the hong kong shanghai stock link and we will award our mark. the message is received and understood. ruling party suffers a defeat as voters say, take it slowly with china. a hard knock life for sony. hackers steal movies and put them online in the monday edition of asia edge. >> look at the markets. it is the first day of december. a negative day. it is lower because the banks and we have china on the deposit insurance scheme for the banks really hitting. all the savers in china are being insured. it opens up the market for the banks. no bank is too big to fail is the message from beijing. we have stocks falling across the board. the price of gold, oil, and silver. they are suffering significant declines. and it is a heavy decline. china and the is japan story. at 1%.sed for lunch is >> we may be seeing the beginning of the end of the last major protest site in hong kong. earlier, the police moved into the admiralty district of the city. they cleared protesters and barricades. there were scuffles and arrests. student leaders call for reinforce

tothey escaped from shanghai hong kong. >> you lived in a one-bedroom apartment. >> we lived in a one-bedroom apartment for a long time. have a dining table so to speak. we put two suitcases on top of each other and a piece of cloth over it. that was our dining table. >> what kind of kid were you? what did you want to be? >> i never thought about what i wanted to be. i just thought that -- everybody at the time, because of the war and because of what happened historically to china and so forth -- everybody wants the kids to be scientists. that is the hong kong way. everybody becomes an engineer or mathematician, doctors, just professionals, so you can have a good life. i started off doing a lot of math. i liked math. i started studying engineering. >> you went on to boarding school in massachusetts. how did that happen? >> by the time i was thinking of my education, the higher education, my family is already in a middle income. my father studied english at night and started to accumulate wealth. he asked me what i wanted to study. i told him engineering. i wanted to go to the ivy league. it e

the biggest thing to begin with is this extraordinary divergence between the shanghai a market and the hong kong h market. 50% difference which is really astonishing. you could say yes, it's been the shanghai/hong kong stock connect. very odd divergent performance. perhaps that could unwind as we go into the second half of the year. in the lead up to & modi welcoming his reform agenda. the second half performance has not been as good as the first half of the year, but nonetheless, a very good performance. the election has been welcomed by investors. both of these two countries benefiting from the fall in the oil prices. india is a bigger exporter than indonesia. something that has been welcomed by investors. japan in focus. a 7% return doesn't tell the full story. it was negative for most of the year and has only started to perform as abe turned on the taps again and that extraordinary negative correlation between the yen and the nikkei has pushed the nikkei up by 7%. a big rival in exports in japan and korea has suffered. interesting that australia only returning 1%. thailand, returning 50%. th

. >> shanghai composite versus hong kong? >> shanghai outperforms eight shares and eight shares will outperform china adrs. >> is this based on cutting the reserve requirement? where do you think we're going from here? we have seen an interest rate cut. is it hinging on that? i know you're positive on it, but does it sell the news event if we don't see the bazooka. >> china, there are almost three different markets. asia to me is the savings pool not going into residential property looking for the momentum trade. put that aside. eight shares, the economic data in china is showing the economy slowing down very fast. and the stock market knows that. these eight shares are very cheap. now they're responding a bit look a european bank last year to an easing. so we had one rate cut, ten days ago, we think you'll get another. you'll get two reserve ratio cuts. so you trade the easing and if you're trading and easing trade, maybe it is a first half of 2015. but not a long-term story. >> what is the number one concern you have when it

in recent years, they used hong kong after entry point to the chinese market. connect, ifanghai at all? >> the shanghai- it seems to be the next step in hong kong costs growing -- hong kong's growing closeness with china. that will continue to drive the hong kong exchange closer to the chinese market. shanghai has been designated as the financial center in china and the authorities there are working hard to bring it up to international standards so foreign investors can play a greater role in the market. those in the markets here will tell you that it will still be quite some time before shanghai achieves that. >> thank you. tara down and start again. it is typically what we see in this part of the world, especially in hong kong. but there is another way. >> there's nothing on the market here that is comparable. it's very big, very well finished interiors. >> take a stroll along this waterfront and you will notice one building that sticks out from the rest. >> it has been a labor of love and i am happy to see it come together. >> the labor, you can tell from these before pictures, was a 1962 low rise i

