michelle caruso-cabrera is with us with the latest. michelle? >> that's a big story. they're taking over borders, trying to enlarge the area that they control. we'll bring you the details and tell you what john kerry is saying today as he returns to iraq. "power lunch" returns right after this break.

michelle caruso-cabrera is with us with the latest. michelle? >> that's a big story.y're taking over borders, trying to enlarge the area that they control. we'll bring you the details and tell you what john kerry is saying today as he returns to iraq. "power lunch" returns right after this break. thank ythank you for defendiyour sacrifice. and thank you for your bravery. thank you colonel. thank you daddy. military families are uniquely thankful for many things, the legacy of usaa auto insurance can be one of them. if you're a current or former military member or their family, get an auto insurance quote and see why 92% of our members plan to stay for life. >>> certainly iraq's western borders are virtually gone, erased by the sune group trying to march towards bags dad. our international correspondent michelle caruso-cabrera, who of course just got back from northern iraq. michelle? >> the united nations saying today more than 1,000 people, the vast majority of them civilians, have been killed in iraq this month. this comes as secretary of state john kerry is in nort

. >>> our michelle caruso-cabrera is still in northern iraq for us once again today. it's been another day filled with very heavy fighting. over to you, michelle. >> we'll have those details coming up on "power lunch." >>> also, the biggest threat to iraq's unity may not be the sunni terror group. i'll show you one thing that baghdad is reay afraid of, coming up next in two minutes. just take a closer look. it works how you want to work. with a fidelity investment professional... or managing your investments on your own. helping you find new ways to plan for retirement. and save on taxes where you can. so you can invest in the life that you want today. tap into the full power of your fidelity greenline. call or come in today for a free one-on-one review. >>> check out starbucks. they're raying prices. next week customers can also expect to pay $1 more in packaged coffee it sells. trading down just about 1%. simon, back to you. >> 51 points away from dow's 17,000, despite the fact that fierce fighting continues today between rebel sunnis and iraq, government forces over

michelle caruso-cabrera will join us from iraq in just a few minutes. a newlywed in iraq.tional correspondent. she's got to do what she's got to do. >> that's right. in our head lines, nearly $43 billion deal in the medical device industry. medtronic is buying ireland based covidian. the newly combined company will base itself in ireland for tax purposes. that move is sure to re-ignite the debate takes place over u.s. corporate tax policy although medtronic says its u.s. operations will remain in place. we're also keeping watch on another potential takeover deal. g-tech says it is in talks to buy international game technology and that it's hired advisers to help it negotiate a deal. igt also acknowledged it was in talks about a strategic alternative although it did not mention g tech by name. >> lottery's -- you're not going to make a comment? >> i guess, you could say if you want to vicariously say what if i win and what would i do. you don't even have to buy a ticket. >> for a dollar. >> just fantasize about if it were going to happen. because it's not going to happen. >

live now to the region for the very latest from our very own michelle caruso-cabrera. michelle?: that's according to the government. it's still not clear, though, whether or not it's true. the situation with the refinery quite confusing. we'll get to that. we want to tell you iraqis living in north iraq are feeling repercussions, look at this. gas lines. very long, long gas lines. hundreds of cars long. we saw actually one individual today. he and a friend had to push his car more than half a kilometer, half a mile, excuse me, because his car ran out of gas while waiting to buy even more gasoline. the situation, and the situation is not lost. the irony isn't lost on the iraqis who live here, who know the country produces more han 3 milli than 3 million barrels a day. >> supposed to live in the country of oil and gas, and suddenly we hear tomorrow there's no fuel. >> reporter: this has a lot to do with the situation happening in western iraq. first the refinery we told you, quite confusing, who's in control. it's been under attack. difficult to move gasoline supplies, and then si

we want to go to our own michelle cal caruso-cabrera, has been in iraq all week.e exactly what we'll hear from the president when he comes out from the meeting with his national security team too. can you give us a feel what it's like there amid reports about this refinery producing 300,000 bears a day that we're keeping an eye on and other reports as well of sunni extremists occupying saddam's chemical weapons facility? >> reporter: yeah. that's the latest headline that's come out, which is of great concern. we're told that the peppens in there are not necessarily usable, but as we've learned through the process in syria, they can hang around for a very long time, and disposal of them is incredibly difficult, and we know that from the iraq war. the chemical weapons were poorly labeled, no the well stored. that's the situation to watch. only learned about that in the last hour. we're waiting for president obama. he's been delayed now. the iraqi government for sure, the kurdish government as well, were anxiously waiting to hear if there were going to be air strikes

