representative for softbank didn't immediately respond to our requests or comment.expects to recover three and a half in dollars of funds potentially lost through one mdb. in an interview with bloomberg, the finance minister discussed the government's efforts to -- the dollars siphoned from the troubled state fund. aiken -- very conservative estimate. 10%. perhaps, up to 30% but at the very least, 10%. your bloomberg business flash. thank you, juliette. let's talk about the flattening of the yield curve from u.k. to indonesia. global bond investors have been joining the u.s. in driving yield curves flatter. federal reserve rate hikes kicked off the trend, but other central banks are tightening policy and developing economies have had to act to support sliding currencies. jub hurren, fixed income manager at aviva is with us. we will go global in a second. let's stick to the u.s. for a moment. the yield curve, continuing to flatten. this is showing fives, 30's, two's, tens all flattening carried i have had many different interpretations as to why this matters or if it

according to our sources, softbank is highly interested in investing $1 billion into this company whichas already raised more than $1 billion from backers like alibaba, qualcomm, and the silver lake. a are in no desperate need for capital. it fits perfectly into masayoshi yoshi -- masa yoshi's plan. tois well on his way becoming increasingly more influential in china and is already the most valuable private ai company. that: david, you believe chinese artificial intelligence could develop faster than anywhere else. what makes you say that? david: it is all about scale. china is the world's most popular -- most populous country. basically, the way ai will get better among other things is by applying the largest possible data sense to its development. china, almost by definition, will have the largest data set than every other -- set in every category. when you look at core ai technology, right now, the u.s. and china are maybe of equivalent, a be the uso was -- maybe the u.s. is a little ahead, but when you look at the scale of the data they have to work with, it is likely they will have

makiko utsuda has more on this from the nikkei. >>> hi softbank's ceo spoke at a company event todayhe importance of artificial intelligence in all aspects of business in the future he said they are falling behind u.s. and china in the ai technology and was critical of the ban of ride hailing services in the country he said ai together with ride hailing services would allow for a higher level of mobility and said he could not believe they were such a stupid country to ban the service. the japanese government outlaws nonprofessional drivers from transporting paying customers citing safety concerns and that the taxi industry also opposed deregulation masa son sees a lot of potential in ride hailing services, and they have invested in uber and similar services in china, india and southeast asia now while ride hailing remains difficult in japan, softbank and didi announced today they will jointly launch a taxi hailing service in japan that would match users to existing taxi fleets that's all from the nikkei back to you. >> that was makiko utsuda live from the nikkei. >>> speaking of larg

biggestook at uber's investors, it is clearly softbank.spering in the saying, do you really want to compete with these other companies, companies in which softbank has invested. wellmagines that saudi as -- mark: there is a big story, but i'm going to chuckle things. one of the wide term implications, we saw european ship stocks fall today on the micro story. give us a big picture of what it means. hand, we havene got the trade war that seems to be escalating or fluctuating with the u.s. on the other hand, we have china which is the biggest user of chips. it makes very few of them itself. gradually what china is trying to do is bring more of that competency into their hands. more intellectual property. chinese players and taiwanese players, this is a blow on that front. intellectualin the property even if the main factoring is done in china. mark: also a story on federal flow -- 300 million in 10 years for a guy who is 36 years old. he could win wimbledon. like a huge chunk of change for a guy in the twilight of his career, but if you look

softbank is one of the heavier weighted.t, we may see incrementally more money flowing into this. and the yield story a also help. speaking of yields, mitsubishi, morgan stanley thinks at 1% on the long end in japan. when you look at the 20 and 30 year, if you get to 1% is when you see money coming back. looking at the 10 year, that is close to the ceiling. look at the long range. upending its legs to the side -- to the upside. the meeting today -- economists don't expect anything but they bracing for but -- for volatility ahead. it is not so much about the economy. a lot of speculation. bojaps the most anticipated meeting in years because of previous times they changed something, there was no indication that they would. now, we have been sifting through a weeks worth of rumors and that is what it tends to do. we are bracing here for that policy decision in about two and half hours from now. ingles on the markets as we look towards that boj policy decision. look at sony. the company reports earnings and music its gaming divi

