Controlling shareholder Sumner Redstone kicked five of viacoms directors, including ceo fa lien de felipe delmon, off the board extending the incredible move over redstones iconic media empire. Shares rallied on the news climbing more than 6 . Viacom issued a statement pointing fingers at red stones daughter sherry saying, this is a brazen and demonstrably invalid attempt by ms. Redstone to gain control of viacom and its management. So how does this one play out . Tom megan, joins us now, welcome, nice to have you. I guess one of the questions is, who do you think actually made this move . Sumner redstone, ms. Redstone, or the board of national amu amuseme am when the story first came out it was billed as a National Amusement board move. Who do you think did it . Im not sure if it matters whether its sumner or daughter sherry at this point. I think that since they have this since they really control National Amusements and the they have 80 control of viacom, again, i think thats whats going to speak here. What does this do for the company . Does it basically release some value for the company . Or not . Well, you know, viacom trades at about eight times its e. P. S. Thats below 12, 13, 14 for other major media companies. Part of it is their performance over the past couple of years. But its also sentiment. The sentiment on the stock is terrible. So i think that what youve seen over the past month or so, what youre going to continue to see, is sentiment improving on the stock. What do you think h . I think the next event is probably the this new board trying to oust felipe delmon as ceo of the company. It would appear that they have been talking to other new potential ceos. Maybe theyre farther along than we had expected. The story when it came out today was that those directors were out, including delmon, and they were going to Delaware Court to have that declared legal. You think maybe theres a Second Chapter to that . Well, you know, the provision in the Delaware Court that is different from other courts, it allows the individuals here to seek validation from the court. So both the National Amusements side and the viacom board side have both gone to the court. All right. So to your point, so maybe one of the next events here will be the court ruling. What about consolidation in that industry, say valiacoviaco merger of those two properties . Is that a viable option or not . I think its an option. Its one that we dont think makes sense. We did an analysis that said, if cbs were to fall by 5 to 10 , should they xhernlg, viacom would have to increase by 15 to 20 to be market cap neutral. I dont think you get that kind of move up so to us it doesnt really make sense, it would be valuedestroying. All right, thank you, tom. Pleasure. A massive uturn on wall street today. The dow breaking its fiveday losing streak after reversing course midday, ending higher after falling nearly 170 points. By the close the Dow Jones Industrial average climbed 92 points to 17,733. The nasdaq added nearly 10. The s p 500 gained 6. But the higher finish doesnt mean all of the market anxiety is gone, far from it. If anything, what we saw today confirms that theres still a lot of confusion among investor japans central bank along with the bank of england kept Interest Rates unchanged and signaled increased concerns about the health of the global economy. And that sent Government Bond yields to near threeyear lows. And gold prices rose while oil prices fell. Many say that the biggest risk to the market is the possible exit of the United Kingdom from the European Union. Central banks around the world arring knowledging it as britons get ready to go to the polls one week from today. Wilfred frost tells us what investors should watch if they vote to leave the eu. If britain votes to leave what should you watch out for . The first thing is pressure on uk Prime MinisterDavid Cameron to resign. If he does, the government is dissolved but we do not get fresh nationwide elections as all members of parliament remain the same. We would see a battle within the conservative party to be the new party leader, which would take a few months. Forrest johnson would be the clear favorite. However, election rules mean this is not a simple populist vote and other canned ditz would certainly have a chance. Second, watch for immediate and systemic financial contagion. The risk though of this is very low because the exit vote would just mark the start of separation negotiations. Furthermore, the uk is not part of a single currency so immediate banking contagion fears are reduced. This is perhaps why weve not yet seen a sharp reduction in u. S. Equities. Third, over the medium term, watch for the impact on uk and european growth. Negotiations will likely take anywhere from two to seven years depending, this will reduce inve and with it growth. Finally, and perhaps most importantly, in the longer term, watch for a political reaction across europe. Do the antieu parties like the National Front in france, podemus in spain, and afd in germany gain support . The key will be maintaining the proeu status quo in terms of governments in french and german elections in 2017 be vushl for the longterm future of the rest of the European Union. For nightly Business Report, im wilfred frost. And there is another global hot spot, venezuela. That countrys economy is under intense strain because of the longrunning collapse in oil prices and economic mismanagement. And as Michelle Caruso cabrera reports the pain is intensifying. Reporter food roy yots and protests erupting throughout venezuela on a daily basis as people grow desperate for goods. Standing in