michelle caruso-cabrera joins us live from northern iraq, with the very latest. hi i.e. >> reporter: hey there, tyler, another town taken in northern iraq today, this time tal afar. >> this was the scene back when the u.s. invaded in 2030, now in the hands of an al qaeda-inspired group. at the same times shiites have been rallying for days. it appears for now the ad hoc shiite militias have blunted the sunni march toward baghdad. the iraqi air force joining the fight from above. this video was released by iraq's defense ministry this morning, reportedly showing an iraqi air force jet successfully attacking a building. iraqi military helicopters also on the hunt. take a look at this chopper fires a missile at the target, scoring a direct hit. it's difficult to say what the targets are and how they're related to the sunni insurgent fighters, but northern and central iraq, it's safe to say, has been transformed into a killing field. sources on the ground say despite the attack from the air, iraqi forces have not been able to turn the tide. american ships arrive just in ka

our michelle caruso-cabrera is live in erbil, iraq, with the very latest. michelle? >> reporter: hey there, scott. yeah, the iraqi government tried to convince everyone over the weekend that they were fighting back by releasing videos of targeted airstrikes and things that they had done in northwestern iraq in order to fight back the insurgents. still, the town of talafar fell earlier this morning, about 50 miles west of mosul, the first city that fell last week and really brought the whole world's attention to what was happening here in iraq. the reason the world is so interested, at least the business community is, because iraq is the second largest producer of oil within opec, overtook iran last year, in fact, producing more than 3 million barrels per day. the iraqi oil minister said the very day that mosul fell, that they believed they could still produce 4 million barrels per day. can that be done and what is the state of the oil industry as we see the price of oil rising due to the fears? i want to bring in a guest that we're lucky to have in kurdistan while we

michelle caruso cabrera is on the ground in iraq. >> the islamic state in iraq were isis taking another major town in northern iraq today. this time talafar, the town was the scene of heavy fighting when the u.s. invaded in 2003, and now it belongs to the al qaeda inspired group. in response to these mill dents, iraqis have been rallying for days now. recruited by clerics to fight against the militants who are among the sunni secretary. the add hoc militias -- the iraqi air force joining in from the fight from above. this video is released this morning. it reportedly shows an iraqi air force jet successfully attacking a building. this shows an iraqi helicopter scoring a direct hit. it's difficult to say what these targets are and how they're related to the sunni fighters, northern iraq appears to have been transformed into a killing field. despite the attacks from the air. iraqi forces have not been able to turn the tide of fighting, one of the reasons the price of oil hovers near highs for the year. for fear that it will become more widespread. even though there haven't been major disr

let's get an update from iraq, michelle caruso-cabrera is in northern iraq with the latest. elle. >> reporter: hey there, carl. a big development in the last couple hours, could be the final push for maliki out. the shia sect has called for a new, quote, effective government. particular csignificance, the message delivered in friday prayers. the shia sect version, their jurisprudence, clerics have authority. we see this in iran, of course, he issued a call for arms last week to form militias to fight the insurgents and thousands of men rallied to do what he said. they heeded the call. we heard president obama decline yesterday to endorse maliki and thinly vailed comments suggest he was not supportive, secretary of state kerry said so. we are hearing voices from europe as well. it could be that maliki's time is already numbered. we'd like to show you local n p newspapers and cartoons. they tell a good story. this is a magazine here in kurdistan, northeast reason of iraq, semiautonomous hoping to be independent someday, there's maliki surrounded by bombs, and the labels on the

cnbc's chief international correspondent, michelle caruso-cabrera in northern iraq and brings us the test this morning. michelle? >> david, yeah, just about 100 miles west of here, another city, tally far taken by sunni insurgent rebels. another town that has fallen even as the iraqi government starts to fight back. the other headline is that the u.s. and iran in vienna, supposed to be on opposite sides of the table when it comes to nuclear talks, now going to be discussing what should be done relative to the sunni insurgents because they both consider the sunnis and what's happening here a problem and the rebels are their common enemy. strange combination of bedfellows occurring because of the situation in iraq. a lot of people are asking whether or not we are facing the impending destruction of iraq, as we know it. the disintegration, so to speak. i want to show you i kurdish newspaper, running this map which shows exactly that. they have broken up iraq into three different pieces. not coincidentally they have shown kurdistan to be bigger than what it is now. they've added two or th