david: one of the things that has happened is the lift investment from softbank.us through how that is showing up in your income statement? how does that affect profitability? >> the investment in softbank, that was an important investment it demonstrates the importance of a third-party investor. initial investment is $900 million. when we reached the critical milestone of being able to deploy commercially there'll be another $3.5 billion investment from softbank. from engineering into commercialization on a go forward basis the 900 million softbank put in was -- we contributed 1.1 billion. crews actually has two point $2 billion of funding. -- $2.2 billion of funding. we view that as a landmark transaction that demonstrates where we are as a service and the opportunity that presents. we are excited when we think about that. david: when you announce that deal saying you would go to commercial, are you still on that time track? >> we have not changed our view on our objectives to deploy in a rideshare network in 2019. david: there have been some other transitions p

softbank famously bought out another fund.t was a great example of liquidity happening much earlier than an ipo, a way to circumvent an ipo. emily: is this good or bad for companies? is there a concern that the companies -- employees will lose their motivation and enthusiasm? elad: i think it's both good and bad. half of the unicorns that exist today shouldn't be valued at what they are at. they are overvalued. emily: is airbnb one of those? is uber? elad i don't: -- elad: i don't believe so. there's a great thing from warren buffett, the markets are a long-term weighing machine. emily: what's your advice to companies trying to set a valuation, and they all want to push it when it comes to the valuation, about how it could come back to bite them '-- bite them? elad: overvaluing makes exiting hard. tillcompanies had to wait their fundamentals caught up. the past two -- path can get worse. emily: are there any specific examples, like dropbox? elad: spotify famously went through the mechanism it did to avoid the covenants it had

they -- softbank bought arm two years ago for robotics and driverless cars.inese biotech company biogen aims to raise $190 million u.s. for a secondary listing in hong kong. raised $20this has billion globally over the past 12 months. this compares with the previous time. listing onthought of nasdaq. ramy: u.s. oversight until the end of the year, compliance measures still insufficient as of the end of the decade. the prosecution was to have expired at the end of the weekend but it has been extended to december 31. they have made significant progress but have not reached the level required by the deal. haidi: australia's opposition labor party emerged as a winner for elections. we are joined with more. is this a setback for the prime minister? paul: the opposition labor party are happy with the result. it was a suggestion from the government it stood a hope of picking up seats in queensland, tasmania, but there was swing to the opposition and all of the seats, the other one that was held by the alliance -- no success at all for the government on super saturda

a representative for softbank vision fund didn't immediately respond to our requests or comment.alaysia expects to recover $3.5 billion of funds potentially lost through one mdb. in an exclusive interview with bloomberg, the finance minister discussed the government's efforts to -- the $12.3 billion siphoned from the troubled state fund. >> we think a very conservative estimate. probably around 10%. perhaps, maybe if we are lucky, up to 30% but at the very least, 10%. juliette: that is your bloomberg business flash. guy? guy: thank you, juliette. comcast's ambitious bid for a 21st century fox asset. comcast now turns its attention back to pursuing sky. let's get analysis on this story. rebecca joins us from berlin. rebecca, what now? what happens now, what does disney do now, what does comcast do now? certainly clears the way for disney to take over fox. a shareholder meeting for fox scheduled july 27. the pressure is off for disney on that front. it can go up forward with its $71 billion takeover of fox. comcast forced to disney to bid up by 36% and pay this whopping sum for fox

fun, the softbank vision $40 billion, coming from the saudi sovereign wealth fund.s which softbank invests in, which can be used to address efforts to bolster tech innovation. francine: thank you very much. we are getting breaking news from the chinese ministry of finance. this is on tariffs. they are saying china will not implement tariff measures. usually on a friday afternoon come the u.s. imposes measures and china retaliates. now they are confirming china will not implement tariff measures ahead of the u.s. pboc giving strong assurances to the market that the renminbi will not be weaponized. trade restrictions and interventions remain de-themes, but the pboc will not use the yuan in this trade war. we are seeing 10 firearms because of the fourth of july. this is bloomberg. ♪ this is bloomberg. ♪ francine: this is "bloomberg surveillance." let's get straight to the first word news. raise themerkel specter of of financial crisis. europeantariffs on cars will be more serious than steel and aluminum. two people in critical condition after being exposed to an .nknow

the uber ceo is here, along with uber's softbank. he's interested in cybersecuri and a.i.re are several of those companies speaking behind closed doors heret the conference. for "nightly business report," i'm juliaootin in sun valley, idaho. >> comcast increased its over for sky to $34 billion. that trump's fox's earlier offer of $32.5 billion forhose assets. >> still ahead, so where were you ten years ago today? ♪ ♪ >>> a decade ago a key event happened in pasadena, california. on this day in 2008 the fed seized mortgage lender indymac and that led to th gatest in a generation. we look at how far we've come. time.was a scary ten years ago in july 2008 people waited for hourso get inside indymac bank branches to withdraw all their money. >> i wish i had known my bank better. >> i just hope to be able to get my money back. that's all. th is my life savings. >> we'll put it in another bank and that one might go belly up,a too, are you going to do? >> it goes around the block behind me to get into the headquarters. w >> the linese long and the entire country watched. >> that

