there is a little bit of profit-taking going on in shanghai, i see down a fraction. markets mostly up ahead, as i say, of that key jobless numbers. looking at the numbers now, the nikkei is up, up for two reasons, nikkei up about 0.5%. first reason, goldman sachs and ubs says tokyo's measures to recover from last year's earthquake and tsunami will push the nikkei higher next year. next, tokyo to unveil a fourth budget to keep the economy going. it's going to be at least $26 billion. the hang seng just a fraction in positive territory and the east in the green zone a few moments ago. shanghai as i said also down by more than 1%. that's the second day it's been underperforming. it comes despite the news from beijing that they're going to loosen restrictions on bank lending. finally, the asx up 1.4%, despite s&p's downgrade one notch to aa minus. s&p changing criteria to better bank exposure to risk. now, on friday, the week in review, we've had great gains. let's take a look at some of these numbers here. great gains since that central bank action we saw on wednesday n

shanghai, a rare green arrow for shanghai, property stocks helping to move the market higher as hopes are pinned on the fact that authorities will take more moves to ease the restrictive measures which are now in place in shanghai, in fact right across the country on property. nina? >>> let's take a check in on how the united states trading patent fared yesterday. wall street it seems, rolled out a choppy session on tuesday, largely shrugging off news that ratings agency standard & poors could be considering downgrading the euro zone's bailout funds. u.s. investors remain cautious ahead of that crucial european debt summit. we saw the dow jones industrial average adding nearly 0.5%. nasdaq following by 0.25% and the broader s&p 500 showing small gains but pretty muted on the whole, andrew. >> that was yesterday. what does it look like today? the opening bell is a few hours from now. stocks are set to open higher when trading does indeed begin. that's what it looks like at the moment. the broad s&p up by almost a full percent to get the wednesday session under way. nina? >> andrew, fri

s far as shanghai, and her cousin helped her find a snakehead. um, a "snakehead"? yeah, someone who arranged for her to get on a cargo ship. she said there was 20 women on an 8'x40' container. 20 women. yeah. did she say the name of the ship? i don't think she knew. she was working on a story? a book. last year, we did a series of articles on the underground sex trade. we heard how they were bringing the girls in. she convinced the publisher to back an expose. and just like that she could pull off going undercover in china? susan's first-generation chinese-american, she grew up speaking mandarin, and her mother's family's still in zhejiang province, in the countryside. they helped her. last thing she told me... she pulls this off, she's a lock for a pulitzer. well, i'd really like to look at her notes. so who is she? who's who? charlie, whenever you look like this, it's always a problem with a girl. look like what? michelle robinson, remember her? seventh grade? yeah. when she wouldn't go with you to the dance at school... you looked just like this for a week. amit

shanghai coming down to about 7 by the end of the week.are going to see temperatures cooling down. average in seoul and beijing. minus 20 in ulan bator. getting significantly cooler up further towards the north. heading now into north america, many will see sunny skies, but very cool conditions as the skies are very clear. we see all of the very cool air spilling in. so do watch for subzero temperatures. particularly in your overnight hours. as we head into the east, that's when we run into our storms. now, we are going to be seeing the snow falling pretty heavy and pretty wet. anywhere from the mid-atlantic right up into new england. this is what we're looking for. anywhere in the darker shade you could see about 15 maybe 20 centimeters of snow. so certainly enough to have to shovel away in the morning. temperatures are still not too bad on your wednesday for new york city as well as in d.c. expect the temperatures to drop after that storm moves past, and that said, it isn't going to get cold enough to snow in new york city, but you will