they escaped from shanghai to hong kong. >> can you lived in a one-bedroom apartment?, for a long time. we did not even have a dining table. they put two suitcases on top of each other and put a cloth over it. that was our dining table. >> what kind of kid were you? what to do want to be when you grew up? >> i never thought about what i wanted to be. everybody at the time, because of the war and because of what happened historically to china, everybody wanted their kids to be scientists. that is the hong kong way. everybody should become an engineer or mathematician so doctors and professionals so you could have a good life. i started off doing a lot of math and i liked math so i ended up studying engineering and don't reasonably well. >> you went on to boarding school in massachusetts. how did that happen? thinking ofme i was my education, the higher education, my family is already in a middle income. they asked what i would study and i said probably engineering. not greathong kong is in engineering. have you thought about going overseas? that piqued my interest rate

the shanghai lost 2%. hong kong's he think -- keurig is recalling 7 million single serve coffee brewing machines because of burns. the company's mini plus systems with model k10 can overheat and spray water. keurig received about 200 reports of hot liquid escaping and 90 reports of burn injuries. >>> 6.4 million people are signed up for obamacare for 2015. 1.9 million of those are new customers. the rest are automatic renewals of customers covered this year. the goal for 2015 is just over 9 million customers before the deadline, which is february 15th. >> jill wagner at the new york stock change, thanks a lot. >>> coming up, saving money at the pump. cheap gas is making for a happy holiday for drivers. we'll show you what they are doing with all that extra cash. this is the "cbs morning news." all that extra cash. this is the "cbs morning news." you know it can be a struggle to keep your a1c down. so imagine ... what if there was a new class of medicine that works differently to lower blood sugar? imagine loving your

the head of the hong kong exchanges saying they are not going to give up on trying to attract companies, however, they are trying to focus on making the hong kong and shanghai stock connect better. they are trying to improve that. and he is saying that throwing more chinese investors and the hong kong market will then attract more international companies. >> that is the hope. let's see if it happens. thank you. xiaomi has been valued at more than $45 billion. "the wall street journal" as they have raised more than $1 billion in funding fulg. was propelled to the top spot in china and is number three worldwide behind samsung and apple. china is easing rules on foreign banks. new measures will make it easier to open new banks. it should boost competition, giving overseas competitors access to the market. opec is blaming nonmembers for the drop in oil prices. uae's energy ministers as other countries should stop there "irresponsible" behavior. production in the u.s. climbs toward the highest in decades. oil, west texas intermediate -- check it out. it is recovering, as we saw was the case on friday. shares in dubai jumped almost 10% sunday. the market has rise

hong kong is all. shanghai is giving back some of the massive gains we saw. p 9%. -- hong kong is. north of 2900. the opening levels for the shanghai composite. here we go. 29,000. 40 3%.still all last week, we were up 250 points. 93 globalk across the indices we track evelyn byrd, by far -- we track have bloomberg, by far. when we compare valuations in shares and that has to be reversed. and keep in mind. when we have something like this and additional and let me get the number. 370,000 new brokerage accounts. capital structures and all of that, we tossed out of the window. there we go. 2%, hang seng is flat. about 0.2%.down specific securities. i will get to that in a bit. buy. up 0.7%. international power is down 1.2%. one group of stocks we are following very closely, brokerage. at a group, 50%. top over which by the way 100 -- let me get the number, $100 billion on friday. that's roughly the size of the new zealand economy. let's leave it there for now. rish, back to you. david.k you, north korea is denying any involvement and the assignor attack of -- cy

hong kong police move and. -- in. manufacturing drops to an eight-year low -- eight-month low. crude for the first time in five years. >> i am angie lau. theectivity report into hong kong shanghaiill award our mark. the message is received and understood. ruling party suffers a defeat as voters say, take it slowly with china. a hard knock life for sony. hackers steal movies and put them online in the monday edition of asia edge. >> look at the markets. it is the first day of december. a negative day. it is lower because the banks and we have china on the deposit insurance scheme for the banks really hitting. all the savers in china are being insured. it opens up the market for the banks. no bank is too big to fail is

