, this report of an explosion in manchester. we are awaiting to hear from the greater manchester -- police are set to give a press conference imminently. what we do know is police have confirmed 19 people have been killed in this explosion, 50 injured. it took place at an ariana grande concert in manchester in the past hour or so. we have heard from people saying they have suspended their -- election campaign, the tories. this incident comes as the u.k. is in the middle of election campaigning. we also heard from prime ministers theresa may saying, they are working to ascertain whether this was in fact an act of terrorism. the police have been treating it as a terrorist attack to until they know otherwise.

would be the that worst terrorist attack on u.k. soil since 2005. in terms of the market reaction, we did see that initial project -- flocking to safe havens. it has to be said that markets have remained -- let's get the latest on the markets. says a lot whether investors can take all of this -- we have had this stream of that news, washington over the course of last week. we did see some initial reaction -- nhl flights to safety. think so started to stabilize a little bit. have a look at the british pound, that huge drop against the dollar. it was down by about 2/10 of 1%. it seems significantly look at charts. it has started to recover and is only slightly weaker against the dollar now. take it back to what we're seeing an asian equity markets, mixed. a lot of investors in asia

focusing on what is happening locally. 10:33pm we received reports of an explosion manchester arena in the city center. this was at the conclusion of the are not -- ariana grande a concert. currently we have 19 people confirmed to have lost their lives in the explosion. around 50 casualties being treated at six hospitals across greater manchester. thoughts are very much with those who have been injured and lost their lives, and their loved ones at this terrible time. we are doing all that we can to support them. officers from greater manchester police and emergency services are working at the scene, supporting those affected. we are coordinating an operation in the greater manchester police headquarters. an emergency number is available for all those concerned about

anyone who may have been in the area. -856-9400. is 0161 we are currently treating this as a terrorist incident, until we have other information. withe working closely national counterterrorism police -- the u.k. intelligence partners. this is a concerning time clearly for everyone. become aing all we can working with local and national agencies to support those affected. as we gather information about ast happened last night -- you will understand we are still receiving information and updates that will provide further details when we have a clearer picture. i want to thank people for their support. our last them to remain vigilant. if they have concerns, please

report them to the national antiterrorist hotline. 800-789-0321. 0 it's important here manchester avoid the area around manchester arena, so emergency current services can continue to effectively deal with the incident. thank you very much. >> i was the chief constable of the greater manchester police, making a brief statement there, not taking any questions. let's go to steve who has been on the story. i guess, not providing in terms of facts, but certainly people are asked to call their anti-terror hotline of have information. >> the chief constable of the greater manchester police their speaking, does not want to fan

speculation. he gave the facts that they want to reveal right now. again, we know 19 people have thisconfirmed that in incident, as well as about 50 others being treated in hospitals for various wounds. in hopkins, chief constable said it is a very concerning time for everyone that they are working with anti-terrorism from -- groups -- in the u.k. to piece together what happened. he reiterated, police are treating this as a terror incident until they know otherwise. he gave emergency numbers for .amily members we do obviously have reports of many family members looking for their children, hundreds of the concertgoers are believed to be teenagers or even younger, attending the 23-year-old american popstar, ariana grande 's concert.

we are getting reports is well that neighborhood hotels have been taking in children as they also search for family members to contact them. pictures of missing teen also being posted on two social media as friends and loved ones are searching for answers, also the children.s of their no one has claimed responsibility if this is a terrorist attack -- that's what we know right now. again, being treated as a terror incident until we know otherwise. 19 dead, 50 more injured at least. ,e're seeing cell phone footage obviously the manchester arena, seats about 21,000 people, plus down on the floor of the arena. a fairly large arena. it happens -- the explosion in the foyer. the adjacent hall to the bowl of fiorina at 10:35pm local time,

time, when kong police were first alerted to this incident police have obviously surrounded the area. they are warning people to stay away and remain vigilant. getting something in the last couple minutes from ther -- through u.s. when security department, issuing its statement on the in -- manchester incident saying it is monitoring what is going on in manchester and the u.s. stands ready to assist our friends in the u.k. more of those details, certainly -- that brief press conference really providing more confirmation of what we need -- , 19 dead, 50 injured. this incident is being treated as an act of terrorism until confirmed otherwise. we will keep on top of that. here's first word news in the meantime.

