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tv   Worldwide Exchange  CNBC  November 30, 2015 4:00am-5:01am EST

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welcome. you're watching "worldwide exchange." i'm carolin roth. here are your headlines. >> reporter: president obama along with 150 other world leaders are arriving in paris. for key climate change talks. this a among heightened security in terms of a deal where there are reports suggesting concessions are already being made. bhp shares slide towards the bottom of the stock 600 as brazil gets ready to slap the miner with a fine. a volatile ride for chinese
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markets. the shanghai comp reverses early losses and closes higher. this as the imf is adding the chinese currency to its volatile basket. japan's pension plan having a huge loss. good morning, everyone. let's get straight back to our top story. world leaders have been arriving at the venue of the comp 21 climate summit. french president hollande is welcoming 150 policy makers. president obama, xiin pi have arrived already. chinese president said it's very important for the u.s. and china to follow the principle of nonconfrontation. he said the world economy is recovering slowly. now on to president obama's
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comments. as he walked in he says he's looking forward to working on the tensions, the tensions that he's talking about are the following. he notes differences with china on cyber security, maritime issues and he says that u.s. and china leadership on climate change is vital. let's get out to steve sedgwick in paris. steve, any comments? >> reporter: yeah, i think it's very interesting that the president obama tying in some of the key longer term geopolitical issues airing the tension with china. finishing saying we have a hole with china already. referring to the fact that one year ago the united states and china did sign an agreement where they understood the ramifications of climate change and vowed to work together to negate some of the issues. the spirit along with those comments along with what xi said comes into this meeting. it gives people hope. you'll recall whether it was can i owe the tow or comp 15 in
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copenhagen in 2009. the biggest emit terse, u.s. and china, accounting for 40% of the ghgs, greenhouse gases. 15% u. 16789, s. 24% china. there are huge challenges to get a deal and a huge amount of pragmatism is needed. for instance, the french, the host, wanted some sort of binding treaty. yet, the last treaty, ky ota, was never ratified by the united states partly because of the chinese not getting involved and the political pressures back home. this time it's the same. the gop and republicans state they don't want any binding legal requirements on their states going forward as well. i spoke to this very issue with the secretary general of the
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oecb about whether it needs to be legally binding to be effective or not. listen in. >> it will come from the quality of the agreement not the lethality. there's nobody that comes away and takes you away if you're emitting more than you are supposed to. in practice it's about the peer pressure, about the peer reviewing, about the measuring, the verification and the reporting and then some naming and shaming involved, but there's not going to be a question the legality in terms of the formality and how binding it is. it's going to be how binding because of the quale litd at this, because of the consensus, not because of the legal nature. i think this is being used by some as an excuse. >> talking about problems with verification, perhaps the name and shame game as well. india is at the front of that as well. real concerns with norenda modi.
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they need this to carry on their own industrial revolution. if they don't get the support in terms of the financial support from the developed nations who knows if they'll sign on. another big thing i mentioned is skepticism especially with the right wing of the republican parties. states such as wyoming, west virginia, texas, big coal and oil states are adamant against president obama's clean power plants. i spoke with the president of the world bank about that gop skepticism and this was his response. >> i would simply continue to say, look, this is about science. it's about ethics and it's about your children and grandchildren and i know that these politicians care about their children and grandchildren. i don't know what it is that we can do to make it any more vivid.
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i'll tell you, el nino is about to hit. the waters off lima peru are 6 degrees above celsius. this will be the worst el nino in years. we're starting to see the effects in chile. we'll see it in the united states. as more extreme weather events hit the united states people will begin to realize that what they're leaving for their children is something that should keep them up at night. >> reporter: you can see a whole host of issues even if president obama does successfully get a deal here as well, whether his plans are going to be challenged in the senate, challenged in the courts back home. key issues for a whole host of players here, not least as well, carolyn, that we have security issues coming into this. it was only a couple of weeks ago that we had the horror of the terrorist attacks on the bataclan in paris and elsewhere. there is heightened security.
