caterpillar's revenues missed.d he's pleased with the company's second quarter. take a listen. >> what we're faced with here, though, is basically two years of flat on flat top line. we're doing great in finding ways to be more efficient and lean in our manufacturing and lots of other things operationally that will really pay off down the road. i'm happy with where we're positioned right now. >> let's bring in jpmorgan's managing director. it's great to talk with you. good morning. >> good morning. >> they do bring revenue down to the low end. how long can the bulls support a story based on costs coming down and buybacks continuing? >> you know, i think that's a great question because they raised the guidance by 10 cents and 9 cents was simply share of purchases that they are going to accelerate in the third quarter. our concern on caterpillar has always been where is the bottom in the mining business. at this time last year the ceo was calling for flat revenues this year. and at the beginning of the year he was ca

caterpillar is one of your picks.let, you have been looking at caterpillar and some of the bear cases against the company. >> that is right. outside of north america, caterpillar's machinery sales are falling by double-digits. because of weak resource industry sales. analyst at jefferies identified the risk for caterpillar as lack of clarity on when it earnings bottom out any slower than developed recovery in -- slower than expected recovery in developed market like the u.s. and slowing in china. was not saying caterpillar as a stock to pay, by the way, but as an example of the decoupling that is going on in the world markets. if you remember, the caterpillar was the darn -- the darling of the doubt when it was the china play. administered to get killed. indication -- and the numbers we arere just given, looking at the united states as the leader in growth and that is why we look at caterpillar. not because i recommend it. it is a barometer. >> you are also looking at various other barometers, including m&a and capita

and, an earth-moving conversation with the chief executive of caterpillar. of "squawk box" begins right now. >>> good morning, everybody. welcome back to "squawk box" here on cnbc. i'm becky quick along with joe kernen and andrew ross sorkin who is down at the nyse today. our guest host for the next hour is greg fleming. he is the president of morgan stanley's wealth management and investment management divisions, and greg, it is great to see you. >> great to see you again, becky. >> thank you for coming in. >> we wonder when he comes in, he decides this is like the big victory lap. morgan stanley's results, which were great -- >> wealth management. >> it's all him. >> that were actually -- >> we don't do this just to reward you although it is a plumb thing -- >> we do it because who knows more -- you will be able to tell us about what the people that you serve, the wealth management, how they're feeling, whether they're, you know, whether they're still worried. whether they're full-in and think the market's never going down, and that gives us a good read on

that is a huge beach for caterpillar. beat for caterpillar. is raising its full-year outlook. >> good morning, everyone. "bloomberg surveillance." we are on bloomberg television and bloomberg radio. i am tom keene. with me, scarlet fu and adam johnson. howard ward is with us from gamco. high, high, like record high. >> howard is fired up. good to have him on the show. it?oing --bitcoin, remember the u.s. requires your social security number if you want to trade with the. s.comomain name bitcoin might be up for option. brendan greeley of "bloomberg businessweek" is with us. >> i think something is happening around bitcoin. when we saw the bubble at the end of last year that was speculation on the asset value of bitcoin. when you are seeing now, i think, is a very small amount of confidence in the possibility of bitcoin as a means of transferring money. one indicator -- i talked to someone this morning who said that at the bitcoin you are now seeing x goldman traders showing up. bitcoin is getting boring. >> we have an illustrious desk here this

sorry at 15 times next year's earnings, that makes caterpillar less than the 1500. and the yield averages 6.25% to boot. not only that, i do not think you've missed the move here. i think cat is a buy right now considering the rebound in non-residential construction in this country as well as the booming oil and gas business. we will hear more about that later in the show and become a strong buy. last night we talked about copper going higher. this could happen. next is disney. rallied 20%. disney is not super cheap. not going to sell it to you like that more than 20 times earnings. if there's any large cap growth stock that really deserves to sale a premium to the average stock of the s&p 500 because of its consistency and 16% long term growth rate, i think it's disney. don't some stocks have to be worth more than the average stock just by definition, don't they? disney has a lot going for it, incredible properties and have three successful hit machines with pixar marble and lucas film, aka "star wars." these are consistent winners generating amazing returns and se

