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Investors. The dow component was able to offset the slump in demand for personal computers and top wall street estimates for both profits and revenue. The Company Earned 55 cents a share, beating estimates by a nickel. It was down more than 4 from a year ago. Shares of the dow component spiked on that report. The one key take away for investors now. One major takeaway from the intel call, the pc market not doing as well as intel had hoped. The Company Ended up taking down its full year guidance. It is expected to be down 1 compared to a year ago. It had been forecasting roughly flat but it took down the stock after hours. The Data Center Business doing well. Gross margins hanging in. The pc business not doing as well as they hoped. Well see if windows 10 in the sky helped at the end of the year. Netflix also had a good quarter and a growing number of subscribers. Netflix earned 6 cents, topping estimates. Revenue of 1. 6 billion was below forecast but much higher than last years performance. Investors liked what they saw, sending it spiking. The streaming Video Company netflix is adding subscribers far faster than expected. Especially overseas. Reporting the best Second Quarter ever with 500,000 new subscribers in the u. S. And 200 million internationally. They have held on because of the strength of the original content. It is the third season of orange is the new black. Bolstering stock news higher confidence with better than subscriber additions will continue into three as the Company Launches in japan. Back to you. One of the bigger concerning this is earnings scenic is the ability of companies to generate sales. Many analysts say weak top line growth could turn into a full revenue recession. Explaining why this important part of the earnings picture seem to be stalling out. Earnings season is in full swing and earnings are likely to be flat. The main reason is revenues. Earnings fortunate s p 500 are expected to be down 3. 8 however, those numbers typically rise as reports come in. So earnings are likely to be flat for the quarter at the end of the day. Thats not great. But revenues are expected to be down 4. 2 and thats not likely to change. Why is it that no Revenue Growth . Partly company have not been able to raise prices. There has been fairly slight demand. Theres an additional reason. Oil companies have seen a dramatic 35 profit revenue. In fact if you remove Energy Stocks from the s p 500, Revenue Growth would be up 1. 6 . Rather than down 4. 2 . Revenue decline thats the they continue will make it very dimt to have profit growth. The question is, will it continue . The two wild cards to watch are oil and the dollar. If Oil Prices Rise Energy Companies will have stronger profits than revenues. And this has reduced the overseas based in the u. S. And has made exports competitive so a weaker dollar would be a big help to Revenue Growth. For nightly Business Report. Nick joins us now to talk more about what a revenue recession would mean for investors and the broader market. The founder and ceo of the earnings scout, an independent research firm. Good to see you. Do you think well see this kind of revenue recession . Well we had revenues declining in the First Quarter. All we would need is theoretically another quarter of that and as he just presented, the expected Revenue Growth is expected to be down 4 in the Second Quarter. We expect that to be very close. Were forecasting flat growth in the Second Quarter. It will be real close to see if we have two quarters in a row of back to back year declines and revenue. If we do that would be the case. What does that say about the overall economy . If the companies are not able to generate sales . It is still, you know, the economy has been recovering. It has been a gradual but frig i will recovery and all it takes is a couple events here or there or outside the world to really derail the recovery. What were seeing from the sales, one other thing that bob presented, the dollar is definitely impacting dollars and sales. The one thing hitting sales, were seeing a lot of Companies Buy back shares and it is boosting the earnings per share. A lot of people would say thats been financially engineering the earnings per share beat. When Companies Buy back shares that could have been money well spent. For other companies. Thats why were seeing it on the top lines and why market bearers say this isnt a sustainable trend. At some point well see the top lines come back. We had protest the miss yellen on capitol hill today. What does this tell but the fed and the overarching economy . From the standpoint of what the fed will do we believe they want to raise and normalize Interest Rates at some point this year. The data itself, the First Quarter data definitely deteriorated them mentioned temporary factors that impacted that. When you look at i, we thought there would have been a fed rate hike. Theyve been lower for longer. Without