Using a chat room to rake foreignexchange prices. Ago, before we get underway in hong kong and china. Singapore, taipei, and kuala decoupling up through what happened in the u. S. Again struggled to get to that 20,000 level in the dow. After what we saw in wall street, in asia were headed for the best january. There was a surge we saw in metals. We see chinas factory prices accelerating. Highest arises in a month. Ls on the rise there. Elsewhere in the region, extending the rally for a seventh day. The sbi closing at 7000. The highest since november 2015. The nikkei up 0. 1 . The yen, a two day climb. Carmakers and Electronics Producers among the biggest gainers. Toshiba up 4. 8 . As 5. 8 . Ising as much here is a look at what is going on with that stock. We have seen it surge on signs lenders will support the japanese company. Banks say toshibas main have not had financing since february. It may be difficult to receive loans. There wast toshiba warning of a writedown on their u. S. Business. 35 of itstain market value through tuesdays close. In the shares are closing at the highest since december 28. Honda, we see the automaker recalling an additional seven it is 72,000 vehicles from the u. S. The stock did dip, following the news. Now it is up 0. 2 . Thank you for that. A lot to watch out there, toshiba in focus. Equity markets, bucking the trend globally. Lets get to first word news with haidi. Haidi meeting with a donald trump on the future of the mining industry. Withndrew mckenzie talks the president elect in new york about Global Resources and investment in the u. S. Incoming Administration Pledges to boost infrastructure spending, uplifting metals and producers. Beenttorney general has rejected after confirmation his confirmation hearing in washington. Jeff sessions agreed to recuse himself from any potential investigation into Hillary Clintons emails and the clinton foundation. Question his hardline views on immigration, terrorism, and civil rights. Navylagship of the chinese went through an error identification zone in the last hour. The Ministry Said they entered the zone to the southwest, going north along the taiwan strait. They had been carrying out marine combat drills in the South China Sea since last week. The number of those killed in southern taiwan has risen since to 25. Torrential rains have affected many people. Plantations have been devastated, and stranded thousands of tourists. The severe flooding is reported provinces, and the main highway in possible. Powered by more than 2600 journalists and analysts in more than 120 countries, i am haidi lun. This is bloomberg. Rishaad exposing a multimillion dollar deal with the u. S. The emissions scandal, what are the details here . 4. 3 billion, for criminal and civil penalties. This is a Draft Agreement from volkswagens board. This is expected to come through on wednesday when they take a look at it. Then we will know if they actually accept it. And there is a guilty plea on the park of on the part of volkswagen when it comes to this cheating emissions scandal that has enveloped a lot of its brands. As i said come up 4. 3 billion at stake. But it raises the price of the 23ire scandal to more than billion dollars. This is significant between of 19. 2agen only put aside billion in terms of how much it wanted to pay out, that it could pay out. So this is over and above what they were expecting. With that said, lets look at volkswagen shares created here in the United States. 1 45 p. M. Newund york time, there is a pop. That is when the news crossed here on the bloomberg. It popped by as much as 1 to close up by 0. 4 . But we are looking at a high not seen since june of last year. Six or seven months or so. We are seeing something along the end of the road for the financial but the brand of volkswagen. Rishaad what about the legal side . Vwt is the latest on whether executives could be indicted and charged . Ramy yes, they can be indicted and charged. One person has already been charged. He is the liaison to the environmental regulators here. He was actually vacationing in miami, florida. Is in been arrested and prison. He has also been deemed a flight risk so he will not be going anywhere. But looking overseas from the u. S. To germany it turns out volkswagen has found its executives in germany and urged them to stay in germany. That is because u. S. Prosecutors are already thinking about looking to charge more executives. There is not been any comment as to who specifically they want to talk about. But volkswagen did come out with a statement, saying it would not be appropriate to discuss personal matters. One interesting thing he forth in the back to you is, there is an issue over extradition. The u. S. Can charge of volkswagen executives with a number of complaints. But whether they can get them to be extradited from germany to the u. S. Is another question. Based on germanys contribution, that will not happen unless berlin allows it to. Because extradition only applies to other eu nations. They can charge them, but that does not mean they will get them. Rishaad thank you, Ramy Inocencio theyre staying with legal things. Three traders have been charged for rigging security rates. This has ensnared big banks. Tell me something, what actually happened here . Late in the day we know that all three of these currency traders who have been linked by the government to this chat room cartel were formally indicted on criminal charges. Notably, all three are in the u. K. Right now. According to the government, these three were part of one of the biggest rigs on record. As you recall, in 2015, 5 major banks were held accountable. And they went after the individuals, as well. All three out of the country and charged with rigging currency rates in a chat room that involved trading of u. S. Dollars and a euro dollars. Lets talk about the specific traders involved. Chases former trader, richard archer. Pressure. Richard usher. Citigroup, with another trader charged. A trader at