haidi: welcome to daybreak

australia. i'm haidi stroud-watts in sydney. >> i'm annabelle droulers in singapore. asian stocks set for positive turn since a holiday. beijing hits back at the g7 over claims of overcapacity. haidi: china is creating a 48 billion dollars fund to back the development of chips as the u.s. seeks to cut its access off to cutting edge tech. annabell: tensions rationing higher in the middle east as israel calls a deadly airstrike on a gazan refugee camp a tragic mistake. haidi: take a look at how we are setting up. a pretty slow start to the week when you consider we have had u.s. markets on a holiday. a number still not trading but this is the picture as we set up in asia.

sidney stocks up .1% when it comes to futures. muted gains. could see a boost. some of the other china related assets look more muted. huge tranches of global inflation readings. the u.s. cpi gauge will affect market expectations for the fed. chicago nikkei futures up .5%. a little upside in hong kong. shanghai futures are on the rise. annabelle: as you say, not a lead-in from the u.s. because the markets are shut for memorial day. in the european session, we saw shares edging higher. you put that in combination with the signaling in asian equities. if you see a bit of upside potential coming through,

markets resuming trade tuesday, but coming into a different environment, some changes afoot, because we will have that rule taking effect. you will see u.s. stocks settling in a single day, so convincing that trading period. wti pushing 1% higher at the open. we have traders that are watching out for the opec-plus moves. we have the meeting coming up virtually. what we see so far is it looks pretty robust from memorial day. that kicks off the summer driving season. haidi: our next guest looking to increase their exposure to global equities. always great to see you. you think there's more path yet when it comes to this, you know, all in on global equities as well? >> yeah. so we increased our allocation to about 2% above neutral.

one of the catalysts for that was the fed will be moving out rate hikes this year. there is strong momentum. if you look at the breadth, we have 77% of the market trading above their 50 and 200 day moving averages. if that gets to 88%, that is a contrarian cell signal. the market is still a one legged stool with nvidia. you tend to see that. it can carry on for some time. what we saw last week was stronger u.s. business activity data. the market has pushed out the first cut until december so we still have to watch what happens with bond yields.

it is driven more by strong activity data as opposed to inflation. haidi: does the nvidia driven tech rally continue unabated even if the rate environment becomes less favorable? do you become more selective? nick: for the beginning part of the year, the activity data was driving bond yields higher. when we start to see a trend in inflation was core cpi going above expectations for the first three months of the year, there were concerns you would get inflation contribute into bond yields. at the moment, that does not seem to be the case. you have got a greater inversion in the yield curve. the difference between the two and 10's is back to 46 basis points, so i think that is the case that the market will look through any shorter-term weakness in bond yields, but certainly, if you think about nvidia, it was only about five years. i think they are probably most

known for getting better resolution with call of duty so it's been an exceptional period of growth. if you look at the valuation, the pricing is suggestive they will find another business model again to their dominance in ai chips, so good momentum, but medium-term, be cautious on the valuations. annabelle: where else would you want to look, then? where else along the ai or tech supply chain can you look for opportunities with more attractive valuations? nick: i think may just at a regional level europe is looking somewhat interesting. so we saw strong pmi's in the u.s. last week but also a convergence with european pmi's looking stronger than the u.s. for the first time in a while. so there's that convergence theme in europe. also the expectation now that the ecb will cut next week.

the one thing to consider is i think it's safe to say we will probably get 50 or 75 basis wanes -- basis points in cuts in europe this year but next year you have to draw down to see if that disinflationary path will continue. when you look at industrial goods, that will probably be well behaved. capitalism by its nature is deflationary. there's all this investment in renewables and natural gas in europe. commodities, there's the risk commodity price risk flares continue due to geopolitics. and services inflation in europe could be somewhat sticky given wages growth is about 4.6%, but that's more of a problem in the u.k., where wages growth is about 7%, so it's looking like the cut in the u.k. will be pushed out to later this year, so there is some regional attractiveness of europe at the moment on a technical basis, should say, annabelle. annabelle: what about the

