seema seema. europe was included yesterday. we know of course that policy won't be tightened which has been one of the big factors weighing in the last couple of sessions. so a little surprise that europe was involved in the sell off yesterday but it was bouncing back today. quite strongly as well. mario draghis comments giving extra to markets and highlighting the fact that even though of course we do have the growth picking up that policy will remain moving toward strong gains across the board. >> ftse 100 is in the green today. it was weighed on heavily because of weak commodity prices. see what what are commodities doing here today? >> i'll join you at the wall. they were a big part of the story yesterday. we did see oil shares moving lower but a little bit of a bounce back. wti crude trading at $40.47. perhaps traders reacting to that. >>> gold given the rise in volatility we saw yesterday standing about 10%. a certain level of fear given the rise in rates. that's what caught the attention of traders yesterday and in response we did see spot gold rally yesterday and today it continues. spot gold at $1,161 an ounce. just when you thought yields could not move any lower, well they did. dipping below 2% in yesterday's trade. some saying we could see a negative yield on the ten year. something that watch as we head toward the open of trade today and the ten year u.s. trade, interestingly enough some investors saying they're going to take money out of the european monday market and put into the us. bond market. we did see selling in yesterday's trades. bonds a big part of the story. >> thanks. let's talk more about the markets and volatility in the last couple of days. >> let's touch on the big sell off in u.s. equities. what in your mind has been driving that. >> well i have been talking for some time over the last several months that the real story in the markets is not interest rates it's really currency volatility and i think we saw that in earnest just yesterday with the euro weakening and the dollar getting to new highs. it may be the biggest trade in some time but it's a trade that's been working which is long the dollar and short the euro. it's a little bit too much too fast. obviously part of the story behind the cheaper euro the ever cheaper euro is that that's been some of the good medicine that's been helping the euro zone that was so problematic for the markets back in the fall when euro zone economic inflation me tricks inflation metrics was starting to plummet. of course the other side of that coin is this dollar rally. too much too soon is not a good thing for appetite. certainly not here. >> of course the other asset class that investors were focused on was the bond market. what's the impact of negative yielding bonds? some traders yesterday were saying that it's resulted in some investors looking at the u.s. bond market given the yield of better than 2% on the u.s. ten year. do you think that's the case? >> absolutely. we've had qe in the u.s. and that's obviously flattened out but we have imported or derivative quantitative easing here in the united states thanks to what's happening in the euro and european bond market. so the bond market is one global marketplace as yields get extremely low in the euro zone that flows into yield suppression here in the united states and that's a part of the whole equity story here. that if rates can be managed and suppressed the way they are, and right now the ten year yield is on par with the dividend yield on the s&p 500, that helps set the stage for a sort of goldilocks to reemerge. >> how do we hedge this volatility? this raised level of volatility? how are you playing that hedge? >> mostly with iwm or russell options that are short dated. i like the russell because it's relative volatility levels are favorable for hedging right now. it has a lot of interest rate risk imbedded in it. if you think rates are likely to rise higher here in the united states and near term i like the russell but near dated options. i'm overall bullish here. my price target for the end of the year on the s&p 500 is 2350. i just don't think we'll get there any time in the near future but i'm looking closely as to how the fed on march 18th will address this ever strengtdenningstrengtd strengthening dollar in their negative. >> michael. thank you. we'll have another chat in a few minutes time. now jeff gunlock says now is not the time to short the dollar. the investor said in a web cast they're showing few signs they're ready for it. a strong dollar may not be a good thing for risk assets. he also says the u.s. economy is in better shape than most euro zone economies. >> yeah, interesting comments coming in there from the widely respected bond investor. what do you think is behind the sell off in yesterday's trade. is it the stronger dollar or is it the rate hike? fears that we have been getting your tweets over the last couple of hours. joseph says that wall street is getting nervous about the easy money ending. do you agree with that? you can join in on the conversation here on worldwide exchange. get in touch with us. e-mail at worldwide at cnbc.com. some traders say it's the stronger dollar but i would say to that why are we making up now to the negative impact of the stronger dollar? we have been seeing it climb. >> we have. it's making smart moves. i think it's much simpler than all of this. rate rise expectations were already baked in for june or september. that hasn't changed since friday. we haven't had a correction since january. we're six years into this rally. we expect marked corrections for the rest of this year. >> using a potential rate hike as a reason to sell stocks. >> absolutely. still to come investors cheer word that it could be nearing a deal with netflix. we'll tell you more after this short break. >>> welcome back. the market roller coaster continues. u.s. futures point higher after stocks wipe out all of gains of the year. yesterday the euro inches closer with a dollar at a fresh 12 year low and it's time for round two of the fed stress tests. find out which banks get the green light on capital plans. draghi speaking in the last hour defended the central bank from criticism that it had acted too late adding that the asset purchase plan prevented euro zone countries from greek contagion. >> market reactions as well as experience in other jurisdictions show that the asset purchase program can work. what is the evidence that easing of financial conditions is finally starting to effect the real economy? developments in this area are pointing in the right direction. the so-called surprise index that compares actual macroeconomic data with consensus estimates and market analysis shows on average the latest muse is positive. the slow down in growth has reversed. >> with the ecb's bond buying in focus the euro continues to slide. it's off another half percent today and in the last 14 days two weeks, the euro lid 6% against the dollar. it's very strong moves of course focussing in on the different monetary policy paths that both the u.s. and europe are on. let's get out to annetta following that speech. >> thank you, wilf. it was an interesting speak. because draghi was already declaring victory when it comes to the effectiveness of the qe program but to discuss that and also other implications and thank you for joining us. what's your major take away from the speech of mario draghi? >> he was declaring victory in a curious way. he said we have to do qe because inflation eck peckations five years out were falling down. so we had to do something and there is success, you see in growth this year. he has two different ways to measure success and the need for it and the second was the growth and the moderate pick up in ib inflation will continue only if we fully implemented our qe program. >> but he was also saying once again that reversing that traditional argument that qe was taking the insent tif away from governments. he was saying it gives more insentin incentive incentive. >> that story about taking away the incentive for reforms is something that one cannot really prove. more fiscal room might mean that government undertakes reforms that are costly or they might do nothing. who knows. that is an argument which is entirely political and that is an area out of which the ecb should really stay out. >> we're also discussing the benefits verses the potential risks of qe. in your view what is actually outweighing the other? >> most professional economists when they look at the numbers say the benefits are likely to be minor. mostly they're positive but minor and the risks are usually also exaggerated because the risk might be some inflation in the future. but again if you talk to professional economists they will tell you these risks can be contained. so qe is about financial market activity but probably little impact on the real economy. >> thank you very much for joining us and for your insight. so it's according to daniel a little bit like much to do about nothing to summarize. but at the same time dragi was also saying that he thinks that the size of the qe program here in the euro zone is actually compare blt to the one in the united states. with that back to you. >> annetta thank you so much. as we were saying the euro continues to weaken against the u.s. dollar. in fact they say the wrureuro will fall to parody. it's amazing. >> particularly the last couple of weeks. many people thought that the qe was already priced in since january. we saw sharp yields after that. but the last two weeks is highlighting it and the broader u.s. dollar as well and that's so important because quantity easing in europe is still unsure how it will go to the companies but the weaker euro is a massive boost. >> especially the autos being seen as big beneficiaries. financials got crushed in yesterday's trade and the banks will again be in focus today with the fed releasing results from the second part of its annual stress test this afternoon at 4:30 p.m. eastern. last week it said all 31 banks had enough capital to with stand a severe financial shock. today the fed will disclose whether it's approved banks capital proposals or plans to return cash to shareholders through buy backs and dividends. citi group failed the test last year on qualitative grounds. coming up we hear from one banking analyst that says now is the time to buy u.s. banking stocks. he joins us in the next hour to explain why. >> also still to come hilary clinton speaks out for the first time