country garden involves _ garden was to default?ountry garden involves at _ garden was to default? country garden involves at least - garden was to default? country garden involves at least 3000 l garden involves at least 3000 existing housing projects and a lot of them are in inaudible whereas for country garden, they have a lot more. on a brighter note, i would say that perhaps country garden seems to be less complicated in terms of structure than ever grand so there is a key risk to worry about but maybe there are also things like the structure is not as complicated and it would get more parties involved because of the number of projects, which meant a lot more local government will get involved in terms of any takeover. but because a structure is simplest things could be... there are trade—offs, basically. some are better but maybe not as serious on another aspect. speaking of china, us commerce secretary gina raimondo has warned china in interviews on us tv over the weekend that the patience of american business is wearing thin

so no major change and attitude towards country garden here. what will have to happen for the cash strapped company to continue making these payments. um, as i said, um kindergarten is reportedly trying to postpone wherever the payments of that it just shows that the company is trying to buy more time for itself. but whether or not to consult the proposal fell through. there is certainly more to be down to meet next few that lies including trying to deliver homes to buyers on time because quite a huge amount of it says come from pre sales deposit from home buyers. so asper, suggest that once they sort out the issue with pre sales, there is that one thing so massive, but of course, all these won't be easy because last week, the property jayenne also reported a red cord, high loss for the 1st half of the year. so, you know, making a few crucial payments doesn't mean that our country guarding is now out of their woods. right. so what, what a default of country garden, which is still an option. i mean, for the chinese property sector as a whole, it

jennifer: let's stick with country garden.ntioned this, once china's largest developer by sales has avoided what would be its first default telling creditors it's paid coupons on to dollar bonds within the grace period. joining us for more his bloomberg opinion's surely rehn in hong kong. people are wondering whether or not country garden actually has enough leeway. we've talked about how this was at the last minute, and potentially not enough to assuage concerns. can country garden based on your opinion crawl out of its debt crisis? what does it need to do? >> at this point, no one really knows. what country garden is doing is buying itself time. hoping for the best. what happened was there was a very drastic shift in the chinese attitude toward the housing sector. for that the government said one city, one policy. all the easing measures were minute. last week the government said nationwide it is lowering the minimum payment ratios. that is very significant. it is the first national policy change in almost a decade as far as

right, so what, what a default of country garden, which is still an option. i mean, for the chinese property sector as a whole, it's sort of the, i shoot a red flag for a potential collapse of the chinese real estate market. because kindergarten in the past was consider an example are in the sector having a track record of strong financial performance. so many of assessors said is contra garden for speakers indicate that a bigger financial stored may be approaching a chinese property sector and can trigger a domino effect. and also a chinese business man and exile also told our new stevens high pay that there will be no rebuilding chinese property market because the home ownership right in china is one of the highest in the world. if the real estate market goes down, chinese home owners will be seeing their wealth string came in that case, a believe it is nearly impossible for their consumption ray to revive a dw corresponded you to lee reported there from taipei. and here's a reminder of the top of business story we are following for you at the sour soft ban

country garden the main story.ort they got approval to extend payment on six yuan bonds by three years. sinnott ocean up 29%. -- sino-ocean up 29%. this is what it looks like for the macro picture. the nikkei leading the charge overall. continuing the winning streak. nine days if it finishes like that. ♪ tax rates, exemption certificates or filing returns. avalarahhh ahhh ahhh ahhh j.p. morgan wealth management knows it's easy to get lost in investment research. get help with j.p morgan personal advisors. hey, david! ready to get started? work with advisors who create a plan with you, and help you find the right investments. so great getting to know you, let's take a look at your new investment plan. ok, great! this should have you moving in the right direction. thanks jen. get ongoing advice; and manage your investments in the chase mobile app. and your store was also the first time you realized... well, we can do anything. cheesecake cookies? the chookie! manage all your sales from one place with a partner that a

