cisco, the conference call is under way.osh lipton is monitoring it -- >> you see cisco shares here in the red here, but ceo chuck robbins trying to sound a bullish tone, saying that the core business is better positioned for the long term, though acknowledging this is a multiyear transition he began the call by talking about that security business, revenue up 3%. he said that cisco is positioned as the number one enterprise security vendor. cisco's executives saying they do expect an up tick the first question out of the gates was about the switching business you saw revenue down 9%, analysts asking, switching is versus a tough year, what do you expect here is what robbins had to say. >> if you think about our guide last quarter, we anticipated this we also knew at the time that we would be making the announcement in june about the new platform, so we anticipated these results. anytime we do a major platform announcement, particularly in switching, there is a period of time where our customers paw, because they want to unde

emily: cisco narrowly beat out estimates for earnings and revenue in its latest results.ight now, the company is touting a major victory in the network business moving from hardware to software. the quarter of the country predicted revenue in the quarter may fall as much as 3%. the bloomberg daybreak: americas team spoke with the ceo about the efforts and the current local climate. >> we said we are going to begin to shift to a more soft square -- a software subscription model. we have made unbelievable progress. just this past quarter, 31% of our revenue was from recurring which is up from last year. we have our software deferred revenue which grew 50% and eclipsed $5 billion for the first time. two quarters ago, it eclipsed $4 billion for the first time, so that is moving rapidly. of our software business, 51% of our software business now is from subscriptions. so, we have made a great deal of progress. i am pleased with where we are, and i think our team has made great progress. >> in terms of a long-term investor in cisco, what are you telling me to look at when i am

that is true of cisco as well.ave communicated that clearly with our employees this week as we have gone through this. the second thing is we still have a lot to do in this country. we still need to drive gdp growth. if you look at where the country relative in the latest numbers, there are other regions of the world which are starting to grow faster than we are. it is great that they are growing, but we should be growing faster in the united states an. we need job creation and tax reform. regardless of what is going on, we cannot abdicate those things done. finally, from a country perspective, we have to find a way to focus more on the things that actually unite this country. the things that make us great and not focus every day on the differences of opinion and things that divide us. i think that is what is most important. it is incumbent upon business leaders here to continue to work on making sure the things this country needs to be successful in the next few years, that we are still playing a role in making th

we will look at the technology stands. -- wes robbins of cisco consider cisco and the many challenges new york above jfk, the sunrise. ♪ ♪ tom: "bloomberg surveillance from london" and new york. two different worlds, stan collender in washington and brian levitt of oppenheimer funds with a view of investment and global wall street. stan collender, the distractions of washington. i am assuming you have never seen it like this, maybe watergate of a few years ago. he does it seep into the financial system? does your world seep into brian levitt's world question mark stan: absolutely. we were just talking on -- off-camera, what are you assuming with growth rates? is three present remotely doable and you said -- brian: not likely. for taxw do you pay reform or do any of the things you said you wanted to do? tom: is the answer here what we have seen from american companies -- i can't believe they can do more cost-cutting because they have been doing it for ages. does oppenheimer funds assume lean and mean corporations because they are getting no help from washington? brian: i think that is

josh lipton has the details. >>> cisco reporting 61 cents on revenue of 12.1 billion. in terms of product revenue performance, switching and routing revenue decreasing 9%. deliberation down 3% wireless and security increasing 5% and 3%. looking ahead, cisco forecasts eps between 59 and 60 cents and revenue to decline between 1% to 3%, in line with forecasts on the conference call analysts asked ceo chuck robbins about the switching business here's what he said. if you think about our guide last quarter, we anticipated that we also knew at the time that we were going to be making the announcement in june about the new platform so we anticipated these results. any time we do a major platform announcement, particularly in switching, there is a period of time where our customers pause, because they want to understand what this means. so we did see a pause. we actually anticipated it but we saw great traction with the new platform >> another topic on the call, spending by the u.s. federal government remember, that was called out as a sore point last quarter. robbins saying

