markets to get on board. markets."loomberg juliette: a little bit of a mixed session in asia after yesterday. we saw the index at those levels we have not seen since the beginning of august. strength coming through in japan's market today and also energy players doing very well on the back of that continued rise we are seeing inquiry. pretty flat in hong kong and downside in china. the stocks are doing very well after we saw forward leading the leading the way. floor.on on the factory it is all about what you are seeing in that bond movement. let's see that continued selloff

coming through in bonds with yields climbing. up by six basis points. weakness coming through in the offshore yuan. we saw it weakening yesterday and we are watching moves coming into the singapore dollar that has fallen the most in the month against the u.s. dollar. generally broad strength coming through. market falling to the lowest levels. rishaad: let's have a look at the hong kong executives response to the weekends of violence on the territory streets. su keenan for the first word news. hong kong chief executive carrie lam has appealed for an end to apps of vandalism -- acts of vandalism after some targeted subway stations over the weekend. she said the government is continuing to work on a platform

for dialogue with the public in order to resolve tensions in society and said there was no need for interference in hong kong's internal issues. treasury secretary steven mnuchin says the u.s. and china have made a lot of progress ahead of renewed trade talks next month, adding that the administration's objective is to win a good deal. he insists the rumbling trade wars had no effect on the u.s. economy so far. mnuchin said the chinese team agreeing to come to washington is a sign of good faith and the pboc governor may part of the group. will trump: hopefully, it all work out. we will see. we will be talking next week. we are talking now. they will be coming to the united states in two weeks or three weeks and we will see what happens. unless we are going to make a good or fair deal for our country, let's face it. you cannot go back to a situation where we are giving hundreds of billions of dollars , where that become

standard fare. not going to happen. we cannot do it. su: the newspaper of the chinese communist party is taking aim at one of washington's most hawks, saying comments from peter navarro are "unconstructive lies." the presidential advisor repeated accusations of what he devon sins,s savvy including cyberattacks, forced yuantransfer, and manipulation. they say such comments are preposterous. it may not be as bleak as it seems in singapore. anecdotal evidence suggests jvp will recover in this third in aer after shrinking previous period. that is the view of economists. it would mean the city state would narrowly avoid a technical recession. however, the singapore government is projecting growth of 0% to 1% for the year.

global news, 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am su keenan. this is bloomberg. government balance the budget. it does include air india. let's bring in the aviation minister. thank you very much for joining us. the question is, this is an airline which has been up for sale. how much of it will you sell or can you sell and who is going to earth will buyon it with so much debt in the balance sheet? start by telling you, first of all, thank you for

having me on the show. as our national carrier, air india, is concerned, the last part of your question, who would be interested in buying it? perhaps the context needs to be understood. thems 120 planes and 60 of are owned by the airline. it has 80 domestic groups. it has 40 international destination flights. it has an excellent safety record and no matter which way you look at it, it is a viable airline which even in terms of its operating profits this year, it will do well. the only issue is the government should not be in the business of running airlines because it has an unsustainable debt. the commitment to privatization india is total. i would not worry too much about the previous attempt to disinvest. maybe we have learned lessons from that. why would anybody wish to acquire it?

because of the assets it has and 7% sector, with a penetration, is growing at a rate of 17% a year, so i think it is unattractive buy. it is not for me to try and speculate as to who the potential buyers would be. you know, if you are even dealing with information which is in the public domain, you could list any number of them. as to what will happen to the debt, yes, some of it has been retired. last time, when the attempt was made to privatize it, there was an attempt to retain 26%. maybe that was a disincentive. all i can tell you is the government has an ultimate mechanism which is the group of hometers headed by the minister of which i am a member. we will meet shortly and we will outline and prepare an approach to the privatization of air india. minister, would you

