japan occupied china, fought china cup bombed china, tanks troops. who was supplying japan with all that equipment? united states. you will see quotes in the book that it didn't matter if china was lost to the united states. china had no resources that the u.s. couldn't get somewhere else and japan was by far america's number one -- so the japanese military was going into china and was fueled by american oil and american steel. in 1938 the song family and chiang kai-shek thought they had a way to get the japanese out art of china. they established a china lobby organization in downtown manhattan two blocks from the public library. it was a china lobby organization that was staffed by american missionaries and as a front man they had henry stimson who is called the first washington wise man. henry simpson was former secretary of state secretary of war. he was a wise man genius of the 1930s. so this committee seem to have an american front but it was funded by china lobby money from the songs then chiang kai-shek. this propagandize the united states. e

let's talk about china.t was a surprise, but a move over the weekend to stimulate the waning economy in china. what is the pboc worried about? surprise,ink it was a though maybe not that surprising. we are starting to get a lot of these weekend moves. they are still concerned about growth. i think the correction has been longer and steeper than they expected. one day after we get the trade data last week, we get another rate cut. i and not sure they can do much about the trade data, but the authorities are still clearly concerned about growth. angie: they released q&a as part of their policy moves and the pboc noted that it is having to walk a very fine line when it comes to monetary operations because it has got one eye on the slowing economy, and another eye on growing debt. paul: they have a tricky trade-off. we got into this mess by having mispriced credit and too many developers building too much stuff. now they want to make sure monetary conditions do not get too tight. they do not want another debt bo

this agreement is not a favor we give to china or that china gives to us. it is in the mutual interests of both countries. like all agreements it's a frame work in which decisions on export technology and materials are made. the agreement contains all the u.s. nonproliferation guarantees required by the awe tommic energy act, safeguards, peaceful use assurances peaceful assurances storage retransfer enrichment, and reprocessing of the u.s. obligated material. it contains enhanced features beyond those contained in the current u.s.-china agreement. china's nonproliferation record improved marketedly since the 1985 agreements. it can do still better and we expect it to do better in the nonproliferation field. implementing this agreement better positions the united states to continue to influence the chinese government in a positive direction on nonproliferation objectives. the current agreement allowed and this agreement will continue to facilitate deepened cooperation on threat reduction export control border security and nuclear safety and nuclear security

he called on china to look beyond their disagreements. >> i stress the need for china to reconsider its approach on some of the issues that hold us back from realizing full potential of our partnership. i suggest that china should take a strategic and long-term view of our relations. i found that chinese literacy responsive. >> translator: both sides have enough political wisdom to manage and control the differences. we will not let the differences affect the development of our overall relationship. >> modi and lee presided at the signing of 24 agreements to promote cooperation in a range of fields from high speed railways to a yoga college. modi started his three-day visit thursday in the home province of president xi jingping. they visited tourist spots together, keen to display their warm personal relationship. >>> boosting business ties with china is at the top of modi's agenda. he's been trying to fulfill his pledge to revitalize the indian economy since taking office last year. nhk world's ab she can duel ya has more from new delhi. >> reporter: modi has been encouraging foreign f

in 97 china points, china points to the u.s. that it would not begin new nuclear projects in iran. 2011 worldwide threat assessment by the director of national intelligence listed national proliferation is a concern at that point. and 2011 the same threat assessment said north korea and entities in russia and china continue to sell technologies and component the middle east south asia buyer julia simkins for wmd and missile programs. the 2015th statement did not include similar language. could you give us again a highlight of your perception outcome in your assessment on the current proliferation activity in the region china is initiated between iran specifically north korea. >> that is just not an area that also the purview of the retail with. the issue in terms of chinese sec committees and other parts of the world were properly falls under the state department. >> thank you here mr. secretary. >> i guess that is me. first to be clear, in 1997 agreement was about official chinese government support to the kiddies, research and

