>> dozens of people killed in the french city of nice as a truck drives into a crowd celebrating bastille day. u.s. stocks extend their all-time high led by banks as earnings per into resilience in the global economy. we are counting down to the tokyo debut after a 20% -- 27% jump in new york.

the rva tells bloomberg it may consider multi-pronged stimulus to put some extra wind in the economy's sales. we are coming to you live from bloomberg's u.s. and hong kong headquarters. betty: the big story developing, the big story out of france. a truck has driven into a crowd in the southern city of nice. it happened shortly before midnight as crowds were celebrating bastille day. paris -- tell us so far what you know. on the waterfront, the english promenade, this is where people were watching the fireworks, 10,000 people, locals and tourists.

watching the bastille day fireworks. a large truck, apparently the kind of truck used to deliver fresh products, ran into the crowd watching the fireworks. the crowd was looking at the sky and the truck apparently drove into the crowd, several hundred twors, maybe up to kilometers, killing dozens of people. dead.ly 30 some sources are saying the numbers may be higher than that. reportse are getting from the interior ministry, they say there is no hostage-taking going on it all right now. de hasent hollan

traveled back to paris amid this incident. tell me what the response has been so far from the government in paris. >> the interior minister is traveling to nice as we speak. the president is traveling back to paris to attend a crisis meeting. the french authorities are not speaking officially about a terrorist attack but about a criminal act of significant importance. a lot of things we can see in d to incident kent -- ten make us think this could be a terrorist attack. we have seen this kind of situation during the christmas

period where you had a couple of terrorist attacks in the east of france. on a couple of occasions, the .ruck drove into the crowds the authorities are not talking officially about a terrorist attack at the moment, but they are looking into whether the truck driver was a lone wolf or whether he had accomplices. >> it has been reported that this is happening on the exact day the state of emergency has been lifted in paris after those attack that we saw several months ago. give us a sense of the state of security, not just in paris, but in the country at large. day, the bastille

president gives an interview on national television, which he did at lunchtime. the end of the state of emergency, supposed to be lifted on july 20 6, 10 days from now. he said we cannot live in a democracy having a permanent state of emergency. it has been on since the november 13 terrorist attacks. the level of security was extremely high and the state of emergency allowed the police authorities to put some people under house arrest and to arrest some people to look for terrorist cells. was going tolande lift the state of emergency. we will see if he changes his mind. betty: thank you for keeping us

on top of this developing story. we will be bringing you all of the latest developments from nice. let's turn back to how the markets are set to open up in asia. lots -- we lost a bit of momentum yesterday in the asia-pacific. we will be ending the week at a three-month high. new zealand, so far, so good. the kiwi dollar down about a fifth of 1%. we are waiting for the china gdp figure coming out in just three hours time. seeing some modest gains in australia today. japan, we could be in for a fifth day of gains. looks like it will be another strong one on those stimulus that's. -- stimulus bets.

bonds, looks like ben bernanke floated that idea while he was in japan. we will see how that goes. how did it look on wall street? betty: it was another rally we saw on wall street. it looks like big time risk on trade is here to stay. su keenan is here with more. su: the longest winning streak for the s&p for four months. up 134 points., high.sdaq hit a six-month a big push for a lot of those that beat the street. most in fourp the months. delta flies high, takes the whole group with it. betty: you mentioned jpmorgan.

the banks were in the spotlight today. su: one of the big messages coming out of j.p. morgan chase, the consumer is stronger. jamie dimon leading the company to health. interesting question, what we will hear from citigroup tomorrow. tonegan setting a positive for the banks. citigroup ceo warned their outlook is ripe for risk. betty: we are talking about risk on. someone flipped the switch from safety to risksu. . su: we have a great chart for you. what you see is blue, the weekly numbers. on the far right, the green is what you had in the last week. it shows a complete 180 switch.

do not get too excited because strategists are starting to ask, has the market come too far too fast? so much.ank you we have some more breaking news coming out of france. the president, the mayor of nice confirming 60 people are dead in this truck attack on bastille day. , calling thisng an attack, the worst attack they have seen in nice history. let's get the other first word headlines. >> donald trump appears to be closing in on mike pence as is president of running mate. the republican close to mike pence says the campaign is preparing to confirm the

decision. trump is due to make the announcement in new york on friday. the bank of england has surprised investors by leaving interest rates on hold. the monetary policy committee says more time is needed. ast officials expect loosening policy in august. income of $427 million for the year ending in august, down 25%. the stronger yen eroded over these earnings, overshadowing sales. the profit outlook includes $361 million in foreign exchange loss. global news 24 hours a day powered by over 2600 journalists and analysts in more than 120 countries. bloomberg.

