exxon mobil is down, so what do you think is going to happen?a lot of things, it shall pass, and a lot of that is baked in. right now, i can buy a call in exxon mobil that is right at the money for about the same price as the move it has made over the last few days. this has given me a basically inexpensive look at earnings. the trade i like buying is the exxon mobil $81 call that is expiring next friday. when i looked at them this morning, they are a little over one dollar now. this is one of the biggest companies in the world and i can get a look at earnings for about 1% of the cost of the company. to me, that seems way too inexpensive and relatively cheap regarding this oil sector being oversold. julie: all right, mark, we will see how it works out. that sharesecting at exxon mobil are going to fall. we will see how the sox will perform. that is mark sebastian. don't go anywhere, more of the "bloomberg market day" is coming up next. . ♪ . scarlet: good afternoon. welcome to the bloomberg market day. hillary clinton is getting ready to deliver

exxon mobil was the most valuable company in the world by market capitalize asian. it is still struggling with production revenues. the world's number three chevron has been hit hard. british oil company shell and bp have reported a drop in profits of 37 and 64% respectively. even though the oil giants are making money, they are all responding the same to the crisis. that is because the industry expects prices to remain low for a long time to come. >> there is bubbling under kenya's river valley. a huge drill it is having into a more sustainable energy source. geothermal energy only accounts for 17.5% of kenya's energy mix. when that happens diesel powered generators kick in. there are major economic consequences with the power going out all the time and electricity costing up to six times more in kenya and a lot fixing to that is where geothermal sources could help. kenya's president wants to make his nation a global leader in renewable energy sources. we asked a correspondent were kenya stands right now. >> it is successful to all the countries where the rift vall

exxon mobil has its worst quarterly performance in six years. to do more cost-cutting than planned. chevron's profit was its smallest in more than a decade. lower energy prices caused him to write down the value of their oil and gas fields. we heard from an analyst that they are only in the second inning of the right to down. forecasted revenue heat expectations, that was contributed to an acquisition. there is concern that linkedin is slowing down and its core business. scarlet: who was july's biggest loser? bloomberg tracks 93 stock indexes. juliet has the story from hong kong. juliet: knows a prize which market won the award for the worst performing. the shanghai composite had its worst month in six years in july. there was unprecedented government intervention. support measures lifted measures by 18%. this week, evaluations returned unsustainable, saying that they rose 8.5% in one sitting. christine lagarde remain bullish. scarlet: on the biggest loser in july. they james has something to celebrate. it was selected to hold the winter olympics

bp snapped up amaco and arco exxon acquired mobil.vron purchased texaco in 2001 and unocal in 2005. now, it is one of the world's most profitable companies, with earnings of $20 billion year and a market cap of $200 billion. there is a lot that chevron shares with other major producers beyond profits and a standard oil ancestry. it is frequently the target of protests over climate change, environmental damage, and human rights violations in developing countries. [chanting] >> chevron, guilty. erik: there is even an international anti-chevron day. chevron ranks up there among the top spenders on government lobbying, raising concerns about the influence it wields over politicians and regulators. what divides chevron and the rest of the pack is strategy. >> they did a lot better than their peers. they made a bet on oil, not natural gas. exxon and royal dutch, for example, made huge bets on natural gas, which, unfortunately for them, has not lived up to its reputation. chevron, on the other hand, made a bet on oil, and it has worked in th

exxon mobil has its worst quarterly performance in six years, and the income fell by more than half. at could force exxon to cut costs more than previously planned. promptedrgy prices chevron to write it down -- write down the price of its oil fields. the benchmark west texas oil will finish july down 20%. there is no sign that the glut of oil will end. u.s. stock fire rolls are 100 million barrels above the five-year average. production set a record this month in southern iraq. fedex has agreed to pay $4.8 billion for at&t. regulators say the deal may move to higher prices. ups was blocked from buying teensy. alexis tsipras said he never had plans to lead the country out of the euro. minister had a plan b involving a parallel currency. alexis tsipras said he was ready for the situation if it got worse. alexis tsipras: i issued instructions to the finance minister to work on a plan in case of an emergency. it would have been naive and irresponsible not to do so. does that mean i was seeking an emergency? .etty: the troika has returned representatives are meeting in athens with the cab