line for hours only to find out there is nothing left. Looting has become common. This is Surveillance Video showing people storming and ransacking a bakery in caracas because basics such as flour and rice have become impossible to get. Yesterday hundreds were arrested after ransacking dozens of supermarkets. Look at images of supermarket shelves left empty. Economic mismanagement made worse by a drop in Oil Production and oil prices has driven the south american nation into crisis. Now there is growing pressure on venezuelan president to allow a recall vote on his presidency. Something the National Assembly wants but merudo has stopped. I spoke with one of the leaders of the opposition and asked him if the vote dont happen is a military coup possible . He said, yes, but thats not what they want. A military coup would be a disaster. We dont want to get to that point. Were in a telgtly collapsed country right now, its not working. If we dont find a solution quickly, any option could be possible. A growing chorus of leaders around the world are backing the recall vote. U. S. Secretary of state john kerry became the latest to do so earlier this week. Like all people of the americas, venezuelans have the right to use constitutional mechanisms to express their will in a peaceful and a democratic manner. Many wall street hedge funds are closely watching the situation in venezuela because they own venezuelan debt. Thus far the government promises to pay it even though its clear its running out of for nightly Business Report, Michelle Caruso cabrera. In the u. S. The number of americans filing for Unemployment Benefits rose more than expected last week. According to the labor department, initial claims for state Unemployment Benefits increased 13,000 to 277,000. Consumer prices climbed in may. They were driven by Rising Energy costs and biggest increase in rent in nine years. The Consumer Price index which measures what americans pay for everything from clothing to cars increased. 2 last month, making it the Third Straight monthly Home Builders are feeling more optimistic. A gauge of sentiment issued by the National Association of home build respect rose in june. The report showed builders are feeling pretty good about the upcoming six months. They are seeing better traffic and more committed buyers supported by steady job gains and low mortgage rates. Speaking of those low mortgage rates, freddie mac reports the 30year fixed Rate Mortgage is averaging 3. 54 , down from the prior week and the lowest level since may of 2013. So what does all of this global uncertainty around the world mean for the domestic economy and markets here at home . Brian jacobson, chief portfolio strategist at wells fargo funds, joins us now. Welcome, its good to have you here again, thanks, sue. You know, it does seem as though the market has an awful lot on its plate. Especially when you look at whats going on overseas. But what impact do you think, if any, all of this will have on the market and the u. S. Economy . I think that its a matter of your time frame here. If were talking about what might it mean for the market over the next week or so, i think its very significant. Today is a good illustration of that. The market basically turned around when it looked as though there might be some sort of shift in the outcome for the brexit vote. The unfortunate killing of that member of parliament who was in support of remaining by somebody who was in support of leaving the European Union may have shifted the odds a little bit as far as what the outcome may be and it was basically at that point that the market began to turn around. So i think that until the brexit issue is resolved well likely continue to see some of this volatility. After that im actually a little bit more sanguine about what the outlook is. I think that corporate earnings in the United States are beginning to turn positive for the first quarter, they were anything benefit aboutpy ars year on year. Second quarter, its looking a little bit better. Its not perfect but things are getting better. I see from my rote notes you think the u. S. Market may be a beneficiary because of all the uncertainty overseas . It is and unfortunately when the markets are going down, its about a relative game about wheres relative shelter . Were not insulated from the storm thats taking place but european markets are down 6 , the u. S. Markets were down 2 . So were a relative beneficiary as people were seeking safe havens in the storm. I notice that you also like japan and cash, which we dont actually hear very often, the cash aspect of it. Why that and why japan . Yes, as far as the cash aspect, i think that Cash Management is a really key component of any good financial plan. It can help remind you about why it is that you can be a patient investor, because investing does require patience from there you have about six months of spending in cash, it allows you to ride out some of the volatility and take on a little bit more risk in seeking return. I like japan mainly because its done so poorly. I feel as though bank of japan has really done something that it shouldnt have done, stand pat, when the fed made it clear they could have used. Instead they did nothing. But the yen strengthens significantly. I think the ministr of finance will probably need to intervene to weaken the yen and the japanese market overall could begin to turn from this point. So just a lot of bad stuff has already happened, maybe the worst is behind us. On that note, optimistic note, brian, good to see you, Brian Jacobson at wells fargo funds. China as you know plays a big role in the global economy. Today