>> a very good morning and welcome to daybreak australia. sophie: we are counting down to ages major market open. shery: good evening from bloomberg's world headquarters in new york. president biden defends the afghanistan withdrawal as chaos erupts in kabul. he says america's mission was never about nationbuilding.

haidi: the s&p 500 extending its search. now double its march 2020 low. shery: tesla shares take a tumble as regulars open an investigation into its autopilot system. this is the picture across wall street. we are seeing u.s. futures muted at the open. this after resolve the s&p 500 closed at another record high. we are talking about the fifth consecutive session. yielding sectors like health care and utility shares to it was interesting we some of the vix gaining ground today for the first time in four days. we have seen a measure of implied volatility in the vix options advancing for five out of the past seven weeks. we had some dollar strength given some of those safe haven moves. wti lost ground in the session given the concern in the delta pandemic. not to mention the economic concern.

it was all about the rallies on the s&p 500, erasing all the pandemic losses. 100% gains since march of 2020. the 49th record close since the end of last year. but bucking the move in the equity markets today was tesla. we sell it have the worst day in about two months. facing a formal inquiry into the autopilot system. this of course after some of their vehicles crashed and we are seeing federal officials opening that probe. tesla was under pressure. we have seen those crashes. about 11 or so since 2018. highway crashes. the investigation will be covering 765,000 vehicle was. haidi: one to watch for sure. that pressure on tesla pit when it comes -- on tesla. the return to work being upended by the delta variant.

we are hearing state street is the latest to embrace a more permanent level of hybrid work. they are leaving their two midtown manhattan offices to give greater flexibility to their workers. we are hearing on the good news. pfizer and biontech submitting data when it comes to database a show that third rooster shot does meaningfully boost antibodies to the delta variant and the virus. shery: investors watching the delta variant spreading across the world closely. also geopolitical tensions as we continue to see the political firestorm president biden is facing with images of despair at cobbles airport -- at kabul's airport. the president said he has learned there was never a good time to withdrawal u.s. forces from afghanistan. he is standing squarely behind the decision to withdrawal troops. we continue to see the mounting criticism on the president as those images are released from

the stand. haidi: and increasing terms about -- increasing concerns about humanitarian and other implications. let's take a listen to what president biden had to say. >> i stand squarely behind my decision. after 20 years, i have learned the hard way. there was never a good time to withdrawal u.s. forces. haidi: president biden defending his position to bring u.s. troops out of afghanistan despite criticism of the chaos that has engulfed the country as a result of the taliban encroachment. pictures of thousands of people rushing to the exit of the country at the international airport with land borders under taliban control. let's bring the white house correspondent for the latest. very much sticking to message. >> this is echoing what his a

national security advisor jake sullivan had said earlier end of the day. not only that they were not rethinking their move to withdraw u.s. troops from afghanistan in light of what has happened in the last few days but that it is all the more reason to proceed with the plan they have put in place. where does that leave us? the u.s. is saying they are focusing on the airport. they were trying to take control of the tower so they could maintain military and civilian flights in the airport. there were reports flights have resumed at a fairly quick pace. will woke up in the u.s. this morning to those harrowing images of people running after the planes and worse. some unverified videos. broadly speaking, biden is trying to say this is what we are doing right now to try to evacuate people. he is facing pressure certainly from republicans but from some

democrats to get people out of their. get vulnerable afghans out of there. in some cases whether they have the paperwork or not. you can imagine how difficult it would be in the chaos to gather the paperwork. an underlying message is not sending troops back into afghanistan other than the 6000 responsible for the evacuation. he says that was the core message. he is not going to pass the were on to another president. he does not want more soldiers to die in what he calls a civil war. shery: what is the international community doing? >> scrambling is the short version. a lot of countries were relying on the u.s. to secure that airport. as things calm down, the questions will pivot to other questions such as who will recognize the taliban government? what sort of restrictions will they face? what will happen when u.s. troops are under fire at all in

the coming hours or days? all of these remain up in the air. there is ample pressure to get the afghans out. there are questions as to why that has not happened until now. earlier today, we were going through the inspector general reports on this issue. the winning signs have been there for a long -- the warning signs have been there for a long time. joe biden and others are saying they were not prepared for how quickly things fell apart in kabul. that has what has left them scrambling. job one in their view is securing that airport. we do not know how many people that will be. we have a target number but that may change. step two after that is pulling the 6000 troops out of the airport and saying goodbye to kabul for now and ending what joe biden has said is america's longest war, a 20 year war that

