Today on fears they may still be a little bit overvalued despite a recent drop and its been a fairly substantial one. Is there money to be made . If so, where. If there is, well tell you about the next big catalyst. This space is really heating up. Plus an exclusive interview with the economist, yes, the economist, who is behind the u. S. Soccer, the national team. Why he may be the man to bring the world cup in qatar. Back to the u. S. First lets check in with sue at the new york stock exchange. And breaking from previous undploimt and inflation targets for when a rate hike might be considered. Our senior economics reporter Steve Liesman is here to put in all in context. Get to the Monetary Policy stuff in a second, but not from the chairs testimony, but the companies Monetary Policy report. And some specific parse, special small cap, bio, later in the q a she was asked about how low rates can distort markets. Low rates do have an incentive to push individuals to look for look for yield, to reach for yield. And that is both a good thing and a bad thing. On the one hand, we need healthy risktaking in order to spur recovery. And low Interest Rates i think have had a positive effect on helping the recovery, but of course we have to be careful looking for situations where low rates may be incenting behavior that can be dangerous to financial stability. The report now on policy, yellen seemed to keep the markets on track to think the fed would raise rates sometime next year. The consensus is for around june or july. She did suggest there had been better results in the job market, particularly in broader measures of labor slack, but shes not worried about a key issue, wages pushing up inflation. While rising compensation or wage growth is one sign that the labor market is healing, were not even at the point where wages are rising at a pace that they could give rise to inflation. Initial hawkish reaction by the market to the comments by yellen, but overall, sue, i think she kept on track the belief that obviously tapering ending qe ending in october, and then the fed on track sometime next year to be in what theyre calling the fed liftoff. Sue . Steve, thanks for explaining it all to us. Lets get the market reaction. Bob pisani is here at post 9, as well as kenny polcari. Bob, you go first. She was specific in the written part of her report, and we saw that reaction. You and i talked about this last week. I mentioned pandora, zynga. Its right to ask those questions. There is a belief that they are going to have very great earnings and or Revenue Growth in the future. Some of these plays pan out, some of them do not, but thats what momentum stocks are like. Kenny, your reaction . Absolutely right. I think the markets are confused by the comments. If you noticed, pardon of what she had was on the one hand tapers is coming, rates will stay low for a long time, but maybe not. If the economy turns around, rates will go up. So i think the market is confused. It hears one thing and in another it hears Something Else. But thats why it was a masterful performance. I thought she did a fine job threading that needing. When we have to go into some testimony thats buried in the supplemental report for us to find something that is in any way controversial. The rest of her statements i thought were fairly down the middle. I think the statements were good, but i think in the end the market became confused, because it heard both sides of the argument in one sentence. Then they heard Something Else right away, so i think the market remains a little bit confused. Which takes us up to tyler and ron insana, right, ty . Were going to talk more about that very point among other things with ron insana who wrote a sudden lid controversial piece where you state your reasoning why the traders have it basically wrong. Youve heard a lot of complaints from people i know pretty well, that this all has to end badly, that just by virtue of this never having been tried before, theres no way this sort of new unconventional Monetary Policy, quantitative easing and the like, that it has to end badly, because we dont have experience with it. If you go back and read all of the fed papers on this stuff, and ive spend a fair amount of time what bernanke has written, what they have written about the current environment. In fact it goes back many, many years, talking about unconventional monetary policies. They have kind of laid the groundwork for all of this. Theres been a lot of work done, and i think theyre fairly confident not only have they implemented them properly, but theyll exit them properly as well. Without them necessarily having another depression, another crash, hyperinflation, a falling dollar, skyrocketing Interest Rates. I think thats a misguided point of view, but one that persists, no matter what kind of data you get. Let me get your quick thought. Kenny just mentioned, indicating that the market remains confused. How