♪ haidi: silicon valley in the themight, congress grilled on foreign interference. yvonne: raising the cost of [indiscernible] to multiyear highs. haidi: president trump that he completed a trade deal with south korea, but canada is still talking and china is bracing for more. >> it seems there is a place to hunker down. a look at the apocalypse in new zealand. haidi: hello from sydney where

it is passed in :00 a.m. -- 8:00 a.m. york.is past 6:00 in new i am kathleen hays. we are looking at how the action on wall street will play into the asia-pacific trading day. when you consider the u.s. stock market, tech heavyweights testified on capitol hill with one noticeably absent. the emerging market realm continuing. i think this day could have been much worse. we had the dow jones marginally higher at the close, s&p 500 down .25. the nasdaq was hit the hardest, a loss of 1.2%. haidi: the emerging market story continues to threaten to be contagious across the rest of asia. we have stocks a whisper away from falling into a bear market. take a look at the set up in asia for the thursday session as trading gets underway in new

zealand. we are seeing downside when it comes to the kiwi market, pretty close to the all-time high. the 65.89 kiwi dollar. sydney also looking pretty pessimistic as we get into the open. we have australian trade data, coming on the back of gdp numbers, the fastest clip of economic growth in six years. that did drive a recovery for the aussie, coming up 20 month lows. 71.93, failing to consolidate above $.72 u.s. let's get to jenna daggett heart. jenna: the u.s. trade deficit widened in july. a trade gap with china hit a record as the two sides indulged in tit-for-tat tariffs. 9.5%, $50 million, the biggest since february. exports fell 1%, given steep declines in the shipment of aircraft and soybeans.

imports rose in a broad-based in. canada says talks in washington remain instructive and both sides are expected to offer new ideas. christian freeland has daily meetings with their counterpart robert lighthizer. they say a deal will happen with or without canada. the president also says a trade to with south korea has been completed and will be signed in the coming weeks. mr. trump: we will let you know about canada. a lot of people say how are you doing. we will let you know, maybe even today. jenna: the pressure on emerging markets has sent the iranian riyal to its lowest on record. it is trading at 150,000 to the dollar. it has lost a quarter of its value since saturday, many fx turning off this as a cell. the collapse has been fanned by president trump's decision to abandon the 2015 nuclear deal.

sterling jumped on reports the u.k. and germany dropped he brexit demands to ease the way .o next year's split germany is ready to accept a less detailed agreement on future ties to the e.u., and the u.k. is willing to settle for a more vague statement on content. there was a no deal brexit which drove sterling to the lowest last month. one of japan's busiest airports remains closed indefinitely after being flooded by a typhoon. the osaka airport faces widespread damage with the most powerful storm to hit japan in 25 years. it killed 11 people and cut power to a half-million homes. the airport was further isolated by winds that drove a tanker through the soul bridge to the mainland. -- sole bridge to the mainland. global news 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries.

i am jenna daggett heart. this is bloomberg. kathleen: silicon valley has taken center stage. and jack dorsey were grilled by lawmakers over privacy, fake news and interference. twitter shares closed lower 6% and facebook also after dorsey conceded the company was not prepared. -- we arehow the proud of the free and open exchange that has been used to distract and divide people and our nation. we found ourselves unprepared and ill-equipped for the immensity of the problems we have acknowledged. kathleen: joining us now, blue -- bloomberg anchor emily chang. it was critical of jack dorsey for not being published. it is frightening to appear before congress. what else did we hear? contrite.sey was very what is striking about his testimony is he said we are still not prepared.

resourcesave the compared to facebook. he also talked about the way the company was designed, the product built 12 years ago may not be the way they want twitter to operate today, and investors don't know how to interpret that. his frankness was perhaps refreshing for some, who are so used to these scripted statements from the tech leaders. sheryl sandberg was contrite but talked a lot about what facebook has done about this, what they are planning. take a listen. behaviorg inauthentic is a challenge, and you're seeing is put real resources to bear. we are investing in people and technology. ins is why we are investing programs like verification. the other step is around transparency. that said, we did not hear a lot about what was new.

