i'm sophie kamaruddin. this is bloomberg. rishaad: still ahead, tesla shifts up a gear with results that smash expectations. can those numbers be sustained? yvonne: plus, pressures on emerging markets. hsbc's andre de silva continues our conversation. this is bloomberg. ♪ david: the big story this week has been measures put out by china and a lot of the problem is confidence within the private sector, which is why you are getting them to encourage banks to lend more. the top handle shows shadow banking. the crackdown on that and it disappeared as far as growth. then you had sentiment push lower. the question is, do we get that consummate or pickup in local --b -- debt,at e or is the banking sector designed to service the private sector in china? have a look at this chart. it sets up this conversation, where it needs to go when it comes to the chinese mainland. yvonne: let's bring the question to andre de silva. you look at the woes we have seen in the private sector in china. do you think structurally, the banking sector can'

sophie: i am sophie kamaruddin in hong kong. we are counting down to asia's major market open. ♪ haidi: these are the top stories we are covering in the next hour. more signs of a slowdown in china. industrial profits declining for this consecutive month. october cannot and soon enough for some. -- end soon enough for some. the dow and s&p close to correction. brazil takes a sharp turn to the right. crime and corruption dominating the campaign. shery: let's get a check on how markets closed. saw a lot of pressure for equity markets with the dow falling 1.2%. and the s&p 500 very close to that corrections territory from a september high. the nasdaq already in correction territory, down 12% since july, since august rally. the 10 year yield was under pressure. we saw the rally and spike continue in the last week, the biggest weekly decline in yield when it comes to treasury yields on the 10 year since may as we saw that fly to save havens. look at the markets, because they also had a tough week. we saw the fifth consecutive weekly

here is sophie kamaruddin. : we're seeing marginal gains for aussie stocks today, uplier rising by 2% but now less than .10% as we see that weakness come through in utilities and industrials by gains are being led by health care and tech shares along with financials. the benchmark does remain in correction territory with the asx looking the most oversold since 2013. looking at some of the movers for the benchmark, go producers under pressure after gold corp. fell after posting a wider than expected loss for the third quarter. butstock was cut to neutral we do have the mining equipment provider gaining ground, helping to lead gains of nearly 8%. i want to highlight anp, which is recovering from the loss we saw yesterday. thursday's plunge did see the stockpile to a record low, falling the most in 15 years. sellis the deal to australia's life insurance business and it was seen as costly and complicated. it's the second worst performer on the asx 200 in 2018. it has been a fairly rough year for the stock amid revel

haidi: sophie kamaruddin checking the markets in hong kong. let's get you first word news from new york. jessica summers. budget deficits. grew to a fraction under $780 billion, in donald trump's first full fiscal year as president. higher spending made at the biggest shortfall since 2012. the budget gap through september was 17% wider than the same period a year earlier. spending rose more than 3% while government revenue rose. citigroup believes china no yuan to the seven dollar as a psychological redline that must be defended. beijing has run to accept the currency may rise or fall and the threshold no longer applies. they have been under increasing pressure. ae pboc said us -- made series of weaker fixes. italy's populist coalition managed to pull together a last-minute budget that will allow it to fulfill costly election pledges, but it may threaten confrontation with the european union. tuesday is deadline day for your resume shares to submit their budgets and brussels already raisingthem about the deficit. north and south korea continue

i'm sophie kamaruddin in hong kong, welcome to "daybreak: asia." . --i'm shery ahn. m sophie kamaruddin in hong kong, welcome to "daybreak: asia." . haidi: our top stories this thursday, asia-pacific stocks set for small gains after wall street edged higher. the dollar pushing the yen to its weakest this year. the boj's latest estimates as gdp outpaced potential in the second quarter. the banks may prepare to further reduce qad. shery: critics with calls for a pragmatic brexit. theresa may told conservatives she can deliver a good deal. treasury yields weighed on stock markets in the u.s. let's see how things are shaping up in asia. we have yields on japanese bonds and aussie bonds gaining. sophie: bonds very much in focus with benchmark treasury yield at 2011 highs. jgb's have climbed to 14.5 basis points. the 10 year yield, which on august 2, we saw the doj come into the market to buy bonds to contain that rise in yields. we are looking upon buying operations in about one hour. the 10 year yield is being jumped by almost nine basis points this morning. it has taken

sophie: i'm sophie kamaruddin -- at bloomberg world headquarters in new york. kamaruddin in hong kong. opene counting down to the of major markets. here are the top stories we are covering over the next hour. a secondks come down day with the s&p in its longest slide since 2016. its best gain in two years.