can it be . I sense an awful lot of whining from the market. They want yellen to say at 2 00 p. M. On march 17th, 2015, were going to raise Interest Rates by a quarter point and were going to do another quarter point at 3 30 p. M. , and then they will sell the hell out of the market anticipating the next rise. Thats right. The think, tyler, here i think a lot of people are philosophically disposed to believe this has to end badly. Even though these dont have evidence or empirical evidence for that position. Or maybe that it cant end badly without them having said it has to end badly. Exactly. Youve got it, tyler. Theres substantial group of trader. There is a substantial group of traders, a substantial minority that have been ideological at war with the Federal Reserve for the last five years and theyre dying to be proved right. I think were being kind about talking about whining. Theres a lot of people kenny, is the market misguided . Are traders misguided . I think theres a certain segment that are misguided, but i do think the fear here is theyre inflation is going to ramp up and theyre going to lose control of it. If i can address that right away we had Agricultural Commodities crash. In all hid lines Inflation Numbers will be coming down for months. Oil has dropped below is 00 a barrel. Natural gas is just above four bucks. We have inflation indicators coming down again, not going up, as ms. Yellen said, some of these inflation scares are probably transitory, tyler. So for all the wore about headline inflation, mo of the numbers are going in the opposite direction. Iron though those prices have collapsed food prices have not yet collapsed. Corn, wheel and soy beans all at fouryear lows, gasoline will come down. We hope. Were going into the end of the summer drive season. I think headline inflation will switch. We have to leave it there. Ron, appreciate it, kenny, bob. Sue, down to you. Were going to go uptown to the nasdaq, which is taking a hit, the biggest loser by the social media and biotech stocks, mentioned by the fed report. Warning that valuations in those sectors seem stretched. While yellens remarks mostly focused on the health of the economy, a separate fed Monetary Policy report signaled concern over asset prices diagnose valuation metrics in some sectors do appear substantially stretched, particularly those with smaller firms in the social media and Biotechnology Industries despite a notable downtornado. Now, these comments and social media and biotech stocks sharply low ser among the social losers, yellen, pandora, facebook, groupon and twitter, all of which are trading, some analysts consider excessively high. In the biotech spay, jill ad, and ver tech shares moving to the down side. The selloff in these two sectors are weighing on the nasdaq composite, which is currently lagging the major indices, and todays trade were seeing it down about 30 points on the day. Well continue to watch those two sectors, biotech and social media. Seema, thank you very much. The fed warning about biotech, but there is one big catalyst that could drive the industry forward. We will have that story for you, youre going to have to wait a while. Its going to be worth waiting for. Meanwhile, a quick market flash. For this one here, i cant wait to hear that story. Check out whats happening with michael kors, two companies saying its increased the promotional activity, which has increased concerns about profit margins. That stock you can see currently down about 6 in tada ace trade. Tyler, back over to you. Dom, thank you very much. Earnings in focus today, profits at jpmorgan beat dropping 8 from a year ago, but that was better than some of the forecasts. Pull back in bond and currency trading. This has been one of the weak spots. Still, the company beat on the top and bottom lines, Goldman Sachs trouncing the estimates, earnings boosted there by strength in the investment banks business, and why not . There have been a lot of mergers, and they have been number one. Shares of goldman and jpmorgan up strongly on an otherwise rather soggy day. Jpmorgan at 5847, up 2. 18. Goldman sachs up 1. 46 at 168 and 46. Sue . What are Bank Earnings telling us about that sector . Financials are up more than 4 with respect. Jeff jack ablynn and jeff husse. Nice to have you here, gentlemen. Jack, im going to start with you. The financials so far so good. What does it tell you about the overall market . Its saying that generally that the market goes as financials go. What we find is a very high correlation between the outperformance of financials and the direction of the market itself. Its Something Like a 70 correlation, so generally things are moving along well when the financials, particularly the large banks are moving in the right direction. So thats a good sign. Jeff, do you agree with that . I agree with that. I think it also tells you that even the ramifications of qe still is working, that is its feeding