Mario draghi hinted that largescale quantitative easing may be the way because of the risk of deflation. Bond yields are falling in italy and spain as a result. Former new york governor mario cuomo died yesterday of heart failure. He was 82 years old. He was elected governor three times and he had a memorable speech at the 1984 democratic and that this convention and many thought of him and higher office. Many believe the wagon train will not make it to the frontier unless some of the old, some of the young, some of the week are left behind by the side of the trail. From that, he was considered a likely president ial candidate twice but decided against running. Once he declined a plane took him to New Hampshire to take into the New Hampshire primary. Bad weather is slowing down the search for wreckage embodies in the air asia crash. Search crews in the java sea are using sonar and ping locators to find the blackbox and flight recorders and 30 bodies have been found so far. For the second year in a row, pimcos biggest mutual fund trailed the majority of its peers. The fund returned at 7. 4 of her missing a rally in long return bonds and guessing incorrectly that inflation would rise. Bill gross quit the fund but promised it would do better last year. It will be our gun versus ohio state in the First College football playoff final. Ohio state earned his ticket with a surprise win over alabama in the sugar bowl. In the rose bowl, oregon pounded florida state. The championship game is january 12 in arlington, texas. The euro is way down, falling t in thinking that mario draghi will do quantitative easing but equities are set to start the year on a positive note. It was a pretty strong 2014, stronger than what many strategists had expected. December was a downer. Let me kick it off with the managing editor of bloomberg markets. Here we go the euro is interesting as its falling after Mario Draghis comments. Everyone expects the ecb will do some sort of sovereign qe. Will it do anything . That is the big question. No one really has any idea. Everyone thought they would do something this past year. They will do something and expand the mushy but will there be any effect . Bond yields are already incredibly low in the euro zone. The euro zone broken and has problems and distinct ways and its not clear that the ecb has the tools at its disposal to solve the problem. They will clearly try more and mario draghi will purchase more assets but one of the Big Questions this year will be will it have any effect . As we saw with quantitative easing in the u. S. With the fed, it made giuseppe asset prices . It may but asset prices and much of the u. S. Has not been that bad despite the bad economy. Maybe there is so some hope that the weakened euro will help exports. I think the expectation is that will only move the needle so much. What you want to see is accelerating bank lending and credit begin to flow. It seems like there are so many structural issues that remain in the eurozone. In the u. S. , strategists last year were saying not to expect that many gains. They say we might see singledigit gains and we were up 11 . What are strategists saying for this year . There are basically no bears. Most people are expecting further gains. The other interesting thing the real surprise of 2014 yes, the stock market exceeded optimistic expectations but the real shocker was how good bonds did. Almost no one going to 2014 predicted a huge stock rally in a huge bond rally. The predictions for this year our stock rally but bonds are expected to fall again. Which is the same prediction that bond strategists have been making for years. Nobody is predicting a big stock rally and a huge bond rally again. Surprisingly, the big bond rally did not really help pimco at all. It helped them a little bit but they were still not able to outpace their peers. Will the fed really raise Interest Rates this year . They might and it still might not help the long end of the curve. You still might not bonds could still rally. 2014 was a year in which the market brought forward us expectation of when the first rate hike would be. There was no selloff in bond so maybe the fed will raise rates late in 2015. But thats no guarantee that the 10 year will sell off. We are living at amazing times, thank you so much. Joe will join us later because i note you will defend your big call in 20 15 where you say wage pressures are finally going to pick up . Yes. Moving and shaking this hour, economist and bestselling author Thomas Picketty says france should focus on reviving Economic Growth instead of handing people like him awards. He urges progressive taxes to reduce income inequality. In corporate news, new years eve marked the biggest uber night ever are did it deter customers from riding . They have not released released official stats but we crunched some numbers to find out what went down on new years eve for uber . The early reports suggest that may have been a sleepy new years for uber. I took one this morning and my driver said it was kind of a boring night. If new years eve is their biggest day of the year as they say, it it was still there biggest day ever and that just because of the Companies Share growth. At the beginning of last year they were operating in 56 state to cities across 29 countries and were valued at three pint . 