The Beijing Hour
Morning Edition
Paul James with you on this Thursday, June 19, 2014.
Welcome to the Beijing Hour, coming to you live from the Chinese capital.
Coming up on our program this morning...
Chinese Premier Li Keqiang has delivered a speech to hundreds of British academics, suggesting there will be no hard landing for the Chinese economy.
A Chinese national kidnapped amid the unrest in Iraq has been freed safely.
Ukraine's President has declared a ceasefire in the eastern part of the country.
In Business... the US Federal Reserve is moving to scale-back its bond-buying program even further.
In sports... there is going to be a new winner of the World Cup this year, with defending champs Spain being bounced.
In entertainment... a life-size Transformer is on display in Hong Kong to promote the new film in the franchise.
Weather
Beijing will be sunny today with a high of 28 degrees Celsius.
Overnight it will see thundershowers and temperatures should drop down to around 19.
Shanghai will be cloudy during the daytime with a high of 28.
It will still be cloudy tonight with a low of 22.
In Chongqing, it will be cloudy with a high of 31.
Overnight cloudy and lows are expected to be around 24.
Elsewhere in the world, staying here in Asia,
Islamabad will have slight rain with a high of 42.
Kabul will be sunny with a high of 27.
Over to North America,
New York will be cloudy today with a high of 22 degrees.
Washington will be overcast with a high of 32 degrees.
Honolulu, cloudy, 29.
Toronto, Canada, will be cloudy with a high of 22 degrees.
Finally, on to South America,
Buenos Aires will be sunny with a high of 15.
And Rio de Janeiro will have moderate rain with a high of 20 degrees Celsius.
Top News
No Hard Landing for Chinese Economy, Says Premier in UK Speech
Anchor:
Chinese Premier Li Keqiang has used a speech to a group of academics in the UK to suggest the Chinese economy is in no danger of a so-called hard landing.
CRI's London Correspondent Duan Xuelian has more.
Reporter:
Speaking before an audience of around 300 academics from the UK's top think tanks, Premier Li Keqiang says there's still a long way to go before China can call itself a moderately developed country.
He says right now, the Chinese government's priority is to improve the lives of some 300 million people who are living below the poverty line by way of urbanization.
"China is lagging behind in urbanization. There are still 600 to 700 million Chinese people living in rural areas. And due to China's special national conditions, 200 million Chinese farmers who are working in the cities do not have access to public services compared to those who have lived in the city for a long period and acquired resident status."
The Premier also says that over the past 30 years, China has achieved remarkable economic growth.
However, he says that has also come with damage to the environment and problems with energy.
At the same time, Li Keqiang is downplaying concerns about the status of the Chinese economy.
"In recent years, our growth rate has been around 7.5%. There have been suspicions that the Chinese economy is going down. People were worried that the Chinese economy will suffer a hard landing. Here I will be very frank with you and say that it will not happen. Because just like I said earlier in this speech, China is in the process of urbanization and industrialization which will provide huge market potential."
When it comes to Sino-UK ties, the Chinese Premier says both countries are hoping to broaden their cooperation not only in economic terms, but also in areas such culture, education and technological research.
The majority of the audience listening to the speech are from The Royal Institute of International Affairs and the International Institute for Strategic Studies, both based in London.
Dr. Dana Allin, from the IISS, says he was quite impressed by the outspoken manner of the Chinese leader.
"I think it's interesting that he was very frank and sober about the economic challenges in terms of bringing so many Chinese out of poverty. I think it's interesting that Chinese leaders come aboard and don't beat their chest and emphasis the greatness of China but putting forward the huge task that lie ahead. "
China expert Martin Jacoues says he believes there are areas beyond economics that Britian can benefit from when dealing with China.
"There was something that hasn't been mentioned but predates this. It is a cooperation between China and Britain about the British trying to learn about why the Chinese has been very successful with their 15-year olds in the OECD PISA exams. So there has been an exchange of teachers and so on. I think that's also important because it's a recognition by the British that China's got not just money and the big market, but also know-how, tradition, culture that we need to learn from. "
Ahead of the speech, Li Keqiang has also co-chaired a global economic roundtable with British Prime Minister David Cameron at 10 Downing Street.
