rishaad: it is monday, the seventh of september. this is trending business. here is a look at what we are watching. china returns to the market, the regional benchmarks with almost 5% last week capping a seventh weekly decline. -- the pbocrs agree governor says the recent turmoil

will be over and we shall soon find out at the bottom of the hour. to sheba struggles. 2014 numbers are finally out showing a $320 million loss. it is a toward story -- torrid story. shanghai shenzhen is back online at the bottom of the hour. hong kong also entering the fray. singapore just started it session this week. >> good morning. it is all about china today. mainland markets coming back after a two-day holiday. i had of that, we are seeing or downward pressure on stocks across the region. asian stocks now heading to its lowest lows since 2012. after they sell for a seventh consecutive week. they are following u.s. that's lowered. point, investors will

be reacting to today the august jobs numbers. seeing dowwe are gaining at there moment. japaneseeing in asia, stocks are calling for the second consecutive day. vortex of 1%, the lowest since february. now even with the japanese yen weakening slightly after two weeks of gains. we are also seeing declines in the afx to hundred. they are being led by energy stocks. the aussie dollar is gaining slightly after a month of losses. u.s. currently under 70 cents. it is moving in lockstep with china's tumbling market underlying australia's dependence on the chinese market. weekend, china work to soothe concerns over its economy

at the g-20 meeting in turkey. they are predicting the market -- that they would start stabilizing. we will find out in about half an hour. i will have the opening numbers for you them. -- china saying the turmoil is over and investors can relax. they are returning to trade after last week's to daybreak. the mainland markets are high on the agenda of the g-20. looking at the group's concern over the global economy. >> the g-20 issuing a communicate pledging to support globally but they note weak spots and the big attention this weekend in turkey was on china, of course. the chinese out to reassure their partners in the g-20 that the economy and the markets there are stabilizing after very violent swings that have shaken global markets over the last month. managerhe china pboc speaking saying that we stopped a free fault reporting --

referring to the measures that marketed to arrest the drop. we had the deputy governor of the pboc saying that our economic fundamentals are fine. not go over- it did so well with other finance ministers, including japan. the other finance ministers may have been reassured by japan was not. wasaid china's explanation not detailed enough and he expects more from revealing some of the internal tension at the g-20 but overall a reassuring tone from china. the leaders seemed to accept it. a did not single out one nation but they did talk about interest-rate, waiting for monetary policy to develop and evolve in the developing world. that was a clear reference to the united states and the possible rate hike as early as next week. this meeting was a precedent feel on the federal reserve.

the fmo see meeting in washington next week where they may in fact decide to hike the benchmark interest rate. we will watch that very closely. they do know that growth in the emerging world and other economies is not moving at the peace that it should because reforms have installed. into that category, india, and parts of southeast asia as well. those are ones to watch and a joint pledge from the g-20 to avoid competitive devaluation. a currency were if you will. they say monetary policy -- not necessarily the cure all for organic growth. a detailed look at that story threat the course of the program. the accounting scandal that has plagued to sheba led to the resignation of several of its executives now has a price tag and it is more than $300 million.

>> $318 million to be exact. toshiba's four-year net loss taking into account those write-downs in the accounting scandal which has rocked investor confidence and led to that management shakeup. the net loss of 37.8 ilya and yen or $318 million compares with a net income of ¥60.8 or $427 million profit last year. toshiba also has this morning issued revised earnings. to really try to rectify years of accounting irregularities and also higher taxa exposure has really expanded its losses. adjustments to the company's earnings wiped out net income from all of toshiba's businesses including nuclear reactors, computer memory chips and laptop computers. since the accounting scandal broke, the company has revamped its poor, apologized to investors and appointed a special committee to try to win back trust and prevent further

irregularities. now rising after the news. they are up about 2%. analysts hoping this is the end and no more nasty surprises coming through from toshiba. months later than originally scheduled. after toshiba scrapped its work estimate and also widened these investigations into accounting irregularities $4.9 billion has been wiped from toshiba's market cap since may 8. you can see that fall there. the upside is that the default risk traders betting the storm is close to blowing over. just reiterating come a $318 loss.n four year net no dividend has been announced and no earnings forecast. toshiba will have a general meeting on september 30 as it tries to work hard to gain investor confidence. we may get some more details on what that forecast is

for the coming year. let's look at some other stories. here is an with a roundup. to the head of the world largest hedge fund firm, man group and the head of the group china unicom denied reports that she has been assisting a police investigation into the recent volatility in chinese market area the chairwoman was said to have been detained on august 31 to help with an official inquiry. she denies that in a phone interview on sunday think that she was back from a series of meetings and a short vacation. been knows adjustments that she is facing charges or did anything wrong. man group has declined to comment about the incident. on august 31, a person familiar with the matter said she was custody to help with an investigation. this of course is after the erased five route

jillion dollars off of the mainland. keeping a watch there on man group's china unit. we are also looking at standard chartered and sources tell us standard chartered may ask a quarter of its senior banking positions. many as 250 cut as of about 1000 managing directors according to people with knowledge of the matter. the ceo is trying to reverse a two-year profit slide which focuses on emerging markets and makes most of its revenue here in asia. he has been seeking to restore investor confidence after replacing peter stance in june. let's take a look at singapore's teaming up with saudi arabia's civil led group. the deal for a merit, could be valued at as much as $5 billion. it is the franchise manager of

kfc and pizza hut in the middle east and north africa. a deal is expected to be reached before the end of the year. we will keep you up-to-date on any details as they emerge. please check us out on the world wide web as well. his oil pulling out? of the ec? expectations. we will meet the up-and-coming sportswear maker, up and -- under armour and their plant in china. trending business returns in a couple of minutes. ♪

checking on the market. the g-20 meeting over the weekend. michael kelly, welcome.