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i would say that the most secure that paris is on a par with those. i wouldn't say successive. people are going about the town and carrying out their daily lives as well. there is pretty big security such as david cameron who is just arriving on our screens. president obama already arrived in his own calf vvalcade. he was in the beast. the big powers ahead. there is a lot of security in pour race just north of paris as well. the bourgeos is a u.n. secure zone. a blue zone with the keys officially handed over in the last couple of days to the u.n. for the duration of this conference, carolyn. >> steve, stick around. mr. erdogan requested a meeting with russia. the kremlin has so far declined
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to indicate whether this meeting is actually taking place. steve, what's the buzz on the ground? is it happening or not? >> reporter: i don't know is the answer. i think what is very interesting is every world leader in the next couple of hours will be speaking, every single one of these people. quite extraordinary logistical fete. they'll only get three minutes. how they get them up and down with long winded politicians, let's be honest. you'll have two rooms. in one room putin will be speaking and in the other room erdo win will be speaking. you have people who know them both. you have francois hollande who's been shuttling around. he and others won't want them to be scuttled by iran and turkey.
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two very important figures who perhaps 2in many ways skirt eac other. sorting this out it would be good if they could imagine some diplomatic coup. the russians didn't want a meeting until they grot an apology for the shooting down of that bomber. something i asked about and they were very noncommittal about whether they got a meeting. >> let me go back to what we can expect in the next two weeks. we shouldn't be expecting a binding treaty, really national pledges. what exactly can we see in two weeks' time? >> reporter: we already have the national pledge. this is the bottom up. the problem with kioto and copenhagen, they tried to go
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from the top down. it's a wonderful acronym, intended nationally determined contributions. i have a piece of this online. the point is they've both said what they're going to do to get to target. these will be monitored. tensions strenuously monitored. the contentions over a five year period going every five years. they're talking about naming and shaming. some legal restrictions in there. maybe some more strenuous monitoring into naming and shaming and have some form of penalty in the nations if they're falling behind. even if these indcs work we're not going to get to 2 degree cs above industrial time. it will get to 2.7%. this is something to build on. its a pragmatic. this is where we might see success unlike in kioto and copenhagen. >> steve, thank you for that. plenty more coming up from steve sedgwick out of paris.
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meantime, turkey and the e.u. have struck a deal to send the flow of migrants into europe with an offer of cash and hope and reigniting turkey's stalled bid to join the block. they're trying to help raise their living standards and to persuade them from attempting to make their way to nearby greek islands. angela merkel spoke about the agreement. >> translator: if i look at the huge number of conflicts that rage in the region, this was a very good contribution to solving and settling those conflicts peacefully. obviously it's also a contribution towards protecting the external borders, not only on the greek border but the border between greece and turkey. that is something that we need. meantime, republican lawmakers are eyeing an upcoming spending bill to halt president obama's resettlement plans. some say they'll vote against
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the catchall bill if it does not block funds for people coming from syria and nearby regions. the government funding runs out december 11th. the house passed legislation earlier this month to prevent refugees from syria and iraq from entering the u.s. unless they can be certified but pose no risk. that measure is expected to die in the senate joompt pleasa. plenty coming up. the world's largest heads are staying cautious. we spoke about this with the cfo of sainsbury's john rogers. more on that after this short break.
