j.p. morgan chase is the first big bank to turn in its financial report card. so what can investors expect from banks? fred cannon joins us with some answers. he's co-director of research and chief equity strategist at keefe, bruyette, and woods. >> thank you, tom, good evening. >> tom: how would you characterize the industry's earnings power ahead of the fourth quarter numbers due to begin tomorrow. >> a heck of a lot better than a year ago. we've seen some fundamental improvement for the banks during the last year and credit has gotten a lot better. so we think that the numbers will look good, certainly on a year-over-year basis. that said, there's a lot of headwind ahead of us for core earnings at the banks. which we can talk about. >> tom: exactly. i want to hear about that because diversified banks like jpmorgan tomorrow, bank of america in the week ahead, big national names are really kind of falling off the floor. a year ago they lost $11 billion. this past fourth quarter making 8 billion is the estimate from thompson reuters. a big rebound but is this s

j.p. morgan's c.e.o. diamond says more us minister pallet ease may file for bankruptcy so this is j.p. morgan chase chief executive jamie dimon and he says he expects more u.s. manesar polities to declare bankruptcy and urged caution when investing in the two point nine trillion dollar public debt market in the united states. jamie diamond he's a suicide banker and a financial terrorist because. if memory serves going back a ways what's the other part of this i think there's another part of this whole thing many of the municipalities right now are going bankrupt because of declining revenue but they were started down that path of bankruptcy you might recall by headlines we were covering last year. this is from two thousand and nine j.p. morgan settlement bank to pay se c. over seven hundred million dollars over charges of illegal payments so j.p. morgan chase last year agreed to pay seventy five million in fines and forfeit six hundred forty seven million in fees to settle federal regulators charges that it made unlawful payments to friends of public officials to win municipal bond business in jeff

j.p. morgan chase will weigh in with their quarterly reports. we'll get updated inflation data from both consumer and producer price reports, and the government releases its take on last month's retail sales. >>> overseas this morning, china reported a trade surplus narrowed sharply in december. that news could take the edge off of currency talks scheduled between china and the u.s. later this month. oil prices rallied near $90 a barrel this morning after a pipeline leak shut down the transamerica pipeline yesterday. that leak could lead to higher prices at the pump, up nine cents in the past three weeks to an average $3.08 a gallon. >>> verizon has hit the stage for a big announcement tuesday, and several reports say the big to-do is to unveil its long-awaited version of apple's iphone. the first round of deal news could be the spot in trading. danish food maker in a deal worth $6 billion. >>> and a group of private equity firms are reportedly interested in buying out sara lee, a deal worth $11 billion. >>> and finally, one sign the nation's cu

j.p. morgan chase. today herrerra announced the decision. >> people come from all over the world to learn about asian art. >> mayor newsom also announced that he and former mayor willie brown will help raise money to help with the costs. >>> the job market appears to be increasing despite the up tick in unemployment claims. many economists expect the december jobless rate to fall .1 of a% to 9.7% once unemployment if i can yours are release -- unemployment figures are released tomorrow. >>> sales were still greater than in 2008 holiday sales season. >>> the annual silican valley international auto show got under way today in san jose. that show boasts hundredsover new cars, and hybrids some with next generation technology including inflatable rear seat belts, built in wifi even satellite tv. cars with good gas mileage were among the biggest topic around the show. >> i think it's important that we start to reduce our emergency dependency and make responsible choices with what we buy. >> that auto show ru

j.p. morgan chase, its shares rising after reporting a 47% jump in fourth quarter earnings. they beat analyst expectations, posting profits of $4.8 billion in the final three months of last year. the banks' revenues rose thanks to the increasing demand for loans from corporate and consumer clients. jpmorgan is widely seen as a barometer for the help of the u.s. economy. >>> the number of new car registrations in europe has slumped by about 5.5%. the decline came after most government incentives expired for car owners to upgrade aging models carry the decrease affected most big manufacturers, with toyota, honda out, and fiat taking the biggest hit. iluxury brands but the trend. analysts expect 2011 to remain sluggish for the european mark, but things will improve later in the year. >>> the late pope john paul ii is closer to sainthood today. pope benedict xvi has approved evidence that john paul performed a miracle but during a french none of parkinson's disease. it will take place in a ceremony on may 1. the time between his death and his beatification is one of the shortest

