newscorp is the parents company of fox news channel. the chase involving the 13-year-old girl that got the investigation rolling or people steamed. >> i agree, it was outrageous p and the way you detailed it there, the family had false hope. whatever criminality might be there, it's incredibly immoral and the people who did it shouldn't be called journalists. >> jon: there's a full page apology from rupert murdoch, reading we are sorry and the news of the world was in the business of holding others to account, it failed when it comes to itself. we are sorry for the serious wrongdoing that occurred, we are deeply sorry for the hurt suffered-- . >> this is the latest case of piling on since the last rugby came. the left has been out to get newscorp and especially fox news channel and the murdoch family for years. as jim mentioned some allegations were in the british press several years ago and you don't have to be paranoid to believe at the very moment when rue pursuant murdoch was poised to ache over bskyb in britain that somehow these t

newscorp is incorporated in delaware. there's a reason the federal government could have oversight, could have interest. but i don't want to... >> rose: andenator rockefeller has spoken to tha >> rockefeller has spoken to it. but i don'want to speculate because it's moving soast i could be wrong by the time i finish the sentence. >> rose: but how about thedea of hacking and the idea of this kind of relationship with police? >> we're lking about it as bad journalism. i think that's wrong. it's not journalism at all. it's investigation. it goes well beyond the line of what journalism has ever been about. now the competitive atmosphere in the london papers which i think murdoch has stoked for the ultimate good of london, for the ultimate good of the united kingdom, that has encouraged people go well and beyond ethical bar bus it's not journalism. for the sake of definition, it's something completely other. i don't see that going on in the united states. we have a different journalistic culture. >> rose: is there something ab

and newscorp also owns the u.s. publisher harper collins with such famous authors as jrr tolkien and c.r. lewis under its belt. nina. >> knows are formidable names to build up over a lifetime of just one person. news corporation and bskyb are feeling the fallout of all of this and this collapsed takeover bid to be precise. banks that advised these two companies during the takeover discussions could stand to lose between $80 million and $90 million. that's the amount they would have received once the deal between news corporation bskyb had been completed. they have little chance to make that back soon. investors on the other hand did seem to welcome the news, the news that news corporation was going to be walking away from this bskyb deal. the common stock closed up in excess of 3% on the stock exchange in sydney just a few hours ago when it last traded. that in turn follows a rise of 2% on the nasdaq wednesday with newscorp shares listed there. it closed at $16.36. strong reaction from investors, perhaps voting in t

ruper murdoch's newscorp is under scrutiny for questionable journalism on both sides of the atlantic, but we'll talk to an analyst who still likes the stock. >> susie: government debt worries put investors in a selling mood. at the close, the dow lost 94 points, the nasdaq fell nearly 25 and the s&p 500 off almost 11. as for volume, 871 million shares were traded here at the big board and just shy of 1.8 billion at the nasdaq. meanwhile, all that glitters is gold. the yellow metal closed above $1,600 for the first time. ever. gold for august delivery settled at $1,602 an ounce, up $12. that's a record in dollar terms, but below the peak reached in the 1980s, after accounting for inflation. >> susie: big layoffs announced late today at cisco systems. it will layoff 6,500 workers, or about 9% of its full time workforce. analysts predicted thousands of job cuts after cisco announced plans to reorganize in may. the company had been losing ground in the network equipment business. cisco says the move will cut annual expenses by about $1 billion. >> tom: big blue saw a lot of green in the s

the mere fact that the british government was able to exert enough pressure on newscorp, newscorp pulledf its deal to buy bskyb is pretty telling. that's something murdoch coveted. it wouldn't shock me if there would be new regulations put. its committees will look more closely at these cozy relationships. this isn't new with cameron. as he spoke he accused brown and blair. rupert murdoch his close ties the british government go back to margaret thatcher. this is by no means a new development. >> not just with the conservative government. we're speaking about andy colson. you'll hear his name as we continue to cover this. he's central to this uk phone hacking scandal opinion he resigned as editor of "news of the world" in january of 2007 after a reporter and private detective were jailed for hacking the voice mail of the royal houlsd staff. >> then he denied being aware of any wrongdoing at the paper. then hired to become the conservative party's director of communication. that was in the summ emer of 20. in 2009 he told the committee he believed the phone tapping was the work of a rogue

