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51818d275bf8ab411b8d2e4f7920798f | https://www.cnbc.com/2015/02/18/-redefine-luxury-and-the-stakes-are-high.html | Millennials redefine luxury—and the stakes are high | Millennials redefine luxury—and the stakes are high
VIDEO1:2901:29Nanette Lepore backstage at NY Fashion WeekSquawk Alley
At its core, luxury is a pretty basic concept.
You take a high-quality piece of merchandise, assign it a lofty enough price tag to account for its uniqueness and craftsmanship, and use all those facets to lure wealthy consumers.
These hallmarks have been in play for centuries and remain the key motivators behind the high-end retail market, which accounted for about $390 billion in 2012, according to the Boston Consulting Group.
As timeless as these pillars may be, however, the industry is in the midst of a seismic shift, as younger shoppers, new technology and the desire to spend on high-end experiences are reshaping modern luxury.
Read MoreThe biggest threat to luxury brands' rapid growth
While some brands have been slow to adapt to this sea change, forward-thinking labels and designers have already taken notice, and spoke to the trend at New York Fashion Week.
"Every generation brings its own trend, its own taste, its own way of living," said Jean-Claude Biver, chairman of luxury watchmaker Hublot. "The younger generation is more disruptive."
Models pose during the Kate Spade presentation during Fashion Week in New York.Adam Jeffery | CNBC
According to the Chamber of Commerce, millennials have about $200 billion in direct purchasing power and account for $500 billion more in indirect spending through influencing their parents. By 2017, the generation is expected to outspend the baby boomers, according to a separate study by Berglass + Associates recruiting firm.
The stakes are therefore high for luxury brands, which are hoping establish a connection with young shoppers before they hit their peak spending power. Hublot, whose watches sell for thousands of dollars, is one company that's taken this approach. It recently added 29-year-old model Bar Refaeli to its roster of brand ambassadors to connect with millennials.
Read MoreBuyer beware: What that deal really gets you
Similarly, while Kate Spade has continued courting its older customers by using 93-year-old fashion icon Iris Apfel in its latest advertising campaign, it's also tapped 22-year old model Karlie Kloss.
"It's talking to those girls early and really sort of getting them in and hooking them in with something small that's clever and witty but fits into their lifestyle," the brand's creative director Deborah Lloyd said.
Contemporary designer Rebecca Minkoff, herself a millennial, uses her age to tap into what young shoppers want. That goes not only for her apparel and accessories designs but also for the incorporation of technology into the brand's identity.
At her fall show, for example, Minkoff used a set of GoPro cameras to livestream the runway and backstage chaos to fans. And after opening a high-tech store in Manhattan late last year, the label is also working on new stores in Chicago and LA.
Minkoff said the label's ready-to-wear sales at its futuristic store—which includes smart dressing rooms that suggest complementary pieces—are outpacing those at other locations.
Read MoreWhat not to wear: The most out-of-style fashion stocks
"I'm, I guess, the eldest of the millennials, so I feel like I grew up in that time and I know what she's thinking and I am thinking," Minkoff said. "It's the girl that's going to grow with me but it's also me going, what was I like when I was 20? What did I aspire to own but I couldn't afford?"
Lubov Azria, leader designer at BCBG Max Azria, doesn't have the benefit of tapping into her age to reach younger consumers. She does, however, have five daughters, three of whom are millennials.
"The most important [thing] is to understand that you're not designing for yourself," she said. "You're designing for the customer and understanding their needs."
Aside from being more tech-savvy, millennials are also more willing to experiment with emerging brands, said Andrew Robb, chief operating officer at Farfetch. His company handles the Web operations of 300 high-end boutiques around the globe.
Read MoreThe event that's bigger than the Super Bowl for NYC
"There's this real change happening where people are moving away from just the big magazines dictating a viewpoint," he said in an interview last month, crediting fashion blogs as one of the catalysts. "A lot of the time I'll find customers are shopping with us because they love the fact that these boutiques stock these emerging labels."
Another big change happening within the industry—partially due to the influence of millennials—is the evolution of the term "luxury."
It no longer refers exclusively to purchases such as handbags or jewelry. Now, it includes higher-price farm-to-table foods and craft beers, as well as pricey experiences such as travel.
Models walk the runway during the Monique Lhuillier fashion show in New York.Adam Jeffery | CNBC
Paired with millennials' acceptance of renting instead of owning luxury, made popular by sites such as Rent the Runway, this shift in spending patterns has caused some analysts to view the outlook for traditional luxury brands with a bit of trepidation. BCBG's Azria had a different take.
"When you're traveling, that is the reason why you buy clothes," she said. "So I think actually that stimulates the shopping."
Despite their differences, millennials' penchant for discovering new brands, high-quality goods and a company's heritage make them natural luxury consumers, said Matthew Woolsey, executive vice president of digital at Barneys New York.
The key in meeting this list of needs, Biver said, is to stay true the company's DNA, while still pushing the label forward. Hublot does this by embracing its roots as a Swiss watch company, while continuing to modernize its designs for a new wave of customers, he said.
"The heritage of Ferrari cars … is huge," he said. "But they don't make old cars."
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1386092c04af2bb98c916d19b67569e7 | https://www.cnbc.com/2015/02/18/greek-philosophy-conflict-of-ideas-driving-the-crisis.html | Greek philosophy: Conflict of ideas driving the crisis | Greek philosophy: Conflict of ideas driving the crisis
German Finance Minister Wolfgang Schaeuble and former Greek Finance Minister Yanis Varoufakis.Fabrizio Bensch | Reuters
As European politicians ponder how to solve the current impasse over Greece's debts to international creditors, some of the key players seem to be digging out their philosophy books.
The country's erudite Finance Minister, Yanis Varoufakis, cited German philosopher Immanuel Kant in a New York Times editorial published Tuesday – a nice reminder of Europe's shared cultural history - as he pled with those reading to help the Greek people escape the bonds of austerity.
Greece: The final countdown
Kant "taught us that the rational and the free escape the empire of expediency by doing what is right," he argued. Whether "doing what is right" in this case means "doing what Varoufakis wants" is, of course, open to debate.
Wolfgang Schaueble, the German finance minister, seemed to be adopting a rather dogmatic philosophy, by contrast.
When asked about the potential for changes to the existing programme by German state television channel ZDF Tuesday night, he said: "It's not about extending a credit programme but about whether this bailout programme will be fulfilled, yes or no."
Friedrich Nietzsche pointed out that the German word for "guilt" and "debt" is one and the same: "Schuld." The German philosopher argued that those who could not pay financially paid instead through other kinds of suffering.
Economist Stuart Holland, who co-authored "A Modest Proposal for Resolving the Eurozone Crisis" with fellow economist James K. Galbraith and Varoufakis, has previously drawn parallels between the Nietzschen perspective on debt and German leaders' current stance.
What’s the Real Story Behind Euro Zone Crisis?
The Greek portrayal of the current situation suggests something of a Manichean view of the world – one with a clear struggle between good and evil.
"Some of the acrimony may result from Greece trying to cast this as a battle for right versus wrong, while the Eurogroup (of euro zone finance ministers) sees this as trying to resolve a business deal gone bad," Steven Englander, global head of G10 currency strategy at Citi, argued.
What the resolution of the crisis may come down to, of course, is the dictum of 6th century philosopher Pythagoras (he of the triangular theorem): everything can be explained by mathematics.
- By CNBC's Catherine Boyle
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b9c4ca6b111d7fde2d0b0173ad404c65 | https://www.cnbc.com/2015/02/18/tinder-for-pot-lovers.html | Tinder for pot lovers | Tinder for pot lovers
VIDEO5:5605:56Tinder for Pot Lovers
Just last week a new dating app went live on Apple's App Store. It's designed for pot lovers who want to hook up, hence the name: High There!
"This app gets those cannabis consumers to connect with each other," co-founder Todd Mitchem said.
Watch Mitchem pitch his pot start-up to angel investor Alicia Syrett, Canopy Boulder co-founder Patrick Rea, and Cheryl Shuman, the "Martha Stewart of Marijuana." Will the panel swipe right on his big idea? Click the video to find out.
This isn't the first time Mitchem has lit up a start-up. He's been consulting businesses in the cannabis space for two years and co-founded two other marijuana start-ups based in Denver.
Mitchem, who's a bachelor, said his involvement in the cannabis space was always a red flag on the dating scene, and often doused his chances with women who didn't like his love for weed. That was the seed that led Mitchem to co-found High There.
"We wanted to build something that connected the millions of cannabis consumers all over the world to each other. … Personally I am going to find Ms. Right on there I just know it," he told CNBC.
The High There! app connects cannabis usersSource: High There!
But Mitchem believes the app is bigger than just linking pot-loving lovers. He also wants it to connect people who use medicinal marijuana to find new friends facing similar health issues.
How does it work? Users create a High There profile that includes a photo, and answer questions on topics like how they like to consume marijuana and what other activities they enjoy after a few hits.
Much like Tinder, users swipe right to connect with potential matches and swipe left if they are not interested
While High There has been available on Android since Feb. 6, 2015, it's one of the first marijuana social networking apps to be cleared for distribution by Apple in the App Store. Apple has attached some strings to the High There's distribution. For instance it only allows downloads by users who are 21 and over and only makes the app available in the 23 states where some form of marijuana is legal.
During the Power Pitch segment, Rea asked if there is room on people's phones for what appears to be a tinder clone.
"Consumers like me want to connect with other people like us in a way that's safe, and in a way we can count on, so I think there's plenty of room," Mitchem responded.
Read MorePot start-up rolls out accessories
ArcView Market Research predicts the market will reach 3.5 billion this year, although it has no specific research on apps in the space.
But the "pot-repreneur" faces competition from other players in the cannabis social networking space like MassRoots, and another app set to launch in spring called Duby.
Mitchem has high hopes for the start-up he launched in June 2014. He told CNBC the app hit almost 4,000 downloads almost immediately after its Android launch and is now growing at about 2,000 new users per day. The app is free and he said he doesn't like the idea of charging for downloads.
"That's like inviting people to a big fun party and then charging a cover. I don't like that," he said.
Mitchem told CNBC he's not quite ready to discuss the specifics of his monetization plans for the app, but he said making money is definitely part of the plan.
"We are building something special that will give users control over the monetization without asking them to pay us to be there," Mitchem said.
High There has 10 employees and is self-funded with $250,000.
--By CNBC's Joanna Weinstein
--Comments, questions, suggestions? We'd love to hear from you. Follow us @CNBCPowerPitch and join the #PowerPitchconversation
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a575cd9879c5c7dceedaf6c35d501885 | https://www.cnbc.com/2015/02/19/greece-requests-loan-extension-from-creditors.html | Germany rejects Greece's application to extend its loan agreement | Germany rejects Greece's application to extend its loan agreement
VIDEO2:0602:06ECB denies talk of Greek capital controlsWorldwide Exchange
VIDEO2:1202:12Capital controls are a 'last resort'Worldwide Exchange
VIDEO2:0502:05Greece should return to drachma: Ifo's SinnSquawk Box Europe
Germany has rejected Greece's application to extend its loan agreement and renegotiate the terms of its bailout, raising the very real threat of Athens running out of money in the coming weeks.
The Berlin government said on Thursday that Greece's application for a six-month extension of its loan and a renegotiation of some of its terms was "no substantial solution."
"In truth it goes in the direction of a bridge financing, without fulfilling the demands of the program. The letter does not meet the criteria agreed by the Eurogroup on Monday," German finance ministry spokesman Martin Jaeger said in a statement.
Earlier in the day, Athens formally requested to prolong its "master financial assistance facility agreement."
In the proposal, the left-leaning Syriza Party had offered a series of concessions to its previous hardline stance that it would unilaterally scrap the austerity measures imposed as part of the country's 240 billion euro ($270 billion) bailout. It pledged to work with the European Union and the International Monetary Fund in reworking the terms of the bailout and to not make any unilateral decisions when it came to the terms of the austerity package.
Read MorePathways to a Greek euro zone exit
The Eurogroup of finance ministers from the 19 countries that use the single currency is due to meet on Friday to discuss the Greek plan. There has to be unanimous agreement among the group for any policy decision to go ahead.
The current program—which included the EU and IMF as creditors—was due to expire in little more than a week. Without further funds, Greece would soon run out of money raising the prospect of a default on its bonds and a possible exit from the euro zone.
Europe's markets were broadly flat on the news of the Berlin rejection, however, and the euro was down 0.12 percent against the dollar at $1.138.
The Athens government responded to the German rejection by saying it was up to the entire Eurogroup to decide on the proposal. "Tomorrow's Eurogroup has only two options: either to accept or reject the Greek request," a government official said, according to Reuters.
"It will then be clear who wants to find a solution and who doesn't."
Overnight, facing the prospect of Greece's banks running out of cash, the country has been allowed more provisions via a Emergency Liquidity Assistance from the European Central Bank. This differs from its main bailout program and doesn't include the tough austerity policies that Greece policymakers are trying to negotiate over.
The situation has become so heated in recent weeks that some prominent economists now believe the time is right for Greece to leave the euro zone
Hans-Werner Sinn, president of the Munich-based Ifo Institute for Economic Research, said Greece's creditors needed to "face the truth" and realize the country is bankrupt and needs to undergo a devaluation in order to regain competitiveness.
"Going to the drachma is the only possibility I believe, because then the economy will be revitalized rather quickly," Sinn told CNBC Thursday.
"We have to accept that as creditors and face the truth and reduce the burden to the Greek people," he added.
He argued that the drachma—its currency before it adopted the euro—would help stimulate the country's economy. For example, Greece would stop importing agricultural products from other euro zone countries if it were using the drachma because they would be more expensive, Sinn said.
"The people will go to their farmers and buy the products there, so there will be more jobs there," he added. "Second, tourists will come back from Turkey and go to Greece."
He added that Greeks who have transferred money abroad because of fears of capital controls would be more willing to bring it back to the country and buy cheaper real estate. This would lead to a construction boom and potentially a fillip for manufacturing too, the widely respected economist argued.
Bob Parker, senior investment, strategy and research advisor at Credit Suisse, told CNBC the level of brinkmanship in the region was "quite extraordinary"
"I really have to question whether actually people realize the downside risk if there is a Greek exit. What would be the writeoffs, for example, at the European Central Bank?"
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dccb632ca8d7f57aa422a2fa7276ef7a | https://www.cnbc.com/2015/02/19/is-this-the-worlds-oldest-mcdonalds-burger-and-would-you-eat-it.html | Would you eat the world’s oldest McDonald’s burger? | Would you eat the world’s oldest McDonald’s burger?
How long have you kept expired food in the fridge? A few days? A week tops? How about decades?
Well two Aussies have preserved a McDonald's Quarter Pounder with cheese in its original wrapping for 20 years—and it's showing no signs of rotting or mold.
Read More Caviar with gold: The world's most expensive food?
Credit: Casey Dean & Eduard Nitz | "Can This 20 Year Old Burger Get More Likes Than Kanye West?" (Facebook page)
It all started in 1995, when friends Casey Dean and Eduard Nitz went out to grab some food from a McDonald's chain in Adelaide, Australia. One of their friends didn't eat their burger, asking them to "hold on to this for next time."
Consequently, Nitz kept it locked away for safekeeping in a wooden box until the pal came back for his meal, which he never did.
by simply being kept in the box. Consequently, the burger has dried out with a "rock hard" texture, according to a recent interview with Dean and Nitz for "The Project," a talk show on Network Ten, Australia.
What started off as a joke has now turned into a social media phenomenon and a charitable campaign.
The two Aussies have now capitalized on this vintage delicacy by setting up website Senior Burger where you can download the official song "Free the Burger" by The Pentagonal Diagonals and buy merchandise. Proceeds from the song and gift sales go to Beyond Blue, a national initiative in Australia to raise awareness on anxiety and depression.
Read MoreFancy a year's supply of burgers – for only $144?
To spur further interest and preserve its legacy, the dynamic duo have now added a special celebrity face: Kanye West. A logo of the American rapper biting into a burger is used on T-shirts, throw pillows, leggings and iPhone/Samsung Galaxy phone cases.
Dean told CNBC via email that "the campaign is going amazingly well! The story has been on every national TV and radio station in Australia and hundreds around the globe. The single 'Free The Burger' is going crazy on iTunes and the merch is selling like mad!"
"We couldn't be more amazed/happier about how things have turned out, but at the end of the day we can raise some money for a great cause," Dean added.
In terms of the future of the burger's legacy, Dean told CNBC that "We're currently chatting to Guinness book of records about getting a place in their book and we'd like to go on a world tour to get people to think more about what they put into their body."
Dean added that "everyone has asked us to eat it but we consider it to be our little solid friend, and you don't eat your friends."
Read MoreMcDonald's secret Big Mac sauce on eBay for $17K
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13db0712c053b8a9eed5ab374084eeaa | https://www.cnbc.com/2015/02/19/middle-class-stagnation-what-obama-plans-to-do.html | Middle class stagnation: What Obama plans to do | Middle class stagnation: What Obama plans to do
VIDEO2:0802:08Middle class stagnation: What Obama plans to do
President Barack Obama has long since passed the point when Congress would readily enact policies he favors. But by dissecting the forces underlying middle class income stagnation, he seeks to shape what Washington does about it—now or later.
That's the significance of the 2015 Economic Report of the President released by the White House on Thursday morning. It doesn't reveal anything Wall Street and Main Street don't already know about current conditions, which include solid overall growth, accelerating job creation and continued low inflation.
Read More
Kevin Lamarque | Reuters
But it tries to remove the mystery from the failure of average families to get ahead—not just in the recovery from the Great Recession, but for a very long time. The president's economic advisers divide recent American history into three distinct economic eras.
The first, from 1948-1973, they call "The Age of Shared Growth." Economic innovation made worker productivity soar. Income inequality shrank, and a surge of working women expanded the labor force. Incomes grew fast enough to double in 25 years.
Read More
The second, from 1973-1995. they call "The Age of Expanded Participation." Productivity growth slowed and profits flowed increasingly to the highest earners. But even faster growth of women in the workforce masked those developments.
The third, from 1995-2013, they call "The Age of Productivity Recovery." Technological change accelerated output per worker once again. But the benefits were offset by continued income inequality and a fall in "labor force participation" by men and women alike.
"This is the big picture challenge we're trying to overcome as an economy," said Jason Furman, who chairs Obama's Council of Economic Advisers.
VIDEO0:5200:52Walker on Giuliani, Obama and love of AmericaSquawk Box
The report includes Obama's prescriptions for meeting the challenge. They include more government spending on education and infrastructure to raise productivity further, higher taxes on the wealthy to curb inequality and new immigration policies to safeguard the supply of workers as more baby boomers retire.
The president casts trade expansion—a rare source of agreement with Republicans and discord with Democrat-friendly labor unions—as a boon to average workers because of the inclusion of labor standards that prevent an international race to the bottom.
At a briefing for reporters, the White House advisers acknowledged that some long-term trends remain only dimly understood. One is the gradual long-term decline of labor-force participation by men. In part, they said, it may reflect positive trends such as health improvements that allow more men to reach their retirement years. But it's also in part a measure of technological changes that have left some low-skilled male workers behind.
Read MoreFederal Reserve minutes indicate no rush to raise interest rates
Agreement on the causes won't produce agreement on solutions in any event. Except for trade, congressional Republicans reject virtually all of Obama's economic agenda. Their own, and that of GOP candidates for the White House in 2016, includes tax cuts and reduced regulations.
The Democrats' leading White House prospect, former Secretary of State Hillary Rodham Clinton, is developing her own economic platform and will have incentives to separate herself from an incumbent in his seventh year. But Obama aims to shape that debate even as its focus inexorably shifts from his presidency toward his successor.
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64ed1c7a215bacb75ff27c2702dc96f3 | https://www.cnbc.com/2015/02/19/wal-mart-ceo-on-pay-hike-were-adjusting-to-the-market.html | Wal-Mart CEO on pay hike: Employee morale will help business | Wal-Mart CEO on pay hike: Employee morale will help business
VIDEO1:4001:40Wal-Mart CEO on pay hike: Associates need to be happy
VIDEO3:2603:26Jerry Storch: Wal-Mart pay hike greatHalftime Report
VIDEO1:4901:49Blodget: Let's salute Wal-MartSquawk Alley
Wal-Mart is raising wages for some 500,000 hourly employees because worker pride in the company is vital to running a good retail business, CEO Doug McMillon told CNBC on Thursday.
"We make wage adjustments all the time. We just decided this is a really good moment to be more bold," McMillon said in a "Squawk Alley" interview. "Right now we want to make sure everybody is crystal clear how vital our store experience is to our future."
McMillon spoke on CNBC after Wal-Mart announced that hourly workers will earn at least $1.75 above the the current federal minimum wage, or $9 per hour starting in April. By next February, they will earn at least $10 per hour.
McMillon said Wal-Mart is trying to position itself ahead of the market in order to retain the best talent available as the employment situation continues to improve.
"Today's cashier is tomorrow's store manager. Tomorrow's store manager may have my job, so we want to make sure that opportunity is there for people, as it has been for so many of us in the past," he said.
The National Employment Law Project's Tsedeye Gebreselassie called Wal-Mart's decision to raise wages a small step in the right direction.
"It's really not enough especially considering the company is so profitable, posting $16 billion in profit last year," she said in an interview with CNBC's "Power Lunch."
On top of that, she said, because Wal-Mart is the nation's largest private employer, it has a real obligation to do better.
Retail expert Jan Kniffen of J. Rogers Kniffen Worldwide applauded the move, and said it will cause other retailers to follow suit.
"Long term this is going to be a real positive for Wal-Mart. They're going to have better employees. They're going to have happier people. The federal government will be off their back. The state government is off their back. The local government is off their back," he said.
"Wal-Mart will no longer be the most hated retailer in America."
VIDEO2:1102:11Wal-Mart to raise entry wage to at least $9/hourSquawk Box
Wal-Mart's announcement should ease customer complaints, Deutsche Bank analyst Paul Trussell told CNBC.
"Frankly part of Wal-Mart's problem has been concerns around inventories being out of stock, been about bad customer service, long lines at the checkout counters. There's been a lot of disgruntled workers," he said.
The move appears to be an effort on the part of McMillon and Wal-Mart U.S. president and CEO Greg Foran to correct some of those past evils, he said.
Read MoreWal-Mart will give half-million employees pay raises
The retailer said spending on wage and training initiatives, as well as incremental investments in e-commerce, would cost the equivalent of 26 to 29 cents per share.
Wal-Mart also released quarterly results, reporting earnings that beat forecasts, though revenues fell short. Its stock price was down 3 percent Thursday afternoon. (Click here for the latest price.)
It reported adjusted earnings of $1.61 per share, compared with $1.60 a share last year. Revenue rose to $131.57 billion from $129.71 billion a year ago.
Sales at comparable U.S. stores rose 2.1 percent, marking a second quarter of growth in that category.
"That's the best sales growth we've had out of the U.S. business in a few years," Trussell said. "I think that does speak to a lot of the questions we've had about the consumer and are they benefiting from this environment that includes lower gas prices, so it's at least a step in the right direction."
Read More Jim Cramer: Thumbs up for Wal-Mart pay hike
Comparable store sales were helped by lower fuel prices, McMillon said. The company estimates that the average U.S. household saved about $176 on gasoline in the fourth quarter and spent more than half of those savings on food as the cost of beef and other commodities rose.
Milder weather relative to last winter also provided a tailwind, he added.
While the quality of Wal-Mart's store experience has improved, McMillon said, the company still has a lot of work to do.
"I think as the months and the quarters go on, we can build a better store experience that will create sustainable and positive comp numbers, but I don't want to underestimate just how much help we got in the fourth quarter externally," he said.
—CNBC's Michelle Fox and Katie Little contributed to this report.
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0cea68a6f7db50bd40e3e6a2e9c79373 | https://www.cnbc.com/2015/02/19/wal-mart-wage-hike-may-be-economys-missing-link.html | Wal-Mart wage hike may be economy's missing link | Wal-Mart wage hike may be economy's missing link
VIDEO4:0004:00Wal-Mart's big reset: Cramer
When the biggest retailer in the world talks wages, other companies are going to listen.
Wal-Mart's shock announcement Thursday that it is going to begin increasing the minimum wage for its employees sparked hopes that a movement toward higher pay for those at the the lower rungs would gain momentum.
If so, that would generate long-awaited wage inflation, the lack of which has been a main contributor to the lackluster post-recession economic recovery in the U.S., the worst since the Great Depression.
"What Wal-Mart has done today is set the new benchmark for employee pay for big-box stores," said retail expert Brian Sozzi, CEO and chief equities strategist at Belus Capital Advisors.
"If you're a teenager working in an Abercrombie & Fitch and getting paid minimum wage, it might be cooler to work at a Wal-Mart, where you get training and a higher pay," he added. "It could not only spread to the big-box retailers, but also spread throughout the mall."
Read MoreWal-Mart CEO: Pay hike will boost morale
In terms of direct economic impact, the move doesn't carry a lot of actual dollar weight. The company, which employs 1.3 million in the U.S. alone, plans to boost its minimum pay to $9 an hour by April and $10 an hour by Feb. 1, 2016. The current federal standard is $7.25.
An employee rings up sales at a cash register of a Walmart store in Los Angeles.Robyn Beck | AFP | Getty Images
Using a set of "very generous" assumptions, such as figuring that all Wal-Mart workers put in the maximum 30 hours to be considered part time, and they all work 52 weeks a year, that would generate an additional $1.5 billion annually to a national wage base of $7.5 trillion, said Tom Porcelli, chief U.S. economist at RBC Capital Markets, in a phone interview.
"The impact is without question small," Porcelli said. "The question is ... what are the knock-on effects of what Wal-Mart did?"
That question becomes even more important when it comes to setting policy.
The Federal Reserve has been stuck at near zero for its short-term rate target for more than six years, holding it there as the labor market mends but inflation remains perilously low as measured by the central bank's preferred gauges. Until it sees signs of inflation, and specifically the type that higher wages would generate, the Fed is likely to move slowly and cautiously toward a normalized rate environment.
Wal-Mart's announcement comes after a solid two years of lobbying both from worker advocate groups and President Barack Obama's White House, which has set up a Web link—Raise the Wage—that monitors the progress companies, states and municipalities are making toward hiking the benchmark.
Read MoreMiddleclass stagnation: What Obama plans to do
Already in the past year some high-profile announcements from companies including Aetna, Ikea, Disney and Starbucks have declared minimum wage increases. State and local governments have independently raised as well. Sozzi sees the Wal-Mart announcement putting pressure on competitors including Target and Sears among others.
States that hiked in 2014
State New Wage Workers benefiting Connecticut$10.10 by 2017138,000Delaware$8.25 by 201530,000Hawaii$10.10 by 201871,000Massachusetts$11 by 2017540,000Maryland$10.10 by 2018286,000Minnesota$9.50 by 2016347,000Michigan$9.25 by 2018482,000Rhode Island$9 by 201551,000Vermont$10.50 by 201820,000West Virginia$8.75 by 201695,000
Overall wage growth in the retail sector outpaced the broader workforce in 2014, according to an analysis from payroll processing firm ADP. The trade sector, which includes retail, saw wages grow 4.4 percent during a year in which all groups rose by just 2.3 percent.
However, advocates for a higher minimum wage tempered their enthusiasm over the latest development.
"Because it's Wal-Mart, because it has such a massive impact on our economy, it's a significant announcement," said Tsedeye Gebreselassie, senior staff attorney at the National Employment Law Project. "But it's definitely not enough—$10 is not enough. ... This is still poverty wages."
Those working at that level are, though, getting more optimistic.
Read MoreJimCramer: Thumbs up for Wal-Mart pay hike
Turnover rate for 2014 among those under 25 years old—a demographic that makes up just more than half of all minimum wage workers—was 49 percent, indicating that job mobility was high, especially when compared to the overall rate of 23 percent, according to ADP.
Nick Colas, chief market strategist at ConvergEx, used a novel method to determine the general climate for wage hopes—Google Trends, which shows traffic on the search engine for various terms. In his morning note Thursday, Colas explored a number of areas, among his findings for job searchers:
"Ask for a Raise" shows wage inflation is finally (almost) here. Some Federal Reserve policymakers would like to see wage inflation heat up, since this should theoretically push overall inflation closer to the central bank's 2 percent goal. When you look at the pace at which Google users query "Ask for a raise," you'll find that should be here soon. Workers interested in asking for more money are searching for this term at rates equal to the period before the Financial Crisis. So if we don't have much wage inflation yet, it may be because employees are still working out how to ask for more money. Once they get their pitch down, look out… "Get a Raise" gives wage inflation a Southern drawl. As you work with Google Trends you grow to appreciate regional variations for the same term. In Kentucky, the Carolinas, Kansas and the Deep South you Google "Get a raise," not "ask for a raise." Same trends though—more people are searching for this term than in 2005-2009.
Colas concludes that amid the hopes that stronger wages will accelerate the recovery, "the U.S. economy may, by the traditional numbers, be solidly on the mend but the actual foundations of this recovery are still shaky."
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a570371c1ecefb01264ded3f1c995522 | https://www.cnbc.com/2015/02/19/worried-depositors-rush-to-pull-cash-out-of-greek-banks.html | Worried depositors rush to pull cash out of Greek banks | Worried depositors rush to pull cash out of Greek banks
VIDEO2:0602:06ECB denies talk of Greek capital controlsWorldwide Exchange
In the midst of the dramatic showdown in Brussels between the new Greek government and its European creditors, many Greek depositors—spooked by the prospect of a Greek default or, worse, an exit from the euro zone and a possible return to the drachma—have been pulling euros out of the nation's banks in record amounts over the last few days.
The Bank of Greece and the European Central Bank won't report official cash outflows for January until the end of the month. But sources in the Greek banking sector have told Greek newspapers that as much as 25 billion euros (US $28.4 billion) have left Greek banks since the end of December. According to the same sources, an estimated 900 million euros flowed out of Greek banks on Tuesday alone, the day after the talks broke up in Brussels, sparking fears that measures will be taken to stem the outflow. On Thursday, by mid-afternoon, deposits had shrunk by about 680 million euros (US $773 million).
"If outflows reach 1 billion euros, capital controls might need to be imposed," said Thanasis Koukakis, a financial editor for Estia a conservative daily, and To Vima, an influential Sunday newspaper.
On Thursday, Germany rejected Greece's application to extend its loan agreement for four months and renegotiate the terms of its bailout, raising the threat of Athens' running out of money in the coming weeks. Under the current program, the country has received 240 billion euros, or $272 billion, in exchange for pursuing various overhauls.
Read MoreGermany rejects Greece's application to extend its loan agreement
This came just one day after the European Central Bank extended for two weeks a 68 billion euro emergency liquidity package for Greek banks. According to a source close to the banking community, Greek banks must report cash outflows to the ECB and the Bank of Greece three times a day.
The situation remains volatile, as the Greek government and its European creditors have not yet managed to reach a deal over financing arrangements concerning the bailout. Greece's proposal included language that indicated it would not comply with the conditions set in that agreement. The loan agreement formally expires on Feb. 28.
Meanwhile, Standard & Poor's issued a report Thursday that risks of contagion if Greece defaults and leaves the euro zone are less financially risky for the remaining countries in the euro zone than in 2012, the last time fears of a Greek exit from the euro zone surfaced.
"All things considered, we believe that a Grexit would not lead to a degree of direct contagion that would drive other sovereigns out of the euro," said Standard & Poor's credit analyst Moritz Kraemer in a press release. The credit agency last week cut its long-term credit rating to junk status to B- warning about its weak cash position.
With uncertainty clouding the immediate outcome, cash is likely to keep pouring out of Greek banks over the next few days. About 70 percent of the outflows can be attributed to Greek corporate accounts. And most of that is rushing out of the country via electronic transfers to bank accounts elsewhere in the euro zone, Switzerland or the United Kingdom.
But many Greek citizens—who account for about a third of the deposit outflow—seem to be taking their cash out of the bank and placing it in safe deposit boxes or even just taking it home and literally stashing it under their mattresses. Burglaries, not surprisingly, are on the rise.
Read MoreGreece: Will Syriza or its creditors blink first?
Earlier this week in the village of Sfinari, outside of the city of Chania in Crete, a 78-year-old man and a 66-year-old woman were found stabbed to death in the bedroom of their home Tuesday. The room, police told reporters, had obviously been searched; a dresser drawer lock was broken, and an intended robbery was the likely motive. Police reportedly found thousands of euros in the couple's car and elsewhere in the house.
If outflows reach 1 billion euros, capital controls might need to be imposed.Thanasis Koukakisfinancial editor, "Estia" and "To Vima"
Like so many Greeks in the last few weeks, the couple appears to have pulled large amounts of cash out of the bank because of the economic uncertainty that looms over the country. They weren't alone. One Athenian real estate attorney, Roxani Avgerinou, said an older man stood in front of her in the bank in late January and demanded that the teller give him his 10,000 euros right then and there. She said he was told to come back the next day.
"I'm embarrassed to admit it, but my husband and I took all our money out of the bank and put it in a safe deposit box," said one young mother of two boys, who didn't want to give her name.
Panic is not widespread, however, at least on the surface. In other words, a run on the bank isn't quite what's happening. And part of the reason is that Prime Minister Tsipras has promised the era of austerity will soon be over, and most Greeks believe him. Indeed, nearly 8 in 10 Greeks give Prime Minister Alexis Tsipras a thumbs-up for how he is handling his first month in office, according to opinion polls.
Read MoreIs the Greek PM on a collision course with Europe?
VIDEO0:3500:35CNBC Update: Greece requests 6-month loan extensionSquawk Box
The economic situation has been so dire in Greece over the last five years that many people are cash-strapped and don't have much money left to pull out anyway, say some observers. Unemployment hovers at 25 percent, and the country's economy has shrunk by close to 30 percent. Since the crisis unfolded, many Greeks with the means to do so have steadily sent money to other countries in Europe or are buying foreign bonds—or even investing in U.S. stocks.
In 2012, during the last crisis point, many Greeks sent cash to Cyprus, only to get burned. In March 2013 two banks failed—and depositors were covered for only 100,000 euros. In other words, a one-time bank levy on deposits essentially meant that everything over that amount was lost.
European Union rules guarantee as much as 100,000 euros per depositor should an institution fail. That won't help savers if the country where they hold an account exits the euro and wipes out their investments by devaluing a currency. That's precisely what's worrying so many Greeks. What if Greece goes back to the drachma? That possibility would leave even the cash in euros stashed at home or in safe deposit boxes worth a lot less.
—By Dody Tsiantar, special to CNBC.com
Correction: This story has been updated to reflect the correct currency conversion for the euro.
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42aa3cbf38b657881819ab95e8a91820 | https://www.cnbc.com/2015/02/19/yahoo-now-the-3rd-largest-mobile-ad-company-mayer.html | Yahoo now the 3rd-largest mobile ad company: Mayer | Yahoo now the 3rd-largest mobile ad company: Mayer
VIDEO3:3203:32Has Yahoo already lost?Fast Money
VIDEO2:2202:22Yahoo's Mayer: Seeing growth in total revenue & shareClosing Bell
VIDEO2:3402:34Yahoo should turn eye to east: MunsterPower Lunch
VIDEO1:3301:33Mayer: 500 developing Yahoo appsPower Lunch
Yahoo CEO Marissa Mayer told audiences at the Yahoo Mobile Developer Conference in San Francisco Thursday that her company hit $1.2 billion in mobile revenue last year. With about 575 million monthly mobile visitors, that makes Yahoo "the third-largest mobile ad company in the world."
"This reinvention of mobile is perhaps the thing I'm most proud of as CEO," Mayer said. "The investment has paid off in terms of users, revenue and time spent. It outpaces not just our historic rate—not hard—but even also outpaced the industry rate."
Yahoo CEO Marissa Mayer speaks during her keynote at the 2014 Cannes Lions, June 17, 2014, in Cannes, France.Didier Baverel | Getty Images
She also announced that there are now 500 people working at Yahoo mobile to revamp the app offerings. That is up from just 50 people two years ago.
In development news, the company announced the Yahoo Mobile Developer Suite. That will allow for app marketing and ad publishing, among other products.
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97e2d00e0f7e62eefd167e270b0dea0e | https://www.cnbc.com/2015/02/20/alternative-energy-offshore-wind-power-sinks-sparks-call-for-rescue.html | Offshore wind power sinks, sparks call for rescue | Offshore wind power sinks, sparks call for rescue
Northeastern states offer the best hope for the future of offshore wind power, but current policy for the renewable energy source is not working. That's according to a Breaking Energy article on its site, citing a report from the nonprofit Clean Energy Group and Navigant.
Denmark's Anholt wind power farm. The United States trails Europe in developing the energy source.Wikimedia Commons
Citing a series of failed wind power initiatives at the state level, the report calls for a multi-state push that goes beyond being just "an advisory committee," and an effort that has the financial means to achieve its goals.
"Single-state solutions are likely doomed to fail. If the goal is to build a robust pipeline of projects at scale, which can begin to better meet renewable obligations and put the region on a path to no-carbon stabilization, states must act together," Breaking Energy said, quoting the report.
The full report can be found on Breaking Energy.
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efb63db9d239a751e05e0c85c191b2a5 | https://www.cnbc.com/2015/02/20/analyst-wal-mart-only-playing-catch-up.html | Analyst: Wal-Mart only playing catch-up | Analyst: Wal-Mart only playing catch-up
VIDEO2:4602:46Analyst downgrades Wal-Mart after pay hike
Not everyone was happy about Thursday's big news from the country's largest private employer that it would raise employee pay to $9 an hour in April and to $10 an hour by next February.
On Friday morning, Barclays downgraded the company to "equal weight" from "overweight" and lowered its price target to $85 from $90.
Read MoreWall Street gives Wal-Mart wage hike thumbs down
Barclays analyst Meredith Adler told CNBC's "Squawk on the Street" on Friday that the move by Wal-Mart just got out of the way of a likely national hike in the minimum wage.
"They have a problem and they know it," she said, "It's also very expensive to fix that problem completely. Wages are probably going to go up across the board, but they needed to do something."
Getty Images
Adler said she does not think the wage hike would pressure other companies, such as Target and Kroger, to follow suit.
"Honestly I believe they are playing catch-up so there's not going to be that much pressure on anybody else. And the work experience at Wal-Mart is a tough one, tougher probably than elsewhere."
She explained that the downgrade comes down to the fact that the company is making a lot of investments and "it's not clear when and how big the benefits will be."
Adler said that Wal-Mart could become attractive again with "patience, minimum wage increases and a better job market for low-income people."
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8c519c18d27a086eefc2223084428092 | https://www.cnbc.com/2015/02/20/hhs-extends-obamacare-enrollment-says-800k-filers-got-bad-subsidy-info.html | Gov't sent 800,000 HealthCare.gov customers wrong tax info | Gov't sent 800,000 HealthCare.gov customers wrong tax info
VIDEO0:5800:58Special Obamacare enrollment window opens
The Obama administration says it sent about 800,000 HealthCare.gov customers the wrong tax information, and officials are asking those consumers to delay filing their 2014 taxes.
