inflation. around expectations are 2%. company by company you may see pricing power but not as ubiquitous at this point. caroline: we thank kevin of washington crossing advisors. but now500 was up 0.1%, below 2930. we saw amazon to erase gains. joe: not huge in either direction. the nasdaq pulling into green with strong tech numbers. lisa: in general, tech has been strong and the biggest have been the strongest, amazon in particular. caroline: romaine bostick joins us on today's earnings parade. juaine: amazon, starbucks, niper, ford. caroline: t-mobile.

romain: obviously the big one we are looking for is amazon, which should hit any minute now. we sell weakness heading into the close, some nervousness about what growth we will see. lisa: what are you looking out of the company? romaine: the cost. the capex spending. caroline: first quarter net sales, $57.9 billion quite mixed, $59.7 billion is what we hoped. earnings-per-share coming in at seven dollars zero nine cents -- $7.09, well ahead of estimates. we will have to see what is factored into that. billion,sales of $.7 in line with expectations. romaine: the second quarter net sales number forecast looking forward, giving guidance of $59.5 billion. the average analyst estimate was around $62.4 billion.

guideend to conservatively. it looks like they beat on some may numbers. joe: we see the stock up 2%. it will be noisy. there's a lot to go through, but the initial reaction is positive. caroline: exactly. intel coming in with numbers as well. full-year revenue of about $69 billion, downgrading from $71.5 billion estimated previously. the estimate for the market was $71 billion. clearly intel has had to pull back on where they see a recovery in the second half. amazon is connected to this, because to a certain extent they hope they will spend more on data centers, intel's red and better. joe: obviously one of the biggest macro themes in the economy right now, data center spending, cloud, intel and amazon linked in that way. lisa: intel also getting out of the smartphone business, ahead of 5g, so interesting to see how

that factors in. romaine: amazon web services, growth in line at 41%. the online storage number, the number of sales they get selling directly, that rose 10% and third-party sellers rose 20%. most of these are in line with what the street was looking for. caroline: talking about t-mobile, getting numbers from them. earnings,ter adjusted $3.3 billion, ahead of estimates. the estimates for first quarter revenue, coming in in line. joe: to put things into contrast, like i mentioned earlier. 3m down 13% on the day, the worst one-day loss since the 1987 black monday crash. pretty disturbing. caroline: let's go back to the mammoth that is amazon. we're trying to work our way through the numbers, but the market seems to appreciate what

they have come in with. more from a professor at nyu's stern school of business. we have seen amazon just go red, scott. your perspective on amazon and how they are managing business and made what some feel is a regulatory pushback? scott: i think the expectation qualitatively was total dominance, and results came in line with expectations. this is a company that now accounts for one in two dollars in the most valuable channel in the world, u.s. e-commerce. a share leader, the fastest, most profitable sector in technology, the cloud. and by the way, they are the fastest growing media company, over $1 billion at amazon midea group. i would argue we have never seen a company firing on this many cylinders in modern business history. it is a juggernaut.

romaine: i want to point out that we are looking at their investments, talking about a boost in investment in data centers. on the capital side, almost $11 billion. $10 billion in the previous quarter. just a couple quarters ago, it was only $3 billion. joe: obviously amazon faces a lot of theoretical greg little regrets. we don't know if anything will -- theoretical regulatory regrets. we don't know if anything will actually happen. in the absence of major things like that from this administration or further, is there anything that can get in the way of this juggernaut, or is it too dominant and executing too well to be stopped in this regulatory environment? scott: the things that disrupt you are the things that you don't see coming. but i don't see anything coming. it is difficult to see where they are vulnerable, at this point. i think the only place where they are vulnerable is what you mentioned, antitrust action. i believe if antitrust action

