it is suing its us joint—venture partner western digital four 8 us joint—venture partner western digitalfourdollars in damages for interfering in the sale of the memory chip division. toshiba will not allow western digital employees at its japanese plant to access employees at its japanese plant to a ccess a ny employees at its japanese plant to access any information relating to the companies‘ joint—venture. toshiba faced angry shareholders at the annual meeting on tuesday. the firm hasn‘t said exactly how much money it lost last fiscal year because it‘s watered at hasn‘t approved the figures. let‘s hear what some of the investors had to say. translation: i cannot believe how many times they postponed the results. it is a serious problem. translation: i want the company to rebuild even if it downsizes its business. toshiba chose a government led consortium as its preferred bidder and it was hoping to conclude before yesterday‘s meeting. are they running out of time? i asked leo lewis from the financial times what will happen to the government led deal. it is not dead in the water. they will

western digital has been a spanner in the works, deciding -- toshiba has a deal with western digitaly have threatened lawsuits to prevent the sale, so there are a lot of moving parts. this is a big, complicated -- haidi: this is a distraction and they should just sell to get out of the way? >> i think that the lawsuits are a distraction, but i'm not counsel to toshiba. toshiba's counsel has publicly said as much. western digital is just trying to get a leg up in the negotiations. i do believe they are trying to sell it. we are eager to see a deal done. haidi: for all of the government scandals plaguing toshiba, this is a broader japan inc. story, isn't it? policy? punitive actions? voting against directors? >> corporate governance needs to be improved. that is a comment upon shareholders to stand up this week. shareholders need to vote for better corporate governance. shareholders need to put forward proxies. corporate's need to understand they need to treat minorities better. employees need to stand up and somethingare doing wrong, it is better for the company and the long run to st

the other issue, as you mentioned, is western digital.already a partner with toshiba, in that they have invested in equipment together, but it's a rather small part of the overall memory chip business. but what western digital is concerned about is that the business might fall into the hands of a competitor. broadcom is also, still, at this point, a bidder for the business, although it's looking unlikely that they are going to win. one of western digital's objectives was to make sure that the chip business didn't fall into a competitor's hands. what western digital has done, very briefly, is file an injunction to try and stop the sale. at this point, our read is that bain capital and the consortium that it has created are probably pretty confident that it can overcome any legal challenges, and that's why they have emerged as the leading or preferred bidder for the chip unit. caroline: fascinating. of course, this one will run around how much the cash infusion is desperately needed by toshiba and how sad it will be to say goodbye to its ch

western digital has been a bit player.purchase by a rival, but it whaty is coming down to the equity breakdown will be and who will do the financing. these things take time. mainly this was about toshiba a self-imposed deadline by today, which is in fact the shareholders meeting for the company. realistically, i think we will get a final agreement in the july through set timber timeframe, and that really isn't going to affect things all that much because ultimately the are deadline for toshiba is to close the deal and get the funds into its bank account to bolster its balance sheet by the end of march of the current fiscal year. once it does that, he can state listed on the tokyo stock exchange. >> western digital and kkr have made that new bid. so what are the chances for these rivals? >> i would say the chances are slim. ndrst, western digital a kkr, it is about financial firepower. i don't know if they are able to essentially come up with a lot of cash, but more critically, ofy don't have the backing the innovation netw

but it now faces a legal obstacle because of this injunction filed by western digital. filed for arbitration, a process that could take, i understand, up to two years, but toshiba wants to make this sale quickly, get it over and done with as soon quickly, get it over and done with as soon as quickly, get it over and done with as soon as possible, because it wa nts to as soon as possible, because it wants to pay off it's debt to the united states, so it does not want to go through this process, but this looks like another big barrier to them going out and selling that memory division. a story that will run and run, rupert, for now, thank you very much, rupert wingfield—hayes in tokyo for you. staying injapan, the stock market fell in pretty volatile trade after that weak us inflation data overshadowed the rise in interest rates by the federal reserve. also worries over those reports that us president donald trump is being investigated for possible obstruction of justice. in hong kong, authorities raised its base rate by 25 basis points — following that lead set by the us

western digital up 3%. that and others continue to grow or at some point correct? >> we think they continue to grow because it is the place to be in this market. we had a flattening of the yield curve, concern about economic growth, concern about trump policies. of value stocks lagged here the growth stocks have done well. growth stocks or those that depend on secular growth story are technology stocks. we've got great earnings this year. good earnings we're expecting next year. so we think investors stay with tech stocks, western digital being one of them. liz: okay. if we keep that up there. there is a whole bunch of etfs and stocks david is recommending. what is your projection for rate hikes? we had two fed chiefs going in opposite directions about whether they should hike rates. >> we think the next move for the fed is to start tapering the balance sheet, to start unwinding the balance sheet. all the bonds and securities they bought, that they start to reduce the amount of assets they're holding. part

