Transcripts For CNBC Worldwide Exchange 20240622

Closer to taking over the irish carrier. No signs of a nuclear deal in vienna. Iran maintains its red lines must be respected as iran is prepared to lift sanctions cannot be found. So welcome to the show. Breaking reports from iea. The International Energy agency. Crude Oil Prices Fell to the lowest in nearly three months. We know they say the oil price pressured by rising supply and financial turmoil in greece and china. They say demand growth appears to have peaked in the First Quarter of 2015. They cite factors like greece. Not only with a greek grexit curve oil demand but it could dampen deliveries if turmoil were to spread to other countries but the big headline is iea saying it may fall more around the world. On the demand side two curveballs in terms of greece and iran. Greece to the downside iran potentially to the upside. On supply they say that all supplies surged by 550,000 barrels in june and opec in particular increased because of record high output from iraq saudi arabia and the uae even before iran is brought into the fold as well. Oil prices have softened but bouncing back a little bit today. Lets look at European Equity markets which as you can see very strong this morning. Were looking at 1. 5 of gains for the stoxx 600. Continental europe as well. The stoxx 50 incredibly strong up 2. 6 . All of this on positivity relating to the proposals that greece submitted it follows major three week shed off which saw the shanghai composite report a third of its value. Its the countrys plan to liberalize markets and open up to foreign investment. The economist tweeted this picture describing chinas response to the decline as panicked. Theres evidence in the worlds second largest economy slow down. Car sales for the first time in two years. Prompting the Auto Association to slash its forecast for 2015 sales in half. Lets get more on the story from asia with adam live in singapore this is the first early sign that were getting. Many economists out there have been asking the very pertinent question at what point is this route in the chinese stock market going to be hitting the economy at large . We already got those numbers out today just before the market sloezed showing that auto sales continue to decline for the first time in two years. The last time they declined at that pace was february 2013. If you strip out the holiday effect the last time we saw sales decline with that magnitude was september 2012. Almost three years ago. That was the early sign. That big sell off is beginning to impact the economy in some ways. This is how the auto stocks did in the trading session here. Traded on the domestic market in shanghai. Fairly well and straightforward because of the support and mettling and interference from the Chinese Government to support stock prices helping to put a floor on the sell off weve seen in the Chinese Markets markets. These are the closing scores for the chuy fa markets. They were on a tear once again. The Chinese Authority versus come up every single day with new measures to support the stock market. However, what you need to think about is there are still 1300 companies suspended and thats just under half of the listed entities so without that liquidity the listed companies are trading heavily to the upside and what will be interesting is when the rest of the countries do take off their suspension from trade how theyll be trading next week. I want to give you a picture of the broader markets here in asia. China lead the gains we saw in the rest of the space throughout asia here today although the gains were a little bit more muted and that is because were still waiting for a definitive agreement from the european creditors in terms of a decision to accept the terms that greece just brought forward. I know youre rallying on the back of these early science. Take a look at what happened to japan in the meantime. We did have mild declines. That was distorted by disappointing outlook from fast retailing which is one of the Biggest Companies listed after they flushed out disappointing guidance for the Current Quarter we are in but otherwise the broader markets were very positive. Primarily on the course of the china rebound and sustainability of that as well as the concessions offered by the greeks to get a deal done with the european creditors however the volumes werent all that robust as people are waiting to see what the europeans do come sunday with the deadline and of course well get the reaction on monday morning here in asia. Back to you in london. Thank you for that lets talk more about china. Mark, a good morning to you. Weve seen a second half of the week rally in china. Have the authorities solved the problems theyre facing . No but this was always fairly inevitable. China is going through an enormous seismic reform process it was never going to be easy. If we went back to the 19th century wed probably find a lot of the problems theyre facing are the ones we faced back then therest but theres too much in the history books for a lot of people. The important thing is one, people should never forget china is still a top down command and control economy so the measures they take may not appeal to us because we believe in free markets but its certainly necessary. Secondly i dont think a lot of people have paid nearly enough attention to what theyre trying to do in terms of solving some of the local Government Debt problems. Thats resulted in a lot of issuance of municipal debt. Its done largely by private placements but the pace is running somewhere some weeks its up as much as 150 billion on a weekly basis. That money has to come from somewhere else and that has been certainly, partly the stock market. Its only been going about three or four weeks. So were going to see a lot more turmoil. The idea that people say that well by pumping so much money into the system theyll create downward pressure again forgets theyre draining all of that money. The bigger problem in terms of the suspended share which is the key issue here is one about they have a system which is is deficient. They need to change the system of financing. A lot of the shares suspended are tied in as colalteral of loans. Its no good. What can the central bank do to stem the volatility in Chinese Markets . They have gone to extreme lengths over the past couple of weeks. Implementing trading extensions. Banning large shareholders from selling their shares. The government announcing it will step up buying small and medium sized companies. What else is there for them to do . No think theres a lot for them to do. I dont think theyll be happy that weve seen a huge purge thus far. Unfortunately not as much as the rise in the amount of margin debt in china its the smes they do need to target. Theyre the ones using their own shares as colal rat its going to be a bumpy ride. How much they can control the volatility to some extent but it will be limited. Well hit pause button on that chat but he stays with us. Its time for optimism. The pull back has run its course. Head to cnbc. Com for that. Coming up well be joined live from brussels here on Worldwide Exchange. He said would you consider the greek Prime Minister an electoral accident or revolutionary reformer . Get in touch with us by email worldwide cnbc. Com. Our personal handles are at the bottom of the screen. Lets get a check at how european stocks are trading. Markets in general doing well. Thats being lead by the banks doing positively off the back of these proposals from greece though we havent got it. Despite the positivity today lets just highlight where markets have been in the course of the last month it is only on a two week time horizon that the dax is down. On a one week horizon it is one, three week horizon it is up and four week horizon it is up. When we say we havent got a deal yet, its an out right rally and that needs to be beared in mind. Its high lightinglighting how positive markets have been. Shares in the green after the ryan air board votes to accept iags offer. It puts them one step closer to the deal to buy Irelands National carrier. Ryan air up 1. 7. United internet could float part of its business to fund takeover drives. An ipo could take place in two years. Were up 5. 6 there. Quick look at bonds as well which ree acted in the similar way we would expect. German bonds selling off so the yields have risen to 0. 82. We were much closer to 0. 7 recently where as the socalled perifery moved. Euro is moving up 1. 