2020 olympics. Will this be another golden week for operators . We are live. Said to be aeek is bumpy one for those casino companies. On your bloomberg panel, 1975, this is what we have at the moment. Galaxy entertainment in the yellow. That made a strong showing of late. It is down to the high rollers. They have been driving Revenue Growth for the 14th straight month. Estimates are 16. 1 . Theyre looking at 14 , the estimate there as well. What about the prospects of this month as well . They are expecting their betting volume to surge between 30 and 35 from last year. They really are wants to watch when the trading day gets underway here in hong kong. Lets have a look at our markets we are tracking. Looking at the equity space here, you can see stocks in wellington and sydney on the back foot. They are snapping a threeday rise. You have stocks in the malaysia, singapore and taiwan joining the nikkei 225. We are seeing the dollar pick up , adding 2 10 of a percent. Riding a july 2017 high. The ringgit remaining under pressure. This is the selling of malaysian stocks, the aussie dollar is seeing some losses. In the commodities space, you have gold now claim to losses down a tent of a percent and oils are giving their drop. Rent is down by a third of a percent. Natural gas, that is rising, snapping a threeday drop. You do have i. T. Energy stocks, the biggest drag on this index here. They are being led higher by them as well as focus. We are seeing some lawsuits or the real estate space today after building approvals for august were less than half of what was forecasted on a monthly basis. I want to end by putting some stocks on your radar here. In sydney, that is the most since november of 2002. Electric having a good day. Yes gala electric having a good day. That stock is yaskawa electric having a good day. Rishaad a bit of great news coming through. This command center is an introduction in australia. This is after 54 years of making cars in the country. This is the end of carmaking in australia. We have seen General Motors pull out. That is what we have in the moment. President trump will be visiting las vegas wednesday after the mass shooting is labeled as an act of pure evil. They are calling for tougher guncontrol. Jodi joins us now. It was absolutely awful. A horrific shooting. Yet again, these images we keep seeing out of the u. S. In recent years, the president president s before advantage over this. President bush, president obama became companies comforters in chief. We will see if President Trump can do the same thing. Can he go to las vegas and give that comfort at a time like this and then also on the issue of gun control, he is very against any restrictions ongoing ownership. He was very on message in that speech. This, he hasout brought back Obama Administration restrictions that made it tougher for l people. He made it clear in the campaign since he has taken office, he is not interested in guncontrol. The debate will come back in congress but it looks like it is very difficult for them to do anything. Nothing seems to get done about it either way. In the sense of limiting guns. It is true. After sandy hook, there was that horrific massacre of kindergartners at an Elementary School in connecticut. The senate which was controlled by democrats at the time really fought to push for background checks. It wasnt even much more than that. They were unable to pass that. It is very unlikely will see that. The senators from connecticut said they will reintroduce legislation. The center from nevada is a very vulnerable republican in 2018 midterm elections. It would be difficult for him to support gun control. Him in his very own district, it was this her affection. The National Rifle association a stronga still has one. They put any pressure on lawmakers that would seek any kind of control measures. Rishaad lets move away from tos awful event in las vegas the international stage. We have seen north korea back in that blind. Rex tillerson, the secretary of state said they were back channels to north korea seeking to read short that there may be some diplomat Solutions Still at hand. Then the president came out and said not so much. We are not talking to north korea, we will not talk to north korea. Grexit we were looking at it and going, is this good cop, bad cop or is in the 10, right hand not talking to each other . A bit of both. Some analysts have said that he may be plain bad cop to Rex Tillersons good cop. Hewas very striking how countered his own secretary of state. North korea called him little rocket man. It seems they are very much at odds with this. There may be some back channels to have diplomacy. The president has really sad that is not happening, it is not happening in direct contrast to the secretary. That is jodi schneider. Lets get to the schism between madrid and barcelona with that story and the rest of the first word news. Catalonia leaders are calling for International Mediation in a separatism dispute with spain. Hundred of people rallied outside the main police station. Right please try to stop sundays