By a major party. We will be live from the Democratic Convention in philadelphia. Most asian futures here predicting gains in the market but some are nervous as we look inad to the markets opening australia. Market would say an upside on most asian markets today, thats what we see with you 1 pop of the nikkei. Despite the surge coming through from the yen. That was the biggest surge that we have faced. We did have some Good Movement coming through. New zealand coming off the record highs,. 4 . And it pretty flat open coming through in korea today. Having a look at how the yen is tracking, we have seen a little bit of weakness coming through after that very big surge. It is likely to continue to get a good boost. The Second Quarter coming through in estoril you today and is asked acted be the weakest growth we have seen since 1999 and could pave the way for the rba to cut Interest Rates again to a record low 1. 5 next week. That is going to put downward pressure on the aussie but it is stronger today. It is slightly higher. Fullg through with the production. Todayo have earnings coming through from nintendo in japan. Yvonne a lot of earnings happening overnight. Apple shares rose in extended trading after sales and revenue didnt follow as much as analyst predicted. Thanks in part to a cheaper iphone. We are joined live from new york now. This looks like a pretty good order for apple. The second consecutive quarter were we saw a decline in profits were sales weekend. This is an interesting development. It appears investors are bracing the cheaper iphone catching on. It is somehow a growth concern. Report,e happy to forse is the word they used Stronger Customer demand and business performance. Its better than we anticipated. They are breathing a sigh of relief on the numbers again. Fell, revenue is off, but they are managing to pull it on the fact that these cheaper iphones are catching on. D. C. Yvonne we see that . Gross margin is going to be 38 of revenue . It is also smaller than 39. 9 . The trend for profitability is an issue here. May not extend before the fourth quarter. Be upon second blush when they review the performance of apple, scrutinized more closely. It seems to be getting a good pop. It translates and will be interesting, but it is expected apple might disappoint and they managed to provide a sigh of relief unless bad numbers. To be a theme in the season. If you come and less bad than expected, excuse the grammar, that you get a pop on it. Expectations have been cut lower. It fell 50 year on year. What is ahead for the most important product . Lets challenges in china have driven that the line. By one third. A lot of market share to local competitors and there will be a big focus there. They will say there share in china tends to peak during launch windows. There is a high high and a low there. Very interesting to see again how this plays out in wednesday trading. Live in new york. Hillary clinton has become the first woman nominated by a major already. She won the nomination at the National Convention in philadelphia. , she each state announced was pushed over the threshold as south dakota casted ballot. Clinton is todays headline speaker. A 19yearold manus the throat of an 18yearold was under surveillance. The teenager and accomplice were killed by police after tuesdays mortar murder. President visited the scene it saying that dances in a war against hatred and fanaticism. It is investigated by u. S. Authorities. The new method will no longer include a reserve. Chinese Internet Companies will buy visio for 2 billion as it continues a u. S. Expansion. With online video smart phone and electric vehicle divisions. Establishedxpansion in san jose. We have a dual headquarters strategy and it is part of our entry to the united rates. We plan to bring our full ecosystem of markets into china and the u. S. We are building a very large team here. It is a private entity and we intend to list our business in the u. S. Market. Powered by more than 2600 and analyst and more than 120 countries, this is bloomberg. And to britain voted to leave the european union, a little bit this morning now as market scale back expectations for more stimulus from the bank of japan this week. It seems like whatever you call it, were not sure what hes going to do. This is really interesting because it seems ahead of the meeting later on this week, there is very little room to maneuver. We know they are capable of that. You can take a look. Its pretty extraordinary. The expectations did the highest since serves the most 1995. Traders are on the edge of their seats, if you will. And there is a sense that if he does move forward, it is largely expected by economists. What you see is that jump of over 1 . That and it came after the finance minister said in terms of this being big and bold fiscal stimulus, they havent made a decision. They came out with a report suggesting it include a ¥6 trillion and 58 billion of new spending. Even though we have these expect analyst saylot of that it could be a violent reaction. They actually cvn surging about 5 . Comments coming from Morgan Stanley saying that it has never been so certain of we have at given that tendency to