There, he's called on the international community to strive for inclusive development to help the world economy grow at a healthy pace.
The Chinese Premier is due to leave for Greece later on this Thursday.
For CRI, I'm Duan Xuelian, reporting from London
China urges bilateral communication over maritime disagreements with Vietnam
Chinese State Councilor Yang Jiechi has concluded a round of meetings with Vietnamese officials in Hanoi.
It is the highest level meeting between the two governments since tensions began escalating over oil drilling near the Xisha Islands in the South China Sea.
Yang Jiechi has told the Vietnamese side that China is willing to work with Vietnam to push forward their bilateral ties.
But at the same time, he says Vietnam has to stop disrupting Chinese operations near the Xisha Islands and refrain from creating fresh disputes.
The Chinese government is also expressing concern about reports the United States is using the dispute to try to deepen its ties with Vietnam.
Washington is reportedly considering lifting a ban on the sale and transfer of lethal weapons to Vietnam.
Iraq formally call on US to launch air strike
Iraq has formally called on the US to launch air strikes against jihadist militants who have seized several key cities in northern Iraq over the past week.
The call comes amid the shut-down of Iraq's largest oil refinery after Sunni militants launched attacks on it.
Iraqi Foreign Minister Hoshyar Zebari, attending a meeting of the Organization of Islamic Cooperation in Saudi Arabia, is also asking for help from other Arab countries.
"Iraq is in danger and needs the support of the Arab countries and the entire world to stop this offensive, because the risks of separation, division and fragmentation of this country do exist, and if this happens it could be more dangerous than what is going on in Syria."
Despite the plea, the US side is taking a very cautious approach.
U.S. President Barack Obama has met with congressional leaders to discuss the situation in Iraq.
No decisions have come from the meetings.
US Defense Secretary Chuck Hagel is on-record saying that it is "up to the Iraqi people" to determine the future course of their country.
Meanwhile, the United Arab Emirates has recalled its ambassador to Baghdad.
Earlier this week the United States, Australia and other countries took similar steps.
Kidnapped Chinese employee released unharmed in Iraq
A kidnapped Chinese employee of PetroChina has been released unharmed in Iraq.
The employee was kidnapped a week ago.
Despite the unrest in Iraq, the Chinese government says it wants to avoid a mass evacuation.
Chinese Foreign Ministry spokesperson Hua Chunying.
"Currently, there are a total of more than 10,000 Chinese employees in Iraq, and the area that they are staying now are basically safe. With regard to the tense situation, the Chinese Embassy in Iraq has requested the Iraqi government to take practical measures to ensure the safety and legitimate rights of Chinese nationals and enterprises in Iraq."
The Chinese Embassy in Iraq is calling on the Iraqi government to take steps to ensure the safety of Chinese nationals and businesses in the country.
For more on the humanitarian situation in Iraq, CRI's Shane Bigham spoke earlier Saleh Dabbakeh with the Red Cross in Baghdad.
Saleh Dabbakeh with the the Red Cross in Baghdad, speaking with the Beijing Hour's Shane Bigham.
Ukraine president offers unilateral cease-fire to end fighting in east
Ukrainian President Petro Poroshenko has announced a unilateral cease-fire in eastern Ukraine.
He's made the move following separate phone conversation with the leaders of Russia and Germany.
"I can say that the period of the cease-fire will be rather short. We anticipate, that immediately after this, the disarming of the illegal military formations will take place. I think that after this, law and order will be restored, including joint patrols against marauders and criminals."
Russian Foreign Minister Sergey Lavrov has also been calling for a ceasefire in eastern Ukraine.
He's been issuing the demand following the deaths of two Russian journalists in eastern Ukraine on Tuesday.
"We confirm our condolences and solidarity with those who are working in the combat zone. And we think it is an extra signal to cease fire immediately and start the de-escalation, to start de-escalating this situation."
