Week. This as investors grew concerned about the strength of the Global Economy. In a major report, the bank of england warned the risks associated with last months vote by the uk to leave startin crystallize. In response, the british central st three quarters of uk banks account i accounti greater flexibility to supply credit to uk households and firms. Uncertainty over policy both here and abroao pressured crudet the yield on a tenyear treasury to a record low. The Dow Jones Industrial lost to 17,840. Nasdaq off 39, s p 500 was down 14. Brexit not just t vote. The impact could spread to other weaker parts of europe, like italy and potentially cause more serious problems. Michelle carusocabrera explains. More than a a week after the vote in the yoon union, there is one clear victim. The italsector. Italian banks have fallen more than 30 and year to date, down 50 . The italian Banking System has long been troubled and they need more capital. The world was reminded of this yesterday when the worlds oldest bank informed the market that the ecb was demanding they do more clean up their ambulance sheets, so their stocks and bonds have fallen further. Italian banks have an estimated 360 billion euros of nonper foming loans. No one disputes the banks need the capital. What there is a dispute about is how the banks n Prime Minister d however, new rules that went into effect on january 1st prohibit a government from using taxpayer money to bail out a bank unless they first punish the shareholders and bondholders and in italy, just so happens a lot of retailer enver to hold bos that d potentially get wiped out or suffer severe losses in the event of a bailout. Prime minister ramsey wants an exception and he says brexit justifies that. So far, the germanses and other members disagree, however, there are growing concerns that if investors believe theyve lost money, it could lead to even more demands if a break from r night Business Report, Michelle Carusocabrera. The stock market has indeed been volatile since the uk vote and thats making one thing clear. The fallout and stocks in the u. S. Took a breather today after four Straight Days of gains and that was all on the heels of that vote by the united k union, tha socalled brexit vote and it could be a big part of the markets story for months and possibly years to come. Talking about a potential recessi item for the uk and in longer term of course, the possible other dominos to fall, what are they calling it, italy and so, its the canary in the coal mine here. Many investors used the recent sell ofdiscount and as a result, the ten Industry Sectors within the s p 500 are positive since the lows on june 27th. While health care and industrial stocks have posted some of the biggest ga y stocks have posted some of the smallest ones. A number of big name stocks have not participated in the rally. Amon them, familiar names like zions bank core, also deer and company. Chain Restaurant Owner darden and oil and gas company, southwestern energexperts believe that the u. S. Still represents one of the most attractive places to invest in the world. To the extent europe dissolves economically, it will have a much stronger and hand u. S. Stock and bond prices and currency should farewell, so lot of potential opportunity, but at this point without some of the geo political uncertainties resolved, its a. As for what to expect the second half of the year, a lot will depend on the Global Economy. If we dont see real growth hold up and companies around the globes ear me, thats higher. Lute key thats goin if earning stays flat, the market will stay in a band theyve been trading in for the last couple of years. Now, add to that potential the world and our own president ial election uncertainty and you have the makings of what could be a rocky ride for the rest of the year. Im dominic chu. So, with concerns about the global econo the jobs report and earnings season that kicks off in earnest next week be the catalyst that might help lift stock prices . John is chief economic strategist at ltl financial and he yoins us now. Good to have you with us. That talk about and maybe Michelle Carusocabrera was just talking about, the italian banks. Do ameris need to i t we do. What happens to it would be similar to what happened a year ago with the greek Banking System. D consumers, so yeah, i think it is worth watching. I think the Silver Lining oaf the last s Central Banks and i the wak of the now better how brexit vote, central bankers have largely done and said the they t initially. P cal how worried are you about britain specifically. Yes, the central bank made moves today to try and loosen up lending and free up more capital, but a lot of people think its going the take a while for that to actually yeah, i think its going to uk. The pound is is down. To 30year lows. Going to make it difficult to do business. It will cushion the blow right away. It will make their exports a little bit cheaper to overseas markets, but i think the uk is at least going to skirt a recession over the second l fall to a recession early next year. The impact of that though on u. S. Companies is probably pretty muted. Only about 5 of u. S. Company earnings are derived from the uk. Britains biggest export is adele, i think. Lets move on to the u. S. And what you see in u. S. Profits. One of the prior guests in doms piece said if profits dont start to click upward, were going to be calm for a long time in the markets. How do you see u. S. Profits. Were just about to hea into actually a bright spot. Weve had this brexit vo of weeks ago. Now, were going to hear from these big National Corporations doing business in europe and were going to hear directly from them how this might impact their second half of 2016 and maybe even 2017 as well. And i think when all is said and think earnings are going to be down about 4 , year over year. We have some lingering impact of the st weaker oil prices, but i think the guidance for the second half of the year is going to be far more important than what Companies Tell Us about the second half or the Second Quarter. Remember, the Second Quarter is pre brexit. The second half is is post brexit. What the market wants to kn know now is whats going to happen. Thanks very much. Those concerns that britains exit from the eu could slow the Global Economy weighed if the Global Economy slows, demand wont grow enough to supply the glut. Crude slid nearly 5 today to 46. 