newscorp said sunday's edition will be the last.in reacted with revulsion after learning the paper hacked the voicemail of a kidnapped teenager. she turned up dead. now there are revelations "news of the world" eaves dropped on relatives of terror victim and war dead. alison, advertisers were abandoning beforehand, now it looks lick newscorp stock took a hit? >> reporter: well, newscorp shares took a hit yesterday, suzanne. they're rebounding today on shareholders like this kind of news when they hear that when something is in trouble like "news of the world" is in trouble and it's shutting down, it means advertisers for the company at least, the hope is that the advertisers won't sort of boycott the other properties of newscorp, so shareholders see this as a positive that "news of the world quist is shutting down. we have the other possible ramification for newscorp from this alleged hacking scandal. at the moment it's trying to buy britain sky broadcasting, and that could put that deal in jeopardy, but even bigger perspective news

tabloid newspaper owned by newscorp. and finally, watch health care research products maker affmetrix. shares fell more than 17% below this closing price after dropping its forecast for quarterly revenue. if that drop holds, shares would fall below $7 per share. and that's tonight's "market focus." >> tom: as a group, health care stocks continue leading the stock market this year. tonight's "street critique" guest is shopping for a specialized drug maker. she's hilary kramer, editor of gamechangerstocks.com. gamechangerstocks.com back with us from the nasdaq. you mike pharma >> shares have rocketed higher since april, climbing just shy of a new all-time high. what is the catalyst from here. >> it has a novel approach to hepatitis c, and will hiv, and three compounds. it's really a breakthrough company. and even at $126, it's still worth it. >> tom: were you even buying. >> i was buying today >> tom: back in march, you were bullish about satcon. how do you see it going forward? >> it's a power inverter maker for alternati

newscorp dropped its bid today to buy all of british sky broadcasting group. it abandoned the offer over allegations the media conglomerate used unethical reporting tactics at some of its british newspapers. stepping away from the huge $12 billion deal is a stunning defeat for rupert murdoch, the powerful mogul who founded and runs newscorp. murdoch's conglomerate may now face more scrutiny. virginia senator jay rockefeller wants a government investigation of newscorp's operations in the u.s. murdoch presides over a $32 billion media and entertainment empire. it owns prestigious names like hollywood film studio 20th century fox, fox news channel, the "wall street journal," the "new york post" and many british newspapers, including the "sunday times." joining us now, porter bibb, managing partner of media tech capital, a media investment firm in new york. >> susie: hi, porter, nice to have you with us. >> great to be here, susie. >> porter, it cements like every other day there's an announcement of a business or merger or take over that the news corp is abandon

rupert murdoch in his own words on how business is done at newscorp.should come as no surprise that controversy surrounding the media giant on a regular basis. damage control is a near constant in murdoch's various media holdings. after a litany of indecency fines and claims of anti-business practices. remember when glenn beck said this about president obama? >> this president i think has exposed himself as a guy over and over again who has a deep-seeded hatred for white people or the white culture. i don't know what it is. this guy is, i believe, a racist. >> that clip still drives me crazy every time i see it. after those 2009 comments, advertisers boycotted beck's program. murdoch was unaffected and even defended his comments. >> i think it was something that perhaps shouldn't have been said about the president. but if you actually assess what he was talking about, he was right. >> of course, just this past february, the glaring headline "fox news chief roger ailes urged employee to lie, records show." of course that was in reference to uncovered la

new pressure today for newscorp chairman rupert murdoch to abandon his bid for satellite broadcaster b. sky b. the u.k. government says it will support a non-binding motion in parliament urging newscorp to drop the deal. murdoch has also been asked to answer questions about the phone-hacking scandal surrounding his tabloid, "the news of the world." u.s. regulators say they're not investigating newscorp, but that if issues arise with any of murdoch's u.s. media properties, they will. >> tom: the much-anticipated consumer finance protection bureau will open its doors later this month. the woman setting up the agency, elizabeth warren, said the agency will begin overseeing the nation's biggest banks on july 21. specifically, it will look at how banks with more than $10 billion in assets comply with consumer finance laws. the bureau was set up as part of the dodd/frank financial overhaul passed by congress last summer. >> susie: when it comes to finding common ground in washington, tonight's commentator asks, what does it really mean to be somewhere in the middle? here's tim kane, resear

, the parent company of fox news channel, now, just about all of the divisions of newscorp have beenby our fellow media brethren for this scandal and perhaps, at least some of those divisions, serbed it, but wendy got some positive news. >> and it was a fairly possible or thecle. >> who can argue she completely nailed that guy like a wendi deng action figure. >> she was facebook page. she was tiger mom and most women would have done if their husband was facing assault like that. she didn't waste a seconds. >> one of my friends, things don't work out with my wife, i'm getting myself a wendi deng. >> it's a shame the cameras didn't follow her, apparently after she gave him a sock, she continued to pummel him he he was led out to the room and went tenderly back to her husband and took a little of the foam off of his shirt. and that's what i want behind me in my corner when somebody's beating up on me. >> jon: what about the scandal itself, the hearings as i understand it continue. they have been expanded to include social mediaen that sort of thing. does the story continue. >> i think t

