>> 20% in the last 7 days alone. >> lululemon raises revenue forecast on strong holiday sales. >> and national champions alabama beat clemson to win the college football playoff title. it's tuesday, january 12th, 2016 and worldwide exchange begins right now. >> good morning and welcome to worldwide exchange i'm cnbc. >> ready or not here comes

earnings season. alcoa the first company out of the gate with mixed results. specifics in just a minute. >> but the broader moment set up here perhaps more nerve racking to markets. thompson reuters predicting the s&p 500 profits will contract 4.4% in the fourth quarter. that would mark the second straight quarter of negative earnings growth and the fourth straight time profit growth declines from the prior period. i'll be watching for any sign of revenue growth which is also set to contract this season and of course the outlook is going to be key. what corporate america has to say about guidance. >> absolutely right although the big market story this morning, an energy collapse. prices, let's have a look at them as we're trading right now. wti down a further percent. brent down about .3 and both hovering around the 31 level. overnight a couple of opec members requested an emergency meeting due to the current market conditions. meantime managed short positions in wti are at a record high.

this of course suggest miss traders expect further declines in prices. analysts are cutting their 2016 oil forecast as wti and brent both drop toward 30 tlrs barrel. suggesting prices could drop as low as $10. the bank argues that prices are being moved almost entirely by financial flows caused by fluctuates in other asset prices including the dollar and equity markets and sarah i suppose that's the real aspect this year compared to last year is the supply and demand dynamics are loose. >> what's interesting is that banks are now getting out in front of each other competitively trying to come out with a more bearish forecast. just yet as we we were sitting here morgan stanley said the $20 per barrel region is realistic and now $10 per barrel. where were we a year and a half ago?

100 per barrel? and while the fundamentals don't justify this in terms of supply and demand there's a lot of bearish sentiment. the maco headlines are driving things and the dollar is strengthening. city, morgan stanley, goldman sachs all say 20. >> a lot of traders are hurting. 10 days ago how many people were saying surely this year can't be like last year. we dropped 20% -- >> now they're going out on a limb. >> another 20% down. extraordinary stuff. >> i wonder if it marks the sign of a bottom or the pile up of bearish sentiment. the facts that they're coming out and capitulating. the major drop in oil prices to spark renewed fears that the u.s. oil industry could be in big trouble already hurting. on cnbc yesterday suggesting half of u.s. shale oil producers could go bankrupt before the crude market reaches equilibrium. have a listen. >> half of the current producers

have no right to be in the business where the price forecast even in the recovery is going to be between 50 or $60. they need $70 oil to survive. >> that's a bleak forecast. crude prices stabilizing near $60 but cautions that it could be more than two years before that happens. the spill over continues and energy companies continue to get beat up. they closed down 5%. they declined every single day. they're down more than 10% for the year so far. >> poor performing sector as well in european trade. let's have a look first up at the u.s. futures and there's been a bit of a swing around since they opened late last night. and again that's been slightly linked to europe. europe opened down by 0.3% and it's now up.

and that's by 5 or 6 points. let's have a look at european trade as well. strong gains now. almost 2% for the dax and a similar little turn around in early trade as we saw yesterday and really investors citing that bottom feeding type trade following the sharp declines last week. a quick look at the ten year note because it's interesting to see the way that responded after last week but we haven't seen a huge amount of buying of the bond market despite a huge amount of selling of other risk assets like equities and like oil. so something to continue to bear in mind. yesterday's contagion out there but maybe not to the full extent that you would see. >> maybe because the u. s. economic data continues to be good to okay from the jobs front and the fed continues to say we're on a hiking path and raise rates this year. >> is that strong u.s. economy argument that's outweighing the risk off contagion, the other markets. >> at least in treasuries.

