Consumers arent spending as much as expected. Retail sales for june fell a seasonally adjusted 0. 3 , well below expectations of a rise. Because it makes up a good chunk of Economic Activity if that piece of the economic puzzle is missing, some say it throws into question the potential rate hike by the federal reserve. And the batch of bad news comes just one day before fed chair janet yellen is set to appear before congress. Courtney reagan reports. According to the latest government data, consumers arent spending enough to prop up Economic Growth. June retail sales posted the weakest reading in four months. And thats not all the bad news. May retail sales were revised lower than previously reported. With Consumer Spending fuelling 70 of the countrys Economic GrowthMonthly Retail sales are a key data point for those trying to forecast the federal reserves decisions on Interest Rates. And fed chair janet yellen addresses congress in the twoday testimony beginning tomorrow. Just look at the retail Sales Numbers, look around the world. And tell me that you feel fully confident that we have turned the corner and we ought to raise rates. I dont think its there. Reporter its hard to find bright spots in the data. Spending at service stations was up, but just slightly, reflecting the rise in gas prices. The electronics and appliances category saw it go up 1 as they diverted towards gadgets and investing in their homes rather than on apparel and accessories. The rest of the results are so so. Showing consumers are continually to allocate their hard earned cash. I have cut back mostly on nonessentials. Like clothing, bicycles, things like that. Travel you know shopping but still were still spending only necessary on like food. Reporter in economists think the cautious consumer is here to stay. Consumers are not going to go back to the old days. And whats embodied in the feds forecast is things are about to get back to normal. That now that house prices are going back up the stock market is high, were going to have a wealth effect Consumer Spending will go back to the go go days i dont think they ever are. I think were in this perennial waiting for good dough that the consumer is going to come back and start leading us back to some vshaped recovery. Thats the part thats wrong. Reporter after todays retail sales, the gdp forecast was taken down for the Second Quarter which may not be a good sign for retailers going into the all important second half of the year which boasts back to school and holiday seasons ahead. For nightly Business Report im courtney reagan. Michael feroli was one of the economists who took down his gdp estimates for the Second Quarter today. Hes the chief economist at jpmorgan jpmorgan. Michael, good evening, welcome. How much did you lower your gdp forecast for the full year based in part on these retail Sales Numbers today . Not a whole lot. We took down our tracking of Second Quarter gdp from 2. 5 to 2. 3 . As whole it didnt affect things so look as you said earlier theres not a whole lot good you can see in the number. Hard to sugarcoat it, but it is one month of a very volatile series. I think we have to take it in context and look at things on a quarterly basis. When you look at it that way Consumer Spending certainly did pick up in the Second Quarter relative to the First Quarter it didnt pick up perhaps as briskly as we thought prior to this morning but theres an improvement. So things by no means are rocketing forward, but at the same time, we think Consumer SpendingSecond Quarter grew Something Like 2. 6 annual rate which in the context of the last few years is pretty good. What was worrisome to me, the downward revisions to previous months. So yes, this was not a good report. But now we have downward revisions to previous months which seem to weaken the overall trend of retail sales. Right. Thats exactly right. That was actually probably the bigger impact in terms of our downward revision. So june being a last month of the quarter didnt have a big impact, but certainly the downward revisions did affect things. You know, as we look at the monthly pattern this year, what you saw was consumers really pulled back in february when the weather was terrible. Bounced back really strongly in march. And then since then have been kind of going back and forth at a kind of so so pace. You know, michael, i assume you heard Austan Goolsbee say that boy, i dont see a world out there in terms of retail sales or other measures that indicate that the economy has turned a corner and its time to raise Interest Rates. I wonder if you do or what if anything todays number does for your view of when or whether the fed will raise rates in september say . Right. So we continue to look for september and with a decent risk of december. Does this report change that that much, i dont think so. We have a lot of data between now and september and most importantly two jobs reports and a couple inflation reports. If those jobs numbers keep coming in as strong as they have, i think that would swamp what one months retail sales would apply for the fed. I think you have to look at this in a prodder context. Youd be comfortable with an Interest Rate rise in september or december unlike mr. Goolsbee. Thank you very much. Michael feroli, thanks very much. Stocks notched their fourth day of gains as investors looked away from Global Developments back to earnings. More on that in a moment. The Dow Jones Industrial average rose 75 points to 18503. And the as in nasdaq gaped 33. After months of talks iran and six