. a very warm welcome to "worldwide exchange." i'm wilfred frost. and i'm seema mody. >> the dow falls more than 300 points. european markets extending losses. >> oil gives up its early gains. wti now below $50 a bairl with brent at a fresh 5 1/2 year low. the german automaker retains the crown of the top luxury seller of cars in the u.s.

the world's largest electronics show in las vegas. sony using this time to address the cyber attack. >> i am very proud of all the employees and partners we work with, as well who stood up against some of the extortionist efforts of the criminals that attacked sony pictures and its employees. >> announcer: you're watching "worldwide exchange," bricking you business news from around the globe. >> just want to get i up to speed on some data that just broke. eurozone composite pmi coming out at 51.4 versus 51.9. that was the expectation versus what we got in november, which was 51.1. again, the december composite coming out at 511.6. >> we have had the numbers out

of the individual countries. spain came first. that was a good reading, 54.3 in euro, came up a little bit off the back of that. we then see that sharp sell-off as you can see in the euro off the back of the italian number which was 49.4 against a forecast of 51.7. since then we've had french and german numbers. france was 51.6 against the forecast of 49.8. germany was 52.0 against a forecast of 51.4. we've had that overall number as seema just said, the euro roughly flat on the trade so far. >> a lot of focus on the euro. remember yesterday it was at one point in the day trading at a 9 1/2 year low against the u.s. dollar. that, of course, is expected to be good for european corporates. it makes their products and services more attractive. morgan stanley, in fact claim they expect a 110% rice rise in european corporate earnings in 2015. much on that being attributed to the weaker euro. we will be listening to see,

depending on what mario draghi says if that will lower or weaken the euro even further. but first, let's get a market update. >> as you can see, quite a lot of red behind me. we're down 0.7% on the border. stoxx 600. this follows a strong sell-off in europe yesterday afternoon. that spread to the u.s. we had the worst day for the dow and the s&p for the last three months. it's been a weak day in asia, too. the broader stoxx 50 index is off 0.6% so far today. let's look at the individual european markets and see where that weakness is coming from. the ftse 100 down the best part of a percent. that suffered heavily yesterday because of the oil price decline, which was one of the catalysts for yesterday's weakness and the heavy energy weighting in the ftse 100 affecting it again today. germany is off 0.6%.

france a similar amount and italy off 0.4%. let's look at bonds. we have had quite a lot of bond buying with this risk off sentiment. i'll start to begin with with the u.s. where we did see bond buying yesterday as the oil price declined sharply. we're below 2% on the ten-year but pointing out that the 30-year moved sharply yesterday. it is around 2.6% at the moment. and so 2.589% is where we were today. that was a record low since 2012. of course, even though we got the prospect of rates going up in the u.s. the longer end continues to see bond buying and we are seeing the yield curve flatten. the german ten-year is below 0.5%. a record all-time low. risk off sentiment and quantitative easing on january 22nd seeing yields compress further. the u.s. affected, as well. 1.62%, even though we won't see quantitative easing there. italy and spain in recent days have been hitting record lows too.

1.8% in italy. let's look at forex rate. the u.s. dollar hit a fresh nine-year high the broader index yesterday. today we are seeing quite the same moves. the euro is in fact flat 1.19%. the u.s. dollar losing a bit of ground against the yen today. back around 118.85. aussie/dollar flat today and cable is flat. commodities, a big mover yesterday. both measures of oil prices off around about 5%. although they opened a little bit up today, they've weakened again. wti is below 50.the 48.43 off 1.2%. brent is at 52.5 off 1.2% as well. let's see what that means for asian markets and join sri jegarajah who is standing by in singapore as ever. good afternoon to you, sri. >> and a good morning to you, wilfred. it's been a perfect storm of negative offshore leave for the

regional markets over here in the asia pacific region. we had this unrelenting fall in the price of oil. that's one catalyst as you know from wall street and, of course, the jitters in the eurozone political uncertainty emanating from greece as that election on january 25th looms large. on top of that we have global growth concerns to round off the picture. the nikkei 225, a generalized risk aversion throughout the market. the nikkei down by 3% at the settlement for japanese equities. this is the worst day in ten months, as you pointed out. but here is where the relative strength is. mainland china equities. shanghai composite, stable at the close. and you've got to remember we had a very key data point. the market hsbc services pmi was, all things considered, not too bad. we saw constructive numbers

improvement in the month of december. that's probably one of the factors that contempt sentiment on a fairley even keel in china at least. elsewhere, it was the basic resources that really got infected by is slide in the price of oil and that hit the aussie market quite hard. the index heavyweight by bhp and rio tinto down quite sharply. the nfk sector getting hit hard, as well, because of the tumbling price of oil. broadly, risk aversion hiking risk aversion in our regional markets. let's see what the end of the week brings and the nonfairly payrolls they are constructed, they are upbeat perhaps that might reinvigoration the agenda in this part of the world and some risk taking. one would hope. >> so we're going to watch the price of oil, by the way, wti crude now trading below $50 a barrel. the oil story is something that continues to rock markets. on that note let's get market reaction on what to expect going forward with the strategist and

head of investment at cross bridge capital. minesh, great to have you in studio this morning. that data just came out, is bad news actually good news for the market? it strengthens the case for mario draghi to envalue the quantitative easing that the market so wants. >> sure. i think the market is not so bad. it is not so good definitely but you saw the numbers in spain, france and germany were better. but this definitely strengthens the case that -- even more likely. the kiwi is going to happen expecting now, so just about the timing that we are talking about. >> so do you think at the january 22nd meeting we could see mario draghi unveil a plan rather than hinting to his bond buying, but a plan in place? >> you know, i was thinking it would be in march, but now i am

getting more confident it will happen in january. >> i think he will have to make a statement about what is happening in greece because there have been so many statements in the press from him and counterstatements from german politicians, as well. i see that we will have a very robust meeting. >> if we do get it what exactly do they buy? the leader was saying that greece can't be excluded from any ecb bond buying. but surely if they are re-elected if they want to renegotiate bailout terms, germany not going to allow the ecb to make it look like it's okay to change the rules again. >> sure. the germans say you can buy only aaa boondz. finland, netherlands, germany and austria. you're taking that into negative territory. what will that have for implications for people that are

holding the bonds. now, if you're buying a national bond, then the risk will be the national central bank rather than the ecb. so i think that will away compromise compromise. >> last week, we were thinking that the greece issue was relatively country specific that contagion risks were much lower than they were in 2011 and 2012. is that your view, as well. >> >>. >> we are still a big risk, right? so i think this is still a greek crisis, not a euro crisis as it was the last time. a lot of things have happened and been put in place. >> i also want to talk about oil because it's extending its sell-off. some were thinking this was a 2014 story. they were wrong because it continues to be one of the focal points for investors.