overnight action, japan was closed the day before for a holiday. resumed trading last night after a long weekend. dropped about 2.7%. closed at a one year low. no surprise the oil, mining and coal sectors saw the pain. in china overnight stocks ended higher after another volatile session. before the open the chinese central bank did set the currency. a similar level to yesterday's fix and traders were reporting aggressive offshore intervention to weed out any speculators, calm the currency down which they managed to do overnight. as you can see at the end of the chart there some stabilization in the dollar yuan rate which a lot of people say is why the chinese stock market managed to gain and why there's calm across stock markets today. >> japan is playing catch up from yesterday. if we take oil out of the bargain today we're set up for a little bit of positivity. europe is looking good and futures are pointing up. maybe question focus on earnings and get back to fundamentals for

the rest of the week. >> let's also have a look at the economic agenda today in the u.s. the national federation for independent business puts out it's monthly small business optimism index. that's followed by monthly job openings and labor turnover survey at 10:00 a.m. and stanley fisher speaking in paris in the next half an hour while jeff lacquer speaks this afternoon. railroad operator csx reports earnings after the close. >> speaking of, the new dallas fed president says four u.s. rate hikes are in his words not baked in the cake. robert kaplan brand new fed president pointing to global stock market volatility says the fed must assess the economic data as it unfolds. not committing to four hikes. interesting to hear because we haven't heard a lot from him. very outspoken and very hawkish.

kaplan doesn't have a vote though until 2017. >> carl icahn is knocking down media reports saying he was buying up time warner shares. the activist says he doesn't own one share and adds that it annoys him that they use him to make profits at the expense of other shareholders. he took a stake in time warner in 2006 and unsuccessfully urged the company to split up so at the moment expected to open around flat. >> stocks to watch today. apollo global management is in advanced talks to buy for profit education provider apollo education. the price tag at about a billion dollars. the owner of the university of phoenix said it was exploring options. lululemon raising it's forecast on strong holiday forecasts. this is a month after they trimmed the full year revenue expectations. disney adding nike ceo to its

board of directors. this brings the total number of board members to 12. don't forget mark parker having a goodyear. also set to become the chairman of the board at nike later this year. >> right. interesting to see that disney share price up ahead of the star wars success. starbucks plans to open 500 stores in china this year. the coffee chain hasn't seen any slow down in the country. this even as other companies like kfc have blamed china's economy for soft results. japan's group is considering acquiring the grolsch and peroni beer brands. they will ease regulatory concerns about their merger. gold corp. says they'll have to look for large gold deposits outside of the americas. they could possibly meet the criteria which include low

political risk and existence of a mining code. we're still 1100 level around there. it's not like it's off to the races. >> yeah. >> earnings season unofficially kicking off with the fourth quarter results after the close yesterday. overall the numbers weren't quite as bad as feared but still had warning signs for investors. landon dowdy joins us with more. >> alcoa with a fourth quarter loss and 18% drop in revenue due to sharply lower aluminum prices excluding items that they dropped 4 cents a share. they have been cutting smelting capacity and rising trade tensions with china and last year said it would close a plant in indiana bringing the u.s. aluminum output to the lowest level in more than 65 years. they're shifting the operations to the more profitable business of making parts for the auto and aerospace markets and it's

signed multibillion dollar contract with boeing and ge's aviation unit. despite weak prices he's still optimistic. >> we have seen a price decline over the course of the year in aluminum of almost 30%. and alumina of almost 40%. we did everything in our own control. we reshaped the business and look where we are. we're still standing and still making a profit. so look at cash, look at activity, all that we have under our own control. >> shares slumping 50% over the past year and they were down three quarters of a percent in after hours guys. >> thank you. >> there we go. we're off to a start of earnings. not quite what everyone was expecting. >> we'll see what the banks say. >> coming up, here on worldwide exchange, your trade of the day, copper prices down sharply. the list of companies that perform the best and worst when that commodity drops. >> plus it's a world of worry.

who do you want to hear from? this man. joining us to talk china, the economic consequences of oil, the global economy. we're also asking today on twitter how low can oil go? wall street strategists say 20. some say 10. wilfred hated this question because it was too open ended but we're doing it anyway. tweet us your answer. >> i got overruled. >> read it on tv as the price of oil drops as we speak. yesterday hitting briefly in the $30 per barrel range. we're at 3105. brent 31.39. we'll be right back on cnbc worldwide exchange. e clear. but at t. rowe price, we can help guide your retirement savings. for over 75 years, investors have relied on our disciplined approach to find long term value. so wherever your retirement journey takes you, we can help you reach your goals. call a t. rowe price retirement specialist or your advisor ...to see how we can help make the most of your retirement savings.