global powers reached a nuclear deal. The agreement designed to rein in Irans Nuclear ambitions while allowing that country to continue its program for peaceful purposes. All in in exchange for relief from western sanctions. Congress now has 60 days to review the agreement. Approval there is anything but assured, but the president has vowed to veto any resolution that disapproves the pact. As for oil prices they dropped early in the session only to reverse course once its became apparent that Iranian Oil Exports will not lit the market by any time soon. And it rose to about 53 a barrel. Jackie deangelis looks at the implications for crude. Reporter some are calling it the deal of the decade. And it has significant meaning on a global deal. This demonstrations that diplomacy can bring about real and meaningful change. Change that makes or country and the world safer and more secure. Reporter but it also could have a Significant Impact on the oil market. Analysts estimate that iran has up to 20 to 40 Million Barrels in storage which could come to market by the end of the year if sanctions are lifted. It could also mean more production in the country. A small increase that could add to the more than 2. 5 Million Barrels iran now produces. It doesnt sound like a lot but in an already oversupplied market where the u. S. And saudi arabia are producing at record levels, it could add more pressure to oil prices. Well unless theres an increase in demand coming from china or from some other developing nation, youre going to see Oil Prices Lower because the world supply or the world market cant handle this additional oil. Reporter there is an approval process for the deal, however. Congress has 60 days to come to a decision. Even if Congress Rejects the deal however, the president does have veto power. Oil prices were slightly higher on the day but this is after oil has fallen more than 12 in the last month alone. It does raise the question however if demand doesnt rise, can all the producers continue to keep pumping . Well while the leaders of both the u. S. And iran were taking victory laps the real winners of the nuclear deal could be in corporate america. Morgan brennan runs through the list of which corporations stand to benefit. Reporter its far from a done deal. The Iran Nuclear Agreement is still months and several key hurdles away from sanctions being lifted. But a wide array of businesses could ultimately benefit. Starting with energy companies. Iran has nearly 10 of global oil reer ises and 18 of natural gas. Bp exxon mobil have explored the possibility of doing business in the country. Still, some ceos say it will take some time for risks to subside. The long term that could be a Good Opportunity for us. But i think in the meantime wed like to find places that offer a little bit better stability. Reporter even so more investment in irans production would also boost Oil Field Services companies. Names like halliburton, weatherford and schlumberger which isnt commenting. It brings the tanker market into focus. Citity Group Analyst chris weather bee it could be a net positive for large fleets, since many of the ships are older. Those stocks include tk tankers and scorpio tankers. French Companies Like peugeot will reenter iran as well. The automaker is reportedly in advanced talks over an iranian car making venture. Iran has the same size population as germany. Almost 80 million people. That could present opportunities for a number of consumer companies. Iran and iranians in general love technology. So apple is going to have a lot of opportunities in iran and boeing. Irans passenger jets are very old. They need to be updated. And so u. S. Companies have an opportunity to sell passenger jets to iran in the future. Leisure and Hospitality Companies could be the first to enter iran. Still, much needs to happen before sanctions actually get lifted so its hard to predict when and if this market will be fully open. For nightly Business Report, im morgan brennan. To Johnson Johnson it raised its stock. And it reported better than expected earnings but revenue did drop sharply in the Second Quarter amid disappointing sales amid softer demand to the hepatitis c drug. It finished lower by one half of a percent. The Bank Reported improved profits but declining revenue which it attributed to the Investment Banking business but lower expenses helped the bottom line so by the end of all of that jpmorgan shares rose more than 1 in trading today. With the major indexes not far really very close to their alltime highs whats keeping the market afloat . Yesterday, we told you that half the stocks in the large cap russell 1,000 are down by 10 or more from the recent high correction territory. Now we look at the record levels and why these companies matter so much to the market. Reporter despite all of the negative headlines both here and abroad the u. S. Stock market continues to be one of the most attractive places to invest. And while pessimists are reporting to the large number of stocks in the down trends its a stones throw away from record highs. Thats because a handful of stocks are pulling more weight to the upside and having much more of as potive im a positive impact on the stock market. With the russell 1,000 index that are 300 stocks at or within 5 of the highest levels over the past 12 months. 