josh lipton, thank you. to dominic chu for a market flash. >> some of the component suppliers for apple moving higher on the sales success of the apple 5c and 5c. serious logic, skyworks all to the plus side. back over to you. >> do a littlep analyzing this and that. jj burns is here. welcome. he's president and ceo of jj burns. how did you figure that out? president of jj burns and company and your name is jj burns. that's thinking. >> you guys made me too popular here. >> let's take a look at apple. you know, we have a downgrade on the stock, downgrading shares of apple to hold from buy. they cite valuation stating forecasts are still within guidance so where do you stand on apple on the back of those numbers that josh was describing? >> i do agree with them. we own apple and we would be certainly buyers of pullbacks but keep in mind that apple has a lot more penetration into the market. there's less than 50% of the world that actually has smart foensz or handsets in general. only like a 15% penetration ap

josh lipton has more on this back at headquarters. hi, josh. >> melissa, that's right. it has been a wild week for gasoline futures after rising 4% from monday's open, gas gave back nearly all of its gains. the key driver for gas has been oil. syria not an exporter but military action could draw the involvement of syrian allies, iran and russia. that could put major pressure on supplies. the u.s. will try hard to avoid that. if the situation gets out of hand gas consumers could feel syria's crimp in their budgets. >> thank you very much josh lipton. let's go to carl oppenheimer to see what he's watching. carter. >> walmart is inversely correlated to the price of crude. this chart shows it as well as any other way. this is a two-year chart. this is crude oil, wti versus walmart. obviously as we see here, this recent spike in crude to 110 a barrel has had an equally and opposite effect on walmart. walmart is reacting quite aggressively to that. if there's more coming, walmart has more down side here. we have broken trend and the presumption of lower prices. take a look at

i'm josh lipton.leveland clinic one of the country's best hospitals is cutting jobs and slashing its budget because of obama care. back in 2009 and again last year president obama praised the hospital. >> the reason i visited the cleveland clinic is because along with the mayo clinic they have been able to drive down costs more than any other health care system out there while maintaining some of the highest quality. so at cleveland clinic, one of the best health care systems in the world, they actually provide great care cheaper than average. >> but the cleveland clinic now says it has to save money because under obama care it will get paid less for treating medicare patients. larry, back to you. >> thank you, josh. that's a really point the reimbursement rates will undercut these hospitals across the country. now, the bad news, piling on against obama care, can republicans come up with a credible replacement, something positive. here now is igor volsky and ovik roy. the gop should have something pos

nightly business report, i'm josh lipton. >> and take a look at how shares of chip maker and rf micro devices and some others did today, banking on strong sales of theñr new iphone. >> and with sales of the new blackberry it was easy to overlook the product launch from microsoft. the new surface pro 2 was unveiled today, coming with a much longer battery life, powerful energy-saving chips and a full version of the upcoming windows 8.1 operating system, railing for $899. now, there is also a cheaper version called the surface 2 for about half that price. >>> on wall street, the major averages closing lower for the third session in a row. traders worry about fighting washington lawmakers as they try to hammer out a deal on the federal budget and a debt ceiling, all of that amid the looming threat of the government shutdown a week from today. the nasdaq was down nine, despite getting lots of help from apple, and the s&p by eight. >>> as sue just mentioned, the possible government shutdown is a week away, and the big question is are lawmakers any closer to reaching a deal that would keep

bill, maria, back to you. >> josh lipton back in northern california where he belongs.ks, buddy. >> that is right. >> see you later. >>> heading toward the close, we heard the bias is starting to turn to the downside. dow still holding steady with a very minor decline, 38 points. >>> later on, most syrians earn about $2,600 a year. the wealth flaunted by syrian president bashar al assad and his stylish wife can't sit well with the masses. a look at how much money he has. it's eye popping. stay with us on that. get paid tg you really love, what would you do?" ♪ [ woman ] i'd be a writer. [ man ] i'd be a baker. [ woman ] i wanna be a pie maker. [ man ] i wanna be a pilot. [ woman ] i'd be an architect. what if i told you someone could pay you and what if that person were you? ♪ when you think about it, isn't that what retirement should be, paying ourselves to do what we love? ♪ >>> after hitting a record high wednesday, the market is struggling to hold ground. >> stocks, they're in a holding pattern. it's safe to say one of the big reasons why has to do with momentum. tr