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welcome back to the show. let's have a quick peek at european markets. actually, just in the last half hour or so we've seen a bit of a turn around. the xetra dax is up modestly by 0.8%. wow, quite a big rally. the cac 40 up by .5%. only the ftse 100 is down fractionally. this is after we kicked off in negative territory this morning. maybe there was a little bit of caution ahead of the big week the ecb meeting later this week. bhp, of course, one of the big drags on the ftse. let's come back to what the
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european markets did over the course of november. in november the dax actually didn't perform too badly. quite the opposite. we were up almost 5%. this has a lot to do with the weakening of the euro dollar exchange. the ftse though didn't do that well. we are pretty much flat for the ftse for the month of november. we are flat as i said today. we're down by 0.2%. this is very closely correlate today what we're seeing in the oil and gas space, the commodity space. a lot more pressure there. in terms of the anything kay for the month of december, we're seeing a slight rise of 4%. i want to move on to what the shanghai comp is doing. we saw that market come back into bull market territory but for the month of november the change isn't actually that great. it's only up 1.9%. let's see how markets in asia are doing today. we've seen quite a reversal, too, in the later trading
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session, haven't we, sri? >> yeah, degree of stabilization at the close, carolin. i wanted to highlight one of the top stories in tokyo involving the gpif. the japan pension fund is huge. it's $1.2 trillion in assets. it just announced for the july to september quarter a loss and this is a record loss. so i don't think many people were surprised of the extent of the loss given the fact that the nikkei equities market over that period of time was down by 14% largely because of the capitulation that we saw in the chinese markets. here's the extent, the scope of the loss. it is very, very heavy, indeed. in absolute earnings terms though it wasn't as bad. it was down by 5.6%. that represents the third worst front. it hit on domestic equities
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suffered in july to september period coinciding with stock market capitulation in china and then on the international front it got hit by the firm yen as well. that hit their holdings internationally. so the market will have to wait until it reopens tomorrow to see the extent of the reaction negative for that news in the wake of that news. broadly elsewhere, we are seeing some heavy declines. the market is running very cautiously ahead of major risk events, everything from the ecb to pay rolls at the end of the week. that's where we stand. >> sri, thank you. aberdeen asset management has reported a rise in full year profit despite a fall in aum. assets fell to 284 billion pounds from 324 billion. the cyclical correction in asia and emerging markets led to further flows from the group's equity's business. shares in hong kong listed
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vtech resuming trading following a customer data breach. data from 4.8 million parents and 200,000 children had been hacked. the names, birthdays, gender of children were among the stolen data along with home addresses. vtech has taken steps to stop any further attacks. ab inbev wants to put peroni and grolsch beer brands on the block. shares mbhp hit a seven year low. they await a loss statement from the dam failure. the country's attorney general office says it will seek damages of $5.2 billion to help recovery
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efforts following the mine disaster that saw as many as 13 killed and hundreds displaced. bhp has denied a report suggesting the mud released was toxic. chief pfinancial officers across the goal say thu are cautious on modest growth. when it comes to a rate hike, financial heads of some of the largest companies seem at odds. european cfos expect the fed to lift off. asian cfos thought the central bank to delay a hike until 2016. china is front and center of cfo's minds. a majority expect to grow between 6 and 6.5%. it is this softer growth outlook that is prompting financial heads to name china as their
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biggest challenge in 2015. my colleague karen cho spoke to the head of sainsbury's. take a listen. >> i think the recovery is likely to be more in the u.k. i think the consumers do feel a bit more confident than they did 12 months ago. they have more money in their purses and wallets. with the global economy slowing down, the impact that will have on the u.k. market, i'm a bit bearish. i think it will take time to recover. >> there's been a lot of geopolitical events in europe in the last couple of weeks. could that be a stumbling block for recovery? >> i don't know really. it's difficult to say. time will tell. clearly the events that have taken place over the last couple of weeks are not sort of positive for a very good economy. we'll see. time will tell in terms of how it impacts on consumer
