gauge, manufacturing hsbc below 50. contraction at a seven-month low. france coming down. germany and 30 minutes time. let's get the market open with caroline hyde. >> we had the worst six-day drop .n european stocks since 2011 we are down about 8% in the last six days. any kind of rebound? we're already trading up in france. the hope is amid all this bad data, will we start to see stimulus come through? from the likes of china and europe, that has got to be the hope. many have to cancel those christmas lunches. we have got so much on our plate. russia hiking. the interest rate the most since 1998. you have got oil continuing to have got chinese manufacturing contracting. that was a surprise. we have got eurozone debt the later today. we have pmi's from france. hope is on the equity market. let's look at what happened to the ruble. to theeeing a rebound russian ruble. the dollar is down. on a two-day basis. yesterday we saw the u.s. dollar up 10% against the ruble. central bankhe stepped in. the emergency meeting at midnight, raising interest rates i 6.5%. ls economic grow

hsbc. hong kong, shanghai. >> exactly. charles: okay. right, guys -- [laughter] i think that's where we are for there. after a relatively straight and stable ride, right? the last couple of months have been hair-raising, to say the least. even today some of the high flyers didn't look that good. two of them you're concerned about, twitter and fireeye, we're going to address them in "ask payne," and that's next. ♪ ♪ here's a question for you: as nations develop over the next 25 years, the world will have almost twice as many cars. how much fuel will be needed to power them? about the same as today? 50% more? 100% more? the answer is... about the same as today. by 2040, advances in fuels and vehicles could enable about 75% better fuel economy than today. take the energy quiz -- round 2. energy lives here. charles: all right. time to answer your questions on "making money." remember, if you're curious about an industry, individual stock, you can always ask. i got hit with a lot of them today. first up is jared on twitter saying -- on twitte

this after china's flash pmi from hsbc and markets posted its first contraction in seven months.cent expected data is raising expectations for additional measures. out to singapore with the latest on asian trade. over to you. >> hi there, you're right quite. this is one of those proverbial situations where the bad economic news translates into good news for the financial markets. look at the composite at the close. up by 2.3%. and outperforming all of its regional peers. a fairley grim day for asian equities because of equities, because of russia, because of the falling oil price. you're quite right, we got some data which pointed to worsening macro picture in china and the world's second largest economy. hsbc market pmi for december, industrial activity and contracting for the first time in seven months. falling below that crucial 50 level that de-march indicates expansion from contraction. we could very well see between one to two interest rate cuts across the banking sector. and that is really what the markets on the mainland are front running. that's why we saw the shanghai c

a reading from hsbc came in at 49.6. a reading under 50 signifies contraction.his is the first time since may the figure came in below the key threshold. it is a sign the chinese economy is cooling off when it comes to economic growth. the russian government is taking action to prop up companies struggling with western sanctions and low energy prices. they bought 40 billion euros of shares in gazprom bank. , separately they are pumping rubles into an arctic gas project. russia is a loser as oil prices fall, but they are also -- there are also winners. american drivers saved billions in 2014, how much less they spent on petrol during the year in comparison to 2013. so says the alto association aaa. most of the savings came in the last quarter, as prices tumbled towards the end of the year. on average, every american household spent $150 less on petrol. a pretty astounding ride when it comes to oil prices in the last few months. 12 months ago, brent crude was trading at around $110 a barrel. this session, it is trading around $57. a halving of the brent crude pric

hsbc says they are worried less about the currency. you wonder about the bigger and more meaningful impact, which is russia on europe and the demand on europe. the propensity to impact the european gross story. clear that they felt that it was contained and it was not 1998. credit outlot of there associated and that is your market open. you have the equity arising in the ruble rallying. you have the chinese coming to help the banks. what a flurry in the last moments. the taxes up. sap is up. by a few shoes and help them out. >> manus cranny. >> this was still the headlines. the national bank takes the deposit rates negative. could the fed go the other? it makes scholars investors, and .ournalists plenty of speculation. here is the latest. >> the committee considers that unlikely to begin the normalization process for at least the next couple of meetings. >> what does a couple mean? her response was brief. >> it means to. >> right. do you have that? we're joined by bill. overseen $2.4 trillion in assets. anything you heard that changes?

