emily: the on google. -- the un google. apple wasn't the only tech giant to report after the closing bell. microsoft reported its largest ever quarterly net loss. we will give you the reason that. -- give you the reason next. ♪ alix: i'm alix steel. joe: i'm joe weisenthal. shares are lower in the after-hours, the company reporting its largest ever quarterly net loss. it amounted to more than $3 billion, shares falling 5%. joe: above that, microsoft was hurt by a 7.5 legal right down after the purchase of note you 's handset unit. also joining us is emily chang. the big surprise this time was stronger sales in the computing and gaming area. numbers saw some strong coming out of surface. other than that, everything else was in line with everything they expected. pc sales were week, cloud sales were good. i would say a mixed bag at this point. alix: when you talk about gaming , i don't consider microsoft a gaming company anymore. is this what they want to see from their results? the xbox has been doing well for the last several qua

the presumption is let's just say that upside is nill, right, because we've lost apple. google can't help from here, amon can't help and if we get draw downs in the biib, its sideways and i think you've got a good thing and dove tails what we're trying to do. >> you should be looking to do one of these situations buying a put on the index and then looking for a spread. even though they saw a spreaded in vix, qqq and others remain too much to ignore. >> google won't help from here, oracle, intel, microsoft won't help, the fundamentals are really bad. >> have a question send us a tweet to "options action." if it's nice we might read it later hon in the show. >> check out our website optionsaction.cbsnent come. we have the hottest options action. here's what's coming up next. ♪ a double pleasure is waiting for you ♪ >> doubling money on google and a way to make even more. plus, the one stock that's signaling big trouble for the rally. what it is and how you can protect yourself when "options action" returns. wow, that was random. random? no it's all about understanding patterns li

the presumption is that let's just say up side is nil because we've lost apple. google't help from here. amazon can't help from here. and if we get any kind of drawdowns in biib then sideways are down. i think you've got a good thing and dovetails with what we're trying to do. >> the other thing is you should be looking to do one of these situations where you're buying an outright put on the index and look to spread. even though we did see a little 307 in the vix today, gym plied volatilities on some of these indexes like the qqqs and spy. still look cheap to the spread trades like we want to in some of the single names. >> last word. >> carter made a really good point. amsn, google, they're not going to help from here. you know wholesale? oracle, intel, microsoft. fundamentals really bad out there. >> send us a tweet t to @optionsaction. if it's nice we might read it later on in the show. give it a try. for everything else check out our website, optionsaction.cnbc.com. hottest options news, videos throughout the week and exclusive trades. so check it out. here's what's

google, amazon facebook and apple. google's up 20% in july. facebook up 10%. and apple up 3% this is just for the month of july. it's an amazing run, the problem is the market capitalization of these companies are so big, they're disdorting the indexes which are weighted by market capitalization. the for market cap of $1.7 trillion. the nasdaq's 100 market cap is 5.4 trillion. the four stocks account for 31% of the value of the nasdaq 100. four stocks. is there a tech bubble going on? it's not really most stocks have not had huge runups this year most are not overly expensive. apple is only 15 times forward earnings google 23 times, that's not really expensive, there's no growth in the world, so everyone is crowded into very few names like those big four i mentioned that have any kind of growth. those stocks keep getting bigger and bigger at the expense of everybody else. for nightly business report at the new york stock exchange. >> scott kessler joins us now to talk more about the tech sector and what this narrow leadership we're seeing means for the nasdaq.

