haidi: good morning i am haidi stroud-watts in sydney. we are counting down to asia's major market open. kathleen: i am kathleen hays. joe biden has asked congress for a new covid relief package worth almost $2 trillion, a test of his relations with a split senate. we hear from the president-elect live in the next hour. asian markets hope to make it

for daily gains in a row on joe biden proposed relief plan. the kospi is on a 10 week winning streak, its longest run since 2010. a chinese energy giant is being blacklisted by the u.s. for drilling in disputed waters in the south china sea. washington, d.c. says the company is a corporate bully. haidi: let's look at our asian markets, taking a big post -- poster amid the package proposal in the president's right. sophie: given the applications for growth risk on asian stocks, could rise for a third straight week as we assess biden's biden relief plan earnings picking up in asia. we are watching chip stocks on a 2000 $8 billion -- we are waiting on homelands data, aussie dollar slipping on overnight games as it led higher

against the greenback. sidney stocks gaining ground at the start of cash trade up .2 of 1%. bh beginning nearly 3% this morning and if you developments. bh be facing a court ruling over a compromise in july. let's which of the board and see what else is going on. nikkei futures in chicago, we are seeing slightly lower while the yen is holding below 104. spe eking out ir gains ahead of biden's spending plan. treasury futures little changed after bonds led by the long end of the curve what we sought -- and goldman seeing a greater fiscal stimulus impulse. that will boost u.s. it yields higher, seeing the 10 year rate ending 2021 ending 1.5%. kathleen: thank you so much.

president-elect joe biden as as congress for an immediate program worth nearly $2 trillion, atkins first legislative test in the face of a split senate and it is terry economy. let's get the details from our government congressional reporter emily wilkins. have you gotten any reaction from your sources. we knew it would be big but this is bigger than a lot of people were looking for. >> we have heard some phrases from democratic leaders in the house and senate could state this package they are very supportive of it. they will work to try to get it through. the question, will they have republican support? democrats can use a senate procedure just to pass this proposal with these slim majorities that they have, but biden trophic esteem as indicated he wants to make sure he is getting republicans on board. he talked so much during his campaign and in the run-up to his presidency about how he wants to be bipartisan.

haidi: obviously this is the first big test in terms of him being able to get bipartisan deals through. is there concern some parts of this proposal might be overreached even from within the moderates in his own party? >> let's start with that $1.9 trillion, there are republicans who have come out and had concerns about passing these giant stimulus bills. they are concerned about the debt and to the deficit and there is a chance not a lot of republicans will be for this, but there are also a number of republicans who see the benefit of having funding for state and local governments. the proposal we have seen is the range of $50 billion -- $350 billion for that. it also has vaccine distribution, getting schools open. there are a few republicans who did support direct payments to americans also included in the bill. haidi: our government

congressional reporter emily wilkins with the latest on that budget stimulus proposal. kathleen: market watchers are getting a double dose of stimulus, or talk about it. not just the government now but the federal reserve talking today and we have a professor of management and global economist at the mit's sloan school of management, former external manager of the bank of monetary policy. we are going to get to everything jay powell said but i would like to ask you about this $1.9 trillion package being proposed by joe biden on top of the $900 billion past just a couple of weeks ago, a lot of money. is it going where it should from what you see so far? >> there are arguments why there could be more stimulus needed. for example to provide more aid

to states and local governments to help with the vaccine rollout and make sure we get the vaccine out to as many people as we can as quickly and efficiently as weekend, but i am concerned about this discussion of the latest stimulus. anything near $2 trillion feels like a lot of money. markets have looked the other way as the u.s. issued a lot more debt. it was able to finance that, and we can hold more debt than in the past because interest rates are low but debt is not free. this is a lot of money on top of what was already an unsustainable path for our debt. this stimulus does not feel very well targeted. there are some parts of the stimulus that mike make sense that will make the economy recover faster, but some feels rushed out so quickly you have to wonder if it is being spent effectively. kathleen: what do you think it

will do for the economy, because that is what the fed is watching so closely. it is still seeing 2020 gets underway. you want to figure out what the fed is going to do? tell me what the virus is going to do and how will vaccines will stop it. >> parts of the stimulus targeted directly at getting the vaccine out, and helping the economy recover, that makes sense. parts of the stimulus are just putting more money in people's pockets. some of this money will be going to people who have already been paid at your savings is already high. it is not clear how that will help the economy recover more. there is an interesting example from the acadia japan where they provided a discount to get people to eat out more. they gave people in the u.k. 10 penn street up. they ate out more but then the virus spread more quickly. you can track outbreaks to

getting people out before it was time. that is something to be cautious of. we do not want people to go out and spend right now. we went to get the virus individual. haidi: what about the funding for the stimulus package? we heard from biden officials saying they will not be relying on offsets, just federal borrowing. is that the right model or should they be raising revenue? the justification is it means unprecedented times. it is not the time to worry about that widening budget deficit. >> there has been this interesting breakdown. there is a lot of economic research that shows historically when conscience -- countries have more debt when a crisis hits you could not issue a lot of debt. having a high debt was a constraint on how much debt you could issue. that seems to have broken down around the world during covid. the pandemic was seen as a let people issue more debt and they could find it easily and not

worry about it. that is not going to last. as we recover from the pandemic markets will start to pay attention to debt levels, deficit, and how that debt will be funded. it has been a question abreast of the side that does not mean it will be brush it aside forever. that is why i worry about talking about another stimulus that is so big. this is money that will have to be paid back at some point. haidi: the markets have been preoccupied with the idea of an earlier taper of buying from the fed and we heard from the fed chair overnight. this balance he was driving to strike. on the one hand he has said rates will not go up until we have inflation. he was pretty optimistic saying we are close to pre-covid levels of growth in the economy. >> this debate, this debate, dispersing of what every fed speaker is saying about when we

are going to taper i find somewhat amusing. it reminds me of groundhog's day , not the movie but the great american tradition in february. the current numbers out, sees his shadow. it reminds me of that in the sense that we are trying to make forecast with basically no information. there is no grand plan and officials do not know when they will begin tapering. they tried to lay out guideposts we will be watching, but even in normal times it is very hard to predict how the economy will evolve and this is not a normal time. it is harder to predict inflation and employment, altos will play out. fed officials do not know when they will begin tapering. everyone is trying to read far too much into every utterance of a fed official. they have laid out what they are watching. let's see how the economy recovers. kathleen: when you talk about

parsing, ben bernanke said at some point we will stop buying federal bonds and there was a 10 year bond yields. let's listen to what jay powell said today. >> now is not the time to be talking about exit. that is another lesson of the global financial crisis is be careful not to exit too early. we will let the world know. we will communicate very clearly to the public well in advance of active consideration of beginning a gradual taper of asset purchases. kathleen: i think what people are so focused on this is everyone is trying to get a sense of if the economy gets a lot stronger. we talked to the cleveland fed president. she is expecting a solid rebound in the second half because the vaccines will be distributed to most of the population. what if growth does it pick up and jump start growing again and you at this fiscal stimulus?

