Republican nomination, painting himself as the savior of a country. We will be live in cleveland. Welcome to breaking news in asia. Where trending on mobile and number. Com. Lets check in on the early Market Action in the region. Juliette taking a look at all of that. U. S. Stocks off of record highs. We seeing a pullback here . That is what the future as was indicating. You can see quite a bit of weakness coming through from the nikkei 225 down 1 . A closed higher by 0. 8 yesterday, and there has been these comments coming through, even though it had been a to be did to last month from governor kuroda about the fact of pouring oil on that sort of helicopter money. And you mentioned that weakness coming through the u. S. We have to remember the regional adex thursday actually hit 2016 high. Given that is a friday and we were at those levels, not surprising. Investors take a bit of money off the table today. Because we open lower by 0. 3 , australia still opening up, pretty flat. 0. 6 we will see some pressure from those Energy Players in australia today. Gold rebounding. It actually rebounded from threeweek lows. Perhaps support from gold stocks. New zealand has been open for a little while, and it is looking pretty flat after a solid session yesterday. The key we falling to a sixweek low kiwi falling to a sixweek low. Want to show you the japanese yen. It had that very solid session thursday when it rose 1 , that is the dollar weakness of their. We see more clarification as to what it is going to mean, the stimulus package from governor kuroda. It is pretty unchanged, holding at 105. 78. And if i can show you one market we will be watching very closely today, that is the hang seng index. It hinted bill marquette entered the market bull market territory. You can see it is up 0. 4 , importantly 20 from lows in january. Rishaad thank yous you so much. Wall street stocks are retreating from record highs. Corporate results raising concerns about the economy. Lets bring in su keenan, watching this out of new york. What happened . Sun a few disappointing earnings. The market closed down across the board. You have investors not seeing anything out there other than the recent deason earnings to justify the rally, and validate it. That is what they are looking for. Ickets a look take a look. There were more down than up. 4 , and its much as followed through in the thursday trade here. Southwest, the Airline Coming 11 on a weakness, and the fair structure, that drag down the entire airline group. Ebay was a bright spot, reporting with a positive report that it had stocks surging 11 . They raised their outlook. But it failed to overshadow the disappointing earnings reports that clearly wait on the index. Data agency positive we did see positive data. Su that limited losses here. There was a pause in the rally, it was not a significant pullback. We did have strong data on house sales. It was the highest in nine years. Gas and leaders include applications for on implement benefits, those falling. We are now at a threemonth low. 500, the valuations of the stocks are a big a bit rich. You can see that is one of the concerns that is serving as a counterbalance to the strong Economic Data. Yvonne lets talk about more earnings. Boeing is suffering a drop, but it has paired some of those losses. What is going on . Su we had boeing and starbucks, negative surprises. Boeing is interesting. After hoursrise that pushed the stock down as much as 2 , it has come off that low now, is it was recording a 2. 1 million earnings aftertax accounting laws. And earnings charge for second quarter. This as it absorbs losses from delayed jetliners. The dreamliner was two years late. Investors say it is a reminder of costly delays inherent in this business. The stocks rebounding could have something to do with boeing guidance for 2016 both revenue and cash was reaffirmed. A bit of a surprise in the charge, that we will see how it follows through. Yvonne thank you so much. Joining us live from new york. Lets go to first word news. It is not yet clear how the uks decision to leave the eu will affect the eurozone economy. They left policies unchanged at thursdays meeting, and there is little Economic Data due before the next gathering on september 8. Mario draghi says the central bank is ready to act. If oriented to achieve its objective, the governing council will act by using all instruments available within its mandate. So i would not stress readiness, willingness, ability to do so. Mobil will buy natural gas explorer interoil. Deals and games pop. They will use their own stock and cash to pay 72 per share feepay 60 million breakup for interoil, was backed up of an earlier deal. Resigned to bes replaced by his boss, rupert murdoch. He ran the channel for 20 years. After being sued by a former anchor, the founder and chairman will become chairman and acting ceo of the toprated u. S. News channel. Global news 24 hours a day powered by more than 2600 journalists and analysts more than 120 countries. Lets go to the top story, singapore is investigating Financial Institutions after a rebuked bank, including ubs, for lapses in Money Laundering related to malaysias embattled one m. D. Funds. Haslinda amin has the latest. There is another twist to the scandal. Haslinda call it a onetwo punch. First the u. S. Justice department filing soon after singapore with its own soundings on the investigation, and it says it is not done yet. You talked about ubs, dbs. Also the Standard Chartered and felt in bank. They were singled out. The list could be longer. Some of the Financial Institutions are being investigated as well. They referred to as certain other Financial Institutions. Mes says certain lapses were , in do delays and reporting transactions. Mes receives more than 100 million in assets linked to one mdb. They also revoked the license of swiss bank bsi. It breached moneylaundering rules. We continue to see this widened across the globe. What did singapore have to say about these one mdb investigations . How complicated has it been . Haslinda