exxon mobil is posting its worst quarterly performance in six years. d to do more crosscutting than planned. exxon's profit was its smallest and more than a decade. chevron was forced to write down the value of its oil and gas fields. site,cial networking is causing concern that growth is slowing. sales are $2.9 billion, it shares are down 10%. the commission is opening a investigation into the fedex takeover of at&t express. lead to higher prices. regulators blocked ups from years ago. facebook's plan for connecting rural areas to the internet. they will use drones to transmit information using lasers. facebook has detailed some of the technological challenges. the drone will have the wingspan and weigh one7, third of a toyota previous. >> laser communication and microwave communication are going to be some of the solutions for providing more cost-effective connect to for people with there are no existing cell phone towers or infrastructure. zuckerberg has sold the board. some of your top stories. coming up, investors had a july to forget. a better mon

social media mammoths, twitter and facebook, report earnings as well as chevron and exxon mobile. monday, durable report for june comes out, and tuesday, schilling home index price for may, and closely watched two day meeting by the federal reserves open market committee gets underway. we will see if there's any word about an interest rate hike. thursday, the first read of the gross domestic product is released, and on thursday, it marks the 50th anniversary of the signing of the bill creating medicare and medicaid. it's not uncommon to see a family business fizzle out after a generation or two, but one family has kept the tradition going for centuries. here's more on the sweet sound of success. >> that's right. they are making italian ancestors proud. take a look. >> reporter: that's the sound of a 300-year-old family trade kept alive. it began in italy in 1680 in a town called soli. jim is continuing the tradition today in farmingdale, new york. >> it was famous for string makers, and still there are four family businesses that came out of that town that are still making strings

. >> exxon mobile and chevron were big gainers today because of the rise in the price of oil today. >> and two earnings came from pfizer and merk. they were held for the pneumonia vaccine and the breast cancer drug. merck also raised their profit gains. >>> ford reported a blowout quarter. posted their best earnings in 15 years. north america is strong but there is a growing concern about the world's largest auto market china. >>> it may sound cliche but it is good business is booming for ford in north america where they just had their most profitable quarter ever. in part because of strong demand for trucks and suvs. take the new f 150. customers are paying almost $3800 more for the new truck in that model. that is something that we don't see very often in the auto try. with auto sales nearing a record high many are worried that the industry has peaked. but ford's ceo is not worried about americans hitting the brakes. >> there is a lot of discussion around about the market being at a peak. i term it at a plateau. the market is driven around replacement demand. >> ford is not as optim

exxon mobil earnings out before the bell. take a look at the bloomberg terminal. he numbers will help exxon in this quarter. you are looking at the downstream revenue, the refining revenue, and that will help them coming into the first quarter and $45 billion. another thing you don't want to miss, the russian central bank decision. they have stopped accumulating reserves. the currency is weakening. they are getting hurt by oil. that is all for "what'd you miss?" thanks for watching. ♪ from our studios in new york city, this is "charlie rose." charlie: we begin with the new england patriots. they struck back today in response to the ongoing deflate- gate scandal. the team owner address the media in a press conference this morning. >> the decision handed down by the league yesterday is unfathomable to me. i want to apologize to the fans andhe new england patriots tom brady. i was wrong to put my faith in the league.

exxon mobil said they will not sponsor you this year. is this because of the funding controversy? mr. clinton: i think they don't want to be involved in politics. they don't think we were ever political. there has never been a foundation with a more prominent political person. i have had george and laura bush, mitt romney, john mccain. sarah palin came. rupert murdoch and his son giving money to us along with mayor bloomberg. we just solve problems. there are people who just don't like bad press and you cannot be involved in american politics without somebody attacking you and i think the fact there are so many other channels like bloomberg and social media, if someone wants to go negative -- it is sort of a tribute to my wife. [laughter] we have social media and alternative ways of communicating. in the end, the foundation will stand or fall on the work it does. betty: knowing the outcome now, are there any things you would have done differently? mr. clinton there may be a thing or two i would change, but the basic idea i still believe is the right thing to do. we try to solve as

