tv Trending Business Bloomberg November 24, 2015 9:00pm-10:01pm EST
indonesia again as to how it will return after a seven-year gap into opec. it is the start of the trading day over there. let's have a look. >> the third day we're not really seeing any clear direction. right now as you can see we're fairly mixed. to the down side because you have the big markets pulling on the overall tide. fraction, a percent lower just about enough to erase the fraction of a percent higher that we had yesterday. down about a third of 1%. moody's just putting out their forecast for japan for next year. they're saying 0.5 to 1.5% is what the potential is at the moment. oil prices, we talked about this very briefly. let me get to the numbers as far as where we are. 4270 seeing a bit of a pullback 0.4% but up 0.2% yesterday so
roughly 50 cents up compared to this time yesterday which is why if you did have to pick one group of winners right now it is the energy shares. i believe we are up. can we get the asia pacific energy index up? now, other things, this rejection from independent holders of course, we'll get you more details but we are seeing shares here down 1.6% off the loaves the day as you can see assets, hong kong electric there. 69.45 down 4.3%. quite a setback there for hong kong. back to you,. >> suffering that rare setback, losing its bid to buy out hong kong utility power assets holdings. this is a man probably not used
to being told no. >> rish, in this case investors could not be more clear. just 50% of the shareholders voting yes to the $12.4 billion buyout offer which was actually a sweetened deal but far short of the 75% yes vote that would have been required. this rejection coming after two investment firms were recommending against the offer. they are saying it is wildly undervalued about a 2% premium. the company already owns 39% of power assets and the merger as it's being called would have given them full control over the 8.7 billion dollar cash pot and would have likely gone toward future acquisitions. investors were concerned the deal would result in value destruction for the stock. some retail investors just felt they should be paying more of a premium if he wants to use their money for more acquisitions. to put into context you touched on earlier how remarkable this
outcome is. he is so revered in the hong kong business community he is known as superman for his investment acumen. this is setback for the billionaire who has been trying to consolidate his empire ahead of retirement and has been trying to steer his business away from the slowdown in china and putting assets elsewhere. so what happens here is he has to wait at least a year before making another attempt but expectations are he will try again with perhaps a more generous deal next time. rish? >> a more detailed look at that story and we want your opinion. do tweet us your thoughts and include the hashtag # trending business. well, it is about halftime and it comes to the final quarter of 2015 and we've got warning lights starting to flash in china. more economic indicators reinforcing the government is going to miss its full year growth target. what are the numbers saying, steve? >> the numbers have not looked
pretty for the economy to meet the growth target risk. china's economy is still showing a muted response to those six interest rate cuts we had over the past year. also the target edifice kl spending aimed at reviving growth. old drivers like manufacturing and real estate, well, they continue to struggle and many industries like steel of course have severe over capacity issues. the latest monthly indicators for november point to deeper troubles at smaller companies as well as those in the services sector including slightly the previous couple months, the manufacturing p.m.i. coming in at 42.4, well below 50 of course. it was 43.3 in october. this is a private monthly survey of more than 4,000 companies, 70% of which in this index are smaller companies in china that make up a large portion of the chinese economy. similar stories for the nonmanufacturing. the services p.m.i. coming in at 42.9 in november.
