30 times the speed of the original atg antenna that most airlines still fly and ten times what our current aircraft will do. essentially you'll be able to stream video with absolutely no headache. what we think is interesting about this antenna, it's a dual antenna that uses the ku satellites across the pacific. we can have a single antenna, offer fast wi-fi across the u.s. and adequate wi-fi to hawaii now. >> that is obviously the new route. how much of a competitive advantage is this? >> we think it's a significant competitive advantage. united has some ka, jetblue has some ka but no one has the combination of ka and ku. they can have the ku system with slower u.s. speeds or a ka system with only internet over the u.s. this is a new antenna developed by viasat. we think it's a leading edge. >> you've been in management in

this industry for 25 years now. you've often told it as it is. i'd love to get your take on this investigation by the doj into accusations that i think it's mainly the bigger airlines within the industry may have colluded on capacity to raise seat prices what would your comment on that be? >> i think it's a tough position, you know. the justices basically saying their public comments are signaling to each other. on the other hand, the management of those airlines are saying we have to be able to communicate with our investors. so it's a tough decision. but my opinion right now, simon, is we have not seen the damage of consolidation yet. we had an extremely disruptive event in the slot divestiture for american and u.s. air yiairn the opening of love field that kept prices down. ticket prices are down right now. my fear is once the impact of that disruption fades away, what happens to ticket prices and capacity then? >> david, it's a busy news day.

we have to move on. thank you for your time. david kush. >> thank you. >> let me hand it over to you, slightly late for "squawk alley." good morning. 11:00 a.m. on wall street and "squawk alley" is live. ♪ ♪ i'm going just as fast as my feet can fly ♪ ♪ come away if you're going ♪ leave the sinking ship behind ♪ welcome to xl kl for a tuesday morning, joining us this morning, kevin o'leary, the chairman of o'leary funds and investor on "shark tank." the dow is down 163, close to session lows. dow was down 20 points falling

below the 200-day moving average for the first time since last fall. the loss is accelerating on concerns out of greece. we're getting reports from the head of the eurogroup they're awaiting a conference call for tomorrow in which they will discuss the renewal of what they're call a medium term program. we'll see what that means later. oil and gold getting hit today, down 2%. marginally on china concerns. you covered this all morning long on "squawk." there's still a school of thought that greece is an afterthought to the worries coming out of china, potentially. >> the greek economy is so small, about 2% of the greater eurozone economy which is why people have been saying for several weeks at this point they owe money to the state. they owe money to the ecb and the imf. it's china where it's lost a third of the stock market value in just the last three weeks where there could be real losses felt, spillover to the broader economy there, which is, of course, much larger. >> feeling this all over on the

canadian lune, the australian dollar, alibaba, you can look a lot of places for the after-effects here. >> think about being a midterm investor, not even long term right now, isolate greece out of the story, not to be disrespectful but who cares. say they write off the 250 billion which i think will happen. the china story makes a difference. at what point do i get back into asian stocks? it's coming up soon. i see a 6% to 7% gdp growth story that i can't find anywhere else in the world. you can say there's too many retail investors and there's a bubble here and bubble there. what drives equity valuations and cash flow is gdp growth. we'd die to get 7% gdp growth

stateside. we're never going to get it in our lifetimes in my view. they have it in china. i'll put a 25% weighting in my own personal holdings in the next couple of quarters. >> with china freezing trading of a quarter of the stocks in the market over there, you're seeing spillover here, jd down 8.4%, alibaba as carl mentioned, down 4% today, other stocks, of course, feeling the impact. is that a concern if they are not letting the markets correct themselves the way they should be, how do you decide when you'd get in or even how? >> i look at just the percentages. think about china, up 150% in, call it the last 18 months. it's been a phenomenal ride to the upside. okay, it corrects 50%. it's still outperformed every index out there. you just have to get used to the idea of volatility. even with the asian stocks today as we start to see more maturity, i can find what i want, dividend payers in asian

stocks which mean i can mine those indices. i think what's going to happen, you know, is the things that i covet, you're going to start to love more. companies that pay dividends because it's going to cushion vol. i don't care which ind see you go to, europe, asia, united states, you are going to fall in love with the companies that are growing div because the vol will be 20% less. >> the dividend payers are big mul multinational corporations. if you have volatility and markets as widespread as those, you don't think those companies will see their earnings hit? >> i think there's a lot of speculation from the top line that's concerned about growth. if you have to make a choice today, kayla, which i do every day, how do i redeploy the next incremental dollar, do i leave it in cash where i make something or do i say where's my

