the u.s. and china take their dispute to another level. >> currency is seen as a weapon of last resort. >> what we have ia message from pboc is cool down, folks. >> the world central banks accelerate their race to the bottom on interest rates. >> central banks are willing to go and willing to go big. >> wall street banks expected trim bonus for traders. the u.k. stumbles towards braggs it, deal or no deal. rexit, deal or no deal. >> if there is going to be a deal it has to be the first couple of days parliament returns. haslinda: sorting through a barrage of earnings reports. >> left wants to see profitabilities. the law of large numbers is catching up. >> we call it the star wars stumble. haslinda: experts on how they are reading at jumble. >> china and the u.s. aligned economically. >> i do not think the fed's job is to make sure there's not a recession. haslinda: all straight ahead on bloomberg best. ♪ nejra: hello and welcome. this is bloomberg best the weekly review of the most importan

so we clearly saw a u.s. economy which is 70% driven by domestic consumption, being supported by the consumer. now, that still may be the case, but what we'll have to see is this last trauverage of tariffs is focused on consumer goods. so areas like textiles, apparel, footwear all will be impacted. 10% not as bad as 25%. so maybe there's some ways to work around it. diversify its supply chains, etc. but if the consumer is impacted, i think we'll have to see if the u.s. economy also softens. so that's the next step to watch out for. paul: if we can look into the crystal ball, into the second half, you really do have to wonder, after a pretty mixed earnings season this time around, how earnings for the next half are going to look. >> yeah. that's a great point. i think coming into this earnings season, we were looking at a negative 3% year-end expectation for the s&p. we'll probably end up about negative 1%. so better than expected. what we're really watching for is that second half and particularly q-4. there'

u.s. stock futures tumble, and the yen top climbs on trade war escalation. the white house says president trump says he wishes he would hit china with higher tariffs from the start. global uncertainty the most important issue for their markets as jackson hole discusses threats to growth. an hong kong protest take an ominous turn. place drug guns and fire a shot, as demonstration turned violent again. shery: let's get started with a quick check of markets. u.s. futures at the moment plunging 1.1% heard this after we ended the regular session friday and president trump escalated the trade tensions against china, saying he will boost tariffs. this coming after china's retaliatory tariffs. on friday we saw a negative sentiment across markets. the dow falling 600 23 points, the s&p 500 lower by tack and technology energy stocks. after chairman powell comments at jackson hole which raised speculation now about the fed potentially easing more in the coming months. that felt 3%. continue to see th

the u.s. china trade war is still ongoing with no end in sight and with rattle markets in recent weeks many fear a possible recession but president donald trump claims were far from it. i think the word recession is a word that's inappropriate because it's just a word that the. the a certain people are going to be kind of certain people in the media are trying to build up because they'd love to see a recession we're very far from recession he went on to say the u.s. economy is doing very well adding china wants to make a deal the fact is somebody had to take china in my life would be a lot easier if i didn't take china on but i like doing it because i have to do it trump shocks global markets earlier this month when he announced adding another 10 percent tariff on $300000000000.00 in chinese imports scheduled to take effect september 1st and impacts mostly consumer goods we spoke to vice chairman of hong kong's apparel society for some perspective everyone is quite prepared and there has been

the u.s. could face resistance to ultra long bonds. stephen mnuchin floated the idea, but it will probably not get the backing of the elite group of the treasury secretary. views have not changed. the bank of korea hinting at further action to support the economy if risks continue to rise. that after leaving the key rate unchanged. as an indication of growing concern, more must be done to prop up growth. well meet ministers to try to keep the iran nuclear deal alive. they will talk for two days in foreign policy challenges. europe is trying to salvage the deal that the u.s. pulled out of. global news, 24 hours a day, powered by more than 2700 journalists and analysts. this is bloomberg. >> selina wang. up next, new tariffs. the story through the asian section. -- session. the latest on the trade narrative. bloomberg life is live. they are certainly covering that story for us. the latest overnight developments. this is bloomberg. his is bloomberg. back to bloomberg markets. we are 21 minutes aw

u.s. treasuries boosted this. 40 basis points. therefore, u.s. treasury markets will continue to get info. the u.s. -- inflow. scare, -- a growth arerly, treasuries expensive. where centralent bankers are trying to push the term and the yield, they can ring -- remain expensive for some time. onry ahn: there are charts the bloomberg showing s&p 500 around those one year highs. do you go broadband where the valuations are not as extreme? thee remain positive on u.s. markets. we realize they are expensive. in an environment where growth remains scarce, it will do well. singapore is one of these. hopefully they will find a way of coming together. shery ahn: trade tensions wherever you look nowadays. thank you for that. you can get a roundup of the stories you need to know to get your day going in this edition of daybreak. go to your terminals. it is also available on the mobile bloomberg anywhere app. this is bloomberg. ♪ shery ahn: this is daybreak asia. york.hery ahn in new paul: i am paul allen in sydney. the first production ready electric smar

