global news, 24 hours a day, on air and on bloomberg quicktake, powered by 2700 journalists and analysts in more than 120 countries. -- haidi: very good morning, welcome to daybreak australia. sherry: top stories this morning, big tech dragging down u.s. stocks ahead of the crucial cpi release. collett the sensitive ups two-year yields topping 5%. haidi: apple's new iphone getting a lukewarm response despite the higher price tag for the top model. sherry: the top resignation of bp ceo for failing to fully disclose past relationships with colleagues. u.s. futures coming online in the asian session after the s&p 500 fell. today a traded below their 4500 level. the nasdaq 100 under performed with apple, losing almost 2%, that as we saw that news move at

the launch event with the unveiling of the iphone 15 and other products, investors cashing out, given that we have seen that 38% rally already for apple this year. take a look at what happen with the treasury space because it was a pretty mixed picture. we didn't have the 10 year auction through the highest yield since 2007, and that really following what we saw with the three euros -- three year sale as well, reflecting the recent bond market selloff that we've seen in anticipation of the fed. we see pressure on oil prices at the moment, this as we had opec-plus report showing that we might be setting up for the tightest supplies in about a decade. it doesn't really bode well when it comes to inflationary pressures going forward, we do have them monthly cpi report that we are really bracing for on wednesday. this is bloomberg. ♪

-- haidi: that will be key when it comes to how asian effects on the yen will trade. we see that big shock when it comes to potentially unexpected stronger printing and u.s. cpi, heralding the way forward for more tightening from the fed. that will be the dominant feature alongside the domestic activity numbers out of china. take a look at our asia -- how asian markets are shaping up. we see weakness when it comes from sydney teachers at 3/10 of 1%. aussie dollar steady at 6426. we saw the dollar paring gains in the previous session after that big drop. certainly a lot of people concerned that there is further when it comes to this dollar rate. arcadia asset management sees 5% upside to the greenback and they are seeing positions against the likes of the aussie dollar and the kiwi dollar. the yen will be in focus today. kiwi stocks trading pretty flat at the moment and we are seeing dollar yen holding just over that 147 level. shery: let's talk a little bit

about apple because it introduced its latest iphone banking on new materials, camera upgrades and performance. to coax back consumers and a sluggers smartphone market. the spring and bloomberg's chief technology correspondent, mark gurman. what do you make of the release? will it be enough to palau apple from the sales slump it has been experiencing? r: i think the iphone 15 pro and 15 promax think they did enough to get upgraders. the demographics of people who buy iphones tend to reach towards more affluent areas. people willing to spend more money on their devices. i think these ultra premium designs from the 15 promax will push buyers. you will see line six friday, so i think they did what they needed to do, at least on the iphone side. haidi: was there anything that jumped out other than the major

upgrades that we were already expecting? mark: there were a few items i would highlight, one is spatial video recording on the iphone 15 pro and promax that allows you to take what amounts to 3d video. you can play that back in mixed reality in that headset comes out next year, talk about having a 1500 phone in your pocket and a $35 headset on your faces the ultimate apple experience. the other thing that stands out is the airpods pro, that has moved to a usb see charger as well. in order to get that u.s. pc functionality, you have to buy $240, you can't just buy the case on its own, which is a shift when they added wireless charging to airpods cases. they are also charging $30 for a lightning u.s. pc adapter. there is these odds at ends elsewhere there are interesting new ways that they can make revenue, new things that are showing you where their ecosystem is heading. shery: we have seen news they

extended that agreement with qualcomm that's making chips in-house is more complicated than originally expected. how do you think this will affect apple? mark: the modem is the most challenging component to make. the modem is something that has to be as good as or better than the qualcomm product. while working on hundreds of carriers globally and hundreds of countries around the world while needing to deal with theocracy to get proper certification and testing done in 150, 180 countries. that is not an easy task. they ran into issues related to battery life, efficiency and overall performance and a has to work across 4g, 5g and nexgen -- next-generation advancements on top of 5g. they cannot afford to have an inferior product to samsung or huawei or xiaomi. the only solution is to go with the best. if you're charging the highest prices and considering your phones i'm calling your friends the best phones of the world,