betty: japanese messaging company surged in its u.s. trading debut after raising more than $1 billion in the biggest tech ipo of the year. line into the session almost 20% ended the session almost 20% higher. betty: a lot of cheer on the floor of the n.y.c.. the big question is what are they going to do with a $1 billion they raise? globalto ask that to the chief financial officer. obviously, we are very happy

great responsibility. we are going to focus on investing, strengthening our services. .etty: you are the numbers man tell us exactly where that investment is going to go. on fourll be focusing key countries, japan, indonesia, thailand, and taiwan. we will be using money for investment opportunities. one other initiative is looking at investment opportunities for technology companies. betty: what might that look like? investments are we talking about? acquisitions? -- we are making in

.ach different area betty: how about the u.s.? how important is the u.s. market going to be? market, our dream. betty: a one-stop service on your smart phone. some of the detractors say, can you really call yourself global if you are just dominant in four countries?

they had to put that capital to work to catch up. we will also be watching line;s debut in tokyo later to see if it can repeat the performance here in new york. yvonne: japanese retail investors really like things that are popular. we could be seeing some good performance out of tokyo today. we want to update you on breaking news that we are getting, a truck driven into a crowd killing at least 60 people in the southern french city of nice. several hundred are reported to be injured after the truck plowed into a late-night gathering of people celebrating bastille day. the driver was shot dead by police. the french president returning to paris for an emergency meeting and president obama has been briefed on the situation. donald trump says he has postponed the announcement of who will be his bp. -- his vp.

it was supposed to be friday, but has been delayed. the dead, as well as the injured, along a two kilometer stretch. we will be watching for those developments. investors lined up for a piece of japan's biggest messaging app, sending and surging on -- sending it surging on debut. back?na's growth bouncing numbers.review the gdp this is bloomberg. ♪

betty: you are watching daybreak asia. reminder of how things ended up on wall street today. , seems like weer

are on a winning streak. what about overseas in china? itsa releasing second-quarter gdp numbers. economist expect a 6.6% expansion. that is the slowest pace since 2009. china beige book international things growth will bounce back. leland miller joins us here in the new york studio. give us the good news. >> the reality is that things are better, things are much better. we have had two quarters in a row that were very weak. things are better in the second quarter. will the chinese announced that in their gdp? that is unclear. they like stabilization. the chinese will not disappoint with gdp figures. people should not wake up disappointed.

betty: what about the bad? isthe question sustainability. two of the things we saw that pushed the growth number, growth and services and growth in construction. a lot of people have been thinking there is this two-tiered economy thesis. that is not what has happened. we have seen subpar performances by services over and over since last summer. the fact that services did so well this quarter is really good news. construction is similar. you saw incredible bumps from q1 all-time lows. this is just reeking of fiscal stimulus. betty: reeking of fiscal stimulus -- however, are we going to get something like that out of china?

>> last summer, people started talking, fiscal stimulus. every analyst report would say fiscal stimulus. when you look at china beige book data, that was not happening. q2. all changed in q1 numbers, the labor numbers crashed and was extraordinarily weak. the chinese get very worried about the labor market when they see bad numbers. we knew there was going to be a fiscal stimulus response. report, you said cash flow data, that will be most telling. what will that show? at the you look economies rebound, you want to see stronger cash flow.

from on year data, you did not see stronger cash flow. the question is,, chinese continue to push their economy -- can the chinese continue to push their economy? question,is the big it was better in real estate and construction. betty: stay with us. we have to go to break. more coming up with leland miller. this is bloomberg. ♪

>> the truck that drove into a crowd of people along the celebration during the national day of bastille day, 16 people dead -- 60 people dead. the truck was filled with arms and grenades.

that is according to the nice mayor. 100 injured along with that. we are continuing to watch this very fluid situation. let's get back to our discussion with leland miller. other things we could be watching beyond the gdp figure. fixed asset investments. there was a bit of a divergence between the state putting in money versus what the private sector is doing. do you see this as a long-term risk? >> people have the story wrong. the story back from the middle of 2014 was that capex was slowing. we have seen a dramatic slowing. people have recently caught up to that story and they are talking about private sector

capex weakness. a couple of different sets of official numbers. not all of them say that. we have shown bounceback in capex. we expected the investment numbers are going to be better this summer in the official data as well. betty: better data coming out from the quarter. do you think the pboc has time to pause when it comes to policy? >> if you look at what our data is, rates have been going down and down and down since 2014. what we have seen in the last quarter, we hit the all-time low. shadow bank rates, overall bank rates. firms are not looking at interest -- lower interest rates

