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 tax