joining us now is stephen engle. juliette saly has the latest on the market impact and mark cudmore is looking at the global impact. let me come to you first. bring us up-to-date with the spread of the virus. what are the numbers we need to know? >> chinese officials are not only trying to contain the virus, but also they are coping with lots of shortages, particularly in hospitals at the epicenter of this in wuhan and in hubei province. 90% of deaths have been from hubei province and the death toll has been climbing. we also got our first death outside of china. this was in the philippines. deaths,xceed one -- 361 an increase from the numbers i gave you on friday. the number of confirmed cases has jumped to 70,205, 75% increase from friday. 65%, are incases, hubei province at the epicenter. coping with the current prices and containing it are the biggest challenges for the chinese right now. matt: juliet, let me get to you. we knew this was going to be horrendous. we have been talking about it every day for the past

let's get the latest with our north asia correspondent stephen engle. the tragedy unfolds and the policy reaction is mounting. stephen: we have been talking of course all morning about the market response coming out of the holiday. but keep in mind, throughout the middle part of china, 14 provinces have extended their luminaire holiday by another week. this is a part of china that contributesan, but 69% of gdp, 90% of copper smelting. they are going to be on holiday for another week. the productivity at the factories will most likely be limited for another week. cutaw the oil shock, demand by 20% of output. is then the personal toll climbing. the death toll has increased by 69% from the numbers i had on friday. 96% of the deaths are from the epicenter. the number of cases has soared --17,000, an increase of increase from friday. nejra: stephen engle, bloomberg's chief north asia correspondent, and hong kong. coming up, ryanair posted a said it probably won't kick in for a year. this is bloomberg. ♪ bloombergs is "daybreak: europe." posted thirdr is quart

joining us from hong kong is stephen engle, bloomberg chief north asia correspondent. to look at today's market reaction, you would think this virus is now contained. is that the case? stephen: not necessarily. the markets did react to the downside. the csi 300 was down about 8%. there were more than 3257 shares that were limit down today, but they were playing catch-up to chinese markets after being on vacation since january 23. a lot has happened since that time. a number of provinces in china have extended the lunar new year holiday through the manufacturing heartland in china. numbers keep going up. we have 362 confirmed deaths in china and more than 17,000 confirmed cases, and that is just china. we are getting more cases in the united states, i think 11. hong kong just had its 12th case. the philippines had the first recorded death of a patient outside china. guy: today theoretically back to workday. the markets have reopened, as used adjusted. a big move to the downside. plus, the pboc injecting liquidity. is there expectation there will be more to come from the

manus: let's get to our chief north asian correspondent, stephen engle in hong kong. to see you this morning. can you talk us through the businesses in china and the response in south korea? stephen: first of all in china, the directives from the top, xi jinping says get business back going. but that is tough, as we just outlined. bloomberg economics last week said the chinese economy was at capacity.maybe 60% so there is a lot of room to go as far as getting people back to work and getting the factor is going. the latest developments are wuhan, the epicenter, will start to allow residents to leave the quarantine. that runs the risk of possibly spreading it further. we are also getting six provinces now lowering their level.esponse roo that could pave the way for people getting back to work. dong done province -- guang province is the latest one to lower is alert level. getting people back to work is a big priority of the government. south korea has a big problem. the president there raising the national alert level to the highest. he can restrict travel. they have al

he is quarantined in his home, stephen engle. importantn by an legal definition on lng. a group force majeure? stephen: that is on the gas imports and a rare move, but they are asking for flexibility from the united states on the phase one trade deal. , maybe some term companies will not be buying as many soybeans or other commodities as they work through this virus, but they will make it up on the backend. now we are hearing from the chinese state 80 a they agreed to have -- media they agreed to have some of the tariffs they imposed in retaliation to trump tariffs, some billions of dollars worth of goods. .hey are keeping the pledge to confrontgreed each other if there is any unforeseen natural disaster or circumstances, and this novel coronavirus is an unforeseen event. francine: have we now gotten over the worst? i know the situation is fluid but markets seem to be suggesting the world can weather this. stephen: you have seen some moves from the central bank, whether it is thailand or philippines making comments. you had the world health organization coming out and sa

