u.s. and china. possible that the u.s.-china trade war the more of an opportunity than a threat as the u.s. moves away from china? >> we are bringing both opportunities and challenges. opportunities give us a chance to open new markets and balance trade with some countries. them.eed us and we need you thatncerned are comes tariffs would now be focused on vietnam given that trump himself has said he will be looking to the rest in asia? >> i told trump i would agree with him. the investment is also very positive. uncertainties, that means negotiating new trade already negotiated with right now. how susceptible is vietnam from a fallout from trade conflict? >> let's put it into perspective. trade amounts to double, so trade is really crucial to the country's growth and in terms of toa, it is most susceptible a very open economy. vietnam exports almost all of what it produces and just to give you some insight, it produces at least if you percent of our smart, so vietnam relies a lot on exports for growth

u.s. goods with 5% to 10% tariffs. china's holdings of u.s.uries fell to a six-month low in july, just as a trade war between the world's two largest economies began heating up. beijing's ownership of american bonds, bills, and notes, slipped to 1.17 trillion dollars. increased its holdings as did saudi arabia, taiwan, singapore, and france. the bank of japan has left its monetary stimulus program unchanged after adjusting its policy settings for the first time in nearly two years in july. the central bank maintained its 10 year bond yield target, asset purchases, and guidance on interest rates, as predicted by by 51 economists surveyed bloomberg. that leaves the boj further behind its global peers, who are moving to return to precrisis monetary policy. u.k. and the european union have signaled their readiness to work to break the deadlock in brexit talks as britain's prime minister prepared for a crucial summit aiming to persuade e.u. leaders to back her plans. chief brexit negotiator, michel barnier, repeated his offer to rewrite his bluepri

u.s. and china are hitting each other with tariffs. just hours ago the u.s. imposed a 10% tax on $200 billion in chinese goods. this round hits thousands of consumer goods like furniture and electronics. china is retaliating with tariffs on $60 billion in u.s. exports. >>> iran is vowing deadly and unforgettable revenge after a terror attack at a military parade on saturday. authorities say gun men killed at least 29 people in the country's southwest. they have blamed multiple factions, including the u.s. and saudi arabia. the u.s. ambassador to the u.n. nikki haley denies the u.s. played a role. >>> japan's prime minister shinzo abe met with u.s. president trump sunday ahead of the u.n. general assembly. in remarks on japanese television, mr. abe said the two men discussed north korea and had constructive talks on trade. mr. trump has threatened a 25% tariff on japanese vehicles to reduce a trade deficit. >>> well, president trump's supreme court nominee bet kavanagh is now denying a new allegation of sexual misconduct, and the white house is standing by him,

u.s. and china.es xe yuma. 10%s forecasting a further to 15% decline for emi equities. they already dropped 8% over the past 12 months. em countries are continuing to demonstrate agility --for jody from argentina. the government technology and they will fall into a recession this year and next. sustained growth also took a heat. goldman cutting its view on indian stocks on expectation the economy will face headwinds. jpmorgan going against the grain, saying buy em and cut u.s. stocks, warning we will lose our edge after this year's sugar high. oxford economics also calling for an inflection point here, as the dollar's fate is determined. oxford economics see the key is chinese stimulus, with real estate and heavy indicators 22 support for global growth. lastly we cannot overlook the impact of a trade spat on supply chains. that could see southeast asia capitalizing companies reconsidering business in the u.s. and china. found abouturvey one third of more than 430 american companies have or are consid