relax the rules and allow a foreign carrier perhaps to buy the airline here, change things around as well, because you have fdi norms which do not allow a takeover of air india? would you be open to that? hardeep: i do not think it would be appropriate to share my views just after an alternate mechanism has been set up. i think the expression of interest has to be floated and we have to look at all the suggestions which are on the table, but whether we go for the stipulation or do something, that is for the government with the ultimate mechanism to determine. all i am saying is the commitment to privatize the airline is complete and total and we will go ahead with it. juliette: minister, when you look at some of the other infrastructure problems as well, you have a lot happening at the

airports. what about the plans of parking slots, and what about the plans to try and address this massive shortage? well, if you have a situation where a sector is growing at 17% per annum, you will have problems both at the airports. traffic isairline handled by two airports. mumbai and delhi. fewave taken a decision a months ago to privatize six additional airports, which we are proceeding ahead. all this is a work in progress, but no one that i know of is suggesting there are any hurdles in terms of obstacles. yes, when you privatize or decide to privatize an airport, there will be suggestions that should remain in-state control or there will be suggestions from a particular state government that they would prefer to do it and many of our

airports run by the authority are actually profitable entities, so governments are in the business of getting the best possible deal. public-private partnership or privatization. at the end of the day, it is only the commercial operation which is being privatized. you have the airport authority, the ministry of civil aviation. it is a strong area of economic growth and we have every intention of ensuring that this process proceed ahead, whatever, you know, what may be perceived you know,l, hindrances or obstacles coming through the course. i think it is well on the way of progressing. rishaad: you have spoken about the local manufacturing of aircraft. how do you plan to do that? are you talking about speaking to some of the big names and having factories in india? hardeep: well, for the moment,

all i am telling you is that two areas of priority are we must have the maintenance and repair operations done in india. these were the two points. the finance minister put the budget speed in. make muches not sense. if you have 690 planes in the and to send the engines servicing and repairs to neighboring countries. 690 planes in at the air. we should have engine manufacturers, repair facilities, maintenance facilities. that would make much more economic sense and we would have the airlines of other countries coming. that is an approach we are actively considering and i am very hopeful we will go down that railroad and engine thefacturers will look at commercial advantages of

location in india. rishaad: minister, many people, contributed toey redtape. it is difficult to fly there in india. how are you dealing with cutting that redtape? it is a nationwide problem. i am sure you would agree with me, minister, and that is one of the objectives of the government. what can you do to make life easier for airlines and the aviation industry has been calling for turbine fuel to be the gst. in where are you on all of this? hardeep: there are many issues you have raised. one is redtape. insofar as redtape is concerned, i will be the first to tell you that the government, which has now got a massive mandate for a second term, mr. modi's government, it has not only reduced redtape considerably during the first term, but whatever is remaining as well on its way out.

that the cessation of operations was due to redtape. i would take serious issue with that. we are in a very interesting situation. the people who make aircraft, they make money. the people who run airports make money. the tourist industry makes money. i could give you any number of examples of airlines in the united states, europe, not being able to succeed. maybe it has something to do with the business model. i am not going to speculate as to why they ran into trouble. after jet airways ceased operations in april of this year, we had 590 planes in the air. i think every few months. i would like to encourage airlines all over the world to

look at their business models in terms of seeing where the stress comes in, why problems take place. i am very, very optimistic. i mean, if the sector was not growing at 17% domestically, we had a blip in between. to do withing redtape. i think there are more airlines wanting to fly in india. i am constantly being approached by airlines both located in singapore, airlines in the middle east, the gulf countries. singapore has 500 flights a week to 18 destinations in india. they want more. we have several, you know, demands for increasing the capacity. indian airlines, if they were to acquire wide-body aircraft, which i know they have plans to do that, many of these rectification's will take place through market mechanisms. these are all private carriers. we are determined to ensure that they get the best possible.