google had a terrific report and the attention will be on other tech stock, apple on tuesday and also microsoft. there's a real problem here. there is very little growth in the world so everyone is in the stories that have any kind of growth like google apple, netflix and biotechs that will be will reporting next week. there is a lot of creators fighting out the two stocks in. that is narrow leadership. a lot of prash onessure on the leaders. and we will get united technologies dove intercaterpillar. and holny well are encouraging reports. and there isn't much revenue out there. the strong dollar and weak global growth are bad combinations for the multinationals. fortunately, a few feel good stories out there. general motors is going to almost double their earnings from last year. almost double. and there are concerns about higher mortgage rates later this year around the home builders. one nice head wind are buy backs. according to standard and poor 230 20% of the s & p 500 have reduced. that means more concentrated earnings. that is good news. for "nightly business report," i'm bob

think about practically what happens in a company, not just facebook, google, apple.me wealth creation. all of the distraction that creates. extreme amounts of incremental focus, attention, press, adulation. the acolytes come out of every single part of the woodwork. oh, my god you are -- it takes a really, really special person to not be able to be affected by that. emily: google and facebook are trying to do a lot of the same things. who wins? chamath: i think they both win, but in different ways. i think what happens is that google wins with respect to the entry point. they own the front door to the internet, and they own the front door to 90% of the mobile apps. facebook owns the experience once you're there. emily: speaking of another big company that you're not fond of, you once wrote that tim cook has created a milquetoast, say-nothing, uninspiring, margin tweaking image for himself. you also said that apple should bypass tesla and make elon musk the ceo. do you still believe that? chamath: yes. emily: why? chamath: i think that he is very good at what he does.

offenders include google, and apple. let's bring in martin, the tax campaign manager at aid international. tell us more about these companies. who is dodging their taxes? >> we have looked into a few companies and it's hard to say who is dodging the other way around, who is not dodging. we have looked into the affairs of the zambia sugar the largest sugar mill in zambia. it belongs to british foods, one of the large multi-nationals operating in the food industry. over the five years between 2009, 2007 and 2012, they deprived the tax revenue in zambia of $17.7 million. if you look at it, it's the amount of money that could have put 38,000 girls in school or that is 14 times bigger than the aid for u.k. for malnutrition and food security during the same period. if you compare it with something else like example of caroline, a small businessman having stole close to the sugar mill, she is actually over this period was paying a bigger amount of corporate tax than the massive multi-national just behind her back. >> what about

google, apple, facebook and amazon. internet giants like those have taken control of whole sectors of the society and the economy. sectors that go way beyond borders. this is the case according to this newspaper in developing countries. they are quite alarmed by the power that the internet giants have especially in developing countries. internet giants do not have the same requirements of transparency in government that democratically elected governments do. catherine: and certain developing countries are facing a challenge from elected leaders. this is a topic in another paper. flo: very interesting, "are our leaders too old." in terms of age and longevity? out of the five oldest presidents on the planet, 3 are african. there are some very interesting things. if you add up the years that the president of equatorial guinea has been president, the angolan and cameroon president have been president, over 100 years. the president zimbabwe is almost 100. he's 91 now. in tunisia the president is pushing 90. that being said,

the nasdaq record gains this year, leaving some worried, your thoughts, on these six stocks apple and googlemong them. >> well listen, apple and google i would take to the -- side -- they have got he fundamentals long term value, works for google big upside surprise in earnings, and growing in issue ka, i am more worried about the amazons and netflix don't have underpinnings of the value they have a lot of momentum behind them, and so in a market swoon if something should happen in a breakdown, these stocks could gap down 10, 15, 20%. >> not unlike what you are seeing in china in fact the i couldn't norria, and the kind of intoxication of the retail investor based purely on brand. >> fixed horse mep of the current bull market two of those six are actually very good values, and worth holding at heirlooms. >> biotech this is standing out -- >> no question, we were talking about this in the greenroom about the age of i am munao therapy upon us end of chemical therapy i don't think we had byron wien talking about biotechnology revolution i think there is going to be real drug deliveries drug the

