♪ friday, april the eighth. i am rishaad salamat. this is "trending business". ♪ rishaad: well, live in singapore and tokyo in the next 60 minutes. , the big story, rising to its highest level in 18 months. 105 is the magic number when boj may have to step in. four fed chief's get together. janet yellen says there has been tremendous progress.

malaysia tries to draw a line under it struggling state bank fund. the lapses laid at the feet of the former chief executive. do let us know what you think. follow me @rishaadtv, include #trendingbusiness. china markets getting underway and 30 minutes. juliette: good morning. we are seeing weakness coming through from u.s. markets. taiwan,, singapore, joining in that selling across the region. the nikkei 225 down 1.4%. towardshas searched that intervention trigger. japanese stocks extending falls, deepening a second weekly loss.

the big selloff in commodities playing into the asx 200, down over 1%. korea being sold off, nine tens of 1%. u.s. stocks sank to six-week lows yesterday. we saw banking stocks coming under pressure after comments by janet yellen. basic materials leading the region lower, down by 1.2% at the moment. ,ome of the big movers particularly in japan. honda recalled 143,000 vehicles byjapan, and airbags made daicel failed to deploy. fast retailing down almost 10% after it cut its outlook to a five-year low.

evolution mining, a safe player for gold players looking solid. a quick check on the yen, weakening at the moment after briefly surging through the 108 level in new york. well, absolutely, the yen is easing slightly after but strength is sparking questions about when japan central bank may intervene. finance from the ministers, didn't we? rosalind: we did. the finance minister spoke this morning after a meeting. stability.y want abrupt movements are undesirable, and recent movements have been one-sided.

they will take action as needed. we have no idea what that means yet. the yen has risen 11% this year. spoke to the top forecaster for the yen, and he said it the rebound in global equity markets take place, we could see the yen strengthened past 105 to the dollar. close, risk appetite falls, and that is boosting the yen and contribute ing is faltering confidence in the boj. of 105 could trigger intervention, but questions are raised as to whether that will be successful. other see 105 as a possible line in the sand. we have had these trade

balance figures earlier, the strength of the yen could play into these as well. that's right, better than expected, a surplus, better than the estimate. the 20th month of current accounts surpluses. for --es were a rapid fall in oil prices has been contributing to an impacting import costs. it masks the issue with weak exports. companies selling abroad and repatriating cash back to japan. the current account is the broadest measure of trade flows.

in the final quarter of last year, it swelled to 3.3% of gdp. the surge has boosted the yen's appeal. they are piling into the yen as global stocks fall. this could be one of the issues for japan's trade balance and a possible recovery in oil prices. china's foreign exchange reserves increased in march unexpectedly as capital outflow pressure eased. when we expecting this to happen? tom: economists expected a theease from march, but reserve grew by $10.3 billion, the first expansion in five months. you only need to look back to february when we saw $29 billion as a drop in reserves. as of march, china's total fx

totaled $3.21 trillion. that will ease concerns that the chinese authorities will be forced into burning through the cash pile to prop up the yuan. controls, the government has ramped up efforts to discourage people from moving their money offshore. we've had clear communications from the people's bank of china saying the further depreciation of the renminbi is not on the cards. has the dovish sentiment from the fed and the weaker u.s. dollar. a word of warning from the analysts, a more hawkish tone from the fed could make this a short-lived reversal. rishaad: right, let's catch up with some other stories. janet yellen says the u.s. economy is on a solid course and not in a bubble. yellen was joined by her three

predecessors from 1979 onwards in a panel discussion in new york, the first time all four have appeared together. janet yellen said the appreciation of the dollar in the past 1.5 years along with slower global growth has created a drag on the economy with u.s. consumer spending not strong enough to offset the downside. still, she says there is no fed target for the currency. take a listen. we don't have a goal for the dollop it what we are looking at is the economy as a whole and the likely path for inflation and implement to achieve our goals. her predecessor, ben bernanke, said quantitative butng had been successful,

warned it was a mistake to put the entire stemless burden on central banks. billionaire activist investor daniel loeb has prevailed in a iaming campaign of seven & holdings. eb sent the critical leather to the company's board last month trying tohe ceo of oust a key company figure to make way for his son. he is 83 years old and has chronic health problems. holdings has seen a slump, but gaining ground today on the news. yesterday, the board rejected a plan to remove the 711 japan president, the key executive key daniel loeb praised as