u.s. attorney general william paul removes the acting director of prisons after the suicide of jeffrey epstein we discussed the conditions of the jail when epstein took his life with his former lawyer. but fundamentally wrong with that is that jeffrey abstained not long enough for saluting to begin with. the u.s. military and answers plans for new intermediate range hypersonic missiles off the pulling out of the i.n.f. treaty with russia and test launching a new cruise missile. silo you're watching r.t. international on rosana lockwood thank you for joining us. now more than a year of tensions in italy is that ruling coalition have come to a head with the italian prime minister just to picante resigning after the country's interior minister matteo says vini called for a vote of no confidence to do bensky reports on the unfolding political crisis. yes. well that resignation over its lease prime minister said because they had been widely speculated for the last few days and now it's happened

for u.s. president donald trump threatened once again to pull the united states out of the world trade organization on tuesday the kremlin reactance from the also saying the existence of the would be in serious doubt of major economies such as the united states left it and the u.s. is already paralyzing the body finally blocking the appointment of new arbitrators for the organizations appeal court tough times for the. in the long running dispute between the u.s. and europe both science accuse each other of illegally subsidizing their respective aircraft manufacturers and both sides have turned to the w t o to mediate in their cases now the world trade organization has ruled in separate proceedings that both boeing and airbus have received illegal subsidies. but the w t o's role as a neutral arbitrator in disputes could soon be over if the u.s. continues to block the appointment of new judges for the appellate body the organization will be unable to make rulings by the end of the year the w t o

u.s. of economic terrorism following new financial sanctions aimed at president nicolas maduro his government. is open for business. as a trade for turns into a currency dispute donald trump says the u.s. is benefiting from its battle with china. and outraged after pictures emerged of 2 texas policeman on horseback leading a handcuffed black man down a road by a road. pakistan says it will put maximum pressure on india over its decision to strip indian administered kashmir of its autonomy promise to iran concorde for international intervention following india's moves to change the status of the disputed region asama been java begins our coverage from was offered a bargain pakistan administered kashmir as. our fight will continue that's the message from these protesters and in pakistan administered kashmir if you 100 gathered towards the anger against the government. decision to abolish its special status of kashmir the himalayan region disputed the sun. may you are no good don't kiss my ap

i have traveled around the u.s. quite significantly, last year i was in detroit and cleveland, seeing the benefits that freedoms in this country have given to those great american cities. and what i think the opportunity from brexit is is for us to think differently and be able to allow different places in our country to do things differently, so that they can reach their full potential. we give more power to local communities and allow enterprise to thrive. of course, one of the biggest opportunities of brexit is the opportunity to strike a free trade deal with the united states, and i was pleased to meet ambassador lighthizer two days ago to discuss that opportunity and get things moving. this is following the very positive phone call between prime minister boris johnson and president trump. i think this shows there is a real economic headwind behind our economic partnership. that is something the heritage foundation has done a lot of work on, laying out those opportunities. and i want to restate the case of why o

. >>> u.s. president trump accuses a congresswoman of grandstanding in her spat with israel. >>> the u.s. issues a warrant to seize an iranian oil tanker, but gibraltar says the ship is free to go. >>> and in el paso, texas, hundreds show up to mourn a woman they did not know, a victim of this month's walmart shooting. these stories and much more ahead this hour. welcome to our viewers here in the united states and all around the world. i'm natalie allen in atlanta. "cnn newsroom" starts right now. >>> thank you again for joining us. our top story, u.s. president donald trump is slamming a democratic congresswoman for rejecting israel's decision to let her travel to the west bank. representatives ilhan omar and rashida tlaib, the first muslim women elected to the u.s. congress, earlier had been barred by israel from visiting. then israel granted tlaib permission to visit her elderly grandmother in the west bank, but tlaib declined. that prompted president trump to fire off a dig at tlaib. he twe

the tariffs are taking people's attention but the fundamentals in the u.s., the u.s. is still in healthy shape. francine: this is our question of the day. our mliv blog.on what assets will suffer the most from the yuan's breach of seven? natasha: good question. the broader question of the impact, i think the euro -- i think europe is positioned where the impact will be most felt. europe struggling to break 1% if we assume that the tariffs are going to shave global growth. 2.1% in china at 2%. 2%. europe -- and china at with europe being a big exporting area, that will impact europe. francine: natasha, thank you so much. she stays with us. should u.k. embraces -- should u.k. investors embrace? we will talk about what we heard from boris johnson. 2%.stoxx 600 down ♪ francine: renminbi the china's currency has fallen -- the move drags the stoxx lower. .ong kong protesters carrie lam warns the city is on the edge of a dangerous situation. surprise exit. john flint's tenure as the hsbc chief executive comes to an end. good morning, everyone. this is "bloomberg surveillan

