to learn how to reverse insulin resistance and lose weight effectively, go online to golo.com. once again, that's golo.com. >> a very good morning and welcome to daybreak australia. we are counting down to asia's major market open. shery: i'm shery ahn. haidi: these are your top stories this hour. the fed stays dovish. jerome powell signaling rates will stay near zero through 2023.

most asian stocks look to follow the rally in the u.s. treasuries advance as the fed reiterated its tolerance stance. the u.s. looks to ban more chinese wireless -- shery: here is how wall street finished. resolve the s&p 500 -- it was a bullish reversal. markets sighing in relief. consumer discretionary and industrial material sectors led the gains. we had the 30 year yield touching its loftiest level since 2019. still retreating from the highs of the day. gold futures around the three week highs given the fed continued to project near zero interest rates. you are taking a look at the brazilian tree a. we saw the first rate hike among g20 nations. they hiked to two point 75%,

which is more hawkish than was expected. they are expecting another 75 basis point hike in the next meeting. they have been suffering from surging inflation pressures. let's turn to sophie in hong kong. sophie: the central banks in focus. the message from the fed. we may see some of the relief from wall street carry into the asia session. futures mixed in asia. aussie yields are tracking treasuries lower. the yen, below 109 this morning. checking in how trade is faring in new zealand after we digest the latest gdp report. the nzx 350 under pressure. the kiwi dollar gaining ground.

a surprise contraction of .9% on a yearly basis for the last three months of 2020. keeping a close eye on emerging markets. volatility has fielded curb steepening. moderating in the phase of u.s. real yields. in indonesia, we saw a soft bond option on wednesday. that is the fourth straight week. this ahead of indonesia's policy decision. no change expected to the rates there. in brazil, as we saw, we saw the tightening cycle being kicked off with the riau in focus. haidi: our top story now, the fed is holding a doublet line despite upgrading its u.s. outlook and counting inflation

worries being addressed. highlights from jerome powell's remarks. >> i would like to start by noting it has been a full year since the pandemic arrived with force on our shores. the economic fallout has been real and widespread. we can say some of the very worst economic outcomes have been avoided. while we welcome these positive developments, no one should be complacent. economic recovery remains far from complete. the high level of joblessness has been severe for low-wage workers in the service sector and for african-americans and hispanics. the state of the economy in two or three years is highly uncertain. we are on a good path with cases coming down. we are not done and i would hate to see us take our eye off the ball before we finish the job. have said we would like to see inflation run moderately above 2% for some time to we have resisted generally the

temptation to try to quantify that. we will begin to make faster process on both spending in labor markets and inflation. as the year goes on because of the progress with the vaccines, because of the fiscal support we are getting. fiscal policy overall will have helped us to avoid much of the scarring we were concerned about at the beginning. shery: take a look at the dot plot. we solve slightly hawkish clusters. compare that to five to 17 in december. sharply higher economic projection. the fed is projecting a more positive economic picture. gdp growth of 6.5% in 2021. unemployment expected to fall to 4.5% by 2021. when it comes to the inflation gauge, it will spike to two

point 4%, but it will come down to 2% in 2022. let's send it over to kathleen hays who is standing by with a special guest. kathleen: thank you. bill dudley, former president of the federal reserve bank of new york and we are thankful he is a bloomberg opinion columnist. let's get right to the things shery was pointing out. a couple more people but it is a couple more people who think rates will raise a little bit sooner. the forecast for gdp, they say 6.5 percent. three month ago, they thought 4.2 percent. are we starting to see the possibility of rate hikes that may be due come a little sooner than jay powell seems to think they will right now? >> it is possible. we do not have a lot of experience with recovery from pandemics. we don't have a lot of experience with recovery with

this kind of stimulus behind it. it could happen faster. it is interesting that the baseline view of the fed is no rate hikes through 2023 even though there are a few people who think it could come sooner. kathleen: if you were the fed, if you had been at the last meeting, what would you be pushing for? what would you be projecting? >> i would be more in the camp of having it happen a bit quicker. this is unprecedented in terms of how the economy is going to bounce back. with monetary policy and fiscal policy providing a lot of support, the economy is going to be very strong. the key issue here is the fed is following a new framework in terms of how it conducts monetary policy. they are not going to raise rates until they make maximum sustainable employment,