attractiveness of asia as well? any markets that are standing out to you in particular? nick: so i think just with geopolitics, there's a few markets that i think really benefit from that. we have not gone yet but i think in asia others vietnam -- in asia, there is vietnam. there's mexico benefiting, now the biggest trading partner with the u.s.. and poland also looks to be quite a good beneficiary from geopolitics. we have not gone back into china. i know i the beginning of the year short china was the most crowded trade, so from a contrarian perspective, china did look attractive, but given how flighty the allocation could be there, we didn't go back in. there are some tentatively positive signs with what we saw with the trilateral trade meeting between south korea, japan and china. politics getting in the way of

economics could be a catalyst for us to look at the region again with trade tensions increasing between the u.s. and china day by day. annabelle: when you take a look at asia in particular, china in particular, we are actually seeing investors are starting to perhaps leave the market again, so the property sector, the moves that have been announced, they seem to not really have much favor among investors over a more sustained period. do you see that reallocation to china so far that we have seen shifting away perhaps just as easily? nick: we definitely do come annabelle, and that's one of the reasons we have not gone back in. in terms of emerging markets, an area we look at more broadly, it's shown to be one of the better ways to access emerging

markets on a risk-adjusted basis is currency. so we spent a lot of time looking at local currency emerging-market debt but that's everything from eastern europe, latin america and also through asia, so there's also attractiveness just by buying local currency bonds, but you have to have a view on the u.s. dollar. there's quite an attractive real yield spread that we will keep an eye on. if you did get to a point with this eventual depreciation in the u.s., whether that's from yield curve control, whether there would be a great cut -- a rate cut with inflation still high, that would be good for emerging-market debt. so just another somatic that we watch closely within emerging-market -- another thematic that we watch closely within emerging markets. totally. haidi: when it comes to the geopolitical risk, do you think

markets are still understating that? we have not seen a great deal of reaction. nick: we did see over recent days there was the hit on a refugee camp in gaza and that would certainly flareup tensions and there have been icc rulings going against israel. i think that conflict still has a way to go and potentially broaden into the area. the energy price is stuck at about $82 to $84. will opec increase or maintain production cuts next week? there's a risk going into the summer, summer driving season in the u.s., that we could see a shorter-term re-acceleration in energy prices. that could put some pressure on inflation in the second half of the calendar year. annabelle: just to finish off on

valuations, because you mentioned the likes of nvidia, we have seen that stock split. does that set us up for a trend we could see across big tech and if so how do you think that impacts returns for those things? nick: totally. that could set up a trend, annabelle. if you look at two names, meta and microsoft, they are trading above $500, so you do broaden the investor base. they already have quite strong retail participation in the u.s. market and it could even broaden that further. so i think that would be a shorter-term benefit to kind of broaden that momentum absolutely. haidi: great to chat with you, nick schoenmaker of drumming capital in sydney. still ahead, oil traders looking for this weekends opec-plus meeting. it is expected to extend those

production cuts. we get more details on china's biggest ever chip development fund. this is the big fund iii, the latest salvo in the battle with the u.s. for global tech supremacy. this is bloomberg. ♪ do you want to close out? should i? normally i'd hold. but... taking the gains is smart here, right? feel more confident with stock ratings from j.p. morgan analysts in the chase app. when you've got a decision to make... the answer is j.p. morgan wealth management.

