more on the tough times at jp morgan. >> it's big. and so is the target on jp morgan's back. just this week, mortgage giant freddie mac named jp morgan in a lawsuit. the charge? it cost them billions. >> i simply do not know where the money is. >> ms global, the firm john corazine led into bankruptcy settled the bank amid criticism it withheld emergency cash as the brokerage teetered on the edge of collapse. >>> if that wasn't enough, the bank has also come under fire for assisting harmful payday lenders. sometimes charging interest rates upwards of 500%. also, foreclosing on homes of members of the military while on active duty. pay slashed in half in january and the bank disclosed 17,000 layoffs in february. the flood gate of bad news first opened last year when jp morgan's european arms made a giant trade on the global economy. dubbed the london whale for its sheer size, it cost the bank $6 billion. >> the rules need to be revamped. >> grilled over that very trade last week on capital hill, senator carl leaven took executives and the bank's regulators to go awry. >> the oc

meanwhile, the case is still not closed on jp morgan. a new congressional subcommittee is delving in again, to find out what caused the bank's major trading losses last year. the new york times reports the investigation will likely point fingers at jp morgan executives. top-level execs could be called to testify before congress. however, jamie dimon will likely not be called to testify. jp morgan has no comment on the matter, but is cooperating with the subcommittee. the report on the investigation will be out march 15th. it's not just the dow that is posting record numbers - home prices are too. in january, the average price rose 9.7% when compared to a year ago. that's the biggest increase since 2006. data just released by core-logic shows phoenix saw the biggest gain, up almost 23%. the january numbers are the 11th straight monthly increase. only illinois and delaware saw no price increases. microsoft is bracing for a big fine from european anti-trust officials. those officials accused microsoft of not allowing its users to access any

a former jp morgan executive will break her silence on capitol hill today. ina drew, the former chief investment officer, will testify in front of a senate committee about the bank's $6-billion trading debacle. ahead of the hearing, a senate report accused jp morgan ceo jamie dimon of intentionally withholding information from regulators while gambling with billions of dollars. reports say dimon believes daily profit and loss updates were not required. in the latest round of bank stress tests by the fed, jp morgan chase and goldman sachs were approved, but have to submit new capital plans because of "weakness." ally financial and bb&t corp. failed the test. the anticipation is over - there's a new galaxy on the market. samsung took the wraps of its newest smartphone at a launch party in new york last night. the media blitz started with a series of images on youtube. the phone has a five- inch screen, higher solution, faster chip and improved camera. the heavy promotion is aimed at stepping up the competition against apple. "schiller, that's apple's cmo, was

jp morgan is. bringing in just over $24 billion.t's according to a study in the industry analytics firm coalition. goldman sachs, bank of america, citi, and deutsche bank. all on the upside with some of them close to 1% and 1 and 2/3. goldman and city up 20%. deutsche has been flat. >> the big banks are indeed back on the agenda in washington today. which are too big to fail? amen is live for us in washington. >> reporter: representatives of the treasury and the oversite council, those folks coming under a little bit of fire today from capitol hill republicans who are concerned about transparency and how efficient this whole dodd frank process has really been. >> fewer than half of the mandated rules have been finalized. the counter derivatives regulation. the mortgage rule and the definition of significant non-bank financial companies. >> one thing is the gao report that criticizes the new regulatory body saying that the deliberation is limited and that they should keep records of closed door sessions and annual reports don't set t

jp morgan ceo jamie dimon, along with ceos from at&t, honeywell and northrop grumman, met at the white house yesterday. on abc news, president obama assured, "there are ways that we can harden our critical infrastructure and financial sector." the great divide continues between republicans and democrats, although house speaker john boehner is calling president obama's visit to capitol hill a good start to solving the nation's financial troubles. congressman boehner called the discussions frank and productive, as the president met with gop lawmakers behind closed doors yesterday. white house officials say mr. obama stressed the need to build trust between the two parties. the president also still believes there's an opportunity to reach a grand bargain on tax increases and spending cuts. meanwhile, europe is also facing budget friction. this week, members of the european parliament voted against a seven-year budget submitted last month by eu governments. the parliament is asking for more spending on economic growth and more flexibility to move money within the budget. now european gover

