china is a continental power in asia. japan is a maritime power with a strong alliance with the united states across the pacific. korea is in between these two powers. we have seen the sino japanese war erupting 120 years ago, and korea was devastated between the two powers colliding against each other. we have experienced the korean war started by north korea, but china sent in forces and made a military intervention during the korean war. japan was not directly involved in the korean war, but japan gave area support to the united states so that they can exercise military operation in south korea against north korea and china. again, in the korean war, giant china and japan were standing -- china and japan were standing on the other side. chinese has risen. japan is trying to research the national prestige and power. so in the 21st century, we are witnessing another trend of sino japanese rivalry in the region. in politics as i have experienced, rivalry is not always a bad thing. two rivals could end of being in the pres

"asia edge" has the special report after this short break. ♪ >> this is "asia edge." not want to pay up and still dazzle on the big night -- >> you still can. a new company driving the passion for fashion. john dawson met the cofounders. >> a celebrity model, an investment banker, and a mining analyst. do businesstrio to for the fashion-conscious. yet opposites attract. luxtnt.com is designed on a u.s. model. instead of spending the big the latestcan hire and the best brands at a fraction of the price. their focus is china. while luxury sales are falling, the passion for fashion is not. it is all down to social media. we can make the most of our marketing. i get in touch with my friends and they are out and about and they go and hashtag things and people are aware. we bring a lot of awareness through social media. media is a very large part -- >> and that is great. >> so you have been sourcing in paris. >> i was there because i wanted to bring on other designers. a lot of people are not attracted by these normal brand names. there are a lot of these designers in europ

and how asia will be trading. when we return. ♪ >> let's take a look at some of the stories we are watching this week. toyota out with earnings on tuesday. this last of the big japanese automakers to report results. while toyota has kept his lead in global sales, it may see lower profits. atlysts expect net income 17% last quarter. raised nearlyup $2 billion from its ipo. macau,slowdown in analysts expect moffat at the casino which runs the city of dreams up 15% quarter on quarter. big numbers from china. the latest trade figures. these are for july. surplus probably got smaller for one third straight month. check in the global state of play. it has been a rocky few days in the markets, not only in asia but certainly in the united states and europe. my next guest is head of .inancial markets research good morning to you. let's start off with the information that was released. the monetary policy report on china. basically, it is saying to the market, don't expect any major stimulus anytime soon. is that likely to

two emerginge free-trade locked in asia-pacific -- blocks in asia-pacific.including korea, japan, china, new zealand, and 10 other countries. on the asia-pacific side, we have the emerging tpp which is in negotiation. counterbalancing trade blocs. maybe. i think it should somehow accommodate each other of a free-trade network. you might have a different idea. can you think about asia-pacific free-trade without china? eastan you think about asian free-trade without united states? i don't think it makes sense. that is where korea can play its role. we are a strong ally of the united states. we will have a benchmark fta. negotiations, all of the countries are trying to see some can introduce principles into the regime. is playing a role, carrying the big ship. and also through our negotiations with china, we are doing our important role of liberalizing the china market. so they can except the global standard, including products, production, intellectual property, as one. so eventually the negotiation of fta with china could be a good entrance for china to be in

i thin>> i think asia looks ok. southeast asia looks fine and india looks great. these geopolitical tensions have been there for quite some time. it is stranded is has taken the last two weeks to trigger something. but it underlines the witness enter -- and equity markets as the u.s. is beginning to normalize monetary policy. >> this is a case of good news being bad news, the era of cheap money, people can see the end of that. >> yeah. perhaps some much of the corporate that levels of the u.s. -- debt levels at the recess taken over the last few years. there is a lot of caps on the bounce sheets. but they have been borrowing very heavily. >> because they can because it is so cheap. >> but they have been paying dividends here >> is it a ponzi scheme? >> i don't think it is a ponzi scheme. but i think equities have more to claim as you get to the developed countries. >> there is bound to be some time for gut check sooner or later. still thatcast is s&p will be doing 20% by the end of this year. >> let's look at the individual markets. limits.s the we are into the ne

