good morning. central banks. they moved to help the currency and it fails to stem the selloff. the russian markets sink with the oil price route taking its toll on the stocks and ru e

ruble. >> vw trades in the green. condolences pour in for david bowie after he dies at age 69 following an 18 month battle with cancer. hi, everybody. happy new year. i'm seeing you for the first time this year. i'm back. a lot of market turmoil upon us again just like we were looking at last year. some are saying it's worse. we will talk about that. china has guided the yuan higher. securities regulators saying that the fx rate remains stable and is warning against an over reaction of the taking down of the country's currency by foreign institutions. in a newspaper interview, a foreign exchange official said the yuan remained stronger than

what it should have been given the depreciation of neighboring currencies. on top of that, chinese markets on lows not seen since september. this happening amid the currency and economic uncertainties. producer prices marked the 46th month of declines. keep in mind we have more data coming out this week as well. on wednesday we get some important chinese trade data through two so quite a bit to look at. eunice yoon is in beijing and sri. let's head to eunice for the latest happenings. you've been talking to a number of people. paraphrase as people are joining us what exactly is happening and what exactly the reaction is from where you are. >> reporter: so far there are two things that we're seeing. bankers have been telling the local press that they are being instructed not to discuss the

exchange rate with their clients. also to not recommend that their clients buy foreign currency. also, we're seeing a lot of fear. people who hack out around the banks, there are so many people who want to unofficially change money and they've said over the past few weeks they're seeing 40% more clients and people coming to them hoping to change into u.s. dollars and canadian dollars for the most part. they said the average amount people are coming to them with is $200,000, that they're putting down -- they're saying

that the way it works is that they'll take a 20 remb deposit and the next day they're able to arrange $50,000 more for these people. the demand so great right now and that they're actually even having some difficulty trying to get the u.s. dollars that these people are clamoring for. >> thank you for now, eunice. let's talk about those markets in asia, sri. take us through these moves. >> i think eunice nailed it. there's confusion. you would expect that in the early stages of the currency

liberalization. there's a lack of confidence in the regulators, policy makers and in currency makers at a centralized level right now. that's being played out in the markets, very, very starkly. the blue chip index down by more than 5%. we actually saw a flurry of selling towards the close of trade. we are reaching some pretty critical levels for mainland china stocks. we closed at the levels that we saw around summertime, around september. so that's an inauspicious market. the other factor here is that we are knocking on the door of the 3,000 handle for the shanghai composite. i want to talk about hong kong where we saw a lot of selling in the financials. that have the that's after the yuan denominated, yuan based lending bank exploded. it exploded 900 points.

this is a typically volatile and unpredictable indicator. it does tell you and some people have been telling me that it's a reflection to try to contain the spread between the on shore and the off shore rate. remember, that has to be contained below 2%. last week it blew out above 2%. want to pick up with breaking news. the chinese central bank will expand the relending program to support the chinese economy. last year at the end of 2015 they had 4.97 billion yuan to 39 financial institutions. the biggest question is whether they are going to transmit that to the wider economy. what we saw in the pmis last week is there's very good access for the big corp rates but not so much for the smaller ones.

that's why we saw that disappointing number on the back of which the markets really sold off very heavily. >> yeah. interestingly in terms of the smaller companies, some are also saying that after the chinese securities regulator, they decided to expand the sales by big shareholders. a lot of the smaller shareholders got in there and got rid of the stocks quickly. that exasperated the selloff that we would have seen. fitch coming through with a note essentially saying that the chinese consumption holding up is central to the expectation that growth will slow gradually to 6.3%. they talk about that the expectation is that china will avoid a hard landing. they expect the volatilities to have a broader systemic -- excuse me, they don't expect it to have a broad systemic ramification and they don't expect chinese authorities to

resolve it with a large trade weighted yuan trade soon. they're looking at the yuan to have depreciated under 6% versus the u.s. dollars since they've allowed it to weaken since mid august of last year. capital outflows will be somewhere in the region of 909 billion u.s. dollars between the second quarter of 2014 and the third quarter of 2015. they think it's exceeded a trillion dollars. >> verbally they're trying to reassure the markets. i just don't know whether that can actually work after the events that we saw last week and a little bit of flip flopping. first of all weakening the yuan and propping it up again. that's what we saw back in august and that is a big hit to the pbocs. >> exactly what they were saying. there was so much confusion about what their actual strategy is and what the next move is as well. what happens? are we going to see this again? are we going to see them put

