♪ >> the. we are counting down to asia's major market open. shery: we do have breaking news. the house has given bipartisan support to boost the relief checks to americans to $2000 from $6,000. this means this will also have

to go to the senate and we would have that relief direct payment to covid going from $600 $2000. this was really up in the air. we finally have the votes in for the house. we had seen some hesitancy from some republican measures but it seems the house has given its bipartisan support to boost those relief checks to $2000. that vote on the house floor happening right now. the house has given support to bolster the relief package and stimulus payment from $600 to $2000 as was requested by president trump. that was a last-minute request when he called those $600 is ridiculously low despite the fact that treasury secretary mnuchin was involved in negotiations. he signed the huge but called for this direct to be bolstered.

we have the house voting there and giving it bipartisan support. let's bring in our government congressional reporter emily wilkins for the latest. the question is what happens in the senate. just a few minutes ago, we heard from senator marco rubio that he would in fact vote for direct payments. emily: what happens in the senate is the question we are all trying to answer. we had seen marco rubio come out in favor of fixing the amount of the stimulus checks to $2000. we heard lindsey graham say he would also support it a number of supporters. the question is, what will actually be put on the floor for a vote. trump said in a statement that the senate had agreed to begin the process of voting on $2000 checks, but made it sound like

this could be part of a larger package that democrats may not support. ofl: do i detect a whiff political expediency here? inse and senate republicans a position if they vote this down ahead of the georgia senate race. emily: the georgia senate race has played a big part in getting this bill's past. trump wanted to show that he was willing to help out the american people in this difficult time. it was a motivation for getting the original agreement done and perhaps for trump going to the next level and asking for $2000. it will be interesting to see what happens, those republicans running in georgia, senator david perdue and kelly loeffler, they are fiscal conservatives like a number of members from their country.

.hey will have to decide shery: we have seen the calculations from the american enterprise institute that this will cost the federal government $482 billion by boosting those direct payments. thehe same time, we do have defense spending bill vetoed by president trump. what is happening there? emily: the defense spending bill passes usually every year without too much issue in a bipartisan fashion. trump vetoed that bill. right now, it is going back to the house. the house and senate do have the votes to override trump's veto. it would be the first time they override the veto from president

trump. it remains to be seen exactly how it will turn out but there is a sense among lawmakers that this is hypercritical must-pass legislation. i don't think either party wants to be responsible for not funding the bill -- not passing the bill to fund u.s. troops. paul: assuming this does pass, when would americans get their $2000 checks? emily: they are already working on getting the $600 checks out to americans. we are hearing it could be this week or next week as well. if that is the case and the $2000 checks pass and they need now theck, but right treasury is well underway in processing those $600 checks which work given the approval on sunday night when trump formally assigned to the stimulus

spending bill. paul: let's see how markets are reacting to this news. trading just began in the past five minutes in australia. we are seeing some positive sentiment. higher by about half of 1%. futures did indicate an uptick anyway. nikkei futures looking kind of flat. not a great deal of change. market reaction to this news appears to be somewhat muted at the moment. terminal subscribers can read more about the stimulus bill. you can get a round up of the stories you need to know to get your day going. it is also available on mobile. you can customize your settings so that you are only getting news from industries and assets that you care about. let's get over to karina mitchell. latest beige book survey of the chinese economy shows a less robust economy with

unemployment claims. every sector and region has now contracted year on year in what has been a difficult year. services and manufacturing posted double-digit gains over the third quarter but consumer demand remains fragile. we will be speaking to the ceo of beige book in the next hour. ties between australia and china look set to slide further with wheat the latest commodity to come under pressure. aijing has imposed curbs on string of goods from wine and partly to seafood. is, it seems that wheat being dragged in with china buying just 880 tons last month. pro-democracy hong kong activists opened and -- in shenzhen.

10 of the 12 without a verdict in a case that has drawn international criticism. the group ranges in age from 16-33 and includes 11 men and one women. one of them is a portuguese national. global news 24 hours a day on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in over 120 countries. i'm karina mitchell. this is bloomberg. shery: still ahead, the market perspective on the latest u.s. relief news. we hear from global investors see igo david ivan. this is bloomberg. ♪

shery: we take you to the house of representatives and the u.s. congress. they have just voted for bipartisan support to boost fromf checks to $2000

$600. besides adding just $1400 to the payment, this also expanded the eligibility of household members, allowing adult dependents to receive the payments as well. let's get more on the relief debate and what it may mean for markets in the u.s.. from tampa,oins us florida. we are seeing muted movement when it comes to the futures market. has all the good news already been priced in? david: a lot of great news has been priced into the markets. that is for sure. it is a bifurcated market. the very popular stocks, more than all of the good news is priced in, in our opinion. yet there have been so many stocks left out. shery: what are the parts of the market that have been left out that you think has more room to rally, especially in a time when

it is on the back of good vaccine and stimulus news. are ending the great franchises. very expensive and less you are willing to go into less popular. for example, good companies like television, electricity companies, transportation companies are very expensive and a lot of the developed world. a song inng for places like brazil, russia, korea. the second category is, as they ofnt more and more money out thin air, things that are scarce, things that are tangible , whether it is the copper people need to put into electric vehicles, uranium or hydroelectric power it will take to power those electric cars. we find a lot of commodities in

