Here of countries like brazil and some of the euro zone countries are still really teetering and so i think theres a lot of potential sources of chaos. I think that just suggests to me that as Equity Investors we should not be expecting big returns this year. This is where you will want to pick your spots. If you have something you like, youre going to own it. If you dont have something you like, i think its really important to just keep a low profile because its going to be a tough year. But when we think about, roger, the fact that its the worst start to the year for the dow since 2008, s p since 2001, 2008 and 2001 we know what happened in those years. If you are not going to be comfortable playing in equities this year, where do you go . I can see the scenario where the u. S. Market does provide a modest positive return. What i dont see is the backdrop for a great equity year across the board. Dow think youll have to pick your spots. There are sect orzors of the economy, the Technology Sector that i cover would be one of them. There are players that are going to do well. Even in the environment we face right now. It will be hard for the largest parts of our economy. Im talking here about autos and banks and im talking about pharmaceuticals. Those industries are not going to be putting up monster growth years against the back drop of what i expect economically in 2016. Roger, we just had dick fisher on, former fed president , and a pretty candid interview, we thought. His argument was and im quoting here, at the fed during his time at the fet we front loaded a tremendous market rally of very digestive period thats likely to take place now. Do you see that . As the cause for this period enter entering in your view . I way i look at it is we had this tremendous dividend from lower oil prices, and i dont see any reason why oil prices should go up. For that reason i think its going to be a tough year. Much as 2015 was. You know, there are things that could go wrong. When i have no idea. Guess what, that kifr stuff happens. It happened in 2015. I think it will still happen in 2016. You know, i happen to like facebook. I happen to like apple. You have been directionally correct as we like to say, at least lately, roblger. Ford plans to triple its fleet of Autonomous Cars up to about 30. Ford says it will work with amazon giving people access to connected home devices like the amazon echo right from their cars. We talk to mark fields this morning on squawk on the street. Heres what he said. We see a huge opportunity in growing our business and emerging Mobility Services market, and for us whether we do that in some cases on our own or whether we do it with partners, were going to do it in a way that satisfies consumers, that provides value. Value for the company and enhances our brand. In light of the gm lift news yesterday, the big three waking up . Well, i think so. When you were 16 you got a drivers license. Yet, many people are avoiding that later and later in life. Instead of 80 or 0 pirz of people having a drivers license at 19, were under 70 now. That is a huge headwind for the car industry. In the presence of lyft and uber and the other Ride Sharing Services complicates their life because the world doesnt need as many cars if a meaningful percentage of the rides were taken through Ride Sharing Services. I think this is an incredibly smart move by the Major Car Companies to get involved in autonomous vehicles, but i dont think its going to be a silver bullet. I do think unit volume will be a harder thing for them going forward, and that industry is going to change a lot. Its not at all obvious to me whether you want to be the manufacturer of the cars or whether you want to be uber and lyft, the guys that own the cars. I think that its going to be really interesting to watch that play out. Im not sitting here diving into car companies. That for me seems like something you might do in the future, but im not going to do today. Roger, it does beg the question of whether detroit is conceding that perhaps sell convalley can do the Software Side of autos better than it can right now. That said, lets remember the first thing that happened, you know, with the google selfdriving cars. When they made a mistake, it was that they had their cars follow the rule of the letter of the law rather than behave as humans behave. My guess is the folks in detroit have a lot more experience about how humans behave and interact in cars. I dont think theyre totally out of the game. They obviously these are not software companies. Finally, another black eye for yahoo. The company confirm it shut down its video site, yahoo screen last week. It was home to a lot of content, including the new season of community. Reruns of snl the recent streaming of the nfl and game overseas and it follows a 42 million writedown on some original content back in october. Shares are trading a little higher this morning. Some have tried to portrait it as a bit of a white flag here, roger. What do you think . Well, i look at the in a very, very simple way, which is the mega trend is that video is going mobile. That is a monster, monster trend with huge implications. Unfortunately, in a change like that, not everybody wins. Its pretty obvious that yahoo is one of those not winning. I dont know what they do from here. I think that everything seems to be too little too late. Honestly, i have so moved on from this company, it just isnt one of the ones that i worry about anymore. Its not because they werent great or have a lot of great stuff. They do in both cases. I just life it too short, and there are a lot of companies out there, and i just i dont see a scenario for yahoo is a must own stock for me. I think that is precisely the problem. Well just have to watch and see what they do, but honestly, im going to watch from the bleachers, want from the front row. There are a lot of really compelling things going on in Silicon Valley right now, and i just dont see yahoo doing any of them. In terms of content and delivery, what