. -- repeatingeading his claim to china south china sea. let us know what you think of our top stories. follow me on twitter @rishaadtv, include #trendingbusiness. shanghai, shenzhen, and hong kong reacting to that u.s. jobs report. here is juliet. what a disastrous number for that payrolls number. we are seeing weakness come through from a laser on the open. singapore opening higher. from malaysia on the open. singapore opening higher. most of the weakness coming through from the nikkei 225 as the yen holding near one-month highs. this is a story of dollar weakness. the likelihood of a june rate hike in response to that jobs number now only 4%, down from 30%. the likelihood of a july hike down from 50% to 27%. down 1.4% with the yen holding on to those highs. australia, up by a third of 1%. gains from gold players. that shows you how much there is in terms of risk off sentiment. investors flocked to that safe haven gold price. zealand closed today, also korea for a public holiday. hong kong will be close later in the week, so an abbreviate

russia is looking at china, boosting oil and gas supplies to china, and china is an important player for russia. india has not had a lot of involvement in russian strategy, oil and gas, but now india's economy is one of the fastest-growing, overtaking china, so naturally it makes sense to look there for growth, and india is poised to become -- for consumption to jump in the coming years. angie: thank you so much for that. we are looking forward to the afternoon business in tokyo, where we are seeing a weaker yen boost equities in japan. this despite exports falling more than expected. we are also watching india has raghuram rajan says he will not extend his term, and watching the rupee. the latest after this break. ♪ >> markets returning to risk on as chances of britain leaving the eu diminish, sending the pound higher. bookmakers putting at the chances of a brexit at 30%. oil is also gaining and the yen weaker after data showed japanese exports falling more than expected in may. the rupee set to fall following raghuram rajan's decision not to seek an extension to his term. the cur

and china. president xi jinping's tightened grip over his senior officials. >> we have had a failure of communications. that is the point. the point is the u.s.-china relations are difficult. >> reporter: u.s. president barack obama is expected to visit china in september. early next year there will be a new american president, and there could also be a reshuffling of china's leadership at next year's party congress. to future negotiations depend largely on who ends up being in charge. nhk world, beijing. >>> china has territorial disputes with several parties in the south china sea. vietnam state-run media criticized what it claimims is china's militarization of an artificial island in the area. the newspaper posted photos on its website of what it claims are chinese facilities on the johnson south reef of the spratly islands. the photos weree reportedly taking between late may and early june showiwing a seven-sty building, a light house, a spherical structure that appeared to be radar faciliti

china steps on the gas. despite talking about -- a lull, the chinese government is wrapping up its off budget spending. i will bring you my chart, plus foreign demand from american drivers. with u.s. oil markets falling? "finding dory" scores the best film.omestic range for a we will analyze the results. ♪ francine: now let's get straight to the bloomberg business flash. matt: goldman sachs has told 98 employees in new york at their jobs are being a limited. that brings the number of dismissals disclosed to state officials to over 350. goldman has been reducing staff as it seeks to whether a slump in trading and dealmakers. volkswagen's second-largest shareholder has refused to sign off on the actions last year of two of the carmakers board members at the first shareholder meeting. bartoner saxony -- winterkorn who was current chief executive at the time and the are under chief, both investigation for market manipulation link to the timing of the public notification of the scandal. one of africa's biggest

the china-u.s. dialogue. also coming up, challenges for the engine that powers the factory of the world. a special series on china with a look at manufacturing powerhouse. juliette: keep an eye on the payroll the u.s. numbers disastrous. asian markets being sold off. really led by japan, down by over 1%. bit of a breather after last week, posting their best five-day gains since march. a 4% chance the fed will list this month. that hasn't investors flocking to safe havens. i will have more on the market movers shortly. angie: president she jinping says china and united states should talk more often to build trust. he also said the pacific should not be a battlefield for competing views. we have our china correspondent standing by live. a mainly positive message from the president? >> not too much detail, you do not expect too much detail at events like this and opening addresses. the tone, the words about cooperation, greater can medication between the two sides when it comes -- communication between the two s

what we are not saying in china's economy is -- not seeing in china's economy is momentum. ok.il sales are holding up private companies are not spending. you take it all together and you say, china's economy is not getting any worse. the fact that it is not getting any better despite all of the worrying sign. failure to get momentum with the problems they have to deal with. when you take them all together, it is quite a fragile makes. -- fragile mix. hade: it seems overcapacity an impact on fixed assets as well. >> the private companies do not have the confidence to spend money, to invest. they are worried about falling profits. the government has to step in and spend the money. going forward, if this trend continues, the government will have to fill the gap left by the private sector. angie: they are not spending money on coal and metal production. with policymakers, if you say they need to act, what would they do? >> it is a delicate trick. they have to cut back on excess capacity. stop spending in those areas. but they cannot afford to pull back completely. trying to kee