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confidence. >> let me ask you about interest rates. there's been a fixation globally on the prospect of rates going up, both in the states and here in the u.k. when do you think they'll see a liftoff from the fed and then the boe. >> the general view is that we'll see an increase in the u.s. in december. as far as the u.k., my personal view is unlikely to see any change in rates until the back end of 2016 at the earliest. what's interesting, i think, about the u.k. is it's not speculation about whether the next move will be a rate cut as it will be a rate rise. my personal view si think we will see a rate rise but we won't see that until the back end of 2016. >> you're crunching a lot of numbers. what do you think is the biggest risk to your numbers? >> from a trade perspective in the u.k. i think the biggest challenge that we face as an industry today is the food price deflation. we've seen food price decalculation of 12% in the last
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12 months and so. we're saying in terms of outlook that we're not expecting any of that deflation to unwind in the near term. so possibly as we move into the next year that will be the ea y earliest we see that deflation. that's the biggest challenge. that impacts on our top line. that gears down in terms of our profitability. >> let's get to one of our other top stories this morning. the imf is expected to include the inclusion. chinese yuan. it's here currently at 6.3981. earlier we asked some asian based investment bankers about what they see of the key implications of that decision. >> yes, the inclusion i think is completely overhyped to be honest. it doesn't really matter. what does matter is all the other reforms that they put in place along with it. >> there's so much pessimism on china. there's even pessimism to the
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inclusion of the sdr that the pboc will start to devalue the currency after they have been basically awarded with the inclusion into the sdr. >> it's more of a symbolic, very historical day. it will be important and meaningful because china has a reserve currency state. >> i want to get out to unit. some say the inclusion of the yuan is over hyped, some say it's a sign of over confidence. some say it's a sign of devaluation. what's your take? >> i think it's all of the above. it's not necessarily mutually exclusive. you do see from a long-term basis, this is a badge of honor for beijing. it's a milestone. they've been pushing for the yuan to have a reserve currency status and an acknowledgment on their part that the economy is important to the world and has arrived. it's also important for the imf
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because the imf has been criticized for not being inclusive enough of the emerging world. the other points you had made about the impact on the yuan, whether or not this is over behind, and that is very much up for debate because on the one hand in theory what should happen in the global markets with the inclusion of the yuan into the global basket of currencies by the imf would be to have an appreciation and demand for yuan denominated assets. so you would have a lot of investors out there interested in buying up stocks and bonds or including the yuan in their portfolio in some way, but at the same time in practice it's all very limiting. chinese markets are limited, restricted and also just because of the -- a lot of the heavier handed tactics have made them weary of chinese plays. so those two forces really run
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counter to each other where you have on the one hand a big push to try to buy into a lot of these chinese assets. on the other hand, in practice the fact that the access is so limited and the fact that it's so risky has made it very difficult for people to really want to put their money into these assets at least in the short term. that could be potentially negative for the currency. >> eunice, there's also a lot of hope out there that the inclusion of the yuan in the sdr will prompt more capital reform. is that feasible or is that once again wishful thinking? >> no, i think people are very hopeful that schein na is going to push ahead with some of its financial reforms. one of the ideas behind having the yuan included in the reserve -- the basket of reserve currencies is to in some ways create an impetus or incentive for beijing to make some of these changes.
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that's what we saw here with the world trade organization when beijing entered the world trade organization. there was that -- the whole point of it was really to have china make good on some of its promises to meet those requirements. so that's kind of the logic behind trying to have china included in the sdr as well. >> all right, eunice. thank you so much for your time. appreciate your insight. still to come on the show, a twist that has your expertise rely from the unbound conference in london. we will be talking to the founder of the trivia play buzz. stay tuned for that.
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president obama along with nearly 150 world leaders arrived for the climate summit in paris amid heightened security and geopolitical tensions with reports suggesting concessions are already being made. bhp shares slide towards the bottom of the stock 600. brazil is going to slap the miner with a fine over the disaster earlier this month. a volatile ride for the markets. early losses and closes higher. this as the imf is expected to add the chinese currency to its symbolically important reserve basket.
