What type of fungus or bug is this?
The insect that is causing damage is the white wax scale. The mature female scale is capable of laying many eggs which are pale pink in color and can be seen when you squash the wax. The eggs hatch and the crawlers move onto the leaves and stems to feed. This is the best time to treat with Neem Oil. Treat in late spring/early summer. After you spray the scale do a follow up treatment 10-14 days later.