Those shares have been so volatile in the last several weeks. European equities, meantime, on news of this greek arrangement there, you do have red arrows mostly across the board, and perhaps not surprisingly, greece is the one thats getting the lift by 2. 25 . U. S. Equity futures at this hour . Well, after yesterdays big day breaking that sevenday losing streak, the dow would open lower by nearly 125 points. Here are the big stories were watching today. Greece and its lenders agreeing on bailout terms. A Greek Finance Ministry official tells cnbc there are still some minor details, but they wont affect the completion of the deal. The European Commission expected to comment on the deal at its midday briefing. On todays economic agenda, a few data points of of note for this datadriven fed. At 8 30 eastern, a first read on secondquarter productivity and costs, and then at 10 00, wholesale trade. As for earnings central, the consumer front and center this week. Among the Companies Set to post their Quarterly Results today, red robin gourmet burgers, becky. All right, lets get a check on the broader markets this morning. As scott just showed you, futures are under pressure, and guys, i would imagine this has a lot to do with the chinese devaluation of the yuan. This kind of changes the game at this point. If you are now talking about the fed, most people think its most likely that they will raise Interest Rates next month. If they are raising Interest Rates, that means that we are strengthening the dollar at the same time every other nation is weakening its currency. That china is effectively weakening theirs. Right. Which would give chinese exports an advantage, and thats obviously what theyre trying to do. This has been something the feds been watching closely. Theyve been watching the dollar strength. They tried to say recently, at least fisher said recently, its really going to be the u. S. Economy they are watching the most, but its hard to look at that in a vacuum when you see whats happening around the globe. Lets take a look at oil prices this morning. Yesterday oil hit a 4 1 2month low during the trading day to 43. 35 and ra rallied towards the end of the session and settled up by about 2. 5 . You can see its down about 1. 5 this morning, 44. 29 for wti. Taking a look at the tenyear, this is interesting. Tenyear note looks like it is yielding 2. 166 . Thats going to be the point people are watching closely, too, as we start to think about what the fed does next month. Taking a look at the dollar at this point, euro yesterday was back above 1. 10 for the First Time Since july 31st. The dollar index this morning sitting at 97. 23. Obviously, whats happening at chinas going to have a lot of play in these currency markets throughout the day. Gold yesterday settled back above 1,100 for the First Time Since july 21st. It was up by about 1 and you can see its up another 9 this morning, 1,113 an ounce. Now to todays top corporate story, google rolling out a major reorganization plan. Jon fortt joins us this morning with the details. And jon, there are a lot of people in chaos, but it kind of makes sense the more you look through the details. It does, but the impact is yet to be seen, becky. A big surprise after hours yesterday around 4 45. Google announces that its not going to be known, at least the Parent Company, as google anymore, creating a Company Called alphabet. Google will exist as a part of that. Eventually, the stock did spike about 5 after hours. Larry page is going to be the ceo of alphabet, but google itself is going to get a new ceo. This move is supposed to aid efficiency. Larry page saying in a note, our companys operating well today, but we think we can make it cleaner and more accountable. And a key to that accountability and that clean operation is going to be a man named Sundar Pichai. Hes the new ceo of google. Hes been the Senior Vice President over product and engineering. He rose through google first running google chrome, then android and other apps. Hes known for getting things done and being a nice guy at the same time, which is tough when youre getting as big as google is. So, whats going to be part of alphabet, whats part of google . Well, most of the businesses that are known as part of google now, including android, search, maps, all of that will be part of google under Sundar Pichai. So will youtube. What wont be a part of it is google x, google ventures, google capital, google fiber and nest. Things like that will be part of alphabet, run separately. The new cf loving report to larry page and also serve in that capacity for google, david drummond, the longtime general counsel and overall legal mind behind google will also going to alphabet. And the father of the Google Business model, whos been serving as chief revenue officer, he will be an adviser to alphabet. The q4 results are going to be the first to show this different structure. Google will be reported as an entity on its own, giving investors more clarity into exactly how profitable google itself is. Alphabet and all those businesses will be reported separately. Not line by line, but just alphabet as a whole, guys. Its funny, the stock is literally right at 700 even today. The knock, i guess, on google would that the company wasnt transparent enough, and it was growing too large and they were spending too much money on these disparate businesses that were sort of called moon shots, rather than what the core business has been. Yeah, and well have to see exactly how this addresses that. I mean, ruth porat came in just like gangbusters on the last earnings call, obviously had a really firm grip on the business overall, talked about being mindful of costs and how theyre invested is he a driver in this . It seems like it. This holding company, it feels very bankinglike to me. I think what we dont see yet is exactly what the forward plan is