Giveback in the markets, happening as the tenyear yield was climbing and that was concerning a lot of watchers of the market. The dow futures are indicated down by 70 points. The s p futures are dune by about 8. 5. These are some bigger movements because the dow was down by about 25 points yesterday. Giving back all of the gains that had it had made this week. Gains have been modest and this morning you see some red arrows. Didnt get out of hand yesterday, got down 50, 60 points a few times that i saw. And it closed down a little. Pretty good numbers, though, yesterday, to be down. And i dont know if there is anyone today reporting that could turn that minus 70 around at this point. I dont know. I dont know. Would have to be a good report by facebook was really good. And it makes sense because no one likes likes the stocks anymore. The shares traded higher after the earnings and revenue beat the street. The social network reporting an uptick in daily visitors to its service, also saying that it can thrive on smartphones and tablets from some of the metrics that it saw in terms of mobile. Well talk to a facebook analyst in about 20 minutes. I would think twitter, if it were public, given the whole weiner thing would be there is so many uses for twitter now that i hadnt interactive uses. And in weiners case, the apparently in terms of time and 130 characters, he didnt need a lot of time or that was in drudge yesterday. I missed that. Can you imagine in phone text, just where the person on the other line hangs up and goes there was nothing there for me. Hes, you know, hes sleeping already with a cigarette and there is nothing there this story has gotten who are you . Youre julio caesar peril. Your last name is peril . This is the carlos this is the things that i wasnt here for. Right. Im sandro you insist on having a lot of clothes on. I happened to come in this way, the show started if you think you look good that way and makes you feel more confident, thats fine. I can take no, no, no. I dont think we need you to have less clothes on. People want to concentrate on business. Youre the one that brought it up. I know i did. It only has been 20 years that we have not worn jackets, but you come on as a guest host and a guest person. Even chillier out today. It is. It is nice. Thanks for bringing some decorum to the table. I get those notes because i wear a jacket. Do you know that . People out there like timing, oldfashioned people. Corporate news here. Michael dell sending an open letter to dell shareholders yesterday. Yesterday dell and silver lake raised their by a dime. Ten cents. Im laughing at that, to 13. 75. Dell says the latest offer is, quote, in the best interests of the company and our shareholders. What does that say . Keep the king. They got a nickel and five pennies. He adds the decision is now yours. Im at peace either way and i will honor your decision. Lets check on the markets this morning. Already saw the futures down. They have confounded a lot of people and there are interesting the lead editorial of the journal is very interesting. You know this inequality, this income disparity, if that was obamas biggest concern, it hasnt really been going the right way. As the stock market has gone up, as housing has come back, the middle class has gotten even worse off over the past five years and the rich are doing much better. And the journal makes a point that before you start dividing things up more fairly, you should try to grow the pie. Just read the wall street journals lead editorial. You disagree with everything the journal said. I dont even want to hear no, no. Lets look at the oil board, also not helping the middle class at this point. Yesterday was down 2 , which was its biggest drop. Yeah. I like the Larry Summers, janet yelin im so behind Larry Summers now. Because the left is so agitated about this. And all the on the progressives, even going back to what he said at harvard, which was so misconstrued and mischaracterized about women where the idea of the debate that day was to Say Something crazy that we can talk about. But they just ran with it, the idea that these are two people i know and theyre both, i think, brilliant and qualified. And what Larry Summers may or may not have said at harvard, almost irrelevant in my opinion. The other thing that the far left hates is that he was hes known as someone that was involved in financial deregulation. And it enabled a lot of right. Shes a yale shes never really been in private practice, right . Has she . Shes a yale educated and complete liberal. For obama, it is a clear choice. He should pick yellen. I think janet was a hawk in the mid90s. Clear need for using him. Dont have to hang on her. You think that too. I dont know if it is relevant. Im telling you what i think janet thinks. I know you are. But youre not telling what you think she thinks in a way that im telling you and she thinks this. I agree with her, but keep listening to the other side and i dont hear a good argument on the other side. I keep listening. I keep asking the questions. Im with you. Lets just do it forever and go to the committee decided that tapering could come sooner rather than later. Is she not in in thinking with that consensus. You think shes an outliar . I think shes less concerned about the costs of qe than probably your average f omc member now. Lets see if we argue it out. Lets see if the economy gets Strong Enough to where they hit the targets they set, unless they change the target. I think theyll get out. We have the discussion that somebody asked me about, like what would happen if unemployment stayed at 7 forever. I think the fed would change its view about why unemployment is 7 . They would have to change the views and say, you know what, this is a structural problem, that should be dealt with by congress and the president if it can be dealt with at all. It is not a matter of the fed. Right now the view of the fed is this is something we can help. And it is not a permanent change in the economy. Thats important. And if somebody wants to come along and make an argument, some have, and say, look, your target is wrong. 