i got monday the ninth of march. this is trending business. ♪ we will be live in beijing and tokyo this hour. first, here is what we are watching this morning. trade up. exports show surprising strength the first two months of the year. the surplus to another record. $60.6 billion last month. is oil going to return to what we might call normal apco opec

-- normal? opec think so. one year later, we still have questions about the missing malaysia in error flight -- malaysian air flight. you can follow me on twitter. #t't forget to include the rendingbusiness. singapore, taiwan, and malaysia have just come online. job shocker on friday. the concern is that rates will go up sooner rather than later. a very strong figure indeed. asian stocks are falling across the board.

almost opening right now in japan. you can see the theme this morning. all these are factors of declining. the japanese gdp is revived. the first expansion is encouraging. >> the u.s. economic recovery

chinese trade rates. seasonalare always distortions in february. that is what we are getting. exports up 48%, much higher than expected. the other side of the groin, imports are down more than expected. down about 20.5%. -- the other side of the coin if you want to look at those export numbers, you really have to combine january and february together. that saw a 15% increase in exports. discountust, you can't the seasonal distortions altogether. that is higher than the government's new target for growth in exports for this full year of the percent. bottom line, the u.s. recovery

is under pending growth. weak domestic demand in china, also lower commodity prices are hampering imports. the fourth straight months out of the past 12. >> we will take a more detailed look at that story later. we want your opinion of course. tweet us your thoughts. let's go to japan. they emerged from the recession in the last quarter of 2014, but not nearly as robustly as originally thought. james joins us now from tokyo. what do these numbers tell us? >> thanks. ir economy did return to growth in the fourth quarter of

last year. it was revised down from the luminary numbers. we saw stronger then expected consumer numbers. businesses are not confident and they cut investments in the third quarter. lowered their inventories, which suggests that they are not confident that growth is going to be robust going forward. they are cutting down on the inventories that have built up after april's sales tax increase last year. business spending climates are much worse than the forecast. even though japanese companies have gotten massive cash reserves and is seen the highest profits they've ever had, they are not confident that the economy will pick up. this will make it harder for the japanese bank to reach their target for growth. one estimate we saw before today was that the economy would have to grow 9% in the current.

to reach the forecast for growth. obvious the that is not going to happen. will the bank of japan increase stimulus to try to boost the economy and make the recovery more robust? >> thanks, james. look at some of the other stories we are watching today. here is shery. is expected to return to world oil markets in the second half of this year. that is according to the head of opec. amanda was weaker than expected in 2014 and will rise by more than a million barrels a day this year. sincehas housed in value june because of that oversupply. november was to maintain production.

has grown since 2008. cannot cut production because of the rise in share in a non-opec output. he encouraged opec nations to encourage -- two increase diversity. is expected to discuss options with lenders behind its $2.5 billion in offshore debt. they are holding a conference call in about one hour to overview of the developer situation as well as the development since it's reagan -- since its recent acquisition by sunac. they will outline the next steps they need to take.

it will also offer details for restructuring terms for lenders. they hope to extend their offshore debt and cut interest payments. already, they have asked on short creditors to forgive some interest payments on about $7.7 billion of debt. let's head over to japan now where uber is facing another regulatory hurdle. lawmakers have tried to shut the company in the southwest part of the country. say they can't provide transport if the drivers are -- a the drivers do not have taxi license. haltzx had to

operations because of a similar problem. the show, weead on are going to be bringing on the bling with the world's largest online diamond retailer. if you have any questions, tweet me. don't forget to include the #. the latest on the markets at the start of the trading week. ,"is is "trending business back after this. ♪ >> welcome back.

our guest is usually based in london. set. let'sour new talk about february.

i think a lot of the risk factors that people were concerned about seemed a little bit all clear. is that the sentiment? >> i think it is always a little bit too early to give the all clear on europe. online and data starting to accelerate, i think they could do quite well. equities globally in europe. littlegrowth looks a like people are taking more risks. is the bottom gone at this point? are we believing the opec estimates? --ks i've given up trying to

what's i've given up trying to i've given up. >> you talked a little bit about the euro there. the qe program starts today. is talking a lot of talk about this is -- about how this is already going to be a success. is it going to work? >> i think so. where financial conditions are across the eurozone, they've eased considerably. that breakup risk has subsided somewhat. the first time we have seen a president ahead of the curve in europe. beneficialt can be for european equities on a medium-term basis. europe suffers from structural rigidity. with the have the ongoing negotiations in greece.

not time to give it the all clear. but i think we should be buying european equities. >> that seems to be the trend these days. is draghi overoptimistic? they of height to their nominal gdp numbers on growth and inflation. is that the way to go? >> i think so. i think they have to talk the economy up. we feel relatively cautious on the them on it -- on the economy. expectations have been able to keep inflation from falling below that zero level. inflation is low at the moment, but we have not yet seen the base of deflation like we haven't japan. we will watch and see how the policy develops. it was revised in japan. your take on all of this?