inflation is at 2% and they think inflation is going to rise above 2% for some time. the fed has said we are going to be slow to start the process. that is why the tightening is not for quite a while. when they do start, they will have to catch up because when they start to tighten monetary policy, rates are going to be very low relative to be very low relative to where they have to go. kathleen: the bond market in spite of all the things jay powell said today and the things he said recently that already reinforce this -- if they are looking for anything, they are looking for more inflation, staying higher, longer, especially with unemployment expected to follow. huge stimulus in the wings. i went to have you listen to something from scott minerd, the cio of guggenheim partners. what he told us earlier today. >> this dot plot today, there

were some significant changes. not dramatic. there is more and more of the consensusbuilding, this rate increase is coming faster than the chair is advertising. kathleen: does the bond market have it more right and would you agree with it? >> i think the bond market is reacting to the fact the economic outlook is improving and there is a 1.9 trillion dollar fiscal stimulus package being enacted. the rise in bond yields is still pretty modest. taking the treasury yields up to 10% pay that is not a high rate especially given where the fed thinks it is going to end. they think a neutral short-term interest rate is two to 3%. it seems to me the 10 year treasury note yields are going to go to 2% or higher. kathleen: are you as convinced

as fed chair powell inflation expectations are anchored around 2% and it will be all but impossible to budge them? >> certainly has been hard to budge them for a long time. the fed is taking a different strategy to how they are executing monetary policy. they're telling people in the markets they will be late rather than arrive on time. inflation expectations could react to that in a way the fed does not anticipate. kathleen:kathleen: we are already seeing a weaker dollar, rising bond yields. how strong are those signals and how much should the fed be getting them? >> a lot of these signals are good things. the fact that the economic outlook is improving as having an on bond yields in the shape of the yield curve. i take a positive signal from that. people are optimistic about the notion of the sustained economic recovery. i would not be concerned by the

backup in bond yields we have seen. the bigger concern is what happens down the road if the federal reserve is too slow to tighten monetary policy. the fed is too slow to tighten monetary policy, they will have to catch up. that catching up process could be not very pleasant for financial market participants. that is still way down the road. kathleen: is there another angle here? the fed has been criticized for raising rates to quickly starting in 2015 prematurely. democrats control congress. they will surely push back. is this new strategy say we are going to let inflation rise to 2% target and stay there for a long time, part of the strategy to allow themselves to be forced into a situation where inflation is such an issue they have to do something? >> i think what they do not want to do is inadvertently keep people unemployed because they

are worried about perspective inflation that does not rise. last cycle, we got down to three point 5% unemployment rate and there were no negative inflation consequences. the fed is saying we are not going to worry about inflation until we see evidence of it. we are not going to worry we are beyond full employment until we see evidence of it. chairman powell said we are not basing our change in monetary policy and our forecast. we are basing it on what we see in terms of economic activity and inflation outcome. that is the change. kathleen: thank you so much. look forward to seeing you soon. he is the former president of the federal reserve bank of new york and a bloomberg opinion columnist. shery: we will have plenty more analysis ahead on the fed guidance. the kpmg chief economist joins in the next hour to discuss. you can get more on the fed and

a round up on the stories you need to know to get your day going in today's edition of daybreak. bloomberg subscribers go to dayb on your terminal. for now, let's get over to vonnie quinn. vonnie: brazil has begun an aggressive hiking cycle, raising its key interest rate by 75 basis points to 2.75 percent in its first rate increase since 2015. policy makers to pass the shaky economic recovery. the central bank also signaled another 75 basis point hike in the next meeting. the move makes brazil the first g20 country to tighten policy this year. the world health organization says the astrazeneca vaccine should continue to be administered. reports of blood clots prompted more than a dozen e.u. countries to pause immunization. who officials say preliminary

