Skip to main content

tv   Mornings With Maria Bartiromo  FOX Business  July 7, 2015 6:00am-9:01am EDT

6:00 am
that is the steepest plunge since early february. prices stabilize this morning. stocks expected to open higher. where in fact expect in a bigger town for the market this morning. it just keeps getting better ersatz blotter and the world cup organization. they will receive a prize worth $2 million total. compare that to chairman men's team which won the world cup last year and received 35 million fourths after her. he started been on the record saying they should help the appeal by letting them play and more feminine clothes like they do in volleyball. they could have tighter shorts. thousands of partygoers as each other with wine as they celebrate the start of the running of the bulls festival.
6:01 am
people test their speed by raising six fighting bulls. it wraps up on july 14th. the greece euro zone finance ministers set to arrive shortly to discuss implications of the greek though. they're expected to review a new proposal. ashley webster life on the ground right now in athens. reporter: good morning, maria. the greek leaders go to brussels. often the resounding no vote on more i on more sturdy from the european creditors. it really will not hold any water at all but e.u. leaders. germany will be tough to deal with this greece does go ahead and ask for some sort of debt relief after a 30% haircut on the dead. i do not see germans agreed to that. other nations saying we should work with greece to give them the relief.
6:02 am
we do understand the imf will not be brussels which takes the debt relief issue off the table. in the meantime the battle goes on trying to get cash every day. long lines at the atms. there were long lines going back to the hotel last night. every atm in the city has long lines. it is a fight to get cash. time is running out of the ecb says no more must you want to put a dark collateral. the bags on the brink of the financial collapse. time is running out and the e.u. creditors have all the cars. an interesting day. maria: really unbelievable. such an unfortunate tragedy. we will focus in on the german chancellor and what the role is amiss. merkel is building a fourth rash dominated by german capitalism. others to watch say that if she
6:03 am
does decide to help greece she would be setting a standard used by other countries like spain and portugal to blackmail the e.u. from our money. joining me is dave fox, business exclusive. good to have you on the program. as for joining us. >> thank you, maria. train to give me your observations about is taking place far in greece. >> well, as you know, there was the referendum that surprised everybody by the overwhelming know. it was a referendum whose question was ambivalent and the population translated to do you support the young fellow whose the prime minister or you don't and they more or less the ds would support and that's the way understand it. maria: that is your read on what
6:04 am
they voted no. you think they are supporting tsipras. do you think they understand was staying in the euro could mean or not mean for their own fortunes, the people? >> no. capital controls are with us the last 10 days. they kind of suspect, but they don't believe it. they don't understand it can get a lot worse for their lives. and they vote based on their anger. remember, greece has been in a depression for six years and the people are very angry. the people who are voting yes they're very irrational. they themselves are angry, too. they said yes because they understand what is at stake. if the question where do you want to stay with the euro area where do you want to leave the hero area, it would have been a
6:05 am
founding yes. but polls showed that 80% of the greeks want to stay in the area. simply this referendum was not about the area. the prime minister made sure he kept the area. voting no increases the probability of exit. these people did not understand. maria: do you think there should be another question being asked? this is a big question not to understand. at this point it feels like the cards are in creditors hands. they can't just turn around and say you voted no. >> i think the referenda if you look at it in detail, it was unconstitutional even from a great perspective. you never put to a referendum into a boat fiscal measures did you know people will say no.
6:06 am
would you like me to raise your taxes. of course they will say no. everybody knows that this was a fear being played. it did show however the prime minister domestically is very strong. as a result they re-signed. he had to resign. we are looking at the prime minister is very powerful domestically but very weak in the euro. he has to quickly come up with a deal to save the country. he promised back to the greek people. the only thing europeans need to do is give them some nice wording about a future debt relief subject to conditionality. i think this can easily be done. it is a win-win for europe. greece can be pushed to reform
6:07 am
the country and at the same time have a carrot in front of her, which is perhaps an extension of the bad are transforming the floating rate debt into the fixed rate can be done. trained to do do think it is possible to get new terms basically to alleviate the bad. -- the debt. >> i think for us today it is impossible to do all these things in one day. i think they have to speak in interim financing until they close the final deal. greece needs about 12 again until the end of september. at the minimum they need the money to be paid to the imf. that is about 9 billion. the s&p profit and disability fund money cap decides some
6:08 am
plays. europeans do not have to dig into their pockets to find the money. but this needs is some statement that they are willing to listen to a restructuring of the dead. restructuring does not mean the lenders will it pose a further burden. it is an extension of the loan. it means like ironing out any future payments of debate government. in my view it is so not report to fix the interest rate. it's time to take advantage of the global vote rate than they can go into the market, borrow for 50 years and turn around and went to the greek government. tragedy certainly have the opportunity with where they are. gikas hardouvelis, thank you for joining us. gikas hardouvelis on the television for a bank of
6:09 am
america, merrill lynch. >> we have to get something for what the prime minister's point is this can drag out all the way until september. we expect the markets to continue to have a lot of volatility around greece. this is what is important. the bond market has a lot of information. we certainly did this during the last crisis in 2011. back then we saw it bonds in the periphery versus german bonds over 500 basis points. now they are about 150, 160. a lot of the greek tapas on the european banking system. that has been removed. that's the ecb, imf. the greece of 2011 and the greece of today's completely different. let's keep in mind it's only 2% of the european economy.
6:10 am
really what the markets tell us is that one of resolution but this will not be a disaster. we also have other mechanisms at the ecb doing quantitative easing and stating things they can do. we think they can have particularly the periphery against what may happen with greece but it certainly is a great tragedy, maria. maria: which of course is why the markets do not have the reaction some people were expecting yesterday. another story for some people think is bigger and that is china. china stocks posted against sharp declines overnight. the worst month on dropping more than two decades. tracey chang as a reporter for chinese state television. she joins us on the ground in beijing. good morning to you. reporter: good morning, maria. a very tough trading day. made by markets rebounded at the
6:11 am
nikkei composite with another choppy trading day eventually ending 1.3%. ip stacks, industrial companies all suffered very severe losses. the stocks plummet further markets downside. man my markets continued to slump. hong kong markets lower. the hang seng lost 1%. they have to recover a little bit from the 20% drop. japanese shares deal new-line flaming and green. in south korea that kospi also a seven tenths of 1% with the pharmaceutical company in the biggest selloff in about 14 years. maria: thank you story much. tracey chang in beijing. pretty unbelievable for china. however, value advisory also with us this morning. mary ann bartel's from merrill lynch china. good to see you, howard.
6:12 am
what is your shake on the decline in china? >> decline is much more serious than the decline in greece. first of all greece is going to be contained. the european leaders are not going to stand for the way they are being treated agrees. you can't do that because then you will have spain, portugal, italy. those countries will cost a lot more money. back to china. now we are talking about one of the biggest gdp is in the world. the markets have 150%. the reality is everybody in the country of the country was playing the game and investing in china. all of the big money, the rich have been cashing out along the way, selling their companies. the poor, the working class, even the middle class can't find work. there's not enough employment.
6:13 am
this is really hitting them hard. reserve requirements dropped, based that have been dropped. you've got now a $19 billion cushion put in place to support the market. however, the economy has to show a sign of turned and the economy is slowing. government receipts are slowing. this is what all the big bears on china have been saying for 10, 15 years. we stopped listening to them. now is maybe the time to listen. maria: implications for the globe. >> china's more important than greece. the markets are up over 100%. i'm a former technical analysts. you can retrace one third to one half ba from a technician standpoint, this is not a big deal. the growth coming to gdp growth is the big story.
6:14 am
>> i want to find out what industries and countries are impacted most by the slowdown of gdp in china. crude oil, the other major story this morning bouncing back after one of the worst sellouts and 2015. a look at the 8% move yesterday about these concerns looking at first-quarter earnings and the impact they are. back in a moment. can a business have a mind? a subconscious. a knack for predicting the future. reflexes faster than the speed of thought. can a business have a spirit? can a business have a soul? can a business be...alive?
6:15 am
6:16 am
6:17 am
maria: welcome back. the u.s. on high alert following a july for surprise from russia. cheryl casone with the story. >> at morning, maria and everyone. to russia bombers flew off the coast of -- the long-range bombers are capable of carrying nuclear weapons but no word as
6:18 am
payload. senior officials told fox news the incident happened at the same time russian president latin america and of president obama to wish him a happy fourth of july. jason p. r. paul is out of luck. the new york transported to $60 million contract offer after he was injured over the weekend which by the way was his fault completely. he is receiving treatment in a miami area hospital where doctors evaluated further damage and burns. today starbucks will charge 5 cents to 20 cents more for drinks, mostly hot beverages in the u.s. stores despite falling coffee prices. maria, starbucks customers will pay 1% want received the price will cover a couple things. breaches, shocker on that one. ayn rand. maria: when we run the commercial break, mary ann said that it's a good trade but if
6:19 am
you are charging me more for my coffee but raising wages. the issue of wages that of wages and living up, prices for commodities that they not visit to the question of inflation. >> coffee prices are going up. they are going down. the wages when not so if want to maintain you got to increase revenue. one of the ways is by raising prices. >> san francisco just raise prices because minimum wage in san francisco is like 10 bucks. i was first. they are moving pretty quick on this. >> there's not many more where can raise prices. people say we are going to support the workers. we want the higher minimum wage. at the end of the day they go to costco and buy whatever is made in china. this is one of the few places that will work. if they want to support higher wages this country will really be in trouble. maria: what about things being declined like oil.
6:20 am
oil down 8% yesterday. will that translate or not? >> there's to pronounce things. you are talking about a microcosm in the united states. select markets people will pay a man talking about declining worldwide demand for very critical commodities. this is a function of china, also a function of how china over this europe. if we look over the past 20 years and the economy worldwide commit the reality is the marginal buyer for everything is china. if china is on the decline there's a serious issue in the world. maria: that is what i asked you earlier, what will get impacted from the gdp in china. it feels like every sector. china was the jewel of the world in terms of growth. >> energy will be impacted. as crude oil prices rise on energy stocks that have moved.
