tv Bloomberg Daybreak Asia Bloomberg January 28, 2020 6:00pm-8:00pm EST
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paul:paul: good morning, i am paul allen in sydney where markets of come online. japan and south korea will open in an hour. taylor: i am taylor riggs in san francisco and you are watching " bloomberg markets." our top stories this hour, the travels china restrictions. hong kong suspends travel from the main man with more than 100 people now confirmed dead. investors seem a little bit less
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worried. u.s. stocks climb the most since october since the s&p 500 refill from its worth selloff. apple surges after beating estimates across the board. iphone revenue almost $56 billion in the holiday quarter compared with $52 billion one year ago. the market has just opened here in australia. stocks coming online in alphabetical order. seeing some gains to be expected. the asx higher by a 10th of 1% there. been trading for a couple of hours, up one third of 1%. nikkei futures look positive as well. this after we saw u.s. equities on the overcooked fears of a coronavirus. we have data coming through, which we may see with the aussie dollar. taking a beating on these coronavirus fears.
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we will have fourth-quarter high out of australia with inflation expected to remain below the reserved banks. the japanese yen is looking somewhat steady. taylor: we are continuing to follow headlines coming out of washington. this time we are getting reports that senate majority leader mitch mcconnell is telling republican senators in a private meeting that senate leaders do not presently have enough votes to block impeachment trial witnesses. let's go to joe, who covers congress for bloomberg news, he joins us now in washington. what does this latest headline mean to you? all met anyublicans office in the capital with mcconnell and they came after teamresident's defense concluded its arguments. going in there were at least three republican senators who were leaning towards calling witnesses. there were a few others that have been open to it. so they went in, they talked about it, the senators that came
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out and talked to us said that no consensus had been reached. oronnell allegedly reportedly told members that they did not have the votes at this point to block witnesses. they have been trying to wrap up the trial by friday without extending it with witnesses. but the keyword there is currently. they don't currently. there will be two more days that senators will question both sides of the impeachment case. that will also give time for mcconnell and the rest of his leadership team to lobby senators. had shifted after the leak of john bolton's book, the former national security advisor, saying that trump did stopped aid from ukraine to get an investigation into his
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political rivals. are also getting reports that senator dianne feinstein me vote to acquit trump. ofre does all of this put us what is impeachment or not? came oute that story to the los angeles time, feinstein has come out with a statement saying she was misunderstood. that she had said she had gone into it with an open mind, but she is saying that she is not leaning towards acquittal at this point. there is pretty much no question that trump will be acquitted. it takes 67 votes, two thirds majority of the 100 member senate to convict him on the charges. pretty high bar for any senate. this one being controlled by republicans with 53 votes. , givenighly unlikely
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that many of the republicans, even those who disagree with or have criticized the president for his actions say that what he did was not worthy of impeachment or removal from office. that really has not changed a lot, but the presentation of bolton as a witness would be politically damaging for the theident going into campaign. republicans are trying to counter that by trying to bring up joe biden's son, hunter biden, who served on a ukrainian companies board. taylor: thank you to bloomberg's joe on the latest. i want to switch over to the latest on the coronavirus. the debt will now exceeding 100. we are joined by bloomberg's selina wang from beijing. what is the latest? the situation has escalated over the weekend with that death toll over 100.
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500 infected confirmed cases spread across asia. most recently, germany saying that they found a cluster of cases from women who have traveled from shanghai. of thisbation period disease can be as long as two weeks before someone show symptoms. that means they can be traveling and infecting those before showing signs of fever, cough or symptoms. you have the u.s. and u.k. telling people to avoid all nonessential travel to china. united airlines will cut flights after a drop in demand. you have china now restricting travel to hong kong. and china is extending that lunar new year holiday and companies are encouraging workers to work from home. nissang automakers like and honda telling workers to evacuate from those infected areas. china has locked down the center buthe outbreak in wuhan,
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also the surrounding cities, which puts 50 million people under quarantine. you have dr. supplying medical goods and material all in short supply. and now they are dispatching military workers to help the affected area. a are working to build a new hospital with 1000 beds in a matter of 10 days. there are looking at a second hospital there. this has become a top priority for the chinese government with the premier recently traveling there. when incredibly important it comes to the political and economic stability of china. markets closed in china for the lunar new year holiday, but what sort of economic impacts have we seen locally and globally? wuhan has been hardest hit. this is what just a travel about the height of the railways. economy has more than 200
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billion dollars of gdp. that area has been hit hard. across beijing and china. restaurants, cinema operators, people not going outside. and if they do go outside it masks.ike a sea of this could have a long-term affect if this continues to drag on in china. especially as china mows more towards the services economy. this has an outside effect on china's economy and the global economy as it becomes a more important part of the global economy. our china correspondent in beijing. let's get a check on the markets now. the apple earnings were the big story in extended trade. su keenan joins us with all the action. apples initialh jolt higher, stronger than expected forecast. from what increase
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analysts had expected. you have the ceo tim cook saying it was the best quarter on record. check out the after-hours performance of the stocks. it probably would be higher if they had not come in slightly disappointing on the services and. morgan stanley pointed out that there were great expectations for apple. so any miss what have been negative for the stoxx. but it has been surging. take a look at the suppliers, moving very high across the board on its forecast and positive outlook for our final -- for iphone sales. look at the one year track record for apple and you will notice it had rebounded for what had been in an earnings disappointment. from their last earnings alone, they are of from 30%. there is a lotay to be impressed at your that's go through some of the headlines. greetingok at tim cook some of the people arriving at
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the reopening of the new york store recently. the sales forecast exceeded estimates again by more than 2%. expectations, but what was important is first 91rter fiscal revenue was point 8 billion. that is up from a year earlier. profit was for 99. a very strong quarter for apple that should play out in tomorrow's trading. you for keenan, thank that. let's get more on how the coronaviruses affecting markets. we are joined by our global strategies president. welcome. a couple of big catalysts here. some very big catalyst to talk about. we got the huge earnings results from apple. on the other hand there is a killer virus on the loose. what is the catalyst in your mind? apple, theg with
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first -- fourth-quarter earnings that su talked about is looking back. as you look forward to 2020, i think chinese growth was slowing. as a result of the coronavirus, there is probably going to be further slowing to the extent of has -- as much as half a percentage point on the chinese side. particularly affected are going to be the consumer sector as a result of what you see taking place with respect to all of the difficulty reaching the store, traveling from one place to the other. we still don't know what the witht is, but china companies, particularly with apple, will all be issuing something we they will have to deal with this year. taylor: it seems like the markets are using the coronavirus as an excuse to sell
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off some of the lost evaluations. but then today we came back in. i think what you saw today is a dead cat bounce. i think the impact of the coronavirus is not finished. yesterday there was clearly panic in the equity markets, as well as in the u.s. treasury markets, which were reflected. today, perhaps investors thought they had done that too much with 10 year treasury yields rising equitiesxtent and coming up somewhat, but not as much as before. this is just a total of today development. we still have to wait to see what the impact is going to be longer-term. i think that market impact is still further ahead. i want to talk a little bit since we are talking about apple and fundamentals and earnings, a lot of analysts are
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worried we could be in an earnings growth recession. and earnings recession. does that worry you at all question mark any implications -- at all? any applications? concerns arek the well played partly because the u.s. economy is slowing any earnings increase have been very healthy in past years. there is a slowdown taking place in 2020. worrisome a development. paul: just want to return to some of your thoughts on china. the virus is likely to be a driver once they reopened after the lunar new year holiday. there is lingering concerns we do have on trade. you are not terribly optimistic about these agriculture purchases coming to fruition, are you? wasl: even before this i negative on being able to purchase all the farm imports from the united states that they
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have promised. a nearre going to do doubling from the trading at 17 level. i think they did not think it was going to happen. now with the coronavirus and a likely slowdown of the chinese economy, i think there is one more excuse in terms of why i am able to purchase it. it is going to be very difficult for the u.s. administration to turn around and say that they are going to punish the chinese for not purchasing, giving -- given what appears to be why the purchases are falling below. think with everything put together, this does not look good for the u.s.-china space. paul: in this context, do you expect to see more stimulation coming from the pboc? komal: i think so. we have seen the pboc cut this several times.