to the success of the unit. that prompted suzuki's resignation hours later. int retailing sell the most three years in tokyo trading forecastting profit by a third. a stronger yen you wrote of the and warmoverseas sales winter weather hurt demand for 's coats and thermal outerwear. it is down from the 100 billion forecast made in january. the company has bet on expanding clothing brand outside japan, opening stores from london to paris, but this has made the company more vulnerable to a strengthening currency. tell bloomberg that horizon and google could go head

to head in the coming days over yahoos web business. horizon may also be willing to buy the company stake in yahoo japan to help sweeten the offer. suitors, at&t, comcast, and microsoft, have decided against making bids. yahoo! is exploring strategic alternatives, including selling its main internet operations. shares have fallen 50% in the past year. there are still other potential suitors. sources say time inc. is it i evaluatingend -- is a bit. first-round bids for the companies maynard webb assets are due april 11. -- for the company's main web assets are due april 11. later,: coming up running out of steam.

why standard chartered says the equity rebound may have run its course. up next, we talk to the red cross about their relief efforts from australia to the european union. ♪

rishaad: it is a final day of the credit suisse conference in hong kong. it has brought together experts, including the red cross. that's right. the is the final day of credit suisse asian investment conference. president for the national committee of the red cross is joining me now. you for being with me.

mandate a huge global and spend a lot of time on the australia,yria to what is it right now they keep you awake at night? >> indeed, it is the conflict and the dynamic of conflict we experience in many places of the world. the dynamic of violence, which gets increasingly brutal in warfare, the displacement of , theations disintegration's of social systems, health australia, what is it right now they keep you awake at night? >> indeed, it is the conflict and the systems -- the systemsration of social , health systems, which leads to the massive population displacement. does this create a loop where the more

isolationist countries feedback into that this enfranchisement and rise of radicalism? understandrians also it is a difficult choice to make as a politician between a legitimate security concern that you have, border controls, and more controls in society, in order to know what is happening, the security threat for a society and to know what it is, as humanitarians, we are advocates of those who free flee violence and fear, and they need for texan. and they need protection. they flee for legitimate reasons , and their protection concerns are in countries where they

tried to flee, so there is loop which hasck a negative impact on people. haidi: i want to bring it back to this part of the world, where you do have grassroots operations, myanmar. how are you hopeful that with the new administration that we will see better treatment of people. aung san suu kyi has not been particularly forthcoming about this issue. herunited nations has given 100 days to improve living conditions. >> we have an important humanitarian operation in myanmar. we had humanitarian programs. this will not be an easy go and a quick fix. minority issues, conflict issues, have torn the country

wert for many decades and will have to work persistently with the new government as well to improve the situation and to find living conditions acceptable for all the minorities and policies in place , which are more favorable to the minorities. developing nation like myanmar, there are issues in places like australia and how they deal with the flow of migration, settling them offshore and being processed. a number of scandinavian countries have shown the experience of integrating into the community is perhaps the better option. do you think australia should be looking at a different way of dealing with migrants? policies areration in the sovereignty of states, -- itates make a decision

is a very politicized reaction. from a humanitarian point of view, we know from experience that there is only one way which , integration, and with integration comes education and job creation. i am just back from afghanistan. i was impressed. miles outside a city center, i met elders, and they brought it back to a simple formula. what we need is education for kids, jobs for the adults, security for communities. this is true for countries of origin of migration and also of recipient countries. if you don't have the economy and plays, the structure in place, which allow you to diligently integrate, not from one day to another, everybody understands that we are in a special situation and can't expect miracles from one day to the other, but we need consistent integration policies. we need job creation.

we need to assist those who flee legitimate violence and fear. nobody these his country for no reason. tore is always a good reason leave, and there is a necessity to assist and protect those people, to give them an opportunity, because otherwise they will go radical. haidi: there is also economic opportunity that goes along with that. thank you. good luck with your work. it is the last day of the conference, but what a day. a huge list of stellar guests coming up. i will check back in with you later. rishaad: thank you for that. including of course the sri lankan finance minister, too. right, let's have a look at headlines. pakistan's envoy to india says his country would like conference of talks to resolve