The tax error disclosed Friday is a self-inflicted injury that comes on the heels of what President Barack Obama had touted as a successful enrollment season, with about 11.4 million people signed up.
California, which is running its own insurance market, just announced a similar problem affecting about 100,000 people in that state.
Read More
VIDEO1:4701:47Obamacare is actually working: Roger AltmanSquawk Box
The errors mean that nearly 1 million people may have to wait longer to get their tax refunds this year.
Another 50,000 or so who already filed may have to resubmit their returns.
Federal officials also announced a special sign-up extension for uninsured people facing the health care law's tax penalties.
Read MoreDoes this biotech have more upside?
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cf2c70486c6459a94bc0191771e10341 | https://www.cnbc.com/2015/02/20/obama-patriotism-flap-insane-ex-romney-advisor.html | Obama patriotism flap 'insane': Ex-Romney advisor | Obama patriotism flap 'insane': Ex-Romney advisor
VIDEO4:0104:01Obama love America? Dan Senor calls this 'insane debate'Squawk Box
Rudy Giuliani should not have questioned President Barack Obama's love of America, former Romney advisor Dan Senor told CNBC on Friday as the firestorm over the comments ignited a fierce national debate.
At a private dinner Wednesday in New York for Wisconsin Gov. Scott Walker, who's thinking about running for the 2016 GOP presidential nomination, Giuliani said: "I do not believe, and I know this is a horrible thing to say, but I do not believe that the president loves America." According to Politico, the former New York City mayor and onetime GOP presidential hopeful continued: "He doesn't love you. And he doesn't love me. He wasn't brought up the way you were brought up and I was brought up through love of this country."
Senor, co-founder of the advocacy group Foreign Policy Initiative, said in a "Squawk Box" interview Friday, "I don't think it is healthy for the modern Republican Party to go into 2016, having a national debate ... about whether or not Barack Obama loves America."
"That is insane," he added.
Walker was asked about Giuliani's comments on "Squawk Box" on Thursday.
"The mayor can speak for himself. I'm not going to comment on what the president thinks or not, he can speak for himself as well. I can tell you I love America. And I think there are plenty of people: Democrat, Republican, Independent, everybody in between who love this country. I think we should talk about ways that we love this country and that we feel passionately about America," the governor said.
Read MoreI'm worried about ISIS threat in US: Scott Walker
VIDEO0:5200:52Walker on Giuliani, Obama and love of AmericaSquawk Box
The Wisconsin governor missed an opportunity to denounce Giuliani's comments, said Senor. "The problem [is] he didn't say anything."
Social media and the 24-hour television news networks seem to be debating Giuliani's remarks nonstop.
White House deputy press secretary Eric Schultz said Thursday, "It was a horrible thing to say." And in a more subtle rebuke, the White House took to Twitter, using the hashtag, #ObamaLovesAmerica.
The tweet read:
Obama: "I'm using my powers as President to announce America's 3 newest National Monuments." #ObamaLovesAmerica
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7595858ae88bd8a8715fbbbe848bf3e9 | https://www.cnbc.com/2015/02/20/the-curious-comeback-of-flip-phones-in-japan.html | The curious comeback of flip phones in Japan | The curious comeback of flip phones in Japan
Photographer | Collection | Getty Images
Who said flip phones were so 2000?
The humble clamshell handset is making a curious comeback in Japan, a country known for its cutting-edge technology.
Japanese shipments of flip phones rose for the first time in seven years in 2014, up 5.7 percent on year at 10.58 million, while smartphone shipments fell 5.3 percent to 27.70 million, according to data from market research firm MM Research Institute (MMRI).
The flip phone fillup has caught the attention of industry analysts, who pin it on shorter replacement cycles for the phones and a rise in contract renewals.
"This is unusual and interesting. My gut feeling is that it's a function of replacement rates. The replacement cycle for flip phones has been getting shorter to around 12-18 months compared with two to three years for an iPhone or Samsung Galaxy phone," said Marc Einstein, industry principal for the information and communications technology practice at Frost & Sullivan.
Tadayuki Shinozaki, an analyst at MMRI added: "This trend may be a matter of timing as a lot of the demand was fueled by contract renewals."
VIDEO1:4701:47How mobile is changing retail
Unlike in the West, feature phones still have a loyal following in Japan, accounting for around 30-40 percent of mobile phones sold, according to Frost and Sullivan.
Elderly consumers are drawn to the no-frills phones for their simpler features, while younger and middle aged consumers prefer them for their longer battery life and cheaper price. There's also a segment of hardcore gamers who use flip phones because they offer games that are not available on other mobile devices.
Two is better than one
While contract renewals may have made up the bulk of the increased demand for flip phones, there's also a segment of Japanese consumers buying flip phones as a second mobile device.
Take 41-year-old professor Antonio Formacion, for example, who recently purchased a Sharp flip phone to supplement his Samsung Galaxy 5 device.
Having two phones – one for voice and the other for data – works out much cheaper, Formacion said.
Read MoreGlued to your phone? That's OK, so is everyone else
"I'm now using two phones. One flip phone from Softbank that has a monthly bill of 2,000 yen which includes unlimited calls to any phone in Japan. And the second phone a Galaxy S5 for data only for 980 yen a month. Previously I was averaging around 9,000 yen a month on my iPhone 5," he said.
Formacion says having two phones makes him feel more secure: "I know that important calls will reach me even though my smart phone is already dead."
While Japanese mobile manufacturers have made little progress in cracking the smartphone market, they continue to develop new features phones.
Electronics maker Sharp, for instance, will be pushing out a new flip phone in the next few months that will operate on a 4G LTE network, enabling users to access the internet.
Elsewhere in Asia
Rising demand for the flip phone is not limited to Japan.
Seoul-based Tom Kang, research director at Counterpoint Research, says he's seen a modest increase in demand in South Korea – the home of Samsung Electronics and one of the most connected countries in the world.
"We thought flip phones would disappear, but some parents are opting to buy them for their teenage kids instead of smartphones because they are less of a distraction," Kang said.
Like Japan, "there's steady demand from elderly consumers who find it more convenient and cost efficient," he said.
-- Chehui Peh contributed to this article.
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31f8ca414441794ae35bf7d3b3315183 | https://www.cnbc.com/2015/02/20/west-coast-port-paralysis-railroad-truck-winners.html | West Coast paralysis: Some winners...sort of | West Coast paralysis: Some winners...sort of
VIDEO2:2902:29Navigating port dramaPower Lunch
West Coast docks are paralyzed as employers and longshoremen continued to spat about contracts and congestion problems.
There are plenty of losers. Exporters, like farmers and ranchers, can't get their perishables to Asian markets during the Lunar New Year when demand for fruit and meat is particularly high. And importers large and small are beginning to report shipment delays and inventory shortages.
Are there winners? Kind of …
Some importers, like electronics dealers and luxury retailers, can afford to put their cargo on planes, despite at least a ten-fold increase in shipping costs. Their profit margin may be squeezed, but they are still making money in most cases.
Read MoreNo West Coast port deal: Source close to talks
"It becomes a question of the cost of a missed shipment versus the extra cost of shipping," said Kevin O'Marah, head of research for SCM World, a logistics think tank. Major cargo air carriers with Asia operations like UPS or FedEx will likely see a boost, at least in the short term.
The shift likely won't last forever, though. Ironically, given the present crisis, ocean freight over the years has been winning market share from air carriers, even with higher-margin goods, because of reliable shipping schedules and lower prices.
The major ocean shipping lines serve both coasts of the United States. Ports on the East Coast are likely to see more traffic as those lines divert more cargo to their ships traveling to the U.S. East Coast via the Suez Canal.
Already some ports in the south, like Savannah, Ga., and Norfolk, Va., and on the Gulf Coast, like Houston, are seeing an uptick in traffic, as ship lines have diverted some cargoes to routes going through the Panama Canal.
The sudden influx of traffic, however, is presenting some congestion issues for those ports as well.
Read MoreStrikeor lockout: What's the difference?
The two primary railroads moving cargo from the West Coast, the BNSF Railway (owned by Warren Buffett's Berkshire Hathaway) and Union Pacific Corp., will suffer. But their eastern counterparts, CSX and Norfolk Southern, may see some added short-term business from diverted cargo.
"NS and CSX will handle any containers that make it to Savannah, New Orleans and places like that in the Southeast," said Lawrence Kaufman, a former railroad executive and noted railroad journalist and author, in an interview. "Remember, they interchange with the western railroads, so most of that is probably traffic they would have had anyway….If anyone is a winner, I'd put my money on CN (Canadian National) and CP (Canadian Pacific Railway)."
Those are the two major railroads likely to see a traffic pop from cargo diverted to the Canadian ports of Vancouver and Price Rupert. Indeed, traffic reports by the Association of American Railroads are already indicated a substantial pickup in traffic on Canadian routes.
Diverted cargo may also mean added business for truckers plying the East Coast, mostly smaller players. But this could include larger publicly traded outfits like J.B. Hunt Transport , Knight Transportation, Heartland Express and Werner Enterprises.
Once again, though, it's a Peter-to-Paul situation. The major truckload operators serve both the West and East Coasts. So what traffic they pick up is very likely offset by what they lost elsewhere, experts suggest.
But there may be a bonanza later.
"Once things break loose you'll probably see a real premium for expedited truck transportation out of the West coast area, " said Larry Gross, senior consultant with FTR Transportation, in an interview.
"For now, though, I don't see a lot of winners out of this."
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e84038c208723676131cd6f46b7c2026 | https://www.cnbc.com/2015/02/20/why-oil-is-the-canary-in-the-coal-mine-analyst.html | Why oil is the 'canary in the coal mine': Analyst | Why oil is the 'canary in the coal mine': Analyst
VIDEO3:4303:43Oil expert: Likely see $30 handle before balance mid-2016Squawk Box
VIDEO1:1201:12Where will the price of oil go?
VIDEO1:4801:48Oil volatility: What it means for equitiesWorldwide Exchange
Since economies drive commodity prices, not the other way around, the collapse in oil is more of a demand issue than it appears, said Stephen Schork, founder and editor of The Schork Report newsletter.
The influential oil analyst told CNBC on Friday that there's an "absolute glut" in crude, but the demand side of the equation can't be overlooked. "When you have such a sharp fall in commodity prices, that's because of economic demand. And I think that's a very worrisome telltale."
"Oil prices are the canary in the coal mine," Schork said in a "Squawk Box" interview. "I don't think the global economy, especially in the United States, is all rainbows and unicorns right now."
Read MoreCramer: Oil is a battleground; Wall St is clueless
The current, robust pace of oil production has been going on for two years now, he said. What has changed over the summer? "The supply picture has not changed. So the drop in price, to me, is an indication, I think, of worrying global demand," he said.
Schork predicted crude prices could fall to $40 a barrel, and go even lower, before demand increases in the summer driving season.
Oil prices were little changed in early trading Friday, around $51 a barrel, after U.S. crude pared heavy losses Thursday on U.S. Energy Information Administration data that showed inventories rose by 7.7 million barrels last week—half of what the American Petroleum Institute had originally indicated.
Schork is not alone in thinking oil could go lower. Citi's Ed Morse, a former deputy assistant secretary of state for international energy policy, told CNBC earlier this month the likelihood was "very great" that oil drops to a range in the $30s. "The world is oversupplied with oil, and we haven't seen the worst of it yet."
VIDEO4:1304:13Search for yield: Energy & tech Squawk Box
Morse's Citi colleague, Chief U.S. Equity Strategist Tobias Levkovich, told "Squawk Box" on Friday, "I don't want to step in front of that. I'd rather wait for the [energy] stocks to come to me, then chase it."
Levkovich said he's watching beaten up oil stocks for possible upgrades. "Valuations are starting to look good in ... drillers."
Robert Leary, president of Asset Management at TIAA-CREF, said on CNBC he's also looking for opportunities to bottom fish energy. "When we see oil prices dip or gas prices dip, we see it as opportunities and try to buy things that make sense."
With $851 billion in assets under management at TIAA-CREF, Leary overseas managers that run what he calls a diversified energy portfolio in fracking, oil, solar and wind. "For the last year, the portfolio has been in the mid-teens [growth] overall."
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6967914712f2b67e1f0d661532e71caa | https://www.cnbc.com/2015/02/21/after-paris-and-copenhagen-can-free-speech-learn-to-live-with-religion.html | After Paris and Copenhagen, can free speech learn to live with religion? | After Paris and Copenhagen, can free speech learn to live with religion?
Paris Mayor Anne Hidalgo poses near a banner which reads "Charlie Hebdo, Honorary citizen of Paris," displayed in front of the City Hall.Jacky Naegelen | Reuters
Recent killings in Copenhagen and Paris have renewed an age-old debate: Should societies with vigorous traditions in free speech either adopt or strengthen laws against blasphemy?
At least a fifth of all the countries in the world maintain anti-blasphemy laws, according to the Pew Research Center—which include several Western European countries such as Denmark, Germany and Italy.
Read MoreJindal's brilliant take on radical Islam
Yet laws against offending the pious have been accompanied by increasing criticism about whether liberal democracies should even entertain them. Although some argue that blasphemy laws actually encourage zealotry, and feed the cycle of religious-inspired violence, international organizations like the United Nations have pushed to criminalize religious defamation.
Secular governments are attempting to grapple with "problems associated with terrorism and fundamentalism," Tomas Byrne, an author and attorney based in Stockholm told CNBC. "The question becomes, if states are trying to respond…is there a way to keep the peace?"
Byrne, a native Canadian who was educated at the University of Oxford, worked as a lawyer and banker for 20 years in London. As it happens, the U.K. has become one of Europe's hottest crucibles in the debate betweencultural assimilation and strict interpretations of Islam.
"I don't think the context we have in western society are neutral concepts," said Byrne, who cited the "direct clash" that ensues when religious groups are confronted with speech they deem offensive.
"There's no way to dance around that. In places like Denmark and Germany they have tried to show tolerance by putting in place [blasphemy] laws…and if we live in a society where we want to choose between visions, we have to be able to risk causing offense," Byrne said, asking, "How effectively can you enforce tolerance?"
Freedom House, an independent freedom watchdog organization, wrote in a 2010 report that blasphemy laws "inevitably fail to address the issue of what exactly constitutes blasphemy, leaving enormous discretion in the hands of prosecutors, judges, and accusers who may be influenced by political or personal priorities."
In other words, regardless of how strict laws are preventing blasphemy, their application and interpretation can vary widely from country to country, and lead to dramatically different results. Pakistan, for instance, is notorious for tough enforcement against apostacy—yet blasphemy accusations and retributions have surged there in recent years.
VIDEO1:4901:49Charlie Hebdo to print 3M copies with Prophet Muhammed coverSquawk Box Europe
"The context is different [in the West] than blasphemy laws in the Middle East," Byrne said, whose writings have touched on hot button political and religious topics. "Blasphemy isn't harm to individuals, it's based on impious or ungodly speech. Western countries are trying to reduce people's offense…whereas the laws in Islamic states are based on scripture, and based on what you cannot say."
Read MorePolice arrest four suspected Islamist militants in Spain
Hence the growing tension. Muslims are the continent's fastest growing group, and are projected to make up 8 percent of its population by 2030.
In some countries, that question has prompted a measure of soul searching. In the wake of the deadly Charlie Hebdo killings, Ireland has begun a public debate about whether to abandon its own protections against anti-religious speech. Ireland's laws were originally applicable to Christianity, but were expanded in 2009 to include other faiths.
For his part, Byrne was skeptical about the ability of these laws to accomplish their stated goals—and will result in a chilling effect on free speech. Nor is the United States entirely immune to Europe's problems.
"I don't think all Islamic people would disagree with the concept of free speech, but they should be able to accept the idea that they might be offended if they come to this society," he said.
If religious adherents don't want to accept fundamental tenets of western society, governments "shouldn't create blasphemy laws to appease specific segments of society," the author added.
"The problem is that if you start placing limits on free speech, every single interest group in the world is going to get in queue and say 'I don't want to be offended,' and nobody will be able to talk about anything," Byrne said. "That's why it has to stop."
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a1fa9be6a23aa63065c2e527085a5ccc | https://www.cnbc.com/2015/02/21/modi-bets-on-genetically-modified-crops-for-indias-second-green-revolution.html | Modi bets on GM crops for India's second green revolution | Modi bets on GM crops for India's second green revolution
A worker harvests onions on a farm near Umrana, Maharashtra, India, on Tuesday, Nov. 11, 2014.Dhiraj Singh | Bloomberg | Getty Images
NEW DELHI -- On a fenced plot not far from Indian Prime Minister Narendra Modi's home, a field of mustard is in full yellow bloom, representing his government's reversal of an effective ban on field trials of genetically modified (GM) food crops.
The GM mustard planted in the half-acre field in the grounds of the Indian Agricultural Research Institute in New Delhi is in the final stage of trials before the variety is allowed to be sold commercially, and that could come within two years, scientists associated with the project say.
India placed a moratorium on GM aubergine in 2010 fearing the effect on food safety and biodiversity. Field trials of other GM crops were not formally halted, but the regulatory system was brought to a deadlock.
But allowing GM crops is critical to Modi's goal of boosting dismal farm productivity in India, where urbanization is devouring arable land and population growth will mean there are 1.5 billion mouths to feed by 2030 - more even than China.
Read More The next hot tech bet...farming?
Starting in August last year, his government resumed the field trials for selected crops with little publicity.
"Field trials are already on because our mandate is to find out a scientific review, a scientific evaluation," Environment Minister Prakash Javadekar told Reuters last week. "Confined, safe field trials are on. It's a long process to find out whether it is fully safe or not."
Modi was a supporter of GM crops when he was chief minister of Gujarat state over a decade ago, the time when GM cotton was introduced in the country and became a huge success. Launched in 2002, Bt cotton, which produces its own pesticide, is the country's only GM crop and covers 95 percent of India's cotton cultivation of 11.6 million hectares (28.7 million acres).
From being a net importer, India has become the world's second-largest producer and exporter of the fiber.
However, grassroots groups associated with Modi's Hindu nationalist Bharatiya Janata Party (BJP) have opposed GM crops because of the reliance on seeds patented by multinationals. The Swadeshi Jagran Manch, a nationalist group which promotes self-reliance, has vowed to hold protests if GM food crops are made commercially available.
"There is no scientific evidence that GM enhances productivity," said Pradeep, a spokesman for the group. "And in any case, why should we hand over our agriculture to some foreign companies?"
A handful of agrichemical and seeds companies dominate the global market for GM crops, including Monsanto Co., DuPont Pioneer, a unit of DuPont, Dow AgroSciences, a unit of Dow Chemical, and Syngenta.
Second green revolution
Largely agricultural India became self-sufficient in foodgrains after the launch of the Green Revolution in the 1960s, when it introduced high-yielding seed varieties and the use of fertilizer and irrigation.
The challenge now is to replicate that success in edible oils and vegetables, which are increasingly in demand.
India imports about 60 percent of its edible oil needs at an annual cost of up to $10 billion - its third-biggest import item after crude oil and gold.
The trials of the mustard plant, which provides the highest yield of all oilseeds, are being led by Delhi University researchers headed by Deepak Pental, a scientist who returned to India in 1985 from Britain. He has said that he has developed a transgenic mustard strain that raises output by up to 30 percent, but that further trials were halted after the moratorium.
The federal environment ministry began approving GM field trials in August, although applicants need to seek no-objection certificates from states where the trials are to be conducted.
States ruled by the BJP are spearheading the trials: Last month, Maharashtra gave the all-clear to open field trials of rice, chickpeas, corn and aubergine, as well as new varieties of cotton.
Punjab, ruled jointly by the BJP and a local party, gave the go-ahead for mustard in October followed next month by Delhi, then indirectly run by the federal government in the absence of a local government.
"The (federal) government is, for a change, being decisive," Pental said, adding his mustard strain could be ready to be released for commercial farming in a year or two.
Environmental group Greenpeace however remains opposed.
"The current government's rush with open field trials without addressing the fundamental loopholes in the regulatory mechanism is a matter for serious concern," said Manvendra Singh Inaniya, a campaigner for Greenpeace India.
"This leaves us vulnerable to contamination with untested and potentially hazardous GM food. We urge the Union Government to roll back approvals given to open air field trials of GM crops."
But the environment ministry official said studies have found no ill effects from GM foods and that local firms should partner with multinationals like Monsanto, which has already licensed its Bt Cotton product to several Indian companies.
"Farmers are smart and deserve wider choices," a spokesman for Monsanto in India said. "They will only reward products, practices and partnerships which create value on their farms."
-- Additional reporting by Rupam Jain Nair and Meenakshi Sharma; Editing by Raju Gopalakrishnan
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bf1f22453b68d02d38bb60270d72435e | https://www.cnbc.com/2015/02/23/-a-massive-sp-drop-technician-carter-worth.html | Prepare for a massive S&P drop: Technician Carter Worth | Prepare for a massive S&P drop: Technician Carter Worth
VIDEO1:1401:14Carter Worth sticks with bear callOptions Action
Carter Worth is sticking to his guns.
The chief market technician at Sterne Agee, Worth has long maintained a bearish perspective on the market, even as stocks have soared. And as shares bounced back from their sudden lows in mid-October, Worth repeatedly called for the downdraft to worsen—a prediction that did not pan out.
Friday on CNBC's "Options Action," Worth responded to a Twitter user who insisted that the technician be questioned about his "numerous calls of a retest of 1,820" for the S&P 500.
Worth now says that the September-to-October slide should serve as "a foreshadowing of what the next one's going to look like—which is worse, by all accounts."
"The further this goes without that kind of drawdown, the worse the inevitable drawdown will be," he said. "So we think we're not only going to visit 1,820, we're going to go below that."
With the S&P around 2,110, a fall below 1,820 would represent a 14 percent drop. But Worth maintains that his call should not shock.
"That used to happen all the time in normal markets," Worth said.
A Federal Reserve rate hike could be the impetus for this move, he went on to say. The central bank has kept its target on the key federal funds rate ultralow since December 2008, but could now look to raise rates as soon as June of this year, according to many observers.
"Once the Fed is done, this thing will not be able to stay," Worth predicted. "Once the student can't go to 'extra help' anymore, we're going to see how bad a student he really is."
Read MoreYellen to shed light on market's biggest mystery
Follow the show on Twitter: @OptionsAction.
Disclaimer
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cbb12c6fde3b9b2e89c6ea00fa15bbe3 | https://www.cnbc.com/2015/02/23/americans-are-saving-more-but-is-it-enough.html | Americans are saving more, but is it enough? | Americans are saving more, but is it enough?
VIDEO1:3601:36How America savesPower Lunch
A new survey shows that most Americans may not know their net worth or have a spending plan to help them meet their savings goals, but at least the majority of people in this country are putting some money away. About 52 percent of Americans say they are able to save at least 5 percent of their income, and the percentage who are doing so has increased in the past year, according to the annual America Saves Week survey.
America Saves, a consortium of about 1,700 organizations that is managed by the Consumer Federation of America, American Savings Education Council and Employee Benefits Research Institute, finds consumers are making progress in other areas as well. More than three-quarters of Americans say they have no consumer debt or are reducing it and two out of three said they have "sufficient emergency savings to pay for unexpected expenses like car repairs or a doctor's visit."
Read MoreHow to (safely) draw down your retirement savings
But are consumers telling the truth?
Another report out Monday shows the emergency savings cushion pales in comparison to credit card debt in many Americans' household budgets.
About one in four consumers have more credit card debt that emergency savings, according to a monthly survey from Bankrate.com. Another 13 percent don't have credit card debt or emergency savings, leaving them teetering on the brink of financial disaster.
Read MoreStop paying for your credit score
Still there is some good news here. More than half of consumers—58 percent—have more emergency savings than credit card debt, according to the Bankrate report, and they're feeling more financially secure than they have in a while. Americans are less pessimistic about their job security, net worth and overall financial situation than they have been in four years, when this survey began.
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69eaa959edb5f825323d9cd8e39fd92c | https://www.cnbc.com/2015/02/23/amid-a-slump-a-crackdown-for-venezuela.html | Amid a slump, a crackdown for Venezuela | Amid a slump, a crackdown for Venezuela
For a glimpse into Venezuela's economic disarray, slip into a travel agency here and book a round-trip flight to Maracaibo, on the other side of the country, for just $16. Need a book to read on the plane? For those with hard currency, a new copy of "50 Shades of Grey" goes for $2.50. Forget your toothpaste? A tube of Colgate costs 7 cents.
Quite the bargain, right?
But for the majority of Venezuelans who, such surreal prices reflect a tremendous currency devaluation and a crumbling economy expected to contract 7 percent this year as oil income plunges and price controls produce acute shortages of items including milk, detergent and condoms.
"I've seen people die on the operating table because we didn't have the basic tools for surgeries," said Valentina Herrera, 35, a pediatrician at a public hospital in Maracay, a city near Caracas. She said she planned to look for other work because making ends meet on her salary of 5,622 bolívars a month — $33 at a new exchange rate unveiled recently — was impossible.
Venezuelan President Nicolás MaduroJuan Barreto | AFP | Getty Images
Faced with as Venezuelans reel from the economic shock, President Nicolás Maduro is intensifying a crackdown on his opponents, reflected in last week's arrest of Antonio Ledezma, the mayor of Caracas, and his indictment on charges of conspiracy and plotting an American-backed coup.
Mr. Maduro, a protégé of President Hugo Chávez, who died in 2013, has adopted an increasingly shrill tone against critics of Venezuela's so-called Bolivarian Revolution. As evidence against Mr. Ledezma, Mr. Maduro pointed to an open letter this month calling for "a national agreement for a transition" that was signed by Mr. Ledezma; Leopoldo López, another opposition figure who has been imprisoned for the past year; and María Corina Machado, an opposition politician charged in December with plotting to assassinate Mr. Maduro.
"In Venezuela we are thwarting a coup supported and promoted from the north," Mr. Maduro said over the weekend on Twitter. "The aggression of power from the United States is total and on a daily basis."
Mr. Maduro is taking a page from Mr. Chávez, who was briefly ousted in a 2002 coup with the Bush administration's tacit approval, then made attacking Washington and locking up people suspected of being putschists a fixture of his government. But the State Department has disputed Mr. Maduro's claims, saying the United States is not promoting unrest in Venezuela.
At the same time, the move by Mr. Maduro points to a hardening in how opposition figures here are treated. Thirty-three of the 50 opposition mayors in the country are now facing legal action in connection with antigovernment protests last year that left 43 people dead, according to Gerardo Blyde, the mayor of Baruta, a Caracas municipality.
One prominent opposition mayor, Daniel Ceballos of the city of San Cristóbal, has been in jail for the past year, while another, Enzo Scarano of the industrial town of San Diego in Carabobo State, was transferred from jail to house arrest last month because of deteriorating health.
The arrest of Mr. Ledezma, 59, who was democratically elected but had much of his authority stripped away in 2009, has even some pro-Chávez analysts questioning the wisdom of Mr. Maduro's move. While Mr. Ledezma joined a hardline faction of the opposition last year called "the Exit," he was not viewed as especially prominent or influential.
"Fueling suspicion is a distraction tactic from the huge currency devaluation we've had to withstand," said Nicmer Evans, a pro-Chávez political consultant who is among those on the left here now openly criticizing Mr. Maduro. "What's not clear is the proof of wrongdoing in this case."
More from the New York Times:Oil cash waning, Venezuelan shelves lie bare Mayor's arrest on sedition charges deepens sense of crisis in VenezuelaFormer top Venezuela aide said to flee amid inquiry
With inflation soaring to a rate of 68 percent, the Venezuelan authorities are seeking to manage the economic crisis with a complex web of three official exchange rates. For instance, some basic goods are imported at rates of 6.3 and 12 bolívars to the dollar, but a new floating rate of about 171 was introduced last week, effectively reflecting a devaluation of nearly 70 percent.
On the black market, which some Venezuelans already use to carry out basic transactions, the rate is even higher.
Even for some Chávez loyalists, Mr. Maduro seems to be in over his head in dealing with the scramble for hard currency. Jorge Giordani, one of the late president's top economic advisers, said this month that Venezuela was emerging as Latin America's "laughingstock," citing corruption and labyrinthine bureaucracy as factors accentuating the economic quagmire.
"We need to acknowledge the crisis, comrades," said Mr. Giordani, whom the president ousted last year as finance and planning minister.
Indeed, some economists say that the government's hesitance to overhaul its perplexing currency controls could intensify Venezuela's economic problems.
"The system is going haywire," said Francisco Rodríguez, chief Andean economist at Bank of America Merrill Lynch, emphasizing that galloping price increases could soon enter the realm of hyperinflation, accelerating to triple digits this year and to more than 1,000 percent in 2016 if policies are maintained.
Mr. Maduro seems to recognize that some profound economic changes are needed in Venezuela, which commands the world's largest oil reserves, creating the illusion of inexhaustible wealth. He supports raising the price of gasoline, which costs less than 10 cents a gallon at the strongest official exchange rate; there is considerable resistance to such a shift even though the fuel subsidy costs the government more than $12 billion a year.
But ahead of congressional elections this year in which Mr. Maduro's supporters seem vulnerable, the president is also seeking to shore up his base.
Mr. Ledezma's wife, Mitzy, told Reuters on Sunday that the president was showing his dictatorial tendencies. "He knows that every day there are more opponents," she said.
Despite the widespread complaints about hardship and high levels of violent crime, some here remain loyal to Mr. Maduro out of gratitude for a vast array of social welfare programs.
"I'll vote for Maduro until I die," said Marco Miraval, 77, who sells coconuts in 23 de Enero, a sprawling housing complex that is a bastion for pro-Chávez groups, pointing to Mr. Maduro's support of subsidized university education and health care. He said Venezuela's economic problems were a result of Washington's pressure on the government. "It's because they're being sabotaged by this economic war," he said.
Still, while Venezuela's opposition remains divided and hampered by the arrests of some leading figures, Mr. Maduro lacks the oratorical skill of Mr. Chávez, who skewered his opponents in what often seemed like a stream-of-consciousness approach to governing that kept many Venezuelans on the edge of their seats.
"Maduro is trying to consolidate his leadership without having the charisma to do so," said Margarita López Maya, a historian who studies protest movements, describing his latest moves as amounting to "an excess of authoritarianism."
In the meantime, bizarre prices persist for many basic services, punishing those who earn and save in bolívars while benefiting an elite with access to hard currency in bank accounts abroad. For instance, monthly broadband service from the state telecommunications company costs less than the equivalent of $1. The monthly electricity bill for a huge luxury apartment, with air-conditioning on at all hours, comes to less than $2.
Even that absurdly cheap flight to Maracaibo is more complicated than it appears since some airlines have trouble obtaining the dollars they need to maintain their planes.
"You'll see things you'll never believe: half a dozen aircraft from just one airline just waiting on the ground because they don't have parts," said Nicolás Veloz, a pilot based in Caracas.
For some Venezuelans who are struggling to get by, the economic disorder they see explains the president's targeting of his opponents. "Maduro is terrified, and so he's using more totalitarian methods, putting politicians in prison with so many police," said Eduardo de Sousa, 28, a pharmaceutical lab assistant. "They know that the revolution is over, and they're scared."
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35f9c1b0ec67454fb59da8d6d288d512 | https://www.cnbc.com/2015/02/23/apple-stock-hits-all-time-high.html | Apple's record close brings market cap to $775B | Apple's record close brings market cap to $775B
VIDEO3:1403:14Apple Watch expectations little high: AnalystSquawk Alley
VIDEO3:0703:07Hedge funds grab AppleSquawk Alley
VIDEO3:1603:16Apple Pay success solidifies Apple ecosystem: AnalystSquawk Box
Apple's stock on Monday closed at a record, rising more than 2.7 percent to $133, and hitting a market cap of nearly $775 billion.
The tech giant's shares saw a morning tear after Barron's predicted over the weekend that the stock could return 25 percent in a year. Apple also said Monday it would spend 1.7 billion euros ($1.9 billion) on two European data centers running on renewable energy.
At $133 a share, the company's stock is sitting comfortably at a split-adjusted high—the stock had topped $705 in 2012 before the company's 7-for-1 split last year (meaning an adjusted high of about $100.72).
After Monday's gains, Apple is just below the average Wall Street analyst price target of $133.15, according to FactSet.
Read MoreGoogle and Apple poised to clash over dashboards
Apple's market value stood at about $774.69 billion, according to FactSet and CNBC data. This means it is worth more than twice as much as any other U.S. publicly traded company. The second-largest public American company, Exxon Mobil, has a market cap of about $377 billion.
Monday was not overly positive for tech stocks, with the Nasdaq composite down throughout most of the day, but rallying to a slight gain before the close.
—CNBC's John Melloy contributed to this report.
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f28dc6d2956ac88518ad67916c3e6fa4 | https://www.cnbc.com/2015/02/23/sen-hatch-promises-solutions-to-obamacare-subsidy-fallout.html | Sen. Hatch promises 'solutions' to Obamacare subsidy fallout | Sen. Hatch promises 'solutions' to Obamacare subsidy fallout
He says he's got a solution—you just need to wait to see it.
The senior Republican in the U.S. Senate said Monday he will soon reveal a plan to deal with potential fallout from a Supreme Court decision that could eliminate Obamacare subsidies for millions of HealthCare.gov customers.
The promise by Sen. Orrin Hatch of Utah comes nine days before the court hears argument that those subsidies, worth billions of dollars, are illegal under the Affordable Care Act.
Experts have said that if the subsidies that help people pay their monthly health insurance premiums are taken away, many HealthCare.gov customers will drop their coverage because the retail prices of their plans would be too pricey.
Sen. Orrin HatchAndrew Harrer | Bloomberg | Getty Images
Hatch said that while Obamacare has hurt millions of people and needs to be ultimately repealed and replaced, Congress should do something in the meantime to mitigate the effects if the high court decides to invalidate that financial aid.
"I don't think we can stand by and simply let the shortcomings of the law hurt people more," he said during a speech at the Heritage Foundation in Washington, D.C.
Read MoreGov't sent 800K customers wrong Obamacare tax info
"In the coming days, I will release details of a short-term solution for Americans who may be affected," Hatch said. "That solution will address immediate concerns and set the stage for a permanent solution in the future."
Hatch's promise reveals a potentially tricky political situation for Republicans.
The GOP opposes Obamacare and backs the case challenging the HealthCare.gov subsidies. But there is concern that elected Republicans will suffer a backlash if Obamacare customers lose their health coverage, particularly if Congress does not come up with an alternative to the current subsidy structure.
At issue is the financial assistance given to nearly 9 in 10 customers of HealthCare.gov, the federally run Obamacare exchange that serves 37 states.
Read More
Plaintiffs in the case known as King vs. Burwell claim that those subsidies are not legal because the ACA only explicitly authorizes such financial assistance for customers of an Obamacare insurance exchange run by an individual state, not by the federal government.
The Obama administration argues the subsidies are legal, and says Congress' intent was to provide the subsidies to all Obamacare customers, not just to ones who lived in a state that set up its own exchange.
Hatch said that the administration's use of an Internal Revenue Service guidance to explicitly state that the HealthCare.gov subsidies are authorized is yet another example of "a sustained assault on the rule of law" by Obama, and in line with "other executive over-reaches" by the president.
Read MoreActivists want 'imminent retirement' of Ariad CEO
"The American people deserve a health-care law that will work, and a president that will follow the law," he said.
The Supreme Court, which will hear arguments in the case on March 4, is expected to rule in June. That means the subsidies could be taken away soon afterward. The subsidies to customers of state-run Obamacare exchanges are not at risk in the case.
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f5bde7ef5f786e23fe5574e9007b94d5 | https://www.cnbc.com/2015/02/23/the-investment-help-that-may-not-be.html | New rules could save investors millions in fees | New rules could save investors millions in fees
VIDEO2:2802:28Obama's new rules for brokers & retirement accountsClosing Bell
Advice abounds when you are putting money into a 401(k). Your employer urges you to save, and may even automatically enroll you in a plan or match your contributions.
But when you prepare to retire, or take another job, that changes. You have the option to roll your 401(k) into an IRA, and not every financial professional offering advice about that is required to act entirely in your best interest. Investment advisors are required to follow that principle, known as the fiduciary standard. But brokers are only required to recommend "suitable" investments.
The difference between "fiduciary standard" and "suitable" seems arcane. But it means a broker can advise you to put money in a high-cost or low-performing fund or account, even when a better option is available, as long the recommendation is suitable. The recommendation does not have to be in your absolute best interest. According to a leaked White House memo, first obtained by The Hill in January, studies showed that difference wound up costing investors between $8 billion and $17 billion annually in high fees or sub-optimal investment performance.
"When you get bad advice, you are paying for it," said Cristina Martin Firvida, director of financial security at AARP.
Andrew Harrer | Bloomberg | Getty Images
But on Monday, President Barack Obama directed the Labor Department to proceed with new rules that would rein in conflicts of interests among Wall Street brokers who advise clients on retirement investments.
Read MoreObama presses new rule for broker retirement advice
AARP is among the groups pushing for the changes. But the financial services industry and the Chamber of Commerce are up in arms. For example, the Securities Industry and Financial Markets Association, or SIFMA, has argued vehemently against the proposal and helped beat back an earlier version of the proposal that the Labor Department proposed in 2010. The Chamber of Commerce has shared its concerns, as well.
Brokers and the associations representing them argue that adhering to the tougher fiduciary standard would prove so costly that small investors would not be able to afford investment advice at all.
Under the new rules, an investor might not be able just to pay a broker a commission for a trade, but instead would likely pay a fee based on assets under management, said Lisa Bleier, managing director of SIFMA. She added that the scenario would be more expensive for small investors.
"The laws are constantly improving when there are concerns that are raised. Currently FINRA and the SEC are overseeing the retail market very well," Bleier said.
The Labor Department proposal is taking shape as public discussions about retirement savings are heading in a new direction. For decades, policymakers, employers and financial institutions have focused on encouraging employees to put money away in defined contribution plans such as 401(k)s. But now, experts are realizing that when people retire and depend on their 401(k) assets for their retirement security, they need more impartial guidance than the current system automatically provides.
"IRAs are essentially a Wild West. Anything goes," said David Laibson, an economics professor who has studied the effects of cognitive changes on financial decision-making ability. "The vast majority of American households don't know enough about the asset management industry to make sophisticated choices in the IRA market. They are ripe for ripoffs, and that gets more likely as they age."
Read MoreHow to not outlive your retirement nest egg
Firvida, director of financial security at AARP, pointed out that in some cases it may make more sense for 401(k) account holders to simply leave their money in the 401(k) when they retire or change jobs. A plan may or may not offer the best investment options for retirees. As an example, target date funds for a retiree's time horizon may not be an option. On the flip side, a 401(k) plan may offer attractive investment choices, and there are fiduciary standards that apply to 401(k) plans.
"There is definitely a sentiment among some in the Department of Labor that, at least for some employees, it would be better to leave the money in the plan," said Pamela O'Rourke, senior vice president and senior counsel at Integrated Retirement Initiatives. "Once it comes out of the plan, individuals are often on their own."
Read MoreRollover rethink
AARP's Firvida voiced confidence that the rules will change. "I think ultimately, conflicts of interest are going to be eliminated," she said. "I really do believe people saving for their retirement will end up with advice that is in their best interest because it's common sense."
