hi, everyone, welcome to "on the money," i'm becky quick. fed says no to a giant bank, but the economy may be doing better than ever thought. what's it mean for your money? the man who built obamacare says it will work just fine, but if you get your health care through your employer, that's going to change. 3d printing, science fiction becomes science fact. one company sees big profits ahead. plus, tax deductions you may not know about that could save you money. "on the money" starts right now. this is america's number one financial news program, "on the

money." now, becky quick. >> here's a look at what's making news as we head into a new week "on the money." federal reserve wrote fail across citigroup's plans to raise dividends and decrease stock buy backs to determine how big banks would function under adverse conditions. citi has 90 days to redo its plan. citi's stock plunged on the news, and it wasn't alone, stocks closed lower on thursday, down for the fourth time in five sessions. nasdaq touched a new low, but the markets rebounded on friday. america's economy is growing at a slightly faster pace than first thought. the gross domestic product expanded at 6.2%, slightly above the 2.4% previously recorded, partly because stronger consumer spending. and growth and home prices slowed in january. the home index decreased 13% for the month, compared to last year. that's in line with

expectations. finally, mark zuckerberg reached into facebook's wallet again and bought a company for $2 billion. oculus makes virtual reality glasses for gaming. the stock market doesn't seem to know which way to turn, and the economy may be doing a little better than everyone thought, so what does it all mean for your money? joining us now, jason trennert, strategas research partners and ylan mui. thank you both for being here. why don't we start off talking about the markets this week. s&p 500 by thursday giving back all of the gains for the year, and jason, what does that mean, where are we headed for 2014? >> listen, market was up 32% last year and about 60% of that was multiple expansion, 40% was earnings. i think it's natural you have some digestive period where you essentially factor in the big

gains that you had last year. having said that, i also think that earnings that we just saw in the gdp reports this past week are at all-time highs, so it's not surprising to me that, wouldn't be surprising to me, if the market hits all-time highs later this year. >> are you still looking for gains at 8% to 10%? >> yeah, i think that's about right. earnings will be up 7% or 8%, a little expansion on that, especially if interest rates stay very low, which i think is likely, and that would be a pretty good guess. >> all right, let's talk more about that, ylan, where do you think we stand right now? i know a lot of things got messed up by weird weather patterns, but what do you expect gdp to be this year? >> i think the weather story is overblown. we saw a pick up of consumer spending in february when the weather was bad, so why would spending be actually up in february? i think it's really going to be the summer before we have a real

clear picture on the trajectory of the economy, especially for the fed's purposes and what they do with interest rates and asset purchases going forward. they want to make sure they understand what the narrative is, they are not just reacting to month-to-month movements, so they are going to be waiting until probably the may, june, or july time frame before we really know whether or not the fed's going to be hitting their targets for the year. >> let's talk about that. we do need clean numbers and get back to a little bit of a reality on some of these things, but i spoke to larry lindsey this week, and he had a very interesting perspective that the fed could be wrong in terms of its economic growth forecast. the other thing he thinks is if you do get 3%, they are going to have to raise rates faster than the market is anticipating. do either of those scenarios worry you? >> well, i think, first of all, the risk they are overly optimistic, that's been the problem all along, the fed is constantly overshot in terms of its forecast, so i think if

there's any likelihood one way or another, it's probably going to be on the downside, missing the forecast, exactly. in the sense that the economy actually might pick up a little bit faster than the fed thought, you have to remember they are not necessarily targeting gdp, they are looking at the labor market as a main indicator. >> 5.5% unemployment rate, could the fed hold off for long raising rates? >> i think it's going to be a while before we get to 5%. don't put us at 5.5% by the end of 2014. >> if we raise rates early 2015, we have time, we have to look at more economic numbers. this is worrying about this. jason, what does the market do if interest rates raise a year from now? >> i think, actually, i don't want to say you can't lose. the way you can lose is higher inflation, but the interest rates thus far has been completely in real terms. i think if the interest rates are backing up, which is to say they are forecasting higher real