a wand denominated bond was issued by one of country gardens unit.is at stake and do october 21. it's being asked to be percent of the stage by another three years. country garden being asked to kick the can down the road is familiar because this is the third time the vote on this has been extended so this voting was already supposed to be wrapped up last thursday but evergrande pushed the deadline to consider whether they will grant the extension through 10:00 p.m. monday night and this note in question is the last in a series of eight bonds where country garden has asked permission to postpone the principal repayment so we will watch for the outcome later, if bondholders rejected country garden will need to pay the outstanding principal next month of more than $62 million, which would be a company that is already struggling to make smaller repayments. shery: what about the dollar bonds? annabelle: another note in focus . 15.4 million dollars of interest effectively due monday on the dollar security. it matures in 2025 so there is breathing room. th

as before country garden, there were similar default concerns around developer ever grand. but prices haven't declined as much as many potential home buyers would like. in shanghai, property is at least 50 percent higher than before. the pandemic began a price cool down our housing implosion. the sector is walking us in line as interest payments for in data developers continues to rise, sky high for more, let's close over to type a and dw correspond. indeed, surely huge and has this payment is pulling back from the brink of default, changed anything among investors and the way they look at the country guard. so what i can show you is that it shares the search a little bit right after the company's state of the in need of crisis. for most investors as thing do this about the prospect thinking that country garden, one of china's because real estate developers, is far from getting back on track. lately. some chinese media also reported from anonymous sources that the company is now seeking to postpone the repayment of 7 additional loans following one postponement in mentors to

>> i think country garden -- there is still some hope left for country garden.et sizes but country garden's liability is only 60% of china evergrande's. for country garden the biggest pressure point is to deliver unfinished homes those so-called pre-sale homes. once you take that aside country -- country garden's debt is tiny compared to evergrande's. it has about 10 billion u.s. dollars of offshore bonds where is country garden had 40 billion. i think what country garden should do at this point is negotiate with homebuyers and say i already sold you unfinished homes but let me try to put you into another project that has been finished that is in a better part of town. try to not have so much construction cost and i think that is what it could do to make it more efficient. david: out of bloomberg opinion, thank you so much. we want to watch the streak given in both equities and that junk bond space here in hong kong. the biggest jump in chinese property shares going back a couple months. second-best day on monday and 2023. the open is an hour away there is plent

country garden and sunac. country garden unchanged after won approval to extend bonds. has been kicked down the road. looking at sunac, it had a restructuring plan approved. there is relief concerning those but evergrande still suffering from detentions taking place with some of its members of its asset management arm. what about asian markets overall? let's check in on what is the picture. volumes are low. investors are looking into rate decisions coming out as well. it is the bank of japan at the end of the week. msa asia-pacific index is 0.25% to the downside. energy is falling back with the oil market now seeing gains for a fourth week. brent is $94.79 a barrel. let's leave you with these live pictures of hong kong. ♪ >> there we go. looking at that. this coming on the backdrop of more and more at those taking place out of the country in terms of capital flight. it has been hammered on all fronts. many leading financial markets. we had outflows of $49 billion in the capital outlook last month. blackrock cutting its emerging-market, all of this because of this proper

contracted sales for country garden alone plunging 72% in august.ear-over-year after it warned of major uncertainties about its ability to repay its debt. yeah. it's an ongoing story obviously. haidi: given what we learned this week about evergrande pickup in its restructuring plan, there's really not much certainty country garden can pull this off, right? stephen: absolutely. that is why we have to caution and say these talks for country garden are in the preliminary stage. albeit, that is expected given their debt repayment woes. the potential debt repayment woes. they have not defaulted, as i said. but, it will be a complex thing to restructure right now. with the outstanding liabilities of about $11 billion no doubt. keep in mind, china evergrande with the detention of its chairman, and also, these latest surveys we have gotten from various think tanks indicating that people really do not want to go into the property sector right now. they are holding off on to the sidelines. so, investor sentiment is extremely low right now. again, as i mention

shery: stephen engle has the latest on country gardens. the pessimism in the property sector reflected in the markets with chinese equities rebounding but not property stocks. we are talking about the lowest levels in about 12 years or so. really that is being extended not only to the stock market but also to the bond markets. chinese junk bonds also seen as un-investable at this point. they are on their third straight year of double-digit declines if we continue to go at this pace. get a roundup of all the stories that you need to know to get your day going in today's edition of daybreak. terminal subscribers go to dayb to customize your settings so you only get the news on the industries and assets that you care about. this is bloomberg. when you automate sales tax with avalara, you don't have to worry about things like changing tax rates or filing returns. avalarahhh ahhh ♪ >> this does not mean the demand is going down. demand is strong. last year when we had on the table the price it was consumed. this year it's normalized. >> wh