. >> cisco and ibm and merck, those are lead ing the dow righ now. take a look at shares of some of the super market names those are falling back on news of amazon. they are lowering price at whole foods. giving discounts to prime members. more details straight ahead. >>> welcome back everybody, i am tyler mathisen

>> no. >> cisco doesn't have it back. where did it go?ed. >> reporter: but it was brad's own computer examined by the fbi which coughed up the most accusing evidence of all. evidence he'd already lied under oa. >> the kids fell slaen asleep around 9:00 p.m. i fell asleep soon after. >> reporter: brad said he was asleep with his daughters when nancy came home from that party friday night. but brad's computer said otherwise. he was online until about midnight when nancy came home. >> he's been awake on his computer. when she comes in shortly after midnight, we think they argued and that a fight ensues and that's when he strangled her. >> reporter: and then the closest thing the prosecution had to a smoking gun, a google map search. prosecutors allege brad typed in the numbers 27518. the zip code for cary. then zoomed into the exact location where nancy's body was found. when do they claim he did this? 1:15 in the afternoon on friday july 11th, 2008. the day before nancy went missing. proof of intent? maybe. maybe not. it wasn't much of a se

cisco's turnaround taking the spotlight.eo says the company has made good progress in reinventing itself. from new york, this is bloomberg. ♪ scarlet: this is "bloomberg markets." shares of cisco falling after they predicted another revenue decline as it reinvents itself. the ceo talk about the progress and the company's makeover earlier today. >> we said we will shift more of our business to a subscription model, and we made unbelievable process. 31% of our revenues were from recurring, which was up four points from the prior year. we have our software deferred that grew 50% and eclipsed $5 billion for the first time. two quarters ago, i said it eclipsed $4 billion for the first time. that is moving rapidly. of our software business, 51% of our software business is from subscriptions. we have made a great deal of progress. i think the strategy we laid out is working. i am comfortable and pleased with what our team has accomplished. i am a long-term investor in cisco. i believe in you. i want you to succeed. what are you tel

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald how does he feel about donald trump and ♪livin in this crazy world ♪so caught up in the confusion♪ ♪nothin' is makin' sense ♪for me and you ♪maybe we can find a way ♪there's got to be solutions ♪how to make a brighter day ♪what do we do? ♪we've got to give a little love♪ ♪have a little hope ♪make this world a little better♪ ♪try a little more ♪harder than before maria: washington, d.c. has gone dark with congress on recess. but that has not stopped the white house or republicans from formulating way to get tax reform. considering the infighting that took place over healthcare preform, is it realist

cisco's been flat revenues for a while.ngs as well cisco is underperforming the rest of the dow. i think the big concern for the markets today on the day when a very dovish fed minutes came out. they are confused about the fact that inflation isn't going up. they want to raise interest rates, but they don't feel they can. >> i mean, you could argue to some degree that that helped the gold move as well today. >> that was a dovish statement and we did see a brief rally which was completely consumed by the concerns of council. gary kohn leading that, reports of him being dismayed weighs on people to this extent does that impede or in any way hinder him from leading the charge or tax cuts and yes it still matters there is still come kind of premium in the markets i get different opinions, anywhere from the market is 5 to 10% higher on the belief that there was tax cuts and the trump agenda of regulation and infrastructure is still there. there is some belief that there's a premium in the market and what they're doing on tax cut

besides l brands and investors wait for tech bellwether cisco. >> we're following two names here. l brands, the parent of victor a see -- secret bed bath & body works, like cisco systems. we'll follow same-store sales. they delivered weak same-store sales in june and july. some retailers doing better of late. we'll see whether or not they pull out a win here. up one-half of 1%. sorry up 1.5%. cisco system up half a percent. saying there was uncertainty prior to trump's administration. now the administration is in place we'll see what they have to say. liz: nicole, thank you very. federal reserve minutes bringing much awaited distraction from north korean and d.c. turmoil. chatter on wall street the fed says, the "g" word, gradual rate hikes, offering no concrete clues on timing that can be translated to this, still under 50% chance of a rate hike all the way forward into december. so which stocks can balloon higher if the fed holds its fire? we have rose wood managing partner mike murphy. name them, what does well if the fed does not, hold their

