haidi: i am haidi stroud-watts.l and the question , it seemsrices go opec will not be moving in the direction president trump demanded last week. we have more on how the ministers managed to sidestep the urgent tweet from the president. say.elicately some would others say it was a snob. they are not -- snub. they are not going to immediately address the price of oil as trump asked last week. you are looking at west texas intermediate, the oil used in the u.s.. it is up to $72, but check out brent oil nearing $80. that is what caused president trump last week to tweet out the opec monopoly must get prices down now. opec decided not to do that. saudi arabia and their allies signaled less urgency was needed and stopped short of promising extra volumes of crude. let's look at what the saudi energy minister said. their plan is to meet demand. the reason they didn't increase more is because customers are receiving all of the barrel they want. that is the message that appeared to come out of the meeting in algiers. the mar

haidi?erforming activist fund, 103% .eturns rationally or irrationally, war,ing markets, the trade how do you sign pocket of value and safety? mean, this is a macro question. value investing, equity markets. it does not really affect the way i look at equities are or individual positions that i look at. usual it is business as for the way that you go about things? >> yes, definitely. business as usual. haidi: what are you looking out of the moment that? >> i'm pretty much focused on the commodities sector. i like things when they are not doing so well, a rational pacifism. i have a looking at the commodity sector since 2015. core prices were the lowest. i am still looking at a lot of good commodities companies, they are listed in singapore and hong kong. they are grossly undervalued. a lot of growth potential. looking at the banking sector, interest is rising. i think it makes sense to look at banking itself and look at how banks can improve operational efficiency because interest rates are

haidi: welcome to daybreak australia. and.am shery sophie: we are counting down to the major market open. haidi: here are the top stories we are covering in the next hour. hut faces china. macau says gambling is back. florence is weakening. river flooding could become catastrophic. reports out of washington say china may reject further trade talks in light of new tariffs from president trump. shery: looking at the friday session, it was a mixed picture. we saw the s&p 500 gaining for a fifth consecutive session but wait down by news of -- weighed the trigger on $200 billion of tariffs on chinese imports. we saw the nasdaq pretty flat at 8010 but did see a weekly advance, not to mention the s&p 500 was led higher by energy stocks. look at oil because we saw a third week in advance when it came to wti which is unchanged in early trading. brentolding at 78 -- holding a $78. hurricane florence now downgraded to a tropical depression, not to mention sophie, looking stormy in asia when it comes to the weather. sophie: we are go

haidi: and i am haidi stroud-watts in sydney.ution threatens supply shocks. the democratic republic of congo accounts for the lions share of reserves. when australia a distant second sophie kamaruddin has been looking at the markets. sophie? sophie: that has seen prices for materials like cobalt and lithium search over the past three years on shortage worries. cobalt prices have more than doubled back to what they were in 2016. they had retreated in 2018, moving to a $65,000 a ton. analysts are predicting -- analysts were actually predicting oversupply. tracking the metal declines this year, that is the line o in chart.n this elon musk said the amount of the cobalt the company would use is headed toward almost nothing. then, uncertainty over how future tech meet revolutionize batteries as carmakers pushed it . electrified vehicles there is still no word as to where supply will go from here. one of our analyst expects prices to be below 45,000 by 2022. but bloomberg's new energy finance is forecasting a supply surge, the white lin

haidi: i'm haidi stroud-watts in sydney. asian markets and our only from open. shery: good evening from bloomberg's headquarters in new york, i'm shery ahn. sophie: i'm sophie kamaruddin in hong kong. welcome to "daybreak asia." shery: our top stories this friday, asia-pacific markets to extend gains after highs on wall street as optimism that trade tensions may ease. the dow writing a seventh game in eight days, finally a long slow from the january rise. the race is on to strip chinese goods into the u.s. before president trump's new tariffs arrive on monday. sophie: let's see how the u.s. markets closed this session. u.s. stocks setting new records. the dow now gaining 1%. the s&p 500 was led higher by financials, tech, and health care. markets shrugging off the latest trade headline. not to mention the nasdaq and tech stocks are on the rebound, gaining 1%, the most in more than three weeks. risk appetite surging, falling to the lowest level since july. let's see how this will translate into asia, here is sophie. sophie: with the softer dollar and rally on wal

