states and their friends move to control in the world by controlling its physical underpinnings. the state, like an army around an oil well or the customs agent extracting bribes at the border, would soon learn to leverage its physical control a volleyball face to inject itself into a platonic wrong. would prevent the independence we dreamed of man squatting on fiber-optic lines and around satellite ground stations it would go on to messages and information flow of our new world, even as every human, every economic and every political relationship between enmeshed with the erdogan network. the state would lead into the hearts and nerves of our new society, gobbling up every relationship expressed or communicated. every webpage red, every in the sand, every google thought, and in-store this knowledge, billions of interceptions a day. and dreams of power forever in best top secret warehouses. it would go on to mine this treasure, the collective private intellectual up of humanity with ever more sophisticated search and pattern finding algorithms enriching the treasure, maximizing t

does that give you an underpinning of how important technology is to the business or is this such a long time ago? >> i'm fashion forward in technology. i love programming. i love new technology. i'm continuing investing in new technology, so, yeah, it's not only about our business but what is happening in the world, yeah. >> we will be watching and we hope you will come back soon. >> thank you. >> thank you very much. francois-henri pinault joining us. >>> up next, a look at the news this week that will have an impact on your money and cash only at the holy sea. why electronic transactions in vatican city are having a crisis of faith. >>> for more on our show and our guests, check out the website otm.cnbc.com. follow me on twitter and google plus. first, though, a look at the stories coming up in the week ahead that may move the markets and impact your money this upcoming week. earnings are out for the fourth quarter. the earnings period kicks off on tuesday when we hear from alcoa, and wells fargo. and on tuesday we get the latest and greatest in technology with the consumer electronic

does that give you a sort of underpinning of how important technology is to the business, or is thisassionate about technology. i love programming. i love new technologies, and i'm continuing investing in new technology. yeah, it's not only about our businesses. it's also what's happening in the world. >> we'll be watching. we hope you'll come back soon. >> thank you very much. >> thank you so much. francois henry joining us. >> we'll look at the news that will have an impact on your money, and cash only at the holy sea. why electronic transactions in vatican city are having a crisis of faith. many hot dogs are within you. try pepto-bismol to-go, it's the power of pepto, but it fits in your pocket. now tell the world daniel... of pepto-bismol to-go. >>> for more, check out the website otm.cnbc.com. hope you'll follow me on twitter and on google plus. look for@maria bartiromo. first, though, take a look at the stories coming up in the week ahead that may move the markets and impact your money this upcoming week. earnings are out for the fourth quarter. the earnings period kicks off on

that's one way to think about the moral underpinnings of the argument. to get anything done, you know, we need to find, both parties need to take on their own base. i think first of all president obama needs to play nixon in china on the issue of debt and specifically on entitlement reform. he has to take on activist groups in his own base to get something done in the national interest. likewise, republicans need to reconnect the idea of fiscal conservatism with fiscal responsibility again. they've totally forgotten that revenues are any part of the equation. it's disingenuous and doesn't work as maths. >> can we talk about mission in i talked about where is the discussion on education reform, the discussion about global competition, where's the real discussion about energy and our energy future? instead it's budget wars. you will hear from some people, maya, whoill say, look, the budget wars embody our big visions and how they aren't unified. are we sacrificing sort of our direction and our standing in the world? maybe this sounds overly dramatic. are w

countries people in asia produce nothing wrong about that there's nothing wrong about it so long as what underpins that is not an abuse so all of those wages are fixed freely workers' rights are respected then i think this is a perfectly normal situation and as i've described to you wages are moving up very much more quickly in those cheaper wage economies than they are in the more expensive ones so we're seeing change and this is in the natural order i think of social progress many governments including by the way the russian government think that by by letting the the form of the work force come into the country tripoli cheap labor from other countries come here and work there are solving lots of economic problems the other is say that no you're not solving you creating new problems so your attitude towards that migration is a natural part of the globalised economy for various reasons often demographic reasons population shortages in some countries surpluses in others people move from one country. to another sometimes it's because particular skills are needed i think this is an entirely benefici

