it is pretty much stable and ahead of that decision by the reserve bank of india, they tried to address sluggish growth , showingnomy expanding the weak us of growth we have seen since the beginning of 2013. to a central bank governors elsewhere, we are talking about kuroda and the first word news. with theng in japan prime minister has announced a massive stimulus package, dealing with a slump in exports. package is worth $239 billion, roughly half of the stimulus measure. they say it will boost growth by ..4 percentage points [inaudible] >> i think that boj should consider the impact of these policies. for surprise call producers. it would extend the current limit for your. the abrupt u-turn has left the oil market wondering what will emerge. did banks in new zealand are [no audio] blow to austrian banks which already have major financial challenges back home. the indian government said to be weighing the easing of lending roles and allowing wider access to funds. that is five levels below what is permissive under current lending rules. >> global news 24 hours a day, powered by more t

india is. so it looks like margaret -- markets are trying to portray itself ahead in terms of what the future holds. theaad: i want to move to reserve banka. there have been so many rate cuts that nobody can qualify what happened. what does the reserve bank do now. what about unconventional measures? what do you make of them? >> definitely the governor has moved in. -- it is the first of its kind in india. the -- fromdo with the banking sector to the oil sector. people are ascribing this to government bonds. that seems to be one of the key reasons why there is general apathy for the credit sector. along with the unprecedented move in india, there is an attempt to bring down -- between the government bonds. be hope is that there will with the lesser incentive to own these bonds, you start transferring -- i think this is theeat step in making signal for the yield curve to flatten significantly from the current level and we are seeing that happening as we speak. is this one and done or are we expecting more operation twist from the rbi? >> this did not, according to us, be a one stance. it will not achieve the desired outcome. this has to b

every economist in our survey expects a rate reduction from the reserve bank of india. how far the r.b.i. will go in just a few minutes. this is bloomberg. ♪ nejra: this is "bloomberg daybreak: europe." i am nejra cehic in london. manus cranny is in vienna. we will catch up with him again later. right now, we are awaiting a decision from the reserve bank of india and what is expected by every economist surveyed by bloomberg is a sixth straight rate cuts after the challenging gdp data we had recently. questions also being asked about what kind of forward guidance we are going to get and how much more we could actually get support from monetary policy. some asset managers saying unconventional policy measures will have to start to come in for the reserve bank of india. so we await that decision from the r.b.i.. meanwhile, bloomberg economics in its preview says the drumbeat really is getting louder for that easing on those gdp woes. they think the economy has slowed abruptly. the r.b.i. needs to make a deeper reduction to rates, dropping its baby step approach. juliette s

us and so clearly it's of a sensitive topic and in the current context if you see today the reserve bank of india the central bank in india who had back on raising rates rates further because of the price the onion prices and also the. rising prices of food items so clearly you see how sensitive it is and they will write expected to cut. that key interest rate to boost that they cannot make good in india but clearly they actually. were a bit cautious this time and right the power of the humble onion ashutosh panday joining us there from bonn thank you. japan's government has unveiled a stimulus package worth over $200000000000.00 once private spending is included week exports and a drop in consumption have put pressure on the world's 3rd biggest economy which already has a debt burden twice the size of its economic output. it's quite the cash injection $13.00 trillion yen that's more than $120000000000.00 if the sum the japanese government thinks is needed to kick start the economy the reasons for the move are manifold. the purpose is to accelerate recovery from natural disasters overcome economi

of units in china. yvonne: let's talk about india. stocks and bonds fell after the shock decision from the reserve bank of india to keep rates on hold.mberg opinion columnist dan mopping all of the continent -- danmark. all the conmen -- all the columnists we surveyed got it wrong. get itthe economists wrong art of the r.b.i. make the wrong move? if bank surprise, they like to go in the direction but observers are forecasting, but go that step further. it is not just that no economist surveyed by bloomberg got this decision right. isis that this decision contrary to a lot of the economic data coming out of india at the moment. a gdpast week, we had number showing that growth had slowed to 4.5% in the third quarter. little more than a year ago, those indian gdp numbers had an eight in front of them. india an economy like should not be growing at four and a half percent. i went to bring up inflation. we have a chart of real rates. we took the repo rate of the r.b.i. and subtracted inflation. is real actually see rates are about to fall below zero. if they cut 25, i had a look at the forecast for the inflation of november. this falls be