when you look around china you see 30 football fields in length and you see that china still needs to do this to grow and in india as the situation is worse. when i was on the ganges river to see bodies in the water and pilgrim's breeding next to them so it is dire. but this is one of the areas where we have done a good job across different administration is when i was in government to have a large part to negotiate the nuclear deal. that was about the strategic partnership about clean non polluting power from scale of electricity. and with those reactors they would build and with those admissions with the protocol and a similarly i really think what the obama administration did with the climate change accord helped to spur the rest of the world to announce their own binding commitments on admission that all three can work together. >> but with india's correction we don't hear a lot about that. one of the big complaints we had their so corrupt you cannot deal with that. that people are wondering how much is corruption? can you talk about the different approaches of indiana and china a

the strategy does focus on china, looking at hosting oil and gas supplies to china, and china being the region's biggest consumer of energy, and also a big financier for rosneft. it has provided more than $100 billion of preorders and loans to rosneft, which has helped to build it into the oil giant it is now. india,also looking to whose economy is growing faster than china, so it makes sense. rishaad: thanks. let's take a look at what's been going on in malaysia, where the embattled prime minister has enjoyed victory into elections over the weekend, helping him to tighten his grip on power. one with bigger majorities than expected despite turmoil and allegations of corruption. this was widely expected, but the result, it's really quite incredible. the majority and the magnitude of his victories. >> that's right. it is significant because it is seen as a litmus test. the first test to see if allegations surrounding najib would diminish his support. it is pretty much in tact. he has not been hurt by the 1mdb scandal. validate his position at the top. rrmers and rule voters -- ural voters

-china relations. for the short-term perspective, there is an uncertainty perspective that will tarnish our u.k. brand, but we are here to represent the interests and desires of our members and businesses, so we would do what we can to make sure that is not tarnished. >> there is lots of speculation, scottish referendum, northern ireland, all kinds of different speculation. that must be difficult for you to convey a single voice, if you will, to your potential chinese partners. >> that is absolutely right. phase one of what we are doing here and outside of beijing is members, makeour sure their concerns are fed back into london and to the policymakers who will be deciding on the future for our country. >> thank you for your time. i know you will have a very busy time in the next few weeks, months, and years. more from the world economic forum coming up in the coming hours. rishaad: thank you very much indeed. ,ooking at breaking news fr fixing byan the yuan 9/10 of 1%, the biggest move since august. da

china is the biggest market. if profitability starts to slim there, that is going to be a headwind for volkswagen. the prime minister, this is a big deal. he will retract a national sales tax. much of this was foreshadowed when he was the president and leaders in g-7. madet hiroshima where he very clear he was planning - playing to a domestic audience. some of this is a delay of a national sales tax. quite an abrupt blow to the fiscal side of abenomics. how will japan respond? >> first of all, i will expect he will do pretty well in the election next month. we think he is going to call a double election, so that will be perfectly timed. notice what he is saying here. a a few months ago he was saying he would not postpone the sales tax hike, unless there was another lehman like event. now he is blaming the world economy. he is saying the world is at risk. not japan. japan is doing fine but the external economies are at great risk, so he has to do this. need you to give me your opinion as an economist but when i lo

china and taiwan claim them. the japanese government maintain the islands are an inherent part of of japan's territory. the defense ministers confirmed that their countries will cooperate more closely on defense. nakatani pledged that his country's self-defense forces will help east timor improve capabilities. japan's government will consider a port call by vessels in east timor later this year. >> translator: we agreed that china's unilateral action to raise tensions is a matter of concern for the international community. >> nakatani said it's important to make it clear to china that the high seas should remain open to all nations. >>> four indian naval vessels have arrived at a port in southwestern japan. their crews will take part in exercises with japan and the u.s. officers of the three countries say they will work for peace and stability of sea lanes. the four indian vessels arrived on friday morning at sasebo. the port hosts ships of japan's self-defense maritime force and the u.s. navy. a japanese destroy

