>> u.s. stocks rebounded to a seven-week high as the dollar c-suite conflation and no speed up of rate hikes. >> on the economy, the malaysian prime minister is commenting a business from the government and says hedge funds role over the eb scandal. in singapore, president trump conferences summit with kim jong-un will happen there on june 12. >> all right like as hike we --

a rate hike is height -- is li kely this year after inflation. >> happy friday from sydney. i'm haidi lun and this is "bloomberg daybreak: australia ." here in newr 6 p.m. york, i am betty liu and just over the next few hours, we look at the action on wall street and how it plays into the pacific trading day. heidi, you and i were just watching the space center and watching the daca nine launch of spacex. launch andnds before it is very likely that they are going to be relaunching this in we next window on friday but are still waiting for the confirmation. it looks like the company is still investigating what is happening. of the before the launch rockets which is going to be deploying at bangladeshi -- a bangladeshi satellite. them more satellite

coverage to telecom services. a beautiful picture here at cape canaveral. in the meantime, in the market for the bulls here, the u.s. looks like with the week inflation data that the fed rate hike off on a past. the dow ended up 200 points as well as the nasdaq setting up for a higher open in asia. let's take a closer look at the rally and stocks in the week inflation data. signaling the fed won't need to step up the pace. interest rate hikes was a shot at some. >> the inflation was a big story. let's go to the bloomberg dtv's where you can find these charts. what you see is a holding pattern, the inflation stabilizing above the fed's 2% goal.

coming in much tamer than expected. cable satellite tv services, airfares, home utilities moderated inflation. it increased from april earlier. let's go right into the market snapshot. what you saw, was again, the dollar easy using -- the dollar is using a little bit. russell 2000. they rallied to a record. it is signaling that what we are seeing here is that the fed probably will not need to step up the pace of interest rate hikes. again, the dollar sank on that week inflation data. into the in focus stocks, what you see is qualcomm -- that telecom index was one of the stronger indexes as well. apple also moved higher and it cvs health, --cbs health --

health. the real story is the dollar here. it has not been overbought this much. you have to go to 2014 to find this kind of action. this will question a lot of this is awill have -- question a lot of investors will have trying to reach a conclusion on where there is an inflection point in the rally. in terms of geopolitics, these tensions threaten to steal the day, but they really saw that fade into the background, in terms of oil, how is that playing out? >> let's go into the big picture chart, we saw oil hold above 71. despite these conflicts that started out early in the day, it was offset by this view that the saudi's can make up for any loss of oil from iran. let's go into the intraday. here is a two day chart for you.

if you look in the beginning, you can see where there was a bit of a drop on concerns or conflicting stories of what this impact would have. the view is that we are going to really see, not as big of a loss , at least bigger than what is already baked in the cake in terms of $71 oriole. there are plenty of players in in theld not on shale could step in to fill any boy here. folks are realizing that maybe it is not as bullish as we had certainly thought. the overall agreement, there was a spark to the day's oil trade based on what happened with israel and iran. a bit of a dustup if you will. that is the latest on oil. the bulls continue to cautiously claim the day. haidi: sue, thank you so much for that. zealand, trading is getting underway. this is what we are seeing to

the kiwi dollar. the weakness in the kiwi has a dovish tone coming through from the fed yesterday. seeing mornings overnight when it comes to the kiwi, aussie certainly. again in focus with a strong session overnight. 1% higher at the citi open. -- is sie dollar a 7533 7533. ? let's get over to commodities and look at the situation when and it iso oil sounding a whole lot more bullish there. you'd return to 100 barrel oil. seen the level since 2014 when it comes to oil prices there. let's head over to one of our top stories this week and a new era has begun in malaysia where a second time prime minister has been sworn in in a late night breathing. you are son growing the economy

and reducing debt while adding that some terms may need to be renegotiated. let's get to one who is recording -- is reporting this. they really wanted to ensure the community that he is -- he and be business friendly the etf had a massive plunge yesterday. as much as 9.5%. his conference following his touring and so many areas andi, markets tapered off went off by about 4%. it was really looking for some indication from mahathir. he says he will be business friendly and boost growth and intending to reduce debt. those of the two big issues and when it comes to this, this is the man impact it during the asian financial crisis to stop the outlow.