The shape and form of the new proposal are still unclear. But with assets in IRA and 401(k) accounts at roughly $14 trillion, the retirement market is an important part of the financial services industry. The fight over how to work with these investors is far from over.
—Reuters contributed to this report.
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24551fea677444268d42ff13338498d2 | https://www.cnbc.com/2015/02/23/wall-streets-5-burning-reasons-to-buy-apple.html | Wall Street’s 5 burning reasons to buy Apple | Wall Street’s 5 burning reasons to buy Apple
Omar Harran | Moment Mobile | Getty Images
Apple and the number five was on the mind of Wall Street analysts last week as two prominent members of that elite crew, Goldman Sachs' Bill Shope and Citigroup's Jim Suva, sent notes to clients laying out five reasons to buy the stock.
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41cea0315d4366b175a93eed7204233d | https://www.cnbc.com/2015/02/23/why-greece-will-never-repay-its-debt.html | Why Greece will never repay its debt | Why Greece will never repay its debt
VIDEO4:4304:43Greek debt won't be repaid, says this expert
European officials should accept that Greece may never repay its $366 billion debt, analysts told CNBC, even if the troubled economy secures a bailout extension.
Greek debt is not repayable in this life, Kingsley Jones, founder and CIO of Jevons Global, told CNBC on Monday: "We have to be realistic here. Greek debt is now 175 percent of gross domestic product (GDP); it's higher than it was when this whole business first started."
"Just look at Japan. It has government debt rapidly approaching 300 percent of GDP. One day, that debt pile simply implodes. It is not ever going to be repaid, nor will the Greek debt. There is no use standing on the high moral ground," Jones said.
Athens' current bailout program with European creditors requires Greece to reduce its debt to below 110 percent of GDP by 2022. The program was extended for another four months in a last-minute deal on Friday, failing to meet ruling party Syriza's request for an official haircut, or reduction, on outstanding debt – a promise that brought the leftist party to power last year. However, final confirmation of Friday's bailout extension hinges on the list of reforms Prime Minister Alexis Tsipras submits on Monday.
"The terms of the current agreement pretty much require Greece to attempt to run a primary budget surplus over 4 percent for well over a decade...No country with an unhealthy economy has ever managed to do that. So, we think that the current terms that are required of Greece are frankly pretty unrealistic," Jones added.
While Tsipras is no longer demanding a haircut given his limited bargaining power, experts say European creditors must realize there's no other solution if they want Greece to remain in the euro zone given the country's weak finances.
"What the Eurogroup should accept is that Greece is insolvent and needs a material haircut. They should have done that in 2010, but they chose to extend Greece more credit and push out the problem," said Nicholas Ferres, investment director of global asset allocation at Eastspring Investments.
"Greece has had a 30 percent cut in output from peak levels, which is equivalent to the Great Depression in the 1930s, it's [austerity] just not sustainable," he added.
Yorgos Karahalis | Bloomberg | Getty Images
However, European institutions will likely continue to reject the option of a haircut since they want Greece to get its fiscal house in order, explained Evan Lucas, market strategist at IG, adding that officials would be willing to consider any other Greek concession except for a haircut.
While Friday's eleventh-hour deal did spark optimism for a permanent solution, calls for a Greek exit, or 'Grexit,' from the euro zone are still high.
"If you actually look at [Friday's] deal, Greece got nothing and Germany got everything and we are now edging towards a Greek exit from the EMU [European Economic and Monetary Union], said IG's Lucas.
Read MoreGreece will stay in euro zone, say finance chiefs
He expects that any bailout deal will jeopardize Syriza's political mandate and increase the prospect of snap elections, which would likely endanger any existing bailout deal with European institutions.
Barclays voiced a similar outlook, stating the likelihood of Greece leaving the monetary union is higher now than it ever has been: "Greek authorities might start feeling the pressure of domestic public opinion, leading them to relax policy implementation while international creditors may not be willing to tolerate any further program slippage," the bank said in a note on Monday.
Morgan Stanley meanwhile puts the near-term chances of a 'Grexit' at 25 percent in the next three to six months.
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bd90e439c697ba8b2d687695308a7c25 | https://www.cnbc.com/2015/02/24/fed-funds-futures-now-pricing-best-chance-of-rate-hike-in-october-was-september.html | Fed funds futures now point to best chance of rate hike in October (was September) | Fed funds futures now point to best chance of rate hike in October (was September)
Fed funds futures are now pointing to the best chance of the first U.S. interest rate hike being in October, as dovish comments by Fed Chair Janet Yellen lowered expectations.
Futures now assign a 48 percent probability to a rate hike in September and a 69 percent probability for October, according to CME Group data.
The odds for a September hike were 54 percent on Tuesday morning, before Yellen started delivering her semiannual prepared remarks to the U.S. Senate.
The odds of a September hike had been as high as 63 percent last week, before the release of Fed minutes that made clear the central bank's cautious approach to the so-called liftoff of rates.
For coverage of Yellen's testimony click here.
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c93b5a24e0cdcb7dae6c50f915a2449a | https://www.cnbc.com/2015/02/24/nials-rent-but-lack-renters-insurance.html | Renting your place? Skipping this could cost you | Renting your place? Skipping this could cost you
VIDEO1:4401:44A case for renters insuranceHousing
Millennials are more likely to rent than to own their homes. But nearly six in 10 don't have renter's insurance, according to a new survey.
The Insurancequotes.com survey, conducted by Princeton Survey Research Associates, found 60 percent of 18- to 29-year-olds are renters—compared with just 36 percent of all Americans. But the majority of them lack coverage.
"I think that millennials just don't take the time to get renter's insurance," said Dick Power, a certified financial planner and founder of the Walpole, Mass.-based investment advisory firm Power Plans. "They don't have a concept of risk."
Read MoreBought a look at your credit score? You overpaid
Since millennials may not be used to owning much of value, he added, they may not think about insuring their possessions until it's too late. But that can be a costly mistake.
Sean Keating, founder of Patriot Financial Advisors in Eatontown, New Jersey, said that one of his clients was living on the Jersey Shore when Hurricane Sandy struck in the fall of 2012. A carpenter who kept his tools and other work equipment in his home, he didn't have renter's insurance and lost thousands of dollars' worth of equipment to the storm, as well as money from the jobs he had to give up until he could replace them.
Events that devastating are unusual. But even with smaller incidents, from vandalism to water damage from burst pipes, having renters insurance can help you avoid big losses.
YinYang | Getty Images
A plan that costs around $300 a year generally covers up to $50,000 worth of property. But most people won't need that much coverage.
Power said an insurance plan that covers $15,000 to $20,000 worth of property should be enough for most millennials. Those plans can work out to less than $200 a year, or as little as $10 to $15 a month. (The average renter's insurance premium cost about $187 in 2012, according to the Insurance Information Institute.)
Read MoreMillennial money habits worth breaking
It's important to check the fine print, though, to see exactly what's covered—and what's not—and how much the deductible is. (That's how much you have to pay toward the damage before the insurance money will kick in.) Standard renter's insurance will typically cover clothes, computers and furniture, but it won't cover expensive valuables like your engagement ring or high-end collectibles like rare baseball cards or artwork. You'll need additional coverage for those.
But the possessions that are covered by a standard policy are typically covered both inside your home and out. So if your laptop is stolen or dropped while you're on vacation, say, you would still be covered. (Make sure to check the policy, though.) Typically, your policy also includes liability insurance, which can help protect you if you are sued by someone who's injured in your home, as well as coverage for temporary living expenses if your home is damaged so badly that it's unlivable. Be aware, though, that some natural disasters, such as earthquakes, floods and, yes, hurricanes, may require riders or add-on coverage.
When you get personal property insurance, you might have the option to select actual cash-value coverage or replacement-cost coverage. Replacement cost coverage means you'll get enough to replace your item with one of the same kind. Say you paid $1,000 for a laptop three years ago, but it's worth a lot less now. Replacement coverage would give you enough for a new laptop. With actual-value coverage, you'd only be paid what the laptop is worth today, which may not be much.
Not surprisingly, replacement coverage typically comes with higher premiums. But it may be worth it, if you've got furniture, electronics or other big-ticket items that are a few years old already. Be aware that there is a limit to the amount of coverage you can get for different items. Each policy lists the specific monetary limits for personal property.
But even with the limits, the coverage can add up to thousands, so the math should work in your favor if your home, or your stuff, is damaged.
Keating sympathizes with those millennials who lack insurance. He was once among them. But he has a warning for them, as well. His apartment got damaged when he was 24, and he had to pay for the repairs and the replacement of his things. "It all came out of my pocket because I didn't pay a hundred bucks for coverage," he remembers. "I had to learn the hard way."
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34f192aed27d22d39f1330063a83dd23 | https://www.cnbc.com/2015/02/24/oil-back-below-50-as-opec-hopes-fade.html | Oil back below $50 as OPEC hopes fade | Oil back below $50 as OPEC hopes fade
VIDEO1:1201:12Where will the price of oil go?
Any hopes of a sustained rally in the price of oil disappeared Tuesday morning as doubts were raised over an anticipated cut in production from the Organization of the Petroleum Exporting Countries (OPEC).
The oil cartel is not due to meet until June this year but - with comments by Diezani Alison-Madueke, the Nigerian oil minister - suggested that an emergency meeting was due in the near term. This raised hopes that OPEC could cut production, something it had refused to do back at its last meeting in November 2014.
An anonymous delegate from the group denied these claims, telling Bloomberg overnight there was no emergency meeting planned. Brent crude futures dropped to 58.56 a barrel by 8:00 a.m. GMT on Tuesday and U.S. crude was back at $48.97 a barrel after climbing above $50 on Tuesday afternoon. OPEC was not immediately available for comment when contacted by CNBC.
Nikodash | iStock/Getty Images Plus
The dramatic fall in the price of oil—which tanked as much as 60 percent from mid-June last year—has been due to weak demand, a strong dollar and booming U.S. oil production, according to the International Energy Agency (IEA). OPEC's reluctance to cut its output has also been seen as a key reason behind the fall. The group produces about 40 percent of the world's crude oil.
Some analysts have told CNBC that there is a global "game of chicken" being played out between the Gulf states and U.S. shale producers, over who can absorb the dip in prices and not cut back on production.
Saudi Arabia is the world's top exporter of oil and one of the biggest producers. The country is the main swing producer in the Gulf region and is able to cut and expand production more freely than some of its neighbors. Alison-Madueke told the FT on Monday that most OPEC countries - except the Arab bloc - were very uncomfortable with the current price of oil.
"Oil should remain a well-supplied market, with U.S. tight oil (shale oil) keeping OPEC in check," a team at Barclays, led by Keith Parker, said in a note on Tuesday morning.
The bank believes that lower oil prices are likely to persist with demand growth slowing due to energy efficiency and lower aggregate growth globally. However, on the plus side it also believes that growth will get a boost from lower prices and highlighted that the usually climbs 12 percent the year after an oil trough.
VIDEO6:0206:02Oil Search: '2014 was a transformational year'Street Signs Asia
The dramatic fall in oil has tested global oil majors as well as smaller shale producers in the U.S.. BHP Billiton on Monday evening announced that it was cutting back on its expenditure for shale. It will reduce its rig count this year from 26 to 15 and highlighted a 15 percent cut in spending. It has also shelved plans to sell its Fayetteville shale business in Arkansas.
It remained upbeat on the price of oil, however, saying that a cyclical rebalancing of the market was already under way as supply is reduced. The medium-term outlook appears positive, according to the basic resources firm, as it believed that higher prices would be required to "induce the new supply needed to offset natural field decline."
Meanwhile, there was dismal news out from the U.K. The country's oil and gas industry experienced a negative cash flow of £5.3 billion ($8.2 billion) in 2014, according to a new report by industry body Oil and Gas U.K. This was the worst seen since the 1970s. Production revenues were also the lowest since 1998 and exploration has "collapsed" with the number of new wells last year falling to its lowest since the 1960s, it said.
"These are exceptionally worrying leading indicators of where this industry might be heading," the report on Tuesday said.
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320f8193881fc901acf8feb3eb216bb1 | https://www.cnbc.com/2015/02/25/axp-stock-amex-business-model-is-broken-strategist.html | AmEx business model is 'broken': Strategist | AmEx business model is 'broken': Strategist
VIDEO2:3202:32AXP's business model broken: ProClosing Bell
Recent hits to American Express highlight its fundamental flaws, a market strategist said on Wednesday.
"I certainly think the business model is broken," David Nelson, chief strategist at Belpointe Asset Management, told CNBC's "Closing Bell."
Read MoreAmEx hit with latest blow over merchant rules
On Thursday, a federal judge ruled that the financial services company's rules for merchants restrict retailers' ability to encourage consumers to use lower-cost cards. American Express also recently announced that it would end its yearslong partnership with Costco.
Getty Images
American Express transaction fees—about 2.5 percent—discourage businesses from accepting its cards, Nelson said. Despite the fact that shares have fallen about 11 percent this year, Nelson believes that other options in the financial sector hold more value.
However, businesses have always hesitated to carry American Express, Michael Yoshikami, CEO of Destination Wealth Management, told "Closing Bell." The stock may not pop immediately, but it has upside years down the road, he contended.
"You buy [American Express] because it's one of the few companies out there that actually has top-line revenue growth," Yoshikami said.
He believes it will "overcome" the loss of the Costco partnership.
Read More
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650db15cb535a5e48c6842559300f2de | https://www.cnbc.com/2015/02/25/britain-becomes-first-nation-to-legalise-three-parent-babies.html | Britain becomes first nation to legalise three-parent babies | Britain becomes first nation to legalise three-parent babies
Britain will become the first nation to legalise a "three-parent" IVF technique which doctors say can prevent some inherited incurable diseases but which critics fear will effectively lead to "designer babies".
After more than three hours of debate, lawmakers in parliament's upper house voted on Tuesday for a change in the law to allow the treatments, echoing a positive vote in the lower house earlier this month.
Read MoreUK touse bank fines to help fund NHS
Science Photo Library | TEK Image | Getty Images
The treatment, called mitochondrial transfer, is known as "three-parent" in vitro fertilisation (IVF) because the babies, born from genetically modified embryos, would have DNA from a mother, a father and from a female donor.
Although the techniques are still at the research stage in laboratories in Britain and the United States, experts say that now legal hurdles have been overcome, Britain's first 3-parent baby could be born as early as 2016.
Mitochondrial transfer involves intervening in the fertilisation process to remove faulty mitochondrial DNA, which can cause inherited conditions such as heart problems, liver failure, brain disorders, blindness and muscular dystrophy.
Read MoreCould this be theUK's most expensive medicine?
Mitochondria act as tiny energy-generating batteries inside cells, and around 1 in 6,000 babies around the world are born with serious mitochondrial disorders.
Responding to the vote, Jeremy Farrar, director of the Wellcome Trust medical charity commended lawmakers for a "considered and compassionate decision".
"Families who know what it is like to care for a child with a devastating disease are the people best placed to decide whether mitochondrial donation is the right option," he said.
Mark Downs, chief executive of the Society of Biology, hailed "a great day for UK science" and said the landmark decision "will ensure mothers who carry faulty mitochondria can have healthy children free from the devastating conditions."
But Marcy Darnovsky, director of the campaign group The Centre for Genetics and Society, called the move a "historic mistake" which turns children into biological experiments and will "forever alter the human germline".
"The techniques ... are relatively crude and will not in and of themselves create so-called designer babies," she said.
"However, they will result in children with DNA from three different people in every cell of their bodies, which will impact a large range of traits in unknowable ways and introduce genetic changes that will be passed down to future generations."
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9a0c83a16b7ce1820115931c9bb9c742 | https://www.cnbc.com/2015/02/25/credit-scores-three-little-numbers-that-add-up-to-a-lot.html | Credit scores: Three little numbers that add up to a lot | Credit scores: Three little numbers that add up to a lot
Your mother was right: Your grades are your ticket to the good life.
When you're an adult, three little numbers largely determine your access to credit and your ability to own a home, a car or start a business—and how much you'll pay for those things.
Your credit score—the one number on a scale between 300 and 850—is a clue about your creditworthiness. The higher it is, the higher the possibility lenders will take a gamble on you. "Your credit score can be the difference between owning a home or not," said Linda Ferrari, a Los Angeles-based realtor and author of "The Big Score: Getting It and Keeping It."
Zero Creative | Getty Images
Ferrari explained that she's encountered homebuyers who make more than $1 million a year but have poor credit scores simply because they don't have good credit habits. "People think credit scores are a reflection of how much money you make," she said. "They're not. They're about how you manage your credit."
Credit scores are most important when it comes to mortgages, said Laura Walton, executive director of TCI Foundation, a nonprofit that provides financial education in Tucson, Arizona. When you see mortgage rates falling to new lows, remember that those rates are available only to people whose score tops 760, the top tier of the credit score scale.
The difference in interest rates is dramatic. At the top end, borrowers pay a rate of just 3.285 percent, but two tiers down, borrowers with a score between 680 and 699 pay 3.684 percent, according to myFICO.com.
Read MoreHow hot is your credit score?
For a $300,000 loan, borrowers with the lower credit score would end up paying an additional $800 a year. It may not seem like much, said Walton, but according to myFICO's online calculator, that's $24,000 over the life of the loan.
"If you invested that $24,000 at 8 percent for 30 years, it becomes $91,000," Walton explained. That's a good chunk of change that could finance something significant in retirement.
Ferrari, the realtor, advises homebuyers to pull up their credit scores a few months before seeking preapproval on a mortgage. That way, if there are mistakes on a credit report affecting your credit score, there will be time to clear them up. Consumers could also elevate a not-so-impressive score by making on-time payments on loans or credit cards for a few months and by paying down credit card balances to below 25 percent of the credit limit (keeping in mind that a 0 percent utilization rate could actually hurt your score).
"The real estate market is more competitive than ever for buyers," Ferrari said. "Even if you have a better offer … if you don't have the pre-approval letter, you will not get the property."
That's not to say that you'll automatically be relegated to the doghouse if your score is low. Mortgage lending goes in cycles. Sometimes, when credit is tight, low scorers are completely shut out of homebuying. But when conditions improve, those with low scores can still get into a house, albeit at a price.
Read MoreMortgages easier to get
"Two years ago, if you had anything below 640, they'd tell you to go take a hike," said Al Bingham, a senior loan officer with Academy Mortgage and author of "Road to 850: Proven Strategies for Increasing Your Credit Score." But now, he claimed, "even some 600s out there are getting mortgages."
Remember, even if homeownership is of no interest to you and you are simply looking to rent, your credit score still matters. Landlords routinely check them to decide if you will be a risk. "You might be turned down for a rental if you have a poor score, or you're going to have to come up with a lot more security deposit," Bingham said.
Want 0 percent balance transfers? Rewards points? Annual fee waivers? You'll only get these credit card perks if you've got a sterling credit score. Credit card companies determine what interest rates and rewards to offer based on credit score.
Credit card companies also use scores to check up on you even if you are already a customer. "They're looking for any adverse changes to your credit report," said John Ulzheimer, president of consumer education at personal finance website CreditSesame.com. "[If there's a big change], they many no longer want to do business with you under the current terms."
You could see your interest rate rise with that company even if your accounts with that particular lender are up to date and pristine.
Less widely known is the use of credit scores in determining insurance rates. Insurers use credit scores to come up with a credit-based insurance score that is used to predict how likely a consumer is to make an insurance claim.
Insurance companies really don't want people to know how they utilize credit scores.Al Binghamsenior loan officer at Academy Mortgage
"They found a correlation between low credit scores and high-risk behavior," said Walton at TCI Foundation. Plus, a low credit score might indicate an insurance customer who doesn't pay his or her bill on time.
In fact, according to Fair Isaac Corp., the company whose methodology is used to come up with FICO scores, 95 percent of auto insurers and 85 percent of homeowner insurers use credit-based insurance scores in states where it's allowed.
Read MoreWhat rising rates might mean
But there is no industry standard as to how these scores are used. "Insurance companies really don't want people to know how they utilize credit scores," said Academy Mortgage's Bingham. "The cost for someone who has a credit score from 550 to 580 is about double as someone with a score of 780."
Bingham's firm surveys credit card and insurance companies to understand the impact of different credit scores. Some companies' rates bounce around, while others don't, Bingham said.
As is often the case with credit scores, however, unearthing exactly how can be a mystery.
—By Ilana Polyak, Special to CNBC.com.
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f46332695a28bfdeb6afb07045d60b47 | https://www.cnbc.com/2015/02/25/healthy-protein-rice-becomes-the-new-meat-for-some.html | Want muscles? Rice is the new meat | Want muscles? Rice is the new meat
VIDEO1:0401:04Rice protein taste testRough Rice Commodity Market Trades, Charts
Darin Goka personifies everything about modern fitness. He does CrossFit. In fact, he loves CrossFit so much, he competes in a league.
He's up to date on diet trends. Paleo was nice for a while, but he's kicked it up a notch to vegan. "No animals were harmed in my training," he boasts.
So how does this muscle-bound, fat-free specimen of modern manhood get enough protein?
Rice.
"I feel better," Goka said one afternoon while lifting barbells, jumping rope, and reaching for rings at Valley CrossFit in Los Angeles.
Read MoreGet a body like Beyoncé! Songstress starts vegan venture
Americans have been on a protein-adding craze, throwing powder into smoothies, sprinkling it on foods. General Mills even added protein to Cheerios. One report suggests the whey protein market could hit $12 billion globally by 2017. Soy protein adds a few billion more.
However, not everyone wants to get their protein from animals, and some have problems with soy. Leeching protein from sources like wheat or peanuts doesn't help those who can't tolerate gluten or have nut allergies.
That leaves rice.
Darin GokaCNBC
"A long time ago, I realized there was a need for a plant-based protein," said David Janow, CEO of Axiom Foods, the largest producer of plant based proteins in the country. He chose to focus on rice because he thought it would be a great source for boosting protein in animal feed. However, in 2005, "I realized there was a need in human nutrition."
Axiom now produces Oryzatein Brown RiceProtein Powder, which it sells under its own Growing Naturals line. It's also sold in products made by manufacturers like Garden of Life and NutriBiotic.
Janow estimates 2014 sales of $100 million will double this year. One big reason is that the market is moving beyond just customers with nutritional concerns to fitness enthusiasts.
Read More3-D printing offers nutrition on the front lines
A study published in the Nutrition Journal found that exercise subjects who worked out using whey protein and rice protein had the same performance and recovery. "I feel that it's easier on my stomach," said Goka.
Most people think of rice as a carbohydrate, but about eight percent of each grain is made up of protein. Axiom uses a fermentation method to extract and concentrate the protein, and the rest of the grain is used for things like rice syrup. The husks are burned to create power. "Every part of the grain of rice is used," Janow said.
Products containing Axiom's Oryzatein are sold in Whole Foods, Sprouts, and small health stores like The Vitamin Barn in Malibu, where it appears in powders sold by NutriBiotic.
VIDEO1:4701:47Rice is the new meatRough Rice Commodity Market Trades, Charts
"In the last five-plus years we've really seen the rice protein just take off in sales as more people become aware of how great the product is," said Kenny Ridgeway, NutriBiotic's director of Purchasing and Manufacturing. "The organic sales since 2011 have increased 204 percent, and actually last year the sales increased 72 percent."
Read MoreMcDonald's to workers: Don't suggest the salad
Axiom also sells hemp and pea protein, but rice has the greatest promise. "Rice is very high in leucine, which builds muscle," Janow said. As for cost, Janow claims rice protein is less expensive to manufacture than whey powder.
"When they actually polish rice, and they take care of the rice to make it really nice and pristine in the bags, what you see is some of the broken parts. We take a lot of the broken parts, and that's where the value comes in."
How does it taste? Watch the video.
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a9c7433a2d4bac4ad04b49ceb1c32f92 | https://www.cnbc.com/2015/02/25/lowes-posts-earnings-of-46-cents-a-share-versus-43-cents-a-share.html | Lowe's posts earnings of 46 cents a share, versus 43 cents a share | Lowe's posts earnings of 46 cents a share, versus 43 cents a share
An employee works in the paint department at a Lowe's Cos. store in Louisville, Kentucky.Luke Sharrett | Bloomberg | Getty Images
Lowe's, the No. 2 U.S. home improvement chain, reported same-store sales well above analysts' estimates as lower gas prices and an improving job market encouraged Americans to spend more on home renovations.
Lowe's shares rose 2.5 percent to $76.50 premarket as the company also forecast full-year sales above estimates.
"Macroeconomic fundamentals are aligned for modestly stronger home improvement industry growth in 2015," Chief Executive Robert Niblock said on Wednesday.
Increased spending on home renovations also helped larger rival Home Depot post better-than-expected sales and profit on Tuesday.
(See what Lowe's stock is doing now)
Lowe's forecast full-year earnings of about $3.29 a share, edging past the average analyst estimate by one cent.
The company said it expects same-store sales to grow 4-4.5 percent in the year ending January 2016.
Total sales are expected to rise between 4.5 percent and 5 percent. The forecast translates to sales of $58.75-$59.04 billion - above the average analyst estimate of $58.52 billion, according to Thomson Reuters.
Lowe's same-store sales increased 7.4 percent in the fourth quarter, higher than the 5.1 percent estimated by analysts on average, according to research firm Consensus Metrix.
Net income rose to $450 million, or 46 cents per share, in the fourth quarter ended Jan. 30, from $306 million, or 29 cents per share, a year earlier.
Net sales rose to $12.54 billion from $11.66 billion.
Analysts on average expected a profit of 43 cents per share on sales of $12.31 billion, according to Thomson Reuters.
In the 52 weeks to Tuesday's close, Lowe's stock gained 58 percent, outperforming Home Depot's 50 percent increase.
Analysts at Janney Capital Markets looked for the North Carolina-based company to benefit from the cold weather, according to a note from Monday. Lowe's stock has grown each of the last four winters and has gained about 11 percent this winter, according to FactSet.
--CNBC.com contributed to this report.
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47dfa131384a7b53728a52ba615f2de6 | https://www.cnbc.com/2015/02/25/office-support-staff-often-overhear-confidential-talk.html | More reasons to be careful about what you say at work | More reasons to be careful about what you say at work
Eric Herchaft | ONOKY | Getty Images
If the Sony hack wasn't telling enough, there's more evidence that "confidential" is a laughable concept at the office.
A new CareerBuilder.com survey of more than 500 office support staff—including custodians, mailroom attendants, security guards, receptionists, administrative assistants and maintenance workers—found that 53 percent had overheard conversations about confidential topics such as planned layoffs, worker compensation or romantic relationships between coworkers. About one in 10 said they knew something about an executive or coworker that could be a firing offense.
Another 10 percent said they'd seen something incriminating in the trash or around the office. To highlight just a few: Stolen event tickets, a letter from the boss' mistress, an employee's tax return, a picture of a partially dressed coworker and a pregnancy test.
"Absolutely [support staff] are not out to get you," said Michael Erwin, senior career advisor at CareerBuilder. "They are stumbling across these conversations in the hallway, or finding that paper at the copier." The issue is more that busy employees can get careless, he said: Who hasn't printed something but then forgotten to grab it at the printer? Or had a water-cooler gripe session about the boss?
Read MoreCommon tax return errors that can cost you
Those missteps can quickly become problematic in the era of shared workspace. "There's no such thing as privacy at work," said Karen Friedman, a business communications coach. "Inquiring minds always want to know." The best defenses come down to exercising common sense. "If you have private information that you don't want other people to know, there are two things you need to do," she said. "One, zip it—just shut up, honestly." Don't talk about personal problems at work, and have sensitive work conversations with the office or conference room door closed.
Read MoreTrying to improve your finance? Don't forget these
And the second thing? "Don't leave things lying around," said Friedman. Your desk is not a secure space. Just like you (hopefully) wouldn't leave your ATM card or a list of account passwords out in full view, don't think it's OK to leave sensitive documents or other personal items unsecured. Shred anything sensitive before it hits the trash or recycling bin.
Rethink whether some items should be going into the office trash at all, said networking expert Susan RoAne, the author of "How to Work a Room." (If you think you may be pregnant, take the test at home.)
Consider this a lesson, too, in office politicking. "The smart person in the workplace is as nice to the people in support roles as they are to everyone else," said RoAne. Not only can that make colleagues less inclined to gossip about you, it can also keep you in the loop on must-know information. For example, you might get a head's up about those planned layoffs, she said.
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1b5c7a6645660ff33809b118387214ac | https://www.cnbc.com/2015/02/25/pay-as-you-go-solar-power-takes-off-in-africa.html | Pay-as-you-go solar power takes off in Africa | Pay-as-you-go solar power takes off in Africa
In Kenya the cell phone is being used to transform the way that people consume energy. M-KOPA Solar – the word 'kopa' is Swahili for 'borrowed' – is a Nairobi-based business that has pioneered the idea of "pay-as-you-go" solar energy in Africa.
The idea behind the business is based on harnessing the broad use of mobile payments in Africa. The industry there is already vast: Nigeria based mobile payments company Paga has more than 2.4 million customers, to give one example.
Read MoreFill her up! How whisky could fuel your car
After paying a deposit of around $35, M-KOPA users are given a solar system to install at their homes. Using a mobile payment system on their cell – which can be anything from a top of the range smartphone to an older, less sophisticated model – they then top it up every day to the tune of around 45 cents in order to get energy.
According to M-KOPA, GSM sensors are placed inside the solar systems to monitor and regulate usage based upon payments. After 12 months of regular payments, users acquire full ownership of the solar system and have access to free solar energy.
"Once they own it then the energy is free. Our business… basically offers them upgrades for more power," Jesse Moore, co-founder and Managing Director of M-KOPA Solar told CNBC.com in a phone interview.
M-KOPA Solar | Georgina Goodwin
The company's website states that more than 10,000 mobile payments are made by users on its cloud platform, M-KOPAnet, every day.
Part of the idea behind M-KOPA is to displace the use of kerosene as an energy source and encourage the uptake of solar as an alternative.
Read MoreHow to cut energy bills—and help the planet
The effects of kerosene use in the home can be damaging to people's health, causing a range of problems including dermatitis. "Kerosene as a lighting fuel is extremely dangerous and unhealthy," Moore said.
"Kerosene sticks around because… even though it's 'expensive', it's affordable. Affordability in this context means 'I can buy what I need to get through today, then tomorrow I can buy it again'," he added. "Our mission is to save our customers money."
M-KOPA's commercial launch was in late 2012. The company's latest model, the M-KOPA III, has an eight watt solar panel, two LED lights, a USB phone charger, and a portable, solar powered radio.
Read MoreFlat-pack bulb brings light to disaster zones
Today, the company says that it has brought solar power to over 150,000 households in Kenya, Uganda and Tanzania. And with many communities across the world off grid and lacking access to clean, renewable and affordable energy, the potential for a business model like M-KOPA's is vast.
"We believe we've developed a proposition which has global potential… [but] our core focus is East Africa and we're still really just getting started here," Moore said.
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1da6a2423c611cb782a6b2dca6db464d | https://www.cnbc.com/2015/02/25/pen-flat-data-yellen-eyed.html?utm_source=wnd&utm_medium=wnd&utm_campaign=syndicated | Stocks close mixed; Nasdaq snaps winning streak, Dow at record | Stocks close mixed; Nasdaq snaps winning streak, Dow at record
VIDEO2:2402:24Cashin says oil bulls happy, may see bottomWorld Economy
U.S. stocks closed narrowly mixed on Wednesday, as the Dow Jones Industrial Average closed at a new record amid firming oil prices, moderate housing data and some debate over Fed Chair Janet Yellen's congressional testimony.
"I think everybody's mulling what Janet Yellen said yesterday," said Kim Forrest, senior equity analyst at Fort Pitt Capital said.
The Dow Jones closed up 15.38 points, or 0.08 percent, at 18,224.50, its third record for 2015, with McDonald's leading blue chips higher and Intel the greatest laggard.
The S&P 500 closed down 1.62 points, or 0.08 percent, to 2,113.86, after hitting a new intraday all-time high, with consumer discretionary leading all sectors and utilities the biggest loser.
The Nasdaq tried to touch the key 5,000 level, but failed to do so, closing 0.98 points down at 4,967.14. Apple closed down 3.38 points, or 2.56 percent, at $128.79 per share, off highs of $133 a share.
Read MoreFour survivor CEOs since Nasdaq last hit 5,000
Yellen's remarks to the Senate on Tuesday were mostly dovish but added little weight on either side to analyst expectations on the timing of an interest rate hike.
Stocks briefly traded higher to new intraday highs after the Fed chair reiterated her remarks on Wednesday in front of the House Financial Services Committee.
"Markets have a history of rallying when (Yellen) speaks," said Randy Frederick, managing director of trading and derivatives at Charles Schwab. Stocks gained 12 of the last 13 times Yellen or the Federal Reserve made a major announcement prior to Wednesday's testimony, according to Frederick's historical analysis.
Stocks were little changed after morning housing data and earnings.
fell a less-than-expected 0.2 percent to 481,000 and supply rose to its highest level since 2010, hopeful signs for the sluggish housing market.
"I think it's a positive," said Art Hogan, chief market strategist at Wunderlich Strategies, pointing out good earnings in home development retailers Home Depot and Lowe's.
Peter Boockvar, chief market analyst at The Lindsey Group, said out in a note that the new home sales for January were "mediocre." The reported level was the best since the middle of 2008 but below the 30-year average of 710,000.
Read MoreFour ways to insure the record rally
The U.S. Energy Information Administration reported that weekly crude inventories rose 8.4 million barrels, more than expected. The figures were in-line with Tuesday's American Petroleum Institute report of 8.9 million barrels.
Crude oil futures settled up $1.71, or 3.47 percent, to $50.99 a barrel on the New York Mercantile Exchange, its best day since Feb. 12. Brent crude traded near $62 a barrel.
Mortgage applications to purchase a home rose 5 percent on a seasonally adjusted basis for the week ending Feb. 20 from the previous week, the Mortgage Bankers Association reported early on Wednesday.
Existing home sales for January reported on Monday slumped to the lowest level in nine months amid a shortage of properties in the market.
On Tuesday, the S&P/Case-Shiller composite index of home prices in 20 cities increased by a greater-than-expected 4.5 percent in December from the same period last year.
Read MoreCashing out: Selling by CEOs, insiders surging
"Housing has not been all that strong," said Nick Raich, CEO of The Earnings Scout. "That's going to potentially cause the Fed to play a bit of a waiting game."
He also cautioned that earnings expectations are deteriorating for the first half of 2015, despite good fourth-quarter reports from some retailers this week.
Major U.S. Indexes
Hewlett-Packard reported adjusted earnings of 92 cents per share, a penny above estimates. However, revenue was below forecasts, and HP gave lighter than expected guidance due to significant negative impact from a stronger dollar
Target posted earnings and revenue that topped Wall Street expectations Wednesday, sending shares higher in premarket trading.
Campbell Soup matched estimates with adjusted quarterly profit of 66 cents per share, while revenue was above analyst forecasts. The company did say its gross margins were disappointing and below its expectations.
Dollar Tree earned an adjusted $1.16 per share for its latest quarter, beating estimates by 1 cent, with revenue also above consensus. Comparable store sales were up 5.6 percent during the quarter.
Read MoreEarly movers: LOW, DHR, HTZ, CHK, HPQ & more
Lowe's posted quarterly earnings and revenue that topped Wall Street expectations Wednesday, sending shares higher in premarket trading. The company posted earnings of 46 cents a share on revenue of $12.54 billion.
Avago Technologies, Victoria's Secret and Bath & Body Works owner L Brands, Salesforce.com and Workday are all due after the bell.
The CBOE Volatility Index (VIX), widely considered the best gauge of fear in the market, traded near 14.
Nine stocks advanced for every seven decliners on the New York Stock Exchange, with an exchange volume of 704 million and a composite volume of 3.29 billion, below this year's high of 4.6 billion.
The U.S. 10-year Treasury note yield traded near 1.97 percent. The U.S. dollar edged lower against major world currencies.
Gold futures settled up $7.20 to $1,204.50 an ounce.
Read MoreNice rally, but major indices seem stretched
European equities ended lower on Wednesday as investors focused on a slew of corporate earnings and a continued dovish tone from Yellen's second day of testimony.
Asian stocks closed narrowly mixed in the first day of trade after the Lunar New Year, despite HSBC flash PMI that showed expansion in China for the first time in four months.
U.S. stocks climbed to new records on Tuesday amid Yellen's remarks to the Senate Banking, Housing and Urban Affairs Committee.
—CNBC.com contributed to this report.
On tap this week:
Wednesday
Earnings: L Brands, Liberty Media,Salesforce.com, Transocean, Workday
Thursday
Earnings: A-B InBev, Kohl's, Chico's FAS,SeaWorld, Autodesk, Gap, Ross Stores, United Health Services, Herbalife, JCPenney, Live Nation Ent., Splunk, Weight Watchers
8:30 a.m.: CPI
8:30 a.m.: Durable Goods orders
9:00 a.m.: FHFA Home Price Index
10:30 a.m.: Natural gas inventories
11:00 a.m.: Kansas City Manufacturing Index
12:40 p.m.: Fed's Lockhart speaks
1:00 p.m.: Seven-year note auction
4:30 p.m.: Fed balance sheet/money supply
Friday
8:30 a.m.: GDP
9:45 a.m.: Chicago PMI
10:00 a.m.: Consumer Sentiment
10:00 a.m.: Pending Home Sales
10:15 a.m.: Fed's Dudley speaks
10:15 a.m.: Fed's Mester speaks
1:30 p.m.: Fed's Fischer speaks
3:00 p.m.: Farm prices
More From CNBC.com:
I'm optimistic about home improvement sector: CEOPay attention: These 3 numbers rule your life
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f607874ef6f06b381d7b0ab89a4b4385 | https://www.cnbc.com/2015/02/25/trubrain-bottled-brain-power.html | Entrepreneur: We've bottled brain power | Entrepreneur: We've bottled brain power
VIDEO5:3205:32Neuroscientists bottle brain powerPower Pitch
A group of neuroscientists has created the first energy-drink designed to give a boost to your brain. It's called truBrain, and according to the company's CEO Chris Thompson, it packs a punch that's much smarter than a jolt of caffeine.
"Our mission is to quantify attention and productivity in the brain, and optimize performance," said Thompson.
Watch Thompson pitch his start-up to Vast Ventures partner Nikhil Kalghatgi, Pantegrion Capital founder and CEO Alicia Syrett and Maveron Partner Rebecca Kaden. Will the drink quench the CNBC "Power Pitch" panel's thirst or leave a bad taste in their mouths? Watch the video to find out.
Thompson is the entrepreneur behind the smart-drink start-up, but the brain power behind the recipe comes from two UCLA researchers, Aida Attar and Andrew Hill, who lead the research and development.
The drink is packed with a cocktail that includes amino acids, minerals, and ingredients referred to as nootropics, substances that enhance memory and fuel the thinking process, Thompson said. The cocktail also comes in pill form. The company's website says: "TruBrain's goal is to give you the competitive edge of focused cognitive performance."
