a sea of red following a sell off state side which will ensure that the dow had it's worst day in a month. >> prime minister alexis meets with them again but comments suggest the same sticking point remains. >> another volatile session for chinese stocks. main indexes give up gains

heading into the close despite moves to relax bank lebdnding rules. >> h&m shares fall after the impact of a strong green back. this after june sales jump 14%. >> speaking to local television he added the blackmail against athens is reaching a climax. this as the pressure continues from within his own party not to accept any deal that does not include debt relief. let's get straight to steve live in athens. there's been a noticeable change in tone over the past couple of days. there seemed to be this political desire to reach a

deal. but now here on thursday would you say optimism is waning? >> i think optimism is way too much already. if you recall my line on this earlier in the week. even if there was an agreement there's a lot of big problems for greece as well. we have been takening a sampling across the board. he's an influential one. thank you for joining us. you are a member or your party say member of the government coalition as well. the independent greeks. we heard reports that independent greeks would not vote for this deal. is that the case? >> first of all, welcome to greece. thank you for the invitation. as things stand as long as we have the information that we had last night, yes, there is no deal for us because there is not one regarding the structuring of the greek debt. >> vat indexes as well.

are these not essential to breach the gap between greece and it's creditors though. >> it's a mental gap. >> he woke up yesterday morning saying our proposal is with measures but we lost 64.8 billion euros of ttp. so this is kind of a black humor. what i mean is we proposed our measures. this is 60 or 70% austerity measures. >> where's the growth? >> the growth stands only if we have on the same side on the side part of the 1 billion of the packets front loaded payable this autumn plus we need

to have some money. so this 2% represents 3.6 billion. plus debt restructuring. so 6 billion reduced to billion. we can get this money for the greek economy and increase the gdp. >> if he comes back to exceed a lot of the demands, the deadlines from the imf as well can he sell that to his party, to your party, to the greek people? >> we need an agreement that makes sense. financial, economic sense, microeconomic but also makes sense to the mentality and to the greek economy. it cannot increase the gdp with more austerity measures. and this will result to an increase on the ratio debt to gdp so that debt would be even more unsustainable. i really do not understand why

the imf is already asking for a hair cut of the greek debt. they're imposing other austerity measures. >> but the greek people have spoken to always kinds of people. they are terrified about what this means if there snltisn't a deal. isn't it incumbent upon you to put your party aside and say we will deal with this. it keeps default and grexit at bay. >> we discussed this yesterday and we'll have another discussion a very important meeting tomorrow morning discussing our follow up decision. of course our first priority is to save the country and to save the greek citizens. >> you just said you won't vote for it so you should vote for it then. >> we cannot vote. this is an early death. a continuation of this early death. you know their position leaders

are somewhere else on brussels and trying to persuade the european leaders to create a new interim government. >> you think there are regime changes. >> the optimum vision maybe is to have no elections in europe and replace the politicians. this would be the goal but this is not good for the european taxpayers. >> that's pretty inflammatory. let me talk to you about something pretty unsavory. the words are not controversial. we stay in europe. but when you put them above the picture of the gates you create all kinds of bad feeling so you tweeted a picture of the gates with those words. we stay in europe. why did you replace the words with that? that is the most controversial thing you could have done isn't it? >> maybe so. but first of all i would like to

apologize to the jewish community and i issued a statement yesterday but this was not my paper. this was photo shopped and i posted saying that the measures are like the holocaust to the greek people. >> to the german people and 6 million views that passed away isn't that disrespectful, sir? >> this is why i apologize. a mistake. >> and as you said you have made some mistakes. >> everybody does mistakes but we need to be man enough and apologize for them. >> is it a symbol that the language has just gone way over top? in fact the negotiations have been conducted rather than trying to get some form of pragmatic solutions. it's gone too far, hasn't it? >> it's gone too far. our prime minister who is the leader of the country signed a

proposal for the creditors to humiliate our president and his signature in sending back and opposing his deal and imposing submission plus the humor of miss lagarde. this shows that we may have lost the confidence now and the respect to the other side because the other side should not humiliate our prime minister. this is the signature of the prime minister. this is the leader of this country. this is like we could humiliate miss merkel or even -- this is not respected from the other side but apart from everything i think that we should comealm down and find a solution today because this would be for the best of the european taxpayers for the whole of europe and i

hope that you will follow up on these changes very closely. >> thank you for your time. >> thank you. welcome to greece. i hope since you are here you will only have good news. >> let's hope so. i've been coming here for six years and i'm still concerned about the out come. let me hand it back to you. >> thank you for that now. before we get a view from brussels. let's bring you latest flashes coming from the swiss national bank. jordan the head of the swiss national bank says the swiss frank is significantly overvalued. there's no valuation and switzerland must face challenging time. the swiss has strengthened not too much off of the back of this. it comes one week after the swiss national bank kept interest rates on hold. these comments the prereleased version of a speech he was scheduled to make later today. another day and another round of tough negotiations ahead in

brussels. greek prime minister is meeting with creditors this morning after both sides failed again to come to a cash reforms deal. wrapping up talks last night a number of finance ministers expressed exasperation that the basis for an agreement wasn't on the table yesterday. this amid a stalemate of taxes, pensions, and labor reforms. julia is on the pulse of those negotiations and joins us live from brussels. >> thank you. the talks between the greek prime minister and creditors began again this morning and continued late into the night. into the early hours of this morning. in fact without any sign of a break through. they'll continue to give you a sense of the time line now. the other euro zone finance ministers are briefly going to repeat at around 1:00 local time and then the eu leader so we're talking merkel around a table at 5:45 tonight. that gives you a sense of the

timing but back to the conversation that steve was having this highlights the blame game and the name calling which is detracting from the essential negotiations that need to happen. it's about putting the greek people first and i think everybody is saying they believe what they put on the table here will actually benefit even the shuffling that they're saying feeds to happen in the pension system. it will help those that are the poorest too. everybody needs to get down and calm down the rhetoric we see around the negotiations right now but that hasn't met a lot of frustration from the finance ministers. >> we had a briefing of the process of negotiation and decided to reconvene as the

president of the euro group has probably said tomorrow at 1:00. so the process goes on. i think the problem is we probably need a proposal on the table before we can take a stand and i think what we're trying to work on is the same frame work that we had on the 20th of february. we'll get a proposal tomorrow morning. >> do you believe there will be an out come tomorrow? after the euro group meeting? >> i think the key is to keep the progress going. >> i asked the belgian finance minister on the way to the meeting whether he believed we're at the point in this process of negotiation whether we offer the greeks and take it or leave it occasion and he said it's pointless to talk about deadlines and brought me back to what i was saying before i went last week and came to brussels this week and that's the only

