he said if the economy needs help, if europe worsens, the fed is prepared to step in. >> the situation in europe poses significant risks to the u.s. financial system and economy and must be monitored closely. as always, the federal reserve remains prepared to take action as needed to protect the u.s. financial system and economy in the event of financial stresses. >> the fed chairman's testimony helped cool the marks thursday which had been hoping for a clearer sign of additional easing. the dow had its best day of the year wednesday up better than 280 wed. the markets continued to rise friday. 30-year mortgages hid 30.67% and that continues to boost prospects for home sales this year. >>> changes brewing at starbucks. the company will start selling single-serve coffee pods in the stoerts. starbucks plans to introduce its single-serve coffee machine this fall. >>> the bulls were back and forth but it's not exactly time to breathe easy. that's what jason trennert says. he joins me now. it's wonderful to have you on the program. >> thanks for having me. >> let's start with the fed. chair

the fed is ready to do more to help the economy if and when europe worsens, though of course we know this is not imminent. was that what the markets wanted to hear? do you agree that this is where things are going, the fed with stimulus? >> i have no doubts that the fed will be there if there is some sort of big financial dislocation as a part of europe. the problem as it stands now seems me though is that have you diminishing marginal return of quantitative easing or more easing on parts of the fed. interest rates are already so low what wonders what more monetary stimulus can do. that's also i think what chairman ben bernanke was suggesting, was say, listen, congress, it is more on you at this point. if you want the economy to grow, monetary policy has probably run its course. we can help out with liquidity but can't help out with larger changes that need to be happening. >> we've corvered this fiscal cliff a lot looking at this issue where year end tax cuts and spending programs will expire. the need to raise the debt ceiling will also be an issue. ben bernanke is also urging cong

the fed is ready to do more to help the economy if and when europe worsens, though of course we know this is not imnent. was that what the marks wanted to hear? do you agree this is where things are going with stimulus? >> i have no doubts fed will be there if there's some sort of big financial dislocation on the part of europe. the problem as it stands now seems to me is that you have diminishing margin on return of quantitative easing or more easing on the part of the fed. interest ras are already so low one wonders what more monitor stimulus can do. that's also what chairman bernanke was suggesting which is to say, listen, it's more on you at this point, if you really want the economy to grow. monetary policy has probably run its course. we can help with liquidity, we can't help out with larger structural changes that need t be undertaken. >> we've been covering this fiscal cliff a lot. on my program, on cnbc, basically looking at this issue where at year-end, tax cuts will expire, spending programs will expire, the need to raise the debt ceiling will be an issue. bernanke's urgin

as the financial crisis in europe worsens, the chair man of the fed talks about protecting the u.s. economy. reports from anthony mason and clarissa ward. the government calls for a crackdown on distracted driving. anna werner's on one town's decision to ban phones in cars. and nancy cordes with a member of the class of 2012 who can teach us all something about beating insurmountable odds. >> a lot of people use bad situations as an excuse and instead of doing that i used them as motivation. captioning sponsored by cbs this is the "cbs evening news" with scott pelley. >> pelley: good evening. one sued a day-- that is the rate of u.s. military personnel taking their own lives just since the first of this year. more troops lost to suicide than died in combat. it's a sharp increase over last year, and it's caught the attention of the pentagon. david martin has been working on the facts behind the numbers and he joins us now. david. >> reporter: scott, the war in iraq is over, and the war in afghanistan is winding down, but the pace of military suicides is actually increasing to a recor

as the financial crisis in europe worsens, the chair man of the fed talks about protecting the u.s. anthony mason and clarissa ward. the government calls for a crackdown on distracted driving. anna werner's on one town's decision to ban phones in cars. and nancy cordes with a member of the class of 2012 who can teach us all something about beating insurmountable odds. >> a lot of people use bad situations as an excuse and instead of doing that i used them as motivation. captioning sponsored by cbs this is the "cbs evening news" with scott pelley. >> pelley: good evening. one sued a day-- that is the rate of u.s. military personnel taking their own lives just since the first of this