another ranges in place? horrible week. horrible start to the year. >> absolutely horrible week. let's stick with the markets. let's show you what european equity markets are doing. we're in a little bit of a recovery mode. we're just off the session highs. we did kick off the session in negative territory but then recovered quite a bit. bit of a bounce back. that was the worst week since august 2011, the depth of the european debt crisis. we are trading close to three-month lows. want to show you the markets one by one. the dax really bearing the brunt of the losses last week off by more than 8.3% today. rekoupg some of those losses but only marginally by 0.95%. the ftse mib up. the ftse 100 lagging a tad

but 1/3. now, of course, as we said, it was a week to forget for global markets and a terrible start for 2016. the shanghai comp, the s&p 500 were just some of the indices to post their worst five days of the year ever. safe haven assets were the lone bright spots. they all caught a bid. vix up 48%. >> 48? >> 48%. it's now at roughly 27 or so. that's obviously way above the long-term average. gold had its best week in half a century. the u.s. yield, it fell some 15 basis points over the course of last weeks down 6.67% according to some data that i'm looking at. big flows into treasuries despite the fact that we got that really strong jobs report. >> yeah. >> what was the number, north of

290,000. on any other days treasuries would have sold off but not on last friday. not last friday. >> no. i look at this list and i wonder when do we start buying? do we start buying again? do we start getting in? the dax off by 8.5% or so. have fundamentals dhangd much? especially looking at what the pecb has been doing. we have quantitative easing and speculating whether they're expanding the quantitative easing program. do we start buying on the notion of that? looking at the ftse, the ftse off 5% in the course of the first week of this year. does that mean that the bank of england is going to be pushing out the expectation nor a rate hike as well? are we going to start to see a whole region here in europe of what's going to be taking place? do you buy gold? >> that's a really good question. a lot of people said that was a bounce for gold, for example,

because the dollar is going to trend higher. is this a buying opportunity? >> do you buy yen? there are some kind of perceived safe haven trades throughout? >> do you buy the beaten down cyclicals? do you buy the beaten down commodity stocks? are you brave enough to get back in?really tough. let us know. you can find us on e-mail and twitter. we'll float the addresses coming up. get ready for the yuan to move, quote, meaningfully lower this year. that's the view of goldman sachs and its latest note. for more from the investment bank check out the full story on our web page on cnbc.com. as said, e-mail the show to get in touch. a new show, of course. very happy to be with you. address is streetsignseuro

streetsignseurope @cnbc.com. find us on twitter. @louisaboyersoncnbc. building your defenses. find out the top names on their list. helping or hindering? did sean penn play a crucial role in bringing down mexico's biggest drug lord or has he landed himself in hot water? we'll have more on that in a little bit. cnbc's tanya breyer has the 2016 event. she's been make being some new friends. >> reporter: men's fashion is predicted to become a whopping half a trillion dollar industry by 2019. i'm at the xcm showcase event in london to find out what's driving this rapid growth. join us after the break. the flu virus hits big.

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hi, everybody. welcome back. you're still watching "street signs." shire is on the verge of finalizing the 22 billion pound takeever of baxalta. appears the only issue to be unresolved are some baxalta shareholders say the large cash portion will trigger charges. baxalta is under shire's rare disease portion of the company. there you go. it's interesting to see whether they'll be pushing through, gaining market volatility or trying to scale back. >> you are totally right, but also the rising interest rates and also the continued crackdown on tax aversion.

