♪ haidi: a very good morning, welcome to daybreak australia. >> we are counting down to australia's major market open. >> good evening from new york. u.s. stocks dipped from record highs and bond yields rise as investors here the fed may be letting inflation get out of hand. >> jp morgan and goldman sachs

beat estimates but results failed to impress wall street. and the white house is set to one american companies about the risk of doing business in hong kong, ramping up pressure on beijing. let's look at the trading session in wall street. you can see the s&p 500 with 39 record closes this year down today. the inflation report came in a much stronger than expected. the headline is nearly double the 0.5% people were looking for. jp morgan and trace reporting mixed results as the earnings season kicks off. a big story in bonds. that 10-year note is now up over 1.41. the 30 year bond option was the big mover today after declines.

it did not go well. after a strong inflationary report, no surprise. crude hit a 2.5 year high today. there were warnings of a deepening supply crunch from iran and other major producers. what are you looking at? sophie: looking at a soft start for asian stocks. chinese tech joined the advance on tuesday. we do have the rbn policy decision. we have got to see if we have any clues from the covenant regarding the tightening package for new zealand. averages are saying very much top of mind given the situation in australia, indonesia, and malaysia which such cases top

11,000. singapore is also seeing a jump in daily case count of the virus. also waiting on a gdp report today. when you take a look at the expectations for global growth, we are seeing that move lower. you have participants less bullish on mobile growth and profits and are turning to cyclical value while shifting emphasis on tech as well as growth and large cops -- large caps. when it comes to the biggest tail risk, taper tantrum and inflation are on top. haidi: that inflation debate getting that big of search by way of prices -- big upsurge by way of prices. as you can see on the terminal that upside to price. this is how it leads to turning

on how the fed will respond. jay powell leads a conference on wednesday. expectations are heating up but the fed's transitory narrative will certainly be scrutinized. our earlier guest said pressures will be for longer than we see bond markets suggest. >> we see some of the reflationary pressures coming through. >> today's numbers tell us the market is going to switch to worrying about inflation. >> inflation is front and center in everyone's mind. >> the bond markets are selling a clear message it is not a big deal. >> in the epi increases are going faster for longer. >> i'm not going to assume it's transitory. >> investors have to prepare for the possibility bond markets are rome. >> it will be with us through the better that are wrong. -- bond markets are rome. >> it will be with us through

the better part of next year. haidi: to discuss this further, welcome the cio at the rockefeller global family office. jimmy, jay powell is hoping the inflation surge will be transitory. this more concerns that the longer the fed let it keep rising, the more entrenched it gets. jimmy: certainly it has been higher than expected. that surprised a lot of people. the good news is the good news is some of these components are truly temporary and you are not going to have these prices depreciating month to month. at some point that will fade. but there are other pressure points in the numbers. i think that will continue to remain fairly solid. overall, the debate is around where will inflation settle with things normalize one year from

now? is it north or south of 2%? my view is that it is north. haidi: what will be good news to the bond markets from jay powell tomorrow? it he is down --, does that make them concerned? if he is hawkish, does that make them say i'd better sell bonds? jimmy: he will stay fairly dovish. he will hint at starting to talk about tapering. keep in mind there are hurdles ahead. in u.s. policy, there is this issue with debt ceilings that may not be erased by the end of this month. if it is not congress will not be in session jointly until

september 20. so there will be time they cannot issue debt and that will create some additional issue and dynamics in the bond market. but then at some point, once the debt ceiling is really negotiated, there will be a lot of supply coming later in the year. so with abundance precaution, we are still in the midst of this reopening with the job market starting to normalize. i suspect the fed chairman stay fairly dovish. haidi: the pboc recently got a whole lot more interesting with that rrr cut. how many concerns do you have with the chinese slowdown and the implications of that? jimmy: the chinese slowdown was really the original trigger for this deal.