it's interesting to see with country garden. today is the day, or tomorrow, the grace period of the dollar bond ends and whether they can avoid default is the key thing. i think that's what is worrying the market. they bought time with extending the renminbi and paying the ringgit bond but the dollar funds are. the subject. rishaad: they have to go to developers and bondholders to get extensions. great story about the housing crisis on the bloomberg terminal, top 50 private sector developers by dollar bond issuance. 34 suffered delinquencies. 16 are left including country garden facing $1.5 billion of offshore public bond payments this month alone. yvonne: most of the downgrades they've been doing are mostly in the property sector, but then there are some green shoots. you can't put it all in the same thread because consumption and utilities, people are enjoying their time on some services. if you look at the pmi data, it shows you how big of a factor the property market is weighing on the consumption story now. rishaad: exactly

tommy wu is a senior china economist and says country garden's problems are far from over. for now it seems country garden can extend one of the key debt but then more debt payment will be required and will be due very soon so perhaps we are far from being out of the woods yet. so any potential default in the coming near—term would have pretty serious consequence in terms of the pricing of country garden debt but notjust for the company but for the sector in general and could create another round of market turbulence. which we have seen in the past few months already. i would say that the key thing here is china's real estate problem is in the crux of many other problems china is currently facing. speaking of china, us commerce secretary gina raimondo has warned china in interviews on us tv over the weekend that the patience of american business is wearing thin. the secretary, who was in china last week, said us companies deserve a predictable environment and a level playing field. she commented on china's economic slowdown, saying the world's second biggest economy did bet

that came in as the high-yield bond market fell 5% amid country garden's initial woes with the country'snd interest in particular that was taken care of earlier this month, so that is where we are going now as far as getting the stress back in place with country garden. haidi: we have seen this recent junk-bond rebound. is this sustainable if you take a look at how previous bouts have not managed to see that longevity? >> we just have to see -- some of these past rallies we have seen in high-yield have petered out. this record really ran from october through january when the first bout of chinese property support measures were rolled out, so we saw that fate as 2023 progressed. we have been up three weeks in a row, the longest streak since june. with all of the pressure still in the property market, it is very concerning in particular as to whether or not this rally can persist. there are a lot of negatives investors will need to overcome. shery: what is happening in the onshore market? >> there we had stressful for a second month in a row to a level three from level four. on short bond

the huge chinese developer country garden has clinched a debt deal.bt so it is a big deal. what is the state of the property sector which accounts for a quarter of the chinese economy? that is riuht. quarter of the chinese economy? that is right- the — quarter of the chinese economy? twat is right. the sector as a whole is in structural decline. it is about 20% too large for underlying demand and this grinding contraction in the sector is going to rumble on for a number of years. cyclic lay, there are a few positive signs, some major easing pressure is coming from beijing and this renegotiation of country garden, and also paying some interest on overdue debts over the weekend. so a few positive measures but overall, it's still very picture, with country garden facing four or five key tests this month alone, interest payments on the fed, 17, 19, 24th, 27th, so the alone, interest payments on the fed, i7, 19, 24th, 27th, so the problems have not ended by any means for country garden or the wider sector. testing times to come. great to see you, rory gree

looking at property companies, country garden is up only 6.5%.eanland had delays denied to them. foxconn -- foxconn on the way down after we had apple's iphone debut event, improved performance, new models, >> if they were to live up to the investor protection it would help investors right now, unfortunately there are noncompliance and it is a field which is rife with fraud. and misconduct. >> it is frustrating, you see other markets, where the governments are partnering with the industry and you are seeing leadership and growth. one of the definitions of insanity is doing the same thing over and over again and thinking you will get a different outcome. haslinda: the ceo of ripple, reacting to comments from gary gensler. 49 is asia's largest crypto event, joining us now from the conference in singapore. take it away. >> we are all about regulatory insanity. i want to bring our next guest in, this is the founder and editing partner, we were discussing that you said it was possible to predict regulatory outcomes 60% of the time. what is that framew

