Quarter costs as litigation costs topped 3 billion euros. Investors Unfriend Facebook shares after the tech giant warnings spending could outpace revenue next year. Announcer youre watching worldwide exchange, bringing you Business News from around the globe. And it was a big day for wall street, better than expected Consumer Confidence report helped stocks close at session highs ahead of todays big fed decision which we would be discussing throughout the hour. The dow did close back above 17,000 for the First Time Since september 3rd. S p trading down, as well. Nasdaq in focus, of course, after facebook missed expectations. Well get thaw report. Facebook shares tumbling in frankfurt despite earnings that beat expectations after the bell. The social media giant issued a disappointing outlook and warned that costs would increase as it looks to step up investment next year. Take a look at facebook and how its trading, down about 6. 4 . Now, diving into the european markets right now, a mixed session. Although we did start off in the green. Were looking at the ftse 100 trade up about 25 points. German markets trade up about 50 points. But its negative across the board for italy and france. Well continue to watch thats markets and see if they can join the markets into the green. In terms of stockspecific action, Deutsche Bank has posted a surprise loss of 32 million euros. A modest rise sales of impacting the higher litigation costs have have now topped 3 billion euros. Weighing on the german index, snyder electric, shares trading near the stop of the stoxx 600 after the french group relowsed revenues. Air france klm has taken a 460 million revenue strike. The airline said operating profit almost halved in the Third Quarter. But the big shock of the morning, sanofi has announced the departure of its ceo just a day after playing down speculation over a potential exit. Wilfred, the stock down about 4 in todays trade. Yes, indeed. It was down almost 10 yesterday. Stephane joins us on set with more on this story. Stephane, the ceo had a pretty good record, yet today a unanimous vote to oust them. Its not a problem, to be honest. The company about five years ago, the company had an issue with the pipeline which was very poor. He made a series of acquisitions and that really forced the pipelines. But thats not at issue any more. He also managed rather well the transition with all this patents which expired in the last few years, managed to first of all put in the market some new product. The market shah shares in general, so being under share price was much higher. The problem was the management side, trelgzs with the board. And, actually, the chairman of sanofi, who is going to take the ceo position for a wild said this morning that the decision to replace the ceo came from the poor relations with the board and unofficially, with a press conference recently, some ebbs members of the board were upset about his decision to move to boston. Thats a very french reaction, i think, to believe that you can only manage a French Company based from paris. Are you surprised with the 4 decline on the basis of management change. Are you surprised about the size of the move . Yeah. It shows he had support from the markets because the results were here. The company has a strategy. The company has a vision. And the reason for here, i mean, yeah, well, we will have a new ceo very shortly because the chairman concerned this morning that the companys negotiation with potential candidates, although it didnt want to elaborate and to give more details. We wont have uncertainty for a long time. Thats the most important thing. But in the shortterm, thats a disappointing decision from a market point of view. Does he fan, thank you very much. In other news, the Federal Reserve is widely expected to draw bond buying to a close latter today. The policymakers are likely to respond that rates are supposed to be low for the near future. Patrick, its great to have you in studio. Of course, today is the big day, the one day that analysts, of course, and wall Street Investors have been anticipating. Do you think janet yellen will change the language around Interest Rates rise . I dont think so. Weve had considerable time that statement has been out there and that calmed the markets. I have been a little frustrated recently with the amount of comments from the various fed members. But i think the key is, we have to give the fed the benefit of the doubt. Its not going to make policy mistakes that they all made back in the 70s. And i think a good economy will see rising rates and that will be good for the market. And until such time, they will remain cautious with that considerable time. What about the external factors that have been cited as a big concern for the market, ebola, geopolitical tensions, do you expect the fed to comment on any of these in todays statements . I suspect possibly. Theyve talked about gloeg growing global growth. That might be a concern. Im not too concerned about ebola. Certainly slowly growth on the back foot will be more cautious. But the economy generally remains recently recently strong. So i think the tapering might stop. In fact, wed a 9 rally in the s p. The intra day drop with asset peaks. Quite an astonishing move when you think about whats changed between now and then. Really, the only thing that has changed is some of the earnings are a bit positive, but not all. Do you think earnings is enough to keep the market going up . I do. And youve got to remember, theres a lot more high frequently trading now that creates that volatility. But weve done surveys that shows volatility generally is the same types of moves results in higher markets a couple of weeks later. So this isnt new. But i dont think china is going to go, in fact, actually into recession or a hard landing. And i think there are other roads. I was in