okay, now, cisco shares began to stall.e of it was because the whole technology sector was getting slammed and some because the trade war broke out and half of its business is from overseas. wow, okay, however over the course of april and early may then the stock rebounded it rebounded dramatically. it ran into the next quarter after the last few results people expected another straightforward blow-out that's what they kept delivering they didn't get it when cisco reported in may i actually thought the numbers were pretty good i did. i do a lot of work on the company and followed it since 1992 but the market clearly disagreed. even though they posted a nice top and bottom line, revenue growth accelerating the guidance was merely in line, remember how much we care about guidance not better than expected on top of that when you drill down there was legitimate imperfections. their recurring revenue made up a smaller percentage than the analysts hoped for and maybe soft cash flow, i thought was fine. people didn't like it. thes

that cisco evidence did otherwise?as part of a random audit done by the labor department's audit of federal contract compliance program, which is essentially a government watchdog over contractors enforcing an executive order that bands pay discrimination in the workplace. they performed these audits, they look at records and based on those records their reach conclusions. in this case, the investigator said there was enough information from that data to issue two notices of violations. those notices are currently being discussed in a sort of settlement. is one of several ongoing investigations into possible discriminations i theral contractors against visa holders. what else do we know about these investigations? chris: this is the first one that we know about in which the a contractor discriminated on the basis of visa status. we'd do know that the dol is looking into similar allegations at a similar number of contractors. we do not know who those contractors are. we have seen that the dol has taken a specific intere

i think at that time, cisco was the largest stock in the world >> remember when you had the cisco and alcoas of the world when they had earnings >> right it was one of those stock of that eras that what in there like the dotcom era. it wasn't like a fake business this had a huge breakout in february and spent the last six months consolidating now we're at the upper end of that range so from a technical perspective, i think the long-term monthly chart looks extraordinary and you can buy it here. >> other thing, they just put an authorization to buy back up to 10% of their shares. >> yana, the so-called old line, whether they're talking about with cisco or intels or microsofts, which one is the most attractive to you and do you own anything in the names we just mentioned? microsoft you probably own >> yeah, we do i love that we're talking about stocks and it sort of reiterates that company fundamentals matter, and stocks are reacting. increased creativity, and more to resume goods, services, you name it. these companies are in a sweet spot within that, you have security, soft ware, you

we hear from the ciscos, two ciscos, like the two jakes, the first, syy reports monday morning. sysco is important i never focused on this company's investment, just a barometer of how the restaurant business was doing that is until nelson peltz, the activist, whatever you want the call him investor, took a 7% stake in the company three weeks, three years ago and got himself a board seat now this stock's been an incredible long-term performer since then and i like sysco very much, ever since nelson got on and really made a lot of positive suggestions. and they're working. i tend to think of him as an intellectual investor. tuesday morning we get results from home depot, and it's hard to recall another time when people were this nervous about this quarter for this great company. well, why? first, we know this spring was late the big spring planning season was bust because the weather was so darn terrible take it from this gardner, there was no way to plant in many areas in the northeast or in the midwest. that's not enough to derail this great company on its own, but we are also

, followed by boeing >> cisco's really a story. had been a company that was very hostage to service providers. in other words, the at&ts. they had been very hostage to whether they had a lot of hardware buyers. they do have a good piece of hardware but chuck was built an ecosystem that makes it so you really do have a lot of good i like the way he clarified my thought about whether he is doing enough i just don't see amazon in it and i know that it is sensitive because the battleground in the country right now is are you going to use google cloud or are you going to do azure -- that's microsoft -- or are you going to use amazon web services. i like that chuck said we're agnostic, we do all three. walmart has a deal with azure. with all of what retail is about, it is about the strength of the consumer because of job growth, but it is the recognition that they figured out omni channel i think that matters brick and mortar can be an asset is what this quarter is about. it is not just a liability >> the spread between store and non-sto

other dowrs win include cisco and walmart, both were higher on excellent earning results.mart had its best trading day sincer novem of 2017 nearly a year ago. >> bob joins us now from the new york stock exchange. nice tie, by theay. we started the week out with concerns about turkey and the turkish financi crisis and the market sold off and then there were concerns about retailers, macy's and home depot even though they had good numbers and a sell-off and today, a rally with talk of grade with china. this market has a very short-term mery, doesn't it? >> it does, but there is an oval theme here and that is that the mark clearly moves the most whenever you're dealing with strong dollar issues and when you're dealing with trade and you're dealing with weakness in ths, global mark particularly weakness in china. so look at monday, down esday, y up day, wednesday, down day. what ties these days together is the market tends to be down on days when there are global growth concerns and strong dollar issues and tends to rise when the global growth concerns lessen and that's exactl