through the financials. The financials are making money off of very low rates, and through m h activity as was noted for i believe Goldman Sachs, so i think its benefiting the financials and should continue to do so even with modest tapering thats going on. Jeff, let me stay with you for a moment. Ms. Yellen, in the written report, talked about stretched valuations in some of the social media companies, some of the biotech companies. I know you and jack are underweight small caps. What did you make of her comments . You know, there are some stretched valuations. I thought it was interesting she called out specific industries so discretely, but ultimately i think you could make the case about covenants, bank lone, high yield. There are parts of the market that are frothy, but there are parts of the market that are still of value. I think thats what makes a market. Were finding good value and believing in some of the babies are being thrown out with the bathwater for lack of a better term and seeing when biotech is down some of the good tech names are down. Theres buys opportunities. Weve been focusing less on beta and more on directional strategies one or multiasset portfolios to try to capture some of those individual opportunities. You know, jack, ms. Yellen said that the economic recovery is not where she wants it to be, obviously, but that always leads me to the consumer, because the consumer driving so much of the economy. Does that worry you at all . How do you invest against that . Its certainly a kind of lopsided recovery. Were seeing growth in the industrial side, growth in the energy patch. Were getting a lot of manufacturing export business. Auto sales were strong, and my sense is that may have crowded off some Consumer Spending that was going on. We also wrote a piece about a months ago, maybe even a little less than that with the tension in iraq was pushing oil prices to very close to a pinch point for a consumer. That could perhaps subside a little bit, and of course housing, were generally selling roughly less than a little more than 400,000 fewer new homes than the demographics would suggest. Its a lopsided recovery, and i think the fed certainly ms. Yellen wants to talk it down, because they want to keep rates as low as possible for as long as possible. You also like large cap, europe and emerging markets, right . We do. As long as liquidity is flowing thats where we want to be. I do agree with ms. Yellen that smallcap stocks are not only stretched, but one of the most dangerous major markets in the world right now. You get the last word, jeff. Domestic markets strictly or go overseas as well to emerging . We see some opportunities in europe. We have a slight preference one or allocation for grurp. Questioner also thinking longer term if you have a long enough, emerging markets are starting to look interesting. We think where they are in the Business Cycle and Interest Rate cycle is problematic, but the valuations are cheap. Were continuing to emphasize less beta, less directional strategies, trying to introduce more nondirectional strategies into our multiasset funds here at russell. Thank you both. Sue, thank you between Janet Yellens testimony and a mixed bag of economic reports, what do Small Business owners make of the economy . Were going straight to a source to find out. A terrible subway accident at the height of the morning rush in moscow. Well have the latest about that one. State, were changing the way we do business, with startup ny. Weve created tax free zones throughout the state. And startup ny companies will be investing hundreds of millions of dollars in jobs and infrastructure. Thanks to startup ny, businesses can operate tax free for 10 years. No property tax. No business tax. And no sales tax. Which means more growth for your business, and more jobs. Its not just business as usual. See how new york can help your business grow, at startup. Ny. Gov welcome back to power lunch. Just off their session lows right now, this after the company reduced the outlook for the second quarter, blaming a challenging environment. The Company Expects to close 44 stores by the end of the third quarter. You can see the shares down by almost 8 . The rent to own market very, very interesting. Also warning signs, they followed the similar comments made from rival rent acenter, which said earlier this month, it will fall below expectation. The budgetconscious side of the market very much in focus with those two stocks. Back over to you. To moscow, where rescue teams are working underground going through twisted steel after a subway derail at the height of the morning rush hour. The death toll just hit 21. More than 150 others were rushed to the hospital after being brought above ground. As you may know, moscow has been a top targets for terrorists, but russian Officials Say they do not believe terrorism played a role. This was the deepest part of the system. Israel accepting an