paul: good morning. i am paul allen. we are under one hour away from the market open in japan and south korea. shery: good evening from new york. i'm shery ahn. sophie: i am sophie kamaruddin in hong kong. welcome to daybreak: asia. ♪ paul: the top story this tuesday -- u.s. and china in daily contact on trade as the clock ticks down to the tariff deadlines. new duties being delayed. progress for the new nafta. that seems a political win for

president trump and democrats say it is good for american workers. aramco preparest makes the trading day boom. still considering a secondary listing in asia. shery: we have breaking news out of south korea. the unemployment rate coming in at 3.6% for the month of november. this is higher than the estimates of 3.5%. we have seen three months of unemployment rate going up in south korea. for the month of november, the adjusted jobless rate at 3.6%. the government saying they added 331,000 jobs in november versus 419,000 jobs in october. we have seen a lot of pressure for the south commodity. sector seen private employment really under pressure. declines in manufacturing retail jobs freedom the positive has been expansionary budget scheduled for 2020.

government job creation has really helped when it comes to the unemployment rate but again, the jobless rate higher than expected at 3.6%. let's turn to the markets. australia has opened for trade. sophie: aussie shares opening flat while bonds are tracking treasuries lower and kiwi stocks losing ground at 1/10 of a percent. we have nikkei futures to a weak start after we soften trade on wall street that saw major u.s. equity benchmarks close lower. checking in -- the aussie dollar is not benching too much in the asia session but a third day of losses. expecting the currency will fall below 68 if december and coppin state it is weak with consumer spending. the yen trading at one away. ahead of japanese produced rices and the kiwi edging lower ahead of the half-year fiscal update

from new easing -- new zealand. the qe forecast and a possible fiscal injection. it checking in on the offshore u.n., back below 703. a signal that china is helping for delay on the december 15 tariffs increases. seven levels for the time being which has not been reached into november 12 checking in on the pound. showing thatsion the tory lead is ahead of the u.k. general election. cable falling as much as 4/10 of 1%. options traders fall, boosting the defensive position. paul: let's check in on the first word news with ritika. ritika: president trump says the articles of impeachment against them are very weak. house democrats are calling for his removal for abuse of power,

preventing congress from exercising its duties as the check of executive. it also accuses him of ignoring and injuring national security for personal benefit. the impeachment vote is admitted to pass in the house but it stands no chance in the sand. the world's most profitable company makes the trading debut later wednesday with only a fraction of the stock invested. of it it sold 1.5% in the fpo which raise a record $29.6 billion for it will list in the exchange and re-add and to the considering a second listing. rejected the government's request to temporarily extended controversial band to ban criticism over an early decision to clear the ban unconstitutional. it represents another setback in carrie lam with the latest of local opinion polls showing public confidence in her

leadership falling to 10%. probable death toll from the volcanic eruption in new zealand is the 14 after six victims died overnight. eight more people still missing and presumed dead while survivors are in the hospital. it is still dangerous and police are waiting for an improvement in conditions before they can reach the island. global news 24 hours a day on air and on quick take why bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. paul: thanks. let's get to the top story viewed china now expects looming tariffs to be delayed on december 15. the two sides say they are closing in on an interim trade deal. acting white house chief of staff mick mulvaney says a final decision will proceed this week. >> a trajectory towards a phase i deal is good.

we will make progress on phase one in the next couple of days and weeks. that will impact what happens. to tomet's get over mackenzie now in beijing and are white house reporter josh wimberley. optimism in china's terms of these tariffs on december 15 not going ahead? tom: it is a little more positive. we hear that chinese officials expect the december 15 tariffs to be delayed at the least. we heard from the agricultural secretary in the u.s. a day ago saying he does not ask backed the tariffs will be imposed. the other part of this that is important for china is the progress being made in terms of the tariffs that are already imposed on chinese goods. 25% on $250 billion. 15% on $110 billion.