out of my diet and i ate more fat, believe it or not, all of the metabolic derangement that was underpinningy propensity to gain weight would go away. lo and behold, it did. john: you are not fat now by getting fat. the question is, what happened to peter? what happe to a lot of people in a totally? they get rid of the carbohydrates in the diet. they add back fat and they lose weight. is that a bizarre anecdotal event that just happened? is a common? maybe it's the nutritional vice we are all getting is wrong. >> back in the 60s, these people would eat their carbohydrates, bread, pasta, rice, potatoes, it's all inherently fattening. john: you have a piece of bread and butter in your book the idea is? >> is used to be that the butter was considered healthy and the bread was considered fattening. in our government came along and decided that iwas the buer that was fattening and the bread that we should all be eating. then i coincides with an obesity epidemic. a. john: they also said the margarine was that view? >> actually they said margarine was good for you. john: they said eggs are terrible

the newspapers want that underpinned by statute, but they don't want that underpinned by statute, theyt it underbid by a -- underpinned by a contract with themselves. the question is whether you see nick clegg presiding or the prime minister. and what we don't have as in many great debates is any clear deadline. the leveson inquiry was meant to answer the difficult questions and take them away from the hands of politicians who could be seen to be biased or subject to influence or trying to bully newspapers. the way it worked out is we have the report, we have the conclusions, and then it went right back to those politicians who still have to deal with a lot of the difficult questions they would have had to deal with had there been no leveson report at all. >> all right. well, as we have you here, let's take a look at the wider political world. david cameron is going to have to deal with leveson in the new year, but what other clouds are there on the coalition's horizon coming up? >> well, there's plenty coming up. there's talk of some audit at how far the coalition has gotten in its ai

so people were building fancy models and the underpinnings are rotten and it spits out meters that is dangerous. said the value added with medical outcomes are a tool but if you get too far away from human judgment or let the false precision drill your sense of what is accurate, it is quite dangerous. but that is a great question and one we are wrestling with for a long time. >> can you address political chicanery? with the obamacare and payne and very successful but there is the bombastic comment under obama your 10 times more likely to be on food stamps to skew your thinking away from the wal-mart policy. >> there is not and express chapter tuesday's in politics. that would be a good chapter. instead, every of a chapter the way the book is laid out here is the power of probability here is the abuse. and every one of those is something that will tend to show up in politics. i use economic data with the presidential campaign tries to take as economic indicators. there is a whole chapter on polling and discussion if you have bad data, it does not matter how big your sample is. it does

with that the underpinning of optimism here, you kind of have to scratch your head when you think that not had a budget for over 1300 days out of the senate. still trying to negotiate a resolution, sequestered, and we are not quite sure what they did with the fiscal cliff. help us out here. >> well, first of all, fortunately, the players in the u.s. economy, the businesses, consumers have their act together a lot more than the politicians in washington. and i think that people, you know -- look at what is happening, don't like it, but started off and go ahead with business. it seems to be what happened in the fourth quarter. lou: in the fourth quarter we are seeing a continuation of what has been a fairly -- one cannot : robust, but a surprising economy. people kept saying, are you better off than you were four years ago which is one of the dumbest question is what the answer was categorically and clearly, yeah, we were a lot better off. actually better off than we were into doesn't 11. >> we finally started to see a drop in the unemployment rate that was significant last year. we have