won't the fed even think about tapering? jay powell said when we do we will let you know. >> i think what powell is trying to say is just because the economy starts to recover we are not going to jump to remove stimulus right away or taper right away. just as a few people have started to talk about it you have seen the yield curve go up and if the long end of the yield curve continues to go up financial conditions will already start tightening without the fed even doing anything, and he does not want to lose control of that. he does not want to see things tightening prematurely. i do not think it is such a bad thing that people are talking about this. you will not have been deprived of the market setback we saw before. some of this debate is healthy but it also makes sense for powell to manage expectations. it will not happen soon.

haidi: in terms of the broader economic outlook for the u.s. how much of political events of the last week been playing on your mind? does it impact obviously the orderly function of government but also are you optimistic that under a biden-harris administration there will be more ordered generally talking about relationship with the major trading partners or within the domestic governance of the country itself? >> there will be a shift in government, a shift in policy. it is early to see how some of that will play out. some of the policies that have been enacted in past have enabled a shift to anti-china sentiment, and titrate sentiment came from the trump administration but it went deeper than that. we may not have a big shift away from that some people are expecting.

as i get to your earlier question, there was some optimism. jay powell was optimistic. far more important than any specific policy is going to be on the virus develops, and there are a lot of positive developments. there is a vaccine coming up. there is a good chance we will have a very strong recovery. kathleen: a comment from you because you are known for your work on watching currencies. weaker dollar, strong dollar, and how is the fed going to deal with it? >> short-term if there is a large stimulus, that traditionally means a weaker currency because that does raise concerns about prices picking up , but then if we have a strong recovery that will make the u.s. an attractive place to invest also. there are a lot of forces at play in the dollar is the global reserve currency. although there are risks,

concerns in the u.s. it is not clear there is another currency that is more stable and more promising right now. haidi: christian forbes -- kristin forbes, such a pleasure of having you want today. we get much more reaction from the president elect a biden plan. president trump laying out the details of his proposal. we will be bringing that to your life on bloomberg television at those times you can see on your screen. we discuss the implications of u.s. economic policy on the markets in asia. ems are mislaid and misunderstood. this is bloomberg. ♪

karina: you are watching "daybreak: asia." i am karina mitchell. the world health organization's mission to trace the origins of

the coronavirus pandemic has been a rocky start with two members of its team denied entry to wuhan. the dow jones as were prevented from boarding a flight after testing positive for covid 19 antibodies during transit and singapore. the 13 scientists will spend two weeks in quarantine. more than half of japan is now under a vibrant state of emergency with infection spreading across the country. measures include telling parts at restaurants to close at 8:00 p.m. and for people to avoid unnecessary outings and will last until at least february 7. the emergency includes japan's main economic of -- hub and cover 60% of the economy. iran is continuing to step up its military capabilities firing cruise missiles as part of a two day drill near the gulf of oman. images released should the missile hitting the target. the drills took place among heightened tensions with the u.s. and comes days after tehran said it would resume the

production of fuel for some of its nuclear reactors. jeff bezos says he is planning to fly passengers on his blue origin space tourism capsule as early as april after another successful test mission. the rocket took off from texas for a 14th trial during a life-size mannequin to the edge of space. it will one day be replaced by space tourists at a cost of $200,000. 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. haidi: the u.s. has blacklisted china's third against oil company as part of the trump administration last ditch effort against beijing. a former secretary called the company a bully after years of involvement in offshore drilling disputed south china sea waters.

>> it is the largest oil company in china and one of the largest oil companies in the world. they have been using mobile rigs , one in particular to bully countries like vietnam and others on what they call the south china sea. haidi: our chief north asia correspondent stephen engle joins us with the details. what does this mean going forward? >> i do not mean to correct the commerce secretary but -- is the third largest oil company but it is the largest offshore driller. get as lasting ramifications because there is a number of different lists the trump administration is collecting in the waning days of its administration. the commerce department has a couple of lists, including the list which see note has been added to.

they also have a list -- it will set in motion the process of locking such companies from accessing u.s. electoral property as well as technology without specific permission. that is what it is going to be facing. cnooc, wilbur ross went on to state china's reckless actions in the south china sea and its aggressions will require sensitive ip and technologies for its militarization efforts are a threat and that is why he is leaking cnooc to those alleged actions by the chinese government. we are also hearing the commerce department has added another company with alleged ties to the military in china. it is eight unit of the telecommunications firm based in beijing. it has been added to that military end-users list.

that is with the commerce department saying imposes a national security threat. this is a company trying to get military assets, purchase assets in ukraine which has raised the attention of the pentagon. congress has those two lists but we also have a treasury list. it would require a divestment by americans in stocks listed under that list as well as the defense department list which compiles those companies with direct ties to the chinese military in which the treasury department can pick and choose. haidi: -- kathleen: glad you got it because it makes my head spin. i especially wonder as a new president takes over who was going to be left to maintain the list or through the list out the window. >> exactly and who it's going to be there a year from now.

november 11 is when some of these divestment orders will be taking place where americans not only cannot buy or sell but they cannot hold so they will have to divest those shares. that pentagon list compiles the entire list and that is what has been added here. the mobile phone handset maker is listed here in hong kong, it sucked up one april -- 180%. another company has been added, the passenger airplane maker with direct ties to the chinese government. it is not listed, but if you are on these lists and there is a divestment order by november 11 of next year it includes subsidiaries and some of these subsidiaries in the military industrial might indeed be listed. carmack is key to china's ambitions to create a passenger aircraft that will rival boeing

and airbus. that is where we stand right now. we have not heard whether the listed company has been added to the treasury list, which would require the divestment, but most likely it will be connected and will be coming down the pipe because what we saw yesterday was tencent and alibaba both on the treasury and -- list. the treasury as the -- to knock it off the list. kathleen: chief north asia correspondent stephen engle. plenty more to come on "daybreak:

haidi: a check of the latest headlines. the main chinese rival to bytedance is said to have one

approval for an ipo in hong kong that could raise $5 billion. it may assess the demand for shares next week. it is hoping for evaluation of about $50 billion. it has made its name in rural china and in smaller cities before expanding to larger audiences. taiwan driving a semi conductor is planning a record expenditure for as much as $20 billion toward strengthening of its technology and building a plant in arizona for u.s. clients. that would be more than $10 billion up from last year. most of that money will be donated to advance processors. it expects to beat estimates this quarter, revenue up to $13 billion expected. larry fink is considering whether to end a political action committee after last week's unrest. blackhawk joins other u.s. companies in reevaluating their role in the clinical process.