the latest situation in iraq, cnbc's chief international correspondent michelle caruso-cabrera joins thern part of the country. good morning to you, michelle. >> hey there, andrew. good to see you this morning. we are waiting to see if there's going to be any decision out of the white house and president obama as to what they plan on doing, if they plan on assisting the iraqis at all. this morning we hear of limited fighting by reuters reporting out in the western part of iraq, in a city called bashir, south of kirkuk. about an hour and a half west of here. let's show you the price of oil which has stalled a little bit. it's still elevated but has not continued to climb today. the ceo of bp spoke with cnbc in europe earlier this morning, bob dudley, believe it or not, he says that actually increased production in iraq. >> bp's assets are down in the south near basra, down near the kuwait border. they're a long way from the trouble. production is being increased in response to requests by the government. it's a long way. we're, of course, very vigilant. we have removed nonessential pro

michelle caruso-cabrera, what's the latest there? >> hey there, bill. remember last week there were reports the isis insurgents stole $400 million from a bank in iraq and that they may be worth as much as $1.5 billion from their oil sales in the seized wells in syria? nbc news reports it's not true. citing sources in the u.s. intelligence service, it's believed isis stole millions of dollars, not hundreds of millions of dollars, and analysts also don't think isis has enough money to control the vast swath of iraq and syria that they've taken over, a scenario of 8,000 people in an area the size of wyoming. if you focus in on just the part of iraq they control, that area is used to receiving $12 billion out of iraq's annual $120 billion budget. roughly, $1 billion a month from baghdad, covering food subsidies, government salaries, hospitals, among other things. those payments have now stopped. former ambassador charles reese, who is now at the rand corporation, says isis doesn't get enough revenue from other operations to make up for that. >> while isis i

we will have more from michelle caruso cabrera on the ground. coming up in a few minutes. >>> in another region of the world, russia cutting off gas supplies in ukraine after the two countries failed to agree on a payment. and then there are concerns about argentina. the country facing default if it does not repay $1.2 billion by june 30th. >>> the u.s. supreme court ruling out an appealing against critters. u.

that's michelle caruso-cabrera live from kurdistan, in the evening there.spiking as iraqi tensions have flared here. jack jackie deangelis has more on how prices are affected. >> that's exactly right. certainly, we've seen prices spiking over the last few days, but what's interesting today is we actually saw west texas intermediate close down a penny, although we were a little higher with the branch price here. so, the market's leveling off a little bit as traders are taking a wait-and-see approach, watching the situation in iraq very carefully. let's go over those prices. we've seen wti up 5% in the last month or so, trading just under $1.07, a nine-month high. and brent right now hovering around $113, about 3% in the same time period. what does this mean for gas prices, though? that's the big question. what traders tell me is that if we do see more volatility and we do see more instability, you could see gas prices at the pump go up another 5 or 10 cents, and that is pretty significant, because we haven't seen a big increase in this summer driving season

chief international correspondent, michelle caruso-cabrera, in iraq with the latest. michelle, good morning. >> reporter: good morning. it's increasingly clear that the prime minister of iraq is going to struggle to retain his job." the wall street" journal reports today that based on circles outside the united states and middle east policy consul at that particular times that in conversations they are having with the administration, the white house is looking for potentially a different leader of iraq, similar to who could perhaps bring the country together. the country had an election in april. he's been prime minister for a long time, his party has the most votes. in theory, he should be able to bring together a coalition government, but considering how divided the country is between sunnis and shites, is there someone to bring the country to the ethically? they think that could go a long way as others look the other way as the insurgents, convince them to support the central government because they are not doing so right now. the other big headline is that baghdad

and ukraine signs a historic trade pact with the -- and -- our international correspondent michelle caruso-cabrerare on the russian market and a pretty balance call from the white house, as it turned out, michelle. >> that's right, simon. at that agreement was signed today, angela merkel threatened new sanctions again against russia if there isn't quick progress on peace in eastern ukraine, but investors in russia don't appear to be too afraid of those anxiouses. do you remember when former white house press spokesperson jay carney said this? >> i wouldn't if i were you, invest in russian equities right now. unless you're going short. >> you know when that occurred? right there, march 18th. that was about the bottom of the russian market. that being pointed out to us today, i'ming by jim grant at grant observer. >> wow, but a good contrarian indicator. >> big time. >> thank you, michelle. >>> turning to the sunni group between the in an attempt to set up an islamic state, does i.s.i.s. have enough? >> remember the report last week they stole money? nbc news report that is not true, say the mayor o

