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tv   Worldwide Exchange  CNBC  May 10, 2019 5:00am-6:00am EDT

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skbro it is an uber busy day the ipo posted at the low end of the range, but becoming one of the biggest technology ipos of all time it is a busy friday, may 10th, as worldwide exchange begins right now.
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good morning good afternoon good evening from wherever in the world you may be watching, i'm brian sullivan thank you for joining us on a very busy friday looking at a live shot there of washington d.c. where as of five hours ago, 12:01 a.m. eastern time, a new round of talks on $200 billion in chinese goods kicked into effect they go from 10% to 25%. we have full team coverage of the major breaking eunice is in beijing tracie potts has more from washington d.c. about the negotiations >> we have word from state-run chinese newspaper overnight that the negotiations are set to continue, but will it really change things? we heard overnight nothing we didn't see any sort of break-through even though investors and consumers and manufacturers were also holding some sort of late night deal.
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is this a smart move by the president to impose these tariffs right in the middle of negotiations well, there's some debate about that here in washington, but, bottom line, it's a done deal now as they try to continue to work out things like intellectual property rights and currency and all the terms that the president specifically asked about with china >> china has promised to fight
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back almost immediately after the u.s.'s tariffs kicked in, the chinese commerce ministry made an announcement saying that it would take all necessary counter measures so far the ministry hasn't detailed what the counter measures are, and that's led to a lot of speculation here that the chinese leadership is still hoping for a last minute agreement. there is an expectation that the retaliation will include tariffs, raising tariffs to 25% on $60 billion of american goods, possibly cancelling large purchases of agriculture and energy products, plans to lower car tariffs and also to open the door to more american financial institutions president trump and president xi are expected to speak on the phone soon, and this comes after president xi jing ping had sent a letter to president trump of which the president trump had described as beautiful some people here have been seeing that as a vanity play by the chinese, and there is,
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though, ryan, still a possible window for the negotiations to -- for the negotiators it to find a solution. that's because the tariffs are being assessed in the u.s., but they are looking at products that have departed china only around noontime today. because of that there's a transit hearing. anything at sea is safe from these tariffs. they've got that time, but what has been the official reaction what's on the covers of the papers over there? is it, again, blame on trump, or like you told us earlier this week, is it almost being ignored by chinese state media >> no, it's not being ignored at all. now the state press has been
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full-on reporting every little last detail from this morning when the vice premier had first showed up in washington, cctv, which is the state tv broadcaster, was saying that he had hoped that there was going to be some sort of agreement there's definitely been a change of pace in terms of the coverage here, but at the end of the day the chinese state press is still saying people should stay calm, and they'll be able to work this out. >> eunice yoon, live from beijing. see you in a few minutes thank you very much. now let's get a check much how they're reacting to the new tariffs, and this is a bit surprising 240ez tariffs do not kick in on goods that are in transit as of this morning really a couple of weeks before
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the actual fiscal effect is felt this has been already the worst week of the year for stocks, and buyers have come in to bonds the ten-year yield this morning at 2 .45%. around the world, again, the trade very surprising. china stocks, they didn't fall the shanghai komt poft up 3% overnight. perhaps a sign of optimism that a deal will get struck and have buyers coming in as part of china's massive stimulus program. japan down fractionally. the hang seng, shanghai composite are up the biggest economy in europe, one of the biggest in the world. that stock market up exactly 1% right now. every major market in europe is higher trade, a bit surprising. you're not seeing some kind of major move in the price of oil you might think oil would fall because of tariffs and prices go
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up things slow down the use of hydrocarbons would fall all right. let's talk about all this impacting the u.s. china trade and your money markets, the economy, and the short and long-term, and bring in liz young, director of market strategy at bny melon investment management also, lindsey, chief economist at stiefle are you surprised we're not seeing more of a massive negative reaction by our futures at the asia markets? >> i'm not surprised we didn't get it done yet today, and the important thing to remember -- >> apparently nobody is. >> the markets tend to trade on expectations more than they trade on events.