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it will continue to do that. the chinese central bank also has the ability to work to the commercial banking system to increase the availability of credit. even though a debt level in the country is high, i think that credit figures will be turned on, and that is going to be one more stimulus taking place. al will be staying with us. still ahead, we have plenty more to discuss. central banks and apple earnings. we are going to bring you the highlights. fed.ll talk about the we will dive into its decision to keep rates unchanged. more on that in a moment. this is bloomberg. ♪
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the federal reserve all but expected to keep rates unchanged on wednesday. investors are waiting to hear what is said about the potential economic impact on the coronavirus, and plans to revise the money market operation. our bloomberg global economic policy operator kathleen hays is here for us. kathleen: go back to september 11 when the fed announced a new plan for 2020 and they have no plans to do anything. 2020, 13 of seven , not a hike, not a cut. only a few of them may be want to do one. jerome powell has said that we are not going to move anything on rates unless there is a material change in the economy. we have low unemployment,
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investment is weak and spending is a linchpin here, but that is where they are standing right now. powellstion is, is jay going to give indication the fed is watching the coronavirus? the economic risk globally to potentially change their stance may be too early. risk already a near-term in asia, particularly in china. said if the fed signals that change, you could see the dollar get stronger a lot quicker. our globaleen hays, economics and policy editor, thank you for joining us. this get back to our guest half hour. k-umarthe president of sri global strategies.
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the expectation was in 2020. we will have a quiet year, but if we look at the chart on the bloomberg terminal, thank you to the coronavirus, we see bond yield the climbing, now that cut priced in as that virus begins to spread. what is your expectation? in december the fed would cut three times in 2020. that is still my expectation. they had said that they would not cut before the elections. when did the fed do what they promised to do? in december of 2018, they were going to raise rates in 2019 and ended up with three cuts. my expectation is that there will be cuts. they cannot say they are doing it during an election year. they cannot say it will support equity markets, but they have to explain it through the economy and inflation not picking up. reachedflation has not
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the target level for the last 11 years, it is a very convenient excuse whenever the fed wants to cut rates. my expectation is, the fed has failed in its targets for the and they arears expected to continue to do that in 2020. the: the fed may not use equity market as an excuse, but they would not be bound on anymore cuts from the fed. i want your thoughts on some davos.s made at to a ponzilikened it scheme. do you have a few concerns about the asset prices? komal: yes. i think the liquidity provided the fed is a major reason why the equity market is up. think about what has happened since the middle of september. we had quantitative tightening until that day. however, the ricoh mike -- repo
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market crisis and cash crunch began in the middle of september. then we have increased from a lower $6.3 trillion. we added 4.2 trillion for the balance sheet of the fed. yes, it is a form of a ponzi scheme. it is having all the liquidity necessary to support the equity market without saying so. if the fed was really serious about the cash crunch, they should have found out what the basic cost of the problems were, but we still don't know what started the crisis in september. all they are going to do is they are going to be with the disease with painkillers rather than solve the issue. wasor: i think it interesting 2019 was a theme of the u.s. versus the rest of the world. do you see that continuing as a comes down to economic and growth in the u.s. versus everyone else? komal: i think there will be
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more of a convergence in the sense that the u.s. economy is slowing. the rest of the world is not picking up. some large countries in emerging markets, china and india are slowing as well. if you think about the performance of 2019 that you as one of the virgins, mainly the u.s. economy staying collectively strong, and the other countries in western europe did not, now i think you have more of a similarity and more of a convergence in terms of their growth during 2020. i think that is the expectation, that is why the global economic growth will be even slower than international monetary fund is talking about in terms of its latest numbers. paul: always appreciate your insight. thank you for joining us. still to come, we have a happy
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holiday for apple. silicon valley giant reported a holiday -- holiday quarter revenue that beats wall street's expectations. we have somereak breaking news. jpmorgan plans to cut hundreds of jobs across its consumer division. they will notify employees on february 6. cuts will be scattered across the division. goldmaning note, catch sachs chairman and ceo, he will live wednesday at 3:30 p.m. new york time on the banks first ever investor day. this is bloomberg. ♪
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coronavirus outbreak that have disrupted lives in this important growth market. a cast this shadow over what was an upbeat earnings report, saying sales rose 5% in the fiscal first quarter. out teasing the average estimate for 4.6%. taylor: a lackluster revenue and earnings forecast. following a management shakeup and the sales of stub hub. earnings in the current quarter will be $.50 a share at two and a half a half at $2.6 billion. the forecast missed average estimates of $.71 a share. setting aside $4 billion to settle bribery allegations that have heard the plane maker for years. the preliminary accords of authorities in the u.k. say the ceo was removed. they welcome the news with the biggest stock gain in a month.