michelle caruso-cabrera also following the fighting, and first, though, we go to jane wells a u.s.ontractors who are trying to escape the danger in iraq. >> some sxloiees are become evacuated. lockheed in the process of selling to iraqi, tell cnbc as part of efforts, it is pulling, quote, a small cadre from balad air base. quote, all lockheed martin employees are safe and security at this time. boeing telling us it does not comment on the status of employees overseas. it owns in situ, but the operators to run them in foreign theaters. it's unknown if there's any in situ employees in threatened areas, though there have been employees at balad. "the washington post" reports siemens is working to get about 50 employees out. "ed daily mail" reports that several hundred american contractors still want to leave. mean thai the post reports that personnel at the embass in baghdad are staying put and protective services like dyncorp saying it won't discuss security measures, but triple canopy says it is monitoring the situation and assuring the safety of our clients and employees. >>> with

it looks like a story of good data, bad headlines, our chief international correspondent michelle caruso cabrera covering the story from englewood cliffs. >> the official data from china, which many do not trust at lately it looks better. anything above 50 skugts expansion. the numbers there seem to belie the headlines coming out of china's business press every single day. the worst are coming from the property sector. noun performingperforming, in s look at the sales volume of primary housing. down nearly 35% compared to a year ago. beijing sales volume of primary housing, down 23% from a year ago. a region of china has changed the migration policy. the key thing there is to save the property market. the slowdown is so strong that they announced more easing measures to try and support the economy. there is a couple in the amount of serves banks have to have to get a certain kind of living. the royal sector and small and local sized businesses have been ignored by the big state run banks. them see the slow jodown, is it bigger than -- is it something big, something systemic, if we see a big impl

michelle caruso-cabrera is our chief international correspondent. she just literally got off the plane from northern iraq. she's back with us. >> and there's more to tell you about. john kerry arriving in besieged iraq today to meet with nuri al malaki, as they talk more are falling to the al qaeda-linked sunni group, and moving closer to baghdad. take a look at your screen. this is a border checkpoint between iraq and jordan. intelligence sources say sunni tribes this seized control of that border after armies pulled out of the area. this video presumably shot by the sunni rebels. it could not be immediately authenticated. they have vowed to kill king abdullah, the leader of jordan. yesterday an antitank missile hit a water truck killing a 13 years old bon. the israeli air force struck back hitting targets on the sir yarn side of the border. hamas is vowing a third intefad intefadah. sue, back to you. >> sue, thank you very much. given what michelle just laid out, how should the oil market react? peter, you know, michelle just laid out a very compe

for the latest we go to our michelle caruso-cabrera who is in iraq. michelle? >> reporter: hey there, scott. developments on the energy and battle front. start with the energy front. iraq's largest refinery has been shut down and foreign staff evacuated. officials told reuters. iraqi officials say they are still in control of the refinery, but it is surrounded by islamic militants. the refineries produce products for internal consumption leer in iraq and supports, for example, the power grid, producing kerosene et cetera. in the south, where most of the country's oil reserves occur, the facility well out of reach of the jihadists. bob dudley, in london today told reporters they're increasing production in iraq. >> well, bp's assets are down, a long way from the trouble. production is being increased in response to requests by the government. it's a long way. we, of course, are vigilant removed non-essential production staff out of there. we continue to operate. haven't miss add beat so far. >> reporter: as for the battle front, the sunni insurgents pushed furth

michelle caruso-cabrera is live in northern iraq with the latest. michelle? >> hey there, melissa.the violence has reached baghdad. seven people are dead in a car bombing in baghdad in a market that's frequented by iraqi shiites. remember the islamic rebels are from the sunni sect. more than anything, they said they didn't fear the rebels arriving, because it's so well fortified. more than anything they feared car bombs that would come from rebels that had infiltrated the city. indeed we have seen one of those today. still, the majority of the fighting is taking place further north. they're struggling to cope with an influx, the 35 beds in the city's only trauma center in erbil are full. we counted roughly 2,000 refugees in that area. they continue to come from areas that having occupied by the rebels. the u.n. high commission on refugees believes that there are several hundred thousands iraqis displayed due to the violence. not all of them end up in a refugee camp, but certainly those who are most desperate end up in desperate situation. big news out of kurdistan as well. the semi