a doubt, the data and the growth has reset to lower numbers and that has caused the fed to pause a little bit. Although she was pretty strident on capitol hill saying she thought the economy could take a rate increase. A quarter basis here or there, absolutely. We want to see it come back. That will be real Business Activity as opposed to financial engineering. If we see the top lines come back where more companies are on sales and we accelerate again, that will be a reason for the fed to raise rates. It means Business Activity is improving. Very quickly, which stock sectors will be the winners and the losers . What were looking at here. We think some of Consumer Staples will benefit here. Some of the more defensive plays. The dollar was strengthening in the First Quarter. Reverse course here. That should be less of a head wind for them. When were where were seeing the worst revisions, some very bad revisions in technology and were concerned. All right. Thank you very much for joining us. With the earnings scout. On wall street, stocks traded in a pretty tight range, dipping after Federal Reserve chair janet yellen said the central bank remains on track to raise Interest Rates sometime this year. The major indices had climbed back. The Dow Jones Industrial average closed at 1850. The nasdaq was off by nearly 6 points and the s p 500 fell by 1 point. For more on those clashes in greece. Antiausterity protesters were throwing fire bombs and rocks at police in front of parliament where lawmakers debated tough economic american purchases must be improved. Michelle Caruso Cabrera reports from athens. Reporter there were clashes in the streets of athens. Molotov cocktail being thrown by protesters leading to dozens of explosions and fires in front of parliament. The protests inside parliament. Members of the government were debating a controversial set of austerity american purchases would raise taxes, austerity measures. It will force changes in the Greek Economy and attack a lot of vested interests and different political clashes. We are still waiting for that vote to occur. The political analysts say there is little doubt the bill will pass. What does remain doubtful do the greeks have the ability to actually implement what theyve promised to do . In athens michelle Caruso Cabrera. Chinas economy, the worlds second largest, grew 7 which was more than second. That countrys government has stepped up support for the economy and follows four cuts in bench mark Interest Rates since november. Other data released overnipt show june beat expectations. Despite these better than expected reports, chinese stocks fell about 3 extenting the recent bout of volatility. President obama defended the nuclear deal with iran saying the historic agreement will avert a war with that country and a Nuclear Arm Race in the middle east. With this deal we cut off every single one of irans pathways to a Nuclear Program. A Nuclear Weapons program. And Irans Nuclear program will be under severe limits for many years. Without a deal host the pathways remain open. There would be no limits to randles Nuclear Program and iran could move closer to a nuclear bomb. That deal is expected to lift western sanctions against iran and today Oil Prices Fell about 3 on concerns that potential increase and exports from that country will add to supply. Inflation pressures may be building in the economy. The Producer Price index, a measure of the prices charged to other firms rose 4 in june after jumping half a percent in may. Much of that was due to the climb in fuel costs. Excluding energy and food they saw the biggest jump since november. The survey conducted by the 12 regional banks shows the u. S. Economy continual its expansion through the middle of the year. Auto sales and lending picked up across the country but wage pressures remain pretty model. And as we mentioned earlier, the head of the Federal Reserve testified on capitol hill. Janet yellen said the economy is improving and they expect growth to strengthen. But some lawmakers took that opportunity to turn up the heat. The Federal Reserve chair janet yellen said they are on track to raise Interest Rates this year after more than six years at near zero. If the economy evolves as we expect Economic Conditions likely would make it appropriate at some point this year to raise the federal funds rate. But she said labor markets are not at maximum ask the inflation is above the 2 target. And the central bank is closely watching the volatile financial conditions inside china. Were we to judge that these did create substantial risks or changing the outlook in a notable way then a change in the outlook is something that would affect monetary policy. But Interest Rate timing took a back seat to House Republican concerns for more oversight and accountability over the central bank. There were calls for a more trans parent instructor Interest Rate policy and several lawmakers over the use of the turnover material