6:21 am
>> either way, with the oil story come to 7% at the end of the day in the contract and assault china. maria: thank you. oil prices did recover this morning. we'll talk about complications on oil when we come right back. stay right with us. ♪
6:22 am
here at td ameritrade, they love innovating. and apparently, they also love stickers. what's up with these things, victor? we decided to give ourselves stickers for each feature we release. we read about 10,000 suggestions a week to create features that as traders we'd want to use, like social signals, a tool that uses social media to help with research. 10,000 suggestions. who reads all those? he does.
6:23 am
for all the confidence you need. td ameritrade. you got this.
6:24 am
.. maria: oil prices trading higher after tumbling 8% yesterday. phil flynn is and the cme group in chicago. with your take on today's trade? phil: china totally crashed last
6:25 am
night, the euro zone summit today, later today but also value in nuclear talks that are entering the eleventh hour for the third time, not sure but there's another deadline in the iranian nuclear talks could still looks like those parties us still very far apart right now also those are the things that are driving prices up but after yesterday's sell-off it really is not modest rally. if you look at the other big story is the rally in the dollar, that is where the money is going and considering the dollar is so strong it is amazing other commodities are holding up as well as they are, taking a lot of of the gold and silver and copper will get hit hard too. maria: we will be watching that, phil flynn in chicago. let's talk about oil, how much of yesterday's sell-off with china and how much is it his whole speculation we could see more oil on the market from iran if today is the deadline for the iranian talks? liz: the whole collapse in crude
6:26 am
oil is part of a sign of the weakness in china and how demand has come down. if you look at copper we haven't talked about copper, back to copper it is a good sentiment of global gdp, that is falling and a lot of this has to do with the slowdown we are seeing in china and what commodities are saying, we are not getting a pickup and the stimulus you are seeing is not enough. one of our strategists is arguing china is too tight, not using enough. maria: the biggest customer of copper, of oil, and their economy slows down, the country will buy that. >> cement everything, the numbers were staggering if you go back 10 or 15 years, you can see they represent 50% of worldwide demand in any sort of infrastructure categories. i don't necessarily agree with
6:27 am
mary and it was a function of iran taking awhile to come back up the screen, they have 4 million daily conduction capacity, producing at 1 million, maybe they will get 1.5, certainly not have a million barrels of incremental production. half a million barrels on worldwide, at katie something, worldwide demand of 80 something, opec production, something like 31. maria: don't know if that will happen because they don't want inspectors. >> even if they had the inspectors they will manage to hide everything anyway. bigger story continues to be china china china china. the fact there has been this full back in the markets, that is what everybody is focusing on, you hit on the copper, if you look at any other place in iran is at the margin. that is a real existentialist it happened concerned about. not really concerned about how iran impacts the oil market.
6:28 am
maria: back to the markets, the energy stocks are breaking down, most of them. they never had a rally cruel has. crude-oil had a rally to alleviate some of the overfold conditions, the fundamental is too much supply and slowing demand, that is the worst combination you can possibly have. with that said we like energy stocks in our firm and think there is good value but it will take time for all of this to work out and time for the stocks to be in the market. maria: straight ahead as high-flying daredevil wanted to get free publicity for his company and now he is behind bars. new details about ats next iphone have been unleashed, nicole petallides on the story, back in a moment, stay with us.
6:29 am
6:30 am
6:31 am
6:32 am
maria: welcome back. earnings season gets underway beginning tomorrow. bad news for samsung, the smart phone giant expecting its seventh straight quarter of declining profits. declining expectations with second quarter results and the newest smart phone models were a big disappointment, final numbers out later this month and as reports and expectations come rolling in we will pay close attention to accompany for the second half of the year. sam stovall is chief equity strategist, great to have you on the show. welcome back. second quarter and first half, what are your expectations? >> second quarter for the earnings perspective is expected to be pretty low. the bar is underground right now, down 4.3%. most blame goes to anything ready expectation is more than 60% decline but don't leave out consumer staples in utilities and will expect to see declines
6:33 am
a few extracts energy from the equations earnings will probably be up 3.5%. maria: for the second quarter, you will see the decline in earnings the first time since 2009. >> first time since the third quarter of 2009 you can't make a comparison, the fourth quarter of 2009, with a quarter of 2008 was the first time in history the s&p lost money, so my math teacher took away my c minus/bi negative number. >> of people expecting that negative number? >> they're expecting a low number, expectations are very low. if we have first quarter numbers everybody thought we would report negative and they came in positive. i think we can get some surprises but what i would like to hear you talk about are the banks. a surprise in the first quarter, financials opposed to another positive number and in my experience if you are getting good numbers out of the bank
6:34 am
that is not bad for the stock market and stocks are way up. >> lot of people are anticipating that the fed will be raising rates in september, that will elevate the yield curve which would make profits grow for the banks. we are also finding a lot of the banks don't need these loan-loss reserves the way they had in the past and that is being unwound. if you look at the bank numbers by themselves, gains of 2.5%, certainly better than the market as a whole but good but not great numbers for this quarter. maria: important to look at where the stocks were and what the market is expecting because it is all about expectations. we are talking about a negative number in terms of second quarter earnings. is this china or slow down in the u.s.? that is not good, negative. >> it all comes back at the end of the day to declining demand on a worldwide global basis for commodities. that is what we will trace will
6:35 am
to and energy to and clearly europe's weakness. germany is supposed to do maybe 1.5% gdp, that is an important factor in the mix. the developing countries still continue to be weak. any way you want to slice this bear is one big player as i said before, a marginal major demand factor over the past 10 or 20 years that has diminishing importance and i think that is the overriding factor and the story that continues to get missed. >> an old rule of thumb that if you look at gdp growth, take away 2%, anything left over, multiplied by 10 and i tell you what the earnings growth is like. we are looking for 2.3% gdp growth in 2015, said take away 2, multiplied by 10, that is 3% growth in general and that is close to what we are expecting to see in the fourth quarter. the full year because of the
6:36 am
first quarter weakness it is going to be less than 1/2%. maria: what are the areas in the second half of the year that will take us out of the negative performance we will see in the second quarter? >> i am an optimist. by make whiskey. and when i look at the second quarter decline of almost 4.5%-look at the third quarter which is the decline but dramatically less, fourth quarter in advance and going into 16 so is really it be shaped recovery we expect to see because consumers are certainly beginning to spend the benefit of lower gasoline prices, they are feeling better because of improving employment trends. maria: you think the consumer takes us out of this? >> the consumer helps to do that. maria: great to have you on the show. we are watching. standstill all joining us on earnings s&p capital iq. a critical meeting for the
6:37 am
future of greece, cheryl casone with headlines. cheryl: we continue to follow the headlines on greece and in brussels, top european officials are gathering to meet on what to do about that country. evans is due to present new reform plans two days after greet voters rejected bailout terms by creditors. we will bring you the latest on those meetings as they develop, watching everything in the u.s. as markets opened three hours from now. a new bombshell in the bill cosby case, the comedian admitted giving quaaludes to one woman he wanted to have sex with. the associated press reports bill cosby made the admission during testimony ten years ago in a lawsuit filed by a former temple university employee. more than 2 dozen women have accused bill cosby of sexual misconduct including druging and rape over the last four years. finally it is a bird, it is a plain, it is balloon man. a calgary man tied more than one hundred bolland's to launch air and lifted himself up into the
6:38 am
sky. soon after he jumped off, he had a parachute on and land on the ground, hurt his ankle. was arrested. was trying to get attention for his cleaning business. he did good job. maria: today marks another deadline in the never-ending iranian nuclear negotiation. iran now hardening its position with the west redding to walk away. we talk with former u.s. ambassador to iraq james jeffrey coming in next, back in a moment.
6:39 am
6:40 am
6:41 am
6:42 am
maria: it is they day. wall street journal reporting one of the biggest sticking points of the dead line with iran nuclear negotiations is the un arms embargo. the iranian government is demanding the entire embargo be lifted. before signing up on any deal on the nuclear program. our next guest james jeffries stars as u.s. ambassador to iraq under president obama and to the national security adviser to president george w. bush. good to have you on a program. thanks for joining us. do you expect the deal with iran? >> i think it is possible but what we have seen in the last few days is both sides digging in. in a way that is good because we don't want the u.s. side making concessions to iran that we shouldn't make. maria: but the concessions, potentially lifting sanctions on
6:43 am
iran before the deal is signed. is this a good idea? >> not only is it not a good idea, is not what was in the initial agreement they signed on the second of april and the president presented to the u.s. people. these sanctions will be lifted step-by-step as iran in a verifiable way takes steps that it is supposed to take. nothing else is going to work. maria: interesting we have this new deadline, expectations that if they need a few more days and will stretch the deadline for another couple of days yet we know that iran is the director in the middle east, iran is the sponsor of terrorism and yet we are still going through this exercise. does your gut tell you we will see a deal at some point? or is this just a waste of time? >> not really because i think the administration realizes it is not going to be in office in a year-and-a-half.
6:44 am
secondly as we saw in the bipartisan year-end review act there is a great deal of skepticism about iran and the administration's policy in congress and in the american people so therefore it has to be careful not to sign up to is something that will be rejected as soon as it leaves if not before so therefore i think the position of the administration is toughened in the last few days. maria: it seems that way. the idea that we would actually see more oil from iran move markets and we continue to see markets moving in anticipation of potential deals, will is down 8% yesterday. >> it was a big move technically and it points to lows we could see wti trade down 47, 45. maria: do you think, you say you like energy stocks. >> we like energy stocks because there is a lot of value in these companies many of them particularly integrators balance
6:45 am
sheets and paying dividends and increasing dividends over time. we like them for the long term but if you are looking for short-term performance they will underperform because it is hard for energy stocks to go up when you have declining oil prices. maria: what is the likelihood that you think iranian oil will be back on the market, the global market? >> there is about a million barrels of iranian oil on the market now allowed to under the u.s. sanctions and u.n. sanctions a there's a marion oil and we are talking about least half a million possibly overtime million more barrels of iranian oil coming on the market and that will have a real impact as your financial experts no. maria: we have seen the u.s. become a real energy powerhouse and this is more oil and one of the reasons will prices to decline over the last couple years. >> put in context, not trying to be little the incremental, but we have a function of shale
6:46 am
drilling and other technologies increased our supply 3-3-1/2 million barrels that we have the capacity to increase it substantially beyond some of it carries oil price stability, this has very negative ramifications for oil, for any of the integrators that have been held up by a big dividend and a perception long term okay, the reality is that is stability in the context of the oil environment and i believe oil is going to be this year next year, two, three, four years that is unwarranted. maria: are you expecting a deal with iran over the near-term? >> i think it is more than 50% likely but is also likely that the talks will break down and it is not an end the world. we will find another way to go forward. maria: thanks so much. ambassador jim jeffrey joining us. details on this into the release of funds 6s including the new feature that has the technology,
6:47 am
don't miss neil cavuto's interview with republican presidential candidate marco rubio, they will talk about everything from iran nuclear negotiations to domestic issues at home. about kicks off at 12:00 p.m. eastern with neil cavuto. back in a moment. so you're a small business expert from at&t? yeah, give me a problem and i've got the solution. well, we have 30 years of customer records. our cloud can keep them safe and accessible anywhere. my drivers don't have time to fill out forms. tablets. keep them all digital. we're looking to double our deliveries. our fleet apps will find the fastest route. oh, and your boysenberyy apple scones smell about done.
