off apple's attempts to block imports of it latest models to the u.s. but htc says its offerings are in compliance with the international trade commission ruling. new hope that a handheld device will stay charged up for longer periods of time. the story live from tokyo.

>> stoke i don't based printing firm is developing something called a functional film that could booth the life of smart phone factors by up to 20%. it's to be used on the back of battery packs to absorb volatile gas released by batteries as they age. it prevents them from swelling up and help willwills them last longer. it will start shipping prototypes within a year. back to you. >> thank you very much. and speaking of things in asia, let's give you a look at the agenda. the bank of korea likely to keep rates on hold when it announces its policy decision.

japan will announce revised first quarter gdp. and australia releases april trade numbers at 3:30 cet. we'll cover it for you early in the morning. the british finance minister says the spanish banking system needs a cash injection. speaking in london, osbourne said that eurozone leaders must act immediately. >> i'm clear that while the duty to sort out the spanish banking problems, british taxpayers money is not on the line and british taxpayers are not standing behind the spanish depositors. these are problems the eurozone have to short out, but i think there's every sign that they are sorting out these problems. >> stock market other than nasdaq has offered to pay up $40 million in cash and rebates to clients harmed by the botched

market debut of facebook. however those same clients say the offer isn't enough and rival exchanges have criticized the unpair use of rebates in their words. in an exclusive interview with maria bartiromo, nasdaq's ceo explained how they came up with the $40 million sum. we'll bring that interview to you in just would one second be we have the results of the spanish bond auction. a key test of sentiment. they appear to have sold about 600 million euros for the 2014 bond, $825 million for the 2016. the bid to cover ratio 4.3% for that two year bond and 2.6% for what appears to be the longer term bond. although again good bid to cover ratios. the ten year had a bid to cover of 3.3. that compares with 2.4% for the last auction. the question is what terms of

course the spanish are paying in order to get investors to show up at the door. it appears the yield they had to increase up more than a percentage point from last time. and for the 2014 bond, 4.5%. so people showed up, but they had to pay them quite a sum to do so. >> irish ten year stood at 8.11% about, three months later, 8.95, address then above 10% and then above 10 13.5%. >> and they don't even have access to the market. >> same in portugal. now it's somewhere in the region of 11.5.

a bit less. it seems there's a willingness to buy spanish debt. >> if you're a spanish bank, back door recapitalization. they're buying two year bonds at 4.5%. a slow wave recapitalizing, but i'm sure it will help. >> we're talking about 1 to $2 billion, this is not a big chunk of financing. >> the january 2022 bond, max number yield 6.121% versus 5.77% that we saw back in april. >> raised about half the money it needs and they got in very early. so markets are a bit dysfunctional, but at the only need to tap it. they have some time. >> we'll talk more about this

after the break. angela merkel is playing down expectations for a master plan to save the euro. we'll have the latest live from frankfurt next.

we brought you the results on the spanish debt auction that so many around the world were watching. people are calling it wellell received because people actually showed up and bought the bonds. will this is only $1 billion or $2 billion for maturities two to ten years. yields significantly higher than the last time. the 2022, that's the ten year bond, went out for 6.12%. now that compares with 5.78% on april 19th. tom, we've been speaking about this, but again big increases in what spanish government has to

pay. >> yes, obviously things are slightly deteriorating. there's still a belief that europe will come up with a comprehensive plan. i think we'll still see pressure on yields compared with portugal, compared with ireland, the cost of spain actually accessing funding from the esm or esfs has been reduced. they were paying penalty rates that have now been reduced. >> this is opposed to be going in will to effect by july, but only four countries have approved it. >> we do need everyone to approve it, so, yes, still waiting. >> that seems like a big butt. >> david cameron reportedly taking conflicting positions on germany's role in the eurozone crisis. he will urng angela merkel to act immediately to stem the

