analysts at piperafterry say mainland china accounted for 21% of apple's revenue in the quarter. of course there are challenges for apple in china, including local rivals who are competing fiercely for customers. but on a conference call with analysts cook didn't sound concerned. >> the local competition was there this quarter and has been there for many many quarters before about the local competition isn't new, i think we did really well there i'm proud of how we're doing. >> apple's stunning iphone results help so farren the blow of another disappointing corner for apple's ipads. apple says it shipped some 21 million ipads a drop of nearly 20% from a year earlier. part of the problem is that consumers don't upgrade their ipads as quickly as their iphones. cook remains confident in the product. he talked about the company's new partnership with ibm which is helping apple move the ipad harder into the enterprise. >> i think the partnership with ibm. and the work we have going on the enterprise is profound. i think we're going to change the way people work. i'm really excited abou

macau is an 11-square mile enclave on the southern coast of mainland china. for over four centuries, it was under portuguese rule. today it is the closest place to china where gambling is legal. in 1962, chinese businessman stanley ho was the first person to usher in a new era of casinos in macau. for decades, it raked in billions. he paved the way for other investors to make it big in macau. today, one of those investors is stanley ho's son, lawrence ho. >> my father revolutionized the casino market 40 years ago in macau. he brought in a new style. throughout my career and life, it has been about trying to prove myself. >> it was important to you to prove that you could build a company from scratch? >> yes. definitely. >> determined to break out of his father's shadow, he partnered with james packer, himself the son of a famous tycoon. together they formed melco crown. their properties include two extravagant resorts. >> city of dreams is the ultimate destination for urban entertainment in macau. >> lawrence refers to the "city of dreams" as an integrated res

mainland china, sue, up 100%. ipad shipments down nearly 20% from a year earlier. macs coming in at 5.5 million. he was very excited about apple pay telling us that the service is off to in his words, an unbelievably strong start. what can investors expect in the months ahead? for one, remember apple usually updates its capital return program in the spring and certainly apple can afford to give more cash back to shareholders. its current cash pile $178 billion. while apple had teased the i watch as early as this year we now have a firm date. in april. tyler, back to you. >> all right. we're going to bring in john ford. iphone sales, blockbuster posting this stuff, john. mac sales, ipad sales, a little bit. ipad sales are down. still a 9 billion dollar business. amazon and others are selling tablets for much cheaper. retail, very nice trick. they've got hundreds of stores expanding in china. speaking of china, that's another trick. they're managing to grow revenue about 100% in mainland china at a time when a lot of other people are having trouble making inroads the

if you think of san francisco with the largest population of chinese outside of mainland china. it becomes a key part of who our fan base is and we reach out to our fan base of all races, carried, ethnicity. really for china this is a place where we the warriors have traveled. harris and damion has traveled. i have traveled with the olympics. it really shows you how the nba can be identified on a global bases. what i found out in china is that every city in china must have a basketball court. that's by state law. no matter where you are in beijing, shanghai, places the warriors have visited or the agricultural areas there is always a basketball and always someone like tramd green is. we have an account for the very first team to get involved with social media, internationally in china. it's important to us. we have a special unveiling today that links the warriors specifically with something very special in the chinese new years. >> let's hear from eric welch. >> let's hear it for bob. [ applause ] . >> we are going to have some fun today but i want to do something a little seri

it happened as he was trying to travel from hong kong to mainland china where apparently it's more expensiveed to be more than $48,000. >>> here stories we're following president obama's former presidential aide reggie love spilling memoirs including this spicy won. during a campaign stop in 2007 senator obama walked in on him when he had a female guest in his hotel room. yikes. he said the senator quickly apologized probably turned ten shades of red and turned around. >> laughed. >> two police officers from albuquerque, new mexico, are facing murder charges for shooting a knife wielding homeless man. one officer fired a stun grenade. when he debate respond, the officer shot him. that man later died. seven more cases of measles have been linked to disney theme parks in california. according to california department of public health 26 people in four different states have now contracted the illness. the patients reportedly visited the disney parks between december 15th and 20th. this one just kills me. it is a love story 20 years in the making. a minnesota couple married after meeting as flow