data does not show an association between blood clots in the vaccine. italy and france indicated they will lift suspensions if it is deemed safe. the european union has threatened to withhold vaccine exports to britain unless the u.k. starts shipping shots to the block. the european commission president says she will consider holding supplies to countries that are not reciprocating or already have high vaccination rates, signaling out the u.k. as the number one importer. >> all options are on the table. we are in the crisis of the century. and i am not ruling out anything for now because we have to make sure that europeans are vaccinated as soon as possible. human lives, civil liberty and the prosperity of our economy are depended on that, on the speed of vaccination, on moving

forward. vonnie: the u.s. secretary of state antony blinken criticized north korea for human rights abuses at the start of his visit to seoul. ahead of the meeting of his south korean counterpart, he says pyongyang continues to commit abusive citizens. >> continues to commit systemic abuses against the people. we must stand against them. vonnie: 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 vonnie quinn. this is bloomberg. haidi: coming up next, washington moves to ban more chinese telcos. we will be asking huawei's u.s. chief security officer what it

means. this is bloomberg. ♪

haidi: u.s. regulators have taken a step toward buying unicom and calm that. let's get the latest from beijing. tom mackenzie is there. what is driving the latest escalation? tom: what it comes down to is security and control. controlled by beijing, controlled by china. that is the assessment of the u.s. security agencies. they say china unicom and calm that are ultimately controlled by beijing and have to take orders from the communist party and the government in the

chinese capital. this was what was driving the process. what they did was they voted unanimously to move toward barring china on the back of this recommendation from the security services in the u.s. what they said was that these companies have failed to present evidence to prove otherwise. it is of proceedings they can go through. china unicom saying we have worked in the u.s. for 20 years. we have always abided by u.s. law.

it comes down to this concern about security and the fact that u.s. agencies are saying what could happen is the chinese government could hack these networks and could take part in economic espionage and communication disruption. it is that that the sec has agreed worth. it is not looking good for china unicom. shery: all of this coming ahead of the anchorage meetings. what can we expect? any updates on that front? tom: the mood has not been good. we heard from antony blinken when he was in japan accusing china of aggressive and coercive behavior. u.s. officials made a point of saying, do not expect any major breakthroughs at these meetings that will take place in anchorage later today. what we have heard from the dow jones, they have reported the chinese are going to come to the meeting with a set of demands. chinese officials want to see a removal of curbs on the supplies of u.s. technologies to chinese companies. they also want to push for a set of high-level talks and dialogues. something the u.s. has not shown any interest in. certainly a gulf between the two sides. two areas where there may be some area of compromise is climate change and local health. shery: tom mackenzie in beijing.

we will be asking huawei's u.s. chief security officer about that and what it means ahead of the talks in alaska. that conversation later this hour. the fed may be in focus at the more interesting policy meeting in brazil. more on that coming up. this is bloomberg. ♪

haidi: you are watching debris goes draw you. take a look at the day ahead. we'll be getting australia's jobs data in couple of hours. that is expected to show the labor market continued to recover last month. the rba quarterly bulletin is due out.

speaking of the rba, the assistant governor will be speaking again today. it has been a busy week for him. also talking about the impact on australian markets. shery: brazil became the first g20 economy to tighten economic policy. the central bank raised rates by 75 basis points even as the pandemic worsens in the country. it signaled another 75 basis point hike in their next meeting. let's across to sao paulo. this is much more hawkish than we had expected. will this finally come to markets, especially the weakening of the riau and inflation surging echo that is right -- and and inflation surging? >> more aggressive tightening was the consensus and it showed the central bank is concerned about the depreciation and the rising inflation expectations.