Pro-Russian activists have been fighting for control of parts of eastern Ukraine, which they deem as independent states.
Libya gov't demands U.S. to hand over Benghazi attack suspect
The Libyan government is demanding the United States to hand over the suspected mastermind behind the 2012 attack on the U.S. consulate in Benghazi.
The suspect, Abu Khatallah, now in U.S. custody outside of Libya, after being arrested on Sunday following a joint operation involving US troops and the FBI in Benghazi.
The Libyan government, in demanding the return of Khatallah, says he should be tried in Libya.
Tripoli is also blasting Washington for not informing it of the operation to arrest Khatallah before-hand.
The Libyan government is describing Khatallah's arrest as a kidnapping.
So far the US side hasn't responded, though it's unlikely he'll be returned to Libya.
He's expected to stand trial in the US.
The US government filed charges against Khatallah and around a dozen others for their alleged involvement in the deadly assault on the US consulate in Benghazi on September 11th, 2012 which left 4 Americans dead.
Among those killed was US ambassador to Libya, Christopher Stephens.
Egypt court sentences 12 Morsi supporters to death
Another 12 supporters of ousted Egyptian President Mohamed Morsi have been sentenced to death.
They have been found guilty of killing a high-ranking police officer last year.
Only 8 of the defendants are in custody.
The other 4 are said to be "on the run."
Morsi's Muslim Brotherhood has been labeled a terrorist organization and outlawed.
Members of that group have been blamed for a wave of attacks since Morsi was removed from office by the military following a popular uprising.
8 dead, 28 missing as boat sinks off Malaysia
So far only 8 bodies have been recovered following a boat capsizing off Malaysia's west coast yesterday.
28 others are still missing.
61 people managed to survive, after the wooden boat capsized while trying to smuggle Indonesian migrants into Malaysia.
The survivors have all been arrested under immigration laws.
China's property market expected to continue cooling trend
ANCHOR:
There are more signs the property market here in China is going to continue its downward trend, with figures showing new home prices are dropping in more cities across this country.
CRI's Li Dong has more.
Reporter:
National Bureau of Statistics data for May shows that 35 cities saw month-on-month drops in new home prices last month, compared to just eight cities in April.
Only 15 cities saw month-on-month increases in May, substantially down from 44 in the month prior.
The average home price in the 70 cities surveyed slipped 0.15 percent from the previous month, marking the first drop in more than a year.
Prices in Hangzhou, east China's Zhejiang province, dropped the most, down by 1.4 percent.
Zhang Dawei, director of Beijing Zhongyuan Real Estate, says the downturn of the real estate market nationwide is inevitable.
"The property industry is accelerating the transition from the previous sellers' market to a buyers' market, including in first-tier cities like Beijing. Sufficient supply of primary property and other factors are affecting the market with great speculation. So I think the downturn of the property market is irreversible. The home price decline in 35 cities is just the beginning of such a trend."
The NBS data show the highest month-on-month price increase was 0.3 percent in the central Chinese city of Zhengzhou, while the price in Beijing increased 0.2 percent, faster than the growth-rate in April.
For existing homes, prices declined in 35 cities month-on-month in May, compared to 22 cities in April.
Zhang Dawei adds that home buyers are starting to take a wait-and-see attitude amid uncertain market prospects, prompting developers to slow down investing in and initiating new projects.
"Developers in both third and fourth, and in first and second tier cities as well, are facing great pressure from their property reserves. This will result in the drop of property prices to some extent. The transaction volume is also expected to decline after June if there is no supportive policy or other market incentives."
Real estate investment directly affects about 40 other business sectors in China, from steel and cement to furniture.
It's a crucial driver of economic activity.
For CRI, I am Li Dong.
Biz Reports
First off, a check on the closing numbers in North America and Europe.
Joining me on the desk, CRI's Luo Wen.
Reporter:
U.S. stocks rallied on Wednesday, with the S&P 500 closing at a new all-time high, up 0.8 percent.
