♪ shery: you are watching "daybreak: asia." >> counting down to asia's maker

-- major market opens. >> the top stories. meta shares surging as revenue forecasts beat estimates, bringing the start of a digital advertising recovery. first republic's woes deepen. it conveys curbs on borrowing from the fed. the boj deputy governor joins us with the changing of the guard at the central bank. the first interview since he stepped down in march. before that, breaking news out of singapore. united overseas bank reporting earnings for the first quarter coming in as beat on the headline. 1.5 one billion singaporean dollars. the expectation was 1.4 7 billion. that is getting squeezed a little bit. 2.14%. the consensus was 2.25%.

commission income, 552 million. that was a narrow beat, as well. you ob still looking strong. tier one ratio, 14%. unreasonably handy set of numbers. no word of a dividend. the next dividend declaration date not until july 27. annabelle: sticking with banks. the issue surrounding first republic weighed in the intraday session in the u.s.. the question is what are some of the ramifications we will see in asia? it has been most notably playing out in the strength of the japanese yen. given the concerns could force the fed after, and that is narrowing the yield gap differential between the boj. heading into the morning session, we are starting to see tech earnings take more of a focus. meta jumping in after hours trade. that is leading new zealand to

reverse earlier losses. trading fractionally higher. sidney futures weaker. the last contract around 5:00 a.m. we have samsung possibly within the hour. shery: tech earnings season starting on a positive note in the u.s., lifting sentiment. u.s. futures gaining ground. 100 rising in today's session, despite the fact the s&p 500 fell in afternoon trading e cont regional lenders continue to grow. i the previous session. bloomberg has learned we can see some curbs on their access. funding from the federal reserve. that is really concerning investors in the u.s. treasuries holding steady. oil prices falling the worst since mid-march. broader risk off sentiment. right now in the asian session,

a little bit of a boost. really not enough. we wiped out the gains after the opec-plus announcement they would cut production. after hours session is all about meta. forecast for the current quarter also more positive than people expected. first quarter sales returning to growth after three quarters of declines this is changing the sentiment into the asian session. >> let's get a little bit more on the result from meta. sarah leads the bloomberg technology team. meta, scarcely a mention of the metaverse. back to basic stuff in terms of ad revenue. what were your key takeaways? >> what is really happening is the fundamental business, the core business looks to be strong. we still see some growth in facebook and instagram, whatsapp, the family of apps has

more than 3 billion daily users. at least one of those products being used around the world. i think that is buying meta time to invest in artificial intelligence and the metaverse. i think the metaverse took a backseat to ai focus on today's calls. mark zuckerberg was talking about how we would cai integrated into all of the company's products. especially generative ai, which will help people talk to businesses on whatsapp, make it easier to design experiences and games, maybe it will help advertisers create video content for their ads. they had all of these ideas about how it was going to make the creation experience, the user experience easier. but they did not have a lot of specific details. this was zuckerberg saying we are absolutely one of the

companies you should be talking about when you talk about the race to generative ai, because we are already there. shery: europe efficiency seems to be paying off. sarah frier with the latest on meta's results. taking it to washington, d.c. president biden and jill biden waiting for president -- who stepped out of the car. this is to host a dinner for the south korean president and his wife. we know this is only president biden's second state visit his administration is hosting. the first was president macron. shows the significance of the alliance between the u.s. and south korea. they just marked the 70th anniversary of that alliance. last night, they headed to the korean war memorial. this morning, the official arrival ceremony.

a bilateral meeting followed by a joint press conference. they are going to dine together at the white house. we got a peek of the menu. we know crab cake is being served, ribs, a trio of wines, performances from broadway stars. tomorrow, he will head to congress to address lawmakers. we will bring you more details on how that state dinner is going and the significance for the u.s.-south korea alliance. right now, we have to talk about the markets. especially given in today's session, it was about the banking sector. u.s. regulators are set to be weighing the prospect of downgrading private assessments. first republic bank a move that could curb the bank's access to the fed's lending facilities. let's bring in our correspondent

who broke this story. how significant would it be? >> it would really pose a significant challenge for first republic should the ftse down grade its scoring of the bank's health. particularly, it would restrict funding access to the federal reserve. as well as the emergency lending facility the fathead unveiled last month. -- the fed had unveiled last month. resolve the issue by shoring up its balance sheet. the bank really wants to see the government come in and help resolve these issues, which might include putting it into receivership. there is tension between the two parties. the f -- the ftse has been mulling over this option. -- the fdic has been mulling this option. >> news out of australia and japan.

seeking to acquire the health care company blackmores for shares and cash. the company based in australia closed yesterday. kirin bidding $95 per share. the value of the company at $1.88 billion. they're looking to acquire their price of $95 per share. we will keep a close eye. it may not trade immediately. but you can anticipate when it does. shery: we are watching what is happening in japan with the new bank of japan governor. he could be signaling no adjustment to a key policy tool. but bank of america says it is still a close call. our global economics and policy editor is in tokyo with the

latest. given how global yields have moved, does bank of america have a point? >> everyone seems to have this point made. might be a little bit more explicit you cannot entirely take off the table the possibility there won't be some tweak or message about why yield curve control. it is just in terms of making a move, even b of a confirms it is not their main call. you have to look at the reasons why they should be thinking it over and look at discussion in the press conference after the meeting. let me put numbers on it. 87% of people bloomberg news surveyed, no change. they continue to say that. in several testimonies to parliament, three this week, he made it clear that we are not going to make a change, not

ready to normalize yet. inflation is going to peak and come back down by the end of the year. b of a rightfully points out the cpi in march still rising, core cpi, overall inflation minus fresh food prices. to 3.1. inflation well above the target, almost 4% over the past several months. he said there is some kind of danger we can fall behind the inflation curve. given the outlook and forecast, it does not seem likely to happen. the slide in global bond yields, less pressure on the 10 year jgb to be pushed higher if they make some kind of shift. the yen is kind of relaxed and well behaved right now. b of a says probably what they see is the flexibility of the yield curve and keeping the 10

year yield close to a range of 0.5, can be flexible. that is what people are waiting to see what kind of remarks. a way that they will be very cautious, not going to want to signal anything at all because he doesn't want the market to think he's getting ready to tighten policy. or painting a bigger picture for everyone. that is what people are wondering. he's the new governor, he wants to watch data. heap dissented against -- he dissented against rate hikes, it did turn out to be a mistake for boj. some say there is still a sense they don't want to make a mistake. he is a big on forward guidance. he doesn't want to give guidance for the parliament for days in a row and come out and signal for change. a lot of complications. in this press conference, this decision is going to be when we are doing that. paul: bloomberg's global