deadline that matters for the greeks is when they run out of money. so we have 4 to 5 days until we get to that imf payment and pensions and wages have to be paid too but that doesn't mean that furious work isn't going on to reach some kind of conclusion but anyone knows at this stage whether or not they'll be able to achieve that. never mind the troubles. guys back to you. >> thank you for that. one further flash broke on the greece story coming from the ecb. ecb's bank supervisor says don't expect second round effects of the greek crisis on european banks. very different situation today than we had four or five years ago. joining us now to discuss this further, stewart richardson. stewart. overall we have been yoyoing over the last couple of weeks of will we, wobtn't we have a deal. european markets are pricing in

that we will over the next couple of days. >> when you look at the european markets in the last trading days, we saw the markets try to carve out a bit of a low. a 4 to 5% bounce we have given up just a very small part of those gains so the market is saying okay we still think there's going to be a deal but the trouble is it will be the gains we saw last week. we're all focused on the very short-term here europe is probably picking up and inflation is picking up and the ecb is still printing money. for us it's a case of greece could be contained even if there's a grexit and maybe the mentality presuming that the ecb would ramp up the qe as they said they would do a month or

two ago. >> in the meantime they're in this war of words with european leaders. what do you think plan b is? >> there is no plan b. maybe in the last week or so they have been starting to discuss it behind closed doors. if they'ring going to seee going to see greece come out of the euro they need to give him some kind of rescue that will be in the european budget. i suspect there are talks needing to be had behind the closed doors but they need to start planning. >> you said that all focused very much in the short-term in the long-term or medium material things are pick up and making progress in europe. is there a deal particularly if the creditors cave in to greek demands that that could be worse for europe in the long-term? it might scuffer the austerity

that other countries are propose proposing. what would ireland and portugal and spain say if they get to go off on a differ part. you have 19 countries very different from each other. doesn't necessarily make sense and therefore any sort of little bit is going to cause concern. whether it's greece coming out and they say what about us? we need more relief too. this is part of the debate going on. >> stewart richardson sticks with us. now let's get a look at markets right now. >> let's have a look at the markets. stewart just told us we had a little bit of negative following strong bounces on monday and tuesday though the negativity eased over the first hour of trade today. we did open down at the bottom

of today's trade but as you can see we're only just below flat as we look at things right now. having said that we have had that negativity over the last couple of days look what it's done over the last week. plus 4.8% so we're still pricing in positivity compared to a week ago. across europe let's have a look at what they're doing today. ftse 100 just above flat. germany just above, france below. we don't know which way the greek negotiations are going to go. athens also just about in the green. let's look at bond rates because the german ten year has been moving around. are we in safe haven buying or selling? we're at 0.837% on that. italy 2.16%. highlight there the difference between the core. closer to 2.4% again.

we'll be discussing what the u.s. bond market is doing at the moment. finally let's have a look at euro's response to the greek crisis. a little confusing. the euro tended to go the other direction. that tends to be based around the spread between german and u. s. yields as opposed to greece specific issues. the euro flat as we look at things today. 11204. what's coming up? >> coming up on the show carl icahn rings alarm bells. he says investors could be walking into a 2007-like trap as he warns over a bubble in the high yield market. plus better today? the queen weighs into the debate over brexit on her official visit to germany. stand tuned to find out where she stands and a sale for the atlanta hawks as equity players, former nba star and the spanx

founder get in the game. that's coming up.

>> another volatile session in china after an initial rally fuelled by the relaxation of

bank lending rules. stocks jumped more than 2%. china is scratching the loan to deposit ratio. they are lending more than 75% of their deposits but this move could unlockup to $1.1 trillion in extra funding. let's get out to sri live for us for a look at how chinese stocks ended in today's trade. >> let me also add that is as you said another very volatile day but this is becoming the new normal because of the high leverage among the mainly retail investors. about 90% participation by them in the average. there's a new issuance so the idea is that's going to deprive the main board of some liquidity and that's why you're seeing the

move today down by more than 3% out performer in a sluggish market in the region. the reason we did well today is there's foreign investors coming into the market so broadly overall the move has soured. we have broken three days of fairly solid gains for the asian markets and you have this deadlock and road block in the greek debt talks to blame for that on your end. back to you now. >> thank you for that report. let's talk more about the trade in asia specifically in china with stewart richardson. stewart, chinese stocks particularly have been giving investors whiplash. is there an underlying trend that investors can extrapolate? >> for us we're pretty cautious on chinese equities. we think it's a bubble that is bursting real time here. when you look at the performance of the market in the last number

of months it more than doubled in value. it's more extreme than the tech sector back in 2000 in the u.s. the whole rally has been driven by retail investors jumping in opening accounts trading on margin. it's at a more extreme level than ever has been in the u.s. and now we see this price action and a bit of a bounce. people are trying to reduce leverage. this is the classic picture of a market which is a bubble bursting. so we think that's the right picture to be painting. chinese stocks from where they are today. >> what about the hong kong stock exchange? would you just sell both? >> if china does what we think it could which is to fall by 50%, the market is going to get hit hard. so we're avoiding all of those

parts of asia. we think it's a dangerous time for chinese stocks. >> would you say they could enter bear market territory? >> absolutely. >> you don't think there's any type of reason to be bullish on china and the expectation of further central bank intervention? >> we've had central bank intervention for 12 months now. every time there's data or tick down in the market there's calm that the central bank would do something. they have been doing it. they have been pumpingly liquidity in. they have been doing this the whole time and the market is still cracking here. we think fundamentals, the economy slowing down this is a fundamentally weak economy in terms of the growth trajectory and the markets being doubled in the last several months even though the fundamentals have been slowing down. so absolutely we think this is the right way to be looking at

the market across the board it's too high. >> i agree with all you're saying so there's not much i can can do on that front. where do you see opportunity. >> if we think about china and china is clearly the 800 pound gorilla in the region. low down economically speaking. there's a fixed asset investment and oversurveillance my and so on. we have this whole deflation nary force. that's going to cause a lot of problems for the region and, indeed, further problems for emerging markets overall. we think the one thing that chinese haven't done yet which they could do is to actually let the currency weaken. if they do that the deflation gets imported across the world into developed markets.

so you probably avoid the entire region. >> one of the problems they've got is can they let the currency weaken? so many corporates borrowed in hong kong dollars or us dollars and if you do see it weaken it's going to move further the problems the individual companies are facing. >> china has no easy answers here. they have created this enormous debt pile and growth is slowing down. partly because of the slow down in the debt accumulation. that's what they want to see from the physical point of view. they want a new avenue from growth. they probably have to weaken the currency. that put further pressure on different parts of the economy. >> thank you for joining us. much appreciated. stewart richardson partner at rmg wealth management. >> coming up, more telecom talk in europe. we dial into the sector, next. harge! ♪

