better than in shenzhen. yet. yes and we go to school in the northern part there's more chinese influence their families you know. are you worried about the current situation. we're in no i'm not. shenzhen hong kong and a small neighborhood caught in the middle of big politics mr young is just one of the many who lose everything his apartment his business his home schooling the law of the jungle rules here the weaker devoured by the strong we belong to the groups that are being kicked out. government shouldn't lose its humanity like that they could do something about it they're always talking about harmony i sincerely hope that the state is not just interested in economic progress but also in humanity. mr young came to shenzhen with the hope of a better life now his world is being swallowed up by china's great appetite for wealth. according to the world health organization the global population includes around 1000000000 people with disabilities millions of them rely on wheelchairs. in industrialized nations 95 pe

better than in shenzhen. and you. yes and we go to school in the northern part there's more chinese influence their choice. but are you worried about the current situation. where. no i'm not. shenzhen hong calm and a small neighborhood caught in the middle of big politics mr young is just one of the many who lose everything his apartment his business his home schooling author of the jungle rules here the week of devoured by the strong we belong to the groups that are being kicked out of our government shouldn't lose its humanity like that they could do something about it they're always talking about harmony i sincerely hope that the state is not just interested in economic progress but also in humanity you know. mr young came to shenzhen with the hope of a better life now his world is being swallowed up by china's great appetite for wealth. according to the world health organization the global population includes around 1000000000 people with disabilities millions of them rely on wheelchairs. in industrialized nations

better than in shenzhen. he. yes and we go to school in the northern part there's more chinese influence their families you know. are you worried about the current situation. no i'm not. shenzhen hong kong and a small neighborhood caught in the middle of big politics mr young is just one of the many who lose everything his apartment his business his home schooling the law of the jungle rules here the weaker devoured by the strong we belong to the groups that are being kicked out of our government shouldn't lose its humanity like that they could do something about it they're always talking about harmony i sincerely hope that the state is not just interested in economic progress but also in humanity. mr young came to shenzhen with the hope of a better life now his world is being swallowed up by china's great appetite for wealth. according to the world health organization the global population includes around 1000000000 people with disabilities millions of them rely on wheelchairs. in industrialized nations 95 perce

they begin in china's silicon valley, shenzhen. >> yu: in shenzhen's seg-e-market, you can buy anything electronic. there are ten floors of circuit boards, battery-powered children's toys, digital watches, wireless headphones, even bitcoin-mining computers. >> schifrin: and all of this is sold all over the world becaused international companies have long tapped into china's massive market and huge supply of reliable labor. >> yu: if you have an electronic product that's labeled "made in china," the chances are its parts come from here and end up all over the world, including the u.s. >> schifrin: for decades, the world's two largest economies, the u.s. and china, have been integrated. but now, the trump administration is trying to change that, and the trade war is not only going to affect american businesses and consumers. >> yu: but also businesses and consumers here in china. seg-e-market has been called the barometer of china's electronics industry. components and finished products are sourced from super-factories all over shenzhen. more than 60,000 businesses have set up shop here.

along the garden district in shenzhen. in the heart of china's booming economic region north of hong kong we visit the smart city control center. a giant monitor displays the data of the entire district in real time. numbers of new residents by neighborhood to plan schools water supply levels power outages. all this information is collected compiled and evaluated using artificial intelligence. the showcase project was developed with chinese tech giant huawei chief engineer chen bantay tells me the city now operates more efficiently. ok still so what you're doing here is urban planning. good yes the systems are a big help to get away. this is these are hospital beds. moment right now there are 15000 doctors and nurses. and $7600.00 beds so shenzhen currently healthy or sick. a smart surveillance system scans the entire city illegal structures like this one on a roof are quickly identified and demolished. to meet some of this feels like the backdrop to a science fiction movie. employees with live streaming body cams inspect