it gave about a hundred $70 million -- cartica management says emerging markets could experience a big flood of inflows. the ceo joins us next. ♪

karina: this is "daybreak: asia their joe biden will ask congress to back a new virus relief package for the u.s. economy, the first of a two part strategy that includes longer-term goals such as infrastructure and climate change. the initial program is worth $1.9 trillion and will be a test of his relations with a flip center. the republicans voted for bill clinton's first plan in office and only three back barack obama traffickers. the federal reserve is stepping down talk of a premature reduction of its bond program

saying now is not the time to have that discussion. jay powell says policymakers know they have to be careful about how they discuss as a purchases and one of the lessons from the financial crisis is that they must be wary of exiting too early for fears of a defeat of 2013 tempora tengion. market surge the lid is since -- two almost one million in the week ending january 9. the wide number of states importing increases. a majority of a bloomberg survey we are expecting little change. >> i am bullish about 2021 overall, and that is really dependent on covid. we have got really hard months ahead of us. it will be robust growth but it is a deep old even with robust growth we will take some time to fully dig ourselves out of it and get back to where we were prior to covid. karina: china as reverse curves

on coal including a record month as industrial output boosted events. shipments jumped to 39 million tons, the highest ever monthly total lifting imports to the most since 2013. orders may rise again in the current quarter but they will not include: from australia. 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. kathleen: now to sophie kamaruddin in hong kong for the latest on the markets. sophie: this morning we are seeing fluctuations, qe stops moving to the downside. -- rising along with nikkei futures and we are seeing green for aussie shares this morning up .4 of 1%. this as were seen banks and miners gaining ground. morgan says with the upside seeing crude could signal for

upside related equity. oil is rising to $55 per barrel. let's check out what is going on in the bond space this morning, we are seeing aussie bonds under pressure. the tenure spread is going to 100 basis points this morning. treasure futures, we are seeing little change there. action into the biden stimulus plan, details there, given that was already anticipated although the 1.9 trillion dollars was slightly less than expected. let's look at what is been going on with treasuries as markets assess the virus with plans in d.c. we see treasury -- steepen. the five to 30 curve, that is the steepest since 2016, the line in yellow on the chart right here. haidi: pacific camerin -- sophie kamaruddin joining us.

teresa garber is joining us. as we at the details of the stimulus proposal from president-elect biden we are waiting to hear from joe biden later in the next hour as well. what is in it for asian markets? there was a big brouhaha over stimulus spending. what are you seeing this could potentially have a trickle-down effect to asian markets? >> thank you for having me. i think really everything is going to be dominated by the liquidity generated by the fed. whatever is going to come out and joe biden plan will pale in comparison to that. the u.s. just does not have that much physical room, -- fiscal room, and we do know that there will be a policy shift towards climate change. whether the money will be available for infrastructure is more difficult, but on the

climate front that can be handled through regulatory means. haidi: in terms of the outlook when it comes to emerging markets there has been some concern that the recent reversal in the dollar trend is going to be a permanent theme for this year. you say this is a component of the market that is underweight, underappreciated and misunderstood. where the opportunities you see? >> first of all i was born in february so i think we are going to see a new age of aquarius for the emerging markets, but we are seeing secular weakness in the u.s. dollar above trend growth as the u.s. recovers from covid. we are seeing low interest rates , and the continued boost from fed derived liquidity.

that is the exact situation that needs to bear a robust emerging markets. i am happy to tell you why. kathleen: i will let you continue that thought but i want to know for everyone you are intimately acquainted not only with emerging markets but investing in them. you spent 20 years investing in emerging markets countries, all regions of the world. we are focused on asia but one thing that caught me, bags of money on the sidelines and emerging-market countries. it is not just robin hood type interesting. we see retail investors with money to invest taking action. where in particular, particularly in a shoe do you see this phenomenon? >> globally we see that $100 billion left ems at the start of covid, but that is the biggest

outflow from emerging markets really that we remember. in the gnc there was a big global crisis but nothing like $100 billion and only a small amount of that as come back, but what you are seeing in these countries as well as institutional investors globally is they are saying interest rates are really low and they will be low for a long time. the 60 four/40 split does not make sense. we now see that globally, market share of all financial assets are 5% lower than the market share of equities. it is 5% lower than it was in january of 2018. the rotation from other assets, cash, money markets, fixed

income, that rotation into equities is not done yet. we see robin hood in the u.s., but in korea retail investors are selling their real estate, selling their bitcoin, they are taking their money and loading it up into the equity markets, and you even see when we look at the list of companies we are looking at in other countries, we even see korea participating in other countries because there is been so much money coming in. the exception is india where retail investors are very interested in investing, but we have not seen them going into mutual funds. and they will go directly though. foreigners have gone big-time into india, but there is a lot of money waiting to go into ems i believe now. kathleen: what sectors, what industries, what kinds of

companies do you see as attractive if i am going to follow your emerging-market hypothesis and put some money to work? >> one thing that global investors tend to either miss understand or just underestimate in emerging markets is the tremendous opportunity and disruptive companies that are in the emerging markets, but they are wait below their potential size. one of the world's online banks is a russian company started from scratch by an entrepreneur and beautifully run. companies in brazil are not competing against big banks. they are against cash. -- is a payment start up in asia. it is creating its own market share competing against cash and it is only $1.7 billion market

cap. we also see develop market players are not necessarily winners. amazon as at its pants beaten off of it in mexico, in indonesia, in brazil, and other things. china does not have a youtube equivalent, so that leaves room for a company to create medium length films. korea, north korea like china uses chat. in the u.s. we use text messages. there is one company that has 90% market share, every korean uses it, and that is a platform for many other spinoffs, including intech -- only contact, these other areas.

kathleen: what and -- an in-depth look you have given us. cartica management co-founder teresa parker. plenty more to come on "daybreak: asia." this is bloomberg. ♪

kathleen: governments across the asia-pacific are taking their

time before granting regulatory approvals for vaccines. the caution comes in contrast with the rush to vaccinate in many western nations. let's get more from bloomberg's health care reporter. michelle, i was speaking through emailed to a japanese colleague. we were talking about whether the olympics could get going. we will not start our vaccines until at least february. it is the reason for the caution on that end and should we be following in their footsteps? >> two things are happening. in many asian countries they have done a really excellent job of mitigation measures like social distancing, wearing masks and have really crushed the curve and kept the replication numbers very low. they are not dealing with huge outbreaks as we are in the u.s. and europe. the urgency to get vaccinated in order to get back to normalcy at reduce hospitalizations and deaths just is not as urgent in

south asian countries. on the other things the vaccinations are less established there and there is more concern that perhaps some issues might evolve over time. those governments are saying let's let someone else go first. we will see whether or not there have been any problems with vaccines. they would be able to roll it out more efficiently in their countries and catch us on the back and. haidi: i went to get your thoughts on the pandemic part of vardon trophy a stimulus package unveiled. $20 billion when it comes to vaccine distribution. $50 billion for testing efforts. is this seen as being sufficient? >> it is certainly significantly more than we have had up to this point. you would hope that as that money gets out to the states

individually it will have a big impact on rolling out the vaccine broadly. the challenge here is that it is going to require massive efforts . stadiums, auditoriums where they can set up clinics, provide people space and vaccinate day after day, perhaps seven days a week. some people are talking about 24 hour vaccination clinics. you need people to do that, money for the space and we do not have anything coming from the federal government at this point. each state and locality will do a better job at setting up their system, but taking money off the table as a stumbling block will be nothing that helps. haidi: michelle cortez there. changing work practices that many disability activists us -- activists have been promoting.

