tonight on mosaic, china has a new slogan. narrator: introduced by chinese president xi jinping in 2012, the china dream is a pledge to rejuvenate the nation. prof. cheah: when i hear china dream, the first thing i think about: materialist consumption. ai weiwei: i think it's just a nightmare. narrator: is the china dream of security and economic prosperity for all chinese citizens or only for the well educated and fortunate enough to already be middle class? professor taz frazier: you know working class, working poor, rural chinese citizens are finding the chinese dream to be a myth. prof. stan rosen: it's being introduced at a time when you're trying to pull back everybody who is going off in their own 1.3 billion directions. narrator: tonight on mosaic, through the eyes of film makers around the globe we explore the china dream with intellectuals, overseas students in america, migrant workers in beijing, and an entrepreneur in africa. tonight on mosaic, the china dream. dean yam yeutong: national rejuvenation refers to thos

china will not be affected by changing circumstances in the international environment and china has no burden or is under pressure of continuing to develop relations with china. ni china follows the pressure of alignment and will not be targeted to a third party. [speaking in native tongue] >> just now i said our business coopration has been going up. for example, last year chinese oil imports from russia increased by 80 billion tons. but because of plummeting in the commodity prices on the international market chinea's imports and exports declined and not just on the imports from russia. the physical volume is up but the total trade volume has come down because of falling prices and neither country is responsible for that. last year i had a deep discussion about the china business relations with the prime minister and we believed we can explore development in the oil and natural gas sectors that will attract more chinese investment and we can increase a greater level of diversity into the trade mix. only then will i hold if you come to the press conference next time, i can tell you we

warned china over its militarization of the south china sea. china is boosting its military presence in the south china sea, creating bases on islands carved out of coral and sand. the concern is more than one third of maritime traffic flows timesh this region and 15 as much oil as passes through the panama canal. scott thuman examines the dangers of the green lagoon. scott only a few yea a cays in the spratly islands off the coast of the philippines and south vietnam were largely uninhabited, wanted only as fertile fishing grounds. today, converted to military outposts equipped with runways and sophisticated radar towers. adm. harris: china's intent to militarize the south china sea is as certain as a traffic jam in d.c. scott: admiral harry harris, jr., is head of the us pacific command. he came to capitol hill to raise concerns about china's intent. adm. harris: in my opinion, china is clearly militarizing the south china sea and you would have to believe in the flat earth to think otherwise. greg poling: you're seeing an entirely new island

we are talking about the top three players and china's airline sector, air china, china southern, chinese. they don't hedge against oil volatility. that rosy picture has been volatility,the fx the devaluation, 4.5% down in august. that is where this thing has been for them, and these are companies that buy their aircraft in u.s. dollars, spent about $100 billion on ordering new aircraft. rishaad: they are continuing to pay for them. that,y've done well on but offset by this fx devaluation. rishaad: what are the airlines saying? >> their passenger numbers are rising, a growth sector. other airlines, particularly low-cost and budget sector, as competition. they have been cutting back on their u.s. dollar debt. last year, those lines were cut. that should play into a more profitable picture going forward as they reduce that debt level. china southern slashed there's by 40% by the end of the year. rishaad: what are people saying about these carriers. where do we go from here? >> most analysts still see a positive outlook for these airlines, the sector, china as a whole. it is the world's larg

in china, we've had a stickier time. oure now reenergized presence and our thinking in china. the promotion of the strawberry festival is going to be important. the opening of new hotels is important. zeb: investors would tell you there are concerns about oversupply in the hotel market in china. bete don't think it is a and we don't really care too much about oversupply in the market. 100 orl is not to have 200 or 300 hotels. our goal is to maybe have 20 hotels over the course of the next 10 years. our product is so different that it should fit in almost any tier one or tear to city and still be differentiated. our view is it is more about product and bringing a great new experience to these markets and the consumers in those markets. zeb: attaching the hard rock name to a casino product, which is growing in asia, seems like a very lucrative opportunity. how do you seek to grow that area of the business estimate -- the business? >> first, it is a strategically very important segment or us. our owners have basically generated a lot of their wealth and success on the back of cas

