manufacturing data shows a sharp rebound, while hsbc reflects a marked drop. its fifth straight month of contraction. >> industrial sector, as well, france's march manufacturing pmi hits a 33 month low, while germany seeing a sharp drop in new export orders. in and investors will are search ism manufacturing data for clues about what they can expect from friday's jobs figures. >> and japan sees no improvement in business conditions, a sign the central bank may have to do more to stimulate growth. we'll speak with mr. yen himself live from tokyo in 15 minutes. >> welcome to today's program. it's all about pmis. just to recap the eurozone march, 47.7 as the flash had to come in a couple weeks ago. output index slightly weaker, 48.7. 48.3 in february and final new orders index 45.4, weaker than february. so really confirming the manufacturing sector has shrunk for an eighth month and faster pace. confirming spreads to core members, as well. earlier data from determine any showed its manufacturing sector contracted to a similar story in france, and spain, there th

and brian, i know this private survey by hsbc is skewed to a smaller firms, but does it tell us enough that china can avoid a hard landing? >> that's our call. i think what this and other surveys have been showing is that growth in china is moderated, but it hasn't collapsed. conditions in the manufacturing sector are subdued but steady over several months now. we actually think that you're going to see growth start to pick up a bit in the months and quarters ahead. so hard landing i think is still a down side risk, but not the central scenario. >> markets have been building up the case for another round of easing by the pboc. what do you think the chances of that happening? >> i think we could get that any time really. we've already had a few cuts in reserve requirements over the last five or six months and these things you don't tend to get a lot of warning. at some he stage it could happen, but i don't think you're going to see a he very big policy response from beijing because as i said, i think where we'll see growth start to stabilize and recover over the next few months, so it d

the unprecedented move by hsbc in london to issue bonds denominated in the chinese yen is a sign of the u.k. ambition to become a leading business center, says the south china morning post. those are the papers from around the world. >> this is newsday on the bbc. >> our headlines this hour, the u.s. and nato have condemned the actions of american soldiers who were shown in photographs with the remains of suicide bombers in afghanistan. >> the u.s. secret service has said three agents are to leave their jobs following alleged involvement with prostitutes in colombia. breast cancer is not one disease but 10 different diseases, according to an international study. the categories are identified to help tailor and drugs for patients reset by breast cancer. it could take up to three years cause breast cancer is different for everyone it affects. now looking inside individual cells, scientists have established that those differences add up to least 10 distinct types of the disease. at the cambridge research institute, they analyzed almost 2000 different breast cancer tumors and track the prog

hsbc private data also showed a slight moderation last month. implying a continued need for pro-growth policy. overall, there is optimism about the company's outlook for the year and believe china's policymakers are doing must have to steer the economy off a hard landing. >> head of credit strategy at hoids bank wi lloyds bank with us for the first hour. good to see you. how is china playing into investors' thoughts at the moment? >> in europe at least, not in a huge way. why is that? the story hasn't changed dramatically in china. the growth story certainly over the last year hasn't panned out. the stimulus measures you were talking about, i don't think the europeans are terribly focused upon that. why is that? what they're really focused on is stimulus measures in the eurozone, draghi's next move. i don't think there's a huge correlation between growth measures in beijing and the european markets. >> next move from draghi is no move, isn't it? one could argue here that whether you're looking at the u.s. or anywhere, we've had market's helped b

the unprecedented move by hsbc to issue a bond is a sign of the u.k.'s ambition to become a leading yuan business center. --tain's future in the east court of human rights. >> the u.s. secret service has said three of their agents are to leave their jobs following alleged involvement with prostitutes in colombia. >> washington as accused the syrian government of insincerity. >> the pakistani army chief of staff has said that india and pakistan should be able to reach a negotiated solution over the glacier in the himalayas. it is known as the world's highest battlefield. it is in the disputed region, which has been the cause of two wars between the nuclear-armed neighbors. the general suggested the glacier should be demilitarized. he was speaking as the search continues for 140 people, 129 of them pakistan eight soldiers. our correspondent reports from the rescue site. >> we are at the edge of the glacier. it is hard to imagine a more difficult place for a search operation. standing here, you did a sense of what a challenge is we're at about 13,000 feet

an hsbc economist says this reflects the further slowdown in growth pressured by fewer newer export orders. the average annual wage in shanghai rose from the previous year. the effort wage was 52,655 yuan or about 8,400 u.s. dollars a year. wages were highest in the financial industry. electricity, gas and water supply and related manufacturing as well as in the mining industry. the lowest wagers were in services, accomdagsss and catering and the agriculture industry. hong kong retail sales rose 15.7% in february from a year earlier. the spokesperson for the hong kong census and statistic department says improved incomes and vibrant inbound tourism. but the spokesperson added that they needed to keep a close watch on the impact of the negative economic factors overseas. that wraps up our report from hong kong. back to you in tokyo. >> that was jamie ung in hong kong. >>> japan's reconstruction minister has hinted that some areas near the fukushima daiichi plant may have to be declared off limits indefinitely. it's the first time a government official has raised the possibility that some ev