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald trump and you owned your car for four years. you named it brad. you loved brad. and then you totaled him. you two had been through everything together. two boyfriends, three jobs... you're like nothing can replace brad. then liberty mutual calls... and you break into your happy dance. if you sign up for better car replacement™, we'll pay for a car that's a model year newer with 15,000 fewer miles than your old one. liberty stands with you™. liberty mutual insurance. maria: washington, d.c. has gone dark with congress on recess. but that has not stopped the white house or republicans from formulatin

ceoy: that was cisco's chuck robbins. bitcoin continues to surge. what is driving the demand.e will discuss. tech firms are stepping up the policing of hate speech online. we will talk about the review of their policies. this is bloomberg. ♪ emily: it is another successful rocket landing for spacex, the 14th to be exact. monday's rocket carried a dragging capsule loaded with over 6400 pounds of cargo destined for the international space station. the dragon will spend the next couple of days in orbit before meeting up with the station on wednesday. bitcoin continues to show no signs of slowing down. the cryptocurrencies sword passed $4000 for the first time this week. the rally comes after a split last week which threatened to jeopardize its growing mainstream interest. theline hyde caught up with president of an online platform which allows you to buy and trade bitcoin by linking into your bank account. >> we are seeing the market respond to a real improvement and leap forward in the technology which stands behind bitcoin. segregated witness is essentially an improvement to th

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald trump and and the wolf huffed and puffed... like you do sometimes, grandpa? well, when you have copd, it can be hard to breathe. it can be hard to get air out, which can make it hard to get air in. so i talked to my doctor. she said... symbicort could help you breathe better, starting within 5 minutes. symbicort doesn't replace a rescue inhaler for sudden symptoms. symbicort helps provide significant improvement of your lung function. symbicort is for copd, including chronic bronchitis and emphysema. it should not be taken more than twice a day. symbicort contains formoterol. medicines like formote

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald trump and copd makes it hard to breathe. so to breathe better, i go with anoro. ♪go your own way copd tries to say, "go this way." i say, "i'll go my own way" with anoro. ♪go your own way once-daily anoro contains two medicines called bronchodilators, that work together to significantly improve lung function all day and all night. anoro is not for asthma . it contains a type of medicine that increases risk of death in people with asthma. the risk is unknown in copd. anoro won't replace rescue inhalers for sudden symptoms and should not be used more than once a day. tell your doctor if you have a he

exclusive insights into airbnb plans for china and earning reports from walmart, cisco, and others.ers can get just about anything they want from amazon, and now in texas, they can get bonds. costetty compelling from a of capital standpoint. ♪ ♪ best, let'sloomberg continue our global sort of the world's top business stories. a presidential order in washington that could have serious repercussions in beijing. is set tont trump take on china. he will sign a memo directing u.s. trade representative, robert lighthizer, to consider launching a formal investigation into china's a legend death of intellectual property -- alleged theft of intellectual property. property, soal vital to our security and prosperity. towe are still a long way the trade war that we thought we'd have at the start of the year. another play in the larger geopolitical jigsaw going on around north korea. president trump is using -- trade as a stake. k. as a stic when youis a grievance listen to chambers of commerce, around the world, we are a long way from the trade war. the u.k. government published the first in a