6:48 am
ahh, you're good. i like to bake. with at&t get up to $400 dollars in total savings on tools to manage your business.
6:49 am
6:50 am
maria: welcome back. apple flagship product announced an upgrade later this year, reports of the iphone new features are being leaked. nicole petallides has the story. nicole: always exciting to touch anything apple. apple and speculating new features that could include the next iphone release. we will see what they are. the phone, the six appss said to be released this fall and
6:51 am
expected to feature a camera up great and apple's latest operating system what has the tech buzz going is the four touch technology that allows the phone to send how hard the user presses on the screen so it is interesting, this technology based on how hard you press, you can open an apps, setting sun again, press more softly or more are depending on what you want and the camera which you well know is huge so there may be a 50% at grade, 12 mega pixels, you really went to an eye for coin. >> i like it. it is big. interesting they're coming up with holding the touch friend of great. the upgrade is due to spur new let rates to your phone, spending money, no wonder telecom is going to be the grower of the second quarter and the second half of the year. >> interesting.
6:52 am
of the things we're talking about, i don't know what the new both at but we know a big competitor with samsung, a deer features may be included, a different, stronger aluminum is something we're looking at, also the editing options on the camera and battery life, they hobble section of new people assigned to battery life so that one coming to play but samsung came out with numbers that were not so great. >> because they were expecting weaker than expected numbers so they gave negative guidance that the battery is really important because that is one thing this phone is not good at, the battery charge, that will probably in still pretty good buying. what is your take in terms of telecom, the growth story for the second half of the year. >> to leverage into your store we are in the digital age. we don't talk about that enough. we started with agriculture, we were in that for 200 years, went to industrial with the steam engine, we were in that for 300 years, we went digital in 2000's of technology is part of our
6:53 am
lives. if you take even a 6-month-old, technology is going to be abraded. millennials are always looking for technology to be rated. i get used to buy technology but the end regeneration wants to change but taking it to earnings, technology is a sector we like but the sector we think is going to do the best in second quarter is health care, that is leveraging to the baby boomers and longevity. wean a longer think health-care is the defensive sector but because of the baby boom is the demand they are going to need for health care now makes that a growth sector. >> which is why you are seeing health-care stocks continue to do very well, there are these overarching themes like living longer and longevity and everything that goes with it but in terms of the near-term, the next six months, second half of the year would is priced into the market right now? >> you are pricing in a rebound
6:54 am
in europe and i also think you are pricing in an ever improving consumer and though the consumer is in better shape than he was and is finally beginning to get some semblance of legs the reality is wage growth has been extremely nominal. other players in the market are going to be increasing prices, increasing wages, starbucks for legislation action where minimum-wage is going to go to $10, $12, $15 in various select states but the market, the economic environment for the consumer is going to continue to stay very very challenged, still have difficulty getting loans, still going to have difficulty putting food on the table, there is not -- if you have seen over the past few years housing prices of gone up dramatically. the things that change his life and move the knee led health-care costs, some of it is going to get absorbed but you are reading in the paper 10, 20, 30, 40% increases by these
6:55 am
insurers and now they consolidate which at the end of the day means further capitalize on the system and effectively take advantage of weak legislation which is obamacare. i don't see how the consumer comes out shining. i don't think he carries the day. i don't see europe carrying the day. maria: you are a seller. >> i am a seller. you may have a last leg for something with that coming up, the fed is going to raise, the people who receive the second half is not going to see we could see one, two increases because -- in 15 because the fed does not want to see -- politicized and 16 starting to raise rates. maria: all the time the largest economy, second-largest, china is seeing a slowdown and sell-off in terms of equities. would you put any money in china right now? neutral in china?
6:56 am
>> i know what i like to say, do we know what is going on? maria: a great phrase to use, 200, stocks are actually halted in china so that is another, they stopped trading so obviously volatility there and some weakness, slower growth plays into everything, we talk about technology but talk about oil, we had a big oil story, the consumer we love to talk about the resilience u.s. consumer but it really is a fragile economic recovery at best. maria: with everything going on is the u.s. that is going to be the defensive market and the u.s. dollar will stay strong, investors globally were underweight, you will see many come to the u.s.. maria: the dollar is strong again. great to have you both on the show, thank you so much. we will see you soon, thanks for joining us, next hour editor jack daughter joins me to weigh on market news of the day. former navy fighter pilot and fox news correspondent lee
6:57 am
gabriel will weigh in on iran and the looming deadline. back in a moment on mornings. when account lead craig wilson books at he gets a ready for you alert the second his room is ready. so he knows exactly when he can settle in and practice his big pitch. and when craig gets his pitch down pat, do you know what he becomes? great proposal! let's talk more over golf! great. better yet, how about over tennis? even better. a game changer! your 2 o'clock is here. oops, hold your horses. no problem. la quinta inns & suites is ready for you, so you'll be ready for business. the ready for you alert, only at laquinta!
6:58 am
6:59 am
7:00 am
maria: no deal in advance greek banks move closer to running out of money. policymakers fail to stop the bleeding and chinese market segments that find their ordeals in iran. maria: hi, everybody. happy tuesday. i am maria bartiromo. it is tuesday, july 7th. i am with jack otter and "fbn:am" &-ampersand the smiths. popular politicians say merkel is building a fourth reich dominated by german capitalism. another decision is buy decision is by the likes of spain or
7:01 am
portugal to blackmail stronger european countries. finance ministers meeting on a proposal from greek authorities. is china's market collapse a bigger concern than greece? many think so with three and a quarter trillion dollars wiped from stocks in the last two weeks. u.s. exposure is much greater despite liquidity assistance. the composite fell again overnight. iran wants u.n. sanctions on the missile program listed in enraging western negotiators demanded nuclear deal before the deadline. they wants sanctions lifted before anything. neither side expected resolution. the oil markets drop 8% yesterday following below $53 a barrel, the steepest plunge since early february. prices stabilize this morning but it is certainly volatile. also looking at games for the broader markets once the market opens in two and half hours.
7:02 am
it just keeps getting better and better for sepp blatter in the world soccer organization. the u.s. women's team now world cup champ ian lefevre prize for $2 million in total. by comparison the german men's team which won last year received $359 for its efforts. sepp blatter has been on the record say they should help the appeal of this part appeal of the sport like letting them play more revealing clothes like volleyball. they could have tighter shorts. sepp blatter said. thousands of partygoers celebrate the running of the bowl festival and the spanish city of stamford man. people testing a bravery by racing ahead of six fighting bulls along the course. the festival wraps up july 14th. that story right now with the eurozone finance ministers are not to be them wrestles.
7:03 am
ashley webster is life on the round right now. good morning to you, ashley. reporter: good morning, maria. the great government will go to brussels as you just pointed out. they will present a proposal to the eurozone finance ministers in e.u. leaders later appeared the first thing they want is to secure liquidity for the financial system en masse for what they believe are credible reforms in the eye of the holder. there will programs that show growth and also reportedly asked for it that restructuring. the greeks play not the imf says that that increase is not sustainable without a 30% haircut and a 20 year grace period. that is just not going to fly with the germans. other countries within the 19 member eurozone also believe this grace is given confession
7:04 am
we could see problems in other peripheral economies that say we deserve a better deal as well. in the meantime the banks increased their teetering. they are closed today and tomorrow. what happens beyond that we don't know. reports of medicine stockpiled from the store shelves emptied out in the bottom line is the daily battle for the great people is to get access to cash. lancet atms 24 hours a day. much depends what happens in the next 24 hours. maria: we are just on watch. thank you. ashley webster in athens. facing tough choices in how to deal with the love and they meet in brussels. former u.s. ambassador to greece and rand corporation vice president charles rees. thank you for joining us. what should we expect from the eurozone summit today from your standpoint? >> maria, i don't think there
7:05 am
will be a solution. this has had a longtime run. i suspect the euro finance minister first summit tonight will find elements of the proposal attract good but not sufficient and there really isn't much scope for a big debt relief package in europe. maria: the former finance minister of greece came on the show in the last hour in the venture standpoint. he said the referendum knows why rougher brand of you disagree with your leader. is it more about prime minister tsipras been seen in the euro. do you think the greek people understand what it means? >> no, i don't think so. it is driven by emotion and a magical thinking idea.
7:06 am
in both cases, the european attitudes about what would motivate greeks and the greek attitude about what would motivate the europeans to help have been wrong all along. we have fundamentally a political disconnect between greece and the rest of europe. maria: and yet you have to be impressed with the markets yesterday. i certainly thought this to be trouble. sandra: watch the equity markets reaction. they were up this morning as we wait for meetings to happen. the currency market in the u.s. dollar continues as we speak strengthening global currencies. it becomes a huge story when you talk about global exports and imports and what that will do the stock markets across the globe. the strengthening greenback situation will change everything. >> along that you see gold pickup, silver pickup.
