♪ haidi: good morning, i am haidi stroud-watts in sydney. we are an hour from the australian market open. shery: i am shery ahn. sophie: all i am sophie kamaruddin -- sophie: i am sophie kamaruddin. welcome to "daybreak asia." ♪ top stories this friday, uber shares it plans to go public. they are operating losses since 2016. there are new warnings about the u.s. -- the global economy. the outlook is uncertain.

pilot will meet airliner after they considered the 737 max 8 unsuitable for certain high-altitude airports. shery: looking at the market close. it was a thin trading day across stock markets. by healthhed down care and real estate stocks. ybor focus on the start of the earnings season. we have j.p. morgan and wells fargo reporting friday morning. the bigls were one of gainers. s&p 500 closed unchanged. we have stocks weighing on the -- oil stocksti weighing on the markets with wti falling. let's see how we are setting up for the asian markets. sophie: after the struggle on wall street that saw thin volumes, we could see a strange

start to the asian markets. the kospi could halt a 10 day rally. kiwi stocks looking unchanged with a decent friday with more earnings from across the region. and we will learn more about the ipo for uber. waiting on chinese trade figures, keeping an eye on the commodities space as the data could offer a clearer picture of demand for raw materials. we could have the impact of the bali zone disaster and more on china's economic recovery. theysts are split on outlook for dr. copper given china's growth trajectory. softened because of refinery maintenance brent crude is gaining .1%, heading for a sixth straight weekly event. haidi: first word news. theresa may hinting at

a compromise with political opponents on a post brexit customs alliance, which would imply a softer split. conservative hardliners are calling for her to resign after agreeing to a six month delay for departure from the european union. she said it is vital to work with the labor opposition on a joint plan. agreedy: the council this extension could be terminated when the withdrawal has been ratified. for example if we were to pass a deal by the 22nd of may, we would not have to take part in european elections and when the e.u. has ratified, we could leave at 11:00 p.m. on the 31st. selina: the biggest exercise in democracy in india. it was six weeks after narendra ati -- turnout was estimated 60%.

one billion people eligible to vote for 543 members of parliament. there is one polling station and 10 electoral officials. julie massage has been charged after his long-standing refuge in london and was arrested. he appeared in court to call illegal arrest, what would be a lengthy legal battle against extradition to america. he is accused of a hacking conspiracy with chelsea manning. it has been revealed boeing said the upgraded 737 max 8 wasn't suitable for certain airports fatalefore last month's crash. it says the plane shouldn't be used at high or hot airports and more than a mile high. the ethiopian capital falls into that. one pilot citigroup made the situation worse. said it could have

made the situation worse. spacex has bank customers. the rocket blasted off from the kennedy space center carrying a telecommunication satellite that will enter -- develop -- deliver television and radio to the middle east, africa and europe. a third landed at sea. global news 24 hours a day, on air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am selina wang. for ipo andfiling giving people a look at the books including $10 billion in operating losses since 2016. the offering will be the largest in the u.s. this year and among top 10 of all time. our reporter joins us now. he much as expected. any key takeaways? >> i was surprised by the amount

of ridesharing revenue they are getting in the u.s. given lyft claimed they had 40% market share in the u.s. three times bigger. the numbers don't add up and uber certainly has the scale. they are not losing as much in job claims. hasi: one step up uber [indiscernible] uber eats. a lot of people know that lyft was a pure play ride-hailing bit, instead of something that is more diverse. it looks like the takeaways for uber eats is below the ridesharing business. it is around 10% whereas ride-hailing is around 23%, 24%. uber eats is a drag on the

overall profitability of the business but i think in the long run given uber has a subscriber base of close to 90 million s 19 million, if they can do this, that is where the market is going. it is a consolidated market where you have one platform and bundle services. cooper could be the big winner. shery: it is fascinating you say the numbers don't add up no wonder we see lyft trading below their ipo price. lysoon as uber filed, we saw ft take a hit. mandeep: compare the two companies. lyft came out on that narrative but when you look at uber, the scales they are operating in, the brand they carry, as an investor i would feel much more comfortable putting my money in

uber with the network effects and the scale. the fact that they have investments in didi, grabbed and -- pretty much you are investing in global ridesharing markets. those are the facts that help uber standout. -- stand out. haidi: even with cash flow, they will attract a premium valuation. the international monetary fund -- underway in washington. christine lagarde with an uncertain outlook. in d.c. for the meeting. cherry blossoms are out but when it comes to the global economic outlook, it is not breezy. -- pretty. kathleen: the nice cherry blossoms but bleak and gray monetary outlook because so many are saying including the imf and world bank is that the downside

risk -- not upside, not balanced, to the downside. -- china-u.s.r trade war is one of these things. governor ofis what the bank of japan said. i had the opportunity to sit down with the new head of a bank, five weeks on the job. has come down, your currency not being beaten up like last year. when you meet in may, to you think you can cut the key rate? he didn't say yes but opened the door. >> anybody who works in government should look up to growth. [indiscernible]

pricely have to focus on -- price ability. that is a priority. kathleen: are you concerned about that or inflation? >> inflation was 5.8%. right now it is under control. will belation this year in the neighborhood of 3%, plus or minus at this point. that will be the outlook for the next three years, 3%. kathleen: that is a more manageable rate of inflation. you were having a problem last year. bank responded with rate hikes. no you have what was slower than expected. >> under the medium-term plan. kathleen: slowest rate of inflation and 13 months. -- in 13 months. does it make a case of --

rates byrease interest 1.75%. now that inflation is normalized, i think there is room for some easing or relaxation. mayleen: you estimated in -- is it possible you can beat that? what would you say is a chance or what will tilt you towards leading your team to a national rate cut? >> we are considering it. it will be on the next was the agenda, but we have to look at -- prices of oil are rising again. at -- elso looking niño, maybe food prices will be elevated. we have got to look at all of this. benjamin telling me yes,

they will look at all of those things. they will be on the agenda. he was clear the inflation rate has come down where it needs to be. seems he is open to that. we will see what happens weeks now. in terms of other federal central banks, the person from the board of governors talked about -- had an interview with bloomberg television saying the fed is committed to the 2% inflation target. that is why they made their cause. she is saying there could be no need to hike rates here you but officials are making it clear they are serious about not doing too much until they hit target. one person was looking at inflation and how important it is to policy decisions. panel thating is a moderated withr

larry summers talking about david malpass, the new head of the world bank, supporter of donald trump, on his team at the white house. said david malpass was the most anti-liberal, anti-international president since world war ii. it seems like david malpass has a lot to prove. they say he could have good things like helping venezuelan refugees. he said earlier today it is important for him to be fighting poverty, very important also to be working with china. that is what the world bank is like. a lot going on. shery: mr. malpass didn't like the aid given to china. a lot of controversy but now head of the world bank. thank you very much. kathleen hays in washington.