u.s. offers new trade talks with china. the feds see u.s. growth but also plans trump's tariff war is starting to hurt at home. devicesviews, two new and a third will attract a broader audience. u.s.t's get started with major averages and how they finished the wednesday session. picture.mixed we had optimism over potential trade talks with china, but at the same time, a tech slump and semiconductors taking a hit. the dow raising by 0.1%. financials and tech weighing on the stock. goldman sachs downgrading a few semiconductor companies on industry concerns. bute debuting products, launch since 2015. the nasdaq down 0.2%. let's see how this goes through the asians session. sophie kamaruddin is taking a look. sophie: with that tech decline likely overshadowing optimism, asians stocks set to continue their free fall after a 10 day slump. on the data docket, 7:50 a.m. hong kong time, slashed core machine orders. we do have the indian financial markets closed, so we will not get much reaction to the slowing read we got for august. aussie unemploym

u.s.-china trade war is only going to intensify. this is bloomberg. ♪ haidi: we are counting down to the open of trading here in sydney. how the future session is shaping up at the moment. nursing seeing a little bit of optimism coming through, about .1%. we still have south korean markets, so still and incomplete trading session setting up in asia today. shery: you're watching "bloomberg daybreak: australia." that's dive back into the u.s. market close, stocks edge lower -- sarahd meeting joins us now. the markets struggle for direction in the beginning but then we ended the session lower. the nasdaq was a little higher but the s&p 500 down or a third session. what actually drove the markets today? google, we aree, still calling them all tech stocks but it seems like we are in wait and see mode. we saw the s&p and the dow fluctuating throughout the day. people are focusing on the fed decision tomorrow. a rate hike is pretty much a done deal but people want to know what the commentary is going to be like going forward. what does it

u.s. andbetween the china, trade volumes between the u.s. y diminish over time but we were just reallocate to other places. they may be the second-best alternative, it may cost more, but the effect on gdp is modest. if it is a more broad-based anti-trade, it is harder to hide in that world. you cannot reallocate trade flows to second-best alternatives. just said,h what was something that will gradually build over time, probably find now given the fiscal stimulus we are receiving but i think this is a shift in the relationship between the u.s. and china, and i don't think it is going away anytime soon. david: that seems to be the case. we spoke to kevin hassett and we had to press him. he said there would be some affect on gdp growth. >> i think it would have some affect, precisely, it would depend on whether we go all the way or not. the idea that gdp growth is north of three, maybe even four in the third quarter, that would still definitely be true. that all the way, another of the 250 on top billion. have they built and a cushion because of

u.s.-china trade tensions. president trump wants to go ahead with tariffs on $200 billion of chinese goods, and the wall street journal reports china may turn this down to restart talks. joining us is bernie kohn. are we seeing a game of bad cop, good cop when it comes to trump and mnuchin? bernie: you have hit it on the head. the question is are they tired of trump's pressure tactics? have they struck trade deals with mnuchin before, only to have it vetoed before? there are signals in both directions. either way it sets up a week in which officials that were due to come to washington for talks, it may not happen at all or may not produce much. haidi: do we know anything about the timing of when such tariffs would go into effect? bernie: that is our understanding. it has been reported monday, tuesday. we have reported it might be in the next few days. i had don't know any of that -- i don't know any of that is wrong. there are a number of wheels turning. one is whether the tariffs are at a point where you are pu

u.s. china partnership and rational trade relations the current situation has already ruined that there is no way to complete the promise now but we won't stop working hard to promote the house the development of china u.s. trade i think apple was exempt from a lot of those tariffs even though all their products are made in china when i was talking about the u.s. defense budget and that six hundred seventy four billion dollars it made me think of how national priorities work and how you decide to spend as a nation your your tax collection the government decides to spend their tax collection and i thought of about because six hundred seventy four billion dollars is more than medicare is about medicare and medicaid combined a little bit less but i looked at the u.k. and the n.h.s. budget there is one hundred and twenty four point seven billion pounds their defense budget is thirty five billion so what i'm saying is that in the us imagine if they did the same as the u.k. three and a half times thei

