. >> we will have new york attorney general eric schneiderman. don't miss it. >> and tune into "market makers" on wednesday. michael lewis himself will be our guest host for the entire hour. ♪ >> more revelations of this weekend about the faulty general motors ignition switch that led to at least a dozen deaths over the past decade. newly released document said the company decided not to fix the problem all the way back in 2005. the reason? it was too expensive. our auto reporter matt miller is here. we also have sally greene there -- sally greenberg. matt.begin with you, more details on what is called damning documents. >> it looks absolutely awful and i am sure for mary barra it is a horrible as well but not nearly as bad as it is for the families of people who died. in the case where general motors solve the problem backing 2001 open anin 2001 and investigation in 2004 and decided a fix was too expensive. you have to ask yourself, if someone thought, wait, -- it is too expensive, we would rather let someone died? worthensive that it is the cos

. >> new york's attorney general erik schneiderman is ramping up his campaign against what he says are unfair advantages enjoyed by elite stock traders. i admit this is complicated but it's important to you because these traders now account for half of all the stocks traded in the united states. schneiderman wants stock exchanges to stop giving traders ways to trade information before other investors can possibly react. high frequency traders use super fast computers, complex programs and rate stocks that approach the speed of light. they use algorithms to react to data much faster than any human can, and they execute thousands of stock trades a second. many generating profits less than a penny per share but when you add them up its big money. stock markets have become too focused on focusing on these traders than others. more damage control at general motors keeps chief executive mary barra, in her best captain impression, she admitted that they took too long to bring the cars in to be fixed. 12 people died in connection to faulty ignition switches. and puttin g. has put a single pers

schneiderman raising some kweps about that. virtu did not respond to calls for a comment about this. buy a high frequency trading association did respond. they say location and market data feeds are the modern markets demock contractization of the process. similar to having people on the trading floor but it allows for more participants to have the same access than the floor ever did. that's peter nabicht of the modern markets initiative. now, to the floor of the new york stock exchange where they're always focusing on high-speed trading. >> do we need tough regulations for high frequency traders? let's talk to joe,co head of trading. keith roth is ceo of enterprises. he joins me from chicago. you're one of the godfathers of people who looked into the underpinnings of high-frequency trading. what's your response to what the attorney general said today? >> thank you, bob. certainly examining high-frequency trading makes sense. but it's been a tremendous efficiency for the marketplace. i would agree with peter neighbt that it's d

>> the issue is how these traders use technology to, as schneiderman says, gain an advantage. it equals an on level laying aying field.evel pl you are looking at dark pools. we do not know what goes inside of those. given the fact there is a lack of transparency worries not just schneiderman and his office -- >> so dark pools, they say, by the way, i want to trade this they block of stocks and the volume affects the pricing. it is happening behind the scenes, not being reported in a fully transparent way. or that frommove 2011, 20 09, 20 08 -- why do we care again? the sec already looked into this. it was a big story -- >> i will tell you exactly why we care. americans want to know it is a fair system. if some machine has a tiny advantage over you, that somehow in essence feels on american, feels noncapitalist at its foundation. is there anything that can be done, john coffee, to restore people's trust in the markets, foris it an off high-frequency trading? >> you can do a number of things. of the question is who makes the rules? we have a conflict the tween the new york attor

i want to go to eric schneiderman. may, the new york attorney -- attorney general announced plans to sue wells fargo for curbing foreclosure abuses. the $26 billion settlement was reached in 2012 between five major banks and 49 attorneys general. it provided basic protections for homeowners such as requiring banks to notify them about missing documents within a certain time period, but he said the banks had violated the times of the settlement with impunity. he showed hundreds of complaints issued by homeowners against the banks. fargo and bank of america have flagrantly violated their obligations under the settlement. i sent a letter to the monitoring committee, the body that oversees the implementation of the national mortgage center settlement, notifying them of my intention to sue wells fargo and bank of america for noncompliance of servicing standards, spelled out in the settlement. this enforcement action is the first taken under the settlement, based on 339 individual complaints from new yorkers against these tw

joining me now, new york attorney general, eric schneiderman.ays a pleasure and honor to have you on the show, especially on the heels of this, more good for people who think minimum wage workers need a fair shake. i was staggered by the statistic up to 84% of workers, fast food workers report wage theft has something that happened to them. why are we hearing about this now? >> what's happened, workers, fast food workers and others, have found their voice, and these are folks that traditionally, a lot of folks in the labor movement thought you can't organize these people, they're too vulnerable. they found their voice. sciu, mary kay henry have thrown down on the fast food workers and are backing them up and they are coming forward in numbers that are staggering. we settled two weeks ago, got back wage over 1,000 car work washers. yesterday announced 1600 mcdonald's workers, finding their voice, getting support from unions and becoming a powerful force in reviving essential american efforts to do something about inequality. everybody talks about