it was 44.2 in october. so smaller services providers in china are struggling according to this smaller company index. the china academy of new supply side economics, the coauthor of he p.m.i. saying china's economy hasn't bottomed out yet and downward pressures are mounting. he expects authorities to step up stablization measures. now the sme index is showing weaker momentum as well. falling again below 100 to 98.2 in november from 98.4 the previous month. this is china's largest search engine and handles 6 billion searches a day. this index tracks web search index of small to medium size enterprises. a very interesting indicator of demand below 100 indicates contraction. then we have the m & i business confidence survey which basically polled the executives of companies listed either in
hanghai or slumping in november. the lowest in five months in october. all this does point to the government perhaps missing that 7% g.d.p. target for the full year. of course it was 6.9 in the third quarter. back to you. >> thanks, steve. we'll have a look now at some other numbers, having a look at those but starting off with one company and indeed you could also argue two companies going in different directions. >> that's right. now, shares in h.p., inc., the hardware focused company, as opposed to the software based h.p. enterprises have tumbled in after hours u.s. trade down 7.5% hewlett-packard enterprises up 2% so very much diverging reaction from investors after both companies forecast first quarter profits below analyst estimates. the split of the two companies
was designed to make each more nimble but they're facing an environment where p.c. sales are on pace to decline for a fourth straight year and overall u.s. technology spending is expected to climb to 4.8% in 2016. still, meg whitman says she couldn't be more proud of the company's performance. well, another day another problem for volkswagen. german prosecutors have opened a new criminal investigation into possible tax violations in the wake of v.w.'s admission it manipulated emissions tests. faulty ratings in gasoline powered vehicles are now being examined along side the diesel engine cars and prosecutors say a separate inquiry is necessary as the cushons involve different cars and other people. it is believed five suspects are being questioned. drivers pay lower taxes in germany if they own cars with lower emissions so improperly labeled cars with higher than marketed emissions can see owners claim tax breaks. prosecutors are targeting v.w.
for the alleged violations in a bid to reclaim the money. rising ong kong, shares today after the company announced a special dividend up almost 6% in hong kong. the 42 cent per share payment is the first ever dividend since the ipo in 2011. the world's largest publicly traded jewelry chain has published its safest decline since listing. net income fell to $201 million for the six months into september. that was in line with the profit warning earlier this month. now chow tai fook is one of many retailers struggling with high rents and a slowdown in profits due to the slow down in mainland regarding purchasing power. shares have fallen 43% year to date so certainly under performing the hang seng index, down about 4.3% year to date.
>> on our website we look at a growing number of millionaires in asia. and where indeed they're concentrating themselves on bloomberg.com/asia. later on the show tensions are rising after turkey takes down a russian fighter jet. we look at why moscow says it is a stab in the back. set for a steeper slide. our next guest will discuss how commodity prices may fall even further in the short term right after this. ♪
space. president putin blamed what he called accomplices of terrorism and warned of serious consequences. president obama called for calm on all sides. iran says its historic nuclear deal with world powers is likely to be implemented in the new year. tehran agreed to slash its uraniuim enrichment capacity and allow international inspections to prove the nuclear program is not aimed at building weapons. if all goes according to plan the international atomic energy agency will give its approval leading to the expected lifting of u.s. and european union sanctions. the new president of argentina says the outgoing administration has left the coffers bare and he has to take drastic action saying there are no foreign reserves left in the vault telling local tv the central bank has been stripped. argentina's credit outlook was
raised by moody's to positive on consideration that he would be able to boost the second largest economy in south america. >> and the rank is set to grow next month after a surprising decision to readmit indonesia. it's almost seven years since indonesia's membership was suspended. it will be the only asian nation. indonesia is a net crude importer. how can it rejoin an exporter's artel? >> well, that's right. it certainly puzzled some analysts, citigroup for example saying it thngs decision shows opec is abandonning its role as a price setter. as you said indonesia is an oil importer, still a major producer, about 800,000 barrels a day, more than some other
opec members such as ecuador and libya but it also consumes a lot because of its population, about twice as much as it pumps so it benefits from lower oil prices. on the other hand indonesia said it can bring together producers and consumers so that there is definitely a rationale for indonesia's side, a bit more puzzling in terms of the rationale from opec's side. >> what's in this for opec and what's in it for indonesia? >> well, for indonesia it is looking for investment and refineries, refineries -- it hasn't built any new refineries for decades so it is hoping that the membership seat at the table will allow it to negotiate long term crude supply deals and in exchange for that investment from opec members such as saudi arabia and in refineries. it also gives it influence, obviously oil prices affect it significantly so it has a seat at the table n terms of opec,
as i said, a bit more puzzling, but one possible explanation is that by adding a new member it will be able to raise its output threshold. opec is already pumping above its official threshold and has been for quite a while. that's been depressing oil prices. also, there's been a bit of a debate over who should be the secretary general of opec. different members have different, you know, different views and to have everybody come to a conclusion, indonesia could be a neutral candidate which would allow it to pick omebody outside. the rival middle east factions. >> thank you very much. our bureau chief in jakarta. a quick check on these commodities. there we go. w.t.i. on the way down again.
