there's apple, of course new high for apple well known names trying to price tonight.re at the new york stock exchange tpg is the primary owner here. 45 million shares 16 to 18 we'll keep an eye on that. then we have well known speaker at the nasdaq. sonos. they'll price 13.9 major shareholders is kkr. kkr owns 22% of the company here and, of course, sonos is competing with apple which has, you know, its own system that is out there. we'll see how they do. by and large, big couple of weeks. we'll go into the august slump we're hitting the final wade now before we get into the prelabor day slump that officially happens with the ipo business. right now dow up 5 point -- 8 points with a modest open. back to you. >> thank you >>> what a day in the bond pits. we'll check in with rick s santelli. >> a big day and it isn't over yet. look at the 24 hour chart of 10s. we're trading currently at 3.01. if you open the chart to early may, we haven't been at the 3% level since may. maybe the most important thing is why okay, above and beyond the fact that fed meeting and we seem to

maybe apple is willing to watch it go by for now >> look, we can't criticize apple given the successe company in the grand scheme of things this is a company that continued to grow, despite size. it has an incredible brand and has done so organically, its guiding principle is they focus on doing things they're best at, and what they have been best at is making great products and services and focus on higher value products and higher value services and that served them well yeah, they have to be careful about losing that focus. losing the focus of controlling the end to end experience, focusing on the higher value consumer, and as scott mentioned i think they've been very thoughtful about participating parts of the market that are relatively capital light and relatively high margin and that continues to be the opportunity for them >> tony, there's so much discussion about the el-- you wouldn't need to buy a new plane, we know what boeing's back order log looks like now. do you see the replacement cycle having a negative effect or is there a corner we're not seeing behind >> i do think

now, one interesting figure is apple's services revenue, things like itunes, icloud and apple music.ue there grow 31% compared to the same quarter 2017. and the markets liked it, too. shares of apple gained more than 3.5% in after—hours trade. nigel vaz, ceo of publicis.sapient international, joins me now. good to see you again. so interestingly, the shares went up. normally apple comes out with fantastic results and the shares go down. tell us why investors were particularly happy this time.” think a couple of things. the first is apple have done a really good job of demonstrating the premium positioning of the iphone x is something they can sustain, so the cost per phone was pretty incredible. tim cook announced it is the most popular phone in china for the most popular phone in china for the second quarter in a row, not just the most popular but the top three phones are apple, which is a big and important milestone for them given china is the biggest market outside the us. and most importantly the point you made earlier, the shift to services. even excluding this 1—off increase th

music to the app store to apple care to apple pay.t's a very broad base result both in terms of geography and in terms of the services themselves on the call cook said apple pay expanded with well over 1 billion transactions apple completed more total transactions than square and more month pill transactions than paypal. back to you. >> josh, i wonder if the higher average selling price which everybody is kind of pleased to see, i think, if you own apple stock today, how related is that to selling these iphones on the installment plan seems it's less price sensitive, more likely to go for the more expensive phone if you're paying it by month. >> great point i also -- we did try to get into how cook is thinking about pricing from here, investors, traders, investors, business people want to know how does the iphone 10 pricing impact, cook is thinking about pricing the next generation of devices cook saying we price products based on the value they are providing. of course we think three new models could be coming in september. i think i

including apple sales. iphone units grew less than 1% in the last nine months, not exactly the heady growth market we are used to from iphones -- from smartphones. but it has found ways to keep growing, including by increasing prices for phones and people are willing to pay. expanding into different product areas. people are fixated not on the problems, but the ways apple has been able to extend its dominance. vonnie: if apple reaches $1 trillion, will we see amazon do it shortly thereafter question mark >> i think it is just a matter of mathematics for these companies. all of these big tech names, their profits keep growing and so their market caps will continue to grow. i think amazon is next on that list. forward, do you think apple could sustain this momentum? of cynicismd test in the market. whether you see apple really ,ustaining this sort of elation market capitalization, or whether we start to see the foot , off the pedal a little bit? i have some concerns, sorry to be a bummer in this segment. righ

so it's a different era at apple. a company that is now an enormous company, which requires a different set of management skills and i think at times, tim is not appreciated as much for those contributions. >> bobby mercer was a fine ba ballplayer, tony wasn't mickey mantle didn't make him a slouch by any stretch. i get where you're going with that john, you wanted to say something? >> i was going say that steve was always out to take a huge risk and push the envelope as much possible and he turned out to be right in hindsight tim actually leads a little bit more from behind he doesn't try to you know, invent the next new thing that happens, but he's created a machine of earnings capability that's unparalleled. the fact that had this year $260 billion of capital they're spending aggressively. buying stocks back these aren't glamorous things to do, but they're incredibly successful at building a money making machine for shareholders. i think tim deserves more credit than he's gotten >> hey, guys, it's josh brown. i'd l

