it's after posting a record fall in service revenue because of the slump in southern europe. sprint on the lookout for more sugar. check out the rival dish deal just as its japanese suitor gets set to collect its financial muscles. apple is now in the defensive after a u.s. senate

report says is the company is avoiding paying taxes on billions of dollars of profits. and president obama declares a major disaster in oklahoma after a powerful tornado rips through the region killing dozens. gray you're watching "worldwide exchange," bringing you business news from around the globe. welcome to today's edition of "worldwide exchange." quite a lot to get through on today's program. we speak to one leading economist who is raising the question what happens when the money simply runs out? king joins us in around an hour. more investors are pouring money into so-called dax clever companies. we'll find out which sector is on top of the game at 10:30 cet. plus, the shopping spree shows no sign of slowing down as

the emirate makes a good grab at the ugt. and apple retains the crown for the world's most vaunl brand. samsung could soon be breathing down its back. we'll break down the latest at 11:30 cet. and set to vote on jamie dimon's role on chairman and board chairman. any thoughts or comments during the course of the show? e-mail us as ever at worldwide.com. and vodafone announced an impairment charge of 7.7 pounds. the ceo quashed immediate speculation over its 45% stake in verizon wireless saying there

was nothing new to announce. joining us now, paul, what do you make of -- when we look at vodafone, can we look at the numbers or is it about verizon stake? >> no. there's plenty going on with the numbers. vodafone's business has been focused on southern europe and that has been a problem. revenues are down 16% during the course of this year. you can compare and contrast that with northern europe. they're having a real problem there. as you've seen the take in the charge to continue to write down those assets. there is transition going on, clearly less core revenues, more smartphones, more data. it means the business is flat lining as it enables that transition. really the focus for investors is about cash flow, cash flow

guidance, making sure cap ex is in line at the moment. >> they're going to say they're going to retain the 7 billion dividend from verizon within the business. >> yeah. >> they're going to try and bolster those operations in europe. the right thing to do? >> yes, i think so at the moment. about 2.7 coming back from verizon on their cash flow guidance from this year is around 7 billion, which is a nudge up from this year. i think when we look at stocks, there is a real issue on earnings yield. the dividend cover is a little bit light. we're still facing challenging economic conditions right across europe at the moment, but it's probably best to keep the cash flow guidance nudging up rather than down. >> what should they do with the

verizon stake? >> well, at the moment, if they do sell the verizon stake, that money will be back with investors. investors wouldn't want it to leave the voft majority of that cash with the business. it's the jewel in the crown to some extent. so -- and i think at the moment there are so few opportunities to invest. as we've seen over the last month or so, the stocks are getting better, more highly valued. >> what is the value in owning it? >> from my point of view, when you compare what else you have to invest in today, and as we heard just before the break, that they're competing with bond markets yielding virtually nothing, you can own 15 pence of earnings out of the vodafone. it might be be 16, 17 pence, but what sort of yield will you pay

on that 15%? will you be happy with 7% yield, 6%, 5%? we're looking at the earnings, the cash flow. to handle that money back, the real challenge is where do we put it back into at the moment? >> marks and spencer has reported a drop in profit in line with what was expected. it is the lowest figure since 2009. the 139-year-old firm serves 21 million shoppers a week. a struggling general merchandise division has dragged on food sales growth. the stock up 2.25% because that was the lowest annual profit, it was sort of what people were looking for. plenty of pressure. >> absolutely. the key was that's seems to be listening to investors about the

cap ex program. the cap ex program has been incredibly ambitious and to some extent unproch as to what it's doing for the group. so the cap ex was a bit 50 million below expectations. the market is focusing on cash flow at the moment. i don't think it's necessarily looking for a worldly ambitious cap ex program. and that 10-point nudge up today i think is in reflection of that. >> i think it comes down to what they've got in the stores. it is not the target market. your navy blue sweater, isn't that what you picked up? >> not that suit, no. >> softbank is set to tap the market with a new bond share offer. and the move comes just as

softbank has granted sprint a waiver to let it consider dish's rival bit. the bank spokesman has concerned the takeover. of course they won't be used to sweeten the offer. softbank stock down nearly 4% in trade. i'll have more on that in the nikkei business report in the next half hour. and apple shares stem investigators say the company paid no corporate income tax and tens of billions of dollars in overseas income over the last four years. >> senator levin's committee says that apple created three companies that were not tax residents of any country in the world. they were in effect stateless. he was joined at the podium in his blistering comments senator john mccain who had critical words for apple?

>> apple executives like to boston that they're the highest corporate taxpayer in the u.s., but what they often leave out is the second part of the story and that is that apple is one of the largest corporate tax avoiders. it's unacceptable. >> one of the entities that the committee focused on is a company called apple operation international which received $30 billion worth of income between 2009 and 2012. the subcommittee says, however, that the company did not file taxes in any country in the world during that period of time from 2009 to 2010. apple's ceo tim cook will be on capitol hill on tuesday. he is going to say that nothing that the company did here was illegal or improperer and that apple paid $6 billion to the united states last year and expected to pay $7 billion in taxes this year. he's also going to say apple es not use tax gimmicks.

>> and on that subject, the government says it's not to blame for the low rate of taxpay by irish subsidiaries. corporate tax proving a headache for investors. this according to market research director gordon. we'll find out what companies are particular favors. we also want to know what you think about companies. do they have a moral obligation to pay more taxes than what they can legally get away with? e-mail us, tweet us. what do you think, paul? >> i think everybody in life is trying to mitigate tax. we don't want to overpay taxes and as a result -- >> and there seems to be a dramatic underpaying, at least

that's what the allegations are. >> and that is a result of the world that has become increasingly globalized and there's no real cohesion between tax policies across the globe. it's interesting to hear from the deputy ministers today. there has been some allegations that they cut a deal with apple and a lot of the big u.s. companies at the moment seem to find ireland quite attractive. they're all finding ireland an attractive place to host much of their business at the moment. one has to focus on the fact that governments around the world are competitively tendering for corporate taxation. it's important that they try and retain those earnings at the moment. the playing ground is not level across the globe and apple has a moral obligation to its shareholders to look at its tax

structure. >> that's a good way of putting it. >> and tone sure that it's setting up business efficiently. >> moral obligation to shareholders. how about a moral obligation to society to pay your tax? >> that's a debate. an eu investigation into possible manipulation of energy price benchmarks has reportedly expanded to glencore, xstrata and other swiss commodity companies. what's going on? carolin can tell us. she's in zurich. >> ross, let me clarify that this widening of the investigation doesn't necessarily mean that the big trading houses like glencore, xstrata, for example, is the target of this investigation. no, it could be the object sit. it may just mean that authorities in the eu are working with these companies to try and get a better gauge of how the price setting in the fuel markets actually works.

