rishaad: giving their views on tencent.vonne: tencent said to report slowing sales growth for the sixth straight quarter. results will shed light on how china's tech crackdown has had the country's biggest company. rishaad: our bloomberg intelligence analyst joins us. it is going to be all about the regulatory situation and how it is impacting tencent. no doubt we will see them in the numbers. yvonne: one of your prior guests was talking about the lack of game approvals. we have seen league of legends come out recently. that was already approved. having no new games take some of the growth off the next couple quarters. couple that with other regulations. things are slowing down. longer-term, tencent is in the best position to benefit domestically from keeping not just gaming entertainment but the meta-verse. abroad, they are strongly positioned to gain a much bigger foothold. if you're looking beyond the next four quarters, there is a lot to be encouraged about. yvonne: the economy is showing some signs of a slowdown. how i

it is a look at tencent positive revenue -- tencent third quarter revenue.ines grinding downwards. a picture may not be worth a thousand words in this case. three ought to do, revenue is falling. alicia: i guess this is actually as what we expected. even though they missed the estimate by 2%, they actually beat our estimate by 3.6% on the top line. the profit actually came in relatively in line with our estimate. i think, as what we preview before, the online advertising actually facing the macro headwinds as well as regulatory headwinds. that is actually a factor of certain industry vertical actually phasing this declining trend for budget cutbacks. that is what we actually foresee already. i guess the overall revenue slowdown you could also attribute to the last few years. there was pretty good growth from the gaming industry as well as the cloud industry and the fintech and obviously -- no coming down to normalized growth especially with disruption last year from covid. paul: as the committee adjusts to the new rigell tory environment, it does have a heal

how is tencent being invited to fix the situation?> i think they are being urged and told by the regulator to essentially -- first of all, you have to rectify some perceived violations of this data privacy law that came into effect and started to be implement it on november 1. also backed up by a statement that tencent put out that they are working on bolstering their user protection pictures, but essentially, they are targeting violations across nine different services that tencent has on four different occasions, stating that these violations happen, so they are reviewing tencent data protection practices. they are going to freeze essentially any new apps, support a moratorium on any new apps, and you cannot update those as well. users can still download the various apps, but right now, there is a whole because of these reviews that have to take place on user privacy protections. >> eight potential sign this regulatory crackdown is continuing. stephen: absolutely. we have market commentary now. we had a research at united first part

the game was originally launched in china in 2018 in co—operation with chinese tech giant tencent.ink epic games has made this move?— do you think epic games has made this move? there are a number of — made this move? there are a number of reasons _ made this move? there are a number of reasons but - made this move? there are a number of reasons but i - made this move? there are a j number of reasons but i think much of it has to do with the fact that the next season will not just fact that the next season will notjust be the next season likely the next chapter and it is probably not going to be published by tencent. with that, without it being published by tencent it will not be allowed under chinese regulations. theyjust put it to rest in china and also, gaming is getting much more strict in china and it is more difficult for epic and tencent to publish dates and things like that. so it is almost pointless for them at this point. 0n pointless for them at this point. on top of the fact that epic is not really making money in china. 50 epic is not really making money in china. , .,

tencent pulled off a pair of successes with its league of legends franchise.held a massive e-sports tournament that drew more viewers than ever before. it also premiered arcane on netflix, garnering 130 million views in china. tencent is trying to cope with china's crackdown on the videogames industry after saying kids could play about three hours per week, which caused stock prices to drop for tencent . toshiba is considering splitting up the company as it looks for ways to strengthen shareholder value. the japanese conglomerate is reportedly going to divide itself into three companies to focus on infrastructure, devices and semiconductor memory as early as 2023. toshiba has been in turmoil with shareholders over the direction of the company and whether it should pursue going private. coming up come first facebook, than microsoft bet on the meta-verse. we will be with the former head of amazon studios. his vision for how big the meta-verse will be and who will own it. that is next. this is bloomberg. ♪ moving is a handful. no kidding! fortunately, xfinity mak

