it is 5:00 a.m. at cnbc global headquarters. google delivers a blowout quarter. the big numbers behind the big on win. that beat propelling the tech sector to new highs. what trade war what china's market seems to do that says maybe we're not that worried after all. gold alert something happened to the yellow metal that could be red flag. and goldfish, the big recall you need to know about it's tuesday, july 24th. "worldwide exchange" begins

right now. ♪ good morning welcome from wherever in the world you may be watching. i'm brian sullivan so glad you joined us on "worldwide exchange. here's how your money and the markets look on a rainy tuesday in the northeast it's not that overcast in the markets. dow futures indicating a jump of 86 points at the open. s&p as well. nasdaq up about 54 points. all of this may be related to you're t your top story alphabet's blowout quarter, revenue of more than $26 billio coming in ahead of most estimates. the ad business jumped 24% shares soared higher after hours, up 4% google is now closing in on a $1 trillion valuation joining us on the cnbc news line

is victor anthony, google analyst at egis capital. how big was alphabet's quarter >> it was big. revenues came in 5% ahead of ebit expectations. operating margin was above expectations, improving 165 basis points to your point, this is quite superficially though, i do think that google and aflphabet are in the race to achieve the $1 trillion valuation this result puts google back into the race. margins coming in better than expectations as traffic acquisition growth pressures eased. >> costs wers up any hole to poke in the quarter? >> i think the bears on the stock point to the fact that you

do have operating margins declining about 200 basis points year over year so there's some sort of margin pressure on the business a lot of growth areas like cloud, hardware and traffic acquisition costs, it's still on an absolute basis continuing to grow that 1 point one point is a wri the model, but i expect margins to expand over the next year >> when we look at it, the one thing we do not know is the ultimate implications and costs of the european union's new privacy rules. gdpr basically forcing companies to increase privacy transactions and perhaps costs as well. is that still kind of an unknown around alphabet? >> it is they mentioned the full impact of gdpr was unknown. it was just implemented towards the end of the quarter

based on our checks, the work we've done, we think gdpr will be a non-issue for google an alphabet overall >> do you change your recommendation and/or your price target based on the results last night? >> i can't discuss my estimate changes or price target changes, but i th benefit from many factors they are also talking about loom and wing, two projects coming out, a beta project status and approaching full commercialization this year or next year. so multiple tailwinds. the wind is towards afshlphabet back >> the market is rewarding it. thank you very much, victor anthony. coming up at the end of the show in your rbi, a stat on google that you have got to hear. more on the markets and your money. in the bond market we're not seeing a huge reaction again the ten-year yield, despite the

record highs for the stock market, is not above 3%. 2.95%. overseas, something interesting happening in the chinese markets last night japan, it was up a bit check out china. the chinese markets have been weak many of them are in a bear market, down 20% from their highs. look at last night we saw the shanghai and the shenzhen rising well over 1% the shanghai rebounding a bit, up 1.6%. in the european markets, we are seeing a similar move there. the italian market up more than 1% germany up 1.4%. here's a global look at commodities and currencies oil, not a big move. we have helema croft coming up in a bit on the oil situation and the iran situation look at gold

with gold's drop, that's now in a correction so it's down 10% from its april high something to watch bitcoin, again, the big winner just like yesterday, bitcoin up to 7987 on coinbase. joining us now is matt maley from miller tabeck you argued the most important stock in the market now from a technical perspective is alphabet/google. and if it failed themarket could be in trouble. it looks like we could have a big day for google/afslphabet today. would that be good news for the overall market >> it should be. the other fang stocks broke to new highs. well above their january highs not just above january highs, but well above january highs google had not been able to do that the 1,200 level it was bumping up several times and then pulled

back now it has pulled away from that unless we get a tricky announcement in the middle of the day today, this is the kind of technical move you want to see. it will be interesting to see. some money that has been flowing into other f.a.n.g. stocks as they made new highs, they have been avoiding google they may not go into those other stocks maybe not so much but this is a positive move. the one concern is that the rally has been narrow. you're just adding one more stock into the f.a.n.g. issue. >> i think you read our show rundown ahead of time. in the next block we will show and tell our viewers how narrow and important some of these stocks are that aside, if google can outperform, will this again be the donkey that pulls the entire market cart? >> again, it's hard to say when the market gets this