. >>> teva stock has dropped sharply because of delays in acquisitions >>> western digital reportedlyonsidering raising its offer for toshiba's chip unit to more than $18 billion. western digital's ceo told toshiba's president the company plans to join a consortium that includes kkr and a development bank of japan to compete with a rival off >>> amazon started hiring people to sell cars online in europe. a german straytrade magazine sah company will run the business out of luxembourg. >>> and shares of diebold could rise 25% to 40% over the next two years. the atmmaker should be able to raise margins and earnings thanks to cost synergies and the merger last year. >>> prime minister theresa may faces a showdown today as her political future hangs in the balance. all the fallout from that extraordinary vote last week and much more coming up on "worldwide exchange. these days families want to be connected 24/7. that's why at comcast, we're always working to make our services more reliable. with technology that can update itself. and advanced fiber network infrastructure. new, more reliab

i think western digital is going to get cut in, in the end, because i believe they can get an injunctionock anybody else, because of their relationship that precedes this whole fracus so stick with western digital. now they can earn that big money and still pay out and not have to worry about the balance sheet because, wow, they will just buy a little bit, i believe, and get everything they need let's go to alex in pennsylvania alex >> caller: hey, jim, thanks for everything you do. >> thank you >> caller: question for you. a few months ago, i think in march, you recommended a defense stock, and it's jumped 40% since that time. >> hold it soon after we recommended it, everybody did a secondary. stock dropped from 8 to 7 and right back up to 10, 11. here we go i think you stay on cratos is it my favorite? general dynamics is still my favorite, but kratos is tifk amd and inindividualia is going to go higher, i think. but buy some, and then wait and buy more now much more "mad money" ahead. a stock climbing, can red hat connect? i have the stop brass. and suntrust, one of the fastest grower

. >>> shares of western digital slipping after they issued revenue guidance that fell short of estimatesestern digital said it teamed up with kkr to resubmit a bit for toshiba's chip unit. >>> ibm is building a block chain base platform for seven banks including hsbc and deutsche bank it will simplify transaction force small and medium sized companies. >>> nvidia unveiling a joint venture with volvo and auto liv. the partnership is part of an effort to develop software systems for self-driving cars. >>> l'oreal and natura signing a contract for the body shop sale. the company announced talks to sell the body shop for 1$1.1 billion. >>> keep your eye on shares of alphabet or google a news conference will be held at 6:00 a.m. eastern sources say she will announce a verdict on the big anti trust case against the company eu regulators are expected to impose a record fine on google over its shopping services this was a long time coming. could be as much as $1 billion >>> on wall street, the consumer and the fed are front and center s&p case-shiller home price index at 9:00 a.m., followed by t

time now for a quick break think around when we get back to cuba and western digital are in a fight over memory without a break here are the numbers. all in stone calling all the going to deal home. we're going to be your hopes for the two thousand and seventeen confederations cup rolling. we're going to be visiting the host cities or. moscow. cool cool so i think pretty much covering every topic the fans need to know about the head of the match so don't forget. it's going to be full of. fix travel destinations must be nice to live for. tourists disrupt the city's economic and social life. for us on this. sun us. as we. try not to collapse. of. the will probably go up on the coffee cup at home in the bushes up the on saabs knock up the supposed to mean a. lot of. people feel. if she's old enough to post this is a drop in. the law. that will make. you believe though so those of you that do. you know much. actually the most the duke somebody who took a barbecue what about the drug. dealers i don't know that might come up in a bottle or do something but they said ok so. what do you investig

in the last couple of hours toshiba announced that it is suing western digital. that western has been trying to derail essentially it's plans to sell off its memory chip business. western digital said it doesn't want the business to go to the consortium that toshiba has in mind, it would be not be in its interests and toshiba are keen to push the deal through and today it has announced it will sue them with costs linked to this deal not going through. you mention the huge amount of money that it owes after the collapse of its nuclear business and that's why its nuclear business and that's why it is so keen to push the deal through as soon as possible. simon, thank you for that. let's see how the markets have been getting on. asian shares slumped overnight following the feeling on wall street. the delay to the us healthcare reform vote is increasing traders concerns that president trump won't be able to push through all the tax reforms, deregulation, and infrastructure spending that they had hoped for and that many had already priced in. the european markets all c

but western digital contends its japanese partner has no right to sell the memory chip unit without his consent to sheba is already in big trouble losses have mounted in recent years and its u.s. nuclear unit westinghouse filed for bankruptcy protection in march in two thousand and fifteen toshiba acknowledged it had been systematically falsifying its books since two thousand and eight trying to meet overly ambitious targets. and many conservatives in america will tell you that our neighbor to the north canada is soft it's a country that prides itself on liberal values universal health care and immigration policies that welcome refugees instead of turning them away one of us conservative however seems to think canada has some things right when it comes to immigration you may be surprised to hear that man is president donald trump with more on this artist out some highlights joins us from toronto alex trump talks about building the wall deporting people and what does that have to do with canadian immigration policies though. also interesting if you listened to president donald trump on a