people tend to points to china as a leading indicator soon china flows further the pressures will start to lesson in a more inflationary environment. i do think china's regulars are looking at a faster pace of issuance. the economy is doing well on the export side but domestic consumption has been below expectation and they need to jumpstart several of these projects. so they will lead -- need that liquidity to deal with the local bond issuance. there is also the bond market. china is confronting a lot of challenges right now. haidi: is the liquidity issue going to be a big problem for chinese companies if they are locked out of the u.s. market? jimmy: i do think the intention

among chinese regulators seems to be shifting ipos from u.s. markets to hong kong listings. that will create some temporary disruption that i don't think it is a long-term issue -- but i don't think it is a long-term issue. a lot of liquidity is up to regulators. they have been on this tightening path the last few months and now recognize things are slowing more than expected. in 6-12 months, you can expect further easing from china's regulars. -- regulators. kathleen: cio rockefeller global family office jimmy chang. j.p. morgan and goldman sachs kicking off this week's releases. dealmakers at j.p. morgan generated record revenue while goldman sachs saw the second-best hall ever.

despite beating estimates, both banks saw stocks drop. let's bring in bloomberg's su keenan. given the elements that added up to this equation, things looked good on one hand but not good enough to suit investors? >> no surprise that goldman crushed on investment banking j.p. morgan chase not only beat them on the top and bottom line but best quarter ever. investors are quickly looking past that to the cost and uncertainties in areas such as. -- such as lending. we know the trading frenzy which used record profits in the past year and a half is now declining. and for j.p. morgan chase about we heard jp diamond state just minutes ago at the top of our show that he believes inflation

is here to stay. it is not transitory. that underscores the darker lying behind this club let's get to the good stuff we can. fees for advising mergers and underwriting blew away estimates. that blue -- boosted net come. jp morgan released billions in reserves, all that money set aside for bad loans. almost twice what analysts are protecting. analysts latest second quarter. second quarter they benefited from this. goldman revenue is up 36% mainly on these deals that everyone has been going after in this easy money environment. haidi: bank of america city

wells -- america, citi, wells, what are we expecting? >> it's a difficult act to follow. we will have bank of america and wells fargo reporting before. bank of america trading revenue estimated to commit at 3.8 billion -- come in at three point in billion. adjusted eps $.77 percent or. citigroup adjusted revenue at 17.3 billion. ups expected at a dollar $.94. wells fargo at $1.97. haidi: still ahead, we get analysis on the big bank earnings we've had so far. and coming up next a guest says they are staying optimistic on

china's bet amid the regulatory crackdown, this is the white house is warning of risks from hong kong. this is number. -- this is bloomberg. ♪

haidi: you are watching daybreak australia. >> researchers supported by the national institutes of health say people who received both dose of the messenger rna vaccine may not need an additional booster shot for years. the shots presented a strong, persistent immune response. however there is the concern about possible new forms or variance. more than half of all adults in the european union are now fully vaccinated. there up in president tweeted the news. -- the president tweeted the

news. they reported a rare disorder reported among groups of recipients of the johnson & johnson vaccine. janet yellen says businesses will likely provide crucial support in pushing congress to support a global tax plan. the push may be needed to help overcome republican opposition. the meeting approved april 11 area pack. 132 nations back to the deals -- deal in talks. jill biden will travel to tokyo for the opening ceremony of the olympics, pressing ahead despite authorities closing events in the city. all of accidents that all olympic events in and around tokyo will be held without fans. global news, 24 hours a day on air, on bloomberg quicktake,

powered by more than 2700 journalists and analysts in more than 120 countries. haidi: the u.s. will warn american companies this week about the increasing risks of operating it comes as washington looks to dull the pressure of the crackdown on patients financial center. meanwhile, antony blinken has warned again that chinese tech misuse. >> we know it is harder to ensure american tech innovations are used for commercial purposes only. countries like china don't differentiate between civilian and military in the same way and emerging technologies blur that line. so we have got to think differently about how to protect our innovation and industries against that kind of misuse. haidi: for more, let's bring in our reporter from washington. the biden administration is

laying the that this trade deal at china aimed at countering the rise and influence of china. we are getting a good idea at what the china's administration strategy. -- administrations china's strategy is. >> we are really starting to see flesh on the bone of the administrations also and it is looking like they are doubling down on the trump administration's more confrontational approach to china. administration officials tell us they have no choice, that the u.s. is responding to aggressive behavior from china and it is not something they want to do. certainly what they are starting to see here is an administration that has spent the last six months going about how to tackle

the china issue and now they are tackling some of these initiatives. haidi: what about the white house knew -- and the new advisory warning in entities engaging in human rights abuses. >> the administration is not taking any specific action at this moment. what they are saying here is listen, if you are a u.s. business that does trade or purchases or imports raw materials or other goods from benny's that have connections to or operations engine jim, you could be at risk. it is essentially a shot across the bow at potential actions to, or other actions the administration might do. we were really seeing here is the administration saying we are not going to turn a blind eye to