we have the pboc governor talking about everything being ok. michael: everything is fine. they are in quite a pickle aren't they. they shut down their local growth financing vehicle back in october with a lag in infrastructure slow down much more than they thought. they have turned those back on and with the lack, things will pick up the indian rum, -- in the interim, they have currency fleeing the country. rishaad: they immediately shut down outbound investment. michael: at their current pace, they will burn through 50% of their reserves by year-end. at this point, their unemployment situation is beginning to take up. their reserves are coming down while the plenum in october will stall these decisions, the lesser of two evils is really to allow more debt growth again, to get the

infrastructure programs running. by year-end, we would imagine, a firmer tone. rishaad: what about market wise? a long weekend for the military parade. 17% of the stocks have not traded since july 3. the average stock has traded down 14% since then. mathematically, if they were trading in line with those, the index would be about 3000 right now but we know last week, the market was down 3%. the state was buying into the .lose you i think they will slowly back away from that. there is more weakness but the big issue is how do they revive the economy. there is still another month or two of weakness. rishaad: you have something called the risk dial school. tell us about that and what

those countries are and where they are scoring. michael: this is our measure of whether we should be dialing up risk assets a little bit or vice a versa. it to buy a using little bit of things like indian equities, u.s. high-yield is something we sold out of last year. it has corrected. on the margins, some asset classes have become very attractive during this growth scare. into those.ing again, it doesn't mean things are over today. rishaad: it is surprising how bullish you are. five is totally bearish. 2.4 to 1.8.e from michael: we believe that china, while it has temporarily slowed down the larger economies including u.s. and europe, it will not put them into a tailspin. the. is even a

little higher than it is now, it will be accompanied by monetary conditions that given fed tightening, are still looser 18 months from now because of the pboc, the vod -- the boj. this has been a wonderful formula for the market, slow growth and massive on a carry accommodation. this is short-term. what will happen this week? michael: we will open week. we are in a fierce -- a fear cycle. the direction is lowered. onare using that to nibble things that we think are going to be substantially higher the year from now. the short-term is not what we really specialize in. we are intermediate term investors. rishaad: you still need to know what is going to happen with

monthly policy in the u.s. michael: we have been asked the question of few times. to data we looked points for some sort of clarity and of course, nothing provides total clarity such as the jobs report. good on one level in terms of the rate, but missing when it came to the creation of jobs. michael: that is right. and that is only one of the two criteria and it is the one we talk about the most because it was the most absent a year ago. that box is checked but the other criteria is that which is pricing power. this china slowdown has caused another wave of inflationary tendencies. rishaad: wage growth. michael: it crept up to 2.2 but that is not where chairman yellen wishes to see it. we have been while more in the september camp, they are also going to focus on market turmoil and they will not tighten during a. of it -- during a period of

market turmoil. it will be delayed a little while. if you're going to move, why not now. michael: they will move in december. iny tried to delay moving december because of a statistical quirk in the u.s. economy that thing slowdown in the first quarter. they do not want to be blamed for that. but if they tighten for the first time, even if it is a tiny tightening in the midst of global turmoil, i think that is the larger of two evils. rishaad: michael, thank you so much. let's have a look at some of the stories making headlines around the world. one of the suspects in last month deadly bangkok bombing is in court. the man was arrested last week and police say they found bomb making materials in his apartment.

mance are hunting another who shared that apartment bringing the total number of suspects to 10. 20 people were killed in the attack on the shrine and more than 120 wounded. north and south korea due to hold talks today on resuming the reunion of families separated by the war in the 1950's the meeting of red cross officials from both countries follows an agreement by the leaders to try to improve relations pursuing civilian exchanges. the families were separated by the bite in the governments have occasionally permitted prefer unions at the border. the international space station is preparing for a leadership handover this week. the current commander will be returning to earth on saturday leaving scott kelly in charge. russianlly and a astronaut are spending a full year on the station. campaign foothold.

why one social media program has created something of a backs/-- a backlash. ♪

rishaad: you are back with trending business. having a look at what is trending on social media. we will do that with juliet. >> we are looking to australia

has been #: is amazing trending but it may not be what you would think. used with a heavy dose of sarcasm after a major advertising campaign by us trillions mining industry. it basically speculates. a campaign called -- little blackrock was launched. you can see it on your screen. it has a voiceover explaining the m as possibilities of the commodities saying the coal industry provides $40 billion to australia's economy. it as -- isn't it amazing what this little blackrock can do. we have also heard from some of the lobby groups. the chief executive of the conservation foundation saying cold is a dangerous little rock and the mining counsel is back in the -- in the 18th century. let's take a look at some of these tweets. you can see this one from jackson saying --: is amazing at

blackening lungs. userve also heard from a called cold citizen, cold is amazing and overrated. user saying it is amazing because it raises the temperature and destroys your lungs. all of this from one blackrock. see that thisnly is not what the mineral council of australia was hoping for what it has been labeled as a spectacular publicity fail. japan's benchmark index going to get two new members dna seiko willcho -- has join. to make sure it has the right balance of industries. dna has been riding high.