narrow, it is never a good sign. at least over a longer term period the other thing to watch is the semiconductor stocks the chips got hit hard the other day and they're lagging. the semiconductor index has been the other key leader in the technology area if these continue to lag, there could be problems. right now for the tech area this news out of google is very positive >> so google is now sort of out of the way what is next on your key market radar? away from these technology stocks, what is going on in the trade wars, tariff concerns. for me that falls into the currency markets people have been saying there's only so much china can do. they can't fight back like we can. they certainly can't in terms of

tariffs but they can in the currency markets we see what happened with the yuan versus the dollar there's a major move, they're devaluing their currency that's going to be a concern as they move further into the second half of the year. so watch that closely. same thing with the yen. everybody has been talking about how we've been concerned about the fed tightening, the ecb has tapered back on their qe program. now there's rumors going around and they're sening o sending ous that they may taper back as well if the bo swrshgs doj does that indicate less liquidity in the system >> we called it the economic bazooka of the currency devaluation in china a few weeks ago, wouldn't that also be deflationary for the u.s. consumer and maybe that could ease back on some of the fed rate hikes?

if they cut their currency or the currency falls, all that stuff we buy that the president doesn't like gets cheaper. >> the one thing we have to look for is the -- the whole tax thing. when he cut the taxes, it's different than any other president that i'm aware of. because they always come out with these programs that are back end loaded so they look good for the next time they come up for re-election trump on the other hand fro front-loaded everything. as we work into that next year, how will that play out we're seeing a slowing in the global economy, what happens as the fed is tightening and we have the effects of the tax cut start to pull away that could be causing some

problems me concern is not only about google pulling the market higher, that would cause the fed to ease back, and the problem is that the fed is as much market sensitive as they are data dependant. so one of the reasons they will pull back on the tightening cycle is because the markets are coming down. >> we'll see if they're potus dependent as well. enjoy your day >> time for the top money stories. leslie picker has those. >> good morning. ubs second quarter net profit beating forecasts helped by its investment bank. though the company's wealth management business just missed consensus. for the third quarter ubs says market volatility remains muted.

shares of whirlpool are down sharply. the appliancemaker reporting a surprise second quarter loss they also cut the full-year economic outlook they cite poor performance in europe and also that u.s. steel tariffs are driving prices higher. td ameritrade's third quarter earnings beat forecasts as trading volumes and commissions jumped after the acquisition of scott trade >> thank you we are just getting started on "worldwide exchange." it's only 5:12 in the morning. on deck, silicon valley or pamplona spain, how the herd mentality in tech could be a big risk to your money we'll show you numbers around why we're saying this. and is one of america's most prominent senators calling for more antitrust action in silicon valley what elizabeth warren told cnbc teio is sure to get a lot of

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we all want to know you know, the new, new thing. with xfinity's retail stores, you can now see the latest. want to test drive the latest devices? be our guest. want to save on mobile? just ask. want to demo the latest innovations and technology? do it here. come see how we're making things simple, easy and awesome. plus, come in today and ask about xfinity mobile. a new kind of wireless network designed to save you money. visit your local xfinity store today. look at that a beautiful shot of the tropics. it's 80 degrees and humid and pouring rain welcome to new york city kind of feels like the tropics with the humidity and the rain we have the tropics without the benefit of being in the tropics. good morning welcome back many of you asked why we at cnbc focus so much on the

so-called f.a.n.g. stocks. facebook, apple, amazon, netflix and gloog oogle. first because you all care about them, and also because they're so important for the overall market that's not our opinion here's high we say this. these are the number of etfs each of these stocks hold in a top 15 spot overall. apple, 151 etfs have that as a top holding. amazon, 149. facebook, 135 etfs have that stock as a top holding or near the top. google or alphabet, 96 netflix, 56. so these are hugely important for a lot of etfs. to top it off, in the very popular qqq, the nasdaq 100 tracking etf, one of the most popular etfs in the world, those tank st f.a.n.g. stocks account about

