And janet yellen kicks off her first ever fed policy meeting today as the chairman took the central bank squeeze as Forward Guidance. Announcer youre watching Worldwide Exchange, bringing you Business News from around the globe. All right. A warm welcome to todays show. Vladimir putin has signed a dedegree which recognizes crimea as a sovereign state. Russian president is now expected to sign the treaty, now expected to outline the next steps in the regions annexation as he addressed the in around two hours. Meanwhile, Vice President joe biden is headed to poland. Hes set to meet with the president and Prime Minister as well as the Prime Ministers of lithuania, estonia and latvia. Steve is in kiev and joins us for more. Post that declaration for putin and ahead of his address to the doom duma in two hours, steve, and what is perceived as light sanctions by investors from the west, what happens now . I think we switch over to what they call kremlinologyists, who pick up on every nuance and subtly. It seems to me, ross, we have a twin track now. Were watching whats going on in russia. One, of course, the affirmation of the did you ma from russia of the independence of the crimea which mr. Putin, of course, has recognized. What does he do next . Does he start the formal process or does he start diplomacy with the west from kiev regarding what happens in the broader picture here, as well . Because as well as that very big slump to the west, so to speak, in recognizing the independent state of crimea, this business held up not just an olive branch, but an indication there could be some diplomacy. What he wants at the moment tends to be unacceptable to ukraine to the west, but having said that, its the start of the process and it has been mentioned that he wants recognition of the referendum. He wants a new ukrainian constitution, more autonomy for the are the and military neutrality for ukraine. Some of those points including political neutrality with the government here looking west, perhaps unpalletble at the moment, kiev politicians more generally. But it is interesting that that could well be the start of something which the markets appreciated yesterday, didnt they . The markets went risk on because they thought a lot of the risk had abated somewhat. That was partly because, as you mentioned, ross, we had tepid sanctions from both the u. S. And the eu. Most of the names on the list i dont think most people had heard of. They certainly werent in the most inner circle. Is that a sign that, yes, the west has done that . But there is a lot of room for maneuver. One, putin talking about diplomatic efforts. Two, the sanction. Given maneuverability perhaps in place of diplomacy. In the last 24 hours, i spoke to a lot of very important people, including the two potential leaders in the president ial elections. Either man could potentially become the next president of this country on may 23rd. Mr. Klitchko was pessimistic. He said no, they dont just want crimea, they dont just want east ukraine. They want kiev and the whole of ukraine. Both those gentlemen all wanted diplomacy and hoped that was the way forward. Back to you. Steve, for now, thank you. Thats the latest from kiev. If youve just tuned in, as well, from north america, welcome to the start of your Global Trading day. The dow snapping a fiveday losing streak. Up to 1. 2 . This morning, we are trading below fair value. So were at record lows by about 10 points. The nasdaq is down about 9 points and the s p 500 is called lower by about 3 points. The ftse cnbc 300 is down around 2 points. And european equities up 40 points yesterday, its down 15. Growth is under pressure again today with spain. Well get into that a little later. Xetra dax down 0. 6 . The cac 40 is down 0. 2 . We are up in russia by 0. 2 . On the bond markets, treasury yield late friday with a yield of the tenyear, 2. 64 . The yields rose yesterday. Today, 2. 67 is where we stand. Prices falling on monday. Of course, the feds twoday meeting starts today. It will be interesting to see where the end of this meeting, they do anything with their jobless 6. 5 or not. Let me show you where we stand with currency markets. Euro dollar, not far away. Above 1. 39 . The 2 1 2 year high was hit last thursday. But remember, inflation, the print in february was revised lower to a joint low since november 2009. So there still is deflation. Well get into that, as well. Thats where we stand right now in europe. What happened in asia while you were sleeping in north america . Sixuan. Thank you for that, ross. Chinas new home price growth came in at 8. 7 in february, slowing down from the 9. 