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald trump and my experience with usaa has been excellent. they always refer to me as master sergeant. they really appreciate the military family, and it really shows. we've got auto insurance, homeowners insurance. had an accident with a vehicle, i actually called usaa before we called the police. usaa was there hands-on very quick very prompt. i feel like we're being handled as people that actually have a genuine need. we're the webber family and we are usaa members for life. usaa, get your insurance quote today. it's a highly contagious disease that can be really serious... especially for my precious

sis owe down about 4.5% -- cisco down 4.5% right now. let's move on from walmart.want to go to the floor of the new york stock exchange and the floor of the cme. teddy, we're now seeing something called the hindenburg to omen. this is a term used about the markets that indicates, foreshadows a technical position where it sometimes foreshadows a coming crash, is that correct? where there are more 52-week lows than highs right now, and this -- not just over the past couple of days, but more so today. >> well, liz, actually this has been going on for weeks. the market internals have been deteriorating for weeks, and for whatever reasons, nobody really wanted to focus on it. and it was preceded by a major down move in the dow transports. and that goes back three or four weeks, you know? it doesn't turn much to turn -- there's only two emotions here, fear and greed, and it doesn't fake much for the greed to turn to -- take too much for the greed to turn to fear. you have a market that is basically up almost 4,000 points from the election. clearly, there's reasons out th

the ceo of cisco joins us at 2:30 p.m. u.k. time. u.s.ve officials engaged in a detailed debate about inflation. minutes -- showed a majoritytheir of the fomc. many saw some likelihood that inflation might remain below 2% for longer than they expected. that is your bloomberg business flash. matt. sebastian, thanks very much for that. itsas has maintained outlook and announced a six hundred million euros share buyback after orders surged in the americas. joining us now from copenhagen is the ceo, under sharrod -- anders runevad. you miss euro revenue estimates, of global walls street. why do underperformance in the most recent quarter? anders: i mean, i would argue that it is actually -- we always knew that the year on year comparison with q2 was going to be a tough quarter to compare against. overall, i would say it is a solid result. matt: but if it is a solid result, why is the market selling the shares so hard? you are down 6% in today's trading. anders: i cannot speculate in the market. of course, i am looking at -- and how we can imp

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald trump and i founded lendingtree 20 years ago, and i've never seen a better time to refinance your home, than this summer. why? because right now we're seeing our average customer save $20,000. but with the fed already talking about raising rates, this window will not last for long. lendingtree is the only place to compare up to 5 real refinance offers against your current mortgage - for free. are you sure you have the best rate? take 3 minutes and find out right now. because at lendingtree, when banks compete, you win. maria: washington, d.c. has gone dark with congress on recess. but that has not

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald trump and the washington swamp? . with gocentral from godaddy, you can create a professional... ...website in just a few clicks. in fact, 68% of people who have built their website using... ...gocentral, did it in under an hour, and you can too. it's so easy. type in your business or idea. pick your favourite design. personalize it with beautiful images from our huge photo... ...library - or upload your own. and...you're done! zero technical skills required. but don't worry, if you do need help, we're here for you 24/7. now business is booming. harriet, dear, it's a double stitch not a cross stitch

they are, apple, goldman, walmart, cisco.n we're down over 100. >>> you heard it here, this program, pastor robert jeffress says god is okay with the u.s. bombing north korea. tony perkins, president of the family research council responds to those comments on this program shortly. in the 11:00 hour, conservative author ann coulter, we'll ask her flat-out is she still standing behind president trump? yes, she is. ♪ ashley: are we going to get a tax cut this year? optimism may be fading but brian bren berg, professor at kings college says there is still hope. >> you can get a tax cut, small tax cut. nothing like the president or congress has been talking about, it has to be small. it has to happen this year, it is their only hope. if the president can not get this done, congress can't get this done, what in the world are they running on in 2018? stuart: i say odds of getting a tax cut, not tax reform, a tax cut, slimmed down to a small area i still think chances are slim and none. are you with me? >> no i'm not. stuart: you're