Thompson told CNBC that truBrain's scientists have conducted two pilot studies and used wearable technology to measure the product's impact on brain waves. "We observed that truBrain versus placebo showed a higher amplitude of alpha brain waves in the parietal and temporal lobes. Increased alpha brainwaves may be associated with better engaged attention," Thompson said.
Thompson said FDA approval is not necessary because the ingredients have been safely used over the counter for decades.
truBrain drinkSource: truBrain
During the "Power Pitch" segment, Syrett asked when she could expect to see truBrain's scientists' studies on brain waves published in a medical journal.
"We've done two studies underway, you know, very exciting results. So it is a process. I'm not going to promise when we're going to get there, but that's part of where some of the funds are going to," Thompson said.
CNBC anchor Mandy Drury then asked if any consumers of truBrain have reported it not working.
"I do think even if you look at certain things there's always a bell curve of response. There will be a slice that it doesn't actually work for them or it doesn't do anything noticeable. But, for the mass majority, there'll be something," Thompson responded. "We don't want to make these bold, outrageous claims."
The company sells truBrain on its website in a subscription model starting at $50 per month. Thompson told CNBC the company has shipped over 300,000 units to over 50 countries.
TruBrain has raised over $180,000 with key investors, including Todd Newman of Bumble Bee Foods, Howard Marks of Activision, Paul Kessler of Bristol Capital and the StartEngine Accelerator Fund.
—Comments, questions, suggestions? We'd love to hear from you. Follow us @CNBCPowerPitch and join the #PowerPitch conversation
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8c1d27b91f55b1dd106bf0c6d5f6cc83 | https://www.cnbc.com/2015/02/26/bff-why-russia-and-cyprus-are-getting-cosy-again.html | Why Russia and Cyprus are getting cozy again | Why Russia and Cyprus are getting cozy again
After Cyprus' financial system crashed so spectacularly in 2013, requiring an international bailout that hit Russian investors hard, you'd be forgiven for thinking that Moscow would be steering clear of the Mediterranean country.
But after a day trip by Cypriot President Nicos Anastasiades to meet Russian President Vladimir Putin in Moscow on Wednesday, the countries had signed a deal to give the Russian navy access the island's ports, a controversial move at a time when Russia is in Europe's bad books over Ukraine.
Russia's cozy relationship with Cyprus is nothing new, although it has been sorely tested when the country's banking system collapsed in 2013.
Cyprus secured a 10 billion euro ($11.8 billion) bailout overseen by the European Commission, European Central Bank and International Monetary Fund. In return for the aid, Cyprus had to find a further 11 billion euros of its own to maintain its banking system.
As well as imposing strict capital controls on account holders, the Cyprus government had to wind down the Cyprus Popular Bank and recapitalize another—the Bank of Cyprus—with measures including the seizing of depositors' uninsured savings above 100,000 euros ($120,000).
Russian President Vladimir Putin and Cyprus President Nicos AnastasiadesSasha Mordovets | Getty Images News | Getty Images
Standard Bank emerging markets analyst Timothy Ash described the presidents' meeting as "significant" but warned that Cyprus' renewed cozy relationship with Russia could be a "dangerous" and "irritating" card to play with Europe and the U.S.
"(It's) another huge PR coup for Putin following his visit to Budapest last week, where energy deals were signed," Ash said in a note Wednesday.
"I think the message to Washington DC and Berlin from Putin is clear, we have allies in the heart of the EU, and that we can use these relationships at will to counter any actions you may like to take with respect to Ukraine," Ash added.
In particular, Ash believes that Russia was using its close ties with Cyrpus as a bargaining chip with the international community. "The message will be 'try more sanctions iterations at your peril, as you might see European unity torn apart as we will play the Hungarian, Cypriot and Greek cards at our pleasure,'" Ash warned.
Read MoreWhycorruption in Ukraine 'must be destroyed'
Putin is persona non grata in the West for his country's apparent assistance of pro-Russian rebels fighting the Ukrainian military in the eastern part of the country, a charge Russia denies. A cease-fire brokered by France and Germany almost two weeks ago appears to have tentatively taken hold.
In the overhaul and "bail-in" of Cyprus' banks in 2013, many of the accounts with larger deposits were foreign owned, and the island's financial system was particularly popular with Russian investors and businesses, prompting accusations that it was a place for money laundering. Moscow said it would not bail out the Russian depositors who lost out, particularly as it was keen to repatriate Russian money to its own coffers.
Two years on, and it looks like Russians could be prepared to dip their toes into Cyprus again, according to one Moscow-based business advisor.
"Obviously, Cyprus-Russia relations went through a very bad patch during the Cypriot banking crisis, but it's funny how everyone here in Russia seemed to take it in their stride," Ian Ivory, business advisor at Russian law firm Goltsblat BLP, told CNBC Wednesday. "I think Russians are used to less constancy in their banking system so they weren't perturbed by what happened in Cyprus."
"The reality is that Cyprus remains the best place for Russian business to locate their offshore financial structures although there is still a lot of pressure on Russian companies to repatriate assets," he added.
Like its neighbour, Greece, Cyprus has been critical of western sanctions imposed on Russia for its part in the conflict in Ukraine and Nicosia's latest move to allow the Russian navy access to its ports will no doubt raise eyebrows in Europe.
The rapprochement carries great risks for Cyprus and Russia, experts warned.
"For Cyprus, this might prove to be a dangerous card to play. This will irritate the U.S. no end, and might see a less supportive U.S. approach over the future of northern Cyprus (which is Turkish territory)," Ash warned.
"Cyprus also likely views Russian support as important in allowing development of offshore gas fields—therein the Russian-Egyptian-Cypriot angle is becoming interesting," he added.
Ivory said Russia was taking a risk, too.
"On the face of it, from the Cypriot perspective they need Russian money but I would argue that it's much more nuanced than that. It's unlikely that a Grexit will occur but if it did and there was another Cypriot banking crisis then it would be a disaster for Russia given that its economy is already suffering from the ruble's decline and economic sanctions."
"Russia's economy is still very much interconnected with the global and European economy so any shocks there such as a Lehman-type event elsewhere would have an extremely profound effect on the country."
Follow us on Twitter: @CNBCWorld
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a038ebd0f0761866601a16a75eaa3b7c | https://www.cnbc.com/2015/02/26/japan-inflation-eases-in-january.html | Japan inflation eases for sixth month in January | Japan inflation eases for sixth month in January
Getty Images
Japan's consumer inflation eased in January for a sixth straight month increasing expectations that the Bank of Japan (BOJ) will have to undertake further stimulus measures to achieve its price target.
The consumer price index (CPI) rose 2.2 percent in January from the year-ago period, government data showed on Friday, compared with Reuters' forecast for a rise of 2.3 percent and down from a 2.5 percent rise in December.
Excluding the effects of the sales tax hike, the nationwide consumer price index (CPI) rose 0.2 percent, below expectations for a 0.3 percent increase and down from 0.5 percent in December.
The core Tokyo CPI for February, considered a leading indicator, rose 2.2 percent on year, unchanged from the previous month and in line with expectations.
Read MoreCash rich lenders bankroll Japan Inc's shopping spree
"The BOJ has continued to change its wording to explain its CPI outlook: it was 'around 1.25 percent', later revised to 'around 1.0 percent', and now 'CPI is likely to slow for the time being'. As the decline in energy prices has a positive effect on economic growth, further weakness in the CPI due to a fall in oil prices is unlikely to trigger immediate additional [quantitative easing]," Standard and Poor's said in a note before the data were released on Friday.
"We predict that by Q3, inflation is likely to accelerate again. The BOJ will most likely wait patiently until then," it said.
However Marcel Thieliant, Japan Economist at Capital Economics, believes further easing is likely.
"The ongoing slowdown in inflation increases the pressure on the BOJ to introduce more stimulus," Thieliant said, noting that he expects inflation will turn negative in the second quarter.
VIDEO5:1205:12Tracking the fall in Japan's household spendingSquawk Box Asia
Data deluge
In other data, household spending for January fell 5.1 percent from the year before, versus expectations for a 4.1 percent decline and after declining 3.4 percent in the previous month.
"I see [the decline in household spending] as a sign that Japanese consumers have run out of growth and money," Robert Medd, partner at GMT Research, told CNBC.
"The sales tax hike has jacked up the cost of spending, while the amount of spending is the same, because the prices have gone up the actual things they consume has fallen. If you look at the pre-tax numbers, it is down 20 percent year-on year," he said.
Industrial output rose an annual 4.0 percent in the month, compared with forecasts for a 2.7 percent increase and after rising 0.8 percent in December.
Read MoreJapan Inc seesno need for 2 percent inflation or more easing
Japanese manufacturers were more upbeat about next month, however. They expect industrial output to rise 0.2 percent on month in February, above their previous forecast for a 1.8 percent decline, according to the Ministry of Economy, Trade and Industry.
Retail sales fell 2.0 percent in January, worse than expectations for a 1.3 percent decrease.
Meanwhile, the unemployment rate increased to 3.6 percent from 3.4 percent in the previous month. The jobs-to-applicants ratio remained unchanged at 1.14 - the highest level since March 1992.
Japan's economy has been on the backfoot ever since the government raised nationwide consumption tax to 8 percent from 5 percent last April, in a bid to reduce the country's massive debt.
The economy slipped into recession in the third quarter, contracting an annualized 1.6 percent after shrinking 7.3 percent in the second quarter.
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bc8096b317e537440569955b5835fb96 | https://www.cnbc.com/2015/02/26/oves-closer-to-becoming-reality.html?utm_content=bufferbc56b&utm_medium=social&utm_source=linkedin.com&utm_campaign=buffer | Hyperloop moves closer to becoming reality | Hyperloop moves closer to becoming reality
VIDEO3:3403:34Hyperloop, a real 'series of tubes' to become real
VIDEO1:1201:12Elon Musk plans to build his 'hyperloop' in TexasStreet Signs
VIDEO2:2402:24Elon Musk's commitment to TeslaClosing Bell
The Hyperloop, just an idea in the mind of Elon Musk two years ago, is moving closer to becoming reality.
Hyperloop Transportation Technologies has signed an agreement with a developer in central California to build a five mile Hyperloop line in an area along Interstate 5.
"This is a phased process. We've done feasibility studies and now we will be able test all aspects of the Hyperloop," said Ahlborn.
The Hyperloop is the idea of Tesla Motors and Space Exploration Technologies founder Musk, who outlined a vision for transporting people at high speeds in a capsules that will be pushed through a series of tubes stretching over thousands of miles.
"This is big step," said Dirk Ahlborn, CEO of the JumpStartFund, which created Hyperloop Transportation Technologies last year. "It's time to take the Hyperloop from concept and design and build the first one."
A rendering of a Hyperloop by Hyperloop Transportation TechnologiesSource: Hyperloop Transportation Technologies
The deal signed with developers of Quay Valley in central California calls for construction to start next year and be completed by 2019. Ahlborn estimates the five mile Hyperloop will cost about $100 million to build.
After announcing his idea, Musk said he would not fund or actively work on any projects to build the Hyperloop. Musk has since announced plans to build a Hyperloop test track in Texas.
Read MoreTesla targets cold-weather states with new P85D
How will Hyperloop Transportation Technologies pay for the initial stretch?
Much of the funding will come from an IPO of Hyperloop Transportation Technologies. Ahlborn is targeting the IPO to raise at least $100 million and come to the market later this year.
"We've been contacting potential suppliers and we think this first commercial application of the Hyperloop will be successful when it is built," he said.
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fbe48471608941641f6afb293f3fb62d | https://www.cnbc.com/2015/02/26/thanks-to-europe-cramer-is-a-happy-camper.html | VIDEO13:1113:11Cramer still happy camper on US market Mad Money with Jim Cramer
Jim Cramer really, really wants to be negative about the market right now. But as hard as he tries, he just can't do it. There are too many good indicators swirling around to bring him down!
As soon as he looked at the news on Thursday morning, he was greeted by fabulous bond rates in Europe. The Spanish 10-year bond rate was at 1.38 percent, and the Italian 10-year was at 1.42 percent—record lows for this region.
So what the heck do European bond rates have to do with the U.S. economy, and why is this important?
When Cramer saw these low interest rates, he was automatically taken back to just three years ago when these same bonds were yielding 7 percent. Both countries were in a liquidity crisis and were desperately trying to raise cash.
The banks were on the brink of collapse, and investors all over the globe speculated that Italy, Spain, Portugal and Ireland would default.
As a result, the U.S. markets were crushed, when the Dow dropped 900 points from 12,000, with a one-day decline of 400 points on the day that Italy's bonds hit 7 percent.
"So, we have a situation that's the polar opposite of something that caused our markets to get crushed. Isn't it a simple deduction to conclude that Europe should now be pushing our stocks higher?" the "Mad Money" host said.
Jim Cramer on Mad Money.CNBC
Sure enough, just as the U.S. market is hitting all-time highs, positive news is floating in from Europe. Good lending numbers are emerging, consumer confidence is high and European household spending is up. Clearly the continent has hit a turning point.
Cramer's hypothesis is as follows: If Europe could bring us down with bad news, then the good news could bring us back up.
The trickle-down effects have rolled over to the U.S. as well, especially when companies like Salesforce.com just hit the mark as the fastest enterprise software firm to hit $5 billion in sales. Sure enough, the high-end tech rally continued with Facebook, Twitter and Google all on fire.
Then, all of a sudden, Johnson & Johnson and even McDonald's woke up from their coma. Cramer was suspicious about McDonald's.
"Hmm, could that be presaging some better February numbers? This is not a stock that can power up five bucks on nothing," he added.
And yes, Cramer knows everything was not all rosy sunshine on Thursday. He was skeptical on IBM when it announced it would grow its 27 percent of the business that pertains to social and mobile up to 40 percent. What about the rest of the business that needs help?
---------------------------------------------------------- Read more from Mad Money with Jim Cramer Cramer Remix: This one stock leading many higher Cramer: Secret catalyst behind the housing boom Cramer: The stock rotation ruining your portfolio ----------------------------------------------------------
Even two of his long-time faves Popeyes Louisiana Kitchen and Blackhawk took a hit when they announced a cloudy outlook going forward.
But he's not letting those negative points bring him down. As long as Europe is getting stronger, and lower oil prices continue, Cramer is a happy camper.
"No matter how hard I tried to embrace the gloom and sullenness that infects so many of my fellow market observers, I just can't deny the evidence of my own eyes, and what I'm seeing is positive, not negative."
Questions for Cramer? Call Cramer: 1-800-743-CNBC
Want to take a deep dive into Cramer's world? Hit him up! Mad Money Twitter - Jim Cramer Twitter - Facebook - Instagram - Vine
Questions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com
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aeb72915a81005d41ec6b3f80ac0668b | https://www.cnbc.com/2015/02/27/americas-favorite-fast-food-and-fast-casual-restaurants.html | America's favorite fast food and fast casual restaurants | America's favorite fast food and fast casual restaurants
Papa Murphy's Steak Delight pizza.Source: Papa Murphy's
The restaurant industry is known for being fiercely competitive. So which quick-service restaurants are winning at turning customers into loyal ones?
Market Force Information is out with a new set of restaurant rankings culled from responses of more than 12,700 people. They are based on a composite loyalty index that measures satisfaction with the restaurant experience and likelihood of recommending the brand.
Why does this matter?
"Because they're highly loyal, they're more likely to advocate for your brand," said Market Force's chief strategy officer, Cheryl Flink. "A very high percentage look at reviews to see what consumers are saying about their experience."
Shown here is a steak pizza from Papa Murphy's, which earned the highest composite loyalty score in the pizza category.
Click ahead to see America's favorite restaurants in different industry categories.
—By Katie LittlePosted 27 Feb. 2015
Glazed Krispy Kreme doughnuts.Getty Images
In this category, Starbucks garnered the highest average trips per month among customers at 5.4, likely in part due to its large footprint in the U.S.
Big does not necessarily translate to loyalty, though. The top slot went to Krispy Kreme at 63 percent, followed by Panera and Starbucks.
In terms of stock performance, Starbucks has also seen the biggest gains of the top three during the past year, rising 30 percent.
Chipotle Mexican Grill and Qdoba Mexican GrillGetty Images (L) | Wikepedia (R)
Chipotle Mexican Grill and Jack in the Box's Qdoba are tied in the restaurant loyalty rankings, each scoring 59 percent.
Greater loyalty does not necessarily lead to greater frequency. Neither brand saw the highest monthly trip average of Mexican chains in the survey. That distinction went to Del Taco, which saw a monthly average of 4.6.
Papa Murphy's The Cowboy pizzaSource: Papa Murphy's
Take-and-bake chain Papa Murphy's took home the top spot for pizza composite loyalty at 71 percent. Pizza Ranch and Papa John's rounded out the top three.
In trading, Papa Murphy's and Papa John's stock performances have been neck and neck. Both are up nearly 60 percent in the past six months.
Chick-Fil-A chicken sandwich.J.Reed | Flickr Commons
Chick-fil-A inched above Raising Cane's to top the chicken composite loyalty index. Zaxby's came in third place.
"Chick-fil-A has really grown in size and popularity in the last few years," said Flink about the privately held company.
It ranked also first in value, friendliness of staff and atmosphere.
Jason's DeliBryan Lee | Flickr Commons
Privately held Jason's Deli earned the highest composite of any restaurant in the six categories at 79 percent.
Meanwhile, convenience store Wawa drew an average of 5 trips per month, the highest of any in the sandwich group.
Convenience stores are increasingly becoming a force to reckon with in the restaurant industry.
After hearing more about how the sandwich category was pressured by the convenience space, Market Force added those stores to the survey.
Wawa's performance is "interesting and kind of scary for some of these fast casual and QSR sandwich brands," said Flink, adding that Wawa and Panera performed similarly.
Culver's Ice Cream.Source: Culver's
Culver's drew the highest composite loyalty score in this category, followed by Dunkin' Brands' Baskin-Robbins and Cold Stone Creamery.
Category wise, this one drew the fewest portion of extremely frequent visitors. Just 4 percent of diners went 10 times or more.
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a81dabc5bd890dd5fadb8c5589e226bb | https://www.cnbc.com/2015/02/27/dominos-pizza-to-launch-smartwatch-ordering.html | Domino's Pizza to launch smartwatch ordering | Domino's Pizza to launch smartwatch ordering
Your next pizza may be just a few swipes away.
Starting Monday, Domino's Pizza customers can place orders straight from their Pebble and Android Wear smartwatches. They will also be able to track orders on Android watches, joining Pebble owners who could track them since late last year.
Source: Domino's
This marks the latest move to boost digital ordering at Domino's.
"We really think of ourselves in a lot of ways as a tech company—we're almost an e-commerce company that sells pizza," said Dennis Maloney, vice president of multimedia marketing at Domino's, in a phone interview.
To use the service, customers must have a Domino's app on their smartwatch along with a saved or recent order on their profile.
Digital orders are vitally important for Domino's because they result in higher checkouts and customer satisfaction.
Read MoreThese are America's favorite restaurants
"Digital orders are more profitable and get a better product mix," said Maloney, adding that customers are able to see a wider selection of available products than when they merely call up their local Domino's to order.
To date, no major restaurant chain has launched its own platform for smartwatch ordering, said Aaron Allen, global restaurant consultant with Aaron Allen & Associates, in a phone interview.
"That could be one of the next boom areas of develop and a big opportunity for restaurants to jump on," said Allen, adding that it has the potential to be "a multibillion-dollar segment."
VIDEO7:4007:40Domino's: Tech to table clearly workingMad Money with Jim Cramer
Restaurant technology applications are growing quickly as more companies launch online and mobile ordering and payment options.
"One thing you can never do too much of in business in general is to make it too easy to buy from you," Allen said.
Read More
Perhaps no segment has seen a bigger boost in digital ordering than the pizza players. Indeed, half of Domino's sales now occur via digital, with half of that from mobile.
Domino's Maloney declined to share what future tech innovations the chain had up its sleeve, but did allude to more things in the pipeline.
"We are determined we are going to be the leaders in the space," he said. "There is more to come in this area."
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a6ac60cc425931c351f27b4f7085c625 | https://www.cnbc.com/2015/02/27/the-dress-that-broke-the-internet.html | The dress that broke the Internet | The dress that broke the Internet
VIDEO1:0801:08The dress that broke the InternetSquawk Box
A badly lit photograph of a $77 off-the-rack dress broke the Internet Friday, spawning arguments, memes and half-baked pseudo-scientific explanations over the viral frock's real colors.
By some reckonings, Buzzfeed invented "viral," but its deputy news director, Jon Passatino, appeared truly surprised by just how many clicks the dress generated. He tweeted that it broke the site's traffic records, with more than 670,000 people viewing the post simultaneously at one point and garnering 16 million hits in six hours.
Neetzan Zimmerman, formerly an editor at another viral content machine, Gawker, and widely considered an expert in virality, tweeted that the dress is a "viral singularity."
It appears to have started with a Tumblr post of the photo, headlined "what colors are this dress," and spread from there as those who saw white-and-gold engaged in pitched battles with the blue-and-black camp.
Even Singapore's Prime Minister, Lee Hsien Loong, got caught up in the excitement, letting his followers know that he's in the white-and-gold camp.
If a Mashable post is to be believed, in real life, the dress is a 50-quid offering from British retailer Roman Originals, and it's most decidedly blue and black.
The dress post broke our traffic records tonight, with more than 670,000 people on http://BuzzFeed.com simultaneously at one point
What color is that dress? I see white & gold. Kanye sees black & blue, who is color blind?
Someone please photoshop a llama into that dress so the Internet can explode and kill us all
Here is a picture of a blue and black cat.
I heard that #TheDress debate has already destroyed 18 relationships. These people probably shouldn't be breeding anyway.
Just asked my Legislative Director at 10:30 pm to draft a House resolution tomorrow about the dress being black and blue. AMA.
Thoughts on #TheDress as expressed by Regina George.
—By CNBC.Com's Leslie Shaffer; Follow her on Twitter @LeslieShaffer1
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7663e4c6b22331936bca67c36349be8d | https://www.cnbc.com/2015/02/28/ikea-furniture-can-wirelessly-charge-your-smartphone.html | The table that wirelessly charges your smartphone | The table that wirelessly charges your smartphone
Ikea
Ikea has launched a range of furniture range that can wirelessly charge your smartphones and tablets.
The technology will be built into bedside tables, lamps and desks, the Swedish company known for its flatpacked furniture announced at Mobile World Congress on Sunday.
A number of top smartphone makers are this week expected to unveil a slew of devices that don't need cables to recharge. Typically consumers would have to buy a separate dock to wirelessly charge their devices, but Ikea is pushing the convenience of built-in technology.
"People hate cable mess in the home and they are worried about not finding the charger. That was our starting points and we wanted to make things easier," Bjorn Block, range manager of Ikea, told CNBC by phone.
The furniture range will launch in April in Europe and North America. Block said any items with the wireless charging capability will be an extra $25 than normal.
Ikea claims the standard of wireless charging it uses - known as Qi - is compatible with 80 different smartphone models and over 700 devices.
The first collection of furniture will have about 15 items in it and Block said Ikea would release one to two collections a year. It will then aim for releasing 10 collections a year that feature wireless charging, but would not outline when this would be.
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5f14ab361bab7dd77ea3a4a66864d97a | https://www.cnbc.com/2015/02/28/kat-cole-reflects-on-sweet-success-at-cinnabon-and-beyond.html | VIDEO2:5302:53Sweet success
After a meteoric rise from a Hooters waitress to Cinnabon president, 36-year-old Kat Cole has her own recipe for success.
In her four-year run as president, she built Cinnabon into a bakery brand with more than $1 billion in sales and a presence in more than 30 countries. Just last month Cole was promoted to Group President of Cinnabon's parent, Atlanta-based Focus Brands, owned by private equity firm Roark Capital.
In her new role, she's responsible for five franchise food brands in additions to Cinnabon: Auntie Anne, Carvel, Moe's Southwest Grill , McAllister's Deli and Schlotzsky's. Focus has more than 4,000 fast casual locations worldwide, and is reportedly mulling an initial public offering.
As a key to her success, she credits life lessons her single mother taught her. In an interview with CNBC, Cole describes personal characteristics she has learned that "seem to transcend industries and job titles." She calls it the "delicate balance of courage and confidence, with humility and curiosity."
Read MoreHow social media drives innovation at Cinnabon
In her career, she remembers instances where she vacillated between courageousness and being humble.
"In any case, I have paid the price for it as a leader," Cole says.
Kat ColeScott Mlyn | CNBC
Cole recounted a story from four years ago, when she first became head of Cinnabon, and an existing project underway with the brand ran into trouble.
"As new president, I didn't ask the right questions, I didn't poke my nose in some things that were going on," she said.
She blamed the misstep on her humility, and trying to avoid ruffling feathers. "Who am I to question these people who have been here before me, been in the industry longer," Cole stated about her thoughts at the time. "I need to trust them."
Yet as the head of a company, "there's no one else when you look over your shoulder, to answer the questions or make the decision," she added.
The flip side, she said, was she stepped forward, acknowledged the mistake and created systems that solved the problem and allowed for more innovation.
Cole also describes an exercise she relies on, called "The Hotshot Rule", that puts a leader in the shoes of an upstart. "It's the concept that if a 'hotshot' took over your job today, they would not be burdened by the complacency that comes from progress," the executive said.
"If someone took over my job…they'd have the fire in the belly to look at the things that I saw as progress and call it unacceptable."
She explained, after being in a role for several years, things have improved in that time. "I may sit in my chair and say it's so much better than it was." The trick, she adds, is not to rest on your laurels. Be "your own hotshot," she said, arguing that it's important to view each problem as if it were her first day on the job and question her own actions.
"[I] Look at the situation as if it's my first day and have the courage to step up and say, 'you know what, I have gotten a little complacent. " Cole says she makes time to do the self-challenging exercise about four times a year.
"It also puts a fire under my butt, to get me to pick up the phone, get on a plane and go do things that maybe I wouldn't have done if I hadn't completed that exercise," Cole added.
On the Money airs on CNBC Sundays at 7:30 pm, or check listings for airtimes in local markets.
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2f8c61cd11b19c922d2ecba4cd2d6c96 | https://www.cnbc.com/2015/02/28/mwc-sony-unveils-smartphone-tablet-in-return-to-form.html | Has Sony got its groove back? | Has Sony got its groove back?
VIDEO1:1801:18Is there a future for the tablet?Tech Transformers
Sony has shown a "return to form" in its devices, business analysts told CNBC, after the Japanese electronics giant unveiled a slim tablet and mid-range smartphone on Monday.
A 299 euro ($339) smartphone known as the Xperia M4 Aqua was shown off at Mobile World Congress (MWC) in Barcelona, as Sony looks to target the mid-range market which has seen solid growth as customers look for high-end devices at low prices.
The M4 Aqua looks similar to Sony's flagship and more expensive Xperia Z3 which was unveiled last year, and has many of the same features, including being waterproof. It also has a 13 megapixel rear camera and 5 megapixel front camera.
Sony also revealed the 6.1 millimeter thin Xperia Z4 tablet with a 10.1 inch screen, touting the device as ideal for both business use and entertainment.
Sony
Analysts said the Japanese conglomerate had brought out appealing devices but still faced some major challenges.
"It was real return to form for Sony," Ben Wood, chief of research at CCS Insight, told CNBC by phone.
"The challenge is that the overall market is so competitive and it's really is difficult to standout. You have Apple that dominate premium, Samsung now have a point to prove and have come out big."
Question marks have been raised over the future of Sony's smartphone business as the Japanese giant continues on its massive restructuring project that has led to its personal computer arm and TV division being spun off .
In September, CEO Kazuo Hirai told CNBC that Sony needed to remain in the smartphone business, but at a briefing earlier this month, he said he would not "rule out considering an exit strategy" from the smartphone and TV business.
The smartphone division is one the least profitable in Sony and brought in just 9.3 billion yen ($7.8 million) in the third quarter of the 2014 fiscal year, according to company reports, as it struggles against the likes of Apple in the premium segment and lower-cost players.
But analysts are convinced that Sony will not exit the smartphone business as it's a way for the company to tap the consumer market and reach a large audience.
"Sony need to be in the handset business if they wish to be a consumer devices company. If they withdrew from handsets, it would be the first step of pulling out of consumer devices," Ian Fogg, head of mobile at IHS, told CNBC by phone.
Apple has been one of big smartphone winners of 2014 and their success has come from keeping users in their ecosystem through services such as Apple Pay or the iTunes store. Sony has been attempting to replicate the strategy by tying in aspects of PlayStation gaming into their smartphone and the "Xperia Lounge" service which offers users discounts on products, content, as well as competitions.
Sony's MWC M4 Aqua release highlights the company's attempt to target the hot mid-priced market and analysts said the Japanese company will continue down this route.
"It looks a premium device at a much lower price point and that is the type of deice that Sony needs to show," Francisco Jeronimo, research director for European mobile devices at IDC, told CNBC by phone.
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a21d25d67effb5aca1c05870d6e534ed | https://www.cnbc.com/2015/03/01/mwc-huawei-launches-smartwatch-apples-latest-competitor.html | Huawei fires salvo at Apple Watch, unveils its own wearable at MWC | Huawei fires salvo at Apple Watch, unveils its own wearable at MWC
VIDEO2:2702:27HTC and Huawei surpriseTech Transformers
Chinese electronics giant Huawei has unveiled a stainless steel smartwatch, jumping into the hot market for wearable technology just weeks before Apple is expected to bring its own version to consumers.
The Huawei Watch, the Chinese company's first entry into the wearables market, runs on Google's Android wear and has a 1.4 inch round touchscreen face. The device was unveiled at Mobile World Congress on Sunday.
"We have responded to consumers' requests from around the world asking for a smartwatch featuring a timeless design that is truly smart from within," Richard Yu, CEO of Huawei's consumer business group.
The Huawei Watch has a scratch-proof sapphire crystal lens, a heart rate monitor, and can detect the type of activity in which a user is engaged, such as running or cycling. It connects to a smartphone via Bluetooth, and can show notifications from texts and emails.
Huawei plans to release the device in 20 markets, but did not give immediate details of availability or pricing.
Read MoreDomino's Pizza to launch smartwatch ordering
The company is aiming at the premium end of the market, and joins an increasing number of device makers looking to create trendy wearable gear. Last week, LG unveiled the Urbane, a smartwatch it described as "luxury."
Sales of wearables are expected grow from 29 million in 2014 to 172 million in 2018, according to CCS Insight, and companies are looking to grab a share of the torrid market.
Device makers are also trying to drum up support for their smartwatches ahead of the release of the Apple Watch. The tech giant is expected to begin shipping its devices in April, though a cryptic event invite from the Cupertino-based company hints that consumers may see it as early as this month.
Read MoreApple to hold watch event March 9
Analysts said the success of the Huawei Watch could presage the fortunes of the Apple Watch.
"If Apple Watch were to stumble, it could set back the whole market. If it's a blinding success, then Huawei may be too far behind by the time the Huawei Watch eventually goes on sale in mid-2015," Ian Fogg, head of mobile at IHS said.
Huawei said it was working with partners such as fitness tracker Jawbone to bring third party apps to consumers.
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3994414310b71cc49f096667404d717d | https://www.cnbc.com/2015/03/01/twitter-reviewing-alleged-isis-threat-to-co-founder-jack-dorsey.html | Twitter reviewing alleged ISIS threat to co-founder Jack Dorsey | Twitter reviewing alleged ISIS threat to co-founder Jack Dorsey
Leon Neal | AFP | Getty Images
Twitter said Sunday night that it was working with law enforcement agencies to investigate whether purported ISIS-related threats against co-founder Jack Dorsey were real.
The alleged threat, which was first reported by Buzzfeed, appeared on a pastebin — an anonymous online site usually used by programmers to store and share snippets of computer code — based in Poland. Under a logo that includes the central image of ISIS' widely known black flag, the post depicts a man's face in cross-hairs. In a message addressed to Dorsey directly, it condemns Twitter for having shut down ISIS-related accounts and warns, "We always come back."
In a statement late Sunday to CNBC, Twitter said only: "Our security team is investigating the veracity of these threats with relevant law enforcement officials." Dorsey was tweeting to his almost 2.9 million followers Sunday night but did not note the alleged threat.
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8f68f8908d714830911c199eb02edef6 | https://www.cnbc.com/2015/03/02/australia-refrains-from-further-easing.html | Australia refrains from further easing, Aussie jumps | Australia refrains from further easing, Aussie jumps
VIDEO4:3304:33RBA holds rates for now, but more will come: ANZStreet Signs Asia
The Reserve Bank of Australia (RBA) on Tuesday held back on further monetary easing, surprising most market watchers who expected a second rate cut in as many months.
The central bank kept the benchmark lending rate at a historic record low of 2.25 percent, despite expectations it would do more to battle weak employment, easing inflation and sluggish corporate profits.
The RBA lowered rates by 25 basis points last month, its first cut in 18 months, following moves by some 20 central banks around the world that have loosened monetary policy this year.
The decision comes on the heels of a surprise announcement by the People's Bank of China over the weekend to lower its rates, its third aggressive move to stimulate the economy in the last five months.
The Australian dollar surged nearly half a cent, from $0.7797 to $7834. Meanwhile, the benchmark S&P ASX 200 index fell into the red, down 0.3 percent.
In a statement, the RBA said it's "appropriate" to leave rates steady for the time being but left the door open for further easing in the future where necessary. It maintained that growth will continue at a below-trend pace and sees domestic demand remaining weak.
Jack Atley | Bloomberg | Getty Images
"We've certainly expected the RBA to cut today but although they've kept the cash rate unchanged, they're really flagging, that there are at least one more cut to come and possibly more," said Felicity Emmett, head of Australian economics at ANZ, told CNBC.
Analysts who had expected no change to monetary policy say the RBA is waiting for the full effects of its rate cut last month to kick in.
"There has been just as much improvement as deterioration in Australia's economy," said Kathy Lien, managing director of FX Strategy for BK Asset Management, who had expected no change in monetary policy.
"While the labor market weakened, private capital expenditures plunged and manufacturing activity in the month February contracted at its fastest pace since July 2013; retail sales, consumer confidence, home loans, business confidence, trade, service and construction sector activity improved since the last monetary policy," she added.
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67a63e6c89aed099a9866c608348d1c7 | https://www.cnbc.com/2015/03/02/expect-a-global-equity-rally-this-year-tom-lee.html | Expect a global equity rally this year: Tom Lee | Expect a global equity rally this year: Tom Lee
VIDEO1:5001:50Market intact after February: Tom Lee
The fact that European stocks have outperformed U.S. equities this year is not a sign of weakness in American markets, Tom Lee told CNBC on Monday.
Instead, strength in Europe should provide a tail wind to investment in U.S. stocks, the Fundstrat Global Advisors founder said.
"I think it's very bullish that Europe is rallying," he said in a "Squawk on the Street" interview. "I think it doesn't mean the U.S. won't rally. I think this is a global equity rally this year."
Read More Nasdaq 5,000! Will this time be different?
Investors should remember that European equities are much more like exporters, and companies there tend to function like multinationals. He said European businesses are sensing better growth in the United States.
France's CAC and Germany's DAX were up 7.54 percent and 6.61 percent, respectively, in February, while the S&P 500 rose 5.49 percent and the Dow Jones industrial average jumped 5.64 percent.
The FTSE 100 was only up 2.92 percent in February, but it has outperformed U.S. indexes year to date.
The Nasdaq surged 7.08 percent in February. It has gained 4.8 percent this year, trailing behind German, French and British markets.
Read More Street picks: 10 stocks that are ready to drop
As for when the current six-year bull market will lose steam, Lee pointed to two preconditions that marked the downturn in three similar long-lasting rallies.
First, the long-term bond yield curve inverted, meaning markets entered a period where long-term debt had a lower yield than short-term debt. Today, it is still positive at about 60 basis points.
Second, investment spending as a percentage of gross domestic product reached 27 percent. Currently, investment outlays stand at about 23 percent of GDP, leaving about $600 billion of spending in the pipeline, he said.
"I think there's still longevity in this bull market," Lee said.
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1def86dc1225e22c5670d391cbcd52df | https://www.cnbc.com/2015/03/02/new-mcdonalds-ceo-what-investors-want-to-know.html | New McDonald's CEO: What investors want to know | New McDonald's CEO: What investors want to know
Investors have one overriding question about incoming McDonald's CEO Steve Easterbrook: Can he repair the Golden Arches?
It will be a super-sized job: 2014 revenue fell 2.4% vs. 2013, and net income dropped 14.8%. Global sales at its stores open at least 13 months, a key industry metric, fell 1.8% in January.
McDonald’s executive Steve Easterbrook is shown at the Confederation of British Industry (CBI) Interactive Conference 2007, in London.Shaun Curry | AFP | Getty Images
And while McDonald's stock jumped last week, just ahead of Easterbrook's March 1, accession to CEO, it's up about 5% in the past year vs. 14% for the S&P 500.
"Any time you have an incoming CEO, that can be a catalyst for change," says Mark Kalinowski of Janney Capital Markets. "In McDonald's history, that's mostly been positive change."
More from USA Today:5 things McDonald's new CEO must doMcDonald's expands custom sandwich optionChick-fil-A wings in new direction after gay flap
To U.S. investors, Easterbrook, 47, is a virtual unknown. He was global chief brand officer at McDonald's before being tapped to replace CEO Don Thompson, but spent most of his career with McDonald's in Europe.
They are likely to learn more about the new CEO's plans this week at the chain's bi-annual meeting for U.S. franchisees and managers in Las Vegas. Some call it the "U.S. turnaround summit."
Read MoreAmerica's favorite restaurants
The focus, says spokeswoman Lisa McComb, is "regaining business momentum."
That means reversing the same-store sales decline in the U.S., says Lynne Collier, restaurant analyst at Sterne Agee. "That's what investors want to see more than anything."
VIDEO4:0604:06America's drive-in Sonic sees 1st double digit gain
Among highly-charged topics likely to come up at the meeting is whether to continue rolling out the Millennial-friendly "Create Your Taste" platform of custom-ordering via kiosk. Thompson had said it would spread to 2,000 U.S. restaurants this year. Easterbrook, 47, was unavailable for comment; McDonald's declined to provide a meeting agenda.
Not everyone loves Create Your Taste. Franchise consultant Richard Adams says the platform not only is too costly for franchisees, it's irrelevant for the drive-thru, which is up to 70% of McDonald's business. "It's like having two restaurants in one. It's a huge question mark."
Read MoreSecret new Texas Roadhouse chain revealed
An even bigger question mark for investors is how Easterbook will respond to what Kalinowski calls the toughest competition it's ever had, particularly in the U.S.
That includes Panera and Chipotle, which keep siphoning away business, Kalinowski says. But he sees a bigger threat looming: Chick-fil-A, which he says is "fast food done right."
As privately-held Chick-fil-A continues to evolve from a regional to national chain, he says, "McDonald's is at risk of losing market share to Chick-fil-A for the next 20 to 30 years."
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895aa60d5509c69411fe9b54fb640a92 | https://www.cnbc.com/2015/03/02/solar-energy-has-surprising-number-of-backers-who-are-political-conservatives.html | Solar energy's unexpected conservative backers | Solar energy's unexpected conservative backers
When it comes to renewable energy, Barry Goldwater Jr. is willing to admit that the Democrats did something the Republicans should have done a long time ago.