we are hearing both of them rehash a lot of what was said over the last week and month. if anything lawmakers were better prepared, sandberg and dorsey were better prepared, but no real surprises today. pressed onakers also the issue of china as well. what did sandberg have to say? emily: interesting craven google it -- even google is exploring going back into china despite criticism. we heard lawmakers try to press sandberg and dorsey on whether they would try to enter china as well. they pressed them whether they are an american company or simply global companies try to take money. take a listen to this exchange. >> we would only operate in a country where we can do so in keeping with our values. >> that would apply to china as well? >> that would.

emily: sandberg in the same breath talked about how it is facebook's mission to connect the world, and they cannot without connecting china. they do have an office in beijing, sell ads in china. people get on via vpn. interesting to get her on the record about facebook's intention to get back in, especially given google is trying to get back into the country and was not there to answer questions. as you said, the notable absence of google, what was the reason why they did not show up? emily: lawmakers wanted the google ceo, also the ceo larry page to show up, then it was the google ceo's and archetype. sundar to archetype -- pichai. they did submit written remarks.

lawmakers said that is not what we wanted to hear from. congressmen and took every opportunity to reiterate how happy -- unhappy they were that google did not show up. take a listen to this. >> i am deeply disappointed at google, one of the most influential digital platforms in the world, chose not to send its own top board leadership. i know our members have a series of difficult questions about structural or abilities -- structural full mobility -- vulnerability. emily: talked about how google is arrogant, used the word arrogant for not showing up today. very interesting decision by google not to show up or answer questions at this difficult time, but perhaps they thought it was a lose lose situation. think you so much for

that, our tech anchor coming to us from san francisco. that selloff at the things leading the -- think stocks beating the declines -- faang stocks leading the declines. reporter: it seemed to move the market in a risk off matter. you can see a lot of red on the screen. indexs the tech heavy within the nasdaq, which was .13.even more, down you also see crude oil continuing to decline in extended trading, the lowest in three weeks in this latest session. let's take a look at the tech stocks. you saw some in emily's presentation. it is the size of the drops that are significant. netflix and twitter down in particular, facebook cut its earlier loss. amazon also taking a loss.

in the bloomberg gtv, you see social anxiety on this chart. this is the social media etf flow, and it is negative. the net flow is negative for the year, particularly over here on the right hand side. look at the other stocks, the size of the drop, we go into stocks, youel of can see this. halliburton was down the only because of oil but they reported the drillers and she'll stocks from the third quarter going to be a slow down. we also see square and spot a fine down, any kind of -- spotify down. the department of justice is said to be near approving the express script. this is a benefit company, one of a series of proposed mergers in that sector. kathleen: we look back on

august, you see the calmest markets in ages. but some say don't get too comfortable. su: there is a view that because 1957d the comments since -- let's go into the bloomberg. volatility warnings is what this is called many thought august would be rough. it never varied more than .8% one way or the other let's go to the vix. we had a long time at the far right-hand side. it is starting to pick up, a lot of strategists saying don't get too comfortable because it could be particularly choppy waters for all asset classes. kathleen: a lot of choppy water recently. still ahead, the latest entree tensions. nafta talks resume with canada

expressing optimism and president trump hinting at a name change. market rollserging on. we discuss risks in the developed economies with a person from soldier brother's management. this is bloomberg. ♪ his is bloomberg. ♪

kathleen: counting down to the citi open, there is that beautiful sydney opera house, waiting to see how it carries .ver small losses in the nasdaq after the tech heavyweights testified on capitol hill. you can see .4% ahead of the open. i am kathleen hays. haidi: i am haidi strode what's. -- heidi stroud wants. wasing back some of what growing with the market equities and currencies. how much worse could it get?

