it is any second for amazon and alphabet. we'll bring you those numbers that may move the markets tomorrow as soon as they cross the tape here. good to be with you. i'm connell mcshane. lauren: i'm lauren simonetti in for melissa francis. this is "after the bell." the

charles: in an amazon world where everything is cheap, everything gets lower and lower, maybe we're in a situation where the focus is not on what we were focused on when ronald reagan came into office? >> i think we would at least try to remember some things. if this is an environment which you have to cut rates when we just saw in some revised wage number that were out yesterday, all of you were reporting on it, 5% clip in 2018. 4.7% revised in 2017. wages and salaries taken together running at a 5 1/2% clip in june. the savings rate at 8.1%. i'm just saying i'm looking at all this and i'm saying, if that is an economy in need after little goosing on the part of the federal reserve, man, that is not the economy that i remember in the past that would require it. charles: maria, what powell is saying what he has said he wants to preserve those numbers neil is talking about. why be the fireman, why let this thing fall apart to try to put it back together if they can take steps, a, lou, to compete in the global economy against other central banks? and b, keep the prosperity going? on janu

it's oil, nat gas, amazon, right, cheaper products, you know, robots. so there's a lot of forces in the u.s. economy and we know that the trade fight is tamping down business investment. i don't see weakening the dollar improving business investment. i think the fear is that you raise rates, to dagen's point, you will have more long-term capital management. neil: it will continue the froth. >> i think you're right. >> that trade fight probably has a lot to do with what will be happening today and what will continue to happen. all the indications we have from the talks in shanghai is everybody expected, is we are really going nowhere fast. i don't think anybody expects us to be going anywhere fast. neil: the longer this is unresolved, the more rates would probably come down. >> but i think there's motivation on both sides. everybody keeps talking about how china's trying to put this off until after the election. i have been seeing, i keep getting indications from the president himself in his tweets and comments that he's maybe motivated to do the same, t

she used to work for amazon web services. a tipster eventually contacted capital one, said you know there's someone on the internet right now that's bragging they have done this. turned it over to the fbi. the fbi was able to very quickly find the suspect's address. boom. there you have it. she's now facing charges of computer fraud and abuse and could spend five years in prison. stuart: i don't think the security of the cloud is at stake here. ashley: no. stuart: what's at stake is your employees. ashley: yes. stuart: if you've got one disgruntled employee who is doing this for whatever reason, look at the damage. 106 million people. susan: they put a number to it already, capital one says it will cost $100 million to $150 million in terms of cost. compare that to equifax, over $500 million. much broader, by the way, number of customers impacted there. stuart: okay. >> 200 years ago -- they took down one employee took down a 200-year-old bank. stuart: how do you find the bad apple before you put them to work? the ten-year tr

but just in the way the story is developing, she had worked for amazon cloud services for a number of years. she's clearly mentally having a lot of battles. one thing that let the fbi find her home address was she had shared a vet bill, i guess her cat was sick, so it had her home address, her real name and that's one of the reasons they were able to find her and arrest her. maria: wow, incredible story. >> it just shows somebody very much on the fringe but who wanted some sort of acceptance if you like from her peer group. but we know with equifax, for example, which went through a similar hack, they paid $700 million to settle a lawsuit, i should mention a class action lawsuit was filed yesterday in dc, someone in connecticut who has been affected has started to gather the troops. >> you know, maria, what is chilling in this case, a lot of hacks we think of foreign agents or people overseas. it's a reminder that for big companies, you've got all kinds of developedders coming in and out, -- vendors coming in and out, and a determined hacker who has an inside track, it's very, very ha

