haidi: in morning. australian markets have just opened for trade. shery: and good evening from new york. sophie: welcome to daybreak he -- daybreak: asia. ♪ investors welcome optimism about a trade deal. great progress made so far but there is a warning there is no agreement yet. .eports from talking -- tokyo

and theresa may suffers another defeat but a building block for a no deal goes through with one vote. korea, we are getting the surplus for february coming in at $3.6 trillion. surplusthe trade gaining ground from january when we saw it at $2.7 trillion. last month has been revised upwards to $2.8 trillion. we are seeing the goods balance 5.4ng in at 5.4 trillion -- billion dollars for february. in january, the number has been revised up to $5.66 billion. we have seen improved travel accounts which means current

account surplus widens more than expected. 3.6 trillion dollars for february. we have seen pressure on expert numbers -- export numbers. weakness throughout the year on shipment to china. the goods balance has a surplus of $5.4 billion. in the u.s. markets we have seen stocks advancing to the highest level of the year. the s&p 500 gained the most, rose five consecutive sessions. the nasdaq is gaining 6/10 of 1%. the highest level since october. market,usp of a bull almost 20% game -- gain. sophie: in asia, cautious --

caution is coming back into asian trade. kiwi stocks are extending losses for a second day and sydney shares are opening lower after closing at a six month high. checking on the aussie, holding recent gains and bond yields are climbing with positive sentiment of the u.s. china trade talks and iron ore hit and almost five-year high. the yen trading at a two-week low. let's check on the pound. cable gaining ground by .2%. limited gains for sterling. expectations were for the parliament to block a no deal brexit and there remain concerns about the political situation in the u.k. such as how negotiations proceed with the labour party.

let's get you to first word news in san francisco. has voted. parliament by the closest margin to block any chance of a new deal brexit. although there is no clarity on what the deal will be. jeremy corbyn says additional talks with theresa may work constructive but -- work constructive but inconclusive. they will talk again on thursday -- were constructive but inconclusive. it talk again on thursday. >> she put out the government's view but whole thing seems to hang on accepting the withdrawal agreement. >> trump administration officials are examining options for closing the mexican border in case the president goes ahead

with the threat the preparations are set to be between eighth the radical discussion on actual planning. officials are looking at how to prevent widespread destruction to the economy if the president decides to seal off the border. present a report plane crash that killed people. if thell look to see anti-stall system forced the plane into a dive. boeing say they told airlines how to disarm that system following the indonesian disaster. boeing is defending life on setting people into space with nasa. nasa is targeting august for an unmanned test flight.

a launch looking at with people toward the end of the year, six months later than scheduled. the reserve bank of india meets thursday, saying the scope to cut a key rate by 50 basis points. quantum advisors say the base rate.s for a 25% repo whatever the size of a rate cut, the r.b.i. is expected to inject more liquidity into the banking system. global news 24 hours a day, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. shery: the neuroscience that the u.s. china trade talks are inching closer to a deal with larry kudlow saying negotiators are making good headway. let's find out where things stand. joe is into see.

-- is in d.c. how close are we to a deal? insighte getting some but there are still things to be worked out. deal that china would have until 2025 to implement certain parts of it, including commodity purchases and allowing u.s. companies to own their subsidiaries in china. they are moving ahead with those. there are still some other issues that are unresolved, including the enforcement mechanism. the u.s. wants to be able to retaliate against china if it does not comply with the terms. the chinese are holding back on and vowing to retaliate for any u.s. moves. so what happens to the terrorists currently in place -- terrorists -- tariffs currently

in place? the big question is how comprehensive the agreement will be. deal,s eager to get a particularly with trump's reelection campaign coming up in 2020. they want to get those commodity purchases contracted so they can serve close the trade deficit with china as the campaign gets underway. but they are trying to move toward having some sort of meeting between trump and tosident she -- president xi sign the agreement in the near future. sounding cautiously optimistic -- larry kudlow is sounding cautiously optimistic. have a few more details to work out. the enforcements and tariffs.

the question is if this will be as far-reaching in terms of what the u.s. has been demanding in terms of what china does with the fundamentals in the way they do business. there are issues of intellectual property that have not been resolved and those will be part of a longer-term deal going as far out as 2029. whether those can be wrapped up fully and get an agreement on enforcement mechanisms and verification will be the real trick of getting something done. whether they can sign this full agreement or something short of it. the devil in the details. great to have you. the other big story is asia tokyo -- he has

since been formally detained. out on bails been for one month. he said he was holding a press conference to hold his side of the story and now this latest twist. >> another plot twist. back in november, carlos ghosn was originally detained for 108 days and he has been out on bail since changing his legal team less than one month ago but now it seems, according to reports tokyoapanese idea, prosecutors entered carlos residentssident -- and asked him to accompany them for voluntary questioning. he would be questioned on

allegations of breach of trust and rearrested. we heard half an hour later that indeedrosecutors had rearrested carlos ghosn on suspicion of aggravated breach of trust. inse are new allegations addition to the financial misconduct allegations and aggravated breach of trust charges that have been levied against him previously. i was just reading a comment from a noted professor of law at sophia university in tokyo. -- new the new choses charges sound more serious and substantive than the outstanding charges. things could change for carlos ghosn if it turns out he was embezzling nissan money. that is an allegation the input being put allegation forward.