rishaad: what about country garden?getting here, because it has avoided default on this and will extend on the yuan payment, but it has $178 billion in total liabilities. >> there is optimism in the share price today, but if you look at developers, the grace period is coming up for the bond payment in the next two days, and even if it misses it we are looking at sizable debt maturities were the end of this year, and with sales in august down over 60% for these developers, ones that are showing signs of repayment strength, it is a downward spiral for liquidity, because sales as well as financing will deteriorate from here. haslinda: the news is good enough at least for today up as much as 15%. any thoughts on the august contractor sales numbers? >> for the top 100 developers, sales are down over 30% year-over-year in august, and we expect the level of decline to persist in the rest of this year despite the last way the policy stimulus measures. i think it does not matter how much the government is making it easier for de

if we look at country garden, they have been in the news for a number of reasons.has considerable overseas assets. this has become the target for creditors. 0ffshore holders are worried the company will prioritise onshore holders. that is why they have been exploring their options and they are looking at what kind of assets they can pursue. is there any recovery can we chase? when we look at country garden, they have malaysia, the uk, the us, australia and new zealand. one of the project that has been seizing the headlines is in malaysia. there have been reports it was described as a ghost town. one thing to note is that a lot of the projected values, the project value, it is based on expected sales or revenues. ultimately, this still depends on whether country garden can complete construction and this goes back to my point, which is access to capital is key to them to complete future construction. in a few hours from now, we'll find out if one of the largest industrial labour actions in recent years will go ahead. the united auto workers union, which represents em

certainly, let's have a look at what we have -- the big story of course, being country garden. where are we at the moment? no trading, so give us a sense. >> country garden has a bot that everybody is watching and it's due next monday. and now bondholders of this bond are voting for a few proposals that will basically decide the fate of the company. so there are a few proposals that include a three year extension on the bond that also has a 40 day grace option. also, there are 10% of the noteholders that are calling for a direct default on that bond because country garden was recently downgraded by moody's. so there is a lot of uncertainty here, and for each of that proposal to get past, country garden will need 50% of them to agree to that. haslinda: what are the concerns that investors are looking at when it comes to country garden? >> the key date for country garden in the offshore bond market right now is that it missed a dollar bond coupon payment earlier last month, and that 30 day grace time is coming to an end. so the cutoff date is next thursday. so, now we will need t

tommy wu is a senior china economist and says country garden's problems are far from over.uired and will be due very soon so perhaps we are far from being out of the woods yet. so any potential default in the coming near—term would have pretty serious consequence in terms of the pricing of country garden debt but notjust

it does not help one country garden is facing a lot of challenges.: it is not a big sum of money. how close is it to default . kristy: you can see that it is facing tight liquidity at the moment. rishaad: we have seen a range of stimulus measures come in. the ministry of finance, perhaps stabilization or a slight recovery taking place amongst property. what is the overall . are we seeing that? kristy: the relaxation of mortgage rules and restrictions in larger cities. we were in shanghai last week. we see some of the projects, suburban ones, doubling of traffic. it is specific to certain locations. if you look at the data, september sales are down versus august despite a similar measure. we think the government will likely need to step up its stimulus efforts to try and recover. given the structural changes to demand and supply, it will be more difficult versus 2009 and 2015 down cycles. rishaad: thank you so much for that. a look at country garden and the wider property market real estate developers in china. we have chinese equities in focus. part

country garden shares rebound on a report of the distressed 90's developer has won bondholder approval to stretch payments and six notes into 2026. u.s. clears the way for $6 billion in oil proceeds to be returned to "daybreak europe and iran and agrees to release five iranian prisoners with a slap. we are seeing u.s. futures taking a back step on read on the screen. this follows a turnaround that we saw in the u.s. session and the idea that you had tesla, apple driving the gains in yesterday's session. it is only natural that futures take a breather, a pullback if you well. that is what you are seeing in nasdaq 100 futures. it is not that much of a selloff. you're not seeing that in europe either but there is a dynamic at play were europe is seeing her momentum than the u.s. right now. that is going to be a factor of technicals that you will see factor into the u.s. market especially after the 10% gain in tesla. overnight, the asian story gets interesting. specifically in the bond market and oil market there are game changers. the bond market commodity correlation remains important es

