welcome to "worldwide exchange." i'm julia chaterly. >> and i'm sri jegarajah. these are your headlines from around the world. >> a global market spooks investors. tensions in iraq drag wall street lower. u.s. secretary of state says iraq's future will be secured in the next several days as iraq begins forming a new government. activity leads to a jump in

oil supplies. gdf falls to the bottom of the market. trader say the sale rose 1.5 billion euros. >> announcer: you're watching "worldwide exchange," bringing you business news from around the globe. a warm welcome, again, to today's "worldwide exchange." some interesting news in the market yesterday. sell-off in the u.s. market. >> wall street. >> can we call .7% a sell-off? >> what i found surprising was that the markets didn't react to the robust economic data as it was in the back with mirrors, lagging indicator, oil remains the big headline risk. >> maybe they did react to the data, sri. maybe we're back to good news is

bad news as far as the fed is concerned. supporting consumer housing data, consumer confidence. maybe this is the start of a good news is bad news. >> like parting a baby from its candidate. you could say that, but the price of oil, i think, is going to be a factor that we continue to watch. the situation in iraq, headline risks from the oil market, is it going to be, though, the catalyst that's going to spark a more meaningful correction in asset prices and especially in equities? >> i think the other thing to watch is what we're seeing in inflation, selling gold, we've seen a rally in gold for five straight days. bring it back again to the data and try very hard here. i think that's something else to watch as far as the credibility of the fed on policy versus data right now. and the other thing i'd throw in there, we're heading to month end, we're heading to quarter end, we're heading to half year-end. rebalancing. >> a lot of windows. >> you have to watch the bond

market, as well. there's money heading into safe haven treasuries. but i think you're right. the data is looking brighter, looking a bit more constructed. arguably, we haven't reached escape velocity yet and that's the reason for the fed to reach accommodativety. >> there's the vix from yesterday. can we show a longer term chart than that one? no, we can't. i'm not allowed to do that. oh, there you go. thank you very much. still at just above that 12 level, so down 20% in the last three months. sri, what's going on as far as the markets are concerned? >> weaker in a word, julia. this is where we're standing with the stoxx 600. 343 and change for the stoxx europe 600. down 0.6%. if you take a look at the heat

map, it tells the story. there are some gainers, but they're in a distinct minority as you can see at the top there. the european markets have been struggling of late and dealing this week with this weaker than expected pmi data. so all the more reason for the ecb, arguably, to step up to the plate. the euro has been on the defensive, as well, as has the pound since charney didn't really give the sterling bulls what they wanted at the testimony yesterday. all right. now, a few corporate stories we are keeping an eye on this morning. portugal's second lifted bank after a lender announced a capital high. the stock initially dropped by as much as 8% after announcing a capital increase of up to 2.25 billion shares have bounced

back.. another volatile trading session for another european lender, this time, bmps, has been down by more than 20% in today's trade, less than two weeks after the bank's problematic issue. and we are talking about this one in the headlines. gdf suez down almost 3%. the french government sold a stake in the energy group. they made 1.5 billion in the sale in order to help fight the alstom acquisition. it now owns 33.6% of gdf sue easy. aker solution revealing total has canceled a $250 million contract. the stock down heavily by more than 6%. let's take a look at the credit markets, especially the u.s.

ten-year. yielding just under 2.6%. remember, the theme was very clear yesterday. we saw the markets -- the equity markets wobble and iraq fears once again resurface. the price of oil went up and that meant more money went into the relative safety of the u.s. government debt. ten-year bond yielding 1.3% and the ten-year italian bond yielding close to 2.8%. ten-year gilt yielding 2.7%. let's show you what's happening in the currency markets. cable is under some pressure right now to continue to see these levels below 1.70. the euro standing relatively firm against the greenback, 1.3611. sterling against the japanese yen, 172.83. and dollar/yen, just below 102. and very finally, let's take a

look at the shape of the asian markets. remember we saw the third arrow unleashed by prime minister abe yesterday. the markets were broadly fairley underwhelmed and the nikkei 225 down today, settling lower 109 points lower, to be exact. 15,261. the kospi under some pressure and the shanghai composite, it's an interesting dynamic because the new listings are bleeding liquidity away from the established ones on the mainboard bringing the market lower off by 0.4%. at the the resources s&p/asx 200 down by 31 points. so i think the negative overrate here, julia, is the fact that we continue to see oil prices grind higher because of this deepening conflict in iraq. so a big broader question is whether this is really going to be a catalyst for a meaningful correction if we continue to see oil prices at these elevated

levels or if they move even higher towards $120 a barrel. back to you now. >> we've just had angela merkel speaking this morning in the last few minutes ahead of that eu council leader's meeting tomorrow. she said there's going to be no drama if merkel juncker is approved at euro chief. flexibility should be used perhaps smoothing over some of the comments on the german finance ministry on this point. she says the situation is fragile, important that some countries continue to press ahead with structural reforms. not naming names, italy and france, perhaps. revised code's very future will be determined in the coming days according to the u.s.

secretary of state. john kerry made the comments as iraq's political party increased pressure on prime minister nuri al maliki to step down. the u.s. says it drew pledges from the country's lawmakers to start forming a new government by july. the iraqi government said yesterday it regained full control of the country's oil refinalry in beiji. the military says it has retain two of the three border crossings the sunni militants seized over the past week. in the meantime, the obama admin straegz has quietly opened the door for the first exports of unrefined u.s. oil. that would let u.s. companies chip away on the ban on selling crude overseas. "the wall street journal" says the government has told pioneer natural resources and enterprise product partners they can

legally export a type of ultra light oil that tapped u.s. shale operations. the sales could begin as soon as august. let's take a look, pioneer natural resources in the after hours trade, up by more than 2%. and if we can flip the board we'll show you the quote for the other company which we don't have right now. well endeavor to bring it to you later on in the program. in the meantime, the uk is looking to encourage companies to frack. the government will increase a number of incentives including the chance to look for shape under large tracts of land.

russia's president vladimir putin has asked the country's upper house to revoke the right it granted him in ukraine. putin spoke tuesday just minutes after kiev confirmed pro russian levels shot down a military helicopter in the east of the country, killing all nine soldiers on board. initially putin's comments were called a, quote, first practical step in the fragile cease-fire. this according to poroshenko's press service. the president met the foreign minister in kiev on tuesday. they prepared to draw trade elements of a controversial agreement with the european union on friday. joining us is matthew clemens, from ihs country risk. matthew, this likely reduces the risk of a direct military action. does it rule out the possibility of any further sanctions being discussed and agreed over the

next two days by the eu leaders? well, i think it certainly does illustrate what we've been seeing recently, that russia actually doesn't want to become militarily involved in eastern ukraine. i think part of the reasoning behind that is to reduce threat of the sanctions and deeper sector sanctions. it doesn't rule out the possibility entirely. certainly the u.s. and europe have been talking about the fighter in ukraine. that's something the west is bearing in mind when it considers the possibility of further sanctions. but at the moment, i think it does reduce the risk of deeper sanctions being invoet voekd, yes. >> stage three sanctions are possible if diplomatic efforts fail and the diplomatic efforts have been too slow. progress has been too slow. but the militants can still access weapons and enforcements from russia right now. >> absolutely.

