it is 5:00 a.m. in new york. here is the top five at 5:00 corporate america set to open up the books. as investers hope earnings season hopes to add fuel. the g20 finance ministers signing off on the tax plan. china continuing the crackdown on big tech. companies there now taking aim at tencent richard branson kicking off the billionaire space race

hitting the edge of heaven and kicking off commercial travel. still rocking in rome after italy sending england to a crushing defeat in the european soccer championship. it is monday, july 12th. this is "worldwide exchange. good morning, good afternoon, hegood evening welcome. i'm brian sullivan apologize for my attempt at terrible italian, but congratulations to viewers in italy and italians worldwide for winning euro 2020 it was a heck of a game. let's see if the markets can keep winning the themes are earnings and more inflation data tomorrow and wednesday with key small business data out on friday.

ahead of it all, futures are mixed. dow futures are down 109 nasdaq is indicated up .20%. we keep watching big tech. the nasdaq 100 beginning this week with an eight-week win streak the longest since may of 2000. we finish higher this week, it will be nine weeks in a row. bond yields are falling. 10-year are at 1.33% oil is another key to the week because there is still no opec output resolution. 400,000 barrels a day. below where they want to be. inventory is declining we are at $73.50 for u.s. trade in crude stocks in asia and europe going

in different directions. asia was red hot gains across the board knikkei 225 rising 2.25%. we are seeing declines in europe with the exception of the italian market after that game in euro? why not? everybody in a good mood today probably the entire week to the top stories this morning. the g20 officially throwing its support behind the historic global tax plan. finance ministers from the group formally backing the agreement during the meeting in italy over the weekend. the plan which is seen as crucial to president biden's plan to raise corporate taxes must be approved by congress top u.s. lawmakers are downplaying that likelihood of happening. the chinese crackdown on big

tech is continuing an anti-trust regulators focusing on the arm of tencent. officials will order the company to give upri rights to music labels tencent music looking for exclusive companies for streaming exclusively. china is cracking down on the streaming sites. wall street journal out with tiktok owner bytedance shelved plans for the offshore ipo indefinitely this after chinese regulators said focus on addressing data security concerns. and after nearly two decades of preparing, sir richard branson achieved his dream of reaching space branson and five others taking part in the sub-orbital issue

over new mexico skies. branson and virgin galactic getting a leg up on jeff bezos in the space race. bezos is set to take part in the company's first flight in just over one week. more on all these stories ahead in the next hour back to the markets and your money. we are gearing up for another earnings season. hard to believe but true banks in focus this week jpmorgan chase and goldman tomorrow blackrock, citi, bank of america on wednesday and thursday. let's talk about the set up now and the week and bring in robert teeter head of the strategy group of silver crest asset management. robert, good to have you back on we are coming in with strengths. we have record highs on the major index. you heard the two-month weekly win streak for it.

do you anticipate the strength to continue or will we see summer volatility ahead? >> good morning, brian thank you. we are in an interesting and choppy period. if you step back and look at the big picture, the bond market is looking at the slowdown that is coming that is a classic way to look at things in this case, the economy in the back drop going forward is strong you will see the balance, the tug-of-war, with the growth of balance and organic cyclicals and the cyclical cyclicals from covid. >> does that mean buy large cap industries or does that mean m small cap? it had a heck of a run from last year to this year is small cap >> this is part of the transition in regards to the timeframe.

this sniffed out the market ahead of time. now we're in the back to normal mode where you are looking ahead six months at a time and as we go into earnings season, the earnings numbers are going to be very strong. the question will be what comes next what is after that i think we are seeing some of the leadership shift if you look at the industry groups which is best off the bottom from the vaccine news only ten are still in the leadership role. that is the tug-of-war transition and you need the balance between industrials and small cap and balance with technology names >> interesting 30 of the sub groups fading away as the reopening happened. you only reopening an economy once let's hope that is the case. robert, i'm not much of a hockey fan, to where the puck is going, not where it is.

