the most expensive painting ever sold at auction. do follow me on twitter. indonesia trading away, just getting underway. of flavor do we have from the session so far, david? david: the regional benchmark is lower. the dollar is wrong or against most. we're looking at a fourth day of declines for oil prices. there are exceptions from this decline. a few exceptions -- australia one of them. volume there.vy day skid into this

morning. opened quite strong. take a look at shares. this is the stock we have been watching all morning. on fire today. if you announcement from the company today looking at a significantly lower fuel bills compared to the last fiscal year. more than half a billion aussie dollars cheaper. $515 million was the figure they gave us. 183, that is $1.83 u.s. a gallon. said, what else are we watching across the region? was on sharpfocus and toshiba yesterday. sharks shares were down. recovering some of that now.

continuing its stride. the announcement it was withdrawing its ordering -- withdrawing its earnings forecast. at least seven banks have said they're not covering the stock. back to you. half $1 billion in damages tied to faulty mortgages. this has sparked a global financial crisis. eleanor must deception -- and nor must deception. sparked by the meltdown lending market and to global banks here. more. no they may face as much as $500

million in damages for the sale of these defective securities. they were sold to the government mortgage agencies in the u.s.. they were at the center of the housing meltdown in this judgment. the u.s. district court judge coated manhattanite 361 page those said the banks sold securities knowing they were backed by faulty loans. she said there are disturbing examples showing it was willing to secure defective loans. they say they are confident they are consistently candid and professional with all dealings. we could see a settlement in both cases. market, we have seen $18 billion in court-ordered damages so far. rishad: a look at that story later on. do tweet us your thoughts. also include the hashtag.

topher one of our stories. business inbile japan hoping to offset losses of its american business. we have a new president being named here. tell less more. beating expectations of around $1.4 billion and this is largely due to the japan business. softbank was acquired in 2013. they're trying to make sprint and more profitable to help that. they have been cut in capital spending and other spending. in japan, softbank added 1.8 million scriber's in march

although revenue per user did fall slightly. they reported sales jumping 32%. that is largely on the back of sales from acquisitions. make aid they will forecast for the year went becomes possible to make a rational projection. they say they were factors making it difficult to make a projection now. the new president of the company starts june 19. he is currently the vice chairman and will be leading the global expansion for the company especially in north america. google asmally at chief business officer. in anmpany has invested andan e-commerce operator they're expecting to continue these investments in the future.

sayingnder of softbank he is expecting aurora to be the most candidate to succeed him. rishad: thank you. let's tell you about some other stories we're watching today. -- yvonne. von >> making progress here as the head of the ecb refusing to maintain the life support. athens is series about delivering policies made to escape a default. hassure on both sides intensified as the ecb is due to reassess the emergency liquidity line, keeping the greek banking system of float and officials tell us all something to bankers are pushing for stricter terms, it is unlikely ecb policymakers will restrict funding. reset it will pack another

hurdle this week with a repayment of $830 million to the imf. the transfer order was put in monday according to two break officials will stop as for other payments, greek finance minister says they may not get that far without help. liquidity issues are terribly urgent. showmi is reportedly throwing its hat into the money market rain. it translates to savings account in chinese. ew service came out with two major tech names. register using your national id in china, link a bank card to the account, set up an account for as little as $.15, and it all works out. the online money market accounts have become very popular these

offermostly because they higher interest rates than chinese banks. reports say up to 5% in those returns. let's talk about the national australia bank because goldman sachs posting a big check. investor the $80 million with interest invested in a mortgage security before the financial crisis. theyrbitration panel says this is when we see banks continue to face legal costs related to sales practices for mortgage securities that plunge in value back in 2008. goldman sachs says the most recent quarterly filing listed nab among a dozen entities that have brought court complaints against the firm over sales of mortgage products. back to you.

rishad: china's stock gave hedge funds a bit of a windfall. stories are on bloomberg.com.