here. I mean, is google going to buy whole businesses . I was talking to somebody at google last night who likened this to Berkshire Hathaway. Exactly how Berkshire Hathaway do they get with this . Are they going to buy whole businesses . Could they buy a car company to supplement what theyve been doing with Driverless Cars . Well, larry page said that he admires sort of the way that Berkshire Hathaway is run, not only by Warren Buffett himself, but just in the structure and the way it operates. So, its no surprise that those are the kind of names that are being thrown out. Its the ge of the internet, ive heard this morning, the Berkshire Hathaway of the internet ive heard as well. When you look at the class a and b shares, moves that google has made governancewise, it makes sense that way. Jon, stick around. Well discuss this with ivan feinstad at tigress financial partners. Ivan, thanks for being here this morning. You hear likenings to the ges, to the Berkshire Hathaways, but in the case of Berkshire Hathaway, thats a very different scenario. Youve got Warren Buffett and Charlie Munger at the top and they can allocate all the money that these other businesses kick off. This seems like a slightly different setup. This is, were going to take all the things were interested in and put them over here. We will make sure there is a different operating structure, and that makes sense. But if youre a shareholder, youre still basically getting all of the things, the moonshot stuff and the google. Its not like you pick one shock over the other. I think you want the moonshot things and i Like Companies like google that spend money on technologies that will hopefully add value in the future like apple and facebook. I wish more companies would invest in r d and spend for the future. However, the reason the market likes it, because there will be more accountability and maybe a little bit less money spent on these future so, what happens if i own google shares today . What happens . Do i get new alphabet shares or what . No, the symbol the name of the company will change. The two symbols for the a and c will stay the same, the google and the google l. You wont notice a difference. However, you will notice the fact that the stock is up 30plus this morning, which is positive, saying the market does like it. But its less of a change than we think, correct . This is almost a name change and a Corporate Structure change, but not some split of the company in some way . No, but i think if i have 100 shares of google today, ive got 100 shares of alphabet whenever this takes effect. Yes. What happens scott or maybe jon mentioned the idea that google will report the google portion will report its numbers separately. How do those are those numbers reported just not in terms of earnings per share, because there is no earnings per share for google. Theres earnings per share for alphabet, which includes both the google stuff and the other moonshot stuff, right . Or what . I think theyll report line items for advertising revenue, you know, the search revenue, youtube revenue, so youll be able to have more granularity in their different business lines to see where the real growth is and where the real drivers are. But the eps numbers, those kind of gross profit numbers will be alphabet, will be one company. But in theory spread over two stocks, because thechz have the two stock classes, right . You could break it down to see where the biggest driver of the earnings are. Were going to be saying alphabet is reporting earnings . It just sounds weird. Alphabet . It will take 10 or 15 years. Google sounded weird at the time. Google and yahoo sounded weird back in the day, too. There are challenges that come with this, too. You cant help but think, google has built this brand and culture. Yeah. It means something to work for google. What does it mean to go work for alphabet . There are three brands that occur to me as being iconic brands cocacola, kleenex and google. And the idea that we would that coke would change its name or its structure some way and were going to talk about a company thats no longer called coke, but it, of course, is coke. But ill bet the prestige goes with alphabet, right . You want to work for alphabet if you want to work for the moonshot projects, if you want to work on the futuristic sort of cool things out there. That would be my guess. I think a lot of people in Silicon Valley want to work on the cool, futuristic stuff. And after a few months of talking about alphabet, people will forget google the same way that everybody talks about verizon and they forget the two companies that merged into verizon. So, is it worth the 30 pop . Well, the market is saying we like the fact that there will be more transparency and more accountability to their capital spending. So, i think thats the key, which has started when they first announced earnings a few weeks ago with ruth borat as the cfo, feeling there is going to be greater accountability for their capital spending. Does the core business itself, the search business, which generates, what, like 66 billion, i think it is at revenue last year . Does it suffer without larry page . I dont think it does, because larry page has put in place a number of deputies over at google who have been running that business. Sundar pichai has had a ton of influence not only over core search, which isnt exactly his area specifically, but over android, over chrome, over all these areas that are wrapped around search, especially in the mobile era, keeping that protected from some of the encroachments from the likes of facebook. So, larrys still there, but hes got the deputies in place. Speaking of protection, could this be a way for google to protect the new ceo of google and keep him from getting poached by the likes of twitter . That was the first thing that came to mind for me. Because he would be in play, you