tangible assets to be very expensive right now. off of very depressed lows. if you are looking to get involved in this commodities boom, how best do you play that? like to look at commodities and say, we know they are going to be volatile. but what is that equilibrium price where people will bring on new supplies as fast as the existing supply is depleted? that leads to certain areas such as uranium. the price is more like 30 a pound now. the price needs to go up two or three times to keep up with current demand. gas here in the states, the price once again is towards dollar-$14 kind

of historical range. that is very interesting to us. for fivebeen running years but it is in many ways lower than it was back in 2011. gold speaking a form of money that has not been printed for the last dozen years. that also would take a big increase to keep demand met, we believe. paul: let's talk a little more about that. gold has really struggled to break above that level. what is your outlook for the gold price. and some of those stocks. if gold is avid: commodity, which many people believe, we think the price needs to go up at least a few hundred more. if gold is money, which has been for many thousands of years, we point out that the money supply

was, when i came into the business, pat $400 per ounce of gold. over those 40 years, the supply of gold has not gone up. the supply of money has gone up to many thousands of dollars per ounce. the interesting thing to us is likeheld by good companies new crest in australia and a lot of others, that is very cheap. those stocks, many are lower than they were a few years ago. so we run scenarios and we say, what if gold goes down a couple hundred dollars. if gold goes to that 2000 we talked about, we see tremendous upside. gold becomesof monetized, much higher as we have seen recently, the upside is tremendous. of not the protection

much downside along with free optionality, that gold is underpriced and that there may be more money burning on the way. might perhaps helping need the weak dollar. the dollar has slumped below the five-year average. how does this help with emerging markets and what are your top? thed: lots of dollars make dollar dropped. who point out that people have printed a lot of yen, you one, euros, and others. the dollar has been dropping against other currencies. more importantly, all those .urrencies drop with theall dropping

embrace of qe infinity across the globe, we think that will continue. point, the dollar has gone up against emerging-market currencies for a dozen years. it is starting to fade. there are a lot of reasons to think that should continue to fade. whether or not that happens, we find it interesting that a large, dominant phone company in china will sell at a huge discount to, say, verizon here in the states, and some of the largest electricity producers, whether that is hydroelectric in , trade atin russia tremendous discounts to what utilities trade for in europe or the state. notelieve that, whether or their currencies drop or not, these stocks are undervalued, 's,ling at single-digit pe

4%, 5%, 6%. if the u.s. dollar continues to fall against those currencies, that is all the better. thanks so much for joining us today. europe races to ramp-up vaccine production as spain becomes the latest country to pass 50,000 deaths. this is bloomberg. ♪

coronavirus hospitalizations in the u.s. alsohit new highs as cases surgeon in the u.k. spain has become the fourth european country to record more than 50,000 coronavirus deaths. michelle cortez has the latest.

with some european countries pushing local vaccine production, there is some concern here that the eu is playing catch-up. >> the eu did approve the vaccine a little bit behind the u.s. and the u.k.. so, they are starting a little bit later than other countries. even in the region. but, you have to remember that all of these vaccines, a lot of the countries did preorder them so they had some capacity and some stockpile ready to get their initiatives underway. what is happening now is the countries are thinking a little bit more longer-term. we are seeing this in germany, france, spain. countries want to make sure they are getting some production happening locally, especially with these mrna vaccines that are delicate of a difficult to make, and have to be transported at very cold temperatures.

if you can reduce that transportation time and help facilitate the supply chain, you can get the production down more quickly and get your people protected more quickly. that is what people are really focused on at this point. shery: travel restrictions, with indonesia the latest. how much will this help? we know it is impossible to actually stop the virus from traveling across different regions, especially when you are talking about areas that are not , for example, an island. canou are an island, you maybe shut everything off, but in general when you are talking about having these kind of restrictions, unless you can cut everything off, you will not be able to stop it. we saw this happening early in the outbreak when people tried to stop the virus coming in from wuhan and it just took a

different path. there is not really a way to know exactly where it is. not everyone is testing to the same level. we just don't know if they just found it first or if that is where it originated. it is likely we will see this variant spread. not only that, we will probably see other variants as well. the good news is that at this point, it looks like the vaccine will work against it. does not appear to be making more severe or deadly cases, it will just be more transmissible. theanswer is, keep up social distancing, keep up wear your mask. the: and keeping up immunizations as well critical for this. startingaying it is the final stage study in the u.s. and mexico. when could we expect to see some

results from that? >> the vaccine trials have the benefit of this surging outbreak. not enough people are able to get access to the vaccine that they want. the novavax trial will be giving two people the active vaccine versus one person who gets the placebo. hopefully people will sign up for it because really we will need more than 1, 2, more than three or four vaccines to immunize the entire world. having different approaches is going to be really important. the novavax vaccine does not have to be cap and very cool temperatures. it might be beneficial for other countries. hopefully we will be getting these trials quickly, just like we saw with the first round of vaccines. we are thinking we could start seeing results in the spring.