cashompany has enough within asia to fund itself. the new asia is africa. the company wants to push into markets like nigeria and kenya. that is for its second leg of growth after asia. he says the country store, the city-bi-city story. he says africa is like asia in the 1990's. we rose asia in the wave of urbanization. in africa, the same forces are at play. from what i can see, it looks like asia has done ok but i will dig a little bit deeper. coming back to the u.k. george osborne said retirees do not have to buy a new annuities anymore. annuities are down by 43% because of the george osborne announcement. prudential.s of have other options they have balkan annuities at companies. the ceo, hee to said we are growing in the u.s., in europe. we can easily combat the decline. sales of u.k. annuities fell by 40% in the second quarter. ad prudential fell by 43% in the first half. but they have other businesses to combat the decline in an annuity sales. costs, rise in operating it looks ok. >> it looks like the stock is responding affirmatively. let's get to s

with airout competing asia. all asia airlines will not make that a priority. new you can expect his executives, new management, new leadership. whether the measures are enough, the jury is still out. some are skeptical. they say they need to look closely into their business model, what it wants to achieve in the long-term. they are not doing that. there have been successful restructuring stories. japan airlines is a case in point. bankruptcy in 2010, now back and profit. swissair went bust in 2002. now in the money with the new owner. hopefully malaysia airlines shares that success story. all asian up by about 8% right now. -- malaysian airlines up by about 8% right now. >> we are going to look at treasury wines. an unnamed private equity group matched the $5.20 per share offer made by kkr. analysts say there may be now a bidding war. ibm says it has come up with the way computer chips can think like human beings. engineers have developed a chip that is modeled on the brain. they say it is faster and more energy efficient and could help computer sense their su

a mixed market here in asia.nald williams, chief investment officer at platypus asset management. good to see you. when you take a look at the calendar this week and what the markets are telling you at the start of the session this morning, what are you anticipating for investors? anothernk it will be reasonable week for australian investors. the reporting has been quite benign. we don't see that changing for the handful of results that we have this week. i think it has been quite a good reporting period. overall, the results are pretty solid. >> one of the highlights includes qantas and virgin, those airline battles continue to be felt in the skies. what are the expectations? >> the expectations aren't high. neither company is profitable at the moment. issue ine a structural the airline industry in asia, then anything else. they are not the types of investments that we would get involved in. your sense of the outlook for the australian economy, especially as you take a look at these earnings coming through? >> i

asia is sort of doing ok, but not all that well.ore and more money is being poured in by the central banks. so it just feels like the market needs some confirmation that economic growth is here and it is sustainable. without it, you are going to see easy monetary policy from most central banks. >> we are waiting for the boj to come out with minutes from its last meeting. do you think there will be murmuring of potential stimulus at some point, especially with gdp for the second quarter in japan expected to be quite dire and in contraction, in fact? looks like they will have to pump up some more money for the system. buy a lot of -- there is talk about the tension fun being able to buy japanese equities and increasing their allocation in japanese equities. it looks like the boj will continue to pump more money into the system to prop up asset prices. the nikkei is down about 10% year to date so far. last year, it was up around 50%. we expected to continue, especially given the gdp numbers you are talking about. but it is a short-term

the first visit to asia in 20 years. pope francis visits south korea, home to a growing catholic community. we're going to start this addition with gaza stories. israeli jets have bombed a number of targets in gaza, a response, they said come to rocket fire. the missiles flew just before the extension of a cease-fire of five more days. talks on finding a solution continue. israel wants gaza disarmed, on wednesday, hamas said that was not an option. for hamas, israel has to lift the blockade on the enclave. >> no final agreement but a five day extension. as the previous 72-hour deadline came to an end, hamas and israel prolong the truce to continue negotiations. >> we agreed on most of the points. some of the details. points here, points there. some related to security and some to construction and lifting of the embargo. we do not wish to go into anymore detail. >> during the negotiations, the key palestinian demands have included the lifting of an eight year long blockade on the strip and the release of thousands of pris

looks at asia not so much from a historic view but from a security point of view. as such, we see our national interests and the threats to them. the most obvious threats to the u.s. and our friends are right now from north korea and china. north korea is the most immediately pernicious threat including the growing threat from the nuclear missile programs as well as military attacks on south korea. if they are the wolf closest to the sled than -- then china is the 800-pound dragon emerging from the shadows. some of the focus has really been taking our eyes off the ball of these very real threats in asia. both north korea and china also share another characteristic in that oath of them also have an incorrect view of history. particularly their role in the death of hundreds of thousands of south koreans during 1950-1953. during his visit to seoul, president xi jinping said it was a symbol of chinese in south korea sharing interest and defense against the common thread. but he conveniently glossed over the more recent role of china in the 1950-1953 korean war. nor has