they are accusing him of making questionable payments to a distributor in the middle east and an outside lawyer. seriousing called a concern and sources are saying it could lead to further legal action. i will get into specifics and a little bit but that is where we stand now. beginning of the were standinge firm behind carlos ghosn. what do we know now about the relationship between renault and nissan? >> they have been talking and getting their ducks in a row in terms of their new allegations. renault took a cautious approach. he said they wanted hard, fast evidence to make actions but renault has changed leadership board since then and the new allegations, renault and nissan

together say they have uncovered payments made under carlos ghosn that allegedly went toward corporate jets, a yacht, and his son'sartup company -- startup company. renaulth lorded -- alerted authorities to potential wrongdoing. is 34 million u.s. dollars is what nhk is reporting. it came from a nissan reserve fund that ghosn had access to. a spokesperson for the ghosn family has denied the latest allegations and are calling it a smear campaign to make ghosn look greedy. this story is not going away anytime soon. haidi: the plot thing kids --

plot thickens. still ahead, questions over data privacy continue to haunt facebook as user information is found hiding in plain site -- plain sight on amazon's cloud service. is best to be boring when it comes to the bond market. this is bloomberg. ♪

>> we are now in a late day rally to push stocks to a six-month high. the biggest winning streak in two months. su keenan joins me now. we have seen upside when it comes to tech stocks and conductors. >> positive outlook. we have positive outlook on growth. let's go to the positive --

let's go to the snapshot. chemical and material stocks have to do with optimism on trade dispute between the u.s. a slightlynd we have lower future. range is thea title of this and strategists say investors are really looking for catalysts to keep the rally going. will it be trade talks or jobs number on friday, they are looking for some sign that there is a way for the rally to move forward. chip stocks were an area of strength. look at the size of the gain. chemical stocks doing well. going and lucky are lower. the blame game has begun -- lower.and lockheed are

the blame game has begun. this is a case that stands out because the playmaker is being looked at so closely rather than the airline. lucky is having their own issues with helicopters -- lockheed martin is having their own issues with helicopters. this is the first day that the andis open to shortselling bears stepped in and took position. there is a positive sign that may be the worst of the selling for now is over. this is reminding everyone of the u.s. boom oil record production. $70 a barrel. trade talks are being a factor. dayhen you look at the five

touchedu can note we 70, it looks like we were above 63 and then came down. brent was above 70. you can see a bullish chart for brent and west texas. they are above or at their average and that gives an indication that rally has more room to run despite pullback in the latest session. around the world have come back after sinking in march. where they go from here and , we are find value seeing the treasury rally on see but we continue to

expectations and given that the fed is being very patient, the yield could be falling instead of rising. where do you find value in this environment? >> i think the best opportunity is in longer data u.s. dollar denominated high-yield. more in the two to four year bucket but yields of the u.s. are stabilizing and risk assets around the world perform well, we expect the perform habitat to be pushed out. we think to five to 10 year will perform well. in 2017 there is room for yield to come down so it is an attractive asset class. >> we are seeing a lot of high-yield bonds from property developers in china. >> one of the things we saw in 2018 was the primary market was shot for half of the year and

that led to a lot of negative sentiment and onshore buyers pulling back. couple that with the fundamental down torn -- downturn, it was tough. that start to reverse this year. property companies in the region are doing well fundamentally and home purchase restriction is easing across several cities in china so the fundamental picture is starting to improve and the technical picture and issuance is coming back in the markets. given the lack of investment, will this be an attractive proposition for investors? definitely appetite for high-quality companies in the market and continued appetite and long data issuance. we could see companies come and issue.

constructiveirly when it comes to onshore chinese bonds. >> absolutely. one of the best opportunities in asia is looking onshore into china. we now are in a new era where onshore bonds have been included into the index and i think that is a strong tailwind for investors. we also see a stable exchange rate and bond yields that are attractive. we see room for compression, 25 basis points over 2018 so there are a lot of interesting opportunities. we like looking at onshore issuance from central government in weeks we we can pick up an additional 75 basis points above chinese government bond yields. >> is the inclusion story a game

changer and it comes to foreign flows and general maturation of the onshore market? >> we think it absolutely is a game changer. of the next three years we could see anywhere from 200 $50 billion to $500 billion foreign money flowing to china. changing rapidly as things tend to do in china. we think every asset manager around the world and every investor will focus their lens on china and look at the opportunities in the onshore market in china and ask what they can do in their portfolio and i think they will find there are a lot of interesting investments they might not have been aware of. >> we really appreciate your time with us. thank you for joining us in san francisco. you can get a roundup of the

stories you need to know to get your day story -- your day going. just go to tv on your tournament -- on your turn amol's -- terminals. this is bloomberg. ♪

shery: this is daybreak asia. haidi: a quick check of the headlines. sources say blackstone completed the first close for their eighth private equity form last month. -- firm last month. tesla's model three is proving popular in germany, drawing close to porsche.

porsche sales dropped almost 10% due to a decision to end diesel production. chinese carrier in new york to cut aviation taxes as part of the measure to support the economy. they rose as much as 17% one point. this is the biggest such move since 2000 15. lower charges will come into effect july 1. vote to blockrow a new deal brexit. the house ofes commons and will go to the house and theresa is breathing a sigh of relief.

we will get the latest in a thent and implications for market, as well. this is bloomberg. ♪

>> top white house economic advisor larry kudlow says trade talks with china are making good progress but there is no deal yet. negotiations resumed in washington and he says the two sides are moving closer to an agreement. issues include protection for american intellectual property and an enforcement mechanism to make sure china honors their commitment. reports from tokyo says carlos ghosn has been rearrested and will face the charges. prosecutors entered his home and asked him to voluntarily accompany them and he has been

formally detained. reports say he is accused of breach of trust and renault says they are questioning payments made by carlos ghosn in the middle east. the boj has very good news. the economy exceeded supply in the fourth quarter for the most in 26 years. the governor has repeatedly pointed to the output cap is a confidence measure that the bank will eventually achieve their 2% inflation target but it slid to 7/10 of 1% in february. former malaysian prime minister has appeared in court to deny the first seven of 42 charges he faces in connection with the 1mdb scandal. million allegedly landed into one of his accounts. he is accused of corruption and money laundering and has denied wrongdoing. global news 24 hours a day, powered by more than 2700 journalists and analysts in more