the exact nature of the flow of weapons is still relatively unclear. but certainly there are a number of fighters and arms and borders coming over the border. a lot of the weapons the ooup ukraine separatists have been stolen from security forces and military forces in ukraine itself. it's not entirely accurate to suggest these russians are reliant on supplies coming from russia, but certainly the porous border will help this insurgency for some time to come. >> are sangs having the desired effect on moscow? what happens and what's the next step after stage three sanctions are exhausted? >> well, i think the first part of the question is that i think the threat of sanctions and thes ka latery level has had an effect on russian sinking. and they influence russia's decision to step away from military intervention.

although i think the key determinant there is if goals can be achieved without that. and the second part of the question is that there really doesn't seem to be a step further. the west has always said that this is a graduating period of sanctions, it needs to hold some back in reserves for it to have a deterrent effect. if it did go forward, the first stage would be relatively limited, target industries such as the defense industry. it would need to be further escalated to the point where you see the type of sanctions you saw against iran, which is trying to limit russia's access to the global me. but i don't think that's a long way away unless there's a major escalation in the crisis. . >> speaking of that, will moscow continue using energy to ex either leverage and influence? >> to a degree, i think it will. we've seen the cut off displays to ukraine. but at the same time, i think it feels it had other forms of

leverage. and i think the -- what it wants to do is maintain a certain level of instability in the east so that it is able to have a leaver over the government in order to ensure that its aims are met and namely those ames are the guarantee of -- for ewe crepe and the federalzation of the country to ensure these russian populated regions are able to maintain their own close relations to russia. >> matthew, right now, we have a supposed cease-fire and the rebels are still shooting down aircraft. it's due to end on friday. what's going to happen then? >> i would imagine fighting would continue. he think the wagz we've seen with the helicopter and various supports in other parts of the east over the last few days, one of the key problems is there isn't a centralized leadership to be separatist. it's very difficult for the separatist to say we're going to have a cease-fire without every single part of it add hiring to that.

also, russian influence over this insurgency can be overblown. certainly supplies have come over from russia. to think russia can say you guys need to stop fighting knob but stop and it will happen is misleading and incorrect. it's not just russia and ukraine in this part. there are a number of quite unpredictable elements which are much harder to control and harder to predict. >> matthew, rush or yes or no, could be doing more at this stage? >> it attempts to stop the fight of arms over the border. it's clear a number of welcome backs have emerged and a number of staging areas where volunteers are called to come and fight from russia. there's not much control from the russia side, as well. i'm not suggesting that russia is directly supplying the

rebels, but it certainly doesn't seem to be taking an active attempt to stop it from happening. >> merkel just said across the wires, too, that she's not sure whether or not mr. poroshenko will extend that deadline on the cease-fire after friday. we've just had news across the wires, abu dhabi saying it's agreed on principal terms and continues to buy a 49% stake in italy's air italia. now, also on today's show, making a television debut. google kicks off its annual conference. could a tv set be revealed? we'll take a look. and we preview the listing of gopro, picked to be the biggest electronics consumer

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welcome back. nigeria boasts expanding gdp. earlier this year, the country's central bank governor was ousted after alleging $20 billion in oil revenue had gone missing. nigeria's state oil firms claimed the claims were unsubstantiated. they were asked about the real fight against corruption. >> there's corruption, like in many other countries. but there's been a real problem. so we shouldn't back away from that. but i also think that corruption has been trivialized. and i gave a talk on that last december. now people -- because of the media, maybe like media -- they

like to -- i actually think they trivialize corruption and taking the attention away from where the real problems are. everything now, if someone sneezes, you accuse them of corruption. it's a catch word. they love it. you love it. >> no, i don't love it. i -- >> i'm just saying there are two issues. we have to be careful. because corruption, corruption die veterans attention from where the real problem is in corruption. so let's not transitionalize that, which is what some people are doing. if you have somebody you don't agree with on some issue, you go and accuse them and it becomes a landlords. so we need to separation the fact from the fiction. now, if there's a problem, i say yes. let's focus on what the government is doing to fight

corruption. at the end of the day, i always say would is going to fight the corruption? it has to be nigerians themselves. so some people -- i think this is one of the reasons that the government has tried very hard with support to try to tackle -- identify what our main sources of krupgsz, where we're losing money and tackle them. the accusations on the former central bank governor throughout the numbers, 49.8 billion was missing, then it became 12, then it became 20. and, you know, those kinds of numbers, you can't have them thrown around in a cub and just leave it. so what have we done with the approval of the president? we've hired independent foreign auditor to go in and tell us what is the truth. >> and i know you're looking at past discrepancies and present, as well.

you reclaimed some money very recently, $167 million euros in the last week or so which is a big victory for the fight against corruption. but you and mr. sanusi worked very closely. why do you think mr. sanusi felt the need to go so public and so overt in his criticisms of the nigerian national petroleum country and indeed perhaps the gopt government implicit in those comments? >> he is a former colleague. i don't think i should be commenting on his motives. i think it's better to ask him directly what were his motivations and what he said. but i always maintain that it's not that there's no issue in the oil sector. we know there is and we could use more transparency there. i think what is blocking is

having the -- in the past. because that is i think the only way we'll get the kind of transparency that will satisfy nigerians and satisfy all of us is when the company actually -- in a fashion and is commercialized and publishes its numbers and opens its books. so i think that we will get that -- that is what is contained in that petroleum and really unconsciousble that the -- has been blocked both by external actors, by the oil companies as well as internal vested interest. if we can pass a bill, then we would get what everyone wants and more open to the oil sector. >> now, in tech news, google's annual io developer conference kicks off today in fran with a key note speech at 12:00 p.m. eastern. several things are expected.