full screen jp morgan will return $546 million dollars to customers. however, $1.6 billion was missing from accounts. broll mf lost the money in on bad trading bets on european debt. clients included farmers and ranchers. freddie mac is going after big banks. the agency is suing some of the world's largest banks for interest rate rigging. the suit says mac lost out on gains after banks allegedly rigged the benchmark rate. bank-of-america, citigroup, j-p morgan, credit suisse, deutsche bank and u-b-s are being sued. this is the first government backed lawsuit of the libor scandal. meanwhile, fannie mae says its "weighing the possibility of a lawsuit." in france-- police searched the home of imf chief christine lagarde. investigators poked around lagarde's paris apartment for clues about her role in compensation paid to a french business man reports say lagarde is accused of giving him preferential treatment in deal/ she denies any wrongdoing. solar panel company suntech has declared bankruptcy. after defaulting on a large payment to bondholders, banks h

the hearings continue with other jp morgan execs. president obama is proposing a plan to fund clean-energy research. in a speech friday, the president laid out his plans, suggesting that the government draw $2 billion from royalties that the government receives for offshore drilling. researchers would attempt to find new ways to lower the cost of cars that run on alternative fuel sources. a closely watched case involving the drug industry will be heard by the supreme court tomorrow. generic drugmakers could soon make it harder for consumers to sue for a drug's side effects. under federal law, generic and brand name drugs are required to have the same warning label. now, generics are attempting to decrease liability over any harmful effects. generic companies say the industry is unable to change the product due to those federal standards. a hidden affordable care act fee is popping up for u.s. employers. the $63 fee will apply to plans covering millions of americans in 2014. it applies to employers who take on workers' medical bills a

a pension plan out of califonia wins the right to sue jp morgan for losses tied to alleged risky investments in lehman brothers. the wall street journal reports chevron's board is cutting bonuses of top execs in the wake of accidents and mishaps. and amtrack is asking congress for $2.1 billion to upgrade its track system and buy more trains. let's check in now with todd horwitz of the adam mesh trading group for what will be the final trading day of the quarter and the week. good morning to you. > > good morning. how are you? > i am doing very well. what do you expect out of europe today? > > you know, i think that everybody is watching cyprus, although it is such a small, minor thing. but, i think what will happen is, depending on how the banks react - if they do open and what the reaction is going to be like if they are open. i do believe that the u.s. markets are probably going to sell off either way, no matter what they do, because there still are some problems there. > blackberry has a lot on the line. their earnings are coming out today, and traders are anxious to find out how those sa

and number two, jp morgan told the fraud officer before madoff turned himself in that this could be a ponzi scheme. j.p. morgan knew. he has the e-mail. that has -- that has been the question. why isn't [ male announcer ] with citibank it's easy for jay to deposit checks from anywhere. [ wind howling ] easier than actually going to the bank. mobile check deposit. easier banking. standard at citibank. makes it easy for anne to manage her finances when she's on the go. even when she's not going anywhere. citibank for ipad. easier banking. standard at citibank. >> all right. jc penney and their big turn-around plans. this has continued one step forward, two or three steps back. >> we talked to ron johnson and he said yes, we're going to re-introduce the weekly sales. we saw jewelry signs for valentine's day. it's backtracking on the plan. we said do you regret taking such a hard line on sales. he said no, i would do most things the same. but it is confusing here. >> he says that pubically he would do most things the same but i'm sure privately he's not saying that. given what the stock h

jp morgan, the stock currently trading as you will see in just a moment. hold on. it's coming. i promise you it will come. i'm going to wait. there it is. down about 2%. the bank once again in the cross hairs of federal regulators this time over the madoff schedule. >> jp morgan has been suspicious. chase was his primary bank. and it was the bank to many of his biggest customers. cnbc has confirmed that the u.s. attorney's officer is looking into the bank's dealings with m m madoff. our sources suggest that it is civil in nature, not criminal. others allege that it has gone deeper than that. they could see both sides of the trades or non-trades. and then there is madoff himself, again claiming he has information on what he says is the behavior of j.p. morgan and other banks. he says i am offering this information to the appropriate governmental committees in the hope that this information will prove helpful in future regulations of the appropriate institutions. it is agreed that madoff and that the banks were in. >> there has certainly been a rough month for j.p. morgan and thi