6 . A bmp analyst coming up later says whatever the result of sundays negotiations he expects the euro to fall. Well outline those views later in the show. Coming up on Worldwide Exchange, is apple chinas biggest victim . We look out at shares falling for five straight sessions. Plus how did music get free . The hit novel on the greatest piracy act in history and all the details on the celebrations for the u. S. Womens soccer team after its world cup victory. I built my business with passion. But i keep it growing by making every dollar count. Thats why i have the spark cash card from capital one. I earn unlimited 2 cash back on everything i buy for my studio. And that unlimited 2 cash back from spark means thousands of dollars each year going back into my business. Thats huge for my bottom line. Whats in your wallet . Alexis tsipras submitted a new reform proposal to greeces creditors. Athens conceded to new taxes on its shipping industry and changes to the pension rules. The Greek Parliament is slated to today. Would you consider the greek Prime Minister and here he is talking about Alexis Tsipras. The only possible way is you come forward in the coming days. In the coming 48 hours with incredible reform package and that doesnt mean to say i want to end it. No, that means that you make a road map. That you make a clear calendar. No intentions that there are end date of the different reforms we need desperately in greece. Lets make it. Theres five things you have to do. Im even ready to come to athens to discuss it with you because i like such a challenge. With you directly. They are made proposed plans overnight. Are they credible . On a number of issues they are more credible than the previous proposals. For example, on ending of corruption in greece there is now a detailed number of matches. On the shipping industry theres small concrete measures and the dlif registers that exist for small greek islands but that said for most of the things it is all the same matches that were already on the table weeks ago. We are running toward a grexit. Has this changed things . Things have dramatically changed with with the new proposals. Not that theres a dramatic shift in these proposals but a number of Structural Reforms are added by tsipras and the creditor versus to accept this and give a new package of loans to greece off 53 billion and that gives them a bridge for three years to work on more in depth reforms in greece but also in europe and im saying that because its impossible to have a Currency Union as a euro and then running every six months into a greek tragedy or into a portuguese tragedy or spanish tragedy. We need a common institution that means an economic government and also what i call pressure ri certificates on the european level. What do you think that it is . You start by pushing out the greeks . Who is the next member of the euro zone . The portuguese . Then you push them out and you continue. Thats a nonstarter for me. You to organize your Currency Union in an appropriate way and thats not been the case the last decade. Since the start of the euro. We dont have an economic government in the euro zone or a common treasury or common depth Financial System in the euro zone. Look to the dollar how it works and upon sterling how it works. They have treasury and treasury certificates and a common system or so to help Member States in difficulties and thats the way forward. I hope this crisis around greece can be the start of real reform in the Currency Union so that we can establish a real Currency Union in europe. Are you saying you need it in order for the euro to survive longterm and these issues not to come up again and have you felt sidelined during these negotiations . Have you felt your voice hasnt been heard . From the beginning we said this problem can only be solved if there is public dekate and transparency and accountability. All of these guys have to come to a parliament as is the case in any democracy. And i think this debate helped in a certain sense and then on a Political Union your first question its obvious. There are many States Worldwide that use the currency of another country but they exist elsewhere a currency without a state authority behind and that is the leap forward that we have to make in europe if we want to have a viable single currency the euro. Your address at parliament resulted in getting a lot of attention. Its on youtube and received 598,000 clicks. Sy was watching tsiprass face. He was smiling and smirking. What would you say to him . Continue with the part now he made a number of moderate new proposals. Thats fine. That can help to find a deal with the creditors now but he has not to stop. He has to continue. The greek side is a mess. Its purely based on corruption. Its not new. Its the old political system of greece and that is my appeal to Alexis Tsipras to become what i call a great democratic leader of greece and will modernize greece and he can peculiar a very important reformer. Hes the strongest Prime Minister weve ever seen in greece. He has two mandates. One based on his victory in the parliamentary elections and the rev ren referendum. So he needs to use that. Thank you. A clear change in tone and content in his views since earlier this week. This sunday we will be bringing you live coverage from london brutselsssels, berlin and athens. Squawk box europe decides here on cnbc from 21 00 cet. You wont want to miss it. He was telling us these proposals this time around are more credible. Thats being backed up by the president of france. He says the greek proposals are serious and credible. He says that greeks must recognize that reforms are necessary which he obviously thinks they have done. More and more sound bites coming out that these proposals are being welcomed of course. Still no deal yet but markets reacting very positively. None the less. Lets discuss this more with mark. Mark clearly theres positivity out there today that these proposals have taken a big step. Are markets reacting too positively though in the short, immediate term . Its understandable how they have acted. A lot of people move toward the grexit as the scenario and now were swinging back. The risk still lies with National Parliaments and this is where hes not wrong. Hes absolutely right. There has to be moves toward a transfer unit with or without greece. That is if you youre going to let the euro zone survive on a grexit that needs to be tightened up. We have this problem though that while admitting that greek needs a substantial debt wietrite down made that contention on grexit but my concern and given the noise were hearing germany is very important. To railroad this through parliament which merkel can do she may have to sacrifice all the political good will she has. She may end up finding 80 or 100 in her own party voting against her. Is it worth the sacrifice. Hast the primary thats the primary risk. It would still be approved as a package but would we have to worry about Political Uncertainty in germany. What does this mean for investors . Its getting confusing for the inses to inses investor trying to make sense . Are you recommending buying bonds and utilities . The fundamental risk is if we get a solution to greece which is seen as sustainable for six months to a year and assuming china comes down and oil prices dont fall much further then were going to be looking at the next risk which is the fed has a green light to go. Those are the things hemming in above all potential down move in oil prices. So youre still looking at an environment where bonds look overpriced at bubble credit but in the first instance you are going to get a risk on reaction. However i wouldnt be in it for the longterm. Thank you for joining us here on friday. Strategist at adm investor services. Its not cool to be rich in greece. Displaying wealth is a massive fea fef problem. Head to cnbc. Com for the full story. And dont forget you can follow all the latest greek developments as they happen on the squawk box live blog only available on cnbc. Com. We have been asking you do you think the greek Prime Minister is an electoral accident or revolutionary perform reformer. Get in touch with us. You can tweet us on the bottom of the screen. Interesting because he lead to this question and clearly on wednesday he felt he was the former electoral disaster and he is leaning toward the other side but saying theres more work to be done. I have to say on a personal note if we look back on this and applaud mr. Tsipras as being the savior of greece ill be hugely surprised and a great correction from a lot of the things we have been saying over the last month or so. Because he played this negotiation terribly and risked a huge amount. If he gets away with it fair play to him but hes lucky. Given that theres a series of deadlines he missed i dont think hell be seen in a positive light. Do get in touch with us. Tweet us email us. Let us know what you think of mr. Tsipras. Still to come negotiators are still in the table at vienna although theres little signs of a deal between world powers and iran. But what will an agreement mean for Iranian Oil Exports . Well discuss after the break. European markets jump at the open after greece submits new reform proposals after concessions on Pension Reforms and taxes. He tells cnbc the tide changed for athens. Thing versus dramatically changed with these new proposals. Not that there is a dramatic shift in these proposals but a number of Structural Reforms have been added by tsipras and i they the creditor versus to accept this. Shanghai composite with the best two day gains since 2008. Car sales falling for the first time. Shares in iag take off after ryan air agrees to sell its stake in air lingis moving in one step closer to take over the irish carrier. No signs of a nuclear deal in vienna. Deadlines must be expected as washington is prepared to end talks if an agreement for lifting sanctions cannot be found. Lets bring you breaking u. K. Data. The trade balance narrowed more than expected in may. Lets look at the deficit at 9. 