this is where they want the numbers to be. slow, tentative signs that the economy is getting better. liquidity is across that region. we know the bank of japan is all in. possibly more easing further down the line is needed. we remain open to these equities. clearly, the structural headwinds are still there. many more things to do. rather like the zurich -- rather like the eurozone, we can be relatively optimistic. business spending we saw. capital investments going down. is that a concern? >> i think so. we have to be very clear why we are buying that market. we are buying it for a play on global growth, extort very monetary policy from the bank of japan. we aren't buying it because we see a robust economic rebound. >> overall, this rebound we are

seeing. bojis not as much as the wanted. to see about 9% growth in the economy before it can actually reach any kind of target. >> they have to do more easing. that is probably coming towards the back end of this year. they have gone all in. they need to keep doing it and keep the jg be market under control. trying to get those real interest rates as low as they possibly can be. alternately, they hope that will be enough to restart the economy. this is going to take a very long. period of time. >> let's go to china because we just got the trade numbers of the weekend.

how much will you come to play with those huge distortions we saw? did you even look at these numbers? more important point is that really external demand in the chinese economy is not something we are particularly worried about. i think the concerns us much more is the liquidity price across the region. the price of liquidity still continue to increase. china is an internal demand issue. looking at the external trade numbers, you can see imports falling off. we see no real signs of growth accelerating across that region. certainly from a market point of view, we feel relatively hong kong ands the chinese equity markets. >> it seems like the central bank is leaning against the market pleasures -- market pressures we've seen. are debatingeople in the market about whether they ultimately will be forced to reevaluate. they still have further reserve

cuts that can be done. they still have further easing policy measures that can be done. there are many other things they have in their playbook. it looks a little bit too much of a heartrate to get right. we have been underweight. the much cleaner trade across that region is the underweight commodity export to anything that is tied in to that cycle in china. we see no opportunity to pick the bottom on. underweight equities across that region. we will see how this plays out. >> we're going to have another in the -- another move in the rba, too. i really appreciate your time. welcome to hong kong. ♪ let's now check on some of the stories making headlines around the world. five men have been charged with the murder of leading russian

opposition picture -- figure nemtsov. the interfax news agency says one of them has admitted being part of the killing. .e was gunned down he was a former deputy prime minister who fell out of favor and became an outspoken critic of president putin. greece is considering a referendum on government policy. they turned down further aid on a meeting in brussels today. athens has been unable to agree on terms. the eurogroup has that reform plans are far from complete. to putdline threatens grace into default. president obama says the united states will walk away from talks with iran if tehran doesn't accept limits on it nuclear program. agreement would improve

security in the middle east. netanyahuime minister says it will take iran closer to nuclear weapons. one year on, we have plenty of questions but still no answers. after the break, we will talk about the latest search for mh370. ♪

>> we are one year on from the disappearance of malaysian airlines flight mh370. australia's prime minister says the search will go on as long as there are reasonable leads. let's go over to paul allen in sydney. --aysians government malaysia's government has released a report. was there any new information in it? >> one of the points was that this so-called rogue pilot's theory was rolled out. the report found there was no evidence to support mallon tent from the pilots. -- malintent a battery had gone flat. deal insn't a great this report for all its 584 pages. most of it focused on how normal

the flight had been until the critical moment it disappeared. the area has been part of the problem. this enormous stretch of the southern indian ocean where the waves can get very high, the wind is very rough, the water very deep in places. it is not flat out there either. it is more like an underwater mountain range. the search has been scaled back significantly. at its peak, there were 81 planes and 85 ships involved. ships are down to four scaling that area. the australian prime minister says he remains confident that the plane will be found. but if nothing terms that in that search area, they will move to another area and continue pursuing the search as long as they have reasonable leads. >> you're talking about nobody, not even a trace of debris. ministers transport

says he is actually confident the plane will be found? >> yes he does remain confident. it has been an expensive search as well. $120 million so far. that is the most expensive in aviation history. he thinks something will turn up. he also says this report was not intended to apportion blame or liability in any way. it was more about ensuring that this sort of thing never happens again. in that respect, he said there will be some changes in terms of how blackbox data is shared and how the international community shares data. aboutare not only talking a tracking system. we are also talking about black can coordinatewe between countries. how we share data and information. aviation, it to cuts across all countries.

i will say that this will change the whole world as far as aviation safety. also prettywas heavily criticized in the early days of the disappearance of mh370 after the transport minister said that malaysia has been nothing but transparent throughout. >> joining us live from sydney. thank you. there is more to healthy living than just fitness. a closer look at green apartments in hong kong. in hong kong and shanghai get underway. we will have the opening numbers after this break ♪.

what you are watching "trending business." asian shares following wall street's lead. most since january after a sell off in new york on friday. u.s. job data spurred traders to bring forward of their best on what the feds will raise interest rates. the economy grew one point 5%,

less than the initial 2.2%. companies and it -- companies droppededly investments. been forced toas shut down its ridesharing trial after the government declared it illegal. the company says it will continue to negotiate with authorities. let's take a look at the markets with john. the reaction to the openings. >> here the figures so far. the reaction will meet sometime for the markets to kick into action. figures are coming in at the 95 thousands for february.