and these are some of the biggest inside traders in the world. that may give regulators a better idea of how the manipulation of the energy prices would have worked. this comes last week because they're suspected of having manipulated prices for at least a decade. also under investigation is the price index firm called prats. this is the company that puts together those fuel price owes a daily basis and all of those companies have said that they're working with authorities. the fines could be pretty hefty. they say there could be jail

sentences for some of these executives. >> carolin, thanks for that. advance e advancers versus decliners, outpacing. the ftse 100 up at the best levels of this year. we're not far away from the all-time high. 6,930 for the ftse. the xetra dax closed at a fresh high, 8445. just below it at the moment. the cac 40 off 0.2% and the ftse mib off 0.3%, as well. we've got cpi numbers coming out in 20 minutes or so. 1.9% is the yield. treasury yields, 1 of 96%. mr. evans saying we could keep the tax open and suddenly stop effectively in september. on the currency markets, euro/dollar, not huge. 1.2888.

dollar/yen, 102. 6/6. friday we had the highest against the yen since 2008. aussie/dollar, down over 5.25% so far this month. that's where we trade right now. here in europe. let's bring you up to speed with what's happening in the asian session. chloe is with us for the next couple of weeks. >> hi, ross. great to see you. in asia kra, no reaction to rba minutes, whether it's the equity markets or the currency markets. it was more about comments from goldman sachs that perhaps the high trade might be over. a lot of profit warnings coming up in mining services and elsewhere, as well. take a look at the nikkei. the rio kick starting the first

of a two-day meeting. interesting comments coming out from the boj manager saying there needs to be a thorough conversation. where that goes could put further pressure on the bank of japan. interesting to note that the nikkei was mostly in negative territory for most of the morning session. it did close up in the green to a fresh 5 1/2 year high. take a look at the divergent picture in greater china. quite a bit of upside. some of the data processor spots closing limit up in mainland china. but remember the bigger story about goldman sachs paring down is essentially making an exit in the world's largest badge icbc. the stock in hong kong did close about 2% to 3% higher. a lot of fund-raising activities being reported.

certainly the growth is there in china. 10% to 13% or so. but the fund-raising news doesn't probably come at a good time. greater china might not be such a pretty picture moving forward. back to you. >> closy, thanks for that. still to come, the aussie/dollar, taking a hit in recent weeks. but a rebound might be on our cards. we'll find out.

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the bank of australia showed in signs of further easing in its minutes after the central bank cut rates this month. rba governor glenn stevens defended his issues to slash rates which caught investors by surprise in its play meeting. the inflation was not currently a threat and the economy was being held back below trend because in part of the strong aussie dollar at the time. not any more. the aussie/dollar, 98.32. we got down to 97, an 11-month low at the time. 5% so far this month.

joining us is michael states. paul is still with us, as well. michael, nice to see you. are we at the end of a move or is there more to come? >> we think the aussie/dollar is primed for a rebound. we have a number that looks at the information priced into the markets. this is just the looking day over gold. in terms of rebound, think that it's the dollar, the aussie/dollar that's still important. and then in particular we've seen the aussie suffer as the u.s. dollar has rallied. we think this means bernanke's speech tomorrow will be -- we think bernanke is likely to keep the focus on the slow progress in the employment market. that means that the long position stays on the board and that should help the aussie/dollar with cheap

valuations. >> and interest by what amount? this is them saying the dollar is going to be weaker across the board, as well, are aussie/dollar to rebound to 101, 102 handle over the next couple of months. this would just be -- >> what if the rbi comes out and says, look, we could cut rates even further to a fresh record low? >> we expect the aussie to go down. we're expecting the rbi to cut rates later this year. and what's clear is that the rates market has priced in further rate cuts from the rba. in fact, it's pricing about 36, 35 basis points with further cuts from the rab. there's about one more cut likely to come. >> we seem to see more

volatility in currencies. are you seeing increased attention on sort of trends within the currencies at the moment, sort of exaggerating those undervaluations, overvaluations and is there a risk to that to your scenario? >> yes. very much this year where investors have had base trading. earlier in the year, we saw inest verse aggressively sell the yen. now it's very much the bullish dollar spotlight. we have seen qe really suffering. that tends to push currencies out of line, too much focus on bearish aussie and qed. we think it's vulnerable to rebounding. >> thank you very much, indeed, for joining us. qatar is set to invest $1

billion in russia's vtb. speaking earlier, the ceo said he expect the the deal to be confirmed by the end of the week. >> qatar is aggressive investment and yet they have interest in other areas of investing, in real estate, in other areas. we only view relationship with such shareholders in the broader terms. >> and yusef is now in dubai with more. hi, yusef. >> hey, ross. this is another interesting view by the qatar investment authorities. they have not commented yet, but we understand that the qya is one of the sovereign wealth funds involved in that 3.2 billion capital race and will be contributing as much as $1 billion. there could be more deals in the

pipeline and more cooperation with vtb. if you take a look at how involved qatar has been, not just in the region, i mean, the ft ran an investigation saying that they've been bank rolling the opposition forces, the anti-assad forces to $8 billion over the last two years. let me run you through some of these deals as qatar fleshes its muscles to the world. recently versace was one. and then earlier this week, they bought a 40% stake in milan's business district. no price disclosed there, but we estimate it's around $1 billion considering the value on the commercial property. then the qatar is increasing their stake in tiffany and gold in the united states.

you had the ihg's park lane went around $460 million. and the state is buying up currency earlier this year to the tune of half a billion dollars. these are a lot of major acquisitions. the middle east economist told me it can buy and use what it wants at home. even if it's just trophy assets are better than building all the capacity it is for the world cup. >> yes. the world cup. i forgot about that. plenty more to come on today's show. the best thing about the stock market is you can make money in either direction. find out who is short equities and why they are being sold.