it's a question mark here. let's move on. the other big story we're following, the dialogue semiconductor company saw revenue rise by 17% at $1.3 billion in 2015 but is now forecasting single digit growth only for the upcoming year. no surprise about this really because we also saw dialogue semiconductor cutting their revenue guide. last week we saw the likes of dialog are themselves quite heavily on the reports that apple will be cutting the ord s orders. >> a little bit of a step back and then it dials up. >> the head of electrolux is

stepping down. mclaughlin's retirement comes a month after electrolux's attempt to buy ge's appliance business that collapsed. the deal was blocked by the u.s. justice department on anti-trust grounds. let's talk a little bit more strategy and what we should be thinking about investing at the moment, investing in europe. karen olney is head of european fanatic strategy. happy new year. >> happy new year. >> or is it happy? i mean, is it going to be a worse 2016 than 2015? >> yeah, it's been interesting. markets have good years, bad years. we have 2013, end of '12 good. '14. when you look back 2015 equities were barely up, quality outperformed. we've had two years in a row of this and a week ago or actually the end of last week we look at some of our indicators and the

value and value today is as cheap as it was, just about as cheap as it was in 2003 recession and mid 2012. so i think from this point forward there's a real opportunity here as long as china doesn't drag the whole world down with it. it does look interesting at this point. >> when do we know when to get in? that's always the question. >> yeah. >> the worst performing indices over the course of the first week. italy, for example, a lot of people saying italy could be one of the outperformers for this year a couple of months ago, right? now we're looking at the italian mib off by more than 7%. >> i wonder if that's a bit of profit taking? last year the best european company was italy next to the u.s. equities. so there's an element of profit taking. spain is a heck of a lot cheaper. i'm not sure if it's that or giving up on italy. >> why do you think value is so low at this point in time?

because the pmi is pointing to a strong recovery. we're seeing the best pmi recoveries. is it purely mispriced? >> that's really interesting, isn't it? because we're looking on all the central indicators, whichever ones you're looking at, and we haven't had qe last january and we didn't have pmis, even composite pmi at this healthy level. it proves we're being driven by externals. i think there's a real opportunity here. i think value needs a bit of confidence and confidence is lacking at the moment f. you're going to have the value debate, have it when it's at a cheap level and that's where it's back to today. >> that's where it is now. overall you say stay contrarian. you want to limit some of the risk taking for investors and clients. buy e.u., buy value and buy cyclicals when they're on low.

louisa made the point, when is it a time to get into those? >> it's never easy being a contrarian and avoiding value traps. because the evaluation dispersion is so great, you can probably find things that are kind of middle of the road, maybe mid quality for value. in the value camp a little better quality. i think there's a dispersion in the market. >> how is the u.s. going to fare compared to oeurope if we follo china. let's say they continue to head south. we have other data from china. imports and exports are supposed to be very weak. if we continue to see the weakness -- >> we think the u.s. looks okay. they are so much domestic, insular, they don't rely on exports like the euro area does. the recovery is a little bit longer in the tooth but, hey, it has a few years to go. household information is taking

off in the u.s. bonds, white goods, et cetera. i think there's further to go. we're nervous all in all. the u.s. is if things are quite disruptive this year, then the u.s. is the global quality. quality will win. quality is the best performing asset class in 2015. >> is there a way to deal with the lower oil price? if we continue to head south in oil is there a way to reposition ourselves and benefit from that? >> again, it takes long. it's just sort of more consumptive society, a society that imports oil. it's that sort of an issue, isn't it? yeah, you always say get nervous about canada and the companies that are exposed to it, norway, the u.k. >> finally, you said you're overweight staying in italy? does that have further to run? >> yeah, it's a very long run

call. italy has earnings of 60 to 65%, where they were in '07. all of the periphery, including france, 30 percent percent lower. we think they are disrupted by the process but you can climb partway back to where we were eight years ago. so it's a recovery story and it will have tactical trades within it. >> thank you so much for that. karen olney, head of european strategy at ubs. now let's get to some european political news. parliament has voted in a new regional president. charles puigdemont. he believes the creation of separate capital, central bank, social security system. the appointment will increase pressure on spain's natural parliament to break the post-election deadlock.

