inverse paul allen is there >> -- is -- bloomberg's paul allen is there. >> inflation concerns continueo hit wall street as stops are sliding for a second day. and china's shot is proven to be extremely effective. we have an exclusive interview. financials leading the decline hearing nasdaq -- the 10 year yield rose. the dollar was broadly lower. we do have the numbers coming out tomorrow. >> let's take a look at how asian markets are shaping up. the constant -- the content of that budget that the australian government released last night. we are also looking ahead to these inflation concerns. we had the dollar index ricky much change. that 10 year yield also moving pretty steady. keeley stops, we see an unchanged and start to the trading session. to activate story, the government and australia i'm kneeling a big budget. this'll blueprint or 2021 2022 will set the budget deficit wider and faster than expected. we knew this budget is going to be big, what is going on here? >> they are spending more than we are expecting, the deficit is going to be about 80 -- 83 trillion u.s. dollars. we

paul allen has the details. strong rebound, but analysts were expecting more from him. -- them. paul: yes, so it was a miss, but pretty strong, 90% off that low base from a year ago. building on encouraging results from the first quarter. $.70, a payout ratio of 66%, for dividends, better than $.63 expected. the net interest margin was 1.63%, ahead of expectations. this was boosted by a provision release of 500 million aussie dollars, setting aside 1.7 billion for what they call a rainy day, but the bank saying it did not rain as much as we thought, so that q1 capital ratio was 12.4%, making it unquestionably strong by the measure of the regulators, and the share price has performed well over the previous 12 months, doubling since the 2020 low, and better than the five-year average. >> can the gains, optimism, and positive results be sustained in the second half? paul: -- paul: yes, they say the ramifications remain uncertain, so it has made provisions around credit losses. the release of the credit provision ca

paul allen joins us. this is really interesting. stone already had the 10%, but the proposal -- star proposal in this combined casino operating entity. paul: yes, this is a fast-moving story. it is indicative and nonbinding, value of $12.50, pretty monist on the -- modest. crown has been unable to open the gaming rooms at the glittering new sydney casino on the waterfront here. the regulator refused the license after a damming inquiry found evidence of money laundering and other failures. there are more inquiries in other states the crown -- that crown operates in. sydney, brisbane, the gold coast. it is an elegant workaround for the regulatory problem. it will be a $12 billion national tourism and entertainment leader. >> we are showing sites of a striking building reaching so high into the air with modern architecture. i want to ask about investors. if this merger is approved, what is in it for them? paul: it would remain listed on the asx. there are a number of options available for shareholders. there could be 2.6 h-shares per cr

tony us, tom mackenzie in beijing and paul allen in sydney.ijing gets worried about any excessive surgeon any asset class, what are the concerns about commodities prices in the rally we have been seeing? tom: concern stamper what happened in april, when you saw the highest increase in factory gate prices for three years. that seem to sent shockwaves through the establishment here among officials and authorities. you started from april to hear commentary around concerns about prices but over the weekend we saw the strongest step. this rhetorically at least from officials, the national development reform commission, the planning part of the government pulling in top executives in the metals industries for meetings here in beijing, warning them of a severe punishment essentially, if there was an continue to beat what they described as manipulation, speculation, monopolistic hager within the metals space. -- monopolistic behavior in the metals space. they said they would have zero tolerance, stepping up rhetoric. we heard last week from the state

i am paul allen. this is bloomberg.an manufacturing numbers coming through for the month of may. up to 53, finally above expansionary levels from the 52.5 seen in the previous reading. this after we had a complete mace in capital spending earlier on today. looking like japanese firms are cutting back on spending. the pmi for manufacturing looking a little more robust. sophie: we are also getting pmi data from across southeast asia. may manufacturing pmi down to 50.1. output and new orders in vietnam lower from the previous month. in the philippines, we are seeing a slight pickup in manufacturing pmi at 49, but it is marking the second month at contraction as the philippines capital remains under quarantine until june 15. north asia pmi, south korea's may manufacturing pmi also seeing some slight softening, to 53.7. that is the lowest reading since january. in taiwan, we saw the pmi number slip to 62 versus 62.4 in april. that is the lowest reading since march. we did see a pickup and output, raising to 65.5, the highest

