of the term, asia meaning the east.east of where? presumably london, paris or berlin or rome. if look at what's to unfold and overwhelming positive and to the mutual benefit of all countries in the region. that has been, i think, so much the story over the last 35 years. again to simply sound the alarm to conclude from that that the forces of nationalism and ethno nationalism or religious nationalism in some cases have simply evaporated and died is simply a false analysis. and the battle royale within the region and for its future will again center around how these two conflicting forces are contented with. forces of globalization, intensity drawing this region together and forces of nationalism seeking always to tear the region apart, and sometimes tear nation states apart. so, the report card for the last 35 years has been quite reasonable. then in the last several years we begin to scratch our heads and ask what is happening and it is a complex and variable picture across the region. we often forget the ancient lesso

replicate that across smaller economies of asia and we're the fourth largest economy in asia after china, japan and india. this equation is unfolding. so part of the american response is the transpacific partnership and the diplomacy associated with that. and for which there is a chinese counter narrative as well. i won't go into the probabilities and relative merits of both proposals. >> let me open it up for one or two questions. andre? >> thank you. i'm the chief representative from vietnam for the intrastate traveler company. wonderful address. thank you so much. so comprehensive. i just was taking notes from your remarks here. only thing that i have a question on is, in working towards this constructive realism, great term. you defined it well. but it seems like a fly in the ointment, so to speak -- >> seems like a what? >> a main obstacle to working towards constructive engagement with all those variables is that, of all the parties to the equation, only china -- only china -- continues to violate using violence to intrude into the exclusive economic zones of, you know, the philipp

for asean and east asia based in jakarta. he does work here on energy security and energy efficiency and coal technology and power infrastructure connections and etc. the doctor is a graduate of an economic development and policies from kobe university in japan. please? >> thank you very much. very good morning. i'm delighted to be here speaking to you about asia. for energy security. i would like to standoff by saying several challenges. that will give you a clear picture of the security in that way. the way asia is thinking and u.s. and not america and europe has slightly different perspectives. that's why i want to start by the challenges we are facing. the conclusion will be understood by the many participants here. as you see that asia is growing into the economic growth that is exciting. given the economic growth. that growth has many challenges. not including the rising of energy demand. the rising of energy is not a good thing. we have to curb those energy demands. by various measures. and also with the growing popula

response to asia. i heard most of them that i would agree with and i think the question is not -- is america doing something. clearly they are. the question is what america, what are they doing, is adding up to a set of actions unilaterally multilaterally and fundamentally impacting china's calculus as it presses out in the east china sea and south china sea and etc. there's the other piece that overhangs this which is that it isn't just about asia. something is talking about how much and security issues with asian partners, how much of it comes back to the ukraine and what is happening there and how the u.s. is responding. last year the response to syria, the crossing of the purported red line and many people in asia asking what are the implications of this for us. maybe that is an unfair question and out of bounds, but it is real. it's something that i think that many members of congress are sensitive to. so i would say in conclusion the architectural issues that we are discussing, there's a lot of p

asia policy issues.so, yes, there was a very, very good degree of bipartisan support for it. >> the lady here. >> my name is nadia with the liberty times. i would first like to ask, taiwan is asking for the u.s. to build submarines. first of all, i would like to know has any decision been made from the d.o.d.'s point of view? do you think this is contributed to the stability or the security of this region. thank you. >> providing taiwan with the defense articles it needs to maintain its security. i have been strongly committed to this throughout my career. particularly during my stint as the director or as the dep ti assistant secretary of state for chinese affairs in the state department. i continue to be strongly committed. no decisions have been made yet. as part of our overall on this and a range of issues. >> thank you. i'm david carl, a business consultant. another way to look at this. actually reflective of factional struggles within the relationship. robust bureaucratic actors that are resistant

asia will not enjoy it at all. in terms of energy security and they continue to have in terms of energy mix, coal is more reliable and provides energy as to billions of people. most think they will build as more power plant and stick to the public financing to be more realistic and provide a better environmental issue with a global issue. i do not. thank you. >> please introduce yourself. >> i'm nancy tom for the endowment for international peace. i have to follow-up on the previous question. they are like the world bank and being more reluctant with coal power plant. i was wondering if others might actually step into public financing like chinese financier or like the newly established breaks and the aiip. i would like to hear your opinions on that. >> our concern is that the japanese concern is that if there is no and the organization with the bank or aiib may have opportunity to find it with the project. in such a case if those new institutions have the same discipline focusing only on the efficient, it's okay.

