or flooding banks with appreciate liquidity. back here in the u.s., today president obama, he's calling for a one year extension of bush era tax cuts for families earning less than $250,000 a year without congressional action those cuts expire on january 1st. now to michelle who has both the morning's top corporate news. >> dow alcoa reports. estimated to be up 5.8%. if you remove apple and bank of america, even if you just remove bank of america growth is seen dropping by .4%. if you're wondering why boa, they had a bad quarter compared to a year ago. farnborough air show is under way in europe. meantime boeing is said to be considering a new competing verge of its 787 dreamliner. boeing ceo jim mcnerney will join phil lebeau live at 7:00 a.m. eastern time. thompson reuters is buying fx alliance. heineken will delay investments in brazil after the government raised taxes on beer. starting in october beer taxes will be 28.8% up from 17%. brewers are already suffering from costs. joe, say it ain't so. >> it is so. also on our radar this morning lawmakers returning to capitol hill from their summer break. among the items they will be dealing with in the coming days, tax break proposals and plans to hold votes on repealing the health care overhaul bill after that supreme court decision. it will pass in the house won't pass in the senate. should be fun to watch though. thousands of internet users may not be able to get online today because their computers are infected with a rogue virus tied an online advertising scam that took control of half a million pcs. it's happening, it should have happened prior to this. the original terminator, it all started in about 2012 or 2013. we're right on track. >> who is behind this? >> cyber systems. the machines. >> i thought you have been to code academy. >> write code just to have fun. you go to bed, bath and beyond. but if i do something i'll write some code. whether i use a four tran -- of a you ever written a line of code? >> yes. >> in high school or college. >> pascal. >> high performance pascal? >> rubion on rails. >> governor of or senator from florida. >> no. basic. do you remember basic? >> cobalt. >> cobalt on my commodore. >> the federal government had been working for no, sir repair the damage at midnight the fbi began shutting down the internet servers that were set up as a temporary safety note keep infected computers online for the past eight months. a court ordered the agency to keep the servers running was not renewed. >> if you give executers too many ainntibiotics. >> do you know how to set the font so old people can see? >> i can't get to my computer. >> you can't get in? >> no. >> they lock you out. >> they lock you out. >> that might be intentional. when you were talking earlier, did you the 250, so obama will come and say extend the bush tax cuts. have you not seen this movie before? >> yeah. >> and the republicans will say no. we dwoint if it's not for across the board. so here we are again. but we're in an election year where they will both posture on the two sides. >> is there even a bracket for 250, would have to have a whole new bracket? >> i don't know. the "journal's" piece there's a lot of red state democrats that are feeling the pressure and waffling a little. we'll do it again. anyone thought that we were going get beyond -- >> when you start to add it up, they put that chart comparing tax rates under obama's plan versus tax rates under romney's plan, the difference is dramatic when you start adding the whole medicare tax, health care reform. >> we'll talk to simpson and bowles at some point this week or becky is. with buffet and simpson-bowles. i don't know. >> we'll get it solved. give those two guys a chance they might come up with something. >> they take it down and get rid of the deductions. >> what's amazing everybody in washington says they are very comfortable with take it down and getting rid of the deductions but nobody in washington manages to bring it down. >> the effective tax rate is so low so there's no incentive. >> it's completely different. >> you talking corporate the reason there's no incentive the effective tax elevate lower than the rate than simpson-bowles or anybody has come up with. >> that's a false narrative. in other countries you have deductions. you start with a loefr overall rate and add the deductions. we're up here at 35. you think it's more like 22 or something. other places they are at 15 and more like 11. >> to me the issue is you look at apple, you look at some of these other companies that are paying a global tax rate of 9% or 10%. how can you capture more revenue out of a company like apple even if you drop the rate to whatever number it is. >> corporate tax rate, it's