so certainly the u.s. can penalize more of china's exports to the u.s. than china can penalize u.s. exports to china. so that's where he sees that. that brings up the big question, what do they want here? the case that ustr bob lig lighthiser brought goes into intellectual property. so that pretty much would hint that the u.s. wants a broad -- china to take a broad look at its own industrial policies. on the other hand, do they just want china to agree to buy more u.s. products? the u.s. maybe to buy a little less chinese products and balance that $375 billion trade deficit and call it a day. they're positioning themselves on either side. >> if you have questions about the trump administration's trade policy, now is a good time to ask william baldwin. mitchell in indiana, line for democrats. go ahead. >> caller: good morning. thank you so much for c-span. yeah, me and 1500 other people lost their jobs due to nafta in lawrence county. i am proud our president is putting these tariffs on things. and i was just curious, sir, is there a reason our government will not stop all this leavin

the u.s. bassy in jerusalem. the white house is blaming hamas for intentionally provoking the israeli response. the dedication of the u.s. embassy went ahead despite protests. a ivanka trump and her husband jared kushner led the delegation. israel's prime minister called it a glorious day. also, a wave of deadly bombings leaves indonesia relaying as entire families including children carry out suicide attacks. the latest target, police headquarters. it comes a day after another family attacked churches there. i am brent goff. for some, it has been a day of joy. for others, a day of death. the u.s. officially opened its embassy in jerusalem, and move celebrated by israelis, condemned by palestinians. president donald trump's decision to recognize jerusalem as israel's capital broke with decades of u.s. policy and put the country at odds with most of the international committee. at the border with gaza, palestinian protests against the move turned deadly with at least 52 people killed by israeli

the presence of u.s. forces combined it with rok military provides a deterrent effect. we have to be prepared for potential miscalculation, until the confidence building measures for north korea's conventional forces are implemented, polling back from the dmz, artillery ranges, until those actions are taken, we have to continue to make sure our forces are ready and that we have the right forces in place to deter and defend. >> let me pull this point out more. it is the question of the north korean force structure more broadly, not just the nuclear side. david: we have to continually assess their capabilities and intentions, which of course, intentions are the hardest to assess. withnot willing to gamble u.s. interests on the peninsula or with the lives of 50 million koreans living in the south either. it is in our, interest to prevent a war on the korean peninsula. i think we should all agree we do not want war to happen. i happen to think the best way to deter war is a strong rok-u .s. combined military c

the u.s. has officially opened its new embassy in jerusalem a move celebrated by israelis and condemned by palestinians protests on the gaza border have turned deadly with fifty two people killed by israeli troops there present decision last year to recognize the city as israel's capital broke with decades of u.s. neutrality on the issue and put it on would most of the international community. donald trump didn't come to the opening ceremony himself instead he sent his daughter ivanka and her husband jared kushner both advisors to the president who decided to move the embassy and recognize jerusalem as israel's capital. trump sent a video message to the gathering israel is a sovereign nation with the right like every other sovereign nation to determine its own capital prime minister binyamin netanyahu called this a historic day and said the move didn't stand in the way of peace talks with the palestinians made the opening of this in this spur of the true foreign war and me the truth advance a l

the decision and it was the u.s. to seize the eu. a u.s. e representative had this to say in response. to this report confirms once and for all that the eu had long and -- ignore wto rules and even worse, eu aircraft subsidies have cost american company's tens of billions of dollars in lost revenue. the eu says it will take swift action to ensure it is in line with wto rules, the pointed out the vast majority of u.s. claims were rejected. but the story doesn't end there. the eu has brought its own case against the united states, accusing it of illegally subsidizing boeing. the outcome of that case will not be known until later this year. the tit-for-tat battle to dominate the skies comes at a time of already soaring trade tensions between the u.s. and european union, most recently concerning the threat of u.s. tariffs on eu steel imports. the upcoming ruling on alleged u.s. subsidization of boeing is likely to lead to further turbulence. helena: in new york standing by for us is our financial correspondent jens korte. jens, we have another f