the many issues. high-level dialogue between the nuclear-armed neighbors has been suspended since january, an attack on an indian air force base. theattack came days after indian prime minister made a surprise visit to his counterpart. myanmar says it is planning to free all remaining political prisoners in one of the first policy statements of the new government. about 100 political prisoners are still behind bars, having been jailed by the previous government, 400 people still face political charges. manny pacquiao returns to the ring a year after his controversial defeat by floyd mayweather. it could be his last fight. he is running for a senate state

in the philippines, and if he runs, -- wins, he will have a full-time job. he is under pressure from his family to retire from the ring. news. this is bloomberg powered by over 2400 journalists and 150 bureaus around the world, this is bloomberg news. up, placing blaine, malaysia targets one former ceo as it clears the prime minister of responsibility. ♪

rishaad: you are back with "trending business" as we have a look at what has been going on with malaysia. lawmakers seeking to draw a line around corruption allegations. our bureau chief joins us now.

where are we now and what are these findings. after more than a year of investigations and interviews, the committee finally came out with their report yesterday. point to $4.2 billion in dubious or unauthorized and unverified transactions. they are putting the blaine on the doorstep of a former chief executive, right? >> exactly. of one in the in f the company. they also mentioned other

management, but did not identify who they are. looked and said they wanted to act in the oversight of the day to day running of the management. there was blame aplenty. can malaysia move on? is it all over? voicesthere still calling for the resignation? >> it is both. ,he country wants to move on but the opposition and detractors will still go after him for these lapses. he was the head of the advisory board for one mdb. closes, theysia

investigations are continuing overseas. rishaad: thank you very much. now, pressing pause, find out why some analysts say the pboc won't be cutting rates this quarter. ♪

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x1 makes it easy to find what blows you away. call or go online and switch to x1. only with xfinity. a look at our top stories. it's a love in u.s. shares rolling into the asia-pacific with markets of all down. japanese equities at the lowest in eight weeks. the yen breaking through that 108 level against the dollar. concerns continuing to resurface about global growth. fast retailing, pulling the most in 2016. it cut it's own for your

forecast by one third. goldman sachs says a record mild winter has hurt sales and merchandising. the u.s.len says economy is on a solid course. discussion. a panel ben bernanke said that his quantitative easing program had been successful, but says it is mistake to put the entire burden on central banks. here is juliet monitoring the market open in hong kong and shanghai. havette: investors central-bank fatigue, and we have seen that come through from wall street and way into markets in the region.

the boj, is a going to be intervention in that strengthening yen? philippines, shanghai coming online and joining in that selling. the hong kong index down by 1%. there is only one stock on that index higher on the open. we're seeing energy players come under pressure. shanghai,weakness in seven tens of 1% down. the nikkei all about 225 deepening second week losses, the yen surging, past 107 briefly in u.s. trade overnight. the weakness and commodity players playing into the asx 200 . that flight to safety, gold stocks looking strong in sydney. this is where we are seeing most of that weakness.

industrial metals, 17 out of the 19 stocks we track lower. a quick check on the yen. it has been the story of the day. the japanese yen to the 18 month high in new york overnight, pushing through 108, but weaker at the moment, down 7/10 of 1% against the greenback. a lot of questions about whether or not there will be intervention anytime soon. rishaad: right, china central bank most likely to extend its paws on monetary easing. they say a pickup in inflation is becoming a big worry. our editor malcom scott is with me now. what are the economist seeing? signs that theng

pboc 18 month easing policy is starting to work. whether the cpi figure is the big worry is debatable. it might be a big relief. a year ago, the real worry it was deflation. it's coming back. the report is expected to come in at 2.4%. rishaad: just shy of the target, but better than a year ago. >> you have that. you have monetary conditions looking more easy, welcome for the economy. that said, it shows that policy is working. and you see a pickup and bank lending. rishaad: you don't want to overheat the property market again, do you? >> that is the juggling act. we don't necessarily want extra stimulus, because that debt is a big problem, property prices surging again, so do want to

fuel that with further easing. economists are saying this is the end of the easing cycle for now. rishaad: where to from here? we have this huge debt burden. , well, if you're the pboc come you're probably thinking we need to keep the economy underpinned with easy conditions. to see they have room to active the economy turned south. do you want to add fuel to this recovery in the biggest cities? beijing and shanghai prices are escalating. we might have this patchwork of trying to put the brakes on some of the excesses, underpinned the economy with liquid conditions. where does that leave the economy? probably still grinding slower. rishaad: we have this gdp numbers of week from now. >> exactly.