7 onyear growth in january. Towards that chinese Property Developer was near bankruptcy with debt exceeding 500 million. As far as markets are concerned, property majors such as china merchant and polireal estate were down about 3 today. Analysis say slow house prices pbo see more flexibility in terms of policies. Meanwhile, beijing vow toes establish a nationwide realistic registry system before 2020 starting with housing registration for government officials as part of an anticorruption effort. As for the rest of asia, we saw some bargain hunting today. The nikkei 225 ended higher by almost 1 . The kospi up towards a second straight session. Australian miners rebounded as copper prices steaded and the new Zealand Market managed to hit its alltime high. Tencent rallied over 5 today in hong kong after four days of losses after the pboc halted some of its internet finance channels. The company cashed out 1 billion hopping Congress Worth of shares in china vision media with a profit of nearly 800 million. This as shares skyrocketed recently after alibabas takeover. Well be keeping an eye on tencent tomorrow as it is due to report its q4 earnings. That is a look at asian markets. Back to you. Thanks for that, sixuan. European stability mechanism was set up to bail out troubled countries and their banks with a maximum lending capacity of 500 billion euros guaranteed by member states. Germany shares its guarantees amounts to more than that of any other country. Well bring you an update on that as we get them. Meanwhile, eurozone inflation is at the same low level that triggered the surprise rate in november. Revised down to 0. 7 , the lowest in four years. Joining us for part of the program today, adam posen, president of the Peace Institute of economics and former member of the bank of englands Monetary Policy committee. Good to see you. Good to see you. Quick word about the low inflation in the euro area and what the appropriate response would be. The ecb has been unwilling to pay the price to fulfill its mandate and keep inflation where it should be. At 2 . Right close to or at 2 and theyve lead let it go because theyre scared. Theyre scared of the wrong things. Theyre scared of politicians and theyre scared of germans. Unfortunately, if they could do another rate cut, its not likely to make much difference. Theyll have to do something more ambitious, greater Market Operations or longterm repose. Theyve disclosed many of these things, but none of them seem to be in the offing right now. Why do you think that is . I think its a combination of not understanding how serious this could be. It doesnt have to be literally deflation. Its just if you get stuck in a draft where inflation stays very low, it feeds on itself and drives down wages even further, drives down consumption even further and gets you into an ongoing cycle. I think the other reason is, again, politically, you mentioned the Constitutional Court in germany. There is this threat that german law could supposedly interfere directly with what the ecb is doing. And there is this view the periphery as we go from a market perspective, yields are trading at a record low. Spain is clawing its way back. Are those valid how valid are those points . Also, when you look at italy is still looking very weak. Lets start with the agenda. 40 of the euro area, france and italy, have not done reforms, still have fiscal problems, still have major growth problems and rising unemployment problems. You would want somebody to do something about that. Spain, one, it is true theyre back in a way, which is great. Great for the euro area. They stay with the fundamentally productive countries going into the crisis. Their fundamentals were not so bad. And so if there had been more writeoff on loans, they could have avoided a lot of this in the last couple of years. What does that mean for the ecb . The fact that ireland and spain are bank, it means were not so worried about tail risk, but therefore, theres less divergence within the euro area, so you can get a policy against this widespread disinflation. I dont understand the problem. And do you think they can do qe . Legally, iepts straightforwa straightforward. They would have to buy a basket. But theyve done qe before. Its not a legal problem. Stay there. More to come from you. The fed kicks off a twoday policy meeting today. Could it become the late he to changes Forward Guidance . See new a few moments. [ male announcer ] how could a luminous protein in jellyfish, impact Life Expectancy in the u. S. , real estate in hong kong, and the optics industry in germany . At t. Rowe price, we understand the connections of a complex, global economy. Its just one reason over 75 of our mutual funds beat their 10year lipper average. T. Rowe price. Invest with confidence. Request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. Vladimir putin officially recognizes crimea as a russian state. Changes in Forward Guidance on the watch, as janet yellen chairs her first ever policy meeting. Canadian mark carney stamps his authority on the bank of england. A new deputy could be announced as early as today. Well bring you the update on the results of that as soon as we get to them. Meanwhi meanwhile, the Federal Reserve and the fomc