haidi: very good morning. welcome to "daybreak asia." sophie: i am sophie kamaruddin in hong kong. we are counting down to asia's major market opens. shery: i am shery ahn. our top stories this hour. the opec-plus alliance descends into bitter infighting, leaving a supply deal hanging in the balance. president biden scores a major victory as the plan for a global

tax overhaul winds broad consensus for more than 100 countries. asian equities look set for a steady end to the week after strong economic data took wall street to another record. breaking news out of south korea. we are getting the cpi numbers year. it was 1.5 percent growth for core inflation, which is a faster acceleration than was expected at 1.4%. yarn year, headline inflation coming above the bank of korea's target at 2.4 percent, which is a slower acceleration then was asked to steal above that target for the bank of korea and not surprising given that, of course, we have that low base in 2020 and that is continuing to prop up prices. month on month cpi was a contraction of .1%. the expectation was for it to stay flat. we did have food and transportation costs rising not to mention consumer demand is recovering in south korea.

let's turn to sophie kamaruddin for a check of the markets and looking at these inflation numbers, we are going to get markets a bit more preoccupied above those price pressures. sophie: after this korean inflation update, we are awaiting a meeting amid questions about how they will align policies given that the government is looking to add virus relief whereas the bok has signaled it intends to normalize policy, which several strategists say will strengthen the korean won but we have seen it on the back foot of late. it posted the biggest drop in two weeks on thursday ahead of the jobs report, trading above 1133 early in the trading session. s&p e-minis, little changed. oil very much in focus with opec delaying that decision on output until friday. crude holding at the $75 a barrel mark as we are seeing

the futures curve being a headache for the market. wti for immediate delivery now above three dollars a barrel ahead of delivery for four months ahead, haidi. shery: -- haidi: let's get more on the opec-plus meeting after talks initially broke down after the uae blocked a deal to loosen crude supplies. bloomberg's editor for energy and commodities, david stringer, joins us now. what is impact on the decision to postpone the meeting and where do we go from here? david: the uae throwing a spanner in the works yet again and that has cast doubt on whether opec-plus can reach an agreement that would ease a surge in oil prices. what this means is that opec-plus can potentially not increase production at all and that is what delegates are telling us, without any deal,

falling back on existing terms that have called on output to remain unchanged through april and that was what is already quite a tight market and risk further price spikes. the fact is, it looked earlier like a deal had been locked in. the block did seem to have struck impact to boost output from the august to september. obviously now in doubt. shery: the uae yet again so what was the issue this time? david: quiet, and you know, the issue for the uae is they want to move the goalposts. they are looking to change the baseline. their argument is they need to change how, you know, measures because they are making proportionately deeper cuts than other members. the haggling essentially over about 600,000 barrels a day. the issue is, once you change

one members baseline, that opens everything up for other members to also look to change the rules that are applied to them so it is obviously contentious and talks will begin again in vienna on friday afternoon so let's see where we get to. haidi: david stringer. you can read more about the opec-plus delay and these frictions in today's edition of daybreak. bloomberg subscribers can go to dayb on their terminals and it's also available on mobile in the bloomberg anywhere app. a lot more analysis on the oil outlook is also coming up. john driscoll will be sharing their views. in the meantime, our next guest says markets are trading as if inflation could be peaking in 2021. that spring and the managing director of global macro strategy at medley global advisors. how does the uncertainty over the oil outlook -- can you say whether or not wti sees a spike

and whether it will be key to this outlook? >> for sure, haidi, and as her colleague just said, oil market is really trading at a tiny pass. they are looking at the inventory to be drawn out even more as the playa does not really come online so you are going to get the backwardation, perhaps getting a little bit more extreme so for the market itself, it continues to be basically kind of a reflationary theme, if you will read equity markets have benefited quite a bit from energy outperformance, but when you think of inflation itself, i mean, the markets are trading week inflation but if you are getting a break of wti much higher, that thematic idea could quickly change and inflation comes back in the minds of markets. shery: what happens to consumption trends? everything now seems to be getting really expensive for consumers. ben: on the one hand, shery, it

is not good because real income will become even more negative. it will really pressure on consumer spending. as much as people are trying to substitute with other products come inflation will ultimately affect spending so that is the negative side. the good side is that profit margins and pricing power will continue to improve significantly more so that is the part i think where the markets are more looking at. that continues to be expanded and therefore, earnings could be better in the future. that is refueling the equity market more than an outlook on spending that may slow down as a result of higher in ration. shery: stick around. we will be talking more about the broader market but for now, let's turn to vonnie quinn with the first word headlines. vonnie: thank you.

the world health organization urged governments to recognize its covid-19 vaccines and her spirit is says any shots it has authorized for emergency use should be accepted by countries opening their borders to inoculated travelers. that could challenge western countries to broaden their acceptance of china's vaccines, which the who has licensed, but most european and north american countries have not. the trump organization and its on-time cfo have pleaded not guilty to fraud and theft charges. he is facing 15 felony counts from the manhattan district attorney an alleged he engaged in a sweeping scheme to avoid taxes, the first criminal case to emerge from an investigation of former president donald trump and his business dealings. neither were named in the charges. u.s. lawmakers are pressuring the united nations over china's alleged human rights abuses. in a letter to the u.n. secretary general, antonio guterres, senator jeff murphy

and jim mcgovern urged the run is aching to step up its review of beijing's potential violations. they say rights abuses across china have not abated and they are calling for immediate measures to monitor and assess beijing's behaviors. hong kong's chief executive vowed to continue an unprecedented national security crackdown after the city passed a tense anniversary. 10,000 police were deployed with seven people arrested. one officer was attacked with a knife by an assailant who then killed himself. the government security chief has called that incident terrorism. 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 am vonnie quinn. this is bloomberg. haidi: coming up next, president biden scores a big victory as his push for a global tax wins broad consensus. this is bloomberg. ♪

shery: here's a quick check of the latest business flash headlines. we learned credit suisse is offering out of cycle salary bumps to its top wealth managers, a further move to retain after the rk goes scandals. -- archagos scandals. retention bonuses have been offered to offset the hit to stock-based awards. goldman sachs is preparing to move its tokyo headquarters to a new tower as it adapts to office life after the pandemic. sources tell us the bank plans to relocate from the landmark complex to a building slated for completion in 2023. goldman is pushing employees to return to offices even as some of its rivals allow remote work to continue. apple plans to test the hybrid work arrangement for employees

at its retail outlet under a pilot program called retail flex. staff will be allowed to work some weeks in-store and other weeks remotely. apple will start testing the arrangement later this year with a small number of its workers. the hybrid work plan is seen as an knowledge meant -- acknowledgment of online shopping's rising popularity. we continue to watch at global tax overhaul that might be in sight. officials from 100 30 countries including china and india endorsing setting a minimum rate for international corporations. let's discuss all of this with ben emons, at medley global advisors. thank you so much for sticking around. tell us a little bit about what the impact would look like in the stock market as we continue to watch these companies and how exposed they are two potentially higher rate. ben: -- higher rates. ben:

sectors. it gives an exemption to this for the oil and gas sector. benefit of lower tax havens whereas the technology center and luxury goods and pharma are affected by it so i would think that markets will do this, they will start to price in between these three sectors a difference because as we know, most of the technology, particularly big pharma, have used tax havens to boost their earnings, to be more efficient with their tax base, so that is the reaction initially and we also know, however, that as much as this is agreed on for the oecd level and support from many countries, it has to go through national parliaments and governments and it will take some time before it gets approved. i think that there's not going to be a lot of appetite in the united states for that global minimum tax, as already shown by the republicans coming out on

that front. shery: we continue to hear about regulatory plans. they made sure to include amazon. is that an issue? ben: i think it is not an issue for the broader market per se. sure, amazon could be affected by this company and it has weight in the index that is reasonable but for the broader market, it does not, really because if you want to target specific companies or sectors, you are really going after that particular aspect of markets so again, it is more the relative value idea than broader markets. but the global minimum tax is a new thing that was looming for some time and ultimately does lead to more competition. if you are getting more competition in the marketplace, it also leads to, you know, more opportunities being developed in terms of investment particularly. haidi: in terms of some of the

other market narratives and themes we are following, where are you at when it comes to opportunities in emerging markets, particularly as we have seen a bit more calm being restored on with the fed is going to do? ben: interesting how emerging markets have priced in a bit more rate hikes then develop markets, reaction to -- reacting to inflation quicker. there is an interesting difference between interest rates there versus developed markets so i think more and more investors will start to take a look at it as these central banks complete their cycle in the next year or so ahead of the fed and therefore, you know, depending on where inflation comes out -- in some ways, inflation is higher than it will be here, but it's an opportunity you can start considering in the developed markets. the fed has laid out its initial plan and therefore, i think risk at the moment is limited. haidi: one of the other themes

we continue to follow is meme stocks and how they potentially react as the wall of easy money starts to pull back inevitably. the robinhood ipo details we have been tracking, what does it tell you about what potentially the future holds for this part of the market, given all of the regulatory concerns and given, you know, maybe surprisingly, how much of that revenue came from crib go. -- crypto. ben: there's a lot of tensions. you have a very overhyped sector through messaging boards that people stepped in to stocks maybe not doing the fundamental analysis they should be doing but on the other hand, some of these companies are actually bellwethers of the reopening and they are benefiting now as this reopening becomes a sustained and they are getting this equity value gain to restructure their balance sheet so i think there is value in that part. companies that are more levered

and have more that on their balance sheet, those stocks will perform well and what you can tell now, the volatility is moderated partly because of that reason, that they are able to deliver in an orderly fashion. regulation is going to be more strictly overseen and that will maybe limit the opportunity for all this volatility we have seen in the past. haidi: always great to have you with us. ben emons, medley global advisors. we will stick with robinhood. it became profitable last year before losses in the first quarter of 2021. that's get to our deals reporter. lots of interesting tidbits under the hood. what really stuck out to you? >> we were interested to see that robinhood did turn a profit, a small profit, but they have shown they are able to make money off this business model

where they are not really charging people anything to trade stocks and there were a lot of issues that were outlined in the prospectus, a lot of big lawsuits, and a lot of regulatory scrutiny on the business. what really surprised me was the strength of their crypto business. they said it comprised over 17% of its revenue, which is a lot, and that is something the u.s. government in particular might review to make sure that everything is kosher. shery: we could see more scrutiny on that side. what about user additions? liana: as robinhood was in the news last year for sparking this meme stock frenzy, they were able to double their user base, which is pretty big for any internet company that is able to add that many new users so that was looking pretty healthy.

robinhood has a lot of competition. morgan stanley brought the trade last year and there are a lot of other low-cost platforms to trade on but what robinhood has going for it is they billie lourd in the young consumers and prospectus talks about their young, diverse clientele that are looking at finance almost as a cultural phenomenon like music and art. that was really interesting. you do not see that every day in sec filings in the u.s. shery: what are we expecting in terms of the timelines for robinhood? liana: today, we got the financials but then thousand mean they can go public tomorrow. we will only really no more on the timeline once they set the terms of their deal and set a valuation and price range, but depending on when that hits, we could be looking at an ipo in the next few weeks but we also reported it could be later, even

as late as the fall, so really, there's still a lot of questions . they have not started their roadshow so there will be plenty more news to follow on this one. shery: liana baker with everything on robinhood. be sure to tune into bloomberg radio to get in-depth analysis from the daybreak team broadcasting live from our , studio in hong kong. listen via the app, radio plus, or bloombergradio.com. plenty more ahead. stay with us. ♪

shery: breaking news at the moment. columbia has rating has been cut to junk by fitch ratings. their debt rating downgraded by fitch to double b plus, one

level below investment rates by triple b minus. it changed to stable from negative. not surprising that we have continued to see these antigovernment protests. it started back in april by an attempt by the government to raise taxes but they have really morphed into broader protests about everything from unemployment, poverty, and corruption. of course, with the damage from the protests, not to mention the covid-19 infections also spreading and hurting the economy, columbia has been hurt. the economy has suffered, and we have seen the central bank in columbia hold rates really steady and not raise rates as his peers have done in other parts of latin america as we are now seeing the rating cut to junk. haidi: in the u.k., the chancellor of the exchequer says the country will make the most of its freedom to set its own rules for its financial services

industry which was largely excluded from the brexit deal made with the european union. speaking with anna edwards, his comments suggesting he has given up on securing equivalent deals which would give wide-ranging access to the financial sector. >> europe is always going to be a close partner and ally of ours and we will always be constructive and remain available to answer any questions they might have about that process which we completed some time ago but what i'm interested in doing is making sure that our financial services industry here in the u.k. is something that we can all and should be very proud about because it creates jobs locally and prosperity nationally and that is why we published a roadmap to deliver our vision for a financial services industry that is more open, competitive, more green, and more technologically advanced and that is the exciting agenda that we are delivering. >> and how will that roadmap stand up to the competition,

chancellor? j.p. morgan ordered a six-story building in paris. that is being chipped away at. does that concern you? anna: -- rishi: i think if you look at every survey being done, it shows that the u.k. and london remain the premier destination for financial services and that is because we have fantastic strength here and we are going to build on those strengths, not rest on our laurels and the roadmap we published today i think shows that london and the u.k. more generally will be the most advanced and exciting place of financial services anywhere in the world. we will be a leader in green finance. look today at the document list around a green sovereign bond and green retail bond to create a carbon offset market. we are creating new jobs. anna: you say about going back

to work, we are in the city of london and it is not as busy as it used to be pre-pandemic. does it matter to you whether the city come back physically, whether we return to the office, or are you happy to see people working remotely from a be part of the time? rishi: there were lots of young leaders, the next generation of financial services in the audience and i was speaking to them after the event and you talked to all of them and they are all super excited to get back into the office because they enjoy the trading, the collaboration, and the mentor ship they get from being physically in the office and it's very important for young people at the start of their careers to have all those benefits and i hope that we make progress towards our july 19 set and simply take that depth. -- step. shery: u.k. chancellor of the exchequer, rishi sunak, speaking with anna edwards. coming up next, the world's biggest pension funds. japan's -- is likely to post