we expect that to offer some relief tomorrow and also to help the curve tough latin, meaning sure end rates will rise to take into account tightening. the central bank is now ahead of the curve. it is showing it plans to limit the increase in inflation expectation. haidi: as you said, now ahead of the curve. what do we expect next? >> the already signaled a rate hike for the next meeting. that is more than the markets where pricing. they will likely follow the central bank sign and put that in the curve. for the rest of the year, the curve is breaking aggressive tightening. that will take the basic rates to above 60% i the end of the year. we expect monetary tightening to

keep going throughout the year. officials will probably -- as we get changes in the inflation expectation and the fiscal backdrop. shery: commodities have supported the brazilian markets, especially with the volley having bigger than expected dividends. what is driving the equity markets? >> with the equity market, the larger rate hike is not great because it has an impact on economic growth and therefore on profitability. but also the fact the central bank showed concern about inflation expectation, may have a positive impact as well. we will see how it goes. higher commodity prices have supported some companies. they also have increased inflation expectations. you have that impact for brazilian markets.

haidi:ets editor. that move from the central bank of brazil. the central bank, the boe is on tap with indonesia as well as taiwan in asia. we are watching out for the bank of japan tomorrow. it is releasing the results of its month-long policy review. bloomberg subscribers can go to tliv to get more commentary from expert editors and all of the decisions and implications for the markets. shery: take a look at how futures are trading across asia. we are seeing sydney futures under a little bit of pressure. kiwi stocks are gaining 2/10 of 1%. we did get fourth-quarter gdp numbers added new zealand. -- numbers out of new zealand. a contraction of 1%, which missed estimates. we had the huge again in the

previous quarter given the easing of restrictions. nikkei futures under -- nikkei futures unchanged. disney fans rejoice california theme parks are reopening. we will have details with the ceo. this is bloomberg. ♪

vonnie: you are watching daybreak australia. the fed had a dovish line despite upgrading its u.s. economic outlook and mounting inflation worries. officials continue to project inflation through 2023. the fomc sees a temporary inflation spike at 2.4% while upgrading projections to the highest in 37 years. japan's prime minister is seeking to lift the state of emergency.

he will make a decision thursday after consultations with an expert panel. that decision could come despite tokyo recording 409 new covid cases on wednesday. lifting the measures would be a symbolic gesture days before the olympic torch relay begins in japan. new zealand says it is close to agreeing to terms for a quarantine free travel bubble with australia. both sides continue to discuss issues including what to do if there is a new covid outbreak. reports from new zealand says the government could decide to open borders as soon next week. white house press secretary jen psaki says former president donald trump bears some responsibility for threats and violence against asian americans during the pandemic. she called out what she described as trump's damaging rhetoric about the virus after a series of shootings in the atlanta area in which a white man allegedly killed eight

people and six women of asian dissent. the australians state of victoria is set to become the first in the country to impose a tax on electric vehicles. it is projected to raise 30 million australian dollars over four years. 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 vonnie quinn. this is bloomberg. shery: we have breaking news. japan is recommending lifting the tokyo state of emergency on march 24 -- march 21. we had seen conflicting news on when the state of emergency would be lifted. they have been lifted for other prefectures. japan is officially recommending the lifting of the tokyo area emergency on march 21 under the emergency local governments. they had instructed bars and restaurants to close 8:00 p.m.

the also told people to avoid going out unnecessarily. they are lifting the tokyo area emergency on march 21. also making an announcement at a virus panel meeting today. japan as we know has the tokyo olympics in the summer. sophie, it has all been about the fed staying the course. what are some strategies about the implications for yields and the dollar? sophie: at wells fargo, they say the u.s. 10 year yield could move to 175 in matter of weeks and cross to percent by midyear. mike schumacher and the team do not anticipate fed tapering until early next year after powell rejected the idea of doing another operation twist. wells fargo accepting --

expecting growth prospects. haidi: a gap remains in goldman's forecast and what is being priced into markets. how does that frame the outlook when it comes to what the market does with stocks from here? sophie: in recent doubt -- recent note, goldman says they are keeping the face on cyclical assets. they are anticipating further upgrades to cyclical pricing in the near-term. we have seen a rotation underway since november with energy the top performer. followed by financials, telcos and industrials. goldman keeping the faith on cyclicals. haidi: let's get back to the virus the world health organization says the benefits of astrazeneca's vaccine outweigh the risks, beaking at the second a 32 endorse the shot kid -- making it the second