7:07 am
they were ignoring the chaos. it didn't happen until yesterday. gold is seen as currency by a lot of people. the interesting point about the politics of this is the whole problem. a monetary union with no political union. it's never going to work. greece will never pay that bill. the sooner the negotiators face that fact the better off they'll be. transient skepticism about the era when it was created 15 years ago. what is the most important thing we should take away from talks going on right now in europe. >> the most important thing is whether a method can be found to stabilize the banking sector. without some temporary liquidity there will be complete implosion and that is then no adventures. my own guess is some sort of a
7:08 am
temporary -- greeks will use the euro that issue some sort of script and there will be perhaps a temporary hiatus withdrawal of greece from the mandatory parts of the euro but they will continue to use the euro. lots of countries around grayslake macedonia used the euro. countries like bulgaria have a monetary board in a fixed rate. that maybe greece's future. maria: thinks are being on the program meant for weighing in. chinese stocks in bear market territory. sharp declines overnight for the first time in four days despite news by regulators to halt the worst month long selloff in two decades. jack, sandra, three and a quarter trillion dollars wiped away from chinese equities in three weeks. sandra: about two or 300 mainland chinese companies --
7:09 am
they are not saying why would they do it. you can assume they don't want to be part of the mess that it is right now. let's start trading right now, take a breather. that's a fascinating situation. >> it's not a completely developed market. we've got a guy who goes to international conference is incessant chinese i dare to study european american and japanese markets and figure out how we do it because they want to get there. one important perspective for this is the market was up 151% in less than a year. we have a 26% pullback. markets are still up 83% in a year. treat maria: the chinese gdp is flowing. for the longest time china was the jewel of the world in terms of growth. there are implications of the gdp slowdown.
7:10 am
sandra: really challenged jim rogers on your show yesterday. i pressed him in the past. the china situation has not come to fruition to did a great many analysts and economists are hoping for and predict dean. yet he tells us yesterday he's accumulating more chinese shares. the seller buyer of the stock market. maria: also a buyer of russia. >> breccia obviously i don't trust the government and the market are releasing there. when the market falls as much to suggest future returns are good. >> not a short little blip in the market or a correction. is heavily fallen into bear market territory. talking about a market like that is not comparable to markets here. it's a risky situation. maria: risk is when the market goes up. i agree with you.
7:11 am
that is how warren buffett and others make money. >> to the stories make it more of? the u.s. once again feel the stable gain in town. >> that's why the u.s. dollar keeps getting attention. that's why he keeps going up, up, up. maria: second-quarter earnings will kick off tomorrow. alcoa will kick up the numbers. expect in a down session for s&p 500 earnings. you wonder how that plays it with a stronger dollar and exit patients around the u.s. sandra: we are still in this thread driven from the fed dominated environment when it comes to the u.s. equity markets. they're going to have to talk to me next year after we get the first interest rate hike because the markets are still driven at the fed's next decision. maria: i think we'll see strides in the next six months. expectations that the fed will
7:12 am
come in at some point. uber looking for police protection while in south africa. top stories from today's "wall street journal." germany's power polarizes europe. a software firm hacked in your rantings are divided. continue the conversation on facebook. check out our page. tell us what you think and what you would like to fan the program. be sure to click the lake button so you can get the latest updates on the show. ♪
7:13 am
7:14 am
7:15 am
maria: welcome back to tragedy and a popular hiking spot. >> good morning, everyone.
7:16 am
one person killed in for injured when an ice cave collapsed in washington state. the accident near granite falls, northeast of seattle. forest officials warn hikers the ice caves are dangerous due to an reasonably warm weather. if you think it is tough to win the powerball jack pulpwood a few months. power bob making it difficult to win the big prizes in october. increasing the odds of winning anything meaning smaller prizes more likely. power bob making a change in an effort to boost overall sales that is a tense 2013 when powerball had a record at the time. finally, bluebird are asking for police protection of one of the most dangerous cities. if passengers and drivers are intimidated by taxi drivers at customers being harassed. dozens of south african drivers
7:17 am
protested last week as they have a round the world. did taxis will be much more expensive day in these michael harrison cars. -- uber cars. maria: uber facing pressure across the globe. >> this is why they call it a disrupt terror. in new york i think it's crazy none of us like the prices the taxi drivers charge. but where does the money go? not the driver. a lucky guy who has the medallion. maria: they are highly valued in the prices drop. >> that's good. at some point market forces will cause it to be more rational. >> we're talking $50 billion right now.
7:18 am
does that make it all the way. sandra: especially now that there's so many other competitors emerging. webster's successful you will see competition rising. maria: with lift another's. uber is going to disrupt the auto business, not just the taxi business. >> i've never seen it so easy to catch a yellow cab. times square used to be impossible to step out the door and catch a yellow cab. now anytime of the day they're available. maria: little by little they use technology. uber has changed the game. companies are beginning to adapt technology and apps. thank you very much. latest on the talk show. while the u.s. walk away.
7:19 am
don't miss neil cavuto's interview at the republican presidential candidate dark over bu at noon. also catch "fbn:am" every weekday morning at 5:00 a.m. weekdays. back in a moment. with xfinity from comcast you can manage your account anytime,
7:20 am
7:21 am
7:22 am
anywhere on any device. just sign into my account to pay bills, manage service appointments and find answers to your questions. you can even check your connection status on your phone. now it's easier than ever to manage your account. get started at maria: welcome back. more stability in the oil market today. oil higher after tumbling 8% yesterday. because the meat group in chicago. what is the take on today's. good morning. >> good morning. the optimism about the summit in brussels is washed away. stock futures up on the hope they can get some sort of a deal. i had mine came across that the
7:23 am
finance minister said the eurozone is not looking for a short-term fix their bridge financing for greece at this stage of the market and that is taking away some of the optimism. it cost a dollar to get back towards the high of the day in the euro starting to go down. the entire complex is a moot trade. we have iran on the table, china on the table in the e.u. on the table. you have to be reactive as headlines come across. and the optimism, oil prices rally. if we get a bad headline look the other way. we are not out of the woods yet. maria: this morning the european commission vice president for the bureau says it's clear griese is facing immediate challenges. what we need is a credible strategy. that means debt restructuring.
7:24 am
we'll get back to you in a second. >> in the meantime the bank still failed. greece will not pay back we have to recognize that. big sales could have a contagion effect. a devout want to board bear. could there be something along the lines. jpmorgan will not take over the banks. sandra: angela merkel said it yesterday. they are further away from a deal than ever. markets interpreting not. by the way, gasoline prices $2.77. top closer has a call for $2 at the pump and the national average that would change a lot of things. greece, iran, all that stuff. maria: you have to believe gas prices come in. sandra: potentially.
7:25 am
8% in oil prices has us talking about how low you can go. you have to drop to $2. certainly that would be a big move for consumers and have a big impact on earnings. trade to managing kevin both. ask her way and peered what about the iran deal. prices go lower even if we don't have a deal with iran. >> prices go lower on weakness from demand-side sources. one is the peak of the summer burn right now for the saudi is looking at consumer striving as much as they can drive in the year. plenty of production in the world so you still have some weakness. fifty-five dollars by year-end. two dollars per gallon gasoline implies a much lower price. that seems like a goal. maria: you are not expect you not call xander is talking
7:26 am
about. sandra: i am bringing to light the fact people are talking about the national average gas prices could go to $2. i don't fall in any side here but i think you have to start talking about it when you have calls for it. the iran deal will happen by the end of the week. the demand side of the equation. greece will have a big impact here. we are still the largest consumers of oil along with china and the world. china will play a big part of the world. maria: what about that, kevin? >> the lower china goes, you start having to ask is there demand going to go up like it used to in the past? the answer is no. if they get to consumer recovery coming you still have the diesel fuel going strong in gasoline demand rise. china isn't dead yet. china sleeping, not bad.
7:27 am
>> china is clearly on the demand side. everything's got to fall into place on supply. he had said the saudis continue and you have to have the slowing in china and americans driving as much as they can. uber is a little more efficient. you will they go the distance you need to go. maria: thank you. bluebird disrupts the oil sector. do you want to jump in? >> without physical market prices fall as much as 15 cents per gallon in los angeles, 17 cents in chicago. the gulf coast in file is much but we'll see gasoline prices plummet pretty quickly. maria: thank you for joining us. we appreciate you gentlemen.
7:28 am
iran's nuclear program designed for domestic energy purposes only. why they now demand an end to the decade u.n. embargo is the question. fox news correspondent lee gabriel is that the snacks. back in a second. can a business have a mind? a subconscious. a knack for predicting the future. reflexes faster than the speed of thought. can a business have a spirit? can a business have a soul? can a business be...alive?