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shery: we are counting down to the start of trade in tokyo and seoul. yoshihide suga's ruling party is expected to gain seats in a tokyo assembly vote, boosting his prospects in an election expect it after the olympic names. we will have more on that in a moment but softbank on watch at the open as well, this after it has the bond yield from asia this year. raising $7.3 billion. we are watching nissan as we learn more about its plans to

build a $1.4 billion electric vehicle hub in the u.k. in south korea, automakers will be in focus. data showing the car sales stored in the second quarter but companies including hyundai warning chip shortages will shrink inventory, and might squeeze his sales in the coming months. it is spinning off its battery unit to meet rising demand for electric vehicles. watch for any announcement from bok governor and the finance minister who are meeting about aligning fiscal and monetary policy, haidi. haidi: let's get you to sophie, who is taking a look at korean bonds. what is the outlook here? sophie: we have the meeting between the bok governor and -- very much in focus and that will fuel some moves in the bond market today as we get the latest read on inflation to digest as well. it came to cpi's, adding the

position that price pressures will fade. we have seen upward pressure on korean yields. three year spread at 10 year highs over the key policy rate. ubs noting that market pricing for rate hikes in south korea, those up your overly aggressive. switching out the chart, we have treasury futures going slightly higher in early asian this morning after an uninspiring session that left the curve flatter. this is for treasuries. it is coming down below that 120 basis point gap. jp morgan cautioning that volatility lies ahead as rate traders may sit out on the sidelines ahead of the friday jobs report given that we do have the july 4 weekend ahead, haidi. haidi: the investment fund will be releasing its results today and it will show whether the world's biggest pension fund was able to eat it performance benchmark for the first time in five years. that's get over to our senior editor in tokyo.

what do we expect from these results today? >> it's going to be a record year. these are results for the fiscal year until march. obviously, that was a really good year, especially for equities across the world. they will be bounded after the pandemic so it's definitely going to be a fantastic year. the analyst told us they expect a total return of 25% for the year which will be a record to start managing assets in 2001 and that gives us a chance to look at the annual earnings to look at their holdings and to get some insights and published in their annual report this time which will give us this kind of once a year look into exactly how it is doing and what they are thinking. shery: japan's pension fund is known as a leader in esg. will they have anything to say on that front? >> that is definitely one of the

things i am looking at today. they have gone a little bit quiet on esg, many people say, since the current administration took over just over one year ago. they are not as vocal about esg as they used to be. one thing we will be looking at is how much they have invested in their esg indexes and this is a once a year chance to see exactly where they are putting their money. this time last year, in march 2020, they had $50 billion invested in esg and we will be looking to see how much that has risen in stem. -- since then. shery: could we see any other surprises? anna: they tend not to like surprises. they are not that kind of organization. they will be asked questions by the press again. this is one of the few opportunities we have to get the executives out in front of the media and ask them what is going

on. one of the things we will be asked about is there position on chinese sovereign debt, so the one that runs the benchmark for foreign bonds, they will be adding chinese debt as you know, towards the end of the year from october, but of the bit of an issue in japan and it has not signaled what its position is going to be. i will be looking to see what they have to say on that front. shery: keep us updated. as we mentioned tokyo, tokyo set to hold a municipal assembly election with yoshihide suga's willing party expected to gain seats. join us now for the details is isabel reynolds, our politics reporter in tokyo. how will this election play international politics? isabel: as you say, prime ministers suga's ruling party is expected to gain seats and this

i think will be a really welcome piece of good news for suga. he has had a difficult year so far with his popularity falling to the lowest it has ever been due to doubts about his handling of the coronavirus. earlier in the year in april, he lost three elections on a single day which was an unusual event which has been in power for japan most of the time since 1955. what happened for years ago in the previous municipal election was an upstart bodycam up -- party came up and provided a speech for them. this will get sam way back to where they were four years ago before this stock landslide defeat. haidi: what role is the tokyo government playing in the campaign now? isabel: that is an interesting and awkward situation for tokyo governor -- she was a member of

the ldp and served as a cabinet member, a member of the ldp, and yet, when she left that job to become tokyo governor, she later left the party and formed this upstart party which overturned municipal election and even tried to oust prime minister abe in 2017 in the national election. she obviously failed in that because he became the longest serving prime minister. she has loyalty on both sides. she has been off the scenes since june 27. it's been a very difficult time. and she has been out of the public eye since then and is not expected to reappear until after the election. haidi: of course, the olympics is less than three weeks away against all odds. it seems to be forging ahead. what are the implications here?

>> oddly enough, the olympics have not been a big feature of the campaign. the last poll i saw for tokyo residents, 60% of residents are still against the holding of the olympics so perhaps it has been something they did not want to talk about in the campaign and neither of these two parties have called for it to be canceled but they have called for it to be held without spectators and i think we could be moving in that direction now. the numbers of infections in tokyo have been rising quite substantially in recent days since the end of the state of emergency and the prime minister said yesterday that he is not ruling out the option of holding the olympics entirely without spectators. haidi: is valve amounts in tokyo. coming up next, credit suisse is boosting pay for some of its

bankers. we take a look at the companies efforts to retain staff, next. this is bloomberg. ♪

shery: bloomberg equality focuses on conversations that focus around the inequalities in society. today, we are focusing on the future for women in a post-pandemic world.

