and at -- abroad but goldman sachs sees no bubble in china. follow me on twitter. #trending business. with the news coming through after -- consequences across the asia-pacific, particularly in shanghai. we are seeing continued weakness. the shanghai composite coming off a little bit from that earlier 7% drop, currently down by 5%. a couple of stuff we are watching now. a lot of the weakness is actually coming through in hong kong and china. down by 14%.ties it has been down by as much as 30% this morning.

hong kong exchanges down by about 8%, international securities down about 19%. shanghai composite orient down by 8%. well, has been doing quite well over the last sessions, and limiting losses but it is also in the rented a. -- in the red today. quite a lot of selling going on market open of the still being heavily sold off. another quarter of 1% on the shanghai, the hang seng down by 4.2%. ofare seeing quite a lot weakness coming through in australia and japan as well. let's have a look at

what is unfolding for chinese markets this morning. what is going on now? the pboc, i can't remember the last time they actually came out and talked about stock markets. basically now ensuring support for china securities finance to keep liquidity flowing, to ensure a stable stock market. because that is not what the markets look like. we are down roughly -- shanghai composite down 6% last i checked. futures market is where the damage is being seen. continuing to fall. in hong kong, down 4% for hang seng index. hang seng futures down 1000 points. let me get you the latest

numbers when it comes to the number of companies that have called to trade in their own stock. stocks have now been held in between the two exchanges. 45% of the total. the kids here in hong kong falling as much as 10%. back to the chinese mainland, some of these companies that are actually falling, the icbc bank of china, not as much. between the two indices, 2800 2800s, we're looking at stocks across both exchanges, only 13 are up at this point.

people just dressing for the exits. -- rushing for the exits. back to you. rishaad: we will have much more on that story. we want your opinion. include #trending business. the other big story is the unsettling of investors by grief. -- greece. athens producing nothing new. they were hoping to come up with something new by sunday. this could mean leaving the eurozone but it is probably not as simple as that. no one wants to take the blame for forcing greece out. the consequences are unknown. but with medicine in short supply, a humanitarian crisis welling up and diplomatic concerns as russia enters the equation. theourse, the big picture, economic and financial follow. tuesday, euro summit did not engender a lot of confidence. that is because the new greek finance minister showed up

without any concrete proposal to ofsent, which led to a lot consternation among the eurozone officials, and led them to issue an ultimatum that greece must come up with a viable concrete proposal by the weekend. by sunday. that is when greece will be kicked out of the eurozone according to the statement. this will be an unprecedented move and will shape the future of the euro project. project thatold greece has been a member of. we have the french president saying it is the time for responsibility and solidarity as well as speed. and the german chancellor has been weighing in as well saying that time is measured in days now, if not weeks. let's listen to what we have been hearing from european officials and the greek prime minister himself. we had long and intensive discussions, and i can tell you

after all the talking, the preconditions for the resumption of the program on the basis of the efm are not there. ready to doare everything we can to protect the eurozone in the euro as a whole. zeb: we heard from the greek prime minister as well. alexis tsipras having few words, but confident. it is a deal can be reached and greece wants to remain in the eurozone. but this is a complicated case and it now we have of course, the frustration among euro group deal,s in reaching any even setting up the talks to have a deal. angela merkel on tuesday saying we don't even have the basis for discussions yes. rishaad: thank you for that. other stories we are watching. let's turn to leave on. --yvonne man. hsbc, they promised they would clean up its act after being fined for helping clients launder money and dodge sanctions.

a court-appointed monitor shows reform efforts net -- met resistance, citing bullying and foot dragging among managers toward the internal audit. team. when they singled out six clients's activities pose a threat to the banks, the u.s. managers in the banking units says they were annoying distractions, including one of the clients they talked about was a saudi bank that had wired money twice to one of the 9/11 hijackers in 2001. u.s. managers called these red overallstractions -- ruled hsbc has made some progress, but the monitor says the bank still struggles with compliance and they need to redouble efforts. switching gears to president obama meeting with vietnam. in communist party leader, what he describes as a difficult history between the two

countries, with a relationship based on mutual interests. remain,me differences the two countries are building new ties. part of that is vietnam's participation in talks on the dpp. -- tpp. it was a rare oval office meeting. is moving tose boost economic and defense ties with the country as china expands its influence in the region. finally, for those of you and the social media savvy singapore, you will like this one. singapore is seemingly insatiable appetite for facebook and twitter is streaking resources to -- breaking resources to breaking point. they are considering a fourth carrier. they have proposed more spectrum ranked theidents, most active users of social media and asia-pacific. -- half of the residents