7:29 am
7:30 am
7:31 am
>> welcome back let's check markets this morning, futures off highs of the morning but we have been hearing from european finance ministers ahead of their meeting on greece, 7:00 a.m. your group meeting a summit 12 pm eastern finland ministers saying yourstone not looking at bridge finishing for greece at this time, ashley webster live on the ground in athens with headlines flowing. good morning, ashl good morning, ashley. reporter: good morning to you i have a guest a arraignment owner of the restaurateur in central athens not a tourist
7:32 am
more for locals who better than to give us a sense what is going on in greece right now also want to thank debbie richardson kindly agreed to translate for us, describe the situation in greece right now. >>. >> it is just terrible, it is -- here, really bad. >> what has the impact been on your business? >> the -- some -- on your business, so -- it is 70% down, business is 70% down. >> what does he think is going to happen do you -- do you want to drop out of the euro? >>. >> interpreter:. . >> interpreter: he doesn't no, he thinks most people don't want to. reporter: so much do you fear
7:33 am
for your country? . >> interpreter: yes -- he does he feels for his country and he yes. reporter: thank you very much we wish you best of luck thank you for translating there you go maria one thing business is down 70%, and that was with local business we are just talking about tourists, obviously the -- the economic situation being felt by everybody, of course, following all those headlines as we wait to hear whether a deal can be done in scomruflz ashley interesting to hear the answers from people on the ground, and i know about you've been sfaeking with so many of them with overwhelmingly they say they don't want to believe the your you are left with the question why did you vote no so you know what was the did you think you were answering a different question? . reporter: that is a good question i think a lot of the
7:34 am
younger population all voted no, and those on a pension voted no because they were sick of austerity measures business owners the wealthy want to stay in the euro overwhelmingly and that is the difference, but what is the real impact of that no vote? i think it carries absolutely no water as the greek government tries to quarter the brussels if anything does, of course, threaten a greksa, bearing more with each passing hour. >> this was ashley thank you ashley webster in athens this was former finance minister of greece told us yearly they believed answering a different question basically saying they want to stay aligned with s cypress not necessarily leave euro. >> a cultural thing the greek, myth they overcame ottoman, then they tried tocom mussolini kid not work out they are proud they tried i
7:35 am
think an us against them feeling in greece but 70% down that business owner mentioned, is crucial here, you think about it -- he to repay their debt when businesses is down 07% in a bad economy you are not going to get debt repayment you are not getting anything. >> you want people of greece to pay taxes they can't pay taxes not paying taxes, 09% uncollected tax receipts in to that country a quarter of greek people unemployed a dire situation when you see them celebrateing in streets you have to ask yourself, why? >> who voted who it is amazing. maria: it i amazing the head scratch iran "the wall street journal" reporting this morning one of the biggest sticking points in any iranian nuclear negotiations is u.n. arms embargo the iranian government demanding entire embargo be listsfted before it signs off oi any deal curbing the nuclear program in place since 2007, more on nuclear
7:36 am
takes former intelligent operator fox news correspondent, good to see. >> you how do you see iran talks. >> iran doing a great job, of doing negotiations, you know we keep coming to the table they keep growing in terms of what they want, now they want, the arms embargo lifted they want sanctions lifted on ballistic program separate from nuclear program worse and worse maria. maria: so obviously, at a players want to have something happen they extended deadline, here we are now on deadline day july 7, will they extended it again? >> well it is interesting because both sides are saying that they may need more time, now. so u.s. officials are saying iranian officials saying that, of course, iranian officials saying is that when you come to the negotiations table who ever has more time on side wins at negotiations when you look at what is happening, if this couldr goes beyond july 9, then congress has 06 days, rather than 30 days to approve it iran knows without giving a
7:37 am
time under mini gives time to under mini any deal stretching this out growing in opportunity to comoesht using that room to negotiate. you know, the bottom line is whoever is willing to walk away wins i think in this case iran is the one willing to walk away, that is a problem. >> does it feel u.s. willing to walk away. >> i think time for u.s. to either walk away or somehowfying out a way to credit bree threaten it i don't think is possible i think you have to get on a plane fly away wait for the phone call. >> the real problem here is that what i think this administration is trying to do, is trying to get the international community to come to the same conclusion, and the problem is you have other negotiations at the table who want a deal to happen. you know. they would not a deal to happen and i think that the u.s. is trying to basically let other countries come to the same conclusion, so they are continue to go try to work out a deal the blossottom line iran will live win sanction
7:38 am
have will subtractions we want toed a couple years ago some say that brought to come to the table ultimately they want to have their kick and eat it too, they want to have a nuclear weapons capability, and they want the sanctions lifted and playing a great game, at getting the international community to allow that. >> international community do you think that we have any sense of where they are? relevant to where america is because you are right it is not just about what america feels, it is five other countries in addition. >> right, i mean i think you have to go to what the i toll ooh has said he said in nuclear int enrich monetary easy to go to 90% know they are coming to the table pretty close to being able to -- build a weapon as far as the rest of the international community i think it has to do with the economics of the deal, they are also wanting to have cake and eat to it the bottom line which this starting to idea to
7:39 am
get iran dismantle nuclear program for sanctions released that is not happening getting worse and worries i don't think a deal in next couple days if we do come to a deal not looking like a good one. >> that is a bottom line thank you very much with u.s. employment on the rise, all eyes are on the fed, will renovate rates straight ahead we've got the headed of innorth ameri american economy. back in a minute. .
7:40 am
7:41 am
7:42 am
7:43 am
maria: two misunderstand after beating pac fact in one of boxing biggest matches floyd mayweather, jr., lost his title cheryl casone with the story. >> you are not going to believe this maria mayweather was stripped of welterweight title for failing to follow world boxing organization rules missed a deadline to pay a 200,000 dollar sanction and fee from the fight, that seems like a lot of money he reportedly errand whopping 00 million in that fight, he is actually got two weeks to launch an appeal. shocking new details, in bill kospi case reported admitted giving quaaludes to at least one woman he wanted sex with, cosbey made the admission in test 10 years ago in a suit filed by former temple
7:44 am
university employee more than two dozen women accused cosbey of sexual misconduct including drugging and rape last 40 years, it is a big tradition in spain, but here we go, one person was gored in the running of the bulls this morning, six more he seriously injured as well thousands of people tried to outrun bulls the annual trajection to the seats of pamplona no word on severity of any injuries they go for fun, and this happens every year maria there you go. maria: unbelievable. okay. >> federal reserve watching the report for new read on jobs' report days after the june jobs' report showed 223,000 jobs created for the men and women, the unemployment rate fell to 5.3%, my next guest says all points toward a september interest rate increase for federal reserve william lee with us headed of in a economics, thanks for joining us so we get fed minutes this week on wednesday what are you
7:45 am
expecting. >> most stale because of rest of the world i with a tont refocus the attention to the fact fed looks at u.s. as main source of information, global economy is important but what is going on here is even more important, we are in a growth -- 2 1/2, 3% that is key for the fed, because that is good enough to get fed mahogany, wh -- moving when they move gradual everyone able to change the portfolios in time. >> down the you have to factor in the fact europe is in complete disarray, china in complete sell-off mode, down 3.2 trillion dollars in just three weeks, and earnings, by the way, back in the u.s. since focused on u.s. here, they are going to be down 4.3% second quarter. >> earnings have slowed down because we had a slowdown first quarter that is the expected, so if earnings next are going to continue that way, there may be a problem but for later right now we are set in fed has said in last press conference they are ready to move, we recognize that we have weakness first
7:46 am
quarter as far as the rest of the world again, ecb has the job of defending europe, china regulatory are the ones have to get the stock market issue straight i think the fed recognizes that weak being do what we can do they have to do what they need to do i think that is what we are waiting for, if in fact, we have an systemic issue contamingon groebl the fed, of course, will react. >> every time we come to fed time, we look at inflation, obviously, talking about it now, and we look at the way the fed looks at inflation, that is stripping out the ever volatile food and energy we know we are paying more fostering from coffee to gasoline. prices have gone up wages stayed stagnant how do you think that is going to factor into their steady is. >> i think janet yellen made it clear looks at everything, the broadest measurech consumption prices the pce deflator an issue with oil she said we are seeing through the -- lower oil prices keeping
7:47 am
inflation away from targets, she also recognizes, that when you have fooded inflation, that scenes into everything else as a former staffer receipt me assure you we looked at everything factored in transitory as well as transitory factors that may become permanent. >> second quarter numbers shortly we know a horrible first quarter, and that second inquiry is -- is questionable case earnings are expected to be down. what is going to pull us out of this second half the consumer or business. >> we've had a cautious consumer till now looks like cautious consumer is less cautious, we also have had lower oil prices not quite kicked in what is missing in action is business investment that is still slow, housing mass come on strong a lot of underlying momentum maybe 2 and one half to 3 better second half of this year momentum under way. >> from consumer. >> i think housing should be underlined might finally go it
7:48 am
in terms of consumer spending a logical thing pull back get credit card bills down i think in a might be a factor and we're not going to see wallets ep occupy but how big is a necessities families without buying houses. >> my research has shown consumers like to spend less, sxheem out of wealth and income lower than they have been before crisis because of a lot of changes that have gone on because of the crisis one thing that is true is that we do have more income growth we do have lower oil prices it is going to get more consumption but less than you thought, using old modulars absolutely. >> how much is priced into is it market how much will be a surprise to markets. >> i think what has not been priced into markets is how much the consumer has changed behaviorally. >> to positive so when we see a slowdown, people should have expected this, what we are going to see in second half, is a rebound, but going to be
7:49 am
3% we have to have a cognitive what is good anything above 1 1/2% pensions dropped to fed is recognized has recognized. maria: good news, bad news all the time, thanks so much. >> thanks for having me. maria: come back soon william whether or not he from citi. >> only tulg dpulling donald tr from scheduled the campaign trail with donald trump next. >> i will be the greatest jobs president that god ever created. i tell you that.
7:50 am
when you're not confident you have complete visibility into your business, it can quickly become the only thing you think about. that's where at&t can help. at&t's innovative solutions connect machines and people... to keep your internet of things in-sync, in real-time. leaving you free to focus on what matters most.
7:51 am
7:52 am
maria: welcome back we are expecting higher opening for afrnlz take a look at futures what they are indicating we
7:53 am
are off the best levels of the morning but, nonetheless, expecting a firmer start to politics more controversy for 2016 pellet hopeful donald trump espn pulling golf classic from trump national gulf club says diversity core conclusion core values following remarks on mexican immigration trump fired back saying remarks distorted by media reiterate he go would be west jobs president god ever created sandra, keeps growing companies and people, distancinging themselves could this be solved with a apology. >> you gave him opportunity you said donald do you want to apologize he said absolutely not. >> why would i? >> he doubled tripled down every opportunity i'm not saying that he should apologize but i am going to say msnbc pg managed the situation not made it better
7:54 am
running for president you better know how to on into to think criticism. >> the donald empire is not built because he made great stuff, it is not because he you know built a bank that made a lot of money it is all about shth maing with with donald all about marketing this is a shth maing blunder of humongous portions if your pr firm would you fire themmure fired as donald said i am not sure how you get out the brand you never apologize as y as you pointed out. >> i just remember it, it stuck with me, he says in that book never apologize in business. he is sticking to his own advice it may not be turning out the best. >> what is the reason you never apologize, is not it humanize to go say i screwed up. >> that is donald because it looks weak, i could hear him. >> if he did actually apologize everyone would be so
7:55 am
blown away, to be a brilliant move. >> the donald would be loving he is not a loser ted cruz, has stuck up for him, has supported him, for talking passionately about his country, so -- putting it out there. >> i'm sorry the racist thing is just i do not pale i hate to bring up dylan said in that church, if this old -- somehow people are different from us, raping our women the donald stepped into that has to step back. maria: he did. you know i mean some people feel that there are candidates that are in the race, to prove a point, to have a role, to make the point that others are not making, not necessarily to win -- >> bernie sanders hillary clinton? who knew would he gain in you mean to in iowa happening right now. >> yeah, mr. 90% tax rate. >> oh, my gosh. >> jack final thoughts before we let you go good to have you on the show what is most
7:56 am
important second half markets, investors. >> i think it got to be international situation as appreciative gus guest said u.s.ed plod along 2 1/2% 3% the rest of the world if they gret greece in order china cannot close-ups i this i going to have a pretty good second half we got to sell stuff somewhere the rest of the world is a mess nobody is going to buy it if dollar is strong they can't afford. >> it great to have you on show you the. >> online editor, next hour former ubs chairman robert wolf, and former german minister economics, on europe opening up to blackmail back in a moment stay with us.