you need to use the best component, especially the modem you need to make phone calls to use the device. they had to go back to qualcomm no matter how embarrassing or difficult it may be to them. haidi: maybe a bit of a wind on the green front, they are pushing that theme with the new apple watch as well. mark: they are really pushing sustainability on the environment. they consider the new apple washes to be their first carbon neutral products. that means it's using entirely recycled material while also being manufactured in more environmentally friendly ways and more shipped in more environmentally friendly ways. from a consumer standpoint, how are you impacted, they are phasing out their leather accessories. getting read of -- rid of the leather air tag holders, they are getting rid of their leather

wallet set clip-on with a magnet to the back of your iphone cases. the brought in a new material. in addition to those they got rid of all leather iphone cases and leather apple watch bands. you will see those fine woven materials across the board and that's a big shift for the company. i got a statement in my inbox earlier today from pete appraising tim cook in this move by apple. shery: bloomberg's chief technology correspondent for that latest apple unveiling of products. we are following the price of oil which extended as rally in the new york session touches fresh eyes as data shows saudi lead supplied cuts are creating a supply squeeze. bloomberg su keenan joins us now with more on this. this could be the biggest shortfall in a decade. su: it shows you the power of the saudi lead move to extend cuts to the end of the year. it was a voluntary cut by the saudi's in july, which were russia went along with by extending its export curves.

rolling it to the end of the year has really ignited a very strong rally and now, opec data is showing that the supply squeeze that we could see in the fourth quarter could ba 3.3 million barrels a day. the deficit, as mentioned, would be the biggest in more than a decade. we see both brent and west texas intermediate hit year to date highs. again, while the international energy agency has a different view of things, they previously forecast a deficit of 230,000 barrels, that was before this latest move by both the saudi's in russia, moving in tandem to extend their voluntary cut to the end of the year. the iea's latest outlook will be due later wednesday. meanwhile, if we drop into the bloomberg, we could see the momentum in brent. the benchmark has been extremely strong, hitting 92 a barrel. very big move. so the upward momentum is what

many in the oil market focus on, even as though we are seeing a slight leveling off as asia trading gets underway. haidi: how hike at these prices go? what are we hearing? su: jpmorgan chase and rbc capital markets doubting we see oil go to 100. some analysts say the strong momentum we've seen in the last two weeks is starting to pull back. we look at how oil is trading again, it has been very strong with brent at 92, intraday and west texas intermediate selling just short of 89, those are both fresh eyes for the year, prices have rallied some 25% since last june, it gives you an idea of how strong this rally has been, and it's coming at a time this audis removing oil from a market along with russia doing its share at a time when demand is

rising to its highest. just as we go into the winter heating season. that's on the hundred dollar oil you see they're very strong despite many of the big banks as mentioned being reluctant to make such a prediction. haidi: bloomberg su keenan with the latest on energy. we are following this story today following the flood disaster in libya. current triggered by mediterranean triggered smash through dams and washed away entire sections of the eastern city. a state run news agency quoting the ministry for the divided country's eastern government saying more than 5300 people were killed there alone. the international red precedent told a briefing of at least 10,000 people were missing and 40,000 have been displaced. still ahead, we get more on whether apple's new iphones can define industrywide slums and headwinds in china. we will discuss all of that with

our tech analysis. but first, the fed is probably done hiking rates, creating safe and solid opportunities in stocks and bonds. there cio is along with us next. this is bloomberg. ♪ thanks to avalara, we can calculate sales tax automatically. avalarahhhhhh what if tax rates change? ahhhhhh filing sales tax returns? ahhhhhh business license guidance? ahhhhhh -cross-border sales? -ahhhhhh -item classification? -ahhhhhh does it connect with acc...? ahhhhhh ahhhhhh ahhhhhh

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before, the most uncertain time about the economy that i can remember in my 40 plus years in finance. not the most scary, 2008 was gary, covid was scary. i don't think we are going to have any kind of a catastrophic event. but, when does the fed stopped tightening, where do they stop, what effect does that have on the economy, do they have a -- do we have a recession? >> it's more likely that they hold rates here and there will be one more rate hike as opposed to going higher. i think the market may be off pace is to think the fed will heed a lot in 2024. the last mile of getting inflation down will turn out to be difficult. i think the fed will take key rates higher than people think. i think that's one of the things feeding into the bond market. shery: of course, former new