we have someone from an asset management company. we pointed out the idiosyncratic elements of each of these ,tories, turkey, south africa argentina, but is it the point in terms of sentiment we will see acceleration of the contagion effect? exactly. exactly. contagion is a normal reaction. it started in turkey, argentina and parts of south africa. we know exposure is quite broad and diverse unlike the dm markets, but having said all of that, this is a dollar strength issue that began at the beginning of the year or like last year. it got issues and different balances, and when the sentiment ways so negatively as it has on the moment at contagion spreads, which will get worse, people start getting back and looking

at reasonable economies, current account imbalances. the u.s. dollar strength is not helping. the valuations are very compelling, but they will become more compelling as it spreads further in the route. haidi: i want to throw up this chart talking about punishing all of the pms at the moment -- the em's at the moment. this is the discount between asian stocks and a year -- the deeper you since 2002. looking at basically, shopping around in asia, paying less than for from what you would pay the s&p. if you are a value investor, this is a good time for you. exactly. em reinforce, the discount dm-

is quite severe and compelling. you can enter now. it will not repair itself anytime soon with contagion. if the by earnings going forward and the developed market, and remember, good emerging markets have been impacted because they are generally more liquid. if there is something happening in turkey were argentina, they are small parts of the em. people will take the highly liquid ones and exit those as well. having said that, that discount is quite compelling. it should be thought about. it is too early though. you have got risk budget on occasion. you are not there for a of three or five years. it is compelling to start now. it will not go away anytime soon. they tend to spread and worsen, but it is very compelling valuation, so i think it is

becoming more compelling going forward in the next month or two. kathleen: the cheaper it gets, the more compelling. i want your view on how the federal reserve has played into this and how it will play into this because it seems you can trace some of the early crumpling in emerging markets to the fed hiking rates and the dollar getting stronger. but look at a chart that says the market, emerging markets can survive that rate hike. here is coming out of the crisis and the rates going higher. now we can look at the emerging market stocks, and we can see at the far right-hand of this chart , the more the fed hikes, the more they have come down for the currency index that more recently seems to have made quite a difference. will this continue? george: it will. that is where it is a surprise. jackson hole reinforced the federal reserve forever will be independent and will raise hikes accordingly in a consistent

manner based on economic activity. if we get a surprise to that -- it is not a core view that they don't raise rates or discount the raising rates in december, that would give emerging markets an enormous of relief, but the federal reserve is doing what it should, and it is very well communicated, measured rate hikes on the back of activity. trade wars, trade tariffs are taking away future growth. we know u.s. consumers will pay more and product at tivoli -- product activity will be way off. it is working to the vantage of the federal reserve. they won't have to raise those rates as high. how does china factor in this? it is the second biggest economy in the world. whatever happens in china will have a big influence on everyone else. what is their next step? how do you factor in possible

reactions they may take to your outlook for emerging markets? george: point taken, second-largest economy, that needs to be scrubbed out that it isn't really an em market. china has 12 or 15 different types of markets. they have trade imbalances in their favor, so they are working through the long game, and that is what their economy is about. it is what the pboc and beijing is about. in australia we have high correlation to australia economic activity, chinese for obvious reasons. the capital market that we your in for his very slow. is veryarn for slow. china needs to make sure the reserves are in tact and domestic growth, china can deal with the growth imbalances in their own economy. they know the trade balance is

in their favor, it will be kowtowed, and they are doing what they can, and they will come out of this ok. australia will link to that as well. haidi: your top three risks overall have to do with china, but listening to you, you sound confident beijing has a good grip on how to handle this even as we get days away from that extra tariff on $200 billion of goods. george: i would not say confident. , it is the view synchronization of growth next year. the core view is to get away earningselation of from the australia-chinese link, and to go nonlisted assets. that is working in our favor, trimming the markets. having said that, beijing, what they are trying to do is to do

the best they can. no one can control markets, no one has that power. capital market has not slowed down. we would like to see it accelerate, but it will not come anytime soon. they announced trade wars, and so the u.s. will be the short-term winner out of that, and then going forward it is global growth and synchronization is the thematic because of these trade wars at the end of next year. kathleen: as you put money in your pocket, then you wait to pounce, who is on your radar screen? which currency socks are getting most attractive? it will be the em but early next year as this continues. that is the short-term trade. kathleen: no country? george: we like indonesia, southeast asia and south america except argentina.