egyptian ceasefire, but hamas rejected it. To show good faye they stole from 3 00 through 5 00. The Israeli Air Force resumed the attacks, and one top hamas leader said israels willingness to accept the ceasefire proves they are losing the battle, so a very difficult situation once again in the middle east. A slew of economic reports out on the dale of Janet Yellens testimony. New York Manufacturing conditions are the best in more than four years. Rose less than expect indeed june, as did retail sales, while u. S. Business inventories were up in may. So a bit of a mixed ticket there. So what do Small Business owners make of the economy right now . Are they hiring . Are they more optimistic than they are . Insight from abdul baytops, ceo of one federal solution. How are you . How are you . Good to have you babb, abdul. You were with us last fall at the height of the Government Shutdown crisis. Your company replies i. T. Services to a lot of companies. Last year when we spoke up to lay off or furlough a lot of people. Are things looking better . Yes, they are. You know, i only represent a small portion of the Small Businesses, but by the same token, we do see an upward trend in the economy as well with the Small Businesses. I do think it depends on what market sector that Small Business is in as well, because a company like ourselves for cybersecurity, so there is a better market. We do see an upward trend. And new requirements that were going after. More companies where are the opportunities specification . Are you hiring and if so how much . Were hiring. Again, it depends on the market. As well as medical research, those are the areas we see more hiring. Over the last few months i think weve added maybe only 15 , but we have a forecast out from 15 to 25 over the next 12 months. That actually is good for a Small Business of our size. 15 to 20 more employees. Correct. That would mean how many employees when youre all done . If we were to do that, maybe around the 160, 180 employees coup. We support the government as well as a small portion of u. S. Companies across the u. S. Because youre in the i. T. Area and because tomorrow at delivering alpha we expect to hear secretary of the treasury jack lew talk about inspection and cybersecurity. If you had one question to ask the treasury secretary about how the government is doing on cybersecurity, what would your question be for him . My biggest question in cybersecurity is obviously when will they take it more seriously . It is a huge risk, and when are they going to invest the dollars thats needed to get the infrastructure up to speed. You seem skeptical that the government is doing enough . Yeah, pretty muchivities thank you very much. Glad your business is looking up. We hope to have you back again, sue. Tyler, californians, if youre caught using water in ways youre not supposed to, youll be in serious trouble. You will also have to pay the piper. Plus the man behind u. S. Soccer. He doesnt play, he doesnt coach, but he runs the whole thing, and he also happens to be a professor of economics at columbia university. Meet the man behind it all next, and only on power lunch. [ male announcer ] if you cant stand the heat, get off the test track. Get the mercedesbenz youve been burning for at the summer event, going on now at your authorized mercedesbenz dealer. But hurry, offers end july 31st. Share your summer moments in your mercedesbenz with us. Offers end july 31st. Hi, Credit Report site andour i have a problem. I need to speak with your fraud resolution department. Ugh, we dont have that. What should i tell him . Just make that super annoying modem noise. shuuuuuuuh. Zzzzzzzz. De ee. Dong. Shuuuhh. hello . Not all Credit Report sites are equal. Classic. Experian. Com members get personalized help plus fraud resolution support. Join now at experian. Com. With enrollment in experian credit tracker. [ girl ] my mom, she makes underwater fans that are powered by the moon. She can print amazing things, right from her computer. [ whirring ] [ train whistle blows ] she makes trains that are friends with trees. My mom works at ge. But what if you could see more of what you wanted to know . With fidelitys new active trader pro investing platform, the information thats important to you is all in one place, so finding more insight is easier. Its your idea powered by active trader pro. Another way fidelity gives you a more powerful investing experience. Call our specialists today to get up and running. Who dont have electricity 400 Million People and i just figured that its time i do something about it. What were doing right now, along with ibm, is to actually transfer data through a satellite from our wind farms directly onto the cloud. I think we could create a far more efficient system across the whole network where we could actually draw down different kinds of energy based on when its needed by the consumer. A smarter Energy System is made with the ibm cloud. The ibm cloud is the cloud for business. Go pro shares. There was an outperform rating and a 60 price target, saying highdefinition camera maker has established itself as a deshl brand. Go pro shares up about 13 on the days trade, but still, tyler, well off of their 48 post high. Dom, thank you very much. 80 of california experiencing extreme drought and regulators are taking drastic steps to fight it. Officials considering fining people up to 500 a day for wasting water. State regulator expect the restrictions could conserve to supply about 3. 