emily: apple music going strong.a listen to tim cook on the call. >> a subscriptions from apple and third parties have now surpassed 300 million, an increase of more than 60% in the past year alone. revenue from subscriptions accounts for a significant an d increasing percentage of our overall service business. emily: be honest, i want to talk about some of apple's other pets. spending jumped 22%. what is it they are spending on? julia: i hope their spending on making the next generation of products to be more intelligent. if we look forward, and we look at their products, whether it's wearables or smartphones, how good those products are an attractive to consumers will depend on the family of technologies under artificial intelligence. how good is their virtual assistant? how good is siri? how well can they connect that into an ecosystem of services? emily: and what about original content, given that it could buoy sales of apple tv, for example. big: the content story is a one, and they are continuing to focus on bu

the likes of the apple watch, air pods and the rest of apple's devices.t's crucial, it still relies on the iphone to some extent they all link to the iphone. so the continued growth of the itself phone what we're seeing happening is helping these other accessories boom if you try to buy some sort of apple product, someone is always trying to sell you the add-on. that's where you see the growth. a lot of parts of this business are firing you have the services, accessories, revival in china taking place that's a crucial market. so at the moment the apple business looks very strong they continue to impress on many different perspectives >> you are their target market you are the upwardly mobile millennial are you apple or android >> i'm both. i'm both, brian. i have two phones. one for work one personal i won't tell which you is which. i'm a tech reporter. i need to assess the entire market >> look at that. he hedged -- literally hedging your tech bets arjun kharpal, thank you very much we'll give out both those numbers later on in the show kidding. >>> reme

apple has become the first u.s. publicly traded company to hit a $1 trillion valuation, leaving the likes of amazon, alphabet, and microsoft in its wake, but not far behind. >> 2, 1, whoo! milestone is significant and a testament to the rapid growth spurred by the success of products like the iphone and ipad, as well as ceo tim cook's leadership after taking over for visionary cofounder steve jobs in 2011. >> and we are calling it iphone. mark: but let's not forget that what is now the world's most valuable company was on the brink of bankruptcy as recently late-1990's. that was until cofounder steve jobs returned to the fold. since then, it was one success after another. in the seven years since jobs' death, cook has steered apple to new heights, by launching new devices like the apple watch, iphone x, and airpods. he has pushed the company deeper into new services, like apple music. cook and his team are not stopping there. they're keeping apple on the technological edge, delving into self driving cars, augmented

if you have hedge fund exposure, you are apple. this is a company which has done a phenomenal job with a generational type of product and now has the balance sheet to transition into services and i don't think any expectation shall be different than what we've seen bernstein's tony sacnoti is still with us. you're the one, tony that called this the single greatest appreciation story of the past years. what is most impressive about that appreciation? >> look, i think the company has become huge and it's continued to outperform the market and that's tough to do it's easy to grow when you're really small and it's easy to have one great product. but to continue to grow and drive, improving profits, the company is going to generate about $60 billion in free cash flow this year that's really what's been most impressive about the story >> jon najarian, you're the owner of the stock, you've said on numerous occasions for an options guy who makes his living in sort of that side of the market this is one, if not the only actual equity that y

the company's seeing good strength in icloud, apple care, apple music, apple pay.ou put it all together, what's going on here is that they're extending their services ecosystem throughout their customers' life, if you will. and so every single piece of what they're doing goes into new areas. liz: let's clarify what services are, they're the app store, apple pay, apple music, it goes on and on, icloud, itunes which is what's called a very sticky business model. you buy an iphone, it's so hard to use other options for music because it works so well with the actual platform and the format. so apple's really smart to go this way. they saw a 31% jump in the services. how much further can this go and grow? >> we think it has room to go quite a bit further, and the reason is as they bring new people in through their products as well as services, if you take, for example, the apple watch where they've seen terrific growth, we know the air pods are extremely popular -- liz: well, they're so good. i have to anytime that. [laughter] >> i agree, i agree -- liz: don't lose them