what i loved about you on there, it's interesting about the premise of your book, really smart, underpinningt is a love of news and journalism. that's really what you're about. >> i spent my whole career traveling the world and covering great stories and i loved it. i loved every minute of it. when i decided to switch gears and laugh and scratch and drink with kathy lee, it was a little unnerving because i was so used to doing what i was used to, but i realized you're doing the same thing, except it's lighter fare, and when breaking news happens, you're ready. you have been there, done that. i look, i straddle the line and sometimes you can't help but wonder, is this the right path? >> it's the right path. >> it's been so much fun. >> let's get to the news. two huge things this week, one, the gun control debate, which obviously i have been very passionate about. you said it shouldn't be about guns or uzis. i can't understand why there's talk about a slippery slope. you take away an assault weapon, you won't have a weapon to protect yourself in your home. i don't get that. it's not about taki

idea that no president could ever become a monarch or a dictator or have too much power is the underpinnings the result of it is often gridlock and the founders saw that as a good thing so that no radical decisions could be taken too far and the congress checks the president and the judiciary checks the executive, and there was reason by some for concern in the president's remarks, this is a day to celebrate the peaceful transformation of power. we have to recognize the looming partisan battle is, in fact, one of the products that was anticipated, one of the products that was intentional and if congress decides they are going to slaw walk the president's agenda or the president decides to ram things through this is the process the founders put through in the constitution and the democrat collarration of independence to make sure that the government remains "we the people." that will be debated to the extent that survived, as well. >>shepard: in the end, we, the people, can make decisions based on what we see our representatives do and act. you mention gridlock. did you have more in your rema

it does underpin the differential and value between the bond market now. >> you've got an $11 price taghere anything with regards to the report today that would make you change those ratings? >> no. not with this report today. we downgraded the stock about a year ago. you know, we do see some upside in the back half of this year as xp end of life in may of 2012. about a third of the commercial still on xp. >> jayson, sorry to jump in here, but the show's about a end. thank you all for jumping in. we'll continue to follow the story here. >> "closing bell" will have more on this. herb, great job running. get your exercise in for the month. "closing bell" starts right now. ♪ [ male announcer ] how do you turn an entrepreneur's dream... ♪ into a scooter that talks to the cloud? ♪ or turn 30-million artifacts... ♪ into a high-tech masterpiece? ♪ whatever your business challenge, dell has the technology and services to help you solve it. how did i know? well, i didn't really. see, i figured low testosterone would decrease my sex drive... but when i started losing energy and became moody... th

. >> well, the faa's grounding, we felt that the underpinnings of our bhul case that the 787 was well on its way to cash breakout was knocked out. the lack of any clarity of any timing of any eventual fix was too much for us. suh we felt it better to step to the sideline. there is a long list of things that can sort of -- possibilities that can happen and we find a short list of those that become a catalyst for boeing right here. >> how much liability might the company face as airlines come back to them and try and recoup some of the lost revenue that they're going to suffer, some of the costs that they may have to incur? >> well, the good news from boeing is contractually the answer is none. boeing -- aircraft manufacturers will not contract for consequential damages. contractually i would argue there is probably zero risk. now as far as good will from the airlines and your customers, that's a different story, and boeing will on a case-by-case basis, you know, reach out to their customers. these are all of the sort of behind-the-door type deals which get done. we feel it could impact

like he's repaying some of the political allies, even though that my the -- may not be what is underpinning. >> where do you think that plays out? that is going to be a big tug of war if he said the suburbs get the money and they're not going to be happy with the state taking it away. >> phil, reality? >> yeah. >> they don't have the numbers. the population in this state shifted towards the world of urban. and believe me, every urban developer is going to look out for the people in the urban areas and those are where the low performing schools are located and they going to get the assistance they need. they will draft a formula in a way where it doesn't appear to be sectional and that is going to follow the student of the school on the basis of the need and if you're in fresno, you will be as eligible as if you're in south-central los angeles for that assistance. that legislature is going to be be conflicted. his rule status will be challenged on who he joins for los angeles to get money for the low-performing school. >> do you think that california will ever figure out how to spend the edu