. >> shanghai, china, the world's second-biggest economy. still growing fast while western economies stagnate. the eurozone is floundering under its debt and they are not buying as much chinese staff. all of those troubles some western debts, someone say that china is partly to blame. look at the extraordinary wealth that the chinese economic miracle has generated. the way that china has exported some much more than they import and they produce so much more than they consume. that is the global economy on a fragile foundation. they have lent money to us that we can buy their products? in the process the u.s., u.k., much of the european union has become unsustainably large. outside of shanghai, this farmer is living and working in harsh conditions of the sort we have not seen in britain for 100 years. the economic miracle allowed his son to escape the poverty of the land. >> my son does not do this. my village is in an industrial area. on the farm, we live at the mercy of the elements which means the income is not stable. my son will not do f

they are as far behind the shanghai kids as we are ahead of kids and albania and to asia. that is a really troubling sign of trouble for the future. in this globalized world with very competitive wage rates, if you don't succeed educationally, it is hard to see how you can be a center of innovation that the u.s. has been in recent years. >> i wondered if it was fair to say the west and the rest as opposed to the west and china? india may be, but are talking about the west and china? but don't think we are, china is the biggest story. it is 1/5 of humanity. if you look at the projections, even though the tide of overtakes the u.s. very soon, india does catch up, too. last time goldman ran these numbers, they had the india catching up by 2050 and you also have brazil, indonesia, another big and very rapidly growing economy. i make the argument that is not a question of the inevitable decline. what can we do, what must we do to revive our institutions and get the budget back not only in terms of economics, but in terms of science and the way our legal system works. we used to

beijing and shanghai were among them. looking at recent trends, september recorded slumping prices in 17 cities while october saw drops in 34 cities. the declines are due to government actions to curb speculation. measures included restrictions on loans to buy second homes. these steps have apparently dampened the market. competition to cut prices on condominiums and other homes is becoming more intense in some cities. the chinese government, however, plans to keep its tight controls in place as real estate prices still remain unstable. >> u.s. stocks ended mixed on friday as concerns over europe are pushing aside an improved u.s. economic outlook. for more on how stocks are starting here in japan this monday morning, we switch over to the tokyo stock exchange. how are tokyo stocks kicking off? >> good morning, we could be in for a volatile week for the christmas period and also some of the news there from the possibility kretd it rating downgrades of eurozone countries and also key housing data out of the u.s. which will

shanghai being impacted by a negative outlook. the tankan survey came out of japan. we talked about it earlier in the show. worse than expected, mean us in 4. many analysts expecting minus 2. showing that the euro zone crisis has fed through to asia, particularly on terms of exports and what manufacturers here could expect to be sending to other parts of the world, nina. >>> let's change tact a bit, imagine a job with no dress code, no colleagues and nothing to do but to sit very, very still. that's what rachel welsh does every single day as a model. complete strangers turn up and turn her into a real work of art. for some it would be too revealing. for her on the other hand it's a picture perfect world at work. >> i have been life modeling for 15 years. i started modeling when i was traveling. and i've never been to a live class in my life. i thought how difficult can it be? i don't think i anticipated what it's like to actually stand in front of somebody naked. somebody you don't know and have them really look at you and draw you. and it's a very intense experience

i want to quickly show you what's been going on in shanghai. the market down nearly 2% for the day as a fourth day of losses. the actual index is now at its lowest level since march of 2009. still uncertainty over how beijing will boost the slowing domestic economy. as we've been saying, the economy in china has been slowing more quickly than a lot of people. people expected china to move more rapidly. certainly at the moment it's a fairly negative outlook on beijing. >> a lot of concerns then for the western economies as well because a lot of people were hoping that xhin nah would be the powerhouse of economic growth to, let's say, take some of the western economies out of their downward spiral. let's remind you what happened on wall street on monday's session. stocks took quite a tumble there. as you can see those alarm bells continue to ring in europe. that had a concerned effect on the markets in the united states as well. this is how the major indices closed. as you can see, they were down between 1.3 and 1.5%. >> as i was saying, nina, th