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these are the headlines from around the globe. vodafone decides not to pay out a dividend after posting a

record falling service revenue given the slump in its southern european operations. sprint is on the lookout for more sugar as it deflects financial muscles. apple goes on the defense after a u.s. senate panel report says the company has avoided paying taxes on billions of dollars of foreign profit. and president obama declares a major disaster area in oklahoma after a powerful tornado ripped through the region, flattening towns and killing dozens. >> we have the latest cpi number for us. running up 2.4% on the year. it was forecast to run at an annual rate of 2.6 versus 2.8% in march. core annual cpi, the low since november 2009. it was forecast at 2.3% and came

on lower than that. just 2% on the year, as well. rpi, look at that for wages. running at 2.9% on the year. it was about forecast at 3.1%. output producer prices up -- down 0.1% on the month. the annual rate is the lowest since september 2009. and, again, weaker than expected. input ppi also coming in weaker than expected. down 0.1% on the year as we forecast up 0.23% on the year. so wherever you look, inflation is much weaker than expected. gilt now extending and the pound hitting the low for the session, as well. 11.5189. paul, there you go. >> certainly this will please he

mervyn king to exit with a number that's closely associated to -- >> inflation in the saga? >> which is a good scenario. the key now is obviously inflation is starting to drop out of the system reasonably quickly at the moment is despite the qe support at the moment. so we have got a bit of a bounceback. but is it sustainable? >> well, i guess if the bank comes in and he wants to do other measures, there's no impediment in terms of inflation. >> absolutely. and this is why we're looking at the move in the gilt from the currency markets at the moment. and i suspect we've got this back drop for some time to come. it will help to stimulate the equity market, as well. >> let's show you sterling, 1.5186. euro/sterling is firmer. 84.65.

and european stocks, we've closed on fresh records yesterday. the ftse 1 is 00 which is higher since september 2000 is nudging further, higher today. and we're, what, 150 odd points away from that. the xetra dax is literally pretty much on its record high at the moment. as far as bond markets are concerned, we just saw the gilt prices, getting a yield coming down 1.910%. now, apple is in the spotlight on capitol hill. tim cook is set to testify about the company's tax practices. apple tried to avoid paying taxes of $34 billion in profits over the last few years.

our next guest argues investors welcome tax savvy companies. is this really the way investors are looking at investing, the tax that companies pay? >> well, i think, you know, there's a sort of -- there's a moral debate, there's a practical debate and we're not here to sort of say what companies should -- >> companies have a moral duty to shareholders? >> exactly. on this program, you know, a ceo will come under fire for not being as clever as they can be about optimizing their tax. you can put your cost space where you can good grants. you go back to the league of nations settlement nearly 1800 years ago. everything will be all right on the night and we'll get too little on that company and we'll get plenty on that company and we'll be fine.

tho moment, you've seen vodafone with some bad results because of heavy infrastructure and low tax. companies like i.t. are portable where they can locate their expenses and where they can book their revenue. so health care and i.t. but what we said about screening the market, how sustainable is that? we're not talking about a catalyst and i'm sorry it's not going to be this afternoon. how sustainable will it be? you can have 13% corporation taxes in ireland, 32% corporation tax into america. it's massive opportunities.

>> deutsche bank's team sort of turned the lights on by saying the corporate tax over the years has been the company's second biggest driver in terms of earnings. so nothing to do with new products or new management. falling taxes. incredible. >> absolutely not surprised. the companies have become much more mobile. globalization, technology. it's made it difficult for them to sustain the tax break. businesses suddenly find themselves very much exposed to the international globalization. they have to adapt and they have to complete that. >> we know that google, the facebook, the amazon, apples are doing well on reducing their tax payments.

who are those that are trapped in paying higher taxes? >> at the moment, you want to be -- the health care and tax companies. we've heard about technology companies very, very efficient and the losers are currently the utilities and the tier with the mining firms who are hit with high headline taxes and the australia super tax. what we're saying is over the medium term, that could be a strategy to reverse. however, can tax companies rise? yes, it can. >> so we're asking you today, do you think companies have a moral

obligation to pay taxes or a moral obligation to shareholders? e-mail us, cnbc@worldwide.com or @cnbcwex. during the second half of april, short telling rose at the nyse, but fell during the nasdaq. you've been looking at the put call ratio. what is that telling you? >> i haven't, really. we can look at that. >> i thought you had. being short was a nightmare at the moment. rising tide, record bull market. 86 out of is 100 were looking to increase their payout this year. on the other hand, it's more of a stock picking market, isn't it? the first group has 17% of the day. but then m&s has disappointing results today. the shares go up.

those are the top five. but trying to find a single common theme behind them is difficult. people are covering their shorts and first group. so it's a challenging environment to be a short seller and it's increasing the expensive to be one. >> thanks very much for that, steve from markit. paul, thank you very much. icbc shares have traded lower in hong kong today after goldman sachs sold off its biggest stake in the bank. the final sale to the chinese lender ended a seven-year investment that netted the wall street firm more than $7 billion. putting the squeeze on interest income margins. shares of picc fell sharply in hong kong today after the

chinese insurer announced plans to raise $900 million to a shares right offer. picc's two cornerstone investors, the people's insurance company of china and aig have agreed to subscribe to the rights issue and hold on to their shares. china's insurance company is growing annually, but profit were under pressure making it difficult for insurers to keep enough capital as a buffer. and toshiba has announced a key shipment in its chip business. it will start mass producing smaller next generation flash memory chips later this month and speed up the writing of the process. this according to the nikkei newspaper. also, softbank has granted sprint permission to dish. toshiko has the story for us

from the nikkei. >> hi, ross. softbank had reached a deal that spent to acquire a 70% stake for $20 billion in october, but dish made a 25.5 billion counterbid to acquire sprint last month. softbank granted a labor to show that sprint can maintain fairness in the deal process. the japanese firm is still confident in its offer and reiterated to substantially greater value for sprint shareholders. sprint's board has not made a decision on this bid and continues to back soft bank's proposal. softbank announced today that it needs to sell $4 billion of bonds to retail investors in june. the company is saying that the

mope will be used to repay maturing debt. and what they're saying that soft bank is prepaying for the case to raise its bid. softbank shares dropped almost 4% today. back to you, ross. >> thanks very much for that, toshiko. italy is not going to hold elections anytime soon according to mario monti. speaking in singapore, he expects confidence in the new government and says that a fresh contest would require a change to electoral law which would take more than six months. if you want to hear more about his comments, head to our website, cnbc.com. european lawmakers have voted in favor of a draft bill that inflicts losses on large depositors in a bank runs into trouble. under the proposal from 2016,

lenders can dip into the profits, over 100,000 euros. shareholders and bondholders had been exhausted. all deposits below 100,000 euros would be protected. the legislation still needs to be approve by eu finance ministers. and germany is taking note of the british prime minister's push to make the u.s. more competitive. according to the ft, plans would stream line decision making across the single currency area. the changes will not go so far as to allow britain to renegotiate new membership. and an exit from the eu would be a loss-loss for both europe and britain according to goldman sachs. the bank argues that it means it wouldn't be able to negotiate trade deals. as for the eurozone, the analysts simply argue it would lose itsdz biggest trading partner. >> there is one sector reaching for the stars, literally. the space industry is growing