treasury department did disclose in january that they are investigating jp morgan's dealings with madoffsee what happens. >> interesting. the time now is about 10 minutes until the top of the hour. 15 actually. coming up next on "the rundown"" spring is in the air that means a tough time for asthma sufferers. it is all in your head? we are de bunking the top medical myths about the disease. >> we will tell you about one tsa agent who sent several of his co-workers to the hospital. he was playing with pepper spray. details are next. >> first let's check in with ryan kilmeade to see what's coming up on fox and friends. he's always tempted to use pepper spray. >> so much fun. hard putting it down once it is in your hands. we will talk about that later maybe in the break. i will tell you what's coming up on "fox & friends." mike rogers talking about secret training centers in jordan. training rebels to go fight in syria. we will examine that. petraeus comes out front and center on stage. new york auto show on our plaza. doctor keith ablow we will find out who is normal who is nuts. i am pull

jp morgan believes they acted in good faith and in compliance with the law. madoff is serving a 150 year prison sentence for fraud. >>> google is starting to notify people who will become the envy of the geek world. they are the 8,000 winners of the glass contest. google asked people to submit a 50 word explanation saying what they would do if they had the internet connected glasses. the winner has to pay dollar 1500 for the test version and travel to san francisco, los angeles or new york to pick them up. and they will be available to the public by next year. >> pam, i need them. >> i know you do. >>> the city of oakland arguing with the man in charge of overseeing police reforms. we'll tell you why they are disagreeing. >>> amazing video of a lamp post. oh my goodness. narrowly missing that bus driver. this is in china. the reason he's being called a hero. hazelnut macchiato please. ♪ ♪ ♪ ♪ ♪ ♪ ♪ ♪ [ male announcer ] the new hazelnut macchiato from starbucks. crafted by hand & heart. >>> welcome back to the ktvu channel 2 morning news. we are feting a look

jp morgan believes they acted in good faith and in compliance with the law. madoff is serving a 150 year prison sentence for fraud. >>> google is starting to notify people who will become the envy of the geek world. they are the 8,000 winners of the glass contest. google asked people to submit a 50 word explanation saying what they would do if they had the internet connected glasses. the winner has to pay dollar 1500 for the test version and travel to san francisco, los angeles or new york to pick them up. and they will be available to the public by next year. >> pam, i need them. >> i know you do. >>> the city of oakland arguing with the man in charge of overseeing police reforms. we'll tell you why they are disagreeing. >>> amazing video of a lamp post. oh my goodness. narrowly missing that bus driver. this is in china. the reason he's being called a hero. please. ♪ ♪ ♪ ♪ [ male announcer ] the new hazelnut macchiato from starbucks. crafted by hand & heart. >>> welcome back to the ktvu channel 2 morning news. we are feting a look at amazing surveillance. if

it does quarterly free sundays sponsored by jp morgan chase. you can get in this sunday. can explore are roof top, visit aquarium, planetarium, natural history museum. >> that is great. >> it's magical and great. >> only costs $30 to get in. >> what do we do? >> okay. glad you asked. you file this number or you can log on to abc 7 news.com. don't there may be dvds down there that you produced. >> a couple of them. >> coming up next, why oakland police chief traded in his cap. >> for a cat in the hat hat. >>> a judge reverses a jury's verdict are in the patent fight against samsung. how much apple will be left with. >> when wait staff brings you an expensive bottle of wine by mistake who should pay for that. >> how effective a pregnancy test can be if it only costs $1. >> oakland police chief took off his officer's cap. >> you poor, stupid guy. can never tell what people will guy bye. >> that is chief howard jordan reading from the lorax to 4th graders. >> it's part of read across america to celebrate dr. sus's birthday. adults encouraged to visit schools and read to kids.

he's chief market strategist for jp morgan asset management. welcome back. you've heard the conversation. what do you think we should do right now. >> the conversation around should we take profits off the table? what would i do with that money if i were to take profits? would i go to bonds? not really. would i go to cash? unless i want to lose the value of my money. maybe boo i a house. aside from that, equities offer the best value. i think the beta play is running out of steam. it's great to hear conversations around sectors. you'll have to find which sectors still have potential margin expansion. which sectors have actually not had great performance, for instance, materials industrials. if you think the capex cycle is beginning not just here in the united states but maybe around the world, maybe materials are spaces you want to go long. i would say financials. i like financials out three, five years here in the united states. it's a huge leverage play on housing. if you run the correlation of the ten-year yield and financials performance the last year, f