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european equities treading water following a sell off stake side. >> greece weighing on sentiment as they meet with creditors to try to workout a cash reforms deal. but the same sticking points remain. >> another volatile session for chinese stocks.

main indices give up gains heading into the close despite moves to relax bank lending rules. >> it's all about the dollar. h&m shares fall after it warns on the impact of a stronger green back. this after sales jump 14%. all right let's look at european markets on this thursday morning. we started with stellar gains on the back of hopes emerging between greece and it's international creditors but as we approach the later end of this week optimism is waning and you can see that in some parts of the market but equity is holding on to gains. the the dax up and ftse mib around .8%. >> shares of h&m trading lower

despite coming in line with expectations. they warned over a very negative impact over the u.s. dollar. that's effecting shares to 2% to the down side. up 1% getting a boost of reports from preliminary bids for the south korean unit that could be valued around $6 billion. private equity firms and carlyle group were named as potential for the unit. they also filed a bid on thursday. now let's talk telco's vivendi and telecom italica replaced it by nearly 50%. they are the largest shareholder. vivendi up 1.15. up 0.3. let's talk more with stefen on this story. >> good morning wilfred. it's come back into the telecom

sector a few months after the french group sold it's telecom assets in france. it becomes the largest shareholder of telecom i thalia. they received an 8.2% stake and the french companies spend 1 billion euros which makes total stake of nearly 15% in telecom italia. the ceo doesn't exclude that the french group could buy a further stake in a company. in a statement it wants to support telecom italia over the long-term. they need access to the italian market for media content. but it's not clear what's the

main reason behind this. the main shareholder may want to play an active role in the consolidation of the sector in europe. maybe only wants to make a profit from this investment. remember he made his fortune by raiding companies. seema, back to you. >> thank you so much. now another euro group meeting in brussels over the fate of greece's bailout failed to yield a resolution. german finance minister issued a statement over the talks saying athens is no closer to a deal than it was on monday. let's get the full story with annetta live. >> he's not the only one highly frustrated. remember others are also singing the same song. so part of that song is also that there won't be a deal without the imf and the imf is the other party among the

institution which is are highly critical of what athens delivered so far. so he is calling on more effort from the greek side. whether that is realistic is another question. of course he wants a firm committee from reforms and that greece wants to accomplish the second bailout program with all of it's reforms actually listed. so what is also wanted by greece is sticking to the february list of reforms. they already agreed to. that's where he is as well. he might be the most vocal of them but he's not on his own. back to you. >> stick with us.

we'll talk about her majesty the queen which of course is in germany at the moment and she weighed in on the debate while giving a speech at a state banquet in berlin. the monarch stressed great britain is part of europe and the european union needs great britain and also warned of creating fractions. >> we have witnessed how quickly things can change for the better. but we know that we must work hard to maintain the benefits of the post war world. we know the division in europe is dangerous. and we must guard against it in the west as well as in the east of our continent. >> now annetta very interesting comments coming ahead of david cameron's employ to renegotiate britain's terms with europe. how did those comments from her majesty go down in germany? >> they go down pretty well. it is also in the interest of germany that europe is staying together and i think germans

want to keep britain also as part of the euro zone. i think that's also why angela merkel already promised mr. cameron when he came some weeks ago after his victory that there might be room for contract negotiations and that was reiterated yesterday as well from the president of germany who of course doesn't have that much to say but he is also reflecting the stance of the german government so i think they'll help him find a position in brussels which he'll be able to sell at home to his people: that's one side and the other side, what the queen was saying that she's urging everybody to come back to the table and not to let europe fall apart.

that's a very crucial method at a time when we're talking about greece leaving. perhaps britain leaving but also some tensions in the east. she's just taking a longer perspective. i'm sure you're the greater queen commentator than me. >> i don't know but i know she is starting to weigh in on the debate and you're saying in germany those comments taken quite well. we'll see how the negotiation process goes for the prime minister. thank you very much. >> moving on carl icon took wednesday to issue a stark warning to investors. the markets are overheating cautioning about a bubble in high yield debt. >> i am very concerned about the market and i think that the market is overheated. especially the high yield market and it's a sad commentary because i think the public is

walking into a trap again as they did in '07 and i think it's almost the duty of well respected investors to warn people. to tell people that you're really making errors. >> we want to hear from you on this. do you agree with mr. icahn? is the market overheated? join the conversation and get in touch with us at worldwide cnbc.com. >> joining us to discuss is pm and head of global equities at henderson global investors. do you agree with mr. carl icahn? he's not the only investor to point out challenges in the high yield market. in general what do you think is driving this interest in high yield? is it monetary policy underpinned by lower interest rates? >> it might be that simple.

we are in an environment where everyone is chasing high yield. there is an attraction there that you can't get elsewhere. especially in a world where bond yield versus been compressed so dramatically and of course the equity market having risen substantially, even the dividend yield on equity markets globally are also not what they used to be. it's natural they attracted a lot of attention. if you remember when we had the markets sell off on the back of last year it was a big focus given how important the energy sector has become as part of that index. it may not be truly comparable with the index highs we've seen in the previous cycle but certainly we like all investors are looking for signs of stress across all asset markets and it could be that the high yield market is providing us with a leading indicator of things getting tougher from here. >> i have been keeping an eye on the spreads. the yield differential between the high yield bond market and

u.s. treasury note contracting in the first half of 2015. what does that tell us? should you be selling high yield debt right now? >> i'm an equity investor and when i think about individual high yield issues i think about individual stocks i think there's the need to be selective in terms of what you own and to be broad brushed about most asset classes at this point in the cycle get more dangerous. you think about certain geographys or sector or certain stocks and it becomes the same with the high yield market. i'm sure there are issues there that are trading expensively but i'm sure a high yield debt investor would point out individual company specific issues where there's still value. it's hard to have that view given where we are in the cycle. >> but are you finding it much harder today than 12 or 24 months ago to find enough stocks with the bottom up view worth holding? >> we are are finding it harder. we are on concentrated

portfolios. and we can still find plenty of the stocks that meet the criteria for being 50% misvalued but sure with markets at higher levels is it harder? absolutely. are there parts of the market where we find very little value? absolutely. but for the bottom up stock pick i'm sure the case for a bottom up investor in individual high yield issues there will still be selective value but that word selective is important. >> you're saying in your notes you're starting to get more positive on latin america. tell us about that change. >> broadly emerging markets as a great example of a market we tend to avoid it over rekrencent years. but there's been hot geographies but there's markets left behind and brazil is one of those. the outlook for the brazilian economy is not great but a lot of that is increasingly being

factored into the market in terms of the changes that we worried about a year ago. increasing for investors and we can now find some value in some of those individual stock. >> emerging markets have become the story. where exactly are you finding value aside from latin america? >> i would look at brazil and individual stocks in korea. we were paying great attention to banks in korea. we need cheap banking stocks. >> not india and china? >> we recently bought shares in ici bank. >> thank you for joining us. head of global equities at henderson global investors. >> just going to bring you a flash coming out. he expressed concern about greek banks in a governing council telephone conference this week. just continue yoyoing on this greek story. that's the latest headline. now u.k. oil majors are moving higher in london amid reports

that royal dutch shell met to discuss the energy sector. it centered around debt obligations owed by iran. this comes ahead of a deadline at the end of the month for western powers to finalize a nuclear deal. >> let's get a check on how oil prices are trading at this hour. we'll see the crude price right above at 6366. yesterday oil prices did decline after data showed that crude oil supplies shower rank last week but inventories of refined products rose which is seen as a concern. wti crude just above 60 dollars. still to come on the show moving at electric speed. the ceo of car racing's cleanest competition right after this break. don't go away.