safest bet over the next couple of months? dividend growers in every indice will have less vol. at the end of the day in cash i trust. give me cash. if i get paid every quarter, i know that's real. >> someone said check out a three-month chart of alcoa ahead of earnings tomorrow. you're not talking about a near-term story. >> no, no. the thing is, you've got to mine every sector. alcoa may have metrics around debt. it's a commodity play. of course commodities have sold off. if you mine an indice and give me something that's growing 2k67div, that's a great story. people will fall in love with dividends in a whole new way. the romance will be more intense than ever. trust me, that's where we're

going. >> like kids say, if you like it so much, why don't you marry it. you would marry a dividend. >> i would marry cash. >> deutsche says tesla isn't worth buying. they think utility integration is a real story even though they're judging on 2020 numbers. do you buy it? >> the problem with this name and it will remain so for quite a while now, people will start to judge it against the metrics of the auto industry. why should it remain so special at such a crazy multiple in perpetuity when at the end of the day this company makes a car? that's what it is. it's a car. it has to compete with all the other cars made by all the other manufacturers all around the world. listen, i love the entrepreneurial spirit of this company, i applaud what they've done in advancing technologies but the end of the day this car

takes you from "a" to "b." it's a car. why should i pay a crazy multiple for a car that takes me from "a" to "b"? >> because of this stationary storage unit. that's what deutsche bank and other wall street analysts are saying, is where the volume and the promise, even if it's several years down the line, that's why the stock from april to now is up 54%. >> great. and the volatility on this name is beginning to remain as people like you and i debate the merits of paying a crazy price for a stock that i reminded you now does not pay any capital back to its shareholders. zero dividend. no cushion. when this thing falls out of favor and it has to trade at the same p/e at its competitors, grown men will weep. >> what if you bought it at 29 bucks five years ago? >> okay, maybe you're a masterful market timer because over the last 40 years, 71% of the returns on the market came

from dividends, not capital appreciation. the reason i bring this up is you can fall in love with the name, say that it's special, it's got an aura about it and it's sexy and all of that's fun. but do you put your real dough into this? not me. i know one day gravity will strike and it will be ugly. i won't get my dollars back for decades. it will come to all things. >> you are willing to forgo the whatever return you might have had over five years? >> i love the company, love the vision, love the product. it's a disco stock to me. >> must be said, though, apple didn't pay a dividend until the iphone was already a hit. >> you know it's a major position for me. i love the company because it pays me. it's been a great investment since it announced its dividend. this company, too, will mature. >> it's a better -- >> i argue tesla is a speculation, not an investment. when it starts paying a dividend, it will become an investment. that's the difference to companies who pay dividends and

those endo the. shares of adm getting clobbered after the company says it expects q2 revenue to be lower than expected. amd attributed a lot of that to the weak consumer demand for pcs. they are set to report earnings on july 16th. we heard from micron. >> we have. it's significant that we're hearing it from amd. even though we'll see the first of windows 10 later this month, the impact is unclear. because microsoft is giving it away for free more than it typically does in the major os upgrade. at the same time, intel has major new chips coming out later this year. there is the possibility that in q4, the consumer who hasn't been buying pcs that much over the past couple years, what upgrade cycle there has been has been fueled by business. the consumer will show up and say these designs are kind of cool. not only is there a new operating system without the confusion we had, there are also new chips that make this stuff a

lot faster and it still could be a good q4 despite those. >> is it weird it comes on a day where samsung comes on another drop in operating profit? it's the semis that are holding up the weakness in mobile phones. >> yes, because samsung semis are not going into pcs. they're going into things like it's phones. samsung's problem seemed to be pegged to not realizing that the galaxy s6 edge, the more expensive one, that kevin has in his pocket, he was showing me upstairs, he's carrying that one around, that one that's 100 bucks more than even the high-end s6 is selling just as well as the s6. they thought it was going to be maybe 25% of the mix. they were behind on that. had a glut of s6s as t"the wall street journal" reported. they're trying to play catch up. there's a good news/bad news story here. bad news is showing up on the bottom line. >> weak pc demand, culprit or