since her e-mail scandal. did her explanation do the trick or could this cloud her prospects? we'll discuss later in the show. >>> welcome back. they're up 5.3% after talks with netflix over a potential deal. they already signed a content deal and are now holding discussions with media set. the market taking the news well. they're underper post morteming down 3.9% after delivering full year profit guidance that fell shy of forecasts. speaking on squawk box europe earlier the company ceo discussed the current economic environment. >> the market will remain challenging without a doubt. there's a lot of volatility in the market and we will invest and continue to invest. so overall i would say 205015 will be a modest growth. we should not expect spectacular growth around the world. overall it will be another solid year. now adecco is in the green. that's up after 4th quarter profits beat expectations. let's get more on the story from carolyn. >> good morning to you wilf and the world's biggest staffing company is the outperformer. expecting both on the top and the bottom line. the organic growth number was 2%. that was a little slow down from the third quarter was that dynamic, that has changed going into 2015. here's what the co said this morning. >> we lost the bite there carolyn i'm afraid but thank you very much for that. so the market taking it well. >> the index up 15% to date in comparison with the s&p 500 which is trading flat. is this the time to get bullish on european stocks? michael is the chief global strategist. the divergance continues to widen. will this trend continue? what are your thoughts? >> no doubt europe out paced the u.s. this year. i think, though it's interesting, it reminds me a lot ant two years ago when the japanese embarked on a big balance sheet expansion by their central bank and the nikkei climbed quickly and corrected as people took profits on the trade and then went range-bound for quite a long period of time. about, a little bit more than a year and i wonder whether that play book is going to come out and play for european equities here. very solid performance thanks to the cheaper euro and cheaper crude oil and to a degree cheaper interest rates. we've seen improvements in the economic metrics in the euro zone. we'll see an acceleration in corporate profits that's consistent. the jury is still out on that and it's a much more complicated story. >> if stocks are getting ahead of themselves because we haven't seen monetary policy move through. thank you for joining us on worldwide exchange. >> a jury in los angeles ruled blurred lines the hit pop song by robin thicke and pharell williams sounds too much like an old marvin gaye song. they decided blurred lines crossed the copyright lines. it leans too heavily on the song got to give it up. they were ordered to pay $7.3 million. it was also revealed during the trial that thicke and williams earned nearly 17 million from the song in total. >> hey, hey, hey. >> got played too much though. >> coming up investors might be saying we're in a tech bubble but the slow down is telling us a very different story. we'll discuss that next. after the second worse day of the year for the dow, s&p 500 futures now indicating a higher open. more on today's market action and a response from yesterday's sell off coming up after this break. it's one of the most amazing things we build and it doesn't even fly. we build it in classrooms and exhibit halls, mentoring tomorrow's innovators. we build it raising roofs, preserving habitats and serving america's veterans. every day, thousands of boeing volunteers help make their communities the best they can be. building something better for all of us. opportunities aren't always obvious. sometimes they just drop in. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances. >> u.s. futures indicate a positive open after the s&p and the dow wipe out all of this year's gains. brent rising after a fall in u.s. crude inventories. >> euro hits a fresh 12 year low versus the dollar as the qe program kicks in. central bank president mario draghi says the reaction proves the asset purchase plan is working. >> asset purchases are unconventional but not unorthodox. they are in fact orthodox and they are in the tool box for a reason. >> banks on edge. the second round of stress tests are set to reveal which lenders made the grade. >> univision is set for what could be one of the biggest media deals in years. >> thank you for joining us here. keep in mind we did see a major sell off on wall street yesterday. a lot of concerns around a potential rate hike as well as a stronger dollar. both of those pack tos weighing on investor sentiment. the dow indicating a higher open in today's trade up about 64 points. nasdaq up about 13. despite the sell off in the u.s. overnight european markets holding ground. draghi talking about the positive impact on the economy as well as financial markets. we're looking at green pretty much across the screen here. the ftse 100 up up about 20 points. up about 1.3% for the german markets and the cac 40 with a gain of 76 points. european equities fairing well. the index already up about 15% so far this year. >> now the currency market a big story here. it measures against a basket of currencies right now up about three tenths of a percent and did strengthen yesterday as well up about 1%. so far over the past month we should show you that the dollar index is gaining about 4.5%. this has major implications on merging market currencies. >> it does. let's have a look at the currencies. some are suffering over the last few weeks. that is at a fresh 13 year low. we have the mexican peso touching fresh all time lows. the rate decision coming tomorrow. >> it bounced back today and yesterday it had a fresh 17 year low. why is that important? well the last time it was in and around these levels was the asian financial crisis and the stronger dollar raising fear toosz whether we're heading for a similar situation. things were very different from 1998. i'd like to highlight, december last year, when the rouble was selling off so sharply they started drawing conclusions to the asian crisis. will it prove to be short lived once again now? at the moment we're in the heart of the storm the broader dollar index is what is hurting them rather than specific country stories. >> it wasn't just currencies and stocks in focus yesterday. oil also getting hit hard on the back of that stronger dollar but today recovering just a bit brent crude trading flat. some say it's because of the data that came out overnight that could provide a boost to oil stocks and the price of oil in today's trade. u.s. crude stock piles fell by 400,000 barrels last week. it's the first time they recorded a draw down in no less than two months. >> king sal man says saudi arabia is still looking for more oil. he would confront anybody that would challenge the stability of his country amid on going tensions in the region. also creating jobs and diversethe economy. >> shares in h&m trading lower after sweden cancelled a defense deal with saudi arabia. swedish firms warned that it could effect not only defense companies but nonmilitary companies including the retailer. the deal broke down over a standoff between sweden's social democratic lead government and saudi arabia's over the nation's human rights record. >> now hilary clinton has spoken about the scandal surrounding her e-mail use. clinton denied she violated any rules insisting she used private e-mails as it would be easy to carry one device. the state department says it will post e-mails on the website after the review. the front runner for the 2016 democratic presidential domination was asked whether the incident would have bearing on her campaign. >> with respect to any sort of future issues look i trust the american people to make their decisions about political and public matters and i feel that i have taken unprecedented steps to provide these work related e-mails. they're going to be in the public domain and i think that americans will find that you know interesting and i look forward to having a discussion about that. >> but that wasn't all. she added a letter from republican senators to iran warning it against a nuclear deal was out of step with tradition. >> now let's talk ipos. box and shake shack report earnings this week for the first time since their market debut. according to renaissance capital, strong returns on recent ipos are essential to help future issuers come public but so far this year the u.s. ipo market has been lackluster to say the least. joining us to discuss more from cnbc headquaters kathleen smith. kathleen, a pleasure to have you on this morning. if there's any indication we're not in a tech bubble check out the ipo market. 26 ipos priced this year. that's down about 37% year over year. why haven't we seen that many deals in 2015? >> there's a few reasons. we're up against a wall of the very strong market in 2014. we have very hard comparisons but keep in mind as well that the energy complex which was a part of the ipo market in 2014 is really down now because of lower oil prices. so we're seeing yield vehicles and financial companies are less apparent in the market. so that is the reason. i would not count out the market at all. the returns are still constructed. the ipo index that tracks the ipo market is outperforming so far this year. the overall markets it's positive by 4% and right now we're seeing the averages have barely just broken down. so it's still a con struck tiffstructive market and we have a little bit of an air pocket because many companies wait for their calendar year audits to finish up and they'll come out. we expect to see companies coming and the market is still constructive despite volatility behind us we're optimistic this should be a good ipo market. >> in the discussions i've had with you in the past market volatility is never good for the ipo market but the volatility has been on the rise this year. especially as markets expect the fed to raise rates sometime in the summer or fall of 2015. what does that mean for the ipo market if we continue to see a rise in volatility? >> seema, you're right that volatility is not the friend of the ipo market however as we have seen with this stock market that has climbed the wall of worry it comes about and investors get confidence that they need to own equities because they're where we can get growth companies in a slow growth economy. >> of course we have shake shack reporting results coming up. how important is it that they get a good set of first results given valuations and stock price moves. >> well for all ipos they're compared with other already trading companies and in the case of shake shack for example the fast casual fresh restaurants have been very popular among ipo investors and shake shack i think is a wall street favorite because it's given a premium because it's used so much by new york traders. anyway it's important that the company show this growth that it has a very high multiple. it has to show that growth. there's other companies in the pipeline wanting to come out. five guys. other similar companies t