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annabelle: china is creating the country's largest ever chip fund to boost the development of its domestic semiconductor energy -- industry. beijing looks to achieve chip self-sufficiency despite u.s. restrictions. i think the rationale for starting this fund is pretty evident. we know china is trying to become an advanced chipmaking superpower and it's also facing tensions with the u.s., but is this sort of funding -- do you think it's enough to make a difference here? >> yes. as you say, this shows that china is doubling if not trickling down on its plans. does this make a difference? i think it's hard to say when it's countering curbs on

chipmaking businesses. the biden administration has imposed a lot of restrictions on china's ability to buy advanced chips and chipmaking equipment. we have seen some areas where china has been able to circumvent this or develop advanced technology. it's a result of china being able to still build something in spite of these restrictions, but yeah, it shows there's a lot of firepower here. important to note, annabelle, that the u.s. and the e.u. have also put in tens of billions of dollars toward ramping up their own advanced tech, so certainly you are seeing a lot from these western powers in terms of scaling things up during semiconductor race. annabelle: and of course this comes at a time, as we get this first trilateral meeting since

2015 between south korea, china and japan. no doubt chips would have been on the agenda. also, we are seeing some movement from north korea with this failed satellite launch. jill: that's a really interesting trilateral meeting. the important thing to remember when it comes to relations between china, japan and south korea is that japan and south korea in particular have trended more toward being stronger u.s. partners and allies recently, so even with the news you were getting out of this summit saying they are revitalizing cooperation with china on security and economic matters, i mean, that only carries so much weight when part of the reason why this summit was suspended over the past several years -- part of it was the pandemic, obviously, but another part of it is you are weighing political tensions between these three powers. that ultimately comes to the forefront here. as you mentioned, you still have geopolitical tensions in north korea as well, which is more of

a beijing ally. i think what this summit tells you is that you do at least have these three powers talking, which may be prawn cast -- maybe progress from the china front, but they remained u.s. allies. annabelle: do you think there's any sort of path to possible normalization? do you see any sort of further rapprochement on the supply chain and chips in particular given south korea and japan control important parts of the chipmaking train -- chain as well? jill: washington wants to draw china and japan closer to it. those two countries in particular, as he mentioned, because of their importance to the global supply chain, south korea in particular when it

comes to semiconductor development, those countries are central to u.s. efforts to deny beijing access to chipmaking tools and technology. even in this wake of this kind of summit -- even in the wake of this kind of summit, you have to imagine the u.s. will be leaning on japan and south korea to protect their supply chains and access to semiconductor technology. while you are seeing a statement coming out of this meeting saying that china wants to revitalize -- or these three countries are seeking to revitalize cooperation on security and economic matters, it is still the u.s. that has larger control or at least larger influence and sway over japan and south korea at this point. haidi: our news desk editor jill disis there. beijing is threatening the g7 -- is accusing the g7 of -- beijing has again dismissed those claims, the foreign

ministry saying those amount to protectionism. mounting tensions between china and the west. you can get a roundup of the top stories you need to know to get your day going in today's advantage -- today's addition of daybreak. you can customize those settings so you get the news on the industries and assets you care about. this is bloomberg. ♪

haidi: tensions are ratcheting higher in the middle east after an egyptian soldier was killed in a clash with israeli forces at the rocco border -- at the rafah border crossing. there's a lot of different

developments. >> it is significant and serious. they are central to israel's security. egypt has been warning about rafah the whole time. they do not want this conflict spilling over so it's problematic there. you come to the missile that hit this -- basically a tent area where gazan refugees have been trying to escape the violence and that's been hit by a missile. it's disastrous. it's exactly what the u.s. and everybody in the world was warning israel about, that there was a huge risk of going it is such a build up area, militants or not. they had to be extremely careful

or not do it. the u.s. said realistically is there's no way you can do this. haidi: that's what i'm wondering about, michael. where is the redline here, do you think, for israel? because we are seeing more governments recognizing palestine. there have been a number of states that made it clear, including the u.s., that they did not want to see this type of incursion or event happening in rafah. what are the likely scenarios where we go from here? michael: it's a good question it is difficult to see. in this sense, you can almost feel this increasing isolation of israel. no one is saying i told you so but it was so obvious beforehand that you are going in with heavy artillery, with missiles into an area where there's 1.4 million civilians in tents trying to find militants who are in tunnels or hiding in the civilian population.

