haidi: a very good morning and welcome to "daybreak australia." we are counting down to asia's major market open. shery: the top stories this hour, fed chair jay powell set to play down inflation risks when he testifies on capitol hill, but some influential voices are urging the central bank to start tightening. haidi: u.s. stocks staging a comeback as investors say the

fed will scale back stimulus at a gradual pace. energy financial and industrial shares outperforming tech. shery: and our exclusive interview with asia's richest person. he talks about the business outlook, the push for sustainability, and the global response to the panama. -- to the pandemic. >> the world has suffered, but ultimately what will triumph is the human spirit. shery: we are saying u.s. futures gaining a little bit of ground. this, after stocks rallied in the new york session. market rethinking the fed's hawkish tone. small caps climbing more than 2%. also had a risk-off mood with 30 year slumping below the 2% for the first time since february. also watching wti coming back

higher, extending gains after we saw the best day in the month. u.s. all-time spread strengthening indicating a tighter market. everything right now pointing to perhaps more rallies in the u.s. stock market and risk assets. goldman sachs saying an additional $500 billion of u.s. stocks will be bought by households and corporations through year-end, given a lot of people are sitting on a lot of cash right now. haidi: yeah. the question i suppose is where else do you said -- do you deploy that money? just about everyone we speak to says equities are on the board. i suppose the question is which pocket of the market? we know expectations are asia it will take a little more time to really work out what the tapering path looks like. we are expecting a rebound today. one of our regular guests from ig saying if the curve continues to flatten, if the tapering talk continues, we might eventually see that shift back into u.s.

large-cap growth check, which we did not see overnight. and all this goes back to the inflation debate. lots of influential voices are calling for the fed to be more attuned to price fix, even with chair jay powell said to repeal his -- he's expected to say price pressures like like -- likely drop towards the fed's long-term goal. but not everyone agrees. >> it would be healthier again, as we are making progress in weathering the pandemic and achieving our goals, to start adjusting these purchases. treasuries and mortgage-backed securities sooner rather than later. >> there is upside risk to inflation. could go higher than what i have outlined here. we have to be ready on both sides, i think, to be able to react to that. >> much of the consensus of professional economic forecasters in february was we would have inflation just above 2% this year.

we have already had more inflation than that in the first five months. >> it is easy to say the fed should tighten. and i think they should. i think he will see a very sensitive market and a very sensitive economy. because the duration of asset has gone very, very long. shery: to discuss the broader market implications of this, head of allocation strategy at wells fargo. always great having you with us. we saw that huge rebound in the new york session. showing the magnitude of that rebound. the s&p 500 has the highest centage since april of 2020. really quite a rebound, given that we just heard some hawkish rhetoric today from central-bank officials today. what is the catalyst here? guest: the catalyst is probably

the volatility we saw last week. after the fed came out last wednesday and we saw their dot plots changed. there was market reaction to all that. we thought that market reaction was probably a bit overdone and we were telling investors at the time it was a good buying opportunity and it looks like we were probably not alone in that idea. shery: that goldman sachs call that there will be probably $500 billion of u.s. stocks bought by households and corporations, do you buy into that? is there that much cash sitting idle right now? tracie: there is a lot of cash on the sidelines right now. through the end of april there was $3.8 trillion sitting in money markets. of course some of that is going to go towards retiring debt. some of it will go towards large

purchases. but some of it will be earmarked to go into the markets. and we think the best place right to be investing is in the equity market. haidi: where do you see the duplications then? on the one hand there is concern about ending up holding too much cash. on the other hand, say there have been pockets dislocated that are unusually stretched. tracie: there are. in the proliferative areas of the markets there are some names that are probably overvalued at this point. in terms of the sectors that we like, we do like cyclical sectors. we continue to like those, things like industrials and materials, communication services, we like financials, materials. all of those perform well. but we are underweight things like utilities, more defensive type stocks.