troops in south korea, haidi. haidi: yep. and of course coming on back of the announcement from the white house, president trump touching on that earlier, potentially setting up a new leadership summit between kim and trump to talk about things like logistics and venues. president trump says he is a meeting with rod was a scene thursday to discuss his future. let's get to our congress editor who has the latest from washington. joe, what is this all about? looks like this might have been has lots they on the job of the is hanging onto it for now. overall we are looking at really what this means for the mueller investigation. joe: that's right. rod rosenstein is the supervisor of the special counsel robert mueller in his investigation, of the trump campaign and russian interference in the 216 election. now -- 2016 election. we were told he had discussed his resignation with chief of staff john kelly at the end of last week. this all stemmed from reports that he has said in meetings with justice department officials that maybe h

haidi: jessica summers in new york. jess. jessica: thanks, haidi. he trump aid -- t administration wanted to make international institutions irrelevant and is approaching diplomacy with "a nazi disposition." rue hane invited the u.s. for more talks on the 2015 nuclear deal. he said dialogue starts with ending threats. the central bank governor of argentina has quit just three months into the job. luis kaputo resigned after a new deal with the imf would require a new approach to monetary policy. caputo cited personal issues as the reason for his departure. he was immediately replaced by the deputy economy minister, hedo sinlares. the peso fell further on the news. india has bowed to u.s. pressure and will not buy any iranian oil in november. that's when president trump's new sanctions come into effect. oil and petroleum, they have not ordered any crude for november loading and other big refiners said they have no plans to do so, either. file decisions on prsms aren't due until early october so the refiners could still change their minds. and japan sa

haidi? haidi: everything in moderation, ramy. all right.'s take a look at china where the president is promising debt relief for poor nation ness africa as he pushes back against criticism of his signature initiative. he high school pledged new funding for the opening of the china-africa forum in beijing. our correspondent is watching all of this. what has the record been saying? >> the top line as you say is that we've seen president xi mounting a defense of his key belton road initiative in front of leaders from south africa and nigeria and here in beijing at the opening of all of this china africa forum, an annual event. he was pushing back against some of the criticism we've seen recently whether from the i.m.f. or the u.s. secretary of state or from the prime minister of malaysia of course warned about the initiative potentially being a new version of colonialism and putting on hold this $20 billion rail project in malaysia. so there's been criticism this project around what many see as the risk of indebtedness of some of the countries

haidi.esses is -- from banks to chicken farmers say they are getting squeezed with rising costs. tradingarkets have been . decadeclose to these highs. you reckon it is time for a reality check. experiencinges are a lot of costs in australia. we are on course at the moment for a change in government what has historically been bad. the labour party has historically been bad for australian stocks. it really is a give or take. australian analysts have been pretty optimistic. maybe it is time to take a little bit of a step back. haidi: you say that the political situation -- we are kind of used to the revolving door kind of leadership situation. it does not typically have a huge impact on market sentiment, but the policy paralysis is -- matt: it definitely is. before the change in leadership last month, the company tax cuts large-scale corporations did not go through parliament. there is still no clarity over energy policy. it will go to an election which is due in eight months. they do not have

haidi: and i'm haidi stroud-watts in sydney. well when it came to financial sector in australia. is giving interim report describing an industry with bad behavior. it also criticized -- it did not end well in terms of the reputation, but in terms of the banking stocks, they rallied. what does that tell you about how investors -- ? >> i guess they thought the report would be more damaging. it looks as though the commissioner has also put some blame on the regulators for failing to do their job. maybe the market was expecting much more harsh criticism. haidi: from your point of view is the industry inefficiently regulated? andrew: i don't think so. if anything we have several different watchdogs. it is hard to determine which one should be following which particular branch. here, well, we can see there are a lot of cases that have come to light, some of which the market probably haven't taken seriously. haidi: allegations in findings include things like charging fees to deceased clients, or charging fees and not providing services

haidi: and i am haidi stroud-watts in sydney.g can the gains go on? is the principal global investor australia ceo grant forster. thank you for being with us. it is pretty extraordinary, does it feel like an equity market that was to push higher? scott: that is the key point, there have been outstanding equity returns, not just this year, but really since global .inancial crisis, almost unmatched we have had really good times, and we think those good times are not sustainable. over the next couple of years, we will see some change. rather than get two tied up -- rather than get to a bank tied up in the trade talks, which are important, it is time for investors to sit back and look at their portfolios. it has been pretty easy. haidi: not being easy, but certainly cheap, when you take a look at the em space at the moment. we had an interview with someone who is well attuned with emerging markets and he said that right now, everything is so cheap right now. how optimistic would you become a particularly when you take into account of

