haidi: a very good morning. i am haidi stroud-watts in sydney. we are counting down to asia's major market opens. shery: i'm shery ahn in new york or welcome to "daybreak asia. -- i am shery ahn in new york. welcome to "daybreak asia." tesla revealing plans for a shift in battery technology. bitcoin moving closer to mainstream acceptance. evergrande shares may resume

trade in hong kong as it scraps plans for a $2.6 billion unit sale. haidi: let's get you straight to the aussie open as we see trading getting underway. that staggered opening, gains across the board when it comes to how the asian session is likely to attract. the asx 200 up by just shy of .2%. this of course after we had really u.s. stocks rally extending that advanced to a sixth session within record highs. the aussie dollar is one of the big gainers overnight, .6% higher, climb into the highest since early july, trading flat at the moment at just over $.75. kiwi stocks up i .4% with that trade deal with the u.k. being enough as well. falling back just a little bit but still seeing a pretty strong gain on the back of that dollar weakness. the dollar strength falling to the lowest in almost a month,

shery. shery: earnings season in full swing. tesla saying it is working to catch up with demand after rolling blackouts caused production issues. it is feeling the cost headwinds on nickel and aluminum. let's get more from the earnings call with keith non-. --with keith. give us your takeaway on the earnings call. keith: the first key take away from the earnings call is that elon musk was not on it for the first time so that takes some of the drama away. but you know, what they stressed , the executives on the call, they are still on track for their 50% annual growth. they had a very large profit both on adjusted earnings-per-share basis and even more interestingly, a gross margin basis where it was over 28% even when you exclude the ev credits that they sell. that is a big beach over the 26% analysts had -- beat over the

26% that ms had been expecting. and stocks down about 1%. there were very high expectations going into this earnings. if they did not beat on anything, looks like investors were not going to give them credit but the one thing to remember is although the stock has dipped a bit, it is up 55% since its low in april. haidi: we spoke to the person who covers tesla and he was pointing out the component shortage was going to be the biggest challenge. keith: they have been faring better than others in the industry. they are a technology company and they write their own software so they have been modifying the software so they can maximize those precious chips and that is how they are

able to sell almost a quarter million vehicles in the third quarter so while it has slowed them down and it is preventing them from running factories at full tilt, they are still doing better than the legacy automakers in that regard. shery: -- haidi: keith naughton with the latest on those tesla numbers. you can also turn to your bloomberg, tliv , to get commentary and analysis from bloomberg's expert editors. bitcoin surging to an all-time high. we spoke to some guests about growing mainstream acceptance. >> it has been quite a rally. >> i think we will see all-time highs in bitcoin every month on a go forward basis. >> never say never. you look at a year ago, we were probably trading at around $12,000, so it is crazy to think that now we are at $6,000. >> i would think about buying it on any dip that we get. >> i think it's about getting the institutional adoption many have been talking about for years. >> when you get some of the

really large pension funds, it does not take much to push price up another 50%. haidi: this is a big step towards that mainstream acceptance, getting over that milestone number, but we spoke to so many people about how this exuberance is tied to etf's that launched this week. we are hearing analysts in australia saying that an australian version of a similar etf should be available within the next 16 months or so, given so much demand and that we are seeing regulators trying to address what the correct framework is for crypto. etf for bitcoin futures is really a risky bet for retail investors. shery: a little bit of a dialing back from china's crackdown. we saw a coin fall below the $30,000 level because they're concerned about what china would do next and perhaps this is why we are seeing this rally when it comes to these tech shares here in the u.s. on those chinese companies.

we are talking about the crane shares, china internet etf's now at a record high. we are talking about inflows of $8.1 billion in total assets, so perhaps that text crackdown that was on growing -- tech crackdown is having lasting sentiment on chinese adrs. the nasdaq seeing its best month since june 2020. haidi: perhaps not the case when it comes to the chinese property crackdown. we continue to see evergrande coming under pressure. it suffered a new below as it tries to meet its near term liabilities and avoid that default. the company saying that it wants a controlling stake in its property services arm to another developer. that deal has collapsed. let's bring in stephen engle here. bring us up-to-date with this scramble to try and stay afloat for how this will be a major setback. >> it is a major setback for

evergrande because the property services unit that is listed here in hong kong is also suspended and is one of the, dare i say, crown jewels of the evergrande empire. evergrande, the parent, has more than 300 billion dollars in liabilities. the property services arm collects rent and does management of its properties and was profitable in the most recent of full-year earnings. they were in talks with another developer in the province but in much healthier financial situation then evergrande. and talks apparently collapsed last week. the two sides saying they could not reach a deal. hobson saying it regrets the vendor was not able to complete this sale but it was going to be a $2.6 billion cash injection. much-needed cash injection for evergrande to sell that 50 point 1% controlling stake in the property services arm. it has collapsed and where do

you go from here? evergrande has failed to sell its easy unit. it has failed to sell its hong kong tower. now, it has failed to sell this controlling stake in the property services arm and it has to meet short-term liabilities to bondholders, contractors, to suppliers. the list continues. shery: in the meantime, they actually want to resume trading their shares or they were halted since earlier this month. will we see that? stephen: it could happen. they have applied all three parties that have all requested the stock exchange resume the trading of the shares which were halted in early october when news of this deal was starting to leak out. they announced that there was going to be a major transaction in the work. again, they were not able to complete this deal now. and other media reported that perhaps the provincial government authorities did not like the terms of the deal so they did not give the approval.

it will be interesting to see what happens to these shares when they do resume. property services has not fared as badly as evergrande before the trading halt, down 43% year to date where evergrande was down 80%. hobson, as i said, much better financial situation. those shares have been up so far your today. shery: stephen engle there. let's get to su keenan with the first word headlines. su: thank you. we start with president biden, his pick for ambassador to china has taken a hard line with beijing over its actions in the indo pacific but says american strength and alliances give the u.s. key advantages. at his confirmation hearing, longtime diplomat nicholas burns also said he was skeptical about chinese intentions on issues such as 5g technology. he also warned that the world should be worried about beijing's nuclear buildup. the u.s. fda has cleared the way for millions of americans to

receive covid-19 vaccine booster shots. the agency approved moderna boosters for those over 65 and younger people at high risk and it has authorized a single booster dose of johnson & johnson vaccine for those older than 18 at high risk. the fda also approved a mix and match approach, allowing any brand to be used as a booster for eligible individuals. to apple now, the company will force unvaccinated corporate employees to test for covid-19 each time they want to enter an office. this tightens the virus particles while stopping short of a vaccine mandate. office staff will be required to take rapid tests once per week. as proper -- apple retail stores, vaccinations will need to be -- vaccinated workers will need to be checked once per week. singapore will keep tight virus restrictions for another month as authorities warm a record wave of infections threatens to overwhelm its health care