dimon dodged regulators and misled investors about it, dimon still has the strong endorsement of jp morgan's board of directors. so much so that the board wants him to remain in the dual role of chairman and chief executive. the endorsement of dimon comes after the company overhauled its risk controls, replaced top executives and cut dimon's pay in half last year. european regulators are looking into apple sales overseas after wireless carriers complained of antitrust issues. they say sales contracts with smaller distributors of iphones and ipads are stricter and violate competition laws. meanwhile a greener apple is growing. the company now uses 100% renewable energy in its data centers in the u.s., and 75% worldwide. also, reports are swirling the company is rolling out its new iphone 5s this summer, as well as a less-expensive iphone 5 that has plastic casing. blackberry's new phone goes on sale in verizon stores this week. so far, the market seems unimpressed with blackberry's latest launch. the stock sold off on friday, ending the day down by around 8%. the z-10 is the latest smartphone

also on the hill next week, a senate subcommittee will hold a hearing about a whale of a trade at jp morgan chase. the bank lost upwards of $6 billion on credit derivative gambles made by a trader nicknamed the "london whale." reports say witnesses from jpmorgan chase will testify. the hearing is set for march 15th. truck and engine maker navistar has a new ceo, and it's helping the stock roll higher. shares of navistar raced higher by more than 20% in trading yesterday on word the company topped earnings expectations and is naming troy clarke the permanent ceo of navistar. clark was the coo since january 2010 and spent 35 years at gm. plans are still under way at navistar to cut $175 million and lay off roughly 700 salary workers. we will have more in chart talk. time magazine will soon be independent from time warner. the company will split the magazine division into its own publicly-traded entity. the move allows time warner to focus solely on its tv and film production business. time, inc., as the spinoff will be known, will include iconic magazines "people" and "sports illustrated." ti

jp morgan, the latest company announcing serious layoffs in the new year.ist is growing and growing and growing. charles payne, what's going on here? a big disconnect? >> a gigantic disconnect. corporate america is making a whole lot of money, a lot from outside this country and a lot in this country. the bottom line they're putting the money work to buy at that stock, to put out special dividends because they're afraid of the administration. >> neil: it helps their stock. >> it helps the stock and shareholders the bottom line, why would they make an investment in the environment where the president is saying i'm he going to get more revenue from some sources and nothing has been demonized as much as big business, i would be afraid, too, a trillion and a half plus sitting outside of this country. gigantic bottom line, the stock market up, but jobs are going away. >> this is typical of corporate behavior as they want to fire as many people as they can, to squeeze out as much per worker. it's perfectly legitimate and whether you're a republican or democratic

we had a large investment recently by jp morgan chase into our loan fund. we are looking for businesses that are looking to put in more energy-efficient equipment or retrofit or remove toxins from processed here we have been lending to drive cleaners that are giving you more environmentally friendly products, truck drivers putting in new exhaust systems. finally, just to give you kind of a scale of what we do, mark mentioned the sba right guaranteed 275 loans in a year. we expected to 50 or 60 in san francisco this year, and more like 250 or 300 throughout the bay area. if you are hearing something interesting and you want to talk, the dominant in the purple suit has been handing me question cards out. >> i am the ne community federal community union. we are like a bank except we are nonprofit. we are 501 c 14. we are insured up to 250,000. we build credit. what we do a lot is one-on-one counseling. we are also a part of the bank of san francisco, so we do pay their lending -- payday lending. we help people build up their credit before helping them to get a

david kelly from jp morgan calls it tina. >> there is no alternative.nt is there is no big investment alternative to having money in the stock market. have it diversified. >> he also says that owning a home is a great investment in this low interest rate environment. bottom line, know your money. know your goals. make sure you're diversified. is now the time to buy stocks? no, about six months was the time to buy stocks, christine, but you need to figure out what your age is, what your goal is, and jp morgan says stocks are still the only alternative. tina. >>> a look at adults diagnosed with adhd as kids and the powerful effects on them later in life. it's not just a behavioral problem but a serious health condition. >>> plus did a school overreact when they suspended a 7-year-old boy for molding his breakfast pastry into something that looked like a gun. going to talk to the second grader and his dad about the punishment coming up. [ male announcer ] i've seen incredible things. otherworldly things. but there are some things i've never seen before. th

we had a large investment recently by jp morgan chase into our loan fund. we are looking for businesses that are looking to put in more energy-efficient equipment or retrofit or remove toxins from processed here we have been lending to drive cleaners that are giving you more environmentally friendly products, truck drivers putting in new