they bet the stock will jump almost 50% over the next 12 months. seiko's addition is showing how shinzo abe's efforts are proving to be true. the traditional employment model breaks down. it is up and around 4000% and commercialhis tv features a superstar girl band, nonregular employees make up one third of the japanese workforce while rising many prophets has seen demand be the highest in 23 years. a declining market. i can to you now with the dip corporation down just under 2%. robotics engineer in the u.s. military. artificial intelligence. it will also establish joint

research center at stanford and m.i.t.. they are exploiting improvement in road safety. vehicles to invest in that can navigate themselves and interact with other road users. looking at the movies. the faith-based movie taking the top spot over the labor day weekend beating robert redford's return -- a walk in the woods raking in over $9 million. the labor day weekend ending the summer season. coming up next, china says moveon, the worst is over and predicts call after the turmoil. we will see of that message is justified. ♪

look at our top stories is our great asian stocks heading to their lowest close in almost three years as china returns to the market. the regional benchmarks. traders are betting that shanghai stocks will fall. man group's china division denies their leader has been participating in a police investigation. she was at what been detained on

august the 31st as part of an official inquiry. she denied that during an interview saying she has returned from a series of meetings and a short vacation. toshiba issuing corporate apologies. $318 million. toshiba is finally releasing results. it includes net loss. in an accounting scandal that has shaken investors confidence and seen the fall of senior management. we discussed the free market in shanghai, the free market in hong kong down three quarters of 1%. >> there is a lot of anxiety onlyall of asia as -- not because mainland markets are coming back right now but also reaction to the u.s. job numbers giving little confidence to the investors. let's see how the shanghai composite is opening today. unchanged at the moment. positive territory after falling

all of last week. china today will deliver an update on its foreign currency reserves and investors. we will get semi deal on how much has been spent by regulators to shore up local market as well as the yuan. we have the hang seng index trading. it was trading on friday. down half a percent. a shares fell to two-year lows on friday. keep an eye on that. -- in hong kong, keep -- they roseopers nine cents of 1% from a week earlier. japanese stocks are currently turning back into positive territory. they were in negative for all of this morning. it was at the lowest since february. it is up 2/10 of 1%. we are seeing japanese yen

weakening slightly today after gains of last week. declines in australia still continue. 7/10 of a percent down. they are being led by energy stocks. the aussie dollar gaining after a month of losses. the aussie dollar is actually moving in lockstep with china's market. we can see how much australia depends on exports to china which make up about 30% of its exports. let's look at the cost. it was falling but what is interesting about the cost be koespi. looking at the shanghai composite, we are looking at emerging banks. some stocks which are being sanctioned by the regulator there for a legal business. the message coming out

of china that the worst of the market turmoil is over. saying thaternor state intervention has worked in preventing a freefall. are they right to be so positive? >> actions speak louder than words. economic fundamentals stand but they are also cutting interest rates lows, they are still intervening in the stock market. rishaad: they said they are not going to do that anymore. >> we will have to see. rishaad: which numbers are there? is is market relying on fundamentals in the first place? >> trade numbers will be key.

the manufacturing sector is also week. industrial output is a another -- is another key data. it is coming from a lower base than last year. i don't think that these numbers will show chinese economy turning rapture rishaad: historical comparisons. a lot of people have been comparing where it china is with japan in the 1980's. we're now talking about the 1960's being a closer comparative point. >> people love comparing china and japan. looked in the 1960's. japan's economy went on a tear during the tokyo olympic games in 1964. a lot of construction. the stock market eventually crest. the government had to intervene with the support of the bank of japan. it worked. differences between japan then and china now. given china's low stage of

development. thank you for that look at the chinese economy. strength --r strengthening today but still below $.70. it has followed the shanghai composite index almost step-by-step in a downward path. quite a correlation especially in the last six months. if you are a fan of mathematics, the correlation is .9. a direct correlation meaning lockstep would be a figure of one. if we take a look at the graph, you can see the shanghai composite is down 40% over the past three months. in the same. , the australian dollar is up 10%. they have been moving in a similar way. as sheer he mentioned, it does illustrate just how closely

australia is tied to china with 35% of australian exports going there. it all makes for a very shocking headline. you see things like aussie dollar feeling pain but you must remember that the reserve bank of australia has wanted exactly this for so long. i have been talking about getting the dollar down appearing in every statement. finally, it seems to be happening. the australian treasurer is welcoming this as well. >> a lot of our exporters have struggled when the australian dollar had parity. we can cope with the currency as it continues to fall because it is going to empower our exporters and in the main, australia is always a beneficiary of better export profits. rishaad: -- >> he is probably thinking particularly of tourism and education as well as manufacturing. anyou take away mining it is

important part of the australian economy. rishaad: what are people telling you about the aussie dollar and how much room it has to fall further? traders ising from around 60% chance that the aussie dollar has further to go. $.65 seems to be the number that comes up often. when you think back to that correlation, it has not always been the case. the further back in time you look, the more that correlation breaks down. there is no reason to expect that it will not break down in the future but it does seem that the aussie is heading towards his lowest level since 2009. plenty of people have predicted this in the past. stanley013, druckenmiller said the australian dollar would fall and fall hard. that time andy at now it is lost 30% of its value so he seems to have been proven right. there is no reason to think it does not have a little further

to go. indonesia's central onk says it will focus inflation before deciding on interest-rate movement. governor says the current benchmark rate of seven point seven 5% was consistent with achieving his inflation targets. decided willat we implement inflation. >> you're saying if you had to make the call now, but you don't, the call would be not to raise rates. >> every month we will see. >> new data. >> we will see each month. >> given what you know now, it

is too early. we will be looking at the data. make thee, we always consistent and prudent policy to make sure that stability of the country will be intact. >> is the central bank independent? >> yes. -- in the policies >> are you resisting pressure from the government? coordinated inly our discussions. views are being heard and being provisionally discussed with respecting other issues. >> what exactly do you need to see before you are prepared to

cut rates? alwayspolicy framework -- this year sure and next year. [indiscernible] next year, we will be within target. sure that the balance of the rates will always continue to go that way. that was the indonesian deputy governor. let's take a quick look at this breaking news coming in. the authorities and beijing have revised down last year's growth. you remember that they set a target of 7.5%. it came in at 7.4%. they cut that growth and revised it lower to 7.3%.