rishad: welcome to trending business. china's one job policy can do it and lost her but so far, the predicted boom in second babies hasn't arrived. some companies are repositioning themselves to tap into the baby markets. we have carl young. tell us about this. the company you just bought was with the hope of leveraging the opportunity china may well be presenting in the future. >> we are really excited. it is -- e-learning,were on

webare a web giving -- gaming for children. now, you have bought this company that has close and baby things etc.. between always been 7-14-year-olds but we also found a very lot opportunity between the age of 0-7. knows the mainlanders come to hong kong to buy baby that arethe guys product safety issues and china. instead of having them come here, we will bring the product to china. rishad: is there anything in common with e-learning, gaming for kids, and baby clothes and toys in a physical sense? corporate value of safety all the way from the gaming entertainment products to the learning products to be baby products. there is a common theme

surrounding products save for users and cans. it will be green and reliable. that is the common value we will bring to the products. rishad: i think your chairman said recently the company had essentially lost its focus. it lost focus of the importance of pushing revenue growth. is this a way of addressing that? >> that is targeted more towards the entertainment portion of our company, which last year, when we went public, we focused on delivering revenue growth. rishad: we spoke to the company years ago about this. >> wanted to push for revenue the ultimate goal of it are democratic is to make it fun. if you don't make it fun, you have messed it up. what we have done the past six onths is focus products being fun and we see a user

stabilize and we hope to grow quickly. rishad: are you having fun? >> yes. forad: if they are 7-14-year-olds, you should not be having fun with them. [laughter] >> we all make it happen in the virtual world. rishad: you say you will take into china. how big is the market growing for you there? >> a very fast pace. i lose track of the numbers on how big the market is. it is somewhere around 20 200 billion --20 200 billion. if we can capture what we need to address, the middle high market, we should be looking at a faster growth.

a maternity business could be even bigger than what we have for the entertainment business. rishad: are you seeing anything from the slowdown in china given what you just said? i think overall, everybody who lives in china can feel the slowdown. for us as a business, adjusting the child market, we haven't. manyts can come back on spendings but one spending they don't come back on is the kids and education and making them and helping them grow. are you an inquisitive bumps to babes here and see what happens next? >> we are open to opportunities because we have a strong agency.

we're definitely looking forward to opportunities. any evidence -- the one child policy has been relaxed to a large extent. do you see evidence of people having second kids? can move veryngs quickly in china. at least for the people in my market segment. they are already having second and third children. mobile. this is key. you see a slowdown in revenue. how do you address that? >> we are actually more excited about what has happened because in the past, we have been restricted on pcs where a child only access its content on pcs but on mobile, we really open up to the family category. rishad: the older kids. >> exactly. in a true mobile world, there is

no age barrier. we continue to focus on providing entertainment products for the 7-14-year-olds. but with success with things like angry birds, those are designed for child use but they became global hits. those are the kind of opportunities we are looking at. want tothat is what you have. another candy crash. >> it had its success for a loyal. rishad: so good to have you on the program. carl young's open to more ideas when it comes to acquisitions. thanks a lot for that. >> thank you. checkup stories making headlines. malaysia has detained hundreds of boat people rescued off the island. most are believed to be muslims. around 2000 migrants have reached sure this week in malaysia and indonesia and the u.s. fears more at sea. region's0,000 -- the

biggest wave of migration since the years following the vietnam war. a storm that cause excessive flooding in the northern philippines is hitting southern japan. the tycoon is bringing heavy of up to hundred kilometers per hour to okinawa. the storm killed two people in the philippines and forced three point 5000 and two emergency shelters. a picasso masterpiece has become the most expensive painting ever sold at auction. it went to an anonymous telephone bidder. in painting was completed 1955. it is a tribute to picasso's friend and fellow artist. the sales shatters the previous record set two years ago for the .ame auction room rishad:, a green apple.

we look at the attempts to make the chinese eco-friendly. and the buzz it is making online. nding business." ♪

recovered fromas

its recent food safety scandal that managed to decline sales in the same quarter. the company has been trying to rebuild confidence that after foreigntomers found objects in their food. >> the project as another additional important layer to and transparency efforts with moms and all customers. one of the things i have learned from being in these meetings is they want more transparency from mcdonald's. they want to know more about our food, where it comes from, how it is prepared, who takes care of food safety and quality. ap shares falling after revenue missed estimates. bye-store sales plunging 12%. projections were a 7% drop.