6. 5 is the wrong place to be. Or wrong thing to aim for to raise rates. If you want to go back and talk about Anthony Weiner no, you lost me already. Well go to the tenyear note. What i was looking at was on google today, honoring Rosalind Franklin who missed out on the nobel prize. Her work they wouldnt have been able to figure out the double helix without her and she never won the nobel prize. Theyre honoring her. Thats actually where is the tenyear . We get above 260 yesterday . No. Almost back. Almost there. All right. Carbon was pointing out, you get to 2. 61 , thats a red flag. Back to 2. 69 , look out. Thats where bernanke was kind of turning and talking the market down before. And the dollar . 135. And then gold, which is showing a few signs of life, but well see whether this is a move back to the high end of a downward band or made of sand and is ready to maybe do a little bit better. Lets talk about global news as well. At least 77 people are dead and 131 are injured after a train derailed in northwestern spain yesterday. The governments working on the assumption it was an accident. An official says that speeding was a possible cause, but Brian Williams described this scene as danteesque and horrific pictures and video coming back out of the area. Time for the Global Markets report. Karen tso is standing by in london. We have a different tone across markets today than what we saw yesterday. Europe closing an eightweek high in trade, but now we have red across the screens. And a bunch of Different Reasons impacting the markets. Earnings out which have been negative. On the macro side, the data is positive. Stocks are just not responding. The stock share 600. The benchmark index down 1 so far. I want to show you some individual indices. A lot of pain is coming through for the German Market today and across the charts. In negative. The ftse is down just over 1 . Second quarter gdp coming in on quarter. 1. 4 on year. These numbers are strong and also in line with consensus, but the market hasnt responded. The acceleration in selling occurred after the numbers hit. The cac in france down by a similar tune. Xetra dax has been the weakest performer, despite the ifo, which is a take on business sentiment, coming in positive as well. It has done nothing for confidence here today. In terms of the other data, we had the Unemployment Rate from spain hitting at 26. 3 . 26. 3 in the Second Quarter. This is an improvement on the 27. 2 that we had in the first quarter. The market just slightly underwater, down. 2 . Let me show you a couple of the earnings in focus today. You can see this split reaction across the board. The fragrance maker givaudans profit jumped 36 in the first half, boosted by lower financing costs. Also a bit of tax rate helping out. Randstad, a company in the staffing business. A snapshot on how the employment picture is playing out. It had a healthy 73 rise in its Second Quarter profit. The dutch Staffing Firm says the result is due to lower operating costs, not the negative ones. Basf missed Second Quarter expectations and achieving four year numbers look to be a challenge at this point. The concern was the warning about the growth out of china, heard this right through the earnings season so far. And Credit Suisse numbers disappointing today. 2. 8 lower is how the stock is trading. It reported Second Quarter net profit of over 1 billion swiss franks compared to 788 million franks over the same period a year go. It basically extracted costs out of Investment Banking business, but the reaction has been there is no wow factor because if you match this up against the u. S. Bank numbers, it didnt stack up as well. On the bond markets, we have seen some Movement Across the curve today on the back of some of the macro data. 2. 38 is the yield currently. On Foreign Exchange markets, the sterling has been pushing lower on this trade as well. Were at 152. 80 to the dollar. Back over to you. Karen, thank you. We appreciate it. Were going to talk now about Goldman Sachs and Fabrice Tourre has taken the stand in his trial in new york. Accused of secretly helping paulson and company construct a 2 billioned deal that others could bet against. And they could bet against. In his testimony, he said an email he sent to a key participant in the investment was inaccurate. The email is in question is a note that tourre sent to describing what became abacus, the name as you recall, and sent it to an executive at aca capital holdings. Affordable care act, capital holdings, probably not. The s. E. C. Claims the firm was thats the same name, isnt it . See it, right . Yeah. Foreign company . There are a lot of foreigners that wanted to bet on they wanted to bet on they were excited to keep to stay on. Take your money if youre willing to give it. Well, arrange both sides of it. Lost money on that deal too. Werent they on the goldman . I dont know. But this whole thing. Well see what happens. In washington news, the Senate Approved a bipartisan deal on new federal student loans. The bill now moves to the house. Also on capitol hill, the house narrowly defeated an attempt to drastically curb the nsa surveillance program, which collects the phone records of millions of americans. Lawmakers debated the balance between privacy rights and government efforts to find terrorists. The measure was defeated following lobbying efforts by the Obama Administration and house members on the intelligence panel. They argued the program is crucial to National Security. Chinese authorities have charged a well known former communist official with corruption. Eunice yoon joins us from beijing. This say big story, eunice. Definitely a big story. This man, his name is bo xilai, he was one of the most powerful men in the country. A lot of people believe he was going to be one of the next leaders of china, but he and his family became embroiled in a political scandal that led to his downfall and also exposed some of the political