you mentioned aviation turbine fuel. i approached the finance minister. i am hopeful that the issue of withne fuel can be dealing patrol and diesel. most use petrol and diesel to raise revenue. many states individually reducing taxes on it to encourage airlines to fly there. juliette: minister, i wanted to ask you about the impact of the grounded 737 max 8 and whether or not you are continuing to follow what the fda is saying or is india taking its own stance and looking into terms of how or whether or not that airline is going to come back into operation? well, there are grounded planes of the max which are there. absolutely clear. the aircraft manufacturer in this case, boeing, has to rectify those. i am encouraged by reports i received that rectification is

well on its way. the international regulators will have to certify that those planes are on. i do not think india or any other regulator is going to jump and do the clearance of certification until those who are designated have the prime responsibility to do that. if it can be done quickly, i am sure we will take a call on that. rishaad: thank you very much indeed. that is indian civil aviation minister hardeep singh puri joining us from singapore. still to come, apple's most important day of the year. what to expect from the launch of new iphones. next, china'sup factory deflation deepens. where jp morgan is placing its bets. stay with us. this is bloomberg. ♪

juliette: china's producer price index fell further into contraction in august, signaling a worsening economic slowdown that threatens to have deflationary pressures to the global economy. let's get more. we saw factory prices falling point 8% from august the year from august the year earlier. the consumer price index rose faster than year, the median estimate of 2.7% and it was driven by a big surge coming through in pork prices. let's bring in laura fitzsimmons from j.p. morgan australia. great to have you with us. i have a chart on my terminal showing that big increase you saw in prices as a result of the swine flu which really implanted or game that lifted to overall inflation. as we mentioned, it is contrasting with the deflation

on the factory floor. how does this away into what china needs to do in terms of stimulus when we already have the rrr cut announced on friday? laura: it makes it very difficult when we consider you have clearly got consumer prices arriving faster than expected. on the producer side, much weaker again. that spread continues to move to the wider side. clearly something i think represents, for us, the difficulties in trying to rebalance the chinese economy amid the trade war and in addition of course, to issues around the pork industry as well as. they are certainly not about to go away anytime soon. there is a plethora of issues. short-termm are more in nature but many are reflective of that deeper transition that needs to occur as we move away from the industrial section in china and more towards stimulating the consumer. right now, we are facing

difficult headwinds for that. juliette: in that sense, what can this targeted stimulus look like? is not going to go back into the property sector which is part of the problem anyway that increase in property sector? and then driving that divergence between the upper class and the struggling middle class? laura: that's right. that is certainly one implication. cpirally, if we look at the number, it probably does limit, to an extent, the amount of easing that can continue from here. and that is where it can get quite complicated for the chinese authorities going forward. also, it represents that you cannot continue to support the industrial sector. maybe the way it has been in the past. right now, we have continued to see a lot of regional support and generally, in terms of infrastructure, bonds, or packages along those lines, so a lot of the stimulus has limits, to an extent and it is really

not heading in the direction that may be the chinese authorities would have liked to have been heading into at this stage. unfortunately, the trade war has occurred, and even though we have some promise of talks in october, i think we all know we are far from out of the woods just yet. what are the key drivers at the moment with global bonds and looking at this retracement taking place with bond yields after this rally we have seen right now? what is your take on it, laura? laura: yes, we have seen around 20 basis points i guess when we look at u.s. 10 year yields or years out ofe 10 the last week, which is a significant retracement. we think a lot of it was to deal with positioning. the market was driven to very low yields throughout the month of august. headlines, stair and helped to trigger that reversal. the extent of the move signified that there was putting large

positioning from real money accounts and certainly evaluations had looked a bit stretched and people got a little bit complacent with yields expected to stay suppressed for some time. clearly, that can reverse outkly and i think the risk turn for the central banks over the next month, where we have clearly the ecb, the fed, and of course the boj as well, in addition to what we have said from the rba. rishaad: larry kirkley, mario draghi's last one, last ecb meeting. he is likely to go out with a bit of a bang rather than a whimper. how would that manifest itself? laura: our case is that quantitative easing will be relaunched. purchases from the next month which is more than the market is expecting. we only expected a 10 basis point cut for the deposit rate with no tearing which might be less than the market might be