my roby last week and the place is booming. China is only 1 of gdp. And the engine in the u. S. Continues to do well. So the fed announces tend of qe3. It does not change its language around Interest Rates. Where does an investor stand to spend money . Over 70 of people in the u. S. Take one Prescription Drug a week. 40 take two. That is going to be a huge driver. You can buy companies not particularly in high multiples. Its a bit of its all about science and technology. I think health care and technologies and financials are the place to be in the u. S. Market. Patrick, thanks for now. Well dive into more of that with patrick in the next 20 minutes. Lets give you a run beyond of what to watch this trading day. The Federal Reserve wraps up their twoday meeting today at 2 00 p. M. Eastern time. Well get a statement from the policymakers. With earnings season in full swing, well hear from ralph lauren, kraft, sri casa, dreamworks animation. Coming up on the show, chinas property loans dip and another sign of cooling for the housing sector. What does it mean for the Big Four Bank earnings . We cross to hong kong for expert analysis. And u. S. Regulators sue at t over an alleged mishandling of data plans. Well get you that story, as well. Plus, what if you could fight cancer and terminal illness by popping a single pill . We will tell you more about googles ambitious foret into health care, coming up next. 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 70 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. Welcome back. Lets give you some headlines. U. S. Futures are point to go a mixed open as investors await the fed rate decision. Sanofi, gives the ceo over his management style. And Facebook Face plants after warning that more spending is on the horizon. Stat oil trading in the red after posting a surprise loss om almost 5 billion. The company has maintained its production in Capital Spending in forecasts for the year. Total has warned earnings will remain under pressure just as net profits fell 2 in the Third Quarter. Following the tramgic death of the ceo in an aircraft accident earlier this month, former ceo Pierre Demaret will become chairman. Taking a step back from the stock particulars, all of them doing relatively well given the massive headwinds theyre facing in terms of oil prices. Do you think this is a good time to get back into that sector . The oil price is up 25 . I think people underestimate that impact to the u. S. Consumer. It was only last week my wife was saying to my about oil prices in sainsbury and she was very excited about that. She can only understand what its doing in the states. Theyre enter a cold time of year for the united states. Thats generally when oil prices do start to pick up. Plus, a lot of these oil price res stuck with cash. Plus, when youve got Something Like a schlumberger, fantastic company, huge, Free Cash Flow and guided to lower oil prices. But if we focus on a drop in the price of oil, at what point does that become a deflationary risk for the consumer . That is a fair point. Bond yields are where we are. But the point i made earlier, europe i think will basically skirt a recession. The u. S. Continues to do well. I think that will underpin oil prices. I personally dont see deflation myself. Well continue to watch the price of oil. Another thing well be focused on is earnings. Visa and kraft foods among the names of investors reporting. Tomorrow well look to gopro, Conco Philips and linkedin. Friday well see results from exxon mobil, chevron, abbvie. You could say thats one of the reasons weve seen stocks rebound off the lows hit in early october. But at the same time, when you look at profits beating expectations, a lot of that is being driven by cost cutting versus revenue drofg profitable. Is that a concern . No. Lie this morning actually where earnings were and theyre still 25 above record over real earnings. Youve got justification of where the markets are trading at the moment. They were 4 i think on eps. Thats now at 5. 5 and has been rising dramatically. We look for Earnings Growth next year. Once again, i think a strong underpinning for earnings and is justifiably so. So the market is you know, its not cheap, but its not expensive. Its only 10 above its tenyear average on pe. I think the u. S. Is still very exciting, i think. The other thing, it could put a temporary damper on market at the end of qe3. We assume that thats priced in because we know a lot about it. But when qe1 and qe2 ended, that was bad for markets. Is it this time . I think it is. On the first outset of reduction of qe around the markets were off sharply. Now theyre being more blunted to the markets. I think that point we made about weve got to give them an opportunity to do the right thing and the benefit of the doubt. I think that will happen. If Interest Rates rise, and in this is a big experiment, that means the economy is going to do well, that means the stock market is going to do well. Patrick, thank you for now. Windowless planes could be on the runway in ten years, but are you going to get on board . But now we have a better idea. Log on to cnbc. Com to see the full details. We want to know, will windowless planes clip your wings or will it entice you to follow . Ash tweeted in and said no way. If you want to join the conversation, get in touch with us by email, worldwide cnbc. Com, krns we can see. Our personal handles are on the screen, as want. Im not sure i understand the windowless plane. Does it make a difference either way . You can basically see through the sky as you are flying to your destination. On top of that, its not just a different in design. This could help airplanes, ticket prices, as well. Apparently this will reduce the weight of airplanes and any Weight Reduction can translate into fuel savings. So there might be something in for the consumer