fast retailing group cut its outlook for the first time in three years. dark thousand head for the japanese retail sector. that is later this hour. haidi: investors looking at the start of the earnings season. we will discuss the outlook. this is bloomberg. ♪ ♪

asia".this is "daybreak i am shery ahn. haidi: i am haidi stroud-watts. looking ahead to earnings season. let's dig in now with this equity reporter. it will be a nice change, looking at company fundamentals, as we seem to have had broader macro catalysts die down. with only see that earnings season which is still

to come, which will be interesting. haidi: looking at u.s. equities, at the end of this cycle, it keeps pushing higher. looking at the chart in our library, it is interesting because even though we have seen overnight, it was 20% less, not a lot of turmoil. does that assume a lot of investors are still thinking this year will be the same repeat of goldilocks? >> we do have goldilocks. interest lit rates are low and will push higher. we see worrying signs. we are very valuation -- the u.s. is on a 30 times ratio compared to 20 times the rest of the world. finding a volume -- the value in emerging markets but the u.s. is looking more valuable because of interest rates. shery: we see semi-conductor stocks at new highs. usually it is signaling a brighter outlook.

do they look interesting to you as we see global economic slowdown but chipmakers still rallying? >> it is interesting but the way we are approaching that trade is we have investment in asml which makes machines used by chipmakers. the reason we are doing that is because we like to be in the highest quality businesses. asml is one of the best in the world. my colleague describes it as the world's most important company, because they have about almost a monopoly in lithography machines used by chipmakers. without them, the world doesn't exist. we would have big problems without them. places ininteresting the chip markets. you -- if you are referring to global growth, there is room, but we want to play it with the highest quality business, asml.

shery: let's talk about the earnings season coming up. we have j.p. morgan, wells fargo reporting friday morning. are the reflects -- results going to reflect economic slowdown and how important will that be to sustain the rally we have seen? >> we almost certainly are going to see a slowdown. they have got to compare with benefits of last year and it makes stocks in the u.s. look vulnerable given high valuation. having said that, i have heard many people, successful investors of late say valuation doesn't matter. valuation doesn't matter, then i guess it doesn't matter what happens with the earnings season. we are old school. we think valuations do matter and companies that don't deliver requisite earnings growth, we could see lower prices in shares. it has been driven low byte interest rates at the moment. -- by interest rates.

given the interest rate environment there will be fresh money or new money going into equities to buy the dip. haidi: i know you haven't had time to go through the uber perspective, the cash burns versus all of the regulatory issues, but also the size is that to lyft -- generally a sector you are interested in given the conversations of valuations? carre you referring to the -- haidi: ride-hailing. [speaking simultaneously] >> we are very interested. we have researched approximately 1% to 2% of drivers in the u.s. is in these. we think it will grow, so it is interesting. haven't had a deep enough look into uber to know if it is a good investment but lyft does look good on a $20 billion market cap. it will grow a lot.

they are outplayed by rockets on at the moment -- record 10 at the -- rakuten at the moment. haidi: get a roundup of stories you need to do with today's edition of "daybreak." it is also available in the anywhere app. you can tweak settings so you just get news on industries and assets that are relevant to you. this is bloomberg. ♪

haidi: this is daybreak asia. shery: u.s. aviation regulators will meet airlines and pilot unions on friday to discuss safety issues around the grounded 737 max 8 this comes after the boeing ceo claimed a software update will make the

planes safer. let's discuss all of this with our safety reporter. what is the latest on boeing and its attempts to get this 737 max 8 flying again? >> he gave a speech today. they have made 96 test flights of the plane. testing the new software they are trying to install. the federal aviation administration meeting with three u.s. airlines that fly the plane. i think they are not only trying to assure the airlines and pilot unions they are taking every step needed but it is a two-way street. hear back from folks as to what they want, potential glitches and that sort of thing. the machinery is moving but it will take a while. haidi: we are also hearing

weretially these aircraft not appropriate for certain airports including the one used in the ethiopian airlines crash. airplane takes off, pilots have to do computation before hand to determine if the takeoff is legal and whatnot and as far as we know, that occurred here. the plane took off. it was perfectly fine for those conditions as for his information i have gotten. us about the sensors that are under scrutiny. >> it is interesting. there was a sensor malfunction that caused a safety system to push the nose down. throughtaken a look several hundred thousand safety incident reports and found there had been a few cases that were very similar to the underlying

failures that took place in these two crashes. in all those cases pilots were able to handle it and handled the plane but offers interesting insight the only into how complicated the failures were but also raises questions about whether the regulator in boeing looked at those carefully before a certified the plane. always appreciate your time. the latest on boeing as these woes continue. jeff bezos has delivered his shareholder letter rebuffing calls for amazon to be broken up. to lessenwarren wants the influence of big tech. jeff bezos argues amazon has third-party merchants. sellers on the marketplace count for 80% of gross merchandise sales on the platform. shery: tesla dialing back on the

giga factory project with panasonic that has swallowed billions of dollars. they have frozen spending on the plan with tesla indicating they could ramp up that reproduction at the nevada factory. thursday, it on has declined almost 20% year on year. haidi: deutsche bank and commerzbank facing more problems. labor unions are trying to block their merger and push out. there is a bid to avoid thousands of job losses. to helpe is supposed the german economy but facing opposition from regulators to lawmakers questioning the benefits of such a deal. we will talk about saudi aramco. have they fallen into a well run dry? this is bloomberg. ♪

mandeep: this is daybreak asia. cooper has launched an ip -- uber has launched an ipo, expected to be one of the top 10 biggest in history. they showed a loss in 2018 and warranted near-term losses will continue. the stock will list on the new york stock exchange under the ticker uber and has something on its rival, lyft. showing some success here. havedical and others scrapped plans to list in hong kong. they will trade on shanghai's

new board of instead. the news is a vote of confidence after regulators said the board will have looser rules for ipo's. one of president trump's picks for a board is losing support among republicans. a fourth senator will vote against the person, saying the democratscutive -- remain united. but is the agreement will -- north dakota's kevin cramer will not vote on this guy. president -- the sudanese president has been overthrown. now they announce a month-long dusk until dawn curfew. he came to power in 1989 but came under pressure over soaring living costs and inflation at 70%. human rights groups say 50 people have been killed and thousands arrested in protests since december. global news 24 hours a day, on

