Look at where we are. This is not available, that may happen. We want to point out, this is for the assetked classes since may 6. That is one they ratcheted up the tensions when trump ratcheted up the tensions. I wanted to show you the haven place. It is up by almost 2. 7 . They were some inflows from Foreign Investors in particular. There was a drop leading this. This exposed the china and u. S. Trade were. A pretty interesting look across the asset classes. William this is on a higher tear at the moment. They did rather well against the west indies. There we go. There is the dollar against the rupee. The 10 year yield has been creeping up of late. We saw this victory in the election. This rally was really getting going there. Advantage that you had with the 10year note in india. Four basis points down. 6. 94. E up to we will look at this. This is the first word news with selina wang. The front one or for frontrunner Boris Johnson is refusing to rule out a no doubt brexit. He is being vague about the possibility of suspending parliament to force a hard split through. Isresa may has indicated she willing to vote against johnson and a jeremy hunt if they pursue a no deal divorce. Nesia has ratified saidonstitutional court that they failed to bring the deficit for the allegation that combined to help him win. Decision was not unexpected as the appeal documents were printouts of local news articles. Loans should ease in the coming months. The r. B. I. Stress test showed lenders this dropped by the most in 15 years. The r. B. I. Is raising the alarm about noon defaults renewing defaults. India has the highest bad debt in the world. Boeing said it could take months to fix the 737 max. Filing that pilots flying boeing jets have reported Additional Software problems on different jets besides the max. Than 2700 more journalists and analysts in over 120 countries, i am selina wang, this is bloomberg. Back to you. The g20 summit is underway. We are seeing World Leaders arriving. We are expecting the open. Yvonne man is at the summit. Trepidation. Yvonne you are seeing that family photo of the g20, getting up there and taking that picture. We heard from some state leaders. Expectations are low to have any kind of consensus on trade or climate change. We saw plenty of other meetings this morning as well. President xi talked more about he isand have years condemning it. He commented to the every leaders. He called this bullying. We saw some chinese officials talking about the need for dignity. All of those things send a message to the u. S. Does need a trade it with the u. S. But he needs some kind of breakthrough. Whether it is a temporary stress or china wants to be seen as an equal in these discussions. President trump was watching the candidate debates. How will he use that in the trade discussions . He will have to play a harder line because he has to bring something home. Those of is trying to watch the game at halftime. Donald trump is trying to watch the game at halftime. Said, we are coming into the end of the election season. He will have to come across very strong to his base particularly. Backeds to be able to go to the u. S. People and say that i have a deal with xi jinping but it is a beautiful americans. I will bring up bring manufacturing back. The impetus for him is on the domestic side to get a good deal. Towardare looking ahead trump and vladimir putin. What are we expecting . Just the fact that the meeting is interesting because trump has called president clinton twice now since they meeting in helsinki asking for a meeting and getting pushed off. Trump said the mother inquiry did not find any mueller inquiry did not find any probl ems on his part. Vladimir putin, just getting the sitdown is a win. Will they not talk about the pipeline . The issue with that for donald trump is germany. Thosesnt appear that trump runup with angela merkel. He might talk about issues around iran and syria. Thank you for joining us here. Plenty to look ahead to. Thats events. Rishaad back with you. We will stay with g20. Joining us is stephen. Former md. He served in the office of legal advisory from 19761979. He helped establish the chromatic relations with china. Thank you for joining us. Betweenhave things got china and the u. S. Behind the niceties . I think the relationship is deeply troubled. The Trump Administration has followed policies that have pretty much incited nationalism in the United States. The Chinese Government has adopted policies that have basically disaffected the thatrical constituencies supported constructive u. S. China relations. It is not good. In the next 24 hours we will see if there can be a writein of the relationship where President Trump and president she president xi a great agree on suppose. The tariffs are supposed to go into effect next tuesday. The higher tariffs on 300 billion of chinese goods are not put into effect. We dont know. Rishaad shinzo abe is sitting next to the chinese president , shinzo chang xi jinping. What is the best outcome you could hope for . Afters the one you expect that chat between the two president s . Stephen i hope that we see a suspension of the tariffs. I hope you see a clear path toward stopping this decoupling that is beginning to happen. I hope we see a consensus on to allow themei to be a customer of u. S. And china business. I hope we see a consensus on allowing investments and United States and china to expand and fortran in the United States to expand. What we are seeing is the building of barriers on both ines that are ultimately not the longterm interest of