4 billion which was the april number. The may number 9. 8 billion. Very interesting construction data. Down 1. 3 month over month but actually up 1. 3 year over year. This after optimism among british construction firms hit a nine year high in the month of may. Sterling at session highs. Lets just cover sterling again but of course theres a new name for sterling out there today. Not just cable. Not sterling dollar but also queen back green back. I havent heard that. I coined it this morning. Did you . Much to the dismay of everyone in the newsroom that banned me from discussing it. Maybe it will catch on. The queen back. Tweet me. The queen back. The queen back the green back. Let us know what you think. Lets take a look at your european equities. Stocks moving up and down given the multiple greek headlines were getting and now all eyes on sunday. Will we get a deal . Thats the big question. Stocks staging a rebound here after yesterdays positive session the ftse 100 continuing its move to the upside but keep an eye on the xetra dax. A major reversal in stocks. In todays session up 1. 5 and green across the screen in france and italy as well. So risk on in equities. The same is true with bonds which means that yields have been compressed and yields of the safe havens have ticked up. Looking at 2. 34 in the u. S. 0. 8 again on the german ten year. None showing there but we have seen a little yield compression in the likes of portugal spain and italy today. U. S. Secretary of state john kerry says theres no rush for a deal on Irans Nuclear programming signaling negotiators could miss todays deadline. We also recognize that we shouldnt get up and leave because the clock strikes midnight and i emphasize given that the work is incredibly technical and the stakes are very very high we will not rush and we will not be rushed and we wont let ourselves be rushed through any aspect of this. If a deal is done how quickly could iran ramp up Oil Production . Immediately after the removal of sanctions but that might not amount to more than half a billion barrels of crude a day in 2016. Some analysts believe output couldnt be ramped up by more than 300,000 barrels a day out foreign help. Thats the big question. When we get a deal when will that lead to actual Iranian Oil Coming back online . But i dont think any analyst can forecast that . No its hard and i had a look at as many as i can find and it ranges between 200,000 barrels a day and 1 million. That says it would be more like half a million ramping up to a million over a matter of months but thats a huge gap for oil markets to try to comprehend. 0. 2 million or 1 million and how quickly is that going to come up . When we have a fragile oil market this uncertainty doesnt help. It was seen as one of the Reasons Oil Prices moved to the down side by 8 on monday because there was renewed optimism that a deal could come together and oil would come back online oversupply leading to Oil Prices Moving lower but i dont think they should be moving on this deal. It could take many months or over a year before we see iranian oil back online. Exactly. But its also worth mentioning that International Energy Agency Report as well because supply was higher in june by half a million barrels. Both from opec and nonopec but in particular from opec producers it was record high and i think that is much more what hurt oil prices this week. The existing supply the threat of iranian supply is an issue. The uncertainty from china as well as greece thats something that the iea referenced and well continue to watch. Oil Prices Higher in todays trade but still in bear market territory. Lets talk tech. Facebook may be looking to encroach on youtubes turf. The social networking giant held talk with major record labels about getting licensing rights for music videos and feeds. They want to start adding videos. Video views have boomed thanks to the auto play feature. The company now streams 4 billion videos per day. Facebook shares flat. The increasing popularity of music streaming put immense pressure on the industry with record labels and artists suffering losses. Carolyn sit down with stephen whitt. The author of a new book that tells how one act of piracy changed the Music Industry forever. Whats happening is ad supported streaming pay almost nothing to the artist. So its really a very small amount of money and not enough to make up for the cannibalization of album sales. But not even taylor swift can change that. She stood up against apple music but the royalty payments are 0. 2 per play. Something like that. Yeah taylor swift has a lot of power and leverage against apple but cant make money appear out of thin air. Only the customers can do that and they have to start paying for music. So how are artists in the future going to make money . Taylor swift doesnt need to worry about that but youll have to go on tour a lot more to actually break even . Thats whats happening now. The live music market has tripled in size since the beginning of the piracy era. Consumers have more money to spend on live music if they spend less on recorded. If streaming succeeds that shift will go back in the direction of recording labels. Apple thinks it can get 100 million subscribers. If theyre paying 120 a year for the service thats 12 billion. They pay 70 of that out. 8. 5 billion. Thats a significant chunk of money. Do you think its feasible . I think it will period happen. They have 800 million itunes subscribers. If they can get 10 or 15 of them on board with the service, thats how they hit it. Between them apple and google control 96 of the operating System Market for the smartphone and google will also premiere a Similar Service later this year. Who is going to win in all of this . Apple music . Google . Apple can win through cosmetic advantages in its applications. Google by bundling through youtube and spotify can win by being the first mover market leader. Its hard to say. If i had to pick one horse i would probably pick apple. They won the last round of this and theyre poised to win this one too. They do win at a lot of things. Coming back to the demise of the Music Industry ten years ago we thought it was absolutely over and then very slowly we saw streaming coming back to the market and that was a huge success because the Music Industry didnt die but then profitability is still low. Is it a blessing or curse . Its on life support. The Music Industry shrunk last year in total revenue even with the addition of streaming. People that subscribe to streaming services stop pirating more or less completely but they also stop pieing albumsbuying albums. Many artists are beginning to revolt. Absolutely. 10 to 15 years from now what are we looking at . Streaming still being on the scene or a completely different mind set of how we listen to music . Of how we consume things . Its hard to predict but the technological trend is music will be all around of us. Well pull it out of the air on any device we desire. For that to happen well enter a world of subscription model and does seem like thats the direction were going. But music will never stop . Music will never stop. Art is much older than commerce and even in the absence of money at all people will make music. Well continue that discussion in a moment but the latest flashes on the greek situation situation. The decision may come today. European markets have taken the news of the latest proposals very positively. As you can see, euro dollar at 1112 today. Lets draw your attentions to shares of apple which did close at a five month low yesterday after five consecutive sessions of declines. The First Time Since january. One factor being cited for the move is a report from the Ubs Evidence Lab suggesting the slowing chinese economy is a risk for am. However the bank says the tech giant is quote, okay for now. It adds the recent stock market turmoil will have limited impact on the overall economy. Now according to the report china provided over half of apples recent Revenue Growth. Now the note is also weighing on apple chip designer arm. Lets have a wick look at share price of arm this morning. One of the very few stocks in the red across europe with most of them of course void by issues in greece but arm shares as you can see, are off about 0. 