ever becomes a serious threat and washington sees past the 88 full-time lobbyists employed by amazon in d.c. who are there every day to talk down the notion of antitrust. i think prophylactically you , whichee amazon spin aws would be one of the 10 most valuable companies in the world. even if antitrust comes, you are still looking at enormous shareholder gains. it is great to be an unregulated monopoly. [laughter] lisa: starbucks crossing the line, missing comparable store estimated3% against 3.1%. not a huge miss, but there you go. we've been looking for earnings-per-share expectations for the second quarter, 60 ce cents.timated 56 perhaps more important, the better-than-expected forecast,

but we see shares slightly down. full-year adjusted earnings per expected5, versus $2.68. reading, positive looking forward to see positive growth. caroline: record high, remember. lisa: coming up that record high. not doing too shabby. in the green. i expected it would be. scott, we would love to come back to you with respect amazon blowing the earnings-per-share expectations out of the water. one thing i am wondering, its own online sales, competing with other independent retailers. how do you see this playing out, and what pushback do you expect from retailers seeing amazon putting their own products ahead of the others? scott: keep in mind, amazon this year will announce between 50 and 70 private label brands. so they have squarely decided to compete with their retailers,

and this is not anything new. we have seen retailers launch private label brands before, just never anybody this good at it. it brings up one of the core issues around antitrust. the company that owns the rails, who can see were all the data and products are flowing, should they be competing with the people that they are shipping the products of? this is the primary concern. but every retailer in america has one existential threat, and it is a company in seattle. romaine: one thing that was interesting here, the sort of push to move towards reliance more on the third-party sellers. the idea that that reduces the cost burden for amazon itself, and at the same time partakes in gross merchandise value. how do you see that as a future for the company, given that it has become such a huge percentage of revenue? scott: well, there's this incredible flywheel effect. the third-party marketplace serves as a fantastic business, but also gives them insights

into which businesses are not only high-margin, but perhaps they can leverage what is one of networks inassembly the history of modern business, and can go into that business. they have private labels around batteries, all sorts of businesses. talking about valuation, i consistently get asked, what will be the first trillion dollar company? my answer is that i don't know, but i am fairly sure the first $2 trillion company will be amazon, on the back of amazon getting into another industry, health care. lisa: scott galloway, professor at nyu's stern school of business. thank you as always for your insights. want to reiterate what we learned from starbucks earnings. the real key headline, maybe that they raised full-year 2019 earnings-per-share outlook to so a to $2.79 from $2.60, meaningful increase with respect to estimates, not only for the

full-year, but for the second quarter. shares are now firmly up, as they reported better-than-expected same-store sales. romaine: we also have intel, on their fiscal year outlook. they are cutting estimates, $69 billion on revenue. previous guidance was as much as $71.3 billion. the eps outlook also being cut. caroline: intel down. a big move on the upside for mattel, shares up 18% at one point in post market trading. now up 12%. the adjusted earnings-per-share, a lot smaller than expected. $689 million, better-than-expected. romaine: a big week for toy companies. that does it for me and the closing bell. "what'd you miss?" is up next, where we take a closer look at intel, starbucks and earnings from ford. this is bloomberg. ♪

♪ ♪ ♪ live from bloomberg world headquarters in new york, i am caroline hyde. romaine: i am romaine bostick. joe: i am joe weisenthal. caroline: another earnings day. amazon came in line with expectations for sales. eight of u.s. still roaring with 40% growth. notably, advertising growth -- aws still roaring with 40% growth. notably, advertising growth down. intel down rating their forecast. mattel now up 11%, seeming to fire on all cylinders when it comes to barbie, reporting

first-quarter financial earnings with net sales better-than-expected. romaine: let's dig further into intel. joining us is bloomberg intelligence's senior analyst to break it down more for us. i felt like a couple weeks ago we got news out of intel that they were repositioning investments, which seemed well received by wall street. qualcomm-applehe relationship is a positive for intel, and getting out of the mobile business, which is lossmaking or close to lossmaking for them. moving in the be right direction. but if you look at the data center forecast, the best marketing business for them, it will be down single digits year on year. the pc business, the best business for them, will be down low single digits. the third business will be high single-digit.