welcome back. it was all apologies at the annual shareholder meeting for scandal hit toshiba today. the story live from tokyo.

>> thank you wilfred. toshiba's president expresses deep regret and apologized over the company's major accounting scandal exposed in may. his remarks emphasized the seriousness by calling it the biggest crisis in the company's history. he was overstating of the profit over the past five fiscal years or so by a collective 55 billion yen and regular youities involved all the company's key businesses. this means they have not yet been able to close the books for fiscal 2015. it's also cancelled it's year end dividend and the president said the company has not decided when it can resume dividends but they're considering the dividend for the mixed income payment. after a third party investigation panel releases the

report in mid july and as a way to ensure that something like this does not happen again the company will point more outside directors and improve governance because only a quarter of the board members are independent. >> thank you very much. >> hbo announced the episodes of its two newcombdys will be available on facebook for a limited time starting on wednesday. the network's partnership with the social media website is exclusive as the episodes will only be available through facebook and hbo's official services. >> from pinterest to twitter the world of advertising is making a big push toward social media. kayla reports from the cannes lion festival. >> it's the biggest advertising festival in the world. it's been running 60 years but in the last decade there's an influx of international companies from the u.s. and also

heavily favoring the technology and social media space. they're all talking about what's changing in the world of advertiseing as so many models are being disrupted. one of those companies is twitter which is in focus very squarely here. because of the unheaval with it's slowing product line and growth. we spoke to ask about what it's like now that the ceo will be stepping down in a matter of weeks and interim ceo jack dorsey will be stepping in. here's what he told us. >> he had been at the company for about six years and now leaves the company in a strong and resilient place. the team is very focused on the products that we have set ahead. when i look at the pipeline it's absolutely incredible and we have started showing the marketers here what's coming and

the excitement that you feel in the room when we show them what's coming is just palpable. >> of course he is often mentioned as a candidate to take the helm of twitter. when i asked him about whether that would be a case. he shied away very diplomatic answer saying he's going to focus on the one thing he knows and loves to do. that's scaling revenue at twitter. much of twitter's tragedy like a lot of the companies here centers on video. it's vine it's periscope and niche media. for facebook it's about this explosion in mobile video views the company is seeing on the news feed. a top facebook executive is saying she hopes for mobile video facebook can strike lightning twice. >> we think mobile video is going to be way more significant than even the first mobile revolution was for facebook. we are seeing such increasing adoption of users spending time

looking at videos. >> and then there's snapchat whose ceo is hot on the scene here in cannes talking about the strategy and they've done something ground breaking for advertisers. that is turning your video cert cal. -- vertical. he thinks it will be a game changer. snapchat is in it's early stages of monetization. but it will serve to change the way that everybody here in cannes and globally thinks about how they monetize. for now, back to you. >> london major boris johnson may have found a new way to navigate the city's traffic. he will get behind the wheel of a formula e race car this season as the season wraps up. so the season of formula e wraps up.

it's the first major single seat motor competition in the u.k. capitol since 1972. joining us now is the ceo. thank you for joining us. coming to the end of the first season you were pleased with how it's gone? >> very pleased. we come to launch a new championship in such a short period of time with a new technology. full electric was very challenging and we made it. we're here. >> there was always a desire to have a formula one race in london. >> we're electric. they made us take it one year ago to the park and raise the car around and if anybody woke up there was no race. nobody woke up so we're having a race. it's easier for us to get in the heart of the cities. >> when you think formula one you think abu dabi.

what's the benefit of bringing this competition to london? >> we want to give a message that the electric car is the solution for the cities and we always wanted to race in london. london and the u.k. are the heart of world motor sport. the technology is here. motor sport rally. all the technology is here. our technology comes from formula one and the mayor has been incredibly supportive and tomorrow he'll be in the car and giving a little spin. it's where everybody wants to race. >> i look forward to seeing him get into the car tomorrow. but let's talk about the cars themselves. true sports fans competitive fans, they want to see the very best on display. e cars they're quite a lot slower than norm eula one cars. is the sport always going to be slightly inferior to formula one? >> well you know technology will tell and tech nlg may make

these cars much faster but i think formula one will always exist. there's still horse races but we don't go with horses around the city. so we'll still maybe see them in 100 years but everybody will use electric cars. the technology is going in the electric direction. batteries will improve more and more and we'll see the cars going faster and faster. we're the beginning of the journey but we had to start somewhere. >> when will electric cars become a clear choice for players? >> when batteries allow for it. these may take five to ten years. it's like your phone. if you don't need to charge your phone for a month, that would be fantastic. if you don't need to charge your electric car for a month, everybody will have them. that's technology. >> what are your thoughts about tesla in the electric car space and the battery department as well? >> tesla is changing the perception about electric cars and that's what we're trying to do too and also what they're doing now on the storage energy has incredible possibilities

because imagine a world in which you have solar panels, batteries that store that energy in your house and then electric cars and all the world is using that. >> part of the whole process is to try to help the innovation that you're making be passed on to commercial cars. how does that information get passed on? individual teams loyal to their owners or the sport as a whole doing it for the good of the world. >> no, the sport as a whole wouldn't make it. what motivates people is competition. people want to win. they have the technology to win the championship and we have factors manufacturers announced with us. and they'll have the technology to win. >> and final quick question you're also a fan of formula one. who do you think is going to win the championship this year? >> i'm a big fan. for me lewis hamilton has the

right mind to win the championship and is a great driver. >> thank you for joining us. much appreciated. i hope you enjoy the weekend in london. the ceo of formula e. >> coming up on worldwide exchange disney's hit franchise frozen continues to heat up shares as it dlifrselivers a dividend hike. we get you the full story coming up.