eric schneiderman is here live. >>> old tech, new hope. as microsoft looks to launch office for ipad, will the stocks be winners for your money? >>> public offerings with so many new ipos soaring, is there a bubble brew that could soon burst? today's starting lineup, joe josh and stephanie link is here. stocks are rallying again today after russian president vladimir putin suggested no plans to move further than annexing crimea. that seemed to calm investors a bit but there seems to be plenty of risks to keep an eye on. ball seems to be in president obama's court now to comment on further sanctions but there are still risks to keep an eye on. >> like a lot of geopolitical storms. flare-up, the vix spikes, the market gets more comfortable with it and the unknown becomes more moaknown. how much is putin going to push to get a pro-russian guy up there and is that going to be the next flare-up? we don't know but in the absence of anything immediate or military you have calm. the dow is up 400 points in 48 hours. >> is it safe then to be in thi

we learned that schneiderman has convinced a canada en company , they also cut the cord to high speed traders. the direct access high speed firms is not illegally, but high frequency traders can make big profits that are not available to other investors. for my money it's good that regulators are taking steps to make sure that markets are not giving elite traders the leg up. i'm ali velshi. we'll have more tomorrow. >> these protestors have decided that today they will be arrested >> these people have chased a president from power, they've torn down a state... >> what's clear is that people don't just need protection, they need assistance. >> >> two possible objects related to the search have been identified. >> search and rescue teams are in an area off australia to see if debris spotted on satellite could be the missing malaysia airlines plane. ukraine proposes a plan to withdraw troops from crimea if russia does the same. >> 2 bedroom apartments are going for over 3,000. >> why thece

. >> from medford, massachusetts, y'all give it up for jason schneiderman. what up, j?at's up, buddy? it's good, jason. so this thing about peacocks, what's going on? you love the animal? >> i do. well, the thing about peacocks is that they are known for being a little vain, a little fl

the new york attorney general has put high-frequency trading in the news.eric schneiderman says regulators have to look at what he called the 'unfair trade advantages' some traders have...by getting information & executing trades milliseconds ahead of the pack. he is going after exchanges, including the new york stock exchange and the nasdaq, that allow high-frequency traders to put their computer servers inside the exchanges' data centers.defenders of the practice say it saves big and small investors money and hassle.. and enhances liquidity. meanwhile, strong words for wall streeters from benjamin lawsky. the head of the new york department of financial services said we should shame bankers and traders by publically exposing them, fining them and putting them in jail.he says regulators are considering banning companies from doing business in certain areas if it's employees have a past of misconduct. it's day 13 in the search for malaysian airlines flight 370. the fbi is now helping malaysian officials examine the hard drive of the pilot's computer. evidence indicates that captain zaharie

. >> eric schneiderman is with us investigating the high-frequency trading. welcome. >> thank you. >> so high-frequency traders, as shown by michael lewis and steve kroft, is it illegal? >> it's been around for a while, not illegal. what michael is talking about are high-frequency traders who use their speed to take advantage of cracks in the foundations of our market. as i think he explained in the "60 minutes" piece, we now have 60 public and private markets that are linked up, and there are cracks. there are places you can get to faster than other people and front-run the market. what's improper is front-running the market, using any special advantage or edge with your speed to have an unfair advantage over anyone else. there's an assumption in the marks that everyone's allowed to do research but they're fundamentally -- >> is what they laid out last night illegal? >> some of it i believe, may be illegal. our office's had an investigation for over a year in some practices related to high-frequency trading. there was a situation we dealt with last year wher

the bokens were with new york attorney general eric schneiderman. >> thieves are not going to stop stealingphones until they know the smartphones are worthless. >> reporter: a kill switch allows them to erase data and make them inoperable. wireless companies warn the technology could theoretically be used by criminals or terrorists to cut off cell phone operations. >> we're very concerned it's secure. we don't want anything that's a hackable kill switch. >> reporter: but new york commissioner william bratton points out the industry profit when owners replace or ensure devices. >> they're making a fortune on this. they don't want to lose them. well, shame on them. >> reporter: in addition to a congressional bill, several states including california and illinois are also considering kill switch legislation. it makes it hard for manufacturers to resist. elaine quijano, cbs news, new york. >>> well, getting mad can be dangerous to your health. a new study found two hours of an angry outburst heart attack increases nearly five times. and a chance of a stroke also goes up. researchers say more st