the company tried to revamp its product range and reshuffle its leadership. took a vehicle exports tumble in april. they are down 22%. exports down 15% the first four months of the year. but jeopardizes the overall export target. political instability in key markets and policy changes also being pointed to as reasons for that slump. all things social media. here is yvonne. yvonne: apple just announced plans there are going green in china. they're partnering with the world wildlife fund and tried to protect one million acres of forest. the goal is manufacturing centers focusing on renewable energy. it is good news on that front. the past couple years, apple has

been under fire as a supplier for overworking its employees and unsafe working conditions. there are people in social media talking about this initiative saying, is this a greenwashing tactic? some users saying, how about doing something for the underprivileged workers making the products? still some bad pr going out there. this is something that tim cook has talked about as one of the core issues he wants to tackle for the company. speaking of which, he just joined china's blog site on twitter. the timing is perfect. he said happy to be back in beijing announcing new environmental programs. shows importance of his presence being in china, how big a market the china smartphone market is. >> huge for apple.

you would think you would get on that earlier. becauselk about google their self driving car -- take a look at this. are you going to buy one of these? onne: i would like to try it to see what it is like. can model and article this week that these cars are involved in a lot of accidents. the headline is misleading because the accidents were not the drivers fault -- not the cars fault necessarily. it came from behind. not even their fault. in many cases, the car was going 10 miles an hour. the ap has been criticized roundly. , intensived a long article yesterday that has gotten a lot of comments. they presented a lot of inconsistencies in the report. here's what readers are saying.

good job, excited for self driving cars. driving cars on the phone with women driving while doing her makeup. a pretty sexist comment. the bigger issue -- human error. removing from road accidents. road accidents a big deal in many places across the world. rishad: coming up, a budget blowout of australia. how the treasury plans to turn things around. ♪

rishad: a look at our top stories trending, a billion dollars in damages over the sale of defective mortgage-backed securities. the bank deliberately misled government lenders. other banks may settle similar claims tied to the financial crisis. climbing in japan and new zealand. u.s. treasuries dropping overnight. a three-week global route of

sovereign debt is gathering pace . some of it fueled by concerns about greece. athens says the next two weeks are critical as it tries to reform and avoid default. it has initiated the transfer of $800 million to the imf and says liquidity is becoming an issue. its emergencysess funding. budget day in australia. back to ay is surplus, but that will not happen this year with the deficit. chalk it up to the plunging price on key commodities. talking about this earlier and people are skeptical, whether they can do anything to turn things around. >> that is the problem. there is political gridlock in

the senate which makes an attempt at reform difficult, if not impossible. we will get back to that in a minute. deficits, $40the billion, and this morning he says they will probably beat that. not because of anything clever the government has done. the price of iron ore has recovered. things have improved in recent weeks, and so has the government's bottom line. one of the things we will be watching his attempts to tax corporations on revenue earned in australia. this was foreshadowed on monday night as well. a flowchart saying if you are a foreign multinational, and your global revenues more than a billion dollars, it became clear he was talking about a narrow band of companies, the usual

suspects, apple, google, rio tinto, bhp. goingst of the world is to be watching what australia does tonight on multinational tax avoidance. rishad: there are -- >> there are 30 companies engaged in this activity. they have not been paying their fair share. iny have paid no tax australia. only by being embedded in businesses have we been able to .ork out their business model we have identified the sums that have been shifted. identifying the actual amount that is required to be remitted in tax is a different story. that is likely to play well politically here. there are a few other cherries in the budget as well. a childcare program, introducing

gst on online purchases. the government promised a routine budget and that looks like that is what they would deliver, rish. rishad: last time you got the senate which was divided, tony made that's much more difficult. why should it be different this time? paul: it is not, really. any attempt to reform is going to be held to ransom to any special interest once it hits the senate. for thethe motivation budget and the other motivation is political survival. the government took a beating after the unpopular budget. the shockwaves from that continued until tony abbott was challenged in february. treasurer'sk the

job may be at risk. the plan is to play it safe, to make themselves a small target politically. is with the deficit rising, unemployment, and the mining boom, is it safe? probably not. for us.paul allen here is david having a go at is moving the market. a lot of arrows. is important to take a step back. what i have for you, this graphic that we have shows you changes over the past month. what this shows you are standouts. --nghai composite training trending up. it has been reversing. it was on its, way down. this side, take a look, yields