he clearly is not interested in the u.s. remaining involved for haidi: we have talked a lot about the humanitarian and social implications and it comes to women and children. when it comes to the owner abilities this leaves for -- the vulnerabilities, what is the criticism? >> the question is if you do not have boots on the ground in afghanistan, can you hold back it coming a breeding ground for terrorist activity? biden is at least arguing they can do that already. saying this morning afghanistan is no longer at the top of the list for countries harboring or stewing terrorist activity worldwide. they are saying they could have their cake and eat it too. they can leave afghanistan and dive in when they need to to intercept something. that is how biden views or at least today is -- he said debuting the war was about stabilizing al qaeda and going after bin laden.

it is worth remembering he was vice president of an administration that only stayed there for 10 years but surged pacitti early in the administration. in some ways, biden is backtracking a little bit on the position of what has been the obama biden position for several years in a and a stampede -- in afghanistan. all you can do is hope the damage is as limited as possible. haidi: our white house correspondent with the latest. we have some breaking news in terms of aia earnings. we do see a beat when it comes to the value of new business. up 22%. other than expectations of 21%. when it comes to the number, it $.1 billion. the intern dividend per share is slightly under what bloomberg expectations were.

three and a quarter billion dollars. total weighted premium, 18.5 billion. we had been expecting quite a bit of leadership when it comes to the southeast asia business driving the value recovery. aia continuing to forge into mainland china. they had the ambition of entering two new regions in the mainland per year and that is seen to be the main driver of the recovery in growth. we'll be watching out for that when markets start trading in hong kong. shery: despite the relatively solid earnings, we still have geopolitical concerns, growth concerns. let's turn to sophie watching the market. sophie: quit a laundry list. that was one of the factors that weighed on emerging market stocks. we see that index fall to a dry low. showing some tepid moves for asian futures.

south korea coming back online with the kospi having capped seven straight losses. we are watching earnings. the potential deal with woodside. checking in on currency action early this tuesday, we have the aussie dollar holding monday's drops ahead of the meeting. you have the offshore yuan looking steadily ahead of the chinese body kicking off a four day meeting of growth and regulatory trajectory in focus. we had the dollar-yen making a push toward 109 while the euro-yen cross is trading around a march low. this as we saw -- catching a bid with arc it's wayne -- afghanistan concerns could hamper the passage of infrastructure and budget bills. warning that the u.s. policy debacle could increase redlines in the asia-pacific region. fragile risk sentiment is exacerbated by the turmoil in afghanistan.

shery: let's turn to vonnie quinn with the first word headlines. vonnie: malaysia's prime minister and his cabinet have resigned after more than 17 months in power. this deals with the crisis of leadership in country hampered by a weakened economy at a surge in code cases. he says he will stay on as a caretaker prime minister until the successor is named. king says fresh elections are not the best option during a pandemic. china is promising to part ties employment rates fiscal and monetary policies. the state council says china still faces relatively large labor pressures during the current five-year plan, which ends in 2025. it says the emphasis should be placed on developing labor-intensive industries, vocational training, innovation and higher-quality jobs. pfizer and beyond tech have

submitted early-stage data on booster trials. they say a third dose of the covid-19 vaccine leads to higher levels of protective antibodies. when given a 10 nine months after the initial doses. results from a larger final stage trial are due soon. the companies want formal approval. new york city is expanding its vaccine mandate to include museums, sports stadiums, zoos, movie theaters and other venues. visitors and staff will need proof of at least their first covid shot for entry. children under 12 are 12 -- are exempt must wear a mask and be with somebody who is vaccinated. new rules do not apply to businesses, schools or senior and childcare centers. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i'm vonnie quinn. this is bloomberg. haidi: still ahead, discussing

the political cost of the u.s. departure from afghanistan and the impact on women and girls as the tele-been prepared to declare what they are calling a new islamic as merits -- islamic emirates. will be speaking about the markets outlook and rise in volatility. this is bloomberg. ♪

>> this week, the world is a little more dangerous. >> particularly alarming has been the military victories. >> the taliban have won this war. they took 20 years to do it and they have proven their strategy of patients will outlast the united states. >> the real process of the tele-been building a government actually happens. >> i do think those in the

tele-been are going to gain some kind of international recognition. >> you're trying to talk to the taliban leaders in a peaceful, brotherly, patriotic way. >> what we want to make sure is we as the u.k. pull together our like-minded partners so we deal with that regime in a concerted way. >> the west should hang its head in shame as we abrupt the abandoned afghanistan -- abruptly abandoned afghanistan after two decades of effort. >> this will hurt the reality and perception of the united states. >> this is a humiliating strategic defeat by the west. shery: global leaders and some of our guests weighing in on the situation in afghanistan. there are still a degree of anxiety in markets. the vix rose today. not to mention a measure of implied volatility in vix options has advanced for 557 weeks. for his market analysis, we are joined by george for boris.

