pronounced moves to the south. >> a bit of a reversal. >> among the big headlines, chinese president xi jinpingdefending globalization at a time his country's power is coming under pressure from soon to be inaugurated u.s. president-elect trump. president xi says many people are wondering what has gone wrong with our world. he suggests globalization has become a pandora's box in the eyes of many. >> there's no point in blaming economic global saization for world's problems. that is not the case and it will not help solved problems. from the historical perspective, economic globalization results from growing social productivity and is the natural outcome of scientific and technological advances. it is not something created by any individual countries. >> defending economic globalization. he said there is no point in blaming economic globalization for the problems. just a fascinating tone to come from a communist leader ahead of the leader of the biggest capitalist economy taking charge this friday. >> singing a different tune. >> opposite tones. >> the fact that president xi is here for one make

here, we have xi jinping bringing the biggest chinese allegation to davos. issues like globalization, and have plain sailing. there is skepticism around trading policy. you have to think, you have to have a pretty willing audience willing to listen to the message of trade and doctors and -- and opportunity versus trumps isolationism. this is days ahead of the trump inauguration. >> the timing couldn't be a greater contrast. he is expected to say, there are opportunities in china and we will see more trade and growth. -- push back against the narrative of protectionism. in the past, chinese leaders used that house as a forum to preach china's role in the world. in 2008 during the financial crisis, the prime year said, -- the premier said, we are here. shery: trump has been threatening tariffs on china for white some time. how likely is it that he will go through with that, and we could see a trade war? he has been consistent on his china criticism since the election. he has appointed china talks to his tea -- hawks to his team. he continues his rhetoric about

xi jinping didn't actually mention president—elect donald trump, he didn't need to.he message was clear. translation: pursuing protectionism is just like locking oneself in a dark room. while wind and rain may be kept outside, so are light and and rain may be kept outside, so are lightand air. and rain may be kept outside, so are light and air. no one emerges as a winner ina light and air. no one emerges as a winner in a trade war. he also said that countries should redouble their commitment to the paris climate change agreement that mr trump has threatened to quit. translation: all signatories should stick to it, instead of walking away from it, as this is a responsibility we must assume for future generations. the debate about globalisation is truly a through the looking glass moment. the leader of the world's largest communist party here at the home of capitalism arguing for free trade and open borders. at the same time as donald trump is saying that he doesn't like free trade and is accusing china of raping america with cheap imports. president xi jinping said he

so, xi jinping setting up china as a possible alternative to the american leadership.inese climate change deal. promising that will go ahead. who would have thought that? in the meantime, 0bama would have thought that? in the meantime, obama is very busy in his last few days in office. chelsea manning to be released early as 0bama massively reduces her 35 year sentence. this is fascinating. on one level, this is what presidents do. it is like the resignation honours prime ministers give in the uk. there is also lots of controversy about whether this is good or bad. what i picked up this morning is that julian assange under wikileaks sat in the ecuadorian embassy in london unable to leave for the last five years or so, last yearsaid, if for the last five years or so, last year said, if chelsea manning was to be released, he would go back to the united states to face justice. that was united states to face justice. that was before donald trump became the president elect. let's see whether or not the real intent behind what 0bama or not the real intent behind what obama d

it highlights fears of a looming trade war with china — a possibility that xi jinping and the alibabaummit. the japan times carries an interesting story about the future of emperor akihito, who's 83. it says — according to an unnamed source — that a government panel will recommend that the emperor should be allowed to stand down, as long as it doesn't set a constitutional precedent. finally the china daily has this striking picture on its front page. it shows a young visitor trying out a light sculpture at a lantern festival in london. fittingly the festival's theme is the silk road — the ancient trading route between china and the west. now kasia, what stories are sparking discussions online? sharanjit we're getting used to every tweet and every public appearance made by donald trump being scrutinised. and that will be the same for america's incoming first lady. but it seems that melanie trump is a little shier than her husband, judging by what happened at thursday's reception for supporters. donald trump gestures for melania to approach the microphone. she shakes her head. joining m