exxon mobil earnings out tomorrow morning.ly thing you need to know is inside my terminal, down stream revenue, margins are awesome. this is what could help them make a killing. south african unemployment rates come out tomorrow. they are in the midst of two negative things commodity collapse and their emerging markets weakness. that will be an interesting number to watch. thank you for watching. alix: the only way to get better is to challenge yourself, and that's what we're doing at xfinity. we are challenging ourselves to improve every aspect of your experience. and this includes our commitment to being on time. every time. that's why if we're ever late for an appointment, we'll credit your account $20. it's our promise to you. we're doing everything we can to give you the best experience possible. because we should fit into your life. not the other way around. emily: twitter shares jumping, but jack dorsey says he is not satisfied with growth. i emily chang, mrs. bloomberg west. yelled shares tumbling after hours. why the

exxon mobil earnings out tomorrow morning.ly thing you need to know is inside my terminal, down stream revenue, margins are awesome. this is what could help them make a killing. joe: south african unemployment rates come out tomorrow. they are in the midst of two negative things commodity collapse and their emerging markets weakness. that will be an interesting number to watch. thank you for watching. alix: have a wonderful afternoon. ♪ ♪ >> from our studios in new york city, this is "charlie rose." rose: a national correspondent who writes about african-american identity and racism in the united states is here. his cover story, "the case for reparations" last june sparked debate. i am pleased to have him at this table for the first time. welcome. coates: thanks so much. rose:it

. >> yes, that sounds correct given that i believe exxon mobil 2.5%. and plus all the other energy stocks you are going to get 14-16%. >> you are selling about 14% of stocks and $14 million in oil stocks. >> that's correct. we would have to rebound the other names. there will be more transactions than just that. >> if we do that, will it have any mitigation on global warming if we did this? >> no. the reason is to change global warming, you need to change consumer behavior or company behavior. all the divestment does is change the behaviors. it's either through force or regulation. >> i appreciate that comment because we have heard some passing arguments from the fossil fuel and other people showing the dangers of global warming and i'm sure it's dangerous to the fossil fuels and contributing to the rising temperatures and our climate to the world but they have not provided a linkage to selling of oil stocks and the world effect. i'm glad to hear your view because i concur with them. i don't see how this is going to in anyway contribute to the lessen o

so are energy giants chevron and exxon mobile. on monday the durable goods report for june comes out. on tuesday, it's the case schiilerer home price index for may and the closely watched two-day meeting by the federal reserves open market committee gets under way. we'll see if there is word about an interest rate hike. on thursday the first read of the gross domestic product for the second quarter is releaseded. on thursday it marks the 50th anniversary of the signing of the bill creating medicare and medicaid. it's not uncommon to the see family business fizzle out after a generation or two. we discovered a family that's kept the tradition going for centuries. kate rogers hasser more on the sweet sound of success. >> hi, becky. the company is making their italian ancestors proudment take a look. that's the sound of a 300-year-old family trade being kept alive. it began in italy in 1680 in sali. jim dadario isser continuing the tradition in farming dale, new york. >> that little town was famous for string makers. still to this da

profits at exxon mobil and chevron were down 50 percent and a 90% respectively, suffering -- both countriesare getting ready for a prolonged period of lower oil prices and are doing so by cutting cost to the proposed takeover of a dutch company by fedex is coming under scrutiny. the european commission says it is opening a probe into the $4.9 billion deal. the commission says it wants to make sure that the takeover would not impede competition in the package delivery market in europe. and sliding sales in china weighed on a french retailer in the first half of the year. at the same time, the company says the turnaround plan is reaping rewards in brazil and europe. profits accelerated in particular in spain as well as italy. europe's biggest retailer posted an operating profit of 727 euros for the first half, better than expected. major beer brewers are making headwinds in key markets. sales have dropped in russia and the u.s.. history has come under pressure. one segment of the market that has shown strong growth worldwide is the one for craft beers, brews made by smaller producers. it has