we can go to north asia, stephen engle, and the headline -- let me read it off the bloomberg -- a totalcted from a ship docked in japan. with the zeitgeist of hong kong in your reporting, is quarantining working? stephen: well, it has to be done, doesn't it? the problem on this cruise ship is you quarantine 3700 people on a cruise ship, which has the air circulation all intertwined, the plumbing, the food -- you keep everybody on the ship and you will have co-infections. that is why the japanese response has been heavily criticized, even as far away as israel, and netanyahu, ar-15 israelis on there, -- there are 15 israelis on there. the move, and now you're getting criticism inside japan, the disembark asian happening -- the disembarkation happening. there being criticized. you get your temperature taken today, you get off the ship, you go home, you could potentially be a super spreader. there are a number -- are .nother 79 cases it is definitely spreading. about,e: what do we know is it spreading less fast than it used to? if you look at the duffel, it is past 2000, but we had -- if y

tom: stephen engle in hong kong is kind enough to join us.ific with unpaid leave after june. -- out to june. a delicate question -- in china, hong kong, macau, is there a social safety net for people going on unpaid leave? stephen: not really. it is a free market, especially in hong kong, and we are seeing the rival airlines having trouble. it is part of the broader chinese group which has had that problems -- debt problems, all exacerbated by the seven months of protests. both have suffered. cathay pacific, this is another dagger for the company who is taking some heat from the chinese government and the executive team resigned, supporting people's right to protest. the convoluted answer to your question, we are seeing lots of quest -- pressure on lots of companies. company the parent makes most of your iphones and it is just north of hubei province where wuhan is. they will quarantine their workers for two weeks. you might not get your new iphone 11 on demand as quickly as you want because this is another case of a company being proactive a

tom: stephen engle from hong kong. i want to bring in jens nordvig.known for scratching out on a single piece of paper the math of what is going on and what you need to know is the math on the virus. congratulations on a brutally short note which shows first derivative is declining. explain the percentage of gloom and a virus whatever the issue is and the next day if that percent is less, it is good news. jens: when you look at the numbers when they come out in the chinese morning, we have seen a 20% growth rate in the headline numbers, but the key is to look under the surface, in wuhan. it is bad there, but is it bad elsewhere? the volatility in other if you look underneath the surface at the trend, it is probably down 10% to 15%. isould say the key number 12. if that goes below 12, which the projected islists the gauge, then the policy measures are starting to work. tom: from your distance you are looking at the numbers from a distance and there is the small matter of the weekend you need a lot of days -- the standard statistical measure is 30 days.

tom: joining us from hong kong, stephen engle, our most senior asia correspondent. to get things started. what did you learn this weekend that is of matter? stephen co. the numbers have gone up cyclic currently, and we need to get more information out of china, whether they are -- stephen co. the numbers have gone up significantly, and we need to get more information about containment and coping. they have sealed off wuhan, they have sealed off other parts of the province. 50 million plus have been quarantined in their homes. they have set up the new hospital, which has just been handed over to the military yesterday with its wealth of medics. then just coping with the shortages in testing kits, in facemasks, and dealing with the overworked health care professionals in china. the numbers have jumped up significantly. i don't want to be the alarmist and i am not, i just look at the numbers and i see that from the last time you and i talked on friday, the number of deaths in to 361as jumped 69% deaths. 17,000-plus confirmed cases. that also is up by about 75% from fri

angle in hong kong -- stephen engle joins us right now. et the idea, the president is wearing a mask. i guess the count every day. what is the tangible fear level city to city in china? are people getting used to this, or is there a new heightened fear as we go over 1000 deaths? stephen: i think there is heightened frustration with the response. there is growing criticism of how this has been responded to, even though the government has been lauding themselves a bit for their fast action to basically seal off wuhan and many parts of hubei province. there is growing concern the longer this goes on, and the death toll keeps on going up. the mortality rate with a number of confirmed cases up to about 2.4%. 100 18 more deaths overnight, in addition to this, we have had over 1000 now. one encouraging sign, in the --a, there were 42 thought there were 42,638 confirmed cases. we have been avenue more than 3000, 3400in 400 -- a day. this is the lowest number since february 1. does that mean containment efforts have worked, or does that mean not eno

