katia: exactly. like -- 10, we areuble td seeing commodity, russia for example who has the oil issue. heavily driven by chinese growth, but everything is imploding at the same time, so there really isn't any strength there for anybody. brendan: what you don't know, katia, is thomas happy because for the first time, they spelled ubel the american way. tom: we are doing it right. katia, in mys, looking for catharsis or market clearing functions? in play, and oil goes to $40 a barrel, west texas. katia: the question is -- where is the chinese bottom? people do not see this to be the end of the depreciation in the yuan. barclays a saying for chinese growth to really be -- you need to have a 20%, 30% depreciation. a lot farther from where we are right now. if we are going to be seeing that bottoming out in the yuan, then the end is not inside for latin america. tom: katia porzecanski. brendan: that brings me to my agenda, we will be taking a tour of the foreign exchange reserves of the countries around ch

katia: in broadly latin america? absolutely.is a region completely dependent on commodities, lots of oil exporting countries, soft .ommodity exporting countries what is happening in china definitely affects them, less so probably than what is happening in the region within asia. but if what china is doing ultimately ends up with them growing more, the reason why a lot of the devaluations, appreciations we've seen in latin america, trade growth isn't there. if this ends up making china grow, the maybe it works. brendan: moving beyond commodities for latin america, we just got down with a decade of saying colombia is the new brazil, which has in the best job of actually diversifying its economy? katia: people really like the andes and mexico. tom: chile. columbia, peru. people love mexico right now because they are trying to diversify away from having this monopolistic energy sector. trying to open up to private investor. tom: that's go back to john golub. can rbc invest in latin america? i'm not going to speak about the bank, but

katia: as things go faster and faster, investors are looking at the trend. what makes them nervous. when things get really bad, does that accelerate? there was a good article from william pesek about malaysia in the asian crisis. they take their currency, and by pegging their currency, they were able to avoid and implement capital controls, avoid the turmoil that a lot of other countries face. the implemented other measures that kept them from doing so. in doing that, they did not make the changes that all their regional neighbors made that are theing them from having problems malaysia is happening now. they did not make the economic adjustments and they did not make institutional adjustments. now we have the corruption scandal, the political scandal in malaysia, and investors are scared because the interest to show -- because the institutional strength is not there. brendan: everything i know about asia i learned from willie pesek. chance to make political changes in malaysia and they still have these policies that favor the majority over the indians and th

katia: erik: yes. thank it very much. it has been a crazy couple of days.y's going to give you bad news, let it be katia: we have a story so ugly we almost did not want to show it to you. the new alien like fish that has been discovered by scientists. it is thin and has sharp teeth and it has a glowing fishing pull on its head. scientists discover the fish about 5000 feet low the service in the gulf of mexico in an area of the deep-sea that is a mystery to humans. this area is called the midnight zone. that is gross. ♪ is 10:00 a.m. here in new york. you're watching bloomberg's market day. you're watching a global stock selloff. equities are down and there are fears that china's yuan intervention could spark a new currency war. analystsme in below estimate for macy's, cutting the sales forecast for the year. macy's claims a strong dollar and inventory backlog. you'll hear straight from the ceo. sinks as well-- as the saturating the chinese market. the stock is trading at its post ipo lows and now jack ma is announcing a buyback. matt: good morning, i matt m

bloomberg emerging markets reporter katia porzecanski is with us. emerging markets around the world are rallying, currency in latin america has yet to trade, trading should be relatively soon, so i'm sure we will be seeing rallying across the world. this is cutting rates and cutting reserve requirements, which is what a lot of people were calling for in order to see some rebound in the emerging world. brendan: we have got carl riccadonna with us from bloomberg intelligence or diamonds rested with the dynamic with the ruble rallying. help us square that circle. how do we get from the pboc to the ruble? risk-off, risk aversion tight play, everything moved too far in one direction, and now you're a sibling getting a rebalancing in equities and currencies across the world. brendan: we have a panel here, michael levi is here, you made a noise like you can explain the ruble. michael: if i see brent moving up, the ruble has been moving very closely with oil prices. vonnie: are these moves related to oil, or are they correlated with the potential and not ju

katia: we have seen kazakhstan and vietnam.latin america, peru -- it has otheren hit as strong as currencies. we are seeing their government saying we need to hike rates. terribleia, they are a performer today, down for presented they are in oil exporting economy. their central break cap interest rates low. it is dealing with much slower growth. what do you do when you have a currency plummeted and inflation rising? do you hide and risk slower growth? you let rates stay low and let it fall off? olivia: $5 trillion wiped away since the chinese t devaluedn yuan. how is that having an effect on latin america? katia: a very big effect. rizal is dealing with a lot of other issues as well. they are dealing with the longest recession since 1931. they are dealing with more and more. olivia: i was just going to say -- good news since you were speaking. the dow is off 300 points. that is less than 2%. that is good news. it appears that we are off session lows in deep sentiment improving, but still a bloodbath out there. don't go away. mo

. ♪ >> katia es una joven de cinco meses de embarazo y analiza la cobertura de salud en esta etapa de no sÓlo por la salud de su bebÉ sino por la falta de cobertura necesarios en su periodo de gestaciÓn. una preocupaciÓn que cambie para miles de mujeres en california a partir de agosto. >> el gobierno federal a partir del 1 de agosto aprobÓ una enmienda que autoriza departamento de servicios y cuidados de salud de california a brindar una cobertura total de medical que no las limitadas servicios relacionados al embarazo, disipando una preocupaciÓn menos en situaciones como la de noÉ y marisa. >> estamos ayudÁndonos mucho porque estamos muy jÓvenes para tener un bebÉ y el dinero... >> ahora la cobertura mÉdica tambiÉn cubre mujeres con salarios mensuales de hasta 1830 $ ya que antes sÓlo ofrecÍa servicios aquellos que estuvieron por debajo de los lÍmites de niveles de pobreza con ingresos de 790 $ al mes. esta enmienda beneficia 18 a 20.000 mujeres embarazadas mensualmente. otros servicios que ofrece medical a partir de agosto las embarazadas que antes no lo sea la expansiÓn de cobertu

thank you so much for joining us, katia.to get more insights on the markets and joining me for that is bruce simon, the chief investment officer at city national rockdale. this is the same perspective out west, right? it is still 3:00 the afternoon there. i'm sure a lot of people can zealand, australia, and asian markets because of the time difference. what is the outlook for tomorrow? tomorrow is going to be another volatile day in our view. who knows where things will end up? i think a lot of this, the intensity of the volatility today and the market fluctuations are likely to spill over for the next couple of days. we dumping, whether you're talking about emerging markets in asia or even in the u.s., are through the end of this volatility. -- we don't think matt: today i was hearing from some people that maybe this short covering will give us a rally through the end of the day. but even with the shorts covered, it looks like people still have a lot to sell. is that what you are hearing as well? >> it was a crazy day. we w