Opposition lawmakers while members from his own party resisted the cutbacks to creditors demands. Finance ministers are meeting today in brussels to consider the whole package. You figures revealed a slowdown in your area growth. Roseross thomistic product 3 10 a percent. Economists expected a stronger showing. The weakness especially pronounced in france, where gdp stagnated 20 to zero. Germanys economy grew 4 10 a percent. We will hear from our rome bureau chief and a couple moments. And hans nichols is here as well. Matt 4 10 a percent. We would not be happy in america. Be seen inction to ages stock markets. Chinas currency stabilized. The unexpected devaluation earlier this week rattled world markets. The currency is studying the second straight day, easing some of the uncertainties. The uns reference rate with Chinas Central Bank rose for the First Time Since the evaluation tuesday. Just 1 10 of 1 . Japanese Prime Minister shinzo other abe express profound grief for all who died in world war ii. Seven s after the the 70th anniversary of the countrys surrender. He also expressed apologies for japans actions. Erik a surprise for the football field. Tom brady in uniform. The patriots quarterback was the starter in new englands preseason loss last night. He has been in and out of courtrooms fighting the deflate it suspension. Deflategate suspension. Matt we start with the five things you need to know this morning. I get to talk about autos. Its Stock Offering to 2. 7 million shares to 2. 1. It is looking to raise 250 million. It was only going to raise erik but when your stock rises on it diluted Share Offering matt bring it on. Erik for it is more than a 3 million market cap. They could do more. Matt elon musk said their Capital Expenditure needs are amazing. Erik in the billions, right . Oil headed for its longest run of weekly declines since january. T drivingl what glu prices to the lowest in six years continues. Just a fractional recovery. Oil trading at around 42 a barrel. It hit 41. 35 yesterday. Opec is saying we want not cut production. We will see who can stand lower prices longest. You are talking about the marginal costs. The marginal costs in west texas is 10 to 20 a barrel. Having Gary Shilling to talk about deflation is like having the pope talking about catholicism. Erik some people listen to a is oile gary saying how 10 a barrel . But it was there at 20 years ago. Matt we moved to julie hyman for our number three story. Julie you guys have been eagerly awaiting apple tv offerings, but you will have to wait longer. It is not coming in on so christmas of 2016, if it does not get pushed back again. The company is delaying services until next year. People familiar with the talks says that the license programming talks with networks are progressing slowly. They also do not have the Computer Network capacity to ensure a good viewing experience. In talks to offer music for . 99, they had bargaining power, but it is not clear how much they had in this case. Matt they are still expected to announce a new apple tv box. Erik two different things. Matt but it is called apple tv. It could be misleading. Erik or inspire confusion. Iser if apple will beginning to run into more resistance from some of the content providers, given the angst around the future of the cable bundle that has arisen in the past couple weeks. Julie we saw that with all their various Media Companies feeling pain from declining ad at espn, the case slowing subscriber growth. The train has left the station. It seems like Cable Companies will have to adapt. Matt hbo has done well with hbo now on apple tv. Most htc, it was once the best the bestselling brand here. But it is planning to cut operating expenses by 35 percent. Its workforce by 15 . People are questioning whether htc is a viable manufacturer in the smartphone market. It is such a dramatic change from four years ago. This is the Company Google turned to to build the first android phone. It has ceased to become relevant along with nokia and blackberry. Matt this is an industry where you can go from champion sue loser in a quick amount of time. Is nor to be seen in Second Quarter smartphone shipments. Matt iron member when nokia was the only mobile phone brand anyone cared about. Erik but where we are moving is only havely where you apple and samsung selling smartphones in the developed world. Matt in the u. S. , we are already there. When you ask someone what kind of phone, you asked you have an apple or a smart or a samsung . Aly total weirdos have blackberry. From canada. I am joking. Not surprisingly, hedge funds in hedge funds that are invested in china had their worst month since 2011. Dealing with the slowing economy, a 4 trillion loss in equities, pine rivers china fund loss 6. 3 in july. It could get worse. 6. 3 is not so bad, considering what happened in the markets of their there. Hedged. Od they were erik for not that leveraged. We need to move on because the euro area Economic Growth figures we saw this morning were very disappointing. France is no longer growing. Do not color a recession yet because it is just one quarter of data. But you can see what is going on. The point is growth is slowing. Thisolicymakers called recovery disappointing and said they are ready to adjust stimulus if needed. We want to dig in more deeply. Our rome bureau chief assange a migliacci alessandro migliacci and hans nichols is with us. These numbers are worse than you think. A votto the German Growth was driven by Consumer Spending. Unclear if that continues. And german exports have been renovated right a weaker, softer euro. Think three, if you france is bad this quarter, wait until you see what happens next quarter when they had to deal with greece when it was a better influencer. Greece was not really priced in. With the exception of greek numbers, greece was not priced in on a negative side this quarter. That will show up in the third quarter. Up becauseending was consumers