are lower oil prices the new normal, or is this a temporary telloff and we could potentially get back to the $80, $90 barrel? >> i think this is an overshoot. just like you have overshoot on the upside you have overshoot on the downside. it will come off in the coming months. you have seen the falling expenditure and the hit that the mining companies and industry companies are having. that is going to come into place and then the oil is going to stabilize and you will have 60 $70 oil by the end of the year. >> i would say yes, a reminder that last year we had three corrections in january, october and december. the consensus view on euro was euro short. now the consensus is euro positive and takes time.

but given what the ceo is doing -- can it go even lower? >> that's one of the reasons why you're seeing the dollar strength. you're not seeing europe falling of its own accord. >> thank you very much for joining us. coming up on the show from driverless cars to 3d robots we tell you about the hottest gadgets on the shelf at this year's electronics show in las vegas. the ceo of rolls-royce items cnbc that the country's super rich are helping to driving luxury sells at the luxury automaker. and we speak exclusively to

the ceo of 3uk to find out about m&a and the future of 4g. that's coming up.

we've been talking about the price of oil. wti trading below $50 a barrel. in recent days the iranian oil mip sister said the country still intends to double its exports once international sanctions are lifted. ali is bringing us more on that topic. >> it's going to be very difficult to do that in this current economic climate that have an in right now. the sanctions are still in place. they haven't made a nuclear deal and oil keeps tumbling. everything in iran's budget is central around oil and the iranian government has put $100 for oil in their budget. it's less than half that right now, so they're in a lot of trouble. the speculation in iran globally has been that the saudis have

intentionally crashed oil markets to hurt their main political rival, iran. but i had an interview with a leading iranian economist who is a former adviser to the president and he disagreed with this. he didn't think that the saudis are -- >> exports more than -- a day. then the increase in oil price is eight times a liter, first of all. i'm thinking -- is 41% of all demand of the world. next year it has no deficit in its budget the government.

but 40 billion use dollar deficit. of course, the oil resource, financial resources are much much higher than us. but, you know it will be too dangerous for them to play with. the supply of oil by that has no change has not changed. then how they can use that, you know? it seems that united states, canada, russia and iraq have more road in this much much more than soviet. >> as i was saying this is simply economics and not political rivalry that saudi arabia has done this. he pointed out to me as well that in 2008 iran had lowered

its oil production and they were never able to brick it back up again. and the saudis have noticed that and they don't want to fall into the same trap. he also pointed out that if the sanctions are lifted if the oil price comes off a little bit and iran comes in from the cold it could see a huge boost in its economy in the coming decade. he said iran could come out of these doldrums if this perfect storm was to come together and it could have a very very thriving economy, but it still has to mend fences fall out of its oil deal and low prices are really, really hurting the budget in the country. so this perfect storm has to come together to have iran come out of this. they could fall back short again and be in real really big

trouble. seema. >> thank you so much. that is absolutely correct. so many uncertainty or when or if sanctions will be lifted. the price of oil now below $50 a barrel. wti crude yesterday, just the intra day action was if a normal a 6% move in the price of oil in one day. >> absolutely. it's like catch ago falling knife. anecdotally anecdotally, i think there's a change in sentiment over the last week. since that low end session, all of the talk was about excess splice causing the weakness. but if we rewind eight days last month, we had a supply shock coming out of libya. that led to a very brief, small reprieve for the oil price. since then we've been declining. to me, that is suggesting there is just as much a weak demand call for why the oil price is weak. i think that could mean we have these lower oil prices go a little longer than what people are expecting in the first place.

>> the supply demand equation is at the heart of this debate. but at the same time, the stronger dollar doesn't help commodities. it adds further pressure. that's what we saw yesterday, stronger commodities and the sell-off. but there was one commodity that did get a bid, gold. gold shares did move higher, still below the 1200 level. oh excuse me now back above 1200. interestingly enough we did see the volatility index spike, some are seeing gold as a good reprieve. >> it's surprising given that we were expecting more money printing from europe and japan and just the uncertainty of that volatility. if the ftse 100 was down last week. part of the reason for that is its heavy energy weighting. the outperformance is

significant. >> a really significant move in energy stocks in general. the 50 of the 20 worst performing stocks of the s&p were in the energy space. perhaps they may have to wait because the selling continues in the energy space. in his keynote address in las vegas, yun encouraged tech companies to increase collaboration. the south korean firm is expected to release its latest earnings guidance on thursday. meanwhile, sony's ceo haas broken his silence on sony's hacking attack.

for their efforts for what he called extortionist efforts of hackers. >> sony pictures entertainment former employees and certainly current employees, they were unfortunately, the victims of one of the most vicious and militia cyber attacks that we've known certainly in recent history. but i have to say i am very proud of all the employees and the partners we worked with who stood up against some of the extortionist efforts of the criminals that actually attacked sony pictures and its employees. >> and now while most people will be flying into las vegas for ces, fwil lebeau will be driving. well, sort of. he made his way from bakersfield, california, to las vegas in audi's a-7 pilotless car. take a look. >> it may not be long until you can drive hands free and foot free on the highway. that is audi's a-7 piloted

driving car. we took it for a spin to see how the technology works. we're on the highway just outside of pal alto california. the vehicle has let me know it's okay for the vehicle to take control. an l.e.d. strip as well as the instrument panel let's me know that the piloted driving technology is in control of the car and that's it. now we are hands free foot free. you can't see my feet, but i'm not controlling the acceleration or the breaking of this vehicle. as we're driving down the highway here towards san francisco, if there is a car that slows down in front of us and we need to lane change, there are 20 sensors in this vehicle that are measuring the other vehicles on the road. if it's safe to make a lane change it will do so. now, this technology only works on the highway when you need to exit the highway or you need to slow down and go into street traffic. the vehicle will tell us. we're turning right now.