air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am selina wang. this is bloomberg. shery: sophie kamaruddin now in hong kong. looking at a mixed session in asia. when it comes to what we are watching with stocks, japanese earnings season kicking off, we -- watching for earnings wanting for reactions after this company dropped and orders sank 70% in the fourth quarter. this one may move on a nikkei report that it would invest ¥3 billion with goldman sachs into a startup, which is behind an online fashion retailer. they will take on those oh -- on zozo. forgovernment targets copper and gold for the year. looking at the aussie dollar, trade figures do this morning,

volatility for the currency at a 15 month low and the aussie is holding steady ahead of the stability review. the aussie dollar could downtrend as it has for over a year. the aussie has gained 1% in 2019 against the greenback. the yen looking little changed after sliding the most in two weeks overnight. data showed a firm u.s. labor market that helped to boost the u.s. dollar against the yen. haidi: sophie kamaruddin. after initial frenzies in saudi aramco fund -- they sank for a second day. there is a question on the depth billion in of $150 investor orders. tracy, the exuberance faded quickly. that blockbuster debt deal is looking more straight to video. we have bonds falling on the

second day of trading for basically all of the trenches involved in the deal. the 10 year is the most actively traded. it was $3 billion of 10 year debt. the spread u.s. treasury's fromed to 1.2% thursday up 1.5% when the deal was priced tuesday. this casts a major question mark over the size of the order, but also on pricing which was aggressive. reality, thes the vicious cycle of investors, a of missing out on allocations? ofi have written a number articles on how the allocation process, syndication process is one of the last wild west areas of wall street. it is known for a lack of

transparency, and you have the padded order books. usually you don't get $200 billion worth. what happens is investors in a hot deal know they will not get all of the g8 -- the debt they ask for. so instead of that, $20 million, they put in a major order for 100 million dollars. if they ever got $100 million worth, they would be in trouble but rarely ever do. that is how we get this padded order book phenomenon. this has come across the eyes of regulators but not a lot has happened except in europe where they made padded order book inflation illegal. it still happens. now the question is whether or not it happened here. we should talk about the pricing . it is up to the syndicate anchors, underwriters of the deal to manage this process. they know the order book will be

padded and know what pricing is going to keep demand high in the secondary market and should be avoiding selling the bond. looks like there might not have done that here. shery: tracy alloway there, thank you. over in the u.k., the prime minister has hinted at a customs union compromise with the opposition later party in order to deliver exit. this comes after she secured the second departure delay, now october 31. ramy: how far are the promises broken away? march 29 was the initial brexit departure day. now october 31 and now theresa may hinting the possibility of compromise on a union with labor here. with labor they have been calling for this custom you. brexiteers calling for her resignation.

mores saying there is light between them than you might think. this is there is more agreement. she says we want to obtain benefits of a customs union, no tariffs or rules of origin checks or quotas while being able to operate our own independent trade policies. this has a lot of investors concerned, frustrated, not sure. if we look at the british pound, we see it fell a quarter of a percent over the course of the most recent trading session. you can see the down draft in the most recent trading session. the end game, she still wants the brexit delay -- the brexit before may 23, when european parliamentary elections happened. she has been having talks with jeremy corbyn. not sure what is coming out of that but she says she wants this

to happen. no one knows when it will happen. haidi: securing that cross party deal could be crucial. the other element is along with the extension, her political enemy still have more time to overthrow her. she has survived incredibly. we were talking about this yesterday when our correspondent said there might be a fourth time she might bring back her deal to the ministers of parliament. if you are an mp or the u.k. public, there were a lot of rivals when that happened. that is making people -- a lot ls when that happens. but is making people frustrated. she is not doing it -- this person says mrs. may made more than 100 pledges to leave arch

29. people are more and more calling whether or not she can be trusted on this. he also asked whether she would resign. she said, i think you know the answer to that. read between the lines, the answer is no. haidi: ramy inocencio with the latest on brexit. the imf cut its outlook for global growth to the lowest since the financial rises but still sees upside in china. they see growth increasing to 6.3% but imf asia-pacific director told us it is dependent on what comes out of trade talks. now we see china's growth rate at 6.3% this year. tariffsy we assumed the wars, tariffs increase would start to 25% in march.

now we have a temporary truce -- china in anticipation of the slowdown has relied on stimulus. it divides chinese growth with the assumption of tariff truce. ,he depending on the agreement -- upside risk. they have incorporated some optimistic view [indiscernible] by june. if there is no agreement and the market [indiscernible] too.ther asian countries on the other hand they agree on some agreement better than a trade truce. there is upside potential. impact you aree seeing not just in china but other asian nations, economies

are so closely linked with china to also depend on trade and exports. how is this affecting them? >> we usually say when china slows down, everyone else slows down. so why you have to get this trade agreement is important. right now the original agreement can boost confidence in the market and improve the general trade volume so -- [indiscernible] is agreement, if it is bilateral and china has to grow -- buy more goods from asia, increasing exports, this can have a negative impact on selected countries depending on what they are exporting. overall [indiscernible] kathleen: in terms of where you see the impact greatest so far,

would you say it is south korea, vietnam? where is -- where is it? >> in the last year, [indiscernible] if you look at trade volume in isna and asian countries, it good until november. we only see slowdown in december and january. it is early to say but that is there was a price increase. when china's tariffs increase, there was increased divergence for other countries. so the impact overall was minimal but for now with no agreement reached, it can have a large impact. talksen: let's say trade take a long time. insignificant? is it hard to say who is hit hardest and how bad it gets?

>> it depends on the details and what agreement is reached. it is premature for me to guess what happens. what we are worrying about is if they don't reach agreement, market sentiment with financial thants will be larger impacts through the trade channel. that is [indiscernible] director speaking with kathleen hays at the imf's spring meetings in washington. realizing -- fast retailing cutting outlook. the state of japan's retail sector next. this is bloomberg. ♪ is is bloomberg. ♪

haidi: counting down to the start of trading this friday's session with asia's major market open just a minute. japan futures looking like this, upside with nikkei 225, a

quarter of 1%, tepid start to trading after volumes fell in the u.s. investors turning their minds to the start of the earnings season amid a great lack of -- a lack of great capital driving. we are seeing china's trade data to give us another piece of the puzzle when it comes to how impacted the trade situation is with ongoing trade talks. the market open in japan, australia and korea coming up in 13 minutes. this is "daybreak asia." shery: fast retailing lowered their broadcast -- forecast for the first time in several years. put pressure on margins. despite the slowdown in china, the ceo says he sees no adverse impact on sales.

i don't think there will be any slowdown in the apparel business in china. we have only managed and close 1000 stores where we have ¥5 trillion of demand. it is a nation with 1.3 billion with growing buyers. i expect china to be the biggest purchasing market in the world. just: joining us now from great to have you with us. inknow unique low is a giant japan and overseas. looking at the earnings picture in general, how do sales compare with these retailers? >> right. it is quite a contrast, those with a sizable overseas business actually have bright spots overseas. that speaks for fast retailing or even e.on.

