i have to wonder, is it enough to turn around nomura back to profit next year?hael: yeah, but cost cuts seemsime -- so far, it they have been same size or slightly larger than cuts in 2012 and 2016. is aer this alone fundamental change to their overseas or global strategy, right now, it seems they are still hedged but the fact that they have written down all the goodwill that they got from buying assets from the lehman brothers estates opens the door for them to shut these businesses for good if they do so choose. i think they million -- may still be hedged as whether they will bite the bullet. say overall,you because they have written off goodwill from their transactions 10 or 11 years ago, is the worst pretty much behind us? well, certainly we won't have large write-downs anymore from the lehman transactions or global financial crisis. but yout is behind, have the chart of the price-to-book ratios and various investment banks and the global financial crisis up there. it shows that the issue now for nomura -- it is not legacy issues, but the strategies. after t

-- four nomura? -- for nomura?perspective, we do not believe this would be -- no more is ratings. this is -- nomura's ratings. it's not quite a huge amount. we have already incorporated the ofential risk of implement good news or intangibles. and also, for the weak earnings last year, we also have earningsted nomura's coming from its native business. so, you mentioned short-term volatility. do you see earnings stabilizing? what is the picture going forward from your? -- from here? >> the key will be whether implement from the structure platform. nomura announced its strategy to stabilize earnings in early april. i think this strategy is reasonable if they can successfully implement them. for example, nomura plans to resize, optimize its fixed income flow for market business. -- the revenuehe vanilla tea -- validity and fixed income is high and at 50% more than equated business. so, if they can successfully optimize this business, it may help destabilize earnings. shery: these banks in japan have been suffering for

rishaad: this is the latest in a long line of cuts at nomura.has had trouble absorbing about --hich it bo at about thist time a decade ago. russell: they have had three major cost-cutting rounds thasie that deal. investors have had a lukewarm reaction so far. shares are up less than 1% in morning trading in tokyo. they couldve said boost profitability, but they are also concerned it is going over improve revenue. when you cut staff, there will be stress on revenue. the bank says it is confident it will eke out more revenue by focusing on the advisory business, advising companies on fundraising and mergers, and through technological elevation, things like -- technological innovations, things like ai. we will see how that will spring fruit moving forward. david: thank you so much, our asian finance editor out of tokyo. there may be a billionaire battle underway to buy troubled indian network tv z entertainment. news of a possible bid boosts shares 3% in mumbai, paring some of the past year's heavy losses. rishaad: elon musk seeing more than $1 bil

today we had nomura announcing a massive cost cut plan.hand, we've got jamie dimon coming out with his annual letter to shareholders, and in that letter jamie sounds really positive. can u.s. banks -- are u.s. banks the only global banks left? [laughter] guest: that is a good way to put it. u.s. banks are definitely doing better. we have talked many times on this show about how they are falling behind, losing market share. japanese banks and canadian banks have done better. they are not as bad as european banks. but when we look specifically at nomura, their problem has been in europe after they bought lehman's operations in 2008. they haven't had as much success as they wanted in all the areas. come last year, they lost market share globally. equities grabbed market share from european banks. in the areas where they lose market share, they are going to cut cost. that is what banks always do when they lose market share in areas. and in equities, they are doing better, so they will probably keep people there. but u.s. banks like j.p. morgan

nomura unveiled plans to cut about a billion dollars in costs.also announced a pullback from businesses as it embarks on another sweeping overhaul of its international operations. we are joined from tokyo by russell. talk us through the cuts. >> good morning. there are also cap's to the toestic -- all caps -- caps the domestic retail business as well. mention did not specifics in terms of job cuts but it said about half of the savings will come from personal cut and our own reporting says staff inr is about 100 europe, mainly traders. 50 in the americas. and there already have been some cuts in asia including singapore in the research department. ,econdary side of the business trading, specifically high trading is where there will because. high bonds. emerging market trading. that is the focus area of the cuts. and looking at stream lighting -- streamlining a lot of the back office departments. consolidating those departments into five hoping to avoid a lot of duplication there. >> this is just the latest in a long line of cuts that have been hap

