eamon javers.uest: you talk about the middle class, you talk about this woman from long island, a senior citizen talking about what has happened over the course of her lifetime and she is right. , the frustration is real. we went from a middle-class where you could support a family with one earner, and now we have a middle-class where it takes to wo earners. that is a real reduction in living standards for a lot of families. she voices that very well. the challenge for politicians and policymakers here in washington is to figure out what they can do about that when the reality is -- there is no magic dial in the oval office that turns the economy. we will hear in 2016, all of the candidates talking about how they will improve the economy. in reality, it is a very complicated thing. there are titanic forces at play, globalization, technology, immigration, all those things are huge things that are not necessarily controlled out of washington, as much as policymakers and candidates want to tell you th

eamon javers.e have numbers on the screen for republicans independents, and democrats. we will get your calls i just a few minutes. guest: you should have lines on the screen for bulls and bears. host: that is an idea for next time. stock market, how is it doing? guest: we have been floating up to about 18,000 in the dow. we seem to be in a holding pattern in the u.s. stock market. really what is happening in the stock market is you see an entire group of folks on wall street waiting for the fed. it is all being about anticipating what the federal reserve will do about raising interest rates. there was in the dictation of that would happen as early as this summer, and now people seem to happen that that will happen in the fall. at some point, the fed will have to raise interest rates. you cannot have near zero interest rates forever. they will be very cautious as to how to do that. the whole game on wall street is anticipating what the fed is doing and reading all the signals that they sent as jane

eamon javers is here with the story. >> bradley birkenfeld hat dozens of accounts kept hidden from the u.s. government. he blew the whistle on the experience and he endured highs and lows along the way. his story is not over yet. bradley birkenfeld is taking a victory lap. >> i think i did something extraordinary, unprecedented, and historic. >> for the first time since collecting a massive payout, he is talking about how he became embroiled in and then blew the whistle on the longest running evasion scandal in history. >> you c calcu the amount of money -- >> he was instrumental in the untraveling in swiss bank secrecy. there is no question able that. >> scott michael is an attorney specializing in evasion. >> he moves to earn his mba and he settled in geneva. he worked at ubs, one of the few americans al into the mysterious world of swiss banking. it was highly restrict only the people there. >> the way he described it, it sounds like part under cover agent and part personal assistant to the rich and famous. >> you have doctors, lawyers, politicians, ceos. >> hollywood? >> hollywood

eamon javers what's happening? >> yeah hi kelly.t earlier today, now we have more news from the irs on this hacking attack and this is an ap report now from sources to the ap. which we have not matched independently at cnbc but ap reporting the irs believes that the identity thieves who stole the personal tax information that was reported earlier today, are from russia. now i should say there's no more context to this report that the wires are flashing but a distinction between identity thieves being from russia and the russian government. a lot of cyber security criminals who operate out of russia and some of the nearby countries. one of the questions here will be exactly who was behind this whether they were located in russia or not. what was their motive and their affiliation with any national government. the ap as of right now reporting that irs believes those identity thieves were in russia. >> all right. eamon, thank you for now we'll keep following the story and bring you more details as we get them. >> soccer has arrived in

eamon javers has more. >> deep inside of the posh offices of the major banks, in the private digital exchanges of the private traders was right ought of the mafiainity invited to join the scam. mess this up and you sleep with one eye open up. and if you ain't cheating you ain't trying. and yes, the left competition the better. and today that language caught up with the traders as new u.s. attorney general l lyn announced the massive setty traeders formed a group they dubbed the cartel. it is perhaps fitting they chose that name as it aptly described the brazenly illegal behavior they engaged in on a nearly five year basis. almost every day for more than five years trade in this cartel used a private electronic chat room to manipulate the spot markets exchange r between euros and dollars using coded language to conceal the collusion. on wall street the reaction was muted. ubs, barkleys and royal shares of scotland were up and for their part the banks seemed poised to shrug off the settlements with analysts saying some of the penalties were lighter than expected. for example today chas

. >> eamon javers thank you very much. >> i can't wait. thank you. >> coming up a new breed of entrepreneurs. thos taking a leap of faith and getting financial success. >>> well this week is national small business week and the entrepreneurial spirit isn't just for the young. more americans are taking the plunge into entrepreneurship later in life and as kate rogers tells us they are finding success. >>> my name is jay lichty. i'm 59 years old. i build guitars and ukuleles for a living. >> just a few years ago, he was building houses not ukuleles but his business took a hit during the recession. >> i started building them as a hobby to satisfy a urge that i had to play custom instruments and just going to do that until the home industry picked back up which it never did. >> now he's building instruments full time out of his north carolina home shipping them all over the world during his online store. he's making six figures, enough not to return to residential construction again. >> i was so happy than i ever was building houses and the st

