welcome to "worldwide exchange." i'm julia chesney. these are your headlines from around the world. hsbc is warning there could be choppy waters ahead for markets this year. and volkswagon forces a takeover of the truck makeover at 6.5 billion euros. and viktor yanukovych is

wanted by police for 23 billion. and ford's new tech-heavy car. is it more about the car's features? we'll be talking about that coming up later on. you're watching "worldwide exchange" bringing you business news from around the globe. >> all right. we are just getting ifo numbers here from german business expectations. it's coming in at 108.3 in february. that's slightly above consensus of 108.2. but those january numbers, 108.6 was the numbers there. current conditions, 114.4. that's 111.3 in february.

versus consensus of 110.6. that's the climate index, of course. so slightly stronger. no revisions to the january indices data. so the current conditions index, 114.4 february consensus lower than that. so we'll now look at ukraine, one of the other top stories. the acting interior min city say police want to speak to the missing ex-president viktor yanukovych for the murder of peaceful citizens. his last known whereabouts are the area of kronia. meanwhile, ukraine's interim president calls the crisis there

a problem with many dead. and yulia tymoshenko is calling for an opposition against the government. and opposition leader klitschko says he wants ukraine to become a modern european country. now world leaders at the g20 meeting are waiting on you cape. take a listen to what they have to say. >> translator: in any case, the need for structural measures is one of the key tests for the ukrainian economy in the future. we are interested in, as soon as possible, normalization of the situation in ukraine and will provide all the support for this. >> we stand ready and would certainly need to go a good diagnosis rapidly to see what is the current economic situation of the country. and that requires, of course, that we have a partner to

discuss with and to negotiate with. >> i think the ukraine has the ability to make the changes with the participation of the united states and others through bilateral support, the world community through institutions like the imf, there's the path for ukraine to put its economy in a better place and to be able to manage the transition in a way that creates stability. >> former president tymoshenko has not surfaced since over the weekend. many believe him in the eastern part of you cape. and yanukovych's empty home is a look at his lavish lifestyle with a five-story mansion, a luxury car collection, a greenhouse full of banana plants and a personal zoo including ostriches and peacocks. head to the website to find out more about the further default in the ukraine and what this means for the country's bond

market on cnbc.com. we'll be talking about that plenty of times throughout the show. stick around for that, too. hsbc extending their losses after the bank fell short of expectations with full year earnings. europe's biggest bank reported a profit of 22.5 billion dollars, 2 billion short of market expectations. the bank also warned in its outlook that markets could be choppy this year. now felipe is joining us now. obviously weaker numbers for the profit than expected, still concerns about emerging markets, choppiness ahead, find the cutting costs, but we want to see how they are going to boost revenues. what's your take at the numbers here? >> good morning, julia. i think the market is concerned about the top line growth, and i think the hsbc management is correct in pointing out to choppy waters. so 10% of the profit and just

about 50% of the revenue comes from what we call the emerging market, which basically is latin america and some part of the eu region. they have been doing a good job in cost cutting. 4.5 billion have been taken out of the cost base. i think i saw 280,000 jobs have gone to u.s. manufacturing. and i think i saw the market want to see more revenue growth and also top line in growth. >> the market is down almost 4% today, finally mixed as far as profits are concerned, but it's also about the outlook, isn't it, where they can drive growth and see revenues boosted. is that what was missing in the information that we've got from hsbc today? >> yeah, i think it's a close look at the results, that's what is missing. and at the same time, i think i saw when the team arrived it was

a bit lower because the market got a little bit ahead of itself. as i said in terms of manufacturing and reducing the cost, just think that the u.k. operation of hsbc will be called the paradise world because the compensation ratio was above 75%. and i think now data is focusing on the hsbc usa earnings, which is important as the american bankers, which is barely making a profit. i think it was 1.6 billion on 250 billion of assets, very below the target of the management. >> you mentioned compensation there, still a lot of focus coming into these numbers of just what the compensation numbers were going to be. is it time we move away from that and we step away from this persecution of the banks in the bonus culture or is it going to continue to be an issue because we are seeing the likelihood of it raising fixed salaries this year as a result of the bonus

cut rulings? >> yeah, i don't think we are moving away from the composition debate for good reason. i think we have to focus on the initial cost. we see the bpi numbers and the provision for some like dollar for billion in the u.k. remember, it's the same bank that paid $65 billion on provision of the very unlikely acquisition in 2014 and i think it's a conversation that we still dominate in with the emerging market. >> this is a problem, isn't it, you can cut costs but if they are absorbed by litigation it doesn't really helped. and you also mentioned the u.s. operations and what they are doing there. deutsch bank set to cut the u.s. balance sheet on the foreign bank capital there according to "the financial times." the lender is set to reduce the $400 billion balance sheet in the u.s. to around $300 billion.

they say it will be achieved in part by reassigning operations on their mexico repo businesses. they have been up 6% in the last six months. and george soros said he's considering investing in europe's banks. soros believes in the euro and believes the banks need capital. when i read this i wondered whether he was talking his own book here and looking for the next opportunity, but he's talking about crossroots, injecting capital into the banks. is that what we need, because we are not doing it quick enough, are we? >> we need more capital. they are preparing for the comprehensive central bank and we would see a lot of this, so a lot of transitions which, by the way, hsbc will do.

>> great to talk to you. still to come on the show, steve wazniak is unveiling the next generation of the phone to catch the mobile congress. we'll talk to the ceo of yota devices coming up. stay with us. could save you fifteen percent or more on car insurance.s everybody knows that. well, did you know that when a tree falls in the forest and no one's around, it does make a sound? ohhh...ugh. geico. little help here. i need>>that's my geico digital insurance id card - gots all my pertinents on it and such. works for me. turn to the camera. >>ah, actually i think my eyes might ha... next! digital insurance id cards. just a tap away on the geico app.

what is this place? where are we? this is where we bring together the fastest internet and the best in entertainment. we call it the x1 entertainment operating system. it looks like the future! we must have encountered a temporal vortex. further analytics are necessary. beam us up. ♪ that's my phone. hey. [ female announcer ] the x1 entertainment operating system, only from xfinity. tv and internet together like never before.

