the bloomberg index showing commodities cheaper than at the height of the financial crisis. nick their reactions, iran -- nuclear reactions, iran's investigator insists he did not cave in. do not forget to include the all-important hashtag. what happened in the u.s. overnight, a lot of red across the asia pacific. david: extending the losses we saw on wall street overnight. up,chinese markets opened shanghai, don't pay attention to that. that goes all sorts of directions. i will talk about this later. led by japan and hong kong, down to 1%. crossar losses are taiwan.

have a look at this height chart. sector movingry down. if you do have to pick one, health care down. i.t. if you move to the other side of the spectrum, less damage for consumer staples and goods. down, about 0.5%. what else do we have? australian inflation. very quickly, let me mention this as well. more in at you moment. have a look. apple in the middle. what this shows you, these are the biggest suppliers of apple. we have sorted them according to as far asle they are

percentage of revenue. those stocks in the red, on the way down. some are listed in the u.s.. 15% of their revenue comes from servicing apple. you go through the list, a number of companies. depending on how this is sorted, top 30. 21 or 22 based in asia. a lot in taiwan, a few in south korea. one or two in hong kong. these companies fairly dependent on apple. when apple misses an estimate, you expect the stock prices to reflect that pressure. sales falling for apple, raising questions about the company's prospects. about whetherions

the next quarter will be strong or lackluster. a strong performance by any standards. 35% increase in iphones in the quarter. margin,ealthy profit but it fell short of what analysts were seeking. this combined with the revenue contributed to the 8% after hours drop. as investors tried to figure out isther iphone demand falling. the concern is apple will have a hard time selling more of the devices. many have traded up to the larger screen and they expect a richer experience. we expect apple to introduce an updated version later this year. the same can be said for the ipad which had a rough quarter in terms of sales. a corporate ipad on the agenda.

as for the apple watch, we don't have exact numbers on how they performed. the unit that sells the apple watch saw a 49% sales increase. healthy performance. despite the slowdown, they continue to power ahead. the chinese market delivering double the revenue growth in the quarter. apple seeing an advance in terms of its ability to spread sales across various price points in its unit. the used to only be able to sell their cheapest products, now seeing strong user growth as users trade up to the more expensive phones. apple driving the pricing power in the market. that was once the purview of samsung. interesting to see how this evolves going forward. rishaad: shares under a bit of pressure. the 9% rise last

quarter. let's head to sydney. where is the bad news here, paul? the: the key thing is announced there would be an underlying profit of $650 million. clouding and otherwise good picture from bhp. fourth quarter iron ore production -- guidance for the coming year raised to 247 million tons despite the low price of iron ore. the hp happy to play the volume game. good story for petroleum as well. was all really clouded by the announcement of the underlying hit. they also took a hit on the dim

e-merger of south 32. reporting, a mixed bag for them. aluminum production down. manganese performing strongly for south 32. shares just a fraction off in early trade. thanks for that. let's have a look at some of the other stories we are keeping tabs on. yvonne with the wrap up. yvonne: the recent earthquake in china sending tremors. cognac, taking the hit. china bearing the blunt for some of the bad in numbers. the company said wholesalers continue hold back on cognac

orders. take a look at the exposures from names like young brand. they get half of their sales from china. the french supermarket operator chinese customers are spending less when they shop. customers and investors betting for a rebound with names like netflix looking to enter china next year. sharesalk about toshiba, trading higher after the president resigned over earnings. he will leave toshiba and a new management team will be announced. the earnings were considered quote to embarrassing to show publicly. mentioned also

accounting malpractices and a corporate culture where it was impossible to go against the will. let's talk about jpmorgan. four people have been arrested in connection with last year's hack. have links to tel aviv, west palm beach, and a moscow. officials ticked up two man charged with running a multimillion dollar scheme. in florida, they arrested men for operating an unlicensed business using bitcoin. some of the individuals are linked. i'll send it back to you.

