. >> i think we have known since 2006 that we are underinvesting in state of good repair. if you look at this line, which is a good indicator of what we ought to be spending, almost double with our capital budget. it's not there but it's close. i think it's always our strategy to push whatever surplus earnings we have or net income into capital and to hold down operating expenses to the extent possible. the risk you are pointing out is that the backlog continues to grow and that we are, we can't keep pace and just the inflation costs on our backlog becomes such a large number, becomes such a large number that we can't chip away. because of the position we're in, our expenditure plan, but the risk of not having enough for state of good repair is an increasingly large backlog. >> may i comment on that as well, president? i thought that was a really excellent question. in listening to the conversation i am reflecting back on my arrival at the port when we were dramatically cutting our budget i think from the first 10 days i was here we cut it by 20 percent, which was very pai

wind and solar power suffered underinvestment. government policy has not protected either industry. both are running out of time. >> we are going back to one of our breaking news, and that is coming out of thailand, where reuters is reporting that a blast at an antique government rally has happened there in the thai capital. this comes hours after a child was killed when gunman attacked a rally in the town of trut. we have our correspondent on the line. what can you tell us about the blast. reports are - the first now is coming in. i can confirm that the blast went off. the emergency medical service [ audio breaking up] a child may have been injured. there are conflicting reports coming in at the moment. it seems that six people have been injured. how the explosion happened - it happened in an area where there's many thousands of tourists that go shopping at a commercial interception in bangkok. it's the place where clashes took place between anti-government troops in 2010 and the army. the pictures coming in show scenes of t-shirts saying thailand, land of smiles and blood on the f

. >> i think there is a shelf life underinvestment. >> i think carl ichan cares more about this thanthe companies he stays with for years. otherwise it for his company and you can invest in his public company which makes money. but i think either for long-term? may be, but how long that long-term is, maybe it is just a year or less. that's a problem with a lot of these guys and frankly why there are so few retail investors in the market these days. the guys get in and out before you can blink an eye and how can you make money in an environment like that. >> happy anniversary. always good to see you. coming up next, but the music service is doing that sounds like something that netflix has already done. we will have that in asked. a protective barrier that helps block stomach acid from splashing up- relieving the pain quickly. try fast, long lasting gaviscon®. there's nothing like being your own boss! and my customers are rlly liking your flat rate shipping. fedex one rate. really makes my life easier. maybe a promotion is in order. good news. i got a new title. and a raise? nagement

28% for the year, gold was down about 25% to 28% for the year, and a lot of portfolios became underinvesteds year as gold starts to regain some stature as an asset allocator's tool, more people are wondering did i miss the boat by not investing last year. adam: yeah. >> and so portfolio managers are looking at gold with new eyes. adam: george, i apologize that i have to end it there, because i would love to get more close with gold so i can appreciate it more, but the trading day's going to wrap up in about an hour. we want to let you know that liz claman's going to help you continue to make money because "countdown to the closing bell" is next. ♪ ♪ liz: irish eyes are smiling. dublin-based activist buying forest labs in a deal valued at $25 billion. guess who's sitting pretty? billionaire activist carl icahn tweeting this proves again that activism works. it does for him, what about others? what do twitter insiders really think about the future of their company? today they can literally leave the nest and cash in their stocks. do they fly the coop or sit pretty on the stock, is an even big

have to use native energy resources, but wind and solar power also native have suffered from underinvestment. government policy seems to have protected neither industry or the environment, and both are running out of time. >>> when you look at the substances being taken most of them are stimulants which have been detected, and then you look at the quantities and see how far it is. >> it was a good day of medals for the host country. russian driver completed the bobsled double. the 39-year-old added the four-mangold to the two-man title that he won earlier in the games. the united states claimed bronze. >>> russia also swept the medals in the 50 kilometers cross country skiing. legkov took the gold. host russia topped the medal table with 13 golds. they finished the games in second play, and canada won the final gold at sochi finished third with 25 medals in total. >>> the 2016 champions have been drawn. defending champion spain should have been drawn with the ga bralt tar but they were moved to the next group due to the u.s.'s decision to keep them apart. spain will play in group c. >> trans

i think we are still underinvesting in research and development. so america has some inherent strengths, but we also have some areas where we have got to make progress. and i think francois would be the first to say that france is in the same position. i would certainly encourage american companies to look at opportunities for investment in france. i would encourage them even more to look at opportunities to invest money back in the united states. and i would welcome any french companies who want to come here to do business. but one of the great things about our commercial relationship, which is also part of the reason why i think the transatlantic trade partnership could be valuable is a lot of the growth is in small and medium-size businesses. and they are the ones who could stand to benefit greatly from export. they don't have the ability to decide where to invest. they're going to be in their home countries. if we can open up trade opportunities for them, because they don't have a lot of lawyers, this they don't have a lot of accountants, they

investors not just our investors here at wells fargo investors but retail investors as a whole are way underinvested in the stock market. we have been trying to encourage clients to buy on any pull-backs. in 2012, we had a couple nice ones. last year, we really didn't. i was hoping this would be, maybe we would see the s&p down near 1700, something like that. i think we will see some more volatility. i don't think the correction's over. but saying that, any pull-back is an opportunity to put money to work. that's what we want our clients doing. >> but you know how it works. the investment psychology, people tend to buy on strength. when the market goes down, they are wringing their hands wondering what's wrong and they don't want to touch the market at that time. >> that's always part of my job is to try to get our clients to step in, at least put a toe in the water, put some of that cash to work when the market's down rather than try to chase the market higher. but as you just mentioned, as we both know, lots of people jump in at the highs and they are bailing out at the lows. we are trying to get