names are interesting right now . Look whats going on around us. To me its really amaze, first, what netflix s and now am sdwlon doing a similar strategy, doing very, very well. I watch what theyve done with hbo. You watch what apple is doing. There are a lot of really big very Smart Companies with strategies that have been gaining at a minimum mind share, and in most cases also revenue dollars. So, you know, i dont know how this plays out exactly, but, you kno know. Dwoent lack for distribution alternatives today, and, you know, lets just face it. I mean, for yahoo, it might well have worked, but it didnt, and so time to move on. Is there still an opportunity for yahoo to partner with one of the names that you just mentioned to try and make another run at video . Of course. I wonder what it will do. Yahoo has a lot of great assets. They have a lot of great people. To me whatever it is they do they could do without pulling a lot of mind share from me just because i dont see it moving the needle that much. Some good candor today from you as well, roger. Some things just dont matter, right . Some things dont matter, and i think this is one of them. Its always good to see you, man. Thank you so much, roger. My pleasure. Take care. Happy new year. Same to you. Joining us from out west. When we come back, stocks mix this morning with investors still worried about that slowdown in china. Were going to look at some tech names most exposed to the action overseas. Plus, connected tech company harmon. A new partnership with under armor. Harman ceo will join with us a closer look. Heres a live shot of the east room of the white house. The president is set to announce new executive actions around 11 40 eastern time. Well take you there live when he starts to speak. Back in a moment. This just about 120 minutes time president obama is expected to announce new executive actions on gun control. John harwood is live at the white house with what we should expect, john. Hi, kayla. Aloha, carl. I just weve got a president who in his last year in office is determined to do everything he can to move his priorities forward. This is an example of that. We all remember he was thwarted two years ago or three years ago after newtown when he tried to get expanded background checks enacted into law. Congress did not go along, including some democrats who opposed him. What he is announcing today are executive actions that expand the number of gun purchases that will be subject to background checks. In particular, some of the gun shows and online dealers who did not fall under the background check provisions of the law. He has decided he has the executive authority to expand the definition of who to which purchases background checks it applies. Other steps to expand hours of the day in which background checks take place. All these are attempts to buy the president to make some difference. No one is arguing, including the president , that thats are going to make it possible. Some of the Mass Shootings or all of the Mass Shootings that weve seen. He is determined to do whatever he can to there are ten separate provision that is are expected to be a part of this announcement. Do you expect that all of them will be able to be put into affect by the president by the white house, or do you expect there to be some give with congress . I expect the give is going to come into play in the courts. Republicans have indicated they believe that these actions are unconstitutional. You can bet that there will be legal action to block what the president is trying to do. Without theability to get much through congress, he is trying to use the power that he has and the courts will decide how much power that is. He said he returned from his vacation reinvigorated. We are seeing some of the first steps of that reinvigoration for 2016. Now well take you to that announcement live in just a few minutes time. Thanks, john. Well see you soon. Up next, crude oil is falling today despite continued tensions between iran and saudi arabia and a new war of words in the middle east. Well take a closer look. Crude down 1. 5 . Plus, the ceo of connected tech company harman will join us to talk about its new partnership with under armor. Squawk alley will be back in a moment. I asked my dentist if an electric toothbrush was going to clean better than a manual . He said sure. But dont get just any one. Get one inspired by dentists. With a round brush head. Go pro with oralb. Oralbs rounded brush head cups your teeth to break up plaque and rotates to sweep it away. And oralb delivers a clinically proven superior clean versus sonicare diamondclean. My mouth feels super clean. Oralb know youre getting a superior clean. Im never going back to a manual brush. This years Consumer Electronics show. All of you making a major announcement. Company nounksing a partnership with under armor on wireless heart ray rate measuring headphones and Microsofts Office 365 into the car. Dinesh is the ceo of harman, and he joins us from ces in las vegas. Good morning to you. Its good to have you. Good morning. Good to be on your show. When we think of harman, a lot of people think automatically of cars, but it sounds like youre going to try to make sports, fitness, and wearables the next big thing. We are looking for a seamless connected lifestyle, whether its sports or musician or working office. Whether you are in the car or going around. Thats what we are all doing. Its actually part of its totally connected. We dont want any streaming wires. Its a wireless smart headphone. The partner of under armour, we couldnt have asked for a better company. Fast growing and extremely innovative, and driven to excellence. We are bringing the heart rate monday stores and the headphones. Also, a lot happening. You saw the announcement of Cyber Security company. Security is becoming extremely important, whether in home or in the car. Particularly connected car you cannot have an autonomous connected car or whether you have a Cyber Security. People always say that the