fast and yesterday got another boost with the announcement of the country's first official government astronaut. ♪ >> canadian ostro naught brought work on the international space station when his rendition of the space odyssey went viral. cmp, nicknamed major simms has big shoes to fill and is determined to do his bid in spurring interest in space exploration and the burgeoning industry growing around it. the former apache helicopter pilot was selected from 8,000 applicants for a spot on the international space station. in a little over two years, he'll board a rocket in kazakhstan bound for the iss. we'll be there for six months

conducting scientific research. >> space is entering an era which is tremendously exciting in the future. it's very important for us not to be left behind and the first to play an important role in the future of space flight. both on the commercial level, on human space flight exploration and a developmental level, as well. >> the announcement comes on the back of ramped up investment in europe's space program to 240 million pounds a year. the british government hopes the mission aboard the international space station will inspire a generation and translate into tangible benefits for the country's growing space sector. the space sector has been notching up growth around 8% annually over the next few years. it employs 30,000 people. the government wants that to grow to 40 billion pounds and 170,000 jobs by 2030. research done on the iss could prove a crucial catalyst.

>> we can optimize production process for turbine blades, jet engines. those are examples how this research and industry and increases commercial application. >> the space industry will be hoping those innovations will propel growth to a new frontier. >> spanish auction bill, t-bill auction three-month yield 0.331. that's a bit of an uptake from the previous 0.12%. the bid to cover is higher, the 9-month-yield, 0.789 pretty steady and previous to the

0.787%. one would have thought. still to come, which ten companies make up the world's most valuable brands? we'll find out and bring you the latest brands and surveys. it will just be minutes. some people might say brand z, but i think they would be wrong.

shares trading lower ahead of q4 results out later today. expecting to boost revenue thanks to recent acquisitions of hutchinson global investors. investors were largely concerned with the performance of at&t and vbt. joining us for more, judith sharp, head of research at kimang incident ya. good to see you. thanks very much indeed for joining us. what are you looking for? >> well, our estimate for the quarter earnings is -- off 20% quarter on quarter and 5% year on year. and basically, the fall is

coming because of the low margin acquisition. and i think the events are in line and it should be in line with the shares. and you have a key total would be the approval of mergers of socgen. >> why has that been delayed? i think they have appealed in the high court which is one of the high court which has approved the merger. i think that's where it is st k stuck. it's supposed to go through a

larger window in months. >> and finally, the indian market like the rest of the global has had a decent rally in the last few weeks. what happens now, bearing in mind we're through the earnings season? >> now i think the market is fairly valued. and we'll have probably a lot taking place in the month of june. we will now watch for the june policy meeting for the central banks and given the inflation, there is a whole building on the rate cut. so that happens and probably give somewhat boosted in market sentiment. but other than that, i don't see the markets rising much from this level. it will consolidate or correct downwards on profit taking. >> thanks very much indeed for

that. you might have noticed a bit of a delay there. we apologize for that, but sometimes it happened when we're going all over the globe. japan is likely to steal the show with new april trade numberes and a central bank decision. here to get corporate updates from sony and which will be interesting based on the biggest shareholder and gal axis securities shares are set to trade in hong kong after raising over a billion from its ipo. z topped the most valuable topble brands. joining us is william headily. thanks, robin. >> thanks. >> it is brandz.

>> it is brandz, actually. >> i know. i know. apple is again at the top. how much is it being chased by google? >> google has come on to the number two space overcoming ibm. the interesting thing about apple is the fact that it lost 30% of its market. but, yeah, the brand value is still going up 1 is%. it is more sustainable and less volatile. >> and the other thing for an investor is trying to work out what is the value of the brand in terms of stock market performance. >> you'll see that brandz topped

strong brands. >> so your brand stocks have outperformed? >> they have, yes. >> i suppose they should because the top ten do even better than the -- you know, than the rest of the 100. >> well, the top ones have greater -- >> which makes sense. the technology brand is still dominating here. >> yeah. it's interesting. technology has had to come down in the top 11 is 00. those brands represent 40% of the top 100 in value. but it's very interesting also that technology is down by 1%. and we really see a refinement and step change. >> banks, though, coming -- you know, there's such an attack on banks. mervyn king came out this week and said you have to lay off the banks, guys. so what's happening to their brand value? >> we're seeing it, after a

couple of years of having a decline, the banks are bouncing back. so we're seeing overall by a 20% increase. international banks at 22% and regional banks up to 18%. >> and toyota. >> yeah. >> it's now back to being the world's biggest carmaker. so 2009, 2010, there are a number of recalls for toyota. this year, coming back, bmw is the number one and most valuable vehicle in the world. >> good. >> i have to say all the beer has done well. >> good. sports events, maybe that helps, as well. >> yes. >> very good. thank you very much for coming in. >> thanks, ross. >> apparently it's called

brand-z, but it's zed. sorry. you've been here long enough now. you know that, right? good. still to come, can the west emerge from the ruins of the financial crisis once and for all? steven king, hsbc's chief economist is ready to discuss it. look what happens when all the money runs out. i don't want it to run out, stephen. we'll get into that, as well, and we'll look ahead to the prospects of a tapering fed. mr. evans saying we could keep the tax and just spot. will that work? plenty more to come in the next hour of "worldwide exchange." don't go anywhere. [ male announcer ] what?! investors could lose

