happy barbara -- alibaba is healthier, but alibaba itself is down a fraction. a revenue miss and an overall maze -- miss as well. we were talking yesterday about video gaming being "spiritual opium." that is gone now. yvonne: electronic drugs. you start to see the tone from state media. they are walking back the harshness when it comes to how they described the gaming industry. this is what we have been coming through this morning and seeing -- it is immoral to blame schools, given companies or parents, alone for children who spend long hours online playing games. a collective effort to tackle this issue they are seeing in the society, that is what we have been hearing about today. david: now do you take advantage of this lull, this opening in the cloud? just be ready for a lot of vol. when you look at actual volatility in msci china, keep in mind, you had the revenue miss, and tencent is the other one. alibaba and tencent are 25% of this index. different stories within that. 57 is the level of vol. the last eight days or so, five of those days, we have seen a

let me get started with alibaba. we have their reaction when it came to sexual assault allegations. >> that's right. this is an important story. obviously internally for alibaba, but across corporate china as well. there are other cases. some might argue the need to move came a little bit late in china. a celebrity, chris lu, is under investigation for allegations, now this story that emerged over the weekend, and fairly quick action at least, from the employment side, as well as condemnation for the alleged incident coming from the top ranks of alibaba, including the ceo, who put out a statement that was dated this morning and also saying before dawn, so he was up all night crafting this message in deciding to fire this employee, who is accused of sexual misconduct. rape is award they are using. intoxication and alcohol was involved in the company trip. an alleged rape over a coworker. they fired that employee as well as two other managers of his have resigned, as well as the chief people officer, who which i assume

haidi: alibaba hotels exposing the toll on the campaign against the online sector. shery: this is the picture across wall street. we see u.s. futures muted under a little pressure at the moment. this after the s&p 500 rose to another record high. we did see stocks pressured in the early part of the sector given that new york city is asking for proof of vaccination for some facilities. the delta variant concern really pressuring the market. still, we managed to rise to another record high. for goldman china indexed seeing its worst day in about a week. proved climbing after falling two a one-week low. again, those delta variant concerns really reaching the market. take a look at some gaming companies in china. state media in china talked about the spiritual opium of games. we thought tencent take a hit, and all of these chinese avr's following, but really, it seems to be about hot money inflows. those are the areas you want to stay away from. tencent, for example, has had antitrust issues. still, they continue to see venture capital investments going in and regulator

take a look at alibaba shares. switching on the board, we are watching casino stocks is the cow government tries to manage the outbreak by requiring travelers departing the city to deliver negative covid tests. over in singapore, flipping the board, keeping a close eye on ocbc shares. the bank is boosting their dividend after deliberating profit -- delivering profit. the shares have been outperforming many. haidi: coming up on bloomberg markets: china open, the cio talks after the alibaba revenue miss in the ongoing regulatory tensions. he sees the lower tech valuations are being on track for points. pmi also on cap. we will get standard chartered joining us for the breakdown of those numbers. that is it for daybreak asia. we are looking ahead to the start of trading in hong kong, shanghai and shenzhen. stay with us for bloomberg markets, china open. this is. -- this is a -- this is bloomberg. ♪ (announcer) back pain hurts, and it's frustrating. you can spend thousands on drugs, doctors, devices, and mattresses,

mike, show us. >> yes, so we are taking a look at alibaba here. obviously what has been pressuring this company all of the chinese companies really is probably familiar to most bureaus, we should go over it one more time to be sure we are talking about china's security and regulatory scrutiny a lot of these companies bidding them on taking on users and the possibility of antitrust penalties and something that's brought into the rise and we have potential further restrictions that we could see in addition to those financial penalties. in the case of alibaba, they have been investing and trying to grow their user base and one of the downside of that is you could see ibita or eps decline a little bit year on year. those are some of the risks we face when we look at alibaba, this is a company of 40% margins that's obviously tremendous. we have high anticipated revenue and eps growth of 29%-ish, year on year on the top line and more on the bottom line and certainly for a company that's growing as quickly as this one is , is remarkably cheap. this is wi