begins its twoday policy meeting today. The decision and u. S. Forecasts are toous due wednesday, 2 00 p. M. Eastern. And its Janet Yellens first News Conference as fed chair which feels at t 2 30. Investors expect the fed to continue its bond buying program. Several officials have suggested scrapping the threshold of describing general changes in the jobs market inflation that could trigger a rate hike. Well get more from adam on that. We just heard that the carlsberg court, as i understand it, has approved the esm rules, the esm is in line with the constitution. So any potential market threat from that has been taken away. The esm has been ruled in line with the german constitution. There we go. The man reading out that ruling is sitting down taking his hat off. A quick word on that. This should be the end of it. The man with the hat has now once just kicked it upstairs. Just get on with business. Yeah. They were never really going to if they had, it would have been disastrous. But its like courts dont usually go too far against public opinion. The fed, what should they do with the unemployment . I think what bill dudley and Charlie Evans have been talking about, which is taking a page from the bank of england is right. What does that mean . It means get rid of the simple forward target guidance and size things up. And size things up in a good way. I dont want any more fuzz. No. This is saying the professors used to say, nothing as simple as it can be. When we kick to a single unemployment target or a single growth target, it confuses people because no one assumes youre going to ignore the sake of inflation for the sake of that target and no one believes youre going to have to change that target over time. Conditions change. You dont want the forecast right, thats life. Therefore, talking in this more wholistic way, and saying, broadly speaking, this is the path were on. This is where we want to go, here are the risks, here is what were going to try to do and well update you, this is the mature conversation you should have. Without targets. Well, with some targets. Around 2 for the u. S. Better is this happening without financial stability. So you need to put a little more meat on it. But basically, yeah, thats what you should be doing. Who is the guidance important for . Investors in the market or as mark carney would say, its business in the public . I think its much more importantly about the market. What youre trying to do in the Current Situation is you know that rate hikes are in the off. Be it in the uk or in the u. S. Youre trying to get ahead of it and say dont raise rates too quickly in the market. Dont overreact. Thats fine. Thats guidance in a light sense. But, you know, obviously, the general public and businesses want to know whats going on, but its not like they read off daytoday, word by word. What is your view of when they to the u. S. . I think people are underestimating how soon theyll have to go up in the u. S. How soon . Yeah. Even though ive always been a dove, i think im quite bullish in the sense that i think growth is going to be stronger this year. I think were still going to get the 3 reel. I think that the Unemployment Rate is going to come down. Actually, its not going to come down that much. Participation, i think, is going to be more fluid than people are expecting. Weve tended to write off too many works. You put that together, thats a low inflation high scenario, a stable economy and the fed is going to want normal highs. I think maybe three or four months sooner. I tend to believe normalization wont be that hard. Before we go, what would you describe in this starting point . What is normalized rates . Normalized rates would be getting back to positive. So that means youre going to be moving up around 200 basis points before all is said and done. Adam, stay there. Plenty more to come from you. Just a reminder, whats on the agenda today, february cpi is out at 8 30 eastern. Also at 8 30, we get february housing starts. Expecting an annual rate of 910,000. Building permits are forecast to remain unchanged. After the close, well hear from oracle, Adobe Systems and solarcity. Still to come, obamacare reaches its latest milestone. A sign up surge. More details, coming up. Opportunities arent always obvious. Sometimes they just drop in. Cme group can help you navigate risks and capture opportunities. We enable you to reach Global Markets and drive forward with broader possibilities. Cme group how the world advances. Then a little time to kick back. Earn double Hilton Honors points with the 2x points package and be one step closer to a weekend break. Doubletree by hilton. Where the Little Things mean everything. Doubletree by hilton. Save you fifteen percent or more on car insurance. D Everybody Knows that. Well, did you know pinocchio was a bad motivational speaker . I look around this room and i see nothing but untapped potential. You have potential. You have. Oh