Launchpad for spacex. Follow me on twitter at rishaadtv, and use trendingbusiness. Some disappointing manufacturing data. Asian equities muted ahead of the employment number. Not the best friday for markets. Downside this morning, malaysia and taiwan coming online with a pop. Singapore is off by. 25 , malaysia slightly higher, and has moved tospi the upside. Thead the revision from bank of korea for secondquarter gdp, rising to 3. 3 year on year thanks to a rise in private consumption. Construction investment of 3. 1 . That lifting the overall figure slightly. 225, weakness, down by. 1 , the yen Holding Around that 103 level. Downside from some of those car players. Tokyo dome up by 4 . Australia the worst performer, not surprising that we see more downward pressure on oil, the flight to safety, so all in all, stocks looking strong. Regis resources and Evolution Mining up a by 7 , so that flight into gold. We do have Consumer Sentiment figures from japan later. Rishaad thank you for that. Lifting the Global Economy out of its slow growth is not the official title of this weekends g20 gathering, but it might as well be. What is the top of the agenda . The theme of this years g20 ummit is toward an innovative, invigorated world economy. China has put interconnected Development High on the agenda. Starting tonter is get crowded as things kickoff. Getting here was a challenge, security very tight around the g20 summit. This is chinas most high profile meeting of global s history, nona food, no drinks, no hairspray allowed. Journalists are being herded in areas. Overnment provided state media has given played to the idea that china will show leadership in shaping global governance, proposing a joint initiative to revive week global growth. The summit on sunday and monday, we have 800 Global Business leaders headed here to hangzhou to discuss topics such as green financing, global trade, and transparency. They will be announcing a policy for g20 leaders. Rishaad what could take attention away from these talks . Despite what beijing might want to talk about or show here at the g20, the fact remains that there is a lot of tension over everything from territorial argument suchery as protectionism around the world. By theas been angered u. K. And australia over their precautions against Chinese Investment in their countries. About thering tensions and relations being frosty between china and its neighbors over a territorial dispute in the south and east chinas seas, not to mention a u. S. Missile Defense System on south korean soil. Will feature high on the agenda of bilateral summits that kickoff this weekend as leaders start arriving here in hangzhou. Rishaad coming up later this , a rare interview with the russian president Vladimir Putin speaking with our editor in chief. Tune in today for that exclusive conversation. Right. I look at what is going on elsewhere. We have a look at something called passporting and what it could mean for the u. K. In the future and what it may not mean for the u. K. Few details still on how and when brexit will happen. Sources say the worlds biggest banks are putting pressure on theresa may to come to an interim deal to preserve something called passporting, the banks ability to Sell Services across the eu. Big namesreement, the could move out of the u. K. As soon as the government starts negotiations. Article 50 triggers a twoyear countdown for the u. K. To leave the eu. Leaders have said repeatedly that they will not hold talks ahead of a formal u. K. Exit process. Electronics recalling galaxy note seven smartphones around the world. It is due to faulty batteries that could catch fire. They are investigating the issue and could announce a plan this weekend. A weeksible recall comes before apple is set to introduce its new iphone on wednesday. Samsung has delayed shipments of new devices, saying more testing was needed for quality. Given vimpelcom the green light for an 8. 8 billion merger that will create italys biggest mobile carrier. The companies had to first agree to help a small arrival become italys fourth biggest. They will sell towers and frequencies so the company can expand. Hutchinson is controlled by hong kongs richest man, li kashing. Rishaad the u. S. Auto industry may have reached the end of the road. Every major carmaker missing estimates. Lets bring in our cars editor. Take down these numbers for us. Who had the worst showing in a downbeat month . Is really telling when you look across the industry. Each of the carmakers missed estimates as you mentioned. You also sold them all fact in a range, so it is pretty consistent. Toyota, nissan, honda, decent drops for the month, nothing too seriously be alarmed about. In the in the, we have a 17 million seasonally adjusted rate , a number below where analysts were expecting, but this is an industry that has been on a sixyear run, has seen a lot of positive growth over the last cyclical, and for a industry, it is unusual to see this long of an uptick in sales. Perhaps no surprise we are seeing a bit of a pullback, but at the same time, if you are looking for growth in the auto market across the world, it seems as though you have to take t u. S. Company on board ia this point. Rishaad what is the Bigger Picture for the American Market . It is telling you that if you look at at what was discussed on fords conference call, they are open to the idea they use the word plateau, the idea that you have not heard the u. S. Automakers talk a lot about it. The idea that pentup demand month in and month out over the last six years, this idea that there are consumers in the states who held off on purchases during the recession or in the time that it has taken to recover from the recession, the putting onhey are the table that there is pentup demand left is significant. That is something we have been waiting for in terms of whether this growth streak can continue. Runidea that we have out of tent pentup demand is significant and makes it unlikely to see much growth out of the u. S. Market from here. Rishaad still ahead on trending business, another rocket blows up