6 . Lets talk a little bit more about apple and its forecast with George Oconnor director. Pleasure to have you on the show. Apple had massive success in china. Recent volatility in the stock market. Is that a risk for apple. Theyre a risk factor. If we roll the clock back to the last quarter china was the big positive surprise. Now were concerned the Chinese Consumer doesnt have the money for those from apple. If the consumer is not buying as many iphones or wearables what other emerging market could provide solid Revenue Growth Going Forward . India . In fairness to apple we should think at the underlying tech play as being more important than the geographical story at the moment. So if we look into the Current Quarter this started out looking really great. We had music and china and the new s range coming down the pipe so it was stacking up and right through the quarter weve seen each of those tech stories start to disapate so no one cares about the s coming down. The order story they gave to the factory is Wishful Thinking from them as well and your Previous Story on taylor swift, the whole apple music story is starting to dis disentigrate before our eyes as well. I havent had anything in terms of what the cold face is telling me. It isnt a really stretched target. It looks as a bit of a pull back. Do you think apple could actually be successful in music given that it doesnt have the first mover advantage . Absolutely. Theres a fight in terms of exclusivity as well. Thinking on the consumer play one of the big product plays was the apple watch. Lots of enthusiasm at the out set and then we saw some research saying sales had fallen from 35k a day down to 5k a day. That looks as if its going nowhere. You seem unimpressed by the release of the new iphone. Its come quickly after the 6 which had two different models. Talk us through why you think this is an uninspiring release. The s is typically not doing much in terms of the form factor. It could have a nice cute little tech story around this force technology they have been talking about. That moves it away from gesture to impression and pressure. Now we have seen the music Tech Industry pick up on this one and they have already been playing with this technology which looks interesting. Do you think the positivity and roll out of the new products is already priced into the stock . Good point. One of the surprises is the apple valuation. Down five times in a row. Fcf yield, 12 feels like a cash point. I think the market is looking for a negative on the day. Theres going to be a risk on currency as well but bad news is always bad news. It does come down. Your call on the stock . Light at the moment waiting for the negative on results day. Apple down 5 this week. Well see if it poses a good good buying opportunity. We have all the details on the celebrations being lined up for the usa womens soccer team after its world cup victory. Worldwide exchange is back in two. As fears of a grexit rise the Financial Times is reporting that the bulgarian lev and lira are being accepted in greece. Theyre trying to get around the 60 euro a day withdrawal limit. A reason cited for justifying acceptance in greece. Meanwhile, bit coin has seen a surge in popularity with the currency being seen as a safe haven asset. Numerous reports from the ground in greece suggest the demand for the Digital Currency jumped nearly five times. Lets get out to simon dixon, fund manager and founder of bitcoin capital joining us live from hong kong. Do you see bitcoin being a viable alternative for greeks cash strapped given the restrictions on greek banks right now . Well its times like this when we really start to see the difference between bitcoin and banking. What is highlighted with the greek people is when they hold their assets and hole their money in bitcoin they own their own money and it free flows around the entire world and they can spend it person to person. So when banks are closed their deposits dont get seized. Its becoming a real viable alternative and now were six years into the bitcoin experiment services have come around where you no longer need to take the volatility of bitcoin and you can peg them to things like the u. S. Dollar or gold or other assets. Simon, if say, greece did crash out of the euro and theyre in the position that they had to come up with a new currency today in this modern era, could they go purely digital . They could. Thats an option. Thats one of the options that the icelandic people have been exploring after their financial crisis. Their economy is booming right now. So the option of inventing a new type of currency that serves the people that is digitally created and the profits is distributed among the greek people is a very realistic option. It just requires openness to financial innovation. Greece has one of the highest aging populations. Do you think they could convert to the bitcoin fully if they were to exit the euro. I dont think bitcoin is exactly in the right place it needs to be right now for older people to use and less tech savvy people to use. But if we have a few more months of innovation. It opens up to entrepreneurs to create services that allow every day users to use it. With a couple of months of innovation and contract with the greek government we would be able to allow them to be used off line. Now i can use it with a debit card and i can put my bitcoins on a card and spend it anywhere that visa or mastercard is accepted. Its easy to integrate with the existing system. Simon, quickly, what is your year end forecast for bitcoin . Where do you see it headed from here . I think its massively undervalued. Its the largest computer in the world. Its been an amazing experiment and as we see more financial disasters and financial crisis it shows that we have already seen a 17 increase in the price of bitcoin and that will follow as more crisis goes. Thank you for joining us. Simon dixon founder of bitcoin capital. Now the town of sun valley idaho is known for two things. Skiing and the coming together of media moguls. It gathers tech titans and billionaire investors. Julia has the buzz from the second day of the conference. The big speaker thursday secretary of defense ash carter. Reaching out in an effort to make the pentagon more hightech and help prevent against cyber terrorism. These are the most innovative leaders, Business Leaders in our country and our country breeds the most innovative leaders. I would like the department of defense to continue to be a very innovative place because we have the finest fighting force the world has ever known now and id like to leave to my successors. At what point is that a National Security issue . It is a National Security issue. Thats why if youre thinking about the longterm as i have to the longterm security and vitality of the department of defense i need to be concerned about things and i am like science, technology engineering, mathematics, education, schools and all the things that go into making what has been for all of our lives and our generation now the most innovative country in the world. Can you defend against a nuclear iran . We would have to. One of the purposes of secretary kerrys talks is to stop iran from having a nuclear weapon. The talks are on going. I dont know how theyll turn out. The president made it clear that hell only agree to a good deal and that would stop iran from Getting Nuclear Weapons which would make it easier to protect ourselves. We talked to the chairman of linked in about the reaction to secretary carters outreach efforts. His visit has exactly the right kind of strategic goal which is i think we need to connect the technologist and investors to solving critical problems around Cyber Security and general, how do we figure out privacy and security and put them together. That has to be a problem we solve together. So i think his taking the initiative to do that is extremely good. Its a first step on a very long road but going down that road is very important. Hoffman also talked about the potential for companies such as one of his investments airbnb whose ceo is here in sun valley. Start ups will be in focus on friday with a panel called the new breed. Looking at folks here such as the snapchat ceo. Now the u. S. Womens soccer team will be honored with a rare parade along broadway this morning celebrating their victory in the world cup. Theyll be the first women featured in a parade down the canyon of heros in three decades. New york city will be picking upmost of the estimated 1. 