referendum. Catalonia president says he will file a plant complaint after officers filed rubber bullets. s interiorrump secretary zinke is the latest to be investigated for charter flights. He technically took three private flights since taking office in march including a 12,000 night trip in june to in vegas to his home state montana. Tom price resigned on friday. Janet yellen says the decision to relate aig from supervision is an example of the prize is working properly. To be twohat institutions can make themselves less risky and become less of a threat. sst week news came as aig generally smaller scale make the case that it should be free from restrictions built by the dodd frank act and obama era regulations. Goldman sachs is said to be exploring how it could help climb bitcoin and other digital currencies. We will talk with a cryptocurrency expert. Jamie dimon says bitcoin is a flawed broad and would fraud and would fire any employee trading it. Global news, 24 hours a day, powered by over 2700 journalists and analysts in over 120 countries. I am haslinda. Also, some financial the Biggest Challenges they face. He will be a look on whether the stocks can deliver on their usual Fourth Quarter strength. You are back with bloomberg markets, i am a shot salaam in hong kong. Vegas can the bulls keep running . Now to answer the question what will stop this rally, is already stopping . We have two things, we have a technicality where markets get very worried at the end. That is called windowdressing. To some extent. Markets have a bad muscle memory about october. A lot of people take the profits and place to the side. Then what do you put it back into. Then after 10 years of being told you have to be scared of may markets, being out is as big a risk as being in. People need to ask what are the longterm things i want to exploit. These are some of those growth stories. They started but my back they start to put money back in. It is almost a trend that we see. Rishaad what must have been happening with the shenzhen market. Ofs is from the beginning may. That is a pretty decent game. The boardns across here. The thing is you have to be wary when youre investing in china. You can suddenly go pearshaped. January, all the consensus was how terrible china was going to be. There were stories about the u. S. Dollar and what we are seeing this year is the unwinding of that trade. I think a lot of the performance we have had out of china has been catching up to the fact that there are some Great Stories and these tech stories we cant ignore these tech stories. We cant ignore the digital consumer. We know emerging markets in china have jumped straight to digital consumption. Everybody is using their phone to buy everything. Thanks they didnt have the pc revolution. He just sent over those. That is absolutely right. What is not happening is the International Investors are saying that we cant pretend that this is a shortterm emergingmarket spike to do with cyclicals. This is a longterm thing. It has been going on for ages. Works, this ise one in september, a lot of investors are here. A lot of the big american investors. Start buildingo some longterm investors. Here, the point here has to be can you trust the Regulatory Framework . Are you safeguarded enough . Access towant to get the china story and not just the is reallyes it catching the imagination outside of asia. This is a plan without the war. People will say how can i participate in that and become book . Going through the stock connects, these are easier ways to engage. This is a start of a really rishaad asia has continued to outperform. One of the issues is that china itself is 80 of the market. It is still domestically driven. It is not just International Investors buy into china. Thats the new thing that is coming. The investor is realizing that there are some good stories in their within the market. They had their fun and games with the point and bitcoin and so on. Ultimately, you will always get the noise and the emerging stories about the gray market and how you actually bring the unofficial Banking System into the Banking System. People look at it and go equities do have a place in longterm investment portfolios. Can onlytic guys who buy a limited amount are trying to find the International Markets and longterm equity stories. Use bitcoin. What is your feeling on this . If we go back to 2000 where we have people getting real money invested in order to build platforms with his new thing called the internet, we may log stuff about the things that went bust, these ideas are getting bitcoin which is the new transactional currency. Their building another platform and the reality is that in 2000, we do not know what amazon was going to do to the retail sector. We now need to be thinking about that this effectively new level of the internet will do for the middlemen. They are all on there. They have to be. Bitcoin is a block chain. Rishaad the block chain letter wherever you use it, bid for housing or stock trading or something, you have to be on that ledger at the same time. It is ais the