greek has elected mitsotakis to lead the democratic policy. he won more than 52% of the vote in sunday's election. an outspoken critic. >> current government he's expected to put pressure on prime minister tsipras. this comes as part of the country's bailout program. meanwhile frans's finance minister says that he will convince the greek government will respect its economic commitments. he's seeking support from creditors ahead of the bailout review later this month. u.k. prime minister david cameron says he's, quote, hopeful over a reform deal with the european unit. this after he said a grexit is not the right answer. in an interview on the bbc cameron appeared to say the promised in/out referendum would

follow this summer. he was asked whether contingencies were put in place in case the public opted to leave. >> i don't think that is the right answer for the reasons i've given, but were that to be the answer, we would have to do everything necessary to make that work. this is -- you know, they put it in the manifesto. the public will decide this, not the politicians. >> are the services working on this? >> they're working around the clock to support me. angela merkel is proposing tightening of migrant laws. current german law allows for forced deportation only of individuals who have been sentenced to at least three years of imprisonment. >> did you see the report in the fd saying she had canceled her trip to go to the world economic --

>> she was never meant to go. >> that was a fairly misleading report. now on a somber note, the legendary singer and songwriter david bowie has died after an 18 long month battle with cancer. ♪ ♪ ♪

welcome. you're watching "street signs." i'm carolin ross. >> hi, everybody. i'm louisa. these are your headlines this morning. chinese markets fell sharply lower as the interbank lending spikes the highest selloff on record. russian markets sink as they reopen after the orthodox new year. the oil price is taking its toll on stocks and the ruble. european markets defying the gloom. they're left higher as vw trades in the green on news it may have found a fix for its u.s. emissions standard. and condolences pour in for david bowie after the legendary singer/songwriter dyes at the age of 69 following an 18-month battle with cancer. good morning, everyone. it's monday. it's the second trading monday of the year. let's hope that this week for those long in the market turns

out to be slightly better because last week that was the worst week on record for the dow, for the s&p, for the nasdaq, for many of the european markets worse since august 2011. we want to show you what u.s. futures look like early on this morning. the s&p 500 taking fair value into account. it's seen up marginally by five points or so. the dow jones up by 44 and the nasdaq could open higher to the tune of 16 points. once again, it was a pretty ugly week for u.s. investors. the s&p off 6% last week. the worst one week decline since august 2011. the worst start to the year for many u.s. markets on record. european markets are seeing a little bit of buying. xetra dax is up by 3/4 of 1%. just off the session highs. it seems like some of the bargain hunters are coming in. cac 40 up by similar amount. up by 0.2%. we are still close to three-month lows after we saw

the worst streak for the stock 600 since august of 2011. off 6.7%. the dax losing even 8%. >> lou. >> yeah, the chinese markets closing at levels not seen since september after the authorities unexpectedly fixed the yuan a midpoint higher for the second session. inflation data disappointed as well. the yuan lending rates also hit an all-time record high. so a lot of volatility taking place in the overnight session. the collapse in oil prices taking a toll on russia's markets today as well. they reopened for the first time this year following a ten-day holiday period. russia's micex down 2, 2.5%. the ruble is all-time low headed to 12-year lows. >> could russia turn the bad start to the year down? find out which countries have

put at the top of the emerging market wish list at cnbc.com. let's talk more about the outlook and any bike opportunities with the chief investment officer at sun global investments. good morning to you. are you buying on the dip here? >> no, i think we're closing and waiting. as you mentioned, everything is driven by china. clearly the market pretty severe downturn at the moment. we're waiting, watching and keeping our money pretty much in cash. >> what exactly are you waiting for? at what point do you think sentiment would stabilize or turn? do you want to see more intervention from the chinese authorities? do you want to see better data? what exactly is it? >> i think on china specifically they're pretty bearish. the problem is there's a tremendous slowdown in the economy. the official growth market is 6.5%. in addition, we have weak sentiment in the stock market and it's pretty close to the

lows. so clearly the trend is downwards. also, of course, the current account is up so capital account we're seeing some tremendous up flows. people are worried about the currency. when you're worried about the currency, you'd rather get the money out. exporters are not converting dollars back into the yuan. >> you're seeing a little bit of stabilization on the asian markets, chinese markets. who's buying? >> i think there might be some bargain hunters coming in at this level. there always are. people getting shots on technicals. i think this is a very short term. you have to look at weekly charts and certainly china is driving emerging markets lower. >> last year, i mean, wasn't an easy year for a lot of the emerging markets either. what's this going to do, do you think, to emerging markets? is there going to be any repositioning or some of the outflows to be expected out of china? is it going to flow into any emerging markets at all or is it simply get out of everything, oil is heading lower, global demand is heading lower?