roughly split, red to green this morning. we have rallied after the open this morning. pretty spikey on the back of the much better than expected german data, 110.6. no revisions to january 2. what we have seen is euro/dollar 1.37. you can see here we have sterling there higher by .3%. but let's go straight to michael as we look at a much stronger

ifo data than expected. >> yes, good morning. much stronger ifo survey really across the board amongst the components. in terms of euro/dollar, it's providing a boost today. but the key things for folks is this does not change the inflation outlook for the eurozone. what will be key is some of the monetary data we have out later this week. we have the data out later this morning, but more importantly the february flash number out on friday. we expect this to be soft and also think the m3 data we get on thursday is likely to be soft. we think this will dampen the euro this week. >> you are talking trade, aren't you? you were taking out the short dollar trade. how much higher do you want to see this before you refresh the shorts in euro/dollar? >> one of the things that's truth in the rebound in the euro/dollar has been the disappointing data out of the u.s. and really the big question that continues to overhang is how much more weather-related impact

is there in the u.s. data? now, we're going to get a clearer picture going into march and toward the end of march into april of whether or not we get a payback, a rebound in u.s. data. if that's the case, we could really see euro/dollar declining over the weeks ahead and really the levels we are at now marking the highs for the path. >> so you mentioned the flash hcip data for 6% year on year, if it does come in at that level, do we get action from the ecb next week? >> we think the action from the ecb is very likely. they are going to be trimming their rates. and the next key thing about the ecb is they announced at the last meeting they are giving their projections for 2016. now originally they weren't expected to be releasing these until the end of the year. so they have purposely gone out for some of their forecasts. we expect in 2016 given what's

been happening with the lower pace of growth, it's slightly indicating refreshers at time. it is likely to remain very low with the hsbc doing more sooner. >> michael, great to speak to you. now let's get back to giving you and update as far as the markets are concerned. an underperformance from the u.k. market down .10%. part of what we saw in the asian session, in particular, with china concerns about restrictions on property lending, in particular. and, of course, hsbc, we'll be talking more about that. disappointing on their earnings this morning, too. let's take a look at some of these top stock that is are moving the markets this morning. scania shares skyrocketing up 32% this morning after a bid buy volkswagon for the part of the group it doesn't owe. they plan to buy out majority

shareholders for $6.7 billion euros. v vox wlkswagon shares are down 6 this morning. and volvo is up 3.5%. and we'll look at the bond market performance this morning, tightening going on as far as the italian market this morning, 3.6% the level there. and we have bond year trading at 6.78%. and ten-year treasury is 2.73%. we'll check in on the markets from asia to get an update from li xichuan. >> reporter: china has losses ahead of the two-week lows saying the mid-sized bank has begun tight anything property

loans. at the shanghai composite. they ended lower at 2%. china enterprises also weighed on the hang seng index which ended lower by .80%. the nikkei ended marginally lower while they underperformed after reports say the recent heavy snowfall could have resulted in damage payouts of some 60 billion yen of three insurer groups. as for seoul shares, nearly down a half percent with australia closing flat. and now the action is trading higher by about a half percent. let's take a look at the damage seen in the chinese property majors. the big four players tumbled about 6% to 8% today. this after news that industrial bank has tightened lending to developers raising jitters that beijing is starting a fresh round of property curves. but on the other hand, the rise in china's home prices eased for the first time in 14 months in january, which is the latest

sign that beijing's over four-year main maining of property is finally starting to work. that's a look at markets. back to you, julia. the two-day meeting of g20 finance ministers and central bankers concluded with an ambitious goal to generate more than $2 trillion in additional output over the next five years. france's finance minister is confident this can be achieved back at home. >> we can easily add 1.5% and something like 2% in the years to come. but what it creates with the additional growth is not only what each of us does nationally, it's the fact that we coordinate. >> he was speaking to cnbc at the g20 meeting. spain's minister of the economic affairs thinks a pickup in growth could lead the nation on the path of potential upgrades.

>> i think if it starts to pick up and accelerate as we are projecting now, we are able to stabilize the duration of the two elements will be the two main factors behind a potential future upgrading, additional upgrading of the status economy. >> we are joined now from the g20 in sidney, it is nice to hear comments from the european finance ministers, but i share the skepticism of the german finance minister on just how to achieve the growth target. how will they? >> reporter: well, that is really the key question. we don't know much at this stage because no action plan has been detailed. all we know is that there is this target above the current growth trajectory of 2% in five years, and some questions over how this is going to be funded,

but this is very much a country specific situation. interestingly enough, one of the countries we may first hear about because the plans are set to be detailed at brisbane at the g20 meeting that doesn't come till november, but in the press conference on the last day of the g20 meeting, i asked the u.s. treasurer, secretary treasurer, rather, exactly what he's going to be doing in the u.s. and how they are going to contribute. now, he basically said there are going to be no surprises here, but it will be detailed in the 2015 budget that president obama will be unveiling. he said it will be very focused on infrastructure and very much focused on creating jobs, but he also interestingly enough said there's quite a lot of political will. there's a lot of consensus in washington at the moment, but they will use executive orders when and where they have to. back to you. >> thank you, oriel. elsewhere matteo renzi faces his first test at prime minister after being sworn in on saturday and putting in place a new

cabinet. the economy minister will be the former chief economist for the oecd. he's expected to have enough support in the upper house, but some select winners within his own party threatened to vote against the government so the size of the majority remains in question. deja vu with his predecessor there. now elsewhere mark zuckerberg is the keynote speaker in barcelona tonight. the facebook ceo just purchased the what's app for $16 billion. and samsung unveils a new line of smart watches. louisa, what have you been astounded by there this morning? >> i'm astounded by how big this place is. i've been covering this event for eight years, seven years, nine years, something like that, and it's grown so much. which also tells you how much the industry has grown and how

much potential there still is in this particular environment. you mentioned some of the trends, i have got some of these wearable apps on and wearable watches with the fitness-type things to track the steps you're taking, that's a big point. connectivity is a big talking point. and also a talking point about how to best optimize the technology that already is and how to best develop it. i'm joined by vladislav martynov. thank you for being here. i just stepped on my microphone. a lot of wires, we need to be able to hear each other. what is yota for those joining us? >> yota started up from russia. and we believe the future of the smartphone will always be on display, that's why we have developed the yota phone with two displays on the front. and the backside is always on display, which is new

technology. >> so it means that you essentially have two screens in one phone? >> exactly. >> so why would i want that? >> it's a pretty cool scenario. first of all, we probably know that every time we need data, which is hidden behind the dark screen, we need to make a few clicks, four to five clicks to wake up the phone, search for data, and this will do it 150 to 200 times a day, which disrupts tasks and people around us. actually, there's a term for when people are snobbing those around them in favor of the smartphone. and i think this is a solution. you always have the display. you set the dashboard or the data you want to stream on the backside, and it is always there in front of the eyes. you don't need to make a few clicks or pick up your phone. dauf a you want to see and track in realtime in front of your eyes. >> and you're still in the experimental phases of this? >> well, actually we launched the first commercial product last year in december. and we'll launch initially in five countries, gemny, austria,

france, spain and russia. but today we are announcing or unveiling information about the next generation of the product. and i have a few prototypes here. i wish you could see it has a much bigger screen. it has additional feature, which we call one-touch. because the first generation you would only be able to see data, but here the full page is on to make the data more directive. now you can respond to e-mail, you can switch to the power-saving mode, where if you forget to charge it, you are going hiking or camping for two to three days, you can have basic functions on the second display and it will last longer. >> so when i hear you saying there's a screen that's on all the time, i think the battery is going to be dead in three minutes. >> well, the new technology allows you when it is projected

image, basically it's not consuming power at all. it's consuming power only when you refresh the data. if you have zero battery, if you want to keep image or the map, it's pretty cool because you want to have the body part with you, just make one gesture like this and then you have it on the back screen, like we have a post and this gesture and have it there. and it stays there even if battery is zero. >> can i ask you, what is the pricing for something like this? >> in europe it is $499 in open market. 499 euros. >> excellent. that's the ceo of yota. coming up, we'll be speaking to a host of additional ceos. a couple unveiling pretty nifty things as well.