a decade look back ago, the wta had to events in the asia-pacific. -- two events of the asia-pacific.oes start with the events in the region that our annual, so an can build our f based on a consistent basis. we have year-round media coverage. i have the greatest superstars in women's professional sports, from serena, maria, to bring a high exposure for women's tennis. and ultimately, we are making a concerted effort in grassroots development, especially in asia. in singapore, for the first time in our history, we have launched , under 14 andtars under 16 girls, with our top stars from 12 different markets in asia. that is just one small example of how we will build the sport in the asia-pacific. >> to build the sport, you need to have heroes. ,ne, and this part of the world -- in this part of the world, what a blow is retirement? >> she is actually here for the final. so how lucky am i? i have this great athlete, one of the most influential people in the world. .sia's superstar and now, she is a wta legend and she is already immediately engaged in helping the wta to grow the business

headwind hurt and be a in asia? >> not really. and havein competitive currencies that still have not --reciated and significant in significance, relative to trade partners. >> what about china? >> sorry. to finish a thought on exports, what is more important is the medium-term outlook and they focus oned to improving export competitiveness through infrastructure investment and improving with just six. those are the things that wall have to stay in the game and do better. >> in terms of policy, is china on the right half, as well? >> china, as we look ahead, we see a gradual slowing and it is slowing to about 7.4%. -- in 2016, the most important thing is that they are addressing the vulnerabilities that have developed over the last two years since the global financial crisis and at the same time, restructuring the economy so they have a more sustainable growth path. structural policies in that direction and many decisions. aboutant to ask you thailand's growth. down fromhe forecast 3% earlier this year. , whatlitary coup d'etat are

of asia's biggest budget deficits.lysts say these tubes decisions will help bring in a lot of investment and increase energy supply. the reason he can get away with these politically risky moves at this point in time, a slump in oil prices. that is giving him more room to act. brent crude in london is trading near the lowest since 2010. although voters tend to resist an increase in prices, inflation in india has slowed to a three-year low. that is giving him more room to act. with his landslide victory in may, he will have a stronger hand in pushing ahead with his economic policies. >> thank you for outlining all of that for us. indonesia will have a new president today. won the election on a wave of optimism. he facesamin reports some daunting challenges. today sees history being made in indonesia. -- inauguration of jokowi joko widodo. unusually for indonesia, jokowi does not come from the traditional ruling class. he's not from the powerful military, nor is he the psion of a political dynasty. >> i never dreamed of

across asia, the u.s. also had the best in two years. a foundation with some very different sectors. more on that later on in the show. a five taiwan and china is down, part of the connect delay. see, it is driving that higher. new zealand is closed for labor day. one of the best performers of the day from australia. and we see the bank of japan meeting. forecastedl indeed, up in april. don't forget the federal reserve and could it be the end as planned? tumbling at the open today, the hong kong moving the most in six months on the news then there is still no date for the link to shanghai. some think the occupy protests may be to blame. yvonne joins us now. good morning, rish. a pretty big blow releasing the statement yesterday saying no start eight or timeline yet on when the shanghai-hong kong connect will be open -- no start date. some are saying that this could be signaling china showing just how displeased they are that the hong kong government could not put an end to these protests now entering into the fifth week. this will give t

the concern is for asia or southeast asia, it is brimming with overcapacity. a concern is that? >> i would not over exaggerate the problem. results of at the asian airlines taking an aggregate in the first half this year, we saw significant growth in passenger numbers continuing. the bottom results for airlines are not good. the industry operated just below break even. that pressure across the board is being felt by everyone from the lcc's up to the full carriers. people are talking about overcapacity. byd factors have come down 1% or 2%. in this business, even small variations can make a difference between making a small profit and a loss. people are becoming more cautious about capacity in the short term. in a medium to long-term, everyone is still comforted about the growth. you see these additional orders being placed by many others across the region. we will need those aircraft to satisfy that growth. in the short term, there is fine-tuning going on. people are deferring some deliveries and accelerating some older aircraft to make sure supply and demand a

