In the star ship program. Guy how far are we now to the star ship program . Its a big piece. Matt talking 30 rockets instead of the nine on the falcon. Its really adding complexity to the program and you see them thinking of technology that allows you to get it all the way to mars as complexity, too. Hellon elon talked about the physical issues of getting to gravity and when you get to that size rocket, you Start Testing technology, physics, or our understanding of it as we know it today. Vonnie theres no particular regulator for these type of missions but the International Telecommunications union coordinates the allocation for frequency of communications, matthew, so in a sense space x is given a lot of freedom and seems to be using the freedom pretty well. Lets talk about the satellites and go up in the tower and then one is at the ch lower orbits and they have to push their own solar panels to survive in space. Its very ingenious. Matt theyre using a lot of technology though its got a lot of space garbage and putting a lot of satellites up there will make it difficult to go into the distant galaxies and continue with their work. They have to think about space junk and what happens when you see satellites get into their lives and theyre seag these satellites are fully dissolveable as they come back down into the earths atmosphere and have thought about a lot of things but there are developing issues in space and from the kind of telecom perspective, you do need licenses to use the spectrum. They are going to have to have lots of ground stations and will become a fully fletched Telecom Operator and there are administrative complexities to the telltale side of it. Guy where are we with the capsule that will take astronauts to space . Matt originally they were hoping to have their First Manned Mission this year but had hiccups with testing so theyre still having to satisfy nasa this is a safe vehicle to take astronauts up in space. Theyve been neck and neck with the boeing project but i think theyre slightly ahead. Nasa announced and saying they expect the First Manned Mission sometime in the first half of next year but contingent on some followup safety tests that space x has to do on their dragon crew capsule, the emergency procedures. If you have a failure on rocket launch or have a problem with the kind of landing and power chutes, these safety rockets have to work properly. Vonnie elon musk is tweeting he hopes to have Broadband Services available for retail to the consumer by 2020 with six to eight more launches. But im curious, matt, at what point does this all make it possible to man mars which is elon music elon musks ultimate goal . Matt with 350 satellites they can provide some to the rural areas and will be a relatively small footprint but if they can get that up and running and show there is consumer demand it will get them on the up ground and with these companies that involve elon musk he sells the story incredibly well and that will allow him to potentially gopac out to the kind of funding market and get a few more billion to help the Starling Program or put directly in the mars program so next years crystal in the market to sew they can get interest in the product. Guy they got the video late but got it, you see the booster landing smack on target in the tlantic ocean. Vonnie phenomenal. Guy incredibly complex process that just went through and delivered seamlessly. The next stage as we move on is a significant order of magnitude greater. Just in terms of how it would work, you just have seen the booster landing there, just explain what that would look like with a star ship landing. Like you said, how many rockets was it . Matt 37 rockets. Gipe that has nine rockets in it. Were talking 37 rockets. Seems incredibly complex to get that to launch seamlessly and all those various parts to function as one. No malfunctions in any of those engines and then to bring the whole thing back down and land it on a ship in the atlantic ocean. Matt elon is talking about having other things there and putting launch pads 20 miles out on the coast and theres another complexity, floating launch pads. He has incredible ambition and kind of aspiration for this thing and i think it will take a long time before were there, you have to take it step by step and the first thing is get a fully functional single star ship rocket. The principle is saying youve got a reusable rocket component to it and then youve got your payload vessel on top. The principles are saying its just a magnitude bigger and louder. Guy try to stabilize a ship in the ocean. I guess they do it in the oil rig industry but to do it to that degree of precision would require some ingenious technology. Matt, thanks for walking us through it and giving us insuit to what comes next. Thank you. Vobby . Vonnie i can only imagine the excitement at Cape Canaveral and california as well. Protests in hong kong intensified as police fired tear gas in the citys Central District after the shooting after protester increased tensions. Hong kong leader kerry lamb addressed reporters warning the violence could lead hong kong to the point of no return and her priority is to restore calm. If theres still any Wishful Thinking that by escalating violence, the Hong Kong Government will yield to pressure to satisfy the socalled political demands, violence is not going to give us any solution to the problems that hong kong is facing. Vonnie joining us now from hong kong on the phone is Bloomberg Markets anchor. This violence that increases little by little, will it galvanize protesters . What weve seen has been very chaotic and what weve seen is hour 16 of this violence thats not stopped this evening. Were seeing riot police in parts of the city which has been a very much territorial right of trying to stop these protests but it has been something thats seen a much more angrier crowd after what we saw with the death of a student last week who was one of the first deaths that we saw that was tied to these police clashing with