so, president xi jinping will be speaking soon, what are you shope he'll say?ng for leadership that will bring back globalisation and multilateralism and i don't know the content multilateralism and i don't know the co nte nt of multilateralism and i don't know the content of president xi jinping's speech, but the fact that he is coming gives us hope that there will be strong leadership that will help globalisation continue rather than become stalled. china coming on to the world stage, just as this protectionist president—elect is starting his newjob in america at the end of the week and as we're negotiating brexit, do you think that gives china an upper hand? well, it is an interesting opportunity because china is now ready as very fast growing economy as well as a very strong tech sector. we at sinovation have invested in some of the world's best technology company and they are based in china and they are doing face recognition and we believe that tech readiness gives china an opportunity to take on a greater role worldwide. you, as a company, are focussed o

we will hear what xi jinping is about to say on climate change, but first, the u.k.ikely to pull out of the eu single market. we will discuss the consequences and implications, up next. this is bloomberg. ♪ yousef: welcome back to "bloomberg markets: middle east" live on bloomberg tv and radio. i am yousef gamal el-din. shery: i am shery ahn in hong kong. a sons wants to boost its stake in listed units to protect them from takeovers. cementing control over the companies is said to be one of the incoming chairman's main priorities. natarajan chandrasekharan takes over next month after heading tata consultancy since 2009. the former chairman was ousted in a boardroom coup. yousef: we will be watching reliance when trading kicks off in mumbai after earnings beat estimates. third quarter profits, a nine-year high, jumping 10% to one point $2 billion thanks to higher petrochemical earnings and investment games. this comes as the country's richest man invest billions in 4g mobile services and retail. malaysia airlines ceo says he sees an opportunity to break even in the fo

the highlight here is xi jinping's speech. yesterday he defended globalization in his speech, telling delegates there are no winners from a trade war and globalization should not be blamed for the world's problems. xi's speech broadly welcomed by delegates, sweden's prime minister said she was aiming to fill the global leadership vacuum and doing it with some success. we've been asking business and political leaders at the world economic forum for their outlook on global trade this year. >> we and all of us were surprised by the fact that global trade has not grown nearly as much as one would expect five years ago. before the financial crisis, global trade was growing 8%, 9%, 10% a year. now we're down to 2% probably in 2016. we expect 2.5%, 3% this year. >> the approach of the news by this government is clear. we think that free trade is vital. one of the reasons why the growth rate in europe is like this. >> so now we're joined by director general of the wto, roberto azevedo. thank you very much for joining us this morning.

can i ask you this, the last thing president xi jinping needsis the last thing president xi jinping needsart a trade spat because that could hit the chinese economy quite hard, couldn't it? absolutely. there is a lot of fear here that china, which has benefited greatly from globalisation, could take a hit from these tariffs if they take place. a could argue that united states consumers have also benefited greatly from free trade. they will suffer if there is a tariff on ipads, for example, and prices go up. ipads, for example, and prices go every ipads, for example, and prices go up. every time we see these numbers the questions lies about. i have to throw it out. can you trust these numbers and what comes out of beijing? this is a good question. i am injust beijing? this is a good question. i am in just before beijing? this is a good question. i am injust before i come to whether the figures are real, let us assume they are solid. —— i mean,. the chinese government, 6.7%. many governments would give their hand for that. for china, it governments would give their hand forthat. for china,

president xi jinping speaking at the world economic forum in davos. actually the first timea in davos. it is actually the first time a chinese leader has attended the gathering, and fought china, finally —— finding its voice on the global economic stage. so in the wa ke global economic stage. so in the wake of the chinese president's speech in davos, a little bit of irony has come into play. is it not normally the united states, the leader of the free world, which is championing globalisation and the opening of borders? no, it appears that the united states is more in a mood to put up some walls and create barriers. meanwhile, china, of course, historically much more closed in terms of trade, but it benefited enormously from globalisation, is now saying globalisation, is now saying globalisation is a good thing. describes it as pandora's box, once opened, many things may come out, some good and some bad but it is really a question of managing those bad things. xijinping described the global economy as an ocean in which china had struggled at times to