on a relative basis, they don't seem to see the second half strength people are expecting, and that might be a big delta versus them and some of the other chipmakers. joe: is the data center business something intel-specific, or after an extraordinary capex cycle, it is time for a slowdown? anand: multiple things are going on. intel obviously owns the server cpu space, the bread-and-butter of the business. but one thing happening with amazon, with google, with microsoft, business is fragmenting into different kind of workflows, and they are experimenting with different kinds of servers, different kinds of chips in those servers. seven-year after a hiatus and is slowly gaining share. at the end of last year, they were 5%. they will probably double that share by the end of 2019, s.

so you look at all that. competitive pressures, workflows fragmenting, pricing pressures. all inspectors are impeding the data center business. notpc business is ho-hum, doing poorly but not doing great, either. some transparency from the ceo, saying inventory digestion is taking longer than expected, and shortages continue through the first half, and memory chip prices are hurting outlook. joe: we have breaking earnings on ford motor company. $.44 versuseps of estimates of $.26. that looks very strong. automotive revenue, 37.2 billion dollars, beating expectations of $36.9 billion. a loss in china a little narrower than expected. so looking at initial numbers right now, but it looks

better-than-expected. of course, this company has been beaten down a lot. a modest bounce after hours, just over 3%. romaine: we want to turn back to intel. anand, you saw the comments with bloomberg about memory chip prices. for this company, what's its next step? it went through a mini -transformation. what is next? anand: interesting that memory prices have been collapsing but vram and nand have been isolated. that is now going against them. darned ifthis is a you do, darned if you don't story. they have so much share, there isn't a lot of room left for share expansion in the datacenter or the pc space or in the graphics space. any expansion they have is in adjacent fields. you can become the chip of

choice in the network year sitting next to the server. but those are marginal, not as big of a space relative to the server computing space. one of those, it's where the opportunity is in edge devices, in fragmented, in auto, but it takes time for these to develop, and intel doesn't come to a place of strength in those places relative to servers or pc's. srinivasan,nd thank you. eps coming in nicely. beating estimates of $36.9 billion. there you see the market reaction, up 4%. 's cfo atear from ford 4:30 eastern time. caroline: coming up, the pace of the u.s. economic growth is protected to have picked up.

a preview of u.s. gdp data, and the global indicators you need to know. that's next. this is bloomberg. ♪

caroline: we have had mostly positive results so far in the season, helping to mitigate concerns in the global economy and spark a global rally that has lifted the u.s. benchmarks to record highs this week. markets are now looking to the u.s. first-quarter gdp data, out tomorrow, which should offer us more guidance. joining us with a look at what is ahead, a chief economist at mellon. your perspective on the u.s. economy? goodsmessages, capital doing good today, jobless claims

not. overall, is the u.s. economy showing strength? >> to quote the fed chair jay powell, the u.s. economy is in a good place. it's hard to discern the economic indicators around the turn of the year. remember, the first quarter always has residual seasonality. jay powell work hard to tighten .inancial conditions slowly slower being good. whenu are growing at 3% the unemployment rate is already below your natural rate, you have to slow to sustain expansion. things got in the way. the government shutdown, noisy data, a more sharp slowing in china. but that's mostly in the rearview mirror. joe: the relationship between the on employment rate and the estimate, the natural rate of on climate and inflation. over the last few years, economists particularly at the federal reserve really have miss

estimated when inflation would pick up. in your own words, i'm curious how strong you feel that link is, and whether you have done any fresh thinking about what we know about these things? vincent: two things to begin with. an unidentified flying object, not a fixed point in nature. number two, it has fallen over time associated with demographic pressures, with janet yellen being right. you run an economy hot, you get people back into the labor force. the way i think about inflation, a basket of consumer prices. 70% is goods and services, where prices don't move very much. they are sticky. is very flexible, things aat are imported, things with big energy component. the story of the last five years, there's been an inexorable increase in