it will have a different brand name than going.but it's powered by google's android software designed to play movies, games and other content. users will be able to control the box with their android smartphone or tablet. today, down just over 1%. yahoo! holds its annual shareholders meeting today at 8:00, 11:00 a.m. eastern. activist investors ctw plans to ask about steps yahoo! has taken so it won't overpay its short lift talent. help rick decastro received a huge payout for just 15 months on the job. they plan to challenge the heavy use of stock options and want to tie future payments to performance. yahoo! down just over 1%. gopro is expected to price its ipo after the u.s. closing

bell. the video cameramaker is looking to raise $427 million selling shares for $21 to $24 each, which would value it at as much as $3.6 billion. gopro would be the biggest electronics consumer in the u.s. since dura sell in 1991. the largest electronics offering was skullcandy in august 2011. could this be crowned the best selfie of all time? a teenager snapped a selfie with her majesty. now, who would we your top selfie? if you want to join in the conversation, get in touch with us by e-mail. worldwide@cnbc.com, @cnbcwex or

directly to us on our twitter handles. >> maybe you've already taken a selfie with a celeb. send it in to us. we would like to see it. still to come on the show, a great day for red top. rebekah brooks is cleared of charges in the trial. stay tuned for reports rupert murdoch.

welcome back to "worldwide exchange." abu dhabi has agreed to buy a stake in air italia. shares across europe and asia trade in the red as tensions in iraq rachet higher. jauven kerry says iraq's future will be decided in the coming days. as he secures a july 1st deadline from the country's politicians to begin forming a new government. a decade old ban on light crude. the shale activity leads to a jump in oil supplies.

>> let's bring you up to speed with the european markets. broadly, most of the major european markets are on the defensive, as you can see there. it was the pmis in this region that made it disappointing. the price of oil and the risks still emanating out of iraq are not helping at all. we have political headlines coming out as we get closer to the european summit today and tomorrow. >> tomorrow and friday, actually, because i'm heading off there after the show. despite the bit we're seeing in core, the periphery not benefiting from the broader market sentiment right now. we're seeing yields slightly higher.

what about foreign exchange, sri? >> 1.3606 is euro/dollar. the boe governor was very dovish on his testimony yesterday. cable stronger against the swiss franc. and the aussie inching closer towards 94. governor glenn stevens at the rba isn't going to be happy about that one. >> some plans on raising dividend by year's end for aberdeen. the ceo now joins karen cho. >> plenty of action here, julia. we've been hiding out from the storm. it seems to be calmer now, almost a metaphor from the smooth selling of yesterday and then a storm coming out of nowhere. a lot of people questioning

whether that will be the case for markets. joining me now is martin silver and pica nungren. welcome to you both. good morning. >> good morning. >> let's talk about emerging markets. there's been a lot of action this year. you saw a sell-off at the start which impacted your profitabilities and now we've had a recovery as some of these markets are marched higher. you're still fairley positive on emerging markets. tell us why. >> we were right throughout because it was really a macro-led sort of event, seeing the outflows. but the companies in which we invested have continued to do well throughout the down turn. >> what are your thoughts on emerging markets? some people say developed markets are safer these gadays. >> well, i think there's some companies in emerging markets that are doing very well. the key trend that interests me

most is the emerging markets out of the west but particularly by local companies. so fox con, has announced that building their second biggest production facility in pennsylvania. but i think it's great. they're going to go int international, learn about a brand and that's a very investable outstandiinvest ble outcome. >> the key is development here either in emerging markets or developing markets. we're seeing a switch back from developed market companies with very big emerging market exposure to going directly in now because it's a cheaper way to play emerging markets. >> this is a stumbling block, though.

how big of a barrier is it? >> i've always taken a macro approach to emerging markets. you don't want to have all emer emerging markets. there are countries like ukraine, russia, venezuela that you don't want to be invested in, but an index approach will give you that. so active is better. of course, i would say that. but there's still i think a lot to go for in emerging markets over the last 20, 30, 40, years. it's going to be the place to be. >> what are some of the conversations that have been had here? one is about deflation. you've got a market now looking at emerging markets. you don't know that's necessarily the case, you think there might be some information forthcoming. >> i think that there is more inflation forthcoming and it is not positive for emerging markets. and they can't really do very much about it. i mean, if you look around, we

have record high prices for beef, for pork, for most of the core proteins they rely on. it won't bring the prices down. they have a real structural issue. they have to become much more competitive in order to keep up with the inflation pressure. i think in the industrialized world, no central bank is going to do anything about this. they're going to keep the liquidity going. therefore, it will accept rate over time. yeah, this is an issue we're going to have to manage. >> it was really a macro-led event. the companies are getting better, they're less leveraged, a lot of them are cashed up the. they're well managed now. it's all about finding the right companies in emerging markets to

invest in. >> just quickly to both of you very, very quickly, there's been a lot of conversation about this long-term deal in the markets and how investors here should be long-term investors. it sounds like a bunch of spin offering to me. convince me why that's not the case. >> i think we've always invested for the long-term. we've held some companies in emerging markets for 25 or 30 years or that we bought 25, 30 years ago. so emerging markets, it's very important. find good companies with good management and stick with them for the long-term and don't turn over your portfolio. >> what do us long-term, phippa? >> i think the key is the old rule, buy low and sell high. the riskier more tricky places are the ones that often give you that opportunity to get in and hold it for a long time. i think you said earlier ukraine isn't the great place to invest. i would say the opposite view. maybe this uncertainty provides really interesting opportunities if you do your homework, figure

out what you want to own that in the long run will come good. so yeah, i take a long-term view, but it's an greated long-term view as opposed to random. >> thank you both for your positive. >> as you can see, some very mixed views on the market here. etihad airlines has agreed to buy 49% sake in alitalia. the board of alitalia vote odd

june 13th to allow etihad to invest in the company but didn't give details. it's prepared to invest more than a billion euros over the coming years. now, general motors plans to compensate victims of crashes linked to faulty ignition switches could be expanded. "the wall street journal" says the automaker may use the money to pay anyone who is injured or killed in an accident in which air bags didn't deploy. the compensation expert who is overseeing the fund is expected to outline details as soon as next week. general motors trading in the german market session off by just over 1.4%. let's bring you up to speed with some of the japanese corporate stories. toyota announced today that it plans to start rolling out fuel cell cars by next year.

makiko has the story. >> yes, the automaker unveiled a fuel-cell-type vehicle expected to by unveiled for around $70,000. it will also go on sale in the u.s. and europe by the summer next year. now, fuel cell vehicles run on electricity generated by hydrogen and oxygen and is said to be the ultimate eco friendly car since it emits nothing by water when running. it takes around three minutes to refill. however, its high price tag is likely to stand in the way of widespread use and the japanese government is currently considering a subsidy of around $20,000 to $30,000 perfe vehicl aiming to increase mass production and drive down the price tag.