and later, our conversation with cisco ceo chuck robins.ng a bullish forecast for the quarter. this is bloomberg. ♪ selina: time for the latest installment in our next job series as we look at career futures. tech giants amazon and alphabet are causing a buzz with their drone deliveries. one company is delivering blood to remote wanton hospitals by drone since 2016. -- remote rwanda and hospitals since 2016. we tell the remarkable story. ♪ >> this is rwanda. nestled between these plantations, village homes and meandering mountain roads is a patch of land no bigger than a football field. guy launchesis drones carrying blood of two doctors racing to save patient'' lives. >> i'm a drone operator. narrator: abdul works for a startup called zipline. abdul: this is where you attach the drones. and in front of you, this is where we launched the drums. narrator: zipline is headquartered in california. but it's west of kigali that the company has launched one of the world's first drone delivery services. abdul: it's beautiful. >> does it ever get ol

cisco, the second best dow component.347, puts us at the best day since june 6th "squawk alley" continues in a couple of minutes. >>> good morning, i am sue herera here's your cnbc news update at this hour. some sad news to start with. the queen of soul, aretha franklin, has passed away. she was a church trained pianist that often accompanied herself in concert she was called the most influential vocalist of her generation, first woman admitted to the rock and roll hall of fame she died this morning at age 76 from advanced pancreatic cancer. >>> the investigation continues into the italian bridge that collapsed tuesday, killing at least 38 people. prosecutors say they're now focusing on possible design flaws. meantime, authorities are worried about the stability of remaining sections of the bridge, prompting evacuation of nearby apartments. elsewhere in europe, u.s. f-22 jets simulated dog fights with norway's f-35 planes today it is an exercise aimed at strenl strengthening the nato alliance. >>> large parts of canada ar

clients include the department of defense, department of energy, expedia and cisco. to talk more about that, we have john chambers and rubrik ceo bipal sinha. thank you both. >> great to sit with you again. emily: what is it about this company that you see that could transformative. john: whatever i do, i do with a replicable innovation playbook, if you will. 80 acquisitions at cisco is an example. i have been very fortunate to always get my pick on the litter of startups. not sure i deserve that, but the vps and ceos have been very kind. it is both a business model change and technology change. i look for a world-class ceo in the making who wants to be coached, who is ready to start, i look for customers who said, this is a company that i want to invest in, and they can be a huge player in the industry, and i look for a key analyst nvc that i trust. rubrik is all of the above. right at the center of cloud innovation. how to get all that data and in a secure way. when you talk to customers, the gush over how valuable the company is to them. when he ask them about it,

cisco earnings just out. josh lipton with the numbers.9 cents. revenue 12.84 billion. the stream is 12.77 billion. in terms of guidance q 1 callingeps 70 to 72 cents. and revenue growth between 5% and 7% compare wg expectation of around four percent. infrastructure plat forms up about seven percent to 7.44 billion. applications rose to 1.33 billion. security up 12% to 627 million. this call starts at 4:30 eastern and we'll be on it. >>> let's get to our panel for some reaction to this move. daniel flack is with us here. >> looks like a beat on weak action. >>. >> i think we are seeing the company is shifting its mix to more software and services. they are investing in key areas like security where we are seeing strong growth in analy c analytics and cisco is embracing the cloud. that is a key part of the story and is enabling the company to expand margins and return capital. we think it is an attractive story. >> is it attractive enough to get the stock moving again it was such a good story and then it stalled out. where are we today >> i

and later, our conversation with cisco ceo chuck robins. and getting a bullish forecast for the quarter. this is bloomberg. ♪

cisco systems is growing again. wall street is thrilled.spoke to the cisco chuck robbins following that report. >> we had a good quarter. the innovation we are bringing to our customers is being well received. we saw growth across all of our technology areas. this transition that we talked about, the business model work is continuing to take hold with hours description business continuing to grow. we have a lot of things happening around us right now. performance,t our we have clearly driven a significant amount of innovation in our portfolio. our teams have done an amazing job. we have a very strong global macroeconomic environment to operate in. we have some dynamics with the rising dollar. in thes some uncertainty emerging countries. we have the tray dynamic. we went to deal with those as they evolve. right now things feel pretty good. >> we what's talk about the transition in detail because it is clearly successful. you bring up the u.s. dollar. hedged?mething you have this atve gone through various times over the years. our teams know

josh lipton has the one key keaway from cisco's quarter. >> infrastructure platforms, revenue and cisco'sarter jumped 7% to $7.44 billion and that was better than expected.r pi jaffray's jim fish said that number was critical and referred to cisco'sore business and related to switching and routing and fish emphasized the product backlog of 6 billion, a big acceleration, nearly 40% from last year, he says. for "nightly business report," i'm josh lipton, sfrancisco. >>> a major spirits cpany is betting big on cannabis-infused drinks and that's where we begin tonight's market focus. constellation brands is investing $4 billion in canopy growth impea grow growth, the biggest wager to date. constellation, which owns corona and other beer and wine brands has been dealing with a recent decline i beer consumption. shares fell 6% today to 208.27. meanwhile, the hedge fund owned by the ceo of sears is offering to buy the kenmore appliance brand from the retair for $400 million. kenmore is considered one of the cash-strapped departmenst e's last remaining valuable brands and it's no secret that sear