you work with apple and google, but you also compete against apple and google. google has a flood pay. what is the biggest value that paypal has a mobile -- in mobile? dan: we are truly in agnostic platform. in other words, we integrate for merchants any payment type for them not just a paypal digital wallet, which has 169 million customers across the world. we will also integrate apple pay into that or other forms of payment as well. we really want to be a full services payments partner for merchants. being technology agnostic operating system agnostic is a competitive advantage. emily: apple pay has some many credit cards and so many users signed up. how do you compete with that? dan: paypal has been around for 15 years. we have had competition throughout 15 years from the time we were 12 years ago acquired by ebay with a couple of million customers. competition year in and year out. i focusing on the needs of customers and the points that they have, whether they be consumers or merchants, and innovating around that, we have grown to be 169 million customers ac

we don't yet have apple faith and google pay -- apple pay and google pay.were you near philadelphia? >> i must have been driving to the hamptons. and i needed gas. i was amazed at that's because i popped in whatever card i used. your point is getting into payments, it is a very low bar. compensated is so to the average person but not that complicated. they are fighting for retail share of voice. if i can get the consumer to use mine, i have the chance to pick fee as therchange money information -- the money information system. this is moving regular money around for candy bars and gasoline and just not rocket science. jack came upid is with the square reader, which a lot of companies adopted. then he moves from there from blending to other financial quality. betty: every other day i keep hearing about a new company going into payments. i heard about this one over the weekend, flint, you can do it in the at. it seems like everybody in the mother. >> if you would like me to , we couldty pay probably do it. it is not nearly the barrier to entry as you think it

bill: i think apple's only problem is android. and google.nd google's willingness to be aggressive. apple should have paid anything. flat out. if you're going to pay $3 billion for a headphone company, $2 billion for a maps company is a no-brainer. i also think they should have found a way to buy -- i have a deep respect for tony fidel. emily: should apple buy twitter? bill: i don't know if they would know what to do with it, and that is why i would probably say no. emily: twitter is one of your companies? bill: yes, and i think they have one of the most amazing moats. they have the most important people in almost any field in the world, remarkably committed to their own persona within the system. emily: peter thiel, the venture capitalist, criticized twitter, calling it horribly mismanaged, probably "a lot of pot smoking going on over there." how do you respond to that? bill: i think he is on a book tour, correct? emily: i believe so. bill: i would leave it at that. once you make a statement like that about a management team who has created

so great to have you. ♪ emily: epic rally at google beating apple's intraday records. their best weekly rally ever. i am emily chang. coming up, ebay and paypal prepare to split. i spoke to the ceos of both companies. google's not so secret weapon, youtube and i will be visited by

emily: epic rally at google beating apple's intraday records s.s their best weekly rally ever. coming up, ebay and paypal prepare to split. secret weapon, youtube and i will be visited

collaborating on climate issues 13 companies apple, google, microsoft among them investing billions toeduce their own carbon foot print. this is before the climate change summit in paris, and apple and google alleged to increase investment, while aluminum giant alcoa will eliminate half of greenhouse gas emissions compared to 2005 levels, and coca-cola, inc. of america also taking part -- bank of america also taking part. coming up, jack dorsey's square is planning to go public, but that is not the normal for texas heart of year -- but that is not the normal for this year. ♪ emily: we know now that jack's square is planning to go public after their confidential ipo filing on friday, but why? many are seeking financing over public funds, so why is square doing this? joining me from palo alto is someone who used to work at square on buechele partnerships and another test. i am tereus about this >> one is that they can raise capital in much more attractive terms. and today, what is happening on square, it used to be known as purely a payments company, and it is clearly moving towards othe

apple, amazon ahead of earnings. facebook is a stock that moved roughly 10%, purely on the back of google and nothing else. >> i mean think the set-up in facebook and you have to think about apple. here's a company that delivered a better-than-expected quarter. and yet was taken down 6% in the afterhours, 5% today and people looking at facebook, which broke out at 88. it ran up 11 straight points, 10 straight points on very little fundamental news and now you have earnings looming, if you're long that name and bitten by apple, you say do i want to go through this again, or do i want to take some off and let the earnings quarter happen. if you're a short-term trader. i could understand how apple's reaction would weigh on your thoughts with facebook today if you're an investor, you're probably not paying terribly close attention. >> the new high in facebook shares was no coincidence, 99.24, close to the 100 mark. which pretty much was a magnet for the stock. a lot of -- >> jon had a great call yesterday talking about the down side in this thing. i continue to look at, this will be based upon the earnings. and the earni