40% of the weight. if you throw in microsoft, that number goes up to just under 5050 so think about that, six stocks control half the index t so let's hope those big numbers keep coming in let's bring in larry macdonald from acg analytics, editor of "beartraps." i love charts. i love to look i don't want to read anything. i like to look at pretty pictures your picture showed how those five stocks, the amount of volume is soaring, and pretty much the other 3,000 stocks in the market are being ignored does that worry you? or could that be a good thing if we keep seeing numbers like we saw last night from alphabet >> ten years ago today i started

a book i wrote a "new york times" best seller called a colossal failure of common sense. it's been published in 12 languages it was about the failure of lehman brothers i think today we're looking at another colossal of common sense. you're talking about capital flowing into these names etfs today, some of them -- just like shadow banks and cdos, the amount of capital flowing in, there's no sustainable way if we go into a meaningful bear market that these etfs can provide true liquidity. >> do you think this will end up poorly will this have a bad outcome that everybody is piling in these stocks >> if you look at the market now, the amount of stocks that are making 52-week highs are down at 71 compared to in january, up to

350. so near-term, there's definitely -- even though google had a fantastic quarter, probably another late cycle phenomenon, another quarter near the top of the turn, of course this will end badly. there's just not enough true underlying liquidity that can allow investors to get out if there's too many people heading towards the door >> you look at it in pro sports, you can have one player who almost single handedly -- look at lebron james, there's other good players on the cavaliers, but he almost single handedly willed that team to a title and numerous championships it doesn't always have to end poorly if it's narrow at the top, does it unless these stocks keep performing and pull things up. >> when i was growing up in the business decades ago, most of the capital was run actively so portfolios could buy and sell

stocks, put money in cash, do whatever they wanted to do that's active management in recent years, about $7 trillion have moved into passive management, passive asset management, and that's about 3 trillion in the last five years. $1 trillion goes into passive. that money, as you just explained with the qqqs, that money has to go in has to go in to these f.a.n.g. stocks in very large quantities. so you're talking about a colossal failure of common sense. these are not being bought by decisions. this is automatic, $1 billion goes in. 16 1$160 million or billion has to go into f.a.n.g.s. it's happening every day >> can we make an agreement right here at 5:20 a.m. eastern time that we will put to bed this term passive investing. i think it's overdone. if you have the market weight

and importance that we just highlighted, there's nothing ultimately passive about it, is there? >> no. it's essentially a crowded theater. there's a fire in the theater and people are jumping over the seats, swinging on the chandeliers, trying to get out through the bathroom window. when we go into a normal 2015 situation or a 2008 situation or 2011 situation today, if we go into a 2011 situation like we did with china today with another trillion dollars into passive, we're talking about a totally different selloff. we're talking about a situation where some etfs could shut down for a short period of time we've seen this in these short volatility etfs. we saw this in february, two etfs had to shut down. let's open our eyes to risk, not fear mongering, just commonsense.

>> hopefully we will not have a colossal failure of commonsense this time. larry macdonald, thank you >> thank you. more to do on "worldwide exchange." we have some big recall news in th e food world p pepperidge farm pulling a famous snack from the shelves we'll tell you why when "worldwide exchange" continues take something u for the most important part of you... your brain. with an ingredient originally discovered in jellyfish, prevagen has been shown in clinical trials to improve short-term memory. prevagen. healthier brain. better life.

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his tax 2.0 program today. president trump set to hit the road again to speak to some veterans let's get to tracie potts with more on your d.c. day ahead. good morning president trump speaking to those veterans he'll be back later tonight, but also weighing whether or not to get rid of security clearance for several former obama officials who criticized him say this about the president -- >> this is nothing short of treasonous >> and you could lose the right to know mesh's most guarded secrets. >> they politicized and in some cases monetized their public service and security clearance >> the white house confirms president trump is considering whether to yank security clearance for these six obama officials. former heads of the cia, fbi, intelligence and national security >> i think anyone who is calling basically the president treasonous, which would require the death penalty, is someone that is over the top >> democrats disagree.