so we are right across mainland china , we are growing fast in australia. every old western european country where every state in the u.s. and across canada, going fast into south america. >> you have spent your life protecting animals but recently, you have been involved in trying to help save elephants. can you talk a little bit about that effort? >> the poaching of elephants and rhinos and other animals has increased so dramatically and it's become such a money earner. you get criminal cartels coming in and the money from slaughtering elephants and selling the ivory is actually supporting some of these terrorist groups. and, of course, it's the demand in asia. and so we are using our roots and chutes groups in china. i wouldn't say we are using them because they want to do it but, you know, the slogan is: if the buying stops, the killing stops. and a lot of the chinese honestly believe that elephants shed their tusks and they don't understand the horrible slaughter and suffering, suffering of individual animals whether it's elephant did, rhino, tigers, a

all the progress that has been made on our strip, blake and his family moved to america from mainland china blake, tenure so cannot speak a word of english. we work with a young brother and give him some foundations to get his educational self together and to see him this day ,, and aspiring businessman on ocean avenue just so elated. his is america. as an opportunity to support our young people. there's absolutely nothing wrong -- opposition am hearing the moralistic stuff that people are born. 18 years old have a choice to make. you can't stop people from smoking or wherever they want to be. i'm hearing people trying to do. it's not right. this is america. bottom of this young man deserves an opportunity. he deserves our support. he can be as a success story or person coming from another country coming here and being successful paying taxes and that's the bottom. when used. let's be right about this. please support. thank you so much >> thank you. next he grew, please >> thank you good afternoon to posted this a first-time meeting is him. last year they spoke on the cigarettes. mr. -- whe

the plunge in mainland china pushed down hong kong's bench mark hang seng. it was down 1.5%. here in tokyo the nikkei managing to close above 17,000. barely there. up 0.9%. australia's main index snapping a five-day losing streak to close up 0.2%. well major bench marks in europe are looking like this at this hour. all of them are in positive range right now with paris turning around. it's up 0.2%. london gaining, as well about 0.2%. the frankfurt market is up 0.6%. investors are waiting for the policy meeting of the european central bank on thursday. attention is on whether the ecb will launch a bond buying stimulus program. we're seeing the euro still near its 11-year low against the dollar at 1.1601. dollar/yen is at 117.31. strong u.s. economic data prompted buying of the dollar but the rattle on the shanghai market led traders to turn to relatively safer assets including the yen and bonds. now, that includes the benchmark ten year jgb. its yield dropped to 0.2%. >>> well japan has again eased its entry requirements for chinese tourists. travel agencies say they expect th

up 26%, mainland china up 100%. iphone still accounts for about 50% of the company's revenue and estimate two-thirds of the company's gross profits. for "nightly business report" josh lipton in cupertino, california. >>> more now on the rough day on wall street. stocks plunged following some big earnings misses from big blue chip companies and worries that a stronger dollar and tumbling oil prices will dampen future sales and profits in many sectors. on the worst day on the markets in three weeks the dow fell 291 points. and that's the good news. at one point today the blue chip index was off close to 400 points. united technologies the only gainer in the index today. the nasdaq snapped a six-day winning streak it fell 90. that's its worst day since back in october and the s&p was down 27. dominic chu now with a look at some of the dow components having a big impact on the overall markets today. >> there are a couple of big headaches that are showing up in big cap earnings reports. the weakness in the oil and gas business and the strength of the u.s. dollar. the latest examples come from

mainland china is only 1% of our business. rend i do see it bottom out but the consumer market in china is still strong. gdp growth of 6%, 7%, china is good. overall, i think diageo's performance in the past shows our resilience. the momentum is getting better in two thirds of emerging markets. the developed world is strong. in china, by do business, where we took a big correction, is back in growth. we are introducing a single grain whiskey, which is off to a very good start. >> we talk about anti-extravagance rules and the rising middle class. how much success are you having with lower-priced spirits? is that an area that can grow for you? >> one of the strengths of diageo is, we have this wide portfolio of products, from entry-level price points to $3000 bottles of johnny walker that we sell in china. we have the ability to flex as economic conditions and the emerging middle class comes through. in china, we have introduced a brand, a new product at a lower price point which is off to a very good start. the consumer shifts a