5 million tap for staging the parade. Those goals never get old. Congratulations once again. Chinese markets finding their composure after a series of measures are introduced by the government. Can the rebound continue . Well discuss after this break. Push your enterprise and you can move the world. But to get from the old way to the new youll need the right it infrastructure. From a partner who knows how to make your enterprise more agile, borderless and secure. Hp helps business move on all the possibilities of today. And stay ready for everything that is still to come. Welcome to Worldwide Exchange. Here are your headlines from around the world. Could this be judgment day . A decision on greeces latest reform proposals could come as soon as today. European markets in the meantime rally as hopes for a deal nears. China boosting sentiment after the best two day gain since 2008. However car sales falling for the first time in two years. Investors eye a speech from janet yellen for any signs that china or greece could impact the Central Banks rate hike timetable. And a u. S. Federal agency says 22 Million People were hacked last year affecting 7 of the countrys population. Stocks losing steam yesterday but managed to end in positive territory on wall street today. We could be in for another rebound. Dow up 133 pounds and s p 500 up 15 the countdown continues as we reach sunday. In the meantime we have to point out whats happening here in europe. Another big day of positive gains here. Were looking at the xetra dax up nearly 1. 7 . The cac 40 up 2. 5 and italian markets showing a bit of green we have been seeing one of the best performing sectors in todays trade. A green across the screen. Ftse 100 up 1 . You can see spain and portugal also seeing gains so markets rallying. Renzi says he hopes theres no need now for a meeting on sunday. Clearly were getting much much closer to a deal. Were already above where we were on the dax. Its not like were rallying off a full back but out right. Dont forget the rallies we have already seen. Bonds reacting on a risk on day. The core the safe havens the u. S. And germany seeing selling back above 0. 8 on the ten year in germany where as the likes of greece seeing yields going the opposite direction. A little bit of bond buying. 15. 6 on the greek ten year. The euro move has been complicated over the last couple of weeks but today sit moving up with this positivity. 11112 lets have a quick look at cable. The sterling u. S. Dollar or the queen back green back which is up 0. 5 . 15455. Over the course of the week a big sell off in oil prices. A little bit of positivity as we come to the end. Up 0. 8 . Wti and brent 53. 2 for wti. 59. 0 for brent. Chinese stocks bouncing back for a second day propped up by determined intervention from chinas central bank. It follows a major three week sell off which saw the shanghai composite sell almost a third of the value. It could sound an alarm over the countrys plan to liberalize markets and open up to foreign investment. Now the economist tweeted this picture describing chinas response to the stock declines as panicked. You have to wonder what of course these last two days of gains means for the market Going Forward. Just want to point out this is further evidence of a slow down in the worlds second largest economy. New car sales fell in june. The first monthly fall in two years. Prompting the countrys Auto Association to slash its forecast for 2015 sales in half. Now lets get more on the trade in asia. Joining us live from singapore. Hi adam. Hi seema, great to see you. It was a very encouraging session this friday. We saw china lead the way forward with the exception of japan as you can see up there. Just ending in negative territory for the day. Dont read into those declines a lot of that is distorted by the big losses in retailing which accounts for a big portion of the nikkei 225 market capitalization. So strip that out. It was a fairly solid day for stocks across the board. Drawing comfort from what was going on in china and then of course a development in europe with desen news coming out that the greeks look like theyre going to give in to the demand and pressures of the european creditors and theres only six that ended in negative territory. Bear in mind nearly half of the stocks traded on the shanghai composite and shenzen are there. Take a look at the hang seng and index, looking very solid indeed. The big question is on the tips of everybodys tongue is with this stock market rather we have seen it over the last three weeks what is the knock on effect going to be across the real economy . As order sales in the month of june were down 3. 4 . Thats the first decline we have seen in two years and, in fact longer if you strip out the holiday season. We did see a rally across the order stocks. It was a very descent session but were watching those numbers very closely indeed. Were going to discuss china. As i said moments ago the Prime Minister hopes theyre going to confer on greece at 11 00 london time. Thats 1 00 cet and he has said a major decision could be taken as soon as saturday. This after french leaders say greek proposals were serious and credible and other leaders like the Prime Minister of ireland saying hopes of a greek deal can be agreed upon by saturday or sunday. So a clear change in tone. Absolutely. Also in the chinese stock market. Well come back to that in a few moments in fact. We spoke earlier to the belgian politician and he urged tsipras to make wide reaching reforms. Greek society is a mess. Its based on production and its not new. Thats my appeal. He is the strongest Prime Minister we have ever seen in greece. He has two mandates. He also has the referendum which is a second mandate for him. Joining us down the line from london is Michael Snead thank you for joining us. What do you make of the recent proposals from greece overnight . We have seen a move in the very positive direction and we have seen this really start to get reflected in the markets. The outcome is still being very biana bianary. What is interesting is we have seen the markets start to price in this positive news. But michael you said that whatever happens with greece this weekend you see down side risks to the euro. You think the euro is going to sell off . Thats the case. If we get a positive result its going to create an environment in which risk assets are going to perform. A positive outcome for greece will be negative for the euro after a relief rally. We like it with trades such as short euro dollar and short euro yen. Theres reports of a potential split in the greek Prime Ministers party. Could further Political Uncertainty continue to weigh on european markets Going Forward . Despite whether we get a deal or not . So yeah theres still a lot of uncertain situations. The Greek Parliament pushed back their vote they were going to put forward today until tomorrow and theyre not going to vote on the final acceptance of any proposals until monday so theres still a lot of uncertainty around in the situation. Are you surprised by the performance in european equities . Now stocks moving to the upside on this potential new deal coming together. It really shows that the market is wanting to get back into this environment where its buying euro zone assets. So we had a couple of months with euro zone bonds selling off and equities selling off. An unwind of the ecb qe trades put on in the First Quarter of the year and i think it shows that once we move beyond greece there is a lot of appetite for investors to put those trades back on. That combined with some of the dynamics we have seen in the euro zone bond marks should be negative for euro zone yields and further put down pressure on the euro over the summer. Lets move on and talk about the u. S. Side of things. What are you looking out for . Because the minute wess we got this week are more out date than two weeks would imply. Yeah they were highlighted before things start to deteriorate. However yellen is going to shift the focus back into the u. S. Economy. Things are looking quite strong. Now the way that we are thinking about the fed is that most of the questions around the timing of the feds first rate hike. We ourselves have pushed back. We work for september. Were now looking for december. However from the dollars perspective we still have a case where the fed is going to be enticing policy much more than any central bank over the next six months. That puts the dollar on a strong footing. You want some long dollar exposure. Just to wrap things up i wanted to ask you about china and the rmb. Do you think that china made a massive step backwards in the financial liberalization plans . If so what does that imply for the chinese currency moving forward . I think the upcoming sdr review made the chinese authorities really try and stem the decline in chinese equities. Whether or not thats the case is questionable but what it does mean is theyre going to be doing all they can to keep the currency stable ahead of the decision. Even if, say, the situation was to deteriorate again in the chinese equity markets. Thank you for joining us. Much appreciated. Michael snead, the fx strategist. Now fed chair janet yellen gives her latest view on the u. S. Economy, inflation and the job markets today. She is speaking before the city club of cleveland at 12 30 p. M. Eastern time. Investors will be listening for whether yellen tips her hand siding with one faction of the fed that favors a single rate hike this year or those that want two. Two yellen appearances in less than one week. Lets get you a run down. May wholesale trade is out at 10 00 a. M. Eastern. Increased in may but at a slower pace than the previous month. Boston fed president rosengren is speaking at the Rocky Mountain economic summit indaho. Apple saw five consecutive days of decline. Is the party over for the iphone maker . Find out after the break. 