this was always going to happen. will it affect their relations? the death of the soldier could potentially be significant. people were saying this may inhibit efforts to get a cease fire because egypt has obviously been central to that, but israel looks isolated. the u.s. is always going to stick with israel but it seems unlikely they will release these weapons they have been delaying. the u.s. will try to make clear that it's unhappy but they will not break ties at the end of the day. haidi: what does a reconstruction plan look like? michael: there is no reconstruction plan. this is the disastrous side of it. israel's defense minister, who comes across as one of the more sensible members of the government, complained publicly that every time he tries to raise the subject of a postwar scenario the government shuts it down.

the reason is you have these settler right-wing elements in the israeli government that want to bring israeli settlers into the area, etc., and they don't want to be talking about any sort of independent state or arab presence, but that is the only way forward. you can have europeans or americans in there. you need muslims from the middle east there. part of that whole idea of israel doing a deal with saudi arabia where they recognize israel in return for israel acknowledging the palestinian state, that's the ultimate objective everyone once in terms of reconstructing palestine or making a palestinian state viable, but it's hard to see the israeli government bringing themselves to the point where they agree to that. haidi: that was michael heath. some other geopolitical developments we are following today. the un's nuclear watchdog says iran is growing its stockpile of bomb grade uranium.

according to a report seen by bloomberg, iaea examined iran's stockpile and it rose 17% over the last few months. they prepare to hold presidential elections next month. north korean state media says a rocket that was meant to launch a reconnaissance satellite in orbit exploded in midair. the launch was detected by japan, which briefly disseminated a warning to people in oak canal it to take shelter. in oak canal it to take shelter. next, why gotcha. take that. whoa! bruh! i'm fine. that smack looked bad. not compared to the smack down i'm giving you. you sure you're, ok? you know you're down 200 points, right?

lucky, she convinced me to get help. i had a concussion that could've been game over. in actual reality, you've only got one life. don't mess with your melon. if you hit it, get it checked. it's mine. you, ok? yeah, are you ok? we're fine. my serve. maybe we should stop. this pinewood pickleball champ stops for no one. we got our melons checked. she had a concussion.

admitting i was wrong is worse than losing at pickleball. saving your brain is a definite win. don't mess with your melon. if you hit it, get it checked. annabelle: china amc ceo yimei li says it's more difficult to

build an ideal index for chinese companies that it is for other markets such as the u.s.. li spoke to our podcast to share her views about opportunities in the market. yimei: it's always fun to look at if we do enough in certain areas, if we are more pinpoint in certain asset classes, but one other priority we are looking at is how to create an index that really can reflect the new china, especially china's advantage in the economy, so that being said, i think we are cooperating not on our own but with other entities in china to see if we can create something like the chinese version of the ft 500, which not only has the element of selecting stocks but also the

fundamentals going into our process so that we can pick the best. >> you guys are still contemplating and experimenting what an index might look like. give us a sense what you suspect that eventually looks like. is that an index of 500 names, for example? and we will not hold you to it. what do you think that might look like in the future? yimei: personally, this is really not the official version, but definitely i think it should at least combine what is in the hong kong stock market. and it really goes back to the fundamental question why people invest in a broad index, right? so you invest in the ft 500 to reflect the whole u.s.. david: the u.s. economy. yimei: if you want to invest in

the u.s. economy go to the s&p 500 as your solution. so when we look at china and what represents china's economy, frankly speaking, in the past 10 years, the best companies in china, most of them are not listed in asia, so i do think we really need to incorporate what is the best in china. when you invest in china, you want to invest in the best companies in china. and then what's the criteria to combine value and growth? because it's not going to be just value or growth. so i think this is hard and it's probably not going to be successful for the first attempt, but we will keep digging and using our active fundamental analysis to try to picture what we think would be the best way to, you know, show china to the whole world. haidi: chinaamc ceo yimei li

with david ingles and rebecca sent on the tiger money podcast. you can find those on bloomberg.com. we are about 25 minutes away from the start of cash trading in australia. other markets looking to open at the top of the hour. muted positivity is how i would characterize these markets. we are getting expected inflation data, including out of the u.s., the fed's preferred gauge, and that will determine the next steps for market sentiment given how the strong data has suggested we perhaps could see rates stay on hold higher for longer at this point. kiwi stocks trading higher, .1%. sydney futures also likely seeing a positive start. the worst week for asian stocks

more broadly in a month last week so seeing improve cinema here. no trading for the memorial day weekend in the u.s., but s&p futures online of about .1% as well, annabelle. annabelle: of course, you are also coming back from the memorial day holiday if you are in the u.s. to a bit of a change coming into the markets because we have that t plus one rule taking effect. i was reading about the background and history of looking at the physical exchange of stock certificates and it moved online and now we are even getting more into that age of instant communication and financial data because now you have to just wait one day to take ownership of the stocks you purchased or receive payment for the stocks you are choosing to sell, so settlement will take one day rather than two. a question as well, are the brokers, the banks, the investors, are they already for this new world we are entering into -- are they all ready for

this new world we are entering into? haidi: this is really the impact of gamestop. you think this is a stock that is not relevant anymore but this is one of the reasons we saw this proposed change, because during the very height of the meme stock frenzy, we saw liquidity become a problem with the two day settlement and the scrambling we saw with a lot of these firms as well. the question also is how does this impact traders and investors outside of the u.s.? the halvun of the time -- the halving of the time to complete these transactions will put the u.s. out of step with the global market exchanges. they typically take two days. there are overseas institutions working out how to buy u.s. assets to secure more dollars in advance to have them in time to complete that transaction to be able to, you know, be able to get inside these new rules of t+1.

in asia in particular, that time crunch when it comes to execution of trades by the u.s. close for that new york time deadline for trade affirmation will be more of a challenge, so certainly something to watch in terms of whether we will see some wrinkling out or ironing out, i should say, of initial wrinkles. annabelle: the question is, longer-term, will he to something like -- will we move to something like t+0? but so far the sec chair, gary gensler, opposed to that sort of thinking. he think there could be some failed trades in that process. t+1 taking effect from tuesday trading in the u.s. we are also checking what's happening in commodities generally. wti pushing higher at the open. 1%, just below $79 a barrel. you have opec+ in focus. the meeting is happening

in early june. the expectation is you will see output curves extended further. also keeping an eye on iron ore. prices closer to that $120 a ton mark. we are seeing chinese property shares pull back a little bit . we are seeing iron ore. we will see how prices fare over the coming days as investors assess the credibility of those chinese property reforms. but also that focus on climate come of course. as we know, much of south and southeast asia have been sweltering under a severe heat wave, one that's caused power outages and deaths across the region. it's a problem that's aggravated by a changing climate and poor urban design. bloomberg's paul allen has more. paul: for two weeks, karachi's 15 million residents have been baking in a heat wave. temperatures in parts of

pakistan have been nudging 50 degrees celsius, 120 fahrenheit. karachi has become a giant oven. >> basically, we have turned karachi into a concrete jungle, and i think green cover of karachi is hardly 5%. paul: hospitals have been treating hundreds of patients for heatstroke, keeping them cool made more difficult by frequent power cuts as the electricity grid buckles under demand. it's a crisis that ignores borders. in neighboring india, rivers are dry, wells are running into you and farmland is parched. the only point of pumping this well is to illustrate how nothing comes out of it. a typical farmworker here earns about four dollars per day. at the moment, all they can do is helplessly watch as crops died. >> i will not allow my children to join this profession because i believe farming cannot be

enough for our monetary survival. paul: the brutal conditions are being felt in much of southeast asia as well. rice planting in thailand and vietnam usually starts in may but water shortages are stalling that and is part of a longer-term trend. >> the temperature will increase around one to two degrees celsius. rice production will drop 10% to 13%. we will export less to the world market. that will have implications through the global -- to the global food security. paul: the top four rice exporters. the parts of the world dodging this heatwave might not dodge the consequences of it. haidi: there is some good news on the horizon for india's farmers. forecast for an above normal monsoon season are boosting prospects for crops such as rice, soybeans and cotton. the rainfall from june to