turn the u.s. president wants to rescue the chinese tech giant that he set out to destroy republicans a baffled about the pledge investors hope this will ease trade tensions also coming up with the u.s. pulling out of the iran deal russia china and europe all want to feel the business forward but what cost. on the french rail such strike saga continues in just court worse all the french government buckle under the pressure of commuter chaos. this is your business update on how the home for. you could join me talk about eight earn around after banning american supplies from doing business with the chinese tech giant is a u.s. president donald trump now says he wants to save the company it relies heavily on tech made in the usa trump says he's instructed officials to come up with a rescue plan saying too many jobs are at risk with a pledge of a rescue plan has sparked consternation from lawmakers from both sides of the political spectrum first of all though it's raised the question why. just one month

what could be the reason behind the u.s. administration reviewing aid to the white helmets i mean are they failing to praise trump's efforts or i mean are they falling prey to trump's effort to cuts of funding to a number of u.s. aid programs around the world i mean what is at play here. the way the helmets have lost their luster they've been widely discredited in the eyes of the whole world as a frog as a propaganda arm of the western military intervention illegal military intervention in syria and it's the i have to give the credit to our t.v. and to independent journalist such as vanessa billie and eva bartlett who've been interviewed on r.t. for showing that the white house that's are. are a asset of al-qaeda in syria and that is to say on the syria so my guess is that the trump administration has estimated that the. return on the dollar and that's a lot of dollars thirty two million that they're spending on the white house is declining and so there and that is the reason for the review of the continuing funding. but why

the u.s. elections. who knows if the coalition government will even survive 12 months from now? not to overthink what is happening in italy. trade with china is important. tariff,re than just the and i would not call it a new cold war, but there are tensions that are beyond just individual tariffs. i think it is something we will be living with for some time. in the meantime, the economy is strong and the interest rate environment is what is truly the focus. caroline: the interest rate environment has been having ramifications toward the emerging markets as well. toward the fed hiking, we have had selloffs. worst week for emerging currencies since 2016. will that continue to play out, or will the shock tactics start to ease? jurrien: this is really interesting because the pressures in a.m. kind of remind me of early 2016, when obviously china was under pressure to devalue, that the dollar was very strong, financial conditions were tight, and the fed was guiding toward a hawkish backed down from

but the u.s. greements, and he's essentially making any sort of, you know, continuity between administrations impossible. so it's -- it would be impossible in the future for countries to say, oh, well, trump entered into an agreement, what's the next president going to do? without that kind of continuity, it sort of makes the u.s. a less viable world player, i think. >> let's talk about those primaries last night and what they tell us about, you know, i would say the mainstream, traditional republicans and the trumpism that people were looking for signs of in west virginia. we saw blankenship didn't make it. patrick morrissey. 34% there. in indiana, mike braun coming in there with 41% of the vote. what does this tell you about where we are heading into the midterms? >> well, you know, kind of the thing with blankenship, he was -- he was the undisputed, you know, trump clone of the bunch. he -- he had this race-baiting campaign, he was a former businessman, he had an axe to grind. it was really trum

also coming up tonight europe's view of the u.s. and the iran nuclear agreement from a broken deal to broken trust. clearly it's not going to help transatlantic relations between europe and the united states we can't even predict about how much people are going to trust the united states what it's going to do to european and american cooperation other theaters so it's this hard to see any silver lining to this. oh we begin the day with the planning that is now under way for the nuclear deal that donald trump wants to sign on just two days ago the u.s. president drew anger and disappointment from around the world when he withdrew the u.s. from the iran nuclear deal a deal that he equated with insanity and one he says that he should have should have never been side we're now to the deal that trump wants to side but first has to negotiate an agreement designed to denuclearize north korea once and for all now earlier this morning the u.s. president announced the date and place for that summit trump tweeted that the highly anticipated mee

i think the u.s. s left enough a run flexibility that this is the first step of many and we should wait to see where it goes. there is still a chance that the bark is worse than the bite. --k: is nafta does this change that view? >> we are not trading against nafta. some new form of nafta we think will be formed. this will add to political volatility. we think that nafta agreement may be delayed because of a series of political change is coming our way. we have elections in mexico, it will be until september that we have the next person in command. we have an election next year in canada, how will that change the picture? and we have the midterms in the u.s.. we think a new nafta will be formed but it will be delayed and there is lots of uncertainty and volatility in markets until we get there. imur, let's talk about everything that is weighing on the markets. if you take a look at the major currencies and how they are performing, the mexican peso is the worst performer down 1.4%. we are seeing positiv

