With sue at the new york stock exchange. Hi sue. Hi,ty. And an accelerated slide in oil prices dragging stocks lower right now. The dow is down about 97 points on the trading day. As you mentioned, Goldman Sachs u. S. Equities strategy david costen explains why he thinks there could be an equity pullback next month. When we look at the data that has come out, we have for the last five weeks, the long positions are at an extreme. One of the highest extremes weve seen in a long time. And therefore, that would suggest that the u. S. Equity market is likely to experience a pullback some time in the next four to six weeks. And that would be pretty consistent with the magnitude of an extreme reading we see in the Commodities Futures Trading Corporation data. So, is mr. Kostin right . Lets bring in jeff hussey global chief Investment Officer at russell investments. Jim, ill start with you. What do you think of mr. Kostins comments . Do you think indeed we see that extreme in the commodity futures and does that or tend a big pullback in equities . Well sue, our shortest time horizon for investment is 12 months. So we dont spend a lot of time trying to make 12week predictions. Having said that weve been in a period without a lot of volatility. You typically have a 5 correction every 3 1 2 months. So if history repeats itself that would tell you march april time frame, we could have a pullback. Be very typical of that. Jeff do you agree with that . And what do you think of the volatility that has suddenly returned to the market after such a long long period of time, when we didnt have much volatility . We would agree with that. In fact, right now, our portfolios are generally neutral. Were expecting a bit of a pullback as well and looking to get a little bit more constructive on equities. You have seen it in highyield names, the energy names cams out today that the pricing reflects a 6 default rate within the energy sector. So i would say that prices are starting to reflect it. Were looking for a little bit of a bottom and obviously some clarity with the ecb this month, with fed this month, and greece elections and a couple other key points over the month here. All right. Jim, tell me what you want to do in this market if volatility is back, do you still overweight u. S. Equities or look elsewhere . We are, sue. We think that the u. S. Is the best position in the last quarter, weve moved some of our recommended taxable weighting back to the u. S. From europe japan, and the emerging markets. So we are not as positioned for risk as we were a year ago, but still overweight the u. S. Overweight u. S. High yield, and Underweight International and emerging market equities. Jeff, you know everybodys talking about the benefits of these Lower Oil Prices but there are some out there who are saying it looks a little bit deflationary. Do you worry about that or agree with that . Sure we do worry about it. On net, it could be a zero sum game for the world. But obviously, there are winners and losers within that. And we saw payrolls obviously, people are concerned about average hourly earnings. Well be looking at employment cost index near the end of the month here and some other dpaunlggauges to make sure its good disinflation as opposed to bad disinflation. Thank you, gentleman. We have some breaking news right now. Lets go to Rick Santelli in chicago because its an auction week. We start out with the threeyear note. We do and its an early one, because settlements is the 15th. To 24 billion threeyear notes auctioned off minutes ago. The yield, 0. 926, which is well below where the wi was trading, 0. 935, trading 93. 5 basis points. We give this one an a minus. Not only was the priceing aggressive, but 3. 33 of investor money chasing every dollars worth of the securities available. 3. 33 is better than the ten auction average of 3. 28. 45. 8 on indirect best since june of 2010. The only light accounting for that minus and the a minus, directs at 14. 8 were a little bit light. But a great way to start off the auction. Of course, tomorrow well be looking at 21 billion tens versus wednesdays 13 billion 30s. Tyler, back to you. All right, rick thank you very much. Oil continues to plummet. 5 1 2year lows yet again, we keep saying it. Goldman sachs now slashing its threeyear forecast, get this to 41 a barrel. Were not far above it right now, but goldman says west texas crude will near to stay near 40 for most of the first half of the year before shale investment in the u. S. Is cut and the market rebalances supply and demand. Lets go to Dominique Chu now for a quick market flash. So tyler, the energy right now, the weakest sector overall in the s p 500. Its down over 10 over just the past three months here. You can see, they are down about 2 3 4 of a percent today. Leading the way, new exploration, denbury resources, noble energy all moving to the downside. A very tough day and this has been a slide that started way back in june of last year. Back over to you. Dominick, thank you very much. Staying with energy chesapeake shares taking a hit today, this despite an upgrade from Goldman Sachs. There you see the shares down about 50 cent or a little more than 2. 5 . Goldman raising the oil and nat gas company from buy to neutral with new management there. Chesapeake shares down about 8. 5 so far in 2015. Meantime stocks of course also a bit of a bumpy start so far this year but the utility average, its the only one in the green of the major indexes for 2015. And the index is up nearly 30 from 2014. There you see it. Up, as uhyou see, 30. 