the aim is to turn china into a for innovating in china. is xu lin.e we chose rishaad: what do we know about president xi jinping's preferences? a tendency ton not promote from his own power base. with five officials worked president xi jinping before. that tells you about his promotional style, which might offer some clue. rishaad: what else to expect from this midterm power transition? aswho is going to emerge president xi jinping's's successor? it for he will accept him or will he choose his own person? rishaad: let's have a look at what's going on. xiaomi has no plans to go public, invited at $45 billion in 2014, a funding round secured more than one billion from investors. saying anexecutive ipo is not on the calendar. it is planning to introduce a high end device. shareholders have voted to oftinue back the chairman the retail conglomerate, holding a meeting over the weekend after an internal this beaut. he was proposing to form a new board of directors, giving himself the role of chief executive. he says he intends to resubmit the pr

between china between china and pakistan on one hand and india on the other. just two years ago, india proudly announced that it fired an intermediate range ballistic missile that allowed it for the first time to target beijing with nuclear weapons. the crisis that was averted in 1962 remains a problem to this day. john f. kennedy's forgotten's story of the crisis, mostly from the american point of view. it also has several other back stories which i'll be happy to talk about in q&a like the role of the first lady. it was very important in this issue. and the role played by the cia and tried to sponsor rebellion and type at. me finish with one other word about sources. this book relies upon letters that have only been declassified in the last couple of years between kennedy and nehru. for more than 50 years, years, the indian government denied these letters even existed. in some ways they are very embarrassing. india in its moment of greatest need had to ask the united states to bail it out. the letters are declassified and this is the first book that takes ad

the china open, commodities rally good for china stocks and futures telling that. we will see an upside open. rishaad: government stimulus in china sent property prices soaring in the biggest cities, but a billionaire says they are "reasonable." after he spun off his real estate assets, we have the story. >> announced an underlying profit of $2 billion, but says the real estate market in hong kong and china remained challenging. thinks that when it comes to property prices, they are at a reasonable range. take a listen. i don't think housing prices are searching too much and mainland china. people might have seen prices drop in one or two projects, but in other chinese cities only by less than 10%. uncertainty over the economy and a glut of homes. we have seen prices rebound sharply as the government expand stimulus. we'll get the latest prices in china and about half an hour and see if the recent gains and prices hold steady in february. new home prices rose in january and more than half the city's the government follows. meanwhile, some chinese developers are car

emily: one thing you have on facebook is china. you guys have found a way to penetrate china. how would you rate your progress in china? do you feel like you have cracked the code, do you feel like there is a lot more work to be done there? >> i would hardly suggest we have cracked the code. china is a highly competitive landscape. and it exceeded our expectations. when we started, roughly a year ago, we amassed roughly four million members in english in 10 years. we have seen that substantially grow. and in terms of our core businesses, talent solutions, marketing solutions, et cetera, there a lot of room for growth and early days and focused on getting the membership before we prioritize modernization. we are pleased where we are. emily: you mentioned you had to make compromises and ask users to crens sore themselves. how do you navigate that process? how often has that happened? >> we started to navigate that process before we launched. we spent the better part of 18 months understanding who we were as a company, our culture and values, what it would meet in terms of compli

in both of those markets china implemented reform policies. this is the point about china. it is a developing economy story. it's an economy in transition. and they are in the middle of one of the greatest reform processes in the history of the world. markets are changing. united nations are changing and that can be disruptive. it happened in the equity and infoxchange markets. >> let's talk about equity market, in america and western counties we associate that with economic performance, is that a fair way to prepare things in china, when we saw double digit growth in china there was no equity movement. now there's huge equity movement and rough markets, didn't really correspond to the economic growths. >> when you get you people look at the shanghai market, the schenk zen market almost as if it's on the par with other markets, and it's not. china is a transitional economy. the chinese equity market is where the western market were 30, 40, 50, 70 years ago. to put it on the same level and judge it in the same standard,you'll get critical. that is a long-term reform process,