paul allen joins us now. what are the restrictions that are now back in place? : everybody has to wear a mask on public transport again here that is mandatory. indoor areas and hospitality staff. gathering restrictions are back as well. if you have them, 20 people is allowed. those will remain in place until monday as the new south wales government tries to figure out where the latest cases came from. because they are a mystery. a man in his 50's tested positive after feeling symptoms. he has no connection to hotel quarantine. one of his close contacts has also tested positive and there are virus fry -- fragments being detected in sydney. this is a true mystery case. no one knows where it came from or how far it has spread. in response to new zealand's -- in response, new zealand's has posited struggles. that was only up and running for two weeks. shery: flights from india into australia expected to resume. what has changed? paul: the band was in place until may 15. the foreign minister has indicated that it is probably not going to be extended. that will lift in

let's cross over to paul allen, and paul, some big investments in the budget.n regards to forecasts. why is that? >> the spending is very generous and the deficit will be about $20 billion wide for forecasts, and there is a lot of very generous tax breaks, but on the estimates side, it is predicated on an iron or price, very conservative, but the government does do that. but even the forecast for wages, growth, and jobs numbers, that is well below for treasury, and the bank of australia is forecasting as well. asking why these numbers are so conservative, here is what he had to say. >> people would accuse of cooking the books if we were to make more ambitious assumptions in the budget. far from that, we maintain the conservative posture that is important to making sure that we have a budget that people can have faith in, have confidence in. >> political analysis of just the other reason that a lot of upside risks here, and that looks good going into an election next year. david: $106 billion is the budget deficit that is expected. do i need to be worried about

inverse paul allen is there >>

paul allen joins us with the details. we also had the ceo being named. ng so far. paul: it has been quite the morning for the gaming stock in sydney. it is nonbinding. right at about $14 per share. star says it is offering 2.68 of its shares for each share. that values to 14 per share. crown has been beset by all sorts of problems. it has a casino on the waterfront which it cannot open because regulators refused a license after acting -- after accusations of money laundering. the star bid is an elegant solutions to all of that. star saying it has a track record of operating casinos. and by emerging, it would create combined casino giant worth $12 billion. we have blackstone, which interestingly previously partnered with star to win over crown, going it alone in raising its own offer for crown to about $12 and 35 per share. kathleen: when you put it all together for us, you have all these things happening at once. investors want to know, where is this likely to go next? is this it? you think blackstone steps aside and says it is over for our bid or which b

let's bring in paul allen for the latest on this. get to this trial, tell us about the background on this case and how it ties to the relations we have seen between canberra and beijing. paul: while here, he did write a lot of articles pushing for democratic reform and was known for criticizing the communist party for corruption and for its policies as well. he was taken off the plane in one show and has been in detention ever since. china has not explained how dr. yang committed espionage and given no evidence against nor for the charge, and in the current environment of strained relations, it is hard to escape the political dimension to this. human rights groups have called this an attack on freedom of expression. we see the australian ambassador approaching the courthouse today. he was denied entry, saying it was because of covert restrictions. that trial is going to happen with nobody present, not even family members allowed, and the criminal justice system, trying to have a 99% success rate. haslinda: what sort of assistance has

paul allen joins us with more. ground on this case and how is it connected to worsening relations with china? paul: he is a chinese citizen, became a citizen in 2002, and used to work for the ministry of foreign affairs per been in australia he criticized economic policy and corruption in stock -- inside the chinese communist party. in january 2019 he flew with his china and has been in prison ever since. the foreign minister said china has not said how the doctor committed espionage. there is no evidence for the charge. in the current context of strained chinese-australian relations, it is hard to ignore this. human rights organizations called it an attack on freedom of expression. the trial is due to begin today behind closed doors. he is not allowed family members present. china's criminal justice system has a 99% conviction rate. things do not look good for dr. yang. >> no doubt families and supporters of the detained journalist will be watching keenly. i am wondering what consular assistance australia has been

i am paul allen in sydney counting down asia's major market open. >> good evening from new york, i am shery ahn. more pain for bitcoin balls courtesy of elon musk. paul: a blockbuster deal in the entertainment industry. bloomberg learns at&t is in talks to spinoff the media business and merge with discovery. shery: more australians are returning home firing up demand for property and jobs. on wall street, we are seeing u.s. futures unchanged at the moment after rising on friday. we have seen the nasdaq 100 outperform the broader index, perhaps a suggestion the recovery may be gaining momentum. deputy i still above $65 a barrel. bitcoin losing ground after elon musk's tweet. you can see retailers are in the earnings spotlight this week. walmart reporting on tuesday followed by target, home depot, and macy's. what's out for cisco because we want to see the impact of the semiconductor shortage which may be upsetting improving corporate i.t. demand. we have breaking news. they are offering hong kong ipo shares at up to $43.36 hong kong each. this comes as the $3.5 billion ipo is set with