let's go to stephen engle in hong kong. seems like the narrative shifted on monday. ere are a lot more infections around the world and china is stabilizing. is that right? stephen: that is what the data in china is telling us. now we are seeing reaction from regional governments as well as around the world. japan in the last hour, the northern prefecture of hokkaido announcing a state of emergency. they have had a few clusters of virus outbreaks there. yours truly was headed to hokkaido tomorrow. we were on the phone, trying to figure out whether i could even go now because the prefectural government is telling everyone to stay indoors. this is coming from a government that up until now has taken, according to a number of critics, kind of a relaxed approach to banning travelers. they have not had many bans. have only band people from hubei province and wuhan but other chinese could go there. seems like it could be a knee-jerk reaction to the criticism, and also getting their head around that this might be a more serious problem than anticipated. tom: you are a next mo

does stephen engle know the math in china? >> i have been a bloomberg reporter for over 15 years and i stick to the data that i have to bring analysis to it. it is confusing to a lot of people out there beyond china and asia is the numbers are fluctuating. a new methodology revealed yesterday. it then a revision overnight of the numbers. now we have scrutiny about the transparency and the forthcoming nature of the chinese statistics bureau. let me tell you what i can tell. we had a thousand 80 new cases 5,080 new-- we had cases in china. confined to hubei province which is pretty much quarantined. it tells you with the data that that, for a large part, it is being contained. .380 deaths 121 new deaths overnight. province or inei wuhan. just five outside. if we can trust the data, the data tells me it is being contained. francine: and we are getting breaking news out of carrie lam who says she has not seen a widespread infection. she is giving a live news conference as we speak about the use of 10 billion hong kong dollars viru

nejra: joining us from hong kong is our chief north asia correspondent stephen engle.reat to have you with us. tell us about the cases. >> there were 28,000 confirmed cases yesterday, so this is an addition of over 3000. add,are severe i might 22,000 plus are in the epicenter of hubei. it is the case that it is mostly contained for now. as you have been noting about what is happening in japan with 41 more cases aboard the cruise they have 61 cases in japan. the deaths are primarily still in hubei province. twodeaths in china, plus outside. , 69 ofe 73 new deaths them were in the epicenter. epicenter, hospitals are reporting they are desperately they are alsoies desperately short of qualified doctors and nurses to the tune of more than 2200 doctors and nurses. it is not helped by the fact that we have lost one of the whistleblower doctors late last night who was credited with announcing the dangers of this virus. however, he was fairly muzzled by local authorities. he'd passedrked -- away last night and that has sparked sympathy and criticism of the lack of transparency

stephen engle is our bloomberg chief asian north of -- north asia correspondent. t now pretty far south in asia, in hong kong. stephen, what does the setup look like as far as what is going on with the virus and what kind of response we are getting from the chinese. ofphen: the little bit better news over the weekend, the rate of new cases, dipping down or at least staying with the lowering trend. the numbers we got this morning were a little higher on the number of confirmed cases than the day before, but the overall trend we have been seeing has shown a fewer number of daily confirmed new cases. 2048,esterday, another 1943 in hubei province alone. that is in excess of 70,000. the death rate, also coming down from the previous days. the number of deaths reported in china overnight, 105. it was 142 the day before, but still, it is a grim scenario hubeiin wuhan and province as a whole. 1070 deaths. all but 74 of those deaths have been hubei province. that lower trend number on new cases is getting a little optimism, along with the fiscal and monetary stimulus we hav