only reason i'm saying that is that the only news we have right now that's stock specific besides cisco earnings tomorrow is retail earnings through the rest of the week >> doc, you're 1% away on the s&p. 28.72 and change is the number you need to hit from january 26th. >> the nfib today, second highest reading in history july of 1983 or something like that >> that's what i refer to when sentiment is great >> sentiment is fantastic. that's small business optimism they're tracking steve nailed it with the germany. they're lucky to come out with a gdp of .4 or whatever it is. in order, we're growing like you know, as fast as anything in the united states that we've seen in a long time. meanwhile, the rest of the world is kind of muddling along. in the case of china, they're absolutely stuttering and stammering and they need to get restarted. obviously if these trade wars and tariff issues could be pushed aside, if they will be, then look for demand out of that side of the world to pick up like crazy for what exactly our guys are making here selling back to the proof. >> the proof of how y

selina: that was cisco ceo chuck bloomberg'saking to jon ferro.for this edition of "best of bloomberg technology." we will bring you all the latest in tech throughout the week. tune in each day at 5:00 p.m. new york and 2:00 p.m. san francisco. "bloomberg technology" is also live streaming on twitter. check us out at technology and be sure to follow our global breaking news network at tictoc on twitter. this is bloomberg. ♪ ♪ david: coming up on "bloomberg best," the stories that shaped the week in business around the world. turmoil in turkey. each day brings new twists as investors look on with alarm. yousef: the market reaction really tells a powerful story as to the insufficiency of the latest move. mohamed: turkey is trying to rewrite the crisis management chapter in the playbook for emerging markets. david: the u.s. and china resume talking about trade talks. cryptocurrencies go on another ride, and elon musk's plan to take tesla private puzzles the --

selina: that was cisco ceo chuck robinson speaking to bloomberg's jon ferro.for this edition of "best of bloomberg technology." we will bring you all the latest in tech throughout the week. tune in each day at 5:00 p.m. new york and 2:00 p.m. san francisco. "bloomberg technology" is also live streaming on twitter. check us out at technology and be sure to follow our global breaking news network at tictoc on twitter. this is bloomberg. ♪ taylor: "bloomberg businessweek." i am taylor riggs. a lot going on in the magazine. tyson wants to be your one-stop shop for all things protein. jason: and tmz's shift from hollywood to washington as it breaks into celebrity politics. taylor: a lot going on in turkey with threats of their financial crisis and any contagion effects it might have.

cisco.ou think? >> i'll start with cisco yes. they had a very disappointing guidance after the last earnings and that sets them up well usually what they do is sand bag and next quarter they come up and exceed i expect cisco to do well. on amat. i like it as a long term play. the new chip designs require amat equipment long term a great investment >> alex asks which is a better buy, acsell gentleman, xlf or kbe. >> rets remove kbe klf but kre is the right way to play the financial trade >> good stuff. a reminder, sends them to us go to cnbc.com/halftime. we'll take a quick break come back and do final trades. whoooo. tripadvisor makes finding your perfect hotel... relaxing. just enter your destination and dates. tripadvisor searches over 200 booking sites to find the hotel you want for the lowest price. dates. deals. done! tripadvisor. i love you, basement guest bathroom. your privacy makes you my number 1 place to go number 2. i love you, but sometimes you stink. febreze air effects doesn't

what's the evidence that cisco did otherwise?as part of a random audit done by the labor department office of federal contract compliance, a government watchdog over contracts, enforcing an executive order banning pay determination in the workforce. they perform these audits, look at payment and hiring records and based on those records reach conclusions. in this case, investigators found there was enough information from that data to issue two notices of violation, currently being discussed in some sort of settlement. emily: so this is one of several ongoing investigations into possible discriminations by federal contractors against, not in favor of, visa holders. what else do we know? chris: this is the first one week know about in which the dol found a contractor discriminated on the basis of visa status, but we know the dol is looking into similar allegations at a number of other contractors. we don't know who those companies are, but we have seen in the last couple years the dol has taken specific interesting tech companies,

now just to put things in perspective, in 1851, and egg would sell for 1 dollar and cisco. multiply that times 25. you're talking about $25 eggs. if you're in merchant or clipper ship owner is a huge chance to make money. boots went for $60 but it was a total boomtown. donna mckay stepped in and sees what john has done, sees with eastern merchants are doing and he begin building a bigger, heavier vessel for california trade. his most famous of which was the legendary flying cloud built in 1851. now doug mckay was an immigrant success story, he came from nova scotia, the son of a poor farmer in shipbuilder and at age 15 he came to new york to become an apprentice in a new york shipping yard and he always had a bit of a stubborn streak, he did not really like working as an apprentice and he eventually struck out on his own and founded his own yard in boston in the mid- 1840s and it was the second clipper ship that he built. donna mckay was a fascinating man because he saw himself as a heroic mechanic, not as someone who was some fancy businessman or someone who was working wi