not corporations. >> they are composed of people. right? i mean they are not -- buildings can't run a corporation. >> he's speaking of mitt romney. >> the supreme court ruled that actually corporations. >> we haven't seen each other, so much news. >> what do you think of the libor sex scandal? >> there was a libor sex scandal. by the way, duke energy deal. which is a whole other drama on friday. i watched you guys on friday morning with the jobs numbers. >> i was already not a big fan of rogers. >> jim rogers? >> commodities. he's long. he's short. he's constantly on tv on financial channel. how will he run utility this jimmy rogers. he should not be running the utility. >> and make believe every week as well. >> exactly. i can't see anything. >> my computer is a mess this morning. >> i got this rogue virus. it's better, would you not rather have your computer get a rogue virus than yourself? personal wise. if you had to pick? >> if i had to pick i would go with the computer. >> we've gotten some economic data out this morning. china, there's talk of -- some people saying deflation for china believe it or not. inflation numbers came out. spanish yields are above 7%. dow jones industrials average open lower by 43 points. nasdaq open lower by five. s&p open lower by four. let's show you what's going on with chods. price of energy is hire. wti is up seen is brent. wti is at 84.87 a barrel. brent is at 98.64. heating oil at 2.72. gasoline at 2.73. ten year yield is up 1.517%. a gain of a third of a point on friday. we saw it climb by more than a point. incredible move. look at that yield. 1.51%. show you what's going on with the dollar. dollar is weaker across the board less than 80 yen per euro over dollar. we're below a buck 23, 1.2284. three session's ago we were talking about 1.25, 1.26. >> a week from friday. >> where you going? >> italy. >> nice. >> france. >> nice. >> and it's going a little cheaper. >> a lot cheaper. >> cheaper to go over there. >> because it's so deceiving. oh, that's roughly $10. no, it's $15. the price of gold. >> did you watch any talk shows yesterday? >> gold 1582. >> die not. i was on an airplane for most of the day. >> i was hearing on one of the shows steve rattner was talking about how his firm had -- i don't know, i haven't confirmed it -- his firm was more ethical than bain. >> the firm that took an hour and 15 minutes away from my life because i had to watch a movie that i spent a penny for. >> this was the movie -- >> have you ever seen "chooyh"? >> no. >> don't bother. >> he implied romney was less ethical. >> barclays. >> i don't remember bain ever settling for, how much was that settlement? >> over a movie named "chooch." one of the pays he was going to fund this really crappie italian mob movie. >> i was about to tell you during the break we'll pull the tape. >> we sometimes play other networks sunday programs. >> not a good time to do that. >> it's time to go across the fond get the global markets report. kelly evans is standing by in london. and kelly, tell joe how well he'll do on that vacation? he's using pounds. >> yes. yes. your dollars will go further in europe than britain. if you're on this side of the atlantic pop by the studio, say hi, hang out here a little bit. >> i'll wave as the jet goes by. have you been on the i yet? so scary. how far done that thing? >> let me just get to the global markets. i'm about to trip over. i can barely hear you guys. decliners outpacing advancers, 8-2, that's where we are, 4-1. stoxx 600 down by 1%. you wouldn't expect 2.2% year on year inflation to be a figure to hear out of china but that's where we stand. even though that could open the way for the central bank toez more it's not helping markets and get a bid. in spain this is the one to watch. ibex down 1.68. dax down by a quarter of a% and ftse 100 down by half a percent. the euro group is meeting today. this is the group of europe's finance ministers. we don't expect anything. we have some headlines that they might give spain an extra year to meet their targets. spain's ten year is at 7.08%. cbs spread are moving closer to that base level. italy showing strain. 6.126. france and the german bund getting a bid. germany just want to mention this, joe listen up, they just auctioned off six month bills with a negative yields. i believe it was negative .043%. if you're wondering what's going on with oil prices. brent, keep in mind we could be hours away from shutdown of norwegian production over a standoff on pensions. 