i'm not controlling the vehicle at all. but in about half a mile or so, it's going to tell me that our next exit is coming here and it's time for me to take control of the vehicle, which is basically pressing two buttons. 15 seconds until it deactivates. it let's me know that i'm now in manual driving and i'm taking control. in fact i'm going to lane change here. do it the old fashioned way, looking out the back window and making sure it's okay to get off at our exit here. for now, this a7 piloted driving test car is just that a test car. but you asy believes many of the technology will be incorporated into other audi models within the next couple of years. >> this driverless car was jointly developed by audi volkswagen and the center for automated research at stanford university. the car, as phil lebeau was mentioning radar sensors, a 3d

video camera. it will be interesting to see when we see these driverless cars at the dealership. >> when the dwopt development happens, all these things will be taking up. the drive from l.a. to vegas is a long straight road. perhaps they can work. a, it's toez drive that. >> have you taken that drive? >> i've done it twice. >> what? you're from london. >> and it takes like six hours to get there so that is where driverless cars might work. but i think both in terms of the complexity, but the fun of driving. i think it's something that a lot of people enjoy. so i'm not sure if this will take off fully, but certainly a very interesting prototype and a space to watch. >> absolutely. especially when you have players like google that are already in a driverless space. automakers feel the pressure to innovate and beat them to the finish line. >> absolutely. with the ces show under way in las vegas, we want to know what you think could be the break through gadget of 2015. let us know. join the skaips conversation

here with "worldwide exchange." worldwide@cnbc.com or via twitter @cnbcwex. i have to say, following on from that speech we saw from the samsung ceo and talking about internet things i think that would be the big phase this year. particularly how predictive the technologies can be not just when you go into google and it knows what you're going to search for, but knowing all your tastes basing it on the information out there, the temperature and all that and changing your whole experience based on predictive technology. >> absolutely. wearables, that's one of the things i'm excited to watch, see some of the other entrepreneurs working on wearable devices that will compete with the likes of samsung and apple. full coverage throughout the week. our u.s. colleagues are live in las vegas. tune in for a whole host of interviews with the likes of ford qualcomm ceo and wrapper 50 cent. still to come on the show, we're going to talk about ipos.

rocket internet shares have soared over 37% since its ipo. so will european listings continue to take off this year? we discuss.

. a global market sell-off. european markets extending losses. wti noe now below $50 a barrel with brent at a fresh 35 1/2 year low. bmw reclaims the crown of top selling luxury vehicle over mercedes. the ceo electronics show kicks off in las vegas. >> i am very proud of all of the employees and the partners we worked with as well who stood up against some of the extortionist actions & that affected sony employees. the composite data which has come in at 5555.4 that's the

lowest since may 2013. more importantly for the uk the services pmi has come out at 55.8 down from 58.6. the expectation was for 58.5. so unexpectedly uk services growth has waned to a 19-month low. it still is at 55.8 well above 50 significantly better than a lot of the rest of the european markets. nonetheless, this is at a 19-month low. sterling is down to 1.519. so far this morning, data hasn't been particularly strong. let's take a look at how european markets are responding. it has a down day for european markets yesterday. having its worst day since december 7th. on track for its worst day since december 2012. not the big losses we saw yesterday, but the ftse 100 down

0.6%. the xetra dakt the german markets lost about 3% in idea's trade, a big move for the german markets down fractionally in today's trade. a lot of this has been predicated on the move in the price of oil. just broke $50 a barrel. it's now trading at $59.49.04 a barrel. a fresh new 5 1/2 low. trading just above $51. a big move in oil. is this the new normal or perhaps at this point will find a bottom in oil? >> in the meantime it's add to go risk off sentiment. did just dip below 2% a moment earlier. it's the first time it's done that, of course for a while. it's bang on 2% as we look at things. and the german ten-year yield fell below 0.5% today, as well.

i have record lows coming in the european bond markets and that general sentiment is spreading to both the u.s. and the uk even though the prospect of further quantitative easing is not one of the factors applying to those two markets. let's take a look at forex. the u.s. dollar with a nine-year high against the broader index yesterday. today, it's given up a little bit of those gains against some of the currencies. the yen has bounced back 0.6%. 118.9. the euro, 1.19 so far today. sterling, as i mentioned earlier, off the back of that weak services data is at 1.519, down 0.35% today. >> now some corporate news, verizon and aol aren't commenting on a report that verizon has approached aol about a possible acquisition or joint venture which would expand its mobile video offering. the report says verizon hasn't made a formal offer and no deal is imminent. last year activist investor

starboard value urged yahoo! to pursue a merger with aol to save about $1 billion in costs. aol did rise about 12% in after hours trading, trading up about 9% in frankfurt. version ryan is down about 0.9%. coach is reportedly close to a deal to buy luxury shoe designer stewart whiteman. it would be a rare acquisition for coach as the leather goods retailer has largely focused on organic growth in the past. the group has struggled to keep up with fast growing rivals. coach trade, we don't have at the moment. >> facebook is buying a maker of voice recognition technology as it looks to expand further beyond pcs and smartphones. wearable devices and remember connected appliances that can understand spoken words as well as written text phrase in natural language. terms of the deal were not

disclosed, which raised about $3 million in a funding round in october. this follows the acquisitions that facebook made last year of whatsapp, the messaging service for about $18 billion as well as a virtual reality software. still trying to get an understanding of how facebook and investors are going to integrate that into their portfolio. a number of european ipos jumped about 40% compared to the year before. german -- rocket up internet led the way in the fourth quarter, raising $1.4 billion euros. joining us now is garrett mccarthny. gareth good morning. thank you for joining us. is 2014 for european markets, the high in this space on days like today when the volatility

is incredibley high. for the second half of the year, volatility was spiking at moments. it's quite hard to understand how investors were quite confident in the ipo market. >> i think very much 2014 was the two-half story. there was a low volatility environment for a sustained period of time. you had the reengagement of u.s. investors in europe which was very supportive and you had rising secondary markets which means the valuations were fairley attractive. that's why the majority of volume happened in the first half and the second half of the year when volatility was higher we saw a subsequent increase in volumes. >> typically, market sentiment plays a big role in the ipo landscape. given the ipo challenges that europe is facing why do you think we're seeing a jump in ipos in the number of companies that are willing to go public? >> i think a lot of story last year was a restocking of the pipeline and particularly the private equity universe has mature assets that they were looking to monetize. and the ipo route was an open

option for them. i think as we look out to the rest of this year, there's a healthy pipeline which was the second half of 2014 transactions that didn't get executed that move and simply roll forward. but i think the challenge for this year is going to be picking your windows where you are a lower volatility environment to execute those transactions. >> do you think the u.s. given that they've been seeing a stellar ipo run over the past couple of months has that been feeling optimism here in europe as well? >> there's been some read across as positives. i think the technology sector in the u.s. is a key driver which perhaps is not as prevalent in europe. but i think the reality is we have an ipo market that is open but it's likely to be more selective going forward and reasonable more normalized than the restocking phase in 2014. >> let's talk about last year's divergent performance coming from ipo sponsors. what are the reasons for that divergence of performance and what did it means for ipos for the year? >> i think it's difficult to pull data that gives you a clear answer as to differentiate

performance from specific vendor groups. therefore, i think they're very much stock specific stories. but i think the reality is one of the lessons learned from last year is that i think correct positioning of assets ahead of ipo correct valuations are two factors that i think are quite important for driving market performance which gives further options, as well. >> one of the things we've been seeing a rise in ipos in the u.s. is the job app which makes it -- before they go public. is there a similar option? >> there's been a questioning of the model, the differences, you know, whether it be research whether it be. >> of the timelines there are more extended in europe. >> to the point made earlier, i think we saw the uk market included, we had over $80 billion in issuance last year.