expecting. overall, we expect the ecb to extend forward guidance to take us through the transition period away from draghi's. always -- draghi's presidency. rishaad: laura fitzsimmons joining us in sydney. a lot more coming up right here on bloomberg including a look at some of those equities on the move as we head towards the china lunch break. this is bloomberg. ♪

juliette: a quick check of the on the and nissan is verge of losing a second later in less than a year. asked to stepen down by monday amid the fallout that he and other senior executives received more pay than they were entitled to. nissan continues to struggle after the arrest of carlos ghosn last year and is facing

increasing scrutiny over its corporate governance. its largest investor are said to be discussing the possibility of shelving its anticipated share sales. softbank is pressing them to hone the ipo amid investor concern about losses, its business model, and its corporate governance. they had been expecting to hold a roadshow to promote the offering this week. rishaad: let's have a look at what is going on now with these chinese markets as we head towards the 90 minute lunch break. has been a what story lately. some of it attributable to this ppi read which came in slightly better than expected. we were looking for a decline in consumer prices. is show adoes move to the downside for nominal gdp growth and also for industrial profits as well as. that on top of an inventory

write down here as well and a lack of the monitor pricing power, too, for chinese economy. comp, .4% lower. this is bloomberg. ♪ here, it all starts with a simple...

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upiette: it is almost 11: 5.3%. of course, little bit of su: the yen is rejecting the call for an early general election. lawmakers voted 293-46, a

landslide against the idea. parliament will be suspended until october 14 while johnson continues exit negotiations with brussels. he has repeated his determination to leave the e.u. with or without a deal on october 31. devicestter how many this parliament uses to tie my hand, i will strive to get an agreement in the national interest. , here. >> this government will not delay brexit any further. avoid anyin order to questioning of what he is doing or not doing, simply to avoid discussion about yellow hammer, particularly to avoid any discussion about the proposals he has or has not or do or do

not exist that have been put to the european union. su: hong kong now. carrie lam has appealed for an end to acts of vandalism after some protesters targeted the city subway stations over the weekend. she said the government is continuing to work on platforms for dialogue with the public in order to resolve tensions in society. he said there is no need for foreign interference in hong kong's internal issues. disagree with foreign interference in hong kong issues. and deeply regret such moves. we all have to be respectful to each other, especially on an international level. u.s., secretary steven mnuchin says the u.s. and china have made a lot of progress ahead of renewed trade talks next month. he adds that the administration's objective is to win a good deal.

the trade war has had no effect on the u.s. economy so far. mnuchin says the chinese team agreeing to come to washington is a sign of good faith and the pboc governor may be part of the group. global news, 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am su keenan. this is bloomberg. rishaad: let's quickly have a look at the markets. we would be looking ahead to the indian open, but not today. markets closed for the most in holiday. -- muslim holiday. a mixed bag, in essence. a weaker yen. the kospi up. chinese equities are down as they went into their lunch break. we have a lot of action out of the bond market. 10 year yields, the highest in

almost a month. let's look at the position we find ourselves in. we can find what else we have going on. hong kong hosting the belt and road summit. it brings together business leaders. it was seen in a bit of trouble. companies are looking at this. have been advising a range of multinationals and commercial strategies in asia. ago, you were enthused about the whole belt and road initiative, extolling its virtues, and giving a very, very long and interesting talk. are you as enthused now as you were then? >> it is an historic, multi -- aid initiative -- multi-decade initiative.