we have hsbc and another bank with exposure to the emerging markets.e story were talking about what is happening. the problem is, those banks certainve -- hsbc to a degree, any real exposure to the u.k. how should they read that story? the journalism are talking about are we stress tested the right thing? does it really matter? critics your point -- critics your point and> corny when it got they u.k. banks are not at the forefront of exposure to russia and eastern europe. development, really, you can wonder if we are really starting to see the beginning of a wider problem here. let's face it, russia is not the only country that exports oil and dependent on oil income. countries -- almost 20% of the u.s. market is related to shell oil. there will be fairly widespread repercussions. >> it does it price into the banking sector at the moment question how much is priced in? >> a good question. >> not a lot judging by your reaction. >> there is potential for a lot of surprises. >> corrections? >> certainly. >> thank you so much on the u.k. bank stress test f

after hsbc came in at 50. south koreans are under pressure -- south korea's kospi is under pressure. we are watching live pictures of protesters in admiralty as the police start moving in. tokyo, coming up after the break. ♪ >> the final stand. hong kong police move in on the last major protest site. a hit online and sony is not enjoying the proceeds. he is just not that into you. shanghai is losing enthusiasm for the connection and hong kong. -- in hong kong. let's return to the top story. the beginning of the end of the democracy street protests. the police moved into the streets in the admiralty district. they cleared protesters and barricades. there were scuffles and rs. -- and arrests. tell us what you have seen today. is calm now, there here at the protest site. the government offices will reopen after being closed this morning after the police action in this area. we heard from the secretary of security begin to the press a short while ago. he said the process were on the verge of getting out of control

barclays, hsbc, rbs, co-op bank and nationwide. they are being expected to withstand a house price crash, rising unemployment and higher interest rates. if you don't think this is tough enough, it tests them for an economic catastrophe so severe it has only happened once in the last 150 years. fall in house prices is modeled -- that has not happened since we modeled prices in the u.k. in the 1950's. in interest-rate hike to 4% by the end of next year. mark carney says rate rises will be slow and they will peak below the historical levels -- 4% is way above the intimation of interest rates and finally it factors in unemployment rising to 12%. u.k. guilty of hitting 6% -- lenders must maintain a core tier one capital and that is blowing your head off. bankimply, that measures a 's holding at the highest quality measures of capital. >> you make it sound stressful but i know some of the guest's we have don't think it is stressful enough -- some people say that 4% interest rate by the end of 2015 -- might not be the projected path. talk

that is hsbc's p.m.i. survey. we have a contraction. 300 businesses. how business is going.y it is contracting more than economists thought. said it would be contracting by worse than they have seen since twine. we're getting a picture from the -- since twine. geerting a of the other side of the economy. how much the world needs russian oil and how much they are prepared to pay for it. that dove tails into what we got from the russian economy yesterday saying that we could expect a recession in 2015. we heard that from lots of other economists. this is the first time the kremlin said we can expect a contraction of 0.8%. up until now they said 2015 looks like the economy is going to grow by 1.2. the last four or five years, everybody has been talking about stagnation. in russia, it looks like sub4% growth. it is still growth. they said our growth may not be great but it is better than yours. that is something they would not be able to do now. look at russian growth going back to 2000, since president putin took power. back in days before 2008, when they had that recession, gr

right now, they are issued by places like barclays or hsbc. diners card is also accepted, but to a lesser extent. american express, those cards are not accepted anywhere on the island. i spoke to bloomberg's credit card expert and she told me that stands american express to benefit the most, they are going from zero to some possible exposure. >> how big an opportunity is this for the credit card company? quest it is a good question we are all trying to figure out. i have been working the phones with other analysts, and one of them, equity director at he said itapital, would be revenue, but not meaningful from an earnings perspective. i also spoke to analyst josh olson from edward jones, and he said that cuba will not likely have a material impact on growth. let me put this in perspective. we were just talking about russia, which is much larger than cuba. it represents only 1% or 2% of payment volume four these critical players. networks will likely participate in any opportunity in cuba, assuming the operating costs are in line with ever geogr