comex gold futures, 1,077 with copper. of course copper at six-year lows and there we go. lurching a little low once again. what are the latest developments from opec and the middle east meaning for the markets? you cover commodities as well as foreign exchange. quickly, on the opec-indonesia question you have a novel approach to not being an exporter but -- >> from our side that's really a nonevent. clearly, net gas exporters so something to look into but i think more importantly we'll get from opec how much increase we'll see from iran. i think that is the most important factor and, second, what is saudi arabia going to do? are we going to see some adjustment down the road? so overall that event is a nonevent. more focused probably in the short run the geo political uncertainty, a little risk priced in but that is likely to fade. the market is still over supplied so prices are going to go lower. >> shooting down a russian jet let's say a fighter plane i should say, let's say 10, 15
years ago would have really royaled the oil market especially if it took place over the middle east. it barely budged. >> well, first of all we need to understand where it happened no oil is produced basically. there is literally no supply -- mbings but it has wider implications. >> absolutely and obviously it could have and is a risk scenario something we need to be mindful of but overall i think everybody is clear that at the end of the day not escalating is the best strategy. and keeping this in mind i think i wouldn't expect too much of a rally. >> iran now is entering the market slowly as the sanctions get lifted. >> once the sanctions are lifted iran should come back looking at 0.4, 0.6 million barrels. taking that into consideration nevertheless the market should start to rebalance at some stage in 2016. not now. we're still over supplied. second half of next year things look much better for the oil market. the rebounds market, higher prices. >> okay. you said that then the saudis
react to it. what do they do in your view and what happens next week in vienna? >> for the time saudi is not going to do anything though we've heard some indication they're willing to cooperate but they wanted to cooperate before. i think what they want to see is a broader audience joining the efforts to stabilize the market. i think from that angle nothing is going to happen. and what i -- would i invest in oil at that stage, direct exposure given all the costs? clearly not. market still over supplied bufment throughout the first half of next year, i think opportunities will arise because the market is going to rebalance. you are going to see nonopec production actually declining. once the market realizes that and the surplus is gone we aren't going to live in a world where oil trades between 40 and 50 but probably above 60 and i think that is an opportunity. >> who is the swing producer, somebody sitting there saying it's no longer saudi arabia, they were saying it's actually the united states. >> well, absolutely. nowadays we have two swing producers. before we only had the saudis. now we have two.