china claims almost all of the south china sea. it also claims taiwan, but china's leaders normally sensitive on issues concerning sovereignty have not objected to what taiwan is doing here. in these disputed waters the two chinas appear to be on the same side. taiwan's isolated status means that it can't be represented at the united nations or other international bodies that have been trying to resolve the south china sea dispute. this trip was about trying to ensure taiwan's voice is also heard. adrian brown >>> joining us live from beijing is victor gow, the director the china international association of international studies. what is it that makes the government in beijing so very threatened by the existence of this natural island to the point where it feels the need to build islands in that very specific area? >> your correspondent mentioned that there are two chinas. as a matter of fact, there is only one china. there is no difference about china's overall sovereignty of the islands and the areas in the south china sea. this

this is china's success, the relative improvement of china versus the united states. you do not perceive that to end. china continues a linear path to a relative wealth versus where we are, and that is a good thing for all. david: i do not think it ends, but china's productivity occurred by taking 600 million people and moving them from the urban life.to that is pouring concrete and putting down steel. that is slowing down. so of course the heavy industries will have to be reorganized you have overcapacity. on the other side, the chinese consumer has been over saving and under borrowing and under consuming for 20 years. tom: do you see a shift to a service sector china? tim: we are already seeing this, tom. if you look at the comparison of service to manufacturing, consumption versus investment, they are moving in the right direction and we do think in the next three to five years we will see more of this on a progressive basis. there is an indicator that we have built that looks at china's old economy versus china's new economy. you think transportation. the old econ

. >> china wants to grow. despite all of the problems, they still have the ammunition to make it work. i am not too worried about overall growth. the forecast is 6.3 this year. -- 7% next year. the problem is not whether china is in for a hard landing, but are they tackling problems or pushing the problem along the way? the asia analytical md says there is only one surprise from the npc so far. >> there is nothing in the five-year plan that comes as a big surprise. there are really formalizing all of the things that we have been saying all along, but the one thing that did come across, watching the premier, is his masterly presentation of a slew of bad news. michael spencer says we may also see important reforms to monetary policy. >> our expectation is that reserves will decline at the rate that they have to the last 3-6 months. has been helpful talk that may be reserves could be higher, and i am much of that comes from. cut is in response to the last couple of months of reserve cut. -- reserve cuts. the bala

china keepsews for rolling in. pmi coming up 49.4, falling from 50.1, so it did hold its head above water in the previous month. broadly painting a picture of disturbingn what is is this services sector is meant to be the new driver of china's economic growth, more than 50% of the economy. this has been the intention to overtake the traditional drivers. data shows it's starting to lose steam. year it isf difficult to get a read of the , factories and businesses closing, finishing up a seasonal distortion. we tend to have to wait until march later in the year to get a good indication of how the economy is going. the picture it paints is one of a slowdown. that services pmi falling, manufacturing in contraction, the weakest since 2008. we have forgauge manufacturing also in contraction for more than a year , so none of these numbers are good. we have two bank he of events , a top political advisory body comprising academics, politicians, advisers across the cultural sector, politics, financial sector as well, they ar

bad news about china. our view is the chinese economy is fine. it is slowing down as it should. central and dollar economy in terms of nominal output. but do expect that economy to grow at 7% every year is just unreasonable. it should slow at a national rate is something light 6.4% if you use the official numbers as a baseline. -- you know, it is a manufacturing-heavy economy and we are in the middle of a global trade war. tohave been in the last six seven years. as a result, manufacturing suffers. given the makeup of the chinese economy, it's perfectly reasonable that you expect china to slow down. rishaad: we know the problems there, but it keeps coming back and fighting it. the authorities are also acutely aware what is going on. i think people get concerned that they are not doing anything about it. >> i'm not sure that you can do a lot about it. all this talk about an intentional pivot away from investment and heavy industry towards consumption and services , you know, i think it's a bit disingenuous,