york fed president bill dudley on the outlook for the fed. our next guest things the u.s. central bank is likely done with raising rates, which is good for both stocks and bonds. joining us now is the founder and cio at summa wealth, great to have you with us, is the expectation that yields have peaked and we are not going to see more pressure on stocks going forward? >> we will learn a little bit more probably tomorrow when we have that cpi prints, then there is still a risk for a hikes this year, but from our chair, those rate hikes are in the rearview mirror, we even have cuts in front of us. the reason for that is inflation is tracking lower and that helps, job growth is pooling. that helps. there was a lot of concern that labor was going to create this spiral of upward movement in wages, that's just really not happening. i think that combination of inflation tracking lower, job

growth not spiraling out of control in terms of wages means the fed has done enough and they can cause, they can certainly pause, they can stop raising rates and they can consider cutting rates going forward. shery: if that's the case, that would mean a little bit more upside and some support for the tech sector. but we saw today, for example, without apple sale, the new momentum that we were under a lot of pressure. do we still have more opportunities in this sector are? >> we are still bullish on technology, that has been a little bit bloodier more recently. we gave a little bit back in september we are starting to do that. seasonally, september is not a great month for stocks, that will include technology stocks, but we are bullish on broad market going forward as well as technology. part of it is what we just talked about within just rates. you hit the stopping point in terms of increasing rates and

potentially cutting rates, that's good for technology stocks, but more than that which is have strong trends for technology, the growth is there. there was too much grouping for a while. there wasn't enough fundamental analysis fray while, that selloff in the now is providing opportunities going forward. the front tech stocks in the real tech stocks. when you sharpen your pencil you want to focus on real tech stocks going forward because that's where growth is absolutely going to be. haidi: what do you like in the energy space as we see opec cuts setting up for this market? is this rally just continues to push higher? >> we are very constructive on energy, and that's a very different thesis from technology, i figure provides a nice balancing for the technology. they are not highly correlated to each other, we have strong fundamentals in the energy space. as you pointed out, supply and demand is in favor for this

sector, dividend yields are very strong, the p/e ratios, is not always a great timing tool, but a great tool for picking stocks in the energy sector is outstanding. we continue to be constructive on energy. we think it's a great to sector overweight in your portfolio. technology on one side and energy provides a really nice risk-adjusted returns for listeners. haidi: what do you make of the strength that we see in the dollar at that moment and how that potentially impacts investments? >> only -- our few for the dollar is that it's going to get weaker. that all goes with that interest rate theme that we have been talking about is, if the fed is done raising rates, which we absolutely think that they should be, rates are going to start to come down here in the u.s., and that's going to put pressure on the dollar, that's

actually another quiver -- wherever repo quivers, and the thesis for tech stocks and for stocks in general is that weaker dollar, but really it's going to help for international stocks. a couple of variants that we think investors tend to be underway right now, as we mentioned the energy, but also the international stocks and weaker dollar, which we think is coming out in the horizon, is something that will buoy european stocks in particular, though stocks are sewed her cheap right now, which means that not a lot of downside in the european stock, part of your portfolio, and catalyst for that going forward will be that strengthen the dollar, which will come as interest rates start to drift down or even come down pretty quickly. haidi: why do you like financials at the moment, there's so much concern over these capital regulations and

what that might mean in terms of the biggest banks, i think the estimate is just shy of 20%. that would be the boost to the capital mandates under the new plan? >> when it comes to financials, that's an interesting question, that's a little bit of a tougher call in terms of how much conviction we might have. particularly when you see someone like a jamie dimon coming out to say he doesn't think the banks are a great buy. that's a surprising point of view for us. but when we look at the financials, banks are telling us that the consumer is strong and that's a very good sign for the financial sector. we do think that the dividend yields there are protected and very juicy and interesting, as well as the valuation call. for part of the portfolio, if you are underweight fine it -- if you are underweight, we do think there could be relative outperformance over the next 12 months or so. for that particular sector.

shery: founder and chief investment officer at summa wealth. you can get a round up of all the stories that you need to know to get your day going in today's edition of daybreak. terminal subscribers go to dayb . you can customize your settings so you only get your news on the industries in the assets that you care about. this is bloomberg. ♪