september likely to be 106% of the long-term average. almost half of the indian population depends on agriculture and allied activities for their livelihood. big implications for disinflation as well. the philippines in the meantime, the first major storm of the year has been reported and that's left three people dead. a philippine newspaper said an infant and two people died. the typhoon is expected to exit philippine waters by thursday before moving towards the south of japan. still ahead, we will take a look at australia's cleantech ambitions. they think a budget can deliver for the sector. this is bloomberg. ♪

do you want to close out? should i? normally i'd hold. but... taking the gains is smart here, right? feel more confident with stock ratings from j.p. morgan analysts in the chase app. when you've got a decision to make... the answer is j.p. morgan wealth management.

haidi: australia's federal budget had a clean energy boost of $1 billion. we have been looking at the numbers. lenny, as we said, splashing the cash. you look at the numbers. does it meaningfully change the outlook? >> the government has promised to spend about 22 billion australian dollars to boost

clean energy manufacturing in the country. this is likely to be a welcome shot in the arm for the sector. if you look at clean energy technology specifically like solar modules, batteries, electric vehicles, australia produces almost none of the goods and products is currently using to reduce emissions. instead it relies on imported products, largely from china, something many countries are grappling with. we have taken a look at where these are produced throughout the supply chain. china accounts for up to 97% of components for those technologies. so australia's ambition here is twofold. one it is a green jobs and growth story, potentially offsetting the falling value of exports or carbon intensive industries, and the second is to diversify its supply chains, to

ensure the technologies it things are crucial for its future decarbonization and prosperity can be under his control and part of its economic development. haidi: shifting away from that reliance -- annabelle: shifting away from that reliance on china for clean energy manufacturing, we have seen that with other countries. how will australia be able to compete with those nations looking to do the exact same thing? leonard: it's a great question and i would say that it's very early days in the development of these policies. it encompasses a variety of tax incentives. some are designed to target the upstream production of technologies, products and goods. there's a hydrogen tax incentive as well as a tax incentive for the production and refinement of people minerals -- of critical minerals that might be used in batteries.

so my be used to foster the growth of manufacturing in australia or could form the back bone of export industries designed to assist other economies as they look to localize their own manufacturing bases, whether in the pacific or further afield in the u.s. and europe. other policies in the package are looking to target local manufacturing, particularly in solar and batteries, and here we think the government might face greater economic headwinds. significant investment, particularly in china, over recent years, means the manufacturing of certain components is oversupplied. china has the capacity to build twice as much as the world would need by 2025. this oversupply has been good news for governments and companies looking to buy low cost technology that's improving to reduce their emissions, but it might be more challenging for

a government looking to build out a nascent manufacturing sector. haidi: is there any significant that you think would change the trajectory of the decarbonization goals? leonard: there was little else. there's 150 million designed for large-scale wind and solar projects. the government was striving for a balanced budget this time around. the lack of other policies is almost as remarkable as what was in there. australia does have fairly ambitious decarbonization targets. it is looking to reduce them 43% by 2005 levels by 2030 and to get there it will need to decrease renewable generation -- need to increase renewable generation to 82% in six years. its flagship policy for that, the capacity investment scheme, was not in this year's budget. it might make an appearance in the future.

that might be a problem for future treasurers. but it does not make a feature over the next decade. the government did not put new money into the development of offer wing capacity, which has received a lot of hype and growth in australia, particularly in victoria, but lacks any long-term government support to see it flourish and come to market. most remarkable is the absence of demand-side policies that would ensure the government's ambitions to scale up the supply of manufactured clean technologies in australia can be met with localized demand. this is something will be -- something we will be keeping a close eye on in the months and years ahead. annabelle: that was leonard quong. thanks for sharing those insights. south africa's ruling party has been successful in keeping the lights on for more than 50 days as this week's election threatens to our road it's out