this. regardless of what happens, it's likely you face some financial risk. haidi: thank you so much. we will ask a big guest about the u.s. china tensions and washington's plan for digital trade deals when mindy cutler joins us in the next hour. meanwhile, another chinese listing in the u.s. maybe moved. this logistics and delivery company is considering shifting its ipo hong kong instead. the firm is worried about a lengthy delay in going public amidst beijing's regulatory crackdown. still, the singapore state investor posted it what he 5% return in the latest fiscal year. we spoke with the joint head of the investment group who says there's still plenty of runway in china. >> our portfolio in china stands

at 27%, which is along part of the portfolio. we look at the trends we have established and will be look at digitization or sustainable living longer lifespans or even the future of consumption, these are very prevalent and we believe there are still early days. we believe there is more to go going forward. >> you are invested in dd -- didi and financials are plunging after that predatory crackdown. -- regulatory crackdown. how do you view that? >> what drives this is the long-term outlook of the countries we invest in.

regulations are what they are, not only in china this is part of our intrinsic value exercises. we look at every risk around regulation and we make a decision accordingly. we still believe that there is plenty of runway left in china. and it will remain an important destination for us. haidi: -- >> many of your chinese investments are in the u.s. were planning to list in the u.s.. will the ipo route be less desirable for more on -- from now on? nagi: it is clearly a current concern for the companies. fast-forward, what happens down the line, nobody can tell you.

there are different tools for chinese companies to list and not only in the u.s.. not only the most critical consideration for that. clearly, considerations between the u.s. and china here are prevalent amongst us and we have to keep country -- monitoring what happens. >> what is attractive in china? nagi: anything related to trends. when you look at our sustainable focus, when you look at autonomous vehicles, companies that provide software, the agriculture space, innovation and life sciences, this is a big carrier for us and we are trying to tack on our network of companies by trying to put up companies together.

try to put a company in that we have tried to put a company with singapore with a company in southeast asia china has given us 20 of opportunities there. haidi: plenty more to come on daybreak australia. this is bloomberg. ♪

haidi: now a quick check of the latest business flash headlines. kathleen: neb has emerged as a front runner for the purchase of citigroup's retail office. they are said to be in advanced stages with the unit valued at more than $1 billion. it would make it australia's second-biggest credit card player. they confirmed the deal and statement but added it would not

be necessarily to a deal. apple is allowing consumers to pay for any apple purchases in installments over time. goldman sachs is the lender service called apple pay later. shares in growth -- shared in paypal fell on this news. it is not clear how much apple plans to charge. haidi: let's look ahead for australia and new zealand. australia's government has boosted covert support for new south wales and will provide thousands of dollars per week for businesses suffering from the extended lockdown. the rbn expected to announce its latest policy decision in less than 24 hours. they are said to leave the cash rate on chain but said -- but signaled they will begin to change rates this year as market expectations began to build on that. more on that next. this is bloomberg. ♪

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vonnie: you are watching "daybreak australia." bloomberg learned the u.s. will issue an advisory this week, warning american companies of the increasing risks of operating in hong kong. that includes beijing's ability to get access to data. we applaud the move comes as washington ties to ramp up pressure over china's crackdown on dissent in the former british colony. deadly protests in south africa following the jailing of jacob zuma shows few signs of letting

up. hundreds of stores have been looted and major highways blocks in the provinces which account for half the nation's economic output. 72 people have been killed. iraq's state news agency says 92 people are known to have been killed in a fire that swept through a coronavirus ward. the cause is unclear. it may have triggered an oxygen tank explosion. diplomatic officials say nuclear talks with iran are not likely to resume until after the islamic republic installed the new president. that all but eliminates the chances of a jump in oil exports . a dispute between the uae and saudi arabia is preventing opec

plus from boosting supplies as economies emerge from pandemic law downs. health officials say malaysians covid cases, which topped a record 11,000 on tuesday, may climb even further before stabilizing. the outbreak is being driven by the delta variant. much of the country is under lockdown since june 1. 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. heidi. haidi: a second person in sydney has died as new south wales has an outbreak of covid-19. the government is expected to announce another extension today. let's bring in georgina mckay. we saw the case numbers dip slightly but this does not suggest a trend. now that the financial elements are in place, can we finally see

