Transcripts For CNBC Squawk On The Street 20140224

Got some big retail earnings this week. Ten years right about 274, some flat action in europe. German Business Sentiment was at a twoyear high. Netflix agreeing to pay comcast for faster speeds. Well find out if this could set a precedent. Karl icahn comes out swinging attacking the marketers and ceo john donahue. Well going to go live to kiev for the latest. First up one netflix will pay comcast for faster speeds for its video service. Analysts say the agreement could result for more cop tent Companies Paying for nervouses to get their product to the customers faster. Weve got a life exclusive with Lowell Mcadam koling up. Theyve closed the huge phone deal, closing that on friday. But yeah, i mean we expected verizon may be next, perhaps and well certainly ask about an agreement with netflix that their conflict if you will was highlighted in some of the press in terms of slow ore speeds particularly for fios customers pap they seem to be agreeing to pay some additional sum of money to contact more directly, lets call it, to comcast and therefore be able to deliver things without any burr buffering which some customers may be getting. Not a speed issue, a through put issue. Think of that circle that you get that makes you think why do i want to be on netflix when i can go elsewhere. Obviously netflix was paying other parties too. Maybe those payments go lower. Its percolated up. Bernstein talking about how good news for both, obviously comcast Important Company or network getting pay more than of course, embarking on trying to get approval for the biggest cable deal of all time, the Time Warner Cable purchase. People want to lump this all in but its not about that. We got to be careful. Its all been tlun out anyhow but its about making investments in the network and giving a return on those investments. If you cant get the return, why would you make the invest nes to allow to traffic to get through appropriately so people can watch what they want. As a side note, i mean facebook, whatsapp, what are you most excited to talk about . I think the facebook deal is huge. If whatsapp were to become public today in todays environment. 30 billion. Why do i say that . Because va have more people that twitter. This market hads gotten overheated. 30 billion. Did you see the number of people on whatsapp . I didnt see any numbers at all except for a user number. Hear me out. They have a revenue number thats 25. This is about beating the market to the punch. How often have we seen deals tyke twitter when we say microsoft had a chance to buy this. That is a defensive move against google and if apple were to ever speed up its competition. Obviously keeps away from microsoft. And i got to tell you, messages wont be as big of a deal for the verizons, does play a worldwide role in trying to figure out subscription and advertising. This could be a good subscription stream. I think this solidifies facebooks position in mobile payments which i think is so interesting, that icahn is making so much noise with pay pay ebay. Lets go there because this is a developing story this morning. Lets call it 15 minutes ago. Karl icahn is not going to great pains to explain his rationale. This letter is much more about a straightforward attack on governance at ebay taking in two of the bigger teams in technology, mark andre so and scott cook, both of whom are independent directors on the board of ebay. Theres share a couple of things from the letter itself as you take a look at both of the gentlemen were talking about. He really goes after him on the skype transaction and another transaction involving gsi commerce. These are my words. Sort of alleging that hes acting more on his own behalf than as ap fiduciary for shareholders. Thats quite an attack on a well regarded guy in the valley, also an hp board member, of course. He also talks about cook and what essentially is a lot of allegations. There was a doj lawsuit against ebay on an agreement not to hire intu it employees. But again, icahn goes into that saying that it doesnt seem possible in this board to engage in long term discussions when two Board Members are competing with Board Members. One board member is routinely funding competitors while buying companies from ebay. And at least two Board Members appear to have put their own gain and conflict of fa dush rare duties. He says mr. Donahue may be lying. No annual meeting scheduled. We expect perhaps mid may. And the question is are people going to sign on to his nonbi nonbinding proposal. This is a tough one because i cant think of two more seasoned well rounded people i would like on my board. These are greet executives. Self dealing charges are made you cant make them either. Obviously the charge would make me feel that these guys have been openly subversive within the company and ive never heard these allegations before. He did recuse himself on the skype deal. They sold it for 4 billion and then they flipped it to microsoft. It was bad. 18 months later. That was bad. Let me quickly give you a response from ebay. They say the new shareholder letter icahn cherry picked old quotes out of context to attack the integrity of two of the most respected and accomplished value driven Technology Leaders in silicon valley. This fight is of course going to continue. I would like to hear more about the simple debate of whether paypal belongs outside or not. I have thought that a focused paypal could take on some of these new competitors. Obviously mastercard and visa there the ba hey myths in the industry. Donahue gave a defense of the need to have an ecospm. But ive always felt that the ecosystem has flur rished. You need to be in ebay in order for pay fall to be on its own. In hearing the arguments from both sides and speaking to a number of other shareholders, there is a sense that the idea of separating out paypal is not one thats being dpis missed. But i think theres a worthwhile debate to come here. They cite in their letter, its david sach from yammer, they say david yammer. In a hurry here. So that point, weve asked this question before. How many plates can carl spin at one time. Theyve been targeted and its hard to argue that hes over extended on that front. No. I think hes got a lot more fire power. He wants to up the stake in ebay, hes got it. And apple, he kind of lost that battle. They become opportunistic. I should also say on hertz, hes gone away. They did an interesting job there of putting in a pill that sent the stock price up. Ebay also got in front of him. We got a big morning for you as we said right here on squawk on the street. Tomorrower treshly secretary, david kos tin. Take another look at these on the last week of february, a monday morning. Were back in a mund. Let me talk to you about retirement. A 401 k is the most sound way to go. Lets talk asset allocation. Sure. You seem knowledgeable, professional. Im actually a dj. [ dance music plays ] woman [laughs] no way that really is you . If theyre not a cfp pro, you just dont know. Cfp work with the highest standard. Cut [bell rings] this. Is jane. Her long day on set starts with shoulder pain. And a choice take 6 tylenol in a day which is 2 aleve for. All day relief. Hmm. [bell ring] roll sound action we do . I took the trash out. I know. And thank you so much for that. I think we should get a Medicare Supplement insurance plan. Right now . [ male announcer ] whether youre new to medicare or not, you may know it only covers about 80 of your part b medical expenses. Its up to you to pay the difference. So think about an aarp Medicare Supplement insurance plan, insured by unitedhealthcare insurance company. Like all standardized Medicare Supplement insurance plans, they help cover some of what medicare doesnt pay and could really save you in outofpocket medical costs. Call now. With a Medicare Supplement plan, youll be able to stay with your doctor. Oh, you know, i love that guy. Mmhmm. [ male announcer ] these types of plans let you visit any doctor or hospital that accepts medicare patients. And there are no networks. You do your pushups today . Prepare to be amazed. [ male announcer ] dont wait. Call today to request your free decision guide and find the aarp Medicare Supplement plan to go the distance with you. Go long. Youre watching squawk on the street on a busy week. Were going to get some retailing earnings in the next couple of days and janet yellen may be the story of the week testifying on the hill. Ukraine president has been ousted and now considered a fugitive wanted for mass murder. Theyre declaring new elections to take place in may. Well be talking a lot more about that in a little bit. Michelle has been on the scene from kiev all morning long and joins us again this morning. Morning, michelle . Reporter hey there, good morning. Just about five minutes ago those acting leaders of ukraine sat down and began what is a tough series of tasks. Theyve got to form a new Coalition Government and then they have to begin trying to negotiate some kind of bail outbecause they have not borrow from the International Markets. This country is squeezed for liquidity. As they sat down they discovered that one of their most important trading partners doesnt see them as legitimate. Weve seen them from the most Senior Leadership of russia, he says that legitimacy of those members of parliament in there now are in doubt. The current leadership in this country is in doubt. Then weve also heard from russia that they want to renegotiate a national gas deal. This all matters was russia has enormous power over ukraine for two reasons, trade and cheap energy. Consider that 60 of ukrainian exports go to russia. Ies huge source of dollars and reserves for them. Russia could potentially think of what they did to chobani yogurt going into russia like the olympics. They would say your products dont meet your standards, you didnt fill out the right forms. They can do that to the entire country and devastate this economy. And supposedly one of the meetings yanakovych had was a very threatening meeting. Its illegal but that doesnt seem to have changed anything. The other power they have is cheap prj. They have a cheap national gas deal with u crane right now. They have the pgs at the end of march to almost double it. Depending on whos running this country and how they look upon russia is probably going to drive very much where that number falls out in the end. And they need, they need all the help they can get, carl. Thats just some of the trouble that this country faces right now and the choices that theyre going to have to make. Back to you. Absolutely. After an astounding 72 hours in this country. Our thanks to you. Well come back later op. In the meantime days after agreeing to be acquired by facebook, whatsapp says it will ade voice to its product in the Second Quarter of the year. The ceo making the announcement today and our john ford caught up with him at the event. Im using whatsapp. What does the voice deal mean for you users . Obviously a short meeting, anything is more than weve heard lately. Actually there was an interesting outage over the weekend where he had to apologize for interruption in service. But youve already said how much you like the deal for various reasons. I think what you want these companies to do is spend their money. And use their market cap to be able to be ensured that they are the next generation. You know, its funny. When youre with younger people, i called five kids last week. Do you guys know this whatsapp . Dad, thats how you get around paying. This is a powerful force that can be integrated immediately into the facebook ecosystem that makes it so you have one more reason for 1. 2 billion people to use it every day. And we can come up with a small premium, certainly a little above what they paid for instagram. But there are people that say this is reminiscent of the 90s. Theyll still spending 19 billion. 19 billion in stock and cash. They got a lot of fire power. For what . Robert peck has been right so often, the suntrust analyst who was so right on twitter talking about multiple phases of what he believes this. This is a way to be able to get more income. Im not going to deny the idea what youre saying, but i got to tell you, facebook wants World Domination and so does google and thats who got it. You want to be one of those two. Yeah. When we come back, kramers mad dash, be nice to get this as we head down to the opening bell. A little later on, a live and exclusive with verizons ceo Lowell Mcadam. A lot more squawk on the street is straight ahead. Return on investment wall isnt a street. Isnt the only return im looking forward to. For some, every dollar is earned with sweat, sacrifice, courage. Which is why usaa is honored to help our members with everything from investing for retirement to saving for college. Our commitment to current and former military members and their families is without equal. announcer scottrade knows our and invest their own way. With scottrades smart text, i can quickly understand my charts, and spend more time trading. Their quick trade bar lets my account follow me online so i can react in realtime. Plus, my local scottrade office is there to help. Because they know i dont trade like everybody. I trade like me. Im with scottrade. announcer ranked highest in Investor Satisfaction with selfdirected services by j. D. Power and associates. Its time for mad dash on a monday. It wee got a lot going on. Aye been waiting for consolidation to happen this these suppliers to the hand set makers. Finally rfmd and triclrks in get together. Theyre giving the cell phones all that they want. These two together can compete. However, sky works, you want to buy sky works. Can you give me details. Radio frequencies meet highest performances. These are two companies that have been difficult to deal with. These two together have been kind of left out in the cold. No more. But sky works reported much better than they expected. If people hammer that stock, go back into it. Whether acquired or acquiring all of the stocks go up. Right. Its been a refurring theme. Were going to talk more about mens wear house. My guess is that stock is going to be up. They raised their bid for joseph a bank. But look at what happens to the stock of mens wear house. Eddie bauer left out in the cold but you told me that deal could go away without a problem with mens raises its bid. How could these two not get together. This is what im a believer in. Well see what jos a. Bank has to say. We got so many other things to cover. Coming up, of course weve got the opening bell, a lot more verizon chairman and ceo going to join me. So much to talk about there in terms of netflix, tmobile. The opening bell though just a few minutes away. Were all coming back. Then dont miss sleep trains wbest rest event. St ever . Youll find sleep trains very best mattresses at the guaranteed lowest price. Plus, pay no interest for 3 years on beautyrest black, stearns foster, serta icomfort, even tempurpedic. And rest even better with sleep trains riskfree 100day money back guarantee. Get your best rest ever from sleep train. Superior service, best selection, lowest price, guaranteed. Sleep train your ticket to a better nights sleep [ car alarm chirps ] [ male announcer ] we dont just certify our preowned vehicles. We inspect, analyze, and recondition each one, until its nothing short of a genuine certified preowned mercedesbenz for the next new owner. [ car alarm chirps ] hurry in to the mercedesbenz certified preowned sales event. Visit today for exceptional offers. [ bell ringing, applause ] five tech stocks with more than a 10 . Change in aftermarket trading. All the tech stocks with a market cap. Of at least 50 billion. Are up on the day. 12 lowvolume stocks. Breaking into 52week highs. Six upcoming earnings plays. That recently gapped up. [ male announcer ] now the world is your Trading Floor. Get realtime market scanning wherever you are with the mobile trader app. From td ameritrade. Good monday morning. Youre watching squawk on the street live from the Financial Capital of the world. The opening bell in about three minutes or so. Its nice to have kramer back. He was missed last week. Some broad trauths on where we are. Jim is saying that rates have magnified earnings. Calling