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>> this is bloomberg markets. i'm ritika gupta with the first word headlines. president trump announced a plan for middle east peace that he says provides a win-win solution to make israel and the whole region safer. trump's friend of complaints that palestinians have already rejected the proposal and did not take part in drafting the plan. the proposal offers a way to a two state solution that leaves jerusalem as israel's capital that has been met with strong opposition from palestinian leaders. president trump's defense lawyers wrapped up their argument in the senate, insisting his actions on ukraine do not warrant removal from office. white house counsel pat says the
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articles of impeachment falls far short of any constitutional standard and are dangerous. meantime, democrats are continuing to push for john bolton to be called to testify. stronger than expected u.s. economic growth and an unemployment rate at a five decade low will contribute to an uptick in inflation this year according to the congressional budget office. the cbo's budget and economic outlook through 2030 expect gdp , up .1%2.2% this year from its august estimate. singapore introduced new payment legislation that offers global cryptocurrency firms a chance to apply for operating licenses. it acts as the first comprehensive legislation ranging from digital payments to trading of tokens such as bitcoin and ether. it will hand the supervisory
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controls on money laundering and terrorism financing. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. i am ritika gupta. this is bloomberg. paul. paul: thanks very much. australian markets have been trading for half an hour. bloomberg's su keenan joins us now. what are you watching? su: a lot of after-hours action. apple right now, the big after story. the ceo says it was a record quarter. we are talking fiscal first quarter. and on fiscal forecasts, they're projecting revenue -- their projecting revenue is better than expectations. the shares are only up about 1%. the services revenue missed expectations, limiting the gain,
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but check out apple suppliers. they are off to the races on very strong holiday sales of the iphone and a strong forecast for future sales. take a look also at some of the other after-hours action. andy moving lower -- andy moving lower.moving starbucks noticed they are closing about 2000 stores throughout china for the short term because of concerns about the virus. now, in the commodities, we can go very quickly in the bloomberg. a lot of people are focusing on copper, which has plunged possibly on this health care concern, and that is a question of what kind of message it might be sending for the s&p. watched as anely indicator for market action. taking a look at some of the regular action, stocks, you will notice there were a lot of earnings in the regular session, and then you are looking at china etf's.
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they have been down in europe and the u.s. in the past couple days. because of virus concerns. the big theme is the easing of those concerns and you definitely see it in these etf's, which are in the green. you to thank bloomberg's. beatingporting they are analyst expectations on rebounding iphone demand and surging sales of wearable devices like the apple watch. tim cook weighed in on the record. tim: our record performance was fueled by iphone. december quarter revenue was up 8% year-over-year and by our fifth consecutive quarter of double-digit growth outside of iphones, including a new all-time record for services and another blow for wearables. taylor: for more analysis, i want to go to bloomberg's mark gurman in los angeles. i think the key story here is more than half the companies
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revenue continues to come from the iphone. did you get the numbers i think that the market was looking for for the iphone? mark: overall, this was far better than expected. coming into this, we thought there would be all sorts of conversation about servicers and wearables but we are back to the old school days. talking about the iphone and the solid growth that product has had. people are running to get the iphone 11 in large quantities. i think you saw how well that price drop from the iphone x are to the iphone 11 did. you got an improved phone for $50 less, and it just shows you how much of a catastrophe year prior was for apple. we had the iphone tennis and the iphone x are. with someave a year new features, much better pricing, better product. that makes all the difference for apple, and you can see it really worked out. taylor: air pots are all the rage, but they depend on sales of the iphone as well.
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i want to focus on the air pods. tim cook coming out and saying they were fairly substantially off when it comes to air pods supply and demand imbalance. there's too much demand for the air pods. when are we going to start to increase that supply? tim: i do say that a lot in terms of they need to break free the air pods and the apple watch from the iphone because it is so reliant on the iphone. the point i am trying to make is that is only a problem when the iphone is not selling well. if the iphone continues to sell well and grow like we saw today, that is not so much of an issue. in terms of the demand, this has been something with the air pods from day one back in 2016. they still have never managed to get through supply and demand balance for the air pods. my belief is that it is just an incredibly complex product to make. you have a processor akin to the processor you have in a phone or apple watch and getting it in that very constrained space
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takes a lot of time to get these things built in shifts combined with the strong demand when you are launching these things. they come out with air pods in the thick of the holiday season. they have done this every time except for the minor upgrade in march, and that is just a death spell. andnely complicated product insanely popular product coming out in the hottest season of the year. supply lot of apple chain of course is in china. some time was spent on the impact of coronavirus. there is no human vaccine yet. as apple successfully inoculated itself -- has apple successfully inoculated itself? you saw their guidance. their guidance was wider than usual and they attributed this to the uncertainty of the coronavirus, but that aside, that guidance is higher or at the high-end of the range that people were expecting without the coronavirus coming into effect, so it seems that
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regardless of how you slice it, they are going to be ok. inl: bloomberg's mark gurman los angeles. thank you so much for joining us. now, we are going to have some more reaction to apple's earnings a little later. right now, in fact. let's welcome baker avenue chief strategist -- who joins us from new york. i want to start with your takeaways from those results from apple. looks to be a pretty solid state of numbers -- set of numbers. >> the report was very strong. i would say that it really shows the robustness of the overall apple ecosystem. however, there are a couple of things, just reviewing through the report, that does raise some questions regarding the management decisions. what are some of those questions? why did the one is services revenue not come at least two expectations? -- to expectations?
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given the talk up in terms of the services, we expected a pretty robust beat on the services business. the second thing is in terms of the capital return, the dividend was set at $.77. that's roughly less than 1%. the company bought back more stock than it paid in terms of dividends, so going back to the services revenue, one of the reasons why the stock is at the price it is now in terms of the because of the belief that apple is going to transition into a services company. from that perspective, valuation looks a little bit rich at these levels, so we are curious if a buyback going forward would be the best use of capital for the company. taylor: i think the big question is the whole point of pivoting to the services business, it is a more stable business, helping
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to offset the cyclicality of the iphone revenue. are you concerned that this becomes a more cyclical stock? it does not have the stability of the services revenue? king: you make a good point. the services business is double the profitability of the hardware business, so that is why a lot of investors are bidding up the stock, anticipating that the services business is going to be very robust and there will be less reliance on the iphone. but you know, don't get me wrong. the iphone strength is a good thing, and that's why the stock wetially was up 3%, but what have seen in the after hours is not as investors digest the news, the stock has started to tick down a little bit in terms of her return. we are up 1% instead of 3%. taylor: this is the first time in a while that the company has dipped below that. take a look at the chart i am showing inside my terminal.