now may have a new four horsemen -- google apple, facebook and -- pick your fourth -- netflix, i supposewas one of the reasons we saw the nasdaq move to that record close on friday after google's strong earnings. this week we've got a lot of big heavy hitting tech names like ibm after the bell also microsoft and apple this week. that will be one of the things. >> $64 billion in asset value added to google on friday. that's a good day for sergei and larry. >> not bad. not bad. >>> that's it for the very first hour of "power lunch." but lots more to come. >> thanks very much. i'll be joined now by melissa lee. >> hey, guys. >>> 2:00 p.m. on wall street 11:00 a.m. in seattle. you are watching the second hour of "power lunch." i'm melissa lee. >>> we begin with the big breakout in tech land. google trading lower right now but the stock is up nearly 20% over the last week followinging blow out earnings last week. apple has gained 4% in the last month. amazon, new high in today's session. facebook big standout up nearly 25% this year also a new high today. bob, you put out a "trader talk" note

dagen: google, apple and all your major park on this working. en: detroit opened a major facility to test the driverless technology. they were saying we know everything about cars. we don't want to be left out. apple a great stack of 20% this year. sales in china up 70%. here's the thing. a lot of people in china with all the apple iphone's. they want the new one. hopefully they will step up. lauren: almost 50 million in the quarter is the expectation. dagen: will also get results. nicole has been for a [inaudible conversations] are soft and yahoo!. microsoft is acted to report an adjusted fourth-quarter profit of 56 cents per share from a year ago to $22 billion a month of things to watch here, a new strategy for microsoft's windows smart phone and information on how the windows can upgrade will affect the company's financials. we just bought a mac, first in the household of her. yahoo! and the meantime expected to earn 18 cents sharply below last year's 37 cents per share on revenue of $1.03 billion. investors will look for news and yahoo! japa

they partnered google and apple to put in smart technology.pplication of vehicle connectivity mas it the most advanced accord we've brought to market. honda, volkswagen, are setting up part with -- partnership with high-tech facilities. >> our cars are filled with high-tech gadgets. >>> a night out turns into a nightmare in lawhat. we're going to let you hear. >> it makes us furious and sad at the same time. i speak for every parent who wants to hug their kids. >> we'll tell you about the heroic act by a moviegoer last night. >>> and the hayward police officer suspect makes his appearance in court. >> we're looking at the morning commute and the traffic looking okay coming into san francisco. we'll tell you more about the east bay commute. >> there's not as up fog, and lows are taking a dip, it's 51 santa rosa, 52 napa. we'll talk about the weekend forecast. . >>> it's friday july 24th. >> we're going to get to weather and traffic in o moment. first were are developing another mass shooting inside a movie theater at a grand theater in -- 20 mi

matt: they unveiled the new accord yesterday, with google and apple working on cars of their own, we if they see these tech players as a threat. >> they are entering into a stable industry and they are shaking things up. it is good. we embrace at honda, new competition, it is raising the bar. matt: honda is also launching a startup accelerator to encourage entrepreneurs to develop apps. tesla, shares are close to a record high, $286. but it is also showing that 25% of its flow is being shorted. it could hit $500 by the end of the year. i am joined by portfolio manager: wilcox cole wilcox. it is a bold call. analysts will make these calls for publicity, but i guess that you think this is legitimate. >> we think it is a widget -- legitimate target. we were one of the first to call this original tesla short squeeze in april a few years ago and we were right. we stayed away from this stock for a while. it really needed to digest the momentum. as we size up where things are going in the future, we see that it would hereafter be a bull. matt: i remember that you are one of the very few inv

