hong kong imposes limits on visitors from shenzhen as tensions rise.ishaad: this is coming up on the other side of the break. ♪ rishaad: you are back with "asia edge." the apple watch had its first weekend on display and got a muted response compared with past product launches. unusual qs marked the launch around the world. 14 people lined up at apple's beijing store for a first look. online preorders so estimated delivery dates for some orders stretch into july. the watch officially goes on sale on the 24th of this month. we spoke to some of the customers after their first hands on with the device. you can gauge their reactions for yourself. >> very easy to use. good feel to it. >> i was impressed. >> not too big, not too small. >> i'm a big apple fan. i like good-looking, functional products. >> i don't want to have to pull out my phone for everything i want to do. >> i'm a techie. my coworkers expect that i have the newest and latest. if i don't have it, they will look at me and be disappointed. >> i don't think i need one. >> i would say it is a ma

this is a seminar in shenzhen hosted by hong kong brokerage. individual investors are hungry for tips on how to trade stocks. the securities houses now trying to grab new clients before the plan goes into effect. >> translator: the stock price has more than doubled. so easy to make money. >> translator: i want to know more about the hong kong stock market. >> translator: under the new system with shanghai the number of mainland chinese customers has increased ten fold. mainland capital will completely change the hong kong financial industry. >> reporter: as china pushes market deregulation the rising tide of investor money from mainland china is changing the financial landscape in hong kong. >>> major japanese automakers produced fewer cars domesticically in 2014 compared to the year before. that's the first drop in five years. the companies made just over 9 million vehicles during the year through march. that's down 4% for fiscal year 2013. consumers bought fewer autos mainly due to the consumption tax hike. automakers shifted some production

and theyk at shenzhen are trying to limit jesus. -- limit the visas. what is it down to?tedhey will to one trip to hong kong a week according to the news agency. and theministry government will stop issuing multiple entry permits. until now, if you are a resident you could get something of a multiple entry permit that allow you free access. shenzhen said china and adjusted the policy from a request and china will support hong kong's development. an official had said it may come into play and it would cut from 13%. rishaad: why do they want to limit? rosalind: they have submitted a request a while ago. one of the issues trying to combat isn't the issue of parallel traders. there been several protests, parallel traders are people who, across the border because they can. they can buy necessities, shampoo, soap, baby formula and bring them back to china to resell. thele in hong kong say ability to buy these products to get sold out. and it drives prices up. they are not happy about this parallel trading. and they learned from the government -- eling.d: anti-mainland fe we hav

currently, shenzhen has a come in iteme, they out of hong kong at will.estrict in that. as you know, the local media has reported that there is not a start date yet. over the weekend, the government has said in response to adjust.s to and just -- the statement said any changes would be announced by the central government and we are waiting for that to come out. we have not heard official word. course, the rumor isn't there already. it will cutve said by 30%. aref course, the rumors already there. of coming make a dent across the border to buy goods. tycoonsof hong kong's or business person has said is not necessarily a good thing. it's a very big property group -- someyou are going to businesses rely on people coming from china to buy products. this cannot necessarily be a good ring for some people. angie: outline of why hong kong would be willing to risk of this and why bite the hand that seed -- feeds it? rosalind: there has been protests in some border towns. people who come across from china to buy goods in hong kong and resell them in china. baby for

hong kong residents complain too many tourists are hurting their economy. >> shenzhen is an economic zone across the border from hong kong. in 2009 the chinese government granted residents permission to apply for multiple entry permits into the territory. with the new restrictions they'll be allowed to travel once a week. >> this is an issue for me because i by medicine for my family and other foods. >> reporter: it's shops like these that will be affected. the numbers of visitors to hong kong is expected to drop by 4.6 million, a 10% drop from mainland tourists in 2014. >> translation: i welcome the policy. it will free up the streets and reduce rental for shops so we avoid the situation of hong kong stores catering for mainland tourists squeezing out the lopingal tourists. >> reporter: the chinese government made the decision after weeks of protests against mainland traders that came in to sell goods back across the border. >> hong kong products are considered to be higher quality. there has been an underlying resentment against mainland tourists. there were 47 million mainland vis

they did not all have valid visas to enter the shenzhen zone. their leaders seemed determined. >> it will be more than just 20 people. 30,000 polish bikers have expressed their solidarity with us. reporter: the pro-kremlin bikers had a number of vip supporters like russian president vladimir putin. united by their love of country and motorcycles, as this video from 2011 shows. many western governments see the rally as a provocation. the german foreign ministry has pledged to make sure the night" make it to berlin -- night wolves won't make it to berlin. the polish bikers eagerly awaiting the rest of the pack on the other side of the border were naturally disappointed. >> is a very big shame that some -- it's a very big shame that some bikers are trying to come to berlin and they are making such a big problem. they behave as if the third world war just started. reporter: the russian biker club was founded in the former soviet union in 1999 -- 1989. hundreds of members would race through the streets of moscow at night, hence their name. now, wheth