he said there is no intention of doing it. there's really no issue -- they have moderate jitters but following the conference, i think concerns should be laid now. e elain now. he was meant to be sworn in yesterday, but it moved to 5 p.m. and, then 9:30 p.m. and there were concerns that the king who was meant to oversee the swearing-in ceremony may not want him to lead the government. recall, there were tensions between him and the royal during his time as prime minister. over 22 years. he put a lid on the powers of the royal family. he put measures, limiting their power and their immunity in the case in point.

there was some concern, in the end though, he is now the prime minister of malaysia. what did the new prime minister say about the economy and the direction of the economy echo -- economy? anremember, betty, this is economy that is growing at the fastest speed in five years. they are doing pretty well despite a rising rate and a starting part is already pretty strong. he intends to boost the economy and we talked yesterday about how he wants greater scrutiny for china's of vestments -- china's investments. investors should be rest assured that he is not trying to put a stop to china's investments. boosting the infrastructure, which is needed in malaysia. i think it is positive and when

we heard from the chairman of cimb, he thinks the transition of power will move. perhaps, thet, financial industry will be pretty much detached from politics. betty: thank you so much. beingda there on mahathir sworn in today. now i want to bring in dan maas who is an economic editor and was the bloomberg bureau chief during the financial crisis back in 1998 so, dan, is this pretty remarkable to see him back here? dan: this is where he thought he would never see it. it is remarkable and it is not without its irony. the person that would ultimately bring an end to the role was someone who cemented them in power. betty: it is incredible. it shows you how complicated

politics is. in other countries. does this now mean malaysia can be normal? how we need to figure out these guys are going to govern. it is not just, what are their priorities daily, you have four mahathir hasthat to deal with. he has been in power since britain and 57. the government has been the party and party is a government. how do you do this? step back and be the chairman of the cabinet or is he back to being hands-on ceo as he was during the 22 years? is the relationship between the prime minister's office in the finance ministry. when mahathir fired anwar and imposed the capital control, never again he said am i going to let the finance ministry

become an independent sanctuary of power. ever since then, he is always had the finance ministers portfolio. does that continue? what is the relationship with them? to come out of jail so he can become prime minister. when is he going to let that happen? dan, i'm going to bring her back into the conversation and she spoke with him a couple of months ago. do you sense this time it would be different? be becauset has to other things are different. about whetherlk this will work out and whether they will give power to him. remember, this is a man who is 92 years old. how many leaders in 92 years old want to really hang on to it?

he is now the oldest prime minister in the world. to dan's point, i think you will. he said he would hang around, be commissioned to cap his expertise for as long as possible. being 92, there are limitations as well. there will be power given to them. how long it will take? it depends on the process. a has to be processed by the king. processed --to be pardoned by the king. he also has to stand for a by election because the prime minister has to be elected as a member of parliament before he can be prime minister. these are circumstances we have not seen before. how soon i can happen, we do not know, but how willing mahathir will be and really wishing his power, i think i'm pretty

optimistic. dan, speaking about that, what are the tensions or contradictions here? , when he was in i'mrnment, it was basically not -- anwar. there was no question who was in charge. you have four parties here. in this government block with i'mexception of mahathir, having trouble figuring out how many of them served in government. even in the junior portfolio. how does this work out? which component of this now government block gets what portfolio? how is it all allocated? how did they determine their administrative priorities? after six decades of pent-up desire, to be in government and

how do you dismantle this ecosystem which has grown up around six decades of being ruled? the party has become the party and the party has become the hasrnment -- the party become the government and the government has become the party. this is going to be a fascinating exercise. has had enough this morning because we shoot -- because she will need energy. [over talk] dan: what's that? haslinda: to that point, he did call the opposition coalition a motley group of people. he did it knowledge he will be area and it will be a big headache for him. dan: welcome to democracy [laughter] . dan, thank you very much