alibaba was two and change billion dollars. not much bigger than that, total ipo proceeds was just over four. a fine is probably coming. there are rumors of a forced delisting from the u.s. something about coming back to hong kong in the near term could make sense. also giving up data to a local partner has been rumored as well. the company that was rumored is up 10% on the mainland today and the stock has almost doubled year to date. david: would also you guys doing? >> playing basketball. david: if only we could just do that. yvonne: what is on your radar? david: and where do you begin? >> we look at the bytedance ipo potential. right now, does not make a lot of sense. we're are looking at nettie's. we had a report on the valuation. a lot of the reason they are delaying is the closest comp, the valuation has collapsed several months. it has gone from 10 time sales to three times. a lot of that is the uncertainty around these types of stocks. in general for the sector, it is tough to be saying this is the time to buy the dip.

it will. alibaba has a serious problem. i would say there's a culture of haunting women or using women as sexual resources. this phenomenon also exists in many of the big companies state enterprises and even n g o c d 's. in recent years, china has introduced laws dealing with domestic violence and sexual misconduct. but active is said the poorly defined and difficult to enforce. police are often reluctant to interfere with what are traditionally seen as private matters. alibaba says it's reviewing company guidelines and has set up an emergency hotline for employees rights group. say they hope the alibaba and chris were scandals will encourage more victims to come forward. and for employers to change their work cultures, katrina, you all to 0 dating ah.

and that's alibaba. what has happened there? yeah, alibaba is a very big one. now keep in mind, something has this thing called the vision fund, right? it's a $100000000000.00 fund, and essentially they're taking that fund and they're using it to find, you know, start ups and tech companies, for instance, like dd, right? the one of the largest ride sharing companies in all of china. and so the vision fund that $100000000.00 elevation fund does not include the most successful investment of all time for soft bank, which is alibaba. and obviously their investment into alibaba has been extremely significant. and it's really been struggling. and there's a, there's a number of reasons for that. obviously, alibaba is struggling because of the fact that this check crackdown has been taking place in the 1st place. but also the fact that alibaba is one of the few companies that has actually been hit with major find by the chinese government over $2000000000.00 in fines that have been letting against alibaba. because of the fact that the chinese government essentially say

was high profile accusations involving tech giant alibaba and a pop star bring renewed attention to china's me to movement. ah hello, the u. s. president is promising to make every effort to evacuate. all americans and afghan allies safely as thousands of people struggled to get past tal upon checkpoints to make it to cobble airport. joe biden says the evacuations are among the most difficult lives in history warning. he could not predict the final outcome . the nato chief is describing the situation outside cobble airport, as very dire and difficult. it says any future government must allow unhindered humanitarian access and safe and orderly evacuations. the committee to protect journalists is warning that women are particularly at risk of taliban persecution. it says since they took power to prominent fema jim, this had been bought from their jobs. and friday prayers were held across the country. the 1st. since the taliban took control fighters joined civilians in mosques there will cause for unity and no enforced dress code. my can, has more on the us reaction with this or for from washi

this is bloomberg. ♪ >> course we are pointing to alibaba. we have other companies saying this x manager case is still under investigation. quite the latest out of beijing. there has been an assault that were not really broached in china until the #metoo movement in 2018. but this alibaba case has put it back in the spotlight. let's get some insight from carol wallace. she is an expert on women and gender studies. tell us why you think beijing is acting now. >> i think there are a few reasons the story is quite dramatic and horrifying. the fact that the women released to the post on we chat and then i don't know if you saw the to of her in the cafeteria with the megaphone handing out flyers and once that gain traction, she talked to some exit -- some executors in alibaba. once a blow up online, there was no way alibaba could ignore it. the ceo has made a very apologetic statement about how the culture has to change and these kinds of things. i think the public sentiment is very real. when me too first started, other young women who faced sexu

