for more on that and all your early business headlines, we're joined by steve sedgwick at the london headquarters of cnbc. hey, steve, good morning. >> reporter: dorng to you, dan. the numbers will look pretty awful. down approximately around 36% for the s&p 500 on average. but its current trading and outlook everyone will want to look for. on the corporate side of things. big companies as well. ibm, marriott, harley davidson and the owner of cnbc, general electric. we're looking also at economic data as well. national association of home builders releases its housing market for july on thursday. fwri, the commerce department will post numbers on numbers in june. also retail sales figures and industrial production as well. one company is goldman sachs as well. numbers will be less than a year ago. we're looking for a really strong quarter. 3.54 a share in terms of net income, just underlying the strngt of this investment bank. despite that, though, the nikkei over in japan fell for a ninth straight session. some good news for consumers. u.s. gasoline prices have fallen to #$.56 a gall

for more on that and all your early business headlines we're joined by steve sedgwick of the london headquarters of cnbc. steve, good morning. >> reporter: good day to you, lynn. really good numbers from a couple big players at the start of the earnings season. really giving the markets a bit of a shot in the arm. let's start off with goldman sachs. much better than expected figures, earning $4.93. better than expectations of $3.39. of course on monday they had already received a big upgrade from meredith whitney which sent the stocks higher. intel with fantastic numbers really. shares up 7% after hours. they're closely watched target top estimate by a long margin. but the outlook sent their shares to the highest level since october and, boy, the rest of the sector. some remains pretty tough out there. that led to bigger than expected retail. inflation at the producer level. if you strip down gasoline sales and rebound in autos, actual .2 of 1%. also, we're looking at 1.8% rise in wholesale prices. that is double what analysts had expected and the biggest gain since november 2007. elsewhere, gen

our steve sedgwick sat down with bp's ceo earlier this morning.isa bojesen has some of the highlights wncht did he speak to the ceo earlier, it seems the market right now is pushing bp loe, not just on the back of the actual figure, the profits drop but also on the back of the confidence figures on your side of the pond, of course. bp lower by 30% or so. they have made good progress on cost. they're still not cash flow neutral. that's one of the issues. $6.7 billion operating cash flow is being offset by $5.2 of kpex and a dif dent payment. but if the price of oil that could come up for discussion. as you were saying though, steve sedgwick, my colleague, sat done with tony hayward, the ceo of bp earlier and talked to him about the change of administration and how that changes bp's perspective what do they want out of the obama administration was the question he led off with. let's take a listen. >> there has been a change in the way in which the u.s. administration is looking at energy, energy security and climate change. there's no doubt about th

for memory on that and all your early business headlines, we're joined by steve sedgwick from cnbc's london headquarters. >> good morning. very good rally. the dow jones was up 185 points. it has to be said in relatively thin volume. goldman sachs got a shot in the arm from meredith whitney, who has been quite bearish on the financials for a while. she's pretty positive on the earnings which come out of the group in the session. cnbc also heard from meredith whitney personally, who said that bank of america looks inexpensive given the assets on its book. elsewhere, johnson & johnson, intel, they'll all be reporting. other data, producer price index and business inventors as well. ahead of the session, the asian markets managed a very good performance. the nikkei in japan was up 2%, that's 184 points. not all good news though. elsewhere, cit, the number one lender to small and museum-sized businesses is holding talks about receiving emergency federal assistance. parents are spending less money on back to school gear this year according to a recent survey. the average family with child

. >> i'm steve sedgwick. in europe, german consumer morale rises to its highest level in over a year. >> i'm bertha coombs. in the u.s., investors turn their attention to economic data, including the second quarter gdp. >>> hello and welcome to cnbc's "worldwide exchange." let's start off by looking at the markets. the ftse global 300 index continuing to power ahead. now trading at best levels of the session, up 5.3%. the proof is in the pudding. let's look at the european individual bosses. we've got gains across the board. last time i looked the ftse was a lager. the german market up 0.9%. and the foreign exchange markets look like this. we have the dollar-yen trading up 0.2 of 1%. let's get out to christine. good morning to you. >> steve, good to see you. in asia, corporate earnings providing upward momentum. take a look at some of the boards in asia. in japan, the nikkei is up 1.5%. the kospi up 1.4%. the shang hang market up as well. sichuan expressway lifting things as a whole. property sectors are gain

steve sedgwick is in italy with the latest and perhaps, steve, a report card on what did or did not get done. good morning to you. >>> good morning to you, carl. very interesting hearing that debate about sdim ewe husband in the united states. that is exactly the same kind of debate we're seeing here in italy. not amongst the corporates, but along with the world leaders as erchblgs. you have some people that started this week talking about the need to discuss exit strategies. but that seems to be very much to one side and people are very confused. bob zoellick was talking to me yesterday from the world bank saying i it's premature to talk about a second package. people are very confused on that sh. they're confused on all the other big issues and the progress that we've made. we saw is climate debate earlier in the week. baring in mind the developing neighs decided not to sign up to concrete levels this time around. what else have we got on trade at the agenda? trade, as well. i was speaking to the boss of the world trade organization yesterday. he believes we are moving fast and everyo