it is a complex web of ,oney transfers and ostensibly disguising the nature of fund flows. We are talking about multiple entities, individuals operating in several jurisdictions. Many International Banks have been formed. Allegations that billions of dollars suffered out of one mdb, point 5ated three billion dollars. According to the u. S. Justice department, 1 billion laundered through the u. S. Banking system, it is a web. Yvonne isnt it true that even though singapore has been investigating this, it is never referred to by name until now . Why is that . It is true. It probably shows how sensitive the issue is to bilateral relations. We can appreciate those countries, of course neighbors, it is the first time singapore is revealing details of its investigations which started more than a year ago. Findings will put additional pressure on one mdb, hot on the heels of the u. S. Seeking to seize assets linked to that. This is the largest moneylaundering investigation ever done in singapore. Yvonne all right, not done yet. More to go. Joining us live from singapore to talk about this one mdb scandal. Reasons to be cheerful in the post brexit world, we could all use it. Our next guest says the Global Outlook is not bad. Yvonne a quick check of the latest business flash headlines, jp morgan may be close to settling the u. S. Inquiry into a higher practice in agent hire practicings in aegis asia. There could be higher influential chinese decisionmakers winning business. Regulators spoke only on jp morgan. Sources later widened the inquiry to other wall street firms. General motors finished the day higher in new york after raising the 2016 guidance, posting record secondquarter earnings of 2. 9 billion. The result was given by north American Income and a return to profits in europe. China sales remain stable at half 1 billion. We had record sales in china, so we continue to see a lot of traction, Strong Performance from fa jun and buick and cadillac. The yen went on a tear after governor kuroda rejected the idea of helicopter money. The comments remains last month on thursday and bbc radio. The central bank has three quantitative and qualitative easing and negative Interest Rates. The current policy will be expanded, and there were no significant limitations to the monetary stimulus. Pull u. S. Stocks back from the record highs. The markets in asia are also down this morning. The next guest says the outlook for this year, not all that bad. Joining us from sydney is shane oliver, anp capital. It is nice to have you. We need a little bit of a half last all kind of you here. Kind of view here. The reasoning is a fundamental story that Shows Improvement . i think it does. We are weeks away from that disastrous brexit vote. We got the news on a friday, and yet, the world has not fallen apart. Economic data looks good, europe is continuing to grow, central bankers, if anything, think domestic policy will remain easy or get easier. Profits in the u. S. Look to me like they of softened. We saw the worst in the march quarter. The downside of the currency in china, but it is not panic. We thought that in august and september last year. Result whole bunch going on that are more positive and a lot of investors are giving credit. Yvonne are Central Banks going to be enough to keep the rally going . We have seen push back here and in the u. S. Talk about helicopter money in japan. The kind of startled markets articular in the yen. Should we look at this with a pinch of salt even the comments coming out of governor kuroda . Shane i think we should say it is a bit dated. It is also throwing in mind, legally the bank of japan cannot buy bonds directly from the government, so that helicopter money, investors are trying to lure the japanese parliament, and it does not meet until september. But he also said there is lots of things the boj can do, and what we are seeing when they meet next friday, and when you 10 trillionether, japanese yen surplus, sorry, deficit on the way. That is good for japanese shares. They had a good rally here. Through a bit go of a consolidation, but the big picture globally and in japan is one of improvement. Yvonne you talk about ¥20 trillion the millis. We hear reports that there could be ¥30 trillion according to the nikkei. If japan does not deliver, we see this Double Bottom in the japanese market, like we saw in april and june, if they dont deliver, how much of a pullback could we see . Shane it could be quite substantial. We will see the lows that we saw in the post brexit environment. Deliver, butwill if they dont, we will see a decent pullback. That said, i dont want to be too bearish, because if they do deliver, it will only be a delay, they may be wanting to tie any manifest stimulus with fiscal stimulus that might come later. When the fiscal package is ready to be announced next friday, there is an argument they will tie that together, which is more bang for the buck. Comes to theit bond market, how painful is it to actually buy bonds right now . Is it a safe asset anymore . Shane no. [laughter] cant. I thought a recession was around the corner, maybe. It is not painful in australia because they are around 9 for a 10 year bond. Ofble bonds, 30 odd percent the bond index in negative yield territory. I cannot justify that. Bond yields, even though it is positive, way too low for me. Even the growth environment, which is not fantastic, but the economy is not in recession globally. Global growth is around 3 , when that has been for the past five years. That is not too bad. It is not why you can justify bonds as low as they are, but i guess the reality is that they can still drag on for some time to come. Heres the question, where do we go for safety in this environment . It is more difficult than it has been in any part of my career over the last 10 years. Yvonne getting much harder to gauge the type of geopolitical risk. I want to show you this chart are our viewers. You mentioned the 10 year bond in australia. We have this yield premium compared to treasuries in the u. S. Where do we see this treasury yield narrow quite a bit . Do you think this downtrend will continue . Shane i think it will. Of thes shortterm risk reserve bank does not ease when it meets again on august 2. The aussie dollar could have a shortterm balance, pushing up towards . 