seema and wilfred? seema might have you on this one. >> thank you landon. >> i'm done. >> always taking longer. you get like 90 seconds. it's ridiculous. >> he never plays by the rules. >> you picked up an a sore point because as of a couple of weeks time. >> i've only got 90 seconds but let's talk yahoo!. they're announcing a plan to buy back $2 billion in stock over the last three years with the proceeds from the alibaba ipo. the move comes as yahoo! spins off it's stake into separate company later this year. yahoo! owns 384 million alibaba shares worth about $32 billion. it's part of the effort to unlock value from the asian assets and return cash to shareholders. this latest move could strengthen defense against the activist starboard value which took a position last year. she argued it diminished the company's value by overspending on acquisitions. they urged them to cut costs and spin off it's stake in yahoo! japan and buy back $4 billion in stock. today is the deadline for shareholders to submit nominees to the board making it the last day a proxy fight could be launched. starboard has the loudest voice in the two years since she became ceo and yahoo! struggled to reshape it's business in an age of mobile devices and social media. yahoo! has about $8 billion in cash and short-term securities. it would reduce the amount she could spend on big acquisitions. last year they spent $800 million to buy two companies, brightroll and flurry. shares are up about 2%. guys over to you. >> i actually made that 93 seconds. you were a little bit over but a wonderful hit as ever. >> that's the pot calling the kettle black. >> thank you very much as ever. >> let's stick with tech. amazon is reportedly in talks to buy luxury online retailer net-a-porter in the company's largest acquisition. a deal would value the site at $2.1 billion. it's owned they were looking at an indian firm taking a look at shares of amazon up about .6% in frankfurt. i would point out this is not the first time we have seen amazon look at the fashion space. it acquires my habit in 2011 and 2014 there were reports that amazon was in talks to buy this indian fashion retailer for $1.2 billion and clearly perhaps it has its eyes on net-a-porter and high end fashion and targets are young professionals. >> it's not an obvious fit for me because they rest on the individual delivery which of course amazon being so mass market doesn't really do but we'll see if it develops. >> it wants to penetrate that space. it sees it as value add and an interesting deal. we were just talking about drones and amazon and now amazon and fashion. it's becoming such a diverse company. >> indeed but not returning to shareholders like yahoo!. google will pay its new ceo more than $70 million over the next two years. the company hired her away from morgan stanley earlier this week. her conversation package includes $25 million in restricted stock, biennial grant of 40 million and a $5 million cash signing bonus. pretty sweet. in may they'll get a basal ri of $650,000. she earned a base salary of 1 million at morgan stanley. >> apple ceo tim cook is joining the list of the very rich that plan to give away all of their money. cook plans to donate his estimated $785 million fortune to charity after he pays for his 10-year-old nephew's college education. cook says he started quitely giving money to unspecified causes and is trying to develop a more systematic approach to fill lanphilanthropy that goes beyond writing a check. >> we had seemingly dovish comments out of the bank of england but the next move in rates is likely up. it's inched sterling up as you can see but not too much in the last 20 minutes. it's still flat on the day. 1.4839. now as we head to break let's remind you of what the headlines are. oil back in the red shrugging off fighting in yemen. marissa mayer tries to appease shareholders with a $2 billion buy back and mystery crowds the germanwings crash. we'll be back in a couple of minutes. >>> welcome back. french prosecutors are desperately looking for a motive after revealing thursday they believe the co-pilot of the germanwing plane which crashed in the alps deliberately brought the plane down. officials say the pilot was alone in the cockpit when the plane crashed. let's get more to the story with annetta live at headquaters. over to you. >> also in germany investigators have been searching the home and also at his parents side and they're reporting that they have found evidence for a psychological disorder while searching the home. he is also reporting he has been suffering seriously from a recent crisis in a relationship with his girlfriend and that the german aircraft authority has marked his record with sick which means he had to undergo more medical checks than others because he was diagnosed in 2009 having had a severe depression. you see looking at all of these speculations because it's not officially confirmed that might come back on them. the discussion is just starting here in germany where they have really done everything they could to check whether this pilot is up for flying and fit for flying or whether they have not done what they should have done. with that back to you. >> thank you for that developing story we'll continue to keep our eye on. in the meantime let's take a look at u.s. futures. wild swings in the market. a lot of that having to do with a sell off in bio tech. the weakening in the dollar. dow jones down about 35 points. s&p 500 down about 4 in premarket trade. >> let's look at european markets as well. we had a weak couple of days here in europe but we bounced back this morning and europe was going to try and end roughly flat for the week but we're definitely going to end down now because in the last half an hour or so markets have turned downward as you can see and france has put me off on saying that but we're basically red across the board. it hasn't been a great week for equities here in europe. let's also look at oil price because it hasn't been a good week for the oil price. particularly the last couple of days but because of the positive move we're correcting again today. wti 50.2. down 2.4%. brent 58.1. down 1.8%. that's following a move upwards yesterday. >> the price of oil back on the slide after those sharp gains following the launch of air strikes in yemen by a saudi-lead coalition. the military assault would have only a negligible impact on supply. yemen is a small crude exporter but sits on the bab el-mandeb straight. it struck an air force base five kilometers from the oil field. hadley joins us on set. what does this move tell you? the air strike against the forces tell you about saudi arabia's foreign policy? it's one of the first foreign policy decisions made. >> it does indeed say something about how overt they're going to be in terms of using their military and this is not something we have seen from them in the past and of course the defense minister a young man, he's speaking to a senior member of the audi royal family here in london yesterday and telling me we have a lot of confidence in him. he's young but give him time. i think what's happened in the last couple of days they're closed today but what we saw on thursday is a serious confidence that it wasn't going to be a big problem. >> it's backed by such big powers in the region does this move on or the oil price corrected pretty quickly. >> it's interesting to see what the saudis have done in the last 24 hours. they made sure they secure the straight. that's a big cause for concern for them because most of their supplies go eastern but they do have a surprising amount that goes throughout the west coast of the country. it's quite important for them to keep that from closing and being a problem but at the same point what's happening in terms of what we have seen between iran and saudi arabia is fascinating to watch because of the momentum at which it's moving. >> we're looking at oil prices down about 2% in today's trade. thank you so much. that does it for us on worldwide exchange. be sure to watch squawk alley today as the blackberry ceo will be on the show at 11:00 a.m. eastern to discuss the latest earnings. >> i'll be off for the next couple of weeks. have a lovely weekend. thank you for watching. i'm wilfred frost. >> i'm seemais next. have a great deal. have a great day. >>> good morning. wrapping up a wild week on wall street the tow flipping four days in a row. crude prices bouncing around on the unrest in the middle east and more is on the way. and mass murder in the alp. the investigation centering around the co-pilot as officials try to find out why he would deliberately crash the plane. and four more teams survive and advance to the elite 8 in another exciting night of ncaa action. there's more coming this evening. squawk box begins right now. >> live from new york where business never sleeps this is squawk box. >> good morning and welcome to squawk box on cnbc. andrew is off today. our guest is the chief investment strategist. after several wild days of trading and a four day losing streak for the dow there will be more fed speak today. janet yellen will be giving a speech before the closing bell. get a check on the futures this morning and while the futures have not been a clear indication of where

