which birkenfeld told the government about that ultimately got ubs in so much trouble. the bank would sponsor lavish events like yacht races in newport and the art basel modern art festival in miami beach to attract wealthy americans. then it flew in its bankers from switzerland to mingle and to try and drum up new clients and conduct business with existing ones. because the swiss bankers weren't licensed to conduct business in the united states, it was a clear violation of american banking laws on u.s. soil, and birkenfeld provided internal documents that proved the length that ubs would go to in order to avoid detection. >> call it a vacation rather than a business trip. rather than saying, "oh, yes, i'm coming to see my private clients here in the united states. and i'm coming in from zurich, switzerland." >> did you bring records into the country with you when you came in? >> generally, no. i did not. my colleagues brought in encrypted laptops. >> encrypted laptops. >> yes, so that even if they were discovered, you couldn't see what was inside the computers, which w

that ubs has shown us so far. you said ubs is trading at multiples it didn't deserve. do you feel the same way after results today? >> yes, i do. i know there were lots of positives and negatives on the result. i focused more on the negatives within the management. we saw a sharp dro.in margins once again. not fort first time, i think the margins are trading on an all-time low. we had very disappointing money and what investors want to buy is a very good wealth management operation. maybe we are finding out right now that the wealth management is not as good as many people thought. >> and that's exactly what ubs wants to put its evidence on going forward at the expense of the investment bank. but do you think that margins have bottomed out here? >> i think in the margins, certainty there is a small cyclical effect in this. when markets improve, we will see some pick up in the margins. but there's a structural element in this. we have to move away from the traditional western european high margin markets to the low

back in 009, ubs paid a heavy fine where ubs handed over 4,450 client names. back over to you. >> carolin, thank you. >>> monte paschi is saying it's handing over legal action to those who damage their -- this morning. >> meanwhile, a portrait of picasso's mistress sold this week. so in a time when markets are sinking and debts are recessing, how is the art market still profiting? phillip, when you see a headline sale like that, does it mean anything about the broader market or not? in the top end of the market is a boom. you have world rich museums buying at the top end of the market. you're seeing a huge influx of money into the london/new york market. so i think we're going to see a ten-year boom in the art market. >> so, i mean, is it a bit like the british property market, crime, central london, and the rest of the country, i'm afraid, is on its back. >> it is absolutely the same. a little old lady with 10,000 pounds to put into art, don't touch it. at the very top in, we're buying the fund $1 million, $2 million pictures. to give you an idea of what's go

ubs. also, the company has made further improvements in terms of the capital levels. now at 9.4%. you can't deny the fact that the investment banking unit was a bit of a disappointment, specifically fixed income revenues the.they were down 38% quarter on quarter. when i spoke to the ceo of credit suisse, he was more optimistic about what the first quarter and the rest of the year would bring. >> obviously, there is more confidence right now. i think people are being a bit more opportunistic in terms of both from a corporate point of view and from our private clients. but, you know, as always, as we've seen in previous years, that can be fragile. we'll have to see how the year progresses. certainly now the markets have a very positive approach and our clients mostly are feeling, i think, more positive about the markets. but, again, you never know what macro events might intervene to shake that confidence. so we'll have to wait and see. >> so what are the biggest risks here to client activit

lori: ubs getting bearish on the bond market. a new investor classification system is calling those investors that heavily invest in bonds aggressive. charlie gasparino joins us with more. charlie: you know, you look for signs of bearishness and bullishness. bond yields are starting to go down a little bit. we have interest rates really low. ubs is a big brokerage firm. they have 5000 brokers. one of the bigger ones. they have hundreds of thousands of clients. they are now planning a change in their investor classification system. more investors will be moved from what is known as the conservative classification. they will be alerted by this in march, from what i understand. what is prompting this? this is what i am hearing. it is a more bearish term of the bond markets. the fed cannot keep interest rates at zero for the next 20 years. short-term interest rates have got to go out. quantitative easing, if you have a longer-term portfolio, over the next five years, quantitative easing has to stop with me to stop buying bonds and pr

ubs has paid 1 billion pounds. our bs -- rbs must now pay 390 million pounds, most of which will now go to american regulators. it is up for to the chancellor to intervene to sell the funds must be paid from clawback from previously paid bonuses. >> ne and will benefit the public, and when it comes to rbs, and clear that the bill related to this occasion should on this occasion be paid for by the bankers and not by the taxpayer. >> britain is set to introduce draconian new rules for wrongdoing committed by bankers which could put london at a disadvantage to other financial and around the world. there is danger you could throw the baby out with the bathwater. try telling that to families who are potentially paying more for their mortgage today. >> one name is synonymous with the leadership of the far right in france. he led the party since its formation. at last year's presidential election, she secured the support of 6.4 million voters, nearly one in five of the population. my colleague spoke to her from the europe