here if we get these windowless planes. Get in touch with us if you happen to. A quick look at futures in the u. S. Ahead of the open, were expecting a mixed open. The dow set to open up 16 points, the nasdaq down 12 and the s p just below flat. Honesn honesn on the firewall for customer db access. Install version twopointthree of db connector and ensure verbose flag is set in case of problems. clapping sound isnt the cloud supposed to make business easier . Get the one that can connect to the systems that you already have. Today theres a new way to work. And its made with ibm. Your goals, our experience. Your shoppers, our technology. Your data, our insights. Introducing synchrony financial, bringing new meaning to the word partnership. Banking. Loyalty. Analytics. Synchrony financial. Engage with us. Welcome back. Now, asian markets have hit a onemonth high today. You can see quite a lot of strength across the board. Particularly in hong kong, china and japan. Japan is at a threeweek high itself after september Industrial Production rose at its fastest pace since january. And lets focus in on china. The World Central Bank has warned the Economic Growth target for 2015. The group is urging the worlds second biggest economy to aim for 7 growth. Instead, a 7. 5 or scrap a target altogether. And chinese property loans fell 23 in the Third Quarter, reflecting slowing momentum in the housing market. Outstanding mortgages also dipped slightly from the previous quarter. The fresh data could fuel concern for the countrys largest lenders, most of which report earnings today. China Direction Bank posted its slowest growth in five years. Josh is joinings now and still with us is patrick spencer. Josh, lets kick off with you. Thanks very much for joining us. A top level question to begin with. Weve got a big review of the quality of assets in the european banking sector. Its stated npls in china are about 1 . Thats a number that a lot of people question in terms of the veracity of that figure. I think if you add in special mentions alone, you get a bigger posting at 3 , 3. 5 . But even then, the markets have been concerned that the actual underlining npl figure is much higher. And that is, of course, why these banks are on valuation discounts compared to some of the others. If npos are a lot higher, i suppose weve had signs of this and authorities could turn on the tap as they have done since april. But in case of a big credit event, is there still enough space to turn on the liquidity tap once again . You have seen a couple of trends in china. I think on the asset quality side, weve seen some stress begin to migrate into western china from the east coast. Weve seen pressure on smes, for example. I think overdue loans rose 40 half on half. In terms of the toolts, in order to prevent the further slide in npls, i think we need to look at the liquidity easing measures that have been put into place. We have seen the psl directed towards the state banks. Weve seen a number of very small measures, but in a cumulative sense, these measures have helped ease liquidity. I think if you step back, libor or sorry, shibor rates are down 100 basis points since april. I think easing rates will help the borrower burden pushingp npls. Patrick, would you put money in the chinese valuation sector right now . Valuation i think discounts a lot of bad news. Id like to address with josh the issue and uncertainty that the chinese economy has doubled in dollar firms since 2008. Its been phenomenal growth. I think in terms of the earnings slowdown, i think one of the issues is you get diminishing margin returns over time and china is certainly seeing that. I think regulars have focused on things like fees. One thing we have seen is that fee growth has slowed materially, i think thats because the nbcr thigh a review of income late last year and tried to make sure that smes werent being gouged. So there is regulatory pressure on areas like fees and definitely credit will slow. I suppose were seeing credit move outside the traditional banking sector. So the shadow Banking System is now about 42 trillion r b. Thats double, i think, twice bsh its doubled every two years for the last four years. Its up from 10 to 42 trillion in four years, which is pretty amazing. So were seeing a lot more of the credit migrate away from the banks. That does hurt profitability for the traditional listed banking sector. And lets talk about some of those Wealth Management products quickly. As you say, growing hugely in size. Its very hard for us to know the credit quality of them. Does the government need to work that problem out of the system . Its a good academic debate, i suppose, in order whether to reduce moral hazard, you let one or two of these instruments go bust. So far what weve seen is a willingness to defend par values and Wealth Management products. This has been an issue that kicked off in january. I know there was one product in particular in january that rattled markets early in the year. Ultimately, that paid back. Weve seen the government or weve seen policymakers want to hold the line on asset values and not let investors share losses. I think thats been one reason, you know, and one way why we continue to see this explosion of shadow banking, that we still havent removed the moral hazard risk. That is something that theyre going to have to work out balancing, potentially removing that moral hazard and making sure it does evolve into some much larger credit crisis like you would have seen in la and the u. S. Josh, thank you so much. Now, exports are regarded as a bright spot in chinas slowing economy. Economists say theres growing evidence suggesting mainland firms are inflating trade data. For more on this story, head to our website. Moving on, nasas launch facility on the coast of virginia, the unmanned rocket has exploded. The pictures are