than 120 countries. this is bloomberg. >> let's take a look at the latest in the markets. sophie is looking at us -- looking for us. is risky forood the aussie share market. the asx 200 is retreating from the six month high. all players are losing ground this morning as the advancing crude prices take a breather. the aussie dollar is extended gains -- extending gains. bond yields are climbing across the curve pushing the 10 year yield closer to 2%. sydney,ers in

continuing to recover after a tough year for shares that saw them move more than 60%. graincorp moving almost 5%. talks withue potential investors who have offered $1.7 billion for the company and a numb is under is under-- ingham pressure. the u.k. parliament has voted by the narrowest possible margin to block a new deal brexit, avoiding the cliffs edge of a hard split an opening door to a softer withdrawal. kathleen hays is watching this. a one-vote margin. 313-312. a lot of the reaction is almost

half of the people are ready for a no deal brexit. they just want to keep this is a bargaining tool. and what ofening the reasons it is a problem is you are moving closer to a no deal brexit. look at the analysis that has come out. bill will go to the house of lords next. it is expected to be passed. businesses must be breathing a sigh of relief. are said toiteers be furious. was the vote hijacked? eu for have to go to the extension, there could be a long delay ahead. an extension after april 12, that is what theresa may will have to get. if they do not get the deal passed by parliament, they only have a few days. theresa may and jeremy

corbyn met today and it looks like they will be meeting again. was there progress? called the talks constructive. said the meeting was useful but inconclusive. theresa may said the labour to keep the u.k. closer to the eu than someone want what they would not have to worry about tariffs. she said they might want access to a single market. they want regulatory alignment in terms of trade and banking. i think the big question, what will it jeremy corbyn in order to get support, need to also get support for a second referendum, at least on the next deal passed by theresa may? she has shown no inclination to back that. >> and the eu is watching

closely. will they be more encouraged or frustrated by the latest developments? >> good question. it has been said that a no deal departure was looking more and more likely. officials seemed to say, if we are going to give you an extension, there has to be a concrete reason. we cannot go back and forth. it is interesting that mark carney was saying the risk of a new deal brexit is now alarmingly high and everyone agrees we cannot tell what the economic damage would be but there would be substantial, that is what everyone is trying to avoid. a baby seems like this is progress but we will find out day by day. one year after the cambridge analytical scandal,

data is showing up in places where it should not. troves of a view -- user information has been posted publicly on amazon. in one example, half a billion records were openly stored on a platform. tom joins us. give us some details. how did this happen? basically washer searching for other instances of facebook data on the public web. they know the right terms to use were able tolly find some very important reams of data. passwords.ive usermation that the right

wemember of the public, could access this data and he was able to do it. it is another investment for facebook. -- another embarrassment for facebook. >> does the liability stand with them or with the developers who got the data already from them? of: there are a bunch different parties. one is facebook, which had the relationships with these third parties and gave them access to information. those developers in turn were to store it so they are culpable for not safeguarding it and not encrypting it and story in in places where it cannot be found by the public. there is also a question about amazon and cloud services providers that store the data.

this would be, this is the responsibility of our customers to tell us what to do with the data. it is their responsibility to safeguard it. we provide secure servers. you need to tell us what to do with it. they do not want to put themselves in a position of meddling and telling you what to do with your information. >> tom, thank you. pg&e.ng news on they have names bill johnson as ceo and they have named 10 new directors that have been appointed soon. bill johnson is named the new ceo of pg&e. coming up, saying no to no deal. the u.k. house of commons blocks a new deal brexit. we will get expert advice on what the options are. this is bloomberg. ♪

>> this is daybreak asia. a no deal brexit seems to be off the table for now. parliament has voted to block by the narrowest purchase -- possible margin of one-vote. let's see what this means and what comes next. jacob joins us. great to have you. after wildave you developments in the brexit saga. is this encouraging? it passed by one vote. we have known for a while that parliament did not want a no deal brexit but now it is becoming law, assuming it passes the house of lords tomorrow, which i think is a good move but

it raises the question. one thing is to mandate that the prime minister seek an extension of article 50 of a particular length determined by parliament 27 willrent than the eu grant that extension. so while i think it is fair to say that no deal is ever less likely, i would not give it 20 -- i would not give it quite zero yet. it is easy to say the pro-brexit camp would be displeased. ory can either back the deal face the longer extension. think it is say i too late for them now. the only credible game in town left is the new theresa may

which seems to be yielding something that looks like a permanent custom union and closer relationship in a single market. i think the reality is even if theresa may went back and asked for a meaningful vote, which personally i don't think the speaker would allow, i do not think it could pass. the dup has been very clear they would never vote for it. there are not many conservatives left. dupesa may, even if the voted with her, does not have a majority in parliament anymore. it is bleak. >> jeremy corbyn also came out and said it was surprising to

him that theresa may had not moved much from her negotiating line. have we seen any change of rhetoric coming from hurdle? -- coming from her at all? >> not yet. but when you have the attorney general going on the bbc which they did earlier and basically talk about labor's position on brexit is not a sellout and -- as long as we brexit, that suggests the position of the government itself is at least rapidly evolving, even if we have not heard it from theresa may herself yet. >> let's turn to another topic moving markets. u.s. china trade talks. somee hearing u.s. wants sort of deal that is

unenforceable -- enforceable. is this a reasonable request? but alsotly reasonable highly problematic because you do not have independent courts in china and my bet would be the chinese will demand that all the parttariffs are removed as of the deal, leaving little u.s. to forcehe to do the deal unless they are willing to go back to where we are now, a few months from now. important a really sticking point and highlights the futility of the trump

s approach ton' negotiations. i do not think they can hope to get any true mechanism to enforce. the best they can get is a long list of new consultations and meetings that look like the dialogue that the obama administration had but obviously the trump administration has pooh-poohed that over the last several months. look at the deadline of china having to make a good, it is six years. that is a long time of kicking the can down the road. can you look at this as being the win trump wanted? >> no. when you have a final deliverable agreed by trump after he must leave office, even

assuming he is reelected, that is kicking the can down the road as you said and not any kind of political win that will help him elections, upcoming nor among the china hawks in administrations. this is -- if this is the ultimate outcome of the negotiation, it is china, one, trump, zero. if we have a signing between the two leaders at the summit. how long would it take to undo the damage already done by the uncertainty so far? isi think the reality because there would be so much focus on the enforcement thing, younto one can wish away and do away with the tariffs that have been but markets with some justifications fear that only a few months from now, we will be