eamon javers has been following the story from washington so what do we know at this point? >> hi sue. up to 100,000 americans have had personal information stolen by hack w impersonate them on the irs website. a piece of the website called the get transcript feature and able to answer very detailed questions about the taxpayers, including one security question what was your high school team mascot and they had that information when we went to the website to impersonate the taxpayer and the website saying they got it from facebook social media and the like and they got the information, including tax returns in many cases. >> so they were going one taxpayer at a time, because thd to research every one to get those kind of passwordy-y information. you might think that by going to the facebook page and go to the high school and finding out what the mascot was. but they are assuming because of the large number of people impacted here that it was ultimately an automated process to gather that data about people into a massive data base and automatically sen the questions as the ir

eamon javers has been looking into that. good evening. >> good evening. it turns out anyone can post anything to edgar. edgar is where invest yorz and journalists and public go to find up to the minute publications from companies and large shareholders but because so many people need to file documents it is easy to get access to the system. fill out a two page securities and exn form i.d. and they do not check the forms to ensure that the filers are actually real. >> you put in your information, you have to notarize it but you can notarize whatever informat they give you the code and you are good to go and from the s.e.c. comments we understand they are doing nothing at all to vet this information. and yesterday a fake company used that access to edgar to file an apparently fake document a form disclosing a bogu tender or for -- offer for avon and that spoke talk that even after the hoax and debunk ended higher. >> and the s.e.c. said they are not responsible for the truthfulness of the documents filed on the edgar system. the filers are responsible for t

he gave his first interview about his roller coaster ride of the past several years to eamon javers who has the first part of a whistleblower series. >>> so was it worth it at the end of the day. >> i would do it all over again. >> you would do jail again? >> sure. >> lose your career. >> absolutely. >> $104 million is a lot of money? >> it is a lot of money. but it is coming forward and doing something so historic. nobody had the courage to talk about it. >> he became intrigued by international banking while working at finance in massachusetts but never expected to become embroiled in the biggest tax evasion scandal in history. he moved to switzerland in 1994 to earn his mba and settled in geneva and got a job at credit suisse and bark liz and finally ubs. one of the few american as loued into the world of swiss banking. >> it was obviously a highly restricted to only the people who worked there so we had access through secure i.d. to get into the floors we were working on. it was a very tight work environment. the way he described it the job is part personal assistant, part spy. compl

eamon javers is here with that story. >> becky, as an american working at ubs in switzerland, bradleykenfeld had access to dozens of bank accounts hidden from the u.s. treasury department. he also had enough information to crack open the confidential relationship between swiss banks and u.s. tax evaders. birkenfeld blue the whistle on the conspiracy, and has endured some incredible highs anding amazing lows along the way. but his story is not over yet. bradley birkenfeld is taking a victory lap. >> i think i did something very extraordinary, unprecedented, historic. >> for the first time since collecting a massive payout, he is talking about how he became embroiled in and then blew the whistle on the largest and longest running tax evasion scandal in u.s. history. >> you can't possibly calculate the amount of money that's been generated as a result of this historic whistleblowing. >> he was instrumental in the beginning of the unraveling of swiss bank secrecy. there's no question about that. >> scott michael is an attorney specializing in tax litigation. >> i think the game is over. >

eamon javers joins us with more. questions are what does this mean and what do people do? >> it's a little scary, becky. it's 200,000 households that were attempted to get into by the criminals here in this case. the irs says likely criminal gangs from around the world possibly that were involved in this. only 100,000 of those attempts though, were successful. the irs said that what was fascinating in this particular case unlike other hacks that we have seen these people actually had a lot of information on the accounts that they were trying to get into already. they had things like names, social security numbers and other information and they were able to use that to pose as if they were the taxpayers themselves and get copies of those taxpayers' returns. one of the pieces of information that i found stunning that they had was in some cases the i.d. questions. what was your high school team mascot. they said that they apparently already had that level of detail, possibly from scraping social media, things like faceb

eamon javers has the latest. eamon? >> reporter: yeah, kelly, you're right.that tragic accident tuesday night now to eight after investigators found what appears to be a final body in the wreckage today. they say now all the people who were on that train are now accounted for so, they don't expect to find any more casualties here. meanwhile at amtrak, they say they expect they will be able to have modified service in the northeast corridor up and running by monday. they say full service will be in place as early as tuesday. they say a key issue there is just getting the cement to dry on the new track bed and getting the new tracks in place here today and then over the weekend. also here in washington, speaker of the house john boehner reacting angrily after a reporter questioned him act amtrak funding. that's become a big piece of this debate whether there's enough spending on infrastructure for amtrak. here's the speaker after he got asked that question. >> are you really going to ask -- that'ssuch a stupid question? listen, they started this yesterday, it's