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x1 from xfinity will change the way you experience tv. >> let's get you up to speed in the top stories. falling to 12 year lows. a couple of opec members requested an emergency meeting due to the current market conditions. let's have a look. wti up 1.3%. bang on 31 as we look at things. lots of investment banks cutting their forecasts. $10 is possible this year and meantime we also have the uae energy minister telling reuters the market strategy is work. i'm not quite sure about that mr. energy minister and uae. he expects a significant drop in nonopec production in 2014. either way oil prices falling sharply. >> don't forget to tweet us your forecast for the price of oil. now to today's trade of the day,

another commodity is taking a hit lately and that would be copper. prices declined since 2009 on worries over demand destruction in china. so our data team crunched the numbers to find out which companies tend to perform best and worst when copper declines so dramatically. abbott labs, reynolds american, clorox and colgate. the biggest drags, freeport, no surprise there. console energy, new field exploration and mosaic. for more go to cnbc.com and check out cnbc pro. speaking of global economic turmoil our next guest predicted the euro zone debt crisis and wrote about the financial crisis in the u.s. and has been seeing for years that china is the next big threat to the global economy. joining us on the cnbc newsline this morning, harvard process for. good to speak with you. >> the topic is oil.

can you explain the global economic consequences of $30 barrel oil. >> it's a boost for the advanced companies. especially europe and japan. it's a big stimulus. but even saudi arabia has become fragile at this point. it probably creates problems in the global economy. >> but it's fast. >> would you go as far as to say a global recession given what's happening in china at the first time as what's happening with global commodities? >> the global commodities are a signal of what's going on in

china. they're more like puts a break on it and counters it a little bit. it's hard to know the numbers in china. in some sense the low commodity prices are as much of a pressure of what's going on as any of the official numbers. who seriously believes that the economy fluctuates between 6.9 and 6.8%. growth slowed more than that. we don't know exactly what's going on. it's hard to know how quickly this could reverse. >> great to be speaking to you this morning. let's touch more on that bearishness on china. you have been bearish for quite sometime. particularly because of the large amount of build up of debt. has there been anything over the last ten days, the start of this year that has increased your bearishness or is this just now

a man f a m a manifestation of thoughts you already had. >> obviously the chinese authorities for years thought to manage things well and it's less impressive so what if they face a real problem. the stock market fluctuates are not such a huge problem. and everyone always said of course there's a soft landing and there might be but it's not that easy to manage. other emerging markets, other countries don't do it very easily. especially when you have high debt. and things start slowing down. a lot of projects that were okay suddenly aren't. china has a lot of tools. they have a lot of reserves. they're willing to socialize a lot of the losses beyond what

most countries are willing to do so i certainly wouldn't count them out. at the same time they wildly underrated the slow down in china. the chances that you end up with growth at just four or five percent are certainly much higher than i would say, you know 5% that the markets might have it now. >> just touch on geo politics elsewhere, particularly in the middle east. are markets underpricing that risk in 2016? >> i don't know if they're underpricing it but the situation in saudi arabia is of considerable concern. they is a failed war in yemen. there's huge population growth they're dealing with. budget pressures. they normally can be very patient in a long run player but

right now they're kind of hanging on for dear life and that's one of the factors of why they're pumping out oil so fast. even talking about selling off some. in china has a lot of reserves saudi arabia has even more but at the same time its very, very difficult to manage. >> so just very quickly in the interest of time, given everything that we have just laid out the global worries, the federal reserve on track to raise rates four times this year, would that be a mistake? >> well, you know, if things continue to sink at this rate that's of course not going to happen. i think the fed will hike rates four times this year still. if you look at the u.s. economy, you know, the pressures are still there. the advanced countries are not doing at a badly. the low oil prices are not bad for europe and japan. they're great. it's really the emerging markets getting hammered.

china is the big unknown. >> thank you so much for joining us this morning. much appreciated. >> my pleasure. >> right. still to come here on worldwide exchange, if you went to sleep early last night for your top sports news, the highlight, alabama defeating clemson to win the college football playoff title. >> but first as we head to break, grant johnston joins us from dallas ft. worth with today's prison travellers forecast. good morning, grant. >> the big stiory today is the snow marching through the midwest and the great lakes. we have winter weather advisories here spreading from kentucky through indiana through to pennsylvania. could see 1 to 3 inches of snow. pittsburgh, cincinnati and cleveland today. that snow eventually pushes farther to the east effecting new york city by evening but expecting minor accumulation there. the southeast meanwhile is nice and mild including the southwest over toward texas.