authority to endorse the shot. >> the who is saying the benefits of this vaccine significantly outweigh any risks it might have in terms of causing harm. you have to realize the risk-benefit ratio is tightly controlled. people who are getting vaccinated are usually entirely healthy. you do not want any kind of increased danger for those people. what the who is saying coronavirus is a deadly disease and you are at risk if you get it. the vaccine will protect you from it and not cause you harm. they went to reassure everyone they have looked at this thoroughly and it is safe and people should feel comfortable getting a. hopefully that reassurance -- because we do not have that many vaccines that are currently available and we need to use all the options we have. shery: we just saw japan lifting

the state of emergency in the tokyo area on march 21. what are you seeing around the world on it comes to these rising infections and what governments are doing to deal with them? >> there are rising infections in many parts of the world. we are starting to see some countries go back to a lockdown situation, trying to skewed -- trying to keep these infection rates under control. the thing that everyone is worried about is the variants that are spreading. we have not seen any new ones beyond the b.1.1.7 that came out of the u.k., the one from brazil and south africa. it is good news there are not more. shery: health care reporter michelle cortez with the latest on the pandemic. let's stay with the fallout. disney plans to reopen its two california theme parks on april 30, more than a claude dive more than a year after they closed. -- more than a year since they closed.

ceo bob jpeg expressed his optimism about reopening and the year ahead. >> we are thrilled with the response we are seeing from our guests in terms of future reservations. i think it is a function of two things. confidence that we are seeing the light at the end of the tunnel for the pandemic but also tremendous trust in our brand. we have been able to operate across the world, walt disney world for example for the last nine months and we have done so responsibly. we have had the nba bubble that was so successful. guests know that disney is going to do it right. that leads them to want to come back to our parks and know that we are going to be responsible as we do that and they can have a great time. >> the date is april 30 for california. you have 15% capacity limits. you can get up to 25% if we get into the orange tear.

investors want to know, can you make money with these kind of limitations? no out-of-state residents as well. >> as we said from the beginning, there are couple requirements. we have to be able to do so responsibly and make sure everybody has a great time while also being safe. at the same time, we are only going to open up if it could be agreed with shareholder value. we'll make a contribution toward profit. that has been the case since we started reopening nine months ago and that will be the case with disneyland. as conditions improve and the constraints are relieved, we will be there to ramp up and make sure everyone has a great time and welcome more people back to the magic of disney. >> what are some of the new technologies have used over the last year that you think will stay around post pandemic? will temperature screenings continue?

will you use the reservation system a lot more? >> in addition to all the health guidelines we have been following across the world, masks, temperature checks, decreased hygiene, six-foot social distancing, we are going to be introducing a new reservation system that is going to enable our guests to have a great time no matter when they choose to come to disney. nobody ever wants to go through a pandemic, but our teams have been hard at work making sure when we reemerge we are going to do so in a way that is going to improve the guest experience even versus a pre-pandemic situation. our guest satisfaction scores since we have reopened across the world have shown that our guests are even more satisfied than they were prior to the pandemic. we have learned to operate under constraints. by delivering the same disney magic you expect. we have been in a fortunate

situation where we have a lot of demand in the past. that has exceeded what we can actually supply in terms of how many people we can put in the park. there has been no situation that has been more like that then we have had upon reopening and having to operate under tight constraints. we have gotten better at it. it is going to create re-emergent scenario where magic is going to be greater for our guests when they do come back to our parks. >> disneyland paris looks like it will be the last to reopen. they were scheduled for april 2. do you think it will be open -- it will be >> open for summer? >>we certainly hope so. we follow the guidelines of local governments and local health agencies in terms of telling us when it is safe to reopen. i agree that will probably be the last of our parks to reopen again. when it does, we will be there to operate responsibly and make sure we have magic for everybody.