in your mind, nine months out from now, where is the stock market puck going to be? >> i think the back drop is still going to be favorable. we are going to return to an economy that is probably a bit better than normal it will not be a boom and bust it will be a boom and followed by a better than normal. a better than normal environment, you want the cyclicality to it. with regards to china and elsewhere point to the economy being strong and focus on getting jobs back. that is the result of small caps you don't want to abandon technology that has been strong and that strength will continue into next year and beyond. >> robert, the biggest risk to the stock market right now is? >> inflation i think we have one more reading coming up. in my mind, it is fading it will be a risk factor

it has been in the window for a while. we will start looking ahead to next year. >> robert teeter a pleasure to have you back on to kick off the show and week. have a great day talk to you soon. >> thank you you're welcome we are just getting started on "worldwide exchange. when we come back, the three big money movers of the morning. facebook getting a new look by regulators. and elon musk taking the stand over the $2 billion deal to buy solar city. and congress getting back to work after the extended break with democrats looking to lock in victories legislatively on the biden administration agenda. the wins and fights and what it means to you ghafr isack with a lot more rit teth quarter but we are hoping things will pick up by q3. yeah...uh...

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time for the big money movers the three key stock stories of the morning. stock number one facebook whatsapp is facing scrutiny. the messaging app sharing data with facebook. the changes allow users to talk with businesses and not affect personal conversations

a complaint has been filed saying they are pressuring users to accept the policy. and number two stock is nordstrom. it owns top shop as they eye younger shoppers terms of the deal have not been disclosed. asos brand with will be available in stores and you can pick up and return in in nordst. and and stock number three is walmart. the value of the company is $38 billion. it was led by the softbank fund. on deck, a lot more to do. despite huge numbers lately, is there more turbulence ahead for air travel recovery? new comments from united's ceo

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good morning let's get a check on the other top headlines outside of the world of money and business. including a massive weekend in sports that had millions glued to the tvs we have frances rivera in new york with those. good morning, frances. >> good morning, brian we start off with former president trump who is the elephant in the room for republicans. he hasn't committed to a run in 2024, he was the top pick with 70% in the straw poll of the conservative political action conference in dallas ron de santis came in second. the biggest anti-government protest in decades demonstrations all over the island as cubans reach the breaking point they have been enduring an ongoing crisis with the rolling blackouts and lack of food and now covid vaccine shortages.

in a national speech, the president pointed the finger at the u.s. claiming trade sanctions created misery djokovic pulled off an historic win tying roger federer and rafael nadal for the most ever for men. if he wins the u.s. open in september, he would be the first to win all four in more than 30 years. it did not come home it went to rome. england with the defeat over italy in the euro cup finals it was a whirlwind of fouls and close calls as italy got a kick. the pressure culminated in the second half as ronaldo scored for italy. that evened the score and the match ended with the penalty

kick tie breaker it all came down to the youngest player for italy it was so intense in those final moments of the game, but more intense emotion after from both teams. both sides there, brian. repres riveted to it. >> ending on penalty kicks the game has to end at some point. it is tough to see it go that way given how both teams played. i watched every minute of the game frances, think about london. that game was played in wembley stadium. primarily a british audience wimbledon early eier that day they still talking about covid lockdowns. not fully reopened 100,000 people at the game what a weekend >> what a blow

they are still so crushed after coming off the high of all those huge events. it ends like this. >> i know. prince william was there i know the duchess of york their oldest son was there as well you wonder the heart and the ties i saw him there. you wonder if prince william would look to be with friends drinking a beer. i guess when you are royalty, that will not happen frances rivera, have a great day. >> you, too. expecting of records, it has been a record year for venture capital. we are halfway through the year. investing $288 billion globally in the first half of the year. the most ever is $140 billion of

cash going to u.s. based startups as low rates fuel access to capital. let's talk about these trends with nasir qadree. he joins us by phone i believe nasir, good to chat with you disclosing on a funding round. congrats on that that official announcement going out later today. you have money to put to work for clients and investors. where do you see opportunity right now? nasir, we have to work on the connection we will try to get him back on there are some of the portfolio companies. we will try to get nasir back.

if you are out there, call us back. still to come, movies are back "black widow" taking a bite out of the box office and at home. the big numbers ahead. just a gentle reminder follow our podcast if you miss the show any day or in the car, check out the podcast. we know the 5:00 a.m. may not be for everybody. dow futures down 157 nasdaq futures slightly higher we're back rightft ts. aerhi what happens when you make power your thing... above everything? you decide fast... is never fast enough. you put muscle over matter. and you make horsepower... a superpower. ♪ welcome to the brotherhood of muscle.

