Stocks: Chipper after the long weekend

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NEW YORK (CNNMoney)

U.S. stock futures were slightly higher ahead of another round of quarterly earnings.

Kimberly-Clark (KMB, Fortune 500), a producer of consumer products including Kleenex, reported a loss that was smaller than the loss reported a year ago. The CEO blamed "cost inflation."

Toy company Hasbro (HAS) and energy producer Halliburton (HAL, Fortune 500) reported gains in net income, after reporting losses a year earlier.

Netflix (NFLX) will be reporting after the market closes. The stock has been one of Wall Street's big momentum plays and the top performer in the S&P 500 last year, with an incredible 269% rise. But tech stocks have been volatile over the past several weeks, and Netflix shares are down 6% this year.

Related: Fear & Greed Index gripped by fear

There are many other big earnings announcements set for later in the week. McDonald's (MCD, Fortune 500), Apple (AAPL, Fortune 500) and Facebook (FB, Fortune 500) will all be reporting.

But it's a slower week for economic data releases, with none set for Monday. The latest existing home sales report will be released on Tuesday.

Related: Here's what to expect this week in the stock market

All the major European markets were closed Monday for the Easter holiday.

Some Asian markets were open, but they weren't moving in unison. The Shanghai Composite index fell by 1.5% -- but other major indexes were little changed.

First Published: April 21, 2014: 5:15 AM ET

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Second General Motors recall delayed by years

GM CEO Mary Barra recently faced questions on Capitol Hill about the automaker's delayed recall for an ignition switch flaw.

NEW YORK (CNNMoney)

The first involved long delays in initiating a recall tied to defective ignition switches that could shut off a car's power while driving. General Motors (GM, Fortune 500) knew of the problem in 2004, but the recall that now totals 2.6 million cars was announced only this past February.

A second recall, announced in late March, involved problems with power steering and affected 1.3 million U.S. vehicles, including Saturn Ions from model years 2004 to 2007. Twelve accidents have been tied to the defect, though no deaths.

The first report of a Saturn Ion power steering issue was sent to the government's National Highway Traffic Safety Agency in June 2004.

Newly-released documents show NHTSA opened an investigation into the problem in September 2011.

The documents reveal thousands of customer reports of power steering issues: nearly 4,800 complaints and over 30,000 warranty claims.

It wasn't clear why the Saturn Ion vehicles were not included in a 2010 power steering recall of about 1 million GM vehicles. The documents show GM told regulators the power steering system in the Ions is the same as in those recalled vehicles.

Related: GM will ask court to halt lawsuits

A GM spokesman declined to provide additional comment, pointing CNN and the Associated Press, which first reported the new documents, to GM's statement in March announcing the power steering recall. "With these safety recalls and lifetime warranties, we are going after every car that might have this problem, and we are going to make it right," the automaker's vice president for vehicle safety, Jeff Boyer, said, adding past efforts had not been enough.

NHTSA said that when GM announced the recall, it "was actively working to bring this investigation to a resolution." The statement also touted the agency's safety efforts that contributed to bring "vehicle fatalities to historic, all-time lows."

The loss of power steering increases crash risk, although the vehicle can still be steered manually, NHTSA said. GM identified three possible causes, including faults with the power steering motor.

--CNN's Mike Ahlers contributed to this report

First Published: April 21, 2014: 11:21 AM ET

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Many recalled GM cars won't be repaired

Many of the recalled GM cars will never get repaired according to experts.

NEW YORK (CNNMoney)

That's because roughly a third of all vehicles recalled by automakers are never brought to dealers.

Experts say there are many reasons that people don't take advantage of free repairs for their cars. Many people believe the notices are junk mail solicitations from the automakers. Others minimize the safety risk, having never seen the problem prompting the recall. Still others can't give up their car for the time it takes to make a repair.

And there are two reasons that suggest more owners than average won't get the repairs done in this recall. Older model cars -- such as the ones involved -- are likely to have had multiple owners, making it more difficult for automakers to track down the current owners. And when the dealer or brand has gone out of business, as is the case with the Pontiac and Saturn cars, owners are sometimes not aware that they can go to any GM dealership.

GM says it gets more of its recalled cars to the shop than the industry-wide average. Spokesman Alan Adler said 80% of recalled GM vehicles are repaired within a year, and 85% are fixed within two years.

Related: GM - Steps to a recall nightmare

But even with higher fix rates, there will be a significant number of cars on the road with an ignition switch that can shut off and cause the airbag, power steering and anti-lock brakes to fail.

"You can't look at the percentages, you have to look at total number of vehicles," said Chris Basso, a spokesman of CarFax, the service that tracks accidents and repairs done to cars. "If they get to 90%, that would be great, but that would still leave more than 250,000 on the road."

The publicity in this case might not be enough to get a higher completion rate. In one of the most famous recalls in history -- the Ford Pinto that was at risk of an exploding gas tank -- only 52% of cars were brought in for the free repair, according to Clarence Ditlow, executive director of the Center for Auto Safety.

"That was the completion rate on a defect that everyone knew was horrible, so I doubt you'll get more than 52% on this one," he said.

Related: The car GM never wanted to build

The problem is not limited to GM or to this recall, Basso said. CarFax has done analysis that shows 36 million cars now on the road, or roughly one in seven, are subject to a safety-related recall but have never been repaired. CarFax has a free service at recall.carfax.com that allows owners to plug in their VIN number to see if there are any unaddressed recalls on their cars.

Ditlow said there is more that can be done to get the recalled cars in for repairs, including not letting a car pass state inspection or even be registered for a new year if there is an open recall. At the minimum, he says no car should be able to be sold without a recall being addressed.

"There's a lot of ways we can do better," he said.

Related: Cool cars from NY auto show

But there are few laws that require owners to bring a car in for a recall and none that require a car seller, even a dealership, to disclose or comply with a recall.

CarFax estimates that 3.5 million online car sale listings in 2013 were for vehicles with unaddressed recalls in place. At the very least, used car buyers should be checking for recalls before they buy, said Basso.

"Everybody needs to take responsibility to look for open recalls and then fix them," he said. "In almost every case, it's free to get them fixed."

First Published: April 21, 2014: 6:55 AM ET

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Americans still don't trust the stock market

Despite a big rally, small investors remain skeptical of Wall Street.

NEW YORK (CNNMoney)

The survey of over 1,000 households by Bankrate.com showed that 73% are "not more inclined to invest in stocks."

It was the third year in a row that individual investors expressed a negative view of the stock market.

The survey suggests that average Americans remain wary of Wall Street even though stocks have been in a bull market for more than five years.

After bottoming in 2009, the S&P 500 has more than doubled in value.

Individual investors have a history of buying stocks when prices are high selling when the market falls, often resulting in losses.

But they seem to be avoiding that fate this time around by not buying stocks at all, said Greg McBride, chief financial analyst at Bankrate.com.

Related: Wealthy investors flock to fine art funds

The difference this time is that individual investors have experienced two major downturns in the past decade. First there was the technology bubble in 2000, then the financial crisis and Great Recession of 2008.

"A lot of individual investors got burned twice and as a result they swore off investing in equities," said McBride.

Instead, he said small investors have been "hunkering down" in more conservative investments, such as bonds and cash, which have returned next to nothing in the past few years.

Data on how much money is flowing into and out of mutual funds reflects this cautious approach. While investors began adding exposure to stocks in the first quarter of 2013, the flow of money into equity mutual funds has since tapered off.

But this strategy is even more risky than investing in stocks for investors saving for retirement, according to McBride.

Related: The real economy is finally doing better than the money economy

"Individual investors are jeopardizing their long-term financial stability over concerns about short-term volatility," he said.

He said the number one risk for investors over the long run is not market volatility but inflation, which severely erodes the value of fixed income assets like bonds.

While stocks are prone to boom and bust cycles, experts say a well balanced portfolio is the best way to grow wealth over a long period of time.

"Investing over period of years in diverse portfolio is the pathway to financial stability," said McBride.

First Published: April 21, 2014: 7:03 AM ET

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Medicare vs. private insurance: Which costs less

NEW YORK (CNNMoney)

Medicare has the bad rap of being a big, bloated government program, but it's not because it's overpaying doctors.

CNNMoney analyzed the "allowed charges" for five common procedures, using data provided the Centers for Medicare and Medicaid Services and Truven Health Analytics, a research firm.

The differences can be stark. Private insurers allow an average of $1,226 for low-back disc surgery, while Medicare will only permit $654, for instance.