.ight back to the tariff war the level of uncertainty is not going to go down much. and i doe persistent not think the uncertainty in the u.s. china relationship can be there is another occupant in the white house. that is just the reality. >> always appreciate your time and view, jacob. use our tvet you can function at tv on the bloomberg and watch us live and look at the securities and's -- and bloomberg functions we talk about. you can also join the conversation.

this is for bloomberg subscribers only at tv . this is bloomberg. ♪

shery: this is daybreak asia. haidi: electric car makers energy companies are driving the rollout of ultrafast charging pumps with thousands of stations being stalled across the world. how quickly are we seeing these chargers and where are they being installed? about the current infrastructure in place to charge electric vehicles outside the home, there are varying speeds. the basic level of charger will give you 10 miles for 30 minutes

plugged into the charger. we are starting to see entry-level fast chargers that give you 75 miles for a half an hour at the plug. machines arey new allowing you to top up your car battery with 215 miles in 10 minutes. so this is a significant shift. much faster. they are across the u.s., highwaysrly on coastal and in europe and australia. this week, a few more were nearlled in a highway melbourne. >> there are no cars on the road fully able to use the chargers, so how useful are they? quirks, itone of the is a powerful machine, two powerful for the car -- too

powerful for the current battery. a new porsche model is going to be the first electric vehicle that will fully exploit the power that these rapid chargers can offer and we are seeing a move, and the next generation of vehicles will be much more capable of using these. for the carmakers, they are is largely aes, it psychological issue. they want to convince people to buy an electric vehicle and show people they can have the reassurance that if they are driving between cities or on a long journey, if they need it, there is a very fast charger that can make sure they are not left stranded with an empty battery. thank you for that. that was david stringer in melbourne. breaking news. a senior white house official whose security clearance was denied last year is jared

kushner. denied security clearance on concerns of foreign influence, private business interest in personal conduct and we are now hearing he has been identified as the person whose security clearance was denied. he had been identified only as senior white house official number one in documents released this week. according to the washington post, it was jared kushner. a quick check of the latest headlines. product is cutting prices in china and online as a result of lower sales on the mainland. they are reducing prices at all stores and outlets after the government lowered from 16% to 13% at the start of the month. gucci and louis vuitton also cut prices, saying they fully support narrowing the gap between prices in china and

overseas markets. >> developers are gambling on casinos in singapore. vegas fans are spending the same amount to develop next to their operations including a 15,000 seat arena. extending the time for the resort until the end of 2013. -- 2030. breaking news regarding the carlos ghosn rearrest. he says the arrest is outrageous and arbitrary. we are getting more details. we got the report from nhk this morning informing he has been -- confirming he has been arrested. this is the fourth time he has been arrested in japan on allegations of new charges. we will bring you new details as

they become available. carlos ghosn has put out a statement saying the arrest is outrageous and arbitrary. let's take a look at the market opening in korea with sophie. >> we will be keeping a close eye on beeson -- nissan regarding developments. the risk appetite in tokyo could be taken off the table. the yen is near a two-week low. we are keeping an eye on nomura. the bank plans to close 20% of their domestic retail branches. radar as iton the is said to seek $15 billion more for a division fund. >> there is lots more to come.

please stay with us. this is bloomberg. ♪

>> good morning, measures -- asia's major markets have opened for trade. sophie: welcome to daybreak asia. our top stories this thursday, investors welcome optimism about a trade deal. progress butt warns there is no agreement just yet. carlos ghosn has an rearrested and faces new charges after announcing his plans to tell his

side of the story. >> increasing calls for tighter regulation. we hear exclusively from jack dorsey. let's get straight to market action with sophie. sophie: we are seeing caution back in asian trade with stocks opening lower in tokyo. topix losing two points while the yen trades-- near a two-week low. the best check the board -- let's check the board. i under pressure and current account surplus data to consider narrowing in february. let's check in on the move on sydney, shares retreating from a six-month high led lower by energy and real estate. oil players slipping and crude

prices taken -- take a breather. over trade talks in washington as well as iron ore prices continue to climb near a five month high. and a look at the mood in wellington, we have kiwi stocks extending losses for a second day. let's get you to salina. selena: voting by the closest possible margin to block a exit. -- countrye quest from crashing out without a deal. although there is no clarity on what such a deal will be. jeremy corbyn said initial talks weretheresa may constructive but inconclusive. they met for more than an hour teams will- their talk again on thursday. >> she invited us to the meeting and i accepted the meeting to express our views, she did put

out the government's view but the whole things -- thing depends on accepting the withdrawal agreement as put forward at the present time. aredministration officials examining options for closing all or part of the mexican border in case the resident goes ahead with his threat. the preparations are between a theoretical discussion of moves and an actual implementation plan. officials are looking at how to prevent it doing widespread disruption if the president decides to see off the border. ethiopia will release a on the crasheport that killed 157 people. they indicate whether a computerized anti-stall system that forces the plane into a dive may have played a role. it may have activated on the doomed flight in indonesia five months area -- earlier. boeing said the told them how to