system. the measures limiting outdoor social gatherings to two people and making work from home the default will continue through november 21. the government will extend aid amounting to 476 million dollars to help both businesses and individuals. 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 su keenan. this is bloomberg. haidi: still ahead, we will hear from the imf asia director about the diverging path that has been emerging at the advanced economies. hedging against inflation with tribeca investment partners portfolio manager. this is bloomberg. ♪

shery: add lloyd blankfein to

the camp that things a little inflation is ok. he spoke exclusively with erik schatzker about the risks of raising interest rates for bloomberg's front row. lloyd: some things that are inevitable is how we manage interest rates going back to what, you know, normal by history. if everybody owns paper, that has been issued at .5%, 1%, 2%, and interest rates -- 10 year interest rates go to 5%, unreasonable place for them to be if you look over history. what happens to the market on everybody's portfolio? in the world? any instrument ever issued? as a result of low interest rates, people have been taking extra credit risk. maybe sovereign risk. but extra credit risk in order

to get higher yield. that will break people's hearts because things are stable but if the market gets disrupted, it tends to be the weaker credits that separate -- the stronger credits separate from the weaker, so there's a number of things that can go wrong when money starts to get allocated by assigning costs to money that is inconsistent with history and that is a long way from where we are now in the market. david: are we or are we about to have an inflation problem? lloyd: there's a lot of remedies in the world, painful as they are, for inflation. it's very hard to get rid of deflation so if you had an error on one side or another, you err on allowing a certain amount of inflation to take place and not want to get yourself into a kind of deflationary -- japan for 25 years as a reference --

david: seeing this on both sides, it sounds to me like you think the fed is doing just about the right thing now. lloyd: i respect the fed for standing up to a lot of pressure. and i think, you know, again, deflation is a terrible thing. inflation, you could tolerate. it is bad. i could go through all the things and how unevenly inflation affects different parts of the population. you go out and buy things now because you get more expensive and then you have deflationary expectations, you say, you know something, i will wait for tomorrow. tomorrow, you wake up, and you say i will wait another day because it's getting cheaper and easier, etc. and then you are really in the economic doldrums. haidi: lloyd blankfein speaking with erik schatzker. our next guest says inflation hedging is one of her top investment strategies. let's bring in jun-bei liu, he

portfolio manager at tribeca investment partners and this is really kind of the primary concern for markets everywhere at the moment. what is your hedging strategy? jun-bei: look, the hedging strategy here is, first of all, we look at the inflation two ways. we think inflation is going to be transitory, short-term, and we don't think it's going to be structural for the time being. now, so what we are looking at is investing centers and companies that have leadership, that has the pricing power to be able to pass on the increased costs. especially particularly at this point that we have, you know, supply chain disruptions and the like. we need businesses who are able to pass that on to consumers. you know, and then in the current environment, we do think that there is enough demand for businesses to do so. absolutely focused on business. at this point. haidi: how much are you looking

at exposure by energy and commodities? jun-bei: in terms of energy and commodities, that is a natural sector that investors gravitate towards. energy certainly looks well underpinned by the demand and the supply side shortage for the time being as we head into winter. europe and china. and energy equity has performed very well and we think it will continue to do well for the next quarter or so. in terms of the broader based commodity, we are more pragmatic about those commodities because there is a lot more, you know, china growth to slow somewhat heading into the year-end and that will release -- relieve some of the pressure on the likes of iron ore. for a broader commodity, we think it looks -- at the moment. >> are you saying that when it comes to price pressures that we are seeing right now that the energy crisis might resolve

first before supply chain disruptions and does that affect how you position your portfolio? jun-bei: that's an interesting question. which one would come first? as we head into winter, the energy crisis may change the way it is paid we don't think both will be resolved anytime soon. certainly not when the global mobility gets to pick up significantly. next three months to six months, we will see more of those shortages in energy and supply chain disruptions. should be able to see improved de-bottlenecked supply chain side and in terms of energy prices. in six months, we should see things getting better but that's , you know, we do hope it does. shery: what is happening with these chinese stocks, whether it is the hang seng tech index in hong kong becoming the best

performer worldwide since october, since the beginning of this month, or the nasdaq will then drive and index. why aren't investors more concerned about the regulatory crackdown? jun-bei: it's incredible, is it? investors are concerned with the crackdown but this is the nature of the share market. it reflects the sentiment of what investors expect to see. share prices were sold off significantly in august. all of these tech companies, in a way, it was oversold, pricing and way too much uncertainty and this is at the same time when that hits an all-time highs are relatively, it presents significant amounts of value certainly to devalue investors. incredible buying opportunity in those businesses. you are right tonto line fundamentals have changed but it got too cheap and now it will revert back to, you know, to a more normalized level. pricing in some uncertainties.

shery: jun-bei liu thank you so much, as always. always great having you on. portfolio manager at tribeca investment partners. coming up, president biden's pick for the next ambassador to china draws sharp lines with beijing over its actions in the indo pacific. we have the details, next. this is bloomberg. ♪

>> i think from nick byrne's

perspective, it went pretty well. if you are looking to become confirmed as ambassador to china, he hit all the right notes. he certainly has a lot of experience as a diplomat. he is very polished. he sort of told basically every concerned party on either side of the aisle, democrats and republicans, what they wanted to hear. i think what was notable was that on both sides of the aisle, there is definitely a more hawkish line on china than there would have been 23, 4, 5 years ago, and i think he sort of recognizes -- two, 3, 4, five years ago. i think he recognizes that. he did take a harder line on beijing and that was well received among the members of the foreign relations committee. whether he will be confirmed or not, you know, still remains to be seen because there are some blanket holds on nominees including by senator ted cruz in

texas over the nord stream 2 pipeline between russia and germany. he still has a process to go through, but i think in terms of what folks are looking to hear from him today, he hit all the right notes. shery: what can we expect when it comes to the process of his confirmation? nicholas: well, he will eventually have to -- the foreign relations committee will hold a vote on his nomination. most likely, he will be confirmed. he was pressed by republicans and democrats on this position. they all seem to like what they heard. i imagine he will be confirmed or advanced by the committee. and then it goes to the senate floor. this was a crucial position and i think this is why the biden administration clearly put a lot of thought to who they are going to nominate for this position.

