Rigged. Michael lewis says High Frequency trade is using an unfair advantage which is extracting billions of dollars from investors. Welcome to the first Worldwide Exchange of the week. Europe has now moved into summertime, so we have now regained five of the differential with the United States, but things have changed as far as asia viewers are concerned. An hour into trade today, here in europe, you can see advances currently outpace decliners by a ratio of 72 on the dow jones 600. The ftse last week was up. 90 . Down on the quarter 2 . We are up another half a percent. The dax is up a quarter percent. The ftse is up a half percent as well. Lets show you turkey throughout the morning after the Regional Party victory in local polls. And the bist 100 is up. 33 this morning. Heres where we have come as far as the First Quarter is concerned. We are getting toward the last trading session today. The ftse is down 1. 5 so far for the quarter and year to date as well. The dax is up. 61 . The cac is up 2. 81 . And the ftse that is up 14 as well. As far as the beyond market is concerned, treasury is 2. 72 . We are working our way forward the employment report on friday. And on the currency markets, we are under a little bit of pressure today. Its benefited from the safehaven trade but there are hopes of more chinese stimulus. We are looking out for the official pmi data tomorrow. As that happens, the yen is below 1. 03. 1. 02 was the low on friday. Euro dollar, big focus coming up in an hour with the latest print of up nation for the eurozone. We saw weaker than expected german hicp on friday down. 9 . Theres consensus that the print for up nation in the euro done will be. 6 . If it comes in low, we will ratchet up the pressure on the ecb, but we heard comments over the weekend saying we dont have a deflationary threat but others beg to differ with them. Thats where we stand at the moment with currency. And we have closed the quarter out in asia. Look at that, the nikkei currently off 9 for the First Quarter. Well get more on the session today, sri is with us in singapore. Hi, sri. Ross, very good morning to you. I do want to talk about whats happening tomorrow, tuesday. A new day, but more importantly a new quarter of the second. And this is going to be absolutely critical for the Chinese Markets because we get the official china manufacturing pmi and we get the final read from the hsbc. To all intensive purposes, it does look as though it will be another sub par number, so perhaps thats what the shanghai composite is trying to frontrun and price in. And this is going to be important from the policy perspective as well. With we do sea a softer pmi tomorrow, then that will probably seal the deal on near term stimulus from the Chinese Government from beijing. So ill leave you with that in mind. Thats probably one of the reasons why the greater Chinese Markets have had a reasonably good day with the exception of the chinese shanghai composite. Elsewhere, i want to talk about the nikkei. You were talking about the quarterly performance down by 9 . They had a reasonably good day up 1 despite the fact that we did see a slide in factory output. And that raises questions about the broader resill yeps of the japanese economy in the First Quarter and heading into tomorrow. Thats going to be critical for the japanese markets from their perspective because that is when the sales tax hike comes into being. The big question is whether the broader japanese economy is ready for it. If it isnt, that may mean some intervention by the bank of japan in the form of the further expansion of the asset purchase program. We kouncould see that in the se half of this year. Elsewhere, i want to talk about the kospi broadly flat. We had geopolitical tensions with firing from pyongyang and there was some from the south as well, but the markets seem to be taking this in stride, 1,985. A lot of risk events for these markets to take into consideration both scheduled and unscheduled as well, ross, back to you now. We have other news out as well. China sees nearly 15 billion worth of assets from the Family Associates of zu yongkang. What are the implications of this . I think the implications are quite positive. It shows the world and it shows the broader chinese population that the central government, beijing is getting tough on corruption. And its not just saying this. Its putting its words into actions. This is a big scout for the chinese who have taken this to the inner circle. It calls into question whether the leadership are really purging some of those closest to it and what it means for future policy decisions, et cetera, but it also tells the outside world and the up population in no uncertain term this case are coming to terms and cracking down on corruption and the action they are taking is significant and does have teeth, ross, thats the way i see it, anyway. I think you are probably right, sri. Good to have you on the show. Sri there in singapore. It wouldnt be the first time by a long stretch. Now, north and south korea have been exchanging near the maritime border. Pyongyang warned of intentions of conducting a firing drill. But the f15s and marines from the south started scrambling to fire back. Plenty of elections to ponder including in france where french president hollande will be delivering a tv address today. His Ruling Socialist Party suffered heavy losses in local elections as the countrys 2013 deficits reported a 4. 3 gdp which missed government targets. Stefan has more in paris, what were the results of these elections . How well did the National Front do . Ross, there are two newspapers here, this is the front page of the left wing paper, la punition, the punishment for president hollande. And this one is making the headlines on this election, bleu is the color of the National Party that got 47 of the votes compared to 47 for the left wing and 8. 