disable the system earlier. quantum advisor said the base case is for a 20 fight -- 24 point [indiscernible] cutsver the size of rate the r.b.i. is expected to ingest more liquidity -- inject more liquidity into the banking system. 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. this is bloomberg. the big story we are in theg, carlos ghosn news, entering the zone before sunrise and asking him to accompany them voluntarily. he has been formally detained after being free on bail for almost a month. stephen engle has been tracking

this. what exactly is carlos ghosn saying? steve: this is another example of who is trying to control the narrative. of the first 108 days that carlos ghosn was in detention, it was the prosecution and the sun containing and controlling the narrative as carlos ghosn was muzzled. figuratively in his tokyo detention cell. since being released he has been a bit on the offensive on the pr front including hiring a new legal team and lead lawyer that helps when him that bail release. he was due to have up press conference in tokyo a week from today on april 11. as this arrest this morning tokyo prosecutors came to his home and asked him to voluntarily join them to the prosecutor's office and where nhk has been saying he has been rearrested on new charges of aggravated reach of test -- trust tied to suspicions he used

money out of/fund that was for his discretion for personal investments in the middle east as well as through his sons company. the family hasns denied. we are getting a statement from carlos ghosn through his lawyers and i will read this verbatim, my arrest this morning is outrageous and arbitrary, this again should be attribute it to carlos ghosn. it is part of another attempt by some individuals that -- at nissan to silence me by misleading prosecutors. why arrest me except to try to break me question mark i will not be broken, i am innocent of the groundless charges and his asians against me. he goes on to say he will be in the -- indicated if he is given a fair trial. >> in terms of the latest accusations, where do we go from here procedure lori given that this is the fourth time has been arrested in japan? stephen: this is the fourth time. what is interesting this time is

that rim now and nissan worked together to uncover the latest allegations with ties to the middle east. ,hey alleged carlos ghosn went some of these payments allegedly went toward corporate jets, a yacht, his sons start up company, the sources are telling us that transactions allegedly said, they put the amount at $34 million u.s. two companies in oman and lebanon that may have been used for personal benefit of carlos ghosn and his family. sources are saying that it came from a nissan reserve fund that he was allowed to use at his discretion and i might add as i said earlier, a spokesman for the family did not -- denies the latest allegation as a smear campaign to make carlos ghosn look greedy. bloomberg news spoke to a lot

professor in tokyo, stephen given. we expected him to be arrested according to local media reports my he says the new charges sound more substantive and serious about things could change for his prospects is it -- if it turns out he was embezzling nissan money. we are not saying he is embezzling the money, that is tied to the allegations being put forward. we are still trying to confirm a lot of these reports from nhk and other japanese media. >> after a morning of high drama that continues, we'll try to get more details as they become available. stephen engle with the latest on carlos ghosn and nissan. of our top one stories, signs that the u.s.-china trade talks are edging toward a deal. larry kudlow saying negotiators are making good headway. joining us now is our senior international editor jodi schneider. chinaerg reporting that

gets given to 2025 to meet some of the requirements under a deal. the talks are ongoing. how close are we to a potential summit between the leaders and the conclusion? jodi: it looks like they are wrapping up issues so they can announce they have a deal or framework and their cad -- there could be a signing ceremony, that is something the u.s. very much wants. for the national economic advisers seem to put a damper on that. it seems they are making progress. they are looking to according to people familiar, they are looking for a commitment by ,hina to buy more agricultural more energy, and agricultural products like soybeans by 2025 and to allow u.s. foreign , completein china

100% ownership of u.s. companies. that would be a framework, a time frame. interesting timing as president trump would look to up his reelection campaign for 2020. supposedly a lot of these would start to be seen, the trends -- trade deficit narrowed by 2020. >> president trump got a recent a victory coming out of the special counsel mueller investigation, clearing him from his presidential campaign for any collusion with russia in the at his attorney clearing him from obstruction of justice. counsel the special mueller team is not too happy about that. are saying and that four-page report that william barr wrote based on his fear of the report that they were

leaving out a lot of things. pages,port, it was four the mueller report is 300 pages. it focused on the fact that mr. mueller's conclusion was that there was no collusion with russia with the trump campaign in the 2016 campaign. he did say that his view was that there was no obstruction of justice but the report was divided on that. that is the point some in the mueller camp are making in this report from the new york times, they were saying there was a lot more in that report on the issue of obstruction of justice that has come out that has been in that letter. that is what the democrats are pushing to get that report released. that four-page letter was written by the attorney general who was appointed by president trump after he fired jeff sessions. our bloomberg editor jodi schneider.

some breaking news crossing the bloomberg, we have awaited other delivery numbers, headline numbers, 63,000 vehicles from tesla. 50,009 hundred cars, missing estimates of 51,750. model as and asked deliveries coming in at 12,100 cars. the model three production was 62,950 unit seeing that the first quarter net will be negative the impact. the company saying that the delivery of 63,000 vehicles was 110 more than the same quarter last are. 31% less than the previous quarter. massive increase and deliveries in europe and china, the company said it exceeded levels,es delivery there were many challenges they encountered and they delivered half of that entire quarter's numbers by march 23.