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cash, whichith net is just about $98 billion. what is their best use of cash? king: excellent question. capital returns via dividends is not such a bad idea at this point in time. we do not think that shares are cheap. in fact, based on a lot of historical measures, the stock actually looks expensive here, so we would be curious if management really wants to continue buying the stock at these levels. i think with that cash, perhaps a special dividend may make sense. perhaps a well-thought-out acquisition would also make sense with that cash. if shares are looking expensive, and you want some exposure to apple, is a better approach to look at some of apple's suppliers? there are a lot of them qamar fair? -- them, aren't there? becauseey are taking up
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of the iphone sales that were more robust than what anyone thought. certainly, it was above our forecast, just because we thought that the 5g phone rollout later this year was going to sort of slow down the appetite for the current iphone. with that said, i think a good way to play the iphone is through some of the suppliers that apple has. baker: thank you to avenue asset management, king lip. president trump unveils a middle east peace plan. who drafted that proposal. jared kushner, ahead. this is bloomberg. ♪
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michelle, j.p. morgan signaled some years ago that it was going to start cutting and it has not really stopped, has it? who is affected, and are there more to come? behelle: we are going to seeing several hundred employees in the consumer bank. they will be notified that job cuts are coming. i understand that this is across divisions and businesses within the consumer banks. credit card business, the traditional bank deposit lending business, and it is going to be some back-office workers as well. we have seen jp morgan investing billions of dollars in technology. are these job losses a direct result of that? michelle: this is a trend we have seen across banking, as you probably remember last year. the banking industry announced around 77,000 job cuts across the industry and a lot of that did have to do with developments in technology and the ability to
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replace branch workers or to automate processes that used to take longer with technology, and so we are seeing that a lot of the headcount reduction that jp morgan has implemented has been operations jobs while at the same time, they are adding thousands of technologies at the firm. >> how much of this is jp morgan being defensive and extra careful versus seeing a real downturn in the economy? year, at j.p. morgan's investor day, th jamie dimon said he saw the risks ahead in the economy, and he is known for always wanting to maintain a balance sheet, so i think it is multiple things. i don't think this is reason to panic, but have always been sober risk managers. a very big focus on expenses within the firm, within the consumer bank, and he said he wants to keep, you know, efficiency, keep improving efficiency. taylor: thank you to bloomberg's
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michelle davis, joining us from new york. president trump unveiled his plan for peace in the middle east at the white house today. the proposal keeps jerusalem as israeli capital and offers the path to us two state solution. the palestinians rejected the plan. advisors to the president, jared kushner, led the effort to promote peace in the region. >> we have been working on this for a long time and over the last couple of years, we started the issue, the region, consulted with all different parties, and the biggest thing we were able to do today was bring the israeli government together to agree on different parameters to put a two state solution on the table for the palestinians. this is something that has never happened before. getting two opponents to come together to endorse something on the most divisive issue in their politics is a pretty major accomplishment that only president trump could have pulled off. >> global politics.
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something that has been going on for so long. so what specifically would it do to folks who were just learning about this? michelle: this is the first time -- >> this is the first time in history there's been a detailed proposal out there. that was eight or nine lines. then you had all these different efforts that have been going on over the years which are more conceptual frameworks. this is an 80 page detailed solution that has very technical economic and political prescriptions for how to solve this problem and how people -- two people can coexist. the things we were able to accomplish today is israel has agreed to allow the palestinians to have a state and to agree to negotiate on the base of that and through the terms and conditions of the plan, and in addition to that, this is the first time in the history of the peace process that there's ever been an official map that's been drawn and even more so, an official map that was agreed to by the state of israel. >> how did you decide on how to
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draw that map? >> the terrain is the terrain. people go back to the 1967 or even 1948 -- but we looked at it as it exists today. in 2020, there's been a lot of things changing in terms of where people live and how they live, and the most important thing for us in terms of trying to draw was how do you get continuity to the palestinian territory? gaza and the west bank were never connected. in this plan, you can go down to the bottom of the west bank and then we have the opportunity to link all the way to gaza and below, so we tried to figure out where the land is and one of the biggest accomplishments as well is that the president has gotten israel to agree in exchange for recognizing land that israel was never going to give up any way to freeze rowing settlements for another four years. this will provide an opportunity for the palestinians to come to the table and negotiate. >> i was struck by seeing president trump not just meet with benjamin netanyahu but also with benny gantz, and clearly,
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from my reporting, it was an illustration that the president stands behind israel, not just whomever the leader is. but it really seemed to suggest that. >> president trump has built great relationships with a lot of world leaders and he has worked very hard to bring the relationship between america and israel, our democratic strong ally in the middle east, closer together than ever before. per mr. netanyahu has been a great partner for president trump to combat iran's aggression, to push for a lot of important issues in the middle east, to defeat isis. for president trump, the relationship is with this trait of israel. -- the state of israel. we got them both to endorse the plan as a basis for negotiations. >> how do you get palestinians on board? right now, they have been critical. you look at their public comments, have there been back panel discussions? >> we have had a lot of
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discussions. we understand their positions. but you have to look at the context. the palestinians have been negotiating for 25 years and they have never made a deal so they are track record is doing things their way with a perfect failure-success ratio. what we want to accomplish here is create a framework. the palestinians told us they can never get israel to agree to a map and they can never get israel to agree to a state. if we were able to accomplish those things, they would be flexible on all the other terms. paul: that was jared kushner, senior advisor to president trump, speaking to bloomberg's kevin cirilli. still to come, the u.k. decides to give huawei the green light to help develop written's 5g network. is there a silver lining for u.s. networking gear makers? we will find out next. also a programming note for you, be sure to tune in for an interview with 2020 presidential candidate andrew yang. he will be joining bloomberg tv wednesday, 12: 30 p.m., on
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paul: u.k. prime minister boris johnson risks a clash with president trump after giving huawei the green light to build bertens 5g networks. the u.k. is limiting the deployment of equipment which can be seen as a silver lining for u.s. networking gear makers like cisco and ciena. for more, let's bring in bloomberg intelligence senior analyst -- to really specify what the u.k. is saying, it is a cap of 35% imposed on nonsensitive parts of the network. does the u.k. really risk incurring the wrath of the u.s. -- it looks almost reasonable, doesn't it? >> thanks for having me on. stance ands.'s
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standpoint, they have had this battle over huawei for a couple of years now, and what the u.s. the want is part of infrastructure altogether. the risk is with the u.k. going ahead with some sort of agreement with huawei, there's the potential that it will bleed over to europe using more huawei equipment as part of their mobile infrastructure as well. paul: what are the chances that the eurozone or even canada, which is due to release its own guidelines, that they will follow down the track that the u.k. is on? woo jin: i do think the u.k. does set some precedents. if you read some of the governments documents, it does show the outline, the rationale, as to why huawei is not as big of a security risk, why they are only at the edge of the network and not at the core of the network, and you know, given that outline, i think that the eurozone cannot take that and
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probably use that as a framework for their own use of huawei in their network equipment as well. canada, similarly speaking, if you look at huawei, they are actually a very good 5g or mobile network equipment provider. from a cost perspective, it would make sense for energy for a while way as well. taylor: what side of downside -- sort of downside risk does this represent? frankly,sure, so quite i am looking at more of a glass half-full perspective, taylor, so if you look at it this way, because of what has happened with huawei, a lot of the network architectures relate to 5g, whether it comes from the mobile infrastructure to the core of the network. those investments have been frozen and have stalled quite a bit. we are already seeing some impact to the equipment spending over the last couple of quarters for these vendors. the this decision out of