xi jinping will hold his speech here in a few hours time and then the speech everyone has been waiting for, theresa may's brexit speech. she'll have 1 priori2 prioritiel lay out. it's the speech everyone is anticipating. around midday local time, uk prime minister theresa may is expected to say britain will prioritize border controls. the rise in populous politics, the growing anti-establishment sentiment and skepticism about the benefits of globalization, these are some of the dominant themes emerging here at the world economic forum. ceos speaking to cnbc in davos admitted that big business bears responsibility in the rise of inequality. >> the promise of trickle down has not worked. the promises of davos, leave it to us, we will bring prosperity to all, has not worked. the davos gap has grown. we have seen market disparities in the environment, the market, now we are seeing failures. >> we start with collaboration embedded in our products but we also think of collaboration because we have a shared responsibility to make sure everyone benefits from technology. >> it isn't just busine

xi jinping will be the first president to attend the summit from his country and this year's gatheringne resort of davos focuses on how leaders should respond to growing populism and protectionism. tanya beckett has more. there is a chill wind in davos this year and there is a chill wind in davos this yearandi there is a chill wind in davos this yearand i am there is a chill wind in davos this year and i am notjust talking about extremely low temperatures and piles of snow. the political backdrop is also pretty unforgiving. top names from the worlds of business and politics are meeting here to cut deals at a time when a backlash against globalisation and elitism is only gathering pace. the forum's founder says social inequality will not be reduced by raising barriers. i hope that all countries will favour "all systems —— open global systems, but i think we will have as a whole, as a world, as a whole, we will have a big setback if we go back to the old times of big walls around our nationstates. and stepping in to champion the around our nationstates. and stepping into champion the pro

. >> rose: but here's what some people are looking at, and they asked themselves, they see xi jinping at davos giving a major speech, the first time china has been there, basically saying globalization is good, when the whole populous revolution is about globalism is bad. he's over there saying we believe in world market, we believe we have to monitor what happens in gmobalization, it's almost like china is saying we are the champion of globalization, not the united states. >> well, the united states has been the biggest beneficiary of globalization and free trade and open markets. it has reinforced democratic rule in many places, it's raise eds living standards, and the exports are a huge basis of our economy. so i think we would be very remiss if we ceded the mantel of leadership on free trade and economic openness to china, and that's why the president has been so committed to the trans-pacific partnership. >> rose: which he did not get passed. >> which was not passed by congress. >> rose: which is an act of presidential leadership. >> first negotiating the deal and getting trade p

xi jinping standing on the world stage. tell me more about the domestic reaction is.cally, this his image as a strong, powerful, visionary leader. that is healthy for him because we have become his party congress taking place at the end of this year, a crucial political event for china and a potential reshuffling. it casts china and -- in the .ole of a bastion of security china faces a number of its own big economic challenges. but with strong overall growth retreat hasarent given china a role. yousef: thank you. let's crossover back to the deskn where saudi arabia's one of saudi arabia's biggest is onty developers the move. we spoke with the chief executive officer and asked him whether foreign investors will be able to invest now. >> i don't have a say on weld -- and whether he will be open to foreigners. i am quite positive and we will find the way is for investors to tap into mecca. of course, with controls in place. >> can you tell us about any expansion plan you have? break some news with us that would be relevant. strategy,ng to our our business revolves around

susan: -- charlie: people see xi jinping at davos giving a major speech.he first time the president of china has been there. saying, globalization is good. when the whole populist revolution is about globalism is bad. he's over there saying, we believe in world market, we believe we have to monitor what happens with globalization. it's almost like china is saying, we are the champion of mobilization. not the united states. hasn: the united states been the biggest beneficiary of globalization and free trade and open markets. we enforced democratic rule in many places. raise living standards. exports are a huge basis of our economy. i think we would be very remiss the mantled -- ceded of leadership on free trade and economic openness to china. that's why the president has been so committed to the transpacific partnership. which he did not get past. -- passed. susan: negotiating which he didt past. it, the deal, and getting trade promotion authority, which we did, to enable it to be passed, and then unfortunately in the latter months of the year, the leadersh