time now for a quick break think around when we get back to cuba and western digital are in a fight over memory without a break here are the numbers. i see now it's. still. you know. we might need. yes but that's why i don't see him going to movies. close to the. magnificent anyway some place from which is much more food than say me say mushroom people do a really nice and friendly and i might the foreigners feel welcome in russia it's all very interesting. because the food was dusty it's not very enjoyable place to be in very friendly pate told my son come to tell me the number one letter to be so may surprise me some basic going through the punch bowl station also i mean most people the last year were very bad at the time here which is no small thing to still. value well the couple. had a bit. of a lot of. our own so no calling families will be back tomorrow so it's all good good balls are going to be trying to. yahoo. or. google is the dog or the one school and the people here living your creator does lego book. that giant. asian online retail ali baba is set to invest one billion dol

time now for a quick break the stick around when we get back to sheba and western digital are in a fight over memory without a break here are the numbers the cousins out. of an opiate crisis in america killing thousands of people every month or so you've got people walking around the no two trying to get on don't go. far from around america. i mean dr bob it's quite shocking but it saves the pharmaceutical companies want to get paid themselves huge bonuses executive bonuses are what matter not people's health get that much and they go there's a slightly different approach to people's well being they think care is maybe part of the package of human rights and of course they're right about that but the culture is richer than steve. here's what people have been saying about rejected in the sense that it's full on awesome the only show i go out of my way to launch you know what it is that really packs a punch oh yeah it is the john oliver of r t america is doing the same we are apparently better than. you see people you've never heard of low down to the next president of the world bank so ve

time now for a quick break the stick around when we get back to sheba and western digital are in a fight over memory that they got to break here are the numbers that. would you have for breakfast yesterday why would you put those for. your wife or. what's your biggest fear. of a big moment a right when the last time you read a book board you say if you ever met the pope who's the best quarterback. that's one topic that doesn't belong in the future now i need to do due to. more. global blogs selling you on the idea that dropping bombs brings police to the chicken hawks forcing you to fight the battles they don't. produce offspring to tell you that will be gossip and tabloid bias file for the most important day. off the bad guys and tell me you are not cool enough to buy their product. all the hawks that we along with our audience will watch. that giant of asian online retail ali baba is set to invest one billion dollars in e-commerce company the value of the deal between the chinese e-commerce leader with the singapore based startup is around three point one five billion dollars it was no

liz: you like western digital.n digital to me is a very volatile stock is it not. >> i don't think so. it's a cheap stock right now. think about what they do. they're in tune with data storage. any way data needs to be stored, whether pictures on your phone or whatever is on your screen right now, everybody needs to story data. that will increase four times the next four years. liz: isn't that commoditized that industry a little bit? >> a little bit. think of what they're doing now. they're in a joint venture with toshiba. that is what is in play. what happens to toshiba's part. they have to sell. western digital in the driver's seat with purchase of sandisk. they can make the decision who the part in will be and how much money they make. great company. liz: broad question on the market before we hear the bell ring. s&p turning negative. the dow turning negative. doesn't seem making a good go of it right now. what is the market sentiment going into the summer? yesterday was first day of summer. >> market sentiment

western digital, they're not going to get that money. western digital wants to be in on that.isy i think this is one of the uglier ideas i think that toshiba screwed up here i think that they just screwed up like they've screwed up everything else and they should have made a deal with western digital because this is going to make it so they don't get the money from that consortium they're just not we're going to be hearing about this forever it was such a dumb move. who is running that place? who is running toshiba, david? >> well, i don't know, but you raised a key point now, listen, the japanese government would prefer to have it stay in country given intellectual property and a lot of other things. your point is a valid one, salient one here if it was enough to say to broadcom to say, you know what, we're not going to move ahead at this point you have to wonder if the consortium, sophisticated buyers, are also going to feel that way we'll see. we have to monitor the western digital lawsuit here in california in -- i mean, in the states very closely to see how this progresse

japanese technology giant toshiba is suing western digital for interfering with ale of its memory chip is this. ofhiba is claiming damages ¥120 billion or almost 100 billion euros to compensate for the losses that it nuclear business. western digital objects to the sale and is seeking an injunction to stop any sale it does not agree to. some 200,000 people work as fruit pickers in france every summer. it is welcome work in regions where unemployment is often above the national average. but this year, they are having difficulty finding workers. france's supermarkets shelves are overflowing with strawberries. they come from fields like these where laborers toil away on a daily basis to meet consumer demands. these workers are guaranteed the french minimum wage. it currently stands at 1150 euros per month. gather more than 1000 kilograms of crude, they are paid $.86 for each extra kilo. producers are struggling to find enough strawberry pickers this year. one of the reasons is the difficult working conditions. >> to protect my back and legs because we have to walk a lot in the field. arei

western digital rejects the sale and is seeking an injunction in the united states to stop any deal thatoes not agree to. rochelle: let's head to india where donald trump' property business iss taking a hit. stephen: that is rector of the new goods and services tax in india moves forward to saturday. ahead of that deadline, many companies have been discounting products to encourage consumers to spend, and that includes the half-built trump tower in mumbai. the larger group, trump's business party in the city,/$100,000 off the asking price in an effort to attract buyers before the tax changes come. the trump tower is the group of the flagship in india's business capital. three-bed apartments are selling for $1.5 million. rochelle: let's bring it back here in france. trouble recruiting summer workers this year. stephen: some 200,000 people work on fruit farms every summer picking fruit. often above the national average of 10% cured farmers say this year, though, are having difficulty finding workers and are resorting to bringing in staff from abroad. andrew hager has the story. france's su

