the alternative was a messy default. i controversial choice, the bill would rewrite the constitution. twitter. me on let's have a look at what is been going on. we have had losses, we have had gains. yvonne: what else is new? we start off with some downward pressure. down in the red with these china market as we continue to see more companies resume trade. we have some freezes this morning. overall, asia-pacific is looking pretty green right now. easing concerns that greece will leave the euro.

rising a fifth straight day, head for the highest close in two weeks. mention that indonesia is closed for a holiday through next tuesday. partial trading in malaysia. check these china markets, he did talk about this during a conference talking about the china stock route may have larger implications than the u.s. subprime mortgage crisis. enough to collapse the global financial market. some of those concerns of that echoed. one in frightening shanghai. afterend with the dollar, fed chair janet yellen spoke to congress and said that we are e interesto raise th

rates by the end of this year. fund futures rising as well. we see a little bit of an increase their as well. upper top stories, greek lawmakers oh approved the third of bailout. david was watching the event in athens and looking at the implications. david: should we be worried about divisions within the party? the vote was the immediate event risk it was a very small chance that it wasn't going to go through. right or wrong, this is where we are at the moment. the ecb can come up with the money they greece needs. okay, let's take a look at voting. it's that things turned out,

four hours of debate. majority.a simple it is worth noting that you look at the 64 lawmakers, that is in green. more than half of those that dissented, 32 were from his party. there was one that did not show up. 38 members of the party saying no. this is now a threat. initially there was some concern. there was also the leader of the platform that said note that elections are needed. he is the prime minister because it is the will of the greek people. we strongly support the government. go whenes teh focus

europe opens up? take a look at short-term financing. ecb meets later today to decide on greek banks which will determine whether they can reopen. you also have eurogroup open for a conference. guess you put those two things together if greece cannot pay the ecb on monday that may trigger them pulling this emergency liquidity. we don't want to imagine what happens if that does happen. have a detailed look at that story throughout the program. move along and look at what else is going on. we of janet yellen making headlines.

yvonne: let's get started with the federal reserve. janet yellen noted progress at home on inflation and to the growth overseas could pick up more quickly than expected. she said the fed is likely to raise rates this year. reported that it is not all about timing. lawmakers also faced criticism. yellen cited the fed's recent efforts to improve transparency, including press operatives and the publication of forecasts lightbank officials. on bank regulation, yellen defended the feds record saying she disputed suggestions from republicans of the central bank would do better to follow a formula for setting rates. in japan, the country's lower house will vote this afternoon on the deflation to expand the

role of the military. minister's drive was approved by a security committee. toanese took to the streets oppose the move checking antiwar slogans. major progress -- protests in japan are quite unusual. even so, the bills are set to pass the lower house. they are needed to counter china, according to lawmakers. toshiba is a bond risk restored to a two year high. a management overhaul took place. to ensure toshiba's debt, the on monday that is the

highest level since july 2013. it's also the worst performance for a japanese company during that. appointed by on theirill report findings. the result could be more than a hundred million dollars affecting businesses from infrastructure to pcs and chips. president could step down in september in order to take responsibility of this scandal. rishaad: taking a look at netflix, it's as it is planning to roll out in china. it reported better-than-expected gains as far as subscribers especially internationally. say, toan, they regional shows such as

"daredevil" and "orange is the new black". >> they base their value on future earnings rather than current earnings. netflix's current earnings are meager, and will continue to be so for a couple of years because they are getting and inveing it in film production and new tv series and licensing. bet strategy so far seems to working in terms of getting new users. 2018 when they would love expanded to more countries, the revenue would keep going up because they have new customers and they cost will stabilize, or go down. they will be buying on a global basis and will not have to spend open up new offices. rishaad:more on that later.