the market a hall of mirrors. That would imply that you could not share 2 million shares of any of these stocks on the bid side. I think the marble is reasonable here in terms of being able to sell whatever you want. That was not the case in the year 2000 where you started seeing massive secondariries. Its our job to help people at home make money with stock and i think for the foreseeable future when i see a mens wearhouse making a bid for jo a. Bank and it goes up. These are signs that corporations beliefs there are great values. Who am i to say that they dont know what theyre doing . That would be a very bad idea on your part. Wouldnt it . I would not advise that. Even if i worked at another network i wouldnt say that. We chatted with david last week, i think you called it a temperature rise. Are you beginning to sense that companies are feeling pressure to do a deal sooner than they otherwise would have. We havent mentioned the numbers out of china, copper down the most in a month. China is a weak link. We could do nothing but speak about what theyre talking about. And the possibility of a naval action because of the russia base there and the cutoff would be good for the energy. I say that news like this ukraine would have made the f futures down. You called them out on twitter saying where are you guys . I figured they were playing but i came become. Theyre still on vacation. Slackers. National gas prices puts them at 6 bucks. What a move weve seen there. I dont know if that changes the work you do on the energy side of it youre going to see many more pipe lyons coming to the northeast. Its a bottleneck through the through put. It is not about national gas. Theres tons of it. I dont want to make anything more of it. Morgan is not as bad as baron has made it out to be. Home depot kicking us off with retailers later in the week. Theres an opening bell. Down here at the big board, pennsylvania based rice energy celebrating its recent ipo. Its one of these companies that were seeing percolate up and up and up. These are the companies that everyone expects one day youre going to be bought. Here we are going public. Lets watch how it goes before we say its going to be bought. A provider of advanced wound care products. Were going to get some weather this week. Polar vortex coming back to the west. Its good news for rails as we continue to debate what the effect of the weather has been on the economy. Its been terrible for retailer. Con stainer store down two different places in part because if you look, they have 16 Stores Directly impacted by the weather. Be careful there if youre trying to bottom fish. Retail is the weakest link of our chain. Weather doesnt help. Weve talked over the past few months as to whether theres a seminole change going on in the we that people consume. I think so. Walmart cant make their numbers, targets numbers, the number of the dollar stars in question. Mall traffic certainly remains an issue that even the Real Estate Investment trusts when you get them off the desk are discussing. They see it. Big week last week with earning. Elon musk is going to roll out the plans for the factory as they attempt to go more vertical. Tesla and netflix guys almost the same. If you try to use traditional valuation methods you have difficulty. Ford produces more cars in an hour than they produce in a year. If you go over to the note this he put out, verified by the q and a on the conference call, you thought we were going make x, were going to make more than that, were going to be big in china and urp. And then the giga factory for batteries was that not a big word. Now theyre talking about giga factories. Earnings out today for solar city. Weve mentioned a top of the broadcast netflix and our Parent Company comcast, both of which are up. The financial terms have not been disclosed that will allow netflix to not have to worry as much about how much buffering is on at home when youre watching whatever it may be, breaking bad season two of house of cards a little darker than i expected. Coaching communications ccio which is what they had been using as a large extent as a middleman if you will. Down horribly today. If you want to figure out the mark cap of how much netflix should gain, that did not say any one client is a prepoundering client. The market is judging it otherwise. So its possible that their percentage of customers may be understated for that. Level three which has been coming back over time is down only a dollar. Maybe you want to take a hard look. Golman does maintain their sell on microsoft today talking about potential reports of price cuts on windows 8. 1 trying to fend off the war with Google Chrome book. Has anyone that ive talked with that felt that this was horrible. Including a piece that bill gates was upset e he couldnt get it. It was facetious that not even he could get it installed. If you sell it all for that, i think its kind of uh theyve seen it in commercial, you saw it with notebooks particularly in commercial, not necessarily consumer but commercial more important to them, also stabilization in europe. Hp right around the 30 level. A lot of people still skeptical as to whether you can Companies Like this, its hard when they have declining Gross Margins over time to get them back. Shrink to grow, sometimes you can. Now mark was involved with hewlett packard. He was on the board. Hes taking a lot of heat today from carl icahn. Ebay is up 1 1 2 . Much more focused on goch nance than it is on making the argument why he believes paypal should be split from the company although that is the under pinnings why hes naming two directors to the board and put forward a nonbinding shareholder proposal to be voted when the annual meeting is set. Its the language that he uses and the underlying accusation. The skype deal he was there, yes, he recused himself, so what. Then he invested from skype and made a good deal of money from it. Was it a good deal when they sold it or when he bought it. And then also questioning the presence of mr. Cook on the board as well. I think hes got the momentum. Remember your your numbers would have gone down. Now icahn is involved, 55, i think the stock can go higher. Ie kon goes on 2. 7 theirs. It was that day that ebay presented his presence and sent the stock higher that may have prevented him from taking a potentially higher stake. Donahue does not high, though. No. Came on tv. Feeling we may have to have another one of those interviews. Sky works. Facebook almost close to 70. I think i saw a tweet from you last week that said you were doubling down so to speak. During what i thought was going to be a major dlip down from the stock. A lot of people felt that they overpaid. Usa today talking about this. Linked in is 53. Tloez the metrics that a lot of people pointed to that says this makes sense. But theyre using the numbers that we got worried about in 1990 and 2000. Eyeballs. When you do eyeballs and not earnings, then i understand what youre implying. It could end up being worth it. You want them to buy back stock . You want a big dividend from facebook . No thank you. Even when amazon mentioned that they might raise prime and they missed the revenues and stock went down. Im not saying this is one of those cases where we dont want profitability because facebook is laser like focused, we want a company that gives you mobile payments, a company that gives you messaging. About some of the businesses they bout a that we dont know what theyre going to do with yet. Same thing with google. These two companies are the new world. Mark zuckerberg is willing to part with his ownership if you will they 10 of the company, he owns 20 of it. Thats not an insignificant sum. He controls the company. Good google guys control the companies. The Robert Family controls the company. They can do what they want. They can do what they want. They dont have to necessarily listen to the shareholders because theres nothing you can do about it. Welladvised. Well in adds vans. With that dow is up 73. By the way, break even for the year if youre watching the s p, 184836. Lets get to bob on the floor. 1845 is where were at now. Good morning, everybody. Only three points away from a historic high. Got to close over that. Health care is the leader today as it has been all year. Thats a double digit gainer over the year. My email was stuffeds with whats going on at the mobile World Congress in barcelona. Weve got a bunch of new phones that were announced the big one is tonight. Samsung is going to announce a successor to its galaxy s 4. Probably the s 5 that were going to have here. No kia is being bought by microsoft isnt it . Thats how much the world is change right now. The one obvious winner, kwaul come had an update on that snap dragon platform, thats the mobile product on a chip form theyve had. They got a new road map for that. That stock is essentially sitting right near an historic high. Heres something they announced. Sony is unveiling a phone that has inear head sets with noise canceling technology. But walking down the street with that kind of technology, ive already been killed a half a dozen times almost with headphones without noise canceling. Sony also announced a waterproof phone with ultrahigh definition video. Just what we need. Thats how strange theyre getting with some of the products right now. The Chinese Market had a rough night. Down 1. 7 . Some of braings are curbing lend in the property area. Anytime you get china down you get the predictable decline in the stocks. All of the usual suspects are a little bit oun the downside. Did you see dillards . They were one of the few companies that say that da about what was going on over the Holiday Season and they have paid for it. A big miss on the bottom line and top line. Profits were down 25 . Lower sales and heavier markdowns. But they didnt get anybody any warnings at all. Inventoriries are still up 4 . Bottom line, theres still a lot of merchandise over at dillards. Theyre down more than 10 so far. Back to you. Be careful with the noise canceling headphones. Okay . Harmon is by a far the best publicly traded speaker and sound company. Theyve been at it a long time. They ive move a lot of their production. I want to come back to the mens wearhouse story. Its a story we eve been following as you know for month now. If you want to go back, it was jos a. Banks that started it all. Mens wearhouse came back with a pacman bid of its own. Rickey sandler of imminence capital has been involved with both. Deciding eventually to go after jos. A. Banks. Two directors that are up. Jos. A. Bank entering into a deal that would stop mens wearhouse saying were going to buy eddie bauer. Mens wearhouse comes out this morning, 63 billion in cash, were willing to go up to 65 a share if you allow us to do Due Diligence and of course if you drop the eddie bauer bid. Im stold of some favorable reviews of a letter they sent. Theyve filed a complaint in Delaware Court of what they would call jos a. Banks willingness to harm its own shareholders by entering into the eddie bauer transaction and not agreeing to this one. Its an interesting state of affairs. And as weve said many times, notice mens wearhouse stock price being up and up nicely. Investors continue to applaud what they see as potential deals and in this case thats why perhaps it wasnt that big of a surprise that mens wearhouse 63. 50 is a big number. Thats got to be a number where they say okay, right . Theyve met it. Men wear house has met it. Now well see what jos. A. Bank has to stay about it all. I question the notice that this is a house hall of mirrors when youve got very Smart Companies putting two and two together. Oh man. All right. Any how, lets move on to a broader thaurths here. The bond ritz. Rick santelli. Its been a year that keeps both eyes on the stock market. It was the weakness of stocks and the hedge implications of treasures that gave us the yields down in 260 which was the low yield close for cycle on the 3rd of february. They seem to be easing back again. This is especially important. Remember from 303 down to 258, 38 of that, comes in at 275. The highest yelled close weve had was on the 12th of february at 276. Its the old touch rule. If you can touch by one increment you are level, its should be kind of a push. Same was true of five years. Their number was 15537 to be 12th they closed at 156. Whether you think its weather or you believe the economy is still a bit on the tenuous slow side or you believe equities at some point are going to find some thin ice, it seems to have having a Lasting Impact as the treasure yields seem to avoid the correction that are in the stocks. Lets look at foreign exchange. Been a lot of talk about the dollar. And if you look at a twoday dollar index year to date. The dollar index is going nowhere fast. It basically keeps bouncing off 80. 80 is virtually within a couple of ticks on change for 2012 and 2013. If you look at the one chart that will continue to keep you out of trouble on the treasury side, its the dollar being overlayed with tenyear note deal. They still seem to be correlating very highly. David and the gang, back to you. Rick santelli. Were going the talk with jean claude tra shay in a few moments. Also ahead, Goldman Sachs strategist, david cokostin has few thoughts. Later this hour, turn up your volu volume. They know nothing. Yes it is. Those are references to the fed meetings notes of 2007 when i was a big laugh line when those note came out saying what was kramer thinking when he felt like the world could collapse. The 2008 notes didnt make you feel much better. They came out last week. Interesting reading for us all here. Dick fisher was worried about inflation. The ticket prices at disney world were worrying him. For those who dont know, the mission has stopped trading to what . To correct the stakes in the tape meaning that there are some stocks that are too high and some that are too low. Thats what i did with my old friend erin burnett. Thats exciting. Those notes that people did reading with your take on yellen . She was the one to know. Yellen was someone who said, you know what, maybe things arent so hot. Not worried about the disney ticket prices. Ford reportedly going to ditch micro soft for back berry when it comes to the upgrading. Ford could make the switch this year or next. Ford has been plagued with Software Problems on sync. Micro soft, i dont know, blackberry. Ganging up on them today. We saw the new stake on blackberry last week. And it got a boost from the whatsapp deal. And we forget blackberry is very big in a lot of emerging nations. We kind of think of it here on the decline but they still have a huge number of subscribers. Well talk at ford at barcelona. Samsung unveiling the new smart watch. And ericson really taking it to cisco. I dont want to pile on to cisco but let me pile on to cisco. You piling on to cisco . Im shocked. Shocked . What can i say. Stocks speak loudly. I like the cisco deal very much. Im talking about the us cisco food deal. It is now time for the aforemention aforemention aforementioned stock trading. This morning we come in and theres negative news after negative news from the cms Medicare Medicaid about their new proposals. No. This was a false 6. 