Initiative. Two new iphones from apple get a mixed reception. Agents discuss pricing over emerging markets. Shares surge. Chinese premier kicks off the summer davos in dalian. Well hear from Major Players at the event. And verizon is expected to raise nearly 50 million from its bond sale and it could end up being the biggest corporate set deal ever. Youre watching Worldwide Exchange, bringing you Business News from around the globe. All right. A warm welcome to todays program. Plenty to get through, coming up. Mining retailers help post solid growth, but will it increase pressure . The countrys finance minister joins us on a first in cnbc interview in half an hour. Also, well hear from the cfo of the italian notebookmaker. Find out why he says germany is the country to watch. But back from the brink, berlusconis political career is not over yet as the Italian Senate committee delays a vote from parliament. And are we in september or septaper . Well preview next weeks fomc meeting. But first, u. S. President barack obama has delayed the congressional vote on military action in syria and will instead pursue a diplomatic path. Over the last few days, weve seen some encouraging signs. In part, because of the credible threat of u. S. Military action as well as constructive talks that i had with president putin. The russian government has indicated a willingness to join with the International Community in pushing assad to give up his chemical weapons. I have, therefore, asked the leaders of congress to postpone a vote to authorize the use of force while we pursue this diplomatic path. The white house has both france and britain backed the decision to try diplomacy. Russian president putin has once again warned against the unilateral actions for the oois. Undoubtedly, it can function, it can work. But only in the event we hear from the american side and those who support this rejecting the use of force. Its hard to make any country, syria or any other country disarm on a unilateral basis if an attack is being prepared against it. All right. First of all, the president delayed the congressional vote. Congress decided theyre going to delay the vote, didnt they . Exactly right. And this was a speech originally meant to rally the American People to rally a vote on action in syria. Now the president says theyve agreed to delay this vote. Lets be frank, this wasnt a vote he was likely to get, anyway. At least not in his favor. So you have the International Community almost breathing a sigh of relief that they have more time to figure out what to do about syria. But now theyre going to be meeting tomorrow in geneva, secretary kerry and his russian counterparts will be talking about this. How do you get what could be as much as 1,000 tons of chemical weapons out of a country thats in the middle of a civil war . The resolution that theyre talking about tabling, was this a political device to try and show the russians up . I think theres definitely political posturing on both sides of this. The russians, youre hearing president putin saying any threat of military intervention will take this completely off the table and well be back where we started and the United States is saying were certainly going to use force to deal with the russians if this is not something thats really for real. I think at this point youre seeing the u. S. As well as the International Community come to some kind of on consensus as to whether or not this can be done, can they remove these chemical weapons and in what time frame . In the meantime, this is what this u. N. Report is saying. Syrian forces have massacred civilians, committed other war crimes and widespread attacks to recapture territory in recent months. This is the u. N. Human rights investigators. They say Opposition Forces have committed war crimes, including executions, as well. And that is what they said in the last report of july 15th. They said these violations are on all sides acting with International Law. They feel justice is imperative. Pretty damning words from the u. N. I think the only people that seem to have a problem with this are the gulf arabs. Theyre saying determinant measures need to be taken against the assad regime. Now they seem to be the loan voice in the woods. And its such strong comments from the u. N. Im wondering whether that changes the publics view and narrative. Well, remember, its pretty much a govern whether you agree or disagree as to whether assad used chemical weapons. Everyone seems to be at the same place. They agree on chemical weapons for use. Whether youre in the uk, america, in europe, no one seemed to have the political will to do anything about it. Hadley, for now, thank you. On the heat map, pretty even stevens this morning, as you can see. So about five to four, really, advancers outpacing decliners at the moment. The ftse 100 yesterday was up over 50 points. We tried to start firmer this morning. At the moment, just down nine. This is despite, of course, the u. S. Having its second day of triple gains on the dow. Xetra dax is up 0. 25 , cac 40 down 0. 25 . Were waiting to see what the Senate Committee does as far as mr. Berlusconi is concerned. Apple stock in frankfurt down 3. 75 . Arm is doing fairly well. App apple is not so hot, as you can see. The country is failing to fire the imagination with its socalled cheaper phone. Meanwhile, nokia, as you can see here, up 2. 5 . Burnsburg listing the country to a buy claiming its well placed for a looming battle in the telecom space. Keep your eyes on the bond rates, as well. Treasury yields have been heading higher. The unemployment report will be out in a few hours time. Sterling dollar, pretty strong, 1. 5729. Dollar yen, still on the 100 mark exactly where we were this time yesterday. And euro dollar, 1. 3259 in a 24hour period. Thats it in europe. Sixuan is with us from singapore. Thank you, ross. Still some consolidation in today aes trade. Despite todays big manufacturer confidence at a fouryear high, the nikkei 225 gave back its morning gains ending flat to some profit taking for recent outperformers such as those olympics related stocks, but the index still gained about 4 this week so far. The shanghai deposit, higher by a modest 0. 