mainland china. >> it's no secret to law enforcement where it comes from. and it's no secret to drug dealers seeking to become entrepreneurs in the new world of designer drugs. >> any laboratory in china, if you send them what's called a cast number, which is -- it's just a number that's designated to essentially every chemical substance that exists, as long as it's not scheduled they will manufacture it for you specifically. it's called a custom synthesis. and ship it to you. >> charles carlton, who sold the drugs that killed elijah stai and christian bjerk, says he used the internet to buy much of his supply in bulk from china. >> there are a lot of brokers as well. like you'll order from a guy in poland and receive a package from china. >> and is it all labeled as research chemical not for human consumption when you get it? >> for the most part, yes. >> shanghai, china's largest city. its towering waterfront and bustling streets. it is also home to chemical companies churning out synthetics, or pure poison. in the emerging global market of the synthetic d

traffic from mainland china is accelerating up 20% in october and november. 80% of revenue comes from mass gaming or non-gaming. their non-gaming revenues are more than the other five players combined. >> we made all of these investments when others didn't. everything we have invested in macau today. the sleepy moons, retail shopping malls, myspace, entertainment offerings and everything we will invest in the future is predicated on delivering on our practice to help macau in its economic diversification and its evolution as the world's leading business and tourism destination r. he said the o bit wary on singapore is overdone. before a company named las vegas sands. not much about las vegas. they didn't want to talk about it. casino revenues down 14%. they said hey, hats off to the competitors. no change in strategy in las vegas right now. >> thank you very much, jane. a lot of the other gaming stocks in the after hour sessions with exposure to macau are trading higher. >> i think all of these guys have said this. they look cheap. they are not cheap. you talk about competition, all o

. >>> a man has been arrested after trying to smuggle 94 iphones into mainland china.attempted to do it by taping all the phones to his body. according to these photos shared by china's news online he used masking tape to jap the phones around his torso and thighs. he caught the attention of officials because he was walking strangely, as you can imagine. >>> do stay with us. coming up in the next half hour on "gmt" what is wrong with this? there's an outrage in china. we'll bring you more. mmm, a perfect 177-degrees. and that's why this road warrior rents from national. i can bypass the counter and go straight to my car. and i don't have to talk to any humans, unless i want to. and i don't. and national lets me choose any car in the aisle. control. it's so, what's the word?... sexy. go national. go like a pro. [container door opening] ♪ what makes it an suv is what you can get into it. ♪ [container door closing] what makes it an nx is what you can get out of it. ♪ introducing the first-ever lexus nx turbo and hybrid. once you go beyond utility there's no going back. yo

some analysts in china have called it an insane rally, referring to the 60% climb from mainland stockst year. david has been taking a look at how expensive stocks and china have become, especially compared to their shot -- their shares here in hong kong. >> we have an index that measures the premium depending on where you are. we will get to that in just a moment. where do we go? 2.7 million new stockmarket investors or 2.7 million new brokerage accounts were opened in december alone. funds ask some of the big for a healthy retreat -- the reason i mentioned those two these is because you have big institutional clients, which are a minority when you look at this market. they say we need a healthy correction. stock markets do not go up like that. >> individual investors make up 80%? volume.f that is correct. these are investors who may not put as much emphasis on fundamentals. put emphasis on put emphasis on what they hear, what their neighbors are saying. let's take a look at this premium. below 100 that simply means each shares are trading at a discount. they are cheaper than those her

what has happened with the chinese and protest in hong kong -- clampdown on issues spending and mainland chinas what japan is doing. 70% for chinese tourists at the nine-month stage. 84% in november. it is the area of choice. >> let's talk about digital. everyone talks about it. i'm fascinated. burberry has been knocked off the top spot. you talk to me -- talk to me about digital. >> if we look at digital space luxury goods -- that is only half the pace of mass-market retailers. a big catch up. everyone is talking digital. only around 40% of luxury companies offer the full process of being able to purchase via a commerce. there is a lot to do. you're looking at companies. a big retail in the digital space. it runs a digital program including 30 brands. doing very well. 25% growth. 18% growth. >> which of the segments are they going to do best and worst in as we head into this year? >> accessories. jewelry. the big outperformance last year. pandora. tiffany did well. >> thanks for joining us today. happy new year to you. >> 6:39 a.m. in london. let's turn to the middle east. the risks of doing