haidi: for example industrial yet we saw bank stocks falling the most in over a year. is this kind of the demise of the reflation trade or are we going more to and fro in a p eriod until we know with the clear picture is with inflation? tracie: it is probably going to be some back and forth here. we are in a period where we are probably seeing unsustainably high inflation levels, but we would expect inflation to remain elevated not just this year, but into next year as well. and perhaps even elevated closer to the fed's target than what we saw over the last decade. haidi: always great to have you with us. true segment million -- tracie mcmillion there. vonnie: china's imports of american goods slowed in may, putting beijing's targets from the phase one trade deal even further out of reach.

china bought almost $10 billion worth of manufactured agricultural and energy goods from the u.s. last month, the lowest since last october. almost $157 billion, only about 40% of the target agreed in the trade deal. iran's president elect demanded an end to u.s. actions, calling on washington to return to the 2015 nuclear court. in his first remarks since his landslide election victory, he suggested he would work to revise the deal abandoned by the trump administration. iran and it sixth round of negotiations a sunday without a breakthrough. the next round of talks may be the last. hong kong's apple daily newspaper may be forced to shut down this week, with the parent company blocked by police to accessing their bank account. in an internal memo, the company said online news stop friday night, and the final print addition would be sunday if the

funds remain present. police arrested the paper's top editors last week. the tokyo olympics will cap spectators at venues at either 10,000 people per event or 50% of venue capacity, whichever is smaller. that means japan's national stadium will be less than 1/6 full on july 23. the aim is to reduce the risk of the world's biggest sporting games turning into a super-spreader event. global news 24 hours a day on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm vonnie quinn. this is bloomberg. haidi: coming up, our exclusive interview with the richest person in asia, mukesh ambani explains his company's transition to a sustainable business model. and senior executives are heading for the exit. details ahead. this is bloomberg.

♪ is is bloomberg. ♪

haidi: asia's richest person plans to transform every part of his refining to retail empire as he chases a net carbon neutral goal by 2035. speaking to bloomberg, the indian billionaire said every country had suffered during the pandemic. still, some were being left behind. mukesh: well, i think that covid is a once in a century humanitarian crisis. the world was not prepared for it. the prices tested the resilience of mankind. the world has suffered, but ultimately what will triumph is the human spirit.

we've seen unprecedented global solidarity. the unthinkable has become possible. no one could have imagined that the world would produce a vaccine in less than a year, and vaccinate the whole world in a couple of years. so, i think that in commerce and global economics, we have a lot to learn. and more and more of the unthinkable is going to be possible. even if you take as an example, we in india it will never forget the friendship during this crisis, where it moved beyond commerce. we even used all of their passenger aircraft to get medicine and supplies to india in time. and what this has shown is that

qatar will be a smaller nation inside, but it has a very big heart. i think purpose and compassion is the way purpose direct -- the way forward. that is going to get all of us, as humanity, together to integrate and make sure collectively, we can be actually dealing with global problems as one and help each other moving forward. to my mind, this, fore t -- for the global economy, is a fork in the road, and gives us an opportunity that together we can achieve a lot more. haslinda: given that optimism though, there are challenges. what do you view as the biggest challenges at this point in time as we emerge from this pandemic? mukesh: well, i think that the

challenges first are really to make sure that we get rid of the vaccination divide. it is critical the bulk of the population be vaccinated by the end of the year. we in india have taken many steps. we expect that by the end of this year, first quarter of next year, we will do very well. it is the whole of humanity we have to make sure we are all in it together. the second challenge for all of us is to make sure that we bring back the economies particularly in the more developed come -- developed countries, which have not had the benefit of stimulus, have not had the benefit of