haidi: trump officials in the u.s. is ready to invest, provided there is proof of denuclearization in north korea. betty: about turn on china, ordering the commerce department to stay afloat. haidi: malaysia's failed in on unchartered waters, the economy, corruption and missing money, topping the list. betty: the solution to everything, business leaders in new york to make the case for blockchain. haidi: hello from sydney where it is fast a 5:00 a.m.. i am haidi lun. we are two hours out from the open of asia's first benchmark it. betty: after 6:00 in new york, i am betty lou. we will be looking at how all the action on wall street will play into the asia-pacific trading day. i think we will be watching bitcoin this week, blockchain theory we will be watching for the price of that coin. we did and friday with a slightly bullish note. the dow is up 91 points, the s&p higher. tech shares still waiting on shares overall, but the dollar was steady. the s&p for stock market ending the week as i mentioned on the bullish tone

trump's dear kim letter today the u.s. president called off the planned summit with his north korean counterpart in on official white house stationery he slipped back into the language of my arsenal is bigger than yours and in typical trump style he extended a hand to kim at the same time implying his finger is back on the nuclear button i'm burnt off in berlin this is the day.

crucial talks between the u.s. . and china are into the final day trying to resolve differences that push them close to a trade war the two sides have been meeting in beijing but analysts say a significant breakthrough remains unlikely china in the us are two of the world's biggest economies and both the proposed high tariffs on each other's goods well there are plenty of other issues the two countries differ on the u.s. as long accused china flooding the global market with metals at low prices market access is also a problem the u.s. says american companies can't compete with the chinese on a level playing field it's also difficult for u.s. businesses to trade in china and then there's the trade deficit the gap hit three hundred thirty seven billion dollars last year which is more than half of the total u.s. shortfall in goods and services donald trump wants china to reduce that by one hundred billion dollars let's go live now to our china correspondent adrian brown in beijing age and both sides have been downplaying

if i tell you when the u.s. decided sanctions many years ago against china in the field of tires, the big tires that were on the big flurries, each job stayed in the united states cost $900,000 for jobs saved. this is not the way to go. the cost-benefit analysis should drive to that conclusion. >> vice president, i see you have applauded her. how do you see china approaching this dispute? is this an area where america has got a completely wrong, or is there room for china to open up its markets? >> first of all, i would like to emphasize that in china, i was not involved in regulation of the trade issue, which is not part of my authority, but historically, i did some work as a deputy of the state council when i was overseeing the issues with the united states. the trade, between the countries, it is very fast-paced, very often we are holding consultations. i believe that we must act in a reserved manner and we should not be emotional about it. the chinese president xi jinping once stated that china is not afraid

embassy from tel aviv to jerusalem and we should remind ourselves that the u.s. congress did actually pass a law in one thousand nine hundred ninety five saying that they would move the embassy and the u.s. president says that his signing these waiver saying they would keep it in tel aviv in order to avoid the very controversy that we're seeing here today with what we're seeing and gaza and even here at this site where the u.s. embassy is protests happening and it was really trump who decided that he was going to make good on this promise in order to please a big part of his base there the conservative evangelical christians and the conservative pro israel jews who are big supporters of president truck from the beginning and this is very much a red meat for those two demographics you know they were david freedman starting off with thanking donald trump for making this movie why is it them that we saw the white house and his daughter ivanka trump a jury question or not donald trump and jury trial. was probably absolutely this is the big question here today and i wi

the u.s. military is ready for anything. a moresident used traditional form a message to convey his message, saying he still hopes to meet kim someday. betty: it is just after 7:00 p.m. in new york. gold stock has gained in a month and yen is rallying. as unlikely as it seems, amazon tries to explain how alexa reported a couples words and kept their conversation on. we wake up over there in asia with some new headlines coming out of north korea. but now instead of rattling the cages, it seems to be more muted. and saying they are willing now to talk with the united states, almost like it seems on their terms, saying the trump summit relationship is unexpected and they wished the trump model could resolve issues and that there is no change in north korea's attitudes toward peace. yvonne: there is concern if this would ignite pyongyang to do more missile testing after a six-month pause. it seems like they are taking cooler heads. they need to come back to the negotiating table but this is what we

up next, the u.s. preme court striking down a federal law that prevents sports gambling, leaving it in the hands of the state. we will look at what it means for the industry just ahead. this is bloomberg. ♪ this is bloomberg. ♪ betty: i am betty luke. you are watching daybreak australia. the supreme court has allowed individual states to legalize sports betting. that decision expected to start a race to attract billions of dollars in wagers amid a new era for american sports. i want to bring in our los angeles bureau chief for more on this. who will be the big winners here? >> the first big winners will be the traditional casinos because almost every state that has passed this so far has given those land-based properties first dibs on what is going on. there will be opportunities for other folks to partner with them. there are a lot of companies that rally today that supply technology to the sports betting business. other people from outside the u.s., european companies in particular i'm a who have been