as appetizing. china, cut rates, stimulate demand. it does not happen in the data. betty: what does this mean for the yuan? >> everybody thinks there was a sea change by brexit or back in january. the chinese have been consistent. the chinese want a relatively stronger currency. it is something that will allow them to do this investment to consumption transition. betty: other countries do not believe this. the united states, they do not believe china wants this. >> i believe they are mistaken. says -- if you look at the numbers everybody

uits, there is this -- floor. there is an imf it does not apply to an economy as large as china. the number is not the three 2 trillion everybody is talking about. point $2 trillion everybody is talking about. it is not a commercial financial system. the weaknesses everybody likes to talk about, it is not there for china. it is a noncommercial financial system. this is a recipe for long-term stagnation. it is not an acute problem. betty: great to see you. yvonne: coming up, the rba says it will use a multi-fund stimulus if it is forced to act

in a stream -- in an extreme scenario. ♪

>> it is 7:30 p.m. thursday night in new york. yvonne: and 7:30 a.m. in hong kong. you are watching "daybreak asia." let's get you up-to-date on this where a truckce, rammed into a crowd, killing dozens of people in the southern city of france. that's according to the prosecutor's office. raymond innocence you joins us from france. tell us what is happening right now. as you said, 73 people

are confirmed to have died. as many as 100 are confirmed to have been injured in this incident that occurred just about two hours ago down in the .rench riviera city of nice according to the latest, at least one person, potentially a lone wolf, but we do not know as of yet, plowed through a crowd of revelers on this promenade, very popular with locals. it may haverts, gone as many as 700 meters, potentially as far as two kilometers. that is about half of the length of this promenade. you can understand that many people have been injured, many have been killed, and potentially this could continue to rise even further. and you are in paris right now.

tell me of the situation. are there security measures being taken right now? , i am here on holiday, and we got push notifications that came in just about two hours ago. looking around, we are seeing stepped up police presence, but only in the past two hours did we hear alarms here and there. lookingee revelers , definitely alert of what has been happening. but generally speaking, pretty much the same security we have been seeing since the fireworks early this morning. betty: thank you so much for rushing into the office for us. we will bring you all of the latest developments as we get the headlines. yvonne? yvonne: we will be monitoring that story throughout the morning.

but now, let's see how asian markets are shaping up. here's julian sally. it will probably be a pretty interesting decision, given what we are hearing from france, because you're a set in u.s. andmarkets -- european markets closed before the attack, and they did close higher. the s&p 500 is hitting all-time highs. the bank of england had a bit of a surprise. there is a lot for investors to look at. singapore expected to open as low -- as normal today. ors are awaiting what stimulus plan is going to come. nikkei futures are pretty flat in singapore. futures in australia pointing to outside 1/10 of 1%. broke through 5400 and held on to that level through thursdays session. a little bit of upside coming through. betty, all eyes on the second

quarter gdp number out of china. betty: indeed. what else are we looking at on the economic front? day.tte: it is a big china will take center stage in terms of what we are expecting, but we also have japan coming through. china retail sales, gdp. the f11 summit being held in mongolia today. singapore retail sales do as well. -- due as well. the yen strengthening at little bit, 105.27 at the moment. yvonne: signs are the chinese stock market may be overbought? juliette: absolutely. i will show you this three month chart, down by 8/10 of 1%. but if you look at how the shanghai composite has failed -- has fared over the last six months.

the relative strength index is now at 70. this shows signs that the too of farrket is overboard. of course, we know it has rallied significantly from the slot we saw this time last year. the shanghai composite yesterday easing from those three-month highs. the exchange will open today after failing to follow two promises following a technical malfunction. second disruption in the past year at sg ex, which has a market cap of nearly $500 billion. i feel like it is deja vu all over again. how big of a problem is this for the exchange? reporter: there is a sense that , and that isroblem banking systems. is little clarity.

we still don't know what stx said yesterday. they released five statements, duringng one that said suspension, orders can be put in, taken out, or amended, but they will be matched only when the market reopens. that is all we know. beenber that sgx has under a new ceo for the past year. he took over exactly a year ago yesterday, the technical all function marking his anniversary at stx. -- sgx. the previous ceo left because he was forced to make a public apology. the monetary agency of singapore has reprimanded stx. -- sgx. this goinga, how is

to affect singapore's reputation as a lender and asia? reporter: understandably, it is not good news, especially when there is now a history of technical glitches. it was hit by power outages that happened not just in august, but also in november of last year. here is what one trader said to us. this should have been sorted a few years back. communication and handling could have been better. in the markets, some say this will hurt investors' sentiments, confidence. -- it is already being compared to hong kong. the thing really is, though, as alone -- -- sg is notx sxgx is not alone in facing issues. it looks like there is really a need to upgrade the technology. yvonne, betty?