haidi: 9:00 a.m. in hong kong. i am haidi stroud-watts. this is "bloomberg markets: asia." ♪ haidi: investors countdown to the new tariffs, also said to be threatening action against japan. asia-pacific markets had for a seventh straight decline in the biggest weekly drop since march. slumped-market stocks as fear of contagion spreads throughout the developing world. i am tom mackenzie in beijing. how will china respond to a new blow from washington? we examine the possibilities as the trade standoff heats up. this is "bloomberg markets: asia." haidi: for all the reasons mentioned, that collapse continuing. asian markets in a bad mood. take a look at how we are tracking market starting to joining trading. semiconductors, worries demand is falling in that sector. that is playing out and korean stocks and taipei, singapore .5% lower. a little upside from malaysian stocks. it is the countdown to escalation. new tariffsg for from the u.s. at a maximum 25% on $200 billion worth of imported goods. dhe public consultation perio expires at midnigh

haidi: i'm haidi stroud-watts in sydney.e going to rebound. japan is showing strong underlining earnings. the situation described as a close spring. joining us is the head of equity research for asia at union bank. great to have you with us. followingd the news in the footsteps of the msci and adding china you want them unedited shares -- denominated shares to its global index. i want to look at the weakness we have seen in the composite, one gauge of how far we have seen really the chinese markets fall. if you look at valuations compared to the snp -- ask and &p, do you think the confidence will be the injection and sentiment investors need? think this isl, i well expected and trumped by the news yesterday the msci is thinking of going to 20% from almost five, in terms of rating by next year. in terms look at this of international realization of china's domestic markets, fixed income included. it is definitely a positive. is it the catalyst? hard to say. haidi: what is the catalyst? we have been talking about how bassett an

haidi: i'm haidi stroud-watts in sydney. one hour away from the open. >> good evening from bloomberg global-- bloomberg's headquarters. >> welcome to "daybreak: asia." ♪ haidi: our top stories, the canadian dollar hits a four-month high with the new freeway. the deadline is midnight in washington. issue antitutions emergency call entree. the wto, imf, and world right -- world bank. early indicators show china is being heard by u.s. tariffs. the survey is at its lowest since may of last year. let's see how things are shaping up for the market open a nation up for that, we turn to sophie. after asian stocks capped three straight quarters of losses, we are looking into the final stretch of 2018. we have china closed this monday. not in the way of reaction to the latest pmi numbers. we have it trading in australia. it will be in focus in sydney after the interesting report was less impactful than anticipated. japan's futures are not in higher ahead of a third quarter survey. it is considered a lagging indicator. that may be as,

this is bloomberg. ♪ haidi: i am haidi in sydney. shery: you are watching "daybreak: australia."anadian press news agency says the u.s. has backed away from some of its by american demand as nafta talks continue. sources told bloomberg that a new deal with canada was unlikely this week or for more, we're joined by libby cantrill, pimco head of public policy. when itlks, especially comes to a trilateral deal, they don't seem to be project -- progressing. what is the likely hood -- likelihood that democrats take over the house and we are stuck with the status quo? libby: my personal view that there is a high likelihood. the reason is because september 30, it it effect a deadline in order to get something signed by december 1. september 30 is right around the corner. some of the issues that remain outstanding, especially with canada are really fundamental issues. resolution,bsidies, they are the same issues that have slowed down progress in the tpp talks. this idea that we can get some sort of resolution in the next few days, it's possible, i would the waters -- the washington cynic

haidi: a very good morning. i am haidi stroud-watts in sydney.evening bloomberg's global headquarters in new york. i am shery on. sophie: i am sophie kamaruddin in hong kong. welcome to "daybreak asia." haidi: our top stories this wednesday, china fires back in the trade war. beijing targets $60 billion of u.s. goods and says washington is showing no goodwill. global equity markets rise amid all the noise. traders seem to have priced in the latest trade tariffs.