they picked someone who works for both the republicans and democratic immigration -- democratic administrations of the past so he is somebody who can get support from either side of the aisle so it's just a question of whether senate majority leader chuck schumer has to force a vote on the floor which will burn up time and an agenda that is kind of rapidly winding down toward the end of the year or whether you get unanimous consent from 100 senators to just move more quickly on this. and that is where some of these individual, you know, things like that could come into play. shery: dan flatley joining us from d.c. paypal is set to be exploring an acquisition of pinterest in a deal that would value the company at fort -- $45 billion. paypal approached pinterest for

a potential buyout. paypal shares slid 5% in new york trade while pinterest's surged. dbs and standard chartered said to be planning bids for asia retail assets. the offers for india are due next week. the bank is trying to refocus his business around -- it's business around hong kong and singapore, planning to hired 2300 new asia staff for wealth management by 2025. a chinese property firm fell further in a volatile credit market after canceled meetings with some investors. the company cited scheduling conflicts. on friday, kaisa -- in 2015.

it became the first chinese developer to default on bonds. coming up next, the imf's latest economic outlook report for the asia-pacific shows diverging paths for emerging and advanced economies. we will have the director. this is bloomberg. ♪ this halloween, xfinity rewards is offering up some spooky-good perks. like the chance to win a universal parks & resorts trip to hollywood or orlando to attend halloween horror nights. or xfinity rewards members, get the inside scoop on halloween kills. just say "watch with" into your voice remote for an exclusive live stream with jamie lee curtis. a q&a with me! join for free on the xfinity app. our thanks your rewards. shery: the the imf has downgrads

growth rating. let's bring in kathleen hays. the world is seeing a divergence between advanced and emerging economies in asia. kathleen: i'm happy to bring in a special guest. he's changyong rhe. great to have you back with us. asia is still a driver for the world.

still growing rapidly but within asia, diversions between advanced nations and the developing and emerging-market nations. when you look ahead, is this diversions going to start diminishing or will he get wider? changyong: divergence will get writer, unfortunately. partly because of the vaccination rate. also because of policy stimulus tools. for vaccination, by 2026, the level of gdp over most asian economies will be similar to the pre-crisis focus level. for the low income and emerging market asia, the gdp level in 2026 will be 12% more than the precrisis trend levels. mostly due to the vaccination in the short term.

many low income markets use policy tools and they are running out of that compared to advanced asian economies. kathleen: how about the sharp slow down we saw in china's growth rate? second quarter just under 8%. third quarter just under 5%. china is a big driver for asia's economies. how big of a risk is this to the outlook? changyong: at the moment, we are still focused on china's growth at around 8%. i think that china has policy tools if the slow down is accelerating for them. we are still maintaining the china growth rating close to 8%. the slowdown of china's growth is an inevitable consequence. you can't grow 10% forever.

china has increased significantly. the introduced several reforms, especially in the property sector. with that, i think china's growth rate will moderate. we are expecting that the growth rate will be around 6%. kathleen: still pretty optimistic then. central banks are normalizing policy as a big risk to asia. the fed is clear that they are getting ready to start their taper in november. other countries have already raise their rates. there's a lot of countries in asia with high debt to gdp ratio that had to lend heavily. what are these risks? who is most at risk? changyong: asia's debt has risen particularly after covid. it's true.

the share of asia's debt compared to global total debt increased to 37%. many asian countries are quite runnable. -- vulnerable. a lot of the impact depends on what is the reason behind the u.s. interest rate increase. if it's because the infrastructure bill passed in the gdp goes back up, that will mitigate the high interest rates. if they are increasing because of high inflation, the impact will be larger. for countries with domestic debt. kathleen: everyone is watching the ever grand debt situation. the regional economic outlook noted that debt surging in

china, among the highest in asia. if you are looking at india's high debt level because of the lockdowns, or the tradable goods sectors have been squeezed, they are also vulnerable in terms of debt. is what's happening at ever grand now just an indication of what could happen in some of these other highly indebted nations? changyong: i think ever grand is more domestic problem. the debt may affect china's property sector. consider whether the case can affect the chinese economy. many asian countries have different regions -- reasons. china is more corporate debt. korea and thailand have more household debt. india's debt is also corporate. india has high public debt. depending on the reason, the

nature -- if the borrowing costs increase, even though it's not a crisis, that will definitely slow down asia's growth rate. kathleen: if china cannot contain the ever grand meltdown, will there be a broader impact across china's economy? does that look at -- put a dark cloud over there growth rate? could that reverberate through asia's economy and the global economy? changyong: as i mentioned, there's a link to the international market. on the other hand, it can have a large impact. 1% slowdown with china and it reduces the asian growth rate by one third. it depends on how china's slowdown evolves.

the countries which have large exposure to china, those countries will suffer the most. if the property sector suffers more, the commodity exporters will suffer more. kathleen: vaccines. wider, faster distribution seems to be a key to getting recovery on track and some of the struggling asian economies. vaccines are expensive. many countries carry high debt loads. in some way, is the vaccine path an unaffordable solution for many of these countries? changyong: actually, asia suffers from the slow vaccination at the beginning. most asian countries ironically was due to the successful containment policies in 2020.

they can afford to buy the vaccine. they are increasing vaccination speed. most countries will have 40% goal by the end of the year. by mid next year, we expect most asian countries to reach 50% -- 70%. we expect that asia's growth rate will increase to 5.7% over the next year. kathleen: i will ask you a climate question. china's power crunch will force it to reduce its steps that it wanted to make on reducing its dependence on fossil fuels. especially when many alternatives are very expensive. it's a big shock to the economy and it is something that could hit the rest of the world. changyong: that's the million-dollar question. china announced that they will adopt a policy for the next year

and many other asian countries are considering. unless we see the technology development -- nuclear is not that popular. others are expensive or not available. that are things we are discussing with our asian countries. we have to remember that reducing the omissions in asia is not because of the pressure from western world. it's very important policy goals because of the quality life depends on it. air quality in china, you can see what they have to do. even though the growth rate may slow down a little bit, i think they have to push through this policy.

it's a very important policy test. we hope that technology development can catch up. kathleen: a lot of questions on the table for all of you. maybe when we get to the spring meetings in april, we will see how a lot of this has turned out. let's hope we see each other in person. thank you. changyong: i hope that we can see in person. haidi: great conversation there. let's get you the latest when it comes to the activist investor movement at exxon. owning a 0.05% stake, sending shockwaves through corporate america. the ceo said that she hopes the oil giant will change its business model. >> we are still a shareholder of

exxon. the changes going to take time. the first piece of this is getting the right capability. we did not put ourselves on the board. they are independent directors. our hope is that exxon is looking at not just the next year or two but how they are changing how they make money, how they are successful. we hope to see some different capital allocations. >> maybe we will see those. what engine number one was able to do on the exxon fight opened a lot of people's eyes to the power that smaller investors can have. i'm curious as to how other people can look at what you did and use that as a template or some sort of guide as to how they can approach their relationship with other companies. >> we founded the company on the idea that we take the data, not readings and rankings. we take the environmental, the

climate, the social and we simply use it to look at the valuation of companies and look at it over a long time. if you think about it that way, you only's companies. everybody that owns the company, you own the company. you have a voice and a vote every year. use the vote and engage with these companies. >> that has always been the case, at least in theory. companies haven't always had much incentive, unless you held 10% of the stock, they had no real incentive. >> we think about it as, if we can have a conversation with the company, it becomes an economic issue. the company has an economic accent of to take into account climate or worker issues so that they can transform their business and be more successful. that's part of the work we do, engaging actively with these companies.