kathleen: all right, thank you very much. bloomberg users can interact with the charts shown using gtv , browse recent charts featured on bloomberg television to catch up on key analysis and save charts for future reference. this is bloomberg. ♪ s is bloomberg. ♪

i am heidi stroud walked in sydney. kathleen: i am kathleen hays. let's get a look at the business flash headlines. humor can express -- american express slumped after reports the fbi is investigating practices. the wall street journal said the inquiry began last month, looking at if customers were misled as amex tried to handle international payments. the fbi confirmed -- did not confirm or deny this. to winrework has failed

space. talks stumbled when the organization received better offers from media and tech companies in the space they wanted. sources say that took the environment -- took them by surprise, and they will continue renting in the iconic building. kathleen: ford has stopped writing national as for the fusion and focus and more marketing muscle behind the mustang in sudan. that is paying off. the sports car saw sales jump 35%. they will offer more variants of this, including a special edition of the 50th anniversary of the steve mcqueen movie. haidi: we will look at the open, and later on on bloomberg markets asia, highlights from our conference taking place in singapore. that includes exclusive conversations with the capital murder -- managing partners, one

of the most powerful women in tech today and looking at the banking sector. we are joined by someone there. this is bloomberg. ♪ this is bloomberg. ♪ xfinity mobile is a new wireless network

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, markets30 in sydney open for trading, looking like shaving down going into the open in 90 minutes. all the stocks looking -- ozzy stocks looking -- aussie stocks looking down. stocks in the emerging markets space inching closer to a bear market and the trade situation still not a deal to be seen when it comes to mexico and canada with the implementation of more tariffs on chinese goods as well. kathleen: it is 6:30 in new york are you are watching daybreak australia. we want to get right to first word is with jenna. jenna: investor optimism over

u.s. stocks continued to rise, but so did wall street warnings. goldman sachs has joined citigroup in flagging the possibility of another pullback, theting -- deciding tightening labor market. the indicator is at alarming highs. the s&p 500 has risen 19% annually for nine years. about deaths in developing nations is flagging multiyear highs. brazil, argentina, turkey and south africa are in trouble. the portability over the next five years closed at 41%. 31%.ys default rose to that is the highest since 2008. 90'sirthplace of the late asian financial crisis has emerged. it outperformed every developing nation currency in the past

month. thailand's current account and foreign exchange reserves, as well as the low level of overseas ownership, have questioned any impacts. jack dorsey has been grilled by congress and what republicans called the shadow banning of conservative voices. he insisted it is dangerous to regulate opinions on twitter, having them be judged by impartiality and criticized if -- fails on on that that. president trump and others say social media is highest right-wing opinions. -- biased among right-wing opinions. >> we don't consider political viewpoints, perspectives or party affiliations in our policies or enforcement decisions. partiality is our guiding principle. jenna: global news 24 hours a day, on air and at tictoc on twitter, powered by more than

2700 journalists and analysts in more than 120 countries. dagenhart. back to you. haidi: let's get you a quick update on the markets in terms of the setup for the asian market, pretty pessimistic with declines from wall street, concerns over tech. emerging markets, the volatility still continuing to cast shadows. this is what we are watching in terms of the open. trading in new zealand getting underway. the kiwi dollar at 65.89. we are seeing a downward facing open into the sydney open. the aussie dollar, the back of the 21 month high, the fastest gdp growth in six years but could not hold onto the $.72 u.s. level. morning,ollar-yen this 111.50, and sterling with a whip sought session with trading.