a conversation with hsbc this morning -- mr. sullivan said get your portfolio ready for shocks. underweight they now begin to look interesting from a dividend point of view. let's have a look at these three. man as towith palis whether they will get together and do a deal. repsol down 2% this morning. 22.7.own in september and october challenging. they do see some improvement in australia and france. way waiting for the tesco bell to open. they indicated down 10% as they warned -- we will make 1.4 billion pounds in 2015. that is below the market estimate. lower and the yen is doing something it has not done for a while, it is strengthening. dollar-yen seems to be in the masquerade of a currency that one would go to in times of a pause in the equity market. i say masquerade because you are seeing everything from easy calling to another big leg in dollar-yen. never has the divergence -- not never, but the diversions has been quite large. nineve you with this, day -- the longest losing streak since 1979 as the national australia bank is his confidence falls and they cut their targe

. >> i'd like to know what you think of hsbc holding. >> no, i would rather be in jpmorgan. big international bank, you want to be in jpmorgan. that's the conclusion of the lightning round. >> the lightning round, sponsored by td ameritrade. >>> tonight we are getting in on the boom of healthy foods. that future may look like hampton creek foods, maker of plant based egg free alternatives for mayonnaise and cookie dough. two products, just mayo and cookies, are healthier and cheaper than egg based competition. finally give vegans a way to fill that mayonnaise flavored hole in their stomachs. their products are available in the u.s. and asia, everybody from whole foods, kroger, costco, walmart. incredible given you couldn't find it anywhere a year ago. today the company announced it raised $90 million in financing, which it is going to invest in r&d and accelerate expansion in western europe and asia. any major packaged food planners should be desperate to get this company. private held companies that are revolutionizing their industries. i checked in with the founder of hamp

hsbc saying cpi falling. the cpi fall indicates that we've got entrenched low inflation in china right now. morgan stanley saying that we'll see inflation in the 1% to 2% range. of course, that is far off the 3% target. if you just looked at ppi, it's been in negative territory now for 13 months. during the month of november, ppi down 2.7% on an annual basis. when next will the central bank act? they're saying that we might see a move in the triple cuts by the end of the year. morgan stanley pointing out that we've got fiscal expenditures still moving into the economy, so unlikely at the end of the year, more likely next year quarter one. back to you guys. >> thank you very much for that. sam. >>> our headlines at this hour, wall street is shrugging off europe's rally as u.s. futures point to a lower open. >>> costco sees the rise 17%. >>> and fed vice chair stanley fischer let's slip jpmorgan could fies a shortfall of $20 billion if the fed proposes tougher rules for u.s. banks. >>> and forget online. the ma

government these are for sanctions violations the settlement amounts for violating sanctions including hsbclargest standard chartered credit suisse and are bs and barclay's. fixes is significant. how soon do you expect to have a resolution? >> it is impossible to say. the banks are eager to settle some subtle be unrelated case just a day for manipulating currency. it is very hard to know that they don't fight to the bitter end. lou: don't refer -- be insulted when i say it is lot that is made up of providence and preparation and talent. >> hi, everyone. i'm courtney thorne-smith. don't change the channel, because in the next few minutes, you're gonna learn about a breakthrough product that could help take years off your appearance. but here's the thing -- you don't put it on your face. want to learn more? stay with us. >> announcer: next, a paid presentation from perricone md for cold plasma sub-d, the first-of-its-kind treatment for the area of your body that can actually age you most -- your neck, hosted by network television star courtney thorne-smith and featuring some of the most drama

government these are for sanctions violations the settlement amounts for violating sanctions including hsbch the largest standard chartered credit suisse and are bs and barclay's. fixes is significant. how soon do you expect to have a resolution? >> it is impossible to say. the banks are eager to settle some subtle be unrelated case just a day for manipulating currency. it is very hard to know that they don't fight to the bitter end. lou: don't refer -- be insulted when i say it is lot that is made up of providence and preparation and talent. i wish you luck. >>> tonight on war stories. soldiers on skis. >> we are an experimental unit. >> the brave men who took on the german army high in the mountains of italy. >> everything had to be attacked going up the hill. >> including senator bob dole, who near ly paid with his life. >> would have to get my radio, hit first and felt a sting in my right shoulder. >> america's tenth mountain division. >>> i'm oliver north and