-- the mystically speaking, minimum wage increase, labor crunch, conception tax hike looming, existing stores are being x-rated with market. shery: you mentioned the labor crunch. sincelows we haven't seen 1992, how much of a problem is this? nobuko: it is putting a lot of pressure on the retail and wages as well. they are being forced to really rethink fundamentally operating models which was being taken for granted for so long in japan like 24 hour operation for convenience stores or new challenges like how to go cashless transaction. the --equire, and require capex. haidi: you spoke about the

sales taxm the next hike. the last time they did this, it was devastating to the japanese economy and consumer spending. is there a good argument the government could put it off again? nobuko: there are a number of new majors being held off from the holiday current abeinistration -- the current administration. we will have to see because many are new. it is combined incentive to go cashless in japan. the economies expect to the impact will be offset compared to the last time. the current cabinet will do everything it can do to minimize impact. spendingen it comes to and the slowdown across retail, is it a demographic story for japan or is there some way that

people like fast retailing can kickstart investments they are making into i.t. and technology? think it is a big story, how to digitize the operation and modernize retails in general in japan. fast retailing is one of the companies on the forefront of that. capexwould require major and change of him owes in the system. if successful it can boost productivity and innovate the user experience. we have policy changes in japan like labor reform coming up this month. reducing i believe overwork. how will that affect retailers? strictert is a much

restriction around over time. i think it is actually maybe they contrarian view but positive for retail because it would mean the workers and consumers, therefore consumers, will be more time rich if not wallet rich. , it is a growth opportunity. i would think of an operation grocery and restaurant that would be in addition to entertain consumers and shoppers beyond traditional food services. impacthave you seen any on the trade tensions, european economic slowdown? absolutely. there is indirect and direct impact. the chinese economy slowdown means fewer inbound tourist growth.

department store stocks which is like a proxy for domestic chinese economy will be hurt. indirectly speaking the economy slowdown what impact wage growth in japan. combined with negative asset value effect, it would negatively impact consumer sentiment. shery: thank you for joining us. extremists on any of that conversation, go to tv on bloomberg. catch up on past interviews and also watch us live and dive into securities or functions we talk about. .ecome part of the conversation send us instant messages during our shows. we will try to ask those questions to our guests. it is for subscribers only. this is bloomberg. ♪ ♪

asia. this is daybreak

i am haidi stroud-watts in sydney. shery: let's get a check of business flash headlines. china's largest developer is considering listing in hong kong. china banker is considering a sale of its property management is this that could raise $1 billion and the offering could happen as soon as next year. they would join other developers, which are less prone to economic cycles and policy changes. haidi: the founder of dubai-based garage group has been charged with inflating the value of the firm's holdings and was stealing hundreds of billions of dollars from investors before it collapsed. they handled $14 billion but forced into liquidation in june after investigating new management. they were the biggest property insolvency. could be going

overseas. looking at markets outside the u.s. for the online platform. they comes after hulu saw a surgeon customers after it slashed prices of entry-level version by 25%. itsey is also pushing streaming service as an international product that has universal appeal. looking at the market open almost upon us. futures pointing to a mixed start of cash trade. the yen is study and the seeing dollar unchanged -- the yen is sing dollarhe unchanged. panasonic focus on nikkei after tesla is freezing expansion its battery factory. earnings have been held hostage by the weather in japan.

and some things in play with the uber ipo. softbank has priced its mega bonds, the biggest ever offering of a single trench. here's a look at the gtv library, illustrating how the is trailing by the most since shinzo abe took office in 2012. this highlights the winning appetite for japanese stocks among foreign investors as they billion in the22 first quarter. investors have a lot to consider especially into trade talks between u.s. and japan. abenomicshusiasm over is fading. plenty more ahead on bloomberg television as jill -- disney reveals its streaming service to challenge netflix. we are joined by chairman and ceo bob iger. and counting down to the japanese open. we have seen the topix trading

at the lowest level relative to the s&p. global news 24 hours a day, on air and @tictoc on twitter, -- this is bloomberg. ♪ so with xfinity mobile

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stroud-watts in sydney. shery: beginning from bloomberg's global headquarters in new york. welcome to "bloomberg daybreak: asia." haidi: our top story this friday, over shares its plans to go public. $10 billion in operating losses since 2016. new warnings about the world economy. global outlook is quite uncertain.

uniqlo's owner is in the spotlight as a mild winter brings implications for sales. shery: breaking news out of singapore, the latest first quarter gdp numbers, quarter on , the economy grew 2%. that is missing expectations of growth of more than 2.2%. it is still an acceleration of growth when it comes to the previous quarter, when it grew by 1.4%. year on year, the economy grew 1.3% in the first quarter, missing expectations. decelerating from the previous quarter. we have seen growth remain above 3% until the third quarter of last year. a huge deceleration, given the export situation. not looking that great. export softer in the first two months of the quarter. we are seeing those reflected in the gdp numbers. we are getting the latest out of singapore, they have maintained

the center of the currency band. policy is consistent, with modest and gradual appreciation of the singapore dollar. you have kept the extender of the currency band. am not changed much. not that much of a change, because we have seen tightening from the deming facto monetary authority, central-bank of singer. we are hearing that they have maintained the slope in the .enter of the currency band we could see a big reaction in the markets on the singapore index opens, as we see perhaps a slightly more dovish turn after that tightening they had going on, coming into the latest policy decision. gdp growth quarter on quarter, 2%. they have maintained a slope with a center of the currency band. let's get the latest market action.

a quick note, we aren't seeing too much reaction, staying within that tight range. 225 atyo, the nikkei 1/10 of a percent. downside pressure for the topix after a decline. japanese shares have lost their appeal to foreign investors. the widest gap in the 20 -- in the s&p 500 since 2012. under pressure, off about 2/10 of a percent after a 10 day rally. -- korean the chip weaker memory market is heading for a worst-case scenario after surging infantry levels. -- inventory levels. boardng and, flipping the , about 2/10 of a percent. the aussieins while and qb dollars our study out of chinese trade figures, which will come in after the new year.