scapegoat? >> i had a sneak preview of windows 10 on the set of "shark tank" last week. one of the ceos came in. wow, it's really cool. i think they finally got it right. everything else except financial services i use a mac. i'll be drifting back a little bit to windows. you should see the operating system. they must have focused on making it user friendly. it is intuitive. i'm not an advertisement for microsoft. i've been agnostic to those windows version. >> why buy the cow when you can get the milk for free. >> they're giving it to you for free. it will push hardware sales. you'll fine a slick laptop from hp or dell will operate very close to what a mac does at three times the price. my point is, these low-cost pc-based machines will start to sell with 10 as the driving operating system to them. they're much less expensive than a mac laptop. >> the argument would be you don't want to put that new sound system in your '95 camry and a

lot of consumers are still driving the '95 camry. maybe they'll get the new car. >> you'll love it. wait until you see it. it's good. >> next time you have something like that on the set, we're available to come and visit, also try out windows 10. >> we started taping late. everybody wanted to check it out. >> kevin, good to see you. >> thank you. when we come back, amazon's answer to siri is coming in a 9 inch tall cylinder. walt mossberg will join us with his review of the amazon echo. plus, a rough patch with social with yelp, linkedin, all down more than 15% in three months. we'll talk to roger mcnamee. take another look at the markets right across the board, not quite as low as the session lows earlier this morning. we'll see if any further headlines come out of greece. "squawk alley" is back in a minute.

if legalzoom has your back.s, over the last 10 years we've helped one million business owners get started. visit legalzoom today for the legal help you need to start and run your business. legalzoom. legal help is here.

let's get over to dominic chu. >> we're watching right now, keeping a close eye on the s&p financial sector, the banks, the financial companies close to being below the 200-day moving average for the first time since february. it's being led lower by coe mare coe, zions, prudential and citigroup for the big money center banks. kayla with regard to this entire sector right now, interest rates we know have fallen.

they have an effect on some of the stocks. the financials, a focus for a lot of traders today. back over to you. >> dom, the regionals and banks with the bigger loan books are more exposed to those headwinds. dom chu, thanks so much. as we watch for headlines on greece, we are reminded that capital controls have been in place for over a week at this point. they're having all kinds of implications for businesses including internet startups. michelle caruso-cabrera is live in athens with more on that and some comments we're now getting from german chancellor angela merkel. michelle? >> yes, they've just broken in the last minute or two, kayla. the most important person in europe right now, in greece's biggest creditor, angela merkel saying there is still no basis for negotiations. she's saying it's not about days but a few days to reach a deal with greece. that time is truly running out. clearly she's not satisfied with what was brought forth by the

greeks today as we've learned from all the finance ministers who say it isn't enough. she really needs -- remember, she has legal hurdles she has to get over before she can go to parliament and ask for permission to begin negotiations. there's a big process here. 48 hours after the referendum, no deal, even though that's what the greek prime minister promised. in the meantime, the economy here continues to grind to a halt. we've been telling you about the inability to pay for imports in this country because you can't transfer money out of the country. think of cloud services like an import. we talked to the founder and ceo of a new startup located here in greece, headquartered here called weather ex machina. because of the capital controls, he does all his work on the cloud, he can't pay for it and it started to -- it means he hasn't been able to start up

brand new services that he planned to offer. >> you need servers on the cloud like amazon, google, microsoft, this kind of infrastructure. so in order to rent this machine and deploy your software, you obviously need to be able to pay them. >> right now you can't pay them? >> we cannot pay anything that's outside of greece. >> think about every single company here in greece that would use a cloud service and we know most of them are headquartered in the united states. it's incredibly difficult. he did get help from a company called zerofund.org, started by the greek diaspara. >> they have a sign up, are you a greek company block by controls? they're starting to bring companies together to help them get around the situation which

they all hope is temporary. guys, it's looking longer and longer as the days go by considering what we saw happen in brussels a few hours ago. >> the saga continues. michelle caruso-cabrera with all angles of this story, including the tech angles. our thanks to you. meanwhile, amazon's smart speaker echo is set to start shipping next week. it plays music, answers questions and even tells jokes. recode co-executive editor walt mossberg. good to see you. >> good to see you. >> you called it the most intriguing and unusual device from the kindle but what did you make of it? >> well, it's -- here's how i think it fits into the whole land escape of tech. there is an emerging type of tech which is really the voice user interface. we became familiar with it, i guess, first with siri.