security posted its growth of twelve percent rising to six hundred twenty seven million dollars cisco seems poised for even greater growth in that area after recently acquiring the michigan based tech security firm duo. industrial average did rise nearly four hundred points three hundred ninety six points at the closing bell with some strong earnings news we've been discussing and there is new hope that a deal related to u.s. china trade work could come sooner than anticipated here discuss that and more is the c.e.o. of quill intelligence danielle de martino both danielle we always have you on exciting days and you provide us with this important intel thanks for being with us i mean the good news is that this data seems to indicate u.s. factories excited that with the retailers are doing pretty well rev of the retailers so that's pretty much helping isn't it. oh it certainly is and i think that a lot of what we're seeing today in this monster rally which is the biggest in four months has to do with with two levels of uncertainty being torn back and that is obviously china saying it wa

selina: that was cisco ceo chuck robbins speaking to jon ferro.r this edition of "best of bloomberg technology." at 5:00 p.m.day new york and 2:00 p.m. san francisco. "bloomberg technology" is also live streaming on twitter. follow our global breaking news network at tictoc on twitter. this is bloomberg. ♪ ♪ nejra: funding secured. two words that could spell legal troubles for elon musk. tesla shares dropped after a subpoena was sent regarding plans to take the company private. turkish turmoil concern grows over the eu bank exposure and is set to take no. hedge funds want clarity. welcome to "bloomberg markets: rules and returns," i'm nejra cehic in london. "rules and returns" is the show where we delve into the

security posted its growth of twelve percent rising to six hundred twenty seven million dollars cisco seems poised for even greater growth in that area after recently acquiring the michigan based tech security firm duo. and the industrial average did rise nearly four hundred points three hundred ninety six points at the closing bell with some strong earnings news we've been discussing and there is new hope that a deal related to u.s. china trade work could come sooner than anticipated here discuss that and more is the c.e.o. of quill intelligence danielle de martino both then you know we always have you on exciting days and you provide us with this important intel thanks for being with us i mean the good news is that this data seems to indicate u.s. factories etc that with the retailers are doing pretty well rev of the retailers so that's pretty much helping isn't it. oh it certainly is i think that a lot of what we're seeing today in this monster rally which is the biggest in four months has to do with with two levels of uncertainty being torn back and that is obviously china saying

i really think that cisco could do well. the last quarter was not a blowout.g down. i know its flash memory is coming down. one look at western digital is telling you that micron wavering here even though it sells at the lowest multiple in the s&p even though the ne'er-do-wells, ford, but next time we speak to phil we have to ask. >> fell below 10 on friday as i recall. >> yeah. we have to ask phil because, remember, they didn't go and seek u.s. government help and they do have the f-150 but there's a lot -- they're really trying to say, listen, we're not going to sell cars other than where we're going to make money. no one wants that stock, no one. wow. >> some halo here on retail. kohl's is up a percent here. nordstrom, alta. >> chapel trust owns that. nordstrom he does not think is going to have a good number. nordstrom is going up. nordstrom is becoming the gang that couldn't shoot straight if they don't get this right it could be three straight quarters i've been waiting for nordstrom. they have a men's store in the u.s. i think it's a great place to shop

. >> i like cisco here. u thanks for watching and see yotomorrow at >>> 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. 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 isn't just to entertain but to educate and teach you call me at 1-800-743-cnbc. or tweet me @jimcramer forget fang. this market has fallen in love with wang, as in walmart, apple, netflix and google and maybe amazon should look out a little. maybe time to change our acumen. the strength of the market helped today's monster move with the dow surging 396 points s&p 500 and nasdaq advancing only 4.2%. put another way, walmart with the best growth, walmart, where 100 people are shopping and shopping more than ever before has made us so optimistic that everybody compelled to buy buy buy, causing the stock of the lar

security posted its growth of twelve percent rising to six hundred twenty seven million dollars cisco seems poised for even greater growth in that area after recently acquiring the michigan based tech security firm duo. industrial average did rise nearly four hundred points three hundred ninety six points at the closing bell with some strong earnings news we've been discussing and there is new hope that a deal related to u.s. china trade work could come sooner than anticipated here discuss that and more is the c.e.o. of quill intelligence danielle de martino both danielle we always have you on exciting days and you provide us with this important intel thanks for being with us i mean the good news is that this data seems to indicate us back to that with the retailers are doing pretty well rev of the retailers so that's pretty much helping isn't it. oh it certainly is i think that a lot of what we're seeing today in this monster rally which is the biggest in four months has to do with with two levels of uncertainty being torn back and that is obviously china saying it was going to send