boy. Geico. Fifteen minutes could save you fifteen percent or more on car insurance. If youre just joining us, currently the s p is called lower by 3, the dow is 26 points lower and the nasdaq is called down by around 10. This is bank of England Governor Mark carney may announce the appoint of a new Deputy Governor today. Still with us, adam posen and helia, cnbcs uk business editor. There is speculation. Took pretty heavy kickings last week at the Treasury Select Committee. They were in the committee for about 4 1 2 hours and asked about, you know, the king of Forward Guidance, about scotland, and, of course, about all of these alleged governance problems when it comes to the for ex probe and the banks involvement, which brought up all these memories of what has gone on. And i think paul fisher, who you refer to, has been thought of as one of the potential candidates for this role. This is charlie deans role. The Deputy Governor of the bank of england. But i think he had a particularly tough time because of basically he was questioned several times about what was rigging, what wasnt rigging, why the information wasnt, i guess, extended, why his people werent told that if people in the market, even if they were hedge funds, had concerns or even if traders had concerns that hedge funds were manipulating the price, then why wasnt anyone told . And the Treasury Select Committee said weve asked you many times if there were any other benchmark rates that could have been manipulated and you havent come forward, why that . So theyre going to announce the fourth Deputy Governor today. Announcing the success and then theyre going to have a fourth Deputy Governor which in my opinion is one too many, but okay. Do you think theres a problem with Corporate Governance at the bank of england is going to be addressed by carney . And Governor Carney is going to be busy doing all this institutional change. Its really not an organizational problem. To me, its a problem that they just had the wrong values. There was too much faith in selfregulation by the market, too much faith in these private there wasnt meant to be rigging. This is what else is likely to be libor . That, to me, represents the fact that there was just too much faith in these arrangements. Paul fisher, i can say 100 is not cooperating in any way. I worked with him for three years. Hes a great person. But that question about the culture at the bank, if we let these fixes go on, if we dont do things in the open market, thats what has to change. Have a different mindset. And so if carney can change the institutional structure, but im hoping whats behind it is that is to embody the mindset. If it just changes the institution, and the start of laissez faire, then off problem. I remember when we spoke, they said, look, the long policies, slightly misguided, the economy is rebounded. How about for the coverage tomorrow . I will, indeed. Thanks for that. Still to come, reportedly expecting too nouns layoffs, well bring you the details right after this. Right after th. The headlines today, russian leaders will address parliament right now. More warning signs in china following weaker house price as property firms default. And germany rules that europes bailout fund is in line with its constitution, upholding its 2012 preliminary ruling. Janet yellen kicks off her first ever policy meeting as chair today. The central bank reviews its Forward Guidance. Announcer youre watching Worldwide Exchange, bringing you Business News from around the globe. Very good morning to you. The latest press conference in malaysian flight 370 is due to start sharply in kuala lumpur. Well get to that briefing when it begins. Meanwhile, if youve just joined us this morning on, after a snapback session yesterday, the dow up 81 points, the s p up 17. Futures are indicating were going to be lower this morning. The dow is some 29 points below fair value, the nasdaq is around 10. 5 points below fair value and the s p 500 at the moment is 3. 8 yeah, 4 points below fair value. The bank of england we were just talking about, adam posen, bank of englands governor for Monetary Policy names the outgoing chairman as the chair of the bank of englands Supervisory Court and ma chafic as the governor responsible for market and banking. From the 1st of august 2014. Chaffic is the new Deputy Governor responsible for markets and banking. They did announce this. This is terrific. These are great choices. Ben joined the mpc live is a first rate economist. He used to do the data on the uk economy for goldman sachs. He has very Creative Ideas about how capital problems have affected productivity in the uk. Hes committed. Hell be a great choice to succeed charlie. Terrific uk Public Servant, had one which the department of International Development here in the uk has distinguished herself in great form in the imf. Makes a lot of sense for the uk to bring her home. Those are two very strong choices. And i