. >> brown: the chairman also warned that europe's debt crisis is a worsening drag on the u.s. economy. and he appealed for action abroad. >> we think that the policymakers in europe have very strong incentives to get this right. and we're very hopeful that they will get it right. we're in close contact with them as they work on these issues. but again, it's also important for us to be prepared for any further problems that might emerge from europe and we have been doing that. >> brown: that issue took center stage at this week's annual group of 20 meeting in mexico. but the g-20 leaders stopped short of making any major decisions to remedy the situation. grep ip, u.s. economics editor for "the economist" magazine, was at ben bernanke's press conference this afternoon and joins us now. >> well, greg, the fed doesn't always speak so clearly but certainly a lowering of expectations for some time to come. >> well, the fed it's a lot happening in the last three or four weeks to worry them and lower the expectations of how the economy is going to perform. we had a couple bad job numb

will happen, for instance, if our job numbers stay where they are and the financial crisis in europe worsens? >> the big danger is the republican plan to the extent there is one is the same austerity europe is adopting and that's whack public budgets. if you cut public budgets is you take more stimulus out of economy. you have more unemployment, which means you have fewer government revenue, which means the public budgets are even more stressed and your deficits grow. that's why europe is going into recession because they adopted republican style austerity economics over there. the chancellor of germany is saying and doing the same things republicans want to do in the united states and look what's happening in europe. >> we know that whacking public jobs, budgets mean you have a whack economy and that's purely whack. >> it's whacky. >> thank you for joining us. remember to answer tonight's question at the bottom of the screen and share your thoughts on twitter. i want to know what you think. >>> coming up, keeping secrets. find out why one question really got under the president's skin, and

said by people who apparently do know something about the transaction that if the situation in europe worsenssses could extend upwards of $5 billion. and this is a loss that occurred at a relatively forgiving economic environment, at least in the united states, and in a bank that is why the regarded, probably correctly regarded, as the best run bank in the u.s. it does not give one a great deal security about what would happen if we have another financial crisis and what could happen in other less well-run, less financially strong banks. >> you talk about the crisis in your book about being not just republican affair or democrat affair, but bipartisan affair. talk about the role of democrats and all of this. >> the role of democrats i would say has been at least as great as the role of republicans. the most important deregulatory legislation was actually passed in the clinton administration. was championed by robert rubin, who was secretary of the treasury and former ceo of goldman sachs, then also larry summers, who is first a pretty treasury secretary and then treasury secretary. first ther

the chinese economy is unexpected least falling down and the debt crisis in europe is only worsening. greece may withdraw from the euro and spain may need a bailout. five months out from election day, the gloomy outlook spells danger for president obama. he tried to put a positive spin on the jobs report but acknowledged the obvious -- >> got more work to do. we're not satisfied. >> he is going on the attack with a new television ad slamming mitt romney for his record on jobs. >> when mitt romney was governor massachusetts lost 40,000 manufacturing jobs. romney economics, it did not work then and will not work now about both campaigns have boiled down their messages. >> manufacturing continues to rise because the president stepped in. >> i think this president is trying but his policies are not working. >> the president paz big challenge before election day is to convince voters that what rick mitt romney is selling would not be better. >> thanks. we have new details in the scandalous penn state university situation. jerry sandusky is under federal investigation. it involves one of hi

the debt crisis in europe is only worsening.reece could withdrew from the euro and there's new concern about spain needing a bailout. five months away from election day, it spells danger for president obama's reelection chances. he tried to put a positive spin on the jobs report but acknowledged the obvious. >> we have more work to do. >> reporter: the president's campaign is going on the attack with a new tv ad slamming mitt romney for his record on jobs. >> when mitt romney was governor, massachusetts lost 40,000 manufacturing jobs. romney economics. it didn't work then and it won't work now. >> reporter: over the weekend both campaigns boiled down their economic sales pitches. >> manufacturing jobs continued to rise. that's precisely because the president stepped in. >> it's not that we don't this this -- think this president isn't trying. we think that he is. >> reporter: they want to say what mitt romney is selling wouldn't be any better. >>> the struggling economy is also affect 1% of the u.s. knocking them back into the 9

are called an emergency -- have called an emergency conference call to -- call to talk about europe's worseningis. the united states, canada, japan, germany, france, britain and italy will be involved. canada is pushing hard for long- term fiscal policy reforms. >>> the family of three men gunned down in an apparent case of mistaken identity had a chance to speak to the killer. edwin ramos was convicted of killing anthony bolognaland -- and his sons, 20-year-old michael and 16-year-old mathew nearly four years ago. ramos was scheduled for sentencing yesterday but the judge delayed that until next week. instead, relatives were allowed to speak to the court danielle bologna is in a witness protection program so we won't show her face. >> let him rot. let him stay there the rest of his life. >> his daughter spoke and said "i hate you with all my heart. your daughter will know her father is a murderer." ramos only put his hand over his face. he faces life in prison without the possibility of parole when sentenced next monday. >>> a california boy fell to his death while vacation with his family in