subscription services anyway, so let's not worry about it i like cisco >> my friend runs i.t. for a very large health care company look, i was out of the stock, but here, they're not buying back stock until september it's a $10 billion buy back. >> johnny o, don't stop. >> he is typing as we speak. >> don't stop. >> all right twitter looks like it wants to get into that post earnings gap. >> nice to be back with all of you where. >> don't miss a new cnbc documentary. it's with melissa lee tonight, and it is on bitcoin boo or bust? that is tonight. >> i'm so there. >> right here on cnbc. look forward to the second night out. have a great rest of the day power lunch starts now >> thank you, scott. thank you, gentlemen i'm melissa lee. records to the s&p, nasdaq, and russell today as investors cheer a trade deal between the u.s. and mexico the details on the president's deal and the summer surge straight ahead >>> howling the alarm. the wolf of wall street jordan belfort joins us to discuss why he thinks bitcoin was a scam, and he would know, right he was a former scammer himself

coming up, the former cisco ceo making a big bet on the cloud.ning the board of the data management company rubric. we will hear from him and the ceo next. ♪ emily: first lady melania trump told us -- a cyber bullying conference that social media could be used in positive ways or be destructive when used improperly. she was speaking at a conference attended by google, facebook, and twitter. she highlighted her "be best" campaign, saying it will focus on teaching the next generation to conduct themselves in a positive matter in a online setting. this as her husband has been accused of using twitter to bully critics. rubric --data company to invest in the company and join the board. the former ceo of cisco launched his new venture at the start of this year to find the next generation of tech and has turned his focus to rubric. we caught up with chambers and rubric's ceo on where they go from here. >> whatever i do, i do with a replicate able playbook. 180 acquisitions. i ami look at startups, lucky to get my pick of the litter on a global basis --

last year cisco bought dynamics for $3.7 billion. cisco keeps acquiring companies to boost its cloud services. >>> air bnb going up because of a new tax, the city and air bnb agreed on a 10% occupancy task for reservations. similar agreements exist between air bnb and several other cities. >>> and now a story that you would normally only see on nbcbayarea.com as one of our social media pages. you would never mistake oakland for hollywood. the city is in the spot light with several new movies highlighting the opening. >> oakland is an unpolished gem. >> i'm so excited that we are on the map. >> they recognize the streets. they recognize the locales and the businesses. >> reporter: by some accounts it all started in 2013. it was a story about oakland directed by an oakland native. >> he ended up making "black panther". >> reporter: that story begins in oakland. >> oakland, california comes up on the screen people went crazy. they were cheering and screaming. it set all time records. it was the highest grossing film. >> reporter: he is

. >>> 97 cisco, four students are in custody tonight after a gun went off inside balboa high school. the entire campus and two nearby schools were placed on lockdown. students at balboa were on lockdown for nearly 2 hours as police searched the campus. they say they located the gun, and a bullet casing. parents say they were frustrated over when the students would be released, but, obviously revealed that no one was -- with relief that no one was seriously hurt. >> amongst the ranks of parents who stood outside my child school not knowing what is happening to these kids, and whether they are safe. yeah, it's pretty crappy. >> reporter: one student is in custody for discharging the gun, three others were detained as accessories after the fact, and one student was hurt, but police say not by the gunfire. >>> and oakland neighborhood is banding together to catch a peeping tom. this is a story we first told you about last week. so far, apparently all the publicity has not scared this man off. in fact, he was spotted again just last night. deborah is joining us live from the maxwell park

cisco systems is accused of discriminating against american workers.s for work instead of hiring u.s. workers for certain jobs. federal investigators say cisco secured visas for foreign workers and paid them at a lower rate than american workers for doing the same jobs. cisco has denied the allegations about pay but does not deny the issue about favoring foreign workers. >>> we heard it over and over, don't share your pass words but a lot of people are not listening. younger people tend to feel more generous about sharing pass words. 35% of millennials and 42% of people under the age of 21 have shared pass words to subscription services like netflix in particular. researchers can't say how much that is costing companies, but they do say people who share pass words with friends are less likely to cancel their subscription because they know other people are counting on having access. i'm pam cook in the newsroom. that is a look at your dollars and cents. >>> time is 7:56. a category five hurricane headed towards hawaii this morning. we'll talk about how

let's look at a large company like cisco, for example. >> you know we like cisco doing a great job. always need help though. >> our journey with them started six, seven years ago they took billions of dollars spent on technology and put that to a platform to get granular transparency, what are they spending on data centers, what work loads to migrate to the cloud, how to do budgeting, forecasting better general generally, as customers, we find they're able to optimize 3% to 5% of their spend and move that to new innovation to end up creating more share shoulder value. >> also not just public corporations i think what you're doing for the va is signature of apptio. >> i'm excited by the u.s. federal government opportunity there's $90 billion spent on u.s. federal government. if you talk to folks they say $200 billion t. majority of that spend is spent on spreadsheets, if you believe that. we've been partnering with the white house to create a standard cost model, the white house has mandated that agencies report federal cost spending on the cost model we helped co-author we recently