>> it's all a deflection it's all a deflection. >> they don't want to talk about what went on with the meeting between trump and putin. >> reporter: critics call it political retribution. >> this boils down to one thing, the president is pissed because these folks are out there talking smack about what he's doing at the white house. >> reporter: james clapper says losing his clearance won't affect him at all. >> i think this is just a very, very petty thing to do >> reporter: 2 of the 6 already lost clearance when they were fired. no word on when the president might make that decision >> all right let's check the other headlines including continuation of this depressing and dangerous weather here in the northeast. phillip mena in new york has that. at least 50 people are dead and more than 100 injured after

twin wildfires raged through holiday resorts near athens, greece powerfulwinds pushed the flame inland, sparing monuments. in the u.s., more than 30 million people are under flood watches or warnings. pennsylvania has declared a natural emergency. and in colorado, mud slide turned roads into rivers in the west, some 40 million americans are dealing with sweltering heat. in phoenix several hikers were rescued from the mountains as temperatures climbed to 115 degrees. four varieties of pepperidge farm goldfish crackers are under recall after the company was notified that one of the ingredients may have been contaminated with salmonella the flavors are extra cheddar, sour cream & onion, whole grain extra cheddar and pretzel. the products should be thrown out or returned for a refund

brian, back to you >> you have ever been to a pond and seen that sour cream and onion goldfish swimming around very rare. >> can't say i've done that. no >> me neither. thank you. on deck, watch out, blue apron. one fast food chain is getting in on the meal kit action. yes, a fast food chain alphabet/google's huge quarter and more when "worldwide exchange" rolls on happy anniversary dinner, darlin'.

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this show brought to you by the letter "a" for alphabet, why google's quarter may send everybody's money higher. what senator warren said about google that may get a lot of air tensi attention today. and one fast food chain wants you to eat more chicken at home it's just after 5:30 and "worldwide exchange" rolls on. welcome and hello. i'm brian sullivan futures are higher gold is in a correction and bitcoin is rallying again. first let's get to leslie picker who has the top headlines. >> good morning. here is what's leading cnbc.com right now. shares of alphabet hitting a fresh all-time high aftert google's parent company posting

solid revenue growth despite concerns surrounding the eu's $5 billion antitrust fine shares are up nearly 4%. whirlpool reporting a surprise second quarter loss the company also cutting its outlook for the year whirlpool citing poor performance in europe and the impact of u.s. steel tariffs and nike is about to give 7,000 of its employees raises. the retailer is also changing how it awards annual bonuses to its global staff this comes as nike tries to address concerns about pay equity and corporate culture. >> all right we'll see you back in a minute here's how your money and investments are looking on this rainy tuesday. we're about halfway through the 5:00 a.m. hour in new york stock futures are strong the dow futures continue to gain strength, now indicating a jump of 95 points at the open the nasdaq also looking higher today. let's dig in a bit on this and

everything that matters to you with bob dahl, senior portfolio manager at nuveen, an overall good guy you believe that stocks will move what you call unevenly higher throughout the year what does that mean? >> more of the same. last i checked we're up 5%, 6% on the year. that's almost a percent a month. that's better than i thought on january 1st. the news back drop is good it's at of the year. the earnings picture remains brilliant. >> you have monetary policy and fiscal policy. they're similar but also different. we know the economy looks g but do you worry about fiscal policy and monetary policy? do you think the federal reserve can manage us through this >> well, that's a great question for the moment the answer is yes. in time we'll have to be careful that they don't overdo it. in the meantime we have the effects of the tax cut that are