carry at least two devices. the first competition for singtel star hug and the other will be bringing down the cost of mobile internet access, but some providers say they are ready for more competition. those are the stories we're watching today. back to you. rishaad: let's have a look at another story. starbucks has been getting away with charging a fortune for cheap coffee bring. -- beans. check it out. indonesia's president banning flip-flops and he does not mean cues. alsota for the details after the short break, the euro meet -- reach parity with the dollar. when we return. ♪

zeb: stories making headlines. japan is on the verge of returning to new year power. reactor refueling the and is expected to be fired up next month. all reactors were taken off following the disaster. the government has reproved -- approved a restart at sendai, but they are worried about a plan that has not been used in four years. thousands of people have been moved from their homes and ferry services suspended as to type had towards southeastern china. head towardsns southeastern china. the level three alert has been issued ahead of the arrival. they are both expected to make landfall late thursday. the deadline for a deal on her runs nuclear program has been pushed back to friday, as world powers of the over an arms embargo and consequences of a

possible breach of the accord. diplomats have mystified self-imposed deadlines but insist the agreement outweighs any time frame. a further holdout means u.s. congress gets longer to review any deal, giving iran's chances of getting any sanctions released this year. dimmin iran's chances. ofshaad: amazing story out china. extreme volatilities. shares suspended. 45% is not trading. does this have implication for the foreign exchanges? guest: i think definitely it affects sentiment, worries about growth, impact on commodity prices, imports. if you look at it recently, asian currencies have been more -- barely heard due to china worries. whereas if you look at the last

few weeks the impact from the potential implication of greek exit seems to be a bit more muted. rishaad: have we ever been nearer to a so-called exit then where we are right now? is the greek leadership staring into the abyss? guest: it is a very tough call where it -- whether they will reach an agreement. we are cautiously optimistic that an agreement will be met. it is not in anybody's interest for greece to not agree. we have seen relative resilience on the part of the euro thus far. the question is, what is actually being priced in? definitely if you look at the euro price action, it has declined in recent weeks. rishaad: but not as much as you would have thought. guest: we did say the implications of a greek exit is much less compared to a few years ago and the ecb has

measures, so definitely i think the implications is much smaller for the euro and the decline is smaller. will this perhaps make the euro stronger? much later will come on because you need to bear in mind, it greece exits, the potential effects on weaker countries. that is also another effect that can be negative. rishaad: the target is. he now. guest: yes, by the end of the year. by 2016? guest: we expect the euro to recover by the end of next year. we anticipate the ecb will stop the security program. rishaad: looking elsewhere, the currency space with the yen, monetary stimulus expected. or the stimulus next year. it has turned into shinzo abe's

favor? guest: recently that has been encouraging. that is why we delayed for this year to early next year. by having said that, we do not expect inflation to reach close 16,he 2% target by early and therefore for the bank of japan to maintain, they will increase stimulus next year. rishaad: a lot of that further weakness will depend on that. we have not talked about the fed very much. guest: definitely the yen terms ofdoes help, in imported inflation, but the bank of japan is also worried that too much imported inflation without improvement in wages with be negative -- would be negative for the economy. rishaad: looking now at aussie dollar, len stevens would like to see an even more weak aussie.

it seems to be stuck even i just fell below 75. guest: there are some arguments but then again if you look at the decline, the aussie is due to renewed worries regarding china. if you look at commodity exports [indiscernible] there is still a case in this quarter. rishaad: who are the currency's most vulnerable to the fed in a monetary policy? guest: the euro and yen are likely to be impacted by raising interest rates within asia, besides the yen i think the singapore dollar has a high feed to short-term in the u.s.. when the fed boost interest rates, that will depreciate. rishaad: thank you for coming in.

let's tell you about what else is happening. this whole story about greek -- greece. wait to draw 60 euros a day from the atm. now turning to bitcoin as an alternative. but it is proving challenging to encourage people to follow suit. >> a year ago, we decided to launch the first greek bitcoin exchange increase. the numbers have jumped up, there is no comparison with the beginning. we had five or six or 10 clients per day. at the moment we have 150, 200 clients per day depositing.

and buying their first bitcoin. we see a lot of people that they use bitcoin as a sort of value. for a lot of greeks it represents an opportunity to --et the risk that they is somethingdm that has been introduced in the greek market three or four weeks ago. it is inside the bookstore in a neighborhood in greece. >> my name is felix. i travel around the world. for one year only using bitcoin. no credit cards, no bank going accounts. only bid going. you can access your money anytime. since 2012, there is a restaurant in athens that accepts bitcoin.