president xi jinping said you can't blame the world's economy on the globalization alone.e's the first to address the forum and introduced by klau klaus swabb. >> it's now my distinct honor and great privilege to introduce our opening speaker, his excellency, xi jinping, president of the people's republic of china. i'm so delighted you can join us in davos and you have accepted my invitation i issued over a year ago. president xi, a very warm welcome to you and your delegation, your high level delegation, for your first davos visit. even a warm welcome even if the temperatures outside are free freezing, your presence here has a very special significance and as the first chinese president to address this audience of political business and civil society leaders, it comes at a very important moment in time, when people are looking for sign posts in a complex and uncertain world. in the past several years, the chinese economy has made impressive achievements, both in terms of lifting people out of poverty and for transformi inin industries to reform and opening up. under your

. >> yesterday, chinese president xi jinping became the first chinese leader to address the world economic forum in switzerland. he spoke in favor of free trade agreements, this is an hour. >> it is now by distinct honor and great privilege to introduce our opening speaker, his excellency, xi jinping, president of the people's republic of china. i am so delighted you could join us in office and you accepted my invitation which i issued a year ago. president xi, a very warm welcome to you, the high delegation for you first office visit. even if temperatures outside freezing. special significance in the first chinese president, the audience of political business, it comes at an important law when people are looking for signposts, and in the past several years, the chinese economy hasn't made impressive achievements, lifting people out of poverty and transforming industries, and opening up. under your leadership, mister president china plays an ever increasing active role from climate change to reforming global governance and would like to conquer particularly for successful leadership, and p

president xi jinping has been clear about that.t's not good for any of us or the global economy. we need to find calibrated and responsible ways to protect our businesses where they are threatened and our industry, and at the same time not tank the global economy in the process. and where we have workers that have been displaced and disadvantaged by trade with china, or in the past, or currency concerns with china. we need to defend them not only in the relationship with china, but in terms of helping them adjust back here at home. charlie: we clearly saw the impact of sanctions in iran. we got a nuclear deal out of that. can you tell me one way that sanctions against russia have altered their policies? susan: let's go to the ukraine. those sanctions have been in longer. the ones we just discussed related to the election have only been in place since last month. on the ukraine sanctions, what we can say is the united states working in concert with europe and having a unified approach to sanctions certainly created economic pain in

but those comments that xi jinping made, trying to be restrained.riffs. the chinese position has long been that. free trade has benefited not only china, but the us, especially consumers, and they don't want tariffs, they wa nt and they don't want tariffs, they want free trade between these two powers. at the moment they aren't being so strident and expressing this, but i think on the inauguration has happened that might change. indeed. we will be watching closely. thank you. in his inaugural address on friday, donald trump is expected to set out his personal vision for america's future, in line with his familiar campaign pledge to "make america great again". it was a slogan which made a significant impact in what's called the rust belt, those states in the old industrial heartland. 0ur north america correspondent nick bryant has returned to pennsylvania to find out what voters there are now expecting from the trump presidency. it's the places of american decline that make sense of donald trump's rise, and it wasn'tjust working class rage that helpe

president xi jinping said he didn't want a trade war, but he sounds like he might be preparing for onehe president—elect, today a slightly softer tone from america. i think the chinese and americans have common cause, and we have to have a very strong bilateral relationship. i also believe that the united states and the new administration does not want to have a trade war. president xi is determined to lead the push for greater free trade, as the us turns inwards. the tense relationship between these two economic superpowers will define the global economy's performance over the next decade. the president of the gambia has declared a state of emergency, no more than two days before the opposition leader is due to be sworn in to replace him. yahya jammeh has refused to accept defeat in last month's election. some holiday companies have begun flying tourists home. greg dawson reports. the buses are crammed, and so are the suitcases. these people are among the thousands abandoning their homes in the gambia's capital, banjul, fearing for their safety. as they count the passengers, staff are