car is another device on the wheels. Well, when your smart headphone has a bug, its a headache. When your car is at 65 miles an hour, its more than that. We are so thrilled that now we have complete solution. For holland to bring your technology to work in some of these cars that maybe dont have it already. Its a great question. You see all the research is pointing to all the the only thing which has been keeping up these rates Office Technology apart is simplicity and keeping them uptodate. Last year we bought a company which solved the problem of wrupting and keeping the software and hardware current in the car and now we watch the Security Company so consumers like you and i are feeling good that i can have productivity in the car. I can feel personalization of all the devices around me, and im protected. Thats the rates going up. We feel very good were behind the pole position of nine of the large companies. Were deeply involved with, and we also announced a Big Partnership with microsoft this morning where we are bringing the entire suite of Microsoft Office 365 with a prompt of the voice saying connect me to the voice, or skype. Its shown here for the first time. Im excited about whats happening and how fast paced penetration of Technology Without sacrificing the secur y security. 57le is also a very good partner for us. So is going and so is microsoft and many others. Nothing exlose anything. I think where im focused and so are 29,000 people will really push the envelope on the technology and take our industry forwa forward. Iraqs president saying saudi arabia cannot cover up its crime of executing a leading shiite cleric by severing diplomatic relations with the republic. His comments came as he met with the Danish Foreign minister today. The other news, kuwait is the latest company to side with saudi arabia. The country announced it has recalled its ambassador to iran over the attacks of Saudi Diplomatic Missions in iran over the weekend. Speaking of those attacks, we now have fresh video of the events on saturday. This is moments after iran wran protesters attacked the Saudi Embassy in tehran to protest the execution of that shiite cleric. The protesters raided the building and then set fire to it. Thats what led saudi arabia to cut diplomatic ties with iran and ask all iranian diplomats to leave within 48 hours. That proxy war in yemen between the two countries, its heating up again after weeks of relative lulls. Saudiled air strikes targeted military positions linked to rebels backed by iran. This is a 9monthold war, and residents telling the wires that there has been an intensification in the attacks in the last 24 hours. We just have the december production numbers from opec. Just remind everyone saudis are still the biggest producers by far. More than ten Million Barrels per day. Iran limited, of course, still by economic sanctions producing just under two Million Barrels per day. Carl, theyre hoping to get that up to four. Back to you. All right. Michelle, thank you very much. Michelle caruso cab rare wra. When we come back, stocks once again on a bit of a roller coaster in and out of negative territory. Currently down about 48 points on the dow. The next catalyst for todays action, i dont feel, will be europes close. Well get that in just under four minutes. Stwloo good morning. Im sue herrera. Here is your cnbc news update at this hour. Nbc news citing a Senior Defense official says one american soldier was killed and two others wounded in the Helmand Province in southern afghanistan. The incident occurred during a special forses counterterrorism operation. A u. S. Helicopter was sent into the scene to evacuate casualties, but it did not take off because it came under mortar fire. The occupation of a federal wildlife refuge in oregon by armed antigovernment protesters now in its fourth day. The group calls themselves citizens for constitutional freedom. They believe the federal government has too much control over western land. Israeli Security Forces shot and killed a palestinian who stabbed an israeli soldier in the west bank. The soldier was slightly hurt with stab wounds to his face. This comes after the surge in violence in the region enters its fourth month. And ben baldanza led the industry push for more and more airline fees is out as ceo of spirit airlines. It transformed spirit from a money losing operation into an ultra low cost carrier that charged for extra basic amenities, including seats that didnt recline. Thats the cnbc news update this hour. Back to squawk alley. To you, carl. Thank you very much, sue her air wra. Europe managed to avert another down close. Weve got some green arrows, simon. Im actually just eroding into the finish line. There was a disappointment coming coming through on inflation for the euro zone. It didnt rise from 0. 2 . Have you orange making an offer for weed. This is draghis play here. Taking the number of in fact, weed rejected the offer previously. You see the french telecoms are relatively active overall. The other stop thats doing well is altice. Its better because its the vehicle through which buying Cable Television operations here in the wraits. Its whether this alternative dial might face some difficulty. Its a much smaller deal that draghi is attempting. A sixth or seventh as big. The cost savings are huge. 900 million. Who that get rejected . Its translated to about an honor stock that is otherwise relatively depressed. Meantime, voerlgs is in negative territory. Equinet came through and put effectively a sell rating on volkswagen overnight. This after the do somewhere yesterday announced its suit. Its law action against them for, of course, their cheating on emissions. 90 billion is the ask on that. Nobody thinks theyre going to get 90 billion. However, it has some loirss suggesting that actually its anyones guess as to what theyll actually aim end up tea from vw. What is clear is that the u. S. Is determined to make use of vws misconduct and to further weaken vws position in the u. S. That is a con