i think that is something we need to keep in mind as well because it really caps the oil price. so at one stage the price is good, you're going to see shell coming back quite forcefully and that really gives the account. >> let's move on to the rest of the commodity side of things as well. you know, it goes down and it keeps going down. everything. i mean, we've got the basic bloomberg commodities index, nothing since 1999 here. >> i think some the big negatives for commodities in general are still in place. think about china's oil economy still slowing but that is a big drag on the base metal side. then we had the strong dollar so the fed rate hike imminent around the corne as well. then we look into some of the grains. inventories are full. and so with ample supply left and right in the short run we could still go lower. now the question is, is it sustainable. here i would make a question mark. i think some of the base metals are trading where it's not sustainable. nickel and aluminum. we have so much inventory any
bounds will be very marginal. >> what happens next year? >> next year i think some of the best opportunities, probably still find some in oil as that supply is becoming more visible and the demand is quite good. i would still be cautious on the metal side because some of the issues we have in china related to the housing industry, that takes time. probably more a second half story. here we haven't seen sufficient adjustment especially on the copper side. copper market has yet to see the bigger pain in some of the minor metals. i would be cautious. at least we'll see some stablization i think in presh metal believe it or not into the rate hike under pressure but once the market realizes the real interest rate in the u.s. is going to go more deeply negative i think that will stabilize precious metals. >> thank you so much for your time this morning. we talked a lot about oil. also about the rest of the commodities and commodities complex and how it all pans out in 2016. up next, fueling the recovery. we'll look at what's helping
be close to 2% this year which is toward the lower end of earlier forecasts. it was also g.d.p. day in the u.s. and wall street closing near a two-week high after the economy there grew faster than previously calculated. we have this from new york. >> tuesday on wall street brought several pieces of fresh economic data. u.s. g.d.p. the biggest one, certainly grew at a faster pace than previously reported. there are also separate reports showing home prices climbed more than forecast in september and consumer confidence unexpectedly falling in november. to the g.d.p. data, the value of all goods and services produced here, it rose at a 2.1% annualized rate up from the initial 1.5% estimate. i also show corporate profits slumping but income levels of americans jumping. now, consumers continue to power the economy with cheap gasoline, a shot in the arm, and greater job security. now adding to their confidence to spend.
the statisticians tell us elevated levels of company stockpiles also accounted for the stronger reading in g.d.p. although they point out this could indicate new orders are slowing down and that is why the shelves and warehouses are perhaps well stocked. it could take 2016 to burn through that. on average though, in sum i should say we have the pace of g.d.p. for the first half of the year at 4.3% and that is viewed as a positive. there are many who point out the fed is crunching all of these numbers. >> we see headlines c.p.i. going to 2% in the first half of next year and of course c.p.i. not far behind. the story in the u.s. won't be a deflation story. >> traders are anonymous now pricing in a 74% chance. it is growing all the time. that the fed will pull the trigger on interest rates in ecember.
in new york, su keenan, bloomberg news. >> now let's have a look at the trading deadline as we head toward the turkey lunch break. off by half of 1% in the sessions there. looking at shanghai, again, we do have a day at the moment bucking the trend across the rest of the asian pacific. a slight move to the upside there but seoul, taipei, and singapore all moving to the down side. of course negative tuesday oming out of new york as well. up next, why some investors are demanding a $4 billion payout. we have the details live from the japanese capital, next.
>> stocks retreating with a sign between turkey and russia over the bombing of a war plane near syria with political tensions. the yuan holds its advance vs. most of the major -- with investors looking for haven assets. on the way up the most in more than a month in hong kong the company declaring its first dividend since going public in 2011 the world's largest publicly traded jewelry chain
also posted the steepest and ne in half-year profit will return excess cash to share holders. a list of privately compiled economic surveys won't make happy reading for the chinese premier suggesting his goal may be missed for the second year including the purchasing manager's index based on a search engine excess in small and medium sized businesses. increased government spending has yet to revive growth. well, generally speaking, a negative vibe across the asian pacific at the moment. >> little appetite for risk. ahead of what is certainly going to be a very, very busy eek next week. china p.m.i. coming out, the jobs data out of the u.s., so on and so forth. i'm watching the airlines on the back of this mini run in
energy prices. a pull back right now but a little more expensive level compared to this time yesterday. i want to go -- have a look at your favorite carriers here. there we go. japanese airlines, china , there. down a fraction there. same here in hong kong. actually i believe a lot of these production centers all over china, a profit warning. they're saying 55% drop for full year which ends in december. so, now, a well flagged drop in earnings. what wasn't flagged was the announcement of a special dividend. what does this mean? we're seeing shares welcomed with open arms but does it signal they don't need the cash in the coming years when it comes to building up inventory?