sticky-price inflation. gradual and slow, going up because of pressures, first labor resources becoming less abundant, then more and more tightness. flexibleened, the price inflation has been negative, i.e. the dollar has been appreciating, particularly against specific economies -- pacific economies. when the dollar price stops increasing and we see oil prices feeding into fixable price inflation, we no longer will have that curve. has the structure of inflation changed enough? will the fed be able to react fast enough? vincent: so if you ask central bankers why inflation is low, they will say that inflation expectations are well anchored. if you ask why those are well anchored, they will say i don't know. [laughter] we shouldn't bank on something

you aren't quite sure about. i think they have some time. over the last two years, the federal reserve tightened on theory, both janet and jay powell, that an on and clement rate that low would put pressure on cost and show up in inflation. they will wait to see if the theory works. they don't need to see a lot of increase, they just need to see that it moves up some, so they can say the theory does work, let's go back to that plan. caroline: what about the rest of the world at the moment? we're seeing china seemingly showing green shoots, but south korean data looking poor. vincent: it is tough to figure out the asian pacific rim, because we see china throwing a a lot of high-quality stimulus into the system. improving,data forward-looking stuff improving, but not seeing it in trading partners, where there's supposed

to be the global supply chain. one thing to remember, december of 2018 was remarkable in many ways, one being that global trade volumes were lower than they had been 12 months earlier. a very sharp contraction in global trade. trade-dependent economies will show that. that's mostly backward looking, and as china stimulus gets traction, as it appears it has, we'll see a little more spreading of that growth. caroline: vincent, always great to get your perspective. vincent reinhart of mellon. ipo is set to plan its price range at $44 to $50 per share. we will get you the market cap on the back of that. about $120 targeting billion for the company. joe: coming up, ford reporting first earnings -- first quarter

earnings. be here nexts will to talk about the numbers. this is bloomberg. ♪

with i am mark crumpton bloomberg first word news. as expected, former vice president joe biden has officially entered the 2020 democratic presidential field. announcement on social media, saying "we are in a battle for the foul of this -- soul of this nation. if we give donald trump eight years in the white house, he will alter the character of this nation." he added, "i cannot stand by and let that happen." in wilmington, delaware about if president obama

endorsed him. >> i asked president obama not to endorse. whoever wins should win on their own made -- merits. mark: he is paying special attention to his native pennsylvania, which swung to donald trump in 2016 after voting for presidential democratic candidates for decades. the trump administration is oilying its bid to expand drilling in u.s. waters until after the 2020 elections. they were reportedly worried that the president and republican leaders in the southeast would lose votes if they move forward with the new plan. in 2017 the president ordered the interior department to consider scheduling new sales of drilling rights along u.s. coastlines. russian president vladimir putin says he's willing to share details with the united states about his summit today with north korean leader kim jong-un. president putin says chairman kim is willing to give up nuclear weapons, but only if he

gets ironclad security guarantees. kim's last meeting with president trump in vietnam in february broke up without a deal. at talks in brussels, japanese prime minister shinzo abe, eu president jean-claude juncker and donald tusk outline support for reforms to the wto. they had voiced concerns about increasing trade protectionism, particularly in the united states. >> to maintain the free trade regime. we agreed to cooperate with the strong message to the international community to promote free trade. abe reportedly also shared concerns with the europeans that britain might leave the e.u. without a divorce agreement. given the number of japanese companies that set up shop in the u.k. because they see it as a gateway to europe.

global news 24 hours a day, on air and at tictoc on twitter, powered by more than 2700 journalists and analysts in over 120 countries. i'm mark crumpton. this is bloomberg. caroline: let's get you up to speed with the earnings we have had. amazon has been moving after a much bigger than expected earnings-per-share. we saw growth doubling for earnings-per-share, seven dollars and nine cents. growingin line, cloud at a pace of over 40%. they are getting over half of profits from the cloud business. the advertising part of the business slowing slightly. romaine: you're seeing intel down. the chipmaker said it would cut guidance for the second quarter and the full year. the first quarter, sales little changed, revenue slipped, and they pointed to a decline in its data center business in the most

recent quarter. joe: ford the big winner after overell, up almost 7%, to $10. $.44, adjusted eps of handily beating the expected $.26, and a nice beat on revenue. investors really like it. with more, we are standing by with a key member of their executive team. >> we are joined from detroit by bob shanks, chief financial officer of ford motor company. good to talk about -- talk with you. we call you a big winner. on the eps number, what drove that? bob: it was a nice way to start the year, but we still have a lot of work ahead of us, david. most of of the beat, the business. north america was better. europe was better-than-expected, china better-than-expected.

bestord credit had its earnings since 2010. this was a broad-based result to generate the $.44 per share. david: so less bad in china, better in europe. how much of it was north america, and how much was trucks? bob: north america and credit are the two pillars of the company. $2.2 billion in north america on an adjusted basis, 8.7% margin, so extreme healthy. within that, we saw a strong mix, strong positive net pricing. costs were only up a little bit, so we had good leverage. wasin that the f-series strong. positive contributions from the new ranger, and america's best-selling van, the transit, also contributed. david: you mention costs.

the ceo talks about making the company fit. how much of this exceeding of earnings-per-share was because of cost cutting? bob: that is an extreme the important point. jim has been really focused on improving the fitness of the business. one element is obviously operational efficiency. what we saw in the quarter that i am extremely excited about is that the automotive segment basically saw flat cost, which meant that while we got the higher net pricing, it's flowing through to the bottom line. that strong operating leverage is generating improvement in margins. we need to continue doing that. david: as part of the transformation of the ford motor company, you set aside $11 billion for restructuring. 2019, end of this year, how far will you be through that process? bob: what we said last year is that if we look at the business redesign that is underway, particularly outside of north

america, we expected we would incur ebit charges of $11 billion through 20 to anyone. in the quarter, we have seen 5 that,million of and in the full year we expect $3.5 billion, primarily in europe and south america, with a little associated with the work underway to flatten the management structure of the company. david: as you said, something of a turnaround already. is this because of restructuring, or advance of the fundamental restructuring in europe? bob: there is a lot to come. so much more work, so much more of the basic redesign of the business. we are in very early stages there. that is why when you look at the ebit charges of half a billion in the quarter versus $3.5 billion, a good portion of that will likely be in europe, although right now we are in collaborative discussions with our social partners in terms of

what that redesign will be. david: china is a big market, but also a big challenge for the automotive companies. sales were somewhat flat or down last year. ford, you are still losing money in china. when will that turnaround, do you expect? bob: we are guiding to an improved result this year and we lost about $1.5 billion last year, and expect substantial improvement this year, although still a loss. when you look at the quarter results, we lost about $128 million. the average quarterly loss of the last three quarters of last year, when the business really declined, was approaching $500 million per quarter. so the results of the first quarter are encouraging, demonstrating the propolis -- progress that the team has made on the consolidated part of the business. there is a lot more work to do, particularly in joint ventures. news with thee $500 million investment in the

electric trex company. how much will that expedite plans? bob: that is a supplement to our plan. we announced investments of $11 billion through 2022 to support electrification, and this is incremental to that. we also disclosed we are in discussions with vw to potentially collaborate with them on their platform, primarily in europe. this is incremental. we think we will learn a lot from them. they started from a clean sheet, so the fresh eyes will give us insight that will make us stronger and better. we think we can help them as well, because we know how to scale a business. win-win. vwid: how rapidly is the cooperation going? bob: the discussions are going very well. what we said, the benefits of that, particularly on the commercial agreement we have made, on commercial vehicles in