government money. by really supporting the whole global economy to come back and to grow, so that we are able to grow the whole world in a sustainable way, and not only bring back developed economies. towards that, all of us in industry, government, and civil society, will have to work as a coalition, not only for our own country, not only for our own company, but for the global economy. shery: reliance industries chairman mukesh ambani speaking exclusively with haslinda amin. stay tuned for much more from the qatar economic forum, powered by bloomberg. plenty of big names joining the event. we will bring you the best of them here on bloomberg television. let's turn to some banks, and bloomberg learning four of hsbc's top investment bankers in new york are headed for the

exit, as london restructures its global consultants on asia. let's get more from our wall street correspondent sonali basak. how did the executive departures fit or do not fit with the strategy for investment banking? sonali: it is a great question, because we know hsbc is really changing its footprint, trying to focus on its most profitable areas and where can be competitive, in asia in particular. how can they better serve those clients in asia? that is what a lot of this will be about. they're not trying to cut down the investment bank so much they will not be adding talent, but when departures happen, it certainly does create a lot of noise. haidi: meanwhile, the business of trading is heating up on wall street as well.

latest moves playing a part of this. so why are we seeing this? sonali: it is so interesting between hsbc and ubs, you are seeing so much migration. really every bank, but for ubs, what is happening is they have hired two executives from morgan stanley to lead the bank hub in the u.s. hedge funds and other clients have trading handled through banks like ubs, or jeffries, or wells fargo. now it can be as many as half as all clients in these firms using outsourced trading to keep their own costs down. that means they can be using trading services for the markets based trade outside of their own business hours. they can be using outsourced trading for other reasons, such as compliance, or just faster trading areas where their

technology is not strong enough. so it's a function of costs going up. haidi: wow. such an interesting change to the way that business model operates. cinelli bostick with the latest. next, bitcoin seeing another steep drop,. we will be talking about signs of deja vu, next. this is bloomberg. ♪ is bloomberg. ♪

>> i believe that many of those industries should be in the regulated world. they should follow the same bsa, the bank secrecy act requirements, know your customer requirements. they should not be the equivalent of secret swiss bank accounts. as long as we do a lot of work,

and that was being done at the g7 and g20 as well, i think the idea is to make sure we crackdown on financial terrorism so it cannot be used for ransom attacks and other illicit activities. shery: former treasury secretary steven mnuchin there on cryptocurrency. a slew of news, from china triggering a bitcoin selloff as well. the largest digital currency fell 10% to above $32,000. chart watchers say it could go lower from here. su keenan joining me now. let's start with how china's regulatory stance is rattling traders. su: we can see the volatility just not giving up. it has been a rough ride from the start of the year, and the main route getting worse. if you look at the last four days you see this rattling of traders, four straight days in a row, bitcoin and a lot of the other coins have gone lower, as china has renewed the call to

crack down on the use of cryptocurrencies. in this latest effort they have called all the banks together to warn them again, they are not to offer any services in bitcoin. if you look at the big picture for cryptocurrencies, particularly bitcoin, you can see the rally, we were up some 500% december to the peak, has really been chilled by this latest round of news. shery: this sort of volatility though is nothing new. su: if you go back in the bloomberg, 2015 to 2018, we did see a similar rally, and then it pulled back. and so, there's questions of, hey, we recovered from that one, can we do it here? a real cross-section of opinion on that. haidi: they are calling that that cross. why does that mean lower crisis ahead? su: if we look at the death cross, when the 50 day moving

average falls below the 200 day moving average, that presages lower prices ahead. that is what is expected. a big drop off here. it's compounded by several different factors. there are some that say we saw a death drop in march of 2020, it ended up evolving into a golden cross and setting up these big gains. but let's take a look at one more bloomberg chart, which is really compelling. because the edge we have seen in so many of these cryptocurrencies really giving back a lot. big crypto, the original bitcoin, it's down some 40% in the last two months. now we are seeing it almost on par with some of these commodities. gold, oil. the pain a lot of the crypto traders are feeling is all the heavier. shery: that chart is pretty dramatic. su: yeah, a lot of red. haidi: a lot of red. it is a little scary.