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haidi: some of the latest corporate stories we are tracking. bpce i always said he failed to fully disclose past personal relationships with colleagues. the bp board reviewed prior allegations back in 2022. however, after further recent claims of similar behavior, the company had not been fully

transparent in the previous investigation. he will be temporarily replaced by the cfo. the main promoter of the $4 billion one coin pyramid scheme has been sentenced to 20 years in prison. he had pleaded guilty to one of the first and most biggest criminal frauds involving cryptocurrency. he worked with the so-called crypto queen in the world's most wanted crypto fugitive. china has sentenced the former head of the nation's largest life insurer to death. state tv says the life insurance chairman was found guilty of taking bribes worth $45 million in hiding overseas deposits. chinese authorities warned the nation's top banking executives in april that it began in 2021 was far from over. shery: bloomberg opinion colonists, former yield fed

president says that raising capital requirements is not the right solution to address instability in the u.s. banking sector. he told us regulators can find better ways to make the financial system more resilient. >> i think the problem is not that the big bang still have enough capital, if you remember, money was running towards the big banks during the turmoil we saw. in big banks got integrate difficulties. the problem with raising it over and over again is making u.s. banks less competitive and that would push back into the unregulated nonbanking sector. you actually make the financial system safer or are you making it more unstable? >> should we raise the capital requirements of entrepreneurial upstart banks with a strategic gimmick to build growth?

>> i think we certainly want to be paying close attention to those banks using novel business models. the fed itself admitted that we need better provision. the problems were identified in a way, but then the supervisors to enforce the banks to make the changes necessary to the bank's demise. so i think that that situation, more diverse stress testing, interest rate risk go along way to avoid these kind of problems. raising the capital for us by 15% to 20%. >> you talk about in your column the importance to recognize nonbanking institutions as competitors any religious increase their share by restricting the lending capacity of big banks, should regulators be basically going down to the lowest common denominator of less regulated banks are put more of an eye towards nonbanks and regulate more closely some

of those activities? >> i think they should be focusing on what's the best solution for the overall financial system, banks and nonbanks. obviously to increase requirements a lot on banks, the nonpaying, which is, does that make it safer or more vulnerable. also, i think the question is, what was the problem and what was the solution to solve the problem. it's not clear that it solves the problem that we saw in march. haidi: bloomberg opinion colonists bill dudley they're speaking to us. more to come on daybreak australia. this is bloomberg. ♪ nice footwork. man, you're lucky, watching live sports never used to be this easy. now you can stream all your games like it's nothing. yes!

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haidi: take a look at apple.

we did see that lackluster response in the momentum today. maybe that was on the news given that we had priced a lot of the details when it comes to this product up grow. we are watching up a in asia, we could see some this rating and those asian names. i really didn't see a lot of surprises except maybe for the pricing, we will get to that in a moment, but we did see the decline which is being held into that last close, we also had a decline into u.s. tech stocks as well. let's get some analysis from apple park in cupertino, the president and chief analysts this -- anna-lysa technological research. great to have you on apple product unveiling day, wasn't enough what they offer? >> it was a whole bunch of incremental upgrades. it was camera improvements, basically, for the standard iphone 15, but you got his last years 14 pro models is now

available in the fifteens. it's a better value if you are willing to accept last year's technology. for the probe, the 15 pro and promax, there were nice incremental changes, i think the big news, as you started to hit, was the pricing. everybody was expecting price increases and they basically solve price stability. one small change on the promax, but even there, it really match the price of last year's configuration. essentially, flat pricing and more capabilities. in, so i think people like that, i think that the good thing. it's not a wow factor, it's not a foldable phone or something dramatically different that would get a whole bunch of people excited, but if you are one of the many, many people out there who have a phone and outlet, i think it's time for an upgrade, there's plenty of good reasons to justify an iphone 15 upgrade. so i think you will see that. you will see incremental upgrades in their some high end things people will go for for

the promax that the prism design on the camera is actually pretty cool. i was surprised by that because it's basically an optical zoom and some of the rumors said it would be this telescoping thing and the fact that they use these clever prisms. so you are getting five and a tiny little smartphone. that's pretty impressive engineering. haidi: the products price increase, is that compelling, does that have the ability of people lured by the new camera capabilities to potentially change the products mix going into next year? alexa might, we will sue happens. the other thing that's interesting, at least in the u.s., it will be interesting to see how it plays out in other parts of the world, we saw u.s. carriers consider their high-level subsidence. it also questions not only the pricing but the subsidy levels of whether they could continue because they've been superhigh in the past. so maybe the other carriers around the world will do some of