sophie: i am sophie kamaruddin. we are counting down to the major market open. haidi: here are the top stories we are covering. saudi arabia house to retaliate s a range ofweigh punishments for the missing journalist. considering a range of policy moves in china, including a worst-case scenario. the bank of japan governor tells bloomberg and a shift in the could rate will -- topix signify retreat from stimulus. shery: we saw u.s. stocks getting the most in six months, tech driving most of the strength in u.s. markets, the nasdaq seeing as best day and smart. seeing the s&p 500 being led by tech and consumer discretionary. we did get more easing of trade tensions between china and the u.s. but also corporate earnings getting kicked off by these banks. we saw mostly positive results. s&p 500 earnings have these in the past five years. the focus is on what will happen in the next couple of weeks p.m. we saw the 10 year treasury yield gaining ground for the first time in three days. given the magnitude of the selloff, we have to know when it comes to the dow and the

here is sophie kamaruddin in hong kong. sophie?e: midweek, it looks like asian futures are pointing to a mixed session in the region with the nikkei 225 looking at its first drop in four sessions. this as the yen is trending above the 114 handle. we do have some markets off-line today, but india is coming back online after the tuesday break. in sydney, aussie shares could snap a two-day drop. keep an eye on -- the bloomberg commodity index rose to a three-month high. shares in wellington could extend losses for a third straight session. home price inflation slowed to an 11-month low. softer employment growth. themes,comes to carmakers very much in the spotlight. it was a hard month for ford. that was the case for japanese carmakers as well, as they saw u.s. sales decline for the month of september. we are keeping and i on mazda -- an eye on mazda as it plans to get into the ev game. optimize operations in light of the nafta deal. haidi, after the rba held on rates as expected, the aussie slipped below 72. you can find this in the g

sophie: and i am sophie kamaruddin in hong kong. welcome to "daybreak asia."ing the reserve ratio a fourth time this year to support the economy amid a worsening trade work. returning from the golden week break. a spat between asia and beijing. brazil votes in a divisive election. the right-winger is the first ro

sophie kamaruddin in hong kong. breaking news crossing the bloomberg. president trump's lawyer says they have dismissed the stormy daniels lawsuit on the back of lawyers for the president asking a los angeles federal judge a couple of months ago to throw filed by stormy daniels. the argument was about the alleged 2016 tryst in her book not was published that it longer makes sense for them to keep fighting in court over this $130,000 hush agreement she signed prior to the 2016 election. president trump's lawyer saying the judge has dismissed the stormy daniels lawsuit. coming up next, china is australia's largest trading partner, but relations have rarely been more strain. what it may take to save this economic relationship. this is bloomberg. ♪ shery: welcome back. i am shery on in new york -- shery ahn in new york. haidi: i am haidi stroud-watts. china has issued a warning to australia. they say australia should not be led by the nose by washington. let's look at the difficult situation canberra finds itself in. the former premier of the state of victo

sophie: and i'm sophie kamaruddin in hong kong. recounting down to asia's major market opens. ♪ shery: here are the top stories recovering in the next hour. tumultuous day, all major averages rose more than 1% and the dollar strengthened. the s&p 500 twice erased strong gains before rebounding in the final hours, down 8% this month. still flirting with a correction. baidu shows further evidence of a slowdown in china, sales and revenue forecast falling short of expectations. that's the you started with a quick check of our markets close in the u.s.. we saw that high volatility during earnings season, the dow gaining 1.8%, reversing two sessions of losses. the biggest jump into weeks, but we saw mixed bag of earnings, ge's sinking to a nine-year low as well as under armour surging on the earnings report. the s&p 500 up 1.6%, but a lot of volatility in the session, twice erasing earlier gains. also on track for the worse month since february 2009. the nasdaq still in correction territory, 12% below the august i, but rising 1.6%. take