Barry Goldwater Jr. speaks against a proposed tax to be levied against residential solar leasing companies, June 4, 2014, in Phoenix.Charlie Leight | The Arizona Republic | AP
"Conservative support for green energy has always been there, but the Democrats capitalized on it more than the Republicans," the former Republican congressman and Arizona legend told CNBC. "The Democrats did a better job of promoting it."
As a conservative, Goldwater has become a vocal advocate for solar energy in recent years. He currently serves as the chairman of "Tell Utilities Solar won't be Killed" (TUSK), a solar advocacy group that is pushing for energy independence across the country.
And he doesn't think there is anything odd about being a political conservative who also challenges utility companies for the right to choose solar over traditional forms of power. In fact, he finds it to be the natural outcome of true political conservatism.
"We promote the conservative philosophy of free market, choice and competition, because as the cost of things go down, the quality goes up," he said.
Technicians install solar panels on a house in Mission Viejo, Calif.Mario Anzuoni | Reuters
As solar energy becomes more affordable for more Americans, pushback from utility companies has also increased as they try to maintain their market share, according to Goldwater and others. (The utility industry consistently says that it wants to work with solar, not against it.) Since 2010, the average cost to install a solar electric system has declined by 54 percent, according to the Solar Energy Industries Association.
Across the country, in both blue and red states, conservatives have come out in support of solar choice, albeit with differing motivations. In doing so, they are breaking the perception that green energy is strictly the domain of political liberals.
Read MoreTwo industries are fighting over your power bill
Carl Bogus, professor of law at Roger Williams University and expert on political conservatism, said that misconception is understandable but "that's not so much for conservative philosophy as from conservative history."
He said that Americans tend to associate conservative politics with big business and often that association is valid. "But, the philosophy is not incompatible," he said. "It has more to do with self-interest than ideology."
For Debbie Dooley, the conservative tenets of free markets and competition are partly why she has taken up the cause. Dooley founded the Green Tea Coalition and Conservatives for Energy Freedom to promote the cause for clean energy among conservatives.
"Tea Party activists gravitate toward free-market choice," she said. "They don't like a centralized power system, so naturally they came on board with solar, with choice and with competition."
Dooley said the United States is in the midst of a green energy revolution, and the front line is in red states. She travels across the country to protect pro-solar growth policies in states such as Indiana and West Virginia from attack by well-funded, fossil fuel groups.
Read MoreApple has a new solar farm, and greens hate it
"Conservatives had been brainwashed for over a decade that green is bad, and once they get through that and see the facts, they are actually receptive," she said.
For her, it's an issue that shouldn't be divided along partisan lines. "This is a movement that unites grassroots activists from the left and the right," she said.
VIDEO2:1402:14Growing solar industry trend
For some on the religious right, the chance to support renewable energy is actually a way to implement teachings in the Christian faith.
"The more we use clean energy, the more we are acting as disciples of Christ," said Rev. Mitch Hescox, president and CEO of the Evangelical Environmental Network (EEN).
The EEN has been around for more than 20 years. Hescox, who is a lifelong Republican, also approaches the subject of renewable energy from a free-markets perspective, where consumers have a choice of how and where to get their energy. But he does want the government to protect solar firms from utility roadblocks in the meantime.
Read MoreThe oil selloff created this buying opportunity
"We need to have some kind of intervention to protect the solar energy companies," he said, "but eventually we need to let the markets be free and open."
He added that for evangelical Christians, the clean energy issue is actually a pro-life issue: "Anything that harms life is against us."
Goldwater lives in sun-drenched Arizona, where he focuses on extending TUSK's reach across the country. He says his roof isn't big enough to include solar panels, but he does use solar hot water heaters and energy-efficient appliances.
TUSK isn't looking for the government to protect solar, but rather for it not to actively protect the utilities that attack solar. Goldwater wants to win the intellectual argument that is consistent with Republican philosophy: free markets, competition and self-reliance.
"We just want the government to stand out of the way and let the marketplace be free," he said. "And we would like to work with the utilities on this issue, to see them encourage new energy sources, rather than try to kill them."
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9c906e0a7a738e07a19304722bf2a38e | https://www.cnbc.com/2015/03/02/want-more-clients-use-these-social-media-strategies.html | Want more clients? Use these social media strategies | Want more clients? Use these social media strategies
Social media has made it to the financial advising industry, and it can be very powerful—if you know how to use it.
If you have good content, people will read it. But if you have great content, people will share it—and that's key if you want to exponentially grow your business. An effective social media strategy can single-handedly create a following of thousands—and a flow of prospective clients—in just a short period of time.
Tetra Images | Getty Images
CNBC.com spoke with several advisors—successful social media pioneers—about their strategies and tactics.
Certified financial planner Eric Roberge founded his virtual fee-only practice, Beyond Your Hammock, in August 2013. In 17 months he has picked up 21 clients.
How? By "spreading myself across the Internet," he said. "I just started writing my blog, and that created everything else."
That original content led to yet more content, as his existing blog posts served as writing samples when he pursued writing guest columns for major media outlets.
Roberge's columns created a buzz.
For example, he wrote an article called "Here's a good reason not to fund your 401(k)" for Money.com. On the first day, 137,000 people viewed his article, driving more than 1,000 people to his website. This turned into almost 100 new subscribers for his firm's newsletter, generating three prospect meetings and resulting in one new client.
Read MoreAdvisors can learn from Lady Gaga
"I realized when writing for other sites, the more controversial your posts, the more traffic," Roberge said. "I make sure my topics are something people are going to talk about."
He added, "Young people, especially, want to hear something different."
He then repurposes these types of articles into posts for social media platforms and mentions them in his own blogs and newsletters to continue the buzz and reinforce his brand.
Social media strategiesFinancial advisor Eric Roberge of Beyond Your Hammock shares his different strategies for each social media platform. He posts links to his blog posts, his and others' media articles, business activities and thought-provoking quotes. "The key is to balance self-promotion, education and sharing other people's stuff," he said. Facebook personal account: "I'm educating my network, not targeting any specific group. I share my personal philosophies, my authentic beliefs and feelings."Facebook business page: This is used as a public hub for Roberge's thoughts, writings and activities.Twitter: "Here, I'm talking to my industry," Roberge said. About half his follows are other advisors, and he makes a point of following and communicating with journalists.LinkedIn: Roberge uses this site for networking with several targeted groups: parent/teacher associations, estate-planning attorneys and advisors who refer lower-asset clients to him.
VIDEO0:5900:59Is LinkedIn hurting your career?Social Media
Original content is key, said Jon Ulin, CFP and founder of Ulin & Co. Wealth Management.
"It provides credibility and helps your organic [non-sponsored] search results and search optimization, and the search engines recognize that you're providing compelling content," he said.
Not only is it more credible, it is more shareable.
"If you use canned content, why would someone else with a large following share or repost to their own readers?" said Ulin, who spends about three to five hours per week writing his newsletter articles and blog posts.
Beyond the technical advantages of original content is the opportunity to show who you are.
"Blogging allows me to display my unique voice; it helps people get to know how I think," said Cathy Curtis, CFP and owner of Curtis Financial Planning. She spends about an hour a day writing and blogs every two to four weeks.
Read MoreHow much time you spend online
"Facebook is especially powerful because you're seeing the person's life—and it's risky for the same reason," Curtis said.
For his part, Ulin of Ulin & Co. said that "in our industry, which has been tainted with mistrust, being friends with our clients online adds a huge amount of transparency, trust and confidence."
"Clients can get to know a bit more about me personally, and I can know instantly what is going on in [their] lives, from job changes to major life events," he added.
The more you post, the more findable you are.
"My high social media activity increases my rank on Google," said Curtis, who has a strong presence on Facebook, Twitter, LinkedIn and Pinterest. This, in turn, results in prospective clients, 80 percent of whom find her via Google search.
Brittney Castro, CFP, is the founder of online practice Financially Wise Women. Since launching two years ago, she has built up a strong base of followers on Twitter (5,200), Facebook (4,500), Instagram (1,500) and YouTube (760). Her firm's e-mail newsletter is sent to about 4,000 subscribers, with a 20 percent open rate.
This social media success has helped her build up a client base of more than 80 clients already.
"People want to connect to you," Castro said. "The more I showed my authenticity, the more success I had."
Read MoreCould LinkedIn hurt your career?
This authenticity is especially shared through the upbeat weekly YouTube videos, reminiscent of short TV shows, that she shares with her vast online network.
If Castro weren't doing social media so religiously, where would she be?
"Attending hours and hours of networking events—only to find myself able to generate half of the business I've done through online marketing," she said.
—By Deborah Nason, special to CNBC.com
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5e26e896be63213bf8c7079db9ed2986 | https://www.cnbc.com/2015/03/03/billions-at-stake-on-apple-google-search-deal.html | The Tech Bet | The Tech Bet
VIDEO2:3302:33Billions at stake on Apple-Google search dealMobile
The deal that makes Google's search engine the default option on Apple's Safari browsers expires soon, and that could be bad news for Google if the companies don't reach a new agreement.
Google could potentially lose billions in gross revenue if Apple switches to a different default search engine, according to a UBS research note Monday. Neither Apple nor Google have detailed when the agreement expires, but reports put the time frame in 2015, the note said.
Read MoreGoogle expands low-cost Android One smartphones
Google this year stands to bring in about $7.8 billion in gross revenue—about 10 percent of total revenue—from its existing search engine deal with Apple, according to UBS.
If Apple switches to a competitor, that could represent a 5 percent headwind, or about $3.9 billion, to 2015 gross revenue, the note said. UBS made those projections under the assumption that 50 percent of Apple iOS users switch their default search engine back to Google.
A woman uses Google web search on a tablet computer.Damien Meyer | AFP | Getty Images
If Google does lose the deal, Yahoo search or Microsoft's Bing would likely be Apple's new default search engine, according to analysts from R.W. Baird.
Read MoreGoogle and Apple poised to clash over your dashboard
Last week, Facebook announced it had 2 million active advertisers. That's still half of Google's total, but Facebook's growth means the social network has become a fierce competitor for advertising revenue.
"The biggest pushback we hear from investors is that Google's core search advertising business will not translate (monetize) as well to an increasingly mobile-centric, application-based world, particularly compared to mobile-first peers like Facebook," Baird's note said.
Despite the potential roadblocks, UBS remains bullish on Google, raising its price target to $670 from $630, and standing by its "buy" rating on the stock. Google's shares traded at $569 midday Tuesday.
Read MoreGoogle Wallet and Apple Pay race for second place
Ads targeted to desktop search users may decline as the Web shifts toward mobile devices, but Google remains the strongest competitor for mobile ad revenue, UBS analysts suggest.
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0df20cf53e47962f0471165b14e6627a | https://www.cnbc.com/2015/03/03/ouch-russians-could-spend-55-of-income-on-food.html?utm_source=wnd&utm_medium=wnd&utm_campaign=syndicated | Ouch! Russians could spend 55% of income on food | Ouch! Russians could spend 55% of income on food
Things could be about to get even tougher for ordinary Russians, with rampant inflation and a reduction in real wages in the country meaning that more than half of their annual income could be spent on food.
A report by Russian bank VTB Capital into food retail warned the dire situation was set to be exacerbated by rising inflation, which it said could pass 20 percent soon.
"In 2015, we forecast household consumption to slide 8.5 percent year-on-year and average food inflation to total 18 percent year-on-year, peaking at 21.6 percent year-on-year in the first quarter of 2015," VTB analysts Maria Kolbina and Nikolay Kovalev said in the report, released Friday.
"As a result, the share of food in consolidated household budgets is to rise further from 46 percent to 50-55 percent by autumn."
The Dorogomilovsky food market in Moscow, RussiaAndrey Rudakov | Bloomberg | Getty Images
Over the last 12 months, Russia's economy has been severely affected by the fall in global oil prices and Western sanctions imposed on the country for its part in the Ukraine conflict. Restrictions on food imports and the dramatic slump in the ruble – down over 40 percent against the dollar over the last year - have pushed up the rate of inflation, piling pressure on Russian consumers.
The rate of inflation soared to 15 percent in January, indicating that attempts by the Russian central bank to stem price growth -- by increasing interest rates up to 17 percent in December – were not working.
Read MoreRussia cuts vodka prices on moonshine fears
Russian consumers have taken to social media site Instagram to lament the prices rises, using a hashtag which translates as "#pricesarebiting." One user, Vika_kalina1985, posted an image of a watermelon with the price of 2360.20 rubles – or $37.9 dollars – and another, innaborovenskaya, posted a picture of a basket of fruit saying: "Prices are shocking."
Russia's retailers have been quick to react to the price rises, however, with twelve retail chains signing up to an initiative to freeze prices on 20 "socially important" foodstuffs for two months, the Association of Retail Stores (AKORT) said last week.
The signatories wanted to "stabilize the situation on the food market," AKORT said in its statement, which did not specify what goods were considered "socially important."
Read MoreWhat is Russia's Vladimir Putin playing at?
While the rise in food prices poses bad news in consumers, VTB said the "upcoming year offers Russian food retailers an unparalleled operating environment," and provided "an opportunity out of adversity."
"The challenges of a more fragile consumer backdrop and need for further price investments are to be offset by tailwinds from high food inflation and further consolidation opportunities. We see food retail turnover growing 12 percent year-on-year in 2015 and non-food categories to stay flat," the analysts said.
Read MoreRussia protests:What they could mean for Putin
The bank forecast that Russia's largest retailers, including Magnit, Dixy and X5 Retail Group, would benefit from the changing consumer environment and would continue to open smaller stores.
However it did notice that downside risks were present for retailers. These included, "stronger hits on private spending, the start of irrational promos, introduction of price controls and persistent elevated local rates."
- By CNBC's Holly Ellyatt, follow her on Twitter @HollyEllyatt. Follow us on Twitter: @CNBCWorld
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4504669e7d344a6b4013465cdbfddb55 | https://www.cnbc.com/2015/03/03/us-stocks-open-lower-auto-sales-oil-eyed.html?utm_source=wnd&utm_medium=wnd&utm_campaign=syndicated | US stocks close lower; Nasdaq fails to hold 5K | US stocks close lower; Nasdaq fails to hold 5K
VIDEO2:1402:14Cashin says: Rally got 'Shanghaied'World Economy
U.S. stocks pulled back from recent highs to close lower in light volume trade on Tuesday, as investors weighed soft auto sales and looked ahead to domestic data.
"There's no economic reports other than auto and truck sales so I don't think there's anything going on except that the market is rolling over," said Robert Pavlik, chief market strategist at Boston Private Wealth. "I don't think today's market (was) the start of any sort of consolidation."
Wednesday brings a relatively heavy day of economic reports, with weekly mortgage applications at 7:00 a.m., the private sector payrolls report at 8:15 a.m., service sector reports later in the morning and the Fed's Beige Book at 2:00 p.m.
Read MoreOil pro Andy Hall: Next move will surprise market
"We're also positioning ourselves... in case the Beige Book may not be market friendly," said Peter Cardillo, chief market economist at Rockwell Global Capital. He expects a moderate report.
Stocks failed to hold Monday's record closes, which had the Nasdaq above 5,000 for the first time since March 2000 and the S&P 500 and Dow at new highs.
The Nasdaq closed down 28.2 points, or 0.56 percent, at 4,979.90.
The Dow Jones Industrial Average briefly fell more than 150 points in early afternoon trade on Tuesday before recovering to close down 85.2 points, or 0.47 percent, at 18,203.37, with Cisco the greatest decliner and Boeing the greatest of six blue chip advancers.
Kim Forrest, senior equity analyst at Fort Pitt Capital, said the market had initially overreacted to soft auto sales and that stocks recovered from intraday lows because of "more buyers coming into the market."
The closed down 9.61 points, or 0.45 percent, at 2,107.78, with health care the greatest laggard and utilities and energy the only sectors advancing.
Earlier, the index dipped below 2,100, below Monday's intraday low of 2,104, "which is not a good sign," said Art Cashin, director of floor operations for UBS. "A bad sign (but hopefully not likely today) would be a break below 2,090."
Major U.S. Indexes
David Lutz, head of ETF trading at Jones Trading, said the market traded lower in a "risk off" kind of day, where traders are looking at a number of factors including softer-than-expected auto sales and the pending European Central Bank meeting Thursday.
He said the Street was fixated on Israeli Prime Minister Benjamin about an Iran nuclear deal before Congress late Tuesday morning.
"I just think it's a sentiment thing. I think it's just a reason people are pointing at. I don't think it's a driver of the tape," Lutz said. He said he was watching the airline stocks, under pressure from oil gains, and the fact that the market was trading on very light volume.
Peter Boockvar, chief market analyst at The Lindsey Group, attributed the decline to weakness in European bank stocks and Fiat misses on car sales. European stocks closed lower on Tuesday on disappointing economic data.
Read More
General Motors, Ford, Fiat Chrysler and Nissan narrowly missed estimates on February auto sales but the firms' stocks traded only mildly lower compared to their recent run.
"Weather played a role in the weakness. That might shift sales out later into the spring," said Dan Veru, chief investment officer at Palisade Capital Management.
"I don't think anything has changed that keeps money flowing out of stocks but you have money moving around (to different sectors)," he said.
Major news later this week include details on the European Central Bank's quantitative easing program and the monthly jobs report on Friday.
In corporate news, Best Buy earned an adjusted $1.48 per share for its latest quarter, beating estimates by 13 cents, though revenue was slightly below forecasts. Best Buy also declared a special dividend of 51 cents per share, and increased its regular quarterly dividend by 21 percent to 23 cents per share.
Dick's Sporting Goods earned an adjusted $1.30 per share for its latest quarter, 8 cents above estimates, with revenue also above forecasts. Dick's said it expected to earn $3.10 to $3.20 per share for 2015, compared to analyst estimates Of $3.19.
AutoZone reported quarterly profit of $6.51 per share, 13 cents above estimates, with revenue also above consensus. Domestic same-store sales were up 3.6 percent from a year earlier.
Read MoreEarly movers: BBY, AZO, LL, C, BBRY & more
The CBOE Volatility Index (VIX), widely considered the best gauge of fear in the market, rose 7 percent to trade just under 14.
Three stocks declined for every two advancers on the New York Stock Exchange with an exchange volume of 737 million and a composite volume of 3.2 billion, below the average volume for the year of 3.69 billion.
Crude oil futures settled up 93 cents, or 1.88 percent, at $50.52 a barrel on the New York Mercantile Exchange. Gold futures settled down $3.80, $1,204.40 an ounce.
Read MoreBig Money: Are markets ready for a June rate hike?
The U.S. 10-year yield traded near 2.12 percent. The U.S. dollar reversed to edge higher against major world currencies.
—Reuters and CNBC.com contributed to this report.
On tap this week:
Wednesday
Earnings: Brown-Forman, Abercrombie & Fitch, H&R Block, PetSmart
7 a.m.: Mortgage Applications
8:15 a.m.: ADP Employment Report
9:45 a.m.: PMI Services Index
10 a.m.: ISM Non-manufacturing Index
10:30 a.m.: Oil inventories
2 p.m.: Beige Book
Thursday
Chain store sales
ECB Governing Council Press Conference
Earnings: Costco, Canadian Natural Resources, Kroger, JoyGlobal, Cooper Cos., Diamond Foods, Finisar, Quiksilver
7:30 a.m.: Challenger Job-Cut Report
8:30 a.m.: Jobless claims
8:30 a.m.: Productivity & Costs
10 a.m.: Factory orders
10:30 a.m.: Natural gas inventories
4:30 p.m.: Fed balance sheet/Money supply
Friday
Weekly rig count
Earnings: Foot Locker, Staples
8:30 a.m.: Nonfarm payrolls
8:30 a.m.: International trade
3 p.m.: Consumer credit
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415b6dcac76c45bb82e6f2be7b483a2c | https://www.cnbc.com/2015/03/03/why-im-not-waiting-for-the-oil-bottom-rubenstein.html | Why I'm not waiting for the oil bottom: Rubenstein | Why I'm not waiting for the oil bottom: Rubenstein
VIDEO4:2004:20Time to bet on energy?Squawk Box
Carlyle Group's David Rubenstein told CNBC on Tuesday he is not waiting for oil to hit a bottom before investing in beaten-up energy companies.
"The great fortunes are usually made when prices are low. They're not usually made when you buy at the top and think they'll get higher," he said in a "Squawk Box" interview. "Prices are very low in energy, and a lot of people are scrambling, and that's where you make a lot of money."
Rubenstein has called distressed debt "the single greatest new energy opportunity to invest," saying investors can by debt cheap and potentially take control of companies.
Read MoreNext curveball for oil: An Iran nuclear deal
The Carlyle Group has about $9 billion to deploy on energy investments, Rubenstein said, adding that it is a small part of its legacy business and not very much relative to the opportunities. The private equity firm has $194 billion of assets under management.
Oil prices plunged 60 percent between June and January before stabilizing in February.
Rubenstein said he is focused on investments in carbon-related energy, particularly companies that build new infrastructure for the energy industry. He is also looking outside the United States for opportunities.
While investors might get to heaven a bit more quickly by buying into renewable energy, the returns are not yet proven, he said.
Read More Solar energy's unexpected conservative backers
"We have a lot of oil and gas that's relatively cheap compared to its replacement value, and as a result of that I think it will be one of the great areas to invest over the next five to 10 years, as it has been for many many years," he said.
Carlyle is taking a long-term view of energy, he said, noting that the firm typically holds companies for six or seven years. Within three years, he expects oil prices to rebound, but acknowledged that the market does not know how the world's top exporter, Saudi Arabia, will act in the future or how geopolitical tensions between Russia and the rest of Europe will affect the energy market.
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f32bac1e7e8a497bca01146f5f242d80 | https://www.cnbc.com/2015/03/04/-products-problem-are-american-firms-to-blame.html?utm_source=wnd&utm_medium=wnd&utm_campaign=syndicated | 'Made in China' doesn't have to mean 'dangerous' | 'Made in China' doesn't have to mean 'dangerous'
Shares of Lumber Liquidators have been plummeting following "60 Minutes" allegations that some of its flooring violates health standards—the latest in a long series of American companies to get into trouble over safety problems with products made in China.
Lumber Liquidators has said that it stands by "every single plank" of its flooring and that it's the victim of reports "driven by a small group of short-selling investors who are working together for the sole purpose of making money by lowering our stock price."
Read MoreSenator urges US to probe Lumber Liquidators
Experts told CNBC that many U.S. manufacturers aren't doing what they could to ensure product quality and safety—or to protect themselves when things go wrong.
A welder at a factory in China.STS | Getty Images
"Probably 98 percent of the time when there is a product problem in China, a lot of the blame lies with the American company," said Dan Harris an attorney who edits the China Law Blog.
Harris said he receives about five requests each week from Western companies asking for legal help on problems with Chinese suppliers. But his firm always turns down those requests because "they are usually not in a very good position to get compensated."
Read More
The only way for companies to protect themselves, he said, is to ensure that they have written the right kinds of contracts beforehand.
"If they have a really good contract with their supplier, then they should be in pretty good shape," he said. "If not, then they could have a problem."
The key to contracts, he said, is that they should "scare the heck out of a Chinese company" with very specific details about quality expectations, as well as minutia concerning subcontracts and repayment for bad products.
They start cutting corners as soon as production begins. Any company can demand a low price, and then the Chinese manufacturer kind of does what they want.Rosemary Coatesauthor, "42 Rules for Sourcing and Manufacturing in China"
Chinese manufacturers have a reputation for cutting corners.
Speaking with CNBC's "Fast Money: Halftime Report" on Monday, Kase Capital's Whitney Tilson (who brought the Lumber Liquidators story to "60 Minutes") said he did not know "whether they're just stunningly naive and incompetent, going to China and hitting the low bid. You do that on any product in China, and you will get tainted products."
Tilson's opinion is shared by others.
Read MoreMcDonald's to boost China supplier audits after scandal
"[American companies need to] understand that the contract is viewed differently in Asia than in the U.S. We sign that and think that's the end, but in China the view is completely opposite," said Rosemary Coates, a consultant about Chinese manufacturing and author of "42 Rules for Sourcing and Manufacturing in China."
"They start cutting corners as soon as production begins," she said, explaining that Chinese suppliers can often be negotiated down to their break-even price, after which they will need to find post-contract strategies to increase their margins. "Any company can demand a low price, and then the Chinese manufacturer kind of does what they want."
Because of that trend in China and some other developing countries, Coates recommends that her clients—which she said included Lumber Liquidators in 2013—adopt a "trust but verify" strategy. In other words, companies should hire local auditors, make regular site visits, and conduct independent lab testing on Chinese-made projects.
VIDEO4:1204:12Tilson: LL poisoning customersHalftime Report
Although the number of incidents is difficult to ascertain precisely, news stories about dangerous or defective Chinese products have seemed to decrease since 2007, when Mattel recalled lead-tainted Chinese-made toys, and China's top drug regulator was executed for taking bribes that the Beijing government claimed had led to unsafe pet food, toothpaste and antibiotics.
Coates attributed the apparent decrease to international companies taking a more active role in regulating their supply chains.
In fact, she said she was surprised to learn of the "60 Minutes" allegations against Lumber Liquidators because the company had a "very good" quality assurance team that regularly conducted site visits. For its part, Lumber Liquidators said Monday that it has documentation to support each step of its production process.
Read MoreChinese milk scandal—this time with Western culprit
That assertion was backed up by Wall Street analysts researching the company.
"The 60 Minutes segment highlighted claims of unsound sourcing practices. This part was surprising to us, given the amount of investment that has taken place in LL's supply chain over the past year," Nomura retail analyst Jessica Schoen Mace wrote in a note Tuesday. She added that the company "conducts random tests and unannounced audits."
VIDEO4:4504:45Will a growth target of 7% be bad for China?Squawk Box Asia
Even the right protections can still mean embarrassment if bad products make it to market, and the reputation damage can be just as problematic as the costs of a recall. When that happens, Western firms have a few options for attempting to recoup some of their losses, according to international arbitration attorney B. Ted Howes.
Generally speaking, litigation in Chinese or U.S. courts is ineffective, Howes said. Chinese firms enjoy an advantage in their home-country courts. And any judgment in the United States is "essentially a worthless piece of paper" unless the manufacturer has American assets or has holdings in a third country that shares the right treaties with the United States.
Read More The rise of 'Made by China' in America
Instead, Howes said, the most successful way for American firms to seek an award from a Chinese supplier is to enter into international arbitration—a process that requires the right provisions in a contract before any dispute arises. China has agreed to conventions that legally obligate its firms to make payments awarded by a legitimate international arbitration.
But Howes cautioned that even those awards are often only a "small percentage" of the damages suffered from importing and selling bad products.
Under the U.S. Consumer Product Safety Improvement Act and similar laws, U.S. companies stung by problems in Asian factories will usually be forced to recall dangerous products (even if only a small number of units are found to be defective), contact stores and resellers to stop sales, work to secure the products, notify the public, set up call centers and often even refund customers, Howes said.
Given the liability, some companies have explored another option: manufacturing in the United States.
Read MoreSome shrug at 'Made in USA'—but that could change
Coates, who also runs the Reshoring Institute at the University of San Diego, said that Western firms are constantly weighing the benefits of China's lower wages with product quality issues "that can devastate a company."
Lumber Liquidators was even moving away from Asia-made products before the "60 Minutes" story broke, according to Nomura's Mace, who wrote this week that the company had increased its North American sourcing in 2014, and that it would likely decrease its proportion of Asian goods this year.
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86e704e7207fc4b9f51f9cc2400899dd | https://www.cnbc.com/2015/03/04/cuban-tech-bubble-worse-now-than-15-years-ago.html | Cuban: Tech bubble worse now than 15 years ago | Cuban: Tech bubble worse now than 15 years ago
VIDEO3:4203:42Mark Cuban's take on tech bubbleSquawk Alley
Today's technology bubble is worse than the one that burst 15 years ago, according to billionaire entrepreneur Mark Cuban.
Overvalued tech companies today are mostly private rather than publicly traded, he wrote in a Wednesday blog post. That distinction makes torrents of funding more dangerous for investors, Cuban contended.
"Back then the companies the general public was investing in were public companies. They may have been horrible companies, but being public meant that investors had liquidity to sell their stocks," the Dallas Mavericks owner and "Shark Tank" investor wrote.
"The bubble today comes from private investors who are investing in apps and small tech companies," Cuban continued.
Mark CubanGetty Images for TechCrunch
The post comes two days after the Nasdaq hit 5,000 for the first time since the tech bubble of 2000. This time, though, Cuban isn't worried about public companies.
Read MoreNasdaq 5,000: Bubble or not?
Cuban believes that angel investors and other private investors make more perilous plays than stock traders 15 years ago. Those investments lack the liquidity that a stock investment would have, he said.
Cuban asked: "If a stock in a company is worth what somebody will pay for it, what is the stock of a company worth when there is no place to sell it?"
Mark Cuban will appear on CNBC's "Closing Bell" at 4 p.m. ET to discuss his blog post.
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e816d4941d3e8a10cf3b5e90de5baa4a | https://www.cnbc.com/2015/03/04/digital-guard-dog-for-finances.html | Digital guard dog for finances | Digital guard dog for finances
VIDEO5:5205:52Digital guard dog for financesPower Pitch
A new app promises to turn your smartphone into a digital watchdog for personal finances. While it hunts for credit-card fraud in real time, it also searches the web for ways to save you cash while you shop. It's called BillGuard, and the app's creator, Yaron Samid, says, "BillGuard's mission is to empower people to better control, protect and do more with their money."
Watch Samid pitch his start-up to Alicia Syrett, board member of the New York Angels, Stephanie Palmeri, principal at SoftTech VC, and David Wu, general partner at Maveron. Will the panel be in or out on his big idea? Watch the video to find out.
Samid said he came up with the idea four years ago when his wife became the victim of credit fraud. A Google search of the fraudulent charge revealed thousands of other victims complaining about the same thing. The incident drove Samid to bring together data scientists, mathematicians and security experts to start BillGuard.
The technology that powers the app can monitor and analyze millions of its users' credit card transactions to search for patterns of fraud and when it detects questionable charges the app can alert users in real time.
According to Samid, BillGuard has 1.2 million users, and 3,000 are signing on every day.
While the basic app is free, consumers can upgrade to a comprehensive identity protection service for a monthly fee. The service includes features such as monitoring the user's three credit reports for suspicious activity, alerts if the user's personal info is found on sites where compromised data is sold, and access to telephone agents who will walk the user through the process of fraud resolution.
BillGuard’s “Smart Savings” alert feature displaying a couponSource: BillGuard
Other financial apps in this space include Mint, Credit Karma and Lifelock. However, Samid says the services BillGuard offers makes it one of a kind. Beyond fraud alerts, the app delivers savings alerts, a feature that searches the web for money-saving coupons that match the user's unique spending patterns. "For example," the founder said, "If you shop at Old Navy regularly and BillGuard finds an Old Navy coupon online, it can push it to your phone for redemption at the store."
During the Power Pitch segment, Wu asked what percentage of BillGuard customers subscribe to the upgraded service.
"Half of our registered users are active. These are key performance indicators we're actually particularly proud of. The average BillGuard user opens up the app five times a week, so that's almost daily. And we have three months in over 40 percent retention. So we've succeeded in building a habit-forming application, which is very conducive for upselling premium comprehensive solutions to our base," Samid said.
Palmeri then asked how BillGuard attracts consumers that have never experienced fraud.
"About 10 percent of Americans will get hit by some sort of card fraud in a given year. That's 90 percent of users who won't get a lot of value from a fraud alert. But what they will get value from are things such as gray charge notifications where there are deceptive and misleading subscriptions or charges on your bills that you don't notice," Samid responded.
BillGuard is available in the Android and Apple app stores. It launched in April 2010 and has raised $16.5 million in funding. Key investors include venture capitalist and hedge fund manager Peter Thiel, as well as Google's Eric Schmidt. Samid said the company is not yet profitable and is focusing on growth and value for its users.
--Comments, questions, suggestions? We'd love to hear from you. Follow us @CNBCPowerPitch and join the #PowerPitch conversation.
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1c4ad9440b72f6070bd4edd16887b3db | https://www.cnbc.com/2015/03/04/top-senator-asks-federal-agencies-to-investigate-lumber-liquidators.html | Senator urges US to probe Lumber Liquidators | Senator urges US to probe Lumber Liquidators
VIDEO1:0101:01Lumber Liquidators down more than 9%Halftime Report
Sen. Bill Nelson on Wednesday called for a federal investigation of Lumber Liquidators amid allegations that it sold an imported laminate that could pose health risks.
The Florida Democrat sent a letter to federal agencies asking them to independently test the company's flooring products. He also sought to discover whether the company made potentially false marketing claims about its product's compliance with safety standards.
"Because this could affect millions of homeowners, it's imperative we get some answers quickly," Nelson said in a release.
Read More'Made in China' doesn't have to mean 'dangerous'
Shares in Lumber Liquidators were down about 12 percent Wednesday afternoon.
Options trading in the retailer spiked after Nelson's statement, according to Jon Najarian of OptionMonster and a CNBC contributor. More than 20,000 put options in Lumber Liquidators traded in the 40 minutes following Nelson's announcement.
Volume had already surged since the "60 Minutes" report. The three-month average put trade in Lumber Liquidators before it aired was about 3,300 contracts, according to Najarian.
Mike Blake | Reuters
The retailer has been in hot water since CBS' "60 Minutes" reported on Sunday that laminate imported from China contained levels of formaldehyde that exceeded California safety standards. The chemical can cause cancer.
Read More
Lumber Liquidators said in a statement Wednesday that it "shares Senator Bill Nelson's desire for consumer safety."
"Over the past few years, Lumber Liquidators has been actively engaged with the California Air Resources Board (CARB) and the Environmental Protection Agency (EPA) attending workshops, offering support and providing comments. We support the development of uniform regulations that are clear, practical, and safe," the company said.
It continued: "We are committed to safety and will continue to deliver the best quality product at the best price to our customers."
In a previous statement, Lumber Liquidators said "60 Minutes" had used an improper test in its report and that its suppliers in China had confirmed that the product complied with all regulations.
The company had previously said the allegations were "driven by a small group of short-selling investors who are working together for the sole purpose of making money by lowering our stock price."
In Wednesday's letter, Nelson appealed to the Consumer Product Safety Commission, Centers for Disease Control and Prevention and Federal Trade Commission.
"We share Senator Nelson's perspective that this is an issue we must respond to," CPSC spokesman Scott Wolfson told CNBC.
He also noted that the Environmental Protection Agency has a role in setting and regulating standards on the product in question.
The FTC and CDC confirmed that they received the letter but declined to comment further.
The EPA did not immediately respond to CNBC's request to comment on Nelson's letter.
Read MoreThe stock capitalizing on Lumber Liquidators
—Reuters contributed to this report.
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936b6b8211488668cc850dbe62c7a053 | https://www.cnbc.com/2015/03/05/could-islamic-states-looting-economy-face-defeat.html | Could Islamic State's 'looting economy' face defeat? | Could Islamic State's 'looting economy' face defeat?
VIDEO0:5700:57Where Islamic State gets its money
The terrorist group "Islamic State of Iraq and Syria" (ISIS) has rarely been out of the headlines in the past year for its capture of crucial territory in Iraq and Syria, together with its execution of several western hostages, but could financial pressures undermine its ambitions -- and existence?
Also known as Islamic State, ISIL or just IS, the militant Islamist group has taken over swathes of Iraq and Syria, proclaiming a "caliphate" – an Islamic state ruled by one leader. To help its turbulent and bloody rise it has built up various and illicit sources of revenue.
From the selling "poor-quality oil" stolen from captured fields and refineries and "donations" from wealthy benefactors in the Gulf, to smuggling, stolen harvests and selling cultural antiquities on the black market, the IS economy is far from standardized.
Because IS' revenues come largely from criminal activity, its finances are notoriously opaque. According to research published in February by inter-governmental body, the Financial Action Task Force (FATF), as well as extortion, the group also received donations from wealthy benefactors in the Gulf and from fundraising through "modern communication networks."
On top of this, the theft of cash held at seized banks gave ISIS access to an estimated half a $500 million in late 2014, a "significant portion of its wealth from controlling (these) bank branches," the FATF believed.
Ransom demands vary from victim to victim. IS demanded $200 million for two Japanese hostages believed to be later murdered by the group but one woman from the Kurdish Yazidis ethnic group was freed after her family agreed to pay a ransom of $3,000, the FATF reported.
An Islamic State militantReuters
But because its "economy" is largely based on terror, it is vulnerable and unsustainable. As such, there is mounting speculation that ISIS is coming under increasing financial strain.
Several media reports state that ISIS has cut the salaries of its fighters, as well as fuel and bread subsidies, that had helped to gain some support among local people.
"I think ISIS will face massive problems this year which will soon begin to materialize," Eckart Woertz, a senior researcher at the Barcelona Centre for International Affairs (CIDOB) and Middle East specialist, told CNBC.
"ISIS revenue base is not sustainable and we will see cracks appearing. I would suspect these to increase over the year and for ISIS to have economic problems over this year. Its economy is based on looting —which is great if you have geographic expansion -- but, if anything, ISIS is on the retreat and you can hardly continue this business model in territory you've already looted."
Despite IS' questionable sources of funding, the group has serious ambitions. After all, the clue is in the name 'Islamic State,' Woertz said.
"ISIS is not a terrorist group – certainly they use terrorist means -- but they want to be a state. With these revenues, however, ISIS would be a very rich terrorist organization but it would be a poor state. Like it is, it's not sustainable," he added.
Read MoreFear grows in Europe as ISIS comes to Libya
But increasing financial demands on IS could weigh on the group, the FATF said in its report on the group's finances, stating that its "need for vast funds to meet organisational and governance requirements represents a vulnerability to ISIL's infrastructure."
"ISIL also reportedly pays its fighters on average $350 - 500 per month. With an estimated 20,000 to 30,000 fighters in its employ, this alone would represent a $10 million drain on ISIL's treasury every month."
In order to maintain its financial management and expenditures in areas where it operates, the group would have "to be able to seize additional territory in order to exploit resources. It is unclear if ISIL's revenue collection through the illicit proceeds it earns from occupation of territory, including extortion and theft, will be sustainable over time," the FATF said.
"Cutting off these vast revenue streams is both a challenge and opportunity for the global community to defeat this terrorist organisation."
Against this backdrop of extortion, kidnapping and looting, ISIS was more like a mafia organization than a state, Woertz said.
"There were estimates made last year that ISIS-controlled oil fields in Iraq and Syria were producing around 30,000 and 50,000 barrels of oil a day, respectively. That's actually not a lot of oil and that was before military action and air strikes were increased against ISIS. Also the price of oil has come down and theirs is not of a good quality."
Forecasts that ISIS' oil revenues would fall have also come from the Pentagon, which said in February that illicit oil sales were no longer the group's main source of revenue. And looting and selling off antiquities does not guarantee any longevity in its economic plan.
"Looting has been an important source of income but it's a one-off source - once you've looted and sold antiquities or property you can't do it again. They've also looted harvests in order to lower the wheat price – probably to win over locals – but once you've done that and farmers leave, what will they do when the wheat runs out?"