. >>> the website of jp morgan chase is back up after cyber attacks. the company would not say how long the outage lasted. chase is one of few hackers targeted. >>> one experts said there is a good reason. a lot of systems that surround government, they go back to the 1970s. >> a committee heard today from the general in charge of cyberprotection and the white house standed to reports cyber attacks are coming from other countries. the chinese offered to discuss the problem. >> we need it have that conversation, that dialogue. this is a international challenge. >> pope benedict president obama met with a number of ceos at the white house to discuss cyber attacks. in an interview before the meeting the president called cyber security a growing problem. >>> teenager took home $20,000 in prize money in a math and science competition. she finished in 10th place at the science talent search. there were 1700 and 40 finalists who presented their projects in washington, d.c. last weekend. >>> tonight we are learning police made an arrest in a pharmacy theft cas

the young doctor, with his fashionable british-born syrian wife, a former banker at jp morgan, promisedreform. >> people were giddy with the idea of reform early on in bashar's reign. he opened up the country to the internet. he lifted exit permits, which were required for syrians to travel, and he allowed more trade in the country. >> he said, "we can open up. we are going to have some private newspapers, private press, internet." and he believed that he could win the hearts and minds of the people through modernization and let a lot more light in. >> he had allowed what came to be known as the "damascus spring." he promised reforms, and he promised political reforms. and so people began to talk about ideas. how is syria going to meet the future? which path is it going to take? and there was an era in which there was an open debate, and a healthy one. >> he was genuinely popular amongst the young people, who hadn't lived through his father and who saw him as a potential reformer. and he kept on telling them that life is going to get better. and they could see fairly dramatic changes, a

in washington, d.c., senators grilled two former jp morgan chase executives about the bank's staggering deficits of at least $6.2 million. one executive blamed others under her about taking risks. j.p. morgan chase reported a loss of $12 million for a single day when it was actually $600 million. >>> and a mexican supreme court has ruled that apple does not own the name iphone in that country. apple tried to register the name in 2009 but according to the wall street journal a mexico city it company already owned it. the mexican company has a different spelling but can now pursue a percentage of apple iphone sales in mexico. >>> the solano county office is looking for two teenagers that escaped from city hall. 18-year-old melvin mesa and brazeal escaped yesterday. they were last seen in an unsecure outdoor area. brazeal was being held for property crimes. >>> residents are trying to drive out a sex offender from their neighborhood. >> reporter: parents and children who crowded the corner of willow park were the opposite of a welcoming party. they lost a battle to keep a registered sex of

in washington, d.c., senators grilled two former jp morgan chase executives about the bank's staggering deficits of at least $6.2 million. one executive blamed others under her about taking risks. j.p. morgan chase reported a loss of $12 million for a single day when it was actually $600 million. >>> and a mexican supreme court has ruled that apple does not own the name iphone in that country. apple tried to register the name in 2009 but according to the wall street journal a mexico city it company already owned it. the mexican company has a different spelling but can now pursue a percentage of apple iphone sales in mexico. >>> the solano county office is looking for two teenagers that escaped from city hall. 18-year-old melvin mesa and brazeal escaped yesterday. they were last seen in an unsecure outdoor area. brazeal was being held for property crimes. >>> residents are trying to drive out a sex offender from their neighborhood. >> reporter: parents and children who crowded the corner of willow park were the opposite of a welcoming party. they lost a battle to keep a registered sex of

lawyers from jp morgan chase the trustee for the failed robibroke firm returned about $546 million forustomers. the democratic governor for new jersey will not face charges for the missing money. he says he was not involved. a new jersey familiar lace home was raided after this photo was shared on facebook. shawn moore a firearms enstri instructor post add picture of a gun he got for his birthday. child abuse was called. they threatened to take the kids away. cops didn't have a warrant. they will be live on fox and friends to talk about their ordeal. >> a collection of some of sprins diana's most memorable evening gowns fetching more than $2 million at a london auction. the velvet dress she wore when she danced with john travolta. someone paid 62,000 dollars the surprise to cheer up his wife he says. that's your 5@5:30. >> beautiful dress and a memorable moment. >> we have waited all winter for this. the first day of spring. mother nature p didn't get the memo. maria molina is in the tracking center tracking storms in some places. >> good morning everyone. we are tracking several storm

