plenty more to come on "daybreak: asia." we are half an hour away from opening day in singapore. there could be a little bit of escher as we are seeing the regional benchmark at the lowest level in a month. you are watching "daybreak: asia." a clear day in the city. japan's economy grew for a second straight quarter. it is standing the longest expansion in more than a decade. boosting gdp by and analyzed 4% in the second quarter. private consumption jump 9/10 of 1%. -- presidentg 2% trump is preparing to turn up the heat on china over what the u.s. perceived as the fact of intellectual property. memorandumo sign a to consider launching an investigation. it would focus on u.s. companies operating in china. democratic lawmakers are .eviewing for an investigation -- once the committee to force the bank to disclose its internal review of more than $300 million in loans that president trump had before he ran for office. the government will issue discussion papers ahead of talks on august 28. talks has ledof them to morning and ou

shery: you are watching "daybreak asia."dt trump the flames in charlottesville, blaine both sides -- blaming both sides for the violence. hadaid that liberals violently attacked of the right-wing side. third the president's attempted to address the controversy over his initial reaction. president trump: that was a horrible day. it very closely, much more closely than you people watched it. you had a group on one side that was there and a group on the other side that was also very violent. and nobody once to say it, but i will say it right now. press conference, president trump attacked business leaders leaving his advisory team, saying, there are plenty more where they came from. he accused them of grandstanding. it followed three other leading ceos after the -- out the door. another urged to quit the business council because of trump's comments over charlotte bill. the president of iran is warning the country's nuclear program could be ramped up if the u.s. continues to trenton sanction. rouhani said the most direct attack

and daybreak is 7:00 a.m. and were still three and half hours away as the storm research continues to come in. we've been talking all night about when you look at this picture it looks like a bad storm but where are these 130-160-mile an hour winds. those places we can't get to and it's unsafe to be. this is 20 miles 30 miles south of this location this is what the police department put on their twitter feed in their facebook feed. i will quote this is likely our last post until services can be restored. we have lost all connectivity outside of public safety radios. you can't call the police there. if you dial 911 you will be rerouted to portland 911 and as long as that remains up, stay safe in shelter and we are not leaving in will be here when it blows over. that was six hours ago and we have not heard anything from them since. that is the police department. were bringing in adam has been tracking the storm and this speaks to exactly what we talk about. the worst part of the storms we don't see as it is happ

welcome to "daybreak asia." u.s.tocks rose and the dollar strengthened as the economy is on firm footing. president trump keep the pressure on north korea, saying the time for talking is over. from bloomberg's global headquarters, i am betty liu in new york. it is just after 7:00 p.m. this wednesday. we look at uber with new, core principles and a possible ipo in 2019. warren buffett has a warning for central bankers, saying it is fraught with risk. ♪ betty: we are getting breaking industrialth korea production for the month of july, coming in better than 1.9%, year on year. estimates, they expected a decline of 2/10 of 1%, but we see a rebound of 1/10 of 1%. the prior month was revised lower, that is what you see a bigger rebound. nonetheless, it speaks to the same conclusion among economists in south korea that the economy continues to grow in the second half, fueled by exports as well as domestic consumption, despite all these headlines we had the last 48 hours on north korea. yvonne: that is right. the economy is

this is "daybreak asia." kathleen: u.s.from its summer recess next week with plenty of work to do. the debt ceiling as the number one focus but a new challenge may arise in the debate of hurricane harvey relief. isning us now to discuss it a pwc partner. it thank you for joining us. thes get started with latest news our bloomberg team thatshington reporting donald trump may be explicitly tying the debt ceiling limit in an agreement -- and an agreement on that with hurricane relief. a very complicated thing because some republicans are saying, if there will be relief it has to be paid for with cuts. it?did they do how do they balance the politics and make sure they are not hurting the people of texas? reform, withve tax corporations and individuals in it. it is very difficult. you would think that something as simple as finding relief for the folks in texas and maybe louisiana would be totally apolitical. but i do not think anything anymore is totally apolitical. they will have to find the funding from someplace. the debt ce

this is the second hour of daybreak asia.n hong kong where it is just after 8:00 a.m.. betty: it's just after it :00 p.m. in new york, i am betty lou. we have been following the earnings season here. just getting the number from crown results. the will likely dominate in trade in the local markets. here in the u.s., we will be focused on the jobs report. yvonne: that will be the key thing to watch. looking for some type of indication of a wage growth and the monthly number that gets , let's lookoned in at how the rest of asia will play out. betty: we did have u.s. stocks largely off the tremor and that is expected to be the case in asia. we had a number of local drivers earnings like toyota on the radar and then we had japan cash earnings as well as retail sales. we have risk playing out the. that is trading near a one-month high, weighing on the nikkei 225, which is opening lower, 4/10 of a percent. check out the cost be gaining. -- the kospi gaining. rising,an won is now snapping a three-day drop here. elsewhere in the regi