2 and has gained nearly 5 this week. We know chinas bank loans in august beat Market Forecast and the countrys total social financing almost doubled a month ago. It assured markets that china will not hold back its reform. All these helped Market Sentiment in the region. And on chinas factory, dealmakers staged a valley while the latest Industry Report pointed to a better environment. We saw weakness in asias tech space. Apple suppliers followed apple shares lower after the somewhat disappointing losses. Apples major assembler tumbled almost 5 off the hong kong bores. Some other componentmakers in taiwan, south korea and japan took the brunt of the selling. The new i phenomenon phones are reportedly compatible with standards of china mobile. China mobile shares lost 0. 8 today. Back to you, ross. Thanks for that. Now, can money make us truly happy . Thats the question robert gadelski posed in the new edition of this book, how much is enough . Its a study into modern capitalism where they redefine the relationship between wealth and happiness listing seven steps to a good life. Thanks very much indeed for joining us. Why pose the question . Why start with this project . Well, because, as you said, you asked the question can money make us happiness . And the evidence is that it doesnt. And that in itself is a question we should be asking. The evidence we get is that we get rich and richer, but we dont get any happier. Is this the start that started off with the idea if you transmit growth, its all this idea to again rate growth one generate sort of happiness . Yes. He did think that. But what he also thought was as we got to a certain point of wealth, then we would start working less because we would have enough. And what set out going was we have got a lot richer since he wrote. But it hasnt actually dropped. Why is that . Well, there are a number of possible reasons. One is that we have an insatiable desire for more and more because were comparing our situation with other people and wanting more than them. Another reason is that basically the job market is controlled by employers, not employees, so people that have the power to set their own conditions and terms of work, these are both explainses we look at. And what is it in the end that makes us happy . Is it health . House, measure, friendship, nature, a good life, once you have enough money for those, you have enough. And to carry on working for more there is actually no, you know, how much is enough. I looked and said, well, how much is enough . It would be followish to give a figure because obviously its going to vary. You could have done a nice i dont know, you could have done some quantum physics mathematics equation. The question to ask is do i have these basic goods . And if youve got them, you have enough. What are we supposed to do with this knowledge . Were supposed to organize on our life in such a way as r, our collective life, that we dont just go on more and more and more and more. At the moment, were on a treadmill, a work treadmill, for what end isnt contemplate. We dont even ask the question. Well, what are the ends of the whats the meaning of life . Its just more and more accumulation. If you ask the question, what makes us happy, you cant get a precise answer. Its just a state of mind, a feeling. To say our goal is happiness seems rather vacuous. We brought this out, of course, at a time when its fairly low. Should governments be trying to do more than achieve growth targets . Is that what youre suggesting . Yeah. The Happiness Index is good in a sense. Its a sign that governments are trying to move beyond gdp. But we think its the wrong index. We should be looking at concrete goods like health, education. Focusing on the nha is the right thing even if we go about it the right way inspect. Health is definitely a basic human good. Yes, but, again, you can have too much. If you say our aim in life is to get everyone to live to be 200, that does not seem to me to be a valid definition of health. And so you can always have too much of everything. Its to have enough of these basic goods so that you can say this is a this is now a good life. Thats the aim of it. Have you had response from policymakers to see were on to something here . Do you have any hopes that this might feature into well, people are interested in the idea. There is a satisfaction with whats going on. And, you know, in a slump, satisfy extends to grow. People tend to ask these questions. Why are we working . Whats the purpose of on it all . The and the other thing is expectations, right . Defining what people should expect about what makes them happy . Our goal is to change the climate in the longterm, not have an no on, but the part of that is people think if i own a lot more money, ill be happy. People are striving. We have to change what people strive for . This is our book. There are a lot of books that have come out in the last two or three years. The other ones, theyre not fear as good. Of course not. Its an indication. For one thing one need education for measure. Theres a great fear. People say, if we give our work for less, well be bored. We wont know what to do. Thats because people at the moment are educated for jobs. Holiday. A lot of people say thats the theory. And then the idea of leisure comes in as breaks. You have breaks from work. But we want work to be breaks from leisure. Well, and the education is interesting because some people said the education was developing at a time when people would go into very regimented work, i. E. , into factories, automotive processor offices that would clearly be a system of structure. And thats the current education we have. Life is changing. You know, we need to educate people to be able to look after themselves, to be responsible, to be much more entrepreneurial. Do you think thats fair . Is that would help . Thats responding to the needs of the job market, for sure. But its not responding to needs of life. No, its not. Its responding to the fact that people have to be prepared to move around. And its selfreliant, come back to your point about what we need to do is educate people for leisure. You know, to a world in which work is going to occupy an increasingly small