sophie kamaruddin?e: caution could be the name of the game for asia as we are facing a mixed start. 114,en has reached 1:14 -- but defensive stocks have been driving gains this year in tokyo. retailers, drugmakers, and the like -- futures pointing higher for stocks in japan. the kospi could be off to a softer footing this morning. we did get a read on business confidence rising to 78 in september, but staying below the 100 reading, which indicates estimates outweighed the optimism. over in new zealand, we do have stocks extending gains for a second day, potentially. you look at the kiwi dollar, it is under pressure this morning, , afterlow 66 u.s. business confidence fell to a nine-year low. kiwi traders will take heed of the annual report that came out this morning, which follows the treasury, saying the outlook for third-quarter growth remains solid. i want to take a look under the hood of your recent japanese stock rally, the nikkei 225 to a 27-year high. you can find this chart in the gtb library. n

sophie: i'm sophie kamaruddin -- at bloomberg world headquarters in new york. sophie: i'm sophie kamaruddin in hong kong. opene counting down to the of major markets. here are the top stories we are covering over the next hour. a secondks come down day with the s&p in its longest slide since 2016. its best gain in two years. and president trump keeps up his attack on the fed, saying he knows more about monetary policy than jay powell's team does. let's get a quick check of the major averages and how u.s. docs closed -- stocks closed in today's session. the longest losing streak since president trump took office. falling more&p 500 than 2% for a second consecutive session. the s&p 500 breaking through that 200-day moving average. the nasdaq fell 1.25%. we had energy stocks leading the sectors down, as we saw crude just sink on risk off sentiment. the volatility was high. levelx surging past 20 and gaining ground for a sixth consecutive session. take a look at what 10-year yields were doing as they were again under pressure today. we saw it at around 3.15%. we saw

shery: sophie kamaruddin, thank you so much.nomy grew more thely than expected during third quarter. construction and facility investment declined, exports continue to grow. kathleen hays joining us now. any time we see some weak data, we go to first is it because of the trade war? exports seem to be doing fine. kathleen: they have slowed, but i think it is important bloomberg economics, even ahead of this release, we pointed out that last year in this quarter, south korea gdp growth was 3.8%. when you look at it year-over-year, you get a slowdown from 2.8% to 2.0%. to 0.6%.w from 0.8% if we look at what's happening in korea, it's not so much that exports. i want to show you one of the charts. if you look at the year-over-year number, down 8.2%. in this third quarter, experts -- exports did add. these were still well into the green. you had a pullback, maybe that's a one-time thing. there are also questions about the labor market, just how strong it is. the bank of korea said it may keep hiking rates. there may be another rate h

here is sophie kamaruddin. sophie: that wall of worry continues to mount.may be looking more attractive. take for example the record slump in tencent. we have some news lines to chew on today. machine core on the upside in japan, along with a firmer yen on a four-day gain. we are watching moves on softbank, set to take a majority stake in weworks. tech shares may play catch-up. sydney stocks are fluctuating with utilities and financials dragging. navitas is soaring on a buyout offer. kiwi shares could clock in an eighth day of losses. looking like a mixed start of the session. haidi: let's get you the first word news with jessica summers. hasica: president trump renewed his criticism of the fed, saying policymakers were moving too fast with a rate hike. he dismissed concerns about inflation, repeated his liking for low rates. jay powell remains on course for gradual tightening, with markets expecting another hike in december. president trump greeted december's increase by saying he wasn't happy. a major u.s. telco is said to have found to have manipulated h

rupiah i'm sophie kamaruddin in hong kong.o "daybreak: asia." ♪ haidi: our top stories this friday, asia-pacific markets set for a rough end. february.week since there are signs of stability in hong kong and china. u.s. stocks falling a second day. the s&p 500 in his longest lull. golda seeing the biggest gains in almost two years. keeps president trump jabbing the fed. he says he knows more about monetary policy than their team. singapore,over to because we have breaking numbers on gdp figures. by 2.6%e economy grew on a year on year basis in the third quarter of 2018. that's beating expectations it would grow 2.4%. still, it is a slowdown from the previous quarter of 4.1% growth. toalso see that on a quarter quarter basis, the economy expanded by 4.7%. the estimate was of growth of 5%. faster than the previous quarter growth of 1.2%. what is really interesting is we are getting the latest headlines from the monetary authority of singapore. they have their semiannual policy meeting. they say they are increasing the slope of t