held in places mostly by plastic wrap. iphones are more expensive in mainland china than congress congressobserved his weird walking posture. always a give away. speaking of apple the company patented a new design for a digital video camera. a remote controlled camera can be attached to a helmet or anywhere else. that could bad news for go pro. shares plummeted 18% after words of this patent spread. apple patents a lot of designs and a fraction of which are used in products. >>> pizza hut is the latest chain to jump on the gluten free bandwagon. later this month customers can order a pizza made with dough supplied by a gluten free baking company. however critics will point out it is pretty much impossible for the pizzas to be truly gluten free because traces of gluten will be found on utensils prep tables and just about everywhere else. >> a lot of pizza chains are getting in to the gluten free trend. 2 million people in america have celiac's disease. -- want know get this for you. >> i thought we were going to pretend it didn't happen. >> this is a wireless ear piece and this is the third

mainland china, by relaxing some of the restrictions holding back investors and fund managers, and we the ceo of the hong kong exchanges who is joining us now from the annual asian financial forum in hong kong or an exclusive interview here on bloomberg. charles, thank you so much for joining us. a real pressure -- pleasure to have you on the program. a strong period, of course, of the chinese market, and you have got a lot of connections into the chinese market, as we just established. i wonder how you look at chinese equities. is there a bubble that you think is there right now? >> i think we are going to see a pretty strong rally for a while. i do not really know when it is going to come back. what we are seeing today is probably the biggest pullback we have had in quite a while, but also this rally is going to keep on going. it will cool down a little bit. when it finishes the pullback it will be back up again. just too much liquidity so it will take a while. >> do you think that regulators in china are right to be cutting back on margin lending, so limiting the ability of brokers

mainland china equities. shanghai composite, stable at the close. and you've got to remember we had a very key data point. the market hsbc services pmi was, all things considered, not too bad. we saw constructive numbers improvement in the month of december. that's probably one of the factors that contempt sentiment on a fairley even keel in china at least. elsewhere, it was the basic resources that really got infected by is slide in the price of oil and that hit the aussie market quite hard. the index heavyweight by bhp and rio tinto down quite sharply. the nfk sector getting hit hard, as well, because of the tumbling price of oil. broadly, risk aversion hiking risk aversion in our regional markets. let's see what the end of the week brings and the nonfairly payrolls they are constructed, they are upbeat perhaps that might reinvigoration the agenda in this part of the world and some risk taking. one would hope. >> so we're going to watch the price of oil, by the way, wti crude now trading below $50 a barrel. the oil story is something that continue

piper jaffray says mainland china accounted for 21% of apple's revenue in december quarter, up from 15%f course, there are challenges for apple in china, including local rivals competing fiercely for customers. on that conference call cook did not sound concerned. >> the local competition was obviously there this quarter and has. there for many quarters before. the local competition isn't new. i think we did really well there. i'm very proud of how we're doing. >> now, cook has reason to sound confident. research firm says apple, for the first time became the top-selling smartphone maker in china this last quarter by units shipped, even though the price of its iphone was nearly double those of its nearest competitors. back to you. >> stunning numbers. thank you very much josh for comments from cook. much more on apple. but first, back to the overall markets after yesterday's volatile session shaving 300 points off the dow. looking for a rebound. 71 points ahead of the fed. european stocks followed suit continuing to tumble in the wake of greek election results. continue volatility here

mainland china, up 100% kelly. talking about the ipad as well.ook saying they sold more than apple thought they would and he was confident about that product product. he talked about how commerce and consumer satisfaction and usage are off the charts but noticed the upgrade cycle is longer for the ipad and some of the cannibalization you're seeing from six plus and apple pay clearly confident about that service. said they're off to a strong start. the service getting traction and adoption faster than they first thought. as for new products, apple watch, apple teased that early 2015 launch. tim cook telling me he's going to give more color about that product on the call that starts at 5:00 p.m. i'll be on it and give you head looirp headlines as they cross. what a reaction here. they managed to -- had mind melting expectations to me guys, and it appears they surpassed them. >> for some quick color, the iphone business for apple is now bigger than google and microsoft combined. >> incredible. >> it's huge. 74.5. >> max, what's your response? >> it'