,e are expecting at this stage so still on year pace, a slowing of the economy, the weaknesses the first quarter of 2009. rishaad: thank you very much indeed. a look at what is going on in corporate japan with the ceo of 7-eleven, quitting after a clash with the board. directors rejected suzukis 7-elevenemove the president. the next ceo. i was quite surprised to hear about my son being a candidate for secession. i had never mentioned it, and my son never thought about it. his expertise is in a technical area, so i don't understand why such a rumor started within the company. perhaps it is due to a lack of

discretion. is quite ais stunning turn of events, isn't it? >> it is. this was a shock on many levels. mr. suzuki is a giant in his business. .e has a 50-year career this is a company that has changed hands and become a holding company a little over a thede ago to include company where he started his career. he has been around a long time and is a highly regarded ceo, but he is 83 years old, and daniel loeb was raising concerns that he was positioning his son to succeed him. you heard that yesterday he denied that was the case, but it is also a surprise because is one of many

activists who made a run at japan, and that track record has disappointing, dating back to t boone pickens in the early 1990's. you seen activists come into japan and fail more or less to get management to bend to their will. this is the latest in a string that danielories loeb can claim coming into japan and wrangling some change out of companies that he has targeted here. son, as youukis mentioned, he denied the charges of nepotism. what else did he say? it was kind of a bizarre press conference. it really was a mix of both apology and going after the people who seemed to turn

against him, or so he put it. it was a bit bizarre. he did talk about the idea that he lost trust in other directors win they voted against him. he wanted the executive whom you mentioned that daniel loeb sees as a successor, he talked about trying to get him terminated from the company. thatso apologize, saying it is my lack of virtue, and i am deeply as same to my shelf, as a reason for him leaving the company at this point and retiring. rishaad: thanks. we will quickly check on some other stories. toafone may be pushing ahead take its india arm public. vodafone may sell 10% of the at $20 billion.

olson have been negotiating and have now become its biggest investor, increasing holdings by 19% by buying stakes from two dutch funds. in a statement after the purchase, he said he may seek majority ownership after a public offer for all shares. paid for theit tool used to break into an iphone last month and is considering whether to tell apple how it was done. the authorities office suit against apple after they were able to access data on the iphone. the apple said they did not provide that hacking tool. now, hong kong and china are the top markets for the company at

the center of the panama papers leak, accounting for one third of the company set up globally. let's bring in our east asia government editor. what is the latest? have seen these revelations come trickling out after the release of the so-called panama papers over the weekend. , so it ison documents a spooning out of information, and the latest has been the details of some of the corporate relationships that chinese officials and other chinese celebrities have had. indeed, absolutely, so how does it affect the top echelons of power in china? how big of an a bears meant is it? embarrassment is it? --it comes after three gears

years of an anticorruption campaign. been asking many communist party to handover more information about arsenal finances. the target of -- about personal finances. in the details -- any details are in paris seeing coming at this juncture. 11.5 million pages to go through. >> we are seeing just the beginning in terms of the details related to chinese officials. there is nothing groundbreaking. all of these relationships have been widely reported by bloomberg news and others before. wealthre signs that the of presidentmbers xi jinping, where do vested.

it is unclear in terms of new relationships, new money, new revelations, but as you point out, 11.5 million documents, i think this will be a story that keeps percolating for weeks and months ahead as we go forward. rishaad: thank you. asia-pacific markets trading in the red as the rally has run out of steam. ♪

>> it is 9:44 a.m. in hong kong. these of the stories making headlines around the world. seven out of 10 american voters have an unfavorable view of donald trump. the associated press survey found dislike across all gender,

race, and political lines. 30% of republicans said they would not vote for him in november. the only good news is that ticky cruz unfavorably, and 55% feel that way about hillary clinton. the former chief of italian defense group has been found guilty of bribery over the sale of helicopters to india. he was convicted on corruption and false invoicing and sentenced to 4.5 years in prison. director wasging given four years on the same charges. the two have a chance to appeal. a rare shakespeare first folio has then found in a home. the goatskin bound book was published in 1623. only 230 copies of the first folio are known to have survived. it is described as the holy

grail of book collectors and will fetch up to $1.7 million. powered by over 2400 journalists and 150 bureaus around the world, this is bloomberg news. i am rosalind chin. rishaad: a quick check on the trading session. followingic stocks the slump in wall street. great to see you. of course, equities under pressure. you are suggesting the rally was due to run out of steam. are these losses going to be sustained? that markets are due for a breather. a lot of the extreme positioning has normalized itself. there is a lot of cash on the five lines -- sidelines in february, and now that has gone back to work here at the u.s. dollar has moved to the bottom