nomura will get about 40% of the issue.is aimed at investors and will help the bank pay off a mountain of debt. disappointing deliveries report by cutting some of its sales staff across the country. bloomberg reports that the company cut sales teams in chicago, brooklyn, and tampa. they declined to discuss specifics. u.k.'s crackdown on facebook and other social media. theresa may is proposing a new industry watchdog. companies could face heavy fines and individual managers could be held liable. that is your business flash. joe: coming up, president erdogan pushing for a repeat vote in istanbul after last month's elections. why has move has em investors on edge. this is bloomberg. ♪ joe: the turkish lira under pressure. president erdogan intensifying his push for a vote in istanbul where his party lost last month selection. it is showing a possible push toward authoritarianism and a loss for investors. so, in these regional elections, biggan's party lost the cities and he's pushing for a do over. >> there are three things w

and looking to hold steady after recent declines after we did see growth worries on that gdp miss, nomurautting its growth forecast. kiwi stocks opening lower, down 10,000ter reaching the level this week and aussie futures hinting at losses as well. and 11-year high on rate cut expectations and flipping the board that has weigh on the aussie dollar this week. the currency just hovering around that 70 handle that it breached overnight for the first time since january. the kiwi dollar is gaining ground ahead of consumer confidence and trade figures from new zealand and we do have the yen steady after rising to 18 of-week high after seeing some short covering ahead of the 10-daybreak. below.the currency slice societe generale hinting caution , an important signal that the global economy is on fragile ground, so they say it is time to start adding to short via positions indicating the dollar has more legs to move higher. thanks very much. let's get the first word news now with selina wang. selena: wall street banks are close to a win with the latest move to overhaul the volcker rule. areces s

and european economist from nomura. you can get involved in a conversation on what we've seen the last week, follow us on twitter @streetsignscnbc >>> coming up on the show, the brexit deadlock continues. with the e.u. set to leave the union on thursday with no deal in sight 300 miles an hour, that's where i feel normal. having an annuity tells me my retirement is protected. learn more at retire your risk dot org. >>> welcome back to the program. chinese shares have reversed gains after signs of more stimulus in china helped lift the country's blue chip stocks to a one year high beijing said it will further loosen bank's reserve requirements to encourage lending to small and medium sized businesses the move announced on the central government's website will be the sixth time the pboc has cut reserve requirements in the last year. >>> meanwhile, the global economy has entered a synchronized slowdown which may be difficult to reverse. the latest update of the tracking index shows all parts of the world's economy losing mo

softbank has named nomura for a lead underwriter.umber will get -- numerous will mura will get 30%. ramy: larry fink delivered his annual amount to shareholders, saying he wants to make the firm into one of the leading asset managers in china. asia is expected to drive 50% of the organic growth and assets under management over the next five years. plenty more to come. this is bloomberg. ♪ jessica: i am jessica summers with the first word headlines. indian prime minister narendra modi is planning to spend $1.5 trillion on infrastructure as he launches his party's election manifesto. they plan to double rural incomes, improve share from manufacturing, and boost exports. india's farmers were a key bloc in the election with the conference party promising to write off loans across the country. ismer indonesian general -- dismissing independent opinion polls and claiming he is on course to win next week's election. he has a double-digit lead. his team says he would take more than 60% of the vote if an election were held today. polls sugges

here is the question for tomorrow -- four nomura.of this is something they can deal with, and how much is a consequence of rates being negative in japan for a long time, and it is difficult to make money for any bank in that circumstance? david: and how long do they stay independent? the ceo suggests they could state independent, which says there could be alternative. lisa: they have flip-flopped with their international strategy for a long time, both expanding and then contracting in the u.s. and europe again and again. that also makes it difficult to create a footprint. alix: when we talk about the ecb tiering, that didn't work in japan. there's no end in sight, and nothing will help what they tried to fix. lisa: but the ecb is not committing to themselves to the fact that negative rates are harmful for banks. alix: thank you for joining us. coming up, the avengers are assembling moviegoers. david is super skeptical, but he has not seen the movies. more on what i'm watching next. this is bloomberg. ♪ alix: david is killing me right