rishaad: a more detailed look at that story later on. we want your opinion. tweet us your thoughts. include the hashtag. let's have a look at the other story we are following. looking at business, the scandal gripping malaysia. a riveting read. bloomberg.com should be your destination. changing the corporate culture in japan. we are headed to tokyo to look at the hurdles facing whistleblowers. golden sold -- a not so outlook. "trending business" is back in a couple of minutes. ♪

rishaad: we are looking at commodities, the rebound fading

with the asia-pacific open. david looking at the latest. david: when we say we are looking at commodities prices, a 12-13 year low, that is the index we look at. a lot of the waiting is gold. price, 1100.g at a very short lived. you had a pop overnight, a lot of this down to the drop in the u.s. dollar. a few notes here as far as guidance is concerned. still calling for further declines. call is we may see this to about a thousand by the end of the air. a strong dollar and oversupplied market. the there is a great story on bloomberg.com about how a lot of

the miners cannot afford to dig stuff out of the ground. is the gist of it. take a look at the article, very nice. declines across gold, energy as well. a lesser extent, soft commodities. let's look at what copper is doing. flat, 5453. everything from zinc, lead. they are ramping up production. and oversupplied market. more from our get guest. joining us live from melbourne. what is going on here in your view? guest: i would agree with that supply scenario. oss ae seeing it acr lot of commodities.

no doubt, ate guys levels, the high cost in gold will be feeling the pinch. one thing helping them out, here goldstria, austrian prices. the dip in the u.s. gold price, 15-20%,good dip of making things a little more uncomfortable. dollar'sthe aussie fall does protect the aussie mi ners. bottom falling out of the gold market? it can't just be down to dollar strength. there must be more to it. mark: it is a tricky one. that's a lot of sentiment comes into gold. at this stage, it has mostly been negative. there has been a headwind in

the gold market. the expectation of interest rates going up. sometime later in the year. the market is positioning for that. still selling there. i think the bigger driver is the u.s. economic the back drop. looking at jobs data. interest rate adjustments. on the other side of the equation, some story around chinese gold holdings, a little lower than expected. that may have given gold a bit of a hit. rishaad: we talk about it in the break. they start to feel the pain at certain points, gold miners. the average is about $800 an ounce. are we going to get anywhere near that in your view?

mark: if you look at the cost curve in the gold markets, the average of $800, the 75th start losinghey money at around $1100. goldve found historically prices are well supported around these level. did below that, the short-term, you have the negative sentiment in the market. it could dip lower in the short-term. ofmay see a couple casualties which could affect the price. oreaad: we look at iron here. the big boys overproducing and. we just heard that from david ingles. what is going on?

mark: plenty of supplies, very low cost. definitely a market that looks abnormal. a steep cost curve. most commodities have a flatter cost curve. they are looking to flatten that curve and push out some of the high cost capacity. what we are seeing is a move to take a large part of the market and push out the unrealistic supply. more pain for the smaller players? mark: what the big guys are saying, the prices are too high. we should not have that high-capacity in the system. we can operate at lower levels. it makes economic sense for them. classic commodities cycle where we see responses coming in, when we have high prices like we did two years ago. is there anything you

are bullish on? is hardu are right, it to find the rare sunshine. i think the nickel market looks interesting, at the moment, very under pressure. prices wiped down by stocks. the interesting aspect is the stockpiles in china, which look like they are diminishing quite quickly. we are -- they are importing a lot of refined nickel. jumping years 200% after year. we are seeing the chinese run out of nickel. the other one might be palladium. tightening over the next 12 months. rishaad: have a good one, mark. joining us from the burn -- mel bourne. these are the stories making headlines around the

world. returns against the terms of a new bail out. they are demanding more austerity measures. by theek, members led former finance minister refused to support the reforms. the passage of the measures has upgrade greece to triple c. the first funerals have been held for the suicide bombing in southern turkey. 31 people died. no one has admitted to the bombing, but the authorities say the so-called islamic state is the obvious suspect. hundreds of cubans flocked to the reopened u.s. embassy in havana, hoping warmer ties will