moreto calm on daybreak -- to come on "daybreak asia."rg. ♪ yvonne: a quick check on the latest business flash headlines. a hong kong start up says it aims to rival dsl and fedex. company began in 2013 as an apt .o help users move goods they expanded into mainland china, taiwan, south korea, singapore, and india. become a tech unicorn with the valuation of one billion u.s. dollars. free for mac ran fell -- muran fell.c ownership to 51% and commit to spending up to $20 billion by 2031. is the newester challenger as the richest person in the world. the 81-year-old is the founder of the company that is the parent of a fashion chain. this is bloomberg. ♪ so we need tablets installed... with the menu app ready to roll. in 12 weeks. yeah. ♪ ♪ the world of fast food is being changed by faster networks. ♪ ♪ data, applications, customer experience. ♪ ♪ which is why comcast business delivers consistent network performance and speed across all your locations. fast connections everywhere. that's how you outmaneuver. yvonne: it is a: 30 in singapore.

this is bloomberg. ♪ is "daybreak: asia."e geopolitical risks we have seen with north korea. the surprise winner of all which is the chinese yen, could you imagine a year ago this would be a safety haven play for investors? if you look at the bloomberg, you see the yen surging to an 11-month high in the past couple of months or so. $6.65.seeing it hit some people are saying we could see more in the next couple of weeks or so. we are continuing to see that this currency is overbought. eb,do have the likes of s when of the best forecasters of the yen. they are taking profits because they don't see further upside from here. they are saying it has recently turned a little neutral and is seeing a slowdown. we don't need a stronger currency. betty: we have heard some of the analysts coming on our program saying the yen will remain particularly meeting later this fall. question, raises the what does it take to be a safe haven currency? are there certain requirements of it not being the dollar or the yuan right now? let us look ahead

we have more coming up on bloomberg daybreak asia., this is bloomberg. ♪ ♪ yvonne: this is daybreak asia, i am yvonne man in hong kong. betty: i am betty met in new york. that his hoping performance at movies at the parts will outweigh its ball in unit. fall in the miedia >> we hear a lot about its media networks. that represents the biggest size of the pie. this is at 45%. you can see the next biggest slice is steam parks, that is 32%. then the movie studio and is consumer products. thenthere have been huge subscrr losses ever since 2010 or so. for the past three years, espn has lost 9 million subscribers, even when factoring in tv over internet services. recently, when you look past june, even though streaming losses,is hoping the yes p.m. has been losing subscribers in that last month. pessimismays the around espn was how the exaggerated -- highly exaggerated. that is despite falling ratings. espn is down 14%. espn2 is down 38%. disney channel is down 23%. disney tv networks are bracing for a drop in at network -- ad revenue. it is

you are watching "daybreak asia ." says anthony scaramucci's deal to sell his stake remains on track after his white house firing. it still needs to cross national security hurdles. they want to sell to a subsidiary to china's hna group. but it is far from certain, according to those familiar with the panel. to be among chinese companies under scrutiny for using domestic asset to secure loans overseas. sources say the regulators is reviewing guarantees involving insurance, as well as dalian and other companies. it does not mean the companies have done anything wrong. bloomberg has been told wall street regulators have agreed to rewrite the balkan role to loosen the restrictions central to the u.s. response to the financial crisis. our sources say the five will begin working together on revisions that would let the trump administration bypass critics in congress. they missed estimates in the second hour. they will have to cut jobs. they are reeling from a 3.3% drop in the american box office due to a string of disappoin

this is "daybreak asia," coming to you live. i am betty liu in new york. 7:00: it is just after a.m. in hong kong. i am shery ahn. we are seeing geopolitical tensions being great for global markets and volatility retreating as well, but i guess the key question is whether president trump's new actions on china will in fact stoke more trade tensions. betty: we have not seen that affect the markets before, but who knows? the markets are even more jittery these days. it seems like you cannot make sense of what headlines will move what index. you may as well follow buffett. i'm pretty confident you will make money if you follow him. our sources talk more about that story. shery: with the rally here, we are setting up for a bullish trend in asia. betty: that is always good advice, isn't it? always follow buffett. out onseeing korea independence day and usually around this time, we could have further escalation of tensions. so far, as he mentioned, the market seems to be weathering all of that. new zealand is up .5% as well. story for

you're watching "daybreak asia." trump has abolished's advisory council as more high-level figures walk away. his strategy forum held a conference call wednesday to ask who would stay on board. of the dozen executives on the call, 10 voted to quit. among them, blackrock ceo larry think who said he resigned following his conscience after the president's remarks on charlotte bill. -- charlottesville. agreed the fmoc inflation will gradually rise to the 2% target but many fear it will stay below that level for longer than expected. the decision on balance sheet reduction was deferred to a later meeting. the reserve bank of india governor pushing commercial banks to cut borrowing cost to boost investment after a final rate reduction for a while. he and his deputy voiced concern over inflationary pressures and warned that could overwhelm private borrowers. the r.b.i. closed -- cut its rate this month. the u.k. employment rate fell to 4.4%, the lowest since 1975. earnings picked up 2.1% in the second quarter, slightly ahea