that. that's more of a phenomenon of the u.s. and other places that will also maintain that. here's one thing i will say. we've been watching the photography and video features in the iphone improve incrementally over the past years and we are at the point, i have to admit, while i was watching the presentation today, it hit me that, high-end cameras , high-end video cameras, and dsl ours in the nikons and canons of the world, i think we are starting to see a risk. the workflow that apple is enabling, the quality they are enabling is really up to that level. and i think that will have a longer-term impact for that superhigh end of the market. for mainstream folks, i think you will see, this is a nice incremental improvement, but most people are upgrading from a three or four-year-old phone so will be a massive improvement in quality in that regard. so i think it will inspire some folks. shery: when it comes to high-end versions of the pricey products of apple, how does that bode for

those markets apple has been targeting, like india, that's more lower income? >> that's a good point. let's not forget, apple always keep some of the older models in the line at older price points. those will be really important in markets like india and certain areas of china, more rural china. obviously they're still the china overhang question about how much impact are these governmental regulations going to impact apple. but, when apple has been very good at doing is water falling technology. come out for this technology at the high-end. next year it's in the ministry model and then it goes out to lower price points. that's what you'll see. a lot of people in developing markets, that first iphone is going to be so much better than it had access to previously that they will be pretty happy. expectations are different in other parts of the world. that works out ok. it's not like apple will get

would've the super low end phones for the other markets, they will always be there in the new ones become the next benchmark from which they can waterfall down to the other markets. shery: tell us a little bit about that china overhang that you talked about. how big of a risk is it for apple? not only the fact that you could have more government regulations, but just consumer backlash. we have seen that market turn against products from countries like japan, south korea, that would not be anything new and we have more political tensions between the u.s. and china. >> it's a very fair point. the thing i would say that's a little bit different from apple is, my sense is that the association of apple is a luxury brand in china and is really strong and it's a lot of people really like the apple brand. the other thing to remember is it's the whole apple ecosystem. unlike the other products from other companies, apple has an

ecosystem and it's true in china just as well as it is in the u.s. and other parts of the world. that makes it harder for a lot of consumers to move away from apple. while i think it's a bit of a concern, i don't tickets a huge issue for most of the consumers in china who are apple fans. haidi: i want to talk a little bit about the tech side of things and one, maybe a little bit of the hitch in the vertical integration efforts. he saw that renewal of the agreement with qualcomm. also, the news that huawei, despite u.s. sanctions, is making a bit more progress than expected. what do you make of these developments that's going on behind the scenes? bob: those are great questions. first of all, on the qualcomm side, it says a couple of things. it says apple's investment in the intel 5g motor business is not paying off the way they expected to. and that's disappointing to

apple. but in truth, this is really, really hard stuff. there's primarily to in the world in huawei we will keep separate. maybe it's qualcomm that can make these modem chips ndrf chips and qualcomm is incredibly good at doing it and now, with this extended clutch that apple has, frankly, apple people will get access to the best modems in the world because qualcomm, to their credit, as always had the highest performing motor. i think that's good for apple people and it's good for qualcomm. to the wall waypoint. here's the issue with that. yes, they've created this phone that is supposedly using a seven nanometer chip. folks in the know, following the industry as i do and work for these companies, that's been possible for them to do for a while. it's not a shock that they were able to do it. the bigger question is what kind of quantity can they actually manufacture? over the years a lot of tech industries, what we have seen as

a company can create an amazing product can only make a few of them. so the question is, can huawei really produce a large quantity of them? yields on that trip are probably very low, which means the prices are very high and that's not a sustainable business. to me, i don't think the mid 60 thing is necessarily a big deal as a lot of people are now -- making it to be. i think it's a flag-waving exercise. time will tell for sure, but my big concern is on that reproducibility in the long-term large-scale manufacturability of the part that's driving that phone, and i'm not convinced that they've got that figured out yet. shery: president and chief analyst joining us from apple park this day of the unveiling of their products. let's now get to some morning calls with a focus on the bank of america's latest global fund managers survey. it says there is a dramatic

shift in allocation from e.m. to u.s. equities. investors are concerned over china sputtering economy with a net 0% expecting stronger growth from the country in the near future. that's had an impact on e.m. allocation, which fell one net 9% overweight in september, that would be the lowest reading since november last year. haidi: meanwhile, investors see chinese real estate as a top global credit risk despite beijing's ongoing support measures, concerns about china's housing sector doubled to 33%. in september it's according to the latest survey. they believe further support from china over the next six months will be limited to policy fine-tuning. 15% say no meaningful measures at all. shery: take a look at how commodities are trading. we are following wti prices holding steady after rallying to that 10 month high in the new york session.