>> and your watching worldwide exchange. welcome everyone. >> here are your headlines from around the world. >> u.s. futures point to a solid rebound with the dow jones average up triple digits after the index has the worst day in a month. >> greece still in focus as alexis meets with creditors to try to thrash out a cash for reforms deal but the same sticking points remain. >> disney hikes it's dividend as the giant reaps rewards from frozen and the upcoming star

wars debut. >> president obama scores a victory getting the green light for fast track trade authority that moves him closer to completing the transpacific partnership. >> a sell off on wall street catching the attention of investors. part of the story has to do with greece but the other story is carl icahn choicing concern over stocks being overheated. >> i think really interesting to hear him coming out and saying it. a lot of people have been being bearish. the u.s. has been very resilient with other markets are selling off around the world. there's a lot of con sernscernoncerns. greece isn't the main one. >> last week the conversation is around fed policy but it's interesting to see how the u.s. markets have been taking cures in europe and particularly the

lack of negotiation between greece and it's creditors. >> certainly there's interest from both sides of the atlantic on this story but i don't think that whatever happens there will have a huge impact on the u.s. on a six month onwards point of view and the valuations are too steep. >> the dow up 91 points in premarket trade. the nasdaq up 21. we did see apple and netflix shares move to the upside. but yesterday's stocks did close at the lows of the day. major averages down for the first time in three sessions. carl icahn suggested that stocks were overheated. particularly the high yield bond market. here in europe a very differ story. we're looking at losses across the screen. the cac 40 down about 11 points.

the greek equity index. two days back it was up about 9%. well now as optimism waynes we have seen investors take it out of the greek equity market. it is down four points. that's the topic of discussion in the atlantic. >> the euro stocks 50 still up over 4% over the last week which highlights that overall people are still much closer to expecting a deal than two or three weeks ago. let's have a look at the bond market as well. that's moving in a similar direction to equity markets. so we've seen a little bit of a safe haven trade but nothing too significant. greek yields 11%. 10% yesterday and the day before but of course in recent weeks we

have been much more like 12 or 13. so again in general over the last week more positivity even though over the last 24 hours at the margin more negativity. let's look at currencies because of course the euro moves have been a little bit confusing not moving in the same direction as the equity market. reacting to the spreads between germany and u.s. yields. it's off 15 basis points. 1119. seema has flashes for us. >> a meeting underway in brussels. creditors have given greece until 1100 cmt to produce a new workable proposal. they also say if greece does not deliver, creditor institutions will submit their own proposal to euro zone finance ministers. let's get out to julia who is live in brussels with more on that story. over to you.

>> really getting down to the wire. it was interesting when i was waiting for them to arrive yesterday i said are we getting to the point now where the time is so limited that we need to provide them with a take or leave it offer? and he said look this is not the time to keep talking about deadlines. as far as the greek's are concerned the only deadline they care about is when they run out of money and that starts to look like tuesday with the imf payment and the fact that they have to make payment of pension and wages next week. there's still a concern here that actually these talks could continue to drag on over the weekend. the crucial person to look to the comments of when he arrives in the next hour or so yesterday when he left that meeting he said there wasn't much optimism. he said there hadn't been much progress from monday. when he came out on the meeting he said there hasn't been progress since thursday. so we have gone nowhere fast.

it shows you some of the concern. it's about what can be presented to greece. it's expected to be similar to what they were presented with back in june and we're looking at stringent changes. they don't want to see the tax raises that the greeks presented on companies and the wealthier greeks at this moment too. so at least on that point they're in agreement that they don't want further tax rises. imf also hanging on here for some level of write down and this is also a huge red line as well at this stage and we know what angela merkel said in the past. they have four or five hours now. so really getting down to the wire but still a few days left i'm afraid in terms of the real deadline as far as the greeks are concerned. guys, back to you. >> for now, thank you so much. let's get out to steve live in

athens and creditor institutions are giving greece until 1100 am to produce a new workable proposal. what will it take for the greek government to accept the painful reforms that the creditors are suggesting? >> well the greeks would turn around and say what will it take to get the creditors to understand they're in a terrible situation here and try to sell a package to their population which has seen depression-like circumstances is very tough to do. i'm just saying that's what the greeks are saying and of course the distrust between the creditors and debtors on both sides is extraordinary and that's why we're seeing the deadlines. they both think the other has an agenda. trust me. the government here thinks there's like an undemocratic agenda here talking to other parties that don't want a democratically elected group running greece and on the other side there's concerns about greece going into the arms of the likes of the russians so the distrust is enormous. i want to take another angle and it's one that wilfred frost

raised earlier and said i don't believe the ramifications of the greek situation regardless if there's a deal or no teal will effect the u.s. respectfully i completely and utterly disagree. i'll give you one reason of why i think that's so. if europe remains and there isn't a deal. that will keep the debt crisis going an it's going to ruin confidence and keep the euro depressed. that's going to put more pressure to the upside on safe haven currencies which is looking december or september meeting to raise interest rates and start an interest rate cycle near 2% next year and higher there after as well. so this whole single engine of growth scenario which is putting upside pressure on the dollar would continue and it would be exacerbated by a continuation of the greek crisis. that is not good news for the united states if it's trying to sell it's wears internationally. a lot of the u.s. looks domestically but 50% of those earnings are look outside of the

country as well. that could have long-term ramifications. >> an interesting take on that but i think we have seen growth pick up in europe over the last couple of weeks and, indeed months. yes, greece is certainly affecting sentiment at the moment but it's a tiny portion of the economy and while it might continue to effect sentiment here in europe it's not effecting growth itself and the u.s. continues regardless and i'm bearish on u.s. equities in general but not because of greece. >> here in lies the problem you see if it was only that .3 of global gdp i'd tell our viewers at the united states to go back to bed and not worry about it but i want them to sit up with their coffee and wake up and smell it because this isn't about 1.3% of europe's gdp, it's about the contagion risk and despite the fact that at an institutional level we think the ecb may well have the backs of a lot of banks in europes, we may

have enough liquidity but if it leads to some form of change in terms of the attitude of them some of the parties are doing well in the polls this could lead to a sea change. remember that district attorneylast year where obama was reading the book, people are worried about the poor and if there's a change across europe that could have ramifications for policy at the heart of europe as well which could mean a less robust economic recovery which could effect equities here and i'm sure globally as well but it's a great debate and merit on both sides. >> what do you think is worse for european growth? a fudge deal which means this will flag itself up again in six months time or if they get pushed out all together or perhaps the worst thing is a deal where the creditors cave in to greek demands and then you

get the likes of the irish that have gone through a painful austerity program and have come out the other side or italy, spain and portugal that say hold on if greece get let off we get let off too. that could be more stabilizing than no deal at all. >> i think you're right. both scenarios are bad. do i think a grexit in the short-term is going to be good for this country and europe? no. i don't. in the short-term you could see all kind of issues with the greek banking system which could pressure on other parts of the european banking system. when we talk about a grexit and default we talk about the creditors losing their money and institutions across europe taking a hit. some in the region of 300 billion euros. we talk about the imf taking a hit on that as well. for the imf to lose it's tens of billions. for the european institution and german lenders that's a very large and tangible hit.

add to that the concern about the politics that i just mentioned and putting more pressure on other parts of the world doing well ie the u.s. which is doing quite well then you have a whole host of issues as well but do i think having greece staying in and working toward an acceptable growth solution is a better scenario in the short-term, quite possibly sir. >> thank you so much. they're wrapping us sadly. maybe they'll connect us during the break or maybe we'll continue it on twitter. now ecb is proving funding request on emergency liquidity assistance for greek banks. we have a comment suggesting this wasn't going to happen all day. >> in a way. >> it's playing both sides. providing the liquidity that the greek banks need but at the same time they're taking a very hard lined approach.