. >> michelle caruso-cabrera, thank you. >>> well, priceline is buying opentable for $2.5 billion. we'll look at who could be next. >>> if you think your dad is embarrassing, wait until you see what governor chris christie did last night. remember, he was recently voted dad of the year. is this trophy in jeopardy? >>> and jim cramer says it may be time to ring the register. do the traders think profit taking is the right move right now? that and much more straight ahead. in today's market, a lot can happen in a second. with fidelity's guaranteed one-second trade execution, we route your order to up to 75 market centers to look for the best possible price, maybe even better than you expected. it's all part of our goal to execute your trade in one second. i'm derrick chan of fidelity investments. our one-second trade execution is one more innovative reason serious investors are choosing fidelity. call or click to open your fidelity account today. over 1.2 billion eyeballs are on us during the two weeks at wimbledon. true tennis fans want to know what's happening, they don't want to j

let's get to michelle caruso-cabrera, who is live for you in northern iraq with the very latest. michelle, number one, i hope you're safe. >> we are safe here in kurdistan. they have a strong military here, and as a result there's more -- it was a bit of good news and bad news for the iraqi government. the bad news was yet another town has fallen to the islamic insurgents, a town called tal afar. at the same time insurgents were not able to take baghdad as many thought they could do late last week. at the same time the iraqi government is wage waging a pr war. is the iraqi air force released footage to the associated press yesterday, which they squlams shows air strikes being carried out against i.s.i. circumstances and their hideouts. and it shows various buildings, vehicles and people being hit by explosives. satellite coordinates on the video suggest the attacks near the town of ishaki, which is near tal affair. here in kurdistan, which is in the northeast of iraq and what's called a semiautonomous state, the iraqi army is still big vilified. kurdistan has its own military, and

i'm michelle caruso-cabrera with an update on a developing story.rico's debt is slumping in mid trading session. anything related to their utilities, the water authority, the highway authority, the sewer authority, the immediate reason is the downgrade from moody's, but the reason moody's downgraded is is there's a brand-new law that now allows for the rue structuring the 9 public utilities. significant when investors were considering getting into risky debt, their concerns was it's not a country, not a state, what is their bankruptcy scored in there isn't one, but they built one at least for this section of bonds, so they've been selling off. but in the municipal bond market, that's a huge move intraday, particularly when you look at the electric utilities bonds, some haven't traded since mid april. we're showing an index of a bunch of muni bonds. keep in mind there's all kinds of puerto rico bonds. general obligation bonds actually trading better day, because some investors perceive them to be protected, because maybe puerto rico has chosen where

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chief international correspondent michelle caruso-cabrera take a look. >> there haven't been a lot of democratic reforming, but lots of economic reforms. unbelieve house it's different. we'll take a look right after this break on "power lunch." don't go away. we're moving our company to new york state. the numbers are impressive. over 400,000 new private sector jobs... making new york state number two in the nation in new private sector job creation... with 10 regional development strategies to fit your business needs. and now it's even better because they've introduced startup new york... with the state creating dozens of tax-free zones where businesses pay no taxes for ten years. become the next business to discover the new new york. [ male announcer ] see if your business qualifies. >>> this is the iconic image of the tiananmen square uprising. today marks the 25th an verse of the massacre that saw the chinese army gun down hundreds of civilians in a brutal crackdown on a protest for. merck merck is here to look at then and now. hard to believe it's been 25 years. >> absolutely. at

my number two on the hot list, michelle caruso-cabrera dug into the oil export numbers for iran, andow past all the quota requirements put on by the obama administration. gets deep into the numbers and interviewed a few administration officials that seem to be doing the backstroke on it, but a fascinating read. more than 10,000 people read that story already and then number three, phil lebeau looking at today's auto sales numbers and how the consumer has changed what that is doing for them. the consumer seems more willing to go in and look for a car not because they need it but because they want to buy a car. big changes and we saw that in the numbers today. >> willing and able. >> that's absolutely the story. elon musk's comments about how he thinks within a year as phil lebeau flagged for us, you'll get on and off the highway without touching the steering wheel. that's going to be a big talker for the next 24 hours. >> put that story on the website and it's climbing up again and jostling some others out of the way. >> let them duke it out. good to see you, allen. don't drink too mu

so let's kick it off with our chief international correspondent michelle caruso-cabrera. give us the latest on this, michelle. >> the group linked with al qaeda is on a massive offensive and believed to be 70 miles from baghdad. the group is the islamic state in iraq and its leader calls himself, no joke, maybe he thinks it's funny, abu bakr al-baghdadi. more extreme than al qaeda, founded of course by osama bin laden. the iraqi government is desperate asking the united states for any kind of help possible to defend the capital. president obama spoke about the situation two hours ago. >> i don't rule out anything. because we do have a stake in making sure that these jihadists are not getting a permanent foot hold in either iraq or syria. >> take a look at this video. what you see are iraqi army uniforms, soldiers in the iraqi army abandoned their post, stripped off their uniforms to hide amongst civilians as the al qaeda linked group advanced toward baghdad. the u.s. trained that army and its performance in this the battle does not speak well of its professionalism and val