we got that opec report saying oil markets could be experiencing a shortfall of more than 3 million barrels a day in the fourth quarter, that would be the most constrained market in more than a decade. take a look at that. futures, we saw a little bit of downside pressure, but this after futures edge tire. we have a mixed weather forecast in the u.s., and we are watching european gas prices as well given that there are concerns about strong signal in australia and heavy maintenance in a way that's really affecting the supply outlook. haidi: please develop mints you're watching closely. chevron alluded to get a hearing on a request for a regulation in the lng labor dispute to ramp up at two of its plans. let's go over to our correspondent with the story from melbourne. what we know about the latest developments? >> we had directions hearing

yesterday afternoon. what that basically means is that the fed were commission, which is like an industrial umpire here in australia, is schedule e -- scheduling hearings for the 26th of september. that gives them a time for an interactive bargaining decoration. there are these provisions to be able to use this in a workplace dispute that was only used in june this year. we don't exactly know how things will play out, but we do know that it's now before the fed commission, and you can only apply for these things if you have been in dispute for nine months or more in this does appear qualify for that. negotiations have been going on for some time, and the main union that represents two units, the offshore lines, is basically saying, if they would agree, that's their retractable, but that action is to be going ahead as planned despite the hearing

as it scheduled for the 22nd of september, so it still some time away. haidi: tessa latest on chevron. coming up next, republican launch an impeachment investigation into president biden on allegations of corruption. we get the latest from washington, next. this is bloomberg. ♪

>> i am directing our house committee to open a formal impeachment inquiry into president joe biden. this logical next step will give our committees the full power to gather all the facts and to answers for the american public. it's exactly what we want to know. shery: u.s. house speaker kevin mccarthy announcing and impeachment investigation into president biden and alleging corruption. for more, let's bring in our political news director jodi schneider in washington. what will this inquiry focus on? >> kevin mccarthy -- kevin mccarthy, on the first day the house was back after 47 days of a summer recess, came back to say that they will be looking into joe biden and his dealings with his son hunter biden,

particularly his overseas business dealings and whether president biden and then vice president biden was involved at all, new about these were benefited from his son the hunter's business dealings, which of course had been under investigation, have been under federal investigation already, this special counsel is looking into those. but this would focus specifically on the current president. the speaker, the house speaker said that there was a culture of corruption concerning the bidens , although there has not been anything proven, there has really been no evidence shown to date that president biden either was involved or benefited from these dealings. we've heard from a number of people on both sides of the aisle, republicans, many standing by this and this time to do this, but democrats have taken the opposite tack that are saying that -- senator elizabeth

warren said today, is politics on steroids. haidi: what is the choice that mccarthy faces on impeachment? >> he has a tough choice ahead of him. on the one hand, conservative members of his caucus, his so-called freedom caucus, are saying that he really needs to make this a priority, this impeachment of president biden a priority, and if he doesn't, he is very likely to suffer consequences, including losing his speakership, because he won on such a small majority, as you might recall, in january. on the other hand, if he brings this to a floor vote, he could lose, it's not at all certain it would succeed, and it really would put some moderate republicans and certainly some from districts where there swing state districts, for instance,

