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Buy. Throwback thursday as we said. This day in 2003 apple opened the iiphone store. We are expecting a slight decline, a big decline now in fact at the open. The dow down, the s p by 16 t nasdaq by about 10 points. Yesterday we did see a little bit of strength but not too much. And oil prices did hit highs of the year. That was the big story. 156 points the dow expected to open down. Lets have a look at the yield on the 10 year note. We did see a dovish reaction to the fed yesterday. Yield up to 1. 9 and now down to 1. 82. Still in the middle of the range weve seen. Meanwhile the big Global Market story. The bank of Japan Holding its Monetary Policy steady and cutting its inflation forecast. Most boj watchers had been expecting more stimulus. The yen soaring on the news. The euro and dollar dropping by comparison. Big drop for the euro in five years against the yen c, the dollar in something. There has been jawboning in the news where participants were led to expect policy action. And governor kuroda saying hes not thinking about. As he says more time was needed to monitor the impact of Monetary Policy and to see the effects of negative rates filtering through to the economy and prices. Though you you would think they have had negative rates for some time now. This move in the yen is really crazy and worth dissecting a little bit. Because yerlier in the year we saw strengthening. Seems to strengthen regardless what the central bank is doing in terms of easing or not. And i think this question really comes down to what domestic investors are doing in risk off days. Weve seen Foreign Investors pull money out and thats meant the nikkei has fallen. Outweighing that is whats happening. Quite a lot of leverage as well. We think retail investors. Japanese investor do that as well. Whenever there is risk off days where the yen goes up as opposed to any other direction. The nikkei chart down by 12 . But if we show the japanese mothers index. This is the Small Cap Index called the mothers index because it is the mom and pops its actually up sharply to the tune of 27 . Down 2. 6 today alongside the nikkei but up 27 versus the nikkei down 12 all in the face of strengthening yen. Does that go up on mothers day . I dont know. Same day as in the u. S. I think it is an important factor to watch. Yada yada yada investing abroad and scary days whether its Monetary Policy or stuff happening outside they pull that back and thats whats driving the yen higher. The yen also tends to be a safe haven but makes it more complicate forward u. S. Companies to figure out things going into earnings. Hedging against existing exposure. We heard. Makes it nearly impossible for them to predict this. Sharp moves in asia. European trades today declines. Germany down 1. 3. France 1. 4. Ftsi 100 also down 1. 4 . And oil touching its highest levels so far this 2016. Crude up a fraction of a percent. In early trading. Crude reached those highs after the dollar weakened following the feds indecision yesterday afternoon. The dollar currently is down by about 2. 8 right now. 108 is where it is right now. Gold, quickly, is just up a touch by. 75 . Facebook shares beating the street. Up sharply, as you can see 8 . 1. 7 billion monthly active users. Now more than 3 million businesses are using our Advertising Products every month. Weve expanded our measure capabilities and weve made it easier for small and medium businesses to do the same targeting tools and formats our larger advertisers use. The facebook founder is planning to give away the majority of his wealth. Were focused on longterm. That is the main reason for todays proposal. Facebook has always been a company so we can focus on hur mission and build longterm value. Early on we received generous offers from companies trying to buy facebook and our structure helped us resist that pressure. Performance all the more impressive given the fact loss lots of Tech Companies have disappointed. Deutsche bank posting 58 drop in profits in the First Quarter, though even that topped expectations. Deutsche bank is in the middle of restructuring under a new ceo. And sanofi is making a bid to buy u. S. Bio tech company medivation. Sanofi says it first approached the company in march. But its overtures were rejected. Sanofi shares down 2 on the news. More stocks to watch. Texas instruments. Xili xilinx beating the street. And paypal also. And cheesecake factory, another place that you have to go in the u. S. That you have not been yet. I know. Is there one in new york . I actually dont know. There is one in the tristate area. Im sure of that. That profit rose. The restaurant chain saw its 25th straight quarter of same store sales growth, although that stock is down 2. 