great to have you with us. you start factoring in the afghanistan turmoil whether it is just on the terrorism concerns or perhaps because president biden will face more domestic pressure? >> good morning. very difficult to be interfering in geopolitical events. their neighbors, china, pakistan, input from russia. there are many moving parts from a geopolitical end risk perspective. once again, very difficult. markets will be a little bit nervous as they try to digest it all. take the advice from risk analysts around the world that are giving their input. it is clear we have been conditioned to the last 24 hours notwithstanding the images we are seeing will be some form of

engagement with the taliban for the rest of the world. and from the u.s. perspective, there is a domestic base and a foreign base. there is going to be one president that will have to stop that long-running implementation into the region. it had to be biden. the decision is made. how do you move on from this? shery: what about economic concerns? we have seen u.s. consumer sentiment falling to the 2011 low. this chart showing analysts are expecting retail sales numbers to come out in the negative under pressure. should we start reconsidering the reopening that yucca -- reopening that? >> in part yes. the good news -- obviously lockdowns around the world and

the reopening has implications for economic conditions now. we are trying to be predictive. we are buying future earnings. bond markets are trying to be predictive in the future. the way to look at it and in an oversupply five manner is economic conditions are expanding in a decreasing rate. you want to participate in that? expanded earnings are not as robust on the pulse. the economic momentum is behind us. but yes, there are risks to be balancing all the time. that is why we listen to every fed official. the condition for the pre-tapering. but the handbrake off a little bit -- put the handbrake off a little bit. positive again. haidi: if we take a look at how

positive broadly earnings season has been so far, which companies do you look at and see there is still further upside? it feels like a lot may have peaked or investors have priced in the peak. >> good question and obviously the market has doubled the s&p 500 from the lows in march 2020 and has done it in record time. very difficult. with a tapering narrative and the discussion at the moment beginning in the first half of 2022, some farm in the next year. -- some form in the next year. markets will be ok with that but they are still expanding earnings environment to cyclicals, materials, industrials, financials can still benefit.

the rate of growth and expansion of the pulse of earnings is not going to be as robust. we need to understand that. while earnings are extra nearly high, there were some obvious reasons the western world. it is going to go above the historical benchmarks. are you happy with these prices reflecting on etf expanding on long run struggle benchmarks? that is a balancing act. corporate balance sheets are in good condition. sovereign stresses and defaults next year. the balancing act is conducive to expanding earnings. they are expanding at a lower pace. haidi: turning us out of melbourne.

fresh under curfews and new restrictions coming up, time for hedge fund filings. we will give you the headlines when it comes to big names. this is bloomberg. ♪

shery: that time in each quarter when major investors disclose their earnings. among key takeaways, several funds piled into fintech. su keenan joins us with the latest. i know how excited you are with these filings. give us the key takeaway. i think warren buffett earnings are a focus. su: he cut back on general motors by 10% in the last quarter. this has been a big holding of berkshire hathaway for the past nine years.

they have been cutting back in the past three quarters. you look at some of the other moves by berkshire hathaway, a widely followed company because of its philosophy. you have -- they have continued to cut back on drugmakers although they ramped up on kroger and disposed of stake in the mark spinoff. they also invested in barrack mining. let's take a look at some of the moves by george soros because they indicate -- the firm owned by george soros. the dumping of additions tied to the archegos implosion to it all the shares act up in the first quarter. viacom, tencent, discovery appeared to have been sold the same amount sold in the second

quarter. that includes a lot of the chinese adrs. they did boost their amazon position. it also looks like the love a fire hedge funds have -- love affair hedge funds have had with tech stocks may be over or taking a timeout. a lot of funds appear to sell faang stocks into the rally. they were hot on fintech and spacs notably. haidi: looks like investments tied to the pandemic are being favored by these big investors. su: a lot of action to pandemic related stocks. doordash picked up by two prominent hedge funds pig chase comte -- prominent hedge funds, they all either added to or engaged in new positions. a name that benefits from being stuck at home, moderna, which is part of the s&p 500 also saw a lot of action. the vaccine maker saw a new

position worth 900 million. others ramped up their position as well. shery: su keenan with the latest filings. a peek into billionaire and hedge fund assets. this is bloomberg. ♪