economics and policy editor, kathleen hays. a reminder of an excuse of interview coming up. speaking with the former boj deputy governor in his first interview since he left the central bank in march. this is bloomberg. ♪ ♪ paul: let's get to vonnie quin for a check of the first word headlines. vonnie: the u.s. house passed a debt limit bill aimed at averting a catastrophic u.s. default. a victory for speaker kevin mccarthy. it puts pressure on president biden, who with congressional democrats, opposes the legislation because it contains sweeping spending cuts. failure to reach a compromise would leave the u.s. heading towards federal payments default. >> now we should sit down and negotiate. we are way ahead of -- we just passed the bill. it is not our job to modify it. the senate can pass our bill. otherwise, we have done our job. >> chairman of thor it --

chairman authorities raided nomura's office. they are investigating the 37 current or former employees. police raided the homes of the suspects. cumex took advantage of tax laws. nomura is cooperating with the investigation. xi jing ping has spoken to volodymyr zelenskyy for the first time since the russian invasion began. there were no major breakthroughs. president zelenskyy's office said the conversation was productive. negotiations are the only way out of crisis, he totally -- reportedly told him. disney suing ron desantis saying he's retaliating against the country for speaking against his policies and threatening billions of dollars in business. the lawsuit filed in federal court accuses him of orchestrating a targeted campaign of government

retaliation. it comes amid an escalating dispute over a five-member board ron desantis appointed to oversee government services at disney world. global news, 24 hours a day, on air and at bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm vonnie quin, this is bloomberg. shery: we will preview the bank of japan policy meeting beginning on thursday with the former deputy governor. plus, america's commerce chief wants the u.s. and its allies to coordinate efforts to boost chip production. an update from washington coming up. this is bloomberg. ♪ if you wake up thinking about the market and want to make the right moves fast... get decision tech from fidelity.

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>> the stock market is still pretty elevated. we are only 15% off of extremely high peaks. it may be a place where growth dynamics are overpriced. you have a situation where you have to fade the extreme sentiment that exists that may be different across the market. paul: unlimited funds cio bob elliott speaking about the volatility in the markets. our next guest says amongst the many risks businesses face, the financial system and disinflation. joining us is jun bei liu. thank you for joining us.

starting with first republic. the problems rolling on and on. bloomberg breaking the news it might have trouble accessing landing facilities. what is your risk assessment around confidence in regional u.s. banks? can we say the turmoil is behind us? >> it probably isn't. the confidence will be battered again. clearly these regional banks are not well-capitalized because of rapid increasing interest rate is causing a problem. it is a symptom of rapidly increasing interest rate. we may see more issues coming through. in a way, it is tightening the financial conditions. it is doing a lot of work, hopefully for fed. instead of putting up interest rate, the financial condition is tightening. also impacting confidence around the world. looking in australia, banks will be sold off, even though they are in very different situations, much well-capitalized in the housing market very strong. all of that together, it means

more time of volatility. it provides opportunity. investors in today's world sell blanket, they will sell all financials, anything that kind of exhibits similar characteristics. an opportunity of some of the names. paul: in terms of what you mentioned, the turmoil doing the fed's work for it. the consensus still for 25 basis points. there are voices starting to say for a fair pause. >> still a probability for a 25 basis point increase. still not at a good point. the fed, it seems they are reasonably confident they are contained. if we see anymore spillover, they will pause. we have 25 more, and that is pretty much it for the time being. that is good for financial confidence, financial market confidence. shery: how closely are you

watching japan's central bank. the governor at the helm of the boj meeting, you have the likes of bank of america saying we are not expecting that much change. at the same time, given where global bond yields have gone, if you don't do something soon, don't you risk ycc attacks? >> absolutely. but our view is probably sitting with the consensus not much is likely to change on that basis. it does represent quite a lot of shakeup over expectations. shery: traders hedging for possible yen strength. is there a positioning for given in the next few months? >> our view is it is not likely to change pricing significance.

china reopening and taking place. we think the pace is going to be slower than expected in the next month. so we think they will take it easy for the time being. >> they made the bid for blackmores, one point -- what does it tell us more broadly? >> what it means probably is there is value in the equity market. as investors shy away from volatility and uncertainty. so much assets that represent the value like this. the quality brands are very difficult to build into the world because of fragmentation and different audience. even though they used to be the darling for the chinese market for the vitamin e cream, they don't sell it, but it is a brand built over many decades. it certainly seems expensive for

this year's earning. for a big conglomerate, they can put across the distribution system. so much costs and leverage that they can build this brand into something much bigger. our view is the current share market, there are opportunities like this. near-term earnings being impacted because it is slow to come back. but it is slow compared to what they are paying for blackmores. the treasurer we talked to, even now representing great value. a lot of great brands listed on the market. we don't think it will be listed if it is still trading where it is in the next six months. there's a lot of demand for those quality brands for an existing platform. shery: we will be on the lookout for that deal activity. jun bei liu, good to have you again. you can get a round up of all of the stories we have talked about

in today's edition of daybreak. terminal subscribers, also available. you can customize settings to get the news on the industries and assets you care about. this is bloomberg. ♪

shery: the morris frankfurt offices are being raided as part of a probe into the cumex dividend scandal. joining us for more on this. what exactly is happening right now? give us a background of this probe? >> that is right. breaking news is -- they were raided by prosecutors. former employees who -- the

houses of them have been raided . they said that they are cooperating. so we don't know if or how much we might be on the hook for. watching closely if there is indication of how -- paul: we also had results out of nomura, falling for the third year in a row. what is the outlook? >> they were not fantastic. the results were materially weaker and negative. shares trading just a moment ago, it looks like they are going to tumble. not a huge amount. striking under -- i'm sure they are getting nervous. yesterday in the briefing, they were more upbeat.

thinking it was more to come back a little bit. we will watch it closely. the overseas operations were a problem. $11.5 billion loss. what they do overseas, restructuring, cutting costs, we will have to see. paul: breaking news editor gareth allen. up next, more on the south korean president's u.s. visit. and what to expect when they deliver t as a business owner, your bottom line is always top of mind. so start saving by switching to the mobile service designed for small business: comcast business mobile. flexible data plans mean you can get unlimited data or pay by the gig. all on the most reliable 5g network, with no line activation fees or term contracts... saving you up to 75% a year. and it's only available to comcast business internet customers. so boost your bottom line by switching today.