germany and the u.k. have had discussions that could lead to a deal with the e.u., and then another completing report saying stocks had not changed, ending with the sterling paring gains. looking at the u.s. market sessions, the s&p 500 down .3%. this is from the testimonies on capitol hill continuing. let's get more of what we are watching with trading getting way under asia. stabilized near the ones worst to have our equities. we are close to bear market territory. isorter: the question whether that is the last leg of the contagion or it is simply a that leg, and first of all makes what happens with the u.s. dollar today very key. there were signs of a bit of civilization in the lira and the the gvernight, and then

10 space turned against the dollar. there was a rally in the pound and the euro. those are two of the biggest currencies out there, so when they turn around, that shows the losses. if the dollar gets some fresh wind today, then we will really area nasty session, but we already in strange territory. if you have a chart that shows briefly how china, the gain is going to be key. the chinese market could not make a balance yesterday afternoon. you can see the way it has been a bad year for asian stocks in general, but china is really the one that led the way down. you can see it is looking towards making a fresh low yet again, so i think the chinese market is going to be central today. kathleen: the trend is your friend. you will sell emerging-market currencies until you cannot.

what will turn it around? garfield: i think it will be difficult to see a turnaround today because we have got the trade, the tariffs question hanging over us, but just quietly in the background, the potential for turnaround is building if you look at the second chart we have got ready for you today, which is also from the gtv library. and that shows how the current shares ateen asian the lowest since 2002, relative to u.s. shares based on the share price versus book value, the actual worth of the company. not talking earnings, just talking about what the companies' underlying assets are deemed to be worth. that is stunningly low, and that signals that there has to be some bargains out there. people are looking over where they would like to go in. they need to pick their moment. if we do get some good news or

even some bad news on trade, we can price it in. the floor is eventually there for a big bounce. bigleen: it could bounce time. thank you so much. as for you, don't forget to check out our gtv library for some of the charts you just saw. that is gtv on the terminal. from rising prices to slowing growth, we will ask if president trump's trade war could backfire on the u.s.. this is bloomberg. ♪ this is bloomberg. ♪

kathleen: i am kathleen hays in new york. haidi: you are watching daybreak australia. president trump says his administration has finished negotiating a new trade deal with south korea that might be signed at the united nations general assembly later this

month. as trade talksme with canada continue. our correspondent tom mckenzie joins us from beijing. inching closer to the potential implementation of $200 billion worth of chinese goods. tom: the sense you get from washington is they want to wrap up these whether it is nafta or south korea so they can focus on china. the deal with south korea started the conversations in march between the koreans and the americans, and now they are point where they will sign off. they said they would only do this if trump removes his threat to slap tariffs on korean exports and cars into the u.s. market, so that is one thing. this is a simple deal according to analysts and trade experts. you are talking about an increase for american automakers , 50,000 additional cars into the korean market.

aslly it is described something of a cosmetic change. no such deal is available for the u.s. and china. as you pointed to, we are about to get to a stage very likely where this trade war between washington and beijing will exacerbate to quite some serious degree to $200 billion of tariffs. potentially taking in as early as midday tomorrow beijing time, and china has said it would retaliate with its own tariffs on $60 billion worth of u.s. goods, so you are getting to a total of $250 billion, about $110 billion worth of u.s. goods that to the chinese market. easily two thirds of the u.s. goods sent to china. this is a serious escalation that potentially will take off tomorrow. there are inflation impacts in the u.s. people are looking at, giving it is targeting consumer goods like for -- furniture or

cutlery. are slowly more niche and going to affect the corporate sector more significantly. the feeling in china is the policy makers and businesses are digging in for a long, drawnout fight. there is no sense from chinese officials they are about to back down if these additional tariffs go into place. kathleen: it is a mighty game of chicken. thank you to tom mckenzie. now the columbia university professor of economics. we welcome you. i'm sure it is a busy time for in because you specialize trade. i want to start with this chart because it is simple, showing chinese exports to the u.s. and imports. you can see the green line has been going pretty steady, higher over the last few years. billion.