see you later, julia. >> we look forward to it with full coverage of the mobile world there in barcelona. head to our special report page at cnbc.com and don't forget to join the conversation on twitter by using #mwc14 or follow us @cnbcworld. later we'll speak to ford who is unveiling new futuristic technology. ford says drivers will be able to talk to the new focus to control climate control, navigation and entertainment. it will also be able to park itself. that's music to my ears. we'll talk to the european ceo in a half hour's time today and asking the question, what would you want your car to do? what new features should all cars of the future have? if you were to join the conversation on "worldwide exchange," get in touch with us at e-mail at worldwide@cnbc.com

or on twitter, @worcnbcwex. now still to come on the show, the imf is lowering the growth outlook. is much of this because of nearby syria? we'll talk to the country's syrian bank governor to get the country back on track. stay with us. we needed 30 new hires for our call center.

i'm spending too much time hiring and not enough time in my kitchen. [ female announcer ] need to hire fast? go to ziprecruiter.com and post your job to over 30 of the web's leading job boards with a single click; then simply select the best candidates from one easy to review list. you put up one post and the next day you have all these candidates. makes my job a lot easier. [ female announcer ] over 100,000 businesses have already used zip recruiter and now you can use zip recruiter for free at a special site for tv viewers; go to ziprecruiter.com/offer2.

you're watching "worldwide exchange" bringing you business news from around the globe. welcome back to "worldwide exchange." hsbc is posting lower than expected pretax profits of $23 billion. they are also warning of choppy waters ahead for markets this year. and scania shares skyrocket as volkswagon looks to possibly take it over. and viktor yanukovych is wanted for mass murder of peaceful citizens.

this as the eu offers the country 20 billion euros worth of aid. and ford enters the mobile world to unveil the brand new tech-heavy car that can even park itself. so is it now less about the car and more about the features? we're joined first on cnbc by ford's europe ceo coming up later on the show. so let's take a quick look now at the european markets this morning. small gapes for the german, french and italian markets here keeping an eye on italy with the confidence vote later for the new prime minister. the ftse down .25%. the focus is weaker earnings from hsbc as we continue to talk about throughout the show. now we'll flip to the bond markets to show you what's happening there, slightly up a basis point or so tied with spain. and the ten-year treasury sitting at 2.73. we'll look at foreign exchange

market this is morning focused on the euro/dollar this morning after the better than expected survey data out of germany. trading at the 1.67 level. and the dollar/yen at 102.40 the figure there. now moving on to you cape, the acting interior minister says police want to speak to the missing ex-president viktor yanukovy yanukovych. michelle caruso-cabrera is joining us, there's a choice now between the west and an eu bailout and a gain going back to russia and asking for money. and the path of least resistance here is russia. how do they move forward here? >> yeah, you laid it out perfectly, julia. the issue is any money to come from russia would come with far fewer requirements, but clearly the reason this whole situation has erupted is that a good

percentage of the population, at flooes this part of the country, does not want to follow the path of russia. it's not clear whether they understand that to follow the path toward the eu is a much, much tougher path because there's a lot more requirements. but that is the choice they are going to have to face. the imf, the country needs a bailout. they are running a current account balance and can't borrow. they need a bailout and need it soon. who are they going to get it from? if they go back to the imf, we know that the imf wants them to raise cash prices and to let the currency flow eventually. the first one will hit the population and the business community very hard. the second one is going to lead to collapse many the banking system and they need to recapitalize a number of the banks. so it will be a tough path plus all the changes they have to make to the judiciary transparency elimination of corruption. in the long term, a lot of ukrainians believe it's a path they should take but it's the tougher path. and whether or not this parliament is willing to take

that stand and do it, we have to wait and see. and ultimately the people really pulling the strings are the business leaders of this country because unlike russia where putin controls the olygarchs, we'll see how it plays out. can they form a government that will sit down with who and discuss how much money, there's a lot of talk about a lot of money being given to the ukraine, but i highly doubt it won't be given without a lot of strings attached. >> michelle, you made the decision that it has to happen in the next couple of days and it has to happen quickly. i've seen data suggesting they are burning through $2 billion a month and they have very little time here to make a decision. it has to happen this week, surely. >> yeah, you're right, it absolutely has to come quickly. already because they are running a deficit and can't borrow, they are not paying attention. they are doing all the things we

saw in greece. they haven't paid the russians, et cetera. the current account balance is the big problem. they still haven't paid the russians, that's where the money would go, so they need liquidity and need it fast. when it comes to the international markets and goes to a very unseenbly point, are lenders going to get paid? the first payment isn't until june, it's a billion for the international lenders. all the other debt up until then is local. and you can force people to take a rollover on that. you can do that locally, it's punishing, but it's not going to cause an international default at this point. but you're right, they absolutely need cash and need it soon. >> michelle, great to chat to you and speak to you again later in the show. now internal secretaryism combined with strife in neighboring syria have negatively affected lebanon's growth prospects. the lowered their expectation to

1.5%. joining me is the governor at leb northern's central bank, riad salame. the monetary fundamentals are strong if we look at deposits and reserves, should investors be looking for that aspect here? >> i think lebanon because of its banking sector is retaining the potential for growth. so as soon as we can get a better political environment, a better security environment, the liquidity is there to fuel investment and encourage consumption in lebanon. >> but the national unity government you have now reduces the risk of sectarian civil war but can't address the security issues the country faces with the bombings we saw last week, how does the government increase

the confidence sneer. >> the government is a message to the markets that the lebanese want a united country abiding by the democratic behavior. and that what is happening in terms of explosion is a result of the syrian conflict and that this is just limited to those who are involved or in proximity of the syrian war. >> the problem is you can't control that. is the international community acting quickly enough on syria to be able to help you because you're talking about something that you domestically are struggling to control. >> the international community is not fast enough in terms of intervening to stop the conflict in syria. the matter is complicated. lebanon itself has a burden from

that, we have 900,000 refugees. the world bank has estimated 200 billion dollar per year at the cost of these refugees on lebanon. and we are still hoping for the backing of the international community to be able to go ahead and have enough resources to deliver lebanon itself, which will help fight terror, in fact. >> you talked about the strength of the banking sector, we know you're managing to increase deposits and see deposit growth, do you believe the premium attached to lebanese government bonds now is too high? >> it is a normal and acceptable premium. lebanon is b-minus. we are still borrowing at 70-plus. of course, if we have a better