we have billion-dollar rail projects. it evolved from that. we are beginning to talk about more meaningful projects, related to manufacturing, for in this. these are more exciting. it is a course correction, which is very much welcome. rishaad: there is a lot of criticism on the belt and road which wasthe port then taken over by the chinese. this is the problem. it is often seen as a new form of colonialism, particularly in africa. how do the chinese get rid of those optics? ben: here is a major challenge. i was in kenya myself. fabulous piece of rail. it may never make money. these sorts of projects cannot be repeated. there is a growing recognition in beijing that these projects cannot be repeated. they are problematic. rishaad: they are so opaque,

some of them. the cpc, the pakistani economic corridor, that also, you know, has opec financing behind it. the railway has opec financing as well. when are we going to get transparency? that will be key, shirley. ben: it depends -- surely. ben: it depends. when we talk about these more competitive markets, larger markets, transparency will be fundamental. we are going to see greater collaboration. when chinese soe's team up with other firms from around the world, transparency will be fundamental, so we are going to start that change and it will be fundamental to the sustainability of the initiative. these type of projects you spoke about are always a concern. we do not want to see them repeated too often. movinge: thinking about to southeast asia. a lot of concerns about the impact of the u.s.-china trade

dispute, but you have been in vietnam recently and think that could be a beneficiary and some of the initiatives. ben: absolutely. the dispute is accelerating a change we are already seeing. manufacturers are beginning to relocate their sourcing to other countries. bangladesh and vietnam in particular are major winners. that is good news because it means many of the investments into the ports, the roads, the rail, the power in these countries, especially countries such as bangladesh and vietnam, all of a sudden become more commercially viable because the exports generate revenue. that is one of the challenges of projects in kenya and pakistan. we have not yet seen that strong export growth that would make these projects more viable. juliette: what are some of the other countries you think could benefit? you mentioned bangladesh. are there bigger growth opportunities for the lack of india in that space, too? ben: absolutely.

southeast asia will be the primary beneficiary. over time, india is a clear potential winner. i was in delhi, speaking with the minister of textiles as part of the delegation. leading manufacturers. huge.portunity is leading manufacturers are fabulous out what they do. the challenge is the gap between those manufacturers and the next level, the sme's, so it is difficult to build scale and vertical supply chains. that is critical to success. india is on the right track but has some way to go. rishaad: this trade war, how does it change this? as we said in the introduction, some emerging markets are now signing on when they did not before. is it forming a polymerization in the world, in your view? ben: there is a risk of polymerization. for those countries that benefit significantly from china, what will continue to trade in

greater scale with china, so the risk of polymerization is a worry, but more of a risk in markets such as east africa, pakistan, even bangladesh. southeast asia, we are less concerned because these are markets which are equally dependent on japan, the united states, as well as china, so these markets will always prefer to ensure that they have relationships with all the major trading partners. polymerization is always a concern. rishaad: the trade war, do you think this has heightened it? has it changed the way belt and road is being organized? ben: in the technology sector. huawei struggled to gain access to markets in the united states and potentially elsewhere in the developed world. they are already making very good money in the belt and road markets. they will continue to want to focus on the markets and grow their business in those markets and without that trade war, we might not have seen that we prioritization, if you like.

juliette: it is interesting. you're looking at some of the positives from the effect of the trade dispute. curious as to more of that thought in terms of how the tech companies of smartphone makers are going to continue to be a front-runner, too. ben: these technology companies, smartphone makers, they are some of the biggest beneficiaries of the belt and road economy. smartphone makers have a large market share if not a majority market share in most markets wherever you grow across south asia, southeast asia, and even east africa. they are branding all over stores. the ferns have done very well. inas recently in islamabad pakistan. i had somebody say i just sold my firm to the company. these sorts of stories are becoming more popular. the interest of best international practice. juliette: you mention a lot of the upside.