china believes in a one-china principle and sees taiwan as one of its provinces. it's worried that countries may cast their ties in favor of china and for taiwan it's trying to branch out china's influence on other countries could easily hurt that plan. noriyuki tajima, nhk world, taipei. >>> the incoming philippine president is emerging as a forceful but unlikely proponent of family planning, and in a country of millions of catholics he's gunning for a fight with the church. speaking in the country's south on monday rodrigo duterte again stressed the need to promote birth control. he says families with many children have been driven deeper into poverty. he reiterated his call for families to have no more than three. duterte also talked about introducing the death penalty emphasizing the point is retribution. about 80% of the country's population is catholic, and the church plays an influential role. the catholic church is against the use of contraceptives and its opposition to the death penalty led to it being abolished in 2006. the church is likely to react stro

india will pass china because just as you say, china you say, china is aging. about 70% of india will be of working age, a lower percentage of chinese. india, as you said has an opportunity to change this. >> you see the chinese system adjusting to this. there's an enormous pension reform that is trying to prepare for this wave of retirees. : on the relationship everything with -- >> testing. >> a decade ago i don't think we would consider that quad but we discarded that idea. now, now, that is happening more frequently. i think it is important that even though china has made it difficult for us that it's important to include china's much is possible both on the track to dialogue that were talking about, for other issues it beyond military and especially on the military issue because that is by far the hardest thing to resolve. i teach at stanford and one of the things that he said that he is quite proud of and i think it is a great initiative is that he helped persuade the pla that when chinese sailors meet sailors of other nations including the united states

in china, the next wave of innovation as china rebalance is its economy. but you know what? with the brexit vote and referendum next week -- last week, that is the elephant everyone is talking about, and that is what we will put initially to our first guest. he is the greater china head of manpower group. thank you for joining us this morning. so the latest employment survey shows civilization, but there is a weakness in hiring, and there is weakness in the private sector, investment. how does the referendum and the subsequent market chaos that happened at the end of last weekend, probably will continue today, how will that affect china's transformation voter topicoticed quite a hard talking about the brexit. the discussion here. the key point is actually china inomes the largest supporter the eu operations and labor and those of commercial. and british is one of the key areas for the china export. our president also have so many directions here. you can also do this in the past few years. alsothe euro and china and especially we talking about the british

coming up, if china is the province ist how a adapting to china's ♪ >> it is 9:30 in sydney. we are watching the aussie what itolding on to achieved on friday following a week u.s. nonfarm fuel report. away from thetes opening of trading there as well as in japan. ."u are watching "first up china is moving in the right direction on the yuan. he spoke exclusively to bloomberg in beijing. he says the pboc action caused an unnecessary nervousness. reiterated its claim on the south china sea. addressing a meeting of defense , they struckgapore a more conciliatory tone. he also warned countries to keep their criticisms to themselves. the philippine central bank is stepping up cyber security and demanding more scrutiny toward off money laundering. manila has been in the spotlight after siphoning $80 million off the bangladesh account. most of it has disappeared. will alsol bank regulate digital currencies including bitcoin. powered by over 400 journalists and 150 bureaus around the world, this is bloomberg news. -- check in on the markets in asia pacific. futures in australia are l

what do the trade data from china tell us? grexit they are consistent with the other trade data across -- >> i think they are consistent with the other trade data across asia. stabilization, aggressive declines in trade seem to be stabilizing. i think part of it is currency movement. part of it is that the trade adjustment is quite mature. in some countries last year we were getting export declines of 15% year-over-year. you need some week global conditions for that to persist for too long. the global economy does seem a little more stable these days. the interaction of those factors. angie: as you say, currency fluctuation is part of the explanation we see in the drop of the fx reserves. much of it was due to the currency flows in europe and japan. what does this mean for the chinese consumer domestically? imports did drop, but not to the level expected. richard: domestically, a lot of the indicators say the economy is doing ok. you still expect some gradual moderation in growth over time. the interesting thing about china is

expect the same development in china. the manufacturing capability we have in china is very advanced. so it is possible possible to have a global supply chain here. >> you have less than 1% market are the china, what strategies to expand that? >> we saw a good growth last year. china was the third largest , so weon a global scale will see an increase in market share on delivery this year. talk about time, we how we will bring the latest to china. it is an important part of those steps to improve our position. we also count on that the market is changing. megawattgh focus on capital expenditures to more produced, andatts that's the kind of market that ands at megawatts produced not megawatts in store. executivehe chief there talking to tom mackenzie. hong kong, shanghai like this. makehai did manage to again in the session yesterday of 1.3%. hang seng in hong kong currently moving to the downside, 1.5%. the federal reserve deciding not to do anything this month, and july oaks like it will be a month where they stay pat. re