seema moody is there. seema? >> hey, i'm delighted to say we're joined by the ceo of ee olaf swantee. thank you very much for joining us on cnbc. we've seen major consolidation in the tel come space. when do you see the deal being approved by regulators? >> it's likely it will be approved by the end of the year. so this year will bsh but we expect to be with the beginning of next year. >> still at lot of questions about what the deal will lead to. you're a customer of ee. you heard that bt is buying ee. how will they change their user experience? >> it's still early days. i can't tell you what new products will be coming out. we share a real vision about innovation. my expectations is and the expectations of the market should be we will have the best mobile products in the u.k. we'll have great deals and more importantly, we'll have more products to offer to the same customer whether it is in business or in consumer. >> talk to us about the rollout of 4 g. you've been spending a lot of money to provide and the support and the infrastructure to roll out 4g. will that weigh on profitability going forward? >> well, today we have been able to increase our profitability to 18% to 25% until the end of 2014 and invested 4.5 billion in 4 g networks. we have over 85% coverage and we'll just continue to roll out because there's any credible -- in the u.k. for mobile -- for smartphones for tablets, and for watching video and tv on the go. and that is driving the incredible demand. so we just launched yesterday the 400 network trial with 4 g. that's just the start. we'll continue to invest and make sure in the u.k. we always have the best 4 g network. >> as you have 4 g there's talk about 5 g. when will i as a customer be able to experience that? >> i think 5 g will be quite far away. 4 g, for the first time is a global technology that delivers on the promise of the mobile internet unlike 3 g. so 5 g is maybe 2020 and it really is going to be, you know a technology that builds up 4 g. in providing the mobile internet everywhere in even higher speeds. so as ee we're working together with other players and universities to define standards and the products and technologies. it's a long way. i think with 4 g we'll still have the incredible exciting road map ahead of us. >> do you think -- talk to us about regulation. net neutrality a big discussion in the u.s. tom wheeler surprising many about what took place with the fcc announcement. do you believe more regulation is needed in the telecom space? >> i think first of all, we believe that everyone should have access to the internet. the second thing we really believe is that operators like ourselves. we should be able to differentiate the network. already you have in the u.k. nearly 50% of all new customers are opting for double speed 4 g. we want to maintain the differentiation. in the u.k. specifically we have already adopt what we call a self-regulator regime. we're working with the others and with the others in the industry where we have a self-regulator regime around the topic. we don't need more regulation in this area. >> you're talking about a networking sharing relationship between -- >> no. it's basically making sure that we have rules with each other around providing an internet to everyone in the u.k. >> okay. okay. of course that's something i had to ask given it's a big topic. going back to what is happening in the telcom industry. we've seen so many deals and massive consolidation. the fear is that you will have market dominance by two or three players and that will change the pricing power. should we be concerned as a customer that will take place? >> well, when we were allowed to merge orange and t-mobile in the u.k., we unleashed an investment program and we moved the u.k. from being a lagger in mobile networks to a leader. we now have 8.5 billion customers. consolidation can unleash innovation and investments. that's that's what we've done in the u.k. 5 g requires a tremendous amount of investment. if we want to stay ahead in europe if we want to stay ahead with the networks we need to have that money available. i think consolidation can help in that regard. now it is about the u.k. i'm confident that customers of btne will have great deals. >> olaf swantee, ceo of ee. thank you. back to you. >> seema, thank you very much. stay with me for a second of course, because i suppose the biggest story of all at the mobile world congress so far has been samsung announcing the latest generation flagship smartphone which was the new s 6. it will come in two versions. the standard version and a higher model with a 5.1 curved inch screen. have you had your hands on it? does the curve screen allow it to stand out against other android phones? i'm glad you asked that question! i have it right here for you. here is the s6 edge samsung phone. the most visible feature being the curved screen. i'm not sure if you can see it now. as you can see, it has the curved screen which many people are excited about. you can also -- if you see here you can drag your finger and pop up the top five contacts. it's a great way to basically get the top five you talk to easy access and call them right away. in general it's glass on the front and back. it's a 5.1 inch screen. you have a front and rear camera. 16 megap

that's all we have time for today seema here on worldwide exchange. >> i'm seema mody.box is next. thanks so much for joining us. >>> good morning. stressed out. the nation's biggest banks pass the fed's latest test but not with flying colors. we'll outline the findings and talk implications for the industry and investors. plus a possible sale of the maker of the black hawk helicopter. united technologies may spin off the aircraft. the company's ceo will join us in a first on cnbc interview on investors day. and indigestion for shake shack. investors this morning, the burger chain with a near cut following misses the mark in the first report. will sorkin be right about the valuation here? it's thursday march 12th 2015 and squawk box begins right now. >> live from new york where business never sleeps, this is squawk box. >> good morning, everybody, welcome to squawk box here on cnbc. i'm becky quick along with joe and andrew. welcome back. >> thank you. >> good to have you. >> missed you guys. >> we did too. >> i don't believe that part. >> we did. i'm glad to see you, t

seema. we have got lots more to come live from seema on the ground but we've also got lots more on cnbc.com. our tech transformer special at the mobile world congress. lots of information including aishaa look at the sony tablet. well worth a look. >> people still writing in and telling us what type of technology they would like in their cars. you can also find us on e-mail if you're not on twitter. the e-mail is worldwide@cnbc.com. you're @wilfred frost. john writes in and says i want my next car to have an in dash expresso machine. >> that's asking for trouble. >> we need much more innovative things. we don't want to bolt something on from the kitchen. >> but often times it's the basic stuff we want. you want the charger. you want the drink. we've got to go. >> we've got to go but we'll continue this debate. we're both at the auto show and mobile congress. >> still to come on the program, have investors adjusted to a world of low returns. this might just be the case. we have more details in a moment. heroes charge! ♪ (explosion) ♪ (explosion) ♪ (explosion) ♪ lead your heroes in the hit mobile game! download heroes charge now! >> they have cleared the provision of aid and funding support until 2020 to greece. the main headline is no upper limit on greek lending from the ebrd at all. it depends on the specific projects. this is a positive development for greece. we were awaiting this decision. of course it's not make or break in terms of the overall lending but it is a positive development. you can see the greek ten year yield 9.7%. just below the 10% mark so continues to be at elevated levels of course but slightly better before the four month extension about ten days ago. >> yeah. now moving into the fx markets from that, the australian dollar jumped against the u.s. dollar after the reserve bank of australia took some by surprise by announcing it would leave rates on hold. the central bank said there might be room for further easing in the coming period. good morning. what do we make of the aussies? we thought they would make a move and they didn't. >> there was some chance they would hike rates and forecasts were for a rate cut although there were risks around the particular view that kept rates on hold. that doesn't mean this is the end of a short rba easing cycle. they'll cut rates again in may after assessing a string of data from the labor market. so overall our views remain clear. we're still bearish. >> how much of a move is there to the down side? should we continue to sell the aussie? >> our year end forecast are at 473. we made recent revisions to our 2016 forecast to 268. we're seeing a continued decline in the australian dollar based on the gross national income recession that we're seeing. trade impact and rate differentials. >> it's moved a long way since 2013 already. >> it has. but if you look at traditional valuation measures it was seen as an overvalued currency and you had a significant structural shift highlighted in the terms of trade position and while we have seen a big move in the aussie dollar they're concerned about the broader move. >> let's move on and talk about the euro. i'm interested in your notes that you say this meeting is a nonevent. aren't there still a lot of details on what's going to take place that could move the euro? >> i think it's enough to believe it's a medium term seller. we think 110 by the end of the year but the impact has bought the currency a little bit of time. we've seen the traditional post quantitative easing announcement effect where we have seen foreign investment interest to buy european equities and surprise on the upside as well and the market has been very short euro. we don't think the mechanics will alter the markets on the euro. obviously policy between the fed and ecb means lower euro. >> i read into the last move as being they were back to looking at a dollar story now and especially as we have the feds meeting on the 18th of this month. does that mean we anticipate a rate hike is around the corner and we should be long dollar? >> we expect the fed to move in september. the current rhetoric coming out is one of data depen den sense. we see a slight shift now. the u.s. economy is a strong economy. that will be highlighted in another strong job's report but the key is the extent of inflation expectations in particular and actual inflation numbers continue at a relatively robust level. we saw core inflation numbers lead to the dollar to rally. >> you're bearish on the u.k. why is that? >> we think having general election the uncertainty is never good for a currency. we think the pound will come under pressure in line with our forecast. we think it will end up at 149. we think that volatility