softbank is set for an eighth day of gains. yahoo! outperform. -- capcom ising sinking from the most since september. next to see is sliding -- next d.c. is sliding in sydney. ramy: sophie, thank you. let's get to one of our top stories of the day. president trump saying he has decided which judge he will nominate with the supreme court with an announcement scheduled for 9:00 p.m. here on the ease coast. greg stohr joins us from washington to see. -- washington dc. >> we have known all day that he was down to two, brett cavanagh and tom hardeman. we're focusing closely on cavanagh. of regulatoryot cases and has been skeptical of federal attempts to regulate is this is. ramy: which would be -- regulate businesses. ramy: what would be the easiest one to get through? >> probably judge hardeman is easier to get through. he does not have as much of a record. he does not have the number of cases on issues that judge cavanagh has. on the 10nagh worked star report, the investigation of former president clinton -- , theth starr report investig

softbank shares shot up. taking a stake more than $1 billion.nese conglomerate is -- has too steep. nikkei news says walmart plans to sell off its subsidiary to a group of logistics companies. $2.7value the deal between billion.nd $2.4 they have been investing in e-commerce and india and china. this is bloomberg. ♪ china. this is bloomberg. ♪ yvonne: 8:30 in singapore, half an hour from opening of trading. i am yvonne man in hong kong. ramy: i am ramy inocencio in new york. let's get to first word news. >> thank you. talks between the u.s. and china have ground to a halt as the u.s. stepped up its trade war. there have been three rounds of formal negotiations this may -- since may. we're told communications have a dried up and there is no immediate plan to resume contact. fora says disregard international rules could have disastrous consequences. chinese minister says if the wto collapses, the world economy would decline by 2.5% and 60% of global trade would disappear. his eye onrump has nato, not content with berating defensees about spending,

we also want to highlight softbank after tiger global takes a $1 billion stake. fast retailing and daily march on the radar as both are due to report results today. sliding in tokyo and the region. we're seeing a drag in tokyo, but that is resuming gains. we're keeping an eye on retailers of well given the nikkei report that walmart is going to sell its japan unit which is far behind the leaders. consumer stocks gaining ground. staples segment up 1.5%. telco upre, utilities, over 4.5% and it looks like a good day here for japanese stocks after the selloff we saw of late. that's a snap of what is going on into lunch break. this is bloomberg. ♪ rishaad: the bank of korea. one member called for a rate hike. they say they will be approaching their target of 2% inflation around this fourth quarter of the year. this is a story we are keeping tabs on. let's go to the first word news. talks between the u.s. and china are said to have ground to a halt as the trump administration steps up the trade war. there have been rounds of negotiations since may led by steve mnuchin,

the japanese tech giant softbank is increasing its stake in yahoo japan through a $2 billion, three—wayrm altaba. the move will strengthen ties between softbank‘s telecoms unit — one of japan's big three telecoms firms — and the internet comany. sir martin sorrell, the man who built and ran the world's largest advertising agency, has seen off competition from his old firm, wpp, to buy dutch digital production company mediamonks. it's the first acqusition for his new company. sir martin was forced out of wpp earlier this year amid claims of misconduct. let's have a look at china now. we have not talked about it for a while, it normally dominates the headlines and it is the world's second—largest economy. it is in the midst of a trade war with the us, and today the government's just released its latest producer inflation figures. official figures show china s producer inflation climbed to a six—month high of 4.7% injune. katie silver is in our asia business hub in singapore. what does this say about how china is faring now? domestic numbers are looking ok, the consumer price index was1.9%

softbank and india are said to team up to create japanese payments for japan to take place by the end and expecting an announcement within days that softbank is starting mobile digital payment service in japan by the end of 2018 in collaboration with pay tm, the india digital payment startup. little make extensive use of ai and other financial services, according to people we spoke to here at bloomberg. we are hearing also dozens of paytm employee is are in tokyo working to get it up and running. moving into a very crowded field. local banks, service providers and other tech companies are staking their claim in payments. story as then that just become available. remember, you can interact with the charts we just showed on jgb go -- gtvbgo. this is bloomberg. ♪ haidi: quick check of the business flash headlines. -- they will retain 50% of the supermarket chain as well as 50% -- jeep is -- the longtime boss is taking over as ceo. they accounted for 50 from percent of total volume. next, a bill legalizing casinos in japan gets the green light. we will look at the opportunities for the ma