kiwi shares little change. this stock is on the move in tokyo this morning. sing dollar trading closer for the 136 handle against the dollar, on the back of the update from singapore central-bank. we have it cutting its inflation outlook, along with gdp figures. electric, the stock losing over 3%. liftedseeing the tokyo -- listed shares, as the company sees profit dropping this year. a 39% lunch in orders to china. let's take a look at fast retailing guides, that stock is jumping over 5.5% this morning. fast retailing inground, despite lowering its annual profit

outlook for the first time in three years, forecasting $2.3 billion in operating buffett for the year, ending in august. mild weather in japan led the retailer to discount unsold clothing. haidi: let's get a closer look .t those gdp numbers our chief asian economic correspondent joins us. is thisped out to me revision down when it comes to core inflation numbers and expectations being lowered to the 2% range. this idea that we are going to see below potential growth is interesting for singapore, given how many parts of the economy are externally honorable to trade headwinds and global demand. exactly. i think that is why people are interested in singapore. economy, itl, open is seen as a proxy for the global story. as you know, they are facing pressure from china, from the

rise of protectionism globally, from exit, and if the risk is -- the u.s.kers, goes after automakers, they are facing pressure from that. enough being reflected in the gdp numbers this morning. consumption is under some pressure, household spending is not what it was. they are pure they looking at downward pressure and inflation over there. on the upside, there are some hints that inflation might be picking up. today consider this against the backdrop of the imf commentary this week, the world economy is in a delicate state. singapore backs of that view, there is a lot of writing on how trade talks come over. a lot riding on whether or not china's economy will find its feet. only lostgapore not the first quarter growth

potential, but the 2019 gdp growth pace is slightly below potential. they are holding for the gdp estimate under the midpoint of 3.5 cent. can we expect them to join the global chorus of dovish central banks now? enda: look at the inflation forecast. they are not under pressure on the inflation front. .hat would give them some room singapore does not use interest rates as its monetary policy tool, it manages against the basket of currencies. they did tighten twice last year, so they will have some scope to ease up if they need to. it appears at first glance of their giving signals today. i think as the year goes by, there is no doubt, central banks are expected to turn toward policy easing. we know that will take a lot of pressure off then. to be growth continues under a degree of pressure. singapore is very much in that bracket. whether they need to, we won't

know. i only need twice per year. a lot will depend on how the trade story plays out. that is going to the key. our chief asia correspondent, giving us trade numbers out of china. let's get back to a story we have been tracking. today is the big unveil for disney's new streaming service. we know disney plus will cost seven dollars per month. novemberto launch on 12th. disney plus will be exclusive streaming home of shows including the simpsons. they have included a number of the star wars tomes. disney plus will have up to 90 million subscribers by the end of the year 2024. they really spending $1 billion on streaming programming. a lot of content there. of sixooking at a cost whichs $6.99, a price

unveils netflix. disney delivering what looks to .e an apple style presentation we will be getting more details, expectations, and outlook from bob iger later this hour. we will be speaking to him. emily chang willison down with the walt disney germany and ceo to talk about all things disney plus, the new streaming service. let's get you to first word news now. theresa may is hitting a compromise with her political opponents on a post brexit alliance with the eu, move that would imply it even softer split. conservative hardliners are calling for me to resign after agreeing to a six-month delay for the departure. she risks further inflaming the argument by saying it is vital to work the labor opposition on a joint plan. >> critically, as i requested,

the council agreed to this extension, it could be terminated when the agreement has been ratified. if we were to pass a deal by the 22nd of may, we would not have to take part in european elections and when the eu was rectified, we would be able to leave at 11:00 p.m. on the 31st. ramy: at least four people were killed in clashes as india launched the world's biggest exercise in democracy. the election stretches over six weeks as the prime minister seeks a second term. turnout is estimated at more than 60%, with almost one billion people eligible to vote for parliament. the election has one million polling stations and 10 million electoral officials. wikileaks founder julian assange has been charged in the u.s. after being expelled from his refuge in london and being immediately arrested. here. in court to complain of what he called an illegal arrest at the star of what is expected to be a

lengthy legal battle. assange is accused of a hacking conspiracy with former u.s. army analyst chelsea manning. it has saidrevealed that boeing the upgraded 737 max 8 is not suited for certain airports even before last month fatal crash. document says the plane should not be used at high or hot airports, more than one mile of high. altitude has not been cited as a factor in the disaster, but one 737 pilot says it could of made the situation worse. its falconlaunched heavy rocket for its first paying customer and later retrieve those boosters. the rocket blasted off from the kennedy space station, carrying a telecom satellite that will deliver internet, tv, radio and mobile to the middle east, africa and europe. to rocket boosters can -- the

third landed on interim barge at sea. global news 24 hours a day over the air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am ramy inocencio. this is bloomberg. shery: thank you. the countdown has begun to the most anticipated u.s. ipo of the year. ae right hailer has filed for shells florian will list on the new york stock exchange under uber. su keenan is here for more. huge excitement, despite the fact that the company is still a money-losing machine. su: and what extent they lose money. this is the first time potential investors have been able to look under the hood. the filing was made shows they lost $3 billion on an operating basis in 2018 alone. that was on revenue of $11.3 billion, bringing total losses to more than $10 billion.

according to people close to the matter, uber is seeking to raise about $10 billion in its ipo. we know, according to people close to the matter, that the plane to kickoff the roadshow this month and would begin trading as early as may. morgan stanley, goldman are leading the offering. we also found out there are some legal issues. a justice department probe having to do with a computer related rake in. the uber ceo had a quote on this occasion, saying some of the attributes that made you are a while the successful start up our, willingness to take risks that others might not, is putting a nice spin on the risks. it led to missteps along the way. clearly, he is referencing some of the information there, but a lot shows the huge growth rate for the company. you can see how it is going to

be one of the biggest ipos out there. is king of the pile at this point. you can see how the company has grown through various funding rounds in the previous years. it has consistently grown, which shows investor confidence. you also see that most of it comes from the north america, 2 billion comes from latin america. revenuet amount of comes from the asia-pacific. that might have to do with the fact that initially, many cities did not want over there. again, some fascinating information, a lot of investors will be digesting this and deciding over the next couple weeks whether to put their money down and get involved in trading this. haidi: we have seen pressure on lyft, the rival service that was

meant to be the pure player on ridesharing. it beat over to the punch in getting in first. su: it did, but now it has uber on its tail. you can clearly see the pressure on lyft shares. if you take into consideration the fact that lyft has been on a rough ride and many say it does not look like it will get any better because of this big drumbeat to the uber trade. stocklook at the way the is traded, it fell 11% yesterday. 17% offwn 14% -- or, two weeks ago. it increase the number of shares sold. it was also highly anticipated. can this company live up to the hype that is a big question out there. there is a lot of focus in the coming weeks that will be on its rival, bloomberg. how these two companies duke it out in trading is the next piece

of the puzzle. it will be an interesting ride to watch. haidi: interesting ride indeed. su keenan in new york with the latest on over and lyft. let's look at the tokyo session. sophie: toshiba followed the most in two months after china's enn energy scrapped a buyout of the company. the disintegration of this is a blow for toshiba it has resulted in it abandoning plans to develop with the company. seoul,g in on a river in off about 1%. this market is heading for a worst-case scenario as the sector grapples with surging inventory levels. they may sector vice profitability to maintain market share. nomura has trained targets. accumulating

memory maker shares ahead of a likelyb-shaped recovery that it sees in 2020. haidi: still ahead, heading to l.a. to talk to bob iger about disney's brand-new streaming service. shery:, if you are feeling lost from forex, we have -- we will be joined by mullen fx macro strategist john velis, this is bloomberg.