i think western digital.at the valuation, everybody talks about the bubbles and everything else. this stock is not a bubble >> all right so, big question, are we buying pete's pitch >> are you familiar with that? do you know who that is? >> it is cool but he said go west young man, morgan stanley said a 120 price target. giddy up. >> if you have to look at buy wheat if it's a trend not a trade so you give eight couple days it's a buy they're up 32% it's up 32%. >> it's up 32% it could be home year data. >> i breathe a bit. >> you tell me. >> i'm with you. >> i'm a buyer >> wait. >> you said. >> interesting pete, there is high heat to a. rod. it would have been interesting >> i can bring it. >> all right the big question is did pete make you want to head to western tgital. goo cnbc's "fast money". we will reveal that after the break. [vo] when it comes to investing, looking from a fresh perspective can make all the difference. it can provide what we call an unlock: a realization that often reveals a better pat

a story we are watching, the massive legal spat between toshiba and western digital over the sale ofemory chip business is getting even more compensated. -- even more complicated. toshiba sent a letter to western digital saying it is moving assets from the joint venture back to the parent company after previously transferring them to a subsidiary in preparation for the sale. western digital is seeking to block the chip unit sale after it became clear that the operations may fall into the hands of competitors. coming up, after uber file -- fires an executive, we take a look at waymo. a reminder about our new interactive tv function. find it at tv on the bloomberg. you can watch us live. you can send our producers a message. you can ask me a question. you can play along with the charts we show you on air. this is for bloomberg subscribers only. check it out. this is bloomberg. ♪ ♪ emily: former hedge fund manager phil falcone was barred by the sec in 2012. now he is back and putting his money to work. he sits down with bloomberg's betty liu and discusses how private equity stacks

western digital can supply that, and, you know, in a growing economy, that's likely to be one of the stocks that can do pretty well. >> barry, you're looking at a growth of construction spending in this country. and therefore you say, ergo, you like united rentals, right? >> that's right. the economy, as your earlier guest was pointing out, is probably going to be okay. one of the areas we need to really take advantage of are companies that are involved with infrastructure or with, you know, the industrial area. united rentals is the largest rental. i was talking to a landscaper today, he says he never buys, he only rents. they meet the same criteria, being fairly cheap. the company is run fairly well, has a good balance sheet. it hasn't gone up a lot this year so maybe you're getting it a little cheaper than you might some other stocks right now. >> and we'll finish up with trinity industries. >> yes. trinity is a real, you know, great stock in terms of meeting the criteria that i've already talked about. but it's into railroads. it's into wind energy. it's into road construction. i

the problem is, any purchase by western digital would face major anti—trust concerns in america., and a private equity firm called silverlake are actually in the leading to buy this chip unit. toshiba chairs on the way up, which is unusual because technology stocks were falling in asia today of the back of a big fall in some of the value of the big tech names listed on the nasdaq, the likes of apple, microsoft and co. we will talk about that issue in a moment in more detail. the markets we re moment in more detail. the markets were fairly downbeat in asia this morning. that is the close on friday in the us. let's have a look in the europe right now. so much for investors to get their heads around. the ftse 100 investors to get their heads around. the ftse100 is down by a third represent, no surprise given the turmoil politically in the uk. the one booking the trend is in paris, doing well off the back of that strong result for emmanuel macron in the parliamentary elections on sunday. we will undertake that further soon in this programme. and samira hussain has the details about w

western digital has told the bbc that they have resubmitted their bid for toshiba's nand flash memorybe in region of $18bn which is the same as the one from a consortium backed by the japanese government, which toshiba last week announced as its preferred option. toshiba is under pressure to raise money following the huge losses it has incurred from its us nuclear unit. the us firm that supplied cladding used on london's grenfell tower says it has ended global sales of the product for use in high—rise blocks. arconic‘s shares closed down almost 6% in new york on monday. the company said it was discontinuing sales of reynobond pe for tower blocks due to "issues" identified by the fire which is believed to have killed at least 79 people. the japanese computer gaming giant nintendo has announced another re—release. this time it's set to bring the super nintendo entertainment system back to life. the original was launched in 1990 and sold 50m units worldwide. some analysts have suggested it's part of its marketing drive to increase sales of its latest console, the ninetendo switch. nissan

also reports that western digital has offered to buy a stake.ment has announced a stimulus package which will increase social welfare subsidies and take steps to deliver on president mood's promise to rake in a thousand public—sector jobs. the ruling democratic party holds only 40% of in the national assembly and will need the support of more than 30 opposition lawmakers. the secretary of energy rick perry said it will continue its commitment to —— he arrives in beijing where he could face many critics of us climate policy. —— to climate change policies even though they pulled out of paris. the voice control the speaker that can compete with amazon on alexa, unveiled by apple. this is apple ‘s new ipad pro which is 10.5 inches across. ios the leopard seen for the first time here and in it a few multitasking features, things to make it work more like a typical pc rather than a tablet. the first one, the ade can have multiple windows up at once. i can bbc website but i can also take in messages. i could be working on my messages as well as reading