>> i started accepting bitcoin in 2012. i have four or five customers who pay that way. people start to use bitcoin because of capital , because people don't have access to their money. the greatest boxers his generation is stripped of his title. we take a look at floyd mayweather latest fight after this week. ♪

we have a look at what is going on on social media. the new finance minister with a fairly basic mistake. yvonne: that's right. not a good first day on the job for the new finance minister of greece. you alwayst fiscal have your books in your notes and then this happens. zeb: and every other kid in the class is smart. he acknowledged he was nervous. he said he was nervous. i would be nervous too.

what is confusing a lot of people or causing a lot of speculation, is the fact that his notes going into this most important summit, one of the most important in greek history, or just important for today, his notes were written on hotel letterhead. everyone on twitter is figuring out what he had to say. let's not forget, he did not submit any proposals at the meeting. i guess he did not have to say much. this is what bloomberg business is trying toyone decode this photo of the finance ministers handwritten note. i tried but it is difficult. yvonne: it's a little muffled. zeb: i'm sure someone can do it. this person says loving how the greek finance minister goes into the most important meeting with notes scribbled on a back of a hotel notepad. thethanks by the way for press corps, that makes life

easier for all of us to know where he is staying. person says, the business pages of the standard yesterday note that the new greek finance minister was at oxford, so he could hopefully argue like a grown-up. interesting what people are saying here. yvonne: it's just his first day. not too much time left before the deal deadline. a lot of pressure. not to me whether, after the fight of the century he won 200 million dollars. but apparently he is getting stripped of his title, because he missed a deadline to pay the $200,000.g fee, from the fight and to vacate the junior middleweight title he also held.

he holds like three of the scorecards. according to the rules, you are supposed to show which when you want to stay in. zeb: that is helping the association make money. yvonne: some people say it doesn't even matter to him. not like he deserved in the first race according -- first place, according to some people. one more last week, some people say it doesn't really matter, the legendary behind it is what matters. zeb: and he will have to do another one. yvonne: back to you. rishaad: up next, failing to stop the plunge. more on this chinese trading hold, the entire chinese equity market is suspended. ♪

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you can even check your connection status on your phone. now it's easier than ever to manage your account. get started at xfinity.com/myaccount bankad: china's central says it will provide ample liquidity to stabilize the stock market and prevent what it calls systemic risk. shanghai composite plunged -- plunging more than 7% at the open, the most since 2007. hundreds of companies have been suspended from trading. shares in hong kong also pledging way down. china galaxy down 23%.

hang seng falling by more than 5%, its biggest drop since november 2011. greece has been given until sunday to come up with a plan after failing to come up with anything new at the summit in brussels. chancellor angela merkel says she is not especially optimistic. greek banks remain closed, at least three today, with atm withdrawals limited to 60 euros per day. it is all about the markets this morning. here is juliet. reporter: we are focusing on these stallings in china and hong kong. other markets in the asian region also lower, mainly being weighed down by commodities. china, bigger drops than they were already having before chennai open. and shanghai, near 7% drop on the open.

we are seeing some of the company still doing quite well, china railway. weakness coming through from state-owned energy companies. down.ng seng weighted listed inde shares hong kong, weighing down on the overall index. it really is the brokers doing a lot of the damage in hong kong. the telecom stock and hong kong under quite a bit of pressure. in china, weakness across the board on shanghai computers it -- composite. they ran utility companies under pressure. more selling coming through. ishaad: now for look at what

going on in the markets. the -- what is it looking like? david: infeasible to take a look at an update and what is happening. shanghai shenzhen, between the two it is looking a little better. there are more stocks in the green, but that is a small minority when it comes to the total number of shares across the exchanges. 1300 companies have now halted trading in their own shares. obviously that seems to be the only strategy that is working so far to stem the losses. don't make a move because anything moves, moves down substantially. the bigger picture is who knows how long -- how much of the shares have been pledged to things like collateral for

loans. that's a whole mother -- a whole other angle. what we do know about the futures market is that we are seeing declines there. hang seng futures as well. everything is basically calling. -- falling. china is making it harder to short the market. a raised the margin requirements. settlement.july 9 is alsoin requirement raised 20% from 10% for the delay settlement -- july 8 settlement. something worth avoiding perhaps , showing you just how volatile things have been compared to the last time we had this seismic move in the market back in 2007.