/china 1-2-3 agreement.hina's nonproliferation agreement has improved markedly since the 1985 1-2-3 agreements. it can do better and we expect it to do better in the nonproliferation field. implementing this agreement will better position the united states to continue to influence the chinese government in a positive direction on nonproliferation objectives. the current agreement has allowed and this agreement will continue to facilitate deepened cooperation on threat reduction export control, border security, nuclear safety and nuclear security norms. this agreement also has economic benefits. china has the fastest growing nuclear energy program in the world. it constitutes one-third of the global market in civilian nuclear energy. american nuclear suppliers are there now and they are keen to play an even larger role in the chinese market. these opportunities could support tens of thousands of high-paying american jobs and the u.s. nuclear industry strongly supports this agreement. as senator cardin noted t

china has tremendous china has tremendous challenges and issues more than we do. they need to read their whole economy. they are working to do that so you can make as big a mistake exaggerating the strength as underestimating it so that's putting it into perspective and i think the administration has done a day job that is comparable to what we have had for some time. i think we need to recalibrate now this is a different china and it's going to be more difficult and it's important to get those done. you have seen the leaders in previous stages and so the personality for trails of the other leaders including the current president are so fascinating. as uss their ability to handle the normandy of the economic reform challenges the corruption charges into the other things they face. in the recent chinese history tell me about your relationship and why you think he was such a pivotal character. >> that is a great question because the first chapter in the first scene he the reason we have so much respect is he was a pioneer in terms of writing reforms and they are nev

anyway, china has the technology, china has the capital. the demographics. india has the ability to become a manufacturing hub. i think that is the way for them to work together. >> i want to ask you about interest rates. chinese banks have cut interest rates even as we debate the prospects of hiking rates. how do you see the divergence in policy?arket however you think that will influence the reserve bank of india's thinking? -- how do you think this will influence the reserve by give indiana's thinking? >> this will be a year of divergent monetary policies across the world. monetaryvery country's policies are getting driven by their own macroeconomic conditions. every different country is a different part and there are macroeconomic conditions so therefore it is a recognized fact that this year we are going to see divergent monetary policies. in fact, for institutions like imf, this is one major task of they will have to handle. as the monetary policies remain divergent. having said that, i think and yet clearly moving in one particular d

over to china. known as one of the most smoker friendly countries in the world. today, that all changes. beijing attempting to change that with the harshest antismoking rules ever seen in china. it is going to affect a lot of smokers. reporter: a lot. -- if youlook, if you go to any restaurant or bar, you have a pretty good chance of seeing or smelling a cloud of smoke in a lot of places because it is a very common habit here in china. in cultural terms, even offering a cigarette to an acquaintance is considered to be polite. refusing a cigarette is actually considered to be rude. beijing says this needs to change and they need to take massive action. the citywide ban is seen as a trial run for a national law. what this blanket ban will include his public places such as work, school, hotels, public transport, airports even. inmore smoking lounges historic tourist spots as well. overall havechina lighter bands already. this is the strictest one. the biggest did -- the biggest difference they say is t

deficit in terms of china? china? and as a part is having read 1 billion customers in china inc., and knowing how under those authors u.s. companies really work -- really were taking a beating especially cellular companies and companies like at&t and motorola that establish the infrastructure but then they were kicked out in terms of maintenance contracts and it was kind of a mess. i think there's one company we say that was find $165 million. so doing this is very difficult and i just wondered, you know what your perspective is unchanged? >> you couldn't see out of my last question, brevity is not my virtue so i will try -- [laughter] as funny but not that funny. [laughter] >> so let's start with the deficit. i say that even with our deficit problem and fixing our endowments is usually important to the comments i made earlier in terms of restoring our economic strength. and i think it's something the chinese points to, the world looks to. if we want to continue to be a superpower years into the future, that's somethi

and will failure to do so embowlin china as a -- embolden china as a result? the question is, what is the obama strategy? we look for answers. also president obama has a party inviting leaders of 6 persian gulf arab nations and almost no one showed up, president met with saudi crown prince. we called the meeting the g2 summit as a result. and white house refuses to acknowledge the snub. it is hard to explain why embahrain a king would -- why elba rainelse bahrain's king would attend a horse show instead. we take it up with ralph peters, and john hanna. strategy on the rails of amtrak last night investigation of the deadly am amtrak train derailment is focusing on the excessive speed, the train was traveling over 100 miles an hour when it derailed and crash in philadelphia running twice the speed limb out that stretch of track, we have a full report for you on the tragedy on which at least 7 people were killed, 200 others injured. we begin in china and washington with more tough stock from the obama administration, the state department promises there will be qu