held in places mostly by plastic wrap. iphones are more expensive in mainland china than in hong kongive away. speaking of apple the company patented a new design for a digital video camera. the patent covers a remote controlled camera can be attached to a helmet or anywhere else. that could bad news for go pro. shares plummeted more than 12% after word of this patent spread. analysts caution that apple patents a lot of designs and a fraction of which are used in products. >>> pizza hut is the latest restaurant chain to jump on the gluten-free bandwagon. later this month customers can order a pizza made with dough supplied by a gluten-free baking company. however, critics will point out to you that it's pretty much impossible for the pizzas to be truly gluten-free because in a kitchen that prepares crust made with regular flour, traces of gluten will be found on utensils, prep tables and just about everywhere else. >> a lot of pizza chains are getting into the gluten-free trend. there are 2 million people in america that have celiac's disease. it makes for -- >> can i get this for you

." >> top stories, mainland shares in china plunging after three of the nation's biggest brokerages were stopped from adding margin trading accounts. stephen engle's on top of this. >> we've seen with market checks that these brokerages are taking -- taking. >> down 3%. >> the biggest. keep in mind citic and hai tong had planned a share sale. the business had been booming prior to today's fall. what happened today, the securities regulator suspending three of these top brokerages from adding margin on it and securities lending. so basically, they cannot borrow money to buy into what had been a huge rally. a lot of people have been borrowing on margin. basically suspended from doing that three months. another nine brokerages punished for various reasons as well. there is speculation as to why they did this. did they want to cool down the rally? or are they just trying to make sure they're playing by the rules? the securities regulator in this statement right eight, when they announced punitive measures basically said that the firms let customers delay re--- repaying refinancing longer tha

china to make that decision without formal consultations. authorities in beijing say the new routes are necessary because those over the mainland have become too crowded. they say they'll start using the new routes in early march. taiwan's leaders see the strait as important in terms of security. they plan to urge china to exercise caution. >>> defense officials from japan and china have resumed talks on creating a maritime communication mechanism. the discussions have been suspended for more than two years. but now, both sides are looking to find common ground to help avoid accidents from occurring. nhk world explains. >> reporter: the officials met in tokyo on monday. the mechanism they discussed is meant to avoid accidental clashes at sea or in the air. the meeting came two months after japanese prime minister shinzo abe and chinese president xi jinping agreed to restart the talks. the talks broke off as a result of the deterioration of the relations after japan nationalized the senkaku islands in the east china sea in 2012. china and taiwan claim them. in 2013 one of china's navy frigates directed radar at a japanese maritime self-defense

." >> top stories, mainland shares in china plunging after three of the nation's biggest brokerages wereg margin trading accounts. stephen engle's on top of this. >> we've seen with market checks that these brokerages are taking -- taking. >> down 3%. >> the biggest. keep in mind citic and hai

china at the trade fair in tokyo. the companies are trying to appeal to buyers from the mainland. >> translator: jewelry designed in japan is very delicate. the price isn't bad either so it sells well in china. >> reporter: 23 different events the company sold expensive gems like emeralds and rubies to many chinese buyers. >> translator: we haven't dealt with expensive items until now, but we attempted to introduce them at this event. they sold well. >> reporter: the total value of gems owned by japanese companies is estimated $190 billion. to maintain steady supply traders have to make continued efforts to dig up more jewelry. keiko aso, nhk world. >>> tu knee sha's first democratic elected president has taken office. he took power four years after the uprising that sparked the pring results in the east. he leads the secular party. he won a presidential election last month. >> translator: this hisstorical moment we are living today, this ceremony we would not have been able to experience if there had been no struggle by the people. >> they began pushing toward democracy in december 2010. a young man set himself on fire