haidi: that was the disney ceo speaking with emily chang. coming up, the u.s. is moving toward borrowing more chinese telco carriers on security concerns. we will be discussing that with andy purdy. this is bloomberg. ♪

shery: the sec is moving toward borrowing chinese carriers. china unicom is the latest company that could be caught up in security crackdown. huawei is explain other growth drivers including charging royalties for access to its 5g patent. joining us is the chief security officer in the u.s., andy purdy. let's get started with the fact that i have not spoken to you in a few months at a lot of things have changed. first of all for huawei's business and interest in the u.s., how does the biden administration compared to the trump administration? andy: it is early to say. the biden administration is getting up to speed. the recent confirmations going into effect. a number of other positions will

have to be filled shared we have seen encouraging things in terms of how the united states approaches the world. the emphasis looks like it will be much more multilateralism instead of a u.s. go it alone. it is likely the u.s. will treat its allies with more obvious respect. we are hoping that rather than lump a lot of issues together for geopolitical bargaining with china, the issues will be disaggregated and focused on one by one as for what is in the best interest of the united states and if we hope if any issues related to us, we hope the u.s. government will talk to us and not the chinese government because huawei speaks for huawei. shery: the u.s. commerce department issuing subpoenas for multiple chinese communication providers. does that include you? andy: i checked with counsel a few minutes ago and we do not have any information that any subpoenas were issued to us. we cannot be positive yet. shery: the key question lies in

the fact that huawei needs to alleviate the security concerns. what are you doing right now? andy: we are doing a lot. globally, a lot is happening. our focus is not on our ability to do business in the united states. we recognize the biden administration has gigantic issues with the covid virus and the economy and geopolitical issues with china and others. we are working around the world to help address some of the very significant issues we are seeing in the united states and elsewhere. the recent attacks on solarwinds and the microsoft exchange service, two of the biggest cyberattacks ever. it is clear that the issues about supply chain risk are very important to the u.s. and hopefully the biden administration working with our allies and the biden sect -- and the private sector is going to come up with a basis for knowing

which products and services are worthy of trust. in those attacks, it was trusted suppliers who were violated. hopefully the bar is going to be raised. for us, the party is hopefully the release of our chief financial officer and also the ability of american companies to sell to huawei. they may conclude it is ok to sell this nonsensitive technology to huawei. when you look at the 12 billion a year we were spending, 40,000 direct american jobs are on the line. if we are forced to go away forever, those american jobs are going to be gone. haidi: you say you are doing a lot to counter and alleviate these concerns that huawei poses a risk to national considered -- national security. can you detail some of the things you are doing and how they are being perceived by governments? andy: there are some tremendous developments in germany.

trying to come up with objective standards, performance programs, requirements for telecom operators, requirements for telecom equipment suppliers. those processes could help inform what the u.s. government might consider. the u.s. government has concerns about national concert he and a number of different groups are saying, the u.s. needs to look at what is fundamental to national security? let's look at economic issues. we are hoping at some point informed by what is happening in germany and the european union, we are hoping at some point the u.s. government will talk with the you american companies -- the american companies and allow the sale of some of these nonsensitive technologies to huawei. we recognize the ability of huawei to do business in the united states is not something that has to be worried about right now. hopefully america is going to make itself safer in the meantime. haidi: what would be a good

outcome for you and huawei technologies going into these alaska talks between the biden administration officials in beijing for the first time? andy: as i said, we are hoping the u.s. and china can make some progress on some of the long-standing issues that have existed between the u.s. and china that do not relate to huawei. we hope they will be discussions between the u.s. government and us directly about issues around cybersecurity risk, national security risk. people forget the u.s. has a long tradition about being skeptical about foreign influence. that is why our major competitors are forced to go through certain risk mitigation efforts. even they have to be evaluated. there are some lessons to be learned there. we are hoping that we might have an opportunity at some point to talk about what is necessary and what is possible to address real