our chief international correspondent michelle caruso-cabrera here with the implications. what exactly do we mean when we say negative interest rates? >> so just like you and i keep our money in a bank, we have a bank deposit somewhere -- >> get 0.10%. >> exactly. banks have deposits, their central bank. now the central bank of europe is telling all those banks, if you keep your money here, we're not going to charge you to keep your money here. >> so what they want is for those banks to lend that money out to the consumer and the real estate economy, et cetera. >> exactly. go put it to work. >> you're not going to make money. you're going to lose money. ecb also announcing a targeted ltros. what in the world are they? >> we have built a wall graphic to explain. >> look at that. >> a tltro is, targeted long-term refinance operation. we built it on purpose. so the letters -- there they go. that is a really, really wonky thing. >> yes, it sounds it. >> but the idea is very simple. the head of the ecb has created a structures, and they said okay, here's what we're going to do

first the future is now, michelle caruso-cabrera joins us via robot. >> reporter: hey, there, becky, this is a telepresence robot. i will join us on the set. too es are becoming more ubiquetous as the price comes down. can see max so clearly, should i take a right, sooner, later? . >> come back. come backwards. >> we are going to do more after the break. >> come back and take a right. >> take a right. all right. >> there you are. >> okay. yeah, here i come. there is a cord there that i can see, i'm a little bit nervous. >> seeing the world in reverse, and i loved every minute of it. but then you grow up and there's no going back. but it's okay, it's just a new kind of adventure. and really, who wants to look backwards when you can look forward? are the largest targets in the world, for every hacker, crook and nuisance in the world. but systems policed by hp's cyber security team are constantly monitored for threats. outside and in. that's why hp reports and helps neutralize more intrusions than anyone... in the world. if hp security solutions can help keep the world's largest organiz

michelle caruso cabrera joins us now. michelle, we are hearing some reports now that secretary kerry may be in baghdad soon. is that realistic considering the security situation? if he does go, what's hesitate message to prime minister maliki? >> i haven't heard those reports. we've been out shooting all day. whether he can get there securely, we haven't seen attacks or the jihadists arriving to baghdad in any numbers. we have seen two car bombs this week that have left several dead in shiite neighborhoods. you would assume that if secretary kerry were to go, i think his message would be similar to what he spoke to yahoo! last week and the interview he gave to savannah guthrie at cnbc this week, there has to be something done to make everyone feel included and this can't be just a shia government. it has to be a government for everyone in order to calm the situation down. when you talk to sunnis on the ground who are not jihadists, they are not necessarily sympathetic to the insurgents, but they offer no resistance and the

michelle caruso-cabrera joins us from northern iraq. michelle? >> hey there, becky.high. brent trading at $115. near $115 per barrel over in london as there are concerns about disruptions. so far, there's been no effect on iraq's exports. even its production. by the baiji refinery under siege by militants. it's unclear who controls it at this point but it is offline. so in this part of kurdistan -- in this part of iraq to the east there is a gasoline crisis. take a look at the lines that are all over the region of kurdistan and northeast of iraq, because 300,000 barrels worth of capacity were -- refining capacity has come offline as a result of the baiji refinery being under attack. and the number of people who are now lining up here because they escaped that part of iraq to come here to try to buy gasoline and escape violence has surged dramatically. and so the lines are extremely long. we went by one line that had at least 500 people. people waiting hours at a time. and keep in mind, it's 109 degrees out today. we visited the largest refinery here in kurdistan. it'

michelle caruso-cabrera joins us from the northern part of that country, with more. ichelle, it's great to see you again. >> hey, good to see you, becky. want to let you know that secretary of state john kerry will be traveling to iraq sometime soon. we don't have a timetable. united kingdom newspapers are specifically reporting that he will go to baghdad. no confirmation so far here in the united states on that point. but he will be traveling in the wake of president obama's announcement yesterday about his decision or willingness to do precise and targeted military action under certain conditions. we want to tell you what the iraqi reaction to that was. at least the official reaction was the iraqi state television reported based on the speech that president obama had asked the prime minister of iraq, nuri al maliki, to step down, and that maliki had refused. kurdish -- remember kurdistan in the northeast region of iraq, the kurdish media tonality changed before president obama's announcement. they were describing the isis group in the west as terrorists, and now the