And the gap can grow wider depending on where the patient is. In New York, insurers allow $1,352 for a gall bladder removal, compared to $580 for Medicare.

Some services are more comparable. For office visits by established patients, for instance, Medicare will allow 92% of what insurers do.

Overall, Medicare's allowed charges are roughly 80% of the charges allowed by private insurers - about the same as they have been since 1999.

Sometimes, however, the government does reimburse health care providers more. In Florida, for instance, a doctor doing a colonoscopy in his office will receive $395 for a Medicare patient, but only $342 for one covered by private insurance.

How does Medicare get away with paying less?

"Medicare doesn't negotiate rates. It sets them," said Stuart Guterman, vice president at The Commonwealth Fund, an independent health policy research group.

And doctors might be okay getting less per procedure because Medicare patients tend to need a lot of care. As a result, the total bill can add up. Nearly 4,000 doctors were paid more than $1 million from Medicare, according to data released this month.

Private insurers, meanwhile, can't cut rates that deeply or they risk a revolt by doctors, who may opt to leave the carrier.

"When you want to market your health plan, you want to say all the great doctors are in your network," said Anne Fischer, director of Truven's Center for Healthcare Analytics.

This balancing act became evident when the Obamacare exchanges launched in October. In order to keep premiums low, insurers offered plans with more limited access to doctors and hospitals. Many health care providers complained that insurers' rates for exchange plans were too low, so they opted not to participate.

Why, then, is Medicare considered bloated?

It's more about use than prices, with the government under more pressure to pay for whatever services the doctor prescribes or the patient wants, Guterman said.

Insurers, meanwhile, have more tools to limit potentially unnecessary procedures. These include pre-authorization requirements to determine whether a treatment plan is medically justified.

"Medicare spending goes up because people use it more," he said.

Related: Medicare doctors. Who gets the big bucks & for what

First Published: April 21, 2014: 8:19 AM ET

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Millions slip into Obamacare 'coverage gap'

Hidalgo County, Texas (CNNMoney)

They earn too much money to qualify for Medicaid, yet don't make enough to get federal subsidies to buy private insurance on an Affordable Care Act exchange.

The human toll of the coverage gap can be found all too easily in Hidalgo County, Texas, where less than half of non-senior adults had health insurance in 2012.

"If Obama did this market so we can get affordable insurance, why are we still having a lot of problems? What's going on?" asked Anna Covacevich, a 57-year-old home care provider and Hidalgo County resident who made $8,000 last year.

Related: Got Obamacare, can't find doctors

People like Covacevich were supposed to be helped by Obamacare.

The Affordable Care Act expanded Medicaid to cover everyone with incomes up to 138% of the poverty line. But the Supreme Court ruled that states could opt out of the expanded federal program -- and 24 states have done just that.

Texas is one of them.

Governor Rick Perry has said Medicaid needs to be reformed to emphasize personal responsibility and that the expanded program will be too expensive.

In Texas, a childless non-disabled adult is not eligible for Medicaid, and a parent with two children is only eligible if he or she makes less than $3,737 a year.

At the same time, anyone who makes less than the poverty line ($11,490 for a single person and 23,550 for a household of four in 2013) does not qualify for an Obamacare subsidy for private insurance.

"Those people are caught in between. They're just going to stay the same. Nothing they can do," said Raquel Vargas, a Healthcare.gov application counselor at Nuestra Clinica Del Valle, a nonprofit medical clinic in the county.

One day in late March, more than half of the people Vargas met with fell into this category -- not qualifying for a subsidy but not poor enough for Medicaid.

Related: Who makes the big Medicare bucks

Nationwide, about 5 million people are in the "coverage gap," according to the Kaiser Family Foundation. In Texas alone, the number is 1 million.

Raquel Calderon, 55, her arm in a sling after a recent injury, doesn't have insurance and falls just under the poverty line. She's paying for her treatment out of pocket. "I consider myself healthy, except for the fall."

Jose Canchola, a 50-year-old laborer who works in the onion fields, says he can't afford insurance. "I know that I need to see a doctor," he said.

Meanwhile, the uninsured continue to visit nonprofit medical clinics for their health care.

"I hope that one day everybody can receive the care that they need, and that's why we're here," said Rebecca Stocker, who runs the Hope Family Health Center, treating only uninsured individuals. "But it's scary, and it's sad to be on the front lines."

Danny Ordaz, who has 8-year-old twin boys, has never had health insurance. When his children get sick, he takes them to Reynosa, Mexico. "It's cheaper," he said.

Hospitals just south of the U.S.-Mexico border advertise medical treatments on their websites. A "basic check-up" at one hospital includes blood work, a urine analysis and chest X-rays for $160.

Covacevich, the home care provider, said she would be happy to pay something for insurance. "What I could afford would be from $70 to $100 a month. That would help me a lot," she said.

But for comprehensive coverage, that just is not an option for Covacevich, or for millions more across the country. The most affordable plan on the exchange that Covacevich found would cost her $227 a month because she does not qualify for the federal subsidy.

First Published: April 21, 2014: 10:17 AM ET

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UAW drops NLRB case to organize Volkswagen

Workers on the VW assembly line in Chattanooga.

NEW YORK (CNNMoney)

The National Labor Relations Board was set to start a hearing Monday on the UAW's complaint that Republican politicians improperly interfered before the Feb. 14 vote at the Chattanooga, Tenn. plant, which the union lost 712 to 626.

But the union issued a statement Monday saying it was dropping its appeal because fighting the election through the NLRB could have dragged on for years.

"The UAW is ready to put February's tainted election in the rear-view mirror," said UAW President Bob King in a statement.

The union said even if the NLRB ordered a new election -- the board's only available remedy under current law -- nothing would stop politicians and anti-union organizations from again interfering.

Related: VW employees say 'No' to UAW

But some experts had suggested that the union stood little chance of winning a new vote, even if the NRLB ruled in its favor.

"Most people thought they'd win the first time around," said Gary Chaison, professor of industrial relations at Clark University. "I think the chances of winning a second vote will be more difficult than winning the first vote."

Sen. Bob Corker, R-Tenn., one of the politicians the UAW accused of improperly interfering in the election, also claimed the union was dropping its effort because it knew it couldn't win a new vote.

"This 11th hour reversal by the UAW affirms what we have said all along -- that their objection was nothing more than a sideshow to draw attention away from their stinging loss in Chattanooga," he said.

The UAW's efforts to organize nonunion plants is seen as crucial to its long-term survival.

So far the UAW has been limited to representing plants operated by U.S. automakers General Motors, (GM, Fortune 500) Ford Motor (F, Fortune 500) and Chrysler Group, as well as their suppliers. Plant closings over the last 15 years have cut into UAW membership. Meanwhile, automakers from Asia and Europe have opened more than 30 plants in the United States, and more than two-thirds of those plants are in the South.

Unlike most employers facing a union-organizing election, Volkswagen had stayed neutral on the vote. It even seemed to be encouraging workers to vote for the union, saying it hoped to set up a "works council" to improve productivity at the plant.

VW, which has German union members on its board, uses works councils at most of its plants worldwide. But U.S. labor law makes such councils difficult without an independent union in place

But Corker, Tennessee Gov. Bill Haslam and other leading Republican elected officials suggested that if the union won the organizing election it would scare away other companies looking at opening factories in the state, where unions are relatively rare. There were even threats that the state would deny VW $300 million in tax breaks it is seeking to expand the plant if the union won the vote.

The UAW says it will ask Congress to examine the use of federal funds in the state's incentives threat.

"Frankly, Congress is a more effective venue for publicly examining the now well-documented threat," King said.

Related: Union membership at businesses grow

Chaison said it could cause problems for the UAW and other unions should the NLRB rule politicians can't weigh in on labor disputes such as organizing efforts or strikes.

"If opponents of the union can be told to refrain from interfering, friends of the union can be told the same thing," he said. "Chattanooga is an unusual place for unions to organize. Most of the places where unions would organize -- places like New York, Las Vegas or Detroit -- politicians would stand in line to support a union. That would provide ammunition to employers to object if they lost an organizing vote."

Opponents of the union say the workers decided on their own that they didn't want or need the union. Workers at the VW plant make roughly $19 an hour, compared with about $26 to $28 an hour for veteran hourly workers at the Detroit automakers, although new hires at the unionized plants are making closer to $17.