this is the insane amount of money that china spent. $1.2 billion china sports toia paid for the rights broadcast those games. that is 100 times the amount of 2015. if you look at commercial value, the league has some way to go to catch up. that brings me to my next point. how open is the league to international challenges. english premier league remains top there. some of these leaks have caps on the number of foreign players allowed. in no way is this: related to how good the team is. it shows the potential interest it can generate by having foreign talent. have a look at supply, and where better to look than the biggest soccer crazy country in the world. best, buthome to the also the most underpaid players. 80% of brazil's professional football players earn less than $250 per month. above therely country's minimum wage. in fact, only one player among 28,000 earns as much as the average world player gets outside brazil. you do understand why this chart actually looks like this. it is the number one exporter of football players, and even the biggest clubs have been struggling. they hav

china is a case in point. the country is in transition, moving from being the workbench of the world to higher levels of qualification and more services. and beyond its borders, china is investing more and more in other parts of the world. most of the money is going to other asian countries, but sub-saharan africa ranks second, at over $119 billion u.s. for a long time, it was an exchange of infrastructure for raw materials but now, like here in ethiopia, we're seeing factories that once stood in china. reporter: the early shift is about to start at the world's largest women's shoe manufacturer, located on the outskirts of huanxiang in southern china. the boss has ordered the employees to assemble, and each d evy e ofhem knows thr spot me th in place. reporter: attention. look to the right. look straight ahead. good morning! zhang huarong has some important news to deliver. and it isn't good. times are tough and management has come to a decision. some workers will have their wages cut. others will be sacked. z

everyone i talk to circles back to china. china, china, china. may be china, china, yellen. the chinese appreciation -- here is the new weakness, with the devaluation here and the managed dynamics of this trend. we rolled over with the new renminbi strength. tomvonnie: it's fascinating; the was a story pointing out today that the synthetic index that measures the chinese yuan is actually weakening, down 5% this year. they're managing versus the u.s. dollar. tom: steve roach do that. did you ever think sunday your be talking about the synthetic? knew!: ikn knew, i just tom: francine, give us the synthetic chart please. francine: as long as the chinese authorities nowkknow, that's fie with me. it's all about china. yellen, and might also have something to do with japan. but basically, i chose japan's topix. i benchmarks it to the tobacco index. -- youis chart tells you can see it's at a record for the year. that means the topix they go down. the like that, tom? tom: it's brilliant. the handkerchief is coming out. tom: he can't speak you so taken!s so francine: let's bring in o

if china is week we don't have to worry, but china is strong we have to look at the strategies that china is adopting in order to fight what it sees as the warhead which gets into the realm of words you have heard, the jargon access aerial denial and asymmetric warfare. once i get to that point there is an issue we have to focus on. i go through the flashpoints for war whether itwhether is south china sea, east china sea, taiwan, north korea, and finally to try to cut throuw you present with seems to be an eventual conflict with china which is where we'll talk about the pathways to piece. i am going to move through this fairly briskly. let's begin with the intentions question. we start with, there is absolutely no question, china needs to have a strong military. no question about that. the british took the port, the opium wars is doing the same thing today, using coercion to take territory from people. germans and french were absolutely brutal us was right there as the junior imperialist at the time and of course we know the history of which appended. the chinese attitude is never again.

it has largely been on optimism about china and the outlook for china. says look someow prices could tumble as much as 20% over the next year. a pretty good time for bearish bets. let us talk about commodities. the iron ore price. that had a lot of people scratching their heads. i have the chart here as well. iron ore -- a 19% surge is unprecedented. all kinds of reasons have been suggested. we are retreating a little bit from singapore futures coming down. but not retreating all the way back to where we started. are things going on in metals markets? china the sale of narrative as part of their hedge fund trade. short covering there. with commodities, don't forget the subset of hedge funds. trend changes, the load judgments. as you have seen a slight improvement, there has been a huge it short covering from these players. that combination -- that graph is quite extraordinary. anna: we have seen a quite strong rally in oil prices since the start of the year. up above $40 a barrel. that is quite a jump from where we were. mid-20's in the middle of january