25. How much higher can these stocks go . Can utilities pull off another big year . Morgan brennans here and have been looking into it. What have you got . Just to go off of what you said, take a look these are the gains for the dow utilities in 2014. Vastly outperformed the dow industrials and the s p 500. So far this year were also seeing outperformance relative to the broader markets. But the question now, utilities, will they be the darlings of 2015 . To answer that lets first look at why utilities have rallied. So these are incomeproducing safe haven stocks that in many cases have very limited exposure overseas. And those high dividends means they benefit from low treasury yields. You can see that inverse relationship right there in this chart. With the tenyear note yielding about 10 , these stocks are very attractive. And as long as the u. S. Economy keeps gaining steam, utilities could benefit. However, many experts do think that utilities could be near the end of their run. So Morgan Stanley just downgraded regulated utilities to cautious this morning. And with the fed funds rate expected to begin rising midyear, that could pressure this sector as well. Plus many of these stocks are starting to look expensive, or at least fairly valued especially wlu take the streets expectation for First Quarter earnings decline into account. That said, are there still names to check out . Yes, there are. So here are some of them. Youve got pg e is one name to check out. Its gotten two analyst upgrades in just the past week. Another one to check out is dynegy and next era energy. Both of these stocks according to fact set, have a price target that implies a 30 upside over the next 12 months. Also, nrg, which just got an upgrade from credit suisse. These are a few of the names to potentially check out, no matter what the utilities do. Thank you morgan very much. Lets go to washington now. Eamon javers now with an update on a story he brought us a few minutes ago. More breaking news. Thats right, sue. Were monitor right now an apparent hacking attack against the centcom twitter presence, thats the official twitter presence of central command. The u. S. Combatant command thats responsible for middle east as well as other parts of the world. That twitter handle has apparently been hacked by isis or isis supporters or isis wannabes. It has been spewing isis propaganda here now for a little while, including some documents that give the indication or appearance of being internal documents. Not clear if they are internal documents at all or simply things that were available on the web for whoever this hacker is to scoop up and use as part of this that might have been in the Public Domain from think tanks. And were also learning that the Centcom Youtube channel has also hacked by this apparently same group of hackers, also putting up some isisrelated propaganda and videos all of that now an embarrassing pr problem for the pentagon and for central demandcommand. Not clear if theres any significant damage as a result of this hacking attack right now, but something were monitoring and something the pentagons monitoring as well. You know eamon, the timing of this, though is so interesting, because this comes at the time when the Cybersecurity Conference is going on and president obama has some initiatives out on that and hes going to be speaking. You just got to wonder whether this was coordinated or aimed at this particular event. Yeah obviously, all of these are hugely sensitive issues sue. We saw the president speaking at the federal trade commission earlier today talking about cybersecurity and some of the things the federal government can do to protect peoples identity online let alone centcom. Obviously, what we saw in paris last week and over the weekend with islamicrelated terrorism and isisrelated terrorist attacks there, this is such a sensitive topic around the world right now. And then not to mention, the sony hack and the damage that was done to a u. S. Economy or a u. S. Subsidiary of a company in that attack. All of these, very sensitive issues domestically internationally, and for corporate america. Thank you so much eamon, appreciate it. The worlds biggest automakers in detroit, a lot of them are making news. Gm making a bigger bet on electric. Theyre unveiling a new allelectric concept car called the volt. Our phil lebeau spoke exclusively about Ceo Mary Barra about gms push into electric. This is an area that we place high priority on. Well continue to do so and well put all of General Motors innovative thinking and expertise into it to make sure we lead. Can you make 30,000 stick . You know its a concept vehicle, but if its going to fit the equation that customers are looking for, yes, thats what were going to do. Reporter and how much of the 200milerange, do you look in the future and say, we can extend it even further, where for right now, thats as comfortable as your engineers are. Well, again, were continually working. We have a great battery partners, lg being one of them. Well continue to look and advance the technology. I think youll see with both the volt and concept vehicle and the new volt weve really added a lot of Technical Expertise and development. So well continue to do that. And gms move comes as prices at the pump continue to drop. The average price for a gallon of gas in the u. S. Now stands at 2. 16. Meantime, Brian Sullivan is on his way to western canada now to report on how this oil shock is impacting the Energy Industry up there, an area that you probably know provides a good chunk of fuel to the u. S. So watch for that wednesday on cnbc. So lets head back out to phil at the auto show in detroit. Hes joined by the head of volkswagen america, first on cnbc. Over to you, phil. Reporter thank you very much, sue. Im joined by michael horn. And right behind us is the car of the year, which for a lot of people, the significance of that cannot be overstated, correct, with the golf . We are really excited. And after golf has been introduced middle of last year with the gti, weve won already ten great accolades including motor car of the year and now north american car of the year here at the detroit motor show is the icing on the cake and we are really excited and its great proof that were in the right way. Lets talk about sales. Because Everybody Knows that youve had a rough year. Sales down 10 in a market where sales have been up. Have you bottomed out, though . Have