2014 gdp economy in china grew by 7.3%. a quick look at what is going on in terms of the shanghai composite. let's take a look at what is going on. we were moving to the upside and we are still 1.5% up. 3209 with the index there in shanghai. let's check in now with some of the other stories. it seems it is not easy maintaining a place in the sun. it was the world biggest panel maker. they are undergoing serious questions about whether they can survive due to its debt. there was a similar story with another chinese solar panel maker. it has since gone bankrupt. has not beener damaged. they expect sales to grow by more than 30% in the second half of the year. they see the rising demand for pure juice as chinese people

choose healthy living. to buy it inled 2009 posted a net loss of more than $15 million in the first half of this year. it was due to the cost of adding some 500 new stores. up next, change in china. beijing insisting it is managing the ship and its economy, others say the shift in policy is needed to stave off the damaging crisis. on that, trending business will return. ♪

rishaad: breaking news. recapping. china has revised its gdp growth for last year. they said the economy grew by 7.4%. 7.3revised it down to percent. originally, they had a target of 7.5%.

that was a reversal they're taking place. a revision, i should say. 7.3% from 7.4%. targeting 7.5% originally. is it making it easier for this year as a result because of the comparative. >> it makes it easier. in the studio and we have not looked into the details. there is actually a very good reason that china would have revised. they are waiting for the third national economic census which tells you something about the structure of the economy. there ishe reason that some legitimacy behind it. otherwise, it will make 7% easier. rishaad: what are you looking at? yourre revising down projected growth for this year and next year. you are thinking 6.5%? >> what we have seen lately and what is important is that we are seeing the onshore financial

system start to stall. total -- very and it anecdotal presence. it does not have to do with big numbers and lending. i hear a lot of difficulties for small and medium sized enterprises and private enterprises. it has made us think that the local government debt for bond swap is coming up the entire financial system. the big mystery in china this year is that we have had this fiscal spending role that which we expected. it has had such little impact. rishaad: why do you think that is the case? >> because of the financial p.stem coming up -- gumming u as taking away money from everyone else. right now, total social financing is down about 2 trillion. the amount of bond for debt swap

they have done so far is about 2 trillion renminbi. i don't think that is a coincidence. x regimehow does the f changes play into that? >> the main reason they did that is because the imf said in order fcr, we need ahe fixed. they went along with that. what was surprising was the re-centering which has launched as speculative attack against the currency which is maybe the first time we have seen one of these since the 1930's with the silver crisis. they are having difficulties dealing with that. rishaad: trade numbers tomorrow. what will they tell us? >> still disappointing. as you know, global trade volumes are down. in the first half of this year. there is a shift in the supply chain. china's place in the global supply chain is changing and that is affecting all of asia

and elevation growth. rishaad: it is great having you on the program. >> the stories making headlines around the world europe the struggling with the growing humanitarian crisis as the waves of refugees arriving at their borders showed no signs of letting up. on sunday, germany and other countries took emergency measures getting safe passage to many refugees who had been stranded for days in hungary. peter sutherland says more needs to be done. rescue teams have found the bodies of more victims from last week's boat sinking off the coast of malaysia. 20 people survived the accident and are expected of being undocumented migrants from indonesia. wasr 12 meter wooden boat thought to have been people when it sank on thursday.

thailand hopes of returning to democracy have been further delayed after a military backed panel projected a new draft constitution. the document was criticized by all sides. it removes power from voters while the opposition democrat said it would deepen thailand's divide and spur violence. , a sportswearg up company with lofty ambitions targeting china. ♪

coming to you live from hong kong, streaming live on bloomberg.com. sportswear industry has many big players and under armour is determined to prove it deserves

to have easy at the top table. since 2011, revenues have more than doubled. international growth. non-us revenues have triple. under armour has teamed up with some big names including andy murray, tom brady, and stephen curry. stephen curry says basketballs surging popularity in asia say it is only a matter of time owns an nba team. stephen engle caught up with him and talked to the ceo kevin. in china foreen more than 15 years making things here. we opened up our first tour in 2010. today, we have more than 75 stores here in china. we will be adding in september roughly a store a day. china is a massive explosive opportunity for us. we recognize, going about it the way every other brand has done is not the right thing.

one thing we know, this market is incredibly hungry for the under armour brand. isnging stephan curry here -- tonight was a good idea. >> how did the competitors get it wrong? >> they did a lot of things wrong. we are more focused on what we are doing right. you're hopefully seeing that from under armour. the pace of our growth and the acceleration. we have posted 21 consecutive quarters of revenue growth. our goal is to be a global brand with 90% of our business coming from north america today. we have a lot of room for that growth. our international growth, china will lead the way, second to japan. china is not far behind and growing incredibly fast. >> any concern about the slowing pace of growth and discretionary

spending is down. >> i spent a lot of time in 2007 corning the phrase -- -- coining the phrase -- no negative talk. >> do you see an impact on depreciating currencies? >> that is the story of the first half of 2015. one thing you notice about us is that we do not lead with fx adjusted. we say that we grew in the last quarter. no loser talk. >> you lucked out also with mr. curry winning m.v.p. and the championship from signing him away from nike a couple of years ago. you would not say it is luck. >> we have had four lucky

athletes. , andrady, misty copeland jordan spieth winning two majors this year and now stephen curry. luck be gets us and we are very aware that you cannot count on it or bank on it happens we better double down and that heavy. that is what you are seeing us do right now. you can get more on that story and all of our top stories. just download the bloomberg app and put it on your mobile device. let's have a look at hong kong and shanghai. seng is unchanged. the shanghai composite is up thus far. it is already swung between gains and losses so far. it has a gain of 1% so far in

