haidi: good morning, welcome to daybreak austria. we are counting down to asia's major market open. shery: from new york, i'm shery ahn. haidi: top stories this hour, jay powell downplays the risk of higher prices this year. he says inflations will not get a hand. worries of rising virus cases and new restrictions will delay

the agree opening, oil drops below $60 a barrel amid those concerns. and, intel with ambitious plans to take on the world's biggest chipmaker. shery: here is the picture on wall street, u.s. futures rebounding a little bit after stocks fell in the regular session. reopened trains over nerve pressure, s&p 500 lowered, the russell 2000 had the worst day. put into perspective, it is the one-year year anniversary of the s&p 500 bear market bottom, we have restored 75% since then. 10 year yields down for a second day after jay powell played down the risk of inflation. oil dropping below $60 a barrel. haidi: not much of a way to celebrate that anniversary. asian markets are expecting a meager start. we do have training underway in

new zealand, about a 10th of 1%. announcing the delivery of the annual budget will happen on may 20, a budget that will be focused on the rebuild recovery process of covid-19. sydney futures pre-much unchanged, up about a 10th of a percent. we are just getting services coming in better than expected. 56 .2, up from that february number. the preliminary number. also slightly better. manufacturing also picking up pace a little bit i-57 from 66.9 in the previous month. just to take a quick look at how the rest of the inflation opening, outlooks at the start of trading growth in tokyo. in fact, we continue to take a look at the inflation outlook as well as fed policy. jay powell speaking regarding monetary policy saying inflation

is not going to be a problem for the fed or the economy this year. kathleen, staying on message here is what we got. >> absolutely, bond investors continuing to ring hands. jay powell made it clear, it may be a problem for bond investors, and his mind, inflation is not going to be a problem for fed monitoring policy. >> our best view is that the effect on inflation will be neither particularly large nor insistent. part of that is we have been living in a world of strong pressures around the world, for a quarter of a century. we do not think that a one-time surge in spending leading to temporary price increases would disrupt that. however, we have the tools to deal with it. >> this was his first

side-by-side appearance along with janet yellen. a look at what he said, it is not going to be a problem. he sees a temporary rise when you compare the big drop in inflation last year with the pandemic hit with the year-over-year increase that much bigger. that will's -- that will fade by the end of the year. i'm sure janet yellen would say the same thing. inflation has not been a problem, inflation over 2% and rising. probably for the last 20 years, certainly not now. this is why jay powell is so confident, there is globalization, technology, all kinds of things. you will see a cyclical upturn but not a structural change. not yet. shery: we also had comments from dallas cap and, what did he say? >> he move the rate hikes for the fed, to next year. look at the dots, this was the big story last week, there are

now seven fed officials, seven members of the federal market committee, you can see in 2022. combined with the people who have the rate hike by the end of 2023, they don't think the fed can wait that long. now, he has also, i think has been asked particularly after jay powell last week downplayed the importance. in fact, he said i would not read too much into this change. another thing interested about rob kaplan is from the very beginning, when it announced its framework, stay above it moderately for extended. of time -- an extended period of time. i have to look at what the economy is doing, the other forces. he is not committing to that. he said jobs and inflation are going to be important to what he decides. speaking at an online event, he has raised his gdp forecast for this year to 6.5%.

that is bigger than what the consensus is of 2.5% increase. it will be interesting to hear as time goes on in full or is also going to move into that camp of seeing right hikes coming sooner than jay powell does? shery: kathleen hays, and of course markets watching closely the inflation debate. our next guest says she is not reducing risk from asset allocation, but rather from the quality of the company she is investing in. always great having you on, the chart on the bloomberg showing how market expectations for rate hikes are increasing, earlier tightening perhaps because of the overheating concerns. even if this was not an issue, today, for example, the markets taking a hit with renewed lockdowns in europe. is this why you are switching to more quality names? >> is nice to be with you. and a time of uncertainty, most of last year, we look at where

we were a year ago and where we are today, yet how much uncertainty still exists. so, a lot of our focus in terms of how we are looking at the markets and thinking about portfolios is navigating that uncertainty. they are clearly -- there are clearly meaningful inflationary concerns. a lot of things put into the system. that will work its way through, and on the flipside, we have innovation happening. incredible advancement in health care and technology. rapid vaccine development, incredible to watch. you can see it now has such an impact in terms of visibility. so, there is a lot of innovation and optimism about that and division. but, at the same time, concern and risk around inflation and