that the regime in beijing have rolled out this year, most notably the connection between hong kong and shanghaiyou saw an immediate shrinking of the discount between mainland and chinese stocks and stocks in hong kong that foreign investors can own and are much more widely traded. i think there's a lot of room for this to continue. you're seeing shanghai back at highs not seen since 2011 but significantly below. it's still underowned. if this were to be a market in and of itself, it would be something like 10% of the world's global stock market capitalization. so i think this is something that can continue for a while. we talked about energy at the top of the show. it's actually very beneficial to chinese companies, chinese consumers to have gas and oil prices too. >> i agree with josh and i think you're going to see another move out of china as far as the move that surprised us two fridays ago. i think you've got another such move coming if they don't get the kind of reaction they need out of their markets, judge. i don't mean the stock market. i should say the economy. that will boost their m

the instability toward the south will bring some showers from shanghai to taipei and also into hong konglet's take over the forecast for north america. western portions of the united states, we have this constant series of low pressure systems moving by the pacific northwest, bringing rain and some very windy conditions. and we are going to see the possibility of some snow as we go through tuesday. rainfall amounts up to 115 millimeters possible as we go throughout the next 24 hours. gusts up to 120 kilometers per hour. and again a rain/snow mix with some heavy -- heavy snowfall possible in these pink shaded areas. elsewhere, lots of rainfall possible. now, we switch sides to the eastern side of the united states, we have a low pressure system developing here that's bringing in the moisture from the atlantic ocean, moving toward the north, tapping into the cold air from the northern portions of the united states, and that's creating a little bit of a mess and we're looking at the system to extend into waens and thursday as well looking at freezing rain possibilities making the roadways r

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

in the asia pacific region the shanghai composite index surged up more than 3%. hong kong was up more than 1%. while tokyo's nikkei closed higher, hitting another seven-year high. the market pretty much shrugged off the impact of the first downgrade of japan's sovereign debt rating in more than three years. moving on to currencies, the dollar is gaining ground against the yen. the pair is currently up 118.88. market players are selling the yen and buying the dollar in line with the rising nikkei index. meanwhile the pound sterling edged down against the u.s. dollar. right now we're seeing it at 1.5696 roughly. a survey shows that construction activity in britain expanded at its weakest pace in more than a year last month. as they take it as another sign that the uk economy is slowing. >>> u.s. federal accident investigators reporting now that battery design flaws caused a fire aboard japan airlines boeing 787 at a u.s. airport last year. investigators at the national transportation safety board have released their final report detailing the january 2013 fire that broke out

hong kong's hang seng dropped a quarter%. the shanghai dropped 3%.closed for holiday. >>> bmw is recalling vehicles to replace the potentially takata air bags. the automaker is agreeing to government demands to expand the air bag recall. the bmw 3 series cars made between january 2004 and august 2006. >>> the fda has approved a new skin cancer drug from bristol-myers squib. to treat melanoma. it will be available for tumors that spread throughout the body or cannot be radio moved by surgery. >>> victims of ponzi schemer bernie madoff may be getting back more money. $320 million may be distributed if the judge approves. that brings the total return so far to more than $7 billion out of the $20 billion madoff stole. >>> and beer sales in the u.s. are still falling. continuing a trend, shipments of beer were down to 211 million bottles last year. according to beer makers sales of seven major brands including budweiser declined more than 20% between 2008 and 2013. anne-marie. >> jill wagner at the new york stock exchange, thank you, jill. >>> straight ah

shanghai hit a fresh four-year high on stimulus hopes. hong kong's hang seng extended losses into a fifth straight session. moving on to currencies now, lower risk appetite among investors is supporting the yen. but the dollar gained some ground ahead of the federal reserve's policy announcement later today. dollar/yen right now at 117.18. analysts say all eyes are on fed chair janet yellen's comments on the timing of fed moves to start raising interest rates. market players are also focusing on the presidential vote in greece that starts on wednesday. >>> well, work has begun to build a high speed rail line in japan using magnetic levitation technology. the maglev trains will link tokyo and nagoya in 40 minutes cutting the travel time in half. officials from central japan railways, local authorities, and residents, joined in a ceremony to bless the occasion. and pray for safety on the construction site. the railway company plans to start drilling in april. they'll build a station platform 40 meters below ground. the project has raised concerns about