europe and on pickups outside of north america, probably toward the end of our planning period. 2022-2024. and we're still talking about the electrification collaboration, and in conversation about collaborating on autonomy, although there is not more to say about that today. david: and we are mindful you are about to step down as cfo, after a long and distinguished service, a lot of work. the president typically leaves a note to hynde for his successor. -- note behind for his successor. what will you leave behind? bob: best wishes. a fantastic gentleman is coming in behind me, and bringing in a different voice, different perspectives. just what the business needs. workingeady been with him for a few weeks he's a great guy who will make a big difference in the business. david: best wishes, and

congratulations on a terrific run at ford. caroline: thank you. from ford cars to a new type of vehicle and way to travel. uber planning an ipo price range of $44 to $50 per share, aiming for an ipo valuation of as much as $90 billion. for the inside track, here is bloomberg's eric newcomer. of the range sort we were thinking, $80 billion to $90 billion, a very conservative move out of the gates. we talked about $120 billion, then saw signaling of $100 billion. 'watching the ipos uber ius like, slightly above the last private round is probably the safest move to make. joe: you are talking about the week market --weak market lyft, not that

far above the last private round as of trading. caroline: what is that valuation? eric: the last private valuation was $15.1 billion, so it has been moving down a little and we have been tracking that. uber clearly watching that. theerest had to set below last private valuation. those are important data points. caroline: for what it is worth, $16.1 billion is the current market cap. romaine: i feel like with the ipo frenzy we have seen, or at least the demand coming out of the gate, it seems uber could command a little more or push the envelope. raise $8y want to billion to $10 billion, so not just getting some people excited, but getting a huge number of people excited about the price. size, and if you are a story stock, you want to make sure it goes in the right direction. they don't want a facebook

situation, or what lyft had. they want to say, we set this at the right price, people made money, and we strategically moved it up as there has been appetite. joe: for some ipo's the main goal is to discreetly liquid stock currency and a chance for investors and employees to raise some cash. they still of uber, need a lot of capital. eric: talking operating losses billion, and, $4 last year $3 billion, so $10 billion or so in the last three years in operating losses. it's a lot of money. it needs to raise money, make sure whatever the market or the economy it is well-positioned to keep operating. caroline: and remind us, who really does cash in on this particular ipo? masayoshi son, softbank? eric: softbank owns a 16%.

a major shareholder. they are super sensitive to the price, getting in at $54 billion valuation. they are more recent. benchmark is a super-early investor, so they will be happy no matter the price. and the co-founder travis kalanick, garrett camp, major holders. it's the early insiders and later stage investors, who care more about where uber is. romaine: will they invite travis to ring the bell? i kinda feel he deserves that. eric: if you read the ceo letter, not the most flattering document for travis. it says that some of the things that got us here are not the things that will get us where we want to go. dara has really tried to brandy's own company. a a lot of sensitivity about how much to celebrate the old, controversial uber versus the new guy. caroline: eric newcomer, thank you. talking of tech, breaking news

on facebook. yesterday they said they could be charged as much as $5 billion in an ftc investigation. facebook's email harvesting practices are under investigation in new york, coming from the attorney general. customers who signed up after 2016, they collected email address books without permission. they are trading a little lower. this is bloomberg. ♪

romaine: some breaking news on t-mobile. the company reporting earnings, beating on most metrics, including the number of subscribers. the ceo on a conference call says the company remains confident the sprint deal will get approved. obviously the fortunes of this company and that stock really riding on that deal. caroline: so much of this has

been tied up on where this goes, and where 5g goes for t-mobile. romaine: thinking about the 5g prospect for them, they really need the scale and cost savings of being combined with sprint to get 5g. joe: starbucks reporting second-quarter earnings, and the market seems to like it. let's welcome bloomberg consumer reporter and riley moffat. what is working? a couple years ago, they just sell sugary milkshakes and nobody wants to drink that anymore? >> kevin johnson made a lot of big changes last june. he realized investors weren't happy with how the company was looking. that is when he had the big announcement the company would shut down about 150 urban stores. there has been that joke, the starbucks on every corner, the starbucks in a starbucks, so they realized there was some truth to that. they closed some stores in