First Published: April 21, 2014: 8:37 AM ET

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Nonprofits that pay top fundraisers $1 million (or more) a year

Universities led the pack among nonprofits that paid fundraisers $500,000 or more, the study found.

NEW YORK (CNNMoney)

When taking salary, bonuses, retirement, healthcare and other benefits into account, 29 nonprofit fundraisers earned more than $500,000 in 2011, while two executives took in more than $1 million, according to a Chronicle of Philanthropy study of tax returns for nonprofit organizations for 2011, the most recent year available. More than 150 fundraisers earned $250,000 or more.

Many of them received large bonuses, which in some cases more than doubled their annual earnings.

Among the most highly paid: development directors at universities, medical research centers and hospitals, many of which are expected to spearhead increasingly ambitious fundraising campaigns with multimillion or even billion dollar goals, said Stacy Palmer, the Chronicle's editor.

At the same time, these organizations are all competing for the country's most talented fundraisers, she said.

Related: Top charity CEOs pay exceeds $1 million

"The kinds of people who oversee these ambitious [fundraising] drives are a very rare breed," she said. "Everybody says there is a shortage of people who are terrific so people will pay premium dollars."

Meanwhile, the Chronicle found that those raising money for the arts and environmental nonprofits were typically paid much less.

New York City's Memorial Sloan Kettering Cancer Center employed two of the top five highest-paid fundraisers. The renowned cancer hospital and research center paid one executive $1.2 million in total compensation, including a $750,000 bonus, and another exec earned nearly $900,000.

Sloan Kettering received more than $300 million in private donations that year. It declined to comment.

Related: Where your donation dollars go

The second most highly paid fundraiser works at Columbia University and earned close to $1.1 million, including a $520,000 bonus, according to the study.

The university said the bonus was given after it reached a fundraising goal of $4 billion, which it said was the most ever raised by an Ivy League institution.

"It is hardly surprising that this success should be significantly reflected in her compensation for this extraordinary period for the university," Columbia President Lee Bollinger said in a statement.

The Chronicle analyzed the tax documents of nonprofits with $35 million or more in donations in 2011. In total, it examined the compensation of more than 430 people employed at 280 nonprofits.

First Published: April 21, 2014: 12:20 AM ET

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Stocks flat ahead of earnings deluge

Click for more market data.

NEW YORK (CNNMoney)

The Dow Jones industrial average, the S&P 500 and Nasdaq were all flat in early trading. Trading volume was anemic with many professional money managers taking the day off.

U.S. markets were closed Friday for Good Friday. European markets and some Asian markets are still closed Monday for the Easter holiday.

Corporate earnings will be the main focus this week, with 11 Dow companies and 161 of the S&P 500 scheduled to release quarterly reports.

Analysts expect overall earnings for the S&P 500 to have declined the first quarter, but results so far have been better than forecast. Of the 82 companies that have reported earnings as of last week, 66% have topped forecasts, according to Fact Set Research.

"This week should give us a better read on the earnings season," said Bill Stone, chief strategist at PNC Wealth Management.

Related: Americans still don't trust the stock market

Earnings released Monday painted a mixed picture.

Kimberly-Clark (KMB, Fortune 500), a producer of consumer products including Kleenex, reported a loss that was smaller than the loss reported a year ago. The CEO blamed "cost inflation."

Toy company Hasbro (HAS) and energy producer Halliburton (HAL, Fortune 500) reported gains in net income, after reporting losses a year earlier.

Netflix will report today after the market closes. The stock has been one of Wall Street's big momentum plays and the top performer in the S&P 500 last year, with an incredible 269% rise. But tech stocks have been volatile over the past several weeks, and Netflix shares are down 6% this year.

Related: Fear & Greed Index gripped by fear

There are many other big earnings announcements set for later in the week.GM (GM, Fortune 500), Apple (AAPL, Fortune 500) and Stabucks (SBUX, Fortune 500) will all be reporting.

Shares of Newmont Mining (NEM, Fortune 500) rose after Bloomberg reported that it's in talks to be bought by rival gold mining company Barrick Gold Corp (ABX). The report said negotiations hit a snag over three days ago, but suggested that Barrick is willing to pay a significant premium.

Chinese social media company Weibo (WB), often compared to Twitter (TWTR), continued to rally following its initial public offering last week. The stock gained 12% in early trading to a high near $23 a share.

TransCanada (TRP), which builds pipelines and other energy infrastructure, was down 3% Monday after the U.S. again push back a decision on the controversial Keystone XL pipeline.

First Published: April 21, 2014: 9:46 AM ET

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$100,000 income: Three very different tax bills

NEW YORK (CNNMoney)

One that stands out: People making the same money in each of those places can face very different tax bills.

CNNMoney asked the Tax Institute of H&R Block to compare the combined federal, state and local income tax bill on a gross household income of $100,000 in each of the three cities.

For a dual-earner married couple with two young children, the New York City borough of Queens would deliver the biggest tax bite at $8,719. (We had to make some assumptions about the taxpayer's situation; see them below.)

The Queens couple would pay the biggest bill largely because they would be subject to some of the highest state and local income taxes in the country.

By contrast, the same $100,000 couple in Seattle would pay the smallest total income tax bill -- just $3,286 -- because Washington has no state or local income taxes.

Related: Who pays most income taxes? People 45 and up

Queens would also be the priciest place tax-wise for childless singles making $100,000, followed by Topeka then Seattle.

But the order changes a little for everybody if one isolates just the federal tax burden.

In that case, Topeka tops the list. A family of four there could owe $4,066 to Uncle Sam versus $3,076 if they lived in Queens or $3,286 in Seattle.

Here's why: State and city income, sales and property taxes affect a person's federal tax burden because they are deductible on the federal income tax return. So the lower those taxes are, the smaller the federal tax deduction and the bigger a person's federal tax bill.

Home prices, too, play a role since they determine how big a mortgage one needs and how large one's federal mortgage interest deduction will be.

A key reason why Topeka takes the No. 1 spot among the three cities in terms of the federal income tax burden is because residents there are likely to pay less in mortgage interest and property taxes than they would in either Queens or Seattle.

This story is part of a CNNMoney series exploring Americans' real tax burden. We'd love to hear how you feel about yours at #YourEconomy.

First Published: April 21, 2014: 6:58 AM ET

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Stocks: Something to smile about

Click for more details

NEW YORK (CNNMoney)

Better than expected reports from Citigroup and retail sales data helped U.S. markets open in positive territory after a painful week that saw the Nasdaq fall 3.1%, the S&P 500 side 2.7% , and the Dow Industrials tumble 2.3%. Traders expect more volatility as earnings season kicks into full swing over the next few weeks.

The king of the morning is Citigroup (C, Fortune 500). The third largest U.S. bank's stock is climbing after the company released first quarter earnings that beat analysts' forecasts. Profits rose 4% from the same period last year.

Earnings from Bank of America (BAC, Fortune 500), Goldman Sachs (GS, Fortune 500), and Morgan Stanley (MS, Fortune 500) will come later in the week.

Related: Here are the earnings to expect in the week ahead

Much of the recent choppiness in the markets have been drive by so called "momentum stocks", the tech and biotech companies that had an incredible run in the past year, but have fallen sharply in recent days.

On Monday, tech stocks were on the rebound. Facebook (FB, Fortune 500), Twitter (TWTR), Amazon.com (AMZN, Fortune 500), Netflix (NFLX), Google (GOOG, Fortune 500) and Yahoo (YHOO, Fortune 500) were all gaining ground. Google and Yahoo will also report earnings this week.

Related: CNNMoney Tech 30

Another stock that took a pounding on Friday, but is bouncing back today is Herbalife (HLF). Shares of the multi-level marketer plunged after reports of an FBI probe. The company said it had "no knowledge of any ongoing investigation by the DOJ or the FBI."

The latest reading from the CNNMoney Fear & Greed Index shows market sentiment is in "extreme fear" mode after the turmoil at the end of last week. It will be interesting to see where the meter is as the day progresses.

On the economic front, March retail sales posted their biggest gain since September 2012, up 1.1% as shoppers started returning to stores after the frigid winter months. Sales were exceptionally strong at auto dealers.

In other news, the financial services company TIAA-CREF is buying Nuveen Investments for $6.25 billion including debt. Nuveen has $221 billion in assets under management and brings TIAA-CREF's total assets under management to $800 billion.

Related: Investors dip a toe back into emerging markets

European markets were all lower as investors reacted to Friday's U.S. sell-off and the growing threat of U.S. and European sanctions against Russia.