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welcome to "worldwide exchange." i'm ross westgate. a recap of the headlines today, president obama declares a major disaster area in oklahoma after a powerful tornado ripped through the region, flattening towns and killing dozens. jpmorgan holds its annual meeting in focus. a key with a nonbinding vote on whether to split up jamie dimon's joint role as chairman and ceo. apple on the defense. a new report says the company has avoided paying taxes and building of dollars in profit. and vodafone decides not to

pay out a dividend for its stake in verizon after performing record service revenue at a slump in seven years. plus, sprint on the lookout for more sugar gives soft bank blessing to check out the sprint deal. >> announcer: you're watching "worldwide exchange," bringing you business news from around the globe. >> all right. if you've just joined us this morning, welcome to the start of your global trading day, particularly stateside. very soft close last night, just down 0.1%. otherwise, pretty much up at record highs. right now, we're up on fair value. about a point above fair value. so the dow and the nasdaq is about a point below fair value. the s&p 500 is 0.5% point below fair value. so pretty inconclusive in terms

of open. the ftse cnbc global 300 is down 0.17%. the ftse 100 closed at the best level since 2000 yesterday. the xetra dax is 34 points off its all time high which it closed out yesterday. up around 0.6%. as far as the uk is concerned, inflation data crossed the board around half an hour or so ago. the annual rate of inflation 2.4% for the month of april is expected at 2.6. it was 2.8 in march. so gilt is getting a bit of a boost. 1.88%. comes sharply lower since that inflation number out in the uk. there is no impediment at all from mark carney when he takes over in july after potentially having an even more aggressive

policy of growth should he need it. so let's show you where we stand with the pound, as well. sterling/dollar, now below 1.52. 1.5172. down 0.5% since is that record came out. aussie/dollar, not far off the recent lows that we've seen. dollar/yen has come back, not to 103. euro/dollar, 1.2866. that's where we stand here in europe. chloe earlier sent me this report about how asia wrapped up. >> 2 talk of tapering qe spreading to asia been the boj beginning its two-day meeting. the finance minister is talking about the need to have a fur row conversation with the jgb market. that's keeping their powder dry tomorrow, the nikkei reversing decline toes close at a new 5 1/2 year highs. australia, more about profit warnings coming out for mining

services and retail sectors. else why in greater china, fund-raising activities coming off the insurance sector, another downside plus at a time of concerns about the resumption of ipos, as well. so there you go, the price point here. the shanghai composite did manage in the green. >> tlrt. there was a report from chloe. now at least 51 people are dead after a massive tornado ripped through the suburbs of oklahoma city on monday. the twitter flattened entire neighborhoods with winds up to 120 miles per hour and landed a direct hit on an elementary school in the town of moore. it's the deadliest tornado in the u.s. since one killed 1161 people in joplin, missouri, in 2011. president obama has declared a major disaster area, ordering

federal aid to support local and state efforts. alex wallace from the weather center joins us with the latest. alex. >> good morning to you. just a devastating scenario here for us. in the southern plains of the u.s., taking a look at oklahoma city, south in the town of moore, this is the path the took. started out to the south and west and crossed over the inter state before moving its way east and beginning to dissipate. this is how the radar looked and the view of it. an incredible radar signature. this little ball here is basically a tornado with debris on it. that was the case, this is showing you how intense this system was as it moved its way on through and eventually it moved into the afternoon started to dissipate there. but the town of moore has been hit before. that's the other incredible part of it. back in 1999, an incredible storm moved on through and just four years later, we were talking the year 2003, another tornado moved through the same

areas and, of course, on monday, we have this, another deadly tornado move its way through the area. right now, things are quiet for us. there's oklahoma city. there's the town of moore. not too much going on wrb but we have seen a few showers and storms developing here for us this morning. an area with recovery efts going that does not need to see any more this upper shower or rain activity. as we head through the rest of our day, texas stretching all the way up into parts of the great lakes. back to you. >> okay. thanks very much, indeed, for that. let's remind you of what's on the agenda in the united states. a pair of fed officials speaking later today. this ahead of congressional testimony from federal reserve chairman ben bernanke tomorrow. on the same day that the central bank releases its april meeting minutes. investors will be looking for any signs that the fed is readying to slow down the effort buying program. the san francisco fed president and charles plosser both

speculated that a taking of qe could be in place by the summer. stephen king joins us for this thought. how are you? >> i'm good. >> where are you on the tapering debate? it's interesting, what evans is saying, you keep going forward and then come rolling back. there you go. >> it's the great uncertainty. we've had a huge qe over the course of the last three or four years. >> how much is qe behind the current valuations on equities? >> what's interesting is the valuation of equities is amazingly high. the economies is amazingly poor by standards. they might say that indicates that markets are increasingly

hopeful that economies will cover next year and the year after that. but so far, it's been an optimism about recovery has been misplaced. >> what gdp there is, firms are taking the bigger chunk of it, aren't they, as well? >> well, that's been very helpful. you can't continue to have a rising share of gdp. so the good news in one sense is from a corporate point of view, profits are higher and justifies why equity markets are higher. you have to have a decent equity share. >> the other thing is this yield question. when bp is borrowing money at 2% and its stock is yielding 4% or 5%, it's a no-brainer. >> absolutely.

you pay these big dividends and from a policy point of view, it's what's happening with the smaller and peat yumm sizes. you don't immediately get access to the markets. and bank lending in certain parts of the world is not particularly generous. >> which comes back to what is your view on the paper and when they ease and the likely impact? we saw treasury yields getting up up towards the 2% level. >> yeah, well, the evidence so far, over the last two or three years, you get occasional expectations of qe coming to an end. then we discover maybe in the months before the summer, the economy is robust and had been treated as followed and the expectations for further qe is taking place. but i would suggest that it's a risky business to access from qe because the dependency on drugs

has become so great that we can't be sure exactly what the consequences will be. >> and your book is about when the money runs out, which i assume you're talking about central banks liquidity when you say that. >> we made promises to ourselves which effectively means we wouldn't have a lost decade. >> your money. >> right. >> when the real money runs out. stephen, stay there. we'll get into that. some of the other stories we're following today, apple in the spotlight on capitol hill. ceo tim cook testifies at 9:30 eastern about the company's tax practices. and in a 30-page report, it says apple avoided paying taxes on $34 billion of profit over the last three years. three subsidiaries of profit had no open investigation to pay income in any company. cook says apple doesn't use tax

gimmicks and it has substantial foreign asset because it sells most of its products outside the united states. >> jpmorgan holds its investor meeting. among the issues, achairman-ceo jamie dimon. analysts believe it will go in dimon's favor. jpmorgan bylaws require any director who doesn't get a full vote of confidence to tender his or her resignation. and the obama administration faces another issue in congress over the irs scandal. new questions over who, what and when. find out more when we come back. ♪

