To get things started off. The dow is down by 17 points but the s p and the nasdaq is there. Nasdaq is indicated up by 47 points this is after a strong month of july for all three of the averages the dow up by 2. 4 for the month. The s p saw its best july by ten years. It was up by 5. 5 . Thats nothing compared to the nasdaq today is the first trade ding d of august. Thats out at 10 00 a. M. Eastern time today also take a look at treasury yields you did see yields under extreme pressure or ten year closing at its lowest level since all the way back to march 9th. Right now it is a little bit higher 0. 546 stimulus talks in congress. Trump administrations officials and House Speaker nancy pelosi are set to resume negotiations today on their competing visions of a bill. The Sticking Point continues to be a boost set at 600 per week in march that lapsed on friday he and Speaker Pelosi are on the same page about the need of direct Cash Payments of 1,200 to most americans. Andrew. And big corporate story thank you. Over the weekend and continuing well see where this goes. And microsoft said it will keep working with the u. S. Government on a deal. Giving the companies 45 days to workout a deal we want to get straight to beijing where eunice joins us with the latest from there what is the take out on all of this. Theres a lot of back and forth here first ill update you on what they said because it has been able to confirm a couple of developments on its own. The founder of the company spoke to the staff confirming a couple of things. A u. S. Review determined that tiktoks u. S. Operations, the company was in talks with a certain Technology Company for a cooperation plan though it didnt name microsoft or say exactly what the plan was. It also added that dybyte dancei still exploring possibilities. Theres reports that it preferred an independent spin off. The Company Issued a statement and it believes that its a victim of a very intense political environment. Also underhanded tactics by facebook its chief rival in the u. S. Also weighed in as you would expect opposes any u. S. Action that discriminates against Chinese Company. China has been accused and does block and discriminate against a lot of American Technology companies. But what i think was interesting is the reaction on social media. Because unlike with Telecom Giant huawei where we saw an up swell of nationalism around the company, the reaction toward bytedances situation is very different. People have been calling the founder a trader, attacking him because he has, in the past, praised america a lot for its values, for its resilience, and so now people are asking oh, well, how do you feel now about that a lot of that is because the company made such an effort to try to present itself as a Global Company and so its being called a traitor for cutting off its ties with china a couple of questions one of the things that youre seeing happening on tik tok is influencers and people that use tik tok are telling people go find me somewhere else go find me on instagram or sign up and follow me elsewhere how concerned is byte dance and microsoft that the Value Proposition could disappear by september 15th which is the date that microsoft says its going to hopefully have a transaction by or at least continue. Yeah, bytedance has said anything about that. But from my understanding, the company is quite concerned about the survival of tik tok and made sure that in some way, shape, and form it will be able to operate. They havent said anything. We have been looking at this simply from the u. S. Perspective on things, what u. S. Regulators are doing. This is ruffled feathers in china. Chinese Officials Say no you cant sell this to a u. S. Company. Theres a fear of that. Theres two ways that people have been talking about this theyre pointing out the fact that here in china, a lot of companies that would be seen as tit for tat such as twitter or facebook are actually already not allowed in china what actually could china do and because of that there is concern that somehow china would take out its frustrations with what it sees as unfair and discriminatory policies by washington on other American Companies here. Eunice the other question i had relates to how china used microsoft as a potential acquirer as opposed to a potential spin off independently. If you were getting it picked off by google or some other company that i think china has a lesser view of, does it matter well, microsoft actually doesnt have a Bad Reputation here they do operate bing which is one of the few companies, one of the few Search Engines that i can use here whenever i want so we have some business here and arent necessarily seen as a bad actor but its right now, the focus on the Chinese Government reaction has either been a lot of criticism about the Trump Administration and its policies or on state media calling the u. S. Hypocritical or theres been a lot of focus on state media and its mainly motivated because they think that the us. Is concerned about a rise in chinas prominens in the hightech world and this is a disruption they have thats actually what washington is disrupted by. The reason i asked is because obviously peter navaro on television over the weekend suggesting that microsoft was in bed with the chinese already and that that didnt necessarily solve any of the situation and frankly to beckys point, i wonder if youre an apple on a day like today whether you view this and look at this and think that effectively if the chinese were to want to retaliate effectively against American Companies that dont do business what would happen to an apple if the chinese leadership were to say, you know what, you want to do this to tik tok, were going to do this to