make it easier to get tourist visa. the current system requires months of waiting and an outlay of $200. cuba and the u.s. reopened embassies monday. secretary of state kerry will return to havana next month for an official flag raising ceremony. hoping to score points online as it tries out a new social media strategy. after this. ♪

is looking to offset a sales slowdown, as more chinese to her list's head there tourists had to shop. watches surging 29%, getting snapped up by chinese tourists who find luxury timepieces cheaper in europe. china construction bank has been told to beef up money laundering controls.

it received an enforcement action by the fed and the new york department of financial services. short in risk management and compliance. the order calls for better oversight of account holders. a lot out there at the moment. case.always the having a look at at iran. we are talking about the in theirse stepping up defense of the iran deal. they have launched a twitter handle. issue specific twitter handle the administration has launched. the goal is, come at me. if you are a naysayer, tweet us and we will get the facts straight. it is a broader strategy in terms of modine the deal. -- promoting the deal.

shery: causing quite a deal but the republicans opposing it. ted cruz saying block it. this placessaying, viable controls on the nuclear program. buzz feed poking fun at the true yousaying, is it offered them donald trump if they walked away from the negotiating table? there is an opposition account. only 50 followers there. good one to look out. now a look at what is trending on social media. and shery.low me markets trending in the

asia-pacific. shanghai, japan. as we saw, declines of the dow of about 1%. shanghai lower, a fraction. moving to korea, taiwan, and singapore. a quick look of what they are up to. just over 1%. a guarantee. if china going back to basics. trying to deal with debt. back in two. ♪

rishaad: a look at our top stories. apple's miss on iphone sales ain't on shares. ighing on shares. on fears theg 9%, demand for the iphone has hit its peak. declining to really specific sales numbers for the watch. toshiba shares higher in tokyo the leader leaving

after an accounting scandal. hp shares on the way down in sydney. arise of 6%dicting over the next 12 months. remains say iron or profitable. let's have a look at what is tokyo closing out its warning, down over 1%. anchor: let me take you through a lot of these movers. let me start with one group. not necessarily japan or korea. a group of apple related companies. suppliers and rivals.

some companies are both. the biggest are in taiwan. declines. exposed as farst as reliance on apple. lg stock in korea, electronics. i believe we have that. up 6% last i checked. volumes are heavy. 20, a rival of apple but they make other things as well. neutral.ngraded to we are looking at a price target of 45,000 a share. 46, about 1000 north of that. let's move things along here in hong kong. earnings. a company that operates superstores and convenience

, down about 20%. 4.5% for the stock. and equipment maker, earnings as well. net, at the 43%. corresponding move up in the shares. sells everything from things that make you look pretty to more confident. things that make you smell better. story there. same store sales dropping 7% year on year. let's end things on a good note. you look at these three substantial gains. despite the overall weakness in the market, kobe up 8%. mitsui chemicals up 10%.

one making what you call writing instruments or pencils. toshiba continues to make headlines over the wrong reasons. this time it is the resignation of senior executives over the accounting scandal. a company that has been inflating its earnings. bloomberg news's reporter has been tracking this. unlike olympus, where is the whistleblower? : exactly. that is a question we have been asking. in a case like this, you would it was a systematic problem with management been top-down, they have to comply with this. youngerd think someone

would want to speak out, but there is a sense of fear, a culture where you have to comply and answer to top management. it is difficult to speak out against your bosses. we are asking the question, what is the problem in japan where people feel they cannot speak out against and raise awareness about what is going on. there isgo. because there is this act, we have had a lawyer tell us, there is a law in place protecting these people if they wanted to speak out. would bed and they safe. however, it is more of a cultural issue in japan. we had other law experts say, the law does not have any teeth in protecting these people. if used spoke out against your company, you might get dismissed or demoted. your pain may be cut.