. >>> earnings from caterpillar blew away wall street estimates but fell short on revenue. the construction and earth-moving equipment made $1.69 a share topping the estimate but sales lower as a slump in the global mining industries set a rebound. caterpillar did raise the full-year's earnings guidance but the biggest decliner falling more than 3%. >>> american airlines earned a record billion and a half dollars in the second quarter and that should make shareholders very happy since the company will pay its first dividend in nearly 35 years. american says shareholders will get 10 cent as share, first payout since 1980 and buy back a billion dollars worth of stocks, ceo doug parker says it's because the merger with u.s. airways has been a success. >> it shows the confidence based on our prospects to do things, to understand that we have enough capital to invest but still return some of the capital to shareholders and debt holders and also to fund our pensions at a higher level than the minimum. >> meanwhile, united continental will buy back stock and revenue rose 3% while

when i was a young man, i worked the assembly line at caterpillar, just like my father did. we put in a hard day's work for an honest day's pay and caterpillar understood the importance of keeping jobs here in america. in the last few years, caterpillar has been bringing jobs back to the u.s., back to my home state of illinois just like g.e. and ford have. let's give them the incentive they deserve for doing the right thing. join me in supporting this bill so we can bring jobs home. thank you, mr. speaker, and i yield back the balance of my time. the speaker pro tempore: the gentleman from colorado reserves the balance of his time. the gentleman from oklahoma. mr. cole: thank you, mr. speaker. i yield myself such time as i may consume. the speaker pro tempore: the gentleman is recognized. mr. cole: again, i want to point out, mr. speaker, i frankly have no objection to my friends using the process to bring these ideas up for debate and discussion. i actually think that's helpful and that moves the process forward. i applaud them for that. and i don't disagree necessarily wit

caterpillar is theary to date performers, and carries a fair amount of wait with the overall index.tocks that have the highest stock prices hit more of the weight. also looking interestingly enough, intel and merck, all-star performers as well. they don't carry quite as much weight as a caterpillar does, but it speaks to the industrial, the technology side of things, they are more cyclical. that means that at least for the time being there's a sense for the dow are going to be do better, but the real question i have for the overall environment that we're in right now, because we do all kinds of reporting about the fed, about markets, about fundamentals, about technicals, right now from an investment strategy standpoint, you've got to wonder whether clients, whether customers and investors are thinking about how much the fed is part of the story, and how much the economic or corporate fundamentals are. when you look at the overall picture, it obviously will be a mix of all of them. if we keep talking about the fed, rates and quantitative easing, and everything else, maybe that means

like caterpillar, pushing the dow up, up 20% this year. a classic health care stock, merck up 17%, and two classic consumers names, johnson & johnson, and disney, this isn't a tech ragly, no the a consumer rally, not a health care rally. it's broad. i mentioned the laggards helping in the month of june. look what happened to chevron. it's been a dog all years. it hasn't been doing anything until the last five or six weeks, now look at that move up right in the beginning of june there. chevron is up a couple points. four, five weeks ago it was down on the year. another sector, financials. i keep saying jpmorgan was just generally doing nothing, and you can see it moving up there in the last month or so, still not doing much, up just a bit on the year, goldman sachs, same situation. so flirtation is the key here. >> and these are just in terms of today's move, right? just intraday, bob, you were highlighting that the two biggest gainers today, ibm and visa had actually been two of the biggest drags on the dow this year. >> and both of them,

caterpillar says it is being helped by the rebound in u.s. construction. world leader in building and mining machinery is raising its earnings forecast are this year. cup looksoks -- half-full at dunkin' donuts. quarterly net income is up 13%. they have more than 11,000 shops in 33 countries. donuts. it is 26 minutes past the hour. bloomberg tv is on the markets. you are seeing equity futures trying to claw their way higher, up by about three points, but this is after the s&p hit a record high yesterday, a record close, i should say, of 1987. we have expected earnings from caterpillar, american airlines, and killer numbers from facebook. you also had good data from china. there was an 18 month high. we have a lot of economic data today like the government's weekly job report. i would like to bring in the chief economist at the consulting firm ihs, who is also the author of "spin free economics." thank you for joining us. great to have you with so many pieces of economic data. we were talking about the housing recovery. at what point does that boost gdp? >>