would think. You would think. I mean, maybe the upside potential of Something Like twitter could intrigue a guy like Sundar Pichai, but he was mentioned in the microsoft search. Much bigger company. You know, as these Larger Companies and rivals to google look for executive talent, he could have been in play. And hes a guy for a couple years now people have been saying, owen malic was saying hes ready to be a ceo. He was ready to be a ceo. So, good for google, i suppose, that they managed to keep him around, because there are not many executives in Silicon Valley where as a company gets huge they are really good at product, getting people to do things on time in high quality and still have them smiling afterwards. Thats what Sundar Pichai was able to do. Hes a product guy. Hes 43, i think, too. People like him. Not only does he get stuff done and its a good product, but people like him. Theyre not supposed to be able to do that. Thank you. Back to our big breaking market story this morning. The peoples bank of china sending shock waves through the currency market after letting the yuan depreciate almost 2 against the dollar overnight. Here with us on the set, Boris Schlossberg from bk Asset Management and a cnbc contributor. Boris, good to have you with us. Good to be with you guys. This seems to be something where the Chinese Government has said, okay, you dwuyz want us to be more market tied in terms of the peg for our currency. Weve done that. But the effect is to devalue it, which is what a lot of people in the u. S. Dont want. I think its screaming that china is in trouble. I mean, weve seen a series of data points out of china of serious slowdown. The trade data over the weekend was actually sort of the biggest tell where both imports and exports contracted by more than 8 . I think this is simply a story thats basically telling us that the chinese leadership is really starting to run scared at this point. This is the first step in whats going to be a long road of stimulus. Yeah. Pboc cutting rates. Trying to plug a hole on a leaky boat, absolutely. Thats a pretty big aboutface a few months ago. The premier was saying we dont want to do this. Huge, huge, and i think it shows you how worried they are about whats going on. I read a story in the new york review that talked about how the whole clampdown on corruption is creating a massive slowdown in chinese economic growth. Because in the olden days, you could just bribe somebody to get things done. Now the whole bureaucracy is literally frozen. Everybody is petrified that if they do something, the government will come after them for corruption. So, while hes trying to clean it up, the shortterm impact is a much more increased slowdown for the chinese economy. Currency war coming . Already happening, you could argue. Yeah. Whats interesting is were clearly moving now from a point where we used to have currency cooperation between most Central Banks to now currency competition, clearly. And this is where it brings up the fed, where i think its fascinating. Ive argued for a very long time that the only reason why the fed wants to move off their euro Interest Rate basis is political rather than economic. We have no inflation, no wage growth. There is very little reason for us to want to raise rates right now, but they want to do it because they are tired of being observed at this point. But this brings up an interesting point, because yesterday Stanley Fischer said theyre watching china. And the fact that china kind of gave its tell, that things are not going that well over there, may make them pause, or those comments from fischer, did they come before or after the devaluation news . It was before. It was yesterday morning. So, today we had the devaluation news coming right after this. But i think the big story is this. Even if they do hike rates, i think what theyre probably going to do is if they hike rates in september, theyre going to say were going to do this, but were not going to do anything for a long time coming. In that case, it becomes very much like a boj model, where its a one one and done . One and never done again. Hiked rates and never did it again. I dont think they want to be in that position either. They want to be in a position of hiking rates on a steady, consistent basis, so theyll be careful about the liftoff. Does this change the equation . I think the consensus up to today had been they will raise rates in september, based on what you said. I think this makes it more likely theyll hold. One key tell, retail sales this thursday. We need to see the u. S. Consumer come back. Weve been talking about, the bulls saying the u. S. Consumers coming back because labor numbers are good, and weve had disappointing retail sales every time. If we have another disappointing retail sales on thursday, i find it really hard to believe the fed is going to raise rates. Look, the way people have argued away, the way observers have argued away the idea that retail sales stink is saying people are spending in other places, buying big purchases, doing things like going out to eat and fixing up their houses, and those dont necessarily show up in retail sales. Thats true. There is some truth to that, but with, you know, gasoline at, like, i dont even know where it is, 2 something, oil literally at 40. The other thing, by the way, is if they tighten, right, take a look at oil. The stronger the dollar, the lower the oil, the lower the inflation wages are going to go. Its kind of a selfdefeating mechanism. So, i think theyre playing all of these things but gasoline price is part of retail sales, the other part of retail sales. Auto sales were fantastic in july. Thats the one thing where people have been arguing, you know. Theres been a huge tilt towards the massive auto spend, but i still think you need to see a relatively decent print this month in order for the fed to feel c