so for now, toyota seems to be one step ahead of their rivals. makiko, if it stops more polar bears falling off of icebergs, that's good news for me. let's give you a look at what's on the agenda tomorrow. hong kong will release trade figures for may as will vietnam. and stand chartered will release its first quarter trading update, as well. the uk prime minister has been forced to issue an apology after his former chief was found guilty of phone hacking. >> i take full responsibility for employing andy coulson. i did so on the basis of undertakings i did by him on phone hacking and those turned out not to be the case. i always said if they turned out to be wrong i would make a full and frank apology and i do that

today. i'm extremely sorry that i employed him. it was the wrong decision. i'm very clear about that. >> in the meantime, fellow defendants rebekah brooks, the former chief of news international, has been cleared of all charges in one of the longest and most expensive trials in british history. the jury in the trial returned the cause later to consider more charges against andy coulson. this as scotland yard said they wanted to interview rupert murdoch. news corp. has declined to comment. >> catherine, how damaging is this for cameron and the conservatives? if we look at the relationships these people had with the political parties, it crosses a whole spectrum, doesn't it? >> absolutely. of course, the labor party had milliband, one of his close advisers would is a former

moistu murdoch journalist himself. we're expecting david cameron to face some tough questioning. what's interesting is his coalition partner and that comes amid the story. he doesn't have those close ties to news international himself. so he is someone who could conceivably bring the judgment on this. >> rebekah brooks has been cleared. that surprised me, catherine. i thought the blame would be apportioned pretty much equally between andy coulson and her. why do you think the courts cleared her? >> well, as you'll see this morning, it says they're running with -- talks and i can that's probably quite a good reflection of her triumph fan tone there. what is key is that most of the

phone hacking that occurred seems to be -- there's a lot of questions about just watching you, but ultimately they couldn't prove that she would have known it. what's interesting is someone who is below her, stewart kutner was found not guilty and the jury felt what could be only proven was andy coulson, the editor at the time would be held responsible. rebekah brooks moves over to the phone, does no phone hacking there and it's something she might have brought it from one newspaper to the other. this also is going to possibly help rupert murdoch's case if he's questioned by uk police, he can just say if people who were below in the in the chain of command didn't know about this, how can i be expected to know about this when i'm coming to london once every few months on business? i have this huge newspaper and

tv empire. >> i wonder if the culture is going to change at news corp., as well. >> i wonder what we've achieved here. we'll catch up with it later on the show. does it come grounded? the u.s. government has called a time-out on amazon to use drone toes deliver your packages. find out why after the break.

german chancellor angela merkel says she will support fresh sanctions against russia if there's no progress on the situation in ukraine. this despite russian president vladimir putin asking the country's upper house to revoke the rights it had granted him to order a military intervention in the region. putin spoke tuesday minutes after kiev confirmed pro russian rebels shot down a military helicopter in the east of the country, killing all nine soldiers on board. the ukrainian president poroshenko initially called putin's comments the first practical step in the cease-fire. joining us on set, andrew,

russia's actions yesterday suggested the likelihood of direct involvement now is off the table. what's the situation as far as sanction res concerned and progress as far as the cease-fire is concerned? >> well, i think this was an important symbolic act, but symbolic is important because, actually, he claims he is not -- militarily at all. despite having crimea in his hands and despite the fact that equipment and volunteers are being sent to east ukraine. so it's theoretical, but quite important. the underlying reason i think is putin is now in a difficult position. his calculation that east ukraine would rise up on the russian side has been proved false. the cost to him in sanctions is quite controllable. and the way that he's managed to scare off a good number of other surrounding countries is also a loss to him. >> we're still seeing a flow of

weapons from russia into the east of ukraine. you just said they're not rising up enough on the russian side. >> yes. >> so where now? >> i think the russians would like, if they can, to stabilize the situation. but to get the people that support them recognized by kiev. what the russians have produced is anarchy. >> you believe pressure isn't going to give the east further powers? >> yes, but i don't think you do that through negotiation with the so-called prime minister of donetsk or something like that. >> well, there is no one. there is no one the head right now, is there? >> absolutely. it is anarchy. >> the focus is on friday with the eu summit, poroshenko's willingness to sign a free trade

agreement bringing ukraine and kiev closer to the orbit. that's bound to bring an action from russia. >> there is nothing about the association with the eu which prevents free trade between ukraine and russia. this is another attempt at political punishment of ukraine for doing something russia does not want. >> let's follow up on that. the suggestion that i'm hearing is that it compliments a further cis style association agreement and that they weren't actually implant barriers for exactly that reason, that it will cause tensions with the west. i think the president has been very divided ambitions. on the run happened, there is a remaining interest to having the revenge in ukraine. on the other hand, i think there's some recognition that they have create a large group of people in kiev and the rest

of people who come to rescue them specifically. he could reasonably declare peace and declare victory and placate his public opinion which is important, too. >> but for now we have to wait and see? >> we do. >> as expected there, but now we have that formalized -- >> the russian parliament doesn't often refuse a request from putin. >> very good point.

now, trouble for a traditional consultancy giant. nba encourages an online marketplace which matches businesses to projects. it's not just smaller companies using the firm. it's major corporates like general motors and pizza hut have tapped into the website's network. daniel, good to see you. how is mba and code different from the established consultancies. >> mba is and company is an open access marketplace for businesses of all size in a small or nationally formed consultants. we are a conduit for the business to find the exact talent, predominantly in individuals and expertise wherever they are in the world to open ad hoc bite sized chunks of work. >> it's online dating for

businesses and projects. >> one could say. there's an immediate need to find the skills and talent that can deliver immediate transaction on the project that you need. >> how do you ensure that the talon is quality and caliber of the expertise? >> every consultant has a minimum of five years of experience and a high degree. >> you started this while you were doing your mba. talk to us about what difference that made to you to start ago business while studying at the same time. >> it was a if a namal advantage. i was at a wonderful academic institution in barcelona, one of

the world's leading business schools. and you have the combined knowledge of all of your peers as well as the ability to gain rapid feedback from your professor. subsequently, we raised backside 2 million pounds in funding, but our first leading backers were the business schools themselves. >> what's your advice to entrepreneurs that perhaps aren't studying right now, don't have that immediate access to financing, what's your best advice? >> personally, it has to be about -- you need to know you can push through the barriers. for smes or young start-ups, make sure you have the right data to know if the work is worth pursuing itself. the company predominantly works with a lot of start-ups. but certainly keep going. >> good advice. daniel, great to chat with you. now, before we go, take a look at this. the u.s. government has grounded amazon's plans to use drones to deliver your packages.

tucked away in a document released on monday, the faa named amazon's proposal of what's barred under federal use allowing the use of drones for hobby or recollection reactional uses. while the faa didn't specifically cite primary, it would be construed as a business purpose. interesting. still to come on the show, the s&p will finish the year at the same level that it is right now. actually, that was a bit lower when he said that. stay tuned. we needed 30 new hires for our call center.