she is a former worker at amazon's cloud decision. the bank tells fox news that every current and previous capital one customer and anyone who has applied for a credit card at capital one could also be affected by the hack. cheryl: a senate panel is holding a hearing this morning on the federal aviation administration, particularly oversight of the agency. the senate appropriations committee expected to discuss the future of the boeing 737 max. the max has been grounded since march after crashes that killed nearly 350 people. boeing last week posted its largest ever quarterly loss. lauren: tariffs are mentioned in many of the conference calls held by these major corporations reporting their quarterly results. in fact, treasury secretary steve mnuchin and robert lighthizer are in shanghai, china right now for day two of talks with top chinese officials as president trump is ratcheting up pressure on china to quickly reach a deal. cheryl: jessica stonies at the white house with more. good morning, jessica. >> reporter: lauren and cheryl

we got a statement from amazon. it says amazon web services was not compromised in any way and as they put it functioned as designed. for capital one this lawsuit could be the beginning of its troubles. the company estimates that the breach could cost them up to $150 million. neil. neil: grady, thanks. a new probe of parents using a legal loophole to get college financial aid for their kids. jackie deangelis has more. >> nice to see you, neil. outrage over a new college admissions tactic concerning financial aid. "wall street journal" is reporting that the education department is investigating a loophole where wealthy parents transferred guardianship of their child to qualify for scholarship of their grants. through the transfer, only college bound earnings, their earnings savings are considered. still legal, no, but it reads as a whole lot of ethical questions. some college consultants are advertising they're able to save families money without specifically saying what that methodology is in the marketing materials

amazon is huge in the cloud. the stock is down 8 bucks, 1903. >>> facebook says its digital currency, the proposed libra could help law enforcement. do we have anymore on this, why they're saying that? susan: basically facebook is trying to sell libra to regulators saying it is okay people thought and do say cryptocurrencies is a haven for money launderers, i will is lit activity, drug dealers as well. david marcus, the head of colibra and libra at facebook says if you look at blockchain technology which is behind crypto, it's a public ledger of transactions, you have to put information out there in the public. using that information you can trace people, to help law enforcement track down who is using this, the bad guys in all of this. but of course, you know, we heard from the president and saying that if you want enact libra you better get a chart, a new currency at play around the world. stuart: before we close out this block, i do want to thank my colleague and friend mike murphy sticking with us religiously

so she knew amazon's system very well. in this case, where capital one had a potential breach in the firewall, she was able to get in and she used the screen namer ne eratic. there was a white hat hacker who fight ifigured it out and got ih with capital one. as you go to the cloud, the risks are increasing. here we have one for capital one. the ceo addressed it, saying he apologized to everyone, doing their best to address it. maria: look at the impact on the stock, down 5% on capital one. >> this is serious, 100 million people. maria: normally you see all of these hacks from china and russia and you understand what they're trying to do, try to infiltrate our systems. but an american citizen just hacking, a hundred million accounts. >> it's the new face of criminality, the jesse james of this century, i guess. >> we saw with equifax finally a number put on the cost to the company when they had a monster fine for having allowed a lot of data to get out. i think this is no longer sort of a sin-free world. now regulators are

how do you break up amazon which is underpinned by cloud computi. google chose to work on -- historically it's rumored they're working on a censored version in china. they're inviting scrutiny and it's no surprise we're seeing -- charles: it doesn't help that they sort of kicked our department of defense to the sur curb and -- >> they're not working andre gone fly. that stopped -- on dragon fly. they stopped that. >> they were working with the chinese government. charles: thank you both very much. president trump just tweeting on the. u and china. the eu and china will further lower interest rates and put money into the systems, making it much easier for their manufacturers to sel sell produs in the meantime. too bad. what do you make of it. >> i think there's -- jack made this point earlier. there's all of this negative yielding debt around the world. there is slowing economies around the world. our economies are cup weld the rest of the world. -- coupled with the rest of the world. central bankers have to behave similarly if they want to stimulate