we learned that schneiderman has convinced a canadaen company, they also cut the cord to high speed traders. the direct access high speed firms is not illegally, but high frequency traders can make big profits that are not available to other investors. for my money it's good that regulators are taking steps to make sure that markets are not giving elite traders the leg up. i'm ali velshi. we'll have more tomorrow. >> these protestors have decided that today they will be arrested >> these people have chased a president from power, they've torn down a state... >> what's clear is that people don't just need protection, they need assistance. >> hi i'm lisa fletcher and you're in the stream. a special milk for toddlers. it's a booming business for formula companies. is it good for toddlers or just good for the bottom line? ♪ ♪ ♪ >> my co-host wajahat ali is here. these companies have fightd out there's a -- figured out there's a market for toddler

today the bokens were with new york attorney general eric schneiderman, he is among the growing numberofficials that want mandatory kill switches in mobile devices. >> thieves are not going to stop stealing smartphones until they know that the smartphones are all worthless. >> reporter: scott, in addition to the kroningal bill, several state its including california state its including california and illinois are also considering kill switch legislation, the size of those markets makes it harder for the we are very concerned it is also secure, we couldn't want an instance where it is a hackable kill switch. >> but new york police commissioner william bratton points out the industry profits when owners replace replace or insurance devices. >> we are they're making a fortune and they don't want to lose them. well shame on them. >> in addition >> reporter: scott, in addition to the kill switch bill, several state its including california and illinois are also considering kill switch legislation, the size of those markets makes it harder for the wireless industry and >> pelley: elaine, tha

schneiderman says he believes the industry is capable of developing a secure solution. charlie, norah? >> elaine quijano, thank you. >>> testimony was interrupted in the murder trial of the so-called blade runner oscar pistorius. the double amputee olympic track star is on trial in south africa for shooting his girlfriend last year. court was briefly adjourned after the neighbor's picture was on television. she said she heard a woman scream followed by four gunshots. >>> time to show you this morning's headlines from around the globe. politico says president obama canceled his delegation to the sochi paralympic games. american athletes will still compete in the games which began friday. >> questions about military screening of recruits new studies fine one in five have common mental health issues before enlisting, including depression, panic disorder and adhd. more than 8% of troops thought about killing themselves. more than 1% tried to commit suicide. >>> washington post says the epa announced a new rule to reduce sulphur from gasoline. the agency says it's equivalent

attorney general eric schneiderman saying the company must compensate for all of the lost cash dollars on the gm recall. releasing testimony ahead of tomorrow's hearing. chris malone is here to weigh in. it gets worse every time news breaks. we just hear more that they knew it seems like the situation gets worse and worse. >> it will get worse before it gets better. this really is an opportunity for them. they should run into this ambush, not shy away from it. i believe that pending on the way they embrace and handle this, they could cut in half the recovery time. >> if you were a stockholder, with that terrify you what he just said? >> you want the company to, call it, the formula. in this case, 2.6 million cars would have had to have a board expensive ignition system. do they throw out the formula and worry about the media event? look what happened to toyota. it did a lot of damage to that brand. i think you have to reassess the formula. it will cost them a lot more than the quarter billion dollars. >> despite the fact that they did not make gm specifications. they canceled the propo

trading two point zero you ask well it's a term that the new york state attorney general eric schneiderman coined on tuesday to describe high frequency trading now high frequency trading is a form. of quantitative trading that's characterized by short portfolio holding periods all allocation decisions are made by computerized quantum models now high frequency trading firms use sophisticated computer systems to move in and out of markets in fractions of seconds fractions of seconds literally less than a second the success of high speed trading strategies it's largely driven by their ability to simultaneously process volumes of information something that ordinary human traders cannot do now new york's top cop called for market reforms and tougher regulations on high frequency trading schneiderman is hoping to eliminate what he calls an unfair advantage provided to traders who use this method the a.g. is probing whether u.s. markets are giving high frequency traders unfair advantages by offering faster access to data access that is not normally available to the public now to station owner and

eric schneiderman is here live. >>> old tech, new hope. will the stocks be winners for your money? >>> public offerings with so many new ipos soaring, is there a bubble brew that could soon burst? today's starting lineup, joe