haidi?the competition to manage the wealth of arab ai's growing ranks of millionaires has pushed the pay hikes for wealth in a decade.er is this like "the crazy rich asians" for the market? [laughter] >> it's basically supply and demand. we have some pretty a-opening stats in our stories about what is driving this. there's an estimate that there's about 10,000 private bankers, wealth managers in hong kong and singapore. if you compare that with estimates that about 2,000 new millionaires were created in asia every day last year, you can see there's clearly a shortfall right now between the rhythm managers and the number of very wealthy people that the banks wants to serve. >> getting the pull or fwegget the push? >> pull and push all ooshed asia. china, we senate -- estimate there's about 1.2 million millionaires. so it's a big, attractive part of the world in the whole region. in singapore and everywhere they're looking for mandarin speakers. that seems to be at the tot top of your list wit

haidi: i am haidi stroud-watts in sydney. trump may have tweeted that he feels no pressure to strike a trade to the china but our next guest believes he is underestimating beijing's result. stephen roach is a former chairman of morgan stanley asia and now a senior fellow at yield. -- at yale. in terms of the media narrative or the trump camp narrative, this trade war is hurting beijing more than the u.s. trump taking a stab at the declines in u.s. stocks -- chinese stocks and other asset classes, is that a true distinction? stephen: i wrote a book a few the two-wayout relationship between the united states and china. and, called codependency china depends on u.s. consumers to provide external support to its export led the economy, but on the other hand, american consumers depend on $500 billion of low-cost chinese goods to make ends meet. savings short the u.s. economy need surplus savings from china to help fund its budget deficits, which are going from bad to worse. the idea that america got the upper hand because the chine

haidi: i am haidi stroud-watts.business flash headlines, tencent and hillhouse looking to help chinese investors diversify away from the mainland. they plan to start taking money soon from retail chinese investors who have existing assets internationally. it will be a fixed income fund opened to individual investors. shery: fiat chrysler is evaluating potential buyers for their really parts unit. -- morelli parts unit. they offered $7 billion that ended the, but exclusivity of the talks. a final decision has yet to be made. the cio may perform -- prefer to spin it off on the if stock exchange. -- of the stock exchange. haidi: the people's insurance company added to -- hedge funds called to a management and q1 capital are planning to buy in. million u.s.$377 in the hong kong offering, several times as prescribed. jack ma is a cornerstone investor. let's take a look at some of the stocks we are watching. what is on your radar? sophie: with japan off-line for markets, checking in on what is going on in seoul. we are lo

haidi: a very good morning. i am haidi stroud-watts in sydney. just an hour over from the open. shery: good evening from new york. i am shery ahn. sophie: i am sophie kamaruddin in hong kong. welcome to "daybreak asia." haidi: our top stories this wednesday, asia-pacific stocks look set for a muted stock. hong kong and philippine markets are the world's worst over the last five days. oil jump in the most since june as hurricane florence hits gasoline markets. it could be one of the biggest storms in history. trading up -- canada seeks to bolster. president trump threatened to quit altogether. shery: breaking news on the bloomberg. south korea's unemployment rate rising to 4.2% in august, the highest level since january 2010. we are expecting it to come in at three point 8%, the level for july, but unexpectedly rising more than expected to 4.2%. the highest level since january of 2010. manufacturing jobs have taken a not torecent months, mention that youth unemployment has hovered around 9% in the last few. also, we are seeing the rise in unemployment wages reducing the odds of t

haidi: a very good morning. i am haidi stroud-watts in sydney. from: good evening bloomberg's global headquarters in new york. i am shery on. sophie: i am sophie kamaruddin in hong kong. welcome to "daybreak asia." haidi: our top stories this wednesday, china fires back in the trade war. beijing targets $60 billion of u.s. goods and says washington is showing no goodwill. global equity markets rise amid all the noise. traders seem to have priced in the latest trade tariffs. tesla slums on a criminal investigation into last month's funding secured tweet by elon musk. shery: a quick check. stocks gaining ground. the s&p 500 gaining the most in three weeks. they shrugged off the latest trade tensions between china and the u.s.. we sawtek leading the gains -- saw tech leading the gains. netflix won 23 emmys, showing streamingof this service these days. here is sophie. bit of we love a little netflix, and when it comes to the session in asia, risk appetite, that may be impact, although there could be a hint of caution. looking mixed while u.s. contrac