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it's that time again earnings are upon us will the jnumbers justify stocks one small step for man one giant leap in the billionaire battle over commercial flights for space richard branson with the historic trip to the edge of heaven. and very pricey parking for the uber rich. how much they are willing to pay for a small slice of asphalt the world's most expensive parking space ahead on this monday, jeuly 12th this is "worldwide exchange.

i'm telling you, when you hear the story of the parking space, you will being choked up as well. good morning i'm brian sullivan let's get to your money and the markets which are setting up the week the big themes are earnings. banks numbers are out and inflation data out this week and on wednesday earnings are key, i get it main street, see how small business is doing. labor challenges ahead it's a big week for that data. overall, we watch big tech the nasdaq 100 beginning the week with the eight-week win streak coming in on eight weeks up. the longest streak since may of 2019 bond yields are a big part of the story. they have gone down. people feel they can invest in

big tech and multiples 10-year stuck at 1.33% oil, don't forget, also a key to the week there is still no opec output resolution 400,000 barrels a day. inventory in the u.s. continue to drop and quickly. oil is down a little bit right now. still at $73.50. we had a nice move higher on friday inventories are way lower than many people think. that is the key to watch how much oil is in tanks around america. now to some of the other top headlines, including united airlines ceo says air travel likely will not fully recover from the pandemic until 2023 speaking in the interview yesterday, scott kirby says pent-up leisure demand exceeded 100% business demand is off 60%

all around, continued travel restrictions globally when you have to fly and land in a country and quarantine for a couple of weeks. kirby said the mask mandate for passengers will be allowed to expire in september. good news there. tesla ceo elon musk said to appear in court today as the first witness over the $2.5 billion buyout of solar city the shareholders sued tesla claim ing the deal amounted to a bailout of the company the deal unfairly enriched elon musk's family.fully recused from the negotiations of the deal. and "black widow" proving to be a hit at theaters and home. $80 million in the box office in

the debut weekend. disney said it made $60 million globally from streaming. the first time they shared numbers streaming. now to washington. how is that for a transition web of intrigue. senate is back in town democrats racing against the clock trying to get the biden administration infrastructure plan approved before the august re recess chuck schumer telling members of the party lawmakers may need to work through the break to get the job done for more on everything that congress is trying to get done, let's bring in jimmy pethokoukis. american enterprise policy analyst. jimmy, good to have you back on. what do you think congress will and will not be able to get done >> well, i'm not sure twhat the

will get done because they are not sure whatever gets done should be this month even if they have to delay the recess, which is not unprecedented. you don't want to waste july and august and come back in september and still not have resolved the key issues. one of the key issues is that second bill we had with the infrastructure and the bipartisan compromise. the second reconciliation bill you know, some progressives want it to be $6 trillion joe manchin wants it to be less. they need to figure out that to line number before the infrastructure thing can happen. those are big decisions and negotiations that still have to happen for democrats, they should happen fast. >> do you feel the momentum behind the big numbers, the $6 trillion, do you feel like that

momentum has stalled over the last couple weeks? maybe the krysten sinema and joe manchins and other moderates of the world given how fast we are recovering may not be able to sell to the electorate >> that's the thing. you are in the middle of the crisis and the government needs to do a lot of big things. we will continue to get big jobs numbers and crazy big gdp numbers. it is not -- although it is not stimulus, but long-term pending -- it will not look like we're in a crisis. the other big number is the deficit numbers. i think progressives in the democratic party who are very excited because they thought they would have a massive election win and talk about a transf transformational president they need to get to reality. narrow house majority and the key senators don't want the big