. >>> and walmart and cisco are reporting strong earnings this morning.ing -- falling. joining us now is kcbs radio's financial reporter jason brooks. >> reporter: good morning. lots going on today. walmart getting cheered on after reporting its strongest sales gain in over a decade. the company's revenue up 3.8% to $128 billion. and cisco also a big earnings winner. it reported its third straight quarterly revenue increase. revenue was up 6% to $12.8 billion. and shares of both companies are surging higher as a result. walmart up by 10%. cisco up by 4%. jc penny slaughtered on its results shares plummeting by 26%. in the economy job jobless claims down to 212,000, very close to a 49-year low! new home construction rebounding in july from the month before up by about 1%. stock market looking better today thanks to potential talks taking place later this month between chinese and u.s. trade delegations. dow up about 290 points. nasdaq up 39. s&p up by 16 points. michelle and brian, back to you. >> thank you. >>> time now for a look at what's coming up on "

coming up, the former cisco ceo is making a big bet on the cloud.oining the board of the management company, we will hear from him and the ceo, next. ♪ emily: first lady melania trump told a cyber bullying conference this week that social media can be used in positive ways or can be destructive when used improperly. she was speaking at a conference attended by tech companies like google, facebook and twitter. the first lady user time to highlight her be best campaign to focus on the next generation conduct themselves safely and in a positive manner in an online setting. this, the president has been accused of using twitter to bully his critics. the cloud data management company rubrick got someone to interest in the company and join the board. former cisco ceo john chambers launched his new venture at the start of this year to find the next generation of tech and has turned his focus to rubrik. we caught up with the rubrik ceo about where they go from here. >> what is exciting is whatever i do, i do it with a replicate of all -- replicatable innovat

points the top three winners in the dow, wal-mart, boeing and cisco. boeing has adding 92 points, wal-mart adding 55 there are a lot of winners today. in fact the only losers are -- and jc penny >> national director larry kudlow was on "squawk box" this morning. here's what he had to say about the u.s. dollar. it is our quote of the day >> the strong dollar, it's a steady dollar. it's a sign of confidence, okay. there's a lot of unrest around the world. money is flowing into the usa. that's terrific. by the way, a strong dollar hold down commodity prices, gasoline prices are slipping, oil prices are slipping i just want it steady. i'm not here to pilot the dollar the treasury department is in charge of all currency movements. i'm just looking at it in macro economic terms it's sending a global story of confidence in the usa. trillions of dollars are coming in here because we're in an economic boom that virtually nobody thought possible. >> miss currency gureuu, you're the person we turn to. >> he's right it's flowing into the dollar but your boss says

because of a stellar quarter delivered by cisco this very night. it was a shoot the lights out quarter. [ gunshot >> with the possibility of real tech pin action. first, this whole sell-off began with a man made event. the u.s. is having a spat with turkey and tariffs are flying back and forth by the same token, that means the turmoil can be quelled by some sort of compromise between president trump and president erdogan to release this american citizen that the turks are holding custody. seriously. this whole thing is about one guy, some evangelical pastor you may never have heard of. if turkey sends him back, the tariffs could go away. everything could go back to kind of normal. the great thing about man made problems is they're easy to solve. and when we get some resolution, you have to prepare for stab back rally, even if it might seem impossible right now. today really wasn't a bad turkey in fact, the turkish lira rallied today. no, there are other culprits that are really freaking people out. so i have to put them in context and then give you

last year, cisco bought apt dynamics for $3.7 billion. cisco is acquiring companies to boost its cloud services. >> san francisco salesforce transit center nearly ready to roll after eight years of construction. next saturday, they open the five-acre rooftop park with a celebration and they're going to hoist food trucks up to the top. happening today, the media gets its first look at the rooftop. the gleaming new transit center is supposed to start service on sunday, august 12th. >> listen up, south bay commuters. a big change could come your way especially if you take vta light rail. the agency is thinking about doing away with the express service on the alum rock line. officials say it will save money. they'll vote on the plan today. >> happening today, oakland mayor libby schaaf will officially file for re-election. it's happening this morning at 9:30 at city hall. at least six oertsz have announced they're running for mayor. >>> if you haven't heard, for the 2020 census, the trump administration wants to ask people about their citizen