you. Any high profile American Company especially in the tech sector would be very, very concerned about what theyre saying its what they have been seeing built up over the past couple of years at this stage. So i would damage people over an apple or any other Technology Firm would be taking this into consideration about the possible reaction that they could get here in china but at the same time its not necessarily directed at them its probably something that they would be adding into their calculus. Always great to see you great to get all the perspective on the ground. We got a lot more on this story throughout the morning we should tell you, 8 30 a. M. Eastern time andrew, what do you think about the story in going back and forth and its an impressive maneuver that he was able to kind of talk to President Trump and figure through what might be a window but it still seems to me like there are a lot of potential risks. It would be great for microsoft if they can do this. If they can pull this off but i do think about Chinese Administration feel like they are getting shown up and looking for some way to go around and say no you cant you cant sell and you cant move the servers to the United States. My take is mixed. It could work for microsoft. It could be a great thing for microsoft. They could turn themselves into a consumer juggernaut and if they could leverage the xbox brand and minecraft and other things and make it work. Its not clear that they will be able to make it work they also had some failure in the consumer space being an example. The acquisition of nokia they have done a remarkable job working and having a core and a focus on the Business Enterprise customer and one of my worries is that owning a social media platform in this day and age requires a lot of attention. Washington and all sorts of things so what type of attention is that going to take in terms of management on the flip side, if theyre able to succeed, it creates competition to facebook and google and others. So many Different Directions i can see this go. Both in very positive directions but also i can see the challenges ahead as well again we will continue to talk more about the story throughout the morning i want to bring this story to you. Spacex returned to nasa astronauts safely yesterday afternoon. It marked the return of the United States capability to launch its own astronauts from its own soil they plan to launch astronauts every few months Going Forward paying an estimated 55 million per seat but this was kind of cool guys. It reminded me so much of i dream of jeanie, right it was amazing to watch its like back to the future or maybe the future i just thought it was pretty cool yeah. Me as well the pictures were pretty cool. Speaks volumes i think it creates a halo effect there elon musk now with spacex is in talks i believe with tom what am i missing, my brain is Going Mission impossible to do a movie actually in space tom cruise. Tom cruise. To do a movie in space which would be amazing an actual movie in space like tom cruise goes to space on a spacex like and its filmed in space. And like coming very soon. See i couldnt remember his name. I feel like a complete dope. Its early. Its early the brain needs time. Its early. This is old hat for you guys. Its true i have no excuse. All right lets move on to the next story. To alphabets google unit and security provider have struck a Partnership Deal that deal will combine googles nest hardware with adt installation and service and monitoring and will invest in a stake in adt each company will commit 150 million for marketing and product development. Adt will begin offering nest devices to its customers this year and expand its offerings in 2021. All right when we come back, dr. Scott gotlieb will join us to weigh in on the stunning surge of covid cases in july. Gold was up 9 in the month of july thats the best monthly gain since 2016 its also seeing the best five month winning streak since 2010. vo since our beginning, our business has been people. And their financial wellbeing. Its evident in good times, with decisions focused on the longterm. And crucial when circumstances become difficult. That continued emphasis on people our advisors, associates, clients and communities gives us purpose, strength and a way forward. Today. And always. You say the customers maklets talk data. S. Only Xfinity Mobile lets you switch up your wireless data whenever. I accept. 5g, everybody is talking about it. How do i get it . Everyone gets 5g with our new data options at no extra cost. Thats good. Next item, corner offices for everyone. We just have to make more corners in this building. Chad . Your wireless, your rules. Only with Xfinity Mobile. Now thats simple, easy, awesome. Switch to Xfinity Mobile and save up to four hundred dollars a year on your wireless bill. Plus, get two hundred dollars off when you buy an eligible phone. Welcome back to squawk box this morning coronavirus cases in the United States surging by 1. 