it outperformed the shanghai composite. focus for markets in 2012 is likely to remain on the eurozone and any progress on sovereign debt as well as banking sector, with that in mind we saw numeral holdings and day was losing a touch, not a major move. some market hesitation about concerns of exposure of banks to sovereign debt. kred ilt rating agency warnings, keeping the lid on market enthusiasm. some data out of the u.s. showed improvement in jobs, housing, ffrg. with that in mind, case schiller home price index later today may shed more light on that. ai? >> you mentioned 20% yearly fall for nikkei. strong yen a major factor behind that plunge. what can you tell us about currency markets. >> let's have a look here this tuesday morning at the dollar yen, euro yen. holding back key exporters. yen gained from 85.52 back in april to 75.55 in october. a ten yen swing which has eaten into profits for exporters, but the euro has seen a much bigger swing. trading around 123 back in april, hit 100 in early october. now you can se

it outperformed the shanghai composite. focus for markets in 2012 is likely to remain on the eurozone and any progress on sovereign debt as well as banking sector, with that in mind we saw numeral holdings and day was losing a touch, not a major move. some market hesitation about concerns of exposure of banks to sovereign debt. kred ilt rating agency warnings, keeping the lid on market enthusiasm. some data out of the u.s. showed improvement in jobs, housing, ffrg. with that in mind, case schiller home price index later today may shed more light on that. ai? >> you mentioned 20% yearly fall for nikkei. strong yen a major factor behind that plunge. what can you tell us about currency markets. >> let's have a look here this tuesday morning at the dollar yen, euro yen. holding back key exporters. yen gained from 85.52 back in april to 75.55 in tobe a t yen swing which has eaten into profits for exporters, but the euro has seen a much bigger swing. trading around 123 back in april, hit 100 in early october. now you can see 101.

. >> opening a location in shanghai next month.ntually the chain hopes to extend to beijing and hong kong as well. it opens a southern california location in la jolla this spring. the first restaurant opened in san mateo in 1997. >> i still have to try that out. >>> also reportedly opening up in shanghai is an in and out burger. at least for a day. people who live in the area tell the blog serious eats, burger chain, set up a one day pop-up shop to give locals a taste. >> no plans for the chain to expand internationally. probably just going to counteract these guys. a chain launching in china, japan and australia. we know what you're thinking. the menu looks a lot like in and out. in and out, they think so. and it's taking the clone chain to court. cali burger says it owns the trademarks through the double-double and protein style overseas. in and out only owns those trademarks here in the u.s. little loophole there. >> interesting. >> form of flattery. >> right. >>> a cold day today, let's check in with meteorologist christina lor

technically you can ship from shanghai to germany in 14 days by railway. it's much safer, cheaper than by ships. and to, of course, we need to seek operation. it's not just japan, korea, taiwan, we have a competition with mongolia, kazakhstan. i'm still very optimistic. >>> still to come on "world business today," imagine waking up more than $5 million richer. it will be a dream come true for one lucky spaniard today. we'll take you live to madrid for the latest in the country's lotto drawing. >>> and from stockbroker to st. nick, we meet a professional santa in today's edition of "your world at work." stay with us. nyquil (stuffy): overachiever. anncr vo: tylenol cold multi-symptom nighttime relieves nasal congestion... nyquil cold & flu doesn't. -why? -why? -why? [ female announcer ] we all age differently. roc® multi-correxion 4 zone moisturizer with roc®retinol and antioxidants. lines, wrinkles, and sun damage will fade. roc multi-correxion. correct what ages you. >>> welcome back. you're watching "world business today" live on cnn. >>> spain's new con

london, shanghai and shenzhen. we talked more about losses than profits this year.g seng is down year to date. down by almost 22%. the big name ipo's that we followed throughout the year, well, they fell with it. we summed up the sour sentiment. >> generally somewhat disappointing i would say. in the first half of the year, the major ones, prada, sam so night performed okay. but most of them have subsequently sunk below their ideal price. >> looking at the hong kong ipo's. falls across the -- it fell about 28%. prada, the luxury goods maker, fell 17%. sampsonite, the biggest bag maker fell 21%. the any lan station fell a whopping 50%. man incompetent analysts think the declines will follow into 2012. >> as we look into 2012, i think it's pretty poor. consistently, this quarter, we've seen -- if not the bottom of the rake. early optimism in jana head of the chinese new year. given all the information we have, the outlook is very poor. >> if the total number of ipo's in a year is any barometer of the times, 118 companies had ipo'd on the stock exchange by december of