/china relation with the recently signed china civilian cooperation agreement. the current agreement, as you pointed out, is set to expire on september 30th of this year. it was signed 30 years ago by president reagan. it's interesting to point out that the implementation of that agreement had to wait for 13 years because of the senate conditions on china's proliferation activities and then because of the aftermath of the tiananmen square massacre. up front, i want to indicate that i'm supportive of a nuclear power. it will reduce our carbon emissions. u.s. nuclear cooperative agreements with other countries provide the united states and a number of important benefits. first and foremost, the 1, 2 3 agreement can help achieve our nonproliferation agreements because we seek the highest nonproliferation standards in these agreements, including ensuring that nuclear technology is never misused for military purposes. it will be an issue i expect our committee will want to explore. second, it's necessary for maintaining a robust nuclear industry. this represent as ma

shery: a look at china first.lly jumped on the social media bandwagon and opened up its own weibo account. also, instant messaging. it will go live this morning for the first time. a few minutes from now at 10:00 in beijing with a press conference starting at 10:00. white paper entitled china's military strategy. we are interested in that. you can get updates. it is only in chinese as far as i know. it has 38,000 followers. it is following 30 people or organizations, most are official media organizations and military publications. this will help increase transparency about china's national defense issues. of course, whether you want to believe that or not is up to you. this is quite a new and bold the defense ministry. other parts of the chinese ministry have had their own social media accounts for a wild. for example, the people's liberation army opened one in 2011. they are late to the game. shery: it says a lot that they are doing it. bigou are looking at a icon. promotedhnny i've was to chief design officer. t

the first tory i tell is about china telecom. the first major ipo restructuring that china and did. when i worked with goldman sachs and the germans on deutsche telekom that is between six or eight years. when they want to act they move quickly in it was done in six months. it was extraordinary but it was of vehicle he was a master all these transactions lead to the bigger picture iran would use those to open china to more competition just like he used the succession with the wto. >> reminds me with my first trip to new china. to go into red china and then after a stop in shanghai we had a stop in alaska and ronald reagan tells me about the so-called capitalist. he saw a different side of china which has had an evolution over many years now. clearly into that capitalist model but yet they still feel the government itself is stealing intellectual property with the cyberattacks so how do you reconcile that attitude to the international marketplace? >> let's step back to understand what china is and is not. the current president is very, very direct and makes no mistake about communica

china airspace.k the prospect of another air zone is a real risk? >> eurozone countries have been discussing this. i believe i made my position quite plain to china, that they would be deeply concerned if they were to impose in arizona over the south china sea. australia made its position plane when such a zone was declared over the china sea. >> came to the position of foreign minister as islamic state was emerging as a serious threat to world stability. have you been surprised at their sudden rise? you consider it the greatest threat to global peace? >> i see it as the greatest national threat australia faces. in my travel overseas, europe or the united states, wherever i travel, the issue of isis is raised as a serious threat. i see the ideology as the most poisonous, barbaric ideology we have seen since the second world war. it is a significant threat when you think about 80 or 90 countries claiming their citizens are taking part in the conflict in iraq and syria on behalf of isis. it is global,

haslinda: specifically china? guest: china, indonesia, smaller countries as well.hink the whole of the asia-pacific has a lot of opportunities, as the economies are growing and more and more people are flying. right now asia-pacific represents one third of the world traffic. to represent much more and that they are going to -- they are going to represent much more than that. why there is a lot of interest in the asia-pacific region. we believe there are markets that are much more suitable for smaller aircraft that can be much more efficient to fly around. haslinda: what potential do you see in markets like india and indonesia, where more and more people have more money? there are moving away from taking the train and they are now flying. what kind of growth potential do you see? guest: these are the reasons we are looking at them to give an example. a letter able in these countries -- a lot of people in these countries, a lot of violence. there is a need for aircraft. india, they have a very poor infrastructure. and a huge country. these are the opportunities that

>> china and the south china sea is the last sea, last waters china can have. vietnam wants international society to criticize china. but china will not compromise to them because the south china sea is the vital interest for china because their target rival is united states not other countries. >> reporter: some american lawmakers are voicing their concern about china's action in the south china sea. congressman mike rogers is a senior member of the house armed services committee. he said the speed at which china is advancing is a threat that can't be ignored. and he emphasized the need for neighboring countries to work together. >> if we continue to work collaboratively and are successful our efforts to meet whatever effort they bring so they know ultimately it's not going to be successful in achieving the ends that they desire. >> reporter: taiwan's president says tensions must be eased. he's proposing a regional dialogue and a piece initiative that would include a code of conduct. european counsel president said china's activities would make it more difficu