will start to rise further into the elections. >> thank you for joining us. much appreciated. g-10 strategist at bank of america meryl lynch. now expectations of 10% returns from hedge funds are a thing of the past. that's according to a survey carried out. it also found that asset growth continues to be concentrated in larger funds and it's more difficult to select outperforming managers. they spoke to investors representing assets. we're joined by the european head of prime finance. thank you for joining us. >> good morning to you. >> allocation to hedge funds you found have risen among many investors recently. particularly the all important pension fund sector. >> if you look at them as a whole they make up 2-thirds of a $3 trillion industry this year and we saw the flows coming in last year. that's a record net in flow since the time of the crisis. so they're an important investor group and 90% of investors said they were looking to maintain or grow the hedge fund allocation in 2015. that's really important. >> how much of the strategy is more about the increase in volatility. >> that's a good question. that's exactly what institutional investors are focussing on. that's not a surprise to hedge fund managers. they have understood that for awhile now. they are looking for them to produce returns. they can get them elsewhere at a much cheaper price. we have seen it go for 4% allocation to around 7% now as well. so increasing the amount they're giving to these guys. >> you said the price there of a hedge fund but point to the fact that only 7% of hedge funds outperformed last year. can they justify their fee still? >> there's a few things that go into outperformance. one is what the is the target set for hedge funds last year and the targets they chose at the end of 2013 we hoped 2014 would be easier than it turned out to be. part of the misalignment was more about where expectations were. but 60% of pension funds said their targets were met and that's about what they're looking for is uncorrelated returns and consistent returns over a long period. >> the current number of hedge funds is close to all time highs. does that mean we'll anticipate a lot of the ones with not heavyweight managers to go under in the near term future? >> we estimated that the top 200 are running 2-thirds of the assets. so $2 trillion out of the $3 trillion. they're the winners in terms of assets since the crisis. they have gone up like 140% for the funds over $5 billion. it's less about the funds that aren't realizing assets at the moment. it's more that the focus is about building partnership and alignment interest. we've seen an increase in the nontraditional products. >> thank you for joining us. much appreciated. european head of prime finance. >> coming up we continue to bring you coverage from the geneva motor show. we have a first on interview with the ceo of audi coming up after the break. we'll see you then. >> welcome to the second hour of worldwide exchange. lye from london and the mobile congress here. >> i'm wilfred frost here in london. here's your headlines from around the world. >> the nasdaq closes above 5,000. the tech heavy intex just 1% away from an all time record but today futures indicating a lower open. blackberry in focus announcing a new mid range phone as it tries to woo young professionals. the firm software business is still key. >> subscription based of our best 12 for enterprise is important. that's going to be the mainstream for the calendar 2015. >> barclay shares slump after they set aside more money to cover potential litigation costs. the ceo says it could reach a deal this year with new york relationship gators regulators over rigging. >> they clash over nuclear ambitions ahead of netanyahu's criticized speech today to congress. >> you're watching worldwide exchange. bringing you business news from around the globe. >> and welcome everyone to the show. we are here at mobile world congress. speaking to different leaders about the roll out and launches of different smartphone devices we're looking at the tech heavy index. closing for the first time in 15 years. pleasure to have you on our show today. let's talk about what nasdaq 5,000 means. some people say when you look at a stock like apple it's up 20% this year. amazon up over 24%. does that tell us -- we're starting to see valuations a little overstretched but you look at price to earnings ratio and that's telling us a different story. >> overstretched compared to what? . this is an entirely different nasdaq than 15 years ago. it's not anchored in the promise of the internet. it's anchored in the reality and mobile and cloud expansion. so i think could you make the argument that we're due for some sort of a correction in tech? certainly in mybio tech? of course you could. >> especially when you have a company like apple reporting record profits. facebook makes 2-thirds of their advertising revenue. success stories also boosting sentiment when looking at tech and earnings as well. >> absolutely. mobile is all the range here and look back 15 years. europe owned mobile. they were really the names to beat. people had huge doubts that the u.s. or certainly silicon valley would make a dent in mobile. maybe they were just the rulers and that the spoils of mobile would go elsewhere. now you have a situation where these names at the top of the nasdaq are trying to expand even further into the globe and bring the internet to areas that haven't had anything before. not only haven't they had pc based internet but even voice service. the potential is enormous. >> it's a competitive landscape. they're trying to maintain or gain market share in the smartphone space. a couple of years ago used to be blackberry but then came the iphone. that changed the dynamic when looking at the smartphone space: they have been trying to turn around the company. you got to see it. was it a game changer? >> no. i don't think it's supposed to be a game changer for them. the hardware, the phones are a side dish. >> then why even focus on it? why not devote themselves to software? >> they need the phone. not only for revenue because that is their revenue base they still have services based revenue that flows in from the phone. while they try to build up their software business they still need that. i should mention business in europe in particular seems to be -- >> i found that interesting. he said it was good. >> he did. take a listen. >> subscription base of our best 12 for enterprise will be important. >> q and x, want to talk about that of course. that's got a lot of potential, particularly in cars. how is that business shaping up? how many of those have to do with that business? >> a lot. a lot of people are talking about iot. it's where a lot of the money is going to be in the car business but we have branched out to medical, the iomt of the world. so a lot of conversation going on. in fact i'm going to see a bunch of partners about that today and tomorrow. a lot of conversation which is good. not going to be that much of a factor in our -- you know the next 12 months but beyond that. >> how are you feeling about europe? it's been a key market for blackberry in the past. it's been having some rough times economically but on the upswing, a lot of folks are saying things have bottomed out. are you seeing that in your business? >> yes we he see that in our business. we see a lot of investment from vodafone driven by their clients and customers. telefonica building more and more infrastructure and spending money. in that sense we feel good about the economy. this is kind of our strong hold. one of our strong holds and europe is important to us. >> he also announced the cloud. this is a web based interface you can use to get into the server. good for small and medium business. that will be key to getting the goal of half a billion dollars in software sales this year. so when you consider that and you consider the fact that this phone is $275 a mid range phone when you have apple and samsung at the high end. micromax and others at the low end. there's risk here but blackberry is able to mitigate it. >> still have some of the enterprise market as well. >> they do but they need to steal about 7.5 million mobile device management customers. that's a tough road. >> i feel like even in indonesia they still play a dominant role in some of the secondary emerging markets. >> they do. that's an important position for them. that's where the low end gets challenging because you have this coming in. are they going to keep their blackberries? will they be able to make the premium market there? you're hoping so. >> back over to you. >> thank you very much seemamazing how big this show has grown over the course of the last couple of years. just looking at what u.s. markets are imlying later on. implied open of a couple of points lower after the nasdaq broke the 5,000 level in yesterday's trade but you know what some might say today? they might say forget nasdaq going through 5,000 for the third time. how about india's index going through 9,000 for the first time ever. in fact the indian index is up 45% over the last 12 months. the strongest performing market. >> exactly. a good boost over the weekend. >> exactly. >> back to the european markets for the time being. you're behind us on this lovely wall. slightly mixed right now. more green than red out there. a few more cucumbers than tomatoes. up a bit. the cac 40 higher around a quarter of a persen tajh point. so light buying taking place in this morning's trade. >> it's a strong february and we're edging up again since the start of the month. yesterday is a weekday and we're offsetting that