18 house republicans are in districts that president biden one in the last election. they would perhaps be vulnerable. every member of congress who wants to be reelected needs to run every two years, so they are all running in january -- in november of 2024, hoping to be there in january of 2025. so, it's a tough choice. there's also the calendar. they need to pass a budget in the next few weeks, and if they don't, there's a possible government shutdown. so there's a lot to get done and this could clog up that calendar further. shery: what are the implications for the presidential election in 2024, because we have seen a lot of the challenges for president trump actually rally his base, what does this mean for president biden? >> that's a good question, the assumption is, this doesn't help president biden bringing up some

of the problems his son has have -- has had doesn't necessarily help him. it's unclear how much it could hurt him, but it would certainly take away, again, it's interesting both president biden or president trump, who was impeached earlier, they are running against each other again , so it remains to be seen how much this could affect him. it's unlikely to help him in terms of fundraising the way that the legal proceedings against president trump have helped him so far, certainly in fundraising with his base. the seeking of this -- thinking of this doesn't help president biden. how much it could hurt him is the real question. haidi: our political news director jodi schneider in washington. we stay with you as politics and vladimir putin has called the legal cases facing donald trump political persecution. putin told the east asian economic forum that it benefits

russia by revealing the true face of its adversaries. putin says the cases piling against trump shows what he calls, the complete rod of the american political system. coming up tomorrow on bloomberg television, we will hear exclusively from the former trauma surgeon turned taiwanese presidential candidate. that's from 8:00 a.m. thursday sydney time, 6:00 a.m. if you are watching out of hong kong. we do have breaking news just crossing the bloomberg, which could have implications when it comes to that inflation picture when it comes to new zealand. the kiwi food prices rising just half a percent month on month period of course we know the rv and z, which has been at the forefront of its cycle announcing the transmission elements of that cycle. we have seen potential science and will see more of a deeper seated recession and we are just

three weeks out -- two weeks out now from that election in new zealand. much more to come here on daybreak. this is bloomberg. ♪ is it possible to fall in love with your home... ...before you even step inside? ♪ discover the magnolia home james hardie collection. available now in siding colors, styles and textures. curated by joanna gaines.

>> if they were to live up to the investor protection built into their current laws, it

would help investors. but right now, unfortunately, their significant noncompliance and it's a feel which is rife with fraud. and misconduct. shery: u.s. securities and exchange commission are on the risks and the crypto industry. regulatory uncertainty said to be a key talking point as asia's biggest crypto conference gets underway. token 2049 starts this morning in singapore at our markets reporter is there for us. really, the sec sticking to its guns on crypto. annabelle: that's right. it's really interesting the timing for this conference coming off the back of those comments to the senate banking committee. these were prepared comments, there was a scheduled hearing coming through. it's does appear the sec in the u.s. regulators not looking to change its status on the crypto sector at all. regulatory uncertainty is going to be a really hot topic at today's event.

as you said, it is the biggest event on the crypto calendar for asia, bringing together a lot of different business people, a lot of different firms, investors in this space to singapore. a lot of big interviews coming up this morning, and we will hear from the ripple ceo, he is someone that's actually been locked in with the sec over when the crypto constitutes a security, specifically in relation to the token. this is the x rp token. u.s. quarter has cited ripped ripple. they have indicated it is intending to appeal that decision. so a lot to discuss with ripple, including its expansion plans. it's looking to expand its presence out of singapore. plus, other expansion plan specifically in the u.k.. haidi: there is continuing to be a lot more uncertainty facing the broader sector. annabelle: that's right. i think it's one of the factors that has really played into why

crypto prices have been under so much pressure of the course of this year, but there's other reasons, macro factors, bitcoin has proved to be not a reliable inflation hedge. there's a lot of progress or lack of product -- progress with institutional investors on the sideline. liquidity has been seen the prices have been kept in a really tight great. it does indicate that perhaps those crypto of 2022, the likes of ftx and capital, celsius, there hasn't really been enough so far to repair the trust with traders in the community, plus, there's a lack of banking rails and we have a replacement for crypto friendly banks there were also taken out of circulation earlier this year, and enthusiasm for ai, artificial intelligence, at least in the vc community, that's taking a lot of redirect into that capital away from the crypto space. that will be another key talking point in a key interview coming up this morning.

there is the u.s.-based vc fund, one of the biggest in the crypto space. what we understand is it could be changing its business strategy off the back of that, a bit more open to opportunities at mid-stage companies instead. haidi: annabelle droulers for us in singapore. take a look at trading across effects. the big news to watch out for is for that u.s. cpi weather that changes the output for were market expectations are for the fed. did see the u.s. dollar pairing those gains a day after the biggest drop in two months, but still, you have opposing views as to where the dollar goes next. arcadia asset management seeing a 5% gain on inflation. barclays forecasting further moden io the year-end. this is bloomberg. ♪

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