environment, i think interest rates and the premium we pay will be less. >> so what can you do on the monetary side to further support the economy and what does the government need to do in terms of growth policy here to support a recovery in the economy? >> the central bank has launched a stimulus package, but we still have one for 2014 in order to allow the private sector to borrow at a low cost. we are backing also now the knowledge economy. we have put an incentive program so the banks can invest in start-up digital companies. the government cannot act really this year in a convincing matter because there are several elections going on in lebanon, one for the presidency, one for the parliament. and one should hope for the

government to be active in the last quarter of 2014. >> so that's a bare minimum for action on the growth front. what about the external environment? what about what's going on as far as monetary policy in the u.s. is concerned an janet yellin in the tapering. where the you see that in terms of progress? is this a positive thing for the global economy in your view? >> i think the central banks of this world have succeeded to overcome the 2008 crisis. and now we are starting to see the unwinding of all these strategies. lebanon will not be affected. we are affected essentially by short-term interest rate worldwide. the exposure of international funds to our markets is limited. and we are looking forward to see the economy in europe or united states grow in a better way because the lebanese have

investments in these two continents. >> riad, fantastic to talk to you. he's the governor of lebanon's central bank. meanwhile, other central bank governors have been meeting at the g20 meeting in sydney. one major discussion was the impact that the federal reserve tapering will continue to have. and the central bank governor sees a measured pace of tapering welcomed. >> i think we are relatively well positioned, so i actually welcome a measured pace of tapering. the only thing i have been calling for is that in the communication there should be some sensitivity to the emerging market. this is not from our perspective but from the emerging markets, some that have been in trouble in the last few months. >> the asian and chinese markets are suffering the wrath of real estate plays, this after local reports said that a chinese bank may have stopped extending loans

to property-related sectors. the report that i read was just one mid-sized bank which perhaps gives you the idea of how sensitive we are to the sector in china but data out earlier today shows that prices in china's 70 major cities rose 9.6% in january from a year earlier easing from december's 9.9% rise. now staying with china, pboc's governor said the country is aiming for gdp growth of 7% to 8% but didn't give a timetable. the chinese governor also said he's keeping a close eye on china's shadow banking sector. now tensions continue to simmer in thailand after a bomb blast at one of the major protester sites in bangkok. three people were killed and 22 wounded when a grenade went off in a shopping area. no word yet on who is responsible. meanwhile, the prime minister has left the city and is staying

150 kilometers away from the capital. she's due to hold a cabinet meeting tomorrow and attend a corruption hearing on thursday. now china microblogging service weibo could be going public. they are looking advise on an american ipo. the investment of $500 million could take place in the second quarter this year. according to reuters, the twitter site could be worth $4.3 billion. new york listed the fourth quarter announcement after the u.s. markets close today. watch out for any comment on that. now we'll give you a look at what's on the agenda in asia tomorrow. hong kong and thailand release january trade figures. the south korean prime minister will unveil the three-year economic growth plan for the economy. and australia has qbe insurance

and awe to report results. still to come on the show, cars that you can talk to and can park themselves. i like that. these are some of the new features that have been unveiled by ford. this morning we speak to ford's european ceo live from barcelona coming up next. [ male announcer ] how can power consumption in china,

impact wool exports from new zealand, textile production in spain, and the use of medical technology in the u.s.? at t. rowe price, we understand the connections of a complex, global economy. it's just one reason over 75% of our mutual funds beat their 10-year lipper average. t. rowe price. invest with confidence. request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing.

welcome back to the show. the chief financial officers have told cnbc that a lack of consumer spending is a major fear for their companies. we asked 51 executives from your and from asia for the biggest risk factors. and half of the respondents ranked weakening demand as their main concern. no other risk came close with china's slowdown fears ranking just second with just 18% of the votes. the cfos believe a soft landing is in store for the second largest economy. 76% of respondents in the cnbc survey saw the gdp figure for 2014 to dip below the 7% market. interesting hsbc is saying 7.4%

china growth this year. despite the risks, executives expect moderate growth to moderately increase over the coming year. now earlier the "squawk box" europe team caught up with two ceos and here's what they had to say. >> frankly from the consumer perspective and the food sector, we are not really seeing any change in custom behavior whatsoever. so, in fact, in january we saw a very flat growth in the growth market, one of the worst levels of growth in the last nine years. so it continues to be very tough out there as consumers continue to tighten their belts post-christmas. >> we have around 59% of our business in developing in emerging markets, which china is an important market, but we are also very present in latin america, africa, the middle east, southeast asia. so while an important market, we are not overdependent. having said that, growths of 7% to 8% in china are growths so much higher than developed markets it's still very good growth for us.

so we see still huge significant opportunity in china. >> now ford unveiled its brand new focus at the mobile world congress in barcelona. the new model is heavy on tech features that can even park itself. we are excited by that. joining us on cnbc is steven odell, you have chosen to do this launch in barcelona, is the message here then that the features are more important right now than the car itself? >> i'm sorry, you'll have to repeat the question. it is very noisezy here. >> don't worry, i was basically asking you, giving you a choice of launching here at the barcelona loan congress is saying that the features of the car are actually more important than the car itself now. >> thank you. well, as you know, the focus is the world's best selling car. and we thought it was very appropriate given the blending

together of automotive and digital technology that we would launched the focus here. in fact, this is the first time that anybody has seen the vehicle. and it's enabled with sync 2 to allow the driver to gape control of the vehicle. >> can i ask you about the sync system, there's word that you dropped microsoft windows for blackberry in the latest sync system, can you give us more detail on that? >> i've got nothing to say on that. we are still partners, of course, with microsoft and are engaged with a large number of other suppliers and automotive suppliers to help us in that arena. we are absolutely involved with microsoft in this system. >> do you see the technology you are talking about today transformational for the system going forward? is this going to become the norm

or remain luxury? >> no, i think it's becoming part of the norm. and the fact we have launched focus here means people always want to be connected with their car. and i think we are democracizing the market. and the technology can help you come out of the parking space while looking around for vehicles coming toward you. and it is audio-enacted. if you say to syny 2 i'm hungry, it will show a list of the restaurants nearby and you can pitch what you want, choose that one and the vehicle will then navigate you to that restaurant. >> you have to admit, that's my particularly favorite feature right now, but 2014 will be a pivotal year for you if you hope to return to profitable in 2015 as planned. you have announced ten new

vehicles in 2014, but at the same time we have seen various car closures. are you getting the balance right here? >> well, we said at the beginning our transportation plan in europe, which was exactly the one full plan, was on brand, products and cost. of course, products were actually launching 25 vehicles in ten years, ten of which launched last year and 10 or 11 last year. the product is vital. cost is an element, of course. you have to make sure that you have the right cost structure to open able the business to grow. and our brand strength continues to improve, actually enabled by technology-leading events like this with the most advanced car we have in the marketplace. so we are absolutely on track. we are confident we have the right plan. and we'll continue to monitor that as we go forward.