within china, we are growing quickly. chinese travelers are growing across china. they are the largest source market we have right now. 120 million chinese are traveling outbound. most of their travel happens to be in the asia-pacific. they will continue to grow, and by 2020, they will outstrip u.s. travelers as the number one out round market in the world. we keep hearing all the rhetoric about the slowdown of china, but i think it depends on the industry. 13% to 15%r, we grew in our resorts from chinese travelers. that does not show eight slowdown. economy and china are slowing down, but there is a huge middle class that was to go out and explore the rest of the world. rishaad: and you have to have varied brands to cater for them. marriott international. up next, the reading of china's manufacturing pmi. look at how that measure compares with that number. stay with "trending business". ♪ rishaad: breaking news, the official pmi manufacturing number. caixinet the 1mbd reading. below 50, indicating more pessimistic conditions, 49.2. the consents estimate was 49.2

and jack lew says china needs better monetary policy. is washington the best place to teach communications 101? we will hear exclusively from the u.s. treasurey secretary. matt, we are less than half an hour away from the equity market open. let's take a look at where we think the european space will open up this morning. the ftse 100 is up by .4%. euro stocks a little lower this morning. is going to be interesting to see what the miners do on the back of what is happening with the dollar. the miners are up in australia and could be up in london as well. matt: we thought a lot more weakness earlier in the trade. the nikkei right now is down by .3%. the yen had gained a ton of strength, as did the euro and a most any currency against the dollar on friday. 106.96, a pretty shocking number two c therefore the yen. the pound though, losing ground. those brexit polls showing they "leave" camp a stronger than the "remain" camp. rent is not a little bit below $50, but hovering around $49.99 a barrel. now let's get to the bloomberg first world n

china's capital account is largely closed. the national linkages between china and the rest of the world are fairly limited. the u.k. leading the union would be seen as mostly negative, according to one representative. let's hear what hong kong's richest man said. he was speaking exclusively to angie lau. they don't leave. if brexit happens, it will be detrimental to the u.k. and it will have a negative impact on the whole of europe. but, it is not the end of the world either. the corollary is what if they remain? is that an impact? juliette: there has been concern about japanese bond yields. this is from bank of america and merrill lynch research. they say a record surge in foreign ownership could haunt the second-biggest debt market. this chart shows us the yields in japan, germany and the u.k. they get record lows at the chance of britain leaving. that is according to the number crunch at the brexit probability index. it has been rising since mid-june. in tokyo strategist says if britain stays in the eu, we could see spikes

changing portals in china. let's have a look at that story. >> likely to take a hit on new rules for online ads by health care companies. the forecast is cut, down from more than 3 billion to $2.8 billion. company said revenue has been affected by reducing the numbers to 30% of the results page, which baidu announced last month. the restrictions came after authorities investigated the death of ace to do and who sought -- a student who sought out controversial treatments advertised online. now, virtual reality and augmented reality are pretty at for theit's o future of the tech industry. a silicon valley startup called is a relatively small player in augmented reality, which superimposes digital images on top of the physical world, and says it will use the money to develop a headset that doesn't rely on a pc for power. another company is backed by hong kong's richest man. so, korean hour or companies have rated more offices. in engineering and construction company were reported to be among the units. just yester

about the chinese economy, competition in china, and he revealed their plans to develop movies in china. take a listen to what he said. ask him about the difficulty of setting this park up. take a listen to what he told us yesterday. bob: entering this market has its challenges, regulatory issues, and so in making a decision, we felt the best way to do it was with a themepark. theme parks are expensive. this one costs in the neighborhood of $5.5 billion, so it is a big that on a big market and represents not only our biggest entrance into this market, but the potential to deliver great growth for the company long-term. >> its opening when the government has this week focus on driving the consumer market. timing and good foresight on your part? you are building something for the ages, good or bad, so it is not about the economy today or the circumstance today. it's about what we see long-term. noble, ofs are a course, but it is that that on a market and the true believe in a market. interms of what is going on china that works to our advantage, clearly establishing a move from a manufact