u.s. and china. expecting some kind of announcement about u.s. tariffs on china. report that levels may be percent on the $200 billion of goods versus 25%. that chinaeports does not want to negotiate at this point and will retaliate with tariffs of its own. technology is being hard-hit in particular. the nasdaq and nasdaq 100 are both trading lower. we see more weakness in technology. internet retail has been particularly week. the nasdaq itself down 2% in the month of september. the s&p is back to negative for the month as we get back to the halfway point. some of the big losers here within the nasdaq include jd.com. china tech again down 6%. morgan stanley cutting down price on the stock to $25. that is the lowest on the street. amazon.com, as we talked about earlier, third parties allegedly paid employees to \ reveal inside info in china. amazon is looking into a potentially happened. tesla we are watching after the saudi wealth fund had invested $1 billion into a rival electric car company called lucid. watching that situation. in the meantime, we are watching

on the other side china's imports from the u.s. last year totaled one hundred twenty nine billion dollars china responded to the u.s. terror of spy also imposing duties on fifty billion dollars worth of u.s. goods in the summer and now it's adding tariffs to a further sixty billion dollars worth. the war of words continues to here's what u.s. secretary of state mike pump aoe had to say about the trade war in a t.v. interview. we know this much of the trade war by china against the united states has been going on for years. here's what's different in this administration to the extent one wants to call this a trade war we are determined to win it. china's leadership for its part accuses the united states of bullying with no sign of a let up in the tit for tat spat economists say the real losers in this trade battle could ultimately be the consumers in both countries of wheat beer in the approved manner but for some there's a bitter aftertaste in the knowledge that the company that made the robot has been sold to a chinese firm how com

u.s. and china trade war keeps up. ospects for success. ♪ ramy: welcome back, this is daybreak asia. haidi: the trade war intensifies in the coming hours. the u.s. and china hit each other with their biggest round of tariffs yet. duties on $200 billion worth of chinese goods. china has said it will retaliate in kind. let's talk all about this with jerod munchen from the university of sydney's u.s. senator. -- center. last week we had markets kind of sanguine throughout the course of the week thinking this is as bad as it gets. the chinesekend pour cold water over any potential for a last-minute circuit breaker. >> i think part of the market response was because of the u.s. went with 10% initially rather than the 25% that perhaps was anticipated. as you say, the chinese have made clear over the weekend there were no plans for any near-term negotiations. most people are looking for the midterm u.s. elections as a hurdle to get over before any meaningful talks begin. the broader movement remains there is little prospect of

does china retaliate? are u.s. companies ready for it? china will retaliate, no question. e currency depreciate. they do not have enough goods that they can tax to compensate. they're going to make it difficult for u.s. companies to do business in china. what that means, a lot of them have made decisions to build up inventory ahead of time. if this were to persist for a long time, supply chains would be interrupted. do you think it will last for a long time? will this escalate? offard reports a good shave .4% off world growth. vincent: that is what i am hearing. there is no telling how long this could go. i do not see the president backing off until after the midterm elections. if the house were to shift democratic, that might put more pressure on the president to alleviate the situation. we are going to be into this through november and then we shall see what the politics changes. scarlet: it has not played into the em turmoil story we have been tracking. it is a function of turkey, of tariffna, where is this issue looms larger in the background. as you look at em currenci

china u.s., last 30, 40 years, becomes such a big size there's no problem it is impossible there is big problems, it is unnatural. >> i'm optimistic because trade is one of those things where it is not a zero sum gain you and i can trade something and we can both win. so i am optimistic the two countries will sort this out and life will go on. >> for more, we are joined by vc markets head of strategy, and mike santoli good morning lori, we talked about your negative view on tech. and the nasdaq is on pace for the first monthly decline since march. is this going your way >> yeah. we described it to investors recently as we are walking across a pond in the winter, it is frozen and cracks are going to emerge. a lot of people think they're making it across the pond and make it. but there are cracks i am hearing it loudly in my ears. >> i can't get into specific names, semis has gotten caught up in trade issues and other questions on fundamental demand and whether or not that's eroding. that was a se