are on the rise. take a look at the chart. there we go. fairly clear. u.s. 10-year, i mentioned china, the benchmark, a fairly clear story. the same thing. changes over the past month. propertythe benchmark, index, so on and so forth. that has really brought down the cost of borrowing. down 26%. take a look how that is done. china, take a look of the stocks, just in case you may have missed the boat. bernstein coming out. if you want to look at autos, dump the stock. 5.4, their target,

yes, 5, 6 rather. back to you. rishad: right, let's take a look at asia. , take a look at taking a look at this share placement. according to sources, he is investing nearly $1.3 billion. keeping you updated with that is that news develops. stories, nomura and charged with -- being charged with deception. what is going on here exactly? >> years later we are getting court cases related to the subprime mortgage debacle and the subprime and rbs engaged in

deception according to a judge. lead to $500ould million in damages. alleges- this lawsuit they sold faulty mortgages. that they did not tell them the risks they packaged in these securities together and sold them lemons. the documents did not describe the mortgage loan. guidelines were disregarded, according to the ruling, and nomura's files showed it was toling to secure ties defective loans leading to the subprime crisis in the united states and is the latest in a string of lawsuits as the government tries to seek damages and legal experts say nomura and settle, as will

banks in future litigation. there is more to come. rishad: this keeps on going, doesn't it? the subprime stuff. much have an idea of how in total has been paid? zeb: $18 billion. 17.9 to be exact. jpmorgan and goldman sachs have been hit and now nomura and rbs the latest. this ruling takes a look at some of the e-mails executives exchanged. very interesting. this was a crisis the u.s. does not want to repeat. rishad: thank you for that. fitch looking at malaysia, the fundamentals saying, the picture remains clouded. preparing its second-quarter review, flagging a chance of a downgrade. our correspondent joins us with a look at why fitch is not

buying it. >> well because nothing has changed. accounte of a falling looms large. it has had a fiscal shortfall for almost two decades. jury is out. we are not sure that rally is sustainable. and one scandal is not helping. company hastment accumulated $12 billion in debt and it could strain finances. malaysia's credit is more exposed. tax,though there is a new it is not enough. malaysia faces a possible downgrade life fitch in this quarter. an a minus rating is at stake. rishad: thanks. the latest on the fitch running

the slide rule over the malaysian economy. going once, going twice, gone. making headlines today. ♪

greece has cleared another dead hurdle, initiating the transfer of $38 million to the imf. creditors itding is serious about reform in avoiding default. pressure is building on both sides with the ecb said to reassess emergency funding for greece on wednesday. it is unlikely the bank will restrict the flow of cash despite calls for stricter terms. iran is ready to support a proposed to seize in yemen calling for talks to form an inclusive government.

they support the shiite rebels who have taken control of much of yemen enforced to the president to flee. led by saudition arabia has been bombing rebel forces for seven weeks. about 1500 people have been killed in the attacks. japan has made a shift in its policy moving ahead with legislation to strengthen its military role. the ruling coalition has agreed on a package of bills that would loosen restrictions imposed after world war ii allow japan to contribute more to its alliance with the u.s. and protect its allies abroad. currently the constitution limits to japan to defending itself at home. taking a look at this because so masterpiece, the most expensive painting ever to be sold at auction. $160 million. how did you arrive at that figure?

you adds the commission christie's at new york gets. huge, i mean, this was not by a chinese person, but we do not know who it was. >> we are guessing a north american buyer. one point, you mentioned christie's gets that 19 million, possibly not. value, theof this seller can actually say i want some of that commission to go to me because it is such a masterpiece and it really raises their profile. whether or not they got to keep that 19 million is unlikely. rishad: the painting is going for 179 point $9 million. frederik: somebody had to pay that much. rishad: china has been snapping up masterpieces. not concentrating on chinese art as they have done. frederik: that is true.

