Of the force. Starting today you can watch all six films in digital hd through itunes amazon and google play. Well talk about all the media stories with legendary tv producer tom werner is going to join us at the top of the next hour but in the meantime lets get you you to speed. Heres how the markets look. Dow up about 17 points higher. Nasdaq up about 3 points and the s p 500 a little over two points. What are you looking at me like that for . I mean do i sound this is how people felt with me here last week. Do you know what you look like . Do you remember pig pen when he would walk all the stuff it was dirt. With you its like i feel fine. You have mucus. A little froggy in the throat. Thats how it sounds to you . How does it sound to you. Like i want to lean way over here. Is this a drug resistant you brought this from the other side of the world. Its a cold. Thats all it is. And im supposed to sit here and not be scared. How did you do last week . How did it sound. Let me read this. How many tish queues did you have. Have these. A couple of boxes. I do it through the nose. I was doing all of that stuff. Outside i do the i dont need a kleenex outside. I remember once having to read the prompter and it was starting to come down a little bit and i didnt know if i should stop or not because the viewer sees a little bit of thats fine do you remember the greatest actor of all time and why he was the greatest actor of all time. Who was that. Brando. If you feel something do it. If you blow your nose just go with it. Dont be afraid. People are people. Theyll like you more. Im afraid of you. Here are the big stories that were watching. Two economic reports of note. March import export prices at 8 30 eastern and then this afternoon an update on the federal jujt. Budget. European stocks are hitting the highest level since 2000. A lot of people are saying thats where you should be. People on our side of the pond are taking a note. U. S. Investors poured 1. 5 billion into funds that specialize in european shares. Thats the most in several weeks. Make sure that your head is against currency risk. President obama is in panama for the summit of the americas today. While no former meeting is planned he could talk to you can president castro on the sidelines of that gathering. He went to the bob marly i would like to go to the bob marley museum. That could be a cool thing. I can only imagine whats there. Thats interesting, right . I he know curse words and all kiensd of stuff. The buzz story of the morning well get to the apple watch. As of today you can try it on in stores with an appointment or order online. Seema mody joins us from london where apple fans are already excited and five hours a head of us. Thats right. Its the strategic location that highlights the push into the market. This is a High End Department store with all the top brands. You name it theyve got it. In fact andrew inside the apple watch is being displayed steps away from rowlex, tag and other high end watches. This is the attempt to make it a Luxury Fashion piece as opposed to a tech product. Will it be able to play a meaningful role in this tech market . There are three collections. Starts at 349. 549 and the high end one at 10,000 which can go up to 17,000. We have been getting reaction from different customers on what they think about the apple watch. So far mixed reviews. I was impressed with the quality. Looks like its jewelry rather than being just a smart watch that can do exactly what your phone can do. I have a fit bit now that i wear and i think that would replace that with the apple watch. Do you wear a luxury watch right now . I do. But this is different. Thats why im not sure. This comes from a grandpa so its a sentimental watch so its a big step. Now jeffrey expects 300,000 apple watches to be preorders over the weekend. In terms of sales analysts expecting 3. 4 million in sales. That number is expected to increase to about 8 billion in 2016. Ill just mention there are reports right now that the apple watch, some versions are sold out online but so far no confirmation from apple. Back to you. Seema, thank you for that. We should also tell you some fake apple watches are popping up guess where, in china, in the he electronic district in southern chinas city. You can get what hooks to be an apple watch for only 55. Despite being fakes they promise messaging, phone calls and video. But unlike the real deal these phones cant download the new apps and the authentic apple watches dont hit shelves in china until april 24th. In the meantime a very new apple macbook laptop. Christina warren is senior tech analyst and brought with her a new macbook to show off. Yes. You asked the question joe, is that an ipad. It looks like an ipad. It looks like an ipad i have one with a keyboard hooked up into it. Its about the same size and thickness. A little bit bigger screen. But this is not the exciting thing that people he are going to apple stores this weekend for. Some people are. This has been getting a lot of excitement but the big thing is the watch. Are you wearing one or no . No they wouldnt give me one. But i have used it. Better or worse than you thought. Better. Ive used a lot of different smart watches. You know i wore pebble for a long time. Ive gone through the various wear devices. Its the first one that actually feels like jewelry and like a real watch. So would you go out and get the First Edition or do you wait until 2 or 3. 0. This is the tough thing. If youre an early adopter and somebody that hasnt used the devices and you like the feel of the watch its not a bad product. If you have the gist of what the wearables are like the next version will be better looking. Probably thinner and less expensive. Better. Im thinking i want to wait for 2. 0. Youre going to get 1. 