tencent now exploring new primers. especially in its national gains.are also tracking chinese developers extending their rally. also, ever grand made payments on some dollar bond. >> let's have a look at the first word headlines. u.s. consumer prices raises -- raising. gaining more than 6% of the year. -- on the year. leading economists predicting even bigger jumps in the coming months. this will put pressure on the fed. this could also quicken the pace. xi jinping is set to deliver a mandate to -- all of this as the party wraps up a four-day meeting. they have offered historical resolutions and they both use their work to dominate party politics. a wall street one amid -- ahead of major shortcuts. they are planning to reduce their staff in the coming years. wall street firms are increasingly relocated to lower cost locations. thanks are also moving toward automation and other technologies as well. that is a look at the first word news. >> how the global supply chain crunch is affecting border trade finance. our inclusive interview is next. this is blo

china's tech industry regulator has ordered tencent to stop rolling out apps. updates are on hold though current versions can be downloaded. tencent says is working to enhance features and cooperates with government agencies to ensure compliance. the european government is debating new measures. germany may consider vaccine mandates. denmark is seeking to make masks mandatory on public transit. the eu has delayed new guidelines as it waits for data on efficacy of vaccines. opec says the release of oil reserves by assuming nations could massively slow the surplus in global markets. the protections from the advisory body come a week before the group meets to decide whether to increase production. some delegates have indicated thinking cancel and output hike if the market is overwhelmed. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i am vonnie quinn. this is bloomberg. shery: still ahead, the bok rate decision expected. an immediate reaction from an economist. up next,

alibaba and tencent in the mix.on alibaba and tencent over past deals that violated the anti-monopoly laws. this was announced by the state administration. about $78,000 for each of those companies involved. overall chinese markets. moving generally to the upside as we had toured the lunch break. -- head toward the lunch break. perhaps down to seeing signs of easing as the central bank in pboc negotiated toward vonnie: it is 11:29 a.m. in hong kong and beijing, 1029 p.m. in new york. i am vonnie quinn. japan is planning to release some of the strategic oil reserves at the request of the u.s. the report came shortly after the transport secretary said the government was considering tapping crude stockpiles although he said no decision had yet been made. over the weekend, it was reported that japan and the u.s. could make a joint announcement on oil reserves, as soon as this week. the federal reserve looks on course to consider more rapid drawdown of its massive bond buying program as inflation pressures linger. severa

you can turn to your bloomberg for more on tencent results.♪ >> we are pouring our research across international lines and i'm confident we can get there. human beings created this problem, human beings can solve it. shery: john kerry speaking to bloomberg in glasgow. the hong kong exchange says the universal founder for esg compliance is needed to combat the rising risk of greenwashing. they discussed the role in a low carbon economy in an exclusive interview far bloomberg live's green summit. >> it is not easy when we do not have a universal standard and climate. it's very difficult. right now, it is not an ideal situation and i hope there will be a universal sense of taxonomy and requirements for different industry. we recognize different industry might have a different kind of past -- different kind of path, and at least something we can measure against which is comparable and we are comparing oranges with oranges and apples with apples rather than right now it is a whole basket. >> the polluters are the activists -- do we need to do somet

china's competition watchdog order companies including alibaba, tencent, and baidu to pay $10.4 million in fines for antitrust violations. the companies must pay $78,000 for each of 43 breaches. that is more than fines earlier this year. the international olympic committee chief says he held a 30 minute video call sunday with chinese tennis star peng shuai and she assured him she is waste -- is safe. peng disappeared from public view earlier this month after alleging sexual assault by a former chinese minister. photos and videos released by chinese media over the weekend felt -- failed to quell worries about her well-being. natural welfare. -- or welfare. i am vonnie quinn. this is bloomberg. haidi: ahead, we hear from the y lg bully on an future ceo -- gold and bully on -- bullion -- y lg bullion future ceo. haidi: the bank of korea and the reserve bank of new zealand certain to raise interest rates again. let's bring in kateri not. -- katrina. look at where the policy right stands now and what the market is preparing for going into the end of 2021. the market price is at 1.5 hikes. is