The Dow and NASDAQ both gained 0.6 percent.
The major stock indices spiked after a Fed policy meeting.
We'll have more on the meeting in just a few moments.
The European markets closed before they could benefit from the Fed meeting.
London's FTSE closed down 0.2 percent.
Germany DAX dipped 0.1 percent.
France's CAC 40 notched up 0.1 percent.
China authorizes free trade account opening in Shanghai
The Chinese government has given the green-light for five banks to open so-called Free Trade Accounts in the Shanghai Free Trade Zone.
The Free Trade Accounts will allow oversees funds to flow directly into the accounts of banks in the FTZ.
However, the funds are not allowed out into the rest of the mainland market.
The banks being allowed to open the new accounts include the Bank of China, China Construction Bank, the Shanghai Pudong Development Bank, Bank of Shanghai and the Industrial and Commercial Bank of China.
Cao Qi is with ICBC's Shanghai branch.
"The procedure of capital inflow or outflow used to be very difficult. But now, with the integration of three markets and three channels, meaning those inside and outside the free trade zone and that outside China, enterprises can conveniently manage the flow of their global resources, including fund transfers,"
The move is expected to make the process of cross-border money transfers much easier for both domestic and foreign firms.
China Development Bank, The City UK forge comprehensive cooperation
The China Development Bank has signed on with a financial services lobby in Britain.
CDB and the firm, called The CityUK, are going to work together to try to help the Chinese bank expand its financing and lending activities in Britain.
The CityUK is also going to help China Development Bank become involved in Renminbi-related business in Britain.
The agreement follows on the heels of China Construction Bank being named the sole clearing bank for Renminbi transactions in Britain.
SAMC hits new landmark with Boeing
The Shanghai Aircraft Manufacturing company has achieved a new milestone, delivering its three thousandth pair of horizontal stabilizers for the latest-generation of the Boeing 737.
Boeing is the largest buyer of aircraft components in China, with 35 direct suppliers and hundreds of secondary vendors.
SAMC has been working with Boeing since 1999 and is now one of the company's major overseas suppliers.
GM hit with $10 billion lawsuit
General motors is being hit with a new lawsuit which could potentially cost the automaker billions of dollars.
A California law firm has filed a motion to create a class-action lawsuit against GM, claiming the company should compensate millions of car and truck owners for lost resale value.
The suit claims GM hurt customers by concealing known defects.
The filing says this caused a variety of late-model vehicles to lose roughly 500 to 26-hundred dollars in resale value.
If the suit gains class-action status, it could potentially cost General Motors upward of 10-billion dollars.
GM has responded to the accusation, downplaying the seriousness of the value loss in its vehicles.
General Motors is already facing federal probes in connection with faulty ignition switches in its vehicles which the company knowingly continued to install, years after the defect was first recognized.
Chrysler switch defect probed
US safety regulators have opened two investigations into Chrysler vehicles involving possibly faulty ignition switches.
The faulty switches can reportedly be bumped out of the "run" position, disabling airbags in the event of a crash.
The issue is similar to the recall of GM vehicles, which have been linked to the deaths of at least 13 people.
So far no fatalities have been attributed to Chrysler problems, which affect around 1.25 million vehicles.
Amazon CEO unveils smartphone to take on Apple, Samsung
Amazon has launched itself into the smartphone market.
The company has unveiled a new handset called "Fire Phone" that is closely tied to the online retailer's other services.
Amazon is hoping to compete with Apple and Samsung in the handset market.
Amazon CEO Jeff Bezos says "Fire Phone" will give consumers direct access to other devices and services from the company.
The new handset features 3-D viewing and image-recognition technology.
The phone retails for around 200 US dollars and will be available on July 25th in the US market.
Yellen: US economy still needs help from Fed
Anchor:
The US Federal Reserve has moved to cut its bond-purchase program by an additional 10-billion US dollars.
This now puts the bond-buying scheme at 35-billion per month.
In making the announcement, Fed Chair Janet Yellen says the Federal Reserve will not raise short-term interest rates from their record lows anytime soon, despite a steadily improving job market.