crisis. however, speaking last might ahead of a meeting with the norwegian prime minister, cameron said i don't think it's fair to lay all of the responsibility to germany. meanwhile merkel has told the german public broadcaster iad that no single summit can sole a solve all of the debt woes. patricia, what's your interpretation of this this? >> i think that she's not saying anything that is news to us because we just have to monitor what's been done so far in the crisis with all these meetings, it's not really been resolving anything. she wants to produce a real agenda towards more europe with a time table, with attached reform proposed which then basically can be eventually ratified in to a closer europe and this is exact will i what she wants to see is an open yes to more europe either you are in

or you are out. she's talking about two speed europe. that means fiscal union, political union, more sovereign power to europe and she's been veried a today month about that and i think it's interesting to hear that. plus she's been very much commented on overnight talking about the germany may be more open to aid to spanish banks, simply because it is a state guarantee. yes, the meeting today is absolutely crucial because remember, there's one important issue that cameron is pro and germany will counter and that's the euro bond issue. but as you said, it's massively important to britain interests that the euro actually does survive. >> it was mentioned before the break nasdaq has offered to pay

$40 million to clients harmeded by the botched market debut of facebook. in an exclusive interview with maria bartiromo, here's how they came up with the sum. >> here's i think the source of the difference. what we had to do is obviously not be emotional, focus on the factors. and we had to isolate the variable. we had to see the orders that were trying to come into our cross and we had to make compensation for those orders of not properly executed in the cross. where he could not take responsibility for trading decisions other firms made. we looked at what was happening in our market and the beauty of our market is we've had the ability to rerun the cross as if it should have run on may 1th. so we know exactly what transpired. so in that accommodation policy, we broke down in three classes.

it's clear and clinical and day a based. good so you messed up and then you say we'll cut fees so you get more market share. why are you getting more market shares because you cut fees as a result of a mess up. >> we're not. when we cut fees and the people will get the reduced fees. they don't have to give us anymore market share. our market shaer can be clue decline and people will get paid. so i think there's just a misunderstanding of the fact will. we are offering this to our customers who transact with us every day. they do not have to give us one incremental share for them to earn this payment. >> have you lost business already in terms of tech ipos coming here somewhat are you expecting in terms of market share losses as a result of this? >> great question. so first we obviously want a major switch and that was western digital and that was announced may 20th. so that was a good sign. the other sign is our backlog of ipos has not changed. it's increased since may the

18th. obviously we're involved with intense discussions with all our customers, we're communicating with them on a regular and frequent basis. so we're doing that. so we certainly are working hard to maintain the business we have and so far we've been successful. >> the group says the compensation plan does not come close to covering reporteds losses and the remedy is simply unacceptable. if you want to hear the exact thoughts of knight capital, tune into the halftime report at noon. >> you have to hand to maria, that was a phenomenal interview. >> and he had great answers explaining what's going on. >> about as forthcoming as you could hope. want to bring you quickly flashes here. the "wall street journal" reporting if you want to know what was behind some of the risk

off move we've seen in markets, this should give you a sense. china's sovereign wealth fund sees arising risk of a eurozone break up and has cut holds of stocks and bonds across the region and even more importantly, the sovereign wealth fund says it's unlikely to buy common eurozone bonds as the risk is too big. tom, quick reaction. >> not surprising. wi they have no interest in sovereign debt. they don't want the risk. but they're happy to purchase euro assets about about they are physical. >> so what thought would you leave viewers with now? we still have the fed to go with, the bank of england, as well. how would you play markets? >> i think they'll try to give everybody a big hug. i don't think they'll do much on the policy side, but if they do, we're here to help.

but it's 00 eatoo early for the act. >> it's been a pleasure having you in. thank you very much. we have a full hour coming up of "worldwide exchange." >> i want to hear from dan. he'll be on the show. weep the get the latest read on the state of the greek economy. we'll get employment figures for that country next. in here, great food demands a great presentation. so at&t showed corporate caterers how to better collaborate by using a mobile solution, in a whole new way. using real-time photo sharing abilities, they can create and maintain high standards, from kitchen to table. this technology allows us to collaborate with our drivers you in.