Russian stocks and the ruble dropped as the continuing strife between Russia and Ukraine ramped up to a fever pitch. Pro-Russian protesters seized a police station in Ukraine and the government threatened to oust them with a "full scale anti-terrorist operation."

"Even before this, the U.S. and Europe were threatening more sanctions as Russia forces remain amassed on the Ukraine border," wrote currency strategist Marc Chandler in a market report for Brown Brothers Harriman. "The position and weapons of those forces ... is leading NATO to conclude that Putin is seeking the full occupation of Ukraine."

Asian markets closed with mixed results.

First Published: April 14, 2014: 9:49 AM ET

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Owed a refund? There's no penalty for filing late

If you're owed a refund and you can't file your taxes by April 15th, you won't get hit with a penalty.

NEW YORK (CNNMoney)

This has always been the case, but many people don't realize it. The IRS is chomping at the bit to get its tax revenue. It's less concerned about doling out refunds to people who haven't claimed them yet.

So if you are absolutely sure you're owed a refund, you won't get in trouble if you miss the filing deadline.

Related: 'How I'm using my tax refund'

But if you're wrong and you actually owe money, you'll need to fork over a fine. By both failing to file and failing to pay on time, you will incur a maximum penalty of 5% for each month after the deadline. If you're more than 60 days late, you'll be fined $135, or 100% of the unpaid tax -- whichever amount is smaller.

To avoid even the chance of being hit with these penalties, it's always safer to file on time. Or you can file for a six-month extension if you're feeling pressed for time -- which simply requires filling out Form 4868. But remember, even if you get an extension, you still have to pay 90% of the tax owed by the filing deadline.

Related: 7 most common tax mistakes

"Filing by the April deadline can save you from an unexpected surprise," says Lynn Ebel, tax attorney at the Tax Institute at H&R Block. "If you wait to file ... because you 'know' you are getting a refund and then find that you miscalculated and actually owe money, interest and penalties will have accrued on your debt [by the time you do file]."

And if you wait too long, your refund will become the property of the government. After three years, you can no longer claim a refund. This year, the IRS announced that more than 900,000 people still haven't claimed refunds worth a total of $760 million from 2011. After April 15, they can no longer retrieve the funds.

First Published: April 13, 2014: 12:06 PM ET

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Investors dip a toe back in emerging markets

After weeks of heavy outflows, the tide has turned in emerging markets.

NEW YORK (CNNMoney)

Nearly $2.5 billion flowed into mutual funds and exchange-traded funds that invest in emerging market stocks during the week that ended April 2, according to data from EPFR Global.

It was the first time money poured into those funds since October.

The inflow suggests that investors have regained some appetite for emerging market stocks, which were trading at a sharp discount following a big sell-off in January.

The iShares MSCI Emerging Market ETF (EEM), which tracks the widely-followed benchmark for emerging market stocks, is now in positive territory for the year.

Investors fled emerging markets in January amid fears about the so-called "Fragile Five" -- Turkey, Brazil, India, Indonesia and South Africa. Central banks in those countries were forced to prop up shaky currencies after political and economic concerns sparked big outflows of capital.

According to Allan Conway, head of emerging market equities at U.K.-based asset manager Schroders, investors overreacted and stocks in many countries are actually trading at very attractive levels.

While he expects most emerging markets to remain volatile in the short run, Conway said some specific countries could see "an avalanche of cheap investment opportunities by the end of the year."

Specifically, he pointed to what he dubbed the "Fab Four" of Taiwan, Korea, China and Russia (assuming the confrontation with Ukraine does not escalate).

Related: Time to invest in Russia?

While investments in any country carry a certain degree of political risk, it is especially acute in many emerging economies since governments in these nations often own a stake in the largest companies in the country.

Investors hope that upcoming elections in India, Indonesia and Brazil will set the stage for reforms that will make those economies more efficient, said Michelle Gibley, director of international research at Charles Schwab.

She said there's also been talk of new stimulus efforts in China, the world's second-largest economy.

Related: China's economy losing steam

Still, the optimism may be "misplaced" since there's no guarantee the newly elected politicians will follow through on proposed reforms, she added.

"I'm still cautious on emerging markets," said Gibley. "They still have a long way to go to fix their structural problems."

Emerging markets are generally considered more of a gamble than developed ones because the political risks are higher and many developing economies are exposed to volatility in commodities prices.

On the other hand, economic growth has historically been stronger in emerging markets, many of which have benefited from an expanding middle class.

Related: The big spending shift in emerging markets

That growth story began to unravel last year when the Federal Reserve first signaled that it would begin slowing its monthly bond purchases.

The U.S. central bank has pumped billions of dollars into the global economy over the past few years and much of the liquidity has made its way into emerging markets. The fear is that developing economies might be left high and dry as the Fed gradually turns off the taps this year.

Paul Christopher, chief international strategist at Wells Fargo Advisors, said it will take years for emerging market economies to work through excessive levels of domestic debt.

"The Fed's policies have exposed some of the weakness in emerging markets," he said. "Those problems have been there for years, but as the tide goes out, you begin to see the hazards below the surface."

While he has a positive long-term view on developing economies, Christopher said the average investor should not have more than 5% to 7% of a portfolio in emerging markets.

First Published: April 14, 2014: 1:19 AM ET

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Stocks: Fear, uncertainty and earnings

Click on chart to track premarkets

NEW YORK (CNNMoney)

U.S. stock futures were flat ahead of the opening bell with market sentiment trying to recover from last week's bumpy ride.

The latest reading from the CNNMoney Fear & Greed Index shows market sentiment has swung into 'extreme fear' mode.

All eyes will be focused this morning on Citigroup (C, Fortune 500) -- the third big bank to publish first quarter results.

JPMorgan Chase (JPM, Fortune 500) shares fell Friday and were slightly lower in premarket trading after the bank reported first quarter revenue that missed expectations. Its earnings were also sharply down compared to the same quarter last year.

Wells Fargo (WFC, Fortune 500)also reported earnings Friday, but unlike JPMorgan, its earnings topped analyst expectations.

Related: Here are the earnings to expect in the week ahead

On the economic front, investors will consider the latest monthly retail sales figures from the U.S. Census Bureau. Those numbers will be out at 8:30 a.m. ET.

U.S. stocks closed in the red Friday, capping off a bumpy week.

The Nasdaq was the biggest loser, falling more than 1.3% to end below 4,000 for the first time since early February. It lost 3.1% for the week.

The Dow Jones industrial average fell 143 points Friday, sinking 2.3% for the week. The S&P 500 also fell, ending the week down 2.6%.

Related: Investors dip a toe back into emerging markets

European markets were all lower in middy trading as investors reacted to the Friday U.S. sell-off and the growing threat of U.S. and European sanctions against Russia.

Russian stocks and the ruble dropped as the continuing strife between Russia and Ukraine ramped up to a fever pitch. Pro-Russian protesters seized a police station in Ukraine and the government threatened to oust them with a "full-scale anti-terrorist operation."

"Even before this, the U.S. and Europe were threatening more sanctions as Russia forces remain amassed on the Ukraine border," wrote currency strategist Marc Chandler in a market report for Brown Brothers Harriman. "The position and weapons of those forces ... is leading NATO to conclude that Putin is seeking the full occupation of Ukraine."

Asian markets closed with mixed results.

First Published: April 14, 2014: 5:02 AM ET

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Invest in next Facebook...for a few bucks

NEW YORK (CNNMoney)

These "investors" rarely expected more in return for their money than T-shirts, a ticket to a movie screening or maybe an early version of a new product.

That's about to change. Companies are starting to view crowdfunding as a legitimate option to raise serious cash.

Imagine the next Facebook (FB, Fortune 500) getting its start from average Joes and Janes deciding to give a few bucks each. Instead of just getting a nice thank you note, people who give money would get stock in the company.

In fact, virtual reality headset maker Oculus recently angered some of its earlier backers on Kickstarter by selling out to Facebook. Some Oculus fans felt betrayed and left out.

Related: 'Veronica Mars' scores on Kickstarter

But mom and pop investors may soon have a chance to invest in startup companies. The Securities and Exchange Commission is in the midst of the approval process for so-called "portals" to connect regular people and entrepreneurs.

"If mom and pop had put $1,000 into Facebook in the beginning, they would have ended up with $200,000 the day Facebook had its IPO," says Kim Wales, CEO of Wales Capital and CrowdBureau.