betty: thank you. the reserve bank of australia has been studying the policy options of some of its peers in case economic conditions put them in uncharted territory. let's get to paul allen in sydney. some of these unconventional measures the central bank would consider? reporter: balance sheet expansion seems to be near the top of the list. that would be a purchase of government assets and long-term research and -- repurchase agreements. australiand market of is not that huge. the rba's have studied corporate bonds as well. as for foreign assets, there is the view that that would be perceived internationally as exchange rate-targeting. those are keywords, extreme scenario. lotbank uses those words a

when talking about this study, and would not use them in circumstances anything other than extreme. yvonne: and while there were the rbaential measures said they would not be so keen on. what would baby avoiding? reporter: negative rates. the reserve bank is not so keen on that option. the other is helicopter money, as it has become known. they are saying it can't have a negative impact, particularly governments funding the policy rather indicative. definitely a hot topic. are things really that bad of australia, that the rba might actually have to deploy some of these measures? it is an interesting picture, because no they are not on the surface. we have year on year growth of at 3.1%. as we saw yesterday,

unemployment is still good at 5.8%. on the other hand, there is low wage growth and low inflation, and that is what the rba is targeting at the moment. the next inflation reading is on july 22. if it is weak, analysts think there will be another cap then. we are edging closer to 1%, and rba notes that rate cuts lose their effectiveness as you get to 1%, so they don't have a lot of ammunition left. betty: paul, thank you. we will head to politics. donald trump says he is postponing naming his running mate after that incident in france. let's go to bloomberg's political reporter tim higgins. he was really close in announcing it is going to be mike pence, but we will have to wait a little longer. reporter: absolutely. citing the horrific attacks,

dold trump said he would postpone that. to be in new york, unimportant event to set the momentum going into the republican convention next week. that is clearly not going to be the case. yvonne: we will have to wait a but for aner, tim, international audience, tell us who mike pence is. reporter: the governor of indiana, and he faces a deadline tomorrow at noon for whether he will seek reelection. the question is going to be, how much can they stagecraft this, how much is the clock ticking for making an announcement? yvonne: it certainly seems down to the wire. so what is the benefit for trump in picking someone like pence as his running mate? reporter: we heard from another potential, newt gingrich, today. wouldd a pic of pence help trump in the midwest, help with swing voters. he does not have the same kind

of high profile that other candidates do, but he has been loyal to trump throughout. tim, thank you so much. much more ahead. ceo,from dichotomy media's next. this is bloomberg. ♪

betty: you are watching "daybreak asia." isuick check of the latest this morning. the future for -- yvonne: the future for nintendo with the new version of its first-ever consul to be released in november. the nes classic edition will come preloaded with 30 classic

games, including pac-man. the company is having success with pokemon go, which brought the company's game to a new generation of kids. stock gained 51% in the last week. betty: trying not to do pokemon go. i'm trying not to get into that. the u.s. widened its antitrust claims against google, saying there is evidence the search giant favored at its own andarison-shopping service restricted how rival ads would display. case thered the european commission first laid out in april of last year against alphabet over the alleged market dominance of android operating system. a takeover of the london jocks -- london stock exchange. the german exchange says 33% of its shareholders have approved is neededr, but 60% to seal the deal. investors gave a green light

last week in a near unanimous vote. the exchange, however, may face opposition from regulators. betty: more breaking news out of the incident, or now what is called a terror attack, by the paris prosecutor's office. truck ramming into a crowd celebrating a steel day -- bastille day. it is a terror attack. we will have more on this, but i am looking at the breaking news, and it has been labeled as a terror attack. in the meantime, let's get back to business and what happened earlier in the day, which is line. it will make its tokyo debut today, but it served 27% -- surged 27% in its outing at the u.s. tech ipo thisest year. however, our next guest remains quite skeptical about the potential for line. joining us is david kirkpatrick.