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japan's pension fund suffers its biggest quarterly loss since the height of the recession. quick look at european markets. we have already seen a little bit of a reversal over the last hour of trading. the ftse 100 is still in the red. we're off by 1/4 of 1%. bhp billett driving down that index over the potential damages in brazil. the xetra dax is showing a healthy gain of 0.40. all eyes on the ecb meeting this week. will there be more stimulus. if yes, what form will it take? that is the key question for investors this week. speaking of the ecb, let's show you what the euro has done so far this month. we are down by 4% for the year. the euro dollar is currently off by 0.1%. we are currently changing hands
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at 1.0572. well below that 1.06 handle. a big reason why the u.s. dollar is rallying is of course the decline of the euro. the dollar index this month up by 3.5%. so far this year it is up by almost 11%. so dollar position, very, very high. the dollar positioning is the highest in eight months on expectations that the fed will be hiking rates next month, in december, and the ecb will be easing more. it's all about monetary policy diversion still. now black friday may not be what it used to be, but u.s. consumers still hit the stores this thanksgiving weekend. the national retail federation says nearly 52% or 151 million people shopped online or in stores spending an average of about $300. however, the group changed the survey so it's hard to compare the figures with last year. let's try and get a little more insight with nbc's jay gray.
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he's in robbinsville, new jersey, with more. jay? >> reporter: hey, there. i'm coming to you from inside the a.m. ma zon fulfillment center, one of 50 across the nation. take a look at this. this place is unbelievable. it's 1 million square feet. the size of 14 football fields all under one building. there are 14 miles ever conveyors in here and today they will be loaded and working around the clock. this is going to be the busiest day of the year. what do they expect? they expect to surpass last year's record-breaking numbers. 43 million items sold last year. that's about 500 items per second, carolyn. again, they expect to go over that number this year. we saw people starting early, even before thanksgiving online. it's done nothing but build and will continue according to most analysts. back to you. >> all right. jay, thank you so much for that. swatch has launched a joint
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project with visa which will allow cardholders to pay using one of the swiss watch maker's new products. they will be the first to use the contactless system which could help swatch compete with apple. nancy spoke to the co-founder of misfit about the wearable seen. >> i think what investors have seen is the impact it can have is tremendous. it's taken a decade for people to realize that. with my new venture, what we're doing is bringing some of the technology from consumer wearables and consumer i.o.t., bringing it back into health care and watch the drug companies monitor how their patients are doing and allow insurance companies to monitor the efficacy of the therapies. >> let's get back to nancy who is still at the conference in london. nancy. >> reporter: hi, carolyn.
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that's right. a big focus on disruption. what sets unbound apart from some of the other tech conferences is the big focus on brand. the coming together of established brands, established corp rates and the startups. we were talking to the co-founder of misfit that recently sold out. the startup and a larger company. we've seen veterans from old guard firms do new startups. we have the founder of play buzz. shell, you've had stints in old media with mtv, anything kehl lo nickelodeon. is this the face of new media? if that's so is original content dead? >> first of all, you're making me feel old. as a representative of old media, there has been a shift in the way that every one of us is consuming media. we used to watch more television and consume more press. now we spend more time on digital platforms, primarily on
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cell phones. so we consume media in a different way and, therefore, the future of media is where the audience is. on the platform where the audiences are more interested to consume. >> in that pursuit of revenue you say you're chasing the audiences dramatically in the last few months or year. what do you do? how do you answer critics who say you're feeding the low ground use of the internet? >> we are labor specifically in a platform. our content is produced by cnbc and other media. it represents the best story tellers and best media in the world. they use play buzz. >> perhaps this comes more from allowing users to create their own content whether it's quizzes and things along that nature. is that where you see your highest growth? >> when you look at for instance
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"the new york times" it is highly regarded as one of the foundations of traditional publishing. the most popular content on "the new york times" is the cross words puzzle. alongside serious content and news content there's always a place for more playful experiences that tend to be more popular by nature. >> partnerships have been key to your success. you have a lot of links. facebook, "huffington post." when you think about your exit, is it to be takin over by a larger phone? >> i think the only way to reach liquidity is to sell to profitable business. we br 100 people at playbuzz right now. we have offices in four different countries including here in london where we opened recently. our sole focus is creating a sustainable business. once it continues to grow and be