7 decline. These are all supposed to be town. But the companies that run this business, they seem to win no matter what. President obama take a look at that. This is where your medicare dollars are going. Secondly, this needs to be bought right now. Why . Because if you look at the 9 billion deal for that, this is what comments have been saying about the truck market and first and foremost alcoa. Pa car is the cheapst. Cummings is up almost 2 this morning. Despite theyre a very big china play and were concerned about china. But europe is coming back for truck, United States a giant truck market. Theres a big upgrade coming frr truck because of the epa. Pa car is the winner. I have to admit paccar is the one i wish i owned now. The cms stuff came out on friday. To the close. Its complicated so it might be worth explaining whats going on here. It was a year ago that we got, remember, a real scare, then there was some scanned ld in washington. It leaked. People are looking for a minus 8 cut in the Medicare Advantage proposals. That is a preliminary. In april we get the final. And i think in april what youre going to find is that humana was ripe to be up this much. Im not going to disadpree with the rally in humana. Truck market look out. This swrun of the most important hirers in america. Amazing how much we end up talking about the transportation of goods whether its coal on rail. Im tired of being about the oil being the most flammable. Its the most flammable because its the best. Interesting you mention that. Of course last week we had peps ko. What did you think in. Reengaged on the idea of trying to separate snackance beveragbe snacks and beverages. You know what cocacola would do . They could go buy fritolay as fast as they could. Cocacola trades for a premium, trade goes down. Thats not exactly what i could sinner ji. That would be shrinking to shrink. Frito lay is taking it to them. Soft drink numbers are not good. Theres a lot of talk about bloomberg was going to be right. Why is dr. Pepper the ceo sent Michael Bloomberg a gigantic pallet of dr. Pepper soda and he said that bloomberg didnt thank him because dr. Pepper probably is ground zero in the fight against soft dri s drinks. Cocacola is a Great American company. I think they should horde that cash flow to be able to buy frito lay. We have this whole idea where we kid about shrink to grow. Its being embraced by a lot of activist companies. After he announces something you had made money in each case. But i think its a great bankable executive. And if it really were to bring out value, she would embrace it. Weve spent a year on this or more. Im not about to slack her. S p 1851 this is positive for the year, just short of a record high. Do we need to stort worrying about 3 again. Not if youre a bank. The bank group has lagged now for the last month. And i think if you want to see new highs in the wells fargos in the world you need to go to 3. The answer is, those stocks have to fend on their own. The Real Estate Investment stocks have been doing well. 2. 7 to 2. 9 is something that market would welcome. New record high for the s p. What does that tell you when the ukraine i wanted you out of sochi. Ukraine is bigger than turkey and argentina and were not focus tond fact that theyre bankrupt. What are we saying . How about the fact that were going to alltime highs. What is on mad tonight . We are rice. You looked at what was the strongest in the stocks, you saw this tremendous surge, pioneer, when youre seeing this eog, this is one of the Top Ten Energy companies in the country. Probably never heard of about them. Lets find out what theyre all about tonight. Good to have you back, man. Its great to be back. It is great to be back and together. Good. Were here. All week. Thats right. How about all year. Well, that too. We could take a week, too. Lets get over to jackie. Good morning. Were watching nat gas prices. Theyre lowered this morning. We did drop under 6 dollars. Were looking from the contract to expire. Were seeing a little volpety with nat gas. But cold temperatures are on the way. A lot of demand for heat right now. Expect it to be volatile. Youve got a day where equities are moving and oil isnt showing much conviction. West texas mediate, holding there and showing support but not seeing any big swings. Traders are saying theyre looking for the data this week before they made any bets on oil right now. Gold prices and metals in general were seeing strength despite the stronger dollar. Gold is around 13. 33. This is a slow grind higher. The next tem call level to watch is 13. 38. Karl, back to you. Jackie, thank you so much. Googles director of engineering says by 2029 robots will outsmart human. If google is right how can we prevent the robot apocalypse. Its an important question. Email us and well get some of your answers a little later on this hour. As if we dont have enough to worry about in this world. Its the cost of innovation. Theyre all starting to learning, these kpushcomputers its being very scary. Will the train keep rolling . Something to ask mcadam about in a few moments. Theres tone that im hearing amongst bankers. It does seem to be a pace. Well see. Its a monday. Its not as though we have a lot of deals this morning. Weve got that one small one and weve got mens wearhouse raises the bid for jos. A. Bank. Well see, krarl. It would be an important help to this market overall as jim has said many times if we did see a robust pipeline. In the meantime it sort of puts into perspective the correction hold back that the a and sprks have been through. Back on february 3rd that was a three and a half low. Since that time s p is up 3. 6 . Over the time when the data has exploded with weather as a factor but that plays into investor psychology. What brought them back . Interestingly again as we get joined by our 10 00 colleague here, simon and sara, the ukraine does not seem to be impacting this market in a way that you might have anticipated. It didnt that long ago we were talking about turkey or argentina or venezuela and seemingly having impact ons a market. Whereas in ukraine youve got a lot of gio political question marks. Ukraine is such an important economy you have speculation raising that theres going to be an aid effort whether its the Monetary Fund saying we are prepared to step in. That seems to be whats come in the markets right now. Yeah. Dow of course has been a lagger but were up triple digits, 134. If youre just joining us on the final week of february, on a week when janet yellen is testifying on thursday, the s p this morning is at an alltime intraday home. I want to bring in Larry Sanders this morning. So much to talking about. Former treasure secretary. Great to have you. Good morning. Glad to be here. We were talking about the situation in the ukraine and how that squares with the s p today. Your broad thoughts on whats happened in that country and how it relates to decisions made in the financial world right now. Look, ukraine is hugely important gio politically. Is not of a scale of great importance for the farkmarkets. Im not surprised that theyre largely unaffected by the developments in ukraine. The challenges are going to be to get something in place quickly so that the ukrainian people see real benefits to working cooperatively with europe and the west. Its a time for emphasizing rapid assistance that reaches places where people are able to see a real impact. The primary issues in ukraine go to progress on the ground economically rather than protecting the interest of ukraines various creditors. So im sure that a comprehensive package will be undertaken. Certainly the imf has a role, but my hope could be that the world bank whose emphasis goes more to longer Term Development and structural reform would be a major source of finance to ukraine. Its been argued that its an example of the eus ability to act as an effective policy actor to a crisis in their own back yard and their ability to uphold values that are inherently european. Do you agree with that . I think it will be very interesting to see thou European Union responds. I think it will be very interesting to see what kind of leadership germany is able to provide. But i think the real key is going to be resources that are felt, provided quite quickly. Ive been through many of these kinds of exercises where a country comes out of wrenching change and usually theres very expanse i rhetoric and then it proves difficult to deliver. And my hope will be thats not the case this time. I think this is a very important test for europe. Many in europe explain theirs is not a military role in the world but is a broader support role that emphasis soft power. Now is the chance for them to demonstrate their power on those dimensions. I think if theyre able to do it would be an important sign that europe was moving beyond internal preoccupation to take international responsibility. If theyre not able to do it i think it would be a further sign of europes decline as the gio political force, something thats been of concern to many as theyve had so many internal problems managing europe. So a lot rides on this. Clearly this is going to be a big test for europe. Beonthe politics, investors are watching the economy. Janet yellen is testifying on thursday. How do you squire this idea of secular segregation . Well the key part of the argument there with respect to secular stagnation was that natural or normal real Interest Rates are going to be much lower than they have been is store cli. To the extent that thats true, it means lower discount rates applied to cash flows, that means higher price ratios and that would drive up the stock prices in real estate, which is what weve seen. But i think its important to take some satisfaction in the strong market but to recognize that its strength has more to do with higher koptization ratios than higher earnings. You recently wrote an article for the Washington Post in which you suggested that the economy could become a Downton Abbey economy. Youre advocating that there be annual taxes or rises in the value of assets on the 6. 8 trillion that the stokt market generated last year and that that be fed back to nose that are in the middle classes and the poor in terms of more than just a dollar for dollar incentives on earning more and saving more. Is that correct . Are you talking about a permanent cross right now the very large fraction of all of the Capital Gains in the economy entirely escape taxation because the appreciated asset, the stock that has gone up in value is included in an estate bequeathed to an heir. And then the capital gain disappears entirely from the point of view of the tax system. So if someone buys a stock at 10, stock goes to 100, they leave their stock to their daughter and their daughter sells the stock at 120, the gain that is paid is only on the 20, not on the whole of the 100 in capital gain. And beyond that its paid with a very substantial deferral relative to when the Wealth Creation took place pits at a preferential rate. So my argument was really a broader argument for more effective taxation. But the central argument you seem to be making about why we have this rising inquality is as you put it a generation ago you could have asserted that as the chi grew overall then the middle class incomes would grow and we would have progress in reducing poverty. Why is that broken now . What is that no longer the case . Whats gone wrong with the free market system. Its a combination, i think, of technology and globalization thats created opportunities for those with particular extraordinary abilities or who happen to be at the right place at the right time. There it is. Whatsapp last week, 19 billion, 55 employees. Thats an extraordinary thing. And that kind of thing is increasingly typical of our economy. And inevitably it concentrates wealth in relatively few hands. Do you believe that valuation is excessive . I have no idea. No idea. I have no basis, no basis for making a judgment of that kind. I knew it would be hard to get you the bite at that one. Finally you mentioned this morning that policy accommodati accommodation, you suggested that policy accommodation has kept some companies, some Zombie Companies alive. And i wonder if you had any examples on that front. No. Im not going to get into naming specific companies. I do think one of the aspects of very low Interest Rate policies is that they do tend to allow debts to be serviced very easily before they come due, and that does operate to reduce pressures for restructuring. Even as it increases the incentives for growing leverage. So i think one would prefer an economy with a stronger level of demand and that therefore an economy that could grow in a healthy way with more historically normal levels of Interest Rates. Mr. Secretary its always good to see you. Thanks so much for you time. Good to be with you. Larry summers joining us this morning from virginia. The s p is hitting a record high this morning, erasing all declines for the year. We welcome david kostin. Hes optimistic on the s p. Always good to see you. Good morning. The wall of worry, looks like investors arent concerned about the fed tapering, theyre not concerned about the data blip in. Economy from weather. Why is that . Well i think the market is likely to have a modest rise over the course of this year. Earnings are growing, the economy is growing, not dramatically, but its growing at a modest pace. That would be consistent with a market that rises in line with earnings and earnings would be rising roughly 7 this year from around 116 dollars this year versus 108 dollars last year. Thats consistent with the markets rising around that level. Were starting of a multiple of around youre not worried about that either . We experienced a draw down in january and february. The market valuation is at an extreme, not an extraordinary level but its at the higher end of a range of fair value. So really, its earnings that are going to be the driver over time. Do you think what we got, is that over . Is that it . Well, thats certainly a modest correction. Was it enough to satisfy your forecast . No. Statistically we would expect a 10 drawdown over the course of the year. We had 6 already. The idea of the economy getting better, i think some of the weather related issues have complicated whats likely to be a rocky earning season in the First Quarter. If you were to think out some of the developments in the nx few months that would be an area of caution. In general earnings are generally rising. One area weve focused on is capital spending. One of the big driefrs of uses for cash, 700 billion is what were forecasting and that would be an increase of around 8 versus last year and that puts in comparison we had 2 cap x growth forecasting 8 for the year. Went through the transcripts of the yearend Conference Calls which just completed in the last several weeks. And guidance was provided by 50 of the spenders, the dollars that theyre pending and guiding up basically around 7 . That gives you a reasonable perspective on the companys plans for spending. Does that mean that you expect to see less share buy backs, dividend boosts . Thats what weve seen. The number one use of cash really has been consistently for 15 years is capital spending. Now the amount thats redirected towards investors via dividends and buy backs ebbs and flows over time. Were still expecting a significant increase in by backs and dividends this year. How much of the recent activity surprises you . The use of cash for mna has been modest. The market valuation is at a high. In some ways it makes sense from the a strategy perspective to spend that high value currency. Do you not worry about the vun rablt of the market assuming janet yellen keeps on her path of reducing by 10 billion a month . Do you think the market is vulnerable . I worry about everything. I worry about what might happen and could go wrong. The idea of the economy getting better. The idea with the fed tapering would be the belief that does it . The data would say that the economy continue to grow. More modestly were expecting an increase through the course of the year and that would be consistent with a market rising over time towards this year, towards 1900. David its good to see you. Well see you next time. David kostin joining us. Just as david mentioned, radio frequency chip maker rf microis booifl its rifle in a deal to better compete in the mobile hand sets. Welcome to the program. Why this deal . Why now . Great. Thanks for having us. This is a great time in your spri as we continue to roll out next Generation Cell phones by bringing these two Great Companies together to have complimentary technologies that we can solve the problems that our customers are challenged with and speed their time to market. Its a great deal for our customers, employees and our shareholders. Without getting into too much detail, what does it enable you to do that you cant do already . What it is going to enable us to do is now align our technology road maps where were complimentary to be able to Work Together to now integrate those technologies so that we create a smaller farm factor for our customers. Our customers are continue tantly challenging us. How do you then stack up against the rivals . Im sorry, simon, i couldnt hear you in. How do you stock up against the