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>> in that case there's a short-term impact on the economy. if, in fact, these tariffs are put out there and then go back in the near-term it's just as a carrot to get the trade deal pushed through to the finish line. on the other hand, we do, in fact, see these tariffs implemented for a prolonged period of time we do have to bring in the factor and the negative expectation and the negative impact that we would expect on top line gdp when we look at what happened in 2017, 2018, the fresh round of
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tariffs went into play, we shaved off about .2% now you're talking about more than doubling the tariffs on the already targeted 200 billion, and, of course, it's still hanging out there new tariffs to target the remaining balance. >> sr. igle other good, toys, phones, shoes, clothes, stuff we actually purchase at the store, what would that do to the economy? >> well, that's going to have a much bigger and much more direct
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impact on the consumer wrrn. >> this is start to see raising the average basket of goods and services that we buy by 500 to $1 ,000. that's not necessarily life-changing money, but for the average american family, $1,000 is a significant amount of additional discretionary wealth that they're now going to have to find from other allocations and put towards, again, that normal basket of everyday discretionary purchases that they rely on >> especially as gasprices als continue to tick up as well.
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it has been, liz, the worst week of the year for stocks let's be clear and fair. >> we don't see new lows coming. the markets continue to be resilient because the economy is healthy, and those numbers are in a positive way. i think it starts to make a difference is how long will these tariffs stay in place? if they stay in place for an extended period of time, we have to ask ourselves what is an extended period of time? i think if we stay in a place through the end of the second quarter, it starts to bring through company's guidance, and they have to fully expect that margins are going to be pressed at the end of the year, and then you start to see what we thought was going to be back end low for gdp growth maybe that back end low is a bit
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softer, and then markets start to really feel the pressure moving through the rest of the summer >> what if we get the second round. the it 25% on the other 325 billion in goods that we have? what if we get those tariffs then what? we have to bring the p down because the -- >> as we saw through the fourth quarter of last year, guidance matters more than the numbers. even the first quarter of this year we kind of thought we were going to get through earnings season and it ended up being better than we expected, but the market really didn't care. we've had an earnings season that's relatively flat the market cares about what companies see going forward for the next year. >> bottom line, are you advisin your clients to change their investment strategy because of the tariffs? >> this is way too short-term to start changing your investment strategy you are just chasing things. i think we need to let some of this go through, and we do still
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see changes in the economy for the year we're still positive and expect.s&p to be positive >> lindsey, same kwu to you. are you racheting down your economic numbers right now or you have to wait? >> i think that we do need to be patient and wait and see exactly what isgoing to be coming out of the latest negotiations if we see retaliation from beige if anything we see the second layer of tariffs go into effect on that remaining balance there still are a number of question marks that being said, the u.s. economy still is on very fragile footing. the global economy beginning to lose momentum, so any sort of layered on uncertainty of international cross ferns will press our outlook for domestic growth >> a pleasure. have a great weekend thank you very much. well, trade is certainly big, but it is not the only story on this friday you may have heard uber going public one of the biggest technology ipos -- one of the biggest ipos of all time.
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even as investors tempered their enthusiasm and it prices on the loaned let's get now to elizabeth schultz with more. >> hey, brian. it's been a long awaited day on wall street. uber finally set to go public on the new york stock exchange today. uber pricing its ipo at $45 a share last night as you mentioned, at the bottom end of the range prices could go as high as $50 a share, which would have put the valuation around $90 billion at this share price we're looking at a valuation of 75.46 billion. still a massive ipo. uber will be offering $1 180 shares and has raised $1 -- it's the biggest ipo for a u.s. company since facebook in 2012 the key thing investors are looking at hfd the public offering are uber's financials the company reported $3 billion in revenue in the first quarter of the year, but a net loss of $1 billion
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the profitability concerns continue to weigh on the company even as it goes into other segments like food delivery and autonomous vehicles. investors still wondering exactly how it will ultimately make money, and it will be putting that to the test as it starts to trade publicly today later today. brian, back to you >> well, it's not all wine and roses. i know there was protest from drivers and people that are anti-uber in london. i know you went down there how was it was it ten people? was it 10,000 people how angry are people about it? >> i can tell you, it was roughly 30 people. we were expecting hundreds according to the organizer of the protest. a little bit of a disappointment on the turnout there the drivers who did show up were very angry their main complaint is this is a big ipo happening here, and they're not benefitting all the executives with uber and including the former ceo making billions of dollars.