nomura expected to post its first loss in a decade.nor is excited to stick to his guns at the policy meeting even as the economic threats intensify and inflation remains below target. our quality editor -- policy editor kathleen hays is here with a preview. if the governor hoping things will pick up? -- is the governor hoping things will pick up? kathleen: he has his fingers crossedkathleen:. people are hoping on big factors. one of them is the u.s.-china trade war ending. both sides could move on and orchid sentiment improves. this is taken as a dark cloud over the global economies. major exporting nation and the china economic slowdown which has been stabilized by all the pboc stimulus is something that has affected japan. they are said to be considering something -- our team has learned they will consider to trim their outlook. that is to acknowledge forces weighing on them. let's look at the bloomberg terminal. industrial production is one of the symptoms of economy hit by weaker exports. you can see the last couple of numbers have

. >> ford was downgraded to reduce fromeutral at nomura with the analyst there citing challenges in theopean c r marketht now. price target now $7.50 and that stock fished up one penny to $9.25. bed, bath & beyond was downgraded fm underweight in morgan stanley and it cited investor interest in that company which could result in a higher stock price over them near-tnd that price target is now $20. shares rose 4% today to their 18.35. >>> still ahead, adding some retail stocks to your shopping list. a top-rated fund manager had some names to sh >> the head of the world's biggest hedge fund calls income inequality a quote, national ergency. ray dalia released a report in which he links lower high school graduation rates t widening wealth gap. he says not educating young children is the equivalent of child abuse and is economically stupid. he is advocating for an incnvase intments in early childhood education per people'n ng, infrastructure and public health measures. >> now to housing. imagine taking cash out of your home without incurring any debt and therefore, no monthly payment. that'

. >> intel was initiated with a buy rating int new coverage nomura. analysts cited intel's leadership in microprocessor and artificial intelligence and autonomous driving and $65 and intel crept closing in 55 $48. upgraded totters was buy from neutral at d.a. davidson and the analyst cited fewer markdowns on items and overall stronger pricing and fundamentals. price target there now $36 and shares finished up more than 3% today to $31.77. >> still ahead, looking for the big fixwi why i take a lifetime to repair all of america's deteriorating bridges. ♪ >> the massachetts gaming commission questioned wynn resorts executives in day two of the hearing that could determine whether wynn will hold a gaming license i.that sta >> at issue are allegations of sexual misconduct made against founder steve wynn and whether there was an internalr- co. today board member patricia mulroy was asked about an employee's claim whether the board was aware and if enough was done. >> the board was frozen in place. they were -- and was it a mistake? was itomhing that the boa

from japan we have the likes of nintendo and nomura reporting today. japanese futures edging higher while the yen is rebounding while waiting on the policy decision. let's get to first word news. >> it will be impossible for the iranian exports to zero and they will sell around the world. less countries are buying iranian crude without facing sanctions. said he wouldnt consider negotiations with washington but talks would have to be held in mutual respect. his foreign minister attacked the trump administration during a speech at the u.n. is alsonited states punishing those who's week to fulfill the multilateral negotiations which call for normalization of economic relations with iran. this is the first time in the history of the noted nations a permanent member of the security council punishes countries for observing the security council. unheard of. reporter: sri lanka is shaking up top-level security after officials failed to act on intelligence warnings before the easter sunday bombings that killed 350 people. the defense secretary and police chief