thank you. president trump's first budget has been presented, showing proposed spending cuts of $3.6 trillion over 10 years. the proposal claims to balance the budget within a decade. however, it relies on a tax plan for which the administration has provided precious little detail. a limitation programs backed by many republican lawmakers, as well as overuse -- of accounting gimmicks pre-euro area finance ministers have filled to break the impasse on greek debt relief , delaying the completion of a v and subsequent payment -- payments of about $8 billion in loans. --y will need that much athens will need that much to pay its bills in july. this adds to uncertainty around the economy that some back into recession. the french economy minister says, he expects the deal will be done. quite confident that in three weeks time, we shall find an agreement, compromise among the state for his question i would like to emphasize

was a very the world useful and reconstructive job. supply of ironrd or has grown even bigger with the rise in stockpiles this year a clip sing that for all of 2016. reserve -- expended for fourth week, written by -- risk by total 22 million tons this year. that's easily surpassing the 20.9 million tons at it last year. the price of iron or has stabilized in the $60 region since march -- april on concerns of rising global collect -- production with top demands. south korean president park geun-hye is back in court in seoul today, facing charges of extortion and abuse of power. she arrived wearing a blue jacket instead of a prison uniform what was -- but was clearly handcuffed.

she's accused of coursing big business to funnel millions of dollars to a confidant in return for government favors, the -- jay has also netted y. lee. north korea says it is ready to begin mass production of a new medium-range missile, saying test proved its combat readiness. the missile is allegedly capable of hitting u.s. bases in japan to is quotes, an answer prayer -- president trump's policy. in official statements is more lunches will follow and scientists are continuing to work on future warheads. global news 24 hours a day powered by more than 2600 journalists and analysts in 120 countries. i'm tom mackenzie, this is bloomberg. >> think you for that. we like to bring something to your attention, or interactive tv function, find it at tv on the bloomberg. you can catch up on previous interviews that you may have missed out on, including the one from -- head of google -- you

can also do a deep dive into any securities, the bloomberg function that we are talking about. can find conversations is. -- check it out at tv . worldahead, a whole new -- ss and the rights of artificial intelligence, chinese tech startups. resin robotics. ♪

this is bloomberg markets: asia. i'm haidi lun in sydney. drink from casey j holdings is said to be cutting staff and shutting offices in singapore and mumbai. also structuring currencies for four for clients and withdraw almost completely for markets and european etf's. casey cheese being bored by -- chief financial for more than one pointer billion dollars.

there just one sex of many staff and rely heavily on technology. reports from japan -- forecast for the year for neck -- through next march. the forecast will be accompanied by three-year business plan -- news is expecting after -- income of $360 million unveiled apply for realo estate on the tokyo stock exchange which could happen in july. is launching noble again towards another all-time low after global ratings said it could default on its debts within a year. the agency cut one to racing by three notches. .hey formed of trouble ahead singapore listed noble stocks and bonds -- have plunged. liquidity won't be enough to cover debt 2018. coming up, why investors seem to be divided when it comes to more

motives. take a look at why it's attracting short attention. that's next. this is bloomberg. ♪

>> this is bloomberg markets asia haidi lun in sydney. dublin done a great while, short interest -- resin 60% to its highest in december 2011. let's find out why. what are they saying right now? so hard i guess to create a narrative when it comes to mainland investors, but what are you seeing at the moment? investors,talked to they were saying that it could be very challenging for the company to meet the target.

they want to sell 20 million units by 2020 though that could be difficult. passenger vehicles in china -- failed for the first time in 17 years. there's been a lot of doubt about the strategy as well because they're selling their new product called to be we why waste brand, a high premier brand. that it mayaying not well be -- by chinese customers during the right competition in the markets. being doubled down. thank you so much for that. digital payment startup is officially a bank today, this bank opens its doors after winning the approval of the rdi, raising huge amounts from softbank.