all eyes are on apple.t is the most valuable company in the world, and it keeps getting more valuable. will it hit the $1 trillion market cap mark? we have got to get it just over 207 in terms of our price to have that milestone. this is bloomberg. ♪ erg. ♪ commerzbank from bloomberg's -- day, italy up by 1.7, germany up by 1.5. euro stocks down. why? trade tensions. this is what drags down -- despite good numbers coming from the likes of barclays. greek 10 year seeing 20 basis points higher. 12 to 130 year up basis points. it seems there's concern that japan's volatility getting up tick in yields. will they buy european debt as much as they have? the weakest bid to color ratio that we have seen in a decade. it is the concern about this that drives the selloffs and widening. big moves across the foreign exchange. let's have a look at some of the stocks that are on the move. some numbers look good. metro currently up almost 10%. this helped offset some of the falls in the tax. finally, russia is turning arou

it is great for apple.t is great for apple because there has been some question marks about apple and their to continue to grow. i think they have proven that up to them both -- investors and having success in doing that is great. scarlet: to what extent is apple's there -- bellwether? it is a consumer stock, but also a consumer stock. it is not as highly valued as many of the tech stocks. we are and have been shying away the new buys within technology space because of multiples. when you look at apple relative to some of the new software service names, some of the other ang names, it is still relatively priced. lisa: i feel like everyone we have asked, they are like, no. we will keep talking about it. i want to get your sense where people are sentiment wise. there seems to be a lot of pessimism. in zurich good for now. wait six months and then everything will good -- will go up in flames. where do you come in on this? peoplethink in general, are too pessimistic. if you look at the headlines, certainly the

apple at 1 trillion.acebook and netflix fell recently and twitter as well you point out they're failing in china. why do you point that out? >> we're seeing all of the f.a.n.g.s failing in china apple sells a premium priced product. they sell in the developed markets. they have to come in at a lower price point. when we look at what google is doing, facebook is doing and coop waiting with the chinese government, it shows the privacy advocates who had concerns about some social platforms and tech giants, it shows they were right to be concerned. ultimately these companies will act in the interest of maximizing their shareholder value, which is their mandate. but when you get back to what matters, that's the users, customers. and customer satisfaction, apple got to $1 trillion not based on innovation, they got to 1 trillion based on customer loyalty, brand value and customer satisfaction. when they start acting against customers interests, that bodes ominously for the long-term. >> eric, let's get your thou

has apple peaked? one analyst has slapped the company with a sell rating, warning 2019 could be disappointing. twitter, at a political crossroads. is the social media platform worried about angering conservatives? continues tesla saga for a third week as elon musk propels the company toward a possible rebirth as a private company. he says he will not stop working at his current relentless pace. board members and investors are growing more concerned about his health and stability. area huffington has encouraged musk -- arianna huffington has encouraged musk to take time off. and teslanded, "ford are the only american car companies to avoid bankruptcy. i just got home from the factory. you think this is an option? it is not." joining us, an analyst who has a buy rating on the company. and liam. pierre, we don't talk so much about asleep -- about a ceo's sleep patterns. what do you make about his own admission that he is not sleeping or, if he is, he is sleeping at the factory? does that give you confiden

rising behind apple. mark, you make the point in your story that tim cook has had a lot of successes come even though he has caught a lot of flack for not being steve jobs. mark: this is no accident. when he took over back in the fall of 2011, there was so much talk of, is he going to steer the company to new heights? will he do more than stabilize it? at the same time, there was talk of, will it become a company that became under john scully and other past ceos who succeeded steve jobs? the answer was a no. the numbers are still representative of this course -- marker.al smaller products, the apple watch, etc. first apple isn't the company to hit the trillion dollar mark. petrochina, which quickly fell. the highestving market cap isn't necessarily the recipe for success. absolutely not. microsoft in 1999, hit a half $1 it hadn mark and while four successive years of downward trajectory, it languished at the number 300 in terms of market capitalization. it doesn't spell a winning streak. you mentioned pet

talk about apple.see big ben right behind you, you're in london for those who don't know, you're a fish out of water, you don't look like a londoner, forgive me. you look like a werner but what do they think about all this in london? >> you know the tech sector for sure in the states, to coin a phrase the apple of the u.s.'s eye and something they really envy over here. they try a play a little catch-up but they have areas they do really well but slowly, surely, they think eu has to be the regulator of these big u.s. companies. david: oh, boy. >> they're coming out with regulations and fines over here which i'm sure you're aware of. david: oh, yeah. >> to take the drivers seat if they can't beat the tech sector, they want to regulate. david: this regulator or czar or czarina. because it's a woman, came down with billion dollar fines, last one against google, do you think they could turn the attention to apple and that might curb some european sales? >> no, not as much. they're more social media related