>> as long as the u.s. omy is doing well, other markets can be somewhat interrelated from the rise in yields. we have been a lot of work in studies looking at how much of a headwind is high u.s. yields for risky assets. we think it is very much a manageable headwind. see theging markets, we emerging markets have a lot less external funding that they need. that again, reduces the sensitivity. francine: let me bring you over to my chart. are we calling it the end of the 30 year bull market? at what point do these start hurting earnings. does it become dangerous? >> a lot of if it the earnings channel comes into how they had the debt structure. a lot of corporate are now financially happy. they are very used to managing their interest rate risk. is actually reduces some of the earnings exposure to the high-yield. to the point at which it starts to become more of a headwind to corporate earnings is when the growth goes down. then the combination of high yields and slow growth will make earnings very difficult. w

the u.s. uses the current -- the u.s. views the current set of treaties as broadly permissive and we can do what we want to do in space. what has changed is the nature of the adversarial environment a -- adversarialgo environment. a decade or two ago people talked about space as a sanctuary. the discussion is gone. and it is gone because it has been changed by the actions, particularly of russia and china and counterspace systems. testimony ofo the the intelligence defense communities. the priority is to make sure that in this environment we are reliant upon, that we are more resilient, to making sure that it is not that satellite systems will ever be invulnerable, they won't be, but that the functions that we want them to carry out resilient against a large challenge. and that we have capabilities to respond across domain and other areas of necessary, to any challenges or threats to that capability. what you are seeing now is really a rethinking over changes that had been occurring over some time, but now is more openly r

china and the u.s. ve agreed to hold off on imposing new tariffs. the temporary deal ends months of tension for financial markets. vision of drink in a joint statement with washington to substantially reduce the trade deficit in china. the chinese did not commit to closing the get by in a specific it amount. of these, the two sides are talking. >> oranges from the u.s. consume asas a regular fixture in n chie supermarkets. the asian country has agreed to import markets that are made in the u.s.. for donald trump, it is a call for celebration. china has agreed to buy massive amounts of additional agricultural products. it will be one of the mets -- the sinks to happen to our farmers in many years. tariffs have come down for the first time in china. president trump has previously criticized china for exposing markets to the u.s. and china. the agreement could begin to reduce the trade deficit with the nation. concrete numumrs remain n uncler with only substantntial amounts they mentioned. >> there was a re

oranges from the u.s. could soon be a regular fixture in some chinese supermarkets the asian country has agreed to import more goods that inmate in the usa for a u.s. president donald trump it's a cool is a celebration china has agreed to buy massive amounts of additional farm agricultural products would be one of the best things to happen to off on the in many years. on china barry isn't tyrus to come down for the first time. president trump has previously criticised china for exporting more goods to the u.s. than vice versa but now the agreement could begin to reduce america's three hundred seventy five billion trade deficit with the nation yet concrete numbers remain unclear with any substantial amount being mentioned how substantial it began there was a reason why we didn't put a specific number and i would also say what the specifics of that is because there's a specific number again whatever we agree to that you're not government to government purchases we have very specific targets industry by indust

this street signs for the new u.s. embassy have already gone this usually quiet residential neighborhood in south jerusalem has become the focus of attention. the building behind me which currently houses the consular services off the us will become the new american embassy moving the embassy from tel aviv to jerusalem it's highly controversial the international consensus remains that the status of the city should be agreed upon through negotiations for now only the us ambassador and a limited number of stuff offices will move to jerusalem from tel aviv the complete bilocation will take many years the majority of israelis supports the u.s. move like here in downtown west jerusalem journalism is after all the capital of israel i believe it and of course there will be i believe there should be some the palestinian state and if they want part of jerusalem someday the final agreement but i think it's ok the u.s. does move the embassy over here because this is after all capital in israel ask every kid what's their capital it