steve sedgwick is in l'aquila with more. hello, steve. what can you tell us? >> reporter: larry, those issues certainly will be on the agenda. coming into this meeting there was controversy about it. it's one of the most controversial build-ups to a meeting i've ever known. basically, controversy about silvio berlusconi himself, his private life about his government policy, whether he should be leading the g-8 itself anyway, about the relevance of the g-8 as a forum. of course, it doesn't include china, it doesn't include the powerhouse of india and brazil as well. some are saying the g-20 is about a forum, and others are saying the u.s. thinks it's too unworldly. too many powers giving their five cents worth to the debate. but now we're here. it's a meeting, like a reality check, really. i don't know if you remember back in london in april, gordon brown and president obama were saying about how we had these trillions of dollars we're pumping into the economy to save the world. now here we are, the markets are falling and the same questions abound, questions a

. >>> right now an early check on business with steve sedgwick live in london. ning, steve. >> reporter: good morning to you. it can't be right, can it, two days of good news in a row? the markets are trading on a high due to what we got out of the states. goldman sachs numbers contentious but very good. after the bell, great numbers from intel. really crowd pleasing, great outlook from the companies boosting all the techs and boosting the u.s. futures ahead of the session. as far as the day's session, amr as well getting some data including the key june consumer crisis. by and large a positive session so far. back to you. >> steve sedgwick in london, thanks so much. editor in chief of "the daily beat" the great tina brown will be here. plus, mika, brewing up a pot right now of must-read opinion pages. mom vo: i can't do his history report for him. mom vo: my job is to give him everything he needs to succeed. mom: that's why i go to walmart. vo: find all the brands those other stores have but for low walmart prices. vo: like dell, hp and toshiba. save money. live

let's check on business with cnbc's steve sedgwick live in london. morning, steve. >> reporter: good morning to you. i think some market watchers are actually disappointed. it doesn't look like if the deal comes through, there will be any money changing hands. it will be more of a collaboration more than any form of ownership change, but it gives them a chance to go up against google, which still has about 60% of the engine search market. elsewhere, markets are on track certainly in europe, we fell 1.3 to 1.8% and today we're up by a similar margin. a lot to watch out for in the states, including durable goods orders and the five-year paper auction, $39 billion worth. this week the government is raising a total of $115 billion u.s., which is part of this perhaps $2 trill yoion worth of refinancing this year. you want to be looking at that after the disappointment yesterday with the two-year auction. in europe, s.a.p. is the world's biggest software group, going up against oracle, numbers better on the operating margin front and giving us outlook, and

steve sedgwick is once again on the ground. e, there's said to be mixed views of how effective this g-8 has not or hasn't been. >> let's address that first issue first of all that you mentioned about the dollar. according to gordon brown, there was no real debate about the role of the dollar. it simply was not on the agenda this time around. and with hu jintao not here, it was unlikely it was going to engage more traction. the chinese have $2 trillion worth of reserves and 70% of that is stuck in the dollar, whether they like it or not, for the short-term. this wasn't just a g-8 conference. it was g-el plus g-35 and today, the key development issues has brought in a whole load of countries between the imf, the australian countries. was it successful or not? that remains to be seen. they al pretty much came up with the same saying in terms of -- >> well, no, that we have goot a process. we have pittsburgh in september and we have this neeth, as well. and we have to key the dialogue going on all of these issues. yes, there's disap

steve sedgwick is in italy with more. hey, steve. >> hi, rebecca. we haven't really got started on this meeting yet and beyond a reasonable doubt it's incredibly controversial for a whole host of reasons. none the less the wells elite 3,000 plus journalists in a town that is essentially locked off security zone because it was the sign of an earthquake earlier in the year when over 300 people died. the old town is absolutely dead and everity. people are concerned because it doesn't have the facilities on the ground to host a major meeting. controversy, also, about his private life and the roles that his government is playing in the global economy. controversy about the g-8 itself as well and whether it is still the right forum to discuss world issues. of course, we had a very successful g-20 in april. in london gordon brown, what successful that was. president obama will be hosting one in september later this year. so there are question marks about what can be achieved today. some of the earlier ambitions of president obama including getting somethin

steve sedgwick has made it into l'aquila, which is no easy feat, and he joins us now to tell us exactlywhat's happening. good to see you. >> reporter: sue, really good to see you. it's a wonderful evening here in l'aquila. we actually got here, eventually, a 147-kilometer drive from our base, but let's learn what we discovered on the first day. first, chaos italian style works. despite the fact that this is an earthquake-ravaged zone, most of the old town behind me is empty, it is a ghost town, but we got here, the world leaders got here, the 3,000-plus press got here. so, silvio was right, we were wrong, it worked. second point -- g-8 is a symbol, as exemplified by the fact that the chinese have gone, and they're not even in the g-8. they're actually part of what's called the extra g-5 of the bric nations as well, but that's one of the headlines today, the chinese have moved on. does that mean we're not going to get anything substantial from the talks? i'm not sure. there's still a big delegation here. we learned that the g-20 back in april wasn't quite the triumphant moment gordon bro