exclusive reports from china, on walmart, cisco and others.xt, more of the weeks top business headlines. shoppers can get just about anything they want on amazon and now in texas, they can get more. are able to get it at the 4% range, you can deduct that and it is compelling on the capital standpoint. >> this is bloomberg. ♪ ♪ and: this is bloomberg best, i am anna edwards you read let's continue our global tour of the world's top stories with the president's order in washington that could have serious on -- serious repercussions in beijing. >> at this hour president trump is set to take on china. he signed a memo directing the u.s. trade representative to consider launching a formal investigation into china's a legend theft of intellectual property. >> we will safeguard the copyrights, patents trademarks trade secrets and other intellectual property that is so vital to our security and to our prosperity. >> we are still a long way from the trade war that we thought we would have at the start of the year, this seems like another play in a wide

in 1998 cisco was trading at 100 times earnings.f you extrapolate that into the future, i've years later cisco should be 25% of the u.s. economy. obviously it couldn't possibly be. but it's multiple reflective acts. amazon is going to be trading in excess of 1 o -- of 100 times earnings. bar * we have a lot more when "wall street week" comes back. stay with us. >> announcer: sam zell is known for being blunt. how does he feel about donald trump and you totaled your brand new car. nobody's hurt, but there will still be pain. it comes when your insurance company says they'll only pay three-quarters of what it takes to replace it. what are you supposed to do? drive three-quarters of a car? now if you had liberty mutual new car replacement™, you'd get your whole car back. i guess they don't want you driving around on three wheels. smart. with liberty mutual new car replacement™, we'll replace the full value of your car. liberty stands with you™. liberty mutual insurance. maria: washington, d.c. has gone dark with congress on recess. but

cisco's machines formed the backbone of the internet.his quarter, the country predicted revenue may fall as much a 3%. the bloomberg daybreak: americas team spoke with the ceo about the turnaround efforts in the current political climate. >> we said that we were going to begin to shift our business to a more software subscription model, and we have made unbelievable progress. this past quarter, 31% of our revenue was a recurring revenue up from the past year. our software deferred revenue grew 50% and eclipsed $5 billion for the first time. and two quarters ago, i said it eclipsed $4 billion for the first time, so that is moving rapidly. of our software business, 51% of our software business now is from subscriptions. we have made a great deal of progress. the strategy relate out is working. -- the strategy we laid out is working. i am pleased with where we are, and i think our team has made great progress. david: if i am a long-term investor, and i believe in human want you to succeed, what you tell it me to look at to know when i am ce

take a look at the premarket as we look at some weakness on the back of cisco and walmart. a lot more after a break time's up, insufficient we're on prenatal care.es. and administrative paperwork... your days of drowning people are numbered. same goes for you, budget overruns. and rising costs, wipe that smile off your face. we're coming for you, too. for those who won't rest until the world is healthier, neither will we. optum. how well gets done. t-mobile announces zero down for all. now, get the whole family the hottest smartphone brands like samsung galaxy for zero down. plus, get 4 unlimited lines for 40 bucks a month, taxes and fees included. more reasons why t-mobile is america's best unlimited network. for years, centurylink has been promising fast internet to small businesses. but for many businesses, it's out of reach. why promise something you can't deliver? comcast business is different. ♪ ♪ we deliver super-fast internet with speeds of 250 megabits per second across our entire network, to more companies, in more locations, than centurylink. we do business where

down about a percent, standing out as the worst-performing sector of the s&p, lagers include netapp, cisco, adp and micron technologies keep an eye on applied materials. that does it for this hour of "squawk on the street. let's head it down for-tto the w york stock exchange for the start of "squawk alley." >> it's 11:00 a.m. on wall street and squawk alley is live. >>> good thursday morning, welcome to squall "squawk alley. john ford has the morning off. >>> we start with this big story about big business and the white house. two of the president's advisory councils disbanding after multiple ceos dropping out citing the president's response to the violence in charlottesville. among the ceos speaking out, jamie dimon, jeffrey immelt, mary barra, etna ceo mark bertoli bertolini. i think we'll talk to bob crandall in just a moment, guys, but we're all trying to process the dramatic decision, how it went down, a lot of good cnbc reporting on that and what the significance of this move is going to be. in practice and also symbolically in the statement that it sends to the president and the whi