it wants to become the battery of asia. the country plans to dam up this branch of the river to make way for a hydropower plant. for now, the fishermen's wooden traps are still set up. many fish swim thousands of kilometers from the estuary to the headwaters. fisherman phet manivan knows how important it is for fish to move unimpeded. once the dam is built, he says, he knows for certain that his traps will be flooded. when the dam gets built here, it'll be the end of fishing. the mekong is home to the largest variety of fish species in the world. for now, at least. 50 kilometers further south, the mekong flows through cambodia. during the rainy season, the river stretches several kilometers wide. the water flows over the treetops, pulling them to one side. we're traveling with a local cambodian conservationist. he's most worried about the large dam project in laos. >> the xayaburi dam will change the entire ecosystem. less water means fewer fish. >> the countries downstream from laos, especially cambodia and vietnam, are fi

let's check asia pacific.an's nikkei selling off half a percent down after we saw the selloff on friday as well. the global route climbing, and falling .4%.so let's get more on the market from mark matthews. he joins us live from taipei. mark, good to see you there. give us some ideas on how we should view this week. >> good morning, angie. obviously after the big selloff on thursday and friday, everyone is on tenderhooks. buts you said, the way the market is trading today is reassuring. i think for this week and the rest of the month, we should probably digest, but i think going into october and beyond, we'll start to see an acceleration in g.d.p. and p.m.i.'s and earnings from many parts of the world, including asia and the united states. so i still think it is onwards and upwards for the markets. >> onwards and upwards even with p.m.i. out of china shose showing there is pressure especially with the property slump as it kind of ripples through the rest of the economy ere? >> yeah, i think the chinese econom

bilateral alliance structure in asia having this betweensfunctional spat our two key allies in asia is course something that is quite welcome and it makes it easier for china to put forward this effort to try to delegitimize. what i mean is, it's not a question of trying to compete militarily with the united states and asia but to sort of delegitimize the notion that these alliances are a core element to the architecture and asia. that is something the chinese would clearly like the region not to believe in anymore. dysfunction only serves that purpose. recommendations. history, i wrote quite a bit on this in my first book as an academic on u.s.-japan-korea in the difficult strategic cooperations. i believe there is no solution to these sorts of history issues. you have the negotiations over comfort women. will ever see a solution to the sorts of issues. even if there is some sort of agreement that is reached on e'sfort women during ab term in office. even if there is an agreement on a fund and the chief cabinet secretary and ambassador to meet with some of the survivors. even if you g

element of the architecture in asia. something the chinese would clearly like the region not to believe. so japan created this function, the u.s.japan, korea dysfunction only serves that purpose. recommendations -- so, first, on history, i wrote quite a bit on this in my first book as an academic, it was on u.s.japan, korea and the historical issues. i believe there is no solution to these sorts of issues. you have negotiations over comfort women and you have these efforts for the prime minister not to go to the yasukuni shrine, but i do not think we are ever going to see a solution. even if there is an agreement on comfort women or a woman's fund or a formula for the chief cabinet secretary and ambassador to meet with some of the survivors, a statement of regret -- even if you get all those things, i don't think it is going to resolve the issue. many still believe that prime minister abe does not believe that japan, the japanese government was complicit in the recruitment and running of these operations. even if there i

europe has to pay attention to what is going on in asia.at does not mean a lot of force structure there. we play off european strengths. institutions, norms, etc.. >> we have a minute. i want to go around the corner really quickly. this is a pretty nato. isthere going to be -- this a threat to nato.. is there going to be collective action and do we see an increase in defensepending by these countries? these have to be pretty much yes and no answers. >> there will be a pledge to reverse the decline. i think the assumptions have been proven false. we will have to see increases and the united states and europe. >> i do purport -- predict a strong statement and more resources. i am not sure there is a strategic pathway to improve things long-term. >> strong statement, strong response from poland, the baltic states about increasing defense spendiding. watch finland. they will be interesting partners to nato in the future. >> frank, you get the last word. >> strong statement. the critical country as germany, spending 1.3 percent of its gdp on def