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 . Welcome back a. Lets get you headlines. European markets are rallying as policy measures indicate a proposal could come today. No rush on Irans Nuclear program as tonights deadline looms looms and ticker tape day for the u. S. Womens soccer team that will be honored in a parade in new york. Facebook may be looking to encroach on youtubes turf. The New York Times reports the social networking giant held talks about getting licensing rights to insert music videos in news feeds. Facebook wants to start adding videos in the coming months. Video views have boomed thanks to the auto play feature. The company now streams 4 billion videos per day. Now lets talk about apple. Shares closing down at a five month low after five consecutive sessions ofdeclines. The first time that happened since january. One factor cited from the move is suggesting the slowing of the chinese economy is a risk for apple. However the bank says the tech giant is okay for now. It adds the recent stock market turmoil will have limited impact on the overall economy. According to the report china provided over half of apples recent Revenue Growth. Right. Lets have a quick look at european markets before we go to break. Strong performance across the board today. Were looking at the stoxx 600 up 1. 6 . All the latest flashes have been that we may even get a decision on the latest proposals before sundays deadline. Unlikely to happen today but possibly, possibly to happen at the Euro Group Meeting tomorrow. Green across the screen for european equities. Coming up hack attack. Fight back following the largest u. S. Government computer breach of all time. We catch up with a Cyber Security expert. Thats coming up after this break. Dont go away. [ male announcer ] we know theyre out there. You cant always see them. But its our job to find them. The answers. The solutions. The innovations. All waiting to help us build Something Better. Something more amazing. A safer, cleaner brighter future. At boeing, thats what building Something Better is all about. I built my business with passion. But i keep it growing by making every dollar count. Thats why i have the spark cash card from capital one. I earn unlimited 2 cash back on everything i buy for my studio. And that unlimited 2 cash back from spark means thousands of dollars each year going back into my business. Thats huge for my bottom line. Whats in your wallet . Sec officials met with top executives to learn more about what caused wednesdays trading halt that lasted nearly four hours. The agency says that steve that overseas a division that leads the Stock Exchange met in new york. It was the result of a Technical Glitch stemming from a Software Update on tuesday evening. The office of Personnel Management says 21. 5 Million People were effected by cyberattacks last year. That includes u. S. Government employees that have undergone background checks for security clearances since 2000. They stole Sensitive Information including financial history and Social Security numbers. The u. S. Identified china as the leading suspect which beijing strongly denies. Lets talk more about this with the cto of good technology. A pleasure to have you on the show. It seems like every week and every month theres a new story around Cyber Security. What do you make of the recent report . Whats really interesting about this attack is not just the scale of it the number of people who have been impacted but the depth of the attack. This is not just stealing credit card numbers. Its the histories taken here. Thats very valuable in terms of being able to impersonate people but also potentially would be valuable to state level actors since these are are government personnel. How much is Cyber Security costing the economy every year . It seems like a massive leakage of value out of the system. Absolutely. I think its a huge friction on the it budgets of organizations to have to keep dealing with this but i think its important that we do keep dealing with it because if we didnt then the costs would be potentially much much higher. Lets talk about your company good technology. You were slated to go public last year and delayed your growth because of market volatility. Is going public on the table or are you looking to be acquired from one of the larger mobile security players. We have been seeing a lot of consolidation in this place. Im the Technology Officer so im not really in a position to talk to you about our particular financials. We continue to grow. We continue to do extremely well in the market and i think we continue to have the best technology in the marketplace but youd have to talk to my boss to find out more what do you make of blackberrys foothold in the mobile security space . Thats something theyre trying to strengthen over the last one year. Absolutely. They have been innovators for many years and have great technology. People understand they slightly missed the boat with the rise of the smartphone. Of course theyre doing their best to come back on that. I think they have Interesting Technology and were always keen to have strong competition to keep us busy. On the issue of sub security and how to combat it given that were in london David Cameron said last week he intends to ban strong encryption products. Is that a wise move or a step too far in terms of protecting countries against cyberattacks . Its a naive move. Many of the top Security Experts in the world, a dozen of them recently released a paper detailing an excruciating depth how bad an idea this is. Its bad at the level of damaging the security of all the systems that they would want to intrude on. Its damaging the viability to have technologies acceptable to other countries. Im sure that the Chinese Government would be quick to follow. Theres so many ways in which this is a bad idea. Hard to do it in a short segment. Is this any country that you would praise for the type of proposals or reforms they have put in place to address Cyber Security . Both britain and america are doing a very good job at what they do in terms of protecting us against Cyber Security at the broad level i think that the devil is always in the detail and so you know the technologists that my company is one of them. Many in Silicon Valley Building Technologies to try to protect people its a cat and mouse game and well always be playing catch up. Thank you for joining us. Much appreciated. Now the latest on the euro because it has spiked on the back of positivity that we might get a deal before sundays deadline. Its possible at the Euro Group Meeting tomorrow as opposed to today but lets look at the euro. Up over 1 . 11156 off the back of this positivity that creditors are taking the latest greek proposals very well. Euro Group President also saying that euro zone finance ministers may make a major decision when they hold an emergency session on saturday. Lets take a look at futures. What does this all mean for wall street . We have been seeing stocks move all over the place given the macro uncertainty around greece as well as china. We could be in for another positive session after yesterdays stocks moving into positive territory at the end of the session. Dow up 147 points in premarket trade. S p 500 up about 19 and nasdaq could also get a bid up about 43 despite apples underperformance down about 5 already this week. Still to come on the show, arsenal are among the top top performers among the worlds top soccer clubs. Well bring you all of those details. Youre watching Worldwide Exchange and im seema mody. Im wilfred frost. Here are your headlines from around the world. European Officials Say a decision could come as soon as. The euro striking as a deal comes closer. The shanghai composite with the best two day gain since 2008. The economy is stalling with car sales falling for the first time in two years. Investors watch a speech from janet yellen. And a u. S. Federal agency says almost 2 Million People were hacked last year. The mass data breach effecting 7 of the countrys population. Now greece and china have not been inspiring any confidence among the Trading Community over the past one week but that could be changing after a positive session in asia overmite. Also now hoeps of apes of a greek deal coming together. Dow up 153 points but you have to take a look at the moves were seeing in europe. Xetra dax up better than 2 . Thats a 236 point move to the upside at 11,233. What about the rest of europe . France and italy also in the green. A 3 move to the upside. A select group of euro zone leaders voicing their optimism including holland that says the greek proposals are serious. Also a major deal could be reached or taken on saturday. All eyes on greece and its state of negotiations with creditors. I also want to point out whats happening in the currency market. A confusing couple of sessions as investors try to understand what is exactly happening between greece and its creditors. Theyre taking that as a positive. The euro now higher at 111 against the euro dollar. Thats a session high in todays trade. We did see some yield falling earlier in trade as that continued on the day. Lets get a quick look at it now. As you can see its at 15. 