why is number as great -- nomura's great it -- latest cost cutting effort fallen so flat with investorsfallen about 3%. the price but ratio is only about half the value of those assets. the biggest differential with their peers in 20 years. clearly, investors are not impressed with last week's announcement. the analysts want to look at the pace of the job cuts and the cost cuts. and how it's going to affect revenue. >> the slow down and it was largest car market is showing no signs of easing off yet. auto sales in china continue to decline last month, dropping 12% to just under 1.8 million. we've seen a bottoming out of some of the chinese numbers, may an improvement in some aspects, certainly my comes to this data point, we are seeing things deteriorate. >> the uncertainty in the chinese economy crimping consumer sentiment and especially the other space. the passenger car cessation of china said in the first quarter -- first couple of months this year, car sales were the only consumer product segment that saw declines in sales. something is going wrong. we have a change in tax policies

details, they are pricing bonds at 1.64%, which we earlier reported this week about nomura leading thesale so we will watch softbank but we have seen the stock to well today. david: it has been very busy for asian credits. what are we doing for the stock? we are into the lunch break. not that this comes as a complete surprised, pricing. we have the stock price here. there we go. 500 b, japanese yen 1.64% which i would imagine would be the coupon. yvonne: the stock was already rallying this morning perhaps because of the story. --r has made it public for filing for an ipo and giving potential investors a first look at the books including $10 million in offering losses from 2016. inid: it will be the largest the u.s. this year and among the top 10 of the decade. let's bring up our asia ipo director. nownow about the business that they have been forced to give >> it to the public. >>>> investors are getting the first look at bloomberg's business. three years, he has mounted an operation loss of 10 billion. last year alone, as high as 3 billion. it reported aeing positive net income in 201

george buckley is the chief economist at nomura. let us go over the brexit story.hat we have had is donald tusk in brussels say, the u.k. can have a one-year extension, and oncesa may only once a -- an extension until june. is the risk that we get a series of rolling cliff edges? if i am a company, that encourages me not to invest and keep the big inventory that i have sitting in my warehouse there, which locks up working capital. george: a rolling deadline is what the european commission and union want to avoid. this is what they are suggesting, have a year and make sure you have the right decision. making the worst of the time you have available, even if it is an extension, it ends when it is completed, i am not surprised that it could -- that if it took all the time towards the end of the process. simply, you have more time and they will make that work. the problem is investment. long an12 months is not extension for investment decisions. the risk is that you get the next nine months of firms sitting on their hands and not knowing what to do, and not investing.

softbank named nomura as the lead underwriter for what may be the country's biggest bond yield ever.billion. rishaad: tesla followed up a disappointing deliveries report the u.s.g back across as they move the ordering process online. staff have been let go in chicago, new york and tampa. they declined to say where they fell and how many have been affected. the company wants to save money as it ramps up production. david: cutting more than 4000 jobs in germany. eliminating 12,000 positions around the world. to raise profitability after the $63 billion deal. and may be politically sensitive as labor protection is strong there. yvonne: let's look at other movers out of china. watching some of these big automakers. seeing a turnaround when it comes to the march numbers. percent.up to point at those march vehicle sales up 16.8% on year. newsstock flying today on the parents gree group will be selling a stake of the company. gree electric resume to sharing. that stock up 10%. stock, sayinghe there is potential to gain more market share as there is a rollout in 5g. take a look at sony. that

nintendo and nomura will follow on thursday.ay, sony and agricultural bank of china will be the big ones to watch. coming up next, australian vpi figures out later this morning. expected to show a slight uptick in prices. we look ahead at the data with jana chen. this is bloomberg. ♪ shery: i am shery ahn in new york. paul: i'm paul allen in sydney. you are watching daybreak australia. analysts expect australia's first quarter inflation data to further test the rba's resolve as domestic demand softens.however , it is unlikely after a strong jobs figure for last week. joining us is the deutsche bank senior economist. that does pretty much sum up one of the key issues for the reserve bank of australia. on the one hand, really strong employment figures, but really anemic wages growth and we have inflation. guest: that is right. inflation expected to stay very low. this morning, we are expecting .1% increase in headline rate. core rate to increase by just .3%. both annual rates have headline inflation which is expected to remain bel