u.s.-china trade tensions.he one outperform or among the broader market are these construction stocks. the infrastructure stocks in south korea have really outperformed the broader market if you compare it to the index in blue. ever since april, that april summit, we have seen this sector outperform by 28%. it has come down a bit but now that we are seeing more optimism , meeting for one more time. this is a standout when it comes to the south korean market and one to watch out for but it could be pretty choppy in the next three days. david: thank you. coming up, base metals plunging as the u.s.-china trade war escalates. we will talk about that specific pocket of the market next. this is bloomberg. ♪ rishaad: this is bloomberg markets in hong kong. david: here is your latest business flash. let's have a look at the chinese hot pot. they have raised $963 million after pricing its ipo for hong kong close to the top end. more than 344 million shares. stanley,es morgan chinese investment firm. billionto the near $

u.s. bound exports in the summer china responded to u.s. tariffs by imposing judi's on some fifty billion dollars worth of u.s. goods and now it's retaliated against. by adding judi's to a further sixty billion dollars of u.s. goods but if the u.s. ups the ante again china doesn't have much room to move. meanwhile the war of words has also escalated he is what u.s. secretary of state mike pump aoe had to say about the trade war when he appeared on u.s. television on sunday. we know this much the trade war by china against the united states has been going on for years. here's what's different in this administration to the extent one wants to call this a trade war we are determined to win it china for its part accuses the united states of bullying with no sign of a lit up in the tit for tat dispute economists say the real losers in this trade battle are likely to be consumers in both countries. now for more let's cross over to new york and our financial correspondent yes quarter yes as u.s. china terrorists kick in markets in europe and asia

u.s.-china green fund. created under very different circumstances it's that under the obama administration. china has been doubling down. what does this mean for the investment landscape of the u.s. and china? >> let me say a little bit about what the u.s.-china green fund is doing. it is a cross-border fund established in october of 2016 to address environmental problems in china. our focus is how do we clean out and improve the environment in china? the focus has been on two parts. initially, we created a private equity firm in china that does investments in technologies and companies that do not necessarily look green on the surface. it is the underlining strategy as we invest in companies that have deep access in environmental markets in china. building management companies, distribution companies, sales companies, so we have the ability to understand what the markets are in china, to understand how to get access to the markets in china. the second phase is to invest in technology companies in the u.s. t

u.s. and china. haslinda: is it possible that the u.s. unity rather than a threat, as the u.s. moves away from china? both are bringing opportunities and challenges to us, but more opportunities and opportunities and challenges. it has forced us to balance our trade with other countries. we are not adversaries with anyone. them, andus, we need we cooperate on an equal footing. haslinda: how concerned are you that trumps tariffs would now be focused on vietnam, given that it trump himself has said that after china, he would be looking to the rest of the trading partners in asia? >> last time i told trump that i agreed with him, that we need to trade. our that what we shipped to the u.s. is actually benefiting american buyers and investment inflows from the u.s. to vietnam is also very positive. vietnam on this are exploring ways to boost its growth.and it has artie talked about establishing trade deals upon from the 12 deals it already has today. shery: and of course, coming as are seeing more trade tensions between the u.s. and china. has

u.s. and china, and nafta. impact to the the u.s. concerns -- has been concern within the red state, like soybeans. but you don't see an impact to u.s. economic growth? >> not too much right now. we saw 3% in the second half of the year. then trends go back to 2.5% next year. repatriation,rate also share buybacks, a record of over $700 billion in the equity markets. the effects of the u.s. economy are very minimal right now. juliette: do we see a more sanguine president trump come november? joyce: it is very cyclical for it depends on -- what the level of victory is. if democrats come into the house, they are more anti-trade. i don't think this gets rid of the trade tensions. jpmorgan has a forecast built on technicals. we could see another global recession by 2020. that two of impact is jobs in the u.s. market and currencies? recession mayk of go up 50% or higher by 2020. it is around 17% right now. that is based on the deficit, which goes up to 5.5% of gdp next year, and we may have seen the high point of growth, and we are also at

