Far, up 8 . Check out whats happening this morning. Things have barely changed. The dow futures are up about 12 pokt. The nasdaq just under one point. If you havent woken up there is a full moon out right now. On todays squawk planner economic data. At 8 30 eastern, the earnings. The news in earnings big oil will be in focus. Among the names posting quarterly rults, exxonmobil and chevron. The weekly bag lyly Baker Hughes Rig count is a number of the rigs actively developing oil or natural gas in the United States and canada. We went up to 70 60 for a little while. Everybody came back in. People predicted that. They didnt need to get to 100. Isnt crude down . It is. 48. 52. They think we could be looking at a threehandle on wti because the fraccers have gotten so good. These what . Fraccers. Thats werdird. Theyve cut costs. They dont need oil prices to stay high. You say it it seems like just coming out of your youre normally so proper. These fraccers. You know what else is hard to say . Foo fighters fans. Did that did that did oil roll . I thought we were at 47. Remember when it rolls, it goes back up. I dont know. In the meantime some of the other big stories were watching today. Greece is back in the spot light. Eu and imf negotiators getting into an intensive round with greek negotiateors today. Theyre trying to handle a third bailout. The next diet to watch, august 20th. Athens has an ecb debt payment due. I dont noi how theyll pay that. Thats the date were setting. Puerto rico is nearing default on debt due tomorrow. Last month the leaders warned the islands 72 billion in department was unpayable. We have more from kate kelly in 20 pinminutes. Only the Global Security front, chinas watchdog is probing trading. They believe to be heavy speculative selling. Chinas main stock markets have lost about 30 of their value since mid june. The idea of the selling going on like this nobody was saying anything when the market was rising as quickly. I dont know. I saw oil at 47 this month. I still have a quote of 47. 55. In tech news microsoft says the new windows 10 operating system is running or many that are 14 million computers. They started releasing the software as a fruee download. Apple tv is reportedly going to launch the next general asiantion of what is known as am tv. Buzz feed says the set top box will be slimmer and include a touch pad remote and an operating system that includes siri voice control. Google is rejecting an order by frances Data Privacy Agency to delete search results. The right to be forgotten law doesnt apply globally google says. If haved about a similar request from all governments, the internet would only be as free as the worlds least free place. We saw that with china this week. China trying to change the way the internet operates in its own borders. Last year europes highest court ruled that inpeople have the right to control what appears when their name is searched online. Stocks to watch this morning. Linkedins earnings and estimates are higher than expected. The companys been spending to acquire businesses and build up sales and development teams. The stock is down by about 7. 5 . Also, check out electronic arts. It beat the street on the top and bottom lines. The forecast is the problem. The video game publisher shares dropping on its outlook. Check out fire eye. That stock is under pressure this morning. The Cyber Security company posting lowest Revenue Growth since going public. The cfo is stepping down going to a prooichlt company. That stock is down about 5. 5 . Lets look at the markets. A little bit of green. The dow up the s p futures is up a little bit. The naz dash one of the best performing averages. Europe down. France the only mostly flat. Germany down 0. 01 . Asia up. Shanghai down significantly over a percentage point after some weakness yesterday. That has not affected europe or us so far. Theres crude. Down 27 cents at 48. 52. I think it rolled last week. Is that trading now or the close . I have seen other quotes down 99 cents. Well watch it. If it is stuck on 48. 52, that means that i saw it there earlier. 2. 28 on the tenyear. This could get a lot more interesting. As we get through august. A month takes about a week now, doesnt it . To get through. To get through . Well be at the september. I dont know what it is. Time is speeding up. Yeah. Thats it. Its friday again. But so fleeting. Its hard to enjoy a friday because the monday friday is the best part of the week. No no no. Thursday. Im up im here. Getting up is not easy. Friday is the hardest day to get up. Gold i saw was down is it maybe down here. I saw it around 10. 80 earlier. 10. 88. 10. 88 on gold. That the righthand side of the chart look like almost any commodity recently which, brings up a discussion in its own right in whats happening. It has something to do with this. Chi niz chinese stocks with the biggest one month loss in years. And 12 dow components in correction mode. A wild month on wall street. And what can that mean for investors . What can we expect as we go into the dog days of summer . Joining us krishna mamani. And steven wood. I think at least you, steven agree with me on september. Will be liftoff. For fed . Oh yeah. Its done they want to get back to where they can use Interest Rates. Raising or lowering fed funds. They can use that to manage what they do. At zero you cant. You have to move on. One, they tapered. So qe was put to bed last october. And then two, they go positive. Even if its 50 basis points they could move that. At the least, day can signal. Think the fed wants the tool back in the tool belt. I think saying that september is a given is probably overstating the case. I think december is more likely. Once they do what theyring looing to do their datadependent. The data is not Strong Enough for them to do it in september. You have two more Employment Data points been if they come in stronger than where the gdp number was, perhaps we have a chance. Otherwise, december more likely. Not that it matters. In the end, is it positive for the stock market . I think it depends why. I think right now, i have a slightly different take. Saying