For a hundred reasons, but i think ive got the one that people understood is we bought l. A. Beach front, not seattle beach front. And ballmer gave out his email address to 4,000 plus fans that were in attendance. Were going to talk more about sports later in the hour. Also coming up, our dom true. He sats down with rory mcilroy last night. It was a busy need for rory pep appears on the tonight show. Tiger, will you be be my coach . Yeah. Im hitting the ball to find out for you. I love it. Youre my caddie. This is the best thing ever. Theyre in new york for the start of the barclays and the fedex cup. So a little bit of fun. Ive seen that interaction before. I guess he doesnt remember when we used to jump around like a monkey. Same act with microsoft and the stock prices stuck at 25 for like 16 years. If you buy a team, thats not really a new job. Its a team. His job is sitting on the floor and having starlets come up, dont you think . Yeah, you buy a team you want it to win. Hes a sales guy. Selling. A sales guy is probably you were a sales guy. I was. Did you do that . No. Hes probably the richest salesman in the history of the world. 20, right . I believe hes worth 19 and then thats tiger and rory. I hope thats not a true passing of the pa done yet. It almost looks like when you swing that hard and you buy a lot of the great players, boats just dont hold up. I remember when it happens, he said he was fine. He said his knee, too. Hes had a few things. And rory, he had an entire farm i think rory could have had a great well see. Well talk to is is his name dave . Dave greg is going to join us. The dow and s p 500 are now less than 2 off record highs. Futures this morning, theyre going to consolidate a little from yesterday where the nasdaq closed at a 14year high. Theres the s p back to 19 or whatever. So its up 22 points. 170 points. So yesterday for today, the test in the market will be the inflation data. The july cpi. Housing starts, both of those are coming at 8 30 eastern. And on the earnings front, home depot is out. I havent looked at where the stock is trading based on this. But home depoint reported im sorry . There it is. Its up 2. 41. Is that normally thats an alltime high. Must be close. Ill having a hard time become but 1. 823 r 2. 6. 4 . In the u. S. , total sales 23. 8. That was above the 23. 6 billion that was expected. And total sales up 5. 8 . And were above where expectations are at 441. And the seasonal business in the spring rebounded. It said in the Second Quarter, it was in the core of the stror and across all geographies, things are better. So i think thats probably an alltime high, although its not getting any help from my machine. Im not getting any help with my machine, either. Im trying to play the news edge game. News edge im fine on. The nasdaq closed about 4500 for the First Time Since march 2000. While many are cheering the pep rally, there are still many names that havent gone back to their highs. The story in usa today where i get my business info, it highlights ten big names in the nasdaq and it is still still surprising. Yeah. Did you hear the names . I would have thought that syrias xm would have been a net winner. Sirius xs xm has never been more than a penny stock. Which is stocking to me. Do you think why . Because of the Huge Investment made initially. Because there were too many shares. And then the other one, intel, its a social media world now. All the you know, the old stallwarts, its just not the same. Sitsco has never been back to 80. And still having trouble. It included how many layoffs . But this is totally different. Its new tech that has the nasdaq back where it is. Not totally, but think about google, apple. But apple back then, how much was that worth back then . Probably worth under 100 million. And just a series of guys that have no idea what to do. Next i had ran National Semi conductor. Shares are rehiring its former ceo, julian geiger. Aeropostale is trying to bounce back from losses. Do you think i would shop with my teenage daughter . You might do that. Would you like to do that . No, no, no, thats not what i why would i even think about enter ago teen store trying to i cant pick out. I cant pick out my own clothes . Would you be able to shop for i could. Were going to buy cargo shorts against my wife anticipates wishes. Cant you focus for paying for what they pick out . Thats my story. I will not even enter the i usually stay out in the middle part of the mall with the seats and starbucks and things like that. Because you know living in new york city, we dont have malls, we have big bizarres. Thats your loss, isnt it . Another retailer to watch this morning, urban outfitters, inline with expectations as vestors focus on a 10 drop in samestore sales. Sprint cutting rates as it tries to learn new customers, that Company Unveiling a new plan that unveils 20 gigabytes of data and up to ten lines for 100. Amazing deal. Sprint says additional plans are still to come. Tmobile has expanded its family plan. No gig is a word that means a lot . But what am i used to used per month . 5, 5, 10. And im using that mostly with texting . Usually the videos that you dont like to talk about. If you need to talk, you need to switch the set off. Youre missing my joke. Oh, no, no. Thats whats taking the the demand with. The. Sprint now making a plan for fighting the low wars. Becky and out and gets to spent this year. Home depot is going to help as a dow component. Everybody says, wow, oil should be much higher based on all this. Which tells me if there wasnt all this stuff happening, it would be lower. The tenyear yesterday, its definitely more attractive. At this point, its the current thing to watch. Because it matters what happened in items of the economy. But i look at that 1. 