regarding the investigation of a 2012 leak of market Sensitive Information to a private news letter. Wisconsin representative shawn duffy pulled no punches in his clash with the fed chair. If anyone is trying to sweep this under the rug, it is the fed. Is it fair to say you wont give me Legal Authority . Weve said we plan to give them to you. As soon as were able to do so and not compromise an open criminal investigation. Compromising we want to see this investigation succeed. Do you. Lets talk about that. The fed chair could face more of the same tomorrow in front of the Senate Banking committee. It has already moved legislation calling for a complete overall of the fed. Still ahead, the one type of kimes that some investors dont want to buy into. The house of representatives easily passed a fivemonth extension of the highway trust fund. That bill would authorize federal spending on highway and rail projects through mid december. And add more than 8 billion to the dwindling fund. The senate bill chill under negotiation could extend the program for two years. Several stocks rose today after activist investors spoke about them at cnbcs delivery alpha conference. Star boards Jeffrey Smith said shares of macys are worth nearly double their current value. And opportunities in ethan allen and shares rose after. And it was a whos who of investing and finance. Thanks very much. Today at the fifth annualal if conference in new york city a joint vent you are of cnbc some of the brightest minds from the world of hedge funds and Pension Funds came together to share their top insights and ideas. Maybe no one was listened to more closely on this day that janet yellen testified on capitol hill. Than jeffrey, the man said are calling the new bond king. He made the case among other things that Interest Rates wont go up this year in part because he thinks the feds view of the economy has been too rosie. Every year the same thing. The triumph of hope over experience. Just like a second marriage. They basically say, were hoping for high growth. They have to revise it down. Now the most recent for 2015 it is lower than the forecast ever was and what the actual was for 2013 and 2014. I just think the setup isnt going to really play out for a rate hike. He also argued contrary to what the fed chairman yellen has been able if and when rates do go up they will start to move up very gradually but then that rate hikes may quicken. He was joined on stage by another activist investor. They had plenty to say. One of the most interesting points they made, why activists like them dont like to invest in tech companies. Take listen. The problem with technology most are too dynamic. You wake up and there are a couple guys in a garage. A block from stanford university. Theyre starting a new business that is disruptive. If you look at the businesses that i think both of us like, we like businesses that can withstand the test of Time Technology im not i try on stay away from things an and trinsic value i cant control. We like businesses that speak to it as well. They kind of have moats around them. All in all a fascinating day at delivering alpha. Back to you. Thanks. Tomorrow well bring you the interview with the chief Investment Officer of the Worlds Largest Educator Fund which oversees 190 million. Legal costs drop helping the firm post Quarterly Earnings that more than doubled. The bank saw consumer deposits and mortgages jump. Pnc financial also beating estimates on the top and bottom lines but earnings fell from last year as a key measure of the profitability continue to decline. Like other regional banks, it was hurt by low Interest Rates. Shares rose just a fraction to 98. 32. Strong quarterlies, the profit and revenue benefited from higher based fees. The firm posted outthrows for the first time in three years. Nonetheless, they were higher to 32649. And lower fuel prices continue to help delta. The air profit jumped 85 . But it forecast the Third Quarter drop in unit revenue as the carrier continual to see weaker revenue abroad. Still, shares rosa fraction to 43. 99. All right. Black friday in july . Thats what some retailers want today to be. It was started by a big promotion by amazon. All of this disdowning could turn into a big financial headache for retailers. Leave it to amazon to stir up the holiday and the community. They are celebrating the 20th birth guy prime day. A shopping event for prime members to get more deals than on black friday. Walmart responded, offering thousands of products for 90 days or while supplies last. Adding shoppers dont have to pay 100 to get great deals. Thats a dig at amazons 99 for the annual fee. But amazon and walmart were not the first to drum of black friday events. Target has been doing it for the past six years. Best buy also holds sales in july. Even though some shoppers expressed frustration with the type. Save on thousands of items. By around 2 00 p. M. Order rates surpassed 2014 black friday