obviously microsoft has cortana. google has google now which has a voice input. this is a little different because it's a dedicated device that just works on a voice interface. there's no buttons. there's a couple of buttons to shut it off and stuff. you don't use buttons in the actual every day use of it. you just command it to do things and it listens. >> what sort of things, walt, did you ask it to do? it is called alexa, amazon's answer to siri or cortana. how did you use it? >> first of all i put it next to the toaster in my kitchen even when people were in the kitchen talking or running the water, or the dishwasher was going, it heard me just fine. they have seven microphones in it. you can ask it factual questions

like, you know, what's the weather going to be tomorrow? or what's the weather going to be in some city, what's the traffic like on my commute? you can ask it to play music, either from amazon prime if you're a member of amazon prime or from your own music collection if you've stored it in amazon's cloud service or from pandora if you connect pandora to it. you can ask it for sports scores. you can have it read audio books to you. it will tell you pretty bad jokes if you want it to. but amazon is hoping to broaden this thing tremendously. >> so, walt, it's jon fortt. this ecosystem war seems to be getting closer and closer to us. i'm supposed to be asking my watch those things, my phone can tell me but apparently i don't want to take it out of my pocket because if i'm a mom apparently i'm always in the kitchening kneading dough because all those

things voice control, it's like mom is kneading dough. then i have a speaker. how is this going to work out? we have all these devices that we could ask what the weather is going to be in all these different ways. >> i don't know. obviously every one of these companies is trying to lock you into their ec ecosystem. amazon just issued a developer kit and a fund to support two things, additional apps for this thing but more importantly, they're licensing the alexa software and cloud service that's inside the echo to other devices. so somebody might make an alarm clock that has alexa in it that's not the echo. you wouldn't buy the echo. you'd buy the alarm clock and it would have alexa intelligence in it. >> is this another kitchen pc like we remember from 15 years ago or are we all going to have,

a number significant number of us have smart speakers around the house ten years from now? >> i think there's an excellent chance you'll have smart speakers around the house. i'm not saying they'll all come from amazon. they may come from apple and google and microsoft, i don't know. but i honestly believe in this voice ui thing and artificial intelligence, national laural l that sits behind it. it's day one. it's crude compared to what we might see ten years from now, jon or carl -- i can't see. i don't know which one of you just said that. >> we look-alike. >> you do, yes. >> i'm looking at some of the jokes. knock knock, who's there? kanye, kanye who? kanye believe i tell jokes? i hope it gets better than that. >> apple has done a better job

as all of you with iphones know in giving siri a little more personality and amazon can obviously do that. >> i don't know what company it is but i think you are going to have a little bit of that "star trek" ability to talk to your house wherever you are and control -- this thing can control certain of the things like the phillips lightbulbs, control things around your house, get information, play music. >> this is amazon after all, though. is the ulterior motive to get you to buy ziploc bags or paper towels when you run out of those things. >> that's the amazing thing. it sucks at that. it does not let you order anything from amazon. they're working on it but it's very hard for you -- let's say you wanted to buy a shirt. you'd have to describe the size, the brand, the color. you wouldn't be able to see the colors. it's a very difficult problem. the only thing you can buy from

amazon right now, two things, you can buy music if you haven't already bought it or if you call for a song and you don't own it, it will give you the opportunity to buy it. secondly, you can reorder the last thing you ordered. as i say in the column, how did pliers do you need. >> if you need the pliers while you're kneading dough, maybe so. we appreciate it as always, walt. >> thanks, guy. >> walt mossberg from rico. >> i have enough people telling bad jokes at home because i have a 7-year-old. a tough day for the markets but especially for tech, yahoo! alibaba, facebook, twitter and yelp among the names down 2% or more in a lot of cases with the nasdaq down over 1%. "squawk alley" will be right back. if you have a business idea, we have a personalized legal solution that's right for you. with easy step-by-step guidance, we're here to help you turn your dream into a reality.