that was materially up versus any other year we've seen since the crisis. this market is functioning and i think it's tweaking some of the rules and regulations to give us more flexibility to allow more companies to come to market in a constructive way. >> do you think that's encouraging for the entrepreneurial world, the start up? i guess environment here in europe given that we are seeing a rise in ipos despite the economic challenges europe is facing? >> sure. i think as we continue to exist in a low interest rate environment, then i think investment opportunities are there. the ipo market recovery if you like, over the last couple of years, shows an appetite for institutional investors to invest in the product. again, it comes down to the quality of the company and the valuation. >> which sector do you think will see the most ipos this year? tech health care? >> i think financials will get lumpy, large transactions which skew things and i think telecoms is likely to be another sector in europe that has significant activity this year. >> thank you so much gareth mccartney, head of equity

syndicate at ubs. >> hutchinson the owner of three mobile is rumored the be interested in both companies and could disrupt the deal with a counterbid. we are joined now by the ceo of three uk. thank you very much for joining us. >> good morning. >> let's talk about consolidation and m&a in the industry. the uk telecom markets are calling for a bit of conservation, but this year, it's slightly different. it's not just t-mobile operators getting together and it could allow the potential to offer bundled services. as an operator, does it give us cause for concern?

>> we have a network share arrangement. vodafone and -- have a joint network venture. we have a network venture. it means we will have gnaw partner and for me that's port because network is such a key asset of any mobile business. so the most important thing for me is to make sure bt is aligned with our aspirations as the best network in the uk. >> and in terms of offering the best mobile network, would you be able to offer and share in their telecoms and video offerings, as well? >> that isn't a description that i've had yesterday, but obviously if bt goes by ee that's a discussion i'll be having at some point. >> there have been talks about

your parent company and take taover bid. >> that's definitely a question for the shareholder. my question is about building organically in the uk. i think the main battleground will be about making sure the network satisfies the recent demand for more and more data take up. we're doing that in the uk. today we've anouned that we're going to bring spain into our troop. the country added where they don't have to pay excessive of penal charges when they use their phones overseas. >> how are you managing that cost? ee and o2 have agreed to

increase basic coverage by around 9 the 0% in 2017. how are you dealing with that cost? >> from a rooming perspective, when our customers go overseas we have to pay the overseas networks. the charges have been very past in the past and have been passed back to the customers. what we've worked hard on is to reduce those charges down. whenever we've managed to get reduction in price, we've passed those back toets customers. there isn't a net cost. we're just passing through the savings. >> is it not just another example of a price war in what is a competitive domestic market? >> i think overseas rooming of excessive property by those

overseas operators. effective effectively, it's very hard to negotiate. we found ways and means of negotiating over the last few months. we offer reciprocal rates which gives us a better opportunity to negotiate down those costs. >> do you think taking a step back do you think we'll see further consolidation going into this year? is that the the name of the game? >> i think the main focus will be in 4g infrastructure. data is becoming much more relevant and the quality of infrastructure is probably the biggest focus on all the operators right now. >> in the past three or four years, do you think any mobile operator will have to offer some form of video content, as well? >> have to is quite a strong word. there will be greater take up. right now, there isn't a

significant demand for that in the uk. but if you look over a five to ten-year period i would imagine there will be more and more demand. >> if we consider the growth and smartphones, so far the carriers and particularly those in europe haven't made enough in allowing us to do that. looking forward, what can you do as a telecom operator to claim more of the slide of the pie? >> i can't talk on behalf of any of our competitors. we've got about 10% market share, use about 45% of the mobile data in the uk. we're generating fairley healthy marmgins. it certainly is a healthy environment because we are focused on data and as i say, we

are making profits. >> thank you very much for joining us today. much appreciated. still to come on the show would you pay half a million dollars to put a rolls rice in your garage? what's driving record sales? straight after this break. barbara just bought a bike. she wrote a tweet about it. you can't learn much from that. but take data from millions of tweets combine that with your company's supply chain and sales data. apply ibm analytics and expertise, and all of a sudden, you can learn which bikes to build what to make them from, where to sell them. because barbara and the world just told you how to build a better bike. there's a new way to work and it's made with ibm.

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all right. let's talk cars. bmw has end d mercedes brief one-year reign. bmw sold nearly 340,000 vehicles, up 10% from 2013. versus 330,000 for mercedes. that outpaced the overall market which saw growth of nearly 6% last year. let's take a look at how shares are trading. on a programming note daimler's ceo will both be on cnbc from the cop assumer electronics show

from las vegas later today. one of the reasons we've been seeing better than expected auto sales, gas prices is one of the sectors that has been able to benefit from lower gas prices which at this point seem to be here to stay for quite some time. >> although i don't know if lower gas prices make a difference for the luxury end of the market. interesting we didn't mention saudi. what are people's view in the states of audi? >> i think it's up there, but i think bmw and mer sigh dees dominate that luxury space. lexus dominated the market but then because of dperman automakers, bmw and mercy december were able to get the top two spots. >> shares up about 0.2% today.

meanwhile, rolls-royce posted a 12% rise in sales in 2014 hitting a record for the fifth straight year. that rt roed a slowdown in the crucial chinese market. nancy joins us on set with a little more. >> rolls-royce, a similar stories in some ways. excellent sales in the u.s. north america was their top market. a very simple field from mercy december benz and mbw, of course. china for them was a bit of a concern. the china slowdown was very present last year. the government has made a really big announcement. they want to cut out all the corruption within government ranks. that's going to have an impact in the luxury sector as one. the sales were optimistic for rolls-royce. russians are looking to get rid of the ruble in light of the

depreciation. so rolls-royce benefiting in that market. china, they can't ignore. that is somewhat of a problem. and i asked the ceo just how concerned he was about china. let's take a listen. >> we pulled less from china than the year before. an indication that we would never push any volume. investigating where people are getting the money from and that has affect the sentiment in the high end luxury goods business not only for capital, but for many, many other goods. and for that reason yes, it has affected us. but -- and now comes the big but, a record year of 20% in 2014. very much due to the fact that we are globally and nicely

balanced. so in north america, our big number one market middle east delivered in a great way to that result. europe much much better than the year before. >> you mentioned the middle east was one of the great spots for sales last year. falling behind the u.s. and china for society sales. are you concerned that will hurt the markets going forward? >> it's not all about the oil price. the oil price might affect the stock market but it's a different kind of move. it's a good mood in that market. the same is true for abu dhabi. so i am not so much worried about that.

