report" with tyler mathisen and sue herera. in the books, the first half of 2015 is history. a number of new highs settled along the way. but were those records deceptive? on the brink, hopes for a last-minute greek debt deal were dashed leaving a lot of unanswered questions about what happened next. shedding pounds general electric is remaking itself and it's not wasting any time. all of that and more on "nightly bu for tuesday, june 30th. >> good evening, everyone. and welcome. the first half of 2 is in the books and the first half of the year was designed by low growth low gas pr lower interest rates. that all started to change in

the second. the snow melted and temperatures rose and so did economic growth consumer spending and rates. and that cycle took stocks full circle ending the first half about where the started the year. for the first six months of 2015 the dow jones industrial average fell about 1%. the nasdaq the biggest gainer up 5% and the s&p 500 flat. and today, the final trading session of the month, the second quarter and the half the dow rose 23 points to close at 17,619. nasdaq climbed 28 and s&p 500 gained 5. bob pisani has more on what worked and what stalled out in the first half of the year. >> the end of the first half of the year has proved to be a very mixed bag for investors. the s&p 500 is only 3% from its may historic high but that's a deceptive picture. there have been some winners but also a lot of losers. first, let's look at the winners. banks and health care groups banks have benefited

from a rising interest rate environmt and hopes for improving economy while health care and pharmaceuticals has also been strong. but there are many factors that started the year strong and have become stalled in the second half. for example, housing and there's a affordability issue and prices are getting higher and wages are stagnant and higher mortgage rates have investors cautious. retail stocks have been all over the place. while there's a few like macy's and target that have shown an improvemen apparel makers and departme stores continue to struggle as sales move online and consumers show a preference for buying electronics over clothing. then transportation stocks as well as interest rate sensitive groups like utility that were enthusia attempts to buy those energy stocks as the sector bottomed in january but

the rallies failed repeatedly as investors began to realize it's unlikely the u.s. shale sector will see a rapid recovery in the second half of 2015 or even 2016. if there was ever an argument for owning a broad portfolio stock, the first half of 2015 should be exhibit one. i'm bob pisani at the new york stock exchange. one of the biggest issues for the market heading into the second half of 2015 is greece. and today, on the day greece's payments to the imf was due there was no agreement and no progress and back and forth from both sides. michelle caruso-cabrera has more from athens. >> reporte gre prime mi alexis tsipras silent as he arrived at work this morning but behind the scenes another round of negotiations in the hopes of a last-minute deal were dashed late in the day when the dutch finance minister said they would try it

all again tomorrow. in the meantime today, greece's bailout program officially expired lea the country without a financial lifeline for the first time since 2010. finance minister besieged by reporter as he arrived at the office confirmed the country will not pay the 1.5 billion euros due to the imf by 6:00 p.m. this evening. with greece's banks closed for a second day, the country's citizens lining up once again, at atm to withdraw only 60 euros per day, that is if they can find an atm that actually has cash. bu owners say the economy is coming to a screeching halt. nicholas and his father run a greek clothing business, distributi to hundreds of shops across greece. they sourc overseas fa countries but yesterday chinese banks canceled their credit. >> they don't trust the bank and they say in order to continue we need a confirmation from your bank but the banks are closed.

so i don't to do. >> rep s what do you do? >> right now we're in a state of waiting. e spectators. >> repor tonight, a rally held by those who want greece to stay in the euro and vote yes in a controversial referendum being held on sunday asking greek voters to decide whether or not they should accept a bailout package filled with more tough austerity measures. president o also weighing in on the greek crisis. >> this is not something that we believe will have a major shock to the system but obviously it's very painful for the greek people. late in the day, they went on the national television and said they would consider canceling sunday's referendum i greece could get a good deal. right now, there are no signs of