a key demand -- it was a rollback. we are hearing that they are looking at reducing the level of tariffs may be up to 50% depending on how much progress is being made. that will address one side. the other areas we know that has -- we also hear that one contentious issue is stilly amount of agriculture that the u.s. is demanding from china, specifically -- a timeframe because the u.s. is concerned that they will not follow through. reluctantppears it is because they are sourcing some of the agricultural products from other countries. that is a narrative that still needs to be worked out. this is all part of the phase i deal. we move onto to the trickiest subject for things like industrial projects and state subsidies. shery: is the tariff hike

condescending -- is it in play? they have been dropping hints. think looking good. trump says this remains on the table. that is his standard mo. i am reminded of june. recall the tariffs on mexico across the board. mexico did something about immigration. a similar situation where the deadline will fall on the weekend. doing something maybe on friday or get the wheels rolling and not clear about what is happening. and then they announce a deal. we don't know where it will land. wrong predictions before. word and boon music is interesting because larry himself uses the phrase and says it has been good lately. listen -- a tariff hike remains on the table it is possible. we basically hear a lot that

there could be a path then sort of overt threats that come one thing or another. tariffs coming on the 15th it feels like it is heading in one direction. shery: we are suing progress when it comes to the nafta 2.0 after a year or so. now finallyeline where this could actually be finalize? . josh: apologies to every viewer talking about this. finally the last domino seems to be falling. nancy pelosi, this is the last two big hurdles. they fall apart still but it looks like it will get a vote in the house next week. it will probably pass with fairly significant shunts of democrat supporting it. when the senate votes is another question. mitch mcconnell said it will come up in 2020 after the senate impeachment trial.

the white house fired back and said we want to push for a vote this year. there's a little bit of rare dilate between mitch mcconnell and president trump. for sure, pelosi got tangible changes made with drug pricing and tensions being overlooked. mostly for investors, this guarantees or almost guarantees that there will be some sort of regime in place in north america. trump started all of this by riffing off nafta and taking off this net across the trapeze show. that want to bring a back to china's domestic economic challenges. of targets with deemphasizing growth but that almost sounds contradictory. tom: never. you are right. top leadership in terms of setting leadership and topics,

they are wrapping up on thursday. some kind of an indication of how those targets are all of the deck details will not happen until march. the overall target -- it has been to double gdp growth through 2010 and 2020. they think chinese officials are on pause for that you and though they did below 6% next year. they can probably make their target. in terms of the annual target, we are looking at about 6% according to economists we have been speaking to compared to between six percent and 6.5%. the target is less than 4%. the focus will be on the quality of growth. where likely to get a spotlight in terms of pollen -- monetary policy because the diversion pictured in terms of consumer inflation and factory price deflation -- the pressure will be in focus. how much they can do to support the economy. maybe they will stay neutral. may be more emphasis on fiscal policy -- proactive fiscal policy with a focus on

infrastructure spending where they will get more details on that. also, officials meeting as part of the work conference, likely to emphasize that is i to open up more sectors to foreign companies and to attract more sdi to bolster the support for private advertises. the economy continues to slow. gdp targets come inflation targets. this is about trying to support quality growth. speaking to an ear on the ground. shery: tom mackenzie, the china correspondent. thank you. we have right now the canadian deputy prime minister speaking in mexico. we are now in the final stretch of that usmca deal speaking at the moment to reporters after we heard that president trump was saying that usmca is the silver lining to impeachment. we heard earlier from her mexican counterpart that the

protection for biological drugs were removed and that it does not make any demand on mexican aluminum. we are looking at live pictures from mexico city. deputy prime minister after usmca negotiations. we will bring you more headlines as we get them an update you on what is happening with nafta 2.0. still ahead, stocks in shanghai have been underperforming the s&p peers. we will discuss why there is a lag. paul: there are reports that saudi aramco is having a second relisting. the very latest on that story as well. this is bloomberg. ♪

shery: joining us now is the investment advisor. . we have seen the shanghai composite 20% but it is not compared to the outperformance we have seen the u.s. if we get the phase i trade deal, how much more upside could we that from not only china but also emerging markets in general? >> definitely. with between trade tensions in , international has been underperforming. headlines, there are some real opportunities. valuationrce

perspective, international and emerging markets are very attractive. like you said, they have really underperformed the counter parts. this moves in cycles. if we look back at the decade between 2000 two 2010. you barely made any money in the s&p 500. we look at what has happened at the current decade, the queen opposite international emerging markets have drastically a report the s&p 500. 2020,hink going into there could be more upside in international and emerging-market ended could be the year they start to outperform. especially if we get some resolution around the trade talks. .hat would clearly help shery: showing the outperformance of the s&p 500

over the rest of the world, although i have to point out that there has been so many different idiosyncratic risks across emerging markets, whether it is the ongoing protest in many different countries. you worried that geopolitical risks could play a part next year? sara: of course. there are geopolitical risks, economic risks. there is no doubt that it is a volatile asset class and there could be more volatility ahead. i do think we could see a resurgence in global growth. we have easing monetary policy. we have interesting stories -- whether it is regions or certain countries. brazil has been an interesting example of this year. that has been a comeback story. a couple of years ago, they were in the middle of a severe multiyear recession. we have really seen things turn around.