>> we have certainly seen amazon and other large retailers that are taking advantage of the urgency that the consumer wants. the consumer today wants whatever they order to, whichever mode, it doesn't matter. but at the time that they want. so they have much more control over it and a lot of these large -- have led the way but something anticipated and we've ordered 44 additional aircraft over the five-year period to make sure we have the capacity. maria: the story of the transformation of ups. it has been real positive.you have been overseeing that. where are you in that process? >> we are right in line with where we wanted to be. we decided a few years ago and this is not the first time ups has had to transform. we started as a messenger service in 1907 in seattle then the -- we've done it for five times. we've had such a good career and we are so proud of our legacy. but we knew that to have continued success like we have had in the past, we have to be willing to change with the times and so this transformation doesn't have a beginning, it doesn't have an end. it's a continuous transf

so what does this all mean for apple, amazon, facebook, google and the rest of silicon valley? we're back with kim strassel, jason riley and bill mcgern. bill, let's take the facebook agreement first. what do you make of it? >> well, it's being made to be a bigger thing than it is. the ftc i think narrowly dealt with facebook's failure to comply with restrictions about telling -- not misrepresenting how they use data and how the data was shared. paul: it was a previous agreement. >> a previous agreement that they violated. i think they found the board didn't know or something. in some ways, i think it's a -- it was a modest response even though the fine was huge. i mean, a lot of people wanted them to go further. paul: for facebook, $5 billion is pocket change. >> right. that's the a argument. look, do we really want the ftc making these decisions or do we want congress to grapple with it and if they're going to set privacy rules, let them set clear privacy rules. in some ways, i'm gratified the ftc was modest. a lot of people are disappointed because they say this is pocket ch

lauren: amazon is the exception here. for the week all three major averages ending in the green for the third week in a row. >>> at the white house president trump is about to sign a safe third country asylum agreement with caught maulla. we will bring you breaking headlines from the president as we get them. connell: fox business team coverage of all this. kristina partsinevelos on floor of the new york stock exchange. watching those records. jackie deangelis in new york with the newsroom. with the news breaking at white house as usual, blake, let's start with you. reporter: president trump pulled out his favorite punching bag once again hitting federal reserve as we got the gdp reading at 2.1% for the second quarter of this year. the president tweeting the following after that reading saying quote, not bad considering we have the very heavyweight of the federal reserve anchor wrapped around our neck. almost no inflation, usa is set to zoom. now the president's top economic advisor larry kudlow suggesting on "wsj at larg

amazon saw a record run of earnings come to an end. profit margin compression came from $800 million in spending during the quarter. that was to improve the business. things like delivery, infrastructure changes, amazon prime makes one day shipping the norm. aws is the cloud, it is the growth part of the business. it is the shining star. 37% growth for the quarter. not so bad. lower than first quarter, 41%. twitter hitting it out of the park as well. the stock sharply higher. the president's favorite platform doing well, neil. neil: indeed. that was a surprising there. i guess the big goal is that that people, more people getting involved, staying a little longer, makes a big difference. >> it does. neil: thank you very, very much. meantime how is the fed reading all of this? does it necessarily mean given the environment, and given the slowing gdp data we have been seeing, whether blamed on the fed and rate hikes prior or not? are they more inclined to go ahead and cut rates, a quarter point? that seems to be consensus bet end of next

this amazon box is actually a cake. emily mcgwire's husband thought it would be perfect since she gets three amazon packages every week, even the shipping label was edible, featuring the address, one, two, three, four, birthday lane. that's what's happening now. deirdre: that is great, appropriate for a lot of people. lauren: only three packages a week? i've got her beat. bring on the cake. deirdre: the u.s. is set to resume trade talks with china next week. top u.s. and chinese officials meeting in shanghai for the first time since president trump and chinese president xi-jinping agreed to revive negotiations. riley walters with us now, a heritage policy analyst in asian economy and technology. riley, thanks in advance for the time. i noticed as part of the group that's going to be meeting that the chinese trade minister, who has really been absent this entire time, is going to be at the table. he's known as a hard-liner. what do you think this changes, if anything, about the conversation? >> well, with the inclusion o