The formal name for this is equity crowdfunding, and the process has already begun for "accredited" investors. Right now, the SEC defines an "accredited" investor as someone who makes more than $200,000 a year (or $300,000 together with spouse) or has a net worth over $1 million (excluding the value of their primary home).

But the new rules the SEC is working on would let anyone invest in startups via crowdfunding sites.

Of course, there are clear flaws to throwing open the doors to anyone. The most obvious is that most startups fail and people lose money.

The SEC plans to limit losses by restricting average investors from putting down more than $2,000 or 5% of annual income or net worth in any 12-month period -- if the investor makes less than $100,000.

But $2,000 is still a lot of money to someone who doesn't earn a high income.

Kim Wales is aware of the criticism. But she points out that there are plenty of checks and balances to keep investors from getting burned, including a 21-day investor protection period in which you can get your money back if you decide not to invest after all.

Wales hopes to make CrowdBureau, a third party information site that will cater to crowdfunders a "bridge between Main Street and Wall Street."

She also points to the success of the Australian Small Scale Offering Board, a crowdfunding platform launched Down Under 8 years ago.

"There has been zero instances of fraud. It's not that people haven't tried, but the crowd has been very diligent in rooting it out," she says.

While that may be true, some security experts worry that crowdfunding could be a bastion for scammers.

Related: Kickstarter pulls plug on Kobe beef jerky scam

Dan Karson, chairman of risk consulting and mitigation firm Kroll Associates, poses this scenario: "Someone in Bucharest creates a fictional identity but has a real bank account and gets lower-income, unsophisticated investors to send him money."

That said, Karson does think equity crowdfunding will be "exciting for small investors." He is just concerned that it's "a new market with limited regulation."

But fraud may not be the biggest problem. Lynn Turner, a former SEC chief accountant, notes that investing in startups is inherently risky.

"There's a very clear track record that isn't going to change. A vast amount of companies will fold," he says.

The Small Business Administration reports that roughly half of all new businesses survive five years or more with about a third making it to 10 years.

Turner calls the pending equity crowdfunding situation "a fiasco" that could land the SEC with complaints from thousands of small investors who lose $2,000 each.

"My prediction, but not my wish, is that equity crowdfunding will die from bad publicity after people lose their money from businesses that go belly up," he adds.

Equity crowdfunding will not make sense for many investors.

Related: What's the deal with crowdfunding investments?

Daryl Bryant, founder and CEO of StartupValley, a registered intermediary "or portal" that hopes to connect entrepreneurs looking for investors, concedes as much.

"There is no promise or guarantee. What we offer is high risk, high reward," he says, adding that average investors shouldn't be thinking about investments in startups as retirement savings.

Investors are going to need to do their homework as well. Companies looking to raise $100,000 or less, will be allowed to certify their own financials. You heard that right. And while a venture capital firm can afford to swing for the fences and lose money in the hopes of finding a few big hits, the average investor can't.

But equity crowdfunding advocates say we are forgetting something important: the wisdom of the masses.

"With this platform, it's the crowd that helps determine if this is a good idea or not. The crowd is passionate about due diligence. The crowd will sniff out whatever doesn't smell right," Bryant said.

First Published: April 14, 2014: 7:16 AM ET

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Russian ruble rattled by renewed Ukraine unrest

The Russian ruble has declined by roughly 9% versus the U.S. dollar since the start of 2014.

LONDON (CNNMoney)

The ruble declined by roughly 0.7% Monday versus the U.S. dollar -- not far from the lows seen in mid-March. Russia's main stock market index also dipped by nearly 2% before recovering slightly. The Russian Micex index has declined by more than 10% since the start of the year.

Investors are growing concerned again about increasingly tense relations between Ukraine and Russia over turmoil in Ukraine's eastern region.

European and emerging markets were declining and crude oil prices on the NYMEX hit a six-week high before edging back down.

Ukraine and western nations are accusing Russia of deliberately trying to destabilize parts of eastern Ukraine ahead of national elections in late May. Russia's foreign minister Sergey Lavrov denied that Russian forces were active in the east.

Related: Investors dip a toe back in emerging markets

Last month, Russia took control over Ukraine's Crimea region.

Western nations, in an attempt to protect Ukraine and punish Russia, have issued sanctions against some individuals and firms responsible for the unrest.

British foreign secretary William Hague said more sanctions may be needed.

"Further sanctions have to be the response to Russia's behavior," Hague said Monday at a meeting of European Union foreign ministers in Luxembourg. Hague said the ministers would need to negotiate "much more far-reaching" punishments against Moscow.

Related: IMF slashes Russia growth forecast

Earlier this month, the International Monetary Fund slashed its economic growth forecast for Russia and warned of a wider economic fallout if the Ukraine crisis escalates.

The IMF expects Russia's oil-rich economy will grow by 1.3% in 2014. That compares with its January forecast of 1.9%.

Other forecasters, including the World Bank and some in the Russian government, expect a much weaker outcome due to a flight of capital and an emergency interest rate hike.

First Published: April 14, 2014: 9:27 AM ET

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Pot taxes won't be as high as hoped

Dude, these tax-revenue figures are really harshing my mellow.

NEW YORK (CNNMoney)

They had expected to raise $22.7 million before July from special sales taxes on recreational marijuana, but state economist Larson Silbaugh is skeptical.

About $3.4 million was raised in January and February, the only months for which sales have been reported so far.

"If current tax revenues keep coming in at the same pace, we won't meet that expectation," Silbaugh said.

Economists have also lowered the forecast for the full fiscal year ending in June 2015 to $54.7 million from $67 million.

The forecast was cut because fewer people switched from buying medical marijuana to buying recreational marijuana than was first expected, Silbaugh said. Medical marijuana users need to get approval from a doctor to buy the drug, but the state taxes those sales at just 2.9%. Recreational marijuana is taxed another 25%.

Still, making predictions for such a new industry is tough. Colorado is the first state to legalize sales of recreational marijuana in the country.

Early numbers may not accurately reflect what will happen when the marijuana market is completely developed. Sales in the first couple of months could be inflated due to the initial hype. But on the other hand, sales could be getting off to a slow start because only 24 retail stores were open for the entire month of January. Now, that number has more than doubled.

Gov. John Hickenlooper's office has its own predictions, which put tax revenue at about $98 million for the first fiscal year. But the governor also recently lowered his forecast, too, by about $20 million.

The tax revenue is slated for school construction, substance abuse treatment and programs aimed at keeping kids away from pot.

First Published: April 14, 2014: 9:35 AM ET

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Budgeting for a new home, and a disability

The Crosbys, with son Owen, are eager to move to a bigger home.

(Money Magazine)

Expected cost: $450,000.

With real estate in the area recovering, the Crosbys' house is worth close to their 2004 purchase price of $268,000.

Between equity of more than 20% and savings, they can foot a bigger down payment; plus, they have $2,000 a month after savings and bills for higher carrying costs. (Combined, they earn $147,000 from his job as a network administrator and hers as a business analyst.) But they'd like to be sure it all pencils out.

"We want to enjoy what we have now without blowing it for later," says Jennifer, 42.

Related: Baby on the way? Time to make a budget

They're also dealing with a major unknown: Tim, 43, has Charcot-Marie-Tooth disease, a neurological disorder that could one day affect his mobility.

"I'd like to work into my sixties," he says, "but don't know what my condition will bring into play."

WHERE THEY STAND

Real estate value: $243,000
Retirement savings: $189,500
Cash: $80,000
Cash value of life insurance: $23,000
Stocks/other investments: $15,500
TOTAL ASSETS: $551,000

Student loan: $50,000
Mortgage: $180,000
TOTAL LIABILITIES: $230,000

THREE FIXES

Fix retirement first. The Crosbys save $16,000 a year for retirement. At that rate, they'll have around $1 million in today's dollars by their mid-sixties, estimates Jacksonville financial planner Carolyn McClanahan.

A great start, but not enough to maintain their lifestyle in the best of circumstances -- and definitely not if Tim has to leave the workforce before 67. (The disability insurance he has through work will replace only 60% of his income.

McClanahan wants them to stash $8,000 more a year, preferably in Roth IRAs.

Related: Don't let divorce wreck your finances

Downscale the dream. Figuring a 20% down payment, a 30-year mortgage on a $450,000 house adds $650 to their monthly nut, not including higher taxes, insurance, utilities, and maintenance. Adding the higher retirement contributions, along with $3,000 a year that McClanahan would like them to save for Owen's college, the Crosbys will nearly erase their monthly surplus.