jp morgan is now paying 3%. capital one is moving in the right direction.to play catch-up. ive been asked can i comment on what the new volume is like. the first quarter of 2013, average daily volume at the new york stock exchange, 6 hnt 4 billion shares. i'm sorry, this is total stock market. in other words, it's still dropping. now let's talk about trying to x out. what about high frequency trading? if you take that out, where are we in terms of volume? you and me every day here. i asked him to take out all the high frequency trading. we hit a high of 3.7 billion shares in 2008. this is the real trading. this is the lowest number since 1999. unfortunately if you look at the reasons, the lower volume and overall interest in the market is still causing people to stay out of basically heavy trading. i keep waiting for it to come back with the new highs. i still do not see it. >> yeah. the debate rages on as to how much it matters. >> a lot of people argue it may not matter as much. >> rick santelli is in chicago with the latest economic data, what it means f

all you've got to do is wire your money from the first european bank of total crisis flim-flam to jp morganr citigroup. while we are at it, when the big banks go up, the little banks follow. for all you ben bernanke bashers, have you ever thought about how they ignited belief in our system? you can't believe any corporation would keep money in those european banks unless they have members on the board which a lot of them do. europe is bad news. we've sold almost every company with substantial european exposure for the charitable trust. we had a crisis meeting about that today. unless it's a food or drug company who needs a headache? we are wary of tech because tech does so much business in europe. this country? how can you ignore the american retailers and reits when cyprus brings them down? does that make sense to you? it doesn't make sense to me. how can you ignore master limited partnerships that give you yields and high growth, trust bought one today. how can you say no to the home builders? lennar just reported terrific numbers. affordability rates for homes are the best they have ever

department of justice is in the advanced stages of an investigation into former traders in jp morgan's chief investment officers in london. the doj is looking into whether trade is endwaged in criminal misconduct and deliberately mislabeled certain complex missions. >>> and the sales of the latest smartphone for blackberry seems to be a buzzkill. it carried at at&t stores last week and will take bu on verizon's network this week. blackberry is set to report earnings this thursday. >>> anapoly is adding to its list of technologies. wi-fi slam has been added to apple. it helps find locations when they are inside a building. last year, apple introduced its own mapping software to replace google's. the switch resulted in customer complaints and negative reviews to which the apple ceo tim cook has apologized. >>> now, there's still numerous unknowns about the cyprus bailout, including exactly how much depositors will have to contribute to the package. this is what happened when cnbc's julia chatterly tried to elicit a figure. >> with the operation that's you're doing with the two banks, w

jp morgan analysts say stronger than expected retail sales in february are partially responsible fort boost. >>> pam, 5:20. a ban on pg&e smart meters, defending a moratorium while installing the smart meters. >>> a purple heart found in elle da makes -- found in california makes its way back to a texas family. q >>> welcome back. an amazing story, a purple heart found in california is back with the texas family thanks to a group of high school students. the medal was found in a road in bakersfield. a trucker turned it over to a high school teacher and his archiving class. they managed to identify the person awarded the medal, a soldier killed when the japanese attacked pearl harbor. >> it's just amazing that that's coming back to our family over 70 years later, and some amazing work from the people in bakersfield. >> the sailor's niece is the closest relative who said one of her brothers used to live in bakersfield and the purple heart may have become lost there. >>> construction is set to begin on a project to rebuild lexington elementary school in los gatos, located on old santa c

jp morgan analysts say stronger than expected retail sales in february are partially responsible for that boost. >>> pam, 5:20. a ban on pg&e smart meters, defending a moratorium while installing the smart meters. >>> a purple heart found in elle da makes -- found in california makes its way back to a texas family. q >>> welcome back. an amazing story, a purple heart found in california is back with the texas family thanks to a group of high school students. the medal was found in a road in bakersfield. a trucker turned it over to a high school teacher and his archiving class. they managed to identify the person awarded the medal, a soldier killed when the japanese attacked pearl harbor. >> it's just amazing that that's coming back to our family over 70 years later, and some amazing work from the people in bakersfield. >> the sailor's niece is the closest relative who said one of her brothers used to live in bakersfield and the purple heart may have become lost there. >>> construction is set to begin on a project to rebuild lexington elementary school in los gatos, located on old san