isd: i think the softbank unique in that it is larger than sequoia's funds.hink there are three ramifications to it. there is a lot of preemptive rounds happening, venture capitalists are funding things much earlier than they normally would and are writing much bigger checks than a normally would. second is the rise of secondaries. $12bank famously bought out billion of uber stock. that was a great example of liquidity happening much earlier, or a way to circumvent an ipo. emily: is this good or bad for companies? order -- early employee, you are a happy camper. is there concern employees will lose their motivation and enthusiasm? elad: i think it is both good and bad. of downsides of a is a half the unicorns that existed today should not be valued at what they are at. emily: is airbnb one of those? elad: i don't believe so. there's a great saying from warren buffett and that in the short run, markets are a voting machine and long-run, they are a weighing machine. companies have gone public so it is difficult to see how they would be valued until they are out

unit wanting to raise 1 billion to 1$1.5 billion on the deal and has tapped investors including softbankidi also getting a 5$500 millin investment from booking holdings don't miss glenn fogel on "squawk box" today at 8:00 a.m. eastern. booking is the one travel operate their has significant clout in china it also invested in seatrip, and now trying to build out its chinese portfolio with investment in didi. >> developing news out of washington this morning. the senate's top democrat is asking republicans to take a vote on backing the fbi's russia investigation after president trump ripped it apart in a joint appearance with russia's president. tracie potts reports from capitol hill with reaction from those lawmakers. >> reporter: hours ago this small but loud protest greeted president trump as he landed back home to scathing criticism of his summit with russian president vladimir putin >> i never thought i would see an american president throw the intelligence community under the bus like that. >> reporter: that's a republican senator john mccain called it one of the most disgraceful per

the new technology fund will aim to become china's answer to softbank's $100 billion vision fund. owned conglomerate and other unidentified chinese groups already pledged $6 billion. global news 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. allen.ul this is bloomberg. ♪ thanks for that. let's get an update on the markets as we get trading underway for the second half of the year. today, trading in new zealand, there for trading in kiwi , as we the dollar 67.80 had that pretty broad-based decline with u.s. dollar against every member of the g10 space other than the yen. sydney futures looking good. .4% higher. watching oil as we had wti and brent ending on high levels for the first half. new york treated group with the highest in three years or the aussie dollar falling below $.74 u.s. getting more pmi data out of china today and the rba decision, not expected to move, but giving indication and ,uidance what the next move is more voices talking about potentially the next move being a cut instead of a

the aal, they are circulating memo around to lawmakers in congress who asked for a closer look at softbank, which owns t-mobile, and their relationships with chinese telecommunication firms. it has been deemed a security threat in the u.s.. these lawmakers are trying to hold it up and cause the greatest scrutiny as it goes through the review process here in the u.s., and whether or not they could possibly block the deal from going forward as it sends a recommendation to president trump. joe with the latest dealings with china peerless it more on the u.s. close with sarah. after stocks initially traded higher, saw them peter out. it was pretty much a mirror opposite of what happened yesterday when we were speaking and had to do with tech, both yesterday as well as today. sarah: semiconductors were the worst performing industry group, down 1.9%. leading that packed lower was macron, right around 12: 10:00 p.m. new york time, we had a headline saying that a chinese court was temporarily banning macron chip sales. that would bar macron from the largest semiconductor industry in the world, oh m

ramy: the softbank ceo masayoshi son has dismissed japan as "stupid" for not allowing ridesharing. company to launch a taxi hailing platform, saying that japan's transport infrastructure cannot handle the expected amount of for next year's world cup and of course, the olympics in 2020. >> in japan, ride-hailing is prohibited by law. i cannot believe a country as stupid as that still exist. it is incredible to our national government is denying and inevitable future -- denying this inevitable future. ramy: that is it for us on "daybreak: australia." we will be back on daybreak asia with more. this is bloomberg. ♪ two, down and back up. our phones are more than just phones. they are pocket sized personal trainers... last minute gift finders... siri: destination ahead. and discoverers of new places. it's the internet in your hand. that's why xfinity mobile can be included with xfinity internet. which could save you hunreds of dollars a year. plus get $150 when you bring in your own phone. its a new kind of network designed to save you money. click, call or visit a store today. haidi:

e-commerce startup hopes to take on the e-commerce world with his latest boost of funding led by the softbanklaunched just last year and offers over 300 organic and high-quality household and food items each at the price point of just three dollars. brainless does it mean no brand, ndlessr vision -- bra doesn't mean no brand. less.hink of it as brand the problem is that people had lost trust in brands. 78% of millennial's second don't want to buy the product and brands they grew up with. people want brands that reflect their values. when my cofounder and i founded the company, we said the first thing wrong to do is reimagine what it means to be a grant, when that's based on truth, transparency, and indirect connection with the community that it serves, and once he's basic value is about scaling kindness. emily: entering the e-commerce landscape, you're going to get asked about amazon. why walk into a market that is so dominated by one player? >> we don't think about competing with amazon. amazon is the everything store. brandless is a community of people that believe everyone deserves better

and chairman of rebel .ouse previously he was ceo of the huffington post and a special partner at softbankal. $1 trillion. you think it will get their? >> in the next few days. they have had a stunning quarter and the momentum will carry on. the next quarter is the one where they traditionally unveil new products and iphones, so that is a nice bridge towards those announcements. ramy: i want to show you and our viewers, iphone year on year revenue growth. we can see it beat expectations. we were expecting 15.2% and it hit 20%. they didn't sell as many iphones. that said, maybe it didn't matter. >> it didn't matter because the surprise is the average selling to 700 andhot up what ever the number is. mostly on the basis of the strong sales of the top line, the iphone x, which many analysts said is too expensive at $1000 or more. it appears to be picking up steam. i think the numbers were tempered by the fact that they drew down their inventory. if they didn't do that, they would be a year-to-year increase in sales of the actual devices. haidi: do you think the downsides will come from the tr

we have the former ambassador, bill burns, and we have the coo softbank as well as coming on.here is a lot of serious discussion happening, but as you say, m&a is the topic to sure here. re.du jour he , thank you.ammond we will check in with you a little bit later. coming up, treasury secretary steve is facing the house financial services committee, his annual testimony money state of international systems. he is saying that he is monitoring the impact of terrace on the economy very closely and says that he supports the and wetrative efforts will continue to monitor, but you can watch the full hearing on the bloomberg live go. we will bring you live some q&a from the testimony. this is bloomberg. ♪ live from caroline: london, i'm caroline hyde. vonnie: and i'm vonnie quinn. this is "bloomberg markets." president trump wrapping up the nato summit with some positive words, saying that his commitment to the alliance is very strong and he says that nato members had agreed to substantially up their financial commitments. but the french president macron said that spending plans have

how they fought off uber and raise billions from investors like softbank and toyota.berg. ♪ emily: a former apple engineer pleaded not guilty in federal federal court on after being monday charged with stealing driverless car secrets for a chinese company. he was arrested just before boarding a flight to china for downloading proprietary files, after leaving his position at apple. he admitted to downloading apple files to his wife's laptop for continued access. he claimed he never shared confidential information from apple. when it comes to ridesharing in the states, the first things that come to mind are uber and lyft. but in southeast asia, it is a different story. in the battle for ride-hailing supremacy. that market is expected to grow to more than $20 billion by 2025. one of the top names in the space is grab. since its inception in 2012, grab beat out and bought out first uber's operations in the area as it operates in 225 cities across eight countries. now, grab is now setting its sites on creating a wechat like super app encompassing everything from maps, paym

rishaad: softbank with a new app to help drivers find a parking space anywhere in japan. will show free spot that drivers reserve and pay through a mobile device. will have cameras and magnetic sensors to monitor cars as they enter and leave. softbank is looking to work with companies looking to rent out space and a trial version will start next month. revealing plans for a new fighter that would compete with a plane being developed by france and germany post-brexit. the project would potentially decades of cross channel military cooperation in the united kingdom, teaming up with aerospace companies in asia. a demand for warplanes is rising. the credit throw at the end of an era, at now just one in america. alaskaed its remaining outlets, leaving just one independent in bend, oregon. more than 9000 blockbuster branches worldwide. most of the stores closed in late 2013 as blockbuster struggled with the rise of netflix. the end of an era, indeed. coming up in the next hour, we are having a look at economic growth figures out of china. retail sales. we will be joined by jpmo