that the fed is not as data datadependent. Were thinking september. If theyre responding to, you know, a policy environment. Thats normal. If responding to growth it could be a positive. I dont think this is 1994. I dont think theres an inflation scare. The market could take it reasonableblyy well. Its not the chinese stock market. Its the underlying economy that might give the fed pause . I think its the chinese economy that matters. The dollar strengthens significantly. I think the case is it weakens. The dollar tightening for the fed that the fed wants to do. The dhajchallenge with the chinese economy is its been slowing and theres no relief. It will probably continue to slow. It makes the feds job tougher. Is this a very Different Task for this fed versus what greenspan was looking at . Absolutely. And i was talking to ing toing to ing toing to ing toing to stephen earlier. Theres a bit ol ref reflexivity. The capital drives the growth. The fed has not had to deal with that. We were leveraging ourselves. Whatever flows came over we absorbed them. The impact is not slowing the economy. The fed has become a big part of our lives as we struggle to do 2 here. Is that as good as it gets at this point . Or, if things change in 2016 are their progrowth policies that will work again that will put the fed on the back burner and the private sector can once again grow . I think were far from there. I dont want to live in a central bankers world. None of us can get out of it. Old college buddies,and andragy. We called in 2009 we thought it would be a square root recession. What is that . Its clever. Oh god almighty. Mathematics. You go straight across. I know its mathematics. I was doing the okay. Go ahead. A tenyearlong cycle of sub trend growth. Its a central bankers world. The bank of japan is quantitatively easing. The chinese are doing a version of that. I think the central bankers of the world have kept yield intentionally low. Forcing investors to think about what kind of risk asset to them is what they need to hit. The world is still deleveraging. Or wants to deleverage. We need to get to a different level. I think there is a light at the end of the tunnel. Think the u. S. Has stabilized. Europe seems stable. Once we deal with the emerging market china, braziltype issues, i think well be at a better place. That requires some slogging through, i suppose. What if we the journal has a great editorial today. What if something did change. They say, theres way too much regulation. Were going to fix the Corporate Tax code. Were not going to be the least competitive rate in the world. Dont hold your breath. Will that work . Or our economy responds to nothing anymore . I think that could be additive. What is that . A mealy mouth way of saying at the margin . You dont think you think its a hangover . I think its a central bankers world. If youre talk about taking growth from 2 to 4 that probably wont happen. 50 years of averaging 3. 3. The world is that different . I think its a 2. 5 to 3. 75 world. Think that could be the new speed limit in the economy. In this generation its disinflation thats the issue, not inflation. I think what were dealing with is a disinflationary world. How do you create growth . Deflation is theres not real deflation. Its that prices are not rising because growth is slow. We keep going chicken egg thing, you know. Its true. Chicken and egg. We cant figure it out. If the chinese policy maikmakers in 2009 didnt do what they did, we would be in a much better place. To save their economy, that point, they went down the this path. Well have to deal with it unfortunately. Central banker world. I dont want to live in a facebook world. I got a lot of ive got a lot of you have a lot of issue. I guess i dont have much choice do . I need to accept the things i cannot change. I have to change the things im able to change. Im going to write that down. Oh is that famous . Things are not that bad. Its sort of you know 2 growth. Things are bad when everything in our mind is u. S. Against them. Income inequality. Middle class not getting better. 70 of the people in the country ought to be seizing the day. Technologically technologically, were living better than we were before. How about Energy Production . I got a lot of reasons. A lot of stories that are very strong. Once you get beyond the sentiment. Things are looking reasonably good. I think technology. Theres a bunch of great things. Interest rates are low. It should be morning in america. We shouldnt feel like we have a horrible hangover. Like weve been drinking all night. We havent. Weve been drinking for a generation. Drinking from the monetary spigot. Well see if that comes home to roost. Maybe we should be saying these are good times. Gentlemen, thank you. Pleasure. I should be in a better mood on a friday. Should be. This is the best part of the week right here. Listen to this. Breaking news. Beijing selected to host the 2022 winter olympics. Eunice yoon joins us. Seems like 2008 summer on limplympics we just had them. Absolutely. At the mountains, where the ski resorts are, games will be held there are people dancing in the streets. Its the government that has choreographed the entire performance. They want to make sure its picture perfect. Thats part of the reason why beijing pitched itself as the safe and reliable choice. They said they could draw upon experience of 2008. Theyll be the first city to ho a summer and a winter olympics. They have the capable to have a Winter Sports industry here. Hundreds of millions of people to get used to highs hockey or snowboarding. There is controversy. The winter period in beijing is a terrible time. Its very polluted. Its really dry. There is not a lot of natural snowfall. There have been many locals and other people who have been reallyup set about the bid because they said that this is going to cause a lot of environmental stress. Theres a lot of drought in the area. Theyll have to create the artificial snow. Its going to put a strain on the water supply. Theres also quite a few activists lobbying against beijings bid because they said beijing never followed through