j.p. morgan chase bond index costs are declining on the back of last year's fourteen percent jump and world prices which pushed it a nine to dulles at their all that surged is helping balance russia's budget as almost half of all revenue is coming from one of the cats. that's all we have time for now you can always find more stores in our website that's our two dot com slash business. they were toys filled with joy with parades and marches. inspiring people with enthusiasm. but it was everything really that good and the loud feel to speak out. though she shed her thoughts only with her diary it all became evidence in the trial for counter-revolutionary activity. the evidence which condemned to a label in. the diary of a soviet school on obscene. wealthy british style. market why not. come to. find out what's really happening to the global economy with max cause or for a no holds barred look at the global financial headlines tune into cars a report. for the full story we've got it first hand the biggest issues get a human voice face to face. with the news makers. good to have you with us thi

j.p. morgan chase executive william daley as his chief of staff. the chamber of commerce, a critic of the administration, welcomed daley's appointment calling it "strong." still ahead, where best to invest? this man says index funds. our interview with burton malkiel, author of the best- selling "a random walk down wall street". >> tom: citing missteps, poor communication, and systemic failures, president obama's oil spill commission lays the blame for last year's gulf oil disaster on lax industry management. that drew a sharp response from the industry's largest player, exxon mobil, which was not involved in the gulf disaster. c.e.o. rex tillerson said the commission did not investigate the entire industry and ignored years of good performance. for more on the safety of deepwater drilling, washington bureau chief darren gersh spoke with the oil commission's co-chair, william reilly. >> thank you very much, for your time, i appreciate it. >> your report concludes the bp oil spill was avoidable, why? >> well, if you look at the sequence of decisions

j.p. morgan chase says last year small business lending increased 50% over the previous year and should increase again this year. fifth-third bank says it's lending more to small firms, especially so-called recession resistant businesses like funeral homes, grocery stores, and medical facilities. marino orlandi a vice president for fifth third's business banking group credits an improving economy. >> companies are doing a little better. there are certain companies that have made the adjustments. they probably had a terrible year in '09, they had a better year in '10 and because they had a better 010 we feel more comfortable lending money to them. >> reporter: still a lot of small businesses are being left out in the cold. banks aren't lending much to start-ups or microbusinesses which have fewer than five workers. here in chicago those businesses comprise about a quarter of the city's employment base. >> you connect it to one of the closest locking positions. >> reporter: jim orrico demonstrates ez rock-- a device he developed that helps caregivers move disabled patients. his start up-- assistiv

j.p. morgan chase and index weren't caught so declining on the back of last year's fourteen percent jump in oil prices which pushed it above ninety dollars per barrel that surge is helping balance russia's budget as almost half of all revenue is coming from oil and gas. that's all we have time for now but you can always find news stories on our website r.t. dot com slash business. we'll. bring you the latest in science and technology from around russia. we've dumped a huge earth covered. download the official anti up location tool i phone the i pod touch from the top story. jaunty life on the. video on demand on t.v.'s mine gold costs an r.s.s. feeds now in the palm of your. question on the dot com. more news today violence is once again flared up the phone these are the images the world has been seeing from the streets of canada. china operations are all day. thanks now here in moscow very welcome back to poland riyadh the official investigations are for the pilot arrows of mostly to blame for the plane crash which killed the country's president the global legs the findings all sound. and

j.p. morgan chase bond index that's twenty one basis points below the average of five point one percent for developing european countries or in costs are declining on the back of last year's fourteen percent jump in oil prices which pushed it above ninety dollars per barrel that surge is helping russia's outlook to improve as almost half the country's budget revenues based on oil and gas. that's your business update for this hour join me in fifty minutes time for more. good to have you with us. from the russian capital we have twenty four top stories this hour poland angrily russian investigators report the part of town was mostly to blame for the plane crash which killed the country's president of. the findings a sound. political. disaster last april. united states of haitian immigrants back home to a country still struggling to keep its people one year after being struck by a massive earthquake washington suspended deportation after the quake but since we started. selling sex in spanish newspapers this designed to protect women is leaving prostitutes seeing red they say it's not stopping

j.p. morgan chase. the u.s. supreme court says the bank did not have to give written notice before raising credit card interest rates on customers who defaulted on a payment. the law has since been changed and now requires banks to give advance notice when raising rates because of default. >> it's like having a high end boutique online, and who doesn't want a deal? >> tom: it seems lots of people do! in tonight's "shoptalk," we'll show you a new trend in retail that's attracting lots of high- end bargain hunters. >> susie: if you're keeping score, the dow is close to revisiting an old milestone. in the last two months, the blue chip index has jumped almost 900 points or 8%. while some market pros say stocks are headed for a correction, many say there's momentum for another move even higher. suzanne pratt reports. >> reporter: guess what? the dow is now just a stone's throw away from 12,000. the blue-chip index was last at that milestone in the summer of 2008, right before the financial crisis hit. after plummeti