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welcome to "worldwide exchange." >> these are your headlines from around the world. >> another day in the green. risk assets rising as investors hoping for hints of more stimulus from ben bernanke's testimony on the hill. >> janet yellen lays out the case for more qe if down side risks to the economy materialize. >> i'm convinced that scope remainses for the fmoc to provide further policy accommodation. >> and spain of course having found out that the market still is willing to buy spanish debt. of course you have to speculate that it might be the spanish banks buying spanish debt, but

they managed to sell the top end of the range. >> and china continue its to invest abroad, this despite weakness in its economy. >> u.s. futures positioned to open up on the dow by 30. we'll hear from ben bernanke just a little later this morning. look at how the mood as evolved across the globe. global 300 has been pretty quiet, although we've seen gain it is in the last hour, 90 minutes or so.

we're now up about 0.4% on the day. and a closer look at the bourses across the continent, ftse 100 up about half a percent, xetra dax same, cac 40 another half percent there. eye bek the oibe ibex, 1.#%. pretty stron 3. >> the past three days greens on our stage from the ibex. nice for a change.. >> the past three days greens on our stage from the ibex. nice for a change. >> the past three days greens on our stage from the ibex. nice for a change. let's talk about sectors. a little more red creeping in. still relatively flattish trade to the down side. utilities lower by half a percent. banks leading the way hire bygh 1.3%. household goods trading up by just shy of 1%.

of course the bond markets is where a lot of the attention has been within the last half an hour or so. just over 2 billion euros worth of paper they managed to sell. nevertheless still saw demand again as i was saying. it might be that we're seeing quite a bit of spanish bank buying. ten year bund o, 1.3% buying in the periphery markets. currency markets, bank of england rate decision anticipating no change. euro dollar flat to just a couple points lower, as well.

>> want to bring bring breaking news from greece. unemployment rate hit 21.about 9% in march up from a re viced 21.4% in january. we told you spain's good result to our auction, although our guest indicated it's probably a lot of spanish banks buying a beneficiary of the move we've seen in bond yields recently is france where it's now selling debt more cheaply than it was just about a month ago, selling real long term bonds now. yields that are 3.27% for borrowing on just incredibly long term horizons. lower of course than what they sold bonds for in the past.

>> i think the stance mr. draghi took yesterday after the ecb rate decision or no change, i think it was the right stance for him to take. demand for spanish paper rose at their latest government debt auction. sold 2 billion euros on the high end of what it was hoping to do however the price they had to pay investors to borrow row money did rise john, thank 230s getting up early for us.

is europe receding from the top of the worry list? >> it's interesting when you look at the board and see all the group and yes, sp rk, spaint a little higher, but french yields were down. and that's reassuring. . again, european central back didn't do anything spectacular, but we seem to have stabilization. that's good. >> do you think, though that we will see the central banks, though, stepping if or will they be holding off and letting the various countries deal with their various issues and sort out their banks? >> i would say there is a developing theme that lling some type of coordination going forward between the federal reserve, the ecb, the bank of england, the swiss national

bank, perhaps a few others. so there is that sense that we can't just have the individual central banks going to alone dealing with their own little sovereign picture, but rather let's take a look at this, because it is a global issue. and i think it takes a global response. >> that still may be to come. we'll get more in a minute. but first, fed vice chair janet yellen says the door is still open for monetary easing 34r5urly if the central bank becomes more worried about a down turn. yellen says about they decide the recovery is too sluggish, two, if there's a threat of deflation, or three if down side risks it to the outlook become sufficiently great, they will ease. >> there are a number of significant down side risks to the economic outlook and it will

need to be a reason. >> yellen is one of the more dovish members of the fed and it's likely that her comments will be echoed by chair machine ben bernanke. he goes before the joint economic committee at 10:00 a.m. most don't think bernanke will be tipping his hand. john, do you think bernanke will tip his hand? >> i think he's going for follow up on yellen's comments. reassure the marketplace that the fed does understand the situation and i also liked what yellen had to say where she's not going to wait to have a bad situation. they will anticipate that if perhaps will there looks like the situation is developing that's kind of negative, they will go ahead and do something.