the women took to social media after management failed to act. alibaba human resources team were slow and indifferent, so they didn't take it seriously. i was shocked because alibaba is such a big, famous company, but i'm also used to it because these incidents happen again and again in one public outrage around the case prompted a police investigation. alibaba 5 the many question, and also several executives for miss handling her complaint. the incident came the week after the arrest of chinese canadian celebrity chris lou, the pop singer, actor and variety showed judge has been accused of luring under age women for sex. more than a dozen brands, including louis the tall and push, have severed ties with ruth, and they have been cause for him to be deported. both incident have turned to spotlight on cases of sexual assault and misconduct in chinese workplaces. it's also given birth to the countries me to movement, which has been stifled by for she's in recent years. she's concerned of sparking social unrest. lee might, sir, is it wouldn't rights activist who's detained in 2015 for pro

for alibaba, such a huge globally known company. they don't really have antiharassment policies which is just crazy. i hope this tragedy really helps more companies to realize there are real consequences and we do not have the infrastructure in place. the alibaba released some new policies around internal plans to reinvent what the policies would be. i hope other companies would do the same and do even better than what alibaba did. shery: how much change did you see from the initial #metoo movement globally that we saw a couple years back and now? do you expect more changes coming from the scandal? pocket: yes, 100 i think the chinese society is becoming more and more aware of gender inequality. public voices and united voices from alibaba employees this time really played a very of her role. a change catalyst. i expect this to continue. i think women are at a point where they don't want to tolerate this anymore. this time, the unanimous support is unlike anything i have seen in china. shery: you invest in venture capital firms that

the tech giant alibaba. katrina, you reports on that story from aging. video of a woman protesting in her workplace canteen was viewed hundreds of millions of times on chinese social media. the employee of tech giant alibaba had been silenced after accusing her boss of raping her during business trip last month. security cameras recorded her supervisor entering her tell her several times. the women took to social media after management failed to act. alibaba, human resources team were slow and indifferent, so they didn't take it seriously. i was shocked because alibaba is such a big, famous company, but i'm also used to it because these incidents happen again and again in one public outrage around the case prompted a police investigation. alibaba slide the many question and also several executives for miss handling her complaint. the incident came the week after the arrest of chinese canadian celebrity chris, woot. the pop singer actor and variety showed judge has been accused of luring under age women for sex. more than a dozen brands, including louis the tall and push have severed t

say they hope the alibaba and chris were scandals will encourage more victims to come forward. and for employers to change their work cultures, that is i'll show for this week if you'd like to comment on anything you've seen, you can tweak me, clark, al, jazz, please use a hash tag, a j, c, c o, drop us an email, come to the cost at al jazeera dot net is our address, as plenty more online at 0 dot com slash cdc. that will take you straight to our page, which is entirely new to catch up. but that's it for this edition of kind of the cost i'm to clog and the whole team. thanks for joining us. the news on algebra. ah news news. news, news. news. stories that need to be tow signed away and demand to be heard. opening the window into another light and challenging perception. witness documentary but change the way on al jazeera. i'm the like of us in the south of india and find out call me back in this cave brought an extensive mining operation to a grand corona virus. west, across the world with devastating effects, and it's widely believed to be connected to the legal wildlife trad

all of this has been hitting alibaba. maybe the view is, it is not minor but maybe some of this is already priced in. dani: big tech is one thing. there are concerns perhaps the crackdown is widening. another would be beijing targeting divorced couples. >> this is around property. operating sector key to the economy. -- property sector key. concerned about speculating in the property markets. we have seen further curves recently in beijing. what you see in china is sometimes couples diverse seen, not because they have fallen out of love but so they can continue to buy properties. that allows them to buy. that is being squeezed. they are trying to get their grips on the speculative paper. dani: what is next? are there other industries china might examine? >> health care is one. more investors are doing it. we know technology, data security. also, health care. we have yet to see any specifics in terms of regulatory changes. dani: thank you for joining us. that is tom mackenzie. let's take a quick look at where the markets a