5 Million People for a year. Ty, thank you very much. Despite three infrastructure tragedies, brazil 2014 wasnt as bad as many feared. On the field kind of a mixed picture from suarez biting attack, to the back injury, to a good degree of success and a lot of pride for the u. S. Mens team. They advanced from the group of death, despite perhaps the most difficult travel schedule out 32team tournament. With miss is sunil ga lardi, an economist and economist at columbia, he sits on fifas executive committee. Its a pleasure to have you here. Great to be here with you. Especially when you just got off a plane from brazil. We greatly appreciate it. My pleasure. Lets look ahead to the 22 games. Theres an fbi investigation about potential corruption with qatar about getting the 22 games. Theres slave labor accusations in that country as well. Will fifa if the investigation proves fruitful in terms of issues with the bidding process, would you move to bring the games to the u. S. In 22 or no . I dont know about an fbi investigation. Theres an independent investigation that fifa is involved in about the bidding process on both world cups, to 18 in russia and 2022 in qatar, so it would by inappropriate to speculate about what might come out of that. Thats expected to have some answers in the next couple months. Fifa has a storied past in terms of accusations saturday bidding process is not fair and that the Organization Needs to tighten things up. Do you see that from your perspective . And how can you move to change that if it is indeed the case. I do think the rules should be tightened up. Ive stated it publicly. I think it should be a public vote. Hopefully some of those things will happen. Do you get the sense youre getting some traction on that, especially now, because soccer was just so much on the global stage, do you feel as though the time is right to perhaps push harder for those changes . Weve been pushing hard. The concern is when things are going well, people say everything is fine. I dont think that would be the case. Some of it has been very positive after a couple difficult years in a fifa election and a world cup decision, and hopefully well make more progress in areas that are important to us, and i think important for soccers governance generally. Youre responsible for the coach klinsmann. What did you learn from brazil . What are your reflections on brazil and what were his . I think we were obviously very pleased to get out of our group, which is the most important goal for everybodiery on. We were disappointed we didnt quite get the results we wanted with belgium, but yoreall, i think we were pleased withal progress. We still have a long way to go to be in the upper echelons, jurgen knows that. I know i cant tip your hat as far as the plans, but the u. S. Team played so well that the momentum is high. They have the wind at their back. Can you give us some idea of what we might have in story . Im flying to l. A. Tomorrow. Were going to meet, and the serious planning starzz for the next round of qualifications and events. A lot of what we need to do is at Player Development level. Theres still a talent gap in terms of ability with the ball. We know that. Were not where west germany or germany is. We want to get better. Over time hell have the and we think well get the success were looking for. One of the reasons i think it was so successful is because it was so widely carried. This year espn had the foundation and the broadcast rights. Fox will get those in the next world cup. And there are some who say that the carriage isnt going to be as big and the attention wont by quite as widespread. You disagree with that, i believe . I think espn did a terrific job. Good forward 1 3 partners of u. S. Soccer and major league soccer. I think four years from now the ability that fog will have, the benchmark that espn has been set, will be met, not easy to exceed it, but fox is committed to the sports, committed to major league soccer, and i think youll see a terrific cup. The ratings on this world cup were up 40 , and no one will pay the sort of money that fox did and let it sit on the shelf. Tell me what you think about our economy here at home. You were just in brazil. Brazil had fallen on hard times. They built ought they stadiums, yesterday the u. S. Economic seems to be struggling a bit. Shes going to keep Interest Rates low. From your