china recognized the south china sea is the last sea, last waters china can have. the international society to criticize china. but china will not restore compromise to them because the south china sea is the vital interest for china because their target rival is only united states, not other countries. on the other hand, stable condition of south china sea is very important for the izian pacific region and also the international society. >>> taiwan's president ma ying-jeou aims to ease tensions in the south china sea. he is proposing a regional dialogue and peace initiative, including a code of conduct. >> i would like to propose the south china sea peace initiative as a viable means of dealing with current issues in this region. >> ma outlined his idea at an international law forum. his initiative includes joint development of natural resources while putting territorial disputes to one side. he said lessons from history should be converted into efforts to promote peace and stability. and he urged countries in the region to exercise restraint. taiwan has no major

in the south china sea.he progress ahead. >> also, concerns over what will become the ancient city of palmyra now that isis has moved in. >> television legend signs off for the final time. david letterman says good-bye. >>> welcome to our viewers here in the u.s. and around the world. we are your anchor team for two hours. i'm errol barnett. >> i'm rosemary

do to match china?maybe we should sign a weaker agreement with korea and say we have one upped china and we can make an agreement. i would say the same thing with our step. i have a lot of smog -- snide comments but it would take us off comment. if the u.s. gets tpp done adds an agreement dpp will outweigh rsep. if we fail there's an opening for the only negotiations getting anywhere even if they are very low ambition is a china led negotiation but what is not going to be is -- a prefinished tpp and rsep comes along later that means u.s. influence has declined in that silly. >> what we need is a therapy session. >> a lot of this impacts japan as well and so looking at this from the perspective of japan are there any challenges and opportunities and doesn't spur an activist for the trilateral agreement with north korea? >> to some extent they have one of the bilateral to move faster than the trilateral. it puts pressure on japan and you know there is no prospect of fast movement through the trilateral. t

will the campaign have a residence in china as china goes up the value chain?ill it start investing with factories with its southerly neighbor? guest: the challenge with manufacturing and the -- manufacturing in india are twofold. before india can be a manufacturing powerhouse, the infrastructure deficit has to be crossed. number two, the indian manufacturing has to be more export oriented and it has to be linked to the supply chains of asia would start and end in china. for india to become a manufacturing powerhouse, there would have to be independent in china from two points of view. can try to help in the alreadyucture? they are talking about pipelines and energy coming in. they are also talking about railways and railway lines. then they are talking about setting up two big manufacturing chinese companies can manufacture in india. , we have done some studies on the competitiveness of china and india in some areas, like steel products and auto components. over the last five years that we have tracked, the chinese competitiveness and the advantage, is actuall

that is china.eople are very disappointed, especially this year after a big run last year. modi will continue to implement reforms. angie: 2014 was the first day in office for modi. he has done what some would say ok, but more needs to be done. he's got opposition in congress. guest: it's a big country. -- each state is different. it takes time. the markets always go ahead and get excited. they realize now that it may not be as well. but the medium term of the country will perform. anyuld be a buyer of weakness in indian equities. , some say the budget could have been so much more aggressive. we also saw in terms of capital investment in public infrastructure, kind of go up for india. how does india unleash the power that is india? it has been mired in bureaucracy for so long. they need to make it easier to acquire land for investment. they want to do something on that front, but we haven't seen any more details. we need to wait on that. the other things is to introduce the national sales tax across

could bes it fears without american resolve china will steal the south china sea. here's what happened. head of u.s. pacific forces says defense cuts are doing to his power. >> reduce my ability to manage crisis space and provide options to the president and congress and diminishes prestige and credibility in the region. >> there is more. china also claims other island chains like the japanese claimed senkaku islands in the chinese satisfy. but they will defend them if china uses force. >> let me reiterate security is absolute. article five covers all territories under japan's administration including the senkaku islands. >> why is china constructing artificial islands? >> because they want to displace american power and take ownership of the energy supplies there and fishing routes. but it's trying to provide themselves and that's why we can't allow it because it would destroy the rule of law. china is trying to become an impearl power. they can't build islands hundreds of miles from where they are. >> does china have nuclear sub bar reasons. >> china has nuclear

china a huge market.rs are probably on the safe side of betting this is a big new space for them. but is $600, crossing that mark now just a banner day for them in general in terms of where the company has gotten. >> it will bring up the question is whether netflix is ripe for a stock split, which keeps coming up for every single earnings call, the speculation if that's going to happen, as the price of the stock keeps happening. international is the name of the game for netflix at this point. and the head of content at netflix said it best this week when he said it's a huge asterisk. you can't be an international company and have china be an asterisk when it's that big a part of the world. you can't have that you need to figure out how to get in there. whether it's with a partner. i think what's most interesting, kelly, is this positioning of jack ma as gate-keeper. we're seeing these u.s. companies get on jack ma's team because he has what we would perceive as a fairly good relationship in china. given t