5 this morning. And marriott beats guidance and stuff. Weak outlook from oreilly auto. Beat on both top and bottom but a disappoint estimate for current quarterly earnings. Facebook shares up sharply this morning. It is a bright tech spot in an otherwise dark spot. Hard hit the tech sector the last couple of weeks. Joining us is ivan feinseth. Good morning. They have really knocked the ball out of park. Really the focus on mobile ad sales, is that fair . Yes. But you really have to look at the overall cause and effect relationship they have seen and what Mark Zuckerberg highlighted in the conference call. In 2013 they went from down to 83 because they said they were going to invest in mobile. And what he said, they make old moves for longterm, positive results. They have not done a lot of the things and done things the way a lot of people in Silicon Valley have for shortterm results and its paid off well. They are focused on providing Certain Services and being certain things and this is paying off well and that is really good to see and im glad that they are changing the structure. So over time as he gives his shares to his Charitable Trust hell be able to maintain his control and operate the company this way. So the fact that the company has maybe diverted from the typical path doesnt mean they havent paid some eye popping prices for instagram back in 2012. Wh whatsapp y whatsapp. Youre saying he deserves this long leash. He deserve this is control. Absolutely. At the time they thought instagram was a dumb move. Its turned out to be a brilliant move. Same with whatsapp. I think the longterm view vision for Something Like oculus and this Virtual Reality interaction is also going to payoff as facebook continues to grow to be a platform where people share experiences and interact. And companies can advertise on that platform and better reach target customers. Facebook up 8 in the pre market. Coming up. Well get you ready for the busiest day of earnings season. Lindsey belle is here with a score card of the report so far and a look ahead of the results. Facebook and twitter question of the day. Bank of japan and the fed standing pat for now. Is this the Global Economy stabilizing, getting worse or better . Born with a hunger to fly and a passion to build something better. And what an amazing time its been, decade after decade of innovation, inspiration and wonder. So, we say thank you america for a century of trust, for the privilege of flying higher and higher, together. A busy day ahead. Two key economic reports out this morning. At 8 30 eastern get the first glance at First Quarter gdp growth. As you might imagine its expected to have shroud at the rate of. 7 down from 1. 4 in the fourth quarter. Also this morning, weekly jobless claims forecast to tick up. Well be watching for all of that as well as a busy earnings day. With half of the companies in the s p 500 have already released results. But today is the busiest. So far about three quarters of the companies that have reported have beat expectations. Which is ahead of the historical average. Joining us to highlight some of the key themes that have dominated this crucial time of year is lindsey bell. Welcome and good morning. Good morning. What are your takeaways so far . There seems to be surprise that the weakness in tech, facebook, surprise in strength of energy what. Do we take away so far . I think tech isnt all bad. It was great to see facebook and paypal post strong numbers. And you mentioned the beat rate about 74 for the index overall. That is the same as the tech sector. So they are not performing below average and also they are beating on sales at 64 rate and that is better than the 60 average for overall index. One of the themes we saw in earnings that really allowed that sector to outperform over the last couple of weeks was cost control. Is that crucial across sectors . Absolutely. Materials and are two othat have seen the most increase because they are able to cut cost. And in fact you have had Companies Like dupont and dupont mining raise guidance because of their ability to cut cost. But are we seeing these Companies Raise guidance and say were not expecting revenue to slow but perhaps not necessarily hold the key to growing revenue or growing earnings . Revenue is still expected to be done this quarter for the fifth quarter in a row but down 1. 2 is a heck of a lot better than down 3 fact the last thre quarters. Whats plagued the headlines is Foreign Exchange rates. The dollar has been so strong. In the First Quarter we saw it weaken a little and it is the first time we are finally hearing management teams talk about how that is going to benefit others. Some of these companies are increasing full year guidance by 10 cents. Report tomorrow and since the middle of the Quarter Energy prices have rebounded a lot. Do you get a sense what they report then for q1 is not going to be that absolutely, guidance will certainly be key. Only 20 of the Energy Sector has reported so far. So conoco today. Exxon tomorrow. Historically analysts have had a hard time modelling numbers for this sector just because they just it is hard to tell what companies are going to do with cap x and things like that. And volatile oil prices certainly dont help. So seeing what they have to say about that will be very important. And it is the First Quarter for energy to post negative profitability, ever, since we started collecting data. You generally think something cant fall by more than a hundred percent. But when it goes negative, it sure can. In other news this morning. Deutsche bank posting 58 drop in profits, still topping expectations. The firm hurt by turbulent financial markets. Of course it is still in the middle of a restructuring. And cnbcs jegeoff cutmore join us. The markets are seizing on the fact that at least this was a positive net profit and not a negative. Because we know Deutsche Bank had a pretty horrible 2015 with that huge six point, eight billion euro loss. This was always going to be a very tough quarter. So a dramatic decline as far as the net profit is concerned. And you know some of the hours still scratching their head about the capital one ratio here at 10. 