60. Separate report estimates the l than any other country in the world. According to rye stad energy, more than half oof americas untapped oil is unconventional shale. Orders at u. S. Factories drop num dragged down by less demand for steel, furniture and military aircraft. The lackluster performance of the Manufacturing Sector has blamed on weak growth around the globe. The presiden fed say the ou u. S. Monetary policy is uncertain now. That the tral owing the b bank will watch the data before policy. Whats until recently, the fed was expected to raise restraints over the summer. One of the most important fillers of the u. S. Economy is the consumer and even before last months vote to leave the unios about whether u. S. Shopper are on solid or shaky ground. The american consum from a broad view, consumer furns look bright. Unempl low. Job openings at a record high. The housing mao rebound. Trz whats more, the average household has borrowing under control. The percentage of income needs to serve debt has been lower. Thanks to low Interest Rates and small stocks that are closely linked to Consumer Spending and lending have been weak in recent months. A hint that the markets are concerned conditions might worsen from here. Whether retailers, car maker, airlines or credit card stocks, the shares that should be helped by flushed consumer are having a tough year might be because credit card and auto delean winsies with turned higher. Worst. Edit cy this might represent an excess of worry by investors who were burned ahead of the last credit crunch. Even after last months employment report which shoed yus 38,000 new jobs added in may, the backdrop for the typical worker seems behein. Bottom line, consumers seem to a Contentious Campaign season underway, its unclear whether theyll choose to open their wallets. In washington, the focus was on emails. Specifically, those of Hillary Clinton wh. Despite a blistering review of clintons actions, the fbi said it will not recommend criminal charges be brought against the presumptive nominee. Although we did not find clear evidence that secretary clinton or her colleagues intended to violate laws govern ing the handling of classified they were extremely careless in their handl of very sensitive, highly classified information. In this case, given the importance of the matter i think usual transparency is in order. Although there is eviden of violations of the statutes regarding the handling of classified information, our judgment is that no reasonable prosecutor would bring such a case. Us from our nations capitol. Was his Statement Today a surprise or not . Well, a couple of surprises, first of all, the fact it took place. We know that Hillary Clinton was interviewed over the weekend. Didnt know how quickly the director would come out and issue his conclusions. It was not a surprise. That he did not recommend criminal charges to the Justice Department. But it was a surprise just how blistering that review was. That you played that sound bite of. Saying that the Hillary Clinton and her aides were extremely careless. That even if the material was not marked classified, they should have known it was classified. Very strong criticism of the secretary. The Campaign Later today after a the statement said we are pleased to put this matter behind us. Is it . No. As a legal matter, once we hear from the Justice Department and loretta lynch, the attorney general, has said she will follow the recommendations of care care officials and james comey meets that test, legally, it will be behind her, however, politically, those words are going to be heard throughout the Fall Campaign and of course, dona was out on twitter very quickly saying its evidence o. For the president today, it was his campaign. If only we could have been with Hillary Clinton and bara a announcement, but yes, it was awkward that the president s fbi director criticized his former. However, president obama did not betray any of that awkwardness on the stage today. He was extremely enthusiastic about going after donald trump, about defending Hillary Clinton. He gave every sign that he is going to throw himse to make sure that hes succeeded by a democratic president. W tha donald trump has been having of meetings with potential Vice President s. The nart from iowa, mike pence, the governor from indiana. Hes going to be campaigning tomorrow with newt gingrich, the former house speaker. Chris christie has been close to donald trump since he got out of the race in 2016 himself. All of those are potential choices. We believe that donald trump will make that announcement next week in advance of his convention. We could also get Hillary Clintons announcement as well next week because when youve got the Republican Convention immediately followed by the democratic convention, theres not going to be a clear space in the media for Hillary Clinton to select her running mate. Get your rest, on. Youre going to be a busy guy. Still ahead, cash is king, but not in the fast growing marijuana indust. Shares of tesla came under pressure today. The tok closed down more than 1 on this down day. But that was way off the lows of day and this is the second time this fallen short of delivery expectations. As phil lebeau reports, they say they are still full year target. Teslas jump from building one car on an assembly lin cracking out two vehicles, including an suv packed with complex features, taking longer to ramp up than many people were expecting. Tesla delivered 14,370 vehicles in the Second Quarter, well below analysts expectations. About a third of the