in the bureau chief for our case in asian financial crisis, haslinda is covering this phenomenal outcome from the malaysian election. let's go back to one of the top stories which was this spacex founder nine launch. the bangladesh communication satellite. it is investigating the cause of why -- the backup window is on friday and the launch has been scrubbed to today. the last we heard, there is another window that opens up at about 4:15 at friday. let's go to first word news with courtney collins. >> first up, president trump ons he will meet kim jong-un june 12 in singapore. he tweeted they both tried to make it to a special moment for world peace.

singapore has security partnerships with the u.s. and north korean embassy has strong ties with china. trump may be announcing after greeting three u.s. citizens free by north korea, praising their release as a gesture by kim. israeli prime minister, benjamin netanyahu is accusing iran of crossing the red line by launching rockets against israeli positions in the occupied area. in response, the military conducted its biggest rate in syria in at least three years targeting what were iranian military targets. iran says the really claims our ally and the u.n. chief called for an end to all hostile acts. one says the bank of england is keeping the interest rate at 0.5%. an unexpected slowdown to derail the hike that investors anticipated this month.

momentum willic reassert with ongoing tightening needed to return inflation sustainability to its target. onwe are not trigger-happy interest rates because the recovery is finally started. -- starting in 2013. we are not going to raise interest rates and we are going to wait to see progress before we think about it. global news, 24 hours a day powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. haidi: still ahead, use inflation is taking a breather from its recent acceleration path and that takes the pressure off of the fed to pick up the pace. haidi: -- shift more on malaysia's and what it means for investors

after the break. this is bloomberg. ♪

betty: i'm betty liu in new york. haidi: i'm haidi lun in sydney and you are watching "bloomberg daybreak: australia." we are joined by the director of asian sales and thank you for staying around with us. days, there has been a huge spike in volatility and malaysian areas and proxy trading. is the volatility ultimately going to lead to more foreign interest in malaysian assets? >> fix for having me, haidi. we are in real-time news and it is great fun but i think we should separate the electorate and rhetoric from reality. after the election, he is toning down the rhetoric from what he

was saying in the campaign. i do not think the markets will react as negatively as the people have been noting over the last few days. i think it will be a much kolmar situation. he has already moved past foreign investors. and malaysia already had a setback almost two years ago. orre is a setback year, five 7%, i think that will be a good thing for the market. i think we should look beyond the rhetoric of it the election is over. he is going to try to come back. summoning and the pete -- area that thehe u.s. is not used to. haidi: we bring up a quick chart to show the direction of the that.g following

are you expecting him to take back some of the campaign promises with the economy and reintroducing subsidies and scrapping the gsp. it is those issues that say these moves will be credited negative for malaysia and physically responsible. >> with respect to the agencies, they have been saying every market in asia is overspending for 25 years. while asia has become one third of the global economy. i do not think we should spend too much time reading these kind of things. ist we need to focus on possibly am going through the sales tax production and adding percent to the deficit. look at malaysia's this will position. it's one of the highest -- fiscal position. even if there is a downgrade, it

is usually a good signature for buying bonds. said: however, mahathir there is no reason to devalue it and they are going to create a more business friendly environment. first off, do you believe him when he says there is no value to the ringgit? >> the ringgit is a very strong currency and there is no reason to evaluate. i think it is important for the country to have a transition. you would think the volatility would be so high that you would expect it to be out of power after such a corruption scandal. i think people would assume that it would happen in malaysia because it has been around for so long. you could say the new transition to power is also the incumbents coming in a different form. it is unfamiliar to power and they are not unfamiliar to managing it. yes, there will be compromises and that is part of politics. i think the ringgit is still a

strong currency and i think it , and that is positive for exports. i don't think they were repositioned their relationship with china. it is a growing part of their economy and they have a lot of, chinese population that would be unhappy if they take largest steps. that allt quite sure of this will lead to anything negative. if the markets drop, i think it is a good thing for investors to give them an opportunity. betty: it is a by opportunity -- buy opportunity. stay with us and we will have more on the markets. we have a date now. president trump will meet kim jong-un in singapore under 12. the president made the announcement after -- in june 12th. let's bring you a bloomberg editor in washington.