the impact it will have on equities. so, as advisors, we need to manage that. shery: have you made any meaningful changes because of concerns of an overinflated economy? >> absolutely, this is what we are thinking about every day. and, what i would say is, in many environments you think about moving from equities to bonds. that is basic, industrywide portfolio. but, in this case, moving to such low rates and risk of rising rates is in some ways adding additional to your portfolio. we need to think about risk in each after class. we are spending a lot of time in equities, talking about how we can do risk equities to management teams, shifting value and evaluation. looking at companies outside of the united states, that we think

have meaningful growth opportunities in the short term. we are thinking a lot about the companies we are investing in and the way to do the portfolio, not just moving asset classes. haidi: i want to throw out chart, looking at some of the pillars of the reflation trade. we had to climb when it comes to oil, even though energy names are starting to outperform and do better. take a look at the small caps, the russell 2000 underperforming in the s&p by the most in about a year. to these indicators tell you that we should be listening to the fed and the reflation incidents may be coming to a bit of an end? >> i think you have to be looking at these trends and these data, small caps is a great example. there are interesting opportunities in small-cap. companies that, if you think will farewell as we come out of the pandemic.

to move back into the market again. so, there are a number of companies in the small caps space that we think are really interesting right now and we want to pay attention to. so, looking at all of that data but also making sure we are not just doing trades. not just thinking about what we might see as weekly or monthly trades but thinking about trends that we see over the long-term. that is where portfolios fare particularly well in the long-term point of view, when you are positioning portfolios to take advantage of the long-term trends. we think a lot of those trends around innovation and technology, around companies we have built we think about sustainable business advantages. that will really help them farewell, not just an evaluation trade in the short term. haidi: when you talk about international, will you liking outside of the u.s.? -- what are you liking outside

of the u.s.? >> there are number of companies we are following. i also think it is interesting to look at companies with meaningful growth opportunities outside the u.s.. think about the perspective, we are not to stinky about a company space but where the revenue is coming from. i think starbucks is an interesting example, operating in 75 countries now. and starbucks is such an example of accompanied essays so close to its customer. it went from a predominantly retail company that fear as well and the environment, commitment to the mobile app and mobile play. 17% of orders in the u.s. and 15% in china are done to the mobile app now. increasing the customer experience and the efficiency of operations. we think starbucks is a great example of a company that has stayed close to the customer and has a lot of growth opportunity as global markets expand.

haidi: always great to have you with us. you can get more on the markets and other stories you need to know to get your day going on this edition of daybreak. also right there on the mobile in the bloomberg anywhere app. still ahead, we will be live from the asian investment conference. we hear from the bank's chief sustainability officer. we will talk about the future of sustainable finance. before that, intel is spending billions of dollars to regain its lead in chipmaking. all of the details about that, next. this is bloomberg. ♪

>> you're watching daybreak australia. pfizer has begun trials of a new

pill used to treat the coronavirus at the first sign of illness. the drug is meant to be taken early and any infection replicating before the patients get very sick. if initial trials go well, they could begin much larger trials in the second quarter. and apply for emergency use authorization by the year. astrazeneca is having to update results from the u.s. study of its covid vaccine after its efficacy data was criticized by an independent panel. on monday, the drugmaker said and shot was 79% infected and preventing infections. that was based on outdated information, which gave an incomplete view of its effectiveness. astrazeneca said it will reduce -- release up-to-date information in the next 48 hours. global vaccines in the european union could be severely disrupted as the block prepares to tighten rules. the eu will have more power to south bend to factor instead of

-- self manufacture instead of sending abroad to get its vaccine supplies. this follows tensions with the united kingdom over astrazeneca deliveries. a poll in israel shows no clear winner between the prime minister and his opponent. his party captured 54 to 55 of the parliaments 120 seats. if those efforts fail, israel could face a spent election in two years. final results published thursday or friday. senior u.s. officials firing short range missiles. that represents kim jong-un's first direct challenge, although considered to be on the minor end. global news 24 hours a day, on-air and on bloomberg quick take, powered by more than 2,700