troopp. 3 greg bourke'' son isaiah joinnd the ub scouts ii the - offhis on's boy scoutttroop.ter decadessof being out of the closett the boy scouus of america forced me back into the closst with its don't ask -3 ddnnt tell policy."now in high -3& school, isaaaa's on he verge of becommng an eagle ssout.but his dad has lost his rank, because he's gay."i pose no harm to anyone. passsddall pheir backkround checks. go family. lord knows wwere know wwat else they wann from ps."scouts anddothers who pupport ending the policy of ssoutmassers and ccots delivered what hey say arr 1.4 million ignatures n bbo scouttheadquarterssin a statement, he boy scoutt of ammrica ayssit "is discuusing & potentially removing thh nattonaa membershipp reetriction regardiig sexual 3 chhnge under diicussion would allow thh religiouus civvc, or educational organizationn that 33 to determine how to adddess this issue. the boyyscouts & circumstances, dictate a posstion toouuits,members, or parents."president obama told &pccs news beforr thh ssper bowl he supports dropping the ressrictioo on gays."the --3 scc

>> tendrÍa vinculos con el narcotrÁfico, el departamento de estados unid estados unidos dijo que no ubradurÍa general dejo que la explosiÓn en pemex fue causado por una explosiÓn de gas metano en el subterrÁneo, 37 personas murieron, mÁs de 100 heridas, falta que la investigaciÓn determine si la acumulaciÓn de gas fue accidental o in ten nacional. >>> el condado de miami dade tomaron medidas de disciplina contra varios agentes y un sargento que fueron captados en video cuando ignoraron llamadas de emergencia. >>> para algunos agentes de la policÍa miami dade la jornada laboral parece dejarless tiempo para atender asuntos personales. >>> segÚn investigaciÓn este policÍa dario socarras estaba des obedeciendo cÓdigos de conducto e ignorÓ un llamado de robo en el Área para encontrarse con su novia. >>> a la oficial jennifer gonzÁlez la grabaron haciendo compras cuando debÍa estar patrullando. >>> tenÍa un deber para el publico y a sus oficiales hermanos que tambiÉn estaban tomando las llamadas que ellos no estaban tomando. >>> el condado de miami dade dice que hay que tomar medidas para qu

is the ceo of ubs going to lose the job?e pretty astounding things. i hope others take note. anthony jenkins apt barkley said we sacrificed short term profits for our overall values and reputation. even the new head of investment banking at ubs has said some similar things, how they were too arrogant and self-convinced. it's that sort of message i hope everyone takes on. >> who's the victim here? >> everybody in the market. when somebody has a false rate, everybody pays the price, so you want the waits false. >> how? >> if rates are lower than they're supposed to be, people pay a price. if they're lower than what they're supposed to be, in theory some people get lower interest rates. >> some people got away with it. >> i want to outline because this is wonky stuff. a lot of penal don't know what libor is, impacts the amount they pay on credit cards, loan, et cetera. >> yes. libor rates, whether yen or pound, they impact everybody in the world, everyone in the planet mursz -- purchases on credit. it's huge. >> i want to go ba

tom and ii -3 put thh quick snap ice ube tray to the deal-oo- dud test. test.have you evvr had to do this... to get ice ccbes out claims to make ice cube making... snap. snap..lasses clinkthis ii the 3 sommeimes we have to struggle out.(((ot- 22:59:53-you have up-22:59:55))ww filled the traysswith water and frozee them overnight. & overnight.((sot-23:00:11-they thhm frozen ere a liitle bit &pago-23:00::4))the quickssap icc cube tray has eass to tabs...((soo-23300:17- you see thoss little 3 tiiy off white tabss..all you have to do is flip them over click it...and the ce cubbs should just fall out- itt...((sott22:00038-i just take theeonee..squeeze it and wow and look attthat it wenn righttinno the glass- 23:00:46)) -3 23:00:46))((sot-23:00:47- oh &pthis is very eesy--3:0044))so is it a deal or a dud... dud...((sot-23:01::1-it orks 3 ps--3:01:18))the qqicksnap ice -& cube tray retails ffr 12-99.to learn more log on to fox -3&pbaltimore dot com slash newslinks. & newslinks.patrice sanders fox45 neww att5:30. p3 -3 3& p a live weaaher report.... gets nteruppt