7:57 am
new york state is reinventing by leading the way on tax cuts. we cut the rates on personal income taxes. we enacted the lowest corporate tax rate since 1968. we eliminated the income tax on manufacturers altogether. with startup-ny, qualified businesses that start, expand or relocate to new york state pay no taxes for 10 years.
7:58 am
all to grow our economy and create jobs. see how new york can give your business the opportunity to grow at
7:59 am
impenetrable. zplie.. no debt deal in sight greeshg banks closer to running out of he money drastic measures failed to halt plunge in chinese markets deadline day for nuclear deal with iran this is "mornings with maria".
8:00 am
here is maria bartiromo. >> hi, everybody, happy tuesday, i am maria bartiromo, it is tuesday, july 7 with me this hour after the bell co-host, and fabout inam khor sandra smith. >> eurozone finance ministers meeting in brussels many say german chancellor ap a.-- angela merkel homicides cards they say building a fourth reich saying any decision to be used by likes of spain or portugal to blackmail stronger european nations later i will speak with debformer germany minister about the situation is china collapse bigger concern than greece many think so 3 and a quarter trillion dollars lost from chinese equities, u.s. exposure much greater and
8:01 am
despite quote liquidity assistance offered by government shanghai composite fell in correction territory iran wants u.n. sanctions on being ballistic missile program lifted engaminging earner negotiations looking to land a nuclear deal they want those lifted before the self-s he could imposed deadline after greece china iran oil markets dropped 8%, falling below 53 a barrel the steepest plunge since early february prices s stabilizing this morning under selling pressure stocks expected to open higher futures what we are seeing, off best levels of the morning nonetheless looking at a weaker opening for the broader averages just keeps getting better foresepp blatter the world trade center soccer organization fifa u.s. women's team world cup chamions will receive two million dollars for becoming the world cup champs in comparison men's
8:02 am
team received 35 million dollars sepp blatter has been on record about women players says they should help appeal of the sport letting them play in more feminine clothes, like they do in volleyball, they could for example he says, have tighter shorts. yes. he did. thousands doused each other with wine celebrating running of the bulls festival in northern spanish city, people test speed bravery racing ahead of six fighting bulls along 930 yard course so far reports say one person was he gored, six more people injured, eurozone finance ministers meeting over what to do with greece as leaders try to find a path forward greeks continue to line up at atms reports that some companies are paying their companies workers in cash, ashley on the ground in athens good morning.
8:03 am
reporter: yeah good morning to you maria, also we are hearing reports of stockpiling of medicines, food, it is starting to run short a lot of bear shelves at it supermarkets an economy on the edge, most obvious sign is the long lines you see at atms pretty much 24 hours a day. all of the action all of the eyes here on what is happening in brussels, greece's debt stands at staggering 356 billion dollars, they are now going back asking for a third bailout, european finance ministers now considering it want to go take a look what greece is proposing. by my count, it is a 15 to 4 debate the 19 nations, i think france, italy, cypress, of course, greece all about giving greece more time perhaps more generous conditions i think the other 15 nations are saying no. no to debt relief, something greeks say that he desperately
8:04 am
need so there is very good chance that no deal is done. also being told don't expect any decision today, because it would well drag on this drama should we say greek tragedy goes on. >> really is a tragedy, ashley webster live in athens will greece debt crisis have impact on u.s. want to bring in robert wolf former usb chairman of americas joining us good to see. >> you what is your take on greece is it going to comam business here in u.s. >> i don't think it is going to really impact the u.s. at all, i think at the referendum vote was a terrible move by the greek country, i think that at the end of the day they should be in euro growing back to drachma would be ab terrible move. >> do you think they were answering the question they thought because earlier we had former finance minister on he said, no, the no vote didn't mean we don't want to be in euro no vote meant we want to align with prime minister i don't know that they actually understand the question. >> i think they showed solidarity behind the prime
8:05 am
minister, and i think he thinks he is going into the euro summit with more strength but he is not, because of the to evened over 50% of their food is imported over 80% of energy imported if you don't have a real currency how are you buying goods and services, i think they are making a drastic mistake here. >> i know it illegal only 2% of the yo -- i know it is only 2% europe zone. >> i think minute must impact i don't think it carries to spain italy portugal i don't see all banks firmed up over last few years, nothing like the greek banks. >> you know i agree with michael in terms of greek the greeks doing very poorly, with devaluation essentially what would mean going back to drachma would kill their savings, that would making the pensioner worse off than now i disagree with onening politically, it is moving in terms of greek's favor now, greece is now the victim, they have become the victim in the world press the victim among
8:06 am
leftist political parties our president is -- i think the shth ma is pricing in another bailout that is why the market didn't do as badly at the end of the day yesterday, as we thought it would do. and why it is trading the plus side in the futures today so i think the political move now is towards another bailout, because greece is now the victim -- mpr this morning talking about greece as a though god everybody is piling on, everybody is -- when mpr all leftist political leaders are paint being somebody a victim they are getting help. >> i don't see. >> robert not michael. >> excuse me i am sorry. >> i totally disagree this isn't about populist rhetoric this is a restructuring the finance ministers say populous that resonates with leftist politicians all over the world look what is happening in spain. >> chimes in on whole thing. >> that doesn't make any difference, with how imf and eu, and the europe summit is
8:07 am
going to conduct itself with all debt. >> imf is a collection agency for the banks and bondholders, they will do what benefits the bondholders, and default a serious default does not benefit bondholders as you well know. >> i did vushgdz. >> restructuring the only real restructuring is so will sort of forgiveness interest payment zero or lower, and you will extended the principal, and maturity to forever. >> are they willing to do that do you think. >> i think organization something has got to give. >> if they grew he to some sort of austerity it will include tags, it will include social service pension reform then i think would you see both eu, and imf, look to lower interest rates extend payments, a i think -- >> you are essentially
8:08 am
describing another a little bit a little bit bailout they could make promises promised time after time not fulfilled promises that is the problem. >> if you asked me. >> other than bailout what is other wie out. >> if you ask me what i think it is going today i would say it is a greater than 50% chance that they exit the euro. >> i would welcome -- i think that this no vote okay, was a terrible move and i think the greek people think it gave thech negotiations power but i do not believe it did, no disrespect. >> the political leftist party in spain reinvi. >> the world against german not in favor. >> home ask you about u.s. election i know you are a support of hillary how is she doing. >> i saw her last week two hours with her seems doing really well i think talking on
8:09 am
the main topics which is the economy, and education, and infrastructure and as you know, 16 months a lifetime. >> does she have thoughts in terms of greece the eurozone crisis going on right now? and then of course there is china. >> you know what? i really don't know, because it was before this the whole greek middle of last week, and on in knew which way it was going i would say most people thought was a flip of a coin no one thought north of 06%. >> do you want to assess the field for us right now sandra made a good point about bernie saunders gaining in the polls how do you see polls. >> i think at the end of the day, the secretary is going to do well in primary over 50 states i think absolutely some progressive states will do well, and a movement no different than the tea party had their movement, far left far right both have a movement, the best place to be center left center right i think that is where the secretary is.
8:10 am
>> what about the republican field how would you assess that field. >> i think jeb bush if he can stay the course is center left would you know both him and secretary would have a very interesting national election they would be central left center right. >> i am bored by bush clinton, this is america! here we are bush clinton again. >> i think -- >> it would be fascinateing. >> robert so many fascinating things about what you said you've been inside debt restructuring deals you do think there is a bigger chance greece is going to exit the euro you wouldn't recommend it a huge headlined when you said you sat down with hillary clinton two hours last week, i want to pick your brain, i mean -- >> let me tell you i was wrong last week on a different station, where i said that they would vote yes. okay? and that -- >> i think a lot of people thought they would vote yes. >> the idea that i am not right in their side tells you i am -- >> robert --
8:11 am
>> that is fascinating hillary clinton feeling pretty good personally after your conversation. >> she it was great, i think -- the things i talked about infrastructure, the economy, i am not one that talks big about foreign pillolicy. >> i think interesting that day that night i had dinner with business leaders everyone was talking about cyber security. >> china -- you know, obviously, so that was quite an interesting dinner. >> any thoughts on china right now that big sell-off overnight, and the fact that we've lost chinese equities more than 3 trillion dollars in value. >> i know china tried to do t stability fund that type of fund you are not in the private sector a public sector, trying to cap vista with something from public sector doesn't change the market long term.
8:12 am
>> chances of conflict and interest are enormous are they not. >> the idea limiting ipos to certain number, and huge discount. >> halt trade for 200 -- >> held trading stabilization worked 4 hours not a good sign you know -- 24 hours not a good sign when we had a regs all central banks with helping could not just be fed alone when china trying to go its way that is at you one way you know, you were talking about the bolt this morning, that is quite a stampede going on losing 25 or 30%, in a short period, as bearish territory. >> your history in argentina restructuring of pent puerto rico a lot of people feel puerto rico is bigger throat than greece, and china. >> you know -- interesting, what you mentioned the morning, have you the possibility of a fed hike, really not in the market no september hike in the market, and december 50-50, you have
8:13 am
the puerto rico situation china situation iran vote, you have -- >> down 4%, you have second half is going to bump along. and so it is. >> record keeps going up -- >> the market is u.s. is by far the best place to stay if you are going to buy dollars you don't want zero rates so your hands forced into the market i think going fob incredibly choppy as well the markets, but -- you know -- that could happen -- second half i think watching "mornings with maria." >> they are. >> exactly. >> good to have you on the show. >> thank you. >> thanks for joining us, coming up big price boost at starbucks what is behind it next take a look at some big headlines watching this morning, "the wall street journal," germany power polarizing europe hacking software firm hacked iranians divided over the nuclear charge, back in a moment.