the pandemic has had a disproportionate impact on women due to over representation and industries hardest hit by the crisis. women around the world last at least 800 billion dollars in income in 2020 according to estimates by oxfam. here in the u.s., even as more people began returning to the workforces, thanks to the vaccine rollout and schools reopening, career gaps and ongoing childcare responsibilities are still holding many mothers back in particular. analysis by the san francisco fed has found that mothers between the ages of 25 and 54 remain out of the workforce at higher rates than everyone else. estonian president -- the estonian president was appointed to the global advocate for women and children's health. i spoke to her about how technology is key to helping mothers around the world address the challenges they face from the pandemic. >> we plan to concentrate on

what technology can achieved a five some of the biggest problems for women and children, which are nutrition and maternal death rates among giving birth and not having given birth. so these are the programs which have actually worsened during the pandemic so it's not an easy time to take up this but my solution stems from the technology world. i am seeking means and opportunities to make sure that this 25% of babies whose birth goes unregistered might be so bad. so many babies are not registered. through mobile phones, mothers could inform their public registries -- education support, fight against child trafficking, nothing can be done on the -- unless everybody has an identity. you can name your baby online,

for example, but there are other countries who are experimenting with such systems areas we should have the objective. we will have an opportunity for every mother through a telephone to register the birth of a child globally. how we do it nationally and regionally, we will have to discuss, but this will help us to resolve the problem for mothers and children. shery: the pandemic has made the world very digitalized. is that helping in your plans when it comes to leveraging technology from opportunities? kersti: kersti: yes and no -- kersti: yes and no. it does help but you should find it easier to know whom you have to help. overall, this has made the domestic violence issues, the lack of education, children cannot go to school -- many schools provide health care, vaccination, nutrition in the less-developed regions. we don't know yet the impact from others who were afraid to go to the doctor, who gave birth

at home. the numbers rose really quickly in the last year. we don't know the final impact but there are positives and negatives. the positives are that not everybody believes digital technologies are used in a way that people are not anonymous online. they are identifiable. this can help huge problems at the world is facing. shery: during the pandemic, there seems to have been more of a renewed focus when it comes to racial, economic, gender inequities as well. let's talk a bit about the role of women post-pandemic. will there be more or fewer opportunities for women? kersti: if there will be more technology, for example, in the workplace, if you can work from wherever and not keep concrete hours, i mean, it is a great equalizer for women with heavy home life burden because yes, in the perfect world, we would not have a heavier home life burden but we have seen in the pandemic

that mostly women took the possibility -- responsibility. working from home safely is something which could really help women. that is the trend which we could benefit from but then we need to consciously make it so. through policies, we do benefits. public-sector policymaking and governments, but the other thing is for enterprises to recognize the value of empty offices. they don't need to pay so much rent anymore and the value of people working from home i think this is something which we will now see in the coming couple of years. i seriously hope that companies to realize that there is a huge value. you can recruit people from low-cost areas, make cost savings, and benefit the region and the women in that region who find it very difficult to commute to the big cities. shery: let's have a little bit about you because you are one of very few women who are in leadership positions on the

global stage, leading countries. tell us a little bit about the challenges and opportunities that you faced getting there. kersti: the biggest opportunity is children and my own country and elsewhere, when they see women presidents and prime minister -- we also have a female premise terry in estonia right now, -- prime minister in estonia right now, they know this job can be done by men and women. yes, they can, because women have been doing it when they were children. and this is the biggest impact which women leaders can have. you need to work a little bit. you face unconscious gender bias. somebody looks at you and besides, no, this is for heads of state. you might not be one of those. you have loads of these stories in the u.n., and we should talk about these things and

demonstrate that even at the highest offices, these things happen and it is not that something is wrong with me, because some people have told that if you exit this and every time somebody looks behind you to find the important person, you start feeling maybe something is wrong with me. no, this is the unconscious gender bias and we need to be open about it, transparent, and this way, we can kind of take us hairy, dark animal out of the corner, put it in the center of the table, and make it disappear. shery: the estonian president there. kersti kaljilaid. vonnie: the u.s. jobs report will show whether employers had greater success of filling a record number of vacancies. hiring has been seen as disappointing. payroll rose by 711,000 in june, and forecasts were well above the actual figure. the imf thinks the fed may need to start raising interest rates

in early 2023. a statement of the article for consultations as the central bank will likely begin to scale back asset purchases in the first half of next year. the imf sees increased government spending keeping inflation above its long-run average target. 130 nations are back to the global tax overhaul proposed by the biden administration following a round of talks at the oecd. the endorsement puts the world one step closer to a minimum corporate tax rate as the new regime -- several key countries agreed to the terms including india and china. nine others held out. the aim is for a final deal by the end of october. christine lagarde said the regions lenders could see a cap on dividends and share buybacks stood by the end of september. christine lagarde told the european lawmakers that restrictions could be removed if economic and financial sector conditions do not worsen.

last year, regulators issued a de facto ban on shareholder returns as a trade-off for taxpayer funded stimulus. 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 am vonnie quinn. this is bloomberg. haidi. haidi: credit suisse is raising salaries as it tries to retain staff after the scandals. let's get more from our asia finance reporter, bill ahmed. -- nabila ahmed. we have seen a lot of banks boosting pay. will that be enough? just want to check that we have you. nabila: yes, i'm here. haidi: all right, we are -- so obviously, just the latest in a number of different wall street

banks and global banks trying to retain talent. is it enough that they are just going to pay more? nabila: haidi, this is credit suisse trying to keep the dream alive. the bank is having a bad year. they lost more than 50 front office staff including 20 managing directors from their securities unit since march when they ran into the double trouble in the collapse of both archagos and green fuel. we are learning about selective pay bombs to wealth management staff but really, there are a lot of questions about the future of the bank. what staff and investors really want to know is where is this bank headed? wealth is a very booming industry and it is at the heart of credit suisse but there is a lot of competition and credit suisse has done itself a lot of reputational damage. money on its own is not going to be enough. shery: can this help stem the losses? nabila: that is what they are

hoping, shery. the good news, obviously, is that the new chairman does have a very big focus on the wealth division. so much so that he said that everything else is an ancillary service. it's good news. they have had a lot of people leaving that division here in our region. a whole team left to go to a start up. they are going to have their work cut out for them and by no means is this the end of the losses. haidi: in the meantime, goldman is getting a new home in japan. what does that say about what the post-pandemic work culture looks like at that firm? nabila: this is goldman sachs basically doubling down on the office. as you know, they are one of the more aggressive banks when it comes to return to office on wall street. the ceo, david solomon, had called working from home and aberration, and this is just

another move that shows their commitment to the office. they have got about 750 on bath in tokyo, and they are going to be expected to be coming into this office when goldman finally moved in there when it opens in 2023. shery: our asia finance reporter there. we will have plenty more to come on "daybreak asia." stay around. this is bloomberg. ♪

haidi: a quick check of the latest business flash headlines kid mgm resorts is selling two hotels to blackstone for $4 billion after acquiring half of the project. the sale to blackstone includes hotels which mgm will continue to manage. mgm has been selling real estate to raise cash for new

construction opportunities and online betting investments. a new unicorn is born. it has raised $415 million from a group of investors including softbank's vision fund 2. they marks one of the largest funding rounds for the company. the ceo says the capital is now enough to seed global expansion. nissan says the global semiconductor shortage could ease before the end of this year. the chief operating officer told bloomberg that a lack of chips had not slowed down any new model launches but it has forced the company to adapt. >> semiconductor prices is a new normal for us post-pandemic. this crisis has taught us how to plan for the unpredictable scenarios. we are adjusting our production but i'm pretty sure we will be out of the woods soon. haidi: let's take a look at the stocks we are wanting as we head into the start of trading this

friday session. sophie: we are watching carmakers. toyota posting a 72% yearly jump. hyundai warning that inventory will keep squeezing sales this summer and turning out the board to australia, we are watching for the start of trade of a copper miner. switching out the board to see what we are watching for an australian markets and this will be the second biggest ipo of the year after the muted debut on thursday. the aussie share sale market has waned in recent months after a promising start to the year. investor demand saw three companies jumped their plans to go public in may. shery: we will be watching those stocks at the open and we have sydney, seoul, tokyo, coming up. u.s. futures unchanged at the moment and as we have seen, another day of record highs here in the u.s. nikkei futures pointing higher. this is bloomberg. ♪