tax hikes or $6 trillion in spending in addition to the other spending we have done so far. >> if you go back in history and we talked about it before, jimmy. go back 200 years. it is the narrowest margin of power by any party, republican, democrats, wig, no-nothings, bull moose, in history going back 150 plus years. they have to tread that line americans are smart. the reconciliation bill is the largest bill in terms of money in the history of the united states you got to pay for it somehow. corporate tax increases, increases on the wealthy. load the debt up or taxes go up. what is the solution if there is one? >> it would be an existential threat to democrats holding on

to congress. the whole thing should fall apart. that cannot happen the economy will be booming. that's going to be great for democrats for the mid-term elections. i really think they will pass the infrastructure and pass the reconciliation bill that progressives think is way too small. some of the wants have gone up rather than the other way. i think we will get that -- don't hold me it will be july reach the fall they need to do it so much the odds of that aren't zero >> and a lot of the democrats, particularly in the house, are looking at next year's midterms and thinking, i want to get that pass, but i like to get reelected. people are frustrated. the taxes are some form of revenue raise is likely to be there. jimmy pethokoukis, a pleasure to have you on. good monday morning. see you soon >> see you later

take care. so let's get back to talk about the record year for venture capital. a record year already and it is july 12th. welcome back nasir qadree. good to have you back on a funding round. i hope i'm not breaking news it will be announced in a couple of hours how hot is the vc market right now? where are you seeing the most opportunity? you have money to work with. >> yeah. first, sully, it is great to be with you this morning and see you. vc market, the private market in general, is high we are excited to partner with a plethora of financial services and private foundations and endowments for us, we back in 2019, hit a

supply and demand mapping ana analysis the fintech sector and the future of work we see huge market opportunity across the sectors it means to narrow our wealth and skills gap across the country. for zeal fund i, we are announcing the fund with $62.1 million in the efforts to back early stage, high growth and private companies that are reaping the building blocks of growth to financial wellness >> you are doing something different. inclusive investing. focusing on economic impact in communities. helping people with rent and figuring out financial wellness. you know as well as i do, nasir,

that people invest in your fund and they want to do good and also make money back plus a little bit you know what i mean how do you sell the inclusive investing idea saying we can do good, but we can be profitable and make money from the investments >> that's right, brian it is the way access to capital worked over the last decade plus it hasn't worked for everybody like women and people of color this is not a new investment discipline we have financial services over here and vc here it is a market back strategy that allows us to widen our lens and also invest in companies and ask companies to out perform when you are a diverse fund manager and team, you will overindex our allocation into

more women and people of color including other companies across the country. being more geographic and inclusive. being proactive and investing in companies that are headquartered outside silicon valley and boston and new york. you have the impact glance that is an approach to widen our lens and invest in and ask companies to out perform. >> you are the new wall street which is washington, d.c nasir, you focus on the future of work. where do you see geographically the opportunities? everybody talks nashville and austin i get that where else are you looking >> all across the country, sully. of course, over the past year, work force has become more evenly even evenly distributed

des moines, oriiowa and denver. d.c. is not just the government hotbed we have a thriving tech ecosystem with investors and entrepreneurs. we will continue to look and source companies in new york and silicon valley, but also in chicago and denver i think the best part about this is we partnered with a number of accelerator programs, eso and entrepreneur organizations that allow us to have access to the deals. we believe with those early access to deals includes the portfolio. >> silicon valley east a.k.a., miami. nasir, congrats on the funding talk to you soon have a great day and a great week >> thank you, brian. you're very welcome. coming up, a major milestone in commercial space flight.

morgan brennan is here to layout richard branson's trip to the edge of the atmosphere we're back with morgan next. need better sleep? try nature's bounty sleep 3 a unique tri layer supplement, that calms you helps you fall a sleep faster and stay a sleep longer. great sleep comes naturally with sleep 3 only from nature's bounty

start your day with crest 3d white and from mochaccinos to merlot, and stay a sleep longer. great sleep comes naturally your smile will always be brilliant. crest 3d white brilliance. 100% stain removal, 24 hour stain resistance to lock in your whitest smile. crest. the #1 toothpaste brand in america. i'm dad's greatest sandcastle - and greatest memory! but even i'm not as memorable as eating turkey hill chocolate peanut butter cup ice cream with real cocoa. well, that's the way the sandcastle crumbles. you can't beat turkey hill memories. all right. let's get back to the morning's or year's top stories. that is sir richard branson's virgin galactic with the first