competitors in terms of scale. Thats a great question. From a competition standpoint we will be one of the only competitors that can bring together all of the technology from when the signal is leaving the transreceiver to the antenna, well be bringing in the technology for the tuners and switches. Thats whats going to optimize. Were going to bring that under one roof which has not been done yet. The ceo of rf microjoining us from barcelona. Coming up on the program, netflix announcing it will pay comcast to get faster streaming speeds for its content online. Is it already the new normal . Well ask the chairman and ceo of verizon. Well join us for an exclusive interview in just a moment. Google says by 2029 kpeerts will be able to understand our language, learn from experience and outsmart most intelligent humans. How can we represent the robot apocalypse. Well get your answers on the show later this hour. Stats. [ indistinct shouting ] its so close to the options floor. [ indistinct shouting, bell dinging ]. Youll bust your brain box. All on thinkorswim from td ameritrade. Bulldog you know, not all heroes wear capes. Bulldog you know, some wear fur. And mattress discounters good deed dogs is here to help them. Meet yara. She helps veterans like marv stay independent. This is caspin. He helps wallace with things she cant do on her own. And goldie helps children with developmental disabilities, while suzie works with people in the hospital. You can be a hero, too. Give it mattressdiscountersdogs. Com, or any mattress discounters. Mattress discounters good deed dogs helping dogs help people. Which will cause me to miss the end of the game. The x1 entertainment operating system lets your watch live tv anywhere. Can i watch it in Butterfly Valley . Sure. Can i watch it in glimmering lake . Yep. Here, too. What about the dark castle . You call that defense . come on [ female announcer ] watch live tv anywhere. The x1 entertainment operating system, only from xfinity. Verizon today anuancing it will see higher margins this year, that following the completion of its deal to buy the 45 of verizon that it didnt already own. The 130 billion deal was the second largest ever. Joining us for an exclusive interview is low well mcadam. Chairman and ceo of verizon. You finally got it done. Now we dont even have to talk about it anymore. But what does it mean for your Company Given you already control Verizon Wireless. What does it allow you to do that you werent able to do previously. As you point out, the good news is theres not any sbre congratulations risks. We already have if Management Team in place. They were a great partner. It was a winwin for them and us. What it allows us is speed. We have tem douse assets between cloud and security, our mobile and fios tf and broad band. It allows us to see what the customers want, integrate the services and get them to market. We see huge opportunity. When youre talking about speed, you here not talking about what youre delivering to my phone. Its speed to market. Customers trends, just take a look. You and i were talking about health care. How you feel about the Affordable Care act is going to be very disrupt pif tif. You see security squb machine to machine, you need mobile, having broad band for security conference is important. Thats a huge opportunity for us we can mo rapidly to see customer needs and meet it why now rather than previously . It was a matter of affiliate transactions. It was, as i said, they never said we couldnt do anything. But by too time you go through and account for every revenue and capital expense. It makes us more nimble. If terms of delivering speed and band width to your customers, over this last year there was some belief amongst your customers that you had network deterioration. Absolutely. Have you fixed that or is that an issue youre going to be dealing with because you dont have enough spectrum . No. We dealt with that. That was a shortterm issue. To be honest, were a little bit of a victim of our success. We sold so much volume into some of these big markets that we had to deploy our aws spector. The change is where we are seeing speeds of five and eight meg bits, now itss not uncommon to see 50 or f 0 mega bits of download. We have the spectrum in case. In new york it was 13 cell sites we had to upgrade. We got that done and behind us. The demand is not going anywhere but straight up. We hope so. Thats why were excited about this opportunity. We have enough spectrum now and were beginning the process of refarming or spectrum as we roll off of 2 g services and mf on to 4 g. There will be an auction that well participate in. The broadcast spectrum that is supposed to take place next summer. Well so if it comes off. Hopefully it will. Do you think theres going to be enough interest there, in other words, for the fcc to move ahead with that speck strum . Yeah, i think so. If you talk to chairman wheeler, he understands without spectrum the entry really begins to slow down. Were seeing a huge pickup, thats the last thing i think he wants to see happen. In terms of the competitive marketplace, we hear a great deal about tmobile and they seem to have been taking price down and perhaps a bit of share from at t. You know, people who look at the porting ratios have not seen you guys losing share. Are you going to have to respond to the pricing competitiveness youre seeing from tmobile and at at at t . I think as i look back over my 20 years in this business, its been a very Dynamic Marketplace whether you go back to the days of mci and metro and leap. Sprint at one point was an insurgent. I see this stuff come and go. Whats surprised me is we launched share everything 19 months ago, we were the first to do the big bucket plans. The fact that that lasted 19 months before we did a refresh is a surprise. The fact that tmobile is in here and being a bit disruptive, i think its great for customers and keeps the industry healthy. Im not concerned about it. Do you believe there should be four competitors and that a tmobile splint deal would be anticompetitive . I dont think i would say anticompetitive. If i look at history, the Justice Department denied the at t deal because they wanted to see four. Theyre getting a little bit of what they asked for. Theyre seeing disruption out of tmobile with things like the installment plans and that sofrt thing. My guess is theyre going to want to see that play out. If they do approve that, there will be three competitors. Were in a great position to play our game plan. When i spoke to the man who control soft bank, he says were not getting anywhere near the speeds we should be bringing to people and when do im going to be able to bring things to life that you have no idea about. Is that right . This thats wornltdful. How do you respond to that . Unloaded networks are very fast. Lte is designed efficiently to be in the 8 to 10 sort of mega bit through put and thats what the customers are going to expect. I think youll see some innovations come around compression and make some incremental speed. If theres an investment to be made with good returns, well make it. You may be moving from some wireline to wireless. Given this environment youre describing, does cal pex need to go up . You mentioned our overall is about the same. Fios, were at 19, were starting the see the fie yos cap town. Wireless taking off there. Weve got the Financial Capability to do it. But for now the plans were seeing, were seeing relatively cap kpx. Our Company Comcast has reached a deal with netflix to ensure that netflix who would get it over come dast, the broad band actually are able to get netflix without a lot of buffering and disruption. Thats been a complaint as well of some. Are you going to get a deal done with netflix. Its not a surprise that netflix has been talking to everybody and weve been talking to them for about a year. I dont know the details of the comcast deal but i think its a good thing. Because in order to keep the internet vibrant we have to make the investments. If you see someone come in with a lot of load on the internet, the video, youve got to get it in an efficient place. Frankly paying for it, the commercial model i think will work pretty well. To me, that shows that you dont necessarily need a lot of regulation in a Dynamic Market here by doing these commercial deals well get Good Investments for both parties. Do you believe youll reach a deal with netflix . I expect we will. Im not here to preannounce or change my hand at the negotiation table but i think theres a Good Opportunity here. Its in both of our interests. I would assume given theyve done a comcast deal there are many who anticipate this is the first of a number of them. That is not an incorrect assumption . I think thats right. In terms of fios, you say the build is slowing. Google fiber is rolling out to a certain extent although i do notice they dont seem to be competing with fios. I keep telling larry he needs to work with us to make applications to prove in the fiber. Well see. Why is that . Because you can deliver as many meg to the home as they can . Its just the infrastructure an the fiber is an unlimited pipe president it depends on what electronics we put on the end of it. Their statement to me is you guys get it. Youre putting fiber into the home and youre seeing the advantages of it. You think its a realest by google or is it an effort to ensure that some of your competitors deliver what they supposed to. You would have to ask larry that. What im hopeful of is that he will come up with applications that show the need for fiber. We see great uptake of our broad band. Woe could go up to a gig easily if we needed to. The question is the consumer demand there. So what would an application be perhaps that would thing bring those kinds of speed to bear. I think its mostly heavy video. We did the 4 a into 3 d and nobody thought that worked. You hear of the wild projections of hologram and those sorts of things. But the medical is a good example of where you need fiber. When you do those three dimensional scans, you have huge files. It needs that kind of data speed. Thats what were looking. Reporter this morning you got into a bit more margin expansion. Verizon has been a story of grourt now that youre completely in control of Verizon Wirele wireless. What gives you the confidence that you can continue to expand that margin and obviously continue to have the growth that you have . Were one of the lines that we built our business or, our best was today, tomorrow well do better. Last year it deliver 5. 7 billion to the bottom line and its helped point the way for process and organization changes. So we see that number moving above 6 billion this year. Thats allowed us to close call centers and things like that. Thats why im confident that we can expand the margin as we move forward. Pif me a sense of how your relationship with with the various hand set maker, particularly a name being apple. The iphone has been offered for quite some time on verizon networks. The sub sody is that something continues to be in play . Is that a negotiation that continue to go on or are you happy where things stand . Youre always in these negotiations. These partnerships are quite complicated, same thing with google and microsoft. We are negotiated, were never happy with the sub sody and the cost of the device. Wu this new installment plan were seeing changes thedy namic of that a little bit. I would say were also looking to drive the costs down and the profitability back up. Any thoughts about what apple has got coming next . Tim would shoot me if i said something about that, david. Is it going to be more of a fios product or a head set product . As we talk with them we see opportunities as i mentioned, Health Care Needs some specific things on the phone, some machine to machine, mobile commerce is starting to take off now. Weve got our iasis platform. But were looking at their base stations on their campus so we can look at the application to make sure that the phone is harmonized with that. Ill let tim tell you about it. You also have an amount of debt. We did. You might have timed a little better on the market. Kind of just a few weeks might have helped a little bit. Do you ever look at the Balance Sheet and go, oh man we took on a lot of debt to do this deal. As we run the plans and see the Growth Potential in the u. S. , we think we can make acquisitions, we just bought the intel media service, we can do the minor applications, we can continue with your dividend, we can continue making the cap kl that we talked about. Were feeling very confident here. Lowell mcadam, thank you for joining us. Great to be what you. Nicely done david. Get a look at the markets. You see the s p 1500. Morning art. You had said the bulls had a lot running on this punch through. Does this count . We got to the 18. 51 upper end of band. We peeked through it and they decided to regroup and rest here. I would like to see them really punch through, if you get maybe another point up, up to 15. 52 or so, then wed look for some al gore rhythmic buying. That would put it in fine stead for the balance of the week. What explains the action coming in on a monday . Well i think it is meantry some presentup money. People were staying out of the way last week and it was the expiration that kind of fooled everybody at 2 00 when the first came out, thats when the market rolled over. So i think people didnt want that volatilitvolatility. They came in this morning. Did you guys see the wall street journal article over the weekend, small investors jump back into the trading day talking about more volume in the e trades of the world. Does it say that to you . Well, youre right, it would seem to be a contrary indicator. But the market on its own has got a lot more volatility. So i think were going to let it play out. Thursday will be a big day. Yellen will be testifying again. Im sure shes going to get asked about the transcripts and how much does the fed really know and what consensus this tl is now. Well look for some volatility at the end of the week. What did you make from what you read on friday and the analysis on the weekend. Are you confident at any point that the fed knows where we are . No. No . Unfortunately. Very bright and wellmeaning people. But if you look at the history and forecast, its dismal. Were going to get some retail earnings and im sure the weather is going to be a factor yet again. Where do you come down as to whether it was a legitimate disturbance in macro activity or not. Well im a little skeptical. It might have been related active. But it looked to me like we were hitting a soft bump in there. It will be interesting when the fed gets together how they discuss it. What about this mna, a big theme for us, the fact that were seeing large deals across a number of industries. Does that resonate with traders, with investors. It would resonate a good deal more if they were cash deals. People are using their own stock as currency. So that sometimes indicates that they think theyre near or fully priced. Overvalued perhaps . I didnt want to say that. But if you thought your stock was cheap you wouldnt be giving it away. Good point. You would be using cash with rates at zero. Cash should be the preferred. So often you come own and seem to be very wise and experienced but oftentimes much more cautious than the other guests we have on. Why do you think that is . As i told you, ive been doing this for 50 years. To survive for 50 years, the first thing i look at when i enter a room is the exit sign. When i get into something i want to know how i can get out of it. Some of these signs, the use of stock at these levels, theyre little minor kaush nair signals, thats why i dont want to go all in as they say in poker. Back to worrying about 3 real quick before we let you go . I would be a little bit concerned. Well watch. The ten year is going to be a great direction. Well see you soon. Thanks again. Up now 150 on the dow. Lets send it over for a market flash. Check out disney, another record high. Its excepted to be benefitting from the bad weather in the northeast. Some analysts think heading toward disney world. They raised their prices at the theme park. You can see the shares up by 1. 