toshiba climbing for a third day as it tussles with western digital.hat is happening in seoul. we have the kospi deepening the days losses, down about .33%, set for a third day of declines. energy stocks, the biggest drag, down 1.2%. cosmetics movers, we have a cosmetics maker contributing to the drop in terms of points. that perhaps could be related to some of the news out of south korea, reportedly looking to suspend the claimants of the u.s. thaad missile system. stocks with exposure to china such as amorepacific getting hit , given some of the lash out we have seen from china regarding the missile system. betty: thank you so much, sophie kamaruddin on all the factors playing into the asian markets. what about the european market? the big issue facing europe comes to a head on thursday as the european central bank tries to thread its policy needle between a strong economy, weaker inflation, and u.k. voters choosing between candidates promising a lot at a time when brexit makes it hard to deliver much of anything. bloomberg's global economics and pol

you guessed it, the americans, firstly from western digitalfor it, the americans, firstly from western digitaltern digitalfor $18 billion, which was soon followed by broadcom with $23 billion, then a bit from south korea and the biggest from taiwan, $27 billion us. what is extraordinary about all of this is that not one single one has come from a japanese corporation. in the old days, japanese companies would look after each other, by each other‘s shares and they'll each other‘s shares and they'll each other out but now that has gone. and i have it on very good authority that the japanese ministry of trade and industry has been frantically trying to put together a japanese bid and they have failed. and so they have come up with their own government backed bid but even that is being led by an american company, kkr, so what we can say for certain is, in the end, whoever gets control of toshiba's flash memory business, this is the end of the japan inc that we used to know. rupert wingfield—hayes in tokyo. in other news:, the us has raised concerns about china's access to artificial intelligence —

digital,em is western their joint venture partner, is grating problems because they have consent in theure agreement. they are demanding toshiba negotiate with them first. worry fortting toshiba to get the deal through, because of digital legal claims at the moment. betty: how much of a risk is that? how to -- how do you price in that litigation? mark: it is a real risk, they do have consent. what i think is going on, western digital is forcing, pushing, trying to get negotiating leverage to come to the table and get something out of this deal. the problem is, i do not think western digital really wants to buy toshiba. i do not think they can afford it. to belly is unlikely acquired by china anyway for various reasons. the chinese government would have to approve this deal. whereas the deal with the japanese government would not likely have many issues. i do not know. betty: what are they trying to get? mark: i do not know. i am guessing they want some small stake. they definitely will want to have some assurances that they are not going to be stealing their technology. i think those ar

western digital, all very interested.e the pricetag is quite pricey. more than 20 billion us dollars. the talk is then —— they may offer a lot. there have been concerns expressed about foxconn‘s bid. apple and amazon mightjoin forces with foxconn for a four this semi— conductor arm of the japanese conglomerate. the japanese is a bit to us giants plan to ship in the fund was a bit could be a triumphant effort that could buy the triumphant business of toshiba. the japanese industrial group is grappling with huge losses arising from its us nuclear business. the demand for flash memory chips used for long—time datastorage, smartphones and other devices is expected to increase on the back of a boom in data centres or technology companies, amazon, google and apple, in the age of artificial intelligence and the internet of things. that is what makes toshiba's chip business indeed very attractive to the big hitters in the industry so we to the big hitters in the industry so we will have to wait and see if a deal will be done by t

which is now bankrupt, but the sale of it has been delayed, in part because another us firm, western digitalto block the sale of the unit, and they operate toshiba's main chip plant, and it's been squabbling with over and it's been squabbling with over an auction that could see the chip business end up with a rival company. toshiba had been aiming to pick the preferred bidderfor the business by today, but it's unlikely to come to decision just yet, and according to reuters, toshiba will seek to reach a definitive agreement on its unit sale byjuly 28, and of course, due to all of this, its shares are trading low today. honestly, this saga is going on and on. thank you for the latest on that. delayed announcement yet again. also coming up: a good day for you if you live and travel within the european union. as of today, june 15th — so—called roaming charges for using mobile phones abroad are being outlawed by the eu after a decade—long battle between brussels and telecoms companies. eu mobile users will now be able to use their allowance of calls and data in any member state without incurring

it was somewhat misleading. >> i had western digital on "mad money."elt quite confident they'd block anything but toshiba's attitude is that western digital bought sandisk and there was no deal to make it so sandisk was exclusive buyer. >> toshiba needs to raise as much money as they can to sell -- to deal with the liability from westinghouse. >> the liability from westinghouse is hurting a lot of companies including chicago bridge and iron. i think you're right. i think the ceo of broadcom is a genius, he was trying to say listen we're interested in connectively. i think there's no way they're not in this after reading these articles. i think hocktan, i think he was saying i want connectivity and there's connectivity parts of toshiba. but this is going to be resolved in the next ten days. it's either $28 billion or 18. >> i don't know if it's 28. that's -- >> do you think apple -- i don't either. >> no. >> do you think alphabet is involved? >> not that i'm aware o. >> see, i think that broadcom, they need a p/e. the question -- >> well, broadcom can d