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u.k., hopefully a domino effect with the other network providers. now, the investments can start opening up, so if we start seeing improved service provider spending for those vendors. networkinge mobile infrastructure players like ericsson and nokia, this is actually quite good, because if you think about the 4g history, huawei has slowly been taking market share away from nokia and ericsson, and we also saw motorola, which was one of the original vendors. so byla disappeared, providing a cap on mobile infrastructure for huawei, this allows nokia to thrive. from bloombergo, intelligence, thank you so much for joining us. coming up on the next hour of daybreak asia, we will have a former director of the centers for disease control and prevention to discuss the latest
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>> from bloomberg's world headquarters in new york, i am shery ahn. you are watching "bloomberg markets: asia." our top stories this hour, the u.s. widens china's travel restrictions as the coronavirus proves hard to stem. hong kong suspends travel from the mainland with more than 100 people now confirmed dead. investors seem less worried. u.s. stocks climbed the most in october and the s&p 500 rebounds
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from its worst selloff in four months. tech shares leading the charge. apple surges after beating estimates across the board. iphone revenue in the holiday quarter jumping almost $4 billion. we are seeing a rebound across the board. let's get straight to the market action. >> let's start off with japanese markets. markets higher in japan. the nikkei up .4%. here, the topix, same story, .2 percent. dollar-yen reversing some of the price action we saw during the u.s. session, down by less than .1%. by aese 10 year yield up basis point. let's switch up the board to the korean markets. that just opened. kospi up by five -- .5%. apple just had an amazing earnings beat in the u.s., said after the u.s. session. keep in mind kospi had a 3%
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decline yesterday. that was the largest since back in october. by ---won down south korean 10 year yield also higher. open for about two hours now. the asx 200 of. aussie dollar up also, just barely on the session. new zealand's top 50, strong start to the session. .6% higher today and the new zealand dollar against the american dollar, down .1%. shery: seems we are getting a rebound across the board. china futures rebounding at the moment. this of course after a plus 6% plunge in the last couple of days. risk-on sentiment, it seems at the moment. let's get now to the first word news with ritika gupta. ritika: chinese state media says 25 more people have died in the province, bringing the
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nationwide death toll to at least 125. hong kong is restricting travel from china as the outbreak spreads. chief executive carrie lam said road, will be halted from thursday as health authorities try to contain the infection. the u.s. is telling travelers to avoid all nonessential trips to china. president trump has announced a plan for middle east peace that he says provides a win-win solution to make israel and the whole region safer. trump skirted complaints that palestinians have already rejected the proposal. the proposal offers the way to a two state solution that leaves jerusalem as israel's capital. stronger-than-expected u.s. economic growth and an unemployment rate at a five decade low will contribute to an uptick in inflation this year according to the congressional budget office.
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the budget and economic outlook through 2030 expects gdp to rise 2.2% this year from its august estimate. nike says its online store sold out of kobe bryant's apparel two days after his death, contradicting a report that the companies will merchandise -- their website no longer shows bryant products available for purchase but nike declined to comment on the volume or revenue. espn reported earlier that nike removed all kobe products to prevent stockpiling by fans who hope to sell it later on secondary markets. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in more than 120 countries. i am ritika gupta. this is bloomberg. shery. shery: thank you. now to our top story, governments are tightening international travel as they try to stop the spread of the coronavirus outbreak that has
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sickened thousands and claimed more than 100 lives. selina wang joins us now from beijing. we have travel restrictions for more than 40 million people in china and yet the outbreak continues to spread. the numbers of confirmed cases, deaths, all rising. where are we at? selina: that death tall rising past 120 paces, more than 4000, peopleple -- 4500 confirmed to be affected. they have identified a cluster of cases. there is an incubation period. it can be as long as two weeks. people can be infecting many others without showing any signs of symptoms. you have the u.s. and u.k. telling residents not to travel , canceling all nonessential travel. china restricting travel to hong kong, extending the lunar new year holiday.
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industrial production. you can really feel the increasing fear in beijing reflected across china with restaurant operators, entertainment, public spaces closing down. people choosing to stay-at-home. we mention the lockdown china placed on 50 million people, centered in the province. you have a shortage of doctors, medical supplies, materials. you have the chinese government saying they are going to build a 1000 bed hospital in a matter of days. reportedly, there's another hospital in the works as well. this has quickly become a top concern of the chinese government given the implications it had in terms of political and economic risk. shery: what are we hearing from the public in china as we continue to see the media reports within china pointing the finger that local authorities in wuhan for not being faster at containing this crisis? mostin: most of -- selina: of the criticism has been focused on the local wuhan
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authorities. they did not tell the public early enough just how severe it could be in that human to human transmission that was possible. you are seeing li keqiang and xi jinping making statements about this. recently visited wuhan. complaint about the lack of transparency, the fact that there are not enough hospital beds and that is why the government is responding to rapidly build these new hospitals. china does have a history of doing this. during the sars outbreak, they did build a hospital in beijing in a week. the toll it has taken on the local economy has been significant at least in the short-term. wuhan has a population of 11 million people. it's gdp is more than $200 billion. sites, vital logistic areas, center of the high-speed railway. any production outages do have broader ramifications, so for
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the people that are in this area of lockdown, it is a source of frustration as well. prices skyrocket as well. it is hard to get some people -- shery: we are getting the latest numbers out of chinese authorities with new death toll climbing to 132. the confirmed cases also jumping confirmed cases of coronavirus within china, 5974. the confirmed deaths within china, 132. of course, we continues to see , theising death toll rising cases. you mentioned the mainland thesis to hong kong being suspended. what other restrictions are we seeing within the city to contain this? woo jin: -- selina: you have the area of wuhan that was the first place to be on lock down. that is the center of the
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outbreak. you have the surrounding cities of 50kdown, a population million people restricted from traveling. travel has been restricted in beijing. you are not able to travel from beijing to nearby cities so you are seeing a lot of restricted travel overall in china. you also have this nationwide screening ramping up security across transport hubs in china. in beijing, there are checks that many of the subway stations. you have the u.s. and u.k. telling residents not to travel to china. you have other countries around the world restricting travel into china. you have airlines cutting some of their travel to china as well, given the big drop in demand, and in terms of the economic ramifications here, again, china -- travel consumption is a growing part of its own domestic economy as well as a global economy so you are going to see economies in asia such as hong kong, thailand,
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vietnam, the poor, the philippines, really be at risk the high share of tourism and its gdp. shery: selina wang, thank you so much from our china correspondent. still ahead, we will have plenty more on the coronavirus outbreak with former centers for disease control director tom friedman and former hong kong democratic party chair emily now. they join us later this hour, but up next, -- tells us why he thinks the virus presents long-term buying opportunities. this is bloomberg. ♪
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almost certainly proved to be a buying opportunity. joining us now is the head of equity research for asia -- always great having you with us. we have seen traders looking past the scare, but if you look at past instances of, say, sars in 2003, we did not see a bottoming out of the asian market until those cases actually peaked. it does not seem we are close to peeking at the moment when it comes to the outbreak. what do we expect in the next few weeks? >> we would sort of separate this into short-term. next few weeks or a few months. and long-term. in the next few weeks, obviously, if you tried to square off what is coming out of the numbers coming out of china and also what the cdc is saying from a global perspective, i mean, it is almost certain that this is getting much worse in terms of reported cases, and unfortunately, deaths. that is the short to medium-term outlook.
