Steady. Road map on a busy day for earnings including apple, coke and boeing. Apple surging in the premarket on the sfwheets more from the dnc. Less discord from inside the convention. President obama, joe biden and Vice President ial nominee tim kaine are on tap to speak today. Another tough quarter for twitter and jack dorsey, the stock plunging after results disappoint. What happens to the company next. But first up, apple shares are surging after the Company Reports a beat on the top and bottom line. Revenue did fall for the second straight quarter. Iphones saw the steepest sales decline year on year but that number was less than what the street was expecting. Analysts expecting an uptick in iphone sales when the new 7 is released later this year. Revenue guide not too bad. Jim, cost control, margin guide, okay. Yeah. I think there are probably people at home saying how could they have a huge decline and the stock run. The answer is in the number of iphones that they sold a lot of
Because as we go higher and higher, the dow closing at record highs again today. The risk grows, and you need to foe not just the rewards but possibly what could go wrong after this historic run. Dow putting on another up day. Let he give you three familiar examples, amazon, facebook and microsoft. To demonstrate this risk reward, aum three ha all three have that. And they offer a window on ways you can value the stocks. Well go from cheapest to most expensive, first we have the 44 billion that is microsoft. Much better than the previous of that disappointed so many investors. Microsoft is transforming itself from a Software Company to one of the Worlds Largest cloud providers. Now, if you look at it statically, growing at about 7 . Sales at 19 times earnings. Thats right. Even after todays epic 5. 3 move, its nowhere near the Balance Sheet that microsoft has with 100 billion in cash, unbelievable. They pay a 6 quarterly dividend. Thats better than the 2. 1 average yield you get from t
Week for the economy. The brexit vote, yellen on capitol hill coming up. Redstones made their big move last week, the latest on viacom and the nearterm future of a company that could come down to a Court Decision in delaware. And big weekend for disney. Some Box Office Records and game seven as you know for the ages. First up though stocks rallying around the globe on hopes for an antibrexit vote on thursday. A new poll by survation says 45 remain, 42 leave, but if you take all the polls together, still about a dead heat. Earlier this morning on squawk, black rock on the markets as we count down to thursdays vote. I think youll see more fiscal policy stimulus. If thats the case i do believe well see more inflags because we still have 4. 7 to 5 unemployment. Going to create more job demand and more wage inflation. If we have these infrastructures spent here in the uk, other places, i believe thats the beginning of another leg of a rally for equities. Definitely shows the hypersensitivit
Capitalal has changed its business and cites among other things ge capitals exit of the u. S. And consumer businesses and transformation of its funding model. You might recall during the financial crisis ges finance arm almost took the company down and since that time, it has certainly changed that this or i should say last year undertaking an aggressive plan to reduce ge capital selling over half of its assets and, indeed, since that time, it sold about 166 billion or signed 166 billion worth of deal. Now keep in mind, ge is one of four nonbank companies that have been given this systemically important financial rating. Others include aig, met life and prudential and met life is involvedn a legal battle with the fed having, of course, received a favorable ruling earlier this year by a judge who said tFederal Reserve or the government could not designate it as that. That means these companies are subject to Federal Reserve reover sight and enhanced capital rerooirmts. The fsoc voted to
It all, the dax, the ftse and frances cac, all up this morning as you can see britain not, perhaps, with the uk, at least for now the uk. Maybe not that much longer. The 10year, there it is, 1. 57. Only a few weeks ago we were below 1. 4. I know. We have moved up. Oil at 44. Didnt think we would take it at 45. Inventory at 10 30 today. Lets get to the rest of our road map this morning and it start with more fireworks from the Republican National convention as we kick off day three in cleveland and carl, of course, as we said is there live. Shares of Morgan Stanley up in the premarket on earnings. We will dig into the numbers. Also ill be speaking to Ceo James Gorman later in the show this morning. And roger aisles future at fox is in question. It appears he will be leaving the network he founded after the Sexual Harassment claims. Were going to give you the latest details and what does it mean for 21st century fox, the company. But first, lets get to carl in cleveland. Carl . Hey, good