we were pushing this when we helped eric schneiderman's secure cell phones initiative. gerri: new york attorney yen. >> there is legislation in california. and now the federal legislation. i think people are starting to pay attention. gerri: paul, there is another solution being proposed by the wireless companies themselves, a national database of stolen phones where you could go and check in if your phone is stolen. is that enough of a solution for you? >> no, i don't think that would solve the problem. the problem is these phones are being stolen here and being shipped overseas that would solve a national problem. if the phones are being resold in america but it doesn't solve the problem of the phones going to asia and other places. >> annie, to you, how old was your sister when she died and what do you make of this debate and this controversy and you sit down and listen to people talk about it, people that didn't even know your sister. >> meagan was 23 when she was killed. she was a year out of college. she was just starting her career and navigating life as an adult

it's a top cop the attorney general eric schneiderman dubbed the practice insider trading two point zero we're taking a look at why coming right up and earlier today i sat down with the c.e.o. of overstock dot com now these staunch big point supporter patrick burns to get his view on the report on the cryptocurrency and just for countries in general outside of big fun you won't want to miss my interview with him and finally in today's big deal edward harris and i are talking to act we're covering everything from a home in l.a. or in screen as the latest in wearable technology it's all coming up and it all starts right now. with. our lead story today insider trading two point zero what is insider trading two point zero you ask well it's a term that the new york state attorney general eric schneiderman coined on tuesday to describe high frequency trading now high frequency trading is a form of quantitative trading that's characterized by short portfolio holding periods all allocation decisions are made by computerized quantum models now high frequency trading firms use sophisticated comput

understand, hank is still fighting what is left of the spencer case with current attorney general eric schneidermanked some people, just pick up the state, get away from these nutty regulators and he is considering that. greenberg is considering moving all of the operations from new york to texas. a fairly big move. i will say is this. if you ask why the state is in bad shape economically and is, you bail out the new york investment banks in 2008, still have less employment because regulations caused people like hank greenberg when they start growing and getting -- he built a ig into a huge entity but now he is doing his second act. they bought another accompany a couple weeks ago. when you start getting that, the economics force you to cut your costs by moving to texas as opposed to putting up with regulations and taxes here. that is what greenberg is doing. i do know he is considering it and it is in the context of this thing growing with the purchase of this insurance company. hank has better relations with the chinese government than he does with the government of new york state. cheryl: is not

attorney general eric schneiderman said he reached the deal with the owners of 23 domino's stores.it follows a similarly victory by mcdonald's employees, bringing the total amount of stolen wages regained by fast food workers to nearly $1 million in two weeks. the fast food for campaigns has more than 80% of new york cities fast food workers report wage that. connecticut governor malloy has signed a bill raising the minimum wage to $10.10 an hour starting in 2017. imprisonedmy veteran in an immigration detention facility in tacoma, washington says he has been placed in solitary confinement after calling for work stoppage among prisoners. the northwest attention center is owned by the for-profit geo group. hassall moses said he try to type up a letter: for fellow prisoners to protest the halting work him up the letter is intercepted and he was placed in solitary confinement. moses spoke in an audio recording made by an attorney. basically, this facility is run by detainees. working, we stopped could negotiate by the pay raise because right now everyone is working for one dollar. we

lewis's new book will help focus attention on this debate now schneiderman's inquiry into high speed trading threatens to disrupt the model that market regulators have permitted for years trading firms pay to place their systems in the very same data exchanges and this is a practice known as co-location and it lets traders shave off milliseconds on transactions now several years ago the founder of trade bought one of the biggest high frequency trading firms said that his firm had nothing and had had not lost and had not had a losing day in four years well perhaps that's because the firm's average holding period for a stock was eleven seconds eleven seconds so how is it possible for one of the largest high frequency trading firms to execute millions and millions of orders over four years without ever having a down day well the answer in short is that what they're doing is not trading it's called skimming and today it's perfectly legal now while the securities industry has been obsessed with this debate over high frequency trading for almost a decade the discussion has only periodic re

i don't want to give barack obama or eric schneiderman, any ideas about regulating pay. now they start with the wall street guys and go to the mutual fund managers. you could be smoking pot. you could have needles sticking out of your arm but no rationale person in the world can sit there and tell you that bill gross is worth $200 million this year after the crappy year he has had. it makes no sense. melissa: fund he managed at the worst annual performance since 1994. >> this is absurd. think about it this way, if lebron james is nearing the end of his career and he is suck guess what, they don't pay him as much. melissa: jonathan? >> he will with you know, i can't doubt that he had a bad year last year. he lost less than 2%, charlie. trailed a lot of bond market averages but talking about a man who won ever considerable accolade in the investment universe. >> [snoring sound] you. >> might make the snoring noise and think he is not worth it but -- every accolade investment fund business. >> and one from you too. i'm just saying that and dollar 50 doesn't get you on the s