some of these stricter lockdown measures for businesses? >> that's right. yesterday's case numbers dipped to 89 from 112 the day before and that number is likely to bounce around. the numbers may go up again this week. there's apparently thousands of people that have been listed as close contacts so we might expect a rise. the number of people in hospitals is also increasing. people admitted -- intensive care. as you said yesterday, the state and federal government announced a joint economic package for those who have lost work and for affected essences. i would say that the lockdown announcement is imminent. perhaps this morning, we might hear from the premier regarding this extension announcement and we are looking around for weeks to six weeks, local media has been predicting, but that may

change. >> business confidence almost halved in june and goldman sachs lowered its forecast. how it has this lockdown affected the economy? is it getting worse? georgina: this lockdown is costing around $1 billion a week and goldman's forecast for australia's growth is saying the quarter on quarter growth went from 0.6 down -- sorry, from 1% down to 0.6% but it may bounce back in the final quarter and sentiment has been hovering around record highs and now with the early suppression of the virus and high levels of fiscal and monetary injection, now, those figures are slipping significantly. with this economic package that has been announced, things may get better for businesses that have been affected in the immediate term but we will see what the long-term impacts are.

haidi: confusion over the vaccine rollout, vaccine hesitance the, vaccine arbitrage, we are hearing that the advice is changing again. georgina: that's right. the advice has now changed. people in bond of the age of six are being urged to consider getting the astrazeneca vaccine and people are also being urged to consider shortening the time between doses whereas in the past, we have seen the advice change so that the recommended age for astrazeneca has gone to as high as 60. kathleen: thank you so much, bloomberg's georgina mckay, joining us from sydney. let's turn to new zealand. the reserve bank of new zealand may again tightening monetary policy later this year as a slew of strong data suggest economy may be overheating.

all analysts see the central bank keeping the policy rate lower. let's get a preview -- steady for now. let's get a preview of the decision with bloomberg's paul allen. the details. it is an interesting thing because the rv and said that it was not going to move until late next year. paul: that's right. pricing in a move as soon as november, which is a lot sooner than later next year. 24 out of 24 economists surveyed predicted the cash rate will be unchanged but it is the statement that will be closely watched to see what happens next. if we look at the key indicators for the rv, inflation is one that almost doubled to 2.7% in the second quarter. that is getting near to the top of the 1% to 3% target range. the rbnz might hold off. wait for that to become

entrenched. the other key indicator being the labor market. unemployment is down to 4.7% in the first quarter. rv, one of the big four banks, sees that next year. -- rbnz, one of the big four banks, sees that next year. it is triple the pace they were expecting. rbnz already pulled back on qe, well off their piece of 1.25 billion a year ago and some analysts see purchases ending next month. >> what are the risks that could complicate things for the rbnz? paul: borders remain closed and the vaccination rate in new zealand is even worse than it is in australia and into the bloomberg vaccination tracker index so that is saying something. one area where new zealand also outstrips australia is the housing markets, the property

market in new zealand even hotter than australia so that would add novation to the rbnz to book its early tightening. central banks got a close eye on the currency as well, wary of being one of the first major central banks to put some upward pressure on the new zealand dollar and create a few problems for such an open, trade-dependent economy as well. haidi: paul allen. mixed results from jp morgan and goldman kicking off u.s. bank earnings. the head of bank research is with us with his take. this is bloomberg. ♪

>> the consumers -- their savings are up. the pandemic is kind of in the rearview mirror. they are raring to go. you see it in both parties, you see it in auto purchases. it would be much higher if supply could do that right now. >> we will continue to pay competitively and pay for performance but that is part of our strategy that has been in place for a long time and will obviously continue. with respect to sally's --

salaries, we regulate them every year and when appropriate, we make sure our salaries are that it is. haidi: jp dimon and david solomon speaking about their paying. the biggest banks reporting second-quarter numbers. to discuss what is yet to come, we are joined by the head of wells fargo securities. it is. when you take a look at the numbers out of jp morgan and goldman, spectacular numbers. why are investors looking at all the things they think are wrong? >> look, we are between antoine and act two. act i has been the amazing performance by wall street and capital markets and you saw that today with both goldman sachs and jp morgan. act i is continuing, but act two is about main street banking and that has yet to pickup.