and access between china and pakistan. china and pakistan had barely any interaction with each other before 1962. but if you look back 50 years perspective, it's 1962 when the alliance between china and pakistan begins. and today that alliance is very strong. they call it the all weather of wind. that's kind of a snob of the united states. we are not all weather. they are all weather. they say it's taller than the himalayas and deeper than the indian ocean. and just this year china and pakistan signed agreements which will lead to $46 billion in chinese investment in pakistan infrastructure. and, of course, it has another dimension, their secret nuclear pollution. pakistan and china have been secret nuclear partners since the 1960s. china gave pakistan the designs for its nuclear weapons force. and today pakistan as the fastest growing nuclear weapons program in the world. faster than any other country. this is also lead to a triangular arms race, probably the most dangerous arms race in the world today between china and p

china is still strongly opposed to u.s. plans to deploy a high at tud missile system in-- altitude missile system. >> translation: we oppose that because such an action harms the strategic security interests of china and other countries of the region and goes against the goal of maintaining peace, security of the area. >> reporter: the provisions of this resolution go further than before, but will it p properly implemented and how will the north koreans react. in the past when they have been punished it has only provoked them to take further action >>> joining us on skype is robert kelly a professor of political science, a specialist on korean security and missile defense issues. this was a low-level response on the part of north korea. how come? >> i'm fairly surprised that the north koreans didn't do something more and i imagine something more is probably coming. my guess is why they pulled no punches was because china voted for it. they need access to china's banking system. the chinese are behind this, which it seems li

-china a in sea. it had negative connotations because it was signed by two superpowers as an effort to avoid world war iii. a major trade partner with newer social ties, indeed we had 300 thousand chinese students studying in the united states right now. you did not have that during the cold war with the soviet union. a military consultant of agreement was signed which facilitates the annual discussion of maritime issues. and initially lacked some of the issues. over time, the two nations adopted a code of unintended and counters at sea that was created by the western pacific naval symposium. an annual gathering of navies that operate in the region. a friend of mine, captain smith, shared with me an encounter he had with a chinese forget in the eastern see a few years ago a end discussed the professionalism of his chinese counterpart. i am confident that even with the hc accord, one thing we can say for sure, with the hco court, there was a little bit of hanky-panky tween the u.s. and the ussr as i re

gordon: i think that is what china is trying to do, to force foreign companies to create content in china. that would violate the january rules, but that's the only approach i think, in the short does because clearly china not want to have foreign generated content on chinese websites. it sounds terrible, but yes, i think that is the only thing companies can do right now. cory: gordon chang, thank you very much. turning to the u.s. markets. suggested no rate hike anytime in the near future. we take a look. words ringing in my head right now, and those words are "perceived cautiously." janet yellen was talking about interest rate rises or may be the lack thereof. taking a look at what has happened in the markets, the s&p, dow, nasdaq, all in a broad rally, going higher. look intraday on this day of trade, we can actually see that when janet yellen said gave a lift to the markets. right around 12:20 p.m., you sue that left. and then we never looked back. let's take a look at some of the .pecific stocks for tech stocks, you can see these were the biggest gainers, on the order of 2% or more.

suv in china. started out as a trend in 2015, of allt one-third passenger vehicles registered or sold in the chinese market are now these big suvs. so there is a preference. 34, 35,n 10% in 2010 to 36% based on january and february data. .hat is where we are something to watch. you want to look at your carmakers who are very much in this product. rishaad: take you. and you another set of disappointing trade numbers. we are going to head to mumbai to have a look. ♪ rishaad: let's look in sydney. can we expect to see the h.p. open its wallet? paul: not really. mckenzie did not really go that far. he made these remarks to a conference in melbourne. the cycle of business does not depend on doing deals, and there is opportunity to happen without doing deals. at the shakeout is happening right now. it is going to evolve depending on prices. as far as prices go, andrew mckenzie is not optimistic. are relatively bearish about the price. probably more bearish than the price of any other commodity. busines

china remains a concern. the latest data indicating a slowdown continues, keeping more pressure on the government as well as the growth target. thailand is helping japan and korea, as the leading destination for a vacation. follow me on twitter. this is my handle. don't forget to use #trending business. trading in indonesia adding underway. green across the screens. here is heidi. heidi: empathy good way to kick off the trading week -- a pretty good way to pick up the trading week. we are seeing the sentiment carried through to the asian session. juste start of the week, coming online, putting on half a percent at the open. seeing very strong gains from the energy sector, from financials.we had a lot of central-bank action last week . this week, the bank of japan and the fed, meeting for the latter lf