rates may go higher sooner. that is the reason why you are seeing stocks falling across the board. the worst is in japan on gdp. it actually came in below estimates, however, there is still growth. it's the first expansion in three quarters. that is the bigger picture. encouraging even if they are not meeting estimates. the reason why you see all of these heavy declines in some parts, for example malaysia, , all supporting 2%.

most stocks are falling. decline, exports are in , particularly electrical. australia, there is a decline in resources there. of the u.s. pressure on the market this morning. >> let's return to our top story. the stronger-than-expected export figures from china. tom joins us now from beijing. we've got the lunar new year, the crackdown on fake invoicing. how should we interpret these numbers? >> i think that is right. there are some wild swings in the february exports-import data. if you look at the headlines, it looks like a surging performance by exports and a disastrous collapse by import. as you mentioned, the seasonal

affect, shifts in commodity prices, concern about ms. invoicing, i'll make it -- all make it difficult. if you look at january and february export numbers together, that gets you pacts -- past the impact of chinese new year. lower thannificantly the 48.3% suggested by the february numbers. it is still a pretty decent performance. if you look at the import volume numbers, so used her about the impact of movement and the prices of oil and other commodities, china's import volume for some of the key commodities are still on trend. export growth still looks pretty strong. can that be sustained? it is a pretty impressive number.

i think it is going to be tough for chinese exports to clock anything like 15% growth for the year as a whole. china is already the world's largest exporter. it is tough for them to grow by testing new markets. the yuan has strengthened considerably, wages are up, they have lost some of that price competitiveness which they had in the early 2000. beyond the you look united states, the state of the global economy remains relatively weak. we are not going to street -- we are not going to see a strong pull from global demand. 6% growth is expected in china's trade. we are expecting export growth to converge with that 6% number in the months ahead. national people's congress said that continues in beijing. what are the latest trade

numbers mean for policy? i think these latest trade numbers are marginally positive for china's growth. is thaty suggest foreign consumers continue to buy chinese goods. they are buying them slightly more than expected. exports doing a little bit better than expected. the commodity import numbers look robust. suggests that the domestic economy is not surging forward, ck over.ontinues to ti our expectation is that china's government is going to have to do more to support growth in the months ahead. this was a marginally stronger support from exports that shaved down our expectations for the need for stimulus. >> domestic demand, lackluster but not nonexistent. tom joining us live from beijing. let's see what reaction there has been from social media. here is shery.

talking about that exponential jump in export numbers. although exports numbers have increased dramatically from 48%, industrial metals are not in demand. one twitter member is asking if china is making good out of air. another person remarking that the figures could have been skewed because of the lunar new year holiday, saying that everyone double ordered to make up for the factory shut down. another person is also talking about the fact that the u.s. and china do not have a fair trade deal, saying that free trade has not been fair for the u.s. and that he cannot think of these trade agreements that have benefited the u.s.. another person talking sarcastically about china's verifiable.being

back to you. more on thatt story anytime, anywhere. download us on your mobile or tablet. revolution now extends to the dow jones industrial average. apple is set to join the big board in place of at&t. --s the latest against the if the latest example of technology's influence growing on wall street. apple is joining the dow jones industrial average on march 19. after visa does a 4-1 stocks play. this comes down to numbers. it is a sign of the times. it comes as apple, after last year's 7-1 stocks play, is able to join the index. more attractive to investors. that is because the index is weighted. methodology,at

apple wasn't able to join before. the larger picture is that apple is the largest company in the world. the way the u.s. technology sector and global technology sector is moving. apple can join because at&t is moving out of the index. 1916.irst joined back in 99 years ago. it shows you how time has changed almost one century later. the new technology that is driving consumer trends and investor interests. to dow jones dates back 1896. >> a lot of musical chairs here. you are talking about tech. wearable tech of course. that is the big thing these days. we have a preview of the apple watch coming up. >> tim cook will be on stage later tonight in some of his go

giving us details on this. the price maybe $349. it will only rollout first in the u.s. but we saw debut on a chinese magazine cover, china folk. we are told stores in berlin have been told that they are getting it in april. you can bet these sleek new watches will be out in the next few months. several asian companies are participating in this product. i think everyone will be watching what tim cook has to say tomorrow. will you get one? >> i will take one as a gift. >> i still like the traditional ones for now. the apple watch is among the stories we are on bloomberg exists. -- bloomberg business. living at the heart of the action comes at a cost, whether

it is hong kong, tokyo, beijing, or singapore. city life means facing a premium. prices are going through the roof. in many places, there is the added issue of pollution. john dawson have been out to check out a healthy ego solution. i am in downtown hong kong in a street the date back to the 1850's. hiding amongst us is a german ego developer who has designed the apartment that caters to the healthiest of life. last year, he was awarded with the architecture and design award in the category for being the most green and sustainable. of what healthy because goes into the flat create healthy living environments. this is engineered stone. it's a kitchen island. it has a 50% content of recycled materials like last jets. -- glass chips

kitchen counters made of granite can give off radon which is a cause of lung cancer. professional water purification on top of it. the flat is fully home automated. we have led lights which are energy-saving and different mood settings. light can help you not only fight jet lag, but it can make you much more alert. it is more effective than a cup of coffee in the morning. >> what is your favorite? >> if you would want me to pick one gadget that really transformed my life, it is my helpsonic treadmill that me to train and work at the same time. we germans are always trying to save time and money. that is a great way to combine two things. what yous you get fit are working. >> it helps.