they are not going for people 27 million who sold dollars last night. they are going for the real masterpieces, the trophy pieces. i do not mean that in a derogatory sense. sold last week, it is a fantastic painting. the point is, the japanese were buying up like crazy in the 1980's. a bit of a deja vu. rishad: i remember sunflowers, one of the pieces. many some flowers, aren't there. the introduction, these are auction prices. they have a degree of transparency. paintings change hands privately, as you said earlier to me. frederik: yes, exactly. turning more and

more to these private sales that happened between individuals. it does not ever reach the public domain. the most recent is a $300 million painting that was sold earlier this year. before that, there was a cezanne, bought by somebody in the middle east. it is funny because the chinese are quite open about their purchases. they are bragging. elsewhere in the world, people like to keep closer to the chest. rishad: thank you for that. 79.4 million dollars purchase of a picasso. market quadrupled and also on the rise was the business of wine abroad. the level ofduce

counterfeit wine. what she looks for when trying to verify the wine's authenticity. a client brought me this bottle four years ago. it was counterfeit. it took me about 20 seconds. wine fraud is not new. it is safe to say anybody who has been collecting and buying last 15 years have probably purchased one counterfeit wine. we manage private wine collections for individuals. people who are starting to collect all the way to people have tens of millions of dollars worth of wine. we specialize in finding rare is why i get the nickname the sherlock holmes of wine. it sounds hokey, but the first thing i do is i spend a couple of minutes looking at it. one of the things i'm looking for in any given bottle is

consistency. i haveoolkit, magnification, flashlight, bluelight, and a razor blade. the composition of paper and glue have changed over the years. there are chemical additives that have been put in. depending on how something reacts, you can date it. this bottle is supposed to be from 1947. nonreactivehould be to a bluelight. if it were true to its period. it is not. seeification is useful to paper grain, the quality of the print. the type of the font and the size. sharp lines.or it was a result of a proper printing, whether the letterpress, or some type of professional printing.

we don't have this fuzzy noise and splatter from the inkjet. the court is something counterfeiters get wrong. i do a lot of measuring. this has a label. this is supposed to be 1961. is completely blank. they would have never done that. say i have no worries about this bottle. it looks fine. this happens to be one of the few italian wines that is frequently counterfeited. this is embossed. the paper has a nice texture. a lot of times they can afford to use proper gold foil. so it won't look this pretty. you have to have looked at tens of millions of dollars of wine to be able to start a fake. it can be brutal to tell a client they've got fake wine.

i have to treat like taking a band-aid off. bam, it is actually counterfeit. rishad: challenging the rules. the latest on new tax regulations. when "trending business" returns. ♪

rishad: you are back with "trending business," india has held off a levy after people filed legal challenges. this person is among those who filed an appeal. , a very goodk at morning. what is the dispute all about? >> good morning. -- they said it will hold off from issuing new

demands to four and investors over a controversial tax and that it will take no course of action to pursue such claims that have been filed. the company is looking into these claims. the government will not proceed against foreign investors. in this case foreign companies pay a minimum amount which flared up last month. were slapped with demands of $95 million. which the government has raised against them. five of the investors have approached india, challenging those claims. you spoke about aberdeen, they have challenged the claim in the high court here. the company is concerned that more claims may be made in the future. the managing director said that

is a concern they are watching for. while the move will be viewed by investors who are pulling money out of the market, the u-turn is what has been done on the part of the government. just 15% tax on short-term gains from bonds and nothing at all from long-term gains. back to you. rishad: thank you very much indeed, sunanda. trending,i to what is let's find out what is trending. yvonne: a lot of stuff on social media. apple announced they are going to be going green, more green in china. they are partnering with the wwf to protect a million acres of forest in china as well as 100 percent use of renewable energy in its manufacturing centers.

is this really going green or is this just greenwashing? they are trying to fix some bad pr over the last couple of years. overworking employees, unsafe conditions. one person said greener business practices in china. you are referring to cash, aren't you, apple? switching gears, talking about google, there was a report that talked about how the driverless cars, the technology had cause to several accidents. in real terms it was not the technology, it was fender bender's when the cars were going 10 miles per hour, which is slower than a person sprinting. a lot of the accidents came from behind. people coming in support of google, talking about this. driverless cars have been involved in minor accidents. why so secretive on the data?

maybe they should be more open about it. one user says there is a new risk more than a familiar one. rishad: that is it for this edition of "trending business." next.edge" ♪

on the show tonight, jeb is up, rubio is about the same, and first it is obama versus warren. president told yahoo! that the says the potus is not being transparent enough on trade. the senate will take a vote on