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shery: hello and welcome to "daybreak asia," i'm shery ahn in new york. sophie: i'm sophie kamaruddin in hong kong. haidi: i'm haidi stroud-watts. asian stocks look set for muted gains to end the week, investors

weighing strong data that pushed wall street to another record. u.s. jobs numbers are due later. plus, why foreign funds are fling southeast asia, major outflow over worries of a covid-19 resurgence. shery: breaking news -- johnson & johnson coming out with positive new data when it comes to its single-shot covid-19 vaccine. it is saying it is showing strong protection against the delta variant, that it shows persistent immune response of at least eight months. the delta variant has spread across the world. we are talking 90 six countries according to the world health organization. we just heard from mike darda, shares jumping this week as they also saw that there vaccine worked well -- moderna, shares jumping this week as they also saw there vaccine worked well against the delta variant.

pfizer, saying its shot showed persistent immune response of at least eight months. more on that story later. let's take a look at what markets are doing because sophie, it was concerns about the delta variant that dampened sentiment across asia. what are we seeing out the open? sophie: still seeing a risk off tone, haven't seen big upside moves yet. nikkei trading flat at the start. we have fast retailing under pressure this morning after reports a french prosecutor opened a probe. check out the yen, staying at that 1.11, a 15-month low and a bump in yen option activity ahead of the u.s. jobs data due friday. the open in south korea as we digest inflation number, cpi

staying above 2%. there is a meeting between the government finance minister of south korea, both saying they will closely cooperate with fiscal and monetary policies needing to coincide. the korean yuan is on the back foot against the greenback. let's look at the staggered open on australia, waiting on a trading debut from coppermine or 29 metals. the cost beginning .2% while the aussie dollar is on a back foot, set for a weekly loss as the greenback holds gains sparked by jobless claims coming in lower than expected. oil in focus after opec delayed a decision on its production outlook, we are seeing whether we may get that on friday. brent losing ground while wti is holding on $75 a barrel. haidi: let's get more of the

breaking news composite of news from j and senior medical reporter michelle cortez joins us -- j and j. senior medical reporter michelle cortez joins us. how good is this good news? michelle: it is definitely good news because it is showing we are not losing the benefit of the j and j vaccine when we have delta circulating. there were issues with the j and j vaccine when it came to the south african variant. that is what we wanted to make sure wasn't happening here. and that is what they are looking up. they say against the delta variant, the j and j vaccine is significantly more effective in terms of producing antibodies that will neutralize the virus. it lasts about eight months. the fact we know the vaccine is protective against the new variant that is spreading widely and causing new surges of

infection is really welcome news. shery: michelle, what does this mean for booster shots we were expecting this week? michelle: well, there is still uncertainty when it comes to the booster shot exactly for the issue i mentioned. we don't know how long the benefits of these vaccines are going to last. don't know how long anti-bodies and t cells produced in response to the vaccine will last in our bodies. the good news is, we haven't seen that waning, and that is the change researchers are showing. the other thing is that scientists and companies are looking to get the biggest bang for the vaccines we have out there, so it could be we need boosters, that we are going to get boosters in the weeks and months to come. but at this point, it looks like it is not an urgent thing, that if you have the j and j vaccine

that you need to get a booster in order to have protection. haidi: how does the latest data compared to what we know about the other vaccines? michelle: this does not compare the j and j vaccine response to other vaccines. as a general rule, the mrna vaccines from pfizer and maternal are drip -- pfizer and moderna are more effective than some other vaccines. we did see that the benefit of the j and that vaccine increased over time. that is hopeful information in terms of offering longer protection and perhaps reducing some of the disparity between vaccines. bet at this point, we don't have direct apples to apples comparisons. haidi: bloomberg senior medical reporter michelle cortez with

data from j and j on protectiveness of the delta variant. that's get analysis for implications on the market. gary dugan joins us. gary, great to have you with us. in israel, a big uncertainty and for a number of companies around asia, i want to look at southeast asia, this bloomberg chart showing metrics in which this region has lagged. southeast asia is lagging the broader region when it comes to earnings upgrades and ebs when it comes to how stocks have performed. do we need further evidence that boosters and vaccines are showing protectiveness against the delta variant, or do we just need to see a broader vaccine rollout more generally? >> it is a combination of those. it is good news that we have more vaccines because if there is only a couple of companies providing the vaccine into the

market, than everyone is scrambling for that supply. the problem has been supply, but also the ability to give vaccinations out to countries. many countries have more limited resources. you fix those two things, that gives us hope that the se on market -- asean market can catch up. haidi: out of those markets, which are you more positive on? the ones that you could see a quicker turnaround and pickup value, which ones are they? >> here in singapore, we still have a gap to close even though vaccination rates have been fantastic. it is more of a broad call on the market. it has been a lot of international money that has ignored the region because the u.s. is still sending out great earnings and there is focus on that. i'd europe as well.

when you look at allocations, as an asset allocator, those are such a dominating orchids, the only markets with strong earning upgrades and stories. shery: what about north east asia? because there are concerns peak corporate profits have already happened coming off this pandemic. gary: it is weird that in northern asia, particularly taiwan and korean market, and japan, that we have seen these markets go sideways. marked underperformance. in fact, if you look at valuations, incredible value, it just needs a spark of good news and that has to be upgrades to the forecasts. there is a call in the third and fourth quarters of this year

that, do want to be out of a market that seriously underperformed when good news must be just around the corner? things could improve these markets could catch up. shery: what is the catalyst, vaccinations in general? gary: vaccinations that lead to a more marked reopening of those countries. in any case, many of those countries are serious exporters of ducts the world needs therefore, the first boost would come to a surprise in the upside to export that will drive third-quarter growth. but he needs every opening and a or profound reopening of these countries would get international investors back. haidi: gary dugan joining us from singapore, the global cio office ceo. vonnie, you have vaccine news? vonnie: the world health

organization urging governments to recognize its covid standards. that means any shot authorized for emergency use should be accepted by countries opening their borders to inoculated travelers. that could change western countries' minds in order to broaden acceptance of chinese vaccines in particular, but most european countries have not. pressure at the u.n. over chinese human rights abuses. in a letter, the secretary-general and secretary jim mcgovern urged the when to review chinese human rights allegations. they are calling for measures to monitor and assess beijing. the hong kong chief executive vowed to continue and unprecedented national security crackdown up in the city past the 10th anniversary of its return to chinese rule. 10,000 police were

deployed, and one officer was attacked with a knife by an assailant to then killed himself. the security chief is calling it an act of terrorism. the trump organization and its longtime cfo have pleaded not guilty to fraud charges. allen weisel berg is facing 15 counts. it is the first criminal case to emerge from an investigation of former president donald trump and his business dealings neither trump nor his sons have been named in the charges. 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 am vonnie quinn. this is bloomberg. ♪ haidi: still ahead, i look at oil markets and the opec meeting , and views on the stalemate. also coming up, getting ready for the u.s. jobs port.