sitting is the new smoking basically. >> none of this is cheap. that is the snag. it comes at a cost. you have to source the materials, finance it. how expensive is it? basics tofocus on the create a healthy living environment, renovations are still 10% to 50% more than normal renovations. more would tumble is developers would jump on the bandwagon. >> he is also working his legs for the next big marathon race, maximizing his time or as some would call it, german human engineering. john dawson. >> interesting stuff. coming up, when it comes to diamonds, would you commit with one click? ♪ >> welcome back.

these are the stories making headlines around the world. one year after the disappearance of malaysia airlines flight 370, a new report sheds little light on the mystery. later has released 584 pages of maps, manifests, personnel records, and air traffic control transcripts. include a missed security check on some lithium ion batteries which had expired more than two years earlier. china's new environment minister has admitted pollution is a huge challenge for the country but insists that the government has the will to succeed. the president has said that pollution is one of the biggest challenges facing china, and it has become one of the most widely debated issues in social media. environment minister says the

battle can and will be won. protesters marched through tokyo calling on the government to abandon atomic power for ever. reactors were shut down following the 2011 earthquake and tsunami. the prime minister wants to economythem to help the which is reliant on this form of energy. >> e-commerce is forecast to grow massively in the coming years. there is very little you can't buy with the click of a mouse these days including diamonds. largeste is the world online retailer. john, welcome to hong kong. thanks so much for joining us. very interesting business model you have. you are the biggest online retailer of diamond jewelry. startedhow the story

and what drives your success. >> we were the original online diamond jewelry retailer. we were founded in 1999. we have been in business for about 16 years. we were really founded because we felt like the traditional way to buy diamonds and find jewelry wasn't working for customers. if you went into a store, you were typically met with an environment that might be considered a bit hostile. you worked with a salesperson who was on commission. you are limited to the inventory that was in the store. was limited education about what makes the diamond sparkle, what makes one cost $20,000 versus $10,000. our founder had visited. and felt like there had to be a better way people to shop for this product. blue nile was founded and it is really be antithesis of that traditional diamond buying experience. we are completely transparent. the first thing we want them a to do when they come to our website is go to our education

section and learn everything there is to know about diamond c'sing learn about the four and polish, symmetry, and fluorescence. we have a customer service that everyone will interact with during the purchase process. they don't work on commission because they are consultants. they are there to help the customer make the perfect decision. we have a selection that is not limited in any way. we have more than 200,000 diamonds available for sale today on our website. we have more than 200 settings that you can pair them with. that gives you tens of millions of combinations of engagement rings that you can purchase. it is a very unique personalization model. customers are able to do all that, and because we are online, they can do it at prices that are 20% to 40% lower than our competition. >> you brought some of your pieces for us this morning. i'm sure you get this a lot. you say you are an online

retailer of diamonds. what are the security concerns with that? you talk about the four c's. don't people just want to hold and see if they are real? >> we hear that a lot. we hear people say we are crazy to do this. honestly, i think you would be crazy not to do it online. one of the misconceptions is that you actually have to see a diamond to understand how brilliant it will sparkle. professional diamond buyers by sight unseen all the time. gia is the american gem society. these independent bodies essentially give a document that is a fingerprint for the diamond, it has all the four c's, and customers are able to make an intelligent purchase. >> how may people do buy from your website? especially in asia. >> since 1999, we have helped more than 400,000 people find

the perfect engagement ring. specifically, what we are starting to see in asia is a greater acceptance of online shopping and a growing marriage and wedding markets. in the u.s., the number of weddings have been declining each year since 1964. here in china, you have now 10-12,000,000 couples that are getting married every year. they are starting to pick up that western engagement tradition. we have less than 75% in the u.s. you will get an engagement ring. it is only 20% to 30% in china. but that is just on a unit basis. >> talk them through the process. you pay with your credit card online. what happens after that? is there someone that delivers it to your door? >> absolutely. we have had a very departure -- we have had a very deep

partnership with fedex. you go through our interactive tools on the website. you find your perfect diamond. we have artisans in seattle, shanghai, or dublin, who will create the ring for you. it is delivered by fedex, usually very quickly. it is in short to your doorstep. the customer has nothing to worry about. if there is ever any issue, it is very easy to send something back. there is really no risk in making this purchase online. ask any break it down in terms -- >> can you break it down in terms of the numbers in asia? how may people are doing this? >> we have seen really positive growth in this part of the world. last year, sales for china increased 37% year on year for us. china is now the second largest us outside of the united states. they surpassed canada last year. total sales are approaching $30 million.

it is becoming a meaningful business for us and one that we are investing in for the long term. >> thanks so much for joining us. still to come, social media outrage over the crackdown on the china pollution documentary. ♪

you are watching "trending business." time for a look at what is trending on social media. >> china's pollution problems are a continuing issue. there is outrage online that a popular documentary by a former cctv reporter called "under the by thousands of people. it was pulled by the national people's conference.