62 is too late to retire. euro dollar down by .1% of back to you. all right. kelly, i was worried about you for a second. you almost bought it there, didn't you, walking along there? that i've not seen. >> amazing i haven't done it yet. >> we haven't lost anyone yet. we're off practice prancing around. it's hard to constantly be walking all over, pointing at a wall. >> i don't know how you do it. >> my heels. we're going to give you, tell you what's coming up. meanwhile are you able to -- whoa. >> my hair is big today. we'll take it down during break. >> somebody is going whoa -- you're going like this. so it's heavy. you noticed it first. >> yeah. the volume -- i amazing. that's how you get your volume. >> i have to work on volume right here and here. coming up fortunes list of the world's biggest companies. which names make to it the top? find out next. first, those a hollywood passing, ernest borgnine died. he's a guy i thought he was guesting up there 10, 15 years ago and he was. he was born like in what 1917 or something because he was 95 years old. best known as the screaming naval officer in "mchale's navy" and beating up frank sinatra in "from here to eternity." he played a love sick butcher in "marty." sounds like a horror film. that's what happens when a butcher gets love sick. today he would cut somebody up. ea ernest borgnine of 95 years old. t ends july 31st. we take it on ours. this summer put your family in an exceptionally engineered mercedes-benz now for an exceptional price during the summer event. but hurry, this offer ends july 31st. welcome back. time for today's national forecast. alex wallace joins us from the weather channel. i'm sorry. it's habit, you know. alex, go ahead. >> good morning to you. as we head through this morning we're finding ourselves a little wet in the mid-atlantic. d.c., baltimore could be a little bit of a slow go for that morning rush with all this activity moving its way on through. we'll eventually see a lot of these showers and storms slowly sag towards the south and the east and that's going to be our threat zone for at least potential for severe storms. spotty in nature out there with damaging wind and hail and locally heavy rain. from richmond to raleigh, charlotte back to central sections of tennessee that risk will exist. good side of seeing that rain a bit of a cool down for many. remember last week massive ridge of high pressure in the eastern half of the country. keeping things hot. we have a trough developing in the east and allow cooler air up in canada to lied southbound. so for us in the middle of the week we'll enjoy temperatures in the 80s as opposed to the hundred. d.c. by wednesday 87 degrees. back toward the west still july hot at 90 at indianapolis but it has been hotter and even into parts of the south finding mostly 80s in play from nashville towards montgomery up to 90. cooling down in the east but in the wednesday we're heating up. sort of flipping things here fours. in the west the ridge is building. temperatures here in the hundreds. no stranger in vegas. boise getting up to 104. tuesday widespread hundreds to deal across the west. one area gets a bit of heat relief. another area not the case. back to you. >> thanks for that, alex. we have a first on cnbc. "fortune" magazine is unveiling the list of the world's largest corporations. top ranked company royal dutch shell. the executive editor is here with a closer look at the list. let's go through it. take us through the top five and you can do it like letterman from five to one. >> let's go one to five. because it's the story of big oil as usual with the list. number one, royal dutch shell. number two, our friends at exxonmobil. number three walmart. number four bp. number five sinopec. with the exception of walmart all energy companies. >> who is off the list. who has fallen? who has gained? >> not surprisingly we saw apple jump 56 spots on the list to number 55 this year. that comes so expense of the historical stalwarts in the mobile phone business. alcatel lucent off the list this year. meanwhile you see companies like assar off the list. >> if i were to invest in the top ten companies i would be down in a big way, right? >> right. but this is a list of -- it's a snap shot world. >> and revenue. not a market capitalist. >> what i'm suggesting if this is the snapshot of the world we have problems? >> yes. financial services represent the number two category on the list, all the big banks are down in the rankings. >> how much did revenue grew? >> to $29 trillion. up 13% over 2010. and profits grew 7%. >> i noticed volkswagen number 13 on the list? where was it last year? that seems high on the list. am i crazy to think that. >> they have been always in the top 50. toyota is in our top ten. always been a top ten. >> historically, one of the things that's interesting with this list is that you show the revenue compared to the profit. >> yes. >> where is the profit on this? how