we don't know what the chinese policy is from the people's bank of china. what do you think the ultimate impact is going to be? >> you're right. last year we saw a lot of outflows. i think a lot of that is done. what we are doing is focusing on some of the benefit from lower oil prices and lower commodity prices so it's very interesting. we should see a slowdown in the emerging markets. we're looking at that. right now it is more interesting to watch. otherwise we're looking at the developing market bonds and keep money in and wait. there is certainly no reason. >> okay. let's decide the gloom. the u.s. economy is growing at 2 or 3%. that's why the fed raised interest rates for the first time in nine years. we expect that to continue. there's got to be some bright spots despite all the negativity from china.

are you not focusing on that and any improvement in earnings and any improvement in the eke none mick picture around the world by the u.s.? >> in the u.s. all you need is the one bright spot. again, the problem is wage growth. obviously after four, five, six years of ultra low zero interest rates, it's very expensive. if the economy is growing, it's not clear to most people that stocks as an asset class represent any particular value right now. >> just what do you think the next move will be from the pboc? first we see this weakening of the yuan, then we see them strike the currency. what is next? >> i think it's very, very hard to predict. clearly they've lost control of the markets to the extent that anybody can control the market. more broadly in china, they're having to learn in an economy

that they used to control everything. i think they're beginning to learn you can't really control markets. last year or two years ago when the stock markets started to rise from 2000, the authorities were encouraging people to buy into stocks. they really wanted a good stock market rally. a lot of industrial companies including the state enterprise are very highly leveraged. they needed a high stock market for these people to repair the balance sheet. people responded. towards the end people were investing with leverage and i saw statistical names and individual shareholders in china at the time. clearly the events since then are showing we can't really control the markets. that option has gone and we're seeing a lot of problems with the market. >> thank you very much for your time this morning. chief investment officer at surn

global investments. general motors is set to go to trial over the 2013 recall of millions of vehicles for a faulty inanything switch which has been linked to 400 injuries and be deaths. robert shore claimed in a lawsuit he was injured in a car accident when his front airbags didn't deploy. gm paid more than $900 million to end the related u.s. probe and took $575 million charge to settle around 1300 injury and death cases and shareholder litigation. vw ceo has recommended a catalytic converter fix. it can be fitted to half a million cars on vw cars capable of cheating tests. he's headed to the u.s. for the

detroit auto show which kicks off today. nbc's jay gray is live from the detroit auto show. what can they expect, jay? >> reporter: hey there. good morning. a little bit of everything. got four wheels, chances are you can find it here from the muscle cars, minivans, concepts, connected cars this year. take a look behind me. you can see what's going on right now. two hours before it opens here. still putting the finishing touches on all of the exhibits, polishing up what they can and making sure that they are ready for the barrage of cameras. what a lot of people in the industry say they need right now is they need some positive press. just before you were talking about some of the problems the industry had faced. they're excited about the connectivity when it comes to vehicles here and really believe in the next several years you'll see cars not only talking to other cars on the roadways, perhaps autonomous driving like we're talking about self-driving cars. you'll see the cars talking or

communicating, if you will, with traffic lights to get real-time updates on traffic in the area with maybe even pedestrian cell phones to make sure everyone stays safe. a lot of ways this can go and a lot of people very excited about the future. auto industry. >> what about the elephant in the room, jay? what about china? u.s. sales really picked up in 2015. we saw a bumper of a year for the automakers. with dmi with china that seems to be a bit of a concern. >> reporter: yeah, no question about that. every automaker talks about that. you talk about the auto industry, last year was a record year 17.5 million in sales. the sixth straight year we've seen that number come up. in fact, we haven't seen growth in the auto industry since the 1920s. a lot of people very encouraged where this is going. they can withstand anything that any other competitor may bring. they feel like the auto industry has some traction, if you will, and is moving in the fast lane right now. >> jay, thank you so much for

that. jay gray, nbc news in detroit. and sticking with the autos, daim ler board member said they are not worried about the recent volatility in china. he expects the mercedes benz to grow after soaring sales boosted 33% over the course of 2015. despite the open tow mitimistic he refused to provide a number. phil lebeau is at the auto show and is speaking with ford, daimler nissan and others as they unveil their cars. the first hearings are going to begin against the deutsche bank officials.