i've done very well with china. made great deals with china. we can do great with china. i don't have anything against chinese leadership. i don't have anything against the leadership of japan or mexico. they're just so much smarter than our leaders and they're taking advantage of us. i have a lot against our leaders because they're grossly incompetent and don't know what they're doing. so if china -- right? so if china does not stop its illegal activities, including its theft of american trade secrets, they're stealing $300 billion a year, some people say, of trade secrets, i would use every lawful presidential power to remedy trade disputes, including the application, excuse me, of tariffs, consistent with section 201, consistent with section 201 and 301 of the trade act of 1973, and section 232 of the trade expansion act of 1962. now think of that term. think of that term. the trade expansion act. you know what? we got the joblessness and they got the expansion. there's no expansion. there's no expansion. so the story is this. i love you people. so important in novembe

it opens up china for us. and china is of course, the biggest source of inbound tourists for australia. as you know, it is now over one million chinese visitors come to australia every year. and it is growing at a rate of about 18% as it has been for the last five years or so, so it is a very important market for us and very important and good partner. >> so then why is singapore airlines paring its stake? >> singapore airlines is a very important partner as well, and we enjoy a very strong relationship with them. but their stake with the placement of the 15%, which is 13% of the total to hna, the singapore stake and other people's stakes will drop a percent or two. it is just a byproduct of the mathematics. >> san miguel is selling its telecom business to two other philippine companies in a deal worth $1.5 billion. they hope it will improve their service. the chairman says that two will work together. this deal, what does it mean for san miguel's plan to break into the telecom? >> what you have as a sellout o

-- china sea. reporter: these talks are meant to bring the two sides closer together. it is hard to see how they can beijing's disk you did claim to the south china sea driving waves during the two. manual talks between the biggest economic powerhouses, china called for more trust. >> the pacific should not be a stage for competition. become an interest between china and the u.s. and the asia-pacific region, make it possible for both countries to keep up communication. cooperate more and relate to challenges. dispute: the maritime has pushed relations between china and its neighbors to breaking point. speaking alongside the chinese president, the u.s. secretary of state john kerry called for a diplomatic solution to the crisis. john kerry: really position we have taken is, let's not resolve this by unilateral action. let's resolve this through rule of law, through diplomacy, through negotiation. reporter: the strategic and economic dialogue is one of the most important meetings between the two coun

we're going to be talking china. we're going to be talking about the debt mattings, the brexit scenarios as well. and our european equities. our european equities at the moment flattish. stocks up higher by a percentage point or so. you saw yesterday european equities under quite a bit of pressure to ftse alone on a 3 1/2 month low on the fears that we could be moving closer towards a brexit scenario. so, that. happening after two of the latest polls. two polls in particular indicated that the leave campaign is gaining your traction. but today, we're bouncing back and forth across the board. ftse up almost 1.5%. when it comes to the stories out there, a lot of stories making the rounds inditek profits jumping. and thanks to online sales growth. >>> disappointing figures from retailer h & m, they're higher by 1%. this happened as they saw mail sales rising by 9% but lower than expectations. net sales hits 46.4 billion crowns. >>> zodiac's aerospace shares rocketing to the top. this happening after a near six-month ris

china claims almost the entire south china sea as its own. it's building manmade islands there and has deployed radar and other equipment. vietnam, the philippines and other southeast asian countries claim parts of the sea. >> i reiterated america's fundamental support for negotiations. and a peaceful resolution. based on the rule of law. as well as obviously our concern about any unilateral steps by any party, whichever claim it, to alter the status quo. >> translator: china has a right to defend its territorial sovereignty and legitimate maritime interests. we won't accept any ruling by the international tribunal of arbitration requested by the philippines, regarding the south china sea. and our position will not change. >> an international court is expected to rule on the validity of manila's claim soon. >>> turkish media are reporting that four suspects have been related to tuesday's car bombing. the blast in istanbul killed 11 people, including seven police officers, and wounded dozens. the explosion hit near popular touri spots during t

it's really a dark age for china. if the city has a leader like xi jinping, more and more people will lose their hope for the ccp >> wang added that if china's economy continues losing steam, people's frustration with the government will increase. a chinese foreign ministry spokesperson restated the government's position that its response in 1989 was appropriate. she said the country has made great economic and social strides since starting its open door economic reform policy about three decades ago. >>> france is trying to revive peace talks between israelis and palestinians. it hosted an international conference in an attempt to restart discussions since april 2014. foreign ministers and officials from 28 countries and international organizations attended the gathering in paris. the israelis and palestinians were not invited. the participants wrapped up their meeting by issuing a statement. it said all delegates present reaffirm the need for a negotiated two-state solution in which palestine and israel can peaceful