kevin, i want to start with you because ubs says those headlines that we are watching and that we areeing warned will destroy the economy, the country, they are overblown. >> that is right. they are scare tactic, quite frankly. it is not all that surprising government spending will be cut, politicians will exaggerate the impact. if you look at the budget authority, 85 billion cut to the current fiscal year. the cbo two weeks ago came out and said the likely impact will be about $44 billion. if it is currently played to take place beginning on friday. the impact of gdp $44 billion is only three tenths of a percentage of gdp. it is a little bit of a hit to the economy but it is not going to derail the economy. melissa: you come from washington, you know better than anybody else. >> i come from indiana. melissa: you spend time in washington, so you know how they fare. talk about laying off government workers, talking about furloughs for 22 days, the same way a lot of industries work. a lot of manufacturers who have to work in this manner. is that what we are talking about, do you think?

economist for ubs investment research. great to have you here. talking about terrible thing, apocalypse, armageddon is the president of these united states. he's mistaken? >> all you have to do add the numbers. they say this sequester is $85 billion. that is based on budget authority. what they actually spend less behind budget authority so when commiists figured this, they take half of the 85 billion divided by the gdp and three tenths or four tenths of 1%. it's not that big right now. lou: one of the thing, and i don't want to engage you on the conversation with the president's veer rasety, but the fact of the matter, as we noted on the broadcast, the president talking about first responders, policemen, firemen, emts losing their jobs because of sequester. we d't know whahe was thinking when he said that, but i want to know what's going to happen with the economy, and i think everyone watching this wants to know where we are. in contraction in the fourth quarter with the gdp, and numbers suggest life and bigger to this economy, which is it? >>

. -- ub. >> instructor: ing a police officer. -- obstructing a police officer. >>> police are surgingor a man in a home invasion robbery. he is wanted in connection with a home invasion last week. he has a long rap sheet and hasn't been seen since wednesday. two suspected tried to tie up the couple who live there. when they threatened children in the home the victim's broke free and fought. they held one down till police arrived and the other took off with valuables. anyone with information on lopez is asked to call 911. >>> well, it is hollywood's biggest night, when the stars come out for the 85th annual academy awards. before the ceremony there is the walk down the red carpet, actors, directors, singers and others got their moment. this year marks the 85th annual academy awards with nominees in 24 categories. live from hollywood. >> reporter: yeah. good evening. great to be with you. with four wins, live of 5 took home the most actors. but not in acting. it was "les mis" and argueo with three -- argo. >> i want to thank you, ben. you directed a great philip. >> reporter: dalian day

because he thinks for the past seven years he's been in a relationship not with jesus but with hawaiian uberankster ronaiah tuiasosopo >> yes, jon. that's exactly what i'm saying. the pope can't let that happen again. besides, jon, the clues were always there. all benedict had to do was look up. >> jon: look up what? no, look up. jon: oh! it can't be. sam bee at the vatican, everybody. ( cheers and applause ) now, news of benedict's departure did come as a bit of a surprise. for the most part the pope played his resignation pretty close to the vestments >> this is a decision, this has always been a low-key pope >> jon: yes, yes. a low-key pope. as to the past wild man popes like pope awesome iii. can a brother get an ava maria up in the basilica. party pope is in god's house. actually, this does raise an interesting question. who might the next pope be? one analyst suggests history could be our guide. >> the church, whennity lects popes, has a history of going long pope short pope long pope short pope. >> jon: you are talking length of service, yes? for more, john oliver is going to be ther

. >> it is quite ub usual. they will find -- unusual they will find there was a good reason for it. >>> a warning tonight in an explosion of door to door salesmen in the south bay. they had 80 calls from people complaining about unwanted magazine salesmen since january. solicitors are from out of state and required to get permits. the police say there has been burglars in the city but have no evidence that this is linked. >>> burglars showed no love to people on valentine's day. two homes about 5 miles apart were hit within hours of each other on hillsborough on thursday. thieves went through the front door of one home and through a window at the other home. police are asking people to be vigilant. >>> checking out the bay area headlines, abscesses by b.a.r.t workers are costing them millions in overtime each year. the examiner found one in 8 employee calls in sick each day on average t. costs b.a.r.t $14 million a year. right now b.a.r.t is looking to close a $6 billion funding again through fare and parking f

el panaled como le dicen de cariño al toletero vepz no, subió ubs cuantos. y le exigen su