get these surprises from the doj, it will be a big disappointment. The 100. Close to throwing the ball or passing the hot potato. We know they are very capable of surprising markets. They expect hes going to expand. Responded. F the 41 they sometimes call it the. Assive moon it simply by not doing anything. We are looking at the potential of what they can do. Further, and most likely they will increase assets and etf. It almost hit their limit in terms of the bond buying they can do. We have not heard if they will verbal policymaking , were unit that limit going to maintain that mess of balance sheet. It would also mean it is essentially giving the government a free pass. Yvonne what has been missing so far . Weve been joking earlier about pokemon go but if you take a look at what nintendo is saying, maybe not. We had this copy of the stimulus plan. There is this passing of the buck a little bit because it does say specific we, continued cooperation will be from the central bank and it is giving rise to these expectations that the doj is to be running out of options. It will go deeper to the toolbox to get to that. Yvonne we have breaking news coming out afford askew metals. Of fortis q metals. They released data just about the last hour or so, shipping 43. 4 million tons. It will be live. Counting down that decision. More with j. P. Morgan private next. Yvonne firsthalf profits probably be their forecast. It strong sales of nonalcoholic averages and the home market. Looking to expand outside of japans slumping domestic beer consumption. Buy. Ril, its ideal to meanwhile, they raise the cash 2. 5 to account for the weaker pound. Almost 104 billion. The two largest investors, they say the new proposal is still undervaluing the company. And we will be watching pitcher china after the Parent Company posted 11 jump in net income. The revenue, however, did take a hit over the past year. Investors are betting to check the the bank of japan will boost stimulus. There is expectation for stimulus. The scale will not be as big as the market expected. This time, we expect the scale of stimulus might be increasing the purchase to 100 trillion because they are reaching the limit. They have the expectation. They reached the limit of how much they are. Yvonne we talk about fiscal stimulus, but does this have room for fiscal spending . We talk about the huge debt pile and the massive budget deficit. Central banks, the government used the money to spend massively to stimulate the economy. To change the expectation. Highest also one of the we have a and bandaid they need to balance by 2020. The limit for homage they can do fiscal stimulus might be limited. People are speculating 3 trillion a year and they can be disappointed. Rates if they cut further to negative territory, what could happen to yields . Today have further to go . It is negative, right . They havent changed economic performance. They changed expectations. They can change it negative. If the yen strengthens, that is they are not [indiscernible] i think it is a key reason. Yvonne we do see bias would you have china, indonesia. Take a look at sovereigns. His most of the rally done . Most of it is liquidity driven and its not much about fundamentals. How hard is it to find the bottom . The local markets, the best class. The fundamental may not be estimated. They pull a lot of liquidity out of the region. So i think that we have this change in dynamics. That local equity is very under owned. Of the outperforming asset classes, free of the next five years. Value. Are searching for i think that will drive the price up but it is not expensive. I want to ask about china. How much of this record amount of want default in may still not deterring a lot of investors from entering into a lot of risky a thats, take a look at that. The spread would seem to be at a twoyear low right now. How do you filter these assets for higher returns . It will continue to increase, definitely. And it is unreasonably low. Always an individual and sympathetic reason specific reason. Ownedthe government entity. Some excess in the industry, theyve got to be select to. You got to be even more selective from the stateowned enterprise. More on a casebycase basis. Still come to buy the chinese bonds. We will be live in sydney to go over the latest production numbers. Yvonne shares rising after the iron ore miner announced a solid production numbers. The shipments are looking good. The Financial Year 2017. Really ay, it is crossed out story. Fortis q up 5. 3 percent. And better still. Year 2016, it is down to 5. 