Read MoreI'm worried about ISIS threat in US: Scott Walker
High-profile kidnappings of westerners by the group have prompted serious concerns among global governments. While some, like the U.S. and U.K. say they will not negotiate ransoms for hostages, other western European governments are believed to have paid between $3 million and $5 million for hostages, Woertz said. The FATF report estimates that IS had earned between $20 and $45 million from ransom payments, in total.
But with a number of high-profile murders of western hostages apparently at the hands of IS making global headlines, the numbers of westerners in the region is likely to fall; meaning that "the pipeline of western hostages is likely to had dried up for IS," Woertz said.
Cutting off IS' revenues could be one way to defeat the terrorist group but not everyone is convinced that Islamic State will be going anywhere soon. And even if it was destroyed, another group would fill the vacuum, experts warned.
Aymenn Jawad Al-Tamimi, an Oxford University graduate and leading analyst of jihadist groups, told CNBC that he wasn't convinced the group's revenues were dwindling, telling CNBC: "They still have ample means to collect revenue such as taxing locals in Mosul for sanitation services. That said, quality of life particularly in the Iraq territories IS controls has deteriorated severely."
Another Middle East analyst believed the organization "never expected to set up an economy immediately" and, in terms of caliphate building, was in it for the long haul.
"They're not even after a sophisticated economy," Firas Abi Ali, senior manager of MENA at IHS Global Insight told CNBC. "They don't want GAP stores, after all."
"They're not after a state based on individualism and choice and they're probably pretty happy to have a primitive economy –they would see that as pure and clean," Abi Ali said. "They're not after a sophisticated economy."
The group was not yet in a situation where they're financing had been cut off, Abi Ali said, warning that even if airstrikes by coalition forces against IS succeeded, other groups would be ready to fill the vacuum and continue the mission to form a caliphate.
"If they get defeated, will there be other group's to take their place? Yes. Will the ideology behind the group die? No, it will evolve and develop."
- By CNBC's Holly Ellyatt, follow her on Twitter @HollyEllyatt. Follow us on Twitter @CNBCWorld.
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da6309de99f4fae6a2dec55b5389ce60 | https://www.cnbc.com/2015/03/05/inspirational-women-in-business-and-politics.html?page=11 | Inspirational women in business and politics | Inspirational women in business and politics
Jay Directo | AFP | Getty Images
In 1911, March 8 entered the calendar as "International Women's Day," an occasion aimed at celebrating female achievement and working women around the world.
The official theme for 2015 is "Make it Happen" and includes a push for more women in senior leadership roles.
To mark the occasion, CNBC asked a selection of businessmen and women with a range of roles and responsibilities which women inspired them.
Written by Alexandra Gibbs, special to CNBC.com, on March 6, 2015
FPG | Archive Photos | Getty Images
Born 1880, died 1968.
Born in 1880, Helen Keller was a U.S. writer and political activist who lost her hearing and sight as an infant. She was the first deaf-blind individual to receive a Bachelor of Arts degree.
Keller helped found the American Civil Liberties Union (ACLU) in 1920 and received the prestigious U.S. Presidential Medal of Freedom in 1964.
"Helen Keller was a writer and a fighter, which were the two things I admired most in people, men or women, when I was young. Helen was a political provocateur, activist, essayist and lecturer. Reading her 1932 essay "Put your husband in the kitchen", you'd be excused for calling her a prophet. She expanded for me the idea of what a woman with bite and belief could achieve in the world."
- Steph Feeney, Amsterdam-based director of strategy at 72andSunny, a design and advertising agency.
Natalie Jaresko, Ukraine's finance ministerChris Ratcliffe | Bloomberg | Getty Images
Born 1965.
Ukraine has been mired in violence and turmoil since the crisis with Russia started in 2014. But that has not deterred Natalie Jaresko from accepting the position of the country's minister of finance at the end of last year.
Since taking the position, Jaresko has managed to work out an international financial aid deal of around $40 billion to help with Ukraine's financial crisis.
She holds a Bachelor's degree in business from De Paul University, Chicago, and a Master's degree from Harvard University's John F. Kennedy School of Government.
"Ukraine has a huge number of problems and it is impressive that she accepted such a difficult job. She has had her hands full, but remains driven, and clearly on a mission to help turn the country around. She is a tough cookie, so if anyone can turn it around, she will."
- Timothy Ash, Head of emerging markets (excluding Africa) at Standard Bank.
German Chancellor Angela Merkel holds a tapping proof BlackBerry mobile deviceJulian Stratenschulte | AFP | Getty Images
Born 1954.
Angela Merkel has led Germany since 2005, taking the lead in internationally important issues like the euro zone sovereign debt crisis, the West's sanctioning of Russia and the fight against ISIS and Islamic extremism.
Merkel, who speaks limited English and was raised under the communist regime of the former German Democratic Republic, is frequently ranked as the world's most powerful woman. She is listed by U.S. business magazine Forbes as the fifth most powerful person in the world.
"She is authentic, thoughtful and resolute with incredible gravitas. She's excellent at balancing competing agendas, whilst being articulate, charismatic and very credible. Merkel is a figure of ongoing stability during what has been a challenging political era. This can be demonstrated in the way she's managed to keep the EU together throughout the financial crisis, whilst keeping her own nation on board."
- Paul Devoy, Head of Investors in People, a U.K. non-departmental public body.
Christine LagardeGetty Images
Born 1956.
Christine Lagarde is the first female managing director of the International Monetary Fund (IMF), which aims to secure financial stability across the world and currently has 188 member countries.
Additionally, Lagarde was France's Trade minister during 2005 and 2007, which was followed by her role as the minister of finance from 2007 to June 2011.
She is currently ranked the fifth-most powerful woman in the world by Forbes magazine, and the 33rd most powerful person overall.
"What inspires me most about Christine is two things: she has achieved so much in industries that are traditionally male-dominated: law, politics and finance. Her high profile role at the IMF has really put her in the public eye, with all the intrusion that it brings. Also, it is that she is French and therefore working in a foreign language, and trying not to be too French in her professional approach (as she admitted herself)."
- Adeline Ginn, General counsel at Angel Trains and founder of Women in Rail, which aims to help women who work in the rail industry.
Angela AhrendtsLeon Neal | AFP | Getty Images
Born 1960.
Angela Ahrendts has worked as the vice-president of retail and online sales at Apple since 2014, following an eight-year stint as CEO of U.K. luxury fashion brand Burberry. Ahrendts is currently ranked the 49th most powerful women worldwide by Forbes magazine.
"Ahrendts reinvigorated Burberry and is galvanizing Apple retail. She's known for her inexhaustible curiosity, fierce work ethic and ability to transcend conventional binaries: she takes risks, innovates and cultivates emerging markets. She's humble, empathetic, but no one doubts that she's the boss. She is an exec to admire: her judgement, values and corporate style are a general model, not a gendered model."
- Tabitha Goldstaub, Co-founder of Rightster, a video-marketing company
Former British Prime Minister Margaret Thatcher in 2010Dan Kitwood | Getty Images Europe
Born 1925, died 2013.
In 1979, Margaret Thatcher became the first and, so far, only female U.K. Prime Minister. She remained in power for 11 years—the longest reign of any U.K. Prime Minister since the 1900s—and changed the face of British politics with her staggering strength of will and radical economic policies.
In 1991, she was awarded the U.S. Presidential Medal of Freedom.
"As a Brit growing up in the 1980s it was impossible not to look to her. Described as 'The eyes of Caligula and the lips of Marilyn Monroe' by Francois Mitterrand, whatever one thinks of her politics, her sheer force of will was utterly extraordinary. It was the first time in my life I found a role model for such power and strength in conviction, and in a woman. She weathered the questioning and the undermining, and she did it in her own way – unashamed – leading 60 million people through a decade of radical change."
- Jonny Westcar, London-based managing director at Brand Union, a global branding agency.
MadonnaAxelle | Bauer-Griffin | Getty Images
Born 1958.
Born in 1958, Madonna Ciccone holds the Guinness World Record for "Best-selling female recording artist," having sold more than 300 million albums worldwide.
However, Madonna is not only a seven-time Grammy award-winning singer, but also an entrepreneur, having established a clothing line called Material Girl and co-founded charity Raising Malawi and a chain of gyms called Hard Candy Fitness.
"Her mastery of brand marketing, changing and repositioning her brand to stay current or actually ahead of trends has meant she's been a defining part of pop culture. She was at the forefront of the explosion of the 'pop-star as mogul and icon' trend of the 1990s to now. She's been strong, soft, masculine, feminine, androgynous, and everything in between. Using her celebrity for both further infamy and for integrity in equal measure shows an innate understanding of her cultural worth as a woman in media."
- Matt Bennett, Co-founder of Wolfpack, a creative agency
Jeff Overs | BBC News & Current Affairs | Getty Images
Born 1968.
Born in 1968, Sophie Raworth works as a journalist and presenter for the world-renowned BBC, which she joined as a reporter in 1992 for the broadcasting service's Greater Manchester Radio.
Raworth has been on the scene reporting from the likes of the Queen's Golden Jubilee, and the Royal Wedding of Prince William & Kate Middleton. She is one of the main presenters' of the BBC News at One programme.
She also made a cameo appearance in Die Hard's fifth film installment: 'A Good Day to Die Hard', in 2013.
"The BBC's Sophie Raworth is not only an outstanding journalist, newsreader and presenter, but has a rare natural ability to connect with people of all ages and backgrounds. Her confident, knowledgeable and warm personality ensures she always gets the best from whomever she is interviewing. She is a role model for women and men alike in the media and beyond."
- James Brooke, Managing director of Rooster PR, a public relations agency
Anthony Harvey | Getty Images for TechCrunch/North America | Getty Images
Alice Bentinck co- founded Entrepreneur First in 2011, billed as the first U.K.-wide startup accelerator program for graduates. After finding that women were not applying for the program, often due to a lack of technical skills, she co-founded Code First: Girls, which offers free training and events in web development and entrepreneurship for women.
"Alice is hugely inspirational both for her entrepreneurial ability and also her passion. She once said 'Be a founder, not a follower', which rings true for us at eHarmony."
- Romain Bertrand, Managing Director at dating website eHarmony.co.uk
Credit: Debbie and Rob Smith | H-E-A-R-T: The Debbie Smith Act
Born 1955.
In 1989, Debbie Smith was raped by a masked stranger in Virginia, U.S.; despite giving DNA evidence her attacker was not identified until six years later. Since then, Smith has campaigned for the elimination of delays and backlogs in DNA testing in the criminal system, and founded H-E-A-R-T, an organization that supports rape victims.
In 2004, the U.S. federal government initiated the "Debbie Smith Act," which conducts DNA analyses of backlogged DNA.
"Debbie Smith has worked tirelessly to solve the nation's rape-kit testing backlog. Thanks to her work, and the federal law named in her honor, thousands of victims have gotten justice and their rapists have been locked up. America is a safer place thanks to Debbie. We are inspired by her, and grateful for all she does for sexual assault survivors."
— Scott Berkowitz, Founder of RAINN, a support network for victims of sexual assault
Credit: Women for Women | Democratic Republic of Congo / International Women's Day
"Women who stand up to help their families and communities move forward, recover, and rebuild after war and conflict inspire me every day. Their courage, strength, and resilience reminds me of the power every woman has to change the world."
- Jennifer L. Windsor, CEO of Women for Women International, a nonprofit humanitarian organization
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ff62b4f838c858859001922660dc78a9 | https://www.cnbc.com/2015/03/05/move-over-oil-americas-greenest-big-companies-and-institutions.html?view=slideshow&%24DEVICE%24=native-android-mobile | America's 'greenest' big companies and institutions | America's 'greenest' big companies and institutions
Isaac Brekken | For The Washington Post | Getty Images
Whether it's carbon neutral office blocks, automated lighting systems or a commitment to plant thousands of trees, governments and businesses all over the world are always keen to trumpet their green credentials.
In 2001, the United States Environmental Protection Agency (EPA) established the Green Power Partnership as "a voluntary program that encourages organizations to use green power as a way to reduce the environmental impacts associated with conventional electricity use."
Here, CNBC.com takes a look at the Green Power Partnership's National Top Partner Rankings, which detail and rank the green energy use of the scheme's partners.
—By Anmar Frangoul, special to CNBC.com, on Wednesday March 4, 2015.
Oscar Siagan | Getty Images AsiaPac | Getty Images
Annual green power usage: 515 million kWh
Consumer goods giant Unilever makes the top 10 of the Green Power Partnership's National Top 100. According to Unilever USA, by 2020 the business will, "more than double our use of renewable energy to 40 percent of our total energy requirement" when it comes to manufacturing processes.
Furthermore, Unilever says it slashed CO2 emissions between 2008 and 2013 by 833,000 tons—"a reduction of 32 percent per ton of production."
Jason Alden | Bloomberg | Getty Images
Annual green power usage: 583 million kWh
Operating over 20,000 coffee shops in more than 60 countries around the world, coffee giant Starbucks has made concerted efforts to mitigate its environmental footprint.
The company has set itself the goal of cutting water consumption in its stores by 25 percent by 2015, cutting energy usage by 25 percent and covering, "100 percent of our electricity consumption with renewable energy by 2015."
In 2013, 65 percent of new Starbucks stores were "built to achieve LEED (Leadership in Energy & Environmental Design) certification"—a green-building accreditation program.
Ethan Miller | Getty Images
Annual green power usage: 595 million kWh
According to the EPA, 12 percent of the U.S. Department of Energy's electricity use comes from green sources such as wind, solar and biomass. In 2014, both the vast Ivanpah solar plant (pictured) and Petra Nova, a carbon-capture project, "were made possible by Energy Department funding."
Scott Halleran | Getty Images
Annual green power usage: 623 million kWh
More than 2 million people live and work in Houston, Texas, and authorities there are making a concerted effort to go green.
In 2013, the City of Houston announced that it would purchase more than 140 MW of renewable energy power for two years, adding that, "the City's purchase of green power will account for half of its annual electricity demand."
Speaking at the time, Annise Parker, Mayor of Houston, said, "Houston is already known as the energy capital of the world, but we are committed to becoming the alternative energy capital of the world as well."
Noah Berger | Bloomberg | Getty Images
Annual green power usage: 626 million kWh
The company behind the iMac, iPod and iPhone states on its website that it believes, "climate change is real. And that it's a real problem."
In light of this, Apple is taking steps to limit its own impact on the environment. Its data center in Maiden, North Carolina, for example, has earned Leadership in Energy & Environmental Design—or LEED—Platinum status from the U.S. Green Building Council. The center is able to generate renewable energy using solar arrays and biogas fuel cells.
Over 140 Apple stores in the U.S. were powered by renewable energy in 2014, according to the tech giant. The new Apple headquarters in Cupertino, California, will be 100 percent run on renewable energy and have over 300 charging points for electric vehicles.
Patrick T. Fallon | Bloomberg | Getty Images
Annual green power usage: 651 million kWh
Retail giant Wal-Mart has a presence in 27 countries and employs more than 2 million people globally.
According to the company's website, it has set itself three ambitious sustainability goals: To have a 100 percent renewable energy supply; to generate zero waste; and to "sell products that sustain people and the environment."
Wal-Mart recently completed the installation of its 250th solar energy system. The company says that these systems provide between "15 to 30 percent of a store's electricity needs."
Tony Avelar | Bloomberg | Getty Images
Annual green power usage: 737 million kWh
Search giant Google has been a carbon-neutral company since 2007 and claims that its data centers—which feature a range of green tech including smart temperature controls—"use 50 percent less energy than the typical data center."
Other initiatives include 1.9 MW of solar panels at the company's head office in Mountain View, California; a shuttle program that has taken the equivalent of 5,700 cars off the road; and what the company describes as "agreements to fund over $1.5 billion in clean energy wind and solar projects."
Robert Nickelsberg/ | Getty | Getty Images
Annual green power usage: 1.5 billion kWh
Wisconsin-based Kohl's operates department stores across the United States. The business is described by the EPA as having, "embarked on a committed, integrated approach to environmental stewardship in all facets of its business endeavours."
According to Kohl's website, the company has 160 locations that use solar power, while as of October 2014, 81 Kohl's stores had charge stations for electric vehicles. In addition, 433 Kohl's buildings are LEED certified.
Mike Kane | Bloomberg | Getty Images
Annual green power usage: 2.5 billion kWh
The EPA states that Redmond, Washington-based Microsoft has met its goal of, "reducing carbon emissions by at least 30 percent per unit of revenue below the company's 2007 baseline."
As part of its commitment to sustainability, Microsoft has reported that it has entered into a "power purchase agreement" with a wind project of 110 megawatts.
Justin Sullivan | Getty Images
Annual green power usage: 3.1 billion kWh
Famous for its computer chips, Intel has also won a host of awards for its use of green power sources.
According to the EPA's website, "Intel purchases more than 3.1 billion kilowatt-hours a year of renewable energy certificates, generated from wind, solar, geothermal, low impact hydro, and biomass sources, all third-party certified."
Marty Sedler, Intel's director of global utilities and infrastructure, is quoted on the EPA's website as saying, "Our renewable purchase is just one part of a multi-faceted approach to protect the environment, and one that we hope spurs additional development and demand for renewable energy."
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a0ec8bef2f7b16d13b741fad94497b18 | https://www.cnbc.com/2015/03/06/a-60000-speeding-ticket.html | A $60,000 speeding ticket! | A $60,000 speeding ticket!
The next time you get a speeding ticket, be grateful you don't live in Finland—and that you don't make $7 million a year.
Like many Nordic countries, Finland bases its speeding tickets only partly on the actual speed violation. Most of the fine is determined by the violator's income. So when businessman Reima Kuisla got stopped for doing 64 miles per hour in a 50 mph zone, authorities looked at his 2013 tax return and saw that he made 6.5 million euros, or more than $7 million.
According to the BBC, Kuisla was given a fine of 54,000 euros, or just under $60,000.
A file photo of a police action in Finland.Janne Nousiainen | AFP | Getty Images
The BBC said Kuisla took to his Facebook page to complain and said that he was considering moving abroad.
"Finland is impossible to live in for certain kinds of people who have high incomes and wealth," he wrote.
Read MoreMillionaires are moving here
But Kuisla's ticket is cheap compared to others given in the Nordic countries, which now tie fines to income or the value of the violators' car. In 2010, a Ferrari driver in Switzerland with a history of violations and a net worth of more than $20 million got a ticket for $290,000. In Germany, fines for speeding tickets can reach as high as $16 million.
Read More2014's best collectible investment
Politicians say the wealth-based tickets are a way to deter the rich—who can easily pay fines—from breaking the law. But clearly, governments also like the revenue.
Either way, life in the Nordic fast lane can get expensive.
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aa899858bfbf536da264fea0e3a2b399 | https://www.cnbc.com/2015/03/06/gifs-are-shaking-up-texting-as-we-know-it.html | GIFs are shaking up texting as we know it | GIFs are shaking up texting as we know it
Remember the early days of texting when you had to push the "7" key a dreaded four times to type the letter "S." Thankfully, smartphones have since made faceless communication exponentially easier—without multi-tapping.
Although texting on a smartphone has proven to be far less taxing on users' thumbs, there is a new shift in messaging taking place: GIF keyboards.
Riffsy's GIF Keyboard—launched in late 2014—takes users beyond emojis, the colorful and playful icons available as a keyboard on your smartphone. And just like emojis, GIFs offer a new way to say, "I'm stressed," "I love you," or "That was funny."
With a sleek design and millions of categorized GIFs, Riffsy's GIF Keyboard was downloaded more than a million times in its first three weeks, with the majority of users installing it as an alternative to plain text and emoji in their keyboard section.
According to the company, on average, its users open the GIF Keyboard nine times a day and share more than five GIFs every 24 hours. And choices continue to grow. Since its release, Riffsy has struck content partnerships with NBCUniversal, the parent company of CNBC, and 20th Century Fox.
"Accelerating mobile download speeds and usage of mobile messaging apps has created a perfect storm for the explosion of visual communication with GIFs and videos," said David McIntosh, co-founder and CEO of Riffsy. "The half a billion daily users of emoji has set the stage for visual communication, and users are turning to GIFs and short videos to better express their feelings, emotions and aspirations through shared cultural moments."
This ability to quickly pull up a very-human reaction in a matter of seconds, copy it directly into an email or message app and send it out takes the emoji effect to an entirely different level.
These keyboards now facilitate highly expressive content that may not be properly conveyed with words or a mere "Heart Eyes" emoji—all with the push of a button.
In addition to helping step up your messaging game, GIF keyboards can also provide some pretty interesting data to shed light on the emotions and reactions of users during any given time period.
For instance, the San Francisco-based company found that prior to the start of Super Bowl XLIX, the most searched Riffsy GIFs included #food, #party, #hungry and #drunk. However, once the game began, very basic phrases such as #yes, #no, #sad and #crying were among some of the most used GIFs.
The shift shown in trending GIFs in conjunction with the timing of the game showcases what users were presumably doing at the time of search and exactly how they were feeling at that moment. Additionally, the simplicity of the searches could show a shift in the amount of thought (or lack thereof) that is actually being put into the messaging process.
So what do emojis and GIFs mean for faceless communication? Will the text in text messaging become obsolete?
We'll let this GIF speak for itself.
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e3a2e94db67cd440c2f34ec9f644691b | https://www.cnbc.com/2015/03/06/kkr-us-economy-is-good-but-investing-is-hard.html | KKR: US economy is good, but investing is hard | KKR: US economy is good, but investing is hard
Alexander NavabAmanda Gordon | Bloomberg | Getty Images
A top KKR executive thinks the American economy is in good shape, even if the looming interest rate increase by the Federal Reserve is likely to create some disruption.
"Overall in the U.S. we're looking at a very positive, healthy picture," Alexander Navab, KKR's head of Americas private equity, said Friday at the Columbia Business School Private Equity & Venture Capital Conference in New York.
Navab said the interest rate hike question was the biggest uncertainty in the capital markets.
"That has caused all sorts of volatility and uncertainty," he said. "Depending on when that happens, and how much, that may cause rebalancing or some more volatility."
Stocks fell sharply Friday as Navab spoke, partially in anticipation of a rate hike in June, earlier than some had expected.
Read MorePros bullish on private equity for 2015
Navab added that the CEOs of KKR's portfolio companies were "not overly optimistic but positive" on the U.S. economy. He said the concern was how slower growth in various emerging markets as well as Europe and Asia might affect demand given the international nature of many of their businesses.
KKR's private equity portfolio companies in the U.S. include Toys R Us, Go Daddy, Colonial Pipeline, Samson Resources and Alliant Insurance Services.
While Navab was positive on the economy, he underscored a common sentiment in private equity: It's increasingly difficult to find attractive deals given higher valuations.
"Today it's a lot harder to find the kind of return that we're looking for," Navab said in explaining the need to be "very selective" in making investments.
"Today, we're somewhere in the mid-to-late end of the cycle," he said regarding the pattern of valuations risings following a crash, most recently with the financial crisis of 2008.
Navab, speaking in front of a room of mostly MBA students at the Waldorf Astoria hotel, noted that there was some distress in the market, especially energy, creating pockets of opportunity. KKR completed $2 billion in fundraising in March 2014 for a North American oil and gas fund.
Read More
VIDEO3:2603:26US place to be but volatility will rise: Pro Closing Bell
KKR managed $96 billion in total assets as of September. The firm was founded in 1976 by Henry Kravis and George Roberts. It went public in 2010. Best known for leveraged buyouts, KKR also has real estate, hedge fund and other strategies today.
Navab graduated from Columbia College in 1987 and joined KKR in 1993.
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5e2b8f0c8aa686c360725b9a74a5477d | https://www.cnbc.com/2015/03/06/lew-to-congress-us-hits-debt-limit-on-march-16-needs-to-be-raised-asap.html | Lew to Congress: US hits debt limit on March 16, needs to be raised ASAP | Lew to Congress: US hits debt limit on March 16, needs to be raised ASAP
VIDEO1:0701:07US hits debt limit March 16th: Sec. Lew
Treasury Secretary Jack Lew warned Congress that the U.S. will hit its statutory debt limit on March 16, setting up another potential showdown between lawmakers and the White House over spending.
In a Friday morning letter to House Speaker John Boehner and other House and Senate leaders, Lew said that his office will be forced to suspend the issuance of State and Local Government Series securities on Mar. 13 unless the debt limit is raised.
The U.S.'s top finance official said the U.S. will hit its debt limit on Mar. 16, but would begin taking "extraordinary measures" to finance the government on a temporary basis, according to the U.S. Treasury.
"Accordingly, I respectfully ask Congress to raise the debt limit as soon as possible," Lew wrote in his letter.
Read More Debt ceiling: CNBC explains
The debt ceiling, which has been raised 74 times in the last five decades, is a perennial political football in Washington. Under President Barack Obama, the limit has been hiked five times, fewer than either of his immediate predecessors George W. Bush and Bill Clinton.
Still, Lew's warning comes as deficit hawks point out the government pulled in record amounts of tax receipts last year. Separately, the budget deficit—while projected to hit its lowest since 2007 this year by the Congressional Budget Office—still hovers around 2.5 percent of gross domestic product.
The Treasury secretary emphasized that "increasing the debt limit does not authorize new spending commitments," but rather "simply allows the government to pay for expenditures Congress has already approved."
Congress passed the Temporary Debt Limit Extension Act in February 2014, which suspended the statutory debt limit through Mar. 15 of this year.
The U.S. legislature is expected to face another contentious debate over raising the U.S. legal borrowing authority. If it stretches to the final deadline, the timing would coincide with the debate over government agency funding for the new fiscal year, which starts Oct. 1.
The Congressional Budget Office said this week that if Congress does not raise the federal debt limit, the Treasury Department will exhaust all of its borrowing capacity and run out of cash in October or November, slightly later than a previous forecast.
In 2011, a debt limit standoff in Congress brought the United States close to an unprecedented debt default before it was resolved with a budget deal that put in place automatic spending constraints that last through 2021.
—Reuters contributed to this report.
CORRECTION: This story was updated to reflect the Treasury is asking Congress to raise the debt limit.
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836b87d3cd73a5b128f2c2b32b3a078d | https://www.cnbc.com/2015/03/06/lumber-liquidators-slides-major-short-extended.html | Lumber Liquidators slides, major short extended | Lumber Liquidators slides, major short extended
VIDEO0:3400:34Tilson increases short position in LLPower Lunch
VIDEO4:1204:12Tilson: LL poisoning customersHalftime Report
VIDEO4:3704:37Tilson: LL doing bogus testingHalftime Report
Lumber Liquidators shares fell again on Friday, marking a more than 50 percent loss for the company since it first disclosed that a negative "60 Minutes" story was on its way. But despite the fall, one major investor is betting it will go much lower.
Shares in the company, which traded Friday afternoon around $33, have fallen from more than $67 on Feb. 25 when the firm issued that warning during its earnings call. The stock sank even further when the report came out, alleging that Lumber Liquidators sold Chinese-made flooring with higher levels of formaldehyde than permitted under California's health and safety standards.
Read More'Made in China' doesn't have to mean 'dangerous'
As the stock continued its slide, Whitney Tilson, the founder and managing partner of Kase Capital Management who originally brought the story to the CBS program, said he was increasing his short position against the company.
Tilson said in a Friday note that he "added materially" to his short position on Wednesday and Thursday, bringing his bet to a 3.8 percent position—which he described as "a very large for a short for me."
A file photo showing traders waiting for shares of Lumber Liquidators to begin trading on the floor of the New York Stock Exchange.Brendan McDermid | Reuters
The investor explained in his letter that he had not traded at all in the stock since early October.
"I didn't want there to be any questions about my trading in advance of the 60 Minutes story (you think nearly five months is conservative enough? ;-)" he wrote.
Tilson told "Fast Money: Halftime Report" on Monday that he had tried to short more of the company after last week's move, but said he was unable to secure any more to borrow.
Lumber Liquidators has that its products are safe and that it rigorously tests its flooring. It also said in a statement that the "60 Minutes" story used an improper test method for its conclusions, and originated from attacks "driven by a small group of short-selling investors who are working together for the sole purpose of making money by lowering our stock price."
Explaining his increased short, Tilson said he expects the company to face significant revenue issues related to the formaldehyde story.
Read MoreSenator urges US to probe Lumber Liquidators
"On the revenue side, this story has been picked up by a ton of local news outlets across the country, so millions of LL's past, present and future customers are aware of the formaldehyde issue – and they are freaking out based on numerous anecdotal stories I'm hearing: installers saying most of their jobs have been cancelled, contractors swearing to customers that they'll never use LL's products ever again, etc," he wrote.
"This leads me to believe that LL's sales ($1.047 billion last year) will take a major, lasting hit, no matter what spin the company puts out there. How big of a hit and for how long? Who knows. But it will be very material I think."
VIDEO1:3701:37Lumber Liquidators lashes out at TilsonFast Money
As for expense pressures, Tilson identified three negatives for the company (increased legal and compliance costs, government penalties from an ongoing investigation into possible violations unrelated to the "60 Minutes" story, and possible liability payments arising from the formaldehyde issue).
"But even ignoring all of this, at the very least LL now has to of course start sourcing its products legally, which I think are likely to bring margins back to historical levels," Tilson wrote, explaining that his short thesis is based on his belief that the company was cheating on supply regulations.
Given these factors, Tilson wrote that he expects Lumber Liquidator's earnings to fall below $2 (estimates before the CBS report had put the figure around $2.74). Applying a multiple of 10 to this expectation, Tilson predicted the stock could be worth about $20.
Read More
But that would be a positive outcome, he said.
"Applying a more realistic scenario, I think the company might earn only $1.50 (and I truly think I'm being generous here) and trade at 6x this amount, leaving the stock at $9, down 73% from here," he wrote.
Lumber Liquidators said earlier this week that it had scheduled a conference call and audio webcast next week "to provide a business update."
There is significant institutional ownership in the company, with Fidelity owning about 15 percent of the firm.
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1f88b010322aaae7bc7c52284347cb33 | https://www.cnbc.com/2015/03/06/six-new-travel-gadgets-to-make-your-journey-easier.html?slide=6 | Six new travel gadgets to make your journey easier | Six new travel gadgets to make your journey easier
Robert Kaly | Calaimage | Getty Images
From the trendy to the fashionable to the outright wacky, the latest in travel gadgets and luggage are on display this week at the International Travel Goods show in Las Vegas.
Thousands of items will be on shown at the three-day show, which opens Tuesday. CNBC has rounded up a small sample of some noteworthy items for a sneak preview.
Read MoreSin City, or a Romanian castle? Where to go in 2015
—By Harriet Baskas, special to CNBC. Follow Road Warrior on Twitter at @CNBCtravel. Posted 8 March 2015
Source: Playluggage
Can a piece of luggage really be a "dependable and trustworthy partner for the craziest adventures?"
The designers at Estonia-based Playluggage think so. The surfaces of its suitcases double as game boards for backgammon, Chinese checkers, chess, poker and Parcheesi. Erasable markers come with a suitcase you can draw on, and the new design (MSRP $199) has a surface compatible with Lego-style blocks.
Game pieces included with many board designs are magnetic, "so you can always leave the game [set-up], go to next gate and continue from the same spot," said Martin Rungi, Playluggage's export manager.
Read MoreDon't toss it! Deals hidden in airline boarding passes
Solo iPad case.Source: Solo
Road warriors increasingly rely on mobile devices, especially tablets, to view content while traveling. However, "the increase in the mobility of information has caused a consumer need for their information to be kept private," said Jon Davies, president of Solo.
Adhesive privacy screens are one solution; so is covering your screen with an elbow. Yet Solo's new Privacy Screen Slim Case for the iPad Air (MSRP $69.99) has a kickstand and a built-in privacy screen that darkens when viewed from the side. Take that, busybodies.
Source: ChargerLeash
Keeping laptops, phones, tablets and other mobile devices fully charged when on the road can be a challenge. In hotel rooms and at airport gates, many travelers keep their gadgets plugged in until the very last minute, which means many chargers get left behind in the rush to check out or board. Enter the ChargerLeash, a line of cables that sound an alarm when you disconnect your device but forget to unplug the charger from the wall.
The ChargerLeash Apple MFI Lightning "Forget-Me-Not" cable (MSRP $29.99) also has a "snooze" feature so you can silence the alarm at home.
Source: Runnng Buddy
Originally designed for marathon runners, Running Buddy's Buddy Pouch—a water and sweat-resistant pocket that attaches with strong magnets to a waistband—is also useful for business travelers who want to avoid the fanny pack look but still store essentials. Travelers' smartphone, passport, ID, credit card, keys and other lifelines can be "safely and securely at their hips, hands-free," said Running Buddy owner Julie Bradfield.
In response to the popularity of slightly larger smart phones, Running Buddy now offers the Buddy Pouch 6+ (MSRP: $31.99), which has room for the iPhone 6 Plus or other Texas-sized phones, like the Samsung Galaxy Note.
Source: McKaba Luggage
Some lucky travelers have the hotel butler unpack and repack their bags. The rest of us must do all that work for ourselves, and suffer the consequences of wrinkled clothes. But the Shelfpack (MSRP: $349) from McKaba Luggage offers an innovative in-between option.
Travelers can organize their outfits on collapsible shelves built inside the suitcase, push the shelves into the suitcase, then pop them back up on arrival to form an instant dresser.
Source: Dbest
Travelers can spend a lot of time waiting around in airports, train stations, hotel check-in lines and elsewhere without a place to sit. In those cases, luggage that not only carries your load but allows you take a load (up to 350 pounds) off your feet may be appealing.
The Sit-On-It Carry All from Dbest products comes in a red, black or gray and in two sizes (small: $129.99; standard: $169.99).
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b2081b88f1f055be5fffca6c8ad51b9a | https://www.cnbc.com/2015/03/06/will-it-be-irs-to-the-rescue-for-obamacare.html | Will it be IRS to the rescue for Obamacare? | Will it be IRS to the rescue for Obamacare?
VIDEO2:0802:08Supreme Court hears Obamacare arguments
The taxman typically taketh, but he soon could be giving millions of Americans quite a bit—at least temporarily—if the Supreme Court kills a major feature of Obamacare.
A leading tax expert says the Internal Revenue Service can, and likely will, let HealthCare.gov customers keep their Obamacare subsidies through the end of this year if the high court rules in June that those subsidies are illegal.
And that six-month grace period in turn could ratchet up political pressure on Republican opponents of Obamacare to develop a plan to replace the valuable subsidies, which would be expiring right on the eve of the 2016 presidential primary season, instead of this summer.
The Internal Revenue Service building in Washington.Getty Images
About 7.5 million HealthCare.gov customers are at risk of losing those subsidies, which help them pay monthly premiums for health insurance plans purchased through that federally run marketplace that serves 37 states. Experts predict that more than 8 million people would become uninsured next year after finding their plans too expensive without the subsidies, and after plan prices rise to compensate for the loss of customers.
Read More
Plaintiffs in a case known as King v. Burwell argued at the Supreme Court on Wednesday that only customers of state-run Obamacare exchanges are eligible to receive such financial assistance, which comes in the form of federal tax credits.
But the Obama administration argues that an IRS regulation that explicitly authorizes subsidies for HealthCare.gov customers is legal under the Affordable Care Act. The subsides are available to people with low and moderate incomes.
Don Susswein, a principal in the national tax practice of the consulting firm McGladrey, said that the IRS has a long-standing practice of giving grace periods to people affected by court rulings that say an IRS rule or regulation is illegal.
"It is entirely normal practice," said Susswein, while acknowledging the current case "isn't a normal situation."
"Court cases more commonly curb the IRS' power to take things away, and here it would be curbing the IRS' power to give something away," he said.
Read MoreTough questions for Obamacare foes
"Generally speaking, regulations, rulings or positions are changed and struck down and invalidated all the time," Susswein said. But if taxpayers have benefited from the IRS regulation before it was invalidated by the court, "it's normal practice of theirs to tell the taxpayer that they can rely on [the struck-down regulation], even though it's wrong."
"Perhaps the most high-profile example is when the U.S government took over GM [General Motors], or infused money into other corporations, tax lawyers would have told you that the tax losses of the 'old GM' could not be used by the 'new GM.' The statute is quite clear," Susswein said. "But, of course, no one writing that law anticipated the dire straits of the Great Recession, or the need for an auto bailout. Accordingly, the IRS unilaterally announced that they would allow the new GM to use the tax losses of the old GM."
In response to a Supreme Court ruling invalidating the Obamacare subsidies, "they could change the regulation to disallow the credits, but provide that the change would only apply to payments pursuant to contracts entered into after a particular date," Susswein said. "I would think they would do that."
Read MoreGOP risks backlash from Obamacare case: Poll
He noted that such a grace period would reflect the fact that most HealthCare.gov customers bought their plans without knowing they might lose the assistance before the end of the year covered by the plan.
VIDEO2:0802:08Supreme Court hears Obamacare arguments
Susswein, who previously was a Republican tax counsel for the Senate Finance Committee, said he expects the IRS would give those people only temporary relief. He doesn't expect the Obama administration would try to argue that the subsidies could be continued into 2016 for existing Obamacare customers who renew their current plans next year.
"I don't think there would be a valid basis for doing that," he said.
But Susswein also said he believed it would be extremely difficult, if not impossible, for opponents of the subsidies to thwart the IRS extending the tax credits through the end of 2015. Opponents would first have to show that they have legal standing to make such a challenge, Susswein said, and then get a court to act before the extension expires at the end of 2015.
An IRS spokeswoman declined to say whether the agency plans to keep the tax credits in effect temporarily in the event the Supreme Court rules they are illegal.
But the IRS might not need to do so.
Supreme Court Justice Samuel Alito, during oral arguments in the case on Wednesday, suggested that the subsidies would expire "after the current tax year" if the court ruled against them, and not right after the ruling.
"I think it's almost a given that something of this sort will happen if the Supreme Court sides with the plaintiffs," said Sanjay Singh, CEO of hCentive, a Virginia-based health insurance technology company that builds insurance exchange platforms. "If you're thinking about this ruling being immediately the demise of the ACA, I would not expect that."
If a grace period is granted, by the IRS or the high court, that would give the Obama administration, Congress and individual states time to come up with strategies for the loss of the subsidies.
Several leading congressional Republicans, fearful that the GOP will be blamed for the subsidies disappearing and people losing insurance, have floated broad ideas on how to replace, at least partially, the tax credits now received by HealthCare.gov customers. The Obama administration has said it has no contingency plans for replacing the subsidies, but will face political pressure to consider suggestions by Congress to remedy the situation.
A number of states also may set up, or try to set up, their own Obamacare exchanges, whose customers then would be able to get subsidies.
Twenty-three states currently served by HealthCare.gov filed briefs supporting the legality of the subsidies, Singh noted, which could suggest they would be more likely to open their own exchange.
Singh said that if the Supreme Court announced in June that the subsidies were going away for 2016, it would be technologically possible for states to set up their own online insurance marketplaces in time for the next open enrollment season, which begins Nov. 1.
HCentive's own Obamacare exchange technology, which last year was adopted by Massachusetts to replace its own failed exchange, can be used "out of the box" if a state's elected officials move to set up their own exchange, Singh said.