david: do you think that large chinese technology companies, ali baba, tencent, baidu, bytedance ando forth can have their technology become very dominant or important the united states and around the world? and are we in a world now we're competing with chinese technology companies for market share outside the united states and china? reid: we are already in that world. if you look at things that alibaba is doing, in terms of spreading the ali pay and everything else into south america, into africa, i think the notion of the technological platforms of the future are in deep -- there is a fast-moving competition between companies in silicon valley and companies in china. and i think that is part of, which systems will be the systems that the world operates. i think is in deep competition. we are already seeing chinese platform companies beginning to make strong inroads into the -- head roads into the u.s. bytedance and tiktok is an obvious one. you see it also in drone manufacturing and dgi. there's a whole bunch that are already that are already getting massive global relevance and

we have at the moment tencent on the weight of 1.3%.ue to the best ever singles' day we saw in alibaba. pretty much flat for composites, shanghai and change in, saying declines at the moment. this party plenum continues so many people are overweight now, and asking themselves, "why can't i lose weight?" for most, the reason is insulin resistance, and they don't even know they have it. conventional starvation diets don't address insulin resistance. that's why they don't work. now there's release from golo. it naturally helps reverse insulin resistance, stops sugar cravings, and releases stubborn fat all while controlling stress and emotional eating. at last, a diet pill that actually works. go to golo.com to get yours. >> it looks like a happy fraud and the markets. alibaba had a strong single day performance. tech stocks are trading in hong kong. rishaad: things are being dominated. the leadership is getting a boost. vonnie: right before that virtual meeting with biden, xi jinping has won a mandate to potentially rule for life. xi devel

tencent had its slowest quarterly sales since 2004. and bytedance has called off its ipo plans.ning us to discuss the landscape in china is fred hu. the current founder, chairman, of primavera capital. always a pleasure to speak with you given your history and experience. and the companies within your portfolio. where do you think we are in terms of the regulatory shifts we see in china? fred: i think we have seen most of the initiatives with this anti-monopoly --. the markets are feeling the impact. the economy [indiscernible] it has managed to adapt. dani: what about from the tech companies themselves that within china? are there more transformations you expect them to do in order to keep up with the regulation or is that mostly finished as well? fred: i believe the high tech sector -- many have responded. [indiscernible] in-depth reviews of their business model to bring everything in compliance with the regulations. they have come a long way but there is still work to be down. in the meantime, you will continue to see the results. the big risk -- tom: the biggest risks may be

tencent, softbank, the earnings story. tencent down 1.7% with some local state affiliated firms reducing reliance on shipments, down about 1%. the south african rand continuing to see some weakness in asia and we are still under pressure, a 12 month high here on the dollar. more on the markets in just a moment. let star caught -- start off with the regulators asking to come up with a plan to delist from u.s. exchanges. our asia text editor has the story for us. quite a scoop here, what do we know? >> i think there's a lot of unresolved bad blood with the central government. right now the devil is in the details. you see softbank tanking a little bit on this news. a lot depends on what price the deal itself to take it off the nyse. david: we know the intention, and i have to say it's not really a massive surprise that we are talking about this, but how do they go about this? >> the regulators have been pondering this option since at least summer. i think it's likely to be a package of penalties. bloomberg has reported that

it comes after another major chinese tech firm, tencent issued a similar warning earlier this month. share stake in hengten network holdings for more than 270 million dollars. the chinese developer has been struggling to make payments to bondholders as it grapples with more than 300 billion dollars in liabilities.meanwhile, another chinese developer country garden services holdings has seen shares suspended in hong kong after falling sharply on the hang seng on wednesday. the british government is preparing to publish its £96 billion plans for the rail network in the midlands and north of england, but there's anger that the leg of high speed two, running to leeds, is expected to be scrapped. there is also frustration that there are likely to be upgrades to existing tracks, rather than a new line between manchester and leeds. ministers insist that their changes will mean improvements happen up to a decade earlier. dan johnson reports. it has been it has been described it has been described as it has been described as the it has been described as the biggest ever public investment in o