i'm looking to choose between one -- natural resources and caterpillar. >> caterpillar is a growth stock had some good yields. united rentals reported tonight. they had another great quarter. i'm glad we got behind them. that's going to tell you that caterpillar will have a good quarter. if you want excitement go with cat. if you want the income, then go with vanguard. how about mark in wisconsin? >> caller: jim, you always warn us home gamers about companies that pay a big dividend. cys investments pays north of 14%. >> right. i always say dividend like that is a red flag that seems unsustainable to be in this environment given low interest rates. this is another one -- i don't know. residential mortgage, i mean, we have walked away from analy at the right price. we won't go down this one's path. curtis in north carolina. >> caller: jim, booyah from north carolina. thank you to you and the crew for all you do for us home gamers. >> you're terrific. thank you so much. we guys -- our team is so good. what's up? >> caller: anyway, i love the book. and we're going to -- but the sprouts farm

crawling around and destroying that plant magine you're in a field in africa someplace and those caterpillars are worms infecting infestation your crop noticed the one on the right that happens to be a j m o a genetically engineered plant laboratory plant and notice that nothing is happening to it whatsoever if you had a crop that was happy with that the worms were getting it if you had that crop the only way you'd be able to get rid of that worm if it was organic you'd be spraying it with an organic insecticide it might be bt or something else if it was conventional you'd be spraying it was some pretty bad pesticides on the other hand you can see this plant on the right has barely been touched absent. really barely been touched because it's been engineered with the gene which is in the organic insecticide exactly the same thing which has been used for seven ok you know that there were guys i want it i mean i figure if i have a wine called the reagan vibe and the reason is big and bright as we have a substantive move in and out of video and we don't have any process. we can run it through a b

but that's that's just you know those caterpillar you know you're you're looking at it from the point of view of we're pretty wealthy society. i find that this whole genetic engineering anti g.m.o. argument is extremely depressing because this technology has been used in so many different ways to help people in medicine of course and it's exactly how the same technology there is no not really if you will see change is no different to the chemical properties and other before we're not changing that wearable property of the food supply and the like doesn't even want to let am i supposed to get to know our children and it's not changing the chemical properties of the food that plant doesn't even recognize that it has an extra protein and that protein mary lou by the way will not work in u. . and that's a fact because that her own mind having checked out thing like that ah they've known that for about fifty years well and the reason is that a big hartley's already and the reason for that is because that protein binds to a particular part of an insect's intestine and a lot imo are all g.a.

caterpillar. >> before our final trades, we want to wish our good friend b.k. good luck. if you're on nantucket, cheer him on. going through the triathlon. good luck. tim? >> and a happy birthday to beautiful wife. >> twitter. >> blackstone continues to rally. >> come back next week for more "fast money." stay tuned for "options action." are you sure we should take this billboard down? people find out state farm does car loans as well as they do insurance, our bank is through. good point. grab an edge. look there's two guys on the state farm borrow better banking sign. nope for real there's two dudes on the state farm borrow better banking sign. [ reporter ] breaking news from the state farm borrow better banking sign... we're seeing two men that have climbed the borrow better banking sign gentlemen please get down from the state farm borrow better banking sign. phil get the hose. okay he's getting the hose. alright, let's go. [ male announcer ] talk to a state farm agent about car loans that can save you hundreds. that's borrowing better. >>> this is "options action." to

here are the industrials, marc was talking about caterpillar saying it's a global problem, he sees it as a much more bearish scenario than a one or two day situation right now. he was commenting on stocks and saying it's a bad time overall in stocks. we have ben on the other side. pharmaceuticals all red. telecoms except for t-mobile, all red. semiconductors except for advanced micro devices and broadcom all down. social media, groupon is the only gainer. the sell-off in u.s. equity markets is widespread and market breadth is trending negatively on the heels of broad losses in european shares. european major indices all fell today. germany's got a situation at the moment. its stock market is at multimonth lows, that is the one holdout. how were longer will european losses drag down u.s. equities or u.s. dragging down europe? we're bringing in our panel. barry james, also jason rotnam for the west coast perspective. david, head of equities, more than 100 billion in assets and charlie gasparino. david, on a day like this are you talking to fund managers and telling them quick, get in th