>> great, stephen odell, great to talk to you. and china's technology is looking good in the u.s. world. huawei became the second largest cell phone maker last year. louisa, you have been talking to them, how confident are they about this u.s. move? >> well, they are looking definitely at broadening their scope and the launch is a big deal of the recent devices that they showed us here yesterday. so stephen is right, it is very noisy here, so i caught parts of what you were saying, julia. but basically we are looking at huawei gaining a track as they are known for their networks. they are the second largest toericson. two-thirds of the sales come from outside the china and gain a small share of smartphones after apple. i spoke to collin jowes earlier,

and here's what he had to say. >> products like the p6, it's not a high-end product, but it is certainly a high to mid-range product, we have had very good success and sold 3 million units of that last year. so we are on our way. and some of that was in western europe and some was in the middle east and the markets around the world, so not just china. >> market share, though, the still a distant third at the moment, which is good, but again, some would say, samsung electronics has 35% market share. apple is up there and you're at 5%, why not sell the unit and focus on the core network business? >> we really committed to selling these type of consumer devices. you have to take a look at the devices that we announce today. some really nice tablet products, whatever you like to call them, and really nice

iphone devices and wearables, too. you can start to see the innovation coming through. and a lot of that is on the back of what we have learned in the other business units. >> and you mentioned the wearables, are we hearing anything about a watch at this event this time around? >> we are not announcing that today but we are announcing a wearable device which is a combination of something to use in combination with a phone. so it's like a headset receiver but also mop or thes your health and your well-being. >> as you also might know, a lot of the chinese equipment makers including huawei have been flagged by u.s. lawmakers as being a potential security threat, meaning that the u.k., for example, australia, they are not too happy about the notion of potentially inviting chinese equipment makers for the fear of spying. i did ask mr. giles about that, but he said he's the head of the consumer business and wanted to talk about what they are

launching here today. back to you. >> we'll catch up with you later in the show. dixon retail confirming in preliminary talks with carphone warehouse. now what's up with the whatsapp, did facebook overpay for the firm? we'll have that later on in the show. stay with us. [ male announcer ] these days, a small business can save by sharing. like carpools... polly wants to know if we can pick her up. yeah, we can make room. yeah. [ male announcer ] ...office space. yes, we're loving this communal seating. oh, it's great. yeah. [ male announcer ] the best thing to share? a data plan. ♪ new at&t mobile share value plans for business. our best value plans ever.

for example, you can get 10 gigs of data to share. and 5 lines would be $175 a month. plus you can add a line anytime for $15 a month. sharing's never been better for business. ♪

welcome to "worldwide exchange." i'm julia chatney, and these are your headlines. hsbc is warning of choppy markets ahead this year. ousted ukrainian president viktor yanukovych is wanted for the massive killing of peaceful citizens. and the country is offering $20 billion worth of euros in aid.

and volkswagon is looking to buyout scania at 6.5 billion euros. >> you're watching "worldwide exchange" bringing you business news from around the globe. if you're just tuning in, thank you for joining us here on the show. let me give you a look at how the markets are faring ahead of the u.s. open despite losses for the session in friday's trading session, we semito be reversing the losses today. we are 20 points higher for the dow. we are around seven points higher for the nasdaq, but that managed three weekly gains at the end of last week bucking the trend for the other two, s&p 500 indicating higher by just over five points. here's a look at how the largest 300 stocks have traded over the past few hours. well, choppy session for asia weakened by china concerns about property lending weighing on the markets there. and the mixed picture, we have

lost ground over the last 30 minutes or so as far as the markets are concerned. that despite a better than expected ephone business climate data. and germany is down a half percent with hsbc one of the underperformers. german markets are .10% lower. and the italian markets are .40% watching that confidence vote from the prime minister later today in the upper house. let me bring you some of the corporate news we are watching, too. dixon's and carphone moving higher as they are in talks over a possible merger. dixons says no decision has been made as they are in the preliminary stage and are up 5.2%. and scania shares have skyrocketed this morning. 32% higher in trading so far after a bid by volkswagon for

part of the group it doesn't already own. the german carmaker planning to buy out majority shareholders for 6.7 billion euros. volkswagon shares are trading lower on the news down around 6.5% there. finally, swedish automaker volvo up this morning after citigroup raised the stock to buy the mutual taking that share and stock up 3.5%. a quick look now at the foreign exchange markets. dollar under a bit of pressure this morning. we do see the euro/dollar rate higher and stronger than expected ephone rating at 1.3760. and the yen is lightly higher in trading today. on that note, we'll check in on the markets in asia with li

sixuan. >> china shares are the worst performer today hitting two-week lows by the news reports saying a mid-sized lend er is there. and in hong kong it ended down .80%. in japan the nikkei lost a modest .20%. while japanese insurers underperformed after reports say the recent heavy snowfall could have resulted in damage payouts only soft 60 billion yet at three major casualty insurer groups. meanwhile, seoul shares finished lower by a half percent and the india session just ended higher by .60%. we'll look at the damage in the chinese property makers. the big four players tumbled some 6% to over 8% today after

news that the industrial bank tightened lender to developers raising jitters that beijing is starting a fresh round of property curves. but on the other hand, the rise in china's home prices eased for the first time in 14 months in january, which is the latest sign that beijing's property risk may be finally starting to work. and that's a look at the asian markets. back to you, julia. thank you, li sixuan. the two-day meeting of g20 finance ministers concluded with an ambitious goal to generate 2 trillion in output over the next five years. they could keep growth in check with the u.s. federal reserve's pace of tapering. the russian finance minister played down the tapering fears at the g20 meeting. >> both the fed chairman miss yellin and secretary lu related

their policies with tapering in que. they say everybody can be guided to understand how qe will evolve. >> we are joined now from sydney, oriel, thank you for staying up to chat to us. talk about the growth plan, where is the strategy and how can they achieve this without additional money growth here for support? >> we know it is over five years and know it is 2% over the course of five years, which is a half percent a year at this point, but we have no concrete detail about how countries are actually going to be able to put this in place. and there are already questions over how certain countries are going to be funding any further growth measures, any further stimulus being thrown into the economy. interestingly enough, though, in terms of what we will find out, of course, all the g20 countries

come together in brisbane. i asked jack lew at the end of the press conference who said there will be no surprises in there and focused on infrastructure and jobs. but he said there was quite a bit of political will in washington at the moment, but when they had to, they would look at using executive orders. so they would do it either way to get the new measures essentially across the line. is the target high enough? that's the question being asked. because we spoke to the french finance minister about them and said, are you going to be able to hit these additional targets on top of what you were already planning? and he said, we are already there. so i asked him, if that's the case, where is the usual

impotence to do more, but he wants to continue doing what they are doing. there was a lot of optimism with the exception of germany, i should say as this point, most of the delegates and attendees are optimistic that the aims will be met. >> thank you. we just had new cpi figures out to bring you. we have the january cpi coming in at a revision, minus 1.1 on the month, plus 0.7% on the year saying the january cpi month on month is the steepest we have seen on record. though it is coming in in line with expectations. the managing partner is joining us now, good morning, how concerned are you about the up nation trends in europe? >> good morning, julia. i'm quite concerned, but i think that unlike the fed and the boj, we've seen in the ecb a