2 billion. Ahead of that very crucial Second Quarter. It was deflationary and got to a record low of one point 75 . Another week read today will prompt the rba to cut again when they next meet on tuesday. You can see a bit of pressure either way with this figure drops. Just to be clear, the market is mainly due ton fuel prices recovering. Yvonne we will see with the numbers come through. Coming up, history is made at the democratic National Convention. Yvonne half and our away from the open of trading in singapore. You are watching daybreak asia. After three days of losses, the materials and consumer stocks leading the way. Consistently high stockpiles. It serves back expectations. The finance minister said the size of a fiscal stimulus package wasnt yet decided. Central bank makes a policy announcement on friday. Revenue fell less projected and forecast exceeded some estimates. Eased, aimed at china and other emerging regions. Twitter went the other way after revenue fell short. Suggesting it is struggling to win more advertising dollars. Global news powered by more than 2600 journalists and analysts. Back to the markets, the yen is getting a boost to Japanese Equities early in the session. How is it looking . Were seeing japan leading the way with the nikkei up 1. 3 . The first gain we have seen in four days. Were waiting to see the stimulus plan very much pouring water on those hopes of a very big stimulus package. After that search, it is getting a boost to the equity market. Korea getting pretty flat at the moment. A stroll you very much supported , iron oreerial tracking higher. And also the fact that we have quite a big spike coming through in the shares listed in london as well. Little bitand, a weaker theyre coming off of those highs which is a record high. Have a look at the suppliers. York 7 in afterhours new trading. They mention a big surge we have seen in fortescue metals. Boost andon getting a nintendo will be coming through with its numbers later today. And do down 3. 2 , they may have missed the mark with the pokemon go phenomenon but nintendo itself, it will be limited in terms of the earnings. Watch this in an hour when we get the Second Quarter cpi numbers coming through. Growth since 1999 and will pave the way for another rate cut. Yvonne twitter shares are plunging. After the bell on wall street. The ceo is standing by right now. Walk us through these numbers. Flax wax profits beat revenue as well as the thirdquarter guidance. It is definitely was weighing on after our share price. Lets take a look at what is happening in terms of specifics. It came in at . 13 a share. The estimate was for nine cents. The Second Quarter revenue number missed by about 5 million coming in at 602 million. The thirdquarter revenue forecast is lower than the second order revenue on the order of 15 million or so. It is lower by 70 million. That is the whole reason as to why twitter shares are tanking, dipping and plunging by as much as 11. 5 down, 1020 . Down 10. 8 . The ceo is trying to increase traffic to twitter to drive at sales. The endeavors are starting to work. It is 313 million active users. The estimate was for 312 million users. Its a bump. What makes this growth able is the link to streaming, live events and sporting events. Deals with Major League Baseball here. Early this year, twitter for dover 10 million to stream nfl games on thursday night. You might take away the fact that maybe its not working so well. They have basically been stagnating over the past four or five quarters. They are very concerned that they can follow through on that. We see bloomberg plunging in afterhours. Yvonne it really was a big miss going to the analyst. There is news on speculation of the deal, looking to add size to close the gap. A big push, the proposed standards could see them forced to increase reserves by as much as 70 . Goldman sachs is being sued in the u. S. Or conflict of interest after allegedly selling out a client to curry favor with a malaysian prime minister. Taken over by a bank in 2011. Helpdential information to the bank by on the cheap. Democrats have made history by officially nominating their first ever female candidate for u. S. President s. She received the seal of approval at the party convention. The final rollcall vote. Senator Bernie Sanders just have the tall order of trying to unite this democratic party. Actually hand over his 27 s, sending herte over the edge, a sign that the party is trying to unify. Tonight, bill clinton will speak. The party after a very contentious primary. Is bernie a bust . Where our supporters going to go . It is unified. They have lost their lives. This convention moving on to other things beyond Bernie Sanders. Yvonne asia is watching the outcome of the u. S. Election with new research now. He is here with me now. The policy settings above the region, the members would be slower growth, slower trade. Yvonne are they the most vulnerable . The survey of investors would be south korea and the philippines. This is not in the most fiscally responsible position. They are a big exporter to the u. S. Migrants. Urt the it is the big destination and wants to bring those jobs back to america. It those would be among the losers but there are the others. Interesting study there about the trump presidency, the impact it could have on asia. Were from the chairman of one of asias largest multinational conglomerates. We will find out what the group thinks about exit and how it will affect property prices. Of the a quick check headlines now, a takeover bid from London Stock Exchange group or 2. 