micron and western digital have flash. if western digital gets it, it goes to 100. it would be a. to pay more apparently although on the conference call, hock tan said he only wanted connectivity western digital could block it western digital gets it. it's just monster. monster. but they will have to buy, take a lot of debt and they need partners because they do not -- and the question is whether they need equities. don't get too excited. the stock gets hit on the equity and it flies because their balance sheet is not capable of buying an $18 billion purchase not after they bought san disk they come on "mad money" a like them very much but the balance sheet is not a thing of video. >> nvidia is up, amd and micron and others really the combination of tech and financials is making for a fairly nice morning. >> yes, and we had that combination on thursday and then we had obviously the break on friday but the financials continued. i want to be sure that people realize that now the tech stocks are up so much if you bought them friday or you bought them yesterday at the opening, those p

yesterday you see western digital up a touch a big dow chemical investor is calling for changes to the merger with dupont the "wall street journal" reports glenn view capital wants the company to scrap plans to break into three separate ups wunts t units once the merger is complete. >>> and u.p.s. plans to freeze pensions for 70,000 nonunion workers switching them to a 401(k) fund. >>> more stocks to watch, american airlines is testing new screening machines for carry-on bags the machines, which have similar technologies to ct scans, can measure a bag's density and map it in 3-d. this could aoone day allow pass bbe i passengers and gels in their bags >>> and dutch medical equipmentmaker philips announced a 1.9 billion euro takeover of spectranetics. philips is offering shareholders 38 cents and 50 cents a share. the deal is set to close in the third quarter of this year. >>> international paper will take a pretax charge in the second quarter to settle an antitrust suit clean products sued international paper and other container boardmakers in 2010 for alleged price fixing. >>> blue apr

toshiba falling after western digital after california courts blocked the sale of its chip unit. toshibawants to stop from transferring their joint venture in preparation for a sale. as aartners are at odds shiva tries to raise desperately needed cash to cover a multibillion dollar write-down from its disastrous foray into the nuclear power business. the fed says it intends to push ahead with its rate hike program, but warns week inflation may pose a problem. rise, and they indicated one more this year while setting up details on how they expect to shrink the fed balance sheet. janet yellen said unwinding could begin relatively soon if the economy continues to expand is expected. >> this morning's reading on the cpi showed weakness in the number of categories, and certainly something we will be closely monitoring in the months ahead. we are focused on making our policy decisions on the medium-term outlook and we will be looking carefully at incoming always, revising our outlook and policy plans as appropriate. the new zealand economy grew less than expected in the the rebound in

betty: what about western digital? will they get in the way of a steal at all?estern digital was wary of the toshiba memory chip unit going into the hands of broadcom. broadcom is out of the picture now. the question is whether toshiba will continue its efforts to block the deal. they have an injunction they have asked for. i think a hearing on that is in mid-july. anything can be worked out. presumably the buyers have agreed to go into final negotiations, have considered the legal risks to be not too huge. there are questions whether western digital will remain in the next or -- in the mix or not. yvonne: what about that should dismiss and -- the chip business and plans for restructuring? reed: chip business will lead a lot of restructuring going forward. this is a capital intensive enterprise. a question is whether private equity and state funds are willing to put money into a very expensive business. betty: reed yvonne: its 7:30 a.m. thursday in hong kong. 30 minutes away from asia's first major market open. a little bit clearer today than it has been. yvonne

that does not include western digital. they have been left out of this group.re seeking an injunction to block this toshiba chip sale. isthat semiconductor unit very prize, isn't it? westernhearing about digital upping their bid, $18 .illion or more for that unit this is the world's second-largest producer of said, chips, and as you it continues between western digital. you can get a roundup of these stories you need to know in today's edition of daybreak. bloomberg subscribers go to dayb on their terminal. also customize your settings so you only get the news on industries and you care about. this is bloomberg. ♪ ." this is "daybreak asia >> it is time for a quick look at what is coming up. asia, i'mrg markets: looking at the markets, a bit of risk all sentiment spreading as we got the fed decision, a hawkish tone. rishaad: we knew it was going to happen. we were certain we were going to get this rate hike. whatext wall of worry is happens to the balance sheet of the federal reserve and when is the next rate hike? one more this year, that is the idea at t

toshiba seeks a permanent injunction against western digital.veloped --y has talking about memory they delivered earlier. this is email saying they're 120 billion yen. we will get more on that story and bring it to you. when it comes to rockstar central bankers, there aren't many that have the ability to move markets like mario draghi. have a look at this. this is the euro, and he's pushing it higher. is atoomberg euro index the highs level since 2015. look at the bottom of your screen, you will see that. you also see the bund market move aggressively as well. that's what rocks the market. , where on track quarterly gain in six years. he has shifted the dial in terms of what we can expect from the european central bank. the barriers to the upside of the euro are potentially getting busted and political risks are fading. this is what jpmorgan and rbc are saying. there are few resistance levels left before it levels off in a sustained way. it broke through 1.13. let's talk about some of the other big markets. let's check in on the u.s. markets. ye