shery: this is "bloomberg daybreak: asia." haidi: i'm haidi stroud-watts in sydney. the imf and world bank meetings are underway in washington, warning of an uncertain outlook. our global economics editor is in d.c.. when it comes to specific regions and countries and expectations, what are you seeing? the tablelet's set

here, because it seems that the imf is trying to pound home this message that they are concerned about the global economy. we can just put it to one side. certain downside risk materializes in you see the balance of risk tilted toward the downside between a chance of a no deal brexit, the u.s. china trade war that for example, volatility in markets. u.s. stocks, so many stock market up one day, down the other. this could be the tip of the iceberg. christine lagarde said today that the deal theresa may struck with the you to get an extension october isntil something that has averted what could have been a much worse crisis. thatas imf officials warn the global economy is facing these threats, the head of the bank of japan, governor kuroda was talking to reporters and said the world economy is

slowing down, but i think it will pick up in the second half. he thinks that china's stimulus europe willnd that see recovery as well. officials put up high hurdles to rate hikes, especially the fed board governor, that spoke to bloomberg exclusively. she said we have to get to 2%. that is our goal. suggesting that until they get there, no rate moves at all. telling us in quite another way, they are looking to eat as well. not necessarily that they will do it in may. one more thing of elected put on the table is the new head of the world bank, appointed by donald trump, he has been part of his team for the last couple years, getting attacked pretty severely by the former treasury secretary , saying that now he has to

assure everyone that he is not an anti-liberal thug. he is not too pleased with his appointment. interesting to see how he deals with this. he certainly said he thinks that the world bank and u.s. needs to try to deal with china more constructively. he has criticized that they get money from the world bank when you're the world's second-largest economy. an interesting start. shery: thank you so much. here with the latest from the imf and world bank meetings. let's see how this macroeconomic environment, not to mention the latest geopolitical headlines will affect currency markets. joining us now is bny mellon fx .acro strategist, john velis great to have you with us. let's start with the u.s. dollar. we have seen it range boundaries. this gtv chart on the bloomberg showing the dollar trading range has been caught by conflicting forces, from trade headlines and

dovish fence, not to mention global growth. which side will win? that i would have to say think in the short-term, i'm getting a little more optimistic. we have seen some green shoots of greece -- a decent data in china. i will remain in the skeptical camp about the progrowth generally. i can dismiss the china numbers for the time being, because it disposal new year. -- because it is post new year. i'm not convinced the china stimulus is as big a picture as we have seen in the last 10 years. all of the things you mention from the imf report are still out there. we are seeing falling inflation, falling demand. there is a reason every central bank has made a dovish. and done so quickly and in such a seemingly coordinated fashion. the worries about global growth are not yet behind us.

well.ill keep the dollar it is the highest yeller in the g10. even though it is overvalued, it is over held, between deficits continue to grind worse, and the fed went dovish, but every other central bank has moved about proportionally dovish as well. with such low volatility, that will continue to be how investors park their money. shery: if you are expecting an asian fx rally on the recent optimism we have seen from chinese data, where are you focusing your attention when it comes to specific asian currencies? john: i think that is right. against the background of longer term doubts about the strength of the global recovery in the short-term, we will see some optimism. we may have overdone the pessimism. the ims report might be the high water mark in the current

period. that will make investors continue to look to where bond yields are quite high and economic fundamentals are good. that turns out to be asian fixed income, which means asian fx should rally. we have already seen the cracks in turkey. south africa is probably vulnerable. i am concerned about latin america and i see the mexican peso as a proxy hedge. mexico has done problems and trade tensions with the u.s., the border being closed, reports of shipments taking a long time to clear customs. of course, the nafta 2.0 agreement has got an uncertain date. i would prefer, in this short-term optimism, to look at asia as a place to fund some week, more volatile currencies. haidi: assuming you still have a bit of that faded expectation

that the u.s. dollar remains the best out of a bad batch, what happens to the yuan, particularly in the fact that has become an anchor currency for emerging-market asian fx? will i think the rnd, cny be constrained by political concerns. as long as trade discussions are positive- we've seen signs from both side that things are moving nicely. i don't think the chinese want to throw another shot across the u.s.'s bow while these negotiations are going on and be charged with currency manipulation. the value of the currency will be included in whatever occurs. i don't think chinese authorities can let the cny go too far toward 7%. i think it will fluctuate and be managed just shy of that. quickly, i want to show you this chart, we are taking a what, me worry.

some traders are still worried. is this more around us is than sanguineness? john: if you look at where sterling is, it is about 130, depending on the day. given that we've managed to get another reprieve in the prime minister is being conciliatory , i think the upside potential is there for sterling. i would rather sell it against the euro. the eurozone, in addition to budgetissues, will have strains. not just italy, with low growth. we will have questions about italian debt sustainability once again. france could be next if rates plunge. rally to the eurozone good call, but where it is right now, it is a must a 50-50. it should be higher, given that

whatever outcome, it will move one way or the other. investors seem to be perfectly hedged on a good or bad outcome. haidi: really appreciate your views. john velis from the ny mellon fx macro strategist. this is bloomberg. ♪

ramy: this is "bloomberg daybreak: asia." i am ramy inocencio with your first word headlines. we were has announced its ipo, expected to be the biggest u.s. listing this year and one of the top 10 in history. the filing shows a $3 million operating loss and near-term losses to continue. the stock will list under the ticker uber and the news heaps pressure on smaller rival lyft. future attempt to keep tech stars at home is showing some success. three firms have scrapped plans to list in hong kong.