stephen engle joins us now with more. we are seeing a lot of big numbers here. he containment efforts are working? stephen: i think in china, the containment is an admirable effort, obviously. you have more than 40,000 confirmed cases. the world health organization's china head was on bloomberg television today and they were slightly encouraged that the number of new cases on the daily basis was not going up at the same pace. almost 3000 new cases from yesterday today. keep in mind as well, the extended lunar new year holiday period has ended and officially workers are supposed to go back to their factories and work starting today but that is a logistical nightmare considering wuhan is the junction in the middle of china for all north-south trains and east-west trains. you might have the opportunity of spreading it even further after those initial containment efforts. and then there is the containment you have to look at abroad. you just mentioned the super spreader possible case of singapore to europe a look at what is happening in the japanese cruise line. own

asianour north correspondent stephen engle joins us.t china has, on a day-to-day basis, reported fewer confirmed cases. we've got a chart i will show which tells the story. is that giving people reason for hope around this virus? stephen: we just have to look at the data and let it tell us what it is telling us. it is one of many things, but histhings i am looking at, is an indication the containment efforts in china are working? increase ofad an 2467 cases from yesterday. that is the smallest increase on a day-to-day basis since february 1, about a week and a half. that is encouraging because every day, we have seen in excess of 3000 new cases. on the death side, it is not promising. 118 new deaths is a daily record from day-to-day. the other side of the story on the number of new confirmed cases, could be indicative of or ae not being tested shortage of testing kits, which is obvious in the province and in wuhan particular. anna: are we getting more clarity on whether workers are getting back to work after a long holiday? sawrly, the

alix: thank you, stephen engle. stake in china, there consumer prices rising faster than last month. the fallout of the coronavirus could cause faster inflation. in the first trading week following the lunar new year break, the central bank provided lower costs with massive liquidity. joining me is tom mackenzie. what is the pboc done with the liquidity in the market? tom: they are in a better place. they are directly chief liquidity to smaller enterprises , focusing on manufactured goods. rates downen edging lower. overall, the chinese government says they will spend $10 billion to five the coronavirus add support the economy, but we expect further measures down the road. this underscores the challenges. but you see the consumer price index picking up 4.5%, the highest rate in eight years, and that will pose a challenge for the central bank, who is trying to support that growth. on the flipside, you have producer prices picking up for the first time since the inflation return. but don't expect that to continue beca

much tohank you so stephen engle, our chief asia correspondent and hong kong.n to this news overnight is a tone of caution. we had three days of gains for equities, global equities hitting a record yesterday. the s&p and the dow in the u.s. hitting fresh records, but today, you are seeing some red on the screen. you are seeing u.s. and european futures on the back foot. ubs had the idea of equity exceptionalism at the start of the week whereby equities cap gaining, but the 10-year treasury yield down 30 basis points so far this year. seeing sort of a consensus view across asset classes. board, you arehe seeing strength in the yen, so strength in the yen meanwhile weakness in commodity currencies as they you want is weakening as well. the euro-yen's to hitting a 2017 low. we've got the industrial production data causing concern, and you have deutsche bank expecting a slight contraction for germany in the quote -- in the fourth quarter as the coronavirus is expected to exacerbate an industrial flood. then you have called changing on the euros as well. credit asse

stephen engle joins us from hong kong. what do we know? of cases or infections or deaths gone down? stephen: the number of deaths did increase, but the death number is a lagging indicator about three weeks after contracting the virus if somebody is going to pass away. it is usually that timeframe. we have to look at new infections. they did go up slightly, just over 2000 and china from the last numbers yesterday however, the trendline has been slowly decreasing, so that is giving encouragement to people like this noted wuhan doctor who says we might have hit a turning point. i might caution, it is still too early. the news out there is quite dire. is why you just mentioned, the national people's congress in parliament in beijing, coinciding with the top advisory body to the national congress, the legislature in china, thousands dissent on beijing in march. they will have to delay that. they will have to make a decision this week on february 24. local officials need to be in their local municipalities to deal with this virus. not going to b