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shery: take a look at how futures are trading. u.s. futures are up .2%, despite ending lower for the s&p 500 in the new york session. concerns about regional lenders

offset the optimism about big tech earnings. meta surging after hours, helping push sentiment higher. qe stocks up .10%. nikkei futures are slightly under pressure. this coming at a time when the japanese yen is trending sideways. the 133 level. given we are headed to that first policy meeting under the new boj governor. paul: chips have been a key point in discussion between the u.s. and south korean officials during president's state visit to washington. samsung and its local rival controlled two thirds of the market for memory chips. gina raimondo says the u.s. and allies need to coordinate to boost production. let's go to bloomberg's korea editor in washington. sam, in terms of chips, what has been discussed during the

meeting between them presidents? >> we know that south korea controls two thirds of the memory chip market globally, a major share. they need south korea's help in terms of turning the supply chains around in the u.s.' favor. the u.s. is wary of the fact the chip market is dwindling while china is producing more and more. they need supply chain connections to be rebuilt between these countries. that is where things are around now. asking to produce on american soil what the u.s. needs and is able to provide in terms of technology. shery: what have you seen in terms of corporate executives? more than 120 south koreans heading with the presidential

delegation to achieve these big economic deliverables. >> yesterday, i was at the u.s. chamber of commerce where president yoon suk yeol was rubbing shoulders with many american business executives, including moderna founders, executives from boeing. there were also corporate leaders from korea, including a top leader. the kia motors president. they are basically getting to know each other well and are introducing each other. the purpose behind these is to draw investment from each other, to each other, so the supply chain these countries would be further bolstered. that is where the alliance is going pretty much. a lot that is going on in

addition to the treaty cooperation between them. paul: president yoon has walk a fine line. on one hand, the underwriter of south korea's security, the u.s. their interests to consider. and the interest of china. the biggest trading partner for south korea. how is he managing to walk that line? >> you raise a very interesting and valid point. it will be interesting to see how president yoon tries to be more nuanced when he comes back to korea. the reality is china still buys a lot from south korea. it remains the biggest trading partner. we should also be wary and mindful of the fact trade with the u.s. has been going up very highly while trade deficits with china for south korea have been snowballing. it is a trend, not going to be

transitory. we might see these global trade flows kind of reshaping how the relationship between these countries may be. shery: we just watched president yoon and president biden with the first ladies of both countries standing for a photo opportunity as they headed towards the state dinner. it is such a momentous occasion. only the second time the biden administration has hosted a state visit? we know that there is a lot of pomp and flare for this state dinner. how important is this visit for the bilateral relationship? >> that is true. it is quite interesting there is a state dinner being held by biden. not often you get a foreign leader coming to washington and enjoying a state dinner with the president of the united states. i think it reflects the fact that there's a lot more to this

alliance between korea and the u.s. than there used to be 10 or 20 years ago. the alliance between these countries has been mostly about north korea, deterring northern aggression. now we have seen the pandemic and shortage of a lot of tech products, including semiconductors. korea has this massive share of the chip market and are a major supplier of all of the things that go into electronic devices that are basically needed by any country. so the nature of the alliance is kind of changing. shery: sam kim joining us from washington. let's get to vonnie quin with the first word headlines. vonnie: u.s. regulators set to be weighing the prospect of downgrading private assessments of first republic bank. the fdic considering the move as the bank struggles to reach a deal to shore up its finances. it would likely limit the access

to the fed's discount window and an emergency facility launch last month. president biden stressed a north korea nuclear attack on the u.s. and its allies would be the end of kim jong-un's regime. it came with his announcement of new efforts to counter pyongyang's nuclear buildup. the u.s. will deploy a nuclear armed submarine to the peninsula to secure a pledge for south korea not to pursue its own atomic arsenal. >> a nuclear attack by north korea against the u.s. and its allies is unacceptable and will result in the end of whatever regime in action. we will not station nuclear weapons on the peninsula, but we will have visits of nuclear submarines and things like that. we are not walking away from that. vonnie: bloomberg learned the turkish president counseled a day of campaign -- canceled a day of live appearances after falling ill after a tv interview.

he will skip touring a power plant in collaboration with russia. he will join via videoconference with president vladimir putin. he's faced his toughest election since 2003, with six opposition parties joining forces to unseat him. the former new zealand prime minister is heading to harvard university to continue efforts in combating online extremism. the issue has been a priority for him in the years after a white supremacist gunman killed 51 people at two christchurch mosques in 2019. the fellowships at the harvard kennedy school are an opportunity to share her experience and learn. global news, 24 hours a day, on air and at bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i'm vonnie quin, this is bloomberg. paul: thanks. still to come. our exclusive with former bank of japan deputy governor masazumi wakatabe, asking what to expect from the boj's first policy meeting under its new leadership. this is bloomberg. ♪

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guest. kathleen: a very special guest indeed. masazumi wakatabe, former deputy governor at the bank of japan. finishing his five year term in march. just about the time the governor was finishing his 10 years. he is a professor again in tokyo, but got time to talk about us about the boj. very exciting time. >> thank you for having me. kathleen: everyone is betting there will not be any kind of tweak, or tweak with yield curve control. in large part because the governor has been signaling at the parliament at other speeches it is not time. that he's not ready to change anything. is there any chance there is some kind of a tweet today -- tweak today? >> i would be surprised if the boj did, because there is an

overwhelming reason for keeping it currently. governor ueda has said he has not seen the inflation rates reaching toward and staying in a stable manner. so there is no reason to change it right now. kathleen: short of ycc, is there something he can do to crete -- tweak the forward guidance? especially the recent statements from the bank of japan that mentioned covid-19 and linking covid-19 to interest rates. could something be said that even in a nuanced way is the shifting forward guidance? >> there is a possibility. the government has decided to change the category of covid-19 from class two to class five.

so covid-19 is now becoming more like the flu. at this moment, i think the boj can tweak the forward guidance. i would be surprised also if the boj would delete the forward guidance part altogether. i think that move, that is not with the boj would like to do right now. expecting short and long-term policy interest rates to remain at their present or lower levels. perhaps -- if i were suggesting the boj, i think that they can change the forward guidance. keep it or you can add -- where you can add something, and they can achieve the innovation target in a stable manner.

