This is what they came up with me and you, buddy. Just us. Just us most days, we cover the whole gamut. It is not like they are going to miss out in terms of anything the yankees going to be good in houston, now a yankee you had max. I am learning how to bet baseball just taking the underdog does not work they know how to do this if you put up 30. You could win your 30 plus more than 30 if you bet on the underdog without a spread. The underdog always loses. I found a new way to lose. Well talk more about this a great game dodgers just kicked ass. It was weird did you watch any of it . It was a little weird all i saw was the clip of fauci with the opening pitch missing by too much. Who else did that i think it was 50 cent, as i recall it went straight left. I did that, i remember it is verydaunting everything going on in the world, the New York Post everything going on in the world. Got to embarrass the poor guy. Hes a doctor, not a baseball player glad we stalled a little. Already come back 50 here is a move a look at the percent move lower. A look at the nasdaq, much lower than where the dow is. 2. 5 lost as where the s p and the dow were down 1 treasuryyields we dont have to make a claim. If that rises then we are thinking lets get to the china story overnight beijing is revoking the license for the u. S. Consulate in china after ordering the houston consulate to close today stocks falling there i wonder how that speech is taken to you there eunice joins us with the latest. He did stop short talking about china in his blistering speech, he described it as frankenstein created by the policies of the free world he was essentially calling on all the parties in the free world saying if the free world allows china to continue that could change the free world. It was a speech they did not like they said it was full of bias and unattached to reality. But it did take some measures at the consulate in chengdu that consulate will be shut down within 72 hours. So by monday the Morning Ministry accused american staff thereof interfering in chinese internal affairs. On state media, the running of why china chose chengdu is this. It is essentially one of the sma smaller consulates it is seen as not having a huge impact on American Business but at the same time wouldhurt the reason why it has been explained. They want to show it has been tough. They want to leave the door open it seems really difficult at this stage we could take it to 6 30 our time talking about all the ramifications. Trade, we have all these problems in the back of our minds global trade is something we can count on if we are talking phase two talks or even phase one. That is another thing in the market in a slow see con my. That doesnt help. Did the houston consulate, it reminds me of casablanca there is spying and gambling going on did it get worse or is this a reprizal from the United States because of what is going on in south china or with the uighurs. Is it a sum total so we decided to do this or did it get worse in houston i dont know. Thats a question better asked for the folks in d. C from the chinese perspective, they continue to deny any spying going on the general gave an interview to politico saying they are not going to leave until further notice that could become a huge conflict point it is a very difficult situation at this stage. Thank you, eunice, weve got other stuff to check on with you. Andrew, we have an election coming up. Good we are tough on china and youve got an election coming up, that will be the narrative i think youll have both candidates try toout do each other. Youve got china with the whole hedge fund i think this is going to be a political football do you think it is a coincidence . Are you suggesting that the administration is trying to jim this up ahead of the election . Either side you could argue the chinese side is doing it you could argue but it is interesting. People are very worried whether our election will be hacked by russia, china, iran or whoever which is the candidate that they would want that is not so clear i was saying it would be a win Goldman Sachs reaching a Settlement Agreement with malaysia involving the state Investment Fund 1 mdb. Goldman had been accused of misleading investors over bond sales that raised 6 do. 5 billin for e fund lookser look looking at what they reserved. Ill try to get to that legal reserve number in a moment a lot expecting that tech hearing that was supposed to take place at capitol hill is likely postponed leaders of amazon, facebook and dulg were expected to testify in mondays hearing we talked about this yesterday ond what he was expecting to hear with a lot of talk it is not clear yet when that will be held postponed because of a service being held for the late john lewis on monday. Also worth noting i believe at least part of that hearing would be taking place virtually that makes it easy for socalled travel plans and in washington, both sides hate tech so much. They both have their reasons they might agree they dont Like Technology both sides are emboldened to try something. Intel shares are falling beating estimates and Third Quarter guidance fell short. Intel fell short of fullyear guidance the share of the prepandemic guidance at 5 shares of amd rose after intel announced because of the delay of the 7 nanometer chips how you can do it with 8 nanometers delaying that to 2022. We want smaller, right you want bigger gigs but smaller nanometers yep you want your settlement to be lower than your legal reserve. This is the opposite they said that cost could exceed that clearly it has somebody wrote a story about that they did. The billion dollar whale you can buy a few 737s or whatever that boeing business jet is the cdc with new guidelines on reopening schools well get reaction from dr. Gottlieb and last night, baseball with the organ playing. They piped in some fan sounds. I got induced to take the nationals and lost taking a look at the first pitch. Really me. That was me. I just wanted to give it to the catcher. Dr. Fauci probably wishes. Well keep showing you this dr. Faucis big flub yesterday squawk box will be right back. Some