but anything can happen in this bitcoin journey. su keenan the latest chapter of that. let's get you a quick check of the latest headlines. chinese recruitment firm 51 jobs is going private in a transaction valuing it at about $5.7 billion. a consortium reached a deal to buy the company for $75.05 a share. it's expected to close the second half of 2021 and be one of the biggest buyouts in the u.s. since -- exxon mobil is said to be preparing to cull white-collar jobs that u.s. officers. a performance evaluation system will identify low performers and cut 5% to 10% annually for the next three to five years. they have 72,000 employees globally at the end of last year, 40% in the u.s. jp morgan's asset management arm is buying an investor in a bet

on the growth of carbon offset markets. they focus on timberland and national resources. the deal should be completed in the third quarter. financial terms have not been disclosed. shery: take a look at the markets right now because we are setting up for the asia major markets open. when we are looking at kiwi stocks, they are gaining ground, about .25% right now. this would really be reversing the losses we saw on the previous session. and we are watching for some data in new zealand as well when it comes to the westpac second cormorant -- quarter consumer confidence. we are watching for those numbers. when it comes to sydney futures, nikkei futures, upside for those two market. not surprising given we saw the worst space for february in japan. haidi: we have to keep watching out for these reflation traits. is this really the end of the rally we have seen in banks?

we saw australian banks following the most in over a year. lots of analysts saying it will take some time to work out exactly where this tapering journey leads. in the meantime, if yields keep complexion -- keep compressing, you could see a resurgence of the popular trades over the past 10 months or so. maybe even the banks will come back. shery: i really want to go with what goldman sachs called, as we are going to see that additional $500 billion of u.s. stocks are being bought by households and corporations, given so much cash has been sitting idle during the pandemic and has been accumulating. that is really something to watch out for as we continue to see this volatility in the market. coming up next, logistical challenges threatened to delay the latest batch of vaccines promised by the u.s. we will have more on that. this is bloomberg. ♪ is bloomberg. ♪

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>> you are watching "daybreak australia." jay powell is scheduled to speak later tuesday for rising prices will be in focus. powell says inflation has picked up but should move back towards the feds super target once the balance is resolved and he remains optimistic on the outlook for employment, saying job gains should pick up in the coming months. a chairman says plans to transform each of the units

under his refining to retail conglomerate as he chases a net carbon zero goal by 2035. asia's richest person told the economic forum that sustainability is the only option for the business. india's most valuable company got 60% of revenue last financial year from its hydrocarbon energy operations. >> we have adopted this full heartedly. transforming to be sustainable, circular, recyclable and fully transparent for social and government standards and that is a prerequisite for every business to survive as we go forward. haidi: hong kong is set to shorten its mandatory hotel quarantine, using some of the strictest order curves. starting june 30, fully vaccinated residents can

quarantine for seven days instead of the original 21. the plan will be extended to nonresidents in late july. the tokyo olympics while cap spectators at venues. the number will be set at either 10,000 people per event or 50% of venue capacity, whichever. that means japan's national stadium will be at less than 1/6 full for the opening ceremony on july 23. the aim is to reduce the risk of it turning into a super-spreader event. those were your first word headlines. haidi. haidi: staying with the covid pandemic, millions of vaccine doses promised by the u.s. facing delays. some shots from astrazeneca still facing the safety review. the biden administration has laid out more details about where the vaccines will go. michelle cortez has this. even once you get past the

politics of these donations, we are still seeing these delays. was this expected? michelle: it was not expected in terms of believing they were going to need to create these vaccines. there have been stockpiles of vaccines in the u.s. and we heard from many people frustration that the u.s. had vaccines going unused, in some places, expiring. if you think a little bit more in depth about this, it is a huge logistical hurdle to get these vaccines in certain places. not only do you have to do the right refrigeration and freezing, but there -- they are having a lot of issues making sure they have the right needles, antiseptics, and that people are set up to receive the vaccines that are coming and we know there have been issues, particularly with the astrazeneca vaccine. it is still being reviewed in the u.s., so that is slowing