he signed up on china's twitter today, a partnership with the world wildlife fund in china. bob, what do you make of that? bob: apple sees their future growth will be in china. the u.s. smartphone market has already hit the kind of peak levels we're seeing in china. for the foreseeable future, the u.s. market will be a tough spot. apple has to make a bigger play in china. not everyone in china knows or thinks of apple as a green company that thinks about the environment. this is a public statement to say this is how we think and you should think of us in a positive way. you are important to us. emily: if not china, where else? brian: we are two hours in a game of risk. apple is trying to ask -- expand to china. alibaba trying to get a foothold in the u.s.. nobody talks about 11 main anymore. they did a horrible job to marketing u.s. consumers. instead, they are investing in zoo lily and lift. alibaba made a secret investment. we are seeing that play out on both sides of the pacific. emily: bob brian, and brad thanks for joining us. brad, you are staying with me. it is time f

i think -- a strong china, a dedicated china. united china will actually become a very stablizing force in this part of the world. >> the line from china is that we're the big power on the block. you should be part of our benevolent power structure. certainly some including the countries surrounding china in the region might disagree. rosemary. >> david, quickly, how potentially dangerous is all of this? >> well when you pour military assets into a disputed region look this. it could be very dangerous. there will be some incident. accidental or on purpose that can create a christmrisis. issues at play between the u.s. and china. their relationship. last count. 550 billion in two way trade between the two country. that still is the major relationship i think between china and the u.s. but as china flexes its muscles, militarily, the u.s. is clearly, showing a sign to allies that it is willing to step into the breach. and put its muscle out there in the south china sea. how it all end depend really on how the two powers react to ea

and the philippines, but other countries, and china has disputes with japan in the north china sea aso settle this diplomatically and peacefully without any further confrontation or any other actions that could inflame the situation such as the creation of what appears to be military bases and air trips on these islands. >> is that china's goal? >> well china, as you can see, is building a huge airfield there, and has many military-type ships there. they are essentially creating a military base and extending much further south from their border, which would make it possible for instance for china to assert more control over the other islands in dispute, and to challenge the fishing vessels or military ships or cargo ships from the other countries. >> what do you make of what happened aboard that u.s. spy plane that was flying over china with jim scuitto aboard? what do you make of that exchange? >> obviously china is trying to assert its authority and it declared this to be part of their air defense territory and basically warning all other military planes to give proper notice to sta

the first story that i tell is about the china telecom. it's the first major restructuring that china did and i said when we worked with them this had taken six to eight years andr a while to decide what they want to do but this was done in six months and it was extraordinary that it was a vehicle. i told a story about how these transactions fit into the bigger picture and he used them to drive reform in china and open up to more competition just like he used the succession. >> it reminds me of my first trip to china in 1984. he was still talking and going into the trip. by the time he came out after a stop in shanghai meeting with university students, we have several days of stopping in alaska in fairbanks he had a news conference and the great anti-communist started talking about the so-called capitalists. he was seeing a different side of china which brings me to you have seen this evolution many times now. clearly it's what they want to do in the international markets yet they still feel the government itself according to every officia

to the chairman who i admire greatly, you mentioned china. let me mention china. china makes wide body jets that are getting into the wide-body jet business big-time. china makes about everything we're make. boeing makes 787's in south carolina and washington. g.e. makes gas turbines in greenville, south carolina, mostly sold through ex-im financing to the developing world. if you're worried about china stepping in, if we don't have this great trade deal, here's what i'm worried about -- that if our bank expires then the market share that we have today because we have competitive financing goes away and the biggest beneficiary of closing down the bank is china. i'm not going to subject american manufacturers to trying to sell their products overseas without ex-im financing when all their competitors have an ex-im bank. as a matter of fact, china's bank is bigger than the united states france, england and germany combined. airbus great airplane. france and germany have an ex-im bank. so an american manufacturer when it comes to wide-bodied aircraft or in i other pr