>> i stand squarely behind my decision. after 20 years, i have learned the hard way. that there was never a good time to withdraw u.s. forces. >> i urge all parties, especially the taliban to exercise utmost restraint. >> what we want to do is make sure we as the u.k. pull together the like-minded partners so we deal with that regime in a concerted way. >> the afghan army has failed to

provide any resistance or very little resistance. we all made an incorrect assessment and this was not just a misinterpretation on the part of the germans. it was widespread. >> in time come afghanistan wanted its own manpower and europe alone cannot assume the consequences of the current situation. we have to anticipate this and protect ourselves against irregular flows of migration. haidi: world leaders speaking about the chaos in afghanistan. the taliban today has a social media presence and a media team saying all the right things. any are skeptical the offensive represents a shift in the fundamentalist role. our next guest, the director of the peace and security center. how much has changed and what are your expectations of the way the taliban reverence the

afghanistan? -- taliban governs the taliban? -- governs the f -- goat -- governs the afghanistan. >> just like any country organization or individual. what we know is that in the talks in taliban. they reject the constitution, which protects human rights including women's rights. that they had no they had no per dissipation of women on 13. despite several ongoing initiatives to ask them to represent the women in their group. to bring along their wives and daughters. they did not do so. we know how they will operate. we need to prepare for the worst. i am a feminist scholar of international relations but i

like to think of myself as a utopian realist. i think we need to prepare a two track strategy. and i think we need to respond to those women, especially women's rights activists who have been working with western governments. we need to provide them safe passage out of afghanistan if that is what they would wish. we need to have a long-term strategy. that should involve all of us. we need to continue engaging with the taliban and emphasizing to them the importance of human rights. the importance of responding to the humanitarian situation in a peaceful way. i think we'll need to be continuing to engage with our own governments about how when these issues are to us. haidi: talk to me about what this engagement looks like. from the outset, we know -- they

have invested interest in the region. we know russia is likely to have that engagement could is it useful -- that engagement. is it useful some of these countries are going to be communicating and dealing with the taliban? does that give them extra credibility? is there a way you can helpfully channel that into checking some of these groups that we know are already according to disturbing reports having their rights and freedoms restricted? >> i think we need to continue to engage as global civil society. countries including russia and china and emphasizing the importance of the great stripes women -- great strides women in afghanistan have made over the past 20 years. china and russia are not the best countries with which to engage on these issues because they have continually said

issues related to women's rights are of concern and should be under the governance of states and not the international community. they themselves have not supported in any way the promotion of women's rights internationally. shery: tell us a little about what could change in the day-to-day lives of women. take us back to the 1990's under the taliban. >> i think it is important not to look back. i think we need to look forward should certainly in the 1990's, girls could not go to school over the age of 12. they did not have the right to freedom of musical expression. they could not play a musical instrument. they could not be employed. they could not go anywhere outside of their home without a male guardian. they were essentially an appendage. property of male relatives. it is not to say afghanistan is

the only country with that situation but i think we need to look forward. we need to understand the past 20 years, many girls have been educated in some universities and afghanistan. the majority of students are female. we have been conducting a series of debates with afghan youth across the last two years on the peace process. and we have had brilliant young women debating alongside their young male colleagues. so there is a huge cadre, a huge capacity among young women in particular, which would be such a loss to their country if they have to stay home. we need to focus on that right now. shery: what leverage does the world have in order to try to guarantee these rights? >> the only leverage is the power of public opinion, the power of religion and the power

of global civil society. i think everyone, if you are not interested in afghanistan until now, this is the time to be calling your mp, to be writing letters, to be contacting your community and religious organizations. it is a really important time for muslims around the world to be reaching out. i think religious faith based approaches may be very effective at this time in terms of promoting women's rights in particular but really the situation and the humanitarian protection of all people in afghanistan. haidi: what are you hearing on the ground? this has obviously moved a lot faster than i think most people thought it would. even in the last two or three days. what are you hearing from reports on the ground that is happening that would concern you

about the direction the taliban is taking when it comes to the infringement of women and girls? >> i am really concerned. in a couple of provincial capitals, the taliban have asked for the list of unmarried girls in sending those girls to marry their fighters. that has been happening in kandahar. i am very concerned that there are armed guards outside the homes of women leaders. and i am very concerned young women across the country are burning their university degrees and qualifications. i think we have some extremely serious concerns right now. many women in afghanistan feel betrayed by western countries