journalists and analysts in more than 120 countries. i'm vonnie quinn. this is bloomberg. shery: intel shares are surging and post-market trade after the company revealed an ambitious plan to regain its manufacturing lead. the chipmaker is earmarking when he billion dollars to build new factories and trade a business that will make chips for other countries -- other companies. the strategy puts intel in direct competition with the world's most advanced chipmaker factors. ed ludlow has more, this is quite a u-turn from abandoning in-house manufacturing altogether. ed: on the idea of outsourcing to manufacturing, wall street expected a move where intel would outsource more than it currently does. but it is doubling down on domestic production. those two new plants in arizona

are going to be adjacent to its facility. it is going to see the company manufacture chips for other companies. what people do not understand, we look at all of the chip stocks that we talk about, many of those companies just design and license the design of semiconductors. they outsource manufacturing. it is widely regarded as the world's best manufacturer. it manufactures chips, both for competitors of intel and also from intel customer. there is competition that is going to be happening longer term. they were eyeing a new factory in arizona. based on the movement, taiwan semiconductor being down 4.8%. there should be some kind of ship, all semiconductors not focus so much in conversations

we have had in recent months. haidi: you can see intel very much at the bottom when it comes to the stock performance, in fact, the leaders of that pack. you talk about the impact on the supply chain, how does this reverberate? ed: we have the lines out, the college is finished. effectively, the first thing is intel is going to go looking for customers. call those names like qualcomm and apple. it was interesting as well, there is a second story happening, you see the likes of apple and google designing their own ships and eating something to build them. intel wants to get in on that business. the biggest story and for decades, not just the last five years, decades that intel was on the forefront. how you manufacture a

semiconductor heavily impacts the efficiency, cost effectiveness of the final product. in recent years, intel has fallen behind. we managed to get ahead. leading to better products. if you look at the commentary, they're basically saying this is well and good. and now has grounds made up, the factor, the equation with the investors. haidi: ed ludlow with the latest . coming up, the latest results are affected to show growth of a focus on increased on sin tech players. it will get a preview next. this is bloomberg. ♪

shery: appendicitis said to report -- pendant fed is set to report fourth-quarter earnings. a broader drop in the tech stocks could be a higher by beijing's crackdown. there is a look at the chinese giants rise and what comes next. >> china's most valuable company, at over 2.3 billion accounts registered across the platforms. here's a quick glance at his past. in 1998, it turned profitable within three years. and amassed more than 219 million users on its messaging service. its biggest turning point was arguably the introduction of its mobile messaging app, we chat, which coincided with the explosion of smartphone

adoption. this is in the hands of hundreds of millions of monthly active users across all platforms to more than 1.2 billion people. shares are up over 80,000% and revenues have grown a staggering 400 times. in the fourth quarter, it delivered profits, giving a profit margin of 35%. some don't necessarily align with its core businesses. according to one estimate, it has put over 23 billion under which, some, had themselves listed and now command multibillion-dollar valuations.

together, they are worth a combined $850 million. but, with chinese authorities stepping up the scrutiny across the sector and cracking down on the novelty, it is not clear if companies will still have the same freedom to expand. so what does its future look like? the company could find itself at another major crossroad. analyst to cover the stock are still bullish on the company's future. haidi: let's get more on their fourth-quarter results due out on wednesday. our hong kong correspondent always with us. steve, just a threat of oversight, wiping out hundred $70 billion worth of value when it comes to tencent stocks, is this going to be about the search for new areas of growth we are looking at? >> of course, they are investing billions into other areas including cloud and autonomous

driving and other issues. of course, the gaming division is their biggest revenue generator along with advertising through we chat platforms. keep in mind, this is a platform that has such immense reach across china. and, the regulatory scrutiny over its fast-growing business is a huge cloud of uncertainty that investors will have to digest. however, and again, this is a big however. in the fourth quarter we are looking at with the results later today after the markets closed in hong kong, is expected to be another robust quarterly. of growth. it would be the second-fastest in almost three years. a question on the income fund is can they keep a lid on expenses

like video streaming, which is going head-to-head with others. revenue is expected to increase by 26% year-over-year. we will have a look at the advertising and the we chat platform. gaming is expected to continue its momentum. we are expecting another 43 do game titles for 2021. the big question is about any guidance on the scrutiny and was going to happen to the sin tech division? shery: on regulatory crackdowns, any updates? >> earlier this month, they said they are going to go after these platform companies that have amassed too much data and market power. that is why we are concerned, the market is concerned about this. they generated more than the total -- more than a quarter of total sales of revenue.

bernstein record -- estimates that the division is worth a hundred 25 million -- 125 billion. this is micro loans through we bank, it is a big part of the business. haidi: coming up next, we will be live from the asian investors conference. an investors conference.