j.p. morgan chase and bank of america advancing two point four one point seven percent respectively. here in russia trading ended already on wednesday the r.d.s. an m i six continued to rally supported by gains in europe and the united states as you saw in the high oil price news on mergers and acquisitions activity in that respect we're moving the markets mostly telecom jumped over nine percent in the end some parts of the day it was eleven percent higher as it would have to go as a rate brooke offered to exchange their ten percent stakes international telecommunications shares in the senate on the price of oil continue to advance helping producers like ross now it's up three point seven percent at the close dollars nickel returned to pre-crisis levels and was trading near historic highs an expectation of the company would buy back six point two percent. but it's still at around two hundred fifty dollars bushehr. even though it's only the second day of trading for russian stock markets since the new year holidays it's already one of the best performers compared to other emerging mar

j.p. morgan chase and bank of america advancing two point one and one point seven percent respectively here in russia final minutes of trading the r.t.s. m i six to continue to rally supported by gains in europe and a high oil price the embassies of jumped more than three percent this week already analysts to expect this trend to continue although a short term correction could of course fall after the strong gains gas problems burbank are both bouncing back as are most of your chips this hour in more detail. eleven percent on the my six eleven half as garden braybrook offering to exchange their ten percent stakes in national telecommunications for shares in telecom and this merger deal the price of oil continues to advance helping producers like for snap among the top gainers free point three percent this hour also returned to pre-crisis levels and is now trading near historic highs on expectations the company will buy back up to six point two percent of its stock at around two hundred fifty dollars a share.

j.p. morgan chase and bank of america advancing two point four one point something. here in russia of course trading days over the r.t.s. m i six continue to rally supporters by gains in europe in the higher oil price and also news on merger and acquisition activity for moving the markets mostly on that in the second the price of oil continued to advance helping producers snap was among the leaders of the day of course as you can see there three point seven percent of the endless nickel returned to pre-crisis levels this trading news story an expectation they would buy back six point two percent of its stock that's around two hundred fifty dollars per share growth telecom jumped over nine percent on the myself as some good news because and to exchange that temp sensor takes in national telecommunications for shares in the company. has performed it but actually been the best performing stock today but it is the commodity space that is kind of leading the team right now in terms of telecom this a number of speculations right now some are basically conspiracy theories a

j.p. morgan chase bond index twenty one basis points below the average of five point one percent for developing european countries or in costs are declining on the back of blotches fortune percent jump in oil prices which pushed it to buffet ninety dollars per barrel that's that surge is helping russia's outlook to produce as almost a heart the country's budget revenue is based on oil and gas. it's all the business for now are joining me in less than fifteen fifteen minutes for another business update. soon from the stupid. stunts on t.v. dot com. in the morning here. just join us top stories now in this hour poland react angrily to russian investigators report the pilot error is mostly to blame for the plane crash which killed the country's president of global. political. disaster last night. united states prepares to kick hundreds of haitian immigrants back home to a country still struggling to keep its people alive one year after being struck by a massive earthquake washington suspended deportation off of the twenty foot has restarted. newspapers and it's designed to protect women is leaving

j.p. morgan chase and bank of america advancing two and a half and one point six percent respectively european stock markets closed higher after portugal succeeded in getting a key in the awaited debt auction away h.s.b.c. continues its a winning streak taken from choose day its shares are up three point eight percent at the close after and this is citigroup lifted the group's recommendation to buy from home. and here in russia the ideas in my six continued to rally supported by gains in europe and high oil price news on mergers and acquisition activity we're moving the markets mostly secular more detail growth telecom jumped over nine percent on the my second of course as i would have to go as an re broke offer to exchange the ten percent stake in national telecommunications for shares in most ethical the price of oil continued to advance helping producers was among the leaders in gate three point seven percent today there is no call returned to pre-crisis levels and was trading near historic highs and expectations that the company would be buying back six point two percent of its own stock a

j.p. morgan chase. now to a developing story in maryland where danger came in the mail today at two state office buildings 20 miles apart. packages ignited when they were opened, slightly injuring two employees. homeland security correspondent bob orr is in washington. bob, what can you tell us? >> reporter: well, katie, sources are telling us now the mailings in maryland are not believed to be connected to any domestic terror group. instead, investigators now suspect the small devices were sent by someone who's angry over those maryland road signs asking motorists to report suspicious activity. 300 people were evacuated today from two maryland government buildings after two nearly identical packages ignited when they were opened. the parcels were not bombs but incendiary devices designed to trigger small fires and fear. in opening the packages, mail handlers reported small popping noises, smoke, the strong smell of sulfur. sources say the devices may have used matches as igniters. one of the packages w