Headline News
No Hard Landing for Chinese Economy, Says Premier in UK Speech
Chinese Premier Li Keqiang is suggesting the Chinese economy is in no danger of a so-called hard landing.
Speaking before a group of academics from the UK's top think tanks, Premier Li Keqiang says the Chinese government's priority is to improve the lives of some 300 million people who are living below the poverty line by way of urbanization.
He also says both China and the UK are hoping to broaden their cooperation not only in economic terms, but also in areas such as culture, education and technological research.
Ahead of the speech, Li Keqiang has also co-chaired a global economic roundtable with British Prime Minister David Cameron at 10 Downing Street.
Li Keqiang is due to leave for Greece later on this Thursday.
China urges bilateral communication over maritime disagreements with Vietnam
Chinese State Councilor Yang Jiechi has concluded a round of meetings with Vietnamese officials in Hanoi.
It is the highest level meeting between the two governments since tensions began escalating over oil drilling near the Xisha Islands in the South China Sea.
Yang Jiechi has told the Vietnamese side that China is willing to work with Vietnam to push forward their bilateral ties.
But at the same time, he's also calling on Vietnam to stop disrupting Chinese operations near the Xisha Islands and refrain from creating fresh disputes.
Iraq formally call on US to launch air strike
Iraq has formally called on the US to launch air strikes against jihadist militants who have seized several key cities in northern Iraq over the past week.
The call comes amid the shut-down of Iraq's largest oil refinery after Sunni militants launched attacks on it.
Despite the plea, the US side is taking a very cautious approach.
US Defence Secretary Chuck Hagel says it is "up to the Iraqi people" to determine the future course of their country.
Ukraine president offers unilateral cease-fire to end fighting in east
Ukrainian President Petro Poroshenko has announced a unilateral cease-fire in eastern Ukraine.
He's made the move following separate phone conversation with the leaders of Russia and Germany.
Russian Foreign Minister Sergey Lavrov has also been calling for a ceasefire in eastern Ukraine.
He's been issuing the demand following the deaths of two Russian journalists in eastern Ukraine on Tuesday.
Pro-Russian activists have been fighting for control of parts of eastern Ukraine, which they deem as independent states.
King Juan Carlos I of Spain signs abdication bill
Spain has a new King.
Juan Carlos has signed over his crown to his son, Felipe de Borbon.
King Felipe will be crowned later on this Thursday in the Spanish parliament.
The 76-year old Juan Carlos has been credited with helping Spain transition to democracy following the death of Francisco Franco.
Juan Carlos was crowned by Franco himself shortly before his death in 1975.
Monsoon arrives in N. India
Northern India is finally seeing some relief from the weather.
The annual monsoon rains have finally reached the northern part of the country, about a week later than usual.
The top half of India has been baking in over 40-degree temperatures for the past three weeks.
Monsoon rains have also started sweeping into the eastern and southern parts of India.
Newspaper Picks
BEIJING NEWS
Headline
Soldiers killed in arsenal explosion
Summary
An accidental explosion has ripped through an arsenal in Hunan, killing 17 soldiers.
The explosion took place while the soldiers were stacking ammunition.
The armory is in a rural township on the outskirts of Hengyang.
No civilians were injured.
BEIJING TIMES
Headline
Lower pay raises for 2014
Summary
Beijing's municipal government has set out its suggested guideline for average salary increases this year at 12 percent.
Beijing is the 10th provincial-level region to announce the pay guidelines.
Among the 10, many have reduced their pay increase ratios compared to the previous year.
CHINA DAILY
Headline
HIV-prevention program for migrant workers
Summary
The China Red Ribbon Foundation has launched its annual program to advocate knowledge about HIV and AIDS prevention among migrant workers.
The program recruits university students as volunteers to give "health bags" to migrant workers.
Each bag includes varios items, including cards printed with facts about HIV prevention.