see a Grilled Cheese sandwich and ask, why . I see a new kitchen with a grill and ask, why not . I really need to start adding less to cart and more to savings. Sitting on this couch so long made me want to make some changes. Starting with this couch. Yeah, i need a house with a different view. And this is the bank that will help you do it all. Because at u. S. Bank, our people are dedicated to turning your new inspiration into your next pursuit. To turning your new inspiration music anncr give customers access to precisely what they want, when they need it the most. With adyen, the payments platform that delivers convenience for all. Adyen. Business. Not boundaries. Yeah. This moving thing never gets any easier. Well, xfinity makes moving super easy. I can transfer my internet and tv service in about a minute. Wow, that is easy. Almost as easy as having those guys help you move. We are those guys. Thats you . The truck adds 10 pounds. In the arms. Okay. Transfer your Service Online in a few easy steps. Now thats simple, easy, awesome. Transfer your service in minutes, making moving with xfinity a breeze. Visit xfinity. Com moving today. Welcome back this morning on the impact of Senate Republicans announcing the delay to release of covid relief. Missing the deadline to renew. The Trump Administration requested additional time to review details at the end of the month, states will stop paying that 600 a week that congress had authorized in march. The cdc released the longawaited guidelines for reopening with a heavy emphasis on getting students back in the classroom that is crucial for a lot who dont have child care alternatives and nutrition many reasons including good hygiene, spacing out students and keeping students in pods where the same groups Stay Together throughout the day and encourage the school to have a plan when a student gets kick saying it is not necessary to shut down the entire school if someone tests positive lets bring in dr. Gottlieb. Thank you for joining us did you have any in foput into these decisions . Do you agree with what we are talking about do we need more. Working with some of the states there are things that werent addressed like going to the hybrid model we all want to see schools open especially in ways the virus has been brought down to lower levels some situations where they need to close down temporarily or go to a hibryd model other countries did. There was destructive lessons from israel. I think theyll need to look beyond the guidelines at this point sometime things to consider if they staggering, they are looking at the proposals for us. Monday to or friday, that doesnt let parents get back to work if it is all we can do, that doesnt solve the problem we are faced with the first consideration is the safety of children and teachers in evan viernmentes where there is a lot of spread, you are worried. Connecticut is looking to go to five days a week in class and provide an athome option for parents who dont feel comfortable. I think we should make an attempt to get kids back i think thats important there might be ways you can go to and in class option where it is easier to create social distancing and force cohorting, the pod model. And maybe go to hybrid model for High School Students where they can learn online more easily. Districts need the discretion to make those decisions you are seeing a lot of variety of how districts are approaching this i wanted to ask you about texas. It is a school question i was talking to the supervis in dent of a school district. In washington, d. C. Theyve chosen to go virtual for the fall a lot of the major cities, new york and boston, the issue for teachers apparently. With he talk about parents and what people will did inside the physical school. Maybe i hadnt given enough credence is really how teachers are going to get to the school in major cities, they usually take Public Transportation and the like that is concerning more than even being in a classroom with children. As youve said, under 10 years old are unlikely to spread it in the same way not just for teachers. Getting workers to the work place to try to take staggered start times so they can do it off peek hours a lot of businesses have the ability to do that in schools, you dont have the ability to do that you might be able to work that out but it is a lot harder there is a concern you dont want to put kids on a crowded bus if the goal is to keep smaller cohorts more difficult in city schools, crowded schools. These are things cities are considering. We have greg abbott coming on we all try to grasp at positive news so the number of cases down a little bit in dallas and houston, i guess, scott. But deaths up. Hospitalizations down. So this is like the converse or whatever it was where we were talking about earlier where cases are going up but you werent seeing deaths. Havent we seen this play out before on the east coast is it positive news coming out of texas yet definitely an indication texas, florida, arizona are starting to peak a little less clear in california they still seem to be building cases. Other places are approaching a plateau around here. Unfortunately, youll see deaths lag. The time to death is about four weeks from first exposure to death from this virus on average. There is an indication the epidemic is continuing to close when you look at google mobility data they start to pull back. That said, i think it is an extended plateau there are some positive signs taking place in these states right now. Okay. That seems to be a little more positive i dont know that id eat inside a restaurant. Id eat outside. Would you take a plane right now if you had to . Ive gone out to eat several times outside. I wouldnt eat inside. We have that luxury in the northeast where you can have a restaurant outside harder to do in phoenix or texas. I would travel on a plane. I would wear an n 95 mask with proper pe and precautions, id feel comfortable traveling thank you well hopefully see you next week maybe monday good to see you. Thanks intel is down. The dow would be up if it wasnt for intel and that crappy forecast thats a big loss in that stock indicated to open 53 and change. That in large part is why. Negative almost turned positive by the way, im continuing to dig in to the malaysia goldman settlement analysts looked like they were around 3 million. They said it would exceed 1. 