20 of those stocks have market values of at least 100 billion. These biggest of the big cap stocks have much more influence on the overall market given their size. And they have been attractive places for many investors. One of the things that you, you know, most of the market thinks about is all of the macro events, whether its greece or china. What it gets you is really the opportunity to have a little bit more diversification. Youll recognize a lot of names on the list like media and entertainment giant disney. Its 25 gain makes it worth 200 billion. Or drug maker pfizer which is up 12 this year and is worth 214 billion. Or even facebook which has gained 15 this year, making it worth a whopping 252 billion, but not all mega cap stocks have participated and experts say you have to be choosy about where to invest. The best opportunities are in large cap stocks that are just defensively oriented, that are generating their business domestically. When you look at the health care sector, thats very attractive. Especially hospitals in particular. Reporter these very large and very valuable companies have done a lot to help the broader markets hold on to gains. But they arent immune to downside risk. Changes in Investor Sentiment because of things like greece china or the help of corporate earnings could all have an effect. For nightly Business Report im dominic chu. Still ahead, a Chinese Company is reportedly ready to make a massive bid for u. S. Memory chipmaker micron. What will the regulators do . The white house has lowered its budget deficit forecast, the new estimate falls to 455 billion by the end of the fiscal year. That is the lowest of Barack Obamas presidency. The administration predicts 2 Economic Growth for the current year rising to nearly 3 next year and says the Unemployment Rate should fall to 5. 1 . Shares of twitter spiked about 8 but quickly pulled back. And the reason has become all too familiar. A fake story about a potential bid for the company appeared on a website that was made to look like bloombergs website. Take a look at this. This is the fake website on which the story about a 31 billion bid for twitter appeared and it does look similar to bloombergs layout. The stock spiked a little after 11 30 a. M. And then fell back. Its just the latest market hoax designed to move the price of a stock. Intel down graded to sell by a wall street firm one day before it reports earnings. Bernstein now rates the dow component an underweight because of weakness in the data center business. The analysts there says softness in that business could be potentially more damaging than weakness in its pc business. The sell rating less common on wall street. Shares of the Semiconductor Company closed a few cents lower today. Rival Semiconductor Firm micron is reportedly the target of a 23 billion bid by a Chinese State owned company. Such a deal would be the largest takeover of an American Company by a chinese one. Micron closed up 11 but it comes at a time of increasing consolidation in the industry. If the offer is made official it could face a great wall of regulatory hurdles. Amin javers is following the story from washington. Good evening. How might the recent Cyber Security news and the report that china was allegedly behind the Big Government hack play into this . Well thats the context here for this. The u. S. chinese relations are not at a high point here in washington, d. C. And if this bid goes forward, it will face a very tough review from a group here in washington called the committee on Foreign Investment on the in the united states. The acronym is easy to pronounce committee. The folks i talked to say this is going to face a very tough review. Because chinese getting access to hightech of any kind is very sensitive for the committee and particularly sensitive when it deals with anything that could be used for military applications. Remember, there are Intelligence Community representatives on that committee so theyll look at this very very toughly. And the expectation here is that this is the kind of deal that might not meet with approval. I would guess theres a lot in political circles who would say if were going to let you come in and buy our companies then you china need to let us go in and invest in yours more freely, right . Right. Absolutely. And thats the kind of political gamesmanship you see at the very high level. Theyll focus on reevaluating this particular deal and this is a committee that has not let other deals in the past go forward. For example, in 2012 they blocked a wind farm deal which is low tech, but they were worried that the wind farms that the chinese wanted to buy were near a u. S. Navy installation that presented spying concerns so they blocked that deal. So if they blocked that one, this one would be a no go as well. Amin, thank you so much. Amin javers in washington. Csx pops on a profit brief. They announced earnings that beat forecasts as lower fuel costs off set a drop in coal volumes. That weighed on revenue. The chief Financial Officer said Lower Energy Costs arent beneficial to all of the firms businesses. We think that over time lower fuel prices should help the u. S. Economy, but also impacts the other markets like crude by rail for example where we are seeing some declines here as we look out to the rest of the year. Shares surged initially in after hours trading as you see right there. Before the close this stock was a fraction higher. It finished at 3207. Yum brands managed an earnings beat today, but revenue missed estimates. The parent of chains like kfc and pizza hut also set a key metric of performance in china, missed estimates. Its been a problem spot for yum. Shares surged before reversing course. Before the close, the stock rose about 1 to 9199. Wells fargos earnings matched estimates but higher rates crimped them. The chief Financial Officer explained how that hit results. Were the largest servicer of mortgages so people tend to come in and refinance when rates move down. Well get most of that business compared to most of the market. When that opportunity abates because rates back up a little bit and youre back in more of a purchase market, then the competition will be a it whattal bit more will be a little bit more widely reflective. Shares of wells fargo rose to 57. 