hsbc says, no, they're the only growth game in town and why people should be looking at them.re very hot today. >> that will do it and important stuff online. thank you. >>> thousands of protesters calling for police and judicial reforms after no indictments in ferguson or the new york chokehold death and now consuming washington, d.c. "meet the press" moderator chuck todd is here next. stay tuned. are all the green lights you? no. it's called grid iq. the 4:51 is leaving at 4:51. ♪ they cut the power. it'll fix itself. power's back on. quick thinking traffic lights and self correcting power grids make the world predictable. thrillingly predictable. i research. i dig. and dig some (trader more. search. because, for me, the challenge of the search... is almost as exciting as the thrill of the find. (announcer) at scottrade, we share your passion for trading. that's why we rebuilt scottrade elite from the ground up - including a proprietary momentum indicator that makes researching sectors and industries even easier. because at scottrade, our passion is to power yours. because i

it is the first contraction in seven months of hsbc's flash manufacturing purchase managers index andn. so news like that is certainly not helping the markets. there is the russian markets. we saw large falls. lock at that. nearly 11.5% down today, but it's having an impact around the globe. as i mentioned the slowdown in china. this weak growth in the euro. we're heading towards the end of the year with not great news whatsoever in terms of the global economy. you can see the ruble there to the dollar, and of course the dow not open yet. that's open in just over an hour or so. we'll keep across that for you. follow me on twitter. tweet me. i'll tweet you right back. you can get me @bbcaaron. that is it for the business right now. >>> do stay with us here on "bbc world news." still to come, we're going to update you from peshawar. this is the scene at the moment. from what we understand, the military operation is still under way. it is now dark. we understand that six taliban have been killed. but that the operation does helicopter, and i can confirm we are now hearing 132 people have

you were at hsbc, you were at bank of america, correct? >> yes.up and say, forget it? i'm over this wall street stuff? what happened? >> it wasn't exactly like that. john henry, chelsea and i were entertaining our clients at fitness wu teaks -- boutiques, and it was an unbelievable way to build impactful relationships. liz: instead of at steak joints? >> absolutely. we felt these relationships were real. they were helping us in business, and we came up with this concept because most of our, most of the other studios are very focused on the individual, but we were going with a group, and we realized the power behind a team. so we came up with this concept, we told our clients about it, and we actually went to them for advice and for ideas, and they in turn came back and said we want to back your venture. liz: oh, man, that is so smart. i mean, you probably didn't even realize you were playing it like that. chelsea, talk about the concept of swerve. >> so the studio's broken up into the red team, the blue team and the green team, and they compete du

szymoniak says that the banks whose paperwork was handled by the docx forgery mill included wells fargo, hsbcsche bank, citibank, u.s. bank, and bank of america. we contacted all of them, and each said that it farmed out its mortgage servicing work to other companies, and it was those mortgage servicing firms that hired docx. docx was owned by a company called lps, a $2 billion firm that calls itself the nation's leading provider of mortgage processing services. lps told us that when it found out about the phony signatures in 2009, it shut docx down. >> it's astonishing to me that this became as pervasive as a problem that it is. >> it got sloppy. >> it got very sloppy. >> until july 2011, sheila bair was one of the government's top banking regulators as chairman of the federal deposit insurance corporation. you just described it as pervasive. >> yeah. it is pervasive. it absolutely is pervasive. and it was just a matter of cutting corners, not spending enough money, not have any quality controls. >> although banks say the courts have been accepting their paperwork, that's changing as despera

. >> i talk more about the hsbc case.it sounded like the agreements with regulators that it was not just about the one failure to catch funny business involving the ponzi scheme. they thought they thought that there was a pervasive lack of attention. another example of too big to jail. no bank we will be charged with money laundering because it requires the institution of chartered revocation. and and it is not something that prosecutors want to do. charged with bank secrecy act violations. of course any bank may be generated under the thousands if not millions of red fly transactions and maybe it was an extreme situation where they have less than 100 people a hundred people who are supposed to look at all of that. we cannot do this job. and job. and maybe transactions going to drug cartels and terrorists, but we don't have the resources. but that was the case where there was a deferred prosecution agreement. describing describing people who are saying not to do compliance. maybe the bank has shaped things up and it is a