paul allen joins us. do we see enough strength in the recovery? ere was some encouraging sentiment in the r.b.a.'s last quarterly economic update. the hiring remains strong, discovering sentiments investor intention it is relatively strong as well. we'll have first-quarter gdp numbers out this week as well that is expected to showing ongoing growth of 11.1% on quarter. wages growth is really going to need to pick up for the r.b.a. to hit its inflation target of 2% to 3%. currently well below that. the governor has signalled july will be the month where discussions begin about the three-year target, whether to push it out to november 2024 from april 2024 and the future of the bond buying program. if that's correct, well, maybe it expects this discussions and messaging to start today that would certainly follow the pattern from central banks we have seen in canada and new zealand. covid, we have that outbreak in victoria at the moment that could persuade the r.b.a. to keep conditions a little easier for a little longer and that's probably one of the

paul allen joins us now with more.ld see the full impact of the removal of the job keeper program. >> april was a big month. the subsidies got removed. we can see the on employment rate is expected to stay steady at 5.6%. that is back to where we were before the covid outbreak. the treasury last week forecast a loss of jobs. that's a huge improvement on the same prediction six months ago which thought around this time we would have up to 150,000 jobs lost. instead, we have another chart to show you that shows 20,000 jobs being created in the month of april. job numbers are key from the rba. that was sparked wages growth and inflation. in july, we have a pivotal meeting when there is expected to be a conversation about whether or not to move the three year yield target to november 2024 bond instead of april. shery: the government unveiling its budget later today. what do we expect? >> the deficit is not expected to be as bad as expected. the treasury in new zealand updated its forecast a couple of weeks ago. it's less t

haidi: paul allen in sydney. here's a check of the latest business flash headlines. federal reserve is said to have warned deutsche bank about compliance failures. it came in an annual assessment which signaled the bank is adhering to confidential agreements aimed at fixing its risk-management management practices. we are told deutsche bank's top executives are bracing for potential sanctions. the nikkei news says japan is considering changing rules next year. discussions between regulators and governments is set to begin in the coming months. generation next, we will hear exclusively about the internet's value and paving a path in taiwan's tech industry. plenty ahead. this is bloomberg. ♪ vonnie: you are watching daybreak australia. covid infections in india have fallen to their lowest level in more than six weeks. the latest government data shows nearly 174,000 new cases taking the nationwide total to 27.7 million. reports of death remains below 4000. residents in wong joe have been ordered to stay home to detain a coronavirus outbreak. cctv reports it stems from i

i am paul allen in sydney and we are counting down to asia's major market open. shery: good evening from new york. paul: the top stories, asian equities may drift lower to start the week with inflation concerns resurfacing. india's ruling party trails in the key state election as the virus crisis worsens. the australian government defends criminalizing citizens returning from the country. plus, warren buffett admits sure hathaway could have done things better after an ill-judged sale of apple stock. shery: we are seeing u.s. futures gaining .25% at the open after they dropped from record highs last week. they trimmed their biggest monthly advance since november. we did get broad beats with earnings results in for more than half of the s&p 500 companies. we are seeing u.s. futures gaining .3%, while wti futures really not doing much after posting again in april of more than 7%. take a look at some earnings coming up. it is a massive week. some pandemic names to watch. moderna, pfizer, uber and lyft also reporting. hilton hotels. names like wattana and activision bl

paul allen joins us now for more. australia now has three vaccines. is potentially change the situation when it comes to the very slow vaccine rollout? paul: potentially it could. it is hard to say when the moderna is going to get rolled out. first it needs approval here in australia. moderna has not submitted their application yet. they said they will do it shortly. if you take novavax as a guide, shelley has ordered 51 million doses of that vaccine, but approval delays mean that might not be delivered by september as hoped. so these things do take time. but once it is approved, moderna will be a third vaccine alongside pfizer -- or zeneca. astrazeneca of course is locally produced. moderna is mostly produced in the u.s. moderna is in talks with the government to look at potential local manufacturing opportunities here, but that also would take time potentially up to two years, because there is no local manufacturing capability in australia for mnra vaccines. shery: you mentioned the speed of the vaccine rollout in australia has been criticized for be