joe, we know more now. the dates, the place is set. what can we expect from the thoughts? >> we are still in the era of expecting the unexpected. the president is upending decades of the diplomatic practice for the sorts of things where, in the past, it would be weeks or months of discussion among lower-level officials to hammer out the details of the leaders coming in and the end to sweep things up and assign it. in this case, kim and a will be going it in the beginning. there has been a little pre-work done, but they are going in and it will be, at this point it looks like, one day to be taught talking to each other. the u.s. has said more of what it will not be rather than what it will be. saying the u.s.

is not interested in giving some sort of incremental sanctions relief to the koreans. they want to make the koreans make the first move. haidi: what is the u.s. want? >> broadly, the main goal is for north korea to give up it's nuclear weapons but there is a long way to there. that would require inspections and an opening to the rest of the world that north korea has been a middle did -- has been unbeatable to this and there would be worked going forward. there is a request and here on whether the north koreans would require some sort of -- or demand of some sort of think in relief for that or how far they thed have to go before that u.s. would act to give sanctions release. haidi: joe, thank you very much.

our editor there for us. around of of the top stories you need to know. our addition of daybreak is getting your friday started. this is bloomberg. ♪

haidi: it's a 30 a.m. here in a.m. here in0 sunday. the u.s. stocks are the highest in weeks. that is pretty good going into the asian opening. i'm haidi lun and sydney. betty: and i'm betty liu in new york. you're watching "bloomberg daybreak: australia." let's get to the first word news with courtney collins. the malaysian prime minister has been sworn in promising to lead a business friendly administration. the 92-year-old says his focus will be on growing the economy and reducing debt and there is no case for devaluing the ringgit.

he also said much of the money missing from 1mdb can be recovered and those responsible must be punished. [indiscernible] [laughter] [cheering] [indiscernible] courtney: a dam bursting kenya and killed at least 44 people with dozens more missing. water is rushing from the dam and swept away hundreds of nearby homes. kenyan authorities say the flooding is just the start of the rainy season in march and andkilled 170 people displaced more than 220,000. almost three quarters of the 47 countries have been affected. a 100 for your old australian

scientist died after traveling to switzerland for an assisted suicide. david did not have a terminal illness but said his quality of life had worsened over the past year. he was happy to end it. euthanasia is illegal and australia but the state of victoria allows it for terminally ill patients next year. goldman sachs sue the pace of wage growth is lower than previous decades because productivity has been weaker. a cheap economist told bloomberg that the speed limit for hourly wage growth used to be around 4% but is now around three. -- 3%. he said the risk for recession is low. >> i don't think we are at the end of it the expansion. risk of recession is pretty low. on the demand side, we are having a good boost from policy in particular and we think that probably contributes three quarters of a percentage point. on the supply side, we are

moving into a shortage environment, i don't think we are far beyond full employment. courtney: global news 24 hours a tick tock and twitter, i'm courtney collins and this is bloomberg. thank you so much. a quick update on markets as we get into the trading session. new zealand continues to react to the decision which was a than expectedvish and wait on the kiwi dollar. the u.s. dollar is weakening the most since march 21 after the week inflation rating suggesting the fed is putting no pressure to pick up the pace on tightening. sydney futures is up about a quarter of 1%. the aussie dollar is versus the u.s. and expected to come under more pressure under this wasting