chinese tourists arriving on chinese airlines, china's southern and china southern and chinese team, the main to sources, and they spend $5.7 billion, so big spenders as well. if we take a look at another chart, education, an influx of chinese students studying in australia. gainingsee the line steadily year on year, reaching 93,000 last year. universities love these students because they pay full fees. many also by apartments to live in, backed up by their wealthy parents back home. is aof these industries replacement for the void left by the mining boot, but encouraging to see some diversity in the austrian economy. yvonne: what about the dollar and chinese demand? how has that helped in terms of turning around services in australia? paul: the weaker dollar propelling these industries. services, a look at services plotted against mining, services used to be a dragon australia, subtracting .5 -- a drag on austrian economy, subtracting .5%. impact by the low australian dollar as well. we will look deeper into this issue of how the chinese rebalancing is affecting things here in austr

and china. some parts are clearly directed at the north korean leadership among the luxury goods banned, aadequatic recreational vehicles like jet skis and snow mobiles. despite the agreement on the resolution, china is still strongly opposed to u.s. plans to deploy a high-altitude missile defense system known as thaad in south korea. >> translation: all parties concerned should avoid actions that will further aggravate the tension on the ground. china deposes of the thaad anti missile system because it harms the security interests of china and other countries of the regime and goes against the goal of maintaining peace, security and stability of the peninsula >> reporter: there are now important questions, the provisions of this resolution go further than before, but will it be properly implemented and how will the north koreans react? in the past when they have been punished by the u.n. security council it has provoked them to take further action >>> south korea's opposition members of parliam

that i know g in china, ♪ china, china, china, ♪ china, china, china ♪ china china ♪ china ♪ china ♪ china china. china china! ♪ kennedy: that is impressive, but i feel dirty and naughty and not so fresh every time i hear that. i don't know if you could say [ bleep ] like that on tv, sorry. that was rude. but brace yourself, not to be outdone, fill harmonica orchestra composed a entire sim-- symphony. kennedy: i know people love their pets, i have about 796 names for my bulldog puppy lemm i a lemmy. i understand pet love, this is my gift to you. marry thorn love her pet, his name is ram poe, h rambo. he wears little outfits, rides in the side car. he is polite with kids. he has his own bedroom, and mary treats him like a baby. because he is a 6-foot will gator thaalligator that loves a chin rub. she has a solution, she is putting him in the side car, how cute is that? she is going to have him certified as a therapy animal. yeah. i hope she gets accomplished before her face transplant after rambo rips her eyes out and snacks on her nose, but, he is an alligator, thank you florida fo

mark zuckerberg hazmat china's -- has met china's up again the chief. aganda been china's prop chief in china. casino slashed to junk by standard & poor's. to weaker than expected earnings and the loss of business diversification as a result of disposals in asia. the french retailer responded by reaffirming its operational prospects. officerf executive henri will retire december 1. they will split his role with the man taking over as ceo and dniester vern the coming -- denise duvern becoming chairman. henri could be on the shortlist to succeed as the ceo of hsbc. anna: chinese policymakers have concern abouteir the surge in leverage of the world's second-largest economy. it came after the national people's congress meeting the chest china's top priority is securing annual growth for years to come. the vice premier said that china would do what it must address the situation. >> we will strengthen all around regulations and tamp down the risks to the stocks, bonds, foreign exchange, and property markets. this is our bottom line. let's bring in our quality

whether you think china will overtake the u.s. in economy, it will certainly be the region's superpower. let's not forget this is an election year. this is the problem, isn't it? what is the chance of a sensible public debate of this issue. between somewhere non-and absolutely none, unfortunately. class in australia has become short. there is a lot of money coming into the economy, and people have become more tactical and a weight they are looking at things. something like for an investment really does need to be done with strategically. a chance there will be a reasonable conversation between the government and the opposition in the electorate. it could come down on the other side. in the regions and rule areas -- areas, they could beat the nationalism drum. it is a fairly cheap way to go but it never really fails for whichever candidate is using it. the market is unpleasant out there as well. rishaad: thank you, mike. an entrepreneur who is democratizing finance and china by offering affordable credit online. it is the future of