we look at what to expect. this is bloomberg. ♪

♪ haidi: let's check trading in the asian session. inside the india alliance, this is trading so far in the friday session. new york crude up .1%, still above $75, brent crude downside. our asia energy editor joins us from tokyo. where do we go from here, day two of talks? >> there was a dramatic turn of events yesterday within the opec-plus group. on thursday, the group appeared to have agreement in principle

to boost output by 400,000 barrels a day each month from august to december. that would have extended the duration of the broader opec-plus accords and set a final expiration of these production cuts that are in place now in december 2022 instead of april. but the united arab emirates said it would only give support if the baseline for its own cuts was raised considerably. the concern now is, because you have oil surging, demand rising, is that a deal doesn't get done at all. if that happens, the group falls back on existing terms that call for output to remain unchanged until april 2022. and that was a squeeze in an already tight market. shery: what does it mean for prices? >> it raises the possibility that crude will surge higher and

with mounting inflationary pressures in the global economy. oil just finished its best first half of the year since 2009, as we are seeing this rapid rebound in energy demand and the economy is outpacing the supply response. citigroup said in a note of that before this meeting yesterday, it expects the market to remain a deep apposite this quarter, even after accounting for a rise in output from opec. so i think there is a lot of concern about inflationary pressures, supply can train -- supply constraints if opec doesn't reach agreement to lift production. shery: bloomberg energy asia editor erin clark. read more about the opec plus delays in this -- in today's

edition of daybreak on the bloomberg. haidi: let's get more now on the global oil outlook, we will be speaking with gpd energy services director john driscoll. looking at oil and also coal, because we have been talking about efforts made by nations to get fossil fuel usage down to reduce emissions, but the economic incentive is very iffy when you see coal prices surging to higher levels. we have had a very hot summer and parts of the world and in the u.s., but in particular, the demand for power has driven demand of the dirtiest source of energy. shery: this is like a vicious cycle, right? you want to fight against climate change but because of climate change, you get extreme heat.

it is hot, so you need to use coal power plants to cool yourself, and this just continues in this vicious circle. and coal is still accounting for more than one third of global electricity generated in 2019. haidi: it is crazy, the numbers we are seeing, physical coal cargoes in china jumping 50% this year to the highest ever. this comes at a time when australia, where it is a politically divisive issue, has come out in multiple rankings but a latest report suggests australia comes last when it comes to action on fossil fuel and climate change. one thing is that there is a distinction and that coal prices are going up and we have seen that not translate into a rally in coal mining so it seems

investors are still thinking about asg. shery: in china, coal mining is closed as they clear the air for the centennial. when it comes to equal funds, investors around the world are waiting to see the friday u.s. jobs report, paving the way for the fed to start reducing stimulus sooner or shut the door on bond tapering and raise hikes. kathleen hays is with us with a preview. how important is this report? kathleen: this report is about as important as a jobs report has been in recent months, maybe years. anytime's that we heard federal reserve officials saying and putting in the policy statement that they need to see substantial further progress of meeting their goals of maximum employment, inflation outdoor buff 2%, before they start moving to remove stimulus. jay powell specifically keeps saying, we need to see jobs back

to pre-pandemic levels, there are 7.5 million people unemployed still, so let's look at a bloomberg chart so we can put this in perspective. in may, if you look at these orange ours, the number was 559,000. that was pretty good. if you look at the white line in the middle, you will see that the survey for june is 720,000 new jobs. the green line on the bottom is the lowest forecast in the range of forecasts, 400,000 at the bottom for the june forecast. the top is over one million, certainly the kind of number that would reassure the fed. bloomberg economics is looking for 800,000 services jobs, led by leisure, hospitality, hotels, restaurants and the u.s. economy open. a couple days ago, i spoke to chris waller, newest governor on the fed board.

when i asked about moving the first rate hike to 2022, he definitely stressed they need to see a faster jobs recovery to consider that. let's listen. >> we have to come back very quick. the unemployment rate would have to drop fairly stan chili, or inflation would have to continue at a very high rate before we would take seriously a rate hike in 2022. but i am not ruling it out. kathleen: not ruling it out. since he mentioned unemployment, the forecast for june is 5.6%, down from 5.8% in may. that would be more progress. haidi: we have another big player saying the fed rate hike could come as early as late next year, 2022. what is driving this?

kathleen: that was an interesting headline on the bloomberg b this afternoon -- this afternoon, that the rate hike could come as late as the first part of 2023. they say tapering is leading to bond purchases the first half of next year and that echoes more hawkish members of the federal open market committee. they say the reopening, along with vaccine progress, also the lasting fed stimulus, fiscal stimulus, they said joe biden's infrastructure spending plan, social spending plan, are also playing a part in this. but very interesting, because they in the past have been urging the fed to be careful -- don't raise rates to fast, and now, they are telling them maybe to speed up. haidi: kathleen hays, our global

commerce and policy editor. much more to calm on "daybreak asia," this is bloomberg. ♪

>> over at least five years, you are going to see funding increase in our core business, banking, telco, real estate and one might argue our energy and water business. there is a lot of opportunity to unlock further value. shery: marianas of all the yellow, -- the head of banking of -- catch that exclusive interview monday at 7:40 am hong kong on daybreak asia. quick check of business flash headlines. credit suisse offering out of cycle salary bumps to top wealth

managers, a move to retain staff. increases by as much as 20% are said to have been applied across all levels and retention bonuses have been offered to offset the hit. goldman sachs preparing to move tokyo headquarters to a new tower as it adapts to office life after the pandemic sources tell us the bank plans to move from a landmark building to a building slated for completion in 2023. apple plans to test a hybrid work arrangement for employees at its retail outlets. under a program called retail flux, staff will be allowed to work some weeks at home and other weeks in the store. it will be tested with a small number of store workers. the hybrid work plan is seen as

acknowledgment of hybrid shopping driving popularity. coming up, opec and the key decision on output. we discussed. this is bloomberg. ♪