i suspect at this point in time that they will reinforce that situation twist is still in place. i don't think they will end at the end of june because we don't know what that that july employment number will be. but i think it's a little early for qe-3. but i think he'll echo janet yellen's comments that, hey, listen, we're sensitive to the problem. we look at different things. and we'll act ahead of what we think may be a really disappointing result. >> you call attention to a couple points here to be concerned about. one is a slowdown that we've seen in business investment spending and the other is this question as to whether corporate profits have peaked. >> well, i think both are key leading indicators. yes, capital spending in terms of equipment and software certainly has slowed down the united states. and that's taken a little bit off the top in terms of your all

economic growth. and corporate profit growth has slowed. i don't think profits have peaked, but it is the slowdown in growth because we're always talking about the slow down in the growth. slow down in capital profit growth is not a good sign for employment or for capital spending because it's the profits and the incentives of those profit has generate the investment spending and employment. so i would say that when i look at that tells me the economy is not picking up steam, not accelerating. so let's go back to january either yellen's point. of course you have slower economic growth. you might have rising unemployment. that might be the condition for the fed to make a move even though we don't have recession on the horizon. >> so net/net, do you think we'll be looking at a sideways

move through the economy, does it have to get weaker? >> i would say we're looking at 1.5% on 2% growth for the second half of the year which is a little bit below what we saw the last two years. again, i would reemphasize that's going to be disappointing to a lot of people and it may open the door for another fed move in terms of the additional accommodation that janet yellen was talking about. >> john, thank you very much for now you're staying with us for the full hour. earlier wednesday, the nasdaq offered $40 million in cash in and rebates to customers who lost money on the ipo. that plan was met with sharp criticism from customers like knight capital for an example who claim that their losses are

much higher. they sell us maz contact has no direct responsibility to individual investors, we have been embarrassed, quote/unquote. >> is anybody's job on the line, whose head will roll? >> we tlad to come out of this as a stronger better organization. we announced today that ibm will be coming into help us out. we've been in intensive discussions internally. we want to get the external view point. clearly we can improve. >> is your job on the line? >> that's not for me to say. i think my track record speaks for itself. this was not a high point for us, it clear cly was a low poin but we'll be a better company as a result. >> speaking to our colleague in the u.s. nasdaq in german trade lower by a percentage point or so. >> that's underperforming the

broader market. if you want to weigh in on that ipo on whether basel iii should be pushed forward and put in to place or not, what do you think? worldwide@cnbc.com, @cnbcwex, @ kelly_evanses, or at louisa bojesen oig. still to come, is the debt crisis making bad behavior worse? we'll be speaking to the author of the honest truth about dishonesty. [ male announcer ] this... is the at&t network. a living, breathing intelligence teaching data how to do more for business. [ beeping ] in here, data knows what to do. because the network finds it and tailors it across all the right points, automating all the right actions, to bring all the right results. [ whirring and beeping ]

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welcome back to the program. these are your headlines. risk assets rise amid hopes of stimulus in ben bernanke's testimony. >> january eithet yellen lays o case for more easing. >> and spain's borrowing costs continue to rise. >> the bond auction store sold

slightly more bonds than planned. they sold across the board the 2s, 4s and 10s. slightly higher yields, but nevertheless still proving that ebb investors are willing to go to the market and buy span ir paper, although it is thought will that probably spanish banks were the main buyers out there. >> and in the meantime, france has sold 10, 15 and 50 year bonds at record low yields. so if you want to know where especially investors are going, france is one of those other beneficiaries. campaigners in spain seeking to file a lawsuit against bankia raising money via crowd funding about. so par they've raised 15,000 euros via donations website. >> i wonder who is paying into that fund. >> mens warehouse shares have plugged as the company issued a down beat second quarter

outlook. apparently they have different season, so you need a fall un for and spring uniform. >> maybe it's a sign of trouble. we'll see. google is adding 3d cities. users can navigate around an aerial view of the city and i think we're both a little freaked out. >> what if you're sit manage your garden having a cup of tea and people can see you. >> they already have the little vans that go around and take pictures. hard not for feel a little freaked out by will sometimes. >> and china on a spending spree in europe. beijing's direct investment almost tripled in 2011. again, not surprised by this. we know the chinese are there. >> "wall street journal" reporting that the sovereign wealth fund there has been

pulling back exposure to european bonds, to european stocks. maybe responsible for responsible for some of the market weakness. fed set to vote on controversial new banking regulation. the question is whether there will be unintended consequences. more on that next. >> we'll leave you with a view of our heat map. this is how europe is doing. higher by a half a percentage point on the stoxx 600. more green than red. optionsxpress, where you can trade your favorite products,