the u.s. pulls out of the iran nuclear deal europe and others stay and say it isn't working so what will be the impact of donald trump's decision will it as feared stoke more middle east conflict this is inside story. hello and welcome to the program i'm a mage enjoy him a horrible one sided deal that should have never ever been made that's what president donald trump said when he announced he was pulling the us out of the international nuclear pact with iran and he's re imposing sanctions on tehran trump has the backing of saudi arabia the united arab emirates and israel but not china russia the u.k. france or germany who all signed the deal and wanted to survive this is how iran supreme leader reacted to trump's decision to go how to present have police chief the u.s. president made worthless amine remarks there are probably ten lies amongst his comments he announced washington's betrayal from the nuclear deal and threatened iran and its ruling system and said they would do this and that on b

here's a weird question in the past the u.s. has kind of forecast their intentions there's been some saber rattling ahead of events like this and definitely some acknowledgement to two russians so that there isn't this. the start of world war three if you will why was there no announcement this time from the u.s. led coalition i couldn't say why there wasn't and will see if there's an after the fact the description of what they say happened and again as we know with this war there's been so many claims that are so contradictory from the different sides as to what happened it's anybody's guess where the truth is i'm sure a lot of americans would like to say well if our guys say it it must be true i think experience from the past leads us to take that with a grain of salt so we'll see i don't i wouldn't put too much stock in the the question of whether or not it was announced. so if you can help i mean. and i know i'm going to ask you to kind of. open pandora's box if you will or try and explain the unexplainable but many people do

in an was of interview, french president emmanuel macron says the u.s. decision to pull out of the iran nuclear deal is a mistake. mr. macron: this is why we have affirmed that we will remain in the 2015 agreement that we assigned -- we signed. brent: iran's leaders are now questioning the nuclear deal's despite european assurances. plus, north korea releases three u.s. prisoners. washington has been pressing for their release as a show of goodwill ahead of the planned summit between the u.s. and north korean leaders. i'm brent goff, good have you with us. french president emmanuel macron decision to quit the iran nuclear deal is a mistake. macron made the comments while in germany to receive the prestigious charlemagne prize. they said down with the french dw news is long -- as well as the french broadcaster for next was of interview. karon: you try to save the iranian nuclear deal when you were in washington. why did you fail you ac? >> the important thing is to maintain stability and peace in the middle east. by the way, i had understood that president

the u.s. says it will impose a twenty five percent tariff on fifty billion dollars worth of imports from china but also restrict investment by chinese companies in the u.s. and limit exports of high tech goods to china earlier this month the two countries agreed to look at measures to cut china's trade surplus and a move that appeared to reduce the risk of a trade war between the world's two largest economies and the u.s. state department is planning changes to the visa system for chinese students and spot a president trying to tempt a crackdown on what he calls the theft of u.s. internet troll property official. expected to limit student visas to one year for chinese who plan to do graduate work in science or technology in florence louis has more from gen jang and easton junge soon province. china says it surprised at the latest announcement coming out from the trump administration and called on the us to implement this period of their most recent joint statement on china's commercial ministry

when president trump announced that the u.s. is withdrawing from the jay c.p.o. way those stocks went way up lockheed martin went up two points raytheon went up two and a half points raytheon of course makes the tomahawk missiles which in the last few months we've been dropping on syria rather frequently systems northrop grumman side stock go up actually even boeing which which lost money on this their c.e.o. said they're ok with it. they could make some money considering they make the moab the mother of all bombs and largest non-nuclear bomb in the u.s. arsenal which we dropped in afghanistan and april twenty seventh teen i think what's really interesting is that this is in sharp contrast to the korea peace talks that have actually we've seen we've seen the opposite happen where the stocks of the defense is already out in the stock is going down exactly second this is bad for these businesses exactly where you know it's interesting because there's often you know immediate market moves based upon the news and there are people high frequency traders and others who

the china u.s. dispute germany has profited from it china's lower tariffs across the board of car to car imports from twenty five to. fifteen percent who profits german coffee makers their shares yesterday went up one point five and two point zero point five percent. b.m.w. and mercedes and on the other hand also china shows how malta the lateral is ms down. of course this is a time of tariffs of course many people are reeling right now in the business community about the u.s. possibly levying twenty five percent tariffs on car imports now because they consider it a strategic sector but. of course chancellor merkel has a business delegation with her on this trip as she has on her previous visits and this is about she's been there about a dozen times as chancellor this is their first visit now and are in this new legislative period what do german companies who are with my call sitting on that plane and talking to their counterparts in china what do german companies want in china and from china is very