point, platform. It is like saying you all have to be on the internet. For me, the interesting point about bitcoin is that it is a old. Sactional digital go rishaad it has no intrinsic value. Measured and everybody was trading in gold. The governments control the on and off rep. But how do they tax it on and off ramp. But how do they tax it . It is how you tax and monitor. They need to regularize it to protect people. They need to stop all commerce going on outside of their taxable base. It is a big story underneath. And the two or 300 other cryptocurrencies out there as well. Restauranto open and a restaurant and sell you a 20 voucher if my restaurant opens. As you talk about technology, you had the symposium in london. It was interesting to read about what speakers had to say that ai. Everybody with buzzwords have been about ai. Before that is aa. Hi a. Resistance. T the thing about ai, the first humanss actually making more intelligent. Making them more effective than they otherwise would be. What we do realize this is a fantastic symposium. Made is thatints you cannot replace the imagination, what you are really doing is you are replacing the tine stuff just as you do you are replacing the routine stuff. Rishaad for the time being. It was great to have you on the program. Lest study what we have on the withwe have an interview andreas. S. If youre watching in new york, we have the hong kong premarkets, that is next. Back withou are bloomberg markets. I am rishaad salon. Whatever you got . The first trading day of the corridor. This is what it looks like, a great bit of talent action coming in. The dow is up 20 2 10 of 1 . The futures are pushing the psychologically. This is up nearly 1 . Now turning to japan or japan allies is finetuning its focus at a the 2020 on begins in tokyo. They are expecting a surge in tourism. President ishihara says japan need for aircraft. Aircrafts. Re japan aims to have 40 million visitors a year by 2020. We should aim to have as many as 60 million. Visitors fly here and airlines are a very promising sector. We are confident we can take this opportunity and grow. Hasn needs more aircrafts the industry is expected to grow. Confident in season this opportunity. We went bankrupt if you use ago and our business run by one third, finally we are back where we need to be. There will be eight additional planes by 2020 and we will be replacing regional smaller jets with bigger aircrafts. He could be adding more than 10 planes by then. President speaking as good salute to bloomberg. Have a look at the latest is this flash headlines. Report of india saying the government has decided to help its flag carrier move toward a sale by shipping much of it that to a separate vehicle. The economic giants has the decision was at the end of august. Up and it willbe look more attractive. It is almost a billion dollars in debt and 5 billion of that will be moved away. Indian right heather ol ride hailer ola is planning on fromng 2 billion softbank and tencent. Newal Companies Hit by levies tacked onto President Trumps tax reform plan. They will make up the rate and the means and they are not specified. Loads more on the way, including the hong kong open. So new touch screens. And biometrics. In 574 branches. All done by. Yesterday. Banks arent just undergoing a face lift. Theyre undergoing a transformation. A data fueled, security driven shift in applications and customer experience. Which is why comcast business delivers Consistent Network Performance and speed across all your locations. Hello, mr. Deets. Every Branch Running like headquarters. Thats how you outmaneuver. 9 29 a. M. Here in hong kong. We can you go to the start of the session. I am a shot salon. Looking at the possibility of a strong start to the day at the beginning of the Fourth Quarter of the year. Coming from wall street, we had u. S. Equities reaching a record high. Here is the bloomberg dollar index, the highest since midaugust. This is the survey of manufacturing showing that that was expanding for the fastest rate in 13 years. This is the first time that will react toes the strong pmi number. The forecast is they will keep this boring at this record lows of 1. 5 . Loads more data coming out, looking forward to the reserve bank of india out on wednesday with its benchmark rate right there and the consideration. Looking at the open. Hong kong markets are back in action and they are at into fridays game, jumping 1. 