governor Governor Carney and the chancellor a lot of credit. I guess that means fisher may be leaving. Thats up to him. As with paul tucker, there are individuals involved and you decide. Paul fisher has been a very dedicated Public Servant to the bank for a long time. Hell make his choice of no charge of opportunities. All right. So thats the latest announcement from the bank of england. Meanwhile, the press conference on the latest information on flight 370 press conference is just under way. Lets listen in. Territory and also within the search sectors. My colleague, the foreign minister, will give a more detailed statement on our diplomatic efforts at the moment. On the lodgistical front, over the past 24 hours, we have been working hard with other countries to mirror the search corridor. Our focus is on four tasks, gathering information from satellite surveillance, analysis of surveillance radar td data, increasing air and surface and increasing the number of technical and subject matter experts. On satellite surveillance, i cannot determine who has what land capability, but i can confirm we have contacted every relevant country that has access to satellite data. On analysis of radar sector in the southern corridor, australia and malaysia have agreed to take the lead on their respective parts of the corridor. In the northern corridor, china and have grate agreed to lead. On air and surface assets, i have spoken to almost all leaders to request further support, including assets with deep ocean surveillance deception capabilities. Were asking for departments who have assisted as before to take another look at the raw data. In the northern corridor, we have divided the search area into seven quarters. Each of the seven quadrant sess 400 nautical miles by 400 nautical miles or 160,000 square naut miles. The southern car door has been divided into seven quadrants. Just like in the north, each quadrant conference an area of 160,000 square nautical miles. The entire search area is now 2. 24 million square nautical miles. This is an enormous search area and it is something that malaysia cannot possibly search on its own. I am, therefore, very pleased that so many countries have come forward to offer assistance and offer support to the search and rescue operations. The Malaysian Navy has two more ships in the southern corridor. This deployment includes helicopter, which can operate from either ship. This brings the total number to helicopters. Today, malaysia dispatched two c113 aircraft in the target search corridor. Other countries are also searching with the following assets. The United States has deployed one were just going to leave that press conference there. The size of the search area now is rather outstanding. Well get more details as they go through that. Meanwhi meanwhile, we turn our attention to china. New home price data slows for the second month in february as weaker demand and government manages to curb. Some warn that more developers could face similar pressures as volumes slow. Yields on property prices have jumped as a result. Joining us is daniel morris. Hes in new york. With me in the studio, adam posen. Daniel, good to see you. What do we make out of this latest bit out of china . Along with ukraine, its the asset selloff that weve had. Honestly, weve been worried about thinking about hand landings, soft landings in china for a couple of years. And its difficult to get a real firm deal on what the outlook is. The data so far has been mixed, certainly from weak numbers. The export numbers were shocking for last month. But at the same time, there is some reasonably positive moves. As you look at pmis for the service sector, cha makes up half of the economy, we focus a lot of the economy. So retail sales really wasnt as bad as people thought. It definitely makes not a real indication. And i think until we do get a better idea if growth is slowing, how much its slowing, were going to see a lot of this volatility continue. Yeah. How are you supposed to trade it, then . Or not let it affect your investments . Maybe thats a better way of asking is. Well, yeah, we serm dont try to view it as a trading market. Theres always the distension you need to make between the chinese economy and necessarily investing in chinese equities, you know, that can be a challenge just because of the degree so much government owns and controls a lot of these companies, not necessarily managed for the benefit of on minority shareholders. We tend to think more about what the im mitioncatioplications arr china. Domestic demand in china is reasonable, that may bode well for companies that nonetheless are looking for imports into china, looking to meet the domestic demand. Adam, they have had a big property boom. Theyve had unstable credit creation. Theyve been the Public Sector taking in too much debt. They have to let the air out of those things. Right. Can you do that . We have to not fantize that its going