of its range. that rally seems to have run its course. stepnk it's time to back and look at the fundamentals. actually, the research you sent me talked about tech nichols -- about technicals and not fundamentals. absolutely, and it is technical's that have been one of the reasons why we think markets has stopped around current levels. percentage are a point or two away from key makes senseso it that markets have been taking a pause. point where the markets have to pay attention to fundamentals. fundamentals would have to improve significantly. it is a much more mixed picture than everything going up that we

have seen over the past month or so. ashaad: will there be transfer from equities to bonds, particularly high-yield? sensethink that does make in many parts of the world, because high-yield bonds do give equity-like exposure. it is better when the outlook is less certain. we think it is about incrementally making that switch. we like europe for equity exposure, but in the u.s., asia, be ayield bonds might better way to get that exposure and balance that out with defensive grade investment lawns. bonds.- we look at other asset classes, what is attractive for you? >> i think two things are

attractive. we spoke about bonds, corporate bonds in particular in the u.s. and asia are attractive. any kind of absolute return type are two we are looking at. the one we are paying attention to is the u.s. dollar. in terms of risk and fundamentals, that is the one that will set the tone for asset classes, equities, particularly in this part of the region. if we see a rebound in the dollar, that might cause markets to take a step back to reassess fundamentals. why is the dollar as weak as it is currently? it is most likely because of what the fed has told us. the market has gone from pricing hikes tole of rate

a 50% chance of one rate hike, so that has pulled back interest rate expectations. we think that has run its course. the dollar is back to the bottom of its range. hard for expectations to move lower than that. it makes sense for the fed to be cautious, but given where inflation is going and we have a rebound and manufacturing i is him, we do think a rate hike or two does make sense. no rate hike's at all may be extreme. week, guiding currency has become a lot easier, hasn't it? >> it definitely has. when the dollar has less pressure -- there is less pressure on the renminbi to we, it makes life much easier.

a small bounceee within the range, there is a risk that might put focus back on the renminbi, but what we think is that they will do what they have done in the past. they will try to put some stability on it in the face of dollar strength. it has worked in the past, and as long as we don't get a massive dollar rally, there's no reason why we can't get that again. rishaad: great to talk to. coming up, twitter seems to be losing friends, revenue, and growth. we will look at that. "trending business" back right after this. ♪

iconic jumbong's buyer for four 747s

jumbo. 1970,e its world debut in ushering in more affordable travel for the mass market. the bank wants staff to stay away from infants when the issue of brexit might come up and not to talk about it in public. traders found brexit would weaken the city of london's position in the currency market. twitter, challenges despite efforts to attract users. morgan stanley painting a bleak picture for the network. growth, that is what they

are concerned about. >> they cut their price target to $16 from $18. they reduce their projection for 2017 earnings, excluding interest and taxes, to 13%, $769 million, so twitter has struggled to attract new users beyond the traditional base of journalists, politicians, and celebrities. a deal to it signed stream nfl thursday night games, but morgan stanley not happy. it cap its underweight rating, kept its underweight rating on the stock. we have a bart chart to take a chart to take a look at that.

twitter rating the lowest in terms of mobile user engagement behind facebook and snapchat. their social media are facing pressure as well. >> user engagement for facebook might be good, but sources are telling us they are struggling with the declines of people -- content,onal and sharing regional content, and that is because it is important because this is the fuel behind the money machine at the heart of its social network, so now people are sharing information, but less original content, which is what facebook wants. rishaad: thank you very much indeed for that. once top, sri lanka

borrow $1.5 billion from the imf. i will ask of the finance minister about the programs. you are watching "trending business". equities in the asia-pacific under pressure today. ♪

announcer: from our studios in new york city, this is "charlie rose." charlie: we begin this evening with our continuing coverage of election 2016. republican presidential candidate ted cruz scored a strong victory in yesterday's wisconsin primary. the outcome dealt a significant blow to front runner's donald trump's passing the nomination. it could also pave the way to a contested republican convention. mr. cruz: three weeks ago, the republicans said wisconsin was a perfect state for donald trump. >> boo! mr. cruz: but the hard-working men and women of wisconsin stood and campaigned tirelessly to