they say that the south china sea is big enough for both china and the united states.he city falls to islamic state fighters. the battle has been raging for six months and the loss a setback to u.s. authorities. shiite expected to lead militia forces to leave a fight back. -- lead a fight back. hasprime minister of nepal appealed for more help from the international economy as his country struggles to recover. he hopes to get help at an enhanced level for rehabilitation and reconstruction. the magnitude 7.8 earthquake hit nepal in april, killing more than 8000 people. last tuesday, a second quake killed 117 people and injured 3000. way,ad: still on the looking at chinese property developers again, under pressure after the major default we have been discussing. debt in the real estate industry. ♪ "trending business." the bad indian loans may rise to a record high with a percentage of assets expected to turn bad. stressed assets will rise to 13% of total loans by march of next year. indian central bank says they do not see it leading to financial crisis. that the governm

rain from southern china into japan, this is a seasonal frontal system. the system will be energized by the typhoon. heavy rain will pound mainland japan. now let's go the americas. we have ana over the atlantic. this is not a tropical storm, actually this is a subtropical system. it's not a tropical system because it contains cold air in the upper atmosphere but regardless of the definition it is expected to produce significant weather event over the eastern portions of the united states. right now packing winds of 75 kilometers per hour. the system will reach the coast of south carolina by sunday evening local time. we already have some watches in effect along the south carolina and also north carolina that means tropical force winds are expected to occur by your saturday. this will likely become a low pressure system and move along the east coast as we go through next week. and many cities such as new york city as well as washington, d.c. could be battered by the storm so stormy conditions will happen in these places on your monday. please watch out fo

-china relation with the u.s.-china civilian nuclear cooperation agreement. the current agreement, as you pointed out, is set to expire on december 30 of this year. it it was signed 30 years ago by president reagan. it's interesting to point out that the implementation of that agreement had to wait for 13 years because of the senate conditions on china's proliferation activities and then because of the aftermath of the tiananmen square massacre. upfront, i want to indicate i am supportive of the development of a nuclear power. it remains a smart and effective way for the united states to achieving independence and to reduce our carbon emissions. u.s. nuclear cooperative agreements with other countries provide the united states a number of important benefits. first and foremost, the 1-2-3 agreement can help implement our proliferation subjectives -- objectives, including ensuring nuclear technology material are never misused for military purposes. it will be an issue i expect our committee will want to explore. second, these agreements are critical for maintai

united states, china is one of the biggest traders with the united states.e actually designed specifically to exincluded china. >>> one that requires yarn, to come from countries that are party to the agreement. and a lost clothing comes from china, and little things like that, that could possibly invite retaliation. on the other side, china doesn't think the tpp is a big challenge as one might think. >>> they'll still trade. china has its own agenda, it's pushing toward the association of southeast asian nations, and the civic road, and it has by sea and land and launched its own development bank to compete with the world bank, and also cutting deals with russia, which has been cut off. >>> so, you know, it is not keeping china out, the united states and other countries have concentrated on china and we're missing the boat. >>> part of the it is not successful. but china will be a major trade partner. >>> when you look at the list, just about every country is a functioning democracy and many advanced industrial on the planet australia, canada and the united

s asia andfirst ce china.dio] i believe we are going to try to reestablish our connection to stephen engle at talking alle are things consumer electronics. we have him talking about three connectivity,, innovation, and the internet of things. there is a lot being discussed and shown off at consumer electronics association. let's reestablish. we have stephen engle online, back live in shanghai. it is the consumer electronics show. a have fairly new technology, camera and cellular technology. simcards,cards -- sometimes there is dropout. we roll with the punches. expected on day one. it will run through wednesday in shanghai. yesterday, it kicked off with the chairman and ceo of audi, rupert stadler gave a keynote and talked about pilotless with their new car they rolled out. i believe it is a hybrid. but definitely an electric car kiloa range of about 450 kilometers. for more on that, let's bring in the president of consumer electronics, gary shapiro. welcome to china. >> thanks for having us. is this the year

in china.s, i could not even find any. >> i didn't expect this craziness to happen. i think people are going up to the apple watch because there is limited supply. reporter: a sense of the market prices, the most expensive one he has sold his 10,000 hong kong dollars. about 1300 u.s. dollars. the list price is $700 u.s. almostwant to pay doubled, you can early adopt ite in hong kong here it >> is new, that is why i want to try it. but i'm guessing i will pay way more. isorter: if you think $500 too rich for your blood, you can to the cross-border version. they are not really knockoffs, more of phone on your wrist. it has a thin card you can put in there and you can talk on it like dick tracy did they come in multiple colors. the best part, just 780 hong kong dollars, that is $100 u.s. most customers were focused squarely on the pricier apple watch. this sounds a lot like scouting, but it is legal in hong kong. that is why there are a number of different vendors. they are not selling the watch,