she was concerned after her daughter had to have surgery. this is the reaction. we can't see her documentary anymore on any websites. is pledging to keep up the pollution fight. others are clearly angry. everything is blocked within a minute. it is so terrifying. >> this is key for policymakers. looking at international women's day that was on sunday, there has been a lot of reaction to that including the parts that happened in new york at u.n. headquarters. president obama also talking about international women's day, tweeting that women make a measurable contributions to our world. those are the top trending stories at this hour. back to you. >> thanks. japan's recovery might not have been as robust as first thought.

we will go to tokyo to take a look at those numbers after this break. we are also looking to the markets in hong kong and china. ♪

let's take a look at what we are watching for you this morning. asian shares are on their way down. following the wall street selloff on friday. recessionged from

last quarter of 2014, but not as strongly as originally thought. 1.5%, less thew initial 2.2%. the damage control exercise backfired. mediampany on social right now. you can let me know what you think by contacting me on twitter. trading in indonesia just getting underway. i see red over there. >> stronger than forecast. may go up in the united states sooner rather than later. 95,000 jobs added for the month of february.

the fed may be getting itchy for a rate rise. that is the picture. gdp came out as growth, however, it came in below estimates. the final reading for the fourth 1.25%. was all of these factors about the economy. ,e are watching jakarta australia, up by 1.2%. china is down. taiwan is down a percent. declines for asia.

they look to the u.s. for their lead as opposed to anything domestic. >> japan emerged from recession the last quarter of 2014, but not nearly as robustly as originally thought. james maker joins us. what do these numbers tell us? >> what we are seeing from the revised gdp data, japan return to a recovery in the fourth quarter, but it was not a strong recovery. we saw a slight revision up for consumer spending. consumers willing to spend more in the fourth quarter of last year than we originally thought. business investment is down for the third quarter in a row. businesses have cut spending every month from april to december.

companies were drawing down because they are not confident. the sales tax increase that happened in april last year is having an effect on how businesses see growth going forward and how they see the economy. they are not competent japanese consumers will step up and return to strong spending. it will be more difficult for the bank of japan and the government to reach their growth targets for this year. there was an estimate from barclays saying the economy would have to grow 9% for the boj to reach its growth target, and that is obviously not going to happen. it is a return to growth. but it is definitely not strong and it is well below what the bank of japan on the government was hoping for. >> james joining us live from tokyo. let's head to china.

imports fell again, reflecting weak domestic demand. stephen engle is looking at the data this morning. >> there are seasonal distortions, as there always are in february and january. the economists we surveyed knew about the seasonal distortions and the export numbers still handedly beat the expectations. up 48% in february for chinese exports. .trength of shipments if you combine january and february together, still fairly robust. 15% gain your over your for experts. -- year over year for exports. down 20% for imports. there is weak domestic demand and falling commodity prices. do the math.

we see a record trade surplus for china of $60.6 billion surpassing january's record of $60 billion. the u.s. economy and the recovery is helping underpin the chinese economy right now. week --he domestic however, the domestic weakness is quite a worry. >> we will take a more detailed look at that story later in the show. please tweet us your thoughts. let's take a look at some the other stories we are watching today. >> let's start with some comments made by the head of opec. the balance will return to world oil markets in the second half of this year. he says demand was weaker than and will rise14 by more than one million barrels a day this year. lved in value.

prices have collapsed. non-opec supply has grown by 6 million barrels a day since 2008 while production by members of opec has remained at about 30 million barrels. opec can not cut production because of the rising shale and such non-opec output. ony economies rely mostly oil revenue. the company will discuss options with lender's behind its $2.5 billion in offshore debt. the trouble chinese developer is holding a conference call to provide creditors an overview of the developer situation as well as the developments in recent acquisition. introducexpecting to

terms of the restructuring. offerll is expected to details the restructuring terms for lender's on holders of the six offshore bonds. they hope to expand its offshore .ebt and cut interest payments let's turn to another story, and indonesian clothing maker is taking heat after printing remarks deemed sexist on the shirts of a football club. washing instructions and give the shirt to a woman, it is her job. not surprisingly, the shirts drew harsh criticism. the company made a public apology on sunday. saying the twitter messages simply, instead of washing it in the wrong way, you might as well give it to a lady because they are more capable. even that apology is drawing

heat. one twitter user posting that sexism has been given as a complement. >> another story we are following, the apple watch. it will be officially rolled out later. that is on bloomberg.com. why traveling abroad is costing indonesians a lot more these days. more on that later in our program. back after a short break. ♪