vantage point, traveling internationally and coming back here at home, how does the economy look . I certainly want to contradict the fed chairwoman on anything she said. The traders did, so feel free. That i understand, but im always optimistic about it, and i have a lot of faith going forward. When you look around the world where many cunning around the world, theres a brick summit going on, but we are a long way ahead of most of the world, while i think we continue to have challenges, were certain better off than three or fouriers. Thank you for joining us on power lunch. My pleasure to be with you. After you talk to the u. S. Coach, feel free to call in. Well let you know. Thank you so much. Lets change gears a bit, and switch to gold, not the cup, but gold prices. Theyre closing right now. Copper is on the plus side, recovering pretty nicely giving the drumming it took. And on the back of ms. Yellens testimony, Rick Santelli is in chalk for us. Hi, sue. It seems as though Janelle Yellen didnt help prices, look at the intraday chart. Yields initially moving higher. Paid more attention than much of the data, but lets put it simple. Twoyear yields are up one, more curve flattening, but maybe lets hit where the bushelitious aspects might be, where barclays and the index that reflects Investment Grade security. You see they do acknowledge, even though theres been a subtle adjustment. No matter what the rest of her testimony meant, you certainly see it show up in the dollar index, basically at onemonth highs. Back to you. The next big catalyst to drive business, meg has the story. Tyler, thats right, weve seen new doctors for help but theres another Liver Disease growing in numbers. Some analysts say its the next big glob epidemic. Tyler . And tomorrow marks Marisa Meyers second anniversary at yahoo. Is she doing well . Log on to cnbc. Com votes to weigh in. Kid hey dad, who was that man . Dad hes our broker. He helps looks after all our money. Kid do you pay him . Dad of course. Kid how much . Dad i dont know exactly. Kid what if youre not happy . Does he have to pay you back . Dad nope. Kid why not . Dad it doesnt work that way. Kid why not . Vo are you asking enough questions about the way your wealth is managed . Wealth management at Charles Schwab down about 20 over the past two weeks. So why . Maybe the investors are taking profits. For the First Six Months it was up by a stagger amount. Sue, back over to you. Fed chair janet yellen testifying, saying that the economy continues to improve but the recovery is not yet complete meaning a continued loose levels of Monetary Policy she feels is necessary. So the Yahoo Finance question of the day we asked do you have confidence that shes making the right move . 27 said yesterday, 49 say no, and 24 say sometimes. Maybe thats reflecting some of the confusion in the market today. Sue, thank you very much. The fed warnings in a paper that biotech stocks appear overvalued. The sector has been booming, up more than 30 over the past one year, so theres been a sell jot. Theres a redhot area that could be the next big catalyst to fuel those stocks. Meg tirr is here with the story. Analysts say the next big area may be a Liver Disease that you have not, z called n. A. S. H. Its related to obias yet. Over time, n. A. S. H. Can cause permanent liver scarring, known as cirrhosis. So big numbers can also mean big business. The potential is put at 35 to 40 billion. Intercept pharmaceuticals has a drug in the middle stages. A french biotech, genfit is along with another, along with gill jawed. Gen fit also presents a big risk reward. 90 on the down side analysts said. And microsoft expected to announce a round of job cuts, first. And tomorrow marks Marissa Mayers anniversary at yahoo. Well back with the results of that and more, after this. Collection is here. Acr during the cadillac summers best event, lease this all new 2014 cts for around 459 a month or purchase with 0 apr and make this the summer of style. In a we believe outshining the competition tomorrow quires challenging your Business Inside and out today. At cognizant, we help forwardlooking Companies Run better and run different to give your customers every reason to keep looking for you. So if youre ready to see opportunities and see them through, we say lets get to work. Because the future belongs to those who challenge the present. My motheits delicious. Toffee in the world. So now weve turned her toffee into a business. My goal was to take an idea and make it happen. Im janet long and i formed my Toffee Company through legalzoom. I never really thought i would make money doing what i love. We created legalzoom to help people start their business and launch their dreams. Go to legalzoom. Com today and make your business dream a reality. At legalzoom. Com we put the law on your side. Welcome back to power lunch. Check out whats happening with lions gate film shares. The stock has moved higher. It