we will take a look at what is going on in china with the people's bank of china.is said to be instructing other banks not to offer high deposit rates even though it raised the ceiling. that seems to be the latest sign policymakers are struggling to stimulate what has been described as a altering economy. stephen engle's looking at this. people--stephen: familiar with the situation says we may have to take this with a grain of salt because of the slowing economy. this is what we know. thef monday, the pboc for third time since november, cut the key lending rate and the deposit rate but raised the ceiling, allowing banks to raise rates to attract savers and give them a better rate on deposits. but we are learning from people close to the central bank that pboc is instructing banks to hold off on setting their own deposit rates. we know the pboc in the past, including the governor, has said that deposit rate reform and removing the cap altogether is one of the riskiest forms of rate liberalization in china. he did say that could happen in the next couple of years. th

we are anticipating that china the marketsg data, in china closed on friday. you may be seen fresh reaction there. will showanufacturing further contraction, 49.4 expected. state manufacturing came out on friday, that came out at 50, suggesting that growth in the local economy is stabilizing. we saw some reports from the china securities journal saying china's gdp for the second quarter me grow about 6.8% with inflation at around 1.4%. we will see what happens there when china may factoring data comes out in less than an hour. shery: we'll have those numbers as soon as they come out. let's move on to greece. it continues to make headlines. four days of marathon cap -- the government and creditors far apart. with deadlines looming, the specter of default rose closer. >> these talks seem to have no end. those negotiations will pick up later today in europe. they spent four days and nonstop negotiations, and still no agreement. we are hearing this morning that reese and its creditors are targeting a technical deal in early may. that is when the brussels group is

mohti heading to china today. he and president xi jinping are likely to build on ledges of chinese investment in india. china's concerned growing influence in its backyard, including a $45 billion economic corridor, through pakistan. let's check on the markets. new zealand right now. pmi data for new zealand came in, falling from the previous month at 51.8. still in expansion territory, but definitely slowing down. new zealand equities down a 10th of 1%. new zealand dollar strengthening at 75 u.s. cents. we are also counting down to the open's in australia, japan, and korea. futures in chicago pointing to a lower open. 119.15.en unchanged at the largest carmaker in japan announcing a new massive round of recalls over faulty airbag concerns. another 6.5 million vehicles have been ordered back for checks. david has been covering the story. maimnel that can kill or passengers. this is an ongoing issue. not ending. david: a bit ironic, that the is a part ofion car that is supposed to keep you safe. there are lots of t

today, china's is four times larger.tment in infrastructure is key to improving india's economy, and china has money to spend. transporting goods by road is a lengthy process, and the energy grid is also in dire need of improvement. chinese investment could transform the indian economy. >> prime and modi needs finances. and china is sitting on $4.2 trillion of foreign exchange. of course, china has traded less in the indian market. >> modi has ambitious plans. he wants india to become a manufacturing base, like china and he plans to create a number of industrial centers with good infrastructure. china has already committed to investing $20 billion in india. modi hopes to secure another $10 billion during his visit. anchor: our beijing correspondent told us more about how these two huge economies can benefit from each other. >> well, india has a big interest to prove with infrastructure, especially when we are talking about rose and high-speed trains, and also electricity. that is not where india is strong. modi hopes the

china is cautioning the u.s. against taking action in south china sea after word the u.s. is kidding sending surveillance ships and planes to the area. chin ease made artificial island in the area have sparked tensions in reecen't months and have been the subject of a number of territorial claims. cnn's david mckenzie has more. >> reporter: the aviation museum near beijing honors past battles of the people's liberation army. like celebrated victories over u.s. fighter jets in the korean war. this self-guided tour moves at a steady pace. but lately, china's military maneuvers are far more rabid. top u.s. lawmakers say america and allies interests in the region are at considerable risk. over a build-up of chinese assets in the south china sea. satellite images show extraordinary transformations. what a u.s. commander calls the great wall of sand. >> since the last, 14 to 1 months we have seen china go from zero to absolutely -- a large number of island which previously didn't exist on reefs and sandbags, occupies controls south china sea. >> the south china sea is a commerci