let's get a check of -- with what's happening with sophie kamaruddin. gains for the fist straight day for the asx 200, higher by .4%. materials in tech shares in pole position and will worth leading aboutvance, the stock up 1.5% after posting its first quarter update. food sells rising 1.8% for the first quarter. when it comes to other segments under pressure, real estate up by about .4%. this as australia's housing slump in her's its second year with buyer caution pushing prices lower in october. i want to highlight some of the gainers, corporate travel slowing back some losses after sinking 27% yesterday. earlier opening 10% higher after raising its guidance and casino operator star entertainment on the rise after's trading update. domestic business showing good momentum, and bhp jumping by the most in two years, up 4.4% after announcing a $10.4 billion share buyback in a special dividend after completing sale of its onshore shale assets. weakness for gold miners as prices take a not from the dollar rally. the likes of northern star up by about 2% this

get over to sophie kamaruddin in hong kong. stocks are looking next, but we have a cocktail of catalysts that could weigh on sentiment among the renewed fears over tariffs and the yen holding the worst loss in two weeks. , and theeing gains aussie dollar along with the kiwi up by 0.2% even after we got that miss in australian building approvals. on a yearly basis falling 14.1%. that is compared to the 9% drop anticipated for september. we are seeing that mood reflecting in product makers in sydney. we have james hardy sliding in sydney. the asx off by 0.2%. the nikkei gaining ground and the kospi fluctuating after falling below 2000 points. it breached that level on monday for the first time since december 2016. losses may prompt regulator to see further measures to stabilize capital markets. the chairman did hold an internal meeting this morning. taking a look at some stock movers across the region. most since march 2015, sliding more than 12%. consumer and tourism stocks continuing to slide after we got results yesterday. the

haslinda: i am sophie -- kamaruddin. sophie welcome to daybreak asia. haidi: our top stories, asia-pacific stocks for a 5th street decline after wall street fell to a three-week low, oil dropping the most in three weeks. sophie:: the sec the short seller enrichment commission and a big hacked. china planted chips into service, creating a stealth doorway into u.s. check. shery: breaking news, south korea's inflation numbers coming in. we are seeing the cpi year on year for the month of september accelerated more than expected, growing 1.9% instead of 1.6%. much faster than the month of august. we saw a slowdown in inflation numbers. month-to-month also up 0.1%. cpi core year on year 1.2%, faster than estimates for the month of september of 1%, accelerating from august. -- they are still a ways off from the inflation targets. we heard the a-ok governors saying south korea should manage -- and the bok governor saying south korea should manage, but there are signs there could be more rate hikes ahead. the rate in south korea is 1.5% and acceleration acceler

haslinda: i am sophie -- kamaruddin. sophie welcome to daybreak asia.top stories, asia-pacific stocks for a 5th street decline after wall street fell to a three-week low, oil dropping the most in three weeks.

. >> and i'm sophie kamaruddin in hong kong. welcome to "daybreak: asia." >> our top stories this wednesday, asia-pacific stocks set for a mixed start after a volatile session in new york. saluting america's extraordinary economy, saying low unemployment should not start a rising inflation. and tesla shares headed south. >> let's get a quick check of how markets closed this tuesday session. it was a mixed session in the u.s. we saw the dow hit a record high, but the s&p 500 lagged. we had sales reports. the dow just grows higher because of those trade sensitive stocks like boeing and caterpillar. still there was divergence between these multinationals and small caps. we saw the russell 2000 fall. let's see how all this is shaping up in asia. here is sophie. >> asian futures looking mixed. [indiscernible] nikkei pmi's expected for japan and singapore. the nikkei could be set for the first drop in four days. looking at a third day of losses potentially. checking in on some currencies, we have the yen retreating to the 114 handle a

and i'm sophie kamaruddin in hong kong."daybreak: asia." ♪ paul: our top stories this thursday, u.s. stocks rallied a second day to close out on an upbeat note. the dollar added to a 60 month high. asia-pacific markets poised for muted start to november aft