start your business today with legalzoom. i've got a nice long life ahead. big plans. so when i found out medicare doesn't pay all my medical expenses, i looked at my options. then i got a medicare supplement insurance plan. [ male announcer ] if you're eligible for medicare, you may know it only covers about 80% of your part b medical expenses. the rest is up to you. call now and find out about an aarp medicare supplement insurance plan, insured by unitedhealthcare insurance company. like all standardized medicare supplement insurance plans, it helps pick up some of what medicare doesn't pay. and could save you in out-of-pocket medical costs. to me, relationships matter. i've been with my doctor for 12 years. now i know i'll be able to stick with him. [ male announcer ] with these types of plans, you'll be able to visit any doctor or hospital that accepts medicare patients.

plus, there are no networks, and virtually no referrals needed. so don't wait. call now and request this free decision guide to help you better understand medicare... and which aarp medicare supplement plan might be best for you. there's a wide range to choose from. we love to travel -- and there's so much more to see. so we found a plan that can travel with us. anywhere in the country. [ male announcer ] join the millions of people who have already enrolled in the only medicare supplement insurance plans endorsed by aarp, an organization serving the needs of people 50 and over for generations. remember, all medicare supplement insurance plans help cover what medicare doesn't pay. and could save you in out-of-pocket medical costs. call now to request your free decision guide. and learn more about the kinds of plans that will be here for you now -- and down the road.

i have a lifetime of experience. so i know how important that is. if legalzoom has your back.s, over the last 10 years we've helped one million business owners get started. visit legalzoom today for the legal help you need to start and run your business. legalzoom. legal help is here. take a look at the market,

we watched the s&p as we said earlier back below the 200-day moving average for the first time since october, november. let's bring in simon hobbs who coincidentally is bringing in the european close. >> you'll see italy heading down almost 3% now into the close. for example, we've slipped throughout the session. the leader summit in brussels is due to start in 30 minutes time. this is the greek prime minister's last chance, clearly, to keep greece within the euro within the wake of the referendum. we have pictures of angela merkel arriving for that news conference. she'll meet this guy, the greek prime minister, francois hollande and juncker. that is a late arrangement it would appear. we're in what deutsche bank is describing as a controlled risk-off mode. we've lost 6% in the last seven sessions. it doesn't look dramatic day by

day but since we had the referendum called here, we continue to head into negative territory. the finance ministers meeting be earlier saying the greeks didn't submit a plan today. he hopes tonight or tomorrow they'll have another conference call. bear in mind that the majority of the other 18 leaders want a hard line on greece during this process. and the german finance minister said if there is a greek debt cut they're after. he thought that was prohibited by the treaties. to underline the extreme pressure that domestically many of the leaders are facing as we go into the meeting now. i want to show you the front page from "bild." it says we need an iron chancellor with the throw back to their past there as you can see. a lot of people are angry at the idea that there could be haircuts on the loans that other taxpayers around europe are

owed. which is in essence what the greek prime minister is after. i thought this was interesting from paul donovan at ubs. he says there are two practical requirements that we need out of what is going on, one, the eurozone needs to trust the greeks on its implementation. that's huge because it's so far apart. secondly, bank customers in greece need to trust that greece will remain within the euro to stop the run on the greek banks, both of those in somewhat of an understatement, paul says, is a rather difficult task. things are moving rapidly. i'll hand it back to you. >> we'll keep our eye on the stock market, of course. the dow down two or three, ten-year back below 2.20. a rough day for the markets. the nasdaq down over 1.5%. we'll talk more about that when "squawk alley" comes back. but what if you could see more of what you wanted to know?

with fidelity's new active trader pro investing platform, the information that's important to you is all in one place, so finding more insight is easier. it's your idea powered by active trader pro. another way fidelity gives you a more powerful investing experience. call our specialists today to get up and running.