separately, newscorp today withdrew its offer to spin off sky news if the b. sky b. deal is approved. >> susie: while washington is focused on the debt debate, tonight's commentator wants to have a bigger conversation about growth. he's glenn hubbard, dean of the graduate school of business at columbia and former top economic advisor to president george w. bush. >> our current national debate over fiscal austerity masks a conversation we need to have about growth-- to raise incomes and create jobs. faster growth doesn't just happen. a supportive policy environment is needed. we need to encourage participation in the workforce and to provide education and training that match the skills required for today and tomorrow. the productivity of our workforce also depends on the plant and equipment and software businesses have. we need tax reform to promote that investment. growth is powerful. at a 3% growth rate that we can achieve over time, average incomes will double between a baby's first birthday and 25th birthday. that is, the average income of about $45,000 today woul

newscorp is an entertainment company.cts that entertainment executives are anything other than rapacious. in the news business they can't stand the murdoch name and the pressure on them. the problem is how do they sell newspapers. there's no market for them. they will get rid of the news organizations in the uk first and then in the u.s., the "new york post" loses tens of millions of dollars a year. fox news, i don't know. leveraged buy out between roger ales and various republicans. "wall street journal", murdoch overpaid for that. at the end of the day this is an entertainment company. >> interesting. who is the next to fall in the scandal? >> well, the sewage waters are lapping at the guccis of james murdoch. now that rebekah brooks rebekah brooks and his trusted allies gone. his son is where it goes next. he was responsible for these properties in london at the time. rupert and james and rebekah brooks rebekah brooks will be testifying before parliament this week in the uk. someone asked me today from cnn how to descr

>> the left has been out to get newscorp, especially fox news channel and the murdoch family for years. >> murdoch, who owns it, has apologized but for some reason the public, the media, keeps going over this again and and again. >> the piling on. s. >> this is the biggest case of piling on since the last rugby game i saw. (audience reacts). >> jon: rugby, by the way, if you're going to kiss rupert murdoch's ass with a reference, at least call it aussie rules football. (laughter) anyway, i thought you were going to say the biggest case of piling on since common read a poem at the white house. but... (cheers and applause) maybe your competitors are taking an unseemly amount of pleasure. but perhaps they don't have fox's finely tuned sense of pro proportionality. they don't have the ability to spot stories of real criminality and import, like the crimes of, let's say, npr. >> the national public radio executive caught on tape in a bigoted hate-filled rant. >> juan williams fired by npr for saying he gets nervous when flying with muslims. >> the upheaval at npr reached its zenith today. >

shares of newscorp moved higher during the testimony. they finished the day up 5%, closing at 15.79. >> tom: very activelyl traded, really a broad rally today. let's take a look at tonight's market focus. stocks saw strong buying throughout the day thanks to earnings, thanks to positive housing numbers and hope for movement toward a deal on the debt limit. let's roll out day's trade of s&p. the s&p spent the entire session in the green, breaking out of its morning range in the early afternoon. that's when the president spoke about supporting a new debt- reduction plan. as we mentioned earlier, technology stocks led the way, even before apple's earnings results. i.b.m.'s better-than-expected quarter last night helped make it the best-performing dow industrial component today, rising more than 5.5%. how about this breakout? that puts i.b.m. at a new all- time high, jumping on better than twice its average daily volume. other dow gainers included microsoft and intel, each up at least 3.5%. couple of tech giants. microsoft earnings are thurs

. >> tom: the scandal surrounding rupert murdoch's newscorp has spread to the u.s. the f.b.i. has opened an investigation into whether murdoch newspapers targeted the phones of 9/11 victims. it comes as rupert murdoch and his son, james, have agreed to testify before a british parliamentary panel. next week, the group will look into phone hacking and bribery by employees of newscorp's british newspaper empire. today, rupert murdoch says his company will recover from any fallout. >> susie: small businesses are often called the engine of the nation's economy. that's why tonight's commentator believes it's key to teach the nation's kids to think like entrepreneurs. with tonight's "kids and cash," here's jack harris, president of junior achievement of georgia. >> for generations, we've been taught to believe in the american dream-- owning a house, buying a car, living the good life. but this generation of kids could be the first that might not do better financially than their parents. that's why it's so important to teach business to children at a young age. at junior achievement,

she resigned last week as head of newscorp's british newspapers. back in this country where the clock is now winding down toward a possible government default, the house of representatives spent most of the day debating a republican plan to cut trillions of dollars from the federal budget. there is only one problem-- all sides concede that even if the bill did pass the senate, too-- and that's a long shot-- it faces a certain presidential veto and will never become law. so why do that when time is short? here is congressional correspondent nancy cordes. >> reporter: the house republicans pasted their answer to the debt ceiling crisis without democratic support. >> i'll bet you cash money that it ain't going to become the law. >> reporter: conservatives call the bill cut cap and balance because it cuts spending this year and caps it at 2005 levels. >> the time has come to make any increase in the debt ceiling contingent on sending a balanced budget amendment to the states. >> reporter: democrats call it a one-sided approach that wastes time at the 1