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profitable i'm sure there are ways to benefit from it personally as well. >> in that pursuit of creating a sustainable business, a lot of emphasis being put on brand. to what extent do you differentiate yourself? this is a crowded field. how do you separate yourselves from the likes of buzz feed? >> we are in the business of partnership. we work with "huffington post", nbc, mtv, so many other great brands. what we offer them is the tool set to create the stories, the kind of experience that the audience are more receptive to and create maximum engagement. we are not a stand alone website like some others but we are an agnostic platform that lets everyone create great content and then distribute it to an audience. >> reporter: there you have it. that's the founder of playbuzz. talking about how crucial
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partnerships are with established firms. we're seeing that across 9 industry. we'll have more interviews coming up for you tomorrow. >> nancy, thank you so much for that. meantime, want to take you back to paris very briefly. prince charles is currently speaking at the opening plenary session. if we do get any interesting sound bites we'll bring that to you as soon as possible. let's get back to other news. amazon is showing off the latest version of the delivery drones it first announced two years ago. a youtube video of jeremy clarkson shows a family organize a pair of replacement soccer cleats. the box rolls off the line and it rises vertically, and flies like an airplane for up to 15 miles. it's equipped with sense and voice target. seeks out a targeted landing spot and drops off the package. amazon is not saying when it
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could have the drones in service. i guess we all can't wait until this one finally goes mainstream. moving on, mercedes dominated the last race of the f1 season in abu dhabi. it was a record 12th one, two finish. hamilton, of course, finishing the season as world champion for the third time. actually vettel didn't do so bad limit he's not getting the title this year. meantime, tyson furry is the heavy weight boxing champion. furry remains undefeated in his professional career. and this one really made the headlines in the u.k. world number two andy murray helped brittain to its first davis cup win in 79 years by
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defeating david gaufin. just beautiful pictures. soak it in. have a look at that. that is a once in a lifetime experience for every tennis player, specifically for mr. murray. still to come on the show, we're live in paris where hundreds of world leaders will speak at comp21. take a look at newly released pictures of the melting ice sheet. these were filmed using a drone. no matter how fast the markets change, at t. rowe price, our disciplined investment approach remains. we ask questions here. look for risks there. and search for opportunity everywhere. global markets may be uncertain. but you can feel confident
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in our investment experience... ... around the world. call a t. rowe price investment specialist, or your advisor... ...and see how we can help you find global opportunity. t. rowe price. invest with confidence.
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it is the final trading day of the month of november. it was a month to forget for oil prices wti. off by a little more than .10 percent and the brent was off given that we're seeing an oversupp oversupply. there's been a slight tone change. also, let's show you what the gold price has been doing. any relief for the gold bugs?
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no, not really. down roughly 7.5% so far this month. despite the fact that we're seeing more easing from the leaks of the ecb and also from the boj. the bigger one is the fed getting ready to hike interest rates. france has reportedly bowed to pressure from the united states agreeing that any climate change deal from comp 21 will not be a treaty. it's likely nations won't face any legally binding carbon cutting goals. let's get out to steve sedgwick. >> reporter: that's an interesting point. no legally binding treaty. so what does that mean for a deal? how enforceable is it? let's speak to a good friend of skr nbc. vika, really nice to see you today. you're representing your own business but also a larger group of businesses who really want a deal, but if it's not legally enforceable, what kind of deal is it going to be? >> i think it will be a better
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deal than in copenhagen so many years ago because that was a top down deal or basically it was no deal ag deal at all. this is bottom up. maybe it's not totally legally enforceable but it's the credibility of all the different countries and their plans. i assume they will deliver on their own plans. >> even the monitoring is contentious as well. we're not sure whether the indians will go along with the strenuous funding. where is the penalty? where is the issue if you miss your target and actually we over shoot what is quite an ambitious target of 2.7 degrees centigrade rather than 2% that the scientists want? >> yeah, the 2% we should be within. with all of these plans and an extrapolation and the accomplishment of all the different plans brings us close
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to 3 degrees and it might be that some of the plans will not be executed or that the extrapolation is a little bit softer than expected now. then we might be between 4 and 5 degrees still. so there's quite a little bit -- >> that's catastrophic for the world? >> that is catastrophic in terms of disease, food, refugees. we haven't seen it yet if the climate will really be destroyed. so it is something we need to do. therefore, i'm there as business as well. businesses need to stimulate politicians to make a deal. what is the argument the politicians can use not making a deal? most likely they will use economy, jobs, competitiveness as an argument. we say from business and there are many business leaders here, hey, guys, you can make a deal. we will support you because at the end of the day we cannot be successful in a world that fails. we need your support to make this a better place.
