Concerns, down by close to 2 in australia. The read this morning down by 1. 5. Thank you julia. Greece has been making headlines for month now but surely not as badly as today. The debt drama has he come up old lung rices with capital controls in place and the euro taking a hit. Lets go over right now where our anchor is then it i. Great to see you this morning. Tell us the mood here this morning. I think we will find out the mood in a few hours with athens slowly waking up this morning. It 6 00 a. M. Here less three hours into capital controls. A lot of people not awake, they will be finding that there country is a different one from the one that they left yes they. Capital controls imposed at 3 a. M. After an emergency meeting we can see limited money being able to come out of the country. We have daily limits being imposed on the amount of money that can be taken out of atms. Pictures snaking around the block over the weekend. 60 euros is now the limit. A very different country for the greek people a very different story for them to vote on as they think about how to cast their votes on sunday in the referendum. Currency controls until that point. Acta you, yvonne. Even the greek creditors themselves were shocked by this referendum that is set to happen this sunday. What can we expect out of today as well as the remaining eight days coming up to this vote . Today will be interesting to say the least. There will be a lot of explaining to do by politicians. Talking to the greek people at lunchtime, we will start to get a series here at around 12 30 greek time in which the government spokesman will direct the press, it will be an absolute packed session with the International Media here as well as in questions about what happens now for greece. As you say there are a number of days before the referendum takes race with a lot of ground to cover between now and then. There is still talk of a last been a deal being reached. Talk that the geopolitical enforcers will outweigh the economic problems they are facing right on the edge of europe, right next to some of the most critical areas in geopolitics right now. We will be watching carefully to see how that story comes into play later on. Any talk on these payments due tomorrow to the imf . What is the outlook on that . The expectation here is that that will not be made, that haman will not be made triggering a series of events. The greek representation of change with their relationship with the imf changing until the payment is made. Christine lagarde has been taking a harsh line but no one here expects the payment to be made as it sets the tone of the rest of the week. Greece is now in default with the imf, thats the story that will be very much in play tomorrow. Guy johnson, thank you so much. The crisis in greece has been a the top of our agenda today. Fred newman said that while athens has heard the bank imposed capital controls it does not mean that greece is about to leave the eurozone. It is extensively on the bailout terms, but we are from the table and we dont even know whats on the table. Its not clear what this referendum is about. One thing to remember is that this does not have to end there is no provision within the treaties that a country could be kicked out. Cyprus has remained for example, with capital controls. Potentially even greece could remain for some time. Greece may read may remain in the common currency but one diplomat said that the crisis will leave scars that will last for generations. This will split families. Friendships. Is this is. Right down the middle. It will be very, very difficult. These groups will hate each other for generations. It is a really, really difficult decision and it is about not only greece and europe but about you throw the nation. Pine ridge investments will cause more turmoil in greece. He was unprepared and uncooperative. They did not communicate well with these decisions. I think that the longerterm implication is the European Community suffering more. That was the word from asia on greece. In other news, the crisis over faulty airbag is weighing on honda from last year its down by 7 because of the cost of recalls with operating profits coming in at five ill you and dollars, maintaining their forecast for this year they have affirmed and eighth fatality in a honda quick with a tech, airbag honda equip with a to caught up takata airbag. Suzuki has told investors that arbitration will force volkswagen to sell back stake and that has completed. Relations between them soured after suzuki agreed to purchase engines from arrival. Apple is set to have started an early production of new iphones and sources say that they will include a feature called force touch sensing how hard users are pressing on the screen it can be adjusted to bring up different functions. The phones are likely to be similar in does in design to the iphone six. Lets get back to the markets now. A busy day harrowing declines, another typical day for chinese stocks in the wake of the chinese Interest Rate cuts of the weekend. As you say, another wild ride on the asian market. We currently have it down 3. 5 with fluctuations continuing and at one point earlier this morning at was in positive territory. Now they continue to sell off as they get close to bear territory. 150 billion have been lost from asian market this morning in japan down and closed by a two to three month low, selling off ridiculously in london on friday night, really hurting the us trillion share market as well. If we do have a quick look at the shanghai concept, what we are saying is that most of the week this is coming through from the Technology Stocks and we are seeing a positive momentum coming through as you can expect, though we do have the banks down by 6. 