country garden appears it will avoid default. creditors have been saying that after the company was able to secure a three-year extension for repayment plan on domestic bond, the company was able to make payments of $22.5 million on coupon bonds. in addition to that, creditors have been saying the boss wired a coupon payment for the malaysian bond. the company itself has not confirmed many developments. it hasn't really had a lot of impact on its own stock. it has brought a bit of a relief rally the last couple days to the broader sector which has already been seeing some investors taking interest, dom, in the sector, because of the fact the government had unveiled several new measures to stabilize the property sector. we have seen a boost in some sales for homes in beijing and shanghai. >> eunice, what exactly is next then for country garden? this is one of the biggest financial and economic influences in the chinese markets. what does it say about what's next for them? >> reporter: well, the company says it still owes $15 billi

country garden's problems are far from over.more than debt payment will be required. inaudible. perhaps we are far from out of the woods yet. so any potential default in becoming near—term would have a pretty serious consequence in

what is the latest news of extensions taking place at country gardens?wn the road and hoping the situation stabilizes? does this give you any kind of relief at all? >> ultimately, yes, but it is already the third time extending the bond from the country garden side. unfortunately, they are -- there are around 62 developers facing this potential default in the market, and only 12 of them are actually restructuring their bond or financial, but the remaining developers remain quite passive. yes, they are one of the biggest unsold unitholders were a developer has been extended so cash flow remains stable at this moment, but i think the potential risk is just staying there. haidi: the situation you talk about when it comes to the l-shaped recovery -- if you can call it a recovery, i guess it is a stabilization if it is a l-shape, but the problem is so much household confidence is tied to the housing market. how does that play out? >> the current new-home sales number, we are unlikely to go back to the pre-peak level and the l-shaped, yes, sales remain low and

tommy wu is a senior china economist and says country garden's problems are far from over.ment will be required and will be due very soon so perhaps we are far from being out of the woods yet. so any potential default in the coming near—term would have pretty serious consequence in terms

fresh tests ahead for country garden with deadlines for bonds. shery: u.s. futures with a little upside after stocks fell in new york on friday. s&p 500 had a weekly loss and nasdaq 100 fell 2%. we are watching many things including triple witching options expiration's and anxiety over the fact we do not know how long the auto sector strike will continue and data showing new york and you fracturing unexpectedly expanded with treasury yields gaining across the board with two year yields holding at the highest level in 16 years and oil prices continue extending gains over $90 a barrel after three weeks of gains already it is the supply outlook and reports we got last week including from opec-plus that we might see a deficit for the rest of the year and data showing inflation expectations surprisingly falling to the lowest level in two years or so, this is university of michigan data and we had consumer sentiment rising a little bit actually a little bit of a fall with higher prices not helping consumer sentiment and we are seeing inflation expectations finally

if you look at the share price and bond price of country garden. at $.14 a dollar and investors are pricing in a liquidation or a restructuring of some sort. the company stock is a penny stock now, down by 60% from its peak a year ago. vonnie: 9-14 cents on the dollar. which is pretty stunning. thank you so much for the update on country garden. let's take a quick look markets wise in sydney. down about a quarter of a percent on futures. we will see if that holds through the open. no change in new zealand. nikkei futures in chicago pointing to a lower open as well. a pretty mixed day in the united states although the session had indices lower. the s&p 500 down for tense of 1%. -- 4/10 of 1%. we have plenty more to come on daybreak asia. this is bloomberg. ♪ so... i know you and george were struggling with the possibility of having to move. how's that going? we found a way to make bathing safer with a kohler walk-in bath. a kohler walk-in bath provides a secure, spa-like bathing experience in the comfort of your own home. a kohler walk-in bath has o

loretta chan have a look at country garden and the overall developer landscape.eck. this is bloomberg. ♪ >> is a look at futures on the way down, -- here is a look at futures on the way down. the nikkei positive slightly for the topix where we have the yen stronger by quite a large bit and after the boj covenant really talk about making an exit from the negative rate policy they have, we have seen the 10 year climb to the highest since 2014 in japan. >> staying with japan, the new fund launched to invest in companies breaking free from the inefficient use of capital that has hampered japanese farms is trying to raise -- funds is trying to take a cue from warren buffett and his investments in the country. we spoke with the ceo about a fundamental shift mindset emerging among japanese managers. >> definitely, this time it's different. we are entering into a new era. the past 30 years since i have started my company, japan was in a deep deflationary environment. as a matter of fact, we are in deep deflation rather than being deflationary. so, it was very difficult f