part of this is reminding everybody that they have a vote. that was the impetus for the engine number one vote. >> reminding the retail investor that they have a vote. retail investors have caused waves across the market this year because of gamestop. it was that hedge funds they were looking at. how about if they could vote together on company boards? >> that's the idea with the etf that we launched. if you look at these issues, they are always economic issues. if you want to address change at scale, working with the biggest companies in the market, they have huge scales. if you care about climate, we care about that. if exxon is running a business where they are not running it to optimize value and time, we care about that. the idea is that every individual is going to hold an understanding of how to vote every single stock.

they have a vote in they can use it. that's what are etf does. it's more aggressive than most of the other asset managers. shery: engine number one ceo speaking with caroline hyde on the sidelines of the milliken institute global conference. coming up next, we work is set to finally go public with a $9 billion staff deal. we break down the numbers next. this is bloomberg. ♪

♪ >> a check now if the first word headlines. the feds randal quarles added his voice to the chorus calling for the tapering to start in november. he spoke at the milliken global conference denying that the fed is behind the rising inflation which he still believes is transitory. cleveland fed president told cnbc the u.s. central bank will not be raising interest rates anytime soon. to bitcoin now. they rallied to a record exceeding the 66,000 mark for the first time as optimism surges for greater mainstream acceptance. that's all -- follows the successful loss of the first exchange traded fund for investors in the u.s.. it spent recent days hovering in

a narrow range. it added more than $1000 in a minute just after the wednesday open in the u.s.. to china. ever grand has asked for the shares to resume trading in hong kong on thursday after scrapping plans to close its property manager arm. the proposal to sell a majority of the property services would have given the developer a major cash infusion as it faces impending debt payments. it asks that its shares resume trading. a new ceo is kickstarting the companies turnaround with a 7.5 billion plan to decarbonizing's assets over the next decade. 50% reduction in the minor operation omissions by 2040. surging iron ore prices boosted first-half profits to a record. it has been dogged by

operational setbacks and the follow-up from destroying a 46,000-year-old aboriginal rock shelter. global news 24 hours a day on air and at bloomberg quicktake, powered by 2700 journalists and analysts in 120 countries. this is bloomberg. i'm su keenan. this is bloomberg. shery: softbank will finally get a chance to recoup some of its $17 billion investment into we work when the company lists shares in new york. let's bring in our asia tech executive editor. it's a longshot for softbank to break even on this initial investment. does it go some way to to get -- to dig it out of that hole? peter: yeah. it's a pretty amazing drama that softbank has been through. softbank first invested and we work in 2017. they put about four point billion dollars at that point. later on, put in additional money and they posed up valuation of the company to $47

billion in 2019. that's when we were trying to go public and the whole thing imploded. investors got a look at the books. they saw how much the company was losing and how many conflict of interest there were internally. eventually, investment bankers decided they could not take the whole thing public. softbank turned around and did something unusual. they decided to bailout the company rather than letting it go under. they put in additional money, more than $5 billion at that point. some people would say they have put good money after bad, they've ended up with a very big stake in the company. now we work is going to go public at a valuation of $9 billion. haidi: how far have they come from those chaotic newman days? what does it mean now that we are in this work from home pandemic world? peter: yeah. it's a good question. certainly the business is on more solid footing now than when

it tried to go public last time. adam neumann, the former ceo, has left the company. they brought in quite experienced real estate manager to take over. they closed down a bunch of the operations that were losing money. they restructured the company, worked on some of the financial obligations that they had. it's in better shape. the key question is what you asked. what is the prospect for this business now as people begin to go back to work in person? is this flexible workspace going to be a good opportunity in the future? we work is betting that it will be. softbank is hoping that it will be so that they can recoup some of that $17 billion. shery: peter elstrom there with the latest on we work. we are counting down to the start of trade in tokyo. here are some of the stories were watching today. a cryptocurrency exchange is

involved with creditors, eventually distributing $9 billion in bitcoin. local media reporting this should be see chemical is pledging net zero omissions by 2050. the company will reach this partly through renewable and biomass fuels. september supermarket sales and machine-tool orders are due later today. in south korea, we have a go data as well. export figures for the first 20 days of off to -- october. also, more earnings on the docket. third quarter operating profit beat estimates the regulatory concerns continue to loom. cosco chemical results are also dual. a home developed rocket called --. the president plans to watch the lift off event which is set for 4:00 local time. plenty more to come on daybreak asia. this is bloomberg. ♪

♪ shery: breaking news south korea. the trade numbers for the first 20 days of the month. rise of 25 point 7% year on year. the headline number, 48% year on year. trip exports, 23.9% increase on the year when it comes to the destination.

to china and to the u.s. shipments of more than 30% growth on the year. import numbers for the first 20 days also rising 48% year on year. very robust numbers. we had seen the likelihood of another double-digit increase in the october trade numbers. given the external demand right now. of course, the pandemic could still be an issue. haidi: yeah. we will see how that plays out when it comes to the start of trading in korea as well as tokyo. let's take a look at how markets are trading at their end at the moment. pretty muted start to the thursday session. asx up by just 1/10 of 1%. we are watching the likes of crown casino ahead of that key report due out on friday. new zealand paring some of those earlier gains to about 1/10 of 1%. we had the announcement of the new zealand u.k. trade deal to

benefit exporters in both sides. u.k. futures down by just about 0.5%. a steady start expected to trading there. futures in hong kong are a little bit unchanged. coffee futures down by 5/10 of 1%. s&p futures also a little bit weaker after almost reaching another record high and a sixth straight day of gains for wall street. shery: we have continue to see the search when it comes to the commodity assets. natural gas, given the shortage around the world, about the five dollar level. we continue to see a little bit of pressure, given that we might see some milder weather later in the year. aluminum causing its rally as we saw china moving to tame energy. the energy crisis ongoing there. coal futures sank from a record high. authorities wanting to intervene in the cold market in order to

ensure reasonable prices. that's pressuring the market. copper with wild swings, given that the london metal exchange is now launching an inquiry into unusual trading and speculation. we might be seeing sugar seeing record highs when it comes to prices. during the pandemic, we saw a lot of pressure. people were not eating that many suites. now they seem to be back. haidi: despite snack consumption being higher during the pandemic , maybe people are coming back to eating out, desserts, sweet treats. we are seeing an interesting situation where we've had emerging countries having tight credit conditions during the pandemic. so they are not coming back to the sugar market. their supplies have been drawn down. everything from pakistan to sedan coming back to the sugar market. just another very interesting element their of the commodities inflation story. we have the market open coming

up in seoul in tokyo next. i mixed picture when it comes to futures. very muted gains there when it comes to trading in sydney. in new zealand as well. this is bloomberg. ♪ moving is a handful.