south korea is an interesting value story. they have underperformed beta while i do think there are risks and there could be some volatility ahead, i think as 2020 and, look towards looking towards potentially rebalancing the portfolio. 500ng profits from the s&p were asking themselves, other ways to make money -- are there opportunities. having exposure to international and emerging-market makes sense. it is part of a diversified portfolio. you have identified countries where you can see. can you would -- identify any sectors that are risk-free? sara: i don't know if anything is risk-free but i think there are some interesting sectors. health care is a sector we are looking at closely into next year this applies both to

international emerging, and the u.s. i think across the board, health care is really attractive from a pure valuation perspective. health care has really underperformed in 2019. large part due to political risk and rhetoric beta that sector has a lot going for it. it really could continue or it could outperform regardless of the political landscape. we have an aging demographic. inhave growing affluence international and emerging markets. these people are going to require more health care, medical devices. we have seen tremendous advancements in technology. thing weity is another are watching very closely a lot health care companies are flush with cash. not only does this mean they will potentially continue to pay out steady dividends but we could see a lot of mna. if we saw that already this week with the announcement of merck

and the expansions to expand the the cancer drug treatment market alone is $123 billion market. it is expected to double in the next or years. while we cannot ignore the political risk and the political intorop, i think we going 2020, even if we have a slower growth environment, health care as a sector makes a lot of sense. miracle mileht, investment advisor, thank you for joining us. still to come, saudi aramco makes the trade and give you later. we will discuss expectations for the stock and reports that may chase it into national listings. this is bloomberg. ♪

shery: you are watching daybreak asia.

after staging a record-breaking ipo, saudi aramco will make its debut later on wednesday. it will suppress apple as the world's biggest listed company. just free flows of 1.5%. they are the envy of the annual trade jessica summers joins us with more. what does it mean for investors? ipoica: it sold 1.5% in the the free flow is among the lowest globally. the largest companies like amazon and microsoft, they had 80% of the equity, even more than that sold to individual investors. the fact this is such a low public ownership really means that saudi arabia holds the majority interest and have strong decision-making power. when aramco does debut, what is the expectation? jessica: we heard from the and energy minister, quite

positive. and the dealupside was oversubscribed. he cited the dividend plans as well as other factors like the dividend plans. very interesting is that they will pay out more than 75 billion dollars in this ordinary dividend in 2020. it will actually guarantee investors that the dividends will not fall until after 2024. they are promising those dividends to investors. paul: we've got reports of saudi aramco international investors to get the take on the possible listing in asia which is kind of interesting considering the lack of international interest in this ipo. what do we know about that? jessica: it is interesting because they did try for international listings. they have been talking about it for many years. the problem was -- the reason why they have to cut the listing and essentially trade on the

exchange, which they will be debuting tomorrow is it was the $2 trillion valuation that the kingdom which is wanted international bank managers. they did not see it as something that was realistic. they were skeptical. that thought it should be lower and that drove interest away. if we do see an international listing in the future and the are report circulating it could be potentially asia, it will be interesting to see the relationship built between the two parties and back in november, they actually have been targeting china through the sovereign wealth fund as well as other state owned enterprises. we will have to see if they can get the investors on board. shery: jessica summers, thank you. the latest on saudi aramco. we take you to live pictures on deputy prime minister -- now speaking in mexico city. this interview coming up as well. take a look at those pictures.

usmca, howout the this is the final stretch for nafta to know. every single revision is in canada's interest. 70% of the aluminum in cars will be from north american origin. she is saying this deal is great for canada aluminum sector. ofginally required to 70% the metals used in north american vehicle production to come from the region but it did not specify production methods. that opens the door to some metals produced in china. this was something that u.s. had been pushing for. although, the mexican negotiator came early and said they don't make any demands on mexican aluminum origins. we will get you more details on what this usmca would entail but dealow, this is a great for canada's aluminum sector. coming up next, president trump

facing two articles of impeachment. we are in washington for the latest. this is bloomberg. ♪ [ electrical buzzing ]