GLOBAL TIMES
Headline
Canine cuisine controversy comes to boil in Yulin
Summary
Eight people who claim to be Buddhist followers, led by a monk, showed up at the largest dog meat market in the city of Yulin in Guangxi to pray that the souls of the butchered dogs will be released from suffering.
It's the latest move by animal rights activists who have been calling for a boycott of the traditional dog meat festival that falls on June 21st this year.
SHANGHAI DAILY
Headline
Job applicant credit checks
Summary
Local lawmakers in Shanghai say the city's credit database is going to be linked with employment and residence permit applications.
Shanghai's legislative body says personal credit reports will likely be used in the selection of public servants next year on a trial basis.
BEIJING MORNING POST
Headline
Critical reporting needs approval
Summary
China's media watchdog has issued a notice, forbidding journalists from writing critical reports without first gaining approval from their employers.
The notice also requires media outlets to prohibit reporters from privately establishing online platforms to publish critical stories.
The move comes amid various scandals involving reporters extorting money from companies by threatening to write negative stories about their company.
SOUTH CHINA METROPOLITAN DAILY
Headline
Shenzhen video firm faces copyright penalties
Summary
The market supervision authority in Shenzhen has held a closed-door hearing to consider fining a local technology company some 260 million yuan for an alleged copyright violation.
The company, Shenzhen QVOD Technology, an Internet video services provider, has already been found guilty of spreading pornographic and lewd contents online.
Its license to provide telecommunication services has already been revoked.
Special Reports
Internet changes future film industry
Anchor:
Insiders from traditional movie companies and online video providers attending this year's Shanghai International Film Festival are suggesting the internet is reshaping the way people watch movies, as well as how companies sell them.
CRI's Liu Kun has more from Shanghai.
Reporter:
Imagine yourself watching "Coming Home," the latest film by director Zhang Yimou, during the weekend on a TV set with 4K resolution from an online video portal, when others have to drag themselves to a cinema.
At the on-going 17th Shanghai International Film Festival, Gao Fei, vice president of popular video website Le TV, has just confirmed that the above scenario will be possible in just a few days.
Gao says, once equipped with larger screens, watching movies over the internet at home will give audiences almost the same experience as watching a film in a cinema.
"Nowadays, 4K screens are a rarity for cinemas. But people will be able to watch movies with 4K resolution on a TV set at home soon. In the future, low prices and low costs will continue, but the viewing experience will be greatly improved."
Zhu Huilong, senior vice president of Youku Tudou Corporation, further points out that, with the number of smart phone users continuing to rise, the way of movie ticket purchases will change, as well.
"I think in the coming year, more than 50 percent of movie tickets will be purchased online. About 900-million people in China own mobile phones. And only 300 to 400 million of these are not smart phones. If these phones become smart phones, the number of online ticket sales will be enormous."
The recent sales blast jointly conducted by mobile application Wechat and the production company responsible for the recently-released 3D reboot of "Godzilla," has exemplified Zhu's predictions.
Two-million film coupons, each worth 19 to 199 yuan, were quickly snapped up by Wechat users within just one hour after they were available on the mobile messaging platform.
Aside from changing the way movies are watched and theater tickets are purchased, the internet has influenced cinema goers' choices of which movie to attend, as well.
An Xiaofen, a producer and distributor of hit movies like the "Tiny Times" and "Ip Man" film franchises, says the internet is offering audiences more information on a movie than traditional posters can provide.
"All video websites will be able to get intellectual property rights of a movie for free. Because the number of web users is huge, even though the intellectual property is free, the profit will still be impressive."
An, however, says the quality of a movie's content will ultimately dictate whether a production is a box office smash, or a dud.
Back Anchor:
CRI's Liu Kun reporting from Shanghai.
Sports
FIFA World Cup: Spain vs. Chile 0-2; Netherlands vs. Australia 3-2
In the FIFA World Cup this morning,
Cameroon is now playing against Croatia in their Group D fixture.
Croatia opened the scoring in the 11th minute with a goal from Ivica Olic.