reporter: reserve bank of india says there is still room for more easing but much will depend on howion is timed. the rbis on aays current pause. policymakers are aware there is space for more action when the timing is important. the decision to hold rates this month surprised markets when india's quarterly growth slowed to a six-year low. body suing its former president and the ex of the european game michelle puccini over allegedly improper payments. those men deny any wrongdoing. they are already banned from any football related events until at least 2022. global news 24 hours a day on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. this is bloomberg. thank you. japan and south korea have agreed to continue negotiations on export controls. they sat down monday in a bid to resolve an array of issues to restrain times. what was reached at the end of the talks yesterday? reporter: yesterday, south korean and japanese officials spoke for over 10 hours behind doors. they announced they reached afterwards was somewhat disappoi

fraction and of course we have got that all important interest-rate decision coming out of the reserve bank of indiae cutting again. willoughby 25 basis point or 50 or somewhere in between -- will it be 25 basis points or's 50 or somewhere in between? particular piece of paper. but find out what is happening elsewhere and find out what is going on with the first word news. here is su keenan. su: thank you ve very much. we will start with hong kong and his business outlook. it worsened further in november with the purchasing managers index for the economy falling to its lowest since 2003. the data from ihs market that survey 400 private sector the gaugesaw the 38.5 is below the 50 level that divide expansion and contraction since april of last year. sticking with hong kong, brent in the prime shopping district will fall sharply in the coming year. it's predicting reductions of at least 15% for street shop spaces in key areas. as retail sales plunge amid ongoing protest. street level outlets, they charge the highest rent in the third quarter, beating 5th avenue and bond street in london. to australia.

reserve bank of india perhaps after last thursday decision not to do anything is seeing more and more baked in. as a result we are seeing yields backing up. 6.71% as some of those rate cuts which had been priced in are priced out. ok, let's move things along and have a look at the first word news headlines. and join su keenan. su: we're going to start with a rewritten successor to nafta, which was the u.s.-canada-mexico trade deal. it is being welcomed by house voted on, and will be next week. nancy pelosi praise to the changes from her party. saying the revised deal is better for american workers. the u.s. mca as the agreement is now known is seen as a political win for president trump as he heads into an election year. however, final approval from the senate is not expected anytime soon. youet me start by telling what will happen between now and the end of next week. -- won't happen between now and the end of next week. we will not be doing usmca in the senate between now and the end of next week. that will have to come up in all likelihood right after the trial is finished in the s

. >> i will watch the reserve bank of india. it announces its december rate decision.ming note, i will be speaking with senator elizabeth moran -- elizabeth warren. >> what's on the agenda? >> everything. taxes, health, everything. that's it for would you miss. >> bloomberg technology is next. ♪ ♪ >> i'm taylor riggs in san francisco. it this is bloomberg technology. coming up, a dramatic expert -- exit. is losing its ceo and cfo. this follows executives at google. the tech sector is saying a lot of goodbyes. national security risk, a u.s.

most people are staying with the reserve bank of india. it might be headed lower.: -- manus: thank you very much. dani, you are looking at the volatility gauges paired what are you seeing? dani: europe's volatility in the large-cap space is sinking. the vix is nearing single digits, at about 11. that is half of its level back in september, so this is nearing the lowest in two years just about, but the ominous thing about this chart is we have to keep in mind volatility in itself is mean reverting. the past two times, and dropped to that 11% level, we saw it spike up shortly after 1.2 years ago in january. that was a spike up to 35%, so some might be due for the new year, matt. dani burger out of london. niraj shah joining us out of mumbai. juliette saly out of singapore. thank you so much for that. let's get to the first word news out of beijing and selina wang. in israel, prime minister benjamin netanyahu fought off a challenge to his leadership. he won a landslide. he will lead it into israel's third election in less than a year. the challenge came amid a corrupt

we were expecting some type of rally from the reserve bank of india.ing about this omo plan. they are talking about bonds maturing in 2020 and buying 2029 paper. >> the citizenship test continue -- tests continue across india and rage against the citizen-based law passed by narendra modi's government. we cross to new delhi. what is the government doing to control the situation now that the protests seem to have a life of their own? >> the government has been quick to calm down on these protests. -- come down on these protests. one state is essentially under curfew. they shut down the natural in the capital of delhi. hong kong protests have been going on for many months, and authorities there have not touched the internet. it is unclear how further they will crack down on the protests. we are expecting more protests and counterprotests later today. the markets have shrugged off the demonstrations, with indian equities hitting a record high for the third straight day on thursday. yvonne: what is the anger behind the protesters? what is fueling this and t