that would strengthen the forward guidance. governor ueda has been the inventor of this forward guidance, too. so it would suit his economic philosophy. kathleen: in terms of inflation, he has made it clear he thinks inflation will peak this year and get back down to 1.5 percent by the end of the year. we have seen inflation well above 2% on the headline for months. even the core rate taking out food and energy is above 3%. is there a chance in his words or in the inflation outlook the boj has to up the outlook for what cb will doi this year. >> that is true, but you have to think about not this year or the next year, but the year after that.

the boj has to be sure the inflation rate remains above or near 2% inflation. in that sense, it is still too early to say inflation has reached that level in a sustainable and stable manner. everything is data dependent. in that sense, the boj may think inflation would be revised upward. but i'm not quite sure they feel confident. kathleen: when do you think the boj will finally get around to starting to go back from ycc? when should they? the door seems open right now, bond yields retain, yen at a comfortable range, no one pushing. a comfortable time to at least start looking. >> it is tempting. that is not the way i think they

conduct policy. this is the first meeting for governor ueda. unlike governor kuroda, who had to change the monetary policy stance of the boj drastically, governor ueda has to maintain the continuity from governor kuroda's policy steps. in that sense, he has to be very careful about changing anything of the boj's monetary policy cents. given the prospects for inflation have not yet changed to governor ueda's time, i don't expect any chance to change it sooner. kathleen: i want to ask a couple more quick questions. your view on governor ueda, what is his boj going to look like compared with governor kuroda? will he move it ahead? >> i guess two things.

one, now there are overwhelming cases for keeping the current policy. he's going to have to sort of commit himself. governor ueda has to commit himself to this commitment of achieving a 2% inflation target. after a while, i think governor ueda is a different person from governor kuroda. circumstances are different. the boj with higher than, then you know he has another job to counter inflation. which had not yet happened. i think governor ueda would act differently. kathleen: is there a chance to get behind the curve with inflation? >> i think the boj has made several mistakes in the past.

so they cannot afford to make another mistake in not achieving the inflation target. that is the boj's mood to get behind the curve. kathleen: to get behind the curve, get above the target. masazumi wakatabe joining us today. the deputy governor at the bank of japan until march. now a professor. thank you so much for joining us. back to you. shery: kathleen hays joining us from tokyo. we are getting the final results from samsung earnings. it follows preliminary earnings earlier this month and also gives out the divisional breakdown when it comes to consolidated net for the first quarter. 1.4 trillion won. it is a miss from the estimate. consolidated profit, big miss.

the estimate was for 1.3 3 trillion yuan. a rare quarterly loss when it comes to chips. first quarter chip operating loss of 4.5 8 trillion yuan. the estimate was around 2 trillion won. that is up quite a rare loss. lost sales on the chip divisionals, 14.7 3 trillion won. smaller than what economists expected. we are getting lines from samsung. they expect memory demand to gradually improve from the second half, that the current market condition is not expected to remain in the second quarter. not as optimistic as what we were expecting -- what we saw from sk hynix when they talked about a second half rebound. samsung seems to be more skeptical on where that ship demand will go. chip demand recovery seems limited in the second quarter.

of course, we have seen samsung really gaining ground when it comes to stock performance. we are going to be setting up for some fireworks perhaps at the open. annabelle: that is right. to recap those numbers. i think the chips division, this was the key sector we were watching. it posed a rare quarterly loss. numbers worse than expected. it signals how the chip sector slump is persisting. we know samsung is taking steps to address this, and it can be something that helps when the numbers come online or the stocks come trading at the next hour. that boosted the performance when we got preliminary numbers earlier this month. this announcement from samsung it would cut chip production to a meaningful level. something competitors have been waiting for, the likes of sk

hynix and micron. samsung resisted doing so to grab the market share from competitors. it can help the supply and demand dynamics. the pricing of chips improve. dram prices fell less than the market forecast in the first quarter. certainly the numbers, to underscore, the breakdown we are getting in the chip loss much worse than expected. paul: looking back, not great. how about looking forward? similarly awful numbers from sk hynix for the first quarter yesterday. they gave encouraging guidance for the second quarter. looks like samsung, not quite as optimistic. annabelle: not quite as upbeat. the recovery in the second half really could not be quite as great as had been expected. it will be a key focus in the earnings call later, plans around chip output.

more broadly, the forecast on everything from chips, displays, mobile devices. the mobile devices division is something that really did help the bottom line. recapping those numbers that came through. we saw mobile network sales came in at 31.8 2 trillion won. consumer electronic sales were better than estimated. chips we have just spoken about. smartphone sales have been a big boost to the bottom line in the latest set of earnings. paul: annabelle droulers in hong kong. a bit more detail on the samsung numbers. you can also turn to your bloomberg. go to t live go to get commentary and analysis from bloomberg's expert editors. this is bloomberg. ♪

shery: a quick check of the latest business flash headlines. aia reported a jump in new business helped by a rebound from china's removal of covid restrictions. the measure of the future profitability of new policies rose to just over $1 billion. a20 3% increase from a year earlier. aia sold double-digit growth in mainland china, hong kong,

southeast asia, and india. united overseas bank posted better than expected profit in the first quarter after getting a boost from rising lending income. a southeast asia's third-largest network says it increased 67% on year to 1.3 billion u.s. dollars. the bank also says it is on track to close the purchase of citigroup's assets in indonesia by the end of the year. kirin struck a deal to buy blackmores for $1.2 billion. a price representing a 24% premium for the company. the last closing price. it is part of the push into health care products by ki rin. marcus blackmore will support the deal. u.k. regulators have blocked microsoft's 69 billion dollar purchase of activision blizzard. u.k.'s competition and markets authority argued it would

bolster microsoft's age over its rivals in cloud gaming and threaten growth in the sector. the companies plan to appeal the decision. -- the company has planned to appeal the decision. the markets open her next. this is ♪ -- the market open is next. this is bloomberg ♪

shery: this is "bloomberg daybreak: asia." we have a positive big ticketing

system -- season lifting sentiment across market. that was not enough for positive session and wall street, but we will see what happens in the asian session. paul: plenty to watch today in australia. we had the bid before the open, a company looking to take over a vitamins maker. a lot of the focus on the big chipmakers, particularly samsung. annabelle: those numbers just coming up in the last 10 minutes or so early indicating for underscoring just how poor the chip's performance was in the first quarter, but let's look ahead to the opens not just in seoul but tokyo, sydney upon us and the start of trading for cash treasuries. we are watching the 10-year yield given that that has been moving off the back of bank woes persisting in the u.s. and concerns of around what that means for the fed. in terms of assets, that is playing out in yen trading.