seema mody had a chance to talk with him. hey, seema? >> hey, sara. if you follow modi's moves closely, you'll find it's his right-hand man who is tasked with transforming into the business trustworthy nation that mow mody has been addressed. he discussed whether it's too high. >> it's better than you and me and therefore investors when they assess the steps which have been taken, there are more realistic missions of the market. >> but some investors are concerned india's markets have run up. they say at one point valuation will be a concern especially if they don't show signs of improvement but the bulls continue to show signs of positive. i was told the cost savings associated with lower oil prices has been used to fund infrastructure projects. if prices continue to fall that will give the government additional capital to allocate toward rye building the country. just today they got the endorsement from christina lagarde that it's the bright spot. >> thank you very much. mass protests in the streets against the leader. michelle cabrera russo. >> billions of dollars have gone up in smoke and they're calling for the itch peachment of the president. massive, massive scandal. more details on that after the break. ahhh- ahhhhhh. liberate your spine... ahhh-ahhhhhh......aflac! and reach, toes blossoming... not that great at yoga. yeah, but when i slipped a disk he paid my claim before i knew it. ahh! so he had your back? yep. in just one day, we approve and pay. one day pay, only from aflac. [duck snoring] e financial noise financial noise financial noise financial noise these days, the most important person in your business could be a software developer. so, how's the app coming? we've got to make something great. how's the app coming? we've got to do it fast. let's do this on bluemix. you can build apps with analytics, big data, even ibm watson. that could give us the edge. let's do this on bluemix. it can provide code for you. we could be first to market. because being best is priority one. being first is priority one. there's a new way to work and it's made with ibm. >>> welcome back to "power lunch." railroad operator union pacific the shares are on the rise. that's after the analysts of a quarry updated the shares from a neutral site evaluation given their underperformance. they did lower their price to $132 a share. it was $134. there you can see other rails in trade today. back to you. >> is there a crack in the brick? >> many are calling for her impeachment impeachment. michelle caruso-cabrera with more. >> there was nearly a million people who tripped through the streets calling for tim peachment of the president. she is facing a wave of discontent over the stalling economy and the massive scandal involving the state controlled company. a draft investigation has led to racketeering and others. to give you a sense of just how much money may have been stolen one third tier when arrested immediately offed to give back $100 million which he had stolen. it's now unclear what the true value of petrobras's values are regardless of what easton theon the books. they could pour billions or face some kind of restructuring as well. moving on to another oil dependent company which is a mess this one in venezuela. venn someday ya's venezuela's parliament. in case of a u.s. invasion that he's worried about. addressing his supporters he spoke in english directly to president obama demanding that president obama repeal the executive order when he imposed sanctions on venezuela. >> repeal. obama, repeal. >> something tells me that president obama isn't it going to do it that. >> and he's doing it. >> he says where are all the guys when the murder is happening. they're so lawless in the country at this moment. >> i have a feeling united states has more important things to worry about than venezuela. >> maria, thank you very much. sara. >> gold is rebounding off a near three-month low. a nice lift from the weaker dollar. >> yeah. the dollar pulled back to easing helping to lift metals. gold could see a bit more of support in the months ahead with good news coming out of india. if you see india lift its tariff on gold, that could lift it there. they also have an industrial component and today it is the best performer and in fact one of the few metals features contracts that for the year is now fractionally positive. tyler? >> thanks a lot, bertha. let's find out where things stand with rick santelli at the cnbc. hi tyler. >> hi rick. you never know what they're lining up with the end of zero interest rate policy. in the old days fed weeks were bullish for stocks and trudgeries. take a look at interstate ten down 4 basis points. look at the year-to-date chart. let that simmer a minute and go to the long maturities the. well when rates move up it's no surprise this one is moving down in price. why? there's a mass exodus. higher rates, no one really wants them except the feds because they need to normalize for the next business cycle. the ideal scenario you want the stock market to be going up because the economy rates are up and they're in harmony. the other is the last fed chart. when the euro is late and the dollar is down you know what happens. triple digit ups in the equity mark. sara back to you. >>'s exactly what we're seeing today. rick santelli the dow up. and oil continuing to be it for the investors. so which stocks and eetfs getting the most? >> we're going to look at march. that's coming up up next right here on "power lunch." keep it right here. the e-class has 11 intelligent driver-assist systems. it recognizes pedestrians and alerts you. warns you about incoming cross-traffic. cameras and radar detect dangers you don't. and it can even stop by itself. so in this crash test, one thing's missing: a crash. the 2015 e-class. see your authorized dealer for exceptional offers through mercedes-benz financial services. >>> hello, everyone. i'm sue herera and here is your cnbc news update for this hour. jurors in the boston marathon bombing trial saw the riddled boat where dzhokhar tsarnaev was captured by police. they walked around outside the boat and inside where they could see the bloodstained notes tsarnaev wrote. >>> one blew up when they were tasked with fighting isis militants. general motors has received 4,300 claims for compensation related to its ignition switches. that's according to kenneth feinberg who is overseeing that. they say 102 are eligible for payment so far. >>> a massive help effort on its way to vanuatu. back to you, sara. >> thankings for the update sue. we return to the market. the dow's up 180. 1% gain for the s&p as well. the nasdaq lagging behind but still up .85%. let's get more on the trading action. bob pisani down on the floor. bob, what stands out? >> what's important is what's going on. strong euro and weaker dollar. that's not happened in a long time. that's not helped only the united states but helping europe. just off the highs. look at the s&p 500. essentially we started strong and have stayed strong. we're just at the highs for the day. we saw oil at new lows but i would note that's of course generally good news for refiners. you might be surprised. more surprising is to see some of the big exploration and production names. this was a big surprise today. eog was positive virtually all days and even the big guys. they have also now moved into positive territory. that's very encouraging for the overall markets. not surprising we've got oil bound. your airline stocks are up. that wasn't that surprising here. you've got jetblue and delta and american airlines on the upside but the rest of the airports are doing well. fedex also on the upside. it doesn't help when you have a big story that china has been dumping steel stocks. it's been a horrible year. that's not a typo. olympic steel down and also schnitzer and cmc. >>> finally, it's st. patrick's day tomorrow. we asked about the beer distributors. anheuser bush is up 1.1% up. it's been up every st. patrick's day since 2010. it was back in 2008 2009. good day for them. good week for but f budweiser. back to you, sara. >> that was a good tidbit. two traders on the rally today. we've also got gordon. here's the theory i have. currencies matter a lot more than commodities, mainly oil for the stock market right now. true or false? >> today true. the fact of the matter is oil is at a multi-year low. >> faw months ago that would have been cause for a selloff in stocks. >> and it might resurrect itself at the end of the corner when you see how it's played out. at this point now it's all about the dollar and i guess the one sidebar is everyone is taking it easy until we hear from the fed. >> is that what it is? >> i think that's much more the story. also the dollar backs off off a little bit. it's a convenient conversation out. i think they've been looking to stabilize in here. >> coming off three down weeks. >> but the energy names are up just kind of tells you overall people are not that concerned there's going to be this complete collapse in oil at all and that they're looking for bargains. >> this is a big fed weekend not just because we're expecting a change but also because we're going to take q and a. how is the market for it? >> i think the market is ready for it. i think the fact that people are so hyperfocused on it borders on almost stupidity, number one. but number two, take it out and let it go. the fact that they create this angst by leaving it open is what gives the market all the anxiety. just do it. >> they're trying to be transparent. they're trying to signal that a change is on the way. >> i hear you, but they never, ever pull the trigger. >> there's two sides to that. even if they do something and they think it's precipitous and they decide to reverse course there's nothing that prevents them -- >> right. they're going to be patient. >> right. really the dollar to me is really the fulcrum of risk globally at this point and it seems to me when it gets weak people are more inclined -- i want to put a caveat here. we're seeing low rates and futilities. is that a worrisome signal? >> no i'm not worried at all. the feds are going to keat rates low whether they leave it or or leave it in. it doesn't go anywhere. >> it doesn't tell you that the economy has all been misses. >> has been weak. >> yes. >> it shouldn't surprise you at all to see utility stocks doing better. >> i think the more important thing is bobas bob pisani says he hopes -- >> how about that anheuser busch goes out every time. >> every bit of the time. >> tyler, that debunks your whole theory. at least we know that bud turns out to be after the holiday. >> budweiser is a good bet any day, folks. >>> all right, stocks rallying today but despite moves for oil stocks, oil does continue to be a trouble spot for the market. crude prices hitting a six-year low right now as you see there with west texas at $43.32 a barrel. donovan chu with what dominic chu with more. >> he's absolutely right about the comments about oil. here's the thing. we've seen this bounce or attempt to bounce twice before. investors out there, you may remember, the middle of december we saw that bombing out and it bounced back. a month later it bounces back. the question is whether or not there's a head faik. you see it a little bit bouncier only to sell off again. if you look at the s&p 500, this is just