10 days before the end of the quarter. tesla saying that caused a large number of vehicle deliveries to be shifted to the second quarter. we expect that in the second-quarter numbers and they are saying because of that lower-than-expected delivery volume, they made in the first quarter, tesla expecting first-quarter income to be negatively impacted. ending the quarter with sufficient cash on hand. we are getting those numbers now. still ahead, the u.k. parliament voting to block a no deal brexit by a single vote. we will take a look at the impact on sterling later on in the show. >> as the u.s. china trade talks resume, we will speak to rentable global investors, about what he thinks the deal could look like. this is bloomberg. ♪

>> this is daybreak asia. our next guest says the u.s. and china will strike a deal but the resolution will be focused on raising's current account. and providing risk markets another healthy leg up. journey us from singapore -- joining us from singapore. it feels like investors and markets are looking for any positive catalyst to extend this rally. guest: i think you're right. it has been a very strong third quarter but it is -- one of the of there are a number most positive catalysts. and that could set us up well for the second half. >> where do you see

opportunities given that we are -- there are concerns over the pace of the global recovery. with emerging markets provide more opportunity then developed markets? i think you're right. let's say two, i think that the central banks remained accommodative and that appears to be the way. china's stimulus continues to take hold which is what we expect. and regulatoryy side which is coming through. i think you will see, we talked about trade, you put that altogether, china should do well. by virtue of that you will see asia do well. but you will also see europe do well. europe in terms of developed markets is likely to have a continued recovery. >> let me ask you about your chart showingr

where they are making the call on the csi 300. game -- gain in the benchmark over the next 12 months. you mentioned potential stimulus, trade tensions easing but i wonder given the economic recovery that we are seeing in china, is there a risk of the pboc and fiscal stimulus as well being pulled back and how would that affect the stock market? risk, there is always a the call that you talked about is quite achievable and another thing which will add to that which will, we are seeing good inflows into china, china becomes part of the major indices. income. and fixed i would expect the china authorities have been somewhat spooked by the severity of the slowdown. a self-imposed slow down. they're likely to make things run and feel comfortable until things are on an even keel before the prepare again to

structural issues are still there. ongoing trade negotiations between the u.s. and china, it seems like the policy by chart -- policymakers this, thatchieve policy seems to be under threat. that means we could see china's tech sector also feel the brunt. guest: i don't think that technology aspiration is under threat at all. deal, itsee a trade will be concentrated on the current account, you will see more her of soybeans and so forth. you will see greater ownership of companies within foreign companies within china and you will see some sectors for the liberalized -- further liberalized create in terms of technology aspirations, they will continue and the u.s. in this case, their approach will

export controls and investment restrictions back in the u.s. both of which are not good for u.s. technology either. at whatu take a look swaps marks -- markets are pricing and, is there an overextension by investors and how much we are expecting the fed and other central banks to have a coordinated cycle of rate cuts later on this year? guest: that is a good question. if the fed were to cut again, it would be one cut of 25 basis points. if the fed were to cut again, it would be looking may be 2% worth of cuts over time. it would be in reaction to real concerns over where the economy was heading. i think what is more likely is that you will see a pickup of growth of the second half. and you will start to see the market once again talk about,

the fed and other banks will start to normalize. to affectes continue what is going on in the continent. europe is looking very attractive from a valuation perspective and a technical perspective and some of the underlying fundamentals such as employment growth and so forth. it has some issues in the second half of last year in particular. the issues in china are country reading to that. if we are right about a trade deal, if we are right about stimulus in china being affected, if we are right about essential -- central banks becoming accommodative, europe being that it is underground, being that valuations are attractive, that could have a nice run in the second half. >> thank you for your time,

carquest, rentable global investors executive director. >> you can customize your settings so you get news on the industries and assets you care about. this is bloomberg. ♪

>> softbank is adding as many as $15 billion to its already huge $100 billion asian fund and we are told the founder has also been talking to investors about a second fund. from selina wang in san francisco. they want to give up their deal free. toina: the vision fund wants continue its pace of dealmaking while having enough assets in reserve to continue investing in

their existing portfolio companies. given that they have invested more than $70 billion in less than two years, it makes a lot of sense they are going out into the markets trying to look for more funding. they need a massive amount of firepower in order to remain active. we reported that not only are they trying to increase capital into this existing fund, but they are in early discussions for fund number two. when i spoke with them last year, he had said that his goal is to raise a massive fund once every two or three years. >> in terms of the options that for fundraising? >> according to our sources, they are looking at a variety of options, one of them could be going out to new investors, they could try to convince us some of their large investors to waive debt repayments and put that money back into the company. they could also get loans from banks. another option we have heard about is reinvesting some of the

billions of dollars of profits they have made from their investments in companies like nvidia and flip cart area putting those profits and putting them back into the vision fund. we have heard the talks are in still early stages, the deal could fail to come through but the discussions have been ongoing. >> selina wang there speaking to us and we are getting a bit of a breaking news story. roughly 2.7%ld his ipoe in left ahead of the last week according to people familiar. he sold that list two george soros. we are hearing that the former i can't capital managing director who was on the board as of last month connected to strike on with a buyer.

the buyer identity being reported by the wall street journal as being george soros. let's get you a quick check of the business flash headlines. blackstone is raising more than $22 billion for their flagship buyer making it the largest in history and it is not done just yet. firsttone completed the quote last month. >> news that beijing is to cut aviation taxes. as part of measures to support the economy. china southern climbed 15%. since 2015.move the lower charges will come into effect from july 1. or not toup, to cut cut? why economists are divided on what the indian central banks will do next.

this is bloomberg. ♪

selena: this is so annoying with first word headlines. larry kudlow says trade talks with china are making good progress but there is no deal yet. speaking of negotiations resumed in washington, he said the two sides are making headway and moving closer to an agreement. the outstanding issues include protection for american intellectual property and an enforcement mechanism to make sure china honors its commitment. reports from tokyo say carlos ghosn has been rearrested and will face new charges. prosecutors entered his home before sunrise and asked him to accompany them voluntarily. he has been formally detained.