we are continuing to see strengthening because expectations of fed needing to cut rates is nearing the yield gap with the boj. we had the exclusive interview in the last 10 minutes with the former boj deputy governors saying he does not expect changes to yield curve control policy tomorrow, that two meeting for the boj kicking off. traders are starting to position for policy adjustment sooner rather than later. nikkei225 taking the lead from wall street at the open, but let's change on now, a quit check -- a quick check of what is happening in australia. broadly today in the session it will be the question of whether we had in the intraday session on wall street will be overshadowed by what came through in big tech earnings, meta a particular focus, stop jumping after hours. let's change now over to korea. the big one is samsung, we had

her luminary numbers on earlier, the divisional bank breakdown really underscoring the poor performance of what is happening in the chipset sector. at the company reflecting on what the outlook is going into the second half as it wearables looking stronger. shery: for more on the results we are joined by our correspondent. what do you make of these results from samsung given that we got more commentary on what could happen in the chips division later in the year? it seemed less optimistic than what we heard from sk hynix yesterday. >> that is correct. samsung said the memory chip demand is going to be pretty limited during the current quarter. however, it did give some optimistic comments saying during the second half of this year it will see some memory recovery. i think analysts will ask more details about that optimism

during the conference call starting later today, and we see that that memory chip division has seen wider than expected loss, more than 3 trillion lost, much worse than expected. we will ask for details about why memory chip loss was so bad. that is despite memory trip prices declining were milder than expected, so there must have been other reasons. we have seen the company's smartphone division has posted a better-than-expected earnings with improved profitability thanks to some of the galaxy smartphone releases. we saw a stronger won has played into samsung's earnings, so there might be questions related to that as well. paul: you mentioned the mobile phone division there, that was send out a month to focus on negative news around the chips

division. what is coming down the pipeline in terms of mobile for samsung? >> samsung probably has more phones in the pipeline related to foldable phones. it has been one of the best-selling models. some of the other phones will be also coming for the new release during the fall, and typically third quarter and fourth quarter samsung's smartphone division as seen a better performance because of their new phone release, and that will also be one of the questions from analysts in the conference call later this morning. paul: youkyong there in seoul. let's bring in a senior investment director for asian equities at aberdeen. i want to start with what we are seeing in terms of tech in south korea at the moment, those numbers from samsung pretty much as expected.

we were not expecting great things, sk hynix not terrific yesterday either. neither of those companies getting punished by the market at the moment. what is your outlook for semi conductors around the region, and will you be adding semi conductors to her portfolio at the moment? >> good morning, thank you to be back. i think overall we are more positive on the semiconductor sector as a whole. perhaps since the start of this year actually, because i think we are starting to see earnings expectations being cut by the market. samsung and sk hynix as well. you can see where the share price is rating -- trading today is good news, you are seeing production cuts come through as well, and that should help to basically normalize the supply situation in the market today.

we look forward to a better second half as well. paul: we also have encouraging numbers today out of meta, microsoft, alphabet not too bad either. our valuations looking across the broader textbased to you? >> i look more at the asian equities level, generally when we look at the whole semi conductor space or tech space, what we are seeing is people are pricing and a lot of bad news and have not looked for it enough to get a longer-term perspective for the structural growth opportunities vstoxx will still be able to deliver -- these stocks will still be able to deliver. google, microsoft, meta are still continuing to spend in service, because that has implications to the asian supply chain. what we see so far is relatively better-than-expected as well, so that should give some support to

the asian supply chain in the second half of the year. shery: the expectation right now is that the economic outlook will get worse from here later in the year. many calling for a recession here in the u.s. and other parts of the world. what will that do to tech spending and corporate spending in the tech sector more broadly that could potentially impact the sector? >> i think this news that you have to be pretty selective of the overall tech sector of where we want to invest and while the names -- quality names that are navigating the situation in the market to take a longer-term view to continue to invest as well. if you look at r&d expenses by the likes of samsung, that has not changed dramatically. look at the taiwanese players as well.

they are taking a longer-term view of the strategy investments. the other point that is good to note is that earnings have really been cut, so the tech sector has already gone through the pain and evaluations provide a buffer for tougher times ahead as well. shery: we are watching regional lending turmoil here in the u.s., especially with first republic. we have got you ovi -- uov reporting out of singapore as well. what is the possibility that they will be hit with credit conditions tightening? >> the sector across asia remains pretty healthy. the ones that we own are the quality ones. they control credit quality, and if conditions were to tighten they would be the one able to

rattle through the storm. overall, i do not think we are looking at a volatile situation as we have seen in the west, and that is because for me macroeconomic perspective, from a balance sheet perspective, asian banks are better place. from the beginning of the year we have taken some off, but from a profitable perspective they have done very well for us, and we have shifted the money elsewhere to underperforming names. paul: i went to get your views on how reporting season has been in china so far. 569 companies on msci china, 212 have reported so far and almost half of them have missed. as the turn it reopening trade been a disappointment to you in any way? >> pretty realistic when it

comes to the pace of the reopening. we expected to be quite uneven. reopening trade will outperform the others, and we are repositioned as such. the answer is, yes, the market itself has moved very much ahead and terms of expectations. the first quarter results are a good thing. longer-term we do believe there is a strong recovery potential. what we mean by that is you do have a high savings rate waiting to be converted, but a lot of that will depend on consumer confidence, which will come in time as well. it is a good opportunity for long-term investors like us. shery: pruksa, always good to have you with us. it is early in the asian session, but plenty of news to

digest. let's bring back annabelle for a check of the movers. annabelle: there is a big mover 10 minutes into the session for sydney, seoul, and tokyo. blackmores very much and focus becausekirin has struck a deal to acquire the vitamins maker for 1.2 u.s. dollars, one of a push the japanese brewer into ethical products. the offer is $95 per share, and that does not include eight #.34 -- $3.34 tax rate premium. the deal is expected to close into the third quarter. kirin just slipping in the early moments of training, but the nikkei225 looking risk off as well. let's look at what is happening with samsung, because we have been discussing first quarter results coming through, expectations looking ahead to the analyst call later this