the two internet companies say exxon mobil and chevron will be reporting at the end of next week. chevron's earnings will probably be down 55%, but estimates have been coming up a bit for them and they'll be scrutinized for any indication of when the oil slide will stop. it's not so much the earnings it's the guidance for the third quarter that really matters. earnings growth is expected to be positive in the second half of the year. but the expectations for the third quarter are now also expected to be down. that's a problem. that's one reason the markets had so much trouble this week. what's the problem? you've heard about it slow growth in china, slow growth in latin america, but also the dollar strength and weak oil has continued into the third quarter. the fed told us a strong dollar and weak oil might be transitory. that hasn't been the case. the bottom line growth is proving to be very elusive this year. for "nitghtly business report," i'm at the new york stock exchange. >>> what presidential candidate hillary clinton has planned for your money asknd your taxes. >>> the fed

bp exxon mobil have explored the possibility of doing business in the country. still, some ceos say it will take some time for risks to subside. >> the long term that could be a good opportunity for us. but i think in the meantime we'd like to find places that offer a little bit better stability. >> reporter: even so more investment in iran's production would also boost oil field services companies. names like halliburton, weatherford and schlumberger which isn't commenting. it brings the tanker market into focus. citity group analyst chris weather bee it could be a net positive for large fleets, since many of the ships are older. those stocks include tk tankers and scorpio tankers. french companies like peugeot will re-enter iran as well. the automaker is reportedly in advanced talks over an iranian car making venture. iran has the same size population as germany. almost 80 million people. that could present opportunities for a number of consumer companies. >> iran and iranians in general love technology. so apple is going to have a lot of opportunities in iran

sharp,ay, exxon mobil, mitsubishi will report earnings.'s cabinet will hold a conference on the country's economy. the imf warned last week that japan's debt could triple by 2030 if they do not change their economic approach. yvonne: a lot going on. for more on the week ahead, we are joined by mike accardi -- mccarthy, market strategist. thank you for joining us this morning. as we just saw, a lot going on in the u.s.. we have a lot of economic data coming out. second-quarter gdp numbers coming out. we have seen a mixed bag in terms of earnings in the u.s. >> we certainly have. some disappointment there. growth, that is very disappointing. it tends to point to the idea that some of the weaker macroeconomic data we saw in the second order is feeding into earnings. if that is a slowdown at the corporate level, i do not think it derails too much of the thinking about the u.s. economy. but it has been a mixed bag for most of the year. it is a concern that will likely see some improvement. nonetheless, a concerning picture at this stage. having

javier: you cannot forget exxon mobil.e of the best engineering capabilities in the oil industry. they are a very steady as it goes vessel. i would be sure that the engineers at that company would be able to reduce costs and produce good money. they're not one of the big five but it is interesting to as they have the highest shale oil in the u.s.. statoil. and if oil prices rebound from $50 to $60, they could be a very interesting player. mannus: the next merger and acquisition spree, that may come it is probably more likely to be stateside rather than here in europe. it was great to have you with us. our bloomberg chief energy correspondent. here is a look at what else is on our radar this wednesday. twitter had stock that fell during the ceos conference call amid concerns about growth of the company. take a look. >> we have not had meaningful impact on growing our audience and produce a patient. this is unacceptable, and we're not happy about it. i have gotten a deeper understanding of where to focus my team. we need to

a lot of it has too do with the exxon mobile refinery that had explosion in the spring.is having impact. just like a situation where they better work perfectly. >> with summer road trip upon us cost is climbing. talk to people at the pump and you'll find drivers topping off tanks with a floppy dose of frustration. >> it's a mystery. up, down. i don't know. but we still think we need it so you can't do anything about it. >> gas prices suck. >> it's ridiculous. >> you know people just want money. they can get it with the gas. everybody is going to be driving. >> just looking at how much i just paid. >> you know it's way too much. you know? there is nothing significant going on. but clearly, it's in their hands they move it hoifr they want. >> prices are expected to rise higher in southern california than here. >> those the new doyle drive opened to traffic earlier caltrans officials say there is still more to be done. 10,000 hours of labor crammed into 71 hours. the new median separates northbound and southbound traffic. commuters are pleased with the amount of work over t