barclays. What is very clear here, comes from his attorney. Who points out he was cleared by u. K. Authorities and never given any legal advice or guidance or instructed by barclays as the u. S. Law. The charges carry a maximum penalty here in the u. S. And 10 years in prison and a 1 million fine. And ely, both usher were charged 5 million from eight separate regulator and banned from participating in u. S. Industry. There will obviously be extradition and it could be quite some time, experts say months of not years, before it is brought back to the u. S. , if that indeed occurs. This . D how did they work late 2007 and 2013. There was a form of doing business that no longer exists. These three traders, according to the indictment and the charges within, met in Online Cartel chat rooms. It was limited to specific trading fixed prices. The goal is to eliminate competition. Back to you. Rishaad thank you for that. Emerging markets coming up. How much can this how long can this optimism last . China shifts to consumptionbased economy. But they have a long way to go. Rishaad lets look at asian markets, mostly in the green today. They have boosted metals and other economies to read what you making of all this . The economy, the global economy, has showed signs of stronger growth at the end of last year. Going forward to this year, i would think that the growth momentum is likely to continue. Because now there are a lot of expectations coming from the u. S. , to increase optimism about the global economy. Economy,ee chinas starting to stabilize and show signs of stabilization. Lastly, International Demand is starting to pick up. All these things are positive for the global economy. Rishaad indeed, new york showing signs of recovery. Ands looking at the euro manufacturing expected on january 24. It has been rising exponentially very quickly. What is the end of quantitative easing and the tapering of that in europe mean for this part of the world . , thishink in europe quantitative easing has helped support growth in the economy. Especially on the manufacturing side of things. But there are many other as iols helping to mentioned earlier, china is stabilizing. You all see you also see International Demand increasing. The recovery is sustainable. And when you withdraw the quantitative easing, i think it is likely to continue for the better part of this year. , thead with that in mind 6. 923, veryte, different from yesterday. It is virtually the same. No change when it comes to the yuans state. When we talk about what is going on with china with the yuan, with a recovering europe, it has been years for china. Because europe is its biggest trading partner. This should help the manufacturing side of china. Of aask over the cracks consumptionthe lead engine of growth. Squarely this will help china to continue to move toward a consumptionbased economy target. Aeryone knows it will take long while, a long process or such a large economy as china to make that move. I believe we are starting to see signs that china is moving towards it. It is a little bit slower than what people would like to see. Private consumption has been growing quite slowly. But the good news, the manufacturing side of china has been stabilizing. This has helped to balance and boost the economy, to its best quarter in almost six years. To have to are going leave things there, but thank you for joining us. Getting to business headlines now. China communications technology, said to be among the final bidders for asias broadcast satellite. Are in advanced talks with a parliamentary firm, about 1 billion for abs which they are ready purchase. Satellites for mobile phone signals for europe, the middle east, and asia. Shares in toronto, as little as 10. 9 billion the fiscal year. A dismal christmas season, weig hing on the companys projections. Vehicles they would pay tilde Million Dollars to shareholders on top of First Quarter dividends. Share,ll receive . 20 a and say it will rise in 2018. Car sales accelerating 17 in december. But they could be bumped in the road ahead. Rishaad this is Bloomberg Markets asia. Car sales, in a moment. A growing market in china. But first, the dramatic downturn in india. Lets look through these numbers. Deliveries falling last month the most in 16 years. Blamed on a government cash ban. While two2 million, wheelers fell to the biggest decline on record. China headed in the opposite direction, car sales rising of the fastest rate in three years. Not a cash ban. Good news for pollution, i suppose. The World Largest car market, the worlds most populous country. They are getting more engines, and that drove sales. Up to 23. 9 Million Units in the vehicles segment. That includes suvs, sedans, and all that purpose vehicles. But not commercial vehicles. A gain of 16 . Advantagehing to take of the tax cut on small engine cars. And also whittle off excess inventory at the dealership. Are working separate from the automakers. Thinhey sometimes raise a margin. They often have to cut a lot of that inventory. It is the biggest sale jump in china since 2013. That was the year china was the first country ever at any time to pass 20 million vehicle sales. Now they have 29. 