from the effects of europe's worsening economy. but that's 23409 the part of his remarks that's making news. the president trying to regain control of his mess amg. >> if congress decides despite all that that they aren't going to do anything about this simply because it's an election year, then they should explain to the american people why. >> after disappointing jobs numbers drove unemployment up to 8.2%, he called on congress to pass the jobs bill he bruintrodd back in september. but he hit an offkeynote. >> the private sector is doing fine. >> republicans were quick to pounce. >> mr. president, take it from me, the private sector is not doing well. >> my question would be to the president, are you kidding? did he see the job numbers? >> here's the president in context. >> we've created 4.3 million jobs over the last 27 months. over 800,000 just this year alone. the private sector is doing fine. where we're seeing weakness in our economy have to do with state and local government. >> reporter: but last month, private sector job

europe on the brink. as the economic crisis worsens there, fear is growing that it could spread here. reports from anthony mason and clarissa ward. a showdown over how to fix the economy. >> and if you want to see the results of his economic policies... >> if you want to give the policies of the last decade another try... >> pelley: norah o'donnell and jan crawford with campaign 2012 reports. seth doane on how the recession wiped out two decades of accumulated wealth. >> i really thought i would be a lot better off by this point than i am now. >> pelley: and bill plante with woodward and bernstein, 40 years after watergate. >> the white house became a kind of criminal enterprise. captioning sponsored by cbs this is the "cbs evening news" with scott pelley. >> pelley: good evening. this is one of those days when the economic picture seems so ominous that the stock market rallied on the bad news. investors seemed to think that if things are this precarious, surely the federal reserve will come to the rescue and european leaders will come to their senses. here at home, new claims for une

and europe's debt crisis remains the biggest threat. it could worsen europe's struggling economy and drag down its bank, especially if greece exits the euro zone. >> a credit crunch of that magnitude could easily push us over the edge into recession. i don't think it's something that's going to create the same kind of catastrophic decline in stock prices we saw in '08 and '09 because we are in so much better shape to deal with it. >> some economists think job growth could improve later in the year in car factories, for example. car sales roared in may. chrysler alone up 30% as consumers caught up on purchases they delayed during the recession. >> we are seeing some pockets of the country where demand is definitely picking up in the housing mark. we saw gains in consumer spending in april. there is enough income growth for consumers to continue spending, and then businesses are very profitable. they are continuing to invest. >> now some economy efforts are looking to the federal reserve for some additional juice for the economy. they say today's jobs re

john: can a new greek government and bigger bail oits -- bailouts keep europe's economic trouble from worsening ours in the u.s.? covering the week -- jeff zeleny of the "new york times," laura meckler of "the wall street journal," major garrett of "national journal," and doyle mcmanus of "the los angeles times". >> award-winning reporting and analysis, covering history as it happens. live from our nation's capital, this is "washington week with gwen ifill". produced in association is "national journal." corporate funding for "washington week" is provided by -- >> we know why we're here. to chart a greener path in the air and in our factories. >> to find cleaner, more efficient ways to power flight. >> and harness our technology for new energy. >> the people of boeing are work atogether around the globe to build a better tomorrow. >> this rock has never stood estimate since 18 5 we've been there for our clients through good times and bad. when our needs changed we were there to meet them. through the years from insurance to investment management, from real estate to retirement solutions, we've

. >> physical of all jpmorgan is down because of that but also down because the europe situation has worsened. everybody buying jpmorgan when it was 42 and 44 thought there would be a solution. i said it's a great story, a great stock. but for the future right now i'm not going in the markets. if you have to be i'm neutral, minor exposure. if you going to be in jpmorgan you have to like the market. i don't like the market. >> how about one last catalyst. they say you know what we're going to get back into the buyback, $15 worth of stock. clearly another catalyst and 3.3% dividend yield. i think for those reasons alone you've got cat lests out there right now in front of us for why jpmorgan has more upside. >> clearly a positive sign, absolutely, i'll wait to see. >> good spirited debate. our next guest what the next highest on wall street, index, waiting for a rally by the end of the year. tony joins us with his second half of playbook. tony, welcome to the show. i want to be clear here. you do expect stocks to pull back a little further than they have to this point, right, before an accelera

