haidi: jay y. lee has arrived in court today.is hard to keep track with the scandals, but where are we at at this point? and what been indicted likely face trial on those three charges i mentioned. hasn, keep in mind that he been running the day-to-day operations, but now he has attendance running operations, thrown thes has phon plans for secession into disarray, so that is more concerned than the day-to-day operations. the biggest concern is the successful launch of the s8. i wanted to mention this stock price and show you in a bloomberg terminal a telling chart, because despite these crises, we have seen the stock rise to near record highs well, wehe scandals -- don't have that chart. i will get it for even the next hour. s8, theust quickly, the superstar new product, a lot weighing on the product to get back to that former image samsung has. >> absolutely. this is a critical launch, presales lunch today, official launch april 21. they packet with new features, including their own ai personal assistant. bixby.e calling it curv

david: jay y. lee appeared in court, where are we in the scandal?earingswill be four on embezzlement charges, hiding assets overseas. we will hear more from the prosecutors as a layout evidence. it is expected to be completed at the end of may. shery: how will they revive samsung's image? >> it has cost them more than 6 billion u.s. dollars and cost them their global lead in smartphone shipments to apple in the first quarter. it is a critical product. they have high expectations for sales. but they have to get over that blip in customer satisfaction. this was a black mark in their history and they have to restore confidence. david: that is harder. >> and they are rolling out bixby, the facial recognition. coming up, we will hear from the finance minister of indonesia explaining why the country's forecast had been revised lower. what is being dentist and relae the economy. ♪ target is not achievable? >> within the first system we will use all the policies of the , so investment will be something. there will be a level of growth. that was the indonesi

negativeare a lot of headlines about jay y. lee being indicted.end of the day they have a deep bench of management and the company will continue on. what is important to look at is the profitability of the company. all-time high profits the first quarter of the year, up meaningfully year on year. there is the strength in the memory chips. that is one of the most important things of the stocks. they are surprising everyone to the upside at the moment. how much anticipation or pressure is there on the new phone, the s8 to sustain this pace of growth, when it comes to that remarkable trajectory for the stock price? the expectation remains to be seen. given the company has not officially announced its target shipment, the rumor could be as high as 60 million this year. the average selling price is higher than note 7. what thes to be seen company is guiding in terms of the shipment. i would say the current stock price surges because of the prices and those component price surges. in terms of what we're seeing play out in china, you have the story of xi

the expansion comes at a time when they are reeling from the note 7 debacle and jay y. lee'solvement in a corruption scandal. yvonne: the boj governor kuroda says he will continue with accommodative monetary policy and maintain the pace for asset purchases for some time. in an exclusive interview with bloomberg he warned there is a chance that yen movements could force a delay in hitting japan's inflation goals. our forecast, in defense of that we would reach a 2% target isund fiscal year 2018, based on the assumption that the exchange rate will not move. based on no movements from the yen. let's bring in a currency strategist at wells fargo securities. great to have you, let's talk about the yen. cannots like kuroda quite get his way, given the geopolitical risks. i want to throw up a chart. look at the risk reversal rate of the euro against the yen in white. that fell to the lowest level since 2009 this week. if you compare that to the blue line, the euro swiss measure, that is not dropped as much. is this on the right hedge ahead of the french election? >> the japanese has

and the vice chairman jay y. lee appearing in court later today in his trial.g,h hearing is as he has been charged with bribery, embezzlement, and hiding assets over's these. those crises and the day-to-day performance of samsung perform -- electronics, they are performing well in energy chips and displays that are exporting out of south korea in record numbers in the first quarter. there are two sides of the story. better than expected, 9.9 trillion won, higher than the 9.8 trillion won expected. the stock is surging at a record high. up 60% in the last 12 months. quite incredible. counting down to major market opens an asian-pacific. let's get to our bloomberg market reporter live from sydney. i know we will take a look at samsung when the market opens in korea. bloody looking out for in australia? -- what are you looking out for in australia? >> it has been a very tough week. strongstill in a very quarterly performance. we do like to note the drives theabout what aussie, whether it is the iron ore price or local fundamentals like of the housing market. but a

but jay y. lee facto head of samsung, is due to appear in court today in connection with the influence scandal in south korea that has taken down former president park geun-hye. those are just some of the stories to watch in the asian pacific today. more from bloomberg technology next. ♪ caroline: this is bloomberg technology, i caroline hyde. the meeting between president trump and president xi underway. it is the first test of promises toump's win negotiations from the world's second-largest economy. let's check where asia stands from a market perspective. up inust capped off a 20% the tech stocks. in reporter abigail doolittle in new york to break it down for us on the asian perspective. >> it has they -- it has been a tremendous first quarter for chinese equities. to's hop into the bloomberg look at this chart. it puts the gains you showed in perspective. china we do have the msci index up. in orange, we have the s&p 500. well we were having a good start to the year in the u.s., up 5% relative t