softbank's vision fund is seeking to invest almost a billion dollars in china's group.s it seeks a stay in the world's most valuable ai start of. art up.art up -- st the details could still change, but they have declined to comment. and a representative did not immediately respond to a request for comment. a major expansion into content, with a $1 million rims to buy the operation. the second big purchase by the swedish telecom monopoly. the acquisition follows a $2.6 a businessl to buy in norway to take on the country's largest operator telenor. that is your bloomberg business flash. nejra: thanks, so much. italian bonds have fallen over concerns the finance minister might step down. our guest is still with us. if i take a look at the reaction in the rates market, you are seeing that 10 year yield up some five basis point, the two-year yield up, the euro unchanged. and --at differential really say it all? us, this is one of the two main factors that worries us with respect to our europe you, which is bullish. and with brexit. what is the case is that the endgame for it

they'll buy back stock from softbank after they've thinking japan yahoo! will rise. >>> takeda has received approval to buy shire that will need approval in europe and whine that. brands include pillsbury, hungry jack pancakes. the company expects to adjust the earnings by 20 to 30 cents a share. the big reveal day for cnbc's top state for business scott kuhn joins us from a secret location with some big hints. it looks like it's dark there but maybe it's not dark. so where -- you know that we're going to be -- we're going to try to -- whoa wait a minute now it's light behind you. do you have a monitor? so d.c. is the -- okay so maybe we don't know where you are. you're not there that's a fake green screen whoa you're right up the skreet in times square, scott. we can do whatever we want. >> diabolical back to him. >> i asked for a whiteout like you were in antarctica we have ten of these and people are going to be so messed up your clue sounded buffalo like, scott. i'm thinking colorado. >> that's interesting. that's interesting a lot of people guessed th

his public will had been -- softbank post -- proposed potential conflict of interest.ere allegations of sexual harassment -- several women say they were physically intimidated and that their career suffered when they refuse advances from les moonves. they described a culture of harassment at cbs. to bank of england prepares raise rates on the horizon. a report from lloyd banks says come putting optimism was unchanged and at the lowest this year. the -- the consumer companies fell to its lowest since february. rates will widely expected to rise. the u.s. treasury department says government borrowing in the second half will jump to the most since the financial crisis. had ation's fiscal health lot to do with the strengthening economy. $250 billion.o that is the fourth-largest total for that. on record. the man who popularized the term new normal says the u.s. is the economy is shrugging off the malays. the u.s. is now alone in finding high-growth with 2.5-3 percent. inquite the term new normal 2009 as a way to describe the meager outlook for we can expansion and form a g

$1 billion in the world's most bible artificial intelligence start of bloomberg is learned that softbankre finalizing the deal. cantime makes -- it contributes to china's vast surveillance system. -- the california company reported same-store sales that rose less than expected. there spending aggressively. that is your bloomberg business flash. -- positive comments about their crowd business. alix, what you make of it? >> we have seen a huge surge. microsoft is following the trend . seems like they might be catching up a little bit. microsoft has been pivoting hard. after wonder whether some of the clouds have been an obstacle. -- i have to wonder whether some of the clouds have been an obstacle. maxalt has been making acquisitions to bring -- microsoft has been making acquisitions to bring people into the space. alix: turning to industrials, g delivers beating earnings estimates. they have strong demands for aviation and health core equipment. running is now is karen ubelhart. and seema shah joins us now from london. karen, what is your biggest take away? karen: it looks like a decent c

they're looking at sprint owner softbank which has some ties to the chinese telecommunications company that has been deemed to be a potential security risk for the u.s. so they're asking for much greater scrutiny of this deal as it gos along by the -- what's known as the cfius process. which reviews foreign deals in the u.s. that might have national security implications. they've asked the treasury sec retare to give what they say is close scrutiny. the committee then will be making recommendations to president trump as to whether or not he should approve this deal he can either take their recommendation, whatever it is, or reject it. but it is clear that there's me additional going on and additional pressure on deals involving chinese companies. ramy: we'll leave it there. lots to parse through here in the tit for tat in the u.s. and china. we'll take a closer look at the escalating trade spat, trade war work gordon chang, right now, author of "the coming collapse of china," as well as "nuclear showdown: north korea takes on the world." thank you for joining us here. we heard a lot of