and by all of our governments. we had a webinar on thursday night with the minister of women's affairs, with amnesty international south asia women's rights campaigner based in kabul as well as two men from the afghan government. their message was clear. this is a horrendous end to a proxy war. this is not civil war in afghanistan by any means. the u.s. president has entirely misinterpreted the political dynamics on the ground and has fueled the takeover by the taliban, which will have consequences. shery: thank you so much. great to have your perspective on this tragic new development for women in afghanistan to professor of international relations and director of the gender, peace and security center. let's get to vonnie quinn. vonnie: recovery efforts in

haiti are gaining momentum after a devastating 7.2 magnitude earthquake struck at the weekend. facing criticism over a slow government response, the prime minister said his administration will act with greater speed. the announcement comes as tropical depression grace takes aim at the nation kid so far, nearly 1300 deaths have been reported along with nearly 6000 injured. hong kong has heightened travel curbs for residents returning from 16 countries including the united states, france and spain. about-face comes less than two months after started easing some of the strictest quarantine measures. effective august 20, those returning from countries deemed as high risk must quarantine in hotel for 21 days. tourists and residents from the unvaccinated list are no longer allowed entry. the japanese government is

extending its state of emergency through september 12 as the virus continues to spread. . the decoration for tokyo, osaka, okeene oma and fair the regions will be expended. the state of emergency will be -- will remain for the paralympic. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i'm vonnie quinn. this is bloomberg. shery: pfizer and biontech are making headway toward getting a booster shot. the two companies submitted early-stage data showing a third shot of the vaccine given eight to nine months after the first two led to higher levels of antibodies. let's bring in the bloomberg opinion columnist. what is the composition of this word booster? how different is it from the first and second?

my biggest concern, would it take away production capacity for the first two vaccines that are needed around the world? do we still have you with us? it seems we lost -- >> hi. shery: max is back. >> absolutely. the composition is the same as the first two rounds. it is the same vaccine. it is just another round. as for the concern about whether it might divert doses from elsewhere, there is no way around the fact it would, especially given the vaccination rate in africa and other parts of the world. even though we do have data that suggests this adds to protection. in some cases, it is justified. the u.s. approved before broader

mr. schatz come a third dose for people immunocompromised who never got sufficient protection in the first place. i do think it would be difficult to justify broader use of boosters at this point until you have the elderly population and health care workers, people with high risk around the world vaccinated. even though we are seeing more infections in fully vaccinated people, the vaccines do still appear to be very protective of severe disease and death, which is the most important thing. haidi: we are also hearing antibody cocktail's are becoming a pretty popular treatment given the attack of delta in the u.s. >> to some extent, you would expect that given you have an increase in cases, which means outcomes.le at risk of

this is a treatment if you catch people early enough could be helpful in helping them resolve reinfection quicker and avoid the hospital. another thing that has made it easier is one of the cocktails, regeneron, instead of having to be given as a lengthy iv process that requires specialized equipment, can now be delivered more easily. that combination of demand, more familiarity with the treatment and availability because of skilled up any fracturing -- of scaled up manufacturing. haidi: bloomberg opinion columnist with the latest. speaking of the vaccine, we have talked at length about the difficulties in procuring supply of the vaccine in particular the pfizer shy analyst really appeared we are hearing the country has had to dip into its covax supplies. it is intended for poor nations. australia rated 500,000 doses of

the pfizer vaccine out of the covax stockpile. this as we continue to see shortages. in terms of that number, that is double what the entire continent of africa received under the covax scheme in the same month. it is pretty depressing. we have also seen that with canada. they had to dip into covax as well at one point to shore up their domestic supply. this is playing out in a way i don't think anyone imagined when covax was set up and we were talking about equitable distribution of vaccines throughout the country. you would not have expected a developed country legalist really a to have to do this. shery: which is why i was asking about production capacity now we are getting into the booster shot output. i really feel for those less developed economies that cannot procure the vaccines. my parents finally got the second shot of the russian vaccine in bolivia.