let's take a look at the stoxx and some of the movers, looking to close at a record high driven nomurath from amd, micron, and intel. vonnie: a few extra comments from larry kudlow, speaking in washington, d.c. at a christian science monitor breakfast. he says good headway is being made on trade talks come about the u.s. and china are not there yet -- talks, but the u.s. and china are not there yet. he also says the yield curve looks way too tight. this is bloomberg. ♪ ♪ taylor: this is "bloomberg markets." time now for our muni moment. i am with the unesco head of municipals. earlier this week we were taking a look at the muni treasury ratio. what is driving the outperformance? guest: thanks for having me. i think the most thing is demand from the retail side. investors were a little bit confused last year. we didn't know what the fed was doing. we didn't know about midterm elections. now all of those questions are kind of answered, and money is coming strongly into the muni market from the individual investor. ,hey are supporting the market buying individual bonds, and i think invest

you are seeing that with nomura this week announcing a lot of cuts of its own. reaction to that ok but what about the revenue side? he saw that question with a lot the european banks. sure, you can make these cuts, but unless there is a rebound that will not be enough. down 40%t is year-over-year and lost half of its market capitalization. we are heading into a weekend where deutsche bank and commerzbank are talking at a pivotal point. the wealth management unit is cutting jobs too. is a solution out there? been one ofgen has the healthier ones in recent years. they gain some share up until the last 12 to 18 months. board,s like, across the you have a european economy that is not kept pace with the u.s. and asia and a lot of banks that did not get out ahead of things in terms of cuts so they are scrambling to react to what has been a weak environment on the trading side. trying to come from behind has been tough for them when they have not gotten a a lot of help from the markets. guy: how much of it is down to negative rates. you often hear that it is negative r

square shares up 1%, paypal shares down 1%, a lot of this predicated on a note by nomura, ising square's cash app widening the user gap with paypal's venmo. venmo, and the gap has been widening. the companies are competing for a lot of the same customers. square is not only outperforming paypal, but has outperformed paypal year-to-date and over the last year. scarlet: thank you so much. still with us is phil orlando, of federated investors, and bloomberg's sarah ponczek. looking at the market now, people are calling it fully valued. where do you see evaluations? fine.valuations look going back to the fourth quarter, the 20% decline, we multiple at the top of the market to 14 on christmas eve. in our view, that was inappropriate, stocks were oversold and bonds and the vix were overbought. now we are getting balance, up 23% from christmas eve. to 16,tiple has expanded 16 .5. in our view, the 18 multiple at the top of the market was in exactly the right place, and we know that because of where inflation is. are pc at 1.8%, suggesting multiple of slightly over 18 times earnings is where we n

we getting some news from nomura.ews from the banking sector, unicredit potentially eyeing commerzbank. now, we are finding out nomura jobsid to cut 100 ema mainly in credit. ison't know whether it relocation, but for the moment, that headlines crossing the terminal. cut hundredsd to of jobs mainly in ema. falling afterla we heard from tesla and we will have a full round of the tech stocks. parliament has voted to block a no deal brexit shortly before midnight. voted by a majority of just want to seek another extension from the eu and to rule out leaving. may and most conservatives oppose the legislation, which now goes to debate meanwhile, the two main andies intensified talks both sides described yesterday's initial discussions as constructive. meetingnvited us to the , and i accepted the meeting to go there and set out our views. she put up the government's view of the whole thing depends on the withdrawal agreement as put forward at the present time. we are joined by the chief market strategist and ema at jpmorgan

nomura is valued at a discount to global financial shares. decline is outpacing even notoriously poor performance. the latest attempt to revamp is falling flat with investors and is also the widest gap since bloomberg began tracking data. ted baker names a new chief executive. this is after the founder left following allegations of inappropriate workplace behavior. says it hasalso concluded investigations in the former chief contact. baker says it will introduce new training for employees. bank at commerzbank are reportedly at odds over how quickly they should update shareholders. commerzbank once in asap decision, the christian sewing wants more time. the companies have been informal talks for nearly a month. that is your business flash. nejra: thank you so much. fed's march minutes illustrates a flexible approach to policy. as mario draghi puts off a decision a negative rates but warns against negative risks. is sarah from standard chartered and patrick from the readme wealth. were you surprised by the dovish tone in terms of weakness persi