protesters since the demonstrations begun five months ago. You are seeing a much more angrier crowd and tensions escalating more over the weekend. We had 90 arrests saturday and sunday. Dozens injured today. School was canceled. And you mentioned about the more serious incidents today of two men in Critical Condition tonight. This morning a Police Officer shot a protesters at pointblank which triggered a flash mob by noon and in a separate incident, the shocking video making waves on social media of a man being doused with petrol and lit on fire when a man was arguing with protesters. There are fears that things could get worse now. Gyp yvonne, how are the guy yvonne, how are the banks handling it . Yvonne the a. T. M. s are shut down and one of the tactics, theyre targeting the chinese banks or banks that are siding with china here. So what we have seen is that a lot of them have been shut down. There have been a lot of rumors about withdrawals and what the protesters are aiming at taking money out. Those things have not been confirmed. Carrie lam talked about that. But things have not been confirmed and should not be trusting what has been spreading across social media. But at this point weve seen a lot of these branches closed for the time being as well as many of the retail side of things. Yes, theres a lot of worries about deposits and the worries about withdrawals because the economy is in recession and we have seen some signs at least there have been some outflows out of the city. Vonnie thats bloombergs yvonne man in hong kong. Switching gears to trade in the markets as investors await more developments. President trump said the u. S. Has not reached an agreement with china and emphasized he will not go on the tariffs. Lets bring in carol slice of downing investment chief officer. What can be expected in the coming days and weeks, should investors stay quiet and not do anything with their portfolios are there things investors can do to get ahead of any turmoil that might be happening . Carol there are many things investors can do in terms of not being afraid to hold cash and rebalancing portfolios but to trade actively in and out on what you think will happen in the trade war or any other short term events probably isnt such a wise move. Vonnie carol, obviously the bond market is closed today, its veterans day, remembering those who are serving and have served but u. S. Equities are lower for a monday. Are we waiting on the next trade deadline, are we waiting for hope on that side of things or is there Something Else the market can trade on for now . Carol the markets are atune to the trade issues and you saw it last week and you saw it underneath the surface in a way that growth versus value participated in the week when we thought trade issues would be settled more quickly, growth oriented sorts of names behaved better. We do have mr. Trump making a speech tomorrow at the new York Economic Club and so im sure a lot of Market Participants will listen closely for what gets said there for any hints or indications on what the trade front might look like. Guy what have you focusing on this speech, he has spoken before and maybe ininvestors took what he said quite positively. Starting tomorrow hell be very aware of market levels and what his mess sidge likely to do to that. In many ways he needs to get the economy motoring into 2020. What does he need to say omorrow to make that happen . Carol hell be very conscious in making sure that happens in terms of lending some support to the trade issues and saying they still want to take a tough stance on things like intellectual property and yet theyre willing to make a deal and willing to be at the table and willing to be on the phone and looking for an opportunity hopefully in order to sign a first phase deal. Guy do you think guy do you think the equity market will move higher once we get a phase 1 deal or will that be an opportunity for maybe people to take positions out . Phase 2 will be very difficult. Carol right. I think the sideways movement weve seen, the sideways with a slight upward legitimate because we have hit new highs recently. But that back and forth activity can likely continue as long as the economic numbers come through well. And theyre getting downplayed this week but there are key economic numbers coming out this week to watch as it relates to the health and opt miss imof consumers. So optimism of consumers. So if phase 2 is signed theyll look at the tariffs and what it contains and from a Business Sentiment standpoint, its imperative they get some clarity about what the overall goals are short term and longer term to give them the opportunity to move forward with Capital Expenditures and supply chain rearrangement to the extent its needed and a host of other issues. Vonnie carol, remind me of the investment themes downing is finding particularly attractive at the moment. Carol we continue to participate in the growth oriented, assuming were not going to see a downturn. Well continue to see global accommodative Monetary Policy and that this steady as she goes sort of growth mentality, low growth, low inflation should continue to participate well. So we remain oriented towards the growth oriented names as opposed to taking a real hunker down and hide mentality. Vonnie are you anticipating any kind of a rotation any time soon . Many people are saying its value time already and has been for a little bit. Carol were not positioned in that trade, if you will, though were being more conservative across the board, as i mentioned at the outset being conscious about rebalancing stocks, up lot this year, being conscious about the kinds of stocks you own and the dividend yielding capacity of many of those and locating in sectors that should participate impervious to a lot of whats going on internationally. Guy lets talk about the bond side of the portfolio, what have you made of the recent backup and yields, are you a buyer of that move . Doesnt sound like it considering youre looking for rowth. Carol the more