new reports, the united states may engage in a military showdown with china in the south china sea. the pentagon reportedly considering u.s. surveillance aircraft and navy ships to within 12 nautical miles of disputed reefs on which china has built and claimed as their own small artificial islands. the navy's goal to force china to make concessions on man-made islands built in what the united states considers to be international waters and air space. for its part china lashed out at the american plans, saying they were quote, severely concerned. but will the united states follow through and will failure to do so embolden china as a result? the question is as it always seems to be what is the obama strategy? we look for answers. we will be talking with fox news strategic analyst colonel ralph peters. also president obama escalating a fight with his liberal base over a massive trade deal negotiated behind closed doors. senator elizabeth warren says that deal could be used to weaken wall street reforms under a republican president. president obama says she's quote, absolutely wrong. wh

china, philippines, vietnaming malaysia brunei and indonesia lay claim to islands in in the south china sea, which is a big shipping area and thought to have huge reserves of oil and gas. china seized part of the area. 70 vietnamese soldiers died in the fighting. in 2012 there was a stand off with the philippine military. international courts called for a peaceful resolution. >> in the past year china changed tactics from confrontation, expanding china far from the coastline. we have this report from singapore. >> the region's foremost security summit is under way. as soon as it started, the top of the agenda it has already been put on the table. maritime disputes with the united states basically not mincing words and slamming china's activities in disputed waters. a delegate that heard the u.s. secretary's speech responded to him and basically said that he was making groundless accusations and chinese activity was legitimate justified and reasonable. disputes will be the most important issue here. no resolutions are expected to come out of a 2-day dialogue. what this does is give all p

china and the u.s. have also agreed to work on the technologies that we need to get to, the advances in decarbonization that are so crucial. >> rose: are they ahead ofinous terms of that development? they do have a higher level of penetration by wend and solar do they not? >> well, they have the massive solar industry by promoting it so much in the last 15 years basically. they've driven down the price of solar cells solar photo voltaic so much that it becomes truly a feasible technology all over the world. we give china a lot of credit for taking on the early production, scaling it up and making it possible for africa or new york city -- >> that has always been the challenge to make it price competitive. >> the price has come down by factor 100 since the late 70s. it used to cost $70 per watt of solar power. now it's down to about 70 cents. this is an incredible brooek through. >> rose: is storage capacity a big problem? >> when you have any kind of intermittent energy like wind and solar it's not blow

they had those problems with the china,r watchdog in which prompted tim cook to apologize to the china but the is pushing these environmental issues. he met with the highest ranking female in the chinese government and he will work with the world wildlife fund two-minute one million acres of forests across china. they will fund a five-year project to plant trees and implement standards that use less land and water. they also named more local project for their solar .n western china a shanghai listed company is part of that power. both of these stocks we have the share prices. some power up 25% year to date. you get associated with apple, you get a boost in the stocks. angie: what about apple pay here? stephen: tim cook is said to be in talks with alibaba. they are the largest online payment system in china. there are a number of different to get- hooks they need around, including the standard in the chips in the iphone 6 not meeting the standards set by the bbo c. tim cook says he is bullish on apple pay for china. angie: thank you so much. now for a look at some the corporate stories

in beijing, they talk about china's claims in the south china sea saying the land reclamation work was concerning to the united states. china's foreign minister said the commitment were unshakeable. here in seoul he sent a message to pyongyang, saying the reports recently of having executed a senior military figure, and claims to have launched a submarine based ballistic missile were cause for concern and countries in the region would have to up the pressure given the fact that it had been rebuffing attempts to be engaged. he had to do managing of the south korea relationship. in the light of prime minister shinzo abe's trip to japan. the recasting of japan's interpretation of the passivist constitution, allowing it to come to the defense of the united states. even if japan does not come under attack. japan is seen here in seoul as positioning itself as the number one ally in the region, understanding the north korean threat and the strategic game played in relation to china's rise. south korea has an important trading relationship with china. it's being quiet about the prospect of u.s

we have retail numbers out of china, not to mention production numbers out of china.pected to come up at her than the march figures. but let's look at some banks in china. local media have reported that these two banks were hacked on may 9. they reported the case to police. there has been no impact on client data and accounts. but we are keeping an eye on their stocks. rising 2.5% today. that is after announcing they industrialling bankshares. we are also looking at these stocks today in japan. japan headed for their lunch break. , theyl these companies also loved this morning after a forecast in profits that missed analyst estimates. big names expected to plead guilty in the coming days. : the u.s. department of justice continuing to flex its muscle in terms of trying to get banks to actually plead guilty to wrongdoing. in a sharp departure from the past where the u.s. government was criticized for being a bit too [indiscernible] there are now five banks set to settle with the government. four global banks, citigroup, j.p. morgan the space chase, barclays, all will p