gdp growth, i think that's good for the stock market. remember, real rates, the entire movement so far has been in real terms. last year, real rates about 1.6%, they are at 2.7% now and the market hasn't had that much of a hard time, so the question is about inflation. the market is expecting rates to normalize, but inflation is becoming a problem, that's a big problem for the market. >> let's talk very quickly about the fed smacking down citi's plans this week, saying, no, you can't buy back that much stock and issue dividends in the way you'd like. is the fed right, being overly aggressive, what do you think? >> listen, i think it's a reaction to mistakes the fed made ten years ago. it was not cautious enough at that point, and it's probably overcautious now. financials are becoming like utilities, and they are cheap utilities. the utility sector is trading 17 times earnings. >> ylan, what do you think about the fed's move? >> i think that they've had some

criticism in the past over whether or not they could actually prevent another crisis from happening. they didn't see the first one, and if they had seen the first one, what could they do about it, would they have had the tools to prevent it from happening? and i think we're seeing now the fed trying to show actually we do have the muscle in order to make sure this doesn't happen again, and these are the tools we're going to use to sort of fight the concerns that could arise in the future with the fact we've had low rates for a long time. >> ylan, jason, thank you both. >> thank you. up next, we are on the money, the deadline to sign up for health insurance under the affordable care act is just days away. what one of the architects of obamacare thinks is going right and what's going wrong, too. and later, if you can dream it, you can make it. inside three-dimensional printing and the revolution that it could bring to your house, your health, maybe even your kids' school. right now, take a look how the stock market ended the week.

four years after the passage of the landmark affordable care act, how will the course of health care reform impact your care and your coverage? dr. zeke emanuel is the former white house adviser on health care, also the author of a new book with an illuminating title, "reinventing the american health care." dr. emanuel, thank you so much for being here. i think that's a pretty unambiguous title about how you feel about things. where do you think we stand right now? >> well, i think four years after passage of the aca, we're actually in a very good spot. the exchange is about to end its

first open enrollment, the projections are by the end of monday we'll have about 6.5 million people enrolled, which is just off what was projected originally, and that's pretty good, considering for two months the federal exchange didn't work in there. some state exchanges still aren't working. we've got actually great improvements in quality that have hardly been prump etted at all. declines in hospital infection, decline in other errors like early c-sections that aren't for medical reasons, so the, you know, quality has been improving and then cost has been flat for the last three years. as a matter of fact, people on medicare and medicaid have not seen real increases in their premiums, so i think we're at a very good spot. as i keep saying, that's no reason to go on to autopilot, we're done and let's go home. we have a lot of hard work left to be done, but i think at the end of four years, you have to give the bill a positive grade. >> zeke, let me pin you down on

some of those numbers. i know it's still early to see these things, but the number of 6 to 6.5 million, about 15% to 20% of those people haven't paid their premiums. we don't know what the mix is in terms of old to young. we don't know a lot about who was uninsured before, who got knocked out of the system. i think there's still a lot of questions about things and i realize we may not know the answers for some years to come. >> but i think some of those questions are more important than others. the first and most important thing is, the fact you have 6.5 million people suggest that there's pent-up demand, people want insurance, just haven't had a good and affordable way of getting it, especially if they've had pre-existing condition. second, if we had 25% to 30% of the young people, which is a proxy for healthy people, which is what you really want in the pool, that's going to be enough to keep rates stable. most of the insurers were hedging their bets and had some

premium built in to their rates. so i think actually what that says to me is that the whole idea of an exchange, the whole operation of an exchange, is workable, but i think the fundamentals of the exchange really are sufficiently solid that we can say this is going to work. >> let me get to something, a prediction that you've made in your book. you say by the year 2025 that you expect a majority of employers will no longer, the big employers, will no longer be providing health care coverage for their employees, and i talked to you about three or four years ago and that was my concern from the beginning with this. look, we have a massive problem of uninsured individuals, that needs to be addressed. but if you're somebody who liked your health care insurance, it may not be there in the same form it was before. that concerns me. >> first of all, the best argument against me on that is massachusetts, where they have had romney care now since 2006, and rather than have employers stop providing insurance, they've actually had more