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. at least 51 people have been killed in oklahoma after a two-mile wide tornado rips through the state. jpmorgan shareholders get ready to vote on whether jamie dimon can remain at both ceo and

chairman. and apple is being accused of avoiding taxes through offshore entities. western economies are hooked on economic painkillers and they never recover from the financial crisis. just some of the glimpse painted in the new current guests stephen king. this suggests the previous -- in the western world is down to a series of powerful one off factors. look, when the money runs out, things that we expect tomorrow, pension, health care, social security may be larger than tomorrow's resources. if we've reached that point, what happens? what gives up what? >> that's one of the issues in the book. the reality is the kinds of promises we made to ourselves include pension and health care,

pieces of paper which are claims on activity. those promises in total are almost certain too big to the income that we're now generating and likely to generate in the future. and the novelty in the book look back at previous histories, look at what happens with economies like they crash on to a brick wall or stopping growing at rates previously. and how they adjust. expectations are pointed as people's rights come into question. so the current situation, ultimately northern europe and southern europe and the crisis in southern europe, the austerity, and the rideses, economic, political, social zam and nationalism is great for that and to solve the eurozone crisis, you need to have some kind of union, but it would be difficult to achieve as a consequence of the challenges taking praise in southern europe. >> so what does happen?

you say there are steps that can be taken to improve the chance of being -- you know, people get into some of the things they think they're going to get. >> one of the big problems we have now is with stagnation, there is a breakdown of trust within the associate. trust is an important lubricant of the activity. you can see it most obviously in banking. you can see it across other parts of society. look at governments, trust is very, very low. you have a fun way of restoring trust, which is difficult. but that's something that needs to happen in some way or another. also, there needs to be an issue about who takes the losses for what will happen in the years ahead. the relationship between a creditor nations and debtor nations, the germans insist that the losses in the eurozone should come with southern europe. there is a lot in one form or another and over the next few

years. if someone has to take a loss, everyone resists taking a loss. >> and that makes it worse in the end. >> it makes it worse because of greater uncertainty and sovereignty. >> how much structural reforms do we need? >> in the case of doing that, it's not really a macro case. it's more a way of saying, look, the central bank can govern nominal growth of gdp and the inflation. and that structural reforms the patient dealing with its issue and nothing much more. >> exactly. so the reality that some agents have to rise, that they're going in the opposite direction, that's a really bad sign.

>> and the national health service, for example, it's estimated that about five different varieties of productivity and health services which suggests it's rising. one step is unchanged. and we have no idea of how to measure that. >> no. and there's one step that came out over the weekend which i think welfare, working age welfare benefits in london are low and now the bulk of that is more than the entire country spends on defense, which is a -- >> there are cases with pew kul areaty over the danger. >> and it's based on how much we promised to pay ourselves. stephen, thank you very much for that, your book "when the money runs out" available online, off-line, distribution centers. still to come, it's been eight years since the xbox 360

launched. today, what can we expect? stay tuned as we preview the consult.

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invested in the world. bny mellon. are you still sleeping? just wanted to check and make sure that we were on schedule. the first technology of its kind... mom and dad, i have great news. is now providing answers families need. siemens. answers. believe it or not, it's been eight years since the xbox 360 was revealed and now the waiting game for the xbox 720 is nearly

over. i'll be in seattle later today, the new console is going to boost face recognition and video streaming software. it will connect games, partnership deals with tv and film corporations. joining us is alex simmons, uk editor and chief at ig. >> thanks for joining us. is this the next generation of consoles or have competitors really gone the other way? >> playstation four was announced back in february. microsoft will be revealing its next generation later today. quite what it will be remains to be seen. they've been very tight lipped about what the console will do. effect hely, it's an increased version of xbox 360. >> what does it need to do? does this idea that, oh, look, the console could become the center hub, the entertainment

center of the living room. i'm skeptical about that. you tell me what they need to do about that. >> it needs to be a game machine. first and foremost, microsoft's core following will buy the xbox because it's a great game machine. but the landscape of leader is changing and i absolutely think that they need tight be the hub for it too be a huge success. >> if you play games, i get it. i just don't think -- anybody that doesn't play games a lot is going to bother to use that as the hub of the -- look, we took a poll in our news room about the number of people that would use the machines that way. however, i think the way it will be marketed is -- >> i think if they struck a partnership like a mainstream tv

partner, you had not two boxes, you had one, i think that's -- >> that would make sense. >> i don't need the sky box. it's in one box. >> luckily, i'm not the person that has to make these things. >> the other thing that's coming is we have internet tvs being rolled out. that's becoming the center of the -- and i can control it from my ipad. there are all sorts of things going on, isn't there? >> probably down the line you will get divisions where game consoles are embedded in the tv. >> that makes more sense to me. >> absolutely. i think you're looking at that's not going to be this generation. >> how important is it to microsoft generally? >> the xbox has been a huge money earner for them. the 360, it's the biggest

selling console in the u.s. and has been for the last eight years. a lot is riding on the release of the next xbox, whatever it may be called. >> 1:00 p.m. eastern if my matthew is good. alex, thanks for that. some of the other stories we're following in the tech sector, yahoo! is overhauling flickr. yahoo! is redesigning flickr to emphasize photos instead of text in white space. it's launching a new app for iphones and it's equivalent to around 500,000 sodas are directed. yahoo!'s ceo also announcing the company would be moving its new york city breakfast. but tumblr will be taking put at its office on east 21st street. and meanwhile, yahoo!'s

marissa mayer and dabbel carp will be on "squawk on the street" at 10:00 a.m. eastern. and amazon making it easier for federal agencies to use its cloud computing services. the company has been certified to operate as a cloud service provider for thee years. amazon has moved aggressively into the cloud business, now targeting larger corporations and government agencies which are more demanding in terms of security and regulatory issues. amazon stock down 0.4%. earlier, we asked do you think companies have a moral obligation to pay more taxes? jason tweeted, corporations are heartless. people or products, that's all. kay shade in short, no. a company has a few subscription services. want of our viewers each suggested they're not paying more because they're not paying

jobs. come back here, direct to me, @ross westgate. still to come on the program, we'll take a closer look at the apple tax story. plus, u.s. summer season officially begins this memorial day weekend. where will americans be spending their vacations? we'll tell you the top five destinations. and with stocks not quite on record highs, we'll tell you where the futures are. ♪ [ engine revs ] ♪ [ male announcer ] just when you thought you had experienced performance, a new ride comes along and changes everything. ♪ the 2013 lexus gs, with a dynamically tuned suspension and adjustable drive modes. because the ultimate expression of power is control.