i think the aussie dollar is linked to china. we are going to get a lot of news out of china. industrial production should be ok. numbers,les, export lending numbers should be all softer. i think that is going to be the focus over the coming week. to the currencies linked china, probably a bit more defensive. some of the e.m. currencies probably will do better. we saw strong performance from the south african rand after they retained their rating. we are seeing quite a strong ruble that of the will continue assuming oil prices stay sustained. probably you will see a little trade, but again, watch china. there could be some negative news. chaigneau,incent global head of rates and foreign exchange and strategy at societe generale. cindy coming up, including sterling slumps after voters favor a leave vote. we talk brexit with nigel lawson and stephen kinnock. then, the eurosceptic movement is poised to become the italian capital's first female mayor. weakest job saw the numbers in almost six years. will the fed chair trying to rebuild momentum when she speaks later today? ♪ fra

a big week, chancellor angela merkel in china, and china trade production within the hour. pricey checking on oil is, weakness weighing into energy stocks, down 1/10 of 1% . japanese yen and gold surging on safe haven buying. obama sayingident a massacre at a gay nightclub in florida is an attack on all americans and is being investigated as an act of terrorism. peoplele killed, 53 injured in the worst mass shooting in u.s. history. what do we know? >> the gunman has been identified as a 29-year-old u.s. citizen born in new york to parents from afghanistan, omar mateen. a 911 call before the attack at a gay nightclub in orlando in which he claims allegiance to so-called islamic state. omar mateen had come to the bureau's attention in 2013 when he made comments to coworkers about links to terrorist groups. the following year, he was investigated for ties to an american who became a suicide bomber in syria. foundg incriminating was either time, and despite official suspicions, he was able to legally buy guns just last week. he had worked as a security guard since 2007. in a s

china sees taiwan as one of its provinces. the worry is that coununtries m cut their ties in favor of china. and for taiwan that is trying to branch out, china's influence on other countries could easily hurt that plan. nhk world, taipei. >>> they say people in glass houses shouldn't throw stones but what about ones on the glass bridge. over the weekend people in central china took sledgehammers to it. the 430 meter long bridge is suspended over a canyon in a national park. its walkways made up of layered glass panels. volunteers at an event slammed it many timeses to check the strength of the bottom. a vehicle was then driven over it. after they stopped hammering an engineer said the glass was proven and people should feel safe. expressed concerns after a glass walkway in another location was shown online with cracks. by the way, that bridge is known as the brave man's bridge. hoonan province planning to open another one this year. sayaka mori. >> rain felll lasast week, 250 meters of rain fell in one day and significant floo

, but maybe not simply china? tom, you've done work not only on asia but also comparative dimension of asia and europe. looking at this nexus of arms trade and nationalism on regional security, what's distinct today about asia? either in comparison to europe today or perhaps to europe and other more volatile times in european history? can you say anything other than simply that the situation in asia today is more combustible than in europe today? jonathan, you first. >> thanks, bob. it's a great question. so, one way i think about great powers versus not great powers is great powers are in the very privileged position where they -- the economic and strategic incentives for producing weapons at home are the same. all right? you have a huge economy of scale if you have a big enough budget, you have very strong security reasons for keeping as much of your technology and production in-house. and both china and the united states and, you know, you have a good defense industry that needs support and it creates jobs, bla

up, china challenges. after the break, the latest in our series of special reports on the future of once great provinces. the coal giant, that is, coming up next. ♪ angie: welcome back. china rebalance is from manufacturing to consumption, is provinces are facing big challenges. athis week, we are taking a look at three of them. biggest local economy, hung sing, described as red hot. hanxi is one of the largest producers on the planet, but it's minds are loaded up on dead, and most are unprofitable, with 80% of gdp tied to coal. the provinces -- the province is in trouble. economic china's slowdown is being felt hardest in places like this. the cofounder of a company in this province, where more than half the provinces unemployed. >> most of these people are out of work. where can we go? we have no other skills. reporter: even those with jobs are shoved -- are suffering. for have not been paid several months. the boss can't make any money, so he does not pay us. is a new reality for a coal rich province

boost been trying to supplies to china, and china is the biggest market in the region. also, china is a big financier over $100t, providing billion in loans and prepayments over the last decade. that has helped to boost rosneft and let it may key acquisitions to help it become the oil giant it is today. india has been a much smaller nower, but it's economy is booming and projected to become one of the biggest energy consumers in asia, and that is an area that russia is looking ahead to. angie: you can deftly argued that their field of friends are shrinking. russian not a key favored partner right now. angie: thank you so much for that. checking other stories making headlines, talks with several asian miners with a view to sell a minority stake. the sale could fetch as much as $7 billion. they are trying to pay down debt through asset sales. vale wants to raise $10 billion through 2017. last year was the first annual loss in 19 years. the brazilian joint venture areeen bhp and vale restructuring loans after that disaster at its iron ore mine. hiredorgan chase has been an