it is the sort of industry where when top line falls you have to run through your inventory. do they not -- i mean, developing story obviously. china, oil prices up 1.5%. in australia gold prices -- a modest bid for haven assets there sending shares higher, 2%. australian agriculture an earnings outlook there. i believe we're down for a fifth straight day here. taking losses i believe close to 40% now over the last five sessions. now let me just wrap things up in japan. sharp is going the opposite way of slater & gordon up for a fourth day of gains which i believe takes the gains roughly about 34%, 35% over the last four sessions. riso kyoiku planning a
dividend when initially they weren't planning to pay out so that company is based out of tokyo. onami getting cut from goldman sachs. the outlook for the stock 3030 per share. >> one of our top stories one , who g kong's richest men says no to li ka-shing? >> it was a resounding no, mind you. just 50% of the investors voted for the plan. they needed at least 75% for the merger. they're calling it a merger though it is essentially a buy jouth. they needed 75% for it to go through. a $12.4 billion offer. valuation was an issue because it is about a 2% premium and a lot of those investors are saying this is just not significant enough for them to be tempted.
it also comes after two proxy investment firms actually came out and recommended the minority share holders to vote no and said the valuation just doesn't look right. it already owns 39% of power asset shares. this wld have given them full control over about 8.8 billion of cash power which would have gone toward future unrelated acquisitions and is also something that the investors took issue with because, you know, for example one of them was saying, you know, if you want to use our money to fund future acquisitions you should be paying a higher premium and have access to that capital. this is pretty remarkable but not a lot of people say no to li cashing. he is pretty revered in the business community in hong kong and in recent months has been on this consolidation drive to put his business empire in order before he retires. >> he is 87. >> away from the chinese
economic train wreck right and focus more on assets elsewhere outside of the mainland. this is a bit of a setback. >> perhaps even too much on this occasion. another thing is what happens next? because he can't just suddenly go back to these people who said no can he? >> this was already a sweetened deal that wasn't good enough. and under regulations he has to wait at least a year until he or the company goes back for another attempt. he's likely to do that, wait it out and put forth a more generous offer. the company says they're disappointed but will continue to look to other strategies for growth. we know in the past, you know, recent periods they've picked up assets in australia, picked up assets in europe as well. everything from waste management to power assets. by all means it looks like they'll continue to do that and in a year's time sort of offer the comeback. >> thank you very much for that.
quickly just checking on some of the other stories we're following. china is set to be in easy control on proprietary trading as the stock market tries to stabilize after the summit slump. also telling bloomberg the regulator has canceled the rule that required brokerages to hold daily long positions in their trading account, implemented to bring calm to the markets after stocks plunged in june. they lifted a five-month freeze on ipos last week. next year hugo will miss its target the fashion label blaming slumping demand in china and the u.s. after it cut its revenue saying the slowdown in china is prompting customers to look for better prices elsewhere. company ridden china
shanshui saying directors don't have the authority to present such a plan as they've been struggling as a share holder with financing and the court paving the way for the company to repay debt. japan's announced new draft measures to give economics a boost and perhaps and finally hopefully revive the economy. they include raising wages, more support for low income pensioners and lowering corporate tax rates even further than originally planned. we'll have a look at that and why the prime minister thinks more needs to be done. >> when shinzo abe began his second term as prime minister in december, 2012, his biggest challenge was an economy that had been stagnate forgue years and which was still reeling from the devastating earthquake in 18 months earlier. he needed to tackle japan's aging and shrifpblging population as well. he started the so-called arrows
of economics which included greater government spending of $116 billion and deregulation to give business a lift. investors welcomed the plan and the benchmark topic index has almost doubled since then but he also pushed ahead with an unpoplar sales tax hike in april to try to reduce japan's debt burden which is more than twice the size of its g.d.p. making it the heaviest in the world. that sent the economy into recession in the second quarter of last year and again this year. the second batch of arrows was announced in september abe speaking to a g.d.p. target of $5 trillion. investors in japan are still awaiting signs of improvement. >> indeed. corporate governance is also featured on the abe-nomics agenda calling for investors to have more say and the electronics company is under
pressure to pay share holders more than $4 billion, kyocera. tom, what is this all about? >> hi. so kyocera shares the same founder with another japanese company called k.d.d.i. and kyocera has a huge stake in k.d.d.i., worth about $8.3 billion. and which is a whopping 46% of kyocera's market cap. and hong kong hedge funds called oasis management is calling on kyocera to sell that stake entirely, put a little money as a reserve, invest some money in growth businesses, but give about half of it or about $4 billion back to share holders including oasis. >> okay. but why is japan doing this?