-based western digital, is determined to stop the sale. injunction tourt prevent any deal that doesn't have its consent. sawuropean leaders, as we earlier, wrapping up their summit in brussels. table,he issues on the international trade. french president emmanuel macron has called for tougher of europe's strategic industries like energy and banking from foreign takeover, especially by china. he also wants to end the practice of countries, quote, atping their exports artificially low prices in europe. some e.u. nations that rely chinese businesses, such as poland, have opposed sentiments. but macron said that a belief in meanlateralism should not being naive. let's take a listen. >> we believe that we must defend the world that is open and regulated. we must defend the rules and make sure they're respected. we want fair competition, not the law of the jungle. putting inwe're place anti-dumping measures. the opening ofn markets and a better framework investments. >> more reports coming out of thatsummit have noted macron did not get all the

i don't think they're expensive, terribly expensive, but definitely not cheap >> western digital being sued by toshiba for interfering in its planned sale of a unit >> it's been a monster of a performer. and when you look at where it trades at a pe, relatively speaking, this is a grower and they've been doing a great job with acquisition people are looking forward, they're looking ahead, they like western digital. that could be $120, according to morgan stanley i believe that as well >> madison square garden shares on the move after the new york knicks cut ties with phil jackson. jim, you own this stock. >> you know, i do own the stock, mel. and it's fun to think about, what if the knicks were really a contender, maybe this gets them there, but i don't think the knicks being a contender is what's going to move this stock. this stock is severely undervalued if you look at the assets minus the value to unlock, someone cease got to come in and somehow take it private. that should happen at some point. i just can't tell you when i love it at this price. >> sees a initia s avisa initia, mas

western digital is said to have planned to raise its bid.rande down, selling a 14% stake to shenzhen metro. and samsung, have a look at this chart. it's quite interesting because we have these stocks in facebook, amazon, netflix, google, but you have these other tech stocks in japan, the so-called sunrise have been doing very well, up 65% compared to a 19% rise in the topix index, certainly outperforming those stocks that had the drop. anna: juliette, thank you. let's get back to the u.k. political story. theresa may will face angry lawmakers today in a showdown that could signal the end of her premiership. how close to the end are we? it comes the day after she reshuffled her cabinet, which took place in an ongoing situation over the weekend. er rival unsuccessfully stood against the prime minister in last year's conservative leadership race. another nemesis, george osborne, told the bbc that may's days are numbered. >> theresa may is a dead woman walking. it's just how long she will remain on deaths right. i think we will know very shortly

the question is how will western digital respond. with legal action trying to bring toshiba into arbitration. so far, they have not backed off their claims. the question is can they derail the bid or can they delay it sufficiently to make toshiba negotiate with them? as far as we know, toshiba does want to close the deal by wednesday when they have their shareholder meeting, so we might see some news coming out as early as today or tomorrow. >> thank you. joining us live with toshiba shares down 3% this morning. china's overseas shopping spree curve dramatically after a chinese crackdown. our next guest says m&a will pick up again soon. we will discuss that. this is bloomberg. ♪ is "daybreak asia" in new york. on annese companies went international shopping spree worth more than $300 billion. that has dropped off as the government has cracked down on overseas deals. we have seen a dramatic slowdown from the $250 billion in 2016. regulators have stepped up scrutiny on buyers. for does this mean acquisitions still in the works? i want

western digital said it teamed up with kkr to resubmit a bid for toshiba's chip unit. >>> president greeted indian prime minister modi at the white house yesterday. >> i look forward to working with you, mr. prime minister, to create jobs in our countries to grow our economies, and to create a trading relationship that is fair and reciprocal. it is important that barriers be removed to the export of u.s. goods into your markets. >> for a look at the u.s./india agenda, let's bring in edward monster. thank you very much for joining us pleasure to speak with you >> good morning. >> i know your ceo had attended the indian con frenferenceconfe. what are the takeaways the takeaways on sunday were 15 ceos met with the prime minister around what needs to be done to encourage more investment. david farr, our chairman and ceo that attended that session focused on ease of doing business more particularly what is necessary to move money in india. a few technical points he tried to give some focus to there's no holding company tr k structure allowed in india today. if you have multiple entities

toshiba is suing western digital for more than a billion dollars.ess. shares of western digital are up nearly 120% just over the last year. talk about those fang names. the company reported both earnings and revenue above expectations for the second quarter. quite a twist. the stock is up better than 40% this year. wow. what a move in kb homes. >> incredible. maria: a new line of defense against super bugs, the germans active robot that is are keeping hospitals protected from deadly bacteria. we have the robots in the studio. we will be right back but when family members forget, trust angie's list to help. [ barks ] visit angieslist.com today. [ light music playing ] you've wished upon it all year, and now it's finally here. the mercedes-benz summer event is back, with incredible offers on the mercedes-benz you've always longed for. but hurry, these shooting stars fly by fast. lease the c300 for $399 a month at your local mercedes-benz dealer. mercedes-benz. the best or nothing. maria: welcome back president trump tweeting this morning. this is what