nearly 11%, the biggest gain since february 2017 after the buyback announcement in which we see softbankonsolidating ownership . we saw them racing to you perform on the back of that news. check out xiaomi shares in nearly 3% in hong kong after the tepid debut we saw on monday for the company. we had china eastern airlines gaining ground after they said to buy chinese airlines stocks after recent declines as earnings are likely to get a boost. on witht what is going wee hur earnings on the back foot after singapore said it will see compensation should malaysia cancel the links between the two countries. lastly, a look at great wall cicc in hong kong after cut the a shareholder. hold. a-share david: a quick look at some of these stories tending across the universe. onto the big stores, president trump's personal -- former personal advisor revealing that his billionaire boss did not pay him overtime and only raised his salary twice in 15 years. on the terminal, that is the most read story, the trump driver story. subscribers read about anthony scaramucci's thoughts. him shooting that down

softbank boss has dismissed japan as stupid for not allowing ride sharing.g up to launch a taxi hailing platform. they cannot handle the expected wave of taurus for -- of tourists. he has invested in ride hailer's around the world and says japanese regulations stifle innovation. >> in japan, ride-hailing is prohibited high law. i can't believe a country as stupid as that still exists. it's incredible our national government is denying the future that is inevitable. we are in a precarious position. haidi: we are counting down to the market opens friday morning in japan, south korea, and in sydney. we are looking like a messy session to finish off the week. declines in wall street providing a pretty weak lead. the se flat going into oul open. in lighthing the yeb of weaker inflation data. coming up, we speak to the managing director of kapstream thewith his outlook on stock. watching for the pboc and how it is playing out for volatility. bill,head, japan's casino talking about the gaining industries prospects in a market that could be worth $25 billion. coming

softbank, a couple of others have the same thing.if they do switch away from the nikkei, we will have individual stock reactions, but given the purchases overall will not change, there will not be any kind of across the board market impact. great stuff, we will be watching that over the next day or so with the bank of japan. we will know imminently. we will be watching the markets in just under 15 minutes. let's watch futures trading happening. it is marginally down, a little under .25% down. but this is up half a percent. the u.s. and japanese cross, you can see that is further thengthening by .1%, under 111 handle. over the last several days, that has been strengthening from somewhere along the one -- 113 mark. it has been its weakest since the start of this year. going into the bank of japan, we will be looking at whether there will be any possible talk on yield curve control tweaking or possibly any action. analysts that have been here say no action but keep an eye out for worrying. as we heard from chris, possibly talk about mov

it will him to become china's answer to softbank's vision fund.hinese groups of already pledged $6 billion. global news 24 hours a day on with twicetwitter, 700 journalists and analysts in more than 120 countries. asnne: a mixed picture here we start a new trading week and quarter, next for equities. on some movers in tokyo, nissan is halting a four-day event. this company has canceled the sale of its battery unit to a chinese firm, which said it doesn't have sufficient funds to carry out the deal, valued at about $1 billion. in seoul, hunting -- hundred motor is losing some ground. it is saying a buyout rumor is groundless. forgo pressed the u.s. to tariffs, saying it would be devastating for u.s. operations. in sydney, sigma thinking the most in eight years. there are week trading conditions. it is one of the biggest farm wholesalers in australia and set to lose a key supply deal next summer. next, the company is bracing for the impact of a government pharma subsidy plan. ramy: thank you. this is our first trading day of the second half. traders

become china's answer to softbank's vision fund.merate and another unidentified chinese group has already pledged $6 billion. global news 24 hours a day on air and on tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. david: thank you. let's look at the mexican peso we talked about it a few minutes ago. there we go. 19.75, still seeing strength in the currency. chart, somek at the of those gains as we are on the verge of a historic victory. there was a landslide victory, over more perceived business friendly opponents. our mexican reporters joining us live. correct me if i'm wrong, all of his opponents have conceded defeat? >> that's correct, i want to read quickly a treat -- a tweet coming in from donald trump. congratulations on becoming the next president of mexico, i look forward to working with him, there is so much to be done that will benefit the united and mexico. so a congratulations coming in from president trump in the last couple of minutes. david: in term

rishaad: let's have a look at the latest business flash headlines and soft rank -- softbank plans to the service will be a collaboration with an indian startup. dozens of employees are set to be working in tokyo to get the service up and running. reports of germany saying that -- is willing to open up in europe. the company would change from selling european goods in china to selling china goods in the eu. alibaba already building logistics to operate in europe. -- nsortium the lc why will be delisted once -- the lcy will be delisted once the deal is completed. let's look at the markets where we are. rishaad: roussell one of the big l one of shares -- ruso the big winners. risks are rising. in hong kong, i am rishaad salamat. this is bloomberg markets. ♪ a mixed bag out there, attention somewhat on earnings, also on trade. last week, there was a bit of a lull. $500 billion worth of terrorists tarriffs.rorists a lot of noise. what have we got? sophie: we see stocks on the back foot to this monday. large-cap gauge up by 1/10 of 1% to resume losses this month. among the biggest laggard