a great quote without apple and what is going on with apple. apple is blessed drill and more financial guile. apple does not stay out late on weekends. it purchases on the sofa with a cup chamomile tea and a cardigan. it is sensible and a good life. >> best quote ever. i love it. it is right on. that is what this stock is. we were talking about this last week. people were asking why there wasn't more of an apple stocks. why it was not in the same growth trajectory. the reality is apple has not been a growth stock for a while. it is a value stock. that is a good thing for investors. tim cook and the rest of the vote up or the trajectory is companies on. it also raises the question on has the market recalibrated. iphone sales slow. asp is continuing to rise. that was a big surprise to come and $25 above what they were expecting. that was the good surprise. that is why you are seeing the stock of the three or 4% premarket state. on servicesrease revenue is a good sign. this is also showing a company that is not going to be the growth juggernaut th

i think apple pay, apple music, apple cloud storage, photos, all of these are services which they cany expand upon and make more money. , we kindhe wearables of laugh at apple watch, but billion toit's a $5 $8 billion business that did not exist a few years ago. in any other company, it would be a huge win. but it is such a gigantic company that they have to do outsized successes. i do think they will be creating more products around the wrist. i think they will be creating more products in your house. i think apple home is just the beginning -- the apple home pod is just the beginning. i think they will keep coming back in a way -- they don't give up that easy. emily: and they are probably not going to give up on india, either. we will see. how, our editor, thank you. om malik of true ventures, you are sticking with me. coming up, facebook's never-ending privacy controversies. this time, reports the company has asked u.s. banks to share financial information about their customers. we will discuss. this is bloomberg. ♪ ♪ emily: facebook shares rose the most since april monday off repo

clorox to apple to 300 how can apple start getting the recognition it deserves? we need a brave brokerage house to transfer coverage from the tech analyst, so many nay-sayers to the consumer product analyst. that would be a huge positive. while the company may seem dominant, it still has an enormous total addressable market that hasn't even come close to tapping take personal computers. most businesses don't use apple. you use hp, get a dell, the moment you let your workers pick their own patriotcs they overwhelmingly choose mac. i know you don't believe me you will see a hockey stick. apple is the third largest cell phone company on earth first quarter samsung shipped 78.2 million apple shipped only 22 million phones but the price point for apple is so high they can take a ton a share especially tell kell subsidies. apple can continue to buy back a huge amount of stock and that's basically what they've been doing. with $243 billion in the bank, the government won't allow any company to buy as much as it wants on any given day at times, these volume restrictions

apple up 4%. lot for the broader market at this point >>> autonation quarterly results hitting the wire right now revenue landing just about in line with the street's forecast. joining us now is autonation's chairman, president, and ceo mike jackson thank you for being here today >> becky, it's always a pleasure to see you first thing in the morning. >> all right so let's talk about your numbers revenue about in line. earnings came in a little better than expected. what happened? where was the margin improvement that the street didn't anticipate >> we had excellent revenue. 5$5.4 billion up 2% we had movement in the used business we are in that magic period where we have higher volume plus 5% and we were able to improve gross margin per unit sold when you put that multiplier effect together, the gross profit in our preowned business improved really strong preowned business. and in the financials services business, we continue to lead the industry with our results per unit sold. and we had another

cheryl: market milestone as apple becomes first u.s. company to cross $1 trillion in market value, another key marker the company needs to cross. lea: rally in apple and text dooks pushed nasdaq nearly 100 points while the dow 7 points lower. cheryl: today all eyes on the july report, just due a few hours from now ahead of the futures slightly low e, down 21 in the premarket, nasdaq down three quarters of a point. lea: in europe european stocks opened higher, here is a look right now, ftse higher by 4 tenths of a percent. the cac quarante almost a quarter percent and dax in germany higher about a half percent. cheryl: great numbers there, good to see. change shy in composite in china fell 1% on ongoing fears of trade in the u.s. lea: get ready for cardless atm, fbn:am starts right now. ♪ ♪ rl cheryl august 3rd, we made it, everybody. cheryl casone. lea: breaking news this morning, apple hitting new milestone becoming first american company to surpass $1 trillion in market values. cheryl: shares of apple slightly low e in premarket, who

but then came apple. the iphone giant surged this week following its earnings report as much as 9% and thursday, it happened. $1 trillion. apple became the first u.s. publicly traded company to cross that milestone. just how did it get there? bloomberg's mark gurman has the answer. mark: after months of waiting, it finally happened. apple has become the first u.s. publicly traded company to hit a $1 trillion valuation, leaving the likes of amazon, alphabet, and microsoft in its wake, but not far behind. >> two, one. [cheering] mark: apple's milestone is significant and a testament to the rapid growth spurred by products like the iphone and ipad, as well as ceo tim cook's leadership after taking over from visionary cofounder steve jobs in 2011. [applause] >> and we are calling it, iphone. mark: but let's not forget that what is now the world's most valuable company was on the brink of bankruptcy as recently as the late 1990's. that was until cofounder steve jobs returned to the fold. since then, it was one