they have become more common in the post-pandemic era. let's discuss this with the acting ceo of the australia network on disability. right to have you with us. we talked a lot in our shows about the oversized impact the pandemic as i don't issues of equality, in particular exacerbating inequality already present in society. has the pandemic and transition into work from home and flexible working practices been a net positive or a net negative for some of the people you represent? >> thank you for inviting me on today. such an important topic. i will sit on the fence and say net neutral. there are a lot of positives that have come relating to the awareness and understanding of flexible working. and doing things differently to achieve what we are required to

achieve. it has also highlighted -- to strengthen accessible practices that we see in the workplace, particularly how we deliver services for our customers. while there is definitely been benefits in shaping awareness around working from home it is not come without its challenges. haidi: has there been had when it comes to distances, employers realizing the advantages of employing people with disabilities? >> yes, we have seen that here in australia. the increase in organizations very much wanting to do the right thing from an inclusive perspective for disabilities and employees and also reaching out

to ask how to make sure we are inclusive. even from an awareness perspective and from a demand perspective the engagement is increased in australia and globally. we have seen a campaign coming into play. we are really seeing and understanding the need to ensure their practices are inclusive and there are many skilled and talented people with disabilities out there. kathleen: among people with disabilities what is the number one thing that they want or that bugs them? i was walking down the street in my neighborhood. there was a blind woman and i thought she was having a bit of trouble figuring out what she was and i stop to say something. she said i am fine. leave me alone. i do not need out. what is it that people without

disabilities are not doing for people with disabilities particularly in the workplace that should be done? >> that is a really useful example to share. it rings ford. as human beings we want to do the right thing when we do not know what that is we often retreat back in fear of getting it wrong i do not do anything at all. when it comes to inclusion and making sure our environments are accessible it is about asking what we need to do differently to make sure people can participate. people with disabilities will not necessarily need any adjustments to do the job. asking the question if someone does require any assistance, being comfortable if they do not but being comfortable to explore what that might look like with the individual so that they can participate in society whether that is through employment,

education, etc. not making any assumptions. kathleen: down the road, what is the number one thing governments can take so that friends and families can finally say great, a cut down. >> employment, and the key aspects around ensuring we have got employment in the community is around adjustment. when organizations are designing their environment, whether that is digital, physical, or they are thinking about the diversity of their workforce, starting with accessibility so we are building an environment that is accessible from the start, which makes it easier for people with disability to represent their skills within the workforce. having a clear understanding about providing workplace adjustments, reasonable adjustments in the workforce

really does make a huge difference to be employed. that starts from an equipment process. if the vehicle and process is unacceptable and there is not any encouraging understanding for candidates around what will be done, they cannot even get in the front door. an analysis to make sure you have accessible systems and processes. kathleen: thank you very much for joining us. an enlightening conversation with amy waller -- whaler. samsung upgrades the galaxy to challenge the new iphone. we are live from los angeles to see how they stack up. this is bloomberg. ♪

kathleen: samsung is announced three new galaxy flagship devices to challenge apple's latest iphone. it has also unveiled a grid earbuds and a new trucker. mark gurman as the story. how do these samsung nsaid stand up against the iphone. who is going to be convinced to switch? >> anyone currently in the samsung ecosystem are likely to stay put. i feel like we are at the point where there are two camps of people and they are staying within the lines.

they do not see a lot of people switching from a newer generation samsung to a newer generation iphone or vice versa. it is people typically switching from older android phones to iphones. if you are already in the samsung ecosystem people i sent there. 2021 will of people like and as 20 -- s20. haidi: what are the two types of consumers they are seeing here? >> the bifurcation samsung is referring to are people buying price products -- tech products at any price point. people willing to shell out $1000 for a phone. then there are more normal consumers who have their head on straight and they are not willing to throw dealt $1000 for a phone without thinking about it. samsung recognizes it needs to appeal to both sets of consumers , and i think with this new

phone range they are doing that and it is a similar playbook to what apple is doing. you have the lower end iphone now that comes in at $800. and then you have the higher hand s21 ultra. kathleen: we are showing features of cool stuff. what is the hottest new feature? >> we are not seeing a new feature on a lot of these funds. the thing is getting -- the camera feature is a rectangle or camera ready. they were super impressed that the phone had three cameras and they were shocked when i said take a look at the more expensive one. that has six or seven ones. the big story is the camera hardware and software. this phone can shoot in ak.

technology is getting more advanced as we speak. haidi: 8k. we are also seen sweetness in the deal in terms of when it goes on sale. >> you are seeing a few other devices they are pushing as well. they have these new galaxy by the pros, quite similar to the air by the pros not only a name but in functionality and they had this tracking device that allows you to attach this to your purse, backpack and trekked its look asian -- location. similar to something apple is working on. i have seen some deals where if you buy the phone you get free headphones or the free trip -- trucker. haidi: mark gurman there on the latest samsung phones in los angeles. coming up we will be joined by the dalton investment chair

cushions market levels in the u.s. are expensive. the winners are china and india. the market opens in tokyo and seoul are at the top as well. this is bloomberg. ♪

kathleen: welcome to daybreak: asia from bloomberg's world headquarters in new york. i'm kathleen hays alongside howdy stroud-watts in sydney. asia's major markets have opened for trade. joe biden has asked congress for a new covid relief package for $2 trillion. it will be a test of his relations with a split senate.

asia helps to make four daily gains on a road. investors await the bank of korea rate decision. the kospi is on its longest streak since 2010. a chinese energy giant is being blacklisted the u.s. for drilling in the south china sea. washington says it is a corporate and regional bully. let's get right over to hong kong. sophie, with a look at the markets. sophie: stocks could be set for a third consecutive week of gains. in tokyo, upside for the nikkei 225 as shares are gaining ground. it rose 23%. this as we are seeing the japanese market hold up in the face of a pandemic. the yen old and below 104. citi out with a call saying they see the yen moving toward 100 even. let's flip the boards to see what is going on in south korea. we are waiting on the be ok

decision. the korean you want slightly -- the korean yuan slightly firmer. it the index has been on a good run. could be looking at an 11 week advance. though best streak since 2010. chip optimism open that along. -- optimism hoping that along. checking what is going on with samsung shares, gains of 1.2% for the stock this morning. the share on the radar following the trump administration extending tariffs on ford made washing machines, which could impact manufacturers like samsung. let's flip the board to see what is going on in australia. energy players on the rise with wti staying above $53 a barrel, edging higher by four tens of a percent on new york crude.

s&p slightly higher this morning. a lot of focus on what is going on at treasuries. you have the 10 year yield, a little change. holding above 112 this morning. haidi: let's get some more investor perspective with adult investments chair. we see markets just passing through this to trillion dollar stimulus proposal from president-elect biden. their opportunities both in asia and the u.s. you say american stocks are very expensive. what would you rather look to for in asia -- look to in asia? >> it is in much better shape than the west because covid is much more controlled. you have the stronger underlying growth trends in most of the country. in particular china and india where you have a much younger population and economies that are in the earlier phase of their development. with that comes the possibility

for creating enormous wealth with companies that will satisfy the growing consumer demand created by their own population. for instance, in china we like companies that feed that demand. companies that in particular also meet the demand for the government in terms of their desire to build an independent semi conductor industry. there is plenty to choose from. in india, we like companies -- there is one company called make my trip, which is the dominant online travel company in india. you choose companies like that and they stay dominant, the roadway for them is enormous. the upside is enormous. haidi: it sounds like you are banking on further bifurcation, particularly when it comes to the u.s. and china tech. you are finding some of the winners there yada yes, -- there?