stuart: what's the story from amazon? deirdre: year on year revenue growth is going to slow but i just want to note it's still at 17%. there's plenty of businesses that would love to have 17% sales growth year on year. as a side note, that is slowing for amazon. you may have the pessimists looking at that. also, they are spending more, spending more to keep us, so their expenses are going higher. i'm just giving you the glass half empty. but the glass half full for amazon is of course aws, the cloud services. they are rocking it. no other way to say it. only microsoft is taking them on with azure. stuart: glad you got that in. thank you very much indeed. 4:00 eastern time this afternoon, that is, watch the fox business network because we're right there with amazon, with google. you get it pronto. see exactly what's going on. >>> as i say, yesterday's mueller hearing in my opinion again, a big flop for the democrats. their impeachment case collapsing. all they have to run on is their socialist economic message. do they rea

all of amazon profits. so it is actually greater than retail now. >> trying to take a bite out of market share, and the big guy oracle microsoft et. great to have you this morning. thanks so much. >> thank you. john freeman coming up democrats divided but maybe not for long what to expect from nancy pelosi meeting with congressman alexandria and numbers after the break. $4.95. delivery drones or the latest phones. $4.95. no matter what you trade, at fidelity it's just $4.95 per online u.s. equity trade. no matter what you trade, at fidelity don't miss your gto experience our most advanced safety technology on a full line of vehicles. now, at the lexus golden opportunity sales event. lease the 2019 es 350 for $379 a month, for 36 months, and we'll make your first month's payment. experience amazing. welcome back i'm maria bartiromo and it is thursday july 25th your top stories right now, 23u6 30 a.m. on east coast first full day on the job for a new u.k. prime minister, boris johnson meeting with his new cab

charles: i wish they would stop amazon selling live christmas trees. that is a hustle for people around the country comes once a year. that is my only personal belief. >> no problem. charles: facebook reporting earnings after the bell today, after getting hit with that record ftc fine. plus mark zuckerberg, their ceo, now has a new rule book to insure compliance but does this order really have any teeth at all? ♪ fact is, every insurance company hopes you drive safely. but allstate actually helps you drive safely... with drivewise. it lets you know when you go too fast... ...and brake too hard. with feedback to help you drive safer. giving you the power to actually lower your cost. unfortunately, it can't do anything about that. now that you know the truth... are you in good hands? (past them because she didn't sknow they were talking to her.g and she would just walk right (deborah) i just could not hear. i was hesitant to get the hearing aids because of my short hair, but nobody even sees them. (avo) our nearly invisible hearing aids are just one re

names like amazon, facebook, if the fangs can't perform, i think the market will struggle. cheryl: facebook was expected to get to the settlement announcement before the close of traying tomorrow, we'll -- trading tomorrow, we'll hear about the $5 billion with the ftc. >> it's a drop in the bucket for a company like facebook. we like to think the settlement means it's settled. when it comes to facebook, it's almost like the nuclear industry was in the '80s, pharmaceuticals were in the '90s, oil was in the 2000s, that's big tech right now. they're kind of public enemy number one. my fear is whether it's on privacy, whether it's all these other issues, that the government isn't over when it comes to regulating and micro managing facebook. cheryl: elizabeth warren coming out and saying she believes there's an economic crash coming and then she said here's what i'm going to do about it, i'm going to erase student debt. >> she's got a plan. cheryl: we're going to offer free tuition. with unemployment at record lows and she talked about manufacturing jobs, i'm not sure where she'