shery: paul allen in sydney. plenty more head on the impact of india's virus crisis. former rbi governor and a professor gives us his thoughts in about two hours. we will also speak with the newly appointed member of the world health organization science council and the next hour. for now, let's get over to vonnie quinn with the first word headlines. vonnie: the world's largest vaccine maker is promising to deliver 220 million shots to vaccine starved india over the next few months. that is enough to cover 8% of the country's population. it is said that the government will receive 110 million doses of covid shield, while state governments and hospitals will get the rest. india has been struggling to curb its covid crisis. confirmed coronavirus cases in the united states rose at the slowest pace since the start of the pandemic. data from johns hopkins and bloomberg show a 1.07 percent gain for the we it just ended, below the previous low of 1.25% set in march. new infections increased by about 344,000 last week. the european commission is proposing easing restrictions

paul allen in sydney with the latest on the vaccine rollout of the virus situation here.nternational monetary fund is expressing to accrue $650 billion in new reserves by the end of the quarter. developing nations behind the pandemic quarter -- but henan -- pandemic recovery. they're also working to improve the transparency of how it is used. she was speaking to david westin. >> what you recognize, is that we are not going to see full economic recovery until we are out of the health crisis. and we asked the question, what would it take to vaccinate the world population by the end of this year at the level of 40% and by mid next year at the level of 60% that would bring the acceleration of recovery everywhere? the answer is, one, we need to inject upfront financing in covax. this is the facility that helps developing countries bring vaccines to their people. we have to fund it. now. not make commitments for the future. we have to get countries with access vaccines to make, now, a commitment to release what they don't need for their own people. so it can be integrated in va

paul allen joins us with more. what details do we have?came fast this morning as the offer from star for a merger with crown values crown at $12 billion australian dollars, nine point $4 billion u.s. dollars. it is nonbinding and there would be an alternative for investors to take the $12 50 forced -- for some shares and the offer would be 25% at the -- of the value of crowns issued share capital. if the deal goes ahead it would be an elegant solution to all of the problems facing crown at the moment. it has been unable to open the gaming floor of its glittering new casino on the sydney waterfront because of an inquiry that found evidence of money laundering, links to organized crime and other issues of wrongdoing. there are more inquiries coming. in the other states crown operates, it is licensed but it could be at risk. star, its major competitor, says it has a track record of operating casinos in sydney and brisbane and the coast. combined, they could create a casino giant and australia with $12 billion. rishaad: they have a long ways t

shery: paul allen in sydney. we break down the big budget after it is released. shadow minister joins us tomorrow. we will speak with jill sheppard. coming up, we look at why amazon has borrowed more than $18 billion it does not need through its biggest ever bond sale. the details ahead. this is bloomberg. ♪ shery: amazon has borrowed more than $18 billion through a bond sale. it is the company's first debt offering in over a year and its biggest ever bond sale. let's bring in kriti gupta. the big question seems to be why is amazon doing this now. give us the details of this offering. kriti: 18.5 lien dollars. that is how much amazon is putting into or selling -- how much bond they are selling. they are an investment grade company. they also do not issue that often. the last time they did was with a 10 million dollar offering. that was back in 2017. scarcity is a factor. not only are you seeing a high related company, but you are seeing them issue a really big amount. that does not outweigh the demand. you saw some of their pricing come in at 115 basis points ove

bill gates along with paul allen started microsoft and game wildly rich.he sold much of the company stock and started the cascade investment companies and owns part ownership in companies in energy and real estate and the bill and melinda gates foundation, one of the biggest philanthropy organizations worth $100 billion. the foundation released a statement saying they will continue to work together to shape and approve foundation strategies, advocate for the foundation's issues and set the organization's overall direction. they have two daughters and a son, 25, 21, 18. they said years ago they plan on giving away 95% of their wealth. >> bill: thank you, dan. a lot of cash. thank you, dan springer in seattle on that. >> dana: the fight against teaching critical race theory in schools a spreading across the country. in dallas to candidates critical of the curriculum were elected to a local school board. in washington, d.c. republican senators are pushing to forbid schools from teaching it. the president of take charge, minnesota joins me now. dr. ben carson