you can see imports are barely a third if you compare the size of these two lines. the point is people say china is the bigger loser potentially. they are more dependent on this relationship in the u.s. sharon: that is true. there is the immediate effect of the tariffs will be much larger on china's economy. moreover, it is dominated by the export market and growth has been with dominant strategy. unlike the u.s. where you have two thirds of the economy in the consumer market, that is not the case in china, so it is a , aferent type of economy mirror image. the immediate effect and intermediate effect will be much more pronounced on china. in the long-term however i think the united states' long-term growth will be impacted. kathleen: explain.

sharon: you will have a lot of alternatives going on. there will be a significant drag on the economy we are seeing. there is a real fear that the types of returns we are seeing in the corporate sector will be hit. we are seeing consumer pricing increasing. that is worrying about the roles of inflation and pressure going there. you can see the federal reserve increasing or accelerating the rates. also there is concerns you will have retaliation going on with our trade partners, and the growing concern the wto is going to start seeking retaliatory actions, but the complaints continue to happen, and that will be putting additional pressure on the united states to sort of comply with international norms. we have been trying to kind of see the day that with

how soon we will see an impact with how soon we get these economic indicators. look at this chart when it comes to pmi, which is forward anyway. your starting to see that slow down in momentum. imad and this has to do with a reticence to invest -- i imagine this has to do with a reticence to invest. decisionshave to make in an uncertain environment. what do you see as the first red flags in the macroeconomic sense that we could see, particularly the impact on the u.s. economy, quicker inflation? sharon: you are not seeing job growth. you are not seeing wage growth to match, and that is a significant, given that you have what many people say is a lot of downward pressure, and you would expect there to be significant pressure on wages. you are not seeing any of that taking place. in addition you are not seeing

-- right now you are seeing the transmission of a lot of the to the consumer, and that will put pressure on willingness and ability to purchase, and that is taking place. all of these effects of the macroeconomic sector are serving to ripple through the economy, and that is the concern, and that is beginning to happen. haidi: is there a chance this could be -- we know president trump enjoys tearing up the playbook of his predecessors. could this be positively transformative in the long run in terms of having global institutions reassess exactly what they do and their effectiveness? sharon: there is a concern now from trump's view that the u.s. has not had a good deal in the last couple of trade agreements we have had, specifically with nafta and the wto.

this is really an attempt to restructure those agreements, and to rethink the way in which the u.s. participates in those. by using the access to the u.s. economy as the lever and by raising these tariffs and so forth, he is in essence trying to renegotiate the deal. if you look at historically, the u.s. has been one of the largest edifice year's of the global trading economy. so the question is are we at the point where this is no longer the case, and in fact, the negotiation really is in our best interest? and for his base, the answer is yes. kathleen: of course because you start with the halloween out of manufacturing in the 1970 -- hollowing out of manufacturing in the 1970's and 1980's. exchange rates can be

manipulated. china kept its currency artificially low for so long, so it does seem there is legitimate these here. -- legitimate beef here. what would you tell trump to make a difference with china and keep things on a track that would not be harmful to the u.s.? sharyn: the focus is on the nontariff barrier, so change the conversation. the conversation really should be on regulations, the issues around technology, technology the chinesecess to market, investment, all of the things that i believe would establish quid pro quo between the u.s. investors and chinese investors that i think are important for a healthy relationship. part of the trench in the imbalances -- trends in the imbalances are a result of the global supply chain where moche

-- much of the global manufacturing takes place in china and then is imported into the united states. some of those imbalances with the aggregate in a very different way than the types of imbalances, that you see in that one step shot, and so you have to think about more holistically what the relationship is, and it cannot be on a one-way discussion. it has to be about the whole deal. that becomes the important part. kathleen: intellectual party is one broad topic -- property is one broad topic. when the u.s. gets plight against china and the european union jumped on that. clearly it is not just trump. in that regard, what needs to be done? sharyn: there are real international rules and standards that china, if it wants to play the game, has to tot, and it has to be asked