to be bloodless. But i have to give the peoples bank of china credit. They were very aggressive over the last 18 months in saying were going to try to stop this bubble. Theyve thrown almost everything at it, administrative measures, letting them be now and a wider band. All kinds of pressures on them. And then a bond issuance just failed, i guess, what, about a week ago. They were very clear that this is part of the process. Were not going to panic. So i think its not going to be bloodless, but people have been having to make the call. How much of the slowdown is intentional and how much is getting out of happened . I think theyre doing a pretty good job of keeping it at the intentional rate. All right. Stick around. Mean wile, other stories were looking at today, Vladimir Putin has signed a decree which recognizes crimea as a sovereign state. The Russian Parliament is gearing up to make crimea part of russia. Putin is expected to outline the next steps in the regions annexation as he addresses the duma in around a half an hour. Shareholders have been urged to reject volkswagens bid for the remaining shares in the automaker. The swedish auto company says the proposal did want reflect its longterm prospects. Shares are trading lower, down 3 . Sony picture sess reportedly expected to announce layoffs to its studio operations in the u. S. And abroad. Its sony interactive. Excuse me. Will get hit. Sony is under pressure from dan loeb. Last month, the company aimed at 100 million in cost cuts. Sony pictures fell more than 4 . Now, disney holds its annual Shareholders Meeting at 1 00 p. M. Eastern. No major fireworks are expected, unlike last year, when 35 of shareholders voted in favor of a proposal to split the chairman and ceo rules. Disney recently extended the contracts through to june 2016. The stock is up nearly 150 . Since cofounder Jack Dougherty joined the board. Disney stock up about 1 in frankfurt. Still to come, the clock is ticking for americans to sign up for health insurance. Two weeks ago, obamacare hit another major milestone. Were going to run you through the numbers. The numbers. Thing looking good. Velocity 1,200 feet per second. [ man 2 ] youre looking great to us, eagle. 2,000 feet. Still looking very good. 1,400 feet. [ male announcer ] a funny thing happens when you shoot for the moon. Ahh, thats affirmative. [ male announcer ] you get there. Youre a go for landing, over. [ male announcer ] the all new cadillac cts, the 2014 motor trend car of the year. Sglees are your headlines. Vladimir putin officially recognizes crimea as a sovereign state. Forward goois guidance as janet yellen chairs his first ever policy meeting. And the esm has been ruled legal. Now, theres just two weeks left before open enrollment ends for obamacares health care program. And it appears procrastinators may finally be getting around to signing up for insurance. Bertha has more for us from cnbc hq. Whats happening now . Good morning, ross. Yeah. A pretty big milestone. My prediction for enrollment is out the window. I predicted all the problems we saw last fall, that they would be between 4 million and 5 million. But now the Obama Administration has said more than 5 Million People have enrolled or signed up for insurance plans since the Program Began on october 1st. That milestone comes three weeks since the government said the deadline had topped 4 million. The deadline to sign up is march 31st. Fast approaching. The new tally leaves the administration about a million shy of its target of 6 million enrollees in health plans. The numbers were disclosed on monday. She says the if he had federal Health Care Website brought more than 4 million visits last week and call centers took more than 130,000 calls last weekend. Tavener says the pace of enrollment is at its highest since late december. Thats when we likely see young people who tend to hold off. Im getting coverage until they have to. So a lot of folks rush in at the end of disease. Now if you dont sign up before the 31st, you wont be able to until later on this year. President obama needs that to help make this program a zes. Cms hasnt disclosed so many of the 5 Million People have paid for their insurance, which is required for enrollment to be official, obviously. Its estimated between 15 and 20 have not paid even on those other plans. 10 will end up not paying attention. The agency hasnt said what percentage of those folks who are signing up were previously uninsured. Critics have claimed the bulk of enrollees are just reinsurancing. But weve seen polls from gallop that they have gotting new insurance. California said it reached the 20 misdemeanor mark. For them, the payment rate is at about 85 . So that gives you a sense of how its working out across the country. Speaking to the media, industry executive necessary san francisco, microsoft has had ipads and iphones in its office ready to go for the several months, but delayed releasing them due to internal divisions. The company gets around 2. 