say they hope the alibaba and chris were scandals will encourage more victims to come forward. and for employers to change their work cultures, that is i'll show for this week if you'd like to comment on anything you've seen, you can tweak me, mcclark al, jazz. please use the hash tag a j c to c o. drop us an email, come to the cost at algebra dot net is our address as plenty more online at algebra dot com slash cdc. that will take you straight to our page. entire represent you to catch up. but that's it for this edition of kind of cost. i'm a clog in the whole team. thanks for joining us. the news on al jazeera is that the september on the 0 as morocco record would be impacted with 19 the country votes and parliamentary elections that will shape the future life. listening to the media, how they operate, the stories they cover. and the reason why the 911, the top of the world, 20 years on the war that followed that finally ended and i've gone to sun. but that's what caught, this didn't real, obviously, unique, attractive on african, happy in history, through the eyes of a fearl

more woes for alibaba. that led to the $2.8 billion fine. haidi: the bad news keeps coming. >> that is an interesting timing story. they have been using vulgar video content to drive traffic. perhaps alluding to these regulators cracking down on some of those moral hazards in the video streaming area. as early as next quarter or perhaps at the beginning of 2022. as well as a crackdown on the online tutoring. this is what bytedance has diversified into. they are shutting it down as of today. they will no longer take applications for foreign tutors for chinese students. there is a caveat. they said that report from the financial times was inaccurate. shery: an update on everything that is happening in china. a regulatory crackdown. we will have analysis on that would. we are staying with china. they are growing at their slowest pace this year. this could cast a shadow over the economy's continued recovery. we have the latest numbers. >> what we saw is export numbers. let's just figure out, last year, experts rebounded strongly. let's look at t

say they hope the alibaba and chris were scandals will encourage more victims to come forward. and for employers to change their work cultures, katrina, you all to 0 dating. russia has classified and dependent television outlet as a foreign agents. the editor in chief of tv says that will challenge the decision from the opponent, say it's part of a crack. then on government critics ahead of a parliamentary election next month. a year after the poisoning of kremlin krista collection of only the u. k. as imposing sanctions on suspected russian spies. the names of 7 people have been published on the british government. what site of u. k. and the u. s. will freeze their assets. britain says their intelligence operatives involved in poisoning the vomit navarro, and they survived, but has since been arrested and jailed in moscow kremlin denies involvements in the attack. india has approved. what it says is the world's 1st d n. a vaccine against cool, with 19 vaccine maker casual health care says the job has a 67 percent efficacy rate in preventing symptoms. it will be administered in

have things improved for alibaba since the crackdown? >> they ended with an upbeat note because they forecasted better-than-expected revenues for this fiscal year. they are expecting about 930 billion yuan of revenue. we will be looking for a forecast for how they are doing, how they are expecting the rest of this fiscal year to go. last year -- last quarter, they had their first loss in almost a decade because of that record find that the -- fine that the chinese government levied against the comedy. they will look at how they are dealing with the new regulatory environment and what that means for revenue and profit growth going forward. >> given everything they said, it is not surprising we are seeing their stocks underperforming. double-digit losses for july. showing our viewers how bad valuations are. what will it take to push up the stock? >> the overhang is mainly uncertainty about the regulatory environment. are we in the eighth or ninth inning? is this the first inning? how much concern is there over these very consumer facing ta