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for longer-term investors, which are focused mainly on longer-term earnings trends, as we are, this is almost certainly this period, if we do get a lot of market weakness against that news, it's almost certainly likely to be a buying opportunity. sery: what does it mean terms of sectors he would invest in china -- mean in terms of sectors you would invest in china/ we have seen the biggest hits on the tourism and consumption sector. think it's pretty obvious which sectors to avoid at the moment. obviously, the travel sector in china had not been doing that well from a stock perspective. anyways, but the sort of new asail names, such alibaba have been doing well and they are going to take a hit. certainly delivery, these sorts of things, are going to be impacted as this crisis plays out, so this might be something to keep an eye on.
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you ask about broader asia. our view on asia and the broad sense is that earnings are very likely to bottom in the first half of this year. and the background there is that earnings peaked in asia 18 months ago. 20% and aren almost trickling along the bottom, so from a cyclical perspective, we are very likely to see earnings bottom and start to accelerate in asia, and that is a decent backdrop. shery: we are getting the latest line some sources that the u.s. is not on the verge of banning flights to china, but nothing is off the table. the u.s. is fighting the spread of coronavirus, saying this flight banta china could be among some of the options or a flight from china could be among some of the options under consideration by the u.s. this really is growing to be a global scale issue. and it seems that perhaps we may be seeing some of that reaction on the concerns about the global
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economy in copper prices. this dtv chart on the bloomberg just showing how big of a plunge copper has seen, and given how closely linked this has been to the global economy. not to mention the s&p 500, as we saw those expectations of a phase i trade deal, how concerned are you about the global growth outlook and what that could mean for the markets? before the outbreak of the current coronavirus, the most likely scenario for the global economy was the reaction rate of growth after last year being pretty lackluster. so if we take a long-term view that this is likely to be a weeks and months event rather than an ongoing and persistent event, then again, we should be probably looking past and into the end of what this means in terms of actual impact on global growth. and don't forget, governments around the world have a lot of
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levers they can pull, especially in terms of fiscal stimulus to compensate for any sort of weakness in growth and also to supplement already extremely loose monetary policy. flightshe u.s. to ban to china, if that is the case, it is backed up by the science and what the cdc is saying, and that obviously is the right way to go. we think the longer-term impact on any sort of growth is likely to be limited in time and also in scale. shery: how much room to asian central banks have to counter a global slowdown? because until now, we were thinking perhaps growth was bottoming out. we saw better numbers out of china, but now it seems that we may be have it the other way. i mean, we are probably going to see a wobbly couple of supporters out of china. that is for sure. but certainly, if you look across the major central banks
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in asia, the pboc has a lot of levers it can pull. it has been pulling throughout the course of the trade discussions up until the signing of phase i a couple weeks ago. the other major largest economy in asia obviously is japan and the bank of japan has signaled interest in a fiscal stimulus plan up to 5% of gdp, so there's lots of room for central banks in asia to compensate for any sort of growth weakness. shery: when you look at asia, we have so many different countries, including some parts like japan, where they really seem to have run out of central-bank -- and then you have the pboc that has been rather careful on deploying their targeted measures, so for an investor, which part of asia seems most attractive? us, we thinkn, for -- regionally, asia earnings
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including japan are likely to bottom in the first half of this year. that is sort of the earnings backdrop. it may be of that a bit less given theeleration likely impact in china, but for us overall, we are interested in adding exposure to china as we come out of the back of this event. we are also interested in some of the sectors across asia that are benefiting from some secular themes which are ongoing, for example, 5g. initial orders for 5g related infrastructure and semiconductors are very strong, and we think that will continue throughout this year, so there's obviously quite a few names in north asia, including japan. they will benefit from that. later on this week, we are going to see third-quarter earnings from the large factory automation names in japan in the factory automation space. we are still going through a
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cyclical bottom so those numbers are likely to be pretty bad. heading into year end, we are likely to see a resurgence of demand for them related to 5g and possibly a new iphone cycle. there's quite a few opportunities for both a regional and sector basis across asia. shery: are you taking a look at the tech sector in china? huawei had news that the -- huawei is getting the green light in the u.k., not necessarily the core part of their networks, but they will be able to supply materials for the 5g networks. it seems like they really have not lost momentum despite the fact that the u.s. has been trying to curb their business. you know, the sort of 5g themes we talked about are mostly outside of china. so for example, the global semiconductor makers, which have clients and customers in china.