our michelle caruso-cabrera is here with a preview.could be a really big deal. >> yes, it could. steve liesman was here yesterday, he had a great survey on what participants think the ecb will do. i'm here with the sequel so to speak. in the question and answer session today he has to do something bigger, badder, better in order to please the market and ultimately help the european economy. first, what is mario draghi's problem? he has inflation that's too low, potentially deflation. why is it happening? due to a contraction in credit. banks aren't lending. the last point on the full screen is the most important. why aren't they lending? because the banks are capital constrained. a lot of them are in countries where you wouldn't want to make loans anyway. basically, these banks are terrified of the stress test. they didn't raise capital. they are hoarding money. that is so important. it negates a lot of the tools mario draghi has at his disposal. negative deposit rates. i'm a bank and i have money at the ecb and mario draghi says we'll

michelle caruso-cabrera is back from iraq and joins us now on set. back again was the name of the original -- did you have a kevlar? >> we brought kevlar and helmets, too. we were in kurdistan the northeast region where -- intense security there. almost bordering on a police state in some ways. but we never put on a flak jacket, even when we went to kirkuk. i didn't feel i needed it. neither did security. >> the kurds are probably our strongest allies. >> for sure. >> should we hope it becomes a kurdish -- >> it's hard to say if kurdistan becomes independent then their navive will end. once they're independent then they'll have the imf looking at them. they'll have other places looking at them and then start to see, right, exactly and there are going to have to be a lot more transparents. i think we're going to see a crony capitalist kind of place. but certainly, they've got a lot more for them understanding the rule of law, making sure your contracts are with investors. or ones they can be profitable with. >> just was writing stuff last week, i don'

our chief international correspondent michelle caruso-cabrera is here with more on what it all means. >> big headlines. the market's very worried about disruption of supply. but counterintuitively, there's an increasing possibility that the increasing situation in iraq leads to more oil coming out of iraq in the short to medium term. we will get to that in one second. let me go through the headlines. where are the rebels? they took two eastern cities. what exactly the united states going to do? we don't know, the president has said all options on the table, but then quickly said that didn't mean u.s. military boots on the ground. what you're looking at here, video of refugees from mosul going into kurdistan. and some of them are going back because mosul is now calm now that the rebels have taken it. the rebels are sunni, the inhabitants are also sunni. once the iraqi military disappeared, the fighting disappeared, as well. the u.n. held a press conference in baghdad yesterday, no, actually earlier today saying something must be done. what that will be, we don't know. this is the video

michelle caruso cabrera is in iraq with the special report. >> reporter: the situation is growing increasinglycritical here. so much so that the white house announced an hour ago that the president will meet with leaders of congress to consult with them about what the u.s. response should be to the situation here. this as we see more violence. definitely on the rise. we had a car bombing in baghdad today that left sevenen dead. the first time we see violence in the capital city. there is fighting in the northern part of the country. so for oil production in the south of the country is unaffected because it is far i way from the fighting. today the ceo of bp said they have increased production in the south at the request of the iraqi government. still the price of oil is elevated and near one-year highs for the year. the region of kurdistan is in a financial baghdad. they are going to war as we speak. the oil minister announced today that they are going to load up yet another tanker. this would be the third in roughly three weeks full of ale million barrels of oil in defiance of baghdad and try

michelle caruso-cabrera will join us in the next hour. >> you have a frog in your throat. >> yes, i'm> you're not sick, are you. >> no, the pollen, allergies. >> becky would have saidr

cnbc's chief international correspondent michelle caruso cabrera is in iraq and brings us the latest.> reporter: in the last hour the new york times is reporting that 44 sunni insurgents were killed near baghdad. we are getting details still. there is a lot of violence as the iraqi government continues to fight islamic insurgents. there is a lot of discussion about what's been, what is, what will be the future role of iran in the crisis in iraq. some of the news coming from as far as vienna where there is the fifth round of talks between tehran and world powers aimed at finalizing an agreement about curbing iran's nuclear program. on the sideline of the meeting there was a discussion between the u.s. and iran about the situation here in iraq. this comes after john kerry said the u.s. would not rule out working with iran in some way though they did immediately say later on there would be no military coordination with iran. iran and the u.s. find themselves ton same side of the situation here in iraq. they both consider the sunni insurgents enemies of a sort. lieutenant jay garner was o

michelle caruso-cabrera has the very latest developments. >> thank you very much, tyler. both the iraq government and the u.s. government struggling to come up with responses that might turn back the islamic insurgents that have taken over the northern -- some of the northern parts of the country. the iraqi government recruiting more men to join the military. those recruits will get one day of training before they are sent to defend the capital city of baghdad which the insurgents say they're going to try to attack and control. presumably these new recruits are to replace the u.s.-trained members of the iraqi military who abandoned their positions and disappeared in the battle for mosul earlier this week. what you're looking at, their discarded uniforms so that they could blend in with civilians. that's what you see in this video. president obama made clear today that u.s. troops would not be going to iraq and that his national security team is working on possible help for the iraqi government. but he made it clear that he placed a lot of bla