. >>> breaking news on newscorp. the media conglomerate is shutting down its news of the world tabloid saying this sunday would be the last issue of news of the world. >> can we say with certainty that these hacking practices were limited to news of the world? >> i think that's what the market is worried about. i think that's what investors are worried about. we don't know. >> at this hour, we really don't know just how far reaching the scandal that rocked rupert murdoch's media empire will be, but tonight the fallout continues. there will be two official inquiries into the phone hacking controversy that led to the demise of one of the planet's largest newspapers, british tabloid, the news of the world. murdoch hire apparent james murdoch pulled the plug on the 168-year-old paper earlier after more allegations surfaced. thousands of cell phones have been targeted by murdoch's deputies, including the voicemail of a 13-year-old murder victim as well as the voicemails of families of british soldiers killed in action. th

searches for murdoch are up more than 18,000% as newscorp abandoned its multibillion dollar bid to buytish satellite broadcaster bskyb. the web has been buzzing for more than a week about murdock ever since the allegations of hacking and bribery by employees of the british tabloid "news of world" surfaced and murdoch shut down the 168-year-old paper. lookups for rebecca brooks shot up in the wake of the british prime minister's call for her resignation and the announcement of a public inquiry. another international story captivating folks here at home is the action at the women's world cup in dresden, germany. according to fifa, more than 29 million women around the world play soccer. and if searches are any indication, this tournament is sure to light an even bigger passion for the sport in the u.s. as team usa heads into the final match on sunday against japan, players hope solo, abby wambach, and megan rapinoe are the most-searched team members right now on yahoo!. >>> now to hollywood news and the harry potter frenzy. fans are getting nostalgic at the series draws to a close with t

it seems to go all the way at the top of newscorp. i understand we just lost dan. we're going it try to get back to dan as quickly as we can to bring you the very latest. i understand now we have dan. dan, can you hear me? dan? can you hear me? >> reporter: yes, i can hear you fine. >> dan, tell us about how high up this goes? we understand that now murdoch himself is expected to explain this mess to parliament? >> reporter: well, i think that the kind of million dollar question is, you know, how high up does this go? did james murdoch know about all this nefarious practices in news international? he has consistently maintained he knew nothing about it at all be shgs and equally rupert murdoch his father and his boss also says he was completely unaware of what was going on. now they are going to be asked those very pointed questions by politicians. if the politicians get their way here. they have called both james and rupert murdoch to appear before a committee of politicians in the building behind me. often these committees can be very fiery affairs with mps, memb

shareholders also getting out of the paper's parent company, which is newscorp. its stock price fell 5% on wednesday. did pull back as you see there. but ended the day down more than 3.5%. investors voting with their feet, as well, charles. >> it's fascinating to see the business world and the political world really moving together on this. and as members of parliament here in the u.k. agree to launch a public inquiry into "the news of the world" alleged hacking, showing prime minister david cameron, and the culture secretary on either side of rupert murdoch. the pressure is rising on the media mogul. it was britain's worst peacetime act of terrorism. but now, there are concerns that families of those killed on 7/7, in 2005, were also eavesdropped upon by the british tabloid, "news of the world." graham lost his son, david, in the attack. and says his phone may have been hacked by reporters. >> the thought that somebody may have been listening to me begging for david to phone home. i thought we were in a dark place and i didn't think anybody could make it darker.

six years ago, newscorp bought it for $580 million. we look more closely at all this with jessi hempel who follows the tech world for "fortune" magazine. and josh bernoff, a senior vice president at forrester research and the author of two books on social media. josh bernoff, let's start with you. are we watching the inflation of tech bubble 2? >> i certainly think there's no rational way to understand these valuations. i want to be clear here-- social is extremely exciting. there's a lot of business perspective, a lot of optimism that goes along with it, but i think these valuations are based on where people think the next buyer will come from, and not on where the actual revenues of these companies are going. >> jessi hempel is it a little different this time in that some of the companies we are talking about actually do have revenue streams and do make money? >> that's exactly right. i agree with josh. i think that it's impossible to explain exactly what's going on here with the exuberance, but this is not the first bubble. and i th