charles: why is caterpillar low confidence. i'm in it too, it's taken off?it, i'm not seeing it in the numbers, i'm nervous about the quarter. on i.r., the one bright spot is heating and air conditioning and overseas, if they can grow at the 18% rate they say they can, especially in the emerging markets, maybe it will work out. charles: one of the trends is urbanization around the world, absolutely amazing, all the major countries and cities, everybody is moving into cities. they make a lot of money, a lot of the hvac business. >> when you go to india it's about the manufacturing all over the place. the revenue projected for ingersoll-rand is 4-5% for the year. charles: for the 52 story house, that will make the quarter alone. >> you look at valuations, they're a bit concerning, peg about 1.77. for industrial, that should be lower and couple of industries i like a little bit better than i.r. i don't think you can go wrong with it, i don't think you are going to get big gains out of it. charles: it is expensive, not perfection. >> used to be headquartered in

melissa: caterpillar, people were counting that at a certain point, ridiculous, up 0/3%, but i know you have been looking at these but all these names, the isn't the 500 names that are hitting new highs, names like cint cintas, microsoft, lam research, we showed the technology, i find it interesting, then the come to things like oil and the energy complex, we are hearing in the last hour, we talked about how gasoline at least going into the fourth of july weekend would be considerably higher than we have seen in the past but there doesn't seem to be any hysteria moving up for west texas intermediate. >> we are sitting in a holding pattern for crude oil. i am waiting for breakout either upside or downside. upside geopolitical news is going to have that impact, downside, a lot of crude oil on the marketplace. we don't get a big gas season goes down. i hope gas prices go down and we see the lower level. natural gas on the other hand looks like a buy here. 432-438 for natural gas is a low end of we go. crew oil holding tight. melissa: i need to know your thoughts on today and covered many f

plus, while we've gotten decent chinese data of late, caterpillar made us feel like the the people's republic does not have a tailwind for the industrials. that got rough for me and cummins is a great company. i say let cummins tell us if the newfound fears are justified andy woo have to pull the plug on the industrials and that was my favorite group. how about the stocks where the numbers have ceased to matter some we're talking about herbalife. the company that famous hedge fund manager bill ackman has called a total fraud, a pyramid scheme that will be shut down by the the govern mentgovernment. and even if herbalife is, and i'm uncomfortable with him trying to destroy the company in order to make money for investors. i have mow problem if he wants to bash the the stock on air, saying the company is a little troubled and maybe it's overval pupped that's not what ackman's doing. he's literally trying to destroy herbalife, the company, not just the stock and they can wipe out thousands of innocent people's jobs and also they can turn a profit. i don't know, it doesn't have to be so

my favorite big international company, caterpillar, there's a great example of the global construction businesses overall, because almost 60% of their businesses is overseas at this point. >> favorite sector right now? >> i like technology, i like biotech. materials has been doing well. and believe it or not, in this last quarter, consumer services has been doing really well. >> you're investing for growth. you're not investing defensively. >> i'm invest aftering for total return. i'm always focused on growth and income for my clients. >> metals have been up, aluminum's been strong, all of the steel stocks have been strong recently. >> thank you, gentlemen. good to see you. and as you can see, staff sergeant ryan pitts, the latest medal of honor recipient ringing the closing bell as we close out a day when the s&p 500 index is at a new record high. but stay tuned. a lot of earnings coming your way on the second hour of the "closing bell" with kelly evans. i'll see you tomorrow. >>> welcome to the "closing bell," everybody. there's that graphic. you know what that means, the s&p 500 tod

caterpillar is big reason why the dow has done so well. points out of 400 points the dow gained specifically because of caterpillar. so those industrials have been doing quite well. >> this is name i've been pounding the table for a long time. david: i know you have. narrow it down further, receipted to energy. chart industries. they make pipes for gnat gas. i saw that they, they were kind of in the doldrums for a while coming out of the new year. and you recommended them. look what's happened. >> starting to creep up. david: starting to creep back up again. >> speaking of charts, it is also breaking out there too. you know what i like? this is a company, there are four phases to the natural gas thing. you have to liquify it. you have to transport, you have to store it and unliquify it if you will. they do all four components. it has been bad management. management has had a lot of miscues. but the marketplace is phenomenal. david: are they changing management? >> management said they would make some changes. if they get their act together