♪ betty: this is daybreak asia.changes and clearing has the second quarter profit of $230 million. a 14% increase. bolstered by a surge in training -- trading and the number of listings. wasetty decent result, what the driver of all that? >> we have seen hk benefited from the strong surge in equities globally. one of the best performers in the first half. it has definitely helped on the equities trading side. >> you kind of see that when the stock goes in tandem with what we see with the rest of the market. the exchange really high hopes when it came to the derivatives business. it's all revenue fall from 22% in the first half. ?hat is the response >> they blame the low volatility few months, it was a surprise. it seems to underpin the lighting in green hong kong. that is going to be the big challenge for the exchange. charles williams said he is unlikely that they will win the rpl, which has all of the exchanges salivating. what is the latest on this? been seenng has not as the top favorite to win the ipl. -- the i

betty: that is it for "daybreak: asia."ening in new york city. markets enjoying a positive start. stocks rising on positive payroll numbers in the u.s. north korea on the agenda. the united nations verging with new sanctions. we will head over to manila. -- -- >> i am in sydney. staying in the job despite the money laundering claims. this is "bloomberg markets: asia." ♪

this is bloomberg. ♪ ♪ this is "daybreak asia." a rare drop in revenue last quarter. it is also announced it is dumping a deal with netflix to begin streaming its own entertainment and sports directly to consumers. chairman and ceo bob iger told us it was a strategic shift. my guess is distributor's will look at this more as a threat than anything else. is not intended to be that. are we are doing is we reacting to marketplace conditions and taking advantage of the quality of our brand, the passion of the product we create , and the technology that enables us to reach tumors directly. you look at disney's business, except for the parts, virtually all them reach the consumer through third-party conservators. big-boxverything from retailers to motion picture theaters and i could go on. this is an opportunity for us to reach the consumer directly and that is important step for the company in terms of growth. >> help me understand this correctly. if i sign up for the app as soon as it is available -- early 2018, is that right? bob: yes

plenty more ahead on daybreak australia. breaking lines on a story we have been tracking, the commonwealth bank of australia facing another difference in the culture. they will hold an inquiry to the governor's counter accountability after the fall of from this money laundering allegation. this scandal continues to widen, saying the australian community's trust in the banking community has been integrated. degraded. this comes on the back of other regulatory bodies saying it is investigating the bank for a money-laundering scandal and regulatory agency. these investigations into the breaches of money-laundering and terrorism, combined cash deposits of $25 million. they investigated here. and last week, one of the law firms, lawrence blackburn, launching a class of shareholders, given that have fallen in response to the scandal. toty: certainly not adding the reputation at all for australian banks. what happened here at the commonwealth bank of australia, the public sentiment against the banking sector all that much more mist

that is it from daybreak australia. we will get all of the action in daybreak asia.loomberg. ♪ what should i watch? show me sports. it's so fluffy! look at that fluffy unicorn! he's so fluffy i'm gonna die! your voice is awesome. the x1 voice remote. xfinity. the future of awesome. ♪ betty: the united nations putting sanctions on north korea, confident they can bring the nuclear program to a hau lt. in manila,nsions saying chinese actions in the south china sea have eroded trust. positive payroll numbers expected to lift asian markets. the yen little changed after friday's slump. upnda in braces

you're watching "daybreak asia."o the first word news with haslinda amin. >> at least 13 people killed and more injured when a van hit pedestrians on a famous barcelona street. two suspects have been arrested in what police call a terrorist incident. it echoes similar events in france, germany and the u.k. spain has a history of terrorism. passengers on a plane were killed in madrid. >> our neighbors in madrid, nice, brussels, berlin or london have experienced of the same or the people of barcelona have. i want to convey the affection, solidarity, and affinity of the whole of spain and the world. >> president trump is said to have abandoned plans for a infrastructure counsel with -- which would've advised on his $1 trillion program to fix bridges and roads. he signed an executive order on the panel in july but failed to make any formal appointment. it follows the cancellation of two other advisory councils after leading business figures quit. japan has begun a public debate over casinos as big players to also for pos

this is bloomberg. ♪ yvonne: this is "daybreak is a."m yvonne -- daybreak asia" i am yvonne man in hong kong. betty: i am betty liu. they have struggled to gain traction. adam joining us from minneapolis. you wrote a piece about a month ago about uber struggles in southeast asia and you mentioned that if you measure popularity in monthly active users, uber does not lead in a single country, whereas grab in singapore leads in all of them but one. they launched badly is what it comes down to. they were under the impression that their model would work internationally. it did not. the two big markets in southeast asia are singapore and malaysia, and when uber entered, they made a few key mistakes. number one, they came in more expensive. two, they took credit. more than half of the folks in southeast asia do not have credit cards. number three, they did not focus safety, on marketing and that is a big issue in singapore and malaysia. in indonesia, the biggest market, they completely missed what the market wanted altogether, where because of

that is it for us on "daybreak: asia."is up next. ♪ at one point, your father left your mother. mother found herself with four kids, no money. david: let's talk about ibm. ginni: we are the champions for business. david: do you see ceos are willing to say, mr. president, that is not a good idea? do you feel a certain responsibility? ginni: women still need good role models. -- >> would you fix your tie, please? david: well, people wouldn't recognize me if my tie was fixed, but ok. just leave it ay