month to date, mind you. we've seen that pullback in the s&p overall and more specifically with the energy sector which is down about 5%. far outpicking the declines in the market. it's the worst performing sector in the s&p 500. if we look ahead at some of the etfs that are tracking with the energy market you can see here the month of march again. xle is down 5%. the exploration of production companies overall tracked by the sop. that's the ticker that tracks those companies there, down by 7.5%. and there are pockets of industry taking it worse than err other others. those might be places. now, among those major stocks right, exxonmobil. you see it down 5%. you can see a bit of a pop here today. also looking at some of the other stocks that may be catching a little bit of a buy here on this dip. occidental petroleum, it's down marginally here today. then the single worst performing stock is noble corps up 1%. you see it getting a bit of a dip. still down 18% almost in the month of march alone. if you watch what's happening with oil prices these are some of the stocks investors may be focusing in on. remember, oil prices may slide further. nobody's got a crystal ball here but go to cnbc.com. we've got five reasons why oil prices may continue to slide and why those reasons might drive oil stocks in the coming days and months as well. back over to you. >> thank you very much. shares of sotheby's getting a bump but he's not from the art world and that raises more concerns. he comes from msg, madison square garden? >> it's kind of the rangers meades roth co. the art worth may take a little convincing. it's tad smith which owns the garden, the rangers, knicks and others. he was named ceo of sotheby's. this is months after a search. now smith has no experience in the art world or the auction business. he was head of local media for cable vigs before msg and before that at read elsa veer. now they tell me they're a little surprised a media and sports guy was put in charge of the world's most storied auction world. the beauty, though, is in the eye of the shareholder here. in the year at msg, their stock was up by more and that a third and sotheby's cold hold it. even though we're in one of the biggest art boons in hichtd, the profits and margins have been shrinking and it canceled that special dividend last month. smith acknowledged he's new to the art world and said he's a quick study adopting new technology, and creating a sustainable organization. he said that at his core he's a brand guy and the market for collectibles is quickly evolving and i think our core strengths are unrivaled. give us an excellent foundation. very surprising that sotheby's at the center of the art world, not an art guy. >> his first move if i were him to auction the entire knicks roster what's carmelo worth? >> sara down to you. >> we're watching stocks rallying ahead of the big fed meeting this week and the question is will the fed stop being patient or at least using the word when it comes to low interest rates. how will you trade it? >>> plus an eagle claiming the world record for highest flight and it's all captured on camera. you've got to see this unbelievable video. we'll show it to you next. sal khan: khan academy is a not-for-profit, with a mission of providing a free world-class education for anyone anywhere. if you look at a khan academy video, they can cover everything from basic arithmetic to calculus, trigonometry, finance. you can really just get what you need at your own pace. and so, bank of america came and reached out to us and said 'we are really interested in making sure that everyone really understands personal finance.' and we're like 'well, we're already doing that.' and so it was kind of a perfect match. ♪ [epic music] ♪ introducing aleve pm... the pm pain reliever. that dares to work all the way until... [birds chirping] the am. new aleve pm. it's the first to combine a safe sleep aid plus the 12 hour strength of aleve. for pain relief that can last all the way until morning. new aleve pm, for a better am. [ male announcer ] your love for trading never stops. so open an account with schwab. and when a market move affects, say a cloud computing stock you're holding, we can help you decide what to do. with tools that help you see how market activity is affecting your positions. so when the time comes to decide whether to scale in or scale out... you can make your move wherever you are. and start working on your next big idea. ♪ ♪ >>> welcome back to "power lunch." that's on the heels of the report that they're exploring a possible sale or ipo of some of its beauty products portfolio which include herbal essence and cover gill makeup line. last year remember it was selling off its duracell battery business and also petsmart. >> you've got to check it out. an eagle setting the world's highest flight and capturing video at the same time. this was part of the effort to spread the word on eagle conservation from the group freedom conservation. they equipped the eagle to fly from the top of the tallest tower in dubai. flew down. it wasn't the eagle's first attempt to land from urban structures. he's flown from historical buildings in europe and flown st. paul's cathedral in london. here he is in dubai soaring over in what is a world record. and we understand, tyler, that he made a safe landing. >> yeah. we just saw him land. >> on his arm. you saw that. >> he's so beautiful. he's spectacular. he is coming down pretty fast i have to say. >> makes me a little nauseous. >> look at him land beautifully. nice. >> there you. >>> stocks they're not doing an eagle's dive today. they're going quite opposite. turning positive once again for 2015. nasdaq is up nearly 4%. there you see numbers so far. joining us allen gayle and bob past flick, chief market strategist. welcome to both of you. is the fed going to lose its patience this week? >> we think that they are. you have both the doves and the hawks flying in the same direction. you just have the doves flying in a little bit lower. they want to send in a message that the feds want to northerlialnortherly al normalize the policy. >> are you in the same camp that we in the media have been poring over for months tirelessly but ultimately what does it mean for when and by how much the fed might raise interest rates? where do you come down on that one? >> first of all i do agree with alan and i do agree they're going to take out the word patience this week. it allows the feds to get back on track with normalizing interest rates. i don't think they're going to show the kind of strength that warrants an increase in june. i think it's going to be a buying opportunity because the market generally performs well before a first rate hike and it generally performs quite well after the first rate hike if the fed isn't producing increases at each meeting. i think what you're going to have to do is pay attention to the weak economic dollar and earnings. it's going to create a bit of a buying opportunity as people are going to be focused on q1 earnings, a rate hike and a dollar and that's going to be your lead into the stock market. what you want to do is position yourself for growth. >> my question to you is let's forget the hand wringing. let's look at corporate earnings and how that bodes for the stock market. you've got this strong dollar impact that could hurt corporate america. you've seep it. you've got the economy underperforming and disappointing. why do you think that stocks ss go higher in that kind of environment? >> let me say first analysts have been taken down too far too fast. you've had rate earnings estimates cut in the past but never to this extent. so i think you're going to see a better q1 earning season than a lot of analysts are expecting. not for oil or for the energy space but for the rest of the overall market. the dollar is a little bit more of a concern as far as it goes to the multinationals, but i think the growth that's occurring in the united states is going to be able to pick these companies up. the first quarter has been impacted by the negative weather weather, this severe weather they saw. you saw a strong second quarter and a strong third quarter. i think you're going to get a repeat of that and i think that's what's going to help list the market and carry it to about 2265 this year. people worried about a rate hike is going to give you a buying opportunity in this overall market. >> alan, let's say bob is right. do you have to at least shift which industries or sectors you're looking at here? obviously utilities are outperforming today and have been but in this economy they should be. >> i would say with the allocation strategies, i'm looking first at valuations and then we're looking at macromomentum and then the market technicals. from our perspective, i do agree with bob that equities are reasonably valued. that said we believe there's a better story overseas. we think the stocks are cheaper and we see a catalyst for quantitative easing. so i've been -- for the last several months i've been moving money out of the u.s. where i've been overweight for quite some time and moving it overseas. >> alan one last question. you say you like technologies. which of those do you like, quickly, and how if at all worried would you be about some technology companies like cisco like intel that sell a lot overseas getting whacked by a stronger dollar or are their basic business fundamentals you don't have to worry about? >> from our perspective they're still very good. we're finding value across the technology space. so we're continuing stay involved. again, we think from an economic growth standpoint we think the business psych sl gaining some traction here. it's gaining traction overseas and when that happens we expect to see some mer capex spending. >> bob and alan we appreciate you being with us today. go to powerlunch.cnbc.com. right now. that's powerlunch.cnbc.com. >>> hack attacks pushing them into the mainstream. they're staggering to buy new policies as protection. >>> plus invasion of theants. why researchers are trying to double the size -- yes, double the size of ants. you have to see this. there's nothing more romantic than a spontaneous moment. so why pause to take a pill? and why stop what you're doing to find a bathroom? with cialis for daily use, you don't have to plan around either. it's the only daily tablet approved to treat erectile dysfunction so you can be ready anytime the moment is right. plus cialis treats the frustrating urinary