our focus is on the u.s. chinarade relationship, but the reality is summit countries in asia will be impacted as this moves forward. dump goodsbegin to across the region that i cannot sell in the u.s.? will the u.s. and other companies begin to rethink where they put the supply chain? things are uncertain but my hope is that the disruption will lead to a better relationship between china and the united states. the complications when it comes to the diplomatic relationship are getting more interesting. this diplomacy of disruption. to think that takes into account the kind of risk it makes of the u.s. position in asia, and given at a time when washington is looking for help from china, russia, japan, when it comes to the north korea issue. and we have beijing and moscow getting closer. signifieshe trade war a lack of appreciation for the security and diplomatic inflammations -- implications in the meantime? curtis: some of those questions are best posed to the trump administration. so many of these issues are connec

u.s. can do you know on the truck and in ministration you do even more. china can further cut off access to u.s. corporations in china. they can increase their tariffs by a higher percentage than what the u.s. did but the real the real threat here is that cut off rare earth elements and supplies used in u.s. weapons systems still phones and no i i think that's the big retaliatory threat at the moment miche actually and as usual thanks for being on the kaiser report pleasurably back on macs you've got to do this again looking forward to it well that's going to do it for this edition of the kaiser report with me max kaiser and stacey everett i think i guess miss shedd luckovich talk dot com if you want to catch us on twitter it's guy's report until next time by l. . tell him to imagine decades of to the war a nazi don't you it was still active. in the nineteen seventies cretonne had as the cheer of its bowed a man convicted of mesmo and slavery and auschwitz the german company good until it developed through the divide a drug that was promoted as completely safe

u.s. and china as well. or what could be a protracted and bruising trade war, beijing morning -- warning tariffs are blocking new talks. tom, this beijing waiting for the u.s. midterms before re-engaging? in the meantime, is this just a war of attrition now? the view, certainly increasingly in beijing is they will not be any traction on the negotiations around trade until after the midterms. that is one reason beijing pulled out of these proposed talks that were lined up for this week. the chinesee to, are also building up their defenses. they are planning additional stimulus to try to offset some of the pain. of course trump has said he would hit back with additional tariffs on another $267 billion worth of chinese goods should china retaliate, which it has done on $60 billion of u.s. goods. it looks like both sides are becoming more entrenched. we have heard from bloomberg economics, writing, for the moment the advantages with the u.s., largely as a result of the tax cut fueling pickup in u.s. equities. but

u.s. and china.iven pakistan's situation, both countries are of crucial diplomatic performance -- importance. genie: china's most favorite -- famous actress has been missing for two months now. >> she is china's most famous actress and international star as well. she has not been seen for two months. nobody knows where she is. before been embroiled -- her disappearance she became embroiled in a public scandal about underreporting her income tax. many fears she has been disappeared by the communist party. companies and brands have distanced themselves from the most bankable star in china. has deleted fiance photos or dimensions of her on his social media page. many believe she had become too famous and influential for the communist party. she has legions of fans and she is very outspoken. this is a case of entertainment becoming too dangerous for politics. genie: in the united states there is a me too related scandal. tell us about that. books new york review of is a biweekly magazine discussing liter

u.s. chinans are front and center. few people know more about this then kevin rudd, who was prime minister of australia. he is now the president of the asia society policy and institute. always great to have you here. let's start with the chinese reaction to this imposition of 10% tariffs so far. we have heard from the premier. overnight he said they did not want to weaponize the yuan. go down thel never path of stimulating exports by devalue waiting its currency. david: you would never question someone's honesty, but do you believe him? he may mean it but how long can they stick with it? kevin: if you look at what has happened to the yuan in the last six months, its evaluation against the u.s. dollar and uncrossed trades has come down. the extent that it fully compensates for the additional impact on the cost of chinese goods on the market as a result of u.s. tariff increases. but it will remain, effectively, not declared, as an element of ,he chinese policy arsenal apart from the retaliatory m

