we have some fairley dismal factory output numbers, as well, as well as a fairley down beat tankan. taking that in stride and looking for further in the yen this year. heading into the ecb and your neck of the woods and heading into nonfarm payroll. >> thank you for that, sri. let's recap the composite pmis that we now have out in the eurozone. 53.1 or 52.3 in february. the german number a little weaker than the flash number. nevertheless, market says this is pointing to growth of 0.5% in the first quarter. but here is the key, bearing in mind it's the ecb meeting today. the busiest quarter in three years for eurozone businesses. but they've done it by slashing prices. survey showing -- this is what we're seeing at the moment and that underscores bits there there is a risk of deinflation. we're in disinflation at the moment and that is a concern, of course, that the imf is expecting today. we're going to have more on that as we go through the show. right now, we're going to talk russia. and the economics minister has been telling the cnbc that the country has no plans to impose rest

i think that's fairley clear. say here that what is a more important drive for concerns is valuation. but the stocks have performed very well and valuations have gone up. >> yes. two things here. you've seen a sharp rise in valuations in europe in particular because you have yet to see strong profit growth. that is not surprising. the initial the recoveries in equity markets from very deep bear market lows is nearly always driven by multiple expansion. the question is when does profit growth really take over as the driver. normally, that starts to happen as you get these initial rises in short-term money market rates. and it is, indeed, our expectation that profits will grow reasonably this year. >> a rise in short-term ratio is seen as an inflation should help drive profits is the -- >> right. >> indeed. you know, the offset would be that the all of that recovery is already in the market and, as you say, valuations have gone up. but we don't think they have yet stretched enough, given the margin and revenue growt

jobs market is still fairley weak. spooking in chicago, the fed chair says extraordinary measure res still required. >> recovery still feels like a recession to many americans. and it also looks like way in some economic statistics. at 6.7%, the national unemployment rate is still higher than it ever got during the 2001 recession. that's also the case in chicago, and in many other cities. >> julie coranodo is still with us. we talked earlier about how we thought the fed maybe got the wrong message a week or so ago. so what is going to happen? >> well, look, they were never going to take back six months. and six months is not an unreasonable time frame between the end of qe and the first rate hike. if everything goes absolutely perfectly well in the u.s. economy. and what janet yellen was highlighting is where they've been missing is on the inflation side. there's been a delinking between progress on the unemployment point and wage growth. in other words, we would typically see a lot more wage growth now given how much

the nikkei composite fairley flat. so they escaped with that. of course, when the yen has been weak, it's done fairley well. the hang seng is down 0.25% and the s&p asx in australia up 0.25%, as well. now, the prime minister, meanwhile, has wasted no time in implementing the first step of his ambitious reform agenda. legislation was passed through the lower house yesterday to cut down the local government. renzi says the bill will reduce the by 3,000 saving around 300 million euros. what do the they think of the italian prime minister on the shores of lake como? >> jules, it's a lovely spot to be. look, what do they think of mr. renzi so far? >> it's interesting. i've heard a lot of the words hope used this morning. actually, i quote the professor arriving and she says optimism right now can be a self-fulfilling prophesy. there is a lot of hope here that he can push through and implementing some of the reforms he's implementing at this stage. election reform, institutional reform is absolutely vital for him to implement some of the reforms that

retailers fairley flat at the moment. utahs, basic resources, telecom res taking the weakest point of it, as well. that's where we stand in europe. all eyes on the ecb. we do expect no action, but how dovish will mr. draghi be in his testimony and will that start to take some pressure away from the -- what many regard as an overvalued euro at the moment. back to you. >> all right. thank you, ross westgate. good to have you back with us every day. >>> a shooting at ft. hood, another one, has least six dead and 15 wounded. jay gray joins us with more on this the story. jay. >> good morning. shock, disbelief, a lot of people wondering how this could happen in the span of five years, that two soldiers here would open fire in this latest atta attack. the suspected gunman, 34-year-old ivan lopez. he had only be at ft. hood for about three weeks. it's the largest o post in any nation. 50,000 people live and work on this base. look, this happened just after 4:00 local time yesterday afternoon. shots rang out in the motor pool her

and he did remain fairley dovish.here is concern he may have to do something later on in the year as inflation stays low, although it may not. we'll see what happens. as far as the sector breakdowns today, this is where we stand. technology telecoms, retail, health care all slightly weaker. the gains we're seeing, resources up 1%. autos up 0.9%. travel leisure is up very much the cyclical part of the market is a little firmer today. we, of course, got more speculation coming out. we'll get more stimulus out of china. we've got a bank of ya pan meeting beginning next week. are they going to come out with more stimulus, as well. bearing in mind we have the sales tax hike bouncing through to the resource sector, as well. there's one stock worth pointing out this morning. remy cointreau has been up higher by 2.27%. though follows being picked up by san tori. remi is maybe not a bad target. the top management has been leaving the country in recent years. they've got a 2.9 billion market cap with shares about 40% below wher

the breakdown effect, even in sectors weighted to the upside, also doing fairley well. construction material, banks, weakness in food and beverage, health care and telecoms. we're really looking to see whether the ecb responds to the very weak inflation we had out yesterday, albeit the pmi we had out yesterday are okay. back to you. >> all right. are you back for good, ross? is that the -- what is with the glasses? some days you -- what, do you have pink eye like bob costas or something? on and off? >> no. i just had a little eye infection. >> owes, my god, that's the -- you see? i was right. that's what happens during the olympics unfortunately. all right. thank you. >> yeah. >> see you, ross. >>> when gm's mary barra heads to capitol hill today, she will be questioned by michael burgess, vice chairman of the oversight and investigation subcommittee that's holding the gvm hearings. thanks, thanks for joining us. she said just in herr comments, you're able to say this gm is different. it gives them sort of -- not plausibility deniability, but being a new ceo, they can h