Violence erupts in baltimore after the funeral of a man that died in police custody. His family calls for calm as a mayor imposes a curfew and calls in the National Guard. Welcome everyone. Good morning. Welcome to the smurf show. We digit plan this. We did meet last night. We did bump into each other. Did you buy anything good . I did. A lot of fruit and things like that. I am known for being the worst cook but im trying to cook. Thats the reason you saw me. I have seen some of the pictures. Ill have you at my place and well eat blueberries. Thats a great start to the show. All right. Well, there are a lot of stocks in focus on the move. So lets give you a look at the big movers and the european banks on the move after earnings. Commerce bank shares with their worst day in a year after announcing plans to raise 1. 4 billion euros. This despite First Quarter operating profit. More than doubling. Lets get out to annettea live with that story. Its not really one that the shares are so much lower as this 1. 4 billion euros is 10 of their capital. Theyre actually surprising everybody here with that capital increase. Even analysts had not expected such move. The bank had series of capital hikes behind them and looking at the operating profit or operating results in the First Quarter its looking quite well. But they decided to do so to increase the leverage percent. So its a raise to raise capital. So when it comes to operating earnings theyre better than expected First Quarter and even Market Solutions were better than expected. The results were boosted by capital markets. The shares as we have seen biggest loser in germany currently. Talking about losers in the Banking Sector one should also talk at least a little bit about deutche bank. We had them reveal their new strategy. The shares were down tremendously because investigators were really disappointed and nobody understood why management made such a decision to opt for that lean banking model and not for the completely revamp of the bank now reuters is citing sources that the ecb conducted a stress test on a model like a goldman type Investment Bank stand alone type of thing for Deutsche Bank and this stress test revealed it couldnt with stand a severe downturn in the markets and thats why the bank has allegedly reportedly accord according to reuters opted for that model they revealed yesterday which is disappointing. Deutsche bank shares are losing today. Thank you. Glad you got the memo as well to wear blue. Were hoping the thread will continue. Its color coding isnt it. What can you say . Favorite color, blue. Color of the sky, color of the sea. Top stocks today on a positive note. Santander reporting 7. 3 billion net profit. This thanks to an improving economic picture in spain as they focus on deleveraging. Standard charter also today. Were looking for release in the First Quarter statement that could come through in ten minutes time. Md and global head of Financial Research joins us. Good to see you this morning. What do you make of these results that weve had so far for these banks . Whats interesting is the message since the beginning of the year has been that capital build up remains a big priority for many european banks. Weve had the ecb taking over as forcing supervisor for the banks in november of last year and clearly it is applying pressure on the weakest links so we started the year with the rights issue that was a bank that was a bit light on capital and slashed its dividend and raised 7 billion in the market. Now were going to germany and at some point to austria which is also banks lagging on capital. Thats where youre seeing the likes of Deutsche Bank deleveraging. Another capital increase. The fourth one over the past five years so theres still a lot of pressure on banks to improve their capital ratios. On that point, phillipe, because it feels like over the last five years that banks have been trying to sure up their Balance Sheets and make sure they have enough cash. When do we reach that level when it happens . When can we stop worrying about that . Its been a moving target for sure. Look at the u. K. And switzerland now well ahead of the game compared to the euro zone. Youve seen as well in the u. S. That some of the largest banks despite being very healthy like jp morgan was forced by the fed basically to increase its capital target from 10 to 12 . So i think a lot of regulators are now more powerful. Theyre looking to selfensure and the best way is to ask for more capital and see the shares have been going up and they feel this is a bad time to apply extra pressure. So theres no magic number where this is going to end im afraid. Its going to be with us for a number of years Going Forward and well set off with significantly higher ratios santander is a bright spot. The focus on deleveraging seems to be working for the spanish bank. Yeah, they have done a good job of navigating the crisis. Theyre looking reasonably healthy. Now youre looking at Banking Systems are structurally low profitability and they are struggling to generate capital organically and that makes a huge difference. You have the spanish recovery also working for the bank. Santander stock up. Stay with us. Well get your reaction to Standard Charters interim results due in a few minutes. Also stay tuned. Later well speak to the ceo of bankia bank after their First Quarter results out yesterday. Thats coming up as well. Apple. Lets talk apple. Apples Second Quarter profit rose 33 to nearly 3. 6 billion. Easily beating forecasts. Revenue rose 27 to 58 billion. Also topping estimates. The company sold 61. 