along the garden district in shenzhen. in the heart of china's booming economic region north of hong kong we visit the smart city control center. a giant monitor displays the data of the entire district in real time. numbers of new residents by neighborhood to plan schools water supply levels power outages. all this information is collected compiled and evaluated using artificial intelligence. the showcase project was developed with chinese tech giant huawei chief engineer chen bantay tells me the city now operates more efficiently. ok still so what you're doing here is urban planning. but yes the systems are a big help to get away he doesn't move these are hospital beds. moment right now there are 15000 doctors and nurses. and 7600 beds. so shenzhen currently healthy or sick. a smart surveillance system scans the entire city illegal structures like this one on a roof are quickly identified and demolished. to me some of this feels like the backdrop to a science fiction movie. employees with live streaming body cams inspect

along the garden district in shenzhen. in the heart of china's booming economic region north of hong kong we visit the smart city control center. but giant monitor displays the data of the entire district in real time. numbers of new residents by neighborhood to plan schools water supply levels power outages. all this information is collected compiled and evaluated using artificial intelligence. the showcase project was developed with chinese tech giant huawei chief engineer chen bontoc tells me the city now operates more efficiently. ok stuff so what you're doing here is urban planning. but yes the systems are a big help to the good of life. doesn't move these are hospital beds. woman right now there are $15000.00 doctors and nurses. and 7600 beds. so shenzhen currently healthy or sick. a smart surveillance system scans the entire city illegal structures like this one on a roof are quickly identified and demolished. to mean some of this feels like a backdrop to a science fiction movie. employees with live streaming body c

the longarm district in shenzhen. in the heart of china's booming economic region north of hong kong we visit the smart city control center. a giant monitor displays the data of the entire district in real time. numbers of new residents by neighborhood to plan schools water supply levels power outages. all this information is collected compiled and evaluated using artificial intelligence. the showcase project was developed with chinese tech giant huawei chief engineer chen bantay tells me the city now operates more efficiently. ok. still so what you're doing here is urban planning. but yes the systems are a big help to the good of what. doesn't have these are hospital beds. moment right now there are 15000 doctors and nurses. and $7600.00 beds so shenzhen currently healthy or sick. a smart surveillance system scans the entire city illegal structures like this one on a roof are quickly identified and demolished. to meet some of this feels like a backdrop to a science fiction movie. employees with live streaming body ca

but 1st to china where the city of shenzhen continues to be developed.

when i fst30 othe other sissde shenzhen was jt a dusty little border town. now look at it, a gleaming city of 12 million people. china's transformationas been astonishing. it's people are rightly rig prof the achievement. outside the mainland, china's new wealth and per is causing deep unease and fear, and nowhere more so than in hong kong. for four months, the streets of hong kong have boiled with rage. the young protesters do not trust the communist party. they scoff at xi's promise that he will maintain hong kong's autonomy for 50 years. david and his mother sit on opposite sides of this increasingly bitter divide. >> no changes in 50 years. find that the days o have come. >> they had 200 years. but china only got 70 years. better china, better hong kong. better china, better hong kong.u rt: isd da a tmosehong ti why all the people supp america in the trade war? we want china's communist party falling apart because of that. rupertsuch talk makes hong kong's small bandper patriots extremely angry. they say that fear of china is a product british brainwashi

in shenzhen, cameras watch this intersection. people jaywalk, they're publicly shamed when their faces are displaon this scdoen. ou think that because that camera is there, more people cross legally? >> ( translated ): of course.fr beey ared to bsoinope,thsenge od will changeivior. >> ( translated ): if you jaywalk, it reduces your score. for example, if you cross the red light, your score would be reduced by 2-3. >> reporter: behavior anacge isat the governmentch want is.s and the credit score system is so important, there's even a communist party-produced national credit magazine. wu xiaoyan is the editor in chief. >> ( translated ): the chinesetm systemn purpose is to build a credible society of trust. this system has become an effective measure in our social governance. person gets on bus, screen flashes "check credit score" for example, on the bus, people with regulres willay regular price, and people with good scores only pay 80% of that. >> reporter: rewarding good behavior all across society, and punishing bad behavior, i