a lot of it has too do with the exxon mobile refinery that had explosion in the spring.is having impact. just like a situation where they better work perfectly. >> with summer road trip upon us cost is climbing. talk to people at the pump and you'll find drivers topping off tanks with a floppy dose of frustration. >> it's a mystery. up, down. i don't know. but we still think we need it so you can't do anything about it. >> gas prices suck. >> it's ridiculous. >> you know people just want money. they can get it with the gas. everybody is going to be driving. >> just looking at how much i just paid. >> you know it's way too much. you know? there is nothing significant going on. but clearly, it's in their hands they move it hoifr they want. >> prices are expected to rise higher in southern california than here. >> those the new doyle drive opened to traffic earlier caltrans officials say there is still more to be done. 10,000 hours of labor crammed into 71 hours. the new median separates northbound and southbound traffic. commuters are pleased with the amount of work over t

exxon mobil and chevron. that's almost it for this week.g up next is "the pulse" with manus cranny and francine lacqua. manus: the european data that hans was referring to, we've got gilles moec coming in from bank of america. it is a very different speed. a little pop in the unemployment rate in germany. the confidence numbers are coming back. amazon-netflixe story. this broke yesterday evening. jeremy clarkson and his cohorts going to amazon. amazon said to the investing a quarter of a billion dollars over three years. the lovely line i read this morning, "house of cards" on netflix was $100 million for three seasons. it is a huge expenditure going on in terms of creating unique content. on my own tv, i've got netflix and amazon prime. it is a question of do i really need both? that is the question many people are going to be asking. we are going to put context around that. liberty media upped their stake. it is all beginning to play. what contaminates what? does streaming contaminate the ad revenue or not? and of course we got finn mecha

a blue-collar suburb focused around the oil refining industry and it is home to the exxon mobil refinery that was the largest of its kind in the world so it does have a complex history of industrial boom town type of history as well. african-americans and latinos have grown over the years in relationship to the expanding oil industry as u.s. interest to oil reserves have grown as a way to process the quayle -- whale. and as they would move to seasonal contract labor or other minority groups and they were largely responsible for the population that is happening there. >> host: has there been tension between african-americans and latinos? >> guest: absolutely. is in every space where they coexist across the nation. what to wanted to capture with the title "black-brown solidarity" that solidarity with regard to political solidarity is not something that you accomplish as a milestone or a condition it is with everyday experiences of the justice system and social relations in our community there is not a monolithic solidarity within the black or brown population across as too populations eith

exxon mobil, we have been talking about all day long, they missed estimates.turning that are the lowest profit and about a decade. are what we those are looking at in the energy sector. this morning we got the index, the man -- the measure of wages. yields goingg at the lowest and the perception that if we are not seeing wage growth, the fed is not going to be raising rates sooner instead of later. but then we get the big jobs report next friday. and for the s&p 500, it feels like it has in a quiet july, but we are up percent for the month. we are up 2% and this is the best we have seen since february. even though it feels like the season, a learning little good and a little bad, it is over all interesting. seen -- ngs we have the new that we would have macro issues as well? julie: it is amazing that we are up 2%. alix: a look at top stories across the terminal, spending much more time watching video online. we will spend an average of one hour a day doing it by next year. this is according to a study that says that the number of average people watching tv wil

one big stock that is bucking the downtrend today is exxon mobil. it was by rated at goldman sachs and has been added to its conviction list. it is even more of a buy from that company. free cash flow driving premium dividend growth in general. analysts like the dividend growers with an energy. an inflection and production growth is one of the other things the analysts are mentioning. that is bucking the downtrend. and rest of the energy complex is largely down. fmce is a company called estimates. second quarter earnings fell 15% quarter over quarter because of a continued decline in the north american land drilling market. if you look at the other oil movers today, we are seeing --lines mark: julie hyman, thank you. , for companies worried about a cyber apocalypse, aig has a new insurance policy for that. the growing business of offering hacker insurance. betty: a look at how the slowdown could affect corporate earnings. we will be back. ♪ betty: welcome back to the bloomberg market day. i am betty liu, here with mark crumpton. mark: our next story