"We can guarantee them open enrollment for 2016," he said.
Another possibility, he noted, is for states to set up the legal apparatus for such an exchange, and then contract with HealthCare.gov to handle the actual enrollment.
"That may be an option," echoed Susswein, the tax expert. "The [Obama] administration could say that for any state that wants, you can hire us out."
But again, that requires political will by a state to do so. Some states, most notably Texas, which has about 1 million HealthCare.gov customers receiving subsidies, are considered much less likely to move to a state-based exchange model because of opposition to Obamacare in those states.
"Most people would say that congressional action would be needed to cover the 2016 season," said Susswein.
Republicans control Congress at the moment, and "obviously they don't want a disaster on their hands, they want to have a solution, they don't want to be blamed, they want to have some fix," he said, suggesting that subsidies could be extended for an additional year through legislation.
"That would be, I imagine, good for the presidential candidate," who would not suffer the fallout from people losing insurance plans in the year that person was seeking office, Susswein said.
"The most conducive solution would be for Congress to kick the ball down at least another year, to 2016, and for none of the people who have their fingers on that decision to be running for president," he said.
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3aa83630426eb4c1f5e353ed575c7ac6 | https://www.cnbc.com/2015/03/08/china-takes-lessons-from-japan-past-master-on-slowdown-deflation.html | China takes lessons from Japan, past master on slowdown, deflation | China takes lessons from Japan, past master on slowdown, deflation
A paramilitary police officer stands guard in front of red flags at Tiananmen Square in Beijing, China, on Monday, March 2, 2015.Tomohiro Ohsumi | Bloomberg | Getty Images
SHANGHAI/TOKYO -- Chinese regulators are turning to Japan for lessons on economic history, determined to keep the world's second biggest economy from taking the same path of recession and deflation that has blighted its neighbor for the past 20 years.
Beijing views Tokyo's handling of the liberalization of capital flows and the yen over 30 years ago as key factors that led to the creation and subsequent bust of the asset bubble in Japan in the early 1990s, according to Japanese government and other sources who are in direct contact with Chinese regulators.
Read More China's February exports surge, topping forecasts
"They aren't a single bit interested in Japan's successes. Their biggest interest is in Japan's mistakes," one China-based source who is directly in touch with Chinese regulators told Reuters on condition of anonymity.
"Japanese and Chinese economies do share many similarities, so I assume there is quite a lot to learn from our experiences."
Chinese policymakers and analysts at government think-tanks are already well versed in the experiences of Japan and other countries, and the sources say two-way communication at both government and private-sector level continued even through a chill in diplomatic ties after a territorial spat in 2012.
But as economic growth slows and signs of deflation emerge, China's interest in Japan has increased notably around policy details, according to the sources.
At an annual parliamentary meeting that began on Thursday, China announced an economic growth target of around 7 percent for this year, down from 7.4 percent in 2014, already the slowest in 24 years.
Lost decades
China is carrying out three key financial reforms Japan undertook over the past decades - liberalizing interest rates, internationalizing its currency and opening up its capital account.
These reforms should help develop the economy, but mis-steps could have huge repercussions.
Chinese policymakers see the 1985 Plaza Accord between Japan and the Western powers, which effectively approved a stronger yen and the opening up of the capital account during the 1980s and 1990s, as pivotal events for Tokyo which ultimately led to the Japan's "lost two decades," sources say.
The surge in the yen that followed the agreement hit the country's main exports; Japanese auto makers, for example, started shifting more production overseas. This started to hamper economic growth and prompted the Bank of Japan to ease monetary policy.
However, much of the cash from the easing, along with hot foreign money that followed the liberalization of the capital account, flowed into stocks, property and other assets, often magnified through leveraging.
Read More Goldman sees 'revolutionary' shift in Japan Inc
"China is already applying lessons from Japan's experience. Even when growth is slowing, Chinese policymakers aren't taking policy measures that could heighten financial imbalances. That's very wise of them," Bank of Japan board member Takahide Kiuchi told a news conference in Maebashi, north of Tokyo, on Thursday.
He said that even when asset bubbles were forming, Japan wasn't able to tighten monetary policy because of the impacts it would have on the United States, its biggest partner.
"One of the lessons from Japan's experience is that achieving domestic economic stability should be the top priority for policymakers (rather than international considerations)," Kiuchi added.
Debt Risk
China has other challenges that echo Japan's past.
Its property market has cooled since the government tightened policy to prevent overheating and due to oversupply, and that, coupled with economic slowdown, is raising fears of a rapid rise in bad loans at banks and a further dent in local government finances.
Sources said regulators have also been asking how Japan dealt with bank bankruptcies, and that could be a signal Beijing is preparing for a likely consolidation in the fragmented banking sector once interest rates are liberalized.
"It makes perfects sense for them to look to Japan rather than other countries since our financial systems are very similar," said another Shanghai-based source.
Like Japan, Chinese firms rely heavily on bank loans to meet their financing needs as opposed to debt or equity issues. Also China heavily regulates its banking sector, for example by limiting the number and locations where banks can open branches, similar to Japan in the 1970s and 1980s.
"The consolidation in the banking sector Japan saw in the 70s and 80s was mainly a result of stronger banks rescuing weaker ones so they could expand their network. It's possible this kind of move will happen in China," the source said.
On the surface, government relations between Tokyo and Beijing remain cool after Japan nationalized disputed islands in the East China Sea in 2012, which triggered anti-Japan protests in China and a boycott of Japanese goods.
But the sources say communication between the countries remained frequent, though often at low-key, private meetings.
"There's very frequent exchange of views. But it usually takes an informal setting because at times it's hard to meet publicly in big, public events," said one Japanese policymaker with knowledge of bilateral exchanges.
--Additional reporting by Kevin Yao in Beijing
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abc7fec0a4fc4b564f81c94d124d9e76 | https://www.cnbc.com/2015/03/08/the-surprising-trend-of-tech-stocks-and-dividends.html | The surprising trend of tech stocks and dividends | The surprising trend of tech stocks and dividends
Scott Mlyn | CNBC
Apple's market valuation and outsized earnings made it an inevitable choice to be added the .That the company is also one of the market's biggest potential dividend payers didn't hurt.
"Establishing a dividend puts you on a track to look and feel like a grown-up company," said Nicholas Colas, chief market strategist at Covergex.
"It is sort of like trading in your jeans and hoodie for khakis and a button-down shirt," he said. "You put it off for a while, but most people give in eventually."
In the early wave of the tech boom, not paying a dividend was a badge of honor. As Sun Microsystems co-founder Scott McNealy notes, 15 years ago companies and tech investors were purely focused on growth.
"We always had to reinvest in new tooling and new chip designs," he said. "Our product life cycles were a year and a half."
McNealy said that for the new wave of cloud-based tech companies—like his new social-media service firm Wayin—the costs of retooling tend to be lower.
"So, you tend to mint money," he said.
But it is the old-line tech firms, along with Apple, that are minting bigger dividends for investors.
VIDEO1:4601:46Comeback of buybacks and dividendsSquawk Box
Over the past three years, the tech sector has been the biggest contributor to dividend payouts in the , edging out financials. Tech accounts for nearly 15 percent, up from just 3.6 percent at the height of the tech bubble in 2000. Financials now account for 14.6 percent, down sharply from nearly 30 percent in 2007 before the end of the financial crisis.
Read MoreNasdaq 5,000: The cure or curse for biotech stocks
Still, Howard Silverblatt, senior index analyst at S&P Dow Jones Indices , thinks it's a stretch to say tech stocks are attractive to investors in search of safe haven with income.
"Few dividend people are buying tech or buying Apple for the dividend, even though they're paying more. Tech is a lot more volatile," he said.
Yet in an era when activist fund managers are pressing companies holding large amounts of cash to provide returns to shareholders, growth isn't enough for larger investors. And that's true for the tech-heavy Nasdaq, as well as the blue chips.
"They're looking and saying, 'We need to reward our shareholders in a variety of different ways. We want to appeal to a broad spectrum of shareholders,'" said John Jacobs, former executive vice president of Nasdaq, who helped launch the Nasdaq 100 exchange-traded fund, known as the PowerShares QQQ Trust, in 1999.
Now, half of the companies on the Nasdaq 100 pay dividends. Predictably, some of those firms with the highest yields aren't tech firms, such as Mattel, Wynn Resorts and Kraft. All three are also down for the year, but tech firms like Seagate Technology have established strong dividend growth track records.
The Nasdaq's dividend yield is about half what blue chip indexes pay. The Dow Jones Industrial Average and the S&P 500 pay roughly 2 percent, while the yield on the Nasdaq Composite and Nasdaq 100 are about 1 percent.
Top Nasdaq Dividend Yielders
Company Dividend Yield Mattel5.80%Vodafone5.20%Wynn Resorts4.30%Equinix3.90%Kraft3.50%Garmin3.80%Seagate Technology3.70%KLA-Tencor3.20%CA3.00%Paychex3.00%
"A German bund 30-year pays 1.0 percent. So you can buy the Nasdaq for the same yield as a German 30-year and get the same coupon," noted Covergex's Colas.
For plenty of fast-growing cash-producing firms like Google and Facebook—where billionaire CEO Mark Zuckerberg famously still wears hoodies—growth still trumps dividends with many investors.
Read More Why dividend stocks are still your best friend
Yet when it comes to growth, Apple is in a class by itself. Its record cash level could reach $200 billion this year, and large investors are pressing the tech giant to return a big chunk of it to investors.
"When the cash levels get enormous, the story changes," Colas said.
Analysts expect Apple will announce plans for returning cash to shareholders in April. If the company chooses to boost its dividend, it could be a help to the dividend yields of the Nasdaq 100, the S&P 500 and now the Dow as well.
But S&P's Silverblatt isn't so sure. Apple, like many firms, has committed more cash toward share buybacks than dividends. Longer-term, there's a big difference—like dating as opposed to getting married.
"A dividend is a cash flow commitment," he said, and violating that commitment can be exceedingly costly.
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fdbb9cbdabf47fd966335a63a590eb1c | https://www.cnbc.com/2015/03/09/is-the-dollar-losing-its-clout-among-ems.html | Is the dollar losing its clout among EMs? | Is the dollar losing its clout among EMs?
Adam Gault | Digital Vision | Getty Images
The greenback's dominance in the developing world may be under threat as more emerging economies begin to reduce their reliance on the global trade currency.
"Decreasing reliance on the dollar is an important trend that's going to grow," said Jim Rickards, chief global strategist at West Shore Funds. "As far as emerging markets, the rise of bilateral trading deals is significant for the dollar's future as a trade currency."
Around 80 percent of global trade finance is conducted in dollars, according to January data from SWIFT. But over the past few months, Russia and China have spearheaded a movement to use their domestic currencies for bilateral trade in an effort to distance themselves from dollar-denominated settlements. The countries recently signed a $24 billion three-year currency swaps agreement to double trading.
Meanwhile, Moscow and New Delhi may agree on a currency deal next year, Russian news agency TASS reported two weeks ago. Russia and Egypt are also considering a deal, according to Egyptian media reports last month.
It's not just trade; Russia and China are also taking the lead in a $100 billion currency reserve pool and New Development Bank for the BRICS (Brazil, Russia, India, China, South Africa) group.
Moscow announced a $2 billion commitment to the bank over the next seven years in February, while China's $41 billion contribution to the currency pool is the largest. The two projects, announced last year, were widely seen by economists as an alternative to Western dominance in international financial institutions.
Read MoreWith dollar at11-year high, here's what's next
Last week, Kazakhstan joined the group of countries turning their back on the U.S. dollar. The central bank announced a plan to decrease economy dollarization, reducing the use of dollars as it attempts to strengthen its national currency, the tenge.
The move followed calls by International Monetary Fund (IMF) deputy managing director Naoyuki Shinohara last month for emerging Asian economies to actively engage in de-dollarization.
VIDEO7:1207:12The victims of the surging US dollarFutures Now
"In some cases, high dollarization can facilitate trade. But there are drawbacks, such as limiting exchange rate flexibility to mitigate against external shocks, and constraining the central bank's ability to be the lender of last resort. Under such circumstances, consideration could be given to actively promote de-dollarization," he said.
As the dollar experiences decreased usage in global trade, China's is slowly climbing the ranks.
The yuan is now among the top ten currencies used in global trade, according to rankings by the Bank of International Settlements and SWIFT. Moreover, trading platform EBS told Reuters earlier this year that the yuan ended 2014 among its top five traded currencies.
Still, the greenback's status as a global reserve currency remains intact, experts say.
"The dollar is declining as a trade currency, but it remains strong as a reserve currency. Right now, it's around 61 percent of global reserves, versus 70 percent over a decade ago," said Rickards.
In the meantime, the euro's share has risen to around 25 percent from 18 percent when the currency was first introduced in 1999, according to the IMF.
Furthermore, major commodities are still priced in dollars; as long as that's in place, even if more countries start ditching the dollar for payments, it won't have a big impact on USD dominance, said Uwe Parpart, managing director and head of research at Reorient Financial Markets.
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8b46a6647cf9e12360c11302d680368d | https://www.cnbc.com/2015/03/09/pisani-remembers-haines-legendary-2009-call.html | Mark Haines' legendary 2009 call | Mark Haines' legendary 2009 call
VIDEO0:0000:00Mark Haines calls the bottom
"I'm going to step out on a limb here....I think we're at a bottom. I really do."—Mark Haines, March 10, 2009
The Haines Bottom. It's passed into legend now, and with the benefit of hindsight, plenty have claimed that there were obvious signs of bottoms forming at the time.
But not many were calling a bottom.
Oh sure, some noted that commodities were showing signs of a bottom. Others noted there was insider buying of big stocks, including General Electric (CNBC's parent at the time), Wells Fargo, and Bank of America.
In my Trader Talk note on March 10 of that year, I noted, "The markets are showing some signs of seller exhaustion."
But all that talk is a long way from calling a bottom.
It's hard to remember how dark and painful it was in those days. Many of us present (myself included) have tried to put it out of our memories.
Here's what it was like: we had dropped for three straight weeks and could not sustain a rally. Any move off the lows was met with selling. Retail investors continued to be huge sellers: TrimTabs estimated there was $30 billion in mutual fund withdrawals for the week ending Wed., March 4.
I noted at the time the problem for stocks was simple: you cannot have a stock price without an earnings target, and no one knew what the earnings target—or multiple—should be.
And so we kept dropping.
The intraday low for the S&P 500 came on Fri., March 6, and the number was widely noted: 666. Yikes! This, from its historic high of 1,576 on Oct. 11, 2007, a drop of roughly 57 percent.
In my Trader Talk blog that day, I noted, "Traders believe a rally is coming, but few are positioned to take advantage of it."
The problem was simple: we had already had a rally, and everyone got burned. From Nov. 20, 2008, to the close on Dec. 31, the S&P went from roughly 750 to 900...a 20 percent rally.
And it all faded away.
VIDEO1:3501:356 years since Haines bottom: PisaniClosing Bell
The S&P was down 7 percent the week ending March 6, the worst week since November 2008.
Mon., March 9 did not start out especially promising either. A major, $41 billion merger between Merck and Schering Plough that day was greeted with a yawn.
Yet, that Monday was the closing low for the markets: 676.53, but it wasn't obvious that this was a bottom.
That's why Mark's call on the following day was particularly gutsy.
"The key to me is the 200-day moving average of the Dow," Mark told his co-anchor, Erin Burnett. "We are now at 67 percent of the 200-day moving average. Now, it's gotten lower than that...but 67 percent of the 200-day moving average is a real nice place to get a bounce. So I think we're going to have a rally."
In his own folksy way, Mark had made a profound observation about the broad market: that even in times of great crisis, there is an eventual "reversion to the mean." By that I mean that when the S&P moves dramatically above or below key averages (he mentioned the 200 day moving average, but he could have also used the 50-day moving average), far outside normal historic values, the market usually turns around.
You could express this mathematically, using fancy terms like "standard deviation," but Mark wasn't that kind of guy. He simply noted that it was weird—really weird—that the S&P was so far away from its 200-day moving average.
And he was right. The market staged a broad rally that day: regional banks up 16 percent, home builders up 12 percent, REITs up 14 percent, oil service up 6 percent, semiconductors up 8 percent.
Volume was heavy.
"There we go. A man unafraid to make a call," Erin said to him.
The next day, March 11, the market was up again, its first two-day rally in almost a month.
And the bottom was in.
Thanks for the call, Mark.
(Haines passed away in May of 2011.)
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0d046d7cf885f1b1692d900e18904ad0 | https://www.cnbc.com/2015/03/09/strategists-see-the-bull-running-on-but-look-at-their-track-record.html | Strategists see bull running on, but look at their track record | Strategists see bull running on, but look at their track record
VIDEO2:3402:34Long-time bulls nervousClosing Bell
Stocks enter the seventh year of the bull market Tuesday with a roaring 207 percent gain, and strategists see more room to run.
Six years ago Monday, the S&P 500 hit a closing low of 676, after a brush with the frightening 666 level in the previous session. The index, at its trough, was down 57 percent from its October 2007 high.
It has since made up the ground it lost and broken into record territory, but the question is now whether those gains can continue, particularly as the Fed inches toward its first rate hike in coming months.
Stock market strategists are targeting a roughly 7.5 percent gain in the S&P 500 this year—in forecasts reported as of the end of 2014. Bespoke provided the 2015 estimate and also annual targets going back to the start of the current bull run, and it seems that the strategists got their year-end calls wrong by an average margin of 8.2 percent during those years.
Their worst performance was in 2013, when they expected a 7.4 percent gain, but got an increase of 29.6 percent, according to Bespoke and CNBC data. Of course, the dozen strategists can amend their forecasts as the year advances, and this analysis does not give them credit for changing their mind.
Read MoreWhy oil decline could get ugly again
Traders work on the floor of the New York Stock Exchange.Brendan McDermid | Reuters
Interestingly in 2009, Wall Street was expecting a big year even as the financial crisis was in full swing. The strategists projected a 16.9 percent gain, but got a 23.5 percent increase instead. Their best year was 2010, when the average forecast missed 2.7 percent of the move, and the S&P 500 gained 12.8 percent.
Michael O'Rourke, chief market strategist at Jones Trading, said he does not publish an S&P target, since a year away is too much of an educated guess. "The market's going to do what it's going to do. As investors, you look for risk versus opportunity," he said.
Read MoreEl-Erian: Here's the big problem for investors
O'Rourke also points out that the earnings estimates used by the strategists to crunch their year-end numbers are based on earnings that he says are lower quality because of all the corporate share buyback programs.
Bank of America Merrill Lynch analysts track the behavior of strategists in their "sell side indicator" and see a contrarian call in their forecasts. Since the 1980s, they have done a monthly survey of key equity strategists, asking them what their equity allocation would be in a balanced fund.
Currently, the strategists have stocks at 51 percent—a bullish sign. "Traditionally by the textbook definition, the historical benchmark allocation is 60 to 65 percent equities," said Jill Carey Hall, BofAML equity strategist.
"When everyone is bearish, that's been a good contrarian indicator in terms of a buy signal," she said.
Read MoreApple may sell 1 billion 'life-saving' watches
The best year recently for that indicator was 2013, the very same year the strategists were wrong about oversized market gains. Hall said other indicators that year were not showing the same bullishness for stocks that showed up in the "sell side indicator."
For the near term, traders are focused on the Fed meeting next week, and whether the central bank will tweak its statement to show it is closer to raising rates. They mostly expect the Fed to signal a pending rate hike by removing the word "patience" from its statement, a precursor to a rate hike which economists mostly expect to be in June or September.
O'Rourke said Tuesday could be a relatively quiet market day, but things should heat up as next week approaches. "As you get closer to the event, the market should have started expressing a little more concern about it, especially if removing the word 'patient' is likely," he said.
What to watch
Tuesdays data includes the NFIB small-business report at 9 a.m. ET, and the JOLTs survey on job openings and turnover and wholesale trade, both at 10 a.m.
Earnings are expected from Barnes & Noble and Surgical Care Affiliates before the bell. American Eagle Outfitters, Analogic, VeriFone and Habit Restaurants report after the closing bell.
After unveiling its iWatch Monday, Apple meets shareholders at its annual meeting at noon EDT in Cupertino, California.
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2ad7c67129ed2c3a5826dfb8c131226d | https://www.cnbc.com/2015/03/09/two-men-charged-over-boris-nemtsov-murder.html | Two men charged over Boris Nemtsov murder | Two men charged over Boris Nemtsov murder
Russian opposition politician Boris Nemtsov who waas murdered last monthOleg Nikishin | Epsilon | Getty Images
A Moscow court on Sunday charged two men with alleged involvement in the murder of opposition politician Boris Nemtsov and confirmed the arrest of three other suspects.
Zaur Dadayev, deputy commander of the "North" Battalion, a unit of the Chechen security services under the patronage of the Caucasus republic's leader Ramzan Kadyrov, had admitted his involvement in the crime, said Judge Natalia Mushnikova.
Anzor Gubashev, a cousin of Mr Dadayev, was also indicted but said he was not guilty.
The court said Mr Dadayev was to remain in custody until at least April 28. It also extended the detention of Mr Gubashev's brother Shagit Gubashev, Khamzat Bakhayev and Tamerlan Eskerkhanov until early May. All three men said they were innocent.
VIDEO2:4602:46Hopeful for normalized relations with Russia: Cyprus Fin MinSquawk Box Europe
Nemtsov, 55, was killed with several shots in the back and the head shortly before midnight on February 27 on a bridge just outside the Kremlin walls, according to the Federal Investigation Committee, Russia's top investigative unit which directly reports to president Vladimir Putin.
Mr Kadyrov late on Sunday appeared to throw his weight behind Mr Dadayev, calling him a "true patriot".
Mr Dadayev had been "one of the most fearless and courageous soldiers of the regiment," Mr Kadyrov wrote on his Instagram account. "If the court confirms his guilt, then, having killed a man, he committed a serious crime. But I want to mention again that he could not take one step against Russia, for whom he risked his own life for many years."
Read MoreRussia protests: What they could mean for Putin
The Chechen leader said he had asked his security council to look into why Mr Dadayev had been let go from the interior ministry's troops.
Mr Kadyrov also appeared to suggest that the Nemtsov murder could have been related to the opposition leader's criticism of the terrorist attack against Charlie Hebdo, the cartoon magazine, in Paris in January. "Anyone who knows Zaur will confirm that he is a deeply religious man and that he, like all Muslims, was shocked by the actions of Charlie [Hebdo] and comments in support of printing the cartoons," he wrote.
Immediately after the murder last week, the Federal Investigation Committee had named a potential link to Islamist terrorism as one direction of its probe.
In January, Nemtsov had criticised the attack against Charlie Hebdo, however without expressing support for the cartoons mocking Islam. He argued in a blog post that the attack was an example of "medieval" Islamic inquisition which people needed to stand up to. "Centuries will pass and Islam will grow up, and terrorism will be a thing of the past," he wrote. "But to sit and do nothing is not an option."
The rapid presentation of five suspects, all apparently from the restive North Caucasus region, and an alleged confession stirred a new wave of debate among government critics.
VIDEO2:2302:23Bullish on eastern Europe, Russia: Henkel CEOSquawk Box Europe
Some observers said the arrests were in line with the pattern of earlier political murders in Russia where men from Chechnya and other North Caucasus republics were found guilty of murder but the identity of those who had ordered the killings remained unknown.
"It is extremely important that the case is not limited to catching the shooters — whether they are the real killers or not," Ilya Yashin, a friend and political associate of Nemtsov's, wrote on his blog. "The key task is establishing and arresting those who gave the order."
The investigative committee said Mr Dadayev and Anzor Gubashev were accused of helping organise and executing the killing of Mr Nemtsov. Neither the investigators nor the procurator gave further details on how the defendants or the other suspects were alleged to have been involved in the crime.
Other observers noted that it was surprising the authorities had come up with an entire group of suspects after initially struggling to even find the getaway car.
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At the weekend, Russian media quoted investigators as saying that Mr Dadayev and Anzor Gubashev had been identified with the help of testimony from members of the security services who had witnessed the murder.
Earlier, it had been assumed that Anna Duritskaya, Nemtsov's Ukrainian girlfriend who according to the investigation was walking arm-in-arm with him when he was shot, was the only witness.
But this notion has been contested by many members of the opposition. Alexei Navalny, the anti-corruption blogger, has said it had to be assumed that Nemtsov, as a leading politician, was under constant surveillance from security officials, suggesting that the murder could only have happened with backing from the political leadership.
Zhanna Nemtsova, the murdered politician's daughter, has also pointed the finger at Mr Putin with the same argument.
Footage from a security camera on the other side of the bridge which Russian television stations said showed the moment of the murder appeared to reveal several people arriving on foot at the scene shortly after the murder.
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96266cc828043e810894eff41e7a15cc | https://www.cnbc.com/2015/03/09/uk-finally-finishes-paying-for-world-war-i.html | UK finally finishes paying for World War I | UK finally finishes paying for World War I
Almost 100 years after the debt was was issued, the U.K. government has finally finished paying for World War I.
On Monday the U.K. Treasury redeemed the outstanding £1.9 billion ($2.8 billion) of debt from the "War Loan", which was originally taken out in 1917 in order to finance the country' huge debts incurred in fighting the four-year war.
Read MoreWould you buy a bond that outlives you?
A boy donating money to the war effort through the Victory War Loan scheme.Topical Press Agency I Getty Images
Originally issued with a coupon of 5 percent, the bond was converted into a lower coupon issue of 3.5 percent in 1932, after the UK's debt mountain became unsustainably high. The Debt Management Office estimates that Britain has paid some £5.5 billion in total interest on the 5 percent and 3.5 percent war loans since 1917.
"In 1914, the national debt was £650 million, but by the end of the war it was around £7 billion and it was financed by bond issuance," said head of retail fixed income at M&G Investments, Jim Leaviss.
"Astonishingly, there are still 38,000 holders of war loan that have under £100 of bonds outstanding. So getting rid of it does tidy up the UK finances, but probably only saves the government around £15 million a year," he said.
The final redemption of the War Loan is part of a wider strategy initiated by the U.K. Chancellor of Exchequer, George Osborne, to get rid of all six undated or "perpetual" bonds without maturity dates in the U.K. government's bond portfolio.
When Osborne announced the move at the end of last year, he said the U.K. government would now be able to refinance this debt with new bonds, benefiting from today's very low interest rate environment.
Read MoreWhy UK has to make business borrowing easier
At the same time, the redemption demonstrated the current government's "fiscal credibility" and is a "good deal for this generation of taxpayers", Osborne said.
"I think it is a good deal for the tax payer. War Loan was a very expensive bond to have outstanding. Its yield was higher than other long-dated bonds that the UK could issue, partly because it wasn't very liquid," Leaviss said.
"On fiscal credibility, I think I could argue. After all since this government has come to power, the U.K. has lost its prized AAA rating. Its deficits have not improved by as much as that in the euro zone or in the U.S. and the government has missed its debt reduction targets as well," he added.
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ff87c7b59038cf18bf29bcf20a719c31 | https://www.cnbc.com/2015/03/09/us-crude-prices-to-drop-to-40-a-barrel-as-inventories-rise--goldman.html | US crude prices to drop to $40 a barrel as inventories rise - Goldman | US crude prices to drop to $40 a barrel as inventories rise - Goldman
VIDEO3:3103:31Huge downside risks remain in oil: ANZStreet Signs Asia
Oil prices will reverse their recent gains as global crude inventories begin to increase again, with U.S. crude likely to drop as far as $40 a barrel in the near-term, Goldman Sachs said.
between January and February on the back of Middle East supply disruptions, strong winter demand and high refinery margins. That followed a rout that had seen price falls of around 60 percent between June 2014 and January this year.
But Goldman said that "the activity pull is sequentially weakening" and that global crude inventories would therefore rise, pushing West Texas Intermediate (WTI) crude to $40 a barrel, levels last seen at the peak of the global financial crisis in late 2008, early 2009. It stood at around $49.40 on Monday.
"While we continue to forecast a strong demand recovery in 2015, we believe that sequentially weaker activity, the end of winter and the end of potential restocking demand, will lead to a sequential deceleration in demand-growth as we enter the spring," the bank said.
Goldman said that Brent prices would also come under renewed pressure.
"As a result and absent further unexpected OPEC disruptions, we expect Brent oil prices and timespreads to reverse their recent strength, although the lack of a meaningful build in the past few months leaves risk to our forecast for (WTI) oil prices remaining at $40/barrel for two quarters skewed to the upside," the bank said in a note dated March 8.
The bank said that it expected "OECD Asia demand to decline in 2015 as stronger industrial production is offset by the continued switch to LNG (liquefied natural gas) for power generation and the impending start-up of the two Sendai nuclear reactors in Japan".
A two-thirds drop in Asian LNG prices is making the fuel cost competitive against oil in the industrial power sector.
Read More Oil firms are swimming in data they don't use
In Japan, the regulator has given approval for several reactors to be restarted this year. All its 48 reactors were taken offline after the meltdowns at the Fukushima Daiichi plant following an earthquake and tsunami in 2011.
In the United States, Goldman said that "the build in U.S. inventories has surprised to the upside, especially in Cushing".
The bank said that its WTI price prices forecast of $65 a barrel for 2016 was "skewed to the downside" as currently idled assets could quickly be redeployed, especially as operating costs were falling.
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15ff37b15a216d50d298108e825e2c39 | https://www.cnbc.com/2015/03/09/why-oil-decline-could-get-ugly-again.html | Why oil decline could get ugly again | Why oil decline could get ugly again
VIDEO1:5801:58Futures Now: Will oil bounce back?Futures Now
Still drilling at four-decade highs, the U.S. oil industry could help drive another price collapse in crude this spring.
OPEC Secretary General Abdalla Salem el-Badri told a conference this past weekend that the cartel's policy has hurt the U.S. shale oil industry and triggered a global reduction in capital spending that could ultimately lead to a shortage—and higher prices.
The U.S. industry, however, has not slowed its high levels of oil production, despite OPEC's best efforts to curb drilling with lower prices. The U.S. has pumped more than 9 million barrels a day since early November, and last week it produced a multidecade high of 9.32 million barrels. Industry output has not been at such a level on a sustained basis since the 1970s.
Oil analysts say the strong production in the U.S. should ultimately wind down, as the output of some wells in operation declines and more wells are shut in. But for now, as seasonal factors like refinery maintenance affect demand, U.S. production could be a catalyst for even lower prices and a new bottom for crude.
"You could touch a surprisingly low price sometime in the next month or two," said Citigroup energy analyst Eric Lee. "As we get into summer, refineries come back from maintenance. Demand could pickup stronger than it was before the rig cuts and capex cuts, and globally there will be capex cuts starting to have an effect."
Lee and other analysts said West Texas Intermediate crude, at $50 per barrel Monday, could easily head toward $40 a barrel. The strong dollar is also a factor in oil's weakness.
"WTI could take another leg down," said Lee. "If there's enough distress, if imports into the U.S. don't budge, which they wont ... if exports don't rise quickly enough, which is a wild card, then producers at various locations need to shut in pipelines or run at low utilization so it doesn't come to Cushing."
Lee said if the market becomes very distressed, then the price could head to $40 per barrel and there is a chance it could see a price in the $20s before bouncing back to higher levels. West Texas Intermediate closed at a low of $44.53 per barrel Jan. 29, before moving higher during February.
Traders have been focused on the high level of oil storage capacity being used in the U.S., particularly at Cushing, Oklahoma, the storage hub for the benchmark West Texas Intermediate oil futures contract.
U.S. crude supplies are reported at their highest levels in 80 years, and analysts say as storage gets tight, prices for storage get higher, and that could result in more oil coming onto the market.
WTI was trading lower Tuesday, at $49.68, a decline of just over a half percent.
Cushing is the physical delivery point for the benchmark Nymex oil-futures contract, so futures prices are sensitive to supply levels there.
Andrew Lipow, president of Lipow Oil Associates, also expects to see $40 WTI before the shakeout is over.
"The catalyst is going to be over the next four to six weeks. We continue to build inventory here in the U.S. due to refinery maintenance, but as we exit the maintenance season, demand will pick up and we'll turn this crude into petroleum products," he said.
Lipow said he does not see a storage issue. "I think there's more space than people think. We could store well over 500 million barrels of crude oil," he said.
A slowdown in U.S. oil production should ultimately materialize but Lipow said it may not be as big a hit as expected.
"While the rig count would lead me to believe toward the third and fourth quarter, we'd see a slow down in production growth, we have companies saying they're moving their rigs toward the best locations and best prospects," he said. "It may turn out to surprise the industry and not be as low as expected."
Baker Hughes on Friday reported that the number of rigs exploring for oil and natural gas in the U.S. fell to 1,192, a decline of 75. That is down from 1,792 rigs a year ago.
Analysts say one wild card for oil is Iran, and if there is a nuclear deal it could boost prices as traders anticipate more oil on the market. Lee said, however, Iran's ability to produce more oil is limited and it would not be able to increase production quickly.
However, if there were a deal with the West to end its nuclear program, Iran could move oil that it may have in storage into market, spurring a temporary jump in prices.
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cdfa96f1d353d345d5aeb3babaaeddab | https://www.cnbc.com/2015/03/10/apples-researchkit-gamechanger-for-digital-health-care.html | Apple's ResearchKit: Gamechanger for digital health care? | Apple's ResearchKit: Gamechanger for digital health care?
VIDEO1:4601:46Integrating Apple Watch into US healthcareHealth and Science
VIDEO4:3404:34Game changer for health research
VIDEO4:0004:00Apple watch: hype or not?Mobile
VIDEO4:4204:42Hargreaves reacts to Apple Watch
Just as the launch of Apple's iPod and iTunes proved to be the tipping point in digital music, some are speculating that Apple's new platform for medical researchers and its Apple Watch,could do the same for digital, data-driven health care.
"They've got the size, the influence, and they're integrating across consumer digital health to medicine," said Paul Sonnier, a digital health advocate and consultant. "It's all about ecosystem building and bringing in the right partners."
Read MoreHow many 'life-saving' watches will Apple sell?
Apple announced Monday a new open-source platform called ResearchKit to help health researchers enlist and monitor research subjects through Apple devices.
"This is a new era," said Yvonne Chan, director of personalized medicine and digital health at the Icahn School of Medicine at Mount Sinai in New York. "This is really, truly revolutionizing the way clinical research could be done in the future."
Mount Sinai Hospital is one of five medical facilities that will conduct clinical trials using ResearchKit.
Read MoreApple must think beyond the watch
Mount Sinai researchers plan to use their Asthma Mobile Health study app to recruit a large number of asthma patients, who will then use the app to track their day-to-day symptoms and habits. The hope is that the real-time tracking will help the researchers and the patients understand what triggers attacks, and document what practices can maintain better health.
Apple Senior Vice President of Operations Jeff Williams announces ResearchKit on March 9, 2015 in San Francisco.Getty Images
"We can now access potential participants in all corners of the globe, as long as they have an iPhone and an Internet connection," she explained, following Apple's event Monday in San Francisco where ResearchKit was unveiled. "It's potentially the largest real-world epidemiological asthma study ever."
Health researchers are also curious to see how the Apple Watch can be used to help patients and doctors monitor health conditions. Already, some of the biggest names in health care have signed on to test it.
"Health care and the cost of treating preventable conditions is growing at an untenable rate. And this is going to be a powerful tool, I believe, to help address that," said Brian Carter, senior director of personal health at Cerner, one of the nation's leading electronic health record providers.
Read MoreApple Watch entry model starts at $349
Cerner is launching a pilot with some of its clients when the Apple Watch becomes available this spring to integrate data from the watch into health records and help providers monitor those patients in real time. The key is breaking out the information so that it's actionable.
"The thing that a lot of the care community is concerned about is … 'What am I going to do with all of this data that's coming at me?'" said Carter. "What's exciting for us is to show the applicability across … the different modes of engagement that health-care providers would use."
It's anyone's guess how popular the ResearchKit apps or the Apple Watch will prove to be. There are already plenty of competitors with various forms of health trackers, and starting at $349, the Apple Watch may be a pricey add-on to some consumers' phones.
But as it did with music and smartphones, Apple's big push into digital health care will likely serve as a rising tide that lifts many boats, said Sonnier.
"Just the massive awareness this brings to the ability of digital tools to foster better health," he said. "It's profound."
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36727cd98349c44ea32f037ff5016f6f | https://www.cnbc.com/2015/03/10/bullish-on-europe-dont-ignore-the-risks.html | Bullish on Europe? Don’t ignore the risks | Bullish on Europe? Don’t ignore the risks
VIDEO3:0703:07Markets aren't pricing in risks: ProSquawk Box Europe
Things are certainly looking up for Europe's economy and with hefty monetary stimulus it's no surprise that stock markets in the region are on a tear.
Yet for some strategists the level of complacency in markets is a source of worry and some major risks are being overlooked. These include the fallout from conflict in Ukraine and Greece, which is under intense pressure to find cash to meet looming debt-service payments.
Read More 'Wasting time': War of words over Greece heats up
"Ukraine is something that people are just not pricing into the markets. There are many worries that markets are just not pricing in at all -- Greece is another one," UBS Global Asset Allocation Strategist, Ramin Nakisa, told CNBC Europe's "Squawk Box" Tuesday.
"We're above our year-end target for the STOXX 600, which was 380, and markets are pricing in very little risk."
The DAX displayed on an electronic board at the Frankfurt Stock Exchange, Germany, on March 9, 2015.Martin Leissl | Bloomberg | Getty Images
The pan-European Euro Stoxx 600 index was trading at about 393.50 on Tuesday, hovering close to last week's peak which was its highest level since 2007.
The index has soared some 30 percent from a low in mid-October, as backdrop of quantitative easing (QE) from the European Central Bank, a weak euro and a drop in oil prices boosts the outlook for regional stock markets that have long lagged their U.S. peers.
According to Citigroup, European equities could surge as much as 70 percent by the end of 2016.
Read MoreStocks here may surge 70% by end-2016
"European markets have three major elements in their favour which will sail their ship in the coming quarter. Firstly, you have a lower euro, secondly falling oil prices and finally ECB QE. So the odds are really stacked in their corner and we think a 40 percent gain could be possible," Naeem Aslam, chief market analyst at AvaTrade, told CNBC.
"Yes, we have headwinds from Greece … Nevertheless, things are moving forward and we anticipate at the end of the day it will be all resolved," he added.
However Nakisa at UBS said that while "structurally" he was positive on European stock markets, current price levels did not reflect risk adequately.
"It's the complacency that worries me. Look at the options market – in the U.S. people are buying puts, they are starting to get nervous," he said. Those who purchase put options think the asset will go down in price.
"In Europe, we're not seeing that skew, we're not seeing that volatility that I think we should be seeing."
Michael Hewson, chief market analyst at CMC Markets in London, added that the euphoria over the introduction of monetary stimulus in the euro zone meant other factors were being overlooked.
"There is a perception that QE and a weak euro will cure all ills. We still don't know if Greece can be resolved and there are still concerns about the banking sector in Europe," he told CNBC.
"So while you could argue that European stocks could go higher, there is potential for a correction in the (German) Dax (index) and broader European stocks."