head of operations >> you don't think they had a premium in any way or cisco gets a premium. >> listen, maybe it does, but item going to tell you, i was not in it because of kucinich. no way >> all right we'll step away. up next, jon's unusual activity. the bullish moves he is track ng a stock that's down 9% this month alone. stay tuned for that. first up, a sector check it is a down flad friday in markets. s&p's down 14. financials are the drag today. are there's a lot of red on th bod. halftime is back in two minutes. . . we're putting ai into everything, and everything into the cloud. it's all so... smart. but how do you work with it? ask this farmer. he's using satellite data to help increase crop yields. that's smart for the food we eat. at this port, supply chains are becoming more transparent with blockchain. that's smart for millions of shipments. in this lab, researchers are working with watson to help them find new treatments. that's smart for medicine. at this bank, the world's most encrypted mainframe is helping prevent cybercrime. that's smart for everyone. and in africa,

if we can create our own energy, we can take care of this beautiful place that i grew up in. ♪ >>> ciscoter-market session let's head over to josh who has been listening in the earnings conference call. >> hi, josh. >> melissa, let's start with wall street, and what you had to say. i caught up with jim fish who will take on the quarter to see what he would highlight right away 7% to a better than expected $7.44 billion. that's critical referring to the company's core business there. he emphasized the product backlog with 6.6 billion in 2018 and that's a 40% increase. credit suisse telling its clients the q1 is very strong and the q1 estimate well ahead of estimates and in-line on margins and talk about security, m and a, and the margins expansion could be better. chuck rob sin talking about the quarter with analysts. take a listen there. >> our results demonstrate a combination of the latest innovation, the ongoing value companies are seeing in the software and subscription offerings and an excellent execution across the customer segments and geographies our strategy is working and we be

ceona: that was the cisco with jonathan ferro. celebrities that push products online face a u.k.o whether they are failing to declare they are getting paid for posts that can influence millions of shoppers. an investigation is being looked -- is being conducted into a range of celebrities that promote consumer brands. there is the debate as to whether they should clearly state whether they are paid to promote a product. that does it for this edition of "bloomberg technology." from san francisco, this is bloomberg. ♪ >> u.s. stocks rally for a decade and increasing optimism about trade talks next week. the white house isn't quite convinced. president trump said china will have to offer a lot more to get a deal done. the li rmp arch climbs a third day. and they are warning of additional sanctions. and the perth mint said it lost its shine because

give us your thoughts, dan i think cisco reports next week. >> they do report next week.d about -- the stock rallied 6% in the last week here, going in the event the august calls are kind of elevated, premium terms, if you want to set up for a rally into the fall, this is the way to do it, you're risking 1.5%. >> our next fan asks, selling call options against a strong underlying stock say good income source, how do you find those stocks good question, mike. >> how do you find good stocks that's sort of the trick, isn't it as an investor the fact is actually selling covered calls against most types of stocks is a good idea, even if you don't choose them that well the reason is you're collecting that premium over time but the one thing i would tell you, it might be easier to pick which stocks to avoid. the ones to avoid are the ones with a lot of leverage on the balance sheets or a lot of catalyst that drive the stock in one direction or the other, tesla is one that comes to mind. but otherwise, i think covered calls are a strategy to employ in almost any stock you hold in

>> no, i don't own qualcomm, i own cisco. >> doc >> i don't own qualcomm either i like jim's pick as a breakout. >> good stuff, thanks. j.j., thanks for being here. stocks are off the lows of the day. enclosure l clearly a lot of focus on trade. "power lunch" starts now. >>> i'm melissa lee. trade stalemate, canada and the u.s. can't seem to come to a deal on nafta with today's self-imposed deadline closing in where do we go from here and who could feel the most pain >>> plus tech on a tear posting its best august. will fang and friends stay hot through the fall or is a major rotation on the horizon. >>> and ratings, record contracts and preparing for kickoff. less than one week to go before the nfl season begins. lesley visser joins us to break it all down. "power lunch" starts right now

cisco is paying $2.4 billion in cash and that makes it cisco's biggest acquisition since the 7 bds buyat purchase of source fire back in 2013, you can see cisco shares down by 1%. >>> also want to tell you about alibaba confirming a deal with starbucks. our own jim cramer talking to kevin johnson last night. >> it's a pleasure to be here today with daniel john, the ceo of alibaba group to announce what we believe is a transformative strategic partnership of around modern retail. now we have the world's -- a world class tech company in alibaba combined with the world class retailer in starbucks coming together around a common vision of new retail. >> you can see more of jim's interview with kevin johnson coming up on "squawk on the street." take a quick look at starbucks's share this morning. ahead of trading, they're up about 1%. >>> in other corporate news, cbs hiring a pair of heavy hitters to investigate sexual misconduct allegations against its long time ceo les moonves. mary jo wright and nancy kestenbaum will be leading that investigation. mary jo is the former scc chair. >>> moo