it is on the front of daybreak. we picked the right stories.lk more details on that story on the bloomberg. let's turn to you cape politics. -- u.k.ape politics politics. manus: both sides have said they want to avoid the obstacles to tode but written's design leave the trade union makes that tougher. when we got here this morning early we are talking rubbed the story. anna pointed out that -- these papers were produced very much in response to a demand made by the european union. there is something grandiose from the two papers. that is why the european side has intimated the u.k. is living in a fantasy land and terms of the demands they are making. on the market looks at these papers produced, does it matter? >> right now what matters for sterling in the forthcoming debate is the vote on the great repeal bill in september. that is the real test for the government and that is what this market is looking for. it wants to see the market in action. it wants to see what is possible for the market to achieve. >> they don't realize about the market

a new edition of daybreak is available.s have a look at some of the stories that have made it into today's edition. mueller, the probe intensifies. he is using a federal grand jury, a second one, in washington to help collect information. that is according to three people familiar with the investigation. the president has labeled the fabrications.tal the next-door is about saudi arabia. the country's oil minister met privately with some of the world's top hedge funds last month. finally, daybreak focuses on --ael where the police has have confirmed that the prime minister is being investigated. denies all ofyahu wrongdoing and says the probes are a political witch hunt. top hedge fund managers says the most violent phase of china's deleveraging campaign is over. speaking to bloomberg, let us hear from the investment president and bike he had to say onut beijing's new crackdown companies making overseas acquisitions. and how that has been ineffective. >> we think we have entered a more and morethat investors start to pay att

this is bloomberg. ♪ yvonne: this is "daybreak asia.": gary cohn is emerging as the clear front runner. this is according to a survey by the national association for business, economics. it has been quite a popular story on the bloomberg. for more on the impact of that ,hange at the top of the fed louis alexander is with us, executive director of the fed board and counselor to the treasury secretary prior to joining nomura. the tcu today. are you one of these economists who have checked the box? leading think he is a candidate, but we have a long way to go. trump said he would not make the decision until the end of the year. this administration, a lot of things can happen. he is the leading candidate, but it is far from certain. betty: being the leading candidate, and he is in fact the nominee, have you gained what that could mean for the fed in monetary policy? caroline: this at -- lewis: this administration wants growth. so i do not think we should change.ome big on the other hand, he is not a professional economist. we have gotten use

this is bloomberg. ♪ >> this is bloomberg daybreak.ay, kathleen hays interviews james bullard. this is bloomberg. david: china is in the news today for two reasons. it released numbers on changes in its foreign reserves showing a slight increase. a turnaround from where it was earlier in the year when it was drawing down on reserves. china joined with the united states and united nations to impose tough new sanctions on north korea. joining us now is one of the foremost authorities on u.s. china relations. she served as the deputy assistant to u.s. trade representative's. negotiatorbeing the on various agreements with china. she now serves as senior fellow of the paulson institute. she joins us today from washington. welcome to the program. good to have you. the things i mentioned. on the one hand, trade. there are pending issues. they said they will look at a 301 action which is pretty stern for the u.s. government. there's the pending steel issue and north korea. is there a little bit of a quid pro quo going on? >> there's a lot of f

this is bloomberg. ♪ ♪ >> this is bloomberg daybreak.estin. blackrock, t. rowe price, vanguard, three of the recent funds to got there were valuations by as much as 50%. ber gyrations by as much as 15%. 50%.luations by as much as -- 15%. --r says the 69 value it billion dollars violation shows it is it was in a lifetime company. joining us is our detroit bureau chief. as we look to reduce the evaluation, are all the problems that uber is facing affecting the number of people using the service, or just a issue of reputation? >> both, investors by a management story and travis is out. he was seen as the visionary. but theydifficult guy were willing to put up with it because he was there is one must character -- elon musk character . they still do not have a permanent ceo and investors do not know who will run it. that is part of it. have pretty they big losses, negative margins of 35%. a $700 million loss or close to $800 million in lost. that is a big hit. investors expect that but do not see them having a return yet. the business is grow

. ♪ anna: a welcome to "bloomberg daybreak: europe."re is an old saying which is around and around she goes, where she settles, nobody knows. where will be dollar and tonight at 8:00 p.m. in the united states of america? the positioning is so stretched. there is something that has crept into the psyche of the market. rally like this and we are heading for the first monthly gain on the dollar. the question for markets is according to networks. investors are undermining the prospects of federal reserve tightening. anna: we are seeing dollar pools adding to the positioning. not everybody is bullish. there is a survey showing dollar shortening is the most crowding -- credit trade. -- crowded trade. it depends on how tight you think the fed will take policy. we will talk more about that as we go through the program. let's take a look at the risk radar. the equity session a little mixed. trump points senior republican for the mess about the debt ceiling. blames senior republicans for the mess about the debt ceiling. manus: janet yellen is goi