another rain system coming on shore for the pacific northwest and arctic air still locked in place up to the north. only 2 for a high in minneapolis today. kansas city at 32. louisville at 36 with snow showers this morning in the northeast and highs in the 40s for new york city. los angeles 63. worldwide exchange continues right after this.

welcome back to worldwide exchange. if you're waking up let's get

you up to speed on the overnight market action. the major markets in china manage to close higher after the chinese central bank managed to stabilize the currency. it adjusted the currency actually stronger again today. japan was closed the night before so it was playing catch up. that's why you see the move down 2.7% closed at a one year low. some pressure in hong kong. early european action things look positive. though the price of oil is under pressure it's come off the lows and that's helped european equities. the german dax having a nice rebound up 2% in early action and u.s. futures have done a little turn around. overnight down. and nasdaq up 15 after another volatile session in the u.s. yesterday managed to close in the last 30 minutes with a game thanks to consumer stocks. >> let's switch to sports news and congratulations this morning to the alabama crimson tide.

the school beat the clemson tigers 45-40 monday night in the college football playoff championship game. derrick henry scoring late to clench the game. alabama winning the fourth title in the last seven seasons. it's the fifth national championship for coach nick saban leaving him just one shy of former alabama coach bear bryant. for more, for the most of all time. very many congratulations to them. right still to come this morning on worldwide exchange, top stories plus mark fighting back saying his junk bond is performing in line with expectations. that story and much more when we come right back here on cnbc. first in business worldwide. the flu virus ♪ , chills, and fever, there's no such thing as a little flu. and it needs a big solution: an antiviral. so when the flu hits, call your doctor right away and up the ante with antiviral tamiflu. prescription tamiflu is

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you experience tv. lululemon raising it's revenue forecasts on strong holiday sales. >> your money your vote. the surcharge tax on the wealthiest tier of americans. you're watching worldwide exchange on cnbc. ♪ the big market story this morning, an energy collapse prices under pressure again this morning. oil prices down every single day of 2016 and another more than 1% slide for the price of wti after

closing more than 5% lower. breaking overnight, nigeria says a couple of opec members requested an emergency meeting due to the current market conditions. meantime manage short positions in wti oil are at a record high. everybody is bearish. this suggesting many traders detect further declines in prices. wti and brent both drop toward the $30 barrel mark that we saw in yesterday's session. standard chartered bank suggesting prices could drop as low as $10 barrel. prices are being moved almost entirelily financial flows including the u.s. dollar and equity markets. that got our attention after we were blown away yesterday by morgan stanley going into the $20 per barrel region. >> everyone has been cutting

their forecast and they're the biggest of the cuts today. they were down overnight and they're now pointing up. not a huge amount. the s&p expected to open by 30 points and nasdaq by 16 points. part of the reason we're in the green is european trade. that opened down by 0.3% but a strong rally during today's trade. we're now up to the tune of about 2% for the dax and similar reasons being cited as we got yesterday for that intraday rally in europe. a bit of a bounce back from the sell offs last week. people less concerned about contagion from china in week 2 of 2016 than in week 1. up 2% for the dax. only up 1%. the commodity names and oil names that are a heavy part of the index weighing there. japan, the stand out decliner because it was closed yesterday so a bit of catch up to the down side for japan today. >> nice to see green on the

screen for china as well. >> absolutely right. >> mark lasery is slamming reports that a junk bond fund run by his management. he says it's misleading and says that the performance is in line. we have a few stocks to watch for you today including alcoa reporting a fourth quarter net loss on restructuring charges and sharply lower aluminum prices. that's been a big drag on the stock. profit did beat forecast. alcoa says it's still on track to split into two stand alone companies in the second half of this year. private equity firm apollo global in talks to provide apollo educationment a deal could be worth as much as a billion dollars. rising 21% in after hours on this news and lululemon raising fourth quarter revenue guidance on strong holiday sales. just last month they warned profit margins wouldn't recover