the way you phrased it yourself, you and i both believe that probably what is underpinning that situation is a political fear that they will be driven out of their seats. >> a political fear, and that's what their constituents want them to do. that's the second half of the equation that the commissioner left out. you may have a conscience, but if the people that you represent don't want you to do something, you're really not their representative, are you? but the second amendment -- >> i don't agree with that. i actually don't agree with that. i think real political leadership is sometimes telling the people who have elected you things they may not necessarily feel comfortable hearing. that's my problem with this whole debate, is i think there are far too many politicians who agree with what you just said. let me turn to you, if i may, mayor stephens. do you agree with this? do you agree that the answer to gun violence is categorically not to reduce the volume of guns in circulation? >> yes, i do agree. since the federal assault weapons ban was expired in 2004, the national crime rate act

all of that creates a solid underpinning and what comes in to create that reallocation in a big way is the deal in washington, is the grand bargain and the transparency as well as clarity on fiscal policy. >> great to have you. keith banks, u.s. trust president right here. >>> all right, our market discussion doesn't end here. coming up this hour, double line capital's bonnie baha discusses bonds and whether there is a bubble in fixed income. let's go over to julia boorstin in l.a. for some news on facebook. >> facebook is getting into the multibillion-dollar gift card business, as it experiments with new ways to expand its gifts business. facebook users can send their friends gift cards to jamba juice, target, and they're reusable and can hold multiple balances. new facebook gifts are automatically added to the card. this is unlikely a game changer but another attempt on facebook's behalf to make money from online retail and convince consumers to use the social network to buy gifts. this announcement comes on the heels of facebook's better than expected earnings although the stock is

an important underpinning of the economy. >> what sectors are still a real weak spot for you and broadlypeaking? >> 80% of food packaging goes no non-durables and that's been pretty sluggish. as people still don't have the confidence. they pull back on some of the discretionary spending and all that have shows up in the purchases. 70% of our economy is consumer spending right, so if consumers aren't spending they have we ar in the u.s. from an investment standpoint and you have investors watching. they want to know a reason to own international paper stock. are you going to raise the dividend? what's in the cards? >> international paper is a cash flow story. it's all about cash. we told investors last year when we were making $3.7 billion we had a career way to get to five. we're going to make a meaningful step towards that this year even in a more of the same economy and committed a return cash assurance that said we were going to pay 35% to 40% of our free cash flow back in the formal of dividends and we have a lot of run way to go. >> so, you are going to do that this year? >> we'll l

looks as if he's repaying some of his political allies even though that might not actually be underpinning do you think that plays out? because that's going to be a big tug-of-war in you says you suburbs you get enough money, they are voters and they spend money on their schools and they are not going to be happy with the state taking it away. >> reality they don't have the numbers. the population in this state has shifted towards the world of urban and believe me, every urban dweller is going to look out for the people in the urban area and those are where the low performing schools are located and they are going to get the assistance they need. they will draft the formula in such a way that it doesn't appear to be sectional. it's going to follow the student of the school on the bases of a need so if you're in fresno and you got a low performing school you're going to be as eligible as if you were in south central los angeles for that assistance. that legislator is going to be conflicted. his rule status will be challenged in terms of whether or not he joins with los angeles to get money

when those agencies talked about our underpining as it relates to our overall health of our economy, he talked about congress's in the bill --raise revenue. the other was to get our spending under control. while this does not do it and i agree this body, and it is not just in recent history, but over the years, this body has kicked the can down the road. we are adding trillions of dollars of debt as we move lower. -- as we move forward. while this is a small movement, and it does not sound like much to get some to actually do it, and i know they are supposed to do a budget by law, but it was in the lot and there was no slap if you did not get it done. you are on will people and you do what the law requires. this is just saying to them, do your job. do your job. i do not know what the constitutional implications are. at the end of the day, if you look at the reason why this amendment was first put in place, it was because they did not want members of congress getting elected and getting a pay increase. that was the intent. they postponed it, that you could vote for a pay increase, but