things down a bit. kathleen: -- shery: give us an update on the spread of the variants. michelle: we are seeing increasing numbers of the delta variant, and we are seeing an increase -- an uptick in outbreaks, particularly where vaccination rates are low. we know that a number of these variants do make the virus more transmissible and as a result, it increases the number of people infected, especially if they have not been vaccinated. when we are looking at parts of the country where 50% of the adults are vaccinated and many children have not yet started in that process, we are seeing outbreaks among kids who are showing us they are already quite sick. officials are quite concerned about that. shery: how effective are these

existing shots against these variants? michelle: the vaccines we have are believed to be very potent against the variantd. -- variants. you need to get both shots, the mrna vaccines, or even in other places, the astrazeneca vaccine, you need to get both shots and then you need a period of time after you have gotten both of the injections for your immune system to get to full force against the variants so that is the issue here. a lot of people are feeling somewhat protected because they started the vaccination schedule and are not yet fully protected. the virus is more transmissible so if you have any lagging effort, any lagging protection, that's going to make you still vulnerable to the virus. haidi: michelle cortez with the latest. after a period of relative stability, there is yet more changes to political leadership in australia.

he was reelected leader of the nationals on monday. that is the junior college and partner in scott morrison's coalition government. paul allen is here with the details area he is a survivor. paul: yes, he is. michael mccormick was in the job for three years, really failing to cut through, but he is not lacking. the international view is best known for the war on. there's -- war on terriors. he australia, he's better known for leaving his wife of 24 years after it was announced he was expecting a baby with one of his former staffers. also well known for being forced to resign. being a dual citizen was not allowed under the constitution. he is a polarizing figure and he made his move because the numbers in that caucus are about to change and this was the last roll of the dice to get the leadership and it worked.

shery: is this going to mean any changes for government policy? paul: we will wait and see but he does drag the chain on climate policies, a big supporter of fossil fuels. looks more distant today than it did 24 hours ago. the prime minister, scott morrison, said in a written date meant that he looks forward to working with joyce. all of this happened while scott morrison was in quarantine after turning to the g7 meeting in britain. climate policies got a lot harder. the risk of political sideshows has increased so it is difficult to imagine the prime minister celebrating that development. shery: paul allen with the latest from sydney. coming up next, the annual prime day sale. this is bloomberg. ♪

shery: i'm gearing up for prime day and of course, it is starting today for two days. i have not bought anything as of yet but i'm going to go home and get on the app and see what is out there, but now, people saying that perhaps the deals could not be as generous as before so i'm a little bit

cautious right now. haidi: we are hearing that the deals are going to be stingy year, that they might not be as much inventory or products to choose from and we know that costs have been rising. advertising has taken a bit of a hit and i'm also seeing reports that may be some of these retailers are holding onto stock in case there is a shortage issue come christmas. shery: it has been difficult to -- for merchants to time this. used to be july and now it is june and remember last year, got really pushed back because of them pandemic as well. -- the pandemic as well. haidi: there's $12.2 billion to be spent during this sale so i do have to wonder, is it just more about the excitement? if you don't even need anything, are you still going to get online, get on the app, buy something? shery: they say it's sales and deals so i will get involved. it is not just amazon hit walmart, target also has deals.