haidi: i'm haidi starbuckhaidi: in sydney.he federal reserve starting to disrupt pricing and business investment in the u.s., even as it marches to one rate hike. other central bank meetings ahead this week. let's start with the fed. this may be the clearest indication that there is problem is going into the impasse of the trade war. >> that is true. anytime a federal reserve official is asked, including jay , we hear complaints from the district, but it is not feeding into the data. the next meeting is september 26, each of the district compiles information from businesses, academics, and more into this book. we see tariffs starting to bite. they said tariffs are " interbreeding to rising input costs, mainly in manufacturing, also a number of businesses sought scaling back." the federal reserve district runs along the southeast coast of the united states, a lot of manufacturing. let's look at what the philly fed has to say, specifically in their chapter of this report. nearly two thirds of the firm's that offer general commen

this is bloomberg. ♪ haidi: i'm haidi stroud-watts in sydney.r markets are an hour away from the open. shery: from bloomberg's global headquarters in new york i'm shery ahn. >> in hong kong, welcome to "daybreak asia." haidi: our top stories this wednesday, president trump sparks derision and denunciation as he addresses the uts, iran says he's committing economic terrorism. asia pacific features point to a mixed session ahead. japan is on track to extend the rally that's taken the topics to near an eight-month

this is bloomberg. ♪ is bloomberg. ♪ haidi: i am haidi stroud-watts in sydney.ry: i am sure it -- i am shery on in new york. you are watching "bloomberg daybreak: australia." the tariff war starting to hit investment in an otherwise growing economy. will this affect rate hikes? kathleen hays is here with a look to the latest beige book survey. what i found interesting is that you are seeing the impact of the trade disruptions, but it is not being felt in selling prices as of yet. kathleen: but this is early days. the fed is sure i am thinking, we have been waiting for this to show up. first it did not, now it is starting to show up among businesses. how long before it is passed on to the consumer? the fed beige book is a survey it does before every meeting, before every meeting of the m -- of the fomc, each bank takes a report, a summary. book saide, the beige tariffs are "contributing to rising input costs." in other words, mainly in manufacturing. also, that a number of districts saw their businesses scaling back, postponing capital investment. take a look at

haidi: i'm haidi stroud-watts in sydney.n to raise mortgage will likely delay any further tightening from the rba when it meets on tuesday. rates have been at a record low for two years now. we will discuss all of that. with the decision to raise rates on mortgages, the rest of the bank lenders are expected to follow weekly. >> they might -- although quickly. >> they might take a while. funding costs are up for australia's banks, and what might be more exposed to others, if we want to take a look, we have a chart to show on the basis swaps. basis swaps are the main cost for australian banks when they borrow abroad and bring the money back into australia, and as you can see, they have surged recently. the australian dollar has dropped. that feeds directly into the bank's costs. westpac, one of the more exposed, but they are all pretty exposed to overseas funding costs, they have responded by posting rates up. we have another chart you on funding costs. this is the funding cost inside australia. it has remained very elevated,

haidi: taking a look at asia credit.ots more coming up including the major market open here in asia. ♪ >> 7:00 in hong kong. welcome to daybreak asia. having a look at the top stories on friday. markets are set for a seventh straight decline. chip demand maybe dropping. emerging market stocks slumping to the edge of bad territories as fear of contagion spreads. i'm kathleen hays in new york where it is just past 7:00 p.m. on thursday. investors over the latest act in the trade drama. president trump expected to slap massive tariffs on china and jack

haidi. certainly, this is not good news when it comes to this fragile recovery we have seen when it comes to chinese equities awaiting that open. let's get you the first word news with jessica summers in new york. supreme court nominee brett kavanaugh and the women who accused him of sexual assault when they were teenagers will testify next week before a senate panel. the hearing will be on monday after the judiciary committee to hear pressure evidence. it will delay plans for the senate to vote on kavanaugh's nomination on thursday. of the imf is warning that a new deal brexit would have cleared economic cons -- clear economic consequences. christine lagarde says she remains an optimist that recognizes it is possible that without a new trading relationship in the single market. she added that whatever the deal is, it will not be as good. deal, all likely scenario of any deal, will most likely lead to a weaker economy. than the economy as it is now. jessica: southern china clearing up after