a yes from greek lawmakers. the crisis there is far from over. ♪

rishaad: we take a look at what is going on as far as foreign exchange. the greek parliament approving new bailout. let's get more on that action. greg gibbs is head of our asian market strategies. greg, good of you to join us. i think your argument is while this whole greek debate is going on, with janet yellen is largely being ignored. now the focus is on them. greg: you have seen this pattern play out before. ce get some signs that greev

will remain in the euro zone instead of the rallying -- greece will remain in the eurozone and we instead of seeing rallying we see some issues. gets to take it away some of the risk aversion and allows the market to refocus. rishaad: it is more about dollar strength now, isn't it? greg: it is also about euro weakness. ecb policy for the foreseeable future, the euro has fallen already to 105 head of this crisis. i think the likelihood is we will go back to a strength combined. back to be quite possibly before

the end of the year. rishaad: who will move first? there is much talk. the bank of england move before janet yellen? greg: the sterling has been relatively strong. your commodity currencies, against the euro, that is a new lows. the u.s. dollar, so it has been priced into the pound to some extent. euro during the this crisis help to lift the pound as well. euro weakness will tend to drag on the pound. i still think the u.s. will lead out. but the hikes can still be put off by strengths in both currencies. a lot of the talk in the u.s. over the last 12 months has gone

from strength of the dollar. we good to did happen again. rishaad: janet yellen says the timing of the first rate hike is one of the most important things , and subsequent rate hikes afterwards. greg: that will matter to many markets. it will matter to the stock market to cope. what will matter is not just the timing, but when. fast, itwhen, and how will both matter. as i move closer to tightening, it is not going away. the u.s. dollar will continue to strengthen. rishaad: greg, you mentioned commodities currencies, new zealand, the kiwi has really taken a hit. six-year lows.

do they wanted to stop? greg: they don't want it to stop. they wanted to keep going the falls we are seeing in the havey in recent months only matched the things we've seen in new zealand commodity with not a big fault in the milk auction process. they're hitting their lowest levels and his many years as the currency is hitting its lowest level. the two are going in a lockstep. you had low inflation recently. it is become much more focused on getting inflation moving up. as a result, almost certainly there will be cuts next week. at least one of the cuts for the rest of the year. and that will give the currency heading well.

it should be close to the 60 against the u.s. dollar. rishaad: what about the yen? the yen, or the canada? go on.: yen is aaying the passenger. you see these rapid moves suddenly. do you see another down leg? know, i thinku overall the yen will weaken against a stronger u.s. dollar. the japanese economy is kind of doing enough to keep that on the sideline. we are and strengthening in the

investment side. we have seen improvement on their export side. obviously, did they? is will they reach their inflation goals. perhaps towards the second half of the new year. i think that is unlikely. it may lead to policies further. they have an mechanism in place. the longer this remains in place, we will gradually see the yen weakening. it is not really, it is stable policy in japan. rishaad: great talking to you. >> now to the stories making headlines around the world. thailand has approved amendments to the government's interim charter. the military says that will probably push back elections

that were tentatively scheduled for early next year. it is unclear how long they will be postponed. the charter removed powerful political parties and allows democracy in thailand. final preparations are being made at the cuban embassy in washington which will be open on monday when folded letting relations -- full diplomatic relations are restored. he called five decades of problems, and hurt. obama's calling for the lifting of the trade embargo. nasa has released the first ever close-up photos of pluto. about the same size of america's rocky mountains. the images reveal signs of

ongoing geographical activity on pluto. the spacecraft passed within 30,000 kilometers, recording data that will be sent back to earth over the next two weeks. rishaad: up next, new worries for australia's mining of petroleum. we had to sydney to get the details. ♪