1 . Climbing the most since as a terror 18 september 18. Mgm china, that stock is sliding. That they are the banks top pick. Those stocks are common today. Awareors are especially of earnings upgrades. Along the strip for the likes of macau. Mgm china has postponed its launch until 2018. I could further exacerbate the. Evenue on the casino stocks moving along to chinese carmakers, they are climbing in hong kong, you have Great Wall Motors getting over 2 after resuming trade. We see negligible impact from the investments in australia, great wall is joining byd in an skewer supplies. Byd and great wall leaving the advanced four shares. Mandate maytric car be helping with these gains. Looking at the index today to see what is really driving gains of over 1 in that market, it is leavinding. Ly a pretty good start for the hong kong share markets coming back from that. Rishaad thank you for that. Lets get over to singapore, lets get some first word news headlines. President trump will visit las vegas wednesday to meet survivors and emergency workers after the deadliest mass shooting and modern u. S. History. At least 59 people were killed, more than 500 were injured when 54yearold retiree stephen shot people from his hotel room. He had as many as 17 guns in the hotel room. The white house has ruled out Nuclear Talks with north korea after Rex Tillerson said there has been direct engagement. There areare ways of mccain directly with two of the three channels open. The white house said the administration was only open in talks about three u. S. Citizens detained in north korea. Carmaking in australia was brought to an end today. The decision comes after a year ago, australia had for big carmakers. The last car to come off the toyota line will be a camera. Shinzo abe is losing some support ahead of the snap election. He has the Approval Rating anding seven points to 37 this Approval Rating has risen a point. The support for the liberal the liberal Democrat Party is still down but it is far ahead of the tokyo governor. Global news, 24 hours a day, powered by over 2700 journalists and analysts in more than 120 countries. This is bloomberg. Months into the european interlude. Comingng instruments into effect for the second version of them. Why is bloombergs take on brokers globally are scrimping to comply. Bonds have bounced back after the 2008 financial crisis. The Publics Trust has not recovered. Not with highspeed training, unexplained volatility and banking scandals creating the sense that Financial Markets are unfair. Many politicians and regulators suit regulating the Playing Field as those crisis cleanup. A vast set of new european rules will force unprecedented transparency on banks and brokers. The eu rules will apply to any institution trading european securities. He was the situation, traders are scrambled to comply with the revision of the markets and Financial Instruments directive. That goes into effect in january of 2018. It is set to up the way that brokers share information, smith out the best prices and get paid. Thosef the rules of requiring brokers to synchronize clocks are designed to give regulators information if things go wrong. Conference of interest. Method to guidelines go further with the doddfrank in the u. S. Banks and brokerages say banks are overrated. Critics say bike changing the prices, mark liquidity may be reduced. Authorities on the other hand say the new rules will help restore trust and strengthen Consumer Protections while fostering competition and encourage a more independent research. Encouraging more independent research. Rishaad he says the United Kingdom is among the best prepared for the video terry changes brought by method and method two. Are the Financial Industries xlib ready for this . You are not dealing with one regulator. It is every countrys regulator coming together and trying to arrange what is best for their market. They had had all these decisions made yet. They hadnt had all these decisions made yet. Equitiesd out with which was quite straightforward after the financial crisis. To bonds andving derivatives, they were overthecounter transactions. They want to put those onto an exchange or an electronic Trading Platform where they can monitor what is happening with them. At the moment that is a very gray area. Then there is the other aspect as reports are saying about pricing and research. What isthe bit the proposal . What will happen. Effectively you cant have free research. Summary has to pay for it. In the past it was bundled in with the commission rates. Nobody knew how much the research was and how much was the is occasion. That will be very clear. Isre will be and occasionally and there will be a rate for how much you pay. What it means for the traders, it makes life a lot easier. They are responsible for having to pay this broker this amount for this research and that broker that amount. It was always a bit of a mismatch anyway. That should make training a lot clearer. Theyre coming with the best education policy. There are still a few gray areas and what x x what best execution will he is. Rishaad how does that impact some of these really big banks . Way,u can put it this citigroup grew to be citigroup. It is trying to be all things to all people. It sent all its research out to all of its clients. The clients dont use all of the research. That is what is going to happen. The pricing and research is going to be found far more transparent about what people actually use and what they are prepared to pay for it. Rishaad that is what method is all about, it is about transparency, that is what they are after. As muchwant transparency, the cost of research, education, the cost of whether you are paying people for the