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welcome to "worldwide exchange." i'm julia chatterley. >> and i'm sri jegarajah. >> shares across europe and asia trade in the red as tensions in iraq bring wall street lower. plus, revoking putin's rights to order inspection in ukraine. it should be seen as an act of good will. germany's angela merkel threatens further sanctions, however. >> the u.s. moves to lift a four decade old ban on exports of light crude as shale activity

leads to a jump in oil supply. and abu dhabi agreed to buy a 49% stake in alitalia. the two airlines will finalize the deal as soon as possible. >> announcer: you're watching "worldwide exchange," bringing you business news from around the globe. all right. thanks for stay with us staying with us. the russian parliament's upper chamber has voted to revoke the rights it had granted president putin to order a military intervention in ukraine. justifying the move which putin had elected lawmakers say it should be seen as an act of good will to help if a till tate peace efforts. the german chancellor says she will support fresh sanctions against russia is if is no progress on the situation in ukraine. on the to the middle east,

iraq's very future will be determined in the coming days. that's acourt to go secretary of state john kerry and he made the comments as political pressure on al maliki to step down. the iraqi military said yesterday it had regained fell control of the world's largest oil refinery in be iji. the military also says it hats retain two of the three border crossings that sunni militants seized over the past week. and julia, it's oil prices and the risks from iraq that continue to prove this insistent headwind on the markets. how are they taking it right now. >> it's interesting. you're seeing a bit of a bounce in the u.s. future. we have a few hours until we see

the start of the session. but after losses from midway in the session yesterday, then, of course, selling off continuing into the close. you can see the nasdaq a couple of points higher here. the s&p similar story, too. and the dow indicating higher by about 15 points. we'll continue to watch that. let me show you the markets yesterday as i mentioned. fresh highs in the session. coming off that despite better than expected confident data. but investors are racking their brains to understand why it sold off. as sri just said, putting it down to tensions in the middle east. that was the picture we were left with and that weaker sentiment feeding into asia, feeding into the european markets this morning. i'll give you a quick look at what we're seeing across the board today for these european markets in particular. gains for the ftse mib in italy, but around 0.4% ta 0.5% losses in the european markets.

bond prices higher. we have the ten-year trading around five to six basis points yesterday. the core bond markets gaining. we're seeing yields a bit tighter. we're not seeing the peripheral bond yields doing the same thing. they're seeing spreads widen. not benefiting as we have seen over the past couple of months from broader tensions right now. sri, how about to the markets. >> let's bring in brad mcmillan now. brad, should we be taking out protection against perhaps a deeper construction or am i just being a nervous mini here? >> taking out protection is a good idea at this point. >> volatility is very, very low at this point, so it's cheap to buy insurance. now is the time to do it.

>> could it be the price of oil if we see further instability in iraq that could really be the catalyst for a deeper correction? what's the pain threshold when you look at the oil barrel and the price of commodities that can level this market. >> well, typically, what we see is a 20 basis point, 0.2% decrease in gdp for every $10 increase in the barrel of oil. you're seeing an effect, but it's not major yet. the real conduit in the u.s. will be, i believe, consumer confidence. consumer confidence is starting to come back, as we saw yesterday, but at the same time, we're not seeing consumer spending respond the way we would like. if consumer confidence gets hit, if gas prices go up, that's going to be the real damaging effect here. >> consumer confidence is resilient. in the prior session, we got the

data close to a 6 1/2 year high. the dow, yet, suffers its biggest one-day decline in over a month. why? >> there's a real split here. the stock market has discounted every piece of good news. now that we're starting to see the good news come out, it's already in the price. when you hit records 20, 21 times in the course of the year, you have to say the market is thinking things are pretty good. we have to grow strongly to meet earnings expectations. and i think there's a growing relation that even if everything goes right, we're still not going to hit that. so you're starting to see people pull back a bit and say, things can go wrong here. >> but we also, because of the lofty levels that we're trading at, we see a day when the markets are down 0.6%, only 0.6% and we get all excited and we

talk about it being the biggest loss for the month for the dow. that's not that big a loss, particularly at the levels we're trading at right now. you said we finished this year at 1875 in the s&p. what's your thoughts right now? >> i still think that's a very reasonable place to be. if you look at 1875, that's is 2% or 3% below where we are right now. if you have to tactor in a fullback at some point during the year. anybody who says the market is going to finish higher than it is right now is essentially saying it doesn't matter what happens in europe, it doesn't matter what happens in europe, we're going to hit double digit earnings growth. i don't see that happening as strong as the u.s. economy is. we have to see a construction at some point. i think this year is a very reasonable bet. and that pulls us back down to that range, even with that recovery. >> you mentioned the earnings season. you made a point that stock

buybacks appear to have peaked. how negative a theme is that going to be in the q2 earnings season? >> stock buybacks have been one of the key supporters of earnings per share growth. top line revenue has not grown anything like earnings per share and there's been a couple of factors. stock buybacks, refinancing at lower interest rates is another one. the thing about buybacks is they have to keep rising with stock prices to be proportionately effective. so when they start to roll over, they are increasing, but not as much as stock prices have, then that tailwind starts to turn into a bit of a headwind and i think that's exactly what we're seeing. >> we keep talking very quickly about the low level of volatility right now. what about greater participation for retail bars in particular? how important is that going to to be? >> what we're seeing in commonwealth is we're seeing growing interest in the market from retail investors. i think if the market does end

up going higher, that's going to be what is driving it. we're starting to see some signs of that. i think that's what kept the markets so resilient this year is individual investor dripping back in. i think that's a trend i see growing, especially if consumer confidence continues to increase. >> thanks, brad. you stick around and we will, too. we'll come back to you later on in the show. for now, let's give you a look at what's on the agenda in the u.s. demand for big ticket items is forecast to be unchanged from april. also at 8:30, we get final estimates on q1 gdp. the economy is expected to have contracted by 2%, worse than the previous estimates of 1%, of course. however, that's being largely chalked up to severe weather winter. the results from general mills, monsanto, barnes & noble and

bed, bath & beyond. in mississippi, six-term republican senator thad cochran barely managed to hold off chad mcdaniel in a runoff vote by little more than 1%. mcdaniel is refusing to concede, fighting voting irregular layerties and claiming the primary was decided by liberal democrats. cochran is widely spec'd to win the election this fall in a largely conservative leaning state. back to business and in tech news, google's annual io developer's conference kicks off the day in san francisco with a key note speech at 12:00 p.m. eastern. several product announcements are expected and "the wall street journal" reports google will unveil a tv set. it will have a different brand name, but is powered by google's android tv software decide to play movies, games and other

content. the journal says people can control the tv with their android, computer or tablet. and gopro is expected to price its ipo today. it's looking to raise $427 million, selling shares for 21 to $24 each following as much as $3.6 billion. it would be the biggest consumer electronics ipo in the u.s. since dura cell back in 1991. the last offering was skullcandy in 20111. >> now, the u.s. has quietly removed a battle. what does it mean for the energy markets? stay tuned. geico's been helping people save money for over 75 years. they've really stood the test of time. much like these majestic rocky mountains. which must be named after the...