whether it is alibaba, tencent, whether it is meituan.nful year on the stock market for this company because of the regulatory issues. shery: our chief north asia correspondent with the latest on those chinese tech earnings. let's turn to vonnie quinn for the first word headlines. vonnie: the u.s. is set to release 50 million barrels of crude oil from its strategic reserves in concert with china, south korea, japan, and united kingdom. it is to coordinated attempt by the world's largest oil consumers to tank prices. it comes after weeks of lobbying from president biden. opec-plus nations warned in response they could cancel plans to boost their own oil output when the cartel meets next week. pres. biden: today i am announcing the largest ever release from the u.s. strategic petroleum reserve to help provide the supply we need as we recover from this pandemic. in addition, i brought together other nations to contribute to the solution, india, japan, the republic of korea, the united kingdom agreed to release additional oil from their reser

we also have tencent earnings do out.nother big day for china tech as well. 11/11 is alibaba's single day sales event. cop26 ends on friday. and the aipac leaders summit will begin. >> rate hikes' timing is now the talk of the town. we will get more hard data. the bond markets pricing in around 3% inflation in the u.s. for two years but for october, up economist -- economists see a higher trend. >> in china, property bonds are in focus. coupon payments are coming due. evergrande's rival has become the main source. shares were suspended on friday. china's property bond rout has more deadlines looming. kaisa is facing a coupon do worth almost $30 million. >> and that is your week ahead. credit suisse is exiting its prime brokerage business and shifting more capital to the investment bank as part of an overhaul intended to stabilize profitability and reduce risk. let's bring in helman sitohang from credit suisse who will retain the role through the restructuring. thank you for your time today. let me start by asking you abou

jd.com on the upside and tencent fallen, given the pressure we have seen in tech. at when it comes to that quarterly review when it comes to hang seng. these are some of the names you might want to take a look at. keep in mind tech names may not be included. they are saying look at names like great wall motor and smaller international could be some names that could make news on that review. we want to break some lines crossing when it comes to india. we are hearing from the prime minister speaking on the holiday today in that speech, saying the government is going to scrap these new farm laws, this on the back of we have seen protests that have gathered momentum in the country after 4 demonstrators were killed. up until recently, the year-long farmers protest has forced the government to scrap this new legislation. we've got plenty more ahead. this is bloomberg. ♪ yvonne: let's take a look at tech and tech stocks in hong kong. the worst move we have seen since alibaba listed in hong kong. jd.com stands out, though, on the back of their earnings. let's get more on t

tencent said it will soon begin function -- shouldn't -- soon begin testing of the function.s bringing down some of the barriers and china's most popular social media service, falling on my with a push from chinese regulators to eliminate the so-called wild guidance. valet, the roads economics idle producers since the beijing winter olympics is the turning point for the commodities. they have lost about half their valley since mid july and their outlook to contain pollution. they say it will ensure clean skies for the gains in february. shery: coming up, and assessment of the potential economic impact. we will get them from economist from jp morgan and morgan stanley. bloomberg markets china open is next. this is bloomberg. ♪ switching wireless carriers is easy with xfinity. just lean on our helpful switch squad to help you save with xfinity mobile. they can help break up with your current carrier for you and transfer your info to your new phone. giving you a fast and easy experience that can save you hundreds a year on your wireless bill. visit your nearest xfinity store and

the president doesn't want to kill these national champions of tech like alibaba and tencent.it to play on a more level playing field. i'm sure they were little bit concerned by the wealth and the influence that individuals had accumulated. you know, jack ma and alibaba played it very low-key this singles' day. they didn't want to have that big rally, tally on a big telethon scoreboard. showing growth and merchandise value raining up $84 billion in sales. every time it clicks over, showing that jack ma and the executives are getting richer and richer. they played it low-key and they still set a new record. dani: yeah. maybe low-key on the surface only. thank you so much. let's get a quick look on these markets. we are continuing to see the front-end of the curve rally in terms of u.s. bond markets after they were closed yesterday for the veterans day holiday. it's now all about those inflation prints. we are looking at a yield curve that's at its flattest since march 2020. we were talking with our last guest about this. she says inflation is not transitory, it is sticking arou