it appeared to defy gravity, specifically, the gravity of the worsening situation in europe. investors were so doubtful today about spain that its cost borrowing nearly hit 7%, which the country cannot suffer for long. we have four reports on all of this tonight, and we will start with anthony mason with the looming crisis in europe. >> reporter: seven is not a lucky number for spain, whose borrowing costs have entered the danger zone. after groos, portugal, and ireland saw their borrowing costs soar to 7%, all three countries had to call for financial rescue. and with spain on the edge, italy, europe's third biggest economy, could be next. economists fear a contagion that could see these countries default on their debt. >> that would mean that the entire european banking system would collapse. >> reporter: michael darda of m.k.m. partners, says that could ignite another global financial crisis, 2008 all over again. >> we're talking about a multitrillion-euro shock, and that could be very, very ugly. >> reporter: and europe accounts for about a quarter of u.s. exportes, so re

economy stays morrow bust as europe's problems worsen. >> because a lot of folks really don't necessarilyreciate how interdependent the united states economy is with the european economy and then when you add what's going on in china, a huge market over there, if there's going to be a slow down in economic growth that can have an impact on economic growth across the board. we're less than two weeks or so from the g-20 summit in mexico where most of these big powers, all these world leaders are going to be getting together, and certainly the economy is issue number one. >> oh, yeah. you look at europe in particular. china is a huge economy and growing very quickly. there are concerns about how it's slowed down a bit. you look at europe. the eurozone is our largest customer. this is the largest destination, single destination zone for u.s. exports. so if you got members of the eurozone who are in recession and there are several of them. that's just not good for people who make goods and hire people in this country. it goes far beyond the interdependence of the banks and financial crisis and

consumer confidence has come out on the lowest level since november so the stats are not so worsening the mood in europe what we're seeing close to the well the closing bell the footsies up a point three percent the dax more than one percent again on the back of this hopeful stimulus coming in on the european market next week. and in commodities and brant adding. at this hour after opec decided to maintain production quotas as is without increasing them to ease the price pressure and in currencies the euro continues to weaken slightly just not sure versus the dollar world the ruble fell slightly in value against the basket of currencies also bank u.b.s. as recommenders clients to buy into rubles against the dollar and the bank says this could provide a verse of the potential four and a half percent gain if they do it before the elections in greece which will take place this sunday lenders analysts believe risky currencies could balance if greek far to supporting a european bailout when the voting if they don't high yields yielding assets can still rise as central banks may be forced to support the marke

economy is unexpectedly slowing down and the biggest concern remains the debt crisis in europe which is worsening. and greece would withdraw from the euro. and now there are worries about spain needing a bailout as well. and now economists are worried about a slow down as well. and cheaper gas prices just for the summer. but little consolation for the millions of americans without a job. >> vacations are okay but will they have jobs to return to? >>> the monster wildfires tearing across new mexico. at this hour, still less than 20% contained. fueled by drought, fanned by heavy winds. it is the largest in state history. devouring some 400 square miles of the gila national forest. the first fatalities of the fire season. an air tanker like the one you see right there, crashed fighting the blaze in utah, killing two pilots on board. let's go to sam to see if any relief is in sight. for that part of the country. >> good morning, josh. we'll look at the fire, we start with this. there are 12 of them burning in the west. 12 very large fires. hundreds of small fires. let's go back to the tape of that gi

europe. i'm not saying definitely for sure there won't be quantitative easing if things worsen in europe if we have an intensification. there is a risk that they do. >> we already saw the reaction in asset classes to qe and fisher talked about this last night as well. the question is, if there is no more qe in the states, have we seen a lot of the asset price reaction to that? >> i think the expectation of more qe can come back. i will not say with revenge but with benediction, in fact. add more qe in the future, the fact we say no today doesn't mean that we will stay on the sidelines. >> we have seen the reaction to the prospect of no more qe because the only way to go from here we might get some. >> is back towards it. >> it's a paradox. >> another part of what we're doing is they know for sure the impact on the financial markets will be nothing like it was in qe-1 and 2. the reason for qe-3 would be europe centric. >> the oil is up $4 or $5 last thursday and that was because they didn't think we would get any more money, i suppose. euro/dollar, around 1.25 level. very low expectations for t

. >> what should they do if things worsen or if europe or the united states fails to pick up a steam extending operation twist? what would you like to see them do preemptively? >> $500 billion qe3 including mortgages. >> what are the odds, do you think? >> there you go it. the market would like it, bob? >> that seems aggressive to me but i'm sure -- how long it would move -- >> worsen, if things worsens. that doesn't mean it will. it's a pleasure to have you with us. >> great. thank you for inviting me. bri yn? >> thank you very much. the fed's economic outlook released bay highly anticipated news conference of fed chairman ben bernanke. it is not "seinfeld" but in our business it's must see tv. tdd# 1-800-345-2550 we're hitting new highs. tdd# 1-800-345-2550 the spx is on my radar. tdd# 1-800-345-2550 and i'm on top of it all with charles schwab. tdd# 1-800-345-2550 tdd# 1-800-345-2550 i use streetsmart edge and its tools like... tdd# 1-800-345-2550 screener plus. tdd# 1-800-345-2550 i can custom build my own screens tdd# 1-800-345-2550 or use predefined ones to help me find tdd# 1-