and sue thethen go company and find lawyers. it is not practical. it is not going to help these people to speak out. there is a problem where a lot of people feel like they cannot go against their boss and leak this information. abe has the thing is, made a lot of noise about this but is he doing anything about japan's less than transparent corporate governance? anna: there are things written in to the corporate governance code. a section on whistleblowers and how companies should be protecting the employees that one to speak out. other measures they are trying to put in place such as having more independent of board members. thesef you have all rules, whether the culture is changing, that will take a long

time. and the government are trying to move forward. until we see the effect, where people have a culture of courage and not being scared for their bosses, it will take a lot longer. rishaad: thank you very much. anna joining us with the latest on toshiba. whistleblower, and what it says about corporate governance to other stories. israeli people have arrested four people over the hack attack on jpmorgan. it compromise the data of millions of people. links to tel aviv, west palm beach, and moscow. a remarkable story. came tuesday.rest two people in israel, two in

florida. not charged specifically with this, but fbi sources saying there is likely a connection. in the jpmorgan attack was used for a so-called pump and dump scheme. t contact details to salmon if you live information to the company. two men arrested tuesday in israel on charges of running that regulation scheme. an men arrested for running illegal bitcoin operation. the connection is identified and an fbi memo. stoled: saying they no not just from jpmorgan. e*trade not responding to our request for comment. jpmorgan saying they discovered note fraud against account

holders. the details are stunning. the attackers took -- they had three months of intrusion at the main data center for jpmorgan. that included 100 servers, 40 gigabytes of data stolen. jpmorgan spent to $50 million to protect data last year. rishaad: more on that story if you have the bloomberg app. use it on android, apple, or windows operating systems. let's have a a look at some of the other stories. yahoo!'s revival efforts not paying off. the sales forecast coming in below estimates. they may miss by as much as 7%. boost growthing to by investing and mobile and social media. revenues flat, $1 billion. ibm plunging nine months after

sales fell for the 13th straight quarter. beating estimates by about 2%, but revenue declining against all major business lines. salesountries were down, down 40% in china. they have been trying to refocus on data and what x and the cloud. there is a sense of the knees -- refocus on data and the cloud. but there's a sense of unease. billion write-down in the handset business. in the cloudgains operation. last week, the chief executive announced eight thousand job cuts, saying he wants to narrow the focus of microsoft's mobile business. he expects the new windows 10 to restore growth. i am thrilled we are

near the release of windows 10. our aspiration is to move people from needing to choosing to loving windows. i believe windows 10 will opportunity and return windows to growth. rishaad: china is going back to try and test its methods to deal with that. -- with debt. let's examine this in more detail. how is this going to help these companies at the end of the day? this is essentially a form of crediting enhancement. if a debt issuer could not pay the debt, they can go to to the bank that issued the letter. small and risky chinese

get investor not attention overseas. they need things behind them. what about overseas investors. does it work for them? it is working more for overseas investors. they are less comfortable with those credits because they could not get the collateral. that is why they need some sort of support from the chinese banks. letters of credit used to sell -- u.s. moneyed by market funds. by using the structure, the is gettingse credit into the u.s. money market funds which are supposed to be safe. rishaad: supposed to be safe. >> last year, we saw about six of them and this year 12.

it is getting risky. u.s. money market funds should be paying attention. unnoticeable impact since being identified a century ago. future holds for global warming. ♪

welcome back. these are the stories making headlines around the world. an iranian official was quoted as saying iran had not caved in on the deal. a parliamentary committee has 60 days to examine the deal. around the same amount of time as the u.s. congress. chinese state media has criticized mitsubishi's

u.s. powor using labor, saying it should be extended to chinese prisoners. chin s prime minister abbé will make a statement. he must face up to his country's dark past and apologies to china and korea. the world of formula one has his funeral to -- was held in his hometown of nice in the presence of other drivers and friends. he never recovered consciousness after the crash. his race number, 17, is being

retired as a mark of respect. has been about 120 years since we found out human activity could be warming the planet. since then, the site has become murkier.d the politics but the future does remain uncertain. reporter: the story starts in 1896 with this guy. he is the first person to figure out that putting co2 into the atmosphere could make the earth warmer. is an infallible balance -- people said there was an infallible balance that no human actions could disturb. until 1938, when a scientist look at temperatures and noticed, the earth is get ting warmer. war breaks out in 1939.