there were two to three weeks overdue because there was no supply and there is no visibility about when these vaccines will arrive. some of the pfizer science have arrived but no moderna. then you hear of some argentinian populations -- it has been really patchy and scary at a time when the delta variant, now we know is not less lethal. with these high infection rates any the u.s. leading to higher death rates. haidi: what has been frustrating in australia is this ample supply of astrazeneca. 70 people don't want to get it because of this perceived -- so many people don't want to get it because of this perceived idea of blood clots. it is quite frustrating. shery: my family had been waiting for the astrazeneca. it just never arrived. there was never enough supply. haidi: huge amount of inequality. of course we do have big

interviews coming up on bloomberg tv. we will be speaking with the singapore minister about their vaccination efforts to come -- efforts. the prospects for the chp set of results as the potential deal with woodside as well. this is bloomberg. ♪

sophie: we were watching daybreak australia. we have bloomberg intelligence flooding, sure north asian equities saying korea and taiwan's year-to-date gains are at risk of a reality check in the second half and amid the pervasive tech phobia that is missing. last week, we saw the cages for taiwan and korea lead the drop in north asian stocks falling three to 5% with korean tech names facing the biggest losses. investment in the chip space may be overdone. switching out the board, i want to focus on what is going on in treasuries. getting ground amid economic and geopolitical risk. seeing more forecasters lower bids on benchmarks. the consensus now protecting

treasury yields of the 10 year around 150 basis points. this showing the market is lowering expectations for the current tightening cycle. shery: take a look at the commodity space. we saw the impact of that weaker than expected chinese eco-data. not to mention weaker than expected manufacturing data in the u.s. copper fell the most in two weeks closing below the 50 day moving average. open sacs remains positive about the future of -- goldman sachs remains positive about the future of metals. gold right now holding steady after getting ground for the past four sessions. investors turning to the haven asset given the rise of the delta coronavirus variant. not to mention the weaker economic data in china and the u.s. oil right now reversing some of those earlier declines for the past three sessions given those economic concerns.

we have seen it rally in the first half of the year since mid july. haidi: set to report for your numbers later. expectations running higher. i record profit at the end of july. all of this being boosted to near highs by the price of iron ore. the iron ore story has changed somewhat since then. let's get the analysis from the senior resource analyst. putting aside all of the speculation over when and if we get the woodside phb oil and gas asset announcement, let's take a look at what you are expecting out of the numbers. are your expectations high given what we have seen from the other mining and oil energy giant today? >> absolutely. the market is expecting a bump of results. if you look at the group of five heavyweight miners, there

is an expectation the first half profits will be as a collective group more than double what the prophet was last year. what that reflects his strong underlying commodity prices. that is no surprise. what it also reflects is these mining companies are also operating very strongly. shipping as much product as they possibly can. of course, we had the lead in as you mentioned with respect to rio tinto with regards to its results. most importantly, a very strong dividend yield. the payout for rio tinto over the last 12 months in aussie dollar terms was $12 77. that is a yield of 9.5%. if you factor in credits, that moves it to 13.5%. all eyes are on bhp.

market consensus suggests we are going to get a very strong dividend. full year payout is likely to be just over four dollars. that would put bhp on a yield of 7.8%. again, if you factor in credits, that is a yield of 10% based on where the share price closed yesterday. very strong outlook. haidi: to that point, we are taking a look at the performance of bhp over rio tinto. as you point out, so much has been the outperformance over rio tinto when it comes to the oil department. this is the one that is on the chopping block. is there an extent to which concerns are find that this is going to be a performance loss if they were to split that up? >> it has been an interesting

discussion for decades with respect to bhp, a mining company that has oil and gas interests. as far as bhp is concerned, there are probably two camps. both that oppose the fact bhp has oil and gas interests -- those that oppose the fact that bhp has oil and gas interest in those that do not. garza interests and those that do not. i guess it is a fact of life. growing esg concerns that bhp has to do something with those assets. the neatest way to solve that problem if rumors are correct is a tie up with woodside petroleum. it is one of the key differentiating factors between share price of performance of bhp and rio tinto over the last 12 months. not only the fact bhp has

managed its iron ore division in a much better way, operating costs are much lower. but also the fact it has been exposed to the recovery in crude oil prices over the last six months. haidi: great to have you with us. founding director and senior resource analyst. taking -- taking ahead -- taking a look ahead at bhp. we have lots more ahead. this is bloomberg. ♪

haidi: this is a picture across asia as we head toward the market open. we are seeing losses rebound. nikkei futures not doing much after wall street finished at another record high. that's it for daybreak australia. this is bloomberg. ♪

>> welcome to "daybreak: asia." i am haidi stroud-watts. sophie: i am sophie kamaruddin. >> i am shery ahn. our top stories this hour, president biden defends the afghanistan withdrawal as chaos erupts in kabul. he says america's mission was never about nationbuilding