in the east east asia the united states is. based on i mean the problem is here i'm sometimes in a state with you here the problem is here is that the united states wants to keep it a you know polar world this is why it keeps going after russia's periphery it's so it's in circling china militarily i mean they want to keep it this way full spectrum dominance and this is where push comes to shove because i agree with you a lot of the what the natural course of things is a major countries have major powers have their spheres of influence and that's not necessarily a negative thing it's a natural thing here but washington doesn't want anybody to have spheres of influence it only wants to have its own and with its allies. you know you know peter because i agree with you i have no problem with that sigman but no great power is going to allow its demise willingly or cooperate of the only example is with britain's demise as a great power when united states became became a successor but there was a congress of interest between between t

flying out of a base in southwest asia. the u.s. military asking us not to disclose the exact location. but the location where the plane flies to is well known, mt. sinjar, where so many yazidis have been trapped. where the most important part of this mission takes place. the release of emergency provisions that are attached to mini parachutes. over the last week, there have been seven of these missions. the air force and army working together. >> we delivered 35,000 gallons of water and 114,000 meals. >> it's been a herculean effort but a successful effort. >> reporter: however, for now, the missions have come to a halt with president barack obama giving credit to soldiers and airmen -- >> because of these efforts we don't expect an additional operation will be needed to evacuate people off the mountain and unlikely we'll need humanitarian airdrops on the mountain. >> reporter: a former congressman from ohio, one of the leaders of these missions. a squadron commander. >> this is one of those opportunities we have to serve and actua

investors in asia were not actively trading. they were sidelined ahead of a symposium in wyoming which kicks off on thursday. most benchmarks showed minor gains following overnight rallies and global stock markets. investors will be keen to hear what janet yellen has to say, especially about the future of u.s. monetary policy. >>> here in tokyo the nikkei average inched up a touch, finished at 15,454, holding on to a two-week high in what was a tepid trading session today. some participants bought shares on a weaker yen. others, though, chose to lock in profits on the recent surge. taiwan's benchmark index climbed a half a percent, finished at 9,288, a second straight session of gains there. financial shares led the advance on a brighter business outlook for local banks. in shanghai the composite index seeing declines a quarter of a percent. 2,240. chinese regulators approved 11 additional companies to list and these firms are scheduled to start accepting subscriptions next week. investors nervous about possible fund outflows fo

in this episode of "asia insight" we follow the ongoing struggle of residents in their 17th year sinceeturning to chinese rule. >>> hong kong, one of asia's main business hubs and a leading international financial center. as it's economy increasingly merges with main land china following its hand over from british rule, beijing's influence over the city continues to grow. in the tourism sector alone, 75% of visitors were from mainla chin lastye. thatmounts to more than 40 million people. without mainland china the economy probably wouldn't be able to function. recently, several incidents have installed fear in the hearts of hong kong residents. books criticizing the government and politicians are openly displayed and sold in bookstores. confirmation of the city's guaranteed freedom of speech. despite these civil liberties a publisher preparing to release a book criticizing chinese president was arrested on the mainland. he was sentenced to ten years in prison. to add to the distress the chief editor of the newspaper was assaulted earlier this year. the editor was attacked from behind a

bilateral alliance structure in asia, have in his very between ourl spat two key allies in asia as something that is quite welcome. that makes it easier for china to put for this effort to try to delegitimize. it is not a question of trying to compete militarily with the , but to asia delegitimize the notion that these alliances are a core element and a legitimate leadership element of the architecture in asia. something the chinese would clearly like the region not to believe. ,o japan created this function the u.s.-japan, korea dysfunction only serves that purpose. recommendations -- history, i wrote quite a bit on this in my first , it was onacademic u.s.-japan, korea and the historical issues. i believe there is no solution to these sorts of issues. you have negotiations over comfort women and you have these efforts for the prime minister not to go to the yasukuni shrine, but i do not think we are ever going to see a solution. even if there is an agreement on comfort women or a woman's fund the chiefla for cabinet secretary and ambassador to meet with some of the survivors, a statement o

the markets just opened in the asia pacific., nikkei to 25 futures pointing to a higher open, now -- nikkei 225 futures pointing to a higher open, now unchanged. 102.42, now weakening. in korea, the kospi is getting underway as well. it is climbing fractionally -- more than that. 1/2 -- 1/3 of 1% on. the korean won is weakening. two australian now where the asx 200 equities -- to australia now where the asx 200 equities are rising. let's stay in australia. newcrest has released results, including a full-year loss of more than $2 billion aussie. r bloomberg news reporter, dan, bringing us the background -- our bloomberg news reporter, dan petrie, ringing us the background on this. -- bringing us the background on this. shares are down starting trading, newcrest mining down close to 9/10 of 1%. >> they should be savaged. was we saw many years ago the likes of newcrest expanded aggressively when the gold price was $2000 per ounce. >> remember that? that was crazy. those were crazy days. >> they were crazy days. >> why did they thin