forget, our interactive tv function, where you can watch us live and catch up on past interviews and dive into any of the securities or bloomberg functions we talk about. also, become part of the conversation by sending us instant messages during the show. this is for bloomberg subscribers only. here is a quick check of the latest headlines. the chair of goldman sachs asset management unit is leaving the 1.8 trillion dollars division after nearly two decades. sheila patel is one of the bank's most senior female executives. ceo david solomon told staff that she will step down and become an advisory director in the new year. most and 13 --he the most in 13 months. 100 dayk fell below

moving averages as revenue from small and medium enterprises declined. daily and monthly active users also fell. a slowdown in new show releases. afterschool tutor to raise through a private placement, of which nearly two thirds will be in portable. says the rest of the investment will be in newly issued class a common shares. the search for a new chief executive of the hong kong exchanges has yet to identify a short list. he announced he would quit more than a year before his contract was sent to end.

freewheelingi's style often put him at odds with members of the board. don't miss our exclusive interview. he opens up about the reforms that helped transform the city entity top fundraising venue and hints at what he will do as he prepares to step down after more than a decade of the hong kong exchange. paul: let's get a quick check of currencies. we have got a modest increase in the bloomberg dollar spots index. the dollar pretty steady against the yen. someussie putting on modest gains as well. it did put on its first decline in nearly eight weeks. the kiwi dollar, little change. $.71 against the greenback.

next, we will assess the outlook for chinese tech as investors fear beijing's crackdown will extend beyond alibaba. this is bloomberg. ♪ rg. ♪

invasion's -- beijing's crackdown on alibaba has cast a shadow on china's biggest tech companies. three companies have lost in hong kong in the trading sessions since regulators have announced investigation into monopolistic practices at alibaba. our executive editor is following this story for us. the concern is right now that this will be a broader effort cracking down on these tech giants. what are the best and worst case scenarios here?

regulators are tightened, that they work out with what changes they need to make. the nightmare scenario is one where regulators come in and say you are a monopoly, you have to exit some of these businesses. then there is a restructuring and what comes out is something very different and much smaller. paul: what does this mean for investors? andt time to wait this out see what happens? john: there is a lot of uncertainty. a lot of the antimonopoly rules as they apply to the internet have yet to be finally concerned -- finally confirmed. i think right now investors are worried that what started will spread. i think you are seeing that reaction in the stock markets right now.

stock beloweing the the analyst target prices. where do we go from here given that these are national champions, and at a time when we have these trade tensions and geopolitical tech rivalry with the u.s.? ipo wasght before the shelved at the 11th hour, this came after this big communist when 200 of the most senior people in the party got together and laid out the plants for the next five years and also into 2035. a big emphasis was on innovation. think regulators are making now is, we are going to be scrutinizing businesses and taking out monopolies because that is what is good for

innovation. paul: let's get a check of the first word headlines. the house of representatives has thed to boast -- to boost checks for households to the $2000 level. cleared 275-134, and that reaches the two thirds majority needed to pass. most democrats back to the move but republicans generally don't. shows china is far from its first year commitment for the phase one u.s. trade deal. in the first 11 months of 2020, beijing had bought less than half of the annual target. uncertaink is president trump insists the deal helped rebalance trade although data shows that the u.s. deficit has widened.

eu governments are signaling their backing for a long-term investment deal. sources say they are calling on the european commission to complete talks within days. brussels,ns between and an agreement is seen as a blow for the america first campaign promoted by president trump. sterling snapped a three day winning streak as investors began to question the deal. approved,unanimously britain and the eu can begin you to trade goods. the deal now needs approval from the european parliament with a you lawmakers also voted on wednesday. those were your first word headlines. bloomberg spoke exclusively to former italian eu affairs minister about the next steps.

been discussed. it looks more likely that the parliament could ratify in the beginning, the first week, the first 10 days of february. . butknow, it is the market, it is a deal that concerns more trading goods and movement of people. financialhat the sectors are practically excluded from the deal. isry: as you mentioned, it hundreds of pages. have you been given the document? and what areas do you want to focus on? sandro: i have not started to look into it. i am a member of the internal market committee. we will look very carefully into everything that affects the good

functioning of the internal markets. control, and mutual given to european and british firms have a will be a major issue for us. onertain convergence environmental and social scandals, which is a condition for us to keep our market open. i would look very carefully into the final vote of the european parliament i believe in february. shery: it is clear that it is no quotas, no tariffs, but the eu says there is a right to arbitration and tariffs in the future. how solid is this relationship down the line? sandro: the relation is solid. brexit intod

fact that wee, the have a deal, a positive basis where we can build up a new partnership between the eu and the u.k. was the former italian affairs minister and current european mep, sandro gozi. coming up, 2020 has been a year for ipo's, especially in japan. this is bloomberg. ♪ g. ♪

shery: we are counting down to asia's first major market opens this morning. we see a little bit of strength on the japanese yen. at remember, that yen fell to near one year low against the u.s. dollar given the risk on sentiment in the u.s. let's turn to the broader markets in japan. a great year for ipo's. this year has seen their best opening share performance since the dot-com bubble era. for more, we have our asian equities editor in tokyo. tell us a little bit about how much of a pop we saw in these

european debuts, and what are the biggest winners? >> it has been a great year. we thought it was going to be a bit disappointing after toshiba pulled the listing of its chip unit back in the fall. we wound up with a total of 94, which is for more than last year. about $3 value is only billion, a bit more than that. they outperformed really well. the average opening price was 130% above the ipo price, the biggest gain since 1999. kind of interesting, the biggest ipo this year was a mushroom cultivator, not what you would normally associate with a superstar ipo.