33 and the euro is getting into what seems like a more appropriate level. Its from the style of managing the economies over there. And then lets take a look at gold which also with everything happening you think would be here he is, as i said. Jim paulson is not here. Hes with love capital management. Thats not him. Thats him. Thats david beyonker sitting right next to me, deutsche banks chief equity strategy. Paulson, i hope given that you were on like a week ago, i hope you at least thought of Something Else you could say since we have faithful viewers. Theyll know if youre tuning in the same slop today. Its the same slop. Youve been right for that long, its okay. And i meant like youre on a food place. Whats the today, its come back again. It did not do the 10 pullback again. No, it hasnt, joe. I think heesh is my take, i guess. I think the economy has moved up to 3 growth. I think most investors think thats the case. And the question is, if you now have notched up to 3 , can you grow like that without any Interest Rate or inflation consequences . And if you can, thats nirvana. Thats territory. That could take a market move like we had in 87 or in the late 90s. Or are we eventually going to get some inflation and Interest Rate pressures and move the feds timetable up in which case, you know, we could still get a correction. I lean a little bit towards the latter, but maybe we have to break through 2000 first. I think were just one hot wage number away from a different mindset on wall street regarding whether good news is indeed i think you might be nirvana. Im starting to wonder about you, jim. And im tell you why. Well, i have for a while, but number one, we had the i like it. Yesterday it was said corrugated boxes indicating Nothing Better than a 1 economy right now. And then we keep looking for answers for why the consumer doesnt feel confident, why the consumer is not spending for us. You said because theres no money in the consumers pocket. So its starting to look more and more like the stock market is disconnected from the underlying economy. If corrugated boxes are only if its a 1 world according to him, then the only reason youre right about all this with the market getting higher and higher is because the fed is juicing it. Yeah. I just disagree. How do you disagree with a guy who knows about if its 1 is with whats being shipped in corrugated boxes and he knows what do you know . Whats your data . Well, i guess, i got the ism reports are all in the midst of the nonmanufacturing reports. Youve got the strongest job creation of the entire recovery in the last six months, the biggest drop of the Unemployment Rate in the last year. Are they all parttime and is the Participation Rate still going down . I dont think theyre all parttime. And i think that Consumer Confidence majors, you know, are close to the highest levels of the entire recovery. Theyre close to the highest level since 2008. You happen, i think that the good orders are showing some life. Bianco, does he know anything . Yes, actually, i think hes spot on. You know, the more guys that agree, jim, thats a bad sign. Dave and i together could fail. Its what weve been thinking for a while and certainly the whole year. He has investors, everybody seeming to em brice. Not quite as slow for the longterm, but 5 , 6 Earnings Growth over the next few years. Longer term rates have done nothing but go down this year, even as the labor market has improved. And the Participation Rate ticked up in the jobs report last month. I think thats more about the fed chair janet yellen shell highlight the importance of trying to get a higher Participation Rate, a move from parttime jobs to full time jobs and so forth this week from jackson hole. You can take the market right back to its top, maybe close to 2000, maybe above it. But i think you have a tough autumn with investors worried about longer term growth. When we see growth being help moving about quicker normal Interest Rates than weve seen so far this year. All right. So, you know, i have to disagree. Do we have any type of conflict at all, i have to provide all the dissenting opinions here. We have to think about that when we call you guys. We need david tyce on for every interview. I could disagree with this. Please, go ahead and disagree. No, im serious. We saw yesterday, they didnt what do you think of the International Paper said . That the real numbers are not and consumers . For this economy and everybody is more conscious about that. All the retailers, right . Why . Whats wrong with the consumer . Just havent seen as much of an uptick and the competition is fierce. Why . Why does that data point not make you skeptical about the argument that youve just made . Well, theres more to the earnings on the s p than just the retailers. And i have some degree of caution on but not just retailers. When youre thinking of boxes, not just i could point to other transportation, rail car data and international were going to have a segment on in the 7 00 hour about transport this morning. Yeah, good. Weve got to run anyway. Thanks, jim. Thanks, david. Looking at the paper this morning, you know, when the president does something that frustrates his own party, i always like him. This is when i go, you know, i like him. Do you see this . Harry reid and mitch mcconnell. Harry reid says we have to talk about this. And the president said, you know, harry, you and mitch work this out, okay . And he dismissed him completely and harry reid was seething for the rest of the meeting. You see . I like that. Here are these two clowns bickering again. You like the leadership thing. Its like, look, what are you doing in the senate . Who hired you . Didnt the people hire you . I have iraq on my plate, ive got putin on my plate. Handle it. So that i liked, that hes frustrating hes not frustrating me. Hes frut frustrating his own party im saying. And when he frustrates his own party, thats when i like him. According to that article. I think theres an economic piece to that that were not thinking about. I want to talk about that with you. Coming up, though, the most honest city in america find out if your home makes the cut. Plus, how one of the biggest hospital groups appears to have fallen victim to chinese hackers. Squawk box returns with that and a lot more in just a moment. Long time saturday night live announcer do know don pardo has died at 96. A hell of a number. We should all make that a goal. If we make it there, we may never die. He was the voice of news cast game shows and tv programs for more than 60 years. Jimmy fallon once said in his words, nothing is like the moment when don pardo says your name. We have a guy here that has a distinctive voice, too, that does all of our stuff. Fought, obviously, with the same cache orr don pardo. Lets talk about a different topic this morning. How honest on your neighbors . Joe . Conducting an experiment that it calls a National Honesty index here. People in 60 locations in 50 states were offered an honor system street rack for honesty. The company measured weather people paid 1 for the drink. 