3 million. The Chinese Auto Dealers Association secretary had to say this about the figures, it is like a giant that needs medicine to sustain its health. Which means the biggest World Biggest auto market is not healthy enough to survive on its own. They need tax breaks. Do, any human being would they rushed when they got half off on the tax. We have this tax coming in, is at the calm before the storm . Increase in sales tax in china will take place, as well. Globally, the u. S. Is expected to dip after several years of breakneckpaced growth. There will be headwinds of the Auto Industry as a whole. Who knows what will happen if there was a trade war, with so many cars being made in china. They are starting to export to the you United States. Hangover, will affect the smaller because a lotrs of the people who would back them in 2017 rushed at the end of last year so they could see a sales dip. According to analysts, we could auto sales 5 increase. As opposed to the 16 gain we saw in 2016. Rishaad amazing. A lot of cars. It took me about an hour and a half to get to work to drive across aging. Beijing. With no traffic it takes 22 minutes. Rishaad shares are unchanged at the minute. New zealand at selling a finance division, for 60 million u. S. Dollars. Lets get to sydney. Themselves. Esting particularly the ones in asia. Potentially the new Zealand Market is that much smaller. Of 460 million deal. Gain of 73net million, that improves their capital ratio and basis points. Setasides satisfies quite a few needs. Mentioned, they have been dialing back overseas interests, focusing on business. We saw another example just last pulled a stake in a Shanghai Commercial bank. This is a process of unwinding the treasury with the former ceo. Opposite. S, quite the has made many deals in the last year. Flat in australia, but a zealand. Deal in new shares up 1. 3 right now. Rishaad thank you for that in sydney. Back to where it all began. President obama preparing his speech in chicago. Bringing you that speech live, and asking how his legacy will against that of donald trump. And also looking to hong kong and shanghai, the asian stock markets rallying. A surgeon Mining Companies at the moment. We will have numbers after this. Rishaad this is Bloomberg Markets asia. A day when we are seeing a bit of decoupling taking place. S p 500 finished exactly where it started, no change there, 22. 68. Gains elsewhere across the asiapacific. The asian market had an upside. The rate was fixed by the peoples bank of china. It virtually no change, . 92. In theexactly as it was session this time yesterday, as well. We are also looking at mining stocks, and surging. We are taking a look at what is going on out there. What we have a width of the open right upon us . Mine helping the rallyrs. The best since 2013. Also we see shanghai come online down about 0. 2 . Hong kong opening up 0. 33 higher. Tuesday the house saying rose to gsengmonth high han rising to a twomonth high. Have the likes of womens apparel maker leading decliners. And as we have been mentioning, a boost on one of the top gainers. Taking a look at what else is moving in the mining space, they miners in the region. At of trumps Media Briefing tonight which is closely watched, we did have Angela Mackenzie and meet with the president in new york on tuesday. Toshiba up about 4. 9 . That is the second day of gains. And sony on the rise, adding to tuesdays 2. 3 gain. Morgan stanley analyst expects the company will beat the estimates thanks to the yen and the promise of its gaining. Rishaad thank you very much indeed for that. Lets check first word news. Lets go to sydney for that and join haidi lun. Volkswagen says it is closing in on a deal with the u. S. To resolve civil and criminal allegations surrounding the emissions scandal. The 4. 3 billion agreement has yet to be finalized. An expensive provision. It also includes pleading guilty to some criminal charges. Compensation and were currently cap debt 19 billion. Three traders over that accused ofing using online chat room they called the cartel to coordinate confidential customer information. The three are outside the u. S. And would have to be extradited and volunteer. Questions over chinas interference with city affairs. Recent highprofile disappearance, such as the disappearance of a group of booksellers, that eventually turned up on the mainland. Officetorted oaks of that disqualified some from the legislative council. The unwarranted disappearance of booksellers and the unfortunate preemptive interpretation of the basic law by the National Peoples congress with respect to official oath taking has contributed to a sense among many in hong kong that beijing may be losing sight of the importance of respecting hong kongs autonomy. Haidi president obama has criticized israels settlement policies, saying it would lead to a worsening situation on the ground. Question the he benefits of the u. S. Backing benjamin netanyahu. Is an outspoken settlement supporter. President obama if the notion is that unfettered support for israel, or more specifically, support for the netanyahus government policies, no matter no matter how inimical they may be to the prospects for peace, if that is what qualifies as a good friend, then i think that we will see a worsening situation. Haidi global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. I am haidi lun, this is bloomberg. Lets go to u. S. President elect donald trump. He wants a swift repeal of obamacare. While some Senate Republicans want any move delayed to march. Tell us what is going on. Ramy it is interesting. Donald trump has not yet been sworn into office. Speed are releasing a two movement from both the executive and legislative branches. Trump, hedentelect thinks the aca should be repealed as early as next week. In one quote he said the replacement will be very quickly or simultaneously, very shortly thereafter. Releasing a statement as you can see, in trumpspeak. And moderate republicans want to delay the bill until march the third, specifically. Those five include the people you see on your screen. Bob corker, susan collins, bill cassidy of louisiana, and lisa of alaska. These five senators are all moderate. They want to buy time in order to give congress and the white house more time to figure out what they want to do in terms of repealing and replacing the Affordable Care act. With something that actually works. Bob corker released a statement saying, as president elect trump has stated, repeal and replace should take place simultaneously. Pushed upendment is monday night, it will give the Incoming Administration more time to outline its priorities. But there definitely is no consensus right now in terms of republicans in congress. If you ask the 52 republican senators and the 241 house of represe