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welcome back to "worldwide exchange." these are your headlines. the u.s. secretary ooh state john kerry says iraq's future will be decided in the coming days. and etihad airlines says it's closing in on a 49% stake in al italia.

some top stories we're following today, the s.e.c. has unveiled plans of a one-year test of petroleum sales in five cent incancerments. the s.e.c. is drekting the major stock changes in wall street to develop a plan for the ipo within 60 days. meanwhile, the obama administration has quietly opened the door for the first exports of unfined u.s. oil. it would let energy companies chip away at the full decade ban on selling crude overseas. it was put in mays to protect against volatility and price spikes. it says it can legally export the type of ultra light oil that's become plentiful.

with minimal processing, the oil exports could begin as soon as early august. >> i am concerned about the volatility of oil prices. there's a lot of other things going on around the world to move those. we know what's happening in the middle east. it's one of the reasons why this oil exploration and gigantics findings are so promising. one of the most promising things for the united states and for other cups. it's going to reduce the amount of oil coming from a particular sector, at least in proportion, and i think it's good for the economy. if we let it happen. if we don't overregulate. >> brad, i want to go back to the story we were just talking about there about the u.s. opening up to allow a couple of companies here to export the ultra light oil. it's not going to happen on a greater scale is it, surely, before the midterms and even

then it's going to be tough for the government to push this further. >> it's an infrastructure question. so no, it won't happen before the midterms. we've got to get the pipeline set up, we've got to get the terminal set up. it's been decades since we've been able to do this. we're really not set up to export. that said, i don't think it will be as long as people think. because a tri amount of the infrastructure exists and needs to be turned around. it will be a material purpose. it will help the u.s. economy. >> the infrastructure question, it's a politics question surely. a bit of price reaction in the market yesterday, concern that it will mean higher prices. >> well, it will mean higher prices in the u.s., but prices are set globally. so to the extent that the u.s. becomes a pricemaker rather than a price taker, we help set the price. and i think as the u.s. becomes a swing producer and we're very close to that, this will help move us along the way. that's your dampened volatility

considerably. what does it mean when one of the majors suppliers for the world market is as stable as the u.s.? it means the people unstable have much less influence. that's a good thing. >> i agree. brad mcmillan from commonwealth financial networks. now, for something completely different, forget art and jewelry. rock and roll memorabilia is now the best thing to own. >> it's the song that changed music history and now it's changed auction history. bob dylan's hand written lyrics to like a rolling stone sold for over $2 million. that made it the most expensive manuscript ever sold. the four sheets of paper are filled with revisions and artistic drawings. et it become a touchstone for a generation and has been cited as an influence to everyone from

the beatles to bono. hard rain is going to fall also sold yesterday for $485,000. elvis presley's peacock suit sold for $245,000. and michael jackson's military-style coat sold for $10,000, showing the king of pop is still very popular. back to you. >> now, could this be crowned the best selfie of all times? teenage boy managed to grap a snap with none other than her majesty. now, who would be your best selfie picture? mcjal jagger. i've got in touch to say you

would not want to get close enough for a selfie with luis suarez. ouch. and josh has kindly said he would love a selfie with the two of us. oh, i'm feeling the love now. if you want to join the conversation here on "worldwide exchang exchange", get in touch with us, worldwide@cnbc.com, @cnbcwex or directly to us by twitter. >> and if you're wonder whag that luis suarez comment is about, we'll be showing you that in the next half hour of the show. bite, ouch. now, are we seeing an equities revival in the u.s.? stay tuned.

welcome back. world cup football. uruguay trumps with a victory. luis suarez lunged quartz giorgio chillini. and appears to bite the player on the shoulder. however, the referee missed the incident and captain diego scores a winning goal in the 81st minute. now, there is bound to be

repercussions for this. fifa has officially charged the uruguayan with biting. officials having in 1700 this evening to respond to the charge. you're looking at suarez's previous crimes and misdemeanors. the dutch fa back in 2010. all right. england's pitiful world cup continued with a drawless match against costa rica. uruguay and costa rica is a intiend population of just 9 million people. meanwhile, george estemada for greece, his last-minute goal means greece qualifies into the

next stage. colombia finishes with a maximum points of nine points to lead the group. bosnia will play iran. france will hold to maintain that perfect record while hon duace comes up against switzerland. >> first, suarez was holding his teeth. >> i think he may have chipped an insizer maybe. >> it was that strong of a bite? maybe. one would properly -- >> i wonder when he did it? on that note, i'm just going to finish because i can't beat that. let's take a quick look at the u.s. futures this morning. we're actually seeing a bit of a bounce in these futures, s&p indicating higher by 3 points,

the dow jones higher by 22 points and nasdaq higher by just over 5 points. putting it down right now to some of the geopolitical concerns. barclay's investor survey they're saying right now for investors, the geopolitical risks right now are bigger worries than the concerns about china and fed policy going forward. do you fight the fed on these markets? let's take a quick look. down by around half a percentage points across the board. in european korcht news, al ital italia, the italian government appreciates the strategic importance of the transaction. the board of alitalia voted to accept an offer by etihad but

didn't give details. etihad is prepared to invest more than a billion euros over the next year. iraq's future hangs in the balance putting pressure on the political parties and the companies suspect after a gain. we will speak to the former am abuse door to iran after this break. 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

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welcome to "worldwide exchange." i'm jerusalem ya chatterley. >> and i'm sri jegarajah. here are your headlines from around the world. >> a draft in the u.s. market spooks global investors. shares trade in the red as tensions in iraq pull wall street lower. rights to order military intervention in the ukraine. lawmakers say it should be seen as an act of good will. but germany's angela merkel threatens further sanctions. >> in the u.s., thad cochran holds off the tea party challenger in the state of mississippi. >> and it's not just tv, it's google tv. it's a new set top box powered by android at its conference later today. >> announcer: you're watching "worldwide exchange," bringing you business news from around the globe.