>> absolutely. i think hard lined is the right description for both sides. just to clarify it was half an hour ago. my mistake there. >> and coming up on today's show -- actually we'll get you a look at the top stories right now. disney is boosting it's annual dividend by 15% and will start paying it twice a year. the company continues to benefit from the mega movie hit frozen and is looking ahead to the new star wars out in december. disney will start selling new merchandise ahead of the films release in september. let's take a look at transunion as well. that's a big story. >> it has. priced at 22.$55 a share. it's valuing them at 4 billion. they help analyze customer data and verify awe denties. it also lets them view credit scores. shares will trade under the

ticker tru. >> shares of netflix hit record highs. find out why one of the top investors is cashing out. you probably know xerox as the company that's all about printing. but did you know we also support hospitals using electronic health records for more than 30 million patients? or that our software helps over 20 million smartphone users remotely configure e-mail every month? or how about processing nearly $5 billion in electronic toll payments a year? in fact, today's xerox is working in surprising ways to help companies

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welcome back. let's get you some headlines. u.s. futures point to a strong rebound after the dow has the

worst fall in a month. but creditors set a new deadline for fresh proposals and advertiseny delivers a crowd pleaser with plans to boost it's dividend. >> let's get you a run down of what to watch this trading day in the u.s. weekly jobless claims are expected to pick up from the previous week. also at 8:30 we get may personal income and spending. both are forecasted to rise after spending was flat in april. two fed governors are speaking today. barnes & noble report results before the open and nike earnings are out after the close. >> now carl icahn took to the internet on wednesday appearing on cnbc's fast money halftime report to issue a stark warning to investors. he says the markets are overheating, specifically cautioning about a bubble in

high yield debt. >> i'm very concerned about the market and i think the market is overheated. it's a sad commentary because i think the public is walking into a trap again as they did in '07 and what i have said is as i get older it's almost the duty of well respected investors like myself i hope to warn people. to tell people that you're really making errors. >> now, we want to hear from you on this. do you agree with mr. icahn? is the market overheated? e-mail us. interesting to hear him coming out and saying this seema and there's one level to which it's a little odd how he can always come out and how everyone immediately listens but it does have a big effect. what do you think? markets overheating in the u.s.? >> when you look at valuations the fact that is s&p 500 is

trading at 18 times earnings well above it's historical price to earnings ratio that suggests that markets are getting pricey here but interesting that he's voicing his opinion. clearly it's hard to find value in this market. >> absolutely. i think the interesting point is that so much pushed equities up because relative to other asset classes they hook add track tif. i don't see that people think in absolute terms anything is attractive at the moment. there's been this extraordinary wall of money that has come into markets and had to find a home somewhere. what happens when liquidity is withdrawn because of rates going up? i don't think we have a clue how it's going to play out. >> that's the underlying fears in this market but he clearly still sees value in apple. he says he has not sold one share in shares of apple. he did, though sell his position in netflix. he has made $2 billion in profits off of. what a winning trade. >> absolutely nailed that one

and it was a trade lead by his son. interesting his view on apple. it's not quite the same. netflix he got into early and went up 500%. >> $58. >> where as apple has already tun well. but that's where he's putting his money at the moment. >> bought netflix at $58 in may of 2012 and now here in 2015 it's at around 700. so pretty amazing. still to come on the show, obamacare on life support. we look ahead to a supreme court ruling that could result in 6.4 million americans losing their health insurance subsidies. that's coming up.

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the u.s. supreme court is expected to rule on a key case impacting the few tour of obamacare. the case will determine whether the u.s. government can continue subsidizing health insurance of people in the 34 states that declined to set up their own health care exchanges. the plaintiffs argued the language means the subsidies are only available through state run exchanges. let's get out to trayly live in washington with the latest. tracy. >> good morning. that language amounts to four words in a 2700 page law established by the state and those that are against ball balm care say if it says the state it

means the state. so for those 34 states using the federal government's exchange people there cannot get the subsidies. on the other hahn supporters say that it was never meant to exclude people in the states that are using the federal exchange and it's pretty clear in context that they are included. there's 6.4 million people getting billions of dollars every single month from the government to help them pay for their health insurance. if the court takes a strict interpretation here they will no longer get those subsidies. their health insurance costs would go up 200, 300% every month, unaffordable for most people being covered under the affordable care act. so it could be a crippling blow or some say a fatal blow to president obama's signature health problem. the question then becomes what would congress do about that? would they tweak the law to allow people to continue to get

that extra money or as congress has tried to do dozens of times now would they let it blow up and try to figure out a way to replace it? >> thank you so much. the u.s. senate approves a fast track trade bill. passing on wednesday. it gives president obama the authority to seek final lending for the transpacific partnership. congress will be able to approve or reject such trade deals but won't be able to change them. >> jp morgan is in talks to settle whether they steered clients toward their products. jp morgan disclosed it received subpoenas over how it sells mutual funds. price action off 0.8%. still to come here on the show

even warren buffet has thrown his support behind passive investing. so what's the advantage, if any, of paying up for actively managed funds? >> we can tell you what investors were selling yesterday. the dow transports as well as bio tech but we could see a rebound, dow up 88 points in premarket trade.

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>> you are watching worldwide exchange. i'm seema mody. >> i'm wilfred frost. >> u.s. futures point to a rebound on wall street a day after the dow jones suffers the worst day of the month proven by the transports. >> but greece could keep gains in check. this amid reports creditors have given them deadlines for reforms before he submit their own. >> all is well in the magic kingdom. disney hikes it's dividend as they reap rewards from frozen and the upcoming star wars debut. >> president obama scores a major victory in congress and moves in closer to completing the transpacific partnership.