well first of all china is a very important market for apple about a quarter of apple's revenue comes from the chinese market and this revenue and have been rocketing on strength off the i phone x. the kompany has just reported nine point five billion dollars and revenue that came from china fignon effectively more than last year and investors expressed concern that a recent round of proposed terrorists could impact apple's market share in china but the c.e.o. tim cook emphasized the company's position the tariff can have unintended consequences for consumers and the economy but he did not say what if any impact the new set of terrorists could have won every product i would like to remind you off the special treatment of president has granted tim cook so far when he said that the u.s. government would not levy tariffs on the i phone as pembleton china so i would say so far investors are not too worried here i think it is fair to say that apple is not in a line of fire right now. so if you. own wall street thanks ac. reports say google is vowing to beijing by creating a sense to divert

cheryl: aren't a other big story as apple watching shares of apple this morning after the battle. the stock rising in premarket trading up 3.5% right now becoming the first company average to have a $1 trillion market cap. apple earnings-per-share both meeting expectations. revenue from the service businesses jumping with 30% to $9.5 billion. >> tim cook commenting on the conference call with analysts. take a listen. >> we feel great about the momentum of our service business and we are on target to reach our goal of doubling our fiscal 2016 services revenue by 2020. lea: and looking forward, apple raising its revenue guidance for the current fourth quarter. cheryl: all right, let's take a first look at the apple first quarter. michael nuÑez, let's first talk about what the overall call told us. the iphone is a device that will take those customers today, to entertainment, to spirit almost like a cash register. not an iphone anymore. >> yeah, one of the larger narratives from the earnings call was that apple service businesses is outpacing the iphone business at this point. for al

then came apple.hone giant surging reports it has become the first publicly traded company with a market cap to top $1 trillion. holiday, you are on david, so thank you for coming on and spending time with us. let me start with what is a really broad question. [inaudible] it totook 15 years for get here, really. i was just checking, it wasn't until late in 2000 for the the stock broke out of the range of $200. basically, it is relentless product innovation combined with ordinary logistics and -- extraordinary logistics and execution on the part of tim cook. steve jobs got the ball rolling, but you have to give tim cook credit for being able to have this many products that are this good and do it so consistently, and the results are showing it. is it going to be smooth sailing though? just about every company that is part of the global supply chain is concerned about trade tensions. craig said on think we can be smooth sailing -- >> i don't think we can be certain it will be smooth sailing. i suspect i

used to be the apple of its time if you go back to 2005 when apple was doing ipods. we've covered for 20 years, we've seen this cycle before they're not in any danger today, so it's going to be a long ark but it's troubling to see their unit volumeerize starting to falter, and they've got to do something about it >> is that troubling that unit volumes are falling at the same time average prices are rising >> our view has been that analyst and investors that are overly concerned about unit volume growth are missing the big picture. if this is just a gdp business, if hardware devices is just a gdp devices going forward and right now 15% of the installed base of 1.53 billion giess or so if that penetration goes up and asp goes up, this is going to be a ten of billions for apple in the next four years. that assumes like i said very little growth in devices >> but jason, the services business, a large part of it is apple music. we know from the likes of spotify and pand dorra that's sfil a loss making business despite being relatively mature. it's good few years old alrea

the share price hit two hundred seven dollars and all of a sudden apple was worth a trillion dollars the company made its market debut in one thousand nine hundred eighty with a share price of thirty nine cents if you bought ten thousand dollars worth of shares back then your investment would now be worth six point four million apple's clearly come a long way in one nine hundred ninety seven the company found itself on the brink of collapse when the macintosh wasn't selling consumers seemingly unwilling to pay more for it than its microsoft alternative. but with the introduction of the i pod and the i phone things began to look up again the devices the design winning apple a cult following after the death of founder steve jobs tim cook took over at the helm under his leadership apple became the biggest stock market success in u.s. history brings some new features today that the everyone has i phones i pads i products and no oil to be on there is significant they have been able to continue to sell product increasing prices high margins the question of course always is can they continu

now, the question remains if apple builds them will customers come?e common wisdom on the apple retail stores was that it was a stupid idea that would fail. plenty of computer companies had tried it. dell had stores. gateway had stores. nobody went to them. it was just an exercise in vanity. but this concept of open, airy places where they weren't going to try to sell you stuff but instead you could ask questions about your apple products, you could see demonstrations, you could get your hands on them, is just an unbelievably different approach to retail. and once again, steve jobs figured it out. >> what began the process of taking apple from a niche player to a leader that everyone had to race to catch up to, even microsoft, was the ipod. >> boom. that's ipod. i happen to have one right here in my pocket. there it is right there. [ applause ] >> the ipod was a classic apple device. a chrome mirrored back, a pure white acrylic front. that famous click wheel for dialing through lists and stuff. it was the first mp3 player that really worked and was so

nearly 70% chose amazon, not apple.ed to add to apple, warren buffett's berkshire hathaway, his firm made $3 billion on the position between yesterday and today. two days >> you did mention two funds that made a good amount of money in apple and apple, for example, not everybody missed the party >> didio you ca you call it appe palooza. >> no, that just happened. >> there was one point about this data, though. i that you were going to get there. >> it was very interesting because these -- these are hedge fund nirms that have been long the stock for massive periods of time and this is one of the most fabulous investors i know right here, karen finerman, when was stock was in the hole in february you bought stock and when it went to the high you sold it and when you look at the reporting it's not there, but you made money on it i think putting too much emphasis on what was reported 45 days after the quarter doesn't make a whole heck of a lot of since. in my opinion, i thank you for doing it >> the other point to be made i

at apple headquarters in cupertino and 8:00 a.m. at our headquarters and "squawk alley" is live. ♪ ♪ good friday morning, welcome to "squawk alley. just me and morgan jon fortt has the day off. joining me, investors. a lot to talk about today as we continue to watch apple ticking higher a day after becoming the first publicly traded u.s. company to reach that trillion dollar valuation a memo to employees, tim cook called the news a significant milestone adding while we have much to be proud of in this achievement, it's not the most important measure of our success. putting our customers first and always staying true to our values we talked about the degree to which this was a topic of discussion in the company. this is a bit of a clue on that. >> i think cook there is making it clear and reiterating what he talked about with different reporters as they approach this $1 trillion mark, it's important, a milestone these results affect the innovation and products. in that letter he also talked about steve jobs and cautioned his team in

stuart: look at apple. getting -- look at that. now apple is now worth $991 billion.dollar mark. yeah, apple is having a great run this morning. it is up about 2% almost. it is around $205. two more dollars up and that thing hit as trillion dollar valuation. wait until you see the graphic we've got ready to go. i hope we get to use it. >>> the price of gold down four bucks at $1222 per ounce. >>> check the price of a single bitcoin, $7549. down just a fraction today. >>> now, sports. the nfl preseason, can you believe this, preseason kicks off tonight bears versus ravens however, the nfl has not resolved the anthem kneeling issue. we're two years in, it is still going on. host of "speak for yourself," jason whitlock. give me a prediction. what is going to happen tonight? >> tonight we'll see a lot of lamar jackson and rgiii. i don't think we'll see any pregame national anthem protests. i think that has been put on pause as the nflpa and nfl owners try to work out some sort of agreement. stuart: that is progress. >> i don't think anybody will happen on the protest fron

is apple turning into a flight to safety in tech? dan?yeah, i think obviously since it broke out, since it hit that $1 trillion number, i think expectations into that quarter they reported, i think, on august 1st were very low and they did a lot better than people expected into a product cycle. you put that together. we know the stocks -- or the cash situation we know the valuation. it seems like things are firing on all cylinders your point that facebook is down 20%. netflix is down 25%. the semiconductor stocks are down about 10% from their highs. you have seen this rotation. i will get nervous it is getting a little steep the trajectory, and it is crowded. >> do you buy apple at all-time highs? >> we have been saying the rotation is going to favor apple and it definitely has. would you buy in at this point hard to say. i agree, it's getting rich here. but i think that as the market continues to re-evaluate what they're willing to put in forward expectations, the f.a.n.g. stocks will continue to get hit and apple is continuing to delive

then came apple. the giant surged following its earnings report as much as 9% and thursday, it happened. $1 trillion. apple became the first u.s. publicly traded company to cross the milestone. how did it get there? mark gurman has the answer. mark: after months of waiting, it is finally happening. apple has become the first u.s. publicly traded company to hit a $1 trillion valuation, leaving the likes of amazon, alphabet, and microsoft in its wake, but not far behind. >> 2, 1 [cheering] mark: apple's milestone is significant and a testament to rapid growth spurred by products you have covered this company for years. what does this actually mean? gene: i think this means that apple has become really the fabric of our lives. it is testimony to that that this is something we do not even think about we rely on apple's devices. i think that is one piece, and i think it also means the company is so big right now it has an unfair advantage over a lot of other companies, just given the market cap, the stock