♪ haidi: breaking news when it comes to a deal being made at at&t near purchase of -- goldman near purchase of parexal for nearly $9 billion including debt. that is according to dow jones. they manufacture ingredients used in vaccines. we are seeing a reshuffle in the

portfolio, hearing that at&t and goldman are nearing a deal to buy parexel for nearly $9 billion including debt according to dow jones. we will continue to watch that for details. let's look at how we are tracking in markets. sophie: we are seeing marginal gains for asian stocks in value heavy topics led by autotune are rising on auto sales update. when it comes to japanese stocks, facing upside, given a reopening could be underway over the summer. in korea, the kospi heading .25%, energy and consumer discretion shares leading gains across the region early in the asian session. there is a focus on oil this morning brent and wti trading in the $75 range, pressure but

still holding gains. pulling up a chart on the terminal, i hedge further narrows the spread between the two but citibank does not expect new york crude will trade at a structural premium and that the trend should reversed through 2020 two as u.s. production is seen rebounding area -- rebounding. shery: let's bring in a senior oil analyst. neil, great to have you back. give us your outlook for the opec-plus meeting that we again saw the uae with an objection. >> we did see a surprising delay to the conclusion of the meeting yesterday, but he think at the meetings today, there will be agreement on further restoring production in the market. we still need 2 million barrels a day at least from the second half of the year just to keep markets in a reasonable sense of supply and demand. we would expect 400,000 barrels

increase per month for the rest of the year to keep markets balanced. shery:, to of has been priced into markets -- how much of that has been priced into markets? >> we think oil is going to exceed $80 per barrel before long. whether we see prices move to triple digits, which some are looking for, i think raises a good point. there is still uncertainty around clarity, the covid variant is going to impact demand and western economies the second half of the year and as we move into 2022 and you see the end of the opec agreement, that is going to roil the market next year as we start to cap price gains we have seen. haidi: what is the risk when it comes to wti of a shock from a drawdown? neil: wti, we are looking at

a market or we have seen very large inventory draws over the last six to eight months, like 800 million barrels has come out of inventories. u.s. production has been lagging the recovery in crude prices. but there are signs of increasing activity in the permian basin, i think you will see rising levels of production as we get to the end of this year. it is when we get to 2022, as prices remain at these levels, i think the discount in wti and brent will increase the second half of the year, but there is no doubt of strong inventory being the driver behind the tightening spreads. haidi: let's look at the discount, sophie brought up this chart but i want to look at it again, at shows the discounts of brent are touching what we have

seen in 2020. does that mean there is potential for wta -- wti trading at a premium to brent? >> i doubt it. we could see wti trading may be a small premium next month. we are at peak demand season in the u.s., driving season in the u.s. for the next several months where gasoline demand is going to reach peak levels. so potentially we could see ti exceed brent, but i don't think it is sustainable given the fact we are going to see a significant increase in u.s. holdings toward the back half of the year, and stocks of crude as we get into the autumn. shery: we heard india gasoline consumption has rebounded to 90% of pre-pandemic levels. what can we expect in terms of consumption from asia?

neil: china is back above pre-pandemic levels, india close to pre-pandemic levels come i don't think we are going to see normalization of travel until the middle of next year. with that said, we are expecting an increase of 4 million barrels of additional demand as we go from q2 to q4, which is going to be very supportive of the markets as we go to the end of the year. in terms of overall demand in asia, it remains the key driver of global demand. and that will continue to be the case next year as well. haidi: when does u.s. shale ramp up? neil: we are starting to see this happen, given the devastation that we saw last year, plus consolidation we have

seen in the sector. [indiscernible] at $17 a barrel, eight is very profitable to drill for shale and as long as prices stay at these levels, we are going to see a response from the u.s. you can see that already. there is a lag between brent and production and i think you will see in u.s. production this year into next year higher gains there. haidi: neil beveridge, senior oil analyst, thank you. we have more discussion on oil with jay ti oil energy services. shery: we have seen an incredible rally when it comes to soybean, corn's, wheat, coming at a time when we have

the usda report this week saying american farmers are planting less than expected. this gtv chart on the bloomberg showing you the price spike. haidi: not just so i, broadly across commodities, and the u.s. commodities report stunning the market a couple months ago with government estimates on corn and soy, covering about 2 million acres. that reignited the crop rally and it is interesting to see that continue. shery: especially with a heat wave, we have to continue talking about soft commodities and their impact. vonnie: johnson & johnson says its coronavirus vaccine realizes the fast-spreading out the variant first seen in india. j and j found that, over eight months, recipients develop strong antibodies against all variants, but it is still not

clear when a booster shot will be needed. delta is expected to become the dominant strain in the u.s. and coming weeks. 130 nations back a global tax overhaul proposed by the biden administration, could put the world a step closer to minimum tax rate and a new scheme for sharing profits. andy and china agreed, but nine held out. the aim is for a final deal by the end of october. the imf thanks the fed may need to start raising interest rates in late 2022 or early 2023. a statement after the so-called article for consultations also says the central bank will likely scale back asset purchases the first half of next year. the imf sees increased government spending keeping inflation above its long-run average target. 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: hong kong chief executive carrie lam is liking to press ahead with a national security crackdown as the city marks anniversaries of the 1990 seven handover as well as the chinese communist party centennial celebration. a quiet day turned violent thursday is one police officer was stabbed in the back before the assailant turned the knife on himself. we are joined by chief north asia correspondent stephen engle in hong kong. it felt there was a lot of tension there despite warnings against activists and protests. stephen: that is right, it was a muted anniversary day yesterday. the public was not allowed into viewing stands in the flag raising ceremony, and around the main shopping area on hong kong island that was the center of protests one year ago after the imposition of the national security law was more muted than

a year ago, until late that night. we have reports from the police saying this 50-year-old man attacked a police officer with a knife, stabbing him before turning the knife on himself. police are saying he later died in the hospital, the assailant. the officer reportedly suffered a 10-sentiment or deep stabbing wound in the back that allegedly pierced his luing -- pierced his lung. i have seen the video. he is intensive care -- is in intensive care. it is fairly disturbing video. separately, police did find flammable objects were thrown at the government house. no injuries or damage there, but otherwise, a fairly muted yet dense anniversary day yesterday

here in hong kong. shery: what is keith executive carrie lam saying? stephen: she flew back yesterday from beijing, was kept abreast about happened late last night. she condemned the attack but vowed to push forward, facebook posting she vowed to push forward with the national security law. as she said they will take further action to amend laws, enforce police community organizations and promote patriotic education. in the recent past, she talked about the national security love needing to be a deterrent to be effective end on wednesday, she credited the national security law for getting rid of pervasive violence and unrest that created anxiety in the city. shery: asia correspondent stephen engle joining us from hong kong. up next, the vaccine rollout in southeast asia taking a toll on

stocks. details next. this is bloomberg. ♪

♪ shery: china's latest step to loosen capital controls is expected to start today. it completes the loop after four years and will give mainland investors access to overseas debt.