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welcome back. as we a wait bank of england's rate decision, let's take a quick check of u.s. futures. green arrows, not quite as strong as yesterday, but the s&p 500 would be opening about 5 points higher, dow jones up about 38, and nasdaq by almost 11. >> goldman sachs's inner circle may be getting smaller. the smallest numb in years. goldman has cut it workforce by more than 8%off thes past year as deals with a down turn in trading and new government regulations. speaking of regulations, the fed will vote this afternoon on

whether to propose on so-called basel rules. critics claim the new buffers could impact lending and raising requirement too quickly could weaken the global economy in the short term. might be to the fed, the fdic and office of the comptroller of the currency, they must approve the basel iii rules for them to take effect. john is still with us. the basel iii rules, we seem on still be heading in the direct of more regulation it's a question which have is the right regulation and when do you go to too far. >> yeah, it'ses always that delicate balance when you're trying to look at and you've got it right, when you look at even on miss cal austerity, yes, fwheed the austerity, we he need some regulation here but too

much does suggest it's a global balance. we're learning one step at a time. it's a work in progress. we'll never know that there's a certain right regulation an as you know, financial markets always change over time. so regulation thathat was put i place in 1980 or 1990 or 201 becomes out of indicate. >> do you think the title rules will ultimately end up hurting bank lending? >> that's a delicate balance. lending in the traditional sense, perhaps. but i would suggest that we'll probably find new ways of lending as people have new types of demand in terms of credit. so i think credit lending in in general will evolve in a different way than we've seen in the past.

but it will change. >> i wonder if the question is whether they're creating imbalances whether trying on to rectify them and whether you think qe-3 which you say is on the and i believe will ultimately help support growth in the u.s. economy. >> it does appear that when you look at let's say the five year u.s. treasury rate at something less than 1%, and when you compare that with the consumer price index running around 2.5% or so, doesn't seem to make a lot of sense. seems to be an awful lot of liquidity out there provided by the central banks and arbitrarily depressed interest rates especially again the u.s. sovereign rate or even the prench rate you mentioned and it does seem like there's an awful lot of liquidity, interest rates

low relative to inflation. it gives you the sign that, wow, there's questions here so interest ratings are probably too low relative to inflation. and i think an invest or has to take a look at that and say, wait a minute, maybe we should be doing something else with our money. >> har i told us this morning he puts the odds of a recession at one this three in the next year. what's your view? >> i'd say one in ten at best. i see jobless claims doing okay. ism okay. no. 00 high. one in ten. we appreciate your time this morning. china's plans to impose stricker rules has been delayed on 2013. it will help give china's big banks more time to meet the you haver requirements to meet the

compliance. analysts say bay jipg may want to avoid squeezing credit conditions. >> and in greece, the media is in an uproar after the spokesman of golden dawn attacked two fellow mps during a live television debate. the footage shows the golden dawn spokesman first throwing a glass of water at the syriza deputy. and then slapping the communist mp. it's unclear whether the spokesman has been arrested, about you reports indicate that he could be. coming up, we'll bring you more news out of greece, spain, nasdaq's reaction to facebook and a preview of bernanke's testimony, as well.

welcome back. if you're just joining us, i'm kelly evans. >> and i'm louisa bojesen and these are your headlines. >> risk assets rising as investors hope for more hints of stimulus. >> janet yellen lays out the case for more quantitative

easing if down side risks materialize. >> i'm convinced the scope remains for the fmoc to provide further policy accommodation. >> and decent take up at an auction of spanish government debt shows madrid can still access the markets, but it has to pay more to do so. dow would be opening higher about 35, nasdaq almost 10, s&p 500 pointed up about 5 points. quiet start to the morning and now up more than half a percent on the index. a little bets it of relieve thf