thank you, eamon javers in philadelphia. >>> every four years the american society of civil engineersamerica's infrastructure and in its most recent 2013 report c plus. that was the grade given to america's rails, bridges garnered the same roads and transits both received a "d," though. >> high speed blamed for yesterday's amtrak crash so far, but crumbling rail infrastructure is a cause for concern obviously. let's take a look at what needs to be done to avoid tragedy in the future and how to improve these systems. we bring in the manager director of government relations and infrastructure initiatives for the american society of civil engineers. good to see you. thank you for joining us. >> thanks for having me. >> so, you know the tragedy yesterday aside, because we're still not sure what caused that but you know obviously infrastructure is a problem. when you have the volume especially this northeast corridor that's used the volume of train movement on the tracks of this part of the country has to take a toll over time doesn't it? >> well certainly. the use is going to be an issue.

. >> eamon javers has more on that story t.ike the grand total is $5.6 billion in fines and penalties for a number of big global banks including citi jpmorgan barclays and the royal bank of scotland. ubs, the department of justice deciding that ubs did not hold to the terms of its nonprosecution agreement. ubs now paying a $200 million fine as part of all this. the new attorney general, loretta lirchl at the department of justice in washington this morning said this is all part of a culture problem inside some of these big banks. >> currency traders at several multinational banks formed a group they dubbed the cartel. it's perhaps fitting that they chose that name as it aptly describes the brazenly illegal behavior they were engaged in on a near five-year basis. almost every day for more than five years traders in this cartel used a private electronic chat room to manipulate the spot markets exchange rate between euros and dollars, uses coded language to conceal their collusion. >> take a look at the digital messages going back

we'll go to eamon javers in washington. >>> the federal appeals court ruled the nsa broad data collectionformation about millions of americans phone calls is not authorized by section 215 of the patriot act. making it illegal. saying that section 215 of the patriot act simply doesn't authorize the program and the broad scope which the nsa applied it. this does not necessarily mean however, that the nsa is going to have to stop this program. this is a program that was due to expire. the legislative language, that is, next month. congress has been wrestling whether to re-authorize section 215. the fate of the meta data gathering program has been a big debate in washington for years. now very focused right now on whether or not this language will be authorized. the court saying the nsa does not have to stop gathering the data but congress ultimately will decide the fate of this program. >> thank you so much. >> get to the bond pits. check in with rick santelli at the cme in chicago. what a morning. >> obviously, around 4:15 eastern in the morning last night, the world's economies and all the

. >>> eamon javers what's going on?the irs is holding a conference call with reporters right now in which they're announcing that thieves apparently used a piece of the irs's own website to get into tax information for a lot of americans. they're saying they were able to access information for more than 100,000 taxpayers. the way the scam worked apparently according to the irs, is that the thieves were able to target an aspect of the irs's website called get transcript. by using some of the individual's personal information that the thieves apparently already knew they were able to go in and get tax information on a lot of those people, up to 100,000 people the irs is saying. that piece of the irs's website, the get transcript feature is now down. the irs is saying the attack happened between february and mid-may. we're going to monitor this conference call and bring you any more details on exactly what happened here. who's impacted and what it is the irs will do about it. >> how big a deal do you think this is for the

eamon javers in washington.r inspect general of the securities and exchange commission. david, i'll start with you. what's your reaction? is this a known situation that it's so easy to tap the s.e.c.'s data database? >> i think it's astonishing, frankly. people understand it's not a difficult or complicated process to put information on. there's an assumption that the s.e.c. is doing something, that they're looking at it in some way and not passing on the information completely. so it's of great concern that you know potentially somebody could use a government database in order to perpetrate fraud. >> you seem pretty upset by this, too. especially by the fact the filing remains on the site. >> it's up now. it's one thing to complain about the fact they don't have security in the front gates. it's another thing to say they're not ringing the alarm once they know the criminal is inside. as eamon just said this is a faulty document. the primary mission isn't enforcement. its primary mission is investor protection.

eamon javers has it live. >> reporter: that's right. it's another turn of the crank against swiss bank. the department of justice saying it has reached resolutions with four swiss banks here. those will enter the department's swiss bank program in which it's all about disclosure here. they're going to have to cooperate with doj investigations as to which americans had secret swiss bank accounts. they'll have to reveal a lot of information about those accounts. the one bank that most americans will recognize is private banking out of lugano. the doj saying that bank had and managed 109 u.s.-related accounts and they say that they had a peak value of assets under management of about $139.6 million. under this deal that's just been announced, they will pay a penalty of $1.363 million. >> thank you very much. >>> a news alert now in the bond market with seven-year notes up for auction. rick santelli tracking all the action at the cme. what is today's grade, professor santelli? the best of all three by far, a minus on 29 million seven-year n