banks in india buying u.s. dollars. not having that much of an impact. a little bit of weakness as we go above that 71 rupee level. was a room as the reserve says it will do more with monetary easing. it didn't help the bond market yesterday. a little bit of move to the downside in terms of yields. 6.75% on that, particular note. let's get you now to new york. the first word news. >> we will start in japan. japanese exports fell for a 12th straight month. this was in november. it confirms there has been little sign of a pickup despite indications of a slump in global manufacturing. the value of shipments abroad fell just under 8% from a year ago. it extends the longest running divide since 2016. the -- the wider economy is expected to shrink 2.5% this quarter. is philippine central bank investigating lenders that may have received funds using the westpac service that has been allegedly linked to money laundering and child explication. holderssays account could have received money sent by australians who are accused of child abuse. to india now. anger continues across the country in protest as the government defends the controversial law th

stable, a tad higher at the moment. 10 year yields, course we got an eye on that reserve bank of indias coming up and that terrible reading on gdp growth on friday, bond markets looking for further rate cuts, some suggesting as much as 50 or somewhere in between because we've had the government there do exactly that before. let's look at the first word news with su keenan in new york. kong,ing to start in hong chief executive carrie lam is urging further relief measures after showing the city straining under ongoing protests. retail sales plunged 24% from a year earlier. she also condemned u.s. as unnecessary and unwarranted. she said hong kong will follow beijing's lead on retaliation. to malaysia, the former ms. asian -- malaysian leader is back in court in kuala lumpur, defending himself against charges of corruption involving a unit of the 1mdb investment fund. there was a really last month that the prosecution had made a successful case against him. he's accused of accepting bribes worth $10 million. for improving estate guarantee of a long. production among opec members has falle

look at the indian 10 year yield best because the reserve bank of india on thursday decided not to cutt rates when virtually everyone out there thought they would. rupees for a dollar. juliette: bond trading adjusting to that shock. polls suggest boris johnson's conservatives will win a healthy majority unless brexit can find a way to coordinate against him. analyst joins us now from seoul. we saw a rally in sterling. what do we expect? the consensus is that -- the option market. risk reversals. we are seeing a bigger premium for the options. markets are positive on this. insuringheir bets and the options. the dollar.sus if it reaches 134, it could go quite quickly. levelte: the resistance you're looking at to keep the rally going? 132 is the may high. 134 is from march. if it reaches those levels, a quickly opens up the market quite a lot. to 136.o quite easily we will get an initial pop in sterling. look at the economic data next week. we will have economic information. even though you may have this week could, the be a could start boe sounding dovish. rishaad: david, thank you for j

of the new government. but the scenario itself and that , the risks we protect the system against, have not changed, they are just less likely. india,he reserve bankere is still more easing, but much will protect -- much will depend on how any decision is timed. the r.b.i. is on a pause. policymakers are aware there is room and the timing is important. the hold rate will surprise markets when the growth has slowed to a six-year low. app gojek's maga looking to own a top taxi operator. will payeen told gojek $30 million at a price more than 20% above bloomberg's monday closing jakarta. it would consolidate local teamwork as they face competition from singapore-based grab holdings. to australia where brushfires continue to burn in new south wales. dozens of properties at risk in mountains north and south of sydney. almost 2has burned million hectares. they were stoked by hot, dry and windy conditions. severe heat conditions for most of new south wales throughout this week. global news, 24 hours a day, on air and on quicktake by bloomberg, powered by more than 2700 journalists and analysts in over 120 countries. i am su keenan, this is bloomberg. >>

. >> india giving the reserve bank more reasons to cut rates and fiscal stimulus is already in the works. >> the first trading day of month. the final month of 2019 and it is a positive one. the nikkei is really leading these as we see the yen hold at a six month low. still at aydney are record. let's have a look at some of those move. this week it has been the japanese yen lower against the dollar. the korean won is higher. a 12 month contraction in terms of exports. wellw consumer prices as offering little wrist bite to the bank of korea. watching what's happening the new zealand bond market because we heard commentary from the treasury market saying growth is likely to be below their budget. these's take a look at indian futures. the negative story merger on friday. that was in the run-up to growth numbers which were meant to shock. futures are down again this morning. we did manage to end the last three trading days. the rupee at the moment is stable but it is losing a bit of ground. yields here at 6.46%. this is probably factoring in another rate cut from the central bank. .oreign a half percent growth the firs