those revenues are lower. we are not seeing the return of loan growth. it seems likely that loan growth will follow economic growth but it is not here yet. what we say is we are in intermission between act i and acts two and that intermission may take a little bit longer than people had expected. you have seen the decline in the 10-year treasury yield in the u.s. so that also hurts the traditional banking revenues but meanwhile, the dealmaking record , i mean, goldman sachs. look at those wall street results. it has been record investment banking so far year to date. a record backlog for mergers and other investment banking. record asset management revenues and they are still growing. they mentioned on their call today a new joint venture. asset management joint venture with icbc, the largest bank in china, so goldman sachs is

growing and they are not done and we increased our estimates at our price targets from goldman sachs. on jp morgan on the other hand, have all three, have main street, and the main street side has slowed them down a little bit that we had no changes for them and for the banks.com that are strictly mainstream, it is going to be a wait and see story for them. they don't have these extra capital market drivers. haidi: is it just a case of peak rating? it is up over 26% so far this year. is it just that all of these expectations are already baked in? mike: a lot of those expectations are baked in but do not miss the big picture. that is the credit quality. the loan losses at the banks are not only far lower than normal, but in some cases, likely to be at multi-decade lows for the

intervention by the u.s. government which has made a huge difference. you are seeing consumer and corporate credit look very good and capital markets have been strong but some of that has been baked in but as we go from act i to act two, eventually, we expect higher interest rates, higher loan growth, higher judicial banking revenues, higher revenues for main street, and when that comes, that is the next part of the story so do not leave the u.s. bank stock show yet. it is just intermission. kathleen: just intermission. you are positive on jp morgan and goldman sachs. we have a bloomberg chart that shows the index which for the past few months has been quite above the s&p 500, closing the gap, turning up a little bit. does it have something to do with valuations? if i already own these banks or a couple of them, is it like, ok, fine. for now, i have enough bank in my portfolio and i don't really

need anymore. mike: we would be overweight u.s. banks. we think that banks, there is also an act three and post-pandemic, banks, jp morgan, goldman sachs, and others are using technology like they have never used it or and we think they are driving to word record industry efficiency over the next three years to five years so that is very exciting for an analyst like myself who has covered the group for three decades. short-term, a lot of people say what is next. you have mergers and mergers. almost every company in every industry in every country is reevaluating their strategic positioning post-pandemic and i know parts of the world are still going through this in a very serious manner but they are rethinking their business strategy. pick up the phone for advice, you are calling goldman sachs,

j.p. morgan, those are the two biggest investment banks in the world. that part of the story has legs. kathleen: don't just stop. if you want to put more in your portfolio, go ahead. we just showed be of they, wells fargo, citi, morgan stanley, when they get their results, what do you expect to see there? the strong parts of jpm and goldman or maybe even better? mike: i will go out on a limb and give you the recap for second-quarter u.s. bank earnings after only two banks have reported. how about that? the recap is what i said already. wall street revenues are excellent. main street revenues are still weak but should get better in a few quarters. that is exactly what you will see. kathleen: i will happen with one final question here. from the regulatory standpoint, from the monetary policy

standpoint, is it noise for these big humanists of banks or is there some potential pothole in the road as we move through 2021 and get 2022 -- get to 2022? mike: thank you, regulators. thank you, regulators in the u.s., globally, for ensuring a strong u.s. financial system that could whether the pandemic as well as it has done. u.s. banks have been -- they are a major cause of the global financial crisis over a decade ago. u.s. banks have been part of the solution in helping the u.s. economy recover. having said that, they are always tweaking with regulations, there is always oversight, and i like that concern at the top. when that goes away, that is time to sell bank stocks. we have some healthy paranoia in the u.s. and globally when it comes to the banking system so i welcome, you know, prudent

regulation that is efficient, that does not slow things down but keeps proper checks and balances. kathleen: thank you for joining us and giving us your second-quarter recap for we get all the results. -- at wells fargo securities. apple working on a new service with goldman sachs. consumers pay for any apple pay purchase over time. the move is a response to the buy now pay later offerings. we are joined by mark gurman. basically, how will this work? will it be so easy and nice that no one can resist it? mark: thank you for having me. my biggest concern here is people are going to start spending money they do not have. it's going to be very simple. you make a transaction with apple pay. i will use this example. you buy something for $1000, two options. the first one is part of the