germany will not take part in a u.s. led naval mission to secure the strait of hormuz foreign minister hark omar said his country wants to avoid a further escalation of tensions in the region washington had asked germany to join france and britain in a mission to secure shipping through the strains that. russia has deployed its military to fight forest fires in siberia and the country's far east the infernos having golf nearly 30000 square kilometers an area the size of belgium experts say the plays this were caused by thunderstorms during abnormally high temperatures and were later spread by strong winds. a roadside bomb has torn through a bus in western afghanistan killing at least 32 people security has been the cheering across the country with both the taleban and so-called islamic state fighters carrying out attacks almost every day. the african union's mediator for sudan has condemned the killing of 4 student opposition protesters earlier this week and called for a speedy trial for those responsible demonstrators t

could a u.s. u.k. trade deal help offset the economic damage of a no deal bricks it british prime minister boris johnson thinks so but from the u.s. congress there are strong voices of concern we tell you why. and also coming up the drug maker johnson and johnson find over its role in the opioid epidemic in the united states. welcome to the business a mortgage ensemble and good to have you with us now the g. 7 summit in beirut is ended and there were some surprises there including u.s. president on a trump sharing a fun press conference with german chancellor angela merkel and talks of a possible u.s. u.k. trade deal now one that could help offset the economic damage of a no deal breaks it at least that is what british prime minister boris johnson has been touting lately but not so fast the u.s. congress has a say on every trade deal and many congress members fear that a no deal breaks it would return you controls to the irish border undermining the 998 good friday peace agreement which ended 30 years

u.s. shares did bounce. on u.s. equities, dropping back at the moment and that is perhaps responsible for the share indices in japan and hong kong moving to the downside. that is the position. let's take you to the risk radar and look at gold, $1500 an ounce on the futures contract, coming off the high. brent crude had gone into official bear market terrain with a 20% fall from its peak. u.s. 10 year yields breaching 1.7, two basis point move to the downside and that is the position. the big story of the moment is the new zealand central bank cutting interest rates more than anticipated. david: that is the set up of markets. lots to talk about. keenan in newo su york with an update of your first word news. australia has issued a warning for travelers to hong "exercisemending they a high degree of caution," as unrest in the city escalates. they were more cautious tuesday night as police fired tear gas at protesters who route -- surrounded a police station to demand the release of a student arrested for possessing las

the u.s.-china trade were threatening demand. stockpileswing u.s. at a time when we should be seeing stronger demand at the end of the summer driving season. around $55 a barrel. it is flirting with that average , and sentiment in the market is bearish. caroline: we thank you. more breaking news. perspective,e into falling 11% for the worst one-day lost in 11 years. whistleblower crisis file play on accounting. news out of applied materials, coming out with $.74, net sales it isbillion, but for now that eps number that beats estimates, the highest testaments, lifting the stock by 3% in after-hours trade. joe: still with us is our guest, wells fargo asset management, and luke. next week will be big, jackson hole, jerome powell will speak. could this be a turnaround point for the markets, having the central bankers speak and layout their issues? could this catalyze the move higher? august andin september is a dangerous thing to do. you want to look through all the volatility we are seeing. a lot of attention will be on any language or commentary, but

u.s. state department announced that the u.s. successfully tested a new cruise missile that was previously outlawed by the terms of the i.n.f. treaty plus even before that the u.s. secretary of defense revealed that america was working on the deployment of new missiles to the asia pacific and the head of the pentagon made it clear that he wants that to happen asap now this friday the russian president as a result of that got together with the most senior russian officials that are in charge of security in this country and now he's saying that the american tests are nothing but a clear indication that washington pulled out of the treaty now because moscow was violating something russia believes that this was a well calculated plan to get their hands on tied the americans have orchestrated a propaganda campaign alleging violations by russia as it's now clear this was just a smokescreen to hide washington's own breaches of the treaty and its intention to leave it this all leaves 0 doubt about america's real intentions having got rid

ready u.s. presidential hopeful till cigar bar fails to make it through to the next round of democratic debates that despite becoming the most searched for candidates online she's not questioning the d.n.c. selection process. in other news a frenchman vows to appear left to losing his battle to protect people in his village from harmful pesticides we got reaction from the locals. i think the government isn't doing its job they're the 1st to say that there should be no path to site but they do nothing we breed the in the past the sites we did during tacitly amount of pesticides we found was alarmingly high. and a group of military experts is pushing the pentagon to come clean over the number of u.s. bases located overseas they claim current figures are being hugely understated. we are surprised sometimes when our young men and women are killed. if you're wondering where you've landed on the t.v. this is r t international always a pleasure to have your company. first this hour one of the most popu