0 for the kids or no. Yes. But not for yourself. No. Because. Hard to imagine as big an early adopter as i am im looking at getting one of these things for the blackberry at some point. Apparently you can send messages like the people and get Business Information and stuff. I heard samsung makes a phone now. And it has the hemorrhoid operating system. What is it . Go ahead. Please go ahead. I cant go on. You know have to be nice to you today. You are so youre very vulnerable. He is. Im glad youre here. Hes like a buffer. No and im now going to get all the germs. You are. Picked a great day for this too. The watch has a price point of down 359 all the way to 17,000. Right. How many 17,000 do you hi they sale . In the United States maybe to the kardashians. Thats about it. But overseas in china, dubai, people in really high growth markets, you might be surprised. I mean you look at what the luxury market in china is like its really really big. They might do pretty well. Is this a high margin product for them . Yeah. But at 359 how much does it cost to make the thing . Do we know . No we dont know what the come poenlt component is. The 349 is not the huge margin items but then you look at the accessories. Is it where you buy the watch and then buy multiple bands. Yes. Thats what theyre hoping to do. You can imagine they might partner with some designers and come out with their bands down the line. So the thing i want to buy is the thing thats right here. Tell us about what this is. I have a macbook air. A lot of people do. A lot of people have macbook airs. This is a new version. Its a macbook but similar to what the macbook air was like. Its the thinnest lightest laptop you can get. It has no fans. Totally silent. It weighs 2 pounds. At its thickest point its half an inch thick. But it has no plugs. One plug. Thats the one down side. It has one plug, usbc. Do you know about that joe . Have no idea what that is. Theres a cream for it isnt there . There is a cream for it. If youre always connected to wireless and have your documents and things in the cloud maybe you dont use thing as often. This plug will work to go to your monitor. Battery is all i care about. Ten hours. A whole day. You can get through a whole day of work on this. How about the keys. I love apple keys normally. The keyboard is bigger but theres very little travel meaning theres little space. It takes a little getting kwuzused to. Its almost like tapping on an ipad. You brought this as a presen for me today. I wish. If the apple store is too busy for you today theres another retail location getting some attention. Sprint is going to open more than 1400 new sprint radioshack locations around the country today more than doubling its footprint in retail. Theyll exclusively sell sprint noble devices. Radioshack filed for bankruptcy in february. Amazon winning approval from federal regulators to test the delivery drone outdoors. Last month the faa gave the green light to an amazon prototype but blasted them for being so slow. The company waited more than six months for the agencys permission and amazon must keep test flights at an at tuldltitude of no more than 400 feet. Pretty cool. Among todays stocks to watch check out gap with stronger than expected march sales but cautioning the early timing of easter month results and hurt april sales. Also citrix warning it will fall short of efforts and baker hughes is suspending its online publication. It will continue to watch its weekly rig county. Andrew coming up the dow and the s p are youve never had any acting classes at all. No at this point someone once told me in fact it was the late great nina do you remember her . I read for her and she told me my emotional instrument was clogged. And do you think my emotional instrument is clogged today. Youre definitely more clogged than normal but in general i think your emotional instrument is clogged. Too guarded. I think because i might be physically clogged that maybe emotionally i might open up more. Maybe that will. Be free to be me this morning. Never heard of them. Generational thing. No its not generational. These are famous. Famous people. Anyway coming up the dow but this is what you feel the experiences in life let them come through. Coming up the dow and s p are looking for their first back to back weekly gains since february. Well talk markets next but first here is a look back at this date in history. Im not sure what day it s. April. Is it april . Its april. Well, sir. After some serious consideration id like to put in my 15year notice. Youre quitting . Technically retiring, sir. With a little help from my state farm agent i plan to retire in 15 years. Wow youre totally blindsiding me here. Whos gonna manage your accounts . This is a devastating blow i was not prepared for. Well, im gonna finish packing my things. 15 years will really sneak up on you. Jennifer with do your exit interview and adam made you a cake. Red velvet. Oh, thank you. I made this. Take charge of your retirement. Talk to a state farm agent today. Check on the markets this morning. The futures so far were okay yesterday. Session went on and on and kind of moved around and finally had a pretty descent close today. Were looking up a little on the open. Dow jones up 28 points and s p up just under 3 and the nasdaq up just under 5. Well take a quick look at around the world. See if we can get an indication. Although green now in france and on the ftse and germanys dax. Greece is up a full percent. Here are the asian marks which were mixed. 50. 42 can be on crude. Its a little above. This should be fascinating to watch. The dollar is going to be fascinating. People saying were still going to par. You just saw the ten year and here we are 106 today so were testing the lows. Got down to 105 at one point euro dollar. Stocks are on track to turn in a positive week. They have been up four out of the last pooif sessions. Joining us now with more on the markets, ed from quantitative management associations. Youre sticking to your longterm outlook but you point out things that werent quite as positive as in the past. For the u. S. Market Earnings Growth looks like it will be zero and we have a drop in earnings this year. I still like u. S. Stocks. We will see an earnings rebound eventually but theres better opportunities as theyre trying to find the best opportunities in the world and european stocks represents a better place to be for your money right now. You go as far as to say that this is a highly unusual market cycle and at the very end you point out, you know growth is slow but thats not necessarily the worst backdrop for stocks. Rates stay low. You get what you get with the earnings per share growth. Its not the worst thing in the world but maybe not as good as the last six