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>> you're watching daybreak australia, on vonnie quinn. fed chair jay powell sees rates rising this year but play down the risk of unwanted inflation. he said pence up demand, supply chain and a low bank will cause a temporary bump in prices. he testified along with janet yellen on the government's response to the pandemic, both are sent to speak again on wednesday. >> our best view is that the effect on inflation will be neither particularly large nor persistent. part of that is we have been living in a world of strong

disinflationary pressures around the world for a quarter of a century. and we don't think that one-time surge in spending leading to temporary price increases would disrupt that. however, we have the tools to deal with that. >> in the meantime, oil tumbled to its lowest since early february afternoon lockdown measures and to the prospect of speedy recovery. futures plunged below 50 day moving averages for the first time in months. the future is also collapsing into a selloff. that the latest of an otherwise remarkable price recovery. china has already purchased a third of what it is promised to buy under its trade deal with the u.s.. putting is behind on his two-year commitment. china is around 120 $3 billion worth of agriculture manufacturing and energy goods since this deal was signed in january of last year.

global news 24 hours a day, on-air and on bloomberg quick take, powered by more than 2,700 journalists and analysts in more than 120 countries. i'm vonnie quinn. this is bloomberg. ♪ shery: the virtual asian investment conference continues on wednesday. we will bring you exclusive coverage here on bloomberg tv. it brings together high-profile leaders and investors in hong kong. we are joined by our first guests of the day. >> good morning, we are joined by the chief sustainability officer at suites. thank you for joining us. i want to kick off with your sense of the recovery that many are calling for in the wake of the pandemic, we see things like electrification and harmonization getting more traction, what conversation are you having with clients on this front? >> overall, an enormous amount of interest from clients in all

shapes and flavors. wanting to participate in just broadly defined. the recovery from the pandemic, the transition as we invest in transitions and net zero. is going to be in the fall this year in glasgow. we see company after company committing to net zero. pretty much across the board, there is an enthusiasm to try to get us to a better carbon future. >> where is your enthusiasm? which companies do you see standing out? is it reflected in market performance? >> one of the things that was gratifying i think for us was that during the depth of the crisis and through the recovery last year when we had a bit of a rebound, you saw systematic outperformance of funding

strategies. and, it expressed in many different ways. so we saw almost a linear outperformance of esg leaders. industry by industry. it doesn't matter whether you are looking at health care or renewables, companies who had the highest outperform. but also, strategies outperformed benchmarks in virtually every asset class. that is given confidence for many who work in the space. >> where else could more money be put to work? where the hidden gems, which companies stand to have higher valuations to reflect their sustainability goals? >> there are so many places where we are seeing the opportunity presented itself. i love this disruptive category when you look at companies who

are attacking problems either environmental or social with a mission driven business plan that also have profit-making. they are poised, parts of the new generation of investors. one of the sectors we are talking about in-depth is -- at the asc is the alternative food movement. we know the way we produce, consume and waste food is not sustainable as the world is going to double in population. it is a huge issue, things like water scarcity. so, there are number of companies trying to impact this sector. something that has already burst on the scene is cultivated pieces grown from stem cells from animals and fish. you need virtually no water, no land, deforestation and things during this pandemic that are unnecessary when you look at the space, no hormones or antibiotics.

so, it is pretty exciting as one of the key trends. there are so many others. you touched on electrification in your opening comments, the world needs electrifying. anything on electrification trends, also new sources for breakthrough energy and on it goes. so, if you're an investor, there is a rich playground for you to get involved in valuation space. >> there are big adjustable markets emerging on the others, to require more incentives toward sustainability, mission alignment, financial segments, regulatory. >> there, you would look mostly toward the high carbon in the industry. whether it be fossil fuels, automobiles, shipping ability, building materials. these sectors, and some cases we

don't have the technology to actually get us there but we need to encourage investment on half of the transition. and there, and some cases we to reorient subsidies which are preventing some investments and carbon industries. and other cases, we just need to continue to invest in technological innovation. in other cases, we need to invest in process improvement. tweaks to business models can make a big difference. it is across the board, but what we need to think about is the solution. we need the private sector, the capital, regulators to provide. and we need, effectively those of us with any choice is to think about those choices helping us along the journey. we need to involve pretty much across the board participation. >> what is your response to