when i talk to our partners it will disappear over the in fact kux of years. >> how did your sales fair in this market last year? >> the russian market is a good year for us in 2014. but not only due to the devaluation of the ruble. we have seen already a good growth in the russian market the place to come and -- a successful car for the russian market. and then of course on the back of the weakening ruble we have seen many customers ask for our products. >> have you had to adjust your pricing locally in russia to make up for the -- >> we haven't done that yet, but we will do that shortly. >> so a pretty slick showroom there. any of the cars tickle your fancy? >> the convertible phantom, which comes in about $500,000

actually. but all the speculation is about the suv. you know, i spoke to -- and he said a lot of their dmers are asking for one because they have a range over in the garage already. they want an suv that has the rolls-royce on it, as well. >> rolls-royce versus bentley, which is your favorite? >> rolls-royce only because they're at the extreme end. they likes to distinguish themselves. they think of them as -- >> wow. i think i prefer bentley, but nancy, thank you very much for that update on roms royce. now, moving on let's have a quick look at u.s. futures. what are we speccing ahead of the open today? after what was the worst day for the s&p and the dow in the last three months. the s&p and dow are expected to bounce back fractionally only. the s&p likely to he up by 0.6%. to dois up by 3.3 points and the

nasdaq expected to open slightly down, down 4.46%. a quick look at european markets which are in the red today following yesterday's sharp sell-off. down the.2%. today the ftse 100 is off 1.1%. the dax is off 0.25%. france off 0.5% and italy is up 0.3%. no santa rally, the first tooims time since 2007. what did that stels about future market performance? we'll discuss that topic next with an expert.

and it's 10:00 a.m. in london. welcome to "worldwide exchange." i'm seema mody. >> and i'm wilfred frost. >> global markets in the red with the nikkei posting its worst day in ten months. oil extends its losses down 3%. wti now below $50 a barrel with brent at a fresh 5 1/2 year low. mum is the word. aol and verizon are not commenting on a report that could be headed for tie-ups, a merger or joint venture.

the world's biggest electronics show kicks off in las vegas. sony breaks its silence over a massive cyber attack. >> i am very proud of all the employees and certainly the partners that we worked with, as well, who stood up against some of the extortionist efforts of the principals that actually attacked sony and its employees. >> announcer: you're watching "worldwide exchange," bringing you business news from around the globe. and after that major sell-off in europe and the u.s. a big question is if this is the trend that will continue as we approach the mid january and the end of january and going into 2015. interestingly enough the s&p has seen a decline of 1% or more in one of the first two trading days of the year only 19 times. january was still positive about

65% of the time. yes, a tough start to the year so far for u.s. equities but we could potentially still end the month in positive territory if history serves us right. >> i'm not sure how much we can extrapolate out of the first two days. but what i'm seeing from sentiment is similar to what we had at the end of the september, the start of october when we saw a sharp correction in markets. that is that everyone has their fingers on the bottom ready to take profits. that's what we've seen over the last ten days or so and we're semestering a little bit from greece, a little from weaker pmis and from oil price decline and people really to take profits off such a good year last year. >> and just take a look at the vix. it was up about 16% in yesterday's trade. take a look at u.s. futures how they're fairing after that sell-off. the dow jones industrial off about 3 points in premarket trade. minor losses for the s&p 500 down less than 1 point in premarket. the nasdaq down about 4 points

in premarket trade. the s&p and the dow had their worst day in three months. we were talking to you about the move that we've been seeing in asia across europe that weighing on global equities. right now this index is trading down by 26 points. we've been trading data out of the eurozone. the ftse 100 down. the xetra dax down about 21 points. keep in iend, yesterday the german markets were down about 3% in yesterday's trade. definitely a big sell-off in european equities. italy saw its worst day since april 2012 been right now, a little bit of a rebound, up about 50 points in today's trade. right now, still too early to gauge whether we will end in positive territory.

>> comparing at the top to that bigger construction we had in mid october, the last time u.s. ten year dips below 2 % was in mid october. it didn't stay there for long. but in terms of the negativity that we say then and the size of that correction, perhaps that is what we can expect at the moment. the u.s. and the uk not expecting bond buying. mainly driven by risk off sentiment and that weak oil price where bond buying is there, as well. we're at 0.487% in germany, a record low continue to go push below 0.5%. uk 1.6 the%. italy 1.18%. the u.s. dollar was flirt, a nine-year high. the yen is at 118.8.

however, the euro continuing to weaken. it's weakened throughout the day's trade. we're at 1.19%, below 1.20. oil price declining, wti below 50 down 2.7% at 48.1 7. brent is at 551.5. what does all of this mean for markets in asia? let's get an update on what happened in asia today with sri jegarajah who is standing by in singapore as ever. >> good morning, wilfred. heightened risk aversion in our asia pacific region. the nikkei 225 was the laggard today. down 0.3%. the worst performance in almost ten months had to contend with a stronger yen. remember amid this risky environment, there is a safe haven flows into the japanese

yen. so the stronger currency depressing some of the exporter stocks. the offshore leads were particularly negative, as well. on top on that this is probably just the shape of things to come. the shanghai composite stable. private forecast for hsbc market came out and published their latest read on the services sector. it wasn't all too bad. so it showed improvement. commodities hit the s&p. the likes of resources of

heavyweight, rio tinto and bhp dragging that index lower. aussie/dollar wasn't too bad. we had some supportive trade numbers in awe australia. >> sri, thank you very much. let's get more on market perspective, what to expect with anthony, providence financial and a board member. anthony, thank you for getting up early with us especially on this big market day. the s&p and the dow witnessing their worst day in three months. do you think this will set the trend on what we can expect going through the rest of the year? >> yeah. unfortunately i think there is going to be a lot of volatility. it's been known that the first two days of january seemed to have a -- a big factor on what happens the rest of the year. that's not always true but the fact is that we are going to have volatility. we've got a number of dynamics that are working here. there's a lot of good things when it comes to the economics and the u.s.

we've got higher employment which is great. unemployment rate is down. but with that higher -- or with the lower unemployment also comes the fact that a lot of those people aren't making as much as they were before and a lot of those people have taken part-time jobs. that's the headwind that we have. of course now we've got oil and what oil it's not good for the dow, it's not good for the markets in general. they're going to wind up having some major challenges. if oil stays below $50 a barrel, and i think it could go down even more than that then there is going to be even more unemployment. throw into that mix interest rates and have an increase this year, potentially, i don't think there's anything written in stone that seas that that's going to happen.