morning. what will they be saying about the outlook for the chips division, cap explains. the $1.4 trillion won net profit was below estimates of 1.45. memory demand will gradually recover in the second half. samsung came online to the upside, but in the early moments of trade it is looking under pressure. paul: thanks very much, annabelle. let's get over to vonnie quinn. vonnie: chinese president xi jinping's spoke it with ukrain'' because of volodymyr zelenskyy for the first time since russian's invasion began. readouts of the call suggested there were no major breakthroughs, though president zelenskyy' s office as the hour-long conversation was productive. xi told zelenskyy that negotiations are the only way out of the crisis. at the less house has passed a debt limit deal aimed at averting a catastrophic default in a political victory for

speaker mccarthy. it puts pressure on president biden: along with congressional democrats opposes the legislation because it contains sweeping spending cuts as a condition. failure to reach a compromise will lead the u.s. heading toward a federal women's default. >> we pass this. we are way ahead of the debt limit. we just passed the bill. it is not our job to modify. the senate can pass our bill. otherwise, we have done our job. vonnie: u.s. regulators are weighing the prospect of downgrading their assessments of first republic bank. fbi c is considering to move as the bank struggles to reach a private deal to shore up its finances. it would likely limit first republic's accents -- access to the discount window and an emergency launch last month. authorities have invaded offices in frankfurt as part of a probe into the dividend scandal. prosecutors say they are

investigating 37 current or former employees. police raided the homes of the suspects. it was a trading strategy that siphoned out billions of dollars in revenue by taking advantage of tax laws. nomura says it is cooperating with the investigation. 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 am vonnie quinn, and this is bloomberg. shery: the debate over stablecoin regulation heating up in washington. we ask chainanalysis how they are responding to risks and opportunities. the latest on south korea positiveness president visit to the u.s.. the nuclear threat is high on the agenda. this is bloomberg. ♪

shery: take a look at how korean chipmakers are trading in the session today. samsung electronics is down .9 of 1%. it really missed when it came to their consolidated net 1.4 trillion won. we saw a rare quarterly loss with their chip division. their forecast for demand in the second quarter also not as bright, and you can see sk hynix tumbling within one point 14%

despite the fact that there were optimistic that revenue would rebound in the second quarter. you can actually turn to your bloomberg for more on this. go to tliv to get commentary and analysis from bloomberg's expert editors delving through samsung's results. paul: chips have been a key point discussion between u.s. and south korean officials during south korean president's oon visit to washington. the commerce secretary gina raimondo says the u.s. and its allies need to coordinate efforts to boost production. let's go to our reporter in seoul. tell us about the key takeaways from this trip. >> i can start with the declaration, which is called a centerpiece of yoon's stated visit to d.c.

this is a nuclear deal similar to what is offered to the nato nations or the european nations from the u.s. when it comes to nuclear attacks or provocations from other countries. this is against the north korea provocations. this allows a more active role for south korea when it comes to nuclear provocations as well as stronger deterrence for south korea, the ally for the u.s. we cannot discuss the reduction act, which in the beginning initially south korea did not like so much. the guidelines released last month actually allowed a little more leeway for south korean companies like tia and hyundai to get subsidies for electric vehicles in the u.s., and of course they discussed the chips

act and how they can cooperate their. south korea controls 2/3 of the memory chip market in the world, and south korea is home to samsung electronics and sk hynix. shery: this is only the second state visit the second state visit the biden administration is hosting. we have the president speaking to congress again on thursday. a significant is this? -- how significant is this? >> this will be the first time that he is actually talking in english, and not just his speech at congress, but he has hosted a lot of meetings with business people, especially when he had the roundtable discussion with about 120 conglomerate heads from south korea that accompanied him. of course, there were other

company heads from the u.s. including the executives from boeing and qualcomm, and it really goes back to all of the investments and partnerships that they are trying to garner from the state visits. yoon had to come back with a $30 billion investment from the uae summit in january. it is about yoon trying to get more investment from chipmakers or battery makers to better the business and economy and south korea, and the latest will be his meeting with elon musk where he offered tax breaks and manpower support if elon musk were to invest in south korea, and he said south korea is one of the top candidates for building a factory in asia. shery: you can get a roundup of all of these stories you need to know to get your day going in today's edition of debris. bloomberg subscribers go to dayb

and in the bloomberg mobile anywhere at. customize the settings so you can get news on the assets that you care about. this is bloomberg. ♪

paul: let's take a look at how meta did after hours, shares popping higher by 12%. we had a beat on sales, revenue, forecast revenue looks encouraging as well. for more analysis on those results let's bring in our social media reporter. scarcely a mention of the metaverse. it looks like it was back to basics work meta. >> they did not mention the metaverse very much at all, and when it was mentioned it was

mentioned in conjunction with ai. ai has been all the grace lately with chat gpt and other competitors. meta in particular spent a lot of time talking about how they wanted to put ai in their products. there is the algorithm and recommendation side, but they also talked about using genitive ai which is similar to chat gpt, so it took up a lot of air time and not as much on the metaverse where traditionally meta has talked about a lot. shery: given the results and market reaction, can we say mark zuckerberg's efficiency is paying off now? >> it is. the stock has been performing well. it also helped that meta beat on revenue, and they/their cost estimate - slashed their cost

estimate. it has convinced investors the layoffs and restructuring has been positive. some people even say the cost that they are cutting is helping them to be able to continue to put money toward the metaverse and ai and other places they are planning to invest in. paul: meta is still investing in the metaverse, that one of the business is still losing money. what is the overarching plan? you mentioned ai is not talked about in conjunction with the metaverse. in a practical sense, what will happen in this space? >> it is not entirely clear. zuckerberg talked about how they still have plans for their headsets that you use, virtual reality headsets. reality labs is still losing billion's of dollars, but they still plan to hire in the future. it is not clear how ai and the

metaverse connect, that is something zuckerberg was keen to emphasize. we have been working on these things weren't years and we will continue to work on them. shery: our social media reported with the latest. u.k. regulators have blocked microsoft's $60 million -- $69 billion purchase of activision. they argued that it would bolster microsoft's edge over its rivals in club giving and threaten the sector. at the companies plan to appeal the decision estate try to salvage of the biggest ever deal in gaming. activision shares tumbled in the u.s. as its merger with microsoft overshadowed strong earnings. the company says first quarter bookings rose 26% to $1.86 billion, topping estimates. earnings grew to $.60 a share topping projections of $.53.

a former boj deputy governor says he will be surprised if the central bank changes yield curve control under the new chief ueda. here is the outlook next. this is bloomberg. ♪ as a business owner, your bottom line is always top of mind. so start saving by switching to the mobile service designed for small business: comcast business mobile. flexible data plans mean you can get unlimited data or pay by the gig. all on the most reliable 5g network, with no line activation fees or term contracts... saving you up to 75% a year. and it's only available to comcast business internet customers. so boost your bottom line by switching today.