that index. let's look at japan and south korea. modest gains their at the moment. you what we have coming up. recent currency swings. what do they do for those people that want to export? ♪

rishaad: it is monday the seventh of september. this is trending business. we are watching chinese docs jumping. but asian widern the benchmark is heading towards its lowest closing in nearly three years. crisis center, beijing telling us it has stabilized the markets and that turmoil is all but over. there is a -- there is no

systemic risk. a burning issue. the australian mining industry pens and owed to coal. a desperate attempt to fight off green energy. let us know what you think about our top stories. #as well.et that we have seen already volatility has started as far as shanghai goes very looking at the hang seng. moving into positive terrain. >> a rather positive day for investors as the shanghai composite and the hang seng both arrived with mainland markets. shanghai coming back on my. thanomposite rising more 1% reversing those losses we saw all of last week. we also heard from chinese authorities saying they have revised their 2014 gdb growth to 7.3%. .rom 7.4%

giving speculation that authorities will do more to ease the economy. we also have some indicators of how much china has spent to shore up local markets and the yuan. china is giving an update on its foreign currency reserve. the hang seng is rising on the 3/10 of 1%. a shares also rising after falling to its two-year low on friday. the is interesting now is nikkei has reversed earlier losses. -- koespi it suggests the index will see further declines. declines in australia has been led by fuel losses. u.s. trading under seven cents. nikkei rising by half a percent. i also want to take you through

some of those chinese text that we are watching closely. the automaker is rising today after it announced that it will be asked for 10,000 of their vehicles. we also have the stock taking a hit today. the macau vip market may never is whatme back -- that some operators are sink or hong kong property prices have been soaring but jp morgan think we may see a correction next year. the developer there is down 1.9%. the shanghai investors are taking to heart the message coming from their central bank. high on the agenda that g-20 meeting which of course is in the turkish capital, ankara. a look at china in the global economy. china factored prominently in the meeting. its partners in the g-20 wanted to know exactly what is happening with the chinese economy and the market there which had been so volatile.

first, we have some new information on china's economic growth that appears to slow down the -- that started last year and even earlier. it was worse than expected. china's statistics office revising its 2014 gdp growth number. to 7.3%. .own from 7.4% you can see these problems were a long time coming. the economic slowdown. some may not call it a problem necessarily, they may say it is a natural progression of the economy that whatever you want andall it chinese bankers officials were out in a full-court press at the g-20 this weekend trying to defend their response to the market turmoil. the pboc governor saying we stop a freefall in the market. the government mechanisms work. his deputy there said the economic fundamentals are fine. they saw it to reassure the g-20 members at this meeting that all is not terribly falling apart. because the markets they believe

will stabilize and the economy will stabilize. it was not enough for some finance ministers. japan's finance minister hitting out at china saying a were not detailed enough. he wanted more information from the chinese on exactly where that economies dance. what happens there has such a significant impact on its trading partners, japan among them. we sell the g-20 calling on advanced economies, a reference to the united states to do their part to raise interest rates. it cannot be used in place of real organic growth and that is an ongoing debate given quantitative easing. it is president today given the fact that next week the fmo see meets in washington and may in fact raise the benchmark interest rate. so.first chance to do we will watch that closely. an important meeting. not to participate

in competitive devaluation of currencies. a currency war. they also agreed to bolster growth as much as possible. rishaad: we will have a detailed story -- we will have a detailed look at that story later in the program. shares on the way up theate and coming after year that the company would rather forget. we are talking about accounting irregularities, corporate apologies, and senior heads on the block. juliet have the grim details. finally, a price tag to that accounting scandal and everything else you mentioned. toshiba posting a four year net loss. $318 million per higher tax related and write-downs to the accounting scandal which has rocked investor confidence and led to that management shakeup. are compared to the revised net income of 60.2

million yen. toshiba has also today restated earnings for the previous six years to rectify years of accounting irregularities. adjustments to the company's earnings wiped out their income from tissue as's businesses which expand nuclear reactors, computer chips and laptop computers. since the accounting scandal first broke, the company has revamped its board and has apologized to investors. it is also appointed a special committee to prevent further irregularities. perhaps that is helping because as you mentioned toshibas stocks are rising up 3.5%. for no more nasty surprises. the results have been posted months later than originally scheduled. toshibas scrapping its forecast in may. $4.9 billion have been wiped from the market cap since may.

that trajectory down coming in the last few months. they say this-- is close to blowing over. $318 million for your net loss to two table. no dividends for the current year. they will hold an extraordinary general meeting on september 30 as it works to regain investor confidence. rishaad: let's have a look at some of the other stories. the head of hedge fund man group china unicom denied reports that she has been assisting a police investigation into the recent volatility of chinese markets. the chairwoman was said to have been detained on august 31 to help with an official inquiry. she denies that in a phone interview on sunday saying she was back from his aeries of meetings and a short vacation. there has been no suggestion

that she is facing charges or did anything wrong and man group has declined to comment. taking -- taken into custody to help with an official investigation. man group is the world largest publicly traded hedge fund. she has led the chinese unit since november 2011. landlords in hong kong beware. jp morgan is predicting a slump in home prices next year. jp morgan says residential prices may start to fall by as much as 10% annually. that is the economic slowdown starts weighing on prices. sales of retail property will also fall because of rising unemployment and luxury brand closing stores as we've seen