you are watching "bloomberg daybreak: europe -- daybreak." ♪ ♪ jonathan: this is "bloomberg daybreak,sitive, positive signs on the s&p 500. across europe as well, treading border -- water. about four hours, the bond market. the dollar index ahead of that is firmer, up by one quarter of 1%. that is on the back of euro weakness. [opening bell] jonathan: maybe they won't get the news about the papering from mario draghi next week. -- the back of that strongly strong retail sales, u.s. seven on the 10 year, crossing assets into the open. let's get to the cash open with abigail doolittle. abigail: the dow, the s&p 500, the nasdaq, off higher. the s&p 500 and nasdaq closed lower yesterday. the gains,holds onto it will be the fourth update in a row. he says that after last thursday possible decline, monday was the big game and it is about even. hard to tell whether the bears or the bulls are in control. let's take a look at the big movers in health care this morning. looking at the shares of vista myers squibb after a phase three combined drug combo for kidney cancer was disappointing. alexi

welcome to daybreak asia.'m betty liu. it is just after 7:00 p.m.. washington steps up sanctions on north korea despite welcoming the recent restraint. appealing to his core support in arizona. >> bracing for a big one. raised,ber eight being it was not too bad. we were laughing about it. but we are seeing things escalate. we are seeing dark clouds, wind and rain that could strengthen persistently. here is why. this storm heading straight to the city. on thed to make landfall western part of hong kong. there is a chance this could be bigger than a ta. already as you mentioned, reaction to this storm. we hope you stay safe. the stock exchange canceling premarket trade. limited transport services. ordered toe been shut down. the last time the markets were closed due to a storm was october 2016. this is not a regular occurrence by any means and one to watch how the fx trading in hong kong. news onsome breaking bhp. onre has been so much focus their earnings results. some saying they need to do more. we are gettin

asia -- the next hour of daybreak asia.yield curve at 8:30 a.m. in hong kong, 8:30 p.m. in new york. this is bloomberg. ♪ betty: breaking news, the uber meeting minus the ceo. according to the new york times, the board is set to vote on the new ceo. they want to announce the decision first to their employees and then publicly. hass like yvonne, the board voted. it will replace the founder and former ceo. [please stand by] they could be seeing news in the next hour when the markets open. this is bloomberg. ♪ ♪ 8:00 a.m. in hong kong. we are live from bloomberg's asia headquarters. the top stories this monday, headlines from jackson hole. central banks on to verging paths. jay y. lee to appeal his sentence, the corruption verdict with implications beyond samsung. >> welcome to "daybreak asia" from bloomberg's global headquarters. it is just after 8:00 p.m., gasoline surges as harvey s, shutting 10% of capacity. ago, thenews moments bydochs have been out did cbs to buy the 10 network. ♪ of jacksonrecap hole, not a lot of headl

welcome to daybreak asia. we have the view from jackson hole. policymakers in wyoming. investors are watching for central bank policies. we inflation is not a crisis. and for bloomberg's global headquarters, i'm betty liu. profit falls in a record. they want to fly directly to london and new york. and the samsung boss awaiting a corruption verdict. that verdict is going to be closely watched in south korea. markets are waiting with bated breath, on the fed speakers at jackson hole. be payingen will attention to tomorrow here in the u.s.. there were some jitters in the markets. ceilingk about the debt rattling investors. the dow off 30 points. off 1%.aq also s&p down 2/10 of 1%. the declines are there but not as much as you might expect. most investors are on the sidelines awaiting janet yellen and her comment. >> yes. we are pushing pause. talku can say anything to down that rising euro. in asia, prettier than brawl -- wall street. we have rallied for eight of the past 10 sessions. it has been a decent two wee

anna: in addition -- a new edition of daybreak is available. take is look at some of the stores. the cover story is bracing for impact, oil traders face a wild -- iss the markets digest a causing unprecedented flooding. the storm halted a fifth of crude production in the gulf of mexico. as we head to the top of the program, how long there rankings falling. matt: it looks awful and looks set to do can did -- set to continue for three or four days. that tragedy could get even worse. next up, janet yellen in a mario draghi warning against dismantling postcrisis financial rules that president trump has named for stifling u.s. growth. we spoke with this early in the program. in jackson hole, the fed chair urged regulation rolled back be modest while the ecb chief says loosening them now would be dangerous and the reason is accommodative monetary policy already stands and they are concerned that no regulations with such an easy level of monetary policy would encourage more bubbles. anna: maybe in a global financial architecture, it seems to get the h

so obviously, we den know a lot until daybreak.nd we'll see what happens, but there is some concern that many people stayed behind that shouldn't have. >> all right. texas attorney general, ken paxton, our thoughts and prayers are certainly with you and the good people of texas, thank you, such, best of luck. >> thank you, we appreciate those concerns. >> all right. right here into studio, i am joined by the director of the national center for disaster preparedness in columbus, university. thank you so much for being here, sir. we have more than 700,000 people in the direct path of this hurricane. >> right? when you look at a state like texas, you think you learn lesson, but can you ever be fully prepared for a hurricane of this macmy tude? >> it's like a lack a mole. we hit a, then b, when it happens, i think we think for one thing there has been a number of people injured in a nursing home in rockport. why are those people still there? and were they asked to evacuate? were they told to evacuate? the problem is they were left in h

