08/08/2017

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:00:00. > :00:00.Wall Street, but what will it take for the rallies to spill over into

:00:00. > :00:10.Asian markets. Mothers milk against formula. Why is the latter a

:00:11. > :00:13.favourite option in Hong Kong? Good morning, Asia. Hello, world. Welcome

:00:14. > :00:18.to another edition of Asia Business Report. It's a Tuesday. My name is

:00:19. > :00:27.Rico Hizon. I am glad you could join us. We start the programme with the

:00:28. > :00:33.markets. The Dow Jones industrial average posting the ninth straight

:00:34. > :00:40.record, finishing the session like this. Much of the gains driven from

:00:41. > :00:45.strong corporate numbers from companies like Apple and others. We

:00:46. > :00:49.will look at is the positive sentiment is filtering through to

:00:50. > :00:57.Asia. Unfortunately not. The Nikkei is flat. The All Ordinaries Index is

:00:58. > :01:08.up a little bit. A mixed day. Earlier, I spoke to an analyst. We

:01:09. > :01:14.are seeing a rotation out of Asia. It has become more attractive as the

:01:15. > :01:22.US dollar has become weaker. There are low funding rates over there.

:01:23. > :01:27.The Federal Reserve is tightening. In the first six months of the year

:01:28. > :01:32.we have seen the US dollar at multi-year highs against the euro,

:01:33. > :01:38.against the Japanese yen, and the pound! Are investors coming in at a

:01:39. > :01:43.time when the dollar is weak so they can buy back into the US markets?

:01:44. > :01:47.That is definitely part of the plan. It shows how much liquidity there is

:01:48. > :01:52.around the world looking to invest the money. It also shows you some of

:01:53. > :01:56.the distortions of the low interest rates are causing around the world.

:01:57. > :02:00.It is not just the US with quantitative easing, it is other

:02:01. > :02:05.areas, including the UK... Asia, several banks have not raised

:02:06. > :02:09.interest rates, but the US has twice this year and there will be a third

:02:10. > :02:16.before the end of the year! Does this not put a cap on US stocks? I

:02:17. > :02:21.don't know about that. As we were discussing earlier, the market could

:02:22. > :02:27.also stay longer than you could stay solvent. There is a lot going to the

:02:28. > :02:32.top spot. Small caps are not performing well around the world.

:02:33. > :02:36.You mentioned irrationality among US investors. President Donald Trump's

:02:37. > :02:43.popularity rating is at a record low. US markets are up. It shows you

:02:44. > :02:49.the effect of the presidency and day-to-day living in the US. It may

:02:50. > :02:53.be that the underlying economy has a bigger impact than what any nuances

:02:54. > :03:02.in the political landscape by shelling. Could the US markets be

:03:03. > :03:06.flavour of the year? -- are showing. I don't see any reason why stocks

:03:07. > :03:10.should be sold at the moment. If it is twice as high in a year from now,

:03:11. > :03:17.we will be saying they look cheap today to be I don't see why they

:03:18. > :03:21.will tap out. Other business news. The world's newsroom del Chan says

:03:22. > :03:28.it will partner with Alibaba to tap into the growing number of Chinese

:03:29. > :03:35.tourists. -- hotel chain. It will allow them to book rooms using the

:03:36. > :03:39.travel website on Alibaba. They can also use Alipay on their

:03:40. > :03:45.smartphones. Chinese tourists will take 700 billion trips over the next

:03:46. > :03:53.five years. Prosecutors in South Korea want a 12 year prison sentence

:03:54. > :04:00.for the Samsung previous CEO, JY lay. They say he was the ultimate

:04:01. > :04:04.beneficiary of the crimes committed in the scanner which brought down

:04:05. > :04:12.the previous president. He denies any wrongdoing. The court will rule

:04:13. > :04:17.later this month. Tesla once $1.5 billion to pay for the introduction

:04:18. > :04:21.of its new Model Three car by selling bonds to investors. That is

:04:22. > :04:25.even though they have $3 billion in cash. They are expected to go

:04:26. > :04:31.through most of their cash this year as they try to produce 100,000 of

:04:32. > :04:37.those mass-market cars. They already have half a million orders for the

:04:38. > :04:41.model, they say. Video streaming giant, Netflix, has made its first

:04:42. > :04:47.acquisition, the Scottish comic book dumped me behind Kickass and

:04:48. > :04:56.Kingsmen. And they specialise in science fiction and fantasy stories

:04:57. > :05:00.similar to Marvel. They paid $100 million for the company as part of a