declining balance sheet over the past year, year and a half, so i think that if there is one central bank that has some dry powder on the balance sheet to actually turn and start spending it, actually, taking a bit of a cynical view, i think that will the fed might be having back channel talks with the dcb saying, hey, guys, we have been doing it for three to four years at full power. maybe now is the time to pass on the battle and for you guys a little bit, and i think that's what will actually end up happening. >> do you think that holds sway with mario drugge to allow the balance sheet to cap out. what will happen if they reduce it? >> i think it will be a change in the emerging recovery we are seeing in the periphery view. and if you see the deflationary

projections, you will see the numbers move in. >> action or no action next week? >> tough to say. i think he was preparing for the action to start coming, but i'm 50/50. >> hsbc shares are trading lower after the bank fell short of expectations with earnings 2 billion short of market expectations. the bank also looking to the outlook that markets could be choppy this year. staying in the sector, deutsch bank has cut its u.s. bank balance sheet for foreign capital. this according to the financial times. the report says the lender is set to reduce its $400 balance sheet in the u.s. to around $300 billion. they say it will be done by signing on frankfurt and

tokyo-based repo businesses. they have grown 3% in the past six months. edge george soros said he's considering investing in europe's banks. he believes in the euro and believes banks badly need the capital. he added his fund is also considering investment in greece sighting improved economic conditions. that's interesting because a lot of people made a lot of money in greece last year. i wonder how much juice is left in there, but we'll look at what's happening with the united states. the winter impact could show in more data with reports of pending sales and consumer confidence. today we get the february flash services pmi and the dallas fed survey. now his first test as prime

minister. can he win the confidence vote in the senate with members of his own party said to be against him? we'll discuss after the break. here in philadelphia you can access a philly cheesesteak anytime, day or night. just like you can access geico anytime, day or night. there is only one way to celebrate this unique similarity. witness the cheesesteak shuffle. ♪ cheesesteak, cheesesteak ♪ ♪ it's the cheesesteak shuffle! huh! ♪ ♪ every day, all day, cheesesteak, cheesesteak! ♪ ♪ every night, all night cheesesteak, cheesesteak! ♪ ♪ 9 a.m. cheesesteak! ♪ 2 p.m. cheesesteak!

♪ 4 a.m. cheesesteak! ♪ any time (ruh!) >>geico. fifteen minutes could save you fifteen percent or more on car insurance.

welcome back to "worldwide exchange." these are your headlines. ukraine's interior minister says

the former president yanukovych could face charges from police over the death of several people. and the whats app says sorry for the biggest outage in years. and hsbc misses earnings forecasts. matteo renzi faces his first test as italy ice prime minister. he was sworn in on saturday and put in place a new cabinet. his economy minister will be the former chief economist for the oecd. he's expected to have enough support in the upper house, but some in his own party threatened to vote against the government, so the size of the majority remains in limbo. pedro, what do you think of italy here?

it has always been turbulent politically. >> it has been politically hard to watch for many years. from the investment perspective, although i think renzi may actually be the piece of the puzzle missing, he seems to be young enough to be daring to change things. but from an investment standpoint, italy has been a huge disappointment and has been one of the biggest sources of value traps i have seen in many, many years. so i don't see many people talking italian stocks, because although they are cheap and there's great company there is, we didn't see the trend turning. people still don't have enough confidence to put enough money towards them. >> and what's the catalyst for that? because as you point out, there's value there and there are great opportunity there is. i travel there a lot and see that, but i agree with you on sentiment. >> i don't know what the catalyst is, quite frankly. i know i've been following a

couple italian institutions for years. and whenever you think it's going to turn, you get optimistic and something happens and it trades lower. >> we have the other elected government there. talk to me, because when i see you come on cnbc, you are one of the people most willing to say they are sitting on their hands and holding cash. but right now you say you are close to the all-time high as far as consenting stalks. talk me through the logic. >> it is true in terms of the all-time high, but it is how we got there that is interesting. as you know, we are kind of sitting on the fence where the market is deciding, should we go higher, should we go lower? and i think it is important that the u.s. indices mainly break into new higher highs quite soon in terms of confirming this kind of connection is over. now, what is particularly interesting about the markets right now is that even without a lot of conviction, you can

express with very little money a long position through options and volatility close to levels where it was old time lows, so it is very easy to take money off the table between the main involved and encased at the yellen leading straight to the foryum and starts tapering and the market starts to melt up again as it did numerous times in the past couple of years. it's a quite interesting way to play offense while playing offense at the same time. >> how split are you in terms of actual exposure and better buying options. can you give us a percent? >> we are 60% long equities, which is about average to what we are. but we have explo sure of 150% more. so our stocks are 1.2% higher than we already are.

we made four to five times our money in the legal options. >> we'll come back to you, pedro. meanwhile, ford opened up a new model with futuristic activity. drivers can can talk to the new focus and to operate climate control, navigation and entertainment. and the new focus will be able to call itself. now given full launch today, i'm asking what would you want your car to do? what should all cars of the future to have? mark anderson tweets i want a mustang without door windows. get in touch with us to e-mail us or sent us a tweet. still to come on the show,

the hunt is on for you cape's former president who went to ground over the weekend. we'll talk more about ukraine right after the break. for now, we'll leave you with a look at the heat map to see how the european markets are fairing as we speak. predicting the future is a pretty difficult thing to do. but, manufacturing in the united states means advanced technology. we learned that technology allows us to be craft oriented. no one's losing their job. there's no beer robot that has suddenly chased them out. the technology is actually creating new jobs. siemens designed and built the right tools and resources to get the job done. ...return on investment wall isn't a street... isn't the only return i'm looking forward to... for some, every dollar is earned with sweat, sacrifice, courage.

which is why usaa is honored to help our members with everything from investing for retirement to saving for college. our commitment to current and former military members and their families is without equal.

welcome back to the show. let's give you a look at how the u.s. futures are faring ahead of the trading session. the s&p 500 indicating higher. relatively flat this morning tilted to theup side. the dow jones down nine points and the nasdaq higher by four points. so retracing the losses so far after friday's session, but of course a lot of data to come this week and the weather will impact what we are watching there. for now the acting interior minister of ukraine says they want to speak to viktor yanukovych for the murder of peaceful citizens. his last known whereabouts are largely in a pro-russian region of korea. meanwhile, ukraine's interim president alexander chernoff is

offering kiev millions of dollars in aid after violence that left 100 protesters dead. meanwhile, yulia tymoshenko has been freed from jail and is calling for a coalition government. at the same time, the opposition leader and former boxing weight champion tyler klitschko is throwing his hat into the ring to become the next president. and now we are joined by neil to talk about heading to the eu and the imf and that looks like the tough option here in terms of the conditions. >> in the near term i think it is the tougher option in terms of the conditions attached to