this post through the route provided by the people's republic of china that in fact i'm sorry mainland china has in fact supported espionage? reasonable assertion by the american people, couldn't have done it without china. as we know china monitors all of the internet transactions. it doesn't have a true open internet per se. a china in fact had to know what you know isn't that correct? >> at this point, and thank you for that question, i do not know what china do at the time. >> do they know now, have we directed the knowledge that we have sufficient so that they know what their lifeline to the internet was in fact engaged in espionage in other words supporting espionage by north korea? >> we have shared our information with the chinese computer emergency response team and we had telephone conversations with them as well and continued to exchange information regarding this incident. >> so based on this incident which goes to the very heart of not the sanctions on the country that is so isolated that the only thing we know for sure is that people are at least 6 inches shorter than people in

seen, what you're looking at investors and to mainland shares its underperforming massively compared to what people thought. in terms of money coming from china of the great hopes, less than 5%. that has been reflected in the different performances of the stock market. last year, chinese stocks in the mainland up 50%. hong kong stocks up about 1.5%. that is the divergence. >> there are looking at closing the premium. it has gone the other way. >> when it was first announced, asia, lacking for five years. massive discounts in hong kong. you look at some the biggest us and china whether icbc, big commodity producers and vets traded early percent-50% at a more expensive levels in the mainland. if you are an investor in looking at getting into the stocks, you would be reluctant to borrow at prices higher. the managers we spoke to said the ones they look so when they see them gaining 20% in weeks they are reluctant to joining because they do not believe they are there to stay. >> continue for bank of america. i know you do not talk about equities. it is much my amusement when we see a weakening in the economy stocks on the slide. what about the fu

china jumped even more. lot ofhe city for a mainland chinese to come and travel and a big part of the local economy here."first up." the fallout from the franc. one hedge fund wiped out. slumped togs, a two-year low. asia's richest man is said to be shopping in europe. good morning, i am angie lau. this is the view right now, snapshot is optimism across the board. sharply after it basically is disappointing the markets a loss instead of doubling profits. kospi 1% higher. macquarie opened up its forecast. off andn forum kicks john dawson is there for us. over to you. >> we are just warming up for what is day one of a two-day meeting. the governor is speaking shortly but i am joined by andrea, the chairwoman of the banking authority. she has jet leg thank you very much for joining us. lag so thank you very much for joining us. of the the reaction banking community to the shop? ck? >> we are still seeing the last years with attention to several banks in europe that were lending to customers in foreign currencies, swiss franc's. we asked supervisors to take action and we expect the station to be more under c

10 years ago, china was consistently growing at 18% to 20% nominal growth, so we are down by more than half in just a few years. anyone in thefind banking or policy community on the mainlandactually thinks growth is going to pick up. everyone expects it to decelerate. >> but a lot of people are still so very excited about china. >> i know. i know. >> what are some of the concerns you are seeing that maybe they should not be? a lot of people think that even if these defaults happen on a larger scale, china is still going to come in and bail everybody out. >> there's no question that the chinese sovereign has got a lot of capacity to provide a port, and they are also very willing. i think the issue comes down to gets.ssy it yet -- it just because they have the resources, does not mean that it is academic exercise that happens over the course of a weekend and nothing gets ugly, particularly keeping in mind that we've got tens of thousands of shadow banking and the two aows today that did not exist few years ago -- shadow banking institutions today that did not exist a few years ago. when everything was directed by the state, there were just a handful of entities that needed

china's full year gdp came in at that level. a day after chinese banks drew the market lower but the tip should be kept into perspective since mainland chinese stocks were among the best per post mortemers last year. joining us down the line to talk more is peter from hong kong. he's the asia editor at reuters breaking news. what's your big take away from when looking at the gdp number out of china? >> it's an encouraging miss in some ways if they had gone ahead and hit the target given the weakness in the chinese economy that would have given credibility and the number itself is open to the discussion but the fact that china is willing to admit that it came short of its target even by .1% is a significant change because it said this target isn't set in stone the way it was before. but a lot of people are questioning what happens, what this means for the growth outlook in the future and china has not yet set a target if it's even going to set a full target for 2015 and that's where the big discussion is now. how much of a slow down are we looking at and to what extent do the chinese authorities feel it's necessary to intervene and st