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all right. we're in the last half hour of "worldwide exchange." president obama declares a major disaster in oklahoma after a powerful tornado ripped through the region flatenning towns and killing dozens. jpmorgan holds its annual meeting today. in focus a key but nonbinding vote on whether to split up jamie dimon's dual role of ceo and chairman. apple on the defense, a new report saying the company avoided paying billions of dollars of taxes on its profits. and vodafone posted a record fall in service revenue on a

slump in south europe. >> announcer: you're watching "worldwide exchange," bringing you business news from around the globe. >> a pretty flat close last night. right now, the s&p 500 is about a point below fair value, just off the record highs. the nasdaq at the moment is 1.5 points below fair value and the dow is currently, what, two points below fair value. the ftse cnbc global 300 is down at the session low at the moment. down 8 points. what is interesting is the ftse closing at the best level since 2000 yesterday and getting a little firmer during the course of the day. what is helping it is the fact that we saw inflation coming in

better than expected. it was forecast at 2.6% and it was 2.8% in march. mark carney is taking over the banking governor in july. otherwise, xetra dax is just 33 points below. the ftse mib down 0.75% and the kwak 40 down 0.5%, as you can see. what our guests have been telling us investors should do as we see equity markets up at fresh equity highs. here is a recap from today. >> if we can get their correction, then, you think there is low probability of the u.s. ten-year trading above 2%. we see an immediate correction lowering you. i think it's trading too cheap and it's really just dragging at such a high yield because of this threat of high volatility

because of a potential break in the u.s. >> i still think we're going to see a slightly better -- not great, but a slightly better in terms of economics. >> there are many reasons to think japanese equities have a staying power. >> and on the agenda in the united states, today a fed official prepareses a report from jamie. reporting today, home depot, medtronnic, auto zone, best buy, dick's, saks.

coming after last week's sharp fall in house starts, jed cocoa is a chief economist, house expert. he's joining us now on his european travels. thanks so much, indeed. what do you expect from the housing this week? housing stocks fell. so is there a suggestion that construction recovery is in trouble? >> the housing tumble that we saw last week is likely to be a blip. the housing starts were up strongly. so starts should recover next month. even more importantly, we're continuing to see a shift from the stress -- away from the stress sales towards conventional sales. >> that's a good thing for the market. >> okay. and more for sales that support the housing recovery.

>> what is the industry number going to tell us in that mix? one of the things holding back the housing market right now is the inventory is high. it's under 2 million homes. normally it's close to 2.5 million. what i'm watching for tomorrow is whether inventory rises even more than the typical seasonal pattern. inventory should rise a couple of percent month on month. >> if it rises, how much is sort of mortgage rates for the deals the that are going to play into this -- yeah, how much is it going to tell us that we might get a stronger trend? >> mortgages are pretty much the other thing when somebody is thinking about refinancing is concerned about. lots of factors go into home purchases. lots of personal factors. so it's really the mortgage rates. they're likely to go up, continue to go up, which means we're going to see it shifted

away from the finals towards more interest from the home purchases. >> and we also talked earlier that the official summer season begin these weekend with memorial day running through labor day in september. what's happening to the sort of vacation home market, the second home market? >> so we can see where people are searching for homes. the most popular sites in the u.s., the vacation home searches, are some probably unfamiliar place, destinies, places in the international audience, from the jersey shore, matters of delaware, if tamp tons and montauk. the most popular american searches. the arrowhead area, much more than palm springs have. more popular with people in the los angeles area looking for a new buy vacation home. >> say, look, what's happening with prices in those areas?

>> in those areas are generally tracking home prices in those regions, saying the vacation areas in homes in the midwest, we're not seeing a struggle as much, and seeing a big increase in vacation prices. >> price res up in places like san francisco and las vegas. are we now getting overvalued to be bubble-like in some of those areas, or not? >> naturally, we think houses are still 7% undervalued and in 9d 1 of the largest 100 markets in the u.s., prices are still undervalued. so we're far from bubble territory even though prices have been rising. >> good to see you. thanks very much, indeed, jeff culpepper joining us from truly ya. now, still to come, apple and congress are sparring over taxes. the ceo tim cook is on capitol hill today. set to defend the company on charges it stashes catch overseas to avoid paying

billions in u.s. tax. viewers from both sides of the argument when we come back. ♪ ♪ ♪ ♪ ♪ the new blackberry z10. with time shift and blackberry balance. built to keep you moving. see it in action at blackberry.com/z10

if you're just joining us, at least 51 people have been killed in oklahoma as a two-milewide tornado ripped through the space. jpmorgan shareholders get ready to vote on whether jamie

dimon can remain as both chairman and ceo. and apple avoids paying billions in income tax through offshort entities. mr. cook is going to washington. the apple ceo tim cook is in the spotlight at a senate panel hearing today focusing on the company's tax practices. seema has more for us in the united states. >> apple's tim cook testifies at 9:30 a.m. eastern. in a 30-page report, the panel says apple used an ee van rat web to avoid paying taxes of $44 billion in the past few years. the report says three subsidiaries in ireland claim to have no abdomen investigation to pay taxes in any country. one unit has no employees, but reported $30 billion of income between 2009 and 2012 and hasn't

filed any tax return in any country for the past five years. >> apple is not satisfied with shifting profits to a low tax offshore haven. apple then sought successfully the holy grail of tax avoidance. it created offshort entities holding tens of billions of dollars while claiming that it was a tax resident nowhere. >> today's hearing is the second to be held by senator heavyin shedding light on the weakness of the u.s. corporate tax code. u.s. based multi nationals don't have to pay corporate income tax on foreign earnings as long as those profits don't actually enter the united states. cook says apple doesn't use tax gimmicks like using bank accounts in the cayman islands or shifting intellectual property overseas.

he says apple has substantial amounts of foreign cash because it sells most of its products outside the u.s. >> all right. thank you you. have a good day. thanks for that. >> there were plans to make it awesome again, apparently. yahoo! is redesigning flickr to emphasize photos snet instead of text or white space. flickr is launching a new app for smartphones. also, the yahoo! ceo marissa mayer will be losing its new york city offices to the "new york times" building in times square. tumblr will be staying put at its office on east 21st street. yahoo!'s stock are pretty flat in frankfurt. marissa mayer's ceo and david

karp will be on "squawk on the street" at 10:00 eastern. don't miss out on that. and amazon's security clearance from the u.s. government makes it easier for fwerl agencies so use its cloud services. amazon has moved aggressively into the cloud business which has been successful with small businesses, now targeting larger corporation is and government agencies. which are more demanding in terms of security and regulatory issues. and some stock down 0.4% in frankfurt. we'll take a quick break. still to come, the.diamond in the rough? jamie dimon is facing a rev republican come today. >> we'll have a report from the meeting in tampa, florida. [ agent smith ] i've found software that intrigues me.