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shery: -- annabelle: this is "bloomberg daybreak: asia." we are 30 minutes into the session for japan, korea, and australia. broadly we are looking weaker

and on track for the longest run of losses so for this year. there are a few stocks in particular focus today. what we are seeing withblackmores, that stuck is surging after it was announced the japanese brewery maker is looking to buy blackmores in a deal worth 1.2 billion dollars, part of a foray into healthier products. the deal comes with an upside for the last close price of 25%. you are seeing the stock move closer to that point. the other big focus today is samsung, we had numbers earlier this morning. the company did missed estimates , particularly bad performance for the chip division. other sectors looking better including the smartphones one, but the company is signaling a rebound to come in the second half. that stock opened higher, it is looking fractionally weaker into the morning. let's change on and take a look at what we are seeing broadly across the equity's picture.

looking weaker across the board. we are seeing particularly perfect -- poor performance and the cost being, also -- kospi, also would have been intraday on wall street. particularly given concerns of first republic, so that is playing out around expectations and the fed, how much of the credit crunch will be doing the fed's work for it? we are seeing yields move higher. in terms of what else we are watching, the japanese yen not here right now, but looking stronger against the greenback ahead of this two date meeting kicking off today for the boj. paul: the new bank of japan governor ueda might be signaling no adjustment to a key policy tool, but bank of america says friday's decision is still a close call. kathleen hays is in tokyo with the latest. why is bank of america arguing

that a shift in the boj' yield curve control might still be possible? kathleen: at least under discussion, at least on the table is something they have to look at very seriously. one of the reason so many traders, investors and economists are saying it will not happen is because governor udea, everything he has said in parliament this week, he is giving signals inflation will peak this year and then come back down below 2%. even though it is rising and i stayed well above target for any key measures of the last 12 months is not something it looks like will change his mind. what we are looking at now is what people are seeing coming up as the next step when it comes, and you can see the most likely thing -- tweak four to guidance. we heard from somebody today that there is a very subtle changes that could happen there.

scrap why cc is another one, and widen the band. the fact that global bond yields are down and not putting as much pressure on japanese 10 year bonds would go hand in hand making this a convenient time to do something like that. speaking of someone we just spoke to, the deputy governor at boj for five years step down in march just a month before governor kuroda ended his term. he is a professor at a university now. when we spoke with him, that is one of the first things i asked him. a lot of people are bidding there could be some kind of tweak 240 guidance today. do you think? >> i would be very surprised if the boj changes ycc, because there is a overwhelming reason for keeping this current ycc. governor udea -- ueda has

basically said he has not seen still the inflation rate reaching toward and staying at 2% in a stable manner, so there is no reason to change ycc right now. kathleen: short of ycc, is there something key could do to somehow tweak 40 guidance, especially recent statements from the bank of japan where they mentioned covid-19 and linking covid-19 to interest rates? could something be said there that even in a nuanced way is a shift in for guidance? >> i think that is a possibility. the government as decided to tame the category of covid-19. covid-19 is now becoming more like a flu.

at this moment i think the boj can tweak their 40 guidance -- forward guidance. if the boj it would delete 40 guidance altogether, i think that is not the move the boj would like to do right now, because i think they expect short and long-term policy interest rates to remain at lower levels. that part is quite important. if i were suggesting the boj, i think they can change the forward guidance, keep it and you can add for example. and the boj will achieve the inflation target in a stable manner. that would strengthen the forward guidance actually. governor ueda has been called

the inventor of this supported guidance -- forward guidance. kathleen: in terms of inflation, is made it clear he thinks inflation is going to peak this year and get back down to 1.5% by the end of the year, but we have seen inflation well above 2% all the headlines for months, and even the core rate taking out food and energy is still above 3%. is there any chance that in his words or in the inflation outlook that boj as to may be up that outlook for what cpi would do this year? >> that is true, but you have to think about not this year or next year but the year after next year. the boj as to be sure that the inflation rate remains above or

near 2% inflation target, so in that sense it is still too early to say inflation as reach to that level in a sustainable manner. in that sense everything is data dependent. kathleen: i like the answer he gave to the very last thing i asked him about, well, ueda mentioned in parliament about that the boj falling behind the curve. she said they want to fall behind the curve. people at the boj and have been around for a long time, salt mistakes made earlier when ueda was on the board. they want to get far behind the curve, that is a new thought for me that i will hold onto and mention it here again. shery: you will not hear that from another central banker right now. kathleen hays joining us from tokyo. let's get to vonnie quinn.

vonnie: president biden stressed that it north korean nuclear attack on the u.s. and its allies would be the end of them jungle and's regime. at the declaration came with this announcement of new efforts to counter pyongyang's nuclear builder. the u.s. will deploy a nuclear armed submarine in the peninsula securing a pledge from south korea not to pursue its own atomic arsenal. pres. biden: a nuclear attack by north korea against the u.s. or its allies or partners is unacceptable and will result in the end of whatever regime would take such an action. we will not be stationing nuclear weapons on the peninsula, but we will have nuclear submarines and things like that. vonnie: bloomberg has learned the turkish president has canceled a day of campaign appearances after falling ill during a live tv interview. our sources say he will instead

join the conference with president vladimir putin. erdogan is basing his toughest election since 2003 with six opposition parties running to unseat him. a disney is doing for governor ron desantis claiming he is retaliating against the company for speaking against his policies and threatening billions of dollars in business. the lawsuit filed in federal court in florida accuses the governor of orchestrating a targeted campaign of government retaliations. it comes amid an escalating dispute over a five-member board governor desantis appointed to oversee the park. 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. this is bloomberg. paul: japanese per kirin has struck to acquire a vitamins maker for 1.2 begin dollars. blackmores is rallying up hard the most since 2015 as the

japanese company it looks to push into all products. let's discuss this with our deals and banking reporter. beer and vitamins, not a natural combination, but there is 20 and this deal to like. a healthy premium, special dividend as well. >> strong support from the founding families, key shareholders as well, around 18%. given the latest stocks rated over the last few years, it was a market down in the last few years, and the family element as had a few disagreements and poise of with prior management. so this allows everyone to take the money and go their separate ways as well as allowing kirin to focus on certain areas will be on what it is done. shery: tell us more about how this deal makes sense for both sides. >> especially for kirin.