he is coming back from rio youth day in rio that he had to go to asia. we know that's when he was a young priest he wanted to go to japan as a missionary. it was not possible for him because of his health. that's the personal factor. there are more serious reasons. they could not have enough time to go to asia, john paul ii went two times to korea in 1984 and 199. that is a quarter a century ago. it was necessary to go again to this country which is a very dynamic country regarding the church. >> dynamic country of course, if terms of its economy and in terms of the development there. because of the church, too, and the growing number of catholics? >> every year you have something like 100,000 babyities many of adults meaning that just 10 years ago, you had 30% catholic, less catholic than today. it's kind of a very exponential growth. the growth is very quick. the catholic church is feeling it, a good 10% of those 50 million south koreans, but the minority is growing, the christians as a whole are quite important to have 20% of protestants. all together

forces, youck on are going to do -- freedom of all of southeast asia.you have got less information today than you did yesterday? reply,bundy says, "in jokingly told him, perhaps the matter should not be thought through too far." he his own part, bundy, welcomed the recent defense as justification for a resolution the administration had wanted for some time. had drafted a resolution back in june to give the president authority to do whatever she wanted in southeast asia as commander-in-chief. he wanted a blank check. he had been sitting there because in part we had the upper hand. the north the enemies we -- ve t ietnamese were on the defense. we were probing them. plan 34. it was this aggression. except provoked by us. events, the events or justification for something we wanted to do for some time. this is the quintessential cherry picking of intelligence prearranged conclusions. it is a chilling discussion because you have got them admitting they are less certain but this gives them leverage. the parallel with other disasters -- iraq weapons of mass de

this is "asia edge." stay with us. ♪ ♪ is day one for the new boss of infosys today come with big plans to turn the company around. he says he wants to restore confidence and told bloomberg tv that he wants to invest in the start up. to, on thertunity one hand, put an intense focus on the work that we have traditionally been doing, the initiative that mr. morsi and others have laid out over the last year or so, and continuing that with a new and greater focus, but, on the other hand, there are completely new kinds of things, new kinds of innovations, new software to doing that in a exemplary, new ways, but also working with startup companies. fund, and$100 million working on intellectual and more. >> take me to the idea behind investing, the advantage. working on next-generation things. with the frontline of what is happening. great one. i am really excited about that, we have beenat, working through many of the details. much time will this process take? and more important he then the timeframe, how would

o be sure, they are not facing intense resistance in asia.thers, fighting for a slice for the logistics market and that is the case in southeast asia. competition is brewing and consumers, you and i benefit. >> let's see if we do. thanks a lot. well, one of the greatest narmse in in british cinema, he died. 90 years of age. he spent 60 years on both sides of the camera lens acting in ollywood movies, "gandhi," which won eight oscars in 1983. kigsly. actor for ben and good delell will a.m. bass dor for unicef. he died at the age of 90. let's look at what we have coming up in the program. biggest futures market to reopen. glitch hit trading. that is when we return after this very short break. ♪ . . hello, everybody. i am rishaad salamat. this is "on the move." ♪ a vast stretch of the futures market about to trade for the first time today, glitches hitting the cme, and close encounters, the united states and china trade comments about airport maneuvers, and back to the table. meeting striking workers today. the chicago mercantile exchange expect

>> i believe africa is at the stage that asia was 15 years ago where a number of companies viewed asia as an opportunity to plant flags and grow aggressively. i think africa is at that stage. and those of us who go local and plant ourselves with the right investment and quality of people locally and transfer. we can do a lot in africa. the risks are talked about a great deal but if you go and travel and look at the opportunities there you can find ways to improve those risks in a way that is perfectly acceptable to the government's needs of most of our companies. let me give you an example. when we go to bank in africa, we need to take from them two partners both with james and sam and take a certain level of guarantee that takes 2-3 days between the time the merchant is paid and we collect the money back. if you went to small banks, i would be underwriting hundreds and i cannot do that well. we go partner with institution like the ifc and find way they can do the underwriting and we accept clot collateral. it is true what you can do with all kinds of risk in this space. that is how i