sophie: i am sophie kamaruddin. welcome to daybreak asia.ories, asia-pacific markets facing a mixed start at best, their worst month in the decade seeing the dow and s&p 500 close close to correction. signs of a slowdown in china, industrial profits declining for a fifth consecutive month in september. shery: a right-wing candidate sweeps to victory in brazil after a campaign dominated by crime and corruption. most asian stocks are gaining ground in early trading session despite the fact that u.s. stocks fell in the last session on friday. let's see how things are shaping up. week, asianr last stocks are looking mixed. the nikkei 225 said to snap a two-day decline. sales coming in with expectations falling on the monthly basis for september but that is not really the optimistic we are seeing this for. august -- aussie shares are getting shares -- ground. and the kospi is up .1% after the benchmark fell into bear market territory. we have had is appointing third-quarter earnings and sentiment, along with prospects of a bok rate hike. we have

inhie: i'm sophie kamaruddin kuala lumpur. welcome to "daybreak: asia."ry this wednesday, asia-pacific's stocks off to a -- tencent is one to watch in hong

i'm sophie kamaruddin. this is bloomberg. ♪ smiling crown prince mohammed opened the summit.ozens of executives and for dignitaries dropped out. trump says it is appalling. >> the cover-up was one of the worst in the history of coverups. the bad deal should have never been thought of. somebody really messed up. they had the worst cover-up ever. --re it should have said. should have stopped was at the idea. whoever had that idea should be in big trouble. rishaad: let's go to austin, texas. present almost as if handed -- president erdogan was handed a gift. it actual terms, the crisis seems to be dying down. we have not seen any political breaks with saudi arabia. everyone is realizing that the isolation of saudi arabia could be quite dangerous. at this point, everybody is shocked at the murder, but the basic geopolitical reality stays in place. erdogan may pick up some points , but hegainst salman seems likely at this moment to be surviving the crisis. haidi: you think things are dying down. we heard from the speech, president erdogan is adding pressure. president trump facing

so much, sophie kamaruddin.et us get to the details for what could be a short-lived bounce back in tax. earnings from twitter, microsoft and the tesla helped the s&p 500 erased most of yesterday's losses. there were some less than stellar numbers. keenan has the details. expectations were pretty high in the first place, one they? su: yes, but they did not manage to erase all the losses of the week and the s&p is still on track for its worst monthly loss years. take a look at the returns, what we can shape is where that strength was, at least in this most recent trading day. what we have is a lot of green on the screen. 10% gains for amazon and microsoft, the big movers. what i could tell you about international paper, and grab attention because -- if we could see the movers of the day -- talked about tariffs, saying that they were reporting as much. damage as had been expected. investors like that. looking at the other movers, you also had microsoft with big gains and twitter up in a big way as well. what someoo

sophie: and i'm sophie kamaruddin in hong kong.own to asia's major market opens. ♪ shery: here are the top stories recovering in the next hour. tumultuous day, all major averages rose more than 1% and the dollar strengthened. the s&p 500 twice erase

i sophie kamaruddin. this is bloomberg. yvonne: thank you. the u.s. is refusing to restart trade negotiations with china. beijing makes a concrete proposal to address the u.s. complaints about forced technology transfers and other economic issues. that's according to "the wall street journal," citing unidentified u.s. and chinese offensive -- chinese officials. rishaad: we speak of michael spencer from deutsche bank. it's just another one of these sell those, is it not? i think over the last few weeks, starting from mike pence's speech earlier, we are getting a broader perspective from washington about what it is they are trying to achieve. for most of this year, the chinese side has felt this was just about the bilateral deficit, and if we could commit to buying more from the u.s., this goes away. we are seeing now that there is a much more fundamental objective, which is to open the chinese markets to goods and services, to force china to adopt a much more liberal approach to foreign direct investment writer -- rather than requiring them through min

sophie: i am sophie kamaruddin. we are counting down to the major market open. are the top stories we are covering. saudi arabia house to retaliate s a range ofweigh punishments for the missing journalist. considering a range of policy moves in china, including a worst-case scenario.

sophie: i am sophie kamaruddin in hong kong. we are counting down to asia's major market open. are the top stories. -- reserve ratio in china amid the slowdown and worsening trade war. market focus is on china after the golden week break. japan closed

sophie: i am sophie kamaruddin in hong kong. down to asia's major market open. ♪ haidi: these are the top stories we are covering in the next hour. more signs of a slowdown in china. industrial profits declining for this consecutive month. october cannot and soon enough for some. -- end soon enough for some.

