laws marco polo was venice and was a. rod not all the. european going to china models so there was this delegation if i didn't it was china camming to europe and to visit in rome and we have also to remember there was a lot of debate the need at the time of romano prodi i mean that can be accused to be an anti utopian as you would know for sure but for the role that the u.s. played and continue to play when there was any plot desist to open an agreement before opening the port of does to cheney's i seem to test to be managed into understood you know european framework and sound. as to be criticised for. my government has done because i'm not so being insulted aspens of the baby the parliament is not open held a document such a debate and a public debate but in any case in the agreement the duty felt too deep to deal frame. of the relation with china is very open these betty is very clear so is an ongoing debate i think that we have to find a way to cooperate with china well let me stop you right here we have to take a very short break now

its worst single day drop since the financial crisis following an inflammatory report from marry marco polosccusing the company of fraud and a scandal bigger than enron and -- combined >> the numbers are missing they report top line revenues, bottom line prots and nothing in between like expenses, research and development, it's all missing. including cash flows. they don't provide working capital. it's the only company in that industry to provide working capital. ge's working capital is minus 3 billion. their current ratio is .67 they have a company that does that that's accounting 101. >> so ge board member leslie sideman joined me in an exclusive on closing bell yesterday to respond to this saying the claims were baseless and set a dangerous precedent. >> i think we have to get to the bottom of this i think this report today set a dangerous precedent where somebody can just say things and then potentially benefit monetarily, significantly from the decline in the stock of the company. that is wrong. and i really think that we need to investigate the motives for this and -- because here we h

they have pretty their presence around in part to debt diplomacy with the marco polo silk road thing,red a lot of our european allies. some may be picking chinese money over the longstanding friendship with america. it is all part and parcel to your point that they want to be the preeminent power in the world. they want to be what maersk is right now. financially, economically, and military right? >> they are ruled by one communist party. they forget sometimes that they have a lot of problems inside of china. should it be the territorial problems, the ethnic problems, they have an issue with taiwan and linked to north korea. of course they have this thing they are not even expecting. their own society by getting all these goodies, all this technology at one point in time will refuse the older generation. china within the ten days, 10 years to come may find a lot of problems in its domestic politics as well. charles: we know about their success and they're minting millionaires but we loss know there are hundreds of millions of folks who still have not joined in the economic revolution.

casey referred to him, he thought he was the sort of marco polo of new journalism, and invented the first nonfiction novel, but this is what i think for purposes of our discussion, it's a good line that capote barriod the strategies of fiction writers in his nonfiction. rendering settings that were more than just datelines, crafting characters who are more than just quotations and physical descriptions, and identifying win his reporting or imposing on it, moods and themes that made a story more than the sum of its parts, and certainly there is more of a -- you call it new journalism and magazine writing or the nonfiction books we read that they are more colorful and people tend to put themselves in the head-of-the characters and so and so may have thought such a thing if want to ask each of you hutch of our own imagination dare youy in crafting your story? casey, why don't i start with you. >> i was hoping could carve an answer from what these two. wear ucreatures with minds mindd imaginations and you spend time thinking but someone you start to imagine things if think you have to be very

technique that truman capote likes to think he invented, casey referred to it any thought he was the marco polo of new journalism and invented the first nonfiction novel, but this is what i think for purpose of our discussion, it's a good line that capote borrowed the strategies of fiction writers in his nonfiction. rendering settings that were more than just datelines, crafting characters were more than just quotations and physical descriptions and identifying within his reporting or imposing on it moods and themes that made a story more than the sum of itsparts . and certainly, it is more of a trend to whatever you call itit, new journalism in magazine writing or the nonfiction books that we read , that they are more colorful and people tend to put themselves in the heads of their characters and so and so may have thought such a thing. i want to ask each of you, how much of your own imagination dare you use in crafting your story, casey, why don't we start off with you? >> i was hoping i could create an answer from one of these two . we're all creatures with mines and ideas and imagination an

quote from citron research, marco polo attack on ge, share of mentality is disingenuous does not passmell test. cintron said there is a difference between fraud and aggressive accounting tactics. we're seeing markets higher. dow higher 268 points. nasdaq, 122. trader told me this is crazy. from august 2nd to the s&p 500, it has only dropped five points. getting a roller-coaster, getting off pretty much where you started. germany open to some deficit spending. you know, optimism right now, it is friday, people are not wearing ties here. we have to go towards some negative news we got today. that is home building numbers. you think home building would improve, given low mortgage rates. however it fell, housing starts fell in july catalysts from multifamily housing units. it could be shortages of land, as well as labor. i want to end on a positive note because it is friday. housing permits to build homes rose to a 7-month high. connell: he did have a tie on. i was making sure you were accurate. this guy have a tie on? >> yes. he has a tie. connell: typical wall street vests. >> i know. c

marco polos and ge what do you think, is there anything to that >> what i said on cnbc a number of monthswhen you look at the fact that ge said they were making $2 a share, then they're making $20 a share, one of those numbers is fundamentally wrong and i think what you see when you release quarterly earning numbers, it's subject to u.s. gaap let's say ge has 100 different businesses in each one of those businesses they take the most optimistic accruals, the most optimistic viewpoint. multiply that by 100 times and end up with $2 if you take a pessimistic viewpoint you endi up with 20 cents. with respect to long-term care we hear very good points with respect to how they did accruals if you take that culture and philosophy, multiply it across 100 different businesses, you'll come up with a result that misleads investors what i had the last type, it's important to recognize myself as a long-standing ceo and the cfo, you sign that document you know if you sign that document, those numbers are wrong and misleading, there's criminal penalties coming. so it's going to be interesting to see how

>> yes, so i need your help here coming up, ger shares clammed after marco -- >> polos. >> we did not, we did not. >> our analyst respond next as we head to break take a look at u.s. equities do you have concerns about mild memory loss related to aging? prevagen is the number one pharmacist-recommended memory support brand. you can find it in the vitamin aisle in stores everywhere. prevagen. healthier brain. better life. hey! i live on my own now! i've got xfinity, because i like to live life in the fast lane. unlike my parents. you rambling about xfinity again? you're so cute when you get excited... anyways... i've got their app right here, i can troubleshoot. i can schedule a time for them to call me back, it's great! you have our number programmed in? ya i don't even know your phone anymore... excuse me?! what? i don't know your phone number. aw well. he doesn't know our phone number! you have our fax number, obviously... today's xfinity service. simple. easy. awesome. i'll pass. >>> still to come on "squawk box", madoff whistleblower, harry marko -- >> polos. >> has been covering