singapore and first let's check in with london and get a handle on some of those earnings with steve sedgwickeve, good morning. >> good morning to you. a lot of numbers hitting the wires including astrazeneca. they've come in with blockbuster numbers. they've beaten the street by a long way. second quarter core eps figures as opposed to expectations of 1.4137 crestor is a stat. 30% plus increase in sales of this drug. that means total sales of this company,ed $7.59 billion. royal dutch shell, one of the top five oil companies in the globe, 70% dedecline in their figures. yet analysts are saying these are blowout numbers and that's the environment we're in at the moment. renault, siemens, and this one is important because it's the world's largest chemicals company. it is currently trading, as you can see, down 4.4%. i just want to tell you what their chief financial officer said. he said we see no signs of a sustained upturn despite stabilization at the lower levels. out to christine in singapore. >> hey, steve. asian markets mostly higher today. investors jumped in to do bargain hunting. ed w

the kick start o of ee business ek, of cose, begins with cnbc's steve sedgwick live inn london. good momorng,g, steve. >>> yeah, gd d rning to o you. these markets certainly revving up over the neext fewew days. prucucerprices,e have retailil sales igures, cpi for t t inflation numbers and a a lotof corprpatate cluding g geral elelecicic, e owwrr o cnbc, goldman chchs, intel, a all reporting so we'e' h have a reay good second q qrter gauge on how we're lookokin f f theeest of thyear. elsewhere ththe european markets etty flat after a a horrible session over in asia, thehe niki down yet again aftft a couple of weeks in aow it's be down. dividual storyththiside of the atlantic as s we,, ububs arar, u,, of urse, broiled in a b bate with t papament of justitice apparently thehey' a ao for a dedey y in oil wiwith t the miai judge juststoo tyy canan wk k t their r diererens with the doj. sewhere mcdonald's is moviving their headquararte f fro london toto neva. the iellectual prerty tax ririgh a a better overrn switzerland ththanhehe uk andd ford, its rorope vehicle sales, m may t theve

steve sedgwick joining us from l'aquila, italy. >> just reiterating, if you're interested in the journal's take on alcoa, the first line is investors tempted to draw in the conclusions will commodity nand from alcoa should resist. one of the reasons thing have improved is because of what we know about china, restocking industrial forecasts in the first half. the other big problem for aluminum is there is way too much of it around. there is more global production capacity still around for aluminum than a lot of other metals. >>> corporate news today, google announcing that it's developing an operating system for pcs based on its chrome web browses. the move is a direct challenge to microsoft. it's called chrome os and it ll be available in the second half of the new year. google says its operating system will be initially aimed at notebooks which are compact, low-cost computers. there is an operating system for mobile phones. sometimes don't you in your spare time think about -- creating my own operating system? >> just jot down a few notes of code, of open source code? >> i've started one.

let'set saight to steve sedgwick inntata and he's s giving us the pdpdes. >> reporter: good d moininto you agaiain,bey. wean put aside t the g-8, we stopped that bit. noit's a bona fide w wor etetin you havevehehe b powersshere all without the presididenofofhihin but brazililia,,indians, chininee delegation, sosout ricans, all those key natition stll showing some g groh in thee rld but we all needed t to get boboarififueer going to see any progress on climate.e. this accord w wesaw yesterdayay from the 8 about t the massivev cuts, 80% cut by 2020,, within 4 hours we're seeing thehe cracksn it because bann ki-moonon sd d g-8 has s nogogone far engh to close thee gs between emerging world and the delelop n nioions as well. obama's tutuededround and said, look, thereressstill timeto get a a al done. totodaisis h day in the spspliligh of course, hihisirst g-8,he g-g-20as h his firstigig confereren internationally.y. that was back in april. then there was so muchch hope then. well, now he's brokering a deal, ping to stay with t m mor economomicballrooms, 17 othe

. >> thanks so much, steve sedgwick.ime for the news. >>> and president obama is brushing off a delay in the timeline for health care reform, even as a new poll suggests support for the overall is eroding. house lawmakers will vote on a compromise plan in september, although 42% of americans say the president's proposal is a bad idea. >>> this morning's "washington post" is announcing the house sets to approve $17 million in military equipment. defense secretary robert gates says it's not needed. according to the report lawmakers are asking or behalf of political contradiibutors wh represent defense contractors. >>> suing the wife of bernard madoff for $45 million to compensate victims of his massive fraud. according to the suit, ruth madoff received tens of millions in dollars in fraudulent transfers over a six-year period of time. >>> coming up next, we've got the president of the national urban league marc morial will join us. also the must-read opinion pages. >>> you're watching "morning joe" brewed by starbucks. we