10 year chart. there you go. just to put this into context. back in 2007, 2008 that is when things started crashing. we are still not quite there. but certainly they are trying to stem it. 1300 shares have been suspended. but if you look back over 10 years, that happened quite -- for quite a long time. let me leave it there for now. back to you. what about the fundamentals? asia economic correspond it is with me now. we had.

i thought they were committed to market reform. but we see the arms flailing almost. panic from signs of policymakers. actions speak louder than words. this is a test of credibility. let's not forget that one of the big priorities is to get their currency accepted by the imf to be effectively reserved currency. which would be a huge economic status symbol for china. they would open markets and allow in foreign capital. how can they win because of global investor base and promise they will be transparent enough, it when the market turns on a dime, the attorneys -- authorities through the kitchen sink at it? rishaad: they have to have an endgame. guest: they are playing a very risky game. anytime when the economy is slowing, you could argue it is making things worse. absolutely, you could be making

it bigger fall for a harder landing. we look at gdp next week and no more. the real estate sector is not in great shape. they are playing a very risky game. rishaad: thank you. is not just stocks. commodities as well. a rough time of it before in iron ore as well. yes, iron ore in focus. it has fallen the lord the 40 --. dollar a mark level fallen and below the 40 u.s. dollar a mark level. i want to have a quick look at oil. oil has been falling due to risk off sentiment. 4% today. about if you look at the 30 day chart

you can see these risk off appetites we have. a drop coming through. comingt to see these through particularly in the chinese equity market. gold normally a safe haven, today is is not moving too much. holding around 1153 u.s. dollars. today, they have not made too much movement coming through in the gold prices, holding pretty steady only down by .2 percent. iron or price really having a big impact on material stocks in china. indonesia's president is giving his cabinet a new decree. no more policy flip-flops.

why is he having to say this? good morning. ever since he took office in october, the president has struggled to effectively spur the economy growing. the government has announced strapped policies including a s,nguage tax for ex-pat tollroad tax and a ban on government officials meeting in hotels. subsidies is also back on. the head of the advisory board says the president has ordered its ministers and top officials to stop making policy u-turn/ s. he says policies need to be

comprehensive so that when policies are launched they don't have to be taken apart and put back together, which raises questions of uncertainty. flip-flops are certainly not helping at a time when the sentiment on the economy is weak, and confidence in the government is waning. the president is under pressure to reshuffle the candidate -- cabinet. the president cheap of staff said changes could come after the holiday in mid-july. u.s. and vietnam, ties 40 years after the war. the meeting when "trending business." returns. ♪

zeb: stories making headlines around the world. afghan officials will meet the taliban since -- for the first time since 2001. this is less than three weeks after taliban militants attacked parliament. killed five people. pakistan is seen as a key player in peace talks because elements of its security services have long been suspected of backing the taliban. mina mark has banned construction of five high-rise buildings. the order came from the president's office in response to public concern about potential harm to the buddhist heritage. the developments include a u.s. backed complex including a five-star hotel, apartments and a mall. president obama says the u.s. and vietnam are moving the on what he describes as their typical history, a relationship based on mutual interest. communist head of the

party. while some differences remain, two countries are building new ties. it was a rare oval office meeting, since the president only usually welcomes other had to stay in the meeting. president obama: because i think the efforts of leaders in both parties here in the united states, as well as the leadership in vietnam over successive years, what we have seen is the emergence of a constructive relationship that is based on mutual respect, and that has benefited the peoples of both countries. this.d: let's get more on visit?nificant is this reporter: president obama's meeting with a party chief really does go against protocol. usually the president of the

united states only meets with top officials from a government. under vietnam's constitution, however, the party chief is considered a top leader. the unitedthe rules, states is signaling to vietnam and the world that there is an importance in engaging with in him further. rishaad: the thing is, let's have a look at the timing. why is this happening now? we have seen the tensions in the south china sea. reporter: exactly. the meeting between the two countries between the officials is occurring 20 years after the two countries reengaged diplomatic relations, and it underscores the converting inches -- converging interests of the country's, at a time when china is increasing assertiveness in the south china sea.