david, good to see you. guest: good to be here. betty: why are you skeptical? guest: the question about line is, how different is it from the other messaging apps? there are an awful lot, let's face it. line is different in one respect in that it is more entertaining. it has slick or is this, a lot of's -- a lot of games. it is basically a content studio. a company is a content studio in a lot of ways as much as it is a messaging product. unlike facebook messenger or whatsapp, it is not just about sending message. -- messages. it is really about entertaining people. the question is, how much is that difference going to be the world,he users, and the marketplace over time, when you have the juggernaut of another juggernaut

of tencent with we chat. yourself, howk much can they differentiate by being more contract--- content-centric or entertaining? they are a real opportunity. it is not because they are a tech company, but because they are a little more like disney. betty: they clearly dominated japan. there are a few other countries in asia. could there be an opportunity where they take another piece of what'sathat wechat or pp have been whatsa movers in? aest: they just raised billion dollars. that gives them a lot of opportunity. that is optimistic in its own way. i mentioned before the show, i had lunch with a 20% -- a 27-year-old singaporean you -- singaporean woman.

i asked her, what do you think about this ipo? will do, i love it, it great because it is so entertaining. she is also a messaging expert and uses all the services, but she showed me all the things you can do with line and was showing it to me at the lunch table. this is something that is not for me, not a male baby boomer american. people like me will probably never use line, so it will not have the pervasiveness of a facebook product, but it could grow in countries like south africa, mexico, and saudi arabia. seeing this sticker characters walk around, you may change your mind. guest: it doesn't appeal to me quite as much. apps inessaging general, i get it, facebook has one billion users and wechat has 700 million, but if those do not go the way

of line, it sounds to me they would want to -- guest: that's why line might not do so well, because these companies have enormous resources, and we chat already has games is a proud of it -- as a part of it, so they can do more content. facebook has gotten into content. they are paying video producers to produce content for facebook. they have never done that before, but on their main platform they are already doing it. they could be more entertaining, even just in certain geographies . when you are going against companies of the scale of facebook, you have to be cautious. betty: well, david -- juliette: well, -- you talkedl, david, about membership. i think they added only 13 million members last year. line has pretty much peaked.

what else can they do to push this forward? guest: i don't know if they paint or not. -- pete or not. their licensing revenue is promising. the characters are being slapped over all kinds of products, bread and twin the paper. many products -- toilet paper. many products. that part of the revenue is growing. it is still very small. it could be a big opportunity for them, even if they did not radically increase their user base. i do not whirl out the possibility that more young cuteness inlike countries that use line. is this like the next facebook? absolutely not. that's my main point. yvonne: do you think the tokyo debut will do better than the u.s. debut? guest: i think financially, they will take some of their cues from the u.s. market.

certainly investors in japan know more about line than in other countries, so they know what they will be buying. if investors are women under the age of 30, they will probably give it a higher valuation. juliette: thank you so much. david kirkpatrick, talking a little more about line. more, andng to have we will go live to paris with the latest on the incident in nice that is said to have killed at least 73 people. in the last 10 minutes or so, the paris prosecutor's spokeswoman has called the incident a terror attack. ♪

betty: you are watching "daybreak asia." yvonne: we are moments away from that opens in japan, korea, and australia. we will get the latest on the breaking news from france.

a truck has driven into a crowd, killing 73 people in nice. that is according to the prosecutor's office, and it has now been called a terror attack. .et's go to ramy inocencio get us up to speed. what is the latest? reporter: sure thing. we arely, right now seeing that 73 people are confirmed to have been killed in what everyone is saying is a terror attack in the french city of nice. in addition to that, but nice mayor is saying via twitter that the truck that was used in the attack was actually filled with arms as well as grenades, the implication that the attacker had more intent to harm and damage. the mayor also says the attack is the worst event in the history of nice. to get you up to speed, the

events we are talking about happened about 2.5 hours ago in rammed ore a truck continued to ram across a promenade in nice, a very revelers,ace for especially during today, which is bastille day. according to some reports, the truck went as far as 700 meters. some reports say it went as far as two kilometers. there is the potential for the death toll to rise. getting more and more comments from heads of state around the world, the canadian prime minister justin trudeau trading out that canadians are shocked by this attack. -- tweaking out the canadians are shocked by this attack. now that it is labeled as a terror attack by the prosecutor's office, how does that change anything at this point? of the stateterms

of emergency, or the state of alertness here in france, basically francois hollande earlier today said that he was going to lift that state of preparedness that he started on november 13. that was when the product line incident cap -- the bataclan incident happened. looks likead, it that potentially is off the card. we are looking for clarification on that from the french president, who is meeting with the interior ministry. the expiring was set to happen on july 26, but potentially with , it could change. but we will keep you posted with that. betty: ramy inocencio in paris on that breaking news story from nice.

we will bring you developments as we get them. in the meantime, asian markets are set to trade. yvonne: and there are plenty more to come on what is going on in the asia-

>> 70 killed in nice as a truck drives through an area of people celebrating bastille day. down live tokyo debut. techs jump 27% following biggest ipo of the year. welcome to daybreak asia.