hong kong's hang seng gained half a percent. the shanghai composite add 2d%. tokyo's nikkei was closed for the holiday. >>> not having health insurance could cost you in the new year. all have to report to the internal revenue service whether they had health care insurance for the previous year. under obamacare they pace penalties unless they qualify for exemptions for financial hardships. the conference board reports consumer confidence rose 1.6 from november to december. that indicates americans are optimistic about their current prospects as we head into the new year. >>> reits were hot stocks this year. "the wall street journal" reports that for 2014 real estate investment trusts had a total return of 32% according to the latest data. that's the highest since 2006. reits owned properties like office buildings, apartments, and warehouses. >>> and the ride share services lyft and uber want to reduce drunk driving accidents. they pledge $1 to mothers against drunk drivers and uber will give a dollar using the promo code mad mye. >>> how supplements may not be

shanghai. fascinating video where they are above the clouds. they are at it again in hong kong. this time they did something a little bit different. they find a ladder up to the roof and we are up on rooft with a great view of hong kong. they are on the china online center. it gets sneaky. they find the computer that is running. they are posting their video from hang high on the billboard on this building right on the harbor of hong kong. seal it up again and off they go. >> they could have arranged for this to be an advertisement of theirs and they make it look like it's an under cover deal. instead it's a set-up. >> i would imagine with all that technology andhat huge computer that runs it will be in some tech guy's office. that's the only thing that makes it fishy. it could be simple editing. you could superimpose that image over that real easy. >> guys up on the roof i believe you. >> little frog chowing down. >>> supper edge does not fail shocking us and surprising us with his videos. this one is pretty darn good. >> pickney any card. write the name and the first six digits

the shanghai stock exchange 31% up this year. that's hong kong 1.5. look how crazy the difference is. that is because of what is going on in domestic china. mainland china getting easier to invest there. large cap etf the biggest and easiest way to invest in china 30 stocks that trade on hong kong and other places up 3%. the shares that invest in domestic china up 19%. you have to be careful what you are investing in. hopefully these crazy price discrepancies will go away as people make it easier to start investing in mainland china. we have been talking about this for a while now and now able to invest in mainland china if you can have a hong kong office that has a brokerage license. hopefully it will get a lot easier to start investing in china. >> i think you will see a lot of companies put an office in hong kong in order to access that market. >>> stocks have been rebounding but oil prices resume decline with brent crude and wti down more than 1%. how do you play energy? joining us are scott clemons and curt custard, head of global investment solu

at the moment, it's difficult to judge exactly how much money is coming up from hong kong into shanghai at the moment through the trade there. but certainly in the past when you have one of the last big rallies in shanghai, the story was a lot of individual retail investors are going in to basically buckets to buy shares. and they have a lucky day, so there's a lot of rational there. >> so this will impact the stronger u.s. dollar. it was only a couple years ago when they were holding it back. so lots of companies have borrowed cheaply in u.s. dollars or hong kong dollars. so the snap out in the u.s. dollar could be a real issue for other companies. >> yes, indeed. particularly in the property sector pause we have had public prices in the market going down all year. we think that will bottom out in the first quarter of next year, but a lot of the companies as you rightly say are overexposed. the leadership in beijing, we think, doesn't really want to see the devaluing. that doesn't fit into the chinese plans and wouldn't help exports that much. you would need a huge devaluation to have

there is an index that looks at the premium spread between the a-shares in shanghai and the shares that trade in hong kongternational investors. shares herthat the a- at about an 18% premium towards the upper end of the range that we have seen of the last several years. what you have is animal spirits in china, maybe related to the rate cut at the end of november or alibaba -- who knows? historically fxi will follow along. we want to belong fxi. we looked at to february and dollar call- by spreads. you make about $3.80 on that 120, you are paying for the call spread. >> thank you so much. we will be on the markets again in 30 minutes. "money clips" is next. ♪ "money clips." i am olivia sterns. exclusive -- we speak with john stumpf the ceo of wells fargo now the country's most valuable bank ever by market cap and his thoughts on the u.s. economy in the recent plunge in the present oil. and companies, we catch up with the ceo of starbucks in the city where it began. in politics, we may have the first black president of the u.s. history but most americans a race relations of gotten worse under barack obama.