5 billion. They are now into under 66 studies across 53 countries and valued at more than 40 billion. It was a massive year for uber. Because of the additional markets they are in four times as many markets and we can assume that even if it was not as big as they thought, people thought this might be the 100 million mark for uber even if it wasnt, it was there biggest night ever. So what is in store for 2015 four uber . They need to address their Corporate Culture issues. They have had setbacks in the last year. They also have legal battles to fight from stockholm to the rest of the world involve licensing and purse permitting issues and they are being sued for a lack of transparency regarding driver background checks so they need to be more transparent. The big thing everyone is excited about is a possible idea. Some investors say if they continue to grow at their pace they have an growing, this could be a 100 billion ipo. That is twice as big as alibaba. Nobody knows of that will happen this year but thats one thing topping everyones wish list for 2015. Im sure bankers are lining up for that, thank you so much. Speaking of the new year, its time to break out resolutions and predictions for the coming 12 months and we have a handful of bloomberg regulars to put their money out there. I say oil will not go down to 40 per barrel. I would say the first consideration is money. I think european fixed income is where the opportunity is. If you are a contrarian investor, you have to have gots. If you hedge the yen, that might be an interesting place to be. Emerging markets look like they will have slow growth but they are the bargain area now. Real estate prices in the global gateway cities in the u. S. Will continue to increase. The residential marketplace in new york city may change itself and face increases. In the m a market, it will probably be a record year. I think the United States will still be the safest place to put your money. This is where i put my money. There you go much more ahead when it comes to burgers, mcdonalds will have will let you have your way and they are trying to reverse falling sales as it gears up for a pretty big 2015. Remembering mario cuomo, we will talk with congressman Charlie Rangel about the former new york governor who away yesterday at the age of 82. Youre watching in the loop. 2015 could be a big year for mcdonalds as ceo don thompson tries to turn around declining sales in the companies fake food image. There was a quiet opening of it store in australia. The restaurant chain is going to be doing a lot of experimenting. The corner is part of mcdonalds Customer Learning Lab. 10 of them are planned to open this year. We have the professor of marketing at the university of pennsylvania and joins us now with more. I dont know if you heard about this socalled restaurant called the corner but nary a big mac can be found at a restaurant like this. Its about healthy food and as guest spot show and organic products. It has gazpacho. Mcdonalds is been trying to get healthier for years, right . They have an good morning. Good morning. What do you think of a Customer Learning Lab like this . I think its a great idea. With what we see happening online with these Companies Selling things online they are constantly doing experiments. My understanding is that amazon does experiments all the time. When you are not online and you are a regular store like mcdonalds they need to have some way to experiment. They have historically tried experimenting before they introduced the mcrib and other menu items but its a great idea for them to do. They are trying to drive home the point that they have got real food on their menu. Last year, in late fall, they put out this myth busters social Media Campaign where they wanted to we will show you the campaign they wanted to answer questions that viewers at that customers had about whether the beef was real or the chicken was real. What to do think of that campaign . They are constantly under attack because they are as big as they are. They are a likely target. They had to try to address that. To some degree, it almost raises questions by being so out there and many people had not certain set heard some of those myths and they are propagating that to some degree themselves. Im not a big fan of the campaign but its good to do that online answer those questions but i dont know they need to be spreading the word either. What do you think they should be doing . One of the things that is interesting is you mentioned that they are going out and trying to do healthier food. They have been on that campaign for a while and its really difficult to change a brands image. Mcdonalds is so well locked in and it will be hard for people to view them in a different way. They have introduced salads and tried to come up with no trans fats with their french fries but they will remain the target of not healthy food almost in part because they are a fast food restaurant. The association of fast food makes image hard to change. There is lots of chatter about mcdonalds even getting rid of its tagline although the company has said they are not the im lovinit which worked for a while but they could possibly change it. They have denied it. The tagline might be changed tolovin beats hatin. I think companies go through this major effort of changing their tagline or logo and it does not have much of an impact. Starbucks had a big thing about taking coffee off of their logo. We still think of starbucks as coffee. It is not nearly have the impact that they would hope. I am not bullish and what the impact would be. Its kind of like windowdressing. The other part of their Marketing Strategy early in the year is going to be finally putting a Super Bowl Ad on for the first time. Does that have any impact . Super bowl ads have an impact because they have tremendous reach. Its not just on the super bowl but for the day after and the week after. You will have to have a pretty dramatic ad. If you just go on and have another mcdonalds ad and nothing that will get much notice or attention it will not have much of an impact other than once again, we hear the mcdonalds name out there. I know doritos was very successful with their campaign on the super bowl. Some companies have been but there is also companies that have totally failed so it would depend on the execution of the ad. Thank you so much for joining us. It was the worst year ever for automobile recalls and it ended in an appropriate manner for general motors. A bad year for google glass . Why they may be a fad since time has passed. It seems like is not cool anymore. Ah, got it. These wifi hotspots we get with our Xfinity Internet Service are all over the place. Hey you can stop looking. I found one. See . What do you think a wifi hotspot smells like . Im thinking roast beef. Want to get lunch . Get the fastest wifi hotspots and more coverage on the go than any other provider. Xfinity, the future