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but not in china themselves. for the huawei story, this is a political story, and possibly, it's not the end of this story for huawei participating in the u.k. 5g networks, but certainly, to answer your question, we are keeping an eye on that. huawei itself not directly listed, but certainly, something to keep an eye on. we are focused in on china for the new retail sort of areas. shery: playing into the consumption story, i am assuming. kieran: of course, yes. shery: a north east asia, how do you feel about korea? we have seen the korean won take a big dive in 2015 because of the outbreak. will this have similar repercussions in south korea? kieran: certainly, that is the risk. for ourselves, we have been lightening up a little bit on korea into the strength we saw in the first few weeks of january so that is one thing. the second thing, i think the main story in korea is samsung,
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and as we talked about, samsung, which is going to release its full fourth-quarter numbers tomorrow morning, after providing guidance earlier this month, is benefiting as other manufacturers are from the initial deployment of 5g and the semiconductor demands around that. we think that is the main story in korea. certainly, from risks related to the currency and potential impact of what's going on with the coronavirus, then certainly, korea does stand out as you indicated. shery: thank you so much for joining us today, head of equity research for asia. you can get around above the stories you need to know to get your day going in today's edition of "daybreak." travelcludes of course a ban imposed on hong kong, china mainland visa suspended for visitors to the city. bloomberg subscribers can go to dayb on their terminals and it's also available on mobile in the bloomberg anywhere app.
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>> the news casts a shadow over one earnings report. store sales rose in the fiscal first quarter through december, outpacing the average estimate of 4.6%. ebay slumped after the bell on a lackluster revenue and earnings forecast that suggests growth is still slow despite a management shakeup. earnings in the current quarter
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will be 50 to $.53 a share on sales of 2.5 to $2.6 billion. the forecast missed average estimates of $.71 per share. advanced micro devices is another to fall in trade on a lackluster forecast for the current period. it suggests gains against intel may take longer than investors hoped for. revenue in the first three months of the year will be about 1.8 billion dollars below estimate of $1.87 billion. the stock surged. amd's manufacturing stumbled by intel would increase market share. pfizer declined by the most since july 30 after it unveiled a deal that would reshape itself into two freestanding enterprises. one, an innovator of therapies for cancer and rare diseases, the other, a cash generating seller of some of the most widely subscribed medicines. a unit that sells older drugs is
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expected to combine with a generic drug giant, myelin. pfizer expects to completely overhaul in the middle of this year. let's get a click check up on markets. .1%.ospi still down this of course after the biggest drop since october of 2018. of course, we are seeing the pressure mostly on the tourism related stocks. cosmetics are down. remember, the korean won took a big hit in 2015 during the outbreak in south korea. now, the nikkei holding steady after two sessions of losses. we have seen the japanese yen lose a little bit of ground after five sessions of strength. of course, this as we saw this move towards xavier havens. bit, andeased a little the asx 200 being led higher by and and industrials -- tech industrials. kiwi stocks up .4%. next, a former centers
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read it again, papa? sure. i've got plenty of time. life line screening. the power of prevention. call now to learn more. >> this is bloomberg markets: asia. an official at the u.s. state department's is a charter plane sent to pick up americans in wuhan has departed and is on route to the u.s.. wuhan is the epicenter of the coronavirus. the plane left wuhan before dawn on wednesday. the first stop will be anchorage where the travelers will be rescreened for the virus. there is a tsunami alert after an earthquake struck south of
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cuba. quake struck just after 2:00 p.m. between cuba and jamaica. president trump defense lawyers have wrapped up their argument in the senate. the white house counsel set its team has made its case adding the white house articles of impeachment are short of any cause and are dangerous. introduced new payment information to allow global cryptocurrency firms to apply for licenses.
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the monetary authority and the controls our money laundering and terrorism financing. global news, 24 hours a day on by bloomberg.take this is bloomberg. >> breaking news out of australia. which quarter cpi numbers only aing estimates of 0.6% rise. acceleration from the previous quarter beating expectations. the cpi numbers are still below the cpi target.
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later. for now let's get a check of the broader markets. really started off strong seems to have pared back some of the gains. 0.1%.bout kespifollowing that -- following that lead. what i want to take a look at is what the airlines are doing. tourism is a sector expected to the virus. it's really interesting because of these virus headlines, as we see the case count really build gains.hey can hold those
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we continue to focus on the coronavirus outbreak, the photo -- the focus also on -- joining us now is dr. tom freeman, the former director for the center for disease control and prevention. thisntinue to talk about outbreak, i want to start on prevention measures. ashave seen so many deaths we seen the virus cross barriers from animals to humans. time to have a bigger focus? >> first and foremost, we need to mitigate this outbreak. whatever we do with what markets will not have as big an outbreak on this. in the medium-term, there are
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two options. need to bewet marks regulated or they need to be closed. continuing the way this is going now is not responsible. we don't know for certain that this came from the wet mark, but it is not a good thing when you have people and animals in that close proximity. toll are seeing the death rising exponentially from last week. to 5009 different 74. e -- from 132 deaths, cases surging to 5974. >> this is a serious epidemic. we are talking about something that is more contagious and sars and slightly deadly -- less
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deadly than sars. the possibility can go from the bad to the very bad. >> what do we know about the incubation period? our people contagious during that time of 14 days? >> there is a lot we don't know. we don't know whether people are contagious. whether there have been super spreader events. is leading towhat the spread in hospitals and we need to know as quickly as possible. the more we know, the more people and china can protect themselves. there are some things that are very sensible. we know what to do there. there are some things people in china can do, washing hands, nose,ing mouth and reducing contact. distancing canl
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make a big difference but this is a serious epidemic. >> how concerning is it that we have already seen human to human transmission in germany outside of china? >> we know this is going to happen but the question is how readily it will happen. is this going to behave like an that we can control or is it going to behave like and and try to blunt the impact and mitigate the social harm that it causes. at the mortality rate, we have the flu season and thousands of people have already died. compare the mortality of this as opposed to the common flu. >> sars killed about 10% of the people who got it. the flu kills a tiny fraction of
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that but it infects hundreds of millions each year. what we don't know about the coronavirus is how infectious is it. it's not going to be like the flu or the measles, but it's clearly more infectious than sars. how will it circulate? we don't know how may people will have the infection. there could be 5000 infections, there could be 50,000 infections. we should know that in the coming days and weeks. that will help plan and help take action to better protect people. >> every time that we have an outbreak of ebola, mers, sars, there are no vaccines. even if you would get a vaccine, nothing would be approved for another year and then it is too late. what do we need to do to mitigate this? >> we need a massive investment
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in public health in the u.s. and globally in core public health systems and research. it's amazing to think how little money we have to strengthen the systems that will find problems quickly, intervene rapidly, prevent when possible. this is happening in china. china is much better prepared than it was 17 years ago, but events like this may be happening. impactf the economic this is having -- having from a steady investment. this is like having a smoke alarm. we have been through this with sars and mers and ebola. time learn this
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again. things like laboratory networks, rapid response capacity, did -- disease tracking, we have been .ick langan diming >> a knee-jerk reaction every time there's a pandemic. thank you for joining us today. coming up next, more on the launavirus concerns emily and tells us whether the city can deal with a wide outbreak. happening now president trump speaking at a rally in new jersey. the president just coming off of that impeachment trial with his lawyers. pres. trump: the games that you
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>> this is bloomberg markets i am shery ahn in new york. hong kong has announced plans as thesporter travel coronavirus continues to spread. chinese government is also suspending visas for visitors to moveerritory, the latest which aims to protect the financial hub. is emily lau. distrust of the government seems high with several months already in hong kong. how much more challenging does this make it to contain the virus?