>> welcome back. let's get a check of the stories making headlines around the world. one year after the disappearance of malaysia air flight a new

report shows little -- sheds little light on the mystery. the few new details include a missed security check on some lithium-ion batteries and the power source on the underwater begin had expired two years earlier. there were 239 people on board when it last for beijing -- when it left for beijing. five men have been charged with boris nemtsov. he was gunned down near the kremlin 10 days ago. he fell out of favor and became an out student -- outspoken critic of vladimir putin. greece is considering a

referendum on government policy. offense has been unable to agree to terms -- athens has been able to agree to terms. the plans are far from complete. may tip greece into default. on the forexn market action with our next guest. joining us from singapore is the head of fx strategy at barclays. numbershose while the coming out of china over the weekend. increasing concerns of the -- rmb remember the versus the dollar. >> we think the chinese yuan will continue to weaken against the u.s. dollar.

our forecast is 6.4. the pressure will extend further. chinese growth is moderating, we are seeing policy easing as well as cuts, this will be accompanied by a weaker currency. this is just the beginning. or dosee a band widening we see higher fixing? we do see further fx weakness. so manyre talking about different central banks in countries that are trying to devalue the currency to boost economic growth. if you could take a look at this currency war, is china losing? china'su look at effective exchange rate, you would argue they have been losing. mentioned, other central banks are weakening

their currencies sharply against the backdrop of a very strong u.s. dollar. dollar-chinave exchange moving higher, in real terms, it is losing out competitively against a lot of its neighbors. this will continue. we do expect the dollar remaining bullish against a majority of currencies. we will see more and more easing or measures to keep competitiveness. come, talk about more to with the yuan depreciation, could this lead to a contagion and other currencies jac? >> if anything, there is a sense that the chinese yuan has had less influence on other currencies. we have looked at the

correlations recently and that has started to pick up. it looks like china is finally starting to move its currency in line with regional neighbors. there is a sense of competitiveness. korea and taiwan look at the japanese yen. .20.ar-yen is firmly above 1 that will be a concern for korean officials as well. it is not a clear-cut move across the board. some currencies look for the positive. the indian rupee stands out as a major outperform or among emerging -- outperform or among emerging markets this year. >> this relationship that once had the week yen boosting stocks, that relationship is getting weaker. what does this mean for japan overall? reality is the yen

is already very weak, significantly undervalued. policymakers in japan do not want to see the yen weakened much further from here. they of already done their work -- they have already done their work. see morety is we may easing from the bank of japan. we are looking at etf purchases in july and that will be equity related. it is not clear-cut whether that means a weaker yen will come out of this. we do believe dollar-yen is looking quite stretched. differentials have been very important for dollar-yen. it depends on where we go from here, but we do not see a big move above 1.20. >> let's talk about dollar-euros. we have qe starting.

rbs said they could hit parity for the euro. what is your call? >> we have been bearish on the euro for a long time. the euro is catching up with the forecast. weakness, itof could get there quickly. that remains our call. we do see more downside on the euro. the ecb is not just targeting the economy, it is targeting exchange rate through its policy. we believe more downside for the euro-dollar continuing. >> we have less than 30 seconds left. you have 17, 18, 19 central banks to have cut rates this year. when will we see the currency wars and? -- currency wars end?

pressures in some cases, it will not end anytime soon. given the dollar is not just slumping on a multi-month basis, it could be multi-year. that will keep pressure on many emerging markets and major currencies. all prices are stabilizing a little bit, so that might take some of this weakness out of lower policy rates for now. >> joining us live from singapore, thank you so much. anti-pollution documentary is what is trending online. we will find out why after this break. ♪

>> the heart of the action comes at a cost at times. city life means space at a premium and prices going through the roof. there is also the issue of pollution. check anon one out to eco-solution. >> i am in downtown hong kong. hiding amongst us is a germany codeveloper who designed this apartment for the healthiest of

lives. his vision was rewarded with the architecture and design award. the most green and most sustainable. >> it creates a healthy living environment. island, it has a 50% content of recycled materials. know, lot of people don't radon is the number one cause of lung cancer among non-smokers. even to the level of adhesives and glues. we installed professional water purification. it is completely automated. led lights, different mood settings. light can help you fight jetlagged and makes you much more alert.

it is more effective than a cup of coffee in the morning. >> what is your favorite? >> if you would want me to pick one gadget, my electronic treadmill. it helps me to train and work at the same time. we germans always want to save time and money. sitting is the new smoking, basically. >> this is not cheap. this is all well and good, but it comes with a cost. how expensive is it? basics,u focus on the renovations are 10 to 15% more expensive. costs would tumble is more developers would jump on the

bandwagon. >> he is working his legs for the next big marathon. >> countering jetlagged, i need that in my apartment. here and you are looking at reactions to china's pollution. >> there is a new documentary. it is called "under the dome." it is by this woman, she is a former cctv reporter. her daughter had to have surgery for a benign tumor. china byocial media in storm, but it has been taken down. it has led to an outcry by those who supported it. her documentary was pulled.

there was some muted support for this in the official media early on. now the net has been saying, why did they take it off? everything is blocked within a minute. it is terrifying. chinese policymakers -- i am taking a look at international women's day. marchedn 1000 people from the yuan headquarters -- united nations headquarters. , change yourying attitude, change the world. #do it like ato girl. do not be ashamed to do things like a girl. you can run like a girl.