meet those standards. it cannot ask everyone to meet a set of rules and not meet the rules itself. tose are things that need take place. if it was to benefit from the global trading system, it has to give. yvonne: thank you for joining us. a lot is in the balance. thank you. columbia university professor of political economics. bloomberg users can interact with the charts shown right here using gtv , browse recent charts on bloomberg television, catch up on key analysis and save charts. this is bloomberg. ♪ ♪

hays in: i am kathleen new york. you are am haidi, watching debris australian. let's get you a check of business flash headlines area jd.com fell the most on record since january last year despite

growing calls that the boss will not answer in minnesota. criminal defense lawyers and others were relieved and returned to china, suggesting the rape incident was not what it appeared. police say their inquiry continues. kathleen: recent gains for alliance industry are helping it wake up and bench the index. 135% since itrged launched telecom services in 2016, 4 times the advance of the other, making it the best performer in this index. the success is making investors think alliance can disrupt other sectors as well. $14 billion at the peak in september [indiscernible] creditors, for their it is not the only offer with agility public warehousing and

abu dhabi financial also said to be interested. is seeking asset sales to cover $1 billion of debt. when the world ends, it seems the place to be is new zealand, at least for some top silicon valley executives. olivia has been looking into this. has now turned into action. we are seeing interest pretty close to where i am. reporter: it is true. this story came up after i was speaking to a source who told me a recent silicon dinner party, the discussion of where to go when you are fleeing the apocalypse, and a lot of people raised new zealand as the best option. kathleen: can you provide more detail about the survival bunkers? what are they like, how are they built, and it seems like one more thing to worry about? bunkersthe survival

range in size. some of the luxurious ones are as big as 1000 square feet, weighing up to 150 tons, and they can include various things like multiple bedrooms, androoms, shooting ranges supply rooms, pantries that can stock up to three years worth of food and gymnasiums, so they can be pretty luxurious. so what would new zealanders think of their wholend becoming a bold bugout? olivia: i am a new zealander, so i come with bias, but i did pose the question to the former prime minister, and while i was reporting the story, and he said he felt new zealanders would find this absurd, crazy but also amusing. new zealand is seen to many as the last stop on the planet

before you go to antarctica, and it is a safe haven when the apocalypse strikes. i think for the kiwis, it is an trend-- an odd story or to hear silicon valley executives are buying survival bunkers down under, but i hope they found the story amusing. kathleen: thank you so much for that haidi:. haidi:r bloomberg tech reporter. that is a must it, but yvonne and kathleen are up next. taking a look at the next two hours, you can't really blame them. good food, wine, beautiful scenery, not a bad place if you think the world is going to end to spend the rest of your day. love that story. when it comes to the markets, i don't know if we need a bunker but certainly something to take coverage given volatility we .ave seen, the pullback in tech

the ceo's heading to capitol hill and the testimony was fascinating itself, pretty candid testimony from jack dorsey, ceo of twitter, talking about algorithms, still in the early stages. we have ahead of research here to break it down for us. a line of questions, how are they answered by these ceo's, and the fact the google ceo's didn't make a show here today. kathleen: that was a notable absence. i wonder what larry page is thinking about now. we are going to be thinking about trade. we'll have the foreign affairs minister of canada back in washington, resuming talks. president trump thinks there is intense negotiations that will lead to something. we have the national foreign trade council president, and long history in trade negotiations. haidi: looking at the future of tech, even as these headwinds around the tech sector, tech is

one of the big issues between china and the trademark, but we will talk to a capital partner in a sooner than you think exclusive. this is bloomberg. ♪

yvonne: 7:00 a.m. in hong kong. live from bloomberg's asia headquarters. the top stories, silicon valley in the spotlight. tack on grills big privacy and foreign interference. emerging-market fears of mixed payments raises fears to multiyear's highs. past 7:00 p.m. in new york. president trump says he has completed a trade deal with south korea but canada is bulking and china is bracing for more. all that adds to pressure in the market. asia-pacific stocks set for a