and finally, cisco systems is also reporting earnings.ing gear maker will likely report another fall in revenue as declines in its legacy hardware business outweigh gains from its new divisions such as security. joining us is lucy macdonald, chief investment officer, global equities at allianz global investors. welcome. this morning, interestingly from the imf about china's being filled much by debt. that is exactly the case was that we are seeing debt everywhere in the world as being the major determinant of growth. that has been the case since the financial crisis, but particularly so in china, which has really driven excess growth, over 6%. that has helped the rest of the world, for sure. pointing out this debt is there and will need to be financed over time is a good caution, i think. it is a common picture around the world, the growth is fuelled by debt. where is the dividing line? read as a become manageable and healthy to keep the economy growing, and being into dangerous territory? we had a very clear number at 90% of gdp. that pr

cisco systems down about 2.5% in the premarket.mates, the revenue contracted for the seventh time in a row. the outlook is a little disappointing. website the software turnaround they are trying to make happen is taking a little time. the wells fargo analyst says guidance is conservative in their moving in the right direction. time will tell. one byn: in the u.s., one ceo's of some of the biggest companies began to distance themselves from the president of the united states following his comments following the ugly rallies in virginia over the weekend. they departed his advisory councils. just as they were going to get together and get the latest band, the president closed them down altogether. the divorce between one of the most important constituencies of president trump, the world of business and the white house. joining us is the portfolio manager -- chief equity strategist at bloomberg intelligence. chad, is that with that is yesterday or symbolic? chad: it's the real deal. they are trying to have a careful departure from the

with cisco trading at a 90 p/e versus cisco trading now, this is a different environment and we've got an environment where there is extreme growth and some of the valuations are stretched. not everything is cheap, but there's a lot of great opportunities. >> for one second, let's talk about the facts of what has actually happened here over the last week. where is apple today where is apple and what has it done over the last week. pete helped me out tremendously. i had the puts on. we put the other side on and brought the apple. you have nvidia, you have apple, they have all come back strongly over the last weak this h this has been a growth f.a.n.g. strategy i heard so many talking about, move away from it, get out of it, it looks like to me today we're actually resurrecting that momentum once again. according to a bank of america fund survey, a record high of respondents say equity markets are overvalued and you've got a great investor like david tepper almost scoffing at a notion like that, relative to where growth is, where earnings are, and where rates are. >> you know, if you tak

look how long it's taking cisco. those, at least, are kind of ahead, at least in their transition a little bit farther ahead than ibm. >> pete, last word to you and then i'll get you get back on the road >> you know, katie huberty was early, and i think she, obviously, clearly, she's been wrong and the stock has gone to the downside i agree with the panel there's no reason to jump into this thing it's been all about execution. so if jenny rometty actually can execute and prove out what everybody is looking at, particularly katie right now talking about being able to improve those dprorms and grow in the services and the cloud, then you actually are finding a nice bottom. but there's no reason to be the first guy in i agree and understand what you guys are saying. scott, last thing i've got to tell you you had that great conversation with walmart don't forget, best buy is beating walmart at their own game and nobody brings it up enough best buy has been winning that game on online and competition, just take a look at

the worst performers including cisco and goldman sachs.g 1.5% to close at 2430 and the nasdaq down nearly 2% to close at 6221 the russell 2000 small caps also down 1.8%, a 25-point drop to 1358 the flip side of that is the vix, volatility gauge jumping almost four points to touch 15.5, nearly 16 on the session today. the selling pressure picked up steadily into the close. we'll have more on this in just a moment as investors are also awaiting some big earnings, we have courtney reagan to cover gap and ross stores and morgan brennan following me applied materials we have stephanie link, managing director from tiaa investments and nancy tangler, chief executive officer at heartland financial. welcome, everybody, and stephanie, a really difficult day and a tough session. is this raul because of what's happening inside the white house, or is there a lot more to it >> i think that's certainly what it is. it's just the uncertainty as to what this economy needs and the potential for the lack of anything getting done in terms of tax policy and inf