bank of america, citigroup, jp morgan chase and wells fargo uncovered the foreclosures while they werealyzing mortgages as part of a multibillion dollar settlement deal with federal authorities and it is the first detailed glimpse into the extent of wrongful foreclosures amid the collapse of the housing market. so when i say first claims, i would imagine there could be more information to come. >> and forget the pun, but there's a battle brewing over budweiser. >> yeah. and inbev, the maker of bud, it's usually big, flashy newspaper ads to poke fun at that lawsuit which is alleging its beer has been watered down, you know, cheating us out of the stated alcohol percentage. tadz show one of the 71 million cans of drinking water that is sent to the american red cross and other various relief organizations and disasters saying they mu tested one of these. the ad says, by the way, the company is saying that the claims are groundless and that we're getting the alcohol that we expect, basically. >> back to you. cnbc's mandy drury, thank you very much. >> thank you. >>> president obama's fund-

jp morgan chase in the news.enate report says it ignored risks, misled investors, fought with regulators. that stock down 3%. >>> time now 6:56. a church in marin needs repairs. look a car crashed into the church and almost hit a bible study group. you can see the damage here at sleepy hollow church. the car knocked down a support beam from an overhang. it happened about 6:15 last night. luckily no one was hurt. the chp is investigating possibly the driver stepped on the gas instead of the brake. >>> ktvu has learned the former san francisco lab technician will plead guilty to a drug charge this morning. the lawyer for debra madden tells us a plea deal has been reached. madden will plead guilty to a misdemeanor charge of simple possession. the plea deal follows two mistrials and hung juries. she was accused of stealing cocaine from the police lab and as a result hundreds of drug cases had to be thrown out. >>> competition between facebook and twitter is heating

jp morgan chase in the news. the senate report says it ignored risks, misled investors, fought with regulators. that stock down 3%. >>> time now 6:56. a church in marin needs repairs. look a car crashed into the church and almost hit a bible study group. you can see the damage here at sleepy hollow church. the car knocked down a support beam from an overhang. it happened about 6:15 last night. luckily no one was hurt. the chp is investigating possibly the driver stepped on the gas instead of the brake. >>> ktvu has learned the former san francisco lab technician will plead guilty to a drug charge this morning. the lawyer for debra madden tells us a plea deal has been reached. madden will plead guilty to a misdemeanor charge of simple possession. the plea deal follows two mistrials and hung juries. she was accused of stealing cocaine from the police lab and as a result hundreds of drug cases had to be thrown out. >>> competition between facebook and twitter is heating up. facebook is about to adopt one of twitters

david chkelly is a chief global strategist at jp morgan.erest rates low has made stocks disproportionately interesting. since you can't money in the bank. you think the lousy gdp number we got. i thought there was an error at on the chart it almost look likes there's no growth there you think that's going to get better. and that things in this country will improve if they're not improving already. my viewers are not invested in stocks right now. should appropriate strategy for where they are in life. i would say the overweight stocks and the underweight fixed income. the big elephant in the room is the fact that the federal reserve is sitting on interest sitting on long-term interest rates and short-term interest rates. that means you can't make good long-term money on the bond market. that is pushing toward the stock market. that's really what's allowing the stock market to move forward here. >> let's talk about that. bonds are serving to not be a great investment at the moment. the interest you get from bonds, the yield is not -- as it go

now, if an american middle class family put $1,000 in jp morgan or citibank, 1,010 less bank fees and. >> sean: that struck me. >> that's a great example, but here is the difference between those two deposits. the deposit in the united states is safe. at least your principal is safe. you may not be getting a lot of interest on that deposit. the problem for these big investors in a country like cyprus is they're not going to even get their principal back. so maybe-- >> over a certain amount, but again, tax the rich, tax the wealthy, by the way, part of redistribution anyway. >> that's true. one of the lessons here, by the way, americans should be very, very vigilant about following the finances of the banks they're invested their money in and putting the deposits in. we have deposit insurance, but be wary of the financial situations of the banks are strong. right now they are, by the way. >> sean: nina. >> going back to the crisis, savings and loan crisis, be cautious where you're putting your money. keep in mind in the 2008 financial crisis our government protected depositors, it wasn