9. Analysts had it about three. Who brought ta deal to goldman. That is not easy to cost 4 million on a movie. Is it . The stock is now up on that news even though analysts had reserved around 3 million. Where is the whale now . Where is that guy . I dont know if anybody knows. Hes in quarantine somewhere. He could be on an i lasland. And baseball debuts last night. Gge t now, take a look at th biest premarket decliners in the nasdaq well be right back. Jim, could you uh kick the tires . Oh yes. Can you change the color inside the car . Oh sure. How about blue . Thats more cyan but. Jump in the back seat, jim. Act like my kids. How much longer . Exactly how they sound. Its got massaging seats too, right . Oh yeahhhhh. Oh yeahhhhh. Visit the mercedesbenz summer event or shop online at participating dealers. Get 0 apr financing up to 36 months on select new and certified preowned models. Some Companies Still have hr stuck between employeesentering data. A. Changing data. More and more sensitive, personal data. And it doesnt just drag hr down. It drags the entire business down with inefficiency, errors and waste. Its ridiculous. So ridiculous. With paycom, employees enter and manage their own data in a single, easy to use software. Visit paycom. Com, and schedule your demo today. Welcome back to squawk box. Baseball is also back. Dr. Fauci throwing out the first pitch at the opener. It is almost mean to show. We all want to sympathize with him. The ball missed the mark fans said the doctor didnt want anyone to catch anything thats the joke of it all. Others said, im glad hes not practicing he should be focused on other things from behind, it looked even worse. Im telling you, you think it is easy you are imagining the worst Case Scenario i think i could have gone through the wine up and it would have worked. I dont know there were people. Other people were saying he flattened the curve. I think 50 cent had one that was worse. There. Oh, boy. As for the game, it was the first inning a 96mileanhour fastball the yankees took an early lead i was watching because i had the nationals. At the end of the first inning, they stretched the lead and it stayed there in the sixth, the skies opened up the rain delay was called due to weather. In a later game, he was out. Coming up, much more i think the yankees and the dangers are good you cant hope for the worst team in the world. I dont know what the worst team is you cant win and make all this money. Should i start betting on all this stuff 20 on a game you know what. It was about 6 00 last night it was nice. If it only cost 20, im looking noerd forward to these guys in an empty stadium. Much more on the challenges. Ill help you. Ha. Ill help you lose. More on the challenges of professional sports. Well talk about the leagues restart in a few minutes the pull back in big tech after that incredible runup. Well talk about strategy, next. Youre first. First to respond. First to put others lives before your own. And in an emergency, you need a network that puts you first. That connects you to technology to each other and to other agencies. Built with and for first responders. Firstnet. The only officially authorized Wireless Network for first responders. Because putting you first is our job. For as little as 5, now anyone can own companies in the s p 500, even if their shares cost more. At 5 a slice, you could own Ten Companies for 50 instead of paying thousands. All Commission Free online. Schwab stock slices an easy way to start investing or to give the gift of stock ownership. Schwab. Own your tomorrow. Welcome back to squawk box this morning take a look at equity futures. Weve been modulating. Nasdaq looks like it opened and we had a pull back this morning in the nasdaq. That pull back in big tech stocks looking to continue this morning. We want to talk about that right now after the run up since march. Look at the moves for apple and microsoft. With us now, our guests. Want to go to you for a moment we heard news late yesterday that this hearing that was coming up this monday about some of big tech and the idea of breaking up big tech has maybe been pushed off for some period of time. Is there any implication or . A drama well see. I think the latter. Its like zuckerberg and bezos delay studying for a big test. We are hearing week of august 3 when this happens. It will be the same just delayed because of the Memorial Service for john lewis dan, does it matters to the stock market when you look at what happened here the sentiment changed in the past 24 hours. What do you attribute the dow draft on some of these now a bit of risk off trade microsoft reacted post quarter even though the massive results, the selloff. You look at tesla. Those are two key baro meters. The stocks have had massive runs still view the speed bump. Still now 20 to 30 higher despite some of the White Knuckles we are seeing two things here. Well get to dan primak. Do you think this was risk off because of the two hearings or Something Else i think risk off ahead of earnings next week hats off to microsoft and tesla. You go to amazon, apple, facebook are risk up i believe those are going to be strong numbers and i do see those stocks higher. In terms of the post hearing, it just kicks the can down the road it continues to be a risk between beltway and big tech battle Going Forward i want to get to that battle and the risk in a moment one thing i heard you just say is you think big tech, the faang stocks are up an additional 30 from where they are today 12 months from new . Our view is there is a lack of secular growth. Strong are getting stronger. The fundamental stores continue. It is a rerating of tech that is what continues to happen just to be clear, how much of this is a multiple expansion story and what is the upper limit on that . Versus a fundamental story thats a great question i think a lot of it have been a rera