it is not a unique to china problem. but the same time, china has to deal with it or it may have to rely on the old steelmakers and cement makers. while the export side of things clean. i think it is goes to show that all of these risks, even as china models true, but all of these risks having gone away, you have to look too far on the rising to see the fed meeting next week. if they will come out, either with an outright interest rate move, that in of itself would definitely ricochet into china. putting pressure on people to get money out of capital in china. and we will quickly see a flareup of some of the oil problems that seemed to have gone away. anna: thank you, enda curran, chief correspondent joining us there from hong kong. let us bring in our next guest. ussen joins us. give us your thoughts than on the problem facing china. excesslking about the capacity, the state enterprises, and how china seems to be hobbling along right now. yes, stabilizing a bit in the latest data. but a lot left to go. key point.at is t

china -- urging china to change the development mode for global recovery and says that in terms of the brexit's impact on global financial markets, that has reared its head. he is thinking in terms of global trade, growth will continue to be week. -- continue to be weak. nation should improve the policy coordination. let's see how markets are reacting to all of this. david: it all goes back to what did the g7 and g-20 agree on? did one of these countries come out preemptively to try to stabilize the markets? we are looking at a lot of things. it is quite timely we are having this world economic forum. a lot of people are looking to china for stability. to a large extent, that is why we are focused on this exchange rate. we had some comments out this morning. stabilizet look to what is going on through the exchange rate. -- asiant a rieger currencies are getting sold off. 6.66 is your offshore renminbi. i mention this a few moments ago, can we get the graphic up on asian currencies? just to put a backdrop to this. we are seeing asian currencies weakening on the back of this money gettin

china has been building up its presence in the south china sea. beijing says it on 80% of the waterway, a claim contested by five southeastern asian nations. powered by over 2400 journalists and 150 bureaus around the world, this is bloomberg news. i am yvonne man. right, just getting some breaking news. the associated press, projecting bernie sanders to have won the north dakota democratic caucus. this could be fairly academic given that we had hillary clinton projected to win new jersey, taking her over the winning line to become the official candidate to run on the democratic ticket for the election in november. atht, now let's have a look what is going on with china rebalancing from manufacturing to consumption. do is throw up a huge set of big challenges for the countries provinces. this week, we are looking at .hree of them, is one of the largest planet.ducers on the 80% of gdp is tied to coal, and the provinces in trouble. tom mackenzie went to investigate. economic slowdown is being felt the hardest in places like this. it is a cold town i

we are not holding our breath for anything take in china -- anything big in china. emily: thank you so much. coming up, apple is closer to opening doors in india. they are still reeling from a setback in china. jeff bezos blasts beyond. details of the weekend launch. ♪ emily: this is bloomberg west. tim cook is holding a fundraiser next week for paul ryan. this is according to republican aides. some will go to the congressional committee to benefit other candidates. tim cook looks to boost establishment republican. he will not sponsor the convention next month. a number of companies have scaled back or dropped their support of the convention. the apple asia ambitions are being put to the test. the government clears away to open up shop with foreign investment and, in china, apple is reeling from a setback. our managing editor of tech coverage is joining us now from new york. peter, i will start with you. how big are the changes in india for apple? emily: it is a step -- >> it is a step in the right direction for apple. there are local sourcing rules that require y

into improving those from china. also the diversification from looking at the investment rules and expanding the resources and to improve the of logistics' we also engage in reform as the work in the investment also improving governance true that the system and capacity building that many of the country is interesting even from south to north the right place at the expert makes us the go to partner and let me close by saying we are lined with our shareholders and the common goals of shared prosperity in this environment with the secular challenges and then to the poorest country but it is becoming more and more important also looking at the balance sheets through the contributions and by innovating our approach with a highly fragile area for refugees so we partner truly a multilateral action with the imf and the un in importantly the private sector's in the work of improved prosperity. but then every day thank-you. [applause] >> takes to both of you as part of her prepared remarks to the horizon in terms of the econo