behind every triple-7 or caterpillar tractor, there are thousands of workers who are working every day to refine their product, stay competitive, retrain and refocus to make sure that we build the very best products in the united states and that we're competing on a global basis. when these larger companies and small businesses that they work with try to win deals overseas, they run into lots of different challenges. and that's why we're here today to say making sure that we reauthorize this program is critically important to small business manufacturers and suppliers throughout the united states. this export supply chain -- so all of these small businesses and companies, 30,000 to 35,000 companies across the united states, there's actually a supplier in every state in the ewings. but let's look at some of the numbers. in georgia, there are over 883 different companies, such as united seal and rubber and other important companies that make products just for aviation or for caterpillar or for other individuals. in the state of florida there's over 1,252 different small businesses and ma

caterpillar, deer, they will likely trade together.t's the important thing, certain subsectors, you can could have stock specific stories, others, it's more likely to be the broader economic factors to push them around. >> let's get the trade on xli. >> if i were to say vol stilt low, somebody would onand say, give me something that doesn't have low volatility these days, looking at the volatility, it's attractive. it does not look more expensive than it has over the past decade. looking at that correlation, you buy an position, you are buying a basket of stocks together unable to buy the fact that these stocks are able to move together. >> what is the option here? >> i'm looking at the august 43 puts, tooz it was trading roughly 5378. those puts were offered at 37 cents, where is the break even of the raid? >> if xli goes down, carter pensioned, he is anticipating to have a 10% roll overhere, if xli declines, i need a decline from the price i was looking at today to hit my break any. a couple things i'm worried about with this trade,

. >>> caterpillar also traded lower after the company announce add sales decline. the maker of tractors and gear said total retail sales from the april to june period were off and routine machine sales fell from march to may. shares finished at 108. 38. >>> big u.s. companies mcdonald's, burger king and more have a food scare in china after a meat supplier there sold beef and chicken that was well past the sell date. five people are under arrest and the incident is raising questions how officials could prevent future scares. >> reporter: mcdonalds ceo don thompson said on a conference call the company felt deceived after a chinese tv report allegedly found food safety violations at one of mcdonald suppliers. chinese police arrested five people, including the chief of the shanghai unit and quality inspector and regulators believe the violations were organized by the company and not an isolated incident as described. authorities seized 1,000 tons of suspected meat products from the factory and 100 tons at restaurants of various customers. fast food companies that use

. >>> shares on caterpillar, they agreed to repurchase $2.5 billion worth of stock. it will buy it from another company. it sent cat up a fraction. >>> shares of wind stream popped after the telecom company received regulatory approval to convert some assets into a real estate investment trust or a reet to minimize taxes. that approval made other telecom companies look attractive and sent shares higher. >>> the federal reserve begun a two-day policy meeting and will continue winding down the economic stimulus, part of the great monetary policy experiment following the financial crisis. the fed has begged interest rates at 0 and put about $4 trillion worth of extra cash into the banking system and on its balance sheet. so what happens when the central bank tries to bring rates and its balance sheet back to normal? will it end badly or well? steve liesman reports. >> reporter: the market expects the federal reserve to stop buying assets this year and around this time next summer to raise interest rates for the first time since 2009. so what happens then? can the fed ex

it took off and landed vertically and took a great big heavy caterpillar or whatever it was and suppliedrgency -- superefficient because it is a hybrid. we is lighter than air technology to offset the basic weight of the entire vehicle. it has four engines, a payload of 50 tons. 20% ofburning less than the emissions of that aircraft. it could carry people as well. >> i was the primary investor in this years ago in what started off as a dream in a little shed in bedford ended up being a $500 million program for the u.s. military. they saw the potential of this as a surveillance aircraft. foree the potential as remote areas, it will take over landing. >> a fine example of some of the new technology on display. he just finished a two-year to ur. >> i am performing at the airshow. i am flying the clips jet, the most -- eclipse jet, the most eco-efficient business jet in the world. whistling a happy tune. -- >> we look forward to the rest of the displays. entrepreneur. >> a brilliant interview. do not miss the conversation with airbus chief operating officer. ♪ >> welcome back to "on the move