>> so, yes. what oasis is saying is very similar to what japan is doing at the moment, what japan's government is seeking at the moment which is to reduce cross share holdings and the reason it's trying to do that is because as one analyst we interviewed said they're kind of a licensed -- a friendly share holder is going to be a lot less interested in pushing companies to improve returns. you know, if it's, the reason it's investing is not primarily for financial gain. so it's kind of interesting. this is a move by an overseas fund that kind of tallies what the japanese government wants to do at the moment as well. >> joining us there from turkey. all right. up next turkey turning the heat up in the middle east as they shoot down a russian war plane over syria or near the
>> welcome back. these are stories making headlines around the world. the white house says president obama will hold one-on-one meetings with the leaders of china and india ahead of next week's international climate summit in paris. officials say he wants to send a message to world about the need to reach a strong deal at meeting as well as those leaders he will also meet leaders of island nations facing the harshest effects of global warming. a 25-year-old woman has gone on trial in myanmar charged with defaming the country's military chief on facebook. she could be jailed for sharing pictures of aung san suu kyi wearing a sarong of a similar
green to the general. she is one of three people recently charged in connection .ith social media posts there are laws protecting the military from ridicule. there was a bombing in bangkok that killed 20 people. two people will face 10 charges connected to the explosion at the shrine. officers say there was no political or religious motive for the attack calling it revenge for breaking up a people smuggling operation. the two men will face a military court where national security cases have been heard since the army seized power 18 months ago. >> well, washington has been calling for calm after turkey shot down a russian warplane as we've been reporting over syria or near the syria-turkish border. president putin described it as a stab in the back from the accomplices of terrorism and warned of serious consequences. >> so the turkish president has plained that they had no
aggressive intent and were only defending their borders. the pilots ignored repeated warnings about violating the air space and that is why the planes fired. still, putin is not backing down and is saying russia will not tolerate such crimes and that as you said this attack was a stab in the back. now just hours after the judge was shot down president obama and french president hollande met at the white house. he they both urged turkey and russia to avoid any escalation and concentrate fire on the islamic state. political analysts don't really expect a major escalation given the risk associated with any conflict between russia and a member of nato, turkey of course being that member of nato not to mention that we haven't seen, although this is the first case of a nato member
actually bringing down a military aircraft from russia in decades. >> this is all linked to what happened in paris and brussels. what is happening there at the moment? what's happening on the ground? >> a man hunt is going on in brussels right now. belgium has extended the highest level of terror alert into next week for brussels a judge there issuing an arrest warrant for a 30-year-old who was seen driving a car with the alleged organizer of the paris attacks just two days before they happened. also in paris the alleged ring leader had apparently visited the concert hall crime scene and prosecutors saying he planned to blow himself up in a second attack as paris's largest district and was killed during a police raid last week. >> thank you very much indeed for that. let's have a closer look at all this.