my rabbi was saved by him and half of israel are being taught by jew in japan and the shanghai community. you give the antennas, you must shut us down. if you vote against it, you might go down in history as this giant, check him out on wikileaks and see what the japanese people did for us and the chinese in shanghai. we are fighting for jewish survival against tremendous odds. the jewish community does not support our tradition or education. i'm begging you do not give us antennas to shut us down. we are the only orthodox school for 400,000 jews. you heard these kids. i raised them. i put 42 years into this community. vice president miguel: thank you, rabbi. are there any other speakers? >> i'm david, the c.e.o. of the bureau of jewish education. with your permission, since i'm the sole speaker on behalf of b.j. -- vice president miguel: i cannot. >> ok. just a few points. we have great respect and esteem for the rabbi and everything he has done to create that school. we certainly support the school. we have no intention of harming the school. we have worked with the school over the las

and you wrote an amazing memoir, daughter from shanghai. and your memoir talks about the fact that you have a dad who was a star, a huge star in china of the peking opera. and your mom... >> my mom was very rich and eloped with him. in the '20s-- cayou imagine? >> hinojosa: breaking all kinds of stereotypes. >> and she could survive. she would have been... she was disinherited. she could have been, you know... end up terrible. but my god, she became... you know, so she can't act for nuts, but... >> hinojosa: but what happens... you have an extraordinary life. your parents decide to send you to great britain. your sister is studying at columbia university in new york city. this is in, like, the 1930's, '40s? >> my sister was the first... my eldest sister was the first student that went to america because of the japanese compensation. that money, you know. before my sister's generation, when you went to... chinese are regarded as either coolies or laundrymen. she was the first generation... you know, there is a joke, "knock, knock, there is a

shanghai down around 21%. it's been a tough year for the markets across this region, charles. >>> now reports on manufacturing and pending home sales in the united states came in better than expected on thursday. that helped u.s. stock markets rise. here's how the numbers settle on thursday. the s&p by just about 1% to the good. little bit of change there. dow added just slightly more than that. and the nasdaq closed just below the 1% mark. although italian jobless claims rose more than expected last week, investors chose to focus on the positive trend of the last month. >>> 381,000 americans filed for unemployment benefits last week and that is up 15,000 from the week before. it's been well below the 400,000 mark for the overall claiming for each week in december. analysts say a prolonged streak below that mark is a reasonably decent indicator of job creation. these things are slightly touch and go, andrew. >>> charles, let's take a look now at how the u.s. markets have performed over the past 12 months. of c

shanghai up 2.3%. that came despite pretty ordinary numbers from the manufacturing sector in shanghai. take a look at this. this is the pmi, purchasing manufacturers index. any number above 50 means manufacturing is expanding. the latest number coming in -- 49 it's actually contracting. that's the lowest number for 2 1/2 years. it confirms what we heard from hsbc a few days ago showing that there is a problem and there is a contraction. a lot of this obviously is to do with the fact that europe is weak, the u.s. is weak, but the chinese economy is showing weakness in consumer demand as well. investors responding to the loosening of monetary policy rather than the pmi number. that was a big move we saw yesterday. beijing cut the cash the banks have to keep on reserves by 50 basis points. that effectively means they have more money to lend to anyone who wants it, trying to kick start, stimulate a bit of lending, a bit of spending. this is the first cut we've seen since 2008. lit be effective tim december