hello, everyone, i'm sue herera. here's your "cnbc news update" at this hour. iraq's finance ministry releasing footage allegedly showing air strikes on isis positions in that country. al shabaab gunmen killing 14 in an overnight attack on a residential complex in kenya. many people died in their street. christians once again were

targeted. a nuclear plan in the southern japan edging closer to becoming the first to restart under new safety stand ars that were introduced following the fukushima disaster. the sendai power plant has begun loading nuclear fuel in a reactor paving the way for operations to start as early as august. an explosive revelations about bill cosby. newly released court documents kbot the entertainer in a deposition admitting he obtained sedatives to give to women he wanted to sleep with. the documents were sealed for about a decade. his lawyer is not commenting. that is the "cnbc news update" this hour. back now to "squawk alley." thank you, sue. we continue to keep our eyes on the markets. session lows or close to them. the dow down 204. the s&p down 23. a few more points and you'll have to go back to the beginning of february. it's been a rough couple of days

here for the s&p. >> yes, indeed. let's talk about the nasdaq as we're seeing here. it's off more than 1.5%. more than 1.7% this morning with the tech sector in danger of turning negative for the year. take a look at these big names deeply in the red today. yelp leading the way down, more than 4%. should we expect more volatility going forward or can they stay in correction territory? joining us now, roger macnamese. we talk about the possibility of a tech bubble. yelp is down 52% for the year. linkedin is down 17% in the past three months. what's going on here? >> well, i think we're just regressing to the mean. we had an unbelievably strong mark market, as you know, going back to the recovery from 2008. we've been due for some kind of

correction for a long time. not because, separate from the issues of fundamentals, simply the market has been very extended. there are a lot of issues going on in the global environment. we have greece. we have china. and i do believe that what's going on in greece has made investors very significantly nervous. what's going on in china, i think is something we need to pay even more attention to because there the retail stock market has just gotten crushed. we've seen a 39% decline in the shenzhen. primarily in stocks owned domestically in the country because people borrowed too much money to buy in the stock market with this short time horizon. i don't think they're done in china. that market which was up 122% at its peak is still up 30% for the year even though it's down 39% from the high. those are scary numbers. i look at this and i go, look, the fundamentals in the tech

sector are actually pretty reasonable. they're not great but they're pretty reasonable across the board. in some places they're fantastic. i think this is purely an issue of market valuation and, you know, this is a topic you and i have talked about on this show for several months, that this is something that was coming. and how far this is going to go we'll have to see. if it continues on for another ten points that shouldn't shock anybody. >> roger, we mentioned earlier in the show the effect that the china correction, if we can even call it that, it's such an intense slide, has had on companies like alibaba and jd.com even though they trade here. >> right. >> talk about how there could be a spillover effect in china? do you see there could be one given that 80%, 85% of the market is retail? >> the issue we're talking about here is the wealth effect. people in china have been prospering increasingly for the past decade. and confidence had built up to the point where people were

taking their savings, investing it in the stock market and borrowing money on margin to increase the number of dollars they could put into the market. and the result of that has been this spectacular bubble, particularly in this exchange called shenzhen. and that bubble has burst. you've now seen a 39% drop. and the effect on consumers in china is that, whoa, they felt pretty wealthy a month ago. they feel a lot less wealthy now. if that changes their spending that will affect stocks. >> my concern is, is it being allowed to burst if these companies are allowed to halt trading on their shares the way parentally 25% of the companies trading on an index there have been allowed to? couldn't that make it worse if investors take their money out of certain stocks and start selling what they can get their money out of and when they're allowed to trade those stocks they have to fall somewhere further to find the true value.

>> exactly correct. the core thing to focus on is, does this affect the perception by chinese people that they are wealthy and, therefore, have disposable income they can spend on things like alibaba? not the stocks but actually buying and selling things. i do believe that is the risk. i think the chinese government has stepped in both by limiting the trading on some stocks and by sporing the market intensely. to this point, at least, that has not worked. which is not to say it may not catch on in the next day or two. but if it doesn't, i think the things you describe are a real risk. guess what, this is real life. as an investor this will happen to us maybe once a decade. and you know, if it happens to us now, we just need to be prepared. my advice to any retail investor out there is, you know, this is not a time to be maximally exposed. this is a time to be more conservative than average.