let's get more from the leader of the bloomberg china credit team in hong kong. rebecca, what are main benefits for investors and borrowers? rebecca: this is going to make it easier for investors to buy bonds that are usually only available to offshore traders. that will mean some borrowers, especially china high-yield and property firms, will benefit from more liquidity and more interest. and for investors, they will probably have much more access and easier access to the 800 xt billion dollars offshore dollar bond market. haidi: twice beijing loosening capital controls? rebecca: china has been pushing to modernize its financial markets, allow for more cross-border fund lows, for quite some time. it is allowing these outflows,

and it is going to take heat off when it is rising really rapidly. authorities want to avoid an n exodus of funds, they are eager to increase inflows. shery: let's stay on the bond markets, em bonds are back in vogue and we are talking about asian bonds and low-yielding ones, not the high-end yielding once, co-yielding like south korea and taiwan. we saw inflows in the second quarter, korea's of favorite -- korea the favorite, outflows to india. we are seeing the implications of fed tightening so higher-yielding ones could be more risky. this correlating closely to what is happening with the yield premium, south korean bond markets saying a yield premium against a similar maturity

treasury, 62 basis points, very attractive and it is all about the hunt for yields. where better to go for that than a market people have been really concerned about, turkey? we have seen a lot of volatility in the lira and concerns about reshuffling at the central bank, but turkish bonds have been outperforming. corporate bonds have been much cheaper to borrow for turkish corporate send even turkish government. they have been big winners. we are watching very closely. haidi: and as we see the inflows into southeast asian bonds, it is coming at the expense of foreign fund money into their equities. this is on concerns the coronavirus resurgence would dent the economic recovery, as well as the slow vaccine rollout, so let's bring in our asia corporate finance editor. a big part of this are concerns

that the delta variant is in this region and how patchy the vaccine rollout has been. are there signs of improvement? ken: investors are expecting to start vaccinations and reopen the economy and lead to recovery, but that has been doused by a slow vaccination rollout. and the delta variant is causing cases to rise again. as a result, thailand, the philippines and malaysia combined have the most equity outflows since september 2020. and it all hinges on whether vaccinations start come up again and help reopen the economy. shery: tell us about the vaccination drive in southeast asia, how is it going? ken: southeast asia has more than 600 million people, but in indonesia, the philippines and thailand, less than 10% of the population has been vaccinated

that compares to 20% for the global average and in malaysia come i think it was 11%. authorities have promised the vaccination is going to accelerate. we will have to see. so mentals predict that in the second half, it will pick up, which will help reopen the economy. shery: can mccallu -- ken mccallum, asia editor. we are broadcasting live from our studio in hong kong, listen on the out, bloomberg plus or bloombergradio.com. plenty more ahead.

♪ haidi: quick check of business flash headlines. mgm resorts selling to hotels in las vegas, blackstone for a most $4 billion after acquiring off of the object. sale of blackstone includes two other hotels which mgm will continue to manage. mgm has been selling real estate to raise cash for new construction and online betting investments. nissan says the global semiconductor shortage goodies before the end of the year. an official said the chip shortage hasn't stopped any new model launches, but has forced the company to adapt. >> it is a new normal for us for

spending. this has taught us how to plan for an unpredictable scenario. we are adjusting production, but i am pretty sure we will be out soon. haidi: a new unicorn is born, a startup could raise 415 million dollars from a group of investors including the softbank vision fund. it marks one of the largest funding rounds for a middle east tech company. the ceo says the startup is enough -- shery: we will be broadcasting a fourth of july big event, the boston pops spectacular. you will be missing me on monday because i am off, i will be watching us in celebrating in a very american way, nice market. haidi: flipping burgers maybe.

i am going to envision you doing that. this is a nice return to tradition, the boston pops, because the event was derailed last year. they wanted to do it in person on the esplanade this year, but guidelines allowing in person performances did not come in time, but they have promised to return for the next performance. gardens, even though it will be streamed, it is usually asked -- regardless, even though it will be streamed, it is hugely exciting. shery: the oldest navy ship afloat that played a key role in the war of 1812 against the british, we have the story. ♪ reporter: the uss constitution, old ironsides, is the world's oldest commissioned warship afloat. >> we talk about her to really bring that history to life. reporter: it earned its nickname during the war of 1812, when british cannonballs were seen

bouncing off the wooden hull. >> you don't get immersed until you are here ncl these guns on our gun deck. one of the -- reporter: 124 pound gun has a new name. >> back in 1812, they rallied behind something like a mascot. reporter: cannons needed names because most sailors then could not read. no records survived for the original gun names on the constitution, some have names based on records from her sister ship. >> it is a little bit here and there. we got to name a few ourselves. my idea was to name it in honor of women in the military and the navy and petty officers. reporter: walsh was sworn in as the first email navy petty officer in 1917. >> the first female to enlist in

any branch of service in the first to get equal pay and rights and benefits, unheard of in 19 evan teen. -- 1917. her history made my history possible. reporter: the naming ceremony wasn't streamed on facebook, i head of the reopening to the public. >> people can come on board, get tours, meet our sailors and they should visit the museum. >> the museum exists to show the stories about old ironsides, spark excitement about naval heritage on the american experience. we are so excited the constitution has more female leaders that she has had in her history and they banded together and named a gun in honor of a u.s. sailor. reporter: these cannons are century-old replicas of the originals, and the newly named one is one of only two named by the current crew. >> this is my dream job, being

assigned to this crew is amazing. i am lucky every day. i want them to realize how far we have come, not just as a navy come about as a military, and how women have striven to overcome obstacles and challenges. shery: tune into the boston pops july 4 spectacular sunday at 8:00 p.m. eastern on bloomberg tv, radio, bloomberg. commenttake -- and -- bloomberg.com and quicktake as well. haidi: in hong kong, but a dozen companies have halted trading ahead of the start of trading this friday morning. they are the likes of castle resources, eres asia, saying the suspension is due to a delay in publication of results from march.

we continue to watch those stocks, but at this point, the halt has affected a dozen companies. punk am going to the start of trading this friday. coming up, more market insight from a ucla professor. this is bloomberg. ♪

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>> it's looking good for the future. now we've got to get the convention business back in vegas. we are looking good for the third quarter. ♪ tom: happy friday. it is 9:00 a.m. in beijing and shanghai. welcome to "numbered markets: china code david: -- welcome to "bloomberg markets: china open." david: today, our top stories -- it's all about the economy. more clues on when the fed will start tapering. tom: