He 1950s that is more than two decades ago. The market action. Pretty much green at the moment. In different in the u. S. Coming onnd taiwan board. A holiday in singapore today. Here is a look at what has happened so far. Haidi caution has been the team. We have pulled back from games that we saw earlier. The tokyo session is flat at the moment. The nikkei coming off that 2. 5 gain. We do have a slightly stronger yen today. That is weighing on japanese exporters. Rbnz expected to cut rates again this week. We are seeing Energy Sectors driving the gains across the region. Elsewhere around the region, taiwan is flat despite having a beat on import and export numbers yesterday. Alaysia also up singapore is closed today for a national holiday. Lets take a look at the movers. Nintendo back in the spotlight. It has been a few days. Here we go. Pokemon go, a report out over the last couple of days saying that revenue crossing the 200 million mark. Nintendo surging by as much as 8 today. 19. Highest since july that was also when we saw the precipitous nosedive when it came to that stock, down about 13 . Up. Endo still gainer despite reporting a 3 decline in cash profit. Possibility that we will see some costcutting efforts in that andy space energy space. You can see these gains across the oil and gas space. Some of the gold miners rebounding today after the declines that we saw yesterday. Rishaad Producer Price numbers are out in 27 minutes or so. Numberhe Producer Price still in inflationary terrain. Here is juliette. Juliette a slight edge down in Consumer Price inflation. Median estimate of 45 economists inecasted 1. 8 year on year july, down from 1. 9 in june. That will be the lowest rate since january. It should reflect the normalization in food Price Inflation between had a supply shock at the end of the year. Looking to business inflation, as you say, still in deflationary territory. It is expected to edge up to 2 . Very much still deflation, but a huge improvement on the level we saw in january. This is a combination of International Commodity prices in the industrial sector. As we see a bit of stabilization in growth in the chinese economy. Inflation well below the government target for a 3 increase. Room tos give the pboc further ease policy is needed. Fraud will refrain from and monetary easing as it keeps the balance. Delusionit is quite a out of china this week. We have a lot out. Tell me some of the key points. A huge week. , chinas mainata monthly measure of credit growth. It is a widely volatile period. The forecast is one trillion yuan in eufinance in july, down from june. On friday, the big one, industrial production, a major indicator. Forecast held at 6. 2 yearoveryear. Fairly steady at 10. 3 year to date and 10. 5 in july year on year. Monday, we saw a bit of an expected trade surplus. Imports are still a huge miss. Still very much week domestic demand. Rishaad we will have add a look at that story in this show. Do give your opinion. Oil trading near a twoweek high. Opec announcing formal talks next month. Stabilize by the end of the year. Bloomberg energy will tell us about the situation. How significant is this meeting . It is a situation where opec talks and the market reacts. Everything about this meeting is routine. It is a routine meeting. Even the talks are quite routine. Talk to eachrs other about the oil market with the meeting in various places. The market seems to have tempered the talks, hoping for a deal. The market is rebounding from the bear market. It didnt below 40. His are coming together. A lot of speculation seems to be pushing the price up rishaad . What does it mean for a few members who want this production freeze . A lot of resistance from tehran. Is this is there any agreement on that . What you can compare it to, the last time that these talks were first flagged, the market is in a better position than it was. You compare that to the start of the year. Supply was outpacing demand. At this point, it does not look like there is any need for a freeze or cap production. The ministry saying there was no need for any type of meeting. At this stage, it looks like it might be talks, speculating on the sideline. ,ntil we hear anything formal it is unlikely anything will happen on that front. Rishaad thank you very much. The latest on the meeting taking place over in algeria next month. Lets have a look at some of the other stories we are watching for you. Ingles. David david we will be tracking shares of the Property Developer in shenzhen. Surged. Ave we know that that state has been raised to 5 . Have a look at the onewe change. That is based on a filing from the company bank. Those other ones listed in shenzhen over the last two weeks. These two companies are rivals. You have the analyst at j. P. Morgan that ever grad evergrande does have a history of takeover attempt lets talk more deals now. Doubling down on its ecommerce bets. It has agreed to buy jet. Com. Founder will oversee the combined online over operation and both will keep their own branding. That will be separate. It is walmarts biggest that yet bet yet. Jet does give walmart and asset that just topped 1 billion in merchandise in just over a years time. That is pretty impressive. Of course, have a look at this chart. Sales at brickandmortar stores have been slowing consistently for the past two decades or so. Is the Biggest Company in the world by revenue. Number one. By sales right 34th and revenue, but it is number five. Of course, staying here, we will talk about tech more. A lot of of people are looking forward to the new iphone, which sources say may unveil as early as next month and here is what we know about what these new iphones may offer. Say it will be more or less the same in terms of design. With noticeable tweaks. The larger one will have the dual camera system that will produce writer photos with more details. In the process, merging the two into one. It no longer going to have the headphone jack. The sizes will be the same. 4. 7 inches for the smaller one and 5. 5 inches for the bigger one. Apple will also be removing the two innermost antenna lines. They run at the back of the iphone. We reached out to apple and they declined to comment. Rishaad on the website, we are looking at japans efforts from the seabed. Later on theg up program. And we are heading to sydney, hearing from a strategist who is cautiously optimistic on hong kong and singapore. That is next. Rishaad a quick check of what is going on with market in this part of the world. Sydney. Orea, we are giving up some of the stronger gains that we had at the start of the session. It has been a fourth day of gains, taking stocks to almost oneyear highs. Crude trading eight had higher. The highest price in two weeks. Lets get you to sydney, where we have the chief Market Strategist at cmc markets. Give us a flavor of what is going on, in your view. We are seeing a. Of performance from the asiapacific region and the emerging markets. The reasons for that are pretty clear. There are potentially structural disruptions coming through. Recent data in the u. S. Has shown some improvement. ,rom an investment point of the that means the asiapacific winner region is the winner. We are seeing good gains year to date in markets across the region. The other markets and the emerging markets like malaysia and thailand, we are seeing doubledigit performances in comparison to what we are seeing over the same period in europe. Good news for investors locally. Rishaad what about the job number on friday . It is that making you feel . Does seem as though people thought there could be a rate hike this year. It is becoming fairly academic. What difference would it make . Lets say we do get the rate hike and have a little bit of a breather. That is exactly the question. There has been a curve in the periods of weakness and strength. We are coming through the most recent period of weakness and heralding a picture of strength. U. S. Markets trading at alltime highs. That looks stretched. The question is, is it about low Interest Rates or is it about the flight of money. If we do see at least one rate hike this year, and i would not rule out the possibility of two if the data continues to strengthen, how will it respond . It might still hold up if it is a flood of money, if it is not just about the low Interest Rate hurdle. If that is the case, a lot of us will have to rethink our approach to the markets. Rishaad i am going to stick with equities and look at the higher risk market you are talking about here. Valuations stretched for the u. S. , one of the things you favor is in hong kong and singapore as well. Absolutely. They have welldeveloped markets, great prospects, and are trading at good multiples. Dividend yields close to 4 . 12. 5 thursday. Payout ratios look conservative. The only reason not to be in hong kong is if you have a credit crunch in china. It looks attractive to local and International Investors at the moment. Rishaad that leads me to the other bit of your research. I am a believer of gold above 1300 right now. That is right. Gold has had as good as it can get rid fears about potential disruptions. We have had concerns about growth in the u. S. None of these have come to fruition. We are looking for a turn in the u. S. Data. We looked likely to see a. Eriod of stronger u. S. Data the stronger u. S. Dollar will be one of the key factors as we move away from concerns about a breakup in europe. As the u. S. Dollar strengthens, i expect to see gold come under severe pressure. A drop below 1300 will signal a further move down. Rishaad gold above 1300. Looking at hong kong and singapore and liking those. You are suggesting short u. S. Stocks because of the earnings season being over with and the response to that was required. Yes. We would like to see a healthy pullback in the u. S. Markets. Valuations look stretched. The recent earnest season does not justify the levels we are at. There is the there is some relief that the fallen earnings was not as bad as expected. Earnings isdrag on still around 3. 5 . That is bad news. Earnings is one of the surest predictors of price moves. If we are revising our expectations downward, it is likely the markets would come with a stronger u. S. Dollar. We have seen what that does to the u. S. Economy. It certainly has a drag on the growth affect. Put those two factors together and i suspect the u. S. Markets are about to go through underperformance and other markets around the globe will catch up. Fallnot looking for a huge , but a 6 7 fall would give more sustainable footing for gains. Rishaad great to see you. A quick check on the latest business flash headlines. Indias lower house of parliament approving the prime plant s constitutional amendment. More than a dozen states and federal levees. Saying that Small Businesses will be the main beneficiary. Net income up 36 in a year over year period. That exceeds the company guidance. In june 2016 grew yearoveryear. 89 of them are on mobile. Shipbuilder has failed to make a bond payment that was due on monday. Wuhan logistics failed to deliver payments on 60 million. At least 18 chineseu. S. Bonds have defaulted this year. Up next, hong kong property stocks have not been this hot the bubble some two decades ago. Are the alarm bells ringing . We will try to find out. Rishaad this is trending business. Hong kong real estate stocks are as hot as they have been since the citys last housing bubble. This has got some people worried. It has. Date, the hang seng Property Index has gained 12 . January, it since has surged 37 , which is a considerable amount of gains in less than six months. The look at the 20your situation, it climbed to its highest level versus the hang seng in nearly 20 years. Rishaad it is quite something, isnt it . And that was on july 29. Greatst time it was that was in october of 1997, just before the financial crisis. You know what happened after that. Lets take a closer look at the hang seng Property Index and look at the big gainers for that one. Just shy of 20 gains year to date. 12, up just over 45 against the broader hang seng index. Rishaad the thing is, the Housing Market used to people in september. Suggesting this is due for a big correction. It cannot be related to fundamentals. What is the driving force behind this . There have been low borrowing costs. Borrowing costs are near record lows. And concerns about increases in rates have eased the last few u. S. Fed rate a hike has been pushed back. With the stronger jobs number on friday, that is part of it. Home prices have dropped. Home prices fell about 13 from record highs, as you mentioned before. Alarm bells must be growing out and there are concerns about another collapse in these stocks, right . Perhaps a collapse is a bit extreme, but looking at a dent in the property market. Economic growth in hong kong is weak and there has not been a large supply in the number of flats available. Authorities that Bloomberg Intelligence say the number of units completed jumps to 71000 and the end of june, the highest in 12 years. But there is some way to go in this rally. They are saying that hong kong Property Developers are still cheap on an international level. Thank you very much indeed. I am going to tell you what we have coming up. All important data for this week. It is these inflation numbers. Cpi, Producer Price index, levels we have not seen. Deflationary pressures on the Consumer Price figure. [ hip hop beat throughout ] [ fans cheering ] olympics 2016, let me get you on my level. So you never miss a moment, miss a minute, miss a medal. Why settle when you can have it all . Soccer to wrestling. Track and field to basketball. Fencing to cycling. Diving to balance beam. All you have to say is, show me, and boom its on the screen. From the bottom of the mat, to the couch where you at . Show me the latest medal count . Xfinitys where its at. Welcome to it all. Comcast nbcuniversal is proud to bring you coverage of the rio olympic games. Rishaad it is 9 30 a. M. In hong kong. Asiapacific equities on the way up. Closing in on a oneyear high. Equities, just a slight move higher, a pullback in the yen. Oil giving up some of the last sessions gains, almost 3 . Opec has called an informal meeting in out years next month algiers next month. Six years of record earnings, the cost involved in shrinking the cost of operations. The outperformance is ringing alarm bells, investors worried shares climbed too far too fast. China,r price numbers in many signs of this overhang disappearing. Juliette bang in line with what the market was looking for. The lowest rate we have seen since january. Food prices rising quite significantly. Inre was some flooding southern china, that is likely to have boosted inflation prices. Thealization following start of the year. Ppi has narrowed in july. This is a deflationary territory, but the best rate we have seen. You have to look back to january. The survey looking for 2 . Deflationary pressures easing somewhat. See a littleng to bit more stabilization and normalization coming back through. Reflecting firmer commodity prices. A very good rate coming through for ppi for july. Looking at that cpi number, very much what the market was looking for. Cpi came in at 1. 4 , also above estimates. Estimate was 1. 2 . We have seen the big jump coming through in food prices, up 3. 3 . We know the central bank in china still has a few more arrows to fire if it needs to in terms of monetary easing. Thank you for that. Look at anying a reaction. What is going on . We are getting a little bit of weakness coming through from the aussie dollar. Letdown. Bit of a we do have the aussie dollar sitting at. 7643. Very strong gains in the overnight session. We did get a pretty good reading in terms of chinese demand for australian commodities. The trade data came out, boosting some of these commodities. Not about reading in terms of the chinese inflation numbers. A little bit weaker in terms of the aussie. We did have the copper price making early gains. This is what we are seeing in terms of the equities picture. Hong kong shanghai open, shanghai looking pretty flat, indicating negative. We did have that volatile session across the region yesterday. Elsewhere. Luster negativity coming through from Southeast Asia as well, malaysia down by a quarter of 1 . Over to australia, new zealand, sx looking pretty flat. A little bit of mulling over what this potential meeting of opec members will deliver. Supply cuts, perhaps that will be on the table. With the correction and oil price over the last couple of hours, we are still seeing gains in the energy space. Japanese oil producer up by one and 7 10 of 1 . Jumped the most in 18 years. Best performer on the topix. Rishaad Brother Industries still going. Index coming in at 4. The index for Business Conditions coming in weaker, eight as opposed to 11 in the previous month. About even though the bank announced a falling cash profit for the third quarter. Good morning. Bad debt, it was not good. It was in line with the first half, that once you strip out those provisions for bad debt, the results were not too bad. Cash profit up 5 if you ignore the provisions. Once you lump the men, cash profit down lump them in, cash profit down 3 . Net interest margins have held steady. On the afxrformer today. Anz continuing to reduce its focus on asia. It is focusing on its core strengths. We are waiting for the big one tomorrow, Commonwealth Bank reporting earnings, make september sent of the local index makes up 10 of the local index. Athaad we will take a look some of the other stories making headlines. Donald trump laying out his plan for growth in the u. S. Telling the Detroit Economic Club he wants to simplify regulationssiness and to simplify the energy sector. I am proposing an acrosstheboard income tax reduction, especially for middle income americans. This will lead to millions of new and really good paying jobs. The rich will pay their fair share, but no one will pay so much that it destroys jobs or undermines our ability as a nation to compete. Delta airlines is struggling to resume normal failure at ther atlanta hub. Displays,tus technology was disrupted. The emperor of japan is concerned about his role, telling the nation he is worrying. He refrained from discussing abdication as that would require a change in the law. Ofbecame emperor