still kind of about one-third of the earnings growth, looks like earnings will be up somewhere between 20%, 25% on an eps basis. a third of that is related to the tax bill that's causing more spending, more capital expenditures, that's part of the reason that earnings are so good >> i guess what is vexing is that we all know the tax cut bill happened. analysts modeled those numbers into their earnings, i assume. why is everyone so surprised by how strong earnings have been? >> because the earnings keep coming in better than expected, unrelated to the tax bill, more about top line growth. much of the improvement we've seen in this business cycle, in this bull market started with cost cutting then it was other forms of margin improvement but now we're seeing top line sales growth

that's the best growth, the organic growth you're looking for. the tax bill is part of the story, but the above expectation part has to do with operations >> do you fear that this so-called peak earnings we heard about, there's some out there who say, yeah, this quarter is spectacular. it's like a jack nicholson movies from the '90s this is as good as it will get from a earnings growth standpoint we are hitting the peak, but not at an earnings peak earnings are up 20%. the third and fourth quarter, maybe not 20 plus, but close to 20 whoever is talking about a peak is talking about earnings growth peak i agree with that. but earnings peak, not yet >> bob dahl, pleasure to get your views we're not at the earnings peak, there's your headline. see you soon >> all the best.

time for the top trending stories including a fast food company that wants to get in on the meal kit action the leslie picker has this important story. >> have you ever wanted to make your fast food treats at home? chick-fil-a is making that fantasy a reality. they are launching their own meal kits. they'll be sold out of 150 restaurants in the atlanta area starting next month. the kits include the classic chicken sandwich as well as other items like chicken parmesan and chicken enchiladas. huge chick-fil-a fan here. >> you could just go through the drive through. that's like a meal kit >> you don't have to actually make it. >> number two, will this include polynesian sauce >> i know what you're talking about. polynesian sauce is the best >> waffle fries, 12-piece nugget with polynesian sauce. >> that's my order

>> no, it's not. >> that's my order >> we didn't plan this it's just that delicious >> this show brought to you by chick-fil-a. >> hopefully they're watching. they say one man's trash is another man's treasure get this, david bowie's first studio recording was found in an old bread basket the drummer in bowie's first band rediscovered it while moving the 1963 demo tape features a 16-year-old bowie. the tape is headed to the auction block. >> okay. it's a cool story. that was the band i believe called the konrads, with a "k. the headline is that david bowie's drummer had a bread basket >> and stored the demo in the bread basket >> where should we put this rare and priceless tape safe no bread basket, that's it. >> see, if olive garden had a

meal kit a kansas woman had an unusual unwanted visitor she kept getting alerts from her nest video doorbell showing a snake on her front porch ew she posted the video on facebook with the plea for someone to remove the animal and a neighbor came to the rescue the snake was relocated to a more natural habitat >> by the way, that's a poisonous snake. they all have a diamond shaped head look at that i think that's rattlesnake >> i'm proud my fellow people from kansas have nests my gosh. >> i should point out i made the kansas comment because leslie picker is from the fine state of kansas don't get your people coming on to me now. >> i know. kansas people are loud and proud. >> kansas is full of two things,

awesome people and deadly rather snakes at doors. still ahead, is one of america's most prominent senators calling for a crackdown on technology? what elizabeth warren told cnbc that is sure to get a lot of attention today. her comments coming up

happy anniversary dinner, darlin'. can this much love be cleaned by a little bit of dawn ultra? oh yeah one bottle has the grease cleaning power of three bottles of this other liquid. a drop of dawn and grease is gone. he wei and welcome back

thank you, alphabet because futures are continuing to gain strength the nasdaq at record highs today will be another record day for the equity markets dow futures are now indicated up 107 points senator elizabeth warren sounding off on everything from technology to tariffs in an exclusive cnbc interview she sat down with john harwood who joins us now from d.c. john >> as you know, elizabeth warren is one of the most prominent democratic senators, a prospect for the 2020 presidential race she describes herself as a capitalist who doesn't like companies abusing their power. so the $5 billion fine that the eu slapped on google for antitrust reasons, president trump criticized it for going after an american company, elizabeth warren doesn't mind that at all. european union just fined google $5 billion you like that?