other beer brewers are plowing further into alcohol, but kirin and a few brands out there not only in alcohol but consumer package goods companies are thinking about the way consumer tastes are changing. people are becoming more health conscious, and that is probably particularly poignant for alcohol producers where prices, who put on restrictions for marketing alcohol and some of the damages for the business model as well as the growth we see in health and well-being products. for australia, this is a leading company in the space. they are on the shelves everywhere and supermarkets and pharmacies, so that kind of distinguishes, is a new growth avenue that kirin says they would to build out 3.7 billion dollars in annual revenue in

that business area over the next decade. they certainly see a strong future in it. not the first mover in the space. there was a deal for blackmore's main competitor. they closed it out, and it will be interesting to see what they do with the brand in the coming years. shery: harry brompton joining us from sydney. not surprising, we are seeing pressure on the stock down more than 7%. this would be the worst day since november 2021, the japanese brokerage reporting the slump in fourth-quarter profit. lackluster dealmaking weighing on revenues. this is a first rate year of profit declines, and there is the nomura frankfurt rated adding headwinds to the stock. this is bloomberg.

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shery: take a look at how cryptocurrencies are trading at the moment. bitcoin jumping 2.7% headed back toward the $30,000 level. it was whipsawed during the new york session as well, hard to

keep above the $30,000 level. we saw it week slightly higher -- peak slightly higher for the first time in the week. we continued seeing growing scrutiny here in the u.s.. we have congress looking into the market especially after the collapse of ftx in the market rout last year. joining us down to the discuss three literary essay globally and more specifically across the asian sector as well is caroline. what are you seeing in the regulatory landscape that could provide more volatility for the sector? >> it is great to be here. the biggest trend we are seeing in 2023 is picking up on something that began in 2022, which is this greater focus in the sector on the importance of regulation. that is coming from the industry

but regulators are across the world themselves. we have seen a step up in terms of regulatory frameworks being put in place, including here in asia with about singapore and hong kong making announcements recently about their latest rules they will apply to the sector. annabelle: you are doing a policy as well, you were on the road for a few weeks. what are some of the key topics you are having in conversations in this part of the world so far? >> one of the most interesting things are the developments in hong kong. certainly from an industry perspective. the announcement hong kong is setting out to be a crypto hub is something people see is a change of tone to the approach to crypto historically in hong kong. it brings competition to the market here in terms of her to go as a crypto business looking to set up where we will see the most attention from eight retail and institutional perspective.

a lot of that attention historically has come to singapore, but we are seeing both hong kong but also increasing action in korea, and again, most recently in australia who have recently announced the outcome of their own token mapping exercise. annabelle: you talk about the progress that has been made in hong kong. one of the key parts still missing is some sort of roadmap or regulation around stablecoins . why is that so important to have for the broader sector? >> stablecoins have really become a fairly key part of the way that the industry works. looking to have clarity about regulatory requirements that have been put in place for those, ending -- and in hong

kong we are starting to see move in that direction. we are not into the concrete realm of regulation itself, but we are seeing governments moving forward in their thinking and doing that in consultation with industry. this is important, because for the industry whether you are looking at movements in and out of individual up to currencies and not wanting to go straight back into fiat currencies but wanting to stay in the digital asset world, stablecoins play an important role in that regard and in particular with regards to the decentralized finance part of the industry. that is something that is taken off since 2020, and we have seen the growth of stable ones come along online with that as well. paul: caroline, while we wait for this regulatory framework to be put in place not just in apec , where do you place the odds of another ftx style crypto meltdown in the meantime? >> i think there is actually a

huge amount of attention of not just what happened with ftx but other events across the industry that have sharpened focus not just from regulators. people are being much more proactive when it comes to the type of businesses. what we are not seeing necessarily is a sort of loosening of requirements, rather the opposite. whether it be hong kong or singapore, we are still seeing white stringent rules being applied in terms of what they expect from the firms they license. i think that is a direct response to the events of the last 6 to 12 months. paul: caroline malcolm and annabelle droulers joining us for the conversation. be sure to turn into bloomberg radio to hear more from the day's big newsmakers and get in-depth analysis from the daybreak team forecasting live

from our studio and hong kong. listen in the app, bloomberg plus or bloomberg.com. stay with us. ♪

shery: evergrande is said to give more detail on how many creditors support its offshore

debt restructuring plan. this comes as a deadline arrives for bondholders to receive compensation if they back the effort. our credit reporter joins us now . 5:30 p.m. thursday and hong kong is the deadline. >> markets are waiting to see just how much support evergrande is able to gather so far for the offshore debt restructuring plan, which covers over 19 billion of offshore debt, and the market had to wait for more than a year to finally get to see. like you said, the deadline is 5:00 p.m. thursday hong kong time. creditors can get compensated by showing support for the plan. how they do this is to exceed two a restructuring support agreement before a restructuring fee line. this does not mean creditors cannot show their support after this deadline, but you would

imagine if they want to show your support not also get money out of it? how much evergrande can get support by that time will be an early indication of the level of support they will finally be able to get, and the amount they will eventually need to get across the line will be 75% of creditors in value. paul: 75% being the threshold, but what are the chances of actually crossing that? there are some creditors getting together asking for a bit more time. >> precisely, right now we know evergrande got major support from a key group of big investors, and that marks 20% of its own debt and 30% of its unit's debt. as you were pointing out, creditors were trying to gather together. there was an offshore law firm trying to organize creditors to

ask for a longer period of time to ask for this. some of its peers were able to get this across the line, so sunac has got 79%, and fantasia got 72%. the company will be able to extend the deadline if it wants to, but the market is going to know how much evergrande can get right now at this moment because some of its dollar bonds have been steadily declining ever since they restructuring plan came out in march. paul: let's take a look at some of the stocks we are watching ahead of market opens in hong kong and china. asian tech stocks and focus after meta shares surged post-market. we're watching alibaba, tencent, and jd.com. first quarter profit jumped as

china's economic recovery booster demands and investment returns. lia reported a jump in first-quarter new business revenue held by china's scrapping of covered restrictions. sinopec among companies also reporting their earnings later on on thursday. that is it from "daybreak:asia." our market coverage continues as we stand by. this is bloomberg. ♪ ookies? the chookie! that always puts you first. (we did it) start today at godaddy.com

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