the shenzhen index has been up 56%.e ipos improved, 11 in shanghai. 17 for smaller companies, 30 companies raising 2.9 billion dollars in total. if you need more evidence of how hot the market is in china, we raise over 10irst billion yuan with a 15 day period. rishaad: how much money is being locked up in these offerings? that is what we want to get to the nub of. quite a lot, investors have an online lottery system. there are -- it is expected to raise about $440 billion of cash frozen in subscriptions according to a bloomberg poll. also that will come back into circulation april 17 so there may be major moves around that time. most analysts say that the uptrend will continue if we do see fluctuations as the cash comes back into the market. rishaad: christine, thanks a lot for that. christine in beijing. talk about the millions of people from this part of the world traveling abroad to earn a living,olitically -- clinically calls to bring them back may raise a few points but then reality bites, they might not be able t

there's csi 300 is the shenzhen or the shanghai comp. these are the indices.eople say china hasn't done much. it has. it's up 34% year to date. i think there's more. it's all about liquidity. central bank cuts, i think two more to 2015. and it's trading historical multiples, around 12 times earnings. this is very, very cheap for local china. liquidity wins. i think you stay in this market. >> btw, the pek, etf is up more than 50% since that call. so, tim what do you do now? >> well, one of the things that's also happening is you're seeing the fxi get pulled up. this is the hong kong market and one of the dynamics here is that the chinese money, which is trapped money and they're forcing liquidity and liquidity is king and it's going into hong kong, so they're going into some of the big-cap stocks like china mobile, like china unicom, and so, things that were already, i should say that we're under a little bit of pressure where big value traps are catching the fx. it's been rallying and i think you stay with that trade. >> the hong kong shares trade. >> yes. i

the shanghai composite has risen and shenzhen at 56%.ies looking to raise cash with the bullish sentiment and with the ipos approved, 17 of the 19 and change on -- on shenzhen. that is good because some are saying that the risk of bubbles smaller index and because they are naturally more speculative in nature so the more stock on offer the more balanced the risk of the small indexes become. the biggest ipo expected to be a raisecompany, that may $527 million. angie: christine, what kind of impact can we expect to see from the ipos? locked up well, ipos a lot of cash which would otherwise be on the market. online lottery system, the funds are locked up in subscriptions and most of the funds are going to come online in mid april. if you take the broadcaster for example, they are expected to raise $527 million, but that would lock up hundred $21 billion. they are saying the 30 companies .n total, $2.9 billion they are expecting that to freeze $400 billion in cash in april. angie: christine all live in beijing. if you are looking at investin

katrina: kaiser is based -- kaisa is based in shenzhen but we are talking about dollar-denominated bonds. another group has until tomorrow to find about 14 million u.s. dollars to pay interest on some of their you want denominated bonds -- some of their yauan denominated bonds. if they don't make that payment, that could become the first state owned company in china to default. the important distinction here is that there have been two other defaults before in china's onshore bond market. there was one a little over 12 months ago and it was one a couple of weeks back with cloud live. the distinction there is that they all were privately held companies. we have heard the premier say on numerous occasions that there may be painful state sector reform that is to play out. people are watching very, very closely to see whether officials in china actually allow this state-backed company to default on its debt. shery: if china slows, we could be seeing a whole lot more. thank you so much for joining us on the latest for kaisa and others. rishaad: let's take a look at what is moving as far as th

people from the city of shenzhen will be allowed to visit once a week. they have been act make unlimited trips. let's go live to hong kong. so what sort of resentment or problems has the influx of mainlanders caused in hong kong? >> over the years people are angry at the mainland visitors that visit the city. it helps with the economy, it's made people's lives in hong kong very inconvenience. the new ruling stems from a particular special economic zone which is just across the border from hong kong much the residents in 2009 were granted permission to enter hong kong as many times as they want. what they would do is come across the border buying a lot of goods tax free and taking them back across the border. some of these people were accused of selling them across the border for cheaper, making money out of them. a lot of shops started catering putting out the local hong kong residents that couldn't find the goods they wanted pushing up represent in the area and making hong kong people feel marginalized in their homes and towns. >> sounds like there'll b