chee jinping -- xi jinping.the state and government, the deputy has your -- heads of international , ladies ands , i ammen, dear friends .elighted to come to davos this small, beautiful town in s is an important window in which we can take the power of the global economy. people from the around the world come here to exchange ideas and insights which will broaden their vision. wef andes the animating, cost effective brainstorming event, which i would like to call schwab economics. [applause] pres. xi: as you know, in 10 days time the chinese will celebrate the lunar chinese new year. about this time it is all in china, people visit their relatives, and friends. and this way they will strengthen their bond and friendships, so this time my wife and i and other members of the delegation come to davos to to save a year gratings to switzerland and the whole world. [applause] pres. xi: it was the best of times, it was the worst of times. these are the words used by charles dickens to describe the world after the indus

president xi jinping said he didn't want a trade war, but he sounds like he might be preparing for onect, today a slightly softer tone from america. i think the chinese and americans have common cause, and we have to have a very strong bilateral relationship. i also believe that the united states and the new administration does not want to have a trade war. president xi is determined to lead the push for greater free trade, as the us turns inwards. the tense relationship between these two economic superpowers will define the global economy's performance over the next decade. and a little later we'll take a look at chinese investment in the us and the hollywood star, in davos. still to come: out with the old, in with the new. why the world's biggest fish market is moving and why some are not happy about it. the people of saigon have just heard there is to be a ceasefire. the reaction of american servicemen was predictable. i'm going home! demonstrators waiting for mike gatting and his rebel cricket team were attacked with teargas and set upon by police dogs. anti—apartheid campaigners s

president xi jinping said he didn't want a trade war, but he sounds like he might be preparing for oneter the tough words of the president—elect, today a slightly softer tone from america. i think the chinese and americans have common cause, and we have to have a very strong bilateral relationship. i also believe that the united states and the new administration does not want to have a trade war. president xi is determined to lead the push for greater free trade, as the us turns inwards. the tense relationship between these two economic superpowers will define the global economy's performance over the next decade. now, some of the day's other news, and within the past few hours president obama has commuted chelsea manning's sentence for leaking documents to wikileaks in 2010. the 29—year—old transgender us army private, born bradley manning, will now be freed on 17 may instead of her scheduled 2045 release date. she was sentenced to 35 years in 2013 for her role in leaking diplomatic cables to the website. the leak was one of the largest breaches of classified material in us history. i

xi jinping is the first chinese leader to attend the world economic forum in davos. for more inclusive globalisation as the meeting kicks off in switzerland. this year's gathering in the alpine resort is focusing on how leaders should respond to growing populism and protectionism. earlier, i spoke to victor gao, a former interpreter for deng xiaoping and now director of the china national association of international studies. i think president xi jingping's visit to switzerland and his speech at the davos world economic forum are very important evidence, especially because mr donald trump is becoming us president very soon and the new us administration under president trump most likely will go towards protectionism and will withdraw from globalisation. i think president xi jingping will talk about what a responsible leader should be, what a responsible government should be, how a country should join in globalisation rather than fight against globalisation and the countries in the world need to get their act together in overcoming the threat of protectionism and reall

i hi xi jinping. they are different leaders. i think it is fair to say that the jinping's situation is very different in terms of his leadership position. he ask a stronger and more un tear leader than either of his predecessors, therefore he is more emboldened politically at home. i think he is quite concerned and appropriately so about some of the economic and demographic trends in china. there is always a tendency to try to turn to foreign activities as a way of distracting from that. i think you see that tendency in chinese leadership. it has long been news in many countries. you see that tennessee there. so i see all those things. and that's one of the reasons that we see that strange in chinese strategic thinking being so distinct. and i can't say whether pts' growing or not. because there are factors that weigh against it am but we take it very seriously. and in the defense department, i'm ambiguous. i always say china is one the things that we are making military investments, military operational plans, building our alli