>> yes, absolutely. bifurcation in security sensitive sectors has started and will continue to progress. in particular in tech, the chinese and the americans have to build their own secure supply chain and the chinese government has made it clear they will support domestic companies that can help them build their own semi conductor industry because it is needed for just about everything they want to do. there is a company which is a company that -- they call it the texas instruments of china. this is a company that builds for integrated circuits of power management. fields like automotive and data centers. kathleen: you also are looking at japan. we did see a burst of m&a activity in the last part of 2020 going into this year. what is your value i on -- value eye on now?

>> japan is a wonderful market for pe firms. the japanese market has undergone six years of corporate governance reform and it seems as though it is ready to at least to be satisfied with hostile bids on companies that come to a resolution whereby a hostile bidder can be considered to be an agent of change that is positive. in the fourth quarter, there was one deal that was interesting. it is a company that is sort of like ikea in japan. it is a do-it-yourself retail chain. the largest peer bid for the company. in turn, their bid received a counter bid from the largest furniture chain in japan. that is what is interesting about this particular stream of events. it is a traditional japanese

company. a few years ago, it would never have put a bid on another company in the midst of a transaction like that, but they won. there was no fuss. corporate japan seems to have welcomed it as did the japanese population. kathleen: it may be a new era. i want to step back because we have seen so many stock market bulls lately. yes, the valuations are getting high and all that, but we still see money to be made. you say quite simply that market levels in the u.s. are expensive by any historical measure. in a nutshell, what is the market -- the argument against that bullishness on the u.s. stock market right now? >> the thing is when you buy a stock, you are buying a piece of the company and you expect it to be repaid over time. you buy a stock at a pe of 20, that is pretty rich, but you can make the argument that if you get a 5% return over time given

that your other alternative of bonds is almost nothing, that is not such a bad thing. if you are buying stocks at a 35 to 40% times pe, you are building very little scope for any sort of disappointment. stock markets go in cycles. everyone is bullish because we are focusing on the bullish elements. the fact is we have all sorts of problems. we have a very divided country. we have interest rates that are so low they cannot go much lower. we have the government going to enormous debt to be able to offer stimulus packages that are entirely appropriate, but they cannot go on forever either. i do not know when the ends. it will end at some point. you see some inflationary pressure, which may be beginning to be seen.

there are alternatives to equities in the u.s. perhaps there is some resistance to the dollar in the reserve currency. i think that is the biggest asset the u.s. has that it needs to guard. it cannot be taken for granted this will be how it is for the next 50 years. i am not saying anything that will be dressed in the next six month or a year, -- be drastic in the next six month or year, but the roots of this end a of the rally are there. -- the end of this rally are there. kathleen: thank you for your wise words of investing prudence. let's get to karina mitchell with the first word headlines. karina: the u.s. is imposing new sanctions on beijing over its increasing role in the south china sea, putting travel bans on officials for alleged bands -- alleging -- xi jinping appeals to starbucks

to improve ties washington. he hopes the company can promote cooperation over the bite in the administration. the world health organization's mission to trace the origins of the coronavirus pandemic led us to a rat he start with two members of the team denied entry to wuhan. the dow jones says they were prevented from boarding a flight after testing positive for covid-19 antibodies. the 13 scientists who have arrived will spend two weeks in quarantine. more than half of japan is under a virus state of emergency with infection spreading across the country. measures include telling bars and restaurants to close 8:00 p.m. and for people to avoid unnecessary outings and will last until at least february 7. it includes osaka and about 60% of the national economy. a day after the house impeached president trump a second time, there is still little idea of when his trial will happen or

what form it will take. speaker nancy pelosi has yet to reveal when she will send the articles to the senate and mitch mcconnell and chuck schumer have not said how they will handle the case. pelosi faces questioning about her plan later friday. 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'm karina mitchell. haidi: camera maker rising after a beat on its pulmonary for your profit. gains of close to 9% in the session. that is the most since october last year. the stock is trading at a seventh month high. canon reporting preliminary earnings topping estimates. it had reported a $21 billion operating profit. much better than expected and we

did see sales of cameras and printers benefiting with consumers stuck at home thanks to the pandemic. that stock one of the l performers in the earlier part of the tokyo session. coming up next, joe biden is set to flesh out his relief proposal minutes from now. we are live in washington. plus, the u.s. has blacklisted an oil giant. this is bloomberg. ♪ so you're a small business, or a big one. you were thriving, but then... oh. ah. okay. plan, pivot. how do you bounce back? you don't, you bounce forward, with serious and reliable internet. powered by the largest gig speed network in america. but is it secure? sure it's secure. and even if the power goes down, your connection doesn't. so how do i do this?

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kathleen: president-elect joe biden is slated to speak about is 1.9 trillion dollar covid relief plan in the coming minutes. the plan is designed to pump money into the economy.

scott, a $2000 relief check. people who got $600 already are going to get a $1400. $160 billion to fight the virus to get vaccine distribution going. so many policy makers this is the key to the economy. is this an important piece to you? >> that is what people are saying for sure. if the country is able to get the virus under control, that will be a definite boost for the economy. we are seeing with the virus not under control, more people are filing for unemployment benefits. we saw almost one million americans filed for state unemployment benefits last week. it was the biggest weekly increase since march. just in real time, we are seeing how much this virus surge and all the sactown -- all the shutdown it is causing, that is

a really constraining thing. the sooner we get out of this, the more we will see people get back to work and spending and the other kinds of things that support the economy. haidi: is the package and its proposals targeted enough to be effective? >> that is the question. you have parts of it that can be considered targeted like unemployment insurance and extending the benefits until september, and then there are parts that some people might regard as less efficient like handing out checks to a much wider group of people. kathleen: we have already talked to a couple of people. doug worked for the george w. bush council of economic advisors. we spoke to greg meeks, a congressman from new york. one of the big questions is, it is great to have all this relief money, but people are wondering if maybe too much of it is going

to people who do not need it compared to the waiter or waitress who lost their job to the restaurant owner who has been crushed. do think that is going to be an issue as this starts to be debated in the senate and house? >> it may become part of the issue, but you have to remember they are doing both at the same time. people can point to things they like and they do not like and how this might be not as efficient as the other way of doing it. when you put it all together, it is likely to give a major boost to lots of people. is it done in a fashion that everybody is going to be perfectly happy with? not likely. haidi: what about the way this is funded? we have heard from one find an official who says they are not going -- one biden official who says they're not going to rely on offsets. i guess the view is that in

these unprecedented times, it is not the time to be worried about a widening budget deficit. is that the case? >> it is an interesting point to bring up because as we have seen in the last couple of years, the whole intellectual underpinnings of deficit funding and whether deficits are good or bad have been shifting beneath our feet with more and more interest in modern monetary theory. there still are people who might worry about the rise of the debt in the long run. the chair of the federal reserve , jay powell, a lead other people are saying, are sorted saying now is not the time to worry about the debt and deficits. the fed chair is concerned about it down the line. we have heard about that from other people. it may be president-elect biden's view as well. it could come up in this debate. haidi: i'm just going to jump in