27 . Thanks so much. Coming up on the show, ukraine still on edge as its ousted president now wanted for mass murder. Can the other countries get the money in fast enough to keep the country afloat . Well go live on the ground with a special report and get some answerer from former president janeclaude tra shay. What have you got our eye on today . Theres three words i dont think i can say enough. And i really believe until we find the answer nothing we do is going to be enough. Its jobs, jobs, jobs. Do you real tlaz that the ag grae gait has added a 12 mrs. Handle . Thats all in about 15 minutes. Tdd 18886282419 searching for trade ideas that spark your curiosity tdd 18886282419 n take you in many directions. D 18886282419 you read this. Watch that. Tdd 18886282419 you look for whats next. Tdd 18886282419 at schwab, we can help turn inspiration into action tdd 18886282419 boost your trading iq with the help of tdd 18886282419 our live online workshops tdd 18886282419 like identifying market trends. Tdd 18886282419 now, earn 300 commissionfree online trades. Call 18886282419 or go to schwab. Com trading to learn how. Tdd 18886282419 sharpen your instincts with Market Insight from schwab tdd 18886282419 experts like Liz Ann Sonders and randy frederick. Tdd 18886282419 get support and talk through your ideas with our tdd 18886282419 trading specialists. Tdd 18886282419 all with no trade minimum. And only 8. 95 a trade. D 18886282419 open an account and earn 300 commissionfree online trades. Call 18886282419 to learn more. Tdd 18886282419 so you can take charge of your trading. Theyre the days to take care of business. When possibilities become reality. With centurylink as your trusted partner, our visionary Cloud Infrastructure and Global Broadband network free you to focus on what matters. With Custom Communications solutions and responsive, dedicated support, we constantly evolve to meet your needs. Every day of the week. Centurylink® your link to whats next. Then dont miss sleep trains wbest rest event. St ever . Youll find sleep trains very best mattresses at the guaranteed lowest price. Plus, pay no interest for 3 years on beautyrest black, stearns foster, serta icomfort, even tempurpedic. And rest even better with sleep trains riskfree 100day money back guarantee. Get your best rest ever from sleep train. Superior service, best selection, lowest price, guaranteed. Sleep train your ticket to a better nights sleep. What is 72 hours it has been in ukraine. The countrys president has been ousted. Heys now a fugitive on the run, wanted for mass murder. Our michelle is live in kiev with a special guest. Hey, michelle. Reporter hey, there, carl. So in the last hour weve seen more sbrens rhetoric coming out of russia and theyre making very clear how unhappy they are with the events that transpired over the weekend, the ouster of former president victor yanakovych. They call him in the former president here. In the eastern part of ukraine they still call him the president. And in fact before he went into hiding he said that he was still the president of this country. The foreign minister saying there has been terrorists actions taken against the decenters over the weekend. And the Prime Minister saying last hour that he doesnt necessarily see the acting government here as legitimate. Now that acting government, the Parliament Sat down about an hour ago trying to get this country back in shape. Theyve set aside some money in the last hour so they can hold a new election. But the real task is theyre going to have to get some kind of bailout because theyre facing some liquidity crunches here. I had the opportunity to peek with one of the members of parliament who is also sits on the financial committee. We had a long talk about all of the issues this country faces. She says priority is to get some kind of bailout. If we see this as a choice between the eu and the imf and the western nations or taking a bailout from russia, what happens if they choose the eu and then russia then threatens them. Heres her response. Russia is, was and will be always a very Strong Partner for ukraine because of the cultural, historical and just personal reasons between two countries. But i do want the hopes that after, russia and the russian people will understand that ukraine reclaimed its Freedom Forever and we want to be equal partners and wae want to view constructive relationships. And we dont want anybody to tell us any more what to do in our country. Reporter the rest of the world sees us as east versus west. Very few here in ukraine see this way. They see this as the fight between corruption. They believe that they need russia and the eu. Well see how it plays out. Michelle, thank you. Lets stay with the ukraine. The white house, the imf and the european yuan ron are scrambling to find a way to get cash into that bankrupt country as Vladimir Putin freezes their package. Can the west move that fast november to prevent the ukraine from splintering . Were joined by jean claude trichet. Hes in arlington where wes just achieved a Lifetime Achievement award. Welcome to the program. Congratulations on the award. Thank you. Nobody knows these institutions like you do. Can the imf get money in fast enough when it want to attach conditions to the money and you have a crack qume in which that may not be able to happen . My understanding, as was said before, is that there we have an immense problem, very, very difficult is both and medium and long term. On the short term basis its clear that the country is about to be bankrupt, and that is of course something which has to be cared for immediately. On the other hand it is absolutely clear that ukraine needs long term investment, long term restructuring and that would be called for also the world bank to be involved and not only the imf ap ebb i a vls to say, of course, that help coming from both the western part of europe and the European Union through many possible means and help coming also from the main trading partner, russia, would certainly be very, very important. But i would insist on world bank as well as imf to be in the picture. What is interesting is you didnt mention the United States at any point in that answer. Does the United States involvement complicate this situation . Russia sells its gas through pipes that run through the ukraine to western europe. Russia has the black sea fleet based in the ukraine. Would it help if the white house were to move to the edge so that putin doesnt see it as an act of aggression . Quite first of all let me say that of course i am not an expert on the United States strategy. What i only would echo is that what i understand from the ukrainian themselves is that they consider its not a problem of east versus west or west versus east. And they dont want to be involved in that. They have the sentiment that they put out of power corrupt leaders and incompetent leaders. And thats true for all of ukraine. And i would expect there would be good understanding by both the United States of america and of course also the European Union as well as russia that it is in the overall global interest to treat them as a country that has an enormous problem and must be help restore i would say peaceful, productive, competitive position. And we are very far from that in all dimensions. Mr. Trichet, let me ask you about the you ro zone. Do you think your successor will have to embark on quantitative easing . Can he technically embark on kwan taye that easing . What would it look like . Would it look like what bernanke did in this country . I would say first that we have embarked since the very beginning of the crisis. And if i am given this role here it is precisely because as soon as 2007 we embark in the unlimited supply of liquidity to all of our banks. And that of course is the way the european had utilized the weaponry of liquidity supply. So all banks in europe has unlimited access to all of the liquidity they need provided, of course, they have collateral. Now, it is our way until now to do quantitative easing, if i may, which is easily explainia e explainable. The so we utilize the beast men on both sides of the atlantic. I dont exclude that the European Central bank could embark in some kind of injection of liquidity supply on top of this unlimited access that all banks have and that could take some form. For instance, not with the treasury market, purchases that i organize myself when i was president. But, dr. Trichet, this is obviously the single mandate of the ecb, do you see a danger of inflation in the eurozone and therefore the ecb needs to fight to bring that inflation rate higher . Im not sure i understood fully your question. Well, im just wondering do you see a danger of deflation in europe with the very low annual inflation rate much farther below the 2 target of the ecb . Yeah. First of all, you know that the 2 target is a medium longterm target over the first 15 years we posted 2. 0 which is exactly the definition of price stability that we have. But it is true that we are at low level, extremely low level now. I have to say part of it comes on the price of energy very low. And of course this is not, i would say, bad because it is an extension move when you have very low price of energy. On the other hand we have all the other countries regaining their competitiveness and therefore its no more of a unit of cost moving very slowly if not negatively from time to time. And of course that follows some National Inflation index to be very low. But all that taken into account its clear that the ecb has to fight against deflation as well as against inflation. And this is something which im sure the ecb fully taking into account. Before we let you go, mr. I trichet, what Central Banks know at any given point in time on the way in which you act. You said rightly you were the first out of the gates in 2007 with the liquidity to the banks, but there are other decisions raising interests rates since 2011 making Taxpayers Fund the banks or the Bank Reconstruction around europe. And at the same time seeing greecian take a haircut and ultimately id dit, how do you look back on the period when they used to describe you as the fifth most powerful man in the world and the decisions that you made through that period . Well, first of all my own understanding is that with this crisis of the advanced economy, we started in 07, but culminated in 08 with the collapse of lehman brothers, i would say that we are risking the worst crisis since the first world war. A crisis which could have been worse than the 2930 crisis. Thats my own understanding. And under these extraordinary difficult circumstances the Central Banks i really trust that two very rapidly, extremely bold decisions on a National Basis of course, in the u. S. , in europe, also on coordinated basis. And we avoided this dramatic catastrophe. Always difficult to make, but i really trust that the combination of boldness and swift decisions taken by all Central Banks all over the world plus the commitment of governments and of the taxpayer, we have to mention that of course committed to avoid this dramatic, we did not avoid a Great Recession and we are still paying a price for the fragility of the Financial Sector in the advanced economy. We are not out of the wood. For sure. For sure. Its good to see you, sir. The former president of the European Central bank. Thank you for your time. Thank you. Were seeing lower treasury yield at this hour. Lets go to Rick Santelli with the santelli exchange. Good morning, rick. Good morning. Of course jeanclaude trichet is one of the characters of the credit crisis and obviously controlled the second largest central bank in the world. So listening to his words really, i think, makes me ponder the notion that if you have a person who has food poisoning, the best way out of this, and it isnt pretty, is basically to purge. And i think when i look at whats going on still in europe, and i think about we always talk about carry trades in terms of dollar yen, theres carry trades going on in europe with toxic debt. And without a purge the festering continues. You know, listen to jeanclaude trichet talk about things like deflation, its a big topic at the imf. I think about countries like portugal. Okay, portugal actually is doing pretty well because of energy exports. Theyve helped their Balance Sheet from a debtor to a surplus with regard to current account, however its not something thats going to last forever. And the reality is is that what jeanclaude trichet and the imf are looking towards as deflation is really more reform. Theyre nervous wages are going to go down. And i understand that, but the problem is all these years bought by the Central Banks in this country and in europe to do reforms, well, it hasnt been reforms. What its been about is this kind of debt carry trade. So all these low Interest Rates or easy money loans engineered have caused most of the banks in the eurozone, particularly in the southern countries like spain and portugal, to purchase their own debt and carry trade because on the books its considered risk free. But it isnt. And all of that continues to go on feeding the beast. Instead of actually supplying credit to incubate businesses, they need this to keep the banks afloat. So as ive talked about many times whether its the u. S. Or europe, its about the transmission. Ofblg we can generate lots of liquidity, but central bankers take care of banks. And whether its through the carry trade or through issues that basel will finally bring to light, the real notion is if their longevity is all that matters, i dont see where the job creations going to come from. And if we cant let jobs and wages move down to find that purging level, i dont think its going to get fixed. So maybe it will turn into a japan with regard to europe, but whats worse is that the debts in the system versus owned by the people. And the unemployment in japan all those years of stagnant growth was a fraction of the 12 we continually see from the entire 2013 in the eurozone. Back to you. 24 for the under 25s, rick, thank you very much. Lets send it over to seema mody for a quick market flash. Pfizer stock moving higher after the drugmaker said the pneumonia vaccine treatment for adults 65 years and older met its clinical objectives. The vaccine is designed to prevent pneumonia dock kal diseases. Moving up by 1. 25 . Back to you. Seema, thanks so much. A backup at a major eastern port could Impact Retail sales. Were at Port Elizabeth in new jersey this morning. Hey, morgan. Hi. Good morning. Yet, were at mars terminals here in new jersey where you can see behind me trucks are picking up cargo. Now, theres a line forming here although its not too bad. But in the last couple weeks we have seen these lines stretching back as far as a mile and a half to the jersey turnpike. Its been causing massive wait times. Now, mars terminals is one of the largest ports in the country, so the big delays weve been seeing here have big ripple effects on everything from autos to foods to petroleum to food supplies. Now, on the worst of days weve seen three to fivehour waits for truckers. Thats when the ports have actually been open. To put that into context, up until now an hour was considered bad port traffic. And as far as extended delays are concerned, the last time we saw anything like this was after hurricane sandy. Now, that was two weeks worth of delays. This is going on two months worth of delays. The delays mean that factories have less Raw Materials for manufacturing on the consumer side were looking at less products on store shelves. This is an issue affecting everybody from the small east coast mom and pop to the larger retailers like home depot who did actually decline to comment on this problem. Now, kelly cope of the Retail Industry leaders association, she had this to say. The destructions that have been taking place at the port have had damaging consequences on the delivery of retailers goods. Retailers are concerned further disruptions will take place resulting in lost sales, empty shelves and disappointed customers. Why are we seeing this problem . Its twofold, obviously the bad weather, cold temperatures and piles of snow that have caused closures and much longer than expected pickup times. Also were seeing a labor shortage, thats thanks to gridlock over hiring of more unionized longshoremen. This is really racking up steep costs especially for Logistics Companies and Truck Drivers themselves who only get paid when they make deliveries. Less deliveries, less money. So its exacerbating another problem, labor shortages in the Trucking Industry as well. Now, were keeping a very close eye on this. The trucks right now probably looking at about halfmile line. But with the bad weather coming in, we can expect to see more wait times and more delays later this week. Thanks, back to you. We talk a lot about the wheels of commerce. Thats a good snapshot of it right there, morgan, thank you so much. Guys, see you later on. David thanks for bringing us mcadam. Heres what you missed if youre just joining us. Welcome to squawk on the street, heres whats happened so far. The stock market is likely to go with the economy almost 7 a year. Add ebay taking two of the bigger names in technology, one of course mark an dreson and the other is scott cook. This is a powerful force that can be integrated immediately into the facebook ecosystem that makes it so 1. 