paul mention? the son or allen weisselberg? >> i think it's the lower level people. this is six months period and it's a very important period. prosecution with the grand jury system in new york is very different than the federal system. if you put a witness in the grand jury in new york you immunize them. it makes it difficult. you have to work around the edges in a much smarter way. they don't have the same levers of power when using the grand jury system in new york. this isn't surprising at all. he's been doing this for two years. now he's got the tax returns. we have pretty open process about the pressure. this isn't surprising news. it's a big step but he didn't mean for sure anything until we go through the process because the new york process is so different for the federal process in terms of grabbing evidence and flipping people and moving within the system. it's very different. >> flipping people that we know that eric trump has been interviewed, tim. >> under oath. >> under oath. yeah. we know that mr. weisselberg has been interviewed. you talked about th

paul manafort. over the last five-plus years. alleneisselberg is someone who is kind of stayed in the background when it comes to trump organization in general. how does that change the dynamics for him being a witness? >> well, yeah. sorry to step on your question there, yasmin. >> no, go ahead. >> it's a different witness -- it's a different witness from a media perspective. the folks you named, like manafort and stone and cohen are all sort of high-profile semipublic figures and you hear them a lot and you see them a lot. weisselberg is different. he's an insider. he's the quintessential insider. but from a prosecutor's perspective, from a prosecutor standpoint, he's a very typical witness. he's the numbers guy. he's the cfo. he's been with the trump organization for a very long time. the trump organization, by the way, is quite small. they don't have a lot of personnel. and so, if you want to figure out what's going on inside the trump organization, this is exactly the kind of person you would want to talk to, and so for an investi

and, so, you could build a really strong case against an allen weisselberg and still the person wouldn't flip. look at paul manafort. look at roger stone. they could hold out for a pardon. that is no longer a power that donald trump has. and he does not have the power to fire the prosecutor. so we are in the usual situation of investigating somebody who has the power to pull the plug on the entire investigation, as well as our boss was somebody appointed by the president of the united states. all of that -- >> did that affect you guys? >> i'm sorry? >> did that affect you guys? >> yeah. well, certainly the power to pardon and i think the power to fire us also affected us. so i think both of those are powers that i think are really being important powers that are very unusual in any criminal case that dan, neal or i have ever been involved in. and now trump is just like any other person who is subject to a criminal investigation with no ability to control the prosecutors or to control the witnesses. >> and daniel, who can fire cy vance? >> well, theoretically the voters or in some cases, rare cases the gove

allen weisselberg since the day trump took office. what's different now that trump doesn't have the ability to protect him, or if he did get in trouble pardon him a la paul manafort and roger stone? >> i don't think -- he obviously federally had that ability when donald trump was president. he didn't have the ability at the state level to pardon anyone because federal pardons don't apply to state cases. i think the main difference, steph, is we basically have two offices that are really ratcheting up their investigation by all public accounts. but it's a fair question to say where were they for the last four years? but all signs are that the drumbeat seems to be getting a lot faster when you look at who they're adding to their investigations and the information that is slowly creeping out in various ways about what they're doing. >> haven't we been saying this for five years? >> i agree. i'm not sure five is quite right. a lot of people think if you're in the real estate market in new york, as donald trump was, there are probably some shenanigans and things the new york attorney general was looking at from a civil perspective but you get the sense now th

paul and spice. then it's dj d-nice and ne-yo, followed by g-eazy. and time to kick it up with a little lady a. >> let's do this, america. >> reporter: jimmy allen andboy and weezer, and the party doesn't end there. get ready for our friend, mr. 305, pitbull. >> good morning, america. >> reporter: then it's time for the wallflowers, glass animals, and leon bridges. and we're not done yet. ♪ we have tinashe, sebastian yatra, sofia carson, and did we mention -- ♪ if you close your eyes ♪ we're going big with bastille, and the incomparable cheryl crow. and palouma. the "gma" summer concert series sponsored by caesar's rewards. i mean, is that good or what? and we still have a few surprise performances we're not ready to share just yet, but trust me. there are amazing concerts coming your way. you can keep up with our summer concert series and the schedule for it on our website, goodmorningamerica.com. with that, i send it back to you guys in the studio. >> that is a packed summer. >> monica, our booker, has come through. i mean, crossing all the genres like that. >> fantastic. look forward to that. we'll be right back. >>> "gma's" summer concert >>> "g