why did they do so well this year and what was driving the performance? >> the largest one we had was the mushroom cultivator. big well ofen this retail investing this year kind of helped by two factors, this liquidity, this stimulus money, easy money policies and the central banks. we have the pandemic creating all this free time. s arehese retail trader drawn to these tech ipo's. japan had a number of these small-cap tech ones. intelligence,l

headwaters commanded up opening up of the ipo price. shery: given that the economic relativelyms to stay same, does that mean we will have a good year for these listings in 2021? that is what we are expecting so far. i think at least for this year, we are expecting kind of more of the same. listing could happen this year. if tensions between the u.s. and china start approving. these individual investors, if they will maintain their presence or continue to grow. tokyoading value on the

stock exchange. we will look to see if that keeps going up or not. to anotherng , the companyany which helps small retailers with online stores have seen shares surge dramatically. the founder and ceo is a 30-year-old who develop software for creating internet shops to help his mother. he told bloomberg about his vision for global expansion. people signce helps up online stores. i started the service back in 2012 when my mother asked for help. there are many people out there similar to my mom who want to start their business online but don't know how. i was an engineer then, so i

someone set to help up an online business easily. the most significant differences that we focus on what we call long-term customers, so individuals who wish to start their business online can do so without taking much risk. all they need is a smartphone. for your service has surged. >> demand for our service started to grow significantly from late march this year, after announcement of emergency virus measures in may. the growth is mainly due to the current circumstances which have led people to do growth. we are still seeing high demand compared to last year and it will likely continue the short term. headwinds going

forward? focus is the healthy individuals setting up online shops, and that won't change. we believe in a future when individuals and small groups of committed to providing long-term services. our challenges committing to keep the focus on small retail owners. we are currently very well received in the domestic market but it will be important to maintain that percent -- that position and pursue growth against competition. >> how big do you want your company to be and the long term? >> i believe there will be more online shops run by individuals. the number of shops and merchandise volume, looking 10-20 years ahead. i think we are entering a new e-commerce age where individuals will run their own shops and

rely less on large internet sites. indo you have any companies mind when it comes to size? >> it is hard to say. i am to -- i am for a gross merchandise volume of close to a trillion yen in the long-term and even more once we hit overseas market. >> do you have any plans to expand your business overseas? whereare in a world providing services globally as possible. in that sense, it is important for internet-based firms to provide global services. thent to keep focusing on domestic market. we would like to continue providing our services overseas. when do you plan on

going overseas? focused onwill be the domestic market for the next year or two. the next 5-10 years, there is a high possibility we will see some kind of presence in overseas markets. >> do you have any markets in mind you would want to target first? asia asuld likely be in the purchasing patterns and habits are similar to how they are in japan. i would like to keep of monetizing the business style for future reference. >> are there any entrepreneurs you look up to? president is one of the entrepreneurs i look up to. we started businesses around the same time and how they are expanding is something i am watching closely. i have a lot of respect for jack dorsey of twitter.

companies like twitter also believe in providing services to individuals and small groups. shery: we have an alert on the bloomberg. the house of representatives and the u.s. congress has the votes to override president trump's veto of the defense policy bill. ndaa is ahe $740 billion relief package. if the senate overrides the veto but this will be the first time they have overridden a veto. coming up next, why u.s. sanctions on north korea may have made kim jong-un more dangerous than ever. be sure to tune in to bloomberg radio to hear more from the newsmakers and get in depth analysis from the daybreak team. listen via the app over

bloomberg radio.com. this is bloomberg. ♪

check of thes a latest headlines. a top chinese lithium minor has won a reprieve. they said they were planning to sell a stake in the world's biggest lithium mine. it has now signed a deal to

defer a 1.9 billion dollar payment to january 8 with a further extension to next november. they won a one-month delay and has missed some payments. planning to launch in india next year before manufacturing and assembly operation. the road transport minister. in october, elon musk was asked if he had any updates. he tweeted, "next year for sure. the economic times has said that tesla is holding exploratory talks over a center in india. the best listing of the year may have asked -- have extended volatility. the stock is still more than 350% above its july ipo price.