until 2017. good news from there from the retail front. >> and also descent numbers from under armour as well. similar to lululemon. some companies may be starting to rethink their china strategy and jitters over the country's slowing economy but starbucks is doubling down on its own bet in china and saying things aren't as bad as they seem. >> that's right. howard schultz is bullish with plans to open 500 stores a year for the next five years. they already run 200 stores in china. he tells the wall street journal he's confident in china's future despite the rhetoric, noise and ises. starbucks posted it's best fourth quarter earnings globally with same store sales of 6% in china and the asia pacific region. starbucks continues to see growth in china even as sales for other foreign food and drink

companies stall. yum brands cut it's 2015 out look. hershey blaming the slowing economy for its poor third quarter results with sales falling 14%. howard schultz expect china will become the biggest market. coffee culture explode there had as consumers are willing to pay $5 a cup. coffee consumption could grow 18%. >> thank you very much for that and do stay tuned on cnbc today because starbucks ceo will weigh in on china on that view and the rest of the u.s. and global economy. kelly evans has an exclusive bermuda view with him on closing bell at 4:45 p.m. eastern time. >> now for a look at the top trending stories. we have a few good ones. rupert murdoch and jerry hall engaged.

the news was made quitely. and proceeded to be written up in every major newspaper publication this morning. does that have any impact on the country and the children. >> fourth marriage. her first. >> she one married to mick jagger? >> no. >> but the white house joined snapchat. obama's final state of the union will be featured on the app with the behind the scenes look at the president prepping for the speech inside the oval office. that's well worth the look. >> snapchat, state of the union. your first state of the union. >> behind the scenes. >> very social white house. sales of david bowie's last album released two days before his death from cancer soared on monday along with downloads of his greatest hits. spotify said streams of his music were up 27% on monday

while black star was headed to the top spot on the chart with 43,000 sales since it's release on friday. i know we both went and streamed some of the david bowie stuff. >> and can i say across twitter, instagram, social media, i've never seen a broader or deeper spread of appreciation for him. from kids to 7 year olds from djs to geeks like everyone has shown love for him. >> a lot of people didn't realize he was sick. >> because of that released it surprised people how sick he was i think. still lots of thoughts toward him and his family. now other trending stories billionaire mark cuban has advice on wednesday basically. this is direct advice. brought another ticket already. get a tax attorney he says. avoid the lump sum. that's a boring way of doing it and decline requests for cash from friends and relatives.

you have to give a little bit away. i'm going to go against most of his advice but nice that he's trying to give me direct advice. >> it's a real thing. it's actually only worth 800 million i think. if you do the lump sum, the 1.4 billion come through the pay outs. >> see i didn't know that you did get taxed on this. if britain if you win the national lottery it's tax free. >> really? >> not that i have a back catalog of winning national lotteries. >> lottery fever. coming up this morning's must reads including, this is very unusual for me, i chose one on football. the nfl bringing down the hammer on a cincinnati bengals player for a big hit. everyone still talking about this. he's getting suspended for three games but did he get off too easy? >> and mine is more heavy markets based. we'll bring you both of those. but first as we head to break check out this moment from jimmy fallon as we try to get your day started with a smile.

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>> all right. now to today's must read stories catching our attention. a heavy market one. it's a deep dive on japan.

a special report by martin wolf of the financial times questioning whether it's working. he has done overall i pulled out a couple of the points of whether it's working or not. you must read the detail saying on inflation, modest progress, on output disappointing on the labor market it's performing well. overall though he says that it is a supply issue. supply then he says is japan's problem. it's not japan's problem because of the shrinkage of the labor force. the real problem is the private demand. it's the enormous financial surpluses and the private savings over private investment and that's been the failure thus far. they can't change the culture of saving and the demand isn't picking up and it hasn't really worked. he does point to the demographic issue and highlighting that that's had massive head wind as well. >> there was so much enthusiasm and excitement around prime minister abe and this whole policy.

it seems like the monetary policy arrow. did we even get the third arrow. >> people are saying we're at 2.5 years. >> it's the monetary shot that helped a lot. >> i mean, still a question of whether qe even worked here of course. if my eyes i would say we won't know that for a long time but it helped financial markets and hasn't changed any really culture on the domestic consumer front and that's not boosting demand. >> and people are starting to question that several years later. >> great charts. lots of lessons to be learned. >> mine is a completely different topic. this morning though it is important. out of usa today, the nfl needs to deal with dirty hits in football and this piece titled bengals' burfict gets off too easy. that was about the late dirty hit to antonio brown of the pittsburgh steelers. he got a three game suspension.