were worried about capital controls. They started buying big ticket items. That drove greece higher. Is there a difference in the way europeans measured gdp . I constantly see fractional numbers every quarter. Here, we are used to seeing 2 is tepid in the u. S. Half a percent in germany is not so bad. That is right. It is the way the economy is structured. These are slowly economies. The labor market is often rigid. Things move slowly. Italy, the government was happy with a zero point 2 increase. The real problem as hans pointed out is the european economy is on steroids, basically. Zeroyoure seeing these oe point growths. What will happen Going Forward . People governing be able to pass reforms, be expected to pay for tax cuts they promised to get the economy going . If this is happening with the economy on steroids, we will not know what happens next. Can we talk more about renzi . It looks like he finds himself in a is a cult show me situation as Prime Minister. He made these promises, yet the economy growing just tenths a percent last quarter. Exactly. He is in a difficult position. His popularity has fallen. He is still ahead of his rivals, but the problem is with this popularity decline, he might be facing internal issues. People in his party not happy about some of the things he is doing. Not growingnomy enough, he may not be able to deliver on promised tax cuts. One of the big things he wants to do. He cannot cut is less taxes, important to boost the economy. He could face some sort of palace coup, which is not unusual in the land of machiavelli here. You tease this out to see what it would do quickly. It will be difficult for Francois Hollande to rewin you action. He promised growth higher and lower unemployment. It will not happen, especially if france slips into recession. We have a difficult vote in the u k u. K. Palace coup, a reshuffle, or snap elections in italy. We will have snap elections in greece likely in september. How that gives any investor and then we will be in the same route again. Mario draghi will keep the Printing Press running for fight sometime. Angela merkel will hold her position strongly. Erkel is not m really in threat. There. Eave it hans nichols in new york this week. Alessandro migliacci, our rome bureau chief. Cloud. Ealth care in the we find out how one company is using tech to revolutionize one of the fastestgrowing growing areas of the industry, coming up. Would you look at that . Where it secretary of state john kerry arrives minutes from now to raise the american back over the embassy for the first time in 54 years. Matt wow. Erik is that hd . Matt it looks nice. Could go to the hospital for an mri or cat scan and have your results in less than 30 minutes. One company is turning Wishful Thinking into reality. Imaging advantage is using the cloud to transform radiology as we know it. Here is their ceo and chairman, naseer hashim. Thank you for joining us. The real revolution is that if i move to los angeles, god forbade, and visit a new doctor, i can get all of these images, or he or she can access them instantly by the cloud. That is exactly right. That is nearly impossible today. Even if i wanted to go down the street where i live to get my images three or four weeks ago in fact, i went to the dentist to get my xrays. He did not have them. He had to retake them. Costly but this is a significant amount of radiation. Having this in the cloud for people who need health care on an emergency basis is critical and is not available today. Matt why not . It seems like a nobrainer. Why does not everyone do this . That is a great point. People always ask me why do i have to wait two days for my results . Why do i have to get testing done again . So expensive, i do not even know how much the imaging costs . This is the fundamental structural problem of health care. Ofo not want you to think there are individual players making it more complex. It is a 2. 9 trillion industry. It is incredibly regulated and being practiced the same way it was 50 years ago. Radiology is almost identical in the way the patient goes into the room, the scan is taken, and the radiologist reads the tests. Most hospitals have one or two doctors. The hospitals are not interconnected. Erik why just radiology . Includeexpanding to more types of medical records . First of all, not today. We are very focused on the 20 billion industry where we are at the early stages of it. Part it seems it should be of a more comprehensive solution to this medical records problem. The technology we have deployed would work for other areas. Emergency departments as well. To prove the concept on a large scale in one area. We have been successful in radiology. We do not want to defocus because if you start to do three or four different sectors of health care, you will not get the results we did. Matt you mentioned regulation. I wonder if there are some other types of concerns. Every time i go to a doctor, i have to sign a million documents saying they are allowed to look at my blood test results. An important concern. We are regulated by them and any kind of transmission over the internet. We are in the departmental of defense. We are protected by the dod and fda standard. We are very safe and secure in terms of transmitting data. Erik how is it that your company, imaging advantage, clearly provide a valuable service, has a 1 billion valuation . Is there that much money to be made, is there that much a Growth Opportunity in this industry . First of all, thank you for that number. The opportunity is tremendous, which is why you see Companies Like google and ibm getting into this. We are at an incredibly early stage of unlocking this complex puzzle of health care. There is 1 trillion of waste in health care today. Googles revenues are about 66 billion dollars. So a magnitude of 18 on the waste alone is the opportunity for Companies Like google. If you look at the entire auto industry, it is about 600 billion. It is almost