what do you see as more implications in terms of stopping some of these facilities or projects from going on? the funding could be drying up as well. ben: that is always a concern, particularly in markets that are still in early stages of development. high debt levels or they may struggle to pay back their already existing deck. these are concerns and this is where we need to see greater transparency. we need to see greater collaboration between chinese soe's and multilateral development banks and other projects or contractors, whether from korea, japan, or other markets. that is fundamental to making these projects more sustainable, so it is quite interesting that at this week's belt and road forum, project viability, project sustainability, dominate the discussions because there is a growing recognition that this is where we do need to see change, particularly in those smaller, more indebted markets that you reference. rishaad: has it also been

concentrated in the minds of administrations around the world as they need to be doing more, particularly in the u.s.? are you seeing any evidence of that? ben: it has certainly raised awareness that more needs to be done. rishaad: there is always a geopolitical part to play with this as well. you cannot get around that. ben: you cannot get around the geopolitics. many markets have lost focus on the opportunities and what we called belt and road or the silk road economy. there is a lot of talk but not much action. that is where there is some doubt. where there is action is part of the multinationals. road,ecause of belt and they are realizing they have to talk between regions. a banker in hong kong will pick up and call one in dubai. that is a fabulous change at the commercial level. when it comes to politics, less change them you want to see.

ceo of: the founder and silk road associates. coming up, nissan. the challenges ahead for the carmaker. we have the chief executive, saikawa, ousted over a pay scandal. this is bloomberg. ♪

juliette: it is time for the stock of the hour with david ingles. tell us why. relatedhe deal. just in case of course, we are vehiclethe investment has wireless digital services. malaysiaboth listed in as well. you can see very sizable moves today, which is why we are

picking the stocks as well. the volumes coming through on both these, certainly not what we are used to seeing for this time of the day or for those particular stocks. .here were talks it happens to be the parent. there were talks between those two parties to create just a massive regional telco giant. on ourlks, based exclusive reporting, no longer taking place. shares were closed and suspended yesterday. hence, we are seeing reaction. the stock, 15% down. biggest drop in nine years here. have a look at our bloomberg chart. i have it from here on my bloomberg terminal. analysts have come out. stock covered by 20 analysts. the king at recommended consensus. looking at recommended

consensus. at least six analysts have come out. the region you see this plunging from closer to four to below three, analysts stamped a sell rating on the stock. you can understand why that is the case. maybe unrelated, a conglomerate one a preliminary approach combining potentially their indignation assets there as well. usually, it is the stock of the hour. two related big movers in malaysia and for our bloomberg clients, in case you were wondering how we came up with these things, run this function. we mentioned it earlier, substantial volume coming through for the stocks ahead. juliette: thank you so much, david. david ingles in hong kong.

alibaba is facing the end of an era today as the cofounder steps down as executive chairman and hands over china's biggest e-commerce company. they have revenue of more than $56 billion last financial year have china's wealthiest man. this is the man behind the story. ended up teaching english more than 20 years ago for just $15 a month. in 1999, he jumped on the internet train, setting up a platform for business-to-business selling. that was alibaba. after that, he took ebay -- which met individual sellers trade with each other. it was a milestone. alibaba listed division in hong kong only to delist five years later as performance sank. however, the company made a big comeback in 2014, raising 25

billion dollars in new york with the world's biggest ever ipo. >> everybody should have a dream. what if that dream comes true? >> it leads an empire that has expanded aggressively. the challenge ahead, in the face of growing competition and a slowing chinese economy, it may be sustaining macros. they warned about the u.s.-china trade war, saying the impact could last decades into the future and urged businesses to find opportunities from it. jack ma has not forgotten his roots. december 10th is teachers day in china. rishaad: the end of an era, jack ma stepping down. less than a year after the fall of carlos ghosn, the board is asking hiroto saikawa to step down following the scandal. we will have that story and a

look at what is going on at apple because new iphones are on the way. i will tell you what to expect on apple's most important day of the year. this is bloomberg. ♪ ♪

juliette: you are watching you arek asia -- watching "bloomberg markets: asia." rishaad: nissan has lost another leader. the board asking the ceo, hiroto down.a, to step let's get to our business editor in tokyo, dave mccombs. paraphrase a famous quote, oscar wilde's famous quote, it is to lose one ceo