they are expected to list on shanghai's new tech board. the city has yet to attract any mega startups, but the news is a vote of confidence after regulators said the board will have looser rules. one of president trump's picks for a fed or deceit is losing support among republicans. a fourth senator has said he will vote against herman cain, all the sinking any chance of the former exec being confirmed. if democrats remain united in opposition. north dakota's kevin cramer says he will not support came and is calling on the president to choose someone else. sudan's president has been overthrown as the army seizes power, suspending the constitution and announcing a month-long dusk till dawn curfew. coup into power in a 1989, but had come under pressure over its soaring living costs, that saw inflation top 70%. human rights groups say 50

people have been killed and thousands arrested in protests since december. global news 24 hours a day over the air and @tictoc on twitter, powered by more than 2700 journalists and analysts in more than 120 countries. i am ramy inocencio. this is bloomberg. haidi: thank you. time for a quick market check. mixed, asian stocks are halting a 10 day rally. the korean won is on the back foot once again. resuming gains up 6/10 of a percent while the aussie dollar is marginally lower, with volatility at a 15 month low. the financial stability report is due in one hour. the governor setting next picture makes the next decision hard and the dollar under pressure, off 1/10 of 1%. ,taying in a tight range putting a tightening bias on hold and downgrading its 2019 inflation outlook.

and 137 overen 135 the next 3-6 months. nikkei 2 is2 looking5 little changed. let's look at some of those movers in tokyo. i want to highlight retailer lawson, falling 12%, the most in eight years, after cutting dividend payouts. forecasting a 30% drop in net profit, due to its decision to wind up low profit stores. intelligence reckons orders may have hit at the bottom of the current cycle. indwinds from slowing capex china and weaker demand from the chip industry will likely continue. fast retailing jumping as much as 6.7%. they say the worst is over for , after a hiserator profit outlook for the first

time in three years. sales to beat analyst estimates. shery: thank you so much for that. the international derivatives association says singapore and hong kong are the two important cities in asia for trading over the next 3-5 years. tracy is with its ceo in hong kong. >> thanks so much. i am here with scott d. o'malia, the former commissioner, now head of isda. i want to start with a global issue. something that affects trillions of dollars worth of derivatives. that is libor reform. how's that going? scott: it is a long, but important process. there are $370 trillion in ibor pricing. to we need to move off of that, to a more risk-free rate scenario based on transactions as opposed

to bank surveys. that process will take a long time. we have a lot of support from federal regulators globally who are very focused. gave a speechman the other day, saying more needs to be done. in ibor370 trillion contracts, 80% is in derivatives. we are focused on making sure there is a smooth transition off of ibor and onto risk-free rates. >> the u.s. has put forward an alternative reference rate. andt the clear front runner is it going to be possible to have a one-size-fits-all solution? >> scott: you're going to have a lot of different ideas about this. that is the risk free rate and it is built on transactions, which is very important. i do think that is the leader, without a doubt. volume in that is growing. , thissee more contracts

is going to build over time. it is not going to be immediate. it will take a while. we will continue to focus on helping the industry understand what it's trading relationships are, because they are used to trading ibor, we want to focus on how you can get familiar with risk free rates and begin transitioning your book. we want to stop filling the bathtub. >> what are the next steps when it comes to replacing libor? what which elect like to see from regulators or industry participants? scott: a lot is education. we have spent the last 1.5 year transitioning, making people aware of not only what they need to do but what is in their legacy book. when your exposures today and how do you fix that? is this specifically working on developing fallback rates. outant to be able to stitch ibor in the contract and replace

it with a risk-free rate. we are consulting with the market to make sure that it is completely comfortable with that and prepared to take up on a voluntary basis. to replace libor in their contracts, in the event that it disappears in the future. we want to have safety and soundness for that book. this contracts can go on for 30 years. we need a solution. we will be focusing on the fallback, but also trying to help transition smoothly and efficiently to the new risk-free rates. >> let's talk about the big issue for the derivatives industry. brexit and the preparations going on around that. we had the eu agree to grant a one-year temporary license for london clearinghouses when it comes to derivatives. are you confident that that will be enough to avoid disruption? scott: it is important and we appreciate the official sector response. it was a global effort. the european commission, etc.

were very involved to make sure that was a smooth transition. this is an issue of risk in it is very important. we can't leave it to chance. a lot of the work that we do is to make sure a transition is solved for. identifying problems, spotting solutions. that is a key risk issue. you have some he contracts that involve counterparties. do not want to upset the balance. >> what you think the european derivatives industry will look like post-brexit? do you think the clearing business is naturally going to migrate to places like mainland europe or ireland? scott: the global rulebook is in place globally. this is something we have worked for for years. for the past 10, countries have been implement a global reform. they have all been focused on making sure we had a transition. we think that this should be a

strong level of compliance and deference on each jurisdiction. then you can have a smooth transition. it does not have to be a location policy, it is not have to be europeans trading in europe. this is a global market and we have to think about how the rules all aligned on a global basis. consistency and transparency. >> speaking of a global market, you are here in asia. the first time isda has had its meeting in hong kong. you're quite active when it comes to talking to the chinese regulators, specifically securities regulators. what is on the agenda when you talk to them? what are the big talking points? scott: asia is a long-term growth story. we think about what is necessary in order to finance economic development in this region. markets are relatively small, so we think about how we need to move capital from where it is to where needs to be. infrastructuren

financing is needed to support economic development. we need to make sure that the risk management tools, market regulations, and legal foundation for a strong derivatives market is in place. that is what we focus on. we talking about legal foundations for bankruptcy reform to make sure we have that in place. with that, the market will thrive. >> what you think about the pace of china opening its capital markets? on the one hand, investors want more for china, but on the other hand, they are stability concerns. no one wants to see china do things too quickly and make a mistake. scott: i'm not a china expert. we work to identify the solutions and challenges for the market. we think liberalization of the market is important. they have some of the largest global banks. the economic development potential is significant. we would like to make sure that we have a transparent global

system that people can work through reliably and halve the hole foundations that are important. china has been part of the g20 discussions. they're implementing capital rules, financial reforms. they are part of the global discussion. we don't think china is an outlier in any respect. how china liberalize is a bit opaque, but we stay close to that and support it. >> what about credit default swaps in china? we have seen an enormous amount of concern when it comes to the potential for china to default. part of the story is the need for hedging tools, could you ever see a western-style cds market? scott: i think we could. there is no doubt about that. when you think about any cash market product and the appropriate hedging tools, that is what this is, to make sure that you can balance your risk and inappropriate way.