flight to space. morgan brennan joining us on phone following the flight from new mexico morgan, great to have you on it's like 2:00 in the morning there. what was it like >> reporter: it is a little dark and early here in new mexico brian, it was just an incredible day in the new mexico desert milestone for sir richard branson and commercial space after the company successfully completed the unity 22 mission, this was the first crew flight to the edge of space for branson, i spoke with him. this has been 17 years and $1 billion personally in the making >> everything i envisioned it would be and a thousand times better absolutely impossible to describe it unless you are actually doing it. i hope we can get thousands and

thousands of people to experience what we experienced today. >> reporter: at 8:40 a.m. mountain time on sunday, the mother ship eve took off from space port america it released the unity space ship at 45,000 feet and traveled at mach iii it experienced a few minutes of weightlessness before landing on the runway a little over an hour. branson and two of the crew mates along with two which had been out before. 500 people including khalid and board members and virgin group executives and branson's friend elon musk watched on following the flight, virgin's

ceo told me that this space ship based on the visual check after it lands, according to the engineers said quote looked pristine perhaps not surprising, brian, to see shares of virgin jumping in pre market. >> it is a little bit different than some people think, morgan it is a plane. it looks like a plane or kind of a mini space shuttle not a big rocket face up and strapped to a missile, effectively. how does this plane or space vehicle or spacecraft differing from bezos' blue origin? that is more of a traditional rocket >> reporter: great question. especially now that so much of the attention will shift to bezos ahead of the july 20th

flight over the weekend and bezos posted we saw this from a number of posts, but bezos posted to branson on instagramand said congratulations and quote can't wait to join the club. in terms of the space flight systems, they are both sub orbital. they will focus on space tourism. that is why they are direct competitors. a different process. both are reuseable branson's plane is air launched. it is a 90-minute trip bos bezos with a relaunchable booster. all in all, the trip to the edge of space and weightlessness, that piece for the systems is 11 to 15 minutes. either way, there is a definition of the start of space. you land back as an astronaut on

earth. >> morgan, i was going to ask. how long were they weightless? you answered the question. there was a few minutes where you float? >> reporter: that's right. in the case of the space flight yesterday, they got to 53 miles in altitude and they were able to unbuckle and experience the weightlessness and the curvature of the earth keep in mind, this was a test flight for virgin galactic yesterday and the future cust experience for the customer. they did actually get to experience what future consumers could experience if they buy the tickets. >> we're experiencing it through you. morgan brennan, i know you will be on all day. who can sleep with this event?

monday morgan, congrats >> reporter: thanks, brian you're very welcome. let's bring in sean o'keefe. formernasa and chairman for airbus professor at syracuse. with that introduction, sean, we have no time left for the interview. i'll be the jerk on monday morning. i apologize. you heard the edge of space. the karmain line there is dithering in the scientific community jeff bezos is thinking this. did sir richard branson really go quote to space? >> absolutely. there's no question about it this is the historic first here. the first time a privately financed, not government sp sponsored mission was flown to space right at the edge of space

ex exactly as morgan described it the u.s. definition of the edge of space itself. this is a remarkable achievement. you know, remarkable spacecraft he designed that is a direct evolutionary differivative fligt that was done 17 years ago it is a remarkable evolution that he's pulled together here and now making this available for commercial asset for anybody to pay the freight to get the flight. >> not just 17 years when i see these video images of the plane and launching the rocket, i think back to 1948 the xi and general chuck yeager

breaking the sound barrier the rocket style that we talked about, sean. if you look at the future of commercial space travel, they are doing it very differently. is there one better or longer lived than others? >> i think they both have assets and advantages this particular air frame and the capability here is novel this is unique characteristic. you are right. it traces origins all the way back to chuck yeager and the x-15 going forward this is one of the real challenges is getting over the hurdle of can you access space from a runway or an aircraft or a spacecraft that is essentially designed the same way an airplane is to launch with a pilot that can be maneuverable

into space that is what this is the beginning of right here. again, the effort that was achieved in 2004 was that first kind of achievement with only a couple of folks on board this time now, he's expanded it. he has room for customers. this is opening up that particular capability. the historic achievement is the first time you see human access space. privately financed venture for which they are strictly there for no mission purpose other than the experience. >> other than to do it yeah bring the cost down a little bit and more people can throw their hat in the ring. that will come virgin stock up 9% on the am amazing weekend. sean o'keefe, thank you for joining us. >> thank you, brian.