that's when "asia edge" returns. >> this is "asia edge." joining myself and john we have sherry from jpmorgan chase. let's talk about what's going on here in hong kong. it's been simmering, change in atmosphere today with the police being very visible, taking what they call as government property. i.e. barricades away from some of the people occupying central. how does this resolve itself now? >> i think it's very difficult for this to resolve itself. both sides have a very clear view and there doesn't seem to be a compromise between those two views. i suspect it will rebel on. from the perspective of capital market it's you look at the m.s.i. hong kong index that's gone down less than the china index. i think the falls we have seen in markets have been related to this point in chinese states issues with the brazilian election plus confusion around what's the fed going to do? fed raise rates or is it an issue still of weak economies? we had disappointing numbers out of europe. >> people keep telling us protests don't really have a big impac

strategic balance in asia is not a form of heart containment?it goes on to the question of the missions that can tame it. i mean, the structuring nation has existed as e-mail since the 40s and 50s. it was primarily constructed in those days as the principal reference to firstly a resurgent japan in the case of the australian alliance and not really in terms of the soviet union. so the alliance structures have long existed. there's often a long discourse of more marines going to die when. well, there used to be 1.5000 marines coming each year for three men. numbers 2.5 for each month. i would say holden extradition of the strategic talents put up by the double i double as because that is the strategic equation. it doesn't. it's kind of a normal evolution of alliance arrangements, which have multiple applications. so again, i go back to definitions of containment. it doesn't actually fit the term. there are probably other terms, which are better used in the international discourse to describe to a strategic responses, but containment is not one of

asia economic exchange. which helps american companies in asia's dynamic marketplace. aren american entrepreneurs most active in import and export trade. in new york, asian importers distribute a large amount of goods to retailers on the east coast. the fact that these importers could sometimes get their merchandise from china on credit helps to provide a large number of jobs for workers in wholesale and retail businesses in the u.s. the low-cost goods from asia also greatly benefit u.s. consumers. asian american firms are three times as likely to export compared to non-minority firms in the u.s.. some of the new york-based catered on their ethnic lines in the late 1990's. they are now taking orders from canada, mexico and china. many asian-american u.s.preneurs help the market make goods. u.s. asia trade agreement could be the new opportunity for korean-american exporters to sell more american-made goods, services and agricultural products to korean customers. as american manufacturers and farmers search for ways to expand their markets in asia, many asian-american en

he'll be there as chairman of the forum for asia. the group organizes discussions among political, business and academic leaders. analysts say the visit could help bring about a summit between shinzo abe and president xi, that would happen on the sidelines on the economic cooperation meeting next month in beijing. he last met with xi in july and told him abe wanted to talk. a group of japanese lawmakers visiting seoul has met with park geun-hye. they passed on the message that he wants to improve ties and say the south korean leaders expressed willingness but remains cautious about holding summit talks with abe. members of the japan korea parliament air yan union met park on friday in the run-up in of the 50th anniversary of normalization of diplomatic ties. she took up the issue on those referred to as comfort women. she says it's the first issue to be fixed in making a new start in bilateral relations. after the meeting, the head of the group says he conveyed abe's message. >> we told her prime minister abe's message that japan and

and asia-pacific region. a preview of the asia-pacific economic cooperation summit next month in beijing. this was hosted by the center for strategic and international studies. >> you know, in my professional live i've been around politicians for 40 years. i've been around analysts for now 15 years in this sort of environment, but i've never been in this kind of a experience before. you know, for someone who can walk you into a new space intellectually and help you understand the significance of that space and also its political importance, this is -- this is rare. i've been with politicians who when explained the significance of something will figure out the politics, you know, and i've been with analysts who understand the significance and don't have a clue how to think about it politically, you know? but very, very rarely -- the only other person frankly whose experience was like this was bill clinton. bill clinton had that capacity to walk you into an intellectual place you've never been before and help y