emily: alibaba's chris tong. we are going to find out how the massive population redistribution we have seen amidst the pandemic is impacting the housing market. and take a look at expedia. shares slumping after the travel agency warned of uncertainty surrounding the covid-19 variant s. this is bloomberg. ♪ (announcer) looking for a better way to lose weight and feel good? how about the one with the 98% success rate and the more affordable weight loss solution? that's golo. there are no monthly fees and it's guaranteed to work or you don't pay. how can golo offer all of that? because it's not like any of those diets you've already tried. it's the new way to lose weight. no stimulants, no starving, just results. results you'll keep for life. no more sacrificing to lose weight only to put it back on. no more sacrificing, period. it improves your lifestyle and delivers incredible results. with over 2 million satisfied customers, golo is the new way to lose weight. this is the only program i have ever done that i h

stuck with alibaba -- start with alibaba. how is that country's leadership receiving the new government policies that they have had to digest pretty quickly? stephen: they are keeping their heads low, trying to go about filling the rectification's. this all blew up with alibaba as the poster child at the beginning of all these new regulations in china. they have not been able to get out underneath it. in the previous quarter, they had the big $2.8 million fine and posted a loss. they returned to profitability in this recent quarter, however, revenue in its key division, namely e-commerce and the cloud, missed expectations for the first time in a couple of years. they have not been able to necessarily get momentum. there is a new outbreak of covid. there is also increased competition from the likes of others. alibaba is going to probably feel the pain going forward. one good sign, according to investors, they are spending and are buying back their shares. the share buybacks are going to increase by 50% to $15 billion. manus: i

a little bit more pain for alibaba today. david: also when you look at the current streak of losses, seven straight days, also the longest streak of losses for alibaba as it hong kong-listed company. yvonne: we were thinking that perhaps with tencent, that would have been a better indication that tech stocks could recover, but it is not quite the case. tencent is up. let's get to the headlines, tencent warns investors to brace for more -- from the tech sector in china. china's largest company reported the slowest pace of revenue growth since early 2019, underscoring the impact of regulations on the tech sector, a major source of ad revenue and gaming. the crackdown has seen tencent lose more than 40% since its january peak. >> there will be in the short-term, a lot of new regulations. this should be expected, because the regulation has been quite loose over an industry, considering its size and importance. yvonne: bloomberg has learned that this company sold $1 billion worth of bonds in a sustainable deal, marking the first m

we have a high profile case like the one at alibaba. last week, we had the arrest of the singer actor chris wu on allegations of what he has done two young teenage girls. do you think these cases are leading to a new reckoning in china? >> i absolutely hope so. i think the biggest achievement of the #metoo movement in china is more women are waiting to speak out about their own experiences. women are saying this is happened to us as a whole. there is a lot of solidarity you can see on the internet. this kind of pressure people coming together is having an effect. china is a politically repressive country. there is a lot of internet censorship. women's rights, activists have been retained by the government. they experience daily harassment by authorities. those are the things hampering the development of the #metoo movement or women's rights movement broadly. yvonne: you mentioned about the censorship. tell us more about how some of these posts or what we hear on the social media waves, how much of that censorship is happening when it co

now some of the data stuff that alibaba and some are exposed to. the chinese story is strong, but u.s.-listed chinese names is not the way to play it >> you like dmis domestically listed shares. are these in the a shares market or are you just saying these a share companies are betterd was they're just below the area where beijing would be focusing a lot of their fire. so these are high quality ways to play regional and national growth in china among consumers as well as in businesses >> david, it's tim great having you on because you know this market and i brought up earlier, i think it's not nuanced that the hong kong exchange opened up a shares futures. they made the announcement on friday probably at the low of sentiment. what does thissay about china' awareness and their want to have their markets internationally investable and they look at this stuff and actually like it? does it change your view >> it doesn't. they want it to be on their terms. the problem is that thelisting that have come to new york have gotten out of their control when di

