Economy in this fed beige book compared to the previous beige book. The survey says five of the 12 fed Bank DistrictsEconomic Activity was moderate in june and early july. That compares to seven fed Bank Districts that reported moderate Economic Activity in the previous beige book and this time two districts reported a slower pace of growth compared to just one district reporting that in the previous beige book. Now we doubt this will have a significant enough, this is significant enough to have a change in fed policy. You can bet that the taper will likely continue at the july meeting at the end of this month as the beige book also says that labor market conditions, which is what the fed real watches, continued to improve. Melissa. Dierdre thank you so much. On to the big story of the day, time warner rejects twentyfirst century foxs 80 billion takeover bid. Time warner deciding it was not in the best interest of the company or shareholders to accept the deal. Twentyfirst century fox is of course the Parent Company of fox business. Joining me our very own charlie gasparino. We have adam shapiro along with James Freeman from the wall street journal. Charlie, i will start with you. Youve been reporting a lot on this. I go back to what i said last week. If Rupert Murdoch made a bid, it would be rejected. And there is, if you go to Silicon Valley right now, all you hear is talk about content. The googles, you name it, any Major Company with cash on its Balance Sheet wants to buy content and i said the minute time warner broke up, it was in play. I think this is not, listen, if you know Rupert Murdoch, i know you want to get to him, let me make the point. If you know Rupert Murdoch, he is one of the best in business bidding out these things. He knows what he is doing. Im sure he will make another bid. I just have a feeling that this is the beginning of a war that someone else will come in on think, james. Well, i think if youre time warner employee, just my personal point of view you would rather have business and assets run by Rupert Murdoch than alternative. Melissa alternative. What is the alternative . Cbs, abc . To charlies point seems like theyre in play one way or the other. Charlie is right. Somebody is going to buy it. They are in play. This company will not be independent. Im not saying who. I mean, you know, i would never bet against Rupert Murdoch but im telling you, i dont know if this is the last shoe to drop just based, listen when i talk to bankers, i dont talk to some third guy at watercooler, i talk to top media bankers, guys that do this stuff, there is a lot of interest in this. There is a lot, a about five or Six Companies can do this and those five or Six Companies have cash. Melissa yeah. There is a lot of interest in doing this, bankers will make a killing. They will push deal with whoever. We had leo hindery on deirdres show. He said its a done deal. Melissa done deal with 21st century price . Twentyfirst century fox. The only hurdle is nonvoting shares and how you get past that he has been involved in a lot of crappy deals. I will let you deal with that. Melissa speaking of hurdles, this is the reuters headlines in the last few minutes, talking about succession within 21st century fox, beyond Rupert Murdoch as being one of stumbling blocks whether time warner is comfortable with that. James you want to venture there. I think you do have to be careful with a lot of Corporate Governance best practices proxies advisors some of these various Interest Groups raise, often data is not there reminds me of concerns raised about jamie dimon. There is kind of a religion in some of the proxy advisory world that you have to split the ceo and chairman title. It is not really backed up by data or evidence. By the way, if that is one of the hurdles, seems like that is a hurdle you could overcome. There are so many smart people here. He has got a broad Succession Plan internally, im pretty sure. That is, that is, something you can overcome pretty easily. That will not hold this deal up or prevent us from getting there will be other, regulatory issues. Clearly we would have to spin off c in n any other regulatory issues . Melissa that network would be sold to another bidder no doubt. Abc, who knows. Does time warner go out and say save us to somebody . And thats, i think thats a possibility here because they dont want, current management doesnt want to be bought but us. That is pretty clear. Melissa move on from there. Fed chair janet yellen clarifying those stretched stock valuation remarks in her second day of testimony on capitol hill. She appeared to be walking it back some. Some things may be on the high side and there may be some pockets where we see valuations becoming very stretched but not generally not. You know, at alarming levels by any means. Melissa what do you guys think of that one . Were passing notes over here. Federal reserve is always behind the eight ball when it comes to bubbles. Theyre always late to the game. Used to be stated policy they dont acknowledge a bubble, asset bubbles. Melissa why did she do this and why is she walking it back now . Do you think that was mistake or calculated . Call it progress. She and her predecessor have spent years trying to drive stocks up. Melissa right. Their strategy has succeeded. Melissa wildly. She is in the position probably where she is thinking okay, now it has fallen to me to unwinded this policy. Shes probably struggling with how to do that. Should