europe's biggest defense company has a big man for asia -- a big man for asia. -- plan for asia. ♪ xmarkets on the way down . following the trend of the selloff we saw on friday. extending this round as far as equities go from federal reserve officials saying the global economic slowdown could be severe enough to delay interest-rate hikes. we are seeing depressed stocks, singapore not bucking that trend. the fed is on track to into bond purchases this month, the so-called tapering process. hong kong, let's take a look. the protests continuing. 6/10 of 1%. it is all about police clearing out there a case near some of these -- barricades near some of these protests. these pictures are from the central district. barricades,ing some visibly out in force as they have not been in the last 14 days. that is a we have at the moment. down by 1.7% on the year to date basis. gradually being dismantled, but there is some talk of the policing they will not be clearing these protesters. that is all we have at the moment. the chinese premier says it has started a three-day trip to russia today. they

we'll see how that continues and how asia indexes relate. but for now, a positive start for the nikkei and topix. thanks a lot. we'll talk to you in a few hours. i'll be back next hour with more of your business headlines. here's a check on some other market figures. >>> every morning, investors turn our attention to asia. in markets around the world follow. >> from the decisions that should change the course of an economy. >> to the companies at forefront of change. >> up to the minute market roberts. >> analysis from around the world. >> get all the latest business news every day here on "newsline." >>> prodemocracy prodetesters he agreed to sit down for formal fau faulks, but students continue their sit ins. they're demanding democratic elections. most are students. some of the demonstrators have expressed high expectation for the talks on friday, wu others are more weary. >> the two sides will be able to consider another way to screen candidates for the top posts. and review the members of the nomination committee. >> translator: the gov

. >> the rise of asia? >> agents of change and a reflection of change -- the fact that so many more of the world's wealth is concentrated there. so many of the world's people are concentrated there. >> the obama administration made a public declaration of a pivot to asia. was that a mistake? >> in some ways, it was the framing idea of this administration's first term in foreign policy to dial down what the united states was doing in the greater middle east and dial up to asia because that was recognized as the part of the world more likely to shape 21st century history. >> the president wanted to dial down and get us out of wars. >> the problem with the pivot is not the idea, it is the implementation. when i taught at the kennedy school, we used to argue that 90% of life is execution. pivot is a good idea. it reflects the fact that china is a big challenge. we have important alliance obligations. asia is where the wealth is. military powers rising, nationalism is rising. we are not doing it. we not increasi

discuss the challenges with energy security in asia.osted by the center for strategic and international studies this is about an hour. >> i know people are still coming in but it looks like they are getting coffee. i work on the program here at csi s.. we are working with scott miller's team to put on today's conference. our next agenda item, the next panel is on energy security in asia. we know the picture in asia has changed very dramatically over the last decade at least in part because of the rapid economic growth. as a, we have to great panelists to join us here today and who will give us brief overviews of the situation from their perspective and then we will have a discussion involving the audience. so, the first speaker is jonathan, who is the acting assistant secretary of international affairs at the u.s. department of energy. previously, jonathan served as the principal deputy assistant secretary for the office of policy and international affairs and are really her before that can work the brookings institution on energy and f

what about the rest of the world and asia? >> it is a good sign for asia.se who are tilted towards exporters and countries like korea and taiwan pulls up they will benefit. -- and taiwan. they will benefit. it will be felt. in those two countries, those economies are more domestically oriented. the impact might be last. our favorite is those north asian economies. they are preferred right now. >> what about emerging markets and the strong u.s. dollar. there is more concern there are, isn't there? >> there is. especially if you look at the commodity producers in latin america and eastern europe. that puts a bit of lead on the growth beyond the political situation we are seeing already. >> all right. where do you put your dollars in the basket of goods? investors look around the landscape. the first place we put the money is in the u.s. and has been for a wild. specifically high yielding bonds. and, you look at the discrepancy of where the u.s. is going. mentioning going the other way. and other strong call is currency and the euro dollar. the euro weakness i

china has been trying to boost its presence in asia pacific region. washington views vietnam as strategically important as it's coastline stretches 300 kilometers around sea lanes in south china sea. ties with hanoi have progressed rapidly. >> for vietnam, stronger ties expected to bring diplomatic advantages. vietnam has been tangled in disputes with its gigantic neighborhood over islands in the south china sea. china set up an oil rig in may. both vietnam and china claim the islands. china's move was followed by a series of collisions between the country's vessels. >> at the state department has taken steps to allow for the future transfer of maritime defense related articles to vietnam. this supports vietnam's efforts to improve the domain awareness and maritime secure capabilities. >> the they have released a statement saying the government welcomes any statement that provides the u.s. partner. approval of lethal equipment will be decided on a case by case basis based on vietnam's request. observers say washington could eventually sell hanoi surve