that investment making headlines. joining us now is the founder and ceo -- great to have you on. first of all, this massive amount invested by softbank is quite an externally funding route. what are you planning to do? >> thank you so much. ishares investment first market. in fact that the indian market will -- get the large response like this, just like in our other systems. about $600 million of investment in the last two years in our payment systems. .hat's what makes those leaders now with a large amount of capital being raised -- it will expand. just like deposits come about management -- lending, and so on. it's in the coming of financials companies in the company -- country --

congratulations on getting regulatory approval. can you explain to me -- business model to transition towards financial services? what's your strategy for that? --most people who came in either the people have a bank their debitave cards and are using those systems during -- we more or less are learning -- payment on top of the banking customer. in the later part of the last year, we learned lot of people without a bank accounts -- were also going to the bank causing casualties -- getting wallets. we have options for people to go back. the reason i did that, why not extend this service. --l be with the consumers

people that can get returns come interest, a debit card, checkbook, like every other banker. the same time we will still .cquire new consumers if you know indian banking systems -- it has been focused on the top year of the customer. more or less -- millions have a bank account here. -- total isf people 800-900,000,000 banks yet to be opened. accounts, that is. we could pick this up. >> that leads me to my next question. do you position yourself as a collaborator or competitive to the big banking players? >> a collaborator. going to use deposits that are going to land. instead we will ask our banking other banks to lend

to our customers. traditional banks -- taking deposits and lending. all of our deposits are going -- more or less, all of our deposits -- and the lending from the banks. competition we are complementary, not trying to take them head on. have reported the 220 million total wallets -- accounts. can you tell me what portion of better active, and what you plan to do in terms of how you could potentially monetize this wealth of consumer data? maybe a credit type service would make sense? >> yes, you are right. -- that'ske 12 months less than 100 million. so something in between 90-200 million. adding money and so on.

-- webts customer base are helping underwrite loans for these customers. in fact, also we are helping them doing the insurance on it. we are selling tens of pounds of this every day. with also wrought loans from our partners tens of millions of dollars -- smaller loans like 1000-2000 dollar loans. , it's not on our weance sheets but it is -- underwrite, serve come and help them out on the loan. >> would it be great to say that future monetization of that customer data -- will be an area of growth? >> absolutely. business by driving directives -- through customer data. that's exactly what we will build upon.

when we have invest management with switzerland -- and others, in india, basically can , wegold -- in a one-week will be the largest drillers in the country. basically, you can look at it as a full financial services -- data is the one that allows us to become even better. obviously -- there's solutions to that, the reason we have -- aboutant to talk to you your bread and butter, digital payment. you've clearly have that huge wind coming from the demonetization nations -- now that that is tapered off and the money has mostly returned to the economy, have you seen that spike he's off a little bit? upside.ought to -- and

20%, we had about couple of -- we have a month on month seven -- percent growth interest rate. the numbers are there, three and have times bigger than previously. theare doing millions -- at peak we are seeing 10-11,000,000,000 transactions a day. >> what kind of strategy do you have going into liquid money markets, operations, building up india's version of those financials? >> incredible, it offers liquidity and money market returns. we have spent -- we've sent it for approval. where with one of the local -- money market funds. will be best for

consumers. it will be so easy to get money and, money out, and still get something like 6.5-7 percent yield. we believe we will get larger with consumers because of this investment option there. such a pleasure getting you on the program. founder of 197 communications. a quick check of how we are reacting to market. it was a knee-jerk reaction about the awful headlines coming out of manchester, 19 confirmed dead. seng up to tens of 1%, composite flat, a for around issue more domestic use, singapore of 1% korea leading

gains. commit, a preview of earnings, it is been a tough year for jaguar land rover. plus, a look at general motors plans, investment. this is bloomberg. ♪

is 10:20 nine in beijing. i am tom mackenzie with first word headlines. police have confirmed 19 people were killed and a suspected terrorist attack in northern manchester. 50 others were wounded at the manchester arena. anti-terror officers are meeting. the number of deaths make it the worst such incident since 2005. opec's hopes of draining the oil glut are being undermined by the second largest member. 80,000 more barrels