. >> reporter: if you are -- that is the match ub, anquan boldin against -- match-up, anquan boldin againstthe 49ers secondary. joe fonzi, ktvu channel 2 news. >> thank you. mark ibanez will join us tonight at 10:00 p.m. on another special report from new orleans. warriors tonight and the sharks. the only undefeated nhl team currently. [ talking at the same time ] >> highlights. >> a lot going on. >> a lot happening. >> thank you, fred. >>> ktvu reporters live from new orleans in every newscast and saturday night, pre-game special at 6:30 p.m. and after the super bowl with our post game special. our reporters in new orleans and in the bay area. >> as always thank you for trusting ktvu channel 2 news, we are always here for you at www.ktvu.com and mobile ktvu. we will see you. look at you guys with your fancy-schmancy u-verse high speed internet. you know, in my day you couldn't just start streaming six ways to sunday. you'd get knocked off. and sometimes, it took a minute to download a song. that's sixty seconds, for crying out loud. we know how long a minute is! sitting, waiting for an alb

ubs says it is a little disappointed by shah share buyback. i don't think ubs is so spot on here. deutsche bank says it is fantastic news because of prefers this kind of shareholders rather than value destructive m&as. that's the line from deutsche bank here. it's a pretty positive one because, obviously, it benefits from this renewed share buyback program and analysts see a slightly positive impact on etf estimates. apart from that, l'oreal hiked its dividend by 15%. that's another positive. and the only fly in the ointment as you pointed out is the slowdown in luxury sales in the fourth quarter slowing to 6.2%. if you go back to the first quarter of 2010, we saw -- '12, rather, we saw rates around 12%. but this is not what investors seem to be worried about today. stock up by over 4%. back over to you. >> carolyn, thanks so much for that. michelin has raised its dividends. the world's second biggest carmaker posed to hold on for the year even as sales volumes remain flat. >> and in luxury news, airmiss has posted its own forecast. the maker of the iconic handbag says asia contin

ubs coughed up a whopping 1 1/2 million dollars. given that the u.k. taxpayers bailed out the royal bank of scotland in the crisis, needless to say they will be very angry about just who is going to foot the bill for this fine. >> there is not a of bonus money to pay for all of this there, so it will be coming from somewhere else, obviously. this is because the government has to pay a portion of its money back to the united states. but not the entire fine, some of it is for the british regulators. this fine. >> there is>> that announcemente u.s. regulators should be out in about 45 minutes. let's move on and talk about the competition in the u.k. media market. it is heating up. uk global has agreed to buy virgin media. the deal will create the world's largest broadband company, with 25 million customers in 14 different countries. the purchase, worth over $23 billion, will create the second- biggest tv service after bskyb, putting john malone in direct competition with this guy right here, you know him, mr. rupert murdoch. he can count 39% of bskyb as>>

then there was an international scandal from ubs, agreeing to pay regulators $1.5 billion.arlier on this month are bs was the bank majority owned by the british taxpayer, find $610 million. the boss of the u.s. commodity futures trading commission is currently in london, supervising at the moment. he told the bbc that he thought that rate rigging still occurs and that it needs to be replaced. >> about these three cases, pervasive rigging, we need to go to something that is far better for the public. they cannot be so easily manipulated. we have to really work with the market to move forward to a rate that is based on real transactions. unfortunately, this thing called libor with other sister rates, that is the challenge. how do we move on to something else, possibly moving to replace the rate? >> it might be hard to face sympathy for defense companies, but they are facing hard times. western governments have cut defense spending with their budgets. this feeds through two jobs as well. the u.k. systems have had to lay off over 3000 with pre-tax profits last year falling by s

ubs actually has a note saying the actual slowdown in recruitment might be because of h.p., not apple. of course, the home builders continues to be weak after toll brothers did miss this morning. that does it for us here. let's get back to headquarters. wapner and the halftime. >>> welcome to "the halftime show." with four hours to go until the close, right there on the wall is where we stand. red arrows across the board. the dow sitting at 14,000. here's what we're following today. golden opportunity with gold at a six-month low. one of our guests sees a precious opportunity. he'll tell you why. >>> toll brothers misses estimates. two of our traders debate whether the stock's foundation is cracking. >>> first, our top story. follow the money. as investors pour cash into stocks, is it a sign of bigger things to come or does the lack of conviction mean the rally is doomed? we're trading the action today. answer the question. >> it depends what you mean by lack of conviction. i'm looking at volumes in the options market that continue to be strong each and every session over the last cou