but when you throw that in it's going to absolutely lead to a choppy volume title market. where it ends up we won't know until 2016. >> does that highlight everyone is ready to take profits with the slightist risk? >> yeah. there are so many things going on that could tip the market. i think we've got a tipping point where the markets have been growing for six year we're going on to our seventh year at this point. and the reality is any one piece of bad information that lands on the market could cause a substantial decline in the market, but all of a sudden just something like this. and i think we saw that yesterday. now, the other thing to consider is that the markets have become more volatile. it was 2 00 points and now all

of a sudden it's a 300-point swing. anything under 300 points a lot of times doesn't get any mention. we have started to increase that volatility on a larger level. i think that's going to get worse. hopefully we end the year up but if we happen to get a down cycle, that's possible. >> absolutely. anthony, thank you for your time and your market perspective. the december ism services index is out at 10:00 a.m. eastern. activity in this sector is expected to pull back slightly from november but still remain well above a reading of 60 which indicates that the sector is growing. factory orders are expected to slip for a fourth straight month in november. look for earnings from micron as well as fast foot food chain sonic. let's take a look at today's other top stories. verizon and iol aren't

commenting on a record that verse rison and time warner is looking at a joint venture. aol is up 14.3% in frankfurt trade. >> that is not the only deal that investors have been talking about speculating over. coach is reportedly close to a deal to buy stewart weitzman for about $200 billion. it would be a rare acquisition for coach as the retailer has largely focused on organic growth. taking a look at shares of coach, up about 13% over the past three months. and seeing a bit of a move in trade in frankfurt up 0.9%.

facebook is buying a maker of voice recognition technology that looks to expand further beyond pcs and smartphones. they can understand spoken words as well as written text phrase in natural language. terms of the deal weren't disclosed. facebook so far in frankfurt trade, up 14%. whatsapp, the messaging service and now wearables. it will be interesting to see all the different areas of social media the facebook social media giant is trying to get into. >> they sort of stopped pulling these in. that's very exciting on the surface. >> they've shown us what they can do with instagram. perhaps if they follow the same trends, it will be successful. "squawk box" is starting its 20th year on cnbc from a brand

new home. joe, becky and andrew are making the move to new york city starting tomorrow. their special guests include billionaire bill ackman and lloyd blankfein. still to come here on "worldwide exchange," the suv is back as lower gas prices drive the four by fours. we ask the ceo of rolls-royce is the luxury icon is getting in on the same game.

welcome back. more than 300 points. crude keeps falling, wti now below $50 a barrel with brent slipping nearly 3%. deal or no deal? aol's verizon won't comment on speculation of a tie-up in the works. . bmw retakes the u.s. luxury auto sales crown from mercy days benz. up 10% from 2013 versus 330,000 from mercy days. that outpaced the overall u.s.

auto market which saw growth of nearly 6%. minor moves right now, we're looking at bmw up just about 0.2%. on a programming note daimler's ceo -- >> deiterscheitz. >> and mark fields will both be on cnbc from the consumer electronics show. >> this is team work. >> we had carolin on she would have it. >> i know. mean wile rolls-royce posted a 12% rise in 2014 hitsing a record for a fifth straight year. let's get more on that story. nancy has joined us on set. nancy. >> very much the story is all about the u.s. a lot of strength in the north

merp markets. a little bit of a concern, but i spoke tt ceo yesterday at rolls-royce and he had he's optimistic that strength in the u.s., even an uptick in germany. we talked about people pouring money into the hard assets. they're continuing to see strength in russia really strong sales in the middle east, as well. abu dhabi was the best performing showroom they had last year. looks ahead, we're talking a bit more about products. there's been a lot of speculation over whether the company will put out an suv. we've been seeing a resurgence in suvs, but the trend is continuing to be popular among luxury automakers. you see the range roper and even bentley has an suv.

here is what the ceo had to say. >> we are progressing with that project, but we haven't made for good reasons the final decision. that will come this year. so watch that space. i think it is a yes or a no. >> are you concerned that an suv would risk backlash against the core consumer who appreciate the traditional models? >> i am not so much worried about that because many of our customers already start to go ask me about that particular car, why can't you do it? please do it? and what happened when we presented -- for the first time the coupe which is something completely new from the brand, the reaction from the market has been very very positive. so i would never say that new moves into new territories is not good for that brand. >> thank you very much for that.

i'm sure it looks enjoyable sitting in that showroom. >> indeed. thank you very much. >> carries will be one of the products unveiled at the consumer electronics show kicking off in las vegas. ip next we're going to discuss trends to expect coming out of that big show.

samsung's ceobku has priced to spend more than $100 million in funding for developers to make the internet of things a reality. in his keynote address in las vegas, yun encouraged tech companies to use collaboration. sony's ceo has broken his silence over the november cyber attack on sony pictures entertainment. he praised the partners of the movie studios for standsing up on what he called extortionist efforts of hackers. for thor employees and current employees, they were, unfortunately, the victim of one of the most vicious and militia cyber attacks that we've known certainly in recent history.

but i have to say, i am very proud of all the employees and certainly the part ners that we worked with, as well who stood up against some of the ex portionist efforts of the criminals that actually attack easy sony pictures and its employees. >> so what new tech trends can we expect for 2015? hot on display this year at cef in las vegas are driverless cars that can park themselves, sky high changes in drones and a big shake-up in health care. let's discuss those trends with mike butcher. mike, i want to talk about driverless cars. our own phil lebeau driving that audi. at what price point will these cars be priced at and what do you think demand will be like? >> the price has yet to be set. it's a luxury add on to some

extent. you've got car manufacturers build in. some the driverless is a whole bag of worms as it were in terms of las vegas. the state of nevada wbl obviously, a couple of years ago announced they were going to allow driverless cars. but the jury is out on how it's going to play out in the rest of the world. but the actual manufacturers, whether or not they call it driverless is not a question. >> and these automakers have to move fast because google has been an early player in this market. >> those cars only go about 25 miles per hour and they're very small. they only take about two people. you're talking about much smaller urban transportation systems for short journeys perhaps augmenting public transport systems. >> you heard from the samsung ceo, big proponent, the internet

of things moving forward. it's a term we hear a lot. can it start to be a game changer for samsung itself? will we see it in our lives more? >> you look at wearables. wearables are connect with the idea of things. you walk around you measure your health and plus the chips will need to get into home appliances, auto automation. all of this is part of that and for logistics suppliers, looking like using huge components all around the world, basically chips are everything. and basic players like samsung, qualcomm as well they want to power this. so it's all about getting up to drive the bottom line. >> and the sam ceo was saying there needs to be more collaboration.