[update]
----
But the big shock of the day came earlier this morning, with defending champions Spain being sent packing out of the tournament following a 2-nil loss this morning to Chile.
Chile getting goals from Eduardo Vargas and Charles Aranguiz.
----
Australia is also going to have to head home after the round-robin, after they lost 3-2 to the Netherlands in their Group B meeting.
The Dutch team, led by Arjen Robben and Robin van Persie, scored two goals in the second half.
Australia out-performed the Netherlands in the later part of the first half.
It is the second straight win for the Netherlands, and advances the team into the knockout stage.
In the first round matches of Group B, the Netherlands humiliated Spain 5-1.
Netherlands will next take on Chile, while Australia will meet Spain in their final matches of the tournament.
---
Off the pitch,
After suffering an opening game, 4-nil loss to Germany, Portugal could also be in danger of losing their best player, Cristiano Ronaldo.
Its being reported Ronaldo's doctor wants him to pull out of the World Cup due to a knee injury.
Portuguese surgeon Jose Carlos Noronha is reportedly advising the Real Madrid star that he could risk tearing the tendon in his knee beyond repair.
Ronaldo left Portugal's practice early on Wednesday, applying ice to his knee and taking in the final portion of the training session from the bench.
Neither he nor the Portuguese football federation have made comment so far.
Simona Halep withdrawn; Fernando Verdasco through to quarters at Topshelf Open
In tennis,
Top seed Simona Halep has retired from her second-round match against Germany's Annika Beck with a shoulder injury at the Topshelf Open in the Netherlands.
Halep says she's hoping for a swift recovery before next week's Wimbledon Championship.
Fourth seeded Carla Suarez Navarro has also been forced out of her match against China's Zheng Jie due to a back problem.
Zheng Jie is now into the quarter-finals, and is set to face Elina Svitolina of Ukraine.
----
On the men's side,
Fernando Verdasco has advanced to the quarter-finals with a second-round victory over Dutch wildcard Jesse Hutagalung 7-5, 6-3.
Verdasco will next face Jurgen Melzer of Austria who booked his place in the last eight with a three-set victory over qualifier Lukas Lacko.
Verdasco's fellow countryman, Roberto Bautista Agut, is also through after getting past American Matthew Ebden 7-5, 7-6.
----
At the Aegon International in Eastbourne, England,
France's Richard Gasquet is through to the 2nd round after dumping Australian Bernard Tomic in three sets 6-4, 3-6, 6-3.
Defending champion Feliciano Lopez defeated German qualifier Tobias Kamke 7-6, 7-5.
In the women's draw,
Caroline Wozniacki has eased into the quarter-finals with a 6-3, 6-3 win over American Sloane Stephens.
Fifth seeded Angelique Kerber of Germany saved two match points to squeeze by Alize Cornet of France 7-5, 1-6, 7-6.
----
In off-court news,
The final line-ups for next week's Wimbledon Championship have been announced.
Novak Djokovic and Serena Williams are seeded No.1.
Two-time Wimbledon champion Rafael Nadal and Chinese ace Li Na are seeded No.2.
Defending champion Andy Murray has moved up two spots above his world ranking to the third seed.
Seven-time champion Roger Federer has the No.4 spot.
This year's French Open champion Maria Sharapova is seeded No.5.
Wimbledon is set to begin on Monday.
Rory McIlroy to play for Ireland at 2016 Olympics
In golf,
With the U.S. Women's Open is getting underway later on this Thursday at Pinehurst.
The first groups will be teeing off tonight around 7pm Beijing time, including Taiwan's Hsu Wei-Ling and Teresa Lu.
Mainland golfers Shi Yuting and Feng Shanshan have later tee-offs.
---
All the talk leading upto this event surrounds Lucy Li.
The Chinese-American from California is set to become the youngest player to ever take to the course on a major at just 11-years old.
Li isn't the first young player to compete at the U.S. Women's Open.
Morgan Pressel and Lexi Thompson qualified and played at age 12, while Michelle Wie was 13.