risks within the communist party and alleged corruption. Today we learn his indictment was filed in the eastern city of jinan, formally charged with abuse of power, bribery and corruption. We know there is going to be a trial. No specific on a date, but most people here believe that it is going to be sometime in august. And what was interesting is that this announcement was widely anticipated, but the timing of it was really interesting. A time when were seeing the new leadership really ratchet up its campaign to fight corruption, were seeing that in the Health Care Industry here, and also the government just recently announced its plans to cut back on spending of government buildings. So right now it looks as though the government really wants to present itself as a regime that is different from the others, administration that is very clean, however, at this stage, we dont know how much of this action is for show, or how much is an actual effort to really clean up the governments ranks. Guys . All right, eunice, thank you very much. Eunice yoon. When we come back, well talk to a facebook analyst on the outlook for the social networking giant. Shares getting a big boost after yesterdays quarterly report. You can see up 17 . First, though, squawk sports news. Chicago has approved a 500 million proposed renovation of wrigley field. The storied home of the cubs will add luxury boxes, a nearby hotel and eventually a jumbo outfield electric sign. This news comes after months of negotiations, but a possible legal challenge by rooftop owners, that still looms. [ male announcer ] if you cant stand the heat, get off the test track. Get the mercedesbenz youve been burning for at the summer event, going on now at your authorized mercedesbenz dealer. But hurry, offers end july 31st. Help the gulf when we made recover and learnd the gulf, bp from what happened so we could be a better, safer energy company. I can tell you safety is at the heart of everything we do. Weve added cuttingedge technology, like a new deepwater well cap and a stateoftheart monitoring center, where experts watch over all drilling activity twentyfourseven. And were sharing what weve learned, so we can all produce energy more safely. Our commitment has never been stronger. Welcome back. U. S. Equity futures now down 58, making headlines, carls jr. , cke, is reportedly exploring sale of the fast food chain. Postponed its ipo last year. I know carls well, it is a there was a carls restaurant initially. It is not carl jr. s, it is a carls jr. And then a smaller one. Ruths crist. What . Ruths crist is the steak house with that. Yeah, yeah. Yeah. Thats a different carls jr. Is a carl had a bigger and then a smaller one. Ever been to one . No. Out in l. A. , had a Bacon Cheeseburger with an onion ring they put on. It is good. Pretty good place. Earnings in from star wood hotels. Six cents better than expectations, revenue inline for the year, 2. 81 to 2. 88, and low end matches the estimate. Thats not bad. And they are the owner of a lot of well known teams like westin, i think st. Regis, high end. And, yeah, used to be barry was there, now fitz. You want to do the National Weather forecast . I would love to. I wonder who is here . Lets get the National Forecast from the weather channels reynoldswhats going . How long can you keep the breeze going on . I heard joe talking about the burger with the onion ring on. Earlier in my career, in my early 20s, i was in california, i went to carls jr. It was breakfast, young and stupid, you can get away with that kind of stuff. Fried zucchini. While youre doing your report, wa want to see what you would be as carlos danger if you tweet a selfie. Okay, you deal with that, ill deal with this. A little more of the breeze in parts of the northeast, pleasant for you, so different from what we had a week or so ago. Chance of thunderstorms along parts of the gulf coast. Storms for you over parts of the four corners and moving into the front range of the rockies. What we can expect is very nice conditions to continue through parts of the ohio valley. Watch out for the storms. The storms in parts of the eastern seaboard, could give you a few backups, especially by later in the day in new york city. Minneapolis, scattered storms by midday and into the afternoon may give you a few backups too. But atlanta, hartsfield jackson, no problems whatsoever. Should be fantastic. Back to you. It hasnt generated yet. Here it comes. I put reynolds as your first name. Thats right. No danger. No carlos danger. Alfonso kill. Perfect. Alfonso kill. If you would prefer, let me try wolf reynolds. That might be thats almost cool enough to be the name itself. It really is. You can interchange the two. Like ross westgate. Manuel kill. Compared to other cutins you do, do you look forward to this one or where does this rank . I do love this one. Because you never know what youre going to get. What is even better is you have no idea what youre going to hear before you come on. I look forward to it. You know what else, reynolds, you know the english climate change, the guys that follow it, the met the theyre the ones that know what is going on. So they addressed this pause, and their post lating it is in the deep ocean, there is a sink area absorbing all the heat that isnt being expressed in the atmospheric co2. Thats what they have come up with. Thats where it is. But can you explain one thing to me. If every one of these weather events in the last five, ten years is attributed to the warming and really was a pause, how can it be attributed to the warming when it was occurring in the deep ocean, not in the atmosphere . Can you connect the dot oz on that to me . Not in seconds. This takes hours. Oh, you would be able to explain it . You would be able to explain it. Okay. I didnt know. If you all right, never mind. Im not going to put you on the spot. Ill expose myself to the environment environmentistas. Theyre getting the doughnuts ready. It is a free fat. It is a free punch. Doesnt help anyone. With that disgusting tho