you can see the country garden had more interest payments that were due by thursday.e latest here. we are actually hearing from different sources for 62.1 million yuan have been paid in full. that is for two different investors and bondholders that comment more in private matter. country garden has been able to push down. we have seen the market reaction coming through. there is anticipation that we will see further support come through from beijing as well. the victories don't really alleviate the longer-term challenges because the next major payment test is going to bloom in january when the company has $1 billion of maturing at that level. the big question when you have these notes that are trading at very distressed levels, where they will be able to make good on their repayments. coming up next, we have the outlook on energy markets with csis. this is bloomberg. ♪ thanks to avalara, we can calculate sales tax automatically. avalarahhhhhh what if tax rates change? ahhhhhh filing sales tax returns? ahhhhhh business license guidance? ahhhhhh -cross-border sales? -ah

country garden said to have made a payment on a bond with a separate you on no. and softbank lining up biggest customers as strategic investors for their multibillion-dollar chipmaker ipo. >> we are seeing some downside pressure today, but muted after the s&p 500 saw its best week since june. we are in the labor day holiday weekend in the u.s., heading towards thin trading. what akin to friday it was interesting because u.s. stocks rose but they faded after an initial rally as bond yields started climbing. we have a strong manufacturing number offsetting that optimism from the jobs data which showed more than -- of a controlled cooling which could perhaps lead to the fed pausing on its tightening again in september. we are watching wti prices, extending those gains about that a five dollars per barrel level. this after seven sessions of gains in the new york session, finishing at the highest level since november, really to do with those supplies and opec-plus efforts to really tighten those global flows, but at the same time we have stimulus measures from china l

>>>s shares in country garden hu hit a three-week high after they extend a deal pushing asian equitiesigher pushing the hang seng leading the charge. >>> and the italian deputy prime minister saying they could pull out of the initiative as he visits china for a fresh round of talks. >> the european countries are working better than us. italy, we decide if we stay or not stay. >>> plus, the european economy commissioner telling cnbc he is confident in the europe growth rate despite concerns germany is facing a slowdown. >> please don't call this a recession. we can avoid recession. we have in the second quarter of the year limited growth, but not recession. >>> good morning. welcome to "street signs." u.s. is out for public holiday today, but we are monitoring the price action on friday closely. all eyes on the nfp print. analysts saying something was in it for everybody because the headline job creation number was slightly higher than expectations. at the same time, we are seeing droves of people returning to the work force. the unemployment rate ticked up slightly. hourly earnings fel

. >>> and country garden wires money to creditors for payments on two u.s.ollar bonds due today staving off what would have been the first default. >>> xpeng announces plans to expand into germany as automakers continue discussions at the auto show. the move is about prestige according to the ceo. >> it is the highest standard market for oems. to be here and make our product available to the customers in this market will help us further penetrate the continental european market. >>> and novo nordisk de-thrones lvmh as investor appetite for weight loss drug soars. >>> good morning. welcome to "street signs." just in the last couple minutes, we have been getting the final pmi numbers for the month of august in eurozone. let me tell you, they are worse than the flash. it is not positive. the final composite pmi for eurozone is 46.7. lower than the flash of 47. it is suggesting that the downturn is deeper than initially thought. just to give you context as well, the number today is down from july's figure of 48.6. it is the lowest level we have seen since novemb

country garden has been able to delay repayment on eight bonds.his is the ninth bond they're trying to do that for. while they are making progress, they are facing more progress and stress as far as getting it taken care of. david: the detentions. yvonne: it does seem we are -- rishaad: it does seem we are moving away. they further down the track with that. >> it is hard to know exactly where these police actions are. certainly concerning to the creditors. especially the offshore ones were currently voting on evergrande's offshore restructuring plan tiered the votes are supposed to happen or the meetings are coming next week. this comes at a bad time as folks are finalizing opinions as to whether or not to get on board with this restructuring plan. rishaad: is it getting easier? we have had facilities provided by the government saying to banks you must lend to these companies. is it getting easier because it seems the special fund is set up has proved to be as useful as a motorbike ashtray. >> it does not seem as though the companies are able to t