above $300 million. about 44 million insider shares will be eligible for sales on tuesday. campaignsident trump's to cut north korea off from the world may have had some success but it also seems to have accelerated efforts. bring john from tokyo. how have international sanctions against north korea impacted its nuclear program if et al.? >> the sanctions have hurt the economy. kim jong-un has been busy doing everything at home but he has the ability, from mining uranium , chemical processing, to enriching uranium to make bombs. under his father, kim jong-il,

north korea was able to produce about enough material for one nuclear bomb per year. under kim jong-un, it is about six. the sanctions are hurting the economy. north korea can do the weapon production at home but they are doing it at a much faster rate now than they were under kim jong-un's father. what have been some of the biggest changes there? the production at home is not just been with the nuclear program. you are seeing it in various aspects from rivalry to antiaircraft systems. the world has seen it quite a bit when it comes to ballistic missiles. one of the advances that kim jong-un has shown is this program with solid fuel listed missiles. north korea's program was mostly built on liquid fuel.

solid fuels are easier to hide. they can be put out much more quickly. and they are much more difficult to get a feel for when they are going off. north korea has developed a short range ballistic missile that can deliver a nuclear weapon to all of south korea and all of the troops that are there. they have displayed efficiency with the multistage ballistic missile which is capable of hitting all of japan. ais missile is designed to be submarine launched ballistic missile but there is also a land version. north korea put these on display in an october military parade and they are showing real advancements. guidance systems and they are just getting more proficient at getting missiles together that can be fired off much more clean

than was the case just 10 years ago. paul: so is it reasonable to expect that kim can keep this going even if he continues to face sanctions? >> yes. domestic production keeps running under kim jong-un. he is trying to nurture future nuclear scientists to keep this march going. there are perks if you are a scientist and north korea. he has expanded the education system and sciences since taking power. he has put a lot of emphasis on internet and packing. there is a un security council of experts in north korea that said north korea has developed a very proficient army of hackers that can the country several billion dollars. this is help take the bite out of some of the sanctions.

shery: east asia government editor with the latest. here is what the markets are looking like at the moment. we are seeing every sector and the green right now, being led higher by energy. we are talking about the highest level in over a week. 0.9%.tocks also gaining commodities weakening among counterparts. futures higher at the moment. nikkei futures higher. the japanese yen getting a little bit of ground against the u.s. dollar at the moment. sessionsher after two of gains. coming up, we will be speaking to the ceo of china beige book leland miller. the market opens in tokyo is next. this is bloomberg. ♪

shery: from bloomberg world headquarters in new york, i am shery ahn. our top stories this hour, asian markets set for gains. the s&p, the dow, and the nasdaq sought new highs -- saw new highs.

the bill goes to the senate. survey sayshina that the mainland may not be as robust as official data claimed. shery: sneaking up .4%, being led by utilities. the nikkei is already at a high. japanese yen is under a little bit of upwards pressure. this coming after a low against the u.s. dollar. holding steady at the moment. take a look at the market. korean stocks were already at a record high and have already seen three sessions of consecutive games. we are seeing the korean won holding steady after leading the gains yesterday as risk sentiment improved.

we are watching for what happens . paul: we have been trading for in our in australia. had two thirds of a percent higher on the asx. energy is leading the way. some of the best performing stocks performing well. some of those beaten up travel stocks performing. putting on some gains against the u.s. dollar as well. it did suffer its first weekly decline last week. strong commodity prices underpinning the long-term story. 100 basis points. we are seeing some gains in new zealand as well. let's get more on the markets right now.

today, giving bipartisan support for higher stimulus checks. ,> i think it is a positive only if they can agree. giving $2000 checks to americans another done deal. bill willon stimulus be good to the market. data -- because of a resurgence in the virus. [indiscernible] good.imulus bill will be

shery: given the optimism of the stimulus package, we have seed value. thing going the big into 2021? are two thingse that will dominate next year. , the reason is that the real interest rates negative. they remain worried about inflation. a better growth forecast. stimulus and of the risk of returning inflation. it will remain negative into next year. see isond thing that i

the key to recovery is the upturn in the cycle. all of this in a pandemic year. they will have to ramp up investment. this is in the wake of a financial crisis. there was a huge increase in utilization. i think i am very positive about next year. and: let's turn to china crackdown on companies. what does that mean for the mainland stock market? >> that is right. i think the crackdown has raised the level.

index has seen a big decline. all of these internet companies suffer. this is an opportunity for market leaders to change. the market is ok. what it means is, the value sectors are rising. they are going into other value sectors. overall, they will bring a balance to growth. alibaba and other internet companies, they are bringing in some competition to the industry. protect the retail

industry. important area for the government. positive and the balance of growth in the chinese market. uncertainty the mentioned, we are seeing the i.t. and hold steady, but this is coming at a time when the japanese nikkei is rising for the first time since april of 1991. if you want to follow more on is -- you canat get a rundown quickly. you can find out what is investing investments right now. let's get to karina mitchell. >> governments are signaling their backing for a long sought deal with china to open markets

on both sides. they are calling on the european commission to complete talks within days. in 2013 and began an agreement is seen as a blow for the america first campaign promoted by president trump. new data shows china is far from its commitment in the trade deal. they brought just half of the target. the deal was signed january 15 and the outlook is uncertain ahead of the joe biden administration. data shows that the u.s. deficit has widened. and chinaen australia are sent to slide further. --jing has imposed curves curbs.