is trying to sort china's influence the u.s. has seen china and has officially publicly said that they see china as a competitive threat. economically as well as politically and and so this is basically an expected move in this framework and i would say that you know the specifics of whether you know it's a tit for tat on the media side to sort of irrelevant because in the past the u.s. was trying to bring china into the fold and make china more american so to speak and. basically overlook various differences because they realize that china is simply a country that was developing and had to play catch up in a lot it areas and so. we couldn't expect china to have the same exact standards as a lot of western countries and so we were a lot giving that leeway. these moves these days show that it's a completely different attitude now so you think with foreign. trade now becoming a particularly unseemly battle but now we are doing is of trying to be on the same page between the six in china that's now out the window as far as you see.

u.s. aes. items supposed to be hit by a 25% like bng were li will face 8% tariffs but china said if the u.s. raises taxes to 25% as the white house promised then china will match the rates. the listlu incs small aircraft drug ingredients, wheat and lng. the government explained the move this way. this is a forced response to u.s. uni lateralismnd trade protectionism. china says they hope the u.s. will stop the trade friction. there has been speculation that the move by president trump would would kill off plab planned negotiations in washington the man supposed to go was the vice premiere. vuhu. he is the d point personling with the u.s. on trade. however there is a widespread feeling the latest decision by president trump has made it politically difficult for him to vis with the u.s. treasury secretary because thereot coulde r failure. the "wall street journal" ispo ing the chinese downgrade the delegation by sending the vice commerce minority who visited d.c. a few weeks ago. >>> a that trade war heats up china's holdings of u.s. treasuries cooled off falling to a 6-month low in july. accor

u.s.-china trade since president trump got elected. is it going to go on a long time? oth sides are digging in and investors are saying this could go on much longer. china pulled out of talks that were planned saying they were not going to continue to negotiate. we saw tariffs go in last night. 25% in januaryto and there is a threat of a billion which would encompass all chinese imports. david: they have got the market's attention. they have got the market's attention. thank you. still ahead, my interview with john hickenlooper. the democrat discusses trade, the economy, and his white house ambitions. this is "bloomberg." ♪ this isn't just any moving day. this is moving day with the best in-home wifi experience and millions of wifi hotspots to help you stay connected. and this is moving day with reliable service appointments in a two-hour window so you're up and running in no time. show me decorating shows. this is staying connected with xfinity to make moving... simple. easy. awesome. stay connected while you move with the best wifi experience and two-hour appointment

lots of exposure to china within that index. uncertainty around the u.s. and china hitting u.s.d emerging-market stocks. look at this chart. in blue, the s&p 500. white, the em index. 9% on the0 up about year as investors will pass the trade war concerns. that em down for a host of reasons, but part of it is china. lots of chinese companies within this index. exploit 5%, having to do with trade war fears. lisa: thank you. emerging pick up on markets. the bond market has been showing something different, showing a pretty big recovery in emerging markets, in particular, high-yield bonds of developing nations. junky, the emerging market bond yields so the biggest weekly drop in two years, coming from argentina, investors from blackstone and others saying we think there is opportunity here. and turkey today with a big gaining least the lira about 2.5% as there are talks u.s. pastor the being held by the country, there are talks to release him, possibly easing tensions. wholesale recovery, at least from the credit side, remains. >> bowl markets long on the tooth. all the hullabaloo i

china like the u.s. hurt long-term, hurt a little bit short term but china like the u.s.'s big enclosed and has policy options. what i am worried about our number of the countries around china that are focused on part of the supply chain and also japan. both are getting hit from the u.s.-china problem and the mexico auto problem. the potential for the trade war problems worsedm places like indonesia israel. -- is real. give me your outlook for world growth and inflation and given the cacophony of events we just discussed. adam: you travel seven yards forward after you hit the brakes. the u.s. and the world economy are going to do ok through most of 2019. not as well as it would have without the problems, certainly not as well as it would have without the trade problems. where momentum will carry us forward. so we go back to anna's questions and your questions about the politics, when duke people joined it up if it is going to be another six or 12 months of good growth before we anna: the effects. -- befor