[ dramatic music ] ahhhh! -ahhhh! elliott. you came back!

paul: you are seeing live pictures of melbourne as were missy breaking news in australia. the consumer confidence numbers in the month of december cool climbing again. from 97% in, down november. any number below 100 is optimism. bill evans saying consumer confidence has slipped 6.1% since the rba cutting the cash trade.

the sheep area of concern for the rba. bill evans describing consumers as being on a spending strike evidence that the banking tax cuts and low interest rates and choosing to pay down debt instead of getting out and spending money. we will get more reaction in the next few minutes to these numbers and other action on the floor. us he will tell us what he thinks growth fears are a bit overdone. australia markets have been trading for half an hour paid him let's get to sophie. consumersstralian still on strike. rba governor says we will see a turnaround today and aussie share markets. consumer staples and can discretionary shares leading higher. gaining into cash

trade. no want to highlight the stock rising about 5% this morning after seeing there is no takeover proposal existing as reported. let's chicken in on the w cr function. illustrating what is happening with the pound. all g10 peers, losing ground against euro as well. off by 4/10 of 1%. this on the back of the polls showing the tories lead narrowing. hasy: november jobber sport cooled off as they will cut the q rating this week. what is a former fed officials say it is towards more stimulus? kathleen hays is here. is the criticism way outside of the mainstream? kathleen: i would say yes. thee was at the fed in

thick of dealing with the financial crisis, the meltdown and so many other things. i think it is interesting he is saying they started raising rates too soon. the focus on normalizing and that her the economy. apart from stopping interest rates, he thinks there is a lot less should be on the table. let's listen to what he told bloomberg television. >> i think many things have to be on the table, including negative interest rates, yield curve control. something taken out the table from the start. all of these things, i believe, if you take the perspective that we really did not do very well over the past decade. once you take that perspective, all these things should be on the table. >> some would disagree. let's look at the chart on inflation because there was a time where a lot of people started saying -- we can jump

into it -- the fed did not really mean to start raising rate as quickly as they did and if you look at where inflation was back in 2008, lookout low it was. it was still well under target when the fed started raising rates. hikes,ll these rate where his inflation -- still far below target. it is legitimate. with the fed having paused, it was raising rates and pauses. i don't think this was a front and center argument. it is interesting that he is still saying this. it is this cautionary note as we see what the fed says tomorrow. if anything, they should not be seeing so stuck on the pause. maybe they should be more stuck on being aware of what they might be forced to do if the economy forces them to move again towards lower rates. paul: we do seem to have an

outbreak of consensus as far as the dots are concerned. what will the market be focused on tomorrow? what can move stocks and bonds? ,athleen: every three months the federal reserve updates the forecast of gdp unemployment and inflation. they also put in the forecast for this is where i think rates will be in the next quarter, the next year, the next couple of years. that -- ifbout it is you go to the far-left, that i was the plot in december. there was only seven out of 17 looking for the rate to get where it got when they cut in october. the cut in september but all these people were not sitting for another rate cut until the end of the year. this plot has to shift. some of these have to come down but the important one is 2020. how do they shift? atl they single unchanged 1.62. that is the big question.

conference, jay powell, what he says about trade it was weak manufacturing that drove the three rate cuts. what is he going to say when it is still not resolved -- what can it mean for the economy and futures rates. shery: thank you. kathleen hays. we will have special coverage of the fed decision and the analysis tomorrow with a whole host of gas. do not miss that 3:00 a.m. thursday hog-tied time let's turn for a check of the first word headlines. people have been killed in a shooting in jersey city including a police officer, suspects and three potential bystanders. heavy gunfire rang out for one hour in the early afternoon. it is not clear he was behind the attacks but it is not thought to be an act of terrorism. christine lagarde hosts first policy meeting at the ecb on thursday. officials say digital currency

as among massive discussion. governing council members will address the suspect. while there was no imminent decision on a cryptocurrency, the fact one is being discussed at all is seen as a sign of how far lagarde is linda shakeup the takata felt in india for a record accenting 13 straight months in november. falling almost 11% from a year ago. demand for new vehicles has slumped since the economy grows the weakest pace in more than six years. one point, the new s&p model did spur some interest among buyers. in battle tycoon today faces a new threat. indian banks declared bankrupt. the boost has gone to court in london, chasing $1.5 billion in unpaid debt fighting a tradition back to india, accused of willfully defaulting on debt by the now-defunct kingfisher