any kind of bailout program from the eu, and ultimately that's better for the long run, prosperity of ukraine, after all. don't forget, they provide the anchor for reform, economic and institution reform, at least in the prospect of growth in the czech republic and so forth. but that's what we have been missing all the way back to the 1990s. so ultimately that would be in ukraine's better interest from the economic perspective, but the type of wall between europe and russia has been underlying a lot of problems in the ukraine, not just in the past few months but this is the fundamental issue from the last decade or so. >> what's the risk here that russia steps up the pressure again? >> i think there are three main areas of uncertainty. one is whether the opposition themselves that ousted yanukovych can hold together. this is a desperate group of people. >> you have ultra nationalist

parties. >> and the in-fighting in the government that ultimately led to the 2004 opposition that failed. can the eu step up to the plate is the other issue providing finance and the ultimate membership and the anchor reform. and how does russia agree to this? >> would you agree this tilted the balance more likely to the eu and that russia has kind of the upper hand on this? >> well, i think because we were here in 2004, the widespread assumption was ukraine is going to be joining the eu very soon and we'll start negotiations and so forth, ben that revolution failed for various reasons, partly because the eu itself was turning against further enlargements. now, whether we have learned the

lessons of 2004 or not, i expect they have, and they can kind of hold talks to bring ukraine into the fold this time, which is good, but at the background of all of this is what does putin do? this creates big domestic political risks for putin. this is a country, a territory that many russians think is their own, and it's a shift from the moscow to the eu to create political risk for putin. how does he respond? that's the major issue. he has several cards to play, he can cutoff the gas supply to the ukraine and germany. >> and that raises questions on the financing because we are talking about a third possibility right now that we see a default. neil, i have to thank you for the interesting points raised there. neil is from capital economics. pedro is staying with us. still to come on the show, did whatsap ruin your social weekend? they apologized for no service for several hours over the

weekend. don't i know it. so did facebook overpay for the firm? we'll get a tech check later in the show. [ male announcer ] whether it takes 200,000 parts, ♪ 800,000 hours of supercomputing time, 3 million lines of code, 40,000 sets of eyes, or a million sleepless nights. whether it's building the world's most advanced satellite, the space station, or the next leap in unmanned systems. at boeing, one thing never changes. our passion to make it real. ♪

welcome to "worldwide exchange." these are your headlines from around the world. ousted ukrainian president viktor yanukovych is officially wanted by police for mass murder of peaceful citizens. this as the eu offers the

government 20 billion euros worth of aid. only days after agreeing to be bought by facebook for $16 billion, whatsapp should say sorry for the company suffering the biggest network outage in years. and the latest hsbc shares are lower after posting a lower-than-expected pre-tax profit of $23 billion. the lender also warning there could be choppy waters ahead for markets this year. >> you're watching "worldwide exchange" bringing you business news from around the globe. >> if you are just tuning in, thank you for joining us here on the show. let me give you a look at how the markets are faring ahead of the u.s. market. the u.s. futures, the dow down nine points this morning. the nasdaq is up three points

and the s&p 500 is just a point or two higher. so definitely make your mind up here as we have plenty of data to see this weekend, with potential impacts. we'll look for ways to see the markets push higher. here's a look at how the largest 300 stocks have traded. a weaker session for the asian concessions with concerns over property lenders in china weighing on the shanghai positive, in particular, shy of 2%. they are changing hands from earlier in the session down by .50%. hsbc weaker earnings weighing on that index. the german markets lower here by .20%. french markets relatively up changed. and the ftse here in italy down .60% in trading today watching out for that confidence vote on the new prime minister later today. now just how do you make money? here's what the experts have

been telling us so far. >> i would say go with the liners. i do think that. particularly the miner sectors. they have been so brutal and unpleasant for the year-end. they are just a simple one to cut your costs to get to the bone, which they are doing. >> i think i wouldn't necessarily but i think there are more attractive investments in the sector. the agency a group of solid performers. >> there will be a provision for some, like a dollar for billion in the u.k. remember, it can be up to a 65 provision that will unlike.

and if you can meet there. mark zuckerberg is the keynote speaker at the world mobile congress in barcelona tonight. the facebook ceo comes fresh off his purchase of messaging app whats whatsapp for $16 billion. and samsung is unveiling a new line of smartwatches. louisa is in barcelona, it is interesting to hear about the new technology available, but how high is security and mobile safety featuring on the agenda there, too. >> way up here. super high up is the answer we have been talking all morning long about the importance of the biometric identification system, about how voice, scanning is being used a lot more as well.

privacy is very important. and we'll talk to raj here of mcphee, good morning. >> good morning. >> what are you telling us here at this event? you are making some pretty important announcements. >> for us, if you were a mobile user, even if you are not a mobile user, take precaution seriously and protect your device and also protect your family. it is absolutely paramount. >> what's the number one mistake that users make? >> where do i start? there's a number of people and the first thing i would do is to get them assured. i need to have medal that i

love. >> and i think -- they are signing up to do what? >> they are burning through the ste steele data. it affects accessing your real personal data reforms in that box. and we started on erin joy and talk about surveillance a lot. there's a lot of outrage over u.s. salaries. what do you make of the facebook takeover of what's app as well? >> we don't actually know how if or what saks middle exchange. they are going to monotize it in more intrusive ways.

so we don't actually know yet, but i would argue that it represents good finding for facebook. 19 billion dollars, 450 million users, if my mass is right and we discussed this earlier, that's actually quite reasonable. just and the consulting group believes by the year 2020 our digital identities will be past the economy. 20/20 is a good figure. you are also the chief innovative officer for cloud security lines and special adviser for the european cyber crime center. so what are you working towards in these organizations? how do you -- one thing is talking about cyber garment and policy, but what else can you

do? i explained by people the hum human -- in keeps the lights on in our house, it's going to be also about keeping the water clean. so we need to put stronger security in place because i don't know about you, but i want to make sure that, you know, the cloud that's keeping my water clean -- >> sorry, it is very noisy here. when looking at utilities, for example, are big utility companies and other large groups like that, are they optimizing our data as officially as they could be? >> no, not even close. i'll give you an example. my laugh which was the small collective data.

it's about every 15 minutes, so they collect data every 15 minutes. therefore, every meter across the world will be storing massive amounts of data, and i don't believe the authorities will be able to use it. >> we can tell tell that you use your home like this or how would they be able to use things? >> i'm thinking more. first and foremost i have to roughly get to attracting how many people are in your home. this doesncan also show you wha you're watching in your home. >> that feels like surveillance. >> i guess the term privacy has to evolve because what we talk about are the benefits of here. >> i'll going to have to rap th

then. we have our top stories after leaving louisa there. hsbc bank fell short after expectations with full-year earnings. the fully pre-tax profit of $22.5 billion. around 2 billion short of market expectations. the bag also warned in its jut look that markets could be choppy this year. >> now, we have also had some breaking news out of egypt as we are hearing news that the egyptian president has decided to resign. the government has decided to resign. we'll keep you updated with any more information. for now, as i say, the prime minister of egypt said the governor decided to runout.