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>> i can tell you that many hong kong people are very worried and on a basic level, many cannot even get the surgical mask to protect themselves. the government keeps saying if you take public transport you must wear the mask many people cannot get them, and the government has not been able to source them. this is a deep concern carrie lam announced yesterday is not enough.
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in the medical and health staff in public hospitals are planning to go on strike. they will have a big meeting in the coming days to determine it. i can tell you people are worried. some of the financial analysts predict that when the hang seng market opens it will drop at least 1000 points and may be more. it's a very frightened and jittery city. shery: this is not just about the coronavirus, it's about the months and months of unrest we have seen already. it able to diversify away from the dependence it has on the chinese mainland especially when it comes to tourists? >> exactly. it is a mixture of the frustration and the anger we have felt in the last seven months. there have been hundreds of thousands of chinese people, mainlanders flooding into hong kong in the last week or more and more hong kong people will return to hong kong after holidays in mainland china. it is a mixture of all of those sentiments and it makes it very explosive. shery: what was wrong for the hong kong government trying to
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get the housing and development and set it up as an emergency facility. this seems to be a preventative measure but protesters were not happy with what was going on there. if there is a mentality of not in my back yard, how do you plan to contain this? >> maybe that is the case but i think the most important thing is that there was no public consultation at all. lam, shelassic carrie decides on something, she returned from switzerland, she was away during the crisis and says do this, do that. >>'s and that the challenge of an emergency in any government that you have to be able to act fast and that you have the backing of the people. >> you are right with the people do not trust her. you act fast and you choose holiday camps to do it.
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right act fast, you do it next to a housing estate where hundreds of thousands of people are living. you need to be able to tell the difference. shery: emily, we will have to leave it there but thank you for your thoughts on the hong kong government and how it is handling the situation there with the spread of the coronavirus. the former hong kong democratic party chair. temporarily closing more than 2000 locations in china. starbucks very much dependent on the chinese market. importanthe most .ales market year-over-year it has 4000 locations, they just announced they will close half. it is home between gains and
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losses and trended mostly lower even though it had a strong recent quarter, this cast a pall over everything. if you look at how they have ,erformed in the past year same-store sales, an important gauge of success. 5% in the u.s.. as i said, china was a very big portion of the growth on the global front. the company is maintaining its forecast but made a point of saying it does not include the impact of temporary closing. -- the remaining stores had to adjust the menu because it is having trouble getting certain shipments. they notably said they tried to
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raise their financial projections but they are staying the course from there. the extent of the outbreak, starbucks is not the only country closing up shop. >> the pizza hut stores in wuhan. this was a move followed by mcdonald's. , mcdonald'seally will be reporting before the open on wednesday. we can look at how mcdonald's has performed. food stores fast have been under pressure, but mcdonald's has temporarily shut down some of its stores again due to concerns about the outbreak. it did have some concern to the
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shery: this is bloomberg markets and i'm shery ahn in new york. apple came out with its estimates, but stick -- tim cook says they have postponed the reopening of factories in china and reduced hours for many stores. the risk of disruption when it comes to the apple supply chain? >> it's a clear problematic clear overhang over their business, but from a financial perspective it seems like they are optimistic given the strong guidance provided by the second quarter. past: it really blew projections. to's $16re guiding billion. this is partially going to be because of the cheaper iphone that they are launching in the
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march quarter. they don't say that but we know from people familiar with the plans that it is coming and is supposed to go into production at the end of february but there is talk that the coronavirus could delay that. is still a remarkable comeback from a year ago when they missed their own target. what's going right for apple? >> i think it is a little bit more of what went wrong for apple. they came out with two main iphones the bread and butter is the xs line. the camera was not as great as apple liked to say. it was the most minimal iphone year-over-year upgrade i have seen in my history following this company. -- iphone xr0574 was overpriced.
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max haveo and pro better screens, better cameras. the new back makes it look new. that's really what went wrong. the iphones were not good enough guidance in 2019 fiscal q1 but these were good enough and better given that they did crush their forecast. shery: what about wearables? the apple tvike and the home pod and beats that crushed pass to $10 billion in quarterly revenue for the first time. be keyill continue to parts of apple's business for a long time, as long as apple keeps selling iphones. time where i like to
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say that apple needs to unlock those products. but that is a moot point if the iphone continues to sell well. shery: thank you for the latest on apple. let's get a quick check of the latest business flash headlines. jp morgan planning hundreds of job cuts as part of a plan to rein in costs. we are told that staff will be told february 6 and the cuts will spread across the division. the consumer unit houses the credit card and auto lending operations and contribute half of jp morgan revenue. banks around the world have slashed jobs to whether the slowing economy. >> they revealed they have received a grand jury subpoena in an environmental probe and so they will cut 1500 from car parts to electronics.
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the job losses affect all parts of this operation. 3m anticipates pretax savings inasmuch as $120 million a year from the changes. annualthe sixth straight u.s. sales declined have missed estimates. shipments fell more than expected. continue to shrink to attract new and younger riders. sales slowed in the fourth quarter. rose 8%, slowing from 11% in the third quarter. we are expecting a rise -- analysts were expecting a rise of 8.7%. coronavirusd by the
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when it comes to using data, everyone is different. which is why xfinity mobile is a different kind of wireless network that lets you design your own data. choose unlimited, shared data, or mix lines of each and switch any line, anytime. giving you more choice and control compared to top wireless carriers. save up to $400 a year when you switch. plus, save even more with $150 off galaxy a70. click, call or visit a store today. or here on a wifi hotspot. lte xfinity mobile has more coverage to keep you connected to what matters most. that's because it's the only wireless network that automatically connects you to millions of secure wifi hotspots and the best lte everywhere else.
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save up to $400 a year when you switch. plus, save even more with $100 off galaxy a50. click, call or visit a store today. shery: welcome to bloomberg markets: asia. i'm shery ahn. our top stories, the death toll from the coronavirus reaches 130 two, with almost 6000 infected. governments are advising against travel to china. ♪ boris johnson allows huawei some access to britain's 5g. other allies say no. ♪ republican leader mitch mcconnell is said to have admitted he doesn't have enough votes to block impeachment witnesses. ♪
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