for "nightly business report," josh lipton. >>> while microsoft grows, the federal deficit is expected to shrink. they expect the national deficit to decline to 2% of gross domestic product by 2015 from the current rate of 4%. they also forecast it to rise back up to 3.5 of gdp by 2023, due to soaring health care costs for an aging population. >>> another warning to congress from the treasury secretary, jack lew, telling congress waiting until the last minute to raise the debt ceiling could cause harm to the economy. >> if congress doesn't act and the u.s. suddenly can't pay its bills, the repercussions could be serious. the impact on families and businesses could be significant. investors losing confidence in full faith and credit of the united states could cause damage to our economy. >> the treasury is slated to hit the borrowing limit of $16.7 trillion about a month from now, mid october. >>> between tackling the next debt ceiling deadline and the budget deal, congress has a lot on its plate that directly impacts the economy, the stock market, and your investment. the big question

. >> josh lipton, thanks. get a tweet about yahoo from dan, who asks what about crowded longs like facebook and amazon. specifically with yahoo, tim, i wonder, josh mentioned soft bank being a stake holder what's a better -- if you were so inclined, is yahoo not the way to go? maybe soft bank? >> what's surprising to me it took people this long. we talked about the ali baba effect and yahoo. and the only reason to own yahoo was for this. i think the halo effects around the entire chinese internet space is something you have to be careful of. i look at getting near 10 a lot of momentum started before the ipo chatter, because earnings were very good. they are monetizing. but at some point you run into technical resistance, 160 this stock can't get through. be careful. this is a stock with a major run. and we talked about -- all of the other names, anything that has exposure to china twitter, china you tube these are places people want to play the same place. i am taking profits here. >> new tech did well today.

josh lipton. >> oracle just reporting -- let me give you the numbers. the street was looking for eps of 56 cents on revenue of $8.48 billion. oracle delivers eps ex-ims at 56 cents. looking through release, new software licenses and cloud software subscriptions refer news up 4% to $1.7 billion, better than expected. operating margins clock in at 45%. analysts were looking for just under 44%. on the downside, though, looking at revenues for heart wear systems products, 669 million, that was less than analysts were hoping for, looking for $764 million. we'll keep looking through this report and tell you what we find. back to you. >> thanks. want to get straight to our analyst for reaction on oracle. dan morgan. what's your reaction to the oracle earnings. what does it tell you about how the company's doing? >> i think the key, maria, is that number on the licensing revenue and the cloud subscription figure, 1.7. the estimate was 1.63 billion. that's a good number. obviously, below on hardware, but hardware has been really hurting them over the last couple

josh lipton keeping an eye on the race action. >> reporter: kept for dead but storming back.'s oracle team usa has knocked out five straight wins at 34th america's cup. emirates team new zealand needed just one more win but the kiwis have not been able to get the job done. two more races were scheduled for today. the oracle team needs just three more victories to defend the america's cup. larry ellison very much a fixture at the race this year. he's been on the water, cheering his team on. the cost of entering the world's most famous boat race is steep. building and racing these boats can cost $100 million. as our own jane wells has reported, ellison is funding about 80% of his team's costs. emirates new zealand, on the other hand, is getting most of its money from emirates airlines and new zealand government. bill, back to you. >> josh, thanks very much. you let me say, you may have seen promos on cnbc, oracle ceo larry ellison was supposed to be exclusively interviewed by maria today, but that little boat race got in the way. apparently this is something that ellison really