because we are about to hear from the president-elect, joe biden, from wilmington, delaware. >> tricia took her last breath at home under the california sun in santa clara. she was 57 years old, a beloved wife, mother, daughter and sister. she never knew she had the virus. at the time when most folks never heard about the buyers. -- the virus. just like that, she was gone. i must exactly one year later, nearly 400,000, 400,000 of our fellow americans have met the same cruel fate. countless families and friends left behind with unrelenting grief and guilt, anger and frustration. the emptiness felt by the loss-of-life is compounded by the loss of our way of life. during this pandemic, millions of americans through no fault of

their own have lost the dignity and respect that comes with a job and a paycheck. millions of americans never thought they would be out of work. many of them never even could envision the idea. facing eviction, waiting for hours in their cars to feed their families as they drive up to a food bank. millions have kept their jobs but have seen their hours and paychecks reduced. barely hanging on as well. that is happening today in the united states of america. just in the midst of this dark winter of this pandemic as cases, hospitalizations and deaths spike at record levels, there is real pain overwhelming the real economy. one where people rely on paychecks, not their investments

to pay for their bills. and their meals and their children's needs. you will not see this pain if your scorecard is how things are going on wall street, but you will see it clearly if you examine what the twin crises of the pandemic and this sinking economy have laid bare. the growing divide between those few people at the very top who are doing quite well in this economy and the rest of america. just since this pandemic began, the wealth, the top none -- the top and percent of the nation has grown 1.5 trillion dollars since the end of last year. four times the amount for the entire bottom 50% of american wage earners. some 18 million americans are

still relying on unemployment insurance. some 400,000 small businesses have permanently closed their doors. it is not hard to see we are in the middle of a once in several generations economic crisis with a once in several generations public health crisis. the crisis of deep human suffering is in plain sight, and there is no time to waste. we have to act and we have to act now. this is what economists are telling us. more importantly, it is what the values we hold dear at our hearts as americans is telling us. our -- a growing chorus of top economists agree that the moment of crisis -- in this moment of crisis with interest rates at historic lows, we cannot afford an action. it is not just smart fiscal investments including deficit

spending are more urgent than ever. it is that the return on these investments in jobs, racial equity will prevent long-term economic damage and the benefits will far surpass the cost. a growing number of top economists as shown even our debt situation will be more stable, not less stable, if we seize this moment with vision and purpose. tonight, i would like to talk to you about our way forward. a two step plan of rescue and recovery. a two step plan to build a bridge on the other side of the break as we face to a better, more stronger, secure america. tonight, i will lay out my first step. the american rescue plan. it will tackle the pandemic and get direct financial assistance and relief to americans who need it the most. next month, my first appearance

before a joint session of congress, i will lay out my build back better recovery plan. it will make historic investments in infrastructure, the build back better recovery plan. infrastructure, manufacturer, innovation. investments in a caregiving economy and skills and training needed by our workers to be able to compete and win in the global economy of the coming years. an independent wall street firm said my approach will create more than 18 million good paying jobs. our rescue and recovery plan is a path forward with both seriousness of purpose and a clear plan with transparency and accountability with a call for unity that is equally necessary. unity is not some pie-in-the-sky

dream. it is a practical step to getting the things we have to get done as a country get done together. as i said in december, a bipartisan covid-19 relief package was a very important first step that i am grateful for the democrats, republicans and independent members of congress who came together to get it done. i said at the time, it is just a down payment. we need more action. more bipartisanship. and we need to move quickly. we need to move fast. our rescue plan starts aggressively in order to speed up our national covid-19 response. the vaccines offer so much hope and we are grateful to the scientists and researchers in everyone who participated in the clinical trials. we are also grateful for the rigorous review in testing that has led to the millions of people around the world already

being vaccinated safely. but the vaccine rollout in the united states has been a dismal failure so far. tomorrow, i will lay out the vaccination plan. to correct course and meet our goal of 100 million shots at the end of my first 100 days as president. this is one of the most challenging operational efforts we have undertaken as a nation. we will have to move heaven and earth to get more people vaccinated to create more places for them to get vaccinated, to mobilize more medical teams to get shots in people's arms, to increase vaccine supply and to get out the door as fast as possible. we will do everything we can to keep our educators and students safe to safely reopen a majority of our k-8 schools by the end of the first 100 days. we can do this if we give the school districts, the schools

themselves, the communities, the states, the clear guidance they need as well as the resources they need that they cannot afford right now because of the economic dilemma they are in. that means more testing and transportation should -- more testing in transportation. protective equipment and ventilation systems in those schools. need to make sure that workers who have covid-19 symptoms are quarantined and those who need to take care of their fairly members with covid-19 symptoms should be able to stay home from work and still get paid. this will reduce the spread of the virus and make sure workers get the support they need to maintain their families. but, they need -- we need about 400 billion in funding from congress to make all of what i just said happen. it is a great deal -- a great

idea but i am convinced we are ready to get this done. the very health of our nation is at stake. our rescue plan also includes immediate relief to americans hardest hit and most in need. we will finish the job of getting a total of $2000 in cash relief to people who need it the most. the $600 already appropriated is simply not enough. you have to choose between paying rent and putting food on the table. even for those who kept their jobs, these checks are important. if you are an american worker making $40,000 a year with less than $400 in savings, maybe have lost hours or maybe you are doing fewer shifts driving a truck or caring for the kids or elderly. you are out there putting your life on the line to work during this pandemic. and worry every week that you get sick, lose your job or worse.

$2000 is going to go a long way to ease that pain. we will also provide more peace of mind for struggling families by extending unemployment insurance beyond the end of march for millions of workers. that means 18 million americans currently on unemployment benefits while they work -- will they look for work, the checks continuing to be there. plus, there will be a $400 per week supplement so people can make ends meet. this gets money quickly into the pockets of millions of americans who will spend it immediately on food and rent and other basic needs. the economists tell us that helps the whole economy grow. we will also tackle the growing hunger crisis in america. as i speak and the vice president-elect harris spoken of this many times, one in seven households in america, more than

one in five black and latino households in america, report they do not have enough food to eat. this includes 30 million adults and as many it is wrong. it is tragic, unnecessary. it is unacceptable. we are going to extend emergency nutritional assistance for 43 million children and their families enrolled in the snap program to the rest of this year. it will help the hardest hit restaurants prepare meals for the hungry, provide food for the families who needed. we will invest $3 billion in making sure mothers and their young children at the nutrition they need. this will not only meet our moral obligation we have to one another. it will also spur economic growth, get a restaurants and workers back on the job. as you work to keep people from going hungry we will also work