>> it has been about a week since nomura made the announcement of cost cuts globally, and the stock hast 3% since then. the price book ratio is only about half the value of those assets, which is the biggest deferential with its peers in 20 years. so clearly, investors are not impressed with last week's announcement. what they are looking out for, at least the analysts we have spoken to want to look at the pace of the job cuts and the cost cuts, and how it's going to affect revenue. >> the slowdown in the world's largest car market is showing no signs of easing off yet. auto sales in china continue to decline last month, dropping 12% to just under 1.8 million. even though we have seen a bottoming out of some of the chinese numbers, maybe a bit of an improvement in some aspects, certainly when it comes to this data point, we are seeing things deteriorate. >> the uncertainty in the chinese economy definitely crimping consumer sentiment and especially in the auto space. in fact, the passenger car association of china said in the first couple of months of this year, car sales were the only

. >> nomura's latest attempt to revamp is falling flat. the decline is outpacing poor performers. 58% discount,t a the widest gap bloomberg began tracking the data. deutsche bank and commerce bank at odds over how quickly they should update shareholders. bloomberg has learned the ceo wants more time to assess the deal. the companies have been in formal talks for nearly a month. jetblue preparing to join the market for business travelers flying between the u.s. and europe are they will fly from jfk and boston logan to an unspecified london airport. they plan to use an airbus. seat 206 passengers. that is your business flash headlines. minutes away from the start of the equity trading day. we will get a look at the stocks we are watching. including the luxury goods company. beating estimates. this is bloomberg. ♪ seven minutes to go until the start of trading across europe. at lvmh, covering deutsche. dani burger. let's start with louis vuitton. what is the story? another exceptional quarter from the french luxury giant. for the soft leather

nomura has cost reduction. exit fromhey plan to high-yield bonds. they have been grappling with how to handle a sluggish economy. revenue has dropped for four straight quarters. and that is your business flash. >> let's get back to the m&a thinking story. union credit is waiting in the wings. which sayso the sc there is a rival bid being prepared. consolidation would be sensible for a variety of reasons. was a lot of talk in the sector overall over time, mergers, consolidation, would be sensible for variety of reasons. we have tended to agree with that. how long it takes to do is anybody's guess at this time. the germanus now, banks reporter conveyed good to have you on the program. why would unicredit be for commerzbank? they do have assets in germany. they have a big bank there. the german subsidiary is one of the biggest in germany. adding more to that makes sense. in a market over bank. you are adding it to your network. much istion is how possible? the ceo mentioned it? difficult because of national regulations. that is one reason it has not re

quickly want to mention as we go to break, softbank is said to name nomura to lead a $4.5 billion bond sale as manus cranny talks to khalid al-falih about saudi aramco's possible 10 plus billion dollar bond sale. investors around the world on the hunt for yields. issuers taking advantage. bloomberg radio is live on your mobile device or on dab digital radio if you are lucky enough to be in the london area. -- readinga lonely your national news. ♪ matt: will come back to bloomberg markets. we are 10 minutes away from the start of cash trading. let's get the first word news in hong kong. may has defended her decision to ask jeremy corbyn to help draft a new brexit deal. neverrns they u.k. may leave the eu if the two cannot reach a compromise. the prime minister asked the eu for a delay. the chief secretary of the treasury says that would be like purgatory. fiat chrysler is teaming up with tesla to comply with eu emissions rules. the company is using the open pool option. the financial times reports the company is paying tesla hundreds of millions of euros for the deal. fiat has declined