95 of people did. The most honest city do you want to guess . Honolulu. You were looking in the te teleprom teleprompter. Of course. For the second year in a row, 100 paid, apparently. D. C. Was the most improved. Its honesty went up 96 from last years rating. And the most dishonest state, providence, rhode island. No comment. I didnt think new york would be high on the providence. Providence. No. Given that politicians what about jersey . Newark. Jersey would be 100 . The home of big ben more than double the investment deals than new york. London the said to be better connected for air travel and has a time zone advantage over new york for doing business with asia. I think we should work on that time zone thing. Maybe we should try to get the politicians to pause. So just to change that, just to make it better for dealing with it is true, by the way. Thats going to be hard to do, i think. We could to do our show in london in the afternoons. I didnt like it when we did that in davos. Then you get done and its like 4 00. Its like, wait a second, ive just worked eight hours. In political news, the clintons are headed to iowa. Its Hillary Clintons trip back to the Hawkeye State since her loss in the president ial campaign. Its the unofficial kickoff for the season, according to politico. I never thought any of that was running. Turning up the camera is following them everywhere. Did you see the latest, though . Gotta have a g450. Nothing smaller. And youre happy for a bathroom in the lobby. She, it has to be the president ial suite when she goes to any of these places to give a speech. I saw the story. You didnt bring it up, though, and you dont look like you want to discuss it now. Im happy to discuss it now. What do you think is the appropriate rate that she should charge . I dont know. She already got in trouble for that. Clinton will be a featured guest as retiring iowa senator tom harkins annual steak fry. I dont think you should fry a steak. Community Health System says it was a victim of a cyber attack from china. The hackers stole Social Security numbers and other personal data belonging to 4. 5 million patients. Security experts say the Hacking Group may have links to the chinese government. Our friends. Coming up, home depot shares getting a boost this morning. Quarterly results beat the streets. Samestore sales were going to talk to an analyst next. As we head to break, here is a look at yesterdays winners losers. Good morning. Welcome back to squawk box here on cnbc. Im joe kernen along with Andrew Ross Sorkin. Becky is off today. Why are you laughing . Luckily, im able to prevent certain things from happening around here. You know, ive got a new guy in charge who understands some of this stuff. Were up 28 points on the a great day yesterday. Especially if you were playing the nasdaq. 14 years later, march 2000 . Its so high now. Look around. This is the nasdaq 5,000 building. We thought we would be at 10,000 by the time we built this. Comcast built this building finally. It is a beautiful structure. We moved to msnbc, but we have this beautiful building, but we were flush. Those were flush days. And were still not back to where we were. Were kidding when we call this the nasdaq 5000. But its nice to be at 14year highs. It is a thing about building stadiums and building at the top . I know. Well, i know. It was a pretty good sale at that point. Lets talk about building things this morning. Shares of dow component home depot on the rise in premarket trade hitting an alltime high. The Home Improvement retailer hitting shares 7 cents above estimates. Revenue came in above expectations. Home depot increasing its earnings forecast for the year. So a lot of good news after a strong rebound in the Spring Season failed. Brian nagel, hard line analysts. Good morning to you. Help us through the your biggest surprise, lets say, for all of this. I think you summed it up pretty well. This is a really good quarter. The number that most investors will be looking at here initially will be the sales number. In the United States, a 6. 4 comp that was on top of comparison last year. It shows this business rm did rebound as the weather improved. Always trying to figure this out about home depot, is this a bellwether for the economy or should we take away something away the this beyond the operations that are home depot or is it home depot specific . Its both. Its both. Its definitely just given the sheer size and given the sector, its an economic component to their results. But i also think home depot, its an interesting question. We look over the last couple of months, there were some negative preannouncements out of our smaller hometype companies. And then to hear home depot report today, they show very good results. That demonstrates how good of an operator home depot is. Given that they Beat Estimates and they beat them handily, what did you miss . We were positive going into this report. They beat our estimate on the sales line. And home depot also, to their credit, controlled expenses better in the quarter than they expected. You have a 93 cents target when they change that . Well see. Were digging through the model right now. This remains one of our top picks in the retail sector. Well see what if you had a buck to invest in home depot or a buck to invest in lowes, is it clear to go to home depot. Home depot is