to keep a roof over their heads to stem the growing housing crisis and evictions that are looming. approximately 14 million americans have fallen behind on rent, many risk of eviction. if we do not act now, there will be a wave of evictions and foreclosures and the coming months as the pandemic rages on. this would overwhelm emergency shelters, increase covid-19 infections as people have nowhere to go and cannot socially distance. next week we will take action to extend nationwide restrictions on evictions and foreclosures. this will provide more than 25 million americans greater stability instead of living on the edge every single month. i am asking congress to do its part by finding rental assistance for 14 million hard-hit families and tenants. there will also be a bridge economic recovery for countless

mom and pop landlords. these crises are straining the budgets of states and communities that are forced to consider layoffs and restrictions of the most gated workers. people putting their lives at risk are the very people now at risk of losing their jobs, police officers, firefighters, all first responders, nurses, educators. over the last year alone over 600,000 educators have been lost -- have lost their jobs in our cities and towns. our rescue plan will provide emergency funding to keep these essential workers on the job and maintain essential services. it will ensure vaccines are administered and schools can reopen. vice president-elect harris and i have been speaking with county officials, mayors, governors of

both parties on a regular basis. we are ready to work with them, and help them get the relief they need. our rescue plan will also help small businesses that are the engines of our economic growth, our economy as a whole. the glue that holds these communities together as well. they are hurting badly, and do you realize they account for nearly half of the entire total u.s. workforce? our rescue plan will provide flexible grants to help the smallest hardest hit businesses survive the pandemic and the low cost capital that will help entrepreneurs of all backgrounds create and maintain jobs, plus provide essential goods answer is communities depend upon. last week i laid out out we will make sure emergency small business relief is distributed

swiftly and equitably unlike the first time around. we will focus on small businesses, minority-owned small businesses, women-owned small businesses, and finally having equal access to the resources to reopen and rebuild, and we will be responsible with taxpayer dollars ensuring accountability the reduces waste and fraud and abuse like we did in the recovery act that i did in our administration. direct cash payments, extended unemployment insurance, rent relief, food assistance, keeping front-line workers on the job, aid to small businesses. these are the key elements to the american rescue plan. it will list -- lift 12 million americans out of poverty and cut job already and have. 5 million children lifted out of poverty if we move. our planet will reduce poverty in the black community by one/three.

it includes much more, like an increase in the minimum wage to at least $15 an hour. people tell me that is hard to pass. florida just past it. the rest of the country is ready to move as well. it will be a national minimum wage of $15 an hour. no one working 40 hours a week should live below the poverty line. that is what it means. if you work for less than $15 an hour, you are living in poverty. it includes access to affordable childcare. it will enable parents to get back to work. i look forward to working with members of congress, both parties to move quickly to deliver the american rescue plan to the american people. we can move with equal urgency and bipartisanship to my bill back by the recovery plan that i will call for next month to generate even more economic growth.

american manufacturing was the arsenal of democracy in world war ii. it will be so again. imagine a future made in america , all made in america and all by americans. we will use taxpayer dollars to rebuild america. we will buy american products, supporting millions of american manufacturing jobs enhancing our competitive strength in an increasingly competitive world. imagine the start and investments of research and development to sharpen america's edge. markets are up for grabs, markets like battery technology, artificial intelligence, biotechnology, clean energy. imagine confronting the climate crisis with american jobs and ingenuity leading the world. it is time to stop talking about

infrastructure and finally start building infrastructure so that we can be more competitive. millions of good being jobs that put americans to work rebuilding our roads, our bridges, our ports to make them more climate resilient, make them faster, cheaper, cleaner, transport american-made goods across our country and around the world. that is how we compete. and imagine millions of jobs in a caregiving economy to ease the financial burden of caring for young children and aged loved ones. let's make sure our caregivers, mostly women, women of color of the same pay dignity they deserve. we can do these bold, practical things now. i know what i just described does not come cheaply. but a failure to do so will cost us dearly.

the consensus among leading economist's we simply cannot afford not to do what i propose. independent respected institutions from around the world to the federal reserve and international monetary fund have underscored the urgency. even wall street forms have reinforced the logic. if we invest now boldly, smartly , and with unwavering focus on american workers and families we will strengthen our economy, reduce inequity, and put our nation's long-term finances on the most sustainable course. and where we are making permanent investments, recurring investments, as i said on the campaign trail we will pay for it by making sure everyone pays their fair share. not punishing anybody. we can do it by closing tax loopholes for companies that shipped jobs overseas. it would allow american companies to pay zero dollars in

federal income taxes. asking everyone to pay their fair share at the top so that we can make permanent investments to rescue and rebuild america. it is the right thing for our economy. it is the fair thing, the decent thing to do. we not only have an economic imperative to act now. i believe we have a moral obligation. in this pandemic in america we cannot let people go hungry. we cannot let people get evicted. we cannot watch nurses, educators, and others lose their jobs. we so badly need them. we must act now and act decisively. my fellow americans, the decisions we make in the next few weeks and months will determine whether we thrive in a way that benefits all americans or that we stay stuck in a place where those at the top do great well economic growth for most

everyone else is just a spectator sport and american prospects jim, not -- dim, not brighton. it will determine whether we reassert american competitive ship. we are better equipped to do this than any nation in the world. whether we watch them catch up and pass us by. together i know which path we will choose. and that includes all americans, so we can own the 21st century. even with all of these bold steps, it will take time to get where we need to being. there will be symbols. but i will always be honest with you. about the progress we're making at the subjects we meet.

the more people we vaccinate, the faster we do it, the sooner we can save lives and put this pandemic behind us and get back to our lives and our loved ones, and the sooner we can rescue and rebuild the american economy, the biggest and most profitable engine in the world. i know it is been nearly a year that tested us beyond measure. for all of you who have lost someone, my heart goes out to you. i know that feeling of looking at an empty chair across the table. all of you who have fallen on hard times. i know you can never get back what you lost, but as were president i know that every day -- your president, i know that everyday matters and every person matters. in the very first of the nearly 400,000 lost american souls and counting, for the millions of use -- you just looking for a

framed chance in this economy, i promise we will not forget you. we understand what we are -- you are going through. we will never give up. we will come back together. we did not get into all of this overnight. we will not get out of it overnight. and we cannot do it as a separated, divided nation. the only way we can do it is to come together. come together as fellow americans, as neighbors, as a united states of america, and when we do there is nothing beyond our capacity. i have said this many times. when america acts as one dear has never been a single thing we have been unable to do no matter how consequential this year has been. out of all of the perils of this moment i want you to know i see the promise. we have seen clearly what we face now.

i remain so optimistic about america. as optimistic as i have ever been. we have everything we need, but the will must be demonstrated. come wednesday we begin a new chapter. the vice president elect and i will do our best to meet all the expectations you have for the country and the expectations we have for it. i am truly confident together, together we can get this done. come out better off than when we went into this crisis. god bless you all, and may god protect our troops. >> [indsicernible] haidi: the president-elect in wilmington, delaware, filling out that $2 trillion stimulus proposal on esther's harassment.