cisco predicting yet another revenue decline.e are digging more into that company's numbers a little later in the show as the shares fall. europe,rning back to the ecb releasing the accounts of its latest meeting. the central bank expressing concern over the risk of the euro overshooting. joining us to dive into the minutes and what they tell us about monetary policy is bloomberg markets live -- richard jones in berlin and from frankfurt, bloombergs paul gordon. -- bloomberg's paul gordon. paul, let me start with you. concernific comment about the risk of the exchange future,rshooting in the some people pointing out this is actually quite soft common tree compared to what we got in the past. -- commentary compared to what we got in the past. paul: very serious concerns about the euro, but then it was almost at once or do. the concern of the ecb has always been not so much that the euro is rising, that is part of the economic recovery, but the speed at which it is rising. they were saying the concern is whether they would overshoo

the turnaround at cisco has not taken hold. we'll hear from ceo chuck robbins on the company's plan to become less dependent on hardware. big to is spending compete with amazon, and it is showing up in earnings. shares are lower as walmart issues a little warm forecast. -- issues a lukewarm forecast. recapping breaking news first from barcelona -- many people injured by a van on barcelona's ramblas -- a very touristy area of barcelona. there has been a massive trampling on the ramblas and people are being encouraged to stay away from the area. we have very little information on what exactly happened in this part of catalonia, in fact, and will be do know is the prime minister is in touch with all authorities. we will continue to bring you up to date, but once again, las ramblas, a spot popular with tourists, has found itself the victim of a crime. a man lowering -- mowing down -- it's been a local paper reporting there was a shoot out. that report came a few moments before we learned of this particular incident. these vehicles

are you seeing meaningful competition from cisco? >> networking is going great.ng the effects of the vision i laid out. it is really bold in the sense that it is between data centers, between clouds, cross clouds, we are stretching it to be iot and into the core service provider network. today's announcement is a next-generation container. we are viewing it as this common fabric that connects all these things together, turning data centers into centers of data that have this connection everywhere they go. so going very well. the relationship with cisco, they continue to view this -- a boy, that networking layer, but we are in this hardware business. what we are finding is customers are running a lot of the overlay network on their hardware, and that is ok. it works great, we support them. maybe half of our customers run it that way. but our vision is much bigger, much broader than any traditional view of networking. that is why it is a really thrilling period for what we are doing in that business. emily: a last question about security. i know you unveiled a new

, which is the backbone of the internet some would call that a good reason to sell cisco i think the company's doing a pretty good job. it's not from lack of demand maybe you thought walmart's quarter was a reason to sell that would be wrong, too the numbers were actually excellent. it's just that the stock had been so elevated it never went down during this period when retail was so hurt so the numbers i'm calling them good. it ran into the quarter. what else? the fed statement about how it may not raise rates because things are weaker yesterday? no, i'm not going to do that either it hurt the bank stocks, but that's not enough to bring the market down. 13 dead, more than 80 injured in spain, it merits pause if we sold stocks on every tragic terrorist attack, the market would be below zero does that exhaust the list yes, if you're a conventional thinker. i've been trading stocks since '79. i've got another explanation for today's action, more than what i saw in my twitter file it's august. it's slow. time for vacation. stocks have had a big move why not sell some. why not sell some