>> all right. let's take a look at futures. the dow saw a triple digit move to the down side. perhaps investors are taking advantage of the movement in stock by seeing this as a buying opportunity. the dow is up 84 points. the s&p 500 which has been trading and flirting in record high territory up about 7 and nasdaq up about 20 points. remember leaders once again converging to perhaps reach a solution, a compromise between greek leaders and kredcreditors. no deal. that's keeping investors on edge. a relatively muted reaction in european equity trade in comparison to what we have been seeing the past three days. hugging the flat line down about 10 points or so. ed on of course we're keeping an

eye on the greek equity index. it has seen volatility. trying to get a sense as to where the negotiations stand. down just about 3 points in today's trade. >> let's have a look at euro rates as well. euro dollar is off about 0.4% today. a bigger move still against the jen. let's talk more on this topic. good morning to you. thank you very much for being with us. when we've had negatively they have fallen but the moves in the euro have been different. why is that. >> they go up and down at any given moment in time but the exchange market has thought for sometime at the very last minute or the minute after the last minute or the minute after that there's a strong likelihood some sort of deal will get packaged

together so they're assuming that and they're actually moving around in close correlation with ten year interest rate dlirge shls shl -- differentials so they're becoming more are responsive to the relative sentiment about european and u.s. economies and monetary policy as opposed to the greek, saga is the wrong word which in currency terms is more likely to effect them. >> does that mean that the market is saying we won't have contagion regardless? >> it looks as if it's saying that. we've seen this before. at the last minute there will be some kind of deal. we don't expect some sort of solves everything for the long-term and we never talk about the greece debt crisis never again solution.

nor does it expect grexit and there's a high degree of conviction that don't do -- they'll do something. the debate is if they don't manage it by friday does that automatically mean that the european central bank stops funds at the end of the month or if they see signs of progress would something happen? so it's seen this for long enough that it's kin cal but i wouldn't rule out if greece leaves the euro you'll get a reaction. >> when looking at the greek debt talks compared to 2012 one factor is market volatility. we've seen some type of behavior. is that because they're lease worried about it playing out?

>> to a large degree there's this conviction that we have seen this drama before. we know we'll get nervous and confident but we think it's going to be okayish. >> we had some hawkish comments this week out of the bank of england. do you think it's possible that the bank of england could move before the fed does? >> unlikely but possible. we're hearing slightly more hawkish tones generally and i think the main observation was if you look at the acceleration in wage growth in the u.k. it's faster than he might have expected 6 or 9 months ago and yeah, it is. there's been a pick up in wage growth in the last few sets opp of numbers and if that continues they would like to take some of the complacency out of the

market swe market. we spent 12 months. and it's very hard to push rate hike expectations into the second half of next year. so we can only move one way. >> thank you for joining us. much appreciated as ever. now active investment managers be ware. a new report from morning star is lending more support to the massive investment case. according to the group's 2014 barometer they underperformed across all asset classes. especially across a ten year period. the u.s. mid cap category was the only area where they out performed. over the short-term they tended to out perform slightly across bonds and not equities. the report suggests that high fees don't necessarily translate

into better returns. this is an interesting report that's been on going for a few years and in particular the aspect of over the long-term passive is better. that's an indictment of the industry particularly when they factor in the performance fees that hedge fund doesn't have any rational behind it anymore. >> given the uncertainties right now in the market the lingering greek debt talks and fed policy when and if janet yellen will raise rates is another reason to take a passive approach when looking at stocks versus active. >> and if we dive into some of the more minor points of this report, when you are looking at actively managed u.s. funds the value fund is doing better than the growth fund which i think is is interesting. it's akined in that sense and in particular foreign manage funds of u. s. equities doing much better than domestic manage

funds. so in that regard it's an indictment on the sort of actively managed part of the u.s. market. >> that's been a big trend here in 2015. stocks have been under pressure but they're still up vastly out performing the u.s. stocks and foreign stocks are companies that have high exposure overseas out perform the stocks with most of their revenue in the u.s. >> it's interesting having it on the back of it -- icahn with the amount of money he made in netflix. that gets people to invest because they dream of the big pay off. >> but you also have to caution this is carl icahn who is a spart smart investor. retail audience has to take an approach in what intelligence they have on the market. >> we have another set of

flashes from greece. ecb flashes coming out saying leaves it unchanged for today. greek central bank didn't request additional emergency loans on thursday. one or two conflicting reports over the last hour on that topic but the overriding one coming now. ecb leaving ala for greece unchanged today. >> disney is boosting by 15% and will start paying it twice a year. the company continues to benefit from the hit frozen and is looking ahead to the new star war which is is out in december. disney will start selling new star wars merchandise ahead of the films release in september. >> mcdonald's plans to sell off of its 413 company owned stores to a franchise operator. the move comes as the fast food giant continues to try to cut costs globally and turn around it's business. they have nearly 20,000 full and part time workers. it controls 2.5% of china's fast

food market. it's off one quarter of a percent. >> let's switch focus to sports. the nba signed off on the sale of the atlanta hawks franchise. the group also includes former nba star grant hill and founder sarah blakely. the hawks that made the eastern conference finals this season were put up for sale last year after the discovery of a 2012 e-mail containing remarks about the team's fans and game operations. >> coming up on worldwide exchange, hatching a plan for the long haul. gm reveals the new chevy cruz as it pins growth hopes on the new vehicle. we'll get behind the wheel, next.

welcome back. the dow jones transportation average is back citing 2% in yesterday's trade and now down more than 10% from the high it hit in november of 2014. yesterday all 20 stocks on the index traded lower lead by hunt. kansas city southern rail stocks in particular underper forling after we got a negative read on rail volume. some of the biggest losers there, union pacific was down by around 2%. the dow transports is seen as

the leading indicator so when it sells off investors pay attention. >> an interesting day yesterday. second half of the day was disappointing in the u.s. let's talk about politics. it took a few extra weeks. congress put it's stamp of approval on a bill seen as key to moving president obama's trade agenda forward. let's get to landon with all the details at cnbc hq. >> that's right. the u.s. senate voted wednesday afternoon to pass the fast track trade authority bill. it gives president obama the ability to seek it. it must give congress 60 days to review any trade agreement. fast track authority lasts for up to six years and the vote comes as congress is trying to wrap up parts of the package including aid for workers that lose their jobs as a result of a trade agreement. the senate is expected to pass that bill soon and send it to the house where it was initially

rejected. it would be the biggest trade agreement in a generation ranking with nafta in the 1990s. a dozen countries are involved including the u.s. japan, and canada. it would cover 40% of the world's economy and raise annual global gdp by 300 billion dollars. shinzo abe called it a big step forward. japan and other countries wanted fast track authority in place before they make final offers on ttp. trade ministers are expected to gather in a secret location in the u.s. sometime in mid july for a week long meeting to wrap up remaining issues. those include how much tariffs will be lowered on products ranging from auto parts to beef and how long pharmaceuticals should be protected from generic competition and which state owned businesses should be covered. it will be approved by the member countries parliaments. the white house is hoping to get the tpp back to congress before the end of the year and ahead of