cybersecurity risk and to raise the bar on privacy protection because the united states has a long way to go. shery: every time we talked to you, you mention american jobs. has that changed the number of jobs in the u.s. since these sanctions have been put in place? andy: we have had to lay off quite a number. we laid off about 500 employees. there have been additional employees lico in our huawei telecommunications and our huawei device business. it has had a impact. -- it has had an impact. we are concerned about huawei globally and the impact on american jobs. as you know, we announced we had a profit and revenue growth in 2020. the fact this is going to be a difficult year, we are going to get through it. we are going to be hurting for a while. but we are going to come out on the other end with a whole a lot

of new technologies and innovation we have been involved with chain shery: how much -- involved with. shery: how much will charging fees for 5g patents help? andy: this is part of the larger issue in the telecommunication industry where you have standards based essential patents. we are one of the leaders in those. somewhere between 18 to 20%. there are these agreements. it is fair, responsible and nondiscriminatory. we will only make between 2019 and 2021, 1.2 billion dollars. we spend hundreds of billions of dollars licensing other people's technologies. licensing, crosslicensing. our ability to make some money, we are talking about a maximum of two dollars and $.50 per mobile devices, is not going to affect is in terms of revenue. we look at what we have invested

since 2009 in 5g r&d and what we are investing each year now with 10 -- with 10,000 employees, we are third in the world. we have to make some kind of return on that investment and come up with licensing and realty fees that are fair to the industry. we believe these are very fair. haidi: always great to have you with us. andy purdy, chief security officer for huawei technology. this is bloomberg. ♪

>> as you know, i have been speaking about the brutality for the last couple of months. i think it is very troubling. i am making no connection at this moment to the motivation of the killer. >> i think there is no question some of the damaging rhetoric we saw during the prior administration, calling covid the wuhan virus or other things led to perceptions of the asian-american community that are inaccurate, unfair, have raised threatening -- has elevated threats against asian americans. >> not just 20 years old or 30 or 40 years old, but it goes

back to the 19th century where the u.s. passed the chinese exclusion act in 1885 because of what was then that asteria of the yellow peril. shery: reaction to the shootings in atlanta. the violence that sparked questions about how the u.s. can curb discrimination and violence against asians that has escalated during the pandemic. haidi: major banks are among those taking a stand on racism. su keenan joins us with statements we have had from j.p. morgan chase and bank of america. su: they were the first banks that came out with strong stands on this. j.p. morgan chase and bank of america issuing memos to staff that state they will not tolerate racism in this follows the shootings at the asian massage parlors in atlanta that have left eight people dead. the statement from jamie dimon

said that on streets, online and in many asian small businesses were seeing physical assault, verbal harassment and refusal of services. he went on to write these acts cannot and will not be tolerated. bank of america had a similar statement saying they will not tolerate racism in any form and they will remain committed to a more equitable future by taking action to address critical issues. these were memos to staff that bloomberg has had access to. at least eight people have been injured in atlanta. six of them asian women. this is part of a growing sequence of violent events that have taken place in the u.s. that have concerned many groups including stop aap i hate, a group that tracks asian violence all the way up to the white house. they have received almost 3800 reports of hate incidents since

march 20, 2020 -- since march 2020. haidi: su keenan in new york. we know eight people have been killed in the incident in atlanta. let's take a look at what we are watching out for in terms of the market open. sophie: we are watching australian travel companies which may move after the company -- of government says in talks with new zealand for a travel quarter. we are seeing travel stocks gain ground such as air new zealand helping the benchmark. we are seeing the kiwi dollar shaking up earlier losses following the fourth quarter gdp report should that is denting the recovery. putting new zealand at risk of a double-dip recession. thinking the tourism industry will be key to -- to offset the economy. shery: will be watching the

market open in sydney next. this is bloomberg. ♪

haidi: good morning i am haidi stroud-watts in sydney counting down to asia to of his major market opens. shery: i am shery on welcome to "daybreak: asia." the fed stays dovish with jay powell signaling rates are likely to state near zero through 2023 despite an upgrade for the u.s. economy's outlook. he sees inflation settling back after jumping this year. asian stocks look po