interesting thing is the yield curve, but theyre down dramatically from where they were a year ago. Its important for investors to remember, too, owning a bond fund where billions and billions have flowed, owning that bond fund is a different animal than owning the individual bonds as rates move around. When you own the individual bonds, as long as the underlying entity is creditworthy, you get that investment back and when rates move around, theres no guarantee youll get anywhere on anything in the Investment Business but theres no assurance youll get that money back at some point if its moving the wrong direction. Vonnie carol, thank you for joining us today, we appreciate your time, Carol Schleif of Abbott Downing asset management. Lets check in on the first take news. Bonnie and the new york rep is calling it quits, a member of the Homeland Security team and is the 20th to plan an exit this year. The former ambassador this year said jon kelley and former secretary of state Rex Tillerson tried to undermine president trump. Nikki haley said when they resisted the president , they were trying to save the country according to haleys new book. In the u. K. , the head of the brexit party is clearing the way for conservative candidates for next months election. Myron will not content 300 seats against the party but will try to keep labor candidates from winning seats in parliament. And in bolivia, eva morales resigned. And there were weeks of violent clashes that led from intervention from the armed forces. Morales had been in Office Almost 14 years and called himself the victim after coup. Global news on air and tictock and twitter and powered by more than 1,700 analysts. Im katie lyons, this is bloomberg. Guy its veterans day and volume is very weak on both sides of the atlantic. The stocks are flat at this time and some of the minors are taking a hit. The pound has been gaining and the highs were up by. 8 on the farage story katie was just bringing us and you see what is happening with the haven assets nd gold trading down by. 4 . Volume is light. This is bloomberg. Dd vonnie live from new york, im vonny quinn. Guy and im guy johnson. The market now with abigail doolittle. Abigail looking at a risk, with. 3 . On the worst day in more than a month. The weakness extends around the world. We see the ftse 100 down. 6 . Theation section especially week, look at the hang seng, down 2. 6 , worst day since august and the shanghai comp, worst day since july and the hong kong protests and fear a trade deal between the u. S. And china may not get done. The strength at the british pound and seeing a nice pop on the fact a brexit deal could happen. Walgreens popping on a report k. K. R. Is said to have made a formal bid for the country and meg tronic is higher and technology is quite week. Vonnie ahead an exclusive conversation with the head of instagram. Guy welcome back. Face books instagram is planning to remove like counts to reduce pressure and anxiety in the popular app. The c. E. O. Spoke exclusively to bloomberg at the y25 tech concurrence that took place in san francisco. What were hoping to do is depressurize it a bit and make it a business of a competition. Were focused on young people and we think if we can make like counts private you might let people focus on more on people they care about and weve been testing it and will Start Testing with a small percentage of people here in the u. S. Hopefully next week. The idea seeing if i cant see how many likes your photo gets, that might decrease my pressure around sharing myself . Yeah. Youll be able to see how many likes your own photo gets, not how many likes others have got. The idea is to try and reduce anxiety and social comparison but specifically with an eye towards young people. What are you seeing in the other countries where youre already running this test, is it changing the way people interact with instagram . Were seeing Different Things in different countries. We want to understand how 2 changes how people use instagram but more importantly we want to see how it changes how people feel, measuring how people feel is more tricky. It takes a long time to see how you feel about a platform to change and why the test has been running for so long and will take time to get out the door. Clearly, you must feel people are feeling better about instagram as a result this or i assume you wouldnt be rolling it out in other markets if not. Were seeing encouraging data on a number of different fronts and why were rolling it out further to see how it works in other countries as well and see how it does in the u. S. Not the whole u. S. , just a small part. Are there other things youre thinking about on the same front, either around metrics or some other way around the way people share that might change, you know, the feelings people have when they use the product . What you back up and think about wellbeing and facing integrity more broadly, i think there are three areas of work we do, one is we try to identify acute issues, things like hate speech and try and address them and move them up the platform. The second is were trying to take issues we can lead on like bullying, for instance, were very focused this year and trying to innovate different portions on how it affects young people and harmful effects of bullying and also witnessing it. But rethink the fundamentals of how instagram works and where private likes come in. The accommodation of things i hope will change how people do in a platform but none of this theres no one silver bullet. Its a broader cultural shift in how we think about what we do. Vonnie the face books head of instagram speaking with bloombergs kurt wagner. Still ahead, a single day record. More on a stock and how willing Chinese Consumers are to spend as Economic Growth threatens to slip below 6 . A quick look at u. S. Markets this veterans day. Quiet day nevertheless, indices are down a 2 3 of a percent at least and dive into details in a bit. This is bloomberg. Vonnie live from new york, im vonny