calling for an investigation into covid-19. the lowest since 2011. the latest facebook survey shows a less robust recovery than data claimed. and uptick through the first quarter, but every key performance sector has contracted year on year and what has been a difficult 2020. posting double-digit gains over the third quarter but consumer demand remains fragile. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i am karina mitchell. this is bloomberg. from some breaking news the house of representatives. thehouse voting to override veto of the defense of policy bill. a historic override from congress.

we will have more details as we get done. also ahead, speaking to the ceo. latest reports on the chinese economy. will get the latest on the $2000 at, next. --

president trump has been pushing to increase the checks. more on the house decision. what are we expecting on that front? there is so much going on in congress. vetooke the news about the that has been approved by the

house to override donald trump's override of the defense bill. this is important bill. it is expected to pass the override of donald trump's veto in the senate. you have to fund the military. we put that to one side and look at this bill about your tax yesterday donald trump pushed hard to get this. it is one of the reasons why you have the bipartisan vote in the house of representatives, which allows them to get this expedited with the two thirds majority that they needed to get. donald trump encouraged democrats about marco rubio, a republican on board with the $2000 virus relief checks.

lindsey graham is a big supporter, getting on board a couple days ago. you can see some support building. you remember the white house statement when president trump signed a release bill that he had been putting off. he wanted to thousand dollar checks but he said the senate would be putting in process a bill for the $2000 check and liability protections in social media, and an investigation into fraud. we do know that the democratic majority leader in the senate has already said that he wants to send a clean bill through the senate to get the relief checks ok'd. the gop, the republicans have pushed so hard for the conservative side.

they are in a tough spot. checksns will be getting now. if the bill passes the senate, it is not a done deal. they will get the next checks bigger to make up the difference between $600 and $2000. paul: we are getting more information on the veto. a huge margin there. president must end his campaign of chaos. returning to the story of stimulus checks, there is an important runoff coming up in georgia. play?g a part does that if you are a republican, you do not want to be seen standing in the way of that. someeen: nancy cook did

reporting and found out one of called senators actually donald trump on christmas day to push for him to sign the virus relief bill. in this call, he said, you have to sign this bill. that is how we get the unemployment checks to workers, taxi distribution and the moratorium on evictions. his opponent was trying to blame republicans for the fact that donald trump was not signing the bill. david purdue also reached out to an ally in the white house, larry kudlow. even the president's daughter. it had an impact. does it make an entryway for other republicans who might be on the fence to get on board

with $2000? we also have a promenade democrat saying they are not a good idea. it is a fascinating story and i think you have to see that even as he leaves the white house, he is having an influence. come, hong kong struggling in its search for new leaders. executive charles lee is stepping down in a few days. ♪ when you switch to xfinity mobile, you're choosing to get connected to the most reliable network nationwide, now with 5g included. discover how to save up to $400 a year with shared data starting at $15 a month, or get the lowest price

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shery: abruptly halted in november.

then regulators scrutiny on the business. a bigill continue to play role. spoke exclusively with bloomberg on the sidelines. if you look at this kind of thing, and been here for quite a while. they have obtained their license. a will also be granted license at the virtual bank. i think they will continue to play an important role. there were no red flags that were glaring. >> so far, we do not see any. >> are there any potential black swans that could pop up?

because i do not see that happening. player,e, this is one but you see many players come in time. other heavyweight hopefuls -- what can we learn, given that there could be more scrutiny with their operation? >> if you look at the past four years, some of them are working very well. that is important, to have a clear and easy to understand framework. be idea devon appetite in hong kong? quest look at some of the speakers the past few days. , the techestor players or even the incumbent

institutions. investors seee asia and hong kong as one of the major ways. >> reining in risk, that is part .f the reason that was provided how do you strike a balance while monitoring how they play. innovation, it is always more mass and science. the past four years, we have systemabout the payment and launching. number thatera, a we have launched in the past

couple of days, for example you just mentioned the cross-border treatment. the developments and possibly other jurisdictions. >> they will eventually be part of these linkages. thehey still need to settle trade. that is why we have this cross-border. >> the pboc is potentially one weeker signaling that this . what steps are being taken to further that goal? because it is being tested in multiple cities in china. to roll it out cross-border or outside of china. this position.me we stand ready to cooperate with

the pboc. >> part of that, is a legal framework put together? usage, welook at the have been using it for years. monetary authority chief .peaking exclusively there hong kong stock exchange is finding the search for a new leader difficult. strange relations. and daysths later before he formally steps down, yet he has not settled on a successor. what is the latest? intention --ed his intentions more than a year

before his contract ended. days before she is stepping down and the committee has yet to settle on a replacement. part of the struggle is between prioritizing a candidate, but also one with a strong background. the head of the stock exchange is well-connected in china and close to hong kong leadership, but she sees their role as serving beijing's interest. that is one of the struggles when it comes to finding the perfect candidate. let's talk about the perfect candidate. the ideas who they are? ofthere is a range candidates being considered. the cohead of the asia-pacific

banking and also the hong kong stock exchange interim ceo and chief operating officer. other candidates include the ceo of the canada pension plan investment board. former jp morgan banker and former one has been a goldman sachs banker. it seems like they are still deliberating. shery: we will be watching the story closely. do not miss our exclusive charles lee.h transforming the city and to the top venue. what he will do next as he prepares to step down after more than a decade. get more on bloomberg television. the most in 13 months.