just a year ago, china placed an oil rig off the coast of --tnam, that trickled triggered a diplomatic row between the countries. china as well as constructing artificial islands which is upsetting vietnam and other countries. vietnam views this as a threat it'se economy and sovereignty. have one of the largest shipping lanes in the world. you will see more and more engagement. time, both countries are involved in negotiations with the transpacific partnership treaty. so they view the future as being a much more economically engaged. there are limitations

to how close, led vietnam and the u.s. can get, aren't there? reporter: serious obstacles remain for this relationship. vietnam is wary of how china considers if it vietnam to be cozying up to the u.s. china is the most important trading partner. the united states still has continued concerns about vietnam human rights record, although that has been integrated -- improving according to the state department. while you want see them becoming iose allies anytime soon, think you will see further engagement, including possible visits to vietnam by president obama later this year. rishaad: thank you for that.

the latest between washington and hanoi. now to something completely different. in various things. but champions think it is also powering the future. but could be the next big source of iowa field. -- biofuel. yvonne: it is slimy, slithery and looks like it belongs in a barn. but one japanese company thinks this could be the fuel of the future. >> is highly productive. other vegetables have very complicated tissue that this is single celled and the reproduction process is much faster than other plans. that is why we think of biofuel from this makes the most sense. yvonne: investors are buying into the idea, shares have jumped nearly 2500% since the ipo in 2012. the company is always looking for possibilities to expand. >> our strength is we already have the cultivation technology to mass-produce, we have been

testing different methods and the speed is increasing. the idea that planes could fly on oil from algae is the stuff of dreams. yvonne: but could that dream become reality? some critics say it is a long way from being a viable option. up,t is expensive to scale hard to harvest, it needs pacific sunlight and co2 and the tanks are suffering from contamination. today, we estimate algae biofuel can cost between seven and $15 per gallon to make. this doesn't compare to the two gallon -- two dollar per gallon target. no plane has yet taken off on the potential fuel, but they are not faced. having won approval from japanese regulators and find deals with chevron, k&a and other holdings, they insist on seeing a wider picture.

>> we have the roadmap written up. we launched -- we will launch this in 2020. yvonne: claims about renewable fuel had yet to live up to the hype. what they say this time it will be different. yvonne man, bloomberg. next, it was a pledge to bring more investment to india. but what is the actual situation on the ground? we are headed to mumbai after the break. ♪

rishaad: you are watching "trending business." china's biggest stock route since 1992 does do anything about the

bullish outlook of goldman sachs. the effects of government support and monetary easing kicks in. the leverage positions are not big enough to trigger a market collapse, and there is still room to climb. $100 billion pool of foreign futures to whether problems. finance ministers and central bankers from brazil, south africa and india and others meeting. they say the fund will be what they call an insurance instrument to help solve short-term liquidity glitches. china is committing some $41 billion. greece is fourth -- if greece is forced to leave the euro, trillions of dollars could be wiped away. that is according to an american law firm that says a chaotic exit with depressed equity prices and dampen business confidence. global activities on track to pass reach warily and dollars the first time since 2007.

-- $3 trillion for the first time since 2007. the indian president promised to bring in more projects. but the new proposals are the lowest since he has been charged. noteems that people are making in india. reporter: absolutely. -- i can tell you a lot over thefrastructure past few weeks, they are getting differing views. is on newestion project proposals and that are being announced, in june was the lowest rate since he took power in may 2014. another 540 stalled projects.

three quarters of those are in a -- lack funding. they're looking at this being a sharp uptick in growth in the next month -- year. that is where hopes are being misplaced. that it will definitely take time. it is not known how much time. i could definitely be one of the big factors that he will have to keep in mind when he meets on the second of august two look at where india's monetary policy should head after. happening globally of course playing out in india in terms of making india a better place to invest. earnings season is kick starting on thursday. rishaad: thank you.

let's get you up to speed with what is trending today. china is what is trending today. the stock route, a lot of different names to call it on social media. ,ome people saying #meltdown #bloodbath. some people saying a bull in a china shop. shares falling to the three-month low. we will continue watching that on social media this money -- morning. let's talk about the new greek minister. not having a good first down on the job. according to social media. take a look at this. this is a picture that was all over social media about his notes. they were handwritten, scribbled on a notepad from the hotel. some people trying to decode

what he is saying. my pick -- one person say, is taking notes on paper getting old? where is his ipad? back to you. ♪

mark: i am halperin. i'm heidi. with all due respect to the simpson there is someone else , you might want to consider to voice of those characters. mark: mm. donuts. ♪ mark it's funny because it is : true. but first hillary clinton. she has done her first national television interview and held a short press availability in iowa city. in both those events, clinton assertively hit the topic that is dominatre