spanish auction went off so well. ibex up almost 1.5%. >> and the big question as always is how do you make money in these markets. here's what some of the experts have been telling us thorn. >> could you see a short squeeze up through 1.30. you could see euro-dollar move significantly higher. medium term, still has to go down. >> equities overweight, and so on because it seemed that with the long term growth potential of the markets and the economies well difference to the price,

you certainly would come out ahead. except for the existential risk that we don't think is large, i don't want to suggest that we think greece will leave the euro. but we'd like to have a little more confidence before going back into a major way in risk assets. >> we like samsonite. it has two brands very much in the travel business. a well-known global name. and then in the footwear side, stellar has a small niche. >> we'd love to hear from viewers how you think we should be making money. and we're still seeing the data showing us that the fund outflows out of periphery europe is quite large. and i'm just wondering where is that money going.

>> i still think back to the guest who told thaws could i sneeze consumers would forego lunch in order to save up for a pair of shoes or handbag that they really want. so a reason to play the retailers and forget about some of the fool and other services names. boston fed president speaking in copy high again. making comments showing concern about conditions in the eurozone. he says there is a i will risk seeping into economic forecasts in the u.s. he's worried problems are hurting growth and und underscoresing these record low buying yields show inflation isn't top of the worry list.

>> you're in europe, holding on arrest g tab gets. >> janet yellen goes this to quite a bit of detail as to why inflation is so sticky. she says it's because wages don't adjust so quickly. but the same is probably true across the eurozone, as well. >> we'll talk more about inflation a little bit later on, but in the meantime, demand for spanish paper rose. selling 2 billion you're rows of two, four and ten year debts. but the price spain had to pay investors did rise. >> and the ritual of tax dodging seems to be in full force. tax collections were down 20% during the first 20 days of may compared with last year. two scholars who reviewed tax records ahead of 13 national elections have found a clear

drop in tax payment when government officials are more focused on political campaigns. so the question to put now to our next guest, profession arrest at duke university, dan, whether the economic crisis across europe is actually making bad behavior worse. >> i think so. and there's a couple ways to think about this. i do mostly expeer minutes about dishonesty and i tempt people to lie to me and i can see when people lie more an when people lie less. and one of the things we find is that people look at the behavior of others as way to indicate for themselves what is acceptable behavior and what is not. we give people a sheet of paper and we say solve as many as you can. when you finish, count how many you got correctly, go to the back of the room and shred that piece of paper and ten they will

us how many you got correctly. people do it, they say they solved six problems. what people don't know if the experiment is that we played with the shredder. so the threader only shreds the sides of the page, but the main body of the page remains intact. now we can find out what people really do and what we find is that people solve four problem, but report to be solving six. lots of people cheat just a little bit. what happens when we see other people cheat in an egregious way? we do the same experiment, but we get somebody to raise their hand and they say i solved everything. they get all the money possible and everybody sees them leaving with all the money. now you can the question of what will happen to everybody else and we have would interesting results. the first one is that they cheat, as well. and the second thing is it depends on the source of that person. here's what happened. when the person who cheated in an egregious way wears a sweat

shirt of university, people cheat more. when they wear a sweat shirt from another university, people cheat less. why? because when we see people around us from the same social group, same nationality, same union, cheating in an egregious way, it becomes easier for everybody to cheat, as well. >> we're with you, but what does that mean if i'm someone right now trying to say to greece, to italy, reform your system, are you suggesting that that is a vein attempt? >> yeah, it would be incredibly hard because if uyou are fwrees oig and you're surrounded by people who haven't paid taxes a long time, what is the chances you will say taoday is a new da. no. your chances of what's acceptable and not acceptable has been formed all over the

years ands's hard to say from tomorrow let's start behaving differently. >> okay. you're saying with us. italy's finances have been baddered by the prices. economic conditions have proved to be a real boon for the criminal organizations. reports of suspected money laundering by financial institutions has risen almost 150% between 2010 and 2011 from the previous two years. on cnbc, there's a write up on that. but i'd like to know how hard it is to change your behavior, too. if you're looking at greece again or italy and if suddenly you're being told you have to pay taxes or austerity measures are coming in to effect quite