haidi: i'm haidi lun, you are watching daybreak australia.sions triggered demand for safe haven assets. we will go with more on what that means. we have the head of fx strategy. to look at your portfolio and go into a safe haven. he represents -- the subject -- he suggests gold. [indiscernible] .> it is still very binary i think something will happen. haidi: really bad? >> i don't think we can talk --ut vanilla -- the relative they will be going to the supermarket for bottled water. we use the vix as a shorthand proxy for risk sentiment. we have gone from 10 to 15%. the longtime average is 20%, so it is the environment where it is more on that off. so in that sense you cannot argue the market has taken significant positions against the escalation. haidi: how do you calculate that risk? as you say, it is a binary thing. we really should not [indiscernible] ray: you think gold is the obvious sort of short-term. that is the most obvious one rather than deciding on the relative merits. haidi: are you surprised by the lack of reaction? ray: not re

this is "bloomberg daybreak." .rent crisis with north korea, few people are better qualified than admiral mike mullen. he served as the chairman joint chiefs of staff under president obama and before that served as chief of naval operations. he joins us from our washington bureau. welcome back. over the weekend, you were on nbc news and said the level of frederick from both sides -- rhetoric from both sides may be reducing options available. what options are being taken off the table because of rhetoric? that the rhetoric is so far out there that if there is no response to the current level of rhetoric, let's use the phrase "locked and loaded," the president does not have a lot more room to maneuver because he is in that example talking about military options. there is not a lot of room between locked and loaded and having to use them. i worry on both sides there has been so much bombastic rhetoric that it takes maneuver space for our leadership and the leaders in the other countries as well away from them in terms

this is bloomberg. ♪ emma: this is "bloomberg daybreak." emma chandra with your bloomberg business flash. billionaire business investor bill ackman has taken his next step in the fight to shakeup adp. he has nominated three people to the board including himself. he says he will hold a public webcast next week to discuss ways of unlocking value at adp. and south africa, the parliament votes today on the motion of no-confidence in president jacob zuma. ballot will be a secret decision, increasing the chances of his ouster. the main opposition filed a no-confidence motion after he fired finance minister cap and gordon. -- catherine gordon. david: for more on that important south african vote, we our reporter in the johannesburg bureau. ?s he going to win or lose arabile: that's exactly what everyone is wondering coul. 201 votes are needed. equations have been put through and 50 members from the ruling african national congress would need to vote in favor of ousting the president jacob zuma and voting them with the opposition members as well. i

with daybreak, water coming m, raining.ak, water coming in, it took the entire subdivision by surprise. water rescues had to happen throughout the day. your children were obviously of utmost concern, have you heard about when you might be able to return home? 0urfriends you might be able to return home? our friends have been you might be able to return home? 0urfriends have been going around the complex, there is no way we can get into a division. we have no idea when we will be able to get back to the house. we are grateful for both of you joining us, thank you and we wish you the very best for a speedy return to your home. the stories of so many who have been affected by this very bad storm. texas isn't the only place experiencing strong winds and heavy rains. tropical storm pakhar hit hong kong and macau on sunday. both cities issued weather warnings early in the day as winds intensified, churning up rough seas and flood alerts. it comes just days after one of the strongest typhoons on record, hato, caused serious damage

this is bloomberg. ♪ emma: this is "bloomberg daybreak."a chandra and this is the hewlett-packard enterprise green. coming up, interview with howard marks at 8:30 a.m. eastern time. ♪ emma: now to your bloomberg business flash. wall street regulators have begun to rewrite the volcker rule. five agencies are moving to loosen restrictions essential to the government's response to the financial crisis. changes would give big banks more flexible the for handling trades and investments in private equity and hedge funds. the u.s. it has taken an unusual move against the head of state. they have sanctioned venezuelan president nicholas maduro, accusing him and his government of undermining democracy. that came a day after a vote with a step toward rewriting the country's constitution. the wife of a venezuelan opposition leader says he has been taken from his home by authorities and so has the mayor of caracas. alix: think you so much. for more on the story, we are joined by nathan crooks from miami. walk us through what happened the last one for h

this is bloomberg daybreak. alix steel is on assignment. futures are stable. at 11749.s firmer treasuries are pretty stable today. david: now let's get enough weight on what's making headlines. let's turn to emma chandra. spain, the connection between the two terror attacks. five suspects were shot and killed. pointhicle broker a check and began running over pedestrians. that happened hours after 14 people were killed when a van ran them down in barcelona. at least 100 people were injured. three suspects have been arrested and one is still being sought. isis claimed responsibility. a top senate republican said the president has not demonstrated the character to serve job. bob corker told reporters there must be radical change of the white house did he said the president hasn't shown the stability or competence needed to be successful. he is chairman of the foreign relations committee. the white house says gary cohn will stay put as director of economic council. he is upset after remarks on charlottesville. he is not quitting. the president said he is one of th