. >> this episode "asia insight" focuses on south korea's new citizens.outh korea continues to globalize its public and private sectors for the sake of its economic growth. but the country is also struggling with a labor shortage, a growing income gap, and an aging society. as one solution, the government has been increasingly accepting foreign labor. the number of foreign residents in south korea has now reached over 1.5 million. doubling over the past decade. this p.r. video was made by the government. south korea has established various laws to make it easier for foreigners to live in the country. and also to attract them here. one of the laws aims to increase foreign labor. another called the multicultural family law, aims to promote international marriages. in 2011, the government revised part of the nationality law to improve dual citizenship for skilled foreigners with outstanding talents, starting a multiple citizenship system. the home rink of the anyang ice hockey team is located on outskirts of seoul. on this day, they are playing a preseason f

at they mean for the health of asia upon economy. asia's upon economy -- economy. ♪ >> time for today's company news. that is after the u.s. treasury department proposed changes designed to divest companies locating overseas. the merger deal would cut the it would be the biggest ever tax and version if successful. have agreed to team up to create a cloud computing partnership. sap use the data centers to allow the german company to distribute software on a larger scale online. it will give them cloud revenue to make up for the declining demand for hardware, which has dragged down the sales in the past nine quarters. halo is exiting the north american market. the ceo says the app, which for andsers to pay order cabs, is too expensive. it has struggled against rivals like uber. to on several new products. consumer price inflation came in at a 1.6%, just below estimates. fx, simon smith. prices declined for a 31st month. this highlighting the weakening in need to mastic side? the d -- in the domestic side? the demand-side? >> everyone k

. >> this episode of "asia insight" follows korea's global employment system which has been attractingttention around the globe. ansan is some 30 kilometers southwest of seoul. in the district of wongok-dong, over 35% of the population is made up of foreign residents. wongok-dong immigrants hail from 15 countries. including china, vietnam, indonesia and places as far as way as uzbekistan. on weekends the town's center is a melting pot of different ethnicities. >> hey, how are you? >> recently many stores offer a wide range of products from all over asia, making life easier for the foreign population. foreign laborers are permitted to stay in south korea for up to four years and ten months. as long as they are working they are under no particular restrictions. the south korean government introduced the employment permit system in 2004, one that is unprecedented in the world. up until then the nation only accepted foreign workers as interns. because of low wages interns would suddenly quit their jobs, leading to an increase in illegal immigrants. south korea needed a new foreign labor po

. >> asia and europe need each other economically and politically. and also our security is interlinked. >> japanese prime minister shinzo abe stressed that his abenomics strategy is producing results. he cited the highest rise in workers' pay in 15 years. abe expressed hope his policies will lead to economic growth not just in japan but other parts of asia and in europe. the prime minister also promised $40 million worth of support in order to prevent and contain the ebola outbreak. and he offered to provide japanese-developed drugs that are possibly effective on the disease. on the second day, leaders will discuss the situation in the south china sea and east china sea where china has been stepping up maritime activities. delegates will also focus on measures to deal with the islamic state militant group and the crisis in ukraine. on the sidelines of asem ukrainian president petro poroshenko will meet with russian president vladimir putin. analysts are watching to see if the two leaders can achieve a breakthrough. >>> baghdad has been hit with a fr

gets to asia. so when you're talking about any kind of force protection or force projection, we are much closer here than almost anywhere else in the world. >> reporter: competition between the u.s. and china is set to heat up as the two powers vie for supremacy in the region. charmaine deogracias, nhk world, guam. >>> time for the latest in business news. more people are turning to smart phones and tablets, but that's not welcome news for the people at hewlett-packard. good morning. tell us what's happening at hp. >> hp isn't known for their smart phones or tablet computers. they make more traditional gadgets like personal computers and printers, but fewer people are buying those things and that's hurting hp's bottom line. executives are trying to turn things around. they've decided to split their company in two. officials say one unit will focus on its old business of computers and printers. the other unit will target corporate clients, providing cloud and other data management services. executiv

what is going on in asia? >> as you can see, it is tight.biggest maker of many cars in japan is down, and domestic sales have pretty bad figures, there has been no substance since 2007, and that is why it is down. to shery ahn. go posco was news that building a plant in argentina, and that is why they are up. thank you for joining us on "first up," for today. ♪ ♪ >> good morning, everybody. i am rishaad, live in hong kong. this is "on the move." italy, on top of the ecb left. and the best game we have seen since march with stocks, and from one market to another but suspendedt delay, the state of the hong kong shanghai link.