. >> and it links up with this -- eric schneiderman has all ready started looking into this.o say the least. here's the single best chart. >> this comes to us from a firm that assists foreign companies and their strategic choices in china. it shows manufacturing output as a share of the world total for the u.s., and white, japan and yellow, and germany, blue. the u.s. peaked at about 26% in the late 1990's. japan and germany have also seen their share drop as well. the reason is because of china. the red line. it has been steadily climbing. >> more than us. >> is sort from 3% in 1990 20% in20% -- to almost 2000. >> bill white is with this, former mayor of houston. it is a whole new wage dynamic with steve roach between the u.s., mexico, and china, isn't it? labor arbitrage has been going on for a long time. we have seen it occur really since the 1950's. u.s. policy. we want other people in other parts of the world to have good jobs that are sustainable. certainly, we've seen a growing middle class in mexico right now . some of the initial benefits you saw in nafta, some manuf

nancy schneiderman, success looks like seven million enrolled by march 31st.ay. nbc ran that sound bite today for the first time since september. they haven't wanted to focus on the markers offing success. there's just no focus on that whatsoever. the main thing we've gotten in the last couple of weeks was everybody cheering on the morning shows about how funny obama was being interviewed by zack galifianakis. that qualifies somehow as coverage because that's how he he's selling it. stuart: yeah. i'm sure you'll be tuning in to see how they do report the target on the deadline. thanks for joining us, we'll see you again spoon. finish -- soon. >>> look at facebook. has the company become too big for its own good? we will talk about that in the real halftime report. it's up a buck. micron technologies leads the s&p 500, big gain, 7%. it reports its profits after the bell on thursday. the analysts have high expectations, that's why the stock is up 7% as of now. micron, 23. check the big board, the markets off its earlier highs, but it's coming back again. a lot o

thank you for joining us today, attorney general eric schneiderman. news this morning including the new movement rooted in civil rights. we will talk to two of its leaders to see what it might be able to accomplish. >>> plus, more on the search for the missing malaysian airlines flight 370. take a look at what happened this morning at the airport in kuala lumpur. hundreds of people, more than 300 of them, riding bicycles in a show of support for the passengers and the crew onboard flight 370. as well as for the families who have been waiting for answers for more than two weeks now, the ride for prayer. participants decorated their bikes with small malaysian flags and stickers that said pray for 370. all of this happening this morning as search planes circled back to the same remote stretch of the south indian ocean to keep searching for new clues in the disappearance of that flight. malaysia announced only hours ago that french satellites have discovered images of potential wre wreckage from the plane. [ sniffles, coughs ] shhhh! i have a cold with th

. >>> eric schneiderman is calling for tougher regulations. >> this is interesting. >> among them, beingervers within the trading venues themselves, providing ultrafast connections and other moves to get information to traders milliseconds ahead of the rest of the market. snyderman says markets are catering to rather than curbing -- >> should everybody have the same access? nobody should have the ability to locate their server closer to the exchange? >> this goes to the whole idea of the game being rigged. right? and the idea that one guy has an advantage over the other guy. this is a technological advantage, if you pay more than i do, i somehow get -- it doesn't make sense. >> i did a story on this. i went to a location in new jersey that was close to the nyse servers. the real estate prices had gone up because there was a premium on the real estate that was close to these servers and these hedge funds. all it is is like a box. that's all it is. a little box. >> you have to wire a little bit closer, reduce the traveling of the speed of light. >> these are the things that get people most

. >> a.g.s are making a lot of news, jim, the high frequency thing yesterday with schneiderman of newon the front page and probably liking it. all right, there's the bell this morning. you are watching the opening bell at the s&p 500 at the cnbc real time exchange. here at the big board, arbor realty trust celebrating its tenth listing anniversary and endo international is celebrating its acquisition of palladine labs. >> we'll look at markets here and we knew futures we were looking at an open about 15 points higher on the dow. can we hang on here at the open and also, of course, nasdaq, the s&p, scott, this will be a week where we determine whether yet again u.s. equities at all-time highs how the fed ultimately responds to that especially if there's an accommodative fed. there will be more than one set of circumstances going on they're discussing in this policy meeting, there's going to be more talk about at what point some of the froth. take the small caps, for example, we had joel greenblatt on "closing bell" saying they are close to 5% of their historical value range and only 5%