jonathan: from new york, you're watching bloomberg daybreak. the cash open. futures are that little bit firmer. about .1% and on the s&p 500. after the biggest weekly gain on the s&p since the middle of july last week. decent gains. in europe a little softer on the stocks. volume lighter given that london is on holiday today. that means the ft-se 100 is closed. $132 billion worth of treasuries, bills, notes coming into the market today. yields a little bit high other the 10-year. 217. story in the f.x. market, a bit of dollar weakness eurodollar 119.25.hing high at headlines outside the business world. taylor: houston has never seen a storm like this and it may get worse. continues orm harvey to pound southeastern texas. some areas may get more than four feet of rain before the rain ends this week. record flooding has turned highways into rivers. harvey has crippled houston's energy industry which refines 40% of the nation's gas leefpblet federal emergency officials say they'll be in the region for years to come. and the bodies of all 10 sailor

. >> a lot will be determined and a lot we'll know more in less than an hour when daybreak is there in corpus christi. thank you so much, mya rodriguez, we'll check back with you in a bit. >>> i'm joined by mary jane mud, director of communications for the texas gulf coast region of the american red cross. mary jane, thank you for your time this had morning. i know we spoke with one of your representatives earlier and they said there are many, many shelters and many more that could be used. what do you want to convey toss people who need your help the most right now? >> well, we do absolutely have -- we've had trailers for the last few days coming in with food and cots and blanks to help more than 20,000 people. and our focus right now in the texas gulf coast and surrounding areas is just spacing. we've been saying for days be sure you prepare for this hurricane. be sure that you have an emergency kit that you heed evacuation, that your kids know where to go. it was about safety and please to call us if the they feel they need help. >> talk to in me about researchers in doing that. i k

we don't have really any answers, right now we are waiting for daybreak. we have another two-and-a-half hours for. that so we keep telling people, it's a wait and see kind of thing. that's about all we can do and hope for the best. >> a paper there in the town of victoria, about an hour-and-a-half north of corpus christi. it's these situation, jr, where residents are looking for reporters leak you to get the right information out. thank you for being there i know in the middle of this big storm. j.r. ortega. you bet, thank you so much, j.r.. let's go over to our ms nbc meteorologist steve soza. you can hear the information he was giving us, hey, richard, some parts may be quiet like we see. he is not too far away saying we still have a lot of weather outside. >> j.r., if you look up in the radar is in that orange part there. you see the yellows, the oranges, that's the intense rainfall rate and i checked out some of the gauges there in southeastern texas. already at this early juncture in the game, they're picturing major flooding in these spots. again the

this is bloomberg. ♪ emma: this is bloomberg daybreak. deal in the e-commerce payments. the deal is buying at about $10.4 billion. consolidation has increased in the payment industry. blackstone group agreed to buy another group. the u.s. unit has agreed to pay $98 million to settle claims in ta airbag recall. customers are thought to be paid expenses related to the recall. private equity firms are sitting on almost $1 trillion there waiting to invest. clients will exchange funds. blackrock has been getting increasing numbers and using etf's to park money for private funds. alix: i find it interesting that it harkens to what was said about i do not want to raise money at some point because you are not a good investments in your forced to take on others. david: you make bad decisions and you make investments you would not make otherwise. alix: buying into etf's could say a lot. david: if you are a private equity, he would rather have them sit on it then put it in something -- alix: and not have the kind of returns. let's get to jeff furste

. ♪ manus: it is "bloomberg daybreak: europe."ight here in the city of london. 960 million euros of net income for the second order. 762.stimate was for the underlying profit, 960 the estimate for 573. amro.is upbeat for abn the underlying profit, that's a beat. the commandeer equity comes in at 17.6%, something the market will be particularly interested in because in the first quarter we had that little bit of a drop in terms of court equity tier one. so we want to see if this is a material change for abn amro. we will dig a little deeper into the numbers with the ceo, kees van dijkhuizen. he joins us at 6:30 this morning. let's get to the rub of the market. ups morning, you're waking to fire and fury from the president of the united states, a salvo sent directly across to north korea. there is something that has been progressing, 72 is the number. this is the fx volatility in the blue. it is above gold, money is going into gold. these are predominantly dollars is risen by 4.5% in the past month. gold is up 4%. undeniably to do w

this is bloomberg. ♪ ♪ taylor: this is "bloomberg daybreak." today, we will bring you president trump's presidential address on afghanistan and south asia, 9 p.m. eastern . ♪ now to your bloomberg business flash. ackman.aying no to bill they rejected nominees for the board. adp andaken a stake in is calling for changes of the company. jeff in mel will soon have -- immelt will soon have a title once again. he is the front runner to be the new ceo at uber. a direct is at the right hailing company may vote within two weeks. he stepped down as ge's ceo at the beginning of the month. assets under management at the total return bond fund declined 13% from last december. they say the story is an accurate and is not concerned about outflows or the performance. double line says the biggest funds received -- that is your bloomberg business flash. alix: in the energy market, it was all about total, agreeing to -- the oil and gas showing a sign of the accelerating pace of energy deals treated take a look at where these energy companies really have to come