on some of the promises it made in 2008. The olympics are supposed to be about openness. Beijing did open things up a bit. I was here at the time. Soon afterwards things clamped up. Now, a lot of activists would argue this is one of the most repressive periods in china. If the internet essentialcensorship is strong. Theres been a bit of disappointment. The president says the country will follow through with commitments at this time. Well all right, all right, eunice. Its a long way off. 2022. It will be faster than you realize. We could be inundated with snow by then. Im looking for any other city thats had the winter and the summer olympics. Im thinking maybe athens had both. No, im looking at it. I mean like 2,000 years ago. They didnt do winter and summer at that point. Probably not. They dont get a lot of snow in athens. Some day, maybe. Coming up a scary story from nbcs pete williams. A secret nsa map showing all the Cyber Attacks china has person perpetrated on u. S. Targets. First, a look back at this day in history. July 31st . It is. I shut the door real tight people call me on the phone im trying to avoid xco0 welcome back to squawk box, everyone. An nbc news exclusive, revealing just how vulnerable we are to cyberespionage. China alone is responsible for 700 private and public hacks in just the last few year. More now from pete williams. Reporter as the u. S. Scrambles to learn the extent of massive left the of government personnel records said to be vn stolen by china, nbc news has gotten a class fid report. This National Security agency map shows a red dot for everyone successful computer intrusion by china over the past five years. Nearly 700 with computer attacks in every state but north dakota. The northeast corridor from washington to new york is a massive blob of red. And intrusions are clustered around californias silicon valley, the arrowir aerospace rej yons of the northwest. Formulas for popular drug and the workings of military and civilian air Traffic Control systems are looked at. There are some individual u. S. Citizens. Dl theres no Corporate Structure out there, no matter how snal a mom and pop organization that is immune from the threat. Reporter the fbi is investigating hundreds of cases of suspected chinese espionage. 53 more than a year ago. Economic espionage by the chinese costs the American Economy 300 billion a year. If theres good news while theyre sooiberspying more intensely. The u. S. Has a means to know when they do it. Pete williams nbc news washington. Its impossible to come up with a number. But thats a big number. 300 billion. On the report last night, there are these nondescript buildings in shanghai. How does a corporate entity fry to fight a government coming in and trying to break into their systems . I dont know. We should get maybe our government should get we should get involved. I dont know. We got our own problems. We got puerto rico in the middle of a debt crisis. Kate kelly is here to tell us whats at stake. Theyre missing a payment soon. Were a day away from a big deadline for puerto rican borrowers. Including the Public Finance corporation that is likely to go unmet. Throwing it into default. Further financial disarray. The pfc is only one of the players here. In addition to the 58 million it owes three other puerto rican entities ohwe debt payments on the 1st. Cofin and and the must pal group are ek pecked to pay. But the other groups investors are less sure of. Publicly lyly traded bonds are spiraling. They still could pursue puerto rican issuer in court and make their money back over time. Albeit through costly litigation. Some individual investors may not have the interest or capable to do. We know this is a huge issue for people in the area. A lot of investors here in the United States own those puerto rican bonds. What does it mean for them . Short term no interest or principal payments. Thats an issue. Longer term it raises questions. Of course structurally about puerto rico. Local officials would like to see chapter nine bankruptcy filings. They would love to have statehood. Thats probably a bridge too far. Have you heard about things they want changed . Terrorists coming out of the nation. Any odds of those things changing . I doubt it. They have a great tax advantage. Inverss in investors in their bond get essentially a tax holiday. If you live there, you dont have to pay taxes that the rest of us do on the mainland and hawaii and alaska. At the same time you dont have full access to federal benefit. You have some. As the local congressman has pointed out, they dont have full access to Affordable Care. Theyre in a gray area. They have a lot of advantages. I was talking to a Hedge Fund Investor yesterday. He owns a lot of property on the island. An island economy is always going to be challenged. Puerto rico is better off than a lot of entities. Tourism is not enough to keep the economy afloat. Nay need to develop a local service industry. Theyre trying to insent vise people to come. So far, the number of people setting up businesses are small. Seems like something changed. For years and years, they were seen as relatively safe investments. What changed . I think, look theyre had theyve had a lot of setbacks. Theyre having a lack of fulltime Job Opportunities right now. Just when you go anecdotely people complain much more about employment there. I think theyve taken on debt to keep things afloat. Now you find that the Debt Service Payments are becoming for than they can bear at a time when revenue is falling short consistently. They just issued a report showing that in almost every case, government revenue underperforms where theyre expecting. They have this short fall. They do have the money in a lot of instances to pay what they owe to bond holders opinion. Its not sustainable. They said we cant pay our debt. 72 million. This cant be met. He was able to pay the next Service Payment the next day or two. That made people feel like he was crying wolf. I think this week end, we see one or maybe two defaults. The electric utility has until september 1st to restructure. That will be a linchpin, too. If they de