7 . They would like it to be higher. But i spoke with the cfo marcus shank. He pretty much closed the door on any prospect of Capital Raising in the near term. E also said he thinks the market environment is improving for the bank. Lets just listen to what he said. Weve seen the markets calm down a lot in march and its continued in april. So the performance in those two, march and april, is definitely better. But i would say the highlights from my point of view is on the one hand focusing the bank. But then the external environment being almost the most challenging weve seen in quite a while. Couple of other interesting points here. The market has been wondering whether the Deutsche Post Bank Disposal would actually take placed. It was discussed last year. Remains part of the plan. Markets were wondering if it would follow through. Marcus schenck saying yes that is still very much part of the plan and they continue to look at other ways which they can raise capital and improve the efficiency of this bank by reducing costs. The view continues and i think in this announcement they are also saying a more. A higher reduction in risk weighted assets is part of the investment for the First Quarter. Thank you very much for that report geoff. Still to come a rare look inside the Teheran Stock Exchange. Michelle Caruso Cabrera joins us live. Really good at hiding. Oh, boy. There it is. Ohh. Ooh. [ gags ] so when you need a house cleaner or an exterminator, we can help you get the job done right, guaranteed. Get started today at angies list, because your home is where our heart is. Stephen king, the master of suspense and the macabre. I enjoy keeping people up at night. My Analysis Shows your stories are actually about human connection, even love. Great storytelling needs drama and empathy. My cognitive apis can help any business Better Connect with its audience. You should try writing a book. Find a remote hotel. Bring the family. I do not think that is a good idea. Continuing tensions with the u. S. And iran and the nuclear teal. Joined at the Teheran Stock Exchange now with a look. This was one of the most enjoyable stories here to do here in teheran. People who love the market and invests are the same the world over. And you certainly get to know that. And there are seats where anybody can walk in and sit down and watch trading right on the screens. Very reminiscent of the United States and the 70s. And Financial News network came along. Cnbc and we put the ticker on the screen. It wasnt necessary but that doesnt exist here. Doesnt matter because people still go down there. The minute they learned who we were, they surrounded us. We had so many questions for each other. And one guy asked k you corner the market in the United States . And i said no we actually have rules to prevent that now. And he says we need that here too. Lots of trading. From 9 00 in the morning. To later in the afternoon. The average pe is seven. There is a frontier market. If you want to invest in the auto sector for example. Thats got a pe of 20. We interviewed one of the Vice President s of the teheran stock market and they are very oppositic that with changes not just because of the nuclear deal. But changes in the economy this new government thats been in power much more orthodox in economic policy. So inflation has come way down to almost single digits. Thats been a big improvement for the stock market as well. And heres fact for your next cocktail party. Here it is not bulls and bears. It is lions and boxes. Bulls are lions and bears are foxy. I love that. Any signs that is in the works . The iranian government owed a lot of companies a lot of money. Big arrears. So they said were not going to pay you back. Here is a bond from us. They gave it to them at a discount to face value and now that can be a tradeable asset. And that is how they are building up the capital market. I should at a yield to maturity at 25 . And they paid off the first one last month. And their Interest Rates fell to 21 . And when they pay the next one the Interest Rates will fall again to about 18 . Our very on fox in teheran reporting life. Top stories to come. Including the catalyst behind the big jump in facebook shares. And how many projects elon musk has on his plate as once. Now were learning how he support s his financial em empi. Breaking overnight a central bank shocker. The bank of japan deciding to hold steady. Earnings alert. Investors liking facebook this morning after the social Network Beats the street on strong mobile ad sales. And world according to elon musk. His plans to colonize mars. Youre watching Worldwide Exchange on cnbc. My umbrella my my umbrella hey hey good morning and welcome to Worldwide Exchange. Im wiflfred frost. And something something. Were going all of the great itunes top songs because itunes was launched on this day this throwback thursday. Lets get to the Global Market story. The bank of Japan Holding Monetary Policy steady and cutting inflation forecast. Most boj watchers have been expecting more stimulus. The yen soaring on the move. A huge move. 3 to 108. 