fears that china's increasing scrutiny will spread beyond alibaba. revenue from small and medium-sized enterprises declined 15%. chinese afterschool tutoring services provider has raised more than $3 billion of which more than two thirds will be convertible. leading that portion of the deal with a closing expected in the near future. nonbinding ina indonesia. the memorandum will be until the end of april. up next, the latest facebook survey shows a les moonves covering beneficial data claims.

next to discuss the findings. this is bloomberg. ♪

>> this is daybreak asia. sterling strapped a winning streak as there are questions about the brexit deal. eu envoys approved last minute accord, which ensures that can continue to trade goods. it needs approval from the european parliament. on. voters are voting wednesday. a researching covid-19 lead to tighter curbs.

the index fell to 89.8. the biggest declines came in some indexes during the outlook for spending and the assessment .f the korean economy approving a record budget for 20 -- budget. the package is worth more than $93 billion but the government expecting the economy to grow 7.5% after plunging into recession. the trial of a group of pro-democracy activists opened and adjourned after they were detained in china. a district included court without a verdict in a case that has drawn international criticism. the group includes 11 men and

one woman. one of them is a portuguese national. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i am karina mitchell. this is bloomberg. across asia.ure we are seeing the nikkei rising right now. 27,000he passing that level. this after falling to a one-week low. take a look at the kospi. it is again at a record high. this is despite the fact that we have those infections arriving -- rising in south korea. we have seen the aussie dollar holding steady after dropping the first eight weeks. market also on a

record high. paul: thank you. much of the world scrambling to curb new leaves of the coronavirus. the recovery is continuing. -- latest survey indicate let's discuss that with leland miller. you just had here fourth quarter report published. and thees your research official numbers part ways? >> it is interesting. they actually look very similar, but where we break from official data is the efficiency of the recovering data. standpoint,on year we are still seeing, not up to 20 level.

the economy has gotten better month over month and quarter over quarter, but we are not seeing sky high levels that beijing is preparing to announce. good recovery, but let's not get ahead of ourselves. the export numbers for china has been very impressive. what does that tell you? strongest the world's major recovery. that has been the real question. china has had an export led economy. at where the demand is right now, we are actually seeing very modest demand domestically. more,re exporting much

and that is where they are getting their recovery from. if you see this as a true be seeing au would more robust consumption culture. theare not seeing that orders data or demand data. shery: it is about a narrative that has led to commodity prices rising. china book and sue all of these commodities. what is a downside of that? >> they are fascinating. , we saw theor so commodities rally take off before it was in the key pricing data. in terms oflot building and commodities production. right now, young are getting into a situation that looks a lot like 2016,

where they diverge. copper firms and steel firms are doing worse than the third quarter. falling sales, the margins are collapsing, much worse performance because there are key input more expensive. you are seeing a situation where speculators are driving up the prices of these commodities. earlyt a situation like 2016 where people think that underlying stimulus is stronger and growth and stronger. that thesenderstand are not fundamentals driving the commodity prices at the moment. we focused a lot on stimulus measures, but they are trying to rein in financial risk.

>> we are seeing tightening conditions and it is jumping out of the data. if you look at what is happening to retail firms right now, retail did not have a good quarter. what is very interesting is when you look at retail credit data, the loan rejections were the highest that we have seen. it was difficult to get credit this quarter. you are seeing retailers having real problems. they are not being favored by bankers right now. important they are across the economy. you are applying more and getting rejected nice, you are -- you are seeing tightening conditions, but they are hammering firms that are really needed to be part of the consumption recovery. a more sustainable recovery.

you have to get them some capital. paul: domestic consumption intended to be a plank of the economy going forward. >> this has been an overblown story, basically for years. even when you talk about the current recovery, there has been talk about how the consumer is back. our services data was great this quarter. improvement, but if you break open the services, you are looking at the business side driving that growth. telecom, i.t. and financial services. look at the consumer side of this. those subsectors are doing much weaker. look at pmiake to data and see a high number and

equate that to the return of the chinese consumer. we are certainly not seeing that when we break it down into components. shery: what about inflation? >> we have a better story to tell. they are claiming this booming recovery, yet you have all this talk about the possibility of deflation risk. we are seeing a much healthier atmosphere. prices,seen rising rising input prices and rising wages. the fourth quarter moderated a bit. healthyrelatively dynamic. we are not worried about deflation risk. what we are seeing is much healthier than what is being broadcast official data. bond defaults

hitting 19 billion offshore. thursday -- we talk about this a lot. >> i am concerned in terms of the fact that you have a lot of dislocations happening. some problemshave across the corporate landscape, but what people have to keep in mind is this is a political problem. china needs to suck and more capital from abroad. to make the domestic landscape attractive, and will not allow these things to get out of control. they will talk about better debt management. you start seeing a lot of faults and investors get scared. you will see continued tightening. it is not deleveraging, but you will see conditions by they are