industrial area, in fact, and that is, maybe ub usual. >> today's incident happened 3,000 miles to the west and 100 years after a massive meteor strike in siberia. that one leveled millions of trees across an 800 square mile area. guess what, not a cell phone or video camera in sight. back to you. >>> more details now, here is another look at one of the three main impact sites discovered so far. you can see where a chunk went into a frozen lake leaving a hole in the ice. to give you an idea of the distance here this small lake is about 50 miles from the town. hours later a large asteroid passed within the earth's orbit. the two events are unrelated. nasa has been keeping a watch on this space rock for months t. came within 17,000 miles of earth. objects that size buzz earth about once every 40 years. >> this is a set of these asteroids and comites, even, that do occasional pass close to the earth across our orbit. we keep close track on those so we can predict when one might, some day, hit the earth. >> reporter: the best viewing was in australiaia and asia. but tonight, the space and

paul richards, ubs.tch where the euro is going if you're playing the market. >> the yen, the best tail wind. but we can still help you see your big picture. with the fidelity guided portfolio summary, you choose which accounts to track and use fidelity's analytics to spot trends, gain insights, and figure out what you want to do next. all in one place. i'm meredith stoddard and i helped create the fidelity guided portfolio summary. it's one more innovative reason serious investors are choosing fidelity. now get 200 free trades when you open an account. i've always had to keep my eye on her... but, i didn't always watch out for myself. with so much noise about health care... i tuned it all out. with unitedhealthcare, i get information that matters... my individual health profile. not random statistics. they even reward me for addressing my health risks. so i'm doing fine... but she's still going to give me a heart attack. we're more than 78,000 people looking out for more than 70 million americans. that's

i believe a couple of actions have been brought against a couple of ubs traders. i would hope at least here they will be bringing criminal cases and sending people to jail. outrageous what was going on. >> in europe they are planning a big breakup of the banks partly because of a result of what happened in the 2008 financial crisis, and here senators brown and warren like the idea. they are sitting on important committees, finance and banking committees. do you see a breakup of the banks on the horizon? >> as you and i discussed before, i would like to see a market-driven solution, the megabanks, especially city and b of a have not performed well, even going back before the crisis, trading at significant discounts to tangible book value. so where the government could play a positive role is getting more information out to investors so they can decide maybe the economically best solution for this is a market-driven breakup, but right now it's very difficult again the inadequate disclosures to see how profitable each business line is because the mega banks don't all

jeremy zarin from ubs. >> interesting. again, indicative overall market sentiment. no one mentions energy. energy is leading the markets higher this year, close to 9%. it is not on anyone's radar, not on an overweight basis. stiffny g stephanie got into oxy. i would look at energy on any dip in the overall market. >> why is energy getting no love when you have oil about 100 bucks? >> there is a disconnect between pricing itself and the earnings performance of the companies. energy equities are outperforming the pricing and folks focus incorrectly on spot pricing. >> coming up on half time, the busiest day of the year for upgrades and downgrades. are the calls right on the money? our traders will weigh in. >>> google is pulling back after a 40% move higher since mid-june. is it still the best tech stock to own in 2013? with fidelity's new options platform, we've completely integrated every step of the process, making it easier to try filters and strategies... to get a list of equity options... evaluate them with our p&l calculator... and execute faster with our more

. >> lenny breuer also forced the swiss bank ubs, as you know, to pay a big fine in the libor, the price fixing conspiracy. and that outraged you as well, didn't it? >> this is the, i think the biggest financial scandal of all time. it was a price fixing scandal where, essentially, some of the world's biggest banks got together and they conspired illegally to artificially rig the global interest rates which are based upon this london inner bank offered rate, which is a rate that measures how much it costs for banks to lend money to each other. this libor rate affects the prices of hundreds of trillions of dollars of financial products. and it goes from everything from credit cards to mortgages to municipal bonds. basically everything in the world the price is, you know, is somehow connected to libor. and these guys were monkeying around with this for individual profit. and they got, again, a complete and total walk on this. there were no criminal charges, which is just unbelievable. >> did you see the frontline documentary "the untouchables?" >> i did. >> then you're familiar with lanny

. >> tom: our friday market montop going global is de, with ubs wealth management.monday on "n.b.r." is the 30-year bull market in bonds, coming to an end? our "nbr-u" partners at wharton say it depends on who you ask and how flexible your timing is. we talk with professor franklin allen. you can read his work online, head to: www.nbr.com and look for the "nbr-u" tab. compromise may be a dirty word these days, especially in washington, with one week left before the sequester takes effect, cutting government spending. this week, lou's been thinking about deal-making. here's author and educator lou heckler. >> as we witness the give and take in washington, dc, these days, i am reminded of an article i read recently in the washington post about the actor dustin hoffman. like many people who perform in front of the camera, he also longed to direct a film. he has done so with a film called "quartet." in the article, he talked a lot about how that side of the camera taught him a lot about compromise. he has never been known for being a compromiser. he is a talented and ex