already in hong kong. hong kong posted its weakest home sales in 17 months. hong kong's private-sector economy suffered its sharpest contraction since 2009 in august sending a warning sign to the economic health of asia's financial capitals. chartered may ask a quarter of its senior banking positions. the british lender plans to cut 250 of 1000 managing directors. is trying to reverse a two-year profit slide at the lender as it focuses on emerging markets. windows has been seeking to restore -- winters has been seeking to regain investor confidence. rishaad: why shares of one

japanese companies surged nearly 5000% over the last three years. we will show you which one that is. later, why the aussie dollar seems to be keeping step with shanghai's markets like. we have the details after this short break. we will hear from the world biggest maker of home appliances. ♪

take a look at some of the stories making headlines. tidelands hopes of returning to democracy being further delayed after a military panel rejected a new draft constitution. the document was criticized by all sides. removedies says it

power from voters while the opposition democrats said it would deep in thailand divide and spur violence. the decision means a new constitution must be written with elections pushed back until at least 2017. the great prime minister has drawn supporters to the upcoming general election between this reads the government in the dark. of previous administrations. his neck to neck with the new democracy party in greece. is the best way to deal with the bailout deal. the international space station is preparing for a leadership handover this week. the current commander will return to earth on saturday leaving nasa's scott kelly in charge. and the russian astronaut are spending a full year studying the effects of weightlessness in preparation for a future trip to mars.

the sportswear industry has many big players and under armour is determined to prove that it deserves a seat at the top table. in 2011, revenues have double. non-us revenue has tripled. unlike its rivals, it has teamed up with some of the big names including andy murray, tom brady, and the mbas stephen curry. basketball surging popularity in asia means it is only a matter of time before china earns an nba team. he is in beijing to launch a new shoe for under armour. we spoke to the ceo kevin black. >> we have been traveling in china for more than 15 years making things here. we opened our first tour in 2010. today, we have more than 75 stores here in china. we will be adding in september roughly a store a day will be opening. china is a massive list of opportunity for us. going about it the way every

other brand has in the past is not the right thing. e-commerce plays a different role. we choose to take a different tact. we know that this market is incredibly hungry for our brands. is aing stephan curry here pretty big deal. >> how did the competitors get it wrong? >> they got a lot of things wrong. we are more focused on what we are doing right. you are seeing the pace of our growth and the acceleration. we have posted 21 consecutive quarters with revenue growth. our goal is to be a global brand. 90% of the business comes from north america today. we have a lot of room for growth. we have a relatively small base for international growth but china will lead the way second to japan today. those are our largest markets. >> are you concerned at all

about the slowing pace of growth in this country and discretionary spending is down. >> i spend a lot of time. in 2011, we coined a phrase -- no loser talk. the opportunity for under armour has no -- as the economy shrinks, we build new markets. we will continue to see us do that. >> do you see an impact on emerging markets with depreciating currencies? >> one thing you notice about us , we say that we grew every quarter. >> you lucked out with mr. curry winning the m.v.p. and the championship, signing him away

from nike a couple of years ago. had four lucky athletes. tom brady winning the super bowl. misty copeland. she is the prima ballerina at the american ballet theater. jordan spieth. stephan curry. we are very aware that you cannot count on the but when it happens, we better double down and that heavy. that is what you are seeing us do right now. recent currency swings making some goods more costly. we will hear from the world's biggest maker of home appliances. ♪

rishaad: we are back. this is trending business. higher now but it is possibly the most under the radar home appliance provider. global sales more than $30 billion. he runs their asian hiring operations from singapore. thank you for joining us. it is a huge company. it is a good barometer of what is happening in this part of the world.

what is happening? as any global company, we have been aggressive among the companies, the asian porsche that -- portion that iran is probably the most aggressive one. generally athere slowdown currently? yes and no. yuan hasuation of the affected us negatively and positively. positively, with the import being cheaper for us, that will definitely help us. -- e we are inhaad: you have factories that part of the world, vietnam and indonesia.

devaluationen a big in those currencies. that must be helping things. the factories in china, we have three factories one in indonesia one in thailand and when it vietnam. what i do is with the currency fluctuation, i do deal with the risks by working with all four factories. rishaad: a natural hedge at the end of the day. >> exactly. this, whereking at are the bright spots? where you seeing growth currently? you said it was a mixed bag. where is it not doing well? area, we the growth see indonesia, despite the fact

that its currency is fluctuating. i think indonesia has huge potential. for myself, i see the philippines as another growth area. obviously, with a huge population and young population that is definitely the territory i need to focus on. as for the negative side, people talk about the japan -- japanese economy being down for so long think it is way we handle the business there. branding, positioning, and market tactics that we take. we still have an opportunity there. rishaad: with japan, are you seeing any signs of economics working? do you have any pricing power? in the japanese market, with the yen being so weak, and i am importing most of our products

from china, the cost has gone up. what i'm trying to make a difference is because production tots are higher now, we have -- i think that forces us to be more innovative. you are in singapore at the moment to sign a deal of biggesthip with the mixed martial arts company in asia. tell us about that. it seems like a curious mix to have mixed martial arts and an appliance maker. mma is definitely the most popular on the continent. asia.l be very popular in one championship is the one that

i wanted to focus on because we share the same vision. i'm -- i run the asian part of this company, and this company is also asian based. we share the same vision. to answer your question about why we would want that company. to the strategy i want to take. i want to bring up the image to the next level and i believe that this will help me a lot. rishaad: thank you a lot for that. the asia boss for hire. let's look at some of the other stories break japan's benchmark index hitting two new members this month. dnasocial website operator, and the property builder has seiko. they will join the nikkei at the

end of september as part of the annual review to make sure it has a right balance of industry dna has been riding high. analysts are betting their stock will jump almost 50% over the next 12 months. ko showing that primeminister's -- minister shinzo abe's efforts to boost the property market have been successful. up, what has been the most important thing to consider when you are planning your interest rate strategy? we will hear from the bank of indonesia on that. a full market check coming up your way when trending business returns. ♪ . .