blue-chip companies apple, google, microsoft among them investing billions to reduce their own carbonoot print. this is before the climate change summit in paris, and apple and google alleged to increase renewable energy investment, while aluminum giant alcoa will eliminate half of greenhouse gas emissions within 10 years compared to 2005 levels. general motors, coca-cola, all taking part. coming up, jack dorsey's square is filing to go public. but that is not the norm for tech startups. so why now? we take a look at the tech helping deaf children to hear. ♪ emily: we know now that jack dorsey's square is planning to go public after we broke the news of its confidential ipo filing on friday, but why? in a market where companies are seeking private finances, why are they bucking the trend? joining me is leslie picker, and as special guest. curious about your reaction to the filing. it seems sooner than some people were expect. what do you make of the filing to go public now? ? i think there are three reasons why companies want to go public. one is that they can actually raised capital

emily: epic rally at google beating apple's intraday records. it was their best weekly rally ever. i am emily chang. coming up, ebay and paypal prepare to split. i spoke to the ceos of both companies. google's not so secret weapon youtube and i will be visited by maker studio founder danny. we have all of the details on a new super fast offering from elon musk. what a day for google. take a look at the jump on this chart. today, the search giant adding $65 billion to its cap. insane. the biggest one day gain and value ever for a company. today's gains pushed the company's volume past microsoft which is worth $377 billion. google added more than the entire value of hewlett packard. google is not the only stock having a great day today. xc gained -- etsy gained 33% apparently because it is getting a boost from google. there is wild stuff going on in the market. i know that google beat for a while, but were you expecting this kind of jump. investor sentiment has been neutral foro years. people have wanted a series of things. for the time in five years operating margins were up year. th

emily: epic rally at google beating apple's intraday records is. it was their best weekly rally ever. coming up, ebay and paypal prepare to split. will not so secret weapon youtube and i will be visited by maker studio founder danny. we have all of the details on a new super fast offering from elon musk. take a look at the jump on this chart. today, the search giant adding 65 billion to its cap. today's gains pushed the company's volume past microsoft and witches were -- which is worth three and $77 billion. google is not the only stock having a great day today. apparently they have a google algorithm traffic boost. there is somewhat wild stuff going on in the market. i know that google beat for a while, but were you expecting this jimp? >> investors have been neutral and for the time in five years operating margins were up year. it is an inflection point high single-digit, low double-digit sure. scarlet: netflix, facebook amazon, what is going on? >> they were oversold. and then we had a series of orders that should really inflection for the when

google, microsoft, apple, box. how do you compete with that? why: i'd be curious to hear you use dropbox. for our users, i think it is a couple things. one is the product is easy to use. the other is it is the most popular service of its kind in the world. if i share something with you, you are going to have a better experience. emily: dropbox has 400 million users. who are they where are they? , drew: the vast majority are all outside the u.s. than two thirds. it has been that way since the beginning. people use dropbox not only for storage but for sharing. emily: you grew up outside of boston. what kind of kid were you? when did you get into computers? drew: it started in a living room when i was maybe three. my dad had just taken this thing out of a box and it was an ibm pc junior. my parents have pictures of me sitting in a chair, trying to reach over the keyboard and trying to mash the keys. i think i was mesmerized from an early age by this glowing screen. my dad showed me how to write my first lines of code when i was really little. emil

six companies, amazon, google, apple and gillian account for more than half of the $64 billion in value to the nasdaq composite in 2015. the concentrated gain in a few stocks is boosting concerns of dwindling leadership, a market top, some say. the nasdaq itself is up about 7% so far this year. and i think if you take out amazon and google, john, even the s&p is negative year to date. people say classic sign of an aging bull market. is that legit? >> certainly a ton of consolidation and that's reason for concern in a business that is concerned. you'd rather have more diversification of broadening. i'm not sure if it's a causation or a warning sign. i'm not ready to show impending doom yet. >> jim cramer, of course, coining the acronym f.a.n.g., we're going to add another "a" so it's faang. there's so much value concentrated in a few other names. it signals to him there's nothing else people want to buy. is that something that's viewed as a compelling story for those companies, or is it sell signals for the rest of the market? >> i think you have a number of things going on. you have the