joining us from hong kong, bloomberg's chief north asia correspondent stephen engle. to rise. are we expecting at any point you see a daily, a daily turnover, to see the growth slow a little? stephen: i can't say. i can only say the number has continually gone up, and we will eventually let's hope see that number start turning over. but the data in front of me, there is no abatement of the adding of these daily tallies. a bit of a morbid one, but 636 deaths now in mainland china, 31,161 cases, 22,000 of which-plus are in hubei, in the epicenter. the number of deaths increasing another 73. yesterday, an additional 73, so the same at least in the numbers being published by the government. you just ran through some of the business fallout, burberry being the latest. --as looking at a european other european companies. volvo saying they will have to keep the plant closed for another couple weeks. anna: stephen, thanks very much. with thengle with us, latest on the virus. valentin marinov, credit agricole fx strategist. the numbers, on a contained coronavirus, the impact a

our chief north asia correspondent stephen engle joins us for more on this subject. n, what does the new death toll, the new number of cases today, tell us about the containment effort? stephen: the bigger question china being forthright and forthcoming about all the information? it adds a lot of confusion to the global tally that we have been running through every day. there was some optimism a couple days ago that the number of new cases each day was starting to plateau a bit, or at least the climb from previous weeks. now that we had the big jump yesterday, and still a sizable jump overnight, another 5000 cases, including 4800 and hubei. it does add more confusion. and trying to read the tea leaves from the government statements, and we have the world health organization coming out and saying that revision. as you mentioned, the united states and the white house raising concerns. is china being fully transparent in its data? anna: interesting to see in the light of what we heard from larry kudlow. it is interesting to see that the china foreign ministry saying toda

joining us is stephen engle. give us the latest. stephen: you have another revision out of china as they get previously unreported cases out of five different prisons in three provinces. you have those supposedly isolated clusters adding to the total again. they revealed the numbers and then added more. in some cases, more than 200 ands in chengdu province another in hubei province. more provinces could report outbreaks as well in those supposedly isolated ecosystems like prisons. as well, we are seeing additional clusters in other parts of asia, not just china. you are seeing a surge in cases of another 52 in south korea. they have now 208 cases, as well as one death. we are seeing another cluster in the central city where the virus has gone through a religious sect. there is heightened concern in south korea. japan, they are seeing areas of infection in previously unconnected areas as well. cases, as well27 as three deaths. is economic impact continuing to rise. we are getting warnings from the japanese government, the to 46.7.ing

joining us this stephen engle. what is the word on the ground? stephen: the numbers definitely jumped over the weekend. 361, possibly-- 362 deaths. the number of cases sword to more than 17 -- of cases soared to more than 17,000. the united states reporting at least 11 cases of the coronavirus. the numbers are not astronomical, but they are rising still, showing that there's still a lot of effort to be done to contain, as well as cope with the virus, especially at the epicenter of wuhan and hubei province. this comes as hong kong today decided to close most of its border checkpoints with the mainland. 10 of the 13 border checkpoints will be closed to try and contain. it is a very sensitive issue here. of course, hong kong as part of china, and the economy relies a lot on the trade across the border. however, a number of medical professionals here today started a five-day strike because they wanted the chief executive to close all of the borders. she would not do that, but they are trying to limit the damage. in china the coping and containment con

stephen engle, good morning from london.irus starting closer to where you are, but becoming a global concern for international investors. give us the latest line. absolutely it's going global. they are going to for bid nonessential travel for employees globally, not just in the asia-pacific or markets hit hard by the coronavirus. they taken it global, as have other companies. is not limited to hong kong and south korea. it's spreading around the globe. we have the first one in sub-saharan africa and nigeria. nigeria had one. that's a big concern if the coronavirus spreads throughout the african continent. we've had more cases in the middle east. iran has been a hotspot. leucine saudi arabia taken a number of steps even though they don't have a single case yet. they are showing a lot of percussion. kuwait, cases there doubling. there is global concern, as we seen reflected in the markets. matt: stephen, there in hong kong, you're clearly working from home, but i assume you go outside. what is it like out there in terms of sup