you looked at it and said we can build from here . If you look at the market and say its a predominantly suv and pickup sector not so much sedans, but the last three months, were up 5 . Thats the telling story that with the introduction of the golf as well as the general facelift to the jetta, we are now back on the right track. Meanwhile, you talk about demand for suvs surging in the u. S. You will have the crosscut gte built in chattanooga, which will be coming to the market late next year. By then do you think you can still make a sizable dent within that suv market here in the u. S. . I think with the next suv generations, plural reporter not just the one youre in . Its the midsized suv threerow, which we will build in chattanooga, the crossfit gte is another derivative, a possibility, tworow capacity which we think about doing later in the life cycle, but also exciting news is that the next compact suv, also threerow. The tiguan successor will be build to the north american market. Can you still hit a million for 2015 for Volkswagen Group here north america . Im confident we will. Michael horn ceo of volkswagen here in the u. S. Where they win car of the year with the golf and introduce an suv that will be coming here late next year. Tyler, back to you. Phil, thank you very much. Many parts of the u. S. Getting slammed with some very rough winter weather. Severe in some parts. So how bad might it get . Plus watching the major Agricultural Commodities today is jane wells in los angeles. Jane . Tyler, it is a big report, it has already had a big impact on some commodities, but i want to know when can i afford more steak . Well answer that question when we come back. Your old 401k is rolled over into a Td Ameritrade ira. Yes so no set up fees wooh yeah so i get help from rollover consultants . Wooh yes no rollover hassle. Great. Woah oh, were spiking things, robbie. For all the confidence you need. Thats better Td Ameritrade. You got this. These ally bank ira cds really do sound like a sure thing but im a bit skeptical of sure things. Whys that . Look what daddys got. Ahhhhhhhhhh growth you can count on from the bank where no branches equals great rates. [cheering] everything okay . Were here because youre about to have a heart attack. Petes heart attack didnt come with a warning. Today his doctor has him on a bayer aspirin regimen to help reduce the risk of another one. If youve had a heart attack be sure to talk to your doctor before you begin an aspirin regimen. Welcome back to power lunch. Check out shares of american airlines. The stock has moved lower about 4. 5 after the carrier reported a decline in revenue per available passenger, research per mile in december. Thats a key industry measure of traffic overall for airlines. American shares again, down by about 4 now. It is, though up about 70 over the course of the past year so sue, down daytoday but still Falling Oil Prices helping some of those airlines out. Back over to you. And falling temperatures next on the list. Much of the northeast and the midwest hit by some nasty weather this morning. This video coming in from western michigan where they got pounded with snow and wind and cold. And todays forecast calls for more snow and temperature in the teens. Upstate new york seeing tough conditions as well. Crews on the road struggling to keep up with heavy snow. Authorities are urging drivers to stay off the roads unless they absolutely have to travel. That is nasty, ty. It really is. We had icing out where i live this morning. Very slick and slippery on sidewalks and roads there. We are keeping a close eye, meantime, on some of the major Agricultural Commodities. Corn and Soybean Prices under pressure on the back of the latest u. S. Crop report. Jane wells is out in los angeles, following the details for us. Hi, jane. Reporter hi, tyler. Weathers beautiful out here just saying. Id sum up the report today with corn soybeans and wheat, more now and more later, though not as much as expected in some cases. Beans getting hit the hardest, down over 2 after news that the record harvest of 2014 was even larger than analysts predicted. The increase in exports can not make up for higher yields. Now, as for corn different story. Despite cuts to Corn Production we still had a record year and well have another one this year. Though the estimated 14. 2 billion bushels now is less than analysts expected and the ending stocks will be much less than expected. So the average price has been raised 15 cents a bushel to between 3. 35 and 3. 95, down 3. 00 in two years. So lower than suspected supplies and slightly higher prices has pushed corn up. As for wheat, farmers have slashed their plantings more than expected to about 40 million acres. Thats down almost 5 . Yet, global Wheat Production is expected to hit an even bigger record high this year, led by Better Weather in ethiopia. So what does this mean for meat prices . Because all this stuff goes to feed cows and pigs and i for one will never be a vegetarian. Were still going to have fewer cattle being raised and produced though theyll weigh more yet prices for beef are going to go higher this quarter. And then they will start to fall in the second quarter. Pork prices however, are coming down, with big litters of piglets. However, the cdc has found a strain of last years deadly pig virus in one herd in minnesota. So, sue, stay tuned for that. Absolutely. Perhaps they have learned a whole lot about that virus over the last few years and can contain it better. Lets hope thats the case indeed. Jane, thank you very much. Back to the stilldeveloping story with eamon javers on centcom having its twitter feed hacked. Eamon, what more do we know . Reporter as of right now, sue, we know that Jim Miklaszewski has been talking to defense officials at the pentagon and they told him that neither the twitter or youtube counties that centcom operates are classified and take a look at some of these documents that have been posted and say theres no Security Threat from