that. fo "nightly busine" michelle caruso-cabrera athens greece. mik collins is joining us now to discuss what lies ahead for the markets in the second half of the year. he's with holland and company. always great to have you with us. welcome. sue, thanks for having me. >> let me start with where michelle left off, greece. as we go into the second half of this year how much of an overhang will that situation be for the market if any at all? >> do you know that a week from now we may actually have something lik greece no longer be in the headlines? it's hard to believe, given what we've had the last several weeks. but if we get, for example, a "yes" vote by the people and then the government the current government gets thrown out, which they probably should be we could end up a couple of months from now with a reasonab the can kicked down the road in a successful fashion and people no longer worrying about greec today. and it's a great segue into the first half. greece is only the latest of all

of the problems of people that would be extended through the year and a lot of them are going away, one of which is the federal reserve. lots of things are going on. the fog may be lifted going into the second half starting with greece. but still, mike the market seems some weeks oblivious to the headlines but in the past two weeks, very much captive to those headlines, whether it's greece puerto rico china, even the terror attacks last week around various countries around the world. do you expect that kind of sort of captivity in the headlines to be the hallmark of the second half. one of the things that's bn gog on in this incredibly liquid market a lot of people are out this week so the markets have been volatile. when you have a scarcity of informatn to trade on in terms of earnings and things going on let's remember we started the year with earnings at one level and ended up in the first half

with earnings at a much lower expectat level. going into the second half people actually have a few positive things to ponder going in rather than obsessing about greek headlines or puerto rico or china volatility. going into the second half you could end up with lower earnings expectatio bei met or exceeded end up with the federal reserve doing what it said. bee telling us what they are going to do. what if they actually do it? wouldn't that be a nice surprise for the market? and greece we keep hearing -- and michelle caruso-cabrera is right on site there, the greek people want to stay in the euro. they will find a way to do it. let's say that happens and we could end up with a much more pleasant way. not negativelily but positively. where do you deploy cash right now, mike? what areas of the globe do you like? >> sue, because of all of the negative h and the volatili and particularly in the downside in the first half

you've ended up with opportun in each of the three markets we discussed in the past. if the u.s. the large cap that you mentioned, the dow is actually down a little bit for the first half. some of the great companies there are yielding big, fat dividends, cash dividends, and we're going through a litany of those. and then you have europe which i think is going to come out of this thing probably in okay fashion but the valuations are quite reasonable by historic standards. so i would like at the european companies and finally a l surprise here the asian companie by china. we've had a massacre with very high price companies and the rest of the market is very reasonable we talk about buying index funds in china and wouldn't eastbound think about it now because there's danger in very expensive companies. if you can find a really good manager to pick the good chinese companies, you h a chance to make some money. thanks mike. appreciate it. mike holland of holland & company. ty? >> mike referred to in the

second half interest rates, and today stanley fisher said policy makers are on track to raise interestn it's been improving in the labor market and inflation numbers. the market has a way to go before reaching full employment. > the federal reserve is watching the housing market and today we learned that home growth slowed slightly in april. the case shiller home index rose 5% from a year ago. despite the year-over-year rise it was slower than forecasted. denver and san francisco posted the dpan with prices rising 10% or more. consumer confidence is soaring. e index rose this much as job growth climbed and the index is y watched but it's a different sto for manufactur whi is still e emimpact of a stronger

dollar. today, manufacturing activity in the middle west remains in contractn for a second month. well business will not be getting done at one federal government agency. congress left for the fourth of july recess without reauthorizg t export/import bank charter. supporters of e bank say they will seek to refewnew the retroactiv charter. it's not companies just like boeing and 3m that rely on financin bank but also very small businesses. > a nuclear deal with iran has been pushed back to july 7th from today and president obama made it clear there't of negotiating that needs to get done. >> there has been a lot of talk on the other side from the iranian negotiators about whether, in fact they can abide by some of the terms that came up in luzon. if they cannot that's going to