clearly there's no easy fix to this underpinning it all, you have a culture of guns and of gun violence in this country. >> right. >> which is unlike almost anywhere else in the world. how do you deal with that issue? how do you deal with the americans who say, no, you're not having any of my guns? it's my second amendment right to bear arms. i can have all this. >> first of all, no one is talking about taking anyone's weapon. but even the u.s. supreme court has made clear, chicago ruling and the washington, d.c. ruling, that you can place reasonable restrictions on guns. many, many states have a variety of -- almost a menu of restrictions in terms of type of weapon, type of ammunition, et cetera, et cetera. i commend governor cuomo and the assembly in the senate in new york. they're respecting the second amendment. they're trying to make their state that much safer. so this is not about the second amendment. as you have said earlier, i have said certainly many, many times why does a civilian need a military-style assault weapon? why does a civilian need body armor? you cannot buy hand

and the dysfunction in washington are reasons for concern, but i think one of the factors that's underpinning the equity market is the fact that bonds rates, u.s. interest rates, it's a tired story and folks are getting very frustrated fighting bernanke. >> gordon, let me ask you what you're seeing in terms of flow. first of all, what happened at the end of the day here? i turn my eyes away from the ticker for a moment, and the market is up 53 points. what was the flow at the end of the day, and would you go into next week holding technology? is that another weak spot, do you think, next week as stephanie just pointed out that a lot of industrial names, the real economy stories, are going to start driving things? >> well, maybe. they were buying beamary little bit and beamer reports next week, too. you can't turn your head for a minute in this market. washington puts out a little blush they will start cooperating with each other, that seems to be a little bit of a catalyst. kind of gave us anni impetus foa bust. if you go back two years, 2011, bump early in the year and the markets sold of he

so you get something -- the underpinnings are rotten and it spits out something in meters that you're now looking at, i think it's quite dangerous. so the model that was about it added, medical outcomes, medical diagnostics are a tool, but if you get too far away from human judgment or you let the false precisions dove your sense of kind of what's really accurate, i think it's quite dangerous. i don't think we're going to replace humans anytime soon. that was a great question and one we will arrest with for a long time. >> can you address in the book, you say statistics for political chicanery, well, in two sentences i heard -- obama's campaign talked about how to use the internet, very successfully. but then there's the kind of lambasting obama, we're 10 times more likely to been food stamps and that sort of excuse is taking away from wal-mart's policy, for example, spent this not an explicit chapter that addresses statistics in politics. instead, you, just about every other chapter, the way the book is laid out, his our probability chapter two, chapter three, chapter three is -- eve

so you get something -- lots of sophisticated people building fancy models and the underpinnings are rotten and spits out something in meter that you're looking that a narrow way. it's dangerous the models with the value-added or medical outcomes or medical diagnostics, are a tool, but if you get too far away from human judgment or you let the false precision dull your sense of what is accurate, it's quite dangerous. so i don't think we're going replace humans anytime soon. no hal in space odd di. -- space odyssey. it's a great question. >> can you address in the book you use statistics for political chicanery -- well in two senses i heard of a man who managed obama's campaign, how they used the internet and statistical calculations, verse successful. then there's the kind of bomb bass bombastic, under obama you're ten times more likely to be on food stamps and that skews the thinking away from wal-mart's policies, for example, to the fact that -- >> right. right. an explicit chapter that addresses the use of statistics in politics. would be a good chapter. instead, just about every

. >> ben willis, in terms of the broad economic landscape, that's the fundamental underpinnings, earnings, economic growth what. are you expecting? >> i believe that the market will trend higher. right now we're at kind of a cross-currents between technical analysts pointed out yesterday suggesting a top of about 1% above us right now before we retrench. that doesn't mean we don't go g forward from a pullback on a technical basis, and as we just heard i believe if you believe that the global pmi will continue to see are improving. that tells you that the investments that we're seeing into the basic material groups, the fertilizers, et cetera, are telling you that the world economy is improving and the risk portfolio is going to be interest rate risk so it -- you'll have an opportunity to buy stocks a little bit cheaper. >> >> but i believe thiill the place to be. >> maria, also, there's the money flow issue cannot be ignored. for the first time we're starting to see equity flows. maybe it's the worst possible opportunity, right, because the market has already gone up 100%, but all this mo