nandini stays with the "daybreak" team.next, we have a conversation with the australian trade minister, who says the strengthening of the aussie dollar is a concern. we will bring you our interview a just in the next couple minutes. this is bloomberg. ♪ ♪ just can't 2:30 in the afternoon, dollar-yen, moving -- 1%.y by 1/8 of one to we have had great numbers from japan, 36 months in a row. an additional couple lines. producer, 37.3 billion euros first half --usted, 930 million euros those are the numbers coming -- uniper.ver guy johnson and matt miller will be introducing the ceo. let's bring you another story on our bloomberg business twitter account. who is the world's most feared investor? it is this man. the evolution of who he has taken on board or if he has challenged. he has challenged the biggest mining companies in the world, warren buffett, a whole host of issues. aen some would say, he had hand in the impeachment of south korea's president. in our guest. the title of this story is the most feared investor. it says

. ♪ it is "bloomberg daybreak: europe."a edwards is out of the office of the next couple of days. one market that is not pausing. on friday, ther dollar. it had a jobs report that delivered. it had everything entered the market could have wanted, but still the dollar there's seem to be in charge. bears seem to be in charge. have a look at this. week moving200 average look like? this is the 200 day moving average. if it breaks this level, you are potentially looking at a more dramatic reversal of fortune. gary cohn startup -- thought to shore up the market. he is going to the hamptons this weekend for charity and said he was confident of a tax overhaul to be a published by the year-end. to that end, we are keeping a close eye on this 200 week moving average. the market is building up at the fastest pace in australia, new zealand, and canadian dollar. let's translate this into your risk radar. we are waiting for inflation data this week. the un has sanctions over pyongyang. the french are coming. may, you better get your game

. ♪ manus: welcome to "bloomberg daybreak: europe."rgyue of renewable and writ energy, one of the most valuable companies on the german exchange. that income, 857 million euros. outlook forhe 2017 the company. they don't see the uk's retail during -- generating positive earnings. it is the valuable -- most valuable utility in germany. will it become independent? these are the top lines concerning the 2017 outlook for this year. they don't see the u.k. side of the business to let -- generating a process on the adjusted basis. net income, 857 million euros. that is the press report as we close off a heavy week of reporting and the european equity markets. let's talk about global markets. this is a game of chicken. potentiallyng at the situation developing into this generation's cuban missile crisis. the president of the united states morning the north koreans that if they follow through with a missile threat, they will face something like they never thought possible. what is it going to markets? have a look at gold. this is the volatilit

this is bloomberg. ♪ ♪ >> this is bloomberg daybreak.bout the u.s. jobs report. this is bloomberg. ♪ jonathan: the average price of avocados on the rise because of surging demand and a smaller crop in mexico and california. you could not tell by whole foods where they have cut the foods by 29% to $1.99. tweeted out the following during my shopping trip, i looked at the price and whole foods and compared it to my $4.49.tore, we were outraged. the owner said he wants a conversation and i invited him on tv. great to have you with us. let's talk about the $4.49, how did we get there? >> all the pricing on our produce and across the store are strictly on a cost plus basis. we know what the cost of goods is an we add gross profit margin required. that is how the number came to be. just like every other retailers across the united states, we have contacted our major suppliers and told them that this is embarrassing us and needs that are pricing. we have been able to secure better pricing on a number of items. jonathan: how responsive are they?

so much plenty more to come on "daybreak asia."berg. ♪ check of thek latest business headlines. china's largest restaurant review company may be looking to build a warchest as it takes on rivals backed by alibaba. raise $5alks to billion in a funding round that may value the company at $25 billion plus. have submitted a merger plan for approval by a 40's. the hong kong list of shares jumped. liky: it is a big day for kai chin. they saw their best month since to growingthanks confidence in the european economy. officials remain upbeat on inflation. convinced that weakness will snap back. are they right? this is bloomberg. ♪ who knew that phones would start doing everything? entertaining us, getting us back on track and finding us dates. phones really have changed. so why hasn't the way we pay for them? introducing xfinity mobile. you only pay for data and can easily switch between pay per gig and unlimited. no one else lets you do that. see how much you can save when you choose by the gig or unlimited. call or go to xfinitymobile.co

the new edition of "daybreak" is available on your mobile.us: interesting picture on the start of "daybreak" this morning. moderately treasonous picture. i'm not sure. is for anybody who has not visited the outside of buckingham palace. this is the beefeater's hat. down ofws the slow nothing more than a temporary dip, though it is well ahead of the bank of england's 2% target, but it is unlikely to shift the monetary policy. the boe will announce its latest inflation figures at 9:00 a.m. this morning, but nicholas gartside has decided, in his wisdom, that it could mean a rate hike. anna: we discussed that, didn't we, manus? as tensions between the north korea and the united states, both sides play a waiting game. expressed he would watch what the u.s. is doing a little more. meanwhile, jim mattis said they could take up any missile from pyongyang. the market is focusing with a risk on attitude, focusing in on the let's wait and see message from kim jong un. manus: we are focusing on william dudley from the new york fed, signaling another rate