than agreed by the curbs. the restrictions are expected to be extended through march when opec meets later this week. iraq's noncompliance may persuade others to break the agreement as well. noia says there should be premium on crude sales to that part of the world. with opec held secretary-general indiana and said the cartel had subsidized western bars at the cost of asian kleins for too long. oil, imports 86% of its 70% of natural gas, 95% of its lpg from opec. the european union has finalized a tough brexit position, reiterating a hard line on the potential divorce bill and refusing to discuss trade ties until agreements are made on departure arrangements. the chief negotiator said

accounts must be settled on both sides to build trust. t bill has been put as high as 112 billion dollars. president trump has begun his visit to israel right telling prime minister netanyahu that iran will never have nuclear weapons. withso called for peace the palestinians, but was vague on details, saying he for it to beaver to both sides to sort it out amongst themselves. he will visit the west bank later for talks with mock mode of us. level ofeve a new partnership is possible and will greaterhem bring sector greed safety, greater prosperity to the world. tom: global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. this is bloomberg. i am tom mackenzie. this is bloomberg. haidi: thanks for that.

let's get the latest with julia. surprisingly some green across the region. , we are. yes it has turned around in the last hour or so. by .1%, impacted by the yen, the yen strengthening on news out of manchester. south korea continuing to rise significant me, the kospi up 7/10 of 1% there it good buying in singapore, some weakness in new zealand, and china and hong kong turning around, the csi 300 .2%. you can see that flight to safety following the news out of manchester. investors prior to the news of these attacks were grappling with the latest news out of the trump administration. seen asian bonds

stronger, but in terms of currencies, fairly mixed. the malaysian ringgit up .2 percent on the back of that rally in crude wti over $51 per barrel. the british pound coming back, back to the closing line where it was 1.30. there was a sell down on news of the manchester attack, but more stability coming through, off by less than point 1% against the dollar. in singapore has been suspended after falling quite significantly. it did fall by 32%, a 36 minute plunge after s&p flagged risks that the embattled commodity trader could default over death in the next year. rio tinto coming through with plans to buy back as much as $2.5 billion of its bonds as part of a plan to reduce debt. moody's says it's continued debt

reduction is credit positive, although we are seeing the share lower there. sony stronger them up by .5% ahead of that lunch break in tokyo, saying the level of moviey to improve its miss business has increased. it is doing well in terms of games and consumer electronics, but lacking in the film business. so mood in asia is one of much bad news and taking it in stride. haidi: surprising resilience there. thank you for that. india is forecast to be the largest car market within five years. general motors is planning to back away from its investment there. we bring in our gadfly columnist to talk about why, but were ata motors,ut to earnings due out later. what are we looking at in terms of its land rover unit.

it has not been an easy period. >> thank you for that. motors will be reporting earnings, and 80% for tata is coming from gm, so investors will be keen to see the numbers. will also look at operating profit margins, critical for -- motors. last quarter they had a huge fx loss. that can strain the balance sheet of the parent company of tata motors. haidi: what are some of the other things you're looking for besides the currency impact given the company is under these losses. when do we expect the recovery? >> in the case of the parent

company of tata, they had incurred in the last seven quarters out of 10, huge losses comes of the parent company has a huge dependence on its u.k. unit, and in this case, india has undergone a change in fuel in mission norms, so one will have to watch out what are the provisions the parent company paykept for this and will the of to sell them to an international market like buying, sri lanka, etc. we will have to wait and watch and see what kind of provision the parent company has kept to tide over the losses that will shift to the new fuel emission numbers. we are waiting for the

provisions come of the losses alsocould be incurred, and the ebitda margin and the forks lost that could be incurred for the u.k. unit. haidi: thank you so much for that. watching out for tata earnings later. you've been looking at this turnaround and strategy by gm. everyone talks about what of the could of market india could be. >> it is interesting to see a carmaker doing the opposite of what everyone else is doing around them. india is a difficult car market in terms of emissions come up ,ith the dominance of suzuki suzuki motor's, a controlling shareholding there, they have 47% of the market. the big fight them carmakers, renault, each of