thank you very much for joining us. what have you made of events in the last 24 hours? >> would you repeat again? >> i'm asking what you've made of the events of the last 24 hours. >> i think the main issue of course, the downing of the russian airplane and apparently russia lost two pilots but also this is not a democracy and it just symbolizes wup spark in a very combussive area. i think that all of the sides will have to overcome it and that is the likely outcome. they will have to charge better factors of operation. they will have to be a bit more tolerant for mistakes. and establish some much better cooperation and overcome the fact that nato and other
enforcers are flying all over the middle east and syria and iraq and the russians are now flying, too. >> well, ever since the events of paris on friday the 13th, the two sides that say the americans, the french, and the brits have more or less coalesced now and tried to bring the russians onboard with them in a unified fight against i.s., meanwhile turkey has been of course saying they've been attacking and really have been attacking kurds which are perhaps the only decent land based forces against the counterweight, too. what is going on with the islamic state? would you agree? >> yes. look, i think that what you see, everybody has one mutual interest and that is to defeat i.s. generally in the long term. ut other interests are conflicting. process is not immediate.
the turks don't like to see the kurds too strong. the russians are vehemently against any other opposition so that is exactly what you see on the ground. there is one major common interest and many conflicting interests and it is not easey to handle. >> so if these two sides don't actually get together effect ively i.s. is going to be the victor aren't they on this at least in the short term? >> i think, yeah. i estimate a benefit but not too much. the interest to defeat i.s. is see strong and you can both the local countries and russia will increase bombing of i.s. but there is no resolution on the ground and the kurds as much as they are courageous and indeed they show some significant battle capabilities th -- they are not a force
that can defeat isis on the ground or in the middle east. it will have to be essentially the arab states or perhaps the western or international contingent. there is one step back but i think overall it is not going to change much. >> well, is anything going to change much unless you get boots on the ground? that is going to be the real test. >> correct. but there is no leadership for it right now. obama is not in the mood or doesn't have the appetite to put american boots on the ground at least not for now. the americans are -- the american strategy, there was such strategy, was always to have bombing training and hope they can create a local arab force to take care of the i.s. problems. they have failed to do so. they seem unlikely to do so in the near future. so at some point probably, and after perhaps a few more, there will be probably a force on the ground but i don't see that happening in the next month or
>> have a look at what is trending on social media. to do that let's get over to juliet and heidi. >> what happens when billionaires who like rockets get to social media. that is what i'm talking about. the 51-year-old amazon.com founder jeff bezos has of course his rocket blue origin. he is successfully orbited into
space and landed it back in texas. looks like it's on fire there. >> when you buy a used rocket -- >> on craigslist? >> not too sure. maybe from one of his other billionaire friends. he had a pretty spectacular 24 hours. as well as doing that he thought that is not enough for one day's work. i'm also going to join twitter and tell the world about it. that started a little bit of a twitter wa with another billionaire person. he basically initially offered jeff bezos tweeting the rarest of beasts, a controlled landing. then there was a clarification of what space and orbit really is and saying look you aren't the first one to do this so a little war of words coming through from some billionaires on twitter. >> territorial. >> jeff bezos has had that distraction because this is not great publicity for amazon. this is an ad campaign intended
to promote a new tv series that they're running. it's a historical series so what they've gone and done is wrapped carriages in the new york city subway with nazi symbols and symbols from imperial japan so this series is meant to show, you know, an alternative universe where the nazis take over america. that didn't go down very well. with the commuters who are like why am i sitting on a nazi train. call me crazy but i think draping your subway in nazi paraphernalia and calling it advertising is a bad decision. this is really the general frame of mained. call me crazy. the general sentiment is it's not okay. amazon has removed the decals especially after the mayor of new york city said this is a no go. >> probably not okay.
♪ >> from our studios in new york city, this is "charlie rose." charlie: we begin this evening with our ongoing coverage of the recent paris attacks. questions continue to surround the global response. last week former secretary of state hillary clinton called for an intensified effort to combat the islamic state. >> it's time to begin a new phase and intensify and broaden our efforts to smash the would-be caliphate and deny isis control of territory in iraq and syria. that starts with a more effective coalition air campaign.