15 and of course we have that traditional negative correlation resulting in stocks falling sharply on the nikkei. Were looking at the nikkei down by about 3. 6 . It weighed on broader asian markets as well. They were all down apart from hong kong and in fact australia eking out decent gain after its currency fall yesterday significantly. Certainly the story of the day the big move in the yen and nikkei. And the boj governor kuroda says more time is needed to monitor the time of Monetary Policy and to see the effect of negative rates filtering through the economy and prices. In other Global Markets. Futures in the u. S. Have been effected by the negative sentiment elsewhere. The dow expected to open down 142. The s p by 15 points the nasdaq by 8 points. We had slight gains for the dow yesterday but nothing significant. Europe is in the red as well. Also other disappointing earnings reports today. Germany down 1. 25. Oil prices their highest level of the year yesterday. Wti is flat this morning, 45. 37. Facebook giving nasdaq a lift right now. The earnings and revenue beat the street, helped by a surge in mobile ad sales. Shares up sharply. The social Network Reports it now has nearly 1. 7 billion monthly active users. Facebook also announcing a proposal to create a new class of non voting shares. Gibb as the one time dividend. It would let Mark Zuckerberg sell part of his stake without giving up voting control and remain in active leadership, of course that is because of his plan to give away his majority of his wealth just by the initiative. Looks like it was a great move. Yeah. Hes using it to strengthen his grip on the management position. And that is a very interesting part of these results. Other factors though. The user base already 1. 65 billion. We saw active user growth accelerate to 15 . Look at twitter with a much lower base anyway. And its struggling to get growth and that thing. Extraordinary that the user base accelerated from growth as well. Strong performance from marketers in china. The platform is band in china but lots of Chinese Companies wanting to advertise on facebook in and around the rest of the world. And that is interesting. And facebook growing quick here even though it is not got the platform like that. Because they want to reach the u. S. Consumer. Theres been some trepidation about that from the u. S. Consumer because some products dont live up to the pictures they are posting. But as with any Early Stage Technology im sure they will get the hang of it. Facebook up 8 . Valiant set to make sweeping board changes. Mega joins us from washington with a preview. We saw a lot of familiar faces on the hill yesterday. All testifying in a hearingia valiants practices. This is the third meeting. And this really honed in on valiant. Actually titled their business model. And spent a lot of time looking at the practice and the discount valiant said it was giving to hospitals and trying to pick those apart. And we have testimony here. Take a listen. We have also made mistakes. Including those that bring me here today. In particular, valiant was too aggressive. And i as its leader was also too aggressive. In increasing the prices of some of our drugs in our large portfolio of products. In hindsight i regret pursuing transactions where the central premise was based on an increase in price. Joe papa the former ceo of parago is taking over. Per go wall street journal is reporting maybe coming to the board soon. Ackman detailing the company is not going to take these kind of price increases anymore. But it was not a message that went over well. What sort of mental would this board turnover if it is in fact imminent. What message would that send to washington . The message they are hoping to send to washington is that valiant is turning over a new leaf. The practices are not central to the business model. And they are really just trying to develop drugs. That is the message they are hoping to send. Im not sure it really went over super well with the committee. They are pretty critical of some of these practices. Meg, thank you. In other corporate news. Shares of airbus down sharply this morning as the Company Reports 50 drop in First Quarter net profit. Also warning of serious challenges ahead. And the company also reporting heavier than expected seasonal cash outflow citing delayed jet deliveries. Operating earnings fell 23 . Revenue gaining just 1 . More stocks to watch. Lloyds First Quarter fell 44 as the british bank was hit by restructuring charges and costs to buy back high interest paying bonds. Stepping up cost cutting and reducing mortgage lending as a buy to let market starts to cool down. First solar rose but missed forecasts. Shares down 3. 