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♪ shery: welcome to daybreak asia. haidi: asia's major markets have just opened for trade. our top stories this hour. stocks negative from the s&p's near negative -- record close. bitcoin searches to a record as the crypto is moving closer to mainstream acceptance. tesla revenue trails estimates.

asian suppliers may get a boost from plans to change up that technology. shery: the open in japan and south korea. take a look at downside pressure on the nikkei and topics at the moment as we are now seeing some markets, some sectors leading the decline. health care consumer staples leading the decline. energy and real estate is gaining ground. we are reversing two sessions of gains already in the week but still at around those three weeks highs. the japanese yen still holding at that four year low against the u.s. dollar. traders really adding rate hikes and higher oil prices weighing on the yen given that japan is a net energy importer. that could be expanding japan's deficit. we are watching the jd bees as well because we have seen 10 year yields around the highest level since april, given the global bond selloff. take a look at the kospi right

now. also under pressure. this coming out a time when the korean won has risen to a three week high. we are seeing against the u.s. dollar, losing ground as the kospi in the cossack fluctuating between games -- gains and losses. health care amtek weighing on the kospi at the moment. we just got the 20 day export numbers for south korea, rising 36.1% on the year. we have seen yields in south korea also really searching. given the global bond selloff that we've seen in recent days. haidi: let's take a look at the fx side of things when it comes to this part of the world. we've seen stronger dollar continue doing to accelerate. $.75 holding firmly the above that level now. when it comes to trading equities, we are seeing the asx 300 erasing all of those earlier gains, trading flat at the moment. in new zealand, 1/10 of 1%.

also losing steam pretty quickly off of those session highs. the kiwi dollar just consolidating a little bit at 72 u.s. cents after also climbing to the highest since june 11. we are also watching out for the yen which appears to really be just treading water without another push from potential u.s. inflation gauges. shery: in the midst of earnings season, our next guest says some companies will experience headwinds from rising prices. we are joined by alex wong. it's good to have you with us. given the price pressures, how are you positioning your portfolio? which will be the companies that will be really able to bear the higher prices? which ones can transfer that can -- to consumers? alex: first of all, we would focus more on strong passing power in the retail sector. as a whole, we are more focused on companies that are not direct

material users or energy users. the market is shifting towards those communities as well. you can see the strength in the space and also the equities that are strong right now. i think we are still focused on companies which may not be affected by the rising commodity prices, which may be outperforming the market. haidi: do you position for commodity prices rallying? is there a specific energy play that you would like in this environment? alex: we are still focus more on the energy space rather than the transitional ones. even though they are offering pricing that people may see to spin up the investment in new energies. we are focusing on the new energy space. rather than oil. haidi: the energy play aside,

how much upside do you think we get after this cycle? it seems like meeting or beating expectations when it comes to the season is going to drive at least a little bit more further upside in equities. alex: i think we probably may not have to much upside left in the short-term because those that are not affected by gisela rising prices and supply chain disruption. we probably may see more threats -- stress on this resource. i think we may still have little upside. i would be cautious at these levels in the market. haidi: you are cautious when it comes to china, particularly china property. you are not bottom fishing at this point. where do you see pockets of opportunity that are worth the risk in china? alex: right now, some property

developments may be benefiting from the current situation. i think we will likely see slow residential project sales in china for a few quarters. we had very weeks of timber sales and october might not be too good as well. the news may not be too good. the consolidation in the industry is happening. there will probably be some value but i don't think the catalyst is there. i will take a wait and see attitude. i think we can pick up some good things because people may actually shift towards that. i think that would be the best one because we are focusing more on the retail sectors. it's doing extremely well in that space. it's likely to benefit.

i think this one may benefit from the current situation in the public sector. haidi: talk to me about your top stock picks. a lot of focusing on this turn towards the new economy. alex: first one actually. it's ok. it has been resilient even during the market downturn. people will see this one as the lease positive poly -- policy and the new economy space. it's helping the user to stay the course it's not often in data sharing. i think people like this one very much. the other two is in other areas. prudential is a good insurance company which improves liquidity. it's likely that we will have a reevaluation. it's a little bit mispriced.

i think we are likely to see some supports around this level. it's not too expensive. shery: you've said that you are not necessarily diving into the property sector in china. i wonder what your thoughts are about the broader regulatory crackdown we have seen in beijing in the last few months. investor sentiment has been revived. we see the golden nasdaq china index here in the u.s. really outperforming. why are investors jumping back into the space? alex: it's china magic. people follow alibaba. people are less concerned right now about the new economy sector. the valuation is really trimmed

so they are picking up some. i don't think the momentum may last long. i think the china economy will slow down after this because people would be very cautious in putting a successor there. we will see a very slow housing sector. overall, i think the economy may have a big risk of slowing down. i would be cautious after the recovery. haidi: great to have you as always. let's get you to su keenan who has our first word headlines. su: we start with the feds randal quarles. he's at it is voice to the chorus calling for tapering to begin in november. he spoke at the milliken global conference, denying that the fed is behind the curve indra -- responding to rising inflation, which he believes is transitory. the president told cnbc the u.s. central bank will not be raising

interest rates anytime soon. the u.s. fda has cleared the way for millions of americans to receive covid-19 vaccine booster shots. the agency approved moderna booster's for those over 65 and younger people at a high risk. it authorized a single booster dose of johnson & johnson vaccine which is a single dose at the beginning for those older than 18 and high-risk. the fda also approved a mix-and-match approach, allowing any brand to be used as a booster for eligible individuals. singapore will be keeping tight virus restrictions for about another month as authorities worn of a whacker wave of infractions threatens to overwhelm its health care system. the measures limiting outdoor social gatherings and making work from home the default will continue into november 21. the government will extend aid amounting to about 476 million to help businesses and people. finally, president biden's pick

for ambassador to china has taken a hard line with beijing over its actions in the indo pacific. american strength and alliances give the u.s. key advantages. a longtime diplomat also said he was skeptical about chinese intentions on issues such as 5g technology. he warned that the world should be worried about beijing's nuclear buildup. global news 24 hours a day on air and at bloomberg quicktake, powered by 2700 journalists and analysts in 120 countries. this is bloomberg. i'm su keenan. this is bloomberg. haidi: let's get you to bitcoin rallying to a record on wednesday, topping 66,000 for the first time is optimism surge. joining us now is our cross asset team editor. bitcoin has hit this new milestone. what are the levels that strategist are watching for?