this is not unique to alibaba. this is happening to many companies whether it is bigger small. >> these incidents also highlight china's toxic drinking culture. >> tricking culture is bad. clients and employers, they are supposed to drink. one has to outcompete the other to show respect. if a person in a higher position drinks a glass of wine, you are supposed to show respect by drinking more wine. >> your kind of peer pressured to drink. it is a situation that could easily especially for women be a bad situation. >> the chinese communist party's anticorruption watchdog says it is cracking down on a culture of heavy drinking and replacing it with correct values. china has been slow to absorb lessons from the global #metoo movement but the movement may be gaining momentum again with high-profile cases like alibaba and the chinese kadian popstar who was arrested and charged with sexual assault of a minor, something he denies. >> to speak up in general is already a big step. to file for a legal case against someone fo

it is not just alibaba. it is 12 technology companies in the ministry of industry and information technology, sort of gathering up and suggesting under national security, that this is a cybersecurity issue. they don't want personal data leading the country. at the same time, you have to think that perhaps they don't want the far-reaching european and u.s. governments reaching into china. china, north korea, russia, have often been criticized as bad and with cybersecurity hacks in the u.s., and just recently. at the administration has come down hard on china and is trying to gather their european allies to basically battle what they see as an overreach by china. i mean, it is a smart move to batten down the hatches and protect internal data. at the same time, under the guise of not wanting one individual company perhaps to be something like amazon in the united states which dominate so much. shery: what would this -- baba hong kong seeing a monthly drop in records, 14% in july. could we see more upside after

alibaba hit a record low in hong kong. it is going to be focused on how much there is to come, and we do not think this is the end of the revelatory crackdown. there are a lot of avenues the government can go after. this will drag on for a couple of months at least. mark: the hong kong tech index, the hang seng is down more than 40% from six months ago. on a longer-term perspective it looks high. do you think the revelatory crackdown will continue, and how much further could the index fall? matthew: if we look at tencent as the bellwether, in 2018 when they had the gaming crackdown, the stock went down 50% and took about six months. we have matched that from the january high. it seems like this crackdown is more broad reaching, it is not just after gaming but all aspects of alibaba and tencent businesses. the fact that it is broader and going after multiple players, it will take a while. valuations will stay depressed and possibly contract more as people price in worst-case scenarios. businesses will not be able to grow as

emily: meantime, the crackdown taking a toll on alibaba. the company recording results not too pretty. what do you see in there? shery: we were watching closely because it was one of the companies actually hit by chinese authorities cracking down on the tech sector. the first qua actually missing wall street's estimates for the first time in two years. revenue climbing, still coming in short. net income did rebound for the previous quarter. remember, the previous quarter they had a loss because they were hit with that record $2.8 billion antitrust find area alibaba has been underperforming now. here is this chart on the bloomberg, showing their underperformance since that ipo was scrapped. and, profit falling to $2.1 billion. alibaba's major divisions from cloud to e-commerce all showing the growth still interestingly or perhaps because of the regulatory crackdown, the ceo endorsing government policy. especially when it comes to the government calling out the blocking of rival services because of course alibaba and tencent exclude these ser

alibaba. >> fool me once, shame on you. fool me twice, shame on me. seven day moving average of delta is rolling over. so will the fed be brave and look through the delta narrative which is drive now and go ahead with the taper. there you go. those are the ground zero in missouri. a number of other states as over 56% to have u.s. is now vaccinated. tom, good morning. >> welcome. good morning. thank you very much indeed. so much of that is reflected in the commodity space as well. w. tirvetion higher as well. the sum of that, the assumption after the reopening is starting to kick into gear. maybe as you say, we are reaching peak covid. all eyes will be on jackson hole toward the end of this week. whether or not we hear any details from jerome powell. checking on the marks as we get underway here. it was across the board in asia where you're seeing that strength buyback on evaluation opportunities there. the tech up 4%. u.s. dollar essentially unchanged. of course that is benefiting some of those stocks and equity markets. s&