2 Million People to use it every day. Theres the opening bell. This is a new record intraday high alltime for the s p. I think the challenges with respect to ukraine are going to be to get something in place quickly so that the ukrainian people see real benefits to working cooperatively with europe. This is a great time in our industry as we continue to roll out next Generation Cell phones by creating a merger of equal and bringing these two Great Companies together. The goods news is theres not any integration risk. We already have a Management Team in place. Vodafone was a great partner. I think this was a win win for them and us. Good monday morning. Were live at post nine at the New York Stock Exchange with a check on the marks. If youre just joining us, the s p hit an alltime intraday high this morning on some news where a lot of investors came back to the markets after sitting out some of the volatility of last week. Theres a look at the dow, s p and nasdaq this morning. Coming up later this hour, netflix agreeing to pay Nbc Universal parent comcast for faster speeds for video service. Well explore how this could change the landscape for content providers. There could be a lot at stake for verizon in the wake of Netflix Comcast deal. Heres what they told our david faber. And just days after the messaging service bought by facebook, a live report from the mobile World Congress in barcelona. Meanwhile netflix and comcast, as carl just mentioned, striking a deal to improve streaming for comcast broadband customers. Quite a surprise move, but no doubt an impactful one. To discuss it cnbcs Julia Boorstin joins us to break it down. Thanks so much, kelly. Thats right. This deal aims to be a win win for netflix and comcast giving subscribers of both Service Better Quality Service addressing concerns that netflix customers suffered from slowing broadband speeds from comcast as well as verizon. With the deal netflix and comcast will cut out the middleman. Netflix paying comcast to establish a direct connection to the Internet Provider improving the infrastructure to make Data Transmission more efficient. A valuable partnership between the nations largest Internet Provider about to become much larger and the streaming Video Company which can account for as much as onethird of all u. S. Internet traffic. Now, although there are similar arrangements between similar streaming giants like youtube and hulu, this is the first time a content company like netflix has paid an Internet Provider like comcast directly. But this deal should not raise netflixs costs in any meaningful way. Until now netflix has been paying intermediaries to help deliver that data. Those are intermediaries like cogent whose stock is suffering today on the news and analyst downgrade about the deal and other deals that could follow. As for whats next, this morning on cnbc verizon ceo loul mcadam said it is in talks with netflix about a similar deal calling the agreement positive for the whole industry showing that collaboration can be done without government intervention. Mcadams says this does bode well for regulation of related issues like net neutrality. Others have noted it could also help comcasts case for its Time Warner Cable acquisition showing that its playing nice with rivals. Carl. All right, julia, thank you for that. Julia boorstin in los angeles. Want to get reaction to the Netflix Comcast deal from john steinberg, a man who joined us last week talking about this kind of issue. Wlo do you blame, your provider or netflix themselves . Does this mean netflix had a problem . I dont think theres anyone to blame. When the news came out on sunday night, everyone was saying netflix is going to have to pay more. Theyre not actually going to pay more, theyre going to pay the money to somebody different. Theyre paying directly to the cable providers instead of cogent or intermediary. My gut is it will be cheaper pricing to buy direct from these providers. Whats interesting is how much the tv landscape has changed. Cable channels used to get paid affiliate fees. Now were seeing Cable Networks paying a fee to time warner or comcast or whoevers parent. It puts Cable Networks in a better position as they were the debundling and over the top before. That was going to be my question because previously weve always seen content companies with greater leverage. What lench does this put back in the hands of distribution . I think it puts a lot more leverage. Even though they came to a deal, they basically had to come to a deal. There isnt any kind of free flowing ability for an over the top provider to get into peoples homes. So if i was a regulator looking to get into this situation now, i would say wow seems like old rules are in play and being in as many homes as possible does give you leverage. Comcasts big argument in favor toward the regulators was saying we have no market overlap with time warner. That doesnt really matter. All that matters now they got a lot of homes, they have to be able to get paid a fee if theyre going to let people into those homes. Same dynamics are in play. Does this protect netflix from the risk of losing sub who is are irritated at how long it takes to watch a show . I think basically the costs are going to be the same or less. I dont think theyll be paying anymore than they were. And, yes, i think theyre going to be delivering to homes better. Whats bizarre is Cable Companies are always arguing to higher band with packages. Every time i turn on verizon it says upgrade to this. That doesnt make the difference. Were learning about the interconnection facilities that really determines how fast you get your netflix or youtube or hulu. So i think the pricing dynamic in terms of what you pay for broadband will change a bit as people learn thats not really what matters, thats not what drives speed into your home. This deal potentially paves the way as julia said as a deal with verizon, a deal with other Cable Companies. What happens to the likes of cogent, to some of these intermediaries where the costs are shifting directly from them to the Cable Companies . They lose out here. Well, when youre small to your player like netflix used to be, you deal with cogent. Then when you get giant enough moving like netflix does you go directly to a verizon or comcast. I think as more and more stuff goes over the top, as there are more and more applications, like an app we will talk about that had a threehour outage, all these people that will need bandwid bandwidth, cogent will see them as a customer. Interesting stuff. We heard Lowell Mcadam say hes not going to negotiate a deal in Online Television but thats where the industry is moving in that direction. Certainly seems like this is the wave of the future. Thanks for having me. Jon fortt is in barcelona where one of techs biggest events of the year kicked off today. Jon. Yeah. A lot of emerging markets talk and whats app has a lot to do with that. We caught up with the ceo of whats app this morning. Of course facebook making that 19 billion purchase announcement last week. He talked in keynote earlier today about the fact that hes reached a 465 million monthly active user threshold, 330 million daily active users and said voice messaging is coming to whats app in q2. Thats before summer, android and ios to follow. Its not just whats app Facebook Though Marc Zuckerberg will be talking about that in the coming hour. Nokia announced the x phone, thats going to run a variant at android that looks like a Windows Phone made to target lower end phones, that window phones operating system that nokia largely uses hasnt been able to target until now. I also caught up with a ceo of a carrier that operates in russia, ukraine, bangladesh, lots of emerging markets. Heres what he had to say about the fact that the phone itself will become piggyback and a primary payment mechanism in the very near future. Take a listen. These developments you will see in our market. You will see it in pakistan, bangladesh. You will see some of it in ukraine and the rest of the cis and probably to within the year actually hes saying the phone will become like the atm thats wub of the things a lot of people here will be talking about, guys. Back to you. Jon, thanks so much for that. Jon fortt in barcelona. What does this mean for facebook and whats app . We turn to john steinberg, a onetwo punch, a deal and nice move forward in innovation. Its great. When i was on whats app deal day i said they are the phone company of the future. I had no idea they would be rolling out phone service in a matter of days. It positions them like an analogy unlike netflix, were going to have whats app and say if youre going to push voice over our lines, images and stuff, we want to be paid for that as well. Now phone companies are going to be further down pipe for voice and sms. Thats a big deal, i think. How embarrassing maybe for koum had to apologize at the biggest gathering of the year. This is just what happens. Services that are in this state which are growing fast, i cant imagine. He said it was a router issue, i cant imagine thein flux of users theyve had over the last few days with the all the coverage. I think ultimately not that big of a thing, however telegram is a new service that launched over the past few days. Its ranked number four right now in the app store. Lots of geeks and early adopters are on it. You can see right there whats app in the eighth position. They added 4. 5 million users the past couple days. I dont know how much i believe that but shows you how much these Services Change and new up and comers are hustling in there. There are some competitors in the voice space like viber, skype, already gained a foot roll. Do you think whats app can breakthrough that . Thats the question, how much of a lead do the externalities make. How much leeway does that give them against the competitors . Albert wenger, a blog post up this morning on his blog continuations saying they massively over paid for whats app. His argument is with all the numbers in your phonebook, the minute you boot up it pulls over your friends and makes it easy to switch. Its a bit of a different competitive face. What do you think facebook will do with this . Weve had the debate is zuckerberg just creating a holding company, can he integrate whats app with facebook . Will there be a facebook phone . And how far down the road are you looking at how they will integrate . I think when you look at google, facebook, youre seeing the conglomerates and facebook and whats app in my opinion has the phone company. Google may try to do something with google voice or google plus, but everybodys going into each other spaces in next generation of Home Services and Media Services and things of that nature. Covered a lot of ground in 12 minutes. Great to be here. Thank you so much. Lets send it over to seema mody and get a quick market flash. Hey, carl. On this update there are a couple of losers. Check out 3d systems, stock taking a hit after bank of America Merrill lynch downgraded to underperform from buy. It says it sees the companys top line growth coming at the expense of margins. The stock down 4. 6 . Kayla. Thanks, seema. The most important things Lowell Mcadam told david faber in an exclusive interview. Youll hear them next. And googles director of engineering says by 2029 computers will be able to understand our language, learn from experiences and outsmart most intelligent humans. Scar ri thought. That brings us to this mornings squat on the tweet. If google is right, how can we prevent the robot apocalypse . Well get to some of your answers later this hour. [ male announcer ] once, there was a man who found a magic seashell. It told him what was happening on the Trading Floor in real time. The shell brought him great fame. But then, one day, he noticed that everybody could have a magic seashell. [ indistinct talking ] [ male announcer ] right there in their Trading Platform. [ indistinct talking continues ] [ male announcer ] so the magic shell went back to being a. Shell. Get live squawks right in your Trading Platform with think or swim from td ameritrade. Which will cause me to miss the end of the game. The x1 entertainment operating system lets your watch live tv anywhere. Can i watch it in Butterfly Valley . Sure. Can i watch it in glimmering lake . Yep. Here, too. What about the dark castle . You call that defense . come on [ female announcer ] watch live tv anywhere. The x1 entertainment operating system, only from xfinity. Close to highs of the day here. Health care among the top performers in the s p. Seema mody is back at hq with more on that. Humana the leader after proposing Health Department rate cuts may not be as bad as the company had anticipated. Youre seeing United Health care, wellpoint and etna all moving higher on the day. Kayla, over to you. Thanks so much, seema. Telecommunications giant verizon, david faber spoke exclusively with Lowell Mcadam and has highlights. The news was supposed to be the vodafone deal closing, but of course interesting to have someone like that on the day. Interesting of course. Lowell mcadam is chairman and ceo of verizon, the company kayla just mentioned having close add gigantic acquisition of the 45 of Verizon Wireless it didnt already own. Putting much in line with many analysts who followed the company had anticipated. In part because of the News Headlines it was a key question to, will netflix get a similar deal it got with comcast. I would expect that we would. Im not here to preannounce. Im not here to change my hand at the negotiation table, david, but i think theres a Good Opportunity here. Both reid and i have talked about it and think its in both of our interests. That being reid hastings. Were talking here about the fio service of verizon which they had more or less now completed in terms of passing. I think he mentioned about 19 million homes that wanted to get to originally 20 Offering Services there. It is still growing. That is the key in terms of their delivering broadband to the home. Of course the key for the company is delivering Wireless Service to your phone. Earlier this year in the new york city area verizon did have some issues in terms of its network quality. Its always had perhaps the best reputation in that quality, but had been suffering perhaps from its own success with the proliferation of lte phones. I asked mcadam whether that has been fixed. We dealt with that, that was a shortterm issue. And to be honest we were a little bit of a victim of our success. We sold so much volume into some of these big markets that we had to deploy our aws factor. Now, the change is where we were seeing speeds of 5 and 8 megabits, now in new york if you have an aws phone, its not uncommon to see 50 or 60 megabits of download. But that will change in time. Download a lot of video if youre getting 50 to 60 including a lot of data of course as well. One of the keys here, carl, will be can this company continue to grow . Can it actually with all the price competition from the likes of tmobile and at t and sprint continue to carve out the market share position that it has . Well see. He made a lot of mention of the Health Care Industry as being perhaps an area of growth for