greenwashing criticism? recently, the former cio of sustainability investing at blackrock said that esg is nothing but a sham marketing, disingenuous from the investment community. what is your response? >> i wholeheartedly disagree that that is the case. i think what you need to do as an investor is look very carefully at what company is saying in terms of who you are investing in. how transparent are they. looking under the thumb hood -- looking underneath the hood. to understand when a company is there with an empty promise or when it is backed by substance. one thing we are seeing when you talk about regulatory intervention is a desire on the part of regulators and politicians to be more transparent. also the consistency of disclosure so that when

investors are looking to try to understand whether a company's mission aligned, whether they have a transition plan, today, you don't have commonality of this information. so, it is difficult to pick and choose between companies based on data that exist today. what we are seeing is a very big movement both in terms of voluntary disclosures and, almost industry pressure or the design best practice and also regulators doing their part to make mandatory disclosures part of the equation. that is going to go along way to giving investors confidence and having them have the ability to make these decisions. >> they cue. as you said in the past, it is not altruism but also having more of an impact on investment and sustainability space and profit.

thank you so much for joining us . back to you in the studio. haidi: asia is booming as a key market for millennials, that has been driving up demand. of sale and hong kong in london this week. the ceo spoke exclusively to bloomberg at the asia investment conference. >> for the first time ever, here in 2020, the asian market, we had more buying value coming from asia then from any other country. so, the markets in asia, is reliably very strong. many new collectors and clients, especially millennials, it's a fascinating process to observe. it is now a key market for us.

>> what are they buying? because it has evolved, hasn't it? >> 1018 years ago, the asian market, now it is completely diversified. in the asian buyers are more modern than what we are buying right now. that is why we are continuing the markets in asia with hong kong as a market for itself. it's an additional market we are addressing from europe to the u.s.. we all know every year, taking into account what people do and build in asia. >> who is hot right now? >> the concept of things people are looking after for sure, over

the last 20 years, the categories, we represent more of the markets. >> what is interesting, this is a global phenomenon where now it becoming interchangeable. >> absolutely, it's a global phenomenon and as you said, i think the way people collected by, has changed completely. people collect cross categories, they are thinking more openly about what they want to buy. and we are, ourselves, rethinking the way we get our offerings to reflect these states and the way that people buy differently. shery: speaking from the asian

investment conference in which bloomberg tv is the exclusive media partner. later, the ceo of rocks and sue, we also speak with the atm president. up next, gamestop after the retail trading favorites missed on earnings. it bring in a tech veteran from amazon as its number two. we will discuss. this is bloomberg. ♪

shery: time for morning calls ahead of the asian trade a day. we are watching u.s. treasuries, bank of america says we might see a $41 billion rebound. the recent rally in equities and stop on selloff means it will be large. $88 million flowing out of equities. going into corporate bonds. haidi: i'm watching commodities, u.s. crude falling further in the interim. renewed lockdowns in europe on the demand breaking below in the session. speaking of volatility, after posting disappointing earnings, gamestop is looking to make good on the comeback plan that helped

turn it into the meme stock. tech experience, part of a push into e-commerce. joining us now to discuss, the managing director of equities research. great to have you with us. this is the first time we have seen two worlds colliding, the social media reddit phenomenon and what the actual company is doing. >> we learned that the red army -- the reddit army was waiting for a strategy and didn't get it. we heard that the company is going to mix up the executive suite, so we had a second big departure today with the chief customer officer. the cfo was announced a couple weeks ago. and then the appointment of a coo.

certainly, shaking of the management suite. and they will give us a strategy one day. but i think the reason for the stock selloff has nothing to do with the earnings themselves, instead i think it is because the strategy wasn't really defined. and because the company took no questions on earnings. i don't have a callback scheduled, they are not talking. and i think the retail investor who is hoping that ryan cohen would come up with cannabis dispensaries or something, they didn't get that today. i think the selloff in the aftermarket just reflected disappointment that there is no delineating strategy yet. haidi: will the disappointment be sustained? they are not taking questions, they not giving indication of where they are going. >> the fundamental thesis of the

retail investor here is that shorts are going to keep shorting. i think that is actually a reasonable conclusion. the initial set up, i will go with his roaring kitty name. the poster, he analyzed the short squeeze perfectly. it was flawless. if they shorted the stock at 20, what did they think of it at 200? this is the gift that keeps giving to the reddit army, and they can't help themselves. they keep coming back. and shorting at a higher level. you saw that partially in february drop back to about 50. fundamentally, it is not worth much more than 20 or $30. you can't come up with earnings based on a navy strategy that supports a share price of 20 or