either side. It is important that the two ship rightte a a ship that is wrong. Rishaad what will we actually get . You would have to ask President Trump what we would get. We have heard conflicting signals from the administration. We heard President Trump say huawei will be able to buy american goods. We have heard the chinese take an increasingly tough stand on what they are prepared to do at these negotiations. The viewers need to keep in mind that both sides have an overwhelming interest in getting the train issues solved. These are bad for the United States. Their bets with people of china. It is this overwhelming interest but there are people within the administration that accompanied President Trump that believe it is perfectly good to have this decoupling. Regardless of the effect on the American People and American Workers. What we are seeing is American Workers and consumers are being punished. What we are seeing by the chinese is that the punishment of the majority of Chinese People and the protection of incumbents. It is important that both sides act in the interest of the majority of people, not of a vocal minority. In china, that is state own enterprises. Owned i think the overwhelming majority of americans believe this is a total fallacy. Does the u. S. And trump see china and xi jinping as an equal going into these negotiations . Stephen does he see him as an equal . I think he sees china as a rising power, that it is important that we deal with them. T xis visit to north korea, 14 years between visits, that was a clear signal to President Trump that we need chinas cooperation to deal with this signature issue in American Foreign policy. The denuclearization of the korean peninsula. It is critical. This was a clary beal very clear warning to do with us to get and fairly resolution on the korean peninsula. Does he see them as an equal . I cant answer that. There are people in the administration that have a very president xi of and the rest of the communist party that are ruling china. We had a statement from the head of the policy planning and the state department that this is the first time america had strategic competition with a noncaucasian strategic power. Wrong and incredibly misguided view. Does President Trump sure that you caution mark i dont know that view . I dont know, i cant tell you. How much pressure is the at toe for both trump and xi come back with a good deal . Stephen there is increasing pressure on both. In President Trumps case, we are seeing a letter from 661 american businesses objection to these tariffs, saying it is hurting america, it is hurting americans, American Workers. We are also seeing some unrest among farm belt republicans about the tariffs. The export of u. S. Soybeans and corn. These traditional republican areas are beginning to experience a lot of unhappiness. Are they still with President Trump . Will they continue to be with President Trump while we are seeing from is experiencing failures . I think that is an open question within congress and the american electorate. That is increasing pressure. We have a slowing chinese if the, these tariffs, tariffs are put into place on tuesday, we will create a lot of pressure on president xi. There is overwhelming interest on both sides to reach a deal and put the u. S. And china on a road toward resolving these issues. Resolution of these issues is not going to be simple. You have a 90 minute meeting 24urring at almost precisely hours, with a resolve all the issues . No. Can they reach a principle that will allow for the resolution of the issues caution mark i think that is altogether possible. I think you have to ask President Trump and president s President Trump and president xi. Rishaad is this about the narrative from the white house . Stephen bannon is not there at the moment. About maintaining americana . Stephen certainly, the perception in china is this is about keeping china down. In the United States, you are right. Probably anin, handful of others see this as a way to keep china down. They are perfectly comfortable with the decoupling. The majority of the Trump Administration and over whelming amount of the American People dont want that. A prosperous china, a china that house keep peace in the world. This is in the interest of the American People. I think the American People realize that. Term,s why in the long despite these disruptions, i am an optimist about u. S. China relations. The American People understand that we need cooperation to deal with the critical local issues that exist. Is you think that assad we may have been going about it in the wrong way. That are things brought the top of the political agenda. There is no question that the reforms they are asking for in his proposals are in the interest of the United States and the Chinese People. The opening of markets are good for the Chinese People. The majority benefit. The minority that are the incumbent lose. The loser is the incumbent. My years at carlisle, i loved being incumbent. I loved when the government protected might market share. Was this in the interest of the consumer or the customer . No. What the Chinese Government used to needs to do is make policies that will benefit the majority. Most of these reforms are good for the Chinese People. When you have protected markets it is not good for economic growth. It is not good for the consumer. It is not good for the people as a whole. A lot of what is being asked for will help chinas economy. The slowing we are seeing in chinas Economy Today is to self inflict economic policies that are favoring