the headline is, build personal ties with trump, xi urged, referring to the chinese president, xi jinpingng to the chinese president, xijinping, and on urged, referring to the chinese president, xi jinping, and on the back of the a section, the main section, photos of the inauguration with the president and the first lady, the new first family and of course the departing resident. now, of course, hong kong still has an active pro—democracy movement. the world saw this in full force two years ago during the 2014 protests. those calls haven't diminished and in fact in the last year or so the case of the missing booksellers, there have been more concerns about china's enlarging reach in hong kong, which is a semiautonomous chinese city. pro—democracy leaders in the city are hoping that the president will take a harder line against the chinese government, against the chinese government, against beijing, on these issues of democracy, voting rights and freedom of the press. but of course they are not entirely sure if they will be getting, what kind of ally they will be getting. now, fora gettin

we will come to later when a moment but to continue this, president xi jinping of china said the world of radical change. in ten years, we can expect a new world order. there will be an alliance between china and russia. basically, iam between china and russia. basically, i am putting it to you that the west is in decline. the west in a strategic way, needs strong alliances. he is talking to russia but i also had the chance to listen to this talk, the speech he gave and it was interesting, there was a strong speech for free trade, or cooperation. 0r strong speech for free trade, or cooperation. or an inclusive global management of problems and fairness within the economic systems. these we re within the economic systems. these were new tones. power tones. he was giving our speech. you are implying... he was giving our speech. ec claiming the mantle of leader of the world? filling the vacuum? i would say that, i welcome this attitude, welcome to the club and of course, this openness, this external openness has to be a code and the most important thing is, i am very glad to listen to the

. >> chinese president xi jinping now on his countries role in the global economy are present she is the first chinese president to address the world economic forum. he's introduced by founder and executive chair klaus schwab. >> it's now my distinct honor and great privilege to introduce our opening speaker, his excellency xi jinping, president of the peoples republic of china. i'm so delighted that you can join us, that you've accepted my invitation which i issued over a year ago. president xi, a warm welcome to you. .. for signposts in a complex world, for the past several years, the chinese economy has made impressive achievement, both in terms of lifting people out of poverty and transforming industries to form in opening up. in your leadership, mr. president, channel is also an ever-increasing active role in global affairs. from climate change to reforming the global government, i would like to pursue successful leadership of the chief 20 summit in your presidency last year. today in the world marked by great uncertainty, the international community is looking to china to conti

xi jinping is so focused on the big party congress, the leadership transition, they will externale for action, u.s.-china relations, north korea, that could pose a distraction to xi activityr some kind of that he would have to respond forcefully to so he doesn't lose credibility at home. >> what does a china that overreacts look like? do they kick out the u.s. companies? is there a supply chain problem, or is it worse? for example, dropping the u.s. dollar as a reserve currency? >> it depends on the provocation. if the trumpet ministration decides to take a series of heavy trade actions against the through one channel which the chinese could retaliate is going after american companies. there are all sorts of informal ways they can harass american companies as a way to retaliate. a word that came up several times in the minutes of the federal reserve december policy meeting as the fomc debated the rate. on friday, mike mckee had a chance to probe deeper into the feds thinking with robert kaplan. you read the minutes and you can't help come away with the belief that federal reserve offic

if i were xi jinping, i would be worried that my colleagues would see that the reform program has notorked. i is going to be looking to keep mindless activity going on the reform front to bolster his credibility and contribute to his consolidation of power at the next party meeting which is october or november of this year. do, asr: what should you mr. xi, with the reserves? guest: i will keep it as stable as i can, keep it right around the crucial mark to keep my 3 trillion renminbi if i can and to keep the renminbi from depreciating. i have to keep that sudden depreciation in my back pocket. if things go really bad with president trump, i have to be able to let the currency go. if i'm not in the worst case scenario, i'm not going to let it go. >> is the trump presidency one of the worst cases for china? on the trade front, it is a good thing, but the uncertainty you alluded to is cap's mind-boggling to the leadership because the have gone -- grown accustomed to accommodating u.s. policies. >> that is true. it is a threat and there is a tremendous amount of anxiety but if i am xi jin