2 million iphones up 40 from a year ago. Most of those sales came from emerging markets, especially china where they rose 72 . Now apples mountain of cash is just growing and growing. It had more than 195 billion as of the end of march. The company is announcing plans to return more of that money to its shareholders. Its boosting its quarterly dividend. Its stock buy back to 140 billion. In all apple is pledging to return 200 billion to investors over the next two years. A lot of money being handed back. Apple shares up to close to 1. 5 in german trade. Its astounding the chinese numbers. Sales rising 72 as you said. The average selling price is also higher. Up by more than 60 year on year. 659. Which tells you that customers arent just buying the lower end iphones, they continue to buy the top end ones like the iphone 6 and iphone 6 plus. What do you think of ipad sales . They were weak. Are we going to see a come back . You take a look at apple and they revolutionized the tablet market with the entrance of the ipad in 2010. But from consumers i speak to once you buy an ipad theres no reason to upgrade within two or three years because youre seeing them down year over year. Its a crowded market. You have samsung, blackberry even microsoft with their own versions of a tablet that gives consume consumers more to choose from. Absolutely. And its pretty astounding the dividend rise and theyre the biggest dividend payer topping exxon mobil even. Think three years back apple didnt have a dividend and now its the biggest dividend payer. Shows how much they made dividend and share buy backs a core part of the Growth Strategy due to the pressure they have been receiving from activist investors. Massive. Get involved here on the show. You can find us on email. Whats the email worldwide cnbc. Com. Or you can find us on twitter as well. Absolutely. We are on twitter. We want to get your thoughts on apple. Do you think the stock can continue to move to the upside after hitting an all time high after those better than expected earnings yesterday . Get in touch with us. Were on social media and were quite active. But for now a market update. The markets are also active this morning. Remember yesterday on the close we were looking at an all green screen except for a little bit of red. A flat to slightly lower market coming out of norway but by and large a positive close in yesterdays session. This morning we recalled a couple of points lower. A bit of a dip despite the fact that we have these massive earnings through to contend with also many of them pleasing still. Thats one thing that we continue to watch. But we have the sell off state side though largely lead by the bio tech sector. A number of earnings out but that has lead to a bit of feed through here. Of course also now were looking toward the fed and what they have to say. They have ruled out any type of a rate hike this month. And the bank of japan on thursday. No change anticipated there although some think theres a slight chance we could be seeing easing coming through. You never know. Ftse 100 lower. Xetra dax off. The cac off by around. 25 and athens seeing slight gains. When it comes to the bond markets, we have been very focused on the very low levels and low yields and it very much continues. Today a little bit of a reversal in that with the ten year in the u. S. Seeing its yield popping a bit. 1. 9 . Still below the 2 level. In germany a yield close to 0. 16 and yields rising by 1. 6 as well. We saw a bigger move in euro dollar trade on friday. We hit 109. Saw 109 in yesterdays session as well. 10873. Its a big week when it comes to some of these Central Banks and what they have to indicate to us. We have to read through tlienhe lines. We also need to check in on markets in asia. Sri joins us to get jiggy out of singapore. Hi sri. I can tell you about the markets. Lets rap about that. Youll know it but we did see 7 year highs for the msci asia japan. It was the halo effect from am but we saw a lot of sellers selling into that rally earlier today and thats why a lot of markets are coming off those highs. Nikkei 225. That was the stand out today and it was really the earnings because the message there is that shareholders are expecting a bigger dividend payout. We certainly saw that with one of the heavyweights on the index. The industrial robot maker and it doubled its dividend payout ratio so the Investment Community liked that and are expecting more from corporate japan this earnings season. On the flip side shanghai composite retreating from the 7 year highs weve seen previously. Not a big correction in the greater scheme of things. Down by 1 . It was the start up board, we saw some weakness there as a sense that valuations are a bit toppy so that south mood on Mainland China equities. I want to talk about the Australian Market. That came off. The 6,000 level is so elusive for australian equities right now. Its a tough hurdle. Tough upside threshold to get through despite the fact we did see that balance in iron ore prices. We saw investors taking some chips off the table after they did run up in the past couple of days. The other is the fifth day of losses in the benchmark. Associated with disappointment related to the earnings season in indonesia. Thats where we stand. Later on this week the big test for the market in Mainland China is the official pmi number. Manufacturing for the month of april. Thats where we stand. Back to you now. Always a pleasure. Coming up on Worldwide Exchange dupont faces growing pressure to impress nelson peltz. And were tuning into the itunes store celebrating its 12th birthday. How about that . We speak to the creators of one app benefitting from ams popularity. Whats in store for twitter as the social network steals the earnings spotlight after the bell today. Well discuss that. See you soon. Hi everybody. Welcome back. Youre watching Worldwide Exchange on cnbc. Were getting a statement Standard Charter has anticipated. Theyre on schedule to deliver common equity tier 1 ratio between 11 and 12 . They talk about an operating income of shy of 4. 