as we come down from this, we'll get the buying opportunities that will allow us to be long-term investors again. >> and roger, we've talked to you, i would argue for months that you've been -- i would argue, erring toward the cautious side. we've been talking about the t-bill interest at the beginning of the year. >> yes. >> when do you start to get interested. >> looking at china, the thing that bothers me, while it's down 39%, it's still up 30% for the year and there are margin calls going on and 20% of the stocks are not being allowed to trade. i look at that and go, not yet. >> and on the u.s. side? >> i think the signal will be -- the u.s. side, that means we're early in this process. it hasn't hit our market as hard as it could if people decided, wow, the chinese are not going to be the growth engine of the world economy. they're not going to spend money buying products from us. the way they have in recent

years. if that were to happen, demand for everything would be lower, earnings would be lower and investors would likely pay a lower multiple for stocks not just in china but around the world. for that reason i think it makes sense to be cautious. >> i guess we have to listen to what apple says about iphone demand. >> seriously -- >> that's been their growth engine in china. it's a premium device. >> absolutely. >> people slow down their buying habits at the end of june, that would be a signal. >> you're exactly right. i think that's the end, right? that's because of the most popular products in china. what you're looking at right now if people feel less wealthy, they'll buy fewer things across the board. the prestige associated with the iphone, we'll see what happens. if iphone demand slows down a lot, that's terrible for apple which is terrible for the u.s. tech sector. we done the know that's what's going to happen yet. >> of course not. of course not. >> that is the risk. that's the thing to watch out for. >> one of the things, many things we'll be watching, roger

mcnamee from elevation partners. >> i want to say i hhi to all t dead heads in chicago this past weekend. we had a great celebration of the greatest banned in america. >> i'm sure you did. thanks. a rough day for the markets. all major averages are down about 1%. the nasdaq actually is taking it the worst, down 1.3%. the s&p and the dow in negative territory for the year. s&p is down below its 200-day moving average. rick santelli, which part do you have your eye on today? >> debt. it's all about debt. many of us have been talking about debt for a long time. in terms of greece, maybe in terms of china, why debt in china? well, just think of all the leverage and all the collateral the commodities became used for. it's all another form of debt. we'll talk about how that has affected the markets and some easy technical points to pay attention to, off the break.

can. but it's our job to find them. the answers. the solutions. the innovations. all waiting to help us build something better. something more amazing. a safer, cleaner, brighter future. at boeing, that's what building something better is all about. ♪ i built my business with passion. at boeing, that's what building something better is all about. but i keep it growing by making every dollar count. that's why i have the spark cash card from capital one. i earn unlimited 2% cash back on everything i buy for my studio. ♪ and that unlimited 2% cash back from spark means thousands of dollars each year going back into my business... that's huge for my bottom line. what's in your wallet?

can a a subconscious. mind? a knack for predicting the future. reflexes faster than the speed of thought. can a business have a spirit? can a business have a soul? can a business be...alive? ugh! heartburn! no one burns on my watch! try alka-seltzer heartburn reliefchews. they work fast and don't taste chalky. mmm...amazing. i have heartburn. alka-seltzer heartburn reliefchews. enjoy the relief.

is there any chance of a deal with greece, we'll go live there as stocks here at home sell off. plus, so many key calls on the day, shake shack, tesla, fitbit, netflix and many more. we're trading all of them. how low can oil go this time? some answers, carl, in about ten. sounds good, scott. thank you so much. let's get to the cme group this

morning. what a day. check in with rick santelli and the santelli exchange. rick? >> thanks, carl. it is an interesting day to say the least. you know, when it comes to certain markets, it's impossible to fathom how the looming issues that we have no answers to because there probably aren't easy answers to like greece, like china, to deal with them. we all understand that certain systems trade in certain ways and markets have lots of momentum, think tesla, and there's a lot of different aspects to investing, whether it's dividends or central banks. one thing i find fascinating with regard to greece, i still think that it takes a huge back seat to what's going on in china. tape bombs as we call big news headlines will continue to rock the market and continue to come out about greece. in the end let's keep it simple. the easy thing to do is to continue to play the same song we've been playing worldwide, print or try to find ways to wall paper over debt.

it's come after 5 1/2 years to a point where we're looking to see some answers with regard to china, if it took 5 1/2 years to get here with greece, china has plenty of time to work its magic in the to work its magic in the marketplace. we've all definitely discussed tools that central planners use and it's going to be no surprise that most likely it's going to do everything it can do get buoyancy back in its equity investment because as a culture, the chinese are probably not going to be happy as a society with a big downturn here. with regard to greece, probably nothing is going to happen fast. one thing that's going to happen fast, there's most likely going to be a deterioration in the mood of people in greece. where did 10-years close last? we have a boat load of congestion between 213 and 214. 224 is the most important first