vehicles sold t the new model x suv with doors that have slowed down th plan to speed up the Assembly Line to overreach ong the complex design of the y poi out it still ar pechts to deliver at least 80,000 vehicles this year. A target that will require the company to dramatically increase production from now until december. If tha musk will say it shows his company is ready to push new model three 3 is at a the heart of tesla. Building a half million vehicles annually by 2018. A target tesla is sticking by even as it struggles to meet near term sales estimates. Phil lebeau, chicago. A Delta Airlines cut its y revenue figure today and thats where we be. The company cited higher fuel costs and a decline in passenger revenue as weaked outlook. Apple shares fell after citigroup trimmed its estimates. The bank cited urn certain stemming from britains vote to leave theu. It also cited currency cycles. Ty and shares of apple fell to 95. 05. Blackberry will stop producing its classic smart phone. One of its last models that has a physical keyboard. An xaektive cited the need to keep innovating. Voft ware updates for existing users will be rolled out into next years. Shares of the company fell down today by more than 3 to 6. 53. Bristol myers squib brought a sweis swedish firm. This is bristols latest deal involving drugs that use the of the drug company rose fraction alley on the day to 73. 80. Comcast and netflix have reached a deal that will put netflixs content on Comcast Cable top set boxes. Say that ten times fast. They have well over 20 million subscribers across the country and approximaty 35 of those customers have the souped up box. Shares of the Cable Company fell slightly to 65. 01, shares of netflix up at 97. 91. Comcast is the Parent Company of cnbc. Which produces the racetrack owner International Speedway saw profits fall in the Second Quarter. Despite a rise in revenue, the Company WhoseProperties Include daytona International Speedway in florida also lowered profit and revenue forecasts for all of slipped to 32. 24. The maker of twinkies is preparing to its stuff publie oa deal the return to the paubl market. The enterprise value will top 2 billion. It comes about four years after hostess filed for bankruptcy protection. Marijuana may be league in a growing number oe weed trade is anything but simple. One big problem, federal banking laws make marijuana merchants ver chill l untouchable. Every month, don morris, owner of the human collective Marijuana Dispensary loads about 15,000 into a bag and makes the 45 minute drive down to the Oregon Department ofsn cash. He would rather send a check. Its easier and safe for him and his employees, but even though Recreational Marijuana is legal to get back rijuana busin success to the Banking System because banks are weary. People come in, we cant take credit cards. We have an atm here. People can get cash for thei we take the money in. Zwl. That gap in r created an opportunity for third paeshl entrepreneurs who are creating. In las vegas, phil vane designed t in secure cash at the point of sale. Hes applying Lessons Learned from the Gaming Business and how to keep organized crime out and help newly legal businesses comply with the law. D crime in these businesses . By adding solid compliance. No credit about it. The biggest cue c last week as microsoft became the first Large Company to dip its to b partne to sell government Compliant Software with kind financial. Marijuana, the cannabis industry, any way yo to at it, its the fastest his ng industry in america. Colleagues continue to push ledge is lss to th banking syst but thats likely going to have to wait for more action out of washington, d. C. Im amd javers in portland, oregon. Coming up, can californias farmers feed the growing te mand for what some call the p the economy is front and center among the topics to watch tomorrow. The Federal Reserve releases the minutes from its june meeting with the committee leaves rate. And new reports will come out on trade and the services sector. Thats what to watch wednesday. America is in th quinoa craze. As it turns out, it has the potential to be californias next cash crop. Jane wells has more from elk,. This variety is called cherry vanilla. Youre look i its a super super food. Its quinoa, a gluten freh c amounts of protein and essential amino acids. Cakes, entrees, snacks. Bryce lundberg is best known for growing organic rice for chains like whole foodg wg grow quinoa a few years ago because americans are consuming tens of millions of pounds of the grain annually. Up until now, it has almost been grow were getting yields about 2,000 pounds per acre and most of the literat am about 11,000 pounds per acre. Theyve discovered it doesnt need a lot of water. Good news for california and doesnt need to grow at high altitudes. A lotof people come t so feet and here we are at the edge of the pacific ocean, right in its, what are we maybe at 50 feet and its growing beautifully this year, the farm will produce is. 5 Million Pounds of american grown organic quinoa with a wholesale value passing 3 million. Its a small start, but maybe be seed something big. We thought it was quinoa. No. To read more about californias latest cash crop, head to our website, nbr. Com. Heres another look at how the markets started this holiday short of the week. The dow off. Nasdaq down 39. S p 50 thats it for nightly Business Report tonight. Thanks for joining us. Quinoa. Have a great evening, everybod her name was sarah freeman, she worked with us for a couple of months. Can you remember her address . 35 jellicoe road. Please dont tell my wife. Im sorry, my lord, but i lied, it wasnt donald. The man who attacked me was white. Jack, please i dont want to go please, dont let them take me, jack please, please, jack, please male 1 i said stop lets go screaming female 1 call for an ambulance female 2 i need something, anything, a handkerchief to stop the blood somber music bluesy theme music bells chiming newspaper boy latest news, latest news