it's relatively surprising. where do we have to see that much closer collaboration? >> i think that is a bit of poppycock. samsung, they are kind of having their ears turned as it were by big players in the mobile phone market. they've really got to go on the ball now. their lead is being eaten into, especially on mobile phones. collaboration, they've got to basically start having a steve jobsan moment where they start leading the market instead of following it. >> you touched on wearables as being one of the trends to watch out for. i want to ask you about facebook because they purchased a start-up name wat. somewhat in the wearables space. what do you think facebook is trying to do with this type of service? >> you've got to remember that

facebook, google microsoft, the big tech players have to move to where the pot is moving as it were. wearables, that's why google bought less. there's ways of gaining and using infrastructure. >> what do we see those technologies integrated into their part fellow? >> sooner than you might thinking. but within the next five years, i think. >> i'll be swearing a virtual reality headset. >> hopefully not. now, our u.s. colleagues are live from the consumer electronics show in las vegas with a great lineup. stay tuned for the likes of qualcomm's ceo, ford and 50 cent. coming up across the day from that tech show in las vegas. and let's take a look at

u.s. futures after what was a tough day across wall street the s&p and the dow seeing their worst day in three months. right now, the dow is expected to show a little rebound up about 13 points in premarket trade.

10:340 here in london.

i'm seem where a meady. >> and i'm will fred frost. global markets in the red with the nikkei posting its worst day in ten months. oil extends losses down 3%. wti now below $50 a barrel with brent with a fresh 5 1/2 year low. mum is the worst. iol is and verizon not commenting on reports they could be died up with a merger. bmw claims the top spite on luxury cars over daimler. you're watching "worldwide exchange," bringing you business news from around the globe. thanks so much for joining us here on "worldwide exchange." it's been a rough start to the new year to 2015.

the s&p yesterday verdict its worse day in three months since december 2013. cart the maic moves across different asset classes. oil was down about 6% in yesterday's trade. oiling at one point trading at a 9 1/2 year low. the s&p 500 down just about 1 points. nasdaq down four. diving into european markets, looking lower. the ftse 100 down about 1.1% in today's trade. the xetra dax, which saw a move of around 3% in yesterday's trade, right now seeing a move down by around 0.3%. the french markets down 20 points. italy saw its worst day since april 2012.

today a little bit of a rebound. yesterday, a 6% move to the downside. wti crude trading below $50 a barrel at 48.89. brent crude trading just above $511 a barrel but still down about 2.6%. the vision up 16% invix up 16% in yesterday's trade. gold up just about 0.6%. the dollars had a mixed day so far today. it's up against r sterling and the euro. yesterday, it was flirting with the blooder index with a nine-year high. let's look at it over the last 12 months. as you can see, a very strong performance in the second half

of the year. the broader index gained 12.4% against the broader index. that was the stronger year for the u.s. dollar in nine years. let's talk about this a little more in detail. we're joined now by jens nordic from nor murrah. a very good morning to you. thanks for joining us today. despise the move we've seen in the u.s. dollar over the last 12 months one could argue the dollar strength is stronger than ever. >> i think that's right. obviously the u.s. economic data continued to come out strongly and the gdp trend has been very firm for the last several quarters and looks to be continued at a strong pace here into 2015. even though we were worried about the oil price decline from a market perspective, it is something that he could be quite positive for u.s. consumption.

wheelchair seen that showing up in retail sales. that obviously in effect would be quite strong here in the first quarter, as well. so i think that basic trend is there. i'll emtz capital flows. we've started to see a big shift in the capital flow picture. we are a very big capital movement coming from the eurozone into u.s. sdrumts and that's one of the key forces that have allowed the dollar to be stronger and now the euro to be in this range we've been in for a multi year period. >> is this a case of buy the rumor sell the fact? at the moment, rates are up. will everything be fleshed out? >> so i think timingwise, the first part of a year is always very tricky. you have a lot of investors under pressure to put new trades

on. you typically see quite erratic moves in the year. then potentially even a reversal after that. i think the euro is right now breaking technical levels. we're testing the lows from 2010. i think a lot of incesters have very few positions over the christmas period. that is part of the momentum in the euro. but the question i think is when we get towards the ecb meeting, when we are supposed to get this announcement, will there be in the follow through? i think now is the time to have a euro position and potentially be a little bit more careful when we go into that ecb event. many times at the end of the year we see investors sell the roozers and going into the new year sell the winners.

do you think that is a strategy that will be put in place here in 2015? >> that is a strategy a lot of people follow in the currency space. it's more driven by constitutional investors that have different tax considerations. so i think it has more to do with liquidity, like a lot of investors are cautious into the holiday period because they worried about low liquidity, not being able to shift their positions around and, therefore, they tend to scale back in that period. that's why a lot of people have to get back to work here in the first few weeks. i have to say, if you look at how the euro has been trading over the last two sessions t quite remarkable that we continue to see interest rates so weak despite the very pronounced risk aversion. you can see how the yen was supported by the bad risk sentiment and typically the low yielding currencies and the euro certainly in that camp now benefits from risk aversion temporarily, but it didn't

happen yet yesterday. i think that shows how weak the trend is right now. >> it will be interesting to see how the u.s. dollar trades. we're going to continue thiszation with jens. but in the meantime let's take a look at the other top stories at the moment. the billionaire investor's new firm made a gross profit of about $3 billion last year. the hedge fund founded in 1992. he rebranded it after sac bleed guilty to security frauds after the crackdown on controversial trading. a bill will be approved today to move the long delayed project for the keystone

pipeline. hadley gamble joins us on set. >> what you have to remember is this is more about what republicans are going to be able to accomplish than it is about the keystone pipeline. they're coming back they're in control of both houses of congress and they're trying to prove to the base if we get powered, we can do something. and ahead of these 2016 elections, that's what they're trying to do. ahead of a keystone pipeline we're going to see the house pass it on friday. they've passed it before. we're going to see debates in the senate about this. the democrats are now trying to say let's make this more about jobs than anything else. and the white house has come out and said we know how many jobs will be created by this bill. that could lead the president to veto this legislation. if he does that it will go back to the senate and they're going to require 6 of 7 votes to get it passed. i think at this point you could see them getting 60 votes, but that's not a sure bet, as well

the. >> how about the affordable care act? >> he's going to get some pushback from the republicans. when you talk about obama care, this is a huge issue for republicans in the united states. they're going to try and make some sort of nominal move on obama care. essentially, they're not going to be able to cast it out entirely. immigration will be huge for the republicans. what they're trying to do is have some momentum, come out swinging and move they can actually get something done. >> >>. >> hadley gamble thank you for bringing us that story. it's nearly cookie season for the girl scouts of america. hadley, were you a girl scout? i was back in the day, just fyi. 2015 marks the 98th year the group has sold its popular snack. the scouts are debuting three new cookies this year. two are gluten free. the third is oat meet raisin called rah-rah raisin.