point out greenspan, ive been a critic of greenspan in the past he was right about irrational exuberance in 1996 or 7. Melissa 6. It did blow up a couple years later. Melissa two owe three years. No, he was not right. How did he respond . He ended up reflating the i understand that but he called the bubble that actually was. But what im saying with this, you could, bottom line is this, you keep Interest Rates this low, average people will buy stuff like, i dont know, that crazy Internet Company with the pets. Com. With the camera. Melissa gopro. Whatever. That is going to be, thats a problem. Melissa all right. Yahoo shares taking a dive after disappointing quarterly results. Ceo marisa mayer insists it is only a shortterm setback as of this month she has been at the helm for two years. Look at that chart. Adam shapiro, let you go first. They dont control enough of ad market to be promising only short term. She is up against behemoth google. She will get a good bump when they sell shares of alibaba. They are you know performance. Melissa give themselves a little bit more cover. She said, that transformation the size and scale takes multiple years. This is just short term. Theyre not satisfied with the quarterly results. James is that enough for investors . I think they will be disappointed especially last winter seemed like maybe they were turning the corner. Melissa yeah. You look for good news in this and still only sort of exciting growth part of it is alibaba. Melissa two years is the about time people start expecting to see Something Real happening. Bring in a new leader to failing company. Theyre allowed to buy time. Maybe they burn the whole house down and try to rebuild it. After two years people get serious what have you really done. Go ahead. This is business constantly changing and innovating and you dont hear innovations coming from yahoo . You hear selling off alibaba. One of the great things about Rupert Murdoch he may be0 but he acts like he is Silicon Valley kid in his 20s. Looking ahead. How do i make my next move. How do i take the company to the next level. Why he sees what he sees in time warner content. That is such a huge thing. Melissa were all about content. Devastating news in what could be a sure sign inflation is on the way as well as the chock apocalypse. No way to say that. Hershey is raising prices by 8 , 8 rising costs transportation, material, utilities and talk about forex. Hersheys is worried about forex commodity prices. Melissa yeah. Inflation. Inflation. Another thing making janet yellen nervous they have printed all this money and pushed it out all melissa but it is noise. Overall inflation rate, you cant say it is flaring but especially number of these food categories youve seen pretty i wouldnt call chocolate food necessarily. Melissa to zoom people it is. Some people. One ingredients, commodities. Cocoa. Melissa raw materials, package, utilities, fuel, transportation, forex. That covers it all. What independently comes of those ingredients into their products . Almost nothing. Coffee is way up. Coffee is way up. Thanks, guys. At all costs the obama administrations new plan to Block Companies from merging with foreign firms to dodge the taxman, it is completely american. More from our panel coming up. Plus, are you ready for warren . Staunch supporters urging antihillary to take the reins and run, warren, run. More money coming up. Melissa a taxing debate in our nations cap teal. The white house calling for action to end tax inversions. Treasury secretary jack lew urging lawmakers to quote, shut down abuse of our tax system fox businesss rich edson more from d. C. So abusive, unpatriotic, i can barely take it, rich. Democrats in congress are issuing a bill to prohibit a u. S. Company to merge with a foreign firm and merging taxes overseas and without changing who controls the company. The administration is on board. Treasury secretary jack lew says quote in a letter, we should prevent companies from effectively renouncing their citizenship to get out of paying taxes. Republicans are rejecting the idea saying congress should deal with this and other tax issues only in an overhaul of the entire tax code. House ways and Means Committee chairman dave camp says, quote, nonpartisan experts looking ad this policy say it doesnt solve the problem. Companies will continue to move overseas until we address the fact we have the highest Corporate Tax rate in the industrialized world. Even Senate FinanceCommittee Chairman ron wyden, a democrat seems noncommittal. Saying im talking with my colleagues and exploring options for addressing this in the near and short term. As for long term tax reform, congressional aides gavegive it very little chance of advancing this year. Back to you. Melissa rich, thank you so much. Lets bring our panel for more reaction. Heritage foundation chief economist steve moore. We have Jonathan Hoenig from capitalist pig hedge fund. They are both fox news contributors. You recognize charlie gasparino. He is back with us as well. Steve moore, let me start with you, fun to see them scramble. But at the same time, i mean, what did they expect . Well, this is a big issue. I mean this is, the current tax code really is unpatriotic. You just had in the last six weeks or so, lets see, pfizer was talking about leaving. Then med electronic and walgreens. How Many Companies have to either threaten to leave or leave for places like ireland . The president s plan isnt going to