research were how you are paying them for the research or whether you are not taking that research and you will just do your own research internally. That is problem for some of the problem for some of the funds. Do they get the idea from the street or do their own internal people come up with the idea . Are the streets endorsing their idea or can they work without giving that endorsement . Rishaad we are looking down the road. Lets see what happens to research in the longer term. That is interesting. Andrew that is very interesting. Want to play for the research. You could lose a lot of industry amount industry now is because nobody is interested at the moment. In three years time that sector may come back in and you lost the whole raft of industry expertise. You also have the the perennial question should first rejoinder on research and hope their own Research Managers . Should there be light on the street . Which parts of the street be providing . Should it provide the base data or should be providing the Investment Advice . Lets talk a little bit about equivalent venues. This is something i have been reading about lately. Meanslain what that precisely. At the moment, method calls covers all of the european miffid covers all of the european markets. The make trade to nine in u. S. Unless the u. S. Regulator and the european regulator a great that their markets are equivalent, i. E. That they had the same amount of transparency and same amount of Consumer Protection at the end of the day, they wont count as equivalent. Mifid, they cannot trade those. You are going to push the price up, that is going to undermine the whole aspect of what we are trying to get. That is more effective, more efficient markets. The trillion dollar question is going to be will it work . Grace it is like most things. It has high expirations. It comes in january. It probably wont work perfectly. It gets reviewed in 2020. Whichuld be able to see bits are working and which was need to be taken out, reviewed, changed, whatever. It is a work in progress. Unfortunately, we have artie had one delay in it. It will be a matter of working with what you have and trying to make the best of it. A look atut have another aspect of it, that is dark trading. This is the bit we dont have to declare your trading with and you dont want to be seen out there in the markets. That cant be allowed to exist. I want to bring up this chart, this is 1726. Networks, crossing networks are in blue. The dark one is a multilateral Training Facility in white. This is a huge part of the market. Andrew interestingly, this is what mifid one created. Take away theto monopolies that the central bosses had. They were trying to make trading accessible to many more. As you say, if you want to use these, you have to identify yourself as an internal as a, somebody who will do this on a regular basis. One of the other problems we have seen over the last couple areears is some of these not as dark as we thought they were. That is why the regulators are looking to tie this up. It has to make people more honest about it. The interesting factor will be that people will be amalgamating retail. The previous a have not been able to go to the large funds and say do you want to cross the stock . We will be able to do that. We are changing the Playing Field a little bit. What are the implications for this part of the world, if any . Are quite large. If you consider that some of the houses at which rate through their london xts. That means they are covered by mifid. Report to you have to mifid. I think for a lot of people, it has been the selling of research into europe. Also, a matter of whether the funds are wholly dominated by european legislation or whether some of the funds are excluded from it. Of course, you also have the problem that diesel not be covered by this. There will be some gray areas. That is what is making it very difficult for copies to know exactly how to put out one piece of standard procedure for other departments. It is the big problem. Me getk you for helping to grips of what is a rather complicated subject to say the least. Andrew thank you. Gaming revenue of 16. 1 , way above the analysts estimates that. Can the winning streak continue . Here will be the busiest golden week in years. The app is are rescheduling after the august tycoons. Casino operators are inspected to rip the rewards. Stephen engle joins us. I suppose he did say there is a virtually a typo in there. Marcy rains. Expectations are skyhigh. How golden will this week be . It not going to dampen enthusiasm. Let alone the gamblers that come across the borders of maine and china. It is called a super golden week because it has an today this year. Instead of the normal seven because of the mid autumn festival following midweek this week. In a straight day to spend all that money. Year, 1. 2 million our people were coming here. 1. 