♪ it will remove power from china as the hong kong regulator confirmed its suspension from trading. let's get more from ian wilson. ian, what does the suspension mean exactly? we saw the headlines yesterday, it is already suspended because shares haven't been trading since may. ian: that's right, the shares have been suspended since may 20. that was based on a statement that it had requested the suspension. the difference here is the regulator has stepped in and said the shares cannot trade again until they say. the decision to whether the shares can trade has been taken andof the hands of hanergy

the regulator is conducting an investigation. and a sense, even if they wanted their shares to trade again, it would not be able to because it is up to the regulator. rishaad: then what is the reaction from the company? iain: the company has not said very much. they have been quiet since the end of may when they put out a statement on the payment companies website saying that production was great. the company has been very quiet, yesterday they would make no comments. the last official statements they put out to the exchange was canceling sales agreements between the parent company and the listed unit in hong kong. that was about half $1 billion in sales. there is not a whole lot of hanergy in from

terms of what is going on from them. while shares are suspended, the shares in the over-the-counter market are trading robustly. we had guggenheim a couple weeks ago saying three of the funds had completely sold its hanergy stake. you can read into that whatever you want. what is also interesting is that there are employees that a button shares as they were going up -- bought shares as they were going up. they are locked out of selling their shares. you have employees who of invested in the company and they really cannot do anything. the market that it is targeting, there is concern that the distributed in china is not quite as robust as some would like. the results of questions surrounding its technology. ain: if you backup for

second, they have been focused on the distributive market. this is the market were solar panels are put on the roofs of buildings. they are not the big, industrial size solar plants. what is really interesting is that earlier this week it was a --pany called the short interest in the company was 60%, that was a record. we called around to find out why that short interest was so high. a lot of the analysts we talked it were saying that is really an indication that the distributed market is not developing along the lines that the chinese leadership would like. there are policies in place to encourage that market. so far, however recording shows it only accounts for about 16%

of the total market in china. when you have companies pleasing solar panels on many services, that doesn't seem to be taking up as quickly as policymakers would like. it really begs the question of what is happening on an operational side if you have other companies where investors seem to be saying hold on, let's back off, the market isn't quite as robust. seeill be interesting to what will happen. rishaad: thanks for that. ♪

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visit philipslifeline.com/caregiver today or call this number for your free brochure and ask about free activation. ♪ rishaad: looking at our top stories, china with stocks swinging wildly. thethe concern about economies? wednesday better than expected growth. it is rising even faster to record it to hundred 7% of gdp % of gdp. lawmakers are proving a third bailout for greece.

they say they had no chance to accept the terms because the alternative would've been a messy default. the country has been ravaged by five years of austerity. top 65d trading after a million shows that oranges the new black helping to really attract users especially abroad. it is not all good news. netflix our revenue fall more than 60% from the previous year. can you make sense of the ?arkets you vonn -- yvonne yvonne: we are down in the red right now. we were slightly up, we were flat, then dropping as much as 3%. we are preparing for the losses. seeing small gaps in the

mainland exchange looking pretty good. here are some movers here. a lot of limits up and down. big moves here in the china markets. let's talk about japan, as we head into the lunch break. some movers in the japanese , this is a company that develops sound formatting for cellular phones. they have been a company called reno losing face, cutting their stake 20 -- to 0. goldman sachs raising the price target from 4300. up.ona the other china movers, talking afteropening new accounts

the crackdown by securities regulators. they do run that financial investing trading platform which has been in question. greece entering a new chapter in its long-running debt drama as lawmakers approve the terms of a third bailout from europe. well, the implications, what happens next and the skeptics. 4 the -- the preconditions, which we should remind of viewers, it will take months. rishaad: they will not get in one lump sum. i think that was the last debate we had back in february. debate buthours of

before we went online at midnight. we had a speech, what you are looking at in the screen is the applause following the speech. vote, you havee syirzats held by the party. members said no. 38, basically. that was initial concern it might threaten the majority. he is the said this -- president he had ever support we support the government because they will implement our program.