this is bloomberg. ♪ haidi: i am haidi stroud-watts in sydney. am ramy inocencio in new york, and you are watching "daybreak australia." u.s. automakers sold more than 16 million cars and trucks over on its, but most of them actually missed their estimates. this appointment comes as industry braces for new tariffs on china amid rising trade concerns. greg coversoe -- this. this is not a new story. basically, why was this month particularly bad? this was really rough in part because of how steep the declines are. it's a simple answer. we do have with gm a situation where they no longer report on a monthly basis and we have the results for this month on a people familiar basis. the chevy malibu was down in a big, big way, more than 60%, which is quite unusual for a model that sells in those sorts of volumes. the board fusion had a rough august. ford is following in fiat footsteps. it was widespread, deeper than we expecteds. michelle krebs at auto trader said that the passenger car share of the total market may which ised below 30%, a level we have

haidi: welcome to "daybreak: asia." our top stories -- asian-pacific markets gain as the fed repeats the dollar is strong, the u.s. dollar jumping to a two-week high. elon musk accused of misleading investors. fabricated --e president trump stands by his men as brett kavanaugh says his reputation is ruined. d isser christine blasey for certain he assaulted her in high school. off thets shrugged latest rate hike, focusing on a strong u.s. economy. st to gain s&p 500 bur 3/10th of 1%. the nasdaq led gains. we had amazon and apple gaining more than 2%. the dollar at the highest level in two weeks, while treasury yields rebound. let's see how this will translate in asia. sophie: we are setting up for games in asia after the recent rally stalled for the nikkei. we could see a bounce back this friday. toectations are for a cut superlong purchases. we are keeping an eye on test related stocks - -tesla related stocks. panasonic the only supplier to the tesla model 3. in australia, we are keeping a night on thinking -- on ey eon

haidi: i am haidi strode what's. -- heidi stroud wants.g back some of what growing with the market equities and currencies. how much worse could it get? we have someone from an asset management company. we pointed out the idiosyncratic elements of each of these ,tories, turkey, south africa argentina, but is it the point in terms of sentiment we will see acceleration of the contagion effect? exactly. exactly. contagion is a normal reaction. it started in turkey, argentina and parts of south africa. we know exposure is quite broad and diverse unlike the dm markets, but having said all of that, this is a dollar strength issue that began at the beginning of the year or like last year. it got issues and different balances, and when the sentiment ways so negatively as it has on the moment at contagion spreads, which will get worse, people start getting back and looking at reasonable economies, current account imbalances. the u.s. dollar strength is not helping. the valuations are very compelling, but they will become more compelling as it sprea

haidi: thanks for that.g up, more of our conversation talking about prospects for tencent and alibaba. whether china's tech stars are starting to lose their shine. this is bloomberg. ♪ david: you're watching bloomberg markets. not all tech stars are created equal. although apple and amazon achieve loftier valuations, chinese darlings are getting dumped. by with astanding deeper look at the story. sophie: as you can see the mood is starting to turn against chinese tech stocks. as you can see here, u.s. stocks have gotten their mojo back, while chinese tech shares in white have not seen the same kind of rebound. that has not been the case for tencent and alibaba. apparent about two months ago. some reckon because this is about waning confidence by chinese consumers. some say this divergence is structural and is here to stay. consider valuations of tencent and alibaba, trading within historical price to earnings range. the other picture is much uglier. are going to discuss the outlook for these players. more th

haidi: the devil is in the details.rmally and the -- end the karen war -- end the korean war. peter: they have engaged in multiple, social, family reunion types of events. they are trying to open a liaison office in north korea, perhaps reopen joint industrial complex. there is a lot of activity, but nothing will happen concrete until there is an agreement between the u.s. and north korea, particularly over the sanctions. unless many of the sanctions are lifted, south korea cannot do much. declaring a peace treaty would be meaningless. haidi: thank you so much. the eastern economic forum begins on monday. president putin expected to meet with prime minister shinzo abe and premiership thinking. -- premier xi jinping. what are we expecting from these meetings? putin will be meeting with a host of leaders from the region. andt, prime minister abe next day the chinese president and then some officials from south korea. there will be a host of meetings and discussions. the first with prime minister abe on how to have some jo