dipped early in the session, the Entertainment Company and aluba alubaba, with reports of teaming up. Power rundown time. Jon fortt is here at headquarters. Julia boorstin out in l. A. As it integrates nokia into its business. The round of cuts will likely be the biggest in more than five years. What do you know about it . What do you expect . I think this is in a way expected. Keep in mind microsoft took on Something Like 25,000 additional employees when it took on nokias mobile unit. A lot of redundancy on there. Also theyve got to decide whos going to stay, who is going to go, when youre integrating hardway with microsofts over hardware. I think the most interesting thing will be what advantage do they take of this molt to put his stamp on the organization. Julia, a company insider, not really well known before he took on this role, at least not beyond the walls there in redmond. He is put is his camp on this company. This is really his chance to show how hes remaking microsoft for the future. He had a memo he released that laid out his vision, and it would be interesting to what he does, not just to take advantage of the cost savings with nokia, but also to shape the future of this company. Julia, recode out with a report that jay carney is said top apples next Pr Communications leader. This would be quite ash well, a left turn for carney, who has mostly been in journalism in washington and then in the administration there. I think they werent saying it was a done deal, that he was in the running. There were other reporters say its i think its not uncommon for people who have spent time in washington to switch over to press, and he certainly would be be the first one, but i think he has a lot of options. Maybe hell go into television and have his own show, but i think apple really needs someone who is used to dealing with policy issues, as well as keeping things secret. He has some experience there. Jon, what are you hearing here . It looks like tim cook wants to go in a slightly different direction. There were two deputies there in pr, natalie karas, and steve dowelling. Jay carney would be in the mold of mark penn who went to microsoft, somebody who knows global, who knows regulatory, who knows brand but from a slightly different perspective. Its an outside option, but i dont get the indicate that apple has decided by any stretch. Well get to that and follow it closely. Yahoo reports earnings after the bell on the eve of Marissa Mayers anniversary. The question is how is she doing . You can vole at cnbc. Com. So who can we expect from the yahoo earnings today, and then talk a bit about marisa . I think we can expect things to be about each. I wouldnt ding her for that. That are going on impactingia hoos core business. Shes been running to stand still and has done quite a bit with more real, with the structure of yahoo, putting a team at least partially in place. Shes had a couple missteps there. Shes got Silicon Valley behind her. The request el is what big moves can she make acquisitionwise or organically to get the needle moving forward. Julia, what are you hearing on that front . There theres been some talk that aol may be in her sights. There are three things im watching. One is what theyre going to do with all of that alibaba cash. Will there be a deal with aol . Which i think is it a little too unlikely. Im also watching display adding. Yahoo needs to show they can compete in this crucial ad space, especially as they get more and more competition from the likes. The third is what other acquisitions is she going to make. Would it be aol if i dont know, she might be go more towards the startups. Thank you very much. Julia and jon, good to be with you. We ran into in technical problems, so were not going to give you the results of the vote. Well try to get it fixed for another occasion. Sue, down to you. Thank you. The space race is heating up. Boeing going head to head with elon musk spacex. Sue, its nailbiting time. Among the three competitors all vying to fill the next space taxi, boeing plans to pitch itself, marrying the best of old and new. Well take a look after i land this thing. When the world moves, futures move first. Learn futures from experienced pros with dedicated chats and daily live webinars. And trade with paper money to testdrive the market. All on thinkorswim from td ameritrade. Can i get my actual Credit Report. Like, the one the bank sees . [ male voice ] sheesh, i feel like im being interrogated over here. [ male voice ] shes onto us. Dump her. [ pay phone rings ] hello . Oh, man. That never gets old. No, it does not. [ female announcer ] not all Credit Report sites are equal. Experian. Com members get personalized help and a real Credit Report. Join now at experian. Com with enrollment in experian credit tracker. Welcome back to power lunch. Chem out campbells soup. Saying its anticipated shortfall is due to industry headwinters. Its down about 2 . Sue, back