as we look to these extensions, can china buy more time for -- companies like country garden. there are eight bonds in question that investors have to vote separately on an country garden has proposed this schedule for all of these bonds and essentially they will get extended for around three years. we think it is likely investors will have to agree to that schedule because we think they are worrying about the worst outcome which is the default of country garden on its onshore bond that will have a ripple effect for developers. so i think right now the priority for the company is to get more time for survival in their are a few key payments are watching out for. over the weekend there will be two thai baht offshore coupons and also a dollar bond coupon do for country garden so that is key for offshore investors. vonnie: one of the things that stood out to me is on some of these issuances they want to extend by three years. that is a long time for bondholders to wait great is that how long is going to take for country garden to turn things around? catherine: i think if you look

one of china's biggest property developers, country garden, is currently scheduled to make 22 million two us dollar bonds by wednesday. the embattled property firm missed those payments back in august. the company's struggles have come into the spotlight in recent months, but there was some rare good news over the weekend reports say country garden avoided a default on an onshore private bond after chinese creditors agreed to allow it to make those payments in instalments over the next three years. scientists say invasive species are responsible for the majority of plant and animal extinctions and cost the world more than 400 billion dollars a year. the un convention on biodiversity said they destroy forests and crops, and cause pollution. the most damaging include the water hyacinth which blocks waterways and destroys fish habitats. the un study says human activity is making the effects worse, and recommends tougher border controls. one example is the introduction of the water hyacinth into lake victoria in east africa, which crippled transport, fishing, aquatic life and blocked a da

we have evergrande, country garden is punching higher.are not quite sure why but it is happening -- what is happening here. plenty more ahead. this is bloomberg. ♪ at if tax rates change? ahhhhhh filing sales tax returns? ahhhhhh business license guidance? ahhhhhh -cross-border sales? -ahhhhhh -item classification? -ahhhhhh does it connect with acc...? ahhhhhh ahhhhhh ahhhhhh rishaad: well, here we go. this is the story of the day. it is a desert out there otherwise. the stocks are on a tear at the moment. perhaps there is a feeling that all of these friend measures are perhaps -- different measures are perhaps going to work. lowering interest rates, for first time mortgages, also, this is perhaps coming to the rescue, property stocks. oil is in focus here as well. yvonne: when you have brent crude above $90 and oh extending the up word -- opec extending the upward curves. more about duration as our colleagues have been talking about. energy up 1.5%. david: we will leave you with pictures of australia treasurer, talking about the recent g

investors have paid a lot of attention to this because country garden was one of the country's largesthrough this this could help relieve some sentiment but also we have to be reminded that country garden is now trading around a penny stock level in hong kong. this very cheap price level subjects the stock to wild volatile moves, so while investors are assessing any information they can get regarding the voting, we could see some pretty wild moves in the space today if we hear more from the voting's. shery: we are also seeing wild moving's in hong kong, property stocks taking a plunge. what is going on? >> another piece to watch today is the hong kong local developers. yesterday we saw a pretty ugly selloff among the hong kong local developers and the key triggers were the local leader, they reported a sharp decline in earnings for the four-year profit and it really shows you the cost on the local marketing and the high interest rate environment. we also have a report saying that hsbc is thinking, planning to increase mortgage rates further which could be a headwind for developers and

failure by country garden to pay just over $20 failure by country garden to payjust over $20 billionars the firm was heading towards a default. 0n was heading towards a default. on monday the share price rose after a deal was announced with creditors to reschedule some of its debts. india's auto industry has seen sustained growth in august with sales recovering back to pre—pandemic levels as per dealership data. but an erratic monsoon has emerged as a big concern for the industry. our india business correspondent with more details from mumbai. for the month of august, good sales across categories from two wheelers and passenger vehicles to tractors. but wheelers and passenger vehicles to tradem— to tractors. but a push for electric — to tractors. but a push for electric rickshaws - to tractors. but a push for electric rickshaws and - to tractors. but a push for| electric rickshaws and easy finance has helped three wheeler sales in particular to grow by 66%. inventory levels for passenger vehicles have also hit an all—time high, reflecting optimism that dealers have about the impendin