j.p. morgan chase and bank of america advancing two point two a month point six percent respectively. here in russia wednesday traders of course closed the r.t.s. m i six continued their rally supported by gains in europe and a high oil price news on merger and acquisition activity were moving the markets mostly telecom jumped nine percent on the my six as to company braybrook they offer to exchange their ten percent stake in national telecommunications for shares in the senate the price of oil continues to advance as you see their point almost eight percent and north nickel returned to pre-crisis levels and was trading near historic highs and expectations but the company would buy back its own shares six point two percent of them at around two hundred fifty dollars for the share. even though it's only the second day of trading for russian stock markets since the new year holidays it's already one of the. the best performing markets compared to other magic markets chief strategy is that on capital peter weston explains threw up almost two percent and you looking at the demand being ma

j.p. morgan chase and bank of america advancing two point eight and one point nine percent respectively positive news from europe to where the stock markets closed higher after portugal succeeded in getting a keenly awaited debt for shit h.s.b.c. continues its winning streak taken from shoes day shares were up three point eight percent at the close of the analysts at citi group lifted the recommendation for the stock to buy from. here in russia very positive session on wednesday r.t.s. m i six continued their rally supported by gains in europe and the higher oil prices news on mergers and acquisition activity were moving the markets mostly is take a look at that more detail now as you can see there jumped more than nine percent on the my six in just one trading session after the gods and braybrook offered to exchange their ten percent stakes in national turner communications for shares in telecom now the price of oil also continued to advance helping producers like grozny after you can see their three point eight percent gains in this session not as nickels a return to pre-crisis levels and the

j.p. morgan chase to come to the white house does the same obama who criticizes wall street likes to call them fat cats and yet brings these people into his closest circles so we asked you if you thought the wall street in washington had become one in the same and here are some of your responses alondra sanchez says have wall street in washington become one of the same haven't they always been since the fed was created back in the early twentieth century so fun bore writes i just read about bill daley at wiki and he looks brilliant to me perfect choice no kidding on twitter polly murphy responded it's become an incestuous relationship between them and it can only lead to another financial meltdown and even gave us his response via you tube check it out. if you want to see the washington wall street connection . or the federal reserve bank. and that's exactly what it's done. now as always we appreciate your responses and so here's our next question for you last saturday's shooting rampage in tucson arizona left six people dead fourteen more injured and the suspect twenty two year old jared

j.p. morgan chase a major mortgage lender big companies are taking over there on. my feet and i don't know much about economy you don't have to be i'm starting to figure out that with big business playing a bigger role in the white house it's unlikely that help to stop the foreclosing of america will come any time soon. in los angeles. so while focusing so much on the economy in his speech last night why did the obama leave out two words that hit closest to home for so many americans unemployment was a mention once foreclosure and tirelessly absent could have been too focused on the future to confront current realities joining me from our studio in new york to discuss it is joe weisenthal deputy editor of the business insider joe thanks for joining us so what do you say is obama trying to pretend like foreclosures unemployment just doesn't exist or i mean why would news those two words hello we hear them all the time they're real they're happening. yeah it's really strange especially on the foreclosure front because this has been an issue for a long time the connec

j.p. morgan chase executive and he has a long political history as well not only is he a former u.s. commerce department secretary he also comes from the chicago mayoral dynasty you know the city responsible for obama's political upbringing at least one member of the daley family has been running the city of chicago for almost fifty years including the most recent mayor who happens to be williams brother it turns out that obama is considering daley as a front runner front runner for the chief of staff position in his cabinet somewhat ironic considering that obama's former chief of staff rahm emanuel is currently campaigning to be the mayor of chicago but moving on another business executive in the running is roger altman if picked all they would take over the role of heading the national economic council he's the founder and chairman of evercore partners and he's got a long history with several other banks like lehmann brothers lehman brothers but all men also has the washington experience on his resume he served as assistant secretary to the treasury under the carter administration