10 year yield gap between the aussie.the elsewhere, we are seeing the yen current rate. sterling is a little bit weaker with a mixed message from the bank of england. are fastectations disappearing. the 10 year yield is slipping below the 3% level. a s&p 500 climbed to a seven-week high. a sigh of relief if you will that inflation isn't picking up the pace that fast yet. betty? policy pass for central banks are diverging because there is one key driver, inflation. here with as is roundup of a busy 24 hours with central bank. it looks like, kathleen, they are not cooperating with some of the trading cycles. >> not for developed countries.

industrial companies like to call the u.s. and the u.k. with a set of reserve with the bank of england are facing an interesting situation. they wait for more inflation to justify more rate hikes. starting with united states, consumer prices was the two most important gauges that the fed looks at was held down in the late this month. things, carunch of prices, cable tv, airfares, and more. taking a look at the chart here. the headline in the turquoise, it jumped to 2.5% year-over-year but oil prices have been rising. the white line is the core cpi taking out 2.1% for the second month in a row. or now, acceleration could lead to acceleration on the gauge seems to be stalling. will this cause reinforce the baseline cases for the dow 43 rate hikes in 2018

rather than four. interesting, we had a strong 30 year bond option, good demand, the price of the new 30 year continues to rally after the auction. that is a very good sign. people figured, investors don't see a big worry about inflation. chart, whichother of the flattening yield curve down just under 28-based points. been that low until just before we went into the great recession back in 2007. let's move onto the bank of england, quickly, because we saw the power tumble, u.k. bond is rallying because the boe decided to not hike its key rate. mark,nk of england said the slowdown in the quarter may be due to weather or something but inflation has come off of its peak. it did not back out of the 2% peak. gdp is on the weak side.

major centraler bank waiting for inflation and the economy to cooperate in hike rates this year. in asia, we saw the medic circumstances on both the central banks for the philippines making headlines as well as they met overnight. both of them have something in common. inflation is the driver. the election in malaysia was a very dramatic factor as well. let's start with bsp. the central bank because they hiked their key rates. they also signaled they are ready to take more action on rate hikes if they need to. if inflation keeps rising. let's take a look at another dtv chart because this is what you theseeing, inflation is turquoise line and it is up to 4.5%. well above the 4% inflation band there it they did raise their

key rate and the question is, are they going to have to raise it more? after the meeting, the deputy governor of the bsp said they are watching oil prices, very dependent on imported oils in the philippines and that could lose inflation. that is what could happen for them. moving on to bank negara, they held their key rate at three and a quarter percent -- 3.25%. fundamentals are strongly angered. the outlook remains positive, the financial sector is strong, and monetary conditions are supportive of economic growth in the postelection environment. another thing to consider is this is not just wanting to provide stability, bank negara has hiked the key rate in january, inflation has tumbled and is now at the low end of the range of not a little bit lower than that. bloomberg economics is pointing out as many has, that the new prime minister has a progrowth policy by getting rid of the goods and services and it could

boost their deficit. this is a fitting that could continue to deter inflation -- the slowdown and could lead to a rate hike in the future. all kinds of reasons for the bank to be steady, haidi. lots of uncertainty the. kathleen, thank you for that. we will be watching as australia gets underway on friday. the deputy bureau chief is here with us. is an extraordinary result that we have seen a malaysia, this 92-year-old, the world's oldest leader, for a second go for a different party. in terms of the headlines, what are the implications for this? we saw a knee-jerk reaction. >> good morning, haidi. absolutely. certainly knee-jerk reaction. if we could take a look at this chart, it is illustrative of this uncertainty. 5529 which shows

us the offshore malaysian markets suggests that when the onshore market opens we are going to see a drop in the 4% ass, three percent or they -- 3% or 4% as they react to the malaysian election. the potential volatility could cause it but there seems to be a and they on the ground wariness of investors on what it might likely bring. the key question is, people have long memories and they will remember he was the guy who slapped a peg on the currency in the wake of the financial press --crisis and a whole bunch of more market he is friendly. he is talking positively about boosting growth as kathleen was mentioning to keep the economy

humming nicely. on the other hand of the coin, with bloomberg in an interview, he would say he would not hesitate to bring back a currency peg if currency manipulators got the clause into it once again. there's a lot of concerns that remain to be seen on what he brings to the table. betty: james, certainly a lot of questions there. our bloomberg deputy city be -- sydney chief there. out dtv'set to check library for some of the chart you have been saying. it is on dtv on the bloomberg terminal. let's talk about the emerging markets and we are joined again by the director of asian sales. stay with us. this is bloomberg. ♪

haidi: i'm haidi lun in sydney. betty: i'm betty liu in new york and you're watching "bloomberg daybreak: australia."