>> if you're just tuning in, thanks for joining us here on "worldwide exchange." a quick check on the futures here as we head towards the open of the u.s. equity markets and indicating higher, despite the sell-off that we saw yesterday, racking our brainstorm over what stomach eye lated that move. we bring you concerns about the geopolitical situation. the consumer confidence and the housing right now. judging policy versus the data right now, too. but plenty of things to keep investors focused right now. the russian parliament of the chamber has voted to revoke the rights granted president putin to order a military intervention in ukraine. justifying the move, which putin had requested, said it should be seen as a good will. >> german chancellor angela merkel says she will support fresh sanctions against russia if there is no progress in

yan.crane. iraq's very future will be determined in the momg days according to secretary of state john kerry. the comments were made after increased pressure on prime minister al maliki to step down. mean wile, the iraqi military said yesterday it regained full control of the country's largest oil refinery in beiji. the refinery in the north has been seen with fierce fighting over the last week. the military says it has retain two of the three border crossings that the militants seized over the past seven days. joining us now is adam, former ambassador to iran. thank you for joining us. you've been closely involved in the situation in iraq for over a decade. do you think that john kerry and now angela merkel are right, pushing for a unity government

at this stage? >> that's right. thought the only way out of the mess. i'm skeptical that, a, a national unity government is possible and, b, that it's sufficient. but it certainly is. without it, a solution is definitely impossible. >> let's say mr. maliki does step aside. is there really a viable candidate that can unite sunni/shiite and the kurdish elements within the country? >> yeah. i'm skeptical, frankly. i would say iraq is so broken and the body politic is so divided that finding one individual that can put humpty dumpty back together again is an exceedingly tall order. >> did that mean we're going to see a three-way split?

>> well, the kurds are being pretty careful about what they say and don't say. i think a three-way split is going to happen. with the kurds have said, it's interesting, basani, who is the leading kurdish figure, used the "s" word yesterday in an interview for the first time, self-determination. caused quite a stir as well it should. if kurdistan goes its own way, and in a lot of ways it already has, it has a pipeline to turkey. kurdish/turkish relations are better than they ever have been. if kurdistan goes its own way, i don't see a way back for the kurdes and for the rest of the iraq. >> and in the meantime, isis arguably continues to get stronger. but do they have the capacity to

take baghdad and possibly pose a threat to the strategically enforced oil fields in the south? >> i think it's important to be clear what we're talking about when people talk about isis. when people refer to isis, what they're talking about is a full scale sunni insurgency. so isis is a small group, a small part of that. look, there are 20 million sunnis in iraq. isis, there are only about 5,000 or 6,000 members of isis. isis is what i would call the tip of the spear pointed at the heart of the state, which is baghdad. but the rest of spear t 20 million sunnis. isis couldn't have taken so much territory so fast if it wasn't part of a broader sunni uprising. >> yesterday, in fact, some of the militants were saying this isn't about isis, this is far bigger sunny insurgency. >> that's exactly right.

and the difference between sunny and isis, small group, very islamist, women staying in the home, no alcohol. cutting off the hands of thieves. the vast majority of the sunny population of iraq are is he secular. you can do whatever you want as long as you have loyalty to the states. there's a fundamental disconnect, if you will, between the isis ideology and the sunni ideology or the thinking in political views of the sunni majority. so right now they have common cause against maliki and against the state. but once maliki and the government are gone, i predict isis will -- and the sunni, the vast majority of the sunni population will part ways, as well. >> it takes time to get to that stage. we just heard from the iraqi prime minister says he's

committeded to form the first -- of government. now, in the u.s., the tea party suffers another setback in the primary elections. in mississippi, six-time republican senator thad cochran barely managed to hold off tea party challenger chad mcdaniel by little more than 1%. but mcdaniel is refusing to concede. cochran is would it widely expected to win re-election this fall in a largely conservative state. and are we finally seeing serious growth in the u.s. economy? goodsmaker res feeling optimistic with two out of three firms expecting profits to increase in the near future. now let's get more with karen, a member of the national association of manufacturing board of directors joining us live from washington.

the government regulations are the biggest threats to growth. what specifically? >> well, you know, it's very interesting. the temperature va has been released this morning. they're optimistic about their sales and profitability over the next 12 months, something that is a concern for them relates to government regulation. and it tops the list of concerns. and the top government regulation was the implementationffordable care act. they are concerned that that will limit the growth that they're experiencing right now. >> they're experiencing growth in sales, they're confident about the outlook. but is that transferring to hiring intentions, karen?

>> yes, it is. also what's happening is they're expanding their workforce. nearly two-thirds of the participants in this survey are planning to expand their workforce this year at an average rate of 6%, which is good news. would he be doing this survey for a while and last year that number was 4%. so manufacturer res adding job and that's a great indication of the recovery. that is a good thing for the u.s. economy. >> can you just explain to me why the provision of more affordable health care for wider sways of the american population and the public would be an impediment to growth. >> well, you know, that's a very good question.

there's been a lot of media cover haej on the affordable health care act. all the regulations haven't come out yet. so in terms of implementing the affordable care act, there is some uncertainty on exactly the impact it's going to have on the business. so i think that that was the reasoning bhien the concern of the executives. but what's interesting is while it was listed as a large impediment or a potential impediment to growth, over 70% of the carpetants are planning to be in full compliance with the affordable care act, meaning that they're not going to go down the path of not offering coverage and paying a penalty or tax. so while they're concerned about it, they're going to comply with it. and i think that relates to the competition in the workforce for manufacturing. we have a skill shortage in the

united states. >> thanks for clarifying that. you say the manufacturer is increasingly bullish on the near term prospects. i want to challenge you on that. how can that be if oil prices are elevated and they are on the up and we continue to see these tail risks in the wormounting. isn't that going to be a lot of these manufacturers in terms of the near growth prospects? >> you have to remember that the participants in the survey were primarily middle market manufacturers. a lot of their key markets are in the united states. so while oil price res increasing, you know, on a global perspective, in terms of the energy costs, that has come down in the united states primarily because of the fracking going on. while there's always some geopolitical risk and uncertainty related to gas prices and things like that,

some of the things that we've been seeing in the united states with the increase in demand and the relatively stable increase in economic activity, manufacturers that are based in the united states -- >> all right. >> -- are basically doing well. >> so they're more resilient. we have to leave it there. thank you very much, indeed. >> thank you. >> now, coming up on the program, the u.s. could soon open the taps on the first major exports of crude oil since the '70s. we explore what's behind the obama admin evaluation's policy on that thinking, coming up next.