>> comes down to earnings, first we've amazon, may hear more how prime days went u.s. consumers how cloudy business doing after microsoft ibm blew expectations in that part of the business last week second thing facebook albert how well they monetize that data they find new mousetraps to do well with it in ad. >> we hear about u.s. consumer concerns about global xhooern, starbucks mcdonald's reporting lat er part we are getting a good picture what u.s. consumers are doing in terms of -- those businesses, and global growth as well. >> to point on technology earnings, top story in the journal today is that microsoft apple am phenomena facebook made up, almost one-fifth of the s&p total return this year, but, again, that is that is best return for the s&p since this time of the year since 98. >> large-cap names driving it look at other side of the coin small caps doing terribly relative to large caps the question is as investors try to sort all this out are there bargains in this small cap mix. >> or is small caps telling us something that people investing in big cap stoc

stories at big tech earning season kicks into high gear some of the biggest names report hear from amazon and alfa bet will you had fallout from antitrust ageses in trade war with china weigh on the markets hottest sector. that is a big question. iran now blaming national security advisor john bolton after rogue nation season of british oil tanker. how should u.s. respond? take a look. >> here we go. all eyes on robert mueller an highly anticipated testimony this week will he say anything different than he did two months ago and will democrats turn it into a 2020 campaign event? >> and how one study says teamwork can actually be bad for your health. it is monday julynd fbn:am starts right now. ♪ good morning i'm cheryl casone. >> i'm deirdre in for lauren simonetti. >> great to have you here deirdre. monday moving on this monday we have green arrows across the board pickup continues with dow up by 66 and s&p up by eight and quarter and the nasdaq up by 30 and a quarter. >> taking a look at the bond market with tenure treasury yield you can see 2.04%, of course, a lot of that a lot of tr

on the other hand, i tip my hat, he has positioned microsoft so they're breathing down the backs of amazon in terms of the cloud offering, going gang busters, they're also pioneering and making money hand over fist with converting people from buying one-time, perpetual licensure software to converting it into software as a service, they're coining money as far as the eye can see. that cheers investors and finally, of course, they've got that monopoly in office 365. they're skillful in terms of the way their positioning is, no one in congress is beating them up, and it's a sticky product, so that bodes well. maria: sort of been there, done that, right? they were the target of antitrust and everybody else in government back in the '90s. look, you didn't see the kind of performance at sap, you didn't see the kind of performance elsewhere, maybe oracle. microsoft really did -- >> well, that's the story. but what i like about any della is he's no drama, he's not making provocative acquisitions like food stores that are outside their traditional business, you know? he's not going out and trying

they deserve to go under, they could not compete with amazon's of the world. if we are worried about vampires and we should've been worried about amazon, we should've been worried about google, microsoft, all of these were vampires that suck the life and capital out of other competing firms. if we did not have venture capital private equity firms you would not see a machine like this. an iphone that has more power behind the moon landing of 50 years ago. this is an attack on what has made america great and in warren's world she would like to have all the power and the money of the government because they know better than everyone else. >> you make an excellent point, i want to build on that. this is the problem with the democratic party. there is so much pressure to go left, left, left. to be more like the squad and at this point they are coming up with rules and regulations for the sake of doing it. i was on a show and the panelist said nancy pelosi is considered body o moderate. when that is the case you know how extreme the party has gone. there is nothing

kohl's is now accepting amazon packages, returns. i was just talking about retail headline, i was like wow. different story. foot traffic. we'll see. this could be good because of foot traffic. again, you don't know. stuart: okay. right now, i have to say good-bye to michelle and to joel. thanks for being with us. we appreciate it. nice plug for microsoft. you're all right. what are you doing tomorrow? >>> check that big board, please. we have the dow now down 60 points, 27,150. >>> protests against the governor of puerto rico turning violent. police launched tear gas into the crowds. some cruise lines are avoiding the island all together because of the unrest. you can see it on your screens. >>> jon stewart going after rand paul in an interview on fox news, this after the kentucky senator delayed passage of the 9/11 victims compensation fund. bret baier joins us in our 11:00 hour this morning. >>> the house votes today on a bill that would raise the federal minimum wage to 15 bucks an hour. okay. the cbo says that would cost 3.7 mil