on the launchpad, but how much of a setback spacex is this for spacex much of a setback is this for spacex and elon musk. Rishaad you are back with trending business. There is a growing consensus that the current boj program is not working. Has the central bank reached its limits . The asiapacific cohead of asian hsbc. Es at essentially trying to flawed a dead horse . The boj has been at this for a long time. They have reached the limits in terms of policy. Is it right they review what they have available and what else they can do . I think it is possible, for sure. In may, go away, come back on labor day. Hugely obsessed, in the noise, any data, markets moving, so we will see how it goes with payrolls tonight and how the markets move after that. In terms of fed movements and noises, that is where the market is focus. Rishaad if we get a strong number over 200,000, that could prompt them to do something, the point being 25 basis points will not make a big difference. They might as well put people out of their misery for the time being. They want to get ahead of the curve. Rishaad but they havent. There is a 40 probability for september, so they are trying to get ahead of the curve. The 25 basis points is not a large number. They are very datadriven, internal and external. We will see how the focus goes from here. What about u. S. Equities . They are at record levels bouncing around. We need something to break it out, a catalyst. With that be cleared direction on Monetary Policy . It is one factor they will take into account. The s p is fully valued at 18 times earnings. It is one factor they will take into account. These are all data points they take into account. The of session with the fed will continue for a while longer. Rishaad until they do something, then there will be a wall of worry after that, then we begin again. Are do you look at if you looking at 18 times earnings and the s p, 12 in hong kong, valuations lower and reasonable, i guess you could argue. Is the money coming in this direction at the moment . It is moving. You have had a massive outflow of emerging markets. I think we are seeing the first ships of money coming into emerging markets in credit and equity. I think that will go forward as well. The fact that valuations are cheap and earnings are stable is interesting. Rishaad are you underweight hong kong and taiwan. We are under way taiwan, which is done well. Neutral to underweight on china, and within that space, we are over weight in the fastest growth varies in china. Rishaad new economy question . Bethis engine connect will part of the catalyst for that interest. Connect will be part of the catalyst for that interest. That shanghai catalyst was a bit of a disappointment because people were not as interested in the old economy stocks. Yes, you are right. Dual listings are not that interesting. Issues around beneficial ownerships, some of those mores make shenzhen interesting going forward. Rishaad is there a move towards msci inclusion as part of the market plan . It definitely helps. You are now opening the secondbiggest in china. It has to have inclusion at some point in the future. Rishaad a lot of people overweight philippines. That there seeing has been money coming out. Philippines had a good run, one of the favorites for investors globally. Valuations are not cheap right now. We are seeing flows coming out of the philippines now. Rishaad g20 summit, what are your expectations . The chatter is sanguine it feels like nothing large will happen. At the moment, very little. Mightd the thing is this be titled how to get the world out of this economic funk, but the point is it should be called that. What are we seeing . Have we known times like this thing seems to be stagnating . The liquidity injections are not having the impact they expected to have. Rishaad we started with the limits of Monetary Policy, and thats where we will end. Thank you very much indeed. A quick check of business flash headlines. Le may repeat trade repatriate 5 billion in cash next year. Tim cook told irish radio that it might happen in 2017. On tuesday, the European Commission says apple owes more than 14 billion in back taxes in ireland, most of its european revenue. Of itsng a mini version device, hoping it will make it a winner. The initial phone came out earlier this year, featuring dual speakers that makes the sound quality better than that of others. Bendai merchant said to planning to deploy ships to ease. Argo disruptions this is after the failure of hanjin shipping. Seekn force companies to other carriers. Hyundai merchant is the worlds seventh largest shipper with 3 of market share. Week to not a great invest in austrian ipos. We will have a look at that and more. This is bloomberg. Rishaad you are back with trending business as we have a look at more bad news for investors in australian ipos, a Trucking Company less than three dropping 54 isting after announcing a right down. We are in sydney. Our ipos worse than other investments there . Ipos worse than other investments there . You can have big share falls in all sorts of companies, but you want a balance of risk in return, and the risk is higher with ipos,s you expect the return to be higher, but that does not look like it is the case. Of ipos we tracked from 20092015, 27 fell more than 20 . 17 fell more than 50 . Three of them have gone into administration. 30 billion of Equity Capital has gone into those ipos and it has turned into 35 billion. It is an improvement, but less than you got if you bought the index, so the risk return equal is not working. Tell me something, is there any reason why they perform so badly . Think the real problem we have in australia is there is too much cash chasing too few stocks. Free has the fifth against pension pool in the world. Japan has five and a half times the population, what its pension pot is less than twice the size of that. You have this huge amount of cash, about 10 larger than the market cap on the asls of all ordinaries, so people are x of all on the as ordinaries, so people are taking unnecessary risks and pushing up the value of ipos beyond where they should be. There debate going on about perhaps improving the situation there, and before we leave things, what is going on behind you . It is quite some weather. It is a horrible day today. Sunny weekend sydney and it is heading into a rainy day today and tomorrow. In terms of what is being done about it, one thing you could do is improve some of the tax benefits that essentially favor a dividend over bond coupons. There is a low rate of fixed income among Australian Retirement savings, but the real thing is investors could do with a bit of selfhelp. One ipo went dramatically bad, and the market went on strike for three years, and that is what needs to happen now. Rishaad thank you a lot for that. Right. Some other news. Indias richest man has pushed into the telecom space. Serviceking about the that debuts on monday and will stay free until december, putting pressure on existing carriers. Shares and rivals took a hit on thursday, wiping 1. 8 billion off of market value. Prime ministers Modi Campaign isboost indias economy designed to attract Foreign Investors to help india compete with china is the worlds factory. The chief technical officer said every company should consider india a market. If you think about it at a broad level, we take energy, and digitalness Consumer Products and services. , those areasies that have an impact for 100 Million People and the potential of 100 million in profit. Rishaad plugging into the electric revolution, looking set for an initial Public Offering in china. The market open in hong kong and china, the final trading day of the week. The opening numbers are coming your way right after this. Rishaad preparing to host g20 leaders this weekend in hangzhou. Infrastructure seen by many as a way to kickstart sluggish economies, but there is a cost. Carmakers among the losers in tokyo after every major producer mr. U. S. Sales estimates in august, a sign that the six year growth run is coming to an end. The biggest incentive since 2009, but that has not stopped the annual sales rate from falling to 17 million. Samsung set to be on the verge of announcing a global recall of its note seven smartphones due to faulty batteries which could catch fire. The company could announce a , an as soon as this weekend critical time for samsung, one week before apple is set to introduce its new iphone. The tradingart of day in shanghai and hong kong. Lets have a look at equities in the rest of the region, a mixed bag. Is the orderance of the day ahead of the jobs data from the u. S. Later tonight. We have seen a flat open in hong kong. Yesterday, we had that solid rally coming through on the hang stocksarticularly casino , macau casino revenue rising for the first time in 27 months. Today, a switch out of stocks that did well yesterday like the banks. A pretty flat day on the open in shanghai, down by a 10th of 1 . We are seeing flat movement on the nikkei and the kospi. In australia, you are seeing risk avoidance, particularly gold players higher, putting money into those safe haven assets, but Energy Players coming under selling pressure. New zealand flat. Philippines very flat. , which underperformed yesterday, doing well today. A lot of stocks to watch today. Numbersst car sales came through in the u. S. , a disappointment. Nissan andn honda tour yoda fallen early japanese nissan, andda, toyota falling in early japanese trade. Glencore could be making a play for coal assets worth a billion dollars from santos. Rishaad parts makers are cashing in on chinas push to boost the sales of electric cars. Secondbiggest biggest maker of batteries look set for an ipo. How are these battery makers position . Due toe a supply issue the boom of ev sales . Chinas ev sales tripled last year to become the Worlds Largest market. That is accompanied by the boom in demand in batteries as well, even though there are hundreds of battery makers in china. A lot of them are small in scale and in quality, so the demand has in concentrated in the top players in the industry, and theirs the reason behind plans to go public and to raise money to fill its capacity expansion. What is the industrys outlook in the longterm . What are people saying about it . Is backed by boom government policies, but there is uncertainty over whether the government will remain ev friendly and keep their policies over the longterm. Lot of battery makers are ramping up capacity and china right now, but there is a question on whether there will be a supply issue in the longterm. Doesially if the ev demand not really live up to the expect haitians of the government and those battery makers as well the expectations of the government and those battery makers as well. This is a bit of a tall order, isnt it . It is. Already supply three european automakers, including bmw. They are there domestic supplier in china, but they are also trying to build a plant in europe and become one of their global suppliers. They have toat, narrowed their technological gap with the japanese and korean battery makers. They seem to be confident because they have a very young and Strong Research and , and they sayam their technology is not inferior to korea and japan. Rishaad thank you very much indeed joining us from tokyo. The prospect of an ipo worth more than 2 billion will attract no shortage of banks hoping for a slice of the action, but this is not the case when it comes to anbang insurance. Start offu have to with the obvious one, they should be lining up around the block, but they are not, are they . They are not. They are inching forward. This would be an exciting ipo for bankers next year, where pickings currently look slim as far as major offerings go, but there are Major Concerns and there have been concerns about just quite how forthcoming anban g is prepared to be about its governance. Rishaad also questions raised that 14id, that billion bid for the hotel chain. I forgot which one it was. Starwood. They pulled this with literally very little notice. Starwood thought they had a deal, then an email came out of the blue saying they had withdrawn. Risha