exxon mobil and chevron rebounding. slowa: finally feels like -- summer. volume a little bit lower. so much. in asia the shanghai composite closed up for a fourth day hitting 4000 for the first time since july 1. the hang seng off by half of a percent. the nikkei rosanne cheaper oil and weaker yen. one big story, a seven and two china's ipo has slammed the brakes on what was of the inner year for brokerages. doesn't of shares sales suspending hundreds of millions of dollars in fees that have corroborated. the sudden halt of ipo's came brokerages with nearly 40 company still in limbo. that is lend gone for now. areto mention costs so-called national security securities that had to contribute to cover -- government led efforts to prop up the market. investors have very priced and weaker profit growth for the rest of the year. that apply for shares have trailed. 40 from hong kong. nokia close to a deal with a group of german automakers. bloomberg reporting an agreement, reached as early as next week. daimler would be the buyer. nokia has sought as much as $4 billion for the maps busine

chevron, exxon mobil, scheduled to report earnings tomorrow morning.review with what wall street is expecting plus, what is store for them and they. president of merck's blog and the author of shale books -- boom bust. that is wrong. i meant to say shale boom and shall bust. >> sales are down between 25 and 55%. werepstream realizations down, both gas and oil domestically and internationally, driven by weak wti. the support from the downstream side. betteril leads to refining margins given the u.s. benchmarks >>. probably of year over year by 20%. to offsett be enough the negative impact from the upstream. alix: exxon is different from the other companies we have seen reporting. they can cover the dividend. they have the free cash flow. >> they do. i think the dividend -- others have a spot here. i have been waiting here in june -- the next thing i am looking to it is for some of the m&a to have been the industry. it looks like the perfect time to start. some of the players have gotten insanely cheap. betty: -- alix: who would be the potential takeouts

exxon mobil as well as chevron coming up, conoco phillips following along with them. chevron feeling the pinch of oil prices being lower. this is a company that has returned cash for shareholders. that is one of the things that is weighing on the shares in addition to the general results that were worse than estimated. a little bit of a switch. western digital which is an a expressedsiness confidence we would see recovery. seagate can met with results that -- came out with results that missed estimates. seagate is either up or down. let's take a look at the top stories we are following this hour. the next generation apple tv will be unveiled in september. buzz field news -- buzz feed news said it will have more storage and a touch and an operating system that will allow voice control. the first danger change in the apple tv box since 2012. 10 jumped out of the starting gate. it is on 14 million computers two days after the release. they are setting a lofty goal. one billion devices running windows 10 in three years. a free update for those who are updating. an aprilth

exxon mobil and chevron, the biggest u.s. energy producers, hunkering down for a prolonged stretch of week prices. they posted their worst quarterly performance in three years. the lowestting profit since 2009. chevron reported its lowest profit in more than 12 years. -- the marketcing route forcing $2.5 billion in write-downs and charges. 1.5%.-- brent crude down gold futures, they are up. beenet: they really have the driver year. looking at treasuries, you see buying there. it is so much more sensitive to where interest rates are headed than on the longer end of the yield curve. that 10 point 2%. look at the 10-year yield over the past month. coming down -- we do not measure by percentages, but 15 basis points. 2.2%. at looking at currencies, the dollar takes a hit today. look at my bloomberg terminal. the eci, the employment cost the big legut at down, the wage growth the ,lowest on record for the month perhaps persuading people that the federal reserve will not be ready to move in september. wagees not see evidence of gro

. >> the slump is crude is weighing on the nation's two largest oil companies, exxon mobile reported cond quarter profit down 52% from a year ago. revenues were ahead of consensus. chevron said the upstream businesses were particularly hard hit. exxon reporting overall numbers of around $4 billion. i can remember the days not that long ago, it seems, when they were reporting closer to 10 and that was by far a record for a quarter until apple has come along and eviscerated that. chevron, more of a messy report giving asset sales and charges but both stocks are going to see a bit of pressure. you can see it down around 2 % evenly, more or less as we head into the session. >> but it's always about the dividend with these guys and coming into the report in the first quarter, chevron was putting out four times as much cash than it was earning from the operation. the question is whaz more sustainful. goldman said in advance, you should sell chevron because it was not sustainable. and you should be buying exxon which they thought would be better able to protect. linked inn. joining us on the