McClanahan would rather they dial back their budget to, say, $350,000, so that they can ...

Speed-pay the debt. McClanahan wants the Crosbys to get a 30-year mortgage, but put their leftover funds each month toward the debt. Erasing the loan early will reduce their retirement income needs and give them leeway if Tim is forced to retire early.

Plus, it's a "backdoor college savings plan," she says. "If you can't fund tuition through cash flow, you can use a HELOC to help."

First Published: April 14, 2014: 7:11 AM ET

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Things are looking up for Citigroup

NEW YORK (CNNMoney)

The bank beat analyst estimates Monday, a surprise announcement given all the woes for banks in general and Citi, in particular.

Investors welcomed the news, sending shares of Citigroup (C, Fortune 500) up 3% in early trading.

Related: JPMorgan profits sink, but Dimon confident

"It was really a nice performance," said Daniel Marchon, a bank analyst with Raymond James and Associates.

He said despite headwinds in the emerging markets, Citi's strong international presence was a boon in the quarter, led by increases in commercial loan growth overseas.

Marchon also said Citi has done a good job of holding expenses down. Deposit growth was also a bright spot for the firm.

But like other banks, Citi suffered from a decline in bond trading and lower mortgage activity in the quarter.

The bank's first quarter profit was $3.9 billion, or $1.30 per share on an adjusted basis. That represented a solid 4% jump in earnings from the same period last year.

Revenue for the first three months of the year was $20.1 billion, slightly lower than the first quarter of 2013, but better than analysts were predicting.

First quarter results included a loss from the bank's problems in Mexico, where its subsidiary there is under investigation for fraudulent loans of roughly $400 million to Oceanografia S.A., a Mexican oil services company.

In March, the Federal Reserve rejected the bank's capital plan to increase its dividends and share repurchases, saying it was worried about the bank's ability to weather a severe economy downtown.

It was the only major Wall Street firm to fail the Fed's so-called stress tests, and its shares have tumbled over 9% since the beginning of the year.

First Published: April 14, 2014: 8:40 AM ET

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How Mark Zuckerberg courts companies

NEW YORK (CNNMoney)

The founder, who has been on a billion dollar buying spree, moves fast when he's crushing. His signature move: dinner at the Zuckerbergs, followed by a weekend lockdown, complete with lawyers who help seal the deal.

Facebook's recent $2 billion dollar acquisition of Oculus, a company that builds virtual reality headsets, came as a surprise to many. Once as the wheels were set in motion, it took a total of three and a half days to close the deal.

The crew had been in talks before, but only then did it get serious.

"'I've been hearing some great progress you guys have been making,'" Oculus CEO Brendan Iribe recalls Zuckerberg saying. "'Why don't you come up and talk to me? I'm not going to waste your time.'"

Soon after, the founders of Oculus showed up for dinner at Mark Zuckerberg's home, Iribe said at F.ounders, an exclusive conference for tech entrepreneurs. Several executives were in attendance: Zuckerberg; VP of product Chris Cox; the director of corporate development, Amin Zoufonoun, who's been Zuckerberg's right-hand man in many of the latest high profile acquisitions; and Cory Ondrejka, VP of mobile engineering at Facebook. Ondrejka was the founder of the gaming experience Second Life.

Related: From convict to tech startup

"We had a great dinner and at the end, Mark was like, 'I think we should just do this,'" Iribe recalls. "We shook hands and we were like, 'yeah, let's get this done right now and we should be able to get it done by Sunday.'"

The crew camped out at Facebook's headquarters with their legal teams.

"I would have never thought you could get this size of a deal done that fast, but when your hear that Facebook likes to move fast, that's their motto, they move fast," he said.

A few days days later, with little sleep, the papers were signed.

It's not unlike Facebook's other billion dollar deals. A visit to Zuckerberg's home seems to be a prerequisite for the high profile acquisitions. According to sources, both Instagram and WhatsApp founders went by Zuckerberg's before signing the papers.

But Oculus is far from a mobile app. It's Facebook's first play into the hardware game. And the company is betting that as tech expands beyond the smartphone, vision will be a significant platform.

Related: Gigantic data centers now power more than the Web

Iribe recalls a discussion with virtual reality pioneer Michael Abrash, who predicted virtual reality vision wasn't just the next platform, but the final platform.

Abrash put it in perspective, Iribe told CNNMoney. According the the virtual reality pioneer: once you replace somebody's eyesight completely with synthetic virtual vision, you can look around in this completely new, impossible world. You can recreate any medium.

"This is kind of the Holy Grail," he said to Iribe. Iribe agreed.

First Published: April 13, 2014: 2:08 PM ET

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Stock investors still in sell-mode

NEW YORK (CNNMoney)

The Dow, S&P, and Nasdaq were all lower again on Monday. The cautious mood follows a 2.6% sell-off Friday in the Nasdaq, and 1% slides in the S&P and Dow.

But several momentum stocks rebounded on Monday. Netflix (NFLX), Facebook, (FB, Fortune 500) and cybersecurity stock FireEye (FEYE)were all higher.

Yahoo (YHOO, Fortune 500) didn't join the rally though. Despite reports that it may be looking to produce original content like Netflix, the stock is lower today.

Some of the "old tech" names, such as CNNMoney Tech 30 index members Microsoft (MSFT, Fortune 500), Intel (INTC, Fortune 500) and Cisco (CSCO, Fortune 500), were gaining.

And the bloodletting in biotech may be subsiding as well. The iShares Nasdaq Biotechnology ETF (IBB) rebounded following a 4% drop Friday..

Despite Friday's sell-off, the market has been hot lately. In fact, the Dow and the S&P both touched all-time highs Friday morning before dipping in the afternoon.

So it may be soon to say if investors are really rotating out of growth stocks and targeting value stocks.

Related: CNNMoney Tech 30

Earnings may help determine whether or not stocks continue to fall or not for the rest of the week and beyond. Alcoa (AA, Fortune 500) will report its fourth-quarter results on Tuesday, and big banks JPMorgan Chase (JPM, Fortune 500) and Wells Fargo (WFC, Fortune 500) will report their first-quarter earnings later in the week.

Overall, earnings for the companies in the S&P 500 are expected to be down 1.2% in the first quarter, according to estimates from FactSet.

For all the doom and gloom, stock experts surveyed by CNNMoney say the bull market still has room to run. Most expect the S&P 500 to gain 6.5% this year.

Related: Fear & Greed Index show investors are gripped by fear

Some drug makers were moving today. Shares of Mannkind (MNKD) were sharply lower. The Food and Drug Administration is extending its review of Mannkind's Afrezza inhaled insulin drug by at least three months. The stock shot up last week after a favorable review from a panel that advises the FDA.

Questcor Pharmaceuticals (QCOR) is soaring after Ireland's Mallinckrodt (MNK)said it would buy the autoimmune drug maker for $5.6 billion.

Related: Stock experts say the bull isn't dead yet

European markets and Asian markets were weaker, taking their cue from Wall Street on Friday. Germany's DAX was down about 1.5% during the morning while Japan's Nikkei ended 1.7% lower..

First Published: April 7, 2014: 9:55 AM ET

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$50 billion merger deal stirs global cement industry

Switzerland's Holcim and France's Lafarge have agreed to a deal that would create the world's biggest construction materials group.

LONDON (CNNMoney)

Switzerland's Holcim (HCMLF) is making an all-share offer for Lafarge (LFRGY) of France. The combined group will take the top spot globally in the markets for cement, concrete and aggregates, such as sand, gravel and crushed stone.

The two companies currently account for sales of 32 billion euros, and their combined market value is about 40 billion euros ($50 billion).

The deal, which the companies aim to close in the first half of 2015, is expected to face tough regulatory scrutiny given LafargeHolcim's potential to dominate in several major markets.

Both companies, along with six competitors, are already subject to an antitrust investigation by the European Commission dating back to 2008. Europe's competition watchdog confirmed last month that the probe was continuing.

Holcim and Lafarge said in a statement that they plan to sell businesses generating as much as 15% of operating profit in order to clear the way for approval and optimize their combined portfolio.

Related: Bad weather takes bite out of home construction

Some analysts say it may take longer than the companies expect to clear all the regulatory hurdles, not least because the biggest buyers of cement and concrete are often national governments investing in public infrastructure.