jay y. lee in court today. what are you seeing? what is south korea seeing?should we look for as to whether he could be prosecuted for this and what it meant for the company? >> i think as we expected, young said he was not guilty of the charges. this has been samsung's case the whole time going forward, that they were extorted. that they did not take and seek a bribe to push forward the earlier merger. going forward, i think there are three things we need to look at. this is taking place in a very unique political environment. one factor i think going forward is going to be the trial that has started. if she is found not guilty, that will have significant impact potentially on young's case. if she is convicted, it may have repercussions on his case but it might not. caroline: remind us. >> she is the one who was the go-between is claimed between samsung and the others. she is the one who took and did the requests for the bribes, if this is proven. i think beyond her, we also need to look at the president who may get charged, what those charges are may give i

jay y. lee made his first appearance in a corruption scandal. businesses brought down the country's president. prosecutors laid out their case saying a senior government aid to -- lee had funneled money get president park to favors. shery: a man being questioned in the same inquiry. he's being investigated as a witness in the influence peddling and bribery case surrounding the ousting of president park. they are trying to determine if money was actually bribes. david: narrow the number of bidders for its chip business from 10 to a group that includes apple suppliers. sources say the others include a joint bid from private equity terms and a chipmaker. it is reported to have improved and offer of almost ¥3 trillion, roughly $27 billion. shery: 7-eleven's parent is raising its presence in the u.s. with a $3.3 billion purchase of shops and gasoline retailers. the deal involves more than 1100 outlets and convenience doors in texas and across the eastern states. they are beefing up operations in america while paring back to business in japan. sunoco

the ongoing questioning of jay y. leetion to the political scandal in south korea and the core issues it had with phone, which had to be pulled from the market. yvonne: thank you, we will wait for those numbers any minute now. president trump toss tax plan is a pr stunt that does not add up. what the new york times best selling ♪ yvonne: got to bring out the amber alert, 7:30 thursday on this hong kong rainy morning. betty: had to break out the umbrellas here in new york. seven: 30 p.m. wednesday evening in new york where markets closed a little more gloomy there. closingsee the s&p down. yvonne: you are watching daybreak asia. now to first word news with courtney collins. >> first up, south korea's economic growth accelerated in the first quarter. as a recovery index ports supported investment. gdp 9/10 of 1%. and 2.7% from year earlier. consumption growth remains a subdued. the economy showing positive signs less than two weeks before the presidential election. the white house has made its opening bid for what officials

also, jay y. lee's trial is to continue in seoul today.n sydney, iron ore following the most overnight. take a look at the open in asia, after trump talks and treasuries rallying. the nikkei two at a third day of losses as the yen is at the strongest in a five-month. with its first win in seven sessions on wednesday. attending a live debate for the first time it was announced. that is what we are watching. this is bloomberg. ♪ changes track and says china is not a currency manipulator, it is the dollar that is too strong. and tellsmarch race more political uncertainty. cathay pacific new boss checks in. ramy: staying in the skies, united promises to compensate passengers on the overbooked flight. this is the second hour of "daybreak: asia." i am shery ahn in hong kong, where it is just past 8:00 a.m.. ramy: it is just past 8:00 p.m. in new york. let's get to the chief international correspondent haslinda amin. fell short of expectations. coming in at 1.9% quarter on quarter. economist looking at a contraction of 1.8%. expansion.saw an year

investors will be watching how business has weathered korea's widening scandal that has embroiled jay y. leeesilient. the 12 month price target has continued to rise even despite all that political turmoil in south korea as well. s8,'sust launched this of bullishness continues for samsung. that,will see how any of if at all, has affected sales of the s8. in the u.s., we look at president trump's meeting with president xi jinping on thursday and into friday. the two heads of state will have their first face-to-face talks at trumps oceanfront mar-a-lago resort in palm beach, florida. that will be a show to watch, if and job numbers are out, adding possibly 175,000 workers in march, the jobless rate steady at 4.7%. economists predict a pickup and wage growth. that is key for the fed. the fed has said they look at jobs data and that is important when they consider the rate decisions. i want to point out this chart, which shows you very well the recovery in the jobs market. we have heard president trump already take some credit for the jobs growth that we have seen, but you can see on this chart

jay y. lee has since been arrested on charges of corruption surrounding that deal.good news, samsung sold more than 550 thousand phones since preorders were announced. is more than five times the rate of demand for the previous model. samsung needs the new phone to be a success following the note 7 debacle. cost and equivalent of $880. back to the here and now, have a look at markets largely shrugging off what happened on friday, investors focused on disappointing payroll numbers and what that could mean for the rate trajectory of the fed. from get more analysis william gold filled -- goldfeld. ,wo events on friday, syria then the u.s., the jobs report. has anything changed for you? there has beenk much dramatic change. geopolitics is always in the background. i think the strike was a clear warning to syria not to up the havethere, but the markets shrugged it off. we saw a spike in the oil price straight after the attack and missiles were launched. i think the markets are used to this geopolitical events and it. past the payroll numbers were weaker than expected. if