it means to run as fast as you can. happy international women's day. that is a look at what is trending on social media. if you use twitter, it is easy to stay in touch with us here on "trending business." >> thank you so much. a special report on an italian fashion label rising again. this time, with the help of china. that is when "trending business" returns. china, hong kong, and singapore. ♪

>> welcome back to "trending business." the monday morning blues, asian shares start the week by falling the most since january. better than expected u.s. jobs data. japan emerged from recession in the last quarter of 2014, but not nearly as strongly as originally thought. the a comedy -- the economy grew 1.5%.

companies unexpectedly drew down inventories offsetting a pickup in consumer spending. tesla cutting back in china after sales failed to live up to expectations. the company has started to eliminate jobs. when chinese newspaper put the cuts as high as 30% of staff. january sales in china were slow because of concerns about changing electric vehicles. let's bring you these live pictures from abu dhabi. pioneeringilots are the world's first around the world solar flight. they will take turns flying the plane that is powered only by the sun. it is aimed at promoting clean technology in the aviation sector. it is expected to take five months.

they are doing the final checkups. we will return to those pictures later on in the show. here is john with a look at what is moving the markets. look at this. also lowes now -- off the lows. this is a decline, more or less. nikkei right at the open went down. decline.icture is the there is asia right now. australia is down the most right now. china, hong kong, off those lows.

u.s. jobs came in stronger than forecast. interest rates may go up sooner rather than later. right across the board, dow jones, nasdaq down a percent, s&p 135%. -- 1.5%. right across the board, we have mixed projections. 1%.ce is up asia is taking its lead from the states. exporters with a loss. the miners are down. it is very much a us-led economic story. story, to our top

china's exports have seen a massive boost, 48% last month. let's bring in our chief correspondent. i know a lot of this is seasonal distortions, but what is driving this? >> the strong u.s. economy. it is acting as a flareup support on two of asia's biggest economies -- it is acting like a pillar of support for two of asia's biggest economies. take a look at imports. that was the big shocker of all. sliding about to 20%. commodity prices, energy prices are falling. iron ore, oil, etc.

aboutare talking developments about the future of the economy. but they did cut the growth target to 7%. what does this say about china's economy? >> we got the new growth target last week. china is a slowing economy. it is a transitioning economy. you want to move towards consumption. problems.ing to be beijing wants a slower, more sustainable pace of growth. >> we will be watching what happens in china. it is a boon for exporters in indonesia, but it is hurting other industries.

which ones are taking a hit? has depreciated around 4.4%. the value is close to a 17 year low. government and the central bank think the level is not at a worrying stage. the finance minister said the performance is underperformed as it seeks the new level of equally dreamt -- equilibrium. airlines sword after it tumbled red after it tumbled against the dollar. for some indonesians, this could

mean limiting their chance of visiting saudi arabia. in 2013, there was an increase around 6%. the cost of this year is expected to soar by 17%. on the other hand, the slump attracts more tourists to indonesia. >> joining us live from jakarta. citigroup is reportedly close to selling its retail units in central america to one of spain's biggest banks. with ahe potential buyer deal worth $1.5 billion.

china's copper imports fell for a second month in february to their lowest in three years. shipments were down 30% from january as factories closed for the weeklong lunar new year holiday. glaxosmithkline is said to be axing around 110 employees in china for misconduct. morelates to wrongdoing than 18 months ago. the british drugmaker has been reviewing its operations in the country. after being fined $480 million by chinese authorities for bribing nongovernment personnel. luxury fashion market continues to shift from west to east. the italian label is making a comeback this week with a show in milan. >> malan is a long way from its

roots. the designer and entrepreneur has built a successful fashion company at home in china that has annual sales of $400 million and plans to go public next year. krizia is her focus. >> i will try to keep the dna. ♪ born in 1954 and became famous for bucking mainstream trends. 26 collections in, and the brand hit its peak in the 1990's. times were not to last. it is survey day.

-- it is her big day. the first collection is being shown in the lawn to a negro audience -- in milan to an eager audience. does she worry about selling that italian vision to a chinese audience? >> the chinese consumer needs to be educated and we need them to have finer tastes. on one side, i tried to express my creativity, but on the other side, i have to make sure consumers like my product. when i balance both of these things, i will be a successful entrepreneur. balance, can nail the she will not be the only chinese entrepreneur making money out of the italy brand. chinese purchases of italian brands hit a peak last year.

china, we0 years in have a lot of excellent entrepreneurs who have the capacity to buy brands and make them grow. next, the ecb kick starts its bond buying program later today. we will take a look at the effects on the euro. ♪