welcome back. in what could be a major policy reversal, the u.s. may lift a four-year decade ban on oil exports. courtney reagan has more on the story. washington is going to still move kaush why isly on this one, court. >> that's right region sri. but it appears that they're doing so quite ely already. the obama administration has, in fact, quietly opened the door to the first exports of u.s. oil chipping away at a nearly

four-year ban on selling crude overseas. "the wall street journal" reports government officials have told two companies they can legally ship a type of ultra light oil that's been plentiful as drillers tapped shale formations across the cup. with a small amount of processing, the shipments could begin as soon as august. under a process known as a, quote, private ruling, the commerce department will let pioneer natural resources and export partners, turn into this refine products such as gasoline, diesel and jet fuel. both companies concerned, they've received this ruling from the government. under the rules, the u.s. can export fine oil, but not oil itself. there have been some exceptions

with shipments slumps in canada and mexico, but that's added up to a modest 7. 67.,000 barrels a day. this could eventually account for the barrels of oil companies are producing from shale. the brookings institute estimates as much as 700,000 barrels of oil per day could be available next year. shares of pioneer exports rose avenue hours on tuesday on this news. as for enterprise products, its stock rose nearly 1% in after hours trade. but just the idea of this, sri, is certainly monumental and something that we're going to be following very, very closely in the coming days and weeks. back to you. >> absolutely. there are infrastructure challenges, as well, to contend with. courtney reagan, julia. >> and congress. >> indeed. gopro is expected to price its ipo after the closing bell.

the cameramaker is looking to raise $427 million to value it at as much as $376 billion. it would be the biggest electronics consumer ipo in the u.s. since 1991. the last gadget offering was head phonemaker skull candy back in 2011. who else stands to gain? josh investigates. >> crack open a gopro and some of what you find you may have guessed. one research firm that took the camera apart took a texas instrument chip, as well. ambarella, a little known company. it's making some big waves. their chips are not only inside of gopro cameras, but inside of other big names, as well, such as drop cam which was just

bought by google's net. take a look at the company's huge move in just the past 12 months. it's up about 100%. but not all parts are off the shelf. the folks at ifixit say the key to the image comes from a special lens. >> they put a lot of work into that leps. that's truly what makes the gopro special because it has such a wide field of view. >> so a lot of little pieces in one small package. now the question is, can i put it all back together again? josh lipton, cnbc, silicone valley. >> all right. sent in the drones. okay. i'm reading the wrong thing. anyway, yahoo! holds its annual shareholders meeting today appear 7:00 a.m. eastern. they're likely to bring up the questions of executive pay.

ctw plans to challenge yahoo!'s heavy use of stock options to ceo marissa mayer wants to tie future pay to performance. yahoo!'s stock in frankfurt down by almost 1.6%. now we can send in the drones. thank you. the u.s. government has grounded amazon's plans to use drones to deliver your packages. tucked away in a document released on monday, the faa named amazon as an example of what is barred under federal rules. the faa only allows these drones for hobby or recreational purposes. while it didn't cite amazon primary, the drone delivery would be construed as business purpose. global markets following the u.s. close lower. the russian parliament invokes an option to invade ukraine.

welcome back. let's bring you up to speed with the european markets. as you can see, broadly negative. the ftse mib was trading in positive territory about half an hour, 40 minutes ago. but it's turned negative, as well. perhaps that's the giorgio chillinni effect. the underperformers of the ftse 100 and the cac 40 are off by almost 0.8%. julia will see the focus on politics, woken it? >> absolutely. we'll be focusing on the association with the likes of ukraine and the eu. but let's quickly look at the u.s. markets. bucking the losses we saw in yesterday's trading session. right now, we have the futures

indicating higher than they have come off in the laugh haur hour. the dow indicated higher by around 13 points. now, google's annual io developers conference kicks off today in san francisco with a key note speech at 12:00 p.m. eastern. "the wall street journal" reports google will unveil a tv set top box similar to apple tv and amazon's fire tv. it will have a different brand name, but is powered by android's tv software designed to play games, movies and other content. the managing director on at topeka capital markets. are you expecting them to announce some kind of set top box? and how is it going to compare with its rivals? >> well, i think today is all about google expanding its ecosystem through the android operating system. and that's through platforms as well as devices. in home connectivity, acquire transportation through driverless cars and as well as

tv that you just talked about. so today, i expect to see a host of announcements, software upgrades, hardware upgrades, hardware introductions and tools to make it easier for developers to mistake it more thrilling to consumer as well as enterprises. the announcement about a set top box fits right into that narrative. and it's followed by the expanded ecosystem. i think what you'll see is a battle for ecosystem dominant through google, through amazon and apple. that's part of it. >> lucky for google, isn't it? are they going to get it right this time? >> i hope so. i recently tested out the tv from amazon. so i think this hope fo google, they are tied to roughly 80% of all smartphones globally. so they already have a position

potentially going forward. so i think there's if potential for them to expand that going forward. >> how confident are you that they can monetize investments like left, like drop cam going forward and do you see more scope for the share price to gain here? >> yeah. i do think it's one of the best in class companies. they are growing revny you at a 20% clip. if you compare them to other technology companies struggling to grow revenues above 0.2%, i don't see that changing anytime soon. now, you know, i do have one concern and it is that they are investing into multiple different things in terms of robotics, satellites, jobless cars, everything else. i need better communication from the company in terms of what their internal orb i haves are for these individual investments. >> we're going to leave it there. we'll have more tomorrow. stay with us. that's it for us on "worldwide exchange."

>> and thanks to shows who tweeted that the only selfie he wants was with the cnbc wex team. we appreciate that. have a great day.

good morning and welcome to "squawk box." more big economic data points on the way for the markets after a triple digit sell-off. mississippi senator thad cochran sends off a tea party candidate in a runoff. the far left that wants the tea party to win all these things or the tea party, would is more disappointed? and the u.s. is said to export oil for the first time in decades. you don't want to be around becky today. it's wednesday, june 25th, 2014. "squawk box" begins right now.

>> dosh darn it, those exporters. no, i don't know how i feel about this. we're going to talk more about it. i'm becky quick along with joe kernen and andrew ross sorkin. the dow is coming off its biggest drop in more than a month. the economy is going to be front and center for investors today. on the agenda, we have may durable goods and a final revision to the first quarter gdp. polled economists say they expect to see a 2% decline in first quarter growth. not a huge surprise. we knew things were weak, but that would be weaker than the 1% drop in the last revision. worth watching today, treasury is going to be auctioning $35 billion in five-year notes. this comes after yesterday's stellar sale of $32 billion in treasuries. the u.s. equity futures this morning after that triple digit decline for the dow yesterday are looking a little higher, but not a lot. dow futures would open close to 12 points. s&p up by just over