7 for the extreme right party national. In the end, it managed to get control of 12 cities. It is not that much for the scale of the country, but the best political result for the extreme right party. Now what does it mean for Francois Hollande . Hollande said he will listen to the message from the french people, therefore we are expecting a government reshuffle that should take place as early as today. According to some sources of the senate, hollande is going to make a speech on television lighter today. Its not confirmed at this stage yet, but we can reasonably think that francois is going to make a statement and could replace the Prime Minister and the minister for the economy and the foreign minister of the economy and the Prime Minister. There is intense speculation about who could be the next Prime Minister. According to plenty of newspapers, the current interior minister could become the next Prime Minister. Hes more centerist and would be a relevant response to the outcome of this election. Its also in the newspaper this morning. The former wife of Francois Hollande could join the government with the justice minute industry. And there was a lot of speculation over the last week as Francois Hollande made a lot of concessions. He met with the former trade of the world commission, but right before the meeting he rejected the speculation basically saying he was not ready to join the government. But for Francois Hollande, its a good thing he starts consulting all these people, even if they are not going to enter the government. In terms of the economy policy, ross, we are not expecting any deep changes. Francois hollande is still committed to massive spending cuts over the next three years. The target is 50 billion euros. Even more now since we have this morning the very bad result deficit. It was above the target of the government. Over to you. Stefan, thank you. Stay there. Well also bring in dr. Mary. A bad night for Francois Hollande, how bad . It was predictedly bad. The results were a reflection of the longterm series of bad nights for Francois Hollande. I think thats why the results are so serious. Its not unusual, in fact, its common for a current government to lose the local elections. Its a Midterm Election where people punish the government. The reason its so serious is because its the reflection of a keeping malaise, that the french are unhappy with the administration and has broken records on unpopularity and is prepared to take action on the basis of the results. The action hes going to do, reshuffling the Prime Minister, that doesnt address the core issue, which is presumably the economy. I think thats right. It is like resorting dictators on the titanic. It wont fix the major reason why the french are so unhappy with the government. Industrial decline, up employment on the rise, those are big structural problems. Manuel vows stefan said is the man who may become Prime Minister, should she take the job or not . I think hes the right person to ask. Hes centerist, as your colleague said, hes got a much higher popularity level that the president. Although that might put Francois Hollande off, because it can be difficult with a Prime Minister more popular than you. It makes the Prime Minister undismissable. If i were hollande, i would not take it. Hes probably eyeing up the presidency for 2022. If he takes on the helm now, that could tarnish his credibility and destroy his career. So i wouldnt be surprised if he turns it down. That sounds like smart advice if hes listening to you. Stefan. Reporter hey, mary, do you think this could help france restore its confidence, restore i it at a european level . I dont think it will make a difference. Francois has to send a message that he received the message, but the only thing to make a difference is to bring down the unemployment levels. Where does this leave the front national, the National Front . They have made big gains and we have the end to the European Party and we have the may elections coming up. What sort of support do you think they are going to get . I think they are going to stroll going into the european elections. I think they are going to do well, but if you ask them they say this is a result of their tactic of what they call effectively detoxification of their brand, trying to make themselves more mainstream, but it is less the case of people voting for the national and people voting against the main stream parties, both of which have been ridden with scandals the last few years and tarnished by the economic crisis. Does that explain the very low turnout . Yes, i think the whole national and the turnout are symptoms of the main stream politics in france. Is the e going to get the shot . Are investors going to get a shot from the level of the eu vote come the may european elections, do you think . I dont think its going to be an enormous shot, because everyone can see it coming. I do think its going to change the composition of the french presence within the European Parliament but perhaps not quite as much as people expect. The key difference, of course, is that european elections elected proportionately compared to municipal elections like we just had, so we will see 77 for the europe. Good to see you. Thank you for joining us, associate professor at the Queen University of london. Stefan, catch you later. Always great to see the eiffel tower as well. Turkey east Prime Minister claimed victory in his elections. Two polls showed the akp party won 46 of the vote with 80 of the ballots counted. The election comes amidst allegations of corruption amongst government officials. At the same time, turkish adp came in above expectations. The economy expanded by 4. 