25. Wpx energy will buy rki exploration and production for nearly 2. 5 billion. The acquisition will increase wpxs crude Oil Production and give the Company Access to the Permian Basin region. Shares popped almost 6. 5 to 1183. Celgene will buy receptos in a deal worth 7 billion. The acquisition will help expand celgenes inflammation and immunology portfolio. The receptos was halted for trading initially after the report but was up 5 in regular trading. Coming up the one thing that is holding millennials back when it comes to long term investing. The second pardt of our series millennials and money is next. Heres what to watch for tomorrow. Janet yellen heads to capitol hill where she will deliver her semiannual testimony on monetary policy. The Producer Price index is out. Also out Industrial Production data an important economic indicator. Thats what to watch for wednesday. Back in 2013 the guidelines of who should be prescribed statins was expanded vastly and according to a study out today, that is helping to save people money. The wider use of medications like lipitor and crestor will help to cut down tens of thousands of heart attacks and strokes and deaths from them. The study by two major cardiologist groups finds its well worth the expenditure. The u. S. Is facing a 1 trillion pension short fall. States are short nearly 1 trillion for the pension systems. Thats a more than 50 billion increase from the year before. The three states that have less than half of their pension programs funded are kentucky illinois and connecticut. Well perhaps more teenagers are working than at any time in the last six years and are more likely to work throughout the year not just in a summer job. Summer job gains are lower than they were a year ago, but employment consultant challenger Graham Christmas said thats teens ages 16 to 19 are getting more year round jobs. Millennials and their money, yesterday, we told you about that generations massive student debt load. Today, our series continues with a look at how they invest. Millennials have become savers and long term planners than other generations have but as Sarah Epperson tells us they have one weakness holding them back. Reporter 28yearold Colleen Mckenna is living her dream. I wanted to move to new york. It was a dream of mine. Reporter shes paid off her Student Loans and landed a new job at an Education Technology company. Like many millennials shes now focused on how she will achieve Financial Security years from now. Kind of typical of startups. We dont have a 401 k here so when i moved here thats when i met with a financial adviser. Reporter mckenna has saved over 26,000. A bigger nest egg than most. But she wasnt sure how to invest it. You have to be smart with your money. We know we have got the baby boomers theyre trying to retire and figure it out. If they had a lot of them the portfolios crashed, then maybe they lost half of their money in 2008. So we have gotten to witness that. Reporter Financial Advisers agree its important or the for this generation not to repeat their parents mistakes. Many are doing well financially, but not planning for long term growth. A recent survey by bank rate fond that millennials who are generally between 18 and 34 are lagging behind older adults in terms of owning stocks and real estate. The reason . Nine out of ten say theyre distrustful of the markets and theyre less confident about investing. When it comes to investing its not something theyre very familiar with so theyre shying away from doing that. But it really can cut down on the amount of wealth theyre able to accumulate over the course of their lifetime. Reporter rather than shy away mckenna hired a professional. Allocating the funds and given my age and when i want to retire. Reporter for millennials who may not have the money or be willing to spend it on a financial adviser, there are lower cost options. Look at a robo adviser, look at the online options. Theres so many different kinds of platforms you can do your own investments. We have everything at our fingertips. Reporter like many millennials mckenna knows that ultimately the responsibility for funding her financial future is in her own hands. For nightly Business Report, im sharon epperson. And what does retirement look like for the average millennial . The answer tomorrow in the final part of the series millennials and money. And thatll do it for nightly Business Report tonight. Im sue herera. Thanks so much for joining us. Im tyler mathisen. Have a great evening. See you back here tomorrow night. Tonight on revolutionaries. But ive always believed that those who feel comfortable at the intersection of the humanities and the sciences are, like steve jobs the people who are going to be the most creative. Walter isaacson is one of the countrys leading biographers. Fresh from his 2011 profile of steve jobs, walter has now tackled a new subject in computing the geeks, geniuses, and renegades who created the digital age. Tonight, Walter Isaacson and the innovators