hsbc had to announce that they had to restate previous year's earnings because of losses in subprime loans. no one knew what a subprime loan was. everyone now has opinions on it, but that is the start of it. the recession we had was extremely severe, and it was a financial recession, and it takes a long time to recover out of them, but we are on the right trajectory, and that is the important thing in terms of the outlook for this economy. inflation -- this chart is the consumer price index, the broadest measure of inflation, and it goes back to 1975. many of you in you may remember the very high levels of inflation we had then. now, it is down around 2%. this is a level that is acceptable for the federal reserve bank, and it allows them to use their tools to try to stimulate the economy because they do not have to use those tools to try to fight inflation, but this is the concern -- housing. i love the start because it puts in perspective how bad the housing market was affected in this economy. the overall economy is the green line, and it measures the change in the drop of the econ

both official numbers and hsbc? >> start with the bottom line. there's no hard landing this china. there won't be one. there's an imaginary one that happens every three months when western investors misinterpret data from china. and then numbers come out to make it look not so bad like over the weekend. there were two pmi indexes. smaller companies are more sensitive to exports. exports are very weak because of european decline. and there's also of course a weak housing market. china is slowing to 8.5, not to 5 to 6 where people should worry. >> were you using the last 7 to 10 trading days to load up on stocks that you like that have exposure to china whether it be mi miners, i know you like caterpillar. you said you were buying on any dips you saw in any of those names. what do you do today? >> you know, i feel i'm like a snail mugged by a gang of turtles. you guys trade so quickly relative to me. i like the names that are foreign ways to play china's growth like the mining companies. bhp, freeport, very good ones as well. petro china is a nice way to do it. chinese resource compa

hsbc lowering its forecast from 18.50 to 1760 for average price of gold for 2012. gold still down for the month but doing better than the other metals so far in april. back to you, sue. >> thank you very much, sharon. all right. check out the shares of sunoco, they're up 20% today on an otherwise down day after the pipeline operator energy transfer partner says it will buy the company for $5.35 billion. nice work for investors if you can get it, but that's kind of an anomaly in today's trading session, right, bob? you're saying the economic data hasn't been good enough. growth isn't good enough. >> it's almost like the worst case scenario, the ism numbers this morning, the regional manufacturing numbers from chicago and dallas were terrible. they've been terrible for a while now. we're hopeful with the ism tomorrow. now we're going to get 2% growth some people are saying in gdp. that's not enough for the federal reserve to jump in, but not enough to get a job growth. so you have this stagnating economy and i think that's being reflected in stock prices today. volum

last evening we had the hsbc china pchlt mi came in at 49.1. still showing contraction. but it's not a hard landing. it's not completely falling off a cliff. you still have a billion people in china. that are consuming, that are changing their habits. those are the names that you do want to see in europe. doesn't really change -- at least my mind, about the chinese consumer. >> murph? >> agreed. and judge i was going to say last year at this time, we had a great start to the year. all of a sudden europe flared up and we had a major meltdown throughout the summer. a lot of professionals i speak to have been saying we're not going to get caught in that trap again. we see the same thing happening again. i believe it's different. i believe nobody has the playbook. and i believe it's going to be different this time. that's why you're seeing the markets in europe down 2.5, 3% today. nobody wants to get caught. >> the problem is is that you've got not only the economic uncertainty, murph. but supposedly, fighting for his political life, you have the political uncertainty factor

. >> we got an upgrade today from hsbc on europe banks.e also had an upgreat on barclays as a result from a different house as a result of their holding in black rock. we will come back to that. >>> breaking news out of asia. we want to get to that. we want to go to our reporter for the very latest on what is going on in indonesia. cnbc's chloe cho is in singapore. >> i think the real risk of danger has really passed. this only happened in the past hour or so ago. countries one by one from sri lanka and indonesia, lifting their tsunami alerts. the u.s. pacific tsunami has canceled their warning. whatever are in place seems localized to some of the small islands, about 2.5 hours ride in terms of from the capital, jakarta. the powerful earthquake and tremors that followed in the aftermath of the first 8.6 magnitude earthquake seems to have quite a bit of an impact given that we hear that countries in africa as far away as tanzania and kenya are still in a tsunami warning as well. remember, these countries are on the other side of the indian

david bloom from hsbc will join us. úú]úÑ bank will pursue powerful monetary easing as it reinforcesto combat inflation. the governor insists japan is headed for a moderate recovery suggesting it is its readiness to keep its ultra loose monetary position, the boj holds its next review meeting on the 27th and a lot of people are betting there will be big easing ahead. so letting the public know there will be major you powerful easing. what remedies counseling do you has in mind? >> it's for real here. the bank of japan really fundamentally changed in my opinion in february. zero inflation is not an option any who are. sure the can deliver something new every month, but there are more tools available. an additional move at the end of the month is quite lakely. >> what and he happened to sony and panasonic is a reflex of how strong the yen has been and how it is too competitive to keep up with other rye vels. >> you naed a little bit of luck and cyclical tail winds. and that's what's coming. clearly the yen's exchange rate, one part of the equation is the outlook for america, is this ge