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european stocks are mixed today. it's just down two points at the moment. we don't have a pretty good inflation number in terms of weaker than expected. the annual rate of inflation in the uk, 2.1% in the month of april. it was 2.8% in march. the sweat where a dax is now 42 points below the fresh record high that we hit at the close yesterday. the cac 40 down 0.6%. u.s. futures are for that 0.1% declines across the board yesterday are suggesting a slightly soefrt start. not by much. we're currently called down 2 points with the s&p.

and the nasdaq is some three points below fair value and the dow at the moment is nine points below fair value. it's just gone slightly weaker. in terms of an agenda today in the united states, a pair of fed officials says jimmy bullard and dudley are speaking. as for earnings, look out for numbers today. we've got home depoet, medtronic, auto zone, best buy, dick's sporting goods, saks, tjx and intuit. and congress gets another chance to grill the obama administration today about the irs scandal. the senate finance committee will hear from the chairman inspector general. on monday, the white house said two senior aids to president obama were aware of the treasury report weeks before it was made public. and jpmorgan is holding its annual shareholders meeting in

tampa, florida, at 10:00 eastern. in toef, the proposal to split the combined role of ceo and chairman currently held by jamie dimon. kayla touchy joins us from tampa with more. kayla, good to see you. how is this going to play out? >> hey, ross, good morning. this is the second year that this meeting has been held here and it's symbolic because the bank has been expanding notably in florida and california. especially among its retail presence of those chosen to gather here. and what's on the docket will be pretty standard. approval of auditor pwc, re-election of the board and approval of the compensation. but the most controversial and the most critical of the company will be the nonbinding proposal currently put forward by shareholders groups recommended by the federation and municipal state of pension employees to potentially split the role of chairman and ceo for jamie dimon. dimon has been ceo of jpmorgan

since 2006. he's had the chairman title, as well, since late 2006. the stocks since that time are just slightly above. it has outperformed markedly. the company has tried to drum up support. shareholders have been reckoning the performance of the company versus the governance of the company. it will be interesting to see how this plays out. we'll get those results around mid day eastern time. it's interesting to see how this vote will play out. dimon has been plagued by regulatory fallout from the london wales energy loss, consuminger collection practices. that's come to the fore in the last year. and reminding your viewers that last year the support was 40% from shareholders and a lot has happened since then. >> all right. kelly is there all day.

joining us for more, rasa strum. wa do you think is going to happen with this motion? >> obviously, it's difficult to specula speculate, but it's likely to not have enough support for a binding change. >> will they do it over time? >> yeah, it's possible. they should, for example, the results return a number better than 50% indicating that a majority of shareholders want to see this change. my suspicion is that, yes, it would be implemented over time, perhaps with jamie dimon's successor would take the ceo title, but perhaps not the chairman title. the one change i think you could see in the short-term irrespective of this specific outcome of this vote is some

strengthening of the redirector role which would be a change that we've seen at other similar organizations. >> yeah. does it matter to you if the jobs are combined? >> i mean, as an outside analyst, it's not a -- a highly relevant distinction. you know, over the past several years, there generally has been a move to set the rate, the chairman and the ceo role which is considered increasingly your best practice across the industry. but from an operational perspective, i'm not sure that it leads to market differences. >> jpmorgan's stock up 56% in the last 12 months. which is a good performance. all banks on selling, you had a bank conference there at the moment. what are you saying about this run up in bank shares? it's gone with the market, but it -- what happens next? >> yes, thank you. we do -- we're hosting a

conference over these next couple of days. .i think we are at a bit of an inflexion point with respect to bank investing. the stocks have outperformed the market significantly. so i think the key dialogue that we're having with bank management is whether some of the recent economic data that we've seen here in the united states, which has been more positive than expected is translating into an outlet for better earnings. if, in fact, it is, my speculation is banks should continue to outperform because by historical standards, they're not very expensive. but if, in fact, alternatings trajectory is not moving higher into 2014, then i think that continuing this route may be more difficult. >> yeah, look, what's going to be the key sort of economic data price for that? >> well, i think it boils down to a few. i mean, obviously, the employment statistics are very relevant and, of course, the gdp

outlook is very relevant. ultimately, those two indicate what the broad level of demand might be for banking products, whether it be lending products or advisory products. and then we also tend to see it in some of the federal reserve data, particularly the ah-8 data which indicates, you know, loan growth. so far this year, that statistic has been a bit weaker than what we would have anticipated coming into the year, suggesting that we're not yet seeing firm enough demand to compel earnings higher. >> yeah. how much will what fed policy happens in -- towards tend of the year impact sentiment, as well, towards banks? >> yeah, no, certainly. i mean, clearly rates is a incredibly important driver for bank earnings. i mean, the fed, i think it's been reasonably transparent in terms of suggesting that rates will be low for some time. but to the extent you see some degree of improvement in economic activity, perhaps it indicates that they become less dovish a bit earlier in the

cycle than their current stance which would, of course, let potentially steepen the yield curve and cause parallel shifts higher, both of which are positive for banks earnings. >> i was going to look at that. thanks, eric. good to see you first thing this morning. good luck with the conference at suntrust robinson humphrey. just a reminder, at least 51 people are debted after a massive tornado ripped through moore, oklahoma, on monday. there was a direct hit on an elementary school in the town of moore. it's the deadly evidence tornado since 2011 in joplin, missouri. the president has declared a major disaster area in oklahoma and he's ordered federal aid to support efforts. cnbc will be on the ground with more updates throughout this morning. be sure to tune into

squawk's cnbc "squawk on the street." marissa mayer and david karp will be on the show to announce their deal just yesterday. it raises the price of fishmeal, cattle feed and beef. bny mellon turns insights like these into powerful investment strategies. for a university endowment. it funds a marine biologist... who studies the peruvian anchovy. invested in the world.

>> this is terrible. this is war zone terrible. >> when you see a tornado that bick, you have no choice. it's either find cover or die. >> it got louder and the nkts thing you know, you see the latch coming undone and we couldn't reach for it and it ripped up the door and it

just -- glass and debris started slamming. >> you could hear it and you could feel your ears pop out and you could feel the rumble and you could feel the debris hitting the walls. we could hear every bit of it. it was scary. >> and now more large and devastating tornados are possible today. cities at risk include dallas/ft. worth, ought tin, san antonio, shreveport, texarcana and little rock. and wall street news, it's d-day for jamie dimon and jpmorgan. shares holders are meeting, on the agenda a proposal to split the chairman & ceo roles. and in washington, apple ceo is on capitol hill. ceo tim cook will be testifying on tax reform, plus the irs once again on the hot seat as the agency's inspector general will be taking questions from the senate. it is tuesday, may 21st, 2013, and "squawk box" begins right now.