1 with a lot of the banks looking quite strong as we know that investors like cheaper money with the bank rate cut over where we are seeing them coming through today in china for most Technology Stocks with communications down by 8 and it is anybodys guess what will happen in the next 20 minutes to an hour. Thank you so much. David, painting a wider richer i stopped reading the updates on whether its up or down. Starting in mid sentence here at this point we just dont know where its going. Paint is a picture. What we do know, lets just get this right we have the small cap. Basically the chinese index and to a lesser extent these components are the bigger ones. That said, lets take a look at some of these effects that you have seen from the rate cuts. Too much of a coincidence there, i think. I think that maybe last week there was speculation that they would not move anymore because they had already injected something into the system. Here they had a plunge on friday. We had a cut with Interest Rates on saturday and a further cut across some of these. We have seen a drop in the money market rates for the first time in one to two weeks. I think it is a chart with rapid check asus instead has managed to alleviate liquidity concerns as we approach the quarter area did if we could get that up as well, it is the daily quota hitting 13 billion monday meet. There was a big drop on ride a the quotas a drop on friday that basically meant that people have these funds rushing into the market. What we have seen today is that foreigners are selling as well. Over two days 14 , dont take dont Pay Attention to the percentage 14. 5 billion, there actually is more room for the lota because people are selling and talking about the drop on friday down to 9. 8. We are actually seeing people selling, if you want to put it that way. Where do we go from here . Bank of america, merrill lynch, the latest cuts triggering a sustained rally with the balance being temporary of this link. We could drop between 2 to 30 and jonathan gardner, the chief strategist in asia. Bank of america this morning he comes on the show and pacific we talk about what might happen today, specifically saying that the ferocity of the selloff on friday did not manage to and we could see more coming into play. Even despite what they did over the weekend if they continue to not get balance of market, we are clearly in a bubble. What else could it be . Exactly. Thank you so much on that. Coming up later in the show, mission to the moon, we have a special report on the google plan to get private enterprise into space. Next greece where they even invited to join the euro in the first race . 400 people in the half bital, 200 in intensive care after a fire engulfed the partygoers in taiwan at a party. The colored patterns thrown into the crowd accidentally ignited. Park workers and the organizer are being questioned. Asia has launched a nationwide sought nationwide hunt for the suspect to have massacred partygoers in susa. At least 30 people died in what has been the worst ever of such attacks. The student was shot dead by security forces. The interior minister says that he acted alone but had accomplices. No motive has been suggested. The latest space acts Space X Mission has ended in an explosion. The unmanned rocket was carrying cargo when a block went off in Cape Canaveral 2. 5 minutes into the flight when it exploded and the cause is not yet down. This is the second u. S. Resupply mission to fail in less than a year. Closer to home, asian flip on monday as they shut down the banks and became concerned that the country might leave the european union. Victor, we talked about this for so long now every time that you come onto the show you talked about this and you talk about the experience at Lehman Brothers and the greek fallout. Is this something unimaginable or something that people are expecting . Victor if you remember, their problems started early in 2008. The expectation was that Everybody Knows whats going to happen. That is what everybody says today, that they know that they will have an what will happen and that we can let greece go. When the second or third derivative will happen, they will a we did not think of that and there is another pipeline or product affected. That we are so interconnected through various instruments that you do not know the impact yvonne impact. Coupon how effective will this be yvonne how effective is this going to be . Victor cash already left. That has been happening for months and months. The question is, what do you do going beyond this point . How do you continue functioning as a country, a Banking System and economy . It is just a question of what you do beyond this current juncture. Yvonne what do you do . Eight days into the referendum, how is the government going to navigate these days . Victor people want votes. They want their cake, they want to eat it too. They want to be part of the eurozone but dont want austerity. They want to be part of the union but not with the same rules. Theres not much of a point in asking people they will probably say they want to be part of europe but that does not mean that they are prepared for austerity. The key question is should greece deleverage at all . It may be just too dangerous. That is exactly the position we are in. Ecb recognizes that it is no longer possible. No politicians seem to fully the idea. In which case you need to leave greece alone and just keep going. Try to author some of the structural aspects, but it is to complicated to detonate any country on a regular basis. After all, what will happen to cyprus eventually . Slovenia . It becomes a neverending story. Yvonne it really does. Victor, thank you so much for talking to us again about greece. Coming up, sign a prenuptial. And a gathering in beijing as indonesia becomes one of the top new lenders and investors. Yvonne the founding members of the Asia Infrastructure Bank are in beijing sign an agreement today. 