harshly, you can go from being used to living in one way to accepting living under quite harsh conditions, how does the human psyche function like that? >> has been hard on do, but one direction for hope. if you think about dishonestyof, we find people cheat a little as if they're trying to balance feeling good on one hand, cheating a little on the other. and then at some point for many people, we see that they often then switch and start cheating all the time. and we call this the what the hell effect. and the idea is if you cheat for a while and you can't see yourself as a good person anymore, you might as well go all the way. and then you you say that's how people do anyway. i teach at the university. my students have no problem with

illegally downloading music. they think this is just the way things are meant to be. so shear one cu eflt. if you think about -- >> dan, hang on one second because i just want to be clear. are you suggesting that we're at a point where we might have reached that tipping point where you take a certain -- have we reached the what the hell moment, dan? i think we have but i'm not hopeless yet. i'll tell you why. when we think about how you can get people from the what the hell effect to basically starting fresh, we looked at the catholic confession. we actually went to catholic priest in italy and talked to them about how they think the catholic confession works. and we've done experiment on will and the catholic confession does two things. once you confess, people feel good about themselves and they behave well for the next two days. but the secretary thing turns out it eliminates the what the

hell effect. so you start cheating all the way, and about it there's a sense of both saying sorry and trying to open a new page, there is an improvement about trying new things. and you can think about the reconciliation act in south african as a national confession. and from that perspective, i think that the referendum of the nation is important not just because of the decision, but also because basically says we're starting fresh. will they be willing to do it, i'm for the sure. >> we love the analogy. thank you so much for joining us this morning.not sure. >> we love the analogy. thank you so much for joining us this morning. i should apologize to my grandfather for saying hell so much during that last segment. coming up next, nasdaq ceo apologizes for the facebook glitches, but pot everyone is happy. the pull story.

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open an account today at optionsxpress.com. a living breathing intelligence bringing people together to bring new ideas to life. look. it's so simple. [ male announcer ] in here, the right minds from inside and outside the company come together to work on an idea. adding to it from the road, improving it in the cloud all in real time. good idea. ♪ it's the at&t network -- providing new ways to work together, so business works better. ♪ earlier we asked martin feldstein if greece leaves the euro, will italy follow suit? math the new wrimatthew says gre

and member states are stalling. join the conversation. worldwide@cnbc.com, @cnbcwex, @ kelly_evans, at louisa bojesen oig. >> and we were asking with a would you buy at the moment and he writes in i'm booiging investment grade corporate bonds only at the moment i'm wait and watching. and i say that you because i'm standing in front of a bond wall. decent uptick. they had to pay for it, but they did manage to sell top end of the range of two, four and ten. yields coming down a bit p. in fact out of this board, we only have the bund being sold back a bit while people still willing to head back into some of the periphery bond markets. >> if you're just joining us,

these are your headlines. risk assets rise amid hopes of stimulus hints in ben bernanke's testimony on the hill later today. federal reserve vice chair janet yellen lays out the case for more quantitative easing. and spain sees solid demand in their auction, but borrowing costs continue to rise. nasdaq says they owe an apology for the glitches last month. earlier wednesday, the nasdaq offered $40 million in cash and rebates to customers who lost money on the ipo. that plan was met with sharp criticism from customers like knight capital who claim that their losses are much higher.

>> quhoos head is going on roll? >> we have to come out of this as a stronger better organization. we announced today take ibm will be coming into help us out. we've been in intensive discussions internally. we want to get the external viewpoint. clearly we can improve. >> is your job on the line? >> that's not for me to say. i think my track word speaks for itself. this was not a high point, but we will build and be a better company as a result. >> still to come, will ben bernanke provide fuelm martin baccardma markets for another rally? >