other reports say he is accused of breach of trust. checkingaid it is questionable expenses and payments made by him in the middle east. the former malaysian prime minister has appeared in court to deny the first seven of 42 charges he faces in connection with the scandal. $4.5 billion disappeared from the fund with more than 10 million allegedly landing in one of his accounts. he is accused of corruption and money laundering and has denied any wrongdoing. the bank of japan has where good news with demand of the economy exceeding supply by the most in 26 years. the governor has pointed to the vast to this is a confidence measure that the bank will eventually achieve its 2% inflation target. exports and growth weekend. 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 selina wang. this is bloomberg. the governor's speaking in roman right now saying the boj needs to continue easing persistently. to ease and it will take some time to hit that target. far away from that 2% inflation goal. also saying they need to watch banks' profitability. low weight -- low rates have weighed on bank profits. and a check of the broader markets. some movesare seeing across the region which could see the asian benchmark called a four-day advance. looking at and mixed session with stocks in korea gaining ground, chipmakers are providing

a boost and we are seeing some gains for the nikkei 225 at 16 points. australia leading the drop, falling for the first session. with somehe board risk taken off the table the yen firming up, around the mid-one a level levels. -- 111 levels. , cable10 year yields rising against their peers after the you keep parliament fun and no deal brexit. let's check stocks that are on the move, family mark losing after reporting numbers that account for the impact of business, there are 12 cell calls on the stock. south korea plans to close more coal powered plants to fight pollution. 22 may be closed over the next 10 years.

jumping by the most since december 2016 in sydney after an output at its mines topped forecasts. sterling has strengthened. the block on no deal brexit, just one single vote, managing to avoid the economic cliff edge of the hard brexit and opening the door to a softer level. talks moderately -- this is a talk moderately positive outcome. are investors just fatigued at this point? think there is a bit of fatigue. one of these is they do not know again, the outcome

could still happen. you cannot take it no deal off the table because the eu could say we are not going to extend it because you have not come up with a solution. you have to think where am i going to buy and sell, what is my risk return? in the end, it is shopping around. it is, for over the last couple of days even though we have some risk area the deadline is approaching, that implies -- we do not see it moving that much. if you look at leveraged that compares to a record of 125,000 contracts. even short-term funds are not worth trading. >> are there any sterling asian currencies that we should be watching as we see this uncertainty unfold? >>, good question. , this is aight now

key thing that is driving them whether it is risk on or risk off. is steeringveryone clear. for any course there is two the sterlingen side would dominate it. we do not know how much it will play, most people are staying clear. a lot of people are staying clear of the japanese yen and sterling. that would be one of the causes. >> the reserve bank of india is expected to keep its foot on the monetary accelerator. as luck -- growth slows and inflation becomes increasingly well behaved. kathleen hays is here with a preview. the r.b.i. cuts its rate in december and are expected to do

it again. >> they have a new man at the helm who replaced the previous who was seen as not in step with what the primaries to has been looking for in his team. there are a lot of signals suggest that a rate cut is warranted. inflation is getting back under control. they are seen cutting the key rate to 6.0% after cutting it to 6.25%. let's take a look at the chart. is the middleis of the rbis chart of 4%. the core rate is down, it got down to 2%, back up to 2.6% but well as well below target. here he can see the moves and -- and they aree, starting to reverse those. , india iseground

getting ready to kick off their six-week long election. the prime minister has been doing everything pulling out the stops to get the votes up. giving money to small farmers, the biggest voting constituency in india. and another reason that people expect the r.b.i. to stay in the background and the accommodative. the new chief has taken many steps to support rose. not so much rate cuts but other kinds that had to do with banking and liquidity. one more thing to put on the table, the fed's pause. in the past that was hitting india's rupee. it is up 7% in out year to date. -- and they are not cutting the rate again soon. >> they could go to 50. get as a chance we will

more aggressive easing signal? >> they are not going to cut the key rate, they will reduce it to an economy gave -- and accommodative stance. let's look at gdp. another reason for the r.b.i., inflation is under control and gdp growth has pulled back, they are used to growing 7% a year or more. this is another thing, not the 6.6 percent is slow but definitely slower than it was. that is important to take into the equation. our team is looking for a second cut from the r.b.i. as soon as june of this year and if not then, in august. others say that with this fiscal support in the populist election, maybe the r.b.i. will hold its fire. that remains to be seen. we are pretty much on board. our team with the rate cuts.

>> kathleen hays on the bank watch for us today. we will be joined for an theusive interview by central retail ceo, hear how he hopes to turn his company into sales --nline leading into thailand's online leading sales platform. this is bloomberg. ♪

>> this us -- this is daybreak asia. centro group is taking inspiration from amazon as it tries to become the nation's leading retail platform. joining us now from bangkok is the ceo. great to have you with us. we know that you have this new partnership but at the same time, you have to compete with

rivals, more established rivals in your region. now owned by alibaba. how do you plan to gain a competitive edge? thailand consumers are looking for more than e-commerce. compared with most of the markets, the situation may look the same on the surface, but if you go below the surface, and thailand, we are moving directly from the stone age and to the multichannel age. we moved from to the -- to the e-commerce age. we move directly to the channel, mixing the strength of the stores with web stores.

we have a strong customer base and stock prices are uniquely positioned. consumers hold two world records, the consumers that spend most of their time in the shopping mall and the store and at the same time, they are the consumers who spend more time online. eight to 10 hours per day online which is the highest all over the world. you can explain that by assuming that are consumer shops and online at the same time more than anyone else. that is one reason why economics will be different. >> and you are looking for m&a opportunities outside of thailand. what regions look attractive to you and why? thailand is today our

main market and where we are focusing most of our talents and investments. but then, we also are keen to grow in vietnam which is a nearby country with one of the highest gdp growth in the world. the number one international vietnamese retailer and we plan to invest. that would be our number one target. boat strategy of veryng high street, premium, experiential stores targeting locals and tourists. we have plenty of opportunities. we have an important presence in denmark.rmany, and we can grow much more in the future. partnerships, you

said you are interested in looking for partners in the big data realm. what are you looking for in a potential partnership? we are trying to become of work wenow, a lot are doing by recruiting talent, especially technical talent. hundred talents into the group. we realized we cannot when internally so there are some capabilities where the best way to develop and to reach scale is areind people that specialized. that is why we started with jd.com.