exxon mobile is the monster of all buybacks. they've been doing it since 1999.ince then they've reduced their shares outstanding by 40%. do you see why everybody loves buybacks so much? as long as you engage in share count reduction and don't just use it to pay out options, that's the important thing. i want to point out just moving onto another subject j we have an ipo trading today. it's at the nasdaq. two weeks ago i was getting calls about this that the demand was high. this is blue buffalo. they do an all natural pet food product. they upped the share count to 33.8 yesterday night. at $20 instead of $16 to $18. we are waiting for that to open on the nasdaq. restaurants have been hot this year. natural food pet products issed a but a loyal ipo base. that stock will probably pop at the open. right now the dow is only down 19 points. >> i'm glad you mentioned that ipo. multiple times over subscribed. a quick diversion to the boardroom in corporate. not just america. corporate canada too. an interesting story involving canadian pacific railway. a name some peop

a lot has to do with the exxon mobil refinery. still isn't up. >> the bay area average right now it is $3.55 a gallon. experts say prices could soar over the next week. >>> next time you go to a state beach you won't be able to wash off sand or salt water. starting wednesday all california state parks will shut off outdoor rinse stations. beaches include montera, half moon bay. park officials suggest beach goers use a towel to brush off sand or bring water from home. >>> a beach closed by the massive oil spill will soon reopen. the beach will be back open to the public on july 17 nearly two full months after a pipeline ruptured in may spilling more than 100,000 gallons of oil. preliminary information suggests corrosion played a role in that break. >>> what an interesting day weatherwise around the bay area. >> will anyone be heading to the beach this weekend? sandhya patel is in for spencer and has our forecast for the weekend ahead. >> if anyone is heading to the beach tomorrow it's going to be beautiful. sunday a little change b

exxon mobile profits came down 52% compared to the same three months in 2014 which makes some sense givenhad given this drop. the losses are being felt across big oil companies. friday chevron reported losses of 90% its worst profits in 13 years. but america's big oil will ride the downturn until oil prices come back one day. a lot of america's players in the fracking boom are not going to make it through. the big companies have their infrastructure all set the little companies still have to bear those prices. erica. >> what is the likelihood that oil prices will stay this way now? >> well erica if i had that insight i would be doing this prediction from my yacht. the outcome is about 55 a barrel for nerk year about $65 a barrel. slow creep up. i don't think we'll look at 100 or higher dollar per barrel level. part of this came to the fact that there was a deal with iran. now with the deal, iran's expected to start selling oil to the world again which only means more downward pressure, more losses for big drillers and small drillers. it is good news for americans at the pump though. gasol

prices are hurting the big oil names exxon mobil and chevron taking a hit after both reported disappointingesults related to falling crude prices. reporting though missed earnings in six years cutting them in half reporting 43% fall in revenue but chevron reported the worst in 13 years as ceo said he will continue to look to cut costs after already slashing 2% of the work force both companies are trading down these are widely held stocks many of you have them in your portfolio. chevron down 5.3% at a time when banks are complaining of regulations that they are way too difficult to bring in the profit. so bnp para bader just reported the best profit in three years in the beating estimates that is where it really sees opportunity in the united states this ceo of bnp paribas joins me in the "fox business exclusive". you have a chance to make some real money. how are you doing that? >> thank you for having me. we had a strong second quarter. the topline and bottom line. of liquidity is up. in the united states, we have benefited from the same trend. the structure needs to be mentioned and unnot

exxon-mobil reporting its worst quarterly profit in nearly 13 years. chevron seeing profits plunge triggered by impairments in charges based on lower oil prices. exxon noted that higher profit margins from refining did not help with its upstream business. that's the exploration and production side of things. also the company making a move to conserve cash. this is typically a sign to investors that it doesn't think that oil prices are going to rebound any time soon. the company also planning to scale back its share of buybacks. investors typically do not like to see that. let's switch gears, talk about chevron. $2 billion in impairments. $670 million in charges related to project suspensions and adverse tax effects for this company. the company also saying that these charges were triggered, as i said by a low price environment for oil. cost cutting continues for both. they are trying to get their cap x numbers down. they both cut their cap x year on year for the quarter. and also these companies both suffered in today's session. multi-year lows, as you