spike that we had and that was at the end of february. if we trade under 224 today, buckle up. if we trade under 217, that could mean a big test at 2%. 110 is the key on euro versus dollar. current low stabbed on the first of march, rounded to 105. and bund looks like it might be the biggest mover. 48 was a key technical level, the last major low yield before the rally. many are thinking that 48's the next play. 72 would be above the market to pay attention to. even though we're out of time, to reiterate, if you're traiting momentum, this is what you're going to pay attention to. if you're trading fundamentals, i best turn the screen back to

you. >> up next, we'll take a look at some of the biggest losers when we come right back. yoyour friends have your back. your dog's definitely got your back. but who's got your back when you need legal help? we do. we're legalzoom, and over the last 10 years, we've helped millions of people protect their families and run their businesses. we have the right people on-hand to answer your questions, backed by a trusted network of attorneys. so visit us today for legal help you can count on. legalzoom. legal help is here.

stocks have been selling off today since the open. nasdaq on pace to close at its worst pace since april 2nd. >> if you take a look at where the nasdaq is for year to date, it is still positive compared

with the s&p and the dow, which are negative right now for 2015. it is off about 4 3/4% off of its recent all-time high at the end of june. it's a pretty healthy pullback that we're watching. among the big losers today, amd warning that its revenues are going to come in below par because of the continued slow movement when it comes to pc sales. tesla getting a downgrade over at deutsche bank, even as deutsche bank lisfts its earnin estimates. and getting a little bit of collateral damage on some of the chinese stocks are lower today. the chips overall are the worst with the warming on amd. it's been a rough ride for the chips. they've been some of the most volatile names we've seen here. the nasdaq 100, nine out of ten

are in the red today. among those bucking the trend, autodesk today. you also have heinz started as a buy and ubs puts it in a new high above its 2005 all-time high. quickly, have you seen this news that google searches might be sexist? if you google images of a ceo, the first woman to come up is barbie. kind of ad. >> thanks you very much, bertha. bertha coombs at the nasdaq for us today. we want to get to sue herrera today. >> we have more fallout from donald trump's comes from late last month. he and the pga have agreed not to host the grand slam of golf at trump's golf course. they met with donald trump and

the parties mutually agreed it is in the best interest of all not to conduct the 2015 pga grand slam at trump national in los angeles. they are now looking for another venue. carl, back to you. >> thank you for that, sue herrera, back at hq. in johnsgeneral the things that working are the things that are working in tough days. i don't know if people are calculating the cost of oil/gasoline, which means potentially good things for u.s. based retailers as we head back to school. it's the second most important season for retailers -- >> some are saying $2 could come as as soon as as the end of this year. >> and not to mention mortgage rates, another opportunity to refi, if you can believe that. on june 24th, carl icahn said,

"i believe the market is overheated" and "if more had warned in 2007, we might have avoided '08." we're off almost 75 point on the s&p from those tweets. >> i think consensus in the market at that time is we wouldn't be in the situation that we were with greece and that was before the selling escalated to what it has in china. >> definitely pre-referendum. the chinese stock market had begun to fall off. the shanghai. >> now we've got greece, we've got china, we have earnings coming up and concern about the p.c. market. you wonder how many shoes drop here. i'm going to be looking at any commentary from tech companies that do a significant amount of

business with consumers in china, apple being one of the primary ones there to see are they able to say anything about what they saw throughout june as the markets were falling as far as people being willing to buy premium goods. >> and on greece, there are no comparisons to the size of the market. saying it's about the size of oregon, but we're starting to get earnings. alcoa today -- >> tomorrow. >> thursday. >> it's only a matter of time before companies start to cite that. >> gold on pace for the second worst lows since the middle of march. with all of this, s&p off 4% from the all-time highs. so we're nowhere near those calls for 10%, something we haven't had, as you know, if a very long time. that does it for us here at "squawk alley ". let's get a little bit early to

wapner. thanks so much. welcome to the "halftime show." joe teranova is here along with stephanie link and jared brown. calls from shake shack to fit bit and tiffanys. crude reality following its worst day of the year. oil resumes it's slide. an expert will tell us if it's time to look out below. we begin with breaking news, stocks selling off sharply, the dow jones industrial average was set for its lowest close since early february. the s&p tracking for its worst close since march, the nasdaq since april and it's technology that's getting hit especially hard today. you can see it is the underperformer on your screen