the u.s. non-pharm payroll saw 290,000 jobs added in december. the november number that was also revised upwards. steve lease man filed this report. >> i want to talk about one number which is what's happened to the three-month average. we've gone from what we thought was 218,000 three-month average which was strong to begin with. expectations from the fed it will come down. now it's 284 which is the best three-month average since january. job growth of 2.65 million during the year. that followed job growth in the 1,214,000. it could be the growth data understates the strength of the economy. a lot of economists like jobs better than gdp to tell you what's happening out there. the growth numbers are real when we're doing the hiring. it seems to say the productivity

and efficiency in the economy is declining. fed officials are worried about it. here's the data from the jobs report. payroll's up 292. pretty good revisions october/november. employment rates unchanged with a big influx. big story, average hourly earnings unchanged. not getting the wage growth that most economists think should come along with the strong job growth. now earnings season in the u.s. kicking off today with alcoa reporting after the bell. all eyes on the numbers. wilford is at cnbc's headquarters. happy new year, wilford. the question is will it be a happy new year for the companies? >> absolutely right, louisa. happy new year's to you as well. good to see you back on "street signs." earnings season will kick off. i suppose the question is are markets going to be able to focus on the earnings good or

bad or will it continue to be international situations in china, for example, and also the fed debate which has dominated markets last week. as we say, alcoa big focus. also, retail numbers. we get a few more of those. last week some of the companies came out, it was mixed. some good, some bad like macy's. that's the common theme we've seen for well over a year of the bricks and mortar retailers, high street retailers suffering and the online retailers doing much better. the overall december retail sales for the industry come out on friday. that will be important for december. very important month for the sector. just last month the discretionary names were better. there's some catch up to do between them. walmart, the dow's worst performers last year was pretty strong last week. it benefitted from sort of relative safe haven status

compared to other names last week. also banks reporting last week. what will they be saying in this era of rate rises going up. a tease from "worldwide exchange", we have sir martin sorrell. he is a china bolt. it will be interesting to see his perspective. guys, back to you. >> will, thank you so much for that. looking forward to the show. meantime, want to bring you the latest notes from jpmorgan and they are pretty positive on the european defense stocks, not on all of them. i want to bring you their view on bae systems. they have -- they say that bae systems will outperform. they've upgraded it. they're downgrading saffron to neutral. let's kick off with bae systems. they say overall this stock, they're adding it to the european focus list, raising the price target. once again, this is an

overweight. why do they like some of these european defense stocks? four reasons. rising u.s. and european defense spending. a stronger dollar versus the pound. that's positive for u.k. defense companies. third of all, u.s. defense stocks tend to raise as they talk about it. another reason why they like the sector and they picked up in 2015 with more possible than 2016. jpmorgan is not as positive on many european civil, aero stocks and that's why they have downgraded saffron. >> avoiding problems. still coming up on the show, tanya breyer has been to the london collection men's fashion event in london. she's been catching up with one of the world's best known yuntd wear models. >> reporter: after the break i'll be talking to arguably

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now the men's wear fashion market is up according to euromonitor. you get the really hard job. >> i didn't want to do it. i said, no, don't send me to the men's collection. you know what, somebody had to do it.

it's very interesting. men's wear is overtaking womenswear. the millennial men are really into their fashion so i went down to the london collections men to have a look. >> reporter: he wakes up thinking about it, spends hours on his phone looking at it. what's on every millennial man's mind? fashion, of course. women are traditionally the big spenders, but men are catching up. sales have skyrocketed to a whopping 13.5 billion pounds in the u.k. in 2014. here at the designer show rooms at london collections men, over 60 designers have gathered to meet buyers and editors from more than 42 countries to showcase their latest collaborations.

fashion model david gandi. >> now there is so much more stoke for men's fashion. we are out expanding women's ware probably thanks to online as well as men are lazy. there's so much more focus on men's designers and men's fashion. >> gandi was ranked one of the sexiest men of 2013 by british "gq." dylan jones believes men's fashion is resilient to economic swings. >> during the downtown in 2007 and 2008 because men's wear was in a lower base, it kept growing. the numbers were small sler, it kept growing, it kept growing and now it's over taking womenswear. >> they say his style has added

to his success. >> i've been inspired by paying attention to image. i guess that's one of the things i wanted to achieve in my career. i wanted to be able to create an iconic image for myself. doing so many music videos, so many performances that you have to kind of continuously reinvent yourself. that's why fashion plays an important role. >> it's been a busy day here with 5,000 cappuccinos being sold and 2,000 "gqs" being read. with social media and online shopping all making fashion much more accessible, guys looking like david gandi has never been easier. i'm tanya breyer for cnbc.