the 2016 political season. >> thank you very much. >> general motors took the wraps off the chevy cruz in detroit. it's bigger roomier and more powerful but also 250 pounds lighter. phil is all over this with the full story over the phone. hey, phil. >> hi seema. it was the cruze being unveiled last night but for a lot of people, many of the journalists that were there, the question that they wanted answered is one that they left the event without many answers to because mary bara was not going to talk about suggestions that have been put aboard general motors and fiat chrysler looked into a possible merger. she repeatedly said i'm not going to comment on that. i've said everything i have to say regarding that. general motors feels it's on the right path. last night was all about the cruze and while the car was

being unveiled and general motors may have wanted it to be strictly about the new chevy cruze the truth of the matter is for many investors and many following the auto industry the topic that they're most interested in right now is whether or not fiat chrysler can push general motors into some type of a discussion about merging the two companies. sergio was in italy yesterday. he didn't make many come men which is many people expected him to make regarding the possibility but he believes the best fit for both companies is to get together. that said mary bara and the executives are addiment that they're not in the position right now to consider a merger an last night they were in no position at least in their feelings to talk about that possibility. guys back to you. >> thank you so much for that. before we go to break, let's remind you of the headlines.

u.s. futures point to a strong rebound after the dow suffered the worst fall in a month yesterday but greece could keep gains in check as they set a new deadline for fresh proposals and disney delivers a crowd pleaser will plans to boost it's dividend. we're back in a couple of minutes.

>> stocks will open higher. the dow up 67 points. nasdaq up 11. yesterday was the bio techs and transports that lead the market lower. down over 1%. the biggest losers there, alexion vertex nasdaq up 11 points. >> that's the case for u.s. markets but not in europe where we're looking at decliensnes but

only small declines. germany and france down 0.3 and 0.4 respectively. it comes off the back of a strong week for european equities. the broader stoxx 50 is up over 4% for the last week now the latest flashes on that have come from the finance minister. it is getting harder by the minute. sunday is final deadline. euro group to look at new proposals on greece. so those are the latest ones. again more coming from various members of these negotiations certainly we still have not got any final deal yet. the euro is off 0.3% today. 11168. >> these comments coming after a deadline for new proposals from the greek government reportedly passed in the last hour. creditors warn if a freshman was

not presented by 11:00 a.m. they would go ahead with their own proposals by midday. let's bring in julia who is live in brussels for us. steve is live in athens. do you think we could reach a deal by the end of day? i think the interview is that the finance ministers will have something to discuss. yesterday they didn't have anything to discuss. that was vaguely embarrassing for many of them. reluck about the to talk about it and then having the counter offer on the table is something to talk about. i don't think we should underestimate how important that is. they're all on the same page and this is ultimately what they have come up with when they're saying this is where we have come to now. you need to take it or leave it. what's hard to predict is what

difference that will make to the greeks at this stage. we know a lot of the stance has been about hampingamping up the drama and the question is whether or not this will make a difference and he's to keep them within the euro zone. then we have around a four hours time to have discussed. she wanted a deal agreed by the finance ministers. the hope then perhaps a sentence on debt negotiations going forward. obviously that's going to be contingent. we don't know what's going to happen but it's interesting to hear in the last few moments ago change in effective deadline by saying sunday is the deadline. it would make sense though. if we get a deal the greek versus to discuss it over the weekend. germany has to discuss it on monday to extend the program on

tuesday guys that's where we are. >> let's bring you into the conversation. it seems to be entering the later stage of these talks. what's the reaction from those in athens. >> we've seen protracted amount of times as we have seen. everyone i speak to and they say why are you here? i say we're covering the greek situation they want to talk about it. i think people are terrified of what's going on here. i don't want to tighten the rhetoric around here but a lot of people are very very scared about what's happening. a lot of people just want to stay in the euro. they fear a return and fear the instability that could come with

that as well. on the political side of things have to say there is deep deep distrust between the greeks and indeed the creditors as well but among the greek competitors as well. it's not like the bland politics in the united kingdoms. everybody ends up with vaguely similar policies. in greece you have from the far left to the far right as well and a whole host of these parties that may or may not have to take part in a vote to get through this as well. because they're going to lose support from the left wing. it's going to lose support from its coalition partners potentially and if a nongrowth agenda are in there or the wage cuts take through or pensions come through too aggressively. so it will happen in this build beg me the greek parliament after a deal is agreed in brussels is going to be enormous as well so the time scale is critical. >> steve you mentioned the fact that you and various colleagues

have been going from greece over the last four or five years. do you think the three of us on screen will be going back to greece for years to come or will we get a deal which puts this to bed permanantly? >> i'll come here on holiday every single year if i could in places that are absolutely brilliant. will i come back to greece? absolutely. i love this country and the people as well. because when you have debt going up from 180% debt to gdp to 200% and you don't get release on that and it's difficult to get the debt level down. i'll be here for a long time as well. >> the greek story done feel like it's going to end any time soon. thank you for joining us from

athens live. we have been asking you do you agree with carl icahn? is the market overheated. that's seen as one of the reasons stocks sold off yesterday. he says at least a 10% correction in the midterm. our correction is overdue but the u.s. stock market is still in a long-term secular bull market. >> we have just been talking about greece. i wonder whether you think greece itself is a reason that could derail the u.s. equity market. what do you think? do you think greece is causing people concern or is the u.s. equity market irrelevant? >> no it's absolutely something that investor versus been watching closely this week. i think fed policy dominated the investor discussion but because greece is facing economic collapse and traders are keeping an eye on it. >> the debate continues. it will be picked up by our colleagues on squawk box coming up. that's all we have time for.

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>> emergency talks in brussels today and new fears that creditors could be at risk for political rebellion in athens. breaking overnight, the ceo saying his company still doesn't know why it's air bag inflay tos were failing. now this as millions of cars continue to be recalled and now this morning an nbc news wall street journal poll on what americans think about two of the biggest cases before the supreme court. health care and same-sex marriage. and holiday road a stronger economy and cheaper gas means more people expected to travel for the july 4th weekend. the busiest independence day travel since right before the

recession. squawk box begins right now. >> live from new york where business never sleeps, this is squawk box. >> good morning and welcome to squawk box on cnbc. joe is off today. we do have new numbers from the labor department. americans are putting in more hours on the job. that is probably not surprising but on average we're spending more time sleeping and watching television. >> productive. >> we are a productive society. we'll bring you the numbers including how they differ for men and wil later this hour and i have guesses about how they differ. check out the u.s. equity futures at this hour. it looks like things are rebounding from yesterday's declines. the dow was d