investors are in contrast to america and japan, investors are underinvested in europe and in southernrforms we saw in january and so far in february will persist in spain. >> of bob, thank you so much. bob parker. , welcome to google. a tech giants opens up to an israeli startup. details are next. >> welcome back to "on the move." i am francine lacqua. chancellor angela merkel plans to step up calls for a new internet. she is meeting with the president in a paris. with tweed is in berlin the very latest. what is angela merkel calling ?or the smart -- for >> the establishment of a european internet network that will not see data and e-mails routed by the united states. european to protect consumers. she speaks through a weekly podcast which is basically about what is on the agenda on wednesday in paris with the french president. listen to what she had to say. >> we will talk with friends about how we can maintain a high level of data protection and above all the with european providers for security. one should not have to send e-mails and other information across the atlantic. is not s

we have underinvested in terms of ways to promote bicycle commuting. it is time that the federal government realized that we can do a lot more with very little extra money. host: we appreciate you getting up with us this morning. there are some callers who have called them and also members of congress who have said that federal funds need to be prioritized and bicycle one ofng just is not those top priorities. perhaps one of the -- some of the funding we spend on bicycles should go to bridge safety and infrastructure. your response? the enhancements program was the most popular program for federal funding. people really want this. agost mentioned a moment that it is the fastest way to get new highway capacity. every person who is in a bike lane next to you is not in a car in front of you or competing for a parking space when you arrive at your destination. , thatinter made earlier there are 10 times as many fatalities associated with bike and pedestrian activities than the amount of funding involved, would suggest that we are not putting the amount of

we continue to undersave, underinvest in people, infrastructure, and capacity. get that together, then their ascendency will coincide with our decline. >> we've had periods like this before. >> yeah. >> i mean, you're optimistic we get it together or do you think we're the roman empire? >> no, look, i hope we get it together. what i don't see is a debate on the strategy -- >> how many people have been -- you do look at the past 3,000, 4,000 years, and how long do a leading civilization, they have a couple of hundred of years. >> we've had a good century. >> we've been there for a couple of hundred already. >> but the people that write about the rise and fall of great powers, they often look to nations that outstrip their capacity to save. they extend themselves militarily or economically. and then, ultimately, it just becomes hard to sustain. >> china was on top for a while, too. >> china, in a mid-19th century was the largest economy in the world, for sure. and they went through a very difficult and long period of time. >> they've got a lot of people. they have

when you look across the landscape you see underinvestment long-only funds, short positions in erksztons. what if for some reason suddenly somebody actually wants the treasury bonds or they start to rally and the next thing you know all of these shorts have to be covered? what if there's redemptions from these short leveraged etfs and the shorts have to be covered? i don't think this is a 50% probability but i think it's at least 30% you could see something of a scramble into treasury bonds. that would take yields well below 250. i'm not sure that's going to happen. i give eight 30% type of chance. it's something you have to think about given the offside or tremendously skewed positioning. i mean, there isn't a bull in the world at the beginning of this year on treasuries nor was there a bull in the world on gold or commodities. and everybody and their brother said that stocks had to continue to go higher. and not much has really happened this year. but those consensus viewpoints have been wrong, marginally wrong in every case. >> it is early, of course. but getting later for us. i wa

not just our retail clients but retail clients as a whole are sitting on too much cash, they are underinvested advantage of the school back. we have not had a reasonable one in a while and what we want them doing is to buy stocks in the consumer discretionary sector, technology, we like industrials. we want to be in those sectors that sensitive to continuation of the economic recovery and i think things will be better internationally, at least in europe, this year as well. we want them to participate in that. we don't want them to hide in defense of sectors. sandra: you have to make the case to the average investor who sees the here we are in february of 2014 after the first month that the fed started to taper the stimulus program stocks went down. even for those who said the fed didn't drive the market higher in 2013 it looks like it is closely correlated. so the fed keeps capering. don't stocks keep going down? >> i tell you, i think the fed had a lot to do with the run we had in stocks last year. not everything but certainly a significant part and i think the fed will taper at every meeting

as innovative as we are, i think we are underinvesting in research and development.re we have to make progress and i think france is in the same position. i would certainly encourage american companies to look at opportunities for investment in france. i encourage even more to the opportunities to invest money back in the united states and i would welcome any french companies who want to come here to do business but one of the great things about our commercial relationship which is part of the reason why the trans-atlantic trade partnership could be valuable is a lot of the growth is in small and medium-sized businesses and they are the ones who could stand to benefit greatly from exports. they don't have the ability to decide where to invest. they will be in their home countries. if we can open up trade opportunities for them they don't have a lot of lawyers, don't have a lot of accountants, can't move locations or open new plants in different places, if we extend trade opportunities for them, that could mean jobs and growth in france, jobs and growth in the united

we have underinvestment, rising labor markets about 2% this year.ffect, notwithstanding the recent correction. it's a minor adjustment. i think we'll get through it. the markets are setting up. the markets may have a tough time digesting that. we'll have to wait for the economy to prove durable enough to absorb. >> can we turn our attention to china for a moment? what are we to make of what's take is playing there from an economic standpoint, real concerns over where the growth is going and whether it's decelerating faster than we can handle? >> china is facing a real economic adjustment. it's a shift from one kind of growth model to another kind of growth model. i don't think you'll find anybody more bearish than me probably about the short term implications of this in china. i don't want to understate this. there are signs of real financial stress in china. i think that some sectors that have been traditionally leading growth in china will see real downturns. having said that, i think there are misconceptions about what this means for the rest of