china has long said their claims are indisputable. they did not include a single word about the south china sea in the 32-page final outcome document. but that says a lot, that they have a long way to go before -- to go to reach any kind of agreement. this is what secretary kerry had the same. i think it isy: important, and we have said this many times, that no claimant, none, not any country in gauge in unilateral actions that could be deemed by some of the else to be provocative and therefore problematic. stephen: by not mentioning it, i think we need to say watch this space. it will be a hot one. the yuan is back in the spotlight after talks in beijing. it also just posted its biggest two-day decline since february. does this mean that the pboc is guiding the currency to the downside again? heidi: that is a concern of some market participants. this is where we are at. has fallen 0.8% against this basket of currencies, the lowest since october when he 14. if you look at this chart, the white line is the bloomberg rebecca of this bas

but central bank in china denied it. but do you think that china -- the chinese economy might be a factor. what do you think about that? thanks. >> yeah. so what i can say is that in assessing the appropriate stance of monetary -- monetary policy for the u.s., we have a very clear objective function that is established in law by congress, which is domestic focus. full employment and price stability, so that is our focus. and then, of course, because we are so tightly integrated into the world, the dollar is viewed as a reserve of currency, we have some of the most liquid deepest financial markets in the world, but of course we're also tightly linked on the trade side. how are policy -- our policy path and expectations of our policy path are then affecting financial conditions. and of course, importantly through exchange rate channels, through a very important feedback loop, come back around and effect u.s. domestic conditions. so in the past year, i would say china has figured prominently in terms of global risks and glo

they are claimed by china and taiwan. given its claim, china's defense ministry says it's illegal for ships to sail in its own waters. a former vice admiral with japan's maritime self-defense force says it could be more than that. >> translator: japan and the united states kept saying that china's maritime policy is wrong in the recent three international conferences. namely the g7 summit, the shangri-la dialogue and the u.s. strategic and economic dialogue. the incident could be china's it could be a strong message against japan and the u.s. >> reporter: for russia's part, its embassy in tokyo says the navy was conducting a regular exercise which had nothing to do with china. japanese officials see it the same way. >> translator: china has been unilaterally claiming territorial rights of the senkaku islands but that hasn't been the case with russia. we've been dealing with these types of actions by china separately from russian ones. >> reporter: japan's government is on alert. prime minister shinzo abe convened the nati

china is guilty as rest of the world doing it. how do we get an advantage over china right now? we want to make sure that the u.s. is productive but right now seems to be coming at its expense? >> this is the shanghai accord latest in february. they're trying to maintain peg between china and u.s. and cheapen the dollar. we get advantage via japan and europe. we're trying to have inflation with higher import prices. u.s. has a net trade deficit. japan, they will not intervene. they have been told not to. they have been threatened by lagarde and jack lew. they're not going to. i see the yen trading through 100. trish: mark as we look forward to donald trump speaking about china, this is an issue that obviously resonates throughout america right now because people have seen their jobs disappear, if to china but someplace else overseas. how do we regain an edge? >> the easiest way to gain an edge in an economy take the barnacles off it. lower taxes. remove as many lawyers from the business process. reduce number of regulations. do all the things that the barack obama legislation ha

facebook blocked in china, apple did a deal in china. withut lincoln's growth it -- what about linkedin's growth within china? >> is the wider emerging market. as those countries become more affluent, as they have more in the workforce, then linkedin and other players will do well. there is an emerging market angle. this is looking at how they can market the microsoft strength with the linkedin strength. anna: what do you like in the tech industry, or do you at the moment? where are you putting money to work in this sector? >> the tech industry is compelling from a valuation standpoint. unlike 2000 when it was trading at 40-50 times earnings. there isn't that excessive valuation at the sector level. what we look for in stocks is high-quality, cash generative companies. cisco comes to mind. they are building the infrastructure for the future. internet companies and other such like things. manus: tell me this. everyone is racing to know where the next deal comes from. does this light the torch? there have been a few deals in the past month

china is hosting the six-day trade fair. the chinese government has its eye on the region as an important hub for one belt, one road initiative. that aims to improve l land and sea links between asia and europe. >>> a private sector survey suggests more than half of college seniors in japan have job offers. the firm recruruit career polle 1,200 students who will graduate next month. job interviews were in full swing. 52% of respondents said they have firm job offers up 18 percentage points from the same survey. the japan b business federation set new guidelines allowing companies to start interviewing earlier. >>> let's take a look at our business calendar for the week. on wednesday japan's national tourism organization posts latest head count. arrival numbers in april set a record for a single month. central banks in japan and united states hold policy meetings. slow recovery of global economy will be focus of the discussion. the weekends with china's new home prices for may. officials survey prices in 70 major cities. >>>