because xi jinping is so focused on the big incoming congress -- they are going to be on edge to anyl activity or action whether it is u.s. china relations or north korea. that could either pose a distraction to xi jinping or it could cause some kind of activity that he would have to respond forcefully to in order to not lose credibility at home. >> do they take out u.s. companies? is it a supply chain problem? or is it even worse? >> it really depends on what the provocation is. i think the u.s.-china relationship -- if donald trump and the trump administration decides to take a series of very heavy, aggressive trade actions against the chinese, then one channel they could retaliate is by going after american companies. and, there are all sorts of informal ways that they could sort of harass american companies as a way to retaliate. ♪ erik: risk is a word that came up several times in the minutes of the federal reserve policy meeting as they debated the 2017 rate. on friday, we had a chance to probe deeper into the fed thinking with robert kaplan. dallas fed president. ♪ >> you read

china's president, xi jinping will attend is a summit in switzerland.ificance of his attendance. he really will be the star of the show. it isa really will be the star of the show. it is a time when not many world leaders are coming. a weakening chinese economy and a weakening chinese economy and a weakening chinese currency. the president will be under great pains to tell the world that they should have confidence in china's economy and that they will play an important and responsible role on the world stage. this is how the chinese currency has fared. there is a battle between market forces and what the chinese central bank has been trying to do. the chinese currency has really weekend against the us dollar because market forces are trying to push the currency lower. at the same time, the people's bank is trying to strengthen the currency because a wea k strengthen the currency because a weak currency, though good for experts, is bad for the confidence of the economy and we have seen millions, if not billions of dollars poured out because of concerned

xi jinping in october has the 19th party congress in china. this is his clans to consolidate his power. put in place his people in the standing committee of the pollity boro. zero chance there will be 1 inch of flexibility. to the contrary, if mr. trump pursues or persists in pursuing something on tie want, that the chinese see as inconsistent with the one china policy, they will shut down their relationship and they will retaliate. i think we should have zero doubt about it, they will retaliate. >> rose: the question is how do they retaliate. >> they could shut down tie want's trade to the mainland that could have real impact on tie want. they could increase their military presence in the region. they could look for something economicically. suddenly they could decide that maybe they don't want to accept all those boeing planes that are being discussed. their way is they can put economic pressure on them 678 i'm not saying we can't then retaliated and do some things but we have to understand, this is going down a path, there will be no winner

also, xi jinping takes the stage he didn't say trump's name but it was a clear signal that this was againsrotectionism. it is all about globalization. we will see if that has affect on the asian markets. let's have a look at markets right now. very interesting, because certainly, we woke up this morning, we had massive moves in the currency markets. we are tracing a little bit, the dollar dropping the most and's july, the pound surging. hit, of these levels we two hours back, are retracing slightly. have a look at what we are seeing right now. , the biggest drop since the day after the brexit vote in europe. 124,ound sterling back to 2.9% stronger compared to yesterday. gold continues to be up. an analysis that takes us back to two months back. the reflation trade, has it ended? conflicting advice here. blackrock says it is a minor bump in the road. morgan stanley says it may have ended. it could and violently. at the moment, yields on the u.s. 10 year, 2.33%, not a big change. japan, down about roughly, what are we looking at? 771.th of 1%, 18,000 that comes back to have strong the yen ha

the china daily looks at president xi jinping's attendance, reporting that he hopes to inject positivity into the recovery of the global economy. facebook is trying to crack down on fake news in germany, with fears false reports may sway voters ahead of elections there this year. the ft reports questionable articles will be analysed by a third party factchecker. with india's hopes to be a more cashless economy — to halt black market money — the business standard looks at whether cheaper smartphones can be made for the mass market. a meticulously prepared meal service is becoming more sought after in china. part inspired by british tv show downton abbey, china's seen a sharp rise in people training to be butlers. that's in the international new york times. and after nearly 150 years, the big top of the ringling brothers and barnum & bailey circus will finally come down. the show‘s closing because fewer people are going to see it. when i was a child that was the only circus in town, i must say. times are changing, however. david buik is a market strategist with panmure gordon. i lived on t