stephen engle joins us from asia. stephen: it is significant because it is the first time we have had more new confirmed cases outside of china that inside of china. it could be because china has a great, on this or, more sinister, that the virus is spreading faster than the who and others are expecting elsewhere in places like south korea, japan, in the middle east. as you mentioned, saudi arabia does not have confirmed cases, but they are taking the precautionary step to temporarily suspend pilgrimages to mecca one month ahead of ramadan to the holy site. an auth korea, we just got revision in the last hour or so, another 171 on top of the 374 they previously announced today. in one day, 505 new cases in south korea. it suppresses china's new case count that surpasses china's new case count -- that surpasses china's new case count. south korea beat that. japan also has more than 200 cases now. that is not including the more than 700 cases from the diamond rinses cruise ship -- princess cruise ship. a duty just heard

joining me is stephen engle. that is the case outside of china. there'sns that if 83,000 globally, that's more than 4000 outside of china. china's rate of new infections has been slowing down. new cases since yesterday, but south korea nearly doubled that in one day. they reported another batch of new numbers on top of the numbers this morning. they added 571 cases from yesterday. that means they have more than 2100 cases and climbing. japan also climbing towards 1000 confirmed cases, 931 if you 700+ from the cruise ship off yokohama. tokaido has declared a state of emergency the day after shinzo abe declared all schools closed for at least a month. cases.43 new now 388 there, four deaths. we have new cases in new zealand, lithuania, and nigeria, the first case in sub-saharan africa, and that is a big concern. the business fallout continues. airlines in particular, no surprise there. have layoffs, and british airways says it is impossible to predict earnings going forward this year. finnair is issuing a profit warning. alix: thank you very much. a

joining us from hong kong is bloomberg's chief north asia correspondent, stephen engle. ged and we have 15,000 more cases. does it mean we thought it was getting better when it is getting worse or is it leveling out? stephen: we have to figure out in the next couple days because this raises the base effect because they are including these other cases that were not tested with a testing kit and the testing kits are in short supply. they included those cases many people suspected were likely infected with coronavirus, but had been put off to the side usedse they were basically diagnostic test, imaging. officials have added all of those. an additional 15,000 overnight and we are just under 60,000 confirmed cases with the testing kit and diagnostic imaging screening. that is alarming when you get that many number of cases. is that a one-off jump or will we start seeing more and more and more cases? too,ve plateaued getting 2.5 a day when a week ago it was 3000 plus a day. deaths.1367 as long as the new infection rate stays at a plateau level, it is less alarming if the death

stephen engle joins us from hong kong. you observe this uniqueness of this moment for hong kong and china? stephen: hong kong is beastly having all kinds of challenges on the three big events, the u.s.-china trade war, the protests, and now coronavirus, the outbreak there it the thing that it's very interesting about what we are seeing with the the lunar holiday with china has pretty much ended, and people are trying to get back to work. we don't know how much longer these factories will be idled or when they will get up to full capacity because, keep in mind, wuhan is right back the middle of china and the north-south trains go through it, the east-west trains go through it, and no one is going through it right now because it is on lockdown. the impact of that shutdown of two thirds of manufacturing capacity in china and output is still going to be constrained, and it opens up another can of worms because if you think of it having it somewhat contained, as outside ofspread hubei province, a lot of people will be on the mo

engle. me is stephen stephen: for the second time in about a week, china has rejigged its methodology for how to classify confirmed cases of the coronavirus in china, that has led to this now becoming a bit of a global crisis. we are seeing more speculation that the data we are getting is we necessarily reliable, or are seeing a significant drop-off in the number of confirmed cases. in hubei province, just 349 new cases reported overnight. is that because of the new methodology, or do they have the containment efforts under control? that is raising a lot of confusion and questions. also, it adds to suspicion that officials in china may be prematurely promoting a narrative that they have the situation under control. this is we have gotten in south korea the first death, as well as a surge in new cases. some 31 confirmed cases in south that ran through a religious sect, and in japan, two more deaths were reported. onare also seeing the impact the prolonged epidemic on businesses. a couple of airlines putting out guidance. air france klm saying they could take a hit on this next report million,