proportion of their time. Thats what were not doing. And, you see, the thing about multi tasking people is actually the job security has declined. Jobs are much more insecure. And one of our basic goods is security. You see people are going to be working less, theyre not. Retirement ages are going up. The longterm trend has been down. Its true, it has petered out in the last five or ten years, but people are working less, not a lot less, but less. The people at the top, the workaholics, they work 60 hours a week or more on. And then you ask, why are they working more . They have more than enough money. Then people at the lower enare finding it hard to get jobs. Were a time machine, right . Look, its a fascinating subject. Thanks so much indeed for coming in to talk about it. And thanks very much. Thank you. Thank you. Apples iphone 5c may have disappointed investors, but well get the latest from beijing with eunice, after this. You really love, what would you do . [ woman ] id be a writer. [ man ] id be a baker. [ woman ] i wanna be a pie maker. [ man ] i wanna be a pilot. [ woman ] id be an architect. What if i told you someone could pay you and what if that person were you . When you think about it, isnt that what retirement should be, paying ourselves to do what we love . Like carpools. Polly wants to know if we can pick her up. Yeah, we can make room. Yeah. [ male announcer ]. Office space. Yes, were loving this communal seating. Its great. [ male announcer ] the best thing to share . A data plan. At t mobile share for business. One bucket of data for everyone on the plan, unlimited talk and text on smart phones. Now, everyones in the spirit of sharing. Hey, can i borrow your boat this weekend . No. [ male announcer ] share more. Save more. At t mobile share for business. Z. You a wait a year for a new apple iphone and two become available. Apple used an event in beijing to launch a cheaper version or a value version is probably how they described it. The 5c will be unashamedly plastic and comes in the range of five bright colors in a move to allow apple to compete with android phones in emerging markets. Eunice has been at that event in beijing. Eunice, people are saying the phone is not cheap enough or its gon going to cannibalize the more on expensive end. What is the reaction that you have heard . Well, its a little bit of both. I mean, a lot of people here have been talking about how the 5c is still very expensive. There is a joke online that said that we thought that the c would stand for cheap, but it stands for costly because the price isnt really low enough to make much of a difference in terms of capturing a different segment of the market here. A lot of people had expected that apple was going to launch a budget model, a cheaper model to try to expand their Customer Base here, but that really didnt happen and its leading a lot of people to believe that perhaps that is the game plan, that apple wants to stay at the premium end, it doesnt want to tackle the low end part of this market, ross. Yeah. And at the same time, were waiting, really, for them to tie up a formal deal with china mobile. Where are we now with that . Well, that was really interesting because separately, i mean, the event itself with apple was kind of a snoozer. Not a lot happened. It was a replay of what happened in the u. S. Despite all the buzz around it. Separately, then, we were able to confirm that the chinese regulators did, indeed, issue a license for apple to go ahead and create the iphones which work with the china mobile wireless standard technology. And that was really interesting for a lot of people here and its created quite a bit of buzz because that is another final step for apple to be able to set its hand sets, its iphones and particularly the 5s and the 5c on the China Mobile Network. So people are very hopeful about this. I called china mobile, the pr person declined, wouldnt confirm or deny the information, but did say that theyre in the process of working out a deal with apple, which as you guys know has been going for years. Everybody is hoping apple will be able to close some sort of deal with china mobile because it is the largest carrier in the country and has access to 700 million subscribers. Ross. And surprise taking something of a drubbing today. They assemble the new iphone 5c down nearly 7 . Theres the other stocks, you can see, as well, off 4 . Lets get more, as well. Stay there, eunice. Also joined by wietek lewis. Thanks for joining us. Lets pick up on the china mobile side of it. We know eunice is explaining why apple needs china mobile. How much does china mobile need apple . Hi, ross. China mobile is the only telco within the big three in china that do not carry iphone. So china mobile definitely needs iphone to compete with the other guys. Much has been said about the 14 million subscribers that china mobile has, but the fact is this, only onefifth of those users are on 3g network. So what china mobile can do with the iphone 5c is that they can convert the existing feature phone users into samsung users. Yes. So, look, is this important for them, as well . I mean, how much do you think sales of iphones in china are going to increase . These are now forecast in 2014, we expect iphone to increase market share by almost 24 , primarily driven by iphone 5c. Wee tek, this is eunice in beijing. How encouraged are you by the fact that the chinese regulator, the ministry of industry and Information Technology has on their website posted that information that they have granted the licenses to apple to run some of those iphones on the China Mobile Network . Thats actually been a long process to convince apple to adopt china mobiles proprietary wireless technology. So, yes, it is exciting news for both the consumers in china and for china mobile itself. And wee tek, with the lowcost iphone, you know, the people are saying its too expensive. Lets get to your view, though. Is it going to sell in other places like indonesia, vietnam . And what is the market for this . Okay. Its not a cheap phone. It is a cheaper iphone. So i think it is not to apples advantage to compete in the lower end segment. Theres always to compete in that particular category.