though it declined to give actual number. They think this is a winning day. I think theyre going to make a new group familiar with their offerings. Certainly they got vendor paigs to help with the best price offerings. It is a good day for amazon because it never cared about making a profit. So a sale that compresses profit is a big deal. For other retailers, the constant one upping each other may increase excite sxmt revenue but ultimately it is a race to the bottom. In many ways amazon changed the retail landscape. From the Price Transparency to the expectation of low cost and fast shipping. As retailers pull out all the stops to compete, many retail experts fear it is a dangerous pattern. Retailers trained consumers to only buy when merchandise is heavily discounted. When it generates the lowest profit margins. Who wins . That depends how winning is defined. With all the competing sales, it is ultimately a good day for consumers. For ghtly Business Report. Im courtney reagan. Coming up ripple effects. The final part of our series millennials and money, is next. Heres a look at what to watch for tomorrow. Janet yellen the fed chief, will continue to deliver her semiannual testimony on capitol hill. A check on the labor market with weekly jobless claims. And a philadelphia Federal Reserve is out with its Business Outlook survey. Thats what to watch for for thursday. Federal officials announcing today International Takedown of the malware online marketplace called dart code. That site has been dismantled and dozen of the members have been arrested. The forum has been a place to purchase and trade hacking tools since at least the year 2008. If you navigate to the site now, it shows logos of various Law Enforcement agencies and a notice saying that that domain has been seized by the fbi. And finally, with the millennial generation saddled with debt how do they secure their financial future . What are the broader implications for the u. S. Economy . Sharon has the final part of our millennials and money series. Many Young Americans like these are working hard to achieve financial security. We both have that instilled in us to do what we can to make ends meet. Im always trying to find ways to make extra money. Final ways just to save. But saving for ones financial future can feel more like a dream than a real. Under the weight of day to day expenses and growing debt. 2,300 is what i owe. I owe 26,000. Student loan debt is not only a growing problem among millennials but steadily increasing for borrowers of all ages. The number are staggering and can have serious repercussions for the entire u. S. Economy. 1. 2 trill in outstanding loans taken out by more than 40 Million Consumers who have an average debt load of 29,000. Student loan debt is a particularly devastating dilemma for millennials. It is preventing them from making long material investments and homes. Starting families settling down. Like many they are moving into their prime spending years. Millennials are generally between 18 and 34 years old and theyre now the biggest age group in the u. S. Work force. That means this generation will be a key driver for the future growth of the u. S. Economy. Millennials have about 600 billion in annual purchasing power today. That number is expected to increase to 1. 4 trill in purchasing power annually for the trend rags. For many it is cutting into their spending and investing. For those under 35 homeownership has fallen in the last decade. Down from 23 in 2005 to nearly 35 today. The birth rate for women 20 and 25 years old has been declining and is now at a record low. But Student Loan Debt to get the degrees is not the biggest problem. Loan defaults which average about 14,000 per borrower last year can have an even greater impact. It can be very harmful toward the economy. Were looking at investments that are typically made around this time that are not being made. But they say they have their debt load under control. We have both been on the same page of wanting to pay off the bills. I think were both moving in the right direction and were working toward being financially secure. For nightly Business Report. Im sharon. To read more about millennials and their long term financial habits head to our website. Nbr. Com. That will do it for nightly Business Report tonight. Im sue herera. Well see you here tomorrow. Tonight, quest explores two very different types of earthquakes. First, the magnitude nine quake that devastated japan in march 2011 was a kind of earthquake called a megathrust quake. And one just like it could strike the west coast of the u. S. Any day. Its not a point source, its a thousand kilometer long polygon so all of oregon, all of washington, northern california, will all be severely impacted. And, if you thought earthquakes were only random natural events, think again. It allows us to really say all right, human activity is causing the earthquakes

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