just saw that moved to the downside last week, and softness in some of the big heavyweights like softbankmovement away from being too centered in the topix. looking ahead, the regional banks, they started to outperform, because they are more of a topix play. there's a double positive for those guys at the moment. >> thank you. andrew jackson. let's move to what we have coming up. we are looking at an indian bank , icici. $230 million earnings forecast. we'll be telling you why. that's on the way. ♪ ♪ look at thee a mining stocks in indonesia. they are on the move. let's look at what's going on and why. >> it's surging is the government is said to consider scrapping an obligation to supply domestic power stations, and mining stocks are rallying. in shanghai, chinese rail players are leading gains for large-cap gains, which could strap a three-day slump. tencent is dropping by about 50 points, falling to a december 6 low. country garden is falling the most on the hang seng after construction work was halted due to an incident at a project site in eastern china last week. haicom to highlight

there is a story that softbank is looking at rolling out payment services. and alibaba also looking. are those big things? alex: payment services do not want to become banks because they would require deeper regulation but they want to be able to have better insight into people's buying patterns. reallyhese sorts of granular inferences they can take based on people's buying behavior. they will be tiptoeing up to it but they don't want to become a bank themselves. francine: how is this changing our economies and the way we operate? there is always excitement as new technology comes in. we have seen this in a few cycles. component,nteresting we might have more confidence is you clearly have technology as the leader in terms of performance for this very good phase that tom mentioned in the stock market since the crisis. ifthat likely to continue you have policy becoming a bit more aggressive in the course of the next few quarters? what history teaches us is that even to the point you get to inversion of the yield curve, leadership typically continues with whome

they want to raise 1 billion to $1.5 billion on the deal and has tapped investors including softbankso getting a $500 million investment from booking holdings the two companies announcing a strategic partner. glenn fogel will join us today at 88:00 a.m. time big deal for glenn and for didi. speculation continues that didi will go public in the next 12 months that will be a big deal here >>> when we come back, the johnson & johnson cfo will talk to us about the quarter. the dow component out with numbers better than expected but the stock is trading down by 2.5% maybe that's because of the guidance even though they beat this quarter, not raising guidance for the year we'll talk more about that in a moment. >>> and goldman sachs is set to post quarterly numbers coming up in the next hour we'll bring you that report as soon as it hits the tape at&t provides edge-to-edge intelligence, covering virtually every part of your healthcare business. so that if she has a heart problem & the staff needs to know, they will & they'll drop everything can you take a look at her vitals? & share the da

they made commitments to softbank there's all these big commitments and they don't have the cash to supportso now they're going to have borrow effectively to finance these. does that make sense >> it's a situation where they are -- they have a lot of wealth and because of their commitments, it seems they have a bit of a cash crunch i think the mumt question is are you investing wisely that is the fundamental question >> and the question is is oil better than -- >> correct but most people would 100% say relying on oil for your wealth is not a good idea there's another level below 100% where it's a good idea >>> coming up, the fda approving the first new treatment for ma lair -- malaria in 60 years. dr. sue desmond-hellman will join us. "squawk" will be right back. you always pay your insurance on time. tap one little bumper and up go your rates. what good is your insurance if you get punished for using it? news flash: nobody's perfect. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. switch and you could save $782 on home and auto insur

because over the last three weeks this stock is down 13% it popped up to 45, once they announced the softbanke said maybe this is it, maybe the stock will get momentum and move up to $50, move beyond that not so much. back down below $40. we get the first numbers a little bit after 9:00 this morning. back to you. >> will we get a breakout of china sales and any potential impact for tariffs >> for general motors, we will get some indication about china probably not from gm in the u.s., that's just quarterly sales for the u.s., but in the next few weeks we'll find out how things are working in china. in terms of tariffs we won't get indication from gm or other automakers beside commentary about concerns about potential impact we want to watch friday the 6th, let's see what happens with certain vehicles not only that are shipped over there, it's only a handful for automakers in the u.s., but the ones coming back from china like the buick envision, we reached out to general motors, we'll have to see what they say in terms of passing along price increases. >> thanks. >>> coming up, it's summer bee