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45b818545880a12d24685a6f02ce6b5e | https://www.cnbc.com/2015/03/10/early-movers-qcom-cs-urbn-swks-twtr-pg-more.html | Early movers: QCOM, CS, URBN, SWKS, TWTR, PG & more | Early movers: QCOM, CS, URBN, SWKS, TWTR, PG & more
Getty Images
Check out which companies are making headlines before the bell:
Qualcomm—The chipmaker announced a 14-percent dividend hike to 48 cents per share as well as a $15 billion stock buyback program.
Credit Suisse—The bank has named Prudential PLC chief Tidjane Thiam as its new chief executive officer. His appointment will become effective at the end of June, when current CEO Brady Dougan will step down.
Hewlett-Packard—UBS upgraded HP to "buy" from "neutral," noting a recent pullback in the stock's price and CEO Meg Whitman's upgrade of the executive team.
Urban Outfitters—The apparel retailer reported quarterly profit of 60 cents per share, 2 cents above estimates, with revenue in line. Comparable store sales were up six percent for the quarter, better than the two percent reported for the full year. Urban's rise in comparable store sales was its first in a year.
United Continental—The airline reports passenger traffic was unchanged from a year ago in February, but capacity was lower, resulting in a higher "load factor."
Skyworks Solutions—Skyworks will join the S&P 500 after the closing of trading tomorrow. The semiconductor maker will replace PetSmart—which is being sold to private equity firm BC Partners—in the benchmark index.
PNC Bank—The bank has been ordered to pay $391 million in damages, related to an alleged insurance scam involving prepaid funeral contracts.
Procter & Gamble—P&G's Crest toothpaste division has been fined nearly $1 million in China for alleged false advertising.
FedEx—The delivery and logistics company will have to face claims related to alleged delivery of contraband cigarettes in New York State and New York City and depriving them of millions in tax revenue.
Zoetis—The stock is rising on speculation that investor Bill Ackman might press Valeant Pharmaceuticals to go after Zoetis, in which Ackman has a stake. That follows Monday's news that Ackman has purchased a $3.3 billion stake in Valeant, which he aided in its unsuccessful attempt to buy Allergan last year.
Supervalu—Deutsche Bank upgraded the supermarket operator to "buy" from "hold," calling it undervalued.
Twitter—The company has opened an office in Hong Kong, even as its services are blocked in mainland China.
Questions? Comments? Email us at marketinsider@cnbc.com
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c3885ecc4889e59807f4198683782ac0 | https://www.cnbc.com/2015/03/10/europe-seen-mixed-as-greece-tension-grows.html | European stocks finish sharply lower, Credit Suisse surges | European stocks finish sharply lower, Credit Suisse surges
VIDEO1:2101:21European stocks finish sharply lower, Credit Suisse surges
European equities extended losses to close sharply down on Tuesday, as the sell-off in U.S. stocks gained momentum, with investors spooked by the weakness in the price of oil, currency turmoil and ongoing negotiations surrounding Greece.
The pan-European Euro Stoxx 600 Index extended losses as the session progressed to finish 0.8 percent lower. The big corporate news of the day was that Credit Suisse Chief Executive Brady Dougan is stepping down, to be replaced by the head of Prudential, Tidjane Thiam.
Prudential shares slipped as much as 3.5 percent on the news, while Credit Suisse shares surged over 8 percent on anticipation of the new leadership team.
Elsewhere, the price of oil pushed lower on Tuesday and the energy sector was the worst performer across different sectors. Mining stocks also fell sharply dragging London's FTSE to close down over 2 percent.
Brent tumbled below $57 a barrel and crude fell below $49 a barrel. Oil exploration firm Tullow Oil sank to the bottom of the FTSE, closing down over 6 percent. The decline comes after Goldman Sachs said in a note Monday that it expected U.S. crude to drop as far as $40 a barrel in the near-term.
European sovereign bond yields also crunched lower during the session, further highlighting a flight to safety and the selling of riskier assets like stocks. The German DAX was down by over 1 percent by midday GMT, before reversing some losses.
U.S. stocks traded more than 1 percent lower on Tuesday, pressured by a surge in the dollar and some weakness in oil.
The U.S. dollar advanced nearly 1 percent to 12-year highs as the euro fell below $1.08 for the first time in eight years on the beginning of QE in the euro zone.
Elsewhere, Greece and experts from the troika of organizations that oversee the country's bailout – the European Commission, European Central Bank and the International Monetary Fund – will start detailed discussions on Greek reforms tied to its emergency financing on Wednesday, the head of the Eurogroup said.
"We've talked about this long enough now," Eurogroup president Jeroen Dijsselbloem said in Brussels on Monday following a meeting of finance ministers at which Greece's reform proposals and funding needs were discussed once again.
Referring to the four-month extension to Greece's bailout program, during which time it must reform in order to receive more aid, Dijsselbloem said: "We only have four months…Let's get it done." He also proposed the possibility of Greece receiving smaller chunks of funding as it makes reforms.
Greek stocks on the Athens index were one of the standout gainers on Tuesday with the bourse up 1 percent by early afternoon trading, before closing up 0.3 percent.
VIDEO2:4302:43Why you should be positive on RussiaSquawk Box Europe
In other news, Italy is in technical discussions with the European Commission over its plans to form a vehicle to help its banks offload soured loans, Economy Minister Pier Carlo Padoan said late Monday, Reuters reported.
In data releases Tuesday, France's industrial output numbers rose again in January, with an increase of 0.4 percent. Italy's figures posted a sharp fall which dampened recovery hopes for the country.
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b64620e93dbddec5459d2e687a1d1f23 | https://www.cnbc.com/2015/03/10/heres-what-to-buy-on-markets-latest-fed-tantrum.html | Here’s what to buy on market’s latest Fed tantrum | Here’s what to buy on market’s latest Fed tantrum
Ben Bernanke and Janet Yellen during a Fed meeting in December 2013.Andrew Harrer | Bloomberg | Getty Images
Remember the infamous "taper tantrum" of 2013? You should, because that's what the market is going through right now, and the same stocks that outperformed then should do well now.
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601e16550ed561ee27ab31dd7d528822 | https://www.cnbc.com/2015/03/10/job-openings-up-slightly-in-january.html | Job openings up slightly in January | Job openings up slightly in January
A worker removes bolts from a concrete form at Doty & Sons Concrete Products in Sycamore, Illinois.Daniel Acker | Bloomberg | Getty Images
There were 5 million job openings in January, the highest level of open positions since January 2001, according to data released Tuesday by the U.S. Bureau of Labor Statistics.
That was up slightly from 4.9 million openings reported in December.
Job openings have increased over the past year, with most showing up in professional and business services, health care, and food services industries. There was a decline in openings in the mining and logging industries.
The number of actual hires was 5 million, down from the previous month. Most of the hiring decrease was seen in construction and in the Northeast region, pointing at weather as a possible culprit.
Click here to see how the markets are reacting.
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4faae5bc2d60f44f0f53f0b1270bdafc | https://www.cnbc.com/2015/03/10/small-tax-filing-mistakes-that-can-cost-you-big.html | Small tax filing mistakes that can cost you big | Small tax filing mistakes that can cost you big
VIDEO1:3501:353 tax tips for millennialsTaxes
It's that time of year again. No, I'm not talking about March Madness. I'm talking about taxes. The April 15 deadline is fast approaching and, if you're like most Americans, you haven't filed your taxes yet. But don't put it off too long. One common error many young filers make is missing the deadline.
"A big mistake is that ... millennials say, 'Oh, April 15—they don't really mean that'," said Annette Nellen, certified public accountant and professor of accounting and finance at San Jose State University. "No they really mean it. You can get extensions to file, but not to pay."
Even if you ask for and get an extension, you need to file a form requesting it by the deadline. And if you're granted an extension of time to file your return, that doesn't mean you have an extension of time to pay whatever you owe in taxes. You can still get hit with a failure-to-pay penalty. "Those deadlines are serious," said Nellen.
Here are other common and potentially costly errors people make, and how you can avoid them.
Read More Breaking bad... millennial money habits
Some of the most frequently made errors, tax preparers say, are the result of simple typos and mistakes in math calculations. One way to help prevent calculation errors is to file electronically.
"If you e-file, it is also a quicker way to get a refund and to get it processed," said Nellen, who sees everyone moving to electronic filing at some point. According to the Internal Revenue Service, at least 70 percent of taxpayers already prefer filing electronically over snail mail. You can use a tax e-filing product like Turbotax or, if you made less than $60,000 in 2014, you can use the IRS's free file program.
But it's still important to double check each field to make sure the information you entered is correct. At the least, minor errors can result in delays in getting a refund. But they can also up your chances of an audit or, in the worst case, cost you money in penalties.
Read More Stop making these mistakes on your tax return
When it comes to paying Uncle Sam, everyone wants to know what's deductible. One big deduction that many millennials can take: student loan interest. If you don't itemize your expenses and your income falls within certain limits, you can deduct up to $2,500 on the interest you paid on your student loans in 2014.
Other deductions are less obvious. If you relocated for a new job or if you were transferred to a new location and your employer didn't cover your moving costs, for example, those costs are deductible. Start shouting "show me the money!" because you can lower your taxable income by thousands of dollars if you deduct moving expenses like the cost of moving your furniture and traveling to the new location. Just note that in order to write off your move, your new workplace must be at least 50 miles farther from your old home and you must work full time.
If you are itemizing your deductions or your situation is complex—say, you have a couple different jobs, freelance, or live in one state but work in another—it may make sense to get an accountant to ensure you don't miss out on potential deductions, said Larry Luxenberg, a certified financial planner at Lexington Avenue Capital Management in New York.
Nellen also recommends reviewing the Pub 17 tax guide on the IRS website so that you don't miss out on money or set yourself up to get audited because of simple mistakes.
Read MoreWorried about an audit? No need, if you do this
Once you complete your filing, the fun part begins if you're owed a refund… free money! But experts say don't treat it that way. "With tax refunds, the average amount for millennials in the U.S. is about $3,000," said personal bankruptcy lawyer William Waldner of Midtown Bankruptcy in New York. "It's human nature for people to want to go out and have fun with this money."
But financial advisors caution against that. Luxenberg suggests the best way to use that refund is to treat it the same as a paycheck and use it to pay down debt or bulk up savings. "It's a matter of priority," he explained. "Build up your emergency fund, pay down high-cost debt, then start saving and investing."
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a02c0f58b7338c3368f4a7af841ab0c6 | https://www.cnbc.com/2015/03/10/these-stocks-have-gained-1000-during-bull-run.html | These stocks have gained 1,000%+ during bull run | These stocks have gained 1,000%+ during bull run
VIDEO4:3204:32Down day on the StreetPower Lunch
Since the darkest days of the financial crisis, stocks have been on an almost unconstrained tear to the top.
The Nasdaq has soared 285 percent, the is up nearly 210 percent and the Dow industrials have surged 172 percent since the market bottomed on March 9, 2009. That was when it looked like the world was ending and the stock market was little more than a black hole that countless dupes had shoveled money into.
Since then, markets have rallied for a number of reasons, not the least being the Federal Reserve's willingness to push nearly $4 trillion of liquidity into the markets and keep interest rates near zero as part of an easy monetary policy on a level never seen in the U.S.
Gaudy as the numbers sound for the major indexes, some individual stocks have done even better.
Some 32 stocks in the S&P 500 and another 13 in the Nasdaq have been what legendary investor Peter Lynch dubbed "ten baggers," or investments that increased by 10 times their value, or 1,000 percent, during the six-year bull market recovery, according to numbers from Bespoke Investment Group and FactSet.
(No, Apple hasn't been one of them. The tech giant during the period gained 952 percent as of midday trading Tuesday.)
The companies range from old-line firms like CBS to surprises such as Sirius XM, which had been trading at 12 cents a share back in late 2008.
No Dow 30 company made the cut, though many have turned in outsized performances. American Express is up 657 percent, Walt Disney has climbed 575 percent and United Health has surged 544 percent.
A look at the "ten baggers" from the S&P 500 and Nasdaq, which on Tuesday marked the 15-year anniversary of its historic peak:
S&P 500's Top 10 '10-Baggers'
Company Rise in % since 3/9/09 General Growth10,116Regneron3,332United Rentals2,904Wyndham Worldwide2,817Under Armour2,329L Brands1,878CBS1,850Seagate Technology1,667Gannett1,679Priceline1,422
Nasdaq's Top 10 '10-Baggers'
Company Rise in % since 3/9/09 Regneron Pharmaceuticals3,322Sirius XM2,482Seagate Technology1,667Liberty Interactive1,445Priceline1,422Keurig1,394Baidu1,255Alexion1,050Tractor Supply1,049Netflix1,032
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3b8c674ecf51dc0d59f431157f5860cc | https://www.cnbc.com/2015/03/10/us-small-business-confidence-ticks-up-in-february.html | US small business confidence ticks up in February | US small business confidence ticks up in February
Geri Lavrov | Getty Images
U.S. small business optimism edged up in February amid signs of tightening labor market conditions, bolstering the view that a recent slowdown in economic activity will be temporary.
The National Federation of Independent Business said on Tuesday its Small Business Optimism Index gained 0.1 point to 98 last month, the third highest reading since early 2007.
The survey of 716 small business owners found 29 percent could not fill open positions, the highest level since April, 2006. Fourteen percent of them cited the shortage of skilled labor as their top problem, the highest since September, 2007.
"There are fundamental domestic economic currents leading owners to add workers and these should bubble up in the official statistics and support stronger growth in domestic output," said William Dunkelberg, chief economist at the NFIB.
The government reported on Friday that nonfarm payrolls increased 295,000 in February, marking the 12th straight month of job gains above 200,000, which is the longest such stretch since 1994.
Economic growth in recent months has been chilled by harsh winter weather as well as a now-settled labor dispute at West Coast ports and softer growth in Asia and Europe.
First-quarter growth estimates for the U.S. economy are currently running below a 2 percent annualized pace.
The NFIB survey found a modest increase in the number of small businesses increasing inventories, a good omen for growth. Businesses were slightly downbeat on prospects for the next six months and the outlook for sales.
There was little change in business owners' perceptions of earnings and expansion plans.
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c53b7d18ef92b08c9623d1314f84804a | https://www.cnbc.com/2015/03/10/why-we-need-a-global-wealth-tax-piketty.html | Why we need a global wealth tax: Piketty | Why we need a global wealth tax: Piketty
VIDEO3:4303:43Market forces cannot solve every problem: PickettyClosing Bell
A global wealth tax and not a consumption tax is the way to go when it comes to fixing wealth inequality around the world, French economist and author Thomas Piketty told CNBC on Tuesday.
Piketty, who laid out that vision in his book "Capital in the Twenty-First Century," said it isn't good for the economy when the largest multinational corporations pay a lower effective tax rate than small- and medium-sized businesses.
"The middle class feels that they are paying more than the very rich. This is not good because at some point later on down the road if you want support for globalization, it's important that broad groups in the population feel that they are benefiting from it," he said in an interview with "Closing Bell."
Read More New poll on wealth, taxes doesn't tell whole story
Piketty went on to say that there needs to be more global cooperation between countries about cross-border financial assets so that there is an equitable tax system that allows governments to invest in infrastructure and education.
He also told CNBC that billionaire Bill Gates said to him: "'I love your book. I care a lot about inequality but I don't want to pay more taxes.'"
Gates, who gives a lot of his fortune to charity, instead favors a progressive tax on high consumption instead of net wealth, Piketty said he told him.
Read More Bill Gates top giver in 2014
However, Piketty thinks there are too many limitations surrounding what defines consumption.
"A progressive tax on net wealth is better than a progressive tax on consumption because first, net wealth is better defined for very wealthy individuals and consumption ... is difficult to define," he said. "This is a better indicator of the ability of very wealthy individuals to contribute to the common good."
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309a550c5f59792f73a2fea7252876d4 | https://www.cnbc.com/2015/03/11/alibaba-joins-uk-lenders-to-offer-loans-to-businesses.html | Alibaba is helping businesses get loans | Alibaba is helping businesses get loans
Chinese e-commerce giant Alibaba has struck a deal with two U.K. start-ups to provide money to small and medium British businesses. The surprising move is designed to help British companies buy supplies from sellers on the Chinese platform.
Alibaba.com hosts Chinese wholesalers selling supplies and products to business across the world. An SME can buy the inventory they need from China no matter where they are in the world – but some struggle to afford it.
To help businesses overcome this issue, Alibaba has partnered with U.K. alternative lenders ezbob and iwoca. They will provide short-term working capital to small and medium sized enterprises (SMEs) and the deal highlights Alibaba's attempts to make further inroads in the European market.
Alibaba Group signage at the New York Stock Exchange during IPO, September 19, 2014.Adam Jeffery | CNBC
The partnership means that when a U.K. buyer wants to buy products through Alibaba.com, it can apply for a line of credit. If approved, the funding would be provided by iwoca and ezbob directly to the Alibaba supplier.
The U.K. is one of the most important markets for the New York-listed Alibaba and the partnership will give the company a stronger foothold among the country's businesses.
"Finance is one of the key issues that we find… SMEs are concerned about. That is why we think this is the key area where we can bring value to business," Wei Duan, Alibaba.com's European marketing and business development director, told CNBC.
Alibaba has struck a similar deal with LendingClub in the U.S., and Duan said the company is looking to form partnerships in other European countries, with talks "in the pipeline."
U.K. SMEs can apply for up to £50,000 for up to 6 months with iwoca. The monthly interest rate is 1.5 percent to 2 percent, CEO Christophe Rieche told CNBC, adding that he is aiming to lend £100 million in a year.
"There are hundreds of thousands of small business importing, with the majority importing from China. The target market is massive us," Rieche said in a phone interview.
Through ezbob, customers can borrow between £50,000 and £120,000 for up to 15 months. Its interest rate ranges between 0.75 percent and 2 percent a month.
The company's COO said there was a large market of British businesses buying through China which ezbob can help finance.
"Is there a market? Hell yeah, and I think with their convenience and simplicity of Alibaba it will help fuel that growth in the economy," Russell Gould, COO of ezbob, told CNBC by phone.
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45aeefd3c816212310034fc37a296fd5 | https://www.cnbc.com/2015/03/11/companies-cash-in-on-common-core-despite-controversy.html | Companies cash in on Common Core despite controversy | Companies cash in on Common Core despite controversy
Student Allison Ramirez asks for help in a fourth-grade math class at Piney Branch Elementary School in Takoma Park, Md., where teachers are training themselves to teach students in a new style of learning math to prepare them for more rigorous education standards under Common Core.Linda Davidson | The Washington Post | Getty Images
The controversy over Common Core hasn't stopped companies from cashing in on the education standards program.
States have already awarded hundreds of millions of dollars in Common Core-related contracts to businesses including Pearson, McGraw-Hill Education CTB, Houghton Mifflin Harcourt and Apple since 2012. And, despite some legal challenges and boycotts, more contracts potentially worth billions of dollars for testing, instructional materials and teacher training are on the way.
"Common Core has clearly been an important market for the large education companies," said Paul Irby, a market analyst with business intelligence firm Onvia.
Common Core's contract winners
Rank Vendor Project awards 2010-2014 1Pearson272Houghton Mifflin Harcourt203Staff Development Workshops164Scholastic 145Catapult Learning116McGraw-Hill97Pivot Learning Partners98AP Ventures89Action Learning Systems710Solution Tree7
Until a few years ago, the educational effort known formally as Common Core State Standards seemed like a benign push to make sure American public school students were competitive in English and math. Shaped by bipartisan governors and education leaders, the benchmarks were adopted voluntarily in 45 states.
But Common Core has fast become controversial as school districts started awarding large contracts to companies and testing students on the standards. Students have boycotted initial exams this year in New Mexico and New Jersey, claiming the tests weren't a good measure of their knowledge.
The standards have become a political issue, forcing likely presidential candidates Jeb Bush and Chris Christie to defend previous support for what some conservatives call government overreach. Large teachers unions that once backed the effort have now reversed their position.
And more drama is all but certain as additional schools attempt to implement Common Core using taxpayer-funded education budgets.
Read MoreParents, legislators push back against Common Core
Despite the squabbling, significant cash has already been spent.
An important chunk of early funding—$360 million—came from the U.S. Department of Education through a program called Race to the Top. The initiative is a competitive grant program designed to "encourage and reward states that are creating the conditions for education innovation and reform," according to its materials.
That federal funding went to two large groups of states that banded together to save money: the Smarter Balanced Assessment Consortium and Partnership for Assessment of Readiness for College and Careers, or PARCC.
Those groups in turn shelled out the money to vendors to develop Common Core testing and related materials for their members. The most money went to Apollo Global Management-owned McGraw-Hill ($72.5 million from Smarter Balanced), U.K.-based Pearson ($63 million from PARCC) and nonprofit Educational Testing Services ($42 million combined from both groups), according to numbers compiled by Education Week
Precise figures combining related contracts from all states are difficult to tabulate as the contracts have variable costs. But it's likely that there will be billions of dollars in additional money being spent in coming years as Common Core is fully implemented.
The Thomas B. Fordham Institute estimated in May 2012 that Common Core implementation could cost schools between $3 billion and $12.1 billion nationally depending on various implantation approaches, not including technology improvements. Those numbers represent budget increases of between 1 and 3 percent for kindergarten through 12th grade.
Some 72 percent of school districts planned to buy new Common Core-related instructional materials for 2014 and 2015, according to April 2014 research conducted by educational market research firm MDR. That's higher than creating new materials from internal resources (69 percent) or using free materials from PARCC and Smarter Balanced (62 percent).
Read More
Common Core is seen as a major growth driver for Pearson, for example.
Philip Gorham, a senior equity analyst at Morningstar, estimates that Common Core-related business will be one of two reasons for more than 3 percent growth for the U.K.-based company over 2015.
Pearson did not respond to a request for comment. But a company website notes its deep involvement: "Pearson's close association with key authors and architects of the Common Core State Standards ensures that the spirit and pedagogical approach of the initiative is embodied in our professional development."
Other key multiyear testing contracts Pearson has signed related to Common Core include up to $108 million from New Jersey and $59 million from Maryland.
Sample large Common Core contracts
Purchaser Company Amount (millions, rounded) Description FloridaAmerican Institutes for Research (non-profit)$220 Testing servicesNew JerseyPearson$108 Testing servicesTennesseeMeasurement Inc.$108 Testing servicesMarylandPearson$60 Testing servicesSmarter Balanced consortiumMcGraw-Hill Education CTB$54 Testing servicesLos AngelesApple$30 Technology (iPads)PARCC consortiumPearson$26 Testing services
Pearson's largest Common Core contract shows the potential trouble around securing such business.
New Mexico, acting as a bidder on behalf of PARCC, gave a contract to Pearson last year that could be worth up to $1 billion given the potential for other states in the consortium to copy it. But the deal is being challenged in court by a competitor, nonprofit American Institutes for Research, which said the bidding process was rigged by state officials for Pearson. A spokesman for New Mexico's education department has called AIR's allegations "frivolous," according to The Wall Street Journal. A ruling is expected in several weeks.
Pearson also has run into problems in Mississippi. The state was part of the PARCC consortium and was set to use Pearson tests along with others, but Mississippi's contract review board rejected use of the contract given Pearson being the sole bidder. The state pulled out of the PARCC consortium but its education board was still able to approve an emergency one-year, $8 million contract to Pearson for Common Core tests.
Read More
VIDEO2:2802:28Clinton vs. Bush likely candidates in White House raceSquawk Box
While educational giants like Pearson have scored the largest contracts, many are less lucrative and have gone to various smaller companies given a median value for all contracts of $35,205, according to Onvia research.
"There are considerable opportunities for small businesses," Irby wrote in a report last year on Common Core contracting opportunities. "As values rise the picture changes, and agencies increasingly favor the large or more well-known and established vendors."
Also, contractors winning some of the largest clients are nonprofits. They include Educational Testing Services, known for the GRE and TOEFL exams, and Achieve, which helped create Common Core starting in 2008 with funding from the foundations of Bill & Melinda Gates, IBM, JPMorgan, Microsoft and others.
ETS, for example, got $32 million for both item development and meeting coordination from PARCC; and two contracts worth a combined $9.1 million from Smarter Balanced for test administration and psychological measurement, according to the Education Week tally.
"As the largest and most experienced nonprofit test developer in the world, it is understandable they would utilize ETS in this effort," ETS' director of external relations, Tom Ewing, said in an email. "The hope is that the ones who really benefit from Common Core are the students, teachers and administrators."
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c2f77abb4cff65968332ab7e55c781cf | https://www.cnbc.com/2015/03/11/glaxosmithklines-big-bet-on-electroceuticals.html | GlaxoSmithKline's big bet on electroceuticals | GlaxoSmithKline's big bet on electroceuticals
A few years ago, Moncef Slaoui, then GlaxoSmithKline's head of research, challenged his team to come up with a new pillar of medicine.
The British drugmaker already makes traditional small-molecule pills and biologic therapies made with living cells, and it sells vaccines and consumer products. One area not yet tapped by medicine? The electrical signals that govern many of the functions in our bodies.
Read MoreWhat!?! Specialty drug spending jumps 31%
By better understanding our bodies' electrical systems, GSK hopes to design technology small and smart enough to manipulate them and possibly conquer diseases from rheumatoid arthritis to asthma to diabetes.
"If we look 10 years out, we should have a number of tiny devices—we call them bioelectronic medicines, because they are medicines—that will be treating conditions we use molecular medicines for today," Kris Famm, head of GSK's bioelectronics research and development unit, said in a telephone interview. "We are quite convinced this can be a class of new therapies."
The technology GSK envisions, which is also known as electroceuticals, would involve implanting tiny devices on nerve bundles associated with specific organ functions. Its broadest applications are still years from the market, but Famm said he thinks the biology is becoming well-enough understood that the challenge becomes one of engineering: being able to miniaturize electronic devices enough to very specifically stimulate certain nerves, and do so in an autonomous way, detecting and reacting to problems in the body. The approach should be so specific it avoids the off-target side effects that can derail otherwise promising medicines, he said.
Pgiam | E+ | Getty Images
GSK has invested $50 million in its venture arm to go to start-ups in bioelectronics, and has forged 40 research collaborations with universities and companies, Famm said. It's also started a $1 million contest for bioelectronics research, with the prize going to scientists who create an implantable device "that can read and write the body's electrical language."
Read MoreDepression's hit to economy growing
Of course, the idea of using implantable electronic devices isn't totally novel, said Kip Ludwig, program director of neural engineering at the National Institutes of Health. The pacemaker is an obvious early example, though GSK's Famm points out it stimulates the heart muscle, rather than nerves.
"The idea's been around since the late 1800s," Ludwig said. "They're already here. They've already, in many cases, shown clinical efficacy in blinded, randomized, sham-controlled studies, and gotten FDA approval."
He cited a technology made by EnteroMedics, approved by the Food and Drug Administration in January for treatment of obesity. The company calls it the Maestro System, and says it's a "pacemaker-like device" implanted to block signals along the nerves connecting the brain and stomach, helping people feel less hungry.
In a clinical trial, patients with the technology lost about 10 percent of their total body weight after 18 months, compared with 4 percent total body weight loss for those in a control arm, EnteroMedics reported in December 2013.
Ludwig also cited cochlear implants for hearing and deep brain stimulation for Parkinson's disease as other examples.
"But we actually know relatively little about the biology of how these work, which means they can get a lot better," Ludwig said. "They're devices, and right now surgical procedures have risks associated with them, but you can easily see these devices getting really small and really smart."
VIDEO3:3103:31US specialty drug spending trends in 2015Squawk Box
That's GSK's goal, and recent years have seen an increased focus on the area from other sources than the British drugmaker. The NIH has dedicated about $250 million in funding to map the neural circuitry of our organs to better understand how it might be targeted to treat disease; the program is called SPARC, for Stimulating Peripheral Activity to Relieve Conditions.
At GSK, Famm compares the potential of bioelectronics in medicine to what Apple did for telephones.
Read MoreAmazon-like reviews for prescriptions
"With the risk of sounding a bit too bullish here, what we're trying to do is basically redefine neuromodulation," he said. "When Apple decided mobile phones existed but the potential of them hasn't really been tapped, obviously the iPhone did just that. I think we have the same underlying potential ... it could be a revolution."
Investors and analysts say GSK needs a boost. Jefferies analyst Jeffrey Holford named the British drugmaker one of his least preferred global pharma stocks in a research note Tuesday, citing a "lack of catalysts and guidance for 2015."
"GSK is one of the last pharmas to really announce its strategy," said Les Funtleyder, portfolio manager with E Squared Asset Management. The company's stock has declined 18 percent in the last 12 months, compared with an increase of 9.6 percent for the , as prices for its asthma drugs came under pressure in the U.S. and Europe.
"Of course that said, if they want to be the guys to do cool projects or develop very game-change products, that could be their strategy," Funtleyder said. "This is very interesting."
GSK's Slaoui, now chairman of global vaccines and a member of the drugmaker's board, is known for thinking differently.
"Moncef has always been someone who can think out-of-the-box and see the value at the nexus of disciplines," Stelios Papadopoulos, chairman of biotechnology companies Biogen Idec, Exelixis and Regulus Therapeutics, wrote in an email. "I have followed with interest the field of electroceuticals since he and his colleagues at GSK described their ideas in Nature in April 2013 and I think their ideas are very exciting."
It could be a decade before many bioelectronic medicines are in use, Famm said. And much of the technology still needs to be worked out, including power sources, according to Ludwig—who envisions wirelessly rechargeable batteries that can last 10 to 20 years.
"It's very early," Funtleyder said. "But if these guys don't take a chance on moonshots, we're never going to get anywhere."
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f502bd520c416119263c5083712dec10 | https://www.cnbc.com/2015/03/11/oil-heading-to-20-expert.html | VIDEO3:4803:48Why oil is going to $20: Global proFast Money
A strengthening dollar and economic weakness in Europe and China could drive crude prices as low as $20 per barrel, according to Raoul Pal of The Global Macro Investor newsletter.
The dollar has been climbing recently against the euro and the yen, pushing oil prices lower and sending fear across the markets. He said crude could still fall another 60 percent before the downturn is done.
Pal said the strengthening dollar is a big part of why oil could continue to drop. "If we look back historically at how these big dollar bull markets go, I think it's going to go, using the (dollar index), at least to 125, maybe even further," he said in an interview Tuesday on CNBC's "Fast Money."
Historically the price of oil moves inversely to the strength of the dollar.
According to Pal, that relationship, along with weak demand in Europe and China, has led oil companies to put crude into storage in hopes of waiting out the downturn in prices. Crude stores in America are filling "at an incredible rate" and could be full by summer, he said, which could lead to even more dire consequences.
"Any oil that is then brought out of the ground will either have to be sold into the normal market, which will be at much cheaper prices, or they're going to have to shut down production," he said. "I think that shutdown of production is something that people haven't really thought through yet."
Pal said the impact of a large-scale production shutdown could have severe ripple effects across the industry.
"It's a classic boom-bust cycle unfortunately. So much money has piled into the oil patch over the last five, six, seven years, and much of that money is going to get destroyed."
Pal said falling crude prices could potentially even push the U.S. into a recession by the end of 2015.
"With the oil patch being so lackluster ... there's a probability that the U.S. goes into recession this year alone."
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816a258a08badd04a8eb9ba20af24f00 | https://www.cnbc.com/2015/03/11/russia-and-ukraine-pressure-points-loom.html | Russia and Ukraine: Pressure points loom | Russia and Ukraine: Pressure points loom
Ukrainian soldiers drive in the direction of the embattled town of Debaltseve on February 16, 2015 in Artemivsk, Ukraine.Getty Images
The battle to shape Ukraine and Russia's future is far from over, with further key events expected later this week.
"This crisis still does not show much evidence of moderating, just moving into new and different phases," according to Timothy Ash, head of emerging markets research at Standard Bank.
Here, we take a look at what's driving events forward.
There have been ominous signals of future military activity, with more Russian troops and military equipment crossing Ukraine's border, according to the U.S., and the arrival of additional NATO tanks in the Baltics. This comes ahead of Friday's deadline for Ukraine's parliament to grant separatist-held areas a special status under the Minsk ceasefire agreement.
Andrey Kostin, chief executive of VTB, Russia's second-largest bank, told CNBC the low oil price, sanctions imposed on the country following its incursions into Crimea, and the structure of Russia's economy were to blame for its economic problems.
VIDEO1:3801:38Russia business conditions better than 2008: VTB CEOSquawk Box Europe
The country reported inflation of 16.7 percent in February and is expected to fall into recession this year.
"I don't feel the situation is as bad as in 2008. My major problem is the high interest rate," Andrey Kostin, chief executive of VTB, Russia's second-largest bank, told CNBC.
Russia's key interest rate is currently at 15 percent, and Kostin called for "at least" a 100-basis-point cut soon.
Analysts at both Barclays and HSBC forecast a 100 basis point cut at the next meeting of the central bank on Friday, despite little sign that inflation is slowing.
Russia's economic crisis 'will end Putin regime'
"Funding has become very expensive. If the central bank managed to bring the interest rate down, it would improve the situation, but it will take some time (to bring down the rate)," Kostin added.
However, he said the number of Russian companies defaulting will be relatively low, owing to government support.
Russia protests: What they could mean for Putin
Despite the falling oil price, which should be an incentive to cut production, Russian crude oil exports are expected to rise this year, Russian Energy Minister Alexander Novak said Wednesday morning.
"I met a number of leading Russian oil people and they were talking about possible agreements with non-OPEC countries and reducing oil production, so this contradicts that a little bit," Kostin said.
Questions remain whether this will add to pressure on the Russian government to reduce activity, or give it more incentive to act aggressively.
The International Monetary Fund (IMF) board Wednesday signed off on a $17.5 billion extended fund facility (EFF) to help prop up Ukraine's struggling economy. This is part of a total support package which is expected to reach $40 billion over the next four years, if the Ukrainian government is successful in its reform plans. However, with two of its regions still economically crippled by conflict, these may be difficult to follow through.
- By CNBC's Catherine Boyle
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853b5a1aca3740456ad9fece302ac225 | https://www.cnbc.com/2015/03/12/-bitcoin-wont-go-away-anytime-soon.html | This is why bitcoin won’t go away anytime soon | This is why bitcoin won’t go away anytime soon
Source: Coinbase
China's craze for bitcoins has been well-documented over the past year, but a new report highlights just how dominant of a player the country is.
About 80 percent of bitcoin volume is now driven by the , according to data from Goldman Sachs. The U.S. dollar is the second most used currency for transactions, followed by the euro, the bank said in a new report.
The bank's findings correlate with data from Bitcoinity, a popular website used to track market data. A look at trading volume over the past six months reveals China's yuan accounted for 77 percent of total market share, compared with 19 percent for the greenback and just 1 percent for the euro.
China's high trading activity comes despite recent moves by the People's Bank of China (PBoC) to clamp down on the crypto-currency. The central bank banned financial institutions from bitcoin trading in December after warning that the currency was essentially a vehicle for speculation. Earlier in 2014, the PBoC also took measures to prevent bitcoin companies from gaining access to payment processors.
However, Goldman Sachs believes the mood is gradually improving: "However, in light of a somewhat stabilizing Bitcoin economy in China, a few payment processors have reemerged, such as BTC China's JustPay."
Bitcoin's future in China is expected to keep expanding as the country becomes a major mining hub, according to a U.S.-China Economic and Security Review Commission report last year.
Read MoreFeds auction $13.5M worth of Silk Road bitcoins
The mainland boasts an enormous online gaming community, where games like World of Warcraft allow players to trade virtual credits earned in the game for cash or real goods and services. The practice is called "gold farming" and can be seen as a precursor to bitcoin mining, the report said.
VIDEO1:4101:41Bitcoin is here to stay: AuthorsClosing Bell
"One prominent figure in Beijing's Bitcoin circles estimated that China's miners, composed mainly of hardware engineers and IT aficionados, number in the tens of thousands."
Goldman Sachs expects global bitcoin acceptance to continue growing thanks to the currency's potential for transforming the remittance market.
"Bitcoin and other crypto currencies enable the potential for faster transactions with lower transaction fees. The Bitcoin network can charge as little as zero for processing transactions if there is no time constraint for confirmation."
Moreover, concerns over fluctuations in bitcoin prices won't apply to money transfers due to the speed of the transactions and the fact that customers are given rates in advance, Goldman added.
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ab0c175e02c29e81b1ec0a05d37783b1 | https://www.cnbc.com/2015/03/12/dark-side-of-nd-oil-boom-sex-trafficking.html | Dark side of ND oil boom: Sex trafficking | Dark side of ND oil boom: Sex trafficking
VIDEO4:2604:26Oil patch sex trade an 'infestation'Closing Bell
Windie Lazenko is on a crusade to end sex trafficking in North Dakota.
While it's an issue that's been around the United States for a while, it's become an "infestation" in the Bakken region after the oil boom, she told CNBC on Thursday.
"The conditions of the oil field have invited an increase in the reality of trafficking there," Lazenko said in an interview with "Closing Bell."
Windie Lazenko, with the anti-trafficking group 4her North Dakota, stands for a photo in Williston, N.D., Dec. 16, 2014.Eric Gay | AP Photo
The activist was once a victim herself. As a 13-year-old runaway, Lazenko said she was sold for sex. Now she's channeling her energies into helping others. She founded 4her North Dakota, which provides care to sex trafficking victims, and is trying to raise funds for a shelter.
"Awareness has been one of the biggest challenges," she said.
Sen. Heidi Heitkamp, D-N.D., agreed that trafficking is an "epidemic" in the region. She's been an advocate on the issue and has co-sponsored legislation that focuses on protecting runaway and homeless youth.
"We know that those children are the most likely to be victimized, the most likely to be sold into this lifestyle," Heitkamp told "Closing Bell."
"Those people who think this is willing buyer, willing seller, another iteration of prostitution are wrong. These are children—the average age is 13 in this country."
Read MoreHomeless teens at greater risk of sex trafficking
Sex trafficking has become more ingrained in the U.S. and more difficult to fight, she added. While it is a global phenomenon, she pointed out that 83 percent of all victims in the U.S. are Americans.
It is also connected with drug crimes, gunrunning and other crimes, Heitkamp noted.
"These are organized crime rings that are engaged in a lot of very horrible activities for our society," she said. "This is only one part of it but it is the most heinous and hideous victimization we can have in our country."
The senator also believes adult women need help with finding a safe harbor, expunging records, paying off student loans and finding jobs.
Recently, two bipartisan bills on human and sex trafficking were passed by the Senate Judiciary Committee.
The Stop Exploitation Through Trafficking Act provides support to victims and the Justice for Victims of Trafficking Act would help increase law enforcement resources, improve victim services and strengthen penalties against perpetrators. Heitkamp said she worked on and supported both bills.
Read MoreThai vigilantes take up fight against human trafficking
Meanwhile, Lazenko is concentrating on North Dakota despite the collapse in oil prices.
"Right now we're going to remain with our focus on North Dakota because we don't know if this dip in the oil prices is going to stick and so we don't want to make any rush decisions," she said.
Once Lazenko's established a solid program in the state, however, she hopes to duplicate her efforts in other oil boom towns.
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