---
On the men's side,
Rory McIlroy says he will represent Ireland at the 2016 Olympic Games in Rio.
The two-time major winner was born in Northern Ireland, and had the option to represent either Ireland or Britain.
The announcement has put an end to recent speculation that he might have been considering playing for Great Britain.
Red Wings place F Tootoo on Waivers
In off-ice news from National Hockey League,
The Detroit Red Wings have placed forward Jordin Tootoo on waivers with the intention of buying out the final year of his contract.
Tootoo is due to make 2 million US dollars next season.
If he clear waivers, Tootoo will be in a position to become a free agent on July 1st once the Red Wings buy out the remainder of his contract.
----
Both the Vancouver Canucks and the Pittsburgh Penguins are looking to the lone-star state to possibly deal with their vacant coaching positions.
Both clubs have asked the Dallas Stars permission to talk to their AHL affiliate head-coach Willie Desjardains.
The 58-year old Desjardains just finished coaching the Texas Stars to the Calder Cup.
Entertainment
Giant Optimus Prime in HK as 'Transformers: Age of Extinction' premiers
There have been reports of a giant robot spotted in Hong Kong.
But don't worry, it's not the machines taking over, it's a promotion for the world premiere of "Transformers: Age of Extintion.
The 20-feet tall Optimus Prime is standing in front of the Cultural Centre in Tsim Sha Tsui, one of Hong Kong's main tourist attractions.
Last night walking the red carpet were the film's director, Michael Bay, along with cast members, including Mark Wahlberg, Nicola Peltz, Jack Reynor, Kelsey Grammer, Stanley Tucci, Li Bingbing and Han Geng.
The film begins in a torn city after an epic battle. As a powerful new menace sets upon Earth, the humans, with the help from Optimus Prime and the Autobots, head into a climactic battle in an attempt to save the world.
Hong Kong is set as one of the battle grounds in the film and Age of Extinction" will go on wide release there on 26 June 2014.
Deng Chao's 'Breakup Guru' gets early release in Shanghai
(bjh/soundbite/0619 Breakup Guru)
Chinese comedy film "The Breakup Guru", or fen shou da shi,(分手大师)has opened in limited release in Shanghai.
Directors Deng Chao (邓超) and Yu Baimei (俞白眉) joined the audience to observe viewers reactions.
Actor-turned director Deng Chao spent a year making the film.
He also took the leading role in the movie, joined by actress Yang Mi (杨幂).
After the screening was over, he rushed to the stage and said he felt relieved because the theatre was filled with laughter.
Singing duo Yu Quan (羽泉) and singer Zhou Bichang (周笔畅) showed up to offer their support.
Yu Quan and Deng Chao also performed the theme song on the stage.
(theme song)
The film will compete with Hollywood blockbuster "Transformers 4".
"The Breakup Guru" will open nationwide on June 27.
Godzilla Tops Chinese Box Office
(Godzilla)
"Godzilla" has knocked "Edge of Tomorrow" off the top of the Chinese box office charts, taking 237 million yuan (37.9 million U.S. dollars) in its opening weekend.
However, the Tom Cruise sci-fi movie, still took in respectable 155 million yuan in its first week.
The third place went to "X-Men: Days of Future Past," which raked in 44.6 million yuan.
Rounding off the top 5 were two Chinese films, action-thriller "Overheard 3," which pulled in 33 million yuan in the week and "Night of Adventure," a domestic comedy about thieves, came in fifth with 11 million yuan.
That’s it for this edition of the Beijing Hour.
A quick recap of headlines before we go.
Chinese Premier Li Keqiang has delivered a speech to hundreds of British academics, suggesting there will be no hard landing for the Chinese economy.
A Chinese national kidnapped amid the unrest in Iraq has been freed safely.
Ukraine's President has declared a ceasefire in the eastern part of the country.
In Business... the US Federal Reserve is moving to scale-back its bond-buying program even further.
On behalf of the Beijing Hour staffers, this is Paul James in Beijing hoping you'll join us for our next edition of the Beijing Hour to open a window to the world together.
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