8:14 am
when sends craig wilson a ready for you alert the second his room is ready, ya know what he becomes? great proposal! let's talk more over golf. great. how about over tennis? even better. a game changer! the ready for you alert, only at
8:15 am
8:16 am
maria: a stunning development in the bill kospi sex scandal
8:17 am
the headlines right now blake. >> good morning to you newlyly up covered documents revealed bill kospi admitted under oeth that he tried to obtain kwie eludes -- quaaludes to give to women also admitting driving giving drugs to at least one woman that came 10 years ago a lawsuit filed by former temple university employee, more than 2 dozen woman accused cosbey of sexual misconduct drugging and rape last 40 years. >> one man landing him in jail, check this out tied more than 100 balloons to a lawn chair, and then lifted himself right into is it air. this was above calgary after that jumped off a parachute, and landed on to ground only to be arrested that man says he was trying to get attention for his cleaning business. appears he got just that. and for all you coffee drinks starbucks is raising its
8:18 am
prices starting today, even though bulk coffee prices had been schooling some drinks go up 5 to 20 cents at locations across the country, starbucks here is blaming higher rents and wages for the price hibernation but last week, smuckers slashd priets dunkin' donuts coffee in stores you might notice a difference. >> consumers paying for minute wage hikes paying higher bills for coffee. >> that is always been the case, both small businesses, and consumers pay the price when government forces wages up not based on markets costs have to be paid usually passed to consumer or it means hiring less workers it is one or the other, but frankly i have been going to starbucks for -- ever, ever since they opened, and they have kept prices pretty much the same for the past year and half. >> excuse me.
8:19 am
>> in terms of those of the coffee i buy every morning, paying. >> how much. >> for the size i get 2 -- 2.30. excuse me, $2.30 much i pay the medium size i never get latte grande thing it is medium size. >> $2.30 for a cup of coffee. >> you are good with that. >> i i would rather pay nothing but i have to say something. >> bottom line prices gone up at starbucks most people you ask if they know how much they are pay for a cup of coffee they don't know when starbucks raises prices they assume i think in large part people don't know how much they are paying swipe card made it easy to use technology you are right you don't look at price i pay in cash why i know exactly much i pay it has been same at least a year and have a of. >> interesting that they are
8:20 am
now blaming wage increases they are raising wages, and walmart you raised wages, we will see if walmart would raise prices. after raising wages that could trigger something broad the way we are seeing increases. >> wholly built on budget when you change a few pennies here and there shoppers -- they describe it paycheck to paycheck, they would definitely know it. >> there is inflation for all the comments central banks to the contrary there is inflation it is -- the low and middle class that have to pay for it in terms of higher prices at the grocery store. >> oil prices trading lower on oil take it to cnne chicago closer look at today's trade, don't miss neil cavuto interview with republican presidential candidate marco rubio noon time an exclusive with neil, back in a moment.
8:21 am
8:22 am
new york state is reinventing by leading the way on tax cuts. we cut the rates on personal income taxes. we enacted the lowest corporate tax rate since 1968. we eliminated the income tax on manufacturers altogether. with startup-ny, qualified businesses that start, expand or relocate to new york state pay no taxes for 10 years.
8:23 am
all to grow our economy and create jobs. see how new york can give your business the opportunity to grow at this is a great place to work. not because they have yoga meetings and a juice bar. because they're getting comcast business internet. comcast business offers convenient installation appointments that work around your schedule. and it takes- done. - about an hour. get reliable internet that's up to five times faster than dsl from the phone company. call 800-501-6000 to switch today. perks are nice. but the best thing you can give your business is comcast business. comcast business. built for business.
8:24 am
. maria: welcome back, we are breaking news on iran right now oil futures reversing gains lower after prietsdz tumbled nearly 8% yesterday at 'cme group in chicago we are getting word iran deal terms have been extended tofried july 10 what does this tell but the oil markets? >> well it tells you right now that there is a possibility to get this deal could get done there is a lot of pessimist a few minutes ago couldn't get deal done saying there has been substantial progress what that means we don't know yesterday iran was very -- committed to saying they wanted ballistic missiles that was a no go for the u.s. also
8:25 am
the u.s. wants to make sure that the u.n. weapons inspector had full access to all sights iran said no way not going to show military sights put in a little bit of halt maybe a hope maybe a deal will get done third time extended so it is more of the same right now oil prices down right now, down 17, also a lot of concern, of course, about what is going to happen with the talks, in brussels today, that has been driving commodities across the board we have seen the dollar surge euro a 6-week low this morning, and that is a lot of concern that they don't know how talks are going to come out so that uncertainty overhanging the markets the other thing for the market is china, of course, a lot of stocks trading concern on that as well back to you. maria: thanks so much, phil in chicago, and headlines coming out of the u.s. side, is that they are more concerned with the quality of the deal than the clock they are extending this -- the takes with iran until friday,
8:26 am
the end of the week. >>, by the way, coming out of that, the deal -- the feds -- july 10 friday also talks have made substantial progress -- >> can we not call it a deadline not a deadline if you keep extending, just extraordinary. >> they say they made substantial progress what were the sticking points obviously the -- inspectors going into military sights, as well as, lifting sanctions, before a deal is -- >> that is what -- inspections are the heart of the matter right how often they are going to let them look at. >> making equivalency is between iran you wouldn't allow iranian inspectors into u.s. military sights yeah but a little difference between iran and united states i think there is i don't think there is a moral equivalency thieg to extended that he the hopefully u.s. didn't buy into that. >> they are extending the deadline to friday we will will see what comes out it feels powers want a deal, we know iran is a disrupter in
8:27 am
the middle east region and supporter of terrorism yet we keep pushing extending deadlines so that something gets done. >> i am watching oil prices as they rack because this has been playing big part in the volatility we have seen in price of oil oil 50 dollars a barrel likely to get big moves upside or downside, as we near whatever you want to call it. >> the 40s oil? >> there is a lot of calls for that to happen right now. >> five-week low right now. >> yeah. i mean, look 5239 a barrel calls for $2 gasoline pump in united states, momentum certainly to downside, the trend is lower, 40 dollars things change rapidly, in energy industry especially in the united states production comes off-line, and those lower prices tend to cure lower prices, when you go. >> but if iranian deal it might happen. >> that is the reason, the collapse in oil market, and rig count moving down 1,000 rigs shut down that is the
8:28 am
reason that really squashed any idea of capex spending second half update second half of the year right now expecting earnings to be down second quarter, by 4.3%, maybe they are on upside expecting a decline, a horrible first quarter second quarter earnings beginning in earnest tomorrow alcoa reports second quarter where are we in this recovery. >> by the way, robert just saying that september rate hikes off the table, he is saying during -- thinking about it until december interesting perspective. >> wasn't in the market. >> europe nonregulate a hallucinogen part what is heaping with greece jim rogers yesterday saying he believers u.s. is going to be heavily influenced by outcome in greece we could potentially see a recession in the next six months, in the united states, bold call, these are things that are out there right now, that is the level of uncertainty in the stock market, why we are sort of taking a breathe frer record highs. >> china we talked about how it is down tremendously, a what is it 20% past couple
8:29 am
months huge drop bear territory in china remember how artificially it rose over the past year and a half, it has been one of the biggest bubbles in the world, right now, and as that bubble begins to collapse, if if not pop entirely the affect our market has to -- >> 3. trpdz in market value wiped out of china last three weeks straight ahead germany standing firm in greek debt showdown we talk with former economic advisor and his take on eurozone what it means, bourbon demand record highs distilleries can't keep up what is behind that. stay with us.
8:30 am
. . can a business have a mind?
8:31 am
8:32 am
a subconscious. a knack for predicting the future. reflexes faster than the speed of thought. can a business have a spirit? can a business have a soul? can a business be...alive? is. maria: welcome back. latest developments out of greece. headlines moving throughout the morning. european finance ministers meeting right now. eurozone leaders including the greece's prime minister will
8:33 am
hold a summit in the european union caves into greece's threats leaving the e.u. my next guest says it could open europe to blackmail from other countries. we have former german minister of economics under merkel. thank you so much for joining us. >> thank you very much for having me. maria: give me your sense of angela merkel and what she is driving towards in these talks having worked with her as long as you have. >> most pragmatic person i ever worked with. she tries to find solution that holds for the next day, not always the next year but stable enough to keep europe in a stable condition and stable situation. having said that it is extremely messy situation for her right now. so it is, as we say in germany probably for her the choice between the plague and cholera. on one hand she knows if a greeks it could happen it could -- "grexit," could become
8:34 am
extremely expensive. on the other hand if she keeps them in a shaking boat she would face huge opposition from her own party at home. so that is not the best choice at the moment to have. maria: i think everybody was surprised by the no vote but do you think the greek people understood what they were voting for when they voted no? >> i think tsipras, the prime minister of greece, was a mastermind in actually giving them the impression it is all about the terrible things that the eurozone and european tries to impose on them. maria: right. >> from our perspective, from a german perspective we would say clearly a vote on staying or staying out but the greek people would like to have the choice staying in on one hand and other hand get all the benefits without doing any reforms. maria: right. david? >> politically, economically i think you're 100% right. politically i do think the tide is turning towards greece. the greek people painting
8:35 am
themselves to a lot of leftist politicians around the world as victims. politically there is a stronger move than there was say a week ago for another bailout. what do you think? >> you do already see within the eurozone and within the european union their tiny little hairline cuts already within the stronger stance for quite a while. so france is softer now. so is spain. >> spain is sympathetic, not just softer. >> then you have the party over there which would actually like to see a development like that because then you would have a chance to blackmail the eurozone. >> worst thing to reward bad behavior. if there is another bailout that is exactly what we would be doing? >> this is what we're doing. i would say let them go sooner rather than later. it will be messy, yes. it will be tough. don't let them go in disorderly manner. help them as eurozone as germany
8:36 am
and others but don't stay in culture of as i call it, kicking the up the road, not down the road. it keeps falling down to the people. maria: do you think greece stays in the euro? >> pardon me? maria: do you think greece says in the euro? >> probably 50/50 situation. maria: what does debt restructure look like? that is only option left. they restructure the debt. how do you do it? >> i say take a big chunk of it, may sound unsympathetic for a lot of germans this is our money lost. it will never be paid back. it will never happen. tell them the truth. give them a debt restructuring, at least 1/3 of it and then go from there and combined with a clear call for "grexit." >> the big question markets are figuring out who is exposed to it. germany will never get the money
8:37 am
back. it is gone, a done deal, right? no matter what is decided whatever happens in greece. who is exposed to this? who is exposed underneath reason germany owning all the debt? maria: or has it moved to the imf at this point? the greek banks -- >> what is the other shoe to drop is my question? >> the imf is certainly a factor. currently i see, more or less struggling with itself, not succeeded in way many of them expected and exposed of the there are a lot of talks and german banks are exposed to it. there was the head of the german bund desbank, perman central bank saying, well we can't pay any revenues to the german government if we continue doing it the way we do are to the next years to come? >> do you see a financial meltdown? >> i don't see a financial meltdown but it is difficult of course. there is exposure there.