long term and there are some of your winners, cisco, verizon and visa and dupont.ren: anything can happen in the final moments, nicole petallides, good to see you, thank you very much. when we come back, we will hear the closing bell ring in 28 minutes from now. the commander in chief set to reveal his plans for the fight in afghanistan in a prime time address tonight to the nation. james and former navy seal tell what you say they hope to hear from the president on the long wars next phase 16 years later. countdown is coming right back. i was wondering if an electric toothbrush really cleans... ...better than a manual, and my hygienist says it does. but... ...they're not all the same. turns out, they're really... ...different. who knew? i had no idea. so, she said look for... ...one that's shaped like a dental tool with a round... ...brush head. go pro with oral-b. oral-b's rounded brush head surrounds each tooth to... ...gently remove more plaque and... ...oral-b crossaction is clinically proven to... ...remove more plaque than sonicare diamondclean. my mouth fee

. >> cisco, not the food kind. >>> chuck robbins, in the morning, by the way. "mad money" with jim cramer begins right now >>> my mission is simple to make you money. i'm here to level the playing field for all investors. there's always a bull market somewhere, and i promise to help you find it. "mad money" starts now hey, i'm cramer. welcome to "mad money. welcome to cramerica other people want to make friends. i'm just trying to make you some money. my job is not just to entertain but to educate and teach you so call me at 1-800-743-cnbc or tweet me @jimcramer. >>> hey, guys, on a day like today, you have to wonder. what the heck is happening why isn't this market falling apart? you have the confused narrative about the demise of the business leader panels the president put together with so much fanfare. did he disband them? who knows? you've got ceos openly castigating the president for his off the wall remarks and the president calling them infants pure chaos in washington, with some of trump's most important allies unable to hide their contempt for the pre

su: tech stock cisco was part of the drop. we were talking about cisco earnings yesterday.et's talk about the big earners. the close across the board was lower. the nasdaq down almost 2%. tech was a big part of it. let's go with the delta, we had morgan stanley say they were under pressure. that hit all the airlines. then you have international incident in spain. typically when there is a terrorist issue airlines get hit. delta, three incidents in three days in jfk where they had other planes or trucks. nobody got hurt, but that is investigated. l brands that own the victoria's secret are having trouble getting sexy back. cisco reported weaker earnings and a decline in sales. another one, not too worried. our software business, 50% is from the subscription. we have made a great deal of progress. the strategy we laid out is working. with whereomfortable we are and what our teams have accomplished. su: not that clear on whether the strategy is working. let's go to the bloomberg, g #btv 108. what you see here is the rising ratio of bearish the bullish s&p 500 options. you noti

cisco is another market mover. coming up next week on "wall street week."see you sunday morning on the fox news channel. that will be it for "wall street week." thanks for being with me. >> i'm bob massi. for 35 years, i've been practicing law and living in las vegas, ground zero for the american real-estate crisis. but it wasn't just vegas that was hit hard. lives were destroyed from coast to coast as the economy tanked. now it's a different story. the american dream is back, and nowhere is that more clear than the grand canyon state of arizona. so we headed from the strip to the desert to show you how to explore the new landscape and live the american dream. i'm gonna help real people who are facing some major problems, explain the bold plans that are changing how americans live, and take you behind the gates of properties you have to see to believe. at the end of the show,

shares in cisco systems have fallen in extended trading after it predicted another revenue decline astries to remake itself amid a changing networking industry. the company whose machines formed the backbone of the internet, said revenue in the current time may decline as much as 3% from a year earlier. the ceo chuck robbins joins us .fter 2:30 p.m. u.k. time that is your bloomberg business flash. thanks million. tencent shares have jumped the most in a year after they posted a record profit in the fastest sales growth in seven years. anna: we'll get earnings from rival alibaba. analysts expect the company to show strong revenue growth. as we were just discussing, we have a chart from one of our colleagues on china's text giants, this is global. ian: global growth and the -- in the economic sector is muted. even though we are talking about stronger economic activity will 4.around 3.5 or you have the growth expectations from these tech stocks, they are long-duration stocks so as bond yields stay low you get that stimulus, there classic roast plays in that is why people are getting exci