many live in shenzhen and do not pay import duties that resulted in price rises. those shopping trips may be limited to once a week. >>> the prestigious metropolitan museum of art in new york is to host selected museums around the world. among those invited is a new zealand art gallery embracing new technology to join people in. wayne hay revisited auckland art gallery. his report contains flashing images. >> reporter: even the building that houses the most extensive collection of new zealand art is, itself, a work of art. it won the building of the year award at the world architecture festival in 2013. which is why the auckland art gallery was invited to new york. >> it was a complete surprise. it was wonderful. i had to read the letter a few times to understand. >> reporter: representatives from 15 facilities have been invited to the metropolitan museum of art, so-called global leaders colloquium. a think tank aimed at keeping museums connected with the public. particularly in the digital age. something this gallery provides itself on. >> we are terrific in some

spreadt know if it will beyond shenzhen developers.lity of these we're seeing some less discouraging signs. >> thanks for that. let's check on some other stories. believesof japan inflation will reach 2% by the end of this financial year but the imf is not so sure. it has been harder to estimate the time frame because of volatility is in energy prices. the imf said they expect japan's prices to go up by 1% this year kind of -- this year, only halfway to the boj's target. if it doesn't pay just over $50 million by the end of today. that comes after 830 day grace. ended over the weekend. the company owed $10.5 billion to local lenders as of the end of last year. at the moment, just waiting for news out of kaiser -- out of kaisea. according to universal, it is the fastest movie to reach $1 billion worldwide. we are talking about "furious seven." it has really seen off the competition from seven new releases coming on screen. the success has raised the possibility of a record-breaking $5 billion summer at the box office. of course, you can

shanghai and shenzhen were on fire earlier in the year but they're down today. europe mostly on the upside. just a quick look at some of the big earning situations now. bank of america 27%. little light. revenue a little light. schwab talked about a trading slow down. we've seen that in the last couple of months and the delta and the other air leans helping the transit ports there in line strong dollar was a problem for them. they mentioned that. earnings seemed okay. the revenues were up 3% i saw there and that was good news overall. let's turn to the ipo market. i complained bitterly about how lousy its been. look at the numbers. we've had 34 deals so far. 5.4 billion. there were twice as many in the same building last year. we're waiting for things to heat up. it might finally start this week. the ipo market has done fairly well. if you look at the itf, it hit a new high monday. there's about six in the basket and they've been doing well recently. we have nice pricing on a bio tech epo last night. this is one of the cancer therapy companies. 7 million shares

shanghai with another shallry the shenzhen also up.hat's sort of the nasdaq of china, despike the fa can't that exports decline in march. that was a real disappointment. so obviously there's a number of things going on here. take a look here. they are talking about record numbers of retail investors opening accounts in china last march. 4 million opened in march. there's a whole influx of average people investing in the stock market and you could say that's good news or bad news. that's definitely what's moving things. this is mainland china, the biggest etf. up 30% just since is the beginning of march, so a lot of interest there and at least on this side as well. speaking of some of the disappointments with gold we have a very small merger this morning very symbolic of the idea that these small guys are having troubles. it's a small deal but a lot of these companies can't make money. sectors right now, energy is leading, tech, health care and financials exxon is the big problem there. just look at some of the big moves here. most of t

take a look at some of the chinese indices today, some shenzhen shanghai and hang seng all to the downs of sectors, we're having a great day with tech. ibm with the best move in the year. energy is up halliburton had a decent report. industrials also doing well. for the most the best advice i am hearing, brian is very simple right now. you've got to sell rallies, and buy the declines. we're in a range here 2,000 to 2120 roughly, and we are slowly towards the higher end of the range here. i have not, brian, heard any better advice than stay within that range sell the rallies and buy the declines and if he hit 2012, i'm going to insist we play the entire rush album by the name title. >>> 42% of s&p 500 companies that have reported their numbers have topped revenue estimates. that's it. according to the spoke investment group. as you can see, the last time it was this low was in the first quarter of 2009 we don't need to remind you the economy was still in the throes of the financial crisis. that story, by the way, is up now on cnbc pro, and also can real it at "power lunch."cnbc.com. >>

they are talking about opening a link between shenzhen as well.y are saying we have to control it better. that's the point i'm making on a little confusion. >> i think you're right. there's been at least the appearance of clamping down. if you just back up and look at what china has been doing in terms of opening its market and giving access to the a-share market through the new program and allowing domestic investors to get into the hong kong market all of the steps announced overnight were part of a longer term opening up of the chinese stock market both inbound and outbound. and it's going to go on for a long time. >> make the case for buying chinese equities here. >> well as was pointed out a little bit earlier, i think it's appropriate to think about with the sell-off of last night, the markets had a huge run. but you have to remember the chinese economy, the mainland investor has few investment options. the real estate option which was the lead option for many years, has kind of dried up. so i think -- i still think it's early in the market