4 billion. Theyre looking at trading conditions that remain challenging. Underlying Business Volumes remain strong as well. They are looking at loan impairment of 476 million. 80 rise year on year and they say trading conditions remain challenging. Underlying Business Volumes remain strong. Theyre well advanced on their plan to take out 25 to 30 billion over the next two years. First quarter headline income minus 4 at 4. 4 billion. And theyre on track for productivity improvements over the course of 2015. Standard chartered off by 2 . A number of Bank Earnings out here within the last couple of days or so. Phillip is with us still. Md and global head of Financial Research at pimpco. So were looking at Standard Chartered. Theyre on track for 400 million productivity improvement and equity tier 1 ratio between 11 and 12 . How does that sound to you . Thats one bank that the numbers are what they are is the last set of number from the Management Team and i think that the whole story will be what is the new management doing to turn it around . This is a story where they have fallen out of love with that stock for the last couple of years now. It is on the capital story as well as the earnings turn around so the job of bill winters which is someone with a strong pedigree and well liked by the market is going to be first to tackle the capital debate around the bank and its quite likely that youll see a capital core reasonably soon after he starts in his new job. The second one will be to pass identify the relationship with regulators and thats obviously very well positioned and its going to be to navigate an environment where this is operating euro zone or u. K. Banks in a pretty bullish market and emerging markets. And pretty rapid loan growth and the economies are slowing. It will be too fast in wholesale banking and now youre seeing some pressure in asset quality and provisioning levels. He has quite a lot on his plate. The franchise is a strong one but certainly there is to be a new narrative there on capital regulation and, you know as well as the vision for that company. You know were you expecting the company to reference the head winds related to trading conditions . Because Standard Chartered is saying trading conditions remain challenging and the actions were taking to derisk cut costs and capital are having an impact on performance. Obviously they have been through an environment of fast growth over the past four or five years so if you think about them versus european banks which have been derisking and taking lots of losses they have been in part of the world that have been much better behaved and they have grown quite fast and now that those economies are slowing down theyre seeing some pressure on the asset quality and the need to adjust to that new environment and also adjust their cost space in accordance as well. So i think thats what they are referencing when we talk about trading conditions. They are talking about the environment thats deteriorated for them. Just getting back to bill winters, were still seeing a lot of banks that are streamlining and focussing in on core business and getting rid of or shutting down or selling off assets that arent considered core. Do you think theyre having to go through Something Like this as well . I think there will be rationalization. Theyll take a good look. Its in the same way that hsbc is existing a number of countries. Theyll have to take a good look at whether the presence in so many countries need to refocus on those that are most profitable. So i think it will be a combination of deleveraging exiting certain countries and raising capital as well to put that debate behind it. Winters is someone part of the u. K. Commission on Bank Regulation and the e is very well atuned to the thinking of regulators so i would expect him to take fofrsrceful action on that front pretty much head on. Thank you for your banking insight. Thats m. D. And global head of Financial Research at pimco. First quarter profits came in at 2. 1 billion. Keeping the results in context, however, that figure is down from 3. 4 billion just a year ago. Now along with all the energy majors, bp has been hit by slumping oil prices although i have to say that over the last month or the course of april we have seen a huge reverse in the price of oil. They have also been topping estimates although like bp it reported fallen First Quarter profits down to 2. 6 billion. It was a similar story to bp on production with higher output helping to offset Falling Oil Prices. Hes an oil and gas Portfolio Manager and analyst. Welcome. Good morning. Good morning. Bp. Talk to us about bp. These were a pretty good set of results in context. They did beat expectations. A lot of that was down to refine chg is excellent and theyre saying well continue. I think here were starting to see the real signs of cost control in the industry which is what we need to see in the new world of 65 oil and not the 10 plus we saw a year ago. And that cost control is not just bp. Theyre still having to deal with the deep water clean up. The disaster. Yeah exactly. The important point i think is to get their own controllable cost under control. It has had all of these issues of cost inflation and cost broadly speaking have quadrupled spending on what youre spending the money on in the last ten years. Now for bp management were seeing the first signs of what theyre doing to actually deliver for shareholders those cost savings both at an operating cost level but also in the cap ex and cash flow to shareholders. You say theyre good in context with what theyre dealing with but wouldnt you say a lot of Oil Companies should have had hedging strategies in place to ensure they defended themselves against the dramatic drop in oil prices weve seen the past couple of months. Hedging works for 3, 6 months. What management have been trying to d