>> they made their case. they make a pretty strong case >> the president criticized it and said that shows europe is going after american companies >> nowhat it shows is that europe is serious about antitrust laws europe is serious about anti-competition laws, and the united states is lagging we were once the leaders in the world at this. and no more. >> now, elizabeth warren is a little less upset with president trump over the trade actions he's initiated with other countries. she has been a critic of trade policy for many years as well. i asked her about the president's aggressive approach to china >> in the spirit of left/right unity. do you like what the president is doing on china tariffs? you agreed with him on getting out of the transpacific partnership. >> i did >> and he is now talking very

aggressively about not just the tariffs he's announced but potentially up to 5$500 billion in tariffs you like that? >> here's how i see this i've been a long-time critic of our trade policy a long-time c dsh ti-time critic our policy has been negotiated by a handful of executives, it's been negotiated to help them and leave everybody else behind. i think that's a real mistake. i think tariffs are one of the tools in the toolbox but only one of the tools when we change trade policy in america, we have a plan. we have to bourque wiwork with d make it work for the american worker >> it won't surprise you, brian, to know that elizabeth warren doesn't think that president trump has a plan she talks about his approach as chaotic. she wants to do things like take on these international dispute mechanisms that allow companies

to sue governments for violating terms of trade agreements. nevertheless, she's at least directionally in sympathy with president trump's desire to shake up those trade relationships. >> can you give us more of a hint or a tease on what she said further about the antitrust regulation in europe it seems -- is she calling for more antitrust action in the united states or saying that the european process may be directionally correct? >> she says that the united states used to be a leader in antitrust regulation we're not now and we should be she's in sympathy with more aggressive approach. many democrats join her in this. they believe that the use of market power or abuse of market power by large companies is one thing that restricts the dispersion of benefits throughout the american economy and constrains growth. so, y she wants shgs yshg, yes,e

aggressive approach. >> we'll see what happens. >> if you talk about impeachment, i asked her about the question of president trump's impeachment she said she's not there yet. she takes that question seriously. she's not calling for the impeachment of president trump now. if democrats do well this fall, take the house and the senate, she's up for re-election, they will win easily, they will have a decision to make my own preduck shun iction is ie democrats take the house, they will have president trump up for impeachment. >> a lot of things we will be talking about in the next couple

of months. you can see more of john's interview with senator warren on cnbc.com listen to what wall street's most powerful men said about trade. >> the president is right. over the years we generally left the table with a deal that was interior to our trading partners the current strategy, i don't understand, but i'm not party to the strategy itself. we have had an open battle with many of our allies on many fronts >> you can watch the full 30-minute conversation with ken griffin on our website, deliveringalpha.com. the iran threat, how escalating tensions in the middle east may impact what you pay at the pump. and fire up the time machine. we're taking a look back at one of the biggest tech stocks to see how far it has come. some staggering stats around

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it's raining again on the east coast for the fifth straight day out west, it's 115 degrees at night. i'll give you a reason to feel good futures are also hot dow up 107 points. nasdaq as well andrew ross sorkin joins us now. i have a feeling the markets and maybe just a bit about google and alphabet could be a part of "squawk box. that's a wild guess. >> that's a good wild guess. we'll talk a lot about earnings. google, alphabet -- or i should say alphabet, the parent company of google will be perhaps the main target. a couple other companies on the list we'll talk about verizon this morning. we have harley davidson. we have a lot of earnings to get to then we will preview at&t as

well that will be an interesting one. this will be the last quarter effectively before we get the time warner numbers combined >> can we call it game of phones >> game of phones rather than "game of thrones." that was quick so yes >> i have been up for like four hours already. andrew, thank you. >> that's all we got see you in a bit oil in focus tensions rising between the u.s. and iran joining us now is helema croft from rbc capital markets, cnbc contributor and a birthday girl. happy birthday >> thank you >> all the best people born in july >> thank you a more serious topic is iran we have the strait of hormuz, this beautiful graphic oil not moving, and that surprises me a bit does that surprise you >> i don't think people perceive how serious the threat is in terms of iran and the trump