haidi: very good morning. i am haidi stroud-watts in sydney. ramy: and from new york, i am ramy inocencio. welcome to daybreak asia. haidi: our top stories, china discards talks. trump promising more punishment if beijing response. ramy: the australian and kiwi dollars fell. haidi: a new survey says my chinese companies are hurting. they see growing panic. not really an optimistic set up with trading across asia monday morning despite new highs with the dow on wall street. take a look at what we see. there is a lack of direction, a slew of markets closed, japan, south korea. chinese markets and taiwan are closed on account of the mid autumn holiday. we are seeing sri lanka not trading for a public holiday as well. , newng at australia zealand, earlier declines when it comes to kiwi trading. the a2 milk company seeing declines down 6%. we are also seeing a broad-based selloff with the kiwi dollar and aussie dollar as risk aversion returns in the trade narrative. cindy futures down -- sydney futures down .3% despite finishing strong friday. >> op

haidi: thank you for that.ots more for investors to digest in what has already been a busy morning. let's get more on what asia will be watching. was sort of something for everyone in that fed statement. they plan to keep plowing ahead, but inflation is seen as mild. reporter: that's right, but i think the underlying commentary from the fed is that what is driving the u.s. economy and fundamental factors that continue to make them normalize policy, that is still intact. we had a little bit of a move towards more people thinking we get a hike in december. you can have a look at that. it is in the library on the terminal. we updated that dot plot chart. now the markets have moved into that already.we already had a big selloff the last couple weeks. it's interesting the bonds rallied a little bit on the statement today, but of course, maybe that is more to do with the inflation. enforces thely, it short treasuries trade and how people want to be playing some of the emerging asian markets that have been under a lot

haidi: our china correspondent there in beijing.g up next, we ask you what is on the menu now after hit -- the historic summit. this is bloomberg. ♪ shery: this is "daybreak: asia." kim jong-un and president moon wrapped up the historic summit with another step towards denuclearizing. isning us now from soul isfessor -- joining us now the investor. william manage expectations going into the from it? have even impress by the deliverables coming out of the meeting? >> some of the outcomes were impressive. the more not so impressive. i think there have been .greements on the improvements on the denuclearization side, some might think that the outcome is not as good as they expected. progress is better than no progress. north korea -- haidi: north korea has come out in a strong position. they have not really had to give anything up. has anything really changed since the singapore summit? they are not given to much yet. you can have assumptions. he might be thinking about a negotiation with the u.s. they want to do that when they meet th

haidi: thank you. now to first word news. warning the head of imf that a new deal brexit would have consequences for the u.k. economy. christine lagarde says she remains an optimist, but recognizes that britain could crash out of the market in march and start in the single market. she says, whatever the deal is it will not be as good. >> any deal, any deal, all likely scenarios of any deal all most likely lead to weaker economy than the economy as it is now. jessica: southern china clearing up after the path of a typhoon that killed at least two people as it moved into southern provinces. this after a bottled the philippines and macau. it has been weakening over land, but still forecast to bring heavy rain throughout tuesday. and sudan people were killed -- 69 people were killed in the philippines and 40 still missing. on the eastern seaboard, rain from hurricane florence forcing hydroelectric dam operators to run generators at full speed and also open floodgates that have not been used in more than 20 years. the tennessee va

>> good morning, haidi.scussed those islands which are not far from where i'm standing right now. it's a quick flight from tokyo, this side of russia. when abe landed they toured an engine factory. they have a joint relationship between russian and japmeeze automakers here. and then of course they discussed those islands as you mentioned. the northern territorys they're known in japan. these is a sticking point. they are russian controlled but the japanese say they were illegal -- illegally occupied following world war ii. they have been talking for years about a peace treaty. putin acknowledged this tension between the two countries. >> obviously, we touched on the peace treaty issue during the talks. it's well known this issue has been discussed for decades and it would be naive to assume it can be resolved in an hour but we are ready to seek to a solution satisfactory for both russia and japan and accepted by -- accepted by both nations. >> it's important to know, abe is pushing for joint commeck ties on

haidi: thank you so much. back to singapore to wheretional gallery, haslinda is standing by with one of the most important banking leaders. aboutda: we are talking peace good to -- peers group to - >> the nature of banking service to functions. savings.ve some oft basic function converting money in that form, that will not change. past, they have banks that are related by some regime and you could have different players. frankly, you might not even have players because today, in regime comeorking even have individuals play both sides of the equation, consumers and producers. haslinda: what are you saying? individuals land and individuals borrow. you can eliminate -- individuals lend and individuals borrow. you can eliminate the middleman. all of these things are possible. but i don't think you will see the disappearance of banks in its current form. some banks will lose and some banks will win. in the short-term, you will still see establishment institutions to perform these kinds of functions. what will happe