josh lipton, cnbc, silicon, valley. >> we should point out cnbc has a content sharing agreement with and seema mody are here. stick with fantasy football. should americans pay as much attention to their finances as fantasy football. would we be better off? >> if they do they would be better off because so many people love fantasy football. it's a cult. you spend so much time getting your research done, lining up your teams. spoke to jim cramer before i got on set whether i should start again tonight. pierre thomas as a running back or mike wallace. >> and you played it too. >> yeah. i did a little research. wonder if there are parallels between fantasy football and stocks. with fantasy football, you're looking at historical data of players and then making -- trying to predict what their future performance will be. sounds like what analysts do as well. >> that's no guarantee of future success. >> tells you why a lot of players, the millions that play this, are typically wall street guys, maybe portfolio guys who look at research and build models. >> you who do you like the saints or d

herb greenberg with is, josh lipton out west, bringing people in, it's going to be a fluid hour. apple news, poor microsoft by the way, launching the new surface today and you have the apple stuff, now this. jim i want to hit something that's a little bit conspiracy theory first. fairfax financial owns 10% of blackberry, fellow canadian company. coming in one working day after the massive downgrade cut, job cuts, whatever. does it smell funny? >> i think this is a financial bid. i think by the way, my hats off to the blackberry people. this is a good price for blackberry. i think if you look at the analyst covers people were thinking 5, 7. >> that's my point. is it too good of an offer. >> that's why i think it's not a bad idea to sell some here. >> you would be selling some here. >> i think at lot of people are saying this is too much. the transaction valued at $4.7 billion. mind you, this was a stock that was $70 billion in market cap back in 2007 at its peak. >> in a piece on street.com this morning i wrote this is a company that is in corporate hospice at this point. that's h

josh lipton has this out of san jose. hey, josh. >> kelly, yahoo! up 8% in just the past five days. the 28 partners at the chinese e commerce giant, they want to have control over the majority of the board, maintaining dual class voting structure. hong kong regulators don't support that skinned of corporate governance structure. but alibaba shareholders, including yahoo! coming to defense of the company. yahoo!'s chief development officer staying in a statement that yahoo! does back alibaba's partnership structure. why is this a big deal for yahoo!? they have a 24% stake in alibaba. analysts at sanford bernstein value al play ba ba at $95 billion. could be worth $15 a share for yahoo! shareholders or as much as $22 billion if ya ho goes public. back to you. >> thank you very much, josh lipton, without a tie out west, talking some alibaba. >>> the last six years, bad has been oh so good, the series finale of breaking bad airs this weekend, sure to be a big hit in the ratings for amc what is the number gonna do after "bad" comes to a close? that in just a moment. ♪ [ cows moo ] [ sizz

josh lipton joins us from san jose to explain why. >> apple crushing estimates, sold 9 million of its year. also saying that more than 200 million ios devices running on ios 7, the fastest software upgrade in history, good enough for apple to give us guidance in a filing with the s.e.c. says, investors can expect total company revenue for the fourth fiscal quarter to be near the high end of the previously provided range, 34 billion to 37 billion and expects gross margin to be near the high end of the previously recorded range, 36 to 37%. two differents of this launch to keep in mind. one, apple is selling two new devices, also china, for the first time, is one of the launch countries. why did the street get the estimates so wrong? analysts looking for 5 million to 6 million units. rbc, he covers apple, two reasons, one, nobody thought that 5c would sell that well, not too different from the 5 or so the street thought. for the 5s, there were supply constraints heren no preorders, analysts thought that would limit sales. bottom line, worries about declining revenue and eps next year off

. >>> first, though, josh lipton. with more on apple's record-breaking sales. have you been on "squawk box" before? >> no, this is the first. >> oh, my gosh. oh, my god, yeah. >> aren't a lot of virgins out there. >> that's right. you missed the weekend launch this year, apple saying it sold 9 million 5s and 5c models. some analysts, gene munster, for example, he was saying he was actually looking for 5 million to 6 million units. remember, last year the iphone 5 at that launch, they moved 5 million units. also, we were looking for some color here on the ios 7, apple's new mobile operating system. apple saying 200 million ios systems running on the ios 7. some people are going to try to back out, do more of an apple to apple comparison. but the number of launch countries does vary with each launch. still, the headline here, apple announcing a record breaking 9 million new 5s and 5c models. more with "squawk" continues. i want peacocks. peacocks? walking the grounds. in tuscany. [ man ] her parents didn't expect her dr