in this episode of "asia insight" we follow men in their quest. report on the evolving schemes of match making in south korre >>> occhon is a small town in central south korea. praying at the local temple is thought to bring good concern. every year some 5,000 men and woman come here to pray hoping to find a lifetime partner. praying is good, but the monk who runs the temple offers a more practical approach. he organizes match maiking events strictly for people wanting to get married. these events frhave so far produced 1500 couples. participants begin by registering at a reception area on the temple grounds. 44-year-old oh woo jeong heard about the event from a friend. he lives in neighboring city. up until his mid-30s he had to change jobs several times. now that he's finally found stability as a regional public official he's ready to get married. he thrfills out a personal prof form with details about his height, weight, occupation, annual income, family background and assets. then he describes to the monk's assistant his ideal woman and other

i'm a journalist and not in asia area experts lay want to preface that.in my limited knowledge that the corners of japan that do seek to minimize world war ii atrocities with the chinese were the primary the's and the military sex slavery issue where koreans are the primary victims that is where it is happening. atrocities against europeans living in asia and european troops that there is not an emphasis to walk back or done.ze actions does anybody have any insight? >> my gut reaction is because we lost.

we do not do business in asia.there are a of them, so at the moment, there region, 600 in the million in china, about double the people online in america right now, and that is growing very, very fast, so that will grow up by another 50% in the next 10 years or more, so just the speed of growth made you have much more disposable income and at the same time those getting into mobile phones and seeing a much bigger kind of global market. is other thing about asia that it feels very connected. if you're in japan, they are already looking at china. if you are in china, you are in bali and there are people coming out to bali all the time on holidays, so they are very connected to each other. ask you talk about timing and interconnectedness. what about the appetite for risk? is the willingness to take on risk greater for those in the u.s. or europe? >> i think america has always had very gung ho entrepreneurs, and that is really why american companies have been one of the first to be able to grow around the world, but th

signature segment, from the philippines: will a new reproductive healthcare law slow down one of asia's highest birth rates? next, on pbs newshour weekend. >> pbs newshour weekend is made possible by: corporate funding is provided by mutual of america-- designing customized individual and group retirement products. that's why we are your retirement company. additional support is provided by: and by the corporation for public broadcasting and by contributions to your pbs station from viewers like you. thank you. from the tisch wnet studios in lincoln center in new york, hari sreenivasan. >> sreenivasan: good evening, thanks for joining us. a major earthquake registering 6.0 struck northern california overnight. more than 120 patients were treated with quake related injuries at a local hospital, many from heart attacks and as many as half dozen with critical injuries. the quake also left at least 16 buildings uninhabitable and power outages throughout napa county. it was the strongest in the bay area in the past 25 years. the epicenter was approximately ten miles south of american canyon.

there's a lot of cultivation and you mentioned the asia trip. you laid some important groundwork in indonesia that paid off in burma with democratic reforms there and your meeting with suu kyi. and people wonder, why it she having a bilateral riff at the foreign minister of some country that we don't know we it is on the map. and so i think that really does come through in the book. >> i wanted that to come through because one of the virtues i think we americans need to cultivate is patient, and that is true probably in our lives but it's particularly true in our diplomacy, because so much of what still matters in the world is based on building relationships and looking for areas where you can establish some level of trust. and one of the examples in the book, which was quite dramatic, actually, is how we were able to navigate through a very difficult crisis over a blind dissident in china, and not endanger the substance of the framework for the relationship we'd been building with china. when i came in, i knew from my time in the senate that we

in 2007, only 4% of the oil exports went to china, and now over 20% go to asia. russia has been shifting in order to create again, the flexible system over the past few years. and natural gas is a different game, where russian natural gas only makes up 20% of the revenues, and oil makes up -- and they will be able to use it in the past, knowing that it's not as much of a cash cow. >> oil is much more plungable around the world than natural gas. particularly to europe. europe gets the oil from the pipelines from ukraine through russia, and they can't be replaced that easily. they don't frack in europe, so they can get oil somewhere else, but they can't get gas somewhere else. >> which is what makes the negotiations heading into winter so important at this moment. europe knows that winter is a month away, so right now, europe is becoming a little bit more friendly to the option of russia's demands over ukraine. we have seen the demands to angela merkel in the past week. >> they are asking for $42 billion, and we're talking about "real money." russia said in 2015, t

you're watching "asia biz forecast." i'm yuko fukushima. this week we start in the philippines, and our story is people power. not the popular uprising that brought down a dictator 30 years ago. this is about millions of people looking for a better life. more than 100 million to be exact. the government has just announced the result of its latest head count. official pollsteay