them sold about 10 million globally. in india, it is less than 10%. a very difficult market to break into. for gm come the only way they can do it is to undercut suzuki, but there operating margins are in the middle of the range that mary barra is targeting for gm, so there is no way to break further into that market without damaging margins. analyst says he --s not see suzuki noticing losing market dominance, some why not cut in india? on a makes sense short-term perspective. carmakers on the s&p 500 are the least loved sectors, least loved on ebitda margins than the airlines, which is

extraordinary. is ramping carmaker up exposure to india for a reason, and that is because it is the fastest-growing major market in the world. europe come.s., and all of them contracted in unison in april, car sales contracted in unison for the first time since january 2009. india around 2021 will be the world's biggest car market, so it is a risk not being involved there. think about how shareholders would view a carmaker that in 2001 decided to cut its exposure to china. that is the risk gm has an pulling out at this stage. >> are suzuki across the board dominant, or are there pockets of opportunities? >> that is precisely the point. they are dominant across the board, but having said that, it is the smaller cars where they are overwhelmingly dominant, something like 70% share and

compact cars. there is almost no way you can fight against that. strong, theygm is are only 25 percent of the market, and midsize cars are not as dominant either. that, these are the areas where indian consumers can expect to trade up to this is what we saw happen in china over the past 20 years, people trade up to fancier foreign brands. the motorcycle brands are betting that people will want to trade up. for gm,the opportunity and a tough one to walk away from. are you going to tell shareholders 20 years down the line that we did not play in this big fast-growing market because we wanted a percentage above breaking margin. haidi: short-term pain for

long-term vision, great piece. they may well regret this decision. you can read that on the terminal. potential ofe artificial intelligence development in china. we will be live at the goldman sachs tech conference and speak to the founder of horizon robotics next. this is bloomberg. ♪

haidi: this is "bloomberg markets: asia." i am haidi lun in sydney. a quick check of the business flash headlines. the ownership structure of insurance under examination again. the union is worried about job losses and labor costs.anbang has fought pressure about

disclosure since 2014. theh aviation is to become first japanese carrier to accept bitcoin for tickets as part of a campaign to attract passengers from across asia. the crypto currency will be in place by the end of the year. peach aims to link up with governments and companies to spread usage. the ceo says he wants to encourage more tourists to visit westlund known parts of japan. less well known parts of japan. can't -- can top $1 trillion according to rbc. data compiled by bloomberg has with as and no sells price target of $163.

artificial intelligence is back as thespotlight today world's top rank ago player and google start a match in china. he is the founder and ceo of horizon robotics joining us from the tech conference in hong kong. there has been a lot of headlines and speculation come and clearly a lot of interest in is the what you think single most useful and profitable aspect of how this technology can be applied? i think artificial intelligence is certainly the next huge wave of revolution in terms of technology to transform the industry. i think we are talking about applying artificial intelligence to the internet, finance, smart

homes, smart city, autonomous driving, factories making machines that are more productive, and i think a lot of things can be achieved by applying artificial intelligence, so that is why people are very, very excited by the recent breakthrough of ai, especially the technology of deep learning. i find it interesting recent rise inhe protectionism, fear, migrant labor force is taking jobs, a lot of analysts have said it is not really other people taking jobs, but down to technology taking jobs that used to be done by humans. how much of the should do think that will be in terms of people being put out of work because of rapid advancements and things like ai? the key factor of

artificial intelligence is to speed up the efficiency, so it is not about taking a job from a going to let is human do the jobs more simple, suitableobs are more for machines need to be done by machines, so that is my opinion. if you look at the massive factories like foxconn in china, you can see people working, that a highly condensed environment. i would argue that that kind of jobs are most suitable for machines, not humans. another example is autonomous driving. if you look at the car sharing