both beijing and shanghai, to largest, have decided in recent days they won't do that. they will keep all these administrative restrictions in place. to me that suggests that they are not worried about a precipitous price decline. at least not yet. since that is the most important domestically engineered source of the slow down, i feel that the chances that china will drop down to a hard landing, limited, look at the other cause of the slow down that's on the external side, mostly european, american demand for chinese exports, particularly european demand has dropped a very shortly. but exports on the whole are still growing. and as yukon was saying, they still have a large trade surplus but it's more than a few months ago, but still large. for the year as a whole, this year 2011, they expect a trade surplus of $150 billion compared to $185 billion last year. they will of course have preferred a much stronger export picture than they are confronting right now, but again i don't see any panic. they allow companies where, that are affected by the slow down in exports to g

amicis is building a 7,500 square foot restaurant in shanghai, hoping to cut into some of america's $29 billion trade deficit with china. >> i had not thought about it that way, but that's a funny concept. >> reporter: president peter coop coop coop cooperstein's pepperoni may not fix the trade imbalance, but now amici's is ready to serve it up to the real far east. >> the chinese people are energetic, bright people who are sort of this emerging middle class with discretionary income, and they admire the western lifestyle. >> reporter: and apparently the western pizza. amici's thinks pizza lovers will flip over what they have to offer, getting a boost from a bay area resident who does a lot of business in china. >> everybody in china enjoys food. food is like the heaven in china. and nothing is better than a good quality of food. and then chinese are known for that. >> reporter: it's known around here, now a local business is taking its reputation and its dough across the globe. amici's has about 500 employees, now it plans to grow and hire both in shanghai and back in the bay area. rou

shanghai motors and shanghai motors is owned by the city of shanghai operating under pretty strict federal guidelines on issue. do we we want that? probably not. 1 it helping them now where 50% of the return is going to come back to shanghai to think about investment in their schools, investment in their roads, investment in their infrastructure, the things that america thinks that we did in the past, but don't seem to want to or need to do, so somehow what we got to do is how can we be as intensely competitive as they are? do we want to sit on the sidelines? that's the ideology we have, put the government on the sidelines and let the market do its thing. how is that working for us now? it's really not. we need an american style, an american mix of capitalism and democracy that works for us, but we need a government that's determined, and not one that says, hey, trust us, and in time, it's all going to work out. leave it to the individual investors and the rest, and everything works its way out. clearly, that's not working here. we need to go somewhere else. >> in fact, yeah, i was moderat

shanghai motors.hanghai motors is owned by the city of shanghai, which operates under pretty strict federal guidelines. do we want that kind of rigidity, probably not. in the long run will help get me become a benign. is it helping them out? 50% of the return is going to come back to shanghai to think about investment in their schools, investment in the roads, investment and their infrastructure, the things that america thinks that we did in the past but don't seem to want to or need to do. so somehow we have to be thinking is how do we be as intensely competitive as they are or do we want the government sitting on the sidelines? i mean, this is still the bull of the deal is yet we have. but the government on the sidelines and let the market do its thing and everything is great. how is that working? it's really not. and so we need an american-style, an american makes of capitalism and democracy there were press. we needed a government that has determined and not one that says trust us. in time will wo

you've been living in an environment in which there was huge demand to go to beijing or shanghai and know this huge building is taking pce. if you had capital it was reasonable easy to make a lot of money? >> if you were to buy office today in ijing or shanghai you'd be making seven to eight percent rental return. i think that's a fair return coared tmanhattan. you'd be making maybe four percent return but the ierest rate environment isifferent in china wi higher interest rate. that's if you were just to buy buildings today as investment. but of course they are as a developer we bld buildings from ground so the profit is higher than that. >> one charge out of china is this is frequtly a point made by both people who do biness in china and people who -- in the government is that the government favors state-owned enterprises. >> no doubt. >> charlie: the consequences of that are? >> i think this is the thing. if you look at china wt drove china to where it is the cost of china's ascent is pretty much the open doors, the reforms, the embracing of the market economy but at some point and