apple pay later system and it will be four installments over eight weeks at 0% interest so you would pay every two weeks $250 to pay down that $1000. there is also apple pay monthly installments which you can spread that $1000 not over eight weeks but over several months and that will have interest. this will be u.s. only to start and it will be based on loans from goldman sachs and over time, you can imagine that they will expand this internationally. >> what are the synergies in this partnership? mark: goldman sachs will do the underlying work providing the loans to the merchants and whoever people are buying from. it will integrate with the credit cards that are already existing inside apple pay so this will be a layer on top of apple pay. it will work with eventually any credit card you use with the service, whether it is american

express or chase, other providers internationally, versus the apple credit card. kathleen: is this going to be a big moneymaker for apple and is it going to spur even more competition, more people from all across the spectrum putting out these kinds of services? mark: whenever apple enters a new category, they take it mainstream. there is companies in australia, asia that do this, too. paypal has a similar offering. apple building it into the iphone, a device where there is over one billion of them in the market and it will change the way people change things. thanks to all the loans from goldman sachs so i think this has long-term potential to shake up how people pay for items in stores and online and i think apple will pull this off in a

seamless fashion and it will be exciting to see and i'm looking forward to giving it a try when this rolls out in the next year or so. haidi: mark gurman, our bloomberg tecra reporter. sure to tune into bloomberg radio to hear more from the news breakers. you can listen in via the app or bloombergradio.com. there is lots more ahead. stay with us. this is bloomberg. ♪

haidi: let's get you a quick check of the latest business flash headlines. a chinese asset management company has agreed to pay a bond. it has repaid the principal and interest of the bond on tuesday. the debt manager reached funding agreements with state-owned banks to ensure it can pay through the end of august. it posted its biggest annual return since 2010 on the rally in global equities but warned a temporary rise in inflation could be at risk. the singapore state investor saw a 25% gain for march. 280 $2 billion. that marked a turnaround from the previous year's drop of 2%. china remains the biggest market, making up 27% of the

portfolio, followed by singapore at 24%. sources say -- is considering shifting its ipo from the u.s. to hong kong as chinese regulators crackdown on overseas listings. the on-demand logistics and delivery firm is said to be concerned about new rules from authorities in beijing and potential delays to its listings. we are told that they are ongoing and they could proceed with the u.s. ipo. it jumped by almost 7% amid media reports of the -- the report suggests korea's e-commerce giant will launched an online business selling office supplies or launching a brand focusing on business operations. their stock has climbed 15% in three days and gained 31% since the debut in march. kathleen: time for morning calls ahead of the asia trading day. let's bring back sophie from hong kong. sophie: how the fed will stay

committed to its easy policy given the jump we saw in u.s. inflation. he is saying to not panic. when inflation is linked to reopening or chip shortages, it makes for a much less alarming reading. wait and see when it comes to the monetary policy front and switching out the board, we have wti slightly lower after oil prices jumped to a 33 month high on tuesday come out on oil. we have this following the iea outlook and tightening supplies. traders will keep oil at a polite distance in the near term amid concerns of the stand out on output with that caution being reflected in divergence that we are seeing signals by the unwinding. you can see it in the bottom half of the panel while we are seeing prices staying elevated for oil. haidi. haidi: let's take a look at how

we are setting up this midweek session in asia. wall street finally tumbled from those record highs following the surprise u.s. inflation, stirring the debate over how long the fed can stay loose on its policy and we saw a mixed reaction to major bank earnings. in new zealand ahead of the decision and we are seeing softness going to the start of trading and petitions in the market have been building that we can see tightening in monetary policy in the cash rate as early as november. no change expected today but watching out for major signals when it comes to language in the announcement. sydney futures looking mildly positive, watching aussie payment firms on that report that apple was working with goldman to use offerings and we are watching that cohort. mckay futures looking negative, slipping in hong kong as well. coming up in the next hour, our guest joins us with his

inflation outlook and we talk with the asian society policy institute vice president getting her views about the white house's proposal for a digital trade agreement to counter the influence of china. that is it for "daybreak australia." we have "daybreak asia" coming up next. this is bloomberg. ♪ so many people are overweight now

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haidi: hello and welcome to "daybreak asia." sophie: i am sophie kamaruddin in hong kong. we are counting down to asia's major market opens. kathleen: i'm kathleen hays. asian stocks face a mixed dart after wall street dipped from record highs with bond yields rising on the surprise surge in u.s. inflation. jp morgan and goldman s