. >>> berkshire hathaway posting the best numbers in nearly two years.s. nearly $1.5 billion in derivatives gains. berkshire's the largest shareholder of wells fargo. we'll be talking about all things warren buffett and berkshire in the next year. >> meant, a check on the futures on this monday morning. it will be somewhat busy with the fed meeting, cpi later in the week, productivity tomorrow, the president is in guadalajara with harper from canada. and calderon from mexico. >> somebody this morning on the radio called it the three amigos meeting. >> futures are a little bit lower. the world stock index is up four weeks in a row, 19% so far this year.. oil trading down 42 cents. the ten-year note, we'll keep a close eye on what the fed says later this week. again, the yield crept up to 3.8. dollar, relative strength against the yen and the euro. gold, which was a story for a few days and added 40 bucks over four sessions. now down 40 cents to 9.59. >> china said rio tinto is spying on its steel industry cost the country $102 billion in iron ore. beijing

. >>> matt nesto has the latest on berkshire hathaway. >> thank you very much. it's interesting to see hoar warren buffett does. if you look at their operating earns, which includes about a billion dollars in investment gains, it gets you to $1147 per share. the estimates are out there for $1238. that arguably could be a disappointment. the company also pointing out that they have over $24 billion in cash on hand, and they are also talking about the fact that their book value increased to 73,806 per class-a share, up about 5% from yearend and 11% from the first quarter. the net earnings appear to have gone up, but if you break it down, underwriting down sharply. investment income, as i mentioned, a big jump there, almost 50%. non-insurance businesses down about 50% to 574 million and other we won't even talk about it, because it's so minuscule. the big picture there is that operating income, the operating earnings at 1780, which is a pretty strong figure. >> okay. matt, once again, investment income was up 50%, so that is what in their portfolio essentially. >>>

the airline's revenues areff $3 billion so far this year >> warn buffett's berkshire hathaway reported a biion and a halfollars inerivative gains it poste its best report in two years. $210a share 14% higher than a year ago. the derivativesains were tied maly to the performance of four mart indexes in the u.s., europe and japan. here's a look athat's happening xt week. our frid market monitor guest is james stack, presidenof stack financiamanagement and ves-tech research. on the economic calendar: tuesday, june olesale trade... d federal reserve policymake begin a two-dameeting on inrest rates. ey release their decision on wednesday. so on wednesday, internation trade fojune. thursday, it'seekly jobless claims and the july rerts on tail sales and import prices friday, july consumer price inx is released. our market mitor guest tonight says the economy is not as good as thearkets are reflecting. joing us now to explain: richard steierg, president of steinberg obal asset management. hi, rich. >> nice to see you. >> the ns on the job marke was goodtoday. we got a good rall you're cautious

berkshire hathaway up 20% and merck up 21%. are you still with these stocks?>> yes, i am, paul. >> paul: let's have two more. general dynamics up almost 60% and overseas ship 47, you are really on all burners there. are you still with these? >> yes, i'm still with those as well. >> paul: you had one stock you said to sell short, star scientific. sell short at 4.32 and it is now less than a dollar, a profit of 77%. congratulations, john, great call. >> thank you very much. and we have covered that star scientific short now about a buck. >> paul: do you have any new recommendations? >> i sure do and i had-- like to start right out with general dynamics again, even after rising 60s%, it's still at nine times earnings. unfortunately, we're in a world where we need military equipment and i think that's still a good buy. >> paul: g.d. is the trading symbol on the big board. number two selection. >> number two i'd like to go with a small energy company called boots and coots, named after two of the three fellows who started it, their nicknames. boots and coots puts o

today, up $1 and change, despite the fact that warren buffett's berkshire hathaway cut its stakes in unh, according to its most recent filings. the health care services are riding right along with the managed care providers, benefits manager med co-health, up a new high today, up 15% the last two months, double that the last six months. and while we are talking about berkshire hathaway, cut back on health insurers, took a new 1.2 million share stake in medical device maker becton dickinson, one to watch, not just this afternoon but the long haul here, it is down on the year and a real underperformer, interesting to see if it gets that buffet boost here as we look ahead the next couple of quarters. taking a look at the big box stores today, of course, you know there is a headline on lowe's, but home depot is the one to watch, especial had i going into tomorrow. home depot will be reporting tomorrow. today is a hat trick of bad news, got the lowe's disappointment. both warren buffett and eddie lamp the's hedge funds cut their positions on hd. and this afternoon, we are going to get tha

>> i like great old berkshire hathaway.run by the greatest genius in the history of investing. still lots of cash. still buying in lots of positions. i will bet on warren buffet any day. i will take warren buffet at 100 over anybody else at 25. neil: rob? >> he uses leverage in a way i don't like. he also uses derivatives which scare me. he has underperformed the last five or so years. neil: who do you like? >> i like the health care sector, the i.y.h. this sector is undervalued even after it's rallied quite a bit. i actually think it doubles. >> rob, you have been one of the hottest guys on the street, but i think you're getting too cute. neil: all right. [captioning made possible by [captioning made possible by fox news channel]

berkshire hathaway raised its sa stakes in johnson & johnson. the value of berkshire's stock portfolio rose 20% in the quarter. in frankfurt at this hour, berkshire shares up 4.5%. j&j off fractionally while home depot and united health both fractionally higher. >> today's sell-off in the market, you want to stay up-to-date with information. you can get news, video, blogs, anything moving the market today at cnbc.com.m. >>> still to come on "worldwide exchange" -- it's emerging markets week on cnbc. we'll be heading out to india to see how china is faring. plus a check on the latest currency markets. back after this break. $$$$$ >>> welcome back to the show. we are going to take a check on the currency markets before we get to our guests here. we'll get analysis on these figures. let's take a check on the dollar-yen. a bit of yen strength coming through today. the euro, dollar, 1.41. significant pressure on sterling. dropping by 1.1% against the dollar. we're joined by the director of fx institutional sales at deutsche bank. thanks for comin

the times says citi tried to sell the unit berkshire hathaway, but talks went nowhere. citi shares are up about 4%. ross. >> and investors with royal bank of scotland today investors shared a cautious outlook in the and posted a loss in the fist half of the year. the bank has warned the results will be poor for the next two years, as well. in a move to overhaul its top management team, rbs approved the appointment of bruce vansohn. come up within we'll have an interview with the ceo of rshs, stephen hester. stay tuned for that. shares in allianz are low today, as well. net profit was up 22%. operating profit hit by lower income on investments and underwriting. allianz delivered a cautious outlook. we'll get more on that when we speak to the ceo, dr. helmut perlet. >>> coming up, the central bank says it's ready to hike interest rates if needed. what other economies could follow suit? >> we'll talk about that and take a look at the kwurntsy markets on the employment report. snoor >>> ekfy markets, a little caution ahead of the employment report, dollar/yen steady at 95.1

pursuit of the good or a google, until, wikipedia and in their pursuit of the truth or beautiful berkshire hathaway or the heroic microsoft and the grameen bank and gates foundation what is the purpose? stakeholder theory hour debate opponents will attack today is conscious capitalism thinks of business differently than 85 capitalism has a ballistic ecosystem view of the business as a complex itsf adapting stakeholders customers, employees and communities that are injured dependent upon one another. instead of focusing on the trade-off we found it is better to focus on the synergies that exists between the stakeholders instead of thinking of this zero sum game or somebody loses and somebody else wins and think of how to create value for everybody at the same time. a win-win scenario. when you begin to think this way you ask different questions then you begin to discover different answers. we believe the human mind is infinitely creative and conscious capitalism opens new pathways for creativity to begin to continue to progress to humanity. we believe the creative entrepreneurs and colleges capita

berkshire hathaway, freddie mac. you know last week we spent a little bit of time on fannie mae's numbers, which were not good. freddie mac, a bit of a different story, worth mentioning. 79.9% of the company owned by the u.s. government. there's a look at what is an option on the company in terms of that stub of equity. as for the results, freddie mac reported the first profit in two years. that is right. and it was up last week, of course, like freddie, fannie, aig, cip, a number of short squeezes there. there's freddie, first profit in two years. it earned -- well, it actually lost -- if you take it out before it had to pay the government the interest, it made money. otherwise, it lost 11 cents. that's still way better than what people expected. look what it lost a year ago. net nrk was $768 million, compared to a loss of what's called a $10 billion a year ago. revenue, $7.74 billion. virtually no revenue a year ago. all of the write downs that took place, they take hits on revenue. now, freddie is paying interest

berkshire hathaway. what is the basis for his valuation in berkshire hathaway?pretty close to zero. and then you take the market capital of berkshire hathaway and that is what his wealth is in what we call on realized capital gains. do any of you know what the tax rate is on unrealized capital gains? [laughter] is zero. they think it won't help that one. jazeera it is said to the bill and melinda gates foundation it will never see a tax. but when you look at this world when he says i.p. less taxes than my secretary is telling you the truth. it is a bad tax and i'm not blaming him for finding a tax-free way of pulling and having his wealth here the last thing is a rich people can change the volume of their income. cellular the tax code over the last 25 or 30 years the top 1%, i forget what the number is but the top 1% in 1980i think kids 17 and a half percent and the top 1 percent today pay 42 percent of all the income taxes and not only that is true but also the only group, the only group in the tax groups that have increased their taxes as a share of gdp is the

. >>> warren buffett's berkshire hathaway has cut back on home depot and carmax and eaton and raising stocks in johnson stakes and adding 1.2 million shares of beck t becktin dickinson. >>> that's "cnbc.com news now." i'm julia boorstin. "fast money" with melissa lee starts now. >>> is the summer selloff finally here? not on this desk. we've got your correction covered. >>> welcome to "fast money," we're live from the nasdaq market site. i'm melissa lee and these are your "fast money" traders. a big show tonight. we'll show you a correction next week. and later a company that's helping america and its profits recover from giant job losses, and breaking all night, new holdings from warren buffett and george soros and other investment whales that you may not believe. what we may find. >>> a word from the street, a nice rebound from the session lows. what was that? a technical bounce there? >> i think there were late guys coming in to cover shorts and it was working for them. nail biting. i think people were watching 992 and guys were expecting a sloppy monday if we broke that. today's r

>> we have the 13-b filings of warren buffett's berkshire hathaway just out and i want to give you an update as to the changes in his portfolio as of june 30th. he increased his position in johnson & johnson. and he decreased his position in a number of companies. i'll run through the companies for you. decreased holdings in united health care by 1.1 million shares. decreasing his holdings in car max by 3 million. he also decreased his position in conoco phillips, eaton down 1.2 million shares. home depot down a million shares to 2.7 million total. and wellpoint, the share holdings there declining by 1.2 million. as expected, his stake in constellation energy has been completely sold, but we knew that already. so again, an increase in his holdings in johnson & johnson. decreases in united health care, car max, conoco phillips, eaton home depot, as well as wellpoint. back to you. >> mary thompson, thanks so much. david, when i was listening to steve's report there, deflation always scary because you like to inflate away your debt especially if you're a small nation. if you're a company

>> this is a reuteres column and $26 billion in companies through berkshire hathaway and bank of america and wells fargo, which is a particular favorite of buffett and he got a better deal on goldman investments than the u.s. taxpayers, his preferred stock warrants returned 30% paper profit and taxpayers return only 23%. >> what about the fact he was in before the government? >> that's good to point out. why couldn't the government get those terms? >> if you're looking for ways to jump start the economy, how about the amount of money being spent on health care reform? >> we love it here at the networks. >> it's a full employment act for those of us in media, but, in fact they've been 5 $2 million spent since the beginning of this week with health care advertising with tens of millions to come. one of the ironies is, despite the perception that it's by people opposed to health care reform, the large majority, substantial majority of the money so far has been by people supporting reforms. >> in terms of that support, how are people coming in in response to that story? >> this is one of the

this, a number of executives at the company that was on the other side of this deal, a unit of berkshire hathawayded up going to jail. under the terms of the settlement, greenberg will pay the s.e.c. $15 million to settle past accounting issues. also, aig's former cfo howard smith is going to pay $1.5 million in a settlement. the "wall street journal" saying an official s.e.c. announcement is expected as early as today. a call to the s.e.c. earlier today, agency responding in a no comment to cnbc. but again, former aig ceo ken greenberg settling with the s.e.c. over civil fraud issues that occurred back in 2000 or 2001. back to you. >> i'll take it from here at the nymex, mary. we're watching mixed trade in the energy trading. and we are seeing oil lower, although it's very interesting thing to watch in terms of the split between brent and nymex crude. the present, the spread has now widened to nearly $4, with present hitting a new high for the year earlier today. part of that is fundamentals. in the north sea, there is a bit of outage there because of maintenance. so that's what's supporting tha

this is a subsidiary of berkshire hathaway. we will fully commit to take the necessary actions to meet these goals at the lowest possible cost to our customers. controlling costs is critical because it will make the polluters pay. it will be your constituents that will pay for the programs that are implemented. [unintelligible] it will force companies to provide productive investments. we oppose the trade part of the cap and trade and the allocation of the collegmethodology. the cost of buying and production -- unproductive emissions alone while paying for the new infrastructure. we do not need market signals in the trading program to act. the bill's formula for distributing a that split between commissions and sales. that means the utilities with nuclear and hydro generation will receive allowances that they do not need it also means that utilities with coal and natural gas generation will not receive enough allowances. this inequity will be costly for the customers in the west pacific. mid-america will only receive 49% of the

. >> j&j one of the only names berkshire hathaway adding to have. >> and then ackman into mcdonald's, right? >> right. after the loss he took on target. piling into mcdonald's, trimming holdings in one of the other eating companies as well. >> we'll talk more this hour about lowe's. one more exposed to appliances than the other. >> the conventional line of thinking is that women shop at lowe's and men at home depot. we'll hear more of that today. we're expecting in 45 minutes to be hearing from lowe's. >>> the white house appears ready to drop the ongz of government-run insurance as part of a new health care system.m. administration officials are leaving open the chance for a compromise with republicans that would lead health insurance cooperatives instead of the government-run plan.n. under a program by senator chairman conrad, consumer-owned nonprofit cooperatives would sell insurance in competition with private industry. there is back and forth as to whether the administration is stepping away from this. they said this is not the only issue they're looking at in health reform. >> t