5 billion. Investors owning 60 of chairs shares. The deal sonys approval from the European Commission and national regulators. He goahead for the plan and a possible fix, it will cost the company about 15 billion. Thisiggest recovery from scandal. The goal of producing 500,000 cars despite tesla missing production targets this year. Confident that the model three would roll off the production line last summer. A modest amount of capital. Making that happen. The multinational conglomerate is betting on what it believes is a newly resurgent india. Assets to buy distressed. They tell us in the is bank has not made the process easy. We have been negotiating with the banks. Not abletely, we have to clinch the deal because the banks are finding it difficult to take a haircut and the absence of policy of how much they should take a haircut. , noss they take a haircut new investors are going to invest in the distressed projects. Are they looking to tie up with another investor . Not necessarily. If we find something huge and large, we can also bring other investors. I want to say yes, because all i can tell you is that we are interested in investing in renewable energy. At the moment, we are looking at a number of opportunities. And then we will be successful. What kind of investments are you looking to make. Investments and funds are not a problem. The problem is the right opportunity. We will be able to make money at the moment in the renewable energy. They are losing money and losing their shirt. Vassilis have to take a haircut. It one that started earlier, becomes an opportunity for the newcomers. There are many newcomers in this field. Sl, we have reliance. What would be the challenges . In the country, everybody can have a slice of the cake. I have never thought that while others should not be in this sector, each one has its own policy. Yvonne that was the chairman speaking to us. A still ahead, japanese consumers are holding back on the urge to splurge. That is bad news for economics. We will go to tokyo. As is bloomberg. Lets do a quick check of the markets across the region. We are awaiting the cpi figures from australia. If it misses once again, maybe prompting to cut rates in august. The way for those figures coming rtescue surging after the analyst estimates. We will see how the kospi is doing, asian stocks overall a mixed picture. Dojait for the fed and the slapped right now. Investors on the sidelines as we wait to the bank to take ways. We are seeing them peering back some of the gains overnight. We see the stocks get a bit of a boost here on the nikkei to 25. 225. Japanese consumers of all ages are holding back on discretionary purchases, especially spending less on having fun. What a sad story. What is going on . We are seeing it from both older and younger consumers. Older consumers spend less. Than ajapan, with more quarter of the population, that has been true for a while. Longer time it has taken to get the full pension. They are gradually increasing the age it would you get your full pension so people have been on spendingng back on discretionary items and focusing on medical services. And we see younger consumers that are usually the funloving spending type spending less on discretionary items as well. The package tour and entertainment, growth has been tepid. More people in this age group are and what we call nonregular jobs. Lower paying jobs. And theypercentage have less to spend. It is both for older and younger consumers. Is the problem that we have a japanese consumers, they are not expecting wage pressures, they are not going to spend and keep the money under the mattress. What does this mean overall . And for the japanese economy . It is kind of a problem. Fueledthe economy being by Consumer Spending that really pricedown things like gains. It is a concern and is causing japanese prices to be far from that 2 price target that the bank of japan is at. Anymore information out of japan this week . Friday, just hours before the bank of japan policy decision and a fresh outlook on growth, we will see Consumer Spending data for june. We have seen several months of falling prices and we are expecting it to be down 0. 4 . Yvonne a lot going on this friday, thank you very much. That is it for us on daybreak asia today. With coming up . Looking at the aftermath of those results, better than beected but neil shaw will joining us and will be going through those numbers. What happens next for the worlds Biggest Technology company . As weing the apple cart go to the launch of the iphone seven that may will be showing from counterpart technology. Iphone sevenof the are very high but they have been dampened in recent. When it comes to the iphone, it will be the 10th anniversary. The eight is what we would be gearing up for. Plus trillion inflation, quarter on quarter inflation up by point or percent. The price index also on year on year. It should be bitter food for thought as it is pondering interest and giving a lot of was a room when it comes to cuts in the cost of borrowing that. Mean ford it all President Donald Trump . That presidency, what would it look like . It would be the current economics editor joining us for that coming up. . C sv it is wednesday the 27th of july. I am rishaad salamat. This is trending business. Rishaad this is a look at what we are watching. Snapping a threeday slide, driving gains and asia. The yen retreats over speculation of stimulus