noting of the energy minister is also the leader of the so-called left platform. let me just end by showing you this vote here, this quote here rather by the finance minister. it underscores the message of the prime minister. quite something really. it was the most difficult moment of my life. it is quite dramatic. i don't know if we did the right thing. i know we did some into his there was no alternative. rishaad: this is the thing. they need money, they need to quickly. the banks are closing and a likely to remain closed until they get some short-term financing. we have capital controls in place. ecb, withs now in the its emergency liquidity applications. david: the banks have been close

for three weeks now. we don't know the full damaged the economy just yet. you can imagine how much things have contracted already. they could've struck by a quarter already over the last five years. later today, you have the ecb extend theether to current ela, and the conference call happening on what is going to happen in the short-term with these bridge loans. that is about 7 million which is supposed to tie greece through while they finalize the 90 billion. what is more important is that you put those two things together. if they are not able to get the financing, that triggers the ecb possibly pulling the ela -- drip,d: this is the drip,

drip financing. lot., things a look now but shares in sydney. slightly lower than anticipated. itself.et to sydney it was not part of the plan, was it? >> more oil, more cheaply was the plan. the second-quarter production numbers did disappoint. but not what analysts were expecting. circumstances beyond their tworol, t here were cyclones that affected exports. that accounts for the lower than

expected shipments. going ahead, the picture becomes more interesting. they have reduced their forward guidance for the coming years to 340 million tons. no, as you say, not part of the plan. rishaad: thank you much. let's have a quick look at some of the other stories. chinese regulators are investigating. it is because a sex video went viral. he said it was recorded in a clothing store. they are saying they must raise standards in the management of the social media content. subscriber base topping 65 million for netflix. popular programs help in the company attract users, especially internationally. it is not all good news for netflix, second quarter revenue

fell in more than 60% from the previous year. ofel saying rising demand the pc market could offset computer chips. they're forecasting third-quarter sales of $14.3 billion. that is ahead of expectations. intel is a 90% market of the servers. it is the biggest provider of operators. a tech analyst is with me now. pc sales are falling. i don't get this, intel is going up. basically. pcs are getting worse. even the guidance,

numbers. what we're seeing is the demand that is driving demand for chips to increase. if we look at this quarter, you have more than 40% coming from non-pc. your document i o.t. chips. 70% of the operating comes from high-margin businesses. that is the story for intel going forward. rishaad: we talk about it yesterday, we talk about the pc market. it is contracting. we talk about a difficult it would be to stop that contraction. let's recommend windows 10. could that do something? >> nothing is helping at the moment. they are at 6% right now.

a macroeconomic slowdown in general city of europe as well, on top of that, privatizing on smartphones and tablets. all those factors are not helping. again, intel is saying that our guidance does not factor in. we will be focusing on the data center group and offsetting the slowdown in pc. rishaad: you mentioned china, and europe. >> it is bad. a invested in europe accounted for more than 35%. in fact, if you look beyond that, all of the market to the india demand is weakening. the non-pc side going forward. rishaad: thank you very much.

you can hear more on that story if you download the bloomberg plus app. next, less in love with luxury. ♪

ithaad: a luxury retail said has been hong kong clamping down on spending. these could affect retailers what the next couple of months. ?ow do they turn that around a conferenceon

call yesterday. they have chain stores. analysts are calling of the great fall of china. this fall the luxury sales to really specifically say how this stock in china is really being impacted. if you look at some of the numbers, total revenue well below expectations. comparable sales at their lowest level since the third quarter of 2013. they might negotiate lower rents, they're already cut some. at this rate, their 17 stores in hong kong. they are not changing the strategy means they don't plan on closing any of them. rishaad: at this stage. that is important. we've seen mroe of these companies cutting prices. >> a gold retailer around the globe it is really starting to

see an impact in hong kong. china the same. 18% drop in april to june. fook shares down. also beinglers are effected. prada is affected as well. hong kong retail down 2.1%. thanks a lot for that. >> these are the stories making headlines around the world. expand thelook to role of the military. opposition is growing. was approved by community --

committee. are given need to counter a rising china. mexico has released pictures of drug lord as he made his escape from prison. security footage shows him in the shower. he then entered a tunnel more than a kilometer long and vanished. he was considered one of the world's richest and most powerful drug traffickers. he was recaptured last year after an earlier prison break. a plane trying to fly around the world powered by the sun has put its mission on hold. the flight will not come before april at the earliest. mission control said its batteries were damaged during the journey from japan earlier this month. they overheated, and could not be cooled in midair.