haidi: alibaba's big shopping day as well. i'm sure you can find something for the puppy. shery: definitely. haidi: let's get some professional analysis now. she joins us. the exuberance aside, the excitement and pr aside, are you expecting a bit of a downturn in terms of these inventory issues, advertising, weighing on what will be available and with the end result of prime day will be this year? >> i think you hit the nail on the head when you mentioned that this year is somewhat unique in the sense that i think the pandemic really created supply chain issues which leads us to believe that there's going to be some inventory issues. we know that the labor strategies that happened, the

material shortages, semiconductor and plastics, all of those things i think really have an impact. that being said, i think that this year is still going to be a record year. just based on the fact that there is a lot of excitement. amazon has done a phenomenal job in terms of whipping up a consumer frenzy. stimulus checks do not hurt. what we have seen this year is that deals are quite expansive. third-party sellers because you know it is a critical part of the mix at amazon so the big question is how much of an impact and promotion are we going to see given the supply chain issues we alluded to earlier? >> right. they had record profits.

they can afford to discount. >> indeed. the steepest discounts we see on those amazon devices, echo, fire tablets, etc., streaming devices, on top of that, we are seeing a lot of other non-amazon branding discounts so the question is going to be how much impact the consumer feels to be making this purchase. this is the first time they are having this event in the second quarter. last year was in october. jumpstarting the holiday shopping a little bit early. this year remains to be seen. >> this seems to be all to drum up sales through their amazon

prime service. how much growth potential is there still in the prime service in getting those prime members? tuna: it is huge. i would think amazon can get to the next 100 million prime memberships on a much faster pace than we saw the first two hundred. consumer engagement on prime video is off the charts. the perks have never been more compelling. one day delivery is a huge part of that. you guys talked about other retailers trying to one up each other. walmart, best buy, but amazon has really done a phenomenal job in making that value proposition to be very attractive and much of that drops to the bottom line. shery: let's talk more about the regulatory aspect of this when it comes to amazon because we have seen some antitrust moves.

other states looking into potential regulatory measures against the company not to mention the global minimum corporate tax. they want to include amazon. how dark are the clouds the company? tuna: -- clouds for the company? tuna: that is one of the potential overhangs when we talk to investors, the big tech issues, but you know, our take is that these are not -- these do not create immediate risks to the fundamental outlook. this is something that will take a long time to play out there's been a lot of chatter about potential wake-up of aws and amazon but that would not be the worst thing in the world so i would argue that the valuation of amazon as we have it right now, $4000, 12 point $5,000 remains very attractive. we have our model.

we kind of go out of quarters next year, we think it will be a major inflection when in terms of the acceleration of free cash flow, even when you factor in all these one-time costs like cobit expenses. they have done a phenomenal job. a lot of investors are focused on that to see how that affects longer-term strategy. >> is there further upside for advertising rates? they already jumped 50% from a year ago. is it going to continue going up? tuna: that's a great question. amazon advertising has been the gift that keeps on giving. arguably one of the fastest growing businesses including aws, but digital advertising, what has happened is that the pandemic has really accelerated some of the secular trends so the shift that we see from

linear to digital continues apace so what that means is that amazon is well-positioned to get its fair share. they are closing around quite a bit, still dominated by google and facebook but i think amazon has done a phenomenal job in terms of calling a lot of this low hanging fruit. >> great to have you, tuna amobi , at cfra. don't miss another big into few from the qatar economic forum in a few hours time. our guest tells us how she thinks the pandemic has changed digitization. take a listen. >> if you want to have sustainable growth, it must be inclusive growth. it is not just the right thing to do, but it supports economic growth for the long term so one of the areas we have been very focused on, as you already

noted, is ensuring everyone has equal access to the opportunities for jobs and those are going to be digital based. shery: stay tuned for much more. plenty of big names joining the event. bloomberg subscribers can use our interactive tv function, tv , to see our past interviews. this is bloomberg. ♪

shery: you are watching "daybreak australia." time now for morning calls. wti under a little bit of pressure. wti and brent above $70 a barrel now and we have a call about $100 a barrel for next year. this coming from bank of america. really have not seen triple digit prices in oil since 2014 and bank of america is now betting on pent-up demand for travel to boost consumption and it also says that environmental concerns will crimp investment in new production so let's continue on that green theme. here is a call from goldman sachs on aluminum surging demand for the metal because it is used in decarbonizing technologies like solar power. however, aluminum production is very carbon intensive and generates 2% of all global emissions. goldman saying that resolving