verizon. Holograms. Yeah. Affordable care act and what its requiring of doctors. Exactly. The sending of video images for medical purposes and machinetomachine. He came back to that a number of times as a potential growth area. Not a traditional area you would expect a Telecoms Company to go into. He kept mentioning the internet of things in regard to health care and how everything will be more interconnected. I thought it was interesting how he was talking about the position within the tel cospace and how he thought the fcc was getting exactly what it wanted with regards to tmobile and how competitive theyve been on the pricing side as well. Yeah, which seemed to point to his thought it would not be allowed in terms of four to three being tmobile and sprint a deal being off rumored and off discussed by those two participants. We shall see. Regardless, they are the leader, they are fighting it out every day with at t probably more than they are with sprint and tmobile, but that has become an issue. You try to get him whisper what was in apples pipeline and he said tim would shoot me, which im sure he would. He did turn a little red there. I was hoping maybe we got something. The key is it a fios product, meaning on the wall, a tv or is something new coming for inside your pocket . We shall see. Well see. Thanks, david. Lets get overseas and get the latest on the upheaval in ukraine. Our chief International Correspondent Michelle Carusocabrera is in kiev. Hi, michelle. Hey there, carl. Night has fallen. Its about 6 00 p. M. Here. And despite very cold temperatures, the square behind me, independence square, is full. A religious ceremony has just ended and now we hear folk singers beginning to sing. Theres been quite a lot of activity here. Theyre not leaving until theyre convinced that theres going to be a government in place that is going to sign a deal with the eu and the west. Its been a very tense situation here. And the parliament knows that. They are under pressure. They are within seeing distance of these protesters. They got underway here two hours ago trying to form a government and try to deliver on the promises that the protesters want, or the demands that the protesters want. The question is are they going to be able to put together a government and actually be able to negotiate a deal thats going to help this country out in terms of its liquidity needs . Now, i had a chance to speak with one of the heads of the banks here, the ceo of platinum bank, think of it like a capital one of ukraine. Hes also the founder of the ypo organization, young president s organization. Thats how we got to know him through our association there. And he explained last week it was pretty tough to be a bank here. That he didnt say there were runs on the banks, but depos depositors were very concerned. They were withdrawing some money and there was some worry. He felt the central bank was not fulfilling its role. Listen to what he told me. Last week the banks were pretty much on their own especially towards the end of the week. Thats a huge shortfall for a central bank. Thats a huge failing. I think given there were political they had different priorities clearly. How relieved are you now . Extremely relieved. I think fulltimely this country is going to be on the way to realize its true potential. Theyre hoping for a much more technocratic central bank they think will be better at fulfilling their mission, the basic mission of what Central Banks supposed to do, be a lender of last resort in tough situations like we saw last week. Carl, back to you. Trying to do all of that very quickly too. Michelle, thank you very much. Michelle carusocabrera in kiev. Is the worst over for fertilizer stocks . The ceo of potash in a live interview in a moment. And ecigarettes coming under fire from those seeking strict regulation of the product. The president of one ecig company is coming up later on squawk on the street. Announcer where can an investor be a name and not a number . Scottrade. Ron im never alone with scottrade. I can always call or stop by my local office. Theyre nearby and ready to help. So when i have questions, i can talk to someone who knows exactly how i trade. Because i dont trade like everybody. I trade like me. Thats why im with scottrade. Announcer ranked highest in Investor Satisfaction with selfdirected services by j. D. Power and associates. [ car alarm chirps ] [ male announcer ] we dont just certify our preowned vehicles. We inspect, analyze, and recondition each one, until its nothing short of a genuine certified preowned mercedesbenz for the next new owner. [ car alarm chirps ] hurry in to the mercedesbenz certified preowned sales event. Visit today for exceptional offers. Visit today for exceptional offers. Return on investment wall isnt a street. Isnt the only return im looking forward to. For some, every dollar is earned with sweat, sacrifice, courage. Which is why usaa is honored to help our members with everything from investing for retirement to saving for college. Our commitment to current and former military members and their families is without equal. Welcome back. Fertilizer companies endured a volatile 2013, but the industry is taking steps to become leaner and more efficient. What does that mean for profitability in the longterm . Joining us now for a cnbc exclusive is the president and ceo of potash, bill doyle. Hes in hollywood, florida, for Global Metals and mining conference. Volatility was the name of the game in 2013. Your earnings fell 45 at the end of the year, we saw issues with pricing and demand and weather. What was the biggest culprit . Well, i think pricing took a skid there in 2013. We had a drop of about 30 . Some International Competitors took off on a different tact. And it impacted our pricing worldwide. Do you think the price of potash has bottomed at this point . We got some more upbeat guidance from your rival, mosaic, a couple weeks ago saying something to that tune. Do you agree . Yeah, i do. Weve seen it during the Fourth Quarter of 2013. Weve had a reengagement from our customers here so far in the First Quarter of 2014. Weve actually seen price increases in brazil, Southeast Asia and spot markets also in the United States. So we are seeing a rebound in pricing now. So whats contributing to your relatively weak outlook then for this year . Well, you know, we just think that the big issue for us is emerging market growth. And the big key for us also is india. If you look at where weve been since 2008, the International Market has actually grown about 3. 7 compound annual growth rate. But with india out and actually at a very much lower rate due to subsidy issues and politics in that country, india has been a big negative. So we dont see india returning until after the election, which is may of this year. Then theyre going to have to put new ministers in charge. But its not a question of if india will return to the market, its when. Because the ergonomic needs of their country is huge and theyve been neglecting soil fertility for many years. India is inevitably coming back to the market and that will only help our sifgs. So with so much exposure to china and india amid a broader macro backdrop where growth is slowing, you dont think you need to be pulling back from those markets at all . No, i dont actually. And, you know, agriculture is a longterm business. And the fundamentals of agriculture are such that you need to keep up your agriculture science profile. Make sure youre doing your basic blocking and tackling so to speak in educating farmers around the world. We think those big Large Population markets are going to continue to need expanded food capabilities. And thats where we come to play. Bill, you talk about the rebound in pricing. With the winter weve had, a lot of these distribution issues make people think pricings not done. Is there more room to run . I think so, carl. You know, were seeing a squeeze here with the railroads. Weve had a lot of problems when you start loading those trains, the air brakes freeze up when you get to minus 30, minus 40 up in canada. And then weve had problems with a lot of snow interruptions and what the melt does to the Mississippi River and the river basins in the u. S. Theres a lot of concern on the distributors part about getting material in place on time for the spring. So there is going to be a squeeze, especially for those producers that are not well placed with Distribution Systems like we are at potash corporation. We have over 150 warehouses and tremendous railcar system. Were ready to go. And it will help us this spring. Speaking of squeezes, you canadians ever going to let americans ever have a medal in hockey . You know, someone said the hockey gods that remain firmly entrenched north of the border, so were very happy about the outcome. Sorry about the u. S. Boys getting beat 10. Good goaltending always wins, carl, you know that. Yes, welldone. Congratulations. Well see you next time. Thanks so much, carl. Bill doyle with potash. We want to bring in simon hobbs counting down the close in the uk and continental europe. An awful lot of green on the screen. The weather in germany is doing the exact opposite to this country. Its been very mild one reason why german Business Confidence has risen to a 2. 5year high unexpectedly. And wall street of course has pulled this higher. Its also continuing m a action or talk within europe. These two actually, i was hoping to show you those two are the Largest Consumer retailers in the uk and talk they might merge. Volkswagen is down today buying swedish truckmaker that it didnt already own, a capital increase, a more muted outlook. So volkswagen hasnt had a good day either. Hsbc, the big bank, earnings have disappointed on the cost cuts and indeed on the revenue side. Are we able to look at hsbc . George gave an interview over the weekend where he would be interested in bailing out banks in order to own a bigger part of them. And the dutch part of at t has plunged today as a result of the having right down on at t after u. P. S. Failed to buy it. The other thing i wanted to say to you guys is ramsey, the new Prime Minister of italy, has just given his first address to parliament in which over 70 minutes laid out his plans. There will be a confidence vote later. The main things were courage and innovation. Still a lot of hope riding there. A long way from florence, simon, ill tell you that. Thank you, simon hobbs. When we come back, u. S. Equity strategy tom lee of jpmorgan chase. And googles director of engineering says by 2029 computers will be able to understand our experiences and basically outsmart most of us. Brings us to this mornings squawk on the tweet. If google is right, how can we prevent the robot apocalypse . Email us at squat street. Well get your answers later this hour. Ty difficult thing to. But, manufacturing in the United States means advanced technology. We learned that Technology Allows us to be craft oriented. No ones losing their job. Theres no beer robot that has suddenly chased them out. The technology is actually creating new jobs. Siemens designed and built the right tools and resources to get the job done. Hi, are we still on for tomorrow . Tomorrow. Quick look at the weather. Nice day, beautiful tomorrow. Tomorrow is full of promise. We can come back tomorrrow. And we promise to keep it that way. Driven to preserve the environment, csx moves a ton of freight nearly 450 miles on one gallon of fuel. What a day. Cant wait til tomorrow. Which will cause me to miss the end of the game. The x1 entertainment operating system lets your watch live tv anywhere. Can i watch it in Butterfly Valley . Sure. Can i watch it in glimmering lake . Yep. Here, too. What about the dark castle . You call that defense . come on [ female announcer ] watch live tv anywhere. The x1 entertainment operating system, only from xfinity. Take a look at the markets. This is the high of the day, the dows up 162, s ps up almost 20 to 1855. Its never been higher. Lets bring in tom lee, the chief u. S. Equity strategist for j. P. Morgan. How are you guys . Happy monday to you. Happy monday to you. Barry, what is going on . All the uncertainty about the weather, why is money coming in right now . Well, i think that the if you look deeply, what you see is, yeah, theres been some pressure on the consumer part of the economy. Theres been some pressure on housing. But the trend that we thought would be most investable this year and really was indicative of improving Business Confidence and really would drive growth through this year and probably beyond capital spending, those data points all look pretty good. So i think most people are generally willing to look past that. The comeback of the industrial sector in particular, the strength of tech through the course of the year, we had a conference last year and we got a lot of little good data points out of it. And i think people are willing to look past all this. It does undoubtedly mean well get worried about the fixed income market again. And we will come back under some degree of pressure around yield curve flattening and that sort of thing. But the overall underlying economic tone we think is pretty good. Tom, do you see any reason to believe that its not . We have the Retail Investor finally coming back in a big way, but usually that happens right before the market starts to break down again. Do you see that happening . I mean, not at all. I still think were just in the middle innings of a bull market. You have to remember the Retail Investor will ultimately provide a lot of support for stocks. Its really going to transform the character of investing. You know, you can look at many decades of data, but the Retail Investors actually generally not coming in at the top. But theyre going to come in midcycling. I think what we have to keep in mind is if we dont look at the chart of the s p and just think, okay, corporates have a lot of cash, incredibly low borrowing cost, Consumer Wealth is record high, banks are about to ease, theres a lot of pentup demand and record aged infrastructure. It to me is a formula for stocks to do quite well because its going to be a story about earnings surprise for the next few years. And on relative value i think the p es still reasonable against Corporate Bonds and high yields. So, you know, i think i dont think this is at all a mature bull market. Barry, if youre right, if cap x is the one you want to zero in on, im looking at caterpillar above 98 today, second best performing component i think for the year, is this all about cyclicals now for the nearterm . I think it should be. I mean, if you think about where we were at the beginning of the year, anything leveraged to u. S. Growth or generally most things leveraged to u. S. Growth were by no means cheap. The best performer last year, the discretionary sector, to us looked outright rich. So we didnt think that this Business Cycle would really be about the consumer and releveraging, although the deleveraging apparently has ended, we thought this cycle would be more about rebuilding our capital stock. And so thats the theme we think will be most durable through the Business Cycle. And it looks like all those waves of Public Policy uncertainty we had in 10, 11 and 12 have really dissipated. And its just set the stage for much less Corporate Risk aversion putting some of that cash that tom referred to to work. So we really think thats probably the sweet spot for investing this year. And it may very well extend through the whole cycle. All right. Tom, barry, thank you very much, guys. Unbelievable action as we now sit up 175, 1857 the highs of the day. Its been just a couple hours here at trading here. Kayla, things are managing to build some steam. They are. Up next, alt ra, the latest company to announce it will jump into the ecigarette market. So can ecigs light a fire under your portfolio . We talk to the founder of one of the First Companies in that space in just a moment. [ bagpipes play ] make it happen with fidelity active trader pro. Its one more innovative reason serious investors are choosing fidelity. Call or click to open your fidelity account today. Iwe dont back down. We only know one direction up so were up early. Up late. Thinking up gamechanging ideas, like this dozens of tax free zones across new