of awesome. You are watching in the loop. Good morning. General motors has cap to the worst year ever for recalls by recalling 92000 additional suvs and trucks. The vehicles may have faulty ignition switches. Gm notified the government of the recall last week in the Auto Industry recalled more than six 3 million vehicles last year. Sony is expanding the number of ways you can watch the movie the interview. Starting today, 580 theaters will show the film come almost twice as many as before plus more payperview outlets. Dish network is signing on to show it as well. Kkr cashed in one walgreens completed its takeover of elians foods elians alliance foods. They will end up with billions of dollars in cash and stock. It is 26 minutes past the hour which means we are on the markets. Equity futures are building on some of the gains we saw last year. The s p 500 is up over 11 and we are getting isn numbers at 10 00 a. M. Eastern. December was a bit of a downer with declines a shaving off some of the rally we saw last year. We are on the markets again in 30 minutes. There is a bold prediction byebye to google glass bread last year, they were everywhere and now google has shut down its physical glass stores and people are the writing deriding them and even sergei brin was caught without them at a red carpet event. Gregg harper the president of parkervision associates, was one of the first new yorkers to own google glass. He is to come in our show wearing them. I cannot help but notice no more. What happened . I found people were in comfortable were uncomfortable when i walked in wearing them. I had it for quite a while and every day i walked down the street, people would ask me what its like. It was a conversation starter. About eight months ago, people started saying i dont know and people were feeling uncomfortable when i walked into meetings. This is the case that it comes in. You cannot put this in your pocket. But you are supposed to wear it all the time. But it makes people uncomfortable. What was it that made people uncomfortable . They thought i was recording everything. They thought i was posting to the web. You can tell that happening because it lights up but people dont know that. I explain that to everybody. I would be in a meeting with a vendor and they were a little unsure. Is this the end of google glass . This was always a prototype. Is 1700. The concept of wearables on your head for augmented reality is taking off. These areepsons version which has a cable and a processor but this means it has longer battery life but this can be used for practical applications. One of the things i saw in this is the use for general aviation pilots. Show these two sidebyside. This one folds up. This one is kind of ugly. You would never wear this in public but if you are fine flying an airplane, its fabulous. If youre working on a car engine you need help from the factory, this is great. Why couldnt google be the same way . Thats an augmented display is not the full thing that this overlays your complete vision. For example, for private aviation violets, theres a program they are testing with the faa. When you are flying a plane youre looking at instruments. You cannot see them. On the other hand, this will overlay completely and you can see the markers and directions and all the rest and it is total vision. As you turn your head, it will display that as well. Its hard to say this is the end of google glass. You will probably see a professional version of this. You will be at ces next week and you are excited about was to come but this is not the end of wearables . Not at all especially with the apple watch coming out. There will be gazillions of them. There will be at least 400 vendors doing wearables and that data will come in with sensors and go into the cloud and get process and give you results. Lets show the survey. Of the apple iphone users. Over 60 say they are not going to buy the apple watch. Because many people dont wear watches anymore. A wearable does not have to be a display device. It could track calories or youre walking or track your activity and heart rate. You dont necessarily have to have it at his as a device you wear. You have a nice display on your phone. I am not convinced yet. Lets move on to the other gadgets the bmw i3 has an active assist part of their features. You can park this car remotely or through your smart watch. What about that . I have always joked that the ces is the Car Electronics show. The key speaker on the first night is daimler and the second night will be forward. Youve got a lot of the automotive guys getting involved. The car has smarts and they are realizing that people are bringing their devices into cars so they are interfacing the Car Electronics with the phones to make it a more productive product. They look at Navigation Systems and self parking. The question is whether Consumers Want this. I have a bmw and it has a lot of these capabilities. I have the chance to customize my the factory. It really is quite helpful. Why carry my keys with me . Thank you so much and great to see you. Much more i hadnt a big moment in the jobs market happened yesterday, 29 states plus d. C. Raise their minimum wages. Will this be the start of wageinflation . 3. The minimum wage rose yesterday in about 20 additional state which brings the total to 29 states and washington, d. C. That will have minimum wages above the federal level of 7. 25. Peter coy joins us to discuss the impact. What about the other states, when will they raise their wages . And what will happen with the federal government. Federal minimum wage has been since 2009, 7. 25 per hour and present obama wants to go to 10. 10 and the propose that last your. It seems there is only a remote chance of that happening especially now that the republicans are taking control of the senate. If its going to happen, its going to happen its going to happen at the state and the music and a municipality level. Some are going into the mid teens so we are very far from seven dollars 25 per hour. What is the Economic Impact . Will this cost jobs . It cuts both ways. It puts more money into peoples pocke