. >> he is talking about the normal encryption that takes place that service providers use, google apple, yahoo, and the like for two individuals within the united states to communicate with each other and what basically it is, it's this code that allows two people to talk on the internet, either through e-mail or texting that no one else can hear wiretap or get in on that conversation. he is talking about having access to that level of basic communication. >> why doesn't he already have access to that basic level of communication? >> well, does. a pre-snowden era, he did but when he had ward snowden released that and snowden released the fact that electronic companies were working with the f.b.i. to do this it took place. these technology companies have changed encryption so the f.b.i. no longer has that key. they do not have that front door access to that information. it's all about timing. they can't get to it in a time frame that's fast enough from their perspective in order to intercept something that could possibly be happening wrong. >> all right. so the fact that the f.b.i. head

the offenders include companies like google and apple. the director of oxfam international says rich countries affect more mouths needed to fight poverty. they estimated that through one. many legal tricks that can be used to avoid paying taxes, companies cheat developing countries. that is through one of the ships. an additional 138 billion lost the developing countries through the complication. to give holidays. to get away with their fair share. it was so important for developing countries. the loopholes for tax avoidance were closed. they can only be close where the government sits together. this is what the rich countries denied them. developing countries are strong in uting up the fight. they'll take a long. they'll sit together and shape the system. i have no doubt. another issue is climate change. senn zal is vulnerable. a new scheme could see people access money from a climate change insurance fund. >> it's a bad omen a nine that the worst is yet to come. this animal died starving collapsing in the heat before it could reach the

i don't think it will have the revolutionary impact on apple or the stock. >> google glass? 'm not going there. i would say this about apple which is the thing that most concerned me recently about apple was their ads. i don't know if you saw recent ads which they talk about the hardware and software aspects. we're special because we are an iphone. >> and everybody else is not. >> yeah. that to me is a little tell. if they get hit by the commoditization that takes their margin down that is the biggest risk to the stock. >> it's been rising. >> thanks. >> the $16 trillion mutual fund industry may be in hot water. details whether your mutual fund fees are being used inappropriately next. >>> also airline fees. they are getting me started here. they soared to record highs in the last year. coming up we will hear from somebody who says passengers should blame the irs and congress, not the airlines when they get sticker shock over those fees for baggage and ticket changes and everything else. that's coming up. ♪ ♪ ♪ it took serena williams years to master the two handed backhand.

. >> ifill: google, apple and other tech firms have ramped up data encryption, in the wake of edwarden's revelations of sweeping government surveillance. they're also responding to stepped-up hacking coming from russia and china. but at the same time, islamic state followers and other militants are now using encrypted communications to recruit, at a rapid pace. deputy attorney general sally yates underscored that point today. >> isil currently communicates on twitter, sending communications to thousands of would-be followers right here in our country. when someone responds and the conversations begin, they are then directed to encrypted platforms for further communication. and even with a court order, we can't see those communications. this is a serious threat. and our inability to access these communications with valid court orders is a real national security problem. >> ifill: and, the f.b.i.'s comey suggested it's just a matter of time before that leads to a terror attack. >> we are stopping these things so far through tremendous hard work, the use of sources, the use of online un

google, microsoft, apple. how do you compete with that?rew houston: for our users, i think it is a couple things. one is the product is easy to use. the other is it is the most popular service of its kind in the world. if you share things on dropbox, it is much more likely that if i share something with you, that you are already going to have it. emily: dropbox has 400 million users. who are they? where are they? drew houston: the vast majority are all outside the u.s. more than 2/3. it has been that way since the beginning. sharing has been at the heart of how we grow. emily: you grew up outside of boston. what kind of kid were you? when did you get into computers? drew houston: it started in a living room when i was maybe three. my dad had just taken this thing out of a box, and it was an ibm pc junior. my parents have pictures of me trying to mash the keys. i think i was mesmerized from an early age by this glowing screen. my dad showed me how to write my first lines of code when i was really little. he was an engineer. emily: and your