there is an outpouring against alibaba employees. more than 4000 overnightjoining a mere two group —— #metoo group. they are saying, for instance that they are going to have anti— sexual harassment training as well as new policies in place, and they staunchly oppose what they say is ugly forced drinking culture. 0k, drinking culture. ok, thank you for that. stay with us on bbc news, still to come: the nasdaq announces its diversity plan, to ensure it's listed firms have more women and people from minorities on their boards. the big crowds became bigger as the time of the funeral approached. as the lines of fans became longer, the police prepared for a huge job of crowd control. idi amin, uganda's brutal former dictator has died at the age of 80. he's been buried in saudi arabia where he lived in exile since being overthrown in 1979. two billion people around the world have seen - the last total- eclipse of the sun to take place - in this millennium. it began itsjourney off the coast of canada, . ending three hours later when th

especially alibaba. in their most recent quarter alibaba and tencent did see sales miss. jd did not. they have not been in the cross hairs, but the other main reason, they have their big june 18 shopping festival in that second quarter and got a big boost in transactional volumes. that helped boost sales 26%. that beat forecast. those surging transactional volumes from june 18. there is still concern for jd.com. the stock is down 40% from a february peak. it has not been specifically targeted, but these platform companies in china are on notice for david -- evasive security, antitrust behavior. when the tide goes up, they rise, when it goes down, they all go down. at least it is a reef bright spot because of the surge in transactional volume. net incomes tumbled from 16.4 billion yuan a year ago. i mentioned the sales gain in the quarter year-over-year. that beat estimates, but it was also the slowest since china first emerged from the pandemic last year. not all rosy for jd.com. they have to deal with the surging coronavirus in this current quarter. shery: still upping s

a company like alibaba again is spending more. when they spend more in new areas, other companies, in the grocery delivery area, they have to spend more, so the margins will be pressured. we have to see if they have any improvement on the market. the revenue is expected to be increased in part because of the community group buying service. we will have to drill down to see how the overall regulatory framework is either hindering pinduoduo, or they are absolutely able to mitigate some of the pressure. they are also not specifically targeted, but they are a part of the platform economy companies that are put on notice. >> stephen engle, our correspondent. users are reporting that coinbase is having some problems. this is the cryptocurrency exchange platform. the problems have been ongoing for around 20 minutes or so since 7:52 p.m. eastern. we don't have any more details about that. we know it is not deterring the rally we have seen in bitcoin, in other crypto. bitcoin, touching the $50,000 level for the first time since march, stil

we will talk about alibaba and a lot of these chinese tech giants as well. this is bloomberg. ♪ francine: welcome back to the open, everyone. we are 30 minutes into the trading day. not so bad. european stocks pretty much unchanged. they are in the green. if you look at the dax, also unchanged. the ftse 100 is getting a little bit of pressure. this has to do with the repricing of certain asset classes. trying to get an indication of when they are looking at the fed to start tapering and possibly titan. let's take a look at the sectors on the move. this is a great sector look you can do by typing grr go on the bloomberg terminal. and of the things we have been talking about is precious metals selling off and gold touching the lowest. when this came up, i was surprised to see financial services. we knew it would be lower but financial services is one of the biggest faulters in the trading session today. we are looking at shares of a u.k. investment platform fell short of earnings. laura: taliban fighters have seized a fourth provincial capital as u.s. troops

alibaba. -- giants like alibaba. let's bring in our chief asian correspondent, stephen engle and sofia. let's start with stephen. more regulatory concern for china tech and for the health sector. we know what she will drop next. let's start there. >> it is a widening net. the latest news coming down across the bloomberg terminal about the medical pricing sector. approving plans to reform pricing in medical services and also medicine, the top line coming down and saying china wants to curb overly fast growth in medicine expenses. this really points to the challenges the chinese authorities are grappling with in an aging society. also, a booming market economy. it looks like the chinese authorities want to put more of a firm hand on the tiller when it comes to prices that were reflecting market speculation in medical services and in medicine. the regulator will have perilous like five cities for a trial program and then roll that out by 2025. that is on the medical services. the other big story