you could if you make them feel cornered in beijing you know the chinese hardware that's part top in shenzhen it's still there. i think everyone is fully aware of that but again you may underestimate the public sentiment and. in a way just right this was a tactical retreat and minimal concession and i would expect this to actually call on for much longer so i think we shouldn't hold our breath yet ok we'll leave it there many thanks for joining us on skype from taipei we'll get you more of course on all the top stories not least what's going inside on inside the house of commons right now boris johnson the prime minister was on his feet he's now. a robust performance not much detail it has to be said because he said you know there are concrete proposals on the table do we know what those proposals are no we do not more news on the other side of the break we'll see you soon. new yorkers are very receptive to al jazeera because it is such an international city they're very interested in that global perspective that al jazeera provides. if you want to learn above that was might look like very so

but 1st to china where the city of shenzhen continues to be developed.

when i first crossed over from hong kong into mainland china down there 30 years ago on the other side shenzhen wasjust a dusty little border town. now look at it, a gleaming city of 12 million people. china's transformation has been astonishing and its people are rightly proud of that achievement. but outside the mainland, china's new wealth and power is causing deep unease, even fear, and nowhere more so than here in hong kong. forfour months now, hong kong has been rocked by anti—government protests. some huge and peaceful but others increasingly violent. the young protesters do not trust the communist party. they scoff at president xi's promised that he will maintain hong kong's autonomy for 50 years. david and his mother anne sit on opposite sides of this increasingly bitter divide. they always say that no changes in 50 years until 2047. but we find that the days of 2047 have come now. they had 200 years to build a better usa but china only got 70 years. if better china, better hong kong. better china, better hong kong. david is among those now calling on the united states to impose sanc

our armed forces gathered and drilled in shenzhen, sending a warning to hong kong. i think it is very obvious that central government would only take measures in a very cautious way. instead they would like to see the problem resolved. is there an understanding in beijing of the costs to china, in terms of the costs for china on the geopolitical global stage and the economic costs for hong kong as well, as well as capital flight moving out of the city. are those costs well understood? >> if china was sending military to hong kong, that would be the time when the situation down there already had totally paralyzed. the city is a financial hub and it must not have been able to function. >> that was our exclusive interview with the editor-in-chief of the "global times." let's get a quick check of the latest business flash headlines. softbank is said to be doubling its stake in brazilian online lenders that offer zero feet products. holdinghe saw took a for about $800 million and is now buying the same amount from the controlling family. softbank is on a buying spree in

i first crossed over from hong kong into mainland china down there, 30 years ago, on the other side shenzhen was just a dusty little border town. now look at it — a gleaming city of 12 million people. china's transformation has been astonishing, and its people are rightly proud of that achievement. but outside the mainland, china's new wealth and power is causing deep unease, even fear, and nowhere more so than here in hong kong. forfour months now, the streets of hong have boiled with rage. the young protesters do not trust the communist party. they scoff at president xi's promised that he will maintain hong kong's autonomy for 50 years. david and his mother, anne, sit on opposite sides of this increasingly bitter divide. they always say that no changes in 50 years, until 2047. but we find that the days of 2047 have come now. they had 200 years to build a better usa, but china only got 70 years. if better china, therefore better hong kong. better china, better hong kong. david is among those now calling on the united states to impose sanctions on china. why are all the people supporting a