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we can operate only in a better place. >> what do your shareholders say about this? a lot of shareholders want to maximize profit and dividend. they're not all a message with getting on board a climate change message are they? surely some of them want you to maximize profits. if you're doing this, you're going to be affecting margins? >> right. i want also to maximize profits and maximize the success of the company. not only today but in the years to come. on a long-term basis. i think we have many shareholders who want that. if we decarbon niez the world and put a price on carbon, who will ben frefit from that. a company like us will benefit from that. clean power proj nekts nutrition, having cows with less meat emissions but also materials which make cars lighter. second generation bio fuels, solar energies.
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so at the end of the day those will benefit who are the best in low carbon and the others will have to pay the bill. >> but you want this to go ahead, but if it doesn't go ahead you're going to go ahead regardless. dsm will carry out practices that will move yourself forward regardless of what the chinese do. that will put you under huge competitive pressure though. >> why? >> because if you're doing it and it's costing more potentially than the guys who are not having those same restraints, same carbon limiting restraints, that could cost you compared with them competitively, couldn't it? >> i'm not so sure about that. i think that our technologies are usable and i think the world will back fire with technologies because we are moving anyway. look to all the different pension funds which already today said i don't invest in coal anymore. look to all of the different people who are moving, more than 40 billion in green funds today.
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so we have a lot of investors who want to go this direction. we have a lot of countries that are being announced here who need our help to decarbonize our society. we will be there to give that technology. >> a lot of people wear their heart on their sleeve? what have you got on your sleeve? take a look at that. >> here is 1,000 cubic meters of clean air out of china and here there's another one. >> little black dot. >> the black carbon here. this is air, polluted air in beijing being compressed into carbon into a cuff link. >> the ultimate carbon capture on your cuff links. >> very nice to see you. >> steve, thank you so much for that. very interesting cuff links there. let's talk about the investing side of climate change. the head of whb, what do your cuff links do?
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>> solar panels. they're made of poly silicon. >> is there an investment case around comp 21 even if we don't get binding treaties? >> absolutely. the big deal going into comp 21 is the fact that so many countries, the indcs, the national contributions that they've calculated. that sets the stage for a positive deal, we think, even if there isn't a legally bientding treaty. we think the vast majority will continue to pursue the policies that have led to these indcs. >> seb, this all sounds pretty vague to me right now. first of all, we don't know how to actually police those agreements. we don't know who's going to enforce them. then how exactly as an investor do you know how to invest in that space? what do you do practically? >> there's a strong commercial case for a lot of these technologies now. solar famously, the prices of solar have come down 80 to 90%
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in the last six years. it's the cheapest form of electricity. here in the u.k. on shore wind is the cheapest form of technology, energy generation technology. in many countries these legal frameworks are in a way less important than the technologies themselves. >> the buzz word is sustainable investing. a lot of people have done the research and whether they can generate alpha. to be honest, the research isn't clear-cut on that. do you think it actually generates alpha? can you make more money with sustainable investing than with traditional investing? >> absolutely. i'm not sure i necessarily draw some stark difference between the two. most sophisticated investors are already taking account of environmental issues in the way they invest. two of the main stories still volkswagen and now bhp billett have an impact on the share