$30. i am willing to give ryan cohen some credit, he brought in a former amazon executive as coo. maybe they will have same-day shipping and hundred $19 prime memberships for gamestop. but i don't know what he is going to do. i wasn't kidding when i said cannabis dispensaries, it is possible he will come up with some related product like red bull, taco bell, that they can sell and the stores or offer promotional partnerships with. cannabis is a joke but not really. i do not know what this transformation is going to involve. shery: is what you are saying that just focusing and expanding on e-commerce is not enough? they need to expand their product? >> that's right. and remember, ryan cohen is the cofounder of julie. i have two big dogs. my 120 pounds worth of dog eat

30 pounds of dog food a week. so, i am constantly in the market for dog food. games do not work the same way. we are not buying $30 worth of games every week. of course there are dog treats and toys and leashes and that, but i don't think his experience is actually all that applicable. then again, i was skeptical when they took over best buy. he did a phenomenal job turning that around. maybe he is the right guy, i feel bad for george sherman. he put his team in place, ryan cohen is dismantling it one by one. we will see, i want to see the strategy before i weigh in on what they really can do. shery: to be fair, you don't need 200 pounds of dogs to be in the market constantly. i has seven pounds and it keeps me on julie trying to get that dog food. management is not addressing this retail frenzy and who can

blame them? mc did not do it, either. when you are the ceo, how do you take this? how you take the stock rallying to unprecedented highs? how do you do it? >> i get new lawyers. their law firms are terrible. they were apparently advised that it is wrong for them to issue stock, i would issue is much as the market would absorb above $200. there was a cryptic statement and with they filed after the market close that they are evaluating whether to increase the size of their market placement. amc wasn't shy at all. the better question is, what are the insiders doing? why is ryan cohen still there? he bought his stock at eight dollars, when he paid eight dollars? did he think he would make 30, 40, 50, certainly not 200 or 300?

why are they still paying out? if you read about the department -- the departure, he had $75 million in severance pay worth $2 million a year ago. why is anybody staying? i don't understand. shery: michael, great to have your thoughts. you can also turn to your bluebird for more on gamestop's earnings. go to get commentary and analysis from bloomberg costs executive editors. also be sure to turn into bloomberg radio to hear more from the newsmakers and get in-depth analysis from the daybreak team, now broadcasting live from our studios in hong kong. listen on the outcome of bloomberg plus or bloombergradio.com. buddy moorehead, stay with us. -- plenty more ahead, stay with us. ♪

shery: citigroup is the latest bank to fight the pandemic, ceo -- the ceo is banning internal zoom calls on friday and encouraging employees to take vacation. citi is the latest bank to address concerns of working hours. lastly, the golden -- the goldman sacs ceo promised to do a better job of keeping young bankers out of the office on saturday.

other global banks giving up their office space and hong kong. the company is surrendering to floors on properties. southeast asia's biggest bank is the latest in a spring of companies to pare back its base in one of the most expensive office markets in the world. robinhood is set to file confidentially for an ipo. our sources say the company could go public as soon as next quarter. but, they also warned the timing could change. bloomberg news earlier reported that the trading app had chosen nasdaq as the venue for its listing. intel unveiled an ambitious plan to regain its chip manufacturing lead. they are also making a founder business that will make chips for other companies. putting incorrect competition with taiwan semiconductor.

intel is playing for more factories in the u.s. and europe. they pledge to make the majority of chips in-house. we will hear more from the intel ceo later, don't miss our interview at 1:00 new york, four in sydney. haidi: but take a look at stocks we are watching. we are getting the start of the commission beginning today, also a bit of the downside getting minister for crown resorts taking months to get necessary approval. that is a bid for crown resorts that it doesn't already own. we are also watching the side bank. raising concerns about their risk government processes, assets after the breach. finally, the insurance in australia, minimal impact on

insurers and other national disasters, improvement in the weather outlook here. let's more to come, this is bloomberg. ♪

shery: -- haidi: very good morning. i am haidi stroud-watts in sydney. shery: i am shery ahn in new york. welcome to "daybreak asia." jay powell continues to downplay the risk of inflation, saying it will not get out of hand. janet yellen says deep pockets of pain persists in the economy. ambitious plans to take on