you're welcome when we come back, we will talk to valerie grant about the futures. nasdaq up .20% we are eight-week highs for the nasdaq 100 we're back after this. or it could be the day there's a cyberthreat. get ready for it all with an advanced network and managed services from comcast business. and get cybersecurity solutions that let you see everything on your network. plus an expert team looking ahead 24/7 to help prevent threats. every day in business is a big day. we'll keep you ready for what's next. comcast business powering possibilities. this is dr. arnold t. petsworth, he's the owner of petsworth vetworld. business was steady, but then an influx of new four-legged friends changed everything. dr. petsworth welcomed these new patients. the only problem? more appointments meant he needed more space. that's when dr. petsworth turned

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the number one brand to support beautiful hair, glowing skin, and healthy nails. and introducing jelly beans with two times more biotin. i have breaking news from china right now. it is hitting shares of the ride hailing company didi the company is taking down additional apps from the app store following orders from the authority of china it may have an impact on the revenue in china the stock is down 4% that continues the crackdown of big tech by the chinese authorities. going after tencent music over the weekend, too a story we will continue to watch. we kickoff the week sitting

at record highs. val valerie grant at alliance investing. valerie, good to have you back on you are not a fan of energy. you do social investing. that does not fall in the game plan energy has been hot. the markets are able to make new highs with energy being a fraction 4% of the s&p 500. is there any way for you with your edict to invest on the margins of energy? >> yes, certainly there are opportunities in energy. energy has unique characteristics in terms of the level of volatility and obviously the correlation with the commodity prices we are looking at some of the large energy companies now and suppliers to try to interrogate which ones are proactive and

pivoting to a more fossil fuel -- less focus on fossil fuel and more on renewables. you are familiar with exxonmobil with the changes to the board of directors. my sense is that even the large oil and gas companies will be taking action on climate change. there could be some opportunities there for the companies that are proactive to have a place in our portfolio. >> a lot of companies say things they say nice things not a lot of companies do the nice things as well. valerie, 38th record close of the year for the s&p 500 if you are counting at home nasdaq 100 on the eight-weekwi streak a lot of uncertainty of how much better the economy can really be are you getting a little wary at any point of valuations here >> not really. i think the key issue going into

the next round of earnings will be how are corporate profits performing my sense is we will see pretty strong results you have to remember there are two factors. the mlt ultiple on the market a underlining earnings we should see better than expected performance across different sectors. i'm not too antsy right now in terms of the valuation overall >> we got earnings season kicking off tomorrow and the next two weeks dominating the news cycle it sounds like you are expecting big things, valerie. >> yes, i think we are expecting strong results we kickoff early with financials and move through the various sectors. it is interesting to see what is happening in the consumer sector in particular with the health of the consumer which is critical and what is baked in in terms of any type of inflation companies

are absorbing. some companies with inflation of input coming from suppliers. there is a question as to which ones are able to pass that through to their end customers that is where the questions will lie. that's where the uncertainty is right now. >> the higher costs will eat into the margins that is the watch word of earnings season. word cloud on the word inflation for the next two weeks valerie grant, good to have you on have a great week. >> thanks, brian good to be here. all right. you're very welcome. that does it for us. no rbi ran out of time. you have a space story what else do you expect? we'll have it tomorrow markets are mixed. "squawk" and the gang are picking it up next have a great day

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good morning dow futures slumping a bit to start the busy week. we have key inflation data fed chair testimony with the kickoff of earnings season mission accomplished do you use that term richard branson celebrating the successful journey to the edge of space virgin galactic shares up nicely this morning. china continuing the crackdown on big technology. the latest target tencent. live to beijing. it is monday, july 12th, 2021. "squawk box" begins right now. good morning welcome to "squawk box" here on% nbc