the girl scouts sell an estimated $800 million worth of cookies each year and have a new online ordering option this year. quite the business. >> what exactly is a girl scout? >> you basically sell these cookies, you sit outside grocery stores and raise money for the foundation. >> and so you're pretty good at making those kind of treats? >> you don't make them. you just sell the boxes. it's a really good tactic to have as a young girl pup get to learn to sell and market your products at a young age. >> i'm keen to eat those cookies when you're ready to make them. >> make them? i'm not so sure. i'm not a baker, as you well know wilfred. joe, becky and andrew are moving to new york city starting tomorrow. their special guests include bill ackman and ceo lloyd blank

blankfein. coming up on "worldwide exchange" exchange", it's time to accessorize. coach is about to high some high end shoes to its lineup of happened bags. details after this short break.

from more coverage of the dramatic sell-off we saw yesterday, the s&p and the dow having.their worst day in three months. let's talk about some of the big losers. goldman sachs, caterpillar and chevron were responsible for about 160 negative points of the dow's 331 point loss. dow transports leading the decline, it's worst drop in three months. not always a good sign when you see such a big fall in the trm transports index. >> absolutely. in the second half of december not having quite the effect as it did in the second half. people just ready to take profits after gains last year. let's move on to m&a or potential m&a. it's the tale of two possible

tie-ups today. one involvementing a name in the tech industry and the other from the telecom space. tie-ups between telecoms and tech and the other between designer shoes and handbag. let's get out to landon dowdy standing by at cnbc hq. >> aol and verizon aren't commenting on a record that verizon hasn't approached them about a deal. verizon hasn't reportedly made a formal offer. version rison is looking to expand its online content and mobile offerings. in november it was dischosed it bought stakes in both alo and yahoo! in the third quarter. aol rose 12% in after hours. today it's frankfurt, it's up

about 9%. verizon is down nearly 1%. coach could be looking at akwierting stuart weitzman. coach, which is known for its leather handbags, has struggled to keep up with fast growing rivals such as kate spade and michael kors. coach is down 35% in the past year. wilfred, back to you. >> lannon thank you very much 37. before we go to break, these are your headlines at this hour. global markets follow wall street sharply lower. a mixed debut for premarket trade. crude, now below $50 a barrel with brent slipping nearly 3%. deal or no deal? aol and verizon won't comment on speculation of a tie-up in the works.

let's have a quick look in on european markets. the broader index is down 0.6%. the ftse 100 is the laggard down 1. 2%. italy, bucking the trend d today, up 0.5% partly because yesterday it fell more sharply than the other markets which were down significantly. and following data out this morning, let's take a look at the u.s. futures following that sell-off for the s&p and the dow. the dow jones industrial up about 2 points in pretty market. s&p 500 down about 1. nasdaq down 3 points. let's get you a rundown of what

to watch this trading day. the december ism index is out at 10:30 eastern. still remains well above a reading of 50 which indicates the sector is growing. factory orders are expected to slip for a fourth straight month in november. look for earnings after the closing bell with micron reporting results. somic is also in focus. for a closer look at the fomc's divide over future rate hikes. joining us again is jens from nomura. we talked a bit about long-term prospects of the u.s. dollar but over the short-term at the margin, a bit of the data coming of the u.s. has been weaker than expect. is that a cause for concern ahead of these fed minutes coming out? >> we clearly have to watch the u.s. data picture very carefully. the ism number was weaker.

but i would know that when you have surveys running at a very very high level, then there's a tendency for reversion. expect expect the services sector that we have data for today to potentially hold up better. that should be very much domestically focused and, therefore, experience greater resilientcy resiliency. so i think if you look at the short of price action we're going to have into the minute it's important to keep in mind what has happened to interest rates. so we're at very very low yield levels, again, on the back of the risk aversion we've seen over the last three to four sessions. so it is very hard for us to see a big rally in u.s. interest rates and a pressure on the dollar from that side just because the level of the yield curve is sitting as such a very low level that it's arguably not pricing off a big liftoff. >> and the stronger dollar not

good for the multi nationals like ibm and mcdonald's. and we could see it play out in this earnings season. yesterday, the euro hit a 9 1/2 year low against the u.s. dollar. of course, a weaker euro, good for european corporate earnings. do you think, jen jens that at some point it will be seen as bad for european equities? >> well so i think we at this juncture where initially a move has an impact on corporate profits, that will feed through in the eurozone as well. then the big question mark is is it also going to mean that european companies become more excessive and, therefore, increase the export volume a and that feeds into gdp growth and monetary policy? so if we go back and look at what happens in japan over the lasted couple of years, we've

had a 30% move in the yen. we have yesterday to see any meaningful impact on exports. so there is this differentiation between what would be the profit impact and what would be the gdp impact. and i think in the eurozone's case we could have a long terd where the profits see some effect, but it takes a long time before the impact on gdp really comes through. >> looking right now at the euro trading at 119 against the u.s. dollar. so it is day where it is despecialing against the greenback. jensnordwig, thank you for your time. >> don't forget our u.s. colleagues are live in las vegas throughout the day today. tune in from 1610 cet for a whole host of interviews with the likes of ford and qualcomm's o to 50 cent. >> and consumer electronics show hates talking. we've been asking you what

gadgets do you think will define 2015? one viewer wrote in and he said deep learning virtual assistance could make an impact this year. but uber has to be the break through of 2015. >> uber? >> i can educate tech could be a big issue. uber was a big mover from last year as opposed to this year. >> will it actually go public? we'll have to see. >> we were talking about the internet and things earlier know show. i would like to see more traveling for -- i think that would be exciting when it starts to become affordable for the u.s. consumer. >> richard branson has been all over that. >> that's all we've got time for here on "worldwide exchange." thanks for watching. i'm wilfred frost. >> i'm seema mody. thanks, everyone. see you tomorrow.

good morning. cruise crushed again. stocks slide. the dow drops more than 300 points. 28 from the 30 components start the first full trading day of the year in red. in early trading, 48.48 on oil. and you've got a stock boost, aol. shares of the media company popping on reports verizon approached the company about a possible deal. and spacex set to launch an unmanned rocket just minutes from now. but it's the landing plan that really has people talking this morning. tuesday, january 6th 2015 and

"squawk box" begins right now. good morning, everyone. welcome to "squawk box" here on cnbc. i'm becky quick along with joe kernen and andrew ross sorkin. it is a very special day, january 6th is the epiphany. it's also joe's birthday. let's get it out of the way early. >> there it is. that's attractive. i don't like that. >> the beautiful birthday cap on. >> you look great. >> oh thank you. thank you. you know, i've been working out. wow. >> keep going. >> you look great for 80. >> thank you. thank you.