6 so those moves, as you can see green across the board. A bit of buying and yield compression but still elevated of course. Oil prices bounced a bit today. Up 1 to brent to 59. 2 but this is the end of a soft week for oil prices. U. S. Secretary of state john kerry says theres no rush for a deal on Irans Nuclear program. Negotiations in vienna could miss todays deadline. We also recognize that we shouldnt get up and leave simply because the clock strikes midnight and i emphasize, given that the work is technical and the stakes are high we will not rush and wont be rushed and wont let ourselves be rushed through any aspect of this. Lets talk football or perhaps i should say soccer given that were in the second hour of the show. Its less than a month in the kick off in the new season. S p capital iq produced their own league table assessing credit risks at the top clubs. This years cup winner is arsenal, the greatest team in the world. According to you. Along with other european giants. Delighted to say that joining us now is director of Market Development at snp capital iq. Good morning to you. This is a very interesting report. Its great to see more work being done. Lets talk about the topper formers in terms of the most protected from credit default. Does that mean theyre commendable profitable businesses or does it mean that they can afford to spend more and should they be doing more to boost their performance on the pitch . Yeah thats a good question and hello, good morning, good afternoon. Lets start with arsenal since they are, you know, the greatest team in the world. I think their model is very interesting, right . As you know better than a lot of people because they did quite a bold thing in looking at the new stadium. It was quite a huge investment. Increased the capacity of their seating quite a lot but it allowed them to diversify their revenue stream which a lot depends on the Champions League which is something we saw putting this together. The table of 44 european major teams and ranking the lowest credit risk and 14 for the highest credit risk. They managed to keep fairly high leverage but its been increasing over the years. Unfortunately they won against aston villa this season and some people and clubs are replicating that and looking to expand their stadiums like chelsea looking to do that. So stadiums are very important for their financial credibility. Also as you just mentioned this the Champions League. Tell us about the experience of Manchester United having missed out on the Champions League over the last year. Thats an interesting one because the revenue was hit for the first time in quite a few years and by hit i mean actually dropped from last year to this year. March of this year. And that did, you know drop them quite a bit in the credit football league. Like 12 places so it really goes to show how strong a revenue is in terms of a driver for the credit stability. Of course when revenue goes down operational me tricks goes down and return on capital goes down and all of these things combine the fact. 24 financial metrics when looking at each one of these teams in the league and their improving and thats going to change Going Forward. On the slip side roma did a good change from the return to this in september or october. The beginning of this season this is very much what we learned in a season on and they have increased their position. They came second last season. Increased their revenue. They also looked at interest coverage which was positive for the first time in awhile and a complete role reversal to what happened to Manchester United. Still few of these football clubs listed on Stock Exchanges. Do you think that will change moving to ward . Where can you make the most of the research where theres differences in pond yields and Credit Ratings . Ill take that in two parts. Youre absolutely right. Maybe 17 18 19 of these teams are listed. The reason i give a 17 18 19 is some of them are listed but dont trade that much and they have a different financial structure. This thing i like to call the reporting gap. And public teams as well and its very difficult when everyone is doing the assessment to look at private teams and public teams and have a wholistic view of their credit. Now in terms of if a team is going to go public or not go public it comes down to what theyre looking to do and what their needs are. One of the biggest teams in china are looking to go public. That shows the expansion of football as an Investment Sector and the chinese president came out and said hes going to try to increase the prevalence of football or soccer in the country now were seeing more and more of these being listed and when it comes to investments in this our clients vary from Insurance Companies ensuring the transfers or stadiums or a bank lending to them or stock pickers investing in the equity. Thank you for joining us. Fascinating discussion. Director of Market Development at s p capital iq. Lets stick with sports. A stretch of broadway where the nations largest city has honored its legends will come to life on friday for the womens world cup winners. Theyll be the First National team since 1984 and the first womens team ever to be honored with the iconic parade. The event is expected to cost about 2 million. About 450,000 of the cost will be covered by private donations and corporate sponsors like nike. Something to look forward to. It is is. Coming up on the show facebook puts youtube in its sights as it expands into web video. Who will win the turf war . Well discuss after the break. One of the reasons nasdaq underperformed was because of apple. Shares have fallen about 5 this week and touched a five month low today. One its approaching its 200 day moving average. A bearish sign for those that watch the technicals and two, china, its seen explosive growth in this country but could that be curtailed by the slow down in the economy and volatility in the markets . Thats the concern. Carl icahns call coming at a bad time. Well see if he will in the longterm. Facebook has been slowly encroaching on youtubes territory over the past few years as the go to spot for online video but now it may want a bigger piece of the pie. Landon has all the details for us as ever from cnbc hq. Thats right. Gook facebook could be looking to go after another part of youtubes video, music video. They are looking to get licensing rights to insert music videos in users feed. Facebook wants to begin adding video in the coming months. The record labels would choose which videos appear and facebook would share revenue from ads that appear along side them. Theyre promising the better terms than youtube. Facebook also said it would do a better job of keeping unauthorized consent off of its sight. Video views are booming thanks to the auto play feature. It now streams 4 billion videos a day and had an estimated 315 billion video views in the First Quarter. Also reports that facebook wants to take on apple music and spotify planning to launch its own Music Streaming Service but the company is denying that report saying it has no plans to go into music streaming. The last thing facebook wants to do right now is take on apple on that front. Wilf, back over to you. Thanks landon. We managed it. Good job guys. Have a lovely weekend, landon. Right. Before we go to break lets remind you of the headlines. European markets rally as policy indicators make a decision on the latest reform proposals that could come today or tomorrow. Theres no rush on a deal as tonights deadline looms and its ticker tape day for the u. S. Womens soccer team that will be honored with a parade in new york city. Were back in two minutes. You know your dentures can move, unlike natural teeth. Try fixodent plus true feel. The smooth formula helps keep dentures in place. Its free of flavors and colorants, for a closer feeling to natural teeth. Fixodent. And forget it. 