sophie kamaruddin with the latest. e prices are reflecting the closing of japanese and korean markets. we are seeing gains for the kospi and nikkei 225. the kospi not looking to enter bear market territory just yet. january earnings very much in focus. all the shares are stepping -- aussie shares are snapping a three-day decline. some stocks iin on want to keep on the radar. watching for machine makers. this after caterpillar's guidance disappointed. chipmakers in focus. this after texas instruments warned after slumping demand. this afterrising 2%, profit iny eked out a the third quarter. positivenalysts heard on the stock. haidi: let's get you to first word news with jessica summers. jessica: president trump has preferred the congress on -- deferred to congress on the death of journalist jamal khashoggi, switching the narrative to one of the worst coverups in history. secretary of state mike pompeo says the u.s. has identified a number of suspects, and washington is already taking action against them. the president sa

shery: adam haigh and sophie kamaruddin, thank you.o is staying focused on doing good global business in the midst of trade tensions. he told bloomberg american multinational companies need to think about empowering consumers around the world and earning their trust. >> i think about people and institutions people build and think about this globally. those are the three key things we think about when we say empowerment and empowering. being an american company, i say we are a multinational company and american. we are fundamentally dependent on and also proud of the american value, the trust in american institutions and value the world has. clearly that has served as well and even today it has served us well because our form of government, democracy, will the debate we have, our ability to be able to set an example for what is a place where a lot of people of diverse backgrounds can come together, have a debate and move and make progress i think is what makes america that unique. us being born in that culture gives us credibility. we c

. >> i am sophie kamaruddin in hong kong. welcome to "bloomberg daybreak: asia." >> our top stories, asia-pacific markets show signs of optimism. a tough october draws to an end with the yen trading around 113. strong gains for rebounding in the u.s., down 8% this month, all most flirting with a correction. despite rising costs in slowing too.h, user numbers rose let's get you the latest breaking numbers on the bloomberg right now. ,outh korea september industrial production dropping the most since 2009. industrial production month-to-month down 2.5%. this is after rising 1.4% in the last month in august. we are seeing that the drop in september was bigger than expected, estimate was a drop of 0.5%. year on year, drop of 8.4%. 2.5%,ber, after a rise of a much bigger drop than what was expected, around 5%. ofwas the biggest drop factory output for south korea, the most since 2009. there is distortion in the data we had the autumn holidays in south korea, and when it comes to the numbers for this month, we saw them rising about

sophie: and i am sophie kamaruddin in hong kong. welcome to "daybreak asia." haidi: china cutting the reserve ratio a fourth time this year to support the economy amid a worsening trade work. returning from the golden week break. a spat between asia and beijing. brazil votes in a divisive election. the right-winger is the first round favorite, but no outright victory is seen. >> let's get started with a check of the markets. on the friday session, u.s. treasury's continued to fall and yields continue to search higher , the 10 year yield popping 33.2% at the highest level since 2011. that puts pressure on equity markets. , thew the dow falling .7% s&p 500, every sector but utilities in the red as well. the nasdaq falling to the lowest level since august. of course, we had some jobs and data out as well, and there was speculation the fed will continue to hike rates. let's see how this translates in asian markets. sophie: japanese markets are off-line for another long weekend and treasury markets will be closed for the columbus day holiday in the u.s. korean futu

your sophie kamaruddin. reporter: japanese investors playing catch-up.ei falling nearly 1% at the start of the session overall. it looks like weakness is ahead for asian stocks which are set for a seventh day of decline. u.s. futures also nudging lower. excellence that helping sentiment -- overnight tech slumps that helping sentiment. stocks wellington, kiwi are the worst losing streak -- in the worst losing streak since august 2018. you do have the yet headed for a fourth day of gains rising to the strong is level against the dollar in nearly two weeks as tensions flare up between the u.s. and china. the offshore yuan setting above six. 92. -- 6.92. aussie bonds are nudging higher ahead of business confidence and data for september. oil trading near a one-week low as. -- that is how we are looking heading up for the asian session. word: let's get you first news that with jessica summers in new york. strained u.s.ady china relationships have taken a turn for the worse. bundlemike pompeo cited -- fundamental disagreements. he was there to break china on h