be a problem. because i've said from the start, i will walk away from the negotiatio if in fact it's a bad deal. >> john harwood has been follg the talks from washington john we've seen these extensions several times before this latest one. so what are the prospects for a deal? >> i think it's iffy but still likely that they will reach one. i don't think the obama administ would h extended the deadline once again if they didn't think that there was a reasonable chance of success and he clearly has made this a very high priority in his foreign policy before leaving office in less than two years' time and he believes he's got a shot at it and public opinion, interestin has moved somewhat in his favor. if you look at our most recent nbc/wall street journal poll 37% say yes and the number opposed has fallen. you still have more than 45% of

people who say they don't know enough about the deal not surprising given the complexity of it. but this suggests that there's a window in public opinion for him to move and he's going to try to go through that window. >> john why did the president go out of his way to say he would walk away from the table if the deal wasn't a good one? >> i think, tyler, because he's been getting pressure and criticis from republicans and also some of his own party who worry he may be too eager to make this deal because of his desire to establish a foreign policy legacy and conclude the effort to halt the iranian nuclear program. so he has said repeatedly but in the wake of this criticism he said i'm not going to trust the iranians. is going to depend on verifica and if we can't get agreement and consensus with the iranians that they are going to let us verify what we commit to in this deal i won't make the thank you, as always. john harwood in washington. still ahead, some of the funds with the biggest exposure

to puerto rico. we'll name names of the island's fi think investors here have seen a pickup in volatility recently? e shares are up 25% but it's been anything but a smooth ride. eunice yoon has more from beijing. >> reporter: stocks were on a roller coaster ride on tuesday. the shanghai index plummeted in the morning by 5% before reversing c and ending the day higher by more than 5% in a massive swing.

chinese authorities were talking up the market a little bit by encouragg fund managers to make rational investment opportunitie th securitie regulator also in a rare state urged investors not to panic and to stay calm. now, these efforts come after similar measures by the governme to try to shore up investor confidence over the weekend. the autho cut interest rates and also on monday they unveiled a blueprint allowing pension funds to invest in the stock market. now, a lot of people here see all of these measures as a way for the government to continue to push and encourage the stock market rally, keep those stock market prices sustained. despite the efforts to stabilize sentiment, a lot of investors here are still very nervous, jittery about losing their money and so most analysts say we should expect to see a lot of volatili in the chinese mar month to come. i'm eunice yoon in beijing.

s standing on the financial precipice unable to stand. kate kelly is in san juan reporting on what options the island has. >> reporte in an emotional nimght, port reek ohio's gov rico governor argued that they were in a death spiral he's asked for leniency from puerto rico's creditor owed some $2 billion on july 1st and the night before the due date the governme has committed to only paying $545 million in bond interest so far. the rhetoric has sparked backlash both in the investor community where some say that attempts to make a debt deal has been ignored and a political circles where pedro has argued that the government hasn't done

enough to grow jobs and the talk of default is one way to slide off the hook. >> we cannot continue posting new taxes on our people and businesses whe we feed to grow this economy. but that's what we should be going through and we should be avoiding talk about any default or any moratorium. that doesn't help anybody. pierre is pushing for an orderly debt relief process but in the meantime he's asking for inclusion on a new governme task force to discuss the matter. meanwhile, we' see if the rest of that debt money comes through on wednesday. for "nightly busine i'm kate kelly in san juan puerto rico. u.s. b mutual funds, the kind you and i might own, have more than $11 billion to puerto rico's debt. here are some of the funds with the greatest exposure. franklin double tax-free income, oppenheime rochester maryland

municipa and the virginia municipal. to see what other funds have high exposure head to our website, nbr.com. an $18 billion merger is where we begin tonight's market focus. the new company will be called willis towers watson and will benefit from the low corporate tax rate in ireland. towers watson tumbled almost 9% to 125.80. conagra is looking to sell its business less be that three years and the earnings top estimates although revenue was below forecast. shares were a fraction higher to 43.72. the activist firm led by nelson peltz has taken a second stake in pebt air.