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 . The staff at this beautiful resort. Will stay with you forever. Especially if you dont leave. You got it booking right. Booking. Com booking. Yeah stocks bouncing back for a second straight day propped up by determined intervention from chinas central bank. The pbocs move could sound alarms over the plans to liberalize markets and open up to foreign investment. The economist tweeted this picture with the response to the stock declines as panicked. Meanwhile further evidence of a slow down in the worlds second largest economy. New car sales fell in june. Thats the first monthly fall in two years. The decline prompting the Auto Association to slash its forecast for 2015 sales in half. Lets get more on how markets traded in asia with adam joining us live from singapore. It was a pretty solid day for asian markets. Drawing comfort from the fact that shanghai continued to rally for the second straight trading session but it wasnt just because of that. It was also early signs that we could be getting that deal out of europe between greece and the european creditors. That also boosted Investor Sentiment but if youre wondering why japan didnt go along for the ride it did really. They ended the day higher by by. 2 . That was distorted by huge falls in fast retailing because of a disappointing outlook for the Current Quarter. Lets dive deeper into the numbers in china. The rally was broad based across all the indices. Only six stocks entered in negative territory. 1,300 companies are still suspended for trade in shanghai. So that amplyified the big gains. Were already beginning to see early signs that its effecting the worlds number two economy. The order of shares in china falling for the first time in more than two years as consumers held back on purchases of orders partly because of the big falls in the stock market. In the meantime these are the closing scores for the domestic asia auto makers. A very robust trading session but it was a little bit more tempered. In the meantime next week will be a huge test for the markets in china. Largely because were getting Economic Data that will give us more clues about the health and sustainability of the economy. U2 gdp and fixed Asset Investment and all important number retail sales all coming out next week. Back to you in london. A big week coming up for china. Thank you for breaking it down for us. Lets talk more about greece. Greeces creditors are set to talk at 1300 cet today. This as the italian Prime Minister says he hopes there is no need for a meeting on sunday if a deal is reached before. It comes after a euro Group Spokesperson said a decision could come today. Meanwhile, in berlin a german official says the countrys lawmakers will only vote on a greek bailout when athens shows it is ready to make serious reforms. These comments sending the euro higher. Stocks also at session highs. Lets get out to michelle on the phone from athens. Michelle comments from holland suggests we could get a deal before sunday. What are your thoughts . Well i suppose thats possible. We really need to wait to hear from who the two most important people in the room are every time and see what they think of this and i think theyre going to wait for more of the process to roll out at this point to see if its enough. Remember the economy has taken a really big hit over the last two weeks here so submitting a reform proposal thats two weeks old may be seen as falling short in the eyes of some. Still its a huge come down for the Prime Minister and with the vote in the Parliament Today in greece suggests theyre trying to make a good show to prove theyre going to do things. Theyre committed and theyre going to do things in advance as he requested. Michelle this time last week it looked as though the Prime Minister was taking an extraordinary gamble with his countrys future. As we here a deal, will history reflect on this gamble being well worth taken or will it always point to him as being a little too much. The latter. The economy has been strangled here as a result of his decision to only end up with a plan that is incredible similar to what everybody voted no to already. Theyll have to implemented tougher measures. What happened here in the last two weeks because of the capital controls is difficult and it will be difficult to unwind them. Putting in capital controls is easier than getting rid of them. It helped him consolidate his power. Im sure hes thrilled about that but ultimately it did a lot of damage to the greek economy. Markets up strongly today. They have been up strongly most of this week after mondays performance and we still havent got a deal yet. Is there too much positivity in the market given how many times we have fallen at the last hurdle . I dont trade the market. Im often thankful of that when i look at what happened. But we have seen that the market gets incredibly optimistic. Ill never forget him thinking he had something and was incredibly positive. They rallied 3 on the day and turned out to be all for naught. Is this a huge move by the greeks compared to where they were before . Sure. Lets see when it actually gets done. Thank you for joining us. Much appreciated. U. S. Futures, what can you expect on wall street today . Well, those hopes of a greek deal nearing is sending futures higher. The dow indicating a higher open by 145 points. Lets get you a run down of what to watch this trading day. Inventories increased in may but at a slower pace than the previous month. In addition to Janet Yellens speech this afternoon, boston fed president is also speaking at the Rocky Mountain economic summit in i had i had. Lets get out to the cme. The president of traders audio. Com. Futures pointing to a higher open. Is this all about the potential greek deal coming together or in response to the positive session overnight in asia . Its a combination. What were seeing now is a sharply higher move in the s p, nasdaq russells across the board but its all ahead of open. Michelle didnt seem optimistic about some sort of a deal going through although were seeing new talk and new discussions but unfortunately not a lot new being brought to the table. We have been seeing the greek currency climb and theres a lot of optimism across the board but this market the s p, domestic markets here have been extremely resilient considering all the uncertainty you guys just brought to our attention moments ago. We had adam talking about concerns in china although weve seen a nice rebound there. I dont think im not the type of person or trader that thinks that one spike to the upside after seeing sustained activity lower but as concerns and fears and uncertainty still remain. This is a little blip on the screen. What we need now is follow through. Do you think the market is overobsessing . Perhaps we should focus on fed policy. We do have janet yellen speaking today. No question and the weird thing is that thats been muted all week. When yellen is expected to speak especially on a friday you have the markets in the Holding Pattern but with all the information the volatility continues. We saw it strike up into the 20 level over the last couple of days. So interestingly enough thats what i expect to continue. This rally a little bit of a blip on the screen. While we did come off of key levels we were unable to break those levels. Were waiting to see and i dont expect volatility to fall off the table. I expect to see it continued as the uncertainty and the dust settles. Have a great friday. Thank you for joining us on Worldwide Exchange. I just want to point out apple shares despite moving to the downside yesterday is up 1. 2 in premarket trade. This of course after that some what worrying note from ubs on the impact of weakening china on apple. Its been a bad week for apple. Could they finish on a positive note . We will have to leave that to our squawk box colleagues state side to tell you. Thats all we have time for today and this week on Worldwide Exchange. Have a great day. Well see you on monday. [ male announcer ] we know theyre out there. You cant always see them. But its our job to find them. The answers. The solutions. The innovations. All waiting to help us build Something Better. Something more amazing. A safer, cleaner brighter future. At boeing, thats what building Something Better is all about. Good morning, the great greek hope. Athens submitting a new reform proposal ahead of the deadline. Trying to avoid financial collapse and the possible exit from the euro zone. New this morning, the International Energy agency predicts food prices further the fall. The big reason oversupply. And the ticker tape ready to fly or at least the modern day version of that. The world cup winning u. S. Womens soccer team will roll down new yorks canyon of heros today. Its friday. Yes it is. July 10th 2015 and squawk box begins right now. Live from new york where business never sleeps this is squawk box. Good friday morning. Welcome to squawk box here on cnbc. Im kelly evans with joe kernen. Becky and andrew will be back on monday. What a week its been for the markets. The index down about 1 this week but that hardly tells you the story when you take into account all the swings the dow travelled more than 2200 points this week and as for todays trading session its shaping up to be a positive one. Check out the futures at this hour. After strong sessions in europe and china the s p 500 looking to open up higher by 18 points. The dow by 150. The nasdaq adding 42 and heres european stocks in early trading