state owned enterprises over private enterprises. They are stifling economic growth. For 40 years i have been working here and i see it is the private sector that is the engine of growth. These policies that are favorite the state on sector are stifling economic growth. In osaka. Ake a listen much, prime very minister. It is an honor to join you and so many distinguished World Leaders. This is based on the free flow of data. This is access to capital and innovation. The United States is committed to sustaining this approach long into the future. We are eager to work with likeminded partners to advance these priorities, the Digital Economy is a crucial driver of economic growth. As we expand digital train, we have to ensure the resilience and security of our five g networks. This is essential to our shared safety and prosperity. Further, United States opposes policiesalization and that have been used to restrict digital trade flows and violate privacy and intellectual property protections. Seeks tod states empower all of our people. We look forward to working with. Ther g20 members this will bring new prosperity to all of our nations. Thank you very much. Rishaad don from making a very brief statement there. Leaders there. Us theyre talking about an open market and fair economy. This is something that people should be listing four. Listening for. Has been banned from the United States effectively. They have to show the resiliency and safety of five g networks. That is what we got from that statement from donald trump. Trump is busy with g20. We have one eye on this democrat debate that has been taking place in miami. We can also have a little bit on that later on in the program. What about what is going on in we just heard rk osaka . We just heard from present from. He mentioned when it comes to 5g, they must ensure that brazilians and security of 5g networks. This is in light of this whole the u. S. Hashat imposed on china and his company. A lot of questions about what they will and whether be sewn into these talks with President Trump and xi jinping. There were talks that perhaps china would not a great to a deal unless the u. S. Lifts the ban. We will continue to cross over to yvonne man. Busy with g20 and the second round of democratic debates just ended in miami. Lets go to our chief washington correspondent. Kevin, give us the highlights. , live,we are here senator Bernie Sanders is talking to reporters behind us. On day one, he would work to address that, there was a key exchange between former Vice President joe biden and tomatoes. I believe you when you say you commit to finding common ground. I believe it is personal, it was hurtful to hear you talk about the reputation of two United States senators who built their on civil rights. It was a farmer contentious debate than the first part. It comes at a time in which senator harris try to emerge as a breakup contender for the democratic primary. She took on the former Vice President. Senator Bernie Sanders, the clear front in terms of the democraticsocialist wing of the party also laying out his vision in terms of how he would be able to take on President Trump. This is to kickstart the president ial season into high gear. What about g20 . Donald trump is looking in on this debate while he has been making the rounds there. What is the domestic digestion of what is going on, globally speaking . President trump has been twittering about the debate. He has made some remarks in terms of the negotiations he is having that are ongoing. No finalized deal between the u. S. And china on that front. That was our chief washington cyrillic int kevin miami. The g20 meeting is currently in place. You have Prime Minister abe shaking hands with the other leaders in the meeting. We will continue with our coverage live from osakea, this is bloomberg. Positions have grown harder since the addition of huawei to the department of commerces entity list. I think there would be it would be unrealistic to see gapping of the fundamental differences between the sides. If there was a truce and andshake and Agreement Agreement to not continue additional tariffs, that would be more likely. There has not been as much preparation has been needs to be. Two sides have been escalating. The question is if they can reach a temporary decision, not to continue to escalate. Over the medium term, it will be very difficult to come up with a real breakthrough. The best outcome from this to render the momentum, denuclearization talks. It seems they are ready to talk but they seem to be expecting the other side to be more flexible. We have our guests speaking about the trade war. Yvonne man is in osaka for us. Were just getting underway for some of the sessions here. We are expecting that meeting between President Trump and vladimir putin. Yvonne we heard from President Trump in the last couple of openingtalking about market discussions when it comes to trade, resilience and 5g networks. We heard president xi jinping condemning bullying by other nations ahead of these talks with trump. Companies must continue to plan based on the assumption that u. S. And china tensions are both longterm plant and a problem that could escalate at short notice. Lets bring in andrew gillum. Andrew joins us from seoul. What indications are you getting from companies now . Andrew companies are back in the position they are were in back in september and december. They are hoping that these talks will avert but if you look at the upcoming u. S. Antenna tensions, there is more volatility and uncertainty. I think people are hopin