york state. Move here. Expand here. Or start a new business here. And pay no taxes for 10 years. With new jobs, new opportunities and a new tax free plan. Theres only one way for your business to go. Up. Find out if your business can qualify at startupny. Com im spending too much time hiring and not enough time in my kitchen. [ female announcer ] need to hire fast . Go to ziprecruiter. Com and post your job to over 30 of the webs leading job boards with a single click; then simply select the best candidates from one easy to review list. You put up one post and the next day you have all these candidates. Makes my job a lot easier. [ female announcer ] over 100,000 businesses have already used zip recruiter and now you can use zip recruiter for free at a special site for tv viewers; go to ziprecruiter. Com offer2. [ car alarm chirps ] [ male announcer ] we dont just certify our preowned vehicles. We inspect, analyze, and recondition each one, until its nothing short of a genuine certified preowned mercedesbenz for the next new owner. [ car alarm chirps ] hurry in to the mercedesbenz certified preowned sales event. Visit today for exceptional offers. Coming up at the top of the hour, facebook ceo Marc Zuckerberg is about to take the stage at the mobile World Congress for his first Public Comments since acquiring whatsapp. All the headlines live and why the stock is hitting an alltime high today. And streaming game heating up. Who will win and who will lose . And the s p hitting a new record high of its own today. Were going to look at whats driving this run and if it can last all straight ahead top of the hour. Kayla, see you in a bit. Busy hour, scott. Well tune in for that. We want to talk ecigs. With the launch of its mark x, want to look at alternatives and what it can mean for your portfolio. The Company Acquired by lorillard in april of 2012. Jason, thanks for being with us. Thanks for having me. Your company was acquired for 35 million in 2012. Last year you had 230 million in sales. Safe to say you were surprised that the markets become this popular . Not really surprised. You know, we knew it would come. Certainly maybe not this quick, but not surprised. How are you viewing the Competitive Landscape . It seems that reynolds, altria and lorillard with your company all big tobacco has now gotten into this space. How competitive has it gotten . Well, i think its still early stages of altria and reynolds coming in. So we really havent seen anything yet. And, you know, it was only really a matter of time with the success of the product it would happen. When you think about some of the controversy thats accompanied the rise of the ecigarette market, there was a cdc report saying this product has become very popular with middle schoolers, with some children. And we also saw cvs this month decide to ban Tobacco Products from its stores. Do you think that some of this controversy is founded, or do you think that theres something that theyre missing . Well, i think it comes from an ideological issue with smoking. So theyre unable to look past that and get to the core of a product that is showing tremendous potential for Harm Reduction. Is it actually reducing harm though . Because there is a debate that this is just as much an alternative for people to take up cigarettes as it is to help wean them off of cigarettes . Well, i think when you throw theories and conjecture in, maybe it is a debate. But looking at the facts and the testing that were seeing, its showing that it has tremendous potential for Harm Reduction and eliminating tobacco. Walk me through, jason, some of the different flavors. I just wonder when were talking about share, coke says share of stomach, im not sure if you say share of lung, but when some of these flavors, the vanilla, the fruity dessert flavors, are those needlemovers . Well, you find when people enter the market they come in through the tobacco flavor. And then once they realize that you can have any taste you want, they move on to the flavors. But a tobacco base type flavor is still the number one. When you think about some of those flavors, jason, the controversy around some of the gummy bear flavors or candy flavors is that that is what appeals to younger ages. Do you think that it was wrong to move into that market . Well, we dont have any childlike named flavors, but by the same token as an adult i like desserts, i like flavors. As long as we responsibly market, i think the flavor thing again is a rash or a jump to conclusion in order to get people to ban them. But we havent seen that its had that effect. Finally, how much of your time is spent just working on the policy, right . Working with attorneys, battling state assemblies, battling city councilmen who obviously want to see these things regulated or even in some cases banned . Well, some would say too much time. But i think its important when we see the potential of these products to eventually, i think, eliminate tobacco, you know, the time pull i think is worth it. Jason, thanks for being with us to walk us through some of these issues. We wish you the best of luck and obviously a very popular and growing business. Jason healy, ceo and founder of bluecigs. Googles director of engineering says by 2029 computers will be able to understand our language, learn from experiences and outsmart most intelligent humans. That brings us to this mornings squawk on the street, if google is right, how can we prevent the robot apocalypse . Get to some of your answers in just a few minutes. Here in philadelphia you can access a philly cheesesteak anytime, day or night. Just like you can access geico anytime, day or night. There is only one way to celebrate this unique similarity. Witness the cheesesteak shuffle. Cheesesteak, cheesesteak its the cheesesteak shuffle huh every day, all day, cheesesteak, cheesesteak every night, all night cheesesteak, cheesesteak 9 a. M. Cheesesteak 2 p. M. Cheesesteak 4 a. M. Cheesesteak any time ruh geico. Fifteen minutes could save you fifteen percent or more on car insurance. Bulldog you know, not all heroes wear capes. Bulldog you know, some wear fur. And mattress discounters good deed dogs is here to help them. Meet yara. She helps veterans like marv stay independent. This is caspin. He helps wallace with things she cant do on her own. And goldie helps children with developmental disabilities, while suzie works with people in the hospital. You can be a hero, too. Give it mattressdiscountersdogs. Com, or any mattress discounters. Mattress discounters good deed dogs helping dogs help people. Looking to boost its struggling incar technology, ford is dropping microsoft and turning to a brand new company, blackberry. Josh lipton is live in san jose to explain. Hey, carl. Yeah, a win for blackberry and a black eye for microsoft. Reports suggesting that ford will base its next generation sync system, voice activated system, on blackberrys qnx and no longer use microsofts windows. Ford right now has 7 million cars on the road with sync using microsofts voiceactivated software to make calls, play music. For microsoft this does not move the needle in a significant way on the top line. It will not really have a Significant Impact there. But dan ives who covers microsoft tells us it is a black eye for the software giant. Another blow he says for microsofts consumer efforts, especially automotive is really thought to be a big growth driver for the next few years. Big tech in general making big moves to get in your car. Google for instance recently announcing that its going to bring android, its mobile operating system, to audi, gm, honda and hyundai. For consumers invehicle technology is a huge selling point. Entertainment, work tools, driving aids, in fact its the top selling point for 39 of auto buyers. Thats more than twice the 14 who say their first consideration is traditional performance. Thats according to a survey. Interesting story for both companies, josh. Thank you very much. The nasdaq standing right around a 13 and a half year high this morning as the dows up 181. Sheila at market side with whats drooiing todays push. Hey, carl. What a surge were seeing at the tech heavy index here at the nasdaq. A fresh 13 and a halfyear high for the second consecutive session in a row. Yeartodate nasdaq outperforming leading all the other indices. Since the low we saw on february 3rd, the nasdaq is up nearly 8 . So theres a lot of love here at the nasdaq. As for why, ive been talking to traders and analysts about this all morning. Theres really a onetwothree punch they are talking about. First of all, the fundamental tech story. Going into this year strategists really corner technology as top picks for 2014. They said theres a great fundamental play here. These are Cash Rich Companies producing cash flow. And a great way to play the cyclical economic recovery. Two, got to talk about m a. Weve been talking about these big m a deals all year. Certainly getting a lot of positive momentum in the market. Interestingly theres a new trend were seeing amongst these m a deals and that is people are bidding the buyer. So acquirers are also gets prices bid up after the deals. Rf microdevices a perfect example announcing 1. 6 billion deal. Look at the stock price, up nearly 16 . Investors really like that kind of risk on mentality. Speaking of risk on got to talk about momentum names, big part of the nasdaq story. Were continuing to see outperformance from names like tesla, Green Mountain coffee, netflix. But heres the thing, these companies are actually delivering on their results. We have seen a string of positive results here, carl, all adding to the overall rally we are here at the nasdaq today. Sheila, ill take it from there. Interesting points especially about m a. A lot of stock being used to do some of those deals. Certainly giving a bid under the market as well. We want to bring in bob pisani with a look at whats moving on the floor. Here is the dow, bob, up 180. A slow melt though. This is a classic technical breakout. I know a lot of people dont like technical analysis, i know its not always satisfying. But, folks, look at this chart. The minute we hit new highs on the s p, volume picked up a little and the markets picked up. Obviously theres a lot of Short Covering going on. And we dont even see a lot of volume, not a dramatic amount of volume here. But as we hit new highs, number 1848 was the old closing high, but intraday highs broken early on after the close see the market lift up overall. In terms of sector leadership, other than natural gas stocks again breaking out today, the xop, gold miners, thats been a leader all year. Thats again a leader today. Pharmaceutical, health care, thats another leader, that xph. Same group thats leading all throughout defense stocks also moving on the upside. Natural gas stocks emphasize smaller names. You can see them rotating into smaller cap nat gas stocks. Look at these stocks up 3 , 4 , 5 and 6 . Big mobile World Congress in barcelona. Weve got new phones from nokia, sony, qualcomms the big winner though. They had some talk about their new snap dragon, that mobile platform on a chip. Theyve updated the whole path that theyre using for that, the road map for that. That stock is sitting right near an historic high. Maybe not quite there yet, but just a few pennies short of that. Finally on the earnings front, listen, dillard said absolutely nothing about what happened in the last couple of months. And they finally came out with their earnings report. It was a huge disappointment. You see it down 6 here. And, guys, i think im not a suit sayer, but everybody has disappointed in this space and its rather surprising people hadnt taken down dillards even more. I think disappointment is numbers were worse than anticipated. Keep an eye on ross stores by the way, another one that hasnt really said anything. As you point out all the time, bob, the number of companies that give you High Frequency guidances, particularly zero, thanks, bob. Bob pisani. Googles director of engineering says that by 2029 computers will be able to understand our language, learn from experiences and outsmart most intelligent humans. I like that, most intelligent humans. Brings us to this mornings squat on the tweet. If google is right, how do we prevent the robot apocalypse . Email us and well get some of your answers in just a moment. . Return on investment isnt the only return im looking forward to. For some, every dollar is earned with sweat, sacrifice, courage. Which is why usaa is honored to help our members with everything from investing for retirement to saving for college. Our commitment to current and former military members and their families is without equal. Im spending too much time hiring and not enough time in my kitchen. [ female announcer ] need to hire fast . Go to ziprecruiter. Com and post your job to over 30 of the webs leading job boards with a single click; then simply select the best candidates from one easy to review list. You put up one post and the next day you have all these candidates. Makes my job a lot easier. [ female announcer ] over 100,000 businesses have already used zip recruiter and now you can use zip recruiter for free at a special site for tv viewers; go to ziprecruiter. Com offer2. At a special site for tv viewers; but with less energy, moodiness, and a low sex drive, i had to do something. I saw my doctor. A blood test showed it was low testosterone, not age. We talked about axiron the only underarm low t treatment that can restore t levels to normal in about two weeks in most men. Axiron is not for use in women or anyone younger than 18 or men with prostate or breast cancer. Women, especially those who are or who may become pregnant, and children should avoid contact where axiron is applied as unexpected signs of puberty in children or changes in body hair or increased acne in women may occur. Report these symptoms to your doctor. Tell your doctor about all medical conditions and medications. Serious side effects could include increased risk of prostate cancer, worsening prostate symptoms, decreased sperm count, ankle, feet or body swelling, enlarged or painful breasts, problems breathing while sleeping and blood clots in the legs. Common side effects include skin redness or irritation where applied, increased red blood cell count, headache, diarrhea, vomiting, and increase in psa. Ask your doctor about axiron. Are we still on for tomorrow . Tomorrow. Tomorrow is full of promise. We can come back tomorrrow. And we promise to keep it that way. Csx. How tomorrow moves. What a day. Cant wait til tomorrow. Squawk on the tweet on this monday, googles director of engineering says that by 2029 computers will be able to understand our language, learn from experiences and outsmart most of us. That brings us to this mornings squawk on the tweet. If google is right, how do we prevent the robot apocalypse . Michael says just google how to survive a robot apocalypse. Justin says as long as Arnold Schwarzenegger is around, were good. And garrett writes, throw them in the bathtub. Which thats actually pretty to the point. Wouldnt an intelligent human throw a robot into the bathtub . Wouldnt you electrocute yourself . Exactly. 1848 was key for the bulls, weve essentially done that. Important to keep in mind some of these Medicare Advantage providers and the fact that the economics are not going to be quite as painful are leading a lot of this higher today. The bond market extremely quiet today. I think investors are waiting for yellen on thursday in front of the senate and also the data to get market moving get. Wapners got the halftime coming up. Your main carl icahn making news today too, scott. Hes making noise in a noisy market. You were talking about this new alltime intraday high for the s p, and crude as well. You see this breakout that were seeing in the energy space . Yeah. Youve got chevron and exxon having a great day. Wti is over 103 for the first time in many months. Thats a story were following too. Yeah, six weeks up. I dont think weve done that in about a year. So crudes a big part of the story today. Yeah, Energy Complex breaking out big time. Thanks so much. Enjoy the rest of the day. Welcome to the halftime show. We are covering the biggest stories today here on the half. Mobile domination, thats what