4 in the last three months of the year. Thats better that the 4 that economists had predicted. Michael lewis, the author of such books as money ball and the big shot says u. S. Equity markets are rigged in favor of highspeed trading firms. Lewis new book flash boys wall street revolt coming out today. The methods and technology that make highspeed trading illegal and restrictions are regulated, but appearing on cbs 60 minutes he says thats used to profit others. If its so complicated that you cant question it. This is all being done by computers. Its too fast to be done by humans. Humans have been completely removed. Earlier the new York Attorney general Eric Snyderman said he believes the highspeed trading firms gives an unfair advantage. Hes began to meet with nasdaq and other exchanges to discuss possible reforms. So is this just a clever promotional tool or are equities really being distorted by Apple Computers . Join us and email us at worldwide cnbc. Com or twe tweet cnbcwex. We also have news coming out concern i concerning capital hikes. They say a top investor sold shares of the bank at 23 euros per share. And the stock itself, of course, has been putting pressure on it trading at 27 euros a share. Lets take a short break. Still to come, john kerrys urged russia to pull back troops from ukraines borders, but are they going to listen . Well have the latest on the crisis, next. [ male announcer ] how could switchgrass in argentina, change engineering in dubai, aluminum production in south africa, and the Aerospace Industry in the u. S. . At t. Rowe price, we understand the connections of a complex, Global Economy. Its just one reason over 75 of our mutual funds beat their 10year lipper average. T. Rowe price. Invest with confidence. Request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. Im taking off, but, uh, dont worry. Im gonna leave the tv on for you. And if anything happens, dont forget about the new xfinity my account app. You can troubleshoot technical issues here. If you make an appointment, you can check out the status here. You can pay the bill, too. But dont worry about that right now. Okay. How do i look . Thanks. [ male announcer ] troubleshoot, manage appointments, and bill pay from your phone. Introducing the xfinity my account app. Youre watching Worldwide Exchange. Credit suisse said british lenders are rbs and barclays. The libyan invest authority has been saying millions of dollars of bribes have gone to islam, the former son of gadhafi. The claim is made in a 1. 5 billion lawsuit filed guest the french bank in high court. The stocks are trading down over the last seven days. Two men carrying a briefcase stuffed with 3 trillion worth of bond certificates have been caught trying to bluff their way into the cop fed rat bank. The smartly dressed pair convinced guards that cardinals were expecting them. They were allegedly planning to use the fake certificates to open a line of credit. Foreign investors say the bench market has seen four straight sessions over the past month as the biggest economy heads to the polls in april. Clearly they hope the Main Opposition Party will be voted in and usher in new reforms to stimulate the economy. Joining us with his thoughts, the ceo of the bombay come exchange. Thank you for joining us. Good to see you. Can you remember a more important election in recent times . No, the last 23 years we have part of liberal action. 91 was when things started moving and they liberalized the economy. But this is one of the first, i would say, hot ligated elections. This is the first time in a while that they are two very different ideologies and economic programs laid out. Absolutely. The way i look at it is for 23 years india had Congress Government, congressled government, manipulated governments and also noncongress manipulated government. The one thing is very clear that theres going to be steadfast on the part of liberal action. So its about being center right or center left. And this time it looks like center right is going down, but effectively it would remain more or less theres a lot of hope placed on the fact that bjp may win this and that that Reform Program implemented as you say, theres the infrastructure clearing to be business friendly. Too much hope being placed on this . I would say so, but at the same time the hope is justifiable in the sense that the last three to four years, too many projects were coming up. And now the Congress Government itself, which is in power now, has started actually dealing with so many Infrastructure Project that is everyone expects the new projects to start. And actually the economy to start booming, so effectively its more about that process rather than a new government coming in, but at the same time if a new government would come in it would probably be much better. If that were the case, which economy would benefit the most, do you think . I think infrastructure is going to be doing very well given the current process, airports, roads and so on and so forth, that is one clear area thats going to be looking up. And, of course, the i. T. S really doing well, farmwise doing well, the demand from abroad, the consumers will be doing really well. Clearly six months ago theres a big outflow of money out of india. Thats been stabilized. What do you think about the hot money flows versus the you must see this, hot money flow versus longterm investment. In fact, if you look at six months pack, india was looking bad in terms of its current deficit. And thats why we have more money go