you think of the term, asia meaning the east. east of where? presumably london, paris or berlin, or rome. but if you look at what is unfolded in asia itself, it's the internal dynamics which have generated so of the health, prosperity and the success. and the external dynamics with extra regional partners have been important, particularly the relationship with this country and its massive market, the united states. but the intraregional dynamics have been overwhelming to unfold and overly positive. and that has been, i think, so much the story over the last 35 years. again, to simply sound the alarm, to conclude from that, that the forces of nationalism and ethno nationalism or religious nationalism have simply died is simply a false analysis. and the battle royale within the region and its future will, again, center around how these two conflicts forces are contented with. forces of globalization, intensely drawing this region together and forces of nationalism seeking to always tear the region apart. and sometimes tear nation s

abe and lei attended a banquet at the asia europe meeting. a senior japanese official says they shook hands and smiled and spoke briefly as other world leaders were about to leave after dinner. he says abe and lei did not discuss a proposed bilateral summit on the sidelines of the apec meeting in beijing. the chinese foreign ministry spokesperson says he has no information about the conversation. he says china's stance on its ties with japan is clear. >> translator: we demand that japan resolve serious and delicate problems in our relations properly and sincerely and take action to remove political obstacles in developing those relations. >> prime minister abe has also not held talks with chinese president xi jinping. >>> organizers in china are rushing to finish preparations to host a top level economic meeting. world leaders will gather in beijing next month for the summit and chinese officials are focused on their sideline encounters. nhk world reports. >> translator: located in the suburbs of beijing, it is been dramatically transformed f

i don't see us doing nearly enough in asia. what we seem to be doing more is going a bit to -- from crisis to crisis. some of the areas we have chosen to investment -- secretary kerry's investment in the israeli-palestinian investment. you would say that was an odd choice. do not look particularly right. >> if it was successful, it would have had a huge impact. >> i don't think so. we have reached a moment in history where that crisis matters a lot to israelis and palestinians, but i don't think it would have affected the dynamic in syria iand iraq. the whole dynamic of the larger middle east. >> with that respect -- it seems to me, if you could remove that. it is not that those problems would not be there standing alone. would people pay lip service to them? it is on everybody's agenda in the region. if you can take that off the table as an issue of conflict, you could make more progress on these other areas. >> i am not so sure anymore. i think the answer -- >> they will say it is true. every leader over there. no single lead

you're watching "asia biz forecast." i'm yuko fukushima. japanese officials say the economy may have passed an important turning point and the direction is down. that's not good news for prime minister shinzo abe. he has said repeatedly his administration's big mission is

slower economic tisty in europe and -- activity in europe and asia is playing its part. the price per barrel is sliding because of worries about week demand and oversupply. there's another factor in play - o.p.e.c. 60% of oil comes from o.p.e.c. countries, normally they work together to keep prices dopping by coordinating production quota. tensions between o.p.e.c. nations may be contributing to the latest oil sell off. snowbird ski and summer resort explains. >> reporter: -- mary snow explains. >> reporter: behind the latest drop, friction between members, coming last week when saudi arabia cut prices to asia. it acted alone and seen as a way to secure the market. some analysts say it signalled strain with other gulf countries putting o.p.e.c. to the test. >> the most significant tension within o.p.e.c. is between saudi arabia, and iraq and iran. those countries have been paying signals about wanting to increase production and share of the market, and an expectation that saudi arabia would make way, would reducists own production to keep the the market balance and creat

asia, 18 currencies in and the u.s. driving it up. that is because of interest rates and performance regarding currency in indonesia. you can see jakarta. factor that is down. the biggest gain was in financials at 1.5%. improvement stocks and the manufacturing industry may benefit from the policies. there they are. i believe you see strong gains. tech stocks and financials. construction companies are driving higher on the first day of his presidency in jakarta. >> thank you. gettingvestor sentiment a snapshot. joko. let's head back to the inauguration of joko as president. we are there. important and memorable day. what is happening there? >> yes. it is. where im am is packed with dignitaries and parliament -- politicians. kowi will be the seventh indonesian president. it is the first time that one of elected president has handed power to another. include tonyries abbott. and john kerry. president will be welcomed by the outgoing president. they will give him a tour of the palace that has been his home for the last 10 years. this is a