caterpillar, hp, many of the largest corporations in addition to israeli corporations because of theirment in the occupation and violation of human rights. weeks ago, the bill and melinda gates foundation divested the $182 million investment so that the methodist church,the presbyterian as well as caterpillar. in thegest pension fund world, the norwegian, divested from two israeli companies involved in building illegal settlements in the west bank. largest tension funds, banks, companies they are having something to say about the oppression of the palestinians and that is the most effect of non-violent means of supporting the struggle for freedom. arghouti, benjamin netanyahu has devoted pacific attention to your movement, that attention began in june last year and it certainly rose in march this year. bigotry,t stands for " dishonesty, shame." has he managed to discredit you? >> he has given us free advertisement because he sounded leaderku klux klan trying to convince. they have said it was a massacre in gaza to blame a nonviolent human rights movement as a form of a good three does

we do get that out today on unemployment and new home sales, plus earnings, caterpillar, ford, gm, amazon were and starbucks falling 26, nasdaq rising 17. gm announcing six new recalls, none tied to faulty ignition switches. it covers nearly 718,000 vehicles in the u.s. the biggest recall involves a loose bolt on power front seats in several models in 2010 to 2012, including the chevy equinox. they are recalled nearly 16 million vehicles worldwide this year. >> thank you. just staggering, good on gm for saying hey, something doesn't work. they didn't do that, but that's millions and millions of cars. >> a lot of them on the roadways. >> we'll check the morning commute in a little bit, christina because she's fulling double duty today. >>> yes, i can tellout right now, if you are leaving, we are accident-free so far this morning. and it's a big bay area, that's a great way to wake up. 63 degrees in concord, 64 to kick off the day in oakland, 63 in mountain view, i can list these numbers off or tell you. it's mild out there. and you don't even need a jacket. even in san francisco it's 61 de

caterpillar terrible guidance going forward. mining stocks get killed. if you have a strong stomach you can start to look at those. you have to dig and look while everyone's at the beach. >> during this earnings season, the markets have behaved pretty well. >> no question about it. don't worry about low volatility or the fed as much as the prior guest. certainly wouldn't want to be market timing with cash. we see the fed being accommodative and flexible. that's a good safety net underneath this market, no question. but the fundamentals continue to drive us to the believe that we're seeing slow gloet, no no growth. not just in the u.s. but even a little bit tentatively inside the jur row zone. of course we are very focused on what consumers are doing with their money and they are buying big ticket items, whether existing homes, whether it is cars. we saw ford deliver its first quarterly profit from the eurozone in three years. so we see signs that the consumer is not dead and not out. unless and until we do we're going to stay focused on finding managers

people are shorting caterpillar, and there's a case it makes $7 or eight bucks, and i was told i wase, and now too big a bull. that is the way to play this number. >> bob seeing 10, 11, 12, 13 on the floor. >> we have made 17,000, and it is important in the context of what we're seeing today with the excellent jobs growth. the dow stocks here pushing us over 17,000, and as i emphasized, it's a di veeverse p of people and stocks here. not just one sector. you have goldman, energy stocks, chevron, technology stocks, visa, all moving, cricketing. goldman, the two points there, 14, 15 points right now contributing for the dow, a quarter of the gains. job growth perfectment stronger than expected, what everybody wanted, but not so strong people are panicked about it. this is how i look at things, 28 8,000, the fifth month in a row with 200,000-plus job growth. why is that important? the average is 248. compare to last year, the 2013 average is 194,000. that's job growth, 248,000 is the last five month average, in 2013, we did 194,000. it's getting better, slowly but surely. moving on, wha

caterpillar and deere, they're going to move together.e the broader factors that are going to push them around. >> stacey, talk about xlis. >> if someone said give me something that doesn't move around, it's attractive. over the past decade, you're buying a basket of stocks together that are going to move together. what is the option i'm looking at here? the august 43 puts. when i looked at xli, today, it was trading at 37 cents. where is the break-even? if the xli goes down, a 10% rollover, i need a 2.1% decline from the price today, then i'm winning dollar for dollar. i'm worried about timing, though. >> i don't think you need to be concerned. how much the stock is going to move around, that's going to be impacted by the increase in leverage. i like this trade. >> you can tweet us, and hit up our website. we've got the hottest options news on the web. here's what's coming up next. ♪ >> that's what twitter is hoping to do, reintroduce itself. >>> and why are so many options traders betting against energy? we'll answer that, when "options

beating earnings expectations this weaken clued apple, starbucks, visa, ford, boeing, coke, pepsi and caterpillar although cat fell short when it came to revenue. missing expectations were microsoft, does kiunkin' donuts facebook hit an all-time high after reporting rntion and revenue on the strength of the mobile ad business. mark zuckerberg said facebook has hosted more than a trillion user posts. >>> another wraul from gm this week and a $2.5 billion in pretax charges for recalls and a victim compensation fund. it all made for a tough second quarter at the automaker. profit was down 80% from a year ago. we have another busy news week. >>> what does it all mean in what used to be a sleepy summer season in wall street? when bite and alison deans, chief investment officer at crt capital. thank you both for being here. the president made his feelings about corporate tax inversion pretty well known. take a loon -- take a listen to what he has to say. >> if you're doing business and you're an american company and you're changing your mailing address to avoid paying taxes, then you are really not doi

thursday, the likes of amazon, general motors, caterpillar, starbucks.l release its world economic outlook, giving an update on the global economy. christine lagarde warned earlier this month that growth forecasts may be cut in mid-risks in the u.s. and weak investment. other reports coming out this u.s. homeously on sales and consumer prices both likely saw an increase. homes in june and retreated from a record in the prior month. buyers responding to a recent drop in u.s. mortgage rates. more on the weeks news and earnings for you right here on bloomberg television. back to you. >> reporting from washington dc. now a look at some of the stories we will be following for you in asia. we are expecting the official results of indonesia's presidential election. according to an official website tallying the results, to cowee is ahead. gadget makernese expected to announce a new product, -- a new product tomorrow. we will find out on tuesday. day, ay next construction firm says it may an over $60 million bill. it is the latest sign of stress in china, which h

they are caterpillar-tight -- >> commodity-related, too, by the way. >> they are commodity-related.nk those are good indicators. but we do, as i said to bill last week, kelly, you want to listen to the ceo commentary and the cfo commentary. >> that's why i was really unhappy with visa today, really unhappy, because he made it clear they're not happy with the spending they're seeing from the customers. let's just go back to the topic originally. 15-year average for earnings is 8% for the s&p. we are going to see 9%. so, we're above average rights now for the 15-year. >> do you think the retailers, though, will be able to keep this earnings season going strong? >> oh, awful. >> they're the ones who come in on the back ends, so we may be on a strong trajectory right now. >> that's why i'm not a 10% or 11%. you're always the optimist. >> i think capital iq's saying 10% is likely this time around. >> exactly the reason she said there, i would doubt that, seriously. but let's stay at 9%. the average for revenue growth is 6%. so, my point is, if we can get close to 6%, there we're at the a

going to blackmail him with those images he's already blackmailed absolved i think it was hash tag caterpillar i think i recall of it. but again finally with this bill benny is saying it like they're using this to blackmail heads of state but the new york times back in two thousand and thirteen september twenty eighth thirteen reported that the n.s.a. has since two thousand and ten applied sophisticated software to create quote social network diagrams unlock as many secrets about individuals as possible and pick up sensitive information like regular calls to a psychiatry office late night messengers to an extramarital partner why they're collecting that data we don't know you better get your blackmail insurance now so america was built on competition and it will sink on you know type view through little holes looking at teenagers. i think also i think on hash tag anaconda. you know that's true all right well thank you. stay tuned for the second half oh whole lot more. i'm abby martin the stories we cover here we're not going to hear any rounds of our big story extra head winds and talkers a re

the downside, some economic data was not up to snuff, particularly on halliburton and pat -- and caterpillaring down the dow. and some latebreaking news here. trulia is one that we have our eyes on. zillow is seeking to diet, which will -- to buy it, which would combine the two biggest in their industry. it could end up placing a $2 billion price tag on truklia. talks are still ongoing and may not result in a deal. and we are looking at barclays. they are asking a judge to throw out attorney general eric schneiderman accusation of lying to customers in order to operate in dark pools. they insist that those who use this dark pool are highly sophisticated financial professionals. ♪ ♪ >> welcome back to the second half-hour of "bottom-line" on bloomberg television. thank you for staying with us. let's continue the coverage of breaking news we told you about moments ago. seeking to acquire a rival according to people with knowledge of the matter. it is a move to acquire the to does most visited websites. broke the story and jeff joins me now. a big deal. >> it is. the dollar value, roughly $2 bi