u.s. attorney general william barr sacks the director of prisons are the suicide of geoffrey epstein to discuss the conditions of the jail where he took his own life if his former lawyer. is fundamentally wrong with that is that jeffrey actually did not belong in that facility to begin. and it's been revealed a british social media network aimed at young muslims is part of the u.k. government plan to tackle radicalization. like good morning just on 11 o'clock here in moscow you're watching some international now the u.s. has conducted its 1st test of a 500 kilometer cruise missile type previously banned for over 30 years under a now defunct arms control treaty between moscow and washington and has more to. well we have official word from the pentagon that indeed there has been a test of a missile that would have violated the intermediate range nuclear forces treaty that treaty has now expired and the usa has conducted a test of a missile that would have violated it here's what we heard fro

markets real as the u.s. and china take it to another level. >> the currency is seen as a last resource. the world central banks accelerate their race to the bottom. are willing to go big. stumbles toward the next step on brexit, deal or no deal. >> if

u.s. and china come to the table but trade talks , fizzle. >> for decades, china has taken advantage of trade. president trump has said we will fix this. >> the prime minister loses when it is him against the markets. >> the biggest week of earnings season with powerhouse companies reporting. >> better than expected cash flow which we have not seen for a long time. >> in the second half of the year things should pick up. >> we are seeing a little performance art. >> mexico's president speaks exclusively to bloomberg. he says interest rates are too high but he will not intervene. >> we trust we are not just going to grow but also to develop. >> some of europe's largest banks say it is high time or -- for rates to come up. >> fundamentally negative interest rates -- >> not just for the future of banks at stake right now. >> it is all ahead on "bloomberg best." ♪ mo: -- emma: hello and welcome. i am emma chandra. this is "bloomberg best." the weekly review of the most important interviews f

u.s. disagrees. doubling down on his criticisms of sanctions against him and his country, as iran claims they seized another tanker in persian gulf. seized a foreign tanker, detaining 7 crew members on wednesday, iran said it was an iraqi ship, illegally smuggling 700,000 liters of fuel. they claim st not affiliated with the iraqi government, he said this was a private tanker. in has been a lot of tension in persian gulf, u.s. has pushed for an international maritime security initiative, focused on protecting commercial transit in the gulf, uk announcing they will join u.s. navy in those efforts, germany already said they would not join a u.s.-lead mission in persian gulf in part they believe u.s. policy of maximum pressure is a bad one, australia said they are giving consideration to joining the u.s.-led mission. elizabeth: thank you so much. >> for his expe expertise, joine now, retired four-star general jack keane. what next step do you see happening from this. >> i don't think that strategy that

the u.s. response was to deploy its own mid range pershing missiles in europe that was met with protests across the west the demonstrations showed demand for a new direction the result was the i.n.f. treaty. it banned all ground launched ballistic missiles with ranges of between $505.00 and a half 1000 kilometers the soviet union got rid of $1846.00 intermediate range missiles in the united states about half as many. by $991.00 a total of $2692.00 missiles were destroyed. now president donald trump has officially withdrawn the u.s. from the treaty washington and its nato allies say russia has deployed new intermediate ground missiles that violate the ins terms moscow for its part has also pulled out of the treaty charging that washington has breached the i.n.f. by setting up missile defense stations in eastern europe the analysts worry a new cold war style arms race could be looming journeymen our correspondents terry shows in brussels indeed obvious russia correspondent jock surratt joins me

when the u.s. was still in the deal, there were no tankers being sabotaged in the persian , tankers being seized, drones being shot down. in thean was active region, but i would argue that it has to do more with the u.s.'s mistakes like invading iraq in opening iraq to a influence, then some sort of diabolical iranian hegemonic impulse. nefarious and malign behavior has gotten worse since the u.s. left the deal, and it makes perfect sense because iran is signaling that it will not sit there and have its economy completely choked off and have the international community pay no price. what is surprising is that iran was patient for a year until the united states decided it was going to issue no more waivers for iranian oil exports and it would try to reduce around oil exports to zero. all of this is quite predictable. sanctions, sanctions and more sanctions. last week was simply the height absurdity. the united states, which claims it once new negotiations with iran sanctioned the one individual who

u.s. and china. >>> european bonds rally as yields continue to tumble with the german 30-year and uk 10-year touching record lows. >>> hsbc has a surprise departure of the ceo, flint, in the role, amid a report that thousands of employees are set to lose their jobs. >>> the yuan slides to the lowest in a decade, with the move being called normal, promising to keep the currency stable >>> we've got some final pmi numbers for the yoeurozone it is in line with the estimate we got a few days back june number was 52.2 this is a three-month low. services pmi is 53.2 that's slightly lower than the flash of 53.3 and slightly lower than the june final number we saw of 53.6. interesting looking at the services new export business down at 49.2 into contraction territory, in line with the flash and very slightly lower than the month in june >> of course, this comes on the back of that very disappointing german pmi we just had a few minutes before pointing to a composite pmi number for germany of 50.9,