ed underpinnings of social security, of medicare, of medicaid systems that are very important to our country. reducing the number of people who have to receive government assistance is what happens when you have job growth. protecting the long-term interest of this country and growing the american dream. the gentlewoman from houston is absolutely correct, and the methodology towards getting there is not higher taxes, it is not higher spending, it is giving more freedom and opportunity. it is having a reduced size of the government, not a bigger government. it is giving people an opportunity to have fewer rules and regulations, not more rules and regulations. so the process that the republican party believes in deeply is, the rights of individuals, freedom and opportunity, and reducing the size of government gives more people opportunities to empower their freedom and opportunity for their american dream. i think we believe it and i think it works. look at texas and you will see where we have job growth, job creation, a healthier economy than other places in the country, and an opport

the european central bank and you now have the fed obviously full throttle on monetary policy, underpinning and, you know, we meet here now in davos, there's nothing aflame right now. >> you went to dinner with george soros last night. >> i did. >> this is the real risk. what soros said and, obviously, he told maria the same thing was concerned about currency wars. europe's big problem right now is the appreciate of the euro. japan is now full throttle on monetary policy, causing the yen to fall. and that creates, again, these big global issues, the concept we talked about for a long time where we talked about competitive devaluation where everybody tries to make their terms of trade the next issues for the big guy. that's the concern. >> real quick, i heard there was a clip last night from george soros in russia. sgledz putin is repressive. he said russia is weakening and he basically called on europe to enact those strong laws that the united states enacted when it comes to corruption officials traveling. >> steve liesman, thank you for that. you can see those interviews on cnbc.com. we h

here, driven by the same kind of positive mood fundamentals if you want to call it that that's underpinning the rally for u.s. equities. you can take a look at the major indexes, but we're not seeing too much move. the dax, a little lower. but the ftse higher. so you can see there's not a ton of conviction here in these markets. part of it is that we're getting so much data out of the u.s. we've got jobs report friday. the fed meets tomorrow. we learned on friday, the european central bank is seeing people repay their crisis loans from last year. that does push up the value of the euro and to some degree make monetary policy tighter over here. we can quickly look at the bond space. italy did go to auction as we continue to see reasonable demand for peripheral debt. the paper is selling off a little bit, but still 4.17%. investors showed up to bid on the two-year zero coupon and the five-year inflankz flagz linked bond. italy and spain continue to front load. forex, though, telling you more of this story, which is that interestingly fluff, we're seeing kind of a risk off attitu attitude. the

the real question, professor, is what's, i mean you talk about the earnings, but, what are the underpinningsbit of false expectation relative to 15? i hope you're right. but i'm just concerned, again, as a businessman, what's really driving that? what are the fundamentals, the sustainable fundamentals that's going to allow that to happen? >> well, i think there's a couple of things. i mean, first of all, you know, we've been getting some headlines about the public coming back in the market. really the public is just barely touching its toe in the market. we had huge redemptions on stock mutual funds in december. and a little bit of an increase so far in january. so the public really isn't in. and i think gdp this year, with the housing recovery, you know, people are not afraid of opening up their envelopes for their 401(k)s reports anymore. when we get some headlines the markets have come back. you're going to see consumer spending. they've been retrenching for five years, begin to loosen those strings. >> all right. so, jeremy have you seen anything that has swayed your confidence? all that