maria: yeah. >> because aoc has dna at the crime scene in terms of amazon taking off. maria: good point. all those jobs. a lot of -- >> overlapping the congressional district. maria: there's netflix earnings, the stock is down big this morning, down 10 and a half percent, lost significant number of subscribers in the u.s. first time in nearly decade, blaming downward trend of second-quarter content, the stock is coming down. >> i'm not surprised by this, there was going to be point where there was many competition in the field too, the whole idea of cutting the cord was that your bill should be cheaper, if you're subscribing to every service, they will not end up being cheaper, they are going for content and there's a lot more to choose from. maria: you the behemoth like a disney coming out and putting content from netflix. >> that's certainly an issue and users will see where am i getting the most content for value that i'm getting, they will switch and adjust bills that way. >> viewers have a finite wallet that they are willing to pay for subscriptions and netflix ju

. >>> another amazon story. the europeans, they have just opened an antitrust investigation into the company. this going to hurt them? susan: it's basically they are contending amazon has a dual role as a marketplace provider and also a seller as well. do they use data to basically enhance their own product? how do they set up the default option? why were they using this data? it's a money grab in the eu. they fined google $9 billion over the years. back taxes have to be paid by apple, amazon also. don't forget, taxes on revenue in retro active years by facebook as well. stuart: i'm just tired of this story, quite frankly. nothing ever happens. ashley: once a week. stuart: facebook is under pressure, google is under pressure, amazon's under pressure. the stocks hold up at very high levels. what do you say? >> in the case of europe, the european governments are always looking for revenue. they need tax revenue to fund these social programs and if you are a company with a lot of money, a lot of cash, perhaps they

it's official, european regulators are investigating amazon. they're going to look at whether amazon's use of other merchants' data breached eu rules. it will focus on amazon's standard agreements with marketplace sellers and whether the company uses their data unfairly. amazon says it will cooperate. there was a hit in the stock this morning. it is slightly lower in the premarket right now. taking a look at shares of qualcomm, they are actually moving higher in the premarket, more than 5 and-a-half percent right now. the justice department asked a federal appeals court to pause the enforcement of an anti-trust ruling. justice department says it would be impossible to replace qualcomm's role in 5g technology in the short term. back in may a judge ruled qualcomm engaged in anti-competitive patent licensing practices and ordered the company to license its technology to rival chip makers. we'll see where the court case goes now. in honor of the the 50th anniversary of the apollo 11 mission to the moon, the washington monument is looking more like

amazon owns the day. it's now amazon prime day. so i think it's a really fascinating thing to watch and how we're seeing such a different model. >> yeah, amazon is the 800-pound gorilla. there's some other big players. but the notion that you can take a customer and say here's a great deal and it's called the loss leader, now buy something else. with amazon they're not trying to get you to buy something else. they're trying to get you locked into their system. >> yet they are. i would love to know what the average amazon prime member has spent in the last 24 hours. i'm seeing on social media all of these folks are posting, did you get this deal, did you get this deal and people are buying air fryers and all kinds of things they don't need. dagen: i would like to return the bag of groceries i bought from whole foods on sunday because a lot of it was molded. i'm looking at goldman sachs earnings. looks like a beat, ashley. ashley: let's start with the headline numbers, dagen. earnings per share coming in on a diluted basis, 5.81, $5.

it does not necessarily in a new economy where you talk about trace paternity and amazon because you grow faster, it does not lead to greater pricing power. so you can operate, you have to operate in a global economy. he keeps talking about global growth is slow. let's say he said we will not cut rates, the u.s. dollar would appreciate if you put pressure on emerging markets and the rest of the world in the u.s., if you dropped interest rates 25, i think you can go 50 basis point and i don't think that is out of the question in a couple of weeks. what happens is you keep the dollar contained which is hugely important for the u.s. economy. i think it's a really big dprk . by the way there is no pressure on inflation prayed if you get a little bit for the first time this week. >> we will have to watch. >> we are so far below two. let's say we rented to incorporate who cares. as long as you have economy operating well it is a tumor world, we talk about on your show a lot prayed when you have a manufacturing economy, goods, chemicals, energy. increase inflation and then you have to break