>> any of the guys -- >> do they look like david gandi, do they want to? officially, ladies, he's brittain's sexiest man? who would you vote for, carolyn? >> oh,, geez, you put me on the spot. >> i've been thinking about this. >> i'm going to have to say my husband, obviously. hey, david gandi's -- >> tinie, looks fun, huh? >> yeah, he is. he's done so much for fashion in the music industry as well. what's so interesting, we were talking about, you know, are men really interested in fashion? well, yes, they are. so many designers over 65, you also have something called new generation, the young designers coming up through the ranks and the top show was attended by so many staff. >> is this mainstream clothing? weren't some of them models.

the one next to you with the yellow shirt. >> with a horse. >> you mean you didn't like it? >> different tastes. >> i think that's right. it is an acquired taste, but what you see on the catwalk is diluted onto the high street in a much more commercial way. i think it's the same with the womenswear. i don't know if i'll wear that, it's a bit see through but it's adapted for mainstream. >> tanya, thank you so much for that. i wish you would have brought us more pictures of david gandi. >> i'll try to get him into the studio. >> your avenue married. >> i'm told we have to -- i'm told we have to move on. let's get back to some seriousness. the u.s. has sent a low flying b-52 over south korea.

the white house's chief of staff said the flight underscored the deep and enduring alliance we have with south korea. the catalon parliament has voted in a new president. carles puigdemont. he'll lead the creation of a separate catalon central bank, tax authority and social security system. it is neck and neck in iowa between both the republicans and democrats according to the most recent nbc news/wall street journal marist. ted cruz leads donald trump while on the democratic side hillary clinton is just three points ahead of head senator bernie sanders. there were no winners of the latest u.s. powerball lottery meaning the jackpot could rise to $1.3 billion. that is the largest price ever offered anywhere. the lottery operates across 44

states and has had a winner since the 7th of november. the odds of winning are around 1 in 292.2 million. not the greatest odds. in other words, you're more likely to flip a coin and get heads 28 times in a row than win the big money. ♪ ♪ ♪ ground dro well, the legendary singer david bowie has died after an 18 month battle with cancer. his publicist said he, quote, died peacefully surrounded by family. he released his 29th album "black star" last friday to coincide with his 69th birthday.

he had "let's day" and "the man who sold the world" which was revived by nirvana. "modern love" 1983. ♪ ♪ do you remember? >> no, i don't. >> but, i mean, ziggy stardust. he had a backup band called the spiders from mars. anybody who's calling themselves ziggy stardust. he taught people about drama, art, performance. he was always re-inventing himself. the u.k. prime minister david cameron took to twitter sending his condolences. i grew up listening to and watching the pop genius david bowie. the wrapper kanye west said david bowie was so important inspirations. actor sean penn is

attracting widespread criticism for his interview with a fugitive mexican cartel leader el chapo. he's been caught. he's appalled by the interview during which el chapo claimed to supply more heroin, cocaine and marijuana than anyone else in the world. mexican authorities say they want to speak to sean penn about the interview. go figures. >> very controversial. twitter was in lights over this yesterday. >> it was. it was trending. listen, that's it for today's show. we're back tomorrow though so good-bye for now. i'm louisa boyerson. >> i'm carolyn ross. "worldwide exchange" is up next. see you tomorrow.

breaking overnight, china shares slammed again, even after the country tries to calm volatile markets. trillion dollar wipeout, u.s. stocks off to the worst start ever. right now investors pointing to a rebound. new this morning, retail details. kohl's exploring taking itself private and macy's coming under pressure from an activist investor. it's monday, january 11th, 2016, and "worldwide exchange" begins right now. ♪ ♪