50 nations committing to the project despite warnings about government transparency. Financial involvement was announced but the levines said that they would not join just yet. Good to see you. This is a big day for china area indeed. Beijing in the drivers seat they wont have what they were looking for what prior to this you cannot say that this Shows Chinese ambition in asia getting support like you said with members sign up the largest shareholder investing over 670 million over five years with australia saying yes, never mind key allies have resist it. That means that they have also said no for now and worry that china will not adopt the best practices to super ortiz object and the thing is that china wants us to work and it is in their own interest to make it accessible and successful with the bank expected to start up next year 100 billion of capital. Today that is her, that both were but what do we know about the structure of the banks . There have been a lot of questions about that. And essentially what happens in the aai be, so reporters are ready to cut their lights to last known order of a mile if the u. S. Decides to become members as well. Speaking of voting rights, indonesia wants some as well. I want a lot of people and a lot of say. For now they are getting us live. They queue. We are looking forward to afternoon business in tokyo. The latest after the break. You will will yvonne asian markets are tumbling after reese impose capital controls to a bird financial. Banks have been ordered to remain closed to stop people from withdrawing cash at a record rate. And she will see him in 30 measures after the talks broke down the avenue friday and china has taken action to halt the biggest stock route into decades. The Central Bank Cut the lending rate to a to a record low over the weekend, but it has not top volatility. Shanghai shares have been lurching all session and are currently in bear market territory. The impact is not just limited to equity market and that is offshore trading and a dollar with the yen. Lets get the latest on the markets right now. Julia, how is that you . The shanghai coppice it is apparently down 3. 3401 percent with a lot of selling coming through. Where we are seeing a lot of and i have fallen quite a few technol this technology we had Quick Movement coming through on the Financial Sector by the bank of china on the weekend. They like the fact that their money is going to a little bit cheaper in the Financial Sector which is already in the red territory with banks up by. 7 per month. This is a lot coming through in the asian region. What impact that you have a currencies and we have a lot of volatility in the euro continues to tumble by 1. 4 with a big mark around it 00 as we continued to see volatility coming through in the currency market. The futures market in a think he can articulate where his and that is of course in europe. All eyes are here this morning. Thank you. Lets get more on greece with guy johnson, who has been there all week. A lot of greek people waking up to the shocking new about this referendum. What is the mood so far . It is going to be one of shock. Everybody knew that this was a distinct possibility. This is a fairly fresh piece of news as they wake up this morning. But over the weekend you have seen lines of people at the atm anticipating withdrawal restrictions. Import its interesting to notice that these do not supply to tourists or anyone with a foreign issue credit card. The critical terms sector has hopefully been isolated from the capital control story that we are seeing in athens. But i do think that people find themselves in a difficult situation without knowing the Financial System they will be operating. We have eight days left until the referendum on sunday do the greek people really know what they are voting for this ointment . Either you will be halt tell hard to tell, to be honest. Yesterday we saw the European Commission publishing its proposal for the administration in brussels. And that maybe the offer being put on the table before the people is not necessarily the one they will be voting on. There are some here this will suggest that it wont even take place, that one week in is a very long time and we are about to find out that that is the case here in athens a lot of twisty turns before we get to that referendum. Yvonne tell us about the timeline and what we should be at affecting. We will be seeing some big press conferences today, as well as one here in germany. Remember that they have spoken in the last 24 hours, the treasury secretary talked about the class as well. Geopolitics and economic very notably interest involving the story with three months in the country of Energy Storage stored up. That will he an issue over the next few days but the energy story powers the country to become something that we can talk about. Yvonne guy, thank you so much. Talk about capital controls cash machines across the country have run dry as people try to get their money out. Hundreds of millions of euros were drained from the system at a record rate. Bloomberg has been gauging reaction to the rice is on the the. We did not find money anywhere. I want to get my money before i lose it. I went to the bank and i got no money area my pension. I have not got a house. I pay rent. It would be so many things around me. Here we are, worried about our job . Nobody knows. Did you take money out today . No i kept my trust in the greek government. L serious situation i have ever experienced in my life. Im 25. We had a way. Yvonne the board of ebay has formally approved splitting the company in two, focusing on online commerce and the Digital Payment system being separate. Trading on the 20th under pyp l, some will be free to forge relationships with financial operations. Foreign oil ownership, the government hasnt up rate to emerging markets that is from september. Investors will be able to increase their holdings in a number of in this these. Ownership of banks remains cap. We are trying to play a bit harder, that is what the japanese government is telling civil servants. Telling current employees to come into the office earlier to make sure that they leave by 9 00. Participants will be encouraged to forget about unnecessary overtime. Current japanese employees on average take half of their time off in a year. We are talking about the cost of group today, just one that has been accused of false roof orts of violations. And krueger is looking into this for us. Talk about what these groups are used to doing. Fate 14 stateowned firms they have been accused of. Look at your cost guard, major shipping. Major electricity and energy providers. These are big names to see the government will after these individuals and now the bigname corporations are looking into the balance sheet. The focus has been in violation on the a public fun