that paradox would drive a structural bull market in the commodity over the next five years and it sees aluminum prices topping 3500 dollars per ton by 2025 so quite a bit more when it comes to the commodities space. haidi: let's get you a quick check of the latest business flash headlines. four of hsbc's most senior bankers are said to be leaving the investment bank as part of an overhaul of its new york operations. the executives are departing as hsbc plans to revamp its global banking business in america is to better serve asian clients. hsbc is in the midst of a global reorganization to grow its core asian markets which generate most of its profits. exxon mobil is said to be preparing to cull white-collar jobs. a performance evaluation system will be used to identify low performers and cut 5% to 10% annually over the next three years to five years. exxon has 72,000 employees globally at the end of last

year. 40% of them are in the u.s. chinese recruitment firms going private. the transaction at $5.7 billion. a consortium reached a deal to buy the new york listed company for $79 per share. it is expected to close in the second half of 2021 and is set to be one of the biggest buyout of a u.s. listed chinese company this year. the company behind -- has filed for an ipo in new york. membership collective owns 28 clubs around the world class nine workspaces and a home to core retailer. they warned of its indebtedness and said it has to pay down more than eight million dollars of debt using those ipo proceeds. marvelous new series helped downloads of the disney plus cap rise to the top increase

according to bloomberg analysis. the series is the latest big splash for the superhero brand on disney flagship streaming service. according to disney ceo, it was the most-watched season premiere ever on disney plus during that opening week, shery. shery: i have been watching and it is really good so if you guys have the streaming service, you should watch it, but let me turn to another series that is really popular, lego movies. they have now been used by the fed to try to explain what inflation is. if you have not been living under a rock for the last few months, you know inflation is all the rage, but what exactly does it mean? the said releasing three 62nd videos explaining this. >> i just love this story because this is how i explain macroeconomic concept to my two-year-old. you bring out the lego and you

explain how market forces work. i just love these videos so much and the sort of animation when prices start going up. and then the calm that is restored when the fed says everything is under control and they can bring prices back down again. shery: you really have to be a tiger mom to be explaining back economic policies to your two-year-old. it is a really great thing to see that because i love all of those lego movies. they are so easy to watch. now, we have something to explain inflation for those who don't want to read a whole research paper on it. you can get more analysis on the feds policy direction in today's edition of daybreak. we problem it will not be as boring so read it on your terminal and it's available on mobile in the bloomberg anywhere app and you can customize your settings so you only get the news on the industries and the asset that you care about. haidi: speaking of restoring:, looks like markets are firmly in the agreement going into the start of trading today in

australia and new zealand. we are seeing upside. sidney futures bouncing back by 1.25%. let's seeing -- we are also seeing a bit of an unchanged picture when it comes to trading in chicago. nikkei futures, kospi futures seeing some downside but we are expecting regional stocks to track the u.s. equity rebound. the prospect is very soft, gradual softening. we are also seeing treasuries as well as the dollar retreat which takes some of the pressure off emerging-market currencies and is part of the world as well. the s&p 500 rallying the most in five weeks, still waiting for that return of the tech and growth stocks. shery: and we are watching the bond market very closely. we saw the selloff in japan with teachers pointing higher but because of that, we saw the demand for haven assets and we will be watching the 10 year yield on jgb's because they closed at the lowest in about a week. coming up in the next hour, we will get some more market

insight with james. that is it for "daybreak australia." daybreak asia is next. this is bloomberg. ♪

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haidi: a very good morning. i am haidi stroud-watts in sydney. we are counting down to ages major market open -- asia's major market opens. shery: welcome to "daybreak asia ." asian stocks tracking a u.s. rebound as investors bet the fed will still -- scale back stimulus. we have an exclusive interview with asia's richest person.