then rocket propelled grenades best difference well company bosses around europe agree as the financial crisis in greece worsens companies are getting ready for everything from social unrest to a complete meltdown of the financial system now of course the einstein we're here to comment on this he would say the very act of suggesting this to happen you're preparing by preparing for a financial and social unrest that was actually a freudian slip there to a financial unrest well you're going to create the situation they're not preparing for a financial unrest or any social unrest whatsoever because they're not forcing people to buy gold and silver they're forcing people to you know they're assuring them they're corralling them into paper prisons into banks that are about to go failure to about to go belly up and that's the preparing anybody for the apocalypse that's coming they don't even know the first thing about economics osborne and cameron are . financially illiterate well these are company bosses across europe so major corporations across europe so what does christine legarde who yelled at the greek people p

europe on the brink. as the economic crisis worsens there, fear is growing that it could spread here.anthony mason and clarissa ward. a showdown over how to fix the economy. >> and if you want to see the results of his economic policies. >> if you want to give the policies of the last decade another try... >> pelley: norah adonnell and jan crawford with campaign 2012 reports. seth doane on how the recession wiped out two decades of accumulated wealth. >> i really thought i would be a lot better off at this point than i am now. >> pelley: and bill meant with woodward and bernstein, 40 years after watergate. >> white house became a kind of criminal enterprise. captioning sponsored by cbs this is the "cbs evening news" with scott pelley. >> pelley: good evening. this is one of those days when the economic picture seems so ominous that the stock market rallied on the bad news. investors seemed to think that

worsening. you have problems in europe, china -- >> even if we get the best possible outcome which we should, it'sajority, you say sell equities? >> i'm saying if you're fully invested and what do you do in the last hour? maybe sell some of the weaker names. we like u.s. equities in the long term. i don't think there's much you can do in the next hour to help you monday morning. >> what would you do with gold which loves central bank intervention. >> we're long gold and we like it for a number of reasons, not to mention the one that you just eluded to as well. you have to look at what is happening in the credit markets. if you look at the markets rallying today as well. that sends a strong signal that the bond markets are not particularly enamored with any of the potential outcomes. so a risk strategy is likely to work best. >> risk off strategy is just being out of the market? >> or certainly -- >> 100%? >> that's the ultimate risk off, but again, unless you have a crystal ball that's very clear, you're probably not going to want to do that. >> and fed won't do anything next week? >> we do think

and the debt crisis in europe is only worsening. >> that global environment across the three main enginesrices aren't exactly plummeting. >> the price of gasoline comes down with a parachute and goes up like a rocket. >> reporter: the gloomy overall economic outlook spells trouble for the president's re-election chances. and his campaign is going on the attack with a new tv ad out today slamming mitt romney for his record on jobs. >> when mitt romney was governor, massachusetts lost 40,000 manufacturing jobs. romney economics. it didn't work then, and it won't work now. >> reporter: but the romney campaign says it's the president's policies that aren't working. and mr. obama has run out of time to fix the economy. rob and paula? >> thank you, karen. >> if ever there was a time for romney to pounce, he has pretty much stayed true to his course and his message which is the economy, the economy, the economy. and you look at his record in massachusetts, which they are harping on, and maybe his record at bain capital, but he did bring that unemployment rate down nearly a percentage point. >> a

the debt crisis in europe is the big concern, it's worsening. greece could withdraw from the euro. spain might need help as well. economists are worried about another recession here at home. one possible bright spot, oil prices at the lowest level in eight months. cheaper gas prices just in time for the summer. >> vacations are okay but will they have jobs to return to? >>> the monster wildfires tearing across new mexico. less than 20% contained. fueled by drought, fanned by heavy winds. devouring some 400 square miles of the gila national forest. the first fatalities of the season. an air tanker like the one you see there crashed, killing two pilots on board. let's go to sam to see if any relief is in sight. >> we'll start with this. there are 12 of them burning in the west. 12 very large fires. hundreds of small fires. back to the tape of the gila forest fire. the largest wildfire in new mexico history is this fire you're looking at right now, picked up 14,000 more acres over the weekend. now 1200 firefighters trying to cut fire lines around this fire. it's not going to get el he