there are a wide array of companies that could benefit long term so let's start with oil majors exxon mobile bp and royal dutch she will have all been taking steps to explore the possibility of doing business. all of the stocks are higher today. now, if they start investing that could also boost oil field services companies so schlumberger halliburton international and weatherford international and cameron international could all benefit and many like schlumberger are not commenting and it brings the crude oil tanker market. more oil production could be a net positive for very large crude carrier fleets since many of iran's ships are older. those stocks including navios, teekay and scorpio tankers all higher today as well. keep an eye on french companies like puget, the automaker which has a history in the country is in advanced talks over an iranian car-making venture and iran has the same population as germany, almost 80 million people and seem to like american products. iranian citizens could be a huge market for other flagship consumer brands like coca-cola, nike pepsi and mcdonald's. ju

first stock, exxon-mobil. goldman sachs adding ex inging exxon to its conviction buy list. a couple of drivers, dividend growth, production growth strong refining and a strong balance sheet. stock down 11% year to date though so far. >> the other part of this call is sell chevron. both of them have been terrible performers over the past 12 months. >> all of the big ones have. >> only bp is up year to date of the big eight. >>> second stock here ebay. post paypal stinoffspinoff. raymond james taking a wait and see approach on traction from new initiatives. shares are fairly valued. as a part of the call paypal initiated an outperform. >> people are hating on ebay after paypal. the stock has made a lot of people a lot of money in the last five years. >> now what. that's the question. >> now what. here we go. next up stock three two stocks in one -- there again, oil. carr requirement zo oil and gas and cnncho resources. about 40% up side. credit suisse also upgrades consho to outperform with a $147 target. also a

exxon mobile the top five companies would be in there and finished so fast. >> would you need u.s. troops? >> yeah you put a ring around them. you have taken all the health away. >> it's interesting. past the bluster and superlatives he says he doesn't want to be asked those questions or tested on things. that's, i think, what voters want to know wharks is your plan. how would you handle these things. i want to know if you win my vote that way. >> look this is a tricky situation because he is fueling interest in the campaign. >> sure. >> we want you to be interested in the campaign. >> we want you engaged, of course. >> but the idea he is resinating with people because he makes sense, i think is a dangerous one on several levels. >> one, you hope that's not true. he is saying things out of fact and reality of what works in the world. it's dangerous to say this sounds great. bomb the oil fields. just because the guy is provocative doesn't mean he should be taken seriously. it's up to you. >> another story we have been following for you is bill cosby. it appeared he might slip any cr

energy stocks fell after exxon, mobile, chevron all reporting disappointing reports. >>> meteorologist lee goldberg joins us now. you know what the relief is? that humidity is out of here. >> and it stays away through much of the weekend which is nice. we have plenty of the august heat, but close the book in july. it really was beautiful month and we are going to get august off to a wonderful start. afternoon. trying to get across. yeah. i don't want to be in that traffic. it. so, it is clogged up headed inbound. not too bad headed toward fort lee. we are at 88 degrees but the number that count the humidity at 29%. it was 87% yesterday. westerly wind at 7. gust at 22 at times. the high today just shy of that 90-degree mark at 89. five degrees above average. there are your records. 82 degrees, mostly sunny skies, partly sunny last year. kingston, we are at 90 in yonkers. new city rock land county. over toward parts of quorum, it is 86. 81 belmar. the dew points in the 50s . we are at the pleasant level. we were oppressive earlier, but now we are pleasant as we go into the weekend. can't

exxon mobil seeing the worst quarterly profit in 13 years seeing charges at chevron triggered by the plunge in oil prices. exxon noted higher profit margins but not high enough. exxon making the move to conserve cash. a lot of investors are taking this as a sign. cost cuts continue on both ends both exxon and chevron taking capx down year over year spending less on projects. what does this mean for oil prices? traders think the companies are letting us know they are forecasting that they don't think the second half of the year is good for the pricing environment. what we are looking at next 43.46 the year to date low this year and that's the resistance level that traders are watching. if we breach that for some reason and go through that point we could see the lows that we saw in 2009. so very significant action for oil. >> how much do people think this is going to spur consolidation across the space and how much more pressure could that put on layoffs? >> it is interesting because there had been rumors that there will be more consolidation but all eyes on the potential merger and a l