play, apple music, apple storage, cloud, apple photos, all of these are services they can expand uponnd make more money plus i think the wearables, seriously, like five to $8 billion a year business which diane exist three years ago is kind of like a shame we have to laugh at it because in any other company it would be a huge win. it's such a gigantic company they have to do outsized successes. i do think that they will be clearing more products around the wrist. i think they will be creating more products in your house. i think the apple pod is just beginning and they will keep coming back in a way that you've seen this company -- they don't give up that easy on product lines. >> and probably aren't going to give up on india either. we will see. thanks so much. you are sticking with me. all right. coming up facebook's never ending privacy controversy. this time reports the company has asked u.s. banks to share financial information about their customers. we'll discuss. this is bloomberg. >> facebook shares rose the most since april monday off reports the company is forging deeper rel

you talked about apple apple would be the first name i look at. if it gets pulled down that's one of the names because you are looking what they are doing right now the possibility of the growth factor in september and rest of things coming forward towards the end of the year. >> but that's because you believe on the other side of it whether it takes six months or nine months it will recover whatever the high might be at this moment. >> does it make anybody at all pause that you -- since we're talking amazon and apple, you're going to have in a matter of hours, days two companies now ringing the bell on a trillion dollars market cap >> that's what we expected when apple approached trillion dollars everybody said that's the ceiling. i heard people said sell apple -- >> not unreasonable to ask that question >> it's unreasonable to sell apple because it hits a market of a trillion dollars. >> maybe to take a step or half a step back at the bare minimum. >> if you have a thousand shares and you want to give back 400 of them i have no problem with that

of the cell phone market but its latest earnings report put that worry to ras apple posted earnings of fifty three point three billion dollars in the third quarter an increase of seventeen percent over the same time last year and that is driven by strong demand for its most expensive phone the i phone x. but it's not just hardware behind the company's success the tech giant is also seeing growth in its services business which includes the app store apple music and apple pay sixty percent of the company's sales are international in every region except japan reported double digit growth this is the fourth quarter in a row of double digit growth for apple pushing it into trillion dollar territory at a time when. other tech stocks like facebook and twitter have struggled up with a good quarter so they sold yet again fifty million phones and if the phone sales were a little soft why unit number the average price rose because the axis was very high average selling price so apple continues to be the most profitable company in the world now apple may be the first trillion dollar company in

tech strength has everything to do with apple. let's look at the one-year chart of apple. this is impressive. apple gaining 33% right now trading at an all-time high on a solid june quarter report. they posted more than 17% top line growth driven by demand for the iphone. that bodes well ahead of the september refresh. ofs company has a market cap almost $960 billion. perhaps apple will be the first publicly traded company to retrieve that $1 trillion status. --we look at also bet, it is if we look at alphabets, it is up. this is on report that google a searchs planning engine, with the possibility of competition sending shares of baidu lower but helping off a bit'bottom -- alphabet's bottoms line. the 10 year yield dipping a little bit lower, but right on 3% right now as haven bonds pullback on the tech driven rally on this day. pretty interesting how it is a by day. right now, ahead of the fed at 2:00 p.m., we have the 10 year yield back above 3%. the first time since may. selloff ishat bond global, as well. equities in europe trading down. we are up by .5. we have about

i want to ask you quickly about apple.ave come from stanford, to see them now bumping up against a trillion, it is there now. you knew steve jobs, i would imagine, right? >> i knew steve jobs. i was around when his board fired him from the company and he went and came back. if you had given me a test and asked me if apple could ever the most valuable company in the world back then, i would've answered, there is not any chance at all. and it's amazing how silicon valley has come to dominate the stock market. liz: did you think that because i do know, my dad got the first one and it was like a cube. is that why you thought that? >> i would have said the same of other companies, including even chip companies. it is just amazing how technology in general, has become such a huge part of our lives. i would have picked intel juggernaut over apple to win the war computers. but who thought that they could come into the cell phone market? which is a brutal market and dominate the market. the performance has been extraordinary.liz: t