j.p. morgan chase said there's no need for it to happen again but i think if we do see political gridlock it will happen again as far as they're not being agreement and there being two separate reports and so on that sort of thing was almost inevitable given the kind of money that's being given in political contributions right now so this kind of political division was bound to happen but what's surprising if you look at the poll numbers in this country the vast majority of american people regardless of their political party or regardless of whether they consider themselves liberal or conservative thinks more should be done to regulate wall street and they're absolutely right well one of the things that i think a lot of americans would agree with is that they feel like no one has been held accountable for what happened and so supposedly you know this commission what they did is they did pass on a few names to the department of justice and people and they're recommending for prosecution we don't necessarily know who that is yet but what do you think the chances are that the d.o.j. is actua

j.p. morgan chase, that bill daly is coming in with a new found relationship with the business community in the white house. >> and the term robert gibbs used is a major retool something >> no doubt that's what's going on, and robert admit thad straight up. you'll see a new chief of staff, new senior advisers. and we're going to hear about a new economic chief at the national economic advisers for the president. we're seeing major positions in the white house get all changed around, new blood coming in, this is going to be a big point for the president, and we'll hear more about that in the upcoming state of the union address. david chalian, thank you. >> lehrer: now, what happens to teenage brains in a multi- tasking, digital age? "newshour" science correspondent miles o'brien has our look. >> reporter: it's a school night and the 16-year-old jain twins rakhee and anika have a heavy load of homework ahead of them. so where to begin? how 20th century of me to think that way. the correct answer is: do everything all at once. >> well, right now, i am working on my physics lab and my hamlet es

j.p. morgan chase. the president said all that experience will help. >> he has led major corporations. possesses a deep understanding of how jobs are created and how to grow our economy. and needless to say bill also has a smidgen of awareness of how our system of government and politics works. you might say it is a genetic trait. >> holman: daley's father was the late chicago mayor richard daley. his brother is the city's current mayor. the new chief of staff thanked the president today for selecting him to replace pete rouse, who's served on an interim basis. >> you, mr. president have proven your strength your leadership your vision during a most difficult time for our nation and for the world. you have also shown through your example that public service is an honorable calling and i am pleased to answer your call. >> holman: daley is expected to start in his new job in the next couple of weeks. there was a raucous welcome in iraq today for shi-ite cleric moqtada al-sadr. he's been living in exile in iran for four years, but returned home to najaf on wednesday. today, hundreds of su

j.p. morgan chase executive as his new chief of staff? and gene sperling, goldman sachs consultant as his chief economic advisor? >> as i have gone up and down the state of delaware as a senator, i've had the opportunity to meet with business leaders, with those who own and run small businesses and with large business leaders. folks with the farming community and seniors and veterans and i hear same concern over and over. they want us to focus in congress on getting the economy back to work on creating high wage jobs. if the administration is making a change in leadership that brings in to leadership folks with more experience in the private sector who have got more ability to work across the aisle, that's a choice the president is making. i do think -- >> bret: despite the fact that you -- >> -- positive relationship with the private sector. >> bret: yeah. despite the things you said in the campaign about those banks what happens that the gentlemen worked for, you think they're going to be -- >> but let's be clear. i wasn't saying in the

j.p. morgan chase was no longer willing to sell her house back at market value. the deal would have given her a more affordable mortgage. for the record, another lender, bank of america was a "newshour" underwriter when that story was produced. paul's reporting continues online, where he's following up on others featured in this week's series. >> brown: and to the analysis of dionne and gerson. that's "washington post" columnists e.j. dionne and michael gerson. mark shields and david brooks are off tonight. welcome to you gentlemen. >> thank you. >> brown: and happy new year. >> happy new year. >> brown: so it is the end of the year, so we're a hawed to think big. not just the week. what defines, what defines this year in politics? >> i don't know, i think it was a year of impatience. the american public -- >> impatience? >> yes, the american public was impatient with the democratic congress that seemed to be, you know, be on every issue except the ones they were concerned about. impatient with a president that didn't seem either as inspiring or effective as he s

j.p. morgan chase executive william daley his new chief of staff. all of this comes after a series of moves to jumpstart private sector hiring, including a tax cut compromise that cheered wall street but angered liberals, and a long-awaited trade deal with south korea. but a new associated press poll released today shows a public still skeptical of the president's economic policies. while the president's personal approval rating improved to 53%, more than half of those surveyed disapprove of how he's handled the economy, and just 35% say it has improved on his watch. but nearly 75% said it's unrealistic to expect noticeable improvements after two years. >> brown: and we look further at all this with robert reich, former labor secretary in the clinton administration. he's now professor of public policy at the university of california, berkeley. his latest book, on the financial crisis, is titled "aftershock." and john makin is chief economist for caxton associates, a new york-based investment hedge fund, and a resident scholar at the american enterpr