the official numbers from manufacturing p.m.i., we have the hsbc measure coming in.ng no expansion, no crks. growth steady from the previous month and in line with the flash number that we got a few days ago. chief china economist reaction. >> i think today's manufacturing p.m.i. number points to economic troisk growth. it had been broad based. new orders on the out put index and export orders have fallen below 50 for the official p.m.i. >> just a slathe expansion at the state level. what does it mean for policy makers when they look at manufacturing when is the main stay of the chinese economy? >> i think the manufacturing data confirms the recent slue of week economic data. we had a number out l.a. week contracting by 2%. the government is looking at all these numbers and basically was conclusion was easing unnecessary and the two support private demand. >> you did get it right when it came to this enter rate cut. i don't know there was anybody else predicting one but now they are predicting further ease to take place. >> september had seen lower growth, lower rate

lloyd's, barclays, hsbc, and the royal bank have a stranglehold on market share.art startup bank to be intimidated. how much progress has metro made? what does metro make of the latest developments? let's find out. vernon hill joins us now. you and i have had a quick conversation at the break as we prepared for this interview. you said, we can't grow any faster. goingt something that is to continue to be true? is it true five years down the road? base.me from a low how much of what is going to happen in the future is going to be a story of metro suddenly getting bigger? the base gets bigger every year. that is right. good morning to you. this is about building a completely different bank from scratch. it is not a better u.k. bank. one of our marketing strategists joined a revolution. that is what we mean about reinventing how retail and business banking is delivered. this is the fifth new bank i've done by scratch. >> how does it compare? >> we are seeing growth rates no one has ever seen from a startup bank in america or europe. as you said as we started this, yo

hsbc says by the end of next $.78 seems to be a more rational level. i will leave it right there. what is going on sydney. take a look at these images coming through. the scene in canberra is this. we are waiting for tony abbott. he will give the latest on the scene in sydney, where the central business district has been locked down as a group of people are being held hostage. as many as 40 being held hostage in sydney's martin place. a black flag with arabic writing in the window as well. they are, at the moment, clearing the c.b.d. the security committee was convened for briefings on the siege. paul allen is right next to the scene. what can you see? >> at the moment, we are looking .own castlereagh street obviously not what you are seeing behind me here. a number of emergency services vehicles are parked. place, theo martin security presence gets considerably heavier. is a very significant part of sydney. it is the heart of the financial district. the reserve bank of australia is down there. all of the major banks have headquarters down there. it is filled with shoppers at this

last month, regulators in europe ordered six banks, including rbs and hsbc to pay about $4.3 billionf the rigging of foreign exchange rates. in a follow-up to a story we heorted on yesterday, when touched on is being sued by an investor. managementcapital must back it stake. -- wants back its state. the court there does not make case filings public. those are your top headlines. >> i want to reach out on the polls. watch what they actually do. christmas is around the corner. also around the corner is your credit card bill. idg research does a lot of careful research in america. they actually go out and two people. and they see -- and speak to people. and they see a lot of optimism. it's wonderful to have you here. how much of a plastic christmas is it? we we leveraging up as always do? >> i don't know if we are leveraging as we have in the past, but there is definitely a that theyg consumers are much more willing to use credit than last year. we always ask them whether they use credit cards more than last year. it's kind of like this in question, no, we will not smoke as much or drin

the first flash reading of the hsbc pmi showing the first manufacturing contraction there in seven months. it was a reading below 50. this is the latest sign of weakness in the chinese economy. >>> stocks rose on hopes of more stimulus from china's central bank. >>> as for how things are shaping up here at home, check out the futures this morning. at least in early trading, remember yesterday, everything reversed by the end of the day. we were up 100 points in premarket. but in the premarket this morning, dow futures are indicated up by close to 80 points. s&p futures up by 9 points and the nasdaq up about 17.5. >>> boeing hiking its dividend 25% to 91 cents a share. the aerospace client boosting its share buyback program to $12 billion from $10 billion. about $8.3 billion excludeing debt. the electronic payment firm trying to move away from traditional payment. joe? >> that's pretty good. >> what's the yield now? >> well, what did you say, 25%? >> you can figure that out, right? >> 25%. three times 25. >> disney raises by the large amount. >> this is from a yielder to even a bigger yield