cnbc's national correspondent michelle caruso cabrera has the latest. >> video from today shows the streetsions telling reporters that they are fearful of the violence. u.s. secretary of state john kerry making a statement this morning in london. he was appearing at a global summit on sexual violence with angelina jolie. take a listen to what he said. >> given the gravity of the situation, i would anticipate timely decisions from the president regarding the challenge. >> as mentioned, the price of oil in the united states and in london continue to move towards their highs for the year. this even though there are a number of market participants who believe actually maybe even more oil could come online to the marketplace because the kurdish region in the north may seize this moment to start shipping their own oil, which the central government of iraq has vehemently opposed. the occurreds have taken over the city of kirkuk after it was abandon by the iraq army. they did not rule out the possibility of maintaining control of kirkuk permanently. >> we have gone their primarily to protect the po

michelle caruso-cabrera joins us with a special guest. the financial side of things. in total it's very exciting. although we're just -- we're a little early maybe, michelle. i would be more excited -- >> early for the singularity. >> as we prepare for a point in time in the not too distant future, when total machine knowledge, computer knowledge is billions of times more than -- cumulative, than all of human knowledge. how do we know the pace of technological development by machines at that point? we have no idea what's possible. it's like the big bang. >> aoeult wile fans are thrilled to hear you talking right now. that is an incredible thought. it's a little further out. the name of the conference is exponential finance. the founders firmly believe there is since happening right now that will impact wall street in the next two, three, five years not just when we get to the singularity. one of the founders, one of our foremost scientists, thinkers and real believer about robotics and humans at some point merging. and peter dimandis, also

michelle caruso-cabrera joins us with more on the scandal rocking the world cup as it gets ready to beginworked at univision with that guy. >> they only do it if someone scores a goal. will it happen in the world cup? >> will there be goals? i think so. this is exciting. the game is tied 0-0. my favorite line from the simpson's. a huge scandal involving the organizing committee for soccer fifa. just below gambling in cast blanca, massive allegations of bribery to give qatar the world cup in 2022. how many people in the world surprised by this is absolutely vero. what makes it so compelling is somebody clearly has a vendetta out because for two weeks in a row they have leaked incredible documentation to "the sunday times". qatar has come out to the bbc and vehemently denies. fifa says they have 100% currently being conducted by the fifa's independent. a lot of them put out statements. but they say what they are supposed to say, right? >> i haven't been following closely enough. qatar paid off fifa? >> there's a middleman who arranged for meetings between the key voters and the organizing c

cnbc's chief international correspondent michelle caruso-cabrera is here with the details. to find out what's going on. what is it? >> if you look at what iran exported from july 2012 to october 2013 that's the month before we started negotiating with the iranians in november. they were running 1.07 barrels a day. you can see what happened the subsequent months. november to april of 2014, 1.23 million barrels per day. q1, january, february, march, you have 1.36. we would be close to 1.5 million barrels per day. six or seven countries okayed by the u.s. government to be allowed to keep buying iranian oil. they had to find other sources. the biggest buyers were the chinese. there's a lot of volatility. it is a day by day number. what have the chinese done? they have dramatically increased. running $800,000 a day. that's a very, very high number for them. they give two different ones. well, the period of time where we said it would be a million barrels per day was six months. we are already out six months if you count november. if you go to january, which is when they signed e

i'm michelle caruso cabrera for now. >>> joining us now, scott brown from raymond james and on set don lufkin at trend macro. yesterday, where was bullard? was he on a competing -- >> uh-huh. >> he was? >> uh-huh. >> because he was a friend of our show. >> i didn't even acknowledge that he was somewhere. >> he was somewhere. he was channeling someone. fist quarter of 2015? is that new? >> no. janet yellen at her first press conference, she let that slip. inflation is not just a risk now, it's a reality. every other official measure is above 2%. >> so you say inflation is a reality. inflation is happening right now? >> cpi is 2%. sgr we don't need to worry about it yet, right? >> you're already at the target and you have not started raising interest rates off zero, it's something to think about. >> scott, what do you think? >> i don't think inflation is going to be much of a problem here. you look at pipeline pressures, import prices, whatever you want to talk about, there's no real inflationary pressures there. you're seeing a huge amount of flack in the job market. you're fought going