our top stories -- chinese shares rising after last week's today break. initially enthusiasm, well, it has at the way. calm would return to the equity markets. the regional benchmark, heading for its lowest close in three years. toshiba soaring in tokyo after finally releasing its earnings report from last year. it revealed a three and $18

million loss. -- $318 million loss. it also released a earnings from the previous six years. it tried to recover from a scandal that saw the removal of its president and his two predecessors. denied reports that she is assisting a chinese investigation into the mainland mark gets -- markets. li yifei was detained as part of , but she has denied that. she says that she returned from a short vacation. turning around a bit, the market in shanghai up, but only very, very marginally. bity: yes, just a little hard to find a direction in markets, the index is swinging

between gains and losses after decline.ks of again, a death cross, suggesting the index will see further downsides. we are also seeing declines in australia, leading energy stocks down 6/10 of a percent. composite,nghai marginally higher. looming itsis earlier gains. a chinese regulator said that causerket route may systemic risk. while that is failing to boost shares, analysts are saying that is what prompted shares to move in early trading. still losing momentum. what is interesting, eight shares in the hung saying are gaining, even with -- in the hang seng are gaining, even with

the hang seng down. leadingghai composite financials down. let's look at the nikkei, because the nikkei has reversed earlier gains, reversed up for tenths of a percent. it declined in previous months. it has been pooling the most a decade. japan in some people saying that that is profit-taking given the huge boost in the japanese stock market. look at the big movers in japan. toshiba up despite earlier losses in the morning. the fiscalss for year, $290 million. of course we have that accounting scandal there. toyota. after nikkei said it it in its average.

back to you. worst of the market slide is over. saying that it has prevented a freefall as well. joining me -- you know, you can talk things up -- was that an attempt to be really, really bullish? guest: they are talking stock stabilizing, it fundamental stabilizing, but even this morning, they were revising lower last year's gdp in china. sector, butn by the it was a reminder that not all things in china are as good as the weekend would have us believe. rishaad: but reducing that or revising that growth downward. it benefits one, does it not, to be the senate? enda: and maybe it will make it easier to make those targets.

stillople know there are manufacturers struggling. still over capacity in real estate. no matter what they say, no one is calling it a turnaround yet. rishaad: you talked about exports. we have economic data this week, trade data one of those. will it help back up this newfound confidence? enda: exactly. i do not think we are expecting positive trades out of this week. the markets are still weak for china. we know the manufacturing sector is weak. industrial output may be stronger on a euro in your comparison. -- i do notbecause think we will see the kind of rosie numbers the chinese officials or talking about. rishaad: let's look at this from perspective, because many compare china to where we saw japan in the 1980's and 1990's, where things went

wrong there. some would say, hey, don't look at that. look at the 1960's instead. talked about the run-up to the tokyo olympics. people do love china-japan comparisons. the s&p chief, saying, hey, look at the 1960's. japan had rappers growth -- had rapid growth prior to the olympics. intervened with the bank of japan. they managed to turn it around. and japan's economy took off. china could do the same thing. while there are different is between the deed of stories, china's economy is at a lower phase of developing than japan in the 1990's. so the potential to recover is there. rishaad: all right, thank you very much indeed, enda curran, there. let's look at the aussie dollar.

it is strengthening, but it does remain at that all-important level.70 it is almost step-by-step on this downward path. about this correlation. i think 3, 6 months out, it has been pretty much lockstep, as you would say. reporter: yes, this sort of thing that mathematicians get very excited about. if you look at the australian dollar side-by-side, that is up 10% as well and they do match each other very tightly. 9.1, whichtion is would mean, as you said, they are moving in lockstep. depended is china on exports? it's a very important matter. it also makes for rather

exciting headlines. there has been a lot of hysteria and hyperbole about the aussie dollar feeling pain. but you have to remember that the bank of australia has desperately wanted this for so long, they are trying to job own -- jawbone the australian dollar down. >> exporters are in trouble when the australian dollar was that it parity with the united states dollar. we can cope with the currency having continued support because it will and power our exporters, and in the main, australia is always the beneficiary of better x or prices -- export prices. l: this will also help the economy transition away from mining and boost other important sectors such as tourism and education, rish. rishaad: absolutely. what are people telling you about, further the aussie dollar has to fall, if at all? paul: traders seem to be pricing

and about 6% or better the chance that the aussie dollar does fall further. but predictions in this realm have been around for a very long time as well. the aussie at near parity, that is quite unusual with the euro. will fall and fall heart, one said, and he has been proven right. the lower the aussie goes, it does do a lot of work for the reserve bank of australia. they have lessened the odds they will need to cut later in the year. certainly most of the economists surveyed believe they will be at the record law to present until christmas ,rish. rishaad: thank you very much for that, paul allen, there for us in sydney. to a panel maker expected report a 60th straight loss tuesday.