years. The good thing is that we really havent had the excesses build up. The high leverage of great risk taking that leads to the end of an economic cycle. People are still cautious. Well probably have an extended cycle for Economic Growth and the market. Well not see the returns in the next five years as in the last five or six years but you can get positive returns out of your stock portfolio and despite low Interest Rates might get positive returns out of your bond portfolio as well. Slow and steady probably. Thats correct. Do you agree with that . Everybody says europe and now i see flows into europe. Do you feel the same way about europe and the u. S. . Small cap european stocks right now, im not sure currency hedging is the way to do it because there will be weakness around the us. Dollar as we maybe take a step back from fed policy intervention sooner than prooef warehousely thought. Thats something to consider when investing in europe but over the longer term were kind of more happy to be in u. S. Equities and we think were going to continue to climb walls of worry. You think theres going to be a pause in the tightening. You have to start something before you pause. No a pause in the pair tightening. When will they go up . September. So even when they start theyll go slow. Slow at this point. Could we get down to the dollar in parity thats a possibility. Theres been a huge influx of money into European Assets that are hedged. You might want to switch out of that into something thats european. Then just stay with buy european stocks in euros and take your chances. Is that right. Do you have something to say pig pen. No i have nothing to say. Im trying to save my voice. You are. I am. When i have something brilliant to say i will speak. Theres been days the past couple of years where i wish you had saved your voice so many different times on certain subjects. Im sure. But now you are going to. If we talk about income inequality or something. That might get me excited. Ceo compensation or monopolies. Tax day is coming up. Independence days for you people down the street at the New York Times. Favorite day of the year. By far. I dont know why you people dont just send in checks year around. Almost like a charity. I try. I actually pay quarterly for that reason. We should take this on the road. This is pretty good. Ed is over there going im in sarasota. I could be and i came in for this. Why are you in sarasota. We have a place down here. Who is we . My wife and i. Hes part of the problem. 1 ers. I bet he pays quarterly too just because he enjoys it. How much do you think about what he we just talked about . June September Quarter here quarter there . Thats not even your thing is is it . Another reason im down here is jeffrey lacquer is giving a speech in an hour or so. Exciting. If you look at janet yellen assist last speech a few weeks ago in San Francisco she laid out what theyre thinking and looking at and my guess is when you net it all out were looking at sometime in september. The fed really does want to raise rates and get off zero but theyll have to go slow because the market clearing rate of interest in the u. S. And world remains low. Theres a great deal of money seeking a safe secure home and Interest Rates will rise a little bit but i dont think theyll raise a great deal in the u. S. Or anywhere around the world over ever over the next year or so. How do you characterize this Global Environment . Yesterday Larry Sommers was on and he echoed global savings or something that even the pimlico, new normal environment, the reason i ask is people are saying that the fed hasnt orchestrated low rates. The fed just followed where they would be anyway. They kept them here because globally thats where they are and other people say central bankers around the world caused this. Just because everybody is doing this doesnt mean that it had to happen. In other words maybe it wouldnt have been like this if the fed and central bankers hadnt been so easy. Thats an aurlt you cant know for sure. Jon williams has a model that suggests that the natural rate is still close to zero. Others suggest 1 or higher than that. I think the fed could go up. But theres a great deal of money looking for a return and in the meantime theres a lot of caution and overhang for the financial crisis that rate of interest is low and will continue for awhile longer. Because its so hard to get a return the notion that people have gone out and maybe some people shouldnt have. Is that a concern or not. Its a systemic concern but if you look at investing today and you look at what were going to face over the next lets say couple of week which is is maybe a little bit of an earnings season additional u. S. Weakness, we think volatility is an asset class at this level. Thats a weird notion. Move m one way or the other here. Well it looks to be quite attractive into this earnings season. Anybody thats just im going to buy some vicks. You should have so vicks. You put it on your chest when you were a kid. Do you need help with that . You know im here. I almost said eyes wide shut. Play some of that music for you while im doing that. Coming up we have a strong dollar likely to be a major theme this earning season. Well talk to a top earnings strategist and take a look at yesterdays is 500 winners and losers. Were back in a moment with a little bit of vicks rub. Doug, we have the results, but first, we have a very special guest. Come on out, flo [house band playing] you have anything to say to flo . Nah, ill just let the results do the talking. [crowd booing] well, he can do that. We show our progressive direct rate and the rates of our competitors even if progressive isnt the lowest. It looks like progressive is not the lowest ohhhh when we return well find out whether doug is the father. Wait, what . I care deeply about the gulf. I grew up in louisiana. I went to school here. Ive been with bp ever since. Today, i lead a team that sets our Global Safety standards. After the spill we made two commitments. To help the gulf recover and become a safer company. Weve worked hard to honor both. Bp has spent nearly 28 billion dollars so far to help the gulf economy and environment. And five years of Research Shows that the gulf is coming back faster than predicted. Weve tou