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we have quite a bit of green on our screens. the spanish market continuing to see gains across the board. a risk on environment today, yesterday, day before yesterday. >> auction offering shall relief but let's see what happens in the u.s. trading day.8hall relief but let's see what happens in the u.s. trading day relief but let's see what happens in the u.s. trading day relief but let's see what happens in the u.s. trading day relief but let's see what happens in the u.s. trading day relief but let's see what happens in the u.s. trading day relief but let's see what happens in the u.s. trading dayf but let's see what happens in the u.s. trading day.ome relief but let's see what happens in the u.s. trading day. weekly jobless claims expected to drop, but clearly one to watch. at 3:00, april consume credit report and ben bettrnanke will testifying on capitol hill. two other fed officials are speaking today, as well. minneapolis fed president and dallas fed chief. keep an eye out for results from lululemon and from jm schmucker. dow would be opening by about 36 points higher, nasdaq almost 10,

and the s&p 500 up by 4. so joe clark, financial enhancement group, joining us for a preview of the trading day. what's driving market action, what will it take for this risk rally to continue? >> we've already got it. the joker is in the deck. one in europe and one here at home, the united states. i remember back in the late '90s with the greenspan briefcase watch on cnbc every day as we would watch him go into the federal reserve. the jobs number will come out, but all ears are on the fed. not that we would ever think about insider trading, but if i could sneak into if i board room in in the world and get any newses that i wanted to know, i would want to know exactly what bernanke was going to say and when because that would be the trade for today. and until the next qe program unwinds. >> does he have to indicate more quantitative easing, is it enough to not say they're not doing it? >> you kind of got this sidekick

thing working. to a degree we're addicted to this. he alreadied his will right hand dove out of san francisco yesterday start the primary talk. i think that was enough green that he may be able to keep a little bit of the verbiage back. but he's in a pickle. he doesn't want to appear overly political and at the same time he has to act while the economy looks weak. we got the jobs number coming out today sure enough, but it's nothing compared to the jobs number we had last week. he had the negative trajectory, the revigs were bad p right now he's got an excuse to go ahead and start that serious conversation. and you already watched you how the market responded. everybody wants to be santa claus. >> that would be nice. do you think that if we hear the same types of noises coming out of the fed as what we've heard from the ecb so far, that where we stand ready to step if need be, do you think the market will continue to be supportive sf

we're seeing quite nice support in the markets this weekend at least. >> numbers are numbers and those of us who follow techle cals which is one of our legs understand that every time qe has beaeeen bee reached about, market has moved in a positive correction. you know the middle class consumer and folks younger get taken advantage of. i think the market are clearly respond there. where your trade is i believe you'll see people pull out of the market before qe whatever number you want to call this unwinds. so you will see the positive response. it's kind of like buy the news. but it will be sold sooner. >> do you think as well, is will an area of the market that you simply deem to be oversold? >> when you look at itt i think you have to look at oil and say

we have an issue there. i won't say the probability of qe 4 is 100%. we call the twist qe-3, by the way. i won't say that it's 100%, but it's darn high. and if you believe that, then you have to look at oil and go, okay, that's probably got to rebound. i'm not a big fan of gold. i can't eat. i can't sleep with it. it's not one of those things that i want to keep around forever. but if the qe comes out, you'll see those commodity praises rise. those are probably two places that people can trickle into a little bit. the energy sector concerns me. in some of the changes that are going on in the world, but some of it is clearly overold right now especially about if you see that qe process. >> there's a tweet that wants to know whether this is an area that will continue to rise. >> the beautiful thing about gold is it's on a chart where you request decide relatively quickly. you don't have to let it move 5% against you to realize that you probably messed up.

and i would forget what gold is i would forget what you think about it, what you feel about it. i would play gold if i was going to do it purely technically, just look at the charts and support. if about it falls through the support level, i think you have to run. it looks like a chance to work it way back up. >> joe clark, from the heartland, we'd call you big joe, but after losing 150 pounds, i don't think we can do that anymore. plenty more coverage on this tomorrow. >> speaking to the chairman of linkedin, as well. and the bank of england special coming up, as well. >> i'll let beccy get in the chair here and we'll throw it over to squawk in the u.s.

today's top story, spain tests market sentiment after a turbulent week. and do you you hear a helicopter circling? it's not andrew coming to work, the's ben bernanke heading to capitol hill. and the markets are listening for more hints of central bank easing. european stocks are trading higher. pointing to a positive open at home. today is thursday, june 7th. you'll hear again what day it is during the show. "squawk box" begins right now. good morning. weapon