2 Million People were coming here last year. 970,000 of them from mainland china. They are expected to surpass year, given the extra day. Also a number of other reasons, august had to type and that dampened the travel gear and there is pentup demand. Also visa restrictions, there are no more visa restrictions this year. That is interesting because it is ahead of the 19 party congress. You would think there would be restrictions by the leadership in beijing. Attractions are new and we are seeing the gaming revenue increase for a 14th consecutive month in september. With me now, mgm is not inspected to do that well this year. The resort is delayed. I was talking to the ceo couple of months ago. It seems distillate could help them. I dont know how the delay would help them. Macau goes up and down with the whims of chinese authorities. When it is good, it is good, you have to take all you can get. You are seeing these Companies Like sands and they are trying to take all the weddings. Mgm is still behind with construction delays. Lets find out who could which casino operator is likely to be beating the thinking out there . We heard a couple of different forecasts for different operators, including, you can see it, it is the wind palace, 4. 3 billion. It came late to the code tie area. It is not on the strip. It is a little slow. We are also getting some increased outlooks from the like of ubs and others. They were expecting wind palace or wind, the company to say we will have a very very strong golden week and the hotel room already 80 full here along the strip. 14 months now on this comeback after being in the doldrums because of this crackdown on corruption. Recovery here to stay . Is it here to stay as long as people want it to . It will really depend on what happens with the vips. So far, this big comeback has been driven by vips. These are the big gamblers, lots of my to spend. They are going to to spend their money or do whatever else to gamble what they want to do. What it is not being driven by is the mainstream consumers that the Chinese Government has asked these casinos to attract. This is what all these casinos have built new places in code tie have said. Say we are all your to track the mainstream gamblers. The families who are youre coming for the pools. This shows and other kind of stuff. Was very keen to effectuate the fact that they were trying to get more and more from nongaming revenue. Hows that working out for the strip . Your exact right. Thats what they said over and over again, if you look at the numbers, the percentage of revenue from nongaming operations continues to be flat, especially in places like mgm. When you look at a new casino like the wind palace, is this beautiful palace where these cable cars bring you in two fountains and classical music. That attract mainstream this mainstream consumers are people of luxury in mind . Quasi i think the answer is obvious. Thank you shelley. Also, our chief north asian analyst stephen engle. You cannot only watch us live but you can see previous interviews, that was mark. He was joining us live. Part of ourmake you conversation. Send us instant messages during the shows, it is for bloomberg subscribers only. Check it out at tv. Some trends are so influential they can move entire sectors of the market, take demographics, her agent population impacts the performance of all health care companies. Selecting precisely was copies will benefit can be challenging. The Health Care Sector offers the diversification of an entire Health Care Sector while minimizing your single stock exposure. Health care sector. The next chapter in investing. You are back with bloomberg markets, coming to you live. We had the latest business flash headlines. This was a rough time in extended trading. The initial production of the sheep vehicle and has been a struggle. Demand for more pricing models has surged. 260 model threes , well below its august forecast of 1500. Model as and model x deliveries climbed to records. The new ford boss jim hackett is facing investors to answer questions about the share price and which way he is driving the company that he is taking over in may. He has reversed course on building the vocus in mexico, pushing to electric in china and partnered with left on autonomous cars. Ford stock continues to chug along in second gear. Over directors are specter to devote board member forms and whether to pursue a major stock deal in stock banks. There are 70 billion, it has been beset by allegations of Sexual Harassment and a string of unfilled senior positions. The founder of apples top chipmaker will hand over the reins next summer. Will retire. This should be about 10 , we check on the share price and there you go, up nearly half of 1 . I will say what is up in the next hour of bloomberg markets, the director of economics is joining us with a preview. That Interest Rate decision on the reserve bank of australia. That is 40 minutes from now. This is bloomberg. From our studios in new york city, this is charlie rose. Tonight, a conversation with the man who initiated the nuclear deal. Society in ahe conversation about iran, is neighbors, terrorism. This, except for my conversation last night with theyr deputy director, talk about some of the accusations against iran