they want to consider buying up it is rivals in an effort to con e the fragmented market. pep boys may put itself up are reviewing strategic options to increase shareholder values. i think they should get rid of manny and mo but keep jack. the chairman of qualcomm says the company has no plan to sell off its chip business even as investors hav b pressuring the company to split up because of the intense industry competitioe stock is up a penny today to $62.63. g electric continues make progress in trimming its finance arm as it works towards the goal of generated 90% of the income from its industrial base. so far this year shares of ge have risen almost 6%. mary thompson reports.

general electric's goal is clear, sell close to 100 billion in financial assets by year end. >> now is the time to do it. >> rep ceo embarked on an ambitious plan for 2016 half of what it wants off the books for this year. shrinking e finance arm will transform ge and by 2018 90% of the profits slated to come from businessr and water, jet engines and health care. second in trimming the finance unit a huge source of profits in good times that almost brought the firm down during the financial crisis the conglome can apply to remove its designation as a nonbank company. removing the designation means ge is no longer subject to federal oversight. buyers for all of these things. >> the latest buyer paying $2.2

billr the ge unit providing financing to european private equity firms. the sale bringing t total amount of assets sold to $68 billion, putting ge within striking distance of its goal. so far, analysts say ge has received good prices for the assets it sold, which include a hungarian bank and real estate lending unit fleet services business as well as the financia unit that deals with domestic private equity firms. the next assets on the block, likely to be a unit providing funding for health care faciliti and the well-respe comme lending and leasing operations. supporting franchises and other businesses. ge quickly cutting ties to its past to ensure a more stable future. fo "nightly busine" mary thompson. coming up will the new proposed rules for overtime pay turn into a headache for small business

here's a look at what to watch for for tomorrow. the precursor for thursday's june jobs report we'll get another big read on the economy with the ism manufacturing index. and ju auto sales are out and that's what is to watch for wednesda apple making its debut today. there is a free three-month trial service and then you have to pay $10 a month with a library of 30 million tracks. cheaper gas put a big chunk of money back into consumers'

pockets, according to the aaa. the americans saved a total of 65 billion clarz in the first half of this year which equates to $135 per household. > more americans could become eligible for overtime pay. we told you about a congressl heari examining the issue. today we got more details and the proposal could have a big impact on small business. kate rogers has more. >> reporte the fight to raise the minimum wage may be stalled at a federal level but president obama is moving forward with a push to offer greater overtime protectis to nearly 5 million workers. obama announced on monday night in a blog his proposal to extend overtime pay in 2016 to white collar workers making up to $50,400 a year from today's $23,660. the president will elaborate on the rules in wisconsin on thursday and there will be a

period of public comment to follow. the president's overtime proposal prompted a swift reaction from main street advocates claim the rules would hold small companies back from hiring and expanding. the move would, in particular hit small retailers, restaurants and franchise operators. for mainstreet businesses, this is going to be really problemati particu small business in rural areas that are going to bear a disproport cost with the new and for workers it's g to mean less promotional opportunit l businesses are not going to have those assistant management positions and that helps somebod work their way up the ladder. >> but advocates say the policy will be easier for small businesses and cause them to take a better look at the way hours are allotted between workers. these overtime regulations are not only good for workers,

they a good for businesses as well. this will cause them to look at their hour practices and the way that they assign work and either decide that the people who are doing overtime are worth the extra money and pay them that or in a lot of cases, they will probably look to spread hours among more workers. and, in doing so they'll turn more part-time jobs into full-time jobs and create more jobs for people unemploy higher wages means more cash on hand for spenders. i'm kate rogers for "nightly and finally tonight one british man has made it possible for you to help save the land of oozo seeking to raise the euros that greece was supposed to pay the imf few day. finney made a small dent before the site crashed.

if everyone in the european union could just pony up 6 euros, he would meet his goal. >> 1/10,000th of its goal. >> yes. >> i'm sue herera. >> thanks for mewatching i'm tyler mathisen.

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