when i first crossed over from hong kong into mainland china down there 30 years ago on the other side shenzhen was just a dusty little border town. now look at it, a gleaming city of 12 million people. china's transformation has been astonishing and its people are rightly proud of that achievement. but outside the mainland, china's new wealth and power is causing deep unease, even fear, and nowhere more so than here in hong kong. forfour months now, hong kong has been rocked by anti—government protests. some huge and peaceful but others increasingly violent. the young protesters do not trust the communist party. they scoff at president xi's promised that he will maintain hong kong's autonomy for 50 years. david and his mother anne sit on opposite sides of this increasingly bitter divide. they always say that no changes in 50 years until 2047. but we find that the days of 2047 have come now. they had 200 years to build a better usa but china only got 70 years. if better china, better hong kong. better china, better hong kong. david is among those now calling on the united states to impose san

economy a cooling economy that these factories are having to to work and many of them especially in shenzhen in southern china they've had to fire about 20 to 30 percent of their stuff and many of them are also considering moving operations abroad to other places in southeast asia just to avoid these tariffs now as you mention china has hit back with its own tariffs on $75000000000.00 worth of u.s. goods and the there will be an imposed on things like crude oil soybeans pretty much all agricultural products including american search such as lemons and grapefruits but one in particular is very popular here in china or at least it was and that was the american cherry now with the tariffs coming in today this is the 3rd time that a tariff be imposed on that particular fruit. shoppers come to beijing send you and lee market to buy all kinds of imported food including american greg cherries but it's fast becoming a casualty of china's trade with the u.s. tariffs have already gone up twice pushing the price of a killer to around $25.00 and from to temper the 1st tariffs on us cherries will be rais

along the garden district in shenzhen. in the heart of china's booming economic region north of hong kong we visit the smart city control center. a giant monitor displays the data of the entire district in real time. numbers of new residents by neighborhood to plan schools water supply levels power outages. all this information is collected compiled and evaluated using artificial intelligence. the showcase project was developed with chinese tech giant huawei chief engineer chen bantay tells me the city now operates more efficiently. ok stuff so what you're doing here is urban planning. good yes all of the systems are a big help to the good of what he doesn't like movies are hospital beds. moment right now there are 15000 doctors and nurses. and 7600 beds. it's ocean gently healthy or sick. a smart surveillance system scans the entire city illegal structures like this one on a roof are quickly identified and demolished. to me some of this feels like the backdrop to a science fiction movie. employees with live streaming body

chinex the china -- reachable market and the shenzhen all rebounding. shore,ot huge gain on but it is enough to pull money and liquidity out of that star board. what we need to see is, we have four companies that priced their ipo's last week. without -- they priced ipo valuations that were higher than their listed we need to see the pace of these ipo's pickup. that is key for investors. there's a well-known company that lists on shore and picks the star board rather than the shanghai, mainboard on shenzhen, that would be another good sign for investors. trading activity has slowed, and has picked up elsewhere. the first day of star or it was 2% of turnover was focused on that market. that is huge -- it was 13% of turnover focused on that market. that is huge. and there's not a lot of value there yet. too early to tell. but interest has definitely waned. said, the as you reason there was such high interest was because it was not just about trading, and it just about any stock exchange. it was because it was a testing ground, right? for regulators, regula

our armed forces gathered in shenzhen, sending a warning to hong kong. theink it is obvious central government would only take the measure in a cautious way. they would not make the decision rationally. they would like to see the problem resolved by hong kong itself. so this would be a last resort for the pla. he also said, and we have seen this come up people's armed police and members of the military pairing out exercises, he said it was a signal to what he described as hong kong extremists. he said it was symbolic and there was a reason the people's police was down there. if the military was sent in, it would be a last resort when the local government has lost all control. beijing wants to see the hong kong government deal with this. with that october celebration and the preparations already underway, it is a key question, the extent of processing coming october 1 and the response in china what it will be. at a time of this when china is engaged in a trade war. what are we seeing in terms of the impact on its economy? the key data points include indus