airlines. day,l news 24 hours a powered by more than 2700 journalists and analysts in more than 120 countries. this is bloomberg. paul: all right, thank you. house democrats formally laid out the allegations against president from and making the case for his impeachment and potential removal from office. speaking to reporters, they called the impeachment article week. >> the democrats cannot find much because they put up two articles that frankly are very weak. joe joins us from. paul: what do these articles of impeachment contain? joe: it is intently focused regulation. it is 90 pages long and deals exclusively with his interactions with the ukrainian

government and allegations that them fort a favor from a certain investigation of joe biden. they fuse him of obstructing andress in a lawful constitutional capacity. it is narrowly drawn. a clearsigned to draw comparative of what they view the president and rub. it will be voted on in the house probably by next week. it will move over to the senate for a trial beginning sometime in early to mid january. it is not expected that the senate would vote to convict. fairly unwavering support for the president's it looks most likely this will end in his acquittal and he will remain in office and face voters in november 2020. time to be hosting

russia's top diplomat. what came of that? joe: a closed meeting for the .resident and mike pompeo of aad a test the exchange russian election appearance. he said it was baseless and merely speculation that once of the closed meeting and the white house read out the meeting afterward, among other topics that he raised, was this election interference by russia along with trade and china and other issues. and therens came out was a statement that lavrov said they did not discuss the u.s. elections in that meeting. we have not had a response yet from the white house to clarify whether differences are. it is another example of there being two stories of the same

thing happen in 2017 when trump and lavrov left after the firing of james coming the russians put out pictures and statements about the meeting. even though it was close to the u.s. press shery: shery:. a judge burying president trump amusing military funds to pay for his wall along the mexico border. what do we know about this? joe: this was an extension of an order by the district judge in el paso. he previously rolled on it. the supreme court said the president could use certain money, drug interdiction funds for the border wall but now the judge has come back and said that no military construction funds could be used for the border wall. this is something that has been controversial in congress because it has diverted money from of the cherry construction projects including bases, maintenance and those sort of things. throwing a wrench

is the negotiations going on now about spending for this fiscal year. this was a big point of contention. they seemed to have settled it without too much rancor. now with trump being blocked from using a further funds, this could create a new complication as congress looks to settle it spending issues before next friday which is when the government would otherwise run out of money. appealed by to be the trump administration further so it is not certainly the last word. for now, it is going to be an added burden for both the white house and congress as they try to reach a deal. paul: congress editor, thank you joining us. still to come, we will discuss the prospects for sterling is the u.k. election looms food we

will be joined by nikolai del negro. this is bloomberg.

collects small chance of a hung parliament. everyone else in the u.k., at least there will not be a hung parliament. there will be some majority in favor of some decision-making process. >> there is a lot of head of us but they workable majority in the election on friday is a jewel to confidence of the financial markets, currency markets,. most poorly, the private sector. collects the bigger the majority, the more authority the prime minister will have to take britain forward. it is important we do that. a clear mandate after this

election to get britain moving again. that is some of the earlier guests on what to expect from the u.k. general elections. let's bring in the next guest. how this will play out in the currency market. general manager. he joins us now from sydney. thank you for joining us. earlier today, we had the new poll. famous for predicting the destruction of theresa may's majority. . we saw a fairly profound reaction in the pound if i can bring up the chart. it is plunging. what does it mean? >> it was not entirely unexpected. sterlingeen this actually driving higher under the last. as we get closer to that election day, worries become heightened and more heightened.

it has not really helped things. the worry for the market at the moment is we have got some more uncertainty creeping into all the markets and the election itself. it could swing one way or another so it could be very kelly. i feel like the risk at the moment -- if we do see on saturday we do get that majority that had been expecting, there were some clear back into the sterling. we will see more volatility in .he next few session paul: we heard some guests talking about the worst scenario in parliament. that projected majority for boris johnson seems to be quite slim. what sort of majority would give comfort? nick: the sort of numbers we have been anticipating which is why we have seen sterling going up.