would profit break down on this list? if we turn the whole list around what would it took like? >> as a profits list you would have different companies on the list. i think, you know, the companies that are the world's largest companies by revenue are not necessarily the world's largest companies by profit. >> what were you going to say? >> you know, depending on how you want to rank tight as a percentage of revenue. >> exclusive. >> come on, it's early. >> profits don't necessarily -- >> profit margin. >> okay. >> i'm just thinking. >> of course a company like exxonmobil has huge profits. that company would rank at the top of the list along with bp. the oil companies do have huge revenue and huge profits. >> that's trust technology. apple, for example? >> right. for example you have these enormous technology companies like the ones i mentioned that have been struggling like rimm, like nokia that have big revenues but the profit picture has been -- >> different question. we saw the jobs report on tri-. one of the pieces you point out in the report relative to all of this why hasn't hiring picked up? >> if you look at the cumulative global 500 it ememploys 16 million people worldwide which sup is up 5%. the growth in employment is not matching the growth in profits or the growth -- >> historically, did it? >> historically, again this is a worldwide list. you have lots and lots of companies, particularly in european countries but also in latin america that continue to see employment gains and they weren't necessarily matching -- it was not necessarily dependent on revenue or profit. now around the world everybody is looking to maximize their, maximize what their employees are doing. so what you're seeing is huge efficiencies across the board. in other words, squeezing out more. >> this list, do you do anything differently about this list than if i were to run this myself in terms of looking straight up on revenues? is there some weighting going on that i don't know about? >> we don't do any weighting but we look at revenue dimply than sometimes the ways the companies report them. particularly the thing that we do that's an added value we insist on audited information from the chinese state-owned enterprises and other companies that don't provide that. >> how accurate do you think the numbers. >> are >> numbers are pretty accurate sfwheem take that to the bank. thank you for joining thus morning. >> coming up earnings, europe what else can the bulls be worried about this week. we'll find out. first sports news i watched this yesterday. i got to say, andy, what a great speech. roger federer back on top in the tennis world. imwill third seed beating andy murray. listening to the brits still talking about the world cup the last big thing that happened in 1966 when they beat germany. he tried hard. he, unfortunately s-in an era that includes federer and nadal. he hoisted the winner's trophy for the seventh time and 17 grand slams. number one again. there's his twin. the first trade route to the west, the greatest empires. then, some said, we lost our edge. well today, there's a new new york state. one that's working to attract businesses and create jobs. a place where innovation meets determination... and businesses lead the world. the new new york works for business. find out how it can work for yours at thenewny.com. ♪ ♪ ♪ [ male announcer ] what's the point of an epa estimated 42 miles per gallon if the miles aren't interesting? 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[ male announcer ] solutionism. the new optimism. ♪ good morning. welcome back to "squawk box" here on cnbc. i'm kerr kerr along with andrew ross sorkin and michelle caruso-cabrera. becky is off today. i'm going to go with joseph richard kernen today. >> jrk. three namers. >> we got michelle caruso-cabrera, why not. you get to talk about yourself one extra word. >> we get more space. >> do you do rich? >> joe rich. >> you leading to dick? >> i was not. i was not going to. i was not headed. >> i thought you were talking about his tax bracket. >> another way you can go. >> i have a friend his name is rich and his whole life is dick. >> what's the big deal? >> i don't want to out him making headlines, europe's regulatory commission looking for criminal sanctions against libor abuse. clamping down on insider trading and other wrongdoing. political fight in uk over the fixing of interbanking lending rates is deepening this weekend. confidential advice from the ubs to the previous labor government was published with the suggestion showing,000 reduce the key libor rate at the height of the financial crisis in 2008. like a good idea. the conservative led coalition has tried to pin part of the rate fixing on the go