could be regarded as a misfortune. toluse to any year and looks like carelessness. how big a set is this -- setback is this? dave: this is a huge blow for the carmaker. all good. is not at they are moving to autonomous driving and that is creating huge r&d costs and a big transition. companies are forming together. there is a lot of consolidation going on and nissan needs to be part of that. this interruption in their leadership. the company is essentially leaderless now. it is going to be much more difficult for them to navigate the relationships it needs to maintain and extend in order to play a role in that transformation of the industry. part of this three-way alliance with mitsubishi motors and renault, that has been left hanging out to dry now. the second ceo in a row has had

to leave under a cloud of allegations. worse than that, going ahead, we do not know that this is the end of the scandal itself. there could be further allegations. these initially came -- these were initially revealed by greg who was arrested along with carlos ghosn almost a year ago, so this has been on spooling slowly -- un slowly. juliette: what are some of the parallels with the allegations against carlos ghosn on pay and whether or not you think this could affect his case too? dave: that is another striking thing. the initial allegation against carlos ghosn that got him arrested, led to his arrest, anyway, was that his pay was misstated. it turns out the same has taken place now for saikawa, hiroto andawa, the current ceo,

this raises the rather obtuse question, did he know about this pay arrangement as he was calling for an investigation of carlos ghosn? done in, that was all secret without cobblestones knowledge, without greg kelly's knowledge, yet greg kelly was in on the plan to adjust the share prices, which is how that pay was judged to be fraudulent for or inappropriate for hiroto saikawa. it had to do with the adjustment in the share price. he knew about that as they were accusing carlos ghosn so that could undermine their credibility in this case. juliette: dave mccombs in tokyo, thank you so much. a quick check now of the latest business flash headlines. a chineseeur -- billionaire is putting his face in chinese cars. his group is investing in a group as part of efforts to diversify.

he made an investment round that raised 55 million dollars to help them launch an air taxi service commercially within three years. uber eatsber is -- will continue until october 14. the parent company refocuses on its core business of ridehailing. uber says it has seen very hopeful signs of regulatory reform in korea and closing down the local food arm will allow it to commit more resources to other markets in asia. juliette: a group of 50 attorneys general across the u.s. have launched an antitrust investigation into add practices at google. -- ad practices at google. they say they are harming competition and ask whether google users are actually finding the best search results. cook will take the stage later today to unveil the

latest iphone. this as the company -- this is the company's most important day of the year. the iphone a castle more than half of apple sales. for more on what to expect, we are joined by our technology editor. what is new with the iphone upgrade? bed: this year is going to pro. apple will introduce new pro models, keeping in line with his previous models. they are the same size. you have a regular pro and a romax, and you have the 10 r. is all about the camera. the pro models will have a third camera and it is going to be ultra-wide so it's going to get more architectural shots and it will be great for tourists. expecting shatterproof,

shockproof, waterproof hardware improvements. the iphones apple was selling, they will probably be pricey once again, but they should last little bit longer. rishaad: tell me, how do these new iphones -- we do not know quite what they are just yet. how would they compare with competition from the likes of samsung, huawei, and indeed, google? vlad: actually, apple has some catching up to do. manye, it does not sell as phones, obviously, as apple or samsung, but it's cameras have been leading the way. huawei has done a great job with photography. those are the things apple is trying to catch up on. also improving video. apple has had a lead in it and it wants to extend that going forward. like charging.s

apple is introducing that. juliette: we are going to have to leave that there. we are looking forward to it. thank you so much. this is bloomberg. ♪

>> bluebird daybreak middle east. our top stories this morning separatists third defeat as mps reject demands fray snap election. he is now promising to work for deal with the european union. treasury secretary steven mnuchin and said the u.s. china has made a log of progress ahead of renewed trade negotiations. but trump missed talking tough again. >> unless you're going to make a good deal or a fair different country, let's face it, we cannot go back to a situation where giving hundreds of billions of