shenzhen 100 down 1% ahead of the holiday for chinese stocks, celebrated the anniversary of the people's republic. we are looking at modest gains as investors continue to deal with all sorts of uncertainty factors into the possibility of a volatile fourth quarter. big cap is really helping out, at least in the u.s.. apple up 1.3%. jp morgan boosting their iphone volume forecast, also saying sentiment has drastically improved. they've raised their price target to $265. up 2.2% after promising results from a cancer drug study. 0.8%, saying their entertainment unit is looking more solid. let's take a look at a five-day chart of oil. oil down 5.3%, the most on a five-day basis going back to november of last year. the big boost up we saw for brent crude, the most ever, basically gone after that unfortunate drone attack in saudi arabia. also down on the quarter. speaking of the quarter, it is shaping up to be a pretty interesting quarter. lots of mixed signals here. take a look at the dollar with the s&p 500. not all the indexes are higher. the nasdaq and the russell 2000 lower. the dollar is

that is less important today with the rise of shenzhen and shanghai and other cities, but hong kong is a key linchpin in what is called the guangdong greater bay area regional integration plan, which is a major part of china's attempt to transform its economy through regional coordination. they do that in the north through beijing, tengion, economic belt, but in guangdong, gdp per year,on in the top 10 in the world, projected to be $3.5 trillion in 2030. hong kong is key to that. politically, it is a symbol of the one country two systems model. resurgencets china's after a century of humiliation, and it is also a signal of how china deals with a sophisticated world. for all those reasons, hong kong is extremely important, but china is being very careful. there are red lines that cannot be crossed. let's not fool ourselves. number one is if hong kong moves toward any sort of independence, because i independence -- quad independence,- china would not settle for that. if hong kong moves to attack the mainland, or three, on any chaos would destroy the economy, but right now, things are in

there ares up increasingly worried about what is happening in hong kong and shenzhen, and they are not in the mood to give china very much. so donald trump has a tough political alley to navigate here, and that is what he's been doing all along. this is not the end of it. vonnie: michael? michael: he's also going to be watching the wall street reaction. we have the best trade reporting team in the business, but this is kind of the way things happen in washington. you get a leak of something like this because somebody is floating a trial balloon. trump advisors who want the president to make a deal like this are looking to the reaction that you've been talking about in the markets, generally positive. they can go to him and say, if you do this, it is going to be seen well. your barometer of how the economy is doing is going to go up, and maybe we see some dollar pressure taken off, and this is going to be good for you. it is another argument that they are making, and part through us. vonnie: is the timing a little bit odd? a few minutes ago we were talking about the ecb, mario draghi, w

. >> shanghai shenzhen is having a better year than us. >> peaked in '15 >> did >> that's fair >> the other point, we'll leave after this, if you -- if part of the strategy here by the white house is to inflict so much pain on china they have to make a deal, i mean, it's like playing with fire in terms of you want to hurt them, not crush them, but they're so important to the global economy that how can you hurt them badly and not have it ripple across the oceans almost everywhere >> he thinks that -- he thinks that xi can't sit him out for another 17 months? hilarious. of course they can >> dow down 355. here's what else is coming up. >>> lam research shares surging 55% this year. evercore thinks it's heading higher it's our call of the day >>> plus john najarian's latest trades based on moves in the option market. >>> and the investment committee is ready to answer your questions at ask halfte.im "the halftime report" with scott wapner and the traders is back in two minutes >>> welcome back i'm sue herera here's your cnbc news update new images of hurricane dorian have been released

. >> schifrin: like the train we rode from ng kong to the city of shenzhen, on the chinese mainland. welcome to china! in 20 years, china has gone from no high-speed rail-- ( train whistle ) --to the longest high-speed rail network in the world, thanks to state-owned enterprises. the ra the electricity, the telecommunications-- all produced by majority state-owned enterprises. and much of the steel comes from companies like the majority state-owned baosteel. the company is now so large, it has its own ports-- four of them on the outskirts of shanghai.ak baosteeles as much steel as the entire u.s. it's actually too much.ne excess c steel capacity weighs down the economy. the belt and road initiativeel gives baosew markets. huan weiliang directs baosteel's strategic planning and technology. >> ( translated ): for the steel industry, the belt and road roitiative will generate direct demand for steelcts. with the economic development in those belt and road countries, their people's living standards will improve, and thus the demand for dable consumer goods will increase.reas >> schifrin:

. >> schifrin: like the train we rode from hong kong to the city of shenzhen, on the chinese mainland. welcome to china! in 20 years, china has gone from no high-speed rail-- ( train whistle ) --to the longest higspeed rail network in the world, thanks to state-owned enterprises. the rails, the electricity, the telecommunications-- all produced by majority state-owned enterprises. and much of the steel comes from companies like the majority state-owned baosteel. the company is now so large, it has its own ports-- four of them on the outskirts of shanghai. m baosakes as much steel as the antire u.s. itually too much. excess chinese steel capacity the belt and road initiativeiati gives baosteel new markets. huan weiliang directs baosteel's strategic pnning and technology. >> ( translated ): for the steel dustry, the belt and roa initiative will generate direct demand for steel products. with the economic development ia those belt andcountries, their people's livg standards will improve, and thus the demand for durable consumeras goods will inc >> schifrin: and china says the belt and ro

liz: shenzhen down 4%, hong kong, the hang seng is a different story with all of the protests, that's down 17%. somebody's going to cry uncle. make a prediction. >> i don't know at this point. it's not going to be -- the chinese are not going to make con educations that they think are -- concessions that they think are going to undermight be their system -- undermine their system. i don't know who's going to make concessions or who's going to blink first, but at some point they both have to sit down or both economies are going to be badly weakened. the chinese do want to strengthen their resilience, and i think you'll see this on october 1, president xi's already said we went through the long march, we can go through this. he's going to try to pull the country together economically and politically behind an effort to deal with this problem if he has to. liz: bob hormats, former undersecretary of state, thank you so much. >> pleasure. liz: for coming on. when we come back, accusations of deep state ties and then, of course, romances with red-headed russian operatives. patrick byrne of

activist group released a new report saying apple broke chinese labor laws at its enormous factory in shenzhen. apple does say it used too many contractors for too long. chinese law says contractors can't be more than 10% of your workforce, because they have fewer rights and benefits. apple says the report from china labor watch is largely false, but won't say what's right and what's wrong. apple has gotten much better with worker rights since tim cook took over, though i should point out before he came to be ceo, he was actually in charge of apple factories. apple showing off new iphones tomorrow, this is not it but we understand most of the improvements are going to be in the camera, maybe some new colors like purple. my colleague david lee at the bbc says he expects apple is going to kind of wind these down. these are several time a year iphone updates. unless they come up with something really new, they're not coming up with much new. does that make sense? annocements kind of losing their bang. >>> the other thing to watch today states attorneys general will announce investigations into go

group released a new report sunday saying apple broke chinese labor laws at its enormous factory in shenzhen. technically it's a foxcon factory. apple does say it used too many contractors for too long. chinese law says contractors can't be more than 10% of your workforce, because they have fewer rights and benefits. tim cook -- apple says that report from the china labor watch is largely false, but won't tell us what's right and what's wrong. apple has gotten much better with worker rights since tim cook took over as ceo. though i should point out before he came to be ceo, he was actually in charge of apple factories. >>> apple is going to show off the new iphone, we understand most of the improvements are going in be the camera, maybe some new colors like purple. my colleague david lee at the bbc says he expects apple is going to kind of wind these down. these are several time a year iphone updates. unless they come up with something really new, they're not coming up with much new. the announcements are kind of losing their bang. >>> the other thing to watch today states attorneys general