cisco systems set to report after the bell.own to the new york stock exchange and nicole petallides. hey, nicole. >> ashley, this is an exciting one. we're keeping an eye on this. they saw revenue jump 2.2% earlier. they hadn't seen a jump at cisco for two years. last quarter same sort of action. the revenue increased 4.4%. on this round they're expecting roughly 5% gain in revenue. this whole switch under the ceo who is transitioning this company from a hardware company to a software company, earnings per share revenue is up, we're watching for, everybody who loves all things tech will watch cisco to see how they fare today after the bell. this is what we're keeping an keen eye on and a dow component. back to you. ashley: nicole. thank you very much the dow falling 300 points at one point even though the economic data is strong, with rise in retail sales. worker productivity, all good signs. the question, where should we put our money. ross gerber joins us now. he is all the way out in l.a. you're a big fan of the company, a f

screen and saves it in a cloud privacy groups or not and charge be any more infinite ciscos if i want to have one linked up device that's an entire smart home that means being monitored from a variety of different areas. of the data is saved and can be put together because if i then connect these to my facebook or google profile i become. completely transparent and these organizations have information about me that i probably don't even know about myself but you can buy a socialistic as if that's it europe today with the latest from the world of business have a great weekend. cut cut. cut. cut cut cut. cut. cut cut cut. cut cut cut. cut. cut. cut. cut. cut. her. finger on a tour of. his work cars for. the monstro and faces. twenty two. we make up obama we watch as of houses that conduct education we ought to summon services. they want to shape the continent's future to. be part of the african youngsters as they share their stories their dreams and their challenges. the seventy seven percent of the platforms for charging. her first day of school in the jungle. first listen. then doris

censoring particular search terms china with its great firewall is already employing a service by cisco that prevents the forwarding of the search results so even if they results would be displayed the page you would click on would be turned out like just briefly i also read on line one comment that even a new to version of google would still work better than i do while it could be if it depends on how. how extensive these censorship efforts are but for sure they are big they're big shift from surjit brand new also has had experience of such you've been the google fodder who has had experience with solitary newsom and that is why he opted out in two thousand and ten after four years of killing and censorship by the chinese government and google's not afraid of getting split up at some stage i mean if it continues to grow so we're ready an octopus you could say in the corporate world it has its finger in every pio and then entering such a huge market i mean it would be globally done with it yeah that is true i do think that they'd still listen to their employees easily that is to be hope

houser view of the loans and where i come from not always that good to cisco just like with chinese foods doesn't matter where i am i suppose which reminds me of home after decades of living in germany chinese food is one of the things i miss the most but that made me that bad i see things i need to differentiate knowledge benefits of first as integration the fact that it exists as a part of the almost haven't been ever mentioned in china catch me if i'm not a chinese people wondering if they're going to say that but if you have a ride to another woman's rally it is this is their job just that of them on how i see it and that's why i've been up my job because i tried to do it exactly an hour a day in my name of the uninsured and i wore them added up new. barely feel. the scars on. the pain still tangible. the suffering for god. for cities edge but. they have survived but do they also have a future. i really understand people who say they don't want to stay here. but i also admire people who want to stay here and who decided to create something . in peace time what needs to happen if toler

liz: to your money, market closed in red, dow down triple digits, cisco beating estimates, with solid profits 4th quarter, at 3.8 billion, we get to nicole on floor of the new york stock exchange with latest. reporter: what a day on wall street, we did finish down but off of earlier lows, were down 330, but dow finished down 1 dlirch37much we have strong u.s, that said we saw cisco systems after the bell. stock was trading higher after the bell it was a beat on top and bottom line, and a good forecast for revenue going forward. tesla, charlie gasparino reports that sec sent subpoenas on tesla regarding musk's fan to take the company private and his funds were secured. and uber second quarter sales rose 63%. with a lower narrower loss. >> coming up we have expert analysis on john brennan losing his security clearance, and other names of obama era officials could lose it at well. and fbi agent, peter strzok, his gofundme campaign is now raising close to a a half million dollars, coming up, a guest said that fundraising money should really be about people who need it, not people who are

and cisco 59. low 60s in oakland, livermore and san jose.ere we were today. the onshore breeze will continue as well. we have cool pacificare moving through the delta all the way into the sacramento valley. temperatures are running cool. there is a two hour time lapse on the cloud cover. it is spilling into the bay. well into areas like livermore and the south bay and north a. tomorrow morning we should wake up with low clouds in addition to possibly some patchy drizzle. both blips of the blue indicate that. by lunchtime apples back again. then we have a slow clearing day from the east bayshore. we should do the same for tomorrow. san francisco and along the coastline, partly cloudy to mostly cloudy for the entire day. there is a look at rnoon where covered in gray over san francisco. tomorrow temperatures will be similar to what we have this morning. low 50s to low 60s to start the day. upper 60s for the east bayshore. hotter locations, upper 70s to low 80s are expected. temperatures will begin to heat up as we get closer to the weekend. we