let's bring the director of asian sales and you just heard on kathleen earlier talk about inflation data, right? we thought we were seeing the whites of the eyes of inflation here in some of the markets and the thought -- that is not the case in the u.s.. you saw the dollar fall quickly on that. how is that affecting your outlook for the dollar and ultimately, the effect on asian markets? >> i think there are two aspects there. one is we are in a tightening monetary cycle for the dollar. we are also in a somewhat tightening fiscal cycle because at this point, we have not seen the effects of spending coming through in the economy but we are seeing the effects of and theirists policies. generally, i think that is tighter for the economy. when you get the both of those effects, most of the markets in the market space will have to

grow their own trading blocs. ago,u look back 10 years china and their circle with developing asia was much smaller. today, if you look at china's are plus, almost 60% of u.s. imports. that's region is becoming a bigger unifying area. i don't think u.s. marketing policies standalone. i don't think they will have as big of an impact on currency as it did before. there are some markets that are likely to happen. like in asia, india, the philippines, because we are getting the double headwind of higher oil prices. as an overall space, if you look back, five years, we have much stronger leadership, with the exception of brazil, we have a lot of clarity. you can see malaysia as we were talking, that there is a lot of

shift in leadership. it is a more fiscally responsible leadership. i do not think it will be as impacted as it has been in the past. perhaps, we won't see, as big of a crisis, but does that limit their upside? nikhil: i don't think so. is moving moreld toward a china centric model and building more so in asia than anywhere else. if you look at the largest rate part of any asian country today. it is not the u.s., it is china. have is, for the last 20 years, china exporting producer place -- price, inflation, and china is deflating capital costs across asia. all of the investments in infrastructure projects across the belt all the way to eastern europe, they're going to deflate the cost of capital and also

essentially create a cycle in those markets as a result. i feel, i am pretty certain, looking back, that the u.s., will unfortunately be moving to a --and what the u.s. does will not impact as much. you can look at india as a classic example. as you go to stricter immigration policy you are also a tradeotentially surplus for a country like india declining with the u.s. which is a services oriented surplus not a capital goods surplus. when economies like that are willing to lose their surpluses, they will have to go to the common market in asia. i would tend to think it is lesser of an important discussion point in the next 10 years than it has been over the last 20. haidi: i want to interrupt the at for the bigger picture.

we go back to the tantrum and 2013. we had the selloff that was pretty steep and we had that's bid there after the u.s. election and where we are here now. not quite as extreme as the previous two. i think a lot of people were saying that this time is different. which economies would you be staying oil from in terms of the fundamentals not changing and when you add in the oil story, i'm thinking the likes of indonesia and india being more fragile than some of the other economies in asia better positioned to withstand the fed tightening. i agree. as you mentioned, indonesia and india are the most honorable. at the last election cycle, sentiments were poor. five years later, you can see sentiment is different in india.