haidi: thank you, andrea.an check out the charts she brought up in our gtb library on the bloomberg terminal. takingpresident trump stage at the u.n. general assembly as the world awaits critical u.s. decisions on iran and north korea. joining us is bill, who heads the national security coverage in washington. it is great to have you here. the u.n. general is simply happens every year. how important is it for the u.n. standing at a time when the u.s. pulled out of the human rights council? will we see no shows when it comes to heads of state? it is part of the multilateral system that is under strain. we talk about the u.s. withdrawal from the paris climate treaty, questions about nato's future. it is one of these systems created in the post-world war ii era, but it is the kind of thing you have to replicate if it didn't exist. it is the one chance you get every year for nearly 200 world leaders to interact. but give a lot of speeches, on the sidelines, you often see deals being made on issues like the syrian

haidi: joining us now from washington is bloomberg. out a messageing is very characteristic of president trump. he likes to enter negotiations strength. i think he was worried because these talks are coming at the states.on of the united they didn't want to be perceived to be entering these talks from >> he's facing cross pressures on these tariffs. his blue collar base and the industrial midwest tough trade talk. tough stance on china. there's very, important republican constituencies farm belt states that worry about chinese retaliation. haidi: mike thank you so much. bloomberg white house deputy team leader. joined by our guest host, president and ceo rhodes. welcome to the program and thank you for bringing me your book. it.very excited to read we're talking about china u.s. trade relations intentions right now. concernedple are whether or not this can be the start of new cold war that from these trade dynamics. >> i think it will all depend on how far president trump wants to take this. i think the chinese really want sort ofto so

haidi: i am haidi stroud. silicon valley is in the spotlight. >> i am at the forum in singapore.turkey and asia, and how women are making their mark. this is bloomberg. ♪ haidi: it continues to be the story of the emerging-market selloff. equities, we get the msci emerging markets teetering on the edge of their territory. on the other hand, we are getting closer to the tariffs on $200 billion of chinese goods. we can't discount the reports of more chaos in the white house. rishaad: indeed, that continues at the moment with this op-ed in "the

haidi: welcome to "daybreak: asia."ur top stories -- asian-pacific markets gain as the fed repeats the dollar is strong, the u.s. dollar jumping to a two-week high. elon musk accused of misleading investors. the sec says he

. ♪ >> welcome to daybreak yesterday, i am haidi stroud-watts in sydney. >> i am shery ahn in new yorke kamaruddin in hong kong. we are counting down to asia's market open. ♪ haidi biz these other top stories are covering in the next hour, tech, health care and financials lifting u.s. benchmarks to new heights, with optimism that trade tensions mak may is.

. ♪ haidi: silicon valley in the themight, congress grilled on foreign interference.t of [indiscernible] to multiyear highs. haidi: president trump that he completed a trade deal with south korea, but canada is still talking and china is bracing for more. >> it seems there is a place to hunker down. a look at the apocalypse in new zealand. ha

haidi: welcome to daybreak australia.sophie: we are counting down to the major market open. haidi: here are the top stories we are covering in the next hour. hut faces china. macau says gambling is back. florence is weakening. river flooding could become catastrophic.

haidi: 9:00 a.m. in hong kong. i am haidi stroud-watts.g markets: asia." ♪ haidi: investors countdown to the new tariffs, also said to be threatening action against japan. asia-pacific markets had for a seventh straight decline in the biggest weekly drop since march. slumped-market stocks as fear of contagion spreads throughout the developing world.

. ♪ haidi: welcome to daybreak australia. are -- shery: we are counting down to the major market opens. haidi: here are the top stories we are covering in the next hour. china cancels trade talks with new tariffs hours away. president trump is promising more punishment. a knockout blow and wins the race for sky. we take a look at reasons behind the s&p decis

haidi: this is bloomberg markets: asia.a-pacific as we start off this new month. the dollar holding onto gains but sterling falling. haidi: emerging markets fishing work pressure off inflation data from turkey and a new plan for argentina. da

haidi: emerging market currencies on the slide.e rupiah close to an all-time low. rishaad:

haidi: here other top stories recovering in the next hour. trading up, in the face of u.s.hat protectionism, president trump threatens to quit altogether. >>