8:38 am
the exposure is there whether we stay in or get out. eurozone, flash at certain point of european union muddling through for the next years to come, we just have to, we just have to keep negotiating. maria: you want to see them pushed out? you want to see greece leave? >> i want to see greece leave instead of being pushed out. that is a difference. there is no legal means to push them out. i want to see them leave. i want to see them restructure themselves and also in situation that the door could be still open to come back. maria: you said something. greece can not be pushed out. there is no legal means to push greece out. what are you saying? if they doesn't follow the standards of the troika can they be pushed out or this could go on endlessly? >> it could potentially go on endlessly to certain extent it was never found, the eurozone was never founded as a club where the rules are you can kick someone out.
8:39 am
it is based on solidarity. it is based on a couple of principles. >> sounds to me germany has their hands tied then. doesn't matter what germany says then. >> not entirely. you could build up political pressure, not alone. this is what i'm saying. if you at the moment see softer stances coming from other european member-states it is extremely hard for chancellors to sit there and say follow me, if others don't want to. >> do the rules for membership in the european union mean nothing anymore? clearly greece continues violate them time and time again. >> they violated entry. >> so are the rules meaningless for europe? >> no, they're not. very much a political decision in comparison to just a economic decision. if european member-states, strong ones, still stick together there is enough pressure to put on others to say this is not going to work any longer but there is no way to
8:40 am
kick someone out. it doesn't work. maria: that is an important point because this could actually continue going where greece pushes back. no, we don't want the austerity. and the troika pushes, yes, you will do it but they won't do it. >> but you still have the option, not just to give them the money they need. maria: so they default. >> that would be an endless blame game. is the ecb doing it or not doing it? is it the german chancellor or the u.s. getting involved, yes or no. maria: is it fair to say right now the euro is a failure. >> no. it just happened way too early. maria: that is the answer. what would have changed in 20 years? >> we would have a chance to form a political union first before forming a monetary union. maria: there you go. food to have you on the program. great insights. we appreciate your time. carl guttenberg joining us there. more "mornings with maria" when we come right back.
8:41 am
>> welcome back to another tennis channel court report. a special presentation for fox business network. i'm brian weber. the second week of wimbledon started with a marquee matchup. venus and serena williams going head-to-head in a major for the first time in six years of the world number one who moved on to the quarters. serena recording her 15th win over venus in their 26 career meetings. serena kept her 25 much grand slam winning streak intact. she moves on to face asker is ring can in. number 16 was taken out. wimbledon prime time on tennis channel returns or tuesday at 4:00 p.m. eastern with the highlights and analysis from the all england club. i'm brian weber.
8:42 am
two streetlights. the only difference: that little blue thingy. you see it? that's a sensor. using ge software, the light can react to its environment-
8:43 am
getting brighter only when it's needed. in a night, it saves a little energy. but, in a year it saves a lot. and the other street? it's been burning energy all night. for frank. frank's a cat. now, two things that are exactly the same, have never been more different. ge software. get connected. get insights. get optimized.
8:44 am
8:45 am
maria: welcome back. the rise of fitness apps revealing a lot how americans work out. cheryl casone with the headlines. >> pretty fun, maria. my fitness pal reveal top three states for exercise, this is how much data they collected, kind of scary. colorado, washington state, people in those states exercise more often and for longer. the worst states for fitness are south carolina, delaware and north dakota. some interesting findings coming out of that. powerball is making it more
8:46 am
difficult to win big prizes starting in october but increasings odds of winning anything, meaning smaller prizes will be easier to win. the world apparently can not get enough of american bourbon. surging local demand surged kentucky output 1.3 million barrels, david asman. i hope you're listening. "the washington post" reports that is highest level since 1970. back to you. maria: thank you, cheryl. an italian company that sells hacking software to governments around the world has itself been hacked. the victim known as hacking team is among a handful of companies that make up the $5 billion a year surveillance technology industry. the company sold technology to dozens of including egypt, russia and united states. seems every week there is another cyberattack. the fact this is one area of corporate spending that will be unlimited. companies will spend whatever it takes to protect their data. >> those companies are doing
8:47 am
great but i wonder if this story hurts those companies? shows if you have the best software tech available you're still vulnerable to attack. >> wasn't it a couple weeks ago the password company, the company you can store your passwords on, that they don't get lost in the shuffle, they were hacked. i mean this is just a huge story. no one feels safe right now, whether you're shopping online or you're putting your pictures online or using sophisticated software online. there is really nowhere to hide. people are really uncertain. maria: absolute lift the bad actors are from all over the world. china, russia. we'll talk more about all the recent hacks and all things cybersecurity when we speak with cavern systems ceo jd sherry will join us tomorrow. join us for the important interview. economic situation in europe getting stranger by the day. ahead a small town bank in italy is accepting giant wheels of cheese for collateral for small
8:48 am
business loans. the cheese economist. we're on it. we have interview with presidential candidate marco rubio, later at noon. sitting down with neil cavuto on "cavuto: coast to coast." that is fox business exclusive
8:49 am
8:50 am
8:51 am
>> welcome back. 30 minutes away from the opening bell on a tuesday. and nicole petallides in the thick of things. nicole: good morning, afternoon. everybody is keeping a keen eye on oil, back and forth over the unchanged line. advanced micro is the name. down between 10 and 15% and looking at 206, 207 and looking at other names, nvidia, just to name a few. the revenue, with the tough
8:52 am
time for advanced micrmicro. we'll be watching. in italy, one part of the region is accepting cheese as collateral for small business loans. this is unbelievable, guys. the cheese economy, it's no joke. >> well, people think now that currencies are losing their value as a means to exchange. i was wondering, we were talking yesterday on fbn, the bitcoin is a possible solution for greece. they exit the euro and they won't go back to drachma because there is too much bod connotation, but maybe they'll go back to cheese. and yogurt about the only thing they export. >> and at this point i would,
8:53 am
you know, i'd sell my house for bitcoi bitcoins, really? >> would you sell your house in cheese? >> a fun, fun side show there. one company grants approval for travel to cuba. we've got that company next. stay with us. working 24/7 on mobile trader, rated #1 trading app in the app store. it lets you trade stocks, options, futures... even advanced orders. and it offers more charts than a lot of the other competitors do in desktop. you work so late. i guess you don't see your family very much? i see them all the time. did you finish your derivative pricing model, honey? for all the confidence you need. td ameritrade. you got this.
8:54 am
8:55 am
8:56 am
>> welcome back. more on the travel company carnival cruise lines, cleared to begin direct routes from u.s. to cuba. the u.s. department of commerce and treasury a, they say they will be next year. cuba is one of the biggest markets on earth and jetblue make some inroads there. dad: it's 90 miles from miami, so easy to get to. but there's something so pathetically sad about cuba. you have these incredibly hard working industrial entrepreneurial people sat on by a communist regime for the
8:57 am
past 60 years and i can't help, but thinking, canadian tourists and spanish tourists might ignore is by staying in the zone, but american tourists like to explore and kick the tires of the cars going around and like to explore and find out what makes a country tick. if they find that out in cuba, they're not going to like what they see. sandra: you've been to cuba. do you think that the american tourist companies will be successful. >> i think the planes will be successful so many people who want to go to cuba and family there. maria: and changing the fate of any country. remember what happened with macao. once they did a flight from macao to hong kong, it blew up with visitors. david: my hope and prayer is that it happens with cuba. the communist government is so entrenched it will be hard to pry is loose. sandra: the differences about
8:58 am
gambling, maria and there's no gambling in cuba. maria: yet. david: there will be. maria: a good point because it's true, gambling is not allowed. david: all the vices that castro spoke out against they're in the black market. maria: were you surprised we didn't have much reaction in the global markets to the no vote. david: no. maria: i was watching you on the air, the markets were so calm. david: it's because, you mentioned it before, i think the imf is moving to type of a bailout. the political tide is turning. i'm against what greece has been doing, in terms of lying about what they've been doing with regard to economic policy, however, i think politically, the tide is moving in the favor of greece and there's going to be some kind of bailout. maria: it's not that sophisticated, but the average
8:59 am
u.s. investor didn't know how to calculate the risk to the portfolio. somebody is advising them, saying stay there. don't be emotional with the portfolio, in it for the long-term and if you know what if fact it's going to be do you change your holdings? don: there's an impact for the u.s. market, certainly, alcoa kicks off reporting tomorrow and the federal reserve will bring us the minutes on wednesday as well. lots to come in terms of market movers and impacts to u.s. and don't forget to catch sandra smith at 5 a.m. eastern kicks off the day for everybody in terms of market and the latest news on the economy. david asman is on 4 p.m. eastern here on the fox business network, breaking news program there with melissa and david. we'll see you later. don't miss mornings with maria tomorrow, special guests former
9:00 am
ubs chairman will be with us and bob nardelli, joining us tomorrow, it kicks off at 6 a.m. have a great day. "varney & company" is next, stay with charles payne in for stuart right now. have a good show. >> appreciate it, stuart is off all week, but guys, take a moment. it's his birthday. wish him a happy birthday, go to facebook or our twitter page. in the meantime, we're watching your money first off. oil, remember the huge selloff. that's starting to erase now for three-month lows and some are saying your gasoline prices could drop to $2 a gallon before the year is over. we'll ask the best in the business, gas buddy if they agree. and president obama says it will take a generation to defeat isis and calls it a war of ideas. that's not sitting too well with military people. and donald trump, every


info Stream Only

Uploaded by TV Archive on