employers offering insurance. i recognize that, and i acknowledge that, and i am making a prediction, which i think is, if the exchange has become optimal, people like shopping in them, young people actually buy so much online that they are going to be the wave that actually wants it. one of the reasons employers offered that, i think massachusetts is responsible, as well. i have to get insurance, give me a way of getting insurance through the employer. another alternative is that companies offer private exchanges. they don't go on to the public exchange, and the company is still offering the range of choices. so there are lots of variables here, and i think in general what people should like about that, my prediction, is they are going to have a lot more choice. one of the problems is, most people who work for an employer that gives them insurance, they have no choice. this is the program, you take it or you leave it. >> yeah, but i like my

insurance, and so do a lot of the union members. is it -- >> the afl, they have bargaining and they are probably going to be the last, because they are -- >> right, which makes it all the more unfair, because they've got a big contingency, they've been able to negotiate ways exemptions around rules. >> they negotiate with employers and depending how valuable they think this is, they put it at the top of their list or further down. >> would you agree some people will be unhappy with this, that had cadillac plans already and they are going to wind up paying more to get the same benefits that they have right now? >> remember, tax benefits from the cadillac plans means that the rest of us are paying for it, and i think as a matter of fairness that's a very big question -- >> sure, the question of equality, but some people who are happy with this and some

people who aren't. >> look, let's face it, there's no public policy in the world that is going to make everyone better off. it tends to be, as jonathan cone of the new republic pointed out, the people complaining largest tend to be well off and healthy currently, and what we really want is a health care system that takes care of people who are sick and provides protection for all of us in case we get sick. >> all right, zeke, i want to thank you very much for joining me today, and i hope to continue this conversation with you. i think it's one we'll be tracking for several years. >> no problem. >> dr. emanuel, thank you. up next, we're "on the money," turning science fiction into reality. the future is now from 3d printing. remaking lost parts, to operating on your heart. mine was earned in korea in 1953.

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is the next industrial revolution one that could take place in your hands? 3d printing, turning ideas into objects. it could be driving that trend. bre pettis is founder and ceo of makerbot industries, and bre, thanks for being here. >> great to be here. >> i first started hearing about these things maybe eight to ten years ago and thought the idea was crazy, but here it is. how does this thing work? >> that's when i heard about it, too, and i really wanted one. they were so expensive back then, i had to make my own. >> how much were they? >> $100,000. now you can get one for $1,400. >> this is creating a piece of jewelry right now. >> what we have right here is on

the back is a material. a big long spool of spaghetti. >> plastic kind of. >> material made from corn. it's great, renewable bioplastic and it's feeding through this tube into what's basically a super advanced hot glue gun, and it draws with the hot glue gun and draws layer upon layer, so when it's all done, we're going to have a bracelet in a minute. >> bracelet is a fun, cool application, but what are serious applications this can be used for? >> so we just had a story in kentucky of a doctor who used a makerbot before doing surgery on a 14-month-old boy. the boy had a heart defect and before he cut into the boy, he printed out a model from a scan of that boy's heart, put it in three parts so that he could really see what was going on before he went in to do the surgery. stuff like that. >> as a result, it meant that the 14-month-old was on the operating table for less time, his chest was open for less

time. >> they say it probably saved his life. >> that's phenomenal. let's look at a few things you brought here. one is this frog, which i really like. this is a frog who has all the pieces in here. what do we do with this? >> this is -- we have a program called makerbot academy, where we're on a mission to put a makerbot in every school in america. part is to have great curriculum to inspire students. we figure we're going to save lots of frogs by making a replacement frog you can print out and dissect, more like a game of operation. >> i have to admit, this one doesn't smell. i remember formeld hide from seventh grade, which grozed me out. the other is the house you brought. >> this is great. architects see makerbots and the price point and buy them up. this is an old sears order from a catalog house. makerbot allows architects to be able to design things, show their customers what the house is going to look like. this is better than showing