. >> market sources say investors have been moving money into real estate markets in southeast asia ever since the u.s. loosened its monetary polic they say if local food prices continue to rise, the philippine central bank will be under pressure to take more drastic well, argentina government officise missed a deadline to pay int eye >> catherine, they're saying that the and that they are blaming the u.s. for a legal fight that forced them to miss the debt but the people at ratings firms officials were trying to negotiate a deal to bond creditor but hedge funds insisted they'd be paid first. negotiators were trying to reach a compromise until the last money , but t. >>> investors are worrying it could make it harder overseas. argentina's benchmark maribel index shed 8.4%. the dough jones industrial average suffered its worst day since early february and was down for t. let's see how tokyo markets are reacting. definitely, the spread to tokyo is off. let's have a look at it on this first trading day of august. you can see this down 0.64%. it was down over a hundred points now, after havi

from asia. it dropped by 15%. the bigger revenue drop is in latin america. that is ready or seen the revenues fall. they talk about an unprecedented regulatory. as you look at the playing field of banks, who is running to the finish line in terms of litigation? the argument would be that hsbc of the foreign exchange market. that is yet to be sorted out. a lot of their issues are behind them. many of the banks that we are still looking at with litigation issues are standing and those fines are going up. i haven't talked about deutsche bank yet. you are looking at foreign exchange. you are talking about a size and climate of scale of fines. it is farther ahead of the pack in that litigation rosses. >> -- process. couldstrikes me that hsbc be one of the most exposed institution out there. people are talking about that being a possibility on the credit side. you might see a problem generated by the fed. it could be an institution. i wonder if the numbers are a foretaste of that. he said exactly that

and across asia the congregation is young.round himself with asian youth there was, of course, the inevitable selfie which the won tiff didn't seem to mind. his transport from the airport a kia hatchback. it had to be south korea. the next day another modify ied into a popemobile although the wind made it tricky. >> welcome. >> reporter: he offered sympathy and hope for the parents of schoolchildren killed in the ferry sinking and for those who survived. pope francis is making speeches in inc. dwlish on this trip for the first time. officials say he's been practicing so he can reach more people. he called for peace and reunification for the two koreas. >> korea for peace is close to our hearts. >> reporter: this afternoon the pope is heading south of seoul to a rehabilitation center for the disabled. also meeting some of the laymen there in that particular area and then, of course, we have another big mass coming up on monday which will be back in seoul. george. >> paula joining us live in seoul, we appreciate your reporting,

it was the first papel trip to asia in 15 years, probe fran advertise has touched down in south korea a 5-day visits. tensions remain high in the u.s. state of missouri after police fatality shoot a black teenager. >>> a new five-day ceasefire with israel has been announced by the palestinian delegation after talks in cairo. is heel hasn't confirmed the ceasefire yet. we are looking at live picture coming to us from gaza where the cleanup in gaza continues after an israeli offensive that devastated much of the strip. nearly 2,000 palestinians have died. ♪ ♪ >>> andrew simmons joins me now live from gaza. andrew, the palestinians have influenced a truce, what has happened since then? >> reporter: it went right to the wire those negotiations. right up to when the palestinians announced a five-day ceasefire, israel agreed to extend it, under what terms we are not sure. but we haven't heard from the israelis yet about their stance. then there was a really rocky start, because just after midnight, at least three rockets landed in i says reality i territory. anand the response was air strik

let's bring in our southeast asia correspondent. how extensive is this?y extensive, pretty bold as well. the idea is for the company to start with a clean slate. a major shareholder says is with airlines, as it its current structure, does not work. among the measures to be implemented, job cuts. 6000 workers will be cut. that is 30% of the workforce. .igher than some expected it is also considering cutting international routes as well. europe, in particular. flights have been unprofitable. malaysia airlines will also renegotiate fly contracts and move its headquarters. part of an almost $2 billion revamp, a revamp that is long overdue and has faced resistance from the very strong union at malaysia airlines. the carrier, as you know, has been underwater. it was in the red even before 370 disappeared and flight 17 was shot down. , $1.5years of losses billion lost in that. -- in that period. the full impact has not been felt yet. that will happen in the second half. a lot more pain to come for malaysia airlines. >> what is the timetable for this plan? what a