3 . Go go goldcorp. Shares up 1. 8 . Big tech has seen some big losses since reporting earnings. A combined 1 121 million in market cap. Landon dowdy joins us with more. Wall street is looking for amazon to report earnings of 58 cents a share on revenue of about 28 billion. Beyond the numbers, here are three things to watch. First 2015 was a block buster year for amazon. Can the company keep up the momentum. Last quarter there was a hiccup in margins. Watch to see if there is a reacceleration in operating margins. Amazon web services, their collection of Cloud Services and watch to see if that margin trajectory persists. And other stuff. Thank you very much for that landon. The question is can they do twitter or facebook beat or miss . Well watch at the open. Now for todays top trending stories. If you text and drive, watch out. New York Lawmakers are proposing legislation to let officers use the digital equipment of a breathalyz breathalyzer. A text lieser to tap into the cell phone and check for activity. It can wait. We all see those signs on the side of the road. Meanwhile, venezuela is promoting a two day workweek until the Energy Crisis is over. The country is facing a major drought thats dramatically reduces water levels at its main hydro electric dam. Next trending story. Elon musks space x is announcing plans to send a probe to mars with the longterm goal of colonizing the planet. Announcing it will send an unmanned capsule to mars in 2018 and land it on the surface six months later. After seeing the martian, maybe it is possible. Yeah definitely. And speaking of elon musk. An article this morning titled elon musk supports his business with unusual financial moves. Using personal loans and buying stock of spacex. Credit lines secured with about 2. 5 billion shares of his shares in solar city and tesla. And whatss interesting is hes always financed his next venture with his past venture. Taking out credit could raise some eyebrows. Means needs to keep having success if hes quite leveraged on these things but i suppose the tesla recent share price helps with that. And its National Take your kids to work today. House speaker ryan in washington is celebrating. Were also celebrating here at cnbc. We have only early risers and were putting them right to work. A very good morning to you all and hope you enjoy the day here at cnbc. Brave kids with an early alarm clock. Very early. Seriously impressed. Good sports. Coming up must reads. Including one why Big University saying refunding tuition will help its bottom line. I really want to come kick it with you youll be my american welcome back to Worldwide Exchange. Check out the yen. It is the big mover this morning. It is spiking to the tune of 3 , causing the biggest drop for euro against the yen in five years on the back of the bank of japan deciding not to introduce any further easing measuring, deciding not to introduce a negative Lending Program for the banks. That is certainly a shocker to the Investment Community this morning. The nikkei down 3 in response to that 3 rise in the yen. Lets get to the must reads today. In the Financial Times my favorite title. This responds to the way that not only did the results beat last night but facebook announced a change to its shareholder structure so that Mark Zuckerberg can continue to sell down his stakes and be philanthropic but maintain control of the company and it was a great day for him to do that. The quote says it is reasonable to believe that facebook is the bestmanaged company in the world. But if that view ever changes the grievance can still be expressed in the classic form by dumping shares. And an interesting stake on it. In twitter people dont really see a Clear Management process and the performance and share price has responded in tune. You can always vote with your dollars. Absolutely. My pick is in the washington post. How a university gives tuition rebates to some members of its graduating class. The president of howard saying, quote, if we can give an incentive to push students to finish in four years, we are actually going to save money. They found about a hundred students that would graduate this year or next year and tried to incentivize them by refunding the tuition they paid out of pocket. On average students would get about 2300 dollars. Student debt is such a huge problem in the country. This year it reached 46,600 pe person in the United States. All of these stories astonish me. Because universities here are just so expensive. In the uk there is a lot of pressure because tuition fees have gone up. But relative to u. S. It is a small base. College tuition here expensive to approach. Probably worth it in the long run but expensive at the time. Well were approaching the top of the hour so the team is getting ready for squawk box. A look at whats coming up and. Two things. Im adding to your must reads. I