u.s. has play with them china does. k at cost, meaning when president tariffs, hes imposing costs on u.s. manufacturers and consumers. i would not look at that asymmetry in trading conclude the u.s. has more leverage. both sides have a lot to lose by weting these into play but have got to go down that path before we come to that conclusion. kathleen: a quick follow-up because you also say it is positive that president trump nice things about president xi. said nice things about shinzo abe and today he is talking about tariffs against japan. him credit ande i give the chinese a creditor. neither side -- the chinese credit. neither side is trying to turn it into a blanket condemnation. they are both being constrained of what they are doing and keeping it just to the trade remarks and that tells me we are not going to see broad boycotts of u.s. goods or protests or something of that nature. down, lesss we count than four hours note to $200 billion worth of terrace, it is nice to hear the glass maybe half-full. our discussio

u.s. and china.uss with guests throughout the week and here is in a sampling of those interviews starting with the jpmorgan asia pacific chairman. >> there is a lot of unknowns in you this environment, how are are you placed and how are you you making business decisions amongst all of this escalation of the trade dispute? of the trade dispute? >> the last two days, i was beginning to talk to a lot of people. i am less concerned about the direct impact of the recent announcement, the announcement a few hours ago. it is more the impact on sentiment, investors confidence, and so the second derivative is is what we will have to track a bit more closely. right now in this event we have over 100 cfo treasurers trying to gauge what is happening, it is important. there is a path that we have to do in terms of going through discussion. i do not think it will be resolved in the short term. there is no silver bullet. we just make sure we have a roadmap with specific milestones to be achieved in both parties are

china upped their total tariff products to pretty much everything the u.s. send them. about 130 billion dollars. will impact china carried they seem to be willing to put up with it for the time being. gdp to one ofheir 5% if the president him -- 1.5 if the president imposes additional tariffs. >> the offshore yuan has increased gains. a china will never go down path in stimulating exports by devaluation its currency. >> did china's premier offer any concessions to the u.s. in his speech? >> there were a couple of nods to the administration in this speech. talkad the chinese premier about the need to crack down on intellectual property violations, saying they will be dealt with strictly, saying foreign firms in china would face a level playing field and really, the key takeaway, saying the yuan would not be devaluing. saying that is being used to boost chinese exports is not true. saying devaluing the currency would be more painful than not. >> eu leaders are meeting in salzburg ahead of a potential brexit summit in november. time is running out. there are issues to be r

it's even before major economic damage has taken place she told the financial times that the u.s. china tit for tat tussle could deliver a quote shock to emerging markets but also caution that she does not yet see any signs of specific contagion problems in nations including turkey mr gard also made news on a personal career note batting away suggestions that she.

u.s. trade spat with china heating up.sident donald trump threatening to impose tariffs on an additional $200 billion of chinese goods. china, ready to retaliate. >> earlier this morning, president trump tweeted tariffs have put the u.s. in a very strong bargaining position with billions of dollars and jobs flowing into the country and yet, cost increases have been unnoticeable. if countries will not make fair deals with us, there will be tariffs. this is one of several tweets, jonathan, the president has tweeted in recent days. >> what we are hearing from our sources is the chinese absolutely will not agree to have any more talks with the u.s. if these tariffs go forward, at least in the short term. there was invitation extended to china. we heard there was goodwill on the china side to engage in the fifth round of talks since june -- since may, but if these tariffs go forward, we are hearing china will not engage and again, we will be stuck in the standstill situation with china, expected to retaliate immediately. >> pre