tencent up 1.3%. baidu, 5% up. after shenanigans of top management yesterday. 6.6% to the upside. tech. central banks at the moment. we're, what, 1.5 hours away from the rba. yvonne: it is a big day in australia. it is also the melbourne cup. they do these things at the same time which is interesting because they will be a lot of action here, or at least what bond traders are hoping for his clarity from the rba as well. are they going to have to scrap that yield curve target after last week not doing anything to defend that target? what is the point of having one? here's what this week is looking out to be. the rba first. the fed, we are expected to hear some tapering announcement. boe could be hiking this week as well. is this the week we are going to see a shift in global monetary policy? rishaad: absolutely. looking that chart we have the yield target being put to one side. we've got core inflation jumping back into the rba's 2% to 3% target for the first time in six years. investors betting on that ultra dovish monetary policy being dropped. let's get you straight to global ec

tencent also out with numbers. dr. fauci will be joining david westin on balance of power.l be joining bloomberg radio on the cable on dab. this is bloomberg. ♪ moving is a handful. no kidding! fortunately, xfinity makes moving easy. easy? -easy? switch your xfinity services to your new address online in about a minute. that was easy. i know, right? and even save with special offers just for movers. really? yep! so while you handle that, you can keep your internet and all those shows you love, and save money while you're at it with special offers just for movers at xfinity.com/moving. david: dr. fauci eight, thank you so much for being back with us. we now have a pill on covid-19. we got approval for children to be inoculated. tell us what comes next in this saga. dr. fauciu: what comes next is how well we get the country vaccinated. there is really

tencent under the regulatory hammer again. meituan, they are not out of the woods. they got the $532 million u.s. fine. they got another fine for unfair competitive practices. meituan, like all these tech platforms under this regulatory environment, at various bushes by the central government, has been investing in new areas. their operating margins has been squeezed by bad weather and covid outbreaks. yes, they were found to have abused their market dominance. they used special algorithms, special practices to get merchants to work exclusively with them, much like the antitrust action against alibaba. net loss expected to have widened because they are investing in other areas and the margins are squeezing to 7 billion yuan. revenue up expected 37%. paul: let's talk about pinduoduo . how has president xi's prosperity push impacted things there? stephen: this is perhaps a strategic direction from the government for pinduoduo to invest more in agricultural technology and to help support and modernize farming in china. that is going to weigh a number of -- to weigh on

strategic petroleum reserve, the coverage on the terminal shows you can expect maybe a zero dollars tencent$0.10 per gallon decrease in prices. he's trying to pull every string he can come about a lot of this is out of his hands, and some of it is just a president trying to make it clear he's taking whatever action is possible. tom: some good essays out that, compared to the 1970's, it is not that expensive yet. three dollars 40 since a gallon is not for dollars or five dollars a gallon. are they getting out too soon on this issue? are they too early to the real heat of the matter? jack: part of this may be seeing a problem that could be a big problem, or at least a problem. these are not low gas prices. and then the tribune may be other problems to that. we have relatively high gas prices, very bad looking polls for the president and congressional democrats. this is something that the democrats feel needs to be addressed. for historical references, if you look at a chart of gas prices, it is around the point maybe it was in 2014. 20 14 bad midterm for the president's party. can i give you

we had a bad forecast coming out of alibaba, and before that also tencent, baidu, bilibili. we are seeing this big divergence because in the u.s. we are still seeing solid results from the tech giants so far. that also raises the question of what is happening to consumer spending in china, especially in light of these continuous virus restrictions. tom: when it comes to the question of rate hikes, we are hearing hawkish commentary from the likes of williams. how should markets be thinking about the rate hike and what are the next catalysts in the weeks ahead? justina: it seems like people are starting to get a little bit more worried about the pace of monetary tightening in the u.s. we heard -- in the u.s. we heard some commentary on that. it is not just that people tend to think it is bad for equity markets, but also in terms of the impact on different sectors. does low rate environment in the past few decades -- the low rate environment in the past few decades has been good for tech stocks. what will happen is going to be a big question. tom: we cannot talk about technolog