it was the world's biggest solar panel maker. since then it has lost two thirds of its market. andwe're talking sun tech germany's q cells, both of gone bankrupt. -- have gone bankrupt. maker -- a juice maker expects to see rising demand as more chinese look healthier living. there was a loss of $50 million in the first up of the year, which the company said was due to the cost of adding some 500 new stores. saudi arabia's savona group is teaming up to bid on the kuwaiti group american and a. american a is a franchise operator of brands like kfc,

tgia hut, and even friday's. a deal is expected to be reached before the end of the year. the indonesian bank says it will focus on inflation, so the indeed vision -- the indonesian deputy governor says the current rate of 7.5% was consistent with achieving their inflation target. guest: 7.5% we decided is consistent with meeting our target this year, and also next year and it will be maintained [indiscernible] you are effectively saying if you had to make the call now -- though you don't, you don't have to make it until december -- the call would not be -- guest: i do not want to speculate. month, wel see next will see the following month. reporter: but given what you

know now, it's too early. bank, always,tral being data dependent. make aalways, you know, conscious effort to improve policy and sure the country will be intact. and of course, we also want to balance stability. reporter: is the central bank independent? guest: yes. both in the policy setting, in all settings. reporter: do you find yourself resisting pressure from the government? guest: we are closely coordinated in this fashion. hurt, andare being professionally addressed. reporter: regarding the rate

cut, what exactly do you need to rates?ore you cut reporter: -- guest: [indiscernible] this is the basic frame of the policy. is we are seeing now thsis coming. next year will be within that. we will see on a month-to-month basis. the bank of indonesia yoputy governor perry warji speaking. next up, we will hear from two men who are pinning their hopes on a new life in france. ♪

rishaad: stories making headlines around the world now, suspect in last month's deadly bangkok bombing appears in court. the man was arrested last week and police say they found bomb making materials in his apartment. police are hunting another man who share that apartment, bringing the total number of cells x 210 -- of suspects to 10. talks on the resumption of meeting families separated by the war in the 1950's. they will try to improve relations through civilian exchanges. the two governments have occasionally permitted brief reunions at the border. month'stims from last

boat sinking off the coast of malaysia. 20 people survived the accident and are suspected of being undocumented migrants from indonesia. have beens thought to carrying 70 people when it sank on thursday. europe struggles to cope with a growing humanitarian crisis as the wave of refugees shows no sign of letting up. germany and other countries took measures emergency migrantsfuge to stranded in europe. many see britain as their ultimate goal, but many and their journey in france. bloomberg met two of them. i came here -- [indiscernible]

[speaking formally which] -- language]foreign --i had a t-shirt in college i want to be a teacher in college. i want to be a part of society. but i want to be a human here. on novemberdan 2014, and i have been here only two weeks. i am here every night. i think this every night.

you see the room is full of rubbish. and i think there are many insects. and i think there is no electricity. this is empty. this is also empty. i think a situation is bad. we really need help, just like you see. i don't know what to do. maybe i shall go and try to work in england. to germany.l go i really don't know. i want to study medicine. i want to be a doctor and because the medicine here in .rance is stronger and better than other countries. theaad: not so amazing, campaign going down like a lead

balloon of social media. we have details next on "trending business." ♪

,ishaad: i'm rishaad salamat and you are watching "trending business." shanghai turning negative, just marginally however. in hongserve the surge kong, also giving back its gains. the nikkei also on the slide now. we are seeing a volatile day, 's indexaiwan, and china in singapore. pretty much read across the board. we're looking at the regional benchmark index. seens hit levels we've not in three years as we have had seven weeks of declines now. malaysia, looking at how manila is shaping up or shipping down.

there we go. down in excess of 1%. 1% for kuala lumpur there as well. christine lagarde ahead of the g-20 meeting in turkey says women are the tee. let's find out why. mumbai and join our correspondent. reporter: that's right. the biggest headlines are coming out from the imf for the weekend. risk to the global chiefy still lie, but imf christine lagarde saying india leads the way with bright spots for the global economy. her remarks coming from that g-20 meeting of central bank governors, discussing the chinese economic slowdown and monetary policy and giving a really big boost to the comments

from the finance minister who was also at the g-20 summit, and said that he remains confident growth,re will be 8% despite global volatility. ,s for what is really happening those comments coming in from christine lagarde, as far as women's in the world economy -- i just want to recap. she is saying the indian gdp could expand a whopping 22% if the number of female workers increases to the same number of men and the economy. w20 is a group that aims to women andd empowering ensuring their economic growth. saying that india has the potential to grow as much as the u.s., if only we will see more women get involved in the

economy. thank you for that from mumbai. it has been labeled #prfail. an advertising campaign pretty much gone wrong. here is juliet. gone wrong indeed. that is not what australia's ministry had in mind when they launch the campaign, which is essentially an ode to coal. viral, but for the wrong reason, with social media users tweeting with great sarcasm. voiceover ad with a explaining the and list possibilities of the commodity, claiming that the coal industry provides 40 billion dollars to the australian economy. the at and swift "isn't it amazing what this little black rock can do?" ludicrous,eed or

according to environmental groups. greg, he has from been saying -- but how do we make people think coal is amazing? and we also have another user come through saying, david saying, coal is amazing, but did you know all good doctors only smoke camel cigarettes? that is a play on a campaign australia had back when they were allowed to advertise for cigarettes. bill saying -- if both raises the temperature and destroy your lungs. all from one black rock! that.d: thank you for that is it for this monday edition of "trending business." stay tuned for "asia edge." angie will be joining me as we recount the main stories of the day so far.

these sessions so far -- we have shelter investments. richard harris is coming up in about 15 minutes from now. "asia edge" is next. ♪ we live in a pick and choose world.

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rishaad: hello, everybody. here in the heart of hong kong it is just -- what? 11:00 in the middle of the agent trading day and this is "asia edge." a look at our top stories. rise and fall. chinese stocks jumping on the return from a two day break, but decidedly shaky.

and toshiba's tales. shares soar after the long delayed result of irregularities, colleges, and top-level sackings. angie: also coming up this hour, and owed to coal. boost australian miners is being dismissed as ludicrous by environmental groups. the pain of parking. aboutkorea starts talks families divided by the 1950's war. we have reaction live from seoul . and great expectations. taking on china with big names and an ambitious plan. keeping an eye on the markets, the regional indexes -- failing to keep hold of the earlie