and sterling appreciate all the crosses. once we get tighter, once you start looking at labor being able to link up with the scottish national's, things get very confusing. englishman and a brit, i think even the general population does not want to see the uncertainty and the confusion we have seen out of the last few years. not just from the markets respective but the whole country wants to see a solution one of the comments we have from ireland before was probably that is the worst case scenario that we go through what could be another year, another two years from this will brexit rigmarole. there is risk to both sides but it is heightened we have the new but i think we could see a really nasty monday morning open for sterling traders. shery: why are we expecting

sterling rear a because we saw sterling take a hit against the euro as well as we had those numbers -- at the same time, and a more positive data in germany as well. you so i many perfect storm for euro over the last few hours. we have had a strong move. expecting to see some sort of correction in the uncertainty that comes. thinkews on that front, i when we look at the eurosterling , it will dominate the move. towards christmas and the new year. that is where we will get real direction. it was good to see some decent numbers coming out of europe. positive news for the euros but we have to be -- with to keep

the eyes firmly on the european election as far as the euro and sterling is concerned. shery: do japanese yen weakening but we are seeing the frank gaining ground. we have seen this safe haven move layout. not so much in the japanese yen as we have more positive expectations when it came to those grade negotiations. as we talk about japan, we are expecting the ppi numbers the break which are still not out. the expectation was for a weaker yen to help move the price inflation numbers. when it comes to safe haven currencies, where do we look at when it seems like for the swiss franc, there seems to be very different stories that are affecting them at the moment? true i think that has been over the last year and maybe two years especially regards to the fruit swiss franc. .ome stronger moves

that has not been the case. the yen has moved stronger and we have seen more of the yen strength when we have seen risk off rising. i think it has been a better trade-weighted what we need is more clarity. that will help us a little bit. for clarity on the european situation and maybe that's which trade comes back and. they have fallen off a touch with the safe haven play. the yen has strongly traded over the last year or so on risk on, risk off. that has been dominated by the u.s.-china trade situation. shery: year on year, gaining estimates toa beat stay flat. we have seen the ppi numbers take a big hit in the previous month of october. we saw the sales tax height

boosts, not to mention the weaker yen we were discussing. week.ine momentum staying 0.2%. these numbers, we had south korea export numbers for the first 10 days of this month and we are seeing it rise seven point .7% year-over-year. rising so itips seems like a trade numbers seem to be a turnaround in south korea. how much more can we expect the trade headlines play into the currencies and which process are you watching more closely as we get this more positive headline from south korea for the fest 10 days of this month? i think those trade comments in the whole situation will continue to play in the markets. i think there will be a substantial lag good even the

positive sentiment we have got over the past few weeks, that will take a fair while for data to catch up. we will probably see more volatility and it is good to season positive men numbers. as we move into the new year, we will look at -- we need to get this confirmation that trade is on a more positive footing as we move into christmas. even then, we will be data watching morten tensely. it will probably give us some more favorable trading conditions on the crosses the currencies. one of the main currencies we look at is the aussie yen with regards to trade. kenneth very good potential to increase substantially. we will then see some regional differences. looking at some of the emerging markets -- efficient a u.s. situation -- the industry-specific nations will

see some really good moves and strong appreciation. $.69 since august and we have got run consumer confidence. what will break the aussie? nick: it has been boring. dictated asas been most of the country by this global fundament if we do see a turn. we have obviously seen the rba reacting to the global environment a lot of the central banks. one little hint was the changing from the rba z. dovishot as bearish and on the markets as may be have been expecting if we start to see that call, we are seeing the aussie make a rally. the aussie yen is one of my favorite currencies if those stars come to a line in the next few weeks. i think that is what we need you

to we need data. as i said before, there will be a leg on that data catching up sentiment if sentiment turns sharply. that is my hope for a stronger aussie. paul: all right, take you so much for joining us. we have plenty more to come. this is bloomberg. ♪

shery: you are watching daybreak asia. markets open at the top of the hour. let's turn to sophie for what to watch. sophie: moving in the direction for stocks. jgb, pushback below 0% for the line. jgb reversing the drop even after its five-year option. traders looking nervous as they retreat from the 132 level. narrow lead,

friskies are sliding, and looking more expensive. paul: all right, thanks. still to come on the next hour, we go to the credit outlook for asian next year. this is bloomberg. ♪

>> good morning. i am paul allen in sydney. >> i am shery ahn. sophie: i am sophie kamaruddin in hong kong. welcome to "daybreak asia." shery: our top stories this hour, the u.s. and china are in daily contact on trade. down to thecks tariffs deadline. sterling falls as the latest opinion poll shows force johnson's campaign