5 billion in revenue by keeping its off the ipad. And a report out of taiwan suggests apple is gearing up to produce the iphone 6. Pegatron is reportedly expanding its factory space. Still to come, janet yellen prepare toes chair had i her first fomc meeting. What does it mean for investors, anyway . Well get to our guests, daniel right after this. After this. These days, everything your business does is done on the internet. And tomorrow youll deveno more. Thats what comcast business was built for. Slow dsl from the phone company was built for stuff like this. Sign up for internet and voice and find out how to get four weeks of tomorrow ready internet for free. And youll be ready for tomorrow too. Comcast business. Built for business. Then a little time to kick back. Earn double Hilton Honors points with the 2x points package and be one step closer to a weekend break. Doubletree by hilton. Where the Little Things mean everything. The s p is currently called lower by 3 points, dow jones down by 26 points and nasdaq lower by 10 points. February cpi is due out at 8 30 eastern. Also at 8 30, we get february housing starts. Theyre expected to rise 1. 4 to an annual rate of 910,000. Building permits are forecast to remain unchanged. After the close, well hear from the likes of oracle, Adobe Systems and solarcity. Its the first day of the 32 day policy meeting. Unemployment hits 6. 5 . Some officials are suggesting scrapping that in favor of changing inflation to trigger a rate hike. Daniel, adam has said they should change it, they describe the Unemployment Rate and go to a broader stake rate. If they do that, how will investor read or design the tea leaves . It was always going to be difficult for them to come up with a credible commitment to keep rates low for a fixed rate of time. It was going to depend on facts on the ground, what unemployment numbers are doing. So i think investors are used to this. This is the way its always been. It will fend how the economy is growing. This f they change their threshold, i dont think it will have that big of an impact on the markets because investors are used to this and have been expecting it. And you think what, 3 growth . Im on the upper end, but i think were going to get 3 growth. If investors are right, how does that translate . The forecast for growth is about that, as well. That would all be positive. We should see longer term Interest Rates going up because of stronger growth. With the slack, we know its still in the economy with the number of people that have dropped out of the labor force. I still think those are pretty sufficient. So it would be in a fairley benign environment that we can have accelerating growth with really little potential for any kind of Wage Inflation. That should be fairley good for equity markets. Wage inflation, its sort of a profit place, isnt it . Yes. Danny and i have been arguing that we should be looking at Wage Inflation instead of that unemployment in a sense its a better indicator of where the job market is. When you look at that, you end up being very calm. Wages have gone nowhere. But in terms of the shortterm forecast what the fed has to cope with, its very reassuring. Adam, good to see you. Thank you so much. Always good to see you. Daniel, thank you, as well. Daniel morris joining us from tia crest asset management. Good to see you, too. Dont forget, viewers in the u. S. And asia are about to get to squawk box in this weird time zone when the u. S. Has moved to summertime before the rest of europe. Anyway, squawk box is coming up next. For those viewers here in europe, if youre watching, can germany remain an export based economy . Well get the latest with the zew sur day due. Second half of Worldwide Exchange coming up. Good morning and welcome to squawk box. The Magic Kingdom is getting set to open its doors to shareholders. Good morning, its tuesday, march 18th, 2014, and squawk box begins right now. Good morning, everybody. Welcome to squawk box here on cnbc. Im becky quick along with Andrew Ross Sorkin and steve liesman. Joe is off today. We have a big lineup this morning. Ursula burns will be joining us at 7 30 a. M. , followed by john veehmeyer. Then we have an exclusive interview with carl ice. Thats coming up at 8 10 eastern time. Stick around for those interviews. I hear your voice. I know. Ive been trying. Its better than it was an hour and a half ago. If you need help, just better than it was a half an hour ago. Just signal and we will jump in. Im here. I wanted to be here. I feel okay, its just that my voice is going. Were trying this morning. Our top story this morning, the fed is kicking off its twoday meeting. The central bank is widely expected to stay the course both with the pace of tapering and with Interest Rates. But with any meeting, it will be the language surrounding that decision that will keep investors on their toes. That and janet yet