78, which is the level it was around earlier this year or maybe even . 80. My opinion is it will raise again, and that will put down your downward pressure on the aussie dollar. Im looking for . 60. Commodityg soft prices, and the one you referred to, the study narrowing of the Interest Rate between australia and the u. S. , and things ultimately pushed aussie dollars down. Yvonne great stuff. Shane oliver joining us out of sydney. Still ahead, a bad proof for starbucks. China boost the grande day, but customers go cold in the u. S. Yvonne you are watching daybreak asia, im yvonne man. Starbucks announces thirdquarter earnings after the bell. The big take away was they are losing steam, and that is because of its biggest market, the United States. Lets go to ramy inocencio. He has the details from new york. What is happening . Ramy it looks like starbucks did not sell as many mochas, frappuccinos that was hoping for. Quarterse 7. 3 on the to 5. 2 billion, but they were expecting an estimate of 5. 34 billion, so they were off by 100 million. The ceo is saying this past quarter was an anomaly. With that said, shares did fall as much as 6 . Your to date, they are down 4 . After hours, they are down by more than 2. 5 . Growth reason for this, in samestore sales here in the United States are the reason for that. Take a look at the bart chart in front of you. Starbucks steady drip, as it were. Same sales grow by 4 . Before that it was 6 and before that, 8 . We are looking at this drop in growth for the past three quarters. Even if you look at it through 2010, the First Quarter of 2010, this is matching the past six years, basically. , u. S. As when the economy economy was coming out of the financial crisis. You are seeing numbers here, something definitely weighing on estors space mines investorss minds. It is hard to swallow. Yvonne not enough of a kick when it came to samestore sales. But asia continues to be a bright spot. Ramy it is interesting. Asiapacific revenue actually yeard by a whopping 18 in on year. Quarter on quarter, china and Southeast Asia saw sales rise n q. Hat is q o china roses 7 . Japan did see positive sales growth, despite earthquakes, we have reported as well as economic concerns that have been hitting the country. Looking ahead, Ceo Howard Schultz and starbucks is saying in the fourth quarter, samestore sales are going to improve a little bit. We are seeing smiley favorable cause for coffee beans. At 15 , they are looking eps growth annually. In terms of the number of locations across the region by fiscal year 19, starbucks wants to see 10,000 Stores Across the entire region. Right now it is 1600. A third of them will be in china. Growth in asia while the u. S. , as well as europe, stagnates if not pools off a little bit. Cools off a little bit. Now to the culinary changes at the fox news channel, longtime head roger ailes has resigned after accusations of sexual harassment. Stepping into replace him is his boss, 85yearold rupert murdoch. You heard from a lot of senior people from fox news, fred hume, chris wallace, saying they were comforted that he was coming back, that projected some stability and continuity. That was the message rupert delivered on a Conference Call with many senior fox employees. You have to imagine that, as you mentioned, he is 85, he will not run this for the longterm, and will spend the next several months meeting with people, seeing who is good, who should stay, who should go, who might become verbal running the whole place, comfortable running the whole place. There will be some changes to fox news in the future, but for the time being, fox is trying to project the stability for employees and the investors, fox employees being an important asset. Yvonne well go live to cleveland where donald trump gets set for the biggest speech of his life. Into our guests about how the media shift we were talking to guests about how the media shift toward policy. It is what he needs to focus on after a very turbulent and dramatic three days. Yvonne it is 8 30 in singapore, we are half an hour open from trading there. You are watching daybreak asia. Rishaad yvonne lets go to first word news. Haidi top stories, asian stocks have snapped their winning streak after wall street week and on earnings and dampened stimulus hopes. Industrials and consumers leading losses. Turned after policies held steady. The boj governor rejected the idea of helicopter money. Starbucks is tumbling and extending trading. Theres firstquarter revenue there was a slowdown in samestore sales in america. It is struggling to get u. S. Consumers to spend. China and asia in general provided a bright spot. Sales in the region rising 18 on year. Singapore has reviewed several banks for laundering controls related to one mdb. Ubs, dbs, standard falcon. They were preaching Money Laundering laws. Breaching monday laundering laws. It is still examining other Financial Institutions. Global news 24 hours a day powered by more than 2600 journalists and analysts and more than 120 countries, i am haidi lun, this is bloomberg. Yvonne asian stocks have retreated from 2016 highs as investors mull over action from the high in the ecb and falls in at this week u. S. Equities. How is it looking . Haidi was mentioning the pullback for the final week, but we have to remember the regional index hit a 2016 high yesterday, erasing those losses it had seen and pushing past that april pick we had been holding onto. Weakness in japan as we saw that big rise coming through in the nikkeiing the session, off 0. 7 . We reversed what it gained yesterday. Weakness in korea, but not as 0. 2 . He kospi down it will be interesting to see how hong kong opens in an hours time. We did have hong kong and bull market territory officially during thursday trade. Weakness