"As the regulator, they are in a unique position to ensure pricing remains fair and transparent, and in our view, will no doubt ensure that this is more than simply aspiration," wrote UBS analyst Gregor Kuglitsch in a research note.

Between them, the Swiss and French companies have about 30% of the market or more in the United States, Canada, Britain, France and many other smaller countries, according to UBS research.

Following their planned sales of business units, the new group will have production sites in 90 countries.

Related: Markets shrug off China stimulus

Holcim and Lafarge both saw sales and operating earnings fall last year, and hope the merger will allow them to shore up their position in Europe while taking advantage of faster growth in emerging markets.

"I am confident that this merger of equals provides a unique opportunity to rapidly create the most advanced platform in our industry with outstanding synergies," said Bruno Lafont, Lafarge CEO and CEO-designate of the new company.

The deal should generate annual savings worth about 1.4 billion euros by the end of year three, the companies said.

Shares of Holcim gained 1% and Lafarge stock rose 1.4% in a weaker European market.

First Published: April 7, 2014: 4:49 AM ET

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GM's tough call: How to pay recall victims

GM has hired Ken Feinberg to help weigh how to possibly compensate victims of its faulty ignition switch.

NEW YORK (CNNMoney)

The issue is that GM (GM, Fortune 500) isn't legally responsible for injuries or deaths that occurred before it its 2009 bankruptcy.

But it remains to be seen if the company will embrace that legal shield in cases stemming from the recall.

For GM, a lot is riding on the decision. The company has already said that at least 13 people died as a result of the defect. It also said that it failed to issue a recall despite being aware of the problem as early as 2004.

Last week, GM CEO Mary Barra said the company is considering whether to compensate victims, and how.

"As I see it, GM has both civic responsibilities and legal responsibilities," Barra said at a congressional hearing. "And we are thinking through exactly what those responsibilities are and how to balance them appropriately."

The company hired attorney Ken Feinberg, who is best known for determining how to compensate victims of tragedies including the Sept. 11 attacks, the BP oil spill and the Boston Marathon bombing.

Related: GM - Steps to a recall nightmare

The problem: If GM pays people with claims from prior to 2009, it opens itself up to thousands of unrelated lawsuits that the company shed as part of the bankruptcy process.

That's because the company that emerged from bankruptcy is technically a completely new corporation, taking only the good parts of GM -- its functioning plants, brands and cars with it.

The old GM, called Motors Liquidation, was left with the unproductive plants, weak brands and about 2,500 lawsuits seeking billions in damages.

The suits pertain to everything from wrongful deaths in car accidents to contract disputes and abandoned properties. They have all been either settled, dismissed or decided by a verdict. If the plaintiffs got anything, it was only pennies on the dollar compared to what they would have won without the bankruptcy.

And GM continues to use that legal shield in cases unrelated to the recall.

New York attorney Paul Callan thinks GM will be able to pay pre-2009 victims of the faulty ignition switch without opening itself up to all the other cases from before 2009.

But there are risks to this approach. Plaintiffs in cases that have been resolved could ask courts to reopen those cases -- and they just might succeed.

"That's the enormous danger GM faces going forward with this plan," he said.

Related: The 57-cent part at the center of GM's recall crisis

One thing that is fairly clear to legal experts is that the bankruptcy liability shield does not protect the company from criminal charges.

The Justice Department has already launched a criminal probe, and several lawmakers said they believe GM's actions in the recall constituted a criminal coverup. Even if no one goes to jail, criminal charges could prove costly. Toyota Motor (TM) recently agreed to pay $1.2 billion to settle criminal charges over its unintended acceleration recall of 2010.

"Bankruptcy is a civil procedure to deal with debt. It does not provide immunity from criminal charges," Callan said.

First Published: April 7, 2014: 7:03 AM ET

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Stocks: Starting the week in the red

Click on chart to track premarkets

NEW YORK (CNNMoney)

U.S. stock futures were clearly in the red, with the Nasdaq down 0.8% ahead of the open.

The good news: The Dow and S&P 500 both hit all-time highs last week in a broad-based rally.

The bad news: Stocks sold off Friday in a brutal finale for the week, with technology shares leading the way, as investors bailed out of companies that have been particularly hot. The Nasdaq plunged 2.6%, and the Dow and S&P 500 fell around 1%.

Related: Fear & Greed Index gripped by fear

There is little economic or corporate news on the docket Monday.

But big banks will start reporting their first-quarter earnings later in the week and financial stocks are one sector expected to turn in a weaker performance.

Earnings for the companies in the S&P 500 are expected to be down 1.2% in the first quarter, according to estimates from FactSet Research.

Even if earnings are less than stellar, stock experts surveyed by CNNMoney say the bull market still has room to run. Most expect the S&P 500 to gain 6.5% this year.

Related: Stock experts say the bull isn't dead yet

European markets and Asian markets were weaker, taking their cue from Friday's late sell-off on Wall Street. Japan's Nikkei ended 1.7% down, while Germany's DAX was trading 1.2% lower during the morning.

Related: CNNMoney's Tech30

Cement stocks provided one bright spot, with Lafarge (LFRGY) and Holcim (HCMLF)both managing solid gains after they agreed to a merger that would create the world's biggest construction materials group.

First Published: April 7, 2014: 5:44 AM ET

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Should people without kids pay higher taxes?

A column in Slate sparks debate about federal financial support for parents in a tax code that already offers many breaks for families with children.

NEW YORK (CNNMoney)

"The willingness of parents to bear and nurture children saves us from becoming an economically moribund nation of hateful curmudgeons. The least we can do is offer them a bigger tax break," writes Salam, who has no children himself.

And by "we" he specifically means any nonparent who makes more than the U.S. median income of roughly $51,000. They should bear a heavier tax burden, he argues.

Related: Singles make up majority of tax filers

The idea lit off some biting retorts along the lines of "Sure, I'll pay more, but then I want more say in how you raise your kids and how many more you're allowed to have."

But it also raises an interesting question: Just how many tax breaks do parents get?

The answer: About $171 billion a year's worth, according to a 2013 estimate from the Tax Policy Center.

And that's a measure of just the five biggest child-related breaks: The earned income tax credit, child tax credit, child and dependent care tax credit, the dependent exemption and the head of household filing status for single parents.

The Tax Policy Center further estimates that the average tax benefit for parents exceeds $3,400. A married couple with two kids could get benefits of nearly $7,700, while a single parent with two children might receive more than $8,100.

As a result of the code's many child-related tax provisions, about half of households with kids -- many of them lower income -- won't owe any federal income taxes in 2013. Some in that group will even get a check from the government.

That's not surprising since the tax code is intended to impose the lightest burden on those who are most strapped.

Related: 7 surprising 2014 tax facts

There's no question raising kids has become an expensive venture and parenting is the hardest job in the world.

So there may be good arguments for expanding today's federal tax breaks for parents. And there should be a debate over how to pay for that.

But Salam's proposal to more heavily tax a select group of people simply because they don't have kids disregards some important realities.

For starters, some people physically can't have children or have a tough time adopting. Others have made a conscious choice not to have children because they can't afford them or because they think they can contribute to society in other ways.

And the truth is everyone in society -- not just the childless -- benefits from parents' work raising the next generation.

Salam's proposal also seems to assume that every nonparent making more than $51,000 can afford a bigger tax burden.

But maybe they're helping to support an elderly parent or have their own big medical expenses.

Or maybe they're just trying to pay down their student loan debt and save for children of their own some day.

First Published: April 7, 2014: 10:18 AM ET

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Senate to vote to extend jobless benefits

The bill plans to extend federal jobless benefits for more than 2 million unemployed workers through May 31.

WASHINGTON (CNNMoney)

The bill, expected to pass Monday, would retroactively help the unemployed, who have been without benefits.

If the deal passes Congress, it would throw a financial lifeline to those who have been scrambling to get by since federal jobless benefits lapsed the week of December 28. The recession-era program took away a safety net for long-term unemployed Americans who have been unable to find new work.

However, its fate in the House is uncertain, especially since Speaker John Boehner has said he has concerns about the bill. Top Republicans have yet to say whether the chamber will consider the bill.

In the Senate, six Republicans signed on to the $9 billion measure last Friday, which ensures its passage.

Finally! I got a job

The Senate deal would fund federal jobless benefits through the end of May. It includes back payments of missed unemployment checks since December.

The long-term unemployed now total about 2.3 million, including those who have run out of state unemployment benefits in the past few months, according to the National Employment Law Project, an advocacy group.