over to you. Boeing shares taking a hit thisseer, but up 20 over the past one year. Boeing is turning up the heat in the race to space. Jane wells is live in houston in a space capsule. Where else would we find jane wells . This is their propertio type to take astronauts, so it doesnt have to pay the russians it is a traditional spacesuit, but these are samsung galaxies, and thats not the only change. Hey. Hey. Welcome to the spacecraft. Boeing has already gotten 460 million in nasa funding to get this farce, but in this new Space Business molding, whoever wins retains ownership, can lease it on other, but perhaps with better wifi on the tablet. Is that durable enough . With the samsung agreement well be working with them to ensure the flight hardware capable, so all the qual testing will be the next part. Reporter thats assuming it wins elon musk is boeing is creating and pitching its heritage, everything from the rockets to the para. What if you lose . Would el have to look at the Business Case at that time. I think it would be different to close that Business Case without that back stop but our focus is all based on how well execute when we do win. Now, they should know within a month if they win. Theyre preparing for potential layoffs. If they dont, well be back in an half hour to talk about what this means for taxpayers. Thank you so much. Be careful in there. Lets see whats coming up on street signs. Were trying to make sense of yellen and what made sense. Also, the end of the coffee versus gold miners bet between brian and herb. Who won . Actually a pretty clear winner, but were not going to tell you. Sdproo the case for Public Private partnerships out there no infrastructure, why it could make your commute a whole lot better. Lots of things coming up at the top of the hour. Make sure you join us on street signs. First day of my life by bright eyes youre not just looking for a house. Youre looking for a place for your life to happen. But ive managed. I got to be pretty good at managing my symptoms, except that managing my symptoms was all i was doing. When i finally told my doctor, he said my crohns was not under control. He said humira is for adults like me who have tried other medications but still experience the symptoms of moderate to severe crohns disease. And that in clinical studies, the majority of patients on humira saw significant symptom relief. And many achieved remission. [ female announcer ] humira can lower your ability to fight infections, including tuberculosis. Serious, sometimes fatal infections and cancers, including lymphoma, have happened; as have blood, liver, and nervous system problems, serious allergic reactions, and new or worsening heart failure. Before treatment, get tested for tb. Tell your doctor if youve been to areas where certain fungal infections are common, and if youve had tb, hepatitis b, are prone to infections, or have flulike symptoms or sores. Dont start humira if you have an infection. If youre still just managing your symptoms, ask your gastroenterologist about humira. With humira, remission is possible. But what if you could see more of what you wanted to know . With fidelitys new active trader pro investing platform, the information thats important to you is all in one place, so finding more insight is easier. Its your idea powered by active trader pro. Another way fidelity gives you a more powerful investing experience. Call our specialists today to get up and running. We saw a spike a little bit and saw the selloff in the small ser cap, social media and biotech stocks in the record they were mentioned that the vail ways were stretched. As a result of that, we had some volatility in the market. You can see the vick is up a half percent, but if you look at that chart, its well off its highs. As for the markets themselves, trying to pear our losses, only fractional losses. The dow is down less than a tenth of a percent, the s p 500 down about a quarter of a percent. Because a lot of those smaller came up stocks are found in the nasdaq, we have a half percent loss in the nasdaq. Art cashing saying the yield dropped a bit on the tenyear note and then moved back up. Right nour were at midmorning levels on the tenyear of 2. 54 . Ty . Sue, i hope everything willdown is tomorrow all day for delivers alpha. It is our big midsummer conference in which the best and the, and among the guests jack lew, condition griffin, governor Chris Christie will be there deliver a keynote. Carl icahn, nelson pelts, and we hope you will be there. Thats it for this edition of power lunch. Well see you tomorrow. Street signs begins now. All right, folks. We have a good Old Fashioned fed fight to start the story. It may tell an even bigger story. Were trying to work out whether or not stocks have fallen on what basically are 5monthold comments. Here is the sentence from the printed report today. Valuation metrics in some sectors do appear substantially stretched,