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>> i want to pick up -- listen, it i do this by kmois. it's my decision that's the way it is 30 people. thank you very much. by the way, big uber day we got a big interview coming up in the 8:00 a.m. hour of cnbc. we'll be speaking with the ceo of said company. we are just getting started here on worldwide exchange. up next, it is not only uber and
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trade. the world's biggest beermaker also making an even bigger bet on asia. a wild market stat for you on this friday. something just happened that rarely ever happens on wall street atou is that wh cld that be we'll tell you coming up en we m. edward jones came to manage a trillion dollars in assets under care by focusing our mind on whatever's on yours. put our workflows now tin the cloud?w how about our jobs? [ mimics explosion ] [ mimics explosion ] our jobs. [ mimics explosion ] servicenow. works for you.
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sfliefrmt stock futures in the red. dow futures down just 17 points right now. the market clearly expecting what happened. as you know, this has been the worst week here's an odd stat from the twitter feed stats this week is only the eighth time in five years that the s&p 50000 has been negative a monday, tuesday, wednesday, thursday of the same calendar week now, most times stocks have rebounded on friday of those eight times. that, of course, support in the face of a trade war and higher tear ifrs. still, what has happened this week has only happened eight weeks in the last 250 or so. great odds could have been an rpi frank holland describing this morning's stocks to watch. >> i wish my weekend was that fun. we'll start off with -- shares falling sharply this morning they are down more than 15%
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after ceo greg clark abruptly resigned the company says clark made it clear last month he wanted to spend more time with his ailing father disappointing fourth quarter revenue weaker than expected guidance for the first yaurt and for the full yoer. ab inbev, the world's largest brewer filing an ipo for its asia business in hong kong sources say that sale could raise at least $5 billion. that's the business between $40 billion, and $50 billion a beat on first quarter profit and revenue. zblilo announcing plans to expond its hope flipping and mortgage business into 20 new markets. that includes l.a., houston, and atlanta. brian, back to you >> frank, see you in a bit thank you. up next, you may not be feeling the impact of higher tariffs directly just yet, but many small manufacturers in america are.
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contessa brewer live on the frontlines in north bridge, massachusetts. contessa >> yeah, wrooin. the manufacturers are bracing for impact here in south-central massachusetts. the ceo of the steel manufacturing plant explains why he is getting hit with a double whacky and why he thinks these tariffs are just a ruz for his competitors. that's coming up.
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welcome back most of you are not feeling the direct impact of the tariffs yet. consumer goods have so far been left out of the trade fight. many small american manufacturers are feeling the pinch. jobs will be on the line contessa brewer live in north bridge, massachusetts. contessa >> brian, we're here at a 24-hour factory that rolls out about 3,000 or more steel mesh products like take a look at this security fencing. this is high security wire mesh fencing that is rolling off of this welder. riverdale mills is probably best known for the wire mesh that it manufacturers for lobster traps.
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>> lobster market plunged. the lobstermen now can't afford to buy new traps they're repairing their traps at the same time. here at riverdale mills they say there is no way they can pass on the increased costs of their steel because the lobstermen can't afford it at this point. they had 200 workers at this plant before the tariffs went into effect. they're down to 150. the ceo says he is getting ready to tighten his belt even further. brian. >> i would imagine this is an extremely difficult time because these folks are not really on the frontlines necessarily in the papers, in other words we go buy stuff at the stores. we're not necessarily feeling it, but they are i would imagine there's got to be perhaps a political impact here as well >> 25% of the people at this plant lost their job
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the ceo says, look, all these tariffs are doing is giving a leg up to my chinese competitors. you know i have been out on the frontlines of this with bourbon and soybeans what has been surprising is in trump country, in areas where politically they supported the president, even when people were getting ready to go belly up, it has not changed their political persuasions. they say, well, look, something had to be done contessa brewer with a story that shows how much these tariffs -- bring us home some wire we're short wire here at cnbc. contessa, thank you very much. important story. your busy friday continues after this, including if you think stocks are risky and bonds are boring, we've got a guest with some new and unique investing ideas for you. i want you to think microliving. plus, will uber give investors a lift when it ipo's later today, or be another bust we're hours away, and we're back after this
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no dole. a new round of tariffs on $200 billion in chinese goods kicking in today china says it will retaliate will an 11th hour deal get struck global markets are reacting to the news, but not in the way you might think. chinese stocks doing something very surprising. and it's an uber busy day outside of trade
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the company becomes one of the biggest ipos of all time will it make you money it is friday, may 10th, and worldwide exchanges rolls on right now. >> tear ofs covered a lot, including computer components, furniture, as well as auto parts. in fact, i was speaking to one
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american executive at a manufacturer here who said that there is no place to hide. now, chooirn said that it's going to fight back almost immediately after the u.s.'s move the customers ministry announced it would take all necessary counter measures so far the ministry hasn't detailed what those counter measures are, and because of that there are a lot of people here speculating that perhaps beijing's leaders are hoping for a last minute agreement in washington president trump and president xi are expected to speak on the phone sometime soon, and this comes after president trump had said that president xi had sent him a "beautiful letter. now, the move has been seen as a play by the chinese, and people now are waiting to see exactly what's going to happen next at the trade talks, and whether or not there's going to be retaliation by the chinese, and that could include, brian 25%
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tariffs on $60 billion worth of american goods a cancellation of major purchases of agricultural products or even a reversalof some of the chinese promises for plans for the financial sector or for lowering car tariffs. that's currently what all the speculation is >> i want to know what the speculation is, eunice, about why the shanghai composite rose 3% overnight a nearly 4% jump for the shenzhen is this coif like trying to put this very delicately the one lap to go sign to the markets for the -- you know what i mean we're fine over here auto even with the higher tariffs.
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there is a debate going on as to how exactly these tariffs are going to effect the economy. there's one group that believes that the tariffs are going to -- the tariffs on the -- the 25% tariffs on the $200 billion is going to have a really negative impact on the sector barclay's, for example, believes there's going to be a half percent cut on chinese gdp, but then there's a whole other camp that believes that there's going to be only a mild impact, and part of that is because the government, if they see the impact is going to start pumping more stimulus into basically everything, that there's going to be an easing of monetary policy and that the markets are going to see more money. that's one of the reasons that you're seeing investors thinking perhaps there's more money in stimulus to come >> there you go. eunice yoon, you saved me. thank you very much. i do appreciate that >> the chinese markets rising. dow futures are down, but fractionally even outside of trade, let's forget about trade for a second. put it over here
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it has been one of the best starts to a year in decades for the stock market we're still up about 18% on the nasdaq and nasdaq 1 00 if you think stocks are overvalued and bonds are just, well, too boring, are there unique and new investment ideas out there for you? there are. that's why we brought in our next guest the founding partner and managing member at witherspoon partners former long-time goldman man welcome back to the program. big changes in the real estate market now, homeownership still very important. there are changes in behavior. people are looking for housing option that is are not as
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traditional as they used to be manufactured housing, single family rental. they are trends that are gaining a lot of traction. >> i think you see all this turmoil in the world, the tariffs, venezuela, brexit, whatever it is it's the new normal. you can get changes in housing perception, the way people want to live where i think social media drives a lot of this it came out of the financial crisis some of these -- it's really a smaller way of living
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it's not needing a home as kind of a main status symbol or as a main store of wealth the thing about social media -- social media is more about the journey than the destination people value freedom and red cross individuals, and a lot of that suits living in spauler accommodations >> big homes and high tax states are dead, aren't they? they're dying if they're not dead how do you make money off of that are you talking about -- maybe not dumping stocks, but looking elsewhere outside of equity perhaps buying homes and renting them out what's a good way to make money? >> a good way. we don't recommend specific stocks or funds, but there are public options out there, but in the public markets there are private options. these areas all need capital
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>> 15% plus type returns >> per annum >> yes that's pretty good in a market that could be flat for the rest of the year if you listen to a lot of our guests. and risk risk low, high >> well, that's the key. the risk is lower than perceived because these are trends that we believe are very firmly in place and they're not going to be reversed >> wow appreciate you coming on set this morning with some interesting ideas outside of equities because you need dramamine to be a stock investor these days coming up, raising the stakes and mare lowering the odds of a deal new tariffs kicking into effect just hours ago more on the big money impact, and then uber. will uber ever make money? can stock investors make money in uber stock? no one knows more about uber than deirdre who flew in from san francisco and, boy, are her arms tired she's on set after this.
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>> the moment is here. >> i'm glad i get to be right down at the new york stock exchange it feels like my baby is growing up in a way. >> it's all grown up okay if you had to write the headline on uber, what would the first headline be about today? >> "mad money," well, there are so many different angles i don't know where to start, right? >> they don't make money you had a great package yesterday. >> right yes. the company -- the biggest company to go public -- the most money losing company ever to go public, no company has lost as much money as uber at the time of when they go public, and history has shown that they don't necessarily fair very well in public markets. another angle, though, will be from -- this is a company with a lot of history it's been private for ten years. one of the all-time great -- i don't know, great not necessarily in a good way boardroom coos of silicon valley, right? >> despite getting sort of pushed out and there were some hr issues and just unsavory stuff. >> it's very generous.
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>> moving on, exactly. travis is going to be one of the rich it's men in america after today. >> he will be incredibly rich. >> how rich is he going to be? >> to gain -- last i checked i believe north of $6 billion. more than that you know, it could have been a lot more soft bank came in and they became the biggest investor. they're the ones who is, the ride-sharing king, he stands to gain the most at least on paper from this ipo. >> where does it go from here? we know what lyft's problems have been. the stock is the an all-tie low. it's early it's 20% down from late march. still a lot of time. that's a good question, and it's not like any other company we have seen come to market before. there is no blueprint for a ride-sharing company no company that has lost as much money between uber and lyft. the question for lyft has been what's the path to profit ability? when will it get there
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i don't think we have any better visibility of that today after being public for about a month, and i don't know that we'll know that about either of them. >> i wonder how this impacts your area, too living in the san francisco -- there's been a lot of hot ipos there's going to be money being -- one bedroom apartment will now be $6 million in san francisco. >> a touchy subject for josh and dede and i >> i mean that in a serious way. if you are an employee of uber where the other companies have gone public, you're getting rich the san francisco real estate market is already out of control. if you don't work for one of these companies, i don't know how you live where. >> i think i read that san francisco will have the most bill yore airs per capital wra we're not even talking millionaires anymore we're talking billionaires, and you see it in your day to day life we bring it back to how uber is doing today, and i think that's a major question going into the first trade.
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they priced close to the bottom of their range, $45. this is one of the most anticipated ipos in years, and even the big ipo's, facebook, alibaba, they priced above their range. >> we'll see if the bankers have learned something from the lyft debacle. >> and if they're prepared for, you know -- >> are you going downtown? are you going to be at the nyse for us >> sure will be. >> it's going to be great coverage all day >> thank you for having me and letting me get over my jet lag before you asked me on your show >> just stay awake that's the theme of worldwide exchange don't sleep. stay awake watch the show great stuff. he so you soon thank you. on deck, trade talks between the united states and china continue this morning. new tariffs kicking in is a deal on the horizon plus, your morning rbi the death of the successful ipo has been greatly exaggerated that mystery chart will show you why we say that and why it's important to focus on the things icarndhi auter tnkbo stk ou
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skbro firives it on $200 billion worth of chinese goods trade talks continue in d.c. china says it will retaliate look at that dow futures are flat nasdaq futures are actually higher the chinese shanghai composite overnight rose 3%. what's going on? joining us now is bob, vice chairman of kissinger associates, former vice chair of goldman sachs international. bob, you go to bed last night, and you think, well, the tariffs kick in. the higher tariffs kick in we could see dow futures down 500. we're flat i know you're not a day to day trader, obviously, but what do you ascribe this lack of market reaction >> well, two things. one, in jegeneral when you have negotiations of this type, there's a lot of frenzy towards
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the very end with tough talk and sometimes tough action sort of leading to a crescendo of activity, and then they come together and lo and behold, they reach a deal this has happened in past negotiations between the united states and other countries. >> it would plunge in it looked as if the whole were breaking up and there was going to be no deal, which in the minds of the market actually creates an incentive for a deal that's why they're relatively calm and in some cases optimistic today
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>> yeah, but the united states from everything that we've read and what you probably know firsthand, bob, is that the united states apparently wants china to put this stuff in writing, express deals that are made where we can actually enforce this deal against them in china effectively, i don't want to say rewrite their laws, but it's not far off, and if you are china, why would you ever agree to that >> this is part of the problem as i see it now, from the information i have received, the substance is an issue, but it's not the biggest issue at the moment there are probably a few gaps on the substance that need to be narrowed or eliminated, but the question is, a, how do you put this in writing, and, b, how do you find a mechanism for enforceme enforcement. the writing part is they're not about to have the united states, in effect, write their laws. they want to make a deal, and
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they will then implement the deal in the laws they write and the regulations they promulgate. i think that is a matter of national pride and an issue of faith, and the u.s. will probably not want other countries to participate in the writing of our laws either this is one major problem. the second is the enforcement. are the rules of the agreement of the provisions in the agreement going to be enforced by unilateral decisions of the united states, or is there going to be some collective common process for determining if a violation has occurred >> you know, it's like a global game of trade chicken, and everyone expects that we've talked to, bob, the cars will turn away from each other. they will not crash into each other head-on, but what if that happens? what are the odds that both sides don't blink, and this spirals out of control then what?
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i think it boils down to how many concessions the u.s. expects china to make and how it expects the agreement to be written. it's possible that they elizabeth be able to reach an agreement. the odds seem to be in the markets sort of telling us that this thinks they will. the administration has said that if will start imposing the sanctions and the higher tariffs, but not right away. the goods being shipped from china, yes, starting -- there is a period of time that still is
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available for the actual tariffs to hit goods coming into the united states, and that will give breathing room. the markets, which now anticipate an agreement will then suffer. we still have a little time to go before that occurs. >> bob, we appreciate your insight as always. bob, thank you very much >> thank you all right. uber, you might have heard about it the ipo and a ceo interview at 8:00 a.m andrew ross sorkin joining us from outside the new york stock exchange andrew it's on the lower end of the range. lots of questions about where this is all headed they'll be raising 8.1 billion dollars, which to put that in context for you, is the
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equivalent of effectively the amount of money they've lost over the past three years. i recently sat down with derek ahead of this morning, and i said before we'll be able to see him live at 8:00 we'll talk specifically about the ipo, but we had a conversation on tape about the development of the next generation of electric bikes and scooters i want to show you what he had to say about it because it really has to do with the future of transportation and perhaps the economics and growth of uber >> snoo i think we are leading into bikes -- there are more scooter companies out there. i think ultimately it's a combination of both. scooters are one mile or less. bikes tend to be two, three miles, which has more of an overlap of cars.
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>> i think too many people see this is it, and this is -- there's so much work to be done both on the hardware and software side. >> brooirn, we will have derek live at 8:00 a.m we'll be asking, and he will hopefully be answering all the questions that potential investors looking at this stock and at this company want to know that's, again, at 8:00 a.m. this morning on squawk. brian. >> i assume he will be a bill n billionaire after today, andrew. >> he will not he will not. he will make out well. he will make -- he will make millions of dollars, but not billions of dollars. that's for travis, the founder of the company, who will be here, by the way it's a little bit of a dramatic story. we'll talk about that as well.
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>> travis making the appearance. adds a twist there it's like an ed sof "billions. we'll look forward to that >> thanks. on this uber day, how could the rbi not be about ipos? despite some high-profile names like lyft and others, something really random and interesting that's happened with the names off the headlines. the renaissance capital ipo etf holds 73 stocks. all companies that have recently gone public. the etf is up 33% this year. 17 of the stocks in it are up more than 50% this year, and four names have more than doubled in 2019. one of those you probably heard of roku, right? have you heard of carvena, c limited? probably not they've been red hot the random lesson here, sometimes the name that no one seems to care about with the ones that make people care about them a lot random, but hopefully interesting. uber's ipo, china tariffs
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kicking in higher level. dow futures are flat a lot more to do i'll see you monday. "squawk box" picking up this big day coverage on cnbc next. have a great weekend the latest innovation from xfinity
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good morning no deal. the midnight trade deadline passed, and the u.s. hiked tariffs on chinese goods overnight. lead story we'll go live to beijing for a report on why stocks there are soaring. we'll show you the response in u.s. markets with stocks on track for their worst week of 2019 it's all relative. plus, uber gearing up for its market debut the company pricing at the low end of an expected range can you say lyft ipo
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it might have something to do with it. we'll have the first interview with a company ceo straight ahead. we're proud to have it on "squawk box. that's friday, may 10th, 2019. "squawk box" begins right now. live from new york where business never sleeps, this is "squawk box." good morning, everybody. welcome to "squawk box" here on cnbc we are live from the nasdaq market site in times square. i'm becky quick along with joe kernan andrew ross sorkin is reporting live on the uber ipo he is just outside the new york stock exchange andrew, go am. >> good morning to you we've got that news. i know we've got a lot more coming up, too, as well given the china news


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