out today saying that 31% of the market cap of the nasdaq 100 is when the largest four stocks, google, apple, amazon and facebook. all of them are going gangbusters. all of you guys here, well, maybe not you, not dan, like these stocks and think they will go higher. what do you think? >> i don't want to get -- i don't even know what all clear means. when is there ever all clear for anything? can that take us to the next step higher? yeah, if that's what you want to say. i do think we can take the next leg higher. but when you say all clear it implies there are no hurdles, barriers, and it's not the bus you see coming it's the one on the other side. yes i think it can go higher. does that mean all clear? i have no idea. >> we've also got a slew of other reports out, big cap tech names that is. yahoo! microsoft, gopro all out after the bell. we're calling it trillion-dollar tech tuesday with the combined market caps of tomorrow's earnings reports exceeding $1 trillion. time to take your position ahead of these earnings. where do you want to start, tim? >> i'll start with yahoo! because i'm lon

google has not done anything with their cash. if you are apple think they are very much in a topline growth story. they are in a new product development story. google as well continues to put up great topline numbers, but the growth is slowing. consumers move from the desktop to the mobile business. the growth is slowing, so they had to show they were going to look at expenses. the new cfo won a lot of friends talking about bringing costs in line. >> he looked all right. when i look at the nasdaq at a record high and you get a knee-jerk reaction but we are talking about google doing all kinds of thinking, and then we talk about netflix going forward. how do you make a decision about which stocks? ask i don't look for tech stocks in europe. as i mentioned before the break you're looking at market leaders. you're looking at google facebook. let's not forget amazon and apple. i look at the leaders and the sectors they are leaning in. it hasn't worked. they maintain profit margins. i go with market leaders. >> there are some challenges. >> there are

. >> commissioner, i have google and apple are also looking at building and energy free are gas free cars. i believe boeng is looking at building polyglass for airplanes which will reduce the amount of fuel and i have information on alternative energy. recently the foundation had their 25th anniversary and they are going to bring out the press for the 25th anniversary they invited 700 goats from sooner -- sol dad goat sanctuary instead of lawn mowers. >> they forgot to say how the goats got there. >> and we don't have water anymore so we can't water our lawns. >> is there anymore discussion on this item? >> the issue here is is not just about the environment. that is the no. 1. but we've had information presented to us about the concept of stranded asset that the reason to divest is going to be losing money and brought to us by the members of the public. it's not so much if we have sold last month as the prices went down. that is one of the factors. is that something we have to pay attention to or not and how we reach our rate of return. will that help us do that today as mentioned t

between them apple and google control 96% of the operating system market for the smartphone and googlel also premiere a similar service later this year. >> who is going to win in all of this? apple music? google? >> apple can win through cosmetic advantages in it's applications. google by bundling through youtube and spotify can win by being the first mover market leader. it's hard to say. if i had to pick one horse i would probably pick apple. they won the last round of this and they're poised to win this one too. >> they do win at a lot of things. coming back to the demise of the music industry ten years ago we thought it was absolutely over and then very slowly we saw streaming coming back to the market and that was a huge success because the music industry didn't die but then profitability is still low. is it a blessing or curse? >> it's on life support. the music industry shrunk last year in total revenue even with the addition of streaming. people that subscribe to streaming services stop pirating more or less completely but they also stop pieing albumsbuying albums. many artists