>> welcome back. president obama says the united states will walk away from nuclear talks with iran if tehran does not accept limits on its atomic program. he argues that agreement would improve security in the middle y t while benjamin not

netanyahu says it would take iran closer to nuclear weapons. reactors were shut down following the 2011 earthquake and tsunami that sent day plant into meltdown. the prime minister wants to restart them to help the economy. ministerew environment has admitted pollution is a huge challenge for the country, but insisted the government has the will to succeed. the president said the pollution is one of the biggest challenges facing china. environment minister says the battle can and will be won. let's get a head start. joining us from singapore is glenn maguire. thank you so much for joining us

this morning. we talked about february, a lot of risk factors. we saw those nonfarm payrolls come out. or right -- oil prices have stabilized a little bit. >> i certainly think we are moving into a period where cyclicality is returning. the headline numbers suggest positive momentum. very strong payroll increases. the u.s. consumer is about to fire. the china trade numbers are overstated, but i think the patterns, improving exports to the u.s. and eu, that is something we saw in the malaysian trade figures last week. that are numbers

overstated, but it is consistent with a return to domestic or external demand emerging from europe and the u.s. there is a little bit of cyclicality returning to the global economy and that would be consistent with an inflection point upwards. if we had into march, what are some new murray's -- what are some new worries we are seeing? >> the overlay continues to be one of policy the virgins. we have a range of central banks meeting this week from new zealand, thailand. growth momentum appears to be moving sideways more than anything else. i suppose you are seeing much more evidence of policy

divergence. it is clearly laying the ground for a midyear move from the u.s. federal reserve and we have the commencement of the ecb quantitative easing program from march 9. that is highlighting the very divergent growth path at this stage in the developed economies. there appears to be a degree of cyclicality returning to the global economy. it is from an uneven starting position. >> talk about the global economy, the overall average growth may be doing better, but we still have some sluggish economies -- japan, the eurozone, russia, greece, venezuela. how proactive do they have to be?

--that is one of the ants one of the uncertainties they are dealing with. the growth backdrop is so uneven at this stage. we still have the overhang of greece and the possibility of the exit. highlights the point that monetary policy is designed for the economies in which it is implemented. the ecb is clearly focused on the fact they are looking at a period of significant low-inflation. you do need to have unorthodox policy designed as a result. the japanese economy appears to be finding a flow. the japanese producer is trying to find a little bit of momentum at this stage.

policy has as well, been framed in the context of what is an extremely strong the mustek labor market and a relatively firm -- domestic labor market. the design and implementation of monetary policy globally is economyfocused on the with which the economy belongs. >> you mentioned the u.s. and some strong data from friday. we also saw what those annual hourly wages still pretty slow growth. 1%. when will we see some wage growth? question. the big what would be the optimistic scenario, you have disposable income being freed up with the big drop in gasoline prices.

spending power should be rising. -- what wouldld create the sweet spot is if you saw the wage growth aligned with that. rate is aboutnt 5.5%, consistent with full employment. where you be the year see strong disposable income growth from lower gasoline prices coupled with wage growth for the first time. of thehe key feature u.s. economy has been the fact that the recovery has been wage less so far, 15 could be the year that turns quickly. it may be the lags with which wages respond to labor market tightness, it may be that the actual level of full employment

is perhaps a little bit lower than estimates. given the speed at which the u.s. economy is adding jobs and the on a rate is falling, we will be moving through that point sooner rather than later. >> i appreciate your insight. joining us live from singapore, glenn maguire. coming up next, time will tell how successful apple's newest product will be -- literally. ♪

>> apple's newest product since the ipad debut on monday. tim cook is scheduled to give customers the first look at the new apple smart watch.

thingsof the first big we will be talking about is the price. how much will it cost to get our hands on this? $349 is what the market sees. this watch could go up to $20,000, by some analysts estimates. tim cook says it will do everything from helping you measure how much you walk, to helping you turn on the television or change channels. it could be a revolutionary device. this is apple's first new product since the ipad. tim cook make the case to customers on monday at that exclusive invitation only event in san francisco. the battery is expected to last a full day. it will come in multiple colors. you can bet it will be an

interesting debut. >> time will tell. a reminder of what is trending today. >> a lot of people telling me about those exponential export numbers out of china. up 48% in february. one person saying, and explosive increase in exports and does not square with the gdp growth in the u.s. and europe. who has the purchasing power to drive such growth? industrial metals are not in demand -- is china making goods out of air? another topic trending today, happy international women's day. more than 1000 people have from unitednew york nations headquarters two times

square. -- to times square. women make a measurable contributions. another woman talking about progress being real, but too slow. another #trending today -- not there yet. a popular documentary was pulled from websites in china. it was about air pollution in major cities. it was pulled down from websites. one person saying -- back to you. >> let's bring you these live pictures from abu dhabi. pioneeringilots are the first around the world solar flights. planeill be flying the

powered only by the sun. it promotes clean technology in the aviation sector. they were supposed to launch half an hour ago, but we will take a look on "asia edge." ♪ . .

>> it is the middle of the asian trading day and it is a live, sunny look at the first trading day of the week in hong kong. we are live and this is "asia edge." that monday morning feeling. australia leads regional stocks down after the selloff in new york on friday. japan emerged from recession at the end of last year, but nowhere nearly as strongly as originally thought. and china's exports show

surprising strength, but imports fall. surplus is at another record. an italian fashion house rises again things to help from china. all of that and more in this monday edition of "asia edge." >> the markets taking the lead from the united states. u.s. jobs on friday were stronger than forecast. 235,000 that the economists forecasted. that is leading to fears that rates will go up soon. timing of when the next raise will happen -- australia is currently the biggest decline or -- declinedr. -- decliner.