all change at nomura. a billion dollars in costs. high-yield exit the bond market. down to 150 six., cost targets, 10% over the next three years. this is a significant moment. this is the institution that bought the lehman and bond business. is that a shock? we can discuss that later on. >> the cost reduction will be done through radical simplification of the operating model. big changes afoot to read we will keep an eye on that. when you are traveling to work, tune into bloomberg radio. there fromoining you 8:00 a.m. to take you through the equity market open. this is bloomberg. ♪ this is bloomberg daybreak: europe. to the decision from the reserve bank of india. the central bank cutting the policy rate to 6%. that was expected. a cut, inflation forecast for the six months. we have the decision. you can follow it there. reasoning, the facing headwinds in terms of the global economy. that is the decision we can see some weakening in the rupee. you, and i on that. eye on that. the u.k. parliament voting to block a no deal brexit. there is still no clarity on what a deal will look lik

joining us on set is jordan rochester, fx strategist at nomura. great to have you with us.g. i know you will be watching the headlines closely. you said that in a quote about all of the event risk today. what sort of delight are you expecting -- delay are you expecting? jordan: the good news is that the uncertainty of the delay should be low. last time theresa may was supposed to be sending her this. requesting they had no ability to shape the debate really. they had a few hours to submit things to the eu leader. at the dinner themselve -- dinner itself, the eu leaders that up.- tore it seems pretty much a foregone conclusion that there will be a ex-tension.l the eu could attach some more aspects to this extension we have not even considered. we did not think april 12 would be a day last time, so we could be surprised. nejra: if we take a look at the cable chart, it's barely moved since the beginning of february. do today's events have the potential to shake cable out of this range? jordan: it does. if you are a corporate and have to hedge your sterling exposure, you have t

. >> intel's up 3% also part of the nomura insta net upgrade. they go intel by they initiate 65 bucks at price target i know you owned the stock for a long time. >> i've been pretty bullish on it it had a rough end of last year with the whole ceo turnover and amd supposedly eating its lunch. what we're seeing here is both companies can co-exist the semiconductor industry is very broad no one company is going to completely eat anybody's lunch intel, by the way, is 3% from its 52-week high i think it takes that out here pretty soon. this is one you just don't want to get in the way of >> they're also proxies on the china deal happening they're saying that things are getting better in terms of the negotiations, and that we're not going to be in a recession again because these are cyclical stocks >> and what were they pointing to >> trading much better >> in the rbc note, scott, they're pointing to notebooks in particular for amd and this is an area of growth for these guys, obviously, that people have bet on in the past, they've been rewarded for i

we are keeping an eye on nomura. the bank plans to close 20% of their domestic retail branches.on the is said to seek $15 billion more for a division fund. >> there is lots more to come. please stay with us. this is bloomberg. ♪ >> good morning, measures -- asia's major markets have opened for trade. sophie: welcome to daybreak asia. our top stories this thursday, investors welcome optimism about a trade deal. progress butt warns there is no agreement just yet. carlos ghosn has an rearrested and faces new charges after announcing his plans to tell his side of the story. >> increasing calls for tighter regulation. we hear exclusively from jack dorsey. let's get straight to market action with sophie. sophie: we are seeing caution back in asian trade with stocks opening lower in tokyo. topix losing two points while the yen trades-- near a two-week low. the best check the board -- let's check the board. i under pressure and current account surplus data to consider narrowing in february. let's check in on the move on sydney, shares retreating from a six-month high led lower by energy

nomura chief india economist joins us.unexpected rebound in chinese inflation and trade figures. it could easily worries about the further slowdown. we preview the numbers with ing greater china economy iris chang. this is bloomberg. ♪ i'm haidi stroud-watts in sydney. ramy: i'm ramy inocencio in new york. you're watching "daybreak: asia." chinese inflation and trade data are due later, giving us a snapshot on the health of the economy. the expectation is for a rebound in all figures. that would allay some concerns about a slowdown. joining us is ing greater china economist iris pang. great to have you on the show. it looks like there is more optimism, especially off of the pmi's we got. walk us through your expectations. expect inflation is going up, in terms of cpi and ppi. cpi, we expect 1%. ppi, less than 1%, but not negative. stimulus,due to the for both of them. haidi: stay with us, we have to go live to brussels at the moment, where donald tusk is holding a joint press conference. let's listen in. thet can also reco