solve this problem because what will happen, melissa, if you put this in place well not have, all the multinationals will not be American Companies anymore. And theyre going to be in germany and ireland and other countries. It is ridiculous. Melissa economics goes where money is treated best. If it is clear you will treat corporations poorly they will domicile elsewhere because they have a after all fiduciary responsibility to shareholders not to the government to give them more money. Somebody like jamie Dimon Companies should feel free to bail on u. S. The Corporate Tax code is driving companies overseas, he said Something Like that on his conference call, sort of courting even more danger. Jonathan what is your take . What is the collect at thissist, what is leftist, democrat perspective, melissa . The wealth a company like citigroup or bank one or whatever creates is owned by the government, right . It is peoples money and governments right and role to redistribute it. So of course youre seeing a lot of big corporation, and individuals leave high taxed u. S. Even a lot of high taxed states. Very rightly some theyre running away from their killers. Not their physical killers but their economic killers this whole notion that or individuals owe america, the individuals and companies are the ones that create wealth in america. Melissa who does the argument worth with . That it is unpatriotic . It works with some folks or else they wouldnt make it . It is a desperate kind of a plea. Melissa does smell very desperate. When i think of all melissa not fair all potential solutions to this problem, clearly our Corporate Tax rate is a lot higher than other countries. Other countries are benefiting from lower Corporate Tax rate where companies are going over there and settings up partnerships. The solution is obviously something that this administration doesnt have the, doesnt have the guts to go through which is, a tax reform bill. And, you know, it is not,is nota way to keep them here to prevent mergers. Guess what . What will happen is that u. S. Companies will do as you said, seek their fiduciary responsibility and they wont be anymore u. S. Run companies anymore. Melissa melissa they have run out of other arguments. People unpatriotic here, people unpatriotic here are members of congress and white house wont do anything about companies shipping jobs overseas because of the Corporate Tax system. That even president s own commission say is shipping jobs overseas. Unbelievable melissa thanks, guys. Appreciate it. Check out the markets. The dow continuing to climb. Were right at session highs. Nice gains for intel and ibm, driving the trade. Lets go to Nicole Petallides on the floor of the new york stock exchange. Good day down there, nicole. It is and every time people get worried they see another record. We had pullback last week. There was concern about portugal. There is with pullback when we heard from fed head janet yellen yet look another record high today, led by technology as you noted, melissa. Were seeing intel moving to levels we havent seen in over 10 years. It is up 8 . Microsoft, also at a new high. That is up. Intel came out with numbers and revenue forecasts made of expectations. Theyre seeing pc demand on the rise. That is good news for technology and really led the way here. Back to you. Melissa Nicole Petallides, thank you so much. 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With a k. how are you . I voted for plausible deniability. I didnt kill her, david. And i voted for decisive military action. Xfinity presents the peoples hotlist where you choose this summers top 100 shows and movies. And all you have to do is watch with xfinity on demand. Now through july 23rd. Vote melissa just in, arraignment today for alex tickleman, the highpriced call girl accused of killing a google executive by injecting him with heroin. This is not the first time she has been tied to a death like this one. Last september, alix ticklemans lover died in atlanta, what police determined was accidental overdose. Could this latest death also involving heroin be a coincidence . Fox newss Claudia Cowan has more. Quite a story, claudia. Right. Were live at the courthouse today where alex tickleman did enter a plea of not guilty a short time ago. This second case that you mentioned is getting a closer look, melissa. Even if investigators in georgia determine that heroin overdose was an accident, prosecutors here will use it to show that alex tickleman had a conscious disregard for human life. That is a critical element of manslaughter. Tickleman cant say she didnt think it would happen because it happened before. She clearly knew using heroin could be deadly. So prosecutors here in Santa Cruz County will argue that tickleman should have called 911 when 51yearold Forrest Hayes a google executive and married father of five lay dying on his yacht here in santa cruz last november after a night of partying. Police have onboard surveillance tape that showed tickleman mixmixing an injecting hayes with heroin, stepping over his body, cleaning up the scene and finishing up a glass of wine before closing the blind and taking off. As that looks for her this is not cut and dried case. Legal defense experts say they will put the victim, hayes, on style. His lifestyle with this person and prior interaction with prostitutes and drugs because that is a huge part of this case. They will tear down this image of this father of five good husband a