. >> it wsas shanghai from the address. >> you get so swept up, you don't look for the signs. >> onery to pay by vis anda and mastercard identity theft is a big risk with these sites. stick with companies you know. for more information.n, go to

only shanghai backing the trend.e picture yesterday, worries about the strength of the yen against the euro as the euro continues to fall out of a ten-year high, hurting companies like toyota and sony. hong kong adding to the .5% fall yesterday. australia, the big mining companies down there as well. if you want to commented on any of the stories you see in the show, peanut butter prices perhaps, get in touch with the whole team on our facebook page, facebook.com/cnnwbt and let us know what you think. that's it for this edition of "world business today." i'm andrew stevens in hong kong. charles, i am informed that you mix your peanut butt terp with marm laed. is that true? >> that's absolutely true. i'm off for a peanut butter sandwich. you're watching cnn, the world's news leader. -- captions by vitac -- www.vitac.com

shanghai motors. shanghai motors is owned by the city of shanghai which operates under pretty strict federal guidelines. do we want that kind of rigidity? probably not. in the long run would help them? maybe, maybe not. is it helping them now where 50% of the return is going to come back to shanghai to think about investment in their school, investment in their roads and infrastructure? that things america thinks we did in the past but don't seem to want to or need to do? so somehow we have got to be thinking about is how are we as intensely competitive as they are and do we want the government sitting on the sideline? this is still a level ideology. but the government on the sideline. let the market to its thing and everything is great. you know, to which you say how was that working for us right now? it's really not. and so we need an american-style, an american mix of capitalism and democracy that works for us but we need a government that's determined and not one that says trust us in time it is a

the shanghai composite pulled off a gain for the first time this week. the s&p asx 200 in sydney was also in positive territory even though they had a shortened trading day before this long holiday weekend. the hang seng and the seoul kospi up by more than 1%. asia was responding to the better-than-expected u.s. jobs number that nina mentioned and hopes to are an american recovery. trading was pretty thin, thanks to seasonal effects going into the christmas holiday and the new year. there were solid gains among resources and financial stocks. biggest winner of the day was gloucester coal, which leaped more than 21% after its top shareholder gave the nod to its sale to china's yungcho coal itself. they gained 6%. hsb up 1.5% and ang banking group by a similar amount in sydney. nina? >>> there's no denying that 2011 hasn't been the best of years for europe. it seems things got a little bit worse. moody's ratings agency has given slovenia a christmas present this country really could have done without. it downgraded the country's credit rating by one notch

expecting to get up to 11 in shanghai. now over towards the americas, the midsection here looking at the clouds. we do have active systems in place that has been bringing snow to the southwest. then on the southern side of this areas like texas, then into the lower mississippi valley, we're talking about heavier rains. that is now on the move. looks like rain will be spreading in towards the midwest as well as right along the mississippi valley. for tonight you do want to watch out for wintry conditions here. for areas of colorado in towards kansas and oklahoma. monday's highs will be -- tuesday, rather, highs will be looking like this. it is getting to be looking cold for oklahoma city. highs at just two degrees. 4 also in chicago. also single digits, 9 in d.c. and 7 degrees in new york. lastly, a look at europe. we'll be talking about largely unsettled weather all around. for the southeast corner here we'll be talking about showers and thunderstorms. then as this frontal system pulls on in, wintry weather both rain and s

shanghai motors. and shanghai motors is owned by the city of shanghai which operates under pretty strict federal guidelines on issues. do we want that kind of rigidity? probably not. in the long run, will it help them? maybe, maybe not. but is it helping them now where 50% of the return is going to come back to shanghai to think about investment in their schools, investment in their roads, investment in their infrastructure, the things that america thinks that we did in the past but don't seem to want to or need to do. so somehow what we've got to be thinking is how do we be as intensely competitive as they are, and do we want the government sitting on the sidelines? this is still the beloved ideology we have. put the government on the sidelines, let the market do its thing, and everything is great. you know, to which you say how is that working for us right now? it's really not. and so we need an american style, an american mix of capitalism and democracy that works for us. but we need a government t