the article saying it doesn't go far enough. that the nfl effects how the pros perform and how the high school and college players conduct themselves on the field. it is not enough simply to access that concussions are serious. this is obviously becoming a much more important issue. the movie concussions is out in the theaters and it skcommends roger goodell for trying to acknowledge that they're not what we should be. >> three game suspension is pretty big for the nfl. >> it is but it's not enough because this is just common place and it happens all the time and this player has done things like this before and it sets a terrible example. >> there we go. our nfl expert. >> right. more like cincinnati expert. it was thebengals that caught my attention here. >> right it's time for this morning's early analyst calls. coca-cola upgraded from buy to

hold. the price target now 54 dollars. meantime the firm is downgrading diageo and sab miller to hold from buy. we're approaching the top of the hour and that means joe, becky and andrew are getting ready for squawk box. becky joins us from new york now. becky, good morning, another day of green. a little bit of green in the futures markets. do you think we're starting to shrug off that international hang over we had in week one? >> i have no idea. i'm continuing to see the bearish calls coming out. a frightening call from rbs talking about sell everything. there's an equity analyst at jp morgan saying sell the rallies. this is time not to buy the dips but obstetrical rallies. this is an equity analyst i hadn't heard of before. the calls are out there. standard chartered talking about $10 oil. those are the fear factors.

today we'll talk to billionaires that have appearance and know what they're doing in these industries and try to get advice for you as well. harold ham will be joining us. he's the legendary oil man and he'll be talking to us about what he sees out there. my guess is $10 oil is not in his horizon and we'll find out what he's looking for. he's cutting down on the expenditures. capital expenditures they were putting in the oil patch early on. he expected this downturn would be a long one but i'm still guessing that $10 oil is not something that he sees out there. he's the founder of quicken loans and is also the largest real estate owner in detroit outside of the government there. we'll talk about what he is seeing in the home industry market and what he is seeing in term of the turnaround in detroit and about his new ventures that he has there. we're hoping with he find answers from people that know what they're doing in these fields. >> you certainly have the market action to talk to them about. becky thank you. look forward to seeing you at

the top of the hour. when we come back, hillary clinton taking aim at the super rich. but first, happy birthday jeff bezos. he turns 52 today. you're watching cnbc first in business worldwide. the flu virus.

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children and adolescents in particular may be at an increased risk of seizures, confusion, or abnormal behavior. the most common side effects are mild to moderate nausea and vomiting. anti-flu? go antiviral with tamiflu. hillary clinton taking aim at wealthy americans. an aid says the democratic presidential candidate will propose a 4% surcharge tax on people that earn more than $5 million a year. the dax would be imposed on 2 out of every 10,000 taxpayers. doesn't effect too much but ensures the richest americans pay a higher effective tax rate than the middle class. >> i'd say this on the surface to me sounds like an easy vote winner. >> i wonder if it's just a campaign promise to stir up the base. that's what this is all about i think. >> we're going to discuss that

and also president obama's final state of the union that starts at 9:00 p.m. later today. let's bring in tony that joins us now from washington. very good morning to you. thanks for joining us. >> of course. >> let's kick off with hillary clinton. is this something that's going to poll well? this tax on high earners? >> it probably will in the democratic primaries. we saw this a little bit before from secretary clinton. we spent a lot of time talking about donald trump and, you know, a lot of attention there. we haven't paid a lot of attention in what's going on in the democratic primaries and we saw a couple of months ago she came out against tpa. she tries to address concerns of bernie sanders voters. that falls in line here as well. this is an opportunity for her to try to capture some of the

attention. probably polls well in the democratic primaries. i don't know that it helped very much in the general election. i just think it looks like redistributing income in the country. >> yeah. something that we have heard and bernie sanders has said is not going far enough. looking ahead to tonight, you were there i believe during president bush's final state of the union. how is the preparation for that one differ? >> well, you know that you're in the last year of your presidency and it's not that you're thinking about legacy. you just know that the time is very short. the opportunities to introduce new legislation and actually have them acted upon are slim so you want to talk about, you know, your goals and aspirations and recognize the roles that you're in. at that time we were in the middle of two wars and the president as commander and chief needed to address those issues