so this ties back to the cultural underpinnings of what do we really want to be as americans and thean regulations. so rick santorum painted that picture, and as the campaign progressed -- i heard mitt paraphrase rick0s vision as to america is special because we have god-given rights and gods are rights cannot be given away, rights given by the government can be taken away instantly. i remember in a conversation in the reagan administration when they needed to cut expenses, and i think the conversation was, let's him nate paying for abortions. so the government gives the right, they can take it away, and i think rick articulated that, and so i think that the length of the primary, while frustratingly long issue think gave more air time, as i'm reiterating. one other thing don't understand is why does the republican party allow the media, who are -- particularly media folks who are not charitable to the republican party, conduct the debates. i would have someone else be the moderator, and maybe have the debate where you have the candidates in a room and each one talks 10 or 15 minutes

regulations designed to ensure stability in the banking system in terms of the capitol that would underpinng structures have been relaxed. what other institutions are doing, eating away at the vogel rule, at the dodd-frank regs that would change the way the system works. they are saying let's not worry about suing for stuff in the past some of the good work that had been done, not nearly enough of course but some of the good work that had been done is being eviscrated by that the. >> speaking on what they are doing, the pressure one has come from, i guess you would call her the progressive liones of the senate, elizabeth warren who has been adamantly opposed to this. she is like are you serious, aig? do you think we will see more banking regulation come down to besides dodd-frank? what do think will happen? >> we should but we won't. the congress has a rhythm to it. congress will be very hardpressed to go back to an issue it dealt with so recently. it should. barney frank is good friend somebody i respect having said that, dodd-frank didn't go far enough and as far as elizabeth warren and

net worth is strongly positive and that's going to underpin their spending power and their confidenceou're starting to see the labor market improve. these things will gradually come together and we think we'll see recovery as we're going forward. we think consumers may pick up that pace a little. >> yeah. who is going to feel the benefit of that most? >> i think since the u.s. economy. but one of the most important things about the u.s., even these days, is the consumer in particular. we enable the u.s. consumer customer number one for global business. because although the u.s. economy benefits initially, u.s. consumers will import more from the rest of the world. so companies and countries selling into the states, and this would include quite a few asian manufacturers in particular will do quite well from this. so too will european companies. sometimes it's correlating the u.s. german stock market with the domestic economic variables. so it will keep the global economy moving along quite nicely, also. >> and with the emerging area, which is the area that will benefit most from that?

don't want to risk or membership because our membership is responsible for millions of jobs and underpins our future prosperity. >> so that debate is going to em. at the same time, david, you think the pound is going to come under pressure. it's a triple cocktail that's going to undermine it. what is that? >> yeah. that's the idea we had, we were talking last year about europe rate cuts, china hard landing. while those three big economies are under pressure, you have to buy everything and you think sterling is a safe haven. suddenly, the euro is not breaking up, the hard landing has been smashed to pieces and some of the fiscal cliff situations have been resolved. meanwhile, you're saying, why did it do that? so we think it will emerge from the shad dwroe of the others. the second problem is the growth situation is dire. we're heading towards possibly a triple dip recession and we're missing all the fiscal cliff targets. so growth, the fiscal side and the monetary side are not going to get more qe we think this year to off set austerity. we've bought nearly 375 billion. >> target? >> 152

and the global shift is underpinned by huge energy investments. we are going to be talking about u.s. energy. >> yeah -- exactly. we're also seeing reports about how u.s. oil import will be at the lowest in 25 years. there is a change afoot. >> i guess that's what the iea head is saying, asia is going to take more of the u.s. demand. >>> to earnings. yes, alcoa swung to a fourth quarter profit matching forecasts. results were helped by stabilizing raw aluminum prices. higher prices and cost cutting. revenues down 1.5% to $5.9 billion. that did beat estimates. alcoa is also slightly boosting its 2013 global demand forecast from 6.5% to 7%. kleinfeld says growth in china is coming back and europe is doing better than expected. the stock up 1.3% in after hours. in frankfurt, up 1.72%. join for the first hour, for the first time this year, charlie diebel. hello. good to see you. right. here we are. we've kicked off earnings season. what do you make of it? >> well, it's only just begun really. i mean, i think that there's still risk of a disappointment