haidi: the threat of a first default continues to loom over country garden.eloper past initial deadlines to pay dollar bond interest. the builder had to pay $15.4 million by monday. by tuesday, they said they had not received the payments. there's a 30 day grace time before a default can be called. gina raimondo's casting doubt on the country's ability to build advanced chipset scale after huawei's latest was found to have an of -- and advanced seven millimeter chipset made. stephen engle is in hong kong. the u.s. has launched its own investigation into the chinese chip. we've heard from a number of analysts that there's quite a bit of doubt over whether they can do this at scale. that's an entirely different challenge. stephen: absolutely. this is something that gina raimondo brought up overnight. she said she was upset when that new huawei mate 60 pro with the new chip inside of it, the seven nanometer technology, she was upset when it was launched coinciding with her trip to beijing. whether that was a coincidence or intended, i will let the viewer decide

so ultimately, this still depends on whether country garden can complete construction.s goes back to my point, which is access to capital is key for them to complete the project construction. in a few hours from now, we will find out if one of the largest industrial labour actions in recent years will go ahead. the united auto workers union, which represents employees making vehicles for brands such as ford, gm and chrysler, is planning a series of strikes over pay, working hours and the transition to making electric vehicles. the bbc�*s michelle fleury sent this report from detroit. the start of the trade's annual auto show. a chance for the big three car—makers to showcase their latest models. casting a shadow over the chair, the prospect of the industry's they could strike in generations. what do workers think? this is what i do _ what do workers think? this is what i do every _ what do workers think? this is what i do every morning. - what do workers think? this is what i do every morning. get l what do workers think? this is | what i do every morning. get up to the

haidi: country garden as a coupon payment on a bond after winning approval to extend payment on a separate loan no. shery: xi jinping pledges to continue opening up markets or pursuing china's own development path as economic worries grow. u.s. futures coming online in the age of a date session, pretty muted at the moment after he sought u.s. stocks rising on the friday session about fading a rally as a bond yields climbed. we had a strong the fracturing report upsetting jobs data optimism, jobs report showing to labor market undergoing a controlled cooling, but all in all the s&p 500 actually ended with its best week since june. the energy sector rallied, given that we had oil, wti topping $85 a barrel. in fact, the longest winning streak since january, seven sessions of gains come the highest settlement since november. we continue to hear more about opec+'s efforts to reduce applied at a time when -- reduce supply at a time when trying to may be coming up with a measures. what markets cared about was that jobs were. u.s. hiring picking up in august as wage growth slowed offering a mixed

it seems investors are focusing on that more so than the approval that country garden got. positive developments in china not translating into positive moves in china markets. it is risk off overall in asia pacific. kriti: it is interesting that you talk about the exodus out of asia. i mentioned the pboc trying to keep investment within the mainland. avril hong walking us through the asian market story. we are waiting for monetary policy to shakeout. one story and the united states is having international ramifications. united auto workers representing three of the biggest carmakers in detroit. those negotiations are still going on. 150,000 workers are in the balance paid oliver crook is standing by in berlin. what are the latest on the negotiations? oliver: there were talks yesterday but not a huge amount of progress. the biggest offer we got from the big three is around that 20-percent marked which the president of the union said is a no go. he did the rounds of the media yesterday. he went to msnbc and npr saying a lot of things that he said previously, but saying that t

they are tracking developers out of country garden. it is also said you have made payment on a denominated bond. this could be the longest winning streak since late july. >> thank you. there was, in singapore. there are further support measures including lower down payments for homebuyers and there's a mortgage rules in major cities. what are traders you are speaking with hoping to see more from authorities? is this doing enough? it is a combination of policies, lower down payment ratios. this depends on whether there is more follow-through from beijing and whether they can manually return to the market. >> we see xi jinping making some comments that the markets were reacting to. we mention whether or not this may be enough of the market. is there anything really new for the markets to get excited about with this recent announcement? >> this has been said over and over again by chinese authorities. a lot of negative news in the market. >> thank you for that update. let's turn to the markets. we are betting that the fed is done. jeff ro