after the bell western digital posted earnings, right now the stock is down, if you are in it hold onreport. i expect that this will be a one-off, i will say investors will become more weary as sudden downward reversal in tech seemingly come out of left field. remember these stocks have made huge moves. no matter what you base them on. in a are up. i continue to love the action in material and industrial names. martin marietta, and vulcan material, and united rental and snap on tools, overall, stay cool, stay balanced, keep your head on a swivel for fresh opportunity. tomorrow, janet yellen speaks in the middle of the session. the notion they keep putting out this weakness is transitory does not jive with reality. the fed cannot talk about deflationary data. out of one side of their mouths and rate hikes out the other side. the lazy days of summer have set in, do not let a dull market or a consolidation lull you into making mistakes. sanctuary cities, that is ramping up, federal judges prepare to rule on a antiimmigration bill. the texas attorney general is joining me next. excusively

western digital hasn't been able to match the price offered by other bidders.more news out of uber. in itsest developments internal investigation into sexual harassment. and a future i would like to bring to your attention -- our new interactive tv function. .loomberg tv you can watch us live, if you missed in the navy you can go back and maidens and a message, play along with the charts on-air. this is for bloomberg subscribers only. check it out on bloomberg tv . this is bloomberg. ♪ to buildsla plans another factory because the current one is "bursting at the seams." elon musk says the electronic carmakers looking for a location to build the model y crossover. tesla haselon musk says the surl motors, honda and ford motor in micah cap this year. more developments on uber and the probe looking into the alledge it workplace violations. rapeunderstands the and kidnap of a woman by a driver. this rape case from india back in 2014 coming up now? that toprned had been skeptical that this rape had occurred and had propagated the conspiracy theory that their

the arrangement could change depending on their partner, western digital, contesting the sale.aidi: the rally enjoyed by type -- is underlining the growing disconnect between the performance of companies listed in the mainland and hong kong. shares jumped by the daily 10% limit at the close, taking its six-day rally to 26%. wellevelopments -- it may have risen just over 5% since the start of last week. now trading at a 26% discount. on to our big corporate story in japan. manufacturing and corporate failure there -- to cut his bankruptcy and the multibillion-dollar costs that it may leave behind for carmakers. you should sieverts is that there -- we have the director from singapore. what are you making of all of this leave --es carmakers and indeed, is it -- is very clear winner out of this key safety system? >> good morning. think you for having me. yes, to start with your last question, the clear winner is tss, key safety systems. which by the way, belongs to a , a privatepany company. with the acquisition -- kss will be a must as big as this -- which means we have three -- a

western digital who is toshiba's partner has sought arbitration to block the sale saying entitled to controlling stake. foxconn and broadcom as well as a number of investment funds are jostling for the prize in a new twist, media reports say bane capital may be planning to join forces with a u.s./japan coalition. discussions are ongoing but it looks unlikely a buyer will be selected soon. that's all from the nikkei back to you. >> we will go for a quick break. check out world markets live, our blog which returns throughout the european trading day. we'll be back in two [vo] when it comes to investing, looking from a fresh perspective can make all the difference. it can provide what we call an unlock: a realization that often reveals a better path forward. at wells fargo, it's our expertise in finding this kind of insight that has lead us to become one of the largest investment and wealth management firms in the country. discover how we can help find your unlock. >>> welcome back you're still watching "street signs. i'm carolin roth these are your headlines the tech selloff stalls in

the technology coming on strong powered by takeover talks with western digital and the acolyte.omebuilders associated industries also got off to a good start today because of that new home sales report that some median home prices surged more than 11% month-to-month. the hottest stocks in today's market where metals. u.s. steel surging almost 6% and olympic still almost 5%. this report suggests the trump administration is very close to leveling an import for his combined with higher tariffs on imports. the administration will be using a trade expansion act in 1962 sort of ironic that they are going to use up that to level the playing field. president trump and wilbur ross believe section 232 gives them a white authority and white -- to act based on national security. the couple lines that i think stand out the president recognized the further relationship of the welfare to our national security and then it goes on to say the impact of foreign competition on a economic welfare of individual domestic industries in any substantial unemployment decrease in revenue government loss of

tech up three quarters of 1%, western digital writing -- rising after reuters reported that the japanese trade industries in talks with the companies to have it joined the government led consortium chosen as the preferred a better for this chip business. those chairs up 4%. oracle shares higher after stock was raised to buy -- $61. -- facebook chatter about where she might go. not staying there, but leadership weiner says cheese quite happy there. those chairs up three quarters of 1%. much. thank you very coming up, fresh legal woes for the white house asked -- after president trump said he did not take conversations with james comey. the latest next. this is bloomberg. ♪ david: this is bloomberg markets, trump economy. let's check in on first word news this afternoon. mark renton has more. mark: british authorities have charged an unemployed welsh man with terrorist inspired murders and attempted murder. in connection with a trump attack on a grunt of muslim worshipers near tooth -- two north london mosques. there osborne killed one person and wounded others. this came as worshipers lef