check this out, amazon, google and apple have accounted for 37% of the nasdaq gains. what do you think about that, ashley? is that cause for concern? >> everybody loves these stocks. they're the world peters. i understand why money is pouring into it. there is concern, melissa, there is big disconnect between the six companies and all the others struggling and doesn't really speak to the overall economy. melissa: no. especially when you put that to the idea, dow and s&p, a lot of people think what is driving stock is loose monetary policy. >> right, right. melissa: wait a second. you put all of that together and feels like -- >> interest rates go up. we could be set up for a correction. we shall see. >>> let's talk about the pharmaceutical sector. teva is buying allergan's generic drug unit for $40 billion. the latest in a string of deals for the health care sector. teva one of the world's largest generic drugmaker based in israel. the deal will help boost its pipeline and supply chain. allergan best known for making botox, will receive $34 billion in cash and share.

consistently named one of the most innovative organizations in the world, on the list of a hole up google -- of apple and google. it pushes the list of names naysayers out of the 21st century. they provide entrepreneurs with internships, training, programming, and educational resources. investors and fellow dreamers dedicated to pulling american businesses into a new age. these examples are not outliers, they are a pattern. anyone who sees these things will understand that nothing has changed about our people. we are the inheritors of the american spirit of the american dream. the american century. you our planes flown the blood of men and women who refused to accept the burdens of the last -- of the past or resign their ways to the old ways to doing things. the verdict of our time will be written by those who have not yet been born. let them ride that we did our part. but in the early years of the century we turned the corner on the past. we elected new leaders for new time. we adopted policies that encouraged americans to invest in the products of tomorrow, manufacture them and tell them throughout

with boosting tour emat yosemite after the yosemite operating system was released last october by apple. googleors jumped 50 percent and the free advertising is likely to continue because apple's next operating system to be released is called el capitan, the famous rock formation at the park. someone at google likes yosemite. >> doyle drive closures mean a crowded commute into the city this weekend. >> you can stay in the snow with abc7 now looking at traffic on san mateo bridge going when. perhaps even heavier than usual as a result of major system-wide bart delays focused on when account lead craig wilson books at laquinta.com. he gets a ready for you alert the second his room is ready. so he knows exactly when he can settle in and practice his big pitch. and when craig gets his pitch down pat, do you know what he becomes? great proposal! let's talk more over golf! great. better yet, how about over tennis? even better. a game changer! your 2 o'clock is here. oops, hold your horses. no problem. la quinta inns & suites is ready for you, so you'll be ready for business. the ready for you alert,

google and apple are positively modest valuations at this point. melissa, the thing is, this is not a tech bubble because technology in 2000 was in a bubble, everything went up. we're not in a tech bubble. we're seeing a growth problem. they're paying up for anything that has any kind of growth, and in this case right now, it's four very narrow stocks. >> you make the point the valuations aren't high, bob. should we be worried? does it matter that the four biggest stocks account for 31% of market cap if those stocks are not overvalued? >> reporter: i think it does matter because historically when you get new indices at new highs with narrow leadership, that's a technical definition of a problem. traditionally those have been signs of at least short-term market tops. i do think it's encouraging that apple is only 15 times forward earnings. that's why i'm not terribly worried about apple right now. and even on google right now i'm not that worried. but i do think narrow leadership is bad for people who have bad exposure to the overall market. >> good

down load the app from the apple store or google play. >>> for years of work and millions of dollars, the county is now deciding not to staff its brand new police station. i'm tracee wilkins, we will have that story coming up. >>> and we are going to -- plus one for the record books. we will tell you which automaker just got hit with a huge fine and why some sa on safety. >>> i'm storm team4 meteorologist chuck bell. storm team4 radar starting to settle down now, that is excellent news. a couple of showers to be dealt with here parts of anne arundel county county, east of bowie, route 50 there. another location hard hit by heavy rains last night up in the shenandoah valley west of new market virginia, more thunderstorms out there in the shenandoah valley. detail all this and talk about how long and hot this next stretch of weather is going >>> this is a story you will only going to see on news4 construction will soon be completed at a new police station in the southern part of prince george's county but there's a problem. >> there's no money to staff or support it. prince george's cou