symptoms of bph, like needing to go frequently, day or night. tell your doctor about all your medical conditions and medicines, and ask if your heart is healthy enough for sex. do not take cialis if you take nitrates for chest pain as it may cause an unsafe drop in blood pressure. do not drink alcohol in excess. side effects may include headache, upset stomach, delayed backache or muscle ache. to avoid long-term injury, get medical help right away for an erection lasting more than four hours. if you have any sudden decrease or loss in hearing or vision or any symptoms of an allergic reaction stop taking cialis and get medical help right away. why pause the moment? ask your doctor about cialis for daily use. for a free 30-tablet trial go to cialis.com will you help us find a house for you and your brother? ♪ ♪ ♪ ♪ woooooah you're not just looking for a house. you're looking for a place for your life to happen. zillow now with the xfinity tv go app, you can watch live tv anytime. it's never been easier with so many networks all in one place. get live tv whenever you want. the xfinity tv go app. now with live tv on the go. enjoy over wifi or on verizon wireless 4g lte. plus enjoy special savings when you purchase any new verizon wireless smartphone or tablet from comcast. visit comcast.com/wireless to learn more. >>> let's take a look at this half hour. alan ruskin says deutsche bank is going to settle off. telling our seemanow the india market benner thant most and will assess the realistic conditions of the market. and crude continuing to fall to a six-year low. if you missed any of the stories in the past hour you can visit our site at powerlunch.cnbc.com. sara. >> the kind of insurance sweeping the land. do you need to get in while rates rise? >>> and we're still trying to cure the common cold. don't worry. scientists are working on doubling the size of ants. we'll explain when we come back. ...sexiest ...baddest ...safest, ...tightest, ...quickest, ...harshest... ...or nothing. at mercedes-benz we do things one way or we don't do them at all. the 2015 c-class. see your authorized mercedes-benz dealer for exceptional offers through mercedes-benz financial services. >>> coming up in the second hour of "power lunch," new stats on how low crude oil really has fallen. the one word all of wall street is really focused on and battleground tesla. is this a stock only for traders, or should long-term investor

our seema is live in barcelona, spain. take it away seema. >> tyler, consider this.re are roughly two billion people around the world that own a smartphone. that number is expected to double. micromax is dominating the player, and we spoke to the ceo, excuse me, the chairman about the growth out there saying their big focus is the millenials and their love for indian film stars and cricket. listen in. >> we found three honors. bollywood, music, sports. we've invested relentlessly behind these three. >> now, bollywood and cricket, if anyone knows india, will have a massive appeal to india's younger audience, and micromax from day one has incorporated india's film stars and athlete athletes as a pavr their marnkting strategy and unlike apple and samsung, get this micromax launches about 25 to 30 phones a year. the i wantedian smartphone maker says in india one size does not fit all, and offering a variety of different products is key to their success. tyler and mandy, back to you. >> all right. thank you very much. >>> israeli prime minister benjamin netanyahu warns co

seema, thank you for your time tonight. have a great weekend. >> thank you rev. >> be sure to catch seema on "the docket" every tuesday at 11thoughts on the 50th anniversary of bloody sunday. shift by msnbc." up next, my final thoughts on the 50th anniversary of bloody sunday. shift by msnbc." up next, my final thoughts on the 50th anniversary of bloody sunday. up next, my final thoughts on the 50th anniversary of bloody sunday. at a equals great rates. it's a fact. kind of like shopping hungry equals overshopping. photos are great for capturing your world. and now they can transform it. with the new angie's list app, you can get projects done in a snap. take a photo of your project or just tell us what you need done and angie's list will find a top rated provider to do the job. the angie's list app is the simple, new way to get work done on your schedule. the app makes it easy, the power of angie's list makes it work. call, click or download the app for free today. denver international is one of the busiest airports in the country. we operate just like a city and that takes a lot of energy. we use natural gas throughout th

seema i'm afraid to say i've got some bad news. you have to brace yourself for this. >> i'm ready. i'm holding on. >> all right. teenager girls the world over including seema mody are likely to be in a state of shock as one direction's zane malik decided to leave the group rendering it a lonely 4 piece band. going public with the decision he apologized with fans but said he has to do what feels right. he had been diagnosed as suffering with stress last week. there was a big reaction with fans on twitter including the classic omg and always in our hearts. i have to say we're joking about this story. i had no idea how big they were. >> they're huge and from the u.k. you should be a big fan of them. >> i thought they were a relatively big boy band within the u.k. i didn't know how big they were globally. >> they have a massive following in the u.s. i remember seeing them in times square. there was always a could of women. mostly teenagers. not me i just walked bypassively and engaged from far away. he is dealing with stress i feel a little bit compassionate. he's so young and you're in the public eye, sometimes clearly you need a break. >> we wish him and the rest of the band the best. >> absolutely. we'll leave you with a look at how futures are trading ahead of the open on wall street as we have been telling you. a rough day across the board for the s&p, dow and has the tack. and the dow down 150 points in premarket trade. we're back in two. cme group can help you navigate risks and capture opportunities. we enable you to reach global markets and drive forward with broader possibilities. cme group: how the world advances. in new york state, we're reinventing how we do business so businesses can reinvent the world. from pharmaceuticals to 3d prototyping, biotech to clean energy. whether your business is moving, expanding or just getting started... only new york offers you zero taxes for 10 years with startup ny business incubators that partner companies with universities, and venture capital funding for high growth industries. see how new york can grow your business and create jobs. visit ny.gov/business >>> here are your headlines from around the world. the price of oil spikes higher after saudi arabia launches air strikes on yemen. iran calls it u.s. backed aggression. >> u.s. futures point to another down day after the nasdaq has the worst sell off in nearly a year yesterday. >> media reports suggest that one of the pilots on the crashed germanwings plane may have been locked out of the cockpit during the aircrafts descent. >> and adidas unveils a new play book to catch up with u.s. nike and underarmour. this as we gear up for earnings out in just a few minutes. >> let's get you up to speed on what happened on wall street yesterday. it was a day of red across the board. the dow jones seeing a loss of 1.6%. the s&p 500 down 1.5%. a pronounced sell off in the nasdaq dragged down by biotech stocks. the worst day for the nasdaq in nearly a year on pace for its worst week since october. a rare green arrow in oil prices. oil prices moving to the upside. energy responding or outperforming and even in today's trade. the wti crude up about 4.4%. brent crude seeing a spike of around 4% at $58.71. taking a check at european markets following that global market sell off european stocks also moving to the down side despite encouraging economic data over the past couple of days. the dax down 216 points. the ftse 100 with a loss of 1.3%. the cac 40 down 1.5%. the italian markets down 1.7. investors keeping an eye on what's happening in greece. the pressure on the prime minuter is of greece to unveil a convincing reform plan to its creditors. of course time is is of the essence. >> thanks seema. we just got numbers out of lululemon. revenue $602.5 million. that was bang on in line with what the forecast was. the earnings per share 1.$85 previously and it's gone up to 1.9 dollars so just about in line. perhaps fractionally ahead of expectations. those numbers of course not opiate for trade but we he will of course be following that throughout the day here on cnbc. let's also have a look at u.k. retail numbers which have come out better in the last few minutes. we're looking at retail sales stronger than expected in february. they have come out plus .7% month on month. the forecast had been .4%. so u.k. retail sales coming in better than expected of course. earlier this week we had u.k. inflation at 0% but retail sales managing to surprise results. >> we'll talk a little bit more about some of the sports talks. lululemon they just said their inventory at the end of 2014 was at $208.1 million compared to $188 million at the end of fiscal 2013. it's been a challenging time for t

seema, thank you for your time. have a great weekend. >> thank you. >> you too. >> be sure to watch abby on "the cycle" weekdays here on msnbc and catch seema on "theays at 11 a.m. on shift by msnbc. >>> when we come back what a week it's been from marching in selma to oklahoma to ferguson why we've come a long way but have more work to do, next. it's a fact. kind of like mute buttons equal danger. ...that sound good? not being on this phone call sounds good. it's not muted. was that you jason? it was geoffrey! it was jason. it could've been brenda. there's only one egg that just tastes better. so fresh from the farm. delicious. perfect. only one egg with more great nutrition... like 4 times more vitamin d and 10 times more vitamin e. and 25% less saturated fat. only one egg good enough for my family. because why have ordinary when you can have the best. eggland's best. the only egg that gives you so much more: better taste. better nutrition. better eggs. [ male announcer ] legalzoom has helped start over 1 million businesses. if you have a business idea, we have a personalized legal solution that's right for you. with easy step-by-step guidance, w