and in 1945. as the world economy recovers, industrial production goes into overdrive. the world actually gets slightly cooler over the next three decades because of pollution. look more closely at co2. they realize we could have a major problem. >> a few degrees rise would melt the polar ice caps. reporter: but we have more immediate threats like the nuclear holocaust. a the 1960's, there is continuation of the cooling trend. that all changes in the mid 70's when tim butcher's goal up again. the phrase global warming makes its first appearance in a 1975 paper. global warming starts to enter

mainstream awareness. we face a global environmental crisis. >> the global threat of climate change. reporter: yes, that is margaret thatcher. in international group of scientists issues the first statement there is a discernible influence on global climate. they predict 21st century warming will leave the 20th century in the dust. startpated effects happening like rising oceans and powerful storms. hottest years in history have occurred since 1998, and 2015 is on track to be the hottest ever recorded. so what does the future hold? if we curb co2 omissions, temperatures could rise as little as 2.5 degrees

fahrenheit. if not, temperatures could rise more than eight degrees which would mean massive food shortages, extinctions, and redrawing of coastlines. the story of global warming will end with a changed environment. that is inevitable at this point. how much remains to be seen. a look iegg lo -- global warring. a look at global warming. next, the risk of completes his he. we are talking about why investors should because it's about the low volatility of the indian rupee -- should be cautious about the low volatility of the indian rupee. gains after the negativity we did see in the u.s. overnight. ♪

it is a cut and it is unanimous. all 18 analysts suggest new theand's bank will lower cost of borrowing tomorrow. we get inflation has been propping the bank and governor to loosen policy again. new zealand, home to 4.5 million people and 6.5 cows. they are a cornerstone of the economy, reducing a quarter of export earnings. with the price of whole milk powder hitting a six year low, it is starting to hurt. the new zealand dollar has dropped. the largest dairy company, new zealand's -- is laying off

staff. the governor looks certain to act with analysts expecting him to trim off the rate. adding to that expectation is weak inflation data. while cutting the cash rate might stimulate the economy, it is also likely to further already hotckland's property market. moving to india where they are calling it -- we are talking the low volatility of the rupee. it is raising concerns of complacency. more, head to mumbai.

anchor: you can see the performance of the rupee. it has been resilient. mosts been the second resilient currency against the dollar. the prospect of a next it from unconventional monetary policy is giving it a bit of a lake of every of. the rupee is resuming its rally. swing, as the r.b.i. and its governor building a war chest of foreign exchange reserves. the dollar has rallied about 3% against the euro while the rupee has slipped about 0.5%. some of this can be treated to $32 billion in foreign portfolio flows.

eat means the rupee may not as immune to further dollar swings as it has been in the past. remember, we are counting down to an announcement from the governor in august. we will be seeing how much global factors influence the rate cut decision. rishaad: thank you very much. joining us from mumbai with the latest on the lack of volatility there for the indian rupee. that is it for this midweek edition of "trending business." we are going to recap the big stories of the day. take a look at what is happening on the markets, their take. will be joining us, the asian pacific managing director. looking at the fallout from the chinese equity rout we saw.

willng at whether greece return to headlines as well and how this is being viewed by the investment community. simon cox, coming up on "asia edge." ♪ >> tonight and exclusive behind

the scenes. out why some are outraged. mark: on tonight's show, trumps a dream, a senate team, and we are here from columbus, ohio where junkies it became the 16th republican for the presidency. here's what it sounded like on the are.