the main transmission channel for china's economic growth to the rest>m of the world, when china slows down it stops buying raw materials. >> rose: commodity prices go down. >> correct. now, china has to stabilize at the sustainable level of growth which mean that china needs to stick to its reform agenda. i don't think china's destined to hard lining. i think china -- >> rose: it's an economic agenda not a political agenda. >> it is an economic agenda but economics and politics are in any system closely connected. >> rose: before i leave that, two quick questions. one the commodity prices÷ demand. what has to happen? is it simply the chinese economy as a principal driver of demand around the world has to be stronger in order to see commodity prices come back up. >> look partially we've got to recognize there was a commodity super cycle which was reflecting unsustainable levels of growth. countries that managed to that knowing it wouldn't go on forever are stronger than countries that thought it was the new normal. we're going to enter a period where if we can successfully increase gl

china worked with us at the u.n. china is the neighbor to north korea. they have more influence over north korea than any other country. they worked with us at the u.n. and we have since that u.n. resolution had our teams working with the chinese to execute against it and to implement it. in the case of russia, russia is one of the u.n. security council permanent members. we have sanctions against russia working with our g-7 partners and others around the world. there are multiple ways to work . the international community charlie: here's what's interesting about that. secretary kerry just returned from moscow where he's trying to work something out with vladimir putin, the president of russia, about syria. so he's there trying to work out something about syria. at the same time that we're imposing sanctions not only on russia, but on some of their leading friends of the president. jack: the reality is, we are working with russia, we worked with russia on the iran negotiation. they were part of the negotiating group. charlie: the president said they were

>> naturally because china sits at the heart of the supply chain. look at the mobile phone you are using, the cars maybe you are using and the clothes you wear, everything, china is embedded in it and this is unlikely to change no matter you know how hard you military repositioning or signing the tpp with china's neighbors, these things are not likely to change the reality that china is, in fact, embedded in the world supply chain. >> please give us some specific examples of what this would actually mean for the rest of the world. >> well, china's economy is shifting towards more economic consumption and then the masters of the people coming from the countryside would be given household registration with access to healthcare and education for their children so they are likely to boost up the growing internal consumption already during the past five years or so. indeed, services have already overtaken manufacturing as the major contribution to the economy and then the rate of growth or consumption of china, in fact, exceeds the rate of growth of othe

gordon: i think that is what china is trying to do, to force foreign companies to create content in china. they'll of course, that would violate the january rules, but that's the only approach i think, in the short term, because clearly china does not want to have foreign generated content on chinese websites. so that, i suppose it sounds terrible, but yes, i think that is the only thing companies can do right now. cory: gordon chang, thank you very much. author of "the coming collapse of china." turning to the u.s. markets. janet yellen suggested no rate hike anytime in the near future. we take a look. >> i have two words ringing in my head right now, and those words are "proceed cautiously." janet yellen was talking about interest rate rises or may be the lack thereof. in the next several months or so. taking a look at what has happened in the markets, the s&p, dow, nasdaq, all in a broad rally, going higher. the nasdaq up the most by about 1.7% here. and, if we look intraday on this day of trade, we can actually see that when janet yellen said those words, it gave a lift to the markets

jim: if we make the china. our argument, which i personally do not think is the most likely outcome, i look at china foreign currency reserves -- down to about 3.2 trillion and change. falling about 100 billion a month. the imf estimate, given the size goese currency, if that much below 2 trillion u.s. a problem. it is coming down 100 billion a month, we are within a year of a crisis, in terms of what is really going on. manus: look, you manage a bit of money. a few dollars. jim: that is true. manus: that is get you on the spot for msci. spiking since the low, i read a piece this morning saying this is not a broad or a debt. this is not a real volume recovery. take us through your perspective. jim: the first thing on the point of it not having a debt, that is the fundamental of the market. that is a comment on the change the market structure. and you saw some people call it an unintended consequence of dodd-frank and all the banking relation around the world. you have seen a withdrawal of bank capital from secu