shenzhen and the chinext index up by .5%. the korean won is a little bit lower, down by .7% against the dollar but essentially, what you are seeing in the risk-on move in terms of some of these assets and. and china is the fact that investors are starting to bet we will see more stimulus, because clearly, the current efforts have not been enough to help the china slowdown. we saw a retail sales growth at its lowest level since april in the month of august. manus. manus: juliette, thank you very much. juliette saly in singapore. let's get you up to speed with your business flash headlines. >> thanks. general motors staff have caught their first strike and 11 years, halting work at dozens of facilities across the u.s. the united auto workers union is digging in for a fight over jobs and benefits and says they offered an investment package which falls short in key areas. one analyst said the strike them $15t to million in lost production and that is everyday. . bloomberg scoop they have filed for chapter 11 bankruptcy in new yor

do we have confidence in shenzhen? i don't think so. staying in hong kong and back to my editorial, top of the hour, in which i said xi jinping i think is in trouble, he's in a corner, which gives america leverage there. christian whiton is with us, former state department offic l official. is my premise there on track? he's in a corner, it's getting worse, therefore, we have more leverage? >> you are absolutely right about that, stu, for the reasons you cited earlier in the hour but also, just one factoid out there, pork prices down 30% -- excuse me, up 30% on the mainland due the a shortage there. swine flu, all these problems run in packs. china is running into a lot of them now that economists expected that chinese exports would increase in the last quarter year on year. they were actually down 1% and as you pointed out as well, the "wall street journal" out with a report this morning with a lot of what we have long suspected, a lot of economic numbers are fillied up when they come from china. a lot of tremendous financial pressure

market coverage continues as we look ahead to the start of trade in hong kong, shanghai, and shenzhen. ♪ beyond the routine checkups. beyond the not-so-routine cases. comcast business is helping doctors provide care in whole new ways. all working with a new generation of technologies powered by our gig-speed network. because beyond technology... there is human ingenuity. every day, comcast business is helping businesses go beyond the expected. to do the extraordinary. take your business beyond. in honor of my dad, who was alzheimer's. i decided to make shirts for the walk with custom ink, and they just came out perfect. - [announcer] check out our huge selection of custom apparel for every occasion. you'll even get free shipping. get started today at customink.com. >> it is 9:00. welcome to bloomberg markets china open. opene: we are down to the of trade on hong kong and mainland markets. this hour brings the latest snapshot of the chinese economy facing further contraction of the -- as the trade war rumbles on. the revived hong kong share sale is the biggest in the world this year

shenzhen has been built, a lot of the chinese mainland has been favored, if you like, obviously, by the chinese government. so in addition to young people feeling frustrated, what's different about this between 2014 is there are also civil servants out on the streets, 55-year-old accountants, doctors, lawyers, it's not just a youth movement. stuart: it is an economic protest as well as in favor of liberty -- ashley: we understand there's another rally tonight of 1,000 people near government building, and the chant there was "fight for freedom." stuart: that's at the government building. ashley: yes. stuart: we're going to bring in steve hilton, knows a lot about hong kong. steve, they withdrew the extradition bill as a way to try to placate the people of hong kong. doesn't look like he's working. what say you? >> no, i totally agree. ashley's right, there's a whole bunch of demands there. but it goes to the heart of the promise that was made in 1997 and then broken by the chinese government. i was there that night on the handover. i saw the chinese military vehicles rolling into hong ko

our markets coverage continues as we look ahead to the start of trade in hong kong, shanghai and shenzhen. bloomberg markets. the china open. this is bloomberg. >> 9:00 in beijing. welcome to the china open. i'm tom mackenzie. david: i'm david english. -- david ingles. we are counting down. let's get the top story. hong kong braces for unrest after a violent weekend. there are signs of some companies are not reviewing -- renewing their plans in the city. tom: new tariffs kick in. president trump says talks are still on this month. david: tesla wins a tax break in china. it will benefit from a measure us