the u.s. is higher than it was two months ago and higher than it needs to be. morgan stanley said that the u.s. put tariffs on imports for 4-6 months and a global contraction is likely within three quarters. an extremely high degree of uncertainty in markets. you see that with all the assets people run to when they are scared. long-term u.s. bonds, gold, even bitcoin, that is a sign that people are anxious. >> president trump is bashing the fed again, firing off a string of tweets calling for faster rate cuts. he said that the fed doesn't understand that the u.s. is competing with other countries. he also says the fed is too proud to admit mistakes of acting too quickly and tightening too much. oil clawed back some losses after saudi arabia spoke to fellow producers about recent slide. prices fell to lows not seen since the start of the year. a surprise surgeon stop miles fueled new worries -- a surprise search in stockpiles fueled new worries about a glut. fears of recession. british airways

the u.s. says new sanctions will choke off financing for venezuela's president. frozen venezuelan government assets, blocking all u.s. companies and individuals from doing business with president nicolas maduro's administration and its supporters. has warned that sanctions will be imposed on anyone who supports caracas. taken adent trump has very strong move here, imposing sweeping sanctions, putting a full block on a full freeze, on all assets and all parts of the government of venezuela in the u.s., and also, imposing thetions or setting up situation to impose sanctions on any person or business that does significant business with the government of venezuela. this goes well beyond anything we have done before and it really is a very strong move by the president. barbara: more on that story from caracas. another executive order by donald trump imposing more sanctions in venezuela, and this generates lots of uncertainty in a country that is already struggling with an economic crisis about what

the u.s. army garrison humphreys, america's largest overseas military facility. the defense department has agreed with the republic of korea allies to accelerate the transition of wartime operational control so the rok can lead the defense. -- its defense. we continue to always go together. turning to japan, our largest overseas host of u.s. forces in the world. 55,000 u.s. servicemembers and their families call it home. with enhanced capabilities we are reshaping the u.s.-japan alliance especially as japan has evolved into a trusted partner and security partner for numerous countries in south and southeast asia. the bilateral alliance with both of these countries is important to us, and the important trilateral cooperation has allowed our countries to take on the most challenging national security issues since world war ii. from the challenges presented by the soviet union during the cold war, to the threat posed by north korea, to the emerging challenges that china presents as a global compe

emily: u.s. companies have been pushing back along with the u.s. administration. a spokesperson for a trade group representing the tech industry said, our members are concerned with the tax, specifically against successful american companies. the tax will disproportionately harm some of the most successful enterprises based in the united states. made the argument that it would be difficult and costly for them to collect the data necessary to pay this tax. can you explain that and do you buy the argument? laura: basically, instead of where you book the income to pay the tax, it is where the user is. facebook says, we track where our users are generally for business purposes but not for tax purposes. as an american, we are in france and we opened up facebook on our that wouldaw an ad, technically be taxed but they are not tracking that movement. a french person checking their social media account would fall out of the bucket. it gets very complicated for facebook and these tech companies to be tracking whether users are as well as where their advertisers are at all

qatar and saudi arabia so that's all u.s. allies u.s. allies exactly exactly yell and i had been investigating a plane the departed from reactor airport 5 days earlier she believes carried weapons to the middle east. you can see tongue fight for there are the words that this plane took several town and you can see places such as r r ion gotta exactly and also it has flights number mark which is very specific for the planes that are actually transporting military goods. this is footage of the plane yelena tracked it has been loaded with crates at least 20 u.s. military flights have left this airport in the past 6 months. and when we arrive at the airport we to see a play pool. this is one of the busiest airports to when it comes to players such as this one. is from the same airline yelena had been investigating various really is pretty nuts it's just in the middle of a traffic junction. they are about to take all. their weapons there they're probably.

u.s. foreign policy shifts now to southeast asia. after world war ii, western powers hoped to foster anti-communist governments in the region. in his book "arc of containment" wen-qing ngoei said that the united states was successful in the regional strategy. this is about 90 minutes. >> all right. everyone, i would like to call us all to order. good afternoon. and welcome to this afternoon's session of the washington history seminar historical perspectives on international and national affairs. i'm eric arnesen of george washington university and i'm the cochair of this seminar along with christian ostermann who represents the wilson center. as you may see, we have c-span taping here today so we would like to welcome those of you who are watching on your computers or on your television screens and suggest that you visit the website to learn more about the seminar series and upcoming speakers here at the wilson center. the washington history seminar is a collaborative effort of two organiz