china would go to the wto. mexico would go to either the wto or a nafta panel and would win the right quite easily to retain 80 against american exporters of goods and services in a similar amount, a back of the napkin calculation shows china would be able to compete against hundreds of billions of dollars of goods, services and intellectual property effectively shutting down the chinese market. >> let me stop you there? >> hold on one sec. combine that with consumer costs and you have talk talking being a devastating effect as various economic analyses have thshown r the u.s. economy. >> if president trump were able to do that, one thing he says in his speeches is that with domestic demand stimulated, these things would start to be made here would they start to be made here? >> no. i mean that's just not, you know, just because he says its so doesn't make it so. the reason why some workers are hurting, you know, it sounds very appealing. >> policy that deals with winners and losers in the economy. and that's w

china's exports to the united states are three to four times larger than china, so when we put on a 3-4% duty, they have much more to lose. china has a tariff on automobiles of 25%, and ours is in the single digits. if you use it as a lever to bring them to the table because they have much more to lose than we do, then i think that you can be successful with this strategy. that is the strategy that has been proposed by includingman, mauricey, schumer, by romney, by may. unfortunately, this whole discussion becomes very distorted by people entrenched in organizations that advocate against anybody with china. and donald trump comes with such a mode of language that even if you propose exactly the same thing as president obama, people would react negatively. unfortunately, there has been an inability to separate the proposal and it's history from the man, and that is one of the reasons we don't have an intelligent discussion about this, other than here. >> i was trying to do it today. >> i congratulate you. >> i want to thank my guests. scott,an junk scholar, karen, she's former white ho

in china. we have had a lot of easing coming through from beijing, and this is the one that got people worried that they will be adding to leverage when they should be deleveraging. he talked in particular about the corporate debt overhang of bad loans as something that needs to be addressed while still trying to maintain this medium level of growth and development in the economy. angie: but how? things, quitethe debtroversial, is equities crops. the financial institutions, the financial sector, is still fairly undeveloped. that's going to be something they will need to address. is looking at plans to convert that into equity stakes, and this seems controversial, because what you have are banks that can take the bad loans from corporate's and conferred them into the stake of the equity of that company. it is great for the companies and the balance sheets in the sense it gets bad loans technically off the books and frees up more money for the banks to lend -- t alongbut it passes i to those inve

. , chinacalled big three air, air china, china southern, and china eastern, will follow the report and a sweet, a surge of 70% in net income. plunging oil prices have helped cost. cathay pacific and singapore airlines reported hundreds of millions of dollars from hedging losses last year. at the same time, a weaker currency has seen airlines trying to cut dollar-denominated debt. rishaad: the world's biggest dairy exporter doubles its first-half earnings. next, discussing the yuan policy. this is "trending business". ♪ rishaad: many of the world's top leaders in business and finance are in china for an annual forum. an overriding concern will be how to mitigate the fallout from china slowdown. take it away. >> good morning. we are on the sunny tropical island in southern china at the forum for asia, our 13th visit in a row for this forum, which comes on the heels of the national people's congress in beijing, where we got direct us on policy and the state of reform. to further that discussion, we are bringing in a senior fellow at the peterson institute in washington dc. thank you for

china is one of those. china continues to be an engine of growth for the region, perhaps not for the world. angie: it's got to be a collective effort, it sounds like. bennett, always good to see you, joining us in hong kong. coming up on "asia edge" -- rishaad: we are going to find out why apple could be facing a potential crisis when it comes to the iphone. angie: back in two. ♪ a look ate now for what we will be watching for you in asia this week. nike releases third-quarter earnings on tuesday, and we will be watching to see how the company is faring in china. at second quarter sales defy the slowdown, jumping 24% to $938 million, while future orders increased 34%. china is hosting the annual bow forum. premier league to chang -- li delivering abe speech. stephen engle will be there with live updates and big guests. on thursday, we have singapore releasing its budget. the finance minister says the government will be particularly prudent with this year's finances. singapore's economy grew 2% last year.