somebody a drawing. >> i would like to have seen this instead of drawings on our house. how many of these exist right now, how many are out there? >> so, we're coming up on -- more than 40,000, less than 50,000 makerbots in the wild and things are really ticking up and up. we just launched three new 3d printers, small one, medium one, large one. we have options for the consumer, pro consumer, and industrial strength manufacturer. >> this jewelry, this bracelet, has been going for about 12 to 14 minutes. it's almost done. i can take it right out and wear it after it, right? >> yeah, you make something, send it over to the makerbot and it makes it for you. >> bre, thank you for coming in and sharing it. >> thanks for having me. >> bre pettis. by the way, this is the bracelet. up next, a look at news next week that will impact on the money. and five deductions that anyone can claim. it might surprise you what you've been missing out on.

for more on our show and guests, go to our website, otm.cnbc.com and follow us on twitter, @onthemoney. on fund, smartphone rivals apple and samsung return to the courtroom to argue over a patent dispute. tuesday, watch out, it is april fool's day. watch out for pranks on the way. also on tuesday, motor vehicle sales for the month of march. and mary barrow will be testifying about the automaker's

recall. thursday, google will offer nonvoting class c shares. and friday, the jobs report for the month of march. let's be talking about april 15th. that date is coming up very quickly, so are you sure you are taking every deduction possible? personal finance reporter sharon epperson joins us with five ways to save on your tax bill, no matter your income. sharon, great to see you. >> great to be here. it's tax time. >> it's tax time. what do we often forget to think of? >> a lot of the deductions we hear about, do we make too much money, because we are seeing some of those itemized deductions phased out, but some you can take advantage of, and one of them is deducting your moving expenses if you changed jobs, moved to a job, usually it has to be out of state, you can deduct those moving expenses, so that's something people want to consider. the other thing they don't consider, yes, we had a good year in the stock market in

2013, but you may have a capital lost deduction from sale in an investment property or big loss in a prior year that you need to carry over. that's something that you can take advantage of, up to $3,000. >> year in the market's up 30%, may not occur you could have things you could write off. >> exactly, you want to consider that if you've had big losses in previous years or if you sold an investment property again and had a net loss there. >> one thing i never knew before, i read a column for "fortune." so i can do a set ira. what is it? i still don't entirely understand. >> simplified employee pension plan and the reason this is such a great thing for self employed people, you can put up to 20% into a sep-ira up to $51,000, so you can put in a lot of your self employment income into this sep-ira.

good for small business owners, sole proprietors, as well as freelance work, contract work. we've been talking about health care, one thing people forget about is the hsa, health care savings. >> health savings account is another tax deductible way to save money on your taxes, something you could do for the sep-ira, as well as for the hsa. you can set it up and fund it by april 15th to get that deduction. do it for this year and for next year and it's a significant amount of money you could put in for yourself or family. >> these are some serious bucks. that's why these are not minor things, worth the hassle. >> exactly. >> sharon, thank you so much. again, sharon epperson. that is our show for today, i'm becky quick. thank you for joining me. each week you can come right here, we're "on the money." i'll see you next weekend. more than a new interior lighting system. ♪ it is more than a hot stone massage. and more than your favorite scent infused into the cabin.

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>> narrator: in this episode of "american greed"... he's called the "mormon madoff." shawn merriman is a bishop in the church... the father of four children... and the head of a thriving investment business pulling in millions. >> everybody wants to be a part of an exclusive club. so you had to get in quick. that's why he was able to take advantage of so many people. >> narrator: but for 15 years, merriman lives a lie, ripping off his neighbors, members of his church... even his own mother. >> he just said, "mom, i have to tell you something very bad." i said, "you took all of our money that we're counting on for retirement?" he said, "yes." >> narrator: shawn merriman is a scam art