>> a lot of people are watching for 100,000 which sounds so high relative to the 66,000 it is at right now. bitcoin is pretty volatile. they are looking at 100,000, 100 68,000. you have the to the moon people who are saying 500,000 or one million. right now, 100,000 is in focus for the more moderate goal. shery: how does the bitcoin rally affect the overall cryptocurrency space? joanna: it has actually given new life to other could do currencies as well. particularly in the past 24 hours. we've seen some rallies from other points -- points -- coins. some of these, it looks like the bitcoin gains are spreading to other things and decentralize finance gets $100 billion. haidi: what have we seen so far when it comes to the futures etf

trading? there has been some concern voiced by critics of the idea of tying futures trading to bitcoin, already so volatile. joanna: exactly. people who are thinking about investing in a futures etf do need to understand what they're getting into and the futures can be pretty volatile. one thing that's interesting is that it seems like there hasn't necessarily been a lot of pickup from retail. this might be more institutional. it might be a bigger players wanting to get into an etf like this. we will see if it ends up bringing in retail. some of the initial data seems to show that it isn't necessarily the retail players getting into it at this point. haidi: we will have more on today's big crypto moves and the impact of the new bitcoin etf with henson orser. shery: up next, the latest on ever grand after it scrapped

talks to sell his property management arm. this is bloomberg. ♪

♪ shery: ever grand has asked for shares to resume trading in hong kong on thursday, despite a new blow to liquidity with the collapse of a deal to sell a controlling stake in its profitable property services arm. let's bring in our china credit editor. rebecca, it's ever grand. where does this leave the company? i thought there was a 30 degrees. that was supposed to be $80 million payment or so. rebecca: this will be a major blow to ever grand and its investors. the property management unit is one of ever grand premium assets

. it was relying on that to raise a lot of short-term cash. it also speaks to the wider problem here. if we start to see more property stocks falling in distress, it's difficulty in selling one of its most premium or valuable assets speaks to the broader problems that other firms may have as they start to struggle. shery: they were the poster child of the first chinese property developer to see that default. they were given a second chance. what's going on now with these canceled meetings? rebecca: kaiser is in focus this week. the bond prices are seeing wild swings. canceled meeting with investors were due to take place this week at a conference at bank of america. that spooked investors about kaisers the quiddity issues. it had already faced downgrades. there's a lot of pressure. longtime watchers of the credit

market will know that kaiser was one of the first big property firms to default on dollar debt. it has always been seen as a success. it was able to return to the offshore market. how will it continue to survive? shery: the problem is not just giants. the problem is with small developers. they were not paying the debt that they owed but also when it comes to snake holdings. rebecca: absolutely. following hard on the heels of that surprise by fantasia earlier this month. it's part of this broader wave of defaults that analysts are flagging as possible. ultimately, it all comes down to the capacity for some of these smaller and weaker property firms to continue rising cash to

roll over its maturing debt. that's everything from its offshore dollar bonds, private placement. with the kind of yields as high as they are, the offshore market shut off so many borrowers. there will be this credit crunch that many firms are facing. haidi: our china credit editor there. you can get around up of the stories you need to know to get your day going in daybreak. you can go to your terminal, also available in the bloomberg anywhere app. you can customize those settings as well so you get the news on the industries and assets that you care about. this is bloomberg. ♪

♪ shery: tesla reported gross margins that beat estimates but

revenue fell short of wall street estimates. let's get more from our asia transport editor peter perko. tesla outlined some of the challenges that they are still facing. what is the outlook here? peter: yeah. it was the ninth straight quarter of profits for tesla. there's a number of challenges they are facing including things such as backlog supports. the global trip shortage has been affecting all automakers and even rolling blackouts that stopped factories running at full speed. that's a reference to it shanghai factory. on top of that, there's surging prices for commodities like aluminum, nickel, and lithium, pete -- key ingredients. tesla will have its work cut out keeping a lead on its costs. it has a long-term goal of reaching 20 billion unit sales a year. to get there, they want to keep growing at 50% a year. that's probably easy as it comes off of a low base at the moment.

it could get more challenging the longer these shortages remain. haidi: is that what is -- investors are looking at -- worrying about? the margin outlook look pretty good? peter: the increasing gross margin beat expectations. the shares were down about 1% in after-hours trading. it's worth remembering that is coming after a strong rally. earlier this week, the stock was up more than 55% from lowe's touched in early march. it's back trading near its all-time high reached in january. that's a pretty high expectation for the earnings and set up the stock for potential selloff if the numbers were anything less than perfect. shery: what did we hear about the rolling blackouts because of the energy shortage and how that's affecting their factory bond rate?

peter: there wasn't a lot of commentary around that. just a passing reference to it amongst the challenges that it has faced. it has been a little bit hard to get a really good handle on what's going on in china. the projection shipment numbers there have been a bit volatile in recent months. we did see last week that shipments in china rose for a second month in september to just over 52,000 vehicles. if there has been an impact their, it may not be that bad. shery: peter for co-chair. shares of united airlines fell after the company posted a lackluster fourth-quarter outlook. the ceo says he sees an inflection point coming in january and told bloomberg's david westin the airline plans to boost international capacity by 10% next year. >> the fourth quarter was

impacted by the delta variant. while bookings bottomed out and were clearly on the road to recovery now, a lot of the fourth quarter was impacted and business offices that were going to open in september have been pushed back. regardless of what the fourth quarter is, the story for long-term investors is about 2022 and beyond. on that front, we are optimistic. all the signs are positive and point to a good direction for 2022, both on the cost front but also on the demand and revenue front as we look to the future. >> how much visibility do you have into the first quarter? in terms of bookings. i will break it down more specifically. leisure as opposed to business. >> we see very strong leisure demand here in the united states. it has roared back to let -- record levels. as we look at the holidays, they will be really strong. in the fourth quarter, there's a

lot of business traffic. business traffic, the levels that it was pre-delta variant but is not to levels we originally expected. everything we guarantee is that we should expect more people in offices and a big inflection point in business demand come january. we have not seen the data yet because bookings happen closer. everything we hear, all the anecdotes we hear and see would indicate that there's going to be an inflection point post holidays and business demand is going to start coming back in a much more material way. >> you mention the extent to which your third quarter was affected by the variant. as we get back on airlines, is it going to look different. you talked about premium economy. is it possible that for the long run, we will change the configurations. we might not want to sit quite as close other. >> united, the configurations are training -- changing.

we are reconfiguring our airlines. what will matter more is the change in the customer experience. we saw a huge improvement in our net promoter scores as we went through the pandemic. that is continuing as we go out of it. what customers will notice more is really the change in not just the products but the customer experience and how they feel when they fly united airlines. how employees treat them. there's an immense amount of pride for what we did to get us through the pandemic and the products that they are proud of. that's leading to much better customer service. haidi: scott kirby speaking with david westin there. we will get more insight when it comes to the new bitcoin etf and why it has driven the cryptocurrency to a fresh record. we will have more on that. we are getting an alert from the

bloomberg. an $875 million enterprise value deal. we have seen details including that transaction for accumulative valuation of $1.7

shery: take a look at the markets trading now because we are seeing a mixed picture liking clear direction. the nikkei is down half a percent. following from the high we saw after two sessions of gains. tack and consumer staples leading the -- leading the declines of the energy and real estate is getting ground. the kospi has turned positive. we are now seeing it gain ground and reverse those losses we saw in the previous session.

we have seen south korea's 20 day export numbers for this month rising 36 percent on year. the asx 200 being weighed down by consumer staples and energy stocks and real estate and materials are up. kind of unchanged. kiwi stocks reversing two sessions of gains we saw in the previous session and down 1/10 of 1%. interesting move given we are seeing such big gains when it comes to the u.s. stock market. haidi: such a muted session in asia. what is not muted is bitcoin. 66,000 rallying to the record. seeing a little bit of a pullback. so much elation, euphoria. some would say a rapture when it comes to how the bulls have reacted to this milestone. a theory him is still high.

the crypto index higher by shy of 1%. we spoke to a number of guests about the growing mainstream except in's of bitcoin. dark -- acceptance of bitcoin. >> be will see all-time highs of bitcoin on a monthly basis. two you look at a year ago, we were trading around $12,000. it is crazy to think we are at 66,000. >> i would think about buying it on dips we get. >> it is getting the institutional adoption many have been talking about for years. >> when you get some of the large pension funds, it does not take much to push the price up another 50%. haidi: let's get more on the crypto markets. i went to bring in the president of the regulated little asset custody services provider. when seven like this happens, the bitcoin bulls get ever louder.

people calling for a hundred others had called for 168,000 or higher. it feels like i could number and run with it. do you have a price target? >> i do. i think that 115 k is a reasonable price target and when you look at valuations versus the gold market, you could even be talking about 435,000 overtime. some people have done some recent -- some decent work about these cycles, which have performed very well. my friend of pantera has put out something recently, which shows once you have these bear markets, winch bitcoin lunches to the upside, it can have meteor upside. there is a small float right now. when you have lasting demand coming in against limited supply, the upsides are extraordinary.

haidi:haidi: when you look at what has happened previous times it has always failed to find the next leg up of support because traders tend to pull back and take profits. what makes you think this time the momentum is different to get it to over 100. >> the average multiple after we have these bear markets and some of them have been for a number of months, but it goes up a minimum of four x from the lows and sometimes as much as 50 next to -- 15 x. that gives an enormous upside to the product. shery: you entered into an mou with nomura to explore the expansion of providing digital asset services to customers in the japanese market. what does that look like to you? what is the regulatory environment and what are some of

the key things you are watching. >> we signed an mou with no more and crypto garage. people have gotten licenses for exchange in payment and transfers. we have not gotten custody services yet to help institutions regulate and come into the space when they have a secure custodian with a custodial license. that is what we are looking to explore and would expect sometime in 2022 to have this applied to us being a sub custodian and providing those services to help financial institutions, clients within the number of network to be able to get into the space. when we talk about crypto, it is not just crypt -- not just bitcoin. it is not just the big market caps. but over time, looking at stable

coins and central-bank digital currencies so people can be in either institutional lending pools or several transactions and ultimately we see the beginning of traditional securities markets going on to blockchain. companies like boost g and there are so many efficiencies around those processes that the technology is on its way. it is just a question of when. shery: how much further does the launch of these bitcoin futures linked get you to the long-term goal of expanding to all of those assets including digital currencies from central banks? is this a significant achievement. >> it is a significant achievement for adoption in many of the u.s. investment accounts. some of the mutual funds. the goal will be to eventually

have the sec be confident in the markets of the underlying asset. right now, to have the etf built off the futures, there are some inefficiencies around that as far as transactions and the role from the futures. that will cost of the consumers who invest in the sector. but over time, i would expect a regulation to come into most of the entities participating in the space and there will be continued adoption. people don't have any problem with traditional securities going on to blockchain and settling that way. it is the negative connotations around bitcoin and the dark arts that people worry about, how clean the coins are and that is why it has been a while for the sec to get comfortable with it. shery:shery: president and

acting ceo. thank you for joining us today. let's get to su keenan. su: we start with china ever granted, which has asked for shares to resume trading in hong kong on tuesday after scrapping plans to sell its property management arm. the shares have been halted since october 4. the proposal to tell -- to sell a majority would have given the developer a major cash infusion as it faces impending debt payments. the u.k. and new zealand have agreed to a trade deal, which includes improved business travel arrangements and reduced tariffs on clothing, buses, ships and bulldozers. it is a symbolic and political boost for boris johnson. a government analysis yes -- analysis last year estimated such a deal would have a long-term impact on the british economy. rio tinto's new ceo is

kickstarting the company's turnaround plan with a 7.5 billion plan to decarbonizing assets over the next decade. he is targeting a 50% reduction in the miningrs -- the mining operational costs. the fallout from destroying a rock shelter. 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 su keenan. this is bloomberg. haidi: china has promoted an official sanctioned by the u.s. in its biggest personnel reshuffle in years. it comes as president xi jinping propose to kick off a year of politicking in the communist party. this is the start of a crucial year of maneuvering. what do we know when it comes to

these high level reshuffle's and approach -- and appointments? >> as you stated, it is a defiant appointment, moving the head of tibet after his stint as the head of the production and construction corp.'s. it has been cited by the u.s. and others as playing a key role in allegations of forced labor in sheehan young involving the region's weaker -- region's uighur muslim minority. moving him up as a simple -- moving him up is a symbol of china's efforts to shrug off the impact of the sanctions, which they have been hit with broadly

over the past year. shery: we are watching the appointments in some sensitive regions like tibet. what are some other notable changes we should watch? >> this wave of appointments, top party officials in various provinces is really the start of a broad reshuffle that we will see over the next year as we get ready for the communist party congress next year. there is a meeting of the party 's central committee in november that will make a statement about the party's accomplishments and pave the way for xi jinping to serve a third term. that is what most of those are expecting. that would be precedent breaking and establish his rule through the decade. shery: our north asia government

coverage. coming up next, the fda authorizes mixing and maxing -- mixing and matching vaccines. this is bloomberg. ♪