one of them is the shenzhen. a lot of private technology is there. i saw a lot of start ups and they have their own start upand in the greater bay area that they want to develop. being so close, my home to hong kong like i always admire how shenzhen can be in the past like the first pilot to beat economic growth and the future can be the pilot of more private sector activities over there. i -- i mean, i do -- i do hope that there will be more, you know, reform from the public sector to the more private sector. although lately you do not see a lot of activity going on from there. we -- we do have a lot of very successful private company, no matter banks or a tech firm. alibaba. and those are because of the innovation and because of the, you know, the private sector krennive, you know to grow the company. i just -- a little bit of comment on trade before i go to foreign exchange. i think if we break down a little bit this situation obviously is very challenging for u.s.-china trade. transfer between u.s. and china. but i see from the market perspective

made but not always regulated this is the world's vaping heartland, a five square mile district in shenzhen, china, 90% of the vaping supply chain where hundreds of chinese factories are making, testing and exporting nearly every vaping product on the planet, from circuit boards and batteries to liquid filled pods so it looks like business is booming. >> absolutely. the business is so good and the market is growing so fast. >> reporter: we were given special access to production lines and testing labs here to show where it all begins before reaching store shelves and vape shops. china made the first e-cigarette back in 2003, vaping is more popular than ever. this factory alone makes 200,000 of these every single day, a $12 billion global market that's largely unregulated. the vaping monopoly centered here has boomed with little oversight. >> the market will make a judgment if it's a low quality product they will not be able to survive in the market. >> reporter: only now with a vaping scare sweeping the u.s. is china's government considering rules to ease even its own safety concerns. raise

towards these hong kong protests >> i think you're talking about the chinese military on stand by in shenzhen, which is across the border from hong kong on the mainland side. i think the message there is more or less a deterrent, that the violence and the rioters definitely should not think about ever spread to the mainland because there they will be met with a very strong reaction i don't think it's a message threatening to go into hong kong to bring the situation down. i think, first of all, the scale of things is going down. although it might still take a while. second, i think the riots and the offenders are losing the public support of the hong kong people we see the violence they are committing we see the destruction they are inflicting on public property and the interruption to the daily life of the hong kong people, shutting down the metro and disrupting the operation of the airport. a lot of people are losing support of these young people? >> you think so? that's one-seventh of the entire population is protesting. >> but you have to make a distinction between the peaceful protesters

if you look at the shanghai comp, up 4% for the week, 5% for the shenzhen index trade talks are back on between the u.s. and china in october. the chinese currency has stopped weakening. in fact it's strengthening a little bit the world likes that the markets like that. hong kong caved in, gave the protesters what they wanted. a lot of these factors helped propel stocks worldwide but china was the epicenter. quite a turn-around in sentiment from what we've seen. >> and cut their rrr reserve ratio requirement. but china got to the punch bowl first. >> yes joining us to talk about the market today, karen finerman is still here also joining us is michael yoshikami and mike santoli on today's rally and the second week in a row of pretty decent gains for stocks. >> i would look at today as mostly holding the week's gains. it was pretty much a back-and-forth day a response to a jobs number that more or less confirmed that the economy remained steady, but it did not really deliver a persuasive argument one way or the other, if you already thought the economy was on the wane, this didn't ful

the police went to shenzhen as observers to handle quote, unquote, mass incidents and there was very little visibility in that. we know that the pla in hong kong has some interaction with them and the garrison commander observed some of them passing out in parades and so forth like that, but one of the most dangerous and i think, terrifying things for most hong kongers is that the hong kong police now act without wearing uniforms, without any type of identification. you can be grabbed off the street. you can be grabbed from your home, nobody's showing you any type of form or identification. >> you don't know if they're a police officer, a triador anyone from the mainland kidnapping you. this is a main issue. for the communist party they view law enforcement as their concept of rule of law or rule by law, and so the support, basically, the hong kong police have been given carte blanche to do whatever they want and as carrie lam said before, hong kong police are seen as the last line in this. the police issue is a major problem in hong kong. >> senator king? >> mr. chairman, mr. adams