the u. S. Treasury secretary had a warning for the worlds secondlargest economy. Secretary lu is calling that countrys Business Practices unfair and urges it not to weaken its currency. China still has work to do to achieve the goal of creating the conditions for an orderly transition to a marketdetermined exchange rate. This month china committed to advance those reforms allowing for twoway flexibility in the exchange rate. China must demonstrate its actions not just its words, its commitment to that twoway flexib the treasury secretary says that any reversion to Old Foreign Exchange policies to artificially boost exports would trigger tension. Microsoft goes where no bigname corporation has gone before into the marijuana. Volkswagen says its next nine years will be driven by more electric vehicles and a shift away from the constant quest to become the Worlds Largest automaker. It is all part of vw trying to plot a new path even as it continues to wrestle with the diesel emissions scandal that is far from resolved. Phil lebeau has more. Reporter vw is shifting gears after a tumultuous year filled with scandal, billions in losses, and the ouster of its longtime ceo volkswagens current boss says the company has learned from its mistakes. Translator the Current Crisis is a catalyst for us here. At volkswagen doors have opened up. Readiness for change has grown variably. Reporter muller laid out vws plan for how it will change between now and 2025. First, more electric vehicles. In fact, the Company Hopes to sell 2 million to 3 million annually by 2025. Meanwhile, vw will push Mobility Solutions like carsharing and ride services. Finally, there will be a focus on sustained profits. But more importantly, volkswagen is no longer proclaiming it will become the Worlds Largest automaker, a goal it embraced for years. Critics blame that ambition as one reason vw executives lied about diesel emissions rather than deal with an issue that could have slowed sales. Volkswagen is still a long ways from getting past the diesel emissions scandal. In the next week it is expected to finalize dals for how almost 600,000 volkswagen owners will be compensated for having defective diesel models. After that, it will take months to settle those claims. Phil lebeau, nightly Business Report, chicago. A surge in sales in oracles Cloud Business helped the companys quarterly results. The business softwaremaker earned 81 cents a share in line with estimates. Revenue slightly higher tht 10 low 1 lower than a year ago. Shares rose noishlly in afterhours trading. Josh lipton has more on oracles quarter. Reporter 690 million. That was the big number in oracles latest earnings report. It refers to the companys cloud of businesses known as software as a service and platform as a service. More importantly, the company also said cookings in q4 were strong and that means oracle could raise its guidance for q1 cloud revenue gloeth growth, now expected to be between 75 yrs and 80 . Brad reback says the results validate this companys transition like other legacy i. T. Vendors oracle is moving as fast as it can toward a model where customers access its software over the web as a subscription rather than buying and installing software on their own servers. For nightly Business Report, im josh lipton in san francisco. Profit soars nearly 10 at kroeger and that is where we begin tonights market focus. Results were better than expected thanks to strong sales of wine and deli meats. But overall revenue at the Grocery Store chain wasnt good enough to top estimates. Kroeger anticipates earnings for the year to come in at the low end to midpoint of its previously issued guidance. Kroeger shares down a fraction to 35. 47. Rite aid reports a disappointing quarter. The drugstore chain posted worse than expected profit and revenue as pharmacy reimbursement rates weighed on results, something the ceo anticipates will continue into the near term. In addition, rite aid still expects its merger with rival walgreens to close by the end of this year. Shares of rite aid down a tick to 781. Walmart is slashing jobs. The worlds biggest retailer expected to cut as many as 1,500 accounting and invoice positions across 500 stores as it looks to move its Bookkeeping Practices to its headquarters. The company also expects to add as much as a 60 billion in new sales over the next three years. Shares of walmart up a fraction to 71. 30. Cavium which makes computer networking chips will buy q logic in a deal values a the nearly 1. 4 billion. The merger is expected to increase the companys 2017 earnings per share by 60 to 70 cents. Cavium changed plunged 17. 5 to 39. 60. Q logic shares surged to 14. 80. Revlon will acquire Elizabeth Arden in an allcash deal for about 870 million. Revlon said the merger will provide the company with a significant presence across all major beauty channels. Elizabeth arden stock surged more than 49 in the extended session, but ended the regular session down just a tick to 9. 41. Revlon rose in afterhours trading but finished up marginally to 31. 15. Marijuana is going more mainstream. Microsoft has become the first big wellknown company to partner with a firm that operates in the fastgrowing marijuana business. Eamon javers has been following the story from washington and joins us now. Good to see you, eamon. Why is microsoft making this move . Look, the Marijuana Industry is growing. So many states having legalized either medical marijuana or just plain old recreational marijuana. That means its a big business but there are a lot of companies out there having real trouble in terms of compliance because its not legal on the federal