as well so the president is still the commander and chief. that makes his voice very porn and still is most important out there and there's nominees for both parties but the time is short. let's face it, president obama and every two term president in the last year have been on the national stage for 8, 9, or 10 years and people get tired of hearing from them so there's a little bit of diminishing r returns from a speech like this. >> could he really help their hopes? >> he could bolster it and try to impact the democratic primaries by the themes that he talks about and the things that he thinks democratic voters ought to be most interested in. he could impact the democratic primaries that way. but that's the opportunity that he has with the ball pit to be

able to raise issues and still command the attention of the country for some period of time. >> speaking of commanding the attention of the country, inequality was a really big issue that you heard politici s politicians, president obama on the campaign trail talk about awhile ago and it's something that academic economists on both sides of the aisle talk about. what i hear now is that it's shifting toward more hostile attacks. mostly on wall street and big bankers. is that happening? is that just because it's a popular punching bag? >> unfortunately it's still the case sarah. and in my private business spent a lot of time dealing with those issues and the attacks on a lot of the big financial institutions and it's still popular to take shots at wall street. i don't know that the popularity of it and feeding that sentiment makes you a more popular

politician. some of the guys out there taking the biggest shots at wall street have not really succeeded all of that well but we'll see, you know, what legs that has. >> tony, thank you for joining us this morning. much appreciated. >> we have been watching oil prices all morning long. continued to be under pressure in terms of wti. brent actually interestingly just flipping into positive direction. oil prices were even lower overnight and after yesterday's session wti broke into the $30 per barrel region. it's down .5%. brent higher. perhaps that's why you're seeing the rally in european stock market with the dax up 2%. u.s. futures also gaining steam following in the lead of oil. china closed higher overnight. that has to be helping as well. >> indeed. today we have been asking you on twitter, how low do you think

oil could go. this was sarah's question very much. one viewer saying lower than my morning coffee and breakfast at starbucks. i'm serious. $12. >> that's higher than standard chartered is putting out. no forecast is too low which is why i thought it would be interesting to get the twitter responses. >> u.s. futures still in slightly positive territory. let's get to a few more corporate stories. fantasy sports sites getting the okay to keep operations going in new york for now. an appeals court announcing that draft kings and fan dual will be allowed to serve the new york area depending the outcome against the site fwis state's attorney general: it should be permanantly barred from doing business calling them gambling operations. >> the dating company is taking a 60% stake in grinder which caters to gay men. it values the start up at $150 million. this is the first time that the

company has raised capital from outside investors. >> china making its largest move into hollywood to great. dali dalianwanda group is buying a stake in legendary entertainment. the deal paves the way for the creation of the world's biggest film company by revenue. >> there you go. a few top stories and of course we'll be watching the state of the union and talking about it tomorrow on the show. we'll continue to watch futures. can the rally hold sf a gain in the last 30 minutes of trade yesterday. futures higher. could be a good start. that does it for us here on worldwide exange. coming up next, harold hamm. watch squawk on the street at 10:00. we'll see you back here tomorrow. ♪ friends coming over?

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good morning, cheap oil. well it's getting cheaper. the price of crude dropping 15% in the last 7 days. the white house reaching out to millennials. the administration will use snapchat to broadcast behind the scenes footage of the president's final state of the union address tonight and roll tide, alabama knocking off clemson to win the school's fourth championship in seven years. it's tuesday, january 12th and squawk box begins right now. ♪ ♪ >> live from new york where

business never sleeps, this is squawk box. >> good morning, everybody. welcome to squawk box here on cnbc. i'm becky quick along with joe kernen and andrew ross sorkin. wti was down as much as another 2% earlier. things flattened out here but still looking at wti. a lot of calls about what all of this means. now breaking overnight, a couple of opec members requested an emergency meeting because of the current market conditions. nervousness in the field and even some calls for oil to fall below what we have seen to this point. as low as $10 according to some. analysts are cutting their 2016 outlooks for wti. listen to this bearish view from standard chartered. prices could drop as low a