the u.s. decision to withdraw from the iran nuclear deal and said that decision, among with other foreign-policy decisions by president trump, have strained transatlantic relations, following the ambassador's remark at this atlantic council event that debated iran sanctions and what happens with the agreement. >> thank you. i'm delighted we are bringing together all of our iran work now. atuggest all of you look &iransource. we have some new barbara: thank you, rachel. i'm delighted we are bringing together all of our iran work now. i suggest all of you look at &iransource. we have some new events this week. certainly, president trump has given us a lot to chew over. mean for the u.s., for our asian partners. we are lucky we have a last-minute addition to our experts. that is the ambassador and head of the european delegation to the united states, david o'sullivan will make some keynote remarks. then we will turn to our panel of true leopards -- our true experts. let me briefly introduce them.

and north koreans have said they hope will happen how does the u.s. dministration go about reconciling these real differences coming from with then of their this is an important question i think the next move in terms of moving back towards dialogue would certainly be for sectors they might pompei oh perhaps to make another visit to north korea there might need to be mediation from china as well china will be a key player in this and so the u.s. will need to find a way to present itself which which avoids losing political capital at home in other words sustains this idea of legitimacy of genuinely moving towards dialogue engaging in north korea but at the same time has to show some kind of reconciliation or some kind of move back towards the north koreans otherwise the north koreans will not be able to project this image of legitimacy to their own people and also be able to kind of move the relationship with china and the united states forward well we have actually heard from the chinese foreign ministry reaction to the cancellation of the summit let's

diplomat from boarding the u.s. militarily -- u.s. military helicopter and leaving pakistan, just over a month after the american diplomat, joseph hall, allegedly ran two red lights and hit a motorcyclist, killing him. a pakistani court has ruled hall doesn't have complete diplomatic immunity and he face prosecution in pakistan. the case has sparked rising tensions between the u.s. and pakistan. meanwhile, in more news from pakistan, thousands of protesters gathered in karachi on sunday to demand justice for pakistan's pashtun ethnic minority. the protesters were denouncing military violence against the pashtuns, which is carried out under the guise of operations against the taliban and other militant groups. in the east african nation of burundi, at least 26 people were killed in an attack on a small village in the northwest part of the country friday. no group has claimed responsibility for the attack. it came only days before this week's controversial referendum over whether to allow president pierre nkurunziza to stay in power unti

the u.s. impose a sanctions on iran. the new trump trade. deutsche's downsizing the bank. cutting as much as 27% of its stock as a sweeping overhaul plan. the company denies the report. ♪ francine: "bloomberg surveillance good morning. welcome to "bloomberg i am francine lacqua here in london. i am looking at a lot of earnings. some of the telecom stocks, liberty global being bought by vodafone. left, right, and center because of the iranian deal, and sanctions were imposed quickly, and that should boost the price of oil. it should be higher. let me bring vodafone up for you. the share price, you can see it , the company will buy that european unit for $22 billion to be at it is down 10% this year. the read across, this asset grabbing by vodafone, they will challenge deutsche, in their home market. matt miller brings us that exclusive story later on. coming up on "bloomberg surveillance," we will hear from the biggest long-haul carrier from the europe -- arab emirates. frome next hour, we hear

when the u.s. a number of emerging markets, which had told her abilities than, average -- haverabilities then, reduced them. some of the risk that banks used to take by borrowing in dollars-ish shifting to the -- dollars is shifting to the private sector. more countries have put on macro -- companies can borrow in foreign currency and borrowing directly from corporate bond markets. so you see a shift of risk away from banks to individual companies in the corporate bond market. the sector is now exposed to more dollar debt. as u.s. raises interest rates, i worry there will be some risks in these sectors that we don't have good data on, that we don't have good data on, that we don't regulate as good as banks. >> [indiscernible] when the bank goes out, you see where they are rocks are. [laughter] again, that was kristin forbes with kathleen hays. now a quick look at the business flash headlines. forecasting 1.6 u.s. dollars as mobile sales rise. fourth-quarter net income was $583 million u.s.d. says t