Top Republicans want any deal for the jobless to include a revamp of the federal workforce training programs. Last month, Boehner called the bill "essentially unworkable," because state administrators complained it would be tough to carry it out in such a short period of time.

Related: Will Obama's pledge get the unemployed back to work?

If the bill were passed, it could take weeks to get programs up and running again, said Judith Conti, federal advocacy coordinator for the National Employment Law Project, an advocacy group for the unemployed in Washington. Still the group cheered the move.

"At long last we're within sight of one chamber working across party lines to provide this critical relief; there's already been too much delay, with too many families suffering unneeded hardship," said Christine Owens, NELP executive director of the National Employment Law Project in a statement.

Unemployment insurance benefits are generally administered by the states.

However, back in June 2008, when the jobless rate started ticking up from under 5% to 5.6%, President George W. Bush signed the federal benefits program to help those whose state benefits had run out.

The unemployment rate climbed to more than 10% at the height of the Great Recession in 2009, and the government extended or expanded the federal benefits 11 times since then, most recently in January 2013.

First Published: April 7, 2014: 10:50 AM ET

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Is Perfect Bacon Bowl the next Snuggie?

Thom Jensen holds the tinfoil prototype [left] of his Perfect Bacon Bowl, which has sold 2 million units since November.

NEW YORK (CNNMoney)

The Perfect Bacon Bowl resembles an upside-down plastic bowl. Wrap three strips of bacon around it, pop it in the oven, microwave or toaster oven and the bacon cooks in the shape of the container -- a "bacon bowl." Then you fill it with whatever you want -- scrambled eggs, dip, mac 'n cheese.

The Perfect Bacon Bowl debuted in November 2013 on As Seen on TV and almost immediately became a hit. Since then, more than two million boxes have been sold (they come two to a box and retail for $10.99).

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Thom Jensen wasn't looking to create the next big thing. He just wanted to shake up breakfast for his kids.

"I was playing around trying to create a bacon turtle," he said of that fateful Saturday in early 2012. "I used an upside muffin pan but it wouldn't work."

Jensen eventually created a crude bowl from tinfoil. It worked like a charm. He wrapped bacon strips around it, cooked it in the oven and out popped his very first bacon bowl. "It was a big hit with the kids," he said.

Jensen is a research histologist in Salt Lake City and has always been a bit of an amateur inventor. Over the years, he has submitted 12 ideas -- including a curling iron and a motorbike blinker that turned off automatically -- to Edison Nation, a company that helps inventors develop, patent, license and market their inventions.

None of those made the cut. But in July 2012, Jensen paid the $20 fee and submitted his idea for the bacon bowl online with Edison Nation's division that partners with As Seen on TV.

This turned out to be his golden ticket.

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Edison Nation's As Seen on TV division receives over 5,000 submissions a year, but the bacon bowl immediately caught their attention, according to President Todd Stancombe.

"The tinfoil prototype was a long way from a product that we would market," he said, but they still chose it as one of 24 products to put into development.

Edison Nation spent a year (and between $100,000 to $200,000) developing and testing the product. In June 2013, the company felt confident about the Bacon Bowl and filmed its As Seen on TV commercial.

Initially, the Bacon Bowls were manufactured in Mississippi. But production moved to China in December after demand spiked. It was picked up by Wal-Mart (WMT, Fortune 500) and Target (TGT, Fortune 500) in February, which supercharged sales even further.

Scott Boilen, CEO of Allstar Products Group (an As Seen on TV company), said Bacon Bowl's rapid success is reminiscent of another As Seen on TV product that captured America's fancy.

"The exceptional sales right out of the gate remind us of how Snuggie began," he said.

The blanket with sleeves was ridiculed when it launched in 2008, but it's since sold 30 million units and spawned countless knock-offs.

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Boilen said the Bacon Bowl is generating similar social media buzz.

"People seem to be obsessed with bacon, and they love taking pictures of their own Bacon Bowl creations," he said.

Jensen is proud of Bacon Bowl's popularity but he hasn't quit his day job, yet. He's hoping his royalty agreement with Edison Nation -- which gives him 7.5% of adjusted gross revenue -- will allow him to do that.

"I'll be getting a check once a year. When I see the first check in 2015, I hope I can retire," said Jensen.

In the meantime, Jensen has another invention in the works. But he's not giving away any hints.

First Published: April 7, 2014: 7:06 AM ET

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Chili's cancels fundraiser with National Autism Association

The restaurant chain Chili's canceled a fundraiser with the National Autism Association because of customer feedback.

NEW YORK (CNNMoney)

"While we remain committed to supporting the children and families affected by autism, we canceled Monday's Give Back Event based on the feedback we heard from our guests," wrote a spokeswoman for Chili's Grill & Bar Restaurant, a brand that is owned by Brinker International (EAT), in an email to CNNMoney.

The spokeswoman would not say whether the feedback had anything to do with the NAA's belief that autism is caused by vaccinations.

Many opponents of vaccinations base their beliefs on a 1998 study that was declared fraudulent by a leading British medical journal.

Related: Retracted autism study an 'elaborate fraud,' says British journal

"The intent of this fundraiser was not to express a view on this matter, but rather to support the families affected by autism," said the Chili's spokeswoman.

The Chili's Facebook site includes comments in support and in opposition to vaccinations.

The NAA was originally selected "based on the percentage of donations that would go directly to providing financial assistance to families and supporting programs that aid the development and safety of children with autism," according to the Chili's spokeswoman.

On its website, the NAA says that "Vaccinations can trigger or exacerbate autism in some, if not many, children, especially those who are genetically predisposed to immune, autoimmune or inflammatory conditions."

Related: The costs of autism to individual families

The NAA also mentions that unvaccinated children have also been diagnosed with autism, and the link between autism and vaccination is based on "parent reports."

"Though published mainstream science fails to acknowledge a causal link to any of these specific exposures, it's important that parental accounts be carefully considered," says the NAA.

NAA was not immediately available for comment.

First Published: April 7, 2014: 11:18 AM ET

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Your new heat source: data centers

An IBM computer center in Germany reduces its energy-consumption with a water-cooling system attached on top and helps heat the surrounding area.

NEW YORK (CNNMoney)

Data centers are large facilities filled with servers and other equipment. In the United States, data centers are responsible for more than 2% of the country's electricity usage, according to researchers at Villanova University. If the global cloud computing industry were considered to be a single country, it would be the fifth-largest in the world in terms of energy consumption, according to Ed Turkel of Hewlett-Packard's (HPQ, Fortune 500) Hyperscale Business Unit.

Nearly half of the energy data centers consume goes to cooling the equipment using fans and other methods. That's "just wasteful," said Jill Simmons, director of Seattle's Office of Sustainability and Environment.

That's why the city of Seattle is working on a project to make use of the heat data centers produce. The city plans to route heat from two local data centers to to help warm 10 million square feet of building space in the surrounding area. The project is still in the conceptual phase, but Simmons said the city hopes to have it in motion "within the next year."

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The plan is to take the water that cools the data center and pipe it out to buildings nearby. The system will also rely on water heated by energy from sewer lines and electrical substations.

The construction cost will be borne by private utility Corix, which will recover its investment through rates paid by customers over a 30-year period.

"Our hope is that the rates will be competitive with the rates of other utilities, and hopefully better over time," said Christie Baumel, energy policy advisor at Seattle's Office of Sustainability and Environment.

Seattle is following the lead of other cities around the world, including Munich and Vancouver, small portions of which also use heat from data centers.

The challenge in implementing these systems is that they're expensive to install, and need to be located near the facilities that will use the heat. Tech companies often choose remote areas with cheaper real estate and energy costs for their data centers, however.

Researchers from Microsoft (MSFT, Fortune 500) and the University of Virginia have proposed an ambitious solution: bringing cloud computing to your home.

The team envisions small servers they call "data furnaces" being installed directly at homes and office buildings. This solution, they say, would offer increased computing power to users along with a smaller carbon footprint. In addition, if the servers are connected to home or office furnace systems, they could serve as the primary heating source.

For now, the "data furnace" system is just a thought experiment, but it addresses a conundrum that will be increasingly pressing for tech companies as cloud infrastructure needs grow.

"Energy efficiency is not only important to reduce operational costs, but is also a matter of social responsibility for the entire IT industry," the researchers wrote.

First Published: April 7, 2014: 11:13 AM ET

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