i think the market would or should be open to that. we want to make sure the market is fair and transparent. rules sure you have the clear so you can have printable outcomes is important. we would advise that for not only china but vietnam, japan, the u.s. and europe as well. >> scott o'malia, the head of isda thanks for joining us. a lot going on with comes to asia capital markets, but also brexit in the future of the derivatives industry as well as libor. something that affects trillions of dollars. haidi: something for everyone. bloomberg executive editor tracy alloway with international swaps and derivatives association chief executive officer,? --international swaps and derivatives association chief executive officer, scott o'malia . its newntendo launches vr headset. willoughby again changer? live in tokyo next. ♪

haidi: we're looking at live shots of tokyo. trading .25% topix lower. gains of about 1/10 of a percent. we are waiting on china trade numbers coming through. that would -- that will give us the indication of how much the trade war is weighing on demand infectivity generally. -- on demand and activity generally. nintendo is making a push into virtual reality with the .ew labo vr it will retail for about $80 and be compatible with games such as zelda and super mario. news pushed nintendo shares to a two-month high. we are at a store in tokyo,

waiting to get his hands on a labo. nintendo's coming into the the vr market late. how are they planning to stand out? vr has been on the market for three years. nintendo is coming into the game late. the way they are trying to stand out is by taking a symbol of which. their vr headset is the cheapest on the market. headsets that have a lot of content on it. $80 is the basic praise, but you can buy it for $40, about half of what you can buy the cheapest one from google and samsung. it is about 1/10 of the price of some of the more expensive ones. nintendo is taking a cheap approach, it is made out of cardboard. it is not superpowerful, so the games it can run are simple. what nintendo has done is giving you a lot of smaller experiences

to enjoy. you$40, you get a decent if -- vr experience that you can try and pieces here and there. it is a meaningful start for them. it is the first time they are getting into vr. to have athis likely significant impact on nintendo's business and strategy? it's strategy is to basically get you to buy the switch. that is the home -- what everything is built around. by making this cheap, it is trying to draw in some parents that want their kids to try vr in a safe manner. nintendo has talked about that they are scared that people might get sick when playing vr for that they look silly. the way they had designed their vr kit is that you don't actually have a strap to put on your head. you have to hold it up to your

face. it does not envision it -- people doing it for more than maybe 10 minutes of the most. it is something you can pass around to everyone. it is a family-friendly way to try vr. that is the strategy. ultimately, if people you have done it, it becomes a social thing, that can boost sales. i think that is their strategy here. elaborate a little more on the idea that people could get sick from using the switch, given that it is less powerful than the ps4 and gaming pc or the latest smartphones. the frame rate could be a bit too low. that is the big question. before this product was released, the switch is one of the weakest machines for running vr. even some smartphones. if the frame rate drops below 30 frames per second, it can start to seem pixilated and people

tend to get sick. some early reviews have shown that if you use it for more than 10 minutes, there is the potential to be a little nauseous. i think nintendo is aware of that, which is why it went back to designing begins for a short time. that is their approach to dealing with the sickness. the thing that most gamers are excited about is actually going to come in two weeks. that is when you can play some of nintendo's biggest games, like zelda, super mario odyssey. the real test will be how those gains are designed to run on the limited hardware that the switch provides. if they run well, this could become a killer app. overnight, zelda will become the biggest game on the vr. the big question is going to come in two weeks, how does the switch run it? haveit make people sick or it figured out a clever way that you can control it without getting sick?

big question, we will find out in two weeks, but for today, they are launching the er headset. $40, a cheap way to get in. way to interact with super mario, which i think will get a lot of people excited. overall, it is the first step for nintendo. so far, it seems good. $40, you can't go wrong. haidi: our asia tech reporter there in front of the store, waiting to get his hands on this new toy. let's get you a quick check of nintendo shares, trading in tokyo a little lower as we get the launch of this new vr labo device. most japanese gaming stocks are trading lower. square enix off by more than 1%. sophie is looking at other tech stocks this morning. sophie: we're keeping an eye on

losses, falling for part 2%. the share price has been volatile since the trading debut at the end of march. also watching softbank, gaining ground, trading above ¥11,000, as it is said to price its make a bond sale. perspective.er's softbank is maintaining its stake, that could be worth $100 billion. it has yet to fill its two assigned seats on uber's board because of the ongoing national security review process. year-to-date performance for both shares, we have both of around 50% so far in 2019. a lot of the biggest gains in the nikkei 225 have not got a this --amid ownsn lyft, well softbank stocks in uber.

a sizable stake in the company. they love focus on japanese tech stocks. shery: thank you so much. breaking news, we're hearing that herman cain is expected to withdraw his name from consideration for the fed board, according to abc news. president trump is set to have realized that his nomination is in trouble. we have seen a lot of controversy over his elevation to the seven-member federal reserve board. it has lots of critical support from the gop. a confirmation could be quite difficult. we hearing from abc news that herman cain is expected to withdraw his name from consideration for the fed board. the president is said to realize that his nomination is in trouble. haidi? haidi: in the meantime, you can get a roundup of the stories you need to get the date going on daybreak. bloomberg subscribers go to tv on your terminals.

dominated by the uber filing. also available on the mobile in the bloomberg anywhere app. you can customize the settings so you just get the news you care about. this is bloomberg. ♪ this is bloomberg. ♪

shery: mrs. "bloomberg daybreak: asia." i'm shery on in your. haidi: i'm haidi stroud-watts in sydney. -- has been charged

with inflating the value of the firm's holdings and stealing hundreds of millions of dollars from investors. they handled almost $14 billion, but was forced into liquidation after ordered to investigate mismanagement. china's largest developer is considering listing in hong kong. we are told china is discussing a sale of its property management business that could raise as much as $1 billion and the offering could happen as soon as next year. it would join other chinese developers in spinning off their management units, which are less prone to economic cycles and government policy changes. reports dialing back on giga battery expansions. it has swallowed billions of dollars. nikkei news reporting that the

plan is frozen, with tesla saying it may be able to ramp up production at its nevada factory. year to 20%. shery: asia markets a bit mixed. let's get a preview of what to watch in markets. sophie: with the update from singapore regarding the first quarter gdp report and the monetary authority of singapore, here is the seeing dollar, under pressure as we did see a tight range, with a tightening bias on hold, downgrading its inflation outlook. we do see it trading between 135 and 137 over the next 3-6 months. it has eased the climb toward 136 that we saw on the back of the report. at the index for singapore stocks. we have that index edging up higher ahead of the open in

singapore. we could see singapore stocks ready to cheer the change in central bank hawkish tone. forindex is up 3.7% so far april. that makes it asia's best performance after korea. that is it for "bloomberg daybreak: asia." markets coverage continues, as a look ahead to trading on this final trading day of the week. hong kong, shanghai, and shenzhen. we are waiting for those china trade numbers as a key catalyst today. shery: standby for "bloomberg markets," the china open. that is next. this is bloomberg. ♪

♪ a.m., welcome to "bloomberg markets: china open." we are counting down to the open of trade. uber: the top stories, plans for one of the biggest $10 billionory, in operating losses since 2016. yvonne: challenging netflix. we speak to bob iger and his succession plans. uncomfortable, we will assess the state of the market.