they may be forced to reverse course quickly both in indonesia and india. i think they will underperform youin that basket and should probably look at things in south africa and turkey where sentiment is extremely negative and you are getting very high rate spreads for the markets. which should totally -- hopefully decline. haidi: this is really what happens to the u.s. dollar, i want to throw out the quick chart i our calculations, as of this week, the dollar is 29rboard against 72% against countries. are we at peak dollar recovery at the moment? arguably the fundamentals have not changed. does that take the pressure off of the outflows and the in space? nikhil: unfortunately i think the dollar will continue in that direction. looking at these charts, they are built on a decade of very

low interest rates and a relatively easy fiscal policy. we're going into a potentially --potentially a decade of fiscal policy and restrictions, and things that are more sort of going to put pressure on the domestic economy. i think the dollar will still remain pretty good over the next few years. it is hard to do see. what i'm trying to say is it is not as important because most of the countries have larger relationships with china than the u.s.. the deficit they run will probably get made up because of the surpluses they will run with china on the capital account. those are the larger relationships to watch rather than u.s. dollar central relationships. it better to watch the asian dollar next which is not as index yous the dollar probably track when you look at these things.

betty: before we go, i want to ask you about north korea. we now have the date and place for president trump and the korean leader to meet. from an investment point of view, is this encouraging? does it change your outlook at all in terms of the asian market >? nikhil: i think it is positive for korea. they are seeing two major tail ends, one is the reform of the traditional, large businesses in the country where a lot of cross holding is. japan has the same extent by korea is seeing a shift with a --ger and you have a potential reunification story which could be starting a major capping cycle for south korean companies and even chinese companies. it could be very interesting. it just depends. a are two interesting personalities meeting. we do not know which way the cookie crumbles in the end, but i think it is positive

longer-term because korea trades at a 30% discount to emerging markets. even the hint of a reasonable earnings can rerate the market quite spectacularly. betty: it has been hard to get over the discounting korea. thank you so much, nik. watch us live and see our past interviews on our interactive gtv function in you can dive into and in the bloomberg -- dive into any of the bloomberg areas. this is for bloomberg subscribers only. this is bloomberg. ♪

betty: i'm betty liu in new york. lun in sydney,i you are watching "bloomberg daybreak: australia." acquaint -- a quick check on the bloomberg sources say

a committee representing holders including goldman sachs and others will accept an immediate cash payout to $.20 of the dollar -- $.20 to the dollar. it could bring an end to the leader -- the battle in the finance industry. a former trader is the latest to be accused and a global crackdown in currency manipulation. he was charged in new york with the rigging of an african, european, and middle eastern currency. from october 20 --h haidi: that is just about it for "bloomberg daybreak: australia" this morning. ivanka of betty takeover "bloomberg daybreak: asia." yvonne, happy friday. >> happy friday. we will be talking about the

u.s. inflation numbers coming out last night and showed inflation is still pretty benign in the u.s.. what a difference the week makes . we are still worried about this a runaway inflation a couple of weeks ago. we break that down with daniel murray, head of the research area. he says this might take the pressure off the fed this year and this is really what we are which isr the yields repricing then what we have been seeing from the fed. the headline inflation was pretty much sideways and we want to bring down the boe decision. daniel is saying between a rock and a hard place at the moment. haidi absolutely w are also going to be tal >> >> -- he is reducing some of his exposure to malaysia. he also sees a five or 10% -- 5%

or 10% dollar rally from here. we saw the weakness in the greenback after that tepid inflation data. and we were talking about gaming casinos in the anticipation is japan lays -- we did get the passing of the headline bill to allow gaming in the country. we spoke to the president of international development and speaking to us on the parliamentary session running through june 20 and it isn't going to be enough time for the implementation bill to the nuts and bolts and details when it comes to what these results can look like. the regulations, and we are talking about the challenges on building integrated results in japan. of course, the opportunities on the business side as well. they'll be afforded her kustra you. all the action -- that'll be it for "bloomberg daybreak: australia" they're fully supported by the

gains in u.s. stocks and u.s. stocks are seeing a seven-week high with tepid inflation reading. soothing investors. this is bloomberg. ♪

yvonne: i am yvonne man, welcome to "daybreak asia." top stories this friday, positive after wall street's rally to a seven-week high. see you in singapore, president trump confirms the summit with kim jong-un will happen in the lion city on june 12. in newi am betty liu york, after 7:00 p.m. thursday. focus on the economy, mahathir mohamad promising a business-friendly malaysian government. many heads roll after the 1mdb scan