tencent likely to own 2.7 trillion of this pie. their price target from 1100, basically where we are, to 1400. i believe that's in line with the most bullets on the street -- bullish on the street which is jeffries. the bull case of wedbush, 1800 on tesla. lisa: this speaks to the reason why tesla has such an elevated valuation despite the naysayers, because if they have the lead come if they have the most feet in this particular area, how can volkswagen compete? lisa: matt miller, what is -- jonathan: not more -- matt miller, what is -- what a story. matt: there is a lot of firepower and they are willing to emulate elon musk as much as they have to. jonathan: i have a lot of respect for kathy, not an analyst we track a lot on the amr function. good morning. this is bloomberg. ♪ moving is a handful. no kidding! fortunately, xfinity makes moving easy. easy? -easy? switch your xfinity services to your new address online in about a minute. that was easy. i know, right? and even save with special offers just for movers. really? yep! so

when you take the msci emerging market index, tencent is about 4.5% of the index.ba is another 4% of the index. there's a big china bet embedded in our universe. lisa: we talk about the fact that china is going to be forced to ease policy because of what is going on with respect to home developers, with respect to their zero covid policies. is this something that makes china more attractive? jonathan: if you go ask china, there's opportunities out there. if you look at the benchmark, we are down 0.4% year to date so far. tom: i am by no means an expert on this, but it is amazing how the conversation has shifted to a focus on china. i am going to read stephen englander, thierry wizman, absolutely lights out, phenomenal. i still go to the overwhelming coefficient as weak dollar. jonathan: your equity market up nine on the s&p 500, advancing 0.2%. as we inched towards the weekend , your bond market is shaping up as follows. yields up by a couple of basis points. you know where the conversation is this week. it is on one thing, a big cpi print in america and what it me

china's competition watchdog has ordered companies including alibaba, tencent and baidu to bring a total of $3.4 million in fines for antitrust violations. the administration says the company's must pay $78,000 for each of 43 breaches. the penalties are smaller than those handed out earlier this year. 2.8 billion dollars for alibaba. the international olympic committee chief says he held a 30 minute video call on sunday with chinese tennis star and she assured him she is safe. she told him she wanted her privacy respected. she disappeared from public view earlier this month after alleging sexual assault ia former chinese vice premier. photos released over the weekend failed to quell worries about her welfare. global news 24 hours a day, on air and on bloomberg quicktake, powered by more than 2700 journalists and analysts in more than 120 countries. i am vonnie quinn. this is bloomberg. >> blackstone doubles down with a sweetened offer for crown resorts. we will discuss what that means for the casino operator with steve johnson. up next, we examine the prospects for a faster taper. jason

got just one of those many stocks that we can pick on, you know, from billy to pdd to alibaba and tencentve only got one of them in there, scott and that's just because china has just gone after these companies. education, they started there and then they just kept hitting them so i think it's -- it is the best way because you can define your risk on entry with an option spread and that's the only way i'd play it i would not own the stocks here. >> coming up, a fast-growing coffee company is going public via a spac deal. we have the latest with a man leading that effort and we'll ask him if past political headlines will help or hurt that business we'll do it next even when you're focused on what's happening right now. and thinkorswim trading™ is right there with you. to help you become a smarter investor. with an innovative trading platform full of customizable tools. dedicated trade desk pros and a passionate trader community sharing strategies right on the platform. because we take trading as seriously as you do. thinkorswim trading™ from td ameritrade. i'm so glad we did this. i'm so g

watching for moves in tencent and billy billy after a chinese team made e-sports history on sunday, winningst ever league of legends world changing to chip title. the waiting game continues for whether or not we will gain access to travel on the mainland, local media reporting china may allow a daily maximum order of 1000 travelers without quarantine. that is well below the daily quota saw of 5000. haidi: we continue to watch out for any signs china might change its stance when it comes to the covid zero strategy, doesn't look like that in the short term. we have been speaking to experts, some of them say perhaps it might go on for another year, some say it could be another three or four years. the one thing going is it is such a massive population and domestic market that it may be able to sustain the levels of growth, particularly if we see this rate side remain robust. shery: a lot of chinese people are already vaccinated but the problem is those vaccinations are not as effective as mrna. keeping these barriers up will definitely have an economic impact. markets coverage continues as we