administration there's a view out there that the middle east is always a mess we have had periodic threats to close the straits of hormuz, it has not happened people ask why is it different this time? i think it's different because the iranian regime feels more threatened by the trump administration >> do you think the strait of hormuz could be shut down? i think the u.s. navy might have something do about it. >> the u.s. 5th fleet is there they will keep it open >> that's a conflict >> that's a conflict so could you have mining at the straits? could you have tankers attacked? any time the u.s. is forced to come out and basically keep a waterway open, it's bullish for oil given how important the straits of hormuz is >> if we see that fifth fleet move, just let's go check out what's going on. do you think oil then reacts would it take some kind of actual conflict for that rally >> i would say to watch. look what happened in april. we had a saudi tanker struck in

another strait it had 2 million barrels on it if that tanker had sunk, or if a tanker sinks, then the market will know what we're talking about. >> what's the upside risk to saudi, iranian or u.s. iranian conflict is it $100 barrel oil? >> if we have a full-on military engagement you will have well beyond $100. if the iranians restart their nuclear program. if a missile fired from yemen sits something significant in saudi arabia, then you are talking about a higher price target >> what if they say everybody is coming down on us, screw it, we will go back to our nuclear plans. we don't care. was else can do you to us? >> that's what some are saying in the iranian leadership.

kick out the inspectors. in fact, north korea, they have weapons, people deal with them on better terms. >> overall, the markets. obvious lly libya trying to fin separate piece libya is an unreliable producer. we have not had the full effects of iran sanctions. we need to watch how many barrels come off the market. the country that is the wildcard is iraq. >> iraq, not iran. >> iran everyone knows about we've had significant protests in southern iraq around oil fields if we have problems with iraqi production, coinciding with back and forth on libya, iran sanctions and venezuela, then the market is not -- >> iraq has done a very good job at maintaining their output despite con strant cstant conflh north and they're good at protecting it in the south >> but we have not had protests

like we're seeing in the south that's why we highlight this is a developing story that therebe close watching what is the next thing we have to watch this continued iranian back and forth with the president >> the first set of sanctions snapped back the first week of august you want to watch the iranian response do they say we're done with the nuclear deal why should we suspend nuclear activities when sanctions are coming back. >> you just got back from abu dha dhabi. >> yes >> what's the talk there >> part of the reason i have come back talking about iraq is i heard a lot of people there talking about concerns about iraq i think there is question marks about is the region getting more volatile what happens do we get tight in this market when the iranian barrels roll off? >> what's the answer >> i think we get tighter than many market participants realize. i think the administration is

serious about taking iran out of the oil market china will continue to buy, but if you're targeting banks of foreign refineries, a lot of refinery also have to halt production >> time to wrap it up with your morning rbi. today it's about google. they posted a staggering 26.2 billion in sales last quarter. how far this little search giant from mountain view has come. in their first quarter as a public company back in september of 2004, google posted a then mighty 805 million in revenue. many thought that was a lot. last quarter showed in 14 years google sales have jumped by 3,100% who new your search words were worth so much. random and hopefully interesting. have a great day

good morning google posting a blow out quarter easing fears about the impact of the eu's new privacy rules. the stock trading higher. whirlpool posting a second quarter loss the company benefiting from tariffs on foreign washing machines, but suffering from steel tariffs. and a new report of cord caughting showing americans are going over the top in record numbers. we have the details. it's tuesday, july 24, 2018. "squawk box" begins right now. ♪ live from new york where business never sleeps, this is "squawk box. good morning, everybody. welcome to "squawk box" on cnbc. we are live from the nasdaq market site in times square. i'm becky quick along with andrew ross sorkin and wilfred frost. joe is off this week let's look at the u.s. equity

futures. it was a mixed picture yesterday for the markets with the dow down about 13 points the s&p up by 5 points the nasdaq up by 21. this morning green arrows across the board. the dow indicated up by triple digits if we were to open now, the s&p would be up by close to 12 points the nasdaq up by 63. in asia overnight, you will see that after a rough day monday for asian stock markets, that yesterday -- or overnight the session was a strong one hang seng was up by 1.4% the shanghai was up by