so if the u.s. import tariffs go ahead they cause great confusion to the global economy have a negative impact on multilateral trade under the w t o system that would be very regrettable. opinion remains divided about whether import tariffs would actually benefit the u.s. car industry some experts say the move is unlikely to create new jobs. well you know now the joins us now from the association of german chambers of commerce and industry and you're good to see you i've been talking to lots of analysts about this for weeks now and they are saying a word saying that this would be the big one the metals tariffs both china and you the u.s. were just testing the waters but what it would if it came to cut tariffs is going to really start a trade war well it's a very difficult situation at the moment and even the the reasoning for the new attempt to impose tariffs is a little bit constructed so we're heading into a very difficult situation on world trade and especially because one of the major german bran

the u.s. imposes tariffs on the e.u. mexico and canada for steel and out of many i'm imports canada and france hit back calling them unacceptable and illegal. a snap election is a verted in italy anti establishment political leaders agree on a new deal to form a government. i'm fed up with corruption in kenya hundreds take to the streets in protest. the u.s. secretary of state says he's made great progress in his talks with one of the north one of north korean leader kim jong un's most trusted lieutenants my own bio delivered a briefing in the last hour saying that negotiations are moving in the right direction the talks with kim young child in new york is supposed to smooth the way for a summit between donald trump and kim jong un in june but pompei refused to confirm if that would actually happen. or two countries face a pivotal moment in our relationship in which it could be nothing short of tragic to let this opportunity go to waste. in my conversations with. i mean kim jong un to be on you

the program. are focused on u.s. uities because we have seen some key technicals when it comes to the s&p 500 and the dow jones. the s&p 500 has dropped below the 200 moving day average. and the dow jones has stayed the same. have hadsked that we such a bumper season in the u.s. had such a bumper season in the u.s. 500 did recoup. we are not getting a lot of direction. we wonder if the jobs report will give the equity market some direction. i have asked a lot of people by the equity reaction has been lackluster. some point to a late cycle. some point to the earnings. taken aboutit has two hundred days on average for the s&p 500 to recoup its losses after a loss. if we follow that template, the 20 12 correction come in the shortest one, the s&p 500 will not set new highs until early july. for now, let us get the bloomberg first word news. here is haidi lun. u.s. treasury secretary steven mnuchin has sent the delegate -- has said the delegation has had a good amortization with their chinese counterparts. for is the seco

the u.s. president cancels a planned summit with north korea. >> this is a tremendous setback for north korea, and indeed a setback for the world. brent: the u.s. president blames hostile statements from kim jong-un for the decision. we will ask what the shock means r the hopes f for peace on the korean peninsula. also coming up, the french presidident and russia's vladimr putin react to washington's latest curveball. they say nonproliferation efforts should continue, and they will also keep to the iran nuclear deal discarded by the u.s.. and both sides on ireland's abortion debate head to the polls. the traditionally-catholic country is deciding in a referendum whether to reform its strict rules on terminating pregnancies. ♪ i'm m brent goff. it is good to have you with us. u.s. president donald canceled a highly-anticipated summit with north korean leader kim jong-il and. trump blamed the decision on "open hostility from pyongyang." but the collapse of the talks will raise questions about the

the u.s. says it can't accept asylum seekers that its border with mexico because it has no place to put the. thousands take to the streets of moscow to demand internet freedom. welcome to the program the united states says it believes evidence presented by israel accusing regional rival iran of secretly pursuing a nuclear weapons program if proven it would be a breach of the landmark twenty fifteen iran nuclear agreement at a press conference in tel aviv but human netanyahu displayed what he called conclusive proof that tehran had lied to international observers iran has rejected the accusations the country's foreign minister has called them a rehash of old claims that and yahoo made the allegations less than twenty four hours after a visit by the new u.s. secretary of state mike compare in a statement the white house says the israeli information provides new and compelling details about what it calls a clandestine iranian nuclear weapons program that comes as u.s. president told trump is threa

betty: on the u.s.na trade front, i'm sure you with all of us are watching the tit-for-tatth, the you are seeing between the u.s. and china. do you think this is a new paradigm, and new normal perhaps , that we would just have to be at peace with, which is we will be in it for the long haul with continued dialogue on u.s.-china trade, which escalates on some days and the escalates on other days? -- de-escalates on other days? >> the world is not static. the world is very dynamic, with changes of leadership, different features, economic changes. there is a state of flux at what is happening at any point in time, but i do firmly believe that the best way every can turn country can make a contribution to peace, stability, and prosperity come is to ensure we maintain open lines of dialogue. that is what australia does, engage through a multitude of international forms, g20, apec, and others. if that means there is a list till the come to factor that in. that is not new. that has always been the case. you ju