hong kong. 1.2%. we have the tokyo reopened coming up. that is next. ♪ >> extending the bull market. shanghais highest level in years. it is a rally that has propelled citic securities past market value. chasing the next prada, samsonite. why overseas listings slowed to a trickle in hong kong. first, let's get the news from the markets. >> strong week for markets in asia. a week were activity were supposed to be slow because of the holidays. it is a festive move across asia. see a third consecutive winning session almost for that lifting stocks. also rebounding crude l ifting shares. energy and mining shares leading the way. the shanghai composite up 3/10 of a percent. at one point, we saw the highest gain since 2010. -- ofuth korean economy the government cut the growth forecast for next year, but next year's spending is 3.8%. the costing index is up 3/10 of a percent. the japanese stocks are coming back after that break and looking like this. they have been swinging from negative to positive territory. energy company still doing great. >> talks of a tie up between largest refiners. how are

shanghai correct with the 3 hundred only available to u.s. investors if you have a x c license they'll be trading in hong kong and available in our portfolio very good. >> for monday. >> i'm looking for mortgage our saying up to 60 names would you like additional flexibility beyond 60. >> we expected 50 if they want to go higher as proposed not guidelines they're seeking to get for diversification. >> they're allowed in you take a look at the guidelines they're allowed to own up to 15 percent they have flexibility. >> any other questions or comments seeing none, all in favor, say i. passes unanimously call item 6 please. >> thank you, mr. nick evens and board members turning to the staff research the initiatives a couple of things updates on previous items that were in closed session in september at the september board meeting the board approved a multiply venture capital it closed on october 15th at the october board meeting it did close i should note somewhat a smaller amount than we asked for up to $35 million to close at 36 meeting and the october meeting it approved an obligation a special situation strategy this accident close subsequenti

hong kong not want to budge? >> because if they budge in hong kong, they'll have to budge elsewhere inside the leaders republic, since the end of september, we've seen protests in shanghai, about four provinces, more than 400 people have been detained. nearly really worried about this. they to havent the protests in hong kong, because the more they continue, the move news will seep into china itself. >> this poll was reds in mid november, finding that 55% of the people surveyed opposed occupy central and that more than four in five said they wanted the demonstrations to end. how do you explain that? >> i think people do not want to be inconvenienced and believe there might be a better way of trying to get a liberalization of the political system. they have disrupted traffic and daily life in honk cob, so this is an issue of how you go about it. it's not an issue of underlying grievances, because most in hong kong want more say in their lives. >> this may be impacting politics in taiwan, a break away province. the president announced he is stepping down after his party was trounced in elections last week. how are taiwanese voters watching events in hong kong. >> they are

hong kong's hang seng was up slightly in a half day of holiday said and sydney's asx 200 closed up a quarter of a percent and shanghaihares was down almost 2%. >>> the hitting the 18,000 mark for the first time, cnn's richard quest explains how the indention managed to get there. >> reporter: consider it an early christmas present for the markets. the dow jones has crossed the 18,000 for the first time. this is the number. this is how it got there, up 18 -- up a third of 1% up to -- up 66 points to 18,025. look at the whole session. investors are cheering the crucial milestone, and it saw 35 record closes for the dow. it came out of the gate higher and, in fact, it did get even high after lunch and gave back some of the gains but by the close of day, it was up some 64 points. it came 50 points with an 18,000 at the beginning of december. but as you will have seen, let's look at how the last, say, three months have traded because this is fascinating. 18,000 was tantalizingly close here, but then we had this dramatic drop in the market in the middle of december and at that point just about there it was at 17,000 and ch