let's bring in a professor of political science. it is to have you, driving home the sense of feeling when it comes to health, the economy, the political division. what were the takeaways for you? >> quite a stark contrast whether from what we have been hearing over the last year from the current president. the major takeaways were obviously $1.9 trillion package called the american rescue plan. he is doing it in two stages. the first is this focus on addressing the economic crisis and health crisis. it is $400 billion towards vaccination and rebuilding schools, threaded $50 billion -- $350 billion to state and local governments. $1400 of direct payments to

individuals. the second bill he is talking about expected in february it will tackle some of his longer-term goals, job creation, racial equality, climate. what really struck me was the incoming president talking about something he has talked a lot about during his campaign and throughout his career, which is the idea that dignity and respect is tied to work and that is what he wants americans to do is to be able to get back to work and have the dignity and respect that comes with that, and his argument is this comes with an enormous price tag, which as you mentioned is close to $2 trillion. kathleen: on top of $900 million spent before the end of the year. where does the rubber get the road between democrats and the president, who art ready to spend limitless amounts of money

and those, among some democrats who say we have to spend the money wisely. we have to be very targeted, and maybe try to make sure the money goes to the people who really need it. a $2000 stimulus check to a couple who are both working is nice, but do they need as much as somebody who is a waiter on new york -- in new york, somewhat on friday: is a high cost of living. >> it was fascinating. we got a chance to talk to a new incoming republican from south carolina, and she said exactly what you were saying. she is exactly the same language. she wants to help americans, but she wanted to be targeted, and she made an important point. my income has fallen but it is because i chose to run for

congress. i do not need a $2000 additional payment from the government. republicans like nancy bates, a moderate are talking about this sort of targeted approach. and their concern. they want to be responsible but they also want to help those people whose income has fallen as a result of the pandemic, not just all americans across the board. i think that will be one huge aspect of this discussion that we will hear going forward and i will also say they were shutting questions at the incoming president. another huge challenge will be at what they trust about this bifurcation. how does he handle addressing this in this issue of the impeachment trial, which will be going forward apparently right when he takes office. kathleen: a lot of information on the table, a lot of questions. thank you for joining us,

bloomberg medical contributor, professor of political science. for something on the market reaction we have mark renfield on the line. which assets will be most affected by biden trophic a spending plan? >> this has potential to hit everything. his plans are large and he is doing it in coordination with the central bank which is supportive as well. we could be looking at all as it causes -- asset classes coming into play. in initial moves you would expect the treasury market and stocks market to be the one that showed the initial reactions. we are seeing treasury bonds take slightly higher in asia. stocks are pretty much unchanged. we will have to wait for american markets to a bit later in the day to get a clearer picture. there is a risk with everybody being pretty well informed in

advance the numbers being fairly well eat so no real surprise. there is potential for the market being underwhelmed, especially in equities. they may have been no he would go for a bigger number on the stimulus, something above $2 trillion to shop and all everybody. the spec -- fact that is -- that it is coming in under $2 trillion could be a shock to the equity market. it will be no worse than they already anticipated. there will be some reaction when new york markets get going, but biden knows in the first 100 days he has really got to show a lot of support for the u.s. economy. in the end for all of the things going on in america he will be judged by how the economy performs. can you get unemployment down? there could be a lot more measures to come in the days and months ahead as he tries to get

the american economy back in shape and make it a leader again. he has got a lot of work to do and markets will be watching closely. all asset classes could be in place. haidi: watching very closely markets when it comes to jay powell's remarks overnight. it went to the make of these nuance comments -- what do they make of these nuance comments? >> there is no risk of short-term interest rates being hike anytime soon. he is committing to say measures which he had last year. treasury yields his back up 1% again but we have not seen huge months. traders are fairly comfortable the fed means what it said that the rate will remain close to zero for a long time and he is assuring people. it is important for joe biden

that the fed is very much in line with their thinking as well. they need the central bank to be very supportive to provide that liquidity so that the government can do its job. with yellen coming in as secretary gino's powell well. everything should be in place. kathleen: korea list -- left its key interest rate unchanged. it did they say? what does it mean? >> no surprise. when you look at the performance of the korean stock market, people are pretty optimistic that they are on the right path for the economy to be spent. korean stocks have been some of the best-performing in the world. it probably has more of an impact on the bond market. it is more freedom to move in line with treasuries. people are even beginning to think at one point do they need to tighten policy.

it not just yet but they are moving in that direction. haidi: mark renfield there. much more reaction to come to the bok decision. coming up the hsbc head of economic research joins us at 10:15 hong kong time. what is on your radar? sophie: [no audio] we are keeping an eye on names like we have less -- morgan stanley into -- interstellar glezman if entering morgan stanley boosting its

shares on the long-term prospects. watching taiwan semiconductor in taipei, shares indicating higher ahead of the open. abr jumping 6.1% overnight, and morgan stanley saying the plan should alleviate concerns about intel cbu uncertainty. the price target, 13%. kathleen: thank you so very much. now a trick of headlines. larry fink is looking to end blackrock's political action committee following last week. the biden administration must bring america together as blackrock joins other u.s. companies reevaluating their role in the clinical process. it gave about 178 million dollars to democrats and a little less to republicans and 2020 election cycle. the main chinese rival to bytedance is said to have one --

won approval that could raise 5 billion u.s. dollars. as testament for sure sale next week and is hoping for a valuation of about $50 million. the company is expanding to larger audiences. chinese energy giant cnooc is being blacklisted over alleged drilling in the south china sea. the company denied access to u.s. technology without specific permission and fall as the blacklisting of more than 60 mainland companies last month. washington says cnooc represents a continuing threat to u.s. national security. getting back to -- debbie woo's been tracking the company in taipei. why is the company raising its capex to such a staggering level? >> good morning. the company is said they

believed the high demand for 5g and related follow-up will help [indiscernible] for the next few years. that is why they are investing to maintain its technology needs of arrivals to better serve their key customers, including apple. yesterday they said about 80% of the $20 billion will go into technology expecting a surge in cutting-edge chipmaking. intel is considering outsourcing [indiscernible] so tsmc could be preparing for a follow-up. management declined to answer questions yesterday about any specific customer. haidi: in terms of a specific supply, who is likely to benefit the most from the spending

spree? >> yesterday we saw a major equipment supplier and u.s. equipment suppliers all [indiscernible] last night and after tsmc announced the record we are expecting popular semi conductor material suppliers to make that [indiscernible] when tokyo opens rating. haidi: still more to come on bloomberg television. we will be discussing the future of u.s. china relations as the trump administration blacklists more chinese companies and is let's -- less days. an asset manager takes a look at the market in china and hong kong. we are also joined by citigroup

karen economist murray can. the company deciding to leave its key interest rates unchanged as expected. markets coverage continues as expected. we look ahead to market opens. so you're a small business, or a big one. you were thriving, but then... oh. ah. okay. plan, pivot. how do you bounce back? you don't, you bounce forward, with serious and reliable internet. powered by the largest gig speed network in america. but is it secure? sure it's secure. and even if the power goes down, your connection doesn't. so how do i do this? you don't do this. we do this, together. bounce forward, with comcast business.

tom: it is not :00 a.m. in beijing and shanghai. i am tom mackenzie. david: and i'm david ingles. we are counting down to the open of the last training session of the week in hong kong. -- and cnooc are blacklisted by the u.s.. the company is accused of links to the chinese