from local suppliers could hit intel, amd and amazon because global champions such as alibaba and tencentre sitting on the body that will approve new supply contract. sources say any company more than 25% foreign-owned will be excluded from the panel. haidi: bloomberg terminal users can read more in our newsletter. shery: let's bring in our first guest, who runs trade shift, a supply payment platform with 1.5 million customers across 190 companies. they allow buyers and sellers to connect with each other digitally in an industry that has been dominated by paper invoices. joining us is the ceo. thank you so much for joining us in singapore. tell us what you are seeing on the ground, because we continue to talk about how supply chains remain disrupted because of covid and how that is leading to price pressures. is any of it getting any better? guest: we think it will get worse. spike and purchase orders. normally they would get us on the quarter after, they are not. that means the suppliers are strained. we're dealing with a supply chain for the past five to 10 years with very little invent

if you open up the ecosystems like they are doing with alibaba and tencent, there are some positivest can come out of this. the most important thing is that this hasn't ended. a lot of people think it may have been the 2021 story but this is all in the run-up to the party congress next fall. the idea that alibaba got punished, here is the new reality and things won't get worse going forward, i think that is a bold statement to make. shery: especially given that the property curves continue. >> this is not the normal chinese downturn. we are seeing a paradigm shift that we haven't seen in 10-20 years. there is enormous de-risking going on in the financial and the property sector which is becoming evident to everyone because of the evergrande crisis. it's not something where they're going to register a little bit of downturn and then zipped things back up with stimulus. we will be looking at much lower growth going forward and that is because the party is ok with that. shery: how comfortable is beijing with this, because they can do so much more on the stimulus side of things. >> this

less in terms of earnings, we are looking at tencent. david: and on the back of all of that, through, let's bring in our guest this hour, chief economist at anz. as always, a pleasure to have you on the show. we would like to start with the pushback we got from central-bank last week -- inflation is high, but we still have the job market to worry about in many places, with her is austria or the u.s. your thoughts on that? >> i think certainly, yes, they have sent that signal and tried to rein markets back. fed chair powell did a fabulous communications job, he highlighted the insurgencies of the environment, the unprecedented nature of the environment. and committed to this between objective of not just inflation, but waiting to see that inflation is a bit more entrenched, but also making sure people are in jobs and jobs that are giving them meaningful pay raises. this is a very different cycle from the ones we have seen previously. david: how do we separate the issue through tightening from policy normalization in which you expect to co

alibaba, tencent as well. as much as 2% this morning. these earnings will be a test on whether the rally has any legs. rishaad: and certainly we are seeing another rally when it comes to treasuries, pushing yields higher. at the moment, we have the markets pricing in a full quarter-point hike into the june fed meeting. i see a good chance of a second one by september and third by december. even on this program, earlier on bloomberg, raphael bostic, the fed atlanta president said this. we could see a reduction in bond buying. it is certainly at a quicker pace. that would bring forward anything like normalization of monetary policy. yvonne: you take out the nomination and uncertainty, does it mean the fed will turn more hawkish? that's the key question. we checked in with morgan stanley, they said it will not be the case. they are seeing supply chain bottlenecks starting to ease. next year could look better for the federal reserve when it comes to dealing with transitory inflation, whether it is or not. this is at least with the market is

tencent was out last week, and it had the slowest pace of revenue growth since it listed in 2004. alibaba, of course, the poster child for the regulatory crackdown when jack ma a year ago made that infamous speech that they kicked off all this regulatory action, and the consensus estimate is for a 17% fall in net income, and anything less than that, and investors are going to go, maybe we need to get out of this -- that is what analysts are saying. there is concerned they could lower their full-year outlook profit and revenues next year if positions are as bad as some expect. haidi: our stephen engle in hong kong with a preview of alibaba. let's not get to su keenan. su: we start with the eu, which will impose tariffs of as much as 44% on fiber cable from china to counter dumping. it is expected to support -- to affect the supply of nexgen telecom equipment. regulators say the low cost pricing could drive local producers out of the market. this follows a complaint by europa cable, a group representing eu manufacturing. meanwhile, many european governments are adding new coronaviru