two times that. Even if you say we are worth one billion, it is a small fraction. The Cloud Computing you are seeing and the supercomputing you are seeing, which we are doing and google and ibm are doing today, when you apply that to a complex industry like health care, we think of it as hyper innovation. It there. Ave to leave great having you here. Ceo and chairman of imaging advantage. We will be back in two minutes. The only way to get better is to challenge yourself, and thats what were doing at xfinity. We are challenging ourselves to improve every aspect of your experience. And this includes our commitment to being on time. Every time. Thats why if were ever late for an appointment, well credit your account 20. Its our promise to you. Were doing everything we can to give you the best experience possible. Because we should fit into your life. Not the other way around. Great time for a shiny floor wax, no . Not if you just put the finishing touches on your latest masterpiece. Timings important. Comcast business knows that. Thats why you can schedule an installation at a time that works for you. Even late at night, or on the weekend, if thats what you need. Because you have enough to worry about. I did not see that coming. Dont deal with disruptions. Get Better Internet installed on your schedule. Comcast business. Built for business. Later today, to below ceo and founder joins us to talk requiringrules companies to disclose ceo pay. Erik fire still smoldering after an enormous exposure at a warehouse in china. Officials say Hazardous Materials in Storage Containers spark the blast. The force of one explosion equaled 21 tons of dynamite. This crippled the 10th largest in the world. History will be made in havana, cuba. The American Flag will fly there half a first time in century. Secretary of state john kerry will lead the ceremony as the flag is raised. Todays event is the newest in the normalization of relations being pushed by the Obama Administration. Is still unsettled. Republicans still see another way. Would you like to try to capture more people as president . If the people have information that is important for us to keep our country safe and they are organized to destroy us, of course. Where you put them . Inyou keep them there guantanamo. This is not a torture chamber. An expensive operation, but there is no other option i can see. Erik marco will denounce the administrations cuban outreach today in a speech to a conservative group. Officials say the current el nino is already the second strongest on record or this time of year. It could also be one of the most potent weather changes of the past 65 years. Warming in the pacific ocean, cause winds to shift and change. The weather that is. Andghtstricken california the east could have extensive rain. There are concerns about mudslides in areas hit by wildfires. Matt want to take a quick break . Erik we will. Matt you and i will discuss el we have this programming. You are watching market makers. The measure of hold sale inflation climbing at a slower pace in july then june but rising twice as fast as economist had estimated. Percent on a monthtomonth final demand basis. If you exclude food and energy, a gain of three times a percent, in line with what analysts had been anticipating. This 2 10 percent increase following a 4 10 gain in june. Some economists saying this firming up an increase in inflation we are seeing will fade away in the fall, especially with this continued oil prices. The Federal Reserve says that downturn is transitory and does not take into account the effect of oil prices. That is the trajectory we may see as we head into the fall. For now, a little increase in wholesale inflation. You. Thank julie britain as to the ppi headlines. The state fair in iowa kicks off. To barn animals and butter sculptures, almost every president ial candidate will make the rounds. Big deal for is a iowans. You have to come here if youre running for president. Almost everyone running will come because you get to meet people from all over the state. Comment, you will snub the traditions. And lots of mix with thell voters. Most of them, not donald trump or Hillary Clinton, will stand on the Des Moines Register soapbox and take questions from all comers. Who is getting the most crowds . Aside from the press pack, which is one indicator like animals before a storm, but who is getting the most crowds at the state fair . It started yesterday. Mike huckabee and Martin Omalley were here. Easonsized crowds. Another reason candidates, and is that there are lots of people here. People see the cameras and gather around. Bernie sanders, donald trump will be here tomorrow. I suspect they will draw the biggest crowds. Defense has been known to define campaigns in the past. The fortunes of any or all of the 2016 candidates . We check in with doug heye. Erik because hans was on earlier, i have to ask this question. He described the iowa state fair of the dabbles davos of americans state politics. I do not understand the analogy. They are sometimes inscrutable. Was sayingwith why this anachronistic tradition remains so important. It is politics on a stick right now. You can have anything on a stick. But what you see is that it is the premier event in iowa, the first state that will consider all the president ial candidates. This is the opportunity for republicans and democrats to not but alsok on the stump to interact with voters oneonone, which is crucial in iowa. Without the iowa straw poll, which is not happening this year, that makes the iowa state fair even more important. It is a massive event and it is hard to understate how every candidate has the opportunity in front of voters. How much of what happens in the iowa caucus will tell you what happens in the general election . The iowa caucus will not tell you who will win but it winnows down the process. It is like the first round of the ncaa. Just because North Carolina wins the first round, it does