9 million in july and thats more than double the number of cases in any other month. Yesterday the pandemic had reached a new stage in the United States and its much more widespread than ever to one that is both rural and urban and schools and areas where cases are surging to use Distance Learning instead of in person education. After young people piled into beach bars and authorities and others have been cracking down on parties as parties in bars and clubs remain closed. Theyre now reprimanding young people were ignoring young people and risking the lives of vulnerable populations and joining us as he always does is scott on the boards of pfizer and alumina and theres been a bit of a shift at least the interview with the doctor over the weekend about schools and so many businesses focused on the issue squarely of schools given its economic ramifications, doctor. What do you think is happening here. Yeah. A little shift in the tone i think it was an acknowledgment that in places where the epidemic is out of control where you have widespread transmission and really dont have control over the spread within a local community its going to be hard to open the schools against the backdrop again the situation where your local hospitals are overwhelmed and new cases are accruing on a daily basis. Thats a very difficult backdrop to open the schools against because the schools are going to contribute to some extent to the spread in the local community so the first thing that you need to do is get some control over this in the local community the challenge with the schools is that theres anecdotes on both sides of the debate some schools are opened it successfully the netherlands and germany and the schools dont seem to have been a low distance spread in the countries. Very strict measures in the schools in the outbreak and documented recently where there was a very dense outbreak. You have the situation in israel where they opened the schools and the schools did experience large outbreaks and became a focal point ofspread we need to look at these situations and try to figure out what went right and what went wrong in different situations and settings and one thing is when schools did open and they opened successfully, they implemented pretty strict measures in those institutio institutions. Let me ask you, maybe im asking a selfish question because its close to home, a major city being new york city but it looks like the northeast was doing a bit better at this point in the ball game the question is whether that can last when and if schools reopen and everybody really gets back to work if thats what we think is going to happen are you surprised. Not surprised at whats taking place over the past couple of weeks and months now in places like new york city where there is Public Transportation the reason i ask is people are starting to think more about the Public Transportation issue and surprising to me to some degree people Wearing Masks even on public transport seems to be working. Not that surprised. We have been talking about this a lot. Time for introduction is about ten weeks and once new york got their virus counts down very low and crushed the infection or connecticut did, there was going to be a period of time where it was going to be relative we thought that july and august would be in the northeast but the question is can they hold on to it or are they being heavily seeded and we dont know it and youll see the consequence of that sometime in september i think by and large these states have put in place good testing and good tracking and tracing so theyre going to be able to hold on to the gains and the bottom line question is the combination is targeted mitigation so you close certain High Risk Congress you try to move activities on the one hand so you do do target mitigationcombined with universal masking. Is that enough to keep the virus at bay it seems to be working in the sunbelt in terms of allowing him to get control over the end dpie manage epidemics. Can it keep it at bay. We may have found a happy medium between the lock downs and just spread. There was a raging debate on twitter over the weekend just talking about or i get spurned by an epidemiologist and doctor at Johns Hopkins suggesting we should allow people to start using the vaccines even before they go on phase three testing what are your thoughts on this we disagree we need to put these through proper trials. The bottom line is people are only going to be able to get one vaccine per season if they end uptaking a vaccine that wouldnt have been as effective, that would be a negative Public Health outcome theres going to be enormous pressure around the vaccines there could be a circumstance where one gets approved outside of the us. First theres pressure to do the same here in the United States and we need to complete the large pivot a, l trials and figure out which works best and which patients make sure that theyre safe. This isnt the long time to wait we should be able to turn over the data these trials should enroll fairly quickly given all the infection here in the United States and we should be able to get a read out earlier than we thought because there will be a lot of people that get infected. In the october and november time frame. Thats not a long time to wait on whether the vaccines are safe and effective and whether theyre working. Im wondering what you make of Major League Baseball and once we start to get back to reopening schools and things like that. Youre seeing increased outbreaks relative to whats happening in other sports. Major League Baseball is not whats your take from what you see. My take is this is highly infectious and youre right, Major League Baseball didnt do it the nba did. And the players and the players families for that matter especially when this gets to the clubhouse in close proximity it spreads quickly. It is a warning of what could potentially happen if were not very careful with the schools and the question is going to become when do you close the school were going to see outbreaks in the school and the question is what are local districts going to do when that happens . What youll see is unfortunately a lot of schools open and theres going to b unfortunately outbreaks in the settings youll see a lot of schools closed and its going to be hard to get them reopen we need to address that careful carefully. Theyll try to keep them open as long as possible i know that you have an oped in the wall street j