3% of members think the fed will finish tapering in the fourth quarter of this year while 42% believe it will be in -- they are holding the annual conference outside of washington, so we are looking for headlines from there. and joining us is jean-claude trichet. still petro with us, you are talking about the fact that you have established a short here of 30 stocks. i know you have a hedge as far as a funding market is concerned. so how much portion is there in. >> they are the place to look.

the problem we merging markets you normally have is it's the same group of investors with the emerging market funds when a country takes the hit, then they start reducing risk of across the board and then have the domino effect. so i mean there's a profit with the indonesian corporate bond which will double our money in the next few months. there are definitely opportunities to really being a stock pick and a fixed income and put the stocker pictures. pedro, never enough time. and what's up with whatsapp.

details on what is behind the problem coming up, next. so we're up early. up late. thinking up game-changing ideas, like this: dozens of tax free zones across new york state. move here. expand here. or start a new business here... and pay no taxes for 10 years. with new jobs, new opportunities and a new tax free plan. there's only one way for your business to go. up. find out if your business can qualify at start-upny.com sometimes they just drop in. always obvious. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances.

welcome back to "worldwide exchange." ukraine's interior minister says the former president yanukovych could face police over the deaths of innocent people.

and whatsapp says sorry after the biggest outage this weekend in years. and the egyptian president has announced the resignation of his government. so that's the breaking news in the last few moments. the egyptian prime minister saying that the government has decided to resign. he made the decision apparently after a 15-minute meeting of the cabinet. he said it in a televised speech or address to the nation. of course, the man who speculates to be the next president is expected to run for president and also part of the cabinet serving as defense minister right now. so just a recap, the egyptian prime minister announcing the resignation of the egyptian government. we'll keep you updated if we hear anything more on that. now whatsapp back in the

headlines, but not for the right reasons this time as a technical glitch takes down the mobile messaging service this weekend. morgan brennan is live at cnbc's hq as many wonder if this was a good move. >> whatsapp issued an apology after the outage on saturday. in a blog post he says the router was to blame for the issue lasting more than three hours. that's the longest outage in years but the company has worked with its service provide tore make sure it won't happen again. this comes just days after facebook plunked down $16 billion to buy the whatsapp with more than 450 million users. meanwhile, netflix will pay comcast to get a direct broadband connection for streaming movies and tv shows. terms haven't been disclosed but

it is the first time netflix paid a u.s. company for faster streaming speeds, network and content. and this could pave the way with other cable providers. this comes as the fcc is wrestling with neutrality rules on whether they can slow down traffic to potential websites forcing them to pay more for faster internet service. and apple and samsung failed to set tell latest dispute. they are pointing to a trial in the u.s. next month. apple and samsung detailed the lack of progress in court filings yesterday. the ongoing dispute comes despite a day-long meeting earlier this month between samsung executives and apple ceo tim cook. that was not overseen by a mediator. their latest battle involves claims that apple says samsung's

phone is not safe. and the same security flaw just fixed on the iphone and ipad also appears on the apple computer at home. in europe today, they are just under a little over a half percent to 2.47. back to you, julia. great to chat to you. still to come on the show, the hunt is on for ukraine's former president viktor yanukovych. stay tuned while we cross the line to kiev.

the acting interior minister of ukraine says police want to speak to the missing ex-president yanukovych in

relation to what he's calling the murder of peaceful citizens. cnbc's michelle caruso-cabrera, they seem to have a bailout from russia or the eu and the imf. do you believe that the people in the ukraine are willing to accept the conditions that will come with that eu option? >> that remains to be seen because some of the conditions are likely to be, we have already seen from the imf in the past they want them to raise the price of natural gas, which will be very unpopular, and they also want the currency to weaken and float. that will punish the banking system and require recapitalization. and this is a country already suffering quite a lot. in the square behind me, there are still thousands of people, and you can hear more mournful music. it is quite a somber move as they wait to see if viktor yanukovych will be brought into

custody. in the meantime, they are holding meetings to try to build up the government. that way someone sits at the table and looks at the question you pose, is it going to be the west or russia? right now the consensus thinking is that a lope from russia or a bailout from russia would have far fewer strings attached to it, whether it comes to governance, et cetera. it will be tougher for the imf. there are some efforts from the united states and the west to try to evolve price in the force, to you crane ans, they chose to make the choice. but at this point, silent from russia that what happens with some complaints out of russia, but we are waiting to see what happens. back to you, julia. >> thank you, michelle. we'll give you a looked the agenda in the united states today. the winter weather impact could show up in more of this week's data with reports all new and pending home sales.

we also have consumer confidence data today. we also get the february flash services pmi and the dallas fed surveys. we'll give you a quick look at how the u.s. futures are faring heading into that trading session. slightly higher for the dow around 13 points and the nasdaq is higher 6 points and the s&p 500 is higher right now by just over 1.5 points. so very small gains as far as the futures are concerned this morning, though outweighing the minor losses we saw on friday' section. we have the market analyst here from trading advantage joining us now. a allen, can this rally the markets this week as a result of this data? >> yeah, i'm looking for the market to make a push. it is very important to see us take out the highs we have had in the s&p and have gotten close a couple times in the last week. we are holding the gains after

making a complete reversal from the bottom. we saw a lot more upside potential. if you look at the 110-point from the lows, if we get to the highs, the recovery targets a mood of $19.50. the trends continue as i remain optimistic and move high we are the nasdaq with 13-year highs on friday. >> but how are the s&ps reaching that sentiment? >> i thought it was going to make a push last week, but we make the attempts and it gets close and falls back. for me, it is not as important to push through, but how does the market react once that happens? how many short-sellers are there here at these levels? who wants to be short with the market and this trend? a lot of people got stuck on the last move and right now you can see the market continues to be

higher with no selling. >> reporter: honey, real quickly. what about theed to result this week. >> coca-cola is at 36 with the dow still down 3%. so i think from a risk reward standpoint, coca-cola is a good long-term investment. >> thank you, alan. senior market analyst at trading advantage. we showed you a great shot of his mouth there to get you started on this monday morning. just a reminder of the breaking news in the past few minutes, the egyptian prime minister says the government has decided to resign. he announced it in her 15-minute cabinet meeting in a live address, so we have to wait and see because the anticipated future of the country was part of the cabinet resigning today to louisa still talking. i have to say good-bye. that's it, i'm julia chatney.

" squawk box" is coming right up.

good morning. welcome to "squawk box." power shift in the ukraine as the president flees and now the country tries to return to normal. it needs european help. and finance ministers agree to push for faster growth with 2.5 million more. and netflix strikes a deal with comcast. it is monday, february 24th, 2014. "squawk box" begins right now. good morning, everybody.

welcome to "squawk box" on cnbc. i'm becky quick along with andrew ross sorkin. mark okada, peter wineberg, ron baron of baron capital, mark kiesel and mark black. strategy picks coming up over the next three hours, but in the meantime we'll get to today's top stories. ukraine tries to restore order after a week of bloody protests leaving hundreds dead and several others injured. the police are now looking for viktor yanukovych for the murder of several innocent citizens. and the acting interior says yanukovych is wanted for mass murderer or