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price. we absolutely believe you can invest this way and make good money. one of the big arguments is around growth. the one part of the economy that is growing is low carbon and green so if you're an investor that's looking for growth, looking through a sustainability lens, it's a pretty good way of finding it. >> you mentioned two very good stock examples, vw and bhp. do you think that has dramatically altered the way that we look at how corp rates are dealing with a carbon footprint, how they're dealing with their environmental impact? is there going to be a lot more scrutiny going forward? >> i think so. i think clearly in the car industry that there is a case study now of whatnot to do and how important these issues now are. it's not so long ago that we had bp, the gulf of mexico, now we have bhp billett. the down side risk is well understood by most investors what perhaps a lot of investors
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are missing is the opportunity side of this. how you can invest in the new low carbon technologies to generate alpha as you're saying. >> where are you seeing the biggest opportunities, the ones that not everyone has jumped on yet? is it really in the emerging markets? >> there are opportunities everywhere to be honest. the part of the universe that most people point to is renewable energy. we actually think a lot of efficiency companies save energy, energy lighting businesses, installation businesses, automation in manufacturing, you know, electric cars. there are just a huge number of different opportunities. it's not just about renewable energy. it's much prodder base than that. >> seb, thank you for your insight. partner and head of research at wheb. moving on, millions of americans hit the malls for
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black friday hoping to take advantage of the amazing deals that we see. is the shopping frenzy losing its appeal. nbc's olivia stearns has the answer. >> reporter: long lines, the mad rush, deep discounts. >> all the characters were buy one, get one 80% off. >> reporter: all the markers of a great black friday. >> i'm probably going to look at tvs and toys. >> we going to shop until we fall. >> reporter: so why are experts saying this black friday has been a bit of a dud? >> some of those factors that go into shopping on black friday have a lot to do with what the weather is that day and even what the deals are online or even in store. >> reporter: well, black friday has turned into black november. americans are shopping earlier taking the punch out of friday's numbers. >> so many of these deals have been open to the public since the beginning of november. >> reporter: mother nature also didn't help. look at this weather map. gorgeous on both coasts with ice storms and snow in the midwest. all plenty of reason to keep
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shoppers away from the mall. while americans aren't shopping as much in stores, they're shopping more at home. >> they're using their desk tops and they're using their mobile devices to take vak of the offers. >> reporter: in fact, online holiday purchases are up 14% this year with more than half those purchases made on a smartphone or tablet. the silver lining on a black friday that may have many retailers seeing red. european markets, meanwhile, have moved out of the red into the green. we've seen quite a reversal in this morning's trading session. the xetra dax is showing healthy gains of 3/4 of 1 pers percent. 11373. the cac 40 up by 3/4 of a%. bhp off by roughly 5% on fears from damages coming from the brazil dam break. in terms of u.s. futures, here's how we're looking. back from the holidays, the s&p
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500 seen up by 3.5%. dow jones is up by 35 points and nasdaq up by 8 points. in the currency markets, euro dollar at 19.06 level. all eyes on the ecb. we get the nonpharmpayrolls and opec meeting. it will be a pretty busy week. quick peek at the bond market. seeing the 10 year treasury note at 0.126%. world leaders are arriving at the venue of the comp 21 climate summit. we'll have plenty more after the break. [burke] it's easy to buy insurance and forget about it. but the more you learn about your coverage, the more gaps you may find. [burke] like how you thought you were covered for this... [man] it's a profound statement. [burke] but you're not even covered for this... [man] it's a profound statement.
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[burke] or how you may be covered for this... [burke] but not for something like this... [burke] talk to farmers and see what gaps could be hiding in your coverage. [sfx: yeti noise] ♪ we are farmers bum - pa - dum, bum - bum - bum - bum ♪
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welcome to "worldwide exchange." i'm carolin roth. these are your headlines from around the world. >> reporter: 150 world leaders arrive in paris, the key cop 21 climate change talks. this amid, of course, heightened protection and concern of security on the streets of paris. as far as a deal is concerned, concessions are already being made. bhp shares slide towards the bottom of the stock 600 as brazil gets ready to slap the miner with a $5.2 billion fine


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