trying to get debt levels under control. want to affect investor appetite. so much for you joining us with the latest findings on the economy. convenient daily virus death toll has hit a record high of 40, this coming out of south korea confirming more coronavirus cases. holding off on increasing social restrictions. they are maintaining a social distancing level. are coming out and saying that the daily virus death toll has hit a record high of 40. we will be watching closely what happens. coming up next, countries across asia extending mobility curves

through the holidays amid the fight to contain the spread of the virus. this is bloomberg. ♪

shery: dive into the virus situation in southeast. extending covid restrictions. facing social mobility

restrictions. its bana also expanding on visitors. let's get more from our health care reporter. let's start with the philippines and their new budget. that theyest there is are approving the record budget for next year. it is done in part due to economic growth next year. they expect their economy to grow after plunging into recession after -- because of the pandemic. paul: we have been hearing from indonesia as well. how and -- how is it reacting? >> they are imposing tighter border restrictions.

bancountry is set to foreign visitors from january 1 to january 14th next year. shery: we do have stricter guidelines in india as well. >> yes. now, officials are extending by two-week measures to constrict movements in certain areas. the borders are also closed to foreign visitors. india's government is expressing a lot of caution over the covid spread. the indian government as we about that strict behavior to be promoted. coming up next, as thailand's economy is reeling

from the pandemic, gold sales are surging. it is making it tricky for the central bank. be sure to tune in to bloomberg radio to get in-depth analysis from the daybreak team, for cap -- broadcasting live. ahead.more statement thus. us ♪ . with

shery: rising to a record this money forey raised everyday expenses. making it tricky right -- main industry. it has been a good time to sell great forreally not monetary authorities and policymakers across taiwan. >> you are right. a longies have had relationship with gold. they will buy it as bars or medallions to collect. with many households in need of lifelines, they turned to gold. this could continue into 2021 as

the pandemic drags on. paul: how is this affecting appreciation in the economy? >> the result of this gold exploit companies gold shipments are essentially widening and driving gains. months fromt 10 january to october, they have jumped to the highest since at least 2010. in bangkok.there the stories that you need to get your day going. bloomberg subscribers go to dayb . it is also available on mobile. you can customize your settings

to only get news on industries that you care about. thousands of clients to a fast-growing rival. has increased its user base tag for this year. telling bloomberg how he plans to catch up and what scrutiny means for his platform. >> we spent a lot of time looking at that. regulated and we are completely separate entity from our parent company. they build technology and enhances the act -- app. data in thel their u.s. and have all registered people in the u.s. >> one of the things fueling your rise is the fact that we

had a huge downturn in stocks. legal the year higher than what we started, but young people at home jumping into the markets and trading at home. what happens if we get another correction or a bear market? it might stuff your growth in its tracks. >> i think if it comes to an end, we will see a whole generation of smarter traders who understand the financial market much better than the generations before them did. and low access barriers. there is more educational content for them to learn. they have the tools to navigate correctly. hopeople are saying if you to become a unicorn like some of

the big ipo's, you need money. >> and a0 commission world, especially here, it is all about expansion and scale. we have always planned to expand globally as far as we can. funding is a big part of what we do. b.want to expand our what is the geographic focus that you are holding up at the moment? plus we are in the u.s. and we are proud of where we have come the last two years. we are not going to stop there. we see canada, europe and south america as our target. shery: the ceo there. a quick check of the headlines. the chair of goldman sachs is

leaving the division after almost two decades. one of the most senior female executives has overseen about their highest file relationships. she told staff she will step down to become an advisory director in the coming year. the best-performing listing after lockup expires. the most since september 4. the worst move in the index. best of any debut. about 45 million insider health shares the eligible on tuesday. first with car sales before considering manufacturing and assembly operation.

in october, elon musk was asked if he had any updates for indiana. he tweeted next year for sure. tesla has held exploratory talks over a research center in southern indiana. reprieve. winning a a stakelanning to sell in the world's biggest lithium mine. a further extension to next november and awaiting shareholder approval. some missedt payments. before we had it over, let's take a quick look at where we stand. the nikkei is performing strongly. new zealand also continuing to move higher.

all sectors are high here. leading among the stocks here today. about 1/5 of 1%. take a look at futures trading as well. have it a little bit higher. china is looking flat right now. we will be keeping an ion the tech stocks. it suffered a little bit this week. we had taking a look ahead at the commodities space as we wait for the open of trading their. we have seen them retreating from that year high.

top exporter. we are watching corn futures as they extended their longest demand has been seen putting pressure on the inventory. not so much when it comes to imports. following the lowest since 2011. watch out for palm oil, which retreated from an eight year high. malaysia could dwindle next month. weaker demandsome on that front. prices. while the sparkle returned to diamonds in 2021? and we will have plenty more coming up in the next hour. private health and a judgment talking about the outlook for 2021.

onking about you scrutiny big tech. the china open is next. this is bloomberg. ♪

>> good morning. it's 9:00 a.m. in beijing, shanghai, and hong kong. i'll come to "bloomberg markets: the china open." our top stories, markets across the region on the up as investors release measures in washington. it has breached 27,000 for the very first time since 1991.