even in asia and elsewhere. people look at that and say wow can we count on the united states the way we've used to and i think the's is no. >> rose: it's a new reality the way the world works. >> yes, applying the security pfltz a little bit more. there's a little bit less to fall on the united states and that makes for a messier world. >> rose: does china want to be a stakeholder. >> they're not there yet. i think the day may come but there's simply the priorities now particularly for the next eight years while xi jinping is president of china. there's this period of reduced economic growth, maintaining political primacy of the party. doing as you said something about the environment, doing something about corruption. i don't think china yet feels it has the luxury to do much in the way of being an international stakeholder >> rose: where do you put putin and russian as a new force. >> they're something of a spoiler. russia has decided its future does not lie heavily in european integration. and putin will tak

the mood here at the asia festival here is confident. a third of the population here have asian roots. many immigrants and their children have worked their way up to middle and upper echelons of american society. life on the cosmopolitan pacific coast has changed many asians. but they've also changed america. gym class at the mission san jose high school in silicon valley. here, the growing asian influence is particularly apparent. the school gets better table tennis and badminton results than it does in american football. when principle zach larsen attended this school, nearly all of his classmates were caucasian. today, nearly 90% of the 2200 students are asian. he explains how the academic climate has changed. >> i've heard kids joke about the b is an asian f and that sort of thing. but overall, the kids work hard and they do very, very well. our school's average gpa is quite high, up in the upper 3s and the kids work hard and it shows. >> whether solving equations or learning languages, they are diligent and eager to learn. but the c

and in asia, the yen. to the bank of japan meeting this friday, but before .hat, we have tomorrow this is again in august. and here is the yen. you can see a bit of a dramatic shift. crucial one. that is the japanese yen. and obviously, the ecb looking at the bank authority, and you can see the waiting for the european banks. 8.10% change. and the euro. those are the forex markets, the stories running markets this morning. as john hascourse, been mentioning, talking about the health of the eurozone banks, the ecb with the latest results of the stress tests. here is all you need to know in 60 seconds. now, it is even easier for you to stay in touch with us. you can follow was at bloomberg tv. you can also go to my handle, tv, as well,ishad and we have about a few minutes to go before the start of the trading week. let's look at the prospects. aboutere was a loss of 1/10 of 1%, and features indicate we could have a steeper loss than that. and some positive signs, something for the bulls to put their hats on.

. >> next on the part of an all-day conference on asia with business leaders and policymakers from asiatates perspectives from t u.s. and 75 japanese governments and business communities. first, a keynote address from former australian prime minister kevin rudd he talks about u.s.-china relations. this is hosted by the center for strategic and international studies. >> in my professional life i have been around politicians i have been around analysts for 15 years in this sort of environment, but i have never been in this kind of experience before, you know, for someone who can walk you into a new space intellectually and help you understand the significance of that space and also its political importance, this is where. i have been with politicians who when explained the significance of something will figure out the politics , and i have been with analysts who understand the significance and don't have a clue how to think about a politically, but very, very rarely -- the only other person, frankly, and my experience was brooklyn. he had that capacity to walking into an intellectual plac

he called it the asia infrastructure investment bank. now china's finance minister is backing the idea. he held a uh news conference after the apec meeting and said there is a massive short fall of money for funding infrastructure in the asia pacific. he said nobody brought up the issue at the meeting though they are aware of it. >> it would compliment the world bank and asian development bank. officials welcome the idea. >> sources say araengsment where is r made for nations supporting the proposal to exchange memorandums of proposal in beijing. japanese government officials have said they will not participate. they have expressed doubts about the transparency of management. let's check on markets now. investors on wall street worried by shootings in ottawa and another fall in oil prices. u.s. stock prices ended the day lower. the blue chip dow jones shed nearly 1%. now an update on how investors in japanese shares are reacting. he's standing by at the tokyo stock exchange. good morning. what can you tell snus. >> good morning. it looks