shery: u.s. sta is allowing

mixing and matching of -- the u.s. fda as allowing mixing and matching of booster shots. let's bring in michelle cortez. what is the fda saying about the safety of mixing vaccines? >> the fda is allowing americans to get any vaccine they want as a booster shot at this point. all three of the vaccines from pfizer, johnson & johnson and biontech and moderna to be used as a final shot to increase immunity levels. we don't know which combination is most potent but the fda is allowing americans to talk with their doctors, to talk with vaccinators go with ever -- which -- go with whichever one they think is best. haidi: employees who have not had their vaccinations, you have to go through more stringent testing if you don't divulge

your vaccination status. >> many companies don't want to issue mandates and require employees to get vaccinated. they do want to give some illusion of a choice in this case but it is undeniable how effective vaccinations are in protecting the visuals and the entire workplace. the employer's do want that to be done. one of the ways they are getting around this is their requiring testing. apple is going to be requiring employees be tested every day. that is an expensive endeavor. the biden administration has mended vaccines for many government employees. the question is who is going to be paying for this and the hurdles you have to go through every day to get tested. employers are hoping by using this roundabout method it will encourage people to get vaccinated without actually taking that option away from them. shery: it is a good problem to have in the u.s. when you have enough supplies for everyone. with the boosters being given,

what is the vaccine supply looking like around the rest of the world? .co the moderna booster shot is half a dose as opposed to a full dose. that will double the amount of vaccinations available from that vaccine, which is an mrna vaccine. we do have manufacturing ramping up around the world and we are getting numbers -- we're getting better numbers that is not take away from the fact there are many parts of the world that have unbelievably low vaccination rates. some under 10% and we need to increase the availability. we are seeing india ramping back up. we are expecting them to start shipping up -- shipping vaccine worldwide. their outbreak has come down and we are -- and they are looking to start exporting again in the days in which to come. we'll be able to make a bigger impact as we are going in the winter -- in the winter season in the northern hemisphere. haidi: michelle cortez there.

over the years, goldman sachs has sent a stream of former executives to executives in washington. the former chairman and ceo of goldman has been keeping himself busy trading stocks and commodities. he sat down with bloomberg's front row for an exclusive interview and discussed why he is not got -- why he has not gotten the call from d.c. yet. >> somehow, i am not scheduled. i don't set my clock most mornings. i get to the end of the day and i have been busy the whole day. i spent a lot of time reading. i try to learn stuff. originally i thought and i would not preclude going back and doing something else more intense than the life i am leaving now. i originally thought and was advised to take a gap here. when i finished my gap year, the country decided to go on its own

gap year. those consecutive gap years leave me in this place. the longer you are not setting your clock in the morning, the less you want to set your clock in the morning. after 40 years of running around the world and living in the macro market and knowing the price of everything all the time and knowing that anything could go wrong anywhere and the world would have a huge consequence for us, it is hard to drop it. there are parts of it i admit i never thought i would miss but i do miss. >> what are those things? >> even sometimes as i say i feel a little bit relief, i miss that. i miss the background noise even of having things to fret about all the time. >> your predecessors as chairman of the firm, hank paulson, jon corzine all went on to serve in

government. >> don't leave out john whitehead. > there was one in between. when i you? -- why not you? >> i would say among the many reasons i have not been asked. that would be one of the prominent reasons. it is a little bit of a charged environment. i would not say when you look at the administration you are finding a lot of people from finance and business backgrounds even in traditional roles they were occupied by financial people or commercial people or business people. i would say it is not something i mourn but i would have considered public service because what else is left? i worked at a higher level of goldman sachs for 37 years. you want to do something different to make a contribution. i am not morning yet.

i understand why it is not happening now. >> i hear janet yellen is looking for an exit. what about treasury secretary? would you throw your hat into the ring if you thought they were interested? >> who offered that job would decline that? you would have to be preparing for end of life or jumping off a cliff or something like that. of course to make that kind of a contribution and to be at that fulcrum of that large lever, you would want to do it. i have no real connection to that. we can go through this but i don't think that is going to happen. it is not going to happen because i'm going to turn down the crown three times and make them twist my arm. i don't think the offer is forthcoming. >> but you are 67. you swim every day. you're in good health. what is next? >> i don't worry about it. i'm also a markets guy. i have been. i'm not saying that has -- that

is how i live the last 20 years of my career at goldman but it is an occupational hazard i know the price of everything at times. i occupy myself with markets in the background. in the last couple years, i trade a lot. >> in your personal account? >> i do. if i do something differently, forget i said this and wipe out the tape but i did not want to look at people and be managing their money and express regret because god for bid you should lose money. god for bid you underperform somebody else who made more money or beyond that kind of track. do i really need to do that now? i do my own stuff for myself. my whole life, i would much rather lose my money than lose somebody else's money. that is my wiring. >> what are you trading? >> i treat equities.

i have traded some commodities. i trade currency from time to time. shery: the former chairman and ceo of goldman sachs speaking exclusively to erik schatzker. watch us live and see our past interviews on our interactive tv function tv . you can dive into any of the securities or securities -- any of the securities we talk about. this is for bloomberg subscribers only. check it out at tv . this is bloomberg. ♪

shery: peers a quick check of the latest business flash headlines. bb and standard chartered are among the lenders said to be planning bids for retail assets. offers for india are due next week. the bank is trying to refocus its business around more profitable units and hubs including hong kong and singapore. it is playing to hire 2300 new staff for wealth management by 2025. china mobile's profits surged in the last quarter as it continues to lead the market in adding 5g customers. the reported a net income of more than $4 billion. up 9% from a year earlier. china mobile has more than 300

million 5g users attracting more subscribers than its two biggest rivals combined in the first eight months. a chinese property firm falling further in a credit market after it meetings with some investors. according to sources, the company cited scheduling conflicts for canceling the meetings planned during a conference organized by bank of america. on friday, it faces a coupon payment on a note. it began the first chinese developer to default on developer bonds. haidi: when it comes to looking ahead to the start of trading in hong kong, will be watching these tech stocks. tech seeing this revival and as the regulatory crackdown to the property sector is looking to intensify, there are some views the tech sector may have seen the worst behind it. there is also this idea that

this deep discounting going on, offshore tech, a-shares lifted in hong kong may looking like a bargain. we have seen the hang seng china enses index rally 10%. the best performer out of major global benchmarks tract by bloomberg. shery: not only hang seng china enterprises index but carrying the adrs being traded in the u.s.. we are talking about the goldman dragon china index in the u.s. on track for the end -- for the best month in a year. it seems they are having few lasting effects on u.s. investor demand when it comes to the tech crack down that china has continued for the last few months. we are watching the open in hong kong and the rest of china. we will get insight on the china markets open with the chief apex

strategist. that is it from daybreak asia. our markets coverage continues. standby for bloomberg markets china open. this is bloomberg. ♪

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