., along the u.s. to export energy a broad in the form of liquefied natural gas, and crude oil. vonnie: he missed a session on climate change right before a news conference with the actual host, president macron. is not aising, he climate change believer, but at the same time a little odd to the other attendees at the g7. >> certainly, the president interactions on climate change have been tricky for members of the g7 and g20 consistently. that is not an exception today. , theve seen in the past president has been unwilling to to consensus on statements about addressing climate change. sometimes a statement representing all the nations except for the u.s., with anna denton from the u.s. -- an addendum from the u.s. describing the position. president trump not at the meeting is consistent with his approach to these international summits. vonnie: when you think about wind power, he particularly we knowindmills, but that he has a lot of wind power from the states that he won, also has a problem with that

about whether the u.s. missed the boat with one of our african correspondents in a moment 1st africa's efforts to set up its own trading block just recently launched the african continent free trade area the biggest of its kind in the world but there's resistance from west africa's economic union was. a popular market in the capital accra. a good place to hunt for spare parts for cars and trucks. local traders seldom mastic products or engage in craft related activities. foreign trade or he's mostly from nigeria. one in 5 of the shops here. the biggest stories. is one of them imports electronic devices and says the costs involved even when importing goods. not. these from. banks are not fans of increasing access to local markets citizens like the nigerian merchants of the market we have. because. this piece is. so even get. if you. really look. at the african continental free trade agreement will do little to ease that concern analysts say the deal faces an uphill battle. for a 2nd say that it's going to be

further u.s. attorney general william but as such the director of u.s. prisons following eppstein suicide as he was being held at that facility reserved for the most dangerous criminals among them the mexican drug baron el chapo we spoke to have seen his lawyer furniture thinks the conditions of the jail were what drove him over the edge. the conditions to which he was subjected would buckle even the knees of the strongest among us it's this is one of the toughest federal pretrial detention facilities in the country and the conditions are inhumane epstein was subjected to conditions that were similar to those of guzman but not remotely justified by his character or what he was accused of because he was not. a violent individual like chapman chapo was alleged to have been he's not a guy who has escaped from prior facilities like guzman was alleged to have done so one would be comparing apples and oranges to liken the 2 to each other but yet their conditions of confinement were strikingly similar and there's something fundamentally wrong with that and what

u.s. investments in china benefit the u.s. economy. u.s. companies have benefited greatly from the growth china has provided ostly through rapidly growing exports. it is person to note -- important to note most companies ins have in china to serve their domestic market but the revenue generate in online is also a driver of growth and he united states. china u.s. exports it directly and indirectly jobs in 1.8 million the united states. he economic benefits from that investment in china and are 2.6 american jobs. the healthcare sector is an part of this story and u.s., ports of pharmaceuticals reached nearly $3 supports 2018 and it 4 po 4.7 u.s. jobs. medical device industry supports 2 million u.s. jobs. hina is the second largest market for pharmaceuticals and further for mechanical equipment rapidly as owing china ages. it is increasingly important companies participate in this to support u.s. job creation. the second principle is commercial challenges are best engagement.hrough it is my experience chinese health care regular hit fors are -

even in the u.s. market, as a haven asset which still has some yield around it, you will find investors forced into that space, too. that may be wrong from an economic long-term perspective, but in an investable timescale, i would still be in credit. lisa: in the past couple of weeks there has been a paradigm shift from low rates pushing people into riskier assets, yield, to low rates indicate a slow down, pushing people away from the riskier assets, and you have seen a diversion between the lowest and highest rated debt, and how people are trying to hide out in stuff that is more credit worthy. are you seeing opportunities in the lower rated credit, or are you also going into higher rated debt to gird for what could be a downturn? matt: the opportunity has been to be crowded into the higher-quality spreads. that is a nice way to deliver -- diversify and get income. that is absolutely the trade, we think that continues, and it expands into other sectors in the bond market that benefit from low rates l

in the u.s. officials told the newspaper that there have been at least 4 strikes on weapons depos controlled by iranian backed groups in iraq a military official confirmed a base was hit and 3 people were killed including one iranian. or an israeli teenager has been killed by a bomb near an illegal settlement in the occupied west bank the israeli army says it's not immediately clear if the device had been planted in advance or thrown meanwhile thousands of palestinians in gaza are rallying after a tense week at the security fence with israel it follows at least 3 incidents of rocket fire and as strikes 9 people have been injured at the demonstration so far is the 71st consecutive great launch of return. russian president vladimir putin has ordered the russian military to respond after the u.s. tested and new missile on sunday the modified ground launch cruise missile would have been banned on the 1907 intermediate range nuclear forces treaty which both russia and the us of now withdrawn from the

peace deal if the u.s. forces are set to leave the country how do you go about improving security in afghanistan. i think we are fully dependent on afghanistan in terms of finance as well as in terms of training as well as even air support for the u.s. and nato troops and of course there are more than 22 terrorist organization operating across the border between afghanistan and pakistan who are clear not only for that region but globally as well so i think if the u.s. troops would draw from of hundreds son not only financially that aid will reduce or even enter afghanistan but also there will be huge vacuum in gap specifically in terms of fighting terrorism because that used to send afghanistan has 2 major tusk one is countering terrorism through special operations and unconventional troops and another is training advising and assisting the afghan national security forces so anywhere drop it will create a massive gap that gap will be filled by terrorists by insurgents and that will trip back you know wester

the u.s. envoy to afghanistan says excellent progress has been made in the latest round of talks with taliban. has just left heading for talks in india he says a final deal on u.s. troop withdrawal will be reached soon the taliban has also been optimistic saying it's ready to negotiate with the afghan government wants foreign forces withdraw. in syria's rebel controlled provinces collapsed the government has resumed its offensive with strikes reported in the southern parts of the province syria's government has accused rebel forces of violating the terms of the truce and is blaming turkey for not enforcing its cease fire was agreed in kazakhstan on thursday. the turkey syria border. the ceasefire has collapsed the airstrikes have resumed the syrian military is announcement that it would resume military operations in that rebel controlled province in northwestern syria came as a surprise really because the ceasefire seemed to be holding since friday night there have been no air strikes the warr

u.s. have kicked off a new round of trade talks in shanghai today. it follows a three-month hiatus in renewed accusations from donald trump that beijing is trying to rip off america. the u.s. president lashed out on twitter. he says there has been a promise produceore u.s. farm but he ended by saying they just don't come through. >> china says they have come to the table. obviously they have their own redline. they want the u.s. to come to huawei forwith fou example. these are sticking points from both sides. it would be critical to see what kind of movement comes out of these talks in shanghai. withey left early today neither side feeling like they made much progress after president trump set the stage by accusing the chinese of ripping off the united date. the chinese after the fact saying the united states would have to shows siri the and good faith. the pressure on both sides to get to a deal and hurry up if you will is not there anymore. the real priority was running through the issue

u.s.-china trade war. that in mind, the figure of $6.3 billion looks good. we will await the july figures. shery: investors have a lot on their plate today to digest. ground, one losing point 5% after u.s. equities lost more than $700 billion of market value just on this monday as we continue to see the trade war escalation between the u.s. and china. we saw the s&p 500 lose 3%. tech and financial leading the declines. it was a brutal day with the nasdaq losing more than 3%. 700dow jones more than points. after hours, china being designated a currency manipulator. u.s. futures taking a hit as well. let's take a look at what volatility did. surge in this session above the 20 level. 10-year gilts falling to the lowest level that we have not seen since before the 2016 election. when it comes to the three-month tenure yield curve, inversion at the most extreme since the financial crisis, so really a lot to digest and even more as we continue to see the trade war escalation. let's see how you a

viviana: the u.s. federal trade commission is looking at whether a company bought upstart for competition. this is part of the trump administration's esca living scrutiny of tech giants. boeing redesigning -- escalating scrutiny of tech giants. we have learned that boeing is still aiming to present software to regulators by september. the timeline could slip after the changes of a flight control system will read input and max planem the plus computers. there is an order that appears to offer -- authorize a second round of sections on moscow come as punishment for the 2018 nerve agent attack on a former russia spy in the u.k.. the order for this u.s. bank loan -- global news 24 hours a day on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries, i am viviana hurtado. francine: let's get to an exclusive interview, it is one year this week since the italian luxury company made headlines with the appointment of a new chief executive. they are known for

the u.s. dollar china responding overnight their central bank setting the currency mid point at a stronger level than many expected we are seeing -- this is key -- the yuan back above 7-1. right now at 7.03. en liunlike our u.s. dollar, chn tries to control how much their currency swerves the next few days will be key. if china can press the biggest banks to support the currency, the markets here could stabilize. if china doesn't t could signal a broader poll sicy shift by the chinese government the costs to borrow should come down global investors are rushing into u.s. government bonds, which despite what everybody thought have become one of the best performing asset classes of the year ten-year note at 1.76% the upshot, if you don't trade bonds or currencies, mortgage rates, they are coming down and they should keep coming down if that number continues to come down there you go now we are watching the action around the world this morning. as always, in the worldwide leader in business new, w

the u.s. navy. >> why was the u.s. military in cuba in 1898? >> it can be complicated. and at times not so complicated but there was a lot of sympathy for the cost for the freedom of cubans. newspapers shared stories of atrocities shared by the government, the people who live there. another important event, the explosion of the uss in the harbor, all those things combined to bring the u.s. and april and may of 1898. we don't really know exactly what happened in the main. there is an explosion with the battleship there, there were two different independent studies done. once by the u.s. government, once by the spanish government. the u.s. government determined it was a submarine mine that caused the explosion. they determined it was an internal explosion. we don't really know for sure exactly but there were lots of jumping to conclusions. a lot of americans instantly blamed spain. they said it was a dirty trick of the government against the battleship, more than 200 lives lost. that brought a l

u.s. later donald trump cancels a state visit to denmark after calling remarks by its prime minister nastase she had rejected his offer to buy bring the cooling it. also made organization oxfam lashes out at g 7 countries ahead of their summit this weekend accusing them of driving global in the quality of their policies. rich increased over the last the last year and actually the wealth of richest billionaires was growing while the wealth for top of society had fallen. and the head of a major moscow regional correspondent takes to the skies with russia's elite aerobatics team and gets behind the problems. about your brother. but what. about. yeah. like good morning just gone 10 here in moscow he watching international now the u.s. president donald trump claims he can sort his state visit to denmark because the country's prime minister made some quite nasty remarks he had offered to buy greenland a danish dependent territory but that was quickly rejected. prime minister's statement that it

u.s. president donald trump claimed monday that chinese trade officials called twice over the weekend during the g. 7 summit to resume trade negotiations mr trump made the statement during the event and barrett's friends. in the treaty. and senate get back to the table so we'll be getting back to you want to do some. very vanity but this is the right thing to do and i care a great respect for your district which is a very positive event. to the world. the u.s. president made plenty of headlines regarding trade during the c g 7 whether intentional or not including 1st perspective bilateral deals with japan and the european union as well as of the ongoing trade war with china our producer brendan poor has a story. very very close to. me this is they want to be able to. report. what it was really a. lot of things that happened during meetings that the group of 7 summit in france u.s. president donald trump continued his positive tone about the state of u.s. china trade talks with the exceptio

the push and pull on trade between u.s. and china continues this week, with headlines tweets and headlines driving market sentiment up and down on a nearly daily basis. meanwhile, businesses are trying to set long-term plans and maintain medical librium in an uncertain environment. john chambers, the former chairman and ceo of cisco, shared his perspective on the situation. john: what i tried to do is not look at the individual moves in the chess game from both sides but look at the big picture. the big picture is the relationship between the u.s. and china, and i have been in china over 40 years. it has developed into win-lose with the u.s. losing. there is not a level playing field, this is how american companies are treated in china, . the industrial espionage is at an unacceptable level, and we have to get back to a better balance. i do agree that the u.s. had to address this. secondly, and however, it is in both countries' best interest that we get a resolution. i'm more optimistic than others that the resolution will

economy and the u.s. taxpayer for years we think it's the right thing but on it i personally believe he could be a little more flexible and get things done and get things moving at least i think his tweets harm tour so i really do i wish he wouldn't be so bombastic out there with some of the things he says but that's the way this man is you also do quite some business was china so what do you hear from over there from your partners yeah i mean i work actually for a company have a china and hong kong and they feel that china's taking a hard policy and they should break because they're seeing ramifications in their economy more than we are i mean it's definitely slowing down it's more unemployment and we're seeing unrest they're not reporting it because the communist country but we are seeing more unrest going on in china we're seeing in hong kong a high level but it's a start to get out of hand there so that's another reason i do think we'll see some kind of movement one way or another i don't think everyo

but first, the u.s. announced they will extend a limited set of exemptions that have protected rural networks and other customers from doing business with huawei. this comes as the trade war rages on with the u.s. one tech ceo is taking his concerns about the possible tax straight to the top, apple's tim cook, a move that has impressed president trump. pres. trump: he is the one that calls me. that's why he's a great executive. he calls me and others don't. others go out and hire very expensive consultants, and tim cook calls donald trump directly. i would take your calls, but the only one who calls me is tim cook. whenever there is a problem, he will call. emily: we spoke to an investor across the tech sector. >> i think this president wants u.s. companies to succeed, so i think at the end of the day, this is part of negotiations and just that. it will end in lower tariffs overall. that said, apple has so many interesting things going for it. apple tv, we are learning more about that. apple pay, but the

u.s. says china should respect the city's autonomy. president trump will delay china.nal tariffs on markets rally on the news of apple surging 4%. the cbs-viacom romance leads to a waiting. the megamerger -- shery: breaking news out of south korea. we have the unemployment rate for the month of july coming in at 4%. that was as analysts expected. the third month in a row that stayed at 4%. south korea added 299,000 jobs in july, higher than the 281,000 they added in june. the south korean economy and job market being highly supported by government job creation. we are expecting the extra budget set to pass parliament at the start of august to also give more support for the job market. exportseantime, continue to plunge in south korea, now headed to the ninth month of export declines in august.we have seen the weakness in w theon throughout these -- the south korean won. in hongrn to sophie kong for a check on where markets are headed this morning. sophie: we have plenty more data to come t