maybe the psychology is still working for apple lawyer. let me -- working for apple here. let me quote a morgan stanley analyst who says that innovationled price increases have historically boosted apple demands. a status symbol, a symbol of status and wealth -- it is expensive. it is still working for apple here. helena: but there was something else they have to play with, the prospect of a trade war with china. what will that mean for the company? first of all, china is a very important market for apple. quarter of apple's revenue comes from the chinese market. this revenue has been rocketing off strength of the iphone x. the company is reported $9.5 billion in revenue that came from china, significantly more than last year. investors expressed concern that a recent round of proposed tariffs could impact apple's market share in china. ceo tim cook emphasized the company's position that tariffs can have unintended consequences for consumers and the economy, but he did not say what if any impact the new set of tariffs would have on apple products. i would like to remind yo

universe and that's where apple is trying to keep its numbers. problems in front of thank you. economic a tesla says it will plow five billion dollars into a chinese gigafactory the first of its massive battery and cars plans to be built overseas the report from bloomberg also says tesla may raise some of the cash in china use the falls just ahead of tesla's quarterly earnings report due later today investors have criticized the california based electric automaker for burning through cash and missing production deadlines just yesterday there were reports tesla was in talks with german authorities for european factory is what. follows is earning more than ever before despite the diesel scandal and the costs involved the group six point six billion euros during the first half of this year that's two point one percent more than during the same period last year but forbes warns the second half of this year could be difficult it could struggle to comply with new emission standards applied in the e.u. starting september stars and already produced cars

apple shines a —— asia business report. apple shinesa again, —— asia business report.ain, the technology giants posted quarterly results that topped targets and forecast revenue. these were driven by sales of higher priced iphones and revenue from services like the app store, apple music as well as i cloud. investors are sharing their delight in the numbers during after—hours trade. investors were really curious to see whether or not people continue to sheu whether or not people continue to shell out for their higher priced iphone models. when they reported the average sale price of an iphone, it increased to something like $724 and $694, suggesting that people really did want those great three‘s. they also said they would increase their revenue this year, there may be releases in the autumn. and other key metric when it comes to diversifying away from those iphones, it indicated its revenue from services increased as well. what did the company have to say about china? are they worried about president donald trump's trade war with the country? china is a key market for

> you don't get upset. >> apple.the world's first publicly traded trillion dollar company. >> we're talking about one of the people who got it there. former ceo john scully up here next. you're watching "velshi & ruhle." intelligence, covering virtually every part of your healthcare business. so that if she has a heart problem & the staff needs to know, they will & they'll drop everything can you take a look at her vitals? & share the data with other specialists yeah, i'm looking at them now. & they'll drop everything hey. & take care of this baby yeah, that procedure seems right. & that one too. at&t provides edge to edge intelligence. it can do so much for your business, the list goes on and on. that's the power of &. & when your patient's tests come back... new laptop with 24/7 tech support. yep, thanks guys. i think he might need some support. yes start them off right. with the school supplies they need at low prices all summer long. save $200 on this dell laptop at office depot officemax. there's also a lot to k

the brand loyalty for apple, their building on the fact apple is an iconic american brand and their managingd and get that average sales price, which shocked many analysts, of $724, and largely to do with the iphone 10, or some people call it the iphone x, that is the most popular phone in most major chinese cities today despite, as dave pointed out, some much cheaper rivals from china. of course, the iphone is ubiquitous, is there not a point when you reach saturation and the company can't really sell any more, expand into any more markets? yes, affordability is one of the headwinds that apple will face looking at the future. and, as they've mentioned, trump's tariff war and the potential trade war, these are issues apple will be looking at and will have to face like lots of other american companies, there's lots of uncertainty there. now, anyone who has ever bought a lottery ticket has dreamed of living the life of a winner. but few of us have lived the nightmare of matching all the numbers and then having your ticket thrown away, before retrieving it to argue your case. that's what happen

>>er >> chris bros apple orchard in new york harvested 20 million pounds o apple last year and have beenraduallyas increg the amount of apples they produce, partially thanks to growing demand from overseas. d the onset of tariffs has put a number of apple orcha s at risk. >> does market pricing fall below a certain point and we nnot make a profit and the margins are pretty thin to begin with and razor thin in some situations and if that pricing falls a littl bit we could be looking at an unprofitable situation, if we're lking at an unprofitable situation, we stop investing and we stop hiring good wage jobs and you know, we'll suffer and if it goes on long enough we'll go out of business. >> if fewer apples are going overseas, farmers are worried the domestic competition between producers will intensify. another farme in hudson valley says the ongoing trade dispute andsi con over whether tariffs will depress the price of apples h made it hard to plan and predict how much demand they'll see in the future. >> the apple industry is when we planted thesere many of them were planted seven or e