that is not the case with jp morgan and its ceo jamie dimon.didn't even testify in two days of hearings this past week in front of a senate investigation subcommittee. that committee led by senator john mccain and senator carl levin spent nine months investigating what has come to be known as the london whale trade that led to those $6 billion worth of losses for the bank. the london whale refers to a former trader in jpmorgan's investment office in london who made a series of risky trades. carl levin said the bank ignored the risk. >> it exposes a derivatives trading culture at jpmorgan, the piled on risk, the hidden losses, that disregarded risk limits, that manipulated risk models, that dodged oversight and that misinformed the public. >> to be fair, dimon took a 50% pay cut last year and accepted some responsibility for the losses. but the lack of oversight inside big banks more than four years after the financial crisis has to make you wonder if anything has changed. banks are now required to hold more capital in their books to brace thems

financial stocks, particularly those tied to housing, bank of america, city, some of these names, jp morganbank of america and citi are underperforming. i say that as a concern right now. when you look at where they are versus book and potential earnings of the company, there's huge upsooiides. >> lanar last week had earnings that were really strong. ivy zelman sitting in the chair next to me, as bullish as she's been in, what, 20 years, she told us, or ever. >> it's not just housing. manufacturing has seen an improvement, too. the last ism number was the best since june of 2011. and you're hearing company -- those companies especially that have focus in the u.s., right, so that is actually a big part a big driver of the economy as well. >> look at the ism numbers and add inventories on that. saw the inventory to sales ratio increase. >> look at the durable good numbers from today. >> durable good numbers from today was terrible under the hoot if you take away boeing. minus 2.7. expects minus 1.9. that's not durable goods. >> that's a giveback from the last two months. it's a smoothing effe

the 50% stake in the cable network and website from one equity partners, the private equity arm of jp morganrms of the deal not disclosed, but reports saying cbs was expected to pay some $100 milli million. cbs and lions gate will enter a 50-50 partnership for the channel and website. >> josh lipton, thanks so much for that. if lions gate opens at these levels, this will be a new record high for the stock which set a new one for today's session. guy, you're a fan, even at these highs. >> i believe you have to be. michael burns has done everything right along the way. obviously, mr. ikahn went up against him 17 months ago. michael proved to be right. karl proved to be wrong. i don't see any reason to get out of lgf. >> time for pops and drops, big movers of the session. got a pop for tesla. >> ian mosque tweeted out, he's about to put his money where his mouth is and make a big announcement. $40 is a pretty key level. that's where a real breakout happens. i would guess you'll have to wait for the actual announce many. >> for sea gate, up 3%. >> these stocks tend to trade in low multiples, and

business front, prosecutors now investigating jp morgan. to a separate criminal inquiry into the bank over the london trading debacle. the times report eight agencies looking into the business practices of jp morgan. >> pope francis is choosing to remain living in the vatican guest house even though renovations to the papal apartment are now complete. francis will remain there until further notice and adopting a more simple lifestyle and breaking a 100-year tradition. >> julia pierceson comes at a time of heightened activity to the secret service after 13 members caught up in a prostitution scandal last year in columbia ahead to president obama's trip to the country and she succeeds my friend mark sullivan, the director of secret service, who is a great guy. >>> president obama's land mark health care overhaul may prove costly to the people it was meant to help. it predicts the medical claim costs will rise 132% under the affordable health care act and increase premiums for those who don't get insurance through their employers. obama was qu

jp morgan has yet to be charged by regulators.her an internal report, the new york attorney general sued jpmorgan before the firm was rescued by jpmorgan. the board in january decided to half dimon's pay. add to that, 17,000 layoffs announced on investor day as well as reports detailing the vulture lenders and foreclosing on veterans. when asked about the outfits specifically, he called it in horrible practice and said they were ceasing it. they announced that today. today the bank is in the crosshairs of the global bankruptcy settlement. the headlines today will get drowned by the fed. the regulators are unhappy with the bank's operating style. a senate report released friday shows a rare downgrade of the crucial confidential management rating at the occ due to the whale trade as well as auditing concerns. carl levin's charge to regulators to get america's biggest bank on the straight and narrow. >> when you talk to investors, they rarely state the reputation of jamie dimon and the controls as a reason to like or not like the sto