business in china, it has really taken off. in the big cities, we have huge painful thinga for people's daily lives, so it is better to let a machine drive the car instead of humans and a traffic jam, and then if you are sitting in a car coming you can have the freedom to do whatever , teleconference with your colleagues, even sleep, so i think the strength for artificial intelligence is to give more freedom to humans. haidi: that sounds pretty nice. that willow if necessarily solve the traffic jam issue when it comes to beijing. one more question, i find this statement really interesting, we need to control risks at the same time. what you see as being the biggest risks to that bold

vision? well, i think we all know artificial intelligence is the megatrend of industry, but in terms of where we push the business forward, especially specifically for a small company, the timing in the business is at risk because there are many verticals like entertainment, toys, smart home, public security, flying drones, so in terms of timing which business, which segment, will take off first, i think especially for a small start up shiftorizon robotics, the

earlier or later matters a lot to a small business, especially for the new innovation driven business, so i think that is the risk. haidi: really great to have your insights, a pioneer when it comes to artificial intelligence. horizon robotics joining us in hong kong. coming up, find out why south korea's newly elected president faces as he compares to meet donald trump. that is next. this is bloomberg. ♪

haidi: this is "bloomberg markets: asia." i am haidi lun in sydney. south korea's new president faces a balancing act when he meets donald trump no month. korean firms are accelerating investments in the u.s., and create problems at home. by enda curran. this is a familiar refrain. unhappy with the trade deficit with south korea. south korean firms are wrapping

--investment and spending ramping up spending and investment in the u.s.. this is like japan during the trade tension of the 1980's and 1990's, responding by setting up industrial production and creating a lot of jobs in the u.s. are talking about expanding operations. south korean companies have been sending jobs to the u.s., setting up operations, but that was more of expanding market base. what we are seeing now is a deliberate push to set up operations to create jobs at a time of a weak domestic economy. , i guess,is a pretty difficult footing for the new president to start on given what he campaigned on. is there an expectation because

the u.s. is driving such a hard bargain that korea will have to do something to appease that? the context is they are security allies. president moon has promised to create 800,000 jobs, once the private sector to be a big part of that, but it will be a difficult sell with the biggest conglomerates talking about sending jobs overseas to quiet the trade hawks over there. youth unemployment and south korea is already almost 10%. we know the country is still recovering from the corporate scandal over the last few months, so there is no mood on the ground for korea to go overseas just to be placating the u.s. if these companies can say we expansionting natural overseas, but the underlying fear is they would do this to tensions, and that might stir some hostility on the ground for koreans who don't

want to see jobs sent overseas. haidi: our energy imports a way to comb the situation? something that is happening already. it is an easy step to take. they are buying more energy from the u.s.. we have seen the trade deficit trinka little bit. we have seen other big korean m&a deals help to shrink the debt. it does not show any signs of decreasing completely anytime soon, so it will have to be more than buying energy. the have to be a structural shift as well, and that's why president trump is keen to see more south korean investment in the u.s., just the way japan is doing. haidi: challenges on both sides for two new presidents here. still ahead, angie and david will have the big stories of the day. today we are still watching for developments at of manchester. david: we will be watching for any further market reaction.

as well, the deputy governor of the boj also scheduled to speak at any point, so we will bring you that out of tokyo. we will have some good guests in the next hour. we will be asking the german bund this bank about policy. sachsurned to the goldman tech conference. goldstein and how they plan to take on netflix, and whether the two can coexist. lots coming up on the program. stay tuned for this one. this is bloomberg. ♪

♪ lau.: i am angie daivd: i am peter elstrom i am david ingles. welcome to "bloomberg markets: asia." ♪ at least 19 concertgoers killed in the blast in manchester. anti-terror officers holding talks in london. as investorsd day consider the latest from washington could reports say

trump wanted confirmation there was no collusion with russia. tradingoble asks for a halt after plunging to an all-time low. s&p warns it could default within months. daivd: hong kong stock fortunes are tied to tencent like never before. right, when you look across markets, this tuesday's session, a cloud over events in london. gmm ,ook at my have a look at all markets, flat. japanese yen, flat and has given up most earlier strength. the bid we aret getting as far as the bond markets are