over penetrated areas, opened up some stores in the rust belt. they also sped up innovation. they say it used to be 18 months for an idea to show up at a cafe, and now it is 100 days. romaine: on the walk home yesterday, i passed 50,000 starbucks on the way home, saw them advertising the bacon bite things. that got me thinking, that was a year ago. are they coming up with anything new? anne: they are selling more salads. but you are onto something, food is the key here. the average price this quarter was up in every market. not coming in for a $1.95 cup of coffee. that is great for margins. at the same time, the number of transactions in the u.s. and china was flat, which means they aren't getting more people in the door, just spending more when they get there. they are ok with that right now, but i don't know if they will be for long. caroline: how much are you

seeing in china, when you have a local competitor doing an ipo? anne: china is still getting a new starbucks location every 15 hours. it will get more competitive. tim horton, the canadian brand, just opened its first chinese restaurant to serve coffee there . it is more crowded than ever before, but it is a huge opportunity, and there's a lot of money if they get it right. joe: every once in a while, starbucks is in the news for something that's not business related, may causing controversy. the former ceo running for president. the thing about opening the bathrooms. agoboycott a couple years over a plan to hire refugees. all these things are a total distraction. anne: earlier this week they announced they put boxes to collect used needles in stores where it is needed so that nobody is doing drugs and leaving needles on the ground, which probably some people wanted to boycott because of that. but for most starbucks

customers, seems like the right move for them socially. caroline: great analysis from anne riley moffat. tune in tomorrow morning to hear from starbucks ceo kevin johnson. coming up, a contraction in south korea's economy, long seen as a bellwether for global trade. what will it mean? join us next. this is bloomberg. ♪

joe: in asia, south korea reporting its biggest gdp contraction in a decade. their economy, long seen as a bellwether for global trade and technology, could affect manufacturing and tech exports. shery ahn is here with the story. what does this say, the fact that the bellwether is not picking up steam despite the green shoots, particularly out

of china? shery: that is the interesting part. as we continue to see the chinese economy recovering, we continue to say that this could be good news for all the other asian economies and even europe, that depend heavily on china. this is perhaps signaling the chinese economic recovery has been internally-driven. you can see the stimulus package has been towards rising consumption. you can see on the chart that the south korean economy grew in the first quarter 120%, year on year, the slowest since 2009. caroline: where are we looking in terms of the rest of pan-asia therefore? how do we understand the financial strength of the region, when we are still waiting for china to spread the love a little? shery: because we continue to see the explanations of why we might see a stronger recovery in the second half, but it is still not happening. we had the boj policy decision,

no change there last night, but forward guidance was tweaked to imply lower rates will go on longer. the reference was at least through spring 2020. it doesn't help that it seems the sector most affected at the moment is still semiconductors. samsung, and last night sk hylix, worst profit drop since 2012. japan, taiwan, south korea depend heavily on the chip cycle. romaine: talk about japan and trade issues right now? shery: we will get the u.s. and japan sitting down again in washington, president trump meeting with prime minister shinzo abe on friday. they have been talking about a range of issues, including agriculture and the auto sector, but what's really interesting is that the united states pulled out of the transpacific partnership, which included japan. suddenly they want this

bilateral trade deal now. will japan budge and give them more than they provided through the tpp? that's the key issue. caroline: that will be fascinating. key conversations coming up regarding all this. thank you, shery ahn. giving her time ahead of the key shows you need to see her in, daybreak australia and daybreak asia. that's all from "what'd you miss?" romaine: bloomberg technology is next in the u.s.. joe: have a great evening. this is bloomberg.

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♪ >> i am brad stone in san francisco, in for emily chang. this is "bloomberg technology." in the next hour, uber ipo details. the ride-hailing start up plans to offer shares from $44 to $50. plus, amazon reports first-quarter earnings. how did the e-commerce giant measure up on cloud, ad sales and many other buses