-- its outright majority for the first time. sarah zabasajja reports from cape town. >> south africans have been used to this, dinner by candlelight, pulling up to traffic lights that go dark due to frequent electricity cuts, prompting criticism from mining companies to retailers. last year, a power utility company could only keep the lights on for the equivalent of 82 days, but with an election on the horizon, south africans have been enjoying a rare streak of uninterrupted electricity supply. opposition parties have used the power crisis as fodder in the run-up to the poll and voters have become suspicious as to what lies behind the sudden recovery. nearly two thirds of south africans said they would consider not voting for the

ruling anc because of power cuts. perhaps it is not surprising then that the government is trumpeting this winning streak. but this has come at an environmental cost. the state has quadruple the amount it spends on diesel to run generators. still, the government insists the improvements are due to an increase in green power, including solar, through a public-private partnership. what they have not said, though, is for how long the lights will stay on after the election. haidi: more ahead on daybreak australia. this is bloomberg. ♪

annabelle: some breaking news crossing the terminal. japan is releasing its services producer prices index for april. it's coming hotter than expected, a rise of 2.8% on the year. the estimate was 2.3%. the yen not really budging but very close to that 157 mark. a lot of analysts are saying 160 is the point it could be the line in the sand. haidi, other things we are tracking, including a pretty big conference in hong kong. haidi: that's right. finance and business leaders gathering in hong kong for the

first ubs asian investment conference. david engels joins us from the conference now. what are you watching out for and what can we expect? david: yeah. well, this is an interesting one, and as you can see, i'm not sure if my backdrop is lacking, the branding of ubs, asian investment conference. if that sounds familiar it's not just because it's generic. i'm kidding. it was the flagship conference credit suisse started annually up until last year. quite literally last year, going into the 2023 iteration of this conference, following with events over the weekend that led to the takeover of credit suisse by ubs, which is now taking this forward. it is plastered all over at the four seasons. it does not feel like a banking

conference if i'm being honest. you have the usual panels and conversations around interest rates, reform, growth and opportunities, but there's also a really good sort of subplot around technology, ai, sustainability, longevity. we will be having conversations coming up. hopefully we will bring them to you. maybe if we get anything out of these news lines coming through. all the great conversations coming up in the main hall to my right. back to you. annabelle: i feel like you have given us a tease. who will you be speaking to? david: to kick things off in about -- and i think their team is hovering behind me. he is the head of ubs for the asia-pacific.

all things on the bank, where they are as far as the business goes, maybe headcount, where they are seeing flows, particularly between hong kong and singapore. last time i spoke with him was in the china conference. i think it was about 18 months or so back. so have a conversation has changed around china. ai is a key theme, as i mentioned. we are speaking with one of the cofounders as well. india will be a key feature as well. we will speak with the head of the national stock exchange. the former are b.i. governor joins us. we will have a conversation on economics, inflation and whether or not monetary policy is working with olivia blanchard. between all of that is the chief global equities strategist at ubs to talk us through where they are short-term and also longer-term, so i cannot wait for this to be over because it's a lot but we are very excited about this.

haidi: what a lineup. david ingles there. also watching some of the stocks that will be hopefully active when the trade opens in korea, japan and australia shortly. astrazeneca and the partner they are working with on an experimental drug that's been found to extend the lives of some lung cancer patients. some positive data there, could see an upside move. korea entertainment firms planning to say -- to sell shares. tech stocks with a big jump. micron reported to build a new plant in hiroshima. this is bloomberg. ♪

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>> this is daybreak asia and we are counting down to asia's major market opens. u.s. markets closed monday for memorial day. we can expect upside in the session today. haidi: it is the combination of stronger data across inflation numbers globally this week will paint a better picture of expectations from central banks on the fed in terms of if it will be higher for longer. annabelle: the big question is when will they be ready to shift away from current policy settings on something we will track closely in japan. the open for japan, south korea and australia and we are tracking a few different things this morning. 10 minutes ago we had japan release the services producer prices and we saw