the mission will continue next year. andaad: it is wednesday, federal reserve chair janet yellen delivered an upbeat message saying that rates will rise at some point this year. >> federal reserve chair janet yellen giving her semiannual testimony before congress. it was the house financial services committee that she was addressing. rise isestimony, a rate likely this year. she did hedge is somewhat saying that this is a projection not a definite. it is based on the economy getting better. the labor market has been improving. there was still slack in the labor market. is also noted that inflation below the fed's target of 2%.

the influences on that are transitory. that also should move closer towards the target as the economy improves. she also noted international pressures and talk about greece being a challenge, china's economic situation being a challenge. as of right now, it is not affecting the u.s. economy. the results of an upside risk that we could see economies outside the united states recover more quickly than market participants do expect. also, the u.s. economy itself could do the same. in the q&a session, she talked about the timing of a rate increase and how that would benefit further rate increases. longer, itit certainly could mean that when we begin to raise rates we might have to do so more rapidly.

the event is to beginning earlier is that we might have more gradual path of rate increases. >> yellen's exchanges with congress were largely friendly. she will be facing members of the senate on thursday. next, we look at crop making and why technology is making it harder to fake it behind the cameras. ♪

♪ stunning sci-fi in splitting explosions, hollywood props bring movies to life. improves, the task

of faking it gets even harder. >> most people think that film sets somehow magically exist. most of them have been created from scratch. independent studio services makes the environment a reality. had was formed in 1947. it was started in my debt to garage. it is grown into a very big company. technology has sped things along. it is also made things more difficult. you cannot sheet things like you once did. back in the old days, the quality was not as good. the materials weren't as good.

what you saw on camera wasn't as clear. now with high debt, -- high definition, you see everything. ♪ >> this is where we make rubber parts. been pulled out of the mold. it is not yet been painted to match the real one. you will not be able to tell the difference when they are done. actors like playing with rubber knives much more. people don't realize that one single prop could take 8-12 hours to make. which is the real one? crop of money for films is always more complicated and people will think. we were working with a film production making a billion

dollars of prop $100 bills. extras put some in their pockets, and that it was neat to have as a souvenir. that money started getting past is counterfeit. secret service came in, shut down the production and compass get all of our proper money. that is nowmoney sealed in plastic so it cannot be used by anybody. it looks very bad to me, there are multiple things we did to make a problem money. when he just a good -- prop money. we have aance at it, lot of cease-and-desist from secret service. now we will get stacks of play money and it's at the same hundred dollars bill, and when you lay it down and looks like the real thing. whenever possible, real money is the best way to go. our stuff is very realistic so

we don't let the public use it. we have some badges that have had legal issues. money, at is prop rubber gun, or a police badge, they have to have $1 million of insurance. technology has changed things for us. everyone's expectations are greater. at the end of the day, that makes for a better film, a better viewing experience for the audience. it is more difficult for the proper masters. once your expectations are set at a certain level you don't want to go backwards. rishaad: that is it for this edition of "trending business." we will be recapping the big stories of the day.

hugo guinness's thoughts about the current volatility of the market action. ♪

mark: with all due respect to president obama, we may not agree on everything, but we definitely agree on where to get the best burgers. president obama: i want to give a shout out to five guys. ♪ mark: tonight, a trump meeting of financial disclosures and the cosby show. but first, the president's press conference on iran. he took questions this afternoon and was so disappointed, the press corps did not ask the questions he was prepared for, at one point he asked himself some questions. hyper awareness of what critics of the deal are saying.