but now the new u.s. ambassador to berlin richard grinnell is urging german companies to pull out of iran at the same time germany france and britain said in a joint declaration they feel mutually obliged to stick to the terms of the nuclear treaty experts predict tough times ahead. the european union appears to be in a very difficult position. there was no tone of compromise in the president's arguments for exiting the treaty he also said the sanctions would once again be fully implemented that could mean that it will be impossible for european companies to deal with iran without running the risk of attracting u.s. sanctions. so for now companies looking to iran face new uncertainty. time to cross over to daniel at the front that stock exchange daniel what does all this mean for gen companies doing business in the region. well we have to remember of that many european companies saw a big portentious in iran after the sanctions were lifted and many companies from germany and europe are heavily invested in

the . u.s. claims the relocation of its embassy in israel to jerusalem what was not the cause of monday's deadly unrest on the israel gaza border. and it does not under mind the prospects for peace and anyway and yet for some this is supposedly a cause for violent. european leaders to speak out in defense of the iran nuclear deal saying it should not be changed despite the u.s. pulling out.

the u.s. negotiated the agreement with iran in twenty fifteen along with the united kingdom france germany china and russia to limit iran's nuclear program in exchange for sanctions relief with the announcement the united states now bria imposes tough economic sanctions on iran's oil and banking sectors that had been lifted arguing iran did not live up to its end of the agreement we have definitive proof that this arabian promise was a lie. even though u.s. intelligence the united nations and european allies maintain iran has been compliant under the agreement trump cited a recent israeli report that iran had not been truthful about its activities before entering into the deal trouble also argues the agreement should have dealt with iran's military pursuits in the region and its ballistic missile program. capitol hill the top senate democrat disagrees and to me the right thing to do would have been to try and come up with our allies with an agreement on those issues and let the nuclear part of

stops buying the u.s. treasury stops buying the u.s. fed stops buying their own bonds well then the e.c.b. steps in so how is this possible according to wall street is says as the possible because the e.c.b. run by an italian has been buying a talon government and corporate bonds hand over fist along with bonds from other countries in the eurozone as part of its q e in order to do whatever it takes and what it took was to stop any and all. price discovery and to force investors such as life insurers and retirement schemes that have to buy euro bonds to buy italian bonds even when the yields were negative these outfits actually their beneficiaries whose money this is are now pocketing guaranteed losses so it's not hilarious to them as i said the pension accounts and the retirement accounts are programmed robotically algorithmically to buy these bonds even though makes no rational sense or locking in losses the other makes no sense so i get on the titanic and you hear the warnings there's an iceberg ahead iceberg ahead but you say you know

the canadians and the u.s. ose on automobiles but as we heard from mexico, they do not like the proposals. it does not look like they will get anything done weird paul ryan has put an deadline on it based on the calendar and the legal steps you have to take to get it approved. they have always had more wiggle room. another two weeks, three weeks, probably not getting there. vonnie: justin trudeau is saying everything is great and we will get there. the mexicans are throwing up their hands. michael: what you see depends on where you sit. canadian and u.s. auto workers paid about the same and they can reach a deal. par witht content on the amount the auto workers are paid to produce it, mexico is so far behind that they cannot afford to get up. vonnie: china is perhaps more pressing at the moment because relations can break down a lot faster than they can between our closest neighbors. what is china offering, if anything? michael: we do not know for sure. they probably came to the u.s. saying we are willing to buy

from the iran nuclear deal to fending off u.s. trade tariffs and beijing find themselves side by side. you know. we are of the view that we should be getting an unlimited exemption from these tariffs discussions with the american government as the chinese government also is. or. would and we work together well in the area of steel within the framework of the g twenty steel forum and could really solve some of the problems. where we were we agreed to maintain multilateralism and rules of free trade. the americans we agreed to promote trade liberalization and investment opportunities to the. chinese door is open to you for help and we will be open even wider. for. the reception here is a far cry from merkel's report with another ally in. her encounters with president trump marked by all her body language and misunderstandings. perhaps no surprise then that merkel's foreign minister had little to show for his visit to washington yesterday with a compromise on iran said to be far off. back in china merkel spent the afternoon with presi