:05:01. > :05:08.drive to produce more original content. Over to the week-long

:05:09. > :05:12.series around birth. We dig deeper into the debate between

:05:13. > :05:19.breast-feeding and formula milk. In Hong Kong, breast-feeding rates are

:05:20. > :05:22.some of the lowest in the world. The government has set voluntary

:05:23. > :05:25.guidelines limiting formula milk. They spend hundreds of millions of

:05:26. > :05:30.dollars a year promoting their products. Will these guidelines be

:05:31. > :05:38.effective? Here is the BBC's Hong Kong correspondent. Sometimes,

:05:39. > :05:44.professional assistance is needed to help a new mother achieve that

:05:45. > :05:50.perfect latch. Yes, that is correct. This consultant has been teaching

:05:51. > :05:54.breast-feeding for 20 years. It is still an uphill battle. Many

:05:55. > :06:01.breastfeed in hospital, on discharge the rate is very high. But then the

:06:02. > :06:08.rate drops when they go home. This is how many discharge in hospitals.

:06:09. > :06:12.That goes to a third when babies are four-month-old, one of the lowest

:06:13. > :06:16.rates in the world. Globally, this is the average for babies under six

:06:17. > :06:19.months old. One of the reasons for the low rates in Hong Kong is the

:06:20. > :06:27.ubiquitous advertisement for artificial baby milk. Two years ago,

:06:28. > :06:31.formula makers spent $370 million on advertising, nearly as much as the

:06:32. > :06:35.Health Department spent on disease prevention for all ages, according

:06:36. > :06:40.to a group funded by UNICEF. That amount is set to fall after the

:06:41. > :06:44.official launch this summer of a voluntary code that restrict the

:06:45. > :06:49.marketing of infant formula. The top health official in the city says the

:06:50. > :06:56.goal is to protect breast-feeding. If there are problems running this

:06:57. > :07:00.using a voluntary nature, obviously, we will consider whether or not that

:07:01. > :07:05.legislation should be in place. This new mother welcomes the guidelines.

:07:06. > :07:13.She is exclusively breast-feeding her one-month-old baby, but says

:07:14. > :07:19.continuing will be a challenger. It is difficult as a working mother.

:07:20. > :07:24.Maternity leave is just ten weeks. I have to work six weeks after birth.

:07:25. > :07:30.At a pro- breast-feeding event, mothers here agree that short

:07:31. > :07:33.maternity leave, long working hours, and a lack of sleep are all

:07:34. > :07:37.obstacles. They say the new government guidelines will help, but

:07:38. > :07:45.they are far from enough. BBC News, Hong Kong. Joining the conversation

:07:46. > :07:59.on line, tell us whether you think they should be restricted. Moving to

:08:00. > :08:10.technology. Uber or Lyft. They have been on a massive spending spree.

:08:11. > :08:14.This comes as Softbank rose 50% to 4.2 billion US dollars in the three

:08:15. > :08:26.months until June. That is mostly because of gains in US chip designer

:08:27. > :08:29.Nvidia. The owner of Softbank became popular in America because of his

:08:30. > :08:36.meeting with Donald Trump. He is very rich. Will he invest in Uber,

:08:37. > :08:45.Lyft, or both? He is considering both. We don't know which one yet,

:08:46. > :08:50.but he wants to crack that ride market because he has not presence

:08:51. > :08:59.in the US. He has already done so in Asian ride agencies. He even has a

:09:00. > :09:03.big stake in Brazil's 99. The importance of that industry has to

:09:04. > :09:07.do with growth. They are predicted to overtake taxis and be worth

:09:08. > :09:14.nearly $200 billion by 2030, the entire industry. It comes down to

:09:15. > :09:24.this man, the son of Masayoshi. He is a technology entrepreneur who

:09:25. > :09:29.started from small beginnings. He started with Softbank in 1981. Now

:09:30. > :09:37.he is making big bets on an interconnected future. He has bought

:09:38. > :09:41.many companies. The most interesting move he has made is to set up a $100

:09:42. > :09:46.billion technology fund with Saudi Arabia. This is the world's biggest,

:09:47. > :09:51.a huge amount of money. Through it he is investing in almost every

:09:52. > :09:59.major start-up areas. Summer include the virtual reality company,

:10:00. > :10:03.Improbable, and some others. Some are questioning if he is helping to

:10:04. > :10:09.fuel a tech bubble. Thank you very much. With that we in this edition

:10:10. > :10:17.of Asia Business Report. Thank you for watching. -- we end this. This

:10:18. > :10:18.has been Asia Business Report. Sport Today is up