worses a bank doing even than deutsche bank, nomura. their shares are down even more.are indeed. six months slide down 23%. that is worse than socgen and deutsche bank. it is interesting reading on this little bit and what analysts are saying. they are trying to improve their profit through cost-cutting instead of growing. that can work in the short term, as we all know, but in the long-term it is not a great strategy. alix: it is definitely not a good strategy. who would have thought something worse than deutsche bank? let's get to our next story and talk about a nice pay package here. a small california bank, axos financial, who ceo made more than jamie dimon, yet it only has about $10 billion in assets. momentshese are the when i love david westin. we were emailing about this last night. this is the first time someone has managed to come up with a compensation package that is totally aboveboard, totally legal, shareholders approved come aboard approved, and yet you go, what? how does this work? it is a complicated set of incentives tied to the scott price -- to the

the ceo of nomura saying that they will remain an independent volker with a turnaround plan going quicklyf a lot of people, but it's not a good sign in general for the ceo says he's going to remain independent. talking about lagging, halliburton has lagged all of the oil service companies, but a be that's about to change, up over 4% in the pre-markets and they are saying that the worst is over for service pricing and that the prices have eventually bottomed. we knew that the activity had trough, but the question is the prices that have trough and apparently that's now with rising oil prices. david: that's got to be good news. exactly. and with the wells that are drilled but uncompleted, that's good for halliburton. the third company we are watching is tesla. for more we have craig erwin, the managing director and senior analyst at rauf, who has a neutral rating on the stock. i'm particularly delighted to have you because we have been quoting you all morning long about the couples counseling. why do panasonic and tesla needs couples counselee's -- couples counseling? >> it's always disconc

nomura has trained targets.r shares ahead of a likelyb-shaped recovery that it sees in 2020. haidi: still ahead, heading to l.a. to talk to bob iger about disney's brand-new streaming service. shery:, if you are feeling lost from forex, we have -- we will be joined by mullen fx macro strategist john velis, this is bloomberg. shery: this is "bloomberg daybreak: asia." haidi: i'm haidi stroud-watts in sydney. the imf and world bank meetings are underway in washington, warning of an uncertain outlook. our global economics editor is in d.c.. when it comes to specific regions and countries and expectations, what are you seeing? the tablelet's set here, because it seems that the imf is trying to pound home this message that they are concerned about the global economy. we can just put it to one side. certain downside risk materializes in you see the balance of risk tilted toward the downside between a chance of a no deal brexit, the u.s. china trade war that for example, volatility in markets. u.s. stocks, so many stoc

nomura fights to survive. big profits. facebook delivers double-digit revenue growth.rg daybreak." we have earnings out as fast as we can talk. bristol-myers is out now. they beat on both sales and earnings-per-share. they had first quarter sales revenue of $1.8 billion. adjusting earnings was $1.1 billion. they are up in the premarket about 2% now. alix: ups also out.

let's bring in ed snyder from charter equity research and david wong from nomura internet.afternoon to you both david, if i start with you you initiated recently on intel with a buy. what did you get wrong when you did so >> in the very near term we're in a semiconductor downturn. intel missed forward guidance. but the important things about intel are very much intact we're seeing the transition to 10 nanometers. we're seeing the mobile eye division do well for autonomous driving. i'm very excited about artificial intelligence and data center which should pick up in terms of growth. >> so today you're reiterating your buy with a 10% attractive price as opposed to changing your outlook >> exactly p i see a buying opportunity in intel here. the fundamental long-term story is absolutely intact this is a solid profitable company that is a leader in some of the most exciting areas >> a 10% decline for intel's a big drop do you agree is it a buy? >> it depends on your time horizon. i wouldn't be buying it here david's looking for ach longer term time frame. with intel it's a good