grab.re recently to it is an ideal partner. because of their capabilities and the strength and optimizing. is to recruitrt and integrate. systematically, not partners for the sake of partnering by partnering for the sake of completing our capabilities in order to cover the whole on the channel in aversive services. -- in universal services. >> we will have to leave it there. the central retail ceo joining us on some of their expansion and partnership plans. we will have another big guest later on today.

peter coleman will be joining us for an exclusive interview at 12:40 p.m. sydney time, 9:40 a.m. if you are watching from hong kong. this is bloomberg. ♪

>> let's get you a quick check of the latest business flash headlines.

reducing prices at all of its stores and that outlets after to 13%.rnment lowered also cutting prices saying they are supporting [indiscernible] gambling ons are casinos in singapore. putting in a $3.3 billion resort. the santas spending the same .mount to develop a site including a 15,000 seat arena. the commitment has prompted singapore to extend the exclusivity time of resorts to the end of 2030. >> deliveries fell after u.s. incentives declined and the company's doubled to get buyers. 63,000 cars. the best they are proving

popular in germany. registrations jumped 2367 in march, 356 shy of porsche's delivery. echoing marks zuckerberg's call for a heavier regulatory hand when it comes to tech. many companies have pivoted to focus on healthier conversations among users after attracting widespread criticism for issues such as the spread of big news and hate speech. he says he would welcome more strict rules. >> generally i think regulation is a good thing, it is a positive. our role as a company should be that of an educator. helping regulators and legislators understand what is technology, the

secular trends we are seeing, that we are aware of, how our system works. the job of a regulator is to ensure protection of the individual and a level playing field. as long as we're working together on that, that has good outcomes. i have not looked at all the specific feedback to mark's post. i generally think that there are things like gdpr that have been net positive not just for our platform but the industry in general and specifically a lot more clarity around privacy and a lot more clarity around how data is being used. like ours,a service our terms of service are hard to read and a little hard to follow and not the most customer focused. gdpr put a stake in the ground to bring out some elements that you have a lot more control over that.ere is more room for

toalso, there is not going be anyone party that is responsible for fixing this. putting too much of that weight on anyone entity whether it be a corporation, and individual, government, it is not going to work. we have to think about it differently, we have to think about it as a desire, we have a desire, our purpose is the public conversation, our desire is to incentivize and increase healthy conversation. to theking exclusively berg in toronto. tencent has completed the biggest dollar bond offering in asia so far this year. in weekend operators sold bond beating the on sale by china ever grand. we have the story. than $20as more

billion of cash on hand, why did they need this debt funding? >> good morning. the reason is the first is of bondsas $3 billion coming due. so using the new money to repay old money is very apparent option. and the cost is a bit lower right now because the treasury yields have come down. it is a good opportunity for tencent to sell but i checked with their brunch, they paid about 40 or 30 basis points more than the 10 year tranche has sold last year. overall, it is still a big deal for investors. other than the 10 year trench which is 3 billion dollars, half of overall sales, there is for more tranches which is a five-year, seven-year, and six-year and a -- another five-year. >> what are the implications for the broader market?

reporting,ave been the market has been flooded with a slew of chinese bonds. they are star for quality investment grade bonds. tencent is needing -- meeting that demand with a five tranche offering. giving something to everyone. that is something people are looking for. >> we have that $3 billion sale of ever grand, a $6 billion sale, are we expecting more jumbo deals coming soon? >> yes indeed. we did a poll with a bunch of bankers and analysts and they are telling us about 71 to $80 billion will be sold in the second quarter. that would be, april is usually the biggest -- busiest month for asian dollar bond sales and the such of chinese oil giants as sinopec all coming out, people expecting a lot of financial companies and some kind of bonds to come to the

market. investors will be busy in the second quarter. >> tencent had a bruising year with getting approvals, what is the outlook? sayingall, people are the trend for gaming revenue is going to be low. it is a structural thing but there is a lot of potential for tencent to tap into revenue from that we chat app which is something that everyone in china is using and people in the other parts of the world are also using. that is something that tencent can tap into been -- to boost revenue. >> always great to have you on. our china credit editor. let's see what we are watching us trading gets underway. >> taking a look ahead to greater china markets, getting

reaction to the decision to cut taxes on various industries from electrical appliances and textiles to aviation. gaininghinese airlines as much a 17% in the u.s. on the back of this, we are also getting cuts of more than 100 billion yuan taking effect on july 31. reductioninclude the of service rates. this is on top of the 2 trillion yuan from last month. >> thank you for that. our markets coverage continues. the china open is next. this is bloomberg. ♪ want more from your entertainment experience?

just say teach me more. into your xfinity voice remote to discover all sorts of tips and tricks in x1. can i find my wifi password? just ask. [ ding ] show me my wifi password. hey now! [ ding ] you can even troubleshoot, learn new voice commands and much more. clean my daughter's room. [ ding ] oh, it won't do that. welp, someone should. just say "teach me more" into your voice remote and see how you can have an even better x1 experience. simple. easy. awesome.

♪ david: the legend is that you began trading convertible bonds out of your dorm room. ken: when you make a few thousand dollars as a freshman, you are rich. [laughter] david: by the time you graduated, did you say, i am now going to do this full-time? ken: i became boy genius but i knew i was lucky. david: how does somebody invest at citadel? ken: we have been closed for a long time. david: even from interviewers, you wouldn't take anything. [laughter] david: your parents must be proud of you. ken: i'm certain mom is proud of me. david: does she ever say, where do you think the markets are going, where should i invest? [laughter] ken: mom is all set. david: ok. [laughter] >> would you fix your tie, please? david: well, people wouldn't recognize me if my tie was fixed, but ok. just leave it this way. alright. ♪