u.s. will take higher tariffs in china. ijing caught off plans for talks in washington and said have them under the threat of terrorist by the u.s.. we'll prices are higher this morning after donald trump's demands that opec take action to got a tepidrices response. opec said they would only do it if customers respect -- requested it. saudi arabia, russia, and their allies signal less urgency and stops short of promising specific extra volumes of crude. >> we can bring an additional 1.5 million barrels. we have said that. we could start in june and the rest subject to demand. brett kavanaugh's nomination to the supreme court is at risk after his sexual misconduct allegations have emerged. new yorker magazine has reported that senate democrats are investigating an incident that allegedly took waster his college years at yell. it comes as the senate judiciary committee prepares to hear testimony from a woman claiming he assaulted her in high school. the white house issued a statement saying it stands fully behind his nominatio

u.s.-china relationship and boeing is at the table when it comes to the u.s. ina discussing trade. what are your thoughts on multilateralism? is it going away and is that a danger? >> the only way to deal effectively with things like international trade, with international financial flows, with challenges like migration, throughchange, is international cooperation. through multilateralism. this is how we got how we are today after many collisions. and the way to get it back on -- feet clearly is to through more cooperation and multilateralism. some countries may feel frustrated, the processes are a little slow, but the problem is that if you do not expand the ownership of these solutions, then you do not get a solution that last for long. bilateral, unilateral solutions clearly are faster. they look more enticing, more attractive. asthe end, they are not positive. they are not as -- they do not have the same staying affect that something multilateral and, even if it takes longer to negotiate. julie: i wanted to imagine a headline we are getting from dow jones,

china can further cut off access to u.s. corporations in china. they can increase their tariffs by a higher percentage than what the u.s. did but the real the real threat here is that cut off rare earth elements and supplies used in u.s. weapons systems glassed cellphones and the like i think that's the big retaliatory threat at the moment miss actually and as usual thanks for being on the kaiser report pleasurably back on macs we got to do this again looking forward to it well that's going to do it for this edition of the kaiser report with me max kaiser and stacey or at last i guess miss shedd luck and talk dot com if you want to catch us on twitter it's guys report until next time by l. . join me everything on the alex salmond show and i'll be speaking to guest of the world of politics school business i'm showbusiness i'll see that. the thing you know we need to go back to invite more foreign forces out stuff so position that's also the position of the guy. that the. song goes in one piece even if there is a number of contingency they will have

u.s. is only about 16% of china's total exports. sed tariffs on europe, canada, mexico, brazil .nd a lot of countries in steel we are talking about doing the same thing in automobiles. , it is thecountries u.s. that is cracking the rules and this is going to give china a great opening to talk to those countries about closer trade relations. a lot of those countries are negotiating free-trade andements with each other the big danger is the u.s. is raising tariffs on a number of products, isolating itself from world markets while a lot of our trading partners are actually getting together. the negotiate -- the europeans just negotiated a deal with japan. that goes along with what is happening between the u.s. and china at this moment. david: we have heard from the president repeatedly that the united states really has the cards as our economy is robust and growing faster than a lot of the world. even in china, the growth faces slowing down. does the president have a point that he does have leverage against people like the chinese? rufu

we see china taking measures as reborn -- tax rebates, which is with the u.s. accuses china of. come from the trade war with the u.s.? >> first of all, china is in what we would describe as "ever it takes" mode. that is to assure that their economy remains strong. it has been a little soft. this is an insurance policy against these tariffs that washington seems set on imposing on china. that is a lose-lose strategy. but sometimes lose-lose strategies are chosen by country leaders. amanda: we have this dynamic going on of the effect of a weaker chinese economy on emerging markets. and now the emerging market turmoil feeding back into other economies. how much spillover do you fear ? i don't think this will be ultimately all that damaging. the u.s. dollar is likely to among the strongest, if not the strongest currencies in the world for a long time to come. will manage their currency with respect to a basket of currencies, not just with respect to the dollar. and as long as u.s. and china economic relations can be at together,what hinged the emerging market economies will do fine.