he hasn't visited north korea or pyongyang, whereas xi jinping has made several visits to south korea and met with president park here. so just how much influence china really has is up for debate. rosemary? >> all right, saima mohsin reporting from seoul in south korea. i want to turn to matt rivers now in beijing. so matt, what has been the reaction in china to donald trump's tweet, accusing the country's leadership of taking out massive amounts of money from the u.s. but at the same time in his words, it won't help with north korea. what's being said about that, and again, let's look at this control, how much control does china perceive that it has over north korea? and how is that relationship between china and north korea changed? >> reporter: well, this is a line of argument from donald trump that china is very used to responding to, because frankly, this is the same argument that we've heard from donald trump throughout his presidential campaign, and now that he is getting ready to take on the presidency he's apparently sticking to this same rhetoric. so what we heard at the da

the china daily looks at president xi jinping's attendance, reporting that he hopes to inject positivityobal economy. facebook is trying to crack down on fake news in germany, with fears false reports may sway voters ahead of elections there this year. the ft reports questionable articles will be analysed by a third

xi jinping speaking here yesterday defending globalization and free trade. mention donald trump by name, but much of his speech certainly seemed directed at the u.s. president-elect. xi warned other countries against pursuing their own interests at the expense of others. with us now in davos to talk trade and much more, nouriel roubini chairman and ceo of roub roub roubini macro associates. your level of doom right now as we look forward to some of the economic policies, not just on trade but on taxes, and on the domestic economy from a trump administration is what? >> it's pretty high in the following sense. the market is going higher, but think about his economic policies. he's been elected by the tax policy, regulatory policy, going to lead to fiscal stimulus, higher long-term interest rates, strengthening of the dollar will continue. that will hurt manufacturing. therefore the supply side trickle down economic policies will not help the white working class, it will lead to a strong dollar, bash globalization, trade and immigration. i think there's incons

xi jinping, in october, has the 19th party congress.s is his chance to consolidate power and put in his people in the standing committee of the politburo. zero chance that will be one inch of flexibility. presidenttrary, if trump continues pursuing a policy on taiwan that the chinese see is inconsistent with the one china policy, they will shut down the relationship and retaliate. retaliate?w do they richard: they could shut down taiwan's trade to the mainland, increase military in the region, maybe decide that they don't want to accept all those boeing planes that are being discussed. there are ways that they could put economic pressure on them. i don't mean that we couldn't retaliate and do something, but we have to understand that this is going down a path where there will be no winners. it will also be that the two sides won't have the context to cooperate, say on a issue with north korea. charlie: with russia, again, the principal people advising him seem to have a tougher stand on russia then he has acknowledged. richard: that is

xi jinping made a strong call for globalization.e president-elect trump directly but said no one would emerge as a global trade war. >> xi said, quote, pursuing protectionism is like locking oneself in a dark room. xi also asked nations that signed the agreement to stick to it. mr trump has questioned that deal. >> europeans are credit psychs the president-elect for his comments. mr. trump argued nato has problems. he said, quote, number one, it designed many, many years ago. number two, the countries aren't paying what they're supposed to pay. germany's former saeign ministe that the comments were viewed with anxiety. france's president hollande said europe does not need outside advice to tell it what to do. >>> hundreds of thousands of people will descend on washington. between 700,000 and 900,000 are expected to attend friday's swearing in ceremony. 28,000 law enforcement officers will be on duty. >> the chairman of the presidential inauguration committee and also the founder of global real estate and management firm. also a long

china's president xi jinping took a swipe at mr.rump saying no one would emerge as a winner in a global trade war and also there's no point in blaming globalization for the world's problem. elizabeth palmer is in russia where the prime minister just responded to donald trump. elizabeth, good morning. >> reporter: good morning, as donald trump gave an interview to a london newspaper a couple days, in is it he made remarks that were widely sberpgted to inclui to include a sort of proposal. if the united states lifted sanctions to russia russia would reduce the number in his stockpile. but sergey lavrov said that's not how he read trump's words. i do not see any deal for the lifting of sanctions, but russia does expect to have a dialogue on nuclear disarmament. the idea he said is out of touch with reality. in europe, trump's comments in an interview ruffled many political feathers. when he predicted that the european union was likely to loose more members. and singling out germany's chancellor angela merkel trump said she made a catas