actually want to add a must read that you are going to read today and hopefully talk about again tomorrow which is to say i have an interview with president obama which just came out online in new york times. Com. So check that out. And we can discuss it if at all tomorrow morning afterwards. And in the meantime here is what we have going on today. Ceo of ford. Mark sur rel, the world of advertising and the pulse with the and i. And one of the folks grilling bill ackman yesterday will be here. And more. Its take your kids to workd workday. Yes. And i know that your kids have come to work in the past. But i want to know what you are planning to impress upon the young minds of america this morning that come to squawk box . You know that is a question thats too early in the morning for me to properly answer. I need to give that some thought. That should be a thoughtful answer and im going take a pass on that at the moment. Because i just cant do it. And can you also ask sir martin if hes brought his metal with him. He was awarded the st. Gorges medal of honor last night. Well check in on that and make a point of that. Please do. And ill send him your best. I assume you would like to congratulate him a little well i already did that last night. So dont give him too much praise, you know. We look forward to seeing you in squawk box coming up in 9 minutes time. And dont forget about the bank of japan shocker overnight. Michelle girardi joins us nex j. Welcome back. Yesterday, early this morning t bank of japan not changing its action. No easing. Joining us is michelle girard. Good morning to you. Earlier we asked on twitter whether the fact that bank of japan and the fed havent acted whether that meant it was stabilizing, Getting Better or worse . 55 say getting worse. Whats your take . I think what were seeing from the fed is that there is a greater degree of comfort with the outlook than there was even just a month or two ago. In particular with the statement t fact they were they said now they are monitoring global risks as opposed to in march the risks of the Global Economic and financial posed risks to the u. S. Economy t global developments. So i feel that the fed feels a bit more comfortable now in terms of the boj while they took no action, they downgraded some forecasts. In general were still in a world where Monetary Policy makers remain cautious. They are going to be slow to act in both directions, as they really just try to get their arms around exactly how things are going unfold and the interplay between different growth speeds and different countries. This is a global environment. And i think the takeaway from the fed and the bank of japan is just a more cautious approach on both fronts. Does that mean that this worry this, policy of u. S. Central bankers and central bankers elsewhere in the world that it was dwernling further, is that gone . Iverging further, is that gone . Even if the fed stuck with their guidance of moving once per quarter this year, thats a very slow pace of policy normalization. And i think too when you look at the easing actions that have been taken were also looking at a slower pace. Were seeing support but were not seeing the kind of emergency actions we saw when the Global Situation was much worse. So i think were looking at a state where we can see what appear to be very modest diversions and that is probably going to continue to be the case where the u. S. Is going to be tilt on balance towards moving rates up slowly. But these are not things that i think should lead to huge gyrations necessarily in the Foreign Exchange markets for example. Michelle thank you very much. Afraid were going to have to leave it there. Weve been beaten by the clock. Michelle girard. Key things to watch today. The yen, as well as couple of earnings coming up. Jobless claims, gdp, amazon after the bell. And conoco phillips, the first of the Big Energy Companies to report. Thats it for Worldwide Exchange. Squawk box is next. Have a lovely morning. Make a daughter cry i apologize a trillion times good morning. Facebooks results topped the street. And the stock avoids what weve seen so far. A tech wreck. But Global Markets are driving the action. They are falling and so o are futures here in the United States. And it is all about japan. Valiant cleaning out. The Pharma Company making sweeping changes to the board after outgoing Ceo Michael Pearson and its biggest shareholders bill ackman get grilled on capitol hill. Who needs that if